Callanen International, a Subsidiary of Timex Corporation, Announces New Exclusive Worldwide License for Guess Watches; New Agreement Extends Callanen-Guess Partnership Through 2016

Business Wire, Sept 28, 2005

NORWALK, Conn. -- Callanen International, Inc., a wholly-owned subsidiary of Timex Corporation, today announced that it has signed a license with Guess?, Inc. (NYSE: GES) to extend Callanen's exclusive worldwide license to design, market and distribute Guess fashion watches. The initial term is for ten years, starting January 1, 2007, with a five-year option to renew thereafter. Callanen has been manufacturing and selling Guess watches under an exclusive worldwide license agreement since 1983.

Cindy Livingston, President and CEO of Callanen, said, "Callanen is proud of the successful worldwide business we have developed with Guess over the past two decades. The Guess watch brand is the single largest licensed watch brand in the world and has a strong reputation in the fashion watch market for excellence in design, quality and marketing. The Callanen family of associates and distributors around the world is delighted that Guess will continue to have its home with Callanen."

Paul Marciano, Co-Chairman and Co-CEO of Guess, said, "The watch business for the Guess, GC Guess Collection, and Marciano brands has an immense future with the talent and creativity of Callanen, especially under the leadership of Cindy Livingston, who has been our partner on this exciting business venture for the last sixteen years."

Under the new agreement, a separate company will be established to manage the distribution and marketing of Guess watches.