Lakeland Industries Clarifies Statements Made in the Media

RONKONKOMA, N.Y., Sept. 16, 2013 /CNW/ - Lakeland Industries, Inc. (NASDAQ: 
LAKE), a leading global manufacturer of protective clothing for industry, 
healthcare and to first responders on the federal, state and local levels, is 
responding to recent inquiries of shareholders and investment articles 
surrounding the junior and senior financing transactions completed by Lakeland 
Industries, Inc. (the "Company") in June 2013. 
(Logo:  http://photos.prnewswire.com/prnh/20120611/NY21959LOGO) 
The per annum interest rate on the Company's senior credit facility of $15 
million with Alostar Business Credit, a division of Alostar Bank of Commerce, 
is LIBOR plus 525 basis points (with a floor of 6.25%).  Since the applicable 
per annum LIBOR rate is lower than 0.5%, the current effective per annum 
interest rate on the senior debt is 6.25%. 
As a condition precedent of the senior loan, the Company was required to 
obtain a $3.5 million subordinated loan. The Company secured a junior loan 
with LKL Investments, an affiliate of Arenal Capital, which provides for per 
annum interest at the rate of 12% through December 27, 2016, and the issuance 
to the junior lender of a common stock warrant to purchase 566,015 shares of 
the common stock of the Company at $.01 per share.  The overall per annum rate 
of return of the entire $3.5 million junior debt financing, taking into 
account the 12% interest rate and assuming a three year exit on the warrant, 
is approximately 30%. 
Being that the junior loan was a condition of the senior financing 
transaction, the Company has calculated a blended per annum rate of the loans 
of approximately 10 to 11% based upon certain reasonable assumptions, 
including the relative size of the two loans and attributing a value to the 
warrant based upon the market price of the common stock. 
In addition, as part of the junior financing, the junior lender was given the 
right to elect one director to the Board of Directors of the Company 
commencing with the Company's annual meeting of stockholders in 2014.  
Accordingly, no representative of the junior lender is currently a member of 
the Board of Directors of the Company. 
On September 13, 2013, the Company hired Eduardo Tavares as the executive in 
charge of its wholly-owned subsidiary, Lakeland Brasil S.A. ("Lakeland 
Brasil"). Mr. Tavares is primarily responsible for running the Company's 
Brazilian operations.  Mr. Tavares was hired by the Company for his experience 
in turning-around distressed companies in Brazil, including companies which 
operate in the same markets as does Lakeland Brazil. Mr. Tavares also has 
extensive knowledge of the Company's customer base and its competitors. 
About Lakeland Industries, Inc.: Lakeland Industries, Inc. (NASDAQ: LAKE) 
manufactures and sells a comprehensive line of safety garments and accessories 
for the industrial protective clothing market.  The Company's products are 
sold by a direct sales force and through independent sales representatives to 
a network of over 1,200 safety and mill supply distributors. These 
distributors in turn supply end user industrial customers such as 
chemical/petrochemical, automobile, steel, glass, construction, smelting, 
janitorial, pharmaceutical and high technology electronics manufacturers, as 
well as hospitals and laboratories.  In addition, Lakeland supplies federal, 
state, and local government agencies, fire and police departments, airport 
crash rescue units, the Department of Defense, the Centers for Disease Control 
and Prevention, and many other federal and state agencies. 
For more information concerning Lakeland, please visit the Company online at 
www.lakeland.com. 
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 
1995:  Forward-looking statements involve risks, uncertainties and assumptions 
as described from time to time in Press Releases and Forms 8-K, registration 
statements, quarterly and annual reports and other reports and filings filed 
with the Securities and Exchange Commission or made by management.  All 
statements, other than statements of historical facts, which address 
Lakeland's expectations of sources or uses for capital or which express the 
Company's expectation for the future with respect to financial performance or 
operating strategies can be identified as forward-looking statements.  As a 
result, there can be no assurance that Lakeland's future results will not be 
materially different from those described herein as "believed," "projected," 
"planned," "intended," "anticipated," "estimated" or "expected," or other 
words which reflect the current view of the Company with respect to future 
events.  We caution readers that these forward-looking statements speak only 
as of the date hereof.  The Company hereby expressly disclaims any obligation 
or undertaking to release publicly any updates or revisions to any such 
statements to reflect any change in the Company's expectations or any change 
in events conditions or circumstances on which such statement is based.
 

SOURCE  Lakeland Industries, Inc. 
Lakeland Industries, 631-981-9700; Christopher Ryan, CJRyan@lakeland.com; Gary 
Pokrassa, GAPokrassa@lakeland.com 
http://www.lakeland.com 
http://photos.prnewswire.com/prnh/20120611/NY21959LOGO 
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CO: Lakeland Industries, Inc.
ST: New York
NI: HEA CST LOAN MNA  
-0- Sep/16/2013 21:46 GMT
 
 
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