NEEDHAM, MA. Designs, Inc. (NASDAQ/NMS: “DESI”), retail brand operator of Levi's® Outlet by Designs, Dockers® Outlet by Designs, and Candies® outlet stores, and Ecko.Complex LLC, a leading design-driven lifestyle brand targeting young men and women, today announced that they have reached an agreement in principle under which Designs will open and operate Ecko branded retail stores in outlet malls throughout the United States to provide a channel of distribution for closeout merchandise and to further promote and expand the Ecko brand.

David A. Levin, President and Chief Executive Officer of Designs, Inc., stated, “In our strategic pursuit to operate other premier brands, our market analysis showed that the youth markets of juniors', young men's and children's were underdeveloped. The Ecko brand of apparel and accessories is fast growing and will have tremendous appeal in the outlet centers. The Designs organization is truly excited to be working with such a creative and quality design team led by Marc Ecko. The joint venture arrangement with Ecko represents Designs third brand in its core business of providing quality retail store operating services for brand manufacturers.

Seth Gerzberg, President of Ecko, remarked, “We are very excited about partnering with Designs in this retail joint venture. The Designs management team has a demonstrated expertise in operating outlet stores. Together we will open stores that will sell exclusively Ecko mens wear and licensed products in an exciting and innovative retail environment reflecting the Ecko lifestyle. We believe that this venture will be an important new distribution channel for the management of our brand.”

Designs, Inc. operates 103 Levi'sâ Outlet by Designs, Dockersâ Outlet by Designs and Candies® Outlet stores located in outlet centers throughout the eastern United States and Puerto Rico. Designs has been operating Levi's branded retail stores for over 25 years agreement with Levi Strauss & Co. and views the opening and operating of branded retail stores in outlet malls as its core competency. Designs completed a license arrangement in January, 2002 with Candies, Inc., a leading designer and marketer of young women's footwear, apparel and accessories. Designs expects to open 8-10 Candies branded outlet stores throughout the United States by mid-year. The Company is headquartered in Needham, Massachusetts and its common stock is listed on the Nasdaq National Market under the symbol “DESI”. Investor Relations information is available on the Company's web site at www.designsinc.com

Ecko, a privately held company founded in 1993 with worldwide annual sales exceeding $200 million, is a leading design-driven lifestyle brand targeting young men and women. Ecko is one of the few truly cross-over youth brands appealing to a broad consumer base who identify with fashion ranging from hip-hop to extreme sports to street-wear to fraternity life. Ecko distributes its products through better department and leading specialty stores nationwide. Additionally, the Ecko brand is licensed for the manufacture, sale and distribution of footwear, outerwear, leather goods, swimwear, gloves, bags, watches, eyewear and other accessories. Ecko has entered into international distribution and licensing agreements in Canada, Western Europe, United Kingdom, Australia, South Korea, Mexico, the Middle East, Hong Kong and Japan. More information about Ecko can be found at www.Ecko.com. West End Capital Partners initiated and advised Ecko in the formation of this joint venture.

The discussion of forward-looking information requires management of Designs, Inc. to make certain estimates and assumptions regarding the Company's strategic direction and the effect of such plans on Designs, Inc. financial results. Designs, Inc. actual results and the implementation of its plans and operations may differ materially from forward-looking statements made by Designs, Inc. Designs, Inc. encourages readers of forward-looking information concerning Designs, Inc. to refer to its prior filings with the Securities and Exchange Commission that set forth certain risks and uncertainties that may have an impact on future results and direction of Designs, Inc. Designs, Inc. does not report on its progress during a quarter until after the quarter has been completed and appropriately disclosed its results.

For Information, Contact: David A. Levin, President Designs, Inc. (781) 444-7222, ext. 6641

Dennis R. Hernreich Senior Vice President and Chief Financial Officer Designs, Inc. (781) 444-7222, ext. 6101