Net income fell 60% to $7,110,000 from $17,997,000 forthe period ended March 31. Q1 operating profit slipped 74% to $5,350,000 andgross margins were off 40 b.p. to 46.6%. Total Q1 revenues were down 16% to$102,909,000 from $122,568,000 with domestic sales off 34% to $41.4 million andinternational up 2% to $61.5 million. The Sportstyle segment was off 25% to anindicated $77.2 million; performance rose 35% to an indicated $19.6 million andOther was up 12% to an indicated $6.2 million.

K-Swiss warned that the brand’s “long-term momentum”internationally appeared to be ending as it reported a 25% drop in globalbacklog to $128,305,000. Management gave ... Log in to view full article.