Earnings Releases

Brown Shoe Announces 3-for-2 Stock Split; Increases Dividend by 31 Percent

ST. LOUIS, MISSOURI, March 8, 2007 – Brown Shoe Company, Inc. (NYSE: BWS) today announced that its Board of Directors authorized a 3-for-2 split of the Company's Common Stock, to be effected in the form of a stock dividend of one share of the Company's Common Stock for every two shares outstanding. Simultaneously, the Board approved a 31 percent increase in its quarterly cash dividend. The cash dividend increase raises the pre-split quarterly cash dividend from 8 cents per share to 10.5 cents per share. On a post-split basis, the cash dividend would equal 7 cents per share.
The record date for the stock split and the cash dividend is March 19, 2007. Stockholders will receive one new share of common stock for every two shares they own. Stockholders also will be paid a quarterly cash dividend of 10.5 cents per share on a pre-split basis. Both the cash dividend and the stock dividend will be payable on April 2, 2007.
"The dividend increase demonstrates our commitment to maximizing shareholder value and reflects our strong cash flow and operating results for 2006, as well as our confidence in our 2007 outlook,” said Brown Shoe Chairman and CEO Ron Fromm. "We believe this stock split provides an opportunity to broaden our base of investors by making our stock more accessible while improving its trading liquidity."
With this dividend, Brown Shoe will have paid cash dividends for 337 consecutive quarters. With the split, the number of shares outstanding will rise from approximately 29 million shares to approximately 43.5 million shares.

About Brown Shoe
Brown Shoe is a $2.5 billion footwear company with global operations. Brown Shoe’s Retail division operates Famous Footwear, the 1,000-store chain that sells brand name shoes for the family, approximately 300 specialty retail stores in the U.S. and Canada under the Naturalizer, FX LaSalle, and Franco Sarto names, and Shoes.com, the Company's e-commerce subsidiary. Brown Shoe, through its Wholesale divisions, owns and markets leading footwear brands including Naturalizer, LifeStride, Via Spiga, Nickels Soft, Connie and Buster Brown; it also markets licensed brands including Franco Sarto, Dr. Scholl's, Etienne Aigner, and Carlos by Carlos Santana and Barbie, Disney and Nickelodeon character footwear for children. Brown Shoe press releases are available on the Company's website at http://www.brownshoe.com.

Contacts:
For investors: For media:
Ken Golden David Garino
Brown Shoe Company, Inc. Fleishman-Hillard
314-854-4134 314-982-0551