WORKFORCE STATISTICS North America Europe-Africa Asia-Pacific Latin America Total (all facilities) Annual Total Annual Total Annual Total Annual Total Total $ per Cost $ per Cost $ per Cost $ per Cost Cost Worker ($000s) Worker ($000s) Worker SODOs) Worker ($000s) ($000s) Workforce Base Wages 34,340 29,052 12,120 13,938 42,990 Compensation Incentive Pay 6,148 5,201 3,574 4,110 9,311 (in Year 11) Fringe Benefits 750 635 750 863 1,498 Total Regular Comp. 41,238 34,888 16,444 18,911 53,799 Overtime Pay 11,528 9,753 4,351 5,004 o o oo oo oo o o oo oo oo o o oo oo oo o o oo oo oo 14,757 Total Compensation 52,766 44,641 20,795 23,915 68,556 Best Practices Training Expenditures (in Y11) 1,000 846 800 920 1,766 Supervisory Compensation (salary + benefits) 60,600 1,273 25,250 732 2,005 Incentive Pay as % of Regular Compensation 14.9% 0.0% 21.7% 0.0% Cumulative Best Practices (total $ per worker) 1,600 1,200 0 Year 10 Year 11 Year 10 Year 11 Year 10 Year 11 Year 10 Year 11 Year 10 Year 11 Workforce Productivity (pairs per worker per year) 5,000 5,025 3,500 3,695 C Number of Workers Employed 800 846 1,143 1,150 1,943 1,996 OO OO Number of Supervisors Employed 20 21 29 29 49 50MARKETING EXPENSES North America Europe-Africa Asia-Pacific Latin America Total $000s $/Pair $000s $/Pair $000s $/Pair $000s $/Pair $000s $/Pair Internet Search Engine Advertising 5,000 25.77 4,500 23.32 4,000 31.50 4,000 21.51 17,500 25.00 Segments Website Maintenance 1,353 6.97 1,357 7.03 1,338 10.54 1,341 7.21 5,389 7.70 Brand Advertising (Note 1) 32 0.16 62 0.32 68 0.54 90 0.48 252 0.36 Celebrity Endorsements (Note 2) 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 Total Internet Marketing 6,385 32.91 5,919 30.67 5,406 42.57 5,431 29.20 23,141 33.06 $000s $/Pair $000s $/Pair $000s $/Pair $000s $/Pair $000s $/Pair Wholesale - Brand Advertising (Note 1) 468 0.17 438 0.32 432 0.53 410 0.48 1,748 0.30 Segments Rebate Redemption 3,523 1.25 1,098 0.80 2,555 3.15 381 0.45 7,557 1.29 On-Time Delivery 1,409 0.50 687 0.50 1,217 1.50 423 0.50 3,736 0.64 Retailer Support 4,250 1.51 4,250 3.10 2,100 2.59 2,100 2.48 12,700 2.17 Celebrity Endorsements (Note 2) 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 Total Wholesale Marketing 9,650 3.42 6,473 4.71 6,304 7.77 3,314 3.92 25,741 4.40 Note 1: Brand advertising expenditures in each region are allocated to the internet and wholesale segments based on each segment's percentage of total branded pairs sold in the region. Note 2: Expenditures for celebrity endorsements are allocated to the internet and wholesale segments based on each segment's percentage of total branded pairs sold in the region.BRANDED MARKET PERFORMANCE INTERNET MARKET PERFORMANCE North America Europe-Africa Asia-Pacific Latin America Total $000s $/Pair $000s $/Pair $000s $/Pair $000s $/Pair $000s $/Pair Gross Revenues from Internet Sales 19,400 100.00 19,300 100.00 12,700 100.00 16,740 90.00 68,140 97.34 + Exchange Rate Adjustments 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 Gross Internet Revenues 19,400 100.00 19,300 100.00 12,700 100.00 16,740 90.00 68,140 97.34 Customer-Paid Shipping Fees 2,425 12.50 2,413 12.50 1,588 12.50 2,325 12.50 8,751 12.50 Net Internet Revenues 21,825 112.50 21,713 112.50 14,288 112.50 19,065 102.50 76,891 109.84 Operating Cost of Pairs Sold 7,691 39.64 8,546 44.28 5,244 41.29 8,952 48.13 30,433 43.48 Costs Warehouse Expenses 2,521 12.99 2,568 13.31 1,746 13.75 2,537 13.64 9,372 13.39 Marketing Expenses 6,385 32.91 5,919 30.67 5,406 42.57 5,431 29.20 23,141 33.06 Administrative Expenses 552 2.85 550 2.85 362 2.85 530 2.85 1,994 2.85 Operating Profit (Loss) 4,676 24.10 4,130 21.40 1,530 12.05 1,615 8.68 11,951 17.07 Year 10 Year 11 Year 10 Year 11 Year 10 Year 11 Year 10 Year 11 Year 10 Year 11 Segment - Pairs Sold (000s) 353 194 300 193 225 127 225 186 1,103 700 Statistics Market Share 8.3% 4.0% 8.3% 4.6% 8.3% 3.9% 8.3% 5.7% 8.3% 4.6% Operating Profit Margin 22.5% 21.4% 17.9% 19.0% 17.5% 10.7% 9.8% 8.5% 17.5% 15.5% WHOLESALE MARKET PERFORMANCE North America Europe-Africa Asia-Pacific Latin America Total $000s $/Pair $000s $/Pair $000s $/Pair $000s $/Pair $000s $/Pair Gross WHolesale Revenues 177,534 63.00 86,499 63.00 56,770 70.00 55,836 66.00 376,639 64.40 + Exchange Rate Adjustments 0 0.00 0 0.00 0 0.00 0 0.00 0.00 Net Wholesale Revenues 177,534 63.00 86,499 63.00 56,770 70.00 55,836 66.00 376,639 64.40 Operating Cost of Pairs Sold 111,713 39.64 60,796 44.28 33,484 41.29 40,715 48.13 246,708 42.19 Costs Warehouse Expenses 10,846 3.85 6,228 4.54 4,250 5.24 4,350 5.14 25,674 4.39 Marketing Expenses 9,650 3.42 6,473 4.71 6,304 7.77 3,314 3.92 25,741 4.40 Administrative Expenses 8,027 2.85 3,913 2.85 2,309 2.85 2,410 2.85 16,659 2.85 Operating Profit (Loss) 37,298 13.24 9,089 6.62 10,423 12.85 5,047 5.97 61,857 10.58 Year 10 Year 11 Year 10 Year 11 Year 10 Year 11 Year 10 Year 11 Year 10 Year 11 Segment - Pairs Sold (000s) 1,997 2,818 1,700 1,373 1,275 811 1,275 846 6,247 5,848 Statistics Market Share 8.3% 10.8% 8.3% 6.1% 8.3% 4.7% 8.3% 4.9% 8.3% 8.0% Operating Profit Margin 18.3% 21.0% 13.3% 10.5% 21.9% 18.4% 9.1% 9.0% 15.6% 16.4%SELECTED FINANCIAL STATISTICS Credit Interest Coverage Ratio (oper. profit + interest exp.) 8.49 Rating Debt to Assets Ratio (total liabilities + total assets) 0.65 Measures Default Risk Ratio (cash flow from ops + principal paymits) 4.11 Risk of Default (see Note 1) Low Credit Rating (at the end of Year 11) B+ Current Ratio (current assets + current liabilities) 0.98 Operating Profit Margin (operating profit + net sales revenues) 16.2% Net Profit Margin (net profit + net sales revenues) 9.9% Dividend Payout (dividends per share + earnings per share) 131.4% Cash Flow from Operations (after-tax profit + depreciation) 65,379 Total Principal Payments ($000s to be paid in Year 11) 15,900 Note 1: A default risk ratio of 4.00 or higher results in a Low default risk, 2.00 to 4.00 results in a Meduim default risk, and below 2.00 results in a High default risk.Financial Year 10 Year 11 EPS (earnings per share) $2.00 $2.28 ROE (return on equity) 20.0 % 22.6 % Stock Price $30.00 $44.02 Credit Rating B B+ Image Rating 70 88 Net Internet 90,315 76,891 Revenues Wholesale 314,731 376,639 ($000s) Private-Label 27,600 O Total 432.646 453,530