First Order From Germany and Austria

1st July 2011

Ila Group Limited

("Ila" or "the Company")

First order from Germany and Austria

Ila (AIM: ILA) is pleased to announce its first order for distribution in Germany and Austria. The $350,000 order is one of the largest single orders received in Europe by Ila and gives access to the most important German speaking retail markets in the region.

The order is to supply three of the products in the Ila range: Dusk, Pebble, and Wedge to a major Austrian & German distributor. The products willbe sold through a chain of more than 600 retail stores across the region.

The Directors intend to update the market on the Company's trading in the year to 30th June 2011in the coming week.

Simon McGivern, CEO of Ila, commented: "ILA is pleased to announce its first order in the German and Austrian markets, and represents a major step into this new market. The distributor through which we are supplying has a number of relationships with other major retailers in the region. If successful, these markets could therefore become a major source of new business for Ila."

For further information please contact:

FinnCap 020 7600 1658

Charles Cunningham/Ben Thompson - Corporate Finance

Joanna Weaving - Corporate Broking

Lothbury Financial Services 020 7868 2010

Gary Middleton

Simon Astley