Columbia Sportswear 2010 Annual Report Download - page 12

We distribute the majority of our products sold to United States wholesale customers and our own retail
stores from distribution centers that we own and operate in Portland, Oregon and Robards, Kentucky. In some
instances, we arrange to have products shipped from the independent factories that manufacture our products
through third party logistics vendors and/or directly to customer-designated facilities in the United States.
LAAP
The LAAP region accounted for 17.7% of our net sales for 2010. We sell our products in the LAAP region
to approximately 270 wholesale customers in Japan and Korea and to approximately 14 independent distributors
that sell to approximately 1,100 wholesale customers in locations throughout the LAAP region, including
Australia, New Zealand, Latin America and Asia. In addition, as of December 31, 2010, we operated 40 branded
retail stores and 13 outlet retail stores in Japan and Korea within our LAAP region. We also sell Columbia,
Mountain Hardwear, Sorel and Montrail products through e-commerce websites in Japan and Korea. In addition,
we earn licensing income in our LAAP region based on our distributors’ sale of licensed products.
We distribute our products to wholesale customers, our own retail stores and licensed stores in Japan
through an independent logistics company that owns and operates a warehouse located near Tokyo, Japan. We
distribute our products to wholesale customers, our own retail stores and licensed stores in Korea from a leased
warehouse near Seoul, Korea. The majority of sales to our LAAP distributors are shipped directly from the
independent factories that manufacture our products.
EMEA
Sales in our EMEA region accounted for 15.0% of our net sales for 2010. We sell our products in the
EMEA region to approximately 4,700 wholesale customers and to approximately 13 independent distributors that
sell to approximately 800 wholesale customers in locations throughout the EMEA region, including Russia,
portions of Europe, the Middle East and Africa. In addition, as of December 31, 2010, we operated 7 outlet retail
stores and 3 branded retail stores in various locations in Western Europe.
We distribute the majority of our products sold to EMEA wholesale customers and our own retail stores
from a distribution center that we own and operate in Cambrai, France. The majority of sales to our EMEA
distributors are shipped directly from the independent factories that manufacture our products.
Canada
Sales in Canada accounted for 7.9% of our net sales for 2010. We sell our products in Canada to
approximately 1,300 wholesale customers. In addition, as of December 31, 2010, we operated two outlet retail
stores in Canada.
We distribute the majority of our products sold to Canadian wholesale customers through two distribution
centers in Strathroy, Ontario. We lease one of these facilities and own the other facility. In some instances, we
arrange to have products shipped directly from the independent factories that manufacture our products to
customer-designated facilities in Canada.
Marketing
We believe our brand names and trademarks provide a competitive advantage and help to differentiate our
products in the marketplace. Marketing programs are an integral part of our global strategy to build brand equity,
raise global brand relevance and awareness, infuse our brands with excitement and stimulate consumer demand
for our products worldwide. During 2010, the cost of our marketing programs represented approximately 5.3% of
net sales.
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