NEJ Announces Acquisition of Bills Khakis

BEACON FALLS, Conn.–(BUSINESS WIRE)–NEJ Inc., a global leader in reverse logistic excess inventory solutions
for specialty store retailers and famous brands, announced today the
acquisition of Bills Khakis, the iconic American brand and designer of
premium men’s sportswear, from private equity firm Source Capital, LLC.

NEJ partnered with Source Capital on the original acquisition of Bills
Khakis in December of 2015 and will now fully own and operate the
business in Beacon Falls, CT under NEJ’s Private Brands Division.

Bills Khakis is an iconic apparel brand with a 25 year history of
producing high quality menswear products that are proudly cut and sewn
in the Unites States,” said Ed Mascolo, Founder and President of NEJ,
Inc. “We are excited to leverage our 26 years of retail brand expertise,
disciplined operational capabilities and facilities as well as deep
industry relationships to build upon the tremendous history of the
brand, as we position Bills Khakis for its next chapter of growth.”

Bills Khakis heritage began replicating the World War II military issued
khaki, bringing a premium, deep pocketed khaki pant made of durable
fabrics to consumers for the first time. Bills Khakis’ core bottom
business was complimented by a classic collection of woven shirts,
boxers and belts, all made in the United States. Now, under NEJ’s
management, the company will focus on Bills Khakis’ core values of
offering superior product quality and fit on classic styles, with
updated sizing consistency that will allow NEJ to better scale the brand
for the future. Bills Khakis products have always and will continue to
be designed and manufactured in the United States. They will be
available for sale direct-to-consumers via the brand’s website and
through wholesale distribution to better specialty stores in America.

Bills Khakis has a unique niche in American cut and sewn menswear,
bringing its strong heritage of quality, superior fit and durability,
with a classic style that consumers are looking for today,” said
Mascolo. “I am proud to have this opportunity to lead the continuation
of the Bill’s legacy and continuing to offer these high-integrity
products to new generations of consumers for years to come.”

Mr. John Crocco, a menswear industry veteran, will lead the Bills Khakis
business and NEJ’s Private Brands Division, bringing 25 years of
experience to the team. Mr. Crocco most recently served as the SVP of
Merchandising and Design for Izod, a division of PVH and also previously
served as the Creative Director for Perry Ellis, and as the Director of
Product Development for J.Crew.

Founded in 1990 by Ed Mascolo, NEJ Inc. has become a trusted partner of
today’s top retailers and a global leader in creating customized
solutions for complex brand and excess inventory needs. The company
specializes in fulfilling the ‘second lifecycle’ of full-price products
performing reverse logistics. NEJ currently occupies 900,000 square feet
of warehouse capacity, with the infrastructure and ability to support
multiple divisions of business.

Mascolo continued, “As we look to the future of NEJ, we see tremendous
opportunities to add additional owned brands to our portfolio. By
leveraging our infrastructure, expertise and retail relationships, we
believe we are uniquely positioned to help brands capitalize on their
full potential and achieve their long-term growth objectives.”

About NEJ Inc.

Founded in 1990, NEJ Inc. (www.nejinc.com)
is a trusted advisor and global leader in supply chain solutions for
specialty stores, retailers and premium apparel brands, accessories,
footwear and home goods. NEJ has operations in the U.S. and Canada. For
more information please visit: www.nejinc.com

Contacts

ICR
Brittany Fraser, 646-277-1231
Brittany.Fraser@icrinc.com