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Retailers Tote Up a Lackluster April : Sales: Disappointing numbers are the latest sign that the economy may be slowing.

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TIMES STAFF WRITER

Most of the nation’s retail chains reported weak April sales, disappointing merchants who had sought to attract consumers with Easter fashion offerings.

The results, the second consecutive month of disappointing retail store sales, are the latest sign that the economy may be slowing. Home construction spending and automobile sales have also sagged recently, along with leading economic indicators.

While overall retail sales rose an estimated 5% to 6% from year-earlier levels, the performance was a letdown because merchants had counted on this year’s late Easter to boost April sales sharply.

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“Consumers are saving more of their earnings to reduce debt,” said Kurt Barnard, a New Jersey-based retail economist. “When they spend, they tend to buy less expensive items.”

That was borne out by surging sales at discount chains while department stores and specialty apparel retailers suffered.

April is traditionally one of the biggest sales periods for apparel. The weaker-than-expected demand for apparel will likely hurt the short-term earnings prospects of some retailers, and stock prices for several tumbled sharply Thursday.

Same-store sales--revenue from stores open at least 12 months--rose 6.1% at Dayton Hudson, which operates department stores and the Target chain. However, Mervyn’s had same-store sales up 1.5%. In California--where more than a third of its stores are located--Mervyn’s April sales were flat.

Broadway Stores’ monthly sales report provided another indication of weakness in the California market. The Los Angeles-based retailer had a 2.7% decline in same-store sales.

Several other major department store operators had weak to moderate same-store sales. Sears’ sales rose only 1.4% and May Department Stores had a 5.1% increase. Federated Department Stores--which operates Macy’s, Bullock’s and other chains--characterized its 4.1% increase as disappointing.

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