Saks Announces Plans To Open New Store In Honolulu, Hawaii

Business Wire, Nov 11, 1997

NEW YORK--(BUSINESS WIRE)--Nov. 11, 1997--Saks Holdings, Inc. (NYSE:SKS), the holding company for Saks Fifth Avenue, today announced that it has reached an agreement to open a new 150,000 square foot store in Honolulu, Hawaii. The store is expected to open in the fall of 2001.

This new location will anchor a planned 800,000 square foot retail and entertainment complex that will be developed by Victoria Ward, Limited, a Hawaii-based real estate company, and Simon DeBartolo Group.

Philip B. Miller, Chairman and Chief Executive Officer, noted, "We are very pleased to announce our plans to open our first full- line store outside of the continental United States. This is a continuation of Saks Fifth Avenue's strategy to increase our presence in key high growth markets. Hawaii is a premier retail market with very favorable high-end customer sales potential."

Mr. Miller continued, "Our new 150,000 square foot, full-line store will offer customers an extensive array of designer merchandise throughout three floors, encompassing the services and amenities unique to Saks Fifth Avenue."

As part of its ongoing strategy for growth, Saks has initiated a real estate expansion program by opening new stores, as well as expanding and renovating existing high potential locations. This program began in fiscal 1996, when Saks increased its total square footage by 12%. The company will increase total square footage by an additional 12% by year end of fiscal 1997.

Saks Fifth Avenue was founded in 1924. Today, the company comprises 41 full-line stores, led by its landmark flagship on New York's Fifth Avenue, eight resort stores and three main street stores. In addition, Saks operates 40 Off 5th stores and Folio, a direct mail business.

Statements in this release referring to expectations as to the future are forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Such forward- looking statements involve risks, uncertainties and other factors that may cause the actual results to be materially different from such forward-looking statements. Such factors include, among others, levels of store sales and traffic, general economic conditions in those areas in which Saks operates, competitive influences, changes in consumer preferences, and the availability of capital. For more information, see the Company's filings with the Securities and Exchange Commission.

CONTACT: Saks Fifth Avenue

Jaqui Lividini

212/940-4245

Media Contact:

Jennifer Mann/Saks Holdings,Inc.

212/940-4259

Investor Contact:

Stacey Bibi/Saks Holdings,Inc.

212/940-5262