ADVISORY/Gucci Square `G' Watch Copyright Arguments Will Be Heard Nov. 5 By 9th Circuit Court of Appeals.

--(BUSINESS WIRE)--

WHO: Yidah Watch Company goes before the U.S. Court of Appeals, Ninth
     Circuit, Nov. 5 to seek reversal of a preliminary injunction
     which ordered them to stop selling their line of Jacques Edho "E"
     watches in the matter of Gucci Timepieces America Inc. v. Yidah
     Watch Company (No. 97-56567; Case No. CV-97-6985-KMW (MANx)). The
     case is one of first impression for the Ninth Circuit in that a
     preliminary injunction was imposed on the basis of a copyright
     claim for a watch, and will be heard by Senior Judge The Hon.
     Robert Boochever, The Hon. Pamela Ann Rymer and The Hon. Stephen
     Reinhardt. Yidah Watch Company is represented by Bradford E.
     Mattes with the Los Angeles law firm of Kleinberg & Lerner LLP.

WHEN: Thursday, Nov. 5, 1998, at 9 a.m.

WHERE: U.S. Court of Appeals, 125 South Grand Avenue, Pasadena, Calif.

WHAT: A complaint was filed Sept. 22, 1997, for copyright infringement
      by Severin Montres Ltd. and Severin Montres A.G., who are the
      worldwide exclusive licensees of all watches sold under the
      Gucci brand name and who now do business as Gucci Timepieces
      America Inc. Note that Gucci America Inc. is plaintiffs'
      trademark licensor for watches and is not a party to this action.
      On Nov. 17, 1997, the District Court enjoined Yidah Watch
      Company from selling its line of Jacques Edho "E" watches on the
      basis that they infringed upon Gucci's copyright on its popular
      square "G" watch. Yidah appealed on Nov. 19, 1997; a Motion for
      Reconsideration, filed on April 20, 1998, was denied on Aug. 6,
      1998.

      Both watches feature common block letters as part of their
      design. In late 1997, the U.S. Copyright Office made an
      independent review of Gucci's "G" watch registration (No.
      VA804-758) and determined that it should not have granted
      registration because the work did not contain copyrightable
      authorship and ordered cancellation. On appeal, the Register of
      Copyrights affirmed its decision and ordered destruction of the
      certificate of registration, finding that the block letter "G"
      element did not satisfy the requirement of originality and,
      thus, was not copyrightable.

      Yidah Watch Company will argue that the District Court's
      characterizations were improper and that the preliminary
      injunction should be removed.