1
                                                                            99.1




FOR IMMEDIATE RELEASE


Contact:     Ed Cornell
             Acting Chief Financial Officer
             Mazel Stores, Inc.
             (440) 248-5200


             MAZEL STORES ANNOUNCES NEW $70 MILLION CREDIT FACILITY

Cleveland, Ohio (August 23, 2001) -- Mazel Stores, Inc., (Nasdaq: MAZL), today
announced it has closed on a $70 million, three-year, senior revolving credit
facility from IBJ Whitehall Retail Finance, a division of New York-based IBJ
Whitehall Financial Group.

In announcing the completion of the financing, Peter J. Hayes, Mazel Stores'
Chief Executive Officer, stated, "We are very pleased to be working with IBJ
Whitehall on this very important transaction and are confident that our new
credit facility will provide Mazel the flexibility and financial resources
needed to accomplish our short and long term goals".

Robert Barnhard, President of IBJ Whitehall said, "We are pleased to provide
Mazel with the liquidity needed in today's competitive environment. We look
forward to a long and successful relationship".

Mazel Stores, Inc. is a major regional closeout retailer and the nation's
largest wholesaler of closeout merchandise. The Company operates 79 stores in
New York, New Jersey, Connecticut, Pennsylvania, Delaware, Ohio, Kentucky and
Michigan under the names "Odd Job," "Odd Job Trading" and "Mazel's." Company
information is available on the Internet at www.mazelstores.com.

Forward-looking statements in this release are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements are subject to certain risks and uncertainties that
could cause actual results to differ materially from those projected. Such risks
and uncertainties include, but are not limited to, (i) the Company's execution
of a plan to restore both its retail stores and its wholesale division to
profitability; (ii) the ability to purchase sufficient quality closeout and
other merchandise at acceptable terms; and (iii) the ability of the Company


   2

to attract and retain qualified management and store personnel. Please refer to
the Company's SEC filings for further information.