• MSNBC/AP, Tuesday, May 22, 2007 11:15 AM

Wal-Mart is reducing the number of U.S. stores selling a fashion line by designer Mark Eisen, which it unveiled last year as part of a drive to match successful low-price designer labels at rivals like Target. The reduction will not be as large as the retailer's rollback of its urban-style Metro 7 line for women, according to Wal-Mart spokeswoman Linda Blakley.

Metro 7, launched in fall 2005, was quickly pushed into about 1,500 stores before executives decided it was not selling well enough in several markets and decided to cut it back to below 1,000. The Eisen line, called George ME, is offered in more than 3,000 stores now. It will be in a few less by the end of the year, and "is performing very well in most stores," Blakley says.

Last week, the retailer said its inventory grew faster than targeted in the three months from February through April. Apparel sales remained weak, together with home decor, offsetting stronger sales in areas that have been performing well, including home electronics, groceries and $4 generic prescription drugs.

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