adidas-Salomon Enters License Agreement with Fossil
Herzogenaurach/Amsterdam, November 9, 2004 - The adidas-Salomon Group announced today that it has entered into a long-term global license agreement with Fossil, Inc. to produce and distribute adidas watches and functional timing products as of January 1, 2006. The agreement is between Fossil, Inc. and adidas International Marketing B.V., the marketing entity of the adidas-Salomon Group. Both companies have agreed to keep the financial terms confidential. The partnership with the current licensee partner, Hong Kong-based Stelux Watch Limited, will end on December 31, 2005. All parties have committed to ensure a smooth transition.
Through this agreement with Fossil, adidas gains a strong partner in innovative watch making and Fossil adds the sports performance component to its business. adidas and Fossil will work together on bringing new and innovative sports timing products to the market.
Combining Fossil's know-how in watch making and marketing, with adidas' knowledge of the sports industry makes perfect sense for both companies. adidas-Salomon and Fossil will work together on fulfilling the athletes' needs in terms of functional and innovative time measurement solutions. adidas-Salomon is looking forward to a successful partnership.
"adidas fits our company directives to a tee, providing us a world recognized brand in an increasingly important sports category. Utilizing our worldwide infrastructure in design, sourcing, marketing and distribution should enable the accelerated growth of adidas timing sales by bringing the right product to a worldwide market in a timely and efficient manner," stated Mike Barnes, Fossil's President of International Sales.
Dallas-based Fossil designs, develops, markets and distributes an extensive line of watches sold under the company's proprietary brands as well as licensed brands for renowned fashion companies. Fossil, whose products are sold in over 90 countries around the world, posted fiscal year 2003 sales of $781 million.
adidas-Salomon would like to thank Stelux for its more than 10 years of successful contributions to build a solid adidas timing franchise with award-winning designs.
adidas-Salomon is one of the global leaders within the sporting goods industry and offers a broad range of products with brands such as adidas, Salomon and TaylorMade in its portfolio.