Best Buy slashes profit predictions
Beginning of 2009 looking tough
12 November 2008 16:00 GMT / By Katie Scott
Despite expansion into Europe, and hints that it may take on some of the stores left empty by Circuit City's present problems, Best Buy has been hit by the worldwide economic slowdown.
The retailer has slashed its profit predictions for 2009.
"Since mid-September, rapid, seismic changes in consumer behavior have created the most difficult climate we've ever seen. Best Buy simply can't adjust fast enough to maintain our earnings momentum for this year", vice chairman and chief executive Brad Anderson said in a statement.
Compared to 2007, Best Buy says that sales fell 7.6% in October and 1.3% in September.
It added that comparable store sales in November 2008 through February 2009 could decline by between 5 and 15%.
Best Buy is expecting an annual revenue of $43.7 billion to $45.5 billion for the fiscal year ending in February.
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