Foot Locker 2011 Annual Report Download - page 52

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Recent Accounting Pronouncements
In September 2011, the FASB issued ASU No. 2011-08, Testing Goodwill for Impairment, that is effective in
2012. The revised standard is intended to reduce cost and complexity of the annual goodwill impairment
test by providing entities an option to perform a qualitative assessment to determine whether further
impairment testing is necessary. We do not believe that the adoption of this ASU will have a significant
effect on our results of operations or financial position.
Other recently issued accounting pronouncements did not, or are not believed by management to, have a
material effect on the Company’s present or future consolidated financial statements.
Disclosure Regarding Forward-Looking Statements
This report contains forward-looking statements within the meaning of the federal securities laws. Other
than statements of historical facts, all statements which address activities, events, or developments that
the Company anticipates will or may occur in the future, including, but not limited to, such things as future
capital expenditures, expansion, strategic plans, financial objectives, dividend payments, stock
repurchases, growth of the Company’s business and operations, including future cash flows, revenues, and
earnings, and other such matters, are forward-looking statements. These forward-looking statements are
based on many assumptions and factors which are detailed in the Company’s filings with the Securities and
Exchange Commission, including the effects of currency fluctuations, customer demand, fashion trends,
competitive market forces, uncertainties related to the effect of competitive products and pricing,
customer acceptance of the Company’s merchandise mix and retail locations, the Company’s reliance on a
few key vendors for a majority of its merchandise purchases (including a significant portion from one key
vendor), pandemics and similar major health concerns, unseasonable weather, further deterioration of
global financial markets, economic conditions worldwide, further deterioration of business and economic
conditions, any changes in business, political and economic conditions due to the threat of future terrorist
activities in the United States or in other parts of the world and related U.S. military action overseas, the
ability of the Company to execute its business and strategic plans effectively with regard to each of its
business units, and risks associated with global product sourcing, including political instability, changes in
import regulations, and disruptions to transportation services and distribution.
For additional discussion on risks and uncertainties that may affect forward-looking statements, see ‘‘Risk
Factors’’ in Part I, Item 1A. Any changes in such assumptions or factors could produce significantly
different results. The Company undertakes no obligation to update forward-looking statements, whether
as a result of new information, future events, or otherwise.
Item 7A. Quantitative and Qualitative Disclosures About Market Risk
Information regarding foreign exchange risk management is included in the Financial Instruments and Risk
Management note under ‘‘Item 8. Consolidated Financial Statements and Supplementary Data.’’
Item 8. Consolidated Financial Statements and Supplementary Data
32