Kmart Corporation Announces Executive Appointments

Kmart Corporation (NYSE: KM) today announced that Enio (Tony) A. Montini, Jr., 47, will join the company as Vice President and General Merchandise Manager, Drug Store Businesses, effective immediately.

Reporting directly to Cecil Kearse, Kmart Executive Vice President Merchandising, Montini will be responsible for pharmacy merchandising, health and beauty care, fragrances and cosmetics, over-the-counter drugs and celebration. Montini fills the post previously held by Ron Chomiuk who recently was promoted to Vice President, Pharmacy Operations for Kmart.

A 25-year veteran of the drug store retail industry, Montini most recently served as Vice President of Sales for Leiner Health Products in Cleveland, Ohio. He also has held senior management merchandising posts with Revco D.S., Inc., F & M Distributors, Reliable Drug Stores, Inc. and Rite Aid, Inc. as well as senior inventory management positions with Gray Drug Fair and Thrifty Drug Company. Montini received a Bachelor of Science in Mathematics from Duquesne University and his Masters in Business Administration from Case Western Reserve University.

"Tony brings extensive merchandise experience to our drug store businesses. His understanding of the needs of the drug store consumer will be key to leading the further development of these categories," said Kearse.

Also, today the company announced that James E. Boyd, Jr., 44, former Chief Operating Officer of Atlanta-based Popeyes Chicken & Biscuits, will join the company as Operations Vice President, Restaurant Operations, effective Sept. 15, 2000.

A 28-year veteran of the restaurant industry, Boyd will report directly to Mark Schwartz, Kmart Executive Vice President, Store Operations, and be responsible for restaurant operations including sales, relationships with suppliers, marketing and training.

"Jim's broad restaurant operations experience will be a valuable asset in further developing our restaurant business. His ability to develop and maintain partnerships with suppliers will be key to bringing customers a quality dining experience in our KCafes," said Andy Giancamilli, Kmart President and Chief Operating Officer.

Boyd began his restaurant career with Wendy's as a manager in 1982. He progressed through various management positions at Wendy's and The Krystal Company before joining Popeyes Chicken & Biscuits as a franchise district consultant. Prior to his promotion to Chief Operating Officer at Popeyes, he held the position of Senior Vice President of Popeyes and Vice President of Franchise Operations. He also served as Vice President of Franchise Operations, Regional Director/South and North/Central/Company and Franchise Operations and Regional Director/South Central, Franchise Operations.

Kmart Corporation serves America with 2,164 Kmart, Big Kmart and Super Kmart retail outlets. In addition to serving all 50 states, Kmart operations extend to Puerto Rico, Guam and the U.S. Virgin Islands. More information about Kmart is available on the World Wide Web at http://www.bluelight.com/ in the "About Kmart" section.

SOURCE: Kmart Corporation

Contact: Mary Lorencz, Director, Corporate Media Relations of Kmart
Corporation, 248-463-1021

Website: http://www.kmart.com/

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