Rafe Signs Licensing Agreement

RAFE SIGNS LICENSING AGREEMENT

WITH AP BAGS USA

New York, NY, May 18, 2009 - Acclaimed designer Rafe Totengco has entered into a licensing agreement with AP Bags USA who will facilitate all manufacturing, sales, and marketing initiatives for the designer’s celebrated handbag, shoe and leather goods line, Rafē New York.
This promising announcement comes on the heels of the formation of AP Bags USA. “Rafē New York is the perfect complement to our portfolio of designers. His innate design talent and the commercial viability of his line are qualities inherent to all of our brands,” states John Wilson, CEO of AP Bags USA. “We see Rafe Totengco as a star in the fashion industry and are excited to be a part of his growing success.”

Rafe Totengco adds, “I’m thrilled to be partnering with AP Bags to develop the Rafē New York brand to its full potential world-wide. It is the next logical step in the evolution of Rafē New York to enter the next major phase of maturity. With the tremendous experience and resources available to it, AP Bags, USA will be able to maximize opportunities for growth that my small company could not accomplish on its own before. I believe that this is a major coup for both parties, and will prove to be a great mutual success. We can’t wait to get to work together!”

Rafe joins AP Bags USA’s roster of accessories brands, which includes Mandarina Duck, Coccinelle and Braccialini. AP Bags sought out the New York-based contemporary brand to complement its existing lineup, as well as build its U.S. business. “We looked to Rafe Totengco because he has incredible design talent and an established business in the U.S. market, but he was restricted in his ability to grow doing everything internally to effectively compete.” said John Wilson, president and chief executive officer of AP Bags USA. “We have the infrastructure and know-how, to take his brand to the next level and to build growth in terms of production and distribution.”

Wilson expects Rafe to generate a 30 percent sales increase in its first year under the agreement. Totengco expressed a sense of relief in allowing AP Bags to handle sourcing, production and sales. “It was getting to the point where operations and production problems were affecting my ability to do my best work,” Totengco said. “I wasn’t looking for this, but when the opportunity came along, I took a close look at their brands and thought, ‘Well they’re doing what we’re doing, only better, so let’s do it!’” Totengco said his handbag aesthetic won’t change, but he will be more equipped to produce on-time, at correct price-point with best quality which is key to providing value.

About Rafe Totengco:

Rafe launched his namesake handbag collection in 1995. Since then, he has become one of the most acclaimed of a new generation of American designers, recognized in his field with numerous honors. His accessories are known for their balance of fashion and function with each item crafted using top grade leathers, original fabrics and a fierce attention to detail. Rafe is a member of the Council of Fashion Designers of America (CFDA). For more see: http://www.rafe.com/aboutrafe.html

About AP Bags USA:

AP Bags USA is the US distribution subsidiary of Antichi Pellettieri Bags S.p.A, a European leader in the accessible segment of the luxury goods market with a consolidated international presence. The Group designs, produces and distributes handbags and accessories, footwear and leather apparel collections characterized by top quality and innovative design.