I returned this bag, loved the look of it. It definitely smelled & no the smell did not go away. It may have had a THIN bonded leather on the inside but the instructions that came with said not to use any kind of leather cleaner on it - to me that says the outside is not leather. I ordered it because it came up as a deal during Christmas & though I knew it wasn't the one I really wanted I thought it would be ok. The edges were not finished (mentioned in a couple of other comments), it really bothered me & for $40 I could have gone just about anywhere & got a better looking bag. Sorry.