Cherokee Announces Quarterly Dividend of $0.10 per Common Share

  Cherokee Announces Quarterly Dividend of $0.10 per Common Share

Business Wire

SHERMAN OAKS, Calif. -- October 25, 2012

Cherokee Inc. (NASDAQ: CHKE), a global brand management company, announced
today that its Board of Directors approved the distribution of a quarterly
dividend of $0.10 per common share to stockholders of record as of December 1,
2012. The dividend will be payable on or about December 15, 2012.

The payment of any future dividends will be at the discretion of Cherokee's
Board of Directors and will be dependent upon Cherokee's financial condition,
results of operations, available cash, cash flow, capital requirements and
other factors deemed relevant by Cherokee's Board of Directors. Since 1996,
the Company has paid approximately $223.4 million in dividends and
distributions to its stockholders.

“As we approach the holiday season, we are pleased with our strong domestic
sales and international growth opportunities for our namesake Cherokee brand
as well as our recently acquired Liz Lange brand,” said Henry Stupp, Cherokee
Chief Executive Officer.

About Cherokee Inc.

Cherokee Inc. is a global marketer and manager of a portfolio of Fashion and
Lifestyle brands including Cherokee^®, Carole Little^®, Liz Lange^® and
Sideout^®, in multiple consumer product categories and sectors around the
world. The Company has license agreements with premier retailers and
manufacturers covering over 40 countries around the world including Target
Stores (U.S.), Tesco (U.K., Ireland and certain Central European countries),
Zellers (Canada), RT-Mart (Peoples Republic of China), Pick ‘n Pay (South
Africa), Falabella (Chile, Peru and Colombia), Arvind Mills (India and certain
Middle Eastern countries), Shufersal LTD. (Israel), Comercial Mexicana
(Mexico), Eroski (Spain), Nishimatsuya (Japan), Magnit (Russia), Landmark
Group’s Max Stores (certain Middle East and North Africa countries), and the
TJX Companies (U.S., Canada and Europe).

Statements included within this news release may contain forward-looking
statements for purposes of the safe harbor provided by the Private Securities
Litigation Reform Act of 1995. When used, the words “anticipates”, “believes”,
“expects”, “may”, “should” and similar expressions are intended to identify
such forward-looking statements. Forward-looking statements included in this
press release (including, without limitation, express or implied statements
regarding potential future business development) involve known and unknown
risk and uncertainties that may cause the actual results, performance or
achievements of the Company to be materially different from any future
results, performance or achievements expressed or implied by such
forward-looking statements. Such risks and uncertainties, include, but are not
limited to, the effect of global economic conditions, the financial condition
of the apparel and retail industry, adverse changes in licensee or consumer
acceptance of products bearing the Company’s brands the ability and/or
commitment of the Company’s licensees to design, manufacture and market
Cherokee, Liz Lange, Completely Me, Sideout and Carole Little branded
products, the Company’s dependence on Target for most of the Company’s
revenues and the Company’s dependence on its key management personnel. The
risks included here are not exhaustive. A further list and description of
these risks, uncertainties and other matters can be found in the Company’s
Annual Report on Form 10-K for Fiscal Year 2012, and in its periodic reports
on Forms 10-Q and 8-K. Given these risks and uncertainties, you should not
place undue reliance on forward-looking statements as a prediction of actual
results. The Company disclaims any intent or obligation to update any of the
forward-looking statements contained herein to reflect future events and
developments.

Contact:

Cherokee Inc.
Mark DiSiena, Chief Financial Officer
(818) 908-9868
or
Addo Communications, Inc.
Patricia Dolmatsky/Kimberly Esterkin
(310) 829-5400