Limited Brands struggles with 12 percent sales drop

Escalating job worries and rainy weather dampened shoppers' appetite for buying summer staples like shorts and dresses, resulting in sharp sales declines for many merchants in June and increasing concerns about the back-to-school shopping season.

[kblog123]

If you want to be really scared clue into the recovery time for a household after it experiences a significant income decline. Once credit is gone, life becomes very different and shopping is no longer a sport but a battle between what you need and the retailers who are selling the merchandise. When in doubt, you do without.

None of this is new- the simple use of a calculater would have shown leaders of the community that the economy was out of wack some time ago. Incomes did not match spending. As the crunch hits more people- the declines in discretionary shopping become more severe.

So what did we all do in the 70's beside dance the night away?( Mod was a result of severe financial distress also).

[Reader]

I notice that the struggles of Limited Brands was a topic that was conspicuously absent from the recent puff piece on Easton, which has to be reeling in this economy.

[Thisiseasy]

I find it irritating that so many retailers are stressed about struggling and getting consumers to buy their products at the same time they keep laying people off. After a few lay-offs, those still working are going to be worried about whether they are next. Between them and those with no jobs, who is going to want or have the money to buy something they don't need? Food and shelter become all that is important, not bras, electronics, or cars.

[StupidPeopleOutO fMoney]

Stupid people are running out of money. Maybe we will learn that the shirt one purchased last year fits just fine, the color is just fine and it really isn't "out of style", which is defined by the guys selling one all of the stuff one really does not need. Who needs new clothing year after year? I spend about 200-300 bucks a year on clothing.

Time to start teaching your children the diffrence between a "want" and a "need". I think this recession is the best thing to happen to America in a long time. And yes I have been out of work for a period of time durning it.

[Donna]

This is the sole voice of personal experience. Some 42 years ago I was a fashionista. Style setter & trend setter on campus. All girls' school. I'd sell my used outfits to fellow students (at a profit). It was fun. I loved fashion. Got married, settled down. Stopped buying lots of clothes in the inflationary 1970's. Then one day I realized Talbots,Black & White, Coldwater Canyon:most of these ensembles were made in China or out of the USA...Why? The Federal Trade Commission outlayed 'price fixing'.. What is that? It is something that used to be called "mfr. sugg. ret." (manufacturer's suggested retail price).. Defined it means the manufacturer is not allowed to set the price for the distributor...But how did some distributors get around this? By becoming both the distributor as well as the manufacturer only by outsourcing the labor to China or S. America or elsewhere!( I don't know if Limited Brand did this because I never bought their merchandise.) But this is about fashion....Fashion is an amazing field. In the early 1990's some industries got 'Lean & Mean'....Corporations downsized greatly. My hisband lost his job in the late 1990's. Luckily we were thrifty & suvuved & even thrived, but now American consumers are also getting 'lean & mean'...I hope everyone who has been down-sized ends up prospering. "Get new skills" was meaningless advice..."Get new skills". HA....Buying less and saving more is always best. I hope everyone who wants or needs to work finds a job then can enjoy or at least tolerate.

[JLS]

Banks are not lending money and suffocating businesses causing a direct downward spiral in our economy. I personally would like to see the establishment of several government controlled banks. Lending institutions are hoarding their money for loan loss reserves so they can build up their balance sheets at the expense of the American taxpayer.

We don't need another stimulis package. We need the credit markets to open to the public consumers. We had eight years of the worst administration in the history of the US. What else do you expect.

[Saks Buyer]

I am not certain I understand. I continue to shop regularly. I believe it is part of my duty to help the economy. Looking fabulous has in fact helped me throughout the years get top jobs, several husbands and numerous opportunities. So I suggest to you all to stop shopping at places that do not carry the best....go for the big designers and the latest trends. You will look your best, feel your best & do the best. Besides, the best deals are to be had right now. Just got me a beautiful new Gucci bag for $800.00 that was 20% off....that would have never happened a year ago. So I say shop-shop-shop!

[Donna]

Saks Buyer wrote:

I am not certain I understand. I continue to shop regularly. I believe it is part of my duty to help the economy. Looking fabulous has in fact helped me throughout the years get top jobs, several husbands and numerous opportunities. So I suggest to you all to stop shopping at places that do not carry the best....go for the big designers and the latest trends. You will look your best, feel your best & do the best. Besides, the best deals are to be had right now. Just got me a beautiful new Gucci bag for $800.00 that was 20% off....that would have never happened a year ago. So I say shop-shop-shop!

Is Saks licensed to sell Gucci? I thought only Gucci sold Gucci? Saks Fifth Avenue stock prices are really low.$5 a share or something like that. Stocks for American Fashion Houses are really low. The fashion business thrives on competition. A wondrful personal dressmaker who has old world skills can give you a one of a kind look. Does "Vogue" still sell patterns? If you get the right fabrics and have a personal dressmaker you can dress for 'success' without the 800% nark-up of a department store. Even Saks is still a department store.