Kenneth Cole Productions And LVMH's Parfums Givenchy Establish Partnership for Fragrance Lines.

Business Editors

NEW YORK--(BUSINESS WIRE)--March 16, 2001

Kenneth Cole Productions, Inc. and LVMH Moet Hennessy Louis Vuitton's Perfumes and Cosmetics Group's Parfums Givenchy, Inc. announced today that they have entered into an agreement giving LVMH's American Designer Fragrance Division the exclusive worldwide license to create, distribute, and market Kenneth Cole fragrance and body products.

Drawing upon Kenneth Cole's creative strength, his established brands, and the resources of LVMH, Parfums Givenchy, Inc. will orchestrate the global development, marketing, and distribution of several Kenneth Cole fragrance lines. Plans include the launch of both men's and women's fragrance lines for all three of Cole's distinct brands; Kenneth Cole New York, Reaction Kenneth Cole and Unlisted. The first of these is expected to launch for Fall 2002. "Given the power of Kenneth Cole's vision, there is a clear opportunity to stage a major reinvention of fragrance marketing, both in execution and communication," stated Camille McDonald, President and CEO of Parfums Givenchy, Inc., who will spearhead the license.

Kenneth Cole said, "LVMH have consistently demonstrated the importance of maintaining brand integrity while globally expanding their businesses. They have assumed their leadership role by evolving various fashion and beauty related initiatives. We are excited about our partnership and the growth and worldwide opportunities that it will provide."

Patrick Choel, President of the LVMH Perfumes and Cosmetics Group, said, "We have long admired Kenneth Cole's achievements and are very excited about working with him and his team to build a fragrance business. Both our companies are known as innovators in product and marketing. We believe this partnership between Kenneth Cole and LVMH will be a powerful one."

Camille McDonald added, "Kenneth Cole is a creative and charismatic designer who has established a global lifestyle brand with the potential to launch a dynamic fragrance business. His highly respected marketing savvy, as well as his distinct identity with both cutting-edge fashion and social responsibility, will provide enormous assets and strong direction for our fragrance mission. Our intention is not just to build a fragrance brand, but rather to build a market-leading fragrance company."

The fragrance license partnership with Kenneth Cole furthers LVMH's initiative to establish a global presence for American fashion-driven fragrance brands. Over the last few years, LVMH has developed its presence in the United States fashion/beauty market, through both acquisitions and licenses. Its recently formed American Designer Fragrance Division focuses on designers who have developed a strong and distinct brand identity in terms of image, positioning, and market segmentation.

Designer Kenneth Cole founded his company, Kenneth Cole Productions Inc., in December of 1982. Today the company manufactures internationally and distributes men's and women's footwear, accessories and clothing under the Kenneth Cole New York, Reaction Kenneth Cole, and Unlisted labels. The company offers 34 product categories through licensing partnerships. Kenneth Cole also maintains and operates a consumer direct business that consists of multi-brand e-commerce, catalogue, and retail operations including 69 retail locations.

Kenneth Cole has been recognized for his design and business talents as well as for his philanthropic involvement. In 2000, he received the T. Kenyon Holly Award from the Two/Ten Foundation and along with Rosie O'Donnell and Natasha Richardson, he was honored by amfAR at their Season's of Hope Gala. Among his many other tributes, Cole has been honored by the Creative Coalition for dedication to increasing public awareness, the CFDA for Humanitarian Excellence, and Amnesty International. Cole has served as a National Board Member of amfAR, the American Foundation for AIDS Research, since 1985, and HELP U.S.A., the largest provider of housing, jobs and services for the homeless, since its inception in 1987.

Since Kenneth Cole Productions went public in June of 1994, the company has consistently been named to Forbes' annual list of the World's 200 Best Small Companies in America and Business Week's top Hot Growth Companies. Kenneth Cole Productions, Inc. is listed on the New York Stock Exchange and the symbol is KCP.

LVMH's American Designer Fragrance Division was established through Parfums Givenchy Inc. in October 1999 and includes fashion designers Michael Kors and Marc Jacobs. The Division is comprised of designers whose work is both uniquely American as well as focused on European sensibilities to detail and luxury. The first fragrance line launched by the Division--`Michael,' by Michael Kors in Fall 2000--received unprecedented strong consumer response, and has consistently ranked in the top three in its distribution. In September of 2001, the Division will launch a men's fragrance from Michael Kors, and will debut the highly anticipated fragrance line from Marc Jacobs.

Parfums Givenchy, Inc. is the North American subsidiary of Parfums Givenchy, S.A. It is the fifth largest prestige fragrance company in North America, with strong representation in department and specialty stores. Parfums Givenchy's stable of top ranking prestige French brands, include Amarige, Organza Indecence and Ysatis for women, as well as Pi for men. The company also markets and distributes Givenchy Miroir cosmetics and Givenchy Swiss Care skin care lines in North America. Parfums Givenchy, Inc. operates LVMH's American Designer Fragrance Division which will encompass fragrance collections for top fashion designers Michael Kors, Marc Jacobs and Kenneth Cole.

LVMH Moet Hennessy Louis Vuitton is the world's leading luxury products group. LVMH is present in the Perfumes and Cosmetics sector with Parfums Christian Dior, Guerlain, Givenchy and Kenzo, and has recently acquired six promising cosmetic companies, Bliss, Hard Candy, BeneFit Cosmetics, Urban Decay, Make Up For Ever and Fresh. The Group is represented in Wines and Spirits by a portfolio of brands that includes Moet & Chandon, Dom Perignon, Veuve Clicquot Ponsardin, Krug, Pommery, Chateau d'Yquem, Chandon, Hennessy and Hine. Its Fashion and Leather Goods division includes Louis Vuitton, the world's leading luxury brand, as well as Celine, Loewe, Kenzo, Givenchy, Christian Lacroix, Thomas Pink, Fendi and Pucci. In addition, LVMH recently acquired Gabrielle Studio which owns the legendary Donna Karan brand name.

LVMH is active in selective retailing through DFS, Miami Cruiseline, Sephora, Le Bon Marche and La Samaritaine. LVMH's Watch and Jewelry division comprises TAG Heuer, Ebel, Chaumet, Zenith, Fred, as well as Omas, the prestigious Italian writing instruments company. Phillips, one of the world's largest auction houses, which has recently teamed up with L'Etude Tajan and Geneva art dealer de Pury & Luxembourg Art, also belongs to the LVMH group. Connaissance des Arts and Art & Auction Magazine, two specialized publications, also recently joined the Group. LVMH also recently launched eLUXURY, the authoritative online source for luxury goods on the Internet.

LVMH shares (LVMH.PA) are listed on the Paris Stock Exchange and NASDAQ in the United States (LVMHY).