Cherokee Signs Agreement with Essence Communications to Represent Essence Magazine for Licensing Agreements.

VAN NUYS, Calif. -- Cherokee Inc. (NASDAQ:CHKE) announced today that it signed an exclusive agreement with Essence Communications to represent ESSENCE magazine. Under the terms of the agreement, Cherokee will engineer strategic direct retail licensing opportunities for the preeminent lifestyle publication.

With more than seven million readers, ESSENCE has been redefining the worldview of African-American women and the community at large for nearly 35 years. The magazine focuses on every aspect of an African-American woman's life including relationships, finance, careers as well as her inner and outer beauty. ESSENCE showcases and chronicles the social and economic development of African-Americans.

The distinction of ESSENCE combined with Cherokee's success in seamless brand extensions provides the ability for a retailer to create a range of exciting products uniquely designed for African-Americans. Blending the retailers desire to reach this important market and the unparalleled bond that ESSENCE maintains in the African-American community will offer consumers the quality products they desire.

"We are pleased to partner with Cherokee, who has a proven track record of success in placing top brands with major retailers," said Michelle Ebanks President, of Essence Communications. "We are excited to explore the many branding opportunities available."

Anthony Damiani, VP of Brand Development, Cherokee Inc. said, "as this demographic continues to grow and spend, there is a definite need in the retail marketplace for an authoritative, aspirational African-American brand and Essence is that voice of authority."

About Essence Communications

Essence Communications publishes ESSENCE, the preeminent lifestyle magazine that reaches more than seven million African-Americans each month as well as Suede, the fashion and beauty magazine inspired by the young, multicultural, urban fashionista. For more than 34 years, the company has provided cutting edge reporting and service on every aspect of the lives of African-Americans. Essence Communications also produces the Essence Music Festival; The Essence Awards; Essence Books and has brand licensing agreements for Essence Eyewear and Hosiery.

About Cherokee Inc.

Cherokee Inc., based in Van Nuys, California, a marketer, licensor and manager of a variety of brands it owns 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. Some of Cherokee's premiere clients around the world include Target Stores, May Department Stores, Sears Roebuck and Company, Mervyn's, TJX Companies, Hearst Publications and Solera Capital (U.S.), Zellers (Canada), Carrefour (selected countries in Europe and South America), Tesco (U.K., Ireland and selected other European and Asian countries), Grupo Aviara (Mexico) and Shanghai Bolderway (China).

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 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 of competition in the industry in which the Company operates, and adverse changes in licensee or consumer acceptance of products bearing the Company's brands as a result of fashion trends or otherwise. A further list and description of these risk, uncertainties and other matters can be found ion the Company's Annual Report on Form 10-K for Fiscal year 2003, 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.