Business News

Warm temps chill coat purchases


NEW YORK (UPI) -- Unseasonably warm temperatures are freezing out sales of all kinds of cold-weather clothing from headgear to accessories, U.S. retailers said.

Retailers dubbed it the Coat Crisis of 2006, as holiday shoppers splurge on other items as they shop in their shirt-sleeves, The New York Times said Saturday.

The glut of winter garb has distressed retail executives counting on big profits from coats in the crucial holiday shopping season.

"At first, you start to chuckle in the morning when it's 50 degrees, then you start to snicker and then you start to curse," said Rick Weinstein, director of sales and marketing at Searle, a New York retailer supplying coats to high-end department stores.

Above-average temps aren't the only problem for coats sales. People now dress in layers, opting for jackets worn over sweaters worn over shirts worn over T-shirts. Also, millions of Americans are buying gift cards as presents.

Retailers are responding by offering post-Christmas markdowns now.

"It's a triple whammy," said John D. Morris, senior retail analyst at Wachovia Securities, who tracks sales at mall stores. "Retailers are getting caught with their pants down -- and their coats off."

Copyright 2006 by United Press International




Survey finds many Britons don't save


LONDON (UPI) -- A survey finds almost one-third of British adults saved no money at all in 2006, while another fifth say they did not save as much as they had planned.

The survey was done by the bank Alliance & Leicester, the Daily Mail reported.

The New Year is the time for making new financial resolutions, with 80 percent of those polled saying they planned to straighten out their finances in 2007 and begin saving for a rainy day.

But Helen Palmer, the bank's head of current accounts, said for many those good intentions will not be realized.

"Despite ambitious plans for the year ahead, unless people commit to saving a set amount on a monthly basis, it is highly unlikely that they will get round to saving any money at all," she told the newspaper.

Almost half, 42 percent, of those who did save admitted that they also dipped into their savings during the year. Almost three-quarters of non-savers said they did not earn enough money to put some aside while 20 percent said they did not need to.

Copyright 2006 by United Press International




Retailers hope for big gift-buying finish

WASHINGTON (UPI) -- U.S. retailers predict shoppers seeking last-minute gifts and deals will give a much-needed lift to a tepid holiday shopping season.

Only about 11 percent of shoppers had finished holiday shopping after last weekend while more than 15 percent said they had not even started, said a National Retail Federation survey cited in Saturday's Washington Post.

National Retail Federation predicted holiday sales would surpass last year by 5 percent to $457.4 billion, compared to 6.1 percent growth in 2005.

To help boost traffic, stores across the United States are offering deals and extended shopping hours before closing Sunday evening.

The holiday season is critical for retailers because it accounts for about 20 percent of the industry's total sales.

People put off gift-buying for many reasons, an International Council of Shopping Centers survey showed. About 55 percent of consumers said they would pick up gift cards if they couldn't find anything else. Another 54 percent said they had plenty of time left because there was a full weekend to shop before Christmas. More than a quarter of shoppers said they were waiting for better deals.

Copyright 2006 by United Press International