CHARLOTTE, N.C., Nov. 5 /PRNewswire/ -- The Cato Corporation (NYSE: CATO) today reported sales for the four weeks ended October 31, 2009 of $61.9 million, a 4% increase over sales of $59.5 million for the four week period ended November 1, 2008. Same-store sales for the month were flat to the prior year.

Sales for the third quarter ended October 31, 2009 were $191.0 million, a 6% increase over sales of $179.8 million for the third quarter ended November 1, 2008. Same-store sales for the third quarter increased 4% over the prior year.

Sales for the thirty-nine weeks ended October 31, 2009 were $654.4 million, a 3% increase over sales of $636.6 million for the thirty-nine weeks ended November 1, 2008. The Company's year-to-date same-store sales increased 1% over the prior year.

"With higher than expected sales and margin for the third quarter, we now expect earnings per diluted share will be in the range of $.07 to $.09 compared to our previous guidance of $.03 to $.05 and $.03 last year," stated John Cato, Chairman, President, and Chief Executive Officer. "We are maintaining our original guidance for the fourth quarter."

The Company will release third quarter financial results on Thursday, November 19, 2009.

During the month of October, the Company opened four stores and closed three stores including one It's Fashion store to convert it to an It's Fashion Metro store. New stores opened in Macon, GA, Alexandria and Luling, LA, and Nevada, MO.

Year-to-date, the Company has opened 26 new stores, relocated one store, and closed 16 stores, 10 of which were conversions of It's Fashion stores to It's Fashion Metro stores. As of October 31, 2009, the Company operated 1,291 stores in 31 states, compared to 1,305 stores in 31 states as of November 1, 2008.

The Cato Corporation is a leading specialty retailer of value-priced women's fashion apparel and accessories operating two divisions, "Cato" and "It's Fashion". The Company's Cato division offers exclusive merchandise with fashion and quality comparable to mall specialty stores at low prices every day. The It's Fashion division offers fashion with a focus on the latest trendy styles and nationally recognized urban brands for the entire family at low prices every day. Additional information on The Cato Corporation is available at www.catocorp.com.

Statements in this press release not historical in nature including, without limitation, statements regarding the Company's expected financial results for the third quarter are considered "forward-looking" within the meaning of The Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on current expectations that are subject to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from those contemplated by the forward-looking statements. Such factors include, but are not limited to, the following: general economic conditions; competitive factors and pricing pressures; the Company's ability to predict fashion trends; consumer apparel buying patterns; adverse weather conditions; inventory risks due to shifts in market demand and other such factors as are contained in the Company's Annual Report on Form 10-K and subsequently filed Quarterly Reports on Form 10-Q . The Company does not undertake to publicly update or revise the forward-looking statements even if experience or future changes make it clear that the projected results expressed or implied therein will not be realized. The Company is not responsible for any changes made to this press release by wire or internet services.

SOURCE The Cato Corporation