US retailers post strong June sales

Friday, July 1, 2011, Vol. 35, No. 26

NEW YORK (AP) — U.S. retailers are reporting robust sales as deep discounts on summer merchandise pulled in shoppers in June. But the concern is that the momentum may not continue heading into the back-to-school shopping season when consumers are likely to find higher prices on everything from clothing to handbags.

Big merchants Target Corp., Costco Wholesale Corp., Limited Brands Inc. as well as teen retailers such as The Buckle were among the companies that posted results that beat Wall Street estimates. The few stragglers included Destination Maternity Corp. and Bon Ton Stores, which reported declines.

The figures are based on revenue at stores opened at least a year. This measure is considered a key indicator of a retailer's health because it excludes results from stores opened or closed during the year.