Rocky Brands Receives Commitment for New Credit Facility

Rocky Brands, Inc. (Nasdaq: RCKY) today announced it has received a financing commitment, subject to customary closing conditions, from PNC Bank for a revolving credit facility totaling $70 million. The new credit facility will replace the Company’s existing revolving credit facility, the remaining balance of approximately $11 million under term loans, and the remaining balance of approximately $2 million under mortgage loans. The term of the new credit facility will be five years and the initial interest rate will be LIBOR plus 1.75%.

Mike Brooks, Chairman and Chief Executive Officer, commented, "We are very pleased to have secured this new credit facility and believe it underscores the confidence our lender has in the Company's future prospects. Importantly, with more favorable terms, we anticipate this new revolving credit facility will reduce our annual interest expense by approximately $2 million next year while at the same time providing us with less expensive capital to expand our business over the next five years."

The transaction is anticipated to close in October 2010. The Company expects to recognize a non-cash charge of approximately $1 million in the fourth quarter of 2010 representing deferred financing costs relating to the extinguishment of the current credit facility, term loans and mortgage loans described above.

About Rocky Brands, Inc.

Rocky Brands, Inc. is a leading designer, manufacturer and marketer of premium quality footwear and apparel marketed under a portfolio of well recognized brand names including Rocky®, Georgia Boot®, Durango®, Lehigh®, and the licensed brands Michelin® and Mossy Oak®.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Those statements include, but may not be limited to, all statements regarding intent, beliefs, expectations, projections, forecasts, and plans of the Company and its management, and include statements in this press release regarding the closing of the new revolving credit facility (paragraph 1), reduction in interest expense (paragraph 2), and closing of the transaction and expected non-cash charge (paragraph 3). These forward-looking statements involve numerous risks and uncertainties, including, without limitation, the risk that the revolving credit facility, which is subject to various closing conditions, may not close as anticipated and the various risks inherent in the Company’s business as set forth in periodic reports filed with the Securities and Exchange Commission, including the Company’s annual report on Form 10-K for the year ended December 31, 2009 (filed March 2, 2010) and the Company’s quarterly reports on Form 10-Q for the quarters ended March 31, 2010 (filed May 3, 2010) and June 30, 2010 (filed August 3, 2010). One or more of these factors have affected historical results, and could in the future affect the Company’s businesses and financial results in future periods and could cause actual results to differ materially from plans and projections. Therefore there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the Company, or any other person should not regard the inclusion of such information as a representation that the objectives and plans of the Company will be achieved. All forward-looking statements made in this press release are based on information presently available to the management of the Company. The Company assumes no obligation to update any forward-looking statements.

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