Stage Stores April Comps Inch Up 0.3%

Stage Stores reported that total sales for the four-week period ended May 1, 2004 increased 40.0% to $91.7 million from $65.5 million in the prior year four-week period ended May 3, 2003. Comparable store sales increased 0.3% versus an increase of 4.3% last year. The Company noted that the increase in total sales resulted primarily from the inclusion of the Peebles stores in this year's results, as well from the sales generated by the 19 net new stores that have been added subsequent to April of last year.

The Company further reported that its accessories, cosmetics, footwear, men's, misses sportswear and special sizes departments led the way with comparable store sales increases during the month.

Jim Scarborough, chairman, president and chief executive officer, commented, “We were able to achieve a comparable store sales increase in April despite the fact that we were going up against our strongest monthly comparable store sales performance for all of last year. Additionally, I see our April sales performance as encouraging, since our comparable store sales results were impacted by a shorter pre-Easter shopping period this year, as Easter occurred on April 11th versus April 20th of last year.”

                Comparable Store Sales Trend        Total Sales       
                    % Increase (Decrease)         ($ in Millions)
 Fiscal Period     2004           2003(a)       2004           2003   
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   February         8.0%          (8.1)%        $87.8         $59.5
     March          5.5           (13.9)        110.2          73.0
     April          0.3             4.3          91.7          65.5
  1st Quarter       4.5%           (6.8)%       $289.7        $198.0
 
(a) 2003 actual results are restated to include Peebles' comparable
    store sales.

For the first quarter, the Company reported that total sales increased by 46.3% to $289.7 million from $198.0 million last year, while comparable store sales increased by 4.5% versus a decrease of 6.8% for the prior year period. The Company noted that the increase in total sales resulted primarily from the inclusion of the Peebles stores in this year's results, as well from the sales generated by the 19 net new stores that have been added subsequent to the end of last year's first quarter.

The Company stated that it continues to expect to report earnings for the first quarter consistent with its prior guidance of between $0.87 and $0.93 per diluted share.