Casey Sheahan Named CEO and President of Patagonia

New position effective March 20, 2006

VENTURA, Calif. (March 22, 2006) – The Lost Arrow Corporation, parent of outdoor apparel company Patagonia, Inc., announced today that Casey Sheahan has been named its CEO and President, effective March 20, 2006. Sheahan, who had previously served as New Business Director at Patagonia, Inc., has also been added to the Lost Arrow Board of Directors.

“Casey is a perfect fit for us,” noted Patagonia owner and founder Yvon Chouinard. “He's a passionate athlete, he's worked in the outdoor industry for years and he's a committed environmental activist. Plus, I've got someone to go fishing with.” Lost Arrow Board of Directors member and former Patagonia CEO, Kris McDivitt-Tompkins confirmed, “I've been involved with Patagonia for 30-plus years, and Casey has truly shown to all of us that he understands the company's heart and soul.”

Sheahan came to Patagonia in January 2005 from his post as President of Kelty, Inc. He is aligned with several environmental organizations and served for many years as President of the Conservation Alliance, a nonprofit organization of outdoor businesses whose membership dues support grassroots citizen-action groups. In addition to his diverse management background, Sheahan brings a wealth of skills in the fields of sales, marketing and publishing. Sheahan previously served as Vice President of Marketing for Merrell Footwear, Category Marketing Manager at Nike ACG, and Editor/Publisher of POWDER Magazine.

“It's a once-in-a-lifetime opportunity to work for a business like Patagonia - a privately held company making outstanding product with an environmental focus in every action it takes. That's not something that exists anywhere else. I've enjoyed getting to know everyone in this first six months as interim CEO, and I am honored to continue working with such a committed group of individuals,” said Sheahan. “In the coming year we will see an even more focused rededication to our mission and values as we continue to serve the needs of the specialty outdoor consumer - in our stores, in our direct channels, and in the hundreds of specialty retailers that support us.”

Patagonia is noted internationally for its commitment to product quality and environmental activism. Its Environmental Grants Program has contributed over $22M to grassroots environmental activists since the program began in 1985. Incorporating environmental responsibility into product development, the company has, since 1996, used only organically grown cotton in its clothing line, and is noted world-wide for using recycled soda bottles in many of its polyester fleece garments. In 2005, the company launched its Common Threads Recycling Program, recycling worn-out Patagonia garments into new products. Known for a unique corporate culture, the company has been recognized for many years by Working Mother magazine as one of the “100 Best Companies for Working Mothers,” and is a regular recipient of recognition by Fortune and Human Resources Management magazine as one of the “100 Best Companies to Work for in America. ”

Contact: Coley Malloy, (805) 667-4878,