Little Switzerland, Inc. to Sell 45% Equity Stake to Tiffany

Apr 10, 2001, 01:00 ET from Little Switzerland, Inc.

     ST. THOMAS, U.S. Virgin Islands, April 10 /PRNewswire/ -- LITTLE
 SWITZERLAND, INC. (OTC Bulletin Board:   LSVI.OB) announced today that it has
 agreed in principle to sell a 45% equity interest to an affiliate of
 Tiffany & Co. (NYSE:   TIF), subject to final negotiation and execution of
 definitive agreements and successful completion of customary closing
 conditions. It is contemplated that Tiffany will agree to invest approximately
 $9 million to purchase newly-issued shares of common stock of Little
 Switzerland and will agree to provide debt financing of up to $2.5 million.
     Little Switzerland intends to use the net proceeds from the transaction
 for working capital and to pay off a portion of its existing bank
 indebtedness.  The Company also intends to refinance the balance of its
 indebtedness on more favorable terms.
     Robert L. Baumgardner, Little Switzerland's president and chief executive
 officer, commented that "Little Switzerland considers Tiffany & Co. to be one
 of the world's premier retailers.  We are looking forward to having Tiffany as
 a strategic partner and believe that Tiffany will greatly assist Little
 Switzerland in its efforts to grow and return to profitability."
     Michael J. Kowalski, Tiffany's president and chief executive officer, said
 "the Caribbean region is an exciting retail market.  Little Switzerland
 already has a meaningful presence and we believe the travel industry holds
 further growth potential.  We are impressed with the progress that Little
 Switzerland has recently made."
     This communication shall not constitute an offer to sell or the
 solicitation of an offer to buy securities nor shall there be any sale of the
 above-referenced securities in any state in which such offer, solicitation or
 sale would be unlawful prior to registration or qualification under the
 securities laws of any such state.
     The matters discussed in this news release include forward-looking
 statements that may involve a number of risks and uncertainties.  Little
 Switzerland can provide no assurance that the transactions discussed in this
 press release will be completed on the above-referenced terms or at all.
 Actual results may vary significantly based on a number of factors, including
 those detailed in Little Switzerland's filings with the Securities and
 Exchange Commission.
 
 

SOURCE Little Switzerland, Inc.
     ST. THOMAS, U.S. Virgin Islands, April 10 /PRNewswire/ -- LITTLE
 SWITZERLAND, INC. (OTC Bulletin Board:   LSVI.OB) announced today that it has
 agreed in principle to sell a 45% equity interest to an affiliate of
 Tiffany & Co. (NYSE:   TIF), subject to final negotiation and execution of
 definitive agreements and successful completion of customary closing
 conditions. It is contemplated that Tiffany will agree to invest approximately
 $9 million to purchase newly-issued shares of common stock of Little
 Switzerland and will agree to provide debt financing of up to $2.5 million.
     Little Switzerland intends to use the net proceeds from the transaction
 for working capital and to pay off a portion of its existing bank
 indebtedness.  The Company also intends to refinance the balance of its
 indebtedness on more favorable terms.
     Robert L. Baumgardner, Little Switzerland's president and chief executive
 officer, commented that "Little Switzerland considers Tiffany & Co. to be one
 of the world's premier retailers.  We are looking forward to having Tiffany as
 a strategic partner and believe that Tiffany will greatly assist Little
 Switzerland in its efforts to grow and return to profitability."
     Michael J. Kowalski, Tiffany's president and chief executive officer, said
 "the Caribbean region is an exciting retail market.  Little Switzerland
 already has a meaningful presence and we believe the travel industry holds
 further growth potential.  We are impressed with the progress that Little
 Switzerland has recently made."
     This communication shall not constitute an offer to sell or the
 solicitation of an offer to buy securities nor shall there be any sale of the
 above-referenced securities in any state in which such offer, solicitation or
 sale would be unlawful prior to registration or qualification under the
 securities laws of any such state.
     The matters discussed in this news release include forward-looking
 statements that may involve a number of risks and uncertainties.  Little
 Switzerland can provide no assurance that the transactions discussed in this
 press release will be completed on the above-referenced terms or at all.
 Actual results may vary significantly based on a number of factors, including
 those detailed in Little Switzerland's filings with the Securities and
 Exchange Commission.
 
 SOURCE  Little Switzerland, Inc.