Express (EXPRQ) 8-K Results of Operations and Financial Condition

Exhibit 99.1

Company Contact:

Matthew C. Moellering

Chief Administrative Officer & Chief Financial Officer

(614) 474-4400

Media Contact:

Amy Hughes

Corporate Communications & Events

(614) 302-4651

Investor Contacts:

ICR, Inc.

Allison Malkin / Joseph Teklits / Jean Fontana

(203) 682-8200 / (646) 277-1220

EXPRESS, INC. REPORTS STRONG SECOND QUARTER RESULTS;

EPS EXCEEDS COMPANY GUIDANCE

• Second quarter comparable store sales increase 6%

• Second quarter gross margin expands 440 basis points to 31.9%

• Maintains 2010 guidance

Columbus, Ohio – September 1, 2010 - Express, Inc. (NYSE: EXPR), a specialty retail apparel chain operating 577 stores, today announced its second quarter financial results for the thirteen and twenty-six week periods ended July 31, 2010, which compares to the same periods ended August 1, 2009.

Michael Weiss, Express, Inc.’s President and Chief Executive Officer commented: “We are pleased to report better-than-expected second quarter results, reflecting our continued fashion leadership and fueling a 6% increase in comparable store sales, a 190 basis point expansion in merchandise margin, and a 60% rise in e-commerce sales during the period. The on-going benefit of our go-to-market strategy along with outstanding execution of our key growth strategies is resulting in increased sales productivity and profitability for our Company, and therefore we are confirming our guidance for the full year.”

1

Second Quarter Operating Results:

• Net sales increased 9% to $407.3 million from $373.8 million in the second quarter of 2009, and comparable store sales increased 6%;

• Gross margin increased approximately 440 bps to 31.9% compared to 27.5% in the second quarter of 2009;

• General, administrative, and store operating (GA&O) expenses totaled $110.9 million, or 27.2% of net sales, and included $0.9 million of transaction costs associated with the initial public offering completed on May 18, 2010. This compares to GA&O expenses of $94.7 million, or 25.3% of net sales, in the second quarter of 2009;

• Other operating expense, net was $14.0 million, or 3.4% of net sales, and included a $13.3 million one-time termination fee paid to Golden Gate Capital and Limited Brands related to the advisory arrangements with them in connection with the initial public offering. This compares to other operating expense, net of $1.8 million, or 0.5% of net sales, in the second quarter of 2009;

• Operating income was $5.1 million compared to $6.3 million in the second quarter of 2009;

• Interest expense totaled $23.3 million and included $13.6 million of one-time costs associated with the loss on extinguishment of debt related to the prepayment of debt using proceeds from our initial public offering. This compares to interest expense of $13.2 million in the second quarter of 2009;

• Net income was $22.1 million, or $0.25 per diluted share on 88.7 million weighted average shares outstanding, and included the following one-time costs after tax: (i) $0.5 million, or $0.01 per diluted share, of transaction costs related to the initial public offering; (ii) $8.0 million, or $0.09 per diluted share, of fees paid to Golden Gate Capital and Limited Brands related to the termination of advisory arrangements with them in connection with the initial public offering; and (iii) $8.2 million, or $0.09 per diluted share, of interest expense associated with the loss on extinguishment of debt. These costs were entirely offset by a one-time tax benefit of $31.8 million, or $0.36 per diluted share, recognized in connection with the Company’s conversion to a corporation. This compares to a net loss of $6.8 million, or ($0.09) per diluted share on 74.4 million weighted average shares outstanding, in the second quarter of 2009; and

• Net income, adjusted for one-time items noted above related to the initial public offering (see Schedule 4 for discussion of non-GAAP measures), was $7.1 million, or $0.08 per diluted share, for the second quarter of 2010.

Twenty-Six Week Operating Results:

• Net sales increased 11% to $833.7 million from $748.2 million in the prior year period, and year-to-date comparable store sales increased 9%;

• Gross margin increased approximately 570 bps to 34.4% compared to 28.7% in the prior year period;

• General, administrative, and store operating (GA&O) expenses totaled $213.8 million, or 25.6% of net sales, and included $2.7 million in costs related to the Senior Notes offering completed on March 5, 2010 and the initial public offering. This compares to GA&O expenses of $184.2 million, or 24.6% of net sales, in the prior year period;

2

• Other operating expense, net was $17.0 million, or 2.0% of net sales, and included a $13.3 million one-time termination fee paid to Golden Gate Capital and Limited Brands related to the advisory arrangements with them in connection with the initial public offering. This compares to other operating expense, net of $3.4 million, or 0.5% of net sales, in the prior year period;

• Operating income more than doubled to $56.3 million, or 6.8% of net sales, compared to $27.2 million, or 3.6% of net sales, in the prior year period;

• Interest expense was $44.1 million and included $20.8 million of one-time costs associated with the loss on extinguishment of debt related to the prepayment of debt in connection with the Senior Notes offering and initial public offering, compared to interest expense of $26.8 million in the prior year period;

• Net income was $52.7 million, or $0.63 per diluted share on 83.4 million weighted average shares outstanding, and included the following one-time costs after tax: (i) $2.3 million, or $0.03 per diluted share, of costs related to the Senior Notes offering and initial public offering; (ii) $8.0 million, or $0.10 per diluted share, of fees paid to Golden Gate Capital and Limited Brands related to the termination of advisory arrangements with them in connection with the initial public offering; and (iii) $15.3 million, or $0.18 per diluted share, of interest expense associated with the loss on extinguishment of debt. These costs were entirely offset by a one-time tax benefit of $31.8 million, or $0.38 per diluted share, recognized in connection with the Company’s conversion to a corporation. This compares to net income of $0.8 million, or $0.01 per diluted share on 74.2 million weighted average shares outstanding, in the prior year period; and

• Net income, adjusted for one-time items noted above related to the Senior Notes offering and the initial public offering (see Schedule 4 for discussion of non-GAAP measures), was $46.5 million, or $0.56 per diluted share.

Second Quarter Balance Sheet Highlights:

• Cash and cash equivalents totaled $86.9 million compared to $124.0 million at the end of the second quarter of 2009;

• Inventories were $184.3 million compared to $166.5 million at the end of the second quarter of 2009. Inventory per square foot, excluding e-commerce merchandise, increased approximately 7.6% compared to August 1, 2009. This compares to a decrease in inventory per square foot of approximately 9.7% in the same period of the prior year; and

• Total debt declined by $55.4 million to $367.9 million at the end of the second quarter of 2010 primarily driven by the early repayment of approximately $300 million of term loans, partially offset by the $250 million Senior Notes offering in the first quarter of 2010.

3

Store Expansion:

During the second quarter of 2010, the Company opened 2 new stores and closed 1 existing store in the United States, ending the quarter with 577 stores and approximately 5.0 million gross square feet in operation. For the remainder of 2010, the Company plans to open 13 additional stores and close 1 existing location in the United States, ending the year with 589 locations and approximately 5.1 million gross square feet in operation.

2010 Guidance:

Tax Rate:

The Company estimates that its effective tax rate for the remainder of 2010 will be 41.4% compared to an effective tax rate of approximately 2.0% last year as a result of the Company’s conversion to a corporation in connection with its initial public offering.

Full Year 2010:

The Company continues to expect 2010 comparable store sales to increase mid-single digits compared to a decrease of 6% in 2009. The Company also continues to expect net income, adjusted for one-time items related to the Senior Notes offering and initial public offering (see Schedule 4 for discussion of non-GAAP measures), to be in the range of $109 million to $114 million, or $1.27 to $1.33 per diluted share on 86.1 million shares outstanding, versus net income of $75.3 million, or $1.00 per diluted share on 75.6 million weighted average shares outstanding in 2009.

Conference Call Information:

A conference call to discuss second quarter results is scheduled for today, September 1, 2010, at 8:30 a.m. Eastern Daylight Time. Investors and analysts interested in participating in the call are invited to dial (877) 407-0784 approximately ten minutes prior to the start of the call. The conference call will also be webcast live at www.express.com/investor and remain available for 90 days. A replay of the conference call will be available until 11:59 p.m. (EDT) on September 8, 2010 and can be accessed by dialing (877) 660-6853 and entering account number 3055 and conference ID number 355518.

About Express, Inc.:

Express is the sixth largest specialty retail brand of women’s and men’s apparel in the United States. The Company has 30 years of experience offering a distinct combination of fashion and quality for multiple lifestyle occasions at an attractive value addressing fashion needs across work, casual, jeanswear, and going-out occasions. The Company currently operates 577 retail stores, located primarily in high-traffic shopping malls, lifestyle centers, and street locations across the United States and in Puerto Rico, and also distributes its products through the Company’s e-commerce website, express.com.

4

Forward-Looking Statements:

Certain statements are “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include any statement that does not directly relate to any historical or current fact and may herein include, but are not limited to, statements regarding expected net income, comparable store sales, earnings per diluted share, effective tax rates, and store expansion and closures. Forward-looking statements are based on our current expectations and assumptions, which may not prove to be accurate. These statements are not guarantees and are subject to risks, uncertainties and changes in circumstances that are difficult to predict. Many factors could cause actual results to differ materially and adversely from these forward-looking statements. Among these factors are (1) changes in consumer spending and general economic conditions; (2) our ability to identify and respond to new and changing fashion trends, customer preferences and other related factors; (3) fluctuations in our sales and results of operations on a seasonal basis and due to store events, promotions and a variety of other factors; (4) increased competition from other retailers; (5) the success of the malls and shopping centers in which our stores are located; (6) our dependence upon independent third parties to manufacture all of our merchandise; (7) our growth strategy, including our international expansion plan; (8) our dependence on a strong brand image; (9) our dependence upon key executive management; (10) our reliance on Limited Brands to provide us with certain key services for our business; (11) our substantial indebtedness and lease obligations; and (12) increased costs as a result of being a public company. Additional information concerning these and other factors can be found in Express, Inc.’s filings with the Securities and Exchange Commission, including its Registration Statement on Form S-1 (File No. 333-164906), as amended, quarterly reports on Form 10-Q, and current reports on Form 8-K. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law.

5

Schedule 1

Express, Inc.

Consolidated Balance Sheets

(In thousands)

(Unaudited)

	July 31, 2010			January 30, 2010			August 1, 2009
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	86,932		$	234,404		$	124,011
Receivables, net		6,617			4,377			10,878
Inventories		184,255			171,704			166,497
Prepaid minimum rent		21,287			20,874			20,744
Other		22,525			5,289			6,125
Total current assets		321,616			436,648			328,255
PROPERTY AND EQUIPMENT		420,739			395,951			386,857
Less: accumulated depreciation		(209,152	)		(180,714	)		(149,834	)
Property and equipment, net		211,587			215,237			237,023
TRADENAME/DOMAIN NAME		197,414			197,414			197,394
DEFERRED TAX ASSETS		28,951			—			—
OTHER ASSETS		24,624			20,255			23,854
Total assets	$	784,192		$	869,554		$	786,526
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable	$	85,831		$	61,093		$	53,686
Deferred revenue		15,937			22,247			14,331
Accrued bonus		8,579			22,541			6,626
Accrued expenses		67,265			73,576			46,358
Accounts payable and accrued expenses – related parties		87,182			89,831			108,689
Total current liabilities		264,794			269,288			229,690
LONG-TERM DEBT		366,623			415,513			422,014
OTHER LONG-TERM LIABILITIES		49,538			43,300			35,875
Total liabilities		680,955			728,101			687,579
Total stockholders’ equity		103,237			141,453			98,947
Total liabilities and stockholders’ equity	$	784,192		$	869,554		$	786,526

6

Schedule 2

Express, Inc.

Consolidated Statements of Income

(In thousands, except per share amounts)

(Unaudited)

	Thirteen Weeks Ended						Twenty-Six Weeks Ended
	July 31, 2010			August 1, 2009			July 31, 2010			August 1, 2009
NET SALES	$	407,277		$	373,823		$	833,739		$	748,181
COST OF GOODS SOLD, BUYING AND OCCUPANCY COSTS		277,260			271,024			546,516			533,298
Gross profit		130,017			102,799			287,223			214,883
OPERATING EXPENSES:
General, administrative, and store operating expenses (A)		110,936			94,716			213,846			184,240
Other operating expense, net		14,031			1,827			17,045			3,444
Total operating expenses		124,967			96,543			230,891			187,684
OPERATING INCOME		5,050			6,256			56,332			27,199
INTEREST EXPENSE (B)		23,349			13,198			44,129			26,847
OTHER INCOME, NET		(1,475	)		(565	)		(1,917	)		(1,084	)
(LOSS) INCOME BEFORE INCOME TAXES		(16,824	)		(6,377	)		14,120			1,436
INCOME TAX (BENEFIT) EXPENSE		(38,938	)		379			(38,555	)		593
NET INCOME (LOSS)	$	22,114		$	(6,756	)	$	52,675		$	843
EARNINGS (LOSS) PER SHARE:
Basic	$	0.25		$	(0.09	)	$	0.64		$	0.01
Diluted	$	0.25		$	(0.09	)	$	0.63		$	0.01
WEIGHTED AVERAGE SHARES OUTSTANDING:
Basic		88,254			74,387			82,362			74,175
Diluted		88,694			74,387			83,418			74,175

(A) Includes $914 and $2,731 expense related to the Senior Notes offering and the initial public offering in the thirteen week period and twenty-six week period ended July 31, 2010, respectively

(B) Includes $13,624 and $20,781 loss on extinguishment of debt in the thirteen week period and twenty-six week period ended July 31, 2010, respectively

7

Schedule 3

Express, Inc.

Consolidated Statements of Cash Flows

(In thousands)

(Unaudited)

	Twenty-Six Weeks Ended
	July 31, 2010			August 1, 2009
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$	52,675		$	843
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		34,429			38,516
Loss on disposal of property and equipment		633			237
Non-cash interest expense		—			132
Change in fair value of interest rate swap		(1,906	)		(910	)
Share-based compensation		3,570			1,005
Non-cash loss on extinguishment of debt		8,781			—
Deferred taxes		(32,389	)		—
Changes in operating assets and liabilities:
Receivables, net		(1,675	)		(2,841	)
Inventories		(12,551	)		3,705
Accounts payable, deferred revenue, and accrued expenses		75			(15,698	)
Accounts payable and accrued expenses – related parties		(2,649	)		8,677
Other assets and liabilities		(7,204	)		6,533
Net cash provided by operating activities		41,789			40,199
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures		(28,181	)		(16,678	)
Net cash used in investing activities		(28,181	)		(16,678	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings under Senior Notes		246,498			—
Net proceeds from equity offering		166,898			—
Repayments of short-term debt arrangements		—			(75,000	)
Repayments of long-term debt arrangements		(300,625	)		(625	)
Costs incurred in connection with debt arrangements and Senior Notes		(11,986	)		—
Costs incurred in connection with equity offering		(6,498	)		—
Repayment of notes receivable		5,633			—
Distributions		(261,000	)		—
Net cash used in financing activities		(161,080	)		(75,625	)
NET DECREASE IN CASH AND CASH EQUIVALENTS		(147,472	)		(52,104	)
CASH AND CASH EQUIVALENTS, Beginning of period		234,404			176,115
CASH AND CASH EQUIVALENTS, End of period	$	86,932		$	124,011

8

Schedule 4

Supplemental Information – Consolidated Statements of Income

Reconciliation of GAAP to Non-GAAP Financial Measures

(In thousands, except per share data)

(Unaudited)

We supplement the reporting of our financial information determined under U.S. generally accepted accounting principles (GAAP) with certain non-GAAP financial measures: adjusted net income and adjusted earnings per diluted share. We believe that these non-GAAP measures provide meaningful information to assist stockholders in understanding our financial results and assessing our prospects for future performance. Management believes adjusted net income and adjusted earnings per diluted share are important indicators of our operations because it excludes items that may not be indicative of, or are unrelated to, our core operating results, and provide a better baseline for analyzing trends in our underlying business. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names. These adjusted financial measures should not be considered in isolation or as a substitute for reported net income and earnings per diluted share. These non-GAAP financial measures reflect an additional way of viewing an aspect of our operations that, when viewed with our GAAP results and the below reconciliations to the corresponding GAAP financial measures, provide a more complete understanding of our business. We strongly encourage investors and stockholders to review our financial statements and publicly-filed reports in their entirety and not rely on any single financial measure.

9

Schedule 4 (Continued)

Adjusted Net Income and Adjusted Earnings Per Diluted Share

(In thousands, except per share amounts)

The tables below reconcile the non-GAAP financial measures, actual and projected adjusted net income and actual and projected adjusted earnings per diluted share, with the most directly comparable GAAP financial measures, actual and projected reported net income and actual and projected reported earnings per diluted share.

	Thirteen Weeks Ended July 31, 2010
	Net Income			Earnings per Diluted Share			Weighted Average Diluted Shares Outstanding
Reported GAAP Measure	$	22,114		$	0.25		88,694
Transaction Costs (A) *		549			0.01
Advisory/LLC Fees (B) *		8,013			0.09
Interest Expense (C) *		8,188			0.09
Non-Cash Tax Benefit (D)		(31,807	)		(0.36	)
Adjusted Non-GAAP Measure	$	7,057		$	0.08
	Twenty-Six Weeks Ended July 31, 2010
	Net Income			Earnings per Diluted Share			Weighted Average Diluted Shares Outstanding
Reported GAAP Measure	$	52,675		$	0.63		83,418
Transaction Costs (A) *		2,344			0.03
Advisory/LLC Fees (B) *		8,013			0.10
Interest Expense (C) *		15,259			0.18
Non-Cash Tax Benefit (D)		(31,807	)		(0.38	)
Adjusted Non-GAAP Measure	$	46,484		$	0.56
	Fifty-Two Weeks Ended January 29, 2011
	Projected Net Income			Projected Earnings per Diluted Share			Projected Weighted Average Diluted Shares Outstanding
Reported GAAP Measure	$	117,691		$	1.37		86,062
Transaction Costs (A) *		2,344			0.03
Advisory/LLC Fees (B) *		8,013			0.09
Interest Expense (C) *		15,259			0.18
Non-Cash Tax Benefit (D)		(31,807	)		(0.37	)
Adjusted Non-GAAP Measure (E)	$	111,500		$	1.30

(A) Includes transaction costs related to the Senior Notes offering and initial public offering

(B) Includes fees paid to Golden Gate Capital and Limited Brands, Inc. for terminating advisory arrangements with them

(C) Includes prepayment penalty and acceleration of amortization of debt financing costs and debt discount related to the early repayment of the Topco Term B Loan in the thirteen weeks ended July 31, 2010; and includes prepayment penalty and acceleration of amortization of debt financing costs and debt discount related to the early repayment of the Topco Term C Loan and the Topco Term B Loan in the twenty-six weeks ended July 31, 2010

(D) Represents one-time non-cash tax benefit in connection with the Company’s conversion to a corporation

(E) Amounts reflect the mid-point of the guidance range

* Items were tax affected at 1.2% for the thirteen weeks ended May 1, 2010 and at our statutory rate of 39.9% for the thirteen weeks ended July 31, 2010

10