Bi-Partisan Reforms Will Save Businesses $400 Million, Encourage Growth

SPRINGFIELD - November 10, 2011. Governor Quinn today applauded the passage of bi-partisan legislation to strengthen the integrity of Illinois' unemployment insurance program. The reforms - supported by numerous groups, including the Illinois Retail Merchants Association and the Illinois AFL-CIO - are expected to save Illinois businesses more than $400 million, provide 16 percent unemployment insurance tax reductions for companies that have not laid off workers, and identify and punish those that defraud the unemployment system.

"We are in difficult economic times, and we need to bolster our unemployment insurance program to protect both workers and businesses," Governor Quinn said. "As we did with our workers' compensation overhaul this spring, we brought everyone to the table to find a solution. I want to thank representatives of labor, business and the General Assembly whose hard work and collaboration created a package of reforms that will reward Illinois companies for sound business practices, protect those laid off through no fault of their own and give our companies the confidence to grow."

Illinois' Unemployment Trust Fund (UTF), like all unemployment trust funds, is designed to be resilient to economic movements, running deficits during downturns and building a surplus during times of prosperity. Due to the ongoing national recession, however, the self-correcting unemployment trust funds in more than half of U.S. states currently carry a negative balance. Illinois is expected to end 2011 with $2.4 billion in outstanding loans from the federal government to cover state unemployment benefits. Without the agreement, in 2012 federal penalties would result in increased unemployment insurance taxes for companies throughout Illinois, regardless of whether they have laid off workers.

The legislation allows Illinois to issue non-General Revenue Fund (GRF) bonds during a period of historically low interest rates to keep the fund solvent, without shrinking benefits and preventing additional taxes to businesses. The bonds prevent continued UTF borrowing at 4 percent interest from the federal government, saving the state an estimated $240 million (nearly $82 million in interest payments in 2012 alone). The bonds are paid for entirely by businesses normal contributions to the UTF and require no payments from the GRF, freeing money for other state obligations.

The bill also will save businesses more than $400 million through 2019 by preventing the penalty taxes that further federal borrowing for the UTF would create. In addition, the agreement will provide significant tax reductions to the nearly 46 percent of Illinois employers (more than 143,000) that have not laid off workers during the recession. Under this legislation, companies that have avoided layoffs will see, on average, a 16 percent reduction in their unemployment insurance taxes in 2012.

"Businesses need a degree of tax certainty to successfully grow in this economy. This legislation will provide the tax relief to make that happen while making the trust fund solvent," David Vite, president of the Illinois Retail Merchants Association, said.

"This bill recognizes the difficult decisions necessary to prime the pump of this economy," Tim Drea, secretary-treasurer of the Illinois AFL-CIO, said. "We recognize that the best economic environment in Illinois occurs when business and labor work together."

The reforms also introduce new tools to prevent and recover fraudulent payments, which will help restore UTF solvency. The legislation will, for the first time, allow the state to garnish federal tax returns of individuals who purposefully collect unearned unemployment insurance benefits and establish personal liability for individuals who defraud the unemployment insurance program of taxes owed.

"This legislation will help our businesses regain their footing and provide certainty so they can appropriately prepare for the future," Illinois Department of Employment Security Director Jay Rowell said. "Although the lingering effects of the national recession echo across our country, we must not let that uncertainty prevent sound proposals that will help our local economy."

The unemployment insurance program is a joint federal-state effort, coordinated by the U.S. Department of Labor and the Illinois Department of Employment Security. Businesses' unemployment insurance taxes fund the UTF, and those contributions fund unemployment insurance benefits to qualified workers. The amount businesses pay is tied to their experience with the program; the more employees a business lays off, the more they must contribute to the fund to support the increased stress on the UTF.

The UTF provides benefits to individuals laid off through no fault of their own based on their income over the previous four quarters. Unemployment benefits provide temporary assistance until an individual is able to find meaningful employment. Temporary payments also help communities in times of economic stress by ensuring continued spending in the local economy.

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More Than 500 Illinois Employers Participated in Month-Long Effort

SPRINGFIELD - November 10, 2011. In honor of Veteran's Day (Nov. 11) Governor Quinn today announced a successful month of job fairs aimed at putting Illinois Veterans back to work. Hosted by the Governor's Office and the Illinois Department of Employment Security (IDES), the fairs are a special statewide effort to help Veterans find employment and inform employers about tax credits that encourage business development. More than 500 Illinois employers have participated in this special series of job fairs.

Today's Veterans' job fair in Orland Park is the latest in the series of events that highlight Governor Pat Quinn's effort to grow jobs and connect qualified job seekers with ready-to-hire employers. IDES director Jay Rowell and Illinois Department of Veterans' Affairs (IDVA) director Erica J. Borggren will attend today's fair to support the hiring effort.

"Veterans have served their state and their country, and Illinois makes a special effort to ensure that those returning home from service are able to transition into the job market," Governor Quinn said. "November is Hire a Veteran Month, and we want to help our servicemembers to put their valuable skills to use here at home for Illinois employers."

The Orland Park job fair will run from 10 a.m. to 2 p.m. at the Orland Park Civic Center, 14750 Ravinia Avenue. This is the ninth Veterans' job fair so far this year, with other events held across the state in Chicago, Naperville, Bloomington, Belleville, Mt. Vernon, Carterville, Bartonville and Effingham.

"The men and women of our Veteran community are true national heroes," IDVA director Borggren said. "Veterans are proven and committed public servants, and all of Illinois stands to benefit from an empowered Veteran community."

A state income tax credit of up to $1,200 is available to businesses for each qualified Veteran who is hired. Additionally, employers may qualify for a federal tax credit of up to $4,800 through the Work Opportunity Tax Credit.

Veterans are sought-after employees for their service training, which includes respect for authority, embracing responsibility and success operating in team-based environments. Servicemembers also often have advanced training in technology, manufacturing, construction and logistics.

Success and attendance has grown each year at the statewide Veteran job fairs, which were started in order to recognize the value that Veterans bring to the Illinois workforce. Invited businesses include those whose positions demand the skills military Veterans hone in the service. All Illinois job fairs are open to everyone, and individuals attending should bring resumes and be prepared for brief interviews.

"IDES is Illinois' employment agency, and our job is to put people to work," said IDES Director Jay Rowell said. As we approach Veterans Day, it is wholly appropriate to emphasize the skills of these brave men and women and to show how these skills will help employers succeed."

Illinois has added 37,700 jobs so far this year and 81,000 jobs since January 2010 when job growth returned to Illinois after 23 consecutive months of declines. January 2010 also marked the plateau of the unemployment rate after 33 consecutive month-over-month increases. Since, the monthly unemployment rate has declined 15 times and increased four when compared to the previous month.

~ ONLINE EBUSTERS AND OFFERS BEGIN AT 6:00 A.M. THANKSGIVING DAY ~

"May All Your Gifts be Merry and Bright"

York, PA, November 9, 2011 - The Bon-Ton Stores, Inc. (NASDAQ: BONT) today announced Bon-Ton stores will open their doors at 12:00 a.m. on November 25 for the biggest After-Thanksgiving Sale offering over 500 door busters, more than ever before, and a myriad of special offers and discounts for its customers.  Bon-Ton's After-Thanksgiving eBusters and specials will be available online beginning at 6:00 a.m. on Thanksgiving Day.  In addition, Bon-Ton announced its holiday marketing campaign inviting its customers to experience the "May all Your Gifts be Merry and Bright" theme in our stores, social media and online.

Bud Bergren, President and Chief Executive Officer commented, "We are very excited about giving our customers an early start on one of their favorite shopping days and believe they will appreciate the exceptional value of our door busters and special offers.  Our customers can maximize their holiday budget with our value-priced gifts, all offering the quality, fashion and styling shoppers have come to expect from Bon-Ton.  The decision to open at midnight was based on our customers' feedback - they wanted the convenience of shopping earlier.  We believe this will enhance our customers' over-all shopping experience."

Mr. Bergren continued, "'May all your gifts be merry and bright' says it all.  We are offering our customers distinctive gifts in every category making it even easier to choose that special gift for that special person at values that will exceed our customers' expectations.  Our customers can enjoy the convenience of shopping the way they choose - in our stores, online and kiosks. We are very excited about the holidays and we believe our customers will be too when they experience the glitter and sparkle of our gift assortments."

• After-Thanksgiving Day hours: Bon-Ton will be open from 12:00 a.m. to 10:00 p.m. on November 25.  Over 500 After-Thanksgiving door busters will be available from 12:00 a.m. on November 25 until 1 p.m. on Black Friday, November 25, or while quantities last.
• Marketing campaign for November and December: "May all Your Gifts be Merry and Bright" campaign highlights the dazzling array of gifts in the ladies, men's, children's, cosmetics/fragrances and home departments. We have bright gift ideas at prices that will make our customers merry.
• 24/7 - Bon-Ton is there whenever and wherever customers are:
  • www.bonton.com: We make it easier for shoppers this season with a "Holiday Gift Shop."
    • Online customers will find great gift ideas for her, him, teens, kids and even pets!  Plus, a special selection of gift ideas all under $25.  https://www.bonton.com/ContentView?contentPageName=1231-LND-GiftShop&storeId=10001&langId=-1&catalogId=10051&viewName=ContentView

• Every Tuesday in November and December, there will be weekly Deal of the Day with extraordinary online-only gift deals.
• 20 Days of Holiday Gift Giving starting December 1.  Every day for 20 days, a feature gift category with 30% off + FREE shipping on that category.
• Digital and Social Media: Bon-Ton will increase its investment in all digital channels including Facebook, Twitter and mobile campaigns.  Through these media channels, customers will be able to stay in the loop on special holiday gift ideas, discount offers and exclusives throughout the holiday season.  For the convenience of our customers, coupon offers during the holiday season can be sent directly to their mobile device by texting "SHOPPASS" to 266866.  Customers can show their mobile phone at any register to get their digital savings.
• Email Alerts: sign up to receive email exclusive offers for the entire holiday season by visiting any of our Bon-Ton Stores web sites.
• Television: Bon-Ton has increased its spend to reach more customers.  Holiday television will include a mix of :15 and :30 spots that will support sale events and highlight unique merchandise offers that support the holiday campaign.
• Direct Mail: Bon-Ton will mail to a wider base of customers this holiday season.  Bon-Ton Stores proprietary credit card holders will receive advance notice of sales as well as special shopping offers.
• Extended Shopping Hours during the holiday season starting with After-Thanksgiving through December 24 make shopping more convenient. We know our customers appreciate that extra time as they shop for that extra special gift.
• Holiday Plush Animals to Benefit Boys and Girls Clubs: Again this year we will offer two exclusive plush animals in our stores and online - a holiday moose and polar bear - 10% of sales will benefit the local Boys & Girls Clubs in our communities. In its ninth year, the promotion has raised more than $940,000 for local Boys & Girls Clubs through fundraising events.

The Bon-Ton Stores, Inc., with corporate headquarters in York, Pennsylvania and Milwaukee, Wisconsin, operates 276 department stores, which includes 11 furniture galleries, in 23 states in the Northeast, Midwest and upper Great Plains under the Bon-Ton, Bergner's, Boston Store, Carson Pirie Scott, Elder-Beerman, Herberger's and Younkers nameplates and, in the Detroit, Michigan area, under the Parisian nameplate.  The department stores offer a broad assortment of national and private brand fashion apparel and accessories for women, men and children, as well as cosmetics and home furnishings.  Visit www.bonton.com for more information on special store hours, in-store offerings and online specials.

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WASHINGTON - Senator Chuck Grassley today said it's very good news that the veterans hiring legislation he and Senate Finance Committee Chairman Max Baucus introduced in January may be included in a larger proposal that the Senate will vote on this week.

"These men and women are extremely capable," Grassley said.  "They have a lot of skills to offer in the workplace.  The legislation that Senator Baucus and I put together would clear some bureaucratic hurdles and add a financial incentive to encourage employers to seek out veterans.  These steps are a logical follow-up to my effort to increase the IRS' hiring of veterans.  The IRS saw the value of this pool of potential workers and followed through on increased hiring of veterans.  Other employers, including small businesses, should have similar opportunities.  Whether our bipartisan legislation is included by amendment, or when the larger package is brought up for a vote, the veterans hiring proposal needs to be passed."

As introduced, the Veterans Employment Transition Act, or the VETs Jobs bill, would reward employers for hiring qualified veterans who have recently completed their service in the military with a tax credit of up to $2,400 per veteran.  A previous version of this credit, which was part of the Work Opportunity Tax Credit and also authored by Grassley and Baucus, was designed to help employers hire veterans but expired at the end of 2010.  The new version of the legislation would reinstate the tax credit and make it easier for veterans and small businesses to use.  As a result, servicemen and women who have been recently discharged would be able to provide documentation directly from the Department of Defense without having to go through the tax credit's current certification process.

Any veteran who has left active duty in the past five years who has discharge paperwork showing 180 days of qualified active duty would be eligible for the credit. This would include those men and women who were activated by their states as members of the National Guard.  The bill also helps service members market themselves to prospective employers by requiring the military to educate service members about how the credit works.

Noting that the unemployment rate for veterans is higher than for non-veterans nationwide, the senators first introduced the VETs Jobs bill in May 2010.