SOURCE: Talon International, Inc.

January 14, 2008 08:45 ET

Talon International Receives $1.5 Million of Marketable Securities in Debt Settlement

LOS ANGELES, CA--(Marketwire - January 14, 2008) - Talon International, Inc. (OTCBB: TALN), a leading global supplier of zippers, apparel fasteners, trim and interlining products, has received marketable securities valued at approximately $1.5 million in settlement of an outstanding note receivable due from Azteca Production International, Inc., a former distributor of Talon products.

The note receivable, originating in 2006 from prior unpaid accounts, had been in default for several months. In the quarter ended September 30, 2007, Talon recorded a reserve for impairment of the note receivable to operations for an amount equal to the outstanding balance, which totaled $2,127,653. The impairment reserve will be adjusted in the Company's fourth quarter 2007 operations to reflect the fair value of the securities received in this settlement. The settlement is subject to various terms and conditions that limit the open market sales, but allow private placement of the securities at the Company's discretion. Under its credit facility with Bluefin Capital, LLC, Talon is obligated to apply proceeds from the sale of these securities in excess of $600,000 to the payment of its outstanding term loan.

About Talon International, Inc.

Talon International, Inc. is a global supplier of apparel fasteners, trim and interlining products to manufacturers of fashion apparel, specialty retailers, mass merchandisers, brand licensees and major retailers. Talon manufactures and distributes zippers and other fasteners under its Talon® brand, known as the original American zipper invented in 1893. Talon also designs, manufactures, engineers, and distributes apparel trim products and specialty waist-bands under its trademark names, Talon, Tag-It and TekFit, to more than 60 apparel brands and manufacturers including Levi Strauss & Co., Juicy Couture, Ralph Lauren, Victoria's Secret, Target Stores, Wal-Mart, and Express. The company has offices and facilities in the United States, Hong Kong, China, India and the Dominican Republic and is expanding into Eastern Europe, Indonesia and Vietnam. For more information, go to www.talonzipper.com.

Forward-Looking Statements

This news release contains forward-looking statements made in reliance upon the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not guarantees of future performance and are inherently subject to uncertainties and other factors which could cause actual results to differ materially from the forward-looking statement. These statements are based upon, among other things, assumptions made by, and information currently available to, management. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Contact Information

  • Company Contact:
    Talon International, Inc.
    Rayna Long
    Tel (818) 444-4128
    Email Contact

    Investor Relations:
    Scott Liolios or Scott Kitcher
    Liolios Group, Inc.
    Tel (949) 574-3860