The Wet Seal, Inc. Announces September Comparable Store Sales Declined 7.5% and Affirms Third Quarter Guidance

October 8, 2008 7:00 AM EDT

FOOTHILL RANCH, Calif.--(BUSINESS WIRE)--

The Wet Seal, Inc. (Nasdaq: WTSLA), a leading specialty retailer to young women, reported net sales and comparable store sales for the five-week period ended October 4, 2008, or fiscal September, as follows:

                                             Comparable Store Sales
                     Net Sales                      % Change
           ------------------------------  ---------------------------
                           % Change From
            $ in Millions    Last Year       This Year     Last Year
           ------------------------------  ---------------------------
Wet Seal             $41.4           2.2%           -3.1%        -4.7%
Arden B                9.6         -21.0%          -21.7%       -13.6%
           ------------------------------  ---------------------------
Total                $51.0          -3.2%           -7.5%        -7.0%
           ==============================  ===========================

Ed Thomas, chief executive officer of The Wet Seal, Inc., commented: "At our Wet Seal stores, performance improved over the course of September after a slow start, leading to slightly positive comparable store sales in the last week of the month. Consistent with recent patterns, sales were relatively stronger in the middle of the country, primarily in the upper Midwest and Texas. Results were weaker in portions of the country heavily affected by struggling housing markets, such as Florida, Arizona and Southern California. Overall, we were pleased with the resilience of the Wet Seal business in the face of economic uncertainty and the continued difficult retail environment."

Mr. Thomas continued, "At Arden B, comparable store sales improved slightly relative to August results, as we continue to refine the division's merchandising, pricing and promotional strategies. As business remains difficult, we continue to maintain very conservative inventory levels at Arden B and manage expenses tightly to ensure we mitigate the effects of the sales weakness."

Mr. Thomas concluded, "With September comparable store sales in line with our overall expectations and through tight management of all areas of our business, we continue to expect third quarter earnings per diluted share of between $0.05 and $0.07, which is consistent with our initial guidance given in late August."

About Wet Seal

Headquartered in Foothill Ranch, California, The Wet Seal, Inc. is a leading specialty retailer of fashionable and contemporary apparel and accessory items. As of October 4, 2008, the Company operated a total of 499 stores in 47 states, the District of Columbia and Puerto Rico, including 408 Wet Seal stores and 91 Arden B stores. The Company's products can also be purchased online at www.wetseal.com or www.ardenb.com. For more company information, visit www.wetsealinc.com.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: This news release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements that relate to the Company's earnings guidance for its fiscal third quarter as well as the intent, belief, plans or expectations of the Company or its management. All forward-looking statements made by the Company involve material risks and uncertainties and are subject to change based on factors beyond the Company's control. Accordingly, the Company's future performance and financial results may differ materially from those expressed or implied in any such forward-looking statements. Such factors include, but are not limited to, those described in the Company's filings with the Securities and Exchange Commission. This news release contains results reflecting partial year data and non-fiscal data that may not be indicative of results for similar future periods or for the full year. The Company will not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.

Source: The Wet Seal, Inc.

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