Major Retailers Post Lackluster Sales in May

The nation’s major retailers today posted lackluster May sales, and analysts said the results were consistent with the weakening in consumer demand that has accompanied the rise in credit costs this year.

Consumers are shopping less because they are laying out more for mortgage payments and other installment debts than they did a year ago, said Jeffrey Feiner, an analyst at Merrill Lynch & Co.

As usual, the May tallies varied depending on the type of retailer. Department stores and other chains specializing in women’s apparel fared better than general merchandisers. Some retailers’ results appeared better than they really were because they were being compared with relatively low volumes a year earlier.

Sears, Roebuck & Co., the nation’s biggest merchant, said its sales in the four weeks ended May 27 rose 5.3% to $2.5 billion from $2.38 billion in May, 1988.

Wal-Mart, currently ranked No.3, said its May sales rose 25% to $2.03 billion from 1988’s $1.63 billion.

Second-ranked K mart Corp. reported a sales increase of 2.5% for the four weeks ended May 24 to $2.19 billion from the previous year’s $2.14 billion.

One of the stronger performances was turned in by Carter Hawley Hale Stores Inc., which reported its May sales rose 7.3% to $192.9 million from $179.8 million a year ago.