INDUSTRY STOCKS HANG IN
NEW YORK — It was Wall Street’s worst week of the new millennium but, for apparel and retail issues, it was pretty much business as usual.
Industry stocks again were spared the cruelest blows Friday as the Dow Jones Industrial Average suffered its second 200-point drop of the week, falling 203.64 points, or 2 percent, to land at 9827.64 after managing to nudge up above 10,000 on Thursday. The Nasdaq hit its lowest point since December 1998, dropping 49.8, or 2.6 percent, to nestle in at 1890.91.
The damages for the week were severe, with estimates of investor losses running as high as $1 trillion. In the past year, $4.8 trillion in stockholder equity has been sacrificed.
But for apparel and retail issues, which dealt with low valuations even throughout the heyday of the economic expansion, declines were moderate and, for many, constituted profit-taking based on recent growth.
Among major retailers, ShopKo was one of the few companies to see Friday’s losses top the 5 percent level. Its stock dropped 53 cents, or 6.2 percent, to $8.05, but much of the decline could be attributed to the $47.3 million fourth-quarter net loss it reported last Thursday.
Others experiencing sharp but undramatic declines included The Limited Inc., down 3.5 percent, to $15.49; Kohl’s, 3.1 percent, to $62; The May Department Stores Co. and Federated Department Stores, 2.9 percent, to $37.76, and $4.40, respectively; Pacific Sunwear, 2.7 percent, to $24.88; and Wal-Mart dropped 1.2 percent, to close at $46.93.
A few manufacturers managed to eke out gains for the day, including Jones Apparel Group, ahead 1.1 percent, to $37.54; McNaughton Apparel, 0.8 percent, to $15.63; Donna Karan Inc., 0.6 percent, to $8.70; and LVMH Moet Hennessy Louis Vuitton, 0.2 percent, to $10.19.
Among the decliners on the supply side were The Warnaco Group, off 3.5 percent, to close at $3.61; Tommy Hilfiger, 2.8 percent, to $13.80; Kellwood, 1.2 percent, to $21.30; VF, 1.1 percent, to $34.74; and Liz Claiborne, 0.5 percent, to $47.01.