LOS ANGELES, July 10, 2003 (PRIMEZONE) -- Aussie Apparel Group Ltd. (OTCBB:AASI), an emerging growth apparel company focused on the extreme sports enthusiast, announced today that it signed a letter-of-intent with November Clothing Company to acquire the Santa Ana, CA-based company. Aussie Apparel simultaneously announced a letter-of-intent with Krash Distribution Company to acquire the November trademark in an asset purchase agreement. Initial numbers provided by November Clothing Company to Aussie Apparel show sales of $1.5 million in 2002. November Clothing Company, launched in 2000, caters to the core skateboard market with a strong fashion influence from alternative/punk music lifestyle. Outside of the United States, the November brand is also sold in Canada, England, New Zealand and Australia.
Bruce MacGregor, President and CEO of Aussie Apparel, said, "This relatively new company has created an extremely strong buzz in the core skate community. I am really excited about the potential for November given our resources as compared to November as a stand-alone company. Their management, led by James Waataja and Anthony Mandich, is first-rate and nailed this brand in terms of their alternative/punk focus! The growth possibilities for November over the next five years are significant."
Anthony Mandich, Senior Vice President of November Clothing Company, said, "The ingredients are all there in terms of expanding our product line and distribution. We feel like we've got our pulse on what the kids are into and how to market the November brand effectively. The business knowledge and capabilities of Aussie Apparel's management team will dramatically contribute to increases in sales and profits. I can honestly say that both parties are going to be better off as a by-product of joining forces. I am enthusiastic about what we can accomplish together and the resulting potential growth for the November brand."
This announcement occurs two weeks after Aussie Apparel signed a letter-of-intent to purchase the brand name Bluetorch, and one day after the company declared that they had signed a letter-of-intent to acquire TSA Brand Inc.
Both parties to the agreement anticipate a definitive agreement within four to six weeks.
About November Clothing Company
The November brand was founded and launched in 2000 by Eric Ellington and Andrew Reynolds. November quickly took the skateboard community by storm with its unique apparel heavily influenced by the alternative/punk music scene. November promotes bands and related alternative lifestyle while catering to the core skate consumer. The company also utilizes professional skateboarders including Ben Gilley, Vinnie Vegas and Garth Stehr to create exposure for November's products.
About Aussie Apparel Group Ltd.
Aussie Apparel Group is an emerging growth apparel company focused on the rapidly growing board sports apparel market, part of what Sporting Goods Intelligence believes is a $19.08 billion market (US sports apparel market - 2002). Aussie Apparel's business model is to utilize a multi-brand and multi-distribution channel approach to market its brands. Aussie Apparel is led by Bruce MacGregor, President and CEO. Mr. MacGregor has previously served in various executive positions with Avia Group Int'l, where as part of the original management team, he helped build Avia into a $200 million brand. After Avia, Mr. MacGregor presided over L.A. Gear as President and COO. Most recently, Mr. MacGregor was Chief Operating Officer at Razor USA LLC (the scooter company), where he helped grow that entity to $200 million in revenue.
For more information visit: http://www.aussieapparelgroup.com/
Safe Harbor:
This release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The risks and uncertainties that may affect the operations, performance, development and results of the Company's business include but are not limited to fluctuations in financial results, availability and customer acceptance of our products and services, the impact of competitive products, services and pricing, general market trends and conditions, and other risks detailed in the Company's SEC reports.