SKECHERS Announces Resignation of KPMG as Lead Auditor

  SKECHERS Announces Resignation of KPMG as Lead Auditor

  *SKECHERS Eager to Hire New Audit Firm as the Footwear Company Prepares to
    Announce Positive Q1 2013 Financial Results

Business Wire

MANHATTAN BEACH, Calif. -- April 9, 2013

SKECHERS USA, Inc. (NYSE:SKX), today announced that KPMG, LLP resigned
yesterday, April 8, 2013, as independent auditor of Skechers due to misconduct
by KPMG’s lead Audit Engagement Partner on the Skechers account. In connection
with its resignation, KPMG has publicly stated that it has “no reason to
believe that the financial statements of Skechers have been materially

David Weinberg, Skechers Chief Operating Officer and Chief Financial Officer,
stated, “KPMG has advised us that that they have no reason to believe that
there were any misstatements in our financial statements, and we firmly
believe that there has been no misstatements of our results or financial
condition. Nonetheless, it is an unfortunate development at a time when we are
preparing to release earnings for the First Quarter of 2013, a quarter which,
like the Fourth Quarter of 2012, we believe will show significant growth and
the continuing strength and viability of our business. We are working
diligently to replace KPMG as quickly and efficiently as possible as we look
forward to releasing positive results for the first quarter of 2013 later this

Upon resignation, Skechers was informed by KPMG that KPMG’s lead Audit
Engagement Partner on the Skechers account is under federal investigation for
providing non-public information of his clients to a third party in exchange
for money. The third party then used that information to trade stocks of
several West Coast companies. KPMG told Skechers that the KPMG audit partner
under investigation is cooperating with the authorities and admitted that
Skechers was one of its clients whose non-public information was provided to a
third party in exchange for money. KPMG further advised Skechers that, as a
result of these developments, KPMG has determined that its independence has
been impaired and it must resign as Skechers auditors immediately and withdraw
its auditors’ reports for the fiscal years 2011 and 2012.

KPMG advised the Company it resigned as Skechers’ independent accountant
solely due to the impairment of KPMG's independence resulting from its now
former partner's alleged unlawful activities and not for any reason related to
Skechers’ financial statements, its accounting practices, the integrity of
Skechers' management or for any other reason.

None of KPMG's audit reports on Skechers’ financial statements for the fiscal
years ended December 31, 2011 and 2012 or KPMG's audit reports on the
effectiveness of internal control over financial reporting as of December 31,
2011 and 2012 contained an adverse opinion or a disclaimer of opinion, nor was
any such report qualified or modified as to uncertainty, audit scope or
accounting principles. In addition, at no point during the two fiscal years
ended December 31, 2012 and the subsequent interim period through April 8,
2013 were there any (1) disagreements with KPMG on any matter of accounting
principles or practices, financial statement disclosure or auditing scope or
procedures, which disagreement(s), if not resolved to the satisfaction of
KPMG, would have caused it to make reference to the subject matter of the
disagreement(s) in connection with its reports, or (2) "reportable events" as
such term is defined in Item 304(a)(1)(v) of Regulation S-K.

Skechers has immediately started to search for replacement auditors in an
effort to have them in place as soon as possible. Skechers is unable to
provide an estimate of when the re-audit of fiscal years 2011 and 2012 will be


SKECHERS USA, Inc. (SKX), based in Manhattan Beach, California, designs,
develops and markets a diverse range of footwear for men, women and children
under the SKECHERS name. SKECHERS footwear is available in the United States
via department and specialty stores, Company-owned SKECHERS retail stores and
its e-commerce website, and over 100 countries and territories through the
Company’s global network of distributors and subsidiaries in Brazil, Canada,
Chile, Japan, and across Europe, as well as through joint ventures in Asia.
For more information, please visit, and follow us on Facebook
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This announcement may contain forward-looking statements that are made
pursuant to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements include, without limitation,
any statement that may predict, forecast, indicate or simply state future
results, performance or achievements, and can be identified by the use of
forward looking language such as "believe," "anticipate," "expect,"
"estimate," "intend," "plan," "project," "will be," "will continue," "will
result," "could," "may," "might," or any variations of such words with similar
meanings. Any such statements are subject to risks and uncertainties that
could cause actual results to differ materially from those projected in
forward-looking statements. Factors that might cause or contribute to such
differences include international, national and local general economic,
political and market conditions including the ongoing global economic slowdown
and market instability; entry into the highly competitive performance footwear
market; sustaining, managing and forecasting costs and proper inventory
levels; losing any significant customers, decreased demand by industry
retailers and cancellation of order commitments due to the lack of popularity
of particular designs and/or categories of products; maintaining brand image
and intense competition among sellers of footwear for consumers; anticipating,
identifying, interpreting or forecasting changes in fashion trends, consumer
demand for the products and the various market factors described above; sales
levels during the spring, back-to-school and holiday selling seasons; and
other factors referenced or incorporated by reference in the Company’s annual
report on Form 10-K for the year ended December 31, 2012. The risks included
here are not exhaustive. The Company operates in a very competitive and
rapidly changing environment. New risks emerge from time to time and the
companies cannot predict all such risk factors, nor can the companies assess
the impact of all such risk factors on their respective businesses or the
extent to which any factor, or combination of factors, may cause actual
results to differ materially from those contained in any forward-looking
statements. Given these risks and uncertainties, you should not place undue
reliance on forward-looking statements as a prediction of actual results.
Moreover, reported results should not be considered an indication of future


Company Contact:
Jennifer Clay, 310-318-3100
Investor Relations:
Andrew Greenebaum, 310-829-5400
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