SOURCE: OmniaLuo, Inc.

March 06, 2008 15:51 ET

OmniaLuo Implements State-of-the-Art Inventory System to Support Domestic Growth

SHENZHEN, CHINA--(Marketwire - March 6, 2008) - OmniaLuo, Inc. ("OmniaLuo" or the "Company") (OTCBB: OLOU), a China-based company engaged in the business of designing, developing, marketing and distributing fine women's apparel under the brand name OMNIALUO, announced today that it has commenced the implementation of a state-of-the-art inventory system throughout all of its retail stores in China. This new system will consolidate the inventory management of all stores into one automated platform, enable real-time inventory tracking and facilitate more efficient transfer and delivery of merchandise between locations and customers. OmniaLuo has successfully implemented this new system into 72 of its 156 stores, with an additional 20 stores to be upgraded by the end of the first quarter. The remaining stores will be upgraded later in 2008.

Contemporaneous with the closing of the reverse acquisition in October 2007, OmniaLuo completed a private placement of common stock and warrants to certain accredited institutional investors and other high net-worth individuals for gross proceeds of $6.15 million. As part of the use of proceeds, OmniaLuo allocated $0.4 million for the implementation of a new inventory sytem to enhance inventory management and improve operational efficiency. This capital expenditure fulfills OmniaLuo's use of proceeds commitment as promised to PIPE investors and supports the Company's growth strategy of capturing greater market share of China's $25 billion women's apparel industry.

"The implementation of this state-of-the-art inventory system represents a cornerstone of the infrastructure necessary to enable our Company to continue its rapid growth in the domestic market and beyond," stated Cindy Luo, Chairwoman and Chief Executive Officer of OmniaLuo. "These operational efficiencies will decrease our inventory holding costs and increase gross profits," added Ms. Luo.

About OmniaLuo, Inc.

OmniaLuo, Inc. (www.omnialuo.com), based in China's fashion capital of Shenzhen, is in the business of designing, developing, marketing and distributing fine women's apparel under the brand name OMNIALUO. OMNIALUO's apparel embodies elegance, femininity and sophistication for China's rapidly growing class of urban and affluent female professionals. With its rapid and strategic expansion plan, OMNIALUO plans to increase its retail presence across 29 provinces in China from its current 156 stores to 264 stores by year end 2008. Under the leadership of Cindy Luo, the Company's founder and award winning chief designer, OMNIALUO is positioned to become the Chinese brand equivalent of Donna Karan or Liz Claiborne.

Company Website

www.omnialuo.com

Fact Sheet

http://files.shareholder.com/downloads/OMNIL/217810816x0x131139/87e893bc-ed11-41a4-8b67-27be27cea326/OMNIALUO-Fact%20Sheet-09-04-07.pdf

Presentation

http://files.shareholder.com/downloads/OMNIL/217810816x0x158022/e9eaf5b2-3751-4440-8938-aa8e5a954acd/OmniaLuoPresentation.pdf

Video

http://omnil.client.shareholder.com/video/omnialuo.cfm

SAFE HARBOR FOR FORWARD-LOOKING STATEMENTS

This news release contains forward-looking statements, including statements that include the words "believes," "expects," "anticipates," or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance, or achievements of the Company to differ materially from those expressed or implied by such forward-looking statements. Factors that may affect these forward-looking statements include, among others, our dependency on our chief executive officer, principal stockholder and chief designer, our sensitivity to economic conditions and consumer spending in China, competition in our industry, our ability to effectively manage our growth, our ability to raise capital in the future, changes in China's economic or political situation, and other factors set forth in our Current Report on Form 8-K filed with the United States Securities and Exchange Commission in October 2007 or otherwise set forth from time to time in our other public filings. This news release speaks as of the date first set forth above and the Company assumes no responsibility to update the information included herein for events occurring after the date of this news release.

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