Press Release

Update on Deckers Brands' Response to COVID-19

Company Release - 3/20/2020 11:57 AM ET

GOLETA, Calif., March 20, 2020 /PRNewswire/ -- Deckers Brands (NYSE: DECK), a global leader in designing, marketing, and distributing innovative footwear, apparel, and accessories, today announced an update to the actions the Company is taking in response to COVID-19.

On March 19, as a measure to combat the spread of COVID-19, California Governor Gavin Newsom implemented a statewide order for all residents to stay at home, reducing all activity to essential needs only. In response to this mandate, Deckers Brands has further adjusted its operations as follows.

MORENO VALLEY DISTRIBUTION CENTER

The Company's distribution center located in Moreno Valley, California will temporarily close, beginning Friday March 20. Impacted employees will receive pay and benefits for a temporary period while the Company works to address the full impact of this new order. Management will continue to evaluate and respond to this evolving situation.

This distribution center is one of two warehouses that services domestic operations of the Company. A portion of domestic orders are also fulfilled through a third-party logistics provider in Pennsylvania, which is currently in operation.

ECOMMERCE PLATFORM

Ecommerce platforms for UGG and HOKA ONE ONE continue to be available to consumers. However, due to the temporary closure of the Moreno Valley distribution center, domestic product availability may be limited, and shipping times may be delayed until normal warehouse operations resume. Also related to the closure of the California-based warehouse, domestic ecommerce orders for the Teva, Sanuk and Koolaburra brands are temporarily suspended. Customer service teams continue to support all of the Company's brands remotely and are available to assist.

The Company will continue to monitor this fluid situation and will dynamically adjust its operations as deemed necessary.

About Deckers Brands

Deckers Brands is a global leader in designing, marketing, and distributing innovative footwear, apparel, and accessories developed for both everyday casual lifestyle use and high-performance activities. The Company's portfolio of brands includes UGG®, Koolaburra®, HOKA ONE ONE®, Teva®, and Sanuk®. Deckers Brands products are sold in more than 50 countries and territories through select department and specialty stores, Company-owned and operated retail stores, and select online stores, including Company-owned websites. Deckers Brands has over 40 years of history building niche footwear brands into lifestyle market leaders attracting millions of loyal consumers globally. For more information, please visit www.deckers.com.      

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, which statements are subject to considerable risks and uncertainties.  Forward-looking statements include all statements other than statements of historical fact contained in this press release, including statements regarding our anticipated financial performance, including our projected net sales, margins, expenses, effective tax rate and earnings (loss) per share, as well as statements regarding our progress towards the achievement of our long term strategic objectives, our ability to compete in our industry, our product and brand positioning and strategies, and our potential repurchase of shares. We have attempted to identify forward-looking statements by using words such as "anticipate," "believe," "could," "estimate," "expected," "intend," "may," "plan," "predict," "project," "should," "will," or "would," and similar expressions or the negative of these expressions.

Forward-looking statements represent our management's current expectations and predictions about trends affecting our business and industry and are based on information available as of the time such statements are made. Although we do not make forward-looking statements unless we believe we have a reasonable basis for doing so, we cannot guarantee their accuracy or completeness. Forward-looking statements involve numerous known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements predicted, assumed or implied by the forward-looking statements. Some of the risks and uncertainties that may cause our actual results to materially differ from those expressed or implied by these forward-looking statements are described in the section entitled "Risk Factors" in our Annual Report on Form 10-K for the fiscal year ended March 31, 2019, as well as in our Quarterly Reports on Form 10-Q and other filings with the Securities and Exchange Commission.

Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. Except as required by applicable law or the listing rules of the New York Stock Exchange, we expressly disclaim any intent or obligation to update any forward-looking statements, or to update the reasons actual results could differ materially from those expressed or implied by these forward-looking statements, whether to conform such statements to actual results or changes in our expectations, or as a result of the availability of new information.

Deckers Brands Logo (PRNewsfoto/Deckers Brands)

 

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SOURCE Deckers Brands

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