American Eagle said it expects sales to decline 5% in its fiscal first quarter after it saw slow demand and steep discounting.

(Reuters) -American Eagle Outfitters on Tuesday withdrew its annual forecasts due to macroeconomic uncertainty and said it took a roughly $75 million inventory charge in the first quarter related to the write-down of its spring and summer merchandise.

Shares of American Eagle Outfitters are tumbling after the retailer withdrew its financial outlook for the year citing “macro uncertainty” and said it would write down $75 million in spring and summer merchandise.