The Bon-Ton Stores, Inc. Announces Closing of Its Salem Furniture Gallery in Dayton, Ohio

YORK, Pa. -- The Bon-Ton Stores, Inc. (NASDAQ: BONT) today announced that it will close its 50,000 selling-square foot Elder-Beerman Salem Furniture Gallery in Trotwood, Ohio. The Salem location was acquired by Bon-Ton in 2003 as part of the Elder-Beerman acquisition. The closing, which is scheduled for the beginning of December, will impact approximately 10 associates. The closing costs for the location will not be material. Bon-Ton will convert the existing furniture square footage at its Elder-Beerman Northwest store in Dayton, Ohio into a clearance center for furniture with a scheduled opening in mid-December.

Bud Bergren, President and Chief Executive Officer, commented, "The Company continually reviews the performance of its assets and, following a review of the Salem Furniture Gallery location, we made the decision to close the store. We appreciate the loyalty and dedication of our associates and the support of our Dayton customers. We remain committed to our customers in this community and encourage them to visit our Elder-Beerman stores in the Dayton area, which include the furniture assortments at our South Towne Furniture Gallery, Beavercreek Furniture Gallery and the new furniture clearance department at our Northwest store."

The affected associates at the Salem Furniture Gallery will be given the opportunity to interview for available positions at Elder-Beerman stores, including South Towne Furniture Gallery, Beavercreek Furniture Gallery and the furniture clearance operation at our Northwest store, or receive career transition benefits, including severance, according to established practices and state employment service support.

The Bon-Ton Stores, Inc., with corporate offices in York, Pennsylvania and Milwaukee, Wisconsin, operates 279 stores, including 12 furniture galleries, in 23 states in the Northeast, Midwest and upper Great Plains under the Bon-Ton, Bergner's, Boston Store, Carson Pirie Scott, Elder-Beerman, Herberger's and Younkers nameplates and, under the Parisian nameplate, stores in the Detroit, Michigan area. The stores offer a broad assortment of brand-name fashion apparel and accessories for women, men and children, as well as cosmetics and home furnishings. For further information, please visit the investor relations section of the Company's website at http://investors.bonton.com.