Cabela's 2012 Annual Report Download - page 40

Download and view the complete annual report

Please find page 40 of the 2012 Cabela's 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 135

  • 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
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135

30
ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
The following discussion and analysis of financial condition, results of operations, liquidity, and capital
resources should be read in conjunction with our audited consolidated financial statements and notes thereto
appearing elsewhere in this report.
Forward Looking Statements – Our discussion contains forward-looking statements with respect to our
plans and strategies for our businesses and the business environment that are impacted by risks and uncertainties.
Refer to “Special Note Regarding Forward-Looking Statements” preceding PART I, ITEM 1, and to ITEM 1A
“Risk Factors” for information regarding certain of the risks and uncertainties that affect our business and the
industries in which we operate. Please note that our actual results may differ materially from those we may
estimate or project in any of these forward-looking statements.
Cabela’s®
We are a leading specialty retailer, and the world’s largest direct marketer, of hunting, fishing, camping, and
related outdoor merchandise. We provide a quality service to our customers who enjoy an outdoor lifestyle by
supplying outdoor products through our omni-channel retail business consisting of our Retail and Direct segments.
As of the end of 2012, our Retail business segment consisted of 40 stores, including the six stores that we opened
during 2012 in:
• Wichita, Kansas, on March 14, 2012,
• Tulalip, Washington, on April 19, 2012,
• Saskatoon, Saskatchewan, Canada, on May 10, 2012,
• Charleston, West Virginia, on August 9, 2012,
• Rogers, Arkansas, on August 30, 2012, and
• our first Outpost store in Union Gap, Washington, on October 4, 2012.
We have 37 stores located in the United States and three in Canada with total retail square footage of
5.1 million square feet at the end of 2012. Our Direct business segment is comprised of our highly acclaimed
Internet website and supplemented by our catalog distributions as a selling and marketing tool.
World’s Foremost Bank (“WFB”, “Financial Services segment”, or “Cabela’s CLUB”) also plays an integral
role in supporting our merchandising business. The Financial Services segment is comprised of our credit
card services which reinforces our strong brand and strengthens our customer loyalty through our credit card
loyalty programs.