PetSmart slows expansion

New York City PetSmart will open 40 to 42 retail stores and 20 PetsHotels this year, which represents a slower pace than the Phoenix-based retail chain has seen in past years.

“We continue to remain cautious about the economic climate,” CFO Lawrence Molloy told analysts during a conference call last week.

During 2008, PetSmart opened 112 name-brand stores and closed eight. Forty-five PetsHotels joined the lineup.

“By slowing our store growth in 2009, we believe greater emphasis can be place on our current store base,” Robert Moran, president and COO, said during the analyst call.