Retail sales increased during four of the first ten months of 2002, but it seems that the growth recorded is likely due to fluke circumstances than a turnaround in the sector. The figures for July and August, for instance, were affected by the dates of Cup Match. This year, the holiday fell entirely in July, whereas last year the weekend was in both July and August. The growth in September was largely due to the dismal frame of reference - September 2001, a month when sales plummeted because of the terrorist attacks. Spending in September of this year was actually considerably weaker than retailers would have liked.

But part of the growth was organic. Hardware stores enjoyed improved sales for much of the year because of the surge in construction, although the boom appears to be slowing. Construction of new housing also prompted increased spending on furniture.

But growth in buoyant sectors were often negated by struggling ones. Apparel stores have continued to struggle, while motor vehicle retailers have complained that size restrictions have limited the selection of cars and dampened sales.

Government has not yet tabulated retail figures for November and December, but anecdotal evidence from some retailers suggests that sales may be at the same level as last year. "We were hoping for a little bit more," said George Grundmuller, the chairman of the retail division of the Chamber of Commerce. "Last year was very difficult because of the effects of September 11. Hamilton retailers said that the Christmas shopping season was slow to start, although some stores made up for the lost business with heavy sales during the days before Christmas.

A shifting landscape

The Frith's Liquors shop on Front Street shrank and made room for MaxMara, the high-end Italian designer store owned by Hornburg Calypso. The company, which also owns the Bennetton shop, Calypso, and Voila, spent $500,000 to convert the retail space. General Manager Pierre Dutoya expressed confidence in the investment. Despite the woes of the retail sector, "We will have no problem surviving," Mr. Dutoya said.

After less than a year in business, Kangaroo Pouch, the high-end maternity store on Burnaby Street, closed down. The space was taken over by Mobility (previously BTC Mobility), which now sells phones and

In December, Crisson Jewelers announced that it would no longer sell Gucci shoes and accessories in its Font Street shop. According to management, Gucci accounted for five percent of the store's sales, but only one percent of profits. Once the stock has been sold off, the space will be dedicated to jewellery by the American designer, David Yurman.

After six years on Reid Street, Bermuda Photocraftsmen was consolidated with its sister store, the Kodak Express Photo Lab in the Washington Mall. Owner David Souza said he was consolidating the two stores - which were less than 70 yards apart - for "economic reasons."