June is looking like a washout for retailers, with cold and rainy weather in many parts of the country keeping consumers homebound.

Retailers on Thursday are expected to post a 4.8% drop in same-store-sales for last month, with department stores and some apparel retailers doing most poorly, while discounters appeared to see some resurgence in interest.

June's drop would mark the 10th straight month of same-store-sales declines, the longest since Thomson Reuters began collecting the data in 2000.

The figures do not include Wal-Mart Stores Inc. (WMT), which stopped reporting same-store sales in May.

"Retailers are still hurting, and in fact consumers are showing signs of heading down the retail chain in a greater way again," said Jharonne Martis, retail analyst at Thomson Reuters.

June's expected same-store-sales drop is the same as May's 4.8% decline, but consumers' buying habits are showing some shift.

May saw some improvement in demand for merchandise from department stores and apparel retailers, as they posted lower drops than in some prior months. Any momentum vanished in June as colder weather during the month hurt demand for shorts, bathing suits and other summer apparel.

On the lowest end, though, discounters saw their sales declines mitigate a bit as consumers again became wary in the face of unemployment continuing to ratchet up and gas prices rising.

"People are primarily buying non-discretionary items again," Martis said.

Retailers also did not benefit from the tax rebate checks that consumers spent in June 2008.

For June, apparel retailers are expected to see a 10.6% drop in comparable-store-sales, worse than their year-to-date average 9.3% decline. Among apparel retailers, Abercrombie & Fitch Inc. (ANF), despite finally adopting a promotional posture, is expected to see its comps fall 26.6% for June.

Department stores are looking at a 9.1% decline, led by upper-end Saks Inc. (SKS), off 11.8%; and Nordstrom Inc. (JWN) down 11.4%. Kohl's Corp. (KSS), on the lower end of the group, is seen as doing the best among department stores, with a 6.8% decline.

Discounters are looking at a 5.8% decline, with Target Inc. (TGT) showing a 5.6% drop and Costco Wholesale Corp. (COST) off 6%. BJ's Wholesale Club Inc. (BJ) is in the position of showing the worst drop among discounters, with an overall 7.2% decline. But when the impact from gas sales are backed out, analyst see BJ's same-store-sales rising 3%.

The only other gains of the 28 retailers that Thomson Reuters tracks are by three in the apparel group.

Buckle Inc. (BKE) is projected to see sales rise 12.2% despite a difficult comparison to last June, when sales rose 28.9%. Buckle is viewed by analysts as being very on target when it comes to teen fashion and also offers varying prices for its merchandise.

Aeropostale Inc. (ARO) is pegged to see a 10.3% rise, as it continues to use its fashion sense and low prices to takes business away competitors like Abercrombie & Fitch.

Ross Stores Inc. (ROST), another discount apparel retailer, is seen showing a 0.6% rise in June same-store-sales.

July may also be a struggle for retailers. Tax-free holiday periods that many states held n July last year are being shifted into August this year.

- By Karen Talley, Dow Jones Newswires, 212-416-2196; karen.talley@dowjones.com