Mr. Serra continued, “We expect that our fourth quarter comparable-store sales will continue to increase in the low-to-mid single digit range. Additionally, we do not expect to be as promotional in our European stores as we were during the third quarter, given that our inventories are now at more appropriate levels. Based upon this, we currently expect our income from continuing operations per share in the fourth quarter to be in the range of $0.53 to $0.61, versus the $0.57 that we reported in the comparable prior year period. Last year’s fourth quarter results included an income tax rate of 31.5 percent which provided a $0.05 per share favorable comparison to this year’s 37 percent estimated rate.”

Operating Highlights

The Company opened 18 new stores, remodeled/relocated 57 stores and closed 58 stores during the third quarter. At October 29, 2005, the Company operated 3,886 stores in 20 countries in North America, Europe and Australia. The Company also entered its 16th European country during the third quarter with a new store in Greece.

Financial Position/Dividend Increase

The Company’s financial position continues to strengthen, with its cash and short-term investment position at the end of the third quarter of $390 million and its cash and short-term investment position, net of debt, $160 million greater than at the same time last year. During the third quarter, the Company repurchased 790,200 shares of its common stock for $17 million. To date, the Company has spent $20 million of a $50 million board-authorized share repurchase program that expires in February 2006. The Company expects its Board of Directors to consider the authorization of a new share repurchase program early in 2006.

As previously announced, on November 16, 2005, the Company’s Board of Directors increased Foot Locker, Inc.’s quarterly common stock dividend 20 percent from its previous amount to $0.09 per share, which is equivalent to an annualized rate of $0.36 per share. The increased dividend will be payable January 27, 2006 to shareholders of record on January 13, 2006.

The Company is hosting a live conference call at 10:00 am (EST) on Friday, November 18, 2005 to discuss these results and provide guidance with regard to its earnings outlook for the balance of 2005. This conference call may be accessed live from the Investor Relations section of the Foot Locker, Inc. website at http://www.footlocker-inc.com. The conference call will be available for webcast replay until 5:00 pm on Monday, November 28, 2005.

Disclosure Regarding Forward-Looking Statements

This press release contains forward-looking statements, which reflect management’s current views of future events and financial performance. These forward-looking statements are based on many assumptions and factors detailed in the Company’s filings with the Securities and Exchange Commission, including the effects of currency fluctuations, customer demand, fashion trends, competitive market forces, uncertainties related to the effect of competitive products and pricing, customer acceptance of the Company’s merchandise mix and retail locations, the Company’s reliance on a few key vendors for a majority of its merchandise purchases (including a significant portion from one key vendor), unseasonable weather, risks associated with foreign global sourcing, including political instability, changes in import regulations, disruptions to transportation services and distribution, economic conditions worldwide, any changes in business, political and economic conditions due to the threat of future terrorist activities in the United States or in other parts of the world and related U.S. military action overseas and the ability of the Company to execute its business plans effectively with regard to each of its business units. Any changes in such assumptions or factors could produce significantly different results. The Company undertakes no obligation to update forward-looking statements, whether as a result of new information, future events, or otherwise.

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