The report blames a tough comparison to 2005, when the Easter holiday fell in March, as opposed to it taking place this year. But the Easter shift should bode well for this month's sales, and ICSC predicts a 5% rise when the results come out in early May.

The apparel segment's same-store sales were hit the hardest, dropping 3.6% from March last year. Gap Inc. reported an 11% plunge, while Cato Corp. fell 4%. The calendar shift did not phase Chico's FAS though, as the chain posted an 8.4% leap.

Discount chains barely escaped flat sales, inching up by 1%. Target Corp.'s stores fared the best, posting a 2.2% increase. Wal-Mart barely rang up an increase, at 0.8%, while the Dollar General chain dropped 1.5%.