Office Depot reports smaller-than-expected loss amid cost cuts

Office Depot on Tuesday reported a smaller-than-expected quarterly loss on lower distribution costs and other expense controls. The retailer said it narrowed its losses in the second quarter to $18.7 million, compared with a loss of $82.6 million in the prior year. Sales, however, dropped 4.3% to $2.7 billion. Wall Street expected revenue of $2.75 billion.The office supplies retailer credited lower distribution costs and tightened expense controls for the quarterly bottomline improvement, but said weaker sales in both its domestic and international divisions negatively impacted sales performance.California was a trouble spot for Office Depot in the second quarter; in