OfficeMax 2007 Annual Report Download - page 8

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national accounts that rely on us to deliver consistent products, prices and services to multiple
locations as well as medium and small businesses at a competitive cost.
We believe our OfficeMax, Retail segment competes favorably based on the quality of our
customer service, our innovative store formats, the breadth and depth of our merchandise offering
and our everyday low prices, along with our specialized service offerings, including OfficeMax
ImPress.
Inflationary and Seasonal Influences
We believe that neither inflation nor deflation has had a material effect on our financial
condition or results of operations; however, there can be no assurance that we will not be affected
by inflation or deflation in the future.
The Company’s business is seasonal, with OfficeMax, Retail showing a more pronounced
seasonal trend than OfficeMax, Contract. Sales in the second quarter and summer months are
historically the slowest of the year. Sales are stronger during the first, third and fourth quarters that
include the important new-year office supply restocking month of January, the back-to-school period
and the holiday selling season, respectively.
Environmental Matters
Our discussion of environmental matters is presented under the caption ‘‘Environmental’’ in
‘‘Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations’’
of this Form 10-K. In addition, certain environmental matters are discussed under ‘‘Item 3. Legal
Proceedings’’ of this Form 10-K.
Capital Investment
Information concerning our capital expenditures is presented under the caption ‘‘Investment
Activities’’ and in the table entitled ‘‘2007 Capital Investment by Segment’’ in ‘‘Item 7.
Management’s Discussion and Analysis of Financial Condition and Results of Operations’’ of this
Form 10-K.
Acquisitions and Divestitures
We engage in acquisition and divestiture discussions with other companies and make
acquisitions and divestitures from time to time. It is our policy to review our operations periodically
and to dispose of assets that do not meet our criteria for return on investment, or cease to warrant
retention for other reasons.
Geographic Areas
Our discussion of financial information by geographic area is presented in Note 16, Segment
Information, of the Notes to Consolidated Financial Statements in ‘‘Item 8. Financial Statements and
Supplementary Data’’ of this Form 10-K.
Identification of Executive Officers
Information with respect to our executive officers is set forth in ‘‘Item 10. Directors and
Executive Officers of the Registrant’’ of this Form 10-K.
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