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## Renewed Sales Growth Expected for 2005 

Current order development indicates strong growth in the America and Asia regions whereas growth will probably slow down in Europe due to the generally difficult market environment, 

in particular in the large sporting goods markets. In all, consolidated sales are expected to show high single digit growth (currency-adjusted.) 

The US Dollar requirement is hedged against currency fluctuations up to and including 2006. Due to the available hedging rates for 2005, the gross profit margin should move in the 50% to 52% range. Selling, general and administrative expenses will yield a higher cost ratio due to the further expansion of retail operations and associated cost increases, as well as additional personnel expenses owing to the fact that share-based remuneration is stated at fair value for the first time for 

FY2005. Total costs should not exceed 31% of sales, however. The license business should also continue to improve, particularly in Asia, with an increase in royalty and commission income. An operating margin of over 20% is expected, placing PUMA in the upper range within the sporting goods industry. The tax rate is expected to range between 29% and 30%. 

Management is optimistic that further growth in sales can be achieved in 2005 and that earnings will see another record high despite the moderate economic starting position in some markets. As a result, the original goals set for Phase III of corporate planning (2002-2006) should be far exceeded in 2005. Therefore, PUMA is planning to finalize this phase of development one year ahead of schedule. 

Herzogenaurach, January 24, 2005 

The Board of Management 

Zeitz Gänsler Heyd 

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