OMX Officemax Incorporated

Company Plans To Close 110 Retail Stores ITASCA, Ill., Jan. 10 /PRNewswire-FirstCall/ -- OfficeMax(R) Incorporated (NYSE:OMX), a leader in office products and services, today announced steps the company plans to take in the first quarter of 2006 to improve the company's performance. The planned actions include the closure of 110 retail stores across the U.S. by the end of the first quarter of 2006, the ceasing of operations at the company's wood-polymer building materials facility, reported as a discontinued operation, and other restructuring activities. As indicated previously, the company plans to provide details concerning its operating plan on a date to be announced within the next 30 days. "Today's announcement of store closings marks a difficult but necessary step toward improving our company's overall performance," said Sam Duncan, the Chairman and Chief Executive Officer of OfficeMax. "In 2005, we completed a comprehensive review of our real estate portfolio, assessing each of our individual stores based on performance and growth potential. As a result, we identified 110 stores that we intend to close by the end of the first quarter 2006." "The store consolidation plan does not change our optimistic outlook with regard to new store development, and we continue to expect that we will open up to 70 new OfficeMax stores in 2006, using primarily our new Advantage store prototype format, to strengthen our position in key areas of the country." Taking into account the store closings announced today and the planned store openings in 2006, OfficeMax expects to end 2006 with approximately 887 domestic retail stores. In addition to the store closings, OfficeMax is also undertaking other restructuring actions. In the first quarter of 2006, OfficeMax will cease operations at its wood-polymer building materials facility located near Elma, Washington, which has been reported as a discontinued operation since 2004. OfficeMax will also undertake other restructuring activities in its international operations related to several efficiency initiatives, including the closing of five retail stores in Canada. In connection with the domestic retail store closings, OfficeMax expects to record pretax costs and expenses totaling approximately $141 million. In connection with exiting the wood-polymer building materials business, OfficeMax expects to record total pretax costs and expenses of approximately $41 million. In connection with the other restructuring activities in the company's international operations, OfficeMax expects to record pretax costs and expenses of approximately $5 million. In total, OfficeMax expects to record charges of $187 million, including approximately $46 million incurred in the fourth quarter of 2005 and approximately $141 million to be incurred in the first quarter of 2006. Additional details regarding the planned store closings and related restructuring charges have been disclosed in the company's filing today on Form 8-K with the Securities and Exchange Commission (SEC). This filing may be accessed through the Investors section at http://www.officemax.com/ or the website of the SEC at http://www.sec.gov/. Forward-Looking Statements Certain statements made in this press release and other written or oral statements made by or on behalf of the Company may constitute "forward-looking statements" within the meaning of the federal securities laws. Statements regarding future events and developments and the Company's future performance, as well as management's expectations, beliefs, intentions, plans, estimates or projections relating to the future, are forward-looking statements within the meaning of these laws. Management believes that these forward-looking statements are reasonable; however, you should not place undue reliance on such statements. These statements are based on current expectations and speak only as of the date of such statements. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of future events, new information or otherwise. Important factors regarding the Company which may cause results to differ from expectations are included in the Company's Annual Report on Form 10-K for the year ended December 31, 2004, including under the caption "Cautionary and Forward-Looking Statements", and in other filings with the SEC. About OfficeMax OfficeMax is a leader in both business-to-business and retail office products distribution. OfficeMax delivers an unparalleled customer experience -- in service, in product, in time savings, and in value -- through a relentless focus on its customers. The company provides office supplies and paper, print and document services, technology products and solutions, and furniture to large, medium and small businesses and consumers. Prior to the actions discussed in this press release, OfficeMax customers are served by approximately 40,000 associates through direct sales, catalogs, Internet and approximately 950 superstores. OfficeMax trades on the New York Stock Exchange under the symbol OMX. More information can be found at http://www.officemax.com/. OfficeMax Media Contact OfficeMax Investor Relations Contact Bill Bonner John Jennings 630 438 8584 630 438 8760 DATASOURCE: OfficeMax Incorporated CONTACT: Media: Bill Bonner, +1-630-438-8584, or Investor Relations: John Jennings, +1-630-438-8760, both of OfficeMax Web site: http://www.officemax.com/

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