8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC  20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of report (Date of earliest event reported):  November 2, 2006

MICHAELS STORES, INC.

(Exact Name of Registrant as Specified in Charter)

Delaware	001-09338	75-1943604
(State or Other Jurisdiction	(Commission	(IRS Employer
of Incorporation)	File Number)	Identification No.)

8000 Bent Branch Drive

Irving, Texas  75063

P.O. Box 619566

DFW, Texas  75261-9566

(Address of Principal Executive Offices) (Zip Code)

Registrant’s telephone number, including area code: (972) 409-1300

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o        Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o        Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

oPre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

oPre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02.Results of Operations and Financial Condition.

The information contained in this Current Report on Form 8-K, including the exhibit attached hereto, is being furnished and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section.  Furthermore, the information contained in this Current Report on Form 8-K shall not be deemed to be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended.

On November 2, 2006, Michaels Stores, Inc. issued a press release announcing, among other things, its sales results for the third quarter of fiscal 2006.  A copy of the press release is attached as Exhibit 99.1 to this Current Report on Form 8-K.

Item 9.01.Financial Statements and Exhibits.

(d)           Exhibits.

Exhibit Number	Description
99.1	Press release issued by Michaels Stores, Inc., dated November 2, 2006.

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SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

MICHAELS STORES, INC.
By:	/s/ Jeffrey N. Boyer
	Jeffrey N. Boyer
	President and Chief Financial Officer

Date:  November 2, 2006

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INDEX TO EXHIBITS

Exhibit Number	Description
99.1	Press release issued by Michaels Stores, Inc., dated November 2, 2006.

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EX-99.1

Exhibit 99.1

NEWS RELEASE	Lisa K. Klinger
FOR IMMEDIATE RELEASE	Vice President — Treasurer
	and Investor Relations
	(972) 409-1528
	klingerl@michaels.com

Michaels Stores Third Quarter Total Sales Increase 6.7%
— Same-Store Sales Increase 3.3% —

IRVING, Texas — November 2, 2006 — Michaels Stores, Inc. (NYSE: MIK) reported today that total sales for the third quarter were $896.1 million, a 6.7% increase over last year’s $839.7 million.  Same-store sales for the quarter increased 3.3% on a 3.5% increase in average ticket, a decrease of (0.1%) in transactions, and a (0.1%) decrease in custom frame deliveries.  Year-to-date sales of $2.497 billion increased 3.8% from $2.406 billion for the same period last year.  Same-store sales year-to-date were up 0.1% over the same period a year ago on a 2.7% increase in average ticket, a (2.5%) decrease in transactions, and a (0.1%) decrease in custom frame deliveries.  A favorable Canadian currency translation added approximately 0.4% to the average ticket increase for the third quarter and approximately 0.5% for the first nine months of fiscal 2006.

For the third quarter, the Southwest, Southeast, and Northeast zones delivered the strongest domestic same-store sales performances in Michaels stores.  The Company’s strongest category performances came in General Crafts, primarily driven by the Jewelry and Beads, as well as ready-made Frames, Seasonal, and Ribbon and Wedding businesses.

As previously announced on October 31, 2006, the Company completed its merger with affiliates of Bain Capital Partners LLC and The Blackstone Group.  As a result of this transaction, the Company will incorporate its future sales information within any required future public filings and will therefore discontinue issuing separate quarterly same store sales releases.  The Company currently plans to release its fiscal 2006 earnings results in late February, and will conduct a conference call, hosted by Michaels Stores President and CFO, Jeffrey Boyer and President and COO, Gregory Sandfort.  Further details will be announced as that date approaches.

Michaels Stores, Inc. is the world’s largest specialty retailer of arts, crafts, framing, floral, wall décor, and seasonal merchandise for the hobbyist and do-it-yourself home decorator. As of November 2, 2006, the Company owns and operates 920 Michaels stores in 48 states and Canada, 165 Aaron Brothers stores, 11 Recollections stores, and four Star Wholesale operations.

This press release is also available on the Michaels Stores, Inc. website (www.michaels.com).

8000 BENT BRANCH DRIVE · IRVING, TEXAS 75063
(972) 409-1300