Secaucus, New Jersey - May 10, 2001 - The Children's Place Retail Stores, Inc. (Nasdaq: PLCE), today announced sales of $52.7 million for the four-week period ended May 5, 2001, an 18% increase over sales of $44.7 million reported for April 2000. Comparable store sales for the four-week period increased 10% versus a 9% increase over the four-week period ended May 6, 2000.

Total sales for the first quarter ended May 5, 2001 increased 23% to $160.4 million from $130.2 million reported in the year ago period. Comparable store sales for the first quarter decreased 2% versus a 5% increase for the thirteen-week period ended May 6, 2000. In the first quarter, the Company opened 37 new stores, bringing the total store count to 437.

"Sales results for the month of April significantly outperformed our expectations and reflected the exceptional acceptance of our summer merchandise and our strong promotional initiatives," commented Ezra Dabah, Chairman and Chief Executive Officer. "We now project earnings per diluted share for the first quarter to be approximately $0.45, a 25% increase over last year."

In conjunction with The Children's Place April Sales Release, you are invited to listen to the Company's pre-recorded April sales call with Seth Udasin, Chief Financial Officer and Treasurer, will be available beginning at 8:00 am Eastern Time on May 10, 2001 through May 17, 2001. To access the call, please visit the following web address: http://www.childrensplace.com/Info/CompanyInfo.jsp or dial (402) 530-0412.

The Children's Place Retail Stores, Inc. is a leading specialty retailer of high quality, value-priced apparel and accessories for children, newborn to age twelve. The Company designs, contracts to manufacture and sells its products under the "The Children's Place" brand name. As of May 5, 2001, the Company operated 437 stores in 43 states. The Company also sells its merchandise through its virtual store located at childrensplace.com.

This press release and above reference call may contain certain forward-looking statements regarding future circumstances. These forward-looking statements are based upon the Company's current expectations and assumptions and are subject to various risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements including, in particular, the risks and uncertainties described in the Company's filings with the Securities and Exchange Commission. Actual results, events, and performance may differ. Readers or listeners (on the call) are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. We undertake no obligation to release publicly any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. The inclusion of any statement in this release does not constitute an admission by The Children's Place or any other person that the events or circumstances described in such statement are material.