DIY!!!! There is a superb thread on here somewhere telling you exactly how to do this. Perhaps you could search for it or someone else could get a link; i would look but i am heading to bed!!
Almarc in Italy has started to do it once again. Send them your handlebars and they will do it for you for 100 euros. Having done a number of handlebars myself back in the 80's, when you calculate the cost of the leather and the amount of time involved (and raw hands and pain brought about by the lacing up) it is money well-spent.
I remember a while ago that car shops used to sell the leather stitched steering wheel cover
and these fitted bike bars too, was very cheap and came in many colours complete with fitting kit.
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