Saks Incorporated announced that for the four weeks ended August 27, 2005 compared to the four weeks ended August 28, 2004, total sales decreased 13.3% and comparable store sales decreased 0.3% on a total company basis. By segment, comparable store sales decreased 4.9% for SDSG and increased 5.3% for SFAE for the month. The sales information is preliminary due to the temporary effects of Hurricane Katrina on the Company's information systems. Sales below are in millions and represent sales from owned departments only.

The Company completed the sale of its SDSG Proffitt's/McRae's business to Belk, Inc. effective Midnight on July 2, 2005. Therefore, Proffitt's/McRae's sales are included in prior year sales and in current year sales through June 2005 (fiscal month ended July 2, 2005). Beginning in July 2005 (fiscal month beginning July 3, 2005), Proffitt's/McRae's sales are excluded from total company and comparable sales.

For the four weeks ended August 27, 2005 compared to the four weeks ended August 28, 2004, owned sales were: 

                                                Total     Comparable
                                               Increase    Increase
                        This Year  Last Year  (Decrease)  (Decrease)
                        ---------  ---------  ----------  ----------
SDSG                    $  189.3   $  247.6     (23.5%)      (4.9%)
SFAE                       169.1      165.9       1.9%        5.3%
                        ---------  ---------  ----------  ----------
Total                   $  358.4   $  413.5     (13.3%)      (0.3%)

SDSG's August comparable store sales decline reflected lower levels of clearance inventory from the prior year.

Merchandise categories with the best sales performances for SDSG in August were intimate apparel, junior's apparel, hard home, furniture, and shoes. Categories with the softest sales performances for SDSG in August were petite sportswear, children's apparel, dresses/women's suits, and women's moderate sportswear. Categories with the best sales performances for SFAE in August were fine jewelry, fragrances, men's accessories, women's and men's contemporary and modern sportswear, women's “gold range” apparel, and women's designer apparel. Categories with the softest performances for SFAE in August were private brand, women's bridge apparel, and Salon Z (women's large sizes).

On a year-to-date basis, for the seven months ended August 27, 2005 compared to the seven months ended August 28, 2004, owned sales were: 

                                                Total     Comparable
                                               Increase    Increase
                        This Year  Last Year  (Decrease)  (Decrease)
                        ---------  ---------  ----------  ----------
SDSG                    $ 1,751.4  $ 1,867.6     (6.2%)      (0.8%)
SFAE                      1,452.5    1,414.5      2.7%        5.0%
                        ---------  ---------  ----------  ----------
Total                   $ 3,203.9  $ 3,282.1     (2.4%)       1.8%