K2 has acquired the assets and assumed certain liabilities of WinterQuest LLC, a privately held company founded in 1906, which is the leading marketer and manufacturer of snowshoes through its Tubbs and Atlas brands, with the #1 and #2 market shares respectively. The purchase price is a combination of K2 common stock and cash, plus the assumption of debt. For the year ended March 31, 2003, WinterQuest generated total sales of $18.6 million.
“WinterQuest is a great fit for our K2 winter products group,” said Richard J. Heckmann, chairman and chief executive officer. “This is another #1 brand that complements our existing leadership position in winter sports, and Tubbs is truly the authentic historical brand in snowshoeing. Winter aerobics has had dramatic growth over the past several years, with an estimated 6 million active participants in snowshoeing in the U.S. today.”
“The last several years have been an exciting time for WinterQuest as we have played a formative role in the development of snowshoeing as a mainstream recreational activity,” said Ed Kiniry, the chief executive officer of WinterQuest. “We believe that K2 is the perfect partner for WinterQuest in the future given its dedication to winter sports, and its powerful marketing, distribution and manufacturing capabilities.”
