NEW YORK--(BUSINESS WIRE)--Aug. 12, 2004--Coach, Inc. (NYSE:COH), a leading marketer of modern classic American accessories, today announced that its Board of Directors has approved a $200 million increase in its common stock repurchase program. These shares may be purchased during the next two years.

Pursuant to this program, the company may repurchase shares of its common stock from time to time, subject to market conditions and at prevailing market prices, through open market purchases as determined by senior management of the company. Repurchased shares of common stock will become authorized but unissued shares, and may be reissued in the future for general corporate or other purposes. The company may terminate or limit the stock repurchase program at any time.

Coach launched its initial $80 million stock repurchase program in September 2001 and the Board of Directors increased the authorization by an additional $100 million in January 2003. The company has since acquired a total of 7,089,300 shares of its outstanding common stock (adjusted for stock splits) at a cost of approximately $115 million under this program at an average cost of $16.19 per share. Approximately $65 million remains available to repurchase shares under this program. Coach's new repurchase program both increases this amount by $200 million to $265 million and extends the duration of the plan through August, 2006.

Lew Frankfort, Chairman and Chief Executive Officer of Coach, Inc., said, "This program underscores our commitment to enhance shareholder value, as we believe that current market conditions present an excellent investment opportunity for the Company, based upon our confidence in Coach's strong outlook. Further, this action reflects our belief that our substantial cash flow will be more than sufficient to support both our distribution growth and this stock repurchase program."

The Company also noted that Mr. Frankfort has cancelled the last tranche of his existing trading plan pursuant to Rule 10b5-1 of the Securities Exchange Act, in which he had previously planned to sell 242,000 shares of Coach common stock starting this week.

Coach, with headquarters in New York, is a leading American marketer of fine accessories and gifts for women and men, including handbags, women's and men's small leathergoods, business cases, weekend and travel accessories, footwear, watches, outerwear, sunwear, and related accessories. Coach is sold worldwide through Coach stores, select department stores and specialty stores, through the Coach catalogue in the U.S. by calling 1-800-223-8647 and through Coach's website at www.coach.com. Coach's shares are traded on The New York Stock Exchange under the symbol COH.

This press release contains forward-looking statements based on management's current expectations. These statements can be identified by the use of forward-looking terminology such as "may," "will," "should," "expect," "intend," "estimate," "are positioned to," "continue," "project," "guidance," "forecast," "anticipated," or comparable terms. Future results may differ materially from management's current expectations, based upon risks and uncertainties such as expected economic trends, the ability to anticipate consumer preferences, the ability to control costs, etc. Please refer to Coach's latest Annual Report on Form 10-K for a complete list of risk factors.

CONTACT:
Coach
Analysts & Media:
Andrea Shaw Resnick
212-629-2618