COLUMBIA SPORTSWEAR CO

We are involved in litigation and various legal matters arising in the normal course of business, including matters related to employment, retail, intellectual property, contractual agreements, and various regulatory compliance activities. Refer to Note 9 in Part I, Item 1 of this Quarterly Report on Form 10-Q for additional information.

In December 2025, we filed a lawsuit in the CIT challenging the legality of incremental tariffs and seeking a refund of incremental tariffs we paid. We filed a Consent Motion to Consolidate this case with related cases under AGS Company Automotive Solutions v. United States Customs and Border Protection et al. To facilitate the administration of new cases that continue to be filed challenging the imposition of incremental tariffs, the case was stayed pending the final outcome of V.O.S. Selections, Inc. v. United States (“V.O.S”). On February 20, 2026, the U.S. Supreme Court ruled that U.S. tariffs imposed under IEEPA were unconstitutional. Subsequently, the CIT ruled that the collected tariffs in question shall be refunded in accordance with the law. The CBP has issued an official notice and launched a special tariff refund program to facilitate such refunds. We have begun the process of requesting refunds for amounts paid for IEEPA tariffs. At the time the IEEPA tariffs were ruled unconstitutional, we had already paid approximately $80 million of IEEPA tariffs. As of March 31, 2026, approximately $55 of that amount has been realized through cost of sales, with the remainder in inventory. However, as of March 31, 2026, we did not recognize any tariff refunds in our unaudited condensed consolidated financial statements as we were unable to assert loss recovery is probable due to the uncertainty surrounding the tariff refund program. As of the date of this filing, we have not received any portion of the IEEPA tariff refunds which we requested.