Donna Karan International Inc.
Ticker: DK 550 Seventh Avenue
Exchange: New York Stock Exchange New York, New York 10018
Industry: Manufacturing (212) 789-1500

Type of Shares:Common Shares Filing Date:4/17/96
U.S. Shares:7,525,000 Offer Date:6/27/96
Non-U.S. Shares:3,225,000 Filing Price:$21.50
Primary Shares:10,750,000 Offer Price:$24.00
Secondary Shares:0 Gross Spread:$1.44
Offering Amount: $231,125,000 Selling:$0.87
Expenses:$4,100,000 Reallowance:$0.10
Shares Out After:21,487,934

ManagerTierPhone
Morgan Stanley & Co. IncorporatedLead Manager (212) 703-4797
Bear, Stearns & Co. Inc.Co-manager (212) 272-2000
Merrill Lynch & Co.Co-manager (212) 449-4600
Smith Barney Inc.Co-manager (718) 921-8473

Auditor: Ernst & Young
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 3/31/96 4/2/95 3/31/96
Revenue:$510.13$159.59$120.69Assets:$226.27
Net Income:$53.68$11.71$26.73Liabilities:$134.48
EPS:$0.91$0.32$0.20Equity:$91.79

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company is one of the world's leading international fashion design houses. The company designs, contracts for the production of, markets and distributes "designer" and "bridge" collections of men's and women's clothing, sportswear, accessories, and shoes under the Donna Karan New York and DKNY brand names, respectively. The company also develops, contracts for the production of, markets, and distributes collections of men's and women's fragrance, bath and body, and treatment products under the DK Men and Donna Karan New York brand names, respectively. In addition, the company selectively has granted licenses for the manufacture and distribution of certain other products under the Donna Karan New york and DKNY brand names, including hosiery, intimate apparel, eyewear, and, most recently, a license for children's apparel under the DKNY brand name in Europe and the Middle East.

Use of Proceeds
The proceeds from the offering will be used to pay over $116 million to members of the Takihyo Group and members of the Karan/Weiss Group, as well as to others, and to repay other debt.

Last updated: 10/28/96

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