CHICO'S FAS ANNOUNCES EXECUTIVE MANAGEMENT CHANGES.

FT. MYERS, Fla.--(BUSINESS WIRE)--November 11, 1994--Chico's FAS, Inc. (Nasdaq:CHCS) today reported that the Board of Directors has accepted the resignation of Jeffrey Zwick, as Chief Executive Officer, President and Director.

The Board named Barry E. Szumlanski, Chief Operating Officer, to serve as interim President and has also initiated a search for a President and a Chief Executive Officer. The Company also disclosed the termination of Heidi Thorner, Vice President-Merchandise Planning and Design. In addition, the Company announced that the founders, Marvin J. Gralnick, and Helene B. Gralnick, his spouse, are returning to the Company on a full-time basis to head up and help revitalize merchandise design, marketing and image for the Company. Mr. and Mrs. Gralnick will remain as members of the Company's Board of Directors, for which Mr. Gralnick continues to serve as Chairman.

Commenting on the management changes, Mr. Gralnick said, "Several differences in philosophies about the future direction of the Company have recently come to light within the ranks of senior management. These top-level changes are in part designed to help resolve certain of these differences in philosophies. As founders, Helene and I take exceptional pride in Chico's, and we are excited to once again become involved on a day-to-day basis in the design function and in carrying on the vision that has distinguished Chico's and its people and clothes. We look forward to bringing back the style and integrity that made CHICO'S unique."

In connection with the management changes, a limited partnership controlled by Mr. Gralnick and a limited partnership controlled by Mrs. Gralnick will purchase all of Mr. Zwick's 344,384 shares of Chico's stock for a total purchase price of $3 million. Upon completion of this purchase, Mr. Gralnick and Mrs. Gralnick, through their respective limited partnerships, will control approximately 11% of the Company's outstanding stock. In connection with Mr. Zwick's separation from the Company, consistent with the terms of his employment contract, Mr. Zwick will continue to receive his base compensation through December 31, 1995. Mr. Zwick had served as a Director Chico's Fas Announces Executive Management Changes and the Company's President since 1990 and as Chief Executive Officer since 1993. Mr. Zwick said he would be pursuing other opportunities.

Mr. Gralnick continued, "While the Board conducts a search for a Chief Executive Officer, I have the utmost confidence in Barry Szumlanski, our Chief Operating Officer, who will also serve as interim President. Barry is an ideal person to lead Chico's as it passes through a critical stage in its growth and development. Barry has been an integral member of the Chico's team since the time which the Company only had three stores. His insight and dedication to the Chico's concept will continue to serve the Company and its stockholders."

Since joining the Company in 1986, Mr. Szumlanski has served in important senior-level positions. Prior to assuming his responsibilities as Chief Operating Officer in September 1993, Mr. Szumlanski served as Executive Vice President of Operations beginning in 1992, a title he retains. Prior to that, Mr. Szumlanski served as Vice President/Treasurer. He has been a Director of the Company since 1986.

Mr. Szumlanski noted, "While the past few months have been difficult, senior management is committed to the Company's long-term growth and success. Going forward our management team's primary focus will be on merchandise direction and inventory management, two key elements to achieving Chico's full potential."

Mr. Szumlanski said that the management team has been fortified by several recent additions, namely:

-- Mr. Anthony Marianetti was named Director of Planning and Distribution in August. Mr. Marianetti's responsibilities include merchandise planning and allocation. Prior to joining Chico's, Mr. Marianetti served as Executive Vice President of Planning and Distribution at Ups-N-Downs. His background also includes serving as a District Manager for Casual Corner.

-- Ms. Barbara Gallo joined Chico's in March as Company Planner. Ms. Gallo's responsibilities include chain-wide merchandise mix and assortment planning. Ms. Gallo's experience includes 20 years as a Planner and Buyer for Casual Corner, Ups-N-Downs and Caren Charles.

-- Ms. Kristin Wassell has just this month joined the Chico's team as Store Planner. In this capacity, Ms. Wassell is responsible for planning store inventory levels and managing the allocation of merchandise to the individual stores. In this capacity, Ms. Wassell will help to make sure that the right merchandise arrives at the right stores at the right times. Her background includes eight years as a Distribution and Store Planner with Caren Charles and Casual Corner.

The Company also noted that Senior Vice President Michal Szumlanski will assume the added responsibilities of working as a liaison between the stores and Mr. and Mrs. Gralnick, in an effort to ensure that creative designs for Chico's merchandise are well matched to the customers' style preferences. She will also be actively involved in the implementation of advertising and marketing activities.

Barry Szumlanski also indicated that the Company will be required to record an after tax non-recurring charge in the 1994 fourth quarter of approximately $350,000, or $0.04 per share, representing the cost associated with the severance of Mr. Zwick and Ms. Thorner. Mr. Szumlanski also noted that Chico's financial condition remains strong, with adequate working capital to support its ongoing growth.

Barry Szumlanski concluded, "Another important ingredient to the Company's success is the Chico's spirit, which has always been a distinguishing characteristic of the Chico's family. We are very pleased that this spirit has remained strong during the last few months. Our employees are proud of Chico's and its unique niche, and they are eager to reinvigorate our customers with new and exciting merchandise."

Chico's sells exclusively designed, private-label women's casual clothes through its 120 stores in 30 states, the District of Columbia and the U.S. Virgin Islands. The Company owns 103 stores; franchisees own 17.

CONTACT: Chico's FAS, Inc.

              Charles Kleman
              Chief Financial Officer
              813-277-6200
                   or
              IR CONTACT:    David Walke/Amy Weisman/
                             Laura Plevyak
              PRESS CONTACT: Lisa Bradlow
                             Morgen-Walke Associates
                             212/850-5600