Exhibit

Columbus, Ohio - December 1, 2017 - Big Lots, Inc. (NYSE: BIG) today reported income of $4.4 million, or $0.10 per diluted share, for the third quarter of fiscal 2017 ended October 28, 2017. This result includes after tax income of $1.9 million, or $0.04 per diluted share, associated with a gain from insurance recoveries on merchandise-related legal matters. Excluding this gain, adjusted income totaled $2.5 million, or $0.06 per diluted share (see non-GAAP table included later in this release), which compares to our guidance of income in the range of $0.01 to $0.05 per diluted share. Comparable store sales increased 1.0% for the third quarter of fiscal 2017, compared to our guidance of a low single digit increase. Net sales for the third quarter of fiscal 2017 increased 0.5% to $1,111 million, a result of the comparable store sales increase partially offset by a lower store count year-over-year.

Commenting on today’s release, David Campisi, Chief Executive Officer and President of Big Lots, stated, “I’m very pleased with our third quarter results. In a challenging retail environment, the team delivered on our financial commitments with sales in line with our communicated guidance and EPS growth above our expectations. Jennifer continues to respond positively to our strategy focusing on ownable and winnable merchandise categories, improved merchandise presentations, and more consistent, friendly customer service and in-store execution.”



	Earnings per diluted share

	Q3 2017	Q3 2016

Earnings per diluted share	$0.10	$0.03

Impact of gain from insurance recoveries ⁽¹⁾	($0.04)	—

Impact of legacy pension costs ⁽¹⁾	—	$0.01

Earnings per diluted share - adjusted basis	$0.06	$0.04

% change to LY	+50%

(1) Non-GAAP detailed reconciliation provided below.

We ended the third quarter of fiscal 2017 with $58 million of Cash and Cash Equivalents and $372 million of borrowings under our credit facility compared to $60 million of Cash and Cash Equivalents and $363 million of borrowings under our credit facility as of the end of the third quarter of fiscal 2016. Cash flow (cash provided by operating activities less cash used in investing activities) was focused on reinvesting in the Company’s strategic initiatives to support long-term sustainable growth, including the Store of the Future, and returning cash to our shareholders through share repurchases and dividend payments.

As a reminder, on February 28, 2017, our Board of Directors approved a share repurchase program (“2017 Share Repurchase Program”) providing for the repurchase of up to $150 million of our common shares in open market and/or privately negotiated transactions at our discretion, subject to market conditions and other factors. During the third quarter of fiscal 2017, we completed the 2017 Share Repurchase Program. In total for the program, we invested $150 million to repurchase 3.1 million shares, or approximately 7% of the Company’s shares outstanding, at an average price of $48.04 per share. Common shares acquired through the 2017 Share Repurchase Program will be available to meet obligations under our equity compensation plans and for general corporate purposes.

For the fourth quarter of fiscal 2017, we estimate income will be in the range of $2.35 to $2.40 per diluted share, compared to our prior guidance of $2.30 to $2.38 per diluted share. This compares to adjusted income of $2.26 per diluted share (non-GAAP) for the fourth quarter of fiscal 2016. This guidance is based on comparable store sales in the range of flat to +2%.

Based on operating results for the first three quarters and our expectations for the fourth quarter of fiscal 2017 noted above, we now estimate fiscal 2017 adjusted income to be in the range of $4.23 to $4.28 per diluted share (non-GAAP), compared to our prior guidance of $4.15 to $4.25 per diluted share. This compares to adjusted income of $3.64 per diluted share (non-GAAP) for fiscal 2016. This annual guidance is based on a comparable store sales increase of approximately 1% and total sales up approximately 2% to last year as the comp and the 53^rd week in fiscal 2017 are expected to be partially offset by a lower overall store count.

We will host a conference call today at 8:00 a.m. to discuss our financial results for the third quarter of fiscal 2017 and provide commentary on our outlook for the fourth quarter and full year of fiscal 2017. We invite you to listen to the webcast of the conference call through the Investor Relations section of our website http://www.biglots.com. If you are unable to join the live webcast, an archive of the call will be available through the Investor Relations section of our website after 12:00 noon today and will remain available through midnight on Friday, December 15, 2017. A replay of this call will also be available beginning today at 12:00 noon through December 15 by dialing 1.888.203.1112 (Toll Free USA and Canada) or 1.719.457.0820 (International), and entering Replay Passcode 8562612. All times are Eastern Time.

Headquartered in Columbus, Ohio, Big Lots, Inc. (NYSE: BIG) is a community retailer operating 1,430 BIG LOTS stores in 47 states, dedicated to friendly service, trustworthy value, and affordable solutions in every season and category - furniture, food, décor, and more. We exist to serve everyone like family, providing a better shopping experience for our customers, valuing and developing our associates, and creating growth for our shareholders. Big Lots supports the communities it serves through the Big Lots Foundation, a charitable organization focused on four areas of need: hunger, housing, healthcare, and education. For more information about the Company, visit www.biglots.com.

Certain statements in this release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and such statements are intended to qualify for the protection of the safe harbor provided by the Act. The words “anticipate,” “estimate,” “expect,” “objective,” “goal,” “project,” “intend,” “plan,” “believe,” “will,” “should,” “may,” “target,” “forecast,” “guidance,” “outlook” and similar expressions generally identify forward-looking statements. Similarly, descriptions of our objectives, strategies, plans, goals or targets are also forward-looking statements. Forward-looking statements relate to the expectations of management as to future occurrences and trends, including statements expressing optimism or pessimism about future operating results or events and projected sales, earnings, capital expenditures and business strategy. Forward-looking statements are based upon a number of assumptions concerning future conditions that may ultimately prove to be inaccurate. Forward-looking statements are and will be based upon management’s then-current views and assumptions regarding future events and operating performance, and are applicable only as of the dates of such statements. Although we believe the expectations expressed in forward-looking statements are based on reasonable assumptions within the bounds of our knowledge, forward-looking statements, by their nature, involve risks, uncertainties and other factors, any one or a combination of which could materially affect our business, financial condition, results of operations or liquidity.

Forward-looking statements that we make herein and in other reports and releases are not guarantees of future performance and actual results may differ materially from those discussed in such forward-looking statements as a result of various factors, including, but not limited to, current economic and credit conditions, the cost of goods, our inability to successfully execute strategic initiatives, competitive pressures, economic pressures on our customers and us, the availability of brand name closeout merchandise, trade restrictions, freight costs, the risks discussed in the Risk Factors section of our most recent Annual Report on Form 10-K, and other factors discussed from time to time in our other filings with the SEC, including Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. This release should be read in conjunction with such filings, and you should consider all of these risks, uncertainties and other factors carefully in evaluating forward-looking statements.

You are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date thereof. We undertake no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise. You are advised, however, to consult any further disclosures we make on related subjects in our public announcements and SEC filings.




BIG LOTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)

		OCTOBER 28		OCTOBER 29
		2017		2016
		(Unaudited)		(Unaudited)
	ASSETS

Current assets:
	Cash and cash equivalents		$58,012		$59,743
	Inventories	1,038,156		1,036,337
	Other current assets	118,822		112,251
	Total current assets	1,214,990		1,208,331

Property and equipment - net		537,563		540,669

Deferred income taxes		47,027		56,102
Other assets		46,529		42,141
			$1,846,109		$1,847,243

	LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:
	Accounts payable		$493,097		$503,625
	Property, payroll and other taxes	87,007		88,941
	Accrued operating expenses	77,683		80,227
	Insurance reserves	41,561		42,141
	Accrued salaries and wages	31,563		50,243
	Income taxes payable	865		1,407
	Total current liabilities	731,776		766,584

Long-term obligations under bank credit facility		371,900		362,900

Deferred rent		56,622		55,291
Insurance reserves		56,948		58,647
Unrecognized tax benefits		15,732		14,639
Other liabilities		47,467		44,107

Shareholders' equity		565,664		545,075
			$1,846,109		$1,847,243




BIG LOTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)

		13 WEEKS ENDED					13 WEEKS ENDED
		OCTOBER 28, 2017					OCTOBER 29, 2016
					%					%
		(Unaudited)					(Unaudited)

Net sales			$1,110,824		100.0			$1,105,498		100.0
	Gross margin	443,626			39.9		441,992			40.0
	Selling and administrative expenses	408,314			36.8		409,695			37.1
	Depreciation expense	29,508			2.7		30,294			2.7
Operating profit		5,804			0.5		2,003			0.2
	Interest expense	(2,077		)	(0.2	)	(1,665		)	(0.2	)
	Other income (expense)	405			0.0		673			0.1
Income before income taxes		4,132			0.4		1,011			0.1
	Income tax benefit	(240		)	(0.0	)	(365		)	(0.0	)
Net income			$4,372		0.4			$1,376		0.1

Earnings per common share
	Basic		$0.10					$0.03
	Diluted		$0.10					$0.03

Weighted average common shares outstanding
	Basic	41,967					44,165
	Dilutive effect of share-based awards	557					761
	Diluted	42,524					44,926

Cash dividends declared per common share			$0.25					$0.21




BIG LOTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)

		39 WEEKS ENDED					39 WEEKS ENDED
		OCTOBER 28, 2017					OCTOBER 29, 2016
					%					%
		(Unaudited)					(Unaudited)

Net sales			$3,628,912		100.0			$3,621,228		100.0
	Gross margin	1,460,401			40.2		1,446,096			39.9
	Selling and administrative expenses	1,239,440			34.2		1,251,844			34.6
	Depreciation expense	87,489			2.4		90,770			2.5
Operating profit		133,472			3.7		103,482			2.9
	Interest expense	(4,705		)	(0.1	)	(3,793		)	(0.1	)
	Other income (expense)	323			0.0		1,031			0.0
Income before income taxes		129,090			3.6		100,720			2.8
	Income tax expense	44,086			1.2		37,970			1.0
Net income			$85,004		2.3			$62,750		1.7

Earnings per common share
	Basic		$1.97					$1.37
	Diluted		$1.95					$1.36

Weighted average common shares outstanding
	Basic	43,155					45,678
	Dilutive effect of share-based awards	409					578
	Diluted	43,564					46,256

Cash dividends declared per common share			$0.75					$0.63





BIG LOTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)


		13 WEEKS ENDED			13 WEEKS ENDED
		OCTOBER 28, 2017			OCTOBER 29, 2016
		(Unaudited)			(Unaudited)

	Net cash used in operating activities		($70,890	)		($67,964	)

	Net cash used in investing activities	(41,602		)	(26,812		)

	Net cash provided by financing activities	114,495			96,150

Increase in cash and cash equivalents		2,003			1,374
	Cash and cash equivalents:
	Beginning of period	56,009			58,369
	End of period		$58,012			$59,743





BIG LOTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)


		39 WEEKS ENDED			39 WEEKS ENDED
		OCTOBER 28, 2017			OCTOBER 29, 2016
		(Unaudited)			(Unaudited)

	Net cash provided by operating activities		$29,072			$43,536

	Net cash used in investing activities	(93,293		)	(71,842		)

	Net cash provided by financing activities	71,069			33,905

Increase in cash and cash equivalents		6,848			5,599
	Cash and cash equivalents:
	Beginning of period	51,164			54,144
	End of period		$58,012			$59,743

The following tables reconcile: selling and administrative expenses, selling and administrative expense rate, operating profit, operating profit rate, income tax expense (benefit), effective income tax rate, net income, and diluted earnings per share for the third quarter of 2017, the year-to-date 2017, the third quarter of 2016, the year-to-date 2016, the fourth quarter of 2016, and the full-year 2016 (GAAP financial measures) to adjusted selling and administrative expenses, adjusted selling and administrative expense rate, adjusted operating profit, adjusted operating profit rate, adjusted income tax expense (benefit), adjusted effective income tax rate, adjusted net income, and adjusted diluted earnings per share (non-GAAP financial measures).



Third quarter of 2017 - Thirteen weeks ended October 28, 2017

	As Reported			Adjustment to exclude gain on insurance recoveries			As Adjusted (non-GAAP)
Selling and administrative expenses	$	408,314		$	3,000		$	411,314
Selling and administrative expense rate	36.8		%	0.3		%	37.0		%
Operating profit	5,804			(3,000		)	2,804
Operating profit rate	0.5		%	(0.3		%)	0.3		%
Income tax benefit	(240		)	(1,149		)	(1,389		)
Effective income tax rate	(5.8		%)	(116.9		%)	(122.7		%)
Net income	4,372			(1,851		)	2,521
Diluted earnings per share	$	0.10		$	(0.04	)	$	0.06



Year-to-date 2017 - Thirty-nine weeks ended October 28, 2017

	As Reported			Adjustment to exclude gain on insurance recoveries			As Adjusted (non-GAAP)
Selling and administrative expenses	$	1,239,440		$	3,000		$	1,242,440
Selling and administrative expense rate	34.2		%	0.1		%	34.2		%
Operating profit	133,472			(3,000		)	130,472
Operating profit rate	3.7		%	(0.1		%)	3.6		%
Income tax expense	44,086			(1,149		)	42,937
Effective income tax rate	34.2		%	(0.1		%)	34.1		%
Net income	85,004			(1,851		)	83,153
Diluted earnings per share	$	1.95		$	(0.04	)	$	1.91



Third quarter of 2016 - Thirteen weeks ended October 29, 2016

	As Reported			Adjustment to exclude pension costs			As Adjusted (non-GAAP)
Selling and administrative expenses	$	409,695		$	(863	)	$	408,832
Selling and administrative expense rate	37.1		%	(0.1		%)	37.0		%
Operating profit	2,003			863			2,866
Operating profit rate	0.2		%	0.1		%	0.3		%
Income tax benefit	(365		)	342			(23		)
Effective income tax rate	(36.1		%)	34.9		%	(1.2		%)
Net income	1,376			521			1,897
Diluted earnings per share	$	0.03		$	0.01		$	0.04

The above adjusted selling and administrative expenses, adjusted selling and administrative expense rate, adjusted operating profit, adjusted operating profit rate, adjusted income tax benefit, adjusted effective income tax rate, adjusted net income, and adjusted diluted earnings per share are “non-GAAP financial measures” as that term is defined by Rule 101 of Regulation G (17 CFR Part 244) and Item 10 of Regulation S-K (17 CFR Part 229). These non-GAAP financial measures exclude from the most directly comparable financial measures calculated and presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”) all costs associated with the Company’s pension plans, as the Company froze benefits and began termination activities for its pension plans in 2015 with the intentions of completing the termination and distributing all plan assets during 2016, which totaled $863 ($521, net of tax). The pension costs encompass all items associated with net periodic benefit costs, including curtailment and settlement charges, and professional fees associated with the plan and plan termination proceedings.



Year-to-date 2016 - Thirty-nine weeks ended October 29, 2016

	As Reported			Adjustment to exclude pension costs			As Adjusted (non-GAAP)
Selling and administrative expenses	$	1,251,844		$	(4,073	)	$	1,247,771
Selling and administrative expense rate	34.6		%	(0.1		%)	34.5		%
Operating profit	103,482			4,073			107,555
Operating profit rate	2.9		%	0.1		%	3.0		%
Income tax expense	37,970			1,612			39,582
Effective income tax rate	37.7		%	0.1		%	37.8		%
Net income	62,750			2,461			65,211
Diluted earnings per share	$	1.36		$	0.05		$	1.41

The above adjusted selling and administrative expenses, adjusted selling and administrative expense rate, adjusted operating profit, adjusted operating profit rate, adjusted income tax expense, adjusted effective income tax rate, adjusted net income, and adjusted diluted earnings per share are “non-GAAP financial measures” as that term is defined by Rule 101 of Regulation G (17 CFR Part 244) and Item 10 of Regulation S-K (17 CFR Part 229). These non-GAAP financial measures exclude from the most directly comparable financial measures calculated and presented in accordance with GAAP all costs associated with the Company’s pension plans, as the Company froze benefits and began termination activities for its pension plans in 2015 with the intentions of completing the termination and distributing all plan assets during 2016, which totaled $4,073 ($2,461, net of tax). The pension costs encompass all items associated with net periodic benefit costs, including curtailment and settlement charges, and professional fees associated with the plan and plan termination proceedings.



Fourth quarter of 2016 - Thirteen weeks ended January 28, 2017

	As Reported			Adjustment to exclude pension costs			Gain on sale of real estate			As Adjusted (non-GAAP)
Selling and administrative expenses	$	479,112		$	(23,693	)	$	3,823		$	459,242
Selling and administrative expense rate	30.3		%	(1.5		%)	0.2		%	29.1		%
Operating profit	144,521			23,693			(3,823		)	164,391
Operating profit rate	9.2		%	1.5		%	(0.2		%)	10.4		%
Income tax expense	53,501			9,364			(1,412		)	61,453
Effective income tax rate	37.3		%	0.3		%	0.0		%	37.6		%
Net income	90,078			14,329			(2,411		)	101,996
Diluted earnings per share	$	1.99		$	0.32		$	(0.05	)	$	2.26

The above adjusted selling and administrative expenses, adjusted selling and administrative expense rate, adjusted operating profit, adjusted operating profit rate, adjusted income tax expense, adjusted effective income tax rate, adjusted net income, and adjusted diluted earnings per share are “non-GAAP financial measures” as that term is defined by Rule 101 of Regulation G (17 CFR Part 244) and Item 10 of Regulation S-K (17 CFR Part 229). These non-GAAP financial measures exclude from the most directly comparable financial measures calculated and presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”): (1) all costs associated with the Company’s pension plans, as the Company completed termination and distribution proceedings in the fourth quarter of 2016, which totaled $23,693 ($14,329, net of tax); and (2) a pretax adjustment for a gain on the sale of real estate of $3,823 ($2,411, net of tax). The pension costs encompass all items associated with net periodic benefit costs, including curtailment and settlement charges, and professional fees associated with the plan and plan termination proceedings.



Full Year 2016 - Fifty-two weeks ended January 28, 2017

	As Reported			Adjustment to exclude pension costs			Gain on sale of real estate			As Adjusted (non-GAAP)
Selling and administrative expenses	$	1,730,956		$	(27,766	)	$	3,823		$	1,707,013
Selling and administrative expense rate	33.3		%	(0.5		%)	0.1		%	32.8		%
Operating profit	248,003			27,766			(3,823		)	271,946
Operating profit rate	4.8		%	0.5		%	(0.1		%)	5.2		%
Income tax expense	91,471			10,976			(1,412		)	101,035
Effective income tax rate	37.4		%	0.2		%	0.0		%	37.7		%
Net income	152,828			16,790			(2,411		)	167,207
Diluted earnings per share	$	3.32		$	0.37		$	(0.05	)	$	3.64

The above adjusted selling and administrative expenses, adjusted selling and administrative expense rate, adjusted operating profit, adjusted operating profit rate, adjusted income tax expense, adjusted effective income tax rate, adjusted net income, and adjusted diluted earnings per share are “non-GAAP financial measures” as that term is defined by Rule 101 of Regulation G (17 CFR Part 244) and Item 10 of Regulation S-K (17 CFR Part 229). These non-GAAP financial measures exclude from the most directly comparable financial measures calculated and presented in accordance with GAAP: (1) all costs associated with the Company’s pension plans, as the Company completed termination and distribution proceedings in 2016, which totaled $27,766 ($16,790, net of tax); and (2) a pretax adjustment for a gain on the sale of real estate of $3,823 ($2,411, net of tax). The pension costs encompass all items associated with net periodic benefit costs, including curtailment and settlement charges, and professional fees associated with the plan and plan termination proceedings.

Our management believes that the disclosure of these non-GAAP financial measures provides useful information to investors because the non-GAAP financial measures present an alternative and more relevant method for measuring our operating performance, excluding special items included in the most directly comparable GAAP financial measures, that management believes is more indicative of our on-going operating results and financial condition. Our management uses these non-GAAP financial measures, along with the most directly comparable GAAP financial measures, in evaluating our operating performance.



PRESS RELEASE
FOR IMMEDIATE RELEASE			Contact: Andrew D. Regrut
			Vice President, Investor Relations
			(614) 278-6622



	Investor Relations Department
	300 Phillipi Road
	Columbus, Ohio 43228-5311
	Phone: (614) 278-6622 Fax: (614) 278-6666
	Email: aschmidt@biglots.com



	Investor Relations Department
	300 Phillipi Road
	Columbus, Ohio 43228-5311
	Phone: (614) 278-6622 Fax: (614) 278-6666
	Email: aschmidt@biglots.com



	Full Year

	2017 Guidance ⁽¹⁾	2016 ⁽²⁾

Earnings per diluted share	$4.23 - $4.28	$3.64

% Change (2017 vs. 2016)	+16% to +18%

(1) Non-GAAP - excludes impact of gain from insurance recovery.

(2) Non-GAAP detailed reconciliation provided below.



	Investor Relations Department
	300 Phillipi Road
	Columbus, Ohio 43228-5311
	Phone: (614) 278-6622 Fax: (614) 278-6666
	Email: aschmidt@biglots.com


•	Adjusted income of $0.06 per diluted share (non-GAAP), compared to last year’s adjusted income of $0.04 per diluted share (non-GAAP)


•	Increases Q4 guidance for income of $2.35 to $2.40 per diluted share, compared to adjusted income of $2.26 per diluted share (non-GAAP) for the same period last year


•	Affirms Q4 guidance for comparable store sales in the range of flat to +2%


•	Increases guidance for fiscal 2017 adjusted income to be in the range of $4.23 to $4.28 per diluted share (non-GAAP), representing a 16% to 18% increase compared to fiscal 2016 adjusted income of $3.64 per diluted share (non-GAAP)


•	Estimates fiscal 2017 cash flow of approximately $180 million