Retail, Wholesale & Distribution

June 2005

May Department Store Sales Down 1.3% On Year
Japan's nationwide department store sales in May fell 1.3% on year to Y609.22 billion, adjusted for changes in the number of stores, the Japan Department Stores Association said Friday. The figure marked the first on-year fall in two months, and follows preliminary figures for top Tokyo area department stores earlier this month that showed that sales fell 2.9% in May. Sluggish spending is a worrying sign for the economy since personal consumption comprises about 55% of the nation's gross domestic product. Unseasonably cold weather in the middle of the month weighed on sales of seasonal clothing, the association said of the data. Nationwide sales rose less than one-tenth of a percent in April, fell 2.9% on year in March and 7.0% in February. Clothing, which makes up the highest proportion of department store sales, totaled Y242.38 billion, down 2.5% from the previous year. Sales of foodstuffs, the second-largest component, were down 1.6% at Y126.44 billion. The association compiled its data based on a survey of 96 companies and 285 stores. Web site: http://www.depart.or.jp (Dow Jones, June 24, 2005)