STRATEGIES

Danier anticipates that its business strategy over the next several years will include:

1.    1. ITS CORE BUSINESS OF LEATHER GARMENTS - As the leader in leather outerwear and sportswear in Canada, Danier will continue to focus on being the dominant destination for better leather outerwear and sportswear. During the first nine months of fiscal 2011, outerwear represented approximately 64% of Danier's total sales and sportswear represented another 9% of Danier's total sales.

2.    CONTINUED GROWTH OF ACCESSORIES - Accessory sales represented approximately 27% of total Company revenue during the first nine months of fiscal 2011. Danier's long-term objective is to continue to grow this line of business.

3.    SELECTIVELY OPEN NEW STORE LOCATIONS - Danier operates 60 shopping mall and street-front stores and 31 power centre locations (large format stores). Shopping mall, street-front and power centre locations will be selectively added where expected sales, store profit and return on investment criteria are met.

4.    INTERNATIONAL - Licensing opportunities for countries outside of North America will continue to be explored.