CloseOutNow.com Extends Global Reach With Historic Middle East Contract; Chief Executive Signs Joint Venture Agreement to Open Middle East Markets.

Business Editors

NEW YORK--(BSUINESS WIRE)--Oct. 31, 2000

CloseOutNow.com(TM), a privately held B2B on-line auction exchange for excess inventories of branded and non-branded fashion merchandise has finalized a landmark agreement to open the middle east market from Saudi Arabia's capital Jeddah. Saudi Arabia will serve as the launch point from which the business will be taken to major cities throughout the region. Steven Lubinski, Chairman and Chief Executive Officer of CloseOutNow.com, signed the joint venture agreement with Sheik Hassan Turky Al-Arishi, owner of the Arabian Establishment R. C. Company, on October 20. The historic meeting took place in the offices of CloseOutNow.com in Florence, Italy.

Dr. Richard Zaza, a businessman with 35 years experience in the middle east, has been appointed to serve as General Manager of CloseOutNow.com - Middle East. He will begin the task immediately of establishing the office in Jeddah and hiring the employees who will interface with their multi-faceted trading company partner. Overseeing the Saudi Arabian and Middle East operations as Executive General Manager will be Franco Gori, CloseOutNow.com's General Manager in Florence, Italy. Following the organization of the office in early November, the company will observe the Muslim religious celebration of Ramadan before resuming operation in January 2001.

With the establishment of the Jeddah office, CloseOutNow.com will become the first B2B on-line auction exchange for excess inventories in fashion merchandise to have a presence in the Middle East. The company will primarily provide apparel for women, children, and the teenage market, as well as fashion accessories and footwear.

"This joint venture agreement represents a major step forward for CloseOutNow.com in establishing itself as the premier global fashion merchandise exchange," said Steven Lubinski. "Through CloseOutNow.com - Middle East many designers will have the opportunity to enter this exciting market while maintaining brand equity, and protecting their current channels of distribution."

"We view CloseOutNow.com as the ideal partner to introduce to the Middle Eastern marketplace," said Sheik Al-Arishi. "We have watched with interest the development of this company, and have been impressed with its leadership and aggressive growth on a global basis. They have the right organization in place and have an in-depth knowledge of the fashion industry that will serve us well."

About CloseOutNow.com(TM)

CloseOutNow.com is a privately held, B2B on-line auction exchange for excess inventories of branded and non-branded fashion merchandise. Based in Manhattan's Fashion District, CloseOutNow.com offers a global solution for manufacturers, wholesalers and retailers, both in its scope of services and its geographic reach. The company is the brainchild of fashion field notables Steven R. Lubinski, Chairman and CEO, and R. Fulton Macdonald, Vice Chairman and Chief e-Commerce Officer, who together bring over 70 years of fashion and retail industry experience to the venture. In addition to facilitating a global marketplace, the full-service auction provides financing and logistical support, if necessary, to its customers.