Norman Rich Appointed as President and CEO of Desius, LLC

Hanover Direct, Inc. (AMEX: HNV) and RS Software (India), Ltd. announced today that Norman A. Rich has been appointed to the position of President and CEO of Desius, LLC, the e-commerce software, systems and development business-to-business joint venture between the two companies. He will report to the Board of Managers of Desius, LLC. The appointment is effective immediately.

"We are fortunate to have Norm lead this important initiative because of his demonstrated track record in starting and building a major database business," stated Rakesh K. Kaul, President and Chief Executive Officer of Hanover Direct, Inc. "He will leverage Desius into being a market leader of web services via 24/7 webstore design & maintenance, systems integration and database marketing consulting for name brand general merchandise suppliers."

Mr. Rich will oversee the worldwide operations of Desius, LLC. He will be responsible for Desius’ facilities located in the United States as well as other facilities around the globe. Mr. Rich will have at his disposal the development and web design teams based in the United States, as well as the more than 100 web and Internet developers at Desius’ facility in Calcutta, India. With the projected high growth trends in Internet usage in Europe and Asia, Mr. Rich will also be responsible for pursuing additional opportunities in these important new markets.

"Desius has a mission to leverage global sourcing and bring its customers top quality, price performing solutions in the area of online retailing," said Raj Jain, Vice Chairman and Managing Director of RS Software (India), Ltd. "We are confident that under Norm’s leadership, Desius will assume a leadership position, helping its customers compete effectively in the global e-retailing space."

Joining Mr. Rich’s team is Tom Ball, Vice President of International Operations for Desius. Mr. Ball, instrumental during the start-up of the venture, will spend the next year at the Joint Venture facilities in India where Desius has an agenda to build world class infrastructure to service the global clientele. Desius, LLC, was established last year to develop software, systems and programming for Internet based and e-commerce applications in the direct marketing and retail industries.

Mr. Rich joins Desius from Dun & Bradstreet, a leading global provider of business-to-business credit, marketing, and purchasing information services, where he was Vice President in charge of creating and growing a new database-marketing venture called Information Warehouse Solutions. Mr. Rich has an additional 20 years of experience from his tenure at Unisys Corporation, a leading electronic business solutions company. At Unisys, he held senior level positions in the areas of consulting, sales, marketing, and engineering and was Vice President in charge of Unisys Customer Connection, a distribution and service initiative for customers that combines telesales centers and an in-the-field sales force.

About RS Software (India), Ltd.
RS Software Limited is a software services organization, focused on leveraging global sourcing to help its customers in the areas of remote outsourcing, developing e-commerce applications, transition of legacy application to internet enabled technology, managing legacy code applications, ERP/EAS services, IBM mainframe technologies with focus on verticals such as Financial Services, Health Care and Retail. To offer end to end e-commerce systems in the retail industry, the company has formed a strategic joint venture with Hanover Direct Inc., a premium player in the internet, e-commerce and fulfillment services in the direct marketing industry. RS Software’s mission is to deliver high quality, scalable, price performing solutions with corporate values driving the culture of maximizing returns to the customers, shareholders and employees of the organization. The Company has offices in Calcutta, Pune and Chennai - India, Phoenix – Arizona and San Mateo – California. RS Software is listed on the National stock markets in India. Information of RS Software (India) Limited can be accessed on the Internet at www.rssoftware.com.

About Hanover Direct, Inc.
Hanover Direct, Inc. (AMEX: HNV) and its business units provide quality, branded merchandise through a portfolio of catalogs and e-commerce platforms to consumers, as well as a comprehensive range of Internet, e-commerce, and fulfillment services to businesses. Hanover Brands, Inc. is comprised of the Company’s catalog and e-commerce web site portfolio of home fashions, apparel, general merchandise and gift brands, including Domestications, The Company Store, Turiya, Domestications Kitchen & Garden, Kitchen & Home, Encore, Improvements, Silhouettes International Male, Undergear, and Gump’s By Mail. Hanover Direct is the exclusive distributor of the Compagnie de la Chine brand in North America; the Company owns Gump’s, a retail store based in San Francisco; and the Company has a majority equity stake in Always In Style®. Each brand can be accessed on the Internet individually by name. erizon, Inc. is comprised of Keystone Internet Services, Inc. (www.keystoneinternet.com), the Company’s third party, end-to-end, fulfillment, logistics and e-care provider, and Desius, LLC, the Company’s joint venture with RS Software India, Ltd., offering 24/7-web shop services and e-commerce systems development. The erizon subsidiary also services the logistical, IT and fulfillment needs of the Hanover Brands subsidiary. Information on Hanover Direct, including each of its subsidiaries, can be accessed on the Internet at www.hanoverdirect.com.

CONTACT:

Hanover Direct, Inc.
Brian C. Harriss
Sr. VP – Chief Financial Officer
Tel: (201) 272-3224

AGG International, Public Relations
Paula Zwerdling / paula@aggintl.com
Paul Scott / paulscott@aggintl.com
Tel: (212) 869-8230

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