EXHIBIT 99.1





PRESS RELEASE

Contact: Steve O'Hara
         Chairman & CEO
         (636) 349-3500

                     K2 AND RAWLINGS SIGN AGREEMENT TO MERGE

         Los Angeles, California - December 16, 2002 - K2 Inc. (NYSE:KTO) and
Rawlings Sporting Goods Company, Inc. (NASDAQ NM: RAWL) jointly announced the
signing of a definitive merger agreement in which Rawlings would become a
wholly-owned subsidiary of K2 in a stock-for-stock merger. Based on the average
closing price of K2 shares for the 15-trading days ending December 13, 2002, the
value of the transaction is $84 million, plus assumed liabilities. The
transaction, which is subject to shareholder approval by both companies,
regulatory review and other customary conditions, is expected to be completed in
the spring of 2003. K2 indicated that it expects the transaction to be accretive
to its earnings in the first 12 months following completion of the merger and
beyond.

         "Rawlings provides a premier platform for our entry into the $1.3
billion team sports equipment business and is America's leading baseball brand
in a $440 million segment," said Richard Heckmann, K2's chairman and chief
executive officer. "We believe a merged K2 and Rawlings will be able to take
advantage of obvious synergies with combined distribution, manufacturing,
marketing and administration across all of our products that will result in
improved growth dynamics for both companies. The newly combined company will be
the leader in baseball, fishing equipment, personal flotation devices, in-line
skates and skis in the U.S. market, and No. 2 in snowboards. Furthermore,
Rawlings has a strong management team that we welcome to the expanding K2
family."

         Heckmann added: "As we look to resources for future development, our
combined companies' strong balance sheet presents attractive financing options.
In addition, K2's recently announced $25 million convertible debenture
transaction and our senior credit facility will allow us to invest in the growth
of all of our brands."

         "This merger gives Rawlings and its shareholders multiple platforms for
future growth and success," said Stephen O'Hara, Rawlings' chairman and chief
executive officer. "K2 will be a powerful collection of brands, highly demanded
by consumers, fostering a greater partnership with retailers, and having
significantly increased manufacturing synergies."

         The merger is structured as a tax-free exchange of stock. Under terms
of the agreement, each share of Rawlings common stock will be converted into
0.950 of a share of K2 common



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stock, subject to a collar mechanism. If the average closing price of K2 common
stock for the 15-trading days ending two trading days prior to the closing date
(the "Average Closing Price") exceeds $10.53 per share, the exchange ratio will
be adjusted downward to an exchange ratio that will result in Rawlings
stockholders receiving a number of shares of K2 common stock (based on the
Average Closing Price of K2 common stock) having a value of $10 per share. If
the Average Closing Price of K2 common stock is less than $9.47 per share, the
exchange ratio will be adjusted upward to an exchange ratio that will result in
Rawlings stockholders receiving a number of shares of K2 common stock (based on
the Average Closing Price of K2 common stock) having a value of $9 per share.

         The merger agreement provides that, in the event that the average
closing price of K2 common stock over any 15 consecutive trading day period
ending two calendar days prior to the closing date is less than $8 per share,
then K2 can elect to terminate the merger agreement.

         At September 30, 2002, K2 had approximately 18.1 million shares of
common stock outstanding, and Rawlings had approximately 8.1 million shares
outstanding.

         Rawlings, a 120-year-old icon in sports equipment, reported sales of
$173.7 million for its fiscal year ended August 31, 2002, and earnings of $3.3
million, or $0.41 per share. Nearly a century ago, Rawlings introduced a
then-revolutionary baseball glove, and today more than half of Major League
players use a Rawlings' glove. Rawlings is the official baseball of Major League
Baseball, Minor League Baseball and the NCAA College World Series. The company
also manufactures, markets and supplies bats, uniforms, basketballs and other
sporting equipment for professional, collegiate and recreational use throughout
the U.S. as well as in many countries around the world.

         K2 Inc. is a leading designer, manufacturer and marketer of brand-name
sporting goods, recreational and industrial products. The company's sporting
goods and recreational products include well-known names such as K2 and Olin
alpine skis; K2, Ride and Morrow snowboards, boots and bindings; K2 inline
skates; Stearns sports equipment; Shakespeare fishing tackle; K2 bikes; and Dana
Design backpacks. K2's other recreational products include Planet Earth apparel,
Adio skateboard shoes and Hilton corporate casuals. K2's industrial products
include Shakespeare extruded monofilaments, marine antennas and composite light
poles.

         K2 intends to file a registration statement, including a K2 prospectus,
and other relevant documents concerning the merger with the U.S. Securities and
Exchange Commission. The registration statement will also include the joint
proxy statement of K2 and Rawlings soliciting the votes of their shareholders
with respect to the transaction.



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         K2 AND RAWLINGS URGE INVESTORS AND SHAREHOLDERS TO READ THE
REGISTRATION STATEMENT, INCLUDING THE PROSPECTUS AND THE JOINT PROXY STATEMENT
INCLUDED IN THE REGISTRATION STATEMENT, AND ANY OTHER RELEVANT DOCUMENTS TO BE
FILED WITH THE COMMISSION, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION.
Investors and shareholders will be able to obtain free copies of these documents
at the SEC's website at www.sec.gov. and upon oral or written request to John
Rangel at K2 Inc., telephone number (323) 890-5830 or at jrangel@k2inc.net.

         SHAREHOLDERS OF RAWLINGS SPORTING GOODS COMPANY, INC. SHOULD READ THE
RAWLINGS PROXY STATEMENT AND THE K2 PROSPECTUS TO BE INCLUDED IN THE
REGISTRATION STATEMENT CAREFULLY BEFORE MAKING A DECISION CONCERNING THE MERGER

         This press release contains forward-looking statements that involve
risks and uncertainties such as anticipated benefits and expected consequences
of the proposed transaction. It is important to note that actual results could
differ materially from those expressed in such forward-looking statements.
Factors that could cause or contribute to such difference include but are not
limited to, a general economic slowdown, lower retail sale rates for Rawlings'
products, changes in Rawlings' financial position, a dramatic increase in the
price of certain raw materials such as leather and changes in the competitive
environment. Other risks and uncertainties are detailed from time to time in
Rawlings' securities filings with the Securities and Exchange Commission,
including Rawlings' report on Form 10-K filed for the year ended August 31,
2002. Any forward-looking statements speak only as of the date hereof and
Rawlings disclaims any intent or obligation to update such statements.

         This news release includes forward-looking statements. K2 cautions that
these statements are qualified by important factors that could cause actual
results to differ materially from those in the forward-looking statements,
including but not limited to the companies' ability to complete the merger and
successfully integrate the two companies, global economic conditions, product
demand, financial market performance, and other risks described in the company's
annual report on Form 10-K as filed with the Securities and Exchange Commission.

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