Saks Inc. January Comps Decrease 2.1%

Retailer Saks Incorporated announced that comparable store sales for the four weeks ended February 1, 2003 compared to the four weeks ended February 2, 2002 decreased 2.1% on a total company basis. By segment, comparable store sales were flat for SDSG and decreased 4.7% for SFAE for the month. Sales below are in millions and represent sales from owned departments only.

For the four weeks ended February 1, 2003 compared to the four weeks ended February 2, 2002, owned sales were:

                                              Total     Comparable
                                             Increase    Increase
                    This Year    Last Year  (Decrease)  (Decrease)
                     ------       ------      ------      ------
SDSG                 $184.6       $183.4       0.7%        0.0%
SFAE                  137.8        145.1      (5.0%)      (4.7%)
                     ------       ------       ---         ---
Total                $322.4       $328.5      (1.9%)      (2.1%)

January sales performance at SFAE reflects lower levels of clearance merchandise than one year ago.

For the fourth quarter ended February 1, 2003 compared to the fourth quarter ended February 2, 2002, owned sales were:

                                                Total     Comparable
                  This Year      Last Year    (Decrease)  (Decrease)
                   --------       --------      ------      ------
SDSG               $1,151.4       $1,179.1      (2.3%)      (3.4%)
SFAE                  672.9          715.0      (5.9%)      (4.1%)
                   --------       --------       ---         ---
Total              $1,824.3       $1,894.1      (3.7%)      (3.7%)

For the year ended February 1, 2003 compared to the year ended February 2, 2002, owned sales were:

                                                 Total    Comparable
                  This Year      Last Year    (Decrease)  (Decrease)
                   --------       --------      ------      ------
SDSG               $3,554.0       $3,601.0      (1.3%)      (1.6%)
SFAE                2,312.6        2,416.2      (4.3%)      (1.1%)
                   --------       --------       ---         ---
Total              $5,866.6       $6,017.2      (2.5%)      (1.4%)

Merchandise categories with the best sales performances for SDSG in January were private brand merchandise, outerwear, home, accessories, men’s furnishings, and intimate apparel. Categories with softer sales performances for SDSG in January were junior’s apparel, women’s moderate sportswear, dresses, and furniture. Categories with the best sales performances for SFAE in January were American and European designer collections, men’s clothing, bridal, jewelry, handbags, and cosmetics. Categories and businesses with the softest performances for SFAE in January were evening wear, outerwear, women’s special size apparel, women’s bridge sportswear, intimate apparel, and Saks Off 5th.

Saks Incorporated operates Saks Fifth Avenue Enterprises (SFAE), which consists of 60 Saks Fifth Avenue stores and 52 Saks Off 5th stores. The Company also operates its Saks Department Store Group (SDSG) with 244 department stores under the names of Parisian, Proffitt’s, McRae’s, Younkers, Herberger’s, Carson Pirie Scott, Bergner’s, and Boston Store.