Andrew Jennings to Join Saks Fifth Avenue as President and Chief Merchandising Officer; Fred Wilson Named Chairman/CEO of SFAE.

Business Editors

BIRMINGHAM, Ala.--(BUSINESS WIRE)--Feb. 10, 2004

Retailer Saks Incorporated (NYSE:SKS) ("Saks" or the "Company") today announced that Andrew Jennings will join Saks Fifth Avenue as its President and Chief Merchandising Officer. Fred Wilson, current President and Chief Executive Officer of Saks Fifth Avenue Enterprises ("SFAE"), has been named Chairman and Chief Executive Officer of SFAE. Jennings will report to Wilson.

Andrew Jennings is an acclaimed international retail executive with more than 30 years of achievement at some of the world's most prestigious luxury and department stores. Jennings is known for his commitment to fashion leadership in merchandising assortments, innovation in marketing, and the development of distinctive programs aimed at attracting global customers.

Since 1999, Jennings has held the posts of President and Managing Director of Holt Renfrew Specialty Store Group, Canada's definitive luxury specialty store, and Deputy Chairman of the Brown Thomas Specialty Store Group in Ireland. During his tenure at Holt Renfrew, Jennings repositioned and upgraded the merchandise assortments, refocused the marketing efforts, updated merchandising and point-of sale technology, strengthened the management team, and streamlined the organizational structure, all culminating in a dramatic improvement in operating results. His prior experience includes serving as the Managing Director of the House of Fraser Department Store Group in London, as General Manager and Board Member of Harrods in London, and in various senior positions with premium specialty and department stores in South Africa including Stuttafords, Garlicks, and Greatermans. His retail career began with the Debenham organization in London.

In this newly created position, Jennings will be responsible for merchandising, marketing, store operations, and inventory planning for Saks Fifth Avenue.

Wilson noted, "Andrew Jennings brings a proven leadership track record that will add tremendously to the team at Saks Fifth Avenue. He is uniquely qualified through his successes in the retail luxury market to help strategically position us to exploit new and exciting growth opportunities. I have great respect for his many accomplishments and look forward to our partnership in leading the Saks Fifth Avenue business."

Jennings said, "I am thrilled to have the opportunity to join Fred Wilson and his talented team as President and Chief Merchandising Officer at Saks Fifth Avenue. It is an honor to be a part of a truly legendary American retailer whose most exciting days are ahead."

"I am pleased to announce that Fred Wilson will assume the position of Chairman of SFAE, and I join Fred in welcoming Andrew Jennings to the team," commented R. Brad Martin, Chairman and Chief Executive Officer of Saks Incorporated. "I am confident this extraordinary executive team will lead Saks Fifth Avenue in a fashion that capitalizes on the enormous power and opportunities inherent in this great franchise."

Saks Incorporated operates Saks Fifth Avenue Enterprises (SFAE), which consists of 62 Saks Fifth Avenue stores and 53 Saks Off 5th stores. The Company also operates Saks Department Store Group (SDSG) with 243 department stores under the names of Parisian, Proffitt's, McRae's, Younkers, Herberger's, Carson Pirie Scott, Bergner's, and Boston Store and 19 Club Libby Lu specialty stores.

Forward-looking Information

The information contained in this press release that addresses future results or expectations is considered "forward-looking" information within the definition of the Federal securities laws. Forward-looking information in this document can be identified through the use of words such as "may," "will," "intend," "plan," "project," "expect," "anticipate," "should," "would," "believe," "estimate," "contemplate,"

"possible," and "point." The forward-looking information is premised on many factors, some of which are outlined below. Actual consolidated results might differ materially from projected forward-looking information if there are any material changes in management's assumptions.

The forward-looking information and statements are based on a series of projections and estimates and involve risks and uncertainties. These risks and uncertainties include such factors as: the level of consumer spending for apparel and other merchandise carried by the Company and its ability to respond quickly to consumer trends; adequate and stable sources of merchandise; the competitive pricing environment within the department and specialty store industries as well as other retail channels; the effectiveness of planned advertising, marketing, and promotional campaigns; favorable customer response to increased relationship marketing efforts of proprietary credit card loyalty programs; effective expense control; geo-political risks; successful implementation of the Company's proprietary credit card strategic alliance with Household Bank (SB), N.A.; geo-political risks; and changes in interest rates. For additional information regarding these and other risk factors, please refer to Exhibit 99.3 to the Company's Form 10-K for the fiscal year ended February 1, 2003 filed with the Securities and Exchange Commission ("SEC"), which may be accessed via EDGAR through the Internet at www.sec.gov.

Management undertakes no obligation to correct or update any forward-looking statements, whether as a result of new information, future events, or otherwise. Persons are advised, however, to consult any further disclosures management makes on related subjects in its reports filed with the SEC and in its press releases.