CHICAGO, July 21, 2005 - Duff & Phelps, LLC, a leading investment banking and financial advisory firm, is pleased to announce that it served as independent financial advisor and rendered a fairness opinion to the board of directors of Toys "R" Us Inc. (NYSE) in connection with the sale of the company to an investment group consisting of affiliates of Bain Capital Partners LLC, Kohlberg Kravis Roberts & Co. (KKR) and Vornado Realty Trust (NYSE: VNO) in a $6.6 billion transaction.

In addition to receiving a fairness opinion from the investment banker responsible for arranging the transaction, the Toys "R" Us board of directors, in its desire to conduct a thorough process as it explored strategic options, retained Duff & Phelps as financial advisor to independently evaluate the fairness of the transaction to the company's common shareholders. Given the heightened regulatory scrutiny in today's corporate environment and the potential for conflicts of interest, prudent boards of directors are increasingly opting to obtain second, independent fairness opinions in merger and acquisition and going private transactions.

Toys "R" Us is one of the leading specialty toy retailers in the world. Currently it sells merchandise through more than 1,500 stores, including 677 toy stores in the United States and 620 international toy stores, as well as through various Internet sites. Babies "R" Us is the largest baby product specialty store chain in the world and a leader in the juvenile industry, and sells merchandise through 220 stores in the United States, as well as on the Internet. More information on Toys "R" Us can be found at www.toysrusinc.com.

Duff & Phelps is a national investment banking and financial advisory firm focused on providing merger and acquisition, private placement, valuation, financial opinion and restructuring services to middle-market companies. Since 1932, Duff & Phelps has been committed to delivering independent advice and service of exceptional quality to a broad range of public and private companies. Duff & Phelps has offices in Chicago, New York, Los Angeles, Seattle, Atlanta and San Francisco. More information on Duff & Phelps can be found at www.duffllc.com.