A mid-priced retailer of apparel and housewares, KSS does not have the discount-price advantage that stores such as Dollar Tree or Wal-Mart has during the recession. As consumers look more to cutting costs through shopping at discount-price retailers, KSS will face more rigorous competition in an environment where retail sales are already weak. In fact, in Q3 2008 (ended Nov. 1, 2008), net earnings fell 17% to $160.2 million, sales fell 1%, and same-store sales fell 6.7% when compared to the prior-year quarter.