ShopKo Stores reported consolidated sales for the four weeks ended May 29, 2004 increased 3.1 percent to $251.9 million from $244.2 million during the same period last year. Consolidated comparable store sales increased 3.2 percent. 

         Sales Summary by Business Segment (dollars in millions)

  Retail Segments      Period Ended            % Change
  4 Weeks:                5/29/04        Total**         Comp*

  ShopKo                  $184.9          3.1 %          3.0 %
  Pamida                    67.0          3.2            3.5
  Total Retail            $251.9          3.1 %          3.2 %

  17 Weeks:

  ShopKo                  $737.7          3.9 %          3.9 %
  Pamida                   249.2          2.9            3.3
  Total Retail            $986.9          3.7 %          3.7 %

   *  Comparable store sales represent sales of those stores open during
      both fiscal years and do not include sales from the ShopKo wholesale
      optical lab.
   ** Pamida division total sales variance reflects sales in the prior year
      periods from eight locations that were closed and not replaced, and
      two new Pamida locations opened in fiscal year 2003.

The company expects consolidated comparable store sales for the month of June to be in the positive low single digit range.