Kmart Promotes Karen Austin to Senior Vice President, Chief Information Officer

Kmart Corporation (NYSE: KM) today announced the promotion of Karen Austin to Senior Vice President, Chief Information Officer, effective immediately. Austin will report to Julian Day, President and Chief Operating Officer.

"Karen is the ideal choice for this position. She has an intimate knowledge of the company's systems and understands how to use them to underpin the robust recovery of the business," said Day. "Her strong IT background and Kmart experience will position the company's information systems to be a key element in moving the company toward emergence."

In her new position, Austin will be responsible for the entire Information Technology area, including systems governing store operations, merchandising, supply chain and finance. She is leading numerous initiatives to build a robust infrastructure as well as providing new technologies that will help the business grow.

"I am excited to face the challenge of leading the Kmart IT organization during this crucial period in the company's history," said Austin. "As an 18- year Kmart IT veteran, I am passionate about discovering new methods to help the business succeed through the use of technology."

Austin has held various positions of increasing responsibility within Kmart since joining the company in 1984, serving most recently as Vice President, Applications Development. Austin fills the Chief Information Officer post which has been vacant since August 2001.

Austin, 40, is a native of Delphos, Ohio, and holds a bachelor's degree in computer science from Tri-State University in Angola, Indiana.

Kmart Corporation is a $37 billion company that serves America with more than 2,100 Kmart and Kmart SuperCenter retail outlets and through its e- commerce shopping site, http://www.bluelight.com/ .

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SOURCE: Kmart Corporation

Contact: Kmart Media Relations, +1-248-463-1021

Website: http://www.bluelight.com/








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