Published: May 08, 2009
LaCrosse Footwear Agrees to Acquire END Footwear
PORTLAND, Ore. - (BUSINESS WIRE) - LaCrosse Footwear, Inc. (NASDAQ:BOOT), a leading provider of
branded work and outdoor footwear and apparel, announced today that a
newly-formed subsidiary has entered into a definitive agreement to
purchase certain assets of Environmentally Neutral Design Outdoor, Inc.,
or END, a performance footwear company focused on product innovation and
sustainability. Subject to customary closing conditions, through the
agreement LFI will acquire substantially all the assets comprising END's
footwear business, including inventory, intellectual property, and other
assets. The purchase price is expected to be approximately $500,000 and
the transaction is expected to be completed by the end of May.
END began shipping product in late 2008 to provide everyday athletes
with high performance footwear that follows responsible design, and is
innovative and technical. END footwear has already received the honors
of "Best Trail Running Shoe Debut" from Runner's World magazine in their
April 2009 issue and "Best Road Running Shoe Debut" in their June 2009
issue.
Once the acquisition is completed, the new LFI subsidiary will continue
to sell footwear under the END brand name and will continue operations
from END's Portland, Oregon location. Andrew Estey, current CEO of END,
and key employees will move to the new subsidiary. "END is encouraged to
have the opportunity to continue our efforts to pursue our mission to
develop environmentally neutral designed footwear. We believe that
leveraging the back end operations and resources of LaCrosse will assist
us in having a swifter and more significant impact on the footwear
industry," said Estey.
LaCrosse Footwear intends to invest in increased marketing efforts and
to leverage its capabilities in IT, sourcing, quality, logistics and its
international reach to help grow the END brand. The acquisition of END's
assets is expected to allow LaCrosse, which manufactures and sells
footwear under both the LaCrosse and Danner brands, the opportunity to
compete in new channels and product categories. "We are excited about
the new opportunities for growth with a younger consumer and new
channels in the running and outdoor markets," said Joseph P. Schneider,
president and CEO of LaCrosse Footwear, Inc. "There is also great
potential to infuse the innovative work that END has done in the areas
of development and design around sustainability and
lightweight-breathable products into the LaCrosse and Danner brands."
About LaCrosse Footwear, Inc.
LaCrosse Footwear, Inc. is a leading developer and marketer of branded,
premium and innovative footwear for expert work and outdoor users. The
Company's trusted Danner and LaCrosse® brands are
sold to a network of specialty retailers and distributors in the United
States, Canada, Europe and Asia. Work customers include people in law
enforcement, agriculture, firefighting, construction, military services
and other occupations that need high-performance and protective footwear
as a critical tool for the job. Outdoor customers include people active
in hunting, outdoor cross training, hiking and other outdoor
recreational activities. For more information about LaCrosse Footwear
products, please visit our Internet websites at www.lacrossefootwear.com
and www.danner.com.
For additional investor information, see our corporate website at www.lacrossefootwearinc.com.
Forward-Looking Statements
All statements, other than statements of historical facts, included in
this release, including without limitation, statements regarding the
expected consummation of the acquisition, future business operations and
financial results following this acquisition, and new consumer and
channel opportunities, are forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements relate to future events and typically address
the Company's expected future business and financial performance. Words
such as "plan," "expect," "aim," "believe," "project," "target,"
"anticipate," "intend," "estimate," "will," "should," "could" and other
terms of similar meaning, typically identify such forward-looking
statements. The Company assumes no obligation to update or revise any
forward-looking statements to reflect the occurrence or non-occurrence
of future events or circumstances.
Forward-looking statements are based on certain assumptions and
expectations of future events and trends that are subject to risks and
uncertainties. Actual future results and trends may differ materially
from historical results or those reflected in any such forward-looking
statements depending on a variety of factors, including without
limitation, the satisfaction of the conditions to closing for the
proposed acquisition, uncertainties related to the costs of integrating
and operating the acquired operations, and economic, competitive and
governmental factors outside of our control. For more information
concerning these factors and other risks and uncertainties that could
materially affect our results of operations, please refer to Part I,
Item 1A-Risk Factors, of our 2008 Annual Report on Form 10-K, as
supplemented or amended in our 2009 quarterly reports on Form 10-Q,
which information is incorporated herein by reference.
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LaCrosse Footwear, Inc.
Executive Vice President and Chief
Financial Officer
David Carlson, 503-262-0110 ext. 1331
or
StreetConnect,
Inc.
Investor Relations
Michael Newman, 800-654-3517
BOOT@stct.com
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