Goody’s Family Clothing, Inc. reported total sales for fiscal periods ended January 29, 2005 (fiscal 2004) compared with fiscal periods ended January 31, 2004 (fiscal 2003) as follows (dollars in millions):

                        Total Sales                 Percent Change

                                                 Total       Comparable
    Fiscal Period:      2004       2003          Sales       Store Sales

    January           $   61.2   $   60.7         0.8%          -3.4%
    Fourth Quarter    $  384.7   $  369.2         4.2%          -0.4%
    Year              $1,267.0   $1,227.0         3.3%          -0.3%

“Sales through Thursday, January 27, 2005, reflected a 1.6% comparable store sales increase over the prior year,” commented Robert M. Goodfriend, Chairman and Chief Executive Officer. “However, ice storms across the Southeast, which crippled cities as far south as Macon, Georgia, had a significant negative impact on our sales for the last two days of the month. Total inventory levels per square foot at the end of fiscal 2004 increased by a percentage estimated (subject to normal year end adjustments) to be in the mid- to high single digits over the levels at the end of the same period last year. Our new Home Store and Cosmetics departments accounted for approximately 3.0% of this increase. Fall 2004 seasonal inventory levels on a per-square- foot basis were about the same when compared with the same period last year.”

“Sales of our exclusive Duck Head brand far exceeded our original expectations during fiscal 2004,” Goodfriend continued, “with total Duck Head sales reaching in excess of $97 million.”