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April Sales Mixed Due to Gas Prices, Weather and Early Easter, According to NRF

WASHINGTON DC, May 11, 2007 / --- As expected, April retail sales showed subdued gains due to extreme weather, rising gas prices and an early Easter. According to the National Retail Federation, retail industry sales for April (which exclude automobiles, gas stations, and restaurants) rose 2.6 percent unadjusted over last year and decreased 0.5 percent seasonally adjusted from March.

April retail sales released today by the U.S. Commerce Department show that total retail sales (which include non-general merchandise categories such as autos, gasoline stations and restaurants) decreased 0.2 percent seasonally adjusted from last month and increased 3.1 percent unadjusted year-over-year.

“Consumers were faced with three elements last month—rising gas prices, unseasonably cool weather, and an early Easter—which impacted April retail sales,” said NRF Chief Economist Rosalind Wells. “Retailers are now looking to Mother’s Day to provide a nice boost in May.”

Industry sales varied across the board. Electronics and appliance stores were a bright spot, with sales rising 0.7 percent seasonally adjusted over March and 3.6 percent unadjusted over last year. Building material and garden equipment and supplies dealers sales were weak, with sales down 2.3 percent from April and 3.8 percent over last year.

The arrival of spring brought good news to health and personal care stores sales, which saw moderate gains of 0.9 percent month-to-month gains and a strong 8.7 percent increase unadjusted year-over-year. Clothing and clothing accessories stores sales, affected mostly by Easter falling in the earlier part of the month this year, fell 2.0 percent seasonally adjusted but increased 2.3 percent unadjusted from last year.

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