Wal-Mart has spent millions for PR—much of it at Edelman—during the past several years, countering an array of labor activists, environmentalists and local communities opposed to the Big Box retailer. That fight is now over.

In the aftermath of Wall Street’s collapse, it won’t be long before the discounter gains a coveted foothold on the once glittering shores of Manhattan. A grassroots uprising will pressure snooty New York politicos to put out a welcome sign for the gang from Bentonville, Ark., as cash-strapped natives demand the same deals enjoyed by the rest of the country.

Suitable available space was one of the traditional obstacles that thwarted Wal-Mart’s entry into crowded Manhattan. That shouldn’t be much of a problem now. Barclay’s is probably interested in unloading Lehman Brothers’ Times Square headquarters. That locale is a natural for Wal-Mart. The area is densely packed with tourists from the heartland who would feel right at home shopping at a Times Square Wal-Mart. There also are plenty of Washington Mutual and Wachovia bank branches that will soon be shuttered. They could be Wal-Mart boutiques. There will be a lot of smiley faces in “price-buster” NYC.

September retail numbers released today bear out the strength of Wal-Mart. Neiman Marcus’ same-store sales plummeted 15.8 percent, J.C. Penney dipped 12.4 percent, Dillard’s sunk 12 percent, Saks dropped 10.9 percent and Nordstrom’s tumbled 9.6 percent.

Wal-Mart bucked the downturn, solidly thumping trendy competitor Target, where sales decreased three percent. Sales for Wal-Mart advanced 2.4 percent, a percentage point better than last year’s period. Even Mother Nature was no test for Wal-Mart. The store thrived though hurricanes and floods forced it to temporarily close more than 340 oultets during the reporting period.

As the nation frets over its shaky financial future, Wal-Mart is bullish on America just like Merrill Lynch used to be. President Eduardo Castro-Wright says Wal-Mart is positioned in the sweet spot as recession grips the U.S. Shoppers are flocking to Wal-Mart to buy “basics” (e.g., survival goods) for their families. Wal-Mart’s September sales of discretionary items were “soft,” while sales of “food and consumables” were strong. Wal-Mart is the 2008 version of the Great Depression soup kitchen.

The Christmas season shapes up as a bust for America’s retailers. They are also cursed by a late Thanksgiving, shortening the traditional holiday shopping season. There will be fewer festive Macs and iPods from Apple under Christmas trees this December. They will yield ground to the $10 specials on board games and dolls promoted at Wal-Mart.

We are now Wal-Mart Nation.