Dillard's, Inc. reporte that sales for the month of February were $644.3 million down 1% compared to $653.5 million for the same month last year. Sales in comparable stores decreased 2%.

During the four weeks ended February 25, 2006, sales were above the average company trend in the Eastern region and slightly above trend in the Western region. Sales were slightly below trend in the Central region.

During the four weeks ended February 25, 2006, sales of lingerie and accessories, decorative home merchandise and furniture significantly exceeded the Company's average sales performance for the period. Sales of children's and juniors' apparel were significantly below trend.