LOS ANGELES: The death toll after one of America's biggest shopping days was three after bargain-hunting shoppers crowded malls, superstores and high streets to cash in on steep discounts by recession-hit retailers.

The day after the Thanksgiving holiday usually marks the start of the most intense period of the holiday shopping season. It is known as Black Friday because historically shops put their profits in the black thanks to the huge influx of customers.

The dead included a Wal-Mart employee in New York and two shoppers at a Toys R Us store in California.

At the Toys R Us store in Palm Desert, California, some 200 kilometers southeast of Lost Angeles, an argument between rival shoppers escalated into the shooting that left two dead, police said.

In a statement, Toys R Us stressed that the shooting appeared to stem from a "personal dispute," adding it would be "inaccurate to associate the events of today with Black Friday."

At Wal-Mart, the largest US retailer, crowds were so large at one New York area store that an employee died after being knocked down by hundreds of shoppers hunting for bargains as the doors opened at 5 am, the New York Daily News reported.

The 34-year-old overnight stock clerk, who was attempting to hold back the wave of shoppers, fell and witnesses said shoppers walked over and around him as he gasped for air.

In Los Angeles hundreds of shoppers lined the pavements outside the Citadel Outlets in Century City to be sure to get the so-called "door-buster deal" on a wide range of merchandise.

Outlet stores are expected to perform well this season. The large shops are run directly by manufacturers and typically offer steep discounts over regular retail prices.

At Jefferson Outlet Mall, about 40 miles from Columbus, was handing out $200 goody bags - some bags containing coupons for $100 to $500 shopping sprees - to the first 500 shoppers to arrive in their pajamas at the midnight opening.

Outside a Toys R Us store nearby about sixty people had queued up an hour before the store's opening at 5 a.m. More were pouring in.

"I have ten kids to shop for. Action figures which normally sell for $7 are $2 apiece today," said a woman in queue in front of the toy outlet.

"I came here about an hour ago and the line is still much smaller than it was last year when I came at 10:30," said Satish, a computer technician waiting to buy a computer game.

In Silicon Valley and elsewhere, tech gadgets appeared to be the most popular items.

Flat screen televisions have been seeing a sharp price drop anyway thanks to a drop in component prices.

But retailers slashed prices even further to lure in shoppers at chains like Best Buy and Fry's Electronics where 50 inch Panasonic Plasma TV's were selling for under 900 dollars.

"We may be in a recession," said shopper Tony Valda, who waited all night to snag the TV bargain. "But no-one can resist a deal like this."

Despite the economic downturn, overall sales this season are expected to grow 2.2 percent to $470.4 billion, according to the National Retail Federation.

— With input from agencies