Twins! How Cute

Pregnancy hasn't gone out of style--but sales of upscale maternity wear are drooping decidedly. Sweatpants and casual wear have cut into revenues at retailer Mothers Work, whose stock price has dropped 52% since mid-1993. Afd A Pea in the Pod hit $2 in December, down from $12 a year earlier. Will marriage suit these rivals? On Mar. 6, Pea confirmed it will sell out to Mothers Work for $23.9 million, or $5.50 a share. Although the combined company will dominate the high end of the mommy-to-be market, analysts still expect sluggish growth.

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