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Juli Musch, Divisional Vice President
Investor Relations
(248) 463-1040

FOR IMMEDIATE RELEASE

KMART CORP REPORTS SAME STORE SALES FOR DECEMBER 2001

Troy, Michigan, January 10, 2002 -- Kmart Corporation (NYSE: KM) today reported that for the four-week period ended January 2, 2002, net sales decreased 1.0% on a same-store basis. Total net sales were $5.524 billion, essentially level with $5.539 billion for the same period last year.

Net sales for the 48-week period ended January 2, 2002, were flat on a same-store basis. Total net sales were $34.091 billion, a decrease of 1.0% from $34.444 billion for the same period last year.

As a result of the Company's December sales performance and other recent events, the Company does not expect to report earnings for the fiscal year ending January 30, 2002, consistent with analysts' current expectations. The Company is also continuing, in light of the foregoing, to review its current and prospective liquidity position and business plan for the 2002 and 2003 fiscal years, and in that regard, is in discussions with its lenders regarding its existing and possible supplemental financing facilities.

					Change
($ Millions)	01-02-02		01-03-01		All Stores	Same-Store
Total Kmart	$5,524		$5,539		(0.3%)	(1.0%)

					Change
($ Millions)	01-02-02		01-03-01		All Stores	Same-Store
Total Kmart	$34,091		$34,444		(1.0%)	0.0%
# of Store Locations	2,114		2,106		0.4%

Cautionary Statement Regarding Forward-looking Information

Statements made by the Company related to future performance are forward-looking statements and are subject to risks and uncertainties that are set forth in the Company’s filings with the Securities and Exchange Commission, which are incorporated herein by reference. Actual results may materially differ from anticipated results described in such statements. Statements made by the Company from time to time, including those contained herein, speak only as of the date made and the Company does not undertake to update such statements.

Kmart Corporation is a near-$40 billion company that serves America with more than 2,100 Kmart and Kmart Supercenter retail outlets and through its e-commerce shopping site www.bluelight.com. More information about Kmart sales is available by calling (248) 614-0480 and general information is available at www.bluelight.com under the "About Kmart" section.