Big 5 Sporting Goods Corporation announced that KPMG LLP, the company’s independent registered public accounting firm, has informed the company that KPMG has not yet completed its final review and audit of BGFV’s Annual Report on Form 10-K for fiscal 2004. As a result, Big 5 was not be able to file the fiscal 2004 Form 10-K with the Securities and Exchange Commission by the August 31, 2005 extended deadline provided by the Nasdaq Listing Qualifications Panel.

KPMG is completing its final review and audit of the Form 10-K. Based on discussions with KPMG, the company had expected that this review and audit would be completed in order to permit the filing of the Form 10-K by August 31, 2005. The Company has now been advised by KPMG that it still needs an additional few days for all work associated with the audit to be completed. The Company’s previous announcements regarding the expected impact of all known restatement items remain unchanged.

BGFV previously announced that the Panel had granted them an additional extension to August 31, 2005 to file the fiscal 2004 Form 10-K. The company also announced that as part of its decision, the Panel advised the company that no further requests for an extension to file the fiscal 2004 Form 10-K would be considered.

Wednesday, Big 5 and KPMG advised the Nasdaq Listing Qualifications Hearings Department of the status of the company’s fiscal 2004 Form 10-K and the company requested that the Panel grant an additional brief extension of time to allow KPMG to conclude its work and to enable the company to file its Form 10-K. Big 5 has not received any decision from the Panel in response to its request, and there can be no assurance that the company’s request will be granted. In the event that the request is not granted, the Company’s shares may be delisted from the Nasdaq National Market. In such event, the company expects that its shares would trade in the over-the-counter market and the company would apply for relisting of its shares on the Nasdaq National Market as soon as its SEC filings were current.

Big 5 also has obtained from the lenders under its financing agreement an extension to September 9, 2005 to deliver its audited financial statements for fiscal 2004 as required by its financing agreement. While the company expects to be able to deliver such audited financial statements by then, if the company is not able to do so, it intends to seek another extension, although there is no assurance that one will be granted. The company is in compliance with all of the covenants contained in its financing agreement.