COUNTERFEITERS CONTINUE TO PROLIFERATE AS CONSUMERS CHOOSE TO IGNORE RISKS

NEW YORK, NY… April 30, 2004...

According to a recent survey conducted by Kessler International, the recognized global leader in anti-counterfeiting, the prevalence of counterfeit products is greater than ever before, and despite warnings of ties to terrorism and organized crime, U.S. consumers seem to be buying these phony goods in record numbers.

Out of the total number of people surveyed, a whopping 72 percent said they would consider purchasing counterfeit products, such as designer sunglasses, handbags and watches, if the price was low enough. When asked if they would still buy these goods if they knew the profits may support organized crime or terrorism, this number dipped to 55 percent. Not nearly as high, but still a significant portion in a nation that is especially jumpy about the possibility of terrorist attacks.

Unfortunately, the fact is that many consumers still see counterfeiting as a victimless crime, and many of those who do understand the economic impact simply don't care.

"If some company doesn't make a profit off me, so what?" replied one respondent. "If I can get a designer bag that looks real, and still have enough left over to make a couple car payments, I'd rather buy the fake one."

Others downplayed the risk of criminal elements profiting from the selling of knock-off merchandise.

"I'm really not worried about organized crime," said another. "Terrorism, maybe… but if I buy one or two things off the street once in a while, I doubt it's going to make much of a difference."

While willing purchasers of phony goods are fairly common, there are also a large number of people who buy counterfeits without knowing it, turning a blind eye to the fact that the prices are too good to be true. Consignment shops, "purse parties," the Internet… all are prime locations for imitations, and many consumers get more than they bargained for.

"I took my purse to the mall store to get the clasp repaired, and they told me it was a fake," a victim said. "I had no idea, it looked real enough and it was about half the retail price, so I never once thought it might be counterfeit. I was pretty shocked."

Most manufacturers wouldn't find it shocking at all. Counterfeit products, which may account for up to ten percent of worldwide trade, constitute a market that is worth hundreds of billions of dollars, and growing at a seemingly unstoppable pace. High profitability and low risk makes counterfeiting an extremely popular business, and copycats have increasingly sophisticated tools at their disposal, making the production of counterfeit products faster and easier by the day.

The repercussions of counterfeiting are widespread and numerous. Consumers may pay far too much for inferior merchandise they believe is genuine, or in the case of foods, pharmaceuticals, beauty products or vehicle parts, may be putting their lives in danger. The community suffers as well, as governments lose out on potential tax revenue and trade opportunities, while costs for fighting counterfeiting climb ever higher.

Of course, the majority of economic consequences fall squarely on the manufacturer. Bogus goods cost legitimate corporations untold billions, and many small companies are finding it increasingly difficult to stay afloat. Not only are sales lost, but markets are blocked off, brand goodwill is tarnished, and litigation becomes exceedingly cost-prohibitive.

With so much at stake, and with consumers continuing to purchase phony products, manufacturers are turning to experienced anti-counterfeiting consultants such as Kessler International for help.

"The only way to successfully combat counterfeiting," says Michael G. Kessler, President and CEO of Kessler International, "is to cut off the flow of illicit products before they ever hit the street. That way, consumers don't have to worry about whether or not it hurts honest companies or funds terrorist organizations… they won't even have that option."

Kessler International, headquartered in New York City with offices worldwide, is the recognized global leader in Corporate Investigative Strategies. Specializing in Brand Protection, Forensic Accounting and Computer Forensics, Kessler is dedicated to protecting the interests of Fortune 500 and startup companies alike.

For more information about Kessler International or how to fight against product counterfeiting, contact Michael Kessler at 1-800-932-2221 or visit the Kessler International website at www.investigation.com.