GRAND RAPIDS, Mich., and NEW YORK, May 7 /PRNewswire/ -- Steelcase Inc. (NYSE: SCS), the world's preeminent designer and manufacturer of high-performance work environments, and Coach Inc. (NYSE: COH), a leading marketer of modern American accessories, known for the highest level of craftsmanship, today announced a licensing agreement.

Under the terms of the agreement, Steelcase will license the Coach mark and explore joint marketing and product development opportunities, the first of which will be the melding of Steelcase's Leap technology and Coach's classic design and premium leather in the development of the Leap® Chair Coach® Edition.

A first of-its-kind partnership in both the office furniture manufacturing and high-end consumer goods industries, Steelcase and Coach will leverage each other's expertise to offer consumers high-end products with superior design and advanced ergonomics to outfit the home office and executive workplace. This alliance marks Steelcase's first foray into the high-end, luxury fashion arena and Coach's introduction to high technology and contract workplace design.

``Through our agreement with Coach, Steelcase can now offer our corporate customers and consumers the durability, comfort and flexibility of Steelcase products, combined with the modern designs and finest quality leathers from Coach,'' said Jan Carlson, Director of Seating Marketing at Steelcase Inc. ``This agreement allows Steelcase and Coach - the market leaders in their respective industries -- to capitalize on the equity each brand possesses, giving them access to new markets and opportunities for new product development.''

``We chose Steelcase because it is a marketing driven company offering the highest level of technology and quality in the marketplace,'' said Reed Krakoff, President and Executive Creative Director for Coach. ``Combining Steelcase and the modern American design sensibility of Coach will bring a new level of sophistication and design to the home or corporate office.''

The first product resulting from this relationship will be the Leap Chair Coach Edition, which provides the most advanced seating technology for the home or office combined with unparalleled style and quality for discerning consumers.

The Leap Chair, Coach Edition will be introduced this June at NeoCon 2001 held at the Merchandise Mart in Chicago, and is targeted to be available to consumers in November 2001. This agreement will allow Steelcase and Coach to co-market through both Steelcase's dealer network and Coach's retail outlets.

About Steelcase

Steelcase Inc. helps individuals and organizations around the world to work more effectively by providing knowledge, products and services that enable customers and their consultants to create work environments that harmoniously integrate architecture, furniture and technology. Founded in Grand Rapids, Michigan, in 1912, the company has led the office furniture in sales every year since 1974. Its product portfolio includes interior architectural products, furniture systems, technology products, seating, lighting, storage and related products and services. Fiscal 2001 global revenues were approximately $3.9 billion. Steelcase Inc. (http://www.steelcase.com) and its subsidiaries have dealers in more than 800 locations, manufacturing facilities in more than 30 locations and more than 20,000 employees around the world. Its stock trades on the NYSE under the symbol SCS.

About Coach

Coach Inc. with headquarters in New York, is the leading American marketer of fine accessories and gifts for women and men, including handbags, business cases, furniture, luggage and travel accessories, wallets, footwear, watches, 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 800-262-2411 and through Coach's website at http://www.coach.com. Coach's shares are traded on The New York Stock Exchange under the symbol COH.

SOURCE: Steelcase Inc. and Coach Inc.