STOCKMANN GROUP’S SALES IN JULY 2004

STOCKMANN plc STOCK EXCHANGE RELEASE August 11, 2004, at 12.00

STOCKMANN GROUP’S SALES IN JULY 2004

In July, the Stockmann Group’s sales grew by 5 per cent and totalled EUR
124.8 million. Sales by the Department Store Division and Seppälä
continued their strong growth both in Finland and abroad, whereas sales by
the Vehicle Division and Hobby Hall were clearly down on the previous
year. The Department Store Division’s total sales growth was 17 per cent.
In Finland the growth was 6 per cent and abroad 80 per cent. Compared with
the previous year, the sales growth abroad is attributed to the new
department stores in Riga and Moscow and the new Zara store opened in
Moscow in June. Seppälä’s sales grew in Finland by 10 per cent and abroad
by 83 per cent. The strong sales growth abroad is attributable to the
stores opened in Riga, Latvia, during autumn 2003 and spring 2004,
Russia’s first Seppälä store which was opened in Moscow, and the positive
sales development in Estonia as well.

The clear decline in the Vehicle Division’s sales is due to the transfer
of the VW-Audi car dealership in Herttoniemi, Helsinki, to the Kesko Group
effective July 1, 2004. This car dealership accounted for about 22 per
cent of the annual sales of Stockmann’s Vehicle Division.

For distance retail, July is the most inactive month of the year. Earlier
over 30 per cent of Hobby Hall’s sales in July has been piled up in the
division’s stores. After the termination of the comparison period, four
Hobby Hall stores have been closed down, and this has influenced the sales
in July to decline by 22 per cent. The decrease in the sales abroad is
partly due also to the tightened-up credit policy.

Sales figures in July and in January-July

July January-July January-
December
2004 2003 Ind. 2004 2003 Ind. 2003
Me Me 04/03 Me Me 04/03 Me

Department Store 53.5 50.4 106 387.7 364.6 106 706.7
Division, Finland*
Department Store 15.8 8.8 180 93.6 66.9 140 134.4
Division,
international
operations
Department Store 69.3 59.2 117 481.4 431.5 112 841.0
Division, total*
Vehicle Division 32.7 36.8 89 277.0 287.3 96 480.4
Hobby Hall 7.4 9.1 81 93.1 99.3 94 192.3
Division, Finland
Hobby Hall 0.7 1.2 55 18.5 22.3 83 43.5
Division,
international
operations
Hobby Hall 8.0 10.3 78 111.6 121.6 92 235.7
Division, total
Seppälä Division, 13.1 11.9 110 69.1 64.8 107 120.3
Finland
Seppälä Division, 1.6 0.9 183 7.6 4.7 161 10.0
international
operations
Seppälä Division, 14.7 12.7 115 76.8 69.6 110 130.3
total
Real estate + 0.1 0.1 124 0.5 0.5 106 0.9
others
Operations in 106.8 108.2 99 827.5 816.5 101 1 500.6
Finland, total*
International 18.1 10.9 166 119.8 94.0 127 187.8
operations, total
Stockmann total* 124.8 119.1 105 947.3 910.5 104 1 688.4

* The agency sales of newspaper and magazine subscriptions that were
divested in May have been eliminated from the sales figures for 2003.
These sales stand for EUR 10.2 million for the whole year 2003. The
consolidated sales growth regardless of this elimination was 3 per cent.

STOCKMANN plc

Hannu Penttilä
CEO

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