July 21, 2006

A week in the world of

FIRST, WE TAKE MANHATTAN

Roots designers immerse themselves in a mix of styles in New York

Issue 48 – July 21, 2006

IN THE SPIRIT OF ROOTS Campaign to launch new Roots fragrance takes shape

ON LOCATION

The latest in the ever-growing relationship between Roots and Hollywood

GOOD SOUNDS IN MANITOBA Roots and music go well together in Winnipeg

1

THE SPIRIT OF A WINNING CAMPAIGN Eye-catching images to propel launch of new men’s fragrance LIGHTS, CAMERA, ROOTS!

The latest in the everexpanding relationship between Roots and Hollywood producers

FIRST, WE TAKE MANHATTAN

Roots designers visit New York for added inspiration

IN THE HEAT OF THE WEEKEND

New outlet store opens in Thunder Bay

SKIPPING TO THE BEAT

Canadian team at international competition outfitted by Roots

IN THE BAG

Making things easier for Outlet shoppers

MAKING GOOD SOUNDS IN THE PEG Great music and Roots go together well in Manitoba

STRATTLING SEASONS New designs for that time of year

Departments FRESH INK NEW AND NOTEWORTHY SPREADING THE WORD UP FRONT GREEN TIPS HEALTH TIPS SPECIAL DELIVERY

Publishers Michael Budman, Don Green Editor Robert Sarner Editorial Assistant Paulomi Patel The Source is published every week by Roots Canada Ltd. We welcome letters from readers for publication. Please address all correspondence to The Source, Letters to the Editor, Roots Canada, 1400 Castlefield Ave., Toronto, Ontario, M6B 4CR or by email to rsarner@roots.com Letters may be edited for length and clarity.

Each issue of The Source is also available, in an abridged version, on the Roots website at www.roots.com

Next month, Roots will launch a new fragrance for men. It’s part of the successful Roots Spirit group of fragrances and news of its imminent launch has already generated great anticipation at Roots and beyond.

Heralding its arrival in stores will be a major advertising and promotional campaign starring Canadian Olympic Gold Medalist Adam van Koeverden (who is sponsored

by Roots) and acclaimed model Lauren Vanhoosear. The photographs were all shot outdoors and have a strong active, sporty feel.

The campaign was coordinated by Elizabeth Kabbash, Creative Director of the Montreal-based Zed Graphic Communications.

“The main idea behind the photo shoot was born from the desire to integrate the essence of the Roots brand with the essence of the fragrance,” says Elizabeth, who has worked with Roots on various projects over the past five years. “We wanted to integrate the down-toearth, fit and athletic, natural, straightforward and unpretentious qualities of Roots with the qualities of the fragrance which is designed for a man who is familiar yet memorable, sexy yet comfortable, and athletic yet relaxed. In building the creative team, we wanted to capture the dynamism of Adam van Koeverden and chose photographer Beth Studenberg for her positive energy and natural photo style. Each team member was selected to ensure the creative style and integrity that reflects the Roots brand. The result was a session filled with incredible energy and resulting in beautiful, compelling photos.”

That will be patently evident when the campaign is unveiled in August and September in both national and regional magazines, in transit posters in Toronto and Montreal and in promotional material in 2

all Roots locations, and also at Sears, the Bay and many leading drug stores.

The photos were taken recently in Miami’s South Beach area whose wide and fine, white sand-covered beaches are popular spots for fashion photo shoots. South Beach is known for its hip clubs and wild nightlife as well as numerous excellent restaurants.

The new Roots Spirit for Men, consistent with the active signature of the Roots brand, will be launched as part of the Roots fragrance group, which includes three fragrances introduced over the last eight years.

LIGHTS, CAMERA, ROOTS! The latest in the ever-expanding relationship between Roots and Hollywood producers

THE HOT LIST A fast look at what’s flying off the shelves at Roots stores Based on the latest sales figures from all Roots stores in Canada and the United States, here are the 20 top-selling products: 1. Men’s Cape Swim Shorts 2. Women’s Paige Piece Dyed Polo 3. Women’s V-neck Henley Tank 4. Men’s Logan Mélange Ringer T-shirt 5. Men’s Devon Raglan T-shirt 6. Women’s Pima Ringer Tee with Canada logo 7. Women’s Sun Bleach Full Zip Hoody 8. Girls Glorious Crew T-shirt 9. Girls Flared Sweat Pants 10. Boys Crocs 11. Girls Crocs 12. Boys Zip Hoody 13. Babies Rachel Polo Dress 14. Babies Canada Short Sleeves Ringer T-shirt 15. Roots Bottle Water 355 ml 16. Beaver Canvas Tote 17. Havaiana Flip Flops 18. Che Cap 19. Crocs Beach Clogs 20. Women’s Beaded Long Tank

The Roots-Hollywood collaboration continues to grow as Los Angeles-based Wendy Goodman strikes new deals with movie producers. Here are her latest achievements, executed superbly with the backend support of the ever-reliable Mary Jane Saliba from the Business-to-Business Department at the Roots head office in Toronto.

Today in Santa Fe, New Mexico, on-location filming will wrap up on a new movie called Wild Hogs. Before cast and crewmembers head off in their own separate directions, each will receive a gift from the film’s producers who ordered them from Roots. In total, Roots provided 300 small nylon duffel bags and 450 cotton twill hats, all of which feature the Wild Hogs and Roots logos.

Scheduled for release next year, Wild Hogs is about a group of suburban biker wannabes looking for adventure who get more than they bargained for when they hit the road.

A few weeks ago, Roots also supplied 380 beach hoody golf jackets to be used as gifts for the cast and crewmembers of the new Hollywood movie called Next. Made in Toronto, the 100% cotton twill jackets have a cotton jersey lining and come with a logo of the movie on the front.

Next, a science-fiction action thriller, starring Nicholas Cage and Julianne Moore, is about a man who can see into his own future and has to avoid being captured by government agents.

3

FIRST, WE TAKE MANHATTAN Roots designers visit New York for added inspiration Every few months, as part of its style research for the next season, the Design Team at Roots visits influential fashion centers for ideas and inspiration. Such trips contribute to the creative process at Roots, helping designers to stay fresh and up to date. Visits to the fashion capitals allow designers to observe the latest trends and take note of how culture and style are intertwined, as seen both in stores and on the streets.

This month, the Design Team went to New York. The Roots delegation was comprised of Nella Walker, Director of Design; Jules Power, Senior Designer, Women’s Wear; Rita Shulman, Senior Designer, Menswear; Dylan Anderson, Associate Designer, Menswear and Graphic Artist, Stephanie Briers.

The two-day trip began last week with a visit to the Premiere Vision trade show that featured upcoming fabric and colour ideas for Fall 2007. “There were lots of beautiful denims from Europe and many printed and patterned fabrics,” says Jules. “Plaids and polka dots appeared to be the hottest.”

Following this, the team hit the city’s stylish Meat Packing District, home to labels like Stella McCartney, Alexander McQueen and Jeffrey. They ended the first day having dinner with Matthew Budman at the Schiller’s Liquor Bar. The second day was spent cruising through high fashion stores in SoHo. “The most inspiring store was 45 RPM, a Japanese denim and clothing boutique,” says Rita.

“Every detail was carefully crafted and organic or rustic looking, including an amazing smell of cedar when one enters.”

The fast-paced trip had the designers shopping, surveying and drawing inspiration from various sources. They returned home with countless fresh ideas. “New York is the most important fashion center in North America and it' s a place I always leave feeling inspired,” says Dylan. “It' s also one of the few places I' ve been where I have had near-death experiences almost every time I hop into a cab!”

The trip included a bit of celebrity spotting too when the designers shopped alongside Hollywood super stars Leonardo Di Caprio at Barney’s and Maggie Gyllenhaal in the city’s West Village neighbourhood.

This week, the team was back in New York for Project, a trade show for men and women’s denim apparel.

ON THE FRONTLINES Our ongoing series for retail staff on making a difference in Roots stores Each week, Heather LambertHillen, Co-Manager of Roots Central in Toronto’s Eaton Centre, offers a new take on what makes customers enjoy shopping at Roots stores. It’s based on her many years working on the retail side of Roots.

Show and tell…and sell well

By Heather Lambert-Hillen We have all heard the old retail adage: "Show, show, show until they say no!”

Do you fully grasp the essence of this phrase? How do you represent Roots when you present merchandise?

Today' s consumer is adventurous and ready to try anything.

They are open-minded and ready to be wowed. It’s up to us to “Show and Tell” with enthusiasm and zeal.

Most would agree that Roots has the cream of the crop when it comes to selection of products. We can outfit a wide variety of customers for many different occasions and looks.

So, don' t be afraid to unfold that shirt, unzip that hoody or mess that pile. You have a 50/50 chance that you will sell it. Showing the product is your chance to show your knowledge, too.

Bringing life to our products is easy. Try to show customers their size.

This helps them visualize themselves in it. Secondly, have a backup plan if they don' t like the colour or style. Be prepared to show other items in other areas of the store.

Lastly, have a minimum of three outfits picked out in your mind. It makes for a smooth transition for when the customer says, "I love this shirt.

What goes with it?"

As the oldest adage in the retail world states," Failing to plan is a plan to fail."

Good luck building those dream outfits. Share your ideas with your peers and happy selling and showing!

4

IN THE HEAT OF THE WEEKEND New outlet store opens in Thunder Bay Things have never been better on the Roots outlet front. Due to the incredible success of the 20 existing outlet locations in Canada, five more will be added to the “Roots 73” family in the second half of this year. The first of those opened this week in Thunder Bay, Ontario.

The all-important final stage of the Thunder Bay operation came together in near-record time thanks to the hard work of Field Business Manager Sanjiv Khanna; Senior Manager Colleen Weber; Visual Merchant Marie-Anne Laporte; and store manager Donna Andreychuk and her team. Also on hand to help, from the Head Office in Toronto, were Rosemary Eisenhut, Director of Retail, and Peter Paquette, Senior Visual Merchant. The final pre-opening preparations coincided with Thunder Bay’s first heatwave of the summer during which the city was actually one of the hottest places in Canada last weekend.

The most intense activity began last Sunday morning when the first truck of merchandise and supplies arrived at 10 o’clock. Two days later, the store opened and within minutes rang in its first sale and was off to a flying start. During the week, a special Roots promotion was featured in the local press with a coupon offering customers an additional10% off their purchases as part of the store opening initiatives.

Next stop for Rosemary and Peter on their ‘Roots 73’ mission will be Brossard, Quebec where a massive shopping and entertainment complex will open in mid-September. It is currently the largest construction project in Quebec and Roots is excited to be a part of it. Later this year, other ‘Roots 73’ stores are slated to open in Kanata (ON), London (ON), and Calgary.

SKIPPING TO THE BEAT Canadian team at international competition outfitted by Roots Most people may associate the art of jumping rope with child’s play but in recent years it’s also become the focus of intense international competition.

Latest case in point could be found this week in Toronto, which is playing host to the 2006 World Rope Skipping Championships. It started yesterday (July 20) and concludes on Monday and Roots is part of it.

This is the first time Canada is hosting the event, which is being held in close cooperation with the Canadian Rope Skipping Federation (CRSF). More than 800 athletes from 14 countries are competing for the World Cup at events being held at Humber College (North Campus) with the finals taking place at the Mississauga Living Arts Centre. Roots worked closely with the CRSF to design uniforms for the Canadian team. Coloured in black red and white, the uniforms consist of 100% cotton double knit pique jerseys track pants shorts, and jackets.

Coordinated by the forever industrious David Jackson, Product Coordinator in the B2B Department, Graphic Artist Winnie Tam helped come up with the various designs for CRSF officials to choose from. Ling Chow, Product Manager, Special Products, was instrumental on the technical side, providing valuable support and guidance in the process. – Sarah Foster

5

A guide to just-launched Roots products ORGANIC BABIES More and more Roots products for tots made from organic cotton Since its introduction at Roots, organic cotton has proved to be a good fabric option for various products. Produced with almost no use of chemicals, the environmentally friendly fabric has a great hand-feel. These characteristics have led to the use of organic cotton in many Roots kids and babies apparel items.

Inspired by its eco-friendly attributes, the kids and babies sleepers featured here are made of 100% organic cotton. The premium quality, soft fabric makes the sleepers comfortable for children.

Designed by Elsa De Souza, Senior Designer, Babies, and coordinated by Marissa Battaglia, Merchandise Manager, Babies and Kids, the two-piece sleepers come in two options.

One with an embroidered beaver chest logo and the other with an ‘Organic Planet’ chest print inspired from the successful similar logo used for adult women’s apparel at Roots. Other details include printed back-neck labels for added comfort.

The sleepers are scheduled to hit stores across Canada next week. They will be available in sizes XS-5T (babies, 3-6 months – kids, 5 years). Retail price: $29.95 A GREAT BLEND FOR EARLY FALL Super soft sweaters a sure winner The luxurious new Arrow Lake Sweaters hit stores this month, as part of the Roots early fall line for men. Made from a blend of Pima cotton and Cashmere knit fabric, the sweaters are super soft and comfortable, guaranteed to make even those most

averse to wearing them feel great.

Designed by Rita Shulman, Senior Designer, Menswear, they come in two neutral, easy to coordinate striped options – timber brown with grey mix stripes and grey mix with charcoal stripes.

A third option is available in black with Jamaican inspired red, gold and green stripes. (See next page for more on tropical Jamaican accents in Roots apparel this fall). A good style for layering, the sweaters can be stylishly combined with a T-shirt, polo or a jacket. Other details include a Roots beaver patch on the front.

Available in Roots stores in Canada only, the sweaters come in sizes XS-XXL Retail price: $88.

6

STRATTLING SEASONS

New designs for that time of year

Field Jacket; Retail Price: $128

Terra Nova Jacket; Retail Price: $148

Arrow Lake Sweater; Retail Price: $88 $128

Late July/early August is a time of transitional fashion. It’s when the first hint of cooler fall temperatures can sometimes be felt, especially in the evenings. In the stores, the summer apparel is already making way for early fall styles that start arriving at this time. However, with the sun still shining strong outside, shoppers are not quite ready for the warmer fall fashions.

With this in mind, the new Roots menswear collection hitting stores this month holds on to the summer fun by introducing a tropical touch to its early fall line of clothing. Jamaica-inspired accents in red, gold and green are incorporated in stripes, plaids and graphics or by just giving subtle hints using colourful trims.

Created by Senior Designer of Menswear, Rita Shulman, the particular styles featuring these details are seen above and below.

Grasslands Shirt; Retail Price: $64

Jamrock Jacket; Retail Price: $78

Garibaldi Pants; Retail Price: $92

Cooper Baseball Tee; Retail Price: $36

Elk Polo; Retail Price: $45

Mt. Revelstoke Shirts; Retail Price: $68

7

IN THE BAG Making things easier for Outlet shoppers In the latest initiative to further improve the shopping experience for Roots customers, new highly practical shopping bags for in-store use have just been introduced to all ‘Roots 73’ outlet locations. The bags allow shoppers to conveniently carry selected apparel as they continue to browse throughout the store.

Coordinated by Howard Pollack, Director, Purchasing and Facilities, the bags are made from green nylon mesh fabric. They come with the ‘Roots 73’ outlet logo printed in white on the sides. Created by the Roots design team, the bag’s big user-friendly size, spacious design and long shoulder straps allow customers to comfortably hold many items while they look for more.

Depending on customer feedback, the bags may also be sold in all Roots stores in the future for both convenience and to promote re-usable shopping bags to reduce the use of conventional throwaway shopping bags.

GOOD SOUNDS IN THE PEG Great music and Roots go together well in Manitoba Roots has long been a strong supporter of up-and-coming Canadian musicians, the most recent being Winnipeg-born singer/songwriter, Jodi King. Among her various Roots-related projects, she performed at the Roots-sponsored Fashion Targets Breast Cancer event at the company’s flagship store in Toronto in the spring and will also be performing in other Roots stores in Canada.

Jodi recently performed at the store in St. Vital Centre in Winnipeg where she generated a lot of interest among shoppers as her voice carried through the mall. Dressed in a Roots tee, the classical pianist and lyricist set up her piano close to the entrance of the store (see photo above) drawing in crowds of customers.

"Not only did Jodi sing beautifully, but she also promoted Roots all the time," says Store Manager Joseph Meissner of the St. Vital Center store. "She would welcome people in and talk to them about Roots products." Next month, Jodi is slated to perform again at Roots in Winnipeg.

On another Roots-related musical note in Winnipeg, Paul Rogers, Manager of the local Kenaston Outlet, (see photo to the right) is using his spare time to create great sounds as lead guitarist of the rock band Thru The Floor.

This four-member high-energy group mixes rock and punk with hints of blues and metal. Paul, who also assists other Roots stores in Winnipeg, also shares in the vocals of Thru The Floor.

UP FRONT What’s in the Roots window displays in the coming days The summer sale continues making room for the upcoming fall styles. Sale, markdown and promotion merchandise are currently showcased throughout the stores. All stores including “Roots 73” outlets continue to carry posters and banners of the Big Beaver Sale continuing until the end of this month.

8

FRESH INK A selection of recent coverage of Roots in the media Metro, July 19. Article entitled “Creator rethinks breast cancer fundraising strategy” mentions Roots involvement in helping to raise money through the sale of special Rethink Breast Cancer Tshirts.

The Globe and Mail, July 15. Mentions Roots striped shirt, cargo pants and black leather business case as some of the items available at the Toronto’s Pearson Airport, featured in the “Souvenirs Rule at Toronto’s Pearson” section.

Toronto Life magazine, July issue. Roots Linen Tote featured in the “Best of Summer” section.

Flare magazine, June. Spotlight on Roots leather bag featured in the “beach ready” section.

Filles Clin d’Oeil magazine, June. Spotlight on Roots bathing suits featured in the “Maillots 2006” section.

L’Information du Nord Vallée (Mont Tremblant, QC), June 17. Article about products donated, including Roots, for recent fund-raising event to support Canadian athletes.

Food and Drink magazine, Summer issue: Spotlight on 100 percent organically grown bamboo plates and utensils featured as available from Roots Home Design.

SPREADING THE WORD Guide to new ads appearing this week and next Thurs., July 20 - Now magazine ran a full-page ad on the outside back cover featuring soon-to-be released The Roots of Reggae, Volume 1 CD and the Roots Village Pack.

Thurs., July 20 – The Thunder Bay Source ran a half-page ad featuring the Grand Opening of the new Roots store offering special deals for customers.

Sat., July 22 - National Post will run a full-page colour ad on the outside back cover of the Toronto section featuring Flats bags by Roots in greens and camo.

Sat., July 29 - National Post will run a full-page colour ad on the outside back cover of the Toronto supplement featuring current Roots products.

STAYING POWER Saluting those who go the distance Over the past few months, various Roots employees marked major anniversaries of their time at the company. By ‘major’, we mean benchmark achievements as in 5, 10, 15, 20, 25, and 30 years spent at Roots. We invite anyone celebrating such a major anniversary at Roots to send the relevant information to The Source.

Congratulations to Jeannette Fortin, Keyholder at the store in Sudbury, Ontario who in the coming week will be celebrating her 10th anniversary at Roots.

GREEN TIP # 14 The latest in our series of easy ways to help the environment Clean up your coffee. Enjoy your java with a cleaner conscience. Did you know you can reduce waste and help wildlife while you drink coffee? If you brew it yourself, eliminate paper filters by purchasing a reusable filter, available for just a few dollars at natural food stores and elsewhere. White paper filters pollute water with chlorine and other harmful chemicals.

Unbleached filters are an improvement but, over time, waste vast amounts of paper. If you buy your coffee by the cup, bring your own reusable 9

cup with you. You' ll save paper, reduce the amount of chlorine used to bleach cups, and reduce your contribution to landfills. Whether you make your own java or have it made for you, look for shadegrown organic coffee, which preserves land for birds and avoids pesticides and other chemicals.

- Provided by Zerofootprint, an innovative Toronto-based organization that helps companies and organizations reduce their environmental impact. See www.zerofootprint.net

HEALTH TIP # 11 The latest in our series of easy ways to stay healthy Avoid high fructose corn syrup (HFCS). Found in many non-organic processed foods (cereals, energy bars, cookies, cakes, ice cream, soft drinks), HFCS has replaced “table sugar” to sweeten most store-bought treats. For various reasons, HFCS will make us fatter than eating “real” sugar (it doesn’t suppress our appetite and it slows down our thyroid function).

If you’re going to eat sweets, make sure they’re fresh and made with ingredients that were around 100 years ago! HFCS also goes by many different names so unless you made it yourself, buy organic treats.

- Provided by Jeff Hirst, a professional trainer, co-owner of Training Zone, and a former Olympic diver. Jeff is an acclaimed sports instructor (who was the captain of the University of Toronto swim team) and is highly knowledgeable about health and fitness. He can be reached at trainingzone@hotmail.com

SPECIAL DELIVERY Recent letters from the world of Roots SATISFYING THE CUSTOMER, AND THEN SOME

Last week, my husband and I went to Toronto to check out a store called Chocky' s after seeing it featured on Cityline. They were out of the shorts that I wanted but as we walked past your Queen Street store, we saw a similar pair in your window. We entered and found out the shorts were actually men' s but they were exactly what I' d been looking for (cargo with the drawstring and pockets on the rear). Right away one of the sales representatives offered to help. I tried on the smallest pair they had which was a 30" waist. They were too large and I asked if they came in smaller sizes.

Nick [Carino] went on the computer and ascertained that they come in 28" and 29" sizes and started phoning around to locate them for me. Ashleigh [Medd], the manager, overheard and joined in on another phone. The two of them went out of their way to call about 15 stores and even offered to have them sent to the store in Newmarket where I live. This amazed me as they were doing all the work and wouldn' t even get the sale. I can' t say enough about how helpful Ashley and Nick both were. At one point, Ashley located a 29" waist and had them hold it while they continued looking for a 28".

Nick finally located a 28" and Ashley spoke personally to the manager so that nothing would go wrong with the transfer. She then called the Newmarket manager to let her know that she should expect the shorts and to hold them for me.

Then, without me even asking, she had the 29" ones sent as well in case I didn' t like the fit of the 28". The woman is amazing and is an exemplary example of what retail personnel should be modeled after. In recent years, I' ve had so many bad experiences of poor customer service that regrettably that is what I' ve come to expect when I enter a store. Roots Queen Street sets a fabulous example of how pleasant an experience shopping can be.

Even while Ashley and Nick worked the phones locating my shorts, another sales person Van [Phac Cung] kept me chatting to while away the time and ended up selling me a leather 10

handbag (though he was not at all pushy, just pleasant and enthusiastic). I went in for shorts and came out with a $150. bag and the shorts on the way.

I usually leave a store that is special ordering me in something worrying that something will go wrong with the transaction somewhere along the line but the Queen Street staff left me feeling like whatever I wanted they would make happen.

By the way, I picked up my new shorts from the manager in the Newmarket location on Friday and am very happy with them. My only regret is that the Queen Street store isn' t closer to me because I' d shop there all the time. As it is, I will add it to my "MUST VISIT" list when I' m in Toronto. You could not wish for a finer staff looking after your customers than you have at that location.

Nancy Furzecott Newmarket, Ontario The Source wants to hear from you. In addition to reporting on new developments at Roots, The Source also serves as a forum for ideas and commentary from readers. Please send your letters to Robert Sarner at rsarner@roots.com Letters may be edited for length and clarity. _____________________

THE SOURCE

A week in the world of Roots Editor: Robert Sarner (rsarner@roots.com)

11