Penney's Quarter Falls – Also Nordstrom's

Nordstrom Inc. (Seattle) announced a 59 percent decline in profits for its fourth quarter, ending Jan. 31, 2001. Some of that was due to a pretax charge of $1.7 million related to an Internet investment gone sour. The retailer's sales during the quarter rose 7.5 percent.

Sales didn't rise for J.C. Penney. The Plano, Texas-based retailer reported an 0.8 percent sales drop during a rough holiday season, and a 59 percent decline in profits. The loss from operations was $1 million; a year ago, the retailer showed a $126 million profit from operations.

Though Penney has been shutting stores since Allen Questrom arrived as ceo, slow holiday sales have merely worsened the retailer's situation. The company has also been seeking to secure better terms from its suppliers at its Eckerd drugstore chain. It said it expects to earn 20 to 25 cents a share in the next (first) quarter. Analysts have been estimated 19 cents a share.