Foot Locker (FL)

A change in the relationship with any of our key vendors or the unavailability of our key products at competitive prices could affect our financial health.

     Our business is dependent to a significant degree upon our ability to purchase brand-name merchandise at competitive prices, including the receipt of volume discounts, cooperative advertising, and markdown allowances from our vendors. The Company purchased approximately 80 percent of its merchandise in 2008 from its top five vendors and expects to continue to obtain a significant percentage of its athletic product from these vendors in future periods. Approximately 64 percent was purchased from one vendor — Nike, Inc. (“Nike”). Each of our operating divisions is highly dependent on Nike; they individually purchase 44 to 78 percent of their merchandise from Nike. Our inability to obtain merchandise in a timely manner from major suppliers (particularly Nike) as a result of business decisions by our suppliers or any disruption in the supply chain could have a material adverse effect on our business, financial condition, and results of operations. Because of our strong dependence on Nike, any adverse development in Nike’s financial condition and results of operations or the inability of Nike to develop and manufacture products that appeal to our target customers could also have an adverse effect on our business, financial condition, and results of operations. We cannot be certain that we will be able to acquire merchandise at competitive prices or on competitive terms in the future.

     Merchandise that is high profile and in high demand is allocated by our vendors based upon their internal criteria. Although we have generally been able to purchase sufficient quantities of this merchandise in the past, we cannot be certain that our vendors will continue to allocate sufficient amounts of such merchandise to us in the future. In addition, our vendors provide support to us through cooperative advertising allowances and promotional events. We cannot be certain that such assistance from our vendors will continue in the future. These risks could have a material adverse effect on our business, financial condition, and results of operations.

A change in the relationship with
any of our key vendors or the unavailability of our key products at competitive
prices could affect our financial health.

     Our
business is dependent to a significant degree upon our ability to purchase
brand-name merchandise at competitive prices, including the receipt of volume
discounts, cooperative advertising, and markdown allowances from our vendors.
The Company purchased approximately 80 percent of its merchandise in 2008 from
its top five vendors and expects to continue to obtain a significant percentage
of its athletic product from these vendors in future periods. Approximately 64
percent was purchased from one vendor — Nike, Inc. (“Nike”). Each of our
operating divisions is highly dependent on Nike; they individually purchase 44
to 78 percent of their merchandise from Nike. Our inability to obtain
merchandise in a timely manner from major suppliers (particularly Nike) as a
result of business decisions by our suppliers or any disruption in the supply
chain could have a material adverse effect on our business, financial condition,
and results of operations. Because of our strong dependence on Nike, any adverse
development in Nike’s financial condition and results of operations or the
inability of Nike to develop and manufacture products that appeal to our target
customers could also have an adverse effect on our business, financial
condition, and results of operations. We cannot be certain that we will be able
to acquire merchandise at competitive prices or on competitive terms in the
future.

     Merchandise that is high profile and in high demand is allocated by our
vendors based upon their internal criteria. Although we have generally been able
to purchase sufficient quantities of this merchandise in the past, we cannot be
certain that our vendors will continue to allocate sufficient amounts of such
merchandise to us in the future. In addition, our vendors provide support to us
through cooperative advertising allowances and promotional events. We cannot be
certain that such assistance from our vendors will continue in the future. These
risks could have a material adverse effect on our business, financial condition,
and results of operations.

A change in the relationship with
any of our key vendors or the unavailability of our key products at competitive
prices could affect our financial health.

     Our
business is dependent to a significant degree upon our ability to purchase
brand-name merchandise at competitive prices, including the receipt of volume
discounts, cooperative advertising, and markdown allowances from our vendors.
The Company purchased approximately 80 percent of its merchandise in 2008 from
its top five vendors and expects to continue to obtain a significant percentage
of its athletic product from these vendors in future periods. Approximately 64
percent was purchased from one vendor — Nike, Inc. (“Nike”). Each of our
operating divisions is highly dependent on Nike; they individually purchase 44
to 78 percent of their merchandise from Nike. Our inability to obtain
merchandise in a timely manner from major suppliers (particularly Nike) as a
result of business decisions by our suppliers or any disruption in the supply
chain could have a material adverse effect on our business, financial condition,
and results of operations. Because of our strong dependence on Nike, any adverse
development in Nike’s financial condition and results of operations or the
inability of Nike to develop and manufacture products that appeal to our target
customers could also have an adverse effect on our business, financial
condition, and results of operations. We cannot be certain that we will be able
to acquire merchandise at competitive prices or on competitive terms in the
future.

     Merchandise that is high profile and in high demand is allocated by our
vendors based upon their internal criteria. Although we have generally been able
to purchase sufficient quantities of this merchandise in the past, we cannot be
certain that our vendors will continue to allocate sufficient amounts of such
merchandise to us in the future. In addition, our vendors provide support to us
through cooperative advertising allowances and promotional events. We cannot be
certain that such assistance from our vendors will continue in the future. These
risks could have a material adverse effect on our business, financial condition,
and results of operations.

A change in the relationship with any of our key vendors or the unavailability of our key products at competitive prices could affect our financial health.

     Our business is dependent to a significant degree upon our ability to purchase brand-name merchandise at competitive prices, including the receipt of volume discounts, cooperative advertising, and markdown allowances from our vendors. The Company purchased approximately 77 percent of its merchandise in 2007 from its top five vendors and expects to continue to obtain a significant percentage of its athletic product from these vendors in future periods. Approximately 56 percent was purchased from one vendor — Nike, Inc. (“Nike”). Each of our operating divisions is highly dependent on Nike; they individually purchase 43 to 74 percent of their merchandise from Nike. We have no long-term supply contracts with any of our vendors. Our inability to obtain merchandise in a timely manner from major suppliers (particularly Nike) as a result of business decisions by our suppliers or any disruption in the supply chain could have a material adverse effect on our business, financial condition, and results of operations. Because of our strong dependence on Nike, any adverse development in Nike’s financial condition and results of operations or the inability of Nike to develop and manufacture products that appeal to our target customers could also have an adverse effect on our business, financial condition, and results of operations. We cannot be certain that we will be able to acquire merchandise at competitive prices or on competitive terms in the future.

     Merchandise that is high profile and in high demand is allocated by our vendors based upon their internal criteria. Although we have generally been able to purchase sufficient quantities of this merchandise in the past, we cannot be certain that our vendors will continue to allocate sufficient amounts of such merchandise to us in the future. In addition, our vendors provide support to us through cooperative advertising allowances and promotional events. We cannot be certain that such assistance from our vendors will continue in the future. These risks could have a material adverse effect on our business, financial condition, and results of operations.

A change in the relationship with
any of our key vendors or the unavailability of our key products at competitive
prices could affect our financial health.

     Our
business is dependent to a significant degree upon our ability to purchase
brand-name merchandise at competitive prices, including the receipt of volume
discounts, cooperative advertising, and markdown allowances from our vendors.
The Company purchased approximately 77 percent of its merchandise in 2007 from
its top five vendors and expects to continue to obtain a significant percentage
of its athletic product from these vendors in future periods. Approximately 56
percent was purchased from one vendor — Nike, Inc. (“Nike”). Each of our
operating divisions is highly dependent on Nike; they individually purchase 43
to 74 percent of their merchandise from Nike. We have no long-term supply
contracts with any of our vendors. Our inability to obtain merchandise in a
timely manner from major suppliers (particularly Nike) as a result of business
decisions by our suppliers or any disruption in the supply chain could have a
material adverse effect on our business, financial condition, and results of
operations. Because of our strong dependence on Nike, any adverse development in
Nike’s financial condition and results of operations or the inability of Nike to
develop and manufacture products that appeal to our target customers could also
have an adverse effect on our business, financial condition, and results of
operations. We cannot be certain that we will be able to acquire merchandise at
competitive prices or on competitive terms in the future.

     Merchandise that is high profile and in high demand is allocated by our
vendors based upon their internal criteria. Although we have generally been able
to purchase sufficient quantities of this merchandise in the past, we cannot be
certain that our vendors will continue to allocate sufficient amounts of such
merchandise to us in the future. In addition, our vendors provide support to us
through cooperative advertising allowances and promotional events. We cannot be
certain that such assistance from our vendors will continue in the future. These
risks could have a material adverse effect on our business, financial condition,
and results of operations.

A change in the relationship with any of our key vendors or the unavailability of our key products at competitive prices could affect our financial health.

     Our business is dependent to a significant degree upon our ability to purchase brand-name merchandise at competitive prices, including the receipt of volume discounts, cooperative advertising, and markdown allowances from our vendors. The Company purchased approximately 78 percent of its merchandise in 2006 from its top five vendors and expects to continue to obtain a significant percentage of its athletic product from these vendors in future periods. Approximately 50 percent was purchased from one vendor — Nike, Inc. (“Nike”). Each of our operating divisions is highly dependent on Nike, they individually purchase 40 to 65 percent of their merchandise from Nike. We have no long-term supply contracts with any of our vendors. Our inability to obtain merchandise in a timely manner from major suppliers (particularly Nike) as a result of business decisions by our suppliers or any disruption in the supply chain could have a material adverse effect on our business, financial condition, and results of operations. Because of our strong dependence on Nike, any adverse development in Nike’s financial condition and results of operations or the inability of Nike to develop and manufacture products that appeal to our target customers could also have an adverse effect on our business, financial condition, and results of operations. We cannot be certain that we will be able to acquire merchandise at competitive prices or on competitive terms in the future.

     Merchandise that is high profile and in high demand is allocated by our vendors based upon their internal criteria. Although we have generally been able to purchase sufficient quantities of this merchandise in the past, we cannot be certain that our vendors will continue to allocate sufficient amounts of such merchandise to us in the future. In addition, our vendors provide support to us through cooperative advertising allowances and promotional events. We cannot be certain that such assistance from our vendors will continue in the future. These risks could have a material adverse effect on our business, financial condition, and results of operations.