EXHIBIT 99.1

FOR IMMEDIATE RELEASE                         INVESTOR RELATIONS CONTACT:
                                              Hayden Communications, Inc.
                                              Matthew Hayden
                                              Tel: 858-456-4533
                                              matt@haydenir.com
                                              www.haydenir.com

      TAG-IT PACIFIC, INC. ANNOUNCES PROFITABILE THIRD QUARTER 2004 RESULTS

Highlights:
         o        Growth in all three operating divisions (Talon Zippers, TekFit
                  and TrimNet)
         o        Total  revenues  increase 3.3% vs. Third Quarter last year and
                  13.9% sequentially
         o        Income from operations up 9.6% vs. 3rd Q 2003
         o        Company reports net income of $211,000, or $0.01 per share
         o        Continued  Investments in Talon: 2 New  Franchisees  Signed in
                  Asia with  minimum  purchase  commitments  of $20 million over
                  three-years
         o        Management   projects  40%  revenue   growth  and   sequential
                  improvements in profitability for 2005

Los Angeles,  CA. November 15, 2004 --Tag-It Pacific,  Inc. (AMEX:  TAG), a full
service  outsourced  trim  management  department for  manufacturers  of fashion
apparel,  today announced financial results for its third quarter and nine month
period ended September 30, 2004.

For the quarter,  net sales were $17.0 million,  a 3.3 percent increase compared
to $16.5  million for the same  quarter last year,  and a 13.9 percent  increase
sequentially compared to the second quarter. The increase in sales was primarily
due to an increase in sales from TRIMNET  programs  for major U.S.  retailers in
the Company's  Hong Kong and Mexico  facilities  and an increase in zipper sales
under the TALON brand name in Asia. As previously announced,  management's focus
on diversifying its revenue stream has continued to show  significant  progress,
including the replacement of business from last year's largest  customer,  a key
milestone in the Company's evolution.

Costs of goods sold for the 2004 third quarter were $12.7  million,  compared to
$12.2  million in the year ago  period.  Gross  profit for the  quarter was $4.3
million, a slight increase compared to the $4.2 million reported in the year ago
period,  yielding  gross  margins of  approximately  25.6  percent for the third
quarter of 2004 and 25.7 percent for the third quarter of 2003.  Selling expense
was $646,000,  a 33.3 percent decrease from the $968,000 million reported in the
third quarter last year, which was in part due to a decrease in the royalty rate
related to the Company's  exclusive  license and  intellectual  property  rights
agreement with Pro-Fit Holdings  Limited.  General and  Administrative  expenses
increased  14.0 percent to $3.2  million  compared to $2.8 million for the third
quarter of last  year,  due  primarily  to the  hiring of  additional  employees
related to the expansion of Asian  operations,  including the TALON  franchising
strategy, as well as staffing for the new TALON manufacturing  facility in North
Carolina  which is  expected to begin  production  in  December  2004.  Interest
expense decreased to $162,000 compared to $307,000 for the third quarter of last
year. The Company  reported net income to common  shareholders  of $211,000,  or
$0.01 per share,  compared to $45,000, or $0.00 per share, for the third quarter
of 2003. The Company  completed the third quarter with 18,269,000  fully diluted
shares  outstanding  compared to  12,245,000  as of the end of the third quarter
last year.

Colin Dyne, Chief Executive Officer of Tag-It Pacific,  commented,  "Our revenue
slightly exceeded our recent guidance and we showed continued improvement in our
profitability,  which was  impacted  by  investments  made for  Talon's  planned
growth.  We have  successfully  replaced  more than all  revenues  lost from our
former significant  customers in Mexico and today we are a stronger company with
a more  diversified  customer  base  compared to one year ago.  Our  business is
growing due to operational  and strategic  improvements  in all three  operating
divisions,  and we see solid  prospects for 2005,  including 40% revenue growth.
Our Talon  franchising  strategy is starting to gain  momentum,  with the recent
signing of  agreements  with  franchisees  for the South East and  Central  Asia
regions.  These areas represent  meaningful growth  opportunities.  We expect to
close additional franchise deals, with minimum purchase  guarantees,  before the
end of the year. Our TrimNet(TM)  solution has been exceedingly well received in
the marketplace,





and provides  synergistic  opportunities to our Talon franchisers and customers.
We continued  to improve our working  relationship  with Levi's,  as part of our
two-year  extended  agreement  between our  TekFit(TM)  division  and the Levi's
Docker(R) brand which was signed during the quarter."

For the first  nine  months of 2004,  the  Company  reported  revenues  of $42.1
million, a decrease of 18.4 percent from the $51.6 million reported in the first
nine  months  of 2003.  Cost of good sold for the first  nine  months  was $30.9
million compared to $37.6 million in the year ago period,  yielding gross profit
of $11.2 million and $14.0  million for the  respective  periods.  Gross margins
were 26.7  percent  compared to 27.1 percent in 2003.  Selling  expense was $2.1
million,  a 30.3 percent  decrease  from the $3.0  million  reported in the nine
month period last year.  General and  Administrative  expenses were $8.9 million
compared  to $8.5  million  for the first  nine  months of last  year.  Interest
expense  decreased to $493,000  compared to $971,000 for the nine months of last
year. The Company  reported a net loss to common  shareholders  of $201,000,  or
$(0.01)  per  share,  compared  to net  income  to common  shareholders  of $1.1
million,  or $0.10 per share, for the first nine months of 2003.  Diluted shares
outstanding for the nine-month period were 17,036,000 compared to 10,810,000 for
the nine month period last year.

Recent Highlights include:

         o        July 26,  Tag-It  announced  a  two-year  extension  with Levi
                  Strauss  & Co.  for  all  men's  pants  categories  under  the
                  Docker(R)  product  line.  The  agreement is expected to yield
                  approximately  $35 to  $40  million  in  revenues  during  the
                  two-year period.
         o        On October 27, Tag-It announced its first franchise  agreement
                  with a customer in Central Asia to  distribute  Talon  Zippers
                  throughout that region.  The agreement includes a $9.5 million
                  minimum  purchase  agreement for the  three-year  period,  and
                  production and orders are expected to commence January 1.
         o        On November 11, Tag-It completed a private  placement of $12.5
                  million  aggregate   principal  amount  of  6  percent  Senior
                  Convertible  Promissory  Notes due  November  2007.  The notes
                  carry interest at 6 percent per year and are convertible  into
                  Tag-It  Pacific  common stock at $3.65 per share. A portion of
                  the  proceeds  was used to pay off all  existing  indebtedness
                  under our credit facility with UPS Capital.
         o        On  November  12,  Tag-It   announced  its  second   franchise
                  agreement  with a customer  in South  East Asia to  distribute
                  Talon Zippers throughout that region. The agreement includes a
                  $10.5 million  minimum  purchase  agreement for the three-year
                  period,  and  production  and orders are  expected to commence
                  January 1.

Mr. Dyne  concluded,  "We continue to believe Talon's  contribution  will become
increasingly  meaningful  in the coming  quarters as our growth  strategy  takes
hold.  There is significant  leverage  associated  with  servicing  large global
manufacturers  for  significant  retailers  throughout  key regions of the world
without the need for  significant  capital  expenditures.  We believe  this will
yield  measurable  market  share gains and  revenues in 2005 and with the recent
financing  we now have the  adequate  working  capital  to make this a  reality.
Zippers  remain an  essential  component  of our TrimNet  solution and give us a
competitive advantage over others who try to replicate this strategy."

TELECONFERENCE INFORMATION

Management  will host a  conference  call at 11:30 a.m.  PST (2:30 p.m.  EST) on
Monday,  November 15, 2004 to discuss 2004 third quarter results. To participate
in the conference call,  please dial  877-297-4509  five to ten minutes prior to
the  scheduled   conference  call  time.   International   callers  should  dial
973-935-2404. There is no pass code required for this call. If you are unable to
listen to the live  teleconference at its scheduled time, there will be a replay
available through November 22, 2004, and can be accessed by dialing 877-519-4471
(U.S.), 973-341-3080 (Int'l), passcode 5384015.


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ABOUT TAG-IT PACIFIC,  INC. - Tag-It  specializes in the  distribution of a full
range of trim items to manufacturers of fashion apparel, specialty retailers and
mass  merchandiser.  Tag-It acts as a full service  outsourced  trim  management
department  for  manufacturers  of fashion  apparel such as Abercrombie & Fitch,
Kentucky Apparel and Azteca  Production  International.  Tag-it also serves as a
specified  supplier  of trim  items to  specific  brands,  brand  licensees  and
retailers,  including  Levi Strauss & Co.,  Abercrombie  & Fitch,  Express,  The
Limited,  Miller's  Outpost  and  Lerner,  among  others.  In  addition,  Tag-It
distributes  zippers  under its TALON  brand name to  manufacturers  for apparel
brands and retailers such as Levi Strauss & Co., Wal-Mart, JC Penny and Tropical
Sportswear,  among  others.  In 2002,  Tag-It  created a new division  under the
TEKFIT brand name.  This  division  develops and sells apparel  components  that
utilize the patented Pro-Fit  technology,  including a stretch waistband.  These
products  are  marketed  to the same  customers  targeted  by our  MANAGED  TRIM
SOLUTION and TALON zipper divisions.


FORWARD LOOKING STATEMENTS:
With the exception of the historical  information,  this press release  contains
forward-looking  statements,  as referenced in the Private Securities Litigation
Reform Act.  Forward-looking  statements  are  inherently  unreliable and actual
results may differ materially.  Examples of  forward-looking  statements in this
press release include the benefits of our new TRIMNET system, and the successful
expansion of our zipper  business.  Factors which could cause actual  results to
differ materially from these  forward-looking  statements include an unfavorable
outcome  in our  litigation  with  Pro-Fit  Holdings  relating  to  our  stretch
waistbands,  the  unanticipated  loss of one or more major  customers,  economic
conditions,  the availability and cost of financing,  the risk of a softening of
customer  acceptance  of  the  Company's  products,  risks  of  introduction  by
competitors of trim management systems with similar or better functionality than
our Managed Trim  Solution,  pricing  pressures and other  competitive  factors,
potential  fluctuations  in  quarterly  operating  results,  our  management  of
potential  growth and the risks of expansion into new business areas.  These and
other  risks  are  more  fully  described  in the  Company's  filings  with  the
Securities and Exchange  Commission  including the Company's most recently filed
Annual  Report on Form 10-K and Quarterly  Report on Form 10-Q,  which should be
read in conjunction  herewith for a further discussion of important factors that
could   cause   actual   results  to  differ   materially   from  those  in  the
forward-looking  statements.  The Company  undertakes  no obligation to publicly
update or revise  any  forward-looking  statements,  whether  as a result of new
information, future events or otherwise.


                                 TABLES ATTACHED


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                              TAG-IT PACIFIC, INC.
                          Selected Balance Sheet Items
                             (all numbers in $000's)


                                                          Sep. 30,      Dec. 31,
                                                            2004          2003
                                                          -------       -------
Cash .............................................        $ 1,566       $14,443

Accounts Receivable ..............................        $27,943       $19,253

Inventories ......................................        $16,483       $17,097

Total Current Assets .............................        $52,645       $55,726

Total Assets .....................................        $66,410       $67,770

Line of Credit ...................................        $ 4,597       $ 7,096

Accounts Payable and Accrued Expenses ............        $ 9,051       $ 9,552

Total Current Liabilities ........................        $17,025       $19,260

Total Liabilities ................................        $19,052       $21,312

Convertible Redeemable preferred stock Series C ..        $  --         $ 2,895

Total Stockholders' Equity .......................        $47,358       $43,564

Total Liabilities and Equity .....................        $66,410       $67,770


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                              TAG-IT PACIFIC, INC.


                      Consolidated Statements of Operations
                     (all numbers (excluding EPS) in $000's)


                                        Three Months Ended     Nine Months Ended
                                          September 30,          September 30,
                                       -------------------    --------------------

                                         2004       2003        2004        2003
                                       --------   --------    --------    --------
                                                              
Net sales ..........................   $ 17,005   $ 16,468    $ 42,088    $ 51,558

Cost of goods sold .................     12,659     12,238      30,858      37,564
                                       --------   --------    --------    --------

   Gross profit ....................      4,346      4,230      11,230      13,994

Selling expenses ...................        646        968       2,121       3,043

General and administrative expenses       3,227      2,831       8,875       8,469
                                       --------   --------    --------    --------

   Total operating expenses ........      3,873      3,799      10,996      11,512
                                       --------   --------    --------    --------

Income from operations .............        473        431         234       2,482

Interest expense, net ..............        162        307         493         971
                                       --------   --------    --------    --------

Income (loss) before income taxes ..        311        124        (259)      1,511

Provision (benefit) for income taxes        100         29         (88)        306
                                       --------   --------    --------    --------

Net income (loss) ..................   $    211   $     95    $   (171)   $  1,205
                                       ========   ========    ========    ========

Less:  Preferred stock dividends ...       --          (50)        (30)       (144)
                                       --------   --------    --------    --------

Net income (loss) to common
   shareholders ....................   $    211   $     45    $   (201)   $  1,061
                                       ========   ========    ========    ========

Basic earnings (loss) per share ....   $   0.01   $   0.00    $  (0.01)   $   0.10
                                       ========   ========    ========    ========

Diluted earnings (loss) per share ..   $   0.01   $   0.00    $  (0.01)   $   0.10
                                       ========   ========    ========    ========

Weighted average number of common
   shares outstanding:

   Basic ...........................     18,113     11,437      17,036      10,364
                                       ========   ========    ========    ========

   Diluted .........................     18,269     12,245      17,036      10,810
                                       ========   ========    ========    ========



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