GLOBE INTERNATIONAL LIMITED — Earnings Release 2007

Aug 29, 2007

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MEDIA RELEASE AND ASX ANNOUNCEMENT

30 August 2007

GLOBE INTERNATIONAL 2006/07 RESULTS

Globe International Limited (ASX: GLB) today released its result for the financial year ended 30 June 2007 which indicates that the company’s growth strategy is on track to deliver an improvement in shareholder value.

Globe’s consolidated full year net sales revenue of $158.1m includes first half revenue of $35.6m from the now divested streetwear division. EBITDA for the consolidated business was $6.9m and positive net operating cash flow at $13.4m was up from $2.8m on the previous year.

During the year, a number of significant events took place including the sale of the World Industries brand and Streetwear together with a subsequent $32m capital return to shareholders concurrent with the consolidation of shares in the company on a 1:10 basis.

The Chief Executive Officer of Globe, Matt Hill, said that the continuing business, following the sale of the Streetwear Division earlier this year, traded profitably and demonstrated solid growth, particularly in the North American market.

For the continuing business, EBITDA at $1.3m, after one-off significant items, represents a $3.0m turnaround on last year’s loss of $1.7m with net sales improving by $1.0m to $122.5m. When adjusted for currency, and on a like for like basis, sales growth for the business was up 8.9% over last year with North America being the standout.

Matt Hill said "Financially the company is in a sound position with a strong and clean balance sheet with over $20m in cash and very low debt.

“The growth we have experienced in world wide sales, and the profitability in the continuing business, is as a result of the brand and infrastructure investments that have occurred over the last two years. Accordingly, we fully expect sales and EBITDA growth to continue throughout the current financial year.”

Regional Highlights

“These are good company wide results, particularly in North America where sales growth of 13.5% in local currency, excluding revenues from discontinued brands, was achieved as a result of an increase in footwear unit sales of 11.7% and skateboard unit sales of 20%,” Matt Hill said.

In Australia and New Zealand, sales excluding operations and brands discontinued in 2007, have resulted in an 8.2% increase in revenue and an increase of 10.6% in footwear units sold.

“An important part of our growth will come from our apparel offering which is continuing to grow, particularly in Europe where it is now a significant contributor to that region's top line and profit result, resulting in a 4.7% improvement in sales revenue in local currency.”

Summary

“These results indicate the benefits of pursuing growth through being strongly focused on Globe and our iconic skate brands,” Matt Hill said. “Marketing initiatives such as world leading skate and surf events, highly successful video productions, and having some of the best skaters and surfers in the world on our teams have all contributed positively to this outcome.

“Globe today is a lot more than just the old business less Streetwear. Within the continuing business is a renewed culture and urgency together with a strong momentum and we are clearly focused on delivering the value that our shareholders know is inherent in the company and in our brands.

“While the growth experienced in the last year has been pleasing, clearly a lot remains to be done to return Globe to a level of performance that we will be satisfied with, however the foundations for continuing growth and profitability are now firmly in place.”

ENDS

Further information Chris Oldfield +61 3 8534 9914 or + 61 419 309 303 chris.o@globeintltd.com

Globe - who we are

Globe is an international business with its products sold in over 65 countries. Globe's key offices are in Melbourne and the Gold Coast in Australia, Los Angeles in the USA, Hossegor on the south-west coast of France and London in the UK. Globe's heritage and future is in building and managing boardsports brands represented across the apparel, footwear, hardgoods and accessories markets worldwide. Globe designs and develops products that appeal to the broader youth culture and span multiple categories of footwear and apparel hardgoods in skate, surf and snow.

www.globe.tv