PICKERINGTON, Ohio, June 19 /PRNewswire-FirstCall/ -- R.G. Barry Corporation (AMEX:DFZ) today announced it has entered into an agreement with BasicNet S.p.A. of Turin, Italy, through BasicNet's U.S. affiliate, Basic Properties America, Inc., to become the exclusive licensee in the United States and, beginning in July 2008, in Canada for the Superga(R) brand of canvas/active fashion footwear.
Superga(R) is a leading European lux brand in the canvas/active fashion footwear category. It currently enjoys an exclusive and limited North American exposure in premier department stores and footwear boutiques.
"The acquisition of the Superga license is a natural continuation of our long-term growth strategy," said Greg Tunney, Chief Executive Officer and President of R.G. Barry Corporation. "The canvas/active fashion footwear category is growing, and the depth of resources available to us through our collaboration with Superga will allow us to quickly enter this important segment with an internationally-known brand. Although the Superga name is relatively unknown in North America, in the minds of many Western European consumers it is on par with other leading international luxury footwear and accessory brands.
"Another benefit for us is the seasonal nature of the canvas/active fashion footwear business. With peak sales in this category occurring in the spring and summer seasons, we believe that Superga products will be a good counter-balance to the seasonality of our current core business," Mr. Tunney said.
"We plan to continue to build upon Superga's existing relationships with premier department stores and footwear boutiques in North America," added Thomas JZ Konecki, R.G. Barry Corporation Senior Vice President Sales, Licensing and Business Development. "We think that the Superga brand has the ability to provide us with additional growth in what for us is an entirely new and very exciting area of the accessory footwear business." "After an initial conservative introduction in the American market, we have now reached an important agreement with a primary group having a relevant structure both from a sales and a customer service perspective," said Franco Spalla, President of Basic Properties America Inc. "Considering the importance of the North American market, we are sure R.G. Barry Corporation is the right partner for us. They offer the financial resources and experience for both the sales development and intensive marketing activities necessary to correctly build up the Superga(R) brand in America." About Superga(R) The Superga(R) footwear brand was founded in Italy in 1911. The company's original specialty was rubber-soled footwear bearing the brand's unique logo. As its business grew, Superga(R) added vulcanized constructions and a variety of styles that spanned a broad spectrum of the marketplace from fashion to traditional classic. The brand is widely known in Europe as the "People's Shoes of Italy." BasicNet S.p.A. has been the licensee of the Superga(R) name since 2004, and it recently executed an agreement to purchase the Superga(R) trademark.
About BasicNet S.p.A.
Headquartered in Turin, Italy, BasicNet S.p.A. is a licensing and marketing company that operates in the sport and leisure apparel, footwear and accessories sectors in approximately 110 world markets. In addition to Superga(R), BasicNet's brands include Kappa(R), Robe di Kappa(R), K-Way(R) and Jesus Jeans(R). BasicNet S.p.A. is listed on the Italian Stock Exchange.
About R.G. Barry Corporation R.G. Barry Corporation, the Dearfoams(R) company, is one of the world's leading developers and marketers of accessory footwear. The company is celebrating its 60th year in business this year. To learn more about the Dearfoams(R) company and its products, visit us at http://www.rgbarry.com/ or http://www.dearfoams.com/.
Forward-Looking Statements The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. Certain statements in this news release, which are not historical fact, are forward-looking statements, and are based upon information available to the Company on the date of this release. Our forward-looking statements inherently involve risks and uncertainties that could cause actual results and outcomes to differ materially from those currently anticipated. Factors that could cause or contribute to our actual results differing materially from those currently anticipated include the Company's ability to launch, source and market the Superga(R) brand of canvas/active fashion footwear as planned; acceptance in the marketplace of the Company's licensed Superga(R) products; and a variety of other risks to our business previously detailed in press releases, shareholder communications and Securities Exchange Act of 1934 filings, including those in the disclosure in "Item 1A - Risk Factors" of Part II of our most recent Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2007; and Part I of our 2006 Transition Report on Form 10-K for the fiscal year ended July 1, 2006. Except as required by applicable law, we do not undertake to update the forward-looking statements contained in this news release to reflect new information that becomes available after the date hereof. DATASOURCE: R.G. Barry Corporation CONTACT: Roy Youst - Director Corporate Communications and IR, R.G. Barry Corporation, +1-614-729-7275 Web site: http://www.rgbarry.com/
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