The May Department Stores Company reported preliminary net sales of $715 million for the four-week period ended Jan. 31, 2004, a 9.2% increase from $655 million in the similar period last year. Store-for-store sales increased 5.3%. January store-for-store sales increased 4.6%, excluding the remaining 25 stores that May previously announced it will divest.

Net sales for fiscal 2003 were $13.34 billion, a 1.1% decrease compared
with $13.49 billion in fiscal 2002. 

    Net sales were as follows:
                                                              Store-for-
                         Fiscal   Fiscal      Percent      Store Inc./(Dec.)
    (dollars in millions)  2003     2002    Inc./(Dec.)   Actual    Adjusted *

    January              $715.4    $655.3       9.2 %      5.3%        4.6%
    Fourth quarter      4,493.5   4,373.4        2.7       0.8         1.2
    Fiscal year        13,342.6  13,490.8       (1.1)     (2.8)       (2.6)

    * Excludes the remaining 25 stores that May previously announced it will
      divest.

Net sales include merchandise sales and lease department income. Store-
for-store sales compare sales of stores open during both years beginning the
first day a new store has prior-year sales and exclude sales of stores closed
during both years.

Ladies' accessories continued to perform well, with increases not only in
cold weather categories, but also in handbags, small leathers, jewelry, and
fashion watches. The upward trend in footwear held, fueled by boots and
newness in dress and athletic shoes. New prestige skin care products were a
factor in an improved cosmetics trend. In ladies' sportswear, categories
appealing to the younger consumer worked well, driven by clearance offerings
and transitional merchandise. Juniors and young men's sportswear were among
our best performers, with street/active collections leading the sales
increase. Modern fashion looks in dress shirts, neckwear, underwear, and
sportswear designer collections contributed to a solid pick-up in the men's
business, which also benefited from strong sales of fleece, active wear, and
clearance.

Apparel inventories are in line, and customers responded throughout the
month to our end-of-season clearance promotions. Although the Home store
lagged, “big ticket” items were strong, led by leather as well as microfiber
furniture, casual dining sets, and mattresses. Home decor categories — from
candles to decorative pillows — also continued to gain momentum.