Macys.com will discuss how it is using Mercado search and browse, in combination with merchandising techniques, to increase revenues and improve customer satisfaction. Topics include:

• The status of search today, drawing on macys.com as an example
• Understanding customer behavior and expectation in search and browse
• Improving search's role as an agent of merchandising and promotion
• Giving customers focused choices by making search smarter about products
• Improving response to products by helping search understand customers better
• Closing the gap between the online and offline shopping experience

Mercado Software is a lead sponsor of the eTail 2004 Conference being held on August 3 and 4 in Fort Lauderdale, Florida. eTail brings together the leading innovators from various facets in retail.

As part of eTail's theme "Mastering The Multi-Channel Experience", Mercado will showcase its Commerce Search & Navigation (CSN) solution in booth #39 of the exhibit area. CSN is a comprehensive search, navigation and merchandising solution for online commerce. Demonstrations by Mercado representatives will highlight how CSN-driven promotions can boost sales conversions, up-sells, cross-sells and impulse buying, by featuring items targeted to the shopper's expressed interests. Mercado will also demonstrate CSN's Commerce Management Console (CMC) designed to empower merchandising managers and search administrators to tailor search results for business requirements, to react quickly to a changing competitive environment, and to meet customers' needs.

About Mercado Software
Mercado Software's Commerce Search & Navigation (CSN) and Enterprise Search & Navigation (ESN) solutions provide an effective approach to connecting customers, partners and employees with the right information. CSN and ESN provide outstanding return on investment for a broad range of enterprise applications including online retail sites, business-to-business commerce sites, customer service contact centers, online self-service, intranets, extranets and corporate portals. Macys, JCPenney, Sears, Target, Tower Records, Blockbuster, PETCO, MSN, Caterpillar and Boise Office Solutions are some of the companies benefiting from Mercado Software's solutions. Mercado's unique technology, combined with its commitment to innovation and its experienced team, delivers bottom line results for its customers. Such benefits include increased revenues, higher productivity, reduced operational costs, and improved customer satisfaction. For more information about Mercado Software, please visit www.mercado.com or call (888) 376-1400.

About Federated Department Stores, Inc.
Federated, with corporate offices in Cincinnati and New York, is one of the nation's leading department store retailers, with annual sales of more than $15.2 billion. Federated operates more than 450 stores in 34 states, Guam and Puerto Rico under the names of Macy's, Bloomingdale's, Bon-Macy's, Burdines-Macy's, Goldsmith's-Macy's, Lazarus-Macy's and Rich's-Macy's. The company also operates macys.com and Bloomingdale's By Mail.