Oakley, Inc. announced today it has filed a lawsuit
against Nike alleging that some of Nike's most recently
released sunglass products infringe on Oakley's XYZ Optics
patent. The patent was issued to Oakley earlier this week.
Oakley Chair Jim Jannard: "Our competitors often feel the
need to use our inventions. While this is flattering, it is
still not acceptable." Oakley says that it has yet to lose
a lawsuit in which it alleged patent infringement (Oakley).
EARNINGS: Oakley released its second quarter financial
earnings. For the period ended June 30, Oakley reported net
income of $8.8M, or $0.13/share, compared with net income of
$15.7M, or $0.22/share, for the comparable '96 period. The
company reported net sales of $55.2M versus $62.8M for the
prior-year period. Domestic net sales totaled $35.1M and
int'l net sales were $20.1M, compared with $41.9M and
$20.9M, respectively, in '96. Oakley reports that domestic
sales declined as a result of "significantly lower sales" to
Sunglass Hut, the company's largest customer (Oakley).
