BAD TIMES, WARM WEATHER BLAMED FOOR POOR SALES
By Adnews Staff
Even though it pumped its advertising up and kept its prices down Sears Canada could not get back into the black in the latest quarter. The retailer says earnings were kept down by a stagnant economy, cautious consumer spending and unseasonably warm weather which curtailed sales of fall clothing. For the three months ending Sept. 30, Sears posted a loss of $2.9 million on revenues of $921 million. This compares with 1994 third-quarter earnings of $6.5 million on revenues of $948 million. For nine months, the company recorded a loss of $15.4 million on revenues of $2.7 billion, compared with a loss of $3.3 million on revenues of $2.7 billion during the same period last year. In the third quarter sales were down in apparel, with outerwear being the hardest hit. Sales were also down in home fashions. Jewelry, cosmetics, footwear, major appliances and electronics all showed increases. The company hopes to give sales a boost with recently adopted measures. Sears has opened its first stand-alone furniture store, rolled out a new brand of appliances and electronics called Brand Central to 16 stores, and introduced new national clothing brands across the country.