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Kmart Corporation (NYSE: KM) today announced the appointment of Anthony (Tony) D'Onofrio, to the post of Executive Vice President, Chief Supply Chain Officer, effective Oct. 26, 2000. In this new senior executive position, D'Onofrio will oversee all aspects of merchandise flow, distribution and logistics at Kmart and will report directly to President and Chief Operating Officer Andy Giancamilli.

"With exceptional infrastructure design, distribution and logistics experience, Tony D'Onofrio has helped some of the world's leading companies such as Pepsico, Merck and Procter & Gamble create and operate world-class supply chain processes," said Giancamilli. "His energy, results-oriented focus and track record for quality reengineering in turnaround situations will be instrumental as we strive to dramatically enhance efficiency, improve our flow of goods and achieve world-class levels of execution throughout our supply chain at Kmart."

D'Onofrio joins Kmart from Michaels Stores where he has served as Senior Vice President, Global Supply Chain, Logistics and Distribution and was responsible for integrating global operations, optimizing their supply chain, inventory control, transportation and distribution. Previously, he was Vice President, Operations Engineering for Merck where he was in charge of the infrastructure redesign of their mail order drug dispensing division. For the majority of his career, from 1981 to 1997, D'Onofrio was with Pepsico Inc. where he rose to the post of Senior Director Technology, Product and Process Development. He began his career as an engineer working for Procter and Gamble in a production, warehouse and distribution facility. He holds an M.S. and B.S. from the New Jersey Institute of Technology.

Also, effective immediately, Michael K. Frank has joined the company as Vice President, General Merchandise Manager Super Kmart, reporting directly to Senior Vice President Store Operations Mark Schwartz. In this new position, Frank will be responsible for all grocery buying functions for the company's 107 Super Kmart stores.

Frank most recently served as Senior Vice President, Merchandising for Minneapolis-based SUPER VALU. He also has held senior level merchandising positions with Rainbow Foods and Ralphs Grocery Co. He holds a B.A. from UCLA and an MBA from the University of Southern California.

Additionally, Kmart announced the appointment of Mariana Keros as Divisional Vice President, Trend and Product Development, effective immediately. A 19-year veteran of fashion merchandising and marketing, Keros will report directly to Executive Vice President, Merchandising Cecil Kearse. In this new position, she will be responsible for all aspects of the company's trend and product development for all merchandising divisions.

Prior to joining Kmart, Keros served as Director of Trend Merchandising and Product Development for the Dayton Hudson Department Stores Division of Target Corporation, with responsibility for in-house product development for Marshall Fields, Dayton's and Hudson's. Keros also held merchandising and marketing positions with The Limited where she most recently served as Director of Fashion Communication. She is a graduate of The American Academy of Dramatic Arts.

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 in the "About Kmart" section.

SOURCE: Kmart Corporation

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

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