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2012-09-08
0000110471
--12-29
WWW
WOLVERINE WORLD WIDE INC /DE/
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<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Cost of Goods
Sold</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Cost of goods sold includes
the actual product costs, including inbound and outbound freight
charges, purchasing, sourcing, inspection and receiving costs.
Warehousing costs are included in selling, general and
administrative expenses.</font></p>
</div>
<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>8. PENSION
EXPENSE</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">A summary of net pension and
Supplemental Executive Retirement Plan expense recognized by the
Company is as follows:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="92%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="58%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>12
Weeks Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>36 weeks
Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">September 10,</font><br />
<font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">September 10,</font><br />
<font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Service cost pertaining to
benefits earned during the period</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,779</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,500</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">5,337</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">4,500</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Interest cost on projected
benefit obligations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>3,289</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">3,075</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>9,867</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">9,225</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Expected return on pension
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(3,431</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(3,323</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(10,295</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(9,969</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net amortization
loss</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>4,838</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,787</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>14,514</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">8,361</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net pension
expense</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>6,475</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">4,039</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>19,423</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">12,117</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="margin-top:0px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>2. EARNINGS PER
SHARE</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company calculates
earnings per share in accordance with Financial Accounting
Standards Board (“FASB”) Accounting Standards
Codification (“ASC”) Topic 260, Earnings Per Share
(“ASC 260”). ASC 260 addresses whether instruments
granted in share-based payment transactions are participating
securities prior to vesting, and therefore need to be included in
the earnings allocation in computing earnings per share under the
two-class method. Under the guidance in ASC 260, the
Company’s unvested share-based payment awards that contain
non-forfeitable rights to dividends or dividend equivalents,
whether paid or unpaid, are participating securities and must be
included in the computation of earnings per share pursuant to the
two-class method.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The following table sets
forth the computation of basic and diluted earnings per
share:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="92%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="55%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>12 Weeks
Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>36 weeks
Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">September 10,</font><br />
<font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">September 10,</font><br />
<font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Numerator:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net earnings attributable to
Wolverine World Wide, Inc.</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>32,727</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">40,435</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>84,403</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">100,274</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Adjustment for earnings
allocated to non-vested restricted common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(537</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(667</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(1,463</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,660</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net earnings used in
calculating basic earnings per share</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>32,190</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">39,768</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>82,940</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">98,614</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Adjustment for earnings
reallocated from non-vested restricted common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>22</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">22</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>59</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">54</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net earnings used in
calculating diluted earnings per share</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>32,212</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">39,790</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>82,999</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">98,668</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Denominator:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Weighted average shares
outstanding</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>48,871,922</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">48,935,385</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>48,666,772</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">49,222,489</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Adjustment for non-vested
restricted common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(1,379,484</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,472,537</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(1,392,401</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,447,687</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Shares used in calculating
basic earnings per share</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>47,492,438</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">47,462,848</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>47,274,371</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">47,774,802</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Effect of dilutive stock
options</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1,122,179</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,267,681</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1,126,277</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,298,245</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Shares used in calculating
diluted earnings per share</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>48,614,617</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">48,730,529</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>48,400,648</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">49,073,047</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net earnings per
share:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:5.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Basic</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>0.68</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">0.84</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1.75</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2.06</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:5.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Diluted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>0.66</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">0.82</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1.71</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2.01</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
</table>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">For the 12 and 36 weeks
ended September 8, 2012, share-based awards relating to
263,445 and 526,798 shares of common stock outstanding,
respectively, have not been included in the denominator for the
computation of diluted earnings per share because the related
exercise prices of these shares were greater than the average
market price for the periods then-ended, and they were, therefore,
anti-dilutive. For the 12 and 36 weeks ended September 10,
2011, share-based awards relating to 388,522 and 321,915 shares of
common stock outstanding, respectively, have not been included in
the denominator for the computation of diluted earnings per share
because the related exercise prices of these shares were greater
than the average market price for the periods then-ended, and they
were, therefore, anti-dilutive.</font></p>
</div>
<div>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company accounts for
stock-based compensation in accordance with the fair value
recognition provisions of FASB ASC Topic 718, <i>Compensation
– Stock Compensation</i> (“ASC 718”). The Company
recognized compensation expense of $3,119 and $10,977 and related
income tax benefits of $1,047 and $3,591 for grants under its
stock-based compensation plans in the statements of operations for
the 12 and 36 weeks ended September 8, 2012, respectively. For
the 12 and 36 weeks ended September 10, 2011, the Company
recognized compensation expense of $2,783 and $10,160,
respectively, and related income tax benefits of $908 and $3,278,
respectively, for grants under its stock-based compensation
plans.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Stock-based compensation
expense recognized in the consolidated condensed statements of
operations for the 12 and 36 weeks ended September 8, 2012 and
September 10, 2011, is based on awards ultimately expected to
vest and, as such, has been reduced for estimated forfeitures. ASC
718 requires forfeitures to be estimated at the time of grant and
revised, if necessary, in subsequent periods if actual forfeitures
differ from those estimates. Forfeitures were estimated based on
historical experience.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2"><b>12. SUBSEQUENT
EVENTS</b></font></p>
<p style="PADDING-BOTTOM: 0px; MARGIN-TOP: 6px; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: Times New Roman" size="2">On
October 9, 2012, subsequent to the end of the third quarter,
the Company acquired PLG. PLG markets casual and athletic footwear,
apparel and related accessories for adults and children under
well-known brand names including <i>Sperry
Top-Sider</i><font style="FONT-FAMILY: Times New Roman" size="1"><sup style="POSITION: relative; BOTTOM: 0.8ex; VERTICAL-ALIGN: baseline">®</sup></font>,
<i>Stride Rite</i><font style="FONT-FAMILY: Times New Roman" size="1"><sup style="POSITION: relative; BOTTOM: 0.8ex; VERTICAL-ALIGN: baseline">®</sup></font>,
<i>Saucony</i><font style="FONT-FAMILY: Times New Roman" size="1"><sup style="POSITION: relative; BOTTOM: 0.8ex; VERTICAL-ALIGN: baseline">®</sup></font>
and <i>Keds</i><font style="FONT-FAMILY: Times New Roman" size="1"><sup style="POSITION: relative; BOTTOM: 0.8ex; VERTICAL-ALIGN: baseline">®</sup></font>. Subject
to the finalization of post-closing adjustments set forth in the
purchase agreement related to PLG’s net assets, the
consideration paid to acquire PLG was approximately $1,237 million
in cash. Subsequent to the announcement of the acquisition
agreement in the second quarter of fiscal 2012, the Company
incurred $9.4 million of expenses attributable to the PLG
acquisition, including $4.4 million in the third quarter of fiscal
2012.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">Subsequent to the end of
the third quarter, the Company entered into a new credit agreement
(“New Credit Agreement”) with a bank syndicate. The New
Credit Agreement provides the Company with a $1.1 billion secured
credit facility consisting of a term loan A facility in an
aggregate amount of up to $550.0 million, a term loan B facility in
an aggregate amount up to $350.0 million and a revolving credit
facility in an aggregate amount of up to $200.0 million. The New
Credit Agreement is subject to increase up to a maximum aggregate
amount of $1.3 billion under certain circumstances. In addition to
the New Credit Agreement, the Company issued $375.0 million
aggregate principal amount of 6.125% senior notes in a private
offering.</font></p>
</div>
<div>
<p style="margin-top:0px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>9. INCOME
TAXES</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">For the 12 weeks ended
September 8, 2012 and September 10, 2011, the
Company’s effective tax rate was 27.1% and 28.3%,
respectively. For the 36 weeks ended September 8, 2012 and
September 10, 2011, the Company’s effective tax rate was
17.7% and 27.6%, respectively. The lower effective tax rates
reflect the on-going benefits of a favorable court decision in the
first half of fiscal 2012 in a foreign tax jurisdiction supporting
the Company’s long-term global tax planning
strategies.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company maintains
certain strategic management and operational activities in overseas
subsidiaries, and its foreign earnings are taxed at rates that are
generally lower than the U.S. federal statutory income tax rate. A
significant amount of the Company’s earnings are generated by
its Canadian, European and Asia Pacific subsidiaries and, to a
lesser extent, in jurisdictions that are not subject to income tax
and free trade zones where the Company owns manufacturing
operations. The Company has not provided for U.S. taxes for
earnings generated in foreign jurisdictions because it plans to
reinvest these earnings indefinitely outside the U.S. However, if
certain foreign earnings previously treated as permanently
reinvested are repatriated, the additional U.S. tax liability could
have a material adverse effect on the Company’s after-tax
results of operations and financial position.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company is subject to
periodic audits by domestic and foreign tax authorities. Currently,
the Company is undergoing routine periodic audits in both domestic
and foreign tax jurisdictions. It is reasonably possible that the
amounts of unrecognized tax benefits could change in the next 12
months as a result of the audits; however, any payment of tax is
not expected to be significant to the consolidated financial
statements.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">For the majority of tax
jurisdictions, the Company is no longer subject to U.S. federal,
state and local, or non-U.S. income tax examinations by tax
authorities for years before 2007.</font></p>
</div>
<div>
<p style="margin-top:0px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Business segment information
is as follows:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="92%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="58%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>12 Weeks Ended
September 8, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Branded<br />
Footwear,<br />
Apparel and<br />
Licensing</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Other</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Business  Units</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Corporate</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Consolidated</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>318,262</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>34,805</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>353,067</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intersegment
revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>18,013</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>997</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>19,010</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Earnings (loss) before
income taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>56,666</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1,423</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(13,170</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>44,919</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Total assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>767,910</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>59,080</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>121,056</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>948,046</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td height="16"></td>
<td height="16" colspan="16"></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>36 Weeks Ended September
8, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Branded<br />
Footwear,<br />
Apparel and<br />
Licensing</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Other<br />
Business Units</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b><br />
Corporate</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b><br />
Consolidated</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>888,119</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>100,476</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>988,595</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intersegment
revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>42,679</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>2,544</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>45,223</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Earnings (loss) before
income taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>144,164</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>2,884</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(44,680</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>102,368</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Total assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>767,910</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>59,080</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>121,056</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>948,046</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td height="16"></td>
<td height="16" colspan="16"></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">12 Weeks Ended September 10,
2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">Branded</font><br />
<font style="font-family:Times New Roman" size="1">Footwear,<br />
Apparel and<br />
Licensing</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">Other<br />
Business Units</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><br />
Corporate</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><br />
Consolidated</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">332,696</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">28,894</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">361,590</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intersegment
revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">14,016</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">597</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">14,613</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Earnings (loss) before
income taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">64,669</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">806</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(9,070</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">56,405</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Total assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">717,392</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">61,956</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">116,201</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">895,549</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td height="16"></td>
<td height="16" colspan="16"></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">36 Weeks Ended September 10,
2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">Branded<br />
Footwear,<br />
Apparel and<br />
Licensing</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">Other<br />
Business Units</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><br />
Corporate</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><br />
Consolidated</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">912,286</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">90,315</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,002,601</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intersegment
revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">33,923</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,469</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">35,392</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Earnings (loss) before
income taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">163,610</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,268</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(27,388</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">138,490</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Total assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">717,392</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">61,956</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">116,201</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">895,549</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
</table>
</div>
<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>11. NEW ACCOUNTING
STANDARDS</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">In July 2012, the FASB
issued ASU 2012-02, <i>Intangibles-Goodwill and Other (ASC Topic
350) Testing Indefinite-Lived Intangible Assets for Impairment</i>
(“ASU 2012-02”). ASU 2012-02 amends prior
indefinite-lived intangible asset impairment testing guidance.
Under ASU 2012-02, the Company has the option to first assess
qualitative factors to determine whether it is more likely than not
(a likelihood of more than 50%) that an indefinite-lived intangible
asset is impaired. If, after considering the totality of events and
circumstances, an entity determines it is more likely than not that
an indefinite-lived intangible asset is not impaired, then
calculating the fair value of such asset is unnecessary. ASU
2012-02 will be effective for the Company during the interim and
annual periods beginning after September 15, 2012. The
adoption of ASU 2012-02 is not expected to have an impact on the
Company's consolidated financial position, results of operations or
cash flows.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">In June 2011, the FASB
issued ASU 2011-05, <i>Comprehensive Income (Topic 220),
Presentation of Comprehensive Income</i> (“ASU
2011-05”). ASU 2011-05 eliminates the option to present other
comprehensive income (“OCI”) in the statement of
stockholders’ equity. Under ASU 2011-05, the Company has the
option to present the total of comprehensive income, the components
of net income and the components of OCI in either a continuous
statement of comprehensive income or in two separate continuous
statements. Earnings per share would continue to be based on net
income. Also in December 2011, the FASB issued ASU 2011-12,
<i>Comprehensive Income (Topic 220), Deferral of the Effective Date
for Amendments to the Presentation of Reclassifications of Items
Out of Accumulated Other Comprehensive Income in Accounting
Standards Update No. 2011-05</i> (“ASU 2011-12”).
ASU 2011-12 defers the ASU 2011-05 requirement that companies
present reclassification adjustments for each component of
accumulated other comprehensive income in both net income and OCI
on the face of the financial statements. The Company adopted the
current required provisions of ASU 2011-05 in the first quarter of
fiscal 2012 as noted in the consolidated statement of operations
and comprehensive income. The adoption of ASU 2011-12 did not have
a material impact on the Company’s consolidated financial
position, results of operations or cash flows.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">In May 2011, the FASB issued
ASU 2011-04, <i>Fair Value Measurement (Topic 820), Amendments to
achieve Common Fair Value Measurement and Disclosure Requirements
in U.S. GAAP and IFRS</i> (“ASU 2011-04”). ASU 2011-04
amends the fair value measurement and disclosure guidance in ASC
820, <i>Fair Value Measurement</i>, to converge U.S. GAAP and IFRS
requirements for measuring amounts at fair value as well as
disclosures about these measurements. ASU 2011-04 was effective for
interim and annual periods beginning after December 15, 2011
and was adopted in the first quarter of fiscal 2012. The applicable
disclosures have been provided in Note 6. The adoption of ASU
2011-04 did not affect the Company’s consolidated financial
position, results of operations or cash flows.</font></p>
</div>
<div>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">In June 2011, the FASB
issued ASU 2011-05, <i>Comprehensive Income (Topic 220),
Presentation of Comprehensive Income</i> (“ASU
2011-05”). ASU 2011-05 eliminates the option to present other
comprehensive income (“OCI”) in the statement of
stockholders’ equity. Under ASU 2011-05, the Company has the
option to present the total of comprehensive income, the components
of net income and the components of OCI in either a continuous
statement of comprehensive income or in two separate continuous
statements. Earnings per share would continue to be based on net
income. Also in December 2011, the FASB issued ASU 2011-12,
<i>Comprehensive Income (Topic 220), Deferral of the Effective Date
for Amendments to the Presentation of Reclassifications of Items
Out of Accumulated Other Comprehensive Income in Accounting
Standards Update No. 2011-05</i> (“ASU 2011-12”).
ASU 2011-12 defers the ASU 2011-05 requirement that companies
present reclassification adjustments for each component of
accumulated other comprehensive income in both net income and OCI
on the face of the financial statements. The Company adopted the
current required provisions of ASU 2011-05 in the first quarter of
fiscal 2012 as noted in the consolidated statement of operations
and comprehensive income. The adoption of ASU 2011-12 did not have
a material impact on the Company’s consolidated financial
position, results of operations or cash flows.</font></p>
</div>
<div>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The following table sets
forth the computation of basic and diluted earnings per
share:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="92%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="55%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>12 Weeks
Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>36 weeks
Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">September 10,</font><br />
<font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">September 10,</font><br />
<font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Numerator:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net earnings attributable to
Wolverine World Wide, Inc.</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>32,727</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">40,435</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>84,403</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">100,274</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Adjustment for earnings
allocated to non-vested restricted common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(537</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(667</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(1,463</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,660</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net earnings used in
calculating basic earnings per share</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>32,190</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">39,768</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>82,940</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">98,614</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Adjustment for earnings
reallocated from non-vested restricted common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>22</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">22</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>59</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">54</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net earnings used in
calculating diluted earnings per share</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>32,212</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">39,790</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>82,999</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">98,668</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Denominator:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Weighted average shares
outstanding</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>48,871,922</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">48,935,385</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>48,666,772</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">49,222,489</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Adjustment for non-vested
restricted common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(1,379,484</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,472,537</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(1,392,401</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,447,687</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Shares used in calculating
basic earnings per share</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>47,492,438</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">47,462,848</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>47,274,371</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">47,774,802</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Effect of dilutive stock
options</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1,122,179</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,267,681</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1,126,277</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,298,245</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Shares used in calculating
diluted earnings per share</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>48,614,617</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">48,730,529</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>48,400,648</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">49,073,047</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net earnings per
share:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:5.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Basic</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>0.68</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">0.84</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1.75</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2.06</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:5.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Diluted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>0.66</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">0.82</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1.71</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2.01</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
</table>
</div>
<div>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">A summary of net pension and
Supplemental Executive Retirement Plan expense recognized by the
Company is as follows:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="92%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="58%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>12
Weeks Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>36 weeks
Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">September 10,</font><br />
<font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">September 10,</font><br />
<font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Service cost pertaining to
benefits earned during the period</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,779</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,500</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">5,337</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">4,500</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Interest cost on projected
benefit obligations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>3,289</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">3,075</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>9,867</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">9,225</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Expected return on pension
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(3,431</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(3,323</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(10,295</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(9,969</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net amortization
loss</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>4,838</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,787</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>14,514</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">8,361</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Net pension
expense</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>6,475</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">4,039</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>19,423</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">12,117</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Revenue
Recognition</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Revenue is recognized on the
sale of products manufactured or sourced by the Company when the
related goods have been shipped, legal title has passed to the
customer and collectability is reasonably assured. Revenue
generated through licensees and distributors involving products
bearing the Company’s trademarks is recognized as earned
according to stated contractual terms upon either the purchase or
shipment of branded products by licensees and
distributors.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company records
provisions for estimated sales returns and allowances at the time
of sale based on historical rates of returns and allowances and
specific identification of outstanding returns not yet received
from customers. However, estimates of actual returns and allowances
in any future period are inherently uncertain and actual returns
and allowances may differ from these estimates. If actual or
expected future returns and allowances were significantly greater
or lower than established reserves, a reduction or increase to net
revenues would be recorded in the period this determination was
made.</font></p>
</div>
<div>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The ending accumulated other
comprehensive income (loss) is as follows:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="92%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="58%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Foreign</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Currency</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Foreign</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Exchange<br />
Contracts</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Defined</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Benefit</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Pension Plans</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Accumulated<br />
Other<br />
Comprehensive<br />
Income (Loss)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at January 1,
2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">11,548</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,815</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(50,856</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(41,123</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Current-period other
comprehensive income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">7,298</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">62</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">7,360</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at June 18,
2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">18,846</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,753</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(50,856</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(33,763</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Current-period other
comprehensive income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(3,371</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,871</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,500</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at
September 10, 2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">15,475</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">118</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(50,856</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(35,263</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Current-period other
comprehensive income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(15,217</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">3,177</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(23,726</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(35,766</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at December 31,
2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">258</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">3,295</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(74,582</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(71,029</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Current-period other
comprehensive income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,507</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,278</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(2,785</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at June 16,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,249</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,017</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(74,582</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(73,814</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Current-period other
comprehensive income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>6,183</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(1,762</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>4,421</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at September 8,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>4,934</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>255</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(74,582</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(69,393</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2"><b>6. FINANCIAL INSTRUMENTS
AND RISK MANAGEMENT</b></font></p>
<p style="MARGIN-TOP: 6px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">The Company follows FASB
ASC Topic 820, <i>Fair Value Measurements and Disclosures</i>
(“ASC 820”), which provides a consistent definition of
fair value, focuses on exit price, prioritizes the use of
market-based inputs over entity-specific inputs for measuring fair
value and establishes a three-tier hierarchy for fair value
measurements. This topic requires fair value measurements to be
classified and disclosed in one of the following three
categories:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="4%"><font size="1"> </font></td>
<td valign="top" width="9%" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Level 1:</font></td>
<td valign="top" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Fair value is measured
using quoted prices (unadjusted) in active markets for identical
assets and liabilities.</font></td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="4%"><font size="1"> </font></td>
<td valign="top" width="9%" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Level 2:</font></td>
<td valign="top" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Fair value is measured
using either direct or indirect inputs, other than quoted prices
included within Level 1, which are observable for similar assets or
liabilities.</font></td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="4%"><font size="1"> </font></td>
<td valign="top" width="9%" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Level 3:</font></td>
<td valign="top" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Fair value is measured
using valuation techniques in which one or more significant inputs
are unobservable.</font></td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">The Company’s
financial instruments consist of cash and cash equivalents,
accounts and notes receivable, accounts payable, foreign currency
forward exchange contracts and borrowings under the Company’s
revolving credit agreement. The carrying amount of the
Company’s financial instruments is historical cost, which
approximates their fair value, except for the foreign currency
exchange contracts, which are carried at fair value. The Company
does not hold or issue financial instruments for trading
purposes.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">At September 8, 2012
and September 10, 2011, a liability of $1,545 and an asset of
$1,334 respectively, have been recognized for the fair value of the
Company’s foreign exchange contracts. In accordance with ASC
820, this asset and liability fall within Level 2 of the fair value
hierarchy. The prices for the financial instruments are determined
using prices for recently-traded financial instruments with similar
underlying terms as well as directly or indirectly observable
inputs. The Company did not have any additional assets or
liabilities that were measured at fair value on a recurring basis
at September 8, 2012 and September 10, 2011.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">The Company follows FASB
ASC Topic 815, <i>Derivatives and Hedging</i>, which is intended to
improve transparency in financial reporting and requires that all
derivative instruments be recorded on the consolidated balance
sheets at fair value by establishing criteria for designation and
effectiveness of hedging relationships. The Company utilizes
foreign currency forward exchange contracts to manage the
volatility associated with U.S. dollar inventory purchases made by
non-U.S. wholesale operations in the normal course of business. At
September 8, 2012 and September 10, 2011, foreign
exchange contracts with a notional value of $83,080 and $69,413
respectively, were outstanding to purchase U.S. dollars with
maturities ranging up to 336 days. These contracts have been
designated as cash flow hedges.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">The fair value of the
foreign currency forward exchange contracts represents the
estimated receipts or payments necessary to terminate the
contracts. Hedge effectiveness is evaluated by the hypothetical
derivative method. Any hedge ineffectiveness is reported within the
cost of goods sold caption of the consolidated condensed statements
of operations. Hedge ineffectiveness was not material to the
Company’s consolidated condensed financial statements for the
12 and 36 weeks ended September 8, 2012 and September 10,
2011. If, in the future, the foreign exchange contracts are
determined to be ineffective hedges or terminated before their
contractual termination dates, the Company would be required to
reclassify into earnings all or a portion of the unrealized amounts
related to the cash flow hedges that are currently included in
accumulated other comprehensive income (loss) within
stockholders’ equity.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">For the 12 weeks ended
September 8, 2012 and September 10, 2011, the Company
recognized a net gain of $790 and a net loss of $469, respectively,
in accumulated other comprehensive income (loss) related to the
effective portion of its foreign exchange contracts. For the 12
weeks ended September 8, 2012 and September 10, 2011, the
Company reclassified a loss of $697 and a gain of $581,
respectively, from accumulated other comprehensive income (loss)
into cost of goods sold related to the effective portion of its
foreign exchange contracts designated and qualifying as cash flow
hedges. For the 36 weeks ended September 8, 2012 and
September 10, 2011, the Company recognized a net gain of
$2,295 and a net loss of $2,024, respectively, in accumulated other
comprehensive income (loss) related to the effective portion of its
foreign exchange contracts. For the 36 weeks ended
September 8, 2012 and September 10, 2011, the Company
reclassified a loss of $1,925 and a gain of $2,176, respectively,
from accumulated other comprehensive income (loss) into cost of
goods sold related to the effective portion of its foreign exchange
contracts designated and qualifying as cash flow hedges.</font></p>
</div>
<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>1. SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Nature of
Operations</b></font></p>
<p style="margin-top:6px;margin-bottom:0px;padding-bottom:0px;">
<font style="font-family:Times New Roman" size="2">Wolverine World
Wide, Inc. (the “Company”) is a leading designer,
manufacturer and marketer of a broad range of quality casual
footwear and apparel; performance outdoor footwear and apparel;
industrial work shoes, boots and apparel; and uniform shoes and
boots. The Company’s portfolio of owned and licensed brands
includes: <i>Bates</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Cat</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>
Footwear, <i>Chaco</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Cushe</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Harley-Davidson</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>
Footwear, <i>Hush Puppies</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>HyTest</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Merrell</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Patagonia</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>
Footwear, <i>Sebago</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Soft Style</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>
and <i>Wolverine</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>.
Licensing and distribution arrangements with third parties extend
the global reach of the Company’s brand portfolio. The
Company also operates a consumer-direct division to market both its
own brands and branded footwear and apparel from other
manufacturers and a leathers division that markets <i>Wolverine
Performance Leathers</i>™.</font></p>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Basis of
Presentation</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The accompanying unaudited
consolidated condensed financial statements have been prepared in
accordance with accounting principles generally accepted in the
United States (“U.S. GAAP”) for interim financial
information and with the instructions to the Quarterly Report on
Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they do
not include all of the information and footnotes required by U.S.
GAAP for a complete presentation of the financial statements. In
the opinion of management, all adjustments (consisting of normal
recurring accruals) considered necessary for fair presentation have
been included in the accompanying financial statements. For further
information, refer to the consolidated financial statements and
footnotes included in the Company’s Annual Report on Form
10-K for the fiscal year ended December 31, 2011.</font></p>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Revenue
Recognition</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Revenue is recognized on the
sale of products manufactured or sourced by the Company when the
related goods have been shipped, legal title has passed to the
customer and collectability is reasonably assured. Revenue
generated through licensees and distributors involving products
bearing the Company’s trademarks is recognized as earned
according to stated contractual terms upon either the purchase or
shipment of branded products by licensees and
distributors.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company records
provisions for estimated sales returns and allowances at the time
of sale based on historical rates of returns and allowances and
specific identification of outstanding returns not yet received
from customers. However, estimates of actual returns and allowances
in any future period are inherently uncertain and actual returns
and allowances may differ from these estimates. If actual or
expected future returns and allowances were significantly greater
or lower than established reserves, a reduction or increase to net
revenues would be recorded in the period this determination was
made.</font></p>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Cost of Goods
Sold</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Cost of goods sold includes
the actual product costs, including inbound and outbound freight
charges, purchasing, sourcing, inspection and receiving costs.
Warehousing costs are included in selling, general and
administrative expenses.</font></p>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Seasonality</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company’s business
is subject to seasonal influences and the Company’s fiscal
year has twelve weeks in each of the first three quarters and,
depending on the fiscal calendar, sixteen or seventeen weeks in the
fourth quarter. Both of these factors can cause significant
differences in revenue, earnings and cash flows from quarter to
quarter; however, the differences have followed a consistent
pattern in previous years.</font></p>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Reclassifications</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Certain prior period amounts
on the consolidated condensed financial statements have been
reclassified to conform to current period presentation. These
reclassifications did not affect net earnings.</font></p>
</div>
<div>
<p style="margin-top:0px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>7. STOCK-BASED
COMPENSATION</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company accounts for
stock-based compensation in accordance with the fair value
recognition provisions of FASB ASC Topic 718, <i>Compensation
– Stock Compensation</i> (“ASC 718”). The Company
recognized compensation expense of $3,119 and $10,977 and related
income tax benefits of $1,047 and $3,591 for grants under its
stock-based compensation plans in the statements of operations for
the 12 and 36 weeks ended September 8, 2012, respectively. For
the 12 and 36 weeks ended September 10, 2011, the Company
recognized compensation expense of $2,783 and $10,160,
respectively, and related income tax benefits of $908 and $3,278,
respectively, for grants under its stock-based compensation
plans.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Stock-based compensation
expense recognized in the consolidated condensed statements of
operations for the 12 and 36 weeks ended September 8, 2012 and
September 10, 2011, is based on awards ultimately expected to
vest and, as such, has been reduced for estimated forfeitures. ASC
718 requires forfeitures to be estimated at the time of grant and
revised, if necessary, in subsequent periods if actual forfeitures
differ from those estimates. Forfeitures were estimated based on
historical experience.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company estimated the
fair value of employee stock options on the date of grant using the
Black-Scholes model. The estimated weighted-average fair value for
each option granted was $10.72 and $10.47 for the 36 weeks ended
September 8, 2012 and September 10, 2011, respectively,
with the following weighted-average assumptions:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="92%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="56%"></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>12 Weeks
Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>36 weeks
Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center"><font style="font-family:Times New Roman" size="1">September 10,</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center"><font style="font-family:Times New Roman" size="1">September 10,</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Expected market price
volatility</font> <font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">(1)</sup></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>36.9</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">38.8</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>37.8</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">38.6</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Risk-free interest
rate</font> <font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">(2)</sup></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>0.5</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1.1</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>0.6</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1.8</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Dividend yield</font>
<font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">(3)</sup></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1.3</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1.4</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1.3</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1.6</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Expected term</font>
<font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">(4)</sup></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>4 years</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">4 years</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>4 years</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">4 years</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
</table>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table style="BORDER-COLLAPSE:COLLAPSE" border="0" cellpadding="0" cellspacing="0" width="100%">
<tr>
<td width="4%" valign="top" align="left"><font style="font-family:Times New Roman" size="2">(1)</font></td>
<td align="left" valign="top"><font style="font-family:Times New Roman" size="2">Based on historical
volatility of the Company's common stock. The expected volatility
is based on the daily percentage change in the price of the stock
over the four years prior to the grant.</font></td>
</tr>
</table>
<table style="BORDER-COLLAPSE:COLLAPSE" border="0" cellpadding="0" cellspacing="0" width="100%">
<tr>
<td width="4%" valign="top" align="left"><font style="font-family:Times New Roman" size="2">(2)</font></td>
<td align="left" valign="top"><font style="font-family:Times New Roman" size="2">Represents the U.S. Treasury
yield curve in effect for the expected term of the option at the
time of grant.</font></td>
</tr>
</table>
<table style="BORDER-COLLAPSE:COLLAPSE" border="0" cellpadding="0" cellspacing="0" width="100%">
<tr>
<td width="4%" valign="top" align="left"><font style="font-family:Times New Roman" size="2">(3)</font></td>
<td align="left" valign="top"><font style="font-family:Times New Roman" size="2">Represents the Company's
cash dividend yield for the expected term.</font></td>
</tr>
</table>
<table style="BORDER-COLLAPSE:COLLAPSE" border="0" cellpadding="0" cellspacing="0" width="100%">
<tr>
<td width="4%" valign="top" align="left"><font style="font-family:Times New Roman" size="2">(4)</font></td>
<td align="left" valign="top"><font style="font-family:Times New Roman" size="2">Represents the period of
time that options granted are expected to be outstanding. As part
of the determination of the expected term, the Company concluded
that all employee groups exhibit similar exercise and post-vesting
termination behavior.</font></td>
</tr>
</table>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company issued 354,867
and 1,192,750 shares of common stock in connection with the
exercise of stock options and new restricted stock grants made
during the 12 and 36 weeks ended September 8, 2012,
respectively. During the 12 and 36 weeks ended September 8,
2012, the Company cancelled 20,737 and 36,346 shares, respectively,
of common stock issued under restricted stock awards as a result of
forfeitures. The Company issued 160,209 and 1,055,325 shares of
common stock in connection with the exercise of stock options and
restricted stock grants made during the 12 and 36 weeks ended
September 10, 2011, respectively. During the 12 and 36 weeks
ended September 10, 2011, the Company cancelled 75,423 and
84,951 shares, respectively, of common stock issued under
restricted stock awards as a result of forfeitures.</font></p>
</div>
<div>
<p style="margin-top:0px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>3. GOODWILL AND
OTHER NON-AMORTIZABLE INTANGIBLES</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The changes in the carrying
amount of goodwill and other non-amortizable intangibles are as
follows:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="76%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Goodwill</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Other 
Non-</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Amortizable<br />
Intangibles</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at
September 10, 2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">39,590</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">16,612</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intangibles
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">969</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Foreign currency translation
effects</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(696</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(206</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at December 31,
2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">38,894</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">17,375</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intangibles
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>465</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Foreign currency translation
effects</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>723</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(4</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at September 8,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>39,617</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>17,836</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>10. LITIGATION AND
CONTINGENCIES</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company is involved in
various environmental claims and other legal actions arising in the
normal course of business. The environmental claims include sites
where the U.S. Environmental Protection Agency has notified the
Company that it is a potentially responsible party with respect to
environmental remediation. These remediation claims are subject to
ongoing environmental impact studies, assessment of remediation
alternatives, allocation of costs between responsible parties and
concurrence by regulatory authorities and have not yet advanced to
a stage where the Company’s liability is fixed. However,
after taking into consideration legal counsel’s evaluation of
all actions and claims against the Company, it is
management’s opinion that the outcome of these matters will
not have a material adverse effect on the Company’s
consolidated financial position, results of operations or cash
flows.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company is involved in
routine litigation incidental to its business and is a party to
legal actions and claims, including, but not limited to, those
related to employment and intellectual property. Some of the legal
proceedings include claims for compensatory as well as punitive
damages. While the final outcome of these matters cannot be
predicted with certainty, considering, among other things, the
meritorious legal defenses available and liabilities that have been
recorded along with applicable insurance, it is management’s
opinion that the outcome of these items will not have a material
adverse effect on the Company’s financial position, results
of operations or cash flows.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">During the second quarter of
fiscal 2012, the Company entered into agreements to acquire the
Performance + Lifestyle Group (“PLG”) business of
Collective Brands, Inc. (“CBI”). This acquisition,
which closed on October 9, 2012, was conditioned upon the
prior or concurrent consummation of the merger
(“Merger”) contemplated by the Agreement and Plan of
Merger dated as of May 1, 2012 (“Merger
Agreement”). The Company and the other parties to the Merger
Agreement, among others, were named as defendants in five lawsuits
filed in the Court of Chancery of the State of Delaware and one
lawsuit filed in the District Court of Shawnee County, Kansas, in
connection with the Merger. The Delaware lawsuits were
consolidated, and the parties to the Kansas litigation agreed to
stay those proceedings pending final resolution of the Delaware
litigation. These lawsuits generally alleged, among other things,
that CBI’s board of directors and certain of its executive
officers violated various fiduciary duties relating to maximizing
stockholder value in negotiating and approving the Merger, and that
the Company and certain other defendants aided and abetted such
alleged breaches of fiduciary duties. The Delaware plaintiffs
sought to enjoin defendants from taking any action to consummate
the transactions contemplated by the Merger Agreement as well as
monetary damages including attorneys’ fees and expenses. The
Company and the other defendants to these lawsuits have entered
into a memorandum of understanding with the Delaware and Kansas
plaintiffs pursuant to which CBI agreed to amend its proxy
materials. The memorandum of understanding contemplates that the
parties will enter into a stipulation of settlement, which must be
approved by the Delaware court. Pursuant to that stipulation as
currently drafted, a class will be certified in the consolidated
Delaware action, the defendants will not object to an award of
attorneys fees up to a not yet defined amount to be paid by CBI and
steps will be taken to dismiss the Kansas lawsuit. The contemplated
settlement is not expected to have a material adverse effect on the
Company’s financial position, results of operations or cash
flows.</font></p>
<p style="font-size:1px;margin-top:12px;margin-bottom:0px">
 </p>
<p style="margin-top:0px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company has future
minimum royalty and advertising obligations due under the terms of
certain licenses held by the Company. These minimum future
obligations are as follows:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="100%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="64%"></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2013</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2014</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2015</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2016</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Thereafter</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Minimum royalties</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">750</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">900</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,200</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,500</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Minimum
advertising</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,360</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,645</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,724</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,806</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,890</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">5,236</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
</table>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Minimum royalties are based
on both fixed obligations and assumptions regarding the consumer
price index. Royalty obligations in excess of minimum requirements
are based upon future sales levels. In accordance with the
applicable agreements, the Company incurred royalty expense of $430
and $1,295, respectively, for the 12 and 36 weeks ended
September 8, 2012, and has met the minimum royalties required
for fiscal 2012. For the 12 and 36 weeks ended September 10,
2011, the Company incurred royalty expense of $743 and $2,407,
respectively.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The terms of certain license
agreements also require the Company to make advertising
expenditures based on the level of sales. In accordance with these
agreements, the Company incurred advertising expense of $884 and
$2,627 for the 12 and 36 weeks ended September 8, 2012, and
has met the minimum advertising required for fiscal 2012. For the
12 and 36 weeks ended September 10, 2011, the Company incurred
advertising expense of $794 and $2,245, respectively.</font></p>
</div>
<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>5. BUSINESS
SEGMENTS</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company has one
reportable segment that is engaged in designing, manufacturing,
sourcing, marketing, licensing and distributing branded footwear,
apparel and accessories. Revenue from this segment is derived from
the sale of branded footwear, apparel and accessories to
third-party customers and income from the licensing and
distribution agreements for the Company’s trademarks and
brand names with third-party licensees and distributors. The
operating units aggregated into the branded footwear, apparel and
licensing reportable segment all source, market and distribute
products in a similar manner.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The other business units in
the following tables consist of the Company’s consumer-direct
business and the Company’s leather marketing operations,
Wolverine Leathers. These other operations do not collectively form
a reportable segment at September 8, 2012 because their
respective operations are dissimilar and they do not meet the
applicable quantitative requirements. At September 8, 2012,
the Company owned and operated 100 brick-and-mortar retail stores
in the United States, Canada and the United Kingdom and operated 38
consumer-direct websites. The other business units distribute
products through retail and wholesale channels.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company measures segment
profits as earnings before income taxes. The accounting policies
used to determine profitability and total assets of the branded
footwear, apparel and licensing reportable segment and other
business units are the same as disclosed in Note 1.</font></p>
<p style="font-size:1px;margin-top:24px;margin-bottom:0px">
 </p>
<p style="margin-top:0px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Business segment information
is as follows:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="92%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="58%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>12 Weeks Ended
September 8, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Branded<br />
Footwear,<br />
Apparel and<br />
Licensing</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Other</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Business  Units</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Corporate</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Consolidated</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>318,262</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>34,805</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>353,067</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intersegment
revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>18,013</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>997</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>19,010</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Earnings (loss) before
income taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>56,666</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1,423</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(13,170</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>44,919</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Total assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>767,910</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>59,080</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>121,056</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>948,046</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td height="16"></td>
<td height="16" colspan="16"></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>36 Weeks Ended September
8, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Branded<br />
Footwear,<br />
Apparel and<br />
Licensing</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Other<br />
Business Units</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b><br />
Corporate</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b><br />
Consolidated</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>888,119</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>100,476</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>988,595</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intersegment
revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>42,679</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>2,544</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>45,223</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Earnings (loss) before
income taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>144,164</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>2,884</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(44,680</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>102,368</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Total assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>767,910</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>59,080</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>121,056</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>948,046</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td height="16"></td>
<td height="16" colspan="16"></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">12 Weeks Ended September 10,
2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">Branded</font><br />
<font style="font-family:Times New Roman" size="1">Footwear,<br />
Apparel and<br />
Licensing</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">Other<br />
Business Units</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><br />
Corporate</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><br />
Consolidated</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">332,696</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">28,894</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">361,590</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intersegment
revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">14,016</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">597</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">14,613</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Earnings (loss) before
income taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">64,669</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">806</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(9,070</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">56,405</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Total assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">717,392</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">61,956</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">116,201</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">895,549</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td height="16"></td>
<td height="16" colspan="16"></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">36 Weeks Ended September 10,
2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">Branded<br />
Footwear,<br />
Apparel and<br />
Licensing</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">Other<br />
Business Units</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><br />
Corporate</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><br />
Consolidated</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">912,286</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">90,315</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,002,601</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intersegment
revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">33,923</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,469</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">35,392</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Earnings (loss) before
income taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">163,610</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,268</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(27,388</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">138,490</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Total assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">717,392</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">61,956</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">116,201</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">895,549</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">The Company follows FASB
ASC Topic 815, <i>Derivatives and Hedging</i>, which is intended to
improve transparency in financial reporting and requires that all
derivative instruments be recorded on the consolidated balance
sheets at fair value by establishing criteria for designation and
effectiveness of hedging relationships. The Company utilizes
foreign currency forward exchange contracts to manage the
volatility associated with U.S. dollar inventory purchases made by
non-U.S. wholesale operations in the normal course of business. At
September 8, 2012 and September 10, 2011, foreign
exchange contracts with a notional value of $83,080 and $69,413
respectively, were outstanding to purchase U.S. dollars with
maturities ranging up to 336 days. These contracts have been
designated as cash flow hedges.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">The fair value of the
foreign currency forward exchange contracts represents the
estimated receipts or payments necessary to terminate the
contracts. Hedge effectiveness is evaluated by the hypothetical
derivative method. Any hedge ineffectiveness is reported within the
cost of goods sold caption of the consolidated condensed statements
of operations. Hedge ineffectiveness was not material to the
Company’s consolidated condensed financial statements for the
12 and 36 weeks ended September 8, 2012 and September 10,
2011. If, in the future, the foreign exchange contracts are
determined to be ineffective hedges or terminated before their
contractual termination dates, the Company would be required to
reclassify into earnings all or a portion of the unrealized amounts
related to the cash flow hedges that are currently included in
accumulated other comprehensive income (loss) within
stockholders’ equity.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">For the 12 weeks ended
September 8, 2012 and September 10, 2011, the Company
recognized a net gain of $790 and a net loss of $469, respectively,
in accumulated other comprehensive income (loss) related to the
effective portion of its foreign exchange contracts. For the 12
weeks ended September 8, 2012 and September 10, 2011, the
Company reclassified a loss of $697 and a gain of $581,
respectively, from accumulated other comprehensive income (loss)
into cost of goods sold related to the effective portion of its
foreign exchange contracts designated and qualifying as cash flow
hedges. For the 36 weeks ended September 8, 2012 and
September 10, 2011, the Company recognized a net gain of
$2,295 and a net loss of $2,024, respectively, in accumulated other
comprehensive income (loss) related to the effective portion of its
foreign exchange contracts. For the 36 weeks ended
September 8, 2012 and September 10, 2011, the Company
reclassified a loss of $1,925 and a gain of $2,176, respectively,
from accumulated other comprehensive income (loss) into cost of
goods sold related to the effective portion of its foreign exchange
contracts designated and qualifying as cash flow hedges.</font></p>
</div>
526798
<div>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company calculates
earnings per share in accordance with Financial Accounting
Standards Board (“FASB”) Accounting Standards
Codification (“ASC”) Topic 260, Earnings Per Share
(“ASC 260”). ASC 260 addresses whether instruments
granted in share-based payment transactions are participating
securities prior to vesting, and therefore need to be included in
the earnings allocation in computing earnings per share under the
two-class method. Under the guidance in ASC 260, the
Company’s unvested share-based payment awards that contain
non-forfeitable rights to dividends or dividend equivalents,
whether paid or unpaid, are participating securities and must be
included in the computation of earnings per share pursuant to the
two-class method.</font></p>
</div>
<div>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company estimated the
fair value of employee stock options on the date of grant using the
Black-Scholes model. The estimated weighted-average fair value for
each option granted was $10.72 and $10.47 for the 36 weeks ended
September 8, 2012 and September 10, 2011, respectively,
with the following weighted-average assumptions:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="92%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="56%"></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>12 Weeks
Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="6" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>36 weeks
Ended</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center"><font style="font-family:Times New Roman" size="1">September 10,</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center"><font style="font-family:Times New Roman" size="1"><b>September 8,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center"><font style="font-family:Times New Roman" size="1">September 10,</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1">2011</font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Expected market price
volatility</font> <font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">(1)</sup></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>36.9</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">38.8</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>37.8</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">38.6</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Risk-free interest
rate</font> <font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">(2)</sup></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>0.5</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1.1</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>0.6</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1.8</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Dividend yield</font>
<font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">(3)</sup></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1.3</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1.4</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>1.3</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>% </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1.6</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">% </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Expected term</font>
<font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">(4)</sup></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>4 years</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">4 years</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>4 years</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">4 years</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
</table>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table style="BORDER-COLLAPSE:COLLAPSE" border="0" cellpadding="0" cellspacing="0" width="100%">
<tr>
<td width="4%" valign="top" align="left"><font style="font-family:Times New Roman" size="2">(1)</font></td>
<td align="left" valign="top"><font style="font-family:Times New Roman" size="2">Based on historical
volatility of the Company's common stock. The expected volatility
is based on the daily percentage change in the price of the stock
over the four years prior to the grant.</font></td>
</tr>
</table>
<table style="BORDER-COLLAPSE:COLLAPSE" border="0" cellpadding="0" cellspacing="0" width="100%">
<tr>
<td width="4%" valign="top" align="left"><font style="font-family:Times New Roman" size="2">(2)</font></td>
<td align="left" valign="top"><font style="font-family:Times New Roman" size="2">Represents the U.S. Treasury
yield curve in effect for the expected term of the option at the
time of grant.</font></td>
</tr>
</table>
<table style="BORDER-COLLAPSE:COLLAPSE" border="0" cellpadding="0" cellspacing="0" width="100%">
<tr>
<td width="4%" valign="top" align="left"><font style="font-family:Times New Roman" size="2">(3)</font></td>
<td align="left" valign="top"><font style="font-family:Times New Roman" size="2">Represents the Company's
cash dividend yield for the expected term.</font></td>
</tr>
</table>
<table style="BORDER-COLLAPSE:COLLAPSE" border="0" cellpadding="0" cellspacing="0" width="100%">
<tr>
<td width="4%" valign="top" align="left"><font style="font-family:Times New Roman" size="2">(4)</font></td>
<td align="left" valign="top"><font style="font-family:Times New Roman" size="2">Represents the period of
time that options granted are expected to be outstanding. As part
of the determination of the expected term, the Company concluded
that all employee groups exhibit similar exercise and post-vesting
termination behavior.</font></td>
</tr>
</table>
</div>
<div>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The changes in the carrying
amount of goodwill and other non-amortizable intangibles are as
follows:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="76%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Goodwill</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Other 
Non-</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Amortizable<br />
Intangibles</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at
September 10, 2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">39,590</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">16,612</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intangibles
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">969</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Foreign currency translation
effects</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(696</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(206</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at December 31,
2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">38,894</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">17,375</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Intangibles
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>465</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Foreign currency translation
effects</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>723</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(4</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at September 8,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>39,617</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>17,836</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="margin-top:0px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company has future
minimum royalty and advertising obligations due under the terms of
certain licenses held by the Company. These minimum future
obligations are as follows:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="100%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="64%"></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2013</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2014</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2015</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>2016</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Thereafter</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Minimum royalties</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">750</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">900</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,200</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,500</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Minimum
advertising</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,360</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,645</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,724</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,806</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,890</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">5,236</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
</table>
</div>
4400000
<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>4. COMPREHENSIVE
INCOME (LOSS)</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Comprehensive income (loss)
represents net earnings and any revenue, expenses, gains and losses
that, under U.S. GAAP, are excluded from net earnings and
recognized directly as a component of stockholders’
equity.</font></p>
<p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The ending accumulated other
comprehensive income (loss) is as follows:</font></p>
<p style="font-size:12px;margin-top:0px;margin-bottom:0px">
 </p>
<table cellspacing="0" cellpadding="0" width="92%" border="0" style="BORDER-COLLAPSE:COLLAPSE" align="center">
<tr>
<td width="58%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Foreign</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Currency</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Foreign</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Exchange<br />
Contracts</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Defined</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Benefit</b></font><br />
<font style="font-family:Times New Roman" size="1"><b>Pension Plans</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2" align="center" style="border-bottom:1px solid #000000"><font style="font-family:Times New Roman" size="1"><b>Accumulated<br />
Other<br />
Comprehensive<br />
Income (Loss)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at January 1,
2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">11,548</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,815</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(50,856</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2">$</font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(41,123</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Current-period other
comprehensive income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">7,298</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">62</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">7,360</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at June 18,
2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">18,846</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,753</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(50,856</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(33,763</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Current-period other
comprehensive income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(3,371</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">1,871</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,500</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at
September 10, 2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">15,475</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">118</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(50,856</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(35,263</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Current-period other
comprehensive income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(15,217</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">3,177</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(23,726</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(35,766</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at December 31,
2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">258</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">3,295</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(74,582</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(71,029</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Current-period other
comprehensive income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,507</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,278</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">—  </font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(2,785</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at June 16,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(1,249</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">2,017</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(74,582</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"> </font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2">(73,814</font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="margin-left:3.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Current-period other
comprehensive income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>6,183</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(1,762</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>—  </b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b> </b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>4,421</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:1px solid #000000"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="margin-left:1.00em; text-indent:-1.00em"><font style="font-family:Times New Roman" size="2">Balance at September 8,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>4,934</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>255</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>  </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(74,582</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="font-family:Times New Roman" size="2"><b>$</b></font></td>
<td valign="bottom" align="right"><font style="font-family:Times New Roman" size="2"><b>(69,393</b></font></td>
<td nowrap="nowrap" valign="bottom"><font style="font-family:Times New Roman" size="2"><b>) </b></font></td>
</tr>
<tr style="font-size:1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td valign="bottom">
<p style="border-top:3px double #000000"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Nature of
Operations</b></font></p>
<p style="margin-top:6px;margin-bottom:0px;padding-bottom:0px;">
<font style="font-family:Times New Roman" size="2">Wolverine World
Wide, Inc. (the “Company”) is a leading designer,
manufacturer and marketer of a broad range of quality casual
footwear and apparel; performance outdoor footwear and apparel;
industrial work shoes, boots and apparel; and uniform shoes and
boots. The Company’s portfolio of owned and licensed brands
includes: <i>Bates</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Cat</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>
Footwear, <i>Chaco</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Cushe</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Harley-Davidson</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>
Footwear, <i>Hush Puppies</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>HyTest</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Merrell</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Patagonia</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>
Footwear, <i>Sebago</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>,
<i>Soft Style</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>
and <i>Wolverine</i><font style="font-family:Times New Roman" size="1"><sup style="vertical-align:baseline; position:relative; bottom:.8ex">®</sup></font>.
Licensing and distribution arrangements with third parties extend
the global reach of the Company’s brand portfolio. The
Company also operates a consumer-direct division to market both its
own brands and branded footwear and apparel from other
manufacturers and a leathers division that markets <i>Wolverine
Performance Leathers</i>™.</font></p>
</div>
<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Basis of
Presentation</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The accompanying unaudited
consolidated condensed financial statements have been prepared in
accordance with accounting principles generally accepted in the
United States (“U.S. GAAP”) for interim financial
information and with the instructions to the Quarterly Report on
Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they do
not include all of the information and footnotes required by U.S.
GAAP for a complete presentation of the financial statements. In
the opinion of management, all adjustments (consisting of normal
recurring accruals) considered necessary for fair presentation have
been included in the accompanying financial statements. For further
information, refer to the consolidated financial statements and
footnotes included in the Company’s Annual Report on Form
10-K for the fiscal year ended December 31, 2011.</font></p>
</div>
<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Reclassifications</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">Certain prior period amounts
on the consolidated condensed financial statements have been
reclassified to conform to current period presentation. These
reclassifications did not affect net earnings.</font></p>
</div>
<div>
<p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>Seasonality</b></font></p>
<p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2">The Company’s business
is subject to seasonal influences and the Company’s fiscal
year has twelve weeks in each of the first three quarters and,
depending on the fiscal calendar, sixteen or seventeen weeks in the
fourth quarter. Both of these factors can cause significant
differences in revenue, earnings and cash flows from quarter to
quarter; however, the differences have followed a consistent
pattern in previous years.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 6px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">The Company follows FASB
ASC Topic 820, <i>Fair Value Measurements and Disclosures</i>
(“ASC 820”), which provides a consistent definition of
fair value, focuses on exit price, prioritizes the use of
market-based inputs over entity-specific inputs for measuring fair
value and establishes a three-tier hierarchy for fair value
measurements. This topic requires fair value measurements to be
classified and disclosed in one of the following three
categories:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="4%"><font size="1"> </font></td>
<td valign="top" width="9%" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Level 1:</font></td>
<td valign="top" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Fair value is measured
using quoted prices (unadjusted) in active markets for identical
assets and liabilities.</font></td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="4%"><font size="1"> </font></td>
<td valign="top" width="9%" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Level 2:</font></td>
<td valign="top" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Fair value is measured
using either direct or indirect inputs, other than quoted prices
included within Level 1, which are observable for similar assets or
liabilities.</font></td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="4%"><font size="1"> </font></td>
<td valign="top" width="9%" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Level 3:</font></td>
<td valign="top" align="left"><font style="FONT-FAMILY: Times New Roman" size="2">Fair value is measured
using valuation techniques in which one or more significant inputs
are unobservable.</font></td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">The Company’s
financial instruments consist of cash and cash equivalents,
accounts and notes receivable, accounts payable, foreign currency
forward exchange contracts and borrowings under the Company’s
revolving credit agreement. The carrying amount of the
Company’s financial instruments is historical cost, which
approximates their fair value, except for the foreign currency
exchange contracts, which are carried at fair value. The Company
does not hold or issue financial instruments for trading
purposes.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2">At September 8, 2012
and September 10, 2011, a liability of $1,545 and an asset of
$1,334 respectively, have been recognized for the fair value of the
Company’s foreign exchange contracts. In accordance with ASC
820, this asset and liability fall within Level 2 of the fair value
hierarchy. The prices for the financial instruments are determined
using prices for recently-traded financial instruments with similar
underlying terms as well as directly or indirectly observable
inputs. The Company did not have any additional assets or
liabilities that were measured at fair value on a recurring basis
at September 8, 2012 and September 10, 2011.</font></p>
</div>
P336D
0.50
1300000000
320000
20737
697000
354867
48871922
22000
P4Y
44919000
6475000
3119000
1122179
-4838000
32766000
46325000
1047000
0.68
790000
214512000
32727000
-1406000
0.005
39000
0.66
0.12
-1762000
48614617
0.369
0.271
138555000
1779000
37148000
884000
92230000
12153000
39000
3431000
19010000
32190000
353067000
1379484
263445
37187000
1726000
32212000
4421000
6183000
0.013
430000
3289000
537000
47492438
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56666000
18013000
318262000
1423000
997000
34805000
-206000
969000
-696000
257000
75423
581000
160209
48935385
22000
P4Y
56405000
4039000
2783000
1267681
-2787000
40435000
56441000
908000
0.84
469000
214907000
40435000
-36000
0.011
0.82
0.12
48730529
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0.283
146683000
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38935000
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15970000
3323000
14613000
39768000
361590000
1472537
388522
38935000
293000
39790000
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47462848
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64669000
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shares
iso4217:USD
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www:Website
www:Store
pure
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Based on historical volatility of the Company's common stock. The expected volatility is based on the daily percentage change in the price of the stock over the four years prior to the grant.
Represents the U.S. Treasury yield curve in effect for the expected term of the option at the time of grant.
Represents the Company's cash dividend yield for the expected term.
Represents the period of time that options granted are expected to be outstanding. As part of the determination of the expected term, the Company concluded that all employee groups exhibit similar exercise and post-vesting termination behavior.