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The leaves are turning and the nights are getting cooler as Halloween creeps up at Kmart (NYSE: KM) stores nationwide. This October, Kmart becomes Halloween Headquarters -- the one- stop shop where parents and kids will find everything they need for ghoulishly good times and multiple monster bashes -- all at prices that can't be beat. The shelves are stocked with popular costumes in every size, hair-raising Halloween decorations and more candy than even the most tempted trick-or- treaters could possibly imagine.

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Halloween has become one of the most popular holidays for entertaining -- and spending. Last year, Americans spent as much as $84 per family on costumes, candy and decorations(1). Kmart provides an economic and creative alternative for those seeking full costumes or accessories to compliment costumes as well as lower cost alternatives for horrifying the home.

Harry Potter Halloween

Children everywhere are eagerly anticipating the November release of Warner Bros. Pictures' "Harry Potter and the Sorcerer's Stone." This year, the most popular Halloween costume for boys and girls is sure to be based on the most famous wizard of all -- Harry Potter. Official Harry Potter wizards' capes emblazoned with the Hogwarts logo ($19.99) as well as accessory kits that include Harry's wand and trademark round glasses are available at select Kmart stores.

Classic Costumes

Classic costumes such as witches, pumpkins and ghosts deliver happy haunting year after year and can be creatively enhanced with face paint and accessories. Children can become boo-tiful wizards cloaked in crushed velvet capes and hats available in deep blue or ruby red, or full-length capes and caps that are screen-printed with mylar stars and moons. Kids will also go batty for licensed costumes from their favorite movies such as Shrek and Scary Movie, available at Kmart.

Plush Costumes

Safety can be an issue at Halloween with cumbersome and obtrusive costumes. Choose plush vests for younger children who are difficult to outfit and make trick-or-treating safe and comfortable. Children up to 24 months will look wickedly cute in a fuzzy bee, ladybug, lion, tiger or cow vest ($19.99) available at Kmart. When older kids (4-6 years) climb into a full- length, soft, plush costume, they are instantly transformed into lions, tigers, elephants, dinosaurs from the past or even beautiful unicorns ($24.99).

Haunted Houses

Halloween has become one of the most popular holidays for throwing parties and decorating homes. This year, Halloween falls on a Wednesday, making organizing ghoulish gatherings a difficult endeavor, but it's easy to stay in the spooky-spirit with decorations designed for the porch or the outside of the house.

Trick-or-treaters will have a howling good time hanging out with irresistible Porch Kids -- three foot high figures designed to decorate the doorstep, available in skeleton, ghost or witch costumes ($19.99). Giant inflatable pumpkins are larger than ever and bring fun-filled festivities to the lawn or stoop ($14.99). Houses become haunted with the help of a fog machine, which is exceptionally value-priced at Kmart ($39.99). Strings of lights featuring bats, pumpkins, ghosts, eerie eyes or luminaries can spook-up walkways while illuminating them for safety ($1.99 - $4.99). Traditional decorations such as light-up jack-o-lanterns, wicked witches and ghoulish ghosts are also available.

Kmart Corporation is a near-$40 billion company that serves America with more than 2,100 Kmart and Kmart Supercenter retail outlets. Kmart donates $35 million each year to support its hometowns and local nonprofit organizations. Kmart associates also provide their most valuable resource -- time -- every day in their local communities. In addition to serving all 50 states, Kmart operations extend to the Caribbean Islands and Asia Pacific. More information about Kmart is available on the World Wide Web at under the "About Kmart" section.

  HARRY POTTER, characters, names and related indicia are trademarks of
                           and 漏 Warner Bros.

  (1)  American Express, September 27, 2000

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SOURCE: Kmart Corporation

Contact: Abigail Jacobs of Kmart Corporation, +1-415-229-9769,
abigail@bluelight.com

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