FOLLI FOLLIE'S INCREASED FINANCIAL RESULTS FOR THE FIRST SEMESTER OF 2004 - Athens, August 26th, 2004. Folli Follie announces a significant increase in usage, revenues and EBITDA for the semester ended 30 June 2004. Consolidated sales for the period January 1st 2004 to June 30th 2004 increased by 28% reaching 90 M euros versus 70,4 M euros of the same period in 2003.

Consolidated Earnings Before Taxes after Minority Interests was 34,2 M euros, a 28% increase compared to 26,7 M euros in June 2003. Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA) increased by 26% to 30,2 M euros versus 23,9 M euros in the previous year. With regard to the parent company Folli Follie S.A., financial results in the first semester of 2004 reached 18,3 M euros of consolidated sales, increased by 0,5% in comparison to the same period in 2003. Earnings Before Tax grew by 36% from 9,2 M euros in 2003 to 12,5 M euros in 2004. In an analysis of total sales by looking at each region, it appears that Japan accounted for 21%, the rest of Asia 42%, Greece 7%, the rest of Europe 15% and Travel Retail operations reached 15%. According to the sales per product category , jewellery account for 65% of sales, watches account for 28% and accessories account for 7%.

Folli Follie is a Greek company which designs, manufactures and distributes jewellery, watches and fashion accessories under the Folli Follie brand. Nowadays, Folli Follie is active in more than 20 countries, has over 250 points of sale, and continues to develop new strategically important markets around the world while strengthening its presence in existing ones.