HAMPSHIRE GROUP TO TRANSITION DOCKERS LICENSES BACK TO LEVI’S

Fashion apparel company Hampshire Group, Limited 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.

Hampshire Group anticipates entering into a separate agreement with its secured lender to fund certain other aspects of the company’s operations during the transition period.

The company also 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.