For Immediate Release
March 24, 2004

LANSING — Seven of every 10 Michigan retailers expect to increase sales this spring, following their strongest February performance since 2000, according to the Michigan Retail Index, a joint project of the Michigan Retailers Association (MRA) and Federal Reserve Bank of Chicago.

"Retailers’ level of optimism remains high as their sales continue to rebound," said Larry Meyer, MRA chairman and CEO. "In February, and five of the past eight months, the Index has been above 50—meaning positive performance for the retail industry overall."

Seventy percent of Michigan retailers project better sales for March–May over the same period last year, while 19 percent project as-good sales and 11 percent expect declines. The results create a seasonally adjusted outlook index of 74.1, down from 75.7 in January, but nearly 13 points ahead of February 2003.

For February, the Index found that 41 percent of retailers increased sales over last year, while 20 percent reported as-good sales and 39 percent recorded declines. The results create a seasonally adjusted performance index of 53.1, up from 49.9 in January. It’s also nearly 19 points better than February 2003 and the highest February since 2000.

Central Michigan retailers are the most optimistic, with 86 percent projecting spring sales growth. They also experienced the best February sales performance, with 68 percent ringing up year-to-year gains.

The Michigan Retailers Association is the unified voice of retailing in Michigan and the nation’s largest state trade association of general merchandise retailers. MRA’s nearly 6,000 retail business members operate more than 13,000 stores across the state.

Note: William Strauss, Senior Economist and Economic Advisor with the Federal Reserve Bank of Chicago, can be reached at 312.322.8151.