Limited Losses

The Limited, Inc. (Columbus, Ohio) reported a 4 percent comp store sales decrease for the five weeks ended April 7, 2001. Comp store sales also decreased 3 percent for the nine weeks ended April 7. Net sales decreased 2 percent for the five-week period and were practically flat for the nine-week period.

Citing a “very difficult retail environment,” The Limited said it was expecting “negative trends to continue” and was “cautious in our outlook.” Structure stores had a 16 percent comp-store sales decline in March; it will focus on clearing its poor-performing items and concentrating on polo shirts, T-shirts and shorts for the spring. Sales at Limited Stores were down 10 percent. The average dollar sale was up, the company reported, but there was a significant decrease in the number of transactions. Though Lerner New York stores sales were down 2 percent for the month, the performance was in line with the company's expectations.

Lane Bryant stores showed a 3 percent same-store sales increase in March. And though sales at Express stores were up 5 percent, the results were below company expectations. Overall, The Limited reported sluggish sales and way too much inventory on hand.

In the Intimate Brands, Inc., operation, Victoria's Secret stores showed a 9 percent decline (sleepwear sales were especially soft); Victoria's Secret Direct (catalogs and online sales) showed a 5 percent decline; and sales at Bath & Body Works were down 8 percent.

The Limited currently operates 2723 specialty apparel stores and, through its 84 percent ownership of Intimate Brands, Inc., another 2427 Victoria's Secret, Bath & Body Works and White Barn Candle Co. stores.