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    Stage Stores shares fall on lower sales, outlook

    HOUSTON (AP) — Shares of retailer Stage Stores Inc. fell more than 5 percent Thursday after the company said a key revenue figure fell unexpectedly last month, it reduced its earnings expectations for the full year and announced the resignation of its top merchandising executive.

    Stage Stores said sales at stores open at least a year, or same-store sales, fell 0.1 percent last month. Analysts polled by Thomson Reuters expected a gain of 0.5 percent. That indicator is a key gauge of a retailer's health because it measures sales at established stores rather than newly opened ones.

    Total sales rose 2.5 percent last month to $74 million.

    For the fourth-quarter, same-store sales rose 1.3 percent, while total sales rose 3.2 percent. Same-store sales rose 0.5 percent for the year, while total sales rose 2.1 percent to $1.5 billion.

    The company said margins are still being squeezed because of widespread discounts. As a result, the company now expects earnings for 2011 to be 92 or 93 cents per share, compared with a previous forecast range of $1.02 to $1.08 per share. Analysts surveyed by FactSet currently expected Stage Stores to earn 98 cents per share.

    Stage Stores plans to report its fourth quarter and 2011 fiscal year results before the market opens on March 6.

    Also Thursday, the company said Chief Merchandising Officer Rich Maloney resigned to pursue other interests. Maloney joined the company in October 2008 and served as CMO since February 2010. The company has started a search for his replacement.

    Shares fell 83 cents, or 5.3 percent, to close at $14.78.

     

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