Shares of retailer
were dropping after the company reported a second-quarter loss and warned that the third quarter has been hurt by a weak back-to-school season.
Recently, shares of Too were down $1.56, or 10%, to $14.40.
After impairment charges and other pretax costs related to the discontinuation of certain operations, Too had a loss of $3.8 million, or 11 cents a share, compared to earnings of $5.5 million, or 16 cents a share, in the second quarter of 2002.
Before charges, the company earned 2 cents a share, which includes costs of 2 cents a share for settling certain California labor matters. Analysts were also expecting 2 cents a share.
Total sales fell to $134.8 million from $141.2 million last year. Same-store sales fell 13%.
As a result of the weak back-to-school sales, the company, based in New Albany, Ohio, now expects a "mid-to-high-teens" decline in same-store sales for the third quarter ending Nov. 1 and earnings of 12 cents to 15 cents a share.
Analysts are calling for 25 cents a share in the third quarter. The company earned 31 cents a share in the year-ago period.