Miss Beverly Hills in Advanced Discussions to Acquire Carlos Knitting Mill, LLC

Beverly Hills, California, Oct. 17, 2005 – Miss Beverly Hills, Inc. (“MBH”) announced today that it is in advanced negotiations with Carlos Knitting Mill (the “Mill”), LLC a California Corporation led by owner of the Mill, Mr. Carlos Bilbao for 100% acquisition of the Mill in exchange of Common stock of MBH in a private transaction. The Company expects that it will reach a memorandum of understanding with Carlos Knitting Mill, LLC shortly and will execute definitive agreements soon thereafter. There can be no assurance that any agreement ultimately will be reached or that the sale will be completed.

Commenting on the announcement, Alex De Khtyar, President of MBH stated, “This acquisition will give us the opportunity to add fabric manufacturing in MBH value chain and we will continue our strategy to vertically integrate design, production, merchandising and retail functions going forward.”

Carlos Bilbao, President of the Mill said; “In my 36 years of experience in the textile industry, both as a factory owner and fabric designer, I had seen the positive difference that it makes to have a vertical business operation. Strong know-how needs not only to begin with good fabric design supported by controlled manufacturing and superior quality but also to continue up to retail and distribution. MBH and Mill synergy will produce a business reality based in a consistent higher quality and value added for the customers.”

About Miss Beverly Hills, Inc.

Miss Beverly Hills, Inc. (the “Company” or “MBH”) headquartered in Beverly Hills, California is a multi business company, created around the brand name which it owns, “Miss Beverly Hills Inc”™. The Company is presently has focused itself to become a global leader in designing, marketing, retailing, distributing and licensing distinctive line of women’s contemporary lifestyle collections of apparel, accessories, and complementary consumer products in the entertainment and cosmetics industry. For more information, visit http://www.missbeverlyhills.com.

About Carlos Knitting Mill, LLC

Carlos Knitting Mill, LLC, located in Vernon, California is a design knitting operation with capacity to knit natural, man made and special fibers, all of them with or without lycra. The range of fabric is vast, having technical records and a very unique showroom library more than 12,000 fabrics produced, being jacquards, laces, and designer fabrics within them. The company is well established, running under the same key people since 1986.

Disclaimer:

In this press release, all statements other than statements of historical fact are forward looking statements that involve risks and uncertainties and actual results could differ. These forward-looking statements are based on assumptions that we have made in light of our experience and on our perceptions of historical events, current conditions, expected future developments and other factors we believe are appropriate under the circumstances. We believe that these forward-looking statements have a reasonable basis, however actual events may be different but any forward looking statement speaks only as of today. It is impossible for us to predict how new events or developments may affect us. The Company disclaims any intention or obligation to update or revise any forward-looking statements, either to reflect new information or developments or for any other reason.