NEW YORK--(BUSINESS WIRE)--May 24, 1999--Notice is hereby given that a class action lawsuit was filed on May 24, 1999, in the United States District Court for the Southern District of New York on behalf of all persons who purchased the common stock of Candie's Inc. (NASDAQ: CAND)("Candie's" or the "Company") between May 28, 1997, and May 12, 1999, inclusive (the "Class Period"). The complaint charges Candie's and certain officers and directors with violations of the securities laws and regulations of the United States. The complaint alleges, among other things, that during the Class Period, defendants falsely reported Candie's financial results and for the first, second, third and fourth fiscal quarters of 1998, and the first, second, and third fiscal quarters of 1999 causing Candie's common stock to trade at artificially inflated prices. Following defendants' disclosure that Candie's may be required to restate its financial results, NASDAQ halted trading of the Company's common stock. Plaintiff seeks to recover damages on behalf of class members and is represented by, among others, the law firm of Stull, Stull & Brody. Stull, Stull and Brody has litigated many class actions for violations of securities laws in federal courts over the past 25 years and has obtained court approval of substantial settlements on numerous occasions. If you are a member of the class described above, you may, not later than sixty days from May 17, 1999, move the Court to serve as lead plaintiff of the class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements. If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Tzivia Brody, Esq. at Stull, Stull & Brody by calling toll free 1-800-337-4983 or by e-mail at SSBNY@aol.com, or by fax at 212/490-2022, or by writing Stull, Stull & Brody, 6 E. 45th Street, New York, N.Y. 10017.  