Nautilus Elects Board Member with Mass Retail Experience

VANCOUVER, Wash., Aug 24, 2004 (BUSINESS WIRE) -- The Nautilus Group, Inc. (NYSE:NLS), a leading marketer, developer, and manufacturer of branded health and fitness products, today announced that mass retail marketing and operations veteran Donald Keeble has been elected to its Board of Directors.

"We're excited to have Mr. Keeble join The Nautilus Group Board of Directors," said Gregg Hammann, Chairman and Chief Executive Officer. "His strong background in operational and retail management will be helpful as we broaden our retail presence and introduce additional product lines."

"The Nautilus Group has a talented Board of Directors and a strong management team," said Mr. Keeble, who was with Kmart Corporation for 29 years, including two as its President of Store Operations. "Given its premium brands, healthy innovation pipeline, and new multi-channel approach to marketing, the company appears poised for substantial long-term growth."

During his tenure at Kmart, Mr. Keeble successfully led the retail industry's largest modernization initiative, involving 2,100 stores, and guided the company's largest-ever sales, general, and administrative expense reduction program. Since his retirement from Kmart Corporation in 2000, Mr. Keeble has served as President of AKK Consulting, which provides management and organizational consulting to a broad range of businesses. He also is Executive Vice President and Chief Operating Officer of Spirit Entities, a contractor for water purification systems for export.

Mr. Keeble has completed executive programs in business management and retailing with Harvard Business School, University of Michigan, and Babson College, and has an undergraduate degree in Business Administration from Columbus State University, Columbus, Ga.

About The Nautilus Group

The Nautilus Group, Inc. is a leading marketer, developer, and manufacturer of branded health and fitness products sold under such well-known names as Nautilus, Bowflex, Schwinn, and StairMaster. The Company currently markets its Bowflex and TreadClimber home fitness equipment and Nautilus Sleep Systems through its direct-marketing channel, using an effective combination of television commercials, infomercials, response mailings, the Internet, and inbound/outbound call centers. The Company sells its Nautilus, Schwinn, and StairMaster commercial fitness equipment through its sales force and selected dealers to health clubs, government agencies, hotels, corporate fitness centers, colleges, universities, and assisted living facilities. The Nautilus Group also markets and sells a complete line of consumer fitness equipment, under its Nautilus, Schwinn, Bowflex, StairMaster, and Trimline brands, through a network of specialty dealers, distributors, and retailers worldwide. The Company is headquartered in Vancouver. The Nautilus Group is located on the Web at www.nautilusgroup.com.

This press release includes forward-looking statements. Factors that could cause The Nautilus Group's actual results to differ materially from these forward-looking statements include availability of media time and fluctuating advertising rates; decline in consumer spending due to unfavorable economic conditions; expiration of important patents; its ability to effectively develop, market, and sell future products; its ability to effectively identify and negotiate any future strategic acquisitions; its ability to protect its intellectual property; and unpredictable events and circumstances relating to international operations, including its use of foreign manufacturers, government regulatory action, and general economic conditions. Please refer to our reports and filings with the Securities and Exchange Commission, including our most recent annual report on Form 10-K and quarterly reports on Form 10-Q, for a further discussion of these risks and uncertainties. We also caution you not to place undue reliance on forward-looking statements, which speak only as of the date they are made. We undertake no obligation to update publicly any forward-looking statements to reflect new information, events, or circumstances after the date they were made or to reflect the occurrence of unanticipated events.

SOURCE: The Nautilus Group, Inc.

The Nautilus Group, Inc.
Rod Rice, 360-694-7722
or
Investor Relations Inquiries:
Integrated Corporate Relations, Inc.
John Mills, 310-395-2215
203-222-9013

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