The locally based retailer said sales climbed to $2.62 billionfor the quarter ending May 31, up nearly 18% from $2.23 billion inthe prior year's period. Domestic sales were up by the same amount,rising from $2.1 billion in first quaarter a year ago to $2.5billion for this year's first quarter.

Phil Schoonover, president and CEO, said an "improved in-storecustomer experience" helped push up the average consumer sale astraffic trends improved due to the chain's multi-channel marketingefforts. Sales originating on the web also perked up in-store salesas buyers clicked to research products online and picked up theirmerchandise in Circuit City stores, he said.

The company, which operates more than 1,500 stores in the US andCanada, is also expanding with the opening of three new superstoresand two outlet stores during the period, company officials said.Four more superstores are set to open in the second quarter withseven additional superstore outlets planned for the thirdquarter.