Best Buy 2002 Annual Report Download - page 6

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4Letter to Shareholders
Specifically, where might our
leadership take us in the future?
•New markets, including approximately
240 more Best Buy stores, as we fill out
our U.S. presence; up to 800 additional
small-market Sam Goody stores, which
serve a new, rural consumer; new stores in
Canada, as we launch the Best Buy brand
in that market and expand our Future Shop
position; and up to 130 more Magnolia
Hi-Fi stores for affluent consumers, building
on our West Coast presence.
•New levels of sales productivity, particu-
larly at our Musicland stores, where we
expect to sharpen our focus on entertain-
ment for the young, fun consumer.
•New products and services for existing
customers at all of our stores, as we take
advantage of the expanding digital
product cycle.
•New levels of financial performance,
including operating margin expansion at
all of our stores.
•New countries, whether we enter through
acquisition or organic growth.
Ultimately, our goal is to extend our leadership
to become the top specialty retailer in the world.
I announced this spring my intention to step
aside as CEO effective in June 2002,
triggering a succession plan developed some
time ago. I am proud to say that I have
developed a top-notch team of executives to
take the helm, including several Best Buy
veterans. My confidence in them will enable
me to balance my life, pursue special interests
and spend time developing Best Buy’s future
leaders as well as working with management
on long-range growth prospects. I intend to
stay active as Chairman of the Board of the
company I founded, of which I remain our
single largest shareholder.
I consider Best Buy to be my best investment.
In the last five years, our stock provided
the highest total return to shareholders of
all stocks in the S&P 500. Our goal is
to continue providing to shareholders top-
quartile performance, with revenues and
earnings growth of 1
7
to 21 percent annually.