INDIANAPOLIS–(BUSINESS WIRE)–The Finish Line, Inc. (NASDAQ: FINL) announced today that it is
currently exploring strategic alternatives for JackRabbit, the Company’s
specialty running store chain, to further enhance shareholder value.
After a comprehensive review, the Company believes its long term growth
strategy and profitability improvement plans align with simplifying the
business to focus on the Finish Line brand and has decided to evaluate
possible alternatives for JackRabbit including a potential sale.
The Board of Directors and management team are currently working with
Peter J. Solomon Company, LLC as their financial advisor and there is no
definitive timeline or assurance that this process will result in a sale
transaction. The Company does not intend to provide any further updates
on this process unless or until the Board has approved a final decision.
As a result of the exploration of strategic alternatives for JackRabbit,
the Company expects to record a non-cash goodwill impairment charge in
the third quarter of fiscal year 2017 of approximately $44 million.
About The Finish Line, Inc.
The Finish Line, Inc. is a premium retailer of athletic shoes, apparel
and accessories. Headquartered in Indianapolis, Finish Line has
approximately 980 Finish Line branded locations primarily in U.S. malls
and shops inside Macy’s department stores and employs more than 14,000
sneakerologists who help customers every day connect with their sport,
their life and their style. Online shopping is available at www.finishline.com
Mobile shopping is available at m.finishline.com.
Follow Finish Line on Twitter at Twitter.com/FinishLine
and “like” Finish Line on Facebook at Facebook.com/FinishLine.
Track loyalty points and find store and product information with the
free Finish Line app downloadable for iOS
Finish Line also operates JackRabbit (previously referred to by the
company as Running Specialty Group), which includes 70 specialty running
stores in 17 states and the District of Columbia under the JackRabbit,
The Running Company, Run On!, Blue Mile, Boulder Running Company,
Roncker’s Running Spot, Running Fit, VA Runner, Capital RunWalk,
Richmond RoadRunner, Garry Gribble’s Running Sports, Run Colorado,
Raleigh Running Outfitters, Striders and Indiana Running Company
banners. More information is available at www.jackrabbit.com
Follow the latest about the brand on Twitter at Twitter.com/JackRabbit
or Instagram via @JackRabbitNYC.
This news release includes statements that are or may be considered
“forward-looking” within the meaning of Section 27A of the Securities
Act of 1933 and Section 21E of the Securities Exchange Act of 1934.
These forward-looking statements generally can be identified by the use
of words or phrases such as “believe,” “expect,” “future,” “anticipate,”
“intend,” “plan,” “foresee,” “may,” “should,” “will,” “estimates,”
“outlook,” “potential,” “optimistic,” “confidence,” “continue,”
“evolve,” “expand,” “growth” or words and phrases of similar meaning.
Statements that describe objectives, plans or goals also are
All of these forward-looking statements are subject to risks, management
assumptions and uncertainties that could cause actual results to differ
materially from those contemplated by the relevant forward-looking
statements. The principal risk factors that could cause actual
performance and future actions to differ materially from the
forward-looking statements include, but are not limited to, the
company’s reliance on a few key vendors for a majority of its
merchandise purchases (including a significant portion from one key
vendor); the availability and timely receipt of products; the ability to
timely fulfill and ship products to customers; fluctuations in oil
prices causing changes in gasoline and energy prices, resulting in
changes in consumer spending as well as increases in utility, freight
and product costs; product demand and market acceptance risks;
deterioration of macroeconomic and business conditions; the inability to
locate and obtain or retain acceptable lease terms for the company’s
stores; the effect of competitive products and pricing; loss of key
employees; execution of strategic growth initiatives (including actual
and potential mergers and acquisitions and other components of the
company’s capital allocation strategy); cybersecurity risks, including
breach of customer data; a major failure of technology and information
systems; and the other risks detailed in the company’s Securities and
Exchange Commission filings. Readers are urged to consider these factors
carefully in evaluating the forward-looking statements. The
forward-looking statements included herein are made only as of the date
of this report and Finish Line undertakes no obligation to publicly
update these forward-looking statements to reflect subsequent events or
The Finish Line, Inc.
Dianna L. Boyce,
Ed Wilhelm, 317-613-6914
Chief Financial Officer