Johnson Outdoors Announces Fiscal 2010 Third Quarter Results

RACINE, Wis., Aug. 6, 2010 (GLOBE NEWSWIRE) -- Johnson Outdoors Inc.
(Nasdaq:JOUT), a leading global outdoor recreation company, today announced
higher earnings and increased net sales for its third fiscal quarter ended July
2, 2010. Total net sales for the quarter were $124.0 million compared to $114.9
million in the prior year period. Net income of $10.4 million, or $1.09 per
diluted share, compared favorably to net income of $9.0 million, or $0.97 per
diluted share, in the same quarter last year.

"Outdoor recreational markets are recovering, and we have leveraged our leading
brand equities to grow share in a highly competitive marketplace. Improved
operational efficiency and aggressive working capital management efforts have
enabled us to grow profits faster than sales, a key objective of our three year
transformation plan for sustained profitable growth," said Helen
Johnson-Leipold, Chairman and Chief Executive Officer.

THIRD QUARTER RESULTS

Third quarter sales historically reflect customer inventory replenishment due to
consumer demand during the primary retail selling period for the industry's
warm-weather seasonal outdoor products. Total net sales increased 7.9 percent
compared to the prior year quarter, due to the success of targeted new product
investments and initial industry recovery. Key factors behind the results were:

-- Marine Electronics revenues surged 17.9 percent ahead of last year due
to growth in Minn Kota(R), Humminbird(R) and Cannon(R) brands across all
distribution channels in both international and domestic boat markets.
-- Outdoor Equipment sales jumped 21.3 percent above last year driven by
double-digit growth in all segments.
-- Watercraft revenues decreased 3.5 percent below the prior year on
declines in Europe and the U.S. specialty channel.
-- Diving revenues were 9.0 percent behind last year due to a negative 3.5
percent impact from currency translation, product availability and a
late-quarter slow-down of sales in key international markets.

Total Company operating profit grew 26 percent to $13.4 million for the third
fiscal quarter compared to operating profit of $10.6 million in the prior year
quarter. Key factors contributing to the comparison were:

-- Higher sales in Marine Electronics and Outdoor Equipment.
-- Gross margin improvement in all businesses yielding a 1.4 point gain in
total Company margins.
-- Sustainable cost reductions implemented in 2009 which included
company-wide restructuring and manufacturing consolidation in
Watercraft.
-- Discretionary bonus and retirement contributions added $2.8 million to
operating expenses versus no related expenses in the prior year quarter.

Third quarter net income increased 16 percent over the previous year third
quarter. Key factors in the quarter-over-quarter comparison were:

-- Reduced interest expense of $1.3 million resulting from lower debt
levels, lower swap amortization and lower borrowing costs.
-- Tax benefits of $1.4 million in the prior year quarter.

TRANSFORMATION UPDATE

On November 20, 2009, the Company outlined plans to further transform Johnson
Outdoors to achieve sustained profitable growth focusing on continued
cost-structure reductions, enhanced product price/value, targeted revenue gains
and strong balance sheet management. At the end of the third fiscal quarter:

-- Restructuring efforts delivered cost-savings in line with expectations.
-- Working capital declined as inventories remained at targeted levels.
-- Interest expense for the quarter declined 47 percent below the prior
year quarter.

YEAR-TO-DATE RESULTS

Net sales in the first nine months of fiscal 2010 were $307.3 million versus
$291.2 million in the same nine-month period last year, a 5.5 percent increase.
Key drivers in the year-to-date period were:

-- Continued recovery of key outdoor recreation markets.
-- Increased total Company sales bolstered by successful new products in
Marine Electronics, Outdoor Equipment and Diving.
-- Favorable currency translation of 1.3 percent.

Total Company operating profit rose substantially to $17.9 million during the
first nine months of fiscal 2010 compared to operating profit of $11.2 million
during the prior year-to-date period. Discretionary bonus and employee
retirement contribution accruals added $4.9 million to operating expense
year-to-date compared to no related expense in the prior year-to-date period.
Net income more than doubled during the first nine months of the year to $12.4
million, or $1.30 per diluted share, versus net income of $4.6 million, or $0.49
per diluted share, in the first nine months of the prior year. Primary drivers
behind the year-to-date comparison were consistent with those during the third
quarter in addition to a 46 percent decline in interest expense versus the same
period last year attributable to the Company's improved debt restructuring
announced in September 2009.

OTHER FINANCIAL INFORMATION

The Company's debt level was $31.9 million at the end of the third quarter
versus $60.8 million at the end of the prior year quarter, and debt, net of
cash, was $6.4 million at the end of the current quarter versus $26.9 million at
the end of the previous year quarter. Depreciation and amortization was $7.4
million year-to-date, compared to $8.0 million during the first nine months of
the prior year. Capital spending totaled $5.7 million during the first nine
months of fiscal 2010 compared with $5.2 million in same period in 2009.

"Outdoor recreational markets remain sensitive to fluctuations in both domestic
and international economic conditions. Process and systems improvements have
given us the flexibility needed to react quickly to changing marketplace demand
and maintain strong margins," said David W. Johnson, Vice President and Chief
Financial Officer.

New accounting rules concerning treatment of participating securities, including
non-vested stock, in earnings per share calculations reduced previously reported
2009 third quarter earnings per share by ($0.01) and had no impact on earnings
per share in the 2009 year-to-date period.

WEBCAST

The Company will host a conference call and audio web cast at 11:00 a.m. Eastern
Time on Friday August 6, 2010. A live listen-only web cast of the conference
call may be accessed at Johnson Outdoors' home page. A replay of the call will
be available for 30 days on the Internet.

ABOUT JOHNSON OUTDOORS INC.

JOHNSON OUTDOORS is a leading global outdoor recreation company that turns ideas
into adventure with innovative, top-quality products. The company designs,
manufactures and markets a portfolio of winning, consumer-preferred brands
across four categories: Watercraft, Marine Electronics, Diving and Outdoor
Equipment. Johnson Outdoors' familiar brands include, among others: Old Town(R)
canoes and kayaks; Ocean Kayak(TM) and Necky(R) kayaks; Carlisle paddles;
Extrasport(R) personal flotation devices; Minn Kota(R) motors; Cannon(R)
downriggers; Humminbird(R) fishfinders; Geonav(R)marine electronics; SCUBAPRO(R)
and SUBGEAR(R) dive equipment; Silva(R) compasses; Tech4O(R) digital
instruments; and Eureka!(R) tents.

Visit Johnson Outdoors at http://www.johnsonoutdoors.com

SAFE HARBOR STATEMENT

Certain matters discussed in this press release are "forward-looking
statements," intended to qualify for the safe harbors from liability established
by the Private Securities Litigation Reform Act of 1995. Statements other than
statements of historical fact are considered forward-looking statements. These
statements may be identified by the use of forward-looking words or phrases such
as "anticipate,'' "believe,'' "could,'' "expect,'' "intend,'' "may,''
"planned,'' "potential,'' "should,'' "will,'' "would'' or the negative of those
terms or other words of similar meaning.Such forward-looking statements are
subject to certain risks and uncertainties, which could cause actual results or
outcomes to differ materially from those currently anticipated. Factors that
could affect actual results or outcomes include changes in consumer spending
patterns; the Company's success in implementing its strategic plan, including
its focus on innovation; actions of and disputes with third parties, including
companies that compete with the Company; the Company's success in managing
inventory and its continuing efforts to implement sustainable cost-cutting and
sales growth initiatives; the risk that the Company's lenders may be unwilling
to provide a waiver or amendment if the Company were to violate financial
covenants and the cost to the Company of obtaining any waiver or amendment that
the lenders would be willing to provide; risk of future write-downs of goodwill
or other intangible assets; ability of the Company's customers to meet payment
obligations; movements in foreign currencies or interest rates; the Company's
success in its on-going cost-structure reduction efforts; the success of
suppliers and customers; the ability of the Company to deploy its capital
successfully; adverse weather conditions; and other risks and uncertainties
identified in the Company's filings with the Securities and Exchange Commission.
Shareholders, potential investors and other readers are urged to consider these
factors in evaluating the forward-looking statements and are cautioned not to
place undue reliance on such forward-looking statements. The forward-looking
statements included herein are only made as of the date of this press release
and the Company undertakes no obligation to publicly update such forward-looking
statements to reflect subsequent events or circumstances.

JOHNSON OUTDOORS INC.

(thousands, except per

share amounts)

THREE MONTHS NINE
MONTHS
ENDED
ENDED

July 2 July 3 July 2
July 3
Operating Results 2010 2009 2010
2009
----------------------- ---------------- ---------------- ----------------
----------------
Net sales $ 123,954 $ 114,850 $ 307,311
$ 291,236

Cost of sales 72,467 68,755 184,082
180,067
----------------------- ---------------- ---------------- ----------------
----------------
Gross profit 51,487 46,095 123,229
111,169

Operating expenses 38,134 35,509 105,377
100,014
----------------------- ---------------- ---------------- ----------------
----------------
Operating profit 13,353 10,586 17,852
11,155
Interest expense, net 1,367 2,629 3,968
7,203

Other (income) expense,

net 565 (421) 94
243
----------------------- ---------------- ---------------- ----------------
----------------
Income before income

taxes 11,421 8,378 13,790
3,709

Income tax expense

(benefit) 989 (612) 1,411
(805)
----------------------- ---------------- ---------------- ----------------
----------------
Income from continuing

operations 10,432 8,990 12,379
4,514

Income from

discontinued

operations -- -- --
41
----------------------- ---------------- ---------------- ----------------
----------------

Net income $ 10,432 $ 8,990 $ 12,379
$ 4,555
----------------------- ---------------- ---------------- ----------------
----------------
Net income as reported $ 10,432 $ 8,990 $ 12,379
$ 4,555

Less: undistributed

earnings reallocated

to non-vested stock (352) (102) (367)
(41)
----------------------- ---------------- ---------------- ----------------
----------------

Diluted earnings $ 10,080 $ 8,888 $ 12,012
$ 4,514
----------------------- ---------------- ---------------- ----------------
----------------
Diluted average common

shares outstanding 9,290 9,185 9,260
9,168
Net income per common

share - Diluted:

Continuing operations $ 1.09 $ 0.97 $ 1.30
$ 0.49

Discontinued

operations -- -- --
--
----------------------- ---------------- ---------------- ----------------
----------------

Segment Results

----------------------- ---------------- ---------------- ----------------
----------------
Net sales:

Marine electronics $ 61,966 $ 52,542 $ 157,157
$ 143,252
Outdoor equipment 15,578 12,845 38,078
32,557
Watercraft 24,605 25,502 51,074
58,221
Diving 21,994 24,173 61,683
57,558

Other/eliminations (189) (212) (681)
(352)
----------------------- ---------------- ---------------- ----------------
----------------

Total $ 123,954 $ 114,850 $ 307,311
$ 291,236
----------------------- ---------------- ---------------- ----------------
----------------
Operating profit

(loss):

Marine electronics $ 8,790 $ 6,757 $ 16,381
$ 12,935
Outdoor equipment 2,490 1,929 5,155
3,259
Watercraft 2,873 1,559 1,862
(285)
Diving 1,805 2,427 2,021
1,524

Other/eliminations (2,605) (2,086) (7,567)
(6,278)
----------------------- ---------------- ---------------- ----------------
----------------

Total $ 13,353 $ 10,586 $ 17,852
$ 11,155
----------------------- ---------------- ---------------- ----------------
----------------

Balance Sheet

Information (End of

Period)

----------------------- ---------------- ---------------- ----------------
----------------
Cash and cash

equivalents $ 25,480
$ 33,945
Accounts receivable,

net 76,280
82,449
Inventories, net 62,276
62,157
Total current assets 171,156
186,981
Total assets 236,888
254,039
Short-term debt 16,065
--
Total current

liabilities 78,066
51,708
Long-term debt 15,785
60,801

Shareholders' equity 124,262
128,048
----------------------- ---------------- ---------------- ----------------
----------------

CONTACT: Johnson Outdoors Inc.
David Johnson, VP & Chief Financial Officer
262-631-6600
Cynthia Georgeson, VP - Worldwide Communication
262-631-6600