UPDATE 4-Hudson's Bay reports loss, sees little Target overlap

Tue Dec 11, 2012 3:19pm EST
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* Same-store sales rise at both Hudson's Bay and Lord & Taylor

* Retail sales up 3.8 percent at C$930.4 million

* Superstorm Sandy to weigh on sales in current quarter

* CEO says company may one day spin off real estate assets

By Allison Martell

Dec 11 (Reuters) - Hudson's Bay Co's chief executive said on Tuesday that he does not see Canadian customers taking their business away from his department stores when Target Corp makes its debut north of the border in the spring.

Shares of HBC, which operates Hudson's Bay in Canada and Lord & Taylor in the United States, have languished since the company's November IPO. That partly reflects concern that Target - which bought its first Canadian leases from HBC - will derail HBC's turnaround once its stores open.

"We made the deal with Target, so we did a tremendous amount of analysis before we made that deal," CEO Richard Baker told Reuters on Tuesday after the company posted a quarterly net loss, and warned that the impact of Superstorm Sandy would weigh on sales in the current period.

"While they are a similar customer, there is very, very little product overlap."   Continued...