HomeBase Expects Loss

HomeBase Inc. said Wednesday it expects to report a fiscal fourth-quarter loss of 9 cents to 11 cents a share on slower-than-expected sales stemming from a store remodeling project. The retailer reported a loss of 1 cent a share for the year-earlier period.

The company is remodeling 16 stores.

HomeBase stock fell 12%, or 94 cents a share, to $6.94, on the New York Stock Exchange. More than 1.3 million shares changed hands, more than four times the average daily volume.

The company said same-store sales, or sales in stores open at least a year, will fall about 2% during the quarter ending Jan. 31. Total sales are expected to range between $325 million and $330 million, up from $310 million in the year-earlier period, the company said.