Exhibit 99.1


Blue Holdings, Inc. Receives Additional Nasdaq Staff Determination Letter

COMMERCE, CALIF. - May 28, 2008 -Blue Holdings, Inc. (NASDAQ:BLUE),  a designer,
manufacturer and distributor of high-end fashion jeans, today announced that the
Company  received  notification on May 21, 2008 of a Nasdaq staff  determination
that its common stock is subject to delisting from The Nasdaq Capital Market for
failure to comply with  Marketplace Rule  4310(c)(14),  requiring the Company to
file its Form 10-Q for the period  ended March 31, 2008 by the filing  deadline.
Accordingly,  this  matter  serves  as an  additional  basis for  delisting  the
Company's securities from The Nasdaq Stock Market. As previously announced,  the
Company received a Nasdaq Staff Determination  Letter on May 14, 2008 indicating
that the Company  failed to comply with the minimum bid price and  stockholders'
equity  requirements  for  continued  listing  set  forth in  Marketplace  Rules
4310(c)(4) and 4310(c)(3)(A), respectively.

The  Audit  Committee  of  the  Company's  Board  of  Directors,   comprised  of
independent  directors,  continues to review the previously  announced potential
accounting  errors in the  Company's  financial  statements  for the year  ended
December  31,  2007 and  certain of the  quarters  therein  and is working  with
management  to  conclude  the review as quickly as  possible.  The impact of any
potential  restatement  remains unknown at this time, and the Company will delay
the filing of its 10-Q for the  quarter  ended March 31, 2008 until such time as
the potential restatement matters are resolved.

The Company has  requested a hearing  before the Nasdaq  Listing  Qualifications
Panel to appeal  the  staff  determination.  Pending  completion  of the  appeal
process,  the stock will continue to be listed on The Nasdaq Capital Market. The
Company expects to file its delinquent  10-Q prior to the hearing.  There can be
no  assurance  that the Panel will grant the  Company's  request  for  continued
listing.

ABOUT BLUE HOLDINGS, INC.

Blue Holdings,  Inc., directly and through its wholly owned subsidiaries,  Antik
Denim,  LLC and  Taverniti  So  Jeans,  LLC,  designs,  develops,  manufactures,
markets,  distributes and sells high-end fashion jeans, apparel, and accessories
under the "Antik Denim," "Yanuk,"  "Taverniti So Jeans," and "Faith" brands both
in the United States and  internationally.  Blue Holdings currently sells men's,
women's and children's styles. Antik Denim, Yanuk,  Taverniti So and Faith jeans
and  apparel are made from  high-quality  fabrics  milled in the United  States,
Japan,  Italy and Spain,  and are processed  with  cutting-edge  treatments  and
finishes.  Blue  Holdings'  concepts,  designs,  embellishments,  patent-pending
pockets  and  great  attention  to  detail  and  quality  give it a  competitive
advantage in the high-end fashion jeans market.

FORWARD-LOOKING STATEMENTS

This release  contains  "forward-looking  statements"  that include  information
relating to future events.  Examples of forward looking  statements  included in
this release include statements  regarding Blue Holdings'  restatement  matters,
future  financial  results and the results of the Nasdaq Listing  Qualifications
Panel review.  Forward-looking  statements  should not be read as a guarantee of
future performance or results,  and will not necessarily be accurate indications
of





the times at, or by, which that  performance  or those results will be achieved.
Forward-looking  statements are based on information  available at the time they
are made and/or  management's  good faith belief as of that time with respect to
future  events,  and are  subject to risks and  uncertainties  that could  cause
actual  performance or results to differ  materially  from those expressed in or
suggested by the forward-looking statements.  Important factors that could cause
these differences  include,  but are not limited to:  fluctuations in demand for
Blue  Holdings'  products,  the  introduction  of new products,  Blue  Holdings'
ability to maintain customer and strategic business relationships, the impact of
competitive  products and pricing,  growth in targeted markets,  the adequacy of
Blue Holdings' liquidity and financial strength to support its growth, and other
information  that may be detailed  from time to time in Blue  Holdings'  filings
with the United States Securities and Exchange  Commission.  For a more detailed
description  of the risk  factors and  uncertainties  affecting  Blue  Holdings,
please refer to the Company's recent Securities and Exchange filings,  which are
available at  www.sec.gov.  Blue  Holdings  undertakes no obligation to publicly
update or revise  any  forward-looking  statements,  whether  as a result of new
information, future events or otherwise.

CONTACT:

Blue Holdings, Inc.
Eric Hohl, CFO 323-725-5555
ERIC.HOHL@BLUEHOLDINGS.COM

Integrated Corporate Relations
310-954-1100
Andrew Greenebaum
AGREENEBAUM@ICRINC.COM

or

Patricia Dolmatsky
PDOLMATSKY@ICRINC.COM


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