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Thursday, March 28
The Indiana Daily Student

Winter storm hurts holiday sales across nation

PHILADELPHIA -- The winter storm that dropped 2 feet of snow in many parts of the East came as another blow to struggling retailers, many of whom spent heavily advertising Presidents Day sales.\n"A storm at this time is the worst thing that could happen to retailers," said C. Britt Beemer, chairman of America's Research Group. "It is a big loss to sales. ... Whether a store is open or not, consumers are not going to risk injury to go out shopping."\nMany retailers from Virginia to Massachusetts closed stores Monday, as snow-covered roads made it difficult for employees to get to work and state officials urged people to stay home.\n"In many areas of the country, stores have just completely shut down," said Ellen Tolley, a spokeswoman for National Retail Federation. "Not only do they lose in sales, but they also lose in the advertising money they've spent."\nFebruary is when retailers aim to clear out their winter leftovers and lure customers with their big sales, hoping they will also buy full-price spring merchandise.\nBoscov's, the Reading, Pa.-based department store chain, had run holiday advertisements in many newspapers in its mid-Atlantic base. Chairman Albert Boscov said he may run them again -- and hold the sale on Saturday, George Washington's actual birthday.\nIn any event, he said, the lost day is a moderate blow to retailers, many of whom are struggling in the weak economy.\n"In comparison to Christmas, it's not a big deal," Boscov said.\nMany department store items are deeply discounted in February, whereas a big snow before Christmas means the loss of a day selling profitable, full-price merchandise.\nStores generally hope to clear out winter inventory with the sales, to make room for spring items. But storms aren't entirely bad news, as they can inspire people to stock up on winter items.\nMay Department Stores closed more than 100 stores in its Lord & Taylor, Hecht's, Strawbridge's and Filene's divisions Monday, including the Lord & Taylor store in Manhattan, said spokeswoman Sharon Bateman.\nEach group will decide whether to replace or extend the holiday sale, she said.\nWal-Mart, the world's largest retailer, closed at least some stores in nine Eastern states.\nThe lost revenue can be made up, as long as the store is stocked -- especially with grocery items -- when people return, said Tom Williams, a spokesman in Wal-Mart's Bentonville, Ark., headquarters.\n"The key thing is to be ready when they do come," William said. "You only sell what's on your shelves"

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