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Fossil and Sony Ericsson Mobile Communication Team to Integrate Watches and Mobile Phones

FOR IMMEDIATE RELEASE

Fossil and Sony Ericsson Mobile Communication Team to Integrate Watches and Mobile Phones

Fashion Icon and Cellular Pioneer Leverage Functionality of the Two Most Commonly used Devices

Richardson, Texas and Stockholm, Sweden: September 28, 2006 — Fossil, Inc. (NASDAQ: FOSL), a leading innovator of watches and fashion accessories and Sony Ericsson, a leading innovator in mobile phone technology and Bluetooth pioneer will soon roll out several lines of Bluetooth wireless technology-enabled watches.

Fossil will be introducing the ABACUS MobileWear and FOSSIL Caller ID watches and Sony Ericsson will be introducing its own line of jointly developed products. All watches will seamlessly link to most Sony Ericsson Bluetooth-enabled mobile phones.

“Together we have created a way to take control and simplify your mobile life,” said Daniel Sandblom, product planner for Sony Ericsson. “The Bluetooth watch represents the best of both the world of fashion in its classic attractive design and the world of technology in its innovative functionality. That synergy will change your relationship with your mobile phone.”

The Bluetooth watch is the culmination of a longstanding objective for Sony Ericsson but represents an exciting future direction for mobile communication. It consolidates the company’s reputation as a pioneering innovator in both mobile communication and Bluetooth while the partnership with Fossil has provided the perfect opportunity to offer a desirable and exclusive watch with genuine technical innovation.

Sony Ericsson’s commitment to exploiting advancing technology in its handsets and accessories in order to extend the boundaries of integrated mobile communication, coupled with Fossil’s commitment to the evolution of what a watch can be explains the timing of the Bluetooth watch. No longer merely a timepiece, using a stylish wrist watch as a discreet user interface to personal mobile communication will become an essential part of handling calls and controlling the media player on a mobile phone.

The Bluetooth technology enabled-watches are a convenient and efficient way for people to stay connected without compromising fashion. By combining style with technology, Fossil and Sony Ericsson have created a way to incorporate the convenience of the Bluetooth technology with a fashionable and socially acceptable way to manage a mobile phone.

Watches are continuing to evolve. “Watches are the perfect ‘glanceable’ display. They are simple to use, fashionable, and well accepted,” said Bill Geiser, Vice President of watch technology for Fossil. “The immediate opportunity is for watches to deliver convenient new services that simplify how people stay connected with one another.”

About Fossil Inc.
Fossil is a design, development, marketing and distribution company that specializes in consumer products predicated on fashion and value. The company’s principal offerings include an extensive line of fashion watches sold under the company’s proprietary and licensed brands. The company also offers complementary lines of small leather goods, belts, handbags, sunglasses, jewelry and apparel. The company’s products are sold in department stores and specialty retail stores in over 90 countries around the world, in addition to the company’s e-commerce website at www.fossil.com. Certain product, press release and SEC filing information concerning the Company is available at the website.

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About Sony Ericsson
Sony Ericsson Mobile Communications serves the global communications market with innovative and feature-rich mobile phones, accessories, and PC-cards. Established as a joint venture by Sony and Ericsson in 2001, with global corporate functions located in London, the company employs approximately 6,000 people worldwide, including R&D sites in Europe, Japan, China and America. Sony Ericsson is the global title sponsor of the Women’s Tennis Association, and works with the Association to promote the Sony Ericsson WTA Tour in over 80 cities during the year. For more information on Sony Ericsson, please visit www.SonyEricsson.com

All other brands, product names, company names, trademarks and service marks are the properties of their respective owners. All rights reserved.

Fossil, the Fossil logo, Caller ID Wristwatch, ABACUS, and MobileWear are trademarks of Fossil, Inc.

The Bluetooth word mark and logos are owned by the Bluetooth SIG, Inc. and any use of such marks by Fossil are under license. Other trademarks and trade names are those of their respective owners.

# # #

Press Contacts:
Shannon Gotthelf
MRB Public Relations, Inc.
732.758.1100
sgotthelf@mrb-pr.com

Katrin Reifeiss
Fossil
212.971.7860
kreifeiss@fossil.com

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