Frederick's of Hollywood Group Inc. Signs Licensing Agreement With Blue By Yoo for New Women's Swimwear Line

NEW YORK, May 3 /PRNewswire-FirstCall/ -- Frederick's of Hollywood Group Inc. (NYSE Amex: FOH) ("Company") today announced that it has signed an exclusive, multi-year international licensing agreement with Blue By Yoo to manufacture, distribute and market a new line of women's swimwear under the Frederick's of Hollywood® brand.  Blue By Yoo plans to launch a limited edition line of the Frederick's of Hollywood® swimwear over Memorial Day weekend 2010.

In addition to selling the women's swimwear line through Frederick's of Hollywood retail stores, catalog and website, Blue By Yoo will also distribute the product line to department stores, specialty retail chains, boutique stores, intimate apparel stores and resort outlets.

"We are excited to move forward with Blue By Yoo and launch a Frederick's of Hollywood swimwear line that encompasses the 'SEXY' image that our brand represents.  This is a natural extension for the Frederick's of Hollywood brand and caters to our existing customers' needs and lifestyles," stated Thomas Lynch, the Company's Chairman and Chief Executive Officer.  "Swimwear was one of the first markets we wanted to enter with our new licensing initiative.  We believe the potential for a swimwear line under the Frederick's of Hollywood name is significant, and partnering with Blue By Yoo offers us considerable market experience and a distribution network that extends beyond our own stores and catalog."

Ron W. Yoo, President and CEO of Blue By Yoo, said, "The Frederick's of Hollywood brand fits perfectly into today's swimwear market, offering customers the ability to show their sexy Hollywood inspired style on the beach or at the pool.  The timing of this agreement will allow us to show a sneak peak of what's to come in the 2011 season, with initial product going to market for the 2010 Memorial Day weekend."

About Blue By Yoo

Blue By Yoo: The Swimwear Specialist – With extensive experience in developing, designing, and manufacturing swimwear, Blue By Yoo has teamed up with the industry elites to provide a solution for a complete garment package. Blue By Yoo works very closely with swimsuit manufacturers/importers in the US and truly understands the technicalities, strict standards and requirements demanded by today's retailers. With a large network of mills, printers and factories in Asia, Blue By Yoo was able to successfully grow and produce millions of garment units that include swimwear, intimate apparel and athletic-wear. Manufacturing swimwear for large surf, contemporary and premium swim companies has given Blue By Yoo the expertise to consider themselves the "Swimwear – fabric and garment – Specialists."  Blue By Yoo currently has offices in the United States, Korea and China.

About Frederick's of Hollywood Group Inc.

Frederick's of Hollywood Group Inc. conducts its business through its multi-channel retail division and wholesale division.  Through our multi-channel retail division, we primarily sell women's intimate apparel and related products under our proprietary Frederick's of Hollywood® brand through 127 specialty retail stores nationwide, our world-famous catalog and an online shop at www.fredericks.com.  With its exclusive product offerings including Seduction by Frederick's of Hollywood and the Hollywood Extreme Cleavage® bra, Frederick's of Hollywood is the Original Sex Symbol®.  Through our wholesale division, we design, manufacture, source, distribute and sell women's intimate apparel throughout the United States and Canada.  

Forward Looking Statement

Certain of the matters set forth in this press release are forward-looking and involve a number of risks and uncertainties.  These statements are based on management's current expectations or beliefs.  Actual results may vary materially from those expressed or implied by the statements herein.  Among the factors that could cause actual results to differ materially are the following: competition; business conditions and industry growth; rapidly changing consumer preferences and trends; general economic conditions; large variations in sales volume with significant customers; addition or loss of significant customers; continued compliance with government regulations; loss of key personnel; labor practices; product development; management of growth, increases in costs of operations or inability to meet efficiency or cost reduction objectives; timing of orders and deliveries of products; foreign government regulations and risks of doing business abroad; and the other risks that are described from time to time in Frederick's of Hollywood Group Inc.'s SEC reports.  Frederick's of Hollywood Group Inc. is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, changes in assumptions or otherwise.

Our press releases and financial reports can be accessed on our corporate website at www.fohgroup.com.

This release is available on the KCSA Strategic Communications Web site at www.kcsa.com.

SOURCE Frederick's of Hollywood Group Inc.