Kohl’s swings to surprise loss; warns on profit for year

By ANNE D’INNOCENZIO
AP Retail Writer

NEW YORK (AP) — Kohl’s plans to cut inventory by roughly 5%, be more surgical in discounts  and change how it showcases fashion to inspire shoppers to buy after the department store chain reported a big loss and a sales slump in the fourth quarter. The retailer, based in Menomonee Falls, Wisconsin, also issued an annual profit outlook that fell below Wall Street expectations as the company grapples with customers cutting back on discretionary items like fashion amid stubbornly high inflation for all kinds of necessities. Shares dropped as much as 10% in pre-market trading on Wednesday but reversed the declines in regular trading hours after Kohl’s executives spelled out a plan to turn around its business.