ASX & Media Release Myer first quarter result an improvement on prior quarter Q1 FY2012 sales of $681.4 million down 3.5 percent on last year Wednesday 9 November 2011

Myer Holdings Limited (MYR) today reported first quarter total sales for the thirteen weeks to
29 October 2011 of $681.4 million, down 3.5 percent compared to last year. On a like-for-like basis, sales were down 5.1 percent compared to last year.
Total sales excluding rationalised Electrical categories (whitegoods, movies and music, gaming, consoles, GPS and MVM brand), were down 2.7 percent. Our decision to rationalise our Electrical offer continues to impact sales, however these decisions are expected to result in sales from higher margin categories as floor space is reallocated. The range rationalisation is expected to be completed by the end of 1H FY2012.
The key categories of Womenswear and Youth continued to be the strongest performers during the quarter.
In October we opened our new store at Mackay in Queensland which has had very pleasing trading during the first four weeks and already has over 16,000 MYER one customers. Construction at Townsville (Queensland) is progressing well and the store is scheduled to open in the second half of 2012.
The Liverpool (New South Wales) store refurbishment is on track to be completed by Christmas
2011 and the Carindale (Queensland) refurbishment has commenced and is expected to be completed by April 2012.
As part of our focus on becoming a leading omni-channel retailer, the first phase of our website rebuild is underway with some improvements already implemented. Our online sales continue to grow with our customers responding well to our offer of free delivery on most merchandise. We anticipate delivering the next stage of improvements by March 2012.
Myer Chief Executive Officer, Bernie Brookes, said that while the trading environment during the first quarter continued to be challenging, the result was in line with our expectations.
"Pleasingly, as the quarter progressed sales gradually improved against last year," Mr Brookes said.

Myer Holdings Ltd. ABN 14 119 085 602

"Myer Melbourne recently won the World Retail Award for Best Store Design and is trading well up on last year. We have also been especially encouraged by the positive customer response to our new store in Mackay," he said.
"We welcome the recent interest rate cut as we head into the critical Christmas trading period. The whole team is focused on ensuring our stores are well presented with merchandise to inspire our customers to 'Jump In' and see what we have in store for Christmas," he said.
"With our significant investment in store wages and service training we look forward to providing our customers with an improved level of service in our stores. We are also confident that our customers will respond well to our new Summer ranges as well as our reinvigorated Stocktake Sale commencing on Boxing Day," he said.

Outlook

Our guidance remains unchanged. Assuming no deterioration in trading conditions, we anticipate FY2012 sales to be flat and net profit after tax (NPAT) to be up to 10 percent below FY2011 NPAT of $162.7 million.
Global and domestic economic conditions will dictate when consumer confidence returns to more normal levels. Myer is very well positioned to benefit from any improvements in discretionary retail conditions when they occur.
For further information please contact:

Investors:

Davina Gunn, Investor Relations Manager, +61 (0) 400 896 809

Media:

Jo Lynch, General Manager Corporate Affairs, +61 (0) 438 101 793

This release includes "forward-looking statements". Forward-looking statements can generally be identified by the use of forward-looking words such as "may", "will", "expect", "intend", "plan", "estimate", "anticipate", "believe", "continue", "objectives", "outlook", "guidance" or other similar words, and include statements regarding certain plans, strategies and objectives of management and expected financial performance. These forward-looking statements involve known and unknown risks, uncertainties and other factors, many of which are outside the control of Myer, and its officers, employees, agents or associates. Actual results, performance or achievements may vary materially from any projections and forward-looking statements and the assumptions on which those statements are based. Readers are cautioned not to place undue reliance on forward-looking statements and Myer assumes no obligation to update such information.

Myer Holdings Ltd. ABN 14 119 085 602