"Hats" was released in October 1989 to rave reviews, including a rare five-star rating from "Q" magazine. Warmer and smoother sounding than their debut album, and exploring the highs and lows of romantic love, "Hats" peaked at #12 on the UK Albums Chart. It was also the group's breakthrough record in the US, where it reached #108 on the US "Billboard" 200 album charts in May 1990. All three singles released in the UK from the album made the top 75 in the UK Singles Chart.