Econoday Report: Redbook August 25, 2009

Redbook

Released on 8/25/2009 8:55:00 AM For wk8/22, 2009

	Prior	Actual
Store Sales Y/Y change	-4.5 %	-4.4 %

Highlights
Cash-for-clunkers pulled sales from the back-to-school season, according to Redbook whose same-store year-on-year tally continues to show significant weakness at minus 4.4 percent. The report said apparel retailers are reporting special back-to-school trouble. Redbook sees a 0.7 percent full month decline compared to July.

Definition
A weekly measure of sales at chain stores, discounters, and department stores. It is a less consistent indicator of retail sales than the weekly ICSC index. It is also calculated differently than other indicators. For instance, figures for the first week of the month are compared with the average for the entire previous month. When two weeks are available, then these are compared with the average for the previous month, and so on. It might be more useful to compare year-over-year figures since these are indeed compared to the comparable week a year ago. This index is correlated with the general merchandise portion of retail sales covering only about 10 percent of total retail sales. Why Investors Care