(CHARLOTTE) -- The Cato Corporation reported February sales of $80 million, an increase of 7% over sales of $74.7 million for the same period last year.  Same-store sales for the month increased 3% over the prior year.

"February sales benefited from a shift in the timing of income tax refunds," said John Cato, Chairman, President, and Chief Executive Officer.  "We currently expect flat to low single digit negative comparable store sales for the remainder of first quarter 2010."

The Charlotte-based discount women's apparel retailer opened a store in Jacksonville, FL in February and closed one It's Fashion store in preparation for its conversion to an It's Fashion Metro store that will open in April.  As of February 27, 2010, the Company operated 1,271 stores in 31 states, compared to 1,282 stores in 31 states as of February 28, 2009.