July 8, 2008
Cherokee Signs Agreement to Represent Refresh By Dr. Susan Evans
Cherokee Inc. (NASDAQ: CHKE), a leading global licensor and brand management company, announced today that it has signed an exclusive representation agreement with skin care specialist and director of Dermatology at Cosmetic Physicians of Beverly Hills, Dr. Susan Evans, and her uniquely designed skin care line, Refresh Skin Care.
Dr. Susan Evans, a Beverly Hills Skin Care professional, has tailored her expertise towards treating many celebrity clients as well as patients from all over the United States with difficult pigmentation problems, mature acne, and post surgical scarring. She is recognized as the skin care doctor to the stars and has been featured in television programs and national magazines such as OK!, People Magazine, Health Magazine, Harpers Bazaar, Star and on FOX, KTLA, and CBS. Dr. Evans has most recently been featured on E! Channel's hit medical show "Dr. 90210" sharing her medical proficiency with the world and influencing the lives around her on network television. Her skin care line, Refresh Skin Care, is regarded as one of the most effective and efficient skin care systems on the market."We look forward to our new partnership with the highly regarded and respected Beverly Hills dermatologist, Dr Susan Evans. Her successful and proven skin care product Refresh Skin Care and strong celebrity following creates a very exciting platform for growth. We look forward to presenting this terrific opportunity to select retailers in this market," said Michael Zerah, Business Development Manager of Cherokee Inc.
Dr. Susan Evans stated, "We are very excited at the opportunity to work with Cherokee given their recent success both domestically and internationally. Refresh Skin Care will be a refreshing complement to the high standards that Cherokee delivers to the retail market. We now have the unique opportunity to further reach out and educate clients on effective skin management with the Refresh Skin Care System."
Larry Sass, Executive Vice President of Cherokee, added, "We are pleased to have the opportunity to represent the brand Refresh Skin Care by Dr. Susan Evans. As our retail network continues to expand domestically and internationally, in addition to licensing our own brands and representing other fashion and clothing brands, we will also focus on opportunities to represent other consumer product industries besides clothing and home brands, including HBA and electronics."
About Cherokee Inc.
Cherokee Inc., based in Van Nuys, is a marketer, licensor and manager of a variety of brands it owns (Cherokee, Sideout, Carole Little and others) and represents. Currently, Cherokee has licensing agreements in a number of categories, including family apparel, fashion accessories and footwear, as well as home furnishings and recreational products. Premier clients for the Cherokee brand around the world include Target Stores (U.S.), Tesco (U.K., Ireland and certain other European and Asian countries), Zellers (Canada), Pick 'n Pay (South Africa), Fawaz Al Hokair (Middle East), Grupo Pao de Acucar (Brazil), S.A.C.I. Falabella (Chile and Peru), Arvind Mills (India), Shufersal LTD. (Israel), Comercial Mexicana (Mexico) and Grupo Eroski (Spain). Premier clients for Cherokee's Sideout brand include Mervyn's (U.S.) and Shanghai Bolderway (China), and for Cherokee's Carole Little brands include TJX Companies (U.S., Canada and Europe). Cherokee also recently placed the Norma Kamali brand with Wal-Mart.
Statements included within this news release that are not historical in nature constitute forward-looking statements for the purposes of the safe harbor provided by the Private Securities Litigation Reform Act of 1995. When used, the words "anticipates", "believes", "expects", "may", "should" and similar expressions are intended to identify such forward-looking statements. Forward-looking statements included in this press release (including, without limitation, express or implied statements regarding future dividend payments, the timing and impact of the launch of the Norma Kamali brand, revenue and net income growth) involve known and unknown risk and uncertainties that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such risks and uncertainties, include, but are not limited to, the effect of national, international and regional economic conditions, the financial condition of the apparel industry and the retail industry, the overall level of consumer spending domestically and internationally, the effect of intense competition in the industry in which the Company operates, adverse changes in licensee or consumer acceptance of products bearing the Company's brands as a result of fashion trends or otherwise, the ability and/or commitment of the Company's licensees to design, manufacture and market Cherokee and Sideout branded products, the Company's dependence on a select group of licensees for most of the Company's revenues, the Company's dependence on its key management personnel and adverse determinations of claims, liabilities or litigations. Our dividend payments during Fiscal Year 2008 have consistently exceeded our cash flow from operations, and we cannot continue to make dividend payments at recent historical levels beyond fiscal year 2009 unless cash flow from operations increases substantially. A further list and description of these risk, uncertainties and other matters can be found in the Company's Annual Report on Forms 10-K for Fiscal Year 2008, and in its periodic reports on Forms 10-Q and 8-K (if any). Undue reliance should not be placed on the forward-looking statements contained herein because some or all of them may turn out to be wrong. The Company disclaims any intent or obligation to update any of the forward-looking statements contained herein to reflect future events and developments.