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Retailers anticipate summer sales increase despite trends

April 25, 2002

Chocolate rabbits may not have been an Easter sellout, but retailers are expecting sales to pick up.

Three out of every four Michigan retailers are projecting increased sales for April and June.

Retailers are remaining positive, though March profits were not as high as expected, said Larry Meyer, president of the Michigan Retailers Association.

The association surveyed retail stores in Michigan and found that sales have increased since last year.

Michigan retailers experienced a 41 percent increase in their sales from last year, though 47 percent said profits dropped.

“Whatever we called it - a downturn in the economy, a recession or just a lack of business - we did see a lot of business go,” he said.

But the optimistic hopes of businesses shouldn’t be celebrated as a total economic turnaround just yet, officials say.

The economy is just rebounding from nearly slipping into a recession, said Charles Ballard, an MSU economics professor.

“There was quite widespread weakness in the economy last spring and summer,” he said. “My sense is that depending on how you look at it, the economy has appeared to be on the way up.”

The predicted second-quarter rise is promising, but it still is too early to tell, Ballard said.

Meanwhile, local businesses are saying sales are getting better.

Sales have doubled since last year, said Katrina Davis, accessories manager for Urban Outfitters.

“The merchandise we are getting in is different from last year and I think everyone knows about our store,” Davis said.

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