Fila Holding S.p.A announced today that it has extended its license agreement in Japan with Kanebo Ltd for the production and distribution of footwear and apparel collections from January 2002 to December 2006.

Fila expects the renewal of this agreement to generate business under the Fila brand of approximately 100bn Yen (950m Euro) in the next five years, on which Fila will be paid royalties.

Mr. Scannavini, chief executive officer of Fila Holding S.p.A, said: "Fila's deep relationship with Kanebo Ltd dates back to 1986 bringing brilliant results to both companies.

"In the last two years, after some difficulties caused by the Japanese economic situation, Fila's business through Kanebo has significantly improved and further growth will come from the development of more European-inspired collections, which better reflect the Italian style and appeal of our brand, as well as new store openings throughout the country."