NEW YORK, Dec 8, 2011 (GlobeNewswire via COMTEX) -- Xcel Brands, Inc. (otcqb:XELB) has signed an exclusive licensing agreement with Jay Franco & Sons, Inc. This agreement will give Jay Franco the license to manufacture and distribute bedding, bath and accessories for the Isaac Mizrahi New York brand. The collection will be available at retail in Spring 2013.

Robert D'Loren, Chairman and Chief Executive Officer, Xcel Brands, Inc. said, "We are excited to partner with Jay Franco to launch our bed and bath collection. This partnership will be fundamental in building the Isaac Mizrahi New York home collection."

Isaac Mizrahi, Creative Director, Xcel Brands, Inc. said, "Of all design, this is my favorite. By nature I'm a homebody so I think about these categories all the time. Good design is never more important than in the objects you surround yourself with. A beautiful happy home equals a beautiful happy life. I am excited to partner with Jay Franco on our bed and bath collection."

Joe A. Franco, Chief Executive Officer, Jay Franco & Sons, said, "We are truly excited about our collaboration with Xcel Brands and their talented team. At Jay Franco we stand for creativity, great design and exceptional quality. Together, we will bring the consumer a home collection we describe as 'classic with a twist'."

Xcel Brands, Inc.("Xcel") engages in the acquisition, design, licensing, and marketing of consumer brands. In 2011, Xcel acquired designer apparel brand Isaac Mizrahi New York. Xcel's management team consists of executives with significant experience in creating and growing businesses in the branded consumer products industry and a proven track record for successfully completing multiple similar acquisitions. Xcel will seek to acquire brands that it can utilize in a multi-channel distribution strategy (bricks and mortar, internet retailers and interactive media) with a focus on identifying designers or celebrities with personalities that connect directly with consumers through social and other media. www.xcelbrands.com

Isaac Mizrahihas been a leader in the fashion industry for almost 30 years. Since his first collection in 1987, Mr. Mizrahi's designs have come to stand for timeless, cosmopolitan style. He has been awarded four CFDA awards, including a special award in 1996 for the groundbreaking documentary "Unzipped." In December 2009, Mr. Mizrahi launched his lifestyle collection, ISAACMIZRAHILIVE! on QVC. In addition, television audiences have come to value Isaac's media presence through his roles on "Project Runway All Stars" for Lifetime, "The Fashion Show" for Bravo and his own series for both Oxygen and the Style Network. www.isaacmizrahiny.com

Jay Franco and Sons, Inc. is a New York, NY based company that provides bedding, bath, beach, kitchen and toys to every major retailer in the U.S. and Canada. Since 1947, Jay Franco has consistently brought innovation and imagination to home fashions. Jay Franco markets and sells products under a diversified portfolio of licensed, branded and private label products including well known brands such as Disney, Nickelodeon, Marvel, Sesame Street, Star Wars, Mattel, Angry Birds and Happy Nappers among others. Jay Franco and Sons is a privately owned company. For more information on Jay Franco and Sons, please call (212) 679-3022 or visit www.jayfranco.com .

This news release was distributed by GlobeNewswire, www.globenewswire.com

SOURCE: Xcel Brands

        CONTACT: Erika Stair
        Director of Public Relations
        Xcel Brands, Inc.
        347-727-2476
        Estair@xcelbrands.com