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TIFFANY REPORTS THIRD QUARTER RESULTS

New York, N.Y., November 29, 2006 – Tiffany & Co. (NYSE: TIF) today reported its results for the third quarter ended October 31, 2006. Net sales increased 10% due to growth in the U.S. and most international markets. Net earnings rose 23%.

In the third quarter, net sales increased 10% to $547,786,000. On a constant-exchange-rate basis which excludes the effect of translating foreign-currency-denominated sales into U.S. dollars (see attached "Non-GAAP Measures" schedule), net sales rose 10% and worldwide comparable store sales rose 4%.

Net earnings in the third quarter increased 23% to $29,142,000, or $0.21 per diluted share. Third quarter earnings included gains associated with the sale of investments (see "Other Expenses, Net"), as well as favorable tax reserve adjustments.

In the nine-month (year-to-date) period ended October 31, 2006, net sales rose 8% to $1,661,967,000. On a constant-exchange-rate basis, net sales increased 9% and worldwide comparable store sales rose 5%.

Net earnings of $113,428,000 in the year-to-date were 1% below the prior year. Net earnings per diluted share of $0.80 were slightly above $0.79 in the prior year, primarily due to increased share repurchases. Earnings in the prior year included tax benefits of $8,100,000, or $0.06 per diluted share, related to the repatriation provisions of the American Jobs Creation Act of 2004 ("AJCA").

Sales by channel of distribution were as follows:

Other financial highlights were as follows:

Michael J. Kowalski, chairman and chief executive officer, said, "We are pleased with these overall results. We are now almost one-month into the November-December holiday period and have seen net sales growth higher than we expected. Comparable store sales growth in the U.S. is currently exceeding our high-single-digit expectation and international comp store sales growth is exceeding our mid-single digit expectation. It's a good start to the season, but the vast majority of holiday business is still ahead of us."

He added, "We are modestly increasing our full year 2006 net earnings expectation to a range of $1.79-$1.84 per diluted share. For the full year, we are assuming the following: net sales growth of approximately 10%; gross margin slightly lower than the prior year; high-single-digit SG&A expense growth; an effective tax rate of approximately 37%; and a low-double-digit increase in net inventories. Customers are enthusiastic about the new stores we have opened this year and the extraordinary products we have introduced. We believe Tiffany & Co. is well-positioned."

Today's Conference Call

The Company will host a conference call today at 8:30 a.m. (EST) to review these results and its outlook. Investors may listen to the call at www.tiffany.com (click on "About Tiffany," "Shareholder Information," "Conference Call") and www.streetevents.com.

Next Scheduled Announcement

The Company anticipates reporting its November-December holiday sales results on January 10, 2007 with a conference call at 8:30 a.m. (EST) that day, to be broadcast at www.tiffany.com and www.streetevents.com. To receive future notifications for conference calls and/or news release alerts, please register at www.tiffany.com (click on "About Tiffany," "Shareholder Information," "Calendar of Events" and "News by E-Mail").

Company Description

Tiffany & Co. operates jewelry and specialty retail stores and manufactures products through its subsidiary corporations. Its principal subsidiary is Tiffany and Company. The Company operates TIFFANY & CO. retail stores and boutiques in the Americas, Asia-Pacific and Europe and engages in direct selling through Internet, catalog and business gift operations. Other operations include consolidated results from ventures operated under trademarks or tradenames other than TIFFANY & CO. For additional information, please visit www.tiffany.com or call our shareholder information line at 800-TIF-0110.

This document contains certain "forward-looking" statements concerning the Company's objectives and expectations with respect to sales, store openings, gross margins, expenses, earnings, earnings per share and assets. Actual results might differ materially from those projected in the forward-looking statements. Information concerning risk factors that could cause actual results to differ materially is set forth in the Company's 2005 Annual Report on Form 10-K and in other reports filed with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events or circumstances.

Condensed Consolidated Statements Of Earnings

Condensed Consolidated Balance Sheets

Non-GAAP Measures

Contacts:
James N. Fernandez
(212) 230-5315
Mark L. Aaron
(212) 230-5301

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