UNDER ARMOUR FIRST QUARTER 2020 RESULTS AND EFFORTS TO MANAGE THROUGH IMPACTS OF COVID-19

05.11.2020

Under Armour, Inc. (NYSE: UA, UAA) today announced financial results for the first quarter ended March 31, 2020. The company reports its financial performance in accordance with accounting principles generally accepted in the United States of America ("GAAP"). This press release refers to "currency neutral" and "adjusted" amounts, which are non-GAAP financial measures described below under the "Non-GAAP Financial Information" paragraph. References to adjusted financial measures exclude the impact of the company's 2020 restructuring plan and related impairment charges, impairments associated with certain long-lived assets and goodwill and related tax effects. Reconciliations of non-GAAP amounts to the most directly comparable financial measure calculated in accordance with GAAP are presented in supplemental financial information furnished with this release. All per share amounts are reported on a diluted basis.

"As extraordinary human and economic disruptions related to COVID-19 continue to unfold globally, we are prioritizing the health and welfare of our teammates and consumers," said Under Armour President and CEO Patrik Frisk. "By instituting disciplined workplace continuity protocols and adhering to the recommendations of local health authorities, we remain vigilant in monitoring this evolving situation and responsibly playing our part."

"During the first quarter, our results in January and February were tracking well to our plan. Since mid-March, as the pandemic accelerated dramatically in North America and EMEA and retail store closures ensued, we've experienced a significant decline in revenue across all markets." Frisk continued, "As a result, like so many businesses, we've had to make very difficult decisions, including temporarily laying off teammates in our U.S. retail stores and distribution centers along with other actions to ensure we protect Under Armour's financial stability."

Frisk concluded, "As we continue to navigate this crisis, our balance sheet remains well managed, and our leadership team is taking decisive actions to execute against our continued transformation. We remain focused on driving greater efficiencies across the core elements of our business by working to identify additional opportunities to emerge with stronger and greater capabilities over the long-term."

On March 31, our Board of Directors approved the previously announced 2020 restructuring plan, whereby we expect to incur total estimated pre-tax restructuring and related charges in the range of $475 million to $525 million during 2020 including up to approximately $350 million of non-cash charges and $175 million of cash-related restructuring charges.

Revenue was down 23 percent to $930 million (down 22 percent currency neutral) with approximately 15 percentage points of the decline related to COVID-19 pandemic impacts in the quarter.
- Wholesale revenue decreased 28 percent to $592 million and direct-to-consumer revenue was down 14 percent to $284 million, representing 31 percent of total revenue.
- North America revenue decreased 28 percent to $609 million and revenue from our international business decreased 12 percent to $287 million (down 11 percent currency neutral), representing 31 percent of total revenue. Within the international business, revenue increased 3 percent in EMEA (up 4 percent currency neutral), decreased 34 percent in Asia-Pacific (down 32 percent currency neutral), and increased 8 percent in Latin America (up 11 percent currency neutral).
- Apparel revenue decreased 23 percent to $598 million. Footwear revenue decreased 28 percent to $210 million. Accessories revenue decreased 17 percent to $68 million.
Gross margin increased 110 basis points to 46.3 percent compared to the prior year driven primarily by channel mix which benefitted from lower off-price sales, partially offset by the negative impacts from COVID-19 related discounting and changes in foreign currency.
Selling, general & administrative expenses increased 8 percent to $553 million driven primarily by increased legal expenses and amplified marketing related activities.
Restructuring and impairment charges were $436 million consisting of $301 million in restructuring and related impairment charges ($298 million in non-cash and $3 million in cash related charges) and $135 million from impairments of long-lived assets and goodwill.
Operating loss was $558 million. Excluding the impact of the restructuring plan and impairments, adjusted operating loss was $122 million.
Net loss was $590 million. Adjusted net loss was $152 million.
Diluted loss per share was $1.30. Adjusted diluted loss per share was $0.34.

The coronavirus (COVID-19) pandemic has negatively affected the U.S. and global economies, disrupted supply chains and financial markets, and led to significant travel and transportation restrictions, including mandatory closures and orders to "shelter-in-place". Amid this global crisis, Under Armour is focused on protecting the health and safety of our teammates and consumers, while working with our customers and suppliers to minimize potential disruptions and supporting our community to address challenges posed by this pandemic. The following provides an overview and status of certain parts of our business and some of the actions we are taking in response to this situation:

Business Continuity – as the virus spread rapidly during the first quarter, we began adjusting our operations and taking measures to ensure business continuity, as well as implementing government recommendations to increase social distancing, avoid large gatherings and requiring most office-based teammates around the world to work remotely. Within our supply chain, we quickly adjusted our plans and strategy to manage rapidly changing dynamics in sourcing, logistics and transportation.
Channel & Business Impacts
- Asia-Pacific: in China, which comprises a little more than half of our revenue in this region, both owned and partner doors began closing in late January and remained substantially closed through early March when a slowly progressive re-opening process started. By the end of March, more than 80 percent of these locations had re-opened in China and, at this time, substantially all have re-opened. However, traffic in these locations, while recovering steadily in recent weeks, continues to be down year-over-year. Business results and trends in South Korea have been similar to those in China, while retail and partner locations outside of these countries in the Asia-Pacific region have remained predominantly closed since the end of the first quarter.
- North America / EMEA / Latin America: beginning mid-March, the company temporarily closed all owned doors across all three of these regions. In addition to these locations, the vast majority of wholesale customer stores where our products are sold also closed down beginning mid-March. At the time of this communication, substantially all of our owned doors and those of our retail partners remain closed. The pace and timing of store openings, and traffic patterns when the stores re-open, remain highly uncertain.
- Global eCommerce: within our owned eCommerce business, which represents a low double-digit percentage of total revenue, we have seen more favorable trends materializing in North America and EMEA since the beginning of the second quarter.
Financial Impact and Related 2020 Outlook – following the withdrawal of our 2020 outlook on April 3, local market policies and procedures required to decrease COVID-19 transmission remain largely unchanged around the world. Accordingly, due to the high level of uncertainty with respect to the duration and scope of this current event, the quantification of negative impacts on our financial and operating results cannot reasonably be estimated at this time.
Cost Base Management – we are expecting to reduce our originally planned 2020 operating expenses by approximately $325 million through various initiatives, including:
- Taking actions to limit broader marketing activations until we have greater visibility into the magnitude of virus impact on consumer demand and behavior.
- Reducing incentive compensation.
- Temporarily laying off teammates that worked in our owned retail stores and U.S.-based distribution centers.
- Tightening our hiring, contract services and travel and other discretionary and variable costs.
- Postponing planned capital expenditures contributing to reduced depreciation.
- Realizing the operating expense benefits included within the approximate $40 million to $60 million of expected pre-tax savings in 2020 from our restructuring plan.
Liquidity and Cash Flow – given ongoing uncertainty and pressures in global markets, we moved quickly to prioritize liquidity, cash preservation, and inventory management to enhance our ability to navigate potential short and mid-term challenges:
- We ended the first quarter with cash and cash equivalents of $959 million, of which approximately $600 million was related to borrowings under our revolving credit facility. We currently have $700 million outstanding under this facility. Additionally, we are in the process of amending our credit agreement, which is on track to close tomorrow. Given the ongoing disruption throughout our industry, we expect this amendment will provide improved access to liquidity going forward.
- We ended the quarter with inventory up 7 percent to $940 million. In anticipation of significant changes in future demand, we are proactively reducing planned inventory receipts amid the quickly evolving retail environment.
- We have been prudently balancing the negotiation of extended payment terms with both our customers and vendors.
- We have reduced our planned capital expenditures to approximately $100 million compared with our previous expectation of approximately $160 million in 2020, with original investments generally expected to continue at such point business conditions stabilize.

Under Armour will hold its first quarter 2020 conference call and webcast today at approximately 8:30 a.m. Eastern Time. The call will be webcast live at https://about.underarmour.com/investor-relations/financials and will be archived and available for replay approximately three hours after the live event.

This press release refers to "currency neutral" and "adjusted" amounts. Currency neutral financial information is calculated to exclude the impact of changes in foreign currency. Currency neutral financial information is calculated to exclude the impact of changes in foreign currency exchange rates. Management believes this information is useful to investors to facilitate a comparison of the company's results of operations period-over-period. Adjusted financial measures exclude the impact of the company's 2020 restructuring plan and related impairment charges, impairments associated with certain long-lived assets and goodwill, and related tax effects. Specifically, in the first quarter of fiscal 2020, we recorded $301 million of restructuring and related impairment charges in connection with our 2020 restructuring plan. Also, we performed an interim long-lived asset impairment and goodwill analysis as of March 31, 2020. In the first quarter of fiscal 2020, we recorded $84 million of impairment charges for long-lived assets primarily related to globally owned retail locations and $51 million of impairment charges related to goodwill allocated to our Latin American as well as our North America reporting segments (due to impacts on our business in Canada). These goodwill charges were as a result of declines in both current and future expected cash flows compared to current net carrying value and were primarily a result of decreased net revenue and cash flow projections worsened by the COVID-19 pandemic, which has resulted in a substantial and prolonged store closures and traffic declines within our global retail store fleet. Management believes this information is useful to investors because it provides enhanced visibility into the company's actual underlying results excluding these impacts. These supplemental non-GAAP financial measures should not be considered in isolation and should be viewed in addition to, and not as an alternative for, the company's reported results prepared in accordance with GAAP. Additionally, the company's non-GAAP financial information may not be comparable to similarly titled measures reported by other companies.

Under Armour, Inc., headquartered in Baltimore, Maryland, is a leading inventor, marketer and distributor of branded athletic performance apparel, footwear and accessories. Powered by one of the world's largest digitally connected fitness and wellness communities, Under Armour's innovative products and experiences are designed to help advance human performance, making all athletes better. For further information, please visit https://about.underarmour.com.

Some of the statements contained in this press release constitute forward-looking statements. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts, such as statements regarding our future financial condition or results of operations, the impact of the COVID-19 pandemic on our business, our plans to reduce our 2020 operating expenses, anticipated charges and restructuring costs, the timing of these measures and projected savings related to our restructuring plans, and the potential amendment to our credit agreement, including the timing of the amendment and related impact on our liquidity. In many cases, you can identify forward-looking statements by terms such as "may," "will," "should," "expects," "plans," "assumes," "anticipates," "believes," "estimates," "predicts," "outlook," "potential" or the negative of these terms or other comparable terminology. The forward-looking statements contained in this press release reflect our current views about future events and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause events or our actual activities or results to differ significantly from those expressed in any forward-looking statement. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future events, results, actions, levels of activity, performance or achievements. Readers are cautioned not to place undue reliance on these forward-looking statements. A number of important factors could cause actual results to differ materially from those indicated by the forward-looking statements, including, but not limited to: the impact of the COVID-19 pandemic on our industry and our business, financial condition and results of operations; changes in general economic or market conditions that could affect overall consumer spending or our industry; changes to the financial health of our customers; loss of key suppliers or manufacturers or failure of our suppliers or manufacturers to produce or deliver our products in a timely or cost-effective manner; our ability to raise capital and financing required to manage our business on terms acceptable to us; our ability to successfully execute our long-term strategies; our ability to successfully execute any potential restructuring plans and realize their expected benefits; our ability to effectively drive operational efficiency in our business; our ability to manage the increasingly complex operations of our global business; our ability to comply with existing trade and other regulations, and the potential impact of new trade, tariff and tax regulations on our profitability; our ability to effectively develop and launch new, innovative and updated products; our ability to accurately forecast consumer demand for our products and manage our inventory in response to changing demands; any disruptions, delays or deficiencies in the design, implementation or application of our new global operating and financial reporting information technology system; increased competition causing us to lose market share or reduce the prices of our products or to increase significantly our marketing efforts; fluctuations in the costs of our products; our ability to further expand our business globally and to drive brand awareness and consumer acceptance of our products in other countries; our ability to accurately anticipate and respond to seasonal or quarterly fluctuations in our operating results; our ability to successfully manage or realize expected results from acquisitions and other significant investments or capital expenditures; risks related to foreign currency exchange rate fluctuations; our ability to effectively market and maintain a positive brand image; the availability, integration and effective operation of information systems and other technology, as well as any potential interruption of such systems or technology; risks related to data security or privacy breaches; our potential exposure to litigation and other proceedings; and our ability to attract key talent and retain the services of our senior management and key employees. The forward-looking statements contained in this press release reflect our views and assumptions only as of the date of this press release. We undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events.

Under Armour Contacts:

Lance Allega
SVP, Investor Relations & Corporate Development
(410) 246-6810

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Q1 2020 Earnings Results Financial Charts

BALTIMORE, Sept. 27, 2022 – Under Armour, Inc. (NYSE: UA, UAA) today announced the release of its 2021 Sustainability & Impact Report, outlining a new sustainability framework, goals, and targets that will guide the company’s work to reduce the environmental footprint associated with its products and operations while accelerating its social and community impact. Aligned with Global Reporting Initiative (GRI) and Sustainable Accounting Standard Board (SASB) industry standards, the report outlines 23 goals and targets designed to drive company progress across three key pillars – Products, Home Field, and Team – and underscore Under Armour’s core values, including ‘Act Sustainably’ and ‘Stand for Equality.’ “As a global innovator and leader in athletic performance apparel, footwear, and accessories, we believe Under Armour has an important role to play in addressing impending challenges facing our society, industry, and planet. This belief informs our innovation methods and compels us to rethink, reinvent, and reimagine our products and how we make them in our work to support athletes and protect people and our shared planet,” said Colin Browne, Under Armour Interim President and CEO. “Mindful that lasting change will require global cooperation across communities and industries, our new report conveys our renewed commitments to continuous improvement, industrywide collaboration, and transparent communication with our stakeholders in our ongoing sustainability journey.” Under Armour’s sustainability approach, What’s Under Matters, reflects the company’s mission to make athletes better by focusing on performance-driven innovations that utilize more sustainable materials designed for recyclability and more efficient production processes in its delivery of durable, quality, high-performing products athletes know and trust. “The details underlying a company’s sustainability strategy are foundational to its longevity and ability to generate lasting impact. For this reason, Under Armour has worked diligently over the years to finalize our approach and take concerted action before releasing this report,” said Michael Levine, Under Armour VP and Chief Sustainability Officer. “We’re pleased to share our accomplishments and perspective on our future goals, and we look forward to providing updates on our progress.” A selection of report highlights within each pillar follows: Products – Through 10 goals, the company is embracing material innovations that will enable less waste and more durability, setting the stage for circular systems by 2030, including: Prioritizing recycled and renewable materials and reducing single-use plastic brand product packaging by 75% by 2025. Implementing sustainability and circular design principles in at least half of its products by 2027 and developing chemistry and processes that can enable a circular footwear program to be launched in market, at scale, by 2030. At the end of 2021, approximately 40% of fabrics used in the company’s apparel and accessories were made from materials capable of being recycled. Supporting innovation that reduces fiber shedding from textiles and targeting 75% of fabric to be made of low-shed materials, as defined by industry-leading guidance on fabric shedding that the company will work collectively to shape by 2030. Home Field – The company is working to reduce its overall environmental footprint and do its part to protect the planet through seven goals, including: Eliminating 100% of biocides and fluorine DWR in its products by 2025. Reducing absolute scope 1, 2, and 3 greenhouse gas emissions by 30% and increasing renewable energy in owned and operated facilities to 100% by 2030. Advancing low-impact manufacturing, reducing the environmental impact of its materials, and targeting net-zero emissions by 2050. Team – The company is supporting its people and communities through six goals that build upon longstanding efforts, including: Continuing to invest in teammates' health, safety, and well-being – including through initiatives to advance diversity, equity, and inclusion and develop underrepresented talent at all levels. Protecting workers' human rights and well-being in its supply chain through comprehensive programs and audits. Working to create opportunities for millions of youth to engage in sports by 2030. To download the 2021 Sustainability & Impact Report and for further information on Under Armour’s sustainability program, visit this link. About Under Armour Under Armour, Inc., headquartered in Baltimore, Maryland, is a leading inventor, marketer, and distributor of branded athletic performance apparel, footwear, and accessories. Designed to empower human performance, Under Armour's innovative products and experiences are engineered to make athletes better. For further information, please visit http://about.underarmour.com. Forward-Looking Statements Some of the statements contained in this press release constitute forward-looking statements. Forward-looking statements relate to expectations, beliefs, projections, estimates, future plans and strategies, anticipated events or trends, and similar expressions concerning matters that are not historical facts, such as statements regarding our goals, targets, commitments, future planned initiatives and the timing and effectiveness of any of the foregoing, including those relating to the environment, human capital matters, social and labor issues, and community impact; the development and introduction of new products, technologies and ways of working; our assumptions and the implementation of our sustainability strategies; the future impacts of our investments and initiatives; and the standards and expectations of third parties. In many cases, you can identify forward-looking statements by terms such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “outlook,” “potential,” or the negative of these terms or other comparable terminology. The forward-looking statements contained in this press release reflect our current views about future events and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause events or our actual activities or results to differ significantly from those expressed in any forward-looking statement. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future events, results, actions, activity levels, performance or achievements. Readers are cautioned not to place undue reliance on these forward-looking statements. A number of important factors could cause actual results to differ materially from those indicated by the forward-looking statements, including our assumptions not being realized, scientific or technological developments, evolving sustainability strategies, evolving government regulations, and the risks and uncertainties set forth in the “Risk Factors” section of our most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q filed with the U.S. Securities and Exchange Commission. The forward-looking statements contained in this press release reflect our views and assumptions only as of the date of this press release. We undertake no obligation to update any forward-looking statement to reflect events or circumstances after the statement's date or to reflect unanticipated events.

Under Armour, Inc. (“the company”) (NYSE: UA, UAA), today announced that Patrik Frisk will step down as President and Chief Executive Officer (CEO) and as a member of the Board of Directors (board), effective June 1, 2022. The board has initiated a comprehensive internal and external search process to identify a permanent President and CEO. Until a successor is named, the board has appointed Colin Browne, the company’s Chief Operating Officer (COO), as interim President and CEO, effective June 1, 2022. To support the transition, Frisk will remain with Under Armour as an advisor through September 1, 2022. “On behalf of the board, I want to thank Patrik for his valuable contributions to Under Armour over the past five years,” said Kevin Plank, Under Armour Founder, Executive Chairman and Brand Chief. “During his tenure, we made significant strides in advancing enterprise-wide operational excellence, and Patrik’s steadfast leadership has been crucial to strengthening our foundation and positioning the company for our next growth phase. As we search for Patrik’s permanent successor, Colin’s experience as a seasoned executive in our industry and leading critical operational aspects of our business will serve Under Armour well as interim CEO.” Plank continued, “Under Armour is evolving to meet the needs of our athletes worldwide. As we transition, we are committed to identifying additional opportunities to drive improved returns for our shareholders and deliver for athletes, partners, and teammates. There is a huge opportunity in front of us. I look forward to working closely with the board during the search process to find our next leader who will take us to new heights. In the meantime, we are moving forward and will continue to connect with athletes in exciting ways, offering them exactly what they need when they need it.” Frisk, who joined Under Armour in 2017, helped architect its long-term strategic plan that underscored its commitment to athletic performance by reengineering its structure, systems, and go-to-market process. Under his leadership, the company delivered industry-leading products, deepened relationships with consumers and customers, and advanced its purpose, vision, mission, and values. “It has been the greatest privilege of my career to serve Under Armour athletes, customers, shareholders, and teammates. I am extremely proud of what we’ve accomplished as a team,” said Frisk. “Together, we have done a tremendous amount of work to strengthen this iconic brand while significantly solidifying its operations. Colin has an intimate understanding of the Under Armour business and our industry. I have every confidence that his stewardship will allow for a seamless transition.” Browne said, “What unifies and drives Under Armour is our purpose: to empower those who strive for more. This transition is an opportunity to further our long-term goals. I am grateful for Patrik’s leadership and partnership. As we work to deliver industry-leading innovation and premium experiences to athletes globally, we remain focused on amplifying the strong foundation that’s been set over the past few years.” Since joining the company in 2016, Browne modernized Under Armour’s digital go-to-market strategy and direct-to-consumer model and transformed its supply chain organization, leading to significant margin improvement and operating efficiency. Browne has held the role of COO since 2020 and oversees supply chain, global planning, sustainability, information technology, enterprise data management, commercial optimization, go-to-market strategy, and distribution capabilities. Browne has been an integral part of the company's successful transformation, and his leadership has been critical to navigating global supply challenges caused by the pandemic. About Under Armour, Inc. Under Armour, Inc., headquartered in Baltimore, Maryland, is a leading inventor, marketer and distributor of branded athletic performance apparel, footwear, and accessories. Designed to empower human performance, Under Armour’s innovative products and experiences are engineered to make athletes better. For further information, please visit http://about.underarmour.com. Forward Looking Statements Some of the statements contained in this press release constitute forward-looking statements. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends, and similar expressions concerning matters that are not historical facts, such as statements regarding our future financial condition or results of operations, our prospects, and strategies for future growth, the impact of the COVID-19 pandemic on our business and results of operations, the development and introduction of new products, and the implementation of our marketing and branding strategies. In many cases, you can identify forward-looking statements by terms such as “may,” “will,” “should,” “could,” “expects,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “outlook,” “potential” or the negative of these terms or other comparable terminology. The forward-looking statements contained in this press release reflect our current views about future events and are subject to risks, uncertainties, assumptions, and changes in circumstances that may cause events or our actual activities or results to differ significantly from those expressed in any forward-looking statement. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future events, results, actions, activity levels, performance, or achievements. Readers are cautioned not to place undue reliance on these forward-looking statements. A number of important factors could cause actual results to differ materially from those indicated by these forward-looking statements, including, but not limited to: the impact of the COVID-19 pandemic on our industry and our business, financial condition and results of operations, including recent impacts on the global supply chain; failure of our suppliers or manufacturers to produce or deliver our products in a timely or cost-effective manner; labor or other disruptions at ports or our suppliers or manufacturers; changes in general economic or market conditions that could affect overall consumer spending or our industry; increased competition causing us to lose market share or reduce the prices of our products or to increase our marketing efforts significantly; fluctuations in the costs of raw materials and commodities we use in our products and our supply chain; changes to the financial health of our customers; our ability to successfully execute our long-term strategies; our ability to effectively drive operational efficiency in our business and successfully execute any restructuring plans and realize their expected benefits; our ability to effectively develop and launch new, innovative and updated products; our ability to accurately forecast consumer shopping and engagement preferences and consumer demand for our products and manage our inventory in response to changing demands; loss of key customers, suppliers or manufacturers; our ability to further expand our business globally and to drive brand awareness and consumer acceptance of our products in other countries; our ability to manage the increasingly complex operations of our global business; the impact of global events beyond our control, including military conflict; our ability to successfully manage or realize expected results from significant transactions and investments; our ability to effectively market and maintain a positive brand image; our ability to effectively meet the expectations of our stakeholders with respect to environmental, social and governance practices; the availability, integration and effective operation of information systems and other technology, as well as any potential interruption of such systems or technology; any disruptions, delays or deficiencies in the design, implementation or application of our global operating and financial reporting information technology system; our ability to attract key talent and retain the services of our senior management and other key employees; our ability to access capital and financing required to manage our business on terms acceptable to us; our ability to accurately anticipate and respond to seasonal or quarterly fluctuations in our operating results; risks related to foreign currency exchange rate fluctuations; our ability to comply with existing trade and other regulations, and the potential impact of new trade, tariff and tax regulations on our profitability; risks related to data security or privacy breaches; and our potential exposure to litigation and other proceedings. The forward-looking statements contained in this press release reflect our views and assumptions only as of the date of this press release. We undertake no obligation to update any forward-looking statement to reflect events or circumstances after the statement’s date or to reflect unanticipated events. Under Armour Contacts: Lance Allega, SVP, Investor Relations & Corporate Development, (410) 246-6810 Blake Simpson, SVP, Global Communications, Community Impact & Events, (443) 630-9959

Trust builds great athletes, and trust runs deep at Under Armour. From trusting yourself to go the extra mile to trusting your teammates to step in when you need support, trust unites us and helps us Strive for More. Newsweek has recognized Under Armour in their inaugural Most Trustworthy Companies 2022 list. In partnership with Statista, a German company specializing in marketing and consumer data, Newsweek ranked Under Armour #2 out of 16 total companies for the Textile, Clothing, & Luxury Goods category. “Each and every teammate at Under Armour plays a role in bringing our purpose to life,” said Under Armour CEO Patrik Frisk. “Being recognized as one of America’s Most Trustworthy Companies speaks volumes to the passion and integrity our teammates bring forward in everything they do in both their professional and personal lives.” With help from a survey of 50,000 U.S. residents, companies were evaluated across different elements related to customer, investor, and employee trust. Survey respondents answered questions about how companies engaged customers and treated their employees. Publicly traded U.S. corporations with $500 million or more in annual revenues made the list. Newsweek reviewed companies aligning to 22 industries, ranging from Banks, Energy & Utilities, Health Care & Life Sciences, and more. Insights from the 2022 Edelman Trust Barometer showed how employee trust is the number one driver of trust. More specifically, many employees expect their employer to engage on societal issues and provide quality information. Under Armour’s ongoing and tangible actions to address issues like economic equality and community policing relationships are felt across the business. As Under Armour continues to put its purpose at the forefront of all activities, the business will continue to make decisions grounded in doing what is right for their consumers instead of solely responding to the market and reacting to competitors. Under Armour is committed to empowering those who strive for more, and the company’s values – Act Sustainably, Celebrate the Wins, Stand for Equality, Love Athletes and Fight on Together – serve as both a checklist for each of our programs and the qualities expected of every teammate.

This Veterans Day is the first in two decades that the United States is not at war, but the essential mission of supporting veterans and families of fallen heroes carries on in communities across the country. Under Armour embraces this mission with its continued support of the Travis Manion Foundation, which strives to create thriving communities built on the bedrock of personal character and purpose-driven individuals. Powered by Under Armour Freedom, the Travis Manion Foundation’s Character Does Matter program has connected more than 2,000 veteran mentors with more than 400,000 kids across all 50 states over the past two years. Veteran mentors receive training, support, and materials from the Travis Manion Foundation to bring a research-based character curriculum to schools, youth groups, and sports teams at no cost. “With continued investment and growth, Character Does Matter will become the premier character-development program available to schools and youth throughout the country within the next few years,” says Ryan Manion, president of the Travis Manion Foundation and the older sister of Travis, a Marine who died in combat in 2007. To support the Travis Manion Foundation, Dwayne Johnson and Under Armour have released Project Rock’s For the Heroes collection, an annual brand initiative that honors veterans’ service and sacrifices. The collection, which includes new pieces for men, women, and youth, is available at UA.com, Under Armour Brand Houses, and select global retailers. “It’s really amazing to recognize those who are continuing to serve even outside of uniform. These heroes walk among us every single day and they inspire us to follow in their footsteps with the same sense of service, character and leadership,” Johnson says. “The work TMF does with veterans and families of the fallen, providing them with personal development training and experiences, repurposing their leadership to continue serving in their local community—especially to mentor and serve the next generation—is so critically important.”

Being raised by a single mother, my football coaches became the father figures that I didn’t have. Many of them served as role models that I still admire to this day. As I continued to move up the ranks, I knew that I would have the opportunity to have that same impact on my players. It wasn’t until recently I realized that I could have a similar influence on young coaches that looked like me just trying to forge their paths in this great game of football. I owe a lot of the opportunities football has given me to my high school football coach, Frank Young. He was one of the first people to make me and my teammates realize that college was a real and viable option for us. He found us a way out — and where I grew up, very few people ever left that neighborhood. Because of the game, I'm the first in my family to graduate from college. Football introduced me to my wife. It’s allowed me to have a family. Throughout my career, I've taken a little bit of life’s lessons from every coach that I worked with and every athlete I have had the privilege to coach. They all guided me in my success. The pandemic forced us all to stop. There were no games to prepare for — only life. It gave us all what I consider a much-needed time to reflect and think. The idea of The National Coalition for Minority Football Coaches came to mind in a phone call with Coach Mike Tomlin last year. We started talking about the head positions we have and how we got here. Recognizing that we’re both on the back nine of our coaching careers, it is hard to think that things aren’t looking any easier for minority coaches. So, I thought - how can we give back? How can we pay it forward? Thus, the Coalition was born. Our goal is to prepare, promote, and produce a complete coach. Imagine an almost Renaissance man, someone who meets all the needs of a football coach, both on the field and off. I'm a big believer that if you can see it, then you can achieve it. That vision now gives the next generation the ability to realize that they’re capable of doing it too. My idealistic view is that the world should become more like the locker room. Think about it — every racial, socioeconomic barrier is broken in the locker room. In there, we’re all playing on one team. In partnership with Under Armour, we can push this narrative onto the playing field. Under Armour is a champion for our cause, and that means the world to me. Our future success as a Coalition is critical. This is something that we don't take for granted. We must keep this door open for minority coaches. I want every qualified candidate to get the opportunities that I have had and then some – to be given the guidance that I was given. I know that we need to do this the right way and create a strong foundation for minority coaches to build upon for years to come and I thank Under Armour for standing behind us as we pave the way forward. The better we do today, the more doors we open in the future.

Under Armour, Inc. (NYSE: UA, UAA) today announced the appointment of Massimo Baratto to Executive Vice President, Chief Consumer Officer. Since joining Under Armour in 2018, Baratto has served as Managing Director of the company’s Europe, Middle East and Africa (EMEA) region. Effective Nov. 1, this newly created role will oversee all aspects of Under Armour’s consumer strategy, delivering a seamless, consistent brand experience with responsibility for global marketing, eCommerce and retail. “Today’s announcement underscores our commitment to delivering an ecosystem capable of deepening our connection with focused performers, inspiring them wherever and whenever they choose to engage our brand,” said Under Armour President and Chief Executive Officer Patrik Frisk. “Massimo’s global leadership skills, digital expertise, and significant experience building brands through understanding consumer behavior will be a great enabler in strengthening our ability to innovate and enhance our position as one of the world’s preeminent athletic performance brands.” Before Under Armour, Baratto served as Chief Executive Officer for Oberalp Group. In his 18-year career at Oberalp, he was credited with significant growth of the Salewa, Dynafit, Wild Country, and Pomoca brands helping the company become one of the most distinguished international house of brands in the mountain sports industry. In conjunction with this announcement, Kara Trent, a 7-year Under Armour veteran, will succeed Massimo as the company’s Senior Vice President/General Manager of EMEA. Trent has served in multiple roles in the company’s North American business and most recently has led the merchandising and planning functions for the EMEA region. Before Under Armour, she served in various merchandising, planning, and buying roles at PUMA and Reebok. Additionally, the company announced that Alessandro de Pestel, who has served as Under Armour’s Chief Marketing Officer since 2018, plans to leave in Feb. 2022 to pursue other opportunities. Frisk added, “We appreciate the disciplined approach and consistency that Alessandro has contributed during our transformational journey. By helping us build a holistic strategy around consumer-centricity and significantly elevating our reach to focused performers, Under Armour’s global brand consideration is increasing.” About Under Armour, Inc. Under Armour, Inc., headquartered in Baltimore, Maryland, is a leading inventor, marketer and distributor of branded athletic performance apparel, footwear and accessories. Designed to empower human performance, Under Armour’s innovative products and experiences are engineered to make athletes better. For further information, please visit http://about.underarmour.com.

The Baltimore Ravens and Under Armour have partnered to provide grant funding to member schools of the Maryland Public Secondary Schools Athletics Association (MPSSAA) for the development of high school girls’ flag football programs. The Ravens are committing $250K over five years to support the initiative, with a target launch for the programs in the fall of 2022. This grant accompanies the MPSSAA’s commitment to developing new and innovative athletic opportunities that benefit the physical, social and emotional well-being of female student-athletes. Under Armour – a leading inventor, marketer and distributor of branded athletic performance apparel, footwear and accessories – will outfit custom uniforms for each high school team. The MPSSAA, which annually administers programs for over 111,000 participants from 199 public schools in the 24 local Maryland educational agencies, will institute the league’s rules and facilitate all field setup, uniform guidelines, game official framework and other areas of operation. Through this grant program, female high school students in Maryland will receive new opportunities to participate and enjoy a fast-paced, fun sport that has experienced steady growth throughout the country in recent years. Highlighted by a partnership between the NFL and the National Association of Intercollegiate Athletics, flag football has proven to be an emerging offering for girls. “We are proud to partner with Under Armour on this groundbreaking initiative,” Ravens senior vice president of marketing Brad Downs stated. “Football is the ultimate team sport, and we believe young female student-athletes deserve an opportunity to experience the incredible life lessons it teaches. We’re excited to help establish a program that will create a new varsity sport for high school girls who are eager to play the game of football.” “At Under Armour, we believe everyone should have the opportunity and ability to play sports at every level, particularly young girls whose confidence can be impacted by lack of access to sport,” said Sean Eggert, senior vice president of global sports marketing at Under Armour. “We are proud to support the Baltimore Ravens and MPSSAA to bring flag football to girls across Maryland.” GRANT APPLICATIONS Schools interested in starting a girls’ flag football team can apply for grants to fund their respective programs. Each local school system will be able to apply for a grant through the MPSSAA. All teams participating in the high school girls flag football league will be included in Ravens RISE events and experiences.

Troy Grimes, an Under Armour retail teammate from the Charlotte, NC Factory House is set to run 58 miles to celebrate his 58th birthday in the Hot Rod Ultra Marathon in Bowling Green, KY on September 25. His goal is to raise $5,800 for Under Armour community partner, Every Kid Sports. Grimes has been an avid runner for the past 19 years. He initially began running to lose weight and often celebrates key milestones in his life with runs, including running 70 miles to celebrate his 70-pound weight loss several years ago. He is also a baseball fan, former player and umpire in his spare time. To combine his two passions – running and baseball – Troy decided to run the Hot Rod Ultra Marathon which takes place on the Hot Rod Minor League baseball field. Troy will be running 177 laps to complete his 58 miles. While working at the Under Armour Factory House in Charlotte, Troy learned about Under Armour’s partnership with Every Kid Sports, a 501.c.3 non-profit that aims to help kids from income-restricted families experience the positive benefits of playing sports by helping the family cover a portion of their registration fees. Through their signature program, the Every Kid Sports Pass, the organization covers up to $150 of recreational youth sports registration fees up to four times a year, per child aged 4-18. The funding is available to families who qualify for SNAP, WIC, or Medicaid. Customers at Under Armour retail locations in the United States are able to donate to Every Kid Sports at checkout, which has been available since July 2021. To date, Under Armour customers have raised more than $200,000 for Every Kid Sports through donations at checkout. “I am so excited that I am able to combine my love of baseball and running with the Hot Rod Ultra Marathon,” said Troy Grimes, Under Armour Teammate. “As a father and fan of sports, I have first-hand experience seeing the positive impact that youth sports can have on young kids, which is why I am honored to be raising money for Every Kids Sports.”

Under Armour, Inc. (NYSE: UA, UAA) today announced that David Gibbs had been appointed to its Board of Directors effective Sept. 1, 2021. As Chief Executive Officer (CEO) of Yum! Brands, Inc. (NYSE: YUM), Gibbs, 58, leads the company’s overarching strategies, structure, people development, and culture to drive global growth and sales and profitability for more than 51,000 KFC, Pizza Hut, Taco Bell and The Habit Burger Grill restaurants in over 150 countries and territories, with approximately 2,000 franchisees and 1.5 million franchise system employees globally. “We are thrilled to welcome David to our board. His outstanding track record in global brand management, including significant retail and international expertise, and driving shareholder returns will serve as a tremendous resource as we continue to execute on our growth objectives,” said Under Armour Executive Chairman and Brand Chief Kevin Plank. “Along with these highly relevant skills, he also brings a strong consumer-centric focus and a team-first approach that is lock-step with Under Armour’s culture. We look forward to benefitting from David’s seasoned perspective and his contributions as we further amplify our offense.” “As a brand fan, it’s been inspiring to watch Under Armour’s journey to becoming one of the world’s most iconic athletic performance companies over the past 25 years,” said Gibbs. “Following the effective execution of its multi-year transformation, I am honored to join Kevin, Patrik, and the Under Armour board, working alongside this exceptional team to help guide the company successfully into its next chapter of growth.” Mr. Gibbs has been CEO of Yum! Brands since January 2020 and has served as a member of its board of directors since November 2019. During his 32-year career with Yum! Brands, Gibbs has held a variety of leadership positions in its KFC, Pizza Hut and Taco Bell divisions, including global strategy, finance, general management, operations and real estate. Before his CEO appointment, Gibbs was Yum! Brands’ president and chief operating officer with global operating leadership of the KFC, Pizza Hut and Taco Bell divisions. Before that, he was president and chief financial officer, serving as the chief architect of the company’s financial, refranchising, and restaurant development strategy during a period when Yum! Brands transformed into a capital-light, pure-play franchisor. Gibbs holds a master’s degree in business administration from the Fuqua School of Business at Duke University and a Bachelor of Science degree in mathematical science from Johns Hopkins University.

As part of its vision to preserve the planet for generations of Focused Performers to come, Under Armour announced today three commitments to reduce the impacts of its operations on the environment. As climate change emerges as a key focal point of its corporate sustainability efforts, Under Armour commits to ultimately transition all energy use in owned and operated facilities to 100% renewable sources by 2030 – and to achieve net zero greenhouse gas (GHG) emissions by 2050. “We want Focused Performers, our teammates and our communities to thrive with clean air, water, and home fields,” said Under Armour VP and Chief Sustainability Officer, Michael Levine. “Our commitment to specific climate targets and milestones allows us to align our business planning with the future we want to see – the best performance imaginable on the cleanest planet Earth possible.” Specific Under Armour commitments announced include: Reduce absolute scope 1, 2 and 3 greenhouse gas emissions by 30% by 2030 from a 2018 base year, a science-based emissions target approved by the Science Based Targets initiative (SBTi). Increase annual sourcing of renewable electricity in owned and operated facilities to 100% by 2030, with an interim goal of 80% by 2025. This announcement comes as Under Armour joins RE100. Achieve net zero greenhouse gas emissions by 2050, as a pledge to Business Ambition for 1.5°C Campaign, an urgent call-to-action backed by a global coalition of UN leaders, businesses and NGOs. The campaign is led by SBTi in partnership with the UN Global Compact and the We Mean Business coalition. These targets align with the SBTi science-based criteria and the RE100, respectively. The reduction of the scope 1 and 2 portion of Under Armour’s science-based target are also consistent with the levels required to keep warming to 1.5°C, the established goal of the 2015 Paris Climate Agreement. The Science Based Targets initiative is a collaboration between the CDP, the United Nations Global Compact, World Resources Institute (WRI) and the World Wide Fund for Nature (WWF). The SBTi defines and promotes best practices in science-based target setting and assesses and approves corporate emissions reduction targets. There are over 1,200 companies taking action with the SBTi worldwide. Under Armour will provide updates on progress against these climate goals and continue to explore opportunities to partner with other climate change innovators and leaders in pursuit of sustainable business approaches.

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