Galaxy Sports Inc. (Delta, B.C.) announces that it has acquired anexclusive license from Umbro Worldwide Limited to sell, market anddistribute Umbro products to nearly 185 U.S. retailers starting Jan. 1,2002. These corporations consist of major sporting-goods chains andvarious department stores.
Two Umbro stores are scheduled to open by year's end in factory outletmalls in the U.S.
Galaxy will operate its business in the U.S. under the trade name ofUmbro USA. Under this licensing agreement, Galaxy is required to payroyalties to Umbro Worldwide as well as minimum royalties each year.This agreement continues until Dec. 31, 2007, with the option for afive-year renewal if conditions are met.
Galaxy's proven track record in Canada and in other business ventureswas a convincing factor in Umbro's decision to work with the company aspart of its U.S. expansion. According to Galaxy president Steve Dewar,”I have spent the past five years operating in this very sector of theU.S. marketplace and now is the time for Umbro to become not only theleading single-purpose soccer specialist in the U.S., but also a leadingbranded leisurewear contender.”