American Greetings To Close McCrory, Ark., Distribution Facility

CLEVELAND, Feb. 26 /PRNewswire-FirstCall/ -- American Greetings Corp. (NYSE: AM) said today it will close its McCrory, Ark., distribution facility as part of ongoing efforts to increase efficiency and cut costs in its supply chain. The facility closing is scheduled for completion by August 2003.

The 770,000-square foot facility is a distribution facility for Carlton Cards brand social expression products and employs approximately 310 associates. American Greetings will transfer the seasonal order-filling work previously performed at the McCrory plant to its 2.6 million-square foot facility in Osceola, Ark., while everyday order filling will move to the Corporation's recently renovated 1.4 million-square foot facility in Danville, Ky.

"This change represents an opportunity to optimize efficiency in our supply chain, which is one of our four key strategic initiatives that will drive our growth over the next couple years," said Mike Goulder, senior vice president and executive operations officer. "We will be certain to make this a seamless transition to ensure that more of our retail partners benefit from the utilization of the advanced technology and additional capacity at our facilities in Danville and Osceola."

About American Greetings

American Greetings Corporation (NYSE: AM) is the world's largest publicly held creator, manufacturer and distributor of greeting cards and social expression products. Its staff of artists, designers and writers comprises one of the largest creative departments in the world and helps consumers "say it best" by supplying more than 15,000 greeting card designs to retail outlets in nearly every English-speaking country. Located in Cleveland, Ohio, American Greetings generates annual net sales of approximately $2 billion. For more
information on the Corporation, visit http://corporate.americangreetings.com/ on the World Wide Web.

The statements contained in this release that are not historical facts are forward-looking statements. Actual results may differ materially from those projected in the forward-looking statements. These statements involve risks and uncertainties, including but not limited to: retail bankruptcies and consolidations, successful completion of the company's restructuring plan, a weak retail environment, consumer acceptance of products as priced and marketed, the impact of technology on core product sales and competitive terms
of sale offered to customers.