Kmart Names David Montoya Executive Vice President, Store Operations

Lee Viliborghi and Gregg Treadway appointed to Senior Vice President

Kmart Corporation (NYSE: KM) today announced the appointment of David Montoya to Executive Vice President, Store Operations, effectively immediately. Montoya will be responsible for all aspects of store operations for Kmart's more than 2,100 retail outlets and will report directly to Kmart President and Chief Operating Officer Mark Schwartz.

"David Montoya is a first class retail leader," said Schwartz. "His experience will be instrumental in helping Kmart achieve our goal as a world- class retailer."

Montoya brings with him 20 years of domestic and international retailing experience with Wal-Mart Super Centers, Big V, Hechinger's/Builder's Square, and HEB Grocery Company.

In related moves, Kmart has appointed two new Senior Vice Presidents both reporting to Montoya.

Lee Viliborghi has been promoted to Senior Vice President Northwest Division. A 30-year Kmart veteran, Viliborghi was most recently the Regional Vice President in the Denver Region.

Gregg Treadway joins Kmart as Senior Vice President, Midwest Division, from Dollar General. Treadway's experience includes positions at AutoZone, Inc. and Wal-Mart Stores.

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, http://www.bluelight.com/ . Kmart donates $35 million each year to support its hometowns and local non-profit organizations. Kmart associates also provide their most valuable resource time-every day in their local communities. In addition to serving all 50 states, Kmart operations extend to the Caribbean Islands and Asia Pacific. More information about Kmart is available on the World Wide Web at http://www.bluelight.com/ under the "About Kmart" section.

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SOURCE: Kmart Corporation

Contact: Stephen Pagnani of Kmart Communications, +1-248-463-1021

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








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