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Saks to add 564,000 Square Foot Distribution Center near Nashville

Saks Incorporated will add a new state-of-the-art 564,000 square foot distribution facility in LaVergne, Tennessee, near Nashville.

The new center, designed in leased space, will be equipped with a sophisticated mobile-robotic system that has been successfully utilized in the company's Maryland facility. The Company expects the Tennessee facility to be operational by August and ultimately employ over 250 full-time employees.

State and local officials provided Saks with about $750,000 in incentives to place its distribution center in the area.

Saks officials said the new facility perfectly located to keep up with growth. Steve Sadove, Saks Chairman and Chief Executive Officer, said, "In order to support our omni-channel strategy and our continued sales growth, some time ago we recognized that we would need additional distribution and fulfillment capacity beginning in 2012. Middle Tennessee is a great fit for our new facility and was selected for its central location, attractive real estate and operating costs, and very capable workforce."

"Tennessee holds a unique competitive advantage in the distribution sector with our state's central location and outstanding transportation infrastructure that provide easy access to customers around the country," said Bill Hagerty, commissioner, Tennessee Department of Economic and Community Development. "I am excited that Rutherford County and the area workforce have proven to be the right fit for Saks Incorporated's distribution center."

La Vergne Mayor Senna Mosley commented, "As the gateway to Rutherford County, La Vergne is a great destination for companies and retail businesses. We are ecstatic that Saks Fifth Avenue chose our town as their new place to call home. The jobs they are providing will hugely benefit La Vergne and its residents."

Saks currently operates a 471,000 square foot distribution center in Aberdeen, Maryland, and also a 120,000 square foot distribution center in Ontario, California. The Company will continue to operate those two facilities.

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