Pep Boys 2006 Annual Report Download - page 49

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11
The following table sets forth certain information regarding the owned and leased warehouse space
utilized by the Company for its 593 store locations at February 3, 2007:
Warehouse Locations
Products
Warehoused
Square
Footage
Owned or
Leased
Stores
Serviced States Serviced
San Bernardino, CA . . All 600,000 Leased 164 AZ, CA, NM, NV, UT, WA
McDonough, GA . . . . . All 392,000 Owned 132 AL, FL, GA, LA, NC, PR, SC, TN,
VA
Mesquite, TX . . . . . . . . All 244,000 Owned 81 AR, CO, KS, LA, MO, NM, OK, TX
Plainfield, IN. . . . . . . . . All 403,000 Leased 79 IL, IN, KY, MI, MN, NY, OH, PA,
TN, VA
Chester, NY . . . . . . . . . All 400,400 Leased 137 CT, DE, MA, MD, ME, NH, NJ,
NY, PA, RI, VA
Middletown, NY. . . . . . All except
tires
90,000 Leased — This facility does not ship directly to
stores
McDonough, GA . . . . . All except
tires
150,000 Leased — This facility does not ship directly to
stores
Total................ 2,279,400 593
In addition to the above distribution centers, the Company is testing the operation of six satellite
warehouses. These satellite warehouses stock approximately 32,000 SKUs and serve an average of 12-15
stores, in addition to having retail capabilities. Four of these locations were leased and comprised 78,700
square feet, while two were located in existing owned locations. Concurrently, during 2006, the Company
reduced its outside storage space to provide temporary storage of merchandise items from approximately
1,000,000 to 100,000 aggregate cubic feet. The Company anticipates that its existing and future warehouse
space and its access to outside storage will accommodate inventory necessary to support future store
expansion and any increase in stock-keeping units through the end of fiscal 2007.
ITEM 3 LEGAL PROCEEDINGS
The Company is party to various actions and claims, including purported class actions, arising in the
normal course of business. The Company believes that amounts accrued for awards or assessments in
connection with such matters are adequate and that the ultimate resolution of these matters will not have a
material adverse effect on the Company’s financial position, results of operations or cash flows.
ITEM 4 SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
No matters were submitted to a vote of security holders, through the solicitation of proxies or
otherwise, during the fourth quarter of the fiscal year ended February 3, 2007.