FOR IMMEDIATE RELEASE
For Information, Contact:
Seymour Holtzman, Chairman of the Board
Jeff Unger, Investor Relations
Designs, Inc.
(781) 444-7222
RJ Falkner & Company, Inc.
Investor Relations Counsel
(800) 377-9893
[email protected]
DESIGNS, INC. ANNOUNCES RESULTS OF DUTCH AUCTION TENDER OFFER
(NEEDHAM, MA, December 28, 2000) -- Designs, Inc. (NASDAQ/NMS: "DESI"), operator
of Levi's(R) and Dockers(R) Outlet By Designs stores, today announced the
results of its "Dutch Auction" tender offer, which expired at 5:00pm EST on
December 22, 2000. The "Dutch Auction" tender offer commenced on November 15,
2000, as supplemented on December 18, 2000 and was for up to 1.5 million shares
of the Company's Common Stock, while reserving the option to purchase up to an
additional 1 million shares, at a price between $2.50 and $3.00 per share.
Based on the final count by the depositary for the tender offer, 1,758,019
shares of common stock were properly tendered at $2.50 per share, and not
withdrawn. This is in excess of the 1,500,000 shares the Company had offered to
purchase. As permitted by applicable SEC regulations, as set forth in the offer
to purchase, the Company has determined to purchase an additional 258,019 shares
in the offer. Accordingly, the Company will purchase all of the 1,758,019 shares
which were tendered at $2.50 per share. The remainder of the total of
approximately 3,652,784 shares tendered will not be purchased.
The settlement date for these tendered shares is Thursday, December 28, 2000.
Designs will promptly pay after final confirmation for those shares validly
tendered, accepted and properly delivered promptly.
Designs Inc. currently has approximately 15.8 million shares issued and
outstanding. The Company expects to have approximately 14.1 million shares
outstanding immediately following payment for the tendered shares. D.F. King
and Co., Inc. acted as Information Agent in the tender offer.
The discussion of forward-looking information requires management of the Company
to make certain estimates and assumptions regarding the Company's strategic
direction and the effect of such plans on the Company's financial results. The
Company's actual results and the implementation of its plans and operations may
differ materially from forward-looking statements made by the Company. The
Company encourages readers of forwarding-looking information concerning the
Company 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 the Company.
Designs, Inc. operates 105 Levi's(R)Outlet by Designs and Dockers(R)Outlet by
Designs stores. These stores are located in outlet parks and malls throughout
the eastern United States and Puerto Rico.
