1115 Broadway, New York, NY 10010 ˜ 212-798-4700 ˜ Fax 212-213-4925

Movie Star, Inc., Reports Fiscal 2007

First-Quarter Financial Results

New York, New York (November 14, 2006)—Movie Star, Inc. (AMEX: MSI), today announced improved financial results for the 2007 fiscal first quarter ended September 30, 2006.

For the fiscal 2007 first quarter, net sales increased 37.1% to $18,690,000 from $13,637,000 in the same period last year. Gross margin, as a percentage of sales, was 31.2% for the fiscal 2007 first quarter compared with 27.2% in the fiscal 2006 first quarter. Selling, general and administrative expenses were $5,026,000 compared to $4,215,000 in the fiscal 2006 first quarter, an increase of $811,000. Net income for the fiscal 2007 first quarter was $366,000, or $0.02 per diluted share, compared to a net loss of $371,000, or a loss of $0.02 per share, for the first quarter of fiscal 2006.

Mel Knigin, President and Chief Executive Officer, stated: “We began fiscal 2007 more optimistic about the Company’s business outlook than we have been for some time and that optimism continues today. The hurdles we faced last year are behind us, allowing us to fully concentrate on improving our operations. Our gross margins increased significantly as a result of a better product mix and lower overall allowances and chargebacks. The increase in selling, general and administrative expenses was primarily the result of a $540,000 increase in professional fees. The increase was due to our continuing exploration of our strategic alternatives to maximize shareholder value, including discussions with a private apparel company with respect to a possible combination of the companies. TTG Apparel, LLC, which beneficially owns 22.4% of our outstanding common stock, is a majority stockholder of the private company. Consequently, we established a special committee of independent directors to consider this transaction and our strategic alternatives. The special committee has retained a financial advisor, Chanin Capital Partners, and legal counsel. We caution that no assurances can be made that the exploration of strategic alternatives, including the discussions with the private apparel company, will result in a transaction. We also do not intend to disclose developments with respect to these matters unless and until we enter into a specific transaction or the process is otherwise completed.”

Mr. Knigin continued, “We are continuing to receive good responses from our customers to our new and existing product lines. Our backlog of open orders to be shipped was $33,159,000 at September 30, 2006 compared to $24,155,000 at the same time last year. We book our orders upon receipt and believe that the backlog is firm and will be shipped in the current fiscal year.”

MOVIE STAR, INC. produces and sells ladies apparel, including sleepwear, robes, leisurewear and daywear. Current collections include the Cinema Etoile premium line of intimate apparel and the Movie Star line of apparel sold as private label programs.

Certain of the matters set forth in this press release are forward-looking and involve a number of risks and uncertainties. Among the factors that could cause actual results to differ materially are the following: business conditions and growth in the industry; general economic conditions; addition or loss of significant customers; the loss of key personnel; product development; competition; risks of doing business abroad; foreign government regulations; fluctuations in foreign rates; rising costs for raw materials and the unavailability of sources of supply; the timing of orders booked; and the risk factors listed from time to time in the Company’s SEC reports.

CONTACT: INVESTOR RELATIONS:

Movie Star, Inc. -or- SM Berger & Company, Inc.

Thomas Rende, CFO Stanley Berger

(212) 798-4700 (216) 464-6400

[Tables follow]

MOVIE STAR, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(In Thousands, Except Per Share Amounts)

	Three Months Ended
	September 30,
	2006	2005
	(Unaudited)
Net sales	$18,690	$13,637
Cost of sales	12,867	9,924
Gross profit	5,823	3,713
Selling, general and administrative expenses	5,026	4,215
Income (loss) from operations	797	(502)
Interest expense, net	187	117
Income (loss) before income tax (benefit)	610	(619)
Income tax (benefit)	244	(248)
Net income (loss)	$ 366	$ (371)
BASIC NET INCOME (LOSS) PER SHARE	$.02	$(.02)
DILUTED NET INCOME (LOSS) PER SHARE	$.02	$(.02)
Basic weighted average number of shares outstanding	15,763	15,660
Diluted weighted average number of shares outstanding	15,950	15,660

MOVIE STAR, INC.

CONSOLIDATED CONDENSED BALANCE SHEETS

(In Thousands, Except Share Information)

September 30,	June 30,	September 30,
2006  (Unaudited)	2006*	2005  (Unaudited)

Assets

Current Assets
Cash	$ 81	$ 203	$ 164
Receivables, net	15,530	6,074	7,930
Inventory	9,644	8,981	11,052
Deferred income taxes	1,912	1,914	2,470
Prepaid expenses and other current assets	419	801	710
Total current assets	27,586	17,973	22,326
Property, plant and equipment, net	1,048	838	726
Deferred income taxes	3,068	3,296	2,473
Goodwill	537	537	537
Assets held for sale	174	174	174
Other assets	425	403	458
Total assets	$32,838	$23,221	$26,694

Liabilities and Shareholders’ Equity

Current Liabilities
Note payable	$14,278	$ 4,955	$ 8,298
Current maturities of cap. lease obligations	54	-	-
Accounts payable and other current liabilities	3,872	4,086	3,553
Total current liabilities	18,204	9,041	11,851
Long-term liabilities	464	398	501
Shareholders’ equity
Common stock, $.01 par value – authorized 30,000,000 shares;
issued 17,783,000 shares in September 2006, 17,755,000 in June 2006 and 17,679,000 in September 2005	178	178	177
Additional paid-in capital	4,860	4,834	4,768
Retained earnings	12,727	12,361	12,990
Accumulated other comprehensive income	23	27	25
Less treasury stock, at cost—2,017,000 shares	(3,618)	(3,618)	(3,618)
Total shareholders’ equity	14,170	13,782	14,342
Total liabilities and shareholders’ equity	$32,838	$23,221	$26,694

* Derived from audited financial statements.