SEATTLE, Wash. - December 6, 2000 - Nordstrom.com, the catalog and Internet subsidiary of Nordstrom Inc., announced today the realignment and consolidation of its catalog business. These changes are expected to accelerate progress toward profitability as well as improve customer experience. Company officials said the consolidation of catalogs would result in a 3% reduction in employment at Nordstrom.com.

Currently, Nordstrom.com mails four different catalog titles to customers on a regular basis. Under the company’s new plan, merchandise from the four catalogs will now be consolidated into the two most-established titles: Lifestyle and Clothes for Life. Fewer catalogs will decrease circulation, printing and production expenses and cause a reduction of 35 positions from the Nordstrom.com workforce.

"This was an extremely difficult decision because it impacts our employees," said Dan Nordstrom, chief executive officer of Nordstrom.com. "However, we had to address the fact that we were mailing our customers too many catalogs. We believe that improved integration between the Internet and catalogs will result in a better selection for our customers, and less mail in their boxes."

Once the new strategy to consolidate titles was decided, it was necessary to immediately let employees know why production on certain catalog titles was being stopped.

"We felt the right thing to do was to let our employees know as soon as possible," said Nordstrom.

In addition to honing its catalog business, the company will continue to focus on its Internet strategy that is proving to be very successful. Internet sales continue to grow, with November sales up 400% over last year because of a record 3 million visitors.

"While the company will experience double-digit growth in 2001, we still have a responsibility to eliminate redundant operations and concentrate our resources on opportunities for immediate profitable growth," said Nordstrom.

Nordstrom.com, the online fashion specialty retailer, brings a 99-year history of customer service, selection, quality and value to the Internet. Offering one of the Web's most extensive selections of quality name-brand fashions, shoes and accessories. Recently ranked the #1 apparel site by Yahoo and #2 by Gomez Advisors, Nordstrom.com is an enjoyable, convenient online shopping destination designed to meet the needs of each individual customer. Nordstrom.com, which includes the company's online and catalog businesses, was established as a subsidiary of Nordstrom Inc. in the fall of 1999 when it formally launched NORDSTROMshoes.com, the world's biggest shoe store. Nordstrom Inc. (NYSE: JWN) is one of the nation's leading fashion specialty retailers, with 120 US stores located in 24 states, including 77 full-line stores, 37 Nordstrom Racks, three Façonnable boutiques, two freestanding shoe stores, and one clearance store. Nordstrom also operates 22 Façonnable boutiques throughout Europe.

Contact:

Shasha Richardson, NORDSTROM.com
(206) 215-7549