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Tefron Ltd.
NYSE/TFR
28 Chida Street
Bnei-Brak, Israel 51371
Phone 972-3-579-8701
Fax 972-3-579-8715
Tefron Ltd. to Explore Strategic Alternatives
BNEI-BRAK, Israel, June 21 /PRNewswire/ --Tefron Ltd. (NYSE: TFR), one
of the world's leading producers of seamless intimate apparel, today
announced that, as a result of the receipt by its principal shareholders of
indications of interest to explore possibilities of acquiring their shares
in Tefron, Tefron's Board of Directors has retained the investment banking
firm of Credit Suisse First Boston to assist the Company in exploring
strategic alternatives.
Sigi Rabinowicz, chief executive officer of Tefron, said, "The Board
intends to evaluate its alternatives to maximize value for all of its
shareholders. The Company is well positioned to capitalize on its excellent
client relationships and technological innovations to further its position
in its industry. We are willing to explore all options which will help us
to achieve our goals and benefit all of our shareholders.
Mr. Rabinowicz continued by stating that, at this time, it was the
preference of the Board to explore possibilities of a transaction for all
shareholders rather than pursue the interest in the shares of the principal
shareholders. He noted that there could be no assurance that any
transaction would occur at all or, if one were to occur, as to the type or
price of any such transaction.
Mr. Rabinowicz added, "As part of Tefron's continuing product
development efforts, we are pleased to announce that we have applied our
proprietary HiTex technology to develop a new revolutionary concept in
bras. This new seamless bra is already receiving strong demand indications
from a number of key customers and we expect to begin delivery to customers
by early 2001. Tefron has applied for a patent for this product."
Mr. Rabinowicz further added, "Arie Wolfson, chairman and president of
Tefron, has notified the board that when his contract with Tefron ends
August 31, 2000, he would like to devote more of his time to his role as
chairman and chief executive officer of Macpell Industries Ltd., Tefron's
principal shareholder. As a result, we intend to begin a process of finding
a replacement."
Tefron manufactures boutique-quality everyday seamless intimate apparel
sold throughout the world by such name-brand marketers as Victoria's
Secret, Gap, Banana Republic, DIM, Cacharel, Schiesser, B.H.S., DKNY,
Target and Nike, as well as three other well-known American designer
labels. The company's product line includes knitted briefs, tank tops,
loungewear, nightwear, bras, T-shirts and bodysuits, primarily for women.
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To receive Tefron Ltd.'s latest news releases and other corporate
announcements via fax, at no cost, dial 1-800-PRO-INFO; use the company's
symbol (TFR), or visit The Financial Relations Board web site at
http://www.frbinc.com .
This press release contains certain forward-looking statements with
respect to the Company's business, financial condition and results of
operations. These forward looking statements are subject to risks and
uncertainties that could cause actual results to differ materially from
those contemplated in such forward-looking statements, including, but not
limited to, fluctuations in product demand, economic conditions as well as
certain other risks detailed from time to time in the Company's filings
with the Securities and Exchange Commission. The Company undertakes no
obligation to publicly release any revisions to these forward-looking
statements to reflect events or circumstances after the date hereof or to
reflect the occurrence of unanticipated.
SOURCE Tefron Ltd.
Web site: http://www.frbinc.com
CONTACT: Mr. Sigi Rabinowicz, CEO of Tefron Ltd., 972-3-579-8701,
or fax, 972-3-579-8715; General Info, Marilynn Meek, Analysts,
Vanessa Schwartz, or Media, Judith Sylk-Siegel, 212-661-8030, of
The Financial Relations Board
