Columbia Sportswear 2010 Annual Report Download - page 9

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key markets, coupled with challenging supply chain capacity constraints, has reduced the predictability of our
business. In addition, our fourth quarter results are more variable because they rely more heavily on fall weather
patterns which can stimulate wholesale customer reorders or, conversely, result in cancellations.
For further discussion regarding the effects of the macro-economic environment on our business, see Part II,
Item 7, Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Products
We provide high quality apparel, footwear, accessories and equipment for use in a wide range of outdoor
activities by men, women and youth, designed to keep the consumer warm or cool, dry and protected. A large
percentage of our products are also worn for casual or leisure purposes. The durability, functionality and
affordability of our products make them ideal for a wide range of outdoor activities. Our products serve a broad
range of consumers including elite mountain climbers, winter outdoor enthusiasts, hunting and fishing
enthusiasts, top endurance trail runners, and outdoor-inspired consumers. We also market licensed collegiate
apparel and accessories under our Columbia brand.
We develop and manage our merchandise in four principal categories: (1) outerwear, (2) sportswear,
(3) footwear and (4) accessories and equipment. The following table presents the net sales and approximate
percentages of net sales attributable to each of our principal product categories for each of the last three years
ended December 31 (dollars in millions):
2010 2009 2008
Net Sales % of Sales Net Sales % of Sales Net Sales % of Sales
Outerwear .................. $ 560.8 37.8% $ 482.5 38.8% $ 491.7 37.3%
Sportswear ................. 555.8 37.5 472.5 38.0 540.9 41.0
Footwear ................... 270.2 18.2 214.6 17.2 217.2 16.5
Accessories and equipment .... 96.7 6.5 74.4 6.0 68.0 5.2
Total .................. $1,483.5 100.0% $1,244.0 100.0% $1,317.8 100.0%
Outerwear
We design, develop, market and distribute outerwear products for men, women and youth under our
Columbia and Mountain Hardwear brands. Outerwear is our most established and iconic product category, and
incorporates the cumulative design, fabrication, fit and construction technologies that we have pioneered over
several decades and that we continue to innovate. Our outerwear is designed to protect the wearer from the
harsher inclement weather commonly encountered in fall and winter outdoor activities, such as skiing,
snowboarding, hiking, hunting, fishing and adventure travel.
Sportswear
We design, develop, market and distribute sportswear products for men, women and youth under our Columbia
and Mountain Hardwear brands. Our sportswear products incorporate various fabrication and construction
technologies that protect consumers from the outdoor elements and enable consumers to enjoy the outdoors longer
and in greater comfort year round. Our sportswear products are designed to be worn as a layering system with our
outerwear and footwear products during fall and winter outdoor activities, or individually during milder weather
commonly encountered during spring and summer outdoor activities such as hiking, fishing, trail running and water
sports. Mountain Hardwear-branded sportswear consists primarily of performance apparel designed for
mountaineering, backpacking, rock climbing and adventure sports. Our Columbia and Mountain Hardwear
sportswear product assortments also include casual styles designed to appeal to a broader consumer base.
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