TARGET CORPORATION TO BUILD NEW DISTRIBUTION CENTER

July 30, 2001

Target Corporation, the City of Cedar Falls, Iowa, Cedar Valley Economic Development Corp. and Iowa Dept. of Economic Development have jointly announced the location of a new 1.35 million square foot distribution center in Cedar Falls, Iowa.

The distribution center will be located on a 133-acre site in the southwest portion of the City at the intersection of Viking and Hudson Roads.  The Center will distribute general merchandise products to Target stores in Iowa and surrounding states, including the new Super Target in Waterloo.  Cedar Falls recently rezoned the proposed site and will acquire the property on behalf of Target Corporation.

When at full capacity, Target expects that the distribution center will employ approximately 900 team members with hiring to begin early 2003.  Completion of the facility is scheduled for spring 2003.   Construction is expected to begin in early September.  Ryan Companies of Minneapolis has been selected as the general contractor for the project and worked with Target Corporation on various aspects of design and the site selection process.

Several Iowa communities as well as surrounding states were considered during the process.  The Cedar Falls site was selected because of the excellent highway access, workforce and quality of life that can be found throughout the entire Waterloo/Cedar Falls area.  Target Corporation and Ryan Companies were also impressed by the teamwork displayed by the City, Cedar Valley Economic Development Corp. and Iowa Department of Economic Development.

Cedar Falls Mayor Jon Crews stated, "The entire Cedar Valley area should be excited about a company of Target's caliber to make an investment of this magnitude in this community.  On behalf of the City Administration and all Cedar Falls residents our sincere thank you to Target for selecting a Cedar Valley location."  The Mayor added that the City looks forward to a lasting partnership with Target.

Minneapolis-based Target Stores serves guests at 1,019 stores in 46 states nationwide by delivering today's best retail trends at affordable prices.  The largest division of Target Corporation (NYSE:TGT), Target Stores gives back more than $1 million a week to its local communities through grants and special programs.

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