Signature Eyewear Reports 21st Consecutive Profitable Quarter


Los Angeles, CA – Signature Eyewear, Inc. (OTC BB: SEYE:OB) reported net income of $82,546 on net sales of $4.7 million for the quarter ended January 31, 2011, its 21st consecutive profitable quarter. This compares to net income of $143,000 on net sales of $5.2 million for the quarter ended January 31, 2010.


The 8.4% decrease in net sales was due primarily to the expiration of Signature’s bebe and Hummer eyewear licenses in June 2010 and the continuing recession. The decline in sales of bebe and Hummer eyewear was offset by increases in net sales of the Company’s other eyewear lines.


Net Income in the first quarter decreased due to lower sales and gross margin. The decrease in gross margin was attributed to competitive conditions in the optical industry and the impact of private label footwear sales, which have lower gross margins than eyewear sales.


Michael Prince, Signature’s Chief Executive Officer, stated: "We are pleased to have maintained profitability as high unemployment and consumer uncertainty have adversely affected the optical industry. We achieved this through the exceptional efforts of our sales force in promoting our other brands, revenues generated by our new women’s footwear division, and our continued emphasis on efficiencies to reduce costs."


In the first quarter Signature launched its new division, Signature Fashion Group, to focus on women’s footwear and fashion accessories. This division will bring Signature’s expertise in brand management to the development and marketing of these new product lines. In the first quarter, this division generated its first revenues from the sale of private label footwear. Signature Fashion Group will launch its own Rough Justice brand of footwear in the second fiscal quarter of 2011.


Prince also stated: "We look forward to the launch of our 2 new men’s collections, Hickey Freeman and Bobby Jones in the late Spring. This will greatly enhance our men’s portfolio in both eyewear and sunwear."


About Signature Eyewear
Signature Eyewear is a leading designer and marketer of prescription eyeglass frames and sunglasses under internationally-recognized brand names such as Carmen Marc Valvo, Cutter and Buck, Hart Schaffner Marx, Laura Ashley, Michael Stars and Nicole Miller. Signature will be expanding its men’s eyewear and sunwear in late Spring with the introduction of Hickey Freeman and Bobby Jones collection. Signature Eyewear's proprietary brands include Dakota Smith, Rough Justice and The Signature Collection. Signature recently introduced a Rough Justice collection of fashion footwear that will launch in the second fiscal quarter of 2011. The Company's products are sold in the United States and internationally to opticians, optometrists and ophthalmologists, optical retail chains, and department stores and fashion retailers. For information about Signature Eyewear call 1-800-765-EYES or visit the company's web site at www.seye.com and www.roughjustice.com.