Nordstrom 2005 Annual Report Download - page 6

• Personal Book has continued to evolve as a sales tool. This clientele software helps our salespeople track their customers’
personal preferences, giving those who utilize it a more comprehensive service relationship with their customers, resulting in
increased business.
• Markdown Optimization, a new tool implemented last fall, has helped us leverage our Perpetual Inventory System. Simply put,
Markdown Optimization makes recommendations based on the science of retail. If, for example, an item is not moving well, it may
suggest we mark it down sooner than we normally would. So in essence, it gives us another way to analyze our inventory, a huge
dollar investment for our company.
As you can see, there is a lot going on at Nordstrom. Many of the initiatives are long-term in nature, designed to deliver lasting benefits.
Throughout these changes we’ve been incredibly proud of our people and how they’ve adapted to new technology and built on the
momentum of the last few years. In 2005, we were honored to be included among Fortune magazine’s “100 Best Companies to Work For
in America” for the ninth time. We are especially proud of this recognition, as we’ve always strived to create a positive environment for
our employees, one that allows them to deliver great service and achieve their own goals.
Finally, we wish to extend a deep and heartfelt thanks to Bruce and John Nordstrom, both of whom are retiring from the Board of
Directors this year after 40 years of service. As most of you know, these men are part of the third generation leadership team — along
with Jack McMillan and the late Jim Nordstrom — who guided our company from a small Northwest retailer to a leading national specialty
store. These four took the company public in 1971 and continued to share leadership responsibilities for Nordstrom as co-chairmen
until 1995 (Bruce reassumed his position as Chairman of the Board in September 2000). Under their watch, Nordstrom grew from
an $80 million company in 1971 to nearly an $8 billion company today.
Both Bruce and John exemplify the characteristics of their grandfather — and our founder — John W. Nordstrom. Their hard work,
persistence, honesty, competitive spirit and unwavering commitment to the customer not only reflect the highest of standards, but set
examples worth following — and building upon. We’re grateful for their lasting contributions and will continue to call on their expertise
from time to time.
On behalf of our executive team, I’d like to personally thank you for your continued support. We enthusiastically look forward to 2006
as we build on the progress we’ve made toward our goal of being the industry leader.
Blake W. Nordstrom
President, Nordstrom, Inc.