Wolverine World Wide, Inc. · NYSE:WWW
Wolverine World Wide — Goldman Sachs 19th Annual Global Retailing Conference 2012
22 slides from Wolverine World Wide's conference presentation, Sep 6, 2012
Slide 1: Goldman Sachs 19th Annual Global Retailing Conference
Goldman Sachs 19th Annual Global Retailing Conference September 6, 2012 Blake Krueger – Chairman and CEO Don Grimes – Senior Vice President and CFO
Slide 2: Forward-Looking Statements
Forward?Looking Statements This presentation contains forward-looking statements. Words such as “estimates,”“anticipates,”“believes,” “forecasts,” “plans,” “predicts,” “projects,” “is likely,” “expects,” “intends,” “should,” “will,” variations of such words and similar expressions are intended to id
Slide 3: Why Wolverine Worldwide
Why Wolverine Worldwide Our global and diverse portfolio of lifestyle brands has a long, rich history of delivering footwear and apparel that is exceptional in both performance and style. Serving a broad array of geographies, distribution channels and consumers, our Company has a long track record o
Slide 4: Our Vision
Our Vision To Excite Consumers Around the World with Innovative Footwear and Apparel That Bring Style to Purpose
Slide 5: For its first years, WWW was essentially a three-brand business
For its first 110 years, WWW was essentially a three?brand business .... 1883 1994 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2009 2012 Colombia JV Europe India JV U.K. Canada Europe Since 1994, we have grown through the addition of new brands and expansion into new geographic regions.
Slide 6: Outdoor Group
MERRELL( Outdoor Group ites
Slide 7: Lifestyle Group
Lifestyle Group rowan Hush Puppies’ A coastal. Fealthe Hush Hush Puppies" y supremacy
Slide 8: Heritage Group
Heritage Group
Slide 9: Portfolio expanding with pending acquisition of Performance + Lifestyle Group
Our portfolio will be expanding significantly with the pending acquisition of the Performance + Lifestyle Group from Collective Brands With approximately 100 million pair annually, we will be the largest non?athletic footwear company in the world.
Slide 10: World's Preeminent Collection of Leading Lifestyle Brands
+ The World’s Preeminent Collection of Leading Lifestyle Brands
Slide 11: Strong Collection of Iconic Performance and Lifestyle Brands
Strong Collection of Iconic Performance and Lifestyle Brands Leading global Premier global running A 95 year legacy of Since 1919, the preeminent nautical performance brand, fusing performance, footwear company that kids all-American, feel good style and lifestyle brand innovation and style love and
Slide 12: Wolverine can add immediate value to the PLG Brands
Wolverine can add immediate value to the PLG Brands Accelerate international expansion <10% of PLG’s current sales are outside North America Increase pace of Sperry Top?Sider concept store openings From 20 locations to approximately 100 within 5 years Restore gross margin performance to recent hi
Slide 13: Wolverine's Proven Integration Success
Wolverine’s Proven Integration Success 100% success rate in prior brand and business acquisitions High degree of discipline, process and confidence Brand Acquisitions Geographic Expansion
Slide 14: Transaction Highlights
Transaction Highlights Wolverine, Blum and Golden Gate will acquire Collective Brands for $21.75 per share Collective Brands’ shareholders approved the merger on August 21 by an overwhelming margin As part of the transaction, Wolverine will acquire PLG for $1.23 billion We continue to expect the tra
Slide 15: Financing Update
Financing Update Our bank financing and Term Loan B financing were both nicely oversubscribed Executed on July 31 Term Loan A $550M Term Loan B 350M In Process High Yield Notes 375M $ 1,275M
Slide 16: Key Trends Continue Favorably
Key Trends Continue Favorably Americana ORIGINS Prep True heritage Boots Authentic performance products Lightweight/minimalist footwear
Slide 17: Third Quarter Trends
Third Quarter Trends The European market is proving to be even more of a challenge than we had earlier anticipated Quarter?to?date revenue in EMEA is down double digits vs. prior year Combination of weather and tough economic conditions are challenging Europe retail In July, we guided to low to mid?
Slide 18: Third Quarter Trends (continued)
Third Quarter Trends (continued) U.S. wholesale business remains solid Quarter?to?date revenue is up mid?single digits Particular strength in Merrell, Hush Puppies and Sebago Consumer Direct continues to be a bright spot Positive comp store sales Improved profitability Other international geographie
Slide 19: 10-Year Growth Trends
10?Year Growth Trends $1,409.1 Revenue CAGR 5.5% $1,220.6 $1,248.5$1,199.0 $1,101.1 ($ in millions) $1,141.9$1,061.0$991.9$888.9$827.1 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 $2.48 Earnings $2.17 Per Share ?Adjusted* CAGR 12.4% $1.90 $1.77 $1.77 (Whole $) $1.52 $1.33 $1.09 $0.77 $0.85 2002
Slide 20: 10-Year Cumulative Cash Flow
10?Year Cumulative Cash Flow Cumulative Cash Provided by Operating Activities ($ in millions) $1,016.9 $78.8 $72.1$204.2 $93.5$123.3$109.7$117.3 $106.4 $88.3 $102.2 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 * 2009 & 2010 EBITDA and EPS excludes the impact of non?recurring restructuring a
Slide 21: The New Wolverine Worldwide
The New Wolverine Worldwide. Over $2.5 billion in combined pro forma revenue 16 Brands, ~100 million pairs/units Largest non?athletic footwear company in the world Dynamic Portfolio – ages, genders and lifestyles Casual, athletic, outdoor, work 200+ countries and territories Footwear – Accessories –
Slide 22: Wolverine Global
WOLVERINE | \(/ GLOBAL
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