The Talbots, Inc. Friedman, Billings, Ramsey & Co., Inc. October 18, 2006

AGENDA • Overview of Recent Merger Acquisition of J. Jill • Benefits of the Combined Businesses • Update on Capturing Synergies • Questions and Answers

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&

Combine Forces

• Talbots is a Leading Portfolio of Brands for the Age 35+ Female Population • Fiscal 2005 Combined Revenues of $2.3B • Identical Business Models • Similar Customer First Culture • Close Proximity of Headquarters • Dominant Specialty Retailer – Stores, Catalog, Internet

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Multi-Channel Retailer 2006 • Stores - 1,369 Planned – 1,128 Talbots Brand – 241 J. Jill Brand

• Catalogs – Planned circulation of over 103M – 48 Million Talbots Brand – 55 Million J. Jill Brand

• Internet - Continued success and growth – Talbots Brand 45% of Direct Business – J. Jill Brand 53% of Direct Business 4

Benefits of Merger Acquisition • Talbots and J. Jill Share Same Customer Demographic • Accelerates Talbots Sales and Earnings Growth • Significant Cost Synergies – Approximately $36M of Annually Recurring Synergies

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Synergies Approximately $36M in 2007 • Sourcing – Renegotiate costs with vendors for freight, and agent commissions

• Retail and Catalog Operations – Tightening of 4-Wall expense, payroll and catalog production efficiencies

• Distribution – Processing efficiencies, lower freight, and combined DC expansion costs/capital

• Back Office Functions – Elimination of redundancies in shared services (HR, Finance and IT); streamline expenses for one public company 6

The Talbots, Inc. Classic Since 1947 • A Leading National Specialty Apparel Retailer for Women Age 35 and Up • Talbots Brand Concepts – – – – – –

Missy Petites Woman / Woman Petites Accessories & Shoes Kids & Babies Mens

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The J. Jill Group Founded as DM Management in 1987 • 1993 DMMC listed on NASDAQ: Nicole Summers, The Very Thing! And J. Jill Catalogs • Became J. Jill in 1999 – Two Retail Stores and Launched jjill.com

• A National Specialty Apparel Retailer of Artistically Inspired Line of Apparel, Shoes and Accessories for Women Age 35 and Up • J. Jill Brand Concepts – Missy, Petites, Woman, A&S

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Brand Distinction - Talbots • Target Age: • Income: • Target Market:

• What she likes:

35 – 55 Middle-to-Upper Married With Children in the Home A College Graduate, Employed Modern classic styles

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Brand Distinction – J. Jill • Target Age: • Income: • Target Market:

• What she likes:

35 – 55 Middle-to-Upper Married With Children in the Home A College Graduate, Employed Relaxed, feminine styles and unique artistic details

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Talbots Brand Merchandise

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J. Jill Brand Merchandise

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FY2006 Store Expansion Plan 788

750

Misses 557 TLB, 231 J.Jill

231

600 450 300

557

297

Outlet 23 TLB, 10 J.Jill

130

150

68

39

12

2

33

0 Misses

Petites

Woman

Talbots = 1,128

Kids

A&S

J.Jill = 241

Mens

Collection

Outlet

Total Stores = 1,369 13

Talbots – Hingham, Mass

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J. Jill - Fashion Mall, Indiana

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Customer Loyalty Program Talbots Brand – “Classic Awards” Program – $25 Award on $500 Purchased, Plus Other Incentives – Talbots Charge Sales at 45% of 2005 Total Sales, Versus 28% in Fiscal 2000, Just Prior to National Rollout – $40M Finance Charge Revenue in 2005

J. Jill Brand – “Take 5” Program – 5% off Every Purchase with Use of the J.Jill Card – Total New Accounts to Reach 1 Million by End of 2006, Initial Rollout in August 2001 – “Take 5” represented 34% of 2005 Total Sales

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Financials

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Net Sales ($ Millions) $2,500

$2,256* $2,000

$1,595

$1,698

$1,809

$1,500

$1,000

$450

$500

$-

2003 TLB

2004 TLB

2005 TLB

2005 JILL

2005 ProForma

* Includes Pro Forma Adjustments 18

Historical Comp Performance 20% 15% 10% 5%

-3.8%

1.7%

2.6% -1.2%

0% -5% -10% 2003 TLB

2004 TLB

2005 TLB

2005 JILL 19

Operating Income % of Sales 15% 13% 11%

10.4% 8.4%

9%

8.4%

7% 5% 3%

0.0%

1% 2003 TLB

2004 TLB

2005 TLB

2005 JILL 20

Earnings Per Share $2.00 $1.80

$1.78 $1.70

$1.72

$1.60 $1.40

$1.56 $1.29 $1.20 $1.00 2003 TLB

2004 TLB

2005 TLB

2005 ProForma 21

FY05 Sales & Earnings As Reported Talbots J. Jill

Total Sales $1,809 Retail Sales 1,544 Comp Store Sales 2.6% Direct Marketing Sales 265 Net Income $93 EPS $ 1.72

$ 450 290 -1.2% 160 $0

Pro Forma Talbots & J.Jill Combined

$2,256

$70 $ 1.29

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Spring 06 Sales & Earnings 2006 Talbots & J.Jill Combined*

Total Sales Talbots Retail Sales J. Jill Retail Sales Total Comp Store Sales Direct Marketing Sales Net Income EPS

$1,024 789 73 1.1% 163 $24 $0.44*

2005 As Reported Talbots Brand

$ 896 767 5.5% 129 $53 $0.98

*The Spring totals include J. Jill brand results for the period beginning May 3, 2006. EPS includes $0.23 of acquisition and options expense 23

Q3 2006 Outlook Comps Positive Low Single Digits EPS GAAP $0.12 - $0.15 Acquisition Related Expense $0.14 Options Expense $0.03 EPS (Excluding Above Expenses) $0.29 - $0.32

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Forward Looking Language The foregoing contains forward-looking information within the meaning of The Private Securities Litigation Reform Act of 1995. These statements may be identified by such forward-looking terminology as “expect,” “look,” “believe,” “anticipate,” “outlook,” “will,” “would,” “would yield,” or similar statements or variations of such terms. All of the “outlook” information (including future revenues, future comparable sales, future earnings, future EPS, and other future financial performance or operating measures) constitutes forward-looking information. Our outlook and other forward-looking statements are based on a series of expectations, assumptions, estimates and projections about our Company which involve risks and uncertainty, including assumptions and projections concerning integration costs, purchase-related accounting adjustments, acquisition synergies, store traffic, levels of store sales including regular-price selling and markdown selling, and customer preferences. All of our outlook information and other forward-looking statements are as of the date of this release only. The Company can give no assurance that such outlook or expectations will prove to be correct and does not undertake to update or revise any “outlook” information or any other forward-looking statements to reflect actual results, changes in assumptions, estimates or projections, or other circumstances occurring after the date of this release, even if such results, changes or circumstances make it clear that any projected results will not be realized. Our forward-looking statements involve substantial known and unknown risks and uncertainties as to future events which may or may not occur, including the risk that the J. Jill business will not be successfully integrated, the risk that the cost savings and other synergies from the transaction may not be fully realized or may take longer to realize than expected, the risk that the acquisition will disrupt Talbots or J. Jill’s core business, transaction and integration costs, the reaction of Talbots and J. Jill customers and suppliers to the transaction, diversion of management time on merger-related issues, effectiveness of the Company’s brand awareness and marketing programs, any different or any increased negative trends in its regular-price or markdown selling, effectiveness of its Internet site, acceptance of the Company’s fashions including the Company’s 2006 spring and summer fashions, the Company’s ability to anticipate and successfully respond to changing customer tastes and preferences and to produce the appropriate balance of merchandise offerings, the Company’s ability to sell its merchandise at regular prices as well as its ability to successfully execute its major sale events including the timing and levels of markdowns and appropriate balance of available markdown inventory, any difference between estimated and actual stock option expense and retail economic conditions including consumer spending, In each case, actual results may differ materially from such forwardlooking information. Certain other factors that may cause actual results to differ from such forward-looking statements are included in the Company’s Form 10-K (under “Risk Factors”) and in other periodic reports filed with the Securities and Exchange Commission and available on the Talbots website under “Investor Relations” and you are urged to carefully consider all such factors.

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