New Sears Outlet Store Opens in Modesto

Local Retailer Offers Broad Assortment of Merchandise Marked Significantly Lower Than Manufacturers' Suggested Retail Prices

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| Source: Sears Hometown and Outlet Stores, Inc.

MODESTO, Calif., Aug. 1, 2014 (GLOBE NEWSWIRE) -- Sears Hometown and Outlet Stores, Inc. (Nasdaq:SHOS) has opened its newest California Sears Outlet Store on July 31 at 1800 Prescott Avenue in Modesto.

The Modesto location marks the seventh opening of a new Sears Outlet Store this year and the 18th opening of a new store across all of Sears Hometown and Outlet Stores formats.

"The Modesto community can expect a treasure hunt feel as they explore our wide variety of products, all at a great value," said Sajid Malik, store manager of the new Sears Outlet Store in Modesto. "It's like a paradise for shoppers who love to find bargains. Plus, we have a highly-trained staff in place that's ready to help guide customers around the store and teach them about the differences in brands or models, so they can find exactly what they're looking for."

Each Sears Outlet Store, on average, offers shoppers more than 18,000 square feet of retail space stocked with hundreds of items marked significantly lower than manufacturers' suggested retail prices. Each location provides customers in-store and online access to new, one-of-a-kind, discontinued, used, reconditioned, overstocked, and cosmetically blemished products across a broad assortment of merchandise categories—including home appliances, lawn and garden equipment, apparel, mattresses, sporting goods and tools.

In addition to discontinued and special-buy products, Sears Outlet offers reconditioned merchandise that undergoes a stringent testing process and, when necessary, have cosmetic parts replaced and/or repaired before becoming approved to be an Outlet Certified item. Customers purchasing a Certified Appliance or other item from a Sears Outlet Store should expect significant discounts off the original retail price, a fully functional and operational unit, and the assurance that the unit still meets Sears quality standards as the nation's leading retailer of appliances and appliance-related products. Customers also benefit from delivery and installation services offered by Sears Outlet.

The Sears Outlet Store in Modesto can be reached at (209) 523-2602 and is open Monday through Saturday from 9 a.m. to 9 p.m. and on Sunday from 10 a.m. to 7 p.m. To learn more about Sears Outlet Stores, visit http://www.searsoutlet.com/.

About Sears Hometown and Outlet Stores, Inc.

Sears Hometown and Outlet Stores, Inc. (Nasdaq:SHOS) is a national retailer primarily focused on selling home appliances, lawn and garden equipment, tools and hardware. As of May 3, 2014, Sears Hometown and Outlet Stores, Inc. and its dealers and franchisees operated 1,250 stores across all 50 states as well as in Puerto Rico and Bermuda. In addition to merchandise, Sears Hometown and Outlet Stores, Inc. provide consumers with access to a full suite of services, including home delivery, installation and extended service contracts.

Operating through two segments—the Sears Hometown and Hardware segment and the Sears Outlet segment—Sears Hometown and Outlet Stores, Inc. and its subsidiaries offer franchise and dealership opportunities focused on selling, as applicable, top brand home appliances, hardware, tools, lawn and garden equipment and outlet merchandise. For more information about Sears Hometown & Outlet Stores, Inc., visit www.shos.com. To learn about the opportunity to own and operate a store format, visit www.ownasearsstore.com.

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