Coastal Contacts Continues Fight for Contact Lens Wearers in British Columbia


VANCOUVER, British Columbia, Oct. 27, 2009 (GLOBE NEWSWIRE) -- Coastal Contacts Inc. ("Coastal Contacts") (TSX:COA) announced today that the British Columbia Court of Appeal (the "Appeal Court") released its judgement with respect to the appeal by the College of Opticians of British Columbia (the "Opticians") seeking to overturn the ruling by the Supreme Court of British Columbia that was reported on April 25, 2008.

The Opticians initially filed a petition in September 2007 seeking to restrict Coastal Contacts and its subsidiary, Clearly Contacts Ltd., from selling contact lenses to members of the public of British Columbia. Following a hearing in the Supreme Court of British Columbia in April 2008, the petition was dismissed with costs payable to Coastal Contacts.

Pursuant to today's judgement, the Appeal Court held that Coastal Contacts is to be enjoined, in British Columbia, from refilling prescriptions of contact lenses to members of the public in British Columbia, unless it first obtains a copy of the prescription from the customer. However, the Court used its discretion to suspend the injunction for approximately six months until May 1, 2010, pointing to various mitigating factors, including the fact there was no evidence of actual harm to Coastal Contact's customers arising from Coastal Contact's practices to date. The Appeal Court also recognized the merit in the ability of online sales of replacement contact lenses to prevent a monopoly that would unnecessarily drive up costs for consumers on sales that do not require significant professional intervention. Coastal Contacts is reviewing its legal and other options and intends to vigorously continue to advocate on behalf of its British Columbia customers.

"We are disappointed by the Appeal Court's decision as we believe that Coastal Contacts was and continues to be operating in compliance with applicable laws," commented Mr. Roger Hardy, Coastal's President and Chief Executive Officer. Mr. Hardy went on to state: "Contact lens sales to British Columbians represented approximately 4% of Coastal's overall revenues for the first nine months of fiscal 2009 and we know our service model provides these customers with a significant benefit in terms of convenience and value. We intend to continue to advocate for the consumer's right to choose where to purchase their contact lenses."

About Coastal Contacts:

Coastal Contacts Inc. (www.coastalcontacts.com) is the world's leading direct-to-consumer vision products company which designs, produces and distributes a diversified offering of contact lenses and eyeglasses. The Company's unique combination of branded and private label products represent quality, value and above all, service. Coastal sells into more than 150 countries through proprietary web properties which reflect the culture and consumer preference of the target market. As new markets for eyeglasses and contact lenses evolve, the Company is positioned to become the vision product consumer's retailer of choice owing to its compelling value proposition combining value and service. A leader in many of its markets, Coastal is rapidly advancing toward its goal of becoming the "World's Optical Store".

Forward Looking Statements

All statements made in this news release, other than statements of historical fact, are forward-looking statements. The words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect", "goal", "target", "should," "likely," "potential," "continue," "project," "forecast," "prospects," and similar expressions typically are used to identify forward-looking statements. Examples of such forward looking statements within this document include Coastal Contact's ability to resolve the current impending injunction of the Appeal Court.

Forward-looking statements are based on the then-current expectations, beliefs, assumptions, estimates and forecasts about our business and the industry and markets in which we operate. Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and assumptions which are difficult to predict. Assumptions underlying our expectations regarding forward-looking statements or information contained in this news release may include, among others, our ability to resolve the current impending injunction of the Appeal Court; that we are positioning ourselves appropriately to take advantage of trends; that our customer database presents an opportunity for expanding our business; that we will be successful in implementing our strategy; that we will be able to generate and maintain sufficient cash flows to support our operations; that we will be successful in responding to challenges resulting from current economic conditions; and that current economic conditions will result in consumers seeking lower cost alternatives in our industry from which we will benefit. The foregoing list of assumptions is not exhaustive.

Persons reading this news release are cautioned that forward-looking statements or information are only predictions, and that our actual future results or performance may be materially different due to a number of factors. These factors include, but are not limited to: changes in the market; downturns in economic conditions; consumer credit risk; our ability to implement our business strategies; competition; limited suppliers; inventory risk; disruption in our distribution facilities; mergers and acquisitions; foreign currency exchange rate fluctuations; regulatory requirements; demand for contact lenses and related vision care products; competition; and dependence on the internet and other risks detailed in our filings with the Canadian securities regulatory authorities. Reference should be made to the section entitled "Risk Factors" contained in our most recently filed Annual Information Form, as filed on SEDAR, for a detailed description of the risks and uncertainties relating to our business. These risks, as well as others, could cause actual results and events to vary significantly. Accordingly, readers should not place undue reliance on forward-looking statements and information, which are qualified in their entirety by this cautionary statement. These forward-looking statements are made as of the date of this news release and we expressly disclaim any intent or obligation to update these forward-looking statements, unless we specifically state otherwise and except as required by applicable law.



            

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