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Tuesday, December 18, 2001



art
GEORGE F. LEE / GLEE@STARBULLETIN.COM
Mary-Margaret Scott of Kaaawa, holding her 3-week old daughter, Ada, navigated the sidewalks of Ala Moana Center yesterday as friend Dawn Nozawa pushed a stroller loaded with holiday largesse. Depending on who's talking, Christmas shopping in Hawaii is either sluggish or better than expected.




Sales fuel hopes
for a busy weekend

Spending seems to be picking up
after a sluggish start

By Rosemarie Bernardo
rbernardo@starbulletin.com

Faced with at least one report showing a downturn in spending this holiday season -- as many retailers feared -- some of Hawaii's major shopping malls say business seems to have picked up in recent days.

"Spending was sluggish initially, but it seems to be picking up nicely," said Ron Yoda, general manager at Kahala Mall Shopping Center. "People are a little bit attuned to the local situation and trying to do what they can to help.

"We're looking forward to a good weekend."

Dwight Yoshimura, general manager of Ala Moana Center, said sales there also are promising.

"Sales have been good considering the recovery time of Sept. 11," he said.

However, Carol Pregill, executive director of local trade association Retail Merchants of Hawaii, said sales in retail stores are "a little sluggish."

"Shopping centers report activity. That's not necessarily translating to overwhelming sales," said Pregill. "It's worse than last year."

Items such as home furnishings and home entertainment items such as DVD players and video games are selling as a result of the so-called "cooling effect," she said, adding that more people have decided to stay at home since Sept. 11.

Additionally, stores such as Kmart and Wal-Mart also are doing better than traditional department stores, she said.

"People are spending money a lot more cautiously," Pregill said.

art
GEORGE F. LEE / GLEE@STARBULLETIN.COM
Christmas shopper Annie Llamedo made her way through the crowd at Ala Moana Center yesterday afternoon with a stuffed teddy bear.




Still, holiday sales for Hawaii's major shopping malls are promising.

According to TeleCheck Services Inc., which tracks consumer spending based on check purchases, sales in Hawaii jumped 2.1 percent, a bigger jump than in Arizona, California, Colorado, Oregon and Washington. Nationwide, retail sales are up 1.8 percent over the same period last year, he said.

"We're surprised the numbers are better, because we've been hurt by tourism (after Sept. 11)," said TeleCheck Services district manager Terry Crane.

Speculation on why such figures were up includes the recent influx of people to Hawaii for events such as the Honolulu Marathon and the 60th anniversary of the Pearl Harbor attack, Crane said.

Last year, during the Christmas shopping period, sales in Hawaii were up 2.5 percent from 1999, Crane said.

Managers at Hawaii's shopping malls and department stores also expect a surge in sales this weekend. Christmas is next Tuesday.

"Things are doing well. ... For the past weekend, we met our expectations," said Rina Neiman, a spokeswoman for Macy's.

Consumers' plans for spending varied.

At Ala Moana Center, Kaaawa resident Mary-Margaret Scott managed to hold her 3-week-old daughter, Ada, while she and friend Dawn Nozawa pushed a baby carriage overloaded with $400 worth of gifts for her six children.

Scott said she is not affected by reports on Hawaii's faltering economy.

"Personally, I think we're doing fine," Scott said.

Sitting in front of K B Toys, Harland Tilfas pulled a scooter out of the box for his 7-year-old son, McHardy. The Tilfas family spent less than $75 yesterday at Ala Moana Center.

"It's different than last year," he said. "Last year, we had lots of things to buy for our kids. But this year, we're not really spending more for this Christmas."

Annie Llamedo, a senior at St. Francis School, said she is maintaining a lower budget for Christmas presents compared with last year.

"Because of the Sept. 11 attacks, my spending is a little less. My dad gave me $100 to spend for all my friends," said Llamedo, who has a Christmas list of 30 people.

Meanwhile, stores at Victoria Ward Centers are doing "exceptionally well," said spokeswoman Dana Harvey.

Michael Cummins, co-owner of the Honolulu Chocolate Factory, said there has been a 10 percent increase in local consumers.

"I've been pleased on how busy it's been," Cummins said.



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