Snow Problem: Stores are Closed

A winter storm that dropped two feet of snow in many parts of the East and Mid-Atlantic caused retailers from Virginia to Massachusetts to close stores, even as they were preparing for heavily advertised Presidents Day sales.

“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.”

May Department Stores (St. Louis) closed more than 100 stores in its Lord & Taylor, Hecht's, Strawbridge's and Filene's divisions. Wal-Mart Stores (Bentonville, Ark.) closed some stores in nine Eastern states. “The lost revenue can be made up, as long as the store is stocked — especially with grocery items — when people return,” said Wal-Mart spokesman Tom Williams. “The key thing is to be ready when they do come. You only sell what's on your shelves.”

Federated Department Stores (Cincinnati) said that the bad weather in the eastern half of the country hurt weekend sales, although it still expected same-store sales for the month to stay in the forecast of a 4 to 5 percent drop from February 2002. The retailer said it will decide whether to replace or extend the holiday sale.