Reebok 2015 Annual Report Download - page 265

ADDITIONAL INFORMATION
Glossary
261
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/ G
GENDERDAX
An industry- and science-based gender and diversity project,
including a ranking of German companies which are committed
to actively supporting highly qualified and career-oriented women
within their human resource and diversity management.
GERMAN CO-DETERMINATION ACT
MITBESTIMMUNGSGESETZ – MITBESTG
An act that governs the form of co-determination of employees in
corporations employing more than 2,000 employees. It stipulates,
among other things, that such a corporation’s Supervisory
Board must be composed of an equal number of employee and
shareholder representatives.
GOODWILL
Intangible asset that quantifies the price that a buyer of a company
has paid for the reputation, know-how and market position of the
acquired company. Goodwill is the excess of the amount paid over
the fair value of the net assets acquired at the purchase date. It is
stated at cost and tested for impairment annually or on such other
occasions that events or changes in circumstances indicate that
it might be impaired.
GREEN GRASS RETAILERS
Golf distribution channel. Small golf specialty shops typically
located at a golf course.
/ H
HARDWARE
A product category which comprises equipment that is used rather
than worn by the consumer, such as bags, balls, fitness equipment,
golf clubs and hockey sticks.
/ L
LGBT
An acronym that stands for lesbian, gay, bisexual and transgender.
LICENSEDAPPAREL
Apparel products which are produced and marketed under a licence
agreement. The adidas Group has licence agreements with several
associations (e.g. FIFA, UEFA), leagues (e.g. NBA, NHL), teams (e.g.
Bayern Munich, Manchester United, Real Madrid) and universities
(e.g. UCLA, Arizona State University, University of Miami).
LICENSEES
Companies that have the authorisation to use the name of a brand
or business for the production and sale of products. For example,
for adidas, licensed products include cosmetics, watches and
eyewear, for Reebok, fitness equipment.
LIQUIDITY I, II, III
The liquidity ratio indicates how quickly a company can liquidate
its assets to pay for current liabilities.
/ M
MARKETING INVESTMENTS
Promotion and communication spending including sponsorship
contracts with teams and individual athletes, as well as advertising,
events and other communication activities, but excluding marketing
overhead expenses.
/ N
NETCASH/NET BORROWINGS
Net cash is when the sum of cash and short-term financial assets
exceeds gross borrowings. Net borrowings is the portion of gross
borrowings not covered by the sum of cash and short-term financial
assets.
NET PROMOTER SCORE NPS
A survey-based measure of how likely people are to recommend a
brand. The survey is based on one single question to consumers:
‘How likely are you to recommend this brand to your friends?’,
which can be answered within a scale from 0 to 10. Promoters are
consumers giving the brand a 9 or 10 rating, while detractors are
those between a 0 and 6 rating. The NPS is the difference between
promoters and detractors measured in percentage points.
NON-CONTROLLING INTERESTS
Part of net income or equity which is not attributable to the
shareholders of the reporting company as it relates to outside
ownership interests in subsidiaries that are consolidated with the
parent company for financial reporting purposes.
Liquidity III
Cash + short-term financial assets +
accounts receivable + inventories
= × 100
current liabilities
Liquidity II
Cash + short-term financial assets +
accounts receivable
= × 100
current liabilities
Liquidity I Cash + short-term financial assets
= × 100
current liabilities
Net cash/net borrowings =
cash and cash equivalents
+ short-term financial assets
– short-term borrowings
– long-term borrowings