The Hockey Company Holdings Inc. announced net sales for the three months ended June 30, 2003 were $52.3 million, an increase of $7.7 million or 17.4% over the same period of the prior year. Gross margin grew by $4.2 million or 20.7% to $24.4 million or 46.7% of sales compared with 45.4% in 2002. EBITDA amounted to $13.4 million, an increase of $4.6 million over the prior year and net income amounted to $4.4 million or $0.54 per share compared with a loss in the prior year of $0.3 million or $0.05 per share.

Net sales for the six months ended June 30, 2003 were $90.1 million, an increase of $11.4 million or 14.5% over the same period of the prior year. Gross margin grew by $6.0 million or 17% to $41.1 million or 45.6% of sales compared with 44.7% in 2002. EBITDA amounted to $20.5 million, an increase of $10.3 million over the prior year and net income amounted to $5.4 million or $ 0.70 per share compared with a loss in the prior year of $4.0 million or $0.55 per share.

Sales growth to date has been driven largely by the equipment segment, with the success of the Company's Pro Tack ice skate and Vector one-piece stick models being principally responsible. Apparel sales were down slightly against a year ago, directly attributable to the small market teams making the final rounds of the NHL playoffs. Margins remained strong in both segments. Geographically, Canada and Europe have done well while the United States has been relatively flat.

Foreign exchange has impacted on the presentation of the reported results. Due to the strength of the various currencies in which the Company operates, when measured against the United States dollar, sales for six months are approximately $4.3 million higher than in 2002 on a constant dollar basis. However, net income is virtually unaffected by foreign exchange except for an unrealized foreign exchange gain on long-term debt which amounts to $7.8 million after tax, or $1.02 per share, for the first six months of 2003 compared with $1.8 million, or $0.25 per share, in 2002. For the three months ended June 30, 2003 the after-tax gain on the debt was $4.3 million, or $0.52 per share, compared with $1.8 million, or $0.24 per share, in 2002.

In the second quarter of 2002 the Company also incurred a one-time loss of $3.3 million on the early extinguishment of long-term debt.

“I am very pleased with the results to date, especially the strong response to our new high-end CCM skate and stick products” stated Matthew H. O'Toole, President and Chief Executive Officer. “This is our eighth straight quarter of solid increases in operating income and reflects the value of our strategy of launching innovative products to the avid hockey player and fan. With a strong order book on hand and excellent product availability, I believe we will continue this momentum for the balance of the year and achieve significant year over year operating growth in both the top and bottom line.”

Initial Public Offering

On June 11, 2003 the Company completed its initial public offering (“Offering”) resulting in the issuance of 4,500,000 common shares and raising CDN$72 million in gross proceeds. Furthermore, on July 11, 2003 the underwriters exercised their over allotment option for a further 429,200 common shares which generated additional gross proceeds of approximately CDN$6.9 million.

As a result of this public offering the Company strengthened its balance sheet significantly through the redemption of 13% preference shares. It also fulfilled its obligation to prepay certain royalties to National Hockey League Enterprises thereby confirming the 10-year historic alliance previously announced by the Company granting it extensive rights on an exclusive and semi-exclusive basis to 2014.

Mr. O'Toole stated, “It's great to have cemented our long term alliance with the National Hockey League, the premier hockey league in the world, and improved the Company's balance sheet establishing a firm foundation for the Company's future direction. It was very gratifying to see the positive reaction from investors to the Company's growth strategy. Our goal is to build the world's dominant company in the hockey industry, and to do so we will continue to focus on product leadership and customer satisfaction. Through the strength of our brands and our relationships with strong partners such as the NHL we are well positioned to bring our innovative products to market in a very visible manner.”

                                                

                              For the Three          For the Six
                               Months ended          Months ended
                          --------------------------------------------
                            June 30,   June 30,   June 30,   June 30,
                               2002       2003       2002       2003
                          --------------------------------------------

Net sales                 $   44,567 $   52,329 $   78,728 $   90,108
Cost of goods sold            24,334     27,907     43,571     48,978
                           ---------- ---------- ---------- ----------
         Gross profit         20,233     24,422     35,157     41,130
Selling, general and
 administrative expenses      14,872     17,247     29,485     32,979
                           ---------- ---------- ---------- ----------
     Operating income          5,361      7,175      5,672      8,151
Other income, net                (71)      (966)       (71)    (1,603)
Interest expense               4,486      5,482      8,357     10,175
Foreign exchange gain         (2,251)    (4,036)    (2,270)    (8,414)
Loss on early
 extinguishment of debt        3,265          -      3,265          -
                           ---------- ---------- ---------- ----------
Income (loss) before
 income taxes                    (68)     6,695     (3,609)     7,993
Income taxes                     262      2,334        368      2,626
                           ---------- ---------- ---------- ----------
Net income (loss)               (330)     4,361     (3,977)     5,367
Deficit, beginning of
 period                      (15,522)    (4,531)   (11,875)    (5,537)
                           ---------- ---------- ---------- ----------
Deficit, end of period    $  (15,852)$     (170)$  (15,852)$     (170)
                           ========== ========== ========== ==========

Basic earnings (loss) per
 share before foreign 
 exchange on Senior
 Secured Notes                 (0.29)      0.01      (0.80)     (0.32)
Basic earnings (loss) per
 share - foreign exchange
 gain on Senior Secured
 Notes                          0.24       0.53       0.25       1.02
Basic earnings (loss) per
 share:
        - Basic                (0.05)      0.54      (0.55)      0.70
        - Diluted              (0.05)      0.52      (0.55)      0.68