Nitches' Announces Backwoods(R) Store Expansion Including E-Retail

Fort Worth Grand Opening July 26-27th Represents the First of 4 New Stores

Nitches, Inc. (NASDAQ: NICH) today announced that its Backwoods® subsidiary is being positioned for revenue growth through significant store expansion plans. Current commitments include:

--  The grand opening this weekend of Backwoods' largest store, in Fort
    Worth, Texas.
--  A scheduled October store opening in affluent Overland Park, Kansas.
--  Implementation of online shopping at Backwoods.com in time for Holiday
    2008.
--  Signing of a new store commitment at The Meadows at Lake St. Louis in
    Missouri.
    

Backwoods® Fort Worth Grand Opening

Backwoods® will host a grand opening celebration this weekend, July 26-27th, in Fort Worth, Texas, to mark the opening of its newly relocated and expanded Backwoods® store at 2727 West 7th Street, in the heart of the city's vibrant Cultural District. The two-story, free-standing store is one of the first to open in the widely touted West 7th development that features retail, office, hotel and residential space. At 14,000 square feet the store footprint almost triples the size of Backwoods' previous location and will be the largest in the eight store chain.

"Because of the incredible support of our customers in Fort Worth, we wanted to open a larger store that can offer even more products," said Jennifer Mull, Backwoods CEO. "We work hard to find just the right merchandise to inspire active adventure in a variety of ways in our customer's lives. Being in Fort Worth where the environment is ideal for hiking, kayaking, fly fishing and many other outdoor pursuits is a perfect fit to deliver the complete Backwoods customer experience."

The grand opening weekend will feature day-long activities including product giveaways, free food, live music, a climbing wall and vendor-hosted product demonstrations. A percentage of weekend sale proceeds will be donated to Streams and Valleys, Inc., which coordinates the beautification and recreational development of the nearby Trinity River Valley (www.streamsandvalleys.org). Since 1978 Backwoods® has been a part of the culture of Fort Worth and this new store reinforces the commitment of Backwoods® to the community and the active lifestyle of Fort Worth residents.

Backwoods® Overland Park Opening October 2008

Construction remains on schedule for the October 2008 opening of a free-standing Backwoods store location at the flourishing Corbin Park in affluent Overland Park, Kansas. The 10,000 square foot store sits prominently at the front of Corbin Park, a lifestyle mall featuring upscale national retailers, local boutiques and premier restaurants. Upon completion the mall will feature over 1.1 million square feet of retail space serving nearly 200,000 people in the surrounding community, where average household income exceeds $160,000 annually, and generally the 2.3 million residents of the greater Kansas City area. The planned grand opening celebration will include many of the same activities and offerings as the Fort Worth event.

Backwoods.com Selling Online for Holiday 2008

Backwoods.com is being upgraded and enhanced to offer online shopping for direct to consumer and ship to store fulfillment. The online store is planned to go live in time for the 2008 holiday season. The site will introduce innovative promotional, cross-selling and product review features to outdoor e-retailing. Backwoods CEO Jennifer Mull observed, "Outdoor industry studies indicate that product reviews are a key driver of online sales and Backwoods,com will be certain to feature this functionality in an original and compelling manner." Backwoods.com will leverage the distribution infrastructure of Nitches to handle anticipated robust fulfillment demands.

Backwoods® St. Louis Opening Spring 2009

The first Backwoods store for 2009 is already under development with a commitment for The Meadows at Lake St. Louis, a burgeoning retail center in a high growth, high income suburb of St. Louis, Missouri. The open air lifestyle mall will feature approximately 260,000 square feet of specialty stores, smaller-scale anchor stores and restaurants.

About Backwoods®

Backwoods® is a specialty outdoor retailer with a 30 year history of providing customers an impressive assortment of top quality technical gear, clothing and footwear for active lifestyles and adventure travel. Backwoods® operates eight stores in Kansas, Nebraska, Oklahoma and Texas and is a wholly owned subsidiary of Nitches, Inc. Learn more about Backwoods® at www.backwoods.com.

About Nitches, Inc.

Nitches, Inc. has been designing and marketing quality products for niche markets since 1971. The Company's products are sold to better department stores, specialty boutiques, moderate department stores, and national and regional discount department stores and chains. The Company is headquartered in San Diego, California with offices in New York City, Los Angeles, Dallas, and Hong Kong. The Company's shares are traded on the NASDAQ Capital Market under the symbol NICH. Information about lines of business and brands offered can be found at www.nitches.com.

Except for historical information contained herein, the statements in this release are forward-looking and made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties that may cause the Company's actual results in future periods to differ materially from forecasted results. Those risks include, among other things, a softening of retailer or consumer acceptance of the Company's products, pricing pressures and other competitive factors, or the unanticipated loss of a major customer. The Company's results may also differ materially from period to period due to the seasonal nature of the Company's product lines. These and other risks are more fully described in the Company's filings with the Securities and Exchange Commission.