Cache Reports 16 Percent Comparable Store Sales Decrease in January 2009

Cache Inc., (NASDAQ: CACH), a specialty chain of women’s apparel stores with 293 stores open, reported January 2009 sales figures.

For the four-week January 2009 period ended January 24, 2009, comparable store sales (sales for stores open at least one year or more) decreased 16%, as compared to an increase of 7% in the prior-year period ended January 26, 2008. Total net sales for the four-week period decreased $2.8 million or 17% to $13.8 million, as compared to last year.

Thomas Reinckens, Chairman and CEO of Cache, Inc. commented: "Our January sales included a positive performance during the first week of the month, driven by dresses worn for the New Year’s holiday. However, sales trends declined throughout the month, as challenges related to the economy held back new purchases. We have taken a number of actions to position Cache for increased market share and to preserve cash flow during this tough economy. To this end, we will maintain and intensify our fashion newness, while providing increased value to our customers. At the same time, we continue to be focused on inventory and expense management, positioning us to achieve positive cash flow despite our expectations for sales to remain weak during the year.”

During the month, the Company closed two stores. Subsequent to month end, the Company closed an additional store and currently operates 293 locations.

About Cache, Inc.

Cache is a nationwide, mall-based specialty retailer of sophisticated, social occasion sportswear and dresses targeting style-conscious women. Cache targets women between the ages of 25 and 45 who have a youthful attitude, are self-confident and fashion-conscious, and require a missy fit. We operate 293 Cache and Cache Luxe stores primarily situated in central locations in high traffic, upscale malls in 43 states, the Virgin Islands and Puerto Rico.

Certain matters discussed within this press release may constitute forward-looking statements within the meaning of the federal securities laws. Although Cache, Inc. believes the statements are based on reasonable assumptions, there can be no assurance that these expectations will be attained. Actual results and timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors, including, without limitation, ability to successfully open new stores, introduction of the Cache Luxe concept, dependence on management, dependence on vendors and distributors, reliance on foreign manufacturers, material weakness in our internal controls, industry trends, merchandise and fashion trends, competition, seasonality and changes in general economic conditions and consumer spending patterns, as well as other risks outlined from time to time in the filings of Cache, Inc. with the Securities and Exchange Commission.