Few Signs Of Relief For Troubled U.S. Apparel Retailers
It’s shaping up to be another tough year at the mall. Warnings from apparel maker Perry Ellis, whose clothing brands fill the racks of many retailers, and other companies suggest teens and other shoppers are still ho-hum about spending on fashion and that investors should be cautious, especially about mall-dependent retailers. A trifecta of Silicon Valley-led trends could hurt companies that depend on foot traffic at suburban shopping malls: Teens are spending more time on devices and less at the mall; consumers are increasingly willing to buy clothes online, often from internet-only stores, and consumers in general have shifted their priorities away from clothing and toward technology and home improvement. Wall Street analysts on average expect several months of falling or barely-growing revenues from Gap, American Eagle Outfitters and other mall mainstays. They see a glimmer of hope at year end, with shoppers potentially buying more winter attire than in 2015, when the weather was mild in parts of the United States. Read more at Reuters.
