Ms. Liz Rodbell reports

XCEL BRANDS ANNOUNCES STRATEGIC PARTNERSHIP WITH HUDSON'S BAY AND LORD & TAYLOR

Xcel Brands Inc., a brand development and media company, has entered into an exclusive agreement and innovative partnership with Hudson's Bay Company and Lord & Taylor. Xcel will design and manage the manufacturing of products in an innovative quick-time-response supply chain for four of Xcel's proprietary brands, including IMNYC (designed by Isaac Mizrahi), H Halston, C. Wonder Ltd. and an additional brand targeting millennials created exclusively for the program. The innovative quick-time-response supply chain model was developed by Xcel to create new ways for retailers to manage inventory in today's market environment.

Robert D'Loren, chairman and chief executive officer of Xcel Brands, stated: "We are very excited to implement this truly groundbreaking business model innovation in our industry. We look forward to working with the team at Hudson's Bay and Lord & Taylor in launching this much needed inventory management solution."

He further noted, "We are grateful to Ben Malka and his team at House of Halston for all of their collaborative work on this project."

The partnership allows Hudson's Bay and Lord & Taylor to manage dynamic assortments of inventory that respond to customer demands. Xcel Brands will oversee and manage the design and supply chain, and Hudson's Bay and Lord & Taylor will be the exclusive retail partners for the program for the United States and Canada.

"We're excited by the opportunity to partner with Xcel Brands to deliver compelling product to our customers in Canada and the United States," noted Liz Rodbell, president, Hudson's Bay and Lord & Taylor. "This new business model will help us quickly react to what's working and better serve our customers."

The collections will be available at Lord & Taylor and Hudson's Bay retail stores, and on both their websites, beginning spring 2016.

About Xcel Brands

Xcel Brands is a brand development and media company engaged in the design, licensing, marketing and direct-to-consumer sales of branded apparel, footwear, accessories, jewellery, home goods and other consumer products, and the acquisition of dynamic consumer lifestyle brands. Xcel was founded by Robert W. D'Loren in 2011 with a vision to reimagine shopping, entertainment and social as one. Xcel owns and manages the Isaac Mizrahi, Judith Ripka, H Halston and C. Wonder brands, pioneering an omnichannel sales strategy, which includes the promotion and sale of products under its brands through direct-response television, Internet, brick and mortar retail, and e-commerce channels. Headquartered in New York, Xcel Brands is led by an executive team with significant retailing, licensing, design and marketing experience, and a proven record of success in elevating branded consumer products companies. With a team of over 70 designers and social-media-focused marketing executives, Xcel maintains control of product quality and promotion across all of its licensed product categories and distribution channels. Xcel differentiates by design.