Quiksilver Sells Hawk Designs
January 13 2014 - 7:54AM
Business Wire
--Transaction Part of Company’s Continuing
Effort to Divest Non-Core Businesses--
Quiksilver, Inc. (NYSE:ZQK) today announced that it sold all of
the assets of its licensed apparel subsidiary, Hawk Designs, Inc.,
to a wholly-owned subsidiary of Cherokee Inc., for $19 million.
In December 2013, Quiksilver completed the sale of Mervin
Manufacturing and announced its intention to pursue the divestiture
and exit of other non-core businesses, including Hawk Designs,
Inc., its majority stake in Surfdome Shop, Ltd., its Moskova brand,
and its business under license with Maui and Sons.
Quiksilver said it intends to use the net proceeds of the
transaction to reduce amounts drawn on its credit facilities, as
well as invest in its emerging markets.
About Cherokee Inc.
Cherokee Inc. is a global marketer and manager of a portfolio of
Fashion and Lifestyle brands including Cherokee®, Carole Little®,
Liz Lange® and Sideout®, in multiple consumer product categories
and sectors around the world. The Company has license agreements
with premier retailers and manufacturers covering over 40 countries
around the world including Target Stores (U.S. and Canada), Tesco
(U.K., Ireland and certain Central European countries), RT-Mart
(Peoples Republic of China), Pick ‘n Pay (South Africa), Falabella
(Chile, Peru and Colombia), Arvind Mills (India and certain Middle
Eastern countries), Shufersal LTD. (Israel), Comercial Mexicana
(Mexico), Eroski (Spain), Nishimatsuya (Japan), Magnit (Russia),
Landmark Group’s Max Stores (certain Middle East and North Africa
countries), and the TJX Companies (U.S., Canada and Europe).
About Quiksilver
Quiksilver, Inc., one of the world’s leading outdoor sports
lifestyle companies, designs, produces and distributes branded
apparel, footwear and accessories. The company’s apparel and
footwear brands, inspired by a passion for outdoor action sports,
represent a casual lifestyle for young-minded people who connect
with its boardriding culture and heritage. The company’s
Quiksilver, Roxy, and DC brands have authentic roots and heritage
in surf, snow and skate. The company’s products are sold in more
than 100 countries in a wide range of distribution, including surf
shops, skate shops, snow shops, its proprietary Boardriders Club
shops and other company-owned retail stores, other specialty
stores, select department stores and through various e-commerce
channels. Quiksilver’s corporate headquarters are in Huntington
Beach, California.
Forward-looking statements
This press release contains forward-looking statements
including, but not limited to, those relating to the intended use
of the proceeds from the sale of the assets of Hawk Designs, Inc.
Quiksilver cautions that these statements are qualified by
important factors that could cause actual results to differ
materially from those presented or implied in the forward-looking
statements. These statements are based on Quiksilver’s current
plans and expectations and involve risks and uncertainties that
could cause future activities and results of operations to be
materially different from those set forth in or implied by the
forward-looking statements. Quiksilver undertakes no obligation to
update these statements, which speak only as of the date of this
press release. For the factors that could cause actual results to
differ materially from expectations, please refer to Quiksilver’s
filings with the Securities and Exchange Commission and
specifically the sections titled “Risk Factors,” “Management’s
Discussion and Analysis of Financial Condition and Results of
Operations” and “Cautionary Note Regarding Forward-Looking
Statements” in Quiksilver’s Annual Report on Form 10-K and
Quarterly Reports on Form 10-Q.
Quiksilver, Inc.Robert JaffeInvestor
Relations424-288-4098zqk@quiksilver.com