This spells a bitter disappointment for companies that had hoped the holidays would offset a year when sales have been sliding steadily, draining profits and, in many instances, undermining the ability to pay down debt. The industry already has seen a parade of retailers entering bankruptcy proceedings, such as Circuit City Stores Inc., and liquidating, including Mervyn's LLC and Linens 'N Things Inc. The weak holiday sales mean more chains are likely to follow suit next year.
AHHH, but the sale of global warming “credits” is up! What a way to assuage guilty consciouses!
Maybe I’m missing something but I don’t see how a single digit drop in sales qualifies as a ‘plunge’ in sales.
A 20% drop maybe but 5-8%?
JB
Turns out we have been spending our money on things we neither needed nor wanted. Those who have avoided buying a new SUV even though they could afford a new SUV now might find they have more money.
Cars might be important up to a point, but we have buried so much of our wealth in them that we can now drive ourselves to the poorhouse in style. [That’s what they said during the Great Depression, and it is still true.]