EXHIBIT 99.1

The Spiegel Group Selects Alliance Data Systems
To Provide New Private-Label Credit Card Program

DOWNERS GROVE, Ill. and DALLAS, Texas - April 28, 2003 - The Spiegel Group
and Alliance Data Systems Corp. (NYSE:  ADS) today announced that they have
reached an agreement for Alliance Data Systems to establish a new
private-label credit card program for The Spiegel Group's merchant divisions
-- Eddie Bauer, Spiegel Catalog and Newport News.  Spiegel, Inc. will file a
motion with the Bankruptcy Court today seeking approval of the agreement.
The agreement will not be effective until the Bankruptcy Court grants
approval.
  Alliance Data Systems is a leading provider of transaction services,
marketing services and credit services.  Under the proposed agreement,
Alliance Data would implement a new private-label credit card program for The
Spiegel Group, which would include establishing credit criteria for account
acquisition, issuing and activating new cards, extending credit to new
cardholders, authorizing purchases made with the new cards, customer care and
billing and remittance services.
  The new Alliance Data credit card program for The Spiegel Group would be
separate from and have no relation to The Spiegel Group's existing or prior
credit card programs, and there would be no transfer of existing receivables.
Under terms of the agreement, Alliance Data would apply credit standards and
underwriting policies for the new Spiegel Group credit card program that are
consistent with Alliance Data's other retail client credit card programs.
  James M. Brewster, senior vice president and chief financial officer of
The Spiegel Group said, "Offering this new private-label credit program to
our customers is an important service.  We chose Alliance Data Systems
because of its retail experience, systems capabilities, and dedication to
customer service.  We look forward to working with Alliance Data Systems to
enhance our customers' experience and build customer loyalty."
  Assuming Bankruptcy Court approval, The Spiegel Group and Alliance Data
Systems expect to begin offering credit to Eddie Bauer, Spiegel and Newport
News customers in early May followed by a series of targeted credit marketing
programs in late May.

About Alliance Data Systems
  Based in Dallas, Alliance Data Systems (NYSE: ADS) is a leading provider of
transaction services, credit services and marketing services. The company
assists retail, petroleum, utility and financial services clients in managing
the critical interactions between them and their customers. Alliance Data
manages over 72 million consumer relationships for some of North America's most
recognizable companies and operates and markets the largest coalition loyalty
program in Canada. Alliance Data Systems employs approximately 6,500 associates
at more than 20 locations in the United States, Canada and New Zealand. For
more information about the company, visit its web site,
www.alliancedatasystems.com.

Alliance Data Systems' Safe Harbor Statement/Forward Looking Statement
  Statements contained in this press release that are not historical facts may
be forward-looking statements within the meaning of the Private Litigation
Reform Act.  Such statements may use words such as "anticipate," "believe,"
"estimate," "expect," "intend," "predict," "project" and similar expressions
as they relate to Alliance Data Systems or our management.  When we make
forward-looking statements, we are basing them on our management's beliefs
and assumptions, using information currently available to us.  Although we
believe that the expectations reflected in the forward-looking statements are
reasonable, these forward-looking statements are subject to risks,
uncertainties and assumptions including the risks discussed in our filings
with the Securities and Exchange Commission.  If one or more of these risks
materialize, or if our underlying assumptions prove to be incorrect, actual
results may vary materially from what we projected.  Any forward-looking
statements contained in this press release reflect our current views with
respect to future events and are subject to these and other risks,
uncertainties and assumptions relating to our operations, results of
operations, growth strategy and liquidity.  We have no intention, and disclaim
any obligation, to update or revise any forward-looking statements, whether as
a result of new information, future results or otherwise.

About The Spiegel Group
  The Spiegel Group is a leading international specialty retailer marketing
fashionable apparel and home furnishings to customers through catalogs, more
than 550 specialty retail and outlet stores, and e-commerce sites, including
eddiebauer.com, newport-news.com and spiegel.com.  The Spiegel Group's
businesses include Eddie Bauer, Newport News and Spiegel Catalog.  Investor
relations information is available on The Spiegel Group Web site at
http://www.thespiegelgroup.com.

The Spiegel Group's Forward Looking Statements
  This press release contains statements that are forward-looking within the
meaning of applicable federal securities laws and are based upon the company's
current expectations and assumptions.  You should not place undue reliance
on those statements because they speak only as of the date of this release.
Forward-looking statements include information concerning the company's
possible or assumed future financial condition or results of operations.
These statements often include words such as "expect," "plan," "believe,"
"anticipate," "intend," "estimate," or similar expressions. As you read and
consider this release, you should understand that these statements are not
guarantees of financial condition, performance or results. They involve
risks, uncertainties and assumptions.  Although the company believes that
these forward-looking statements are based on reasonable
assumptions, you should be aware that many factors could affect its actual
financial results and actual results could differ materially from the
forward-looking statements.  These factors include, but are not limited to,
uncertainty regarding the company's ability to continue as a going concern;
uncertainty regarding the company's ability to operate pursuant to the terms
of the DIP facility; uncertainty regarding the company's ability to develop
and consummate one or more plans of reorganization; risks associated with third
parties seeking and obtaining court approval to terminate or shorten the
exclusivity period for the company to propose and confirm one or more plans of
reorganization, for the appointment of a Chapter 11 trustee or to convert the
Chapter 11 case to a Chapter 7 case; the effect on the company's net sales and
cash flow of its decision to stop accepting private-labelcredit cards at its
merchant companies; the company's ability to find a third-party service provider
to finance and service new private-label credit cards to be issued by the
merchant companies and the terms of such arrangement; uncertainty regarding the
servicing of the company's existing securitized credit card receivables
portfolio upon the liquidation of FCNB; the effects on the company of the
Pay-Out Events recently experienced by all of the company's securitization
agreements that are backed by the company's credit card receivables; the
ultimate effect on the company of the pending investigation by the SEC; the
uncertainty relating to the sale or liquidation of the bankcard segment; the
ability of the company to maintain trade credit and contracts that are important
to its operations; the financial strength and performance of the retail and
direct marketing industry; changes in consumer spending patterns; risks
associated with collections on the company's credit card portfolio; the success
of merchandising, advertising, marketing and promotional campaigns; and various
other factors beyond the company's control.
  All future written and oral forward-looking statements made by the company or
persons acting on the company's behalf are expressly qualified in their
entirety by the cautionary statements contained or referred to above.  Except
for the company's ongoing obligations to disclose material information as
required by the federal securities laws, the company does not have any
obligation or intention to release publicly any revisions to any forward-looking
statements to reflect events or circumstances in the future or to reflect the
occurrence of unanticipated events.

The Spiegel Group
Debbie Koopman
630.769.2596
debbie_koopman@spgl.com

Alliance Data Systems
Shelley Whiddon - Media
972.348.4310
swhiddon@alldata.net

Ed Heffernan - Analysts/Investors
972.348.5191
eheff@alldata.net