URGI United Retail Grp. (MM)

United Retail Group, Inc. (NASDAQ-GM: �URGI�) today announced that net sales for fiscal March 2007 increased 12% to $45.5 million from $40.7 million for fiscal March 2006. Comparable store sales for the fiscal month increased 11%. The Easter week occurred in the fiscal month of March this year and in the fiscal month of April last year. The Easter shift contributed a low-single digit comparable store sales benefit for the month. For the fiscal quarter to date, net sales increased 6% to $74.1 million from $70.0 million in the same period last year. Comparable store sales for the fiscal quarter to date increased 5%. Comparable store sales data does not include online sales from avenue.com. Online sales increased 50% for the fiscal month of March and 55% for the fiscal quarter to date versus the comparable periods of 2006. Raphael Benaroya, the Company�s Chairman of the Board, President and Chief Executive Officer, commented: �I am pleased with the strong sales results for March. Our 11% comparable store sales increase was driven by a broad range of merchandise categories, particularly when the weather was more seasonable.� United Retail Group, Inc. is a specialty retailer of large-size women�s fashion apparel, footwear and accessories featuring AVENUE� brand merchandise. The Company operates 486 AVENUE� stores with 2,141,000 square feet of selling space, as well as the AVENUE.COM� website at avenue.com. The above release contains certain brief forward-looking statements concerning the Company�s operations and performance. The Company cautions that any forward-looking statements are summary in nature, involve risks and uncertainties and are subject to change based on various important factors, many of which may be 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. The following factors, among others, could affect the Company�s actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements included in this release or otherwise made by management: threats of terrorism; war risk; shifts in consumer spending patterns, consumer preferences and overall economic conditions; the impact of competition and pricing; variations in weather patterns; fluctuations in consumer acceptance of the Company�s products; changes in the ability to develop new merchandise; store lease expirations; increases in interest rates; the ability to retain, hire and train key personnel; risks associated with the ability of the Company�s manufacturers to deliver products in a timely manner; political instability and other risks associated with foreign sources of production; and increases in fuel costs. The reports filed by the Company with the Securities and Exchange Commission contain additional information on these and other factors that could affect the Company�s operations and performance. The Company does not intend to update the forward-looking statements contained in the above release, which should not be relied upon as current after today�s date.