Saks Incorporated to Close Its Saks Fifth Avenue Stores in Highland Park, Illinois and Austin, Texas

NEW YORK--()--Retailer Saks Incorporated (NYSE: SKS) (“Saks” or the “Company”) today announced that it plans to close its Saks Fifth Avenue stores located in Renaissance Place in Highland Park, Illinois and in the Aboretum Market in Austin, Texas. Both stores are expected to close on December 31, 2012.

Steve Sadove, Chairman and Chief Executive Officer of Saks, commented, “We routinely assess the productivity, profitability, and potential of each of our stores and may conclude closings are necessary from time to time. These planned closings are consistent with our strategy of employing our resources in our most productive locations.”

Approximately 60 associates are employed in the Highland Park store, and approximately 64 associates are employed in the Austin store. All affected associates either will be offered transfer opportunities or will receive appropriate employment separation packages. Sadove continued, “Store closing decisions are never easy. We are very appreciative of our many loyal associates in both the Highland Park and Austin Saks Fifth Avenue stores, and we are committed to providing them with needed assistance during this period.”

The Highland Park store opened in 2000 and is approximately 49,000 square feet. Saks will continue to serve its metropolitan Chicago customers with its flagship store located on Michigan Avenue. The Austin store opened in 1997 and is approximately 52,000 square feet. The Company also operates Saks Fifth Avenue stores in Dallas, Houston, and San Antonio.

Saks Incorporated currently operates 45 Saks Fifth Avenue stores, 64 Saks Fifth Avenue OFF 5TH stores, and saks.com.

Forward-looking Information

The information contained in this press release that addresses future results or expectations is considered “forward-looking” information within the definition of the Federal securities laws. Forward-looking information in this document can be identified through the use of words such as “may,” “will,” “intend,” “plan,” “project,” “expect,” “anticipate,” “should,” “would,” “believe,” “estimate,” “contemplate,” “possible,” and “point.” The forward-looking information is premised on many factors, some of which are outlined below. Actual consolidated results might differ materially from projected forward-looking information.

The forward-looking information and statements are or may be based on a series of projections and estimates and involve risks and uncertainties. These risks and uncertainties include such factors as: the level of consumer spending for luxury apparel and other merchandise carried by the Company and its ability to respond quickly to consumer trends; macroeconomic conditions and their effect on consumer spending; the Company’s ability to secure adequate financing; adequate and stable sources of merchandise; the competitive pricing environment within the retail sector; the effectiveness of planned advertising, marketing, and promotional campaigns; favorable customer response to relationship marketing efforts of proprietary credit card loyalty programs; appropriate inventory management; effective expense control; successful operation of the Company’s proprietary credit card strategic alliance with Capital One Financial Corporation; geo-political risks; the performance of the financial markets; changes in interest rates; and fluctuations in foreign currency and exchange rates. For additional information regarding these and other risk factors, please refer to the Company’s filings with the SEC, including its Annual Report on Form 10-K/A for the fiscal year ended January 28, 2012, its Quarterly Reports on Form 10-Q, and its Current Reports on Form 8-K, which may be accessed via the Internet at www.sec.gov.

The Company undertakes no obligation to correct or update any forward-looking statements, whether as a result of new information, future events, or otherwise.

Contacts

Saks Incorporated
Julia Bentley, 865-981-6243
www.saksincorporated.com

Contacts

Saks Incorporated
Julia Bentley, 865-981-6243
www.saksincorporated.com