FOOTHILL RANCH, Calif., March 24, 2004 (PRIMEZONE) -- Oakley, Inc. (NYSE:OO) today, in connection with its presentation at the Merrill Lynch Retailing Leaders and Household Products & Cosmetics Conference, reiterated its 2004 sales and earnings guidance provided earlier this year. The company expects full year sales growth of approximately 10 percent, to approximately $574.0 million, with earnings expected to grow approximately 15 percent to $0.64 per diluted share including, a one cent gain from a slightly lower, 34 percent, tax rate. In 2003, the company reported then-record net sales of $521.5 million and earnings of $0.56 per diluted share.
"We feel comfortable reiterating our full-year sales and earnings guidance based on several factors, including positive first quarter sales trends, continued momentum from our retail operations and an overall stronger retail environment for our products," stated Oakley Chief Operating Officer Link Newcomb. "In addition, we remain enthusiastic about our 2004 sunglass introductions which are beginning to ship to retailers now," Newcomb concluded.
About Oakley, Inc.
Oakley: a world brand, driven to ignite the imagination through the fusion of art and science. Building on its legacy of innovative, market-leading, premium sunglasses, the company also offers an expanding line of apparel, prescription eyewear, footwear, watches and accessories to consumers in more than 100 countries. Trailing-12-month revenues through December 31, 2003 totaled $521.5 million and generated net income of $38.5 million. Oakley, Inc. press releases, SEC filings and the company's Annual Report are available at no charge through the company's Web site at www.oakley.com.
Safe Harbor Disclaimer
This press release contains certain statements of a forward-looking nature. Such statements are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. The accuracy of such statements may be impacted by a number of business risks and uncertainties that could cause actual results to differ materially from those projected or anticipated, including: risks related to the company's ability to manage rapid growth; the ability to identify qualified manufacturing partners; the ability to coordinate product development and production processes with those partners; the ability of those manufacturing partners and the company's internal production operations to increase production volumes on raw materials and finished goods in a timely fashion in response to increasing demand and enable the company to achieve timely delivery of finished goods to its retail customers; the ability to provide adequate fixturing to existing and future retail customers to meet anticipated needs and schedules; the dependence on eyewear sales to Sunglass Hut which is owned by a major competitor and, accordingly, could materially alter or terminate its relationship with the company; the company's ability to expand distribution channels and its own retail operations in a timely manner; unanticipated changes in general market conditions or other factors, which may result in cancellations of advance orders or a reduction in the rate of reorders placed by retailers; continued weakness of economic conditions could continue to reduce or further reduce demand for products sold by the company and could adversely affect profitability, especially of the company's retail operations; further terrorist acts, or the threat thereof, could continue to adversely affect consumer confidence and spending, could interrupt production and distribution of product and raw materials and could, as a result, adversely affect the company's operations and financial performance; the ability of the company to integrate acquisitions without adversely affecting operations; the ability to continue to develop and produce innovative new products and introduce them in a timely manner; the acceptance in the marketplace of the company's new products and changes in consumer preferences; reductions in sales of products, either as the result of economic or other conditions or reduced consumer acceptance of a product, could result in a buildup of inventory; the ability to source raw materials and finished products at favorable prices to the company; the potential effect of periodic power crises on the company's operations including temporary blackouts at the company's facilities; foreign currency exchange rate fluctuations; earthquakes or other natural disasters concentrated in Southern California where substantially all of the companies operations are based; the company's ability to identify and execute successfully cost control initiatives; and other risks outlined in the company's SEC filings, including but not limited to the Annual Report on Form 10-K for the year ended December 31, 2002 and other filings made periodically by the company. The company undertakes no obligation to update this forward-looking information.