Stein Mart May Comps Inch Up 0.4%

Stein Mart sales during the month of May increased 2.6% o $117.9 million compared to $114.8 million. Comparable store sales for the same period increased 0.4%.

                                   Total Sales          Percent Change

    Fiscal Period:                                     Total   Comparable
                                  2005      2004       Sales   Store Sales

    May (4 weeks)                $117.9    $114.8       2.6%       0.4%
    Year to date (17 weeks)      $498.5    $479.4       4.0%       2.5%

Men's and ladies' career sportswear led the Company in sales, followed by ladies' accessories. Geographically, sales were strongest in the Southeast and along the Gulf Coast.

“Fashion and novelty merchandise in our assortment continued to sell well, but the rate of sale of basic seasonal items slowed due to the unusual weather patterns,” commented Michael D. Fisher, president and chief executive officer of Stein Mart, Inc. “We continue to expect comparable store sales to increase in the low, single-digit range for the quarter ending July 30, resulting in diluted earnings per share of $0.20 – $0.22 for the second quarter of 2005.”

The Company operated 260 stores on May 28, 2005 as compared to 258 stores at the same time last year.