Abercrombie & Fitch 2011 Annual Report Download - page 5

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abercrombie kids. The essence of privilege and prestigious East Coast prep schools, abercrombie
kids directly follows in the footsteps of Abercrombie & Fitch. With an energetic attitude, abercrombie kids
are popular, wholesome and athletic. Casual, with classic, preppy style, abercrombie kids aspire to be like
their older sibling, Abercrombie & Fitch. The perfect combination of maturity and mischief, abercrombie
kids are the signature of All-American cool.
Hollister. Hollister is the fantasy of Southern California. It’s all about hot lifeguards and beautiful
beaches. Young and fun, with a sense of humor, Hollister never takes itself too seriously. Hollister’s
laidback lifestyle and All-American image is timeless and effortlessly cool. Hollister brings Southern
California to the world.
Gilly Hicks. Gilly Hicks is the cheeky cousin of Abercrombie & Fitch. Inspired by the free spirit of
Sydney, Australia, Gilly Hicks makes the hottest Push ‘Em Up bras and the cutest Down Undies for young,
naturally beautiful, confident girls. Carefree and undeniably pretty, Gilly Hicks is the All-American brand
with a Sydney sensibility.
Though each of the Company’s brands embodies its own heritage and handwriting, the brands share
common elements and characteristics. The brands are classic, casual, confident, intelligent, privileged and
possess a sense of humor.
Refer to the “FINANCIAL SUMMARY” in “ITEM 7. MANAGEMENT’S DISCUSSION AND
ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS” of this Annual Report
on Form 10-K for information regarding net sales and other financial and operational data by segment and
by brand.
F
INANCIAL
I
NFORMATION ABOUT
S
EGMENTS
.
The Company determines its segments on the same basis that it uses to evaluate performance. In
connection with international expansion, the way the Company allocates resources and assesses
performance has changed. All of the Company’s segments sell a similar group of products — casual
sportswear apparel, personal care products and accessories for men, women and kids and bras, underwear
and sleepwear for women. The Company has three reportable segments, U.S. Stores, International Stores
and Direct-to-Consumer. Refer to Note 2, “Segment Reporting,” of the Notes to Consolidated Financial
Statements included in “ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA” of this
Annual Report on Form 10-K for further discussion of the Company’s reportable segments.
I
N
-S
TORE
E
XPERIENCE AND
S
TORE
O
PERATIONS
.
The Company views the customer’s in-store experience as the primary means for communicating the
spirit of each brand. The Company emphasizes the senses of sight, sound, smell, touch and energy by
utilizing the visual presentation of merchandise, in-store marketing, music, fragrances, rich fabrics and its
sales associates to reinforce the aspirational lifestyles represented by the brands.
The Company’s in-store marketing is designed to convey the principal elements and personality of
each brand. The store design, furniture, fixtures and music are all carefully planned and coordinated to
create a shopping experience that reflects the Abercrombie & Fitch, abercrombie kids, Hollister or Gilly
Hicks lifestyle.
The Company’s sales associates and managers are a central element in creating the atmosphere of the
stores. In addition to serving customers, sales associates and managers reflect the casual, energetic and
aspirational attitude of the brands.
2