-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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<SEC-DOCUMENT>0001209191-07-035687.txt : 20070606
<SEC-HEADER>0001209191-07-035687.hdr.sgml : 20070606
<ACCEPTANCE-DATETIME>20070606191102
ACCESSION NUMBER:		0001209191-07-035687
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20070604
FILED AS OF DATE:		20070606
DATE AS OF CHANGE:		20070606

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			MICHAELS STORES INC
		CENTRAL INDEX KEY:			0000740670
		STANDARD INDUSTRIAL CLASSIFICATION:	RETAIL-HOBBY, TOY & GAME SHOPS [5945]
		IRS NUMBER:				751943604
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			0128

	BUSINESS ADDRESS:	
		STREET 1:		8000 BENT BRANCH DR
		STREET 2:		********
		CITY:			IRVING
		STATE:			TX
		ZIP:			75063
		BUSINESS PHONE:		(972)409-1300

	MAIL ADDRESS:	
		STREET 1:		PO BOX 619566
		CITY:			DFW
		STATE:			TX
		ZIP:			75261-9566

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			Cornell Brian C
		CENTRAL INDEX KEY:			0001288709

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-09338
		FILM NUMBER:		07905153

	BUSINESS ADDRESS:	
		BUSINESS PHONE:		925-467-3000

	MAIL ADDRESS:	
		STREET 1:		5918 STONERIDGE MALL ROAD
		CITY:			PLEASANTON
		STATE:			CA
		ZIP:			94588
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>bod47401_bod1bc4.xml
<DESCRIPTION>MAIN DOCUMENT DESCRIPTION
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0202</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2007-06-04</periodOfReport>

    <issuer>
        <issuerCik>0000740670</issuerCik>
        <issuerName>MICHAELS STORES INC</issuerName>
        <issuerTradingSymbol>N/A</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001288709</rptOwnerCik>
            <rptOwnerName>Cornell Brian C</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>8000 BENT BRANCH DRIVE</rptOwnerStreet1>
            <rptOwnerStreet2></rptOwnerStreet2>
            <rptOwnerCity>IRVING</rptOwnerCity>
            <rptOwnerState>TX</rptOwnerState>
            <rptOwnerZipCode>75063</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>0</isDirector>
            <isOfficer>1</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
            <officerTitle>Chief Executive Officer</officerTitle>
        </reportingOwnerRelationship>
    </reportingOwner>

    <nonDerivativeTable>
        <nonDerivativeTransaction>
            <securityTitle>
                <value>Common Stock/Restricted Stock</value>
                <footnoteId id="F1"/>
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            <transactionDate>
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            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>A</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
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            <transactionAmounts>
                <transactionShares>
                    <value>133333</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>15.00</value>
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                <transactionAcquiredDisposedCode>
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            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
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            <securityTitle>
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            <transactionDate>
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                <transactionPricePerShare>
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        <derivativeTransaction>
            <securityTitle>
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            <transactionDate>
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            </transactionDate>
            <transactionCoding>
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                    <value>189247</value>
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                <transactionPricePerShare>
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            <transactionCoding>
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                <transactionPricePerShare>
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                <underlyingSecurityShares>
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        </derivativeTransaction>
        <derivativeTransaction>
            <securityTitle>
                <value>Stock Option (Right to Buy)</value>
            </securityTitle>
            <conversionOrExercisePrice>
                <value>52.50</value>
            </conversionOrExercisePrice>
            <transactionDate>
                <value>2007-06-04</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>A</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
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                <transactionShares>
                    <value>189247</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>0</value>
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                <transactionAcquiredDisposedCode>
                    <value>A</value>
                </transactionAcquiredDisposedCode>
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            <exerciseDate>
                <footnoteId id="F2"/>
            </exerciseDate>
            <expirationDate>
                <value>2014-06-04</value>
            </expirationDate>
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                <underlyingSecurityTitle>
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                <underlyingSecurityShares>
                    <value>189247</value>
                </underlyingSecurityShares>
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                </sharesOwnedFollowingTransaction>
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    </derivativeTable>

    <footnotes>
        <footnote id="F1">Restricted Stock Option Award of 133,333 shares on June 4, 2007 under the Michaels Stores, Inc. 2006 Equity Incentive Plan (exempt), 66,667 of which vests on June 4, 2008, and 66,666 vests on June 4, 2009 contingent upon continuous employment since the date of grant.</footnote>
        <footnote id="F2">Grant of stock option to the reporting person on June 4, 2007 under the Michaels Stores, Inc. 2006 Equity Incentive Plan (exempt).  The stock option vests and becomes exercisable with respect to 20% of the shares of common stock subject to the option on each of the first, second, third, fourth and fifth anniversaries of February 16, 2007.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>/s/ Robert L. Estep, Attorney-in-Fact for Brian C. Cornell, Chief Executive Officer</signatureName>
        <signatureDate>2007-06-06</signatureDate>
    </ownerSignature>
</ownershipDocument>
</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
-----END PRIVACY-ENHANCED MESSAGE-----