Harris Teeter 2003 Annual Report Download - page 5

Where do we go from here? We are pleased by the success that we have achieved in what has been a
challenging year. Our Harris Teeter supermarkets are recognized as among the best in the industry. We carry
the best and freshest selection of fresh foods including meat and produce, and our associates are well trained
and informed. We believe that we are a leader in the industry for our dedication to customer service and
satisfaction and our selection of both dry grocery and perishable foods distinguishes us from our competition,
both traditional and non-traditional food retailers.
Our A&E thread subsidiary has remained profitable, bucking industry trends, and our foresight and
planning to expand our international presence is paying dividends. Although 2003 was a difficult year, we are
now stronger and better positioned than we were even a year ago.
We remain cautious in our expectations for fiscal 2004 due to the intense competition in the retail grocery
segment and the continued weak business conditions in the domestic textile and apparel segment. Additional
operating efficiencies will be required to offset rising health care and benefit costs.
But we look forward to meeting the challenge. Our associates are committed to providing our customers
with the quality products and excellent service that have been so instrumental in establishing both Harris Teeter
and American & Efird as leaders in their respective industries.
Right now we are focused on fiscal 2004, but we always manage with a long-term perspective. We are
confident that our strategies are sound, that we have a strong team that is committed to these strategies and that
we are executing them properly. Our ability to adapt to changing situations is an important element of our long-
term approach; we try to be prepared for all contingencies and we take the appropriate steps to deal with adversity.
Once again we thank our associates for their contributions to our success in fiscal 2003. We know that it
is through their efforts that we are in position to succeed in fiscal 2004. We also appreciate the support of our
shareholders and believe that managing our company for the long-term is in the best interests of our
shareholders as well as our associates.
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Thomas W. Dickson
President and Chief Executive Officer