For: Crocs, Inc.
Peter Case/Chief Financial Officer
Tia Mattson/Public Relations Manager
Integrated Corporate Relations, Inc.
Investors: Chad Jacobs/Brendon Frey
Media: Michael Fox
CROCS, INC. ANNOUNCES SETTLEMENT OF LAWSUIT
NIWOT, COLORADO – June 22, 2006 – Crocs, Inc. (NASDAQ: CROX) and Inter-Pacific Trading Corporation, Inc. today announced that they have agreed to settle a lawsuit concerning Crocs’ proprietary footwear, pending in the United States District for the District of Colorado and alleging that Inter-Pacific infringed Crocs’ U.S. Patents (Nos. 6,993,858 B2 and D517,789), and its trade dress; and an administrative action pending in the International Trade Commission alleging unfair acts concerning the importation of infringing footwear.
The lawsuit was resolved today with the entry of a Consent Judgment finding infringement by certain of Inter-Pacific’s “Sunsurfer Shoes” and that the Crocs’ patents are valid. The administrative action was resolved with the filing of joint motion to terminate the ITC Action against Inter-Pacific based on the settlement agreement. As part of the settlement, Inter-Pacific has agreed to not infringe Crocs’ patents and trade dress in the future, and Crocs has released Inter-Pacific and its customers of any past liability.
About Crocs, Inc.
Crocs, Inc. is a rapidly growing designer, manufacturer and marketer of footwear for men, women and children under the crocs brand. All of our footwear products incorporate our proprietary closed-cell resin material, which we believe represents a substantial innovation in footwear comfort and functionality. Our proprietary closed-cell resin, which we refer to as Croslite™ enables us to produce a soft and lightweight, non-marking, slip- and odor-resistant shoe. These unique properties make crocs footwear ideal for casual wear, as well as for recreational uses such as boating, hiking, fishing and gardening, and have enabled us to successfully market our products to a broad range of consumers.
Forward Looking Statements
Certain information contained in this press release may be deemed to constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to, our ability to obtain and protect intellectual property rights and other factors described in our annual report on Form 10-K under the heading “Risk Factors,” and our subsequent filings with the Securities and Exchange Commission. Readers are encouraged to review that section and all other disclosures appearing in our filings with the Securities and Exchange Commission.