I decided not to go into our local Blacks yesterday, because I know that I can't resist temptation (Yes, I know its Blacks, not REI, but I'm sure I'd find something..).
Wicca - your dead right about the group as a whole
http://www.guardian.co.uk/business/2011/nov/25/blacks-leisure-profit-warning?newsfeed=true - if they can't get more cash, then their in real trouble. All retailers were hit by both the mild weather and the poor economy (my employer included), but I have to admit that Blacks have been here before. If you look on the page I linked to, there were profit warnings in 2006, 2007 & 2008, and that was before the recession! Our local Millets did not last past an end of lease, and the independent shop they bought about five years ago didn't last long as an outlet.
40% is basically close to giving stuff away at cost in the hope that people will buy something, just to pump up volume. I suspect they will close more stores, and possibly kill off Millets first. Frankly, they tend to do much the same stuff as the supermarkets (is Peter Storm an attractive brand?), and if you have both a Blacks and a Millets, which is more vulnerable? Blacks is 5% owned by TNF, who need Blacks to move their kit, but not Millets.
More bargains await, but its pretty sad to see such a formerly good shop in such a state.