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NIKE ANNOUNCES RECORD FIRST QUARTER; REVENUES EXCEED $1 BILLION, WORLDWIDE FUTURES ORDERS INCREASE 27 PERCENT

 NIKE ANNOUNCES RECORD FIRST QUARTER; REVENUES EXCEED $1 BILLION,
 WORLDWIDE FUTURES ORDERS INCREASE 27 PERCENT
 BEAVERTON, Ore., Sept. 21 /PRNewswire/ -- NIKE Inc. (NYSE: NKE; PSE) today reported record quarterly earnings and became the first company in the sports and fitness industry to generate more than $1 billion in revenues during a single quarter.
 NIKE's net income for the three-month period, which ended Aug. 31, 1992, was $122,593,000, or $1.60 per share, an increase of 7 percent from the $114,437,000, or $1.50 per share earned during the same period last year.
 Consolidated revenues for the quarter increased to a record $1,099,862,000, up 16 percent from $947,161,000 in the prior year with every division recording growth. In Europe, NIKE became the first U.S.-based company in the industry to record revenues in excess of $1 billion in a 12-month period. European revenues for the 12-months ended Aug. 31 totaled $1.009 billion. The company has been investing significantly in European marketing and building an organizational infrastructure in preparation for continued growth.
 During the first quarter, NIKE's total international sales grew 44 percent to a record $357.7 million and represented 33 percent of first-quarter revenues, compared to 26 percent in the same period last year. International footwear sales grew 40 percent to $271.5 million while international apparel sales gained 59 percent to $86.2 million. Had the U.S. dollar remained constant at year-ago levels, total international revenues would have increased 32 percent.
 The company's worldwide orders for athletic footwear and apparel scheduled for delivery between September 1992 and January 1993 total $1.36 billion, 27 percent higher than orders for the same period last year. January 1993 futures orders were the largest single-month total in the company's history. Had the U.S. dollar remained constant at year-ago levels, worldwide futures orders would have increased 22 percent.
 NIKE Chairman Philip H. Knight commented, "NIKE's record first quarter and 27-percent increase in futures orders reflects the growing strength of NIKE as a global brand franchise. Our U.S. business was robust during the critical back-to-school season just completed, and worldwide futures orders for spring delivery are at record levels."
 Knight continued, "During the Barcelona Olympics, consumers in more than 60 countries were exposed to NIKE advertising and the global language and inspiration of sports and fitness that NIKE represents. While this resulted in higher spending levels during the first quarter, management strongly believes that these investments will add to NIKE's momentum in key international markets and allow us to achieve our stated full-year earnings growth objective of 15 percent.
 "Investing heavily in our international business, building on the momentum we've established in Europe, the Far East and Latin America, enhances shareholder value and reinforces NIKE's position as a global consumer brand like Coca-Cola, McDonald's, Disney or Sony."
 In the quarter, domestic athletic footwear and apparel revenues totaled $687.7 million, an increase of 5 percent. Domestic athletic footwear revenues were $588.4 million, up 5 percent; domestic athletic apparel revenues increased 1 percent to $99.4 million. Revenues from other brands, which include Cole Haan(R), SIDE 1(R), i.e.(TM) and Tetra Plastics, grew 30 percent to $54.4 million.
 Consolidated gross margin for the first quarter was 39.4 percent, compared to 38.7 percent last year, reflecting the strong demand for NIKE products combined with sound inventory management. Domestic footwear inventories finished the quarter at 7.6 million pair compared to 10.5 million pair one year ago and 10.1 million pair at May 31, 1992. The company expects inventory levels to increase throughout the remainder of the fiscal year to support the growth indicated by futures orders.
 Selling and administrative expenses were 20.7 percent of first-quarter revenues, compared to 18.2 percent last year reflecting increased worldwide advertising in conjunction with the Summer Olympics and planned product launches.
 NIKE's strong balance sheet improved further during the period with total assets exceeding $2 billion for the first time. Lower inventory levels reduced short-term borrowing needs. The current ratio at Aug. 31 was 2.7 to 1. Long-term debt to equity remained very low at less than 2 percent.
 NIKE Inc., based in Beaverton, is the world's leading designer and marketer of authentic athletic footwear, apparel and accessories for a wide variety of sports and fitness activities. The company also markets a line of high-quality men's and women's dress and casual shoes through its Cole Haan subsidiary based in Yarmouth, Maine. Total revenues for the trailing 12-month period ended Aug. 31, 1992, increased 14 percent to $3.6 billion.
 NIKE INC.
 (In thousands, except per-share data)
 Three Months Ended Aug. 31: 1992 1991
 Revenues $1,099,862 $947,161
 Net income $ 122,593 $114,437
 Net income per common share $ 1.60 $ 1.50
 Average common shares outstanding 76,857 76,207
 -0- 9/21/92
 /CONTACT: Ron Parham (analysts), 503-671-3079, or Liz Dolan (press), 503-671-3509, both of NIKE/
 (NKE) CO: NIKE Inc. ST: Oregon IN: TEX SU: ERN


LM-JH -- SE001 -- 1488 09/21/92 08:56 EDT
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