Cherokee Discusses Recent Central European Progress And Marketing Initiatives.

VAN NUYS, Calif. -- Cherokee Inc. (NASDAQ:CHKE), a leading global licensor and brand management company, today announced that its Cherokee brand is experiencing rapid growth throughout the Czech Republic, Hungary, Slovakia and Poland with Tesco Stores Ltd.

Mark Nawrocki, Senior Vice President of Cherokee Inc. said, "Over the last 6 years, the Cherokee brand has experienced continued growth in over 450 Tesco Stores throughout the United Kingdom and Ireland. Subsequently, last year Tesco introduced the Cherokee brand to Central Europe. The Cherokee brand is now being sold in over 260 Tesco stores throughout Central Europe and is arguably one of the fastest growing brands in this region. We have also added China, South Korea, Thailand and Malaysia to our agreement with Tesco and look forward to working with the Tesco teams on launch strategies. Over the last 3 decades, Cherokee has aired award winning marketing campaigns around the world. We are pleased to share one of the most recent marketing campaigns from Tesco in Central Europe," Nawrocki continued.

Please click link: Play TV Spot (http://www.cherokeegroup.com/brands/Cherokee/CE/2007/TV-CE-2007.htm)

"Our 'world branding' strategies are gaining momentum. In addition to our strong growth with Tesco we expect to launch in Saudi Arabia with Fawaz Al Hokair / Geant, and in Chile and Peru with Falabella over the next 12 months as well," said Howard Siegel, President of Cherokee Inc. "We continue to develop a global network that includes some of the most prominent retailers around the world. Working with them is also establishing the foundation for future growth with Cherokee as well as other brands we own, represent or acquire in the future."

About Cherokee Inc.

Cherokee Inc., based in Van Nuys, is a marketer, licensor and manager of a variety of brands it owns (Cherokee, Sideout, Carole Little and others) and represents. Currently, Cherokee has licensing agreements in a number of categories, including family apparel, fashion accessories and footwear, as well as home furnishings and recreational products. Premier clients for the Cherokee brand around the world include Target Stores (U.S.), Tesco (U.K., Ireland and certain other European and Asian countries), Zellers (Canada), Pick 'n Pay (South Africa), Fawaz Al Hokair (Middle East), S.A.C.I. Falabella (Chile & Peru) and Comercial Mexicana (Mexico). Premier clients for Cherokee's Sideout brand include Mervyn's (U.S.) and Shanghai Bolderway (China), and for Cherokee's Carole Little brands include TJX Companies (U.S., Canada and Europe).

Statements included within this news release that are not historical in nature constitute forward-looking statements for the purposes of the safe harbor provided by the Private Securities Litigation Reform Act of 1995. When used, the words "anticipates", "believes", "expects", "may", "should" and similar expressions are intended to identify such forward-looking statements. Forward-looking statements included in this press release involve known and unknown risk and uncertainties that 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 risks and uncertainties, include, but are not limited to, the effect of national and regional economic conditions, the financial condition of the apparel industry and the retail industry, the overall level of consumer spending, the effect of intense competition in the industry in which the Company operates, adverse changes in licensee or consumer acceptance of products bearing the Company's brands as a result of fashion trends or otherwise, the ability and/or commitment of the Company's licensees to design, manufacture and market Cherokee and Sideout branded products, the Company's dependence on a single licensee for most of the Company's revenues, the Company's dependence on its key management personnel, and adverse determinations of claims, liabilities or litigations. A further list and description of these risk, uncertainties and other matters can be found in the Company's Annual Report on Forms 10-K for Fiscal Year 2007, and in its periodic reports on Forms 10-Q and 8-K (if any). Undue reliance should not be placed on the forward-looking statements contained herein because some or all of them may turn out to be wrong. The Company disclaims any intent or obligation to update any of the forward-looking statements contained herein to reflect future events and developments.