Overstock.com 2006 Annual Report Download - page 12

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Please find page 12 of the 2006 Overstock.com 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.

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Each of these departments has multiple categories that more specifically define the products offered within that department. For
example, the "Electronics" tab has the following product categories currently within the "Electronics & Computers" department:
Audio & Video Computers & Hardware
Cameras & Optics Cellular Phones
Telephones Monitors
Printers & Scanners Home Office Equipment
New Arrivals Clearance
Each category has several subcategories that further detail the product contained within. For example, under the "Computers &
Hardware" category, we have the following subcategories:
Computers PDA & Handhelds
Computer Accessories Hard Drives
Upgrades More
Individual products can be accessed and viewed from the category or subcategory pages. These specific product pages include
detailed product descriptions, a color picture and pricing information.
The number of total products we offer has grown from less than 100 in 1999, to more than 36,000 non-BMMG products and
almost 500,000 BMMG products (books, magazines, CDs, DVDs, video cassettes and video games) as of December 31, 2006. As the
number of products and product categories change throughout the year, we periodically reorganize our departments and/or categories
to better reflect our current product offerings.
Our Worldstock Handcraft link found under the "Other Stores" tab is our socially-responsible, Internet marketplace through
which artisans in the United States and around the world can sell their products and gain access to a broader market.
Fulfillment Operations
General. When customers place orders on our Websites, orders are fulfilled either by a third-party fulfillment partner or directly
from our warehouses in Salt Lake City, Utah or our outsourced warehouses in Plainfield, Indiana. We monitor all of these sources for
accurate order fulfillment and timely shipment. We currently charge $2.95 per order for basic ground shipping, but customers can
choose from various expedited shipping services at their expense.
Payment Terms. Generally, we require verification of receipt of payment or credit card authorization (including verifications
from BillMeLater) before we ship products to consumers or business purchasers. From time to time we grant credit to our business
purchasers with normal credit terms (typically 30 days).
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