COSTA MESA, Calif. - April 19, 2004 -- K2 Inc. (NYSE:KTO) headquartered in Carlsbad, Calif., has acquired Innovative Products, Inc. of Mountain Green, Utah, through Stearns Inc., a wholly owned subsidiary based in Sauk Rapids, Minn. Transaction terms were not publicly disclosed.

RSM EquiCo led the negotiations and acted as the exclusive financial advisor to Innovative Products.

"Given the rapid growth and success of its products, Innovative Products sought to align itself with a company that could take its success to the next level," said Paul Weisbrich, senior managing director of RSM EquiCo Capital Markets. "RSM EquiCo Capital Markets launched an extensive search to find a buyer able to offer a strategic fit while providing the infrastructure needed for Innovative Product's accelerating growth.

"Stearns and K2 proved to be a perfect fit for the company, and will help position K2 as one of the world's leading providers of ATV accessories," Weisbrich continued.

About Innovative Products, Inc.

Innovative Products , a designer of ATV accessories, offers a diverse line of products to outdoor enthusiasts throughout the United States. Innovative Products is one of the only companies to offer a complete line of ATV accessories, including rack luggage, gun and bow racks, utility/recreation products and hunting accessories. The company holds 18 patents covering 24 products and expects to cover 42 additional products through patents currently pending.

About Stearns Inc.

Stearns is the worldwide market share leader in personal flotation devices (PFDs), its core product line. Other products include ship abandonment survival suits, deck suits, flotation jackets, inflatable life rings, flotation cushions, water sport PFDs, wetsuits, inflatable boats, marine accessories, rain jackets, ATV accessories, hunting gear and accessories, waders and boots, and ice-rescue suits. Stearns also manufactures ATV accessories under the Mad Dog Gear brand.

About K2 Inc.

K2 is a branded consumer products company primarily focusing on sporting goods and other recreational products. K2's portfolio of brands includes Rawlings, Worth, Shakespeare, Pflueger, Brass Eagle, Stearns, K2, Ride, Olin, Morrow, Tubbs and Atlas. K2 products are used primarily in team and individual sports such as baseball, softball, fishing, water sports, alpine skiing, snowboarding, snowshoeing, paintball, in-line skating and mountain biking.

About RSM EquiCo, Inc.

RSM EquiCo is a leading global investment banking firm serving private middle-market companies throughout North America. With more than 400 professionals and support personnel, the firm specializes in mergers, acquisitions and divestitures for non-public companies with up to $250 million in annual revenues. Based in Costa Mesa, Calif., RSM EquiCo is part of RSM McGladrey Business Services, a business segment of H&R Block Inc. For more information, log on to www.rsmequico.com.