MANSFIELD, Massachusetts, September 13 /PRNewswire/ --

SAMSONITE CORPORATION (OTC Bulletin Board: SAMC) today reported revenue
of US$292.9 million, operating income of US$16.8 million and net loss to
common stockholders of US$7.0 million, or net loss of US$0.01 per common 
share, for the quarter ended July 31, 2007. These results compare to revenue 
of US$257.5 million, operating income of US$13.9 million and net loss to 
common stockholders of US$6.0 million, or net loss of US$0.03 per common 
share, for the second quarter of the prior year. Operating income was reduced 
by charges of US$3.9 million in fiscal 2008 and US$4.9 million in fiscal 2007 
for the write-off of deferred offering costs related to terminated secondary 
stock offerings which were commenced but not completed in both years, as well 
as restructuring charges of US$0.3 million in fiscal 2008 and US$1.8 million 
in fiscal 2007. The restructuring charges relate to the closure of the 
Company's Denver, Colorado facilities and related consolidation of its 
corporate functions in its Mansfield, Massachusetts office and the planned 
relocation of its distribution function from the Company's Denver, Colorado 
facilities to Jacksonville, Florida.

For the six months ended July 31, 2007, revenue was US$557.6 million,
operating income was US$36.3 million and net loss to common stockholders was
US$10.0 million, or net loss of US$0.01 per common share. These results
compare to revenue of US$498.5 million, operating income of US$33.1 million
and net loss to common stockholders of US$5.0 million, or net loss of US$0.02
per common share, for the first half of the prior year. Operating income
reflects deductions for restructuring charges of US$1.6 million in fiscal
2008 and US$1.8 million in fiscal 2007, the write-off of deferred stock
offering costs of US$3.9 million and US$4.9 million in fiscal 2008 and fiscal
2007 respectively, and a charge for asset impairment of US$1.6 million in
fiscal 2007. The fiscal 2007 asset impairment charge relates to the closure
of the Company's manufacturing plant in Samorin, Slovakia. Net income for the
prior year includes a benefit of US$1.4 million or US$0.01 per common share,
relating to the cumulative effect of an accounting change. Without this
benefit, the prior year net loss to common stockholders would have been
US$6.4 million or US$0.03 per common share.

Adjusted EBITDA (earnings before interest, taxes, depreciation and
amortization, as adjusted to exclude certain items of other income and
expense, minority interests, write-off of deferred stock offering costs,
restructuring charges, asset impairment charges, stock-based compensation
expense, ERP system implementation expenses, preferred stock dividends, and
to include realized currency hedge gains and losses), a measure of core
business cash flow, was US$32.4 million for the second quarter of the current
year compared to US$30.7 million for the second quarter of the prior year.
For the first six months of fiscal 2008, adjusted EBITDA was US$63.2 million
compared with US$59.9 million for the first six months of fiscal 2007.

Chief Executive Officer, Marcello Bottoli, stated: "The Company posted a
robust second quarter performance, underscoring the continuing success of our
strategy to transform Samsonite into the world's leading travel lifestyle
brand. Sales during the quarter increased 13.7% (10.8% on a constant currency
basis), with solid progress in each major region. Importantly, subsequent to
the slowdown in shipments experienced in our North American operations in the
first quarter, due to the implementation of our new ERP system in February
2007, we saw a return to near normal shipments and store in-stock percentages
in the second quarter. Sales in North America grew 5.6% in the period,
following an 11.0% decline in the first quarter. Overall, I am very pleased
with the Company's performance. We continue to strengthen our position in
every market segment and have built a solid platform for future growth.
Looking ahead, we look forward to continuing our successful journey together
with CVC Capital Partners".

Richard Wiley, Chief Financial Officer, commented: "The company continues
to deliver increased Adjusted EBITDA, while simultaneously achieving top line
growth -- the latter driven by growth in the Asian region, price increases
and the consolidation of new joint ventures in Asia and the U.S., subsequent
to their acquisition in the second quarter of fiscal 2007. Adjusted EBITDA
rose 5.6% to US$32.4 million in the second quarter, an increase of US$1.7
million over the prior year. Second quarter gross profit margins rose 270
basis points year-on-year to reach 52.9%, driven by a combination of price
increases, increased sales of higher margin products and lower fixed
manufacturing and direct product costs. The Company continues to make good
progress on its working capital efficiency, with average net working capital
efficiency improving 40 basis points over the prior year second quarter, to
15.3% of sales".

Samsonite is one of the world's largest manufacturers and distributors of
luggage and markets luggage, casual bags, business cases and travel-related
products under brands such as SAMSONITE(R) Black Label, SAMSONITE(R),
AMERICAN TOURISTER(R), LACOSTE(R) and TIMBERLAND(R).

NON-GAAP DISCLOSURES: A summary of the Company's calculation of Adjusted
EBITDA, a reconciliation of Adjusted EBITDA to net income (loss), and a
summary of the Company's earnings (losses) under generally accepted
accounting principles are attached as part of this release. As calculated by
the Company, "Adjusted EBITDA" includes earnings before interest, taxes,
depreciation and amortization, as adjusted to exclude certain items of other
income and expense, minority interests, write-off of deferred stock offering
costs, restructuring charges, asset impairment charges, stock-based
compensation expense, ERP project expenses, preferred stock dividends, and to
include realized currency hedge gains and losses. Adjusted EBITDA is not
intended to replace operating income, net income, cash flow or any other
measures of performance and liquidity under generally accepted accounting
principles in the U.S. ("GAAP"). Rather, Adjusted EBITDA is a measure of
operating performance that investors may consider in addition to such other
measures. Adjusted EBITDA provides no information on a company's capital
structure, borrowings, interest costs, capital expenditures, and working
capital movement or tax position. Adjusted EBITDA does not represent funds
available for discretionary use by the Company because those funds are
required for debt service, capital expenditures, working capital, and other
commitments and obligations. The Company believes Adjusted EBITDA is,
nevertheless, a measure of operating performance commonly reported and widely
used by analysts, investors and other interested parties because it
eliminates differences in financial capitalization and tax structures as well
as non-cash and non-operating charges to earnings. The Company's lenders also 
use EBITDA-based measures, which may differ from Adjusted EBITDA, to test
compliance with certain covenants. The Company also believes that disclosure
of these figures is meaningful to investors because they provide information
about the Company's operating performance without giving effect to certain
charges and costs that are not reflective of ongoing operations, thereby
facilitating company-to-company comparisons and analysis of the Company's
results from its core business. These measures are not intended to replace
operating income (loss) and net income (loss) as measures of operating
performance under GAAP. The Company also uses Adjusted EBITDA (modified for
currency caused fluctuations) for incentive compensation purposes.

Certain statements contained herein constitute "forward-looking
statements" within the meaning of the Private Securities Litigation Reform
Act of 1995. They can often be recognized by words such as "proposed," "may,"
"will," "anticipate," "believe," "estimate," "intend," "plan" and "expect",
and similar expressions (and their negatives). Forward-looking statements
involve numerous assumptions, known and unknown risks, uncertainties and
other factors that may cause actual and future performance or achievements of
the Company to be materially different from any future estimated results,
performance or achievements express or implied by such forward-looking
statements. These factors include, among others, events which negatively
affect consumer confidence or travel levels; general economic and business
conditions, including foreign currency fluctuations; complications associated
with our implementation of SAP information management software; changes in
interest rates; reliance on third party manufacturers; changes in consumer
demands and fashion trends; changes in methods of distribution and customer
purchasing patterns; factors associated with our concentrated voting stock;
factors associated with or exacerbated by our leveraged capital structure;
and competition. More information on the risks, uncertainties and other
factors affecting Samsonite Corporation may be obtained from the Company's
filings with the United States Securities and Exchange Commission.
Forward-looking statements are believed to be accurate as of the date of this
release, and the Company undertakes no obligation to update or revise said
statements as a result of future events.

Samsonite Corporation Earnings and Adjusted EBITDA Summary
    July 31, 2007 and 2006
    (in thousands, except per share data)
    (All amounts in US Dollars unless otherwise specified.)

                                       Three months ended   Six months ended
                                            July 31,            July 31,
                                          (unaudited)         (unaudited)
                                         2007     2006      2007      2006

    Net sales                          $292,864  257,506  $557,559   498,482
    Cost of goods sold                  137,855  128,214   261,953   245,959
      Gross profit                      155,009  129,292   295,606   252,523

    Selling, general and 
     admniistrative expenses            137,506  113,359   257,018   215,686
    Amortization of intangible assets       379      246       735       397
    Asset impairment charge                   -        -         -     1,623
    Restructuring expense, excluding  
     portion in cost of goods sold          275    1,755     1,577     1,755
      Operating income                   16,849   13,932    36,276    33,062

    Interest expense and amortization 
     of debt issue costs                (11,190)  (7,197)  (19,720)  (14,273)
    Interest income and other income  
     (expense), net                      (1,778)   1,090    (3,444)      582

    Income before income taxes, 
     minority interests and cumulative 
     effect of an accounting change       3,881    7,825    13,112    19,371
    Income tax expense                   (7,581)  (7,707)  (16,298)  (13,756)
    Minority interests in earnings of  
     subsidiaries                        (3,310)  (2,191)   (6,778)   (4,187)
      Net income (loss) before  
       cumulative effect of an  
       accounting change and preferred 
       stock dividends                   (7,010)  (2,073)   (9,964)    1,428
    Cumulative effect of an accounting  
     change                                   -        -         -     1,391

    Net income (loss)                    (7,010)  (2,073)   (9,964)    2,819
    Preferred stock dividends                 -   (3,957)        -    (7,837)

    Net income (loss) to common  
     stockholders                       $(7,010)  (6,030)  $(9,964)   (5,018)

    Net income (loss) per common 
     share - basic and diluted
    Income (loss) per common share  
     before cumulative effect of an 
     accounting change and preferred 
     stock dividends                     $(0.01)  $(0.01)   $(0.01)    $0.01
    Cumulative effect of an accounting  
     change                                   -        -         -      0.01
    Net income (loss)  per common 
     share - basic and diluted           $(0.01)  $(0.03)   $(0.01)   $(0.02)

    Weighted average shares 
     outstanding - basic and diluted    742,253  227,175   742,133   227,167


    Net income (loss) to common  
     stockholders reconciled to 
     Adjusted EBITDA
    Net income (loss) to common  
     stockholders                       $(7,010)  (6,030)  $(9,964)   (5,018)
    Cumulative effect of an accounting  
     change                                   -        -         -    (1,391)
    Preferred stock dividends                 -    3,957         -     7,837
    Interest expense and amortization 
     of debt issue costs                 11,190    7,197    19,720    14,273
    Interest income                        (281)    (701)     (526)   (1,272)
    Other (income) expense, net           2,059     (389)    3,970       690
    Income tax expense                    7,581    7,707    16,298    13,756
    Minority interests in earnings 
     of subsidiaries                      3,310    2,191     6,778     4,187
    Depreciation expense                  5,703    4,830    10,775     9,965
    Amortization of intangible assets       379      246       735       397
    Asset impairment                          -        -         -     1,623
    Realized currency hedge gains          (301)      58      (301)       58
    Restructuring charges and expenses      601    2,798     1,903     2,798
    ERP system implementation expense     3,876    2,449     7,293     4,054
    Write-off of deferred stock 
     offering costs                       3,873    4,931     3,873     4,931
    Stock compensation expense            1,444    1,474     2,670     3,042

    Adjusted EBITDA                     $32,424   30,718   $63,224    59,930



Web site: http://www.samsonite.com