Shoppers wait in line to pay for their purchases at a Wal-Mart store. (Robyn Beck/AFP/Getty)

Wal-Mart Stores Inc. is in the midst of its worst U.S. sales slump ever. The world’s largest retailer said today sales at its U.S. discount stores open at least a year fell 1.8 percent during the chain’s most important quarter.

The world’s largest retailer earned $5.02 billion, or $1.41 per share, up from $4.82 billion, or $1.26 per share, a year earlier.

Wal-Mart’s struggles are the result of a misstep: To jump-start lethargic growth and counter the rise of competitors such as cheap-chic rival Target Corp., executives veered away from the winning formula of late founder Sam Walton to provide “every day low prices” to the American working class. Wal-Mart, the world’s biggest retailer by sales, instead raised prices on some items while promoting deals on others. Get the full story »