Boyne USA and Bavarian Village Join Forces

April 28 , 2001

Boyne Falls, MI - Boyne USA Resorts and Bavarian Village International Ski and Golf announced today that they have merged retail operations. The announcement was made jointly by Stephen Kircher, Corporate General Manager of Boyne USA and James Held, C.E.O. of Bavarian Village. Terms of the agreement were not disclosed.

Current Bavarian Village locations will be converted to Boyne Country Sports, with Bavarian Village remaining as the Ski and Snowboard specialty departments within the new stores. The stores will undergo extensive remodeling, including signage, lighting and fixtures. The stores will be modeled after the current Boyne Country Sports location in Petoskey, MI, though each location will retain its own unique personality.

The conversion of the eight Bavarian Village stores into Boyne Country Sports brings the number of Boyne-owned retail units to 28, including ski area shops, golf pro shops and retail shops at the Inn at Bay Harbor, the Bay Harbor Golf Club and their other resort facilities.

"This idea simply made a lot of sense for Boyne, Bavarian and our customers" said Kircher. "Boyne has been the ski and golf resort leader in Michigan for more than 50 years and Bavarian Village has been the state's predominant specialty retailer for these sports. Bringing these two companies together means skiers, snowboarders and golfers will now have more opportunities at a better value to enjoy the lifestyle our companies represent."

The two companies share a common history and heritage. Both were founded at a time when skiing was popular only in Europe. Avid skiers, Boyne founder Everett Kircher and Bavarian Village founder John Held envisioned that skiing could be a popular sport in the United States as well. With Northern Michigan already a popular summer retreat, Kircher felt the addition of skiing could make it a year-round destination. He purchased a used chairlift from Sun Valley, Idaho and founded Boyne Mountain in 1947. John Held saw a need for a specialty ski shop in Metro Detroit and started Bavarian Village in 1958.

Though considered a radical idea at the time, their respective ventures paid off. Boyne USA is now one of the largest privately held resort companies in the country, operating areas in Michigan, Utah, Montana and Washington. With eight locations, Bavarian Village is the Midwest's largest ski and snowboard specialty retailer.

"We're tremendously excited about this strategic alliance," said Richard Held, President of Bavarian Village. "Boyne and Bavarian Village were both founded with the same idea - that skiers and golfers are passionate about their sports, and we share that passion. This new venture is really about the people. Boyne and Bavarian Village employees care
deeply about skiing and golfing. They embrace an active lifestyle and that passion shows in our dealings with fellow skiers and golfers. We've always known that Boyne's
customers are Bavarian Village customers, and vice-versa. We can now service those people wherever they are and do it better than ever before. It's a perfect marriage."

Customers visiting the store will eventually be able to make room reservations, purchase advance lift tickets and reserve tee times at any of Boyne's eight championship golf courses. Additionally, American Express Travel desks will be located in the stores, fully staffed with travel agents specializing in ski and golf travel. Customers interested in purchasing property at Boyne will be able learn more about the up-north lifestyle through the retail stores.

"This is great news for the skier and golfer," said Bernie Friedrich, Chairman of Boyne Country Sports. "I've known (Bavarian Village founder) John Held for more than 20 years and have the utmost respect for him and what he has accomplished. We are excited to have Bavarian Village join the Boyne team."

"Beyond getting the best equipment at the best price, we can accommodate all of our customer's other needs," continued Held. "Everything we do compliments what Boyne offers. Our American Express Travel specialists can book the trips. Our Corporate Sales Division can fulfill the custom apparel and embroidery needs of groups visiting Boyne. When customers visit a Boyne property, we will now be there to answer any questions or take care of problems...on the spot."

"The addition of Bavarian Village to the Boyne family further illustrates the commitment to our customers, guests and the sports they love," said Kircher. "The development at Bay Harbor is considered one of the finest golf destinations in the country. Within the next year, we will break ground on the Mountain Grand Lodge and Spa at Boyne Mountain, a development destined to become the Midwest's finest. We want to be the best at what we do, from a resort perspective as well as retail."

"People throughout Michigan and the Midwest have an affinity for Northern Michigan", continued Kircher. "They love the relaxing atmosphere, natural beauty and great skiing and golfing the region has to offer. We want our customers to have that "up north" experience every time they come into one of our stores."
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