The company did not give a complete guidance because it still completing an asset impairment analysis.

It's the latest setback for the retailer, which said last month that it would close stores and cut jobs to shave costs.

Christopher & Banks said it expects revenue rose 3 percent during the three months ended Nov. 26, to $123.9 million from $120.9 million. Revenue in stores open at least one year were flat. The measure is considered a key gauge of a retailer's performance since it excludes results from stores that open or close during the year.

"We were more aggressive in our promotions in order to drive sales and move through seasonal inventory," said CEO Larry Barenbaum in a statement.

Christopher & Banks, like many women's or "missy" clothing retailers, was hit hard during the recession and has been slow to recover.

The company has posted net losses in five of the past eight quarters. It has had difficulty selling new merchandise at full prices and has resorted to aggressive discounting, which has hurt margins.

Christopher & Banks expects gross margin to be 21.3 to 21.7 percent in the September-November quarter, down from 35.9 percent in the same period last year.

The company will report complete third-quarter results on Dec. 22.

In November, Christopher & Banks said it would close 100 stores and trim 7 percent of corporate headquarters employees and 13 percent of its store operations field management team to cut costs.

The company said Wednesday it is suspending its quarterly dividend in an effort to preserve cash.

Separately, Christopher & Banks said it named Joel Waller as president for a one year term effective Wednesday, a new position. He has been a retail executive for more than 30 years, including stints as CEO at Wilsons Leather and Wet Seal Inc. He'll report to Barenbaum.

"Based on Joel's extensive retail experience, coupled with his operational, product sourcing and management background, we believe that he will be highly effective in assisting us in revitalizing the business," Barenbaum said.

Shares fell to a 52-week low of $2.28 before recovering somewhat. In mid-morning trading, the stock was up a penny at $2.49. It's down 60 percent in 2011.