CROWLEY, MILNER AND COMPANY                    Contact:  Lance P. Wimmer
2301 West Lafayette Boulevard                            (313) 962-2537
Detroit, Michigan  48216-1891                            (972) 776-0009

FOR IMMEDIATE RELEASE

             CROWLEY'S ANNOUNCES RESTRUCTURING OF MANAGEMENT
                 AND PURCHASE OF CONTROLLING INTEREST BY
               VALUE CITY DEPARTMENT STORES AND AFFILIATES

        DETROIT, December 29, 1998 -- Crowley, Milner and Company (AMEX:
COM) announced today that at a special meeting of the Board of Directors
held on December 28, 1998, Dennis Callahan tendered his resignation as
Chairman, President and Chief Executive Officer and agreed to serve in a
consulting role while the Company attempts to restructure its operations and
re-configure its merchandising.  The Board has appointed turn-around
specialist Lance P. Wimmer as President and Chief Executive Officer of the
Company.  Mr. Wimmer is the owner of Dallas, Texas-based Wimmer Associates,
Inc., and has over 20 years of executive management experience, including
administrative, marketing and financial expertise with emphasis on the
retail industry and consumer goods. 

        Crowley's also announced that Columbus, Ohio-based Value City
Department Stores, Inc. (NYSE: VCD) has agreed to acquire 300,000 shares of
Crowley's Common Stock, representing approximately 20% of Crowley's issued
and outstanding shares, from the three descendants of the Company's
founders, in exchange for 25,000 shares of VCD common stock.  Schottenstein
Stores Corporation, also of Columbus, Ohio, owns approximately 56% of the
outstanding stock of Value City Department Stores, Inc.  Schottenstein
affiliates also own 33% of Crowley's, and thus the recent acquisition by
Value City will give Schottenstein Stores and its affiliates control over
Crowley's.  In connection with this transaction, at the request of
Schottenstein Stores, Joseph and Richard Keys, JoAnn Cousino, Dennis
Callahan, Jerome Schostak, Alfred Entenman and Donald Bailey have resigned
from their positions as directors of Crowley's.  Three representatives of
the Schottenstein interests, together with Julius L. Pallone and Paul R.
Rentenbach, continue as the five directors of Crowley's.

        Mr. Wimmer stated "The Christmas season at Crowley's, and for many
other similar retailers, has been far below expectations in terms of both
sales volume and profitability.  The Company will report a significant
operating loss for the fiscal year ending January 31, 1999." Founded in
1914, Crowley's is the only Detroit-based specialty retail department store
operator, with nine stores in the Detroit-metropolitan and suburban Flint,
Michigan areas and, through its subsidiary, Steinbach Stores, Crowley's also
operates 16 specialty retail department stores in the states of Connecticut,
New York, New Hampshire, New Jersey and Vermont.