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For Immediate Release Contact: Elizabeth Lascoutx
212.705.0123

SKECHERS USA, Inc. Appeals CARU Decision

New York, NY - April 10, 2002 The Children's Advertising Review Unit (CARU) of the Council of Better Business Bureaus, Inc. (CBBB), the advertising industry's self-regulatory forum for advertising directed toward children, recommended that Skechers, USA, Inc. (Skechers) modify television advertising for its 4Wheelers™ roller skates (4Wheelers) to avoid sending the wrong message to children regarding safe skating, in violation of CARU's Self-Regulatory Guidelines for Children's Advertising (the Guidelines). The advertisement was brought to the attention of the CARU through its routine monitoring activities.

CARU found that the television commercial, which aired during traditional children's viewing time, violated its Guidelines by featuring teens skating and performing a stunt without the use of any safety gear. CARU's Guidelines are concerned with the special susceptibilities and vulnerabilities of children and acknowledge, "Imitation, exploration and experimentation are important activities to children. They are attracted to commercials in general and may imitate product demonstrations and other actions without regard to risk." As a result CARU's Guidelines, in a section on safety, state:

"Advertisements should not portray adults or children in unsafe situations, or in acts harmful to themselves or others. For example, when athletic activities (such as bicycle riding or skateboarding) are shown, proper precautions and safety equipment should be depicted."

CARU therefore recommended that Skechers modify its advertising to include the use of safety gear.

Skechers stated that there are no children depicted in the commercial and that no law requires that helmets or other protective gear be worn while roller skating or that marketing materials depict such protective gear in connection with the sale of roller skates and that it checked with the networks before airing the commercial. Further, the advertiser emphasized that it includes a detailed safety pamphlet inside every box of 4Wheelers, which states:

"Always wear protective gear, such as a helmet, wrist guards, elbow pads and kneepads."

In a statement to CARU, Skechers noted that the skaters in the commercial are not depicted wearing helmets or pads because they are not using the skates in an athletic or sporting manner. Rather, the advertiser asserted that the commercial depicts the skates being used as "fashionable" and fun alternatives to walking. Skechers also noted that it "warns purchasers of its 4Wheelers™ to use protective equipment in an effort to minimize skater injury for those skaters who use the 4Wheelers™ in a more athletic manner than what is depicted in the SKECHERS commercial." Therefore, Skechers elected to appeal the matter to the National Advertising Review Board (NARB).

CARU's inquiry was conducted under NAD/NARB/CARU Procedures for Voluntary Self-Regulation of National Advertising. Details of the inquiry, CARU's decision and the advertiser's response will be included in the next NAD/CARU Case Report.

Members of the press who wish to see a copy of the decision now should email CARU.

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The National Advertising Review Council (NARC) was formed in 1971 by the Association of National Advertisers, Inc. (ANA), the American Association of Advertising Agencies, Inc. (AAAA), the American Advertising Federation, Inc. (AAF), and the Council of Better Business Bureaus, Inc. (CBBB). Its purpose is to foster truth and accuracy in national advertising through voluntary self-regulation. NARC is the body that establishes the policies and procedures for the CBBB's National Advertising Division (NAD), the Children's Advertising Review Unit (CARU), and the National Advertising Review Board (NARB).

NAD and CARU are the investigative arms of the advertising industry's voluntary self-regulation program. Their casework results from competitive challenges from other advertisers, and also from self-monitoring traditional and new media, including the Internet. The National Advertising Review Board (NARB), the appeals body, is a peer group from which ad-hoc panels are selected to adjudicate those cases that are not resolved at the NAD/CARU level. This unique, self-regulatory system is funded entirely by the business community; CARU is financed by the children's advertising industry, while NAD/NARB's sole source of funding is derived from membership fees paid to the Council of Better Business Bureaus.





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