Pacific Sunwear Hires Financo as Financial Advisor

Pacific Sunwear of California, Inc. has retained Financo, Inc. as its
financial advisor to identify and explore strategic alternatives for
the company's 154 demo stores. On October 24, PacSun announced its
intention to explore strategic alternatives for demo and to close its
nine One Thousand Steps stores.

Pacific Sunwear noted that there can be no assurance that this process
will result in any specific transaction. It said parties interested in
exploring transaction opportunities regarding the demo
urban chain should direct their inquiries to William S.
Susman of Financo, Inc. at (212) 593-7388.

Demo, launched 1998, is a mall-based chain selling labels such as Baby
Phat, Ecko and Enyce. One Thousand Step, a women's shoe boutique, was
launched in April 2006. As of October 24, the company also operated 837
PacSun stores and 119 PacSun Outlet stores.