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NEEDHAM, Mass.--(BUSINESS WIRE)--March 6, 2002

Designs, Inc. (NASDAQ/NMS: "DESI"), retail brand operator of Levi's(R) Outlet by Designs, Dockers(R) Outlet by Designs, Candie's(R) and Ecko Unltd. outlet stores, announced that it plans to open a total of 15-20 new stores during this fiscal year, 15 of these new stores are scheduled to open in time for the important 2002 back-to-school selling season. Currently, the Company operates 102 retail outlet stores.

Designs plans to open 10 new Candie's junior footwear and apparel outlet stores by mid-year 2002. Four of these stores will be built utilizing space in existing Designs' Levis/Dockers stores located in outlet centers in New York, New England and Puerto Rico. The remaining six Candie's stores to be opened will include four in California, one in Las Vegas and one in Miami.

David A. Levin, President and Chief Executive Officer of Designs, Inc., commented," Several of our existing highest volume stores currently average 13,000 to 15,000 square feet, when in fact our new prototype store is about 9,000 square feet. This smaller prototype provides us with an organic growth opportunity, which will allow us to leverage our expenses while raising our Levis/Dockers profitability in these stores. Potentially, there are another 10 high volume stores that we can downsize over the next year."

Mr. Levin further stated," These 10 Candie's stores are located in the top performing outlet centers throughout the U.S. The developers of these centers are excited about adding this strong brand name to their roster of tenants."

In addition, Designs plans to open its first Ecko outlet stores by the 2002 back-to-school season. The Company has identified Ecko's young mens and junior brand as an undeveloped niche and represents an opportunity in the outlet marketplace and we look forward to introducing this fresh concept. Ecko is a leading design-driven lifestyle brand targeting young men and women. Ecko is one of the few truly cross-over youth brands appealing to a broad consumer base that identify with fashion ranging from hip-hop to extreme sports to street-wear to fraternity life. The Ecko brand is also licensed to manufacturers to produce and distribute footwear, outerwear, leather goods, swimwear, gloves, bags, watches, eyewear and other accessories.

Mr. Levin concluded, "We are executing our strategy of being the expert operators of retail outlets for branded manufacturers and we continue to look at additional opportunities. Since the recent announcements of our license arrangement with Candies and joint venture agreement with Ecko, we have seen tremendous interest from manufacturers to have our company operate in outlet locations. Designs' joint venture operational model to be a branded retailer for established brands is being embraced by manufacturers as a logical solution for the outlet channel of distribution."

Designs, Inc. operates 102 Levi's(R) Outlet by Designs, Dockers(R) Outlet by Designs and Candie's(R) Outlet stores located in outlet centers throughout the eastern United States and Puerto Rico. Designs has been operating Levi's branded retail stores for over 25 years agreement with Levi Strauss & Co. and views the opening and operating of branded retail stores in outlet malls as its core competency. The Company is headquartered in Needham, Massachusetts and its common stock is listed on the Nasdaq National Market under the symbol "DESI". Investor Relations information is available on the Company's web site at www.designsinc.com

The discussion of forward-looking information requires management of Designs, Inc. to make certain estimates and assumptions regarding the Designs, Inc. strategic direction and the effect of such plans on Designs, Inc. financial results. Designs, Inc. actual results and the implementation of its plans and operations may differ materially from forward-looking statements made by Designs, Inc. Designs, Inc. encourages readers of forward-looking information concerning Designs, Inc. to refer to its prior filings with the Securities and Exchange Commission that set forth certain risks and uncertainties that may have an impact on future results and direction of Designs, Inc. Designs, Inc. does not report on its progress during a quarter until after the quarter has been completed and disclosed its results.