Comparable store sales for The Elder-Beerman Stores Corp. increased 1.5 percent for the four weeks ended May 31, 2003 compared to the four weeks ended June 1, 2002. Total store sales decreased by 0.3 percent to $42.6 million versus the same period last year. The best performing businesses in May were ladies moderate and special size sportswear, accessories, men’s furnishings and the entire home store.

For the year to date, comparable store sales decreased by 5.6 percent for the 17 week period ended May 31, 2003. Total store sales decreased 5.6 percent to $173.7 million versus the same period last year.

On May 16, 2003, Elder-Beerman announced that it had recently received unsolicited expressions of interest relating to the possible acquisition of the company. It also stated that it entered into discussions, on an exclusive basis and for a limited period of time, with one of the parties concerning the possible sale of the company and that there can be no assurance that these discussions will result in any transaction involving the company.