Sharper Image and ARG Sign Licensing Agreement for Kitchen Utensils

Date : 03/14/2008 @ 8:14PM
Source : Business Wire
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Sharper Image and ARG Sign Licensing Agreement for Kitchen Utensils

Sharper Image Corporation (Pink Sheets:SHRPQ) today announced that it has signed a multiyear licensing agreement with ARG Manufacturing, Inc. (“ARG”), a market leader with more than 30 years experience making high quality kitchen utensils, kitchen tools, bakeware and barbecue tools. This agreement is the twelfth licensing agreement signed by Sharper Image’s Brand Licensing Division. The Division was established in February 2007 to enable leading manufacturers to license The Sharper Image brand across a broad range of product categories.

Under this agreement, ARG will offer high quality, Sharper Image brand food preparation tools such as spatulas, spoons, ladles, whisks, slicers, and peelers, as well as other kitchen gadgets such as salad spinners, pizza cutters, ice cream scoops, and mandolin slicers. The license will also include bakeware and barbecue tools and tool sets for sale in kitchen departments. These products will be designed specifically to meet the quality, excitement and innovation attributes that are associated with The Sharper Image brand. The first products will be available in the fall of 2008.

John W. Spotts, Senior Vice-President, Brand Licensing for Sharper Image, said, “We are very pleased to have ARG as a new licensee. This new license marks an expanded presence in kitchen products for The Sharper Image. Unique kitchen products with innovative features are an important category for the brand and these high quality tools and bakeware will enhance our customers’ kitchen experience.” Joseph Van Houten, President of ARG, added, “We believe The Sharper Image brand is an excellent fit with our innovative designs and high quality manufacturing process. We view this as a long-term opportunity to build The Sharper Image brand into an important player in the kitchen products category.” About Sharper Image The Sharper Image is a specialty retailer that is nationally and internationally renowned as a leading source of new, innovative, high-quality products that make life better and more enjoyable. The Company’s principal selling channels include Sharper Image specialty stores throughout the United States; the award-winning Sharper Image monthly catalog; and its primary Website, www.sharperimage.com. The Company also has business-to-business sales teams for marketing its exclusive and proprietary products for corporate incentive and reward programs and wholesale to selected U.S. and international retailers.

About ARG Manufacturing, Inc.

ARG Manufacturing is an international “factory direct” solution for Kitchen Tools & Gadgets, Silicone & Non-Stick Bakeware, Cleaning Products and other non-electric items for the home. In house design and production teams allow ARG to streamline product development and provide a supply chain model with improved efficiencies in Asia and North America. Our mission is to be the Creative, Manufacturing and Supply Chain source for Retail Channels through Private Label Manufacturing and utilizing ARG & Licensed brands under our management. More information on ARG Manufacturing can be found at www.argmfg.com.

Forward-Looking Statements This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on the Company's current plans, expectations, estimates, and projections about the specialty retail industry and management's beliefs about the Company's future performance. Words such as "anticipates," "expects," "intends," "plans," "believes," "seeks," "estimates" or variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and are subject to risks and uncertainties that are difficult to predict and which may cause the Company's actual results and performance to differ materially from those expressed or forecasted in any such forward-looking statements. Some of these risks and uncertainties are discussed in the Company's Annual Report on Form 10-K for the year ended January 31, 2007 under "Risk Factors". These risks include, among other factors, the success of its new business strategy, its ability to continue to find or develop and to offer attractive merchandise to customers, the market potential for products in design, the success of its advertising efforts, changes in business and economic conditions, risks associated with its retail store, catalog and Internet operations, and changes in the competitive environment in which it operates. Other risks that the Company faces include, but are not limited to, the following: (i) the ability of the Company to continue as a going concern; (ii) the Company's ability to obtain court approval with respect to motions in the Chapter 11 proceeding prosecuted by it from time to time; (iii) the ability of the Company to develop, prosecute, confirm and consummate one or more plans of reorganization with respect to the Chapter 11 case; (iv) risks associated with third parties seeking and obtaining court approval to terminate or shorten the exclusivity period for the Company to propose and confirm one or more plans of reorganization, for the appointment of a Chapter 11 trustee or to convert the case to a Chapter 7 case; (v) the ability of the Company to obtain and maintain normal terms with vendors and service providers; (vi) the Company's ability to maintain contracts and leases that are critical to its operations; and (vii) the potential adverse impact of the Chapter 11 case on the Company's liquidity or results of operations. Unless required by law, the Company undertakes no obligation to update publicly any forward-looking statements. However, readers should carefully review the statements set forth in the reports, which the Company files from time to time with the Securities and Exchange Commission, particularly its Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q and its Current Reports on Form 8-K.

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