Columbia Sportswear Company Reports Record First Quarter 2001 Results; Company Announces Fall Backlog Increase of 32.5%.

Business Editors

PORTLAND, Ore.--(BUSINESS WIRE)--April 26, 2001

Columbia Sportswear Company(R) (Nasdaq:COLM) today announced net sales of $138.1 million for its first quarter ended March 31, 2001, an increase of 27.4 percent over the $108.4 million of net sales for the same period of last year. Net income for the period was up 160.6% to $8.6 million, or $0.32 per share (diluted) on 26.5 million weighted average shares outstanding for the first quarter, compared to net income of $3.3 million, or $0.13 per share (diluted) on 25.8 million weighted average shares outstanding for the same period of last year.

The increase in net sales for the quarter is attributable to continued strength in the Company's key geographic markets as well as strength in each of the Company's key merchandise categories. Specifically, compared to the first quarter of 2000, the Company's Domestic sales grew by 25.4% to $86.4 million, Canadian sales increased by 28.6% to $13.5 million, and Other International sales increased 31.7% to reach $38.2 million. As a component of the Other International classification, the Company's direct European sales grew by 42.8% to $22.7 million for the first quarter of 2001 when compared to the same period of 2000. When measured in constant dollar terms, the Company's European revenue grew by 49.2% for the period. Compared to the first quarter of 2000, sportswear sales increased 15.9% to $81.0 million, outerwear sales were up 43.1% to $33.2 million, and footwear sales grew 63.9% to $20.0 million for the period.

Net income growth for the first quarter of 2001 was due primarily to (1) increased sales volumes, (2) continued strength in gross margins in the U.S. during the period, (3) low levels of closeout sales generally, and (4) improvements in operating efficiencies which contributed to a decrease in Sales, General and Administrative (SG&A) expenses as a percentage of sales to 32.5% from 37.2% for the first quarter of 2000.

The Company reported that as of March 31, 2001, consolidated backlog, including Sorel, increased 32.3 percent to $569.3 million, compared to consolidated backlog of $430.4 million at March 31, 2000. Of this total, fall product backlog at March 31, 2001 was $498.3 million, an increase of 32.5 percent when compared to fall product backlog of $376.2 million from the prior year.

Tim Boyle, Columbia's president and chief executive officer, commented "The strong numbers for the first quarter of 2001 are a function of the growing strength of the Columbia brand globally. Sales for the period were ahead of previously anticipated levels due, in large part, to better than planned shipping in both Europe and Japan. While the overall U.S. retail environment is challenging at this time, the U.S. sales numbers for the period also came in slightly ahead of our internal plan, with strength in all product categories. Backlog growth for the fall 2001 season increased at an accelerated rate when compared to the increase we experienced last year at this time. It is important to understand that fall 2001 backlog is predicated on lean outerwear inventory levels throughout the channels. Additionally, orders were generally placed in anticipation of average weather conditions for the upcoming fall 2001 season. With each of our product categories and key geographic regions continuing to perform well, we believe that our strategies will enable us to generate revenue growth in the 21-23% range, and net income growth in the 26-29% range for the full year 2001 when compared to 2000. These projections are forward-looking in nature, and are based on backlog and forecasts, which may change, perhaps significantly. In light of the softening economy in the U.S. we are mindful that the economic well-being of retailers and consumers may adversely affect sales and profit margins and cause us to fall short of our current goals. Therefore, we will continue to operate the Company using a conservative inventory model, while maintaining prudent credit extension practices with the objective of preserving a very strong balance sheet."

The Company will host a conference call to elaborate on first quarter 2001 results on Thursday, April 26th at 5 p.m. Eastern. The call will include discussions regarding the Company's first quarter 2001 performance in general and a review of the Company's geographic and merchandise category performance. To participate, please dial 888-849-9218 in the United States (outside the United States, please dial 415-904-2404) five to ten minutes prior to the call. The call will also be webcast live on the investor information section of the Company's website at www.columbia.com. A replay will be available for 24 hours after the call has ended. To access, please dial 800-633-8284 in the United States (outside the United States, please dial 858-812-6440) and enter reservation # 18507132. The replay can also be accessed on the investor information section of the Company's website at www.columbia.com until May 10, 2001.

Founded in 1938 in Portland, Ore., Columbia Sportswear Company is a global leader in the design, sourcing, marketing and distribution of active outdoor apparel and footwear. As one of the largest outerwear manufacturers in the world and the leading seller of skiwear in the United States, the Company has developed an international reputation for quality, performance, functionality and value. To learn more about Columbia Sportswear, please visit the Company's Web site at www.columbia.com.

This press release contains forward-looking statements, including Mr. Boyle's stated belief that the Company's strategies will enable it to generate revenue growth in the 21-23% range, and earnings growth in the 26-29% range for the full year 2001 when compared to 2000. Actual results could differ materially from those projected in these forward-looking statements as a result of a number of risk factors, including those set forth in the Company's Annual Report on Form 10-K dated March 28, 2001 under the heading "Factors That May Affect Our Business." These risk factors include, but are not limited to, the Company's reliance on product acceptance, effects of weather, dependence on independent manufacturers and suppliers, seasonality and fluctuations in operating results, effectiveness of the Company's sales and marketing efforts, and intense competition in the industry, which the Company believes will increase. Additional risk factors include the Company's ability to achieve and manage growth effectively, unfavorable economic conditions generally, international risks including trade disruptions, political instability in foreign markets, exchange rate fluctuations, quotas and tariffs, the financial health of customers, effective implementation and expansion of the Company's distribution facilities, operations of the Company's and third party computer systems, and the Company's ability to establish and protect its intellectual property. Although forward-looking statements help provide complete information about the Company, investors should keep in mind that forward-looking statements are inherently less reliable than historical information. The Company does not undertake any duty to update any of the forward-looking statements after the date of this release, to conform them to actual results or to changes in our expectations.

                      COLUMBIA SPORTSWEAR COMPANY

                      CONSOLIDATED BALANCE SHEETS
                            (In thousands)

                               March 31,
                         2001            2000       Change        %

 Current Assets:
   Cash and cash
    equivalents    $    40,479     $    27,828      12,651      45.5%
   Accounts receivable,
    net of allowance of
     $6,076 and $5,000,
       respectively     97,174          81,424      15,750      19.3%
   Inventories         127,717          91,636      36,081      39.4%
   Deferred tax asset   12,129          11,489         640       5.6%
   Prepaid expenses and
    other current
     assets              4,939           3,574       1,365      38.2%
                       -------         -------     -------
       Total current
        assets         282,438         215,951      66,487      30.8%

 Property, plant and
  equipment, net        81,653          66,897      14,756      22.1%
 Intangibles and other
  assets                 8,861           1,862       6,999     375.9%
                       -------        --------   ---------
    Total assets   $   372,952     $   284,710      88,242      31.0%
                       =======        ========   =========


 Current Liabilities:
   Notes payable   $   24,261      $   21,687        2,574      11.9%
   Accounts payable    36,313          27,755        8,558      30.8%
   Accrued
    liabilities        21,071          16,497        4,574      27.7%
   Current portion of
    long-term debt        314             258           56      21.7%
                       ------           -----        -----
       Total current
        liabilities    81,959          66,197       15,762      23.8%

 Long-term debt        25,919          26,599         (680)     -2.6%
 Deferred tax
  liability             2,468           4,012       (1,544)    -38.5%
 Shareholders'
  equity              262,606         187,902       74,704      39.8%
                      -------         -------       ------

       Total liabilities
        and shareholders'
         equity   $   372,952     $   284,710       88,242      31.0%
                  ===========     ===========       ======



                 CONSOLIDATED STATEMENTS OF OPERATIONS
               (In thousands, except per share amounts)

               Three Months Ended March 31,   Three Months Ended
                   2001         2000           Change        %

Net sales      $  138,083   $  108,437         29,646      27.3%
Cost of sales      78,882       61,899         16,983      27.4%
               ----------   ----------       -----------
  Gross profit     59,201       46,538         12,663      27.2%
                     42.9%        42.9%

Selling, general, and
 administrative    44,893       40,378          4,515      11.2%
               ----------   ----------       -----------

Income from
 operations        14,308        6,160          8,148     132.3%
Interest expense,
 net                   80          684           (604)    -88.3%
               ----------   ----------       -----------

Income before
 income tax        14,228        5,476          8,752     159.8%
Income tax
 provision          5,620        2,204          3,416     155.0%
               ----------   ----------       -----------

Net income      $   8,608    $   3,272          5,336     163.1%
               ==========   ==========       ===========

Net income per share:
  Basic         $    0.33    $    0.13
  Diluted       $    0.32    $    0.13

Weighted average shares outstanding:
  Basic            25,798       25,373
  Diluted          26,530       25,780