ShopKo December Comps Down 2.1%

ShopKo Stores reported consolidated sales for the five weeks ended January 3, 2004 decreased 2.2 % to $466.5 million from $477.0 million during the same period last year. Consolidated comparable store sales decreased 2.1 %.

           Sales Summary by Business Segment (dollars in millions)

     Retail Segments            Period Ended             % Change
     5 Weeks:                      1/03/04          Total**     Comp*
       ShopKo                      $360.0           (3.2)%     (3.2)%
       Pamida                       106.5            1.5        2.1
       Total Retail                $466.5           (2.2)%     (2.1)%

     48 Weeks:
       ShopKo                    $2,232.9           (3.4)%     (3.4)%
       Pamida                       751.6            2.1        2.8
       Total Retail              $2,984.5           (2.1)%     (1.9)%

*Comparable store sales represent sales of those stores open during both
fiscal years.

** Pamida division total sales variance reflects sales in the prior year
periods from seven locations, which have been closed and not replaced, and two
new Pamida locations opened in the month of September.

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