OfficeMax 2014 Annual Report Download - page 7

Table of Contents
The International Division sells office products and services through direct mail catalogs, contract sales forces, Internet sites and retail stores, primarily
through Company-owned operations, but also through joint ventures, and to a lesser extent, licensing and franchise agreements, alliances and other
arrangements. We also offer copy and print services to our customers in Europe through our e-commerce business and certain retail locations. Refer to the
“Merchandising” section below for additional product information.
As of December 27, 2014, the International Division sold to customers in 54 countries throughout Europe, Asia/Pacific, and Latin America. Outside of North
America, the Company operates wholly-owned entities and participates in other ventures covering 27 countries and has alliances in an additional 27
countries.
As of December 27, 2014, the International Division operated, through wholly-owned entities, 146 retail stores in France, South Korea, Sweden, New
Zealand, and Australia. In addition, we participate in the retail business under licensing and merchandise arrangements in certain countries in Latin America,
in Europe, Israel, and Japan.
In August 2014, the Company completed the sale of its 51% capital stock interest in Grupo OfficeMax S. de R.L. de C.V. and related entities (together,
“Grupo OfficeMax”), the former OfficeMax business in Mexico, to its joint venture partner. Refer to Part II — Item 7. “MD&A” for additional information.
The Company maintains DCs and call centers throughout Europe and Asia/Pacific to support these operations. Refer to Part I — Item 2. “Properties” for
additional information on the International Division stores and DCs count and Part II — Item 7. “MD&A” for stores activity.
The International Division has separate regional headquarters for Europe in The Netherlands and for Asia in Hong Kong.
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Our merchandising strategy is to meet our customers’ needs by offering a broad selection of country and regional branded office products, as well as our own
branded products and services. The selection of our own branded products has increased in breadth and level of sophistication over time. We currently offer
products under various labels, including Office Depot , OfficeMax , Foray , Ativa , TUL , Realspace , WorkPro , Brenton Studio , Highmark , Grand &
Toy and Viking Office Products .
We classify our products into three categories: (1) supplies, (2) technology, and (3) furniture and other. The supplies category includes products such as
paper, binders, writing instruments, and school supplies. The technology category includes products such as desktop and laptop computers, monitors, tablets,
printers, ink and toner, cables, software, digital cameras, telephones, and wireless communications products. The furniture and other category includes
products such as desks, chairs, luggage, sales in our copy and print centers, and other miscellaneous items.
Total Company sales by product group were as follows:
 2013* 2012
Supplies   46.6% 45.8%
Technology   40.6% 41.8%
Furniture and other   12.8% 12.4%
  100.0% 100.0%
* Amounts include the OfficeMax sales since November 5, 2013.
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