NEW YORK (AP) - Although some retailers saw improving sales in

June, they're saying it was largely because consumers were using

their rebate checks to buy necessities and discounted items.

Challenges remain for the rest of the year because of the housing

slump and sputtering economy.

 

Discounters and wholesale club operators including Wal-Mart,

BJ's Wholesale Club and Costco reported better-than-expected

numbers.

 

Some rebate money was put to work at clothing stores, such as

Children's Place. Sales remained sluggish at mall-based apparel

stores, including Limited Brands, Gap and Wet Seal.

(Copyright 2008 by The Associated Press. All Rights Reserved.)