Kmart Changes Policy on Sale of Products Containing Pseudoephedrine

Kmart Holding Corporation today announced that by July 1, 2005 the Company will sell all single-ingredient pseudoephedrine products from behind the Pharmacy counter only. Kmart stores without a Pharmacy will discontinue the sale of all single-ingredient pseudoephedrine products.

"As an important health care resource in the communities we serve, Kmart wants to be certain that our customers are able to purchase the over-the- counter medications they need, while at the same time, safeguarding against potential abuse," said Peter Whitsett, senior vice president general merchandise manager. "Additionally, the differences in local restrictions from community to community makes sale from behind the counter more operationally efficient."

Kmart serves the healthcare needs of its customers with more than 1,130 Pharmacies nationwide. In addition, the Company carries a full selection of Health and Personal Care products at all of its 1,429 stores.

About Kmart

Kmart, a wholly owned subsidiary of Sears Holdings Corporation (NASDAQ: SHLD), is a mass merchandising company that offers customers quality products through a portfolio of exclusive brands that include Thalia Sodi, Jaclyn Smith, Joe Boxer, Martha Stewart Everyday and Route 66. For more information visit the company's website at or the Sears Holdings Corporation website at .

SOURCE: Kmart Holding Corporation

CONTACT: Kmart Media Relations, +1-248-463-1021

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