Federated Department Stores, Inc. today announced that its board of directors has approved construction of a new Rich's store at the Mall at Stonecrest, east of Atlanta.

The new Rich's store will be a two-level, full-line department store, excluding furniture, of 160,000 square feet. Construction is scheduled to begin in August 2000 with a store opening planned for fall 2001.

"We have served our Atlanta customers for more than 133 years and are committed to providing quality merchandise, personal service and a exciting shopping experience," said Arnold Orlick, chairman and ceo of Rich's/Lazarus/Goldsmith's (RLG). "We look forward to continuing to serve the expanding Atlanta market with our newest store at Stonecrest."

Federated's RLG division is headquartered in Atlanta and currently operates 74 stores throughout the central and southeastern U.S., including 23 Rich's stores in Alabama, Georgia and South Carolina. The division's 1999 annual sales totaled nearly $2.2 billion.

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 and Macys.Com direct-to-consumer catalog and electronic commerce subsidiaries.

(NOTE: Information on Federated and its operating divisions is available on the Internet at www.federated-fds.com. Copies of past press releases and corporate background data also are available by calling Fax-On-Demand at 1-800-853-9150.)