Institutional Investor Conference

Transcription

Institutional Investor Conference
Tuesday, September 23, 2008
Kansas City, MO
FORWARD LOOKING STATEMENTS AND USE OF NON-GAAP METRICS
This presentation contains forward-looking statements relating to such matters as
anticipated financial performance, business prospects, and similar matters. Statements
including the words “expected,” “should,” “anticipates,” “intends,” “plans,” “believes,” or
variations of such words and similar expressions are forward-looking statements. The
Company notes that a variety of factors could cause its actual results and experience to
differ materially from the anticipated results or expectations expressed in the forwardlooking statements. The risks and uncertainties that may affect the operations,
performance, development and results of Collective Brands’ business include, but are
not limited to, the following: outcomes of litigation; the inability to renew material leases,
licenses, or contracts upon their expiration; changes in consumer spending patterns;
changes in consumer preferences and overall economic conditions; the impact of
competition and pricing; changes in weather patterns; the financial condition of suppliers;
changes in existing or potential duties, tariffs or quotas and the application thereof;
changes in relationships between the United States and foreign countries as well as
between foreign countries; changes in relationships between Canada and foreign
countries; economic and political instability in foreign countries, or restrictive actions by
the governments of foreign countries in which suppliers and manufacturers from whom
the Company sources are located or in which the Company operates stores or otherwise
does business; changes in trade, intellectual property, customs and/or tax laws;
fluctuations in currency exchange rates; litigation including intellectual property and
employment litigation; availability of suitable store locations on acceptable terms; the
ability to terminate leases on acceptable terms; the ability to hire, train and retain
associates; performance of other parties in strategic alliances; general economic,
business and social conditions in the countries from which Collective Brands sources
products, supplies or has or intends to open stores; performance of partners in joint
ventures; the ability to comply with local laws in foreign countries; threats or acts of
terrorism or war; strikes, work stoppages and/or slowdowns by unions that play a
significant role in the manufacture, distribution or sale of product; congestion at major
ocean ports; changes in commodity prices such as oil; and changes in the value of the
dollar relative to the Chinese Yuan and other currencies. See also “Risk Factors” in the
Company'
s Form 10-K for the year ended February 2, 2008 and Form 10-Qs.
Collective Brands does not undertake any obligation to release publicly any revisions or
updates to forward-looking statements to reflect events or circumstances after the date
of this presentation or to reflect the occurrence of unanticipated events or changes in
assumptions.
The presentations will contain non-GAAP financial measures. The financial measures
are non-GAAP because they exclude litigation items and inventory step-up purchase
accounting. Management believes that these non-GAAP measures will help readers to
better understand underlying performance trends in Collective Brands’ business. For a
reconciliation of these measures to their nearest GAAP measure, please visit
collectivebrands.com and click on the “investor relations” and “presentations and
webcasts” links.
Matt Rubel
Chairman, Chief Executive Officer & President
Collective Brands
Vision
To create the preeminent, consumer-centric, global footwear, accessories
and lifestyle brand company
Reaching customers through multiple price points with distinctive brands
Through retail, wholesale, franchising, licensing and e-commerce selling channels
2
1
Collective Brands
Sales Composition
Based on trailing four quarter sales
Wholesale
17%
Retail
83%
Stride Rite
Retail 7%
Payless
Domestic
77%
Stride Rite
International
19%
Payless
International
16%
$3.5 billion – Total
$2.9 billion – Retail
Stride Rite
Domestic
81%
$0.6 billion – Wholesale
$557 million of international sales
$313 million of adjusted EBITDA
Note: Adjusted EBITDA excludes impact from
litigation items and inventory step-up. Reconciliation
available at collectivebrands.com.
3
Collective Brands
Four Strategic Themes
STRATEGIC THEMES
Consumer Connections
Powerful Brands
Operational Excellence
Dynamic Growth
FINANCIAL GOALS
Generate low-single-digit
comp store sales growth
Grow EBIT by mid-teens
over time
Generate double-digit
ROIC rate
4
2
Strategic Pillars
Consumer Connections
Established through Retail, Wholesale and Licensing Channels
Meet our target consumers’ varied
desires for style, performance, quality
and value with innovation and creative
design
Leverage best-in-class consumer
insight to anticipate trends and
increase our relevance to consumers’
lifestyles
Create outstanding experiences
through each touch point with our
customers through hybrid business
model of retail, wholesale, licensing,
and e-commerce
5
Strategic Pillars
Consumer Connections – Kids
Approximately $1 billion in sales proforma* to kids
$1 Billion Kids Sales
in 2007*
Each price tier captured
– Best…Stride Rite Children’s Group,
wholesale and specialty stores
– Better…Stride Rite outlets
– Good …Payless
Approximately 20% market share of
$5.5 billion U.S. kids market at retail
Stride Rite
33%
Payless
67%
* Collective Brands did not own Stride Rite for all of 2007. Stride
Rite sales represent sum of retail and wholesale.
Source: NPD Consumer Panel
6
3
Strategic Pillars
Powerful Brands
Build diverse portfolio of brands and grow them through complementary businesses with
unique distribution
Democratizing fashion through over
4,500 retail stores
Brand management and global
licensing of youth, lifestyle and
high-quality fashion athletic
brands
High-quality branded, casual and
children’s footwear through wholesale
and retail channels
7
Strategic Pillars
Powerful Brands
Build diverse portfolio of leadership
brands that forge emotional
connections with target customers
Infuse our brands with unique
personalities that meet the lifestyle
and aspirational needs of customers
Effectively deliver messaging that
communicates brand essence back to
customers
8
4
Strategic Pillars
Operational Excellence
Develop capabilities to execute core
processes at best-in-class level:
customer insight, product creation,
branding, supply chain & logistics, talent
development
Leverage technologies to streamline and
enable new business processes
Consistently deliver effective and efficient
solutions to leverage our partners and
serve our customers
9
Strategic Pillars
Dynamic Growth - Fully extending reach of brand platforms across global markets
Based on trailing four quarter sales of
$3.5 billion
81 countries and territories in which Collective
Brands wholesales through Stride Rite
14 countries and territories in which Collective
Brands operates Payless stores:
International
16%
Domestic
84%
– USA, Canada, Costa Rica, Dominican
Republic, El Salvador, Guatemala,
Honduras, Nicaragua, Panama,
Trinidad/Tobago, Colombia, Ecuador,
Puerto Rico, U.S. Virgin Islands.
Payless franchising to come in the United Arab
Emirates, Saudi Arabia, Kuwait, Oman,
Bahrain, Qatar, Egypt, Jordan and Lebanon.
10
5
Strategic Pillars
Dynamic Growth - Expand brands into other relevant categories from traditional
base in footwear
Saucony – Expanding beyond running into
athletic, trail running
Sperry Top-Sider – Adding performance,
dress-casual, and casual
Stride Rite Children’s Group – Expanding
beyond infants to youth
Payless – Adding accessory categories
and enhanced displays
11
Strategic Pillars
Dynamic Growth – Build out relevant delivery channels: wholesale, retail,
licensing, e-commerce; grow portfolio of brands
12
6
Strong International Growth Opportunities Are
Being Realized
Collective Brands Sales Distribution
30%
25%
27%
International Sales
as % of Business Unit Total Sales
CAGR: 9% Payless, 13% Stride Rite
25%
20%
20%
20%
15%
14%
15%
10%
10%
5%
5%
0%
0%
0%
Premium
International
2005
2011
2006
2007
Payless
2008E
Stride Rite
Plans to grow international sales at four
times the rate of total sales growth
13
Collective Brands
Creating Competitive Advantage by Executing on Our Strategy
Hybrid business model
–
As global footwear and lifestyle brand company, Collective Brands is diverse as a result of its breadth of
brands, price points, and customer segments
–
Diversified business model should drive higher sales and profitability as well as ROIC growth
Well-recognized portfolio of brands
–
Portfolio includes: Airwalk, American Eagle, Champion, Keds, Saucony, Sims, Sperry Top-Sider, Stride
Rite, and proprietary designer programs
–
Supported by brand building capabilities and design expertise
Market place positioning
–
Industry leading market share in children’s footwear
–
Broad range of price points servicing mass market to higher-end consumers
–
Positioned to capitalize on key industry growth trends in branded, children’s, and casual footwear
Vertically-integrated, highly efficient supply chain
–
New distribution centers that improve speed-to-market, better serve stores, and reduce transportation
costs
–
Large scale provides relative cost advantages
–
Merchandise distribution systems and processes optimize working capital utilization
14
7
LuAnn Via
Chief Executive Officer – Payless ShoeSource
Payless ShoeSource Overview
Payless ShoeSource: a family footwear specialty retailer for over 50 years, building
an emotional connection with customers through a new fashion commitment, brand
messaging and enhanced store experience
Scale
Sales of $2.7 billion
10.3% market share (units)
4,552 stores
15 countries and territories
Broad Customer Base
Nearly 600 million customer visits annually
96% brand awareness
Strong customer frequency. Of women who were
aware of Payless:
– Over 40% visited us in past 12 months
– Nearly 30% bought from us in past 12 months
About 40% of customer household incomes >$50K
Payless Sales Composition (in $)
Men’s 16%
Children’s 25%
Women’s 52%
Accessories
7%
Standing
All data based on 2007 year-end.
Sources: Collective Brands, Lieberman Research Worldwide, and NPD.
2
Business Strategy
Vision
Democratize fashion and design in footwear and accessories
Mission
Become the first choice for style and value in footwear and
accessories for our target customers
on-trend
targeted
product
effective
brand
marketing
emotional
connection with
customers
Four Strategic
Themes
efficient
operations
great shopping
experience
3
Customer Focused
Business model starts with customer
Payless works to make emotional connection
with her
Continually take queues from customer
4
The Payless Target Audience: Expressive
Within these dimensions the segments from 2005 re-emerged and retained their character
However, the size of two segments have changed as a result of the current economic climate
Style Focused
Percent of
Women
2005
2008
32%
21%
Quality
Price
Percent of
Women
2005
2008
21%
21%
$11 billion
$13 billion
Fashion Focused
Value their appearance and want
shoes that show their fashionsavvy; willing to pay a premium
for signs of quality (brands,
durability, etc)
Expressive
27%
Price
Quality
Money Matters
Don’t think a lot about fashion and
style, but want shoes that will be
reliable and will work well for them
over the long run
Defined by their desire to spend as
little as possible on shoes; they
have relatively low interest in
shoes in and of themselves
$8 billion
27%
Want to express their personality
through shoes, but place greater
importance on having low prices
than high quality
Consistent Quality
Not Style Focused
Source: Insight Research, 2008
Percent of
Women
2005
2008
Percent of
Women
2005
2008
20%
31%
$11 billion
5
Primary Target: Expressive Woman
16-49 year old, vibrant woman
Approaches life with confidence and optimism
Enthusiasm is complimented by her practical and
down to earth nature
Knows a good style when she sees one, but doesn’t
have to be “trendy”
Wants to say something with fashion, and wants to feel free
to say it in her own way
About 20% more than the average woman
Typically purchases shoes every 2 – 3 months
Will pay an average of $41 for an athletic shoe; $31 for a
dress shoe
6
Primary Target: Expressive Mom
Young and optimistic
She prioritizes her kids and their clothes
because she believes that her children'
s
appearances are a reflection on her
A fan of fashion on her own, expressive mom wants to
dress her children in the latest trends that reflect her own
style sensibilities
Because she has kids, shopping needs to be made easy!
7% more than the average mom
She purchases shoes every 2 – 3 months
Will pay an average of $31 for an athletic shoe; $19 for a
dress shoe
7
Payless Customer
Who She Is
Target an expressive customer
And capture broader customer universe
Expressive
Customers
37%
Source: Lieberman Research Worldwide 2Q08
8
Payless Customer
Household Income Distribution
Payless has skewed a little more upper-income over last couple of years
Payless balancing its relevance across market segments
>$75K
$50K - $75K
$25K - $50K
< $25K
0%
10%
Q2 2006
20%
30%
Q2 2008
9
Payless Customer
Other Attributes
Among female footwear purchasers
About three-quarters age 18-44
55% married
33% have at least one child age 0-6
Nearly 40% primary target customers – expressive women
Nearly one-third Hispanic or African-American
Sources: Lieberman Research Worldwide 2Q08; Company POS data
10
Payless Customer
Base Reflects Population Trend
Payless stores in virtually every
neighborhood in America
Loyal following Hispanic groups
– 21% of Hispanic women buy at Payless
August 14, 2008
In a Generation, Minorities May Be the
U.S. Majority
By SAM ROBERTS
more often than any other footwear retailer
– 44% of Hispanic women have bought at
Payless in last 12 months
Associate base reflects customer base
Poised to meet diverse needs of customer
base even more with refined store
segmentation to come Spring 2009
Ethnic and racial minorities will comprise a majority
of the nation’s population in a little more than a
generation, according to new census bureau
projections, a transformation that is occurring faster
than anticipated just a few years ago.
The census calculates that by 2042, Americans who
identify themselves as Hispanic, black, Asian,
American Indian, Native Hawaiian and Pacific
Islander will together outnumber non-Hispanic
whites. Four years ago, officials had projected the
shift would come in 2050.
The main reason for the accelerating change is
significantly higher birthrates among immigrants.
Another factor …
Sources: Insight Research, 2008; Lieberman Research
Worldwide 2Q08; Company reports 2008.
11
Payless Customer
Today’s Economic Climate
Compared to last year:
Visiting Payless less often due to high gas prices
Consumers consolidating shopping trips
Spending less on footwear in general
Tending to buy more often when in our stores
Willing to pay more at Payless for footwear that is on-trend and has a brand
of value
Maintaining number of units they purchase at Payless
More women likely to visit Payless in the next 12 months for footwear
than 14 other measured retailers
Sources: Lieberman Research Worldwide 2Q08; Company reports
12
Footwear Market Trends:
CAGR 2005-2007 = 2%
Select excerpts of segment growth rates:
By Gender
Segment
By Age Group
CAGR (05-07)
Segment
By Price Point ($/pair)
CAGR (05-07)
Segment
<$30/pair
1.5%
32%
$30-$60 pr
-0.1%
37%
$60-$90 pr
0.1%
18%
Kids
3.6%
0-2 yrs
9.4%
Women
2.2%
7-12 yrs
3.5%
13-17 yrs
3.1%
55 yrs +
2.9%
CAGR (05-07)
% Total
13
Footwear Market
Gender Trends
Sales CAGR (2005-2007)
2007 Sales
Avg = 1.9%
Men's
$16.4 bil
Women's
$21.6 bil
Kids
$5.5 bil
0%
1%
2%
3%
4%
14
On-trend Targeted Product
Build emotional connection with customers through on-trend targeted product
Original design with trend elements that are timely, distinctive and relevant
on-trend
targeted
product
effective
brand
marketing
emotional
connection
with
customers
efficient
operations
great
shopping
experience
15
Merchandising Approach
Ensure Payless playing in “white space” – the position in market whereby
Payless is as on-trend as better department stores but at price point
between discount mass merchants and mid-tier department stores
Use matrix assortment planning to segment and cover customers based
on their particular buying behaviors
–
Customer type – traditional, updated, fashion, junior
–
Brands versus house labels
–
Price – good, better, best
–
Size
16
Serving Different Customers
Traditional
Updated
Junior
Fashion
17
Price Tiers for Most Classifications
Good: $15.99
Better: $17.99
Best: $21.99
18
Size and Cluster
Plays big factor in customer conversion and aged inventory
Sizes flow to individual stores based upon customer demand
Recent changes in how we flow inventory by size have proven successful in
reducing aged inventory and markdowns while increasing gross margin dollars
– Based on store volume
– Based on product lifecycle
– Based on margin productivity
19
Getting Right Product in Stores
Actions
Understand trend and team with NYbased design office
Balance utilization of direct resources
versus agents
80%
Gauge appetite for fashion and test
frequently
70%
Employ disciplined line review and
product creation calendar
65%
More customers tend to believe
Payless product is a great value
Scored better on value than 15
measured competitors
Value for price paid has become the
most important purchase driver
“Payless has
terrific shoes for
the price you pay”
60%
55%
50%
45%
40%
35%
2006 Not Available
Results
Female Footwear Purchasers
Responding Affirmatively
75%
“You consider
Payless to be an
expert on shoes
“Payless has a wide
selection of styles
for all your needs
2006
2007
2008
20
Right Product More Often; Customer Perceiving Product More Favorably
60%
Female Footwear Purchasers Responding Affirmatively
55%
50%
45%
“Payless almost always
has the styles you’re
looking for”
“Payless helps you
express your personal
sense of style”
40%
“Payless has unique
styles you can’t find
at other stores”
35%
30%
25%
20%
2006
2007
2008
21
Transition: Key to Effective Inventory Management
Focus on buy-now, wear-now
Rapid re-order: Hot idea turned around in 80 days
Product life-cycle management, ex:
– Sandal and boot zones with distinct start and stop times
22
Unique Footwear Programs
Direct-to-retail exclusives
– Disney – Hannah Montana
– Nickelodeon – iCarley
‘Green’ footwear Spring 2009
– Environmentally friendly construction branded
American Eagle
– New green collection with new brand name TBD
23
Accessory Growth
Legacy fixtures lacked capacity and consistency
New fixture began testing late 2007
Sales lift of nearly 20% versus control group
New fixtures rolled-out to 2,400 stores with opportunity for more
24
Effective Brand Marketing
Build emotional connections with customers through the strategic use and
marketing of brands
Proper use of brands affords Payless ability to capture higher average
unit retails and ultimately more gross margin dollars
on-trend
targeted
product
effective
brand
marketing
emotional
connection
with
customers
great
shopping
experience
efficient
operations
25
Brand Matrix: Customer Types and Footwear Categories
Sample excerpt (casual and dress only)
Women
Brands
Traditional
Updated
Fashion
Junior
Traditional/
Updated
Dexter
Dexter
Abaete
Amer. Eagle
Dexter
Lela Rose
Private
Brand
Labels
Men
Predictions
Predictions
Fashion
Amer.
Eagle
Airwalk
Fioni
Lower East
Side
Junior
Airwalk
Hunter’s
Bay
State
Street
26
Female Footwear Purchasers Responding Affirmatively
Brands Resonating More With Customers
As Payless has built its house of
70%
60%
“Payless is a store you feel
good telling people that you
got your shoes at”
50%
brands, it has improved perceptions
and built more trust with customers
“Payless has brands
you can trust”
Customers are also increasingly
reporting
40%
– They are proud to shop at Payless
30%
– Payless helps them express their
20%
personal sense of style
2Q06
2Q08
27
Higher Brand Penetration at Payless
60%
Percentage of Footwear Portfolio Branded
50%
40%
American Eagle footwear launch
30%
20%
10%
2Q08
1Q08
4Q07
3Q07
2Q07
1Q07
4Q06
3Q06
2Q06
1Q06
0%
28
Marketing Supports Strategy Under Consistent Financial Discipline
Drive traffic with targeted effective sales promotions
Build and leverage a portfolio of brands focused on distinct customer
lifestyles and taste levels
Deliver inspiring, clear brand and product messaging
Build deeper customer relationships and understanding
6%
Payless Marketing Spend
as % of Payless Sales
4%
2%
0%
2005
2006
2007
YTD
2008
29
Marketing Mix
Spend > $100 million. Over 5 billion
impressions delivered through:
– Broadcast media
– Print media
– Direct
– Other: In-store, on-line, promotion
Television
Fashion Print
PR delivered $40 million in impressions in
2007, about one-third from designer
programs
Financial return on free standing inserts
strong this year
– Improving on relative basis
Value Print
Free Standing Insert
– High absolute returns
30
Direct Marketing / Customer Relationship Management
Purposes
Generate sales through use of
–
Direct mail pieces
–
Voice messages
Emails and text messages
–
Garner customer intelligence
–
Who are our best shoppers?
–
Who came, who came back, who didn’t and why?
when will they come visit next?
–
How can we drive her back to Payless sooner and
more often?
–
What items are purchased together in a single
transaction?
Aid store development decisions
–
–
Direct Mail
Email
Learn trade area from which customers come
Use data to support transfer sales in store closure
and relocation decisions
Catalina Coupon
31
Other Marketing Initiatives
Payless possibilities Visa card
– Customers earn free shoes and discounts at
PSS for everyday purchases
– Allow us to further understand our customers
and meet their needs
Test and learn phase began May 2008 in
five markets, 300 stores
– Philadelphia, Atlanta, Milwaukee,
Sacramento, and Kansas City
– Test underperforming due largely to credit
conditions
E-Commerce
– Mid-2009 launch new platform to improve
shopping experience and leverage Payless
brands
– Leverage other assets of Collective Brands
32
Great Shopping Experience
Predicated upon friendly helpful service with passionate and skilled store
teams executing effectively
Associates trained in multi-step selling process known as Brighten
SMILES which drives those behaviors that lead to conversion and
customer satisfaction
on-trend
targeted
product
effective
brand
marketing
emotional
connection
with
customers
efficient
operations
great
shopping
experience
33
Associate Connections With Customers
80%
Payless Customer Satisfaction Scores*
80%
70%
70%
Female Footwear Purchasers
Responding Affirmatively
“Payless has sales
associates with customer
service attitude”
60%
60%
“Payless is a store you
really enjoy shopping for
shoes”
50%
40%
50%
30%
40%
1st Qtr
2nd Qtr
2006
3rd Qtr
2007
2008
4th Qtr
20%
2006
2007
2008
Sources: Lieberman Research Worldwide 2Q08 and Company
reports. CSATs collected from call-ins via register receipts.
34
Retail Operations Initiatives
Improving effectiveness and efficiency of hiring, developing, and retaining
E-recruiting to hire and cull applicant pool
SMILES book develops associates getting them to focus on what matters
District manager turnover reports to alert them of turnover causes
Technology tools such as advanced registers, in-aisle scanners, labor
scheduling, and customer relationship management reporting improve efficiency
and effectiveness
Improved associate task (e.g. getting shipments out) scores
More time spent with customers and better service
35
Process Improvements
Reducing payroll spend with no impact to customer service
Closing process shortened in most stores
Open hours rationalization
–
Certain stores open later or close earlier if little-to-no sales during those
windows
–
In several hundred stores
Allocation of more labor hours to most productive stores within markets
36
Efficient Operations
Global supply chain objective to create innovative and flexible solutions for
stores, products, services, channels and geography
Integrated across Collective Brands with select Payless-specific initiatives
on-trend
targeted
product
effective
brand
marketing
emotional
connection
with
customers
efficient
operations
great
shopping
experience
37
Efficient Operations
Direct (Vertical) Supply Chain Versus 3rd Party Agents
Advantages of agents
80%
70%
– Capacity
60%
– Additional ideas
50%
Advantages of direct
40%
30%
Percentage of Directly Sourced
Product (in $)
– More control over flow of product
– Can make more unique product
– Less expensive per unit than
20%
agent’s high-single-digit
percentage commission
10%
0%
1Q07
2Q07 3Q07
4Q07
1Q08
2Q08
Long-term goal to be about 75%
directly sourced
38
Payless International
Nearly One-Third of New Stores In Future Years Will Be International
350
300
Canada
52%
200
150
S. America
6%
100
2006
Based on 606 Stores
at end of 2Q08
2007
South
America
0
Central
America
15%
50
Puerto
Rico
Puerto Rico
Canada
Central America
27%
No. of Stores
250
2008E
39
Drivers of Success
Tailor merchandise to international customers
–
Latin America (LA) merchants use about 70%
of assortment from domestic merch team
250
–
About 30% of LA portfolio unique
200
Our international customers tend to value
American brands
150
Payless is aspirational and a great value
100
We market with understanding of holidays, pay
period cycles, and spending patterns
Payless service model is embraced
internationally
In millions of $
50
0
Sales
1st Half 06
Operating Profit
1st Half 07
1st Half 08
Assortment flows with consideration for
weather unique to each locale
40
Colombia Expansion
Opened market August 10, 2008
Early performance very strong
11 stores in fiscal 2008
29 more stores in fiscal 2009
Colombia likely to support 100 – 150 stores over time
41
Payless Summary
Utilize customer insight to create on-trend product for sizeable base of target
consumers
–
Payless targets consumers who define value by product quality – not just price
–
Growing belief among consumers that Payless is on-trend helps reduce aged
inventory
Growth of brands
–
Growing our mix which drives GM$
–
Customer response validating our strategy
Superior customer service
–
Store experience improving compared to previous years and stronger than several
other retailers*
–
Higher conversion driving financial results and particularly important in economic
downturn
International expansion
–
Domestic strengths applied internationally with some customization
–
Strong precedent of success
* According to Lieberman Research Worldwide 2Q08
42
John Smith
Division Senior Vice President – Store Development
Store Development
Focus of Presentation
Strategic
Imperative
• What opportunities exist to
improve the productivity of
the existing Payless
domestic chain?
• What is the most productive
use of incremental Payless
store development capital?
Overview of
Real Estate
Strategy
Store Count
• What is the domestic real
estate strategy?
• What’s the long range store
count for Payless?
• What are the strategic
objectives for international
store development?
• Will there be a significant
change in store count in
the near-term?
• What store development
organizational capabilities
are required to ensure the
most productive use of
capital?
2
1
Store Development
Strategic Imperative
Strategic
Imperative
Overview of
Real Estate
Strategy
Store Count
Strategic imperative
–
Focus on the customer
–
Build and align new capabilities
–
Exploit current market conditions
3
Store Development
The reality is the domestic Payless chain is mature, generates healthy cash flow, yet
is aging; incremental investments must be focused on driving above-average returns
Strategic Reality
Improve the productivity of existing
domestic real estate assets and the
marginal return on incremental
capital employed to store
development investments
– Large domestic footprint
– Mature domestic market
– High growth in Latin America
– International yielding greater returns
– Aging domestic store base
generating free cash flow
Strategic Response
Focus on the customer
– Leverage CRM data to identify and
locate near the best customers, i.e.
customer-centric real estate strategy
Build and align new capabilities
– Migrate to a “Center of Excellence”
service-oriented organization with
strategically critical skills to identify
value creating opportunities
Exploit current market conditions
– Rationalize occupancy cost of
existing stores and “lock-in” lower
costs for new stores
4
2
Store Development
Mission: Manage CBI retail store asset investments through the real estate lifecycle ensuring the
most productive use of capital, while enhancing our brands and supporting a great shopping experience
for our customers and work environment for our store teams.
Real Estate Lifecycle
Project
Management
Site
Identification
Site
Disposition
Customer
Negotiating
Site
Administration
Strategic Sourcing
Site
Evaluation/
Acquisition
Site
Development
Site
Maintenance
Market Planning
Process &
Analytics
Store Design/
Value Engineering
Core Competencies
5
Store Development
Overview Real Estate Strategy
Strategic
Imperative
Overview of
Real Estate
Strategy
Store Count
Four Strategic Themes:
Rationalize occupancy cost
–
align occupancy cost with business model
Focus on families
–
seek new growth opportunities with above average returns
Right-size the chain
–
rationalize store count & optimize the footprint
Refresh the stores
–
pace remodels to balance brand & economics
Successful execution will increase sales, cash flow and ROIC with the
reduction of domestic store count by approximately 50 doors annually
6
3
Store Development
Occupancy Cost Rationalization
Leverage capabilities to drive negotiating strategies based on situational leverage
High Transfer Opportunity (higher leverage)
Store
“Red” store’s customer-defined core trade area overlaps
heavily with “green” store’s trade core area, suggesting a
higher probability of transfer
Core
trade
area
Occupancy cost negotiations can take a more “hard-line”
approach with landlord of red store since store could be
closed for positive transfer if occupancy is too high relative to
sales, putting more pressure on landlord to lower occupancy
rate
Customers
(dots)
Low Transfer Opportunity (lower leverage)
In this scenario, core customer-defined trade areas do not
overlap at all, and customers seem to be congregated in
clearly separate areas
Occupancy cost negotiations, while requiring, present less of
an opportunity to get significant reductions, since closing the
store will likely not provide the same degree of transfer
opportunity
7
Store Development
Focus on Families
When Payless “focuses on the family”, as indicated by higher average
household size, stores generate higher sales and cash flow…
Domestic U.S. Store Performance by Household Size
(indexed to average store)
1.6
Stores with customer trade
areas with families perform
nearly 20% better in sales
& up to 40% higher in cash
flow than average store!
1.4
1.2
Index
1
Sales Index
0.8
Cash Flow Index
0.6
0.4
0.2
0
Very Large
Large
Average
Below Average
Household Size
8
4
Store Development
Focus on Families
…and the most attractive customer segments with higher than average
household size are segments we call Hispanic Families and Suburban Mom
Hispanic Families
–
The primary investment focus for new stores capital over the next 3-5 years will be in
areas with a high concentration of Hispanic population with high household size,
representing an estimated 150-200 incremental new store opportunities
Suburban Moms
–
The other investment focus will be in suburban trade areas with large families and high
population growth, representing an estimated 100 incremental new store opportunities
over the next 3-5 years
Other Opportunities
Limited opportunities that provide above average returns will be identified and
explored during the market planning process on a case-by-case basis:
–
–
–
–
–
Dense, urban African-American trade areas
Selective greenfield Investments
Existing targeted malls with favorable occupancy
Lifestyle centers with traditional mall anchors
Outlets (Payless or combined CBI concept)
9
Store Development
Right-size the chain
Market planning process and analytics will drive market level optimization of the Payless real
estate assets, i.e., recommending closings, openings and remodels over a 3 year horizon
Market plans will serve as a catalyst to drive market level performance by integrating all functions
around real estate asset productivity
Current State
Hypothetical Market Example
1
Currently has 4 stores
Market Optimization consists of using sales forecasting models to understand
how to optimize asset productivity in a market
–
Ideal network for market is still 4 stores, but current state is not optimal
–
Store #2 is underperforming as population declines and it is sharing sales
with Store#1 - close
–
Store #3 is in a good area, but lease expires in 2009 and a better center
closer to population exists in trade area - relocate
–
Store #4 is underperforming it’s potential and is old and degraded but in a
good center - remodel
–
Market opt suggests a new store (#5) needed in NW area market to better
serve customer (growing suburban area with large families)
2
4
3
Future State
2012
1
5
Work plan to get to future state for next 3 years
2009
2
Work with operations, marketing and merchandising to understand why certain
stores underperform and if they can be improved
2010
4
Existing store
Close
New Store
Remodel
store
Relocate
Store
2009
3
10
5
Store Development
Refresh the Stores
We’re committed to refreshing the Payless chain in a prudent way balancing brand and
shopping experience with capital investment
New remodel program based
on “Hot Zone” format
Early reads indicate mid-single
digit sales lift
Capital investment will be
defined by balancing pace and
intensity with available capital
11
Store Development
Store Count
Strategic
Imperative
Overview of
Real Estate
Strategy
Store Count
Long range store count
Next 5 years relatively flat
–
250 store decline in U.S.
–
200 store increase in Latin America
–
Net decline of about 50 Payless stores
12
6
Store Development
Long Range Store Count
Base store count will be relatively constant over next 5 years with a 250 store
decline in domestic offset by a 200 store increase in Latin America
One-third of new store capital budget will be allocated for international growth
Latin American stores will nearly double in 5 years as % of total Payless store count
13
7
Gregg Ribatt
President & Chief Executive Officer – The Stride Rite Group
Stride Rite Group
Today’s Objectives
Demonstrate the strength of the Stride Rite Group and its brand
portfolio
Illustrate the Stride Rite Group’s opportunities for growth
Show the progress that the Stride Rite Group has made in the past 12
months
2
1
Stride Rite Group Overview
Mission: To be the leader in building a diversified portfolio of fashionable,
premium lifestyle, and performance footwear brands for men, women, and
children across the globe
2007 Sales
Overview
15% SR
Children’s
Wholesale**
FY 2007 pro-forma* sales of $765 million, 87% domestic
28%
Stride Rite
Children’s Retail
Highly diversified distribution with no customer exceeding 3%
of sales
Building upon existing positions of leadership
–
Stride Rite: premier children’s footwear player in the U.S.
–
Sperry: the authentic, original boat shoe growing into a nautical
lifestyle brand
–
Saucony: the technical specialist in running
–
Keds: a global fashion, casual brand
Platforming existing positions into streams of high growth
–
–
Categories
Geographies
13%
Keds
9% Tommy
Hilfiger
16%
Sperry
Top-Sider
19%
Saucony
2007 Distribution
7%
4% All Other
Direct
7%
Sporting
Goods
7%
Off Price
30% Stride Rite
Group Stores &
eCommerce
7%
Athletic
Leveraging capabilities at both Stride Rite Group and CBI
across all brands and businesses
10%
Footwear
17%
Department
Stores
11%
Family
* Collective Brands did not own Stride Rite for all of 2007.
** All children’s footwear sold at wholesale for any brand is captured
in Stride Rite Children’s Wholesale.
3
Stride Rite Group
Positioned in Many of the Fastest Growing Footwear Segments
US Footwear Market Growth (CAGR 05 - 07) = 1.9%
By Gender
Segment
By Age
By
Age Group
Group
CAGR (05-07)
Segment
CAGR (05- 07)
Kids
3.6%
0-2 yrs
9.4%
Women
2.2%
7-12 yrs
3.5%
By Consumer
By
ConsumerIncome
Income(HH)
(HH)
Segment
>$75K // yr
yr
•>$75K
CAGR (05- 07)
3.4%
By Price
By
Price Point
Point($/pair)
($/pair)
Segment
>$30/pair
•>$30/pair
By Channel
By
Channel
Segment
2.1%
By Category
By
Category
CAGR (05- 07)
Direct
CAGR (05- 07)
10.4%
Segment
CAGR (05-07)
Low
Performance 8.2%
•LowPerformance
Apparel Specialty
6.5%
Sporting Goods
5.4%
Work
7.5%
Footwear Stores
4.3%
Casual
•Casual
3.9%
Segments with significant Stride Rite Group business
4
2
Stride Rite Children’s Group
5
Overview
Mission: Build the world’s premier group of children’s footwear brands
Annual sales over $330 million through retail and
wholesale with 4% U.S. market share in children’s
footwear
Portfolio of premium children’s brands
More than 350 company-owned stores
Multi-channel distribution in over 4,000 doors
Over 11 million pairs sold annually. Largest premium
retailer of children'
s non-athletic shoes
$360
$340
$334
2006
2007
$300
$280
$260
#1 premium brand of children’s non-athletic shoes; #1
brand for first walkers
$240
Sources: NPD, iParenting Media; 2007 A&U Study
$336
$320
Industry recognition for excellence in design, store
performance and consumer communication
#1 rated brand by mother’s in quality, fit, and trust
SRCG Sales (in mil of $)
6
3
Strategic Direction
Evolving
Historical
Single brand focus Stride Rite
House of brands
– Own: Stride Rite, Keds, Robeez, Saucony,
Sperry Top-Sider, Munchkin
Wholesale and retail (closer to equal mix)
– 2000 – 201 stores (46 leased)
– 53% of business was retail in 2000
– License: Jessica Simpson, Tommy Hilfiger
Wholesale and retail (mix shift into retail)
– 2008 – Over 350 stores (7 leased)
– 63% of business is retail in 2008
Retail through licensed dealers
Owned retail -- multiple formats
– Specialty – 241 doors
– Outlets – 106 doors
– Leased departments – 7 doors
– eCommerce
Ages 0-6
– Baby / toddler
Ages 0-10
– Baby / toddler; boys / girls
Domestic focus
– Limited international business
Global growth
– Proactively develop international by leveraging
Categories
– Single category focus
Categories
Robeez, Stride Rite Group, and Payless
infrastructure and relationships
Multiple categories & lifestyle focus – athletic, dress,
play, casual
7
Stride Rite Retail
Store Formats
Stride Rite
Concept Stores
Stride Rite
Outlets
Leased
Departments
Store Front
Store Interior
Number of Locations
241
106
Average Square Feet
Real Estate Type
1,284
Regional Mall
2,237
Outlet Center
7
1,367
Macy’s
8
4
Stride Rite Retail
Collections by Stride Rite
New Retail Store Format Prototype to Extend the Franchise
New, larger store (1,700 sq ft) designed to
appeal to boys and girls ages 7-10, in
addition to core customer (ages 0-6)
Expands addressable market (U.S.) 61%
– From $2.3B annually (ages 0-6) to $3.7B (ages
0-10)
Extends life of existing customer base in the
store
– Ages 7-10 represent 50% of store sales vs.
28% in average Stride Rite store: an 80%
increase
Offers environment specific to pre-tweens,
unlike anything in the market
One more test store to open in 2008
9
Continued Newness and Ideas to Drive Demand and Retain Customers
Longer in Life Stages
Jessica Simpson for tween in casual and
dress
Broader offering of Sperry Top-Sider,
Keds, Saucony for older children
Robeez expanding franchise beyond
booties into hard sole shoes
SuperBall and Slimers shoes for
excitement
among traditional age groups
Andy MacDonald and Anastasia Ashley for
Airwalk addresses older kids in hot skate
market
10
5
Retail Operational and Efficiency Initiatives Drive Increased Profitability
Sharing Best Practices from Payless Retail Operations
Operational
Excellence
Drive Store
Productivity
• Conversion
• Productivity
– Align staffing with
traffic
– UPT’s, AUR
• Store Visit Metrics
– Compliance
– Scorecards
Brand Marketing
Effectiveness
Merchandising
Efficiencies
Superior In-Store
Experience
New
Customers
Increase trips
Tenure
Productivity
AUR
Best in Class
Service Model
• Acquisition
– Increase frequency
and quantity of
Direct Mail
– Create age
segmented mailers
• Retention
– Elevate customer
shopping patterns
– Retain preferred
customers
• Assortment
Planning
• Store Design and Layout
• Size Optimization
• New Technologies and
Measures
– CSAT
• Cluster
Management
• KPIs
• Training
11
Summary of Opportunities (I)
Platforms for Growth
Expand retail stores
Strategic Rationale
Profitable expansion
opportunities
– replaces loss of
independents
Grow the core
wholesale business
Build off brand equity
and leadership position
in wholesale channel
Initiatives
Continue roll out of Stride
Rite stores
– Collections, outlets, other
concepts
Portfolio management
approach to running the
business
Continued innovation, e.g.
SuperBall, Slimers, next
generation baby technology
Increase share in
key age groups and
expand end uses
0-2 years: Highest
growth segment;
Robeez well positioned
6-10 years: Underpenetrated today;
Leverage existing
customer base and
increase lifetime value
Expand Robeez beyond
soft sole
Re-launch Stride Rite baby
Add to brand portfolio (e.g.,
Airwalk, Jessica Simpson)
Test larger store with
added brands and agespecific sections
12
6
Summary of Opportunities (II)
Strategic Rationale
Initiatives
Leverage existing Stride
Rite Group and
Collective Brands
platforms
Strategically grow the
business across the
globe
Pursue potential retail
opportunities in
Canada, Central
America, Europe
Robeez international
expansion
Improve operations
Enhance profitability
and customer service
Leverage Payless retail
tools, techniques and
experience
Consolidate Robeez
operations with Stride
Rite
Re-purpose inventory
SKU count
13
Sperry Top-Sider
14
7
Sperry Top-Sider
Overview
Mission: To grow into a global nautical lifestyle brand for men, women and children with
footwear, apparel and accessories sold worldwide in multiple distribution channels
Overview
$124 million in 2007 sales
96% of the sales are domestic
Annual sales growth over 20% in each
of last two years; brand continues to
grow at high rate
Department store; marine, outdoor and
specialty store; family footwear store
distribution
Multi-generational appeal and loyal
customer base
$140
Sperry Top-Sider
Sales (in mil of $)
$124
$120
$100
$93
$80
$25
$41
$60
$40
$83
$68
$20
$0
2006
Men'
s
2007
Women'
s
15
Sperry Top-Sider
Business Drivers and Growth Platforms
Maintain performance authenticity and
leadership through continued technical
innovation and marine channel distribution
Expand beyond boat shoes to become a
stronger four season, year-round resource
Build on initial success of women'
s Sperry
Top-Sider in image/better department
stores, expanding classifications offered
Expand internationally to become “the”
global nautical lifestyle brand
Expand beyond footwear with apparel and
accessories
16
8
Sperry Top-Sider
Sperry Growth Opportunities Leveraging Existing Strength
2007 Men'
s Domestic Casual and Dress Casual
Footwear Market ($ millions)
2007 Women'
s Domestic Casual and Dress Casual
Footwear Market ($ millions)
Sperry Top-Sider
2.2% share
Top 5 brand
$5.2B
Size of market: $5.2B
2005 to 2007 CAGR: 1.6%
Solid position off which to grow within men’s
Establishing premium products and
distribution
Expanding age reach to younger customers
Growing casual and dress casual beyond
traditional boat shoes
Driving performance category with
innovation
Sources: NPD consumer panel and Company reports
Sperry Top-Sider
1.2% share
$13.5B
Size of market: $13.5B
2005 to 2007 CAGR: 6.0%
Growing in fragmented market that is
2.6X as large as men’s and growing
approximately 4X faster
Building off existing position and premium
distribution
Expanding designs beyond traditional
boat shoes into casual and dress casual
17
Sperry Top-Sider
Innovation and Technical Product
18
9
Sperry Top-Sider
Expanding Our Men’s Line
Expanding off authentic boat shoe
heritage
Developing collections for premium
distribution
Expand multigenerational collections
Four-season, year round product
19
Sperry Top-Sider
Expanding Our Women’s Line
Leveraging initial offering of
women’s boat shoes
Strong marketplace acceptance
across broad consumer groups
Expanding classifications, moving
toward more dress casual, with
less explicit nautical design
Four season product, year-round
product
20
10
Sperry Top-Sider
Sperry: Creating a Global Nautical Lifestyle Brand
Expand internationally leveraging
existing Stride Rite Group operations
– Infrastructure (organization and facilities)
in Europe
– Opportunities also in Central/South
America and Asia
Drive children’s through Stride Rite
Children’s Group
Mid to longer term
– Expand beyond footwear with apparel
and accessories
– Develop retail boutique concept in key
markets as brand flagship
21
Saucony
We are a community of runners. We run with each other, our dogs, our
thoughts, the guy we pass by every day, the road, our friends, our shoes, the
weather, and all of the Saucony employees who obsess about making every
run better. We never run alone.
22
11
Saucony
Overview
Mission: Tirelessly devoted to inspiring every runner on every run, every day.
At Saucony, we run.
Overview:
$150
34% of sales international
Positive momentum in the run-specialty retail channel –
market share increased from 10% to 13% (2005 to 2007)
–
Saucony Sales
(in mil of $)
$145
$145
#3 share in run specialty channel now
Innovative products. Trade awards:
$140
1.
2007 Runner'
s World International "Best Innovation"
Award
2.
2007 Runner'
s World "Best Debut", Grid Sinister
3.
2007 "Shoe of the Year", IRRA for the Omni 6
4.
2008 Runner'
s World - The Editor'
s Choice - "Best Trail
Running Shoe", Xodus
5.
2008 Outside Magazine "Gear of the Year" award for the
Triumph 5
6.
2008 Runner'
s World "Best Buy" award for the Jazz
$135
$137
$130
2006
2007
23
Saucony
Growth Opportunities
Growth Opportunities in the $4B U.S. Running Market: Run Specialty and Technical Running
Strong position (#3) among all brands in the run specialty channel, driven by technical
product leadership
– Higher price points are fastest growing segment in the $4B US market
Maintain and build position with
– Continued technical innovation in products
– Increased service levels - - shadow reps, clinics, spike nights - - with key accounts
– Build apparel business with blend of performance and style
Extending running leadership into adjacent categories such as trail running
4,500
4,000
Price Band
$90 +
$40 - $90
Under $40
3,500
Domestic Running Footwear Market
(in millions of $)
421
477
2,533
CAGR %
2005-2007
587
18.1
2,499
2,476
(1.1)
1,006
958
882
(6.3)
2005
2006
2007
15%
3,000
2,500
2,000
1,500
1,000
500
0
Source: NPD 2007
24
12
Saucony
Innovative Technical Running Product to Expand Position in Run Specialty Channel
Stability
Neutral
Motion Control
Six core franchise models
Fundamentals of Fit, Feel, Ride
Consistency across subsequent
versions
Continual innovation
$90+ market growing at 18% (2007)
25
Source: NPD 2007
Saucony
Growth Opportunities in the $4B U.S. Running Market: Sporting Goods Channel
Sporting Goods channel is large and growing
Build off strength in run specialty with technical product
Expand business with leading full service sporting goods channel by
– Visually compelling products and technologies
– Increased marketing support in health/fitness and men’s lifestyle magazines
– Increased service to key accounts
Domestic Running Footwear Market
4,500
4,000
3,500
Dept. Stores
Discount/Mass
Direct
Off-Price
Sporting Goods
Athletic Specialty
Family
3,000
2,500
(in millions of $)
129
167
206
414
993
3.6
110
184
118
181
194
467
238
440
925
906
998
948
915
1,081
1,104
1,124
2005
2006
2007
25%
CAGR %
2005-2007
(0.2) total
(7.7)
5.0
3.1
(5.8)
2,000
1,500
(4.3)
1,000
500
2.0
0
Source: NPD 2007
26
13
Saucony
Visually Compelling Athletic Product Stand Out in Sporting Goods and Athletic Channels
Visually compelling styling and technologies
Younger market
Fundamentals of style, comfort and
price/value
“Win on the wall”
27
Saucony
Apparel Leverages Style, Performance, and Distribution Platforms
Integral component of building
Saucony from running shoe leader
into a global running lifestyle brand
–
As much as 30% of sales volume,
based on benchmarks
Opportunity to increase share of open
to buy with existing retailers and share
of wallet with brand-loyal customers
Fashion and performance can reach
consumers beyond core runners
28
14
Saucony
Re-Establishing Originals to Capture Share of Growing Run Style Market
Originals footwear resonates with the
independent younger population
New technical footwear offering creates a
great opportunity develop "run-style models"
Low performance (athleisure) footwear
market is large ($4B, same size as running
market) and growing (9.3% CAGR)
– Women account for 58% of the market
Incremental revenue that does not create
conflicts with the run specialty channel
Source: NPD 2007
29
Keds Group
30
15
Keds Group
Overview
Mission: Keds finds inspiration in the people who share our spirit and energy. We believe
there'
s no need for little steps when you can bound confidently forward. Our deep roots as an
American icon allow us the freedom to do fashion with know how and authenticity.
Keds Group encompasses the Keds, Pro-Keds and Grasshoppers brands.
The brands compete collectively in the low performance athletic, casual,
and sandal markets
U.S. market nearly $17 billion at retail
Increases in international business have been offset by declines in domestic
Keds
Large opportunities to expand internationally and through PRO-Keds and
Grasshoppers brands
– International business up 170% since 2004 driven by Keds Women'
s in
Western Europe, Canada, and Australia.
– Grasshoppers repositioned successfully with better styling, comfort, and
retail performance. Target customer (Women 45+) is one of fastest
growing groups in U.S. due to explosion of baby boomers
– PRO-Keds license negotiated back in house in 2008 and early response
to 2009 brand and product is positive
Strong brand equity can be leveraged – Keds has high brand awareness in
U.S., similar to much larger competitors in target segment (Skechers 97%,
Converse 93%, Keds 88%, and Vans 79%)
$120
Keds Group Sales
(in mil of $)
$110
$104
$100
$100
$90
$80
2006
2007
Source: NPD Consumer Panel YE 2007
31
Keds Group
Keds Group Platforms for Growth
Champion
Green
Fun Fashion
Pro-Keds
Extend range of
product to offer
basics to luxury
$30-$100
Create leadership
position in industry
Occupy more of
“her” closet
Build upon
Heritage platforms
Create premium
channel
segmentation
Build business in
wider (non
Champion, Non
Hampton) range of
product platforms
Exclusive
collaborations for
premium boutique
distribution
Launch Keds
Customization –
Keds Studio
Strong online /
community based
marketing
Establish credibility
as fashion resource
Upgraded quality,
design, graphics
and material
application
Grasshoppers
Enable her active
lifestyle with
footwear that
targets her
different wearing
occasions
Improved comfort
and style and
expand price band
from $25 - $40 to
$30 - $70
32
16
Stride Rite Group
Transition Roadmap
Phase II
Phase I
Integrate and
Maintain
the Business
Manage thru merger
transition
Adopt new policies and
procedures
Leverage new corporate
centers
Capture initial synergies
Manage Hilfiger transition
Deliver 2007/2008 results
Phase III (2009+)
Develop/
Execute Brand
Strategies
Enhance
Platforms
Integrate and enhance key CBI
corporate platforms
– Product development
– Sourcing
– Logistics
– eCommerce
Consolidate and enhance
internal SRR platforms
– Global brands
– Europe
– Retail (execution and
format development)
Continue to add talent and
build the organization and
capabilities
Deliver increased effectiveness
and efficiency
Transition new leadership
Refine brand positioning and
target markets
Identify growth opportunities
and accelerate organic growth
Drive international expansion
across all brands
Build capabilities in
apparel/accessories
Build bottom-up, long-term
corporate and brand strategies
Identify and sequence required
investments
Accelerate
Expansion
Leverage what we have built
– Enhanced talent pool
– Efficient platforms and
Infrastructure
– Base of organic growth
and resultant cash flows
Map the market and identify
streams of growth
Develop acquisition criteria
and corporate development
plans
Deliver growth via 3 year
plans which meet or exceed
corporate objectives
33
Stride Rite Group
Substantial Integration Progress Since August 2007
Leadership transition
•
•
Corporate leadership
Adding depth within divisions
Organization/structural changes
•
•
•
Global brands established
Sourcing, logistics, store development, treasury, and tax
consolidated into CBI centers
Matrix structure implemented in key support areas
Physical consolidation
•
•
•
Robeez Vancouver operations consolidation into SRCG
European operations consolidation in Amsterdam
US DC consolidation
Strategic focus
•
Implemented bottom-up strategic planning process
•
ROIC/IRR/NPV investment criteria implemented
•
Increased accountability and compensation for driving results
and achieving strategic objectives
•
Premium Airwalk brands added to SRCG stores to address
older children
•
Disney direct to retail discussion initiated
•
•
•
Testing Champion and American Ballet Theater in outlet stores
Implementing retail management best practices
Leveraging Store Development platforms and activities
Partnering for growth
34
17
Stride Rite Group
Tommy Hilfiger License Update
Transition Tommy Hilfiger adult footwear business from Stride Rite to
Tommy Hilfiger on December 31, 2008 at end of term of license
agreement.
Stride Rite is delivering 2008 product collections
Collaborating with Tommy Hilfiger to assure smooth transition; receipt of
certain fees and reduction of certain expenses
Solid 2008 sales trends
In 2009, intend to redeploy assets into other higher-growth Stride Rite
Group businesses while rationalizing overhead
Extended Tommy Hilfiger children’s business for another year,
consistent with our strategy and business model (i.e., licensing brands)
35
Stride Rite International
Evolving Into More Strategic and Efficient Organization
Re-aligned organization
–
International focused on market analysis, business development and in-market
coordination/support
–
Brands are managed globally: brand positioning, product development, distribution
strategy, marketing
Consolidating European infrastructure into one Netherlands-based European
headquarters
–
Enables Stride Rite Europe management team to more effectively drive growth
–
Leverages infrastructure across all businesses
–
Creates increased scale
Integration of Robeez Canada with Stride Rite in U.S.
36
18
Stride Rite Group
Summary
Building a high growth organization and culture with strategic approach to running the
business
Develop, attract and invest in talent
Significant growth opportunities across all brands
– Product innovations
– Channel segmentation
– Category expansion
– International initiatives
– Acquisition …over time
Developing more efficient business model
– Best practices across both Stride Rite and Collective Brands
– Leveraging both Stride Rite and CBI resources
– Greater focus on inventory management and expense control
37
19
Darrel Pavelka
Executive Vice President – Global Supply Chain
Collective Brands Global Supply Chain
Mission: Manage Collective Brands (CBI) supply chain model across
retailing, wholesaling, licensing and franchising. Utilize integrated systems
and processes within the global supply chain that supports product lifecycle from concept to liquidation.
Overview of Supply
Chain Strategy
Strategy Execution
Approach
Vertically integrated
sourcing
Factory and material
vendor consolidation
Flexible and efficient
global logistics
network
Country diversification
Customer targeted
product flow, life
cycle and size
management
Enhanced merchandise
planning systems &
processes with key focus
on assortments, speed,
sizes and pricing
Maximize inventory
productivity
Multiple DC model
Customer targeted store
clusters
Business
Impact
Timely delivery of
on-trend targeted
merchandise to our
customer
Sustained sales
growth
Delivery of value to
our customer
Margin growth
1
1
Collective Brands Global Supply Chain
Situational Assessment
Changing fashion trends
Diversified business model
Macro-economic challenges
Footwear production issues
Price increases (product, transportation)
Margin expansion challenges
2
Supply Chain Strategy
Sourcing
Vertically integrated sourcing organization – design through m anufacturing
Utilizing internal product design and
development capabilities to drive proprietary
design and innovation at higher margins
Leverage consolidation of factory base and
material vendors to maximize efficiencies and
control costs
– 25% factory base reduction
– 20% raw materials vendor reduction
Diversify manufacturing base through country
and inter-China strategy
– Expansion into northern and western
China
– Expansion within Vietnam and entry into
Thailand, India, and Indonesia
80%
70%
Payless Sourcing Mix
Direct
Agents
60%
50%
40%
30%
20%
10%
0%
2005
2006
2007 2008E 2009E 2010E
3
2
Payless Materials Vendor Consolidation
Initiative started in 2007 and is
independent from Stride Rite
integration
Savings achieved through direct
negotiations with materials vendors
– Responsibility for material
procurement had rested with
contract manufacturers
In 2008 product cost to be reduced
by estimated $6 million from this
initiative
20
Material Savings
(in mil of $)
18
16
14
12
10
8
6
4
2
0
2007
2008E
2009E
2010E
4
Logistics
Flexible and efficient global logistics network that enables speed to market while
mitigating transportation costs
Global and efficient network from factory to store
– Presence across Americas, Europe, and Asia
– Leverage combined CBI volume across ocean, inbound and
outbound transportation
– Multiple DC network to support diversified CBI distribution channels
Speed to market
– Reduction of in-transit miles and replenishment lead times
– Reduction of over 20 supply chain days by 2010
Rapid Re-order initiative
– Target high demand in-season product for accelerated delivery
5
3
Multiple DC Network
Increased flexibility, reduced risk and improved efficiency with multiple DC network
–
Opened Western Distribution Center (Redlands, CA) in July 2007
–
Opening new Eastern Distribution Center (Brookville, OH) in December 2008
–
Closing Topeka, KS Distribution Center in Spring 2009
–
Closing Huntington, IN Distribution Center Fall 2009, and integrate functions into
Brookville and Louisville
–
Integrating Robeez from BC to Huntington and ultimately to Brookville
Replenishment lead time reduced by 1-2 days to Payless stores
Topeka
Huntington
Brookville
Louisville
Redlands
6
Distribution Center Network Initiative
Operating Profit Impact
(in mil of $)
15
Key Drivers
Reduction in product
transportation of 5 million
miles, $10 mil annually
10
5
Cost avoidance of increased
fuel prices, $2 mil annually
0
-5
Reduced unit volume due to
lower unit demand, ($2 mil)
annually
-10
-15
-20
-25
2006
2007
2008E
2009E
2010E
Six month EDC delay and
slower WDC ramp up, ($5 mil)
one-time
7
4
Speed to Market
Payless
Reduce overall supply chain days from order placement to in store by over 20 days by 2010
120
Total Sourcing and Logistics Transit Time
(in days)
110
100
90
Benefits include:
–
Rapid adjustment to trends
–
Decision closer to customer
demand
–
Higher inventory productivity
–
Driving sales performance &
margins
Rapid Re-order initiative: Target select
product for accelerated delivery. Place
additional orders on in-season product
that allows us to maximize sales &
margin on high demand, proven items.
80
2010E
2009E
2008E
2007
2006
2005
70
–
Goal: 75 days order to store
–
Estimate 2.5 million pairs in 2008
8
Merchandise Planning
Custom er targeted product flow, life cycle, and size managem ent by having the right
product to the right store, at the right time in order to drive top line sales and margin
growth.
Flow inventory consistent with consumer buying patterns
Match store assortments to customer demand and lifestyles through
targeted store clusters
Drive inventory productivity through effective size management while
ensuring assortment breadth and depth
Use price optimization tools and systems to maximize margin
throughout product’s lifecycle
9
5
Inventory Management
Flow and Quality
Flow product consistent with customer shopping patterns, and with
more appropriate proportions by store volume and geographical zone,
particularly in seasonal classifications.
Aged levels at historic lows, sustained through improved life cycle
management.
Aged inventory levels have been reduced by over 30% since 2005
10
Targeted Payless Store Assortments
Developed new store clusters that deliver proportionately correct assortments based
on the customers profile and lifestyle of each store in order to improve sales, m argin,
and m arket share.
Before
Defined by women’s selling
history from 2002
Ethnic or geographic based
7 common clusters across
Women’s, Men’s and Kids’
After
Use combination of selling history,
customer data (CRM) indexed
against Claritas TM demographic
profiles
Unique clusters by category
– 10 Women’s
– 7 Men’s
– 7 Kids’
11
6
Fashion and
the City
Her Closet
Women’s Cluster 26
645 Stores
15% of Chain Store Count
Cluster Storyboard
LIFESTAGE
Visual representation to better
understand our customer
Single Working Woman
Young Urban Families
AFFLUENCE
Mid-Upscale Singles
Lower-Mid/Downscale
Families
Integrates Prizm TM profiles to
explain “ how she lives” and “ why
she buys”
ETHNICITY
Very Diverse
High AFA/High Hispanic
Low Caucasian
GEOGRAPHY
Urban/Dense Suburban
New York City, Toronto,
Montreal
Large Urban Core
Metros
Key styles in “ her closet”
FASHION
Above Average Fashion
Very Low Junior
PRODUCTS
Above Average Athletic
Above Average Tailored
Low Rugged
KEY BRANDS
Champion
Predictions
How She Lives
Comes from two very different places – young single working woman in the
city or from apartment-dwelling urban core families
Shops at higher-end Department Stores such as Macy’s, Bloomingdales, and
Lord & Taylor, as well as other Urban footwear retailers such as Foot Locker
Watches HBO, Bravo, BET, Showtime, shows like Americas Next Top Model
and The Sopranos; reads Vogue, NY Times, Ebony, Vanity Fair
Why She Buys
Very influenced by fashion magazines and believes
designer labels improve a person’s image
Higher proportion of fashion and fashion athletic product
Payless offers her designer fashion looks at prices that
enable her to buy more pairs
Shops High-Volume Payless CBD stores for convenience
to her workplace or her high-density apartment housing
WOMEN'S CLUSTER SUMMARY - CLUSTER 26 (645 STORES, 15 % OF CHAIN)
Cluster Dashboard
% SALES BY PRODUCT GROUP
% TOTAL PRODUCT GROUP
% TOTAL
Highlights assortment differences that
makes cluster unique
Tool for Merchandising teams to
determine appropriate assortment
mix by customer classification and
product type
FASHION
JUNIOR
CLST 26
CHAIN
CLST 26
15%
20%
27%
33%
21%
14%
12%
14%
40%
39%
CANVAS
RUGGED
8%
11%
7%
8%
1%
1%
1%
1%
72%
74%
68%
74%
17%
16%
21%
9%
10%
10%
10%
16%
TAILORED
16%
18%
12%
11%
9%
7%
48%
54%
31%
29%
DRESS
16%
15%
22%
21%
14%
12%
13%
13%
51%
CASUAL
28%
28%
7%
9%
46%
41%
12%
14%
35%
BEACH
6%
100%
CLST 26
CHAIN
CLST 26
UPDATED
CHAIN
ATHLETIC
% TOTAL
CHAIN
TRADITIONAL
PRODUCT GROUP
CHAIN
CLST 26
54%
37%
4%
6%
6%
60%
59%
0%
0%
34%
36%
100%
12%
15%
37%
30%
18%
20%
33%
35%
% TOTAL
TOP 10 BRANDS
CHAIN
CLST 26
PREDICTIONS
25%
28%
AMERICAN EAGLE
22%
20%
MONTEGO BAY CLUB
13%
14%
AIRWALK
12%
10%
9%
12%
4%
4%
LOWER EAST SIDE
CITY SNEAKS
DYEABLE
2%
2%
Fashion and the City
Highest Proportion of Urban
Highest Proportion of Fashion/Lowest Junior
High Volume, 19% of Stores above 1.0M
9%
9%
CHAMPION
CROSS TREKKERS
FIONI
DESCRIPTION
2%
2%
0%
0%
99%
100%
12
Inventory Productivity
Size management
Current
Future
Very large
size
Very small
size
% Aged
Very large
size
Very small
size
Sales
% Aged
Sales
Effective Size Curve Management
Reallocate inventory to most productive sizes
Maintain a balanced proportion of product types across all sizes
Execution across multiple store-size groups
Will continue to service the customer across all sizes utilizing our in-store lot
locator system along with our e-commerce platform
13
7
Price Optimization
Utilization of pricing systems and processes to more efficiently price
styles, contributing to sales and margin growth
Allows us to optimize price at the region or store level earlier and/or more
frequently throughout the product life cycle
Supports our ability to keep aged inventory at very low levels
14
Collective Brands
Global Supply Chain
In summary, we have a supply chain at CBI that is…
Truly global
Focused on the customer first
Well positioned to efficiently meet the operational needs of CBI today
with the flexibility to meet our future needs
Interconnected with all key business units and functions within CBI
Exercising industry leading processes and systems to deliver
incremental sales and margin improvements
15
8
Doug Treff
Executive Vice President & Chief Administrative Officer
Hybrid Operating Model
Drives Stronger Financial Results
Greater diversity and number of growth drivers
– Leading brands in retail, wholesale, licensing, franchising and eCommerce
– Reaching multiple unique consumer markets with distinct brands
– Different operating segments contribute to financial leadership at different times
•
•
Exposure to higher-end consumer (e.g. Sperry Top-Sider, Saucony) has helped
mitigate low-end consumer pullback
International growth has helped to mitigate domestic softness
Greater operational efficiency by leveraging scale and expertise across all
businesses and brands
Greater tax efficiency as Stride Rite benefits from CBI structure
Greater working capital efficiency by leveraging the international sourcing
and manufacturing capabilities
Greater capital investment efficiency with business models that require
lower capital investment, allowing for more rapid expansion and growth in
ROIC
2
1
Hybrid Operating Model
Financial Impact
2Q08
Sales
Sales vs LY
Payless Domestic
$587 mil
(-1%)
$117 mil
+ 9%
$17 mil
+ $4 mil
$49 mil
+ 2%
(-$3 mil)
(-$3 mil)
$159 mil
+ 8%
$13 mil
+ $1 mil
$1,176 mil
(-4%)
$67 mil
(-$12 mil)
$221 mil
+ 11%
$29 mil
+ $10 mil
Stride Rite Retail
$106 mil
0%
$2 mil
(-$5 mil)
Stride Rite Wholesale
$341 mil
+ 8%
$36 mil
(-$1 mil)
Stride Rite Retail
Stride Rite Wholesale
Op Inc
$32 mil
Op Inc vs LY
+ $6 mil
2Q08 YTD
Payless Domestic
NOTES: All Stride Rite figures versus last year are pro-forma as Collective Brands did not own Stride Rite
then. Figures exclude unusual items related to litigation and 1Q08 purchase accounting inventory step-up.
3
Capital Allocation Goal
Drive Higher ROIC
Capital allocation strategy
– Invest in projects with highest returns and growth opportunities
– Direct cash flows from lower return businesses to higher growth, higher return
opportunities
Capital investments must be aligned with Collective Brands mission and
strategies
Value creating investments must exceed weighted average cost of capital
(WACC) of approximately 9%
Establish annual capital spending priorities by weighing economic growth
opportunities against alternative cash flow needs
4
2
Capital Investment
Focused on Growth & Efficiency
International expenditures up as % of total
– Opening Colombia Payless stores
– Growing Payless in other Latin America
markets
Supply chain
CBI Capital Spending (mil $)
180
$167
160
140
$130
120
100
– California and Ohio distribution centers
– Integrating Stride Rite distribution
Domestic Payless stores
80
60
40
20
0
– Optimizing store locations
– Refreshing stores
2007
Payless Domestic Stores
Stride Rite
Other
2008E
Payless International Stores
Supply Chain
5
International Investments
More Productive with Strong Financial Returns
Payless International stores in 2007 were highly productive:
Sales per square foot 40% greater than domestic
Higher gross margins
Competitively superior service model
Lower SG&A structure than domestic
JV model in Latin America
Franchise model in Middle East beginning 2009
Stride Rite International Wholesale
Consolidating European operations such as distribution and systems
No stores to build
Building sales force
6
3
Capital Expenditures
Going Forward
Allocate increasing amounts of capital toward higher growth, higher return
investments
– International new store development will represent more than one-third of new
store investment in the coming years
Capital expenditures as percentage of EBITDA
– CBI 3-year historical average of 50% driven by supply chain investments
Maintenance capital approximately $70 million
Over time, will be slightly less than the $130 million in 2008
– Subject to economic environment and resulting business conditions
7
Cash Flow
Used for Key Priorities
$313 million in Adjusted EBITDA over the last four
quarters
Uses of excess cash have evolved over the past 12
months due to:
– Acquisitions of Stride Rite and Collective Licensing
and related change to the capital structure
– Retail and consumer environment
– Contraction in the credit markets
– Litigation matters
Priorities for uses of cash:
– Maintain liquidity
– Reduce debt levels
– Stock buyback
– Acquisition – opportunistic over time and on-strategy
120
Collective Brands
Adjusted EBITDA
100
80
60
40
20
0
1st Qtr 2nd Qtr 3rd Qtr
2007
4th Qtr
2008
Note: Adjusted EBITDA excludes impact from litigation items and
inventory step-up. Reconciliation available at collectivebrands.com.
8
4
Effectively Managing the Balance Sheet
Key Changes to Working Capital
Inventory anticipated to increase
– Flowing product with “wear now” view
– Bringing inventory focus to Stride Rite
– Higher costs likely to over next three quarters
Accounts receivable likely to grow with wholesale sales growth
Accounts payable likely to be neutral
– More directly sourced product which has shorter terms
– Higher unit costs
Prepaid expenses likely to be favorable due to more efficient tax structure
The result: anticipate slight growth in working capital requirements
9
Capital Structure
Leveraged balance sheet in 3Q07
with 7 year $725 million term loan to
finance Stride Rite acquisition
Drew on revolving credit facility in
2Q08 as precaution for possible
litigation purposes to bond appeal
Net debt : EBITDA at 2.0 times
Look to lower debt levels while
maintaining liquidity
5.0x
Net Debt : EBITDA
4.5x
4.0x
3.5x
Maximum level as defined in covenants
3.0x
2.5x
2.0x
1.5x
Collective Brands results
1.0x
0.5x
0.0x
3Q07 4Q07 1Q08 2Q08 3Q08 4Q08 1Q09
Net debt : EBITDA metrics are calculated as defined in credit
agreement found in the term loan and revolving credit facility.
10
5
Reiteration of Financial Guidance
Operating profit growth over time in the mid-teens
– Predicated upon low-single-digit percentage growth in comp store sales over time
– 2008 comp store sales growth may underperform comp store sales long term goal
2008 estimates
– Stride Rite operating profit contribution likely to exceed financing costs associated with its acquisition,
excluding purchase accounting costs
– Capital expenditures: $130 million
– Depreciation and amortization: $145 million
– Effective annual income tax rate of 21% excluding litigation items and discrete events
Cost synergies from acquisition
– 2008: $6 million YTD; 2009: $15 mil. over base year of 2007; 2010: $25 mil. over base year of 2007
– Sources of cost synergies include logistics, raw materials, administrative, and factory expenses
– Most synergies based on reductions from 2007 actuals or absence of cost to Stride Rite (e.g. public
company). Factory savings realized from actual reductions compared to 2007, or 2008 Stride Rite
planned costs – depending on the product run.
– $11 million income tax synergies
11
Financial Modeling
Issues for 2nd Half 2008
3rd Quarter comparison will include 13 weeks of Stride Rite results
compared to 11 weeks last year
Anniversary of inventory step-up purchase accounting
– $25 million in third quarter 2007
– $24 million in fourth quarter 2007
3rd Quarter considerations versus 2nd Quarter 2008
– Full quarter of higher product costs versus partial quarter in 2nd Quarter
– No government stimulus
– Hurricane impact
* = Excluding litigation items and inventory step-up
12
6
Matt Rubel
Chairman, Chief Executive Officer & President
Collective Brands
Vision
To create the preeminent, consumer-centric, global footwear, accessories
and lifestyle brand company
Reaching customers through multiple price points with distinctive brands
Through retail, wholesale, franchising, licensing and e-commerce selling channels
2
1
Collective Brands
Sales Composition
Based on trailing four quarter sales
Retail
83%
Wholesale
17%
Stride Rite
Retail 7%
Payless
Domestic
77%
Stride Rite
International
19%
Payless
International
16%
$3.5 billion – Total
Stride Rite
Domestic
81%
$0.6 billion – Wholesale
$2.9 billion – Retail
$313 million of adjusted EBITDA
Note: Adjusted EBITDA excludes impact from
litigation items and inventory step-up. Reconciliation
available at collectivebrands.com.
3
International Growth
Strong Opportunities Are Being Realized
Collective Brands Sales Distribution
30%
25%
27%
25%
CAGR: 9% Payless, 13% Stride Rite
20%
20%
20%
15%
14%
15%
10%
10%
5%
5%
0%
International Sales
as % of Business Unit Total Sales
0%
0%
Premium
International
2005
2011
2006
2007
Payless
2008E
Stride Rite
Plans to grow international sales at four
times the rate of total sales growth
4
2
Payless ShoeSource
Vision
Democratize fashion and design in footwear and accessories
Mission
Become the first choice for style and value in footwear and
accessories for our target customers
Strategy Positions Payless to Compete in
“White Space” of Marketplace
5
Payless Business Strategy
On-trend targeted product
Effective brand marketing
Great shopping experience
Efficient operations
Growing through domestic
repositioning
– Company-owned
– Joint venture
on-trend
targeted
product
effective
brand
marketing
emotional
connection with
customers
efficient
operations
great shopping
experience
– Franchising
6
3
Strategic Pillars
Consumer Connections – Kids
Approximately $1 billion in sales proforma* to kids
$1 Billion Kids Sales
in 2007*
Each price tier captured
– Best…Stride Rite Children’s Group,
wholesale and specialty stores
– Better…Stride Rite outlets
Stride Rite
33%
Payless
67%
– Good …Payless
Approximately 20% market share of
$5.5 billion U.S. kids market at retail
* Collective Brands did not own Stride Rite for all of 2007. Stride
Rite sales represent sum of retail and wholesale.
7
Stride Rite Group Overview
Mission: To be the leader in building a diversified portfolio of fashionable,
premium lifestyle, and performance footwear brands for men, women and
children across the globe
Overview
FY 2007 pro-forma* sales of $765 million, 87% domestic
Highly diversified distribution with no customer exceeding 3%
of sales
Building upon existing positions of leadership
– Stride Rite: premier children’s footwear player in the
U.S.
– Sperry: the authentic, original boat shoe growing into a
nautical lifestyle brand
– Saucony: the technical specialist in running
– Keds: a global fashion, casual brand
Platforming existing positions into streams of high growth
– Categories
– Geographies
Leveraging capabilities at both Stride Rite Group and CBI
across all brands and businesses
* Collective Brands did not own Stride Rite for all of 2007.
** All children’s footwear sold at wholesale for any brand is captured
in Stride Rite Children’s Wholesale.
2007 Sales
28%
Stride Rite
Children’s Retail
15% SR
Children’s
Wholesale**
9% Tommy
Hilfiger
19%
Saucony
13%
Keds
16%
Sperry
Top-Sider
2007 Distribution
7%
4% All Other
Direct
7%
Sporting
Goods
7%
Off Price
30% Stride Rite
Group Stores &
eCommerce
7%
Athletic
10%
Footwear
11%
Family
17%
Department
Stores
8
4
Stride Rite Group
Key Growth Drivers
–
Expand retail stores and increase share in key age
groups
–
Grow core wholesale business with continued innovation
–
Improve operations, to enhance profitability and customer
service, by leveraging Payless
Sperry Top-Sider
–
Expand beyond boat shoes to become stronger four
season, year-round resource
Build on initial success of women'
s Sperry Top-Sider in
image/better department stores, expanding classifications
offered
Expand beyond footwear with apparel and accessories
–
–
9
Stride Rite Group
Key Growth Drivers
Saucony
– Build position with continued technical innovation in products
– Extending running leadership into adjacent categories such as
trail running
– Expand business with leading full service sporting goods
channel through visually compelling products and technologies,
increased marketing support, and increased service to key
accounts
– Build apparel business with blend of performance and style
– Re-establishing Originals to capture share of growing run style
market
Keds
– Extend range of Champion product to offer basics to luxury
– Launch Keds customization – Keds Studio
– Build business in wider range of product platforms, and
establish credibility as fashion resource
– Build upon Pro-Keds heritage platforms with upgraded quality,
design, graphics and material application
10
5
Collective Licensing International
Brand Management and Global Licensing of Youth Lifestyle and High-Quality Fashion Athletic Brands
Vision: To create the pre-eminent youth lifestyle and athletic
fashion branded licensing company in the world.
Mission: Collective will lead the youth lifestyle and athletic
fashion industry through our innovative combination of brand
development and licensee support. We will create and deliver
compelling youth market insight, original product design
direction and creative brand communication tools. These
assets will be used by both Collective and our partners to drive
growth across markets and, ultimately, to deliver an inspiring
brand promise to our target consumer.
Key brands: Airwalk, Lamar, Sims, and Vision Street Wear
Key licensing partners: InterSport North America, Groupe
Royer, Itochu, and Sports Authority
11
Collective Brands
Our Core Capabilities
People
Strong associate alignment with strategy and
guiding principles
Strategy linked to execution via Balanced
Scorecard and linked to individual objectives
via cascade process
Open communication with all associates
worldwide through multiple channels:
newsletters, town halls, e-mails, leadership
team meetings
Star model used to ensure consistency and
create high performance organization
Robust individual development process and
resources available for associates
12
6
VISION:
To create the preeminent, consumer-centric, global
footwear, accessories and lifestyle brand company
7

Institutional Investor Conference

Transcription

Similar documents

our global mission

it`s all about me!

Saturday, June 26, 2016 Zorinsky Lake Picnic Pavillion

How to pay less for everything

HEMORITE brochure revised July 2015

GRUPO GARVALIN - International Shoes Garvalin, SL Ptda

Branding for Learning

Now here`s a honey. Big mouthful of shapely

brandSAVER Taking coupon clipping seriously