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Sears Announces UK Style by French Connection; Exclusive Union a Major Step Forward for Sears Contemporary Fashion

Landmark agreement represents Sears' continuing expansion in the contemporary category and French Connection's leading industry alliance

Sears, one of America's leading retailers, French Connection UK, the innovative British fashion house, and LF USA's Regatta division, today announced the launch of UK Style by French Connection. The line will offer contemporary, stylish clothing and accessories collections for men, women, and children.

The collaboration will bring in-store, branded boutiques to 500 Sears locations throughout the U.S., starting in the first quarter of 2011, just in time for the spring shopping season. Simultaneously, the collection will be available on Sears.com. A campaign encompassing print, broadcast, and in-store signage--inspired by French Connection's signature, groundbreaking creative--will be an integral part of the brand kickoff. World-renowned advertising agency Lloyd & Co, best-known for its work with Tom Ford and Gucci, has been retained by LF USA and French Connection to develop the campaign. Following the initial launch, Sears will introduce swimwear, footwear, sunglasses, jewelry, and other accessories along with items for the home.

"French Connection is a world leader in contemporary fashion," said John Goodman, executive vice president of Apparel and Home for Sears Holdings. "This addition to our brand portfolio will significantly increase our relevance among younger customers while strengthening our effort to re-energize our fashion offerings at Sears. The launch of UK Style by French Connection signifies our continued commitment to compelling fashion and great value. We are thrilled with this major opportunity to work with a company whose vibrant, cutting-edge fashion and avant-garde marketing have made waves in the fashion industry for almost forty years."

"A new licensing agreement with two world class companies is very exciting. This launch gives us the opportunity to use the strength of French Connection as a global brand to reach a wider audience at new, accessible price points," said Stephen Marks, founder and chairman of French Connection. "We believe this will complement our existing French Connection brand. We're very much looking forward to introducing UK Style by French Connection to the American market."

The women's collection offers floral leggings and striped tanks (from $9.90) along with patterned minis, sequined and animal-print shifts (starting at $29.90), designed to capture French Connection's joie de vivre. Inspired by street and runway fashions in international capitals, the men's collection offers dark-washed jeans ($24.90), button-down Oxford shirts ($24.90), and V-neck tees ($12.90).

"French Connection is the pioneer of fast fashion and is an international leader in the contemporary category with original, groundbreaking consumer marketing year after year," said Rick Darling, president of LF USA. "This is a powerful alliance between Sears, one of America's top retailers, London based French Connection, with its fashion heritage, and LF USA with its design capabilities and global sourcing network. This alliance is sure to produce great fashion at great value for our customers."

About Sears, Roebuck and Co.

Sears, Roebuck and Co., a wholly owned subsidiary of Sears Holdings Corporation (NASDAQ: SHLD), is a leading broadline retailer providing merchandise and related services. Sears, Roebuck offers its wide range of home merchandise, apparel and automotive products and services through more than 2,300 Sears-branded and affiliated stores in the United States and Canada, which includes approximately 929 full-line and approximately 1,200 specialty stores in the U.S. Sears, Roebuck also offers a variety of merchandise and services through www.sears.com, www.landsend.com, and specialty catalogs. Sears, Roebuck offers consumers leading proprietary brands including Kenmore, Craftsman, DieHard and Lands' End--among the most trusted and preferred brands in the U.S. Sears, Roebuck is the 2010 ENERGY STAR Retail Partner of the Year. The company is the nation's largest provider of home services, with more than 12 million service calls made annually. For more information, visit the Sears, Roebuck website at www.sears.com or the Sears Holdings Corporation website at www.searsholdings.com.

About French Connection UK

Founded in 1972 by Stephen Marks, French Connection creates well-designed, fashionable clothing that appeal to a broad range of customers. French Connection is one of the strongest brands on the British high street, operating in over 25 countries. With more than 1500 outlets worldwide, French Connection is a truly global fashion brand.

About LF USA

LF USA is a subsidiary of Li & Fung Limited, the Hong Kong headquartered multi-national export group and is recognized as the world's leader in consumer goods design, development and sourcing. From over 80 offices in the United States, Europe, Africa and Asia, the Group manages the supply chain for retailers and brands worldwide and sources from more than 40 economies. Corporate website: www.lifung.com

First Call Analyst: Westenberger, Richard
FCMN Contact:

SOURCE: Sears, Roebuck and Co.

CONTACT: Amy Dimond of Sears Holdings, +1-224-735-8983,
Amy.Dimond@searshc.com; or Colleen Cleary of Euro RSCG Worldwide PR,
+1-212-367-6883, Colleen.Cleary@eurorscg.com, both for Sears, Roebuck and Co.

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