Milberg Weiss Announces Class Action Suit Against Samsonite Corp., Its Officers, Directors and Controlling Shareholders Alleging Misrepresentations and False Statements.

SAN DIEGO--(BUSINESS WIRE)--Aug. 28, 1998--A class action has been commenced on behalf of purchasers of Samsonite Corp. (NASDAQ:SAMC) common stock between September 10, 1996 and December 1, 1997 (the "Class Period").

The complaint charges Samsonite and certain of its officers and directors and its largest shareholders, Apollo Investment Fund, L.P., and Carl Icahn, with violations of the Colorado Securities Act. Among other things, plaintiff claims that defendants issued a series of materially false and misleading statements regarding the Company's financial condition and the success of its restructuring program. Plaintiff alleges that defendants engaged in this unlawful conduct in order to allow Samsonite to complete a secondary stock offering in February 1997 which raised $132 million for the Company and allowed Icahn to sell all $145 million of his Samsonite stock.

Defendants' alleged false statements about the success and operating profitability of Samsonite's business, and forecasts of 20%-30% EPS growth for Samsonite during FY 98-99, artificially inflated its stock to a Class Period high of $53-1/8 in the Fall of 1997.

However, in the Fall of 1997, Samsonite began to reveal that its restructuring program was failing, that demand for its products was not as strong as represented, and that it had been manipulating its financial results by shipping large amounts of merchandise to distributors and other outlets on a sale or return basis and improperly recognizing revenue for these transactions. Samsonite revealed that due to its deteriorating business, the FY 98-99 EPS forecasts would be much lower than earlier forecast. As a result of these disclosures, Samsonite's stock price plunged to below $25 per share by December 1997.

Plaintiff seeks to recover damages on behalf of all purchasers of common stock during the Class Period (the "Class"). The plaintiff is represented by two law firms, including Milberg Weiss Bershad Hynes & Lerach LLP, who have expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.

Milberg Weiss has been actively engaged in commercial litigation, emphasizing securities and antitrust class actions, for more than 30 years. The firm has offices in New York, San Diego, San Francisco, and Los Angeles and is active in major litigation pending in federal and state courts throughout the United States. The firm's reputation for excellence has been recognized on repeated occasions by courts which have appointed the firm to major positions in complex multi-district or consolidated litigations. Milberg Weiss has taken a lead role in numerous important actions on behalf of defrauded investors, and has been responsible for a number of outstanding recoveries which, in the aggregate, total approximately $2 billion. Visit the firm's website at http://www.milberg.com.

If you wish to discuss this case or have any questions concerning this case or your rights or interests, please contact: William S. Lerach, Alan Schulman or Darren J. Robbins of Milberg Weiss/California at 800/449-4900 or via e-mail at [e-mail].

    CONTACT: Milberg Weiss
              William Lerach, 800/449-4900
              E-mail: [e-mail].