Zale Inc. apparently is not churning out good results for the holiday season, as it reported further losses in the first quarter and a lower holiday sales forecast. Zale’s revenue declined by 1% to value at $432 million, The loss was of $28.4 million in the quarter ending October 31, as compared to a $26.4 million loss during the corresponding period of last year. Its same-store sales dropped by 0.4%.

According to Zale's CEO Betsy Burton, Zale stores located in malls throughout the US, would have been affected by decreasing footfalls and increased competition. Also, Zale remarked that the revenue decline was also due to the losses at Bailey Banks & Biddle, which it is in the process of selling. Industry analysts site that midlevel jewelry chains like Zale may have to face the slump, as consumers are spending cautiously this holiday season.