Cherokee 2Q Profit Falls 29 Percent As Sales Drop

VAN NUYS, Calif. (AP) ¿ Clothing retailer Cherokee Inc. said Tuesday that its second-quarter profit fell 29 percent as sales dropped sharply.

The Van Nuys, Calif.-based company earned $2.9 million, or 32 cents per share, in the three months that ended Aug. 1. That is down from the $4 million, or 45 cents per share, a year earlier.

Revenue fell 23 percent to $8.1 million from $10.5 million.

The company said retail sales fell as less merchandise was sold at Target. Cherokee also lost revenue from the loss of Sideout sales, which used to be sold at the now defunct Mervyn's.

Cherokee shares rose 50 cents, or 2.5 percent, to $20.85 in afternoon trading.

Copyright 2009 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

More from Technology

Throwback Thursday: Intel Edition

Throwback Thursday: Intel Edition

Video: What Oprah's Content Partnership With Apple Means for the Rest of Tech

Video: What Oprah's Content Partnership With Apple Means for the Rest of Tech

Intel CEO's Surprise Exit Leaves 'Large Void' That Won't Be Easy to Fill

Intel CEO's Surprise Exit Leaves 'Large Void' That Won't Be Easy to Fill

The Winners and Losers in Thursday's Market

The Winners and Losers in Thursday's Market

Will Porsche's Electric Car Push Take Down Tesla?

Will Porsche's Electric Car Push Take Down Tesla?