Polaris 2008 Annual Report Download - page 37

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dealers in North America and seven subsidiaries and 43 distributors in approximately 130 countries outside of North
America. International sales grew 18 percent in 2008 compared to 2007.
During 2008, the Company repurchased and retired 2.5 million shares of its common stock for a total of
$107.2 million. Since inception of the share repurchase program in 1996, approximately 33.7 million shares have
been repurchased. As of December 31, 2008, the Company has authorization from its Board of Directors to
repurchase up to an additional 3.8 million shares of Polaris stock.
On January 22, 2009, the Company announced that its Board of Directors approved a three percent increase in
the regular quarterly cash dividend to $0.39 per share per quarter, representing the 14th consecutive year of
increased dividends.
Results of Operations
Sales:
Sales were $1,948.3 million for total year 2008, a nine percent increase from $1,780.0 million in sales for the
same period in 2007.
The following table is an analysis of the percentage change in total Company sales for 2008 compared to 2007
and 2007 compared to 2006:
2008 vs. 2007 2007 vs. 2006
Percent Change in Total
Company Sales for the Years
Ended December 31
Volume................................................. ⫺2% 2%
Product mix and price ...................................... 11% 3%
Currency ............................................... 0% 2%
9% 7%
Volume for the full year 2008 decreased two percent compared to the same period last year as the Company
shipped fewer core ATVs and Victory motorcycles to dealers given the continued weak core ATV industry and
heavy weight cruiser and touring segment of the motorcycle industry. The lower shipments of core ATVs and
Victory motorcycles during 2008 were partially offset by higher shipments of RANGER
TM
side-by-side vehicles,
snowmobiles and increased PG&A sales. Product mix and price increased for 2008 compared to 2007 primarily due
to the positive benefit of a greater number of side-by-side vehicles sold to dealers, which typically have a higher
selling price than core ATVs, and select selling price increases on several of the new model year 2009 products.
Volume for the full year 2007 increased two percent compared to 2006 as the Company experienced higher
shipments of RANGER
TM
side-by-side vehicles and increased PG&A sales during 2007 compared to 2006 partially
offset by fewer shipments of core ATVs given the continued weak core ATV industry. Product mix and price
increased for 2007 compared to 2006 primarily due to the positive benefit of a greater number of side-by-side
vehicles sold to dealers, which typically have a higher selling price than core ATVs. Currency rate changes
increased sales by two percent for the full year 2007 compared to 2006 due to the positive impact of the Canadian
dollar and the Euro.
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