Michael Anthony Jewelers, Inc. Announces $70 Million New Credit Facilities and Year-End Results

Michael Anthony Jewelers, Inc. Announces $70 Million New Credit
Facilities and Year-End Results 


MT. VERNON, N.Y., May 11  /PRNewswire-FirstCall/ -- Michael Anthony Jewelers,
Inc. (MAJJ.PK), a leading marketer and manufacturer of gold jewelry, today
announced that it has entered into new credit facilities amounting to $70
million through April 28, 2006. A gold consignment and working capital facility
has been signed with a group of lenders, including ABN AMRO Bank, CommerzBank,
JPMorgan Chase and Sovereign Bank.

Michael Paolercio, Chief Executive Officer said, "We have had a long term
relationship with this group of lenders and are pleased with their vote of
confidence in Michael Anthony's ability to execute on its business plan. These
new credit facilities will allow Michael Anthony to operate its manufacturing
and distribution centers at optimum levels and support its customers' needs."
Mr. Paolercio continued, "This support of our banks is confirmation that they
recognize that Michael Anthony is one of the leading gold jewelry manufacturers
in the United States and that they are pleased to continue our relationship by
providing the financial resources that are necessary in order for Michael
Anthony to achieve its marketing strategies."

Mr. Paolercio also commented on the Company's performance for the fiscal year
ended December 31, 2004, "After suffering losses on decreasing sales during the
past two years, our operations showed considerable improvement with higher
sales and a return to profitability."

"Our gross profit margin for the year improved despite higher gold prices,"
Paolercio said, "as we continued to reorganize the Company by reducing our
manufacturing operations in New York and shifting more production work to out
Dominican factory. We reduced our selling, general and administrative expenses
by consolidating and improving efficiencies throughout the Company."

In conclusion, Mr. Paolercio stated, "We believe we have made considerable
progress and our successful efforts provide us with energy to move forward. The
road ahead, however, is not a smooth one. Escalating oil prices, higher
interest rates and sagging consumer confidence combined with a sluggish retail
climate are just a few of the formidable obstacles we face."

Michael Anthony Jewelers is a leading designer, marketer and manufacturer of
branded affordable fine jewelry and watches, whose customers include jewelry
chain stores, discount stores, department stores, television shopping networks
and wholesalers.

  MICHAEL ANTHONY JEWELERS, INC.
  Financial Highlights
  (in thousands)

                                         Year Ended         11 Months Ended
                                      December 25, 2004    December 27, 2003
  Net Sales                              $112,500                $92,539
     Cost of Goods Sold                    90,026                 75,483
          Gross Profit on Sales            22,474                 17,056
     Selling, General and
      Administrative Expenses              18,857                 18,465
          Operating Income (Loss)           3,617                 (1,409)
  Other Income (Expenses)
     Gold consignment fee                  (1,586)                (1,162)
     Interest expense                      (1,162)                  (939)
     Interest income                           18                     11
     Other income                             446                    509
          Total Other Expenses             (2,284)                (1,581)
  Income (Loss) Before Income Taxes         1,333                 (2,990)
     Income Tax Expense (Benefit)             538                 (1,091)
          Net Income (Loss)                  $795                ($1,899)



Except for historical information contained herein, the matters set forth in
this news release are forward-looking statements that involve certain risks and
uncertainties that could cause actual results to differ materially from those
in the forward-looking statements. These uncertainties include general economic
conditions, jewelry industry conditions, the seasonality of the Company's
business, the retail sales environment, fluctuations in gold prices, the
effects of competition and the success of new products and programs. 

DATASOURCE: Michael Anthony Jewelers, Inc.



CONTACT:  Michael W. Paolercio, Chief Executive Officer of Michael

Anthony Jewelers, Inc., [phone] Ext. 290



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

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