NIKE, Inc., based in Beaverton, Oregon, is the world's leading designer and marketer of authentic athletic footwear, apparel, equipment and accessories for a wide variety of sports and fitness activities. Wholly owned Nike subsidiaries include Bauer NIKE Hockey Inc., the world's leading manufacturer of hockey equipment; Cole Haan®, which markets a line of high-quality men's and women's footwear, accessories and outerwear; and Hurley International LLC, which markets action sports and teen lifestyle apparel. 

http://www.nikebiz.com

NIKE, Inc. Reports Fiscal 2010 Second Quarter Results 
Select Second Quarter Results: 
Revenue $4.4 billion; down 4 percent versus prior year 
Diluted EPS down 5 percent from prior year to $0.76 
Worldwide futures orders up 4 percent, down 1 percent excluding currency changes 
Inventories down 10 percent versus prior year 
BEAVERTON, Ore.--(BUSINESS WIRE)-- NIKE, Inc. (NYSE:NKE) today reported financial results for its fiscal 2010 second quarter ended November 30, 2009. Second quarter revenues decreased 4 percent, from $4.6 billion last year to $4.4 billion in the current year; changes in currency exchange rates had a minimal impact on reported revenue results. Second quarter net income declined 4 percent, from $391 million last year to $375 million in the current year; diluted earnings per share decreased 5 percent to $0.76. 
“Nike is at its best when we deliver superior innovative product, connect with consumers through premium experiences and operate with discipline and efficiency. Our second quarter results are another demonstration of our strategy at work,” said Mark Parker, NIKE, Inc. President and Chief Executive Officer. “Our laser-sharp focus across our portfolio of brands, businesses, categories and geographies gives us the flexibility we need in this economy to gain share, lead the industry, and leverage the power of global sports.”* 
Futures Orders 
The Company reported worldwide futures orders for Nike brand athletic footwear and apparel, scheduled for delivery from December 2009 through April 2010, totaling $7.0 billion, 4 percent higher than orders reported for the same period last year. Excluding currency changes, reported orders would have decreased 1 percent.* 
By geography, futures orders were as follows: 
Geography     Reported Futures Orders     Excluding Currency Changes 
North America     -4%     -4% 
Western Europe     +12%     0% 
Central and Eastern Europe     -15%     -20% 
Greater China     +4%     +4% 
Japan     -10%     -9% 
Emerging Markets     +38%     +27% 
Geography Highlights 
North America 
During the second quarter, revenues in North America decreased 4 percent to $1.5 billion. Footwear revenues declined 4 percent to $981 million, apparel revenues decreased 6 percent to $441 million and equipment revenues were up 1 percent to $74 million. Earnings before interest and taxes (commonly referred to as “EBIT”) for North America increased 9 percent to $291 million due to lower selling and administrative expenses and improved gross margins. 
Western Europe 
Second quarter revenue for Western Europe was down 6 percent to $902 million. Footwear revenue was flat compared to last year at $515 million, apparel revenue was down 15 percent to $323 million and equipment revenue declined 11 percent to $63 million. Second quarter EBIT decreased 5 percent to $175 million as the impact of lower revenue was partially offset by a reduction in selling and administrative expenses. 
Central and Eastern Europe 
In the second quarter, revenue for Central and Eastern Europe declined 24 percent to $260 million. Footwear revenue decreased 18 percent to $144 million, apparel revenue was down 30 percent to $99 million and equipment revenue declined 32 percent to $17 million. EBIT decreased 36 percent in the second quarter to $64 million due to lower revenue and gross margins, partially offset by reductions in sales and administrative expenses. 
Greater China 
Revenue for Greater China during the second quarter was down 3 percent to $404 million. Footwear revenue was down 1 percent to $210 million, apparel revenue declined 7 percent to $170 million, and equipment revenue decreased 2 percent to $25 million. Second quarter EBIT decreased 7 percent to $126 million as lower revenues and higher selling and administrative expenses offset improved gross margins. 
Japan
Japan second quarter revenues declined 2 percent to $222 million. Footwear revenue was up 6 percent to $104 million, apparel revenue dropped 10 percent to $98 million and equipment revenue was flat compared to the prior year at $21 million. EBIT decreased 19 percent in the second quarter to $45 million mainly due to lower revenues and higher selling and administrative expenses that offset better gross margins. 
Emerging Markets 
In the Emerging Markets revenue was up 8 percent to $555 million for the second quarter compared to $512 million last year. Footwear revenue increased 12 percent to $370 million, apparel revenue rose 7 percent to $143 million and equipment revenue decreased 13 percent to $41 million. Second quarter EBIT for the Emerging Markets rose 29 percent to $156 million as a result of revenue growth, gross margin improvement and better leverage of selling and administrative expenses. 
Other Businesses
For the second quarter, revenue for Other Businesses, which includes Cole Haan, Converse Inc., Hurley International LLC, NIKE Golf, and Umbro Ltd. increased 1 percent to $556 million. EBIT for the second quarter was up 65 percent at $35 million due to lower selling and administrative expenses which more than offset lower gross margin results.
Income Statement Review
In the second quarter of fiscal 2010 gross margins were 44.5 percent compared to 44.7 percent for the same period last year. Gross margins for the quarter were lower than the prior year primarily due to unfavorable year over year foreign exchange impacts and higher discounts related to inventory management efforts. 
 

NIKE, Inc. Increases Quarterly Dividend Eight Percent to $0.27 Per Share 
BEAVERTON, Ore.--(BUSINESS WIRE)--Nov. 19, 2009-- NIKE, Inc. (NYSE: NKE) announced today that its Board of Directors has declared a quarterly cash dividend of $0.27 per share on the Company’s outstanding Class A and Class B Common Stock. The $0.27 quarterly dividend, which is payable on January 4, 2010 to shareholders of record at the close of business on December 7, 2009, represents an eight percent increase over the previous quarterly rate of $0.25 per share. 
“We are pleased to increase our dividend for the eighth year in a row,” said Mark Parker, President and CEO of NIKE, Inc. “Over the last five years we have more than doubled our annual dividend and paid out over $1.8 billion to shareholders – reflecting our commitment to delivering value to shareholders and our on-going confidence in the business.” 
 

Nike Names Michaela Stitz as Vice President of Central and Eastern Europe 
BEAVERTON, Ore.--(BUSINESS WIRE)--Oct. 7, 2009-- NIKE, Inc. (NYSE:NKE) today announced that Michaela (Michi) Stitz has been named as Vice President of Central and Eastern Europe (CEE). Stitz will be responsible for driving continued market leadership and growth for the CEE geography, replacing Marc van Pappelendam, who was recently named as VP of the UK/Ireland territory. 
“Michaela is an experienced and highly successful Nike leader with diverse commercial and management skills, said Gary DeStefano, President of Global Operations for NIKE, Inc. “She has the passion to drive the CEE business strategy with the necessary focus and direction, to achieve our aggressive growth goals for the geography despite current regional challenges.” 

NIKE, Inc. Reports Fiscal 2010 First Quarter Results 
BEAVERTON, Ore.--(BUSINESS WIRE)-- NIKE, Inc. (NYSE:NKE): 
Select First Quarter Results: 
Revenue $4.8 billion; down 12 percent versus prior year or down 7 percent excluding currency changes 
Diluted EPS up 1 percent from prior year to $1.04 
Worldwide futures orders down 6 percent, down 4 percent excluding currency changes 
Inventories down 7 percent versus prior year 
NIKE, Inc. (NYSE:NKE) today reported financial results for its fiscal 2010 first quarter ended August 31, 2009. First quarter revenues decreased 12 percent to $4.8 billion, compared to $5.4 billion for the same period last year. Excluding changes in currency exchange rates, net revenue was down 7 percent compared to the same period last year. First quarter net income was flat compared to the prior year at $513 million and diluted earnings per share increased 1 percent to $1.04. 
“We delivered a good start to the fiscal year,” said Mark Parker, NIKE, Inc. President and Chief Executive Officer. “These results illustrate that the emotion of sports, combined with innovative product, strong brands and premium retail experiences can make powerful connections to consumers even in challenging times.” 
Parker concluded, “Leveraging these powerful consumer connections with a laser focus on operational excellence will enable Nike to deliver consistent long-term profitable growth. We’re on the right track, moving forward with confidence in hand and opportunity in mind.”* 
Futures Orders 
The Company reported worldwide futures orders for Nike brand athletic footwear and apparel, scheduled for delivery from September 2009 through January 2010, totaling $6.2 billion, 6 percent lower than orders reported for the same period last year. Excluding currency changes, reported orders would have declined 4 percent.* 
By geography, futures orders were as follows: 

Geography     Reported Futures Orders 
    Excluding Currency Changes 

North America     -4%     -4% 
Western Europe     -8%     -6% 
Central and Eastern Europe     -28%     -24% 
Greater China     -6%     -7% 
Japan     -3%     -5% 
Emerging Markets     +10%     +18% 

Geography Highlights 
North America 
During the first quarter, revenues in North America decreased 5 percent to $1.8 billion. Footwear revenues declined 4 percent to $1.2 billion, apparel revenues decreased 9 percent to $444 million and equipment revenues were down 5 percent to $98 million. Excluding changes in currency, revenues for North America declined 5 percent with footwear down 3 percent, apparel decreasing 8 percent and equipment dropping 5 percent. North America earnings before interest and taxes (commonly referred to as “EBIT”) increased 10 percent to $411 million due to lower selling and administrative expenses and improved gross margins. 
Western Europe 
First quarter revenue for Western Europe was down 18 percent to $1.1 billion. Footwear revenue decreased 15 percent to $635 million, apparel revenue was down 21 percent to $393 million and equipment revenue declined 26 percent to $77 million. Revenue for Western Europe, excluding currency changes, was down 8 percent with footwear declining 5 percent, apparel dropping 11 percent and equipment decreasing 17 percent. First quarter EBIT decreased 11 percent to $289 million. 
Central and Eastern Europe 
In the first quarter, revenue for Central and Eastern Europe declined 33 percent to $286 million. Footwear revenue decreased 32 percent to $159 million, apparel revenue was down 37 percent to $97 million and equipment revenue declined 29 percent to $30 million. Excluding currency changes, revenue in Central and Eastern Europe was down 23 percent compared to the same period last year with footwear declining 21 percent, apparel dropping 28 percent and equipment down 16 percent. First quarter EBIT decreased 35 percent to $82 million. 
Greater China 
Revenue for Greater China during the first quarter was down 16 percent to $416 million compared to $496 million last year. Footwear revenue was down 17 percent to $218 million, apparel revenue declined 16 percent to $168 million, and equipment revenue decreased 16 percent to $29 million. Excluding currency changes, revenue for Greater China was down 17 percent from last year with footwear down 17 percent and both apparel and equipment declining 16 percent. First quarter EBIT increased 7 percent to $149 million mainly driven by lower demand creation spending. Last year’s first quarter demand creation spending was higher in support of the Olympic Games in Beijing. 
Japan 
Japan first quarter revenues were essentially flat compared to the prior year at $186 million. Footwear revenue was up 4 percent to $98 million, apparel revenue dropped 8 percent to $67 million and equipment revenue increased 5 percent to $22 million. Excluding currency changes, Japan first quarter revenues were 10 percent lower than last year with footwear down 6 percent, apparel down 17 percent and equipment dropping 5 percent. First quarter EBIT decreased 7 percent to $35 million. 

Emerging Markets 

In the Emerging Markets revenue decreased 8 percent to $422 million for the first quarter compared to $458 million last year. Footwear revenue was down 6 percent to $279 million, apparel revenue dropped 9 percent to $107 million and equipment revenue decreased 19 percent to $36 million. Excluding currency changes, revenue in the Emerging Markets increased 9 percent compared to last year with 11 percent growth in footwear, a 9 percent increase of in apparel and a 4 percent drop in equipment. Despite declining reported revenue, first quarter EBIT rose 39 percent to $101 million due to lower selling and administrative expenses. 
 

Nike Declares $0.25 Quarterly Dividend 
BEAVERTON, Ore.--(BUSINESS WIRE)--Aug. 10, 2009-- NIKE, Inc. (NYSE:NKE) announced today that its Board of Directors has declared a quarterly cash dividend of $0.25 per share on the company’s outstanding Class A and Class B Common Stock payable on October 1, 2009, to shareholders of record at the close of business on September 8, 2009. 

NIKE, Inc. Reports Fiscal 2009 Fourth Quarter and Full Year Results 
Select Results: Fourth quarter revenue down 7 percent to $4.7 billion, flat with the prior year excluding currency changes Fiscal 2009 revenue up 3 percent to $19.2 billion, up 4 percent excluding currency changes Fourth quarter diluted EPS of $0.70; excluding non-comparable items, diluted EPS up 5 percent to $0.99 Fiscal 2009 diluted EPS of $3.03; excluding non-comparable items, diluted EPS up 10 percent to $3.81 Worldwide futures orders down 12 percent, down 5 percent excluding currency changes Inventories down 3% versus prior year
BEAVERTON, Ore., Jun 24, 2009 (BUSINESS WIRE) -- NIKE, Inc. (NYSE:NKE) today reported financial results for the 2009 fiscal fourth quarter and full year ended May 31, 2009. Fourth quarter revenues decreased 7 percent to $4.7 billion, compared to $5.1 billion for the same period last year. Excluding changes in currency exchange rates, net revenue was essentially flat with the same period last year. For the full year, revenues grew 3 percent to $19.2 billion, compared to $18.6 billion last year. Excluding currency changes, net revenue was up 4 percent for the year. Fourth quarter net income decreased 30 percent to $341.4 million and diluted earnings per share decreased 29 percent to $0.70. Fiscal 2009 net income decreased 21 percent to $1.5 billion and diluted earnings per share decreased 19 percent to $3.03. 
Results Excluding Non-comparable Items 
Current and prior year results include a number of non-comparable items. In the fourth quarter of 2009, NIKE, Inc. realized a $195.0 million pre-tax restructuring charge associated with its previously announced corporate restructuring and cost reduction realignment. On an after-tax basis, the restructuring charge totaled $144.5 million, which decreased fourth quarter diluted earnings per share by $0.29. In the third quarter of 2009, the Company incurred a $240.7 million after-tax impairment charge related to its Umbro subsidiary. Fiscal 2008 results included $35.4 million in after-tax gains related to the sale of Bauer Hockey and the Starter Business, and a $105.4 million one-time tax benefit. 
Excluding current and prior year non-comparable items, fourth quarter net income increased 3 percent to $485.9 million, and diluted earnings per share increased 5 percent to $0.99. For the full-year, comparable net income increased 7 percent to $1.9 billion and diluted earnings per share increased 10 percent to $3.81. 
"Fiscal 2009 was a year that challenged companies to leverage core strengths and adapt quickly to a changing landscape. Our strong results demonstrate that we are meeting these challenges and seizing the opportunity to optimize our position as the industry leader," said Mark Parker, President and CEO of NIKE, Inc. "By focusing on what Nike does best - creating great product, telling great stories, and connecting with consumers - I believe that we will become a stronger, more profitable, and more valuable company for our shareholders. We've made some tough decisions over the past year, yet given our ability to increase our competitive separation through product innovation and brand relevance across our portfolio of businesses, I remain strongly optimistic about our long-term potential."* 
Futures Orders 
The Company reported worldwide futures orders for Nike brand athletic footwear and apparel, scheduled for delivery from June 2009 through November 2009, totaling $7.8 billion, 12 percent lower than orders reported for the same period last year. Excluding currency changes, reported orders would have declined 5 percent.* 
By region, futures orders for the U.S. were down 4 percent; EMEA (which includes Europe, the Middle East and Africa) declined 24 percent; Asia Pacific decreased 5 percent; and the Americas dropped 7 percent. Excluding currency changes, futures orders would have declined 11 percent in EMEA, decreased 3 percent in Asia Pacific and increased 15 percent in the Americas region. 

NIKE, Inc. Reports Fiscal Third Quarter 2009 Results 
Excluding non-cash impairment charge, diluted EPS up 8 percent to $0.99; including impairment charge NIKE, Inc. reports diluted EPS of $0.50 
Select Third Quarter Results: 
Revenue down 2 percent to $4.4 billion, up 2 percent excluding changes in currency 
Worldwide futures orders down 10 percent, down 2 percent excluding changes in currency 
Recorded $240.7 million after-tax non-cash charge – equivalent to $0.49 per share – to reflect impairment of Umbro’s goodwill, intangible and other assets
BEAVERTON, Ore.--(BUSINESS WIRE)-- NIKE, Inc. (NYSE:NKE) today announced financial results for its fiscal 2009 third quarter ended February 28, 2009. Revenue decreased 2 percent to $4.4 billion, compared to $4.5 billion for the same period last year. Excluding changes in currency exchange rates, revenue would have increased 2 percent. 
Third quarter net income was $243.8 million or $0.50 per diluted share, compared to $463.8 million or $0.92 per diluted share in the same period last year. Excluding a $240.7 million, after-tax non-cash charge related to the impairment of goodwill, intangible and other assets of the Company’s Umbro subsidiary, third quarter net income would have increased 4 percent to $484.5 million and diluted earnings per share would have increased 8 percent to $0.99. 

“Today’s results say a lot about the strength and diversity of Nike, Inc. In a challenging environment, we delivered excellent operating results by executing with both focus and flexibility,” said Mark Parker, President and CEO of Nike, Inc. “I feel very good about our performance and our potential. Going forward we’ll continue to stay close to the consumer, drive innovation into the marketplace, and operate with financial discipline by making the right decisions to restructure our organization for the future. The Nike, Inc. portfolio of brands is a diverse and competitive asset. We’ll continue to leverage all aspects of it to deliver consistent, long-term shareholder value.”* 
Futures Orders 
The Company reported worldwide futures orders for Nike brand athletic footwear and apparel, scheduled for delivery from March 2009 through July 2009, totaling $6.5 billion, 10 percent lower than such orders reported for the same period last year. Excluding the effect of changes in currency exchange rates, reported orders would have declined 2 percent.* 
By region, futures orders for the U.S. were down 1 percent; EMEA (which includes Europe, the Middle East and Africa) decreased 25 percent; Asia Pacific declined 1 percent and the Americas were down 4 percent. Excluding changes in currency exchange rates futures orders in EMEA would have declined 9 percent, increased 2 percent in Asia Pacific; and increased 22 percent in the Americas region. 
Non-Cash Impairment Charge 

In the third quarter the Company recorded a $401.3 million pre-tax non-cash impairment charge to reduce the carrying value of Umbro’s goodwill, intangible and other assets. On an after-tax basis, the charge totaled $240.7 million, which decreased diluted earnings per share by $0.49. 

The impairment charge is a result of both the deteriorating global consumer markets, particularly in the United Kingdom, Umbro’s primary market, and reflects management’s decision to adjust planned investment in the Brand. In addition, the deterioration of the financial markets has reduced both the present value of future cash flows and the market value of comparable businesses. While management continues to view Umbro as a compelling, complementary brand within the NIKE, Inc. portfolio, it was concluded the fair value of its Umbro investment has declined as forecasted profits and cash flows have fallen below amounts originally projected at the date of acquisition. 
Regional Highlights 
U.S. 
During the third quarter, U.S. revenues increased 3 percent to $1.6 billion compared to the same period last year. U.S. footwear revenues increased 8 percent to $1.2 billion. Apparel revenues decreased 9 percent to $370.4 million. Equipment revenues decreased 2 percent to $74.4 million. Pre-tax income increased 2 percent to $357.0 million. 
EMEA 
Third quarter revenues for the EMEA region decreased 14 percent to $1.2 billion compared to $1.4 billion for the same period last year. Excluding changes in currency exchange rates revenue would have decreased 4 percent. Footwear revenues decreased 12 percent to $693.8 million. Apparel revenues decreased 17 percent to $415.0 million and equipment revenues decreased 24 percent to $77.1 million. Pre-tax income decreased 18 percent to $276.9 million. 
Asia Pacific 
In the third quarter, revenues in the Asia Pacific region grew 8 percent to $806.9 million compared to $749.3 million a year ago. Changes in currency exchange rates increased revenue growth by 1 percentage point. Footwear revenues were up 10 percent to $451.1 million, apparel revenues increased 6 percent to $290 million and equipment revenues grew 1 percent to $65.8 million. Pre-tax income increased 11 percent to $213.7 million. 

Americas 

Revenues in the Americas region decreased 5 percent to $245.4 million from $257.2 million for the same quarter last year. Excluding changes in currency exchange rates, revenue would have increased 15 percent. Footwear revenues decreased 4 percent to $171.3 million, apparel revenues decreased 1 percent to $54.3 million and equipment revenues decreased 19 percent to $19.8 million. Pre-tax income was down 22 percent to $41.1 million mainly due to lower gross margins and higher demand creation spending. 

Other Businesses 

For the third quarter, revenue for the Other businesses, which include Cole Haan, Converse Inc., Hurley International LLC, NIKE Golf, and Umbro Ltd, increased 1 percent to $592.2 million compared to $587.4 million last year with the group posting a third quarter pre-tax loss of $344.1 million versus pretax income of $106.1 million for the same period last year. 
Due to changes in the Company’s affiliate brands portfolio and the inclusion of the impairment charge, current year amounts are not directly comparable to the prior year. In the third quarter of fiscal 2008 the Company’s Other business segment included Converse Inc., NIKE Golf, Cole Haan, Hurley International LLC, NIKE Bauer Hockey, and the Starter Brand. Following a corporate strategic review the Starter Brand and NIKE Bauer Hockey were sold in the third and fourth quarter of fiscal 2008, respectively, while Umbro was acquired in the fourth quarter of fiscal 2008. For the continuing Other businesses (Converse Inc., NIKE Golf, Cole Haan and Hurley International LLC) third quarter revenues grew 5 percent while pretax income declined 21 percent. Pretax income was less than the prior year, mainly due to lower profits at Cole Haan and NIKE Golf, reflecting difficult conditions in these market sectors. 
Income Statement Review 
Third quarter gross margins were 43.9 percent compared to 45.1 percent for the same period last year. Gross margins were lower than the prior year due to higher product input costs and product markdowns taken to reduce excess inventories. 
Selling and administrative expenses were 30.4 percent of third quarter revenue compared to 30.9 percent for the same period last year. Selling and administrative expenses for the period were lower than last year reflecting management actions to reduce expenses. 
The effective tax rate for the third quarter was -3.6 percent compared to 30.6 percent for the same period last year. The tax rate was lower than the prior year due to the impact of the impairment of Umbro’s goodwill, intangible and other assets, a lower on-going tax rate on operations outside of the United States, and resolution of audit items. Excluding the impact of the impairment charge, the third quarter tax rate would have been 23.9 percent. 
Balance Sheet Review 
At quarter end, global inventories stood at $2.5 billion, an increase of 3 percent from February 29, 2008. Cash and short-term investments were $2.6 billion at the end of the quarter, compared to $2.9 billion at the end of the third quarter last year. 
Expected Corporate Restructuring Charge 
On February 10, 2009, the Company announced the next stage of its category business model execution which includes a restructuring of the organization around key growth opportunities. This realignment is intended to drive greater efficiencies throughout the organization and may result in an overall reduction of up to four percent of the company's workforce. NIKE, Inc. employs nearly 35,000 people worldwide.* 
As part of this effort, the Company intends to streamline its management structure and eliminate operational redundancies to enhance consumer focus, drive innovation more quickly to market, and establish a more scalable cost structure. As a result of these actions, the Company expects to incur pre-tax restructuring charges of between $175 million and $225 million related to a review of its entire supply chain from its sourcing base to its retail footprint. The Company expects to incur most of these charges in the fourth quarter of fiscal 2009. Once fully implemented, the Company expects annualized savings of a comparable pre-tax amount which it expects to invest back into key strategic growth priorities.* 
Share Repurchase Program 
During the third quarter, the Company did not repurchase shares in conjunction with its four-year, $3 billion share repurchase program approved by the Board of Directors in June 2006. As of the end of the third quarter the Company had repurchased a total of 49.2 million shares for approximately $2.7 billion under this program. 
Conference Call 
NIKE management will host a conference call beginning at approximately 2:00 p.m. PT on March 18, 2009, to review the results. The conference call will be broadcast live over the Internet and can be accessed at www.nikebiz.com/investors. For those unable to listen to the live broadcast, an archived version will be available at the same location through midnight, March 25, 2009. 

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