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Ashworth, Inc. Announces Management Agreement with Fletcher Leisure Group Inc. to Distribute Callaway Golf Apparel in Canada.


CARLSBAD, Calif. -- Ashworth, Inc. (NASDAQ NASDAQ
 in full National Association of Securities Dealers Automated Quotations

U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on
:ASHW), a leading designer of sportswear and golf apparel, today announced the Company has signed a management agreement with Fletcher Leisure Group Inc., Quebec, Canada to distribute Callaway Golf(R) apparel products throughout Canada. The agreement becomes effective immediately.

In 1998 Ashworth, Inc. established Ashworth Canada as a wholly owned subsidiary Wholly Owned Subsidiary

A subsidiary whose parent company owns 100% of its common stock.

Notes:
In other words, the parent company owns the company outright and there are no minority owners.
 of Ashworth, Inc. Fletcher Leisure Group Inc. manages Ashworth Canada and facilitates the direct sales and distribution of Ashworth's complete line of products in Canada.

Randall L. Herrel, Sr., Chairman and Chief Executive Officer, stated, "Since Ashworth Canada was established to sell Ashworth products directly into the Canadian market we can now also use this operation to offer a more complete line of Callaway Golf apparel products to the Canadian market. Ashworth, Inc. believes it will substantially improve its ability to provide high quality customer service, control distribution and increase sales of Callaway Golf apparel in Canada. Some of the targeted improvements to the Canadian consumer will include: competitive pricing and a larger selection of Callaway Golf apparel products including men's, women's, outerwear and sportswear lines."

"As Callaway Golf apparel is a licensed brand of Ashworth, Inc. We are proud to expand our partnership with Ashworth. Consolidating Callaway Golf apparel and Ashworth under the Fletcher umbrella in Canada makes a lot of sense from an operational and distribution point of view. From a sales stand point, Callaway Golf apparel will be run separately and with an expanded sales team. While perpetuating Callaway Golf's global branding initiatives, we look forward to growing Callaway Golf apparel in Canada and positioning it where this outstanding brand belongs. We feel confident to grow Callaway Golf Apparel Canada in a way that will be rewarding to Canadian customers, Callaway Golf, Ashworth and Fletcher Leisure Group," said Mark Fletcher Mark Fletcher was the founder and CEO of the news aggregator website, Bloglines, and a Vice President of Ask.com until June 2006[1]. Ask Jeeves acquired Bloglines on 8 February 2005. , President, Fletcher Leisure Group Inc.

Mr. Fletcher, continued, "With over 40 years of industry experience, Fletcher Leisure Group Inc. is the largest, privately owned supplier of golf and lifestyle apparel in Canada. Featuring sales representatives from coast to coast, a bilingual customer service department and full service embroidery embroidery, ornamental needlework applied to all varieties of fabrics and worked with many sorts of thread—linen, cotton, wool, silk, gold, and even hair. Decorative objects, such as shells, feathers, beads, and jewels, are often sewn to the embroidered piece.  operations, Fletcher Leisure Group Inc. is positioned as a vertically integrated company capable of responding to orders with great professionalism and efficiency."

Fletcher Leisure Group Inc. is the largest supplier of branded golf apparel in the Canadian golf market with distribution in golf pro shops, golf specialty stores Noun 1. specialty store - a store that sells only one kind of merchandise
shop, store - a mercantile establishment for the retail sale of goods or services; "he bought it at a shop on Cape Cod"
, sporting goods Noun 1. sporting goods - sports equipment sold as a commodity
commodity, trade good, good - articles of commerce

sports equipment - equipment needed to participate in a particular sport
 retail stores, resorts and universities, as well as corporations via promotional merchandise companies.

To learn more, please visit www.fletchergolf.com

Ashworth, Inc. is a designer of men's and women's golf-inspired lifestyle sportswear distributed domestically and internationally in golf pro shops, resorts, upscale department and specialty stores and to corporate customers. Ashworth products include three main brand extensions. Ashworth Collection(TM) is a range of upscale sportswear designed to be worn on and off course. Ashworth Authentics(TM) showcases the most popular items from the Ashworth line. Ashworth Weather Systems(R) utilizes technology to create a balance between fashion and function in a variety of climatic conditions. Callaway Golf and Big Bertha Big Bertha

Either of two different sets of long-range artillery produced by the Krupp works (see Thyssen Krupp Stahl) in Germany during World War I. The first were 420-mm (16.5-in.) howitzers used by German forces advancing through Belgium in 1914.
 are trademarks of Callaway Golf Company Callaway Golf Company is an American golf company based in Carlsbad, California. They manufacture woods, irons, wedges, putters and golf balls and license its name for apparel, footwear, timepieces and accessories. . Ashworth, Inc., 2765 Loker Avenue West, Carlsbad, CA 92008 is an Official Licensee of Callaway Golf Company.

In July 2004, Ashworth, Inc. acquired Gekko Brands, LLC (Logical Link Control) See "LANs" under data link protocol.

LLC - Logical Link Control
 ("Gekko"), a leading designer, producer and distributor of headwear head·wear  
n.
A hat or other covering for the head.
 and apparel under The Game(R) and Kudzu kudzu (kd`z), plant of the family Leguminosae (pulse family), native to Japan. (R) brands. This strategic acquisition provides opportunity for additional growth in new, quality channels of distribution for the Ashworth and Callaway Golf apparel brands as well as further growth from The Game and Kudzu brands' sales into the Company's current distribution channels. The Game brand products are marketed primarily under licenses to over 1,000 colleges and universities, as well as to the PGA TOUR The PGA Tour is an organization that operates the USA's main professional golf tours. It is headquartered in Ponte Vedra Beach, Florida, USA. Its name is officially rendered in all caps as “PGA TOUR". , resorts, entertainment complexes and sporting goods dealers that serve the high school and college markets. The Game brand is one of the leading headwear brands in the College/Bookstore distribution channel. The Kudzu brand products are sold into the NASCAR/racing markets and through outdoor sports distribution channels, including fishing and hunting. The acquisition enhances Ashworth, Inc.'s multi-brand, multi-channel, global business model in several ways. The transaction increases Ashworth's channels of distribution from three to six and increases the number of brands that can be sold into each distribution channel while leveraging existing channel relationships, sales forces and expertise.

To learn more, please visit www.ashworthinc.com

This press release contains forward-looking statements forward-looking statement

A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections.
 related to the Company's market position, finances, operating results, marketing plans and strategies. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no responsibility to publicly release the results of any revisions to these forward-looking statements that may arise from changing circumstances or unanticipated events. These statements involve risks and uncertainties that could cause actual results to differ materially from those projected. These risks include the timely development and acceptance of new products, as well as strategic alliances, the integration of the Company's recent acquisition, the impact of competitive products and pricing, the success of the Callaway Golf apparel product line, the preliminary nature of bookings information, the ongoing risk of excess or obsolete inventory Obsolete Inventory

Term that refers to inventory that is at the end of its product life cycle and has not seen any sales or usage for a set period of time usually determined by the industry. This type of inventory has to be written down and can cause large losses for a company.
, the potential inadequacy of booked reserves, the timely completion and successful operation of the new distribution facility in Oceanside, CA, and other risks described in Ashworth, Inc.'s SEC reports, including the report on Form 10-K Form 10-K

A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information.


Form 10-K

See 10-K.
 for the year ended October 31, 2003 and Form 10-Q's filed thereafter.
COPYRIGHT 2004 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2004, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Geographic Code:1USA
Date:Sep 7, 2004
Words:914
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