Exhibit 99.1

                                                   [GRAPHIC OMITTED]
FOR IMMEDIATE RELEASE

CONTACT:   Hanover Direct, Inc                        MWW Group
           Charles E. Blue                            Rich Tauberman
           S.V.P. & Chief Financial Officer           Tel: (201) 507-9500
           Tel: (201) 272-3389


            HANOVER DIRECT ANNOUNCES APPOINTMENT OF GENERAL COUNSEL,
          DELISITING FROM AMERICAN STOCK EXCHANGE, TRADING ON THE PINK
                         SHEETS AND INFORMAL SEC INQUIRY

EDGEWATER,  NJ,  February 4, 2005 - Hanover  Direct,  Inc.  (PINK SHEETS:  HNVD)
announced  that it had appointed  Daniel J. Barsky as Senior Vice  President and
General Counsel  effective  January 31, 2005. Prior to joining the Company,  Mr.
Barsky was an independent  legal  consultant.  Previously,  he served as General
Counsel to Directrix, Inc. from 2001 to 2003, Executive Vice President,  General
Counsel and Secretary to American  Interactive Media, Inc. from 1999 to 2001 and
Executive Vice President,  General Counsel and Secretary to Spice  Entertainment
Companies,  Inc.  from 1994 to 1999.  Prior to joining  Spice,  Mr. Barsky was a
partner in the law firm of Dornbush Mensch Mandelstam & Schaeffer.

Mr. Barsky attended  George  Washington  University  where he earned a B.B.A. in
Finance in 1977. He earned his J.D. from  University of Miami Law School in 1981
and his L.LM in Taxation from New York University in 1982.

As previously reported, on February 4, 2005 the American Stock Exchange filed an
application with the Securities and Exchange  Commission to remove the Company's
common stock from listing and registration on the Exchange effective on February
16, 2005.  The Exchange had previously  halted  trading in the Company's  common
stock on November 16, 2004 and formally  suspended  trading on February 2, 2005.
Current  trading  information  about the Company's  common stock can be obtained
from the Pink Sheets (www.pinksheets.com) under the trading symbol HNVD.

The Company also  announced  that it was notified by the Securities and Exchange
Commission that it is conducting an informal  inquiry  relating to the Company's
financial  results and financial  reporting since 1998. The Commission stated in
its  letter to the  Company  that the  inquiry  should  not be  construed  as an
indication  by the  Commission  that there has been any violation of the federal
securities  laws.  The  Company  is  cooperating  fully with the  Commission  in
connection with the inquiry.


About Hanover Direct, Inc.





Hanover Direct, Inc. (PINK SHEETS: HNVD) and its business units provide quality,
branded merchandise through a portfolio of catalogs and e-commerce  platforms to
consumers,  as  well as a  comprehensive  range  of  Internet,  e-commerce,  and
fulfillment services to businesses. The Company's catalog and Internet portfolio
of home fashions,  apparel and gift brands include  Domestications,  The Company
Store, Company Kids,  Silhouettes,  International Male, Scandia Down, and Gump's
By Mail. The Company owns Gump's,  a retail store based in San  Francisco.  Each
brand can be accessed on the Internet  individually by name.  Keystone  Internet
Services, LLC (www.keystoneinternet.com),  the Company's third party fulfillment
operation,  also  provides  the  logistical,  IT and  fulfillment  needs  of the
Company's catalogs and web sites.  Information on Hanover Direct, including each
of its subsidiaries, can be accessed on the Internet at www.hanoverdirect.com.

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