Bon-Ton Store Sales Down

The Bon-Ton Stores, Inc. has reported operating results for the second quarter of fiscal 2013 ended Aug. 3 and store sales are slumping.

The retailer, which operates a store in the Palmer Park Mall in Palmer Township, reported that comparable store sales decreased 6.4 percent.

Other Second Quarter Highlights included:

• Gross margin rate increased 100 basis points to 37.0%, compared with 36.0% in the second quarter of fiscal 2012.
• Operating loss improved by $2.2 million to $15.5 million, compared with an operating loss of $17.6 million in the second quarter of fiscal 2012.
• Net loss improved by $7.7 million to $37.3 million, or $1.95 per diluted share, compared with a net loss of $45.0 million, or $2.43 per diluted share, for the second quarter of fiscal 2012.
  

“We were disappointed in our second quarter sales performance, but we were pleased we were able to deliver on several of our goals," said Brendan Hoffman, President and Chief Executive Officer.

Hoffman said that overall sales weakness was in part attributable to the adverse impact of inclement weather in our markets and higher gas prices, especially in the Northeast and Midwest, which contributed to an unfavorable shift in consumer spending patterns.

"Looking ahead, we remain focused on the continued execution of our key merchandising, marketing and eCommerce strategies, including the localization of our merchandise assortments and marketing programs to drive top-line growth, while maintaining disciplined inventory management and careful cost controls," he said.