Columbia Sportswear 1998 Annual Report Download - page 5

Columbia’s outerwear protects people from inclement weather in a
variety of outdoor activities. Our outerwear line includes skiwear,
snowboard apparel, hunting and fishing apparel, golf outerwear,
and youth outerwear. Many of the jackets incorporate our revolu-
tionary Interchange System™, which we introduced in 1982 and
features a three or four-in-one design. The Interchange System
typically combines a durable, nylon outershell with a removable,
zip-out liner, allowing customers to wear the outershell and the liner
separately or together. This layered system provides customers
with a jacket for all seasons and weather conditions at a reasonable
price. Outerwear, our most established product category, repre-
sented 60.2 percent of sales for 1998. We intend to use this leading
US market position as a foundation upon which to grow our
international business.
Columbia’s year-round sportswear collection defines authentic
outdoors, combining active apparel with fashion appeal for men,
women and children. The expansive line includes shirts, shorts,
pants, vests, tees, and fleece and pile garments. The collection fea-
tures a variety of active and performance fabrics. Our sportswear
products are designed to look great with our outerwear and rugged
footwear products as part of our unified head-to-toe outfitting
concept. For example, fleece and pile products are merchandised
to provide a bridge to the outerwear products.
In 1993, we targeted sportswear as a growth opportunity,
recognizing that the global market for sportswear was significantly
larger than the global market for outerwear. Building on a founda-
tion of authentic fishing and hunting shirts, and drawing on our
expertise in producing value-oriented outerwear, we rapidly
expanded our sportswear product offering, resulting in sportswear
sales increasing as a percentage of net sales from 14.8 percent for
1993 to 27.9 percent for 1998.
OUTERWEAR SPORTSWEAR
THE PRODUCT MIX
Our newest product category, rugged footwear, was introduced in
1993. The rugged footwear collection embodies the active outdoor
lifestyle. This category consists primarily of active all-weather
and performance outdoor products featuring innovative technical
designs that incorporate waterproof/breathable constructions, ther-
mal insulation, advanced cushioning systems and high abrasion, slip
resistant outsoles offered at moderate price points. Several styles
are offered within each of the following classifications: All-Weather,
Active Outdoor, Performance Outdoor and Classic Columbia Comfort.
The success of the introduction demonstrates our ability to expand
our head-to-toe merchandising assortment to leverage our reputa-
tion as a provider of durable, comfortable outdoor apparel. Rugged
footwear as a percentage of net sales increased from 0.6 percent in
1993 to 7.5 percent in 1998.
RUGGED FOOTWEAR
For the outdoor enthusiast, protection from the elements is
a vital part of any outdoor endeavor. Columbia’s accessory line
provides important snow, sun and rain protection as well as total
comfort. Waterproof/breathable hats and gloves, basic ball caps and
visors, casual cotton and straw hats, and popular multi-purpose
packs complete the collection. And best of all, they coordinate
with our sportswear and outerwear collections in both style and
function.
ACCESSORIES