More than 120 stores close as power outages strike southern US
US giant Wal-Mart had to close more than 120 of its US stores yesterday in the wake of the devastating hurricane Katrina, which has torn through the Southwest of the country.

However, the retailer said that operational store numbers remained 'very fluid', because it was able to reopen some stores when power was restored.

Wal-Mart had teams in the area affected by Katrina and, where possible, the company transported generators to stores.

Wal-Mart's Emergency Operations Centre at Bentonville, Arkansas, which monitors hurricanes and other disasters, has been in round-the-clock operation since Friday, said a spokeswoman. The item most in demand at Wal-Mart stores in the hurricane's path before it hit were ball joints to put on cars so people could hook up trailers before they evacuated the area.

Rising oil prices caused by hurricane Katrina have created concern among analysts who said it might lower Wal-Mart's next quarterly earnings because petrol prices at the pump affect the company's low-income customer base more than other retailers.

Wal-Mart has donated US$1 million (£560,000) to the Salvation Army for immediate relief assistance to the victims of the hurricane and has set up donation points in all its stores.

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