Cabela's in Negotiations to Build Destination Retail Store in La Vista, Nebraska.

SIDNEY, Neb. -- Cabela's Incorporated (NYSE:CAB), the World's Foremost Outfitter(R) of hunting, fishing and outdoor gear, announced today it is in negotiations to build one of its destination superstores in La Vista, Nebraska, part of the greater Omaha metro area.

If ongoing negotiations for the project conclude successfully, Cabela's expects to open the retail showroom as early as fall 2006. The La Vista retail store would be Cabela's third store in Nebraska, the company's home state.

The store is currently planned as a 125,000 square-foot retail showroom and would be located on a portion of Southport West, a 137-acre mixed-use real estate development located along Interstate-80 at the Harrison Street interchange.

"A Cabela's showroom is a developers dream," said Dennis Hoth, Managing Partner of Southport West Partners. "Thanks to the partnership we developed with the City of La Vista, we have a great opportunity to attract this world class company. Cabela's showrooms are an exemplary economic development generator and we have made considerable concessions to our business plan to accommodate this tourism-oriented destination retailer."

In addition to the Cabela's retail store, the Southport West development also will feature three hotels comprising 600 total guest rooms and an 80,000-square-foot convention center. The 260-suite Embassy Suites Hotel(R), 220-room Courtyard(R) by Marriott(R), 120-room Residence Inn(R) by Marriott(R) and the anchoring convention center will be managed by Springfield, Mo.-based John Q. Hammons Hotels & Resorts, LLC, the nation's leading independent builder, developer, owner and manager of upscale, full-service hotels, resorts and suites.

The convention center is a joint venture between John Q. Hammons Hotels & Resorts and the City of La Vista. Construction of the hotels and convention center is slated to begin in March of 2006, and they are scheduled to open in the fall of 2007. A retail-oriented Lifestyle Center offering additional shopping and dining and several other parcels slated for future development also are planned.

"Cabela's was born in western Nebraska, and we are thrilled to be able to bring the Cabela's experience to our many great customers in the eastern part of the state and the rest of the region," said Dennis Highby, Cabela's President and CEO. "Despite some of the challenges we've encountered while working on this complex project, we've worked with the developer and local partners to make this store a reality for our customers. Southport West has really stepped up to the plate to make this a workable deal where it otherwise couldn't have happened."

The La Vista Cabela's store would be built in Cabela's trademark style that evokes the feeling of the outdoors. Cabela's stores are known as top-notch educational and entertainment attractions, mixing a decor of museum-quality animal displays with colorful dioramas, huge aquariums stocked with native fish and a centerpiece indoor mountain displaying trophy animals interacting in realistic re-creations of their natural habitats.

"I am very proud of this company and feel fortunate that we have an opportunity to add hundreds of new Nebraska employees to the Cabela's family of employees," added Highby. "Southport West will bring top-notch shopping, dining and entertainment to eastern Nebraska, and the Cabela's store will serve as a genuine tourism draw and source of pride for many years to come. A Cabela's showroom of this magnitude in the proposed location will capture millions in beneficial tax dollars that may have otherwise left the State."

To operate this new store, Cabela's expects to employ as many as 350 people from La Vista, Omaha and the surrounding area. They will join the Cabela's family of employees who are famous for delivering excellent customer service, living the outdoor lifestyle and possessing an intimate knowledge of outdoor gear. Product offerings would include hunting, fishing, camping, hiking, boating and wildlife watching gear, as well as outdoor clothing and outdoors-styled gifts and furnishings.

Other Cabela's stores in Nebraska include the company's flagship retail showroom in Sidney, site of the company's world headquarters in the western panhandle, and Kearney, in the south-central part of the state.

Cabela's currently has 13 retail locations nationwide. The newest, a 170,000-square-foot store in Lehi, Utah, opened Aug. 25, 2005. Currently under construction is an 185,000-square-foot store in Rogers, Minn., which will open in October, 2005. Cabela's also has announced plans to open stores in Gonzales, La., Glendale, Ariz., and Richfield, Wis., in 2006; and Reno, Nev., Wheat Ridge, Colo., East Rutherford, N.J., and East Hartford, Conn., in 2007.

Extraordinary in design and showcasing thousands of products from Cabela's world-famous catalog, the stores are known as shopping and tourism destinations, drawing customers not only from the local area, but also from hundreds of miles away. Many traveling sportsmen and women are also attracted by the familiar Cabela's script logo and the company's world-famous reputation for quality merchandise, value and extraordinary customer service.

Features of the Cabela's store would include:

--A towering mountain replica, the centerpiece of the store's open showroom, with running waterfalls and streams, a trout pond and trophy animals in re-creations of their distinct habitats. Similar mountains, each called Conservation Mountain, have been built in other Cabela's stores as monuments to wildlife and salutes to the sportsmen and women who support wildlife conservation.

--A gigantic freshwater aquarium stocked with fish native to the area.

--Museum-quality representations of many wild-game species.

--A deli-style restaurant will feature delicious wild-game sandwiches, as well as tamer fare.

--World-class Gun Library, providing gun collectors and aficionados the opportunity to browse through a collection of examples of the gun-making art.

--Indoor archery range where archers can test and fine-tune their equipment.

--Bargain Cave, featuring discount prices on returned and discontinued merchandise.

--A sun-drenched atrium interior featuring authentic fieldstone accents and wood furnishings.

--Beautifully landscaped grounds featuring native trees and plants.

About Cabela's Incorporated

Cabela's Incorporated, headquartered in Sidney, Nebraska, is the nation's largest direct marketer, and a leading specialty retailer, of hunting, fishing, camping and related outdoor merchandise. Since the Company's founding in 1961, Cabela's(R) has grown to become one of the most well-known outdoor recreation brands in the United States, and has long been recognized as the World's Foremost Outfitter(R). Through Cabela's established direct business and its growing number of destination retail stores, it offers a wide and distinctive selection of high-quality outdoor products at competitive prices while providing superior customer service. Cabela's also issues the Cabela's Club(R) VISA credit card through which it offers a related customer loyalty rewards program as a vehicle for strengthening its customer relationships.

CAUTIONARY STATEMENT FOR THE PURPOSE OF THE SAFE HARBOR PROVISIONS UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

Statements in this press release that are not historical or current fact are "forward-looking statements" that are based on the Company's beliefs, assumptions and expectations of future events, taking into account the information currently available to the Company. Such forward-looking statements include, but are not limited to, the Company's statements regarding the construction of a destination retail store in La Vista, Nebraska, and its anticipated opening date, and the opening of destination retail stores in other locations, including the planned opening dates for those stores. Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from the expectations of future results that the Company expresses or implies in any forward-looking statements. These risks and uncertainties include, but are not limited to: the ability to negotiate favorable purchase, lease, and/or economic development arrangements for destination retail store locations; increasing competition in the outdoor segment of the sporting goods industry; supply and delivery interruptions; traffic planning around new destination retail stores; the ability to secure required governmental permits and approvals, adverse weather conditions; adverse economic conditions; the availability of construction materials and labor; increased government regulation; other factors that the Company may not have currently identified or quantified; and other risks, relevant factors and uncertainties identified in the "Factors Affecting Future Results" section of the Company's Form 10-K for the fiscal year ended January 1, 2005, which is available at the Company's website at www.cabelas.com and the SEC's website at www.sec.gov. Given the risks and uncertainties surrounding forward-looking statements, you should not place undue reliance on these statements. The Company's forward-looking statements speak only as of the date they are made. Other than as required by law, the Company undertakes no obligation to update or revise forward-looking statements, whether as a result of new information, future events or otherwise.