UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Wolverine World Wide, Inc.

(Exact name of registrant as specified in its charter)

Delaware		001-06024		38-1185150
(State or other jurisdiction of incorporation)		(Commission File Number)		(IRS Employer Identification No.)

9341 Courtland Drive Rockford, Michigan		49351
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (616) 866-5500

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o		Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o		Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o		Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o		Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

Item 2.02 Results of Operations and Financial Condition.

On April 19, 2011, Wolverine World Wide, Inc. (the “Company”) issued a press release announcing its financial results for the Company’s first quarter of 2011, attached as Exhibit 99.1 to this Form 8-K (the “8-K”), which is here incorporated by reference. This 8-K and Exhibit 99.1 shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits:

	99.1			Press Release dated April 19, 2011. This Exhibit shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, or incorporated by reference in any filing under the Securities Act or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

EXHIBIT INDEX

Exhibit Number				Document
	99.1			Wolverine World Wide, Inc. Press Release dated April 19, 2011.

Exhibit 99.1

		WOLVERINE WORLD WIDE, INC. 9341 Courtland Drive, Rockford, MI 49351 Phone (616) 866-5500; FAX (616) 866-0257

FOR IMMEDIATE RELEASE
CONTACT: Don Grimes
(616) 863-4404

WOLVERINE WORLD WIDE, INC. REPORTS RECORD
REVENUE AND EARNINGS FOR THE FIRST QUARTER 2011
AND RAISES FULL YEAR GUIDANCE
Revenue Increases 16.1%; EPS Grows 28.6% to $0.72

Rockford, Michigan, April 19, 2011 — Wolverine World Wide, Inc. (NYSE: WWW) today reported that strong consumer demand and accelerated revenue growth across its brand portfolio generated record performance in the first quarter of 2011.

Reported revenue for the first quarter was $330.9 million, an increase of 16.1% versus the prior year. The outstanding revenue performance was broad-based, as all three branded operating groups contributed to the consolidated record result.

Fully diluted earnings were a record $0.72 per share, compared to 2010 adjusted fully diluted earnings of $0.56 per share, an increase of 28.6%. The prior year’s adjusted earnings exclude the impact of restructuring charges and other expenses related to the Company’s strategic restructuring plan that was completed in the second quarter of 2010. Reported fully diluted earnings for the first quarter 2010 were $0.54 per share.

“Wolverine World Wide is off to an outstanding start in 2011,” stated Blake W. Krueger, the Company’s Chairman and Chief Executive Officer. “We experienced strong consumer demand for our products across all geographic regions. Our Outdoor Group, especially the Merrell brand, and the Heritage Group both delivered impressive results during the quarter.

“All of our brands have a rich history and authentic heritage, which is resonating within the global marketplace. Our investments and efforts behind product innovation and design over the past several years are paying dividends and providing us with a sustainable advantage and point of differentiation with consumers. As just one example, the new Merrell Barefoot Collection, introduced at retail just this past February, has exceeded our expectations and is already one of the most successful product launches in the history of the Company. Superb product innovation, coupled with our team’s rigorous and consistent execution of our global business model, has the Company well positioned for future growth.”

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Q1 2011		page 2

Don Grimes, the Company’s Chief Financial Officer, commented, “Our disciplined management of the business during the challenging macroeconomic conditions of the past few years has laid the groundwork for accelerated growth across the brand portfolio. We are balancing continued financial discipline with investments behind our brands that we believe will drive growth and provide excellent returns for our shareholders.”

Highlights for the quarter:

•

Gross margin was 41.6%, slightly above the prior year’s gross margin, adjusted for restructuring and related charges. Benefits from strategic price increases were offset by negative mix and increased product costs during the quarter. Reported gross margin for the first quarter 2010 was 41.3%.

•

First quarter 2011 operating expenses as a percentage of revenue were 26.7%, compared to 27.6% in 2010, adjusted for restructuring and related charges. Operating expenses in the quarter of $88.3 million increased 12.5%, driven by variable costs associated with strong revenue growth and a planned increase in advertising and marketing investments. Reported operating expenses for the first quarter 2010 were $79.1 million.

•

Inventory at the end of the quarter increased $78.2 million, or 45.5%, compared to the prior year and reflects the continued strength of our order backlog, strategic purchases of core product in advance of price increases and the excellent outlook for the balance of the fiscal year.

•

The effective tax rate in the quarter was 28.0%, driven lower primarily by more favorable statutory tax rates in both Canada and the United Kingdom.

•

The Company repurchased approximately 142,000 of its own shares in the quarter for an aggregate cost of $5.1 million. As announced earlier in the quarter, the Company increased its quarterly dividend 9.1%, to $0.12 per share, payable on May 2, 2011 to stockholders of record on April 1, 2011.

Based upon the record first quarter results and continued strong order trends throughout the quarter, the Company is increasing both its revenue and earnings per share guidance for the full fiscal year. For fiscal 2011, the Company is increasing its revenue estimate to a range of $1.380 billion to $1.420 billion, representing growth of 10.5% to 13.7% versus the prior year. The Company is also increasing its fully diluted earnings per share guidance to a range of $2.40 to $2.50, representing growth of 10.6% to 15.2% versus the prior-year adjusted earnings per share (growth of approximately 13.7% to 18.5% versus reported earnings per share).

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Q1 2011		page 3

Krueger concluded, “2011 is off to a fantastic start for the Company and our outlook has never been better. The strength of our leadership team, our steadfast focus on execution and our continued drive to deliver innovative products have positioned the Company for another excellent year.”

The Company will host a conference call at 8:30 a.m. EDT today to discuss these results and current business trends. To listen to the call at the Company’s website, go to www.wolverineworldwide.com, click on “Investor Relations” in the navigation bar, and then click on “Webcasts & Presentations” from the side navigation bar of the “Investor Relations” page. To listen to the webcast, your computer must have a streaming media player, which can be downloaded for free at www.wolverineworldwide.com. In addition, the conference call can be heard at www.streetevents.com. A replay of the call will be available at the Company’s website through May 3, 2011.

With a commitment to service and product excellence, Wolverine World Wide, Inc. is one of the world’s leading marketers of branded casual, active lifestyle, work, outdoor sport and uniform footwear and apparel. The Company’s portfolio of highly recognized brands includes: Bates^®, Chaco^®, Cushe^™, Hush Puppies^®, HYTEST^®, Merrell^®, Sebago^® Soft Style^® and Wolverine^®. The Company also is the exclusive footwear licensee of popular brands including CAT^®, Harley-Davidson^® and Patagonia^®. The Company’s products are carried by leading retailers in the U.S. and globally in more than 190 countries and territories. For additional information, please visit our website, www.wolverineworldwide.com.

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Q1 2011		page 4

This press release contains forward-looking statements. In addition, 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 identify forward-looking statements. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions (“Risk Factors”) that are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. Therefore, actual results and outcomes may materially differ from what may be expressed or forecasted in such forward-looking statements. Risk Factors include, among others: the Company’s ability to successfully develop its brands and businesses; changes in duty structures in countries of import and export including anti-dumping measures and trade defense actions; changes in consumer preferences or spending patterns; cancellation of orders for future delivery, or the failure of the Department of Defense to exercise future purchase options, award new contracts or the cancellation of existing contracts by the Department of Defense or other military purchasers; changes in planned customer demand, re-orders or at-once orders; the availability and pricing of footwear manufacturing capacity; reliance on foreign sourcing; failure of international licensees and distributors to meet sales goals or to make timely payments on amounts owed; disruption of technology systems; regulatory or other changes affecting the supply of materials used in manufacturing; the availability of power, labor and resources in key foreign sourcing countries, including China; the impact of competition and pricing; the impact of changes in the value of foreign currencies; the development of new initiatives; the risks of doing business in developing countries, and politically or economically volatile areas; retail buying patterns; consolidation in the retail sector; changes in economic and market conditions; acts and effects of war and terrorism; weather; and additional factors discussed in the Company’s reports filed with the Securities and Exchange Commission and exhibits thereto. Other Risk Factors exist, and new Risk Factors emerge from time to time that may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. Furthermore, the Company undertakes no obligation to update, amend or clarify forward-looking statements.

# # #

WOLVERINE WORLD WIDE, INC.

CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
(Unaudited)
($000s, except per share data)

		1st Quarter Ended
		March 26,				March 27,
		2011				2010
Revenue		$	330,872			$	284,897
Cost of products sold			193,075				166,327
Restructuring and related costs			—				981
Gross profit			137,797				117,589
Gross margin			41.6	%			41.3	%
Selling, general and administrative expenses			88,342				78,540
Restructuring and related costs			—				517
Operating expenses			88,342				79,057
Operating profit			49,455				38,532
Operating margin			14.9	%			13.5	%
Interest expense, net			226				89
Other income, net			(580	)			(230	)
			(354	)			(141	)
Earnings before income taxes			49,809				38,673
Income taxes			13,946				11,214
Net earnings		$	35,863			$	27,459
Diluted earnings per share		$	0.72			$	0.54

CONSOLIDATED CONDENSED BALANCE SHEETS
(Unaudited)
($000s)

		March 26,				March 27,
		2011				2010
ASSETS:
Cash & cash equivalents		$	91,551			$	84,944
Receivables			251,929				207,735
Inventories			249,988				171,833
Other current assets			27,149				21,925
Total current assets			620,617				486,437
Property, plant & equipment, net			75,444				72,184
Other assets			133,211				128,191
Total Assets		$	829,272			$	686,812
LIABILITIES & EQUITY:
Current maturities on long-term debt		$	536			$	496
Revolving credit agreement			30,000				—
Accounts payable and other accrued liabilities			140,028				110,383
Total current liabilities			170,564				110,879
Long-term debt			—				496
Other non-current liabilities			73,001				93,585
Stockholders’ equity			585,707				481,852
Total Liabilities & Equity		$	829,272			$	686,812

WOLVERINE WORLD WIDE, INC.

REVENUE BY OPERATING GROUP
(Unaudited)
($000s)

		1st Quarter Ended
		March 26, 2011								March 27, 2010								Change
		Revenue				% of Total				Revenue				% of Total				$				%
Outdoor Group		$	138,069				41.7	%		$	113,516				39.8	%		$	24,553				21.6	%
Heritage Group			111,097				33.6	%			93,872				32.9	%			17,225				18.3	%
Lifestyle Group			52,013				15.7	%			51,430				18.1	%			583				1.1	%
Other			3,137				1.0	%			2,820				1.0	%			317				11.2	%
Total branded footwear, apparel and licensing revenue			304,316				92.0	%			261,638				91.8	%			42,678				16.3	%
Other business units			26,556				8.0	%			23,259				8.2	%			3,297				14.2	%
Total Revenue		$	330,872				100.0	%		$	284,897				100.0	%		$	45,975				16.1	%

CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
(Unaudited)
($000s)

		1st Quarter Ended
		March 26,				March 27,
		2011				2010
OPERATING ACTIVITIES:
Net earnings		$	35,863			$	27,459
Adjustments necessary to reconcile net earnings to net cash used in operating activities:
Depreciation and amortization			3,793				3,861
Deferred income taxes			132				157
Stock-based compensation expense			1,965				2,100
Pension expense			4,039				3,758
Pension contribution			(31,800	)			(10,400	)
Restructuring and other transition costs			—				1,498
Cash payments related to restructuring			(275	)			(3,813	)
Other			(1,567	)			3,697
Changes in operating assets and liabilities			(94,905	)			(71,847	)
Net cash used in operating activities			(82,755	)			(43,530	)
INVESTING ACTIVITIES:
Additions to property, plant and equipment			(4,345	)			(2,168	)
Other			(640	)			(509	)
Net cash used in investing activities			(4,985	)			(2,677	)
FINANCING ACTIVITIES:
Net borrowings under revolver			30,000				—
Cash dividends paid			(5,331	)			(5,416	)
Purchase of common stock for treasury			(5,063	)			(24,600	)
Surrender of common stock for income tax purposes			(1,555	)			(838	)
Other			8,201				5,350
Net cash provided by (used in) financing activities			26,252				(25,504	)
Effect of foreign exchange rate changes			2,639				(3,784	)
Decrease in cash and cash equivalents			(58,849	)			(75,495	)
Cash and cash equivalents at beginning of year			150,400				160,439
Cash and cash equivalents at end of year		$	91,551			$	84,944

As required by the Securities and Exchange Commission Regulation G, the following tables contain information regarding the non-GAAP adjustments used by the Company in the presentation of its financial results:

WOLVERINE WORLD WIDE, INC.

RECONCILIATION OF REPORTED FINANCIAL RESULTS TO ADJUSTED FINANCIAL
RESULTS, EXCLUDING RESTRUCTURING AND RELATED COSTS*
(Unaudited)
($000s, except per share data)

		As Reported								As Adjusted
		1st Quarter Ended				Restructuring and				1st Quarter Ended
		March 27, 2010				Related Costs (a)				March 27, 2010
Gross profit		$	117,589			$	981			$	118,570
Gross margin			41.3	%							41.6	%
Operating expenses		$	79,057			$	(517	)		$	78,540
% of revenue			27.7	%							27.6	%
Diluted earnings per share		$	0.54			$	0.02			$	0.56
		As Reported								As Adjusted
		Fiscal Year Ended				Restructuring and				Fiscal Year Ended
		January 1, 2011				Related Costs (a)				January 1, 2011
Diluted earnings per share		$	2.11			$	0.06			$	2.17

In January of 2011, the company announced a realignment that resulted in three stand-alone operating groups for its branded operations: the Outdoor Group, consisting of Merrell, Chaco and Patagonia Footwear; the Heritage Group, consisting of Wolverine, Bates, HyTest, Caterpillar Footwear and Harley-Davidson Footwear; and the Lifestyle Group, consisting of Hush Puppies, Sebago and Cushe.

WOLVERINE WORLD WIDE, INC.

2010 REVENUE BY OPERATING GROUP
(Unaudited)
($000s)

		1st Quarter Ended								2nd Quarter Ended
		March 27, 2010								June 19, 2010
		Revenue				% of Total				Revenue				% of Total
Outdoor Group		$	113,516				39.8	%		$	97,857				37.9	%
Heritage Group			93,872				32.9	%			89,443				34.6	%
Lifestyle Group			51,430				18.1	%			35,327				13.7	%
Other			2,820				1.0	%			2,520				1.0	%
Total branded footwear, apparel and licensing revenue			261,638				91.8	%			225,147				87.2	%
Other business units			23,259				8.2	%			33,052				12.8	%
Total Revenue		$	284,897				100.0	%		$	258,199				100.0	%

		3rd Quarter Ended								4th Quarter Ended
		September 11, 2010								January 1, 2011
		Revenue				% of Total				Revenue				% of Total
Outdoor Group		$	121,293				37.9	%		$	134,947				35.1	%
Heritage Group			119,850				37.4	%			151,399				39.3	%
Lifestyle Group			45,606				14.2	%			50,531				13.1	%
Other			3,154				1.0	%			4,079				1.1	%
Total branded footwear, apparel and licensing revenue			289,903				90.5	%			340,956				88.6	%
Other business units			30,493				9.5	%			44,069				11.4	%
Total Revenue		$	320,396				100.0	%		$	385,025				100.0	%

		Fiscal Year Ended
		January 1, 2011
		Revenue				% of Total
Outdoor Group		$	467,613				37.5	%
Heritage Group			454,564				36.4	%
Lifestyle Group			182,894				14.6	%
Other			12,573				1.0	%
Total branded footwear, apparel and licensing revenue			1,117,644				89.5	%
Other business units			130,873				10.5	%
Total Revenue		$	1,248,517				100.0	%