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Consumer and Retail

Industry Update February 2013

February 2013

For more information regarding our consumer experience, please contact: Glenn Gurtcheff

(ggurtcheff@harriswilliams.com) or Tim Alexander (talexander@harriswilliams.com) at +1 (612) 359-2700; John

Neuner IV (jneuner@harriswilliams.com) at +1 (804) 648-0072; or Red Norrie (rnorrie@harriswilliams.com) at

+44 20 7518 8906.

• The National Retail Federation released its 2013 economic forecast, projecting that retail

industry sales will increase 3.4% in 2013. “Retailers will … [focus] on providing value for

their shoppers through unique promotions in stores and online and exclusive product lines.”

Read the press release here.

• PwC has released a report on 2012 consumer M&A activity, finding that “strong retail and

consumer deal activity in 2012 drove both deal volume and value up ... Private equity

activity in the retail sector comprised nearly 40 percent of deal volume and 55 percent of

deal value, and IPO volume increased 38 percent.” Read the article here.

• The New York Times has reported that Swatch has agreed to purchase Harry Winston

Watches and Jewelry. “Swatch … has agreed to pay $750 million to acquire the brand

from Toronto-based Harry Winston Diamond Corp. and will also assume as much as $250

million in debt, a joint statement said. The acquisition includes the Harry Winston

production company in Geneva and more than 500 employees globally.” Read the article

here.

• According to Reuters, K-Swiss has agreed to be acquired by South Korean retailer E-Land

World for $4.75 per share, valuing the company at approximately $170 million. Read the

article here.

Consumer and Retail

Industry Update

1 of 16

Richmond

Phone: +1 (804) 648-0072

Fax: +1 (804) 648-0073

Boston

Phone: +1 (617) 482-7501

Fax: +1 (617) 482-7503

Cleveland

Phone: +1 (216) 689-2400

Fax: +1 (216) 689-2401

London

Phone: +44 203 170 8838

Fax: +44 207 681 1907

Minneapolis

Phone: +1 (612) 359-2700

Fax: +1 (612) 359-2701

Philadelphia

Phone: +1 (267) 675-5900

Fax: +1 (267) 675-5901

San Francisco

Phone: +1 (415) 288-4260

Fax: +1 (415) 288-4269

Contacts

What We’ve

Been Reading

February 2013

Equity Trading

Overview

Key Trading

Statistics

(detail begins

on page 6)

Public

Company

Sector

Performance

(12-month %

change in

stock price)

Change in Stock Price

3 mos. 12 mos. Revenue EBITDA Revenue EBITDA

Consumer Products

Apparel & Footwear 35 $1,529 2.1% 13.8% 1.13x 8.9x 1.08x 8.3x

Automotive Products 12 2,963 7.5% 23.9% 0.60x 11.0x 0.54x 10.0x

Home & Office Furniture & Furnishings 14 849 9.7% 10.2% 0.63x 9.5x 0.63x 7.5x

Household Products 11 5,520 9.3% 25.3% 1.43x 9.5x 1.39x 8.9x

Personal Care Products 13 4,020 2.8% 6.3% 1.12x 9.4x 1.03x 7.9x

Recreational & Leisure Products 21 446 3.5% 17.9% 1.00x 8.4x 1.02x 7.3x

Retail

Apparel & Footwear Retail 43 962 (1.8%) 13.2% 0.58x 6.4x 0.56x 5.6x

Catalog & Specialty Distribution 7 302 14.4% 14.7% 0.27x 7.1x 0.25x 8.2x

Department Chains 9 6,680 (5.9%) 8.4% 0.62x 6.6x 0.60x 6.6x

Discount Stores & Mass Merchants 13 2,278 (4.0%) 3.3% 0.61x 7.8x 0.62x 7.6x

Furniture & Furnishings Retailers 13 1,127 1.4% 12.7% 1.03x 7.7x 0.97x 6.6x

Internet Retail 13 585 9.7% 14.8% 1.18x 16.2x 0.98x 10.3x

Specialty & Other Retail 28 1,422 9.1% 13.1% 0.68x 9.1x 0.69x 7.6x

Consumer Products 106 $2,246 5.5% 15.8% 1.06x 9.5x 1.03x 8.1x

Retail 126 $1,127 1.4% 13.1% 0.62x 7.7x 0.62x 7.6x

Consumer & Retail Index 232 $1,422 3.5% 13.2% 0.68x 8.9x 0.69x 7.6x

SectorNumber of

Companies

Median

Enterprise

Value ($mm)

Median TEV/

Forward Mulitples

Median TEV/

LTM Multiples

2 of 16

Discount Stores & Mass Merchants

Personal Care Products

Department Chains

Home & Office Furniture & Furnishings

S&P 500

Furniture & Furnishings Retailers

Specialty & Other Retail

Consumer & Retail Index

Apparel & Footwear Retail

Apparel & Footwear

Catalog & Specialty Distribution

Internet Retail

Recreational & Leisure Products

Automotive Products

Household Products

0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0%

February 2013

50

75

100

125

150

175

200

225

Feb-09 Aug-09 Feb-10 Aug-10 Feb-11 Aug-11 Feb-12 Aug-12 Feb-13

Ind

ex

Dow Jones U.S. Consumer Goods Index Dow Jones Retail Index S&P 500 Index

Recent Equity

Offerings

Equity Markets

Overview

Consumer

and Retail

Industry Stock

Performance

3 of 16

Close Date Filing Date Issuer Ticker

Transaction

Type

Gross Proceeds

($mm) Use of Funds

01/29/13 01/15/13 Five Below Inc FIVE Follow-On $463.9 General Corp. Purp.

01/24/13 10/24/12 Bright Horizons Family BFAM IPO 222.2 General Corp. Purp.

01/15/13 01/22/13 EZCORP Inc EZPW Follow-On 28.3 Investment in Securities

01/17/13 01/17/13 Bauer Performance Sports Ltd BAU Follow-On 35.3 General Corp. Purp.

12/20/12 12/20/12 SW China Imports Inc SWCI Follow-On 16.2 General Corp. Purp.

12/13/12 03/13/12 Harbinger Group Inc HRG Follow-On 150.0 General Corp. Purp.

12/07/12 04/18/12 Conn's Inc CONN Follow-On 169.2 Investment in Securities,

Repayment of Debt

11/19/12 10/16/12 Hudsons Bay Co TSX:HBC IPO 366.4 General. Corp. Purp. /

Working Capital

11/08/12 10/16/2012 Tumi Holdings Inc TUMI Follow-On 213.1 General Corp. Purp.

11/01/12 09/09/11 Restoration Hardware Holdings, Inc. RH IPO 142.5 General Corp. Purp. /

Repayment of Debt

10/19/12 9/24/2012 Aspen Group Inc ASPU Follow-On 52.6 General Corp. Purp.

10/10/12 09/26/12 Bauer Performance Sports Ltd BAU Follow-On 41.6 General Corp. Purp.

10/08/12 04/30/12 Sears Hometown & Outlet Stores SHOS Rights Offering 346.5 General Corp. Purp.

10/03/12 09/13/12 WageWorks Inc WAGE Follow-On 105.0 General Corporate Purp. /

Working Capital

110.5%

84.3%

80.5%

February 2013

Announced Consumer Transactions Median Consumer Transaction Multiples

Consumer Private Equity Investments and Exits Median LTM Trading Multiples

Last 10 Deals Announced Quarterly Consumer M&A Activity

LTM Deal Statistics

Note: Transactions based on publicly available information

M&A

Overview

Announced

Consumer

and Retail

M&A

Consumer and

Retail M&A

Trends

Median LTM

Trading

Multiples and

Announced

Private Equity

M&A Activity

Aggregate Number Transaction Multiples

Value ($bn) of Deals EV / Revenue EV / EBITDA

$38.7 401 0.95x 10.0x

4 of 16

48 49

37

6572 72

6156 56 55

63

47

63 66

98

128

11 10

4

6

9 5

1013 13 12

10

18

1420

23

15

0

20

40

60

80

100

120

140

160

1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12

Nu

mb

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f T

ra

nsa

cti

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PEG Acquirer Strategic Acquirer

11.2x 11.0x 10.3x

8.9x 8.4x

10.7x 10.0x

0.00x

0.25x

0.50x

0.75x

1.00x

1.25x

1.50x

1.75x

0.0x

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

14.0x

16.0x

2006 2007 2008 2009 2010 2011 2012

EV

/ LT

M S

ale

s Mu

ltiple_

_EV

/ L

TM

EB

ITD

A M

ult

iple

__

EV / LTM EBITDA EV / LTM Sales

58

81

73

97

111

72

31

37

53

72

33

53 5459

71

48

28

59

53

76

0

20

40

60

80

100

120

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Nu

mb

er o

f In

ves

tmen

ts'

Number of Investments Number of Exits

$84.9 $79.7

$22.1

$28.6 $29.7

$40.3 $38.3

0

50

100

150

200

250

300

350

400

450

500

$0

$20

$40

$60

$80

$100

$120

2006 2007 2008 2009 2010 2011 2012

Nu

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Ag

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ate

Tra

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Valu

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$ in

bil

lio

ns)

Aggregate Deal Value # of deals

10.3x10.6x 10.5x

9.9x9.7x

10.3x10.7x

10.9x

10.0x 9.9x9.7x

10.3x

8.5x

9.5x9.2x

8.7x9.1x 9.0x 9.1x 9.3x 9.2x 9.1x

8.8x9.2x

0.0x

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

Med

ian

Tra

din

g M

ult

iple

s

Consumer Products Retail

Announced Target Buyer

1/31/2013 WMS Industries Inc. Scientific Games Corporation

1/24/2013 Blocksworld Linden Research, Inc.

1/24/2013 Hume Travel Corporation Corporate Travel Management

1/22/2013 Lysse E & A Industries, Inc.

1/22/2013 KIVA Designs, Inc., KIVA Brand Baggallini, Inc.

1/19/2013 Becker Monument Company Bell Memorials

1/18/2013 Personal Retailing, Inc. JustFabulous

1/16/2013 K-Swiss Inc. E. Land World Company

1/16/2013 ReStockIt, LLC Acme Paper & Supply Co.

1/15/2013 Genceutic Naturals Nature's Answer, Inc.

February 2013

Date Effective Borrower Name Description Deal Amount Type Rating Spread

02/01/13 DineEquity Inc, DineEquity Inc Eating places $75,000,000 Revolver/Line >= 1 Yr. B- / B3 275

02/01/13 DineEquity Inc, DineEquity Inc Eating places 472,000,000 Term Loan B B- / B3 275

01/31/13 Sapporo Drug Store Co Ltd Drug stores and proprietary stores 2,000,000,000 Term Loan N/A / NA N/A

01/30/13 OneStopPlus Catalog and mail-order houses 280,000,000 Term Loan B NR / NR N/A

01/30/13 OneStopPlus Catalog and mail-order houses 60,000,000 Revolver/Line >= 1 Yr. NR / NR N/A

01/30/13 OneStopPlus Catalog and mail-order houses 85,000,000 Term Loan NR / NR N/A

01/30/13 Petco Animal Supplies Inc Miscellaneous retail stores 1,201,000,000 Term Loan B CCC+ / B3 300

01/25/13 Kamig Co Ltd Automobiles and other motor vehicles JPY 1,300,000,000 Term Loan NR / NR N/A

01/25/13 Kia Motors Corp Motor vehicles and car bodies 300,000,000 Term Loan BBB+ / Baa1 N/A

01/25/13 Michaels Stores Inc Hobby, toy, and game shops 1,640,000,000 Term Loan B B / B3 275

01/25/13 Regent Seven Seas Cruises Water transportation services 296,300,000 Term Loan B CCC+ / Ba2 350

01/25/13 Walmark Food preparations CSK 1,100,000,000 Term Loan A NR / NR N/A

01/24/13 John Lewis Miscellaneous retail stores GBP 325,000,000 Revolver/Line < 1 Yr. NR / NR N/A

01/24/13 Uni-President China Holdings Ltd Frozen fruits and vegetables 100,000,000 Term Loan NR / NR N/A

01/24/13 Welcome Break Plc Highway and street construction GBP 0 CAPEX Facility NR / NR N/A

01/24/13 Welcome Break Plc Highway and street construction GBP 130,000,000 Mezzanine Tranche NR / NR N/A

01/24/13 Welcome Break Plc Highway and street construction GBP 221,000,000 Term Loan NR / NR N/A

01/24/13 Yelmo Cineplex, Yelmo Cineplex Entertainers & entertainment groups EUR 15,625,000 Term Loan NR / NR N/A

01/23/13 Bombardier Recreational Products Transportation equipment 1,050,000,000 Term Loan B B+ / B1 375

01/23/13 FCJSC Heineken Breweries Malt beverages EUR 1,000,000 Revolver/Line < 1 Yr. NR / NR N/A

01/23/13 FCJSC Heineken Breweries Malt beverages EUR 4,000,000 Term Loan NR / NR N/A

01/23/13 Melco Crown Entertainment Ltd Hotels and motels 100,000,000 Revolver/Line >= 1 Yr. NR / NR 450

01/23/13 Melco Crown Entertainment Ltd Hotels and motels 1,300,000,000 Term Loan NR / NR 450

01/23/13 Renfro Corp Hosiery 220,000,000 Term Loan B B / B2 450

Key Retail

Credit Statistics

Recent

Consumer and

Retail Debt

Offerings

Average Secondary Spread

Average Spread on Retail Loans

Credit Statistics

Quarterly Retail Loan Volume

Debt Market

Overview

5 of 16

$0

$2

$4

$6

$8

$10

$12

4Q06 2Q07 4Q07 2Q08 4Q08 2Q09 4Q09 2Q10 4Q10 2Q11 4Q11 2Q12 4Q12

Lo

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y Q

ua

rte

r (

$ i

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s)_

__

Pro Rata Institutional

L + 0

L + 100

L + 200

L + 300

L + 400

L + 500

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Av

era

ge

Sp

read

Ov

er

LIB

OR

__

Revolving Credit / Term Loan A Weighted-Average Institutional

L + 0

L + 200

L + 400

L + 600

L + 800

L + 1000

L + 1200

Av

era

ge S

prea

d O

ver L

IBO

R

0.0x

2.0x

4.0x

6.0x

8.0x

Debt/EBITDA Senior

Debt/EBITDA

EBITDA/Cash

Interest

EBITDA -

Capex/Cash Interest

EB

ITD

A M

ult

iple

2007 2008 2009 2010 2011 2012

Consumer and Retail

Industry Update

February 2013

6 of 16

Price at As a % of Market Cash & Enterprise LTM P/E

($ in millions, except per share data) Ticker 2/4/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Consumer Products

Apparel & Footwear

Carter's, Inc. CRI $59.65 97.6% $3,521 $186 $254 $3,453 $2,299 $285 15.0% 13.1% 37.4% 12.4% 24.2x 1.50x 12.1x 1.36x 10.0x

Cherokee Inc. CHKE 13.90 90.9% 117 13 2 128 27 13 (1.6%) (5.2%) NM 50.6% 16.0x 4.83x 9.5x 4.48x NA

Coach, Inc. COH 48.67 61.1% 13,807 23 859 12,971 4,929 1,687 10.0% 13.8% 72.8% 34.2% 13.4x 2.63x 7.7x 2.43x 7.1x

Columbia Sportswear Company COLM 48.76 83.4% 1,655 10 96 1,569 1,695 185 4.3% 11.0% 43.3% 10.9% 17.1x 0.93x 8.5x 0.92x 8.3x

Crocs, Inc. CROX 14.79 65.5% 1,346 11 315 1,042 1,102 194 12.9% 20.1% 54.6% 17.6% 9.6x 0.95x 5.4x 0.84x 4.9x

Deckers Outdoor Corp. DECK 41.39 44.9% 1,459 275 62 1,673 1,401 258 16.4% 22.1% 46.7% 18.4% 10.2x 1.19x 6.5x 1.15x 8.2x

Delta Apparel Inc. DLA 16.23 90.7% 135 105 1 239 498 38 1.3% 9.3% 24.7% 7.6% 13.3x 0.48x 6.3x 0.46x NA

G-III Apparel Group, Ltd. GIII 34.97 88.5% 703 284 40 947 1,319 106 9.3% 19.2% 31.6% 8.1% 13.2x 0.72x 8.9x 0.63x 7.5x

Gildemeister AG GIL 24.47 95.6% 1,428 31 189 1,270 2,493 198 7.7% 6.9% 45.9% 7.9% 13.8x 0.51x 6.4x NA NA

Hanesbrands Inc. HBI 37.70 97.2% 3,689 1,890 182 5,397 4,676 487 4.3% 5.9% 29.9% 10.4% 17.3x 1.15x 11.1x 1.17x 8.5x

Iconix Brand Group, Inc. ICON 23.95 98.1% 1,634 476 51 2,058 364 231 0.5% 18.2% NM 63.4% 15.9x 5.65x 8.9x 5.15x 8.5x

The Jones Group Inc. JNY 11.54 82.5% 924 960 234 1,650 3,720 232 (1.2%) 3.1% 36.4% 6.2% NM 0.44x 7.1x 0.43x 5.5x

The KCP Limited KCP 0.72 80.5% 93 71 10 154 200 38 56.6% NA 35.7% 18.9% 4.7x 0.77x 4.1x NA NA

K-Swiss Inc. KSWS 4.71 99.6% 168 6 40 134 232 (35) (11.1%) (2.8%) 33.1% NM NM 0.58x NM 0.57x NM

Fifth & Pacific Companies, Inc. FNP 15.67 97.1% 1,773 418 31 2,160 1,466 30 (1.5%) (22.3%) 55.5% 2.0% 15.3x 1.47x NM 1.35x 18.5x

Maidenform Brands, Inc. MFB 19.14 72.6% 451 68 73 447 590 50 (1.8%) 9.3% 29.6% 8.5% 18.0x 0.76x 8.9x 0.73x 6.5x

Nike Inc. NKE 53.66 93.5% 48,064 328 3,525 44,867 25,118 3,398 12.7% 11.0% 43.1% 13.5% 22.8x 1.79x 13.2x 1.72x 11.4x

Oxford Industries Inc. OXM 48.28 81.3% 800 130 6 925 819 103 14.2% 8.5% 54.7% 12.6% 24.1x 1.13x 9.0x 1.02x 7.7x

Perry Ellis International Inc. PERY 18.87 81.1% 276 174 52 399 941 58 (1.8%) 7.9% 32.4% 6.2% 23.7x 0.42x 6.9x 0.38x 5.6x

PVH Corp. PVH 116.13 95.8% 8,463 1,874 277 10,061 5,940 779 3.2% 36.0% 53.0% 13.1% 20.0x 1.69x 12.9x 1.42x 9.3x

Ralph Lauren Corporation RL 162.38 89.0% 14,855 266 1,013 14,108 6,884 1,289 7.5% 12.2% 58.8% 18.7% 22.9x 2.05x 10.9x 1.92x 9.8x

Quiksilver Inc. ZQK 6.21 93.0% 1,027 758 42 1,743 2,013 117 3.1% 0.6% 48.7% 5.8% NM 0.87x 14.8x 0.83x 9.8x

Rocky Brands, Inc. RCKY 14.78 99.2% 111 42 4 149 234 21 (3.3%) 0.1% 35.0% 9.0% 16.8x 0.64x 7.1x 0.60x 6.2x

Skechers USA Inc. SKX 18.66 83.4% 942 138 308 772 1,456 1 (18.4%) 2.6% 43.6% 0.1% NM 0.53x NM 0.45x 7.2x

Steven Madden, Ltd. SHOO 46.32 97.0% 2,127 0 75 2,052 1,191 191 40.2% 35.1% 36.2% 16.1% 18.4x 1.72x 10.7x 1.55x 9.1x

Summer Infant, Inc. SUMR 1.75 27.6% 32 81 12 101 244 12 4.4% 18.0% 33.4% 5.1% NM 0.41x 8.1x 0.39x 6.2x

Taiga Building Products Ltd. TBL 0.65 59.0% 34 254 0 288 1,072 39 15.0% 8.5% 9.6% 3.6% 5.3x 0.27x 7.4x NA NA

True Religion Apparel Inc. TRLG 23.56 62.3% 596 0 169 428 450 91 9.3% 15.6% 64.0% 20.1% 12.6x 0.95x 4.7x 0.89x 5.0x

Tumi Holdings, Inc. TUMI 22.00 76.7% 1,493 52 16 1,529 379 79 21.0% NA 57.7% 20.8% 40.0x 4.04x 19.4x 3.39x 15.3x

Under Armour, Inc. UA 49.96 82.0% 5,228 62 342 4,948 1,835 252 24.6% 28.9% 47.9% 13.7% 41.3x 2.70x 19.7x 2.23x 16.0x

V.F. Corporation VFC 147.03 86.6% 16,196 2,574 305 18,465 10,757 1,600 24.0% 14.2% 45.9% 14.9% 16.3x 1.72x 11.5x 1.60x 9.7x

Vera Bradley, Inc. VRA 25.99 65.8% 1,054 35 4 1,085 513 113 17.8% 29.1% 56.5% 22.0% 16.5x 2.11x 9.6x 1.88x 8.7x

Warnaco Group Inc. WRC 72.70 98.6% 3,082 255 311 3,026 2,406 288 (3.4%) 7.1% 43.5% 12.0% 39.6x 1.26x 10.5x 1.19x 7.9x

Weyco Group Inc. WEYS 23.06 84.6% 250 44 14 280 290 28 12.1% 10.2% 38.6% 9.8% 14.9x 0.96x 9.8x 0.90x NA

Wolverine World Wide Inc. WWW 42.49 88.5% 2,083 27 144 1,965 1,395 162 0.5% 7.1% 38.6% 11.6% 19.5x 1.41x 12.1x 0.75x 7.2x

Mean 82.6% $3,989 $341 $259 $4,071 $2,598 $361 8.7% 11.3% 43.0% 14.9% 18.6x 1.46x 9.7x 1.40x 8.8x

Median 86.6% $1,346 $105 $73 $1,529 $1,319 $117 7.5% 10.2% 43.3% 12.2% 16.7x 1.13x 8.9x 1.08x 8.3x

Automotive Products

America's Car-Mart Inc. CRMT $39.90 81.1% $359 $94 $0 $453 $439 $57 7.8% 11.4% 28.9% 13.0% 12.1x 1.03x 8.0x 0.97x 7.8x

Asbury Automotive Group, Inc. ABG 35.38 97.4% 1,115 899 6 2,008 4,613 194 12.0% 8.0% 16.6% 4.2% 14.0x 0.44x 10.3x 0.41x 9.3x

AutoNation Inc. AN 47.39 96.9% 5,729 4,093 99 9,724 15,669 736 13.3% 13.7% 15.9% 4.7% 18.8x 0.62x 13.2x 0.57x 12.4x

AutoZone, Inc. AZO 367.05 92.0% 13,335 3,803 119 17,019 8,671 1,865 5.7% 7.8% 51.7% 21.5% 15.1x 1.96x 9.1x 1.83x 8.5x

CarMax Inc. KMX 38.80 96.7% 8,853 5,738 445 14,146 10,900 806 8.7% 14.6% 15.8% 7.4% 21.3x 1.30x 17.5x 1.22x 16.1x

Group 1 Automotive Inc. GPI 67.55 97.7% 1,454 1,577 39 2,992 7,163 265 21.6% 16.7% 15.1% 3.7% 15.4x 0.42x 11.3x 0.37x 10.2x

EV / LTM EV / 2013ERevenue Growth LTM MarginsLast Twelve Months (LTM)

Consumer and Retail

Industry Update

February 2013

7 of 16

Price at As a % of Market Cash & Enterprise LTM P/E

($ in millions, except per share data) Ticker 2/4/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Automotive Products (Cont.)

Lithia Motors Inc. LAD $43.20 97.2% $1,104 $779 $20 $1,863 $3,217 $161 30.2% 20.0% 16.4% 5.0% 14.8x 0.58x 11.6x 0.52x 10.8x

Monro Muffler Brake Inc. MNRO 35.21 73.9% 1,102 170 8 1,264 708 103 6.3% 9.8% 38.7% 14.5% 25.3x 1.79x 12.3x 1.50x 10.4x

O'Reilly Automotive Inc. ORLY 92.63 86.5% 10,617 1,096 423 11,291 6,085 1,134 6.6% 8.3% 50.0% 18.6% 20.4x 1.86x 10.0x 1.75x 9.4x

Penske Automotive Group, Inc. PAG 32.60 97.8% 2,943 2,790 26 5,707 13,096 404 18.0% 12.4% 15.3% 3.1% 15.9x 0.44x 14.1x 0.41x 13.4x

Pep Boys - Manny, Moe & Jack PBY 10.85 70.4% 576 202 79 700 2,065 117 1.4% 2.4% 28.5% 5.7% 25.2x 0.34x 6.0x 0.33x 5.4x

Sonic Automotive Inc. SAH 24.48 98.8% 1,379 1,618 62 2,935 8,502 274 14.0% 10.1% 14.9% 3.2% 17.9x 0.35x 10.7x 0.32x 9.9x

Mean 90.5% $4,047 $1,905 $110 $5,842 $6,761 $510 12.1% 11.3% 25.6% 8.7% 18.0x 0.93x 11.2x 0.85x 10.3x

Median 96.8% $1,416 $1,336 $51 $2,963 $6,624 $270 10.3% 10.8% 16.5% 5.3% 16.9x 0.60x 11.0x 0.54x 10.0x

Home & Office Furniture & Furnishings

Furniture Brands International Inc. FBN $1.40 71.1% $79 $83 $16 $147 $1,064 ($6) (5.7%) (7.5%) 23.3% NM NM 0.14x NM 0.13x NA

Herman Miller Inc. MLHR 24.19 96.8% 1,410 252 195 1,467 1,712 151 (2.7%) 8.5% 34.0% 8.8% 25.7x 0.86x 9.7x 0.79x 7.5x

HNI Corp. HNI 31.47 97.7% 1,421 194 57 1,559 1,977 134 9.9% 2.1% 34.5% 6.8% 29.2x 0.79x 11.7x 0.76x 10.5x

Hooker Furniture Corp. HOFT 14.43 95.0% 155 0 33 122 213 13 (4.5%) 0.9% 22.8% 6.1% 28.0x 0.57x 9.4x 0.54x 7.4x

Kid Brands, Inc. KID 1.66 44.6% 36 55 1 91 235 3 (11.4%) 0.4% 23.1% 1.3% NM 0.39x 29.3x 0.38x NA

Kimball International, Inc. KBAL.B 9.32 70.3% 277 0 88 189 1,158 59 (0.6%) 2.0% 18.9% 5.1% 20.2x 0.16x 3.2x 0.16x NA

Knoll Inc. KNL 16.62 97.6% 777 193 30 940 887 104 (3.8%) 4.4% 33.2% 11.7% 15.7x 1.06x 9.0x 1.01x 8.4x

Leggett & Platt, Incorporated LEG 29.04 97.1% 4,103 1,055 359 4,799 3,721 457 2.3% 6.8% 20.1% 12.3% 17.3x 1.29x 10.5x 1.22x 9.1x

Libbey Inc. LBY 18.86 94.6% 390 471 33 828 824 126 (0.4%) 4.2% 23.2% 15.3% NM 1.00x 6.5x 0.98x 6.0x

Natuzzi SpA NTZ 2.23 58.3% 122 52 104 71 606 (5) (7.8%) (8.7%) 33.5% NM NM 0.12x NM NA NA

Sealy Corporation ZZ 2.17 88.6% 229 770 128 871 1,348 130 9.6% 4.7% 40.0% 9.7% NM 0.65x 6.7x 0.63x 5.6x

Steelcase Inc. SCS 13.49 97.0% 1,688 290 213 1,765 2,838 200 5.8% 5.8% 30.6% 7.0% 21.2x 0.62x 8.8x 0.59x 7.0x

Tempur-Pedic International Inc. TPX 38.73 44.3% 2,316 1,027 179 3,163 1,403 297 (1.1%) 19.1% 50.9% 21.2% 22.8x 2.25x 10.7x 2.23x 10.8x

The Dixie Group, Inc. DXYN 4.25 88.7% 54 76 0 130 261 11 (3.4%) 7.0% 24.7% 4.4% NM 0.50x 11.4x 0.47x NA

Mean 81.6% $933 $323 $103 $1,153 $1,303 $120 (1.0%) 3.6% 29.5% 9.1% 22.5x 0.74x 10.6x 0.76x 8.0x

Median 91.7% $334 $194 $72 $849 $1,111 $115 (1.9%) 4.3% 27.7% 7.9% 22.0x 0.63x 9.5x 0.63x 7.5x

Household Products

Central Garden & Pet Company CENT $9.52 75.5% $462 $450 $71 $841 $1,700 $110 4.4% 1.7% 30.2% 6.5% 21.6x 0.49x 7.6x 0.49x 6.5x

The Clorox Company CLX 79.72 98.6% 10,401 2,674 445 12,630 5,605 1,130 5.5% 1.5% 42.6% 20.2% 18.6x 2.25x 11.2x 2.19x 10.5x

iRobot Corporation IRBT 23.27 60.7% 646 0 190 456 466 60 3.9% 17.5% 41.7% 12.9% 19.4x 0.98x 7.6x 1.02x 13.8x

Jarden Corp. JAH 58.86 98.2% 4,598 3,829 887 7,541 6,615 792 (0.2%) 9.0% 28.4% 12.0% 22.2x 1.14x 9.5x 1.10x 8.5x

Newell Rubbermaid Inc. NWL 23.32 97.7% 6,707 1,918 184 8,441 5,903 906 0.6% 2.5% 37.8% 15.4% 17.1x 1.43x 9.3x 1.39x 8.9x

Prestige Brands Holdings, Inc. PBH 21.99 97.6% 1,111 1,080 29 2,161 549 175 41.6% 22.9% 54.6% 31.8% 26.1x 3.94x 12.4x 3.43x 10.1x

Snap-on Inc. SNA 80.88 98.0% 4,702 990 172 5,520 3,075 586 5.1% 7.4% 48.4% 19.1% 16.0x 1.80x 9.4x 1.82x 8.8x

Stanley Black & Decker, Inc. SWK 76.24 93.1% 12,818 3,538 716 15,640 10,191 1,549 (1.8%) 40.4% 36.6% 15.2% 28.2x 1.53x 10.1x 1.42x 8.2x

Toro Co. TTC 44.29 98.0% 2,582 225 126 2,682 1,959 258 4.0% 8.7% 34.4% 13.2% 20.7x 1.37x 10.4x 1.30x 9.4x

Tupperware Brands Corporation TUP 76.70 99.1% 4,241 618 120 4,739 2,584 448 (0.0%) 6.7% 66.9% 17.3% 22.4x 1.83x 10.6x 1.73x 9.7x

Whirlpool Corp. WHR 111.61 96.5% 8,817 2,461 1,168 10,110 18,143 1,657 (2.8%) 2.0% 15.9% 9.1% 22.1x 0.56x 6.1x 0.54x 5.1x

Mean 92.1% $5,190 $1,617 $373 $6,433 $5,163 $697 5.5% 10.9% 39.8% 15.7% 21.3x 1.57x 9.5x 1.49x 9.1x

Median 97.7% $4,598 $1,080 $184 $5,520 $3,075 $586 3.9% 7.4% 37.8% 15.2% 21.6x 1.43x 9.5x 1.39x 8.9x

Personal Care Products

All for One Steeb AG XTRA:A1OS $20.98 91.4% $102 $40 $25 $117 $197 $15 62.3% 27.9% 20.7% 7.6% 27.0x 0.60x 7.8x NA NA

Avon Products Inc. AVP 16.94 71.8% 7,321 3,251 1,009 9,563 11,427 1,518 0.0% 4.4% 61.5% 13.3% NM 0.84x 6.3x 0.89x 10.7x

Revenue GrowthLast Twelve Months (LTM) LTM Margins EV / LTM EV / 2013E

Consumer and Retail

Industry Update

February 2013

8 of 16

Price at As a % of Market Cash & Enterprise LTM P/E

($ in millions, except per share data) Ticker 2/4/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Personal Care Products (Cont.)

Elizabeth Arden, Inc. RDEN $39.40 79.2% $1,152 $354 $52 $1,454 $1,317 $154 8.1% 7.0% 50.3% 11.7% 22.7x 1.10x 9.4x 1.02x 7.9x

The Estée Lauder Companies Inc. EL 61.05 93.1% 23,638 1,356 1,324 23,671 9,982 1,809 5.7% 10.1% 79.8% 18.1% 26.0x 2.37x 13.1x NA NA

Herbalife Ltd. HLF 35.54 48.7% 3,838 503 322 4,020 3,898 709 17.8% 20.9% 47.4% 18.2% 9.2x 1.03x 5.7x 0.89x 5.0x

Kimberly-Clark Corporation KMB 89.30 99.0% 34,764 6,734 1,106 40,392 21,063 3,976 1.0% 3.3% 33.8% 18.9% 20.2x 1.92x 10.2x 1.89x 9.6x

Medifast Inc. MED 24.09 72.4% 374 4 63 316 343 32 17.6% 32.4% 75.1% 9.3% 21.9x 0.92x 9.9x 0.82x 6.5x

Nu Skin Enterprises Inc. NUS 41.80 67.4% 2,453 212 338 2,327 2,077 362 25.9% 17.8% 83.7% 17.4% 12.6x 1.12x 6.4x 1.03x 5.8x

Procter & Gamble Co. PG 75.25 99.1% 205,557 33,426 6,966 232,017 83,320 19,667 (0.4%) 2.8% 50.2% 23.6% 19.3x 2.78x 11.8x 2.68x 11.6x

Revlon, Inc. REV 15.50 86.2% 809 1,172 116 1,865 1,426 274 3.2% 3.2% 64.5% 19.2% 16.0x 1.31x 6.8x 1.27x 6.3x

Sally Beauty Holdings Inc. SBH 26.64 94.0% 4,779 1,617 240 6,157 3,524 564 7.8% 10.1% 49.5% 16.0% 21.5x 1.75x 10.9x 1.64x 9.6x

Ulta Salon, Cosmetics & Fragrance, Inc. ULTA 97.37 94.1% 6,210 0 192 6,018 2,044 335 22.6% 20.5% 35.3% 16.4% 40.5x 2.94x 18.0x 2.36x 13.7x

USANA Health Sciences Inc. USNA 35.86 71.4% 517 1 77 442 626 99 9.2% 13.2% 82.4% 15.8% 8.8x 0.71x 4.5x 0.64x 3.9x

Mean 82.1% $22,424 $3,744 $910 $25,258 $10,865 $2,270 13.9% 13.4% 56.5% 15.8% 20.5x 1.49x 9.3x 1.38x 8.2x

Median 86.2% $3,838 $503 $240 $4,020 $2,077 $362 8.1% 10.1% 50.3% 16.4% 20.8x 1.12x 9.4x 1.03x 7.9x

Recreational & Leisure Products

Arctic Cat Inc. ACAT $35.49 74.8% $470 $0 $24 $446 $657 $74 17.2% 12.8% 22.6% 11.3% 12.7x 0.68x 6.0x 0.63x 5.3x

Black Diamond, Inc. BDE $7.93 74.6% $249 $42 $14 $277 $163 $13 14.6% 21.5% 39.7% 8.2% 44.1x 1.69x 20.6x 1.34x 17.4x

Brunswick Corporation BC 34.65 94.4% 3,102 572 377 3,297 3,718 380 (0.8%) 10.2% 25.4% 10.2% 21.8x 0.89x 8.7x 0.84x 7.9x

Callaway Golf Co. ELY 6.60 90.5% 469 0 52 417 832 (46) (6.1%) (4.4%) 34.0% NM NM 0.50x NM 0.49x 10.8x

Cybex International Inc. CYBI 2.52 70.0% 43 21 2 62 146 11 6.2% 5.2% 33.4% 7.5% 1.2x 0.43x 5.7x NA NA

Escalade Inc. ESCA 5.53 90.7% 74 20 4 89 143 15 11.4% 6.2% 30.9% 10.6% NM 0.62x 5.9x NA NA

Harley-Davidson, Inc. HOG 51.78 94.8% 11,835 5,103 1,204 15,734 5,581 1,199 5.1% 5.3% 35.9% 21.5% 19.0x 2.82x 13.1x 2.97x 11.4x

Hasbro Inc. HAS 37.43 93.6% 4,863 1,664 720 5,807 4,135 732 (2.4%) 1.8% 49.1% 17.7% 14.3x 1.40x 7.9x 1.41x 7.3x

JAKKS Pacific, Inc. JAKK 12.88 66.4% 281 148 141 288 674 27 (8.2%) (8.3%) 30.3% 4.0% NM 0.43x 10.6x 0.43x 6.1x

Johnson Outdoors Inc. JOUT 21.74 98.4% 216 39 48 208 419 33 2.6% 5.5% 40.1% 8.0% 15.8x 0.50x 6.2x 0.48x NA

LeapFrog Enterprises Inc. LF 8.82 71.8% 597 0 49 547 547 68 25.8% 18.4% 42.0% 12.5% 10.7x 1.00x 8.0x 0.96x 6.8x

Life Time Fitness Inc. LTM 41.16 78.1% 1,709 669 9 2,369 1,103 314 11.8% 10.0% 41.1% 28.5% 15.9x 2.15x 7.6x 1.99x 6.9x

Marine Products Corp. MPX 6.26 92.2% 237 0 3 234 149 10 39.9% 55.7% 18.3% 6.4% 32.9x 1.57x 24.5x 1.41x NA

Mattel, Inc. MAT 38.78 99.6% 13,307 1,510 1,336 13,481 6,421 1,327 2.5% 5.7% 53.1% 20.7% 17.5x 2.10x 10.2x 1.98x 9.1x

Nautilus Inc. NLS 5.38 96.1% 166 0 15 151 189 11 8.5% (1.8%) 45.3% 6.0% 24.9x 0.80x 13.3x 0.74x 8.6x

Navarre Corp. NAVR 1.98 90.0% 74 17 0 91 490 19 0.4% (1.3%) 12.2% 3.9% NM 0.19x 4.8x 0.17x 5.5x

Polaris Industries, Inc. PII 85.71 91.3% 5,914 107 417 5,605 3,244 549 21.0% 27.0% 29.6% 16.9% 19.5x 1.73x 10.2x 1.55x 8.8x

Pool Corp. POOL 44.88 96.4% 2,096 218 29 2,285 1,918 161 8.7% 6.9% 29.2% 8.4% 27.1x 1.19x 14.2x 1.11x 12.7x

Smith & Wesson Holding Corporation SWHC 8.79 78.1% 582 47 58 572 501 111 37.2% 8.2% 35.7% 22.1% 10.1x 1.14x 5.2x 1.02x 4.4x

Steinway Musical Instruments Inc. LVB 22.25 82.5% 277 68 47 299 348 34 2.3% 2.9% 31.8% 9.7% 27.2x 0.86x 8.8x 0.82x 6.5x

Sturm, Ruger & Co. Inc. RGR 51.69 86.0% 990 0 105 885 443 110 47.9% 18.6% 36.2% 24.8% 16.6x 2.00x 8.0x 1.82x 6.8x

Mean 86.2% $2,264 $488 $222 $2,531 $1,515 $245 11.7% 9.8% 34.1% 12.9% 19.5x 1.18x 10.0x 1.17x 8.4x

Median 90.5% $470 $42 $48 $446 $547 $68 8.5% 6.2% 34.0% 10.4% 17.5x 1.00x 8.4x 1.02x 7.3x

Revenue Growth LTM Margins EV / LTM EV / 2013ELast Twelve Months (LTM)

Consumer and Retail

Industry Update

February 2013

9 of 16

Price at As a % of Market Cash & Enterprise LTM P/E

($ in millions, except per share data) Ticker 2/4/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Retail

Apparel & Footwear Retail

Abercrombie & Fitch Co. ANF $50.19 92.8% $3,993 $124 $370 $3,748 $4,371 $507 9.9% 14.2% 60.6% 11.6% 38.8x 0.86x 7.4x 0.79x 5.7x

Aéropostale, Inc. ARO 13.16 57.1% 1,030 0 184 846 2,397 179 1.0% 4.2% 33.4% 7.5% 17.3x 0.35x 4.7x 0.35x 4.9x

American Apparel, Inc. APP 1.39 81.5% 147 180 7 321 602 17 12.8% 3.3% 52.9% 2.9% NM 0.53x 18.4x NA NA

American Eagle Outfitters, Inc. AEO 20.06 83.8% 3,972 0 545 3,428 3,427 472 13.9% 5.8% 37.3% 13.8% 19.2x 1.00x 7.3x 0.96x 5.6x

ANN INC ANN 31.44 79.0% 1,521 0 167 1,354 2,334 267 8.0% 8.2% 54.9% 11.4% 15.2x 0.58x 5.1x 0.54x 4.4x

Ascena Retail Group Inc. ASNA 16.91 74.8% 2,663 305 134 2,834 3,723 475 25.4% 34.7% 57.1% 12.8% 15.8x 0.76x 6.0x 0.58x 5.6x

Bebe Stores, Inc. BEBE 3.96 41.3% 334 0 157 177 505 14 (2.9%) (0.1%) 37.2% 2.8% NM 0.35x 12.5x 0.36x NA

Brown Shoe Co. Inc. BWS 17.17 87.4% 736 309 41 1,004 2,587 135 1.1% 5.6% 38.7% 5.2% 44.4x 0.39x 7.4x 0.38x 6.0x

Buckle Inc. BKE 46.25 89.4% 2,191 0 245 1,946 1,100 282 7.0% 7.9% 49.6% 25.7% 13.9x 1.77x 6.9x 1.69x 6.6x

Body Central Corp. BODY 7.93 25.6% 129 0 37 92 311 31 9.8% 17.4% 33.3% 9.9% 8.3x 0.30x 3.0x 0.28x 3.9x

Cabela's Incorporated CAB 48.17 84.8% 3,373 2,279 266 5,387 2,976 366 7.8% 4.7% 43.7% 12.3% 19.7x 1.81x 14.7x 1.64x 13.2x

Casual Male Retail Group, Inc. DXLG 4.50 94.7% 214 8 5 216 398 28 0.3% (0.8%) 45.7% 7.1% 6.0x 0.54x 7.7x 0.51x 6.4x

The Cato Corporation CATO 26.97 83.4% 790 0 255 534 934 120 (0.1%) 2.2% 38.4% 12.9% 12.3x 0.57x 4.4x 0.56x NA

Chico's FAS Inc. CHS 18.00 91.1% 2,945 0 371 2,574 2,498 387 18.9% 14.8% 56.2% 15.5% 17.3x 1.03x 6.6x 0.92x 5.8x

Christopher & Banks Corporation CBK 6.46 96.4% 239 0 48 190 446 (34) (0.5%) (5.6%) 24.3% NM NM 0.43x NM 0.43x 23.6x

Citi Trends, Inc. CTRN 12.76 77.7% 186 0 41 146 657 18 3.6% 7.5% 34.1% 2.8% NM 0.22x 7.9x 0.22x 3.9x

Coldwater Creek Inc. CWTR 3.67 62.7% 112 62 31 143 746 (7) (6.8%) (9.4%) 32.5% NM NM 0.19x NM 0.19x NA

Destination Maternity Corporation DEST 23.34 97.8% 315 2 25 292 540 50 (1.1%) 0.6% 54.1% 9.2% 14.8x 0.54x 5.9x 0.53x NA

DSW Inc. DSW 66.88 92.9% 2,992 0 338 2,654 2,177 285 10.0% 12.0% 39.5% 13.1% 21.1x 1.22x 9.3x 1.08x 7.8x

Express Inc. EXPR 17.98 68.4% 1,598 199 102 1,694 2,093 314 3.5% 7.6% 43.6% 15.0% 11.6x 0.81x 5.4x 0.76x 5.2x

Finish Line Inc. FINL 18.29 69.9% 909 0 168 741 1,457 154 12.3% 8.5% 40.1% 10.6% 12.0x 0.51x 4.8x 0.48x 4.8x

Foot Locker, Inc. FL 33.90 90.0% 5,110 133 853 4,390 5,971 693 8.3% 7.2% 43.9% 11.6% 13.9x 0.74x 6.3x 0.69x 5.5x

Gap Inc. GPS 32.59 86.1% 15,624 1,248 1,770 15,102 15,209 2,297 4.0% 2.7% 38.1% 15.1% 15.9x 0.99x 6.6x 0.94x 6.1x

Genesco Inc. GCO 61.93 78.4% 1,496 92 40 1,548 2,531 246 18.9% 17.8% 50.4% 9.7% 13.1x 0.61x 6.3x 0.57x 5.8x

Guess? Inc. GES 25.95 69.9% 2,210 11 295 1,927 2,619 378 (1.9%) 8.6% 41.1% 14.4% 11.4x 0.74x 5.1x 0.71x 5.5x

Hot Topic Inc. HOTT 10.88 95.0% 460 0 59 401 719 71 2.6% (1.9%) 36.7% 9.9% 28.7x 0.56x 5.7x 0.52x 5.6x

Jos. A Bank Clothiers Inc. JOSB 40.75 74.1% 1,139 0 275 863 1,041 182 9.3% 12.1% 59.7% 17.5% 12.0x 0.83x 4.7x 0.78x 4.3x

Limited Brands, Inc. LTD 47.42 90.3% 13,675 4,594 547 17,722 10,118 1,976 (1.8%) 5.7% 47.2% 19.5% 20.3x 1.75x 9.0x 1.66x 8.2x

Lululemon Athletica Inc. LULU 66.82 82.4% 9,632 0 439 9,193 1,256 380 43.6% 46.9% 55.5% 30.3% 41.3x 7.32x 24.2x 5.78x 19.2x

The Men's Wearhouse, Inc. MW 29.27 71.4% 1,490 0 138 1,352 2,442 282 3.4% 8.2% 44.6% 11.5% 11.5x 0.55x 4.8x 0.53x 4.5x

New York & Company Inc. NWY 3.94 83.4% 248 0 24 224 947 19 (4.2%) (2.9%) 36.4% 2.0% NM 0.24x 12.0x 0.23x 5.4x

Pacific Sunwear of California Inc. PSUN 2.01 73.6% 137 75 24 187 847 (7) 9.9% (8.0%) 41.5% NM NM 0.22x NM 0.23x 68.5x

Ross Stores Inc. ROST 58.59 82.7% 13,029 150 625 12,554 9,358 1,382 12.0% 10.5% 27.7% 14.8% 17.7x 1.34x 9.1x 1.23x 7.8x

rue21, Inc. RUE 28.21 83.8% 671 0 44 626 853 97 16.7% 20.3% 37.8% 11.4% 17.0x 0.73x 6.4x 0.63x 5.4x

Shoe Carnival Inc. SCVL 20.21 82.0% 413 0 67 346 831 64 9.3% 7.5% 29.9% 7.7% 14.0x 0.42x 5.4x 0.38x 4.7x

Stage Stores Inc. SSI 22.74 82.9% 726 34 37 722 1,597 123 7.4% 3.1% 27.6% 7.7% 20.5x 0.45x 5.9x 0.42x 5.4x

Stein Mart Inc. SMRT 8.38 89.7% 366 0 94 272 1,166 45 (1.0%) (2.8%) 25.5% 3.8% 24.5x 0.23x 6.1x 0.22x 4.7x

The Children’s Place Retail Stores, Inc. PLCE 49.39 79.4% 1,165 0 203 962 1,758 154 2.7% 2.7% 37.7% 8.8% 18.7x 0.55x 6.2x 0.52x 4.7x

Texas Industries Inc. TXI 56.23 94.8% 1,582 659 72 2,169 675 41 9.8% (0.6%) 9.0% 6.0% NM 3.21x 53.5x 2.87x 20.9x

The TJX Companies, Inc. TJX 45.24 96.9% 32,991 775 1,843 31,923 24,864 3,406 9.0% 8.0% 28.0% 13.7% 19.2x 1.28x 9.4x 1.18x 8.2x

Urban Outfitters Inc. URBN 42.57 97.2% 6,211 0 363 5,849 2,669 414 10.7% 12.8% 41.6% 15.5% 31.8x 2.19x 14.1x 1.93x 10.4x

Wet Seal Inc. WTSL.A 2.78 73.2% 249 0 126 123 582 (1) (6.5%) 1.0% 44.1% NM NM 0.21x NM 0.21x 13.6x

Zumiez, Inc. ZUMZ 20.55 49.0% 644 2 98 548 629 92 19.1% 16.2% 36.6% 14.6% 17.0x 0.87x 6.0x 0.77x 5.5x

Mean 80.0% $3,248 $261 $269 $3,240 $2,906 $381 7.3% 7.4% 40.6% 11.5% 18.7x 0.95x 9.0x 0.86x 9.0x

Median 82.9% $1,139 $0 $138 $962 $1,457 $154 7.8% 7.2% 39.5% 11.5% 17.0x 0.58x 6.4x 0.56x 5.6x

EV / LTM EV / 2013ELast Twelve Months (LTM) Revenue Growth LTM Margins

Consumer and Retail

Industry Update

February 2013

10 of 16

Price at As a % of Market Cash & Enterprise LTM P/E

($ in millions, except per share data) Ticker 2/4/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Catalog & Specialty Distribution

HSN, Inc. HSNI $59.15 97.2% $3,209 $250 $130 $3,329 $3,314 $273 8.2% 7.2% 34.9% 8.2% 28.2x 1.00x 12.2x 0.97x 9.7x

Insight Enterprises Inc. NSIT 19.45 84.1% 867 113 141 839 5,315 200 0.9% 8.9% 13.5% 3.8% 8.1x 0.16x 4.2x 0.16x 4.1x

Liberty Interactive Corporation LINT.A 20.85 96.7% 11,370 7,357 1,793 16,934 9,954 1,814 5.6% 1.2% 36.3% 18.2% 19.9x 1.70x 9.3x 1.63x 8.4x

Nutrisystem, Inc. NTRI 8.80 72.6% 243 30 69 204 401 18 (5.0%) (9.1%) 46.0% 4.6% NM 0.51x 11.2x 0.50x 8.1x

PC Connection, Inc. PCCC 13.16 95.1% 341 1 40 302 2,159 63 2.6% 11.2% 13.1% 2.9% 10.6x 0.14x 4.8x 0.14x 4.6x

Systemax Inc. SYX 9.98 47.7% 365 9 133 240 3,589 53 (3.2%) 5.7% 14.1% 1.5% 11.1x 0.07x 4.6x 0.07x NA

ValueVision Media Inc. VVTV 2.93 99.0% 144 38 31 151 557 (6) (5.6%) 2.5% 36.4% NM NM 0.27x NM 0.25x 11.6x

Mean 84.6% $2,362 $1,114 $334 $3,143 $3,613 $345 0.5% 3.9% 27.8% 6.5% 15.6x 0.55x 7.7x 0.53x 7.7x

Median 95.1% $365 $38 $130 $302 $3,314 $63 0.9% 5.7% 34.9% 4.2% 11.1x 0.27x 7.1x 0.25x 8.2x

Department Chains

Bon-Ton Stores Inc. BONT $12.53 83.6% $252 $1,023 $8 $1,266 $2,954 $162 (0.7%) (1.3%) 36.7% 5.5% NM 0.43x 7.8x 0.43x 6.6x

Dillard's Inc. DDS 84.13 93.5% 3,975 852 125 4,702 6,604 767 3.7% 0.9% 37.0% 11.6% 13.2x 0.71x 6.1x 0.69x 5.7x

J. C. Penney Company, Inc. JCP 19.34 44.8% 4,240 2,965 525 6,680 14,526 (52) (17.2%) (6.5%) 32.9% NM NM 0.46x NM 0.51x 29.0x

Kohl's Corp. KSS 45.21 81.8% 10,399 4,578 550 14,427 18,955 2,823 0.7% 4.2% 37.2% 14.9% 10.3x 0.76x 5.1x 0.74x 5.3x

Macy's, Inc. M 38.72 91.8% 15,305 6,940 1,264 20,981 27,060 3,578 4.3% 4.7% 40.4% 13.2% 12.0x 0.78x 5.9x 0.74x 5.5x

Nordstrom Inc. JWN 54.50 93.3% 10,905 3,135 1,158 12,882 11,712 1,666 11.3% 11.8% 36.9% 14.2% 16.6x 1.10x 7.7x 1.02x 7.0x

Saks Incorporated SKS 10.52 86.7% 1,613 386 74 1,924 3,096 275 4.8% 5.2% 40.6% 8.9% 21.5x 0.62x 7.0x 0.60x 6.6x

Sears Holdings Corporation SHLD 46.37 54.0% 4,935 4,004 622 8,317 40,078 470 (3.6%) (3.1%) 26.3% 1.2% NM 0.21x 17.7x 0.22x 14.0x

Stage Stores Inc. SSI 22.74 82.9% 726 34 37 722 1,597 123 7.4% 3.1% 27.6% 7.7% 20.5x 0.45x 5.9x 0.42x 5.4x

Mean 79.2% $5,817 $2,657 $485 $7,989 $14,065 $1,090 1.2% 2.1% 35.1% 9.6% 15.7x 0.61x 7.9x 0.60x 9.4x

Median 83.6% $4,240 $2,965 $525 $6,680 $11,712 $470 3.7% 3.1% 36.9% 10.2% 14.9x 0.62x 6.6x 0.60x 6.6x

Discount Stores & Mass Merchants

Nordion Inc. NDN $7.09 65.1% $439 $43 $109 $373 $245 $63 (10.7%) 5.0% 54.7% 25.8% NM 1.52x 5.9x 1.59x 9.2x

Big Lots Inc. BIG 32.50 68.8% 1,882 463 66 2,278 5,316 392 5.2% 4.7% 39.4% 7.4% 11.8x 0.43x 5.8x 0.41x 5.5x

Costco Wholesale Corporation COST 102.48 96.7% 44,644 1,379 5,576 40,447 101,224 3,771 10.9% 11.9% 12.5% 3.7% 24.9x 0.40x 10.7x 0.37x 9.7x

Dollar General Corporation DG 45.52 81.2% 14,963 3,032 147 17,848 16,000 1,935 13.4% 11.8% 31.7% 12.1% 16.6x 1.12x 9.2x 1.04x 8.6x

Dollar Tree, Inc. DLTR 39.58 69.7% 8,993 264 222 9,035 7,094 1,032 10.7% 11.9% 35.8% 14.5% 15.9x 1.27x 8.8x 1.15x 7.6x

Family Dollar Stores Inc. FDO 56.55 75.7% 6,549 725 122 7,152 9,604 915 10.4% 8.7% 34.7% 9.5% 15.7x 0.74x 7.8x 0.66x 7.1x

Fred's, Inc. FRED 13.09 81.9% 480 7 16 471 1,919 83 2.8% 2.5% 28.9% 4.3% 14.7x 0.25x 5.6x 0.23x 4.9x

Gordmans Stores, Inc. GMAN 12.11 53.0% 233 0 32 201 598 48 10.4% 10.9% 43.6% 8.0% 9.1x 0.34x 4.2x 0.31x 4.4x

PriceSmart Inc. PSMT 77.10 89.7% 2,275 82 84 2,273 2,109 137 16.8% 18.8% 16.3% 6.5% 31.7x 1.08x 16.6x 0.94x 14.3x

Sears Hometown and Outlet Stores, Inc. SHOS 39.94 98.1% 923 49 22 950 2,413 116 2.8% NA 24.9% 4.8% 15.9x 0.39x 8.2x NA NA

Target Corp. TGT 60.85 92.5% 39,601 18,617 1,480 56,738 71,863 7,413 3.8% 3.5% 29.7% 10.3% 13.5x 0.79x 7.7x 0.75x 7.5x

Tuesday Morning Corporation TUES 8.75 98.8% 371 0 48 323 827 (19) 1.8% 0.7% 32.1% NM NM 0.39x NM 0.38x NA

Wal-Mart Stores Inc. WMT 69.63 89.7% 232,929 57,908 8,643 282,194 464,412 35,987 5.5% 4.8% 24.9% 7.7% 14.3x 0.61x 7.8x 0.58x 7.7x

Mean 81.6% $27,252 $6,352 $1,274 $32,329 $52,587 $3,990 6.4% 7.9% 31.5% 9.6% 16.7x 0.72x 8.2x 0.70x 7.9x

Median 81.9% $2,275 $264 $109 $2,278 $5,316 $392 5.5% 6.9% 31.7% 7.9% 15.7x 0.61x 7.8x 0.62x 7.6x

Furniture & Furnishings Retailers

Aaron's, Inc. AAN $29.72 91.4% $2,247 $142 $156 $2,233 $2,178 $306 10.0% 8.5% 51.9% 14.1% 13.8x 1.03x 7.3x 0.94x 6.6x

Bed Bath & Beyond Inc. BBBY 58.35 76.9% 12,957 0 785 12,172 10,245 1,782 10.5% 10.9% 40.6% 17.4% 13.3x 1.19x 6.8x 1.05x 6.2x

Ethan Allen Interiors Inc. ETH 29.29 96.7% 845 155 75 925 740 75 4.4% 9.8% 54.4% 10.2% 15.6x 1.25x 12.3x 1.18x 9.1x

Haverty Furniture Companies Inc. HVT 17.91 97.1% 395 13 75 333 656 39 6.7% 3.7% 52.4% 5.9% 16.1x 0.51x 8.6x 0.47x 6.3x

Kirkland's Inc. KIRK 11.13 63.9% 190 0 34 156 435 36 3.3% 3.1% 38.3% 8.2% 13.6x 0.36x 4.4x 0.33x 4.6x

La-Z-Boy Incorporated LZB 15.81 92.3% 829 8 95 742 1,268 77 4.0% 3.7% 31.2% 6.1% 18.9x 0.59x 9.6x 0.54x 7.8x

Lifetime Brands, Inc. LCUT 10.35 77.8% 130 109 2 237 470 33 4.5% 1.9% 36.5% 6.9% 11.8x 0.50x 7.3x NA NA

Last Twelve Months (LTM) LTM Margins EV / LTM EV / 2013ERevenue Growth

Consumer and Retail

Industry Update

February 2013

11 of 16

Price at As a % of Market Cash & Enterprise LTM P/E

($ in millions, except per share data) Ticker 2/4/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Furniture & Furnishings Retailers (Cont.)

Pier 1 Imports, Inc. PIR $21.89 98.4% $2,365 $10 $121 $2,254 $1,630 $214 9.9% 8.3% 43.7% 13.1% 13.1x 1.38x 10.5x 1.25x 8.6x

Rent-A-Center, Inc. RCII 35.99 91.1% 2,118 688 61 2,744 3,083 397 7.0% 3.9% 69.2% 12.9% 11.6x 0.89x 6.9x 0.84x 6.6x

Select Comfort Corporation SCSS 22.65 63.6% 1,266 0 139 1,127 935 146 25.8% 19.8% 63.8% 15.6% 16.5x 1.21x 7.7x 1.03x 6.5x

The Sherwin-Williams Company SHW 163.24 97.6% 16,831 969 55 17,745 9,534 1,199 8.8% 10.4% 44.3% 12.6% 25.2x 1.86x 14.8x 1.67x 12.1x

Tuesday Morning Corporation TUES 8.75 98.8% 371 0 48 323 827 (19) 1.8% 0.7% 32.1% NM NM 0.39x NM 0.38x NA

Williams-Sonoma Inc. WSM 44.90 93.4% 4,402 6 262 4,145 3,905 533 7.0% 8.9% 39.5% 13.7% 18.8x 1.06x 7.8x 0.99x 7.1x

Mean 87.6% $3,457 $161 $147 $3,472 $2,762 $371 8.0% 7.2% 46.0% 11.4% 15.7x 0.94x 8.7x 0.89x 7.4x

Median 92.3% $1,266 $10 $75 $1,127 $1,268 $146 7.0% 8.3% 43.7% 12.7% 14.7x 1.03x 7.7x 0.97x 6.6x

Internet Retail

1-800-Flowers.com Inc. FLWS $3.83 91.4% $249 $22 $27 $243 $733 $41 2.4% 2.9% 41.1% 5.6% 18.8x 0.33x 6.0x 0.31x 4.7x

Amazon.com Inc. AMZN 259.98 91.3% 118,174 4,385 11,448 111,111 61,093 2,508 27.1% 35.6% 24.8% 4.1% NM 1.82x 44.3x 1.46x 23.0x

Blue Nile Inc. NILE 31.80 70.7% 397 1 30 368 376 13 7.4% 9.7% 19.3% 3.5% NM 0.98x 28.1x 0.83x 13.8x

eBay Inc. EBAY 55.69 97.2% 72,203 4,519 9,408 67,314 14,072 4,119 20.8% 17.3% 70.0% 29.3% 28.0x 4.78x 16.3x 4.12x 12.4x

IAC/InterActiveCorp IACI 41.16 74.1% 3,641 96 641 3,096 2,633 371 37.6% 24.6% 64.3% 14.1% 22.5x 1.18x 8.3x 0.98x 5.3x

Netflix, Inc. NFLX 174.74 98.6% 9,784 432 748 9,468 3,609 95 12.6% 29.3% 27.2% 2.6% NM 2.62x 99.2x 2.22x 33.3x

Orbitz Worldwide, Inc. OWW 2.83 59.6% 297 440 152 585 766 101 (0.8%) 1.0% 81.6% 13.2% NM 0.76x 5.8x 0.73x 4.3x

Overstock.com Inc. OSTK 13.32 75.5% 312 0 94 219 1,099 28 4.3% 7.8% 18.1% 2.6% 21.5x 0.20x 7.7x 0.18x 7.8x

PetMed Express, Inc. PETS 13.14 93.7% 253 0 45 207 233 27 (0.3%) (0.5%) 33.5% 11.7% 16.0x 0.89x 7.6x 0.89x 7.5x

priceline.com Incorporated PCLN 679.29 87.7% 33,873 1,452 4,668 30,657 5,061 1,837 23.6% 32.0% 76.4% 36.3% 25.7x 6.06x 16.7x 5.02x 13.2x

Shutterfly, Inc. SFLY 32.55 93.0% 1,178 0 90 1,088 553 52 47.1% 35.3% 52.2% 9.4% NM 1.97x 21.0x 1.67x 10.3x

Stamps.com Inc. STMP 26.51 79.6% 414 0 37 377 113 23 16.2% 10.9% 75.7% 20.6% 10.5x 3.34x 16.2x 2.91x 11.2x

U.S. Auto Parts Network, Inc. PRTS 1.78 35.1% 55 17 1 72 318 11 (3.6%) 24.7% 30.7% 3.4% NM 0.22x 6.6x 0.24x 5.1x

Mean 80.6% $18,525 $874 $2,107 $17,293 $6,974 $710 14.9% 17.7% 47.3% 12.0% 20.4x 1.93x 21.8x 1.66x 11.7x

Median 87.7% $414 $22 $94 $585 $766 $52 12.6% 17.3% 41.1% 9.4% 21.5x 1.18x 16.2x 0.98x 10.3x

Specialty & Other Retail

Barnes & Noble, Inc. BKS $13.25 51.0% $782 $466 $471 $777 $7,157 $215 2.1% 17.6% 27.2% 3.0% NM 0.11x 3.6x 0.11x 4.3x

Best Buy Co., Inc. BBY 15.76 56.4% 5,306 2,208 1,199 6,315 50,705 3,295 1.9% 4.0% 24.8% 6.5% NM 0.12x 1.9x 0.13x 2.9x

Big 5 Sporting Goods Corp. BGFV 13.61 92.3% 289 57 5 342 924 39 2.4% 1.7% 31.9% 4.3% 27.3x 0.37x 8.7x 0.35x 6.6x

Books-A-Million Inc. BAMM 2.43 64.1% 38 50 5 84 505 21 11.7% (0.7%) 28.2% 4.2% 19.3x 0.17x 3.9x NA NA

Build-A-Bear Workshop Inc. BBW 4.90 56.2% 81 0 22 59 382 18 (4.8%) (2.7%) 40.0% 4.6% NM 0.15x 3.3x 0.16x 3.1x

Conns Inc. CONN 29.34 93.6% 1,001 331 4 1,328 841 88 6.1% (3.5%) 43.1% 10.4% 22.7x 1.58x 15.2x 1.37x 9.4x

CVS Caremark Corporation CVS 51.00 96.7% 63,581 10,040 1,238 72,383 120,056 8,575 16.1% 7.3% 18.1% 7.1% 17.1x 0.60x 8.4x 0.58x 7.6x

Dick's Sporting Goods Inc. DKS 46.80 86.3% 5,740 23 294 5,468 5,642 618 10.2% 9.6% 31.2% 11.0% 21.7x 0.97x 8.8x 0.87x 7.6x

Fossil, Inc. FOSL 101.87 73.2% 6,114 185 143 6,156 2,741 523 12.4% 22.7% 55.9% 19.1% 20.4x 2.25x 11.8x 2.02x 10.3x

hhgregg, Inc. HGG 9.40 71.6% 314 0 16 298 2,491 90 4.4% 18.9% 29.2% 3.6% 4.8x 0.12x 3.3x 0.12x 3.4x

Hibbett Sports, Inc. HIBB 51.72 81.6% 1,335 2 75 1,262 792 123 10.7% 11.3% 36.4% 15.5% 20.0x 1.59x 10.3x 1.45x 9.1x

Lowe's Companies Inc. LOW 37.94 96.6% 42,670 9,049 1,300 50,419 51,104 5,301 4.2% 2.8% 34.3% 10.4% 22.8x 0.99x 9.5x 0.98x 9.2x

Lumber Liquidators Holdings, Inc. LL 57.35 94.9% 1,557 0 40 1,517 777 77 17.7% 14.0% 37.1% 10.0% 38.8x 1.95x 19.6x 1.75x 15.9x

Marinemax Inc. HZO 12.27 96.8% 292 123 15 400 532 12 10.7% (3.3%) 25.2% 2.2% NM 0.75x 34.1x 0.69x NA

Movado Group, Inc. MOV 36.79 98.1% 932 0 165 767 504 60 12.9% 11.7% 55.7% 11.8% 15.7x 1.52x 12.9x 1.41x NA

Office Depot, Inc. ODP 4.38 93.6% 1,249 671 620 1,301 11,043 374 (3.8%) (3.7%) 30.5% 3.4% NM 0.12x 3.5x 0.12x 4.1x

PetSmart, Inc. PETM 63.58 87.4% 6,833 536 317 7,052 6,517 839 8.7% 7.2% 30.2% 12.9% 19.7x 1.08x 8.4x 1.00x 7.5x

Last Twelve Months (LTM) Revenue Growth LTM Margins EV / LTM EV / 2013E

Consumer and Retail

Industry Update

February 2013

12 of 16

Price at As a % of Market Cash & Enterprise LTM P/E

($ in millions, except per share data) Ticker 2/4/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Specialty & Other Retail (Cont.)

RadioShack Corp. RSH $3.12 39.2% $311 $749 $546 $514 $4,349 $64 1.1% 1.0% 36.2% 1.5% NM 0.12x 8.1x 0.12x 12.9x

Regis Corp. RGS 17.75 90.6% 1,005 269 218 1,055 2,228 184 (1.8%) (2.6%) 38.6% 8.3% NM 0.47x 5.7x 0.52x 7.3x

Rite Aid Corporation RAD 1.65 77.8% 1,491 6,152 264 7,380 26,084 794 2.6% 0.2% 27.0% 3.0% NM 0.28x 9.3x 0.29x 6.6x

Staples, Inc. SPLS 13.33 78.7% 8,983 1,661 1,020 9,624 24,544 1,985 (0.7%) 0.7% 26.7% 8.1% NM 0.39x 4.8x 0.39x 4.7x

Steiner Leisure Ltd. STNR 45.36 84.8% 659 153 53 759 786 85 16.0% 17.1% 24.1% 10.8% 12.9x 0.96x 8.9x 0.91x 9.1x

The Home Depot, Inc. HD 66.36 97.4% 99,220 10,813 2,554 107,479 72,522 9,117 4.3% 3.1% 34.6% 12.6% 23.6x 1.48x 11.8x 1.41x 10.6x

Tiffany & Co. TIF 62.17 83.8% 7,882 978 346 8,514 3,746 855 5.3% 13.4% 57.4% 22.8% 19.2x 2.27x 10.0x 2.16x 9.6x

Tractor Supply Company TSCO 102.16 97.5% 7,196 1 139 7,058 4,664 526 10.2% 13.3% 33.6% 11.3% 26.9x 1.51x 13.4x 1.37x 11.8x

Vitamin Shoppe, Inc. VSI 58.60 93.1% 1,751 0 76 1,675 947 124 15.2% 13.1% 43.4% 13.1% 28.8x 1.77x 13.5x 1.55x 11.6x

Walgreen Co. WAG 40.01 98.9% 37,814 6,385 1,854 42,345 70,792 4,514 (3.0%) 3.0% 28.7% 6.4% 18.1x 0.60x 9.4x 0.57x 7.4x

Zale Corporation ZLC 4.93 64.4% 160 524 15 669 1,873 56 6.0% 2.4% 51.5% 3.0% NM 0.36x 12.0x 0.35x 9.8x

Mean 82.0% $10,878 $1,837 $465 $12,250 $16,973 $1,378 6.4% 6.4% 35.0% 8.6% 21.1x 0.88x 9.8x 0.84x 8.1x

Median 86.8% $1,413 $300 $192 $1,422 $3,243 $199 5.7% 3.6% 32.8% 8.2% 20.2x 0.68x 9.1x 0.69x 7.6x

Last Twelve Months (LTM) Revenue Growth LTM Margins EV / LTM EV / 2013E

February 2013

M&A

Detail

Recent North

American

Consumer

M&A

Enterprise Enterprise Value Private Equity

Announced Target Seller Buyer Value ($mm) Sales EBITDA EBIT Involvement

1/31/2013 WMS Industries Inc. Government of Singapore Scientific Games Corporation $1,449.3 2.09x 7.1x 14.7x

1/24/2013 Blocksworld - Linden Research, Inc. - - - -

1/24/2013 Hume Travel Corporation - Corporate Travel Management - - - -

1/22/2013 Lysse - E & A Industries, Inc. - - - -

1/22/2013 KIVA Designs, Inc., KIVA Brand KIVA Designs, Inc. Baggallini, Inc. - - - -

1/19/2013 Becker Monument Company - Bell Memorials - - - -

1/18/2013 Personal Retailing, Inc. Hillsven LLC JustFabulous - - - -

1/16/2013 K-Swiss Inc. Select Equity Group, Inc. E. Land World Company $135.0 0.58x - - P

1/16/2013 ReStockIt, LLC - Acme Paper & Supply Co. - - - -

1/15/2013 Genceutic Naturals - Nature's Answer, Inc. - - - -

1/15/2013 10Best, Inc. The Nile Project, Inc. USA Today International - - - -

1/14/2013 Harry Winston, Inc. Harry Winston Diamond Swatch Group AG $1,000.0 - - -

1/14/2013 Venetian Blind & Floor Covering Shop, Ltd. - Hunter Douglas - - - -

1/14/2013 Pure Fitness for Women - Titan Fitness - - - -

1/11/2013 The Longaberger Company - Computer Vision Systems Laboratories - - - -

1/10/2013 Diamondback Drugs, LLC - Sheridan Legacy Group - - - -

1/9/2013 Express Oil, LLC Thompson Street Capital Carousel Capital Partners - - - - P

1/9/2013 In Quest of the Classics - Discover Travel & Tours - - - -

1/17/2013 Chair-man Mills Inc. - Granite Partners - - - - P

1/9/2013 Lahui Kai - SUP ATX, LLC - - - -

1/9/2013 Creative Cabinet Systems Inc - idX Corporation - - - -

1/4/2013 Warehouse Pool Supply, Inc. - Leslie's Poolmart Inc. - - - -

1/4/2013 EP Hunting LLC - Hot Shot Manufacturing - - - -

1/4/2013 Backcountry Access, Inc. - K2 Sports - - - -

1/3/2013 Plano Molding Co. Tinicum Capital Partners Teachers' Private Capital - - - - P

1/3/2013 Intermix, Inc. Goode Partners LLC Gap Inc. $130.0 1.00x - - P

1/2/2013 Simplicity Creative Group Conso International Corporation Wilton Brands Inc. - - - -

1/2/2013 Shawnee Mission Kia - Group 1 Automotive Inc. $13.9 - - -

1/2/2013 Everything Automotive, LLC - Service King Paint & Body, LLC - - - -

12/31/2012 Viking Range Corporation The Stephens Group, LLC Middleby Corp. $380.0 - - - P

12/31/2012 Cuddledown, Inc. - Potpourri Group Inc. - - - -

12/28/2012 Ogden Auto Body, Inc. - ABRA, Inc. - - - -

12/28/2012 Rio Grande - Richline Group, Inc. - - - -

12/27/2012 Buffalo Studios LLC - Playtika Ltd. - - - -

12/26/2012 ShowPlex Cinemas, Inc. Trinity Hunt Partners Starplex Cinemas - - - - P

12/26/2012 Findings, Incorporated - LeachGarner - - - -

12/26/2012 Bella Pictures, Inc. Foundation Capital; CPI Corp. The Pros Entertainment Services, Inc. - - - -

12/24/2012 Express Lane, Inc. - Lehigh Gas Wholesale Services, Inc. $43.6 - - -

12/21/2012 Easy Aces, Inc. - Lifetime Brands, Inc. - - - -

12/21/2012 Sierra Trading Post, Inc. - The TJX Companies, Inc. $200.0 1.00x - -

12/21/2012 Crespo & Jirrels Funeral and Cremation Services - Carriage Services Inc. - - - -

12/21/2012 Silver Spring Golf & Banquet Center Capmark Bank Varin Realty, LLC; RN Realty LLC - - - -

12/20/2012 ONGUARD Industries, L.L.C. - BarrierSafe Solutions International, Inc. - - - -

12/20/2012 Fundex Games, Ltd. Liberty BIDCO Investment Corporation POOF-Slinky, Inc. $1.7 - - - P

12/20/2012 YES Electrical Supply Inc. - Dominion Electric Supply Company - - - -

12/20/2012 New Haven Tire Inc. - Pete's Tire Barns Inc. - - - -

12/19/2012 Motorola Mobility Holdings, Inc. Motorola Mobility Holdings, Inc. Arris Group Inc. $2,350.0 0.69x - -

12/19/2012 THQ Inc., Substantially All Assets THQ Inc. Clearlake Capital Group, LLC $60.0 - - - P

12/19/2012 Northland Chevrolet - Evergreen LLC - - - -

12/19/2012 Progressive Products, Inc. - Bekaert Textiles NV - - - -

12/19/2012 Charlie's Chevrolet, Inc. - Shuman Family LLC - - - -

12/18/2012 The SWI Group - Clearlake Capital Group, LLC - - - - P

12/18/2012 Serra Automotive, Inc. Serra Automotive, Inc. The Suburban Collection - - - -

12/18/2012 McNeil-PPC Inc., Reach Toothbrushes McNEIL-PPC, Inc. Dr. Fresh, Inc. - - - -

12/18/2012 Dahl Chevrolet-Buick-GMC, Inc. - Dahl Automotive - - - -

12/18/2012 Green Mochi, LLC - Big Strike, Inc. - - - -

12/18/2012 Westlake Hardware, Inc. Goldner Hawn Johnson & Morrison Inc. Ace Hardware Corporation $88.0 0.37x - - P

12/17/2012 Paris Equipment Manufacturing Ltd. - Tiercel Technology Corp. - - - -

12/17/2012 VIP, Inc., Auto Parts Related Assets VIP, Inc. O'Reilly Automotive Inc. - - - -

12/17/2012 Hammerpoint Interactive - Arktos Entertainment Group Inc. - - - -

12/17/2012 JW Pet Company Inc. and Canine Hardware, Inc. - Doskocil Manufacturing Company, Inc. - - - -

12/17/2012 Danvers-NII, Inc. Ira Automotive Group, LLC Kelly Automotive Group, Inc. - - - -

12/17/2012 Battison Honda Sonic Automotive Inc. Battison Auto Group - - - -

12/14/2012 Collision Solutions, Inc. - ABRA, Inc. - - - -

12/13/2012 Life Nutrition Products, Inc. Asset Intelligences Ltd. ADGS Advisory Limited - - - -

12/12/2012 Purdy Motor Group Auto Sales - Grupo Purdy - - - -

12/12/2012 OrganicFood2You LLC - Bella Bean Organics, Inc. - - - -

12/12/2012 Ogren Electronics LLC Terra Nova, Inc. Per Mar Security and Research Corp. - - - -

12/11/2012 Cumby Family Funeral Service - Carriage Services Inc. - - - -

12/11/2012 Ken Towery's AutoCare SuperCenter - Monro Muffler Brake Inc. - - - -

12/11/2012 Blue Competition Cycles, LLC Peter Skop Industries, Inc. Lake Rudd Capital Partners - - - - P

12/10/2012 Cordillera Golf Club, LLC Wilhelm Family Partnership Ltd Windrose Holdings, LLC $14.2 - - -

12/10/2012 R&G Tire Center Inc. - East Bay Tire Co. - - - -

12/10/2012 Vinatronics Inc. - National Safety Apparel, Inc. - - - -

12/10/2012 Miss Matched Inc. Catterton Partners Corporation Delta Galil USA Inc. - - - - P

12/10/2012 Heelys, Inc. Capital Southwest Corporation Sequential Brands Group, Inc. $4.3 0.14x - -

13 of 16

February 2013

M&A

Detail

Recent North

American

Consumer

M&A

(continued)

Enterprise Enterprise Value Private Equity

Announced Target Seller Buyer Value ($mm) Sales EBITDA EBIT Involvement

12/10/2012 PLAYTIME, LLC - Monroe Capital LLC; Geneva Glen - - - - P

12/7/2012 Concepts In Health, Inc. - Meda AB - - - -

12/7/2012 Twist and Shout Tulsa Branch - Cheer Perfection LLC - - - -

12/6/2012 Teton Outfitters, LLC - Polaris Industries, Inc. - - - -

12/6/2012 The Snowmass Club Associated, LLC Aspen Skiing Company, LLC Toll Golf & Country Club Division - - - -

12/6/2012 RainSoft of Weston, LLC - Sterling Water, Inc. - - - -

12/5/2012 Bentley Leathers Inc. - Novacap Investments, Inc. - - - - P

12/5/2012 Redcats USA, Inc. Redcats SA Charlesbank Capital Partners, LLC $525.0 - - - P

12/5/2012 Sports & Fitness Clubs - Fitness Connection - - - -

12/5/2012 Brennan Buick Inc. - Bergstrom Corporation - - - -

12/5/2012 Caneel Inc. - Mister Car Wash, Inc. - - - -

12/4/2012 Boardwalk Auto Group Boardwalk Auto Group AutoNation Inc. - - - -

12/4/2012 Spring Chrysler Jeep Dodge, Inc. - AutoNation Inc. - - - -

12/4/2012 Blue Ribbon Motoring, LLC - AutoZone, Inc. - - - -

12/4/2012 Footech, Inc. - Capital DGMC Inc. - - - - P

12/3/2012 Craft Oil Corp. - PetroChoice - - - -

12/3/2012 Golden Services LLC - Sprague Pest Solutions Inc. - - - -

12/3/2012 Morningside Nannies Inc. - Longhorn Leads, LLC - - - -

12/3/2012 Journelle, Inc. - Triumph International - - - -

11/30/2012 J Brand Holdings, LLC Genuity Capital Partners; Star Avenue Fast Retailing Co. Ltd. $362.1 2.91x - 11.4x P

11/30/2012 Lucky Litter LLC Cornertone Angels Radio Systems Corporation - - - -

11/30/2012 BufferBox Inc. iNovia Capital Google Inc. $17.0 - - - P

11/29/2012 Great Outdoors, LLC - iEntertainment Network Inc. - - - -

11/29/2012 Aliance Entertainment, Inc. - Regal Entertainment Group - - - -

11/29/2012 Cohn-Turner And Co., Inc. - Perlis, Inc. - - - -

11/28/2012 Pro Hockey Life Sporting Goods Inc. Fondaction FGL Sports Ltd. $85.6 0.90x - -

11/28/2012 HydroSolution, Inc. Gaz Métro Plus, Inc. Confort Expert, Inc. $89.9 - - -

11/28/2012 Nelsen Family Funeral Services, Inc. - Service Corp. International - - - -

11/27/2012 Automotive Technologies, Inc. - Glentel Inc. $83.3 - - -

11/27/2012 Wade Auto Body - Service King Paint & Body, LLC - - - -

11/26/2012 Wild Planet Entertainment, Inc. Wild Planet Entertainment, Inc. Spin Master Ltd. - - - -

11/26/2012 Eastern Mountain Sports, Inc. J.H. Whitney & Co., LLC Versa Capital Management, Inc. - - - - P

11/26/2012 Urban Decay Cosmetics, LLC Castanea Partners, Inc. L'Oreal SA - - - - P

11/26/2012 Florida Gaming Centers, Inc. Florida Gaming Corp. Silvermark LLC $130.0 - - -

11/22/2012 Falcon Ridge Golf Course, Inc. - Loveland Investments, LLC - - - - P

11/21/2012 Kimberly Parry Organics Inc. - VizStar, Inc. - - - -

11/21/2012 Croakies, Ecommerce Operations Croakies, Inc. Virtual Piggy, Inc - - - -

11/20/2012 Good Shepherd Auto Glass, Inc. - Guardian Auto Glass LLC - - - -

11/20/2012 Kenworth of Boston, Inc. - Kenworth Northeast Group, Inc. - - - -

11/19/2012 Kathie's Christmas Ltd. - Christmas Tree Hill, Inc. - - - -

11/16/2012 Cole Haan Holdings, Inc. Nike Inc. Apax Partners LLP $570.0 - - - P

11/16/2012 Rave Cinemas, LLC TowerBrook Capital Partners L.P. Cinemark USA, Inc. $240.0 1.05x 5.8x - P

11/15/2012 AquaPerfect LLC - Taylor Made Water Systems, Inc. - - - -

11/15/2012 NuVo Technologies, Inc. - Legrand - - - -

11/15/2012 Schiff Nutrition International Inc. TPG Capital, L.P. Reckitt Benckiser LLC $1,433.0 5.01x 33.4x 39.8x P

11/15/2012 Family Christian Stores, Inc. - Group of Private Investors - - - - P

11/14/2012 Teavana Holdings, Inc. Apax Partners LLP Starbucks Corporation $609.9 3.22x 16.5x 20.5x P

11/14/2012 Jetboil, Inc. - Johnson Outdoors Inc. - - - -

11/14/2012 Kamagon Fitness, LLC - Ball, Bounce, and Sport Inc. - - - -

11/13/2012 Wrapsol, LLC - Otter Products, LLC - - - -

11/13/2012 Fertitta Interactive LLC - Station Casinos LLC - - - -

11/12/2012 Barjan LLC, Mistic Electronic Cigarettes Brand Barjan LLC Ballantyne Brands, LLC - - - -

11/12/2012 Vans Inc., PRO-TEC Brand Vans Inc. DYE Precision Inc. - - - -

11/8/2012 The Sportman’s Guide, Inc. Redcats USA, Inc. Northern Tool + Equipment Company $215.0 - - -

11/7/2012 Derek Lam International LLC LABELUX Group GmbH - - - - -

11/6/2012 Le Mystère LLC - Komar, Inc. - - - -

10/25/2012 Mac's Antique Auto Parts, Inc. - Eckler Industries, Inc. - - - -

10/24/2012 Ultra Stores, Inc. Crystal Financial Corporation Signet Jewelers Limited $57.0 0.41x - -

10/24/2012 The Athlete's Foot Brands, LLC Global Franchise Group, LLC IIC-INTERSPORT International - - - -

10/23/2012 Heelys, Inc. BML Capital Management, LLC The Evergreen Group Ventures, LLC -$43.9 - - - P

10/22/2012 Partners Pest Control Inc. - Orkin, LLC - - - -

10/11/2012 Access Vans of Louisiana Inc. - Superior Van & Mobility LLC - - - -

10/9/2012 Savage BMW Inc. - Penske Automotive Group, Inc. - - - -

10/9/2012 GTS 3000 Inc. - ParTravel Inc. - - - -

10/9/2012 Ultramar Travel Management, Inc. - Travel and Transport, Inc. - - - -

10/8/2012 McIntosh Laboratory, Inc. D&M Holdings Inc. Fine Sounds Spa - - - -

10/5/2012 Carolina Rustica, Inc. - Mattress USA, Inc. - - - -

10/4/2012 Catcorp Inc. - Wireless Vision, LLC - - - -

10/4/2012 SimplySoles - SKYE Associates LLC - - - -

10/4/2012 Maverik, Inc. - FJ Management Inc. - - - -

10/3/2012 WNA, Inc. The Carlyle Group LP Olympus Partners - - - - P

10/3/2012 Bentex Mills, Inc. - Burlington Technologies, Inc. - - - -

10/2/2012 Garden Oaks Funeral Home - Stewart Enterprises Inc. - - - -

10/2/2012 Midwest - CBK, Inc. MVP Group International, Inc. Ganz, Inc. - - - -

10/2/2012 Checkpoint Systems Inc. - BranchServ - - - -

10/2/2012 Clapp Volkswagen - Sam Swope Auto Group, LLC - - - -

10/2/2012 Jerry Spady Chevrolet GMC Cadillac - Jerry Spady Cadillac GMC - - - -

14 of 16

February 2013

Glenn Gurtcheff Managing Director

ggurtcheff@harriswilliams.com

+1 (612) 359-2702

Ryan Budlong Vice President

rbudlong@harriswilliams.com

+1 (612) 359-2722

Jeff Cleveland Vice President

jcleveland@harriswilliams.com

+1 (612) 359-2703

Tim Alexander Managing Director

talexander@harriswilliams.com

+1 (612) 359-2716

HW&Co.

Consumer

Team

Recent North

American

Consumer

M&A

(continued)

M&A

Detail

Enterprise Enterprise Value Private Equity

Announced Target Seller Buyer Value ($mm) Sales EBITDA EBIT Involvement

10/1/2012 Mt. Pulaski Products, LLC - The Andersons, Inc. - - - -

10/1/2012 A-Med Health Care - Byram Healthcare Centers, Inc. $38.2 - - -

10/1/2012 Southern Candle, Inc. - Integrity Design & Displays, Inc. - - - -

9/30/2012 CR Brands, Inc. Juggernaut Capital Partners, L.P. Resilience Capital Partners LLC - - - - P

9/30/2012 Jim Norton Chevrolet Sonic Automotive Inc. Jim Norton Auto Group - - - -

9/27/2012 The Rose Hill Company, Inc. - Madison Park Home Furnishings, LLC - - - -

9/26/2012 Aqua Fill - Glacier Water Services Inc. - - - -

9/26/2012 Tandus Group, Inc. Oaktree Capital Management, L.P. Tarkett North America Holding, Inc. - - - - P

9/26/2012 Armstrong Cabinet Products, Inc. Armstrong World Industries, Inc. American Industrial Partners $27.0 0.20x - - P

9/26/2012 Red Card Gaming, Inc., High Card Flush Game Red Card Gaming, Inc. Galaxy Gaming, Inc. - - - -

9/26/2012 Sealy Corporation Kohlberg Kravis Roberts & Co. Tempur Pedic International Inc. $929.2 0.74x 7.6x 10.1x P

9/26/2012 AQUABI Toy Company - Redemption Plus, LLC - - - -

9/25/2012 Western Exterminator Company - Rentokil Initial plc $114.6 0.77x - -

9/25/2012 Twisterz Toys, LLC - Smart Toys and Games, Inc. - - - -

9/25/2012 Affordable Contracting, Inc. - Romanoff Floor Covering, Inc. - - - -

9/23/2012 Koko Ltd. - Koko Ltd. - - - -

9/21/2012 Peter Millar, LLC Winona Capital Management, LLC Compagnie Financiere Richemont SA - - - - P

9/21/2012 NEST Fragrances, LLC - Tengram Capital Partners, LLC - - - - P

9/21/2012 Waupaca Woods Pharmacy, Inc. - Shopko Stores Operating Co., LLC - - - -

9/21/2012 Mick's North Hills Chrysler Jeep Dodge - Diehl Automotive Group Inc. - - - -

9/20/2012 Dynagra Corp. - CHS, Inc. - - - -

9/20/2012 LifeApps Digital Media Inc. - LifeApps Digital Media Inc. - - - -

9/20/2012 Sunair Security Services, Inc. - Safe Systems, Inc. - - - -

9/19/2012 Vivint, Inc. Goldman Sachs Group The Blackstone Group $2,000.0 - - - P

9/19/2012 San Diego Hat Co. - Mainland Headwear Holdings Ltd. $10.6 - - -

9/19/2012 Innovative Hearth Products - Lennox Hearth Products LLC - - - -

9/19/2012 RLJ-McLarty-Landers Automotive - W. P. Carey Inc. $66.0 - - -

9/19/2012 Guru Cycles Inc. - Dorel Industries Inc. - - - -

9/19/2012 Premier Pest Management, Inc. - Bulwark Exterminating, LLC - - - -

9/18/2012 KA and KM Development, Inc. - Hostmark Hospitality Group, Inc. $24.0 - - -

9/17/2012 Etonic Worldwide LLC Lotto Sport Italia S.p.A. Etonic Holdings, LLC - - - -

9/16/2012 A Proper Place, Inc. - Sold With Style Inc. - - - -

9/14/2012 Shell Vacations LLC York Capital Management Wyndham Vacation Ownership, Inc. $255.0 - - - P

9/14/2012 Ze Frank Games, Inc. First Round Capital Contagious Media, LLC - - - -

9/13/2012 Sergeant’s Pet Care Products, Inc. Sowell & Company Perrigo Co. $285.0 - - - P

9/10/2012 Bassett Marine LLC Bassett Marine LLC Marinemax Inc. - - - -

9/10/2012 College Marketplace Inc. - SimpleTuition, Inc. - - - -

9/10/2012 Global Fitness Holdings, LLC Laurel Crown Partners, LLC L.A. Fitness International, LLC - - - - P

9/10/2012 Engineered Treatment Systems - Neptune-Benson, Inc. - - - -

9/6/2012 Myers Services, Inc. - Massey Services, Inc. - - - -

9/6/2012 Ritz Camera & Image, LLC Ritz Camera & Image, LLC C&A Marketing Inc. - - - -

9/5/2012 Parfums de Coeur, Ltd. - Yellow Wood Partners - - - - P

9/5/2012 Kirker Enterprises, Inc. - RPM International Inc. - - - -

9/5/2012 The Paper Magic Group, Inc. The Paper Magic Group, Inc. Gemmy Industries (HK) Limited - - - -

9/5/2012 Technologies Scan Corp. - I Speed Zone Inc. - - - -

9/4/2012 Bruni Auto Repair & Body Shop Ltd. - Pembina Chrysler Dodge Jeep Ltd. - - - -

9/4/2012 Method Products, Inc. San Francisco Equity Partners Ecover Belgium NV - - - - P

9/4/2012 Elizabeth Lange, LLC LLM Management Co., LLC Cherokee Inc. $14.0 - - - P

9/4/2012 Mattress XPress, Inc. - Mattress Firm, Inc. $15.8 - - -

8/30/2012 Unseen Solar, Inc. - Western Water Consultants, Inc. - - - -

8/29/2012 E. I. du Pont de Nemours and Company E. I. du Pont de Nemours and Company Syngenta AG $125.0 - - -

8/29/2012 Omnia Leather Motion, Inc. - Premier HTS LLC - - - -

8/28/2012 David's Bridal, Inc. TPG Growth Clayton, Dubilier & Rice $1,050.0 - - - P

8/28/2012 Cottonseed Clothing Company, LLC - Wittlebee - - - -

15 of 16

Brant Cash Vice President

bcash@harriswilliams.com

+1 (612) 359-2709

John Neuner IV Managing Director

jneuner@harriswilliams.com

+1 (804) 915-0125

Matt Conaty Vice President

mconaty@harriswilliams.com

+1 (415) 217-3423

Brent Spiller Vice President

bspiller@harriswilliams.com

+1 (804) 915-0183

Corey Benjamin Vice President

cbenjamin@harriswilliams.com

+1 (804) 932-1342

Red Norrie Managing Director

rnorrie@harriswilliams.com

+44 20 7518 8906

February 2013

Sources:

Capital IQ.

Thomson Financial.

S&P.

Reuters.

Harris Williams & Co. (www.harriswilliams.com) is a preeminent middle market investment bank focused on the

advisory needs of clients worldwide. The firm has deep industry knowledge, global transaction expertise, and an

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Investment banking services are provided by Harris Williams LLC, a registered broker-dealer and member of FINRA

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Copyright © 2013 Harris Williams & Co., all rights reserved.

Consumer and Retail

Industry Update

16 of 16