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Thursday, 11 October, 2001, 10:08 GMT 11:08 UK
Burberry growth checked
Burberry fashion picture
Burberry sales have slumped but the float is still on
Sales at the fashion chain Burberry have fallen following last month's terrorist attacks, according to retail group GUS which owns the chain.

GUS said Burberry and the north American part of its Experian credit and information services business have both been affected by the attacks.

It added that the events of 11 September "have made the economic outlook more uncertain".

But there was better news from its Argos retail business, which it said had seen "particularly strong growth" in the first half of the year.

Burberry hit

Sales at Burberry stores fell 15% following the terrorist attacks compared with the same period last year.

GUS said the decline in travel and tourism following the attacks was impacting the luxury sector as a whole.

But despite the fall, GUS showed the business was growing at a healthy rate, with underlying sales up 31% for the six months to the end of September.

It also reaffirmed that it intended to float the business by June next year.

Argos 'strong'

GUS said its Argos chain had "continued to benefit from strong consumer demand" during the first half of the year.

Sales at Argos, including Argos Additions and the internet shopping site jungle.com, had jumped by 24% from the same period last year.

The chain benefited from strong sales in furniture, electrical goods and white goods such as washing machines and refrigerators.

Experian

The Experian business saw a 4% rise in underlying sales worldwide.

But GUS said the north American arm had been "severely affected" by the terrorist attacks in the US.

GUS finance director David Taylor said the company's clients "did not want their leaflets going through the letter boxes of their customers. It was just not the right time".

See also:

05 Jun 01 | Business
GUS profits from credit ratings
03 Jun 01 | Business
Burberry float 'still on'
30 Nov 00 | Business
Burberry earns independence
04 Sep 00 | Business
Home shopping nightmare
01 Sep 00 | Business
Jungle.com goes cheap
01 Aug 00 | Business
GUS cuts 600 jobs
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