Asia-Pacific Facility Latin America Facility 1,000 per 7,000 am 4250 0- 0- 0- 0- 0- pa 4.250 4250 69 0- O 0% 096 EQUIPMENT FOR FOOTWEAR PRODUCTION Space Avaliable for Footwear Production Equipment in Y12 Production Equipment in Pincent Beginning of Y12 (000w of paire) Purchase of Production - New 1000w of Equipment Refurbished 1000s of pain Sale of Existing Equipment toonent will be soldre Total Footwear Production Capability in Y12 000 of persoon Peroentage of New / Refurbished Production Equipment PRODUCTION IMPROVEMENT OPTIONS Option Purchase of special equipment Capitoly (5000) A to reduce reject rate by 50% Products Option Layout revisions to reduce pro Capital outley (5000) B duction run setup conts by 50% od cene.com Opon Purchase of special equipment 1000 to increase S/O rating by 1 star Option Robot-assisted production to in cui (1000 D COD Worker productivity by 50% SPACE FOR PRODUCTION EQUIPMENT Space in 00s Equipment Space at the End of Year 11 of Pairs Construction of Additional Space (with on Space Available for Equipment in Year 12 Construction of New / Additional Space Space Available for production Equipment in Year 13 North America Europe-Africa Facility Facility 6,000 2,000 pln 4250 O. 0- 0- pois 0- Don 0- por 0 0- On 10096 096 096 OX North America Europe-Africa Facility Facility $10.025 50 No 51.100 No so 50.800 50 Done No 5445 520.400 No $1.000 No 01.200 No 5-1,047 50 North America Europe Africa Facility Facility 5.000 1.000 2,000 6,000 2,000 0- 0- 2.000 9496 Asia-Pacific Facility $10,625 No $1,490 50,000 Done Latin America Facility so $0 No No 5858 NO 20.400 52.213 561.200 888888 No honom NO No No bon Latin America Facility O O Asia-Pacific Facility 6,000 1,000 7.000 0- 7.000 1,000 1.000 0- 23 5.000 1.000 568 0 Capital Outlays in Year 12 1000) $ . 5 Purchase of New Equipment Purchase of Refurbished Equipment -Book Value of Equipment Sold Equipment Upgrade Options Energy Efficiency Initiatives New / Additional Facility Space Net Capital Outlays in Year 12 G OOOOOOO l OOOOOO o o o o o o Projected Y12 Performance Investor Scoring Measures Year 12 Expectation EPS (eamings per share) $-2.52 $3.00 ROE (retum on equity) -35.5% 22.0% Credit Rating C- B+ Image Rating 46 72 Change Other Measures Year 12 from Y11 Net Revenues ($000s) 198,487 -1.3% Net Profit ($000s) -50,300 n/a% Ending Cash ($000s) -131,668 -131,668 Asia-Pacific Facility Latin America Facility 1,000 per 7,000 am 4250 0- 0- 0- 0- 0- pa 4.250 4250 69 0- O 0% 096 EQUIPMENT FOR FOOTWEAR PRODUCTION Space Avaliable for Footwear Production Equipment in Y12 Production Equipment in Pincent Beginning of Y12 (000w of paire) Purchase of Production - New 1000w of Equipment Refurbished 1000s of pain Sale of Existing Equipment toonent will be soldre Total Footwear Production Capability in Y12 000 of persoon Peroentage of New / Refurbished Production Equipment PRODUCTION IMPROVEMENT OPTIONS Option Purchase of special equipment Capitoly (5000) A to reduce reject rate by 50% Products Option Layout revisions to reduce pro Capital outley (5000) B duction run setup conts by 50% od cene.com Opon Purchase of special equipment 1000 to increase S/O rating by 1 star Option Robot-assisted production to in cui (1000 D COD Worker productivity by 50% SPACE FOR PRODUCTION EQUIPMENT Space in 00s Equipment Space at the End of Year 11 of Pairs Construction of Additional Space (with on Space Available for Equipment in Year 12 Construction of New / Additional Space Space Available for production Equipment in Year 13 North America Europe-Africa Facility Facility 6,000 2,000 pln 4250 O. 0- 0- pois 0- Don 0- por 0 0- On 10096 096 096 OX North America Europe-Africa Facility Facility $10.025 50 No 51.100 No so 50.800 50 Done No 5445 520.400 No $1.000 No 01.200 No 5-1,047 50 North America Europe Africa Facility Facility 5.000 1.000 2,000 6,000 2,000 0- 0- 2.000 9496 Asia-Pacific Facility $10,625 No $1,490 50,000 Done Latin America Facility so $0 No No 5858 NO 20.400 52.213 561.200 888888 No honom NO No No bon Latin America Facility O O Asia-Pacific Facility 6,000 1,000 7.000 0- 7.000 1,000 1.000 0- 23 5.000 1.000 568 0 Capital Outlays in Year 12 1000) $ . 5 Purchase of New Equipment Purchase of Refurbished Equipment -Book Value of Equipment Sold Equipment Upgrade Options Energy Efficiency Initiatives New / Additional Facility Space Net Capital Outlays in Year 12 G OOOOOOO l OOOOOO o o o o o o Projected Y12 Performance Investor Scoring Measures Year 12 Expectation EPS (eamings per share) $-2.52 $3.00 ROE (retum on equity) -35.5% 22.0% Credit Rating C- B+ Image Rating 46 72 Change Other Measures Year 12 from Y11 Net Revenues ($000s) 198,487 -1.3% Net Profit ($000s) -50,300 n/a% Ending Cash ($000s) -131,668 -131,668