Reitmans to convert Cassis stores to other banners

MONTREAL, Oct. 19, 2011 /CNW Telbec/ - Reitmans (Canada) Limited announced today that following an evaluation and review of strategic alternatives, the Company has decided to close its 25 Cassis stores, primarily through conversion to other Reitmans banners. Despite improvements in the performance of the Cassis banner since its inception, the Company will refocus its sales and merchandising efforts by converting to other banners with a view to enhancing sales in these store locations. The Cassis banner represents less than 2% of total annual sales of the Company, amounting to approximately $20 million at January 29, 2011. Costs associated with the Cassis banner closures, including asset write-offs and severance related costs, amount to approximately $4 million after tax and will be reflected in our third quarter results.

Forward-Looking Statements
All of the statements contained herein, other than statements of fact that are independently verifiable at the date hereof, are forward-looking statements. Such statements, based as they are on the current expectations of management, inherently involve numerous risks and uncertainties, known and unknown, many of which are beyond the Company's control. Such risks include but are not limited to: the impact of general economic conditions, general conditions in the retail industry, seasonality, weather and other risks included in public filings of the Company. Consequently, actual future results may differ materially from the anticipated results expressed in forward-looking statements. The reader should not place undue reliance on the forward-looking statements included herein. These statements speak only as of the date made and the Company is under no obligation and disavows any intention to update or revise such statements as a result of any event, circumstances or otherwise, except to the extent required under applicable securities law.