Neiman Marcus Comps Increase 2.1% in August

The Neiman Marcus Group, Inc. announced preliminary Company-wide revenues for August 2006.

                                       4 weeks ended
                                 August 26,     August 27,
                                    2006           2005      % Change
                               -------------- -------------- ---------

Total Revenues                  $270 million   $251 million       7.4%

Comparable Revenues             $262 million   $251 million       4.4%

All figures have been adjusted to exclude the revenues of Gurwitch Products, L.L.C.

In the four-week August period, comparable revenues in the Specialty Retail Stores segment, which includes Neiman Marcus Stores and Bergdorf Goodman, increased 2.1%. Revenue growth trends were the strongest in the Company’s stores in the Southeast and West. The merchandise categories in the Specialty Retail Stores segment that performed the strongest included designer handbags, women’s contemporary sportswear and shoes, jewelry and beauty.

Comparable revenues at Neiman Marcus Direct in the four-week August period increased 19.3 percent. The top selling merchandise categories in the Direct Marketing segment included women’s apparel, shoes, handbags, jewelry and men’s.