COSTCO Pricing

[subal]

I was told by a Costco employee that anything priced with the last digit being a "0" or "7" is considered a lost profit leader.

Can any one confirm this?

[dave_c]

Consumer advocate Clark Howard talks about the pricing scheme, ending in x.97, but now I look for the * on the tag.

[Bobfrmia]

Ending in .97 means closeout item. The price keeps falling the longer the last of the stock remains.
an * means that what you see is all that's left of that item, and it isn't on reorder.

[cstr]

Generally, when I see a price end in .97 and there's an * on the sign it means it's a closeout and Costco is discontuing the item. Oh, and it's a great, usually half, price.