Quiksilver Raises Third Quarter Expectations

HUNTINGTON BEACH, Calif.–(BUSINESS WIRE)–Aug. 27, 2002– Quiksilver (NYSE:ZQK) today announced that the company expects to report third quarter diluted earnings per share in the range of $0.32 to $0.33 compared to the current First Call consensus estimate of $0.29.

The Company also expects to report third quarter net sales in the range of $170 million to $173 million. For the full year ending October 31, 2002, the Company is now comfortable that it will report diluted earnings per share of at least $1.42 and net sales in the range of $685 to $690 million. This compares to fiscal 2001 levels of $1.17 and $615.5 million, respectively.

Robert B. McKnight, Jr., Chairman and Chief Executive Officer commented, “We are very pleased with the tone and pace of our business. Strong product, broad diversification, and careful financial controls are enabling us to perform well in a difficult retail environment here in the United States. We have also maintained excellent momentum in our overseas markets, both company-owned and licensed territories, and continue to demonstrate our position as the global leader in the action sports lifestyle market. We believe our current business trend will continue throughout the fall season. Further, we are very satisfied with our global strategic position and prospects for long-term growth.”

The Company is scheduled to report actual third quarter results on September 12, 2002.

About Quiksilver:

Quiksilver designs, produces and distributes clothing, accessories and related products for active-minded people and develops brands that represent a casual lifestyle – driven from a boardriding heritage. Quiksilver’s authenticity is evident in its innovative products, events and retail environments across the globe.

Quiksilver’s primary focus is apparel for young men and young women under the Quiksilver, Roxy, Raisins and Radio Fiji labels. Quiksilver also manufactures apparel for boys (Quiksilver Boys and Hawk Clothing), girls (Roxy Girl, Teenie Wahine and Raisins Girls), men (Quiksilveredition and Fidra) and women (Leilani swimwear), as well as snowboards, snowboard boots and bindings under the Lib Technologies, Gnu, Supernatural Manufacturing and Bent Metal labels. Quiksilver’s products are sold throughout the world, primarily in surf shops and specialty stores that provide an outstanding retail experience for their customers.

Safe Harbor Language

This Press Release contains forward-looking statements. These forward-looking statements are subject to risks and uncertainties, and actual results may differ materially. Please refer to Quiksilver’s SEC filings for more information on the risk factors that could cause actual results to differ materially from expectations, specifically the section titled “Forward Looking Statements” in Quiksilver’s Annual Report on Form 10-K.

NOTE: For further information about Quiksilver, Inc., you are invited to take a look at our world at http://www.quiksilver.com and http://www.roxy.com