Sephora USA LLC, Federated Department Stores, Inc, and Macy's West, Inc announced today that they have settled the trade dress litigation initiated by Sephora. The litigation began in August 1999 when Sephora sued Federated and Macy's West, alleging that Macy's Souson stores and in-store Souson departments infringed Sephora's distinctive trade dress. The case had been scheduled to go to trial in September. The terms of the settlement are confidential.

Sephora, whose distinctive cosmetics and fragrance stores first opened in Paris in 1996, is today one of the largest fragrance and cosmetic retailers in Europe, with over 200 stores. Sephora USA LLC is a unit of the Selective Distribution Group of Paris-based LVMG Moet Hennessy Louis Vuitton, the world's leading luxury products group. Sephora, which opened its first United States store in New York City in 1997, now operates 53 stores in the United States, and its on-line beauty site at www.sephora.com, is the authoritative site for beauty on the Internet.

Federated, with corporate offices in Cincinnati and New York is one of the nation's leading department store retailers, with annual sales of more than $17.3 billion. Federated currently operates more than 400 department stores in 33 states under the names of Bloomingdale's, The Bon Marche, Burdines, Goldsmith's, Lazarus, Macy's, Rich's and Stern's. Federated also operates the Fingerhut, Bloomingdale's By Mail, Macy's By Mail, macys.com and bloomingdales.com direct-to-consumer catalog and electronic commerce subsidiaries.