Patagonia and Wolverine World Wide's Merrell footwear brand have entered into a long-term global license agreement to produce Patagonia footwear. The first product line is expected at retail in spring 2007. Under the agreement, Merrell will design, manufacture and market performance footwear under the Patagonia name with rights to other Patagonia brands including Water Girl, clothing and swimwear for women, and Lotus Designs, white-water paddling gear. The new footwear line will be distributed through the 32 Patagonia stores in the U.S., Europe and Japan, in Patagonia’s distribution network, and in premium footwear and outdoor specialty stores.

Rick Ridgeway, Patagonia’s vice president of marketing and environmental initiatives, noted, “A significant license deal between two companies is not unlike a marriage. You do your homework – do you both see eye-to-eye on not just the fundamentals, but on the fine points of your philosophies? But at the end of the day, as St. Thomas Aquinas put it, you have to trust the authority of your instincts, and here at Patagonia we all feel that we’ve created a marriage that’s going to be both fruitful and long-lived.”

Patagonia is a world leader in the design and marketing of performance and lifestyle outerwear and apparel. For more than 30 years, the company has pioneered the development of environmentally-conscious and innovative outdoor performance products and manufacturing techniques.

The same environmental sensitivity found at Patagonia headquarters will be incorporated into the new Patagonia footwear line, allowing Patagonia to stay true to its mission statement of making the best product, causing the least amount of harm and using business to inspire and implement solutions to the environmental crisis. Merrell is the global reference brand for outdoor performance footwear and its innovative products are designed to perform for all who embrace the outdoor lifestyle. Currently, Merrell is marketed in over 135 countries around the world.

“Merrell and Patagonia are kindred spirits in a rapidly changing world,” said Jacques Lavertue, president of Wolverine’s Outdoor Group. “For many years, Patagonia and Merrell have shared the same space in the hearts and minds of true outdoor enthusiasts around the globe. We have great respect for Patagonia’s position as a true leader and innovator in technical outdoor apparel, and its long time commitment to the environment. While technically this is a licensing agreement, both management teams view this as the beginning of a long-term partnership. We are pleased that Patagonia footwear has found a home in Wolverine World Wide’s Outdoor Group.”

Commenting on the announcement, Michael Crooke, president and CEO, said, “Patagonia is a brand that is focused on what we love to do – outdoor activities that entail some risk, while requiring soul and inviting reflection. Footwear that bears our brand names must have that same spirit and commitment. Wolverine World Wide and Merrell are a natural fit with us. We take great comfort in knowing that this established, international footwear company shares our philosophy. We view this license as an opportunity to partner with Merrell, the design leader in outdoor footwear, and to build our global Patagonia business.”

Tim O’Donovan, chairman and chief executive officer of Wolverine, said, “This is an exceptional opportunity for Wolverine. We look forward to joining forces with the talented Patagonia team and anticipate that both parties will benefit from this long term partnership. We are particularly interested in the opportunities to adopt and mirror many of the environmentally conscious activities Patagonia has developed and sustained over the past several decades. In particular, I am proud to announce that Wolverine World Wide will be participating in “1% For The Planet,’” an organization co-founded by Yvon Chouinard, the founder of Patagonia. Under this program, Wolverine World Wide will contribute 1% of sales of Patagonia footwear to environmental organizations. With the anticipated success of this joint initiative, we believe these contributions will have a significant impact in safeguarding and improving the environment.”