Nordstrom said Monday it was slashing 400 jobs at its corporate headquarters. The move comes two months after the department store chain reported a 3% drop in comparable sales for its fourth quarter, and forecast that profit per share would fall 30% in the first half of this year. The cuts confirm a terrifying new reality for high-end retailers: Wealthy shoppers are reining in spending and — along with the rest of American consumers —

refusing to pay full price for anything. Nordstrom inventory increased 12% in the most recent quarter — a sign that the chain is having a hard time clearing its shelves, and will likely have to rely on promotions to sell the merchandise. That can be a risky strategy, particularly for a high-end retailer, because too many promotions can cheapen the brand. FULL REPORT