Hudson’s Bay hit by SARS fears
Canadian retailer sees sales fall
May 27 2003
Canadian retail giant Hudson’s Bay Company saw its sales hit by concerns over the SARS outbreak in the quarter to the end of April.
The Toronto-based company said sales in the quarter were hurt by unseasonably cold weather conditions and public health concerns.
Total sales were $1,535m, compared to $1,530m in the same period last year, with sales increases in the Zellers general merchandise chain and furniture chain Home Outfitters balanced by a fall in sales in the Bay department stores.
Toronto has been the centre of the SARS outbreak in Canada. The city has just been placed back on alert by the World Health Organisation after new cases emerged.
George Heller, Hudson’s Bay president and CEO, said: “The majority of our shortfall to plan in the quarter was experienced in April. We were encouraged by the performance in both the Bay and Zellers divisions in the first two months of the quarter, and we are returning to planned levels in the current month.
“An unprecedented series of events in April, including unseasonable weather and public health concerns contributed to an extremely challenging environment for all retailers. We consider these short-term events to be an aberration and anticipate a more stable economic environment for the remainder of this fiscal year.”
