Denver, CO (Tuesday, July 16, 2002) - Austrian ski maker Kneissl announced yesterday that it will pull its products out of U.S. markets, to concentrate solely on sales in Europe.

"Due to the changing economic climate and unfavorable market conditions, including retailer insolvencies, weather and increased concentration of business thru buying groups and mass merchants, Kneissl & friends has experienced rapidly decreasing gross profit margins," KDR, Inc. CEO Scott Mellin said in a prepared statement. "The impact of this situation has forced the group to only concentrate on key markets in Europe."

KDR, Inc. is Kneissl's U.S. subsidiary that distributes its Kneissl ski, Raichle boot, and Deeluxe snowboard products, including boots, boards and bindings.

"The Kneissl & friends Board of Directors has initiated a restructuring program for all of its subsidiaries and operating units, including KDR, Inc.," Mellin continued. "The immediate impact of these restructuring efforts is the suspension of all operations in the US. KDR, Inc. will close on September 30, 2002.

"The closure of KDR is the result of several factors including low liquidity from a high level of defaulted dealer payments, lack of broad dealer support and the inability of KDR to secure appropriate financing.

"KDR will not deliver any preseason retailer orders," Mellin concluded. "All stock on hand will be liquidated."

The company assured that further details will be issued within the coming weeks.