The change is based on the resolutions of PUMA AG’s shareholders’ meeting of 11 April 2007. The shareholders’ meeting had appointed Lindenberg, Stahl and Herz with the proviso that their appointment should end upon the expiry of the day on which the clearance of the business combination of PPR S.A. and PUMA AG pursuant to the EU Merger Control Regulation had been announced by the European Commission. At the same time, François-Henri Pinault, chairman of the administrative board of PPR S.A., Jean-François Palus, Chief Financial Officer of PPR S.A. and Grégoire Amigues, director for strategy and business development of PPR S.A. had been appointed with effect as from the beginning of the day following the day on which the EU merger clearance has been announced.

The term of office of these three shareholder representatives in the supervisory board will expire by the end of the shareholders’ meeting resolving on the discharge for the financial year 2011.

Jochen Zeitz, CEO and Chairman, PUMA AG: “We are pleased that the PUMA shareholders have with their vote supported the junction of PUMA with the PPR group and set the basis for a successful cooperation. With the support of PPR we will use the large potential of our brand and the emerging possibilities on a long-term basis and will invest into brand-building, enabling us to further strengthen our position as the leading company in the Sportlifestyle market.”

PUMA has become a member of the PPR group. PUMA will announce its financial results for the 2nd Quarter and First Half-Year of 2007 on August, 9. PPR will announce its consolidated financial results for the First Half-Year on August, 31. Additionally, PPR will inform about sales of the PPR group including PUMA on July, 26.

Appointment marks the first time a European manager is named to the Board of Directors of the US Premium brand

Jochen Zeitz, CEO and Chairman of PUMA AG, has been appointed as a member of the Board of Directors of Harley-Davidson, Inc. Zeitz becomes the first European Manager to join the Board of Directors of the US premier motorcycle manufacturer that currently comprises 10 members.

James Ziemer, President and CEO Harley-Davidson, Inc.: “Jochen brings a wealth of international consumer products business expertise and strong leadership in international financial management, marketing and brand management. Harley-Davidson is a premium brand and the ultimate choice in motorcycling and we are focused more than ever on retail excellence and ensuring that our products lead and define the heavyweight motorcycle industry. Jochen will be a great asset and contributor to these efforts.”

Jochen Zeitz, CEO and Chairman: “I am delighted to have been appointed to the Board of Directors of a company, which reveals an unprecedented success story. Harley-Davidson has evolved in the same direction as PUMA, developing from a supplier of functional products to a global premium brand, with a dynamic company history that combines extraordinary styling with modern lifestyle thereby fascinating customers from all over the world”.

Consolidated sales increase currency adjusted more than 3%

Highlights Q2

• Consolidated sales increase currency adjusted more than 3%
• Gross profit margin above 52%
• EBIT margin 11% versus 13% last year
• EPS at € 2.82 versus € 3.12

Highlights First Half-Year

• Global brand sales at € 1.4 billion
• Consolidated sales up over 5% currency adjusted
• Gross profit margin remains at 52%
• EBIT at € 196 million, representing 16% of sales versus 17% last year
• EPS at € 8.84 compared to € 8.95

Outlook 2007

• Orders up 0.5% currency adjusted
• Management confirms sales and earnings growth in the low single-digits for FY 2007

Sales and Earnings Development

Global brand sales at € 1.4 billion in first half

PUMA’s brand sales, which include consolidated sales and license sales, reached € 621.9 million during Q2, thus marking a currency adjusted increase of 4.2% (0.4% in Euro).

During the first six months, brand sales rose 6.7% currency adjusted (2.0% in Euro) to € 1,384.0 million. Like-for-like, footwear sales increased 5.9% to € 780.2 million, Apparel improved by 7.2% to € 479.0 million and Accessories rose by 10.8% to € 124.7 million.

Licensed business up 12% after six months

In Q2, the licensed business increased by 8.5% currency adjusted to € 79.1 million and by 12.2% to € 185.4 million after six months.

The company realized a royalty and commission income in Q2 of € 8.8 million versus € 7.3 million in the prior year, an increase of 21.4%. Year-to-date, royalty and commission income was up 17.4% to € 18.5 million.

Consolidated sales up more than 5% after six months

In Q2, consolidated sales grew 3.1% currency adjusted. Due to the continued strength of the Euro currency, Sales were slightly down in Euro terms 0.7% to € 542.8 million. In the EMEA and Asia/Pacific regions sales increased currency adjusted in high single-digits, whereby the Americas declined low double-digits versus last year. In total, Footwear was up 1.1% to € 320.9 million, Apparel improved by 6.8% to € 185.6 million and Accessories by 2.7% to € 36.3 million on a currency neutral basis. Sales in Q2 were positively affected by early shipments in June.

Sales in the first six months were up 5.5% currency adjusted to € 1,198.6 million. In segments, Footwear increased 5.5% to € 734.4 million, Apparel 5.8% to € 386.2 million and Accessories 3.8% to € 78.0 million.

Gross profit margin remained at 52%

The gross profit margin reached 52.2% in Q2 and for the first half compared to 51.4% and 51.9% respectively. In the first half, the Footwear and the Apparel margins increased from 51.8% to 52.1% whereby Accessories increased from 53.5% to 53.8%. Due to the continued weakness of the US-Dollar versus the Euro and therefore a better hedge than last year, gross profit margin was positively affected by approximately 100 basis points.

SG&A

SG&A expenses increased in Q2 by 4.6% to € 220.6 million and by 2.9% to € 427.9 million during the first half. As a percentage of sales, the cost ratio increased from 38.6% to 40.6% and from 35.0% to 35.7% respectively. The increase in cost ratio is due to continuous investments in brand and infrastructure according to budget. In addition, some one-time costs were booked in Q2.

For the first half, Marketing/Retail expenses were almost flat and accounted for € 207.4 million or 17.3% of sales. Product development and design expenses rose by 6.2% to € 28.6 million or to 2.4% of sales. Other selling, general and administrative expenses were up 5.5% to € 191.8 million, or from 15.3% to 16.0% of sales.

EBIT at € 196 million

In Q2, EBIT was down by 11.9% to € 61.0 million and by 2.8% to € 195.9 million after six months. This resulted in an EBIT margin of 11.2% and 16.3% respectively.

Including the interest result of € 2.5 million in Q2 and € 4.8 million for the first half, pre-tax profit decreased by 11.0% to € 63.5 million and by 2.3% to € 200.7 million respectively. The tax ratio was calculated at 28.7% versus 29.0% during the six month period.

Earnings per share

Net earnings decreased by 9.9% to € 45.2 million in Q2 and by 1.0% to € 141.7 million in the first half. The net return amounts to 8.3% versus 9.2% and 11.8% versus 12.0% respectively.

Earnings per share in Q2 reached € 2.82 versus € 3.12 last year. Year-to-date earnings per share were down only slightly by 1.2% to € 8.84 compared to € 8.95. Diluted earnings per share were calculated at € 2.81 compared with € 3.03 and € 8.82 versus € 8.81 respectively.

Net Assets and Financial Position

Equity ratio at 60%

As of June 30, 2007, total assets climbed by 20.0% to € 1,830.6 million and the equity ratio reached 60.3% after 63.1% in the previous year.

Working capital

Inventories grew 17.0% to € 389.2 million and receivables were up 12.9%, reaching € 453.8 million. As expected, the inventory situation improved versus the last quarters. The increase in receivables is mainly due to the sales increase in particular in June due to the mentioned early shipments. Total working capital at the end of June totaled € 516.4 million versus 468.5 million last year, an increase of 10.2%.

Capex/Cashflow

For Capex, the company spent € 35.7 million versus € 81.4 million last year, whereas € 4.9 million versus € 47.2 million were related to acquisitions.
Free Cashflow amounts to € 64.5 million compared to € -99.1 million last year or € 69.4 million versus € -51.9 million excluding acquisition costs. Thereof, the company distributed € 39.9 million as dividend and invested € 41.6 million for the share-buy-back program.

Cash position

Total cash end of June stood at € 443.1 versus € 354.5 million last year. Bank debts were up from € 48.5 million to € 59.8 million. As a result, the net cash position improved from € 306.0 million to € 383.3 million year-over-year despite the above mentioned out-flows.

Own Shares/ Subscribed Capital

Effective April 10, 2007 all own shares were cancelled and share capital was reduced accordingly. As of today, the company has no treasury stocks in its balance sheet. Subscribed capital consists of 16,020,964 shares end of period.

Regional Development

Sales in the EMEA-region reached € 282.9 million in Q2, a currency adjusted increase of 9.4%. In particular, the EMEA-region was positively affected by early shipments in June as mentioned above. Year-to-date, sales increased by 8.7% to € 643.8 million.

Gross profit margin reached 53.9% compared to 55.0% last year. Orders on hand were slightly up 0.6% to € 568.1 million. It should be considered that end of June orders already include a higher share of next year shipments versus last year.

As expected, Q2 sales in the Americas were down 11.1% currency adjusted reaching € 145.3 million. First half sales decreased 3.1% to € 319.7 million. The gross profit margin, however, increased by 190 basis points to 49.6%. The order volume was down by 11.8% to € 241.1 million.

Due to the already announced business related adjustment with one key account that had seen a significant sales increase in the prior years, as well as a continuous moderating environment in the US mall business sales in the US market were down 20.3% in Q2 and 10.4% after six months. Orders for the US decreased 16.2% to $ 211.1 million at the end of June.

In Q2, the Asia/Pacific-region increased sales currency adjusted by 9.1% to € 114.5 million and 8.8% in six months reaching € 235.1 million. The gross profit margin was up by 60 basis points and reached 51.2%. Orders on hand were up 20.4% and totaled € 191.9 million with a strong increase in the Chinese market.

Outlook 2007

Orders up 0.5% currency adjusted
Total orders on hand as of June increased currency adjusted 0.5% but decreased in Euro terms 1.8% and totaled € 1,001.2 million. However, a higher share of orders for deliveries in the following year is already included. Orders for the second half of 2007 show a decline of approximately 2% currency neutral.

In terms of product segments, Footwear orders were down by 6.3% currency adjusted to € 616.0 million. Apparel orders increased 16.2% to € 328.8 million and Accessories 1.0% to € 56.3 million.

Management confirms sales and earnings growth in the low single-digits
Management confirms sales and earnings growth in the low single-digits for FY 2007 with an estimated gross profit margin between 50%-51%. Royalty and commission income should only be slightly above last year which is mainly due to the expiration of the license contract in Korea.

The total cost ratio is expected to be around or above 35% of sales mainly due to already announced investments in relation to the Volvo Ocean Race participation as well as other planned SG&A initiatives. As a result, EBIT should almost develop in line with sales providing an EBIT margin nearly on last year’s level. Tax rate is estimated at or around 29%.

Jochen Zeitz, CEO: “We are encouraged by our Q2 results, which show continued growth despite difficult comps due to last year’s World Cup. Even if the year 2007 remains challenging we will continue to invest in brand initiatives in order to tap into the significant long-term brand potential.”

François-Henri Pinault, Chairman and CEO of PPR and Chairman of the Supervisory Board of PUMA:
“We are happy to announce Jochen Zeitz’s appointment to the Executive Committee and the Board of Directors. This step allows the use of the qualitative synergies between the PPR brands and PUMA and therefore further supports the successful collaboration between PUMA and PPR.”

Jochen Zeitz, CEO and Chairman: “I am delighted to have been appointed to the Executive Committee and the Board of Directors of PPR. This step will reinforce PUMA’s position within the PPR Group and the support of PPR’s Executive Committee gives us the possibility to further strengthen our position as one of the most desirable Sportlifestyle companies.”

Jochen Zeitz, CEO and Chairman: “We support the aim of Peace One Day and want to make a contribution to the generation of global peace on one day. Within our commitment, we will develop a special charity football collection, available in 2008. We are delighted to be a strong and long-term partner of this exemplary initiative.”

PUMA has a proven track record in fundraising initiatives such as supporting the United for Africa charity during the World Cup. Peace One Day is another important charity organization that PUMA can help by offering its expertise in Sportlifestyle and creating desirable products to benefit the cause.

On September 21st, 2007 PUMA will announce plans for its Peace One Day football collection, which will be unveiled at the African Cup of Nations in January 2008. PUMA’s already established relationships with its African football teams ensures this exciting football collection will be seen on some of Africa’s leading players throughout the tournament – during which a key part of shooting the second Peace One Day documentary takes place. An exclusive press screening of the first award-winning documentary will be organized by PUMA prior to the Royal Albert Hall event.

The PUMA Peace One Day collection consists of a specific designed Peace One Day football and accessories and will be sold world wide beginning in May 2008 – with the goal that all products related to this fundraising will ultimately be sourced and manufactured in Africa .

Peace One Day founder Jeremy Gilley states, “One thing I’ve learned is that football and other sports have the potential to bring people and communities together in a fun and meaningful way. With the help of Puma we will take the message of Peace Day to hundreds of millions of people over the coming years. Through One Day, One Goal we will work to create football matches in every country of the world on 21 September.”

Stefano Caroti previously held a number of senior executive positions at Nike in Sales, Product, Marketing and General Management. Most recently, Stefano was Vice President for EMEA Commerce at Nike’s European headquarters in the Netherlands, where he was responsible for the entire wholesale and retail business in the EMEA region, managing a Euro 4 billion business. Stefano Caroti is Italian, married and has two children. He graduated at Middlebury College in Vermont, USA und started his career in the sporting goods industry in 1985 in Germany.

In addition, as of January 1st, 2008 Antonio Bertone (35), currently Group Functional Director Brand and Marketing at PUMA, will be appointed as Chief Marketing Officer (CMO) and Reiner Seiz (44), currently General Manager Global Sourcing and Logistics at PUMA, will be appointed as Chief Supply Chain Officer (CSO). In their new positions as Deputy Members of the Board of Management both of them will continue to be in charge of their current responsibilities.

Antonio Bertone started working for PUMA’s product and marketing departments in 1994, and since then has become instrumental in the repositioning of the PUMA brand. His creative vision resulted in the introduction of many of PUMA’s Sportlifestyle collections. Today, Antonio Bertone oversees PUMA’s global brand and marketing initiatives.

Reiner Seiz joined PUMA in 1989 in the design and development department and took over his first sourcing assignments in 1993. Today Reiner Seiz is responsible for leading the PUMA World Cat sourcing organizations and with his excellent knowledge of the global sourcing market he managed to build a global sourcing structure and a network of suppliers.

Jochen Zeitz, Chairman and CEO: “We are delighted to welcome Stefano Caroti to the PUMA team. Stefano brings excellent international sales know-how and strong management skills to take on this newly created function as CCO within the Board of Management. With the announcement of Antonio Bertone and Reiner Seiz as Deputy Members of the Board of Management, two additional key functional areas are now well-represented in PUMA’s top management team and will therefore support and strengthen the PUMA brand and company. All three will strongly contribute in supporting PUMA’s global expansion strategy.”

Stefano Caroti, future member of the Board of Management: “I very much look forward to my appointment as Member of the Board of Management and will put in a lot of effort and investment into the new position to capitalize the major opportunities in front of us. I am excited to be working with the PUMA team and contribute to the continued growth of PUMA.”

With this expansion PUMA has successfully completed the re-organization of the Board of Management as part of PUMA’s Phase IV strategy under the leadership of the Chairman and CEO Jochen Zeitz. The current function of the PUMA Group Executive Committee will be terminated.

In addition Melody Harris-Jensbach (46) has been appointed as Deputy CEO of PUMA AG. As a member of the PUMA Board of Management she will take on the responsibility for the areas Product, Product development, Design, Business Unit Management and Worldwide Sourcing for the PUMA Retail Business from January 1st, 2008 and take over the position as Deputy CEO of Martin Gaensler.

Jochen Zeitz was appointed as Chairman and CEO of PUMA AG in 1993 and since then has lead the company through the different phases of the company development: Following Phase I of the restructuring of the company (1993-1997), Phase II with investments into the brand was introduced (1998-2001), followed by Phase III referred to as Momentum (2002-2005). In 2006 Phase IV characterized by company expansion was introduced.

On a total of 84 pages, PUMA presents its extensive activities in the area of social standards, environment protection and restricted substances. The Sportlifestyle company clearly outlines the continuous improvement of S.A.F.E. (Social Accountability and Fundamental Environmental Standards)-activities. Their aim is not only to generate fair working conditions, protect the environment and manufacture ecologically compatible products. An active dialog with different stakeholders (and pressure groups) is also of great importance to PUMA.

TÜV Rheinland certifies that “PUMA has developed a significant and operational management system for environmental and social aspects.” Results of the examination confirm that the Sportlifestyle company successfully implemented the “Code of Conduct”, the “Code of Ethics” and the “Handbook for Environmental Issues”. Those guidelines are generally binding, not only for all PUMA headquarters but also for the 369 independent suppliers and manufacturers named in the report.

The independent environmental organization Greenpeace confirms that PUMA’s commitment sets standards. Greenpeace has checked different companies regarding eco friendliness of their products, ranking them from red to green. After examination of PUMA’s product range, the Sportlifestyle company has obtained the best category “green”. Fair Labor Organization (FLA) is in agreement with this positive appraisal: PUMA has been accredited this year as full member for the first time. FLA is a non-profit organization dedicated to improve working and production conditions. As accredited member, the Sportlifestyle company thoroughly supports the strict guidelines and unannounced audits by FLA.

Jochen Zeitz, CEO and Chairman, PUMA AG: “We are pleased that PUMA’s social and ecological commitment has been recognized not only by analysts and experts, but also by independent organizations such as TÜV Rheinland and Greenpeace. Through responsible and sustainable corporate governance, we want to ensure that our aim to be the most desirable Sportlifestyle company is not only oriented towards economical, but also towards social and environmental criteria.”

In the course of its transparent ecological and social policy, PUMA’s social audits have been seen off by a journalist for the first time, describing his experiences in the Sustainability Report. Bernhard Bartsch, Asia-correspondent for German newspaper Berliner Zeitung and magazine brand eins, characterizes visits of suppliers in Turkey, Vietnam and China. He portrays how PUMA auditors inspect the realization of safety regulations in China or compliance of adequate wages in Vietnamese factories.

Corporate social responsibility is getting ever more important in today’s global business community. For many years now PUMA has continuously improved its S.A.F.E. activities to ensure high social and environmental standards along its entire supply chain. In order to maximise transparency in this sector the company publishes sustainability reports.

The Sustainability Report can be downloaded from PUMA’s website: www.about.puma.com

Highlights Q3

• Consolidated sales at € 670 million
• Strong gross profit margin at 53%
• EBIT reached € 124 million, up versus last year
• EPS at € 5.56 versus € 5.41

Highlights First Nine Months

• Global brand sales increase 4% currency adjusted
• Consolidated sales up more than 3% currency adjusted
• Gross profit margin above 52%
•  EBIT at € 320 million, representing 17% of sales
• EPS at € 14.40 compared to € 14.36

Outlook 2007

• Good improvements in orders: up more than 8% currency adjusted
• Management reconfirms sales and earnings guidance for FY 2007

Sales and Earnings Development

Global brand sales increase 4%

In Q3, PUMA’s branded sales, which include consolidated sales and license sales, reported € 753.4 million, a slight decline of 0.6% on a currency neutral basis. During the nine months period ending September, global brand sales increased 3.8% to € 2,137.4 million. Like-for-like, Footwear sales increased 1.5% to € 1,177.6 million, Apparel rose by 5.9% to € 759.2 million and Accessories improved by 10.1% to € 200.5 million.

Licensed business up almost 8%

The licensed business decreased slightly in Q3 by 1.1% currency adjusted to € 83.0 million, mainly due to the announced expiration of the Korean license at year-end 2007. Year-to-date, licensed sales increased by 7.7% to € 268.3 million.
Based on the licensed turnover a royalty and commission income of € 7.6 million or € 26.1 million respectively was realized, representing a gross yield of 9.2% on licensed sales in the quarter and 9.7% year-to-date.

Consolidated sales up more than 3%

Due to the early shipments in June (as reported with the Q2 release), consolidated sales were slightly down at 0.5% currency adjusted totaling € 670.4 million in Q3. By segments, Footwear decreased 6.9% to € 376.3 million, Apparel was up 8.7% to € 246.3 million and Accessories improved 10.6% to € 47.8 million.
Sales after nine months were up 3.2% currency adjusted to € 1,869.0 million. In total, Footwear improved 1.0% to € 1,110.7 million, Apparel 6.8% to € 632.6 million and Accessories 6.3% to € 125.7 million.

Gross profit margin above 52%

In Q3, gross profit margin increased by strong 270 basis points reaching 53.0% compared to 50.4% last year. For the nine months period gross profit margin was a favorable 52.5% compared to 51.4%. Footwear margin increased from 51.2% to 52.3%, Apparel margin from 51.2% to 52.5%, and Accessories stood with 53.9% almost flat on last year’s level.

SG&A

In absolute amounts, SG&A expenses were flat in Q3 but increased 1.8% after nine months totaling € 228.1 million and € 656.0 million respectively. As a percentage of sales, the cost ratio increased from 32.6% to 34.0% during Q3 and from 34.1% to 35.1% after nine months.

For the nine months period, marketing/retail expenses increased 0.7% and accounted for € 314.8 million or 16.8% of sales versus € 312.6 million or 16.6% last year. Product development and design expenses grew 8.1% to € 43.0 million representing 2.3% of sales, a slight increase of 20 basis points. Other selling, general and administrative expenses were up 2.2% to € 298.2 million, or from 15.5% to 16.0% of sales.

EBIT at € 320 million

EBIT in Q3 developed stronger than sales leading the EBIT margin up from 17.6% to 18.5%. In absolute terms, EBIT increased 0.6% to € 123.8 million. EBIT accumulated over the nine months period, amounts to € 319.7 million versus € 324.6 million, representing an almost flat operational margin of 17.1%.

Taking into account an interest result of € 3.7 million in Q3 and € 8.5 million after nine months, pre-tax profit was up by 1.8% to € 127.5 million in the quarter and down by 0.8% to € 328.2 million year-to-date. The tax ratio after nine months was 29.0% therefore on last year’ level.

Earnings per share

Net earnings in Q3 reached € 89.1 million versus € 87.1 million and € 230.8 million compared to € 230.3 million after nine months. Hence, the net return improved from 12.5% to 13.3% and from 12.2% to 12.3% respectively.

Earnings per share increased by 2.7% to € 5.56 in Q3. Year-to-date earnings per share totaled to € 14.40 compared to € 14.36. Diluted earnings per share were calculated at € 5.57 (€ 5.39) and € 14.39 (€ 14.27) respectively.

Net Assets and Financial Position

Equity

Total assets grew by 14.2% to € 1,955.1 million as of September 30, 2007. The equity ratio stood at 60.0% compared to 60.8% last year.

The company has not bought back any shares during the last quarter and has currently no treasury stocks on its balance sheet. Hence, share capital consists of 16,027,464 shares end of September. The average number of outstanding shares for the nine months period calculates to 16,027,289.

A resolution adopted by the Annual General Meeting authorizes the company to purchase up to ten percent of the share capital until September 1, 2008.

Working capital

As expected, inventory growth was further reduced and is now up by 8.9% to € 368.2 million versus a growth of 17% end of June. Trade receivables of € 502.0 million are on last year’s level and almost in line with sales development. Total working capital at the end of September improved 2.1% and totaled € 502.2 million compared to € 513.0 million last year.

Capex/Cashflow

Capex was € 61.5 million versus € 124.6 million, of which € 4.9 million versus € 73.8 million is related to acquisitions.
Free Cashflow amounts to € 149.4 million compared to € -56.3 million last year or € 154.3 million versus € 17.4 million excluding acquisition costs and marks a strong improvement versus last years cash generation.

Strong improvement in net cash position

Cash at the end of September increased from € 404.1 million to € 532.5 million. Bank debts grew from € 66.9 million to € 69.3 million. As a result, the net cash position improved strongly from € 337.2 million to € 463.2 million year over year, due to the positive cashflow.

Regional Development

The EMEA region reported sales of € 376.5 million in Q3, a currency adjusted increase of 1.1%. Taking the early shipments of June into account, sales would have been up in mid single digits for the quarter. Year-to-date, sales increased 5.5% and totalled € 1,020.2 million. Gross profit margin year-to-date reached 54.5% compared to 54.2% last year. The order book end of September was up 12.4% to € 580.5 million. This reflects a significant improvement versus existing orders end of June 2007.

Sales in the Americas were down 8.8% currency adjusted reaching € 166.7 million in Q3. During the nine months period sales declined by 4.7% to € 486.4 million, while the gross profit margin improved 290 basis points reaching 49.7%. Orders on hand end of September were down 8.4% to € 237.8 million.
As expected, sales in the US market were down 9.7% in Q3 and 10.1% after nine months. This is caused by a continuous moderating environment in the US mall-based business. However, due to the decline of the key-account ratio the gross profit margin increased significantly by more than 500 basis points. As of September 30, 2007 orders for the US decreased 23.5% to $ 187.5 million, mainly due to the mall-based retailers.

In the Asia/Pacific region, sales improved 7.1% to € 127.2 million in Q3 and by 8.6% to € 362.4 million year-to-date. The gross profit margin reached 50.7% versus 50.6% last year. Orders on hand were up 19.1% and totaled € 247.2 million.

Outlook 2007

Orders up more than 8% currency adjusted

Total orders on hand as of September increased 8.3% currency adjusted totaling € 1,065.5 million and representing significant improvements versus end of June 2007. The orders are mainly for deliveries scheduled for Q4 2007 as well as Q1 2008.
In terms of product segments, Footwear orders are up by 3.2% (currency adjusted) to € 659.7 million, Apparel by 19.6% to € 345.4 million and Accessories by 8.5% to € 60.4 million.

Management reconfirms sales and earnings guidance

Management confirms sales and earnings guidance for FY 2007. In terms of sales, growth is expected to be in the low single-digits on a currency neutral basis. However, gross profit margin should come in better than anticipated but compensated by a higher cost ratio. Hence, EBIT should almost develop in-line with sales providing an EBIT margin nearly on last year’s level. Tax rate is estimated at or around 29%.

Jochen Zeitz, CEO: “Based on the positive momentum in our order backlog, we anticipate a solid finish to 2007 to achieve our full-year guidance.”