OIA Annual

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About OIA VantagePoint

DETAILED MARKET INFORMATION OIA VantagePoint is built on the SportScanInfo technology platform and is supported by a marketing partnership between Outdoor Industry Association (OIA), the premier trade association for the active outdoor recreation business, and The SportsOneSource Group, a full-service market research and

ABOUT: OUTDOOR INDUSTRY ASSOCIATION

trade association whose mission is to ensure the growth and success of the outdoor industry. OIA provides trade services for over 4,000 manufacturers, distributors, suppliers, sales representatives and retailers in the outdoor industry. OIA provides industry -defining resources and support in government/ legislative affairs, market and social research, business‐to‐business services and youth outreach initiatives. Ongoing education opportunities and strategic business workshops provided by OIA include the annual Rendezvous®, Outdoor University® sessions, and the Capitol Summit. Outdoor Industry Association is based in Boulder, Colorado, and is the title sponsor of the Outdoor Retailer tradeshows.

solutions development company serving the full breadth of the active sports and outdoor lifestyle product supply chain. The SportScanInfo (SSI) technology was first launched in 1998 to serve the U.S. athletic footwear and apparel market and quickly grew to include sports licensed products, athletic hardgoods and outdoor and sportsman related hardgoods. Today, SSI tracks weekly retail point-of-sale data from over 12,000 retail doors and websites, including over 350 outdoor specialty doors. OIA VantagePoint revolutionizes the way the outdoor industry accesses data by providing critical, in-depth and detailed busi-

For more information go to: www.outdoorindustry.org or call 303.444.3353.

ness information within five days of the prior week close.

OIA VANTAGEPOINT MEMBER DATA INCLUDES: •

Category Reports with detailed, timely, and robust category sales information for OIA members, including details by trade channel, gender, custom price points and geographic region.

Trend Reports for OIA members and associate members provided on a weekly, monthly and quarterly rotation.

OIA members have access to OIA VantagePoint Category Reports as a member benefit and receive discounts on Expanded Services. Expanded Services for in-depth market share, brand information and product information are accessible through Data Subscriber access. Contact The SportsOneSource Group for more information on these services.

OIA members can access this & historical Monthly Trend Reports online via www.outdoorindustry.org/vantagepoint

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Outdoor Industry Association® (OIA) is a national

SPORTSONESOURCE GROUP

The SportsOneSource Group is a full service market research company delivering solutions through consumer insight research, retail insight research and retail point-of-sale trending and analysis. The company provides the most reliable, timely and comprehensive sports and outdoor industry information available in the market today. SportScanInfo is a SportsOneSource technology platform developed to compile, aggregate and disseminate aggregated retail point-of-sale information. SportsOneSource also publishes the Sports Executive Weekly and The B.O.S.S. Report executive newsletters, along with the SGB, SGD TEAM Business and Performance Sports Retailer print publications and their related online, email and digital products. For more information call go to: www.SportsOneSource.com or call 704.987.3450

Confidential & Proprietary — Do Not Copy, Forward or Distribute

© SportsOneSource, LLC


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Contents MARKET OVERVIEW

Sales Trends by Channel

4

CATEGORY OVERVIEW

Footwear Market

© SportsOneSource, LLC

9

Apparel Market

13

Hardgoods Market

17

METHODOLOGY

18

RETAIL TRADE CHANNELS

19

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2010 Fiscal Year Snapshot YEAR-OVER-YEAR COMPARISON KEY OBSERVATIONS:

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Outdoor product sales by quarter Fiscal 2010 versus Fiscal 2009 15%

10%

5%

0%

-5%

-10% Q1

Q2

Footwear

Q3

Apparel

Hard Goods

Q4

YEAR

Total

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. Page 4

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© SportsOneSource, LLC


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Market Overview SALES TRENDS BY CHANNEL This is text that will help explain the trends of this category. And here is some more to fill this out so we can see what this is going to look like. Yet here is some more to fill like this. This is text that will help explain the trends of this category. And here is some more to fill this out so we can see what this is going to look like. Yet here is some more to fill like this. This is text that will help explain the trends of this category. And here is some more to fill this out so we can see what this is going to look like.

TRADE CHANNELS: The Total Outdoor Specialty Channel Sales table below tracks sales of all products reported in the OIA VantagePoint system and sold in outdoor specialty retailers, including non-outdoor products; while the Outdoor Product Sales by Channel table reports sales for only outdoor products in all channels that are tracked by OIA VantagePoint.

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Trade channel year-to-year comparison Data only includes outdoor product sales $ Sales FY 2010

$ Sales FY 2009

Percent Change

Unit Sales FY 2010

Unit Sales FY 2009

(in millions)

(in millions)

($ millions)

($ millions)

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

3. Outdoor Chain Specialty

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

4. Sporting Goods Retailers

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

5. Athletic/Urban/Mall Retailers

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

6. Internet/Catalog

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

7. Department Stores

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

8. Family/Independent Footwear

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

9. Discount/Mass Stores

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

Trade Channels

Percent Change

ALL SPECIALTY RETAILERS 1. Independent Outdoor Specialty ALL CHAIN RETAILERS

ALL VOLUME RETAILERS

OUTDOOR SALES TOTAL PRODUCT

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. © SportsOneSource, LLC

Confidential & Proprietary — Do Not Copy, Forward or Distribute

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Category Sales by Channel FISCAL YEAR COMPARISON KEY OBSERVATIONS:

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Category sales by channel Some language here helping identify this chart and what it represents

Discount/Mass Stores

Family/Independent Footwear

Internet/Catalog

Spo rting Goods Retailers

Independent Outdoor Specialty

13%

33%

13%

33%

33%

13%

33%

Outdoor Chain Specialty

13%

33%

13%

33%

13%

33%

Athletic/Urban/Mall Retailers

13%

33%

13%

33%

13%

33%

Department Stores

13%

33%

13%

13%

33%

0%

100% Footwear

Apparel

Hardgoods

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. Page 6

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© SportsOneSource, LLC


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Weekly Sales Trends WEEKLY SELLING VOLUME TRENDS KEY OBSERVATIONS:

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Weekly Sales Trends by retail strata 2010 sales by week in dollars

$250 $200 $150 $100 $50 $0 W E E K Specialty

Chain

E N D I N G Volume

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. © SportsOneSource, LLC

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Category Trends WEEKLY SELLING PRICETRENDS REGIONS:

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Northwest

Rocky Mountain

Southwest

Southcentral

Midwest

Northwest

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Southeast

Mid-Atlantic

Category trends by region Some language here helping identify this chart and what it represents

25%

Footwear

Apparel

Hardgoods

21.0%

20% 15.5%

15% 10.7% 8.9%

10%

7.1% 5.5%

5%

3.5% 2.0%

1.5%

3.2%

2.5% 1.1%

1.4% 0.1%

0.9% 0.2%

0% ‐5% ‐10% ‐15%

-0.3%

-0.6%

-1.3%-1.6%

-2.0%

Northwest

Rockies

Southcentral

Midwest

New England

Mid-Atlantic

-0.9%

Southeast

-7.2%

-13.7%

Southwest NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. Page 8

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© SportsOneSource, LLC


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Footwear Market Overview FOOTWEAR SALES TRENDS BY CHANNEL This is text that will help explain the trends of this category. And here is some more to fill this out so we can see what this is going to look like. Yet here is some more to fill like this. This is

KEY OBSERVATIONS: •

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Footwear Trade channel year-to-year comparison Data only includes outdoor product sales $ Sales FY 2010

$ Sales FY 2009

Percent Change

Unit Sales FY 2010

Unit Sales FY 2009

(in millions)

(in millions)

($ millions)

($ millions)

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

3. Outdoor Chain Specialty

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

4. Sporting Goods Retailers

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

5. Athletic/Urban/Mall Retailers

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

6. Internet/Catalog

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

7. Department Stores

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

8. Family/Independent Footwear

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

9. Discount/Mass Stores

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

Trade Channels

Percent Change

ALL SPECIALTY RETAILERS 1. Independent Outdoor Specialty ALL CHAIN RETAILERS

ALL VOLUME RETAILERS

OUTDOOR SALES TOTAL PRODUCT

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. © SportsOneSource, LLC

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Footwear Sales Snapshot YEAR-OVER-YEAR COMPARISON KEY OBSERVATIONS:

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Footwear sales by quarter Fiscal 2010 versus Fiscal 2009 15%

10%

5%

0%

-5%

-10% Q1

Q2

Specialty—All Footwear

Q3

Specialty—Outdoor Footwear

Q4

YEAR

All Channels—Outdoor Footwear

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. Page 10

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Footwear Sales Snapshot TRADE CHANNEL SALES COMPARISON KEY OBSERVATIONS:

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Footwear sales distribution by channel Dollar Sales Volume Represented by Each Channel**

Trade Channels

FY 2010

FY 2009

Q4 2010

Q3 2010

Q2 2010

Q1 2010

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

3. Outdoor Chain Specialty

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

4. Sporting Goods Retailers

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

5. Athletic/Urban/Mall Retailers

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

6. Internet/Catalog

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

7. Department Stores

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

8. Family/Independent Footwear

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

9. Discount/Mass Stores

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

ALL SPECIALTY RETAILERS 1. Independent Outdoor Specialty ALL CHAIN RETAILERS

ALL VOLUME RETAILERS

* Based on Feb.‐Jan. retail fiscal calendar. ** For channels tracked by SportScanInfo for OIA VantagePoint.. © SportsOneSource, LLC

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Footwear Sales Snapshot CATEGORY SALES COMPARISON KEY OBSERVATIONS:

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Footwear sales distribution by category Dollar Sales Volume Represented by Major Category**

Category

FY 2010

FY 2009

Q4 2010

Q3 2010

Q2 2010

Q1 2010

TRAILRUNNING

19.6%

22.2%

12.7%

25.4%

20.2%

25.1%

SANDALS

16.0%

18.5%

2.7%

14.3%

34.8%

18.2%

WINTER BOOTS

20.0%

21.0%

44.7%

10.7%

0.8%

9.8%

LIGHT HIKING

13.0%

13.6%

12.6%

13.5%

11.8%

14.8%

BAREFOOT

7.8%

3.2%

3.5%

6.3%

10.9%

12.8%

TECH HIKING

5.6%

3.4%

6.0%

5.1%

5.1%

5.8%

OUTDOOR XT

7.5%

6.9%

5.4%

8.2%

8.2%

9.7%

OTHER OUTDOOR

10.5%

11.1%

12.4%

16.4%

8.3%

3.9%

* Based on Feb.‐Jan. retail fiscal calendar. ** For channels tracked by SportScanInfo for OIA VantagePoint.. Page 12

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Apparel Market Overview APPAREL SALES TRENDS BY CHANNEL This is text that will help explain the trends of this category. And here is some more to fill this out so we can see what this is going to look like. Yet here is some more to fill like this. This is

KEY OBSERVATIONS: •

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Apparel Trade channel year-to-year comparison Data only includes outdoor product sales $ Sales FY 2010

$ Sales FY 2009

Percent Change

Unit Sales FY 2010

Unit Sales FY 2009

(in millions)

(in millions)

($ millions)

($ millions)

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

3. Outdoor Chain Specialty

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

4. Sporting Goods Retailers

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

5. Athletic/Urban/Mall Retailers

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

6. Internet/Catalog

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

7. Department Stores

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

8. Family/Independent Footwear

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

9. Discount/Mass Stores

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

Trade Channels

Percent Change

ALL SPECIALTY RETAILERS 1. Independent Outdoor Specialty ALL CHAIN RETAILERS

ALL VOLUME RETAILERS

OUTDOOR SALES TOTAL PRODUCT

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. © SportsOneSource, LLC

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Apparel Sales Snapshot YEAR-OVER-YEAR COMPARISON KEY OBSERVATIONS:

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Apparel sales by quarter Fiscal 2010 versus Fiscal 2009 15%

10%

5%

0%

-5%

-10% Q1

Q2

Specialty—All Apparel

Q3

Specialty—Outdoor Apparel

Q4

YEAR

All Channels—Outdoor Apparel

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. Page 14

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Apparel Sales Snapshot TRADE CHANNEL SALES COMPARISON KEY OBSERVATIONS:

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Apparel sales distribution by channel Dollar Sales Volume Represented by Each Channel**

Trade Channels

FY 2010

FY 2009

Q4 2010

Q3 2010

Q2 2010

Q1 2010

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

3. Outdoor Chain Specialty

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

4. Sporting Goods Retailers

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

5. Athletic/Urban/Mall Retailers

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

6. Internet/Catalog

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

7. Department Stores

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

8. Family/Independent Footwear

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

9. Discount/Mass Stores

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

ALL SPECIALTY RETAILERS 1. Independent Outdoor Specialty ALL CHAIN RETAILERS

ALL VOLUME RETAILERS

* Based on Feb.‐Jan. retail fiscal calendar. ** For channels tracked by SportScanInfo for OIA VantagePoint.. © SportsOneSource, LLC

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Apparel Sales Snapshot CATEGORY SALES COMPARISON KEY OBSERVATIONS:

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Apparel sales distribution by category Dollar Sales Volume Represented by Major Category**

Category

FY 2010

FY 2009

Q4 2010

Q3 2010

Q2 2010

Q1 2010

OUTERWEAR

39.5%

32.4%

51.8%

34.4%

12.8%

31.1%

RAINGEAR

3.2%

2.4%

1.6%

4.6%

6.7%

3.8%

BASELAYERS

6.5%

6.4%

6.4%

6.2%

6.4%

7.1%

SWEATS

0.8%

0.7%

0.7%

1.1%

0.7%

0.8%

SWEATERS

3.0%

3.2%

3.4%

3.3%

1.4%

2.7%

SPORTSWEAR

4.7%

5.5%

1.4%

5.2%

13.8%

6.5%

ACTIVEWEAR

22.8%

27.7%

14.1%

27.8%

42.6%

27.0%

ACCESSORIES

19.5%

21.7%

20.7%

17.5%

15.8%

21.1%

* Based on Feb.‐Jan. retail fiscal calendar. ** For channels tracked by SportScanInfo for OIA VantagePoint.. Page 16

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Hardgoods Market Overview HARDGOODS SALES TRENDS BY CHANNEL This is text that will help explain the trends of this category. And here is some more to fill this out so we can see what this is going to look like. Yet here is some more to fill like this. This is

KEY OBSERVATIONS: •

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Hardgoods Trade channel year-to-year comparison Data only includes outdoor product sales $ Sales FY 2010

$ Sales FY 2009

Percent Change

Unit Sales FY 2010

Unit Sales FY 2009

(in millions)

(in millions)

($ millions)

($ millions)

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

3. Outdoor Chain Specialty

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

4. Sporting Goods Retailers

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

5. Athletic/Urban/Mall Retailers

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

6. Internet/Catalog

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

7. Department Stores

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

8. Family/Independent Footwear

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

9. Discount/Mass Stores

$000.00

$000.00

-00.0%

0.000

0.000

-00.0%

$000.00

$000.00

+00.0%

0.000

0.000

+00.0%

Trade Channels

Percent Change

ALL SPECIALTY RETAILERS 1. Independent Outdoor Specialty ALL CHAIN RETAILERS

ALL VOLUME RETAILERS

OUTDOOR SALES TOTAL PRODUCT

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. © SportsOneSource, LLC

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Page 17


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Hardgoods Sales Snapshot YEAR-OVER-YEAR COMPARISON KEY OBSERVATIONS:

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Hardgoods sales by quarter Fiscal 2010 versus Fiscal 2009 15%

10%

5%

0%

-5%

-10% Q1

Q2

Specialty—All Hardgood

Q3

Specialty—Outdoor Hardgood

YEAR

Q4

All Channels—Outdoor Hardgood

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. Page 18

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Hardgoods Sales Snapshot TRADE CHANNEL SALES COMPARISON KEY OBSERVATIONS:

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Hardgoods sales distribution by channel Dollar Sales Volume Represented by Each Channel**

Trade Channels

FY 2010

FY 2009

Q4 2010

Q3 2010

Q2 2010

Q1 2010

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

3. Outdoor Chain Specialty

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

4. Sporting Goods Retailers

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

5. Athletic/Urban/Mall Retailers

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

6. Internet/Catalog

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

7. Department Stores

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

8. Family/Independent Footwear

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

9. Discount/Mass Stores

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

XX.X%

ALL SPECIALTY RETAILERS 1. Independent Outdoor Specialty ALL CHAIN RETAILERS

ALL VOLUME RETAILERS

* Based on Feb.‐Jan. retail fiscal calendar. ** For channels tracked by SportScanInfo for OIA VantagePoint.. © SportsOneSource, LLC

Confidential & Proprietary — Do Not Copy, Forward or Distribute

Page Page19 9


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Footwear Sales Snapshot CATEGORY SALES COMPARISON KEY OBSERVATIONS:

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Hardgoods sales distribution by category Dollar Sales Volume Represented by Major Category**

Category

FY 2010

FY 2009

Q4 2010

Q3 2010

Q2 2010

Q1 2010

LIFESTYLE PACKS & BAGS

10.6%

11.7%

11.3%

16.0%

6.9%

9.8%

TECHNICAL PACKS & BAGS

2.4%

1.9%

2.7%

2.3%

2.3%

2.6%

HYDRATION

6.9%

7.5%

7.6%

7.0%

6.3%

7.3%

TENTS

8.9%

10.0%

3.8%

8.6%

13.5%

6.5%

SLEEPING BAGS

3.9%

4.0%

3.5%

3.9%

4.1%

3.8%

COOLERS/CONTAINERS

5.5%

6.5%

3.3%

6.2%

6.7%

4.5%

PADDLESPORTS

9.1%

3.6%

4.9%

7.8%

11.2%

11.7%

MOUNTAIN BIKES

3.9%

5.4%

3.7%

3.3%

4.1%

4.4%

SNOW SPORTS

2.3%

1.5%

7.2%

0.6%

0.2%

3.0%

TRAILERS & RACKS

3.6%

2.0%

4.5%

3.0%

3.5%

3.8%

OTHER HARDGOODS

42.9%

45.9%

47.5%

41.2%

41.3%

42.6%

* Based on Feb.‐Jan. retail fiscal calendar. ** For channels tracked by SportScanInfo for OIA VantagePoint.. Page 20

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Methodology DETAILED MARKET INFORMATION OIA VantagePoint, powered by SportScanInfo, is a powerful retail point-of-sale (POS) tracking system designed specifically for vendors, suppliers and retailers in the active outdoor lifestyle industry. OIA VantagePoint provides OIA members with critical, in-depth and detailed business intelligence; includes information from over 10,000 retail doors carrying outdoor products; and highlights data from nine trade channels across eight geographic regions. Those channels range from full-line Sporting Goods

and Outdoor Specialty to Family Footwear,

Department Stores and Internet/Catalogs. The weighting algorithm for the data projected on the OIA VantagePoint system has been vigorously reviewed and tested. The data presented are based on a number of factors—including raw point-of-sale data delivered by retailers each week, input from industry trade associations, industry manufacturers, surveys, marketing companies, and the retailers themselves. Our research helps us develop a market picture that provides insight into estimated sales by category and by retail channel. The weight given to a specific Retail Channel for a specific category is based on ongoing research and analysis—that helps determine the estimated percentage of total sales that Trade Channel represents of total sales for a specific category. Once all sales for a given product are calculated they are rounded to the nearest Unit/Dollar.

NOTES: The population of mass merchants does not include Walmart or Target stores, and no attempt is made to project for Walmart or Target stores. Products not sold through one of the OIA VantagePoint reporting retailers will not be reported. Sales of products sold only by OIA VantagePoint reporting retailers but not identified as such, may be over-stated. For an in-depth description of the retail channels and methodology used to calculate market size projections, please visit the Methodology page under the Help section at www.OIAVantagePoint.com.

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Retail Trade Channels Specialty Retailer Strata Specialty Retailers include those retailers that sell products targeting a specific activity, such as running, bicycling, skiing, hiking, hunting, fishing, or outdoor activities. Specialty retailers sell sport‐ or activity‐specific footwear, apparel and hardgoods, and have less than 25 retail doors. • Independent Outdoor Specialty Independent Outdoor Specialty retailers focus on products that are specific to outdoor activities. These stores are generally seen as aspirational destinations. • Other Specialty Other Specialty Retailers include activity‐specific retailers exclusive of the general Outdoor Specialty channel. This would include bike or run specific retail stores that are not focused on products that are specific to outdoor activities.

Chain Retailer Strata Chain Retailers include those retail stores that are part of a national or regional chain with more than 25 stores. • Outdoor Chain Specialty Outdoor Chain Specialty retailers include retailers that primarily sell outdoor products and have more than 25 stores. • Sporting Goods Retailers Sporting Goods retailers sell athletic and outdoor footwear, apparel, plus team and individual sports hardgoods, where hardgoods make up at least a third of total sales. Sporting Goods retailers carry a full‐line of sporting goods and team sports related products. This channel excludes Mass Retailers where non‐athletic product sales account for a majority of sales. • Athletic/Urban/Mall Retailers Athletic /Urban/Mall retailers primarily sell athletic footwear and/or apparel and may carry some hardgoods items serving the 12‐ to 24‐year‐old demographic. These retailers receive allocated footwear product and are generally seen as aspirational destinations.

Volume Retailer Strata Volume Retailers include those large retailer stores that are part of a national or regional chain. Volume Retailers tend to be big box formats with higher square footage than the Specialty or Chain Retailers. The Volume foot‐ wear retailers tend to allocate more sales floor space specifically to footwear products than Chain retailers. • Internet/Catalog Internet/Catalog retailers conduct a majority of their sales through the Internet or catalogs. • Department Stores Department Stores include those retailers that sell outdoor footwear and apparel, but non‐outdoor products may account for a majority of sales. Retailers in this group do not get key designer apparel brands and focus their efforts on the family‐oriented and price‐conscious consumer. • Family/Independent Footwear Family Footwear Stores includes retailers that sell athletic and outdoor footwear, but non‐outdoor product may account for a majority of sales. Retailers in this group focus their efforts on the family‐oriented and price‐ conscious consumer. Independent Footwear stores are not part of any national chains. • Discount/Mass Stores Discount retailers generally sell discounted product, close‐out product or non‐branded product at sharper discounts. Retailers in this group do not generally sell key designer brands or top‐tier outdoor footwear or apparel brands. OIA VantagePoint does not project for Walmart or Target Stores.

Page 22

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2010 Fiscal Year Snapshot YEAR-OVER-YEAR COMPARISON The 2010 retail fiscal year, comprised of the 52-week period from January 31, 2010 through May 1, 2010, marked a return to growth for many outdoor retailers, with solid sales increases in most channels and particularly strong sales through combined outdoor specialty channels, represented by Independent Outdoor Specialty and Outdoor Chain Specialty. Solid growth in sales of Outdoor Footwear and Outdoor Hardgoods easily offset a small decrease in Outdoor Apparel sales for the fiscal quarter. After a very difficult 2009, many outdoor retailers are already optimistic about 2010. Still, many independent specialty retailers are operating with record-low inventories in an effort to reduce exposure as a hedge against a double dip recession. This cost cutting has helped boost profits and contributed to the overall health of the industry. However, manufacturers are operating with lower inventories as well and this strategy can backfire if demand continues to ramp up and inventories fail to meet demand.

Sales variance by macro category

Outdoor product sales by quarter

2010 vs. 2009 numbers are Based on the Feb.-Jan. retail fiscal calendar. Q1 and Year-to-date is Feb.-Apr. Outdoor product sales in channels are tracked by SportScanInfo for OIA VantagePoint.

Fiscal 2010 versus Fiscal 2009 15%

Footwear

Apparel

Hard Goods

Total

10%

5%

0%

-5%

-10% Q1

Q2

Q3

Q4

YEAR

NOTE: For Trade Channel and Retail Strata definitions see page 11. Please contact SportsOneSource for a full list of reporting retailers in each channel. © SportsOneSource, LLC

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