In 1972, New Balance was purchased by James Davis, who remained the owner together with his wife Anne (in 2009, James was New Balance chairman and Anne was vice-chairman and executive vice- president, administration: see Exhibit 2). After graduating from Middlebury College in 1964, James Davis worked as a sales representative for an electronics firm, but his long-term objective was to own and manage his own business. A friend told him about New Balance, whose owner at the time, Paul Kidd, was looking to sell the business. After doing some research on the company, talking with athletic coaches in New England and trying the New Balance sneakers himself, he was convinced of the high potential for the company: "I felt leisure-time products would be a high-growth market, and I found that New Balance had a