Federated January comp sales increase 5.1 percent

Business Wire, Feb 8, 1996

CINCINNATI--(BUSINESS WIRE)--Feb. 8, 1996--Federated Department Stores, Inc. today reported sales for the five weeks of January, as well as comparable sales for the four-week period that corresponds to January 1995. The January period reflects an extra week in Fiscal 1995, creating a 53-week fiscal year that occurs approximately every six years in the accounting cycle for most retail companies.

Federated's total sales for January -- the five-week month that ended February 3, 1996 -- were $867.4 million, an increase of 43.2 percent over total sales of $605.9 million for the four weeks ended January 28, 1995. Federated's sales for a comparable four-week period this year totaled $716.7 million. On a comp-store basis, sales increased 5.1 percent for the four weeks ended January 27, 1996.

For the 14-week fourth quarter, Federated's total sales were $5,264.9 million, an increase of 67.7 percent over total sales of $3,139.4 million for the 13 weeks ended January 28, 1995. Federated's sales for a comparable 13-week period this year totaled $5,114.2 million. On a comp-store basis, including Macy divisions, sales increased 2.2 percent for the 13 weeks ended January 27, 1996.

The company's total sales for the 53 weeks of Fiscal 1995 were $15,048.5 million, an increase of 81.0 percent over total sales of $8,315.9 million for the 52 weeks of the prior fiscal year. Federated's sales for the 52 weeks ended January 27, 1996 were $14,897.8 million. On a comp-store basis, including Macy divisions, sales increased 2.7 percent for the 52 weeks ended January 27, 1996.

In addition to the disparity caused by the 53 weeks of Fiscal 1995, Federated's total sales this year also reflect revenues generated by the recently acquired Broadway Stores, Inc. These sales amounted to $14.3 million for the fifth week of January, $105.6 million for the five weeks of January, $635.4 million for the 14-week fourth quarter and $1,050.3 million for the 53-week fiscal year.

Allen Questrom, chairman and chief executive officer of Federated, said the company was pleased with January's results, which showed a strong rebound in sales following disappointing holiday sales in December.

"January was a very good month for us, which we think reflected, at least in part, our focus on continuing to bring new merchandise into our stores during a month that traditionally has been devoted almost exclusively to clearance," Questrom said. He added, however, that because January still primarily reflects sales of clearance merchandise, the company's strong performance last month does not alter its more cautious retail outlook for the year ahead.

Federated, with corporate offices in Cincinnati and New York, is one of the nation's leading department store retailers, with annual sales of more than $15 billion. Federated currently operates more than 400 department stores and 150 specialty stores in 36 states. Federated's department stores now operate under the names of Bloomingdale's, The Bon Marche, Broadway, Bullock's, Burdines, Emporium, Goldsmith's, Jordan Marsh, Lazarus, Macy's, Rich's, Stern's and Weinstock's. -0-

(NOTE: Information on Federated and its operating divisions, including copies of past press releases and corporate background data, also is available by calling Fax-On-Demand at 1-800-853-9150.)

CONTACT: Federated Department Stores, Inc., Cincinnati

Carol Sanger, 513/579-7764

Susan Robinson, 513/579-7780