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8-K - FORM 8-K - LACROSSE FOOTWEAR INC | v54908e8vk.htm |
EX-10.1 - EX-10.1 - LACROSSE FOOTWEAR INC | v54908exv10w1.htm |
EX-10.2 - EX-10.2 - LACROSSE FOOTWEAR INC | v54908exv10w2.htm |
EXHIBIT 99.1
FOR IMMEDIATE RELEASE
Contacts:
David Carlson
|
Michael Newman | |
Executive Vice President and
|
Investor Relations | |
Chief Financial Officer
|
StreetConnect, Inc. | |
LaCrosse Footwear, Inc.
|
800-654-3517 | |
503-262-0110 ext. 1331
|
BOOT@stct.com |
LACROSSE FOOTWEAR ANNOUNCES
PLANS FOR NEW DANNER FACTORY
Expands U.S. Production Capacity;
Extends Tradition of Highest Standards of Craftsmanship;
Provides Operating Efficiencies
PLANS FOR NEW DANNER FACTORY
Expands U.S. Production Capacity;
Extends Tradition of Highest Standards of Craftsmanship;
Provides Operating Efficiencies
Portland, Ore. February 10, 2010 LaCrosse Footwear, Inc. (Nasdaq: BOOT), a leading provider of
premium, branded footwear for work and outdoor users, today announced its plans to move into a new
Danner® factory in Portland, Oregon.
The new Danner® facility will be located in an industrial building approximately one mile from the
Companys corporate headquarters. The new factory will be approximately 59,000 square feet,
representing twice the square footage of the Companys existing Portland-based factory which is
being replaced.
Our new, world-class production facility will significantly increase our capacity to meet the
growing worldwide demand from our many customers in the work, military, law enforcement, outdoor
recreation, hunting and Japanese markets who depend on our U.S.-manufactured Danner® footwear being
crafted to the very highest standards, said Joseph P. Schneider, president and CEO of LaCrosse
Footwear, Inc. Danner® is an iconic brand, whose boots have been hand-crafted in Portland since
1933, incorporating the highest standards of design, materials and construction. Our new facility
will enable us to extend this great tradition of superior craftsmanship.
Furthermore, we expect this state-of-the-art facility will allow us to continue to innovate with
new footwear designs and production processes by expanding our overall capabilities and capacity.
The new factory will also improve our operating efficiencies by incorporating the latest lean
manufacturing techniques to meet at-once demand. This is an important step in the continued growth
of our business.
The new
facilitys lease is scheduled to begin during the second quarter
of 2010 for a term of approximately five years with options to extend
the lease for up to 15 more years. DP Partners is serving as the developer for the project.
LaCrosse expects to begin production in the new facility in the third quarter of 2010. During
2010, the Company expects total capital expenditures to be approximately $8 to $9 million, which
includes leasehold improvements and machinery for the new factory facility. During the transition
period from the current factory to the new facility, the Company plans for certain one-time costs
of approximately $0.5 million which are expected to be included in its operating expenses in the
second and third quarters of 2010.
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About LaCrosse Footwear, Inc.
LaCrosse Footwear, Inc. is a leading developer and marketer of branded, premium and innovative
footwear for work and outdoor users. The Companys trusted Danner® and LaCrosse® brands are sold to
a network of specialty retailers and distributors in the United States, Canada, Europe and Asia.
Work consumers include people in law enforcement, transportation, mining, oil and gas exploration
and extraction, construction, military services and other occupations that require high-performance
and protective footwear as a critical tool for the job. Outdoor consumers include people active
in hunting, 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 concerning the anticipated favorable impact of this new factory on
the Companys future results of operations in the areas of additional capacity, innovation and
production capabilities, anticipated capital expenditures and one-time operating expenses and
operating efficiencies are forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. 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. Risk factors and other uncertainties which may
directly impact the outcome of such forward-looking statements included in this release, each of
which are included in our 2008 Annual Report on Form 10-K, as supplemented by our quarterly reports
on Form 10-Q for 2009, include the following:
| Permits and approvals by government agencies could delay or stop the project plans for the new Danner factory. | ||
| Uncertainties related to our sales to the U.S. military, which may not continue at the current levels. | ||
| Deterioration in the general business environment and lack of growth in consumer spending, which could impact both the financial stability of our domestic and international retail channel base and require additional price discounts for retailers and direct consumers. |
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