Mr. Goldfarb concluded, ‘‘We expect the recent successful completion of our public offering, which yielded approximately $30.0 million of net proceeds to us, will help us to pursue new opportunities to create value for our shareholders. We intend to proceed purposefully and thoughtfully to further diversify our business into an all-season, all-category apparel company capable of serving every tier of distribution.’’

Outlook

The Company is forecasting net sales of approximately $28 million for its first fiscal quarter ending April 30, 2007 compared to $14.4 million in last year’s first fiscal quarter. The Company is also forecasting a net loss of $7.7 million to $8.4 million, or between $0.51 and $0.56 per share, compared to a net loss of $8.9 million, or $0.72 per share, in last year’s first fiscal quarter. The first quarter historically results in seasonal losses.

About G-III Apparel Group, Ltd.

G-III Apparel Group, Ltd. is a leading designer, manufacturer and marketer of outerwear and sportswear under licensed brands, its own brands and private retail labels. The Company has fashion licenses, among others, under the Calvin Klein, Sean John, Kenneth Cole, Cole Haan, Guess?, Jones New York, Nine West, Ellen Tracy, House of Deréon, IZOD and Tommy Hilfiger labels, and sports licenses to produce branded sports apparel using the trademarks of the National Football League, National Basketball Association, Major League Baseball, National Hockey League, Louisville Slugger, World Poker Tour and over 100 U.S. colleges and universities. Company-owned labels include, among others, Marvin Richards, G-III, Black Rivet, Siena Stud io, Colebrook, G-III by Carl Banks, Winlit, NY 10018 and La Nouvelle Renaissance.

Statements concerning the Company’s business outlook or future economic performance, anticipated revenues, expenses or other financial items; product introductions and plans and objectives related thereto; and statements concerning assumptions made or expectations as to any future events, conditions, performance or other matters are ‘‘forward-looking statements’’ as that term is defined under the U.S. securities laws. Forward-looking statements are subject to risks, uncertainties and factors which include, but are not limited to, reliance on licensed products, reliance on foreign manufacturers, the nature of the apparel industry, including changing customer demand and tastes, seasonality, customer acc eptance of new products, the impact of competitive products and pricing, dependence on existing management, possible disruption from acquisitions and general economic conditions, as well as other risks detailed in the Company’s filings with the Securities and Exchange Commission. The Company assumes no obligation to update the information in this release.

G-III APPAREL GROUP, LTD. AND SUBSIDIARIES
(NASDAQ:GIII)
CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except share and per share amounts)
(Unaudited)

			Three Months Ended												Twelve Months Ended
			1/31/07						1/31/06						1/31/07						1/31/06
Net sales				$	98,842					$	69,131					$	427,017					$	324,072
Cost of sales					73,151						53,067						311,470						239,226
Gross profit					25,691						16,064						115,547						84,846
Selling, general and administrative expenses					21,791						17,782						83,258						64,763
Depreciation and amortization					1,131						1,066						4,431						3,125
Operating profit (loss)					2,769						(2,784	)					27,858						16,958
Interest and financing charges, net					1,789						1,578						6,362						4,349
Income (loss) before income taxes					980						(4,362	)					21,496						12,609
Income tax expense (benefit)					462						(1,611	)					8,307						5,517
Net income (loss)				$	518					$	(2,751	)				$	13,189					$	7,092
Income (loss) per common share:
Basic				$	0.04					$	(0.23	)				$	1.00					$	0.62
Diluted				$	0.03					$	(0.23	)				$	0.94					$	0.58
Weighted average shares outstanding:
Basic					14,093,000						12,112,000						13,199,000						11,509,000
Diluted					14,954,000						12,112,000						13,982,000						12,236,000

All share and per share data have been retroactively adjusted for the Company’s three for two stock split which became effective March 28, 2006.

Balance Sheet Data (in thousands):			At Jan. 31, 2007						At Jan. 31, 2006
Cash				$	12,026					$	7,031
Working Capital					81,858						61,197
Inventory					38,111						30,395
Total Assets					173,529						138,317
Total Shareholders’ Equity				$	115,642					$	82,011

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G-III APPAREL GROUP, LTD. AND SUBSIDIARIES

RECONCILIATION OF EBITDA TO ACTUAL NET INCOME

(in thousands)
(Unaudited)

			Actual Twelve Months Ended January 31, 2007						Actual Twelve Months Ended January 31, 2006
EBITDA, as defined				$	32,289					$	20,083
Depreciation and amortization					4,431						3,125
Interest and financing charges, net					6,362						4,349
Income tax expense					8,307						5,517
Net income				$	13,189					$	7,092

EBITDA is a ‘‘non-GAAP financial measure’’ which represents earnings before depreciation and amortization, interest and financing charges, net, and income tax expense. EBITDA is being presented as a supplemental disclosure because management believes that it is a common measure of operating performance in the apparel industry. EBITDA should not be construed as an alternative to net income as an indicator of the Company’s operating performance, or as an alternative to cash flows from operating activities as a measure of the Company’s liquidity, as determined in accordance with generally accepted accounting principles.

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