Foot Locker (FL)

Our operations may be adversely affected by economic or political conditions in other countries.

     Approximately 28 percent of our sales and a significant portion of our operating results for 2008 were attributable to our sales in Europe, Canada, New Zealand, and Australia. As a result, our business is subject to the risks associated with doing business outside of the United States, such as foreign governmental regulations, foreign customer preferences, political unrest, disruptions or delays in shipments, and changes in economic conditions in countries in which we operate. Although we enter into forward foreign exchange contracts and option contracts to reduce the effect of foreign currency exchange rate fluctuations, our operations may be adversely affected by significant changes in the value of the U.S. dollar as it relates to certain foreign currencies.

     In addition, because we and our suppliers have a substantial amount of our products manufactured in foreign countries, our ability to obtain sufficient quantities of merchandise on favorable terms may be affected by governmental regulations, trade restrictions, and economic, labor, and other conditions in the countries from which our suppliers obtain their product.

     Our business is subject to economic cycles and retail industry conditions. Purchases of discretionary athletic footwear, apparel, and related products, tend to decline during recessionary periods when disposable income is low and customers are hesitant to use available credit.

Our operations may be adversely
affected by economic or political conditions in other countries.

     Approximately 28 percent of our sales and a significant portion of our
operating results for 2008 were attributable to our sales in Europe, Canada, New
Zealand, and Australia. As a result, our business is subject to the risks
associated with doing business outside of the United States, such as foreign
governmental regulations, foreign customer preferences, political unrest,
disruptions or delays in shipments, and changes in economic conditions in
countries in which we operate. Although we enter into forward foreign exchange
contracts and option contracts to reduce the effect of foreign currency exchange
rate fluctuations, our operations may be adversely affected by significant
changes in the value of the U.S. dollar as it relates to certain foreign
currencies.

     In
addition, because we and our suppliers have a substantial amount of our products
manufactured in foreign countries, our ability to obtain sufficient quantities
of merchandise on favorable terms may be affected by governmental regulations,
trade restrictions, and economic, labor, and other conditions in the countries
from which our suppliers obtain their product.

     Our
business is subject to economic cycles and retail industry conditions. Purchases
of discretionary athletic footwear, apparel, and related products, tend to
decline during recessionary periods when disposable income is low and customers
are hesitant to use available credit.

Our operations may be adversely
affected by economic or political conditions in other countries.

     Approximately 28 percent of our sales and a significant portion of our
operating results for 2008 were attributable to our sales in Europe, Canada, New
Zealand, and Australia. As a result, our business is subject to the risks
associated with doing business outside of the United States, such as foreign
governmental regulations, foreign customer preferences, political unrest,
disruptions or delays in shipments, and changes in economic conditions in
countries in which we operate. Although we enter into forward foreign exchange
contracts and option contracts to reduce the effect of foreign currency exchange
rate fluctuations, our operations may be adversely affected by significant
changes in the value of the U.S. dollar as it relates to certain foreign
currencies.

     In
addition, because we and our suppliers have a substantial amount of our products
manufactured in foreign countries, our ability to obtain sufficient quantities
of merchandise on favorable terms may be affected by governmental regulations,
trade restrictions, and economic, labor, and other conditions in the countries
from which our suppliers obtain their product.

     Our
business is subject to economic cycles and retail industry conditions. Purchases
of discretionary athletic footwear, apparel, and related products, tend to
decline during recessionary periods when disposable income is low and customers
are hesitant to use available credit.

Our operations may be adversely affected by economic or political conditions in other countries.

     Approximately 27 percent of our sales and a significant portion of our operating results for 2007 were attributable to our sales in Europe, Canada, New Zealand, and Australia. As a result, our business is subject to the risks associated with doing business outside of the United States, such as foreign governmental regulations, foreign customer preferences, political unrest, disruptions or delays in shipments, and changes in economic conditions in countries in which we operate. Although we enter into forward foreign exchange contracts and option contracts to reduce the effect of foreign currency exchange rate fluctuations, our operations may be adversely affected by significant changes in the value of the U.S. dollar as it relates to certain foreign currencies.

     In addition, because we and our suppliers have a substantial amount of our products manufactured in foreign countries, our ability to obtain sufficient quantities of merchandise on favorable terms may be affected by governmental regulations, trade restrictions, and economic, labor, and other conditions in the countries from which our suppliers obtain their product.

     Our business is subject to economic cycles and retail industry conditions. Purchases of discretionary athletic footwear, apparel, and related products, tend to decline during recessionary periods when disposable income is low and customers are hesitant to use available credit.

Our operations may be adversely
affected by economic or political conditions in other countries.

     Approximately 27 percent of our sales and a significant portion of our
operating results for 2007 were attributable to our sales in Europe, Canada, New
Zealand, and Australia. As a result, our business is subject to the risks
associated with doing business outside of the United States, such as foreign
governmental regulations, foreign customer preferences, political unrest,
disruptions or delays in shipments, and changes in economic conditions in
countries in which we operate. Although we enter into forward foreign exchange
contracts and option contracts to reduce the effect of foreign currency exchange
rate fluctuations, our operations may be adversely affected by significant
changes in the value of the U.S. dollar as it relates to certain foreign
currencies.

     In
addition, because we and our suppliers have a substantial amount of our products
manufactured in foreign countries, our ability to obtain sufficient quantities
of merchandise on favorable terms may be affected by governmental regulations,
trade restrictions, and economic, labor, and other conditions in the countries
from which our suppliers obtain their product.

     Our
business is subject to economic cycles and retail industry conditions. Purchases
of discretionary athletic footwear, apparel, and related products, tend to
decline during recessionary periods when disposable income is low and customers
are hesitant to use available credit.

Our operations may be adversely affected by economic or political conditions in other countries.

     Approximately 24 percent of our sales and a significant portion of our operating profits for 2006 were attributable to our sales in Europe, Canada, New Zealand, and Australia. As a result, our business is subject to the risks associated with doing business outside of the United States, such as foreign governmental regulations, foreign customer preferences, political unrest, disruptions or delays in shipments, and changes in economic conditions in countries in which we operate. Although we enter into forward foreign exchange contracts and option contracts to reduce the effect of foreign currency exchange rate fluctuations, our operations may be adversely affected by significant changes in the value of the U.S. dollar as it relates to certain foreign currencies.

     In addition, because we and our suppliers have a substantial amount of our products manufactured in foreign countries, our ability to obtain sufficient quantities of merchandise on favorable terms may be affected by governmental regulations, trade restrictions, and economic, labor, and other conditions in the countries from which our suppliers obtain their product.

      Our business is subject to economic cycles and retail industry conditions. Purchases of discretionary athletic footwear, apparel, and related products, tend to decline during recessionary periods when disposable income is low and customers are hesitant to use available credit.