Hampshire Group Launches Joseph Abboud® Components for Fall 2008

Business Wire, Feb 4, 2008

New Men's Sportswear Label to be Unveiled at MAGIC Show in Vegas

NEW YORK -- Hampshire Group, Limited (Pink Sheets: HAMP) today announced the launch of Joseph Abboud[R] Components, a new men's sportswear line targeting the 35-55 year-old consumer. The premier Fall 2008 line will be unveiled at the upcoming MAGIC show in Las Vegas at booth DE2718 in the Central Hall, and will debut in select department stores nationwide in August 2008.

Designed to reflect classic American fashion, Joseph Abboud[R] Components focuses on texture and rich detail, using natural fibers and unique treatments such as leather elbow patches. The merchandise assortment includes sweaters, knits, woven tops, blazers, and a range of cotton, blends and 100% wool pants.

"This is an important step for our Company, as it reflects our strategic drive to expand our market share in the better market with multiple category presentations," said Michael Culang, interim Chief Executive Officer of Hampshire Group. "We continue to seek additional opportunities to build or acquire leading brands that will enable us to further strengthen our position in this category and offer our customers distinctive fashion with a strong quality-value proposition."

The men's Joseph Abboud[R] Components launch represents the first part of Hampshire Group's licensing agreement with JA Apparel Corp. to market men's tops and bottoms under a classification label of the Joseph Abboud[R] Brand, as announced in October 2007. The second part of the licensing agreement is anticipated to be realized during Fall 2009 with the launch of a women's related separates line under another classification label of the Joseph Abboud[R] brand. The growth and direction of Joseph Abboud[R] Components is overseen by Mark Lepine, President of Hampshire Brands. The line is designed by Alan Needleman, Vice President of Design of Hampshire Brands.

About Hampshire Group, Limited

Hampshire Group, Limited is a leading U.S. provider of women's and men's sweaters, wovens and knits, and a fast-growing designer and marketer of branded apparel. Its customers include leading retailers such as Macy's, Kohl's, Target, JC Penney, Dillards, Bloomingdale's and Nordstrom, for whom it provides trend-right branded apparel. Founded in 1956, Hampshire grew its sales to nearly $350 million for 2006. Hampshire's owned brands include Spring Mercer[R], its newly-launched "better" apparel line, Designers Originals[R], the Company's first brand and still a top-seller in department stores, as well as Mercer Street Studio[R], Requirements[R], and RQT[R], among others. The Company also licenses the Geoffrey Beene[R] and Dockers[R] labels for men's sweaters, both of which are market leaders in their categories, and recently acquired licenses for Joseph Abboud[R] Components men's tops and bottoms and women's related separates.

About JA APPAREL CORP.

The Joseph Abboud[R] Brand embodies sophisticated American style for traditional menswear. Joseph Abboud brand instills confidence through tailored collections and unique sportswear that are crafted from the world's finest fabrics and defined by superior fit, exceptional quality and remarkable luxurious style. Since it's inception in 1987, the brand has grown into a $300 million worldwide retail lifestyle brand with an expanding number of products in the following categories including men's apparel and accessories, boy's apparel, and home furnishings. Joseph Abboud brand names include Joseph Abboud, Joseph Abboud Jeans Inc., JOE Joseph Abboud, Joseph Abboud BOYS, and Joseph Abboud Home. Joseph Abboud branded products are available in superior department stores and specialty stores throughout the United States, Canada, Mexico, Japan and Indonesia. Information may be found at www.josephabboud.com.