Mitsukoshi Logs Unconsolidated Net Loss for 2nd Straight Yr

Tokyo, April 10 (Jiji Press)–Major department store operator Mitsukoshi Ltd. said Thursday it suffered an unconsolidated net loss of 3,027 million yen in fiscal 2007, posting red ink for the second straight year.

Mitsukoshi’s sales in the year that ended in February 2008 fell 2.5 pct from the previous year to 729,396 million yen on an unconsolidated basis and 3.8 pct to 773,964 million yen on a group basis, the first drop below 800 billion yen since fiscal 1987, although it refurbished its main store in Tokyo’s Nihonbashi district.

The company managed to score a group net profit but the amount fell 65.8 pct to 4,427 million yen.

Sales of mainstay clothing and sundry goods slumped at most of its outlets. Sales were also sluggish for art and other high-price items, reflecting growing uncertainty over the course of the economy, company officials said.

Mitsukoshi also noted that it logged an extraordinary loss of 5.9 billion yen on impaired assets at certain outlets.

The company came under the wing of Isetan Mitsukoshi Holdings Ltd. on April 1 in its business integration with another department store operator Isetan Co. Mitsukoshi was delisted from the Tokyo Stock Exchange on March 26.END

(c) 2008 Jiji Press English News Service. Provided by ProQuest Information and Learning. All rights Reserved.