Danier Leather Inc. Comments on Supreme Court Decision Granting Plaintiffs' Application for Leave to Appeal


Jun 22, 2006 - 10:10

TORONTO, ONTARIO--(CCNMatthews - June 22, 2006) - Danier Leather Inc. (TSX:DL) has commented on today's decision of the Supreme Court of Canada granting plaintiffs leave to appeal the unanimous decision of the Ontario Court of Appeal that dismissed the class action suit concerning the Company's initial public offering.

Jeffrey Wortsman, President and Chief Executive Officer of Danier Leather Inc., said, "It's important to note that by this decision the Supreme Court has only agreed to hear the matter; it has not made any finding on the merits of the plaintiffs' claims. We will continue to assert - as the Ontario Court of Appeal held in its unanimous decision - that the Company met its disclosure obligations in the prospectus issued in connection with the Company's initial public offering in 1998, and that the trial judge erred in finding that any misrepresentation had occurred."

The Company expects the appeal to be heard by the Supreme Court prior to the end of June 2007.

Note: This press release may contain forward-looking statements of Danier Leather Inc. ("Danier" or the "Company"). Such forward-looking statements reflect the current view of Danier with respect to future events and financial performance. Wherever used, the words "may", "will", "anticipate", "intend", "expect", "plan", "believe" and similar expressions identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at which, such performance or results will be achieved. Forward-looking statements are based on information available at the time they are made, underlying assumptions made by management and management's good faith belief with respect to future events, and are subject to inherent risks and uncertainties surrounding future expectations generally. Examples of risks and uncertainties include fashion and apparel and leather industry risks, consumer shopping patterns, weather, seasonality, competition, foreign currency fluctuations, foreign sourcing and manufacturing, war and acts of terrorism, utility and fuel prices, loss of senior management, inflation, access to real estate, concentration of head office and distribution centre, estimates of damages, costs and interest associated with the class action lawsuit and leather availability and prices. Danier cautions readers that should certain risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary significantly from those expected. For additional information with respect to certain of these risks or uncertainties, reference should be made to Danier's continuous disclosure materials filed from time to time with Canadian Securities Regulatory Authorities, including Danier's annual information form, quarterly and annual reports, and supplementary information, which are available on SEDAR at www.sedar.com and in the Investor Relations section of Danier's website at www.danier.com. Additional risks and uncertainties not presently known to Danier or that Danier currently believes to be less significant may also adversely affect the Company. Danier disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

About Danier

Danier Leather Inc. is a leading integrated designer, manufacturer, and retailer of high-quality leather and suede clothing and accessories. The Company's merchandise is marketed exclusively under the well-known Danier brand name and is available only at its 95 shopping mall, street-front, and power centre stores, and through its corporate sales division.

Investor Relations Contact: Danier Leather Inc.
Jeffrey Wortsman
President and Chief Executive Officer
(416) 762-8175 ext. 302
(416) 762-7408 (FAX)


Danier Leather Inc.
Bryan Tatoff
Senior Vice-President and Chief Financial Officer
(416) 762-8175 ext. 328
(416) 762-7408 (FAX)