99 Cents Only Stores Reports Fiscal 2002 Fourth Quarter Retail Sales Were $198.5 Million, up 25.2% over 2001; Same-Store-Sales for the Quarter Increased 3.1%.

Business Editors

CITY OF COMMERCE, Calif.--(BUSINESS WIRE)--Jan. 7, 2003

99 Cents Only Stores(R) (NYSE:NDN) reported retail sales for the fourth quarter were $198.5 million, up $40.0 million or 25.2% from sales of $158.5 million in 2001.

Total sales for 99 Cents Only Stores, including its Bargain Wholesale operation, were $210.7 million for the fourth quarter ended December 31, 2002. This represents an increase of $37.8 million or 21.9% over sales of $172.9 million during the fourth quarter of 2001.

Total year 2002 retail sales were $664.0 million, up $142.0 million over 2001, an increase of 27.2%. Total annual sales for 99 Cents Only Stores, including Bargain Wholesale, were $714.0 million, a 23.5% increase over sales of $578.3 million in 2001.

Same-store-sales for the fourth quarter of 2002 increased 3.1%. The same-store-sales for the quarter benefited primarily from an improvement in the customer count and an increase in the average ticket amount. Same-store-sales for the year ended December 31, 2002 were 3.6%.

For 99 Cents Only Stores open prior to 2002, the average net sales per saleable square foot was $309 and the average net sales per store were approximately $4.75 million.

Bargain Wholesale sales for the fourth quarter and the full year were $12.2 million and $50.0 million, compared to $14.4 million and $56.3 million in 2001.

Eric Schiffer, President of the Company, said, "We are pleased to announce continued strong retail sales in the fourth quarter of 2002. I am also pleased to announce that 99 Cents Only Stores has reached an agreement to acquire a distribution center in Texas. It is expected that this transaction will close by the end of the first quarter. We anticipate accelerating the opening of our first Texas stores from early 2004 to the middle of 2003.

"The Company plans to continue to grow its store square footage base by at least 25% in 2003. The Company will open its first two 99 Cents Only Stores for the 2003 year on Thursday, January 23rd in Venice and Sacramento, California."

99 Cents Only Stores(R), the nation's oldest existing one-price retailer, operates 151 retail stores, in California, Nevada and Arizona, and a wholesale division called Bargain Wholesale. 99 Cents Only Stores(R) emphasizes name-brand consumables, priced at an excellent value, in attractively merchandised stores.

This press release contains forward-looking statements, as referenced in the Private Securities Litigation Reform Act of 1995 (the "Act"). Forward-looking statements are inherently unreliable and actual results may differ. Factors which could cause actual results to differ materially from these forward-looking statements include, changes in the competitive market place, general economic conditions, factors affecting the retail industry in general, the timing of new store openings, the ability of the company to acquire inventory at favorable costs and other factors discussed in the company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Note to Editors: 99 Cents Only Stores(R) news releases and information available on the World Wide Web at htpp://www.99only.com