Sales Increase at Zale Corp.

August 7, 2001

Sales Increase at Zale Corp.

Zale Corp., North America's largest specialty retailer of fine jewelry, reported today its sales for the fourth fiscal quarter ended July 31 increased 9.8%. Sales for the quarter reached $410.4 million, up from $373.8 million in last year's fourth quarter. Comparable store sales were down 9.7% for the quarter compared to a 6.4% increase for the same period last year.

For the fiscal year, sales totaled $2.04 billion, up from $1.79 billion the previous fiscal year. Comparable store sales for the year decreased 3.8%, but total sales increased 13.9%.

In addition, Zale announced its board of directors approved a stock repurchase program, which allows the company to purchase up to $50 million of Zale common stock on the open market throughout the year. This is the fifth year Zale has committed to a repurchase program.

- by Julia M. Duncan