Aarons 2006 Annual Report Download - page 5

Download and view the complete annual report

Please find page 5 of the 2006 Aarons annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 48

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48

3
We significantly strengthened our balance sheet in 2006
with an equity offering which raised $84 million in new
capital, allowing us to pay down bank borrowings. We also,
for the third consecutive year, increased our cash dividend
to shareholders.
At December 31, 2006, we had open 828 Company-operated
sales and lease ownership stores, 441 franchised stores,
17 RIMCO stores and 59 corporate furnishings stores, for a
total of 1,345 stores.
We believe Aaron Rents has considerable further growth
potential, both in geographic reach and market share.
Our attractive stores, broad product mix, lower total cost
of ownership, flexible payment methods, and national
advertising bring new as well as existing customers to
our stores. We will use these competitive advantages
to continue our rapid expansion. Our plan is to add 250
stores in 2007, a combination of Company-operated and
franchised stores. The depth of our management team
gives us great confidence in our ability to meet our goals.
We were pleased to elect John C. Portman, Jr., Chairman
and Chief Executive Officer of Portman Holdings, Inc.,
Chairman of AMC, Inc., and Founder and Chairman of
John Portman & Associates to our Board of Directors in
2006. Mr. Portman is a world-renowned architect and
commercial real estate developer. His experience and
insights will serve us well. During 2006, we promoted
D. Chad Strickland to Vice President of Employee Relations.
Chad joined Aaron Rents in 2002 as Senior Legal Counsel.
Elizabeth L. Gibbs joined the Company in 2006 as General
Counsel, having served most recently as a corporate counsel
for a major public retailer.
Aaron Rents has come a long way over the past 51 years
and the future is bright. The Company’s success is due
to the hard work and dedication of our associates, our
franchisees, our business partners, and the support
of our shareholders.
Sincerely,
R. Charles Loudermilk, Sr.
Chairman and Chief Executive Officer
Robert C. Loudermilk, Jr.
President and Chief Operating Officer