BJ’s Sees Comps Increase 3.5% in January

BJ's Wholesale Club, Inc. saw an 8.5% increase in fiscal January sales to $724.2 million from $667.7 million last year. On a comparable club basis, January sales increased by 3.5%, including a contribution from sales of gasoline of approximately 0.3%. For January 2006, the company reported a comparable club sales increase of 2.0%, including a contribution from sales of gasoline of 2.1%.

For the fourth quarter of 2006, total sales increased by 6.0% to $2.4 billion, and comparable club sales increased by 1.5%, including a contribution from sales of gasoline of 0.2%. For the 53-week year ended February 3, 2007, total sales rose by 5.2% to $8.3 billion and comparable club sales increased by 1.2%, including a contribution from sales of gasoline of 0.7%.

                    Sales Results for January 2007
                           ($ in thousands)
           Five Weeks Ended                       % Change
      February 3,         February 4,         Net           Comp.
         2007                2006            Sales          Sales
------------------------ -------------- --------------- --------------
       $724,175            $667,686          8.5%            3.5%

        Fifty-three Weeks Ended                   % Change
      February 3,         February 4,         Net           Comp.
         2007                2006            Sales          Sales
------------------------ -------------- --------------- --------------
      $8,303,283          $7,894,795         5.2%            1.2%

On January 4, 2007, the company announced plans to close its ProFoods Restaurant Supply operations, consisting of two locations in Metro New York. Results for the two ProFoods locations are not included in the company's sales results for all periods presented, since these locations will be treated as discontinued operations.

The company provided the following additional information regarding January 2007 comparable club sales for BJ's Wholesale Club:

Sales of food increased by approximately 4%. Sales of general merchandise increased by approximately 3%, driven by a higher level of markdowns versus last year, particularly in apparel, furniture and televisions. Sales of food increased by approximately 3% for the fourth quarter and approximately 2% for the year. Sales of general merchandise decreased by approximately 1% for both the fourth quarter and the year.

Sales increased in all five weeks with the strongest gain in week one. By major region, sales were strongest in Metro New York and softest in the Southeast.

Excluding sales of gasoline, traffic increased by approximately 1.5% and the average transaction amount increased by approximately 2%.

Merchandise categories with the strongest sales increases compared to last year included apparel, paper products, produce, soda & water, televisions and video games. Weaker categories versus last year included cigarettes, frozen, jewelry and prerecorded video.