Full Description

NIKE, Inc. (NIKE), incorporated in 1968, is engaged in the design, development and worldwide marketing of footwear, apparel, equipment, and accessory products. NIKE sells athletic footwear and athletic apparel. It sells its products to retail accounts, through NIKE-owned retail, including stores and Internet sales, and through a mix of independent distributors and licensees, in over 170 countries around the world. Running, training, basketball, soccer, sport-inspired casual shoes, and Kid’s shoes are its footwear categories. It also markets shoes designed for aquatic activities, baseball, cheerleading, football, golf, lacrosse, outdoor activities, skateboarding, tennis, volleyball, walking, wrestling, and other athletic and recreational uses. It sells a line of performance equipment under the NIKE brand name, including bags, socks, sport balls, eyewear, timepieces, electronic devices, bats, gloves, protective equipment, golf clubs, and other equipment designed for sports activities. It also sells various plastic products to other manufacturers through its wholly owned subsidiary, NIKE IHM, Inc. In addition to the products it sells directly to customers, the Company has entered into license agreements that permit unaffiliated parties to manufacture and sell various apparel, equipment and accessory items, such as swimwear, children’s apparel, training equipment, eyewear, electronic devices and golf accessories.

The Company’s wholly owned subsidiary, Cole Haan (Cole Haan) designs and distributes dress and casual footwear, apparel and accessories for men and women under the brand names Cole Haan and Bragano. Its wholly owned subsidiary, Converse Inc. (Converse) designs, distributes, and licenses athletic and casual footwear, apparel and accessories under the Converse, Chuck Taylor, All Star, One Star and Jack Purcell trademarks. The Company’s wholly owned subsidiary, Hurley International LLC (Hurley) designs and distributes a line of action sports apparel for surfing, skateboarding, and snowboarding, youth lifestyle apparel, and accessories under the Hurley trademark. Its wholly owned subsidiary Umbro Ltd. (Umbro), designs, distributes and licenses athletic and casual footwear, apparel and equipment, primarily for the sport of soccer, under the Umbro trademarks.

During the fiscal year ended May 31, 2009 (fiscal 2009), sales in the United States, including United States sales of Cole Haan, Converse, Hurley, Umbro and NIKE Golf accounted for approximately 42% of total revenues. NIKE’s three United States distribution centers for footwear are located in Memphis, Tennessee. In fiscal 2009, non-United States sales (including non-United States sales of Cole Haan, Converse, Hurley, Umbro, and NIKE Golf) accounted for 58% of total revenues.

The Company competes with Adidas and Puma.