NEW YORK–(BUSINESS WIRE)–Hampshire Group, Limited (OTC Markets:HAMP) (“Hampshire” or “the
Company”) today announced that the Company has reached an agreement with
its primary licensor, Levi Strauss & Co., and its senior secured lender
with respect to its licenses to produce Dockers® brand clothing.
Hampshire will transition the Dockers® licenses back to Levi Strauss &
Co. along with related product development, production processes and
sourcing relationships, and liquidate its receivables and other assets
with the goal of paying off its outstanding indebtedness with its
lender. The lender agreed to fund the Company’s completion of identified
purchase orders. The Company expects the transition process to be
completed by early October 2016.
The Company anticipates entering into a separate agreement with its
secured lender to fund certain other aspects of the Company’s operations
during the transition period.
Hampshire continues to explore various alternatives for its James
Campbell brand, including its continued operation or a divestiture.
Management plans to provide further updates on its plan for the James
Campbell brand as new information becomes available.
About Hampshire Group
Hampshire Group, Limited (www.hamp.com),
along with its wholly-owned subsidiary, Hampshire Brands, Inc. is a
provider of fashion apparel across a broad range of product categories,
channels of distribution and price points. The Company specializes in
designing and marketing men’s sportswear to department stores, chain
stores and mass market retailers under licensed brands, our own
proprietary brands and the private labels of our customers.
Cautionary Disclosure Regarding Forward-Looking
This press release contains forward-looking statements, within the
meaning of the Private Securities Litigation Reform Act of 1995, that
reflect the Company’s current views with respect to future events. Such
statements are subject to certain risks and uncertainties which could
cause actual results to differ materially from those projected. Readers
are cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date hereof. The Company
undertakes no obligation to publish revised forward-looking statements
to reflect events or circumstances after the date hereof or to reflect
the occurrences of unanticipated events. Readers are urged to review and
consider carefully the various disclosures made by the Company in its
Form 10-K and other Securities and Exchange Commission filings, which
advise interested parties of certain factors that affect the Company’s
business. Risks and uncertainties that could cause actual results to
differ materially from those anticipated in our forward looking
statements include, but are not limited to, the following: there is
doubt about our ability to continue as a going concern due to the June
3, 2016 maturity date of our credit facility, potentially insufficient
liquidity, our history of losses, our stockholders’ deficit and our
auditor issuing a going concern opinion for the year ended December 31,