Reuters Summit-IPad sales likely to boost mall sales

(For other news from the Reuters Global Luxury Summit, click here)

* iPad sales likely to boost April U.S. mall sales

* Taubman shares close down 2 percent

(Adds mall comparisons)

By Ilaina Jonas

NEW YORK, June 1 (Reuters) - Sales of Apple Inc's (AAPL.O) iPad, which debuted on April 3, have been so strong that the multimedia tablet will likely push the needle for monthly mall sales, upscale mall operator Taubman Centers Inc (TCO.N) said.

"It will have an impact on the mall industry as a whole," William Taubman, the company's chief operating officer, said at the Reuters Global Luxury Summit in New York.

Unlike Simon Property Group Inc (SPG.N), which has interests in or manages more than 300 U.S. malls, Taubman owns, manages or leases just 26 malls. Apple stores are in 15 of Taubman's malls, including Fair Oaks Mall in Virginia and the Mall at Short Hills, New Jersey.

"Apple had an extraordinary April in which their sales were really unprecedented as a result of the iPad," Taubman said. "That will impact mall numbers in April and skew the numbers north. Apple is an important enough element in particular in our portfolio, and they have a bigger impact on our portfolio than anyone else's."

Since its debut, Apple has sold more than 2 million iPads. The 9.7-inch touchscreen tablet resembling a large iPhone was designed for Internet surfing, games and reading online publications. International sales began May 29.

Taubman said investors would have to strip out the iPad debut effect and look to May sales figures to get a better indication about how the retail sector as a whole is performing.

"We actually had a good April without Apple, but I don't think the industry as a whole did," he said.

At "A" malls, those generating the greatest sales per square foot, occupancy and rents were stable during the U.S. economic downturn, Taubman said.

"The 'A' mall rents have held very steady," Taubman said. "At 'B' malls and particularly the 'C' malls, rents have fallen very precipitously. What you are seeing is greater separation in pricing."

Shares of Taubman fell 2.07 percent, or 84 cents, to close at $39.65 on the New York Stock Exchange.

(Reporting by Ilaina Jonas; Editing by Michele Gershberg and Richard Chang)

((ilaina.jonas@thomsonreuters.com; +1 646 223 6193; Reuters Messaging: ilaina.jonas.reuters.com@reuters.net; e-mail: ilaina.jonas@thomsonreuters.com)) Keywords: LUXURY SUMMIT/TAUBMAN

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