Charlotte Russe Announces Outlook for Fourth Quarter Results.

Business Editors

SAN DIEGO--(BUSINESS WIRE)--Sept. 19, 2002

Charlotte Russe Holding, Inc. (Nasdaq/NM: CHIC), a rapidly growing specialty retailer of fashionable, value-priced apparel and accessories for young women, today announced additional insight into the financial outlook for the fourth quarter of fiscal 2002 ending September 28, 2002.

"Slow mall traffic and generally disappointing back-to-school selling has resulted in a downward revision to our comparable store sales projection for the fourth quarter of fiscal 2002 to negative mid-single digit levels," said Chairman and CEO Bernard Zeichner.

"We are expecting to report top line sales growth of over 20% for the current quarter when we announce financial results on October 24th, with inventory levels and rapid inventory turns well managed. Earnings per share, on a diluted basis, are expected to be in the range of 23 to 25 cents as compared to 23 cents for the same quarter last year," concluded Zeichner.

Charlotte Russe Holding, Inc. is a rapidly growing mall-based specialty retailer of fashionable, value-priced apparel and accessories targeting young women between the ages of 15 and 35. The company, under its three distinct store concepts, operated a total of 244 stores in 33 states and Puerto Rico, as of August 31, 2002. In total, the company expects to open 61 new Charlotte Russe and Rampage stores during fiscal 2002 and 75 new stores in fiscal 2003 which ends in September 2003.

The "Charlotte Russe" stores offer fashionable, affordable apparel and accessories that have been tested and accepted by the marketplace, thus appealing to women who prefer established fashion trends. The "Rampage" stores feature emerging fashion trends and appeal to women with a flair for making fashion statements and who want to create a cutting-edge look. The "Charlotte's Room" stores are a test concept that provides a diverse offering of gifts, accessories and some apparel items for girls and younger women ranging in ages from 11 to 17.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: Except for the historical information contained herein, this press release contains forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially, including, but not limited to general and regional economic conditions, industry trends, consumer demands and preferences, competition from other retailers and uncertainties generally associated with women's apparel and accessory retailing. A complete description of these factors, as well as others that could affect the Company's business, is set forth in the Annual Report on Form 10-K, filed with the Securities and Exchange Commission on December 13, 2001, and any amendments thereto.