On April 23, 2008, Rocky Brands, Inc. (Nasdaq: RCKY) reached a settlement with Defendants Glen Bratcher, Westwood Footwear and Accessories LLC, and Nantong Hong Yi Wang Shoes Co. Ltd. in a lawsuit Rocky filed in the United States District Court for the Southern District of Ohio on February 5,
2008. The terms of the settlement are confidential.

    Mike Brooks, Rocky's chief executive officer, said of the resolution of the suit: "We at Rocky have worked very hard over many years to establish lines of boots well known for their appealing designs, outstanding quality, and distinctive appearance.
Rocky highly values its intellectual property rights and continues to enforce those rights whenever threatened by third parties.

    "The trade dress of the Georgia Giant(R) collection of work boots, Rocky's collection of Rocky Ride western and work boots, and its product in the Durango line of boots remains strong. This lawsuit was a matter of highest importance for Rocky, its employees, and our customers and Rocky is extremely pleased with the resolution of the case."

    Rocky Brands is a family of divisions that designs, develops, manufactures and markets premium rugged outdoor, occupational, work and Western footwear, as well as branded apparel and accessories under the following brands: ROCKY OUTDOOR GEAR(R), GEORGIA BOOT(R), DURANGO BOOT(R)
and ZUMFOOT(R). Its licensed brands include DICKIE FOOTWEAR(R) and
MICHELIN(R). The Nelsonville, Ohio-based company's footwear, apparel and
accessories are marketed through several distribution channels. It is a
publicly traded company on NASDAQ(R) under the symbol: RCKY.