Business Services Industry

The Bon-Ton Stores, Inc. Announces Real Estate Initiative for Green Bay, Wisconsin Location

Business Wire, Feb 1, 2007

YORK, Pa. -- The Bon-Ton Stores, Inc. (NASDAQ: BONT) today announced real estate initiative regarding its Elder-Beerman store located in Green Bay, Wisconsin.

The Elder-Beerman department store in Green Bay, Wisconsin will be converted into a furniture gallery. Construction is expected to begin on the 55,000 square foot gallery in March 2007 with the completion scheduled for July 2007. The furniture gallery will operate under the Younkers nameplate. The Company will continue to operate its Younkers full-line department store at the Bay Park Mall location.

Bud Bergren, President and Chief Executive Officer, stated, "We are pleased to offer our customers in the Green Bay market a brand new furniture gallery. We look forward to the opportunities the gallery will afford us. Our Elder-Beerman customers will find a greater merchandise selection at our Younkers department store in Bay Park Mall, along with the excellent customer service they have come to expect. We believe the addition of the furniture gallery will enhance the total shopping experience for all our customers in this market."

The Company anticipates that most, if not all, of the affected associates will have opportunities in expanded positions in the Younkers Bay Park Mall store and the newly created furniture gallery. If the Company is unable to place an affected associate in another position, the associate will receive career transition benefits, including severance and state employment service support.

The Bon-Ton Stores, Inc. operates 283 stores, which includes eight furniture galleries, in 23 states in the Northeast, Midwest and upper Great Plains under the Bon-Ton, Bergner's, Boston Store, Carson Pirie Scott, Elder-Beerman, Herberger's and Younkers nameplates and, under the Parisian nameplate, one store in each of Indianapolis, Indiana and Dayton, Ohio and two stores in the Detroit, Michigan area. The stores offer a broad assortment of brand-name fashion apparel and accessories for women, men and children, as well as cosmetics and home furnishings. For further information, please visit the investor relations section of the Company's website at www.bonton.com/investor/home.asp.> Statements made in this press release, other than statements of historical information, are forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties that may cause results to differ materially from those set forth in these statements. Factors that could cause such differences include, but are not limited to, risks related to retail businesses generally, additional competition from existing and new competitors, uncertainties associated with opening new stores or expanding or remodeling existing stores, including construction delays, risks related to the Company's integration of the business and operations comprising the recently-acquired Northern Department Store Group, the ability to attract and retain qualified management, the dependence upon key vendor relationships and the ability to obtain financing for working capital, capital expenditures and general corporate purposes. Additional factors that could cause the Company's actual results to differ from those contained in these forward-looking statements are discussed in greater detail in the Company's periodic reports filed with the Securities and Exchange Commission.