Stage Stores, Inc. saw November sales increase 9.6% to $121.2 million from $110.6 million in the same month last year. Comparable store sales increased 0.2% compared to an increase of 4.6% last year.

With regard to its major categories of business, the company reported that its accessories, cosmetics, dresses, home decor, men's, women's special sizes and young men's departments all achieved comparable store sales increases during November. Dresses was the company's best performing category during the month with an 8.7% increase, and that was followed by increases in its accessories and cosmetics departments of 4.6% and 4.0%, respectively.

Jim Scarborough, chairman and CEO, commented, “Our comparable store sales results for November were hampered by several factors, including tough comparisons against last year's large post-hurricane sales increases that we experienced in our Gulf Coast region stores, unseasonably warm weather in our Southern markets which dampened enthusiasm for our cold weather related merchandise, and extremely wet and stormy conditions in our Mid-Atlantic markets during the middle of the month which disrupted our normal traffic patterns. It is encouraging to note that outside of our Gulf Coast market areas, and where the weather was more seasonal, we posted good comparable store sales increases.”

                            SALES SUMMARY

                      Comparable Store Sales        Total Sales
                       % Increase (Decrease)      ($ in Millions)
                      ----------------------- ------------------------
    Fiscal Period        2006        2005        2006        2005
--------------------- ----------- ----------- ----------- ------------
     1st Quarter             3.2%        4.9%     $343.5       $310.1
     2nd Quarter             4.5         7.0       362.1        309.4
     3rd Quarter             4.1         3.9       353.4        306.0
      November               0.2         4.6       121.2        110.6
Year-To-Date (10 mos)        3.5         5.2     1,180.2      1,036.1

Store Activity

The company reported that it opened a total of fifteen new stores during November. Of the new stores that were opened, eleven were Peebles stores, three were Bealls stores, and one was a Stage store. These fifteen new store openings completed the company's fiscal 2006 store opening program, under which a total of 108 new stores were opened and two new states were entered. The company currently anticipates that it will open between forty and fifty new stores in fiscal 2007.

Quarterly Cash Dividend

The company also announced today that its Board of Directors has declared a quarterly cash dividend of five cents per share on the company's common stock, payable on December 27, 2006 to shareholders of record at the close of business on December 12, 2006.