Candie's, Inc. Announces Ann Iverson Joins Board.

Business Editors

VALHALLA, N.Y.--(BUSINESS WIRE)--March 19, 2001

Candie's, Inc. (Nasdaq NMS:CAND) ("The Company") today announced that Ann Iverson has joined its Board of Directors.

Ms. Iverson brings to Candie's over 40 years of broad-based experience in the retail and fashion industry, including 10 years in the international market. She has earned a reputation for her innovative and successful work in assisting corporations to promote strategic development, reposition brands and fuel growth. She is Chairman of Portico, Inc. and President/CEO of International Link, Inc. Prior to this, Ms. Iverson was Group Chief Executive of Laura Ashley and she also served as President/CEO of Kay-Bee Toy Stores and President/CEO of Mothercare based in the United Kingdom. She has also held senior management positions with Bloomingdales, Bonwit Teller and divisions of Dayton Hudson. In addition to the International Link clients, private boards and her position as Chairman of Portico, Ms. Iverson is currently a director on the Owens Corning Board. She has received a number of industry awards including the Ellis Island Medal of Honor in 1995.

In commenting on the announcements, Mr. Neil Cole, Chief Executive Officer and President of the Company stated, "After working with Ann as a consultant this past year and seeing her strategic approach to fueling growth and getting results, I am thrilled to welcome her as a Board member. Her knowledge, talents and expertise have made her a leader in the fashion and retail industries and we believe her input will continue to add immeasurable value to Candie's and its shareholders."

Ms. Iverson added, "The opportunity to make a continued contribution to Candie's is very exciting. I believe that the Candie's brand has enormous growth potential and I look forward to helping Candie's achieve its goals."

In addition to joining the Board, Ms. Iverson will continue to work with Candie's pursuant to a consulting arrangement with her company, International Link, Inc.

Candie's is a leading designer and marketer of young women's footwear, apparel and accessories. The Company distributes its products through better department and specialty stores nationwide, as well as through ten company-owned stores and specialty stores internationally. Candie's also owns and markets footwear, accessories and apparel under the Bongo trademark. Candie's also arranges for the manufacture of footwear products for mass market and discount retailers under the private label brand of the retailer or other trademarks owned or licensed by Candie's. Additionally, the Candie's brand is licensed for the manufacture, sale and distribution of fragrances and cosmetics, handbags, sunglasses, watches and apparel. Candie's Inc. operates www.candies.com, a leading community for teens on the web. For investor information please visit the corporate web site at www.candiesinc.com.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995.

The statements which are not historical facts contained in this press release are forward looking statements that involve a number of known and unknown risks, uncertainties and other factors all of which are difficult or impossible to predict and many of which are beyond the control of the Company, which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. Such factors include, but are not limited to, uncertainty regarding continued market acceptance of current products and the ability to successfully and market new products particularly in light of rapidly changing fashion trends, the impact of supply and manufacturing constraints or difficulties relating to the Company's dependence on foreign manufacturers, uncertainties relating to customer plans and commitments, competition, uncertainties relating to economic conditions in the markets in which the Company operates, the ability to hire and retain key personnel, the ability to obtain capital, the risks of regulatory proceedings and litigation, the risks of trademark protection, the uncertainty of marketing and licensing acquired trademarks, other risks detailed in the Company's Securities and Exchange Commission filings, and uncertainty associated with the impact on the Company in relation to recent events discussed in the Company's Form 10-K for Fiscal 2000. The words "believe", "expect", "anticipate", "seek" and similar expressions identify forward-looking statements. Readers are cautioned not to place undue reliance on these forward looking statements, which speak only as of the date the statement was made.