The Neiman Marcus Group, Inc. announced in the five-week June period, comparable revenues in the Specialty Retail Stores segment increased 6.1 %. Stores in the Northeast and West had the strongest sales results for the month. Comparable revenues at Neiman Marcus Direct in the five-week June period increased 23.6 %. 

                                       5 weeks ended
                                   July 5,       June 29,
                                    2003           2002      % Change
                               -------------  -------------  ---------

Total Revenues                  $289 million   $255 million      13.4%

Comparable Revenues             $281 million   $255 million      10.3%

Based on the current sales trends, the Company anticipates its comparable store revenues for the fourth quarter of fiscal year 2003 to increase in the range of 5 to 7 %. In addition, the Company currently anticipates its gross margin percentage in the fourth quarter to be approximately the same as last year. The merchandise categories in the Specialty Retail Stores segment that performed well included women’s apparel and shoes, designer handbags, and designer jewelry.