The Bon-Ton Stores, Inc. Announces May Sales

Business Wire, June 5, 2008

YORK, Pa. -- The Bon-Ton Stores, Inc. (NASDAQ: BONT) today announced comparable store sales for the four weeks ended May 31, 2008 decreased 9.9% compared to the prior year period. Total sales for the four weeks decreased 8.7% to $214.3 million compared to $234.7 million for the prior year period.

Year-to-date comparable store sales decreased 5.9%. Year-to-date total sales decreased 5.9% to $914.6 million compared to $972.3 million for the same period last year.

Tony Buccina, Vice Chairman and President - Merchandising, commented, "May sales were disappointing as weak trends from the end of April carried into May, reflecting reduced traffic levels as the primary issue, combined with unseasonably cool weather during the month. Our best performing businesses were ladies' spring outerwear, children's and cosmetics. Seasonal categories were challenged throughout ladies' ready to wear, men's, shoes, accessories, and intimate apparel. We will continue to manage inventory levels conservatively. Inventories at the end of the month were down on a comparable store basis."

Keith Plowman, Executive Vice President and Chief Financial Officer, stated, "Our excess borrowing capacity under our credit facility was approximately $293 million at the end of May 2008, remaining above the level for the comparable prior year period."

The Bon-Ton Stores, Inc. operates 280 stores, including eleven 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, three 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 http://investors.bonton.com.

Statements made in this press release, other than statements of historical information, are forward-looking 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; a significant and prolonged deterioration of general economic conditions which could negatively impact the Company, including the potential write-down of the current valuation of intangible assets and deferred taxes; consumer spending patterns and debt levels; additional competition from existing and new competitors; inflation; changes in the costs of fuel and other energy and transportation costs; weather conditions that could negatively impact sales; uncertainties associated with opening new stores or expanding or remodeling existing stores; the ability to attract and retain qualified management; the dependence upon vendor relationships; the ability to reduce SG&A expenses 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 under Item 1A of the Company's Form 10-K filed with the Securities and Exchange Commission.