Exhibit 99.1

                                        Contacts:

                                        Carol Sanger - Media
                                        513/579-7764

                                        Susan Robinson - Investor
                                        513/579-7780

FOR IMMEDIATE RELEASE

              FEDERATED ANNOUNCES PROPOSED NOTE OFFERING

     CINCINNATI, OHIO, September 27, 1995 -- Federated Department Stores, 
Inc.  (NYSE:FD) announced today that it intends to effect an underwritten 
public offering of $400.0 million aggregate principal amount of senior notes.  
The company expects to use the net proceeds of the offering to prepay the 
entire $307.4 million aggregate principal amount of the company's senior 
convertible discount notes due 2004, as well as for other general corporate 
purposes, which may include expenditures related to Federated's pending 
acquisition of Broadway Stores, Inc.

     The contemplated prepayment of the company's senior convertible discount 
notes, with an interest rate of 9.72 percent, is subject to various future 
events and there can be no assurance that such prepayment will be effected.  
If the senior convertible discount notes are to be prepaid, notice will be 
given in accordance with the instruments under which the notes were issued.

     Federated's senior notes will be offered only by means of a written 
prospectus, copies of which will be obtainable from Goldman, Sachs & Co., 
85 Broad Street, New York, New York 10004.

     With corporate offices in Cincinnati and New York, Federated is one of 
the nation's leading department store retailers, with annual sales of more 
than $14 billion.

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