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Non-Tech : Just For Feet (FEET) -- Ignore unavailable to you. Want to Upgrade?

To: Scott Finchler who wrote (628)	8/5/1998 2:55:00 PM
From: lanac	Read Replies (2) \| Respond to of 750

Finish Line, Just For Feet, Footstar Fall on Price Concerns Bloomberg News August 5, 1998, 10:46 a.m. PT Finish Line, Just For Feet, Footstar Fall on Price Concerns Indianapolis, Aug. 5 (Bloomberg) -- Shares of athletic shoe retailers Finish Line Inc., Footstar Inc. and Just For Feet Inc. fell for a second day on concern that industry leader Venator Group Inc. is cutting prices to spur sales. Venator, which operates the Foot Locker and Champs Sports stores, appears to be increasing sales promotions to clear out excess inventories, analysts said. That could take away sales from other sneaker chains or force them to cut prices. Sneaker sellers have been struggling the past year as consumers switched to hiking boots and dressier shoes such as Hush Puppies. The concern about heightened price competition from Venator comes during the crucial back-to-school selling season. ''The word on the Street is that Venator has become more aggressive promotionally, which has taken the industry and turned it upside down today,'' said analyst Marcia Aaron of BT Alex Brown Inc. New York-based Venator couldn't immediately be reached for comment. Indianapolis-based Finish Line fell 5 3/8, or 28 percent, to 14 1/8 in early afternoon trading. The shares fell 9.8 percent yesterday. Birmingham, Alabama-based Just For Feet fell 2, or 9.6 percent, to 18 3/4, after dropping 8.3 percent yesterday. Mahwah, New Jersey-based Footstar Inc., which operates the Footaction chain, fell 2 3/16, or 6.1 percent, to 33 13/16 after dropping 5 percent yesterday. Venator fell 1/4 to 12 13/16. Its shares are down 36 percent this year, as it's struggled with weak sales and losses. Foot Locker's excess inventories stemmed from apparent merchandising and purchasing mistakes, said analyst Brent Rystrom of Piper Jaffray Inc. ''It's a short-term problem and will probably last five or six weeks,'' he said. Venator is also in the midst of a bidding war for Sports Authority Inc., the top seller of sporting goods such as sneakers and treadmills. New York-based Venator agreed May 7 to swap 0.8 share for each Sports Authority share. Gart Sports Co. later made a rival $20-a-share cash offer for a majority stake in Sports Authority. Venator shareholders have pushed for Venator to come back with a cash offer of its own. Investors had criticized the stock offer because of potential dilution in their shares, pushing instead for a cash bid. Fort Lauderdale, Florida-based Sports Authority fell 1/8 to 11 1/16. Denver-based Gart fell 1/8 to 16 1/4. --Anne Pollak in the Princeton newsroom (609) 279-4043, with More News: FEET