industry update february 2015 - harris williams · home furnishings ... investment attributes for...

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Investment banking services are provided by Harris Williams LLC, a registered broker-dealer and member of FINRA and SIPC, and Harris Williams & Co. Ltd, which is authorised and regulatedby the Financial Conduct Authority. Harris Williams & Co. is a trade name under which Harris Williams LLC and Harris Williams & Co. Ltd conduct business.

CONSUMER AND RETAIL

INDUSTRY UPDATE │ FEBRUARY 2015

PAGE |


The Harris Williams & Co. Consumer team had a

busy finish to 2014 and start of 2015 that saw us close

six sell-side and two buy-side engagements in the

past four months. More recently, we closed on the

sale of Fishing Holdings, a world-class manufacturer

of fishing boats under three legendary enthusiast

brands – Ranger, Triton, and Stratos, to Bass Pro

Group as well as the sale of Enjoy Life Foods, a

rapidly growing brand in the “better-for-you” health

category, to Mondelez International. Both of these

transactions closed during the week of February 9th,

2015.

1

HARRIS WILLIAMS & CO. CONSUMER UPDATE

GROUP OVERVIEW

Harris Williams & Co. is a leadingadvisor to the Consumer market. Oursignificant experience covers a broadrange of end markets, industries, andbusiness models. This particular reportfocuses on trends and metrics in thefollowing areas:

Catalog and Direct Marketing

Consumer Durables

Consumer Electronics

Consumer Services

E-tailing

Footwear, Apparel, and Accessories

Franchise Platforms

Home Furnishings

Household Goods

Infant and Juvenile Products

Jewelry, Gifts, and Collectibles

Lawn, Garden, and Pet Products and Services

Leisure and Outdoor Products

Personal Care Products

Specialty and Mass Merchant Retailing

CONTACTS

John NeunerManaging [email protected]+1 (804) 915-0125

Ryan BudlongDirector [email protected] +1 (415) 217-3409

Brent [email protected]+1 (804) 915-0183

Corey BenjaminVice [email protected]+1 (804) 932-1342

Matt ConatyVice [email protected]+1 (415) 217-3423

Chip DugginsVice [email protected]+1 (804) 932-1340

CONSUMER AND RETAIL


HW&CO.’S RECENT INDUSTRY OBSERVATIONS

Our current volume of clients and new opportunities is continuing to increase as well with all

signs pointing to another year of strong activity in the Consumer M&A market. Additionally,

many of the same dynamics that we noticed driving premium valuations in 2014, including

strong corporate balance sheets, significant amounts of uninvested private equity capital,

and frothy financing markets will continue to favor sellers.

January is always a busy month on the trade show circuit, and this year was no different with

visits to the Archery Trade Association (ATA) Show, Fancy Food Show, ICR XChange, Outdoor

Retailer, and the Shooting Hunting and Outdoor Trade (SHOT) Show. Walking the trade show

floors and speaking with a diverse group of consumer investors, strategic consolidators, and

business operators, we have seen a number of important industry trends playing out that will

influence overall sector growth and near term M&A activity in the consumer sector.

Key Take-Aways:

Strong Strategic Buyer Interest for Authentic Brands – Both during the recent Fishing Holdings

process and during our discussions with the strategic consolidators at the trade shows in

January, it’s very clear that there is currently strong strategic buyer interest for authentic

outdoor & lifestyle assets. In the case of Fishing Holdings, the iconic Ranger brand has led the

fiberglass fishing boat category for over 40 years and is the brand of choice for the most

passionate and avid anglers. Bass Pro Group is excited to add this brand to its world-class

sales and marketing infrastructure.

Increased Consumer Use of Technology – Whether it is a Fitbit device for consumers who want

to measure their daily movements or $30,000 worth of fish locating electronics on a Ranger

boat, there is no doubt that the technology is playing a huge role in driving growth across

numerous segments of the outdoor and lifestyle sector. We fully expect for this trend to

continue going forward, especially as it relates to consumers monitoring their own personal

health and helping hunting and fishing enthusiasts be more successful in the field.

Willingness of Financial Buyers to Build Platforms – There are a number of attractive

investment attributes for private equity buyers who view the outdoor and lifestyle category as

an attractive industry to invest capital. However, some financial buyers have recently been

disappointed with the number of pure outdoor and lifestyle platforms in the market (or the

prices being demanded) and have chosen to build their own industry platforms by entering

the category through a number of smaller acquisitions. While this is not a strategy for

everyone, we expect that this trend will continue in the near term.

HW&CO’S RECENT INDUSTRY OBSERVATIONS

http://www.harriswilliams.com/

http://www.harriswilliams.com/industries/consumer

mailto:[email protected]






PAGE |


Change in Stock Price

3 mos. 12 mos. Revenue EBITDA Revenue EBITDA

Consumer Products

Apparel & Footwear 29 $1,958 5.1% 4.3% 1.4x 10.7x 1.3x 10.1x

Home & Office Furniture & Furnishings 10 1,563 6.4% 10.9% 1.0x 11.6x 0.9x 8.1x

Household Products 10 10,428 11.7% 16.0% 1.8x 13.0x 1.7x 11.0x

Lawn, Garden, and Pet 9 2,078 6.0% (2.2%) 1.5x 11.0x 1.5x 9.8x

Personal Care Products 13 3,974 2.1% 10.2% 1.6x 10.6x 1.4x 9.8x

Recreational & Leisure Products 20 671 6.3% (3.7%) 1.3x 9.5x 1.3x 10.1x

Retail

Apparel & Footwear Retail 38 1,334 8.1% (4.9%) 0.6x 7.8x 0.6x 7.1x

Catalog & Specialty Distribution 6 518 12.7% 11.9% 0.4x 14.7x 0.4x 10.8x

Department Chains 9 7,096 10.9% 10.8% 0.8x 7.8x 0.8x 7.0x

Discount Stores & Mass Merchants 10 11,574 8.5% 17.2% 0.9x 10.8x 0.8x 10.0x

Furniture & Furnishings Retailers 12 1,476 22.9% 9.0% 1.0x 9.9x 0.8x 8.3x

Internet Retail 13 1,201 3.2% (8.1%) 1.5x 15.8x 1.3x 9.8x

Specialty & Other Retail 27 1,483 15.8% 1.4% 0.9x 9.8x 0.8x 8.2x

Consumer Products 91 $2,018 6.2% 7.3% 1.4x 10.9x 1.3x 9.9x

Retail 115 $1,476 10.9% 9.0% 0.9x 9.9x 0.8x 8.3x

Consumer & Retail Index 206 $1,563 8.1% 9.0% 1.0x 10.7x 0.9x 9.8x

SectorNumber of

Companies

Median Enterprise

Value ($mm)

Median TEV/

Forward Mulitples

Median TEV/

LTM Multiples

KEY TRADING STATISTICS (DETAIL BEGINS ON PAGE 6)

PUBLIC MARKETS OVERVIEW

PUBLIC COMPANY SECTOR PERFORMANCE (12-MONTH % CHANGE IN STOCK PRICE)

CONSUMER AND RETAIL


2

Internet Retail

Apparel & Footwear Retail

Recreational & Leisure Products

Lawn, Garden, and Pet

Specialty & Other Retail

Apparel & Footwear

Consumer & Retail Index

Furniture & Furnishings Retailers


Department Chains

Home & Office Furniture &

Furnishings

Catalog & Specialty Distribution

S&P 500

Household Products

Discount Stores & Mass Merchants

(15.0%) (10.0%) (5.0%) 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0%


PAGE |


50

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Feb-11 Jun-11 Oct-11 Feb-12 Jun-12 Oct-12 Feb-13 Jun-13 Oct-13 Feb-14 Jun-14 Oct-14

Ind

ex

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

CONSUMER AND RETAIL INDUSTRY STOCK PERFORMANCE

PUBLIC MARKETS OVERVIEW

RECENT EQUITY OFFERINGS

CONSUMER AND RETAIL


3

Close Date Filing Date Issuer Ticker

Transaction

Type

Gross Proceeds

($mm) Underwriter(s)

02/05/15 01/22/15 Dave & Buster's Entertainment Inc. PLAY Follow-On $194.7Jefferies, Piper Jaffray, William Blair, Raymond James, Stifel

Nicolaus

02/04/15 01/22/15 Serv iceMaster Global Holdings Inc. SERV Follow-On 848.1JP Morgan, Credit Suisse, Goldman Sachs, Morgan Stanley,

Merrill Lynch, Pierce, Fenner, Jefferies

01/29/15 12/29/14 Shake Shack Inc. SHAK IPO 120.8JP Morgan, Morgan Stanley, Barclays, Goldman Sachs,

Jefferies

01/28/15 01/26/15 Post Holdings Inc POST Follow-On 355.1Barclays, Credit Suisse, Merrill Lynch, Pierce, Fenner,

Goldman Sachs, Nomura Secs Intl

01/22/15 01/12/15 The Michaels Companies Inc MIK Follow-On 508.5JP Morgan, Goldman Sachs, Barclays, Deutsche Bank,

Merrill Lynch, Credit Suisse, Morgan Stanley, Wells Fargo

12/11/14 12/10/14 Mattress Firm Holding Corp. MFRM Follow-On 134.4 Barclays

12/10/14 12/10/14 Bright Horizons Family BFAM Follow-On 360.0 Barclays

12/10/14 12/10/14 Nielsen NV NLSN Follow-On 860.0 Citigroup Global Markets Inc

11/19/14 11/19/14 Kingold Jewelry Inc KGJI - 10.0 Not Applicable

11/06/14 11/06/14 Freshpet Inc FRPT IPO 179.7 Goldman Sachs, Credit Suisse

10/29/14 10/29/14 Boot Barn Holdings Inc BOOT IPO 92.0 JP Morgan, Piper Jaffray, Jefferies LLC

10/07/14 10/07/14 Burlington Stores Inc BURL Follow-On 306.0 JP Morgan


PAGE |


12.2x

11.1x11.2x

11.3x

12.8x

13.3x

11.2x

13.2x

11.1x

12.4x

12.9x

12.1x 12.1x

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11.9x

14.2x

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Median LTM Trading Multiples

Consumer Products Retail

$22

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$40 $38

$27 $28

0

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$0

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Announced Consumer Transactions

Aggregate Transaction Value # of Deals

CONSUMER AND RETAIL


M&A OVERVIEW

CONSUMER AND RETAIL M&A TRENDS

TRADING MULTIPLES AND ANNOUNCED PRIVATE EQUITY M&A ACTIVITY

ANNOUNCED CONSUMER AND RETAIL M&A

Note: Transactions based on publicly available information

4

4763 66

98

127

77

57

77

43

66

35 39

67

18

1420

23

16

13

14

25

34

22

18 14

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4Q111Q122Q123Q124Q121Q132Q133Q134Q131Q142Q143Q144Q14

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Quarterly Consumer M&A Activity

Strategic Buyer PEG Acquirer

10.3x

8.9x 8.4x

10.7x 10.0x 9.8x

10.8x

0.00x

0.20x

0.40x

0.60x

0.80x

1.00x

1.20x

1.40x

0.0x

4.0x

8.0x

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2008 2009 2010 2011 2012 2013 2014

EV

/ LTM S

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s Mu

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EV

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DA

Mu

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EBITDA Mult Rev Mult

73

97

111

72

3137

53

73

86

5954

59

71

48

28

5953

76

57

69

0

20

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2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Nu

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Consumer Private Equity Investments and Exits

Number of Investments Number of Exits

Announced Target Buyer

2/16/2015 Enjoy Life Foods, LLC Mondelez International, Inc.

2/12/2015 King Koil, Inc. Kaiserkorp Sdn.Bhd.

2/12/2015 Orbitz Worldwide, Inc. Expedia Inc.

2/11/2015 Water Watch Irrigation Smith Brothers Lawn Care LLC

2/6/2015 Oregon Rug & Mattress Company Sound Sleep Products, Inc.

2/4/2015 Office Depot, Inc. Staples, Inc.

2/4/2015 Launchpad Toys, Inc. Google Inc.

2/3/2015 MD Essentials Inc. SCS Direct Inc.

2/3/2015 L'Amour Des Pieds Remac, L.P.

2/3/2015 Bluemercury, Inc. Macy's, Inc.

Last 10 Deals Announced

Aggregate Number Transaction Multiples

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

$36.4 109 0.63x 10.9x

LTM Deal Statistics


PAGE |


0

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4Q08 2Q09 4Q09 2Q10 4Q10 2Q11 4Q11 2Q12 4Q12 2Q13 4Q13 2Q14 4Q14

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Quarterly Retail Loan Volume

Institutional Pro Rata

CONSUMER AND RETAIL


DEBT MARKET OVERVIEW

RECENT CONSUMER AND RETAIL DEBT OFFERINGS

KEY RETAIL CREDIT STATISTICS

5

L + 0

L + 100

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2006 2007 2008 2009 2010 2011 2012 2013 2014

Ave

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Average Spread on Retail Loans

Revolving Credit / Term Loan A Weighted-Average Institutional

L + 0

L + 200

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4Q04 4Q05 4Q06 4Q07 4Q08 4Q09 4Q10 4Q11 4Q12 4Q13 4Q14

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Average Secondary Spread

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Debt/EBITDA Senior

Debt/EBITDA

EBITDA/Cash

Interest

EBITDA -

Capex/Cash

Interest

EB

ITD

A M

ult

iple

Credit Statistics

2009 2010 2011 2012 2013 2014

Date Effective Borrower Name Description Deal Amount Type Rating Spread Arranger(s) Borrower Sponsor

02/09/15 Post Holdings Cereal breakfast foods $700,000,000 Term Loan N/A / B2 N/A N/A N/A

02/06/15 Dollar Tree Stores Department stores $1,000,000,000 Term Loan A N/A / Ba3 225 JP Morgan N/A

02/06/15 Dollar Tree Stores Department stores $1,250,000,000 Rev olv er/Line >= 1 Yr. N/A / Ba3 225 JP Morgan N/A

02/06/15 Dollar Tree Stores Department stores $3,950,000,000 Term Loan B N/A / Ba3 350 JP Morgan N/A

02/06/15 Nellson Nutraceutical Candy & confectionery products $240,000,000 Term Loan N/A / B2 450 BMO Harris, GE, Madison, Royal Bank of Canada Kohlberg & Co

02/06/15 Nellson Nutraceutical Candy & confectionery products $65,000,000 Rev olv er/Line >= 1 Yr. N/A / B2 N/A BMO Harris, GE, Madison, Royal Bank of Canada Kohlberg & Co

02/04/15 Paris Presents Inc Toilet preparations $15,000,000 Rev olv er/Line >= 1 Yr. N/A / NR 450 BNP Paribas SA Wasserstein & Co

02/04/15 Paris Presents Inc Toilet preparations $92,000,000 Term Loan B N/A / NR 450 BNP Paribas SA Wasserstein & Co

02/04/15 Paris Presents Inc Toilet preparations $30,000,000 Term Loan N/A / NR 825 BNP Paribas SA Wasserstein & Co

02/03/15 Petsmart Inc Miscellaneous retail stores $1,900,000,000 Bridge Loan N/A / NR 700 Barclays, Citigroup, Deutsche Bank, Jefferies, others BC Partners Inc

02/03/15 Petsmart Inc Miscellaneous retail stores $750,000,000 Rev olv er/Line >= 1 Yr. N/A / NR N/A Barclays, Citigroup, Deutsche Bank, Jefferies, others BC Partners Inc

02/03/15 Petsmart Inc Miscellaneous retail stores $4,300,000,000 Term Loan N/A / NR N/A Barclays, Citigroup, Deutsche Bank, Jefferies, others BC Partners Inc

01/30/15 Albertson's Inc Grocery stores $1,625,000,000 Bridge Loan N/A / NR N/A BAML, Barclays, Citibank, Credit Suisse, others Cerberus Capital Management LP

01/30/15 Albertson's Inc Grocery stores $950,000,000 Term Loan B N/A / NR 400 BAML, Barclays, Citibank, Credit Suisse, others Cerberus Capital Management LP

01/30/15 Albertson's Inc Grocery stores $3,609,000,000 Term Loan B N/A / NR 450 BAML, Barclays, Citibank, Credit Suisse, others Cerberus Capital Management LP

01/30/15 Albertson's Inc Grocery stores $2,750,000,000 Rev olv er/Line >= 1 Yr. N/A / NR N/A Bank of America Merrill Lynch Cerberus Capital Management LP

01/30/15 Suzo-Happ Electronic parts and equipment € 20,000,000 Term Loan A N/A / NR N/A Barclays N/A

01/30/15 Suzo-Happ Electronic parts and equipment € 165,000,000 Term Loan B N/A / NR 525 Barclays N/A

01/29/15 Brandco 3 Ltd Men's and boys' suits and coats $80,000,000 Term Loan N/A / NR N/A CTBC Bank, Siemens, Ta Chong Bank, others N/A


PAGE |

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

($ in m illions, except per share data) Ticker 2/12/15 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 $83.79 95.1% $4,433 $586 $134 $4,885 $2,794 $401 9.2% 11.8% 41.2% 14.4% 27.5x 1.75x 12.2x 1.59x 10.6x

Cherokee Inc. CHKE 18.31 87.2% 154 27 5 176 34 18 19.7% 7.8% 100.0% 51.9% 17.8x 5.22x 10.0x 4.81x 9.3x

Coach, Inc. COH 36.26 67.0% 9,993 170 908 9,255 4,694 1,301 (7.3%) 3.0% 69.7% 27.7% 15.1x 1.97x 7.1x 2.19x 9.7x

Columbia Sportswear Company COLM 42.30 92.2% 2,948 18 186 2,780 1,957 230 18.4% 6.4% 45.3% 11.8% 25.8x 1.42x 12.1x 1.26x 11.1x

Crocs, Inc. CROX 10.80 64.2% 891 13 350 554 1,220 112 2.6% 7.7% 51.0% 9.2% NM 0.45x 4.9x 0.48x 5.6x

Deckers Outdoor Corp. DECK 85.35 85.5% 2,956 7 245 2,718 1,588 249 10.9% 14.8% 47.7% 15.7% 22.0x 1.71x 10.9x 1.43x 8.7x

Delta Apparel Inc. DLA 9.57 53.7% 75 130 1 205 453 12 (6.2%) (1.6%) 16.7% NM 0.46x NA

G-III Apparel Group, Ltd. GIII 94.76 91.8% 2,129 154 49 2,234 2,075 170 28.0% 19.8% 35.7% 8.2% 20.8x 1.08x 13.1x 0.97x 10.3x

DMG Mori Seiki Aktiengesellschaft GIL 28.95 91.1% 2,281 25 349 1,958 2,711 252 (4.5%) 5.4% 48.2% 9.3% 18.3x 0.72x 7.8x 0.72x 6.6x

Hanesbrands Inc. HBI 106.86 92.1% 10,674 2,292 216 12,750 5,088 808 13.2% 4.3% 36.3% 15.9% 32.5x 2.51x 15.8x 2.13x 13.1x

Iconix Brand Group, Inc. ICON 33.31 74.3% 1,598 1,402 130 2,870 454 276 10.1% 7.8% 100.0% 60.9% 12.6x 6.32x 10.4x 5.96x 11.4x

Journey Group plc JNY 1.95 76.6% 26 2 8 20 68 4 28.0% 4.9% 26.1% 6.3% 17.1x 0.30x 4.7x 0.33x 4.8x

Freedom Foods Group Limited FNP 2.61 92.8% 398 9 5 403 84 15 3.3% 20.0% 39.5% 17.6% 38.3x 4.79x NM 4.82x 23.1x

Nike, Inc. NKE 92.81 93.0% 80,182 1,287 4,717 76,752 29,759 4,583 13.2% 10.1% 45.5% 15.4% 27.9x 2.58x 16.7x 2.39x 14.9x

Oxford Industries Inc. OXM 54.22 65.5% 893 148 6 1,034 974 120 7.8% 10.7% 55.3% 12.3% 20.3x 1.06x 8.6x 0.98x 8.1x

Perry Ellis International Inc. PERY 26.18 97.0% 406 172 53 525 888 40 (6.9%) (2.5%) 34.1% 4.4% NM 0.59x 13.3x 0.56x 10.2x

PVH Corp. PVH 110.85 82.8% 9,140 3,758 365 12,532 8,225 1,200 5.8% 12.6% 52.6% 14.6% 27.2x 1.52x 10.4x 1.48x 10.1x

Ralph Lauren Corporation RL 169.46 90.4% 14,862 777 1,191 14,448 7,584 1,375 7.5% 5.8% 58.0% 18.1% 20.7x 1.91x 10.5x 1.79x 10.1x

Quiksilver Inc. ZQK 1.95 23.6% 334 829 47 1,116 1,570 (12) (13.3%) (6.4%) 48.6% NM NM 0.71x NM 0.74x 15.9x

Rocky Brands, Inc. RCKY 13.25 81.2% 100 51 4 146 269 19 11.3% 3.5% 33.7% 7.0% 14.1x 0.54x 7.8x 0.50x 6.6x

Skechers USA Inc. SKX 57.12 88.3% 2,965 120 441 2,643 2,268 242 26.1% 8.4% 45.2% 10.7% 23.0x 1.17x 10.9x 0.99x 8.7x

Steven Madden, Ltd. SHOO 32.16 85.3% 2,066 0 187 1,879 1,335 203 3.8% 16.3% 36.0% 15.2% 16.9x 1.41x 9.3x NA 10.0x

Summer Infant, Inc. SUMR 3.43 72.0% 62 60 1 121 199 7 (10.3%) (5.2%) 32.6% 3.5% NM 0.61x 17.1x 0.57x 7.5x

Tumi Holdings, Inc. TUMI 22.46 90.9% 1,524 0 25 1,499 511 105 14.3% 17.8% 58.0% 20.6% 28.7x 2.94x 14.2x 2.55x NA

Under Armour, Inc. UA 64.65 88.1% 13,816 192 249 13,758 2,872 373 33.3% 28.0% 49.3% 13.0% NM 4.79x 36.9x 3.87x 27.8x

V.F. Corporation VFC 71.93 93.5% 31,065 2,084 497 32,652 11,993 2,048 7.4% 11.4% 48.6% 17.1% 25.4x 2.72x 15.9x 2.52x 14.6x

Vera Bradley, Inc. VRA 18.53 61.8% 747 0 90 657 518 85 (3.6%) 5.9% 53.1% 16.3% 18.0x 1.27x 7.8x 1.18x 7.2x

Weyco Group Inc. WEYS 26.62 85.0% 287 24 16 295 304 32 1.2% 5.5% 38.6% 10.6% 17.0x 0.97x 9.2x 0.91x NA

Wolverine World Wide Inc. WWW 27.31 88.8% 2,774 1,097 232 3,639 2,693 312 3.5% 24.7% 39.7% 11.6% 23.6x 1.35x 11.7x 1.28x 11.0x

Mean 81.1% $6,889 $532 $369 $7,052 $3,282 $503 7.8% 8.9% 47.8% 16.3% 22.2x 1.94x 11.9x 1.77x 11.0x

Median 87.2% $2,066 $130 $134 $1,958 $1,570 $203 7.5% 7.8% 45.5% 14.4% 20.8x 1.41x 10.7x 1.27x 10.1x

EV / LTM EV / 2015ERevenue Growth LTM MarginsLast Twelve Months (LTM)

CONSUMER AND RETAIL INDUSTRY UPDATE

6

CONSUMER AND RETAIL


PAGE |



Home & Office Furniture & Furnishings

Herman Miller Inc. MLHR $28.21 86.2% $1,678 $327 $71 $1,934 $2,019 $226 10.8% 4.7% 36.7% 11.2% 19.0x 0.96x NM 0.85x 7.7x

HNI Corp. HNI 48.83 92.3% 2,168 167 35 2,300 2,117 169 3.5% 5.6% 35.4% 8.0% 29.6x 1.09x 13.6x 0.97x 10.3x

Hooker Furniture Corp. HOFT 17.30 96.8% 186 0 33 153 237 18 2.9% 2.0% 25.0% 7.7% 18.1x 0.64x 8.4x 0.59x 7.0x

Kimball International, Inc. KBAL 8.88 44.2% 345 0 113 232 1,316 74 6.8% 3.7% 20.3% 5.6% 11.5x 0.18x 3.1x 0.41x NA

Knoll, Inc. KNL 19.46 88.9% 947 262 16 1,193 994 92 12.8% 1.9% 34.5% 9.3% 26.8x 1.20x 12.9x 1.08x 9.3x

Leggett & Platt, Incorporated LEG 43.83 95.7% 6,032 1,001 243 6,790 3,957 444 14.1% 3.4% 19.9% 11.2% 33.3x 1.72x 15.3x 1.70x 12.2x

Libbey Inc. LBY 32.83 99.2% 711 455 24 1,142 846 123 3.1% 0.7% 23.5% 14.6% NM 1.35x 9.3x 1.30x 8.1x

Steelcase Inc. SCS 16.86 89.5% 2,048 285 216 2,117 3,089 254 5.4% 4.8% 31.2% 8.2% 25.1x 0.69x 8.3x 0.66x 7.4x

Tempur Sealy International Inc. TPX 52.67 85.0% 3,208 1,648 82 4,775 2,922 353 37.4% 29.6% 38.4% 12.1% 37.8x 1.63x 13.5x 1.53x 10.3x

The Dixie Group, Inc. DXYN 8.23 44.7% 130 125 0 254 399 22 24.4% 13.9% 24.9% 5.5% 22.9x 0.64x 11.6x 0.56x 7.9x

Mean 82.3% $1,745 $427 $83 $2,089 $1,790 $178 12.1% 7.0% 29.0% 9.3% 24.9x 1.01x 10.7x 0.96x 8.9x

Median 89.2% $1,313 $273 $53 $1,563 $1,667 $146 8.8% 4.2% 28.1% 8.7% 25.1x 1.02x 11.6x 0.91x 8.1x

Household Products

Helen of Troy Limited HELE $74.00 97.2% $2,104 $556 $21 $2,638 $1,380 $199 3.7% 7.1% 40.6% 14.4% 21.9x 1.91x 13.3x 1.79x 12.3x

iRobot Corporation IRBT 31.10 64.3% 919 0 187 733 524 57 13.4% 5.3% 45.9% 10.9% 29.9x 1.40x 12.8x 1.18x 8.5x

Jarden Corp. JAH 45.07 92.5% 8,667 5,096 706 13,056 8,065 930 15.9% 6.8% 31.2% 11.5% 43.5x 1.62x 14.0x 1.56x 11.0x

Newell Rubbermaid Inc. NWL 37.78 97.5% 10,242 2,210 133 12,320 5,752 899 2.9% (0.3%) 38.7% 15.6% 23.8x 2.14x 13.7x 2.08x 12.3x

Prestige Brands Holdings, Inc. PBH 35.00 91.7% 1,826 1,692 22 3,497 619 202 (0.8%) 16.9% 56.3% 32.7% 35.5x 5.65x 17.3x 4.43x 12.2x

Snap-on Incorporated SNA 133.22 95.0% 7,741 919 125 8,536 3,421 722 7.3% 5.4% 49.6% 21.1% 19.9x 2.50x 11.8x 2.51x 10.8x

Stanley Black & Decker, Inc. SWK 91.73 93.9% 14,370 4,347 508 18,208 11,337 1,679 5.4% 4.5% 36.2% 14.8% 21.6x 1.61x 10.8x 1.58x 10.3x

The Clorox Company CLX 107.39 99.5% 13,896 2,240 355 15,781 5,600 1,129 (0.5%) 2.0% 42.0% 20.2% 24.8x 2.82x 14.0x 2.83x 13.4x

Tupperware Brands Corporation TUP 60.98 67.1% 3,072 931 89 3,913 2,643 444 (0.8%) 1.0% 66.0% 16.8% 14.1x 1.48x 8.8x 1.56x 8.9x

Whirlpool Corp. WHR 195.48 95.3% 15,222 3,149 987 17,384 18,959 1,968 2.6% 0.3% 17.3% 10.4% 21.1x 0.92x 8.8x 0.74x NA

Mean 89.4% $7,806 $2,114 $313 $9,607 $5,830 $823 4.9% 4.9% 42.4% 16.8% 25.6x 2.20x 12.5x 2.03x 11.1x

Median 94.4% $8,204 $1,951 $160 $10,428 $4,510 $811 3.3% 4.9% 41.3% 15.2% 22.8x 1.77x 13.0x 1.68x 11.0x

Lawn, Garden, and Pet

Central Garden & Pet Company CENT $9.03 90.2% $495 $450 $89 $857 $1,604 $102 (3.0%) (0.5%) 28.3% 6.4% NM 0.53x 8.4x 0.53x 7.9x

DuluxGroup Limited ASX:DLX 4.66 94.4% 1,776 333 31 2,078 1,412 188 1.6% 13.3% 47.3% 13.3% 21.0x 1.47x 11.1x 1.50x 10.8x

Echo Trading Co., Ltd. TSE:7427 5.58 87.3% 34 30 27 37 635 3 (13.3%) (13.1%) 12.7% 0.4% NM 0.06x 14.2x NA NA

Maabarot Products Ltd. TASE:MABR 9.77 76.3% 95 8 37 66 99 8 (2.3%) 4.3% 40.3% 8.1% 15.0x 0.67x 8.3x NA NA

Oil-Dri Corp. of America ODC 30.14 82.5% 213 19 10 222 269 23 6.4% 5.3% 21.2% 8.4% 28.5x 0.83x 9.8x 0.79x NA

Spectrum Brands Holdings, Inc. SPB 93.22 94.3% 4,910 2,991 195 7,706 4,429 664 8.4% 11.6% 35.5% 15.0% 24.3x 1.74x 11.6x 1.66x 9.9x

The Scotts Miracle-Gro Company SMG 61.04 95.4% 3,721 784 89 4,416 2,841 417 2.4% 0.5% 36.3% 14.7% 23.2x 1.55x 10.6x 1.49x 9.7x

The Toro Company TTC 61.48 91.3% 3,428 375 315 3,488 2,173 317 6.4% 4.9% 35.6% 14.6% 20.4x 1.61x 11.0x 1.47x 9.7x

Uni-Charm Corp. TSE:8113 25.11 97.1% 15,083 249 1,053 14,280 6,104 977 9.4% 6.1% 44.2% 16.0% 42.3x 2.34x 14.6x 2.13x 13.7x

Mean 89.9% $3,306 $582 $205 $3,683 $2,174 $300 1.8% 3.6% 33.5% 10.8% 25.0x 1.20x 11.1x 1.37x 10.3x

Median 91.3% $1,776 $333 $89 $2,078 $1,604 $188 2.4% 4.9% 35.6% 13.3% 23.2x 1.47x 11.0x 1.49x 9.8x

Last Twelve Months (LTM) LTM Margins EV / LTM EV / 2015ERevenue Growth


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Recreational & Leisure Products

Arctic Cat Inc. ACAT $35.06 61.9% $454 $0 $24 $429 $777 $61 12.6% 15.4% 18.8% 7.8% 16.4x 0.55x 7.1x 0.57x 7.2x

Black Diamond, Inc. BDE 7.12 50.1% 233 26 43 215 223 10 36.9% 16.0% 39.7% 4.5% NM 0.97x NM 1.03x 31.1x

Brunswick Corporation BC 51.29 92.8% 4,768 460 599 4,628 4,015 452 11.4% 2.9% 26.6% 11.3% 6.3x 1.15x 10.2x 1.14x 9.1x

Callaway Golf Co. ELY 7.84 75.7% 608 109 33 684 880 54 5.3% (1.4%) 40.3% 6.1% NM 0.78x NM 0.78x 22.1x

Columbia Sportswear Company COLM 42.30 92.2% 2,948 18 186 2,780 1,957 230 18.4% 6.4% 45.3% 11.8% 25.8x 1.42x 12.1x 1.26x 11.1x

Escalade Inc. ESCA 15.03 87.4% 210 21 3 227 166 18 22.5% 8.9% 29.9% 10.6% 23.0x 1.37x 12.8x 1.55x 10.4x

Harley-Davidson, Inc. HOG 62.64 84.5% 13,422 5,444 688 18,178 6,219 1,481 5.8% 6.1% 39.4% 23.8% 16.5x 2.92x 12.3x 3.06x 11.3x

Hasbro Inc. HAS 51.96 87.4% 6,530 1,638 476 7,692 4,260 812 4.3% 0.2% 51.3% 19.1% 18.2x 1.81x 9.5x 1.76x 8.9x

JAKKS Pacific, Inc. JAKK 6.36 67.1% 148 254 89 313 694 37 10.4% (1.9%) 28.1% 5.3% NM 0.45x 8.5x 0.41x 4.9x

Johnson Outdoors Inc. JOUT 28.93 91.1% 289 8 71 226 425 34 (0.2%) 1.5% 39.6% 7.9% 32.1x 0.53x 6.7x 0.52x NA

LeapFrog Enterprises Inc. LF 3.96 49.7% 278 0 232 46 528 34 (10.9%) 7.1% 38.6% 6.4% 3.9x 0.09x 1.4x 0.10x 1.6x

Life Time Fitness, Inc. LTM 54.25 94.2% 2,122 1,175 10 3,288 1,266 356 6.4% 8.7% 44.9% 28.1% 18.4x 2.60x 9.2x 2.40x 8.4x

Marine Products Corp. MPX 7.60 78.4% 290 0 17 273 173 13 6.6% 20.4% 19.0% 7.5% 35.8x 1.57x NM 1.37x 15.9x

Mattel, Inc. MAT 27.40 61.6% 9,284 2,153 262 11,174 6,143 1,169 (7.3%) (0.5%) 51.2% 19.0% 13.4x 1.82x 9.6x 1.79x 9.5x

Nautilus Inc. NLS 14.54 89.8% 455 0 42 413 257 30 24.1% 13.8% 50.2% 11.8% 26.3x 1.61x 13.7x 1.40x 10.7x

Polaris Industries Inc. PII 137.55 86.3% 9,133 228 169 9,192 4,343 793 19.4% 20.0% 30.5% 18.2% 22.6x 2.12x 11.6x 1.89x 10.1x

Pool Corp. POOL 62.94 96.3% 2,733 395 15 3,113 2,211 198 8.1% 7.8% 28.6% 9.0% 27.1x 1.41x 15.7x 1.30x 13.7x

Quiksilver Inc. ZQK 1.95 23.6% 334 829 47 1,116 1,570 (12) (13.3%) (6.4%) 48.6% NM NM 0.71x NM 0.74x 15.9x

Smith & Wesson Holding Corporation SWHC 9.90 57.3% 532 175 64 642 557 133 (11.0%) 15.1% 38.2% 23.9% 8.8x 1.15x 4.8x 1.18x 6.3x

Sturm, Ruger & Co. Inc. RGR 36.68 42.7% 686 0 28 658 604 156 (6.8%) 26.3% 33.0% 25.8% 9.3x 1.09x 4.2x 1.99x 6.2x

Mean 73.5% $2,773 $647 $155 $3,264 $1,863 $303 7.1% 8.3% 37.1% 13.6% 19.0x 1.31x 9.3x 1.31x 11.3x

Median 81.5% $570 $142 $56 $671 $828 $97 6.5% 7.4% 39.0% 11.3% 18.3x 1.26x 9.5x 1.28x 10.1x


All for One Steeb AG XTRA:A1OS $39.66 90.8% $198 $49 $42 $204 $275 $26 8.6% 31.3% 22.8% 9.3% 20.8x 0.74x 8.0x 0.74x 7.9x

Avon Products Inc. AVP 7.61 45.2% 3,308 3,251 1,009 5,550 11,427 1,518 11.6% 0.0% 61.8% 13.3% NM 0.49x 3.7x 0.67x 6.6x

Elizabeth Arden, Inc. RDEN 17.78 47.2% 530 503 51 982 1,091 27 (18.8%) (3.0%) 43.9% 2.4% NM 0.90x 37.0x 0.90x 12.3x

The Estée Lauder Companies Inc. EL 73.71 94.5% 27,981 1,333 1,395 27,919 10,925 2,121 6.0% 5.9% 80.3% 19.4% 25.6x 2.56x 13.2x 2.52x 12.6x

Herbalife Ltd. HLF 30.77 40.3% 2,825 1,828 678 3,974 5,094 649 10.4% 15.5% 50.3% 12.7% 9.1x 0.78x 6.1x 0.81x 4.8x

Kimberly-Clark Corporation KMB 116.23 97.8% 43,290 6,984 1,431 48,843 21,368 4,448 1.0% 1.0% 34.7% 20.8% 20.6x 2.29x 11.0x 2.49x 11.8x

Medifast Inc. MED 31.29 86.8% 377 1 56 322 319 44 (12.2%) 3.0% 74.3% 13.7% 19.3x 1.01x 7.4x 1.04x 7.8x

Nu Skin Enterprises Inc. NUS 42.36 43.5% 2,511 189 207 2,493 3,016 499 12.9% 22.3% 82.2% 16.6% 9.5x 0.83x 5.0x 1.01x 6.0x

The Procter & Gamble Company PG 89.86 95.7% 242,812 33,232 10,846 265,198 83,024 19,175 0.4% 0.2% 49.5% 23.1% 24.7x 3.19x 13.8x 3.26x 13.7x

Revlon, Inc. REV 32.32 90.3% 1,692 1,873 178 3,387 1,931 305 41.4% 11.6% 65.2% 15.8% NM 1.75x 11.1x 1.76x 9.8x

Sally Beauty Holdings Inc. SBH 29.00 91.1% 4,579 1,812 107 6,284 3,753 593 3.6% 4.7% 49.6% 15.8% 19.2x 1.67x 10.6x 1.60x 10.0x

ULTA Salon, Cosmetics & Fragrance, Inc. ULTA 127.14 94.5% 8,183 0 395 7,788 3,062 512 19.5% 22.5% 35.3% 16.7% 34.5x 2.54x 15.2x 2.19x 13.1x

USANA Health Sciences Inc. USNA 101.28 85.2% 1,247 10 88 1,169 749 121 6.9% 9.3% 81.7% 16.2% 19.2x 1.56x 9.6x 1.41x 8.4x

Mean 77.2% $26,118 $3,928 $1,268 $28,778 $11,233 $2,310 7.0% 9.6% 56.3% 15.1% 20.2x 1.56x 11.7x 1.57x 9.6x

Median 90.3% $2,825 $1,333 $207 $3,974 $3,062 $512 6.9% 5.9% 50.3% 15.8% 19.9x 1.56x 10.6x 1.41x 9.8x

EV / 2015ELast Twelve Months (LTM) Revenue Growth LTM Margins EV / LTM


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Retail

Apparel & Footwear Retail

Abercrombie & Fitch Co. ANF $26.91 59.1% $1,866 $349 $321 $1,895 $3,924 $420 (8.5%) (0.5%) 61.1% 10.7% 29.4x 0.48x 4.5x 0.51x NA

Aéropostale, Inc. ARO 2.96 37.4% 234 136 109 261 1,915 (112) (13.7%) (6.9%) 27.2% NM NM 0.14x NM 0.16x NM

American Apparel, Inc. APP 0.83 63.8% 145 253 9 388 624 9 (2.1%) 5.4% 50.3% 1.5% NM 0.62x 42.2x 0.61x 7.6x

American Eagle Outfitters, Inc. AEO 13.79 91.0% 2,682 0 280 2,402 3,253 321 (3.8%) 2.6% 34.2% 9.9% NM 0.74x 7.5x 0.73x NA

ANN INC. ANN 34.43 79.0% 1,574 0 110 1,464 2,509 245 1.3% 5.1% 51.9% 9.8% 22.9x 0.58x 6.0x 0.57x 5.7x

Ascena Retail Group Inc. ASNA 10.86 53.6% 1,766 236 169 1,833 4,788 444 0.3% 17.3% 55.6% 9.3% 13.3x 0.38x 4.1x 0.37x 4.4x

Bebe Stores, Inc. BEBE 3.01 42.8% 240 0 88 152 418 (34) (8.2%) (6.1%) 31.4% NM NM 0.36x NM 0.36x NM

Brown Shoe Co. Inc. BWS 30.01 89.1% 1,313 213 39 1,487 2,556 166 1.0% (0.0%) 40.5% 6.5% 18.7x 0.58x 8.9x 0.56x 7.6x

The Buckle, Inc. BKE 48.76 86.9% 2,359 0 208 2,151 1,139 289 (1.0%) 3.4% 49.9% 25.4% 14.5x 1.89x 7.4x 1.84x 7.3x

Body Central Corp. BODY 0.13 0.3% 0 20 5 16 226 (41) (24.3%) (7.2%) 35.7% NM NM 0.07x NM NA NA

Cabela's Incorporated CAB 53.86 74.3% 3,829 3,713 61 7,481 3,562 453 0.9% 8.9% 43.8% 12.7% 19.2x 2.10x 16.5x 1.91x 15.0x

Destination XL Group, Inc. DXLG 5.09 79.5% 258 74 6 326 401 7 1.5% 0.4% 45.2% 1.7% NM 0.81x 48.1x 0.74x 15.7x

The Cato Corporation CATO 43.35 97.2% 1,210 0 241 969 964 107 2.9% 1.1% 38.8% 11.1% 22.5x 1.00x 9.1x 0.95x NA

Chico's FAS Inc. CHS 16.60 91.2% 2,539 0 191 2,348 2,629 281 0.0% 7.7% 53.6% 10.7% NM 0.89x 8.4x 0.85x 7.6x

Christopher & Banks Corporation CBK 5.35 47.7% 198 0 39 159 426 27 (4.8%) (1.7%) 36.0% 6.4% 13.9x 0.37x 5.9x 0.37x 5.6x

Citi Trends, Inc. CTRN 24.27 90.6% 378 0 80 298 647 30 1.0% 0.6% 37.5% 4.7% NM 0.46x 9.8x 0.43x 7.6x

Destination Maternity Corporation DEST 15.16 50.8% 209 0 13 197 517 34 (4.3%) (1.8%) 52.1% 6.6% 20.7x 0.38x 5.7x 0.37x NA

DSW Inc. DSW 35.87 87.3% 3,165 0 225 2,940 2,428 311 1.6% 7.1% 38.0% 12.8% 22.4x 1.21x 9.4x 1.13x 9.0x

Express Inc. EXPR 14.53 76.5% 1,225 273 218 1,280 2,156 226 (3.8%) 2.2% 40.7% 10.5% 16.9x 0.59x 5.7x 0.58x 6.0x

Finish Line Inc. FINL 23.70 74.3% 1,106 0 85 1,021 1,788 166 12.2% 11.3% 39.0% 9.3% 13.9x 0.57x 6.2x 0.54x 5.9x

Foot Locker, Inc. FL 52.13 88.1% 7,407 135 916 6,626 7,031 915 9.4% 8.4% 43.5% 13.0% 15.8x 0.94x 7.2x 0.90x 6.6x

The Gap, Inc. GPS 40.31 86.0% 17,074 1,380 954 17,500 16,302 2,619 0.0% 3.7% 46.0% 16.1% 14.8x 1.07x 6.7x 1.04x 6.7x

Genesco Inc. GCO 72.90 81.4% 1,755 115 38 1,832 2,760 235 5.0% 9.0% 49.3% 8.5% 19.9x 0.66x 7.8x 0.61x 6.6x

Guess? Inc. GES 19.95 63.8% 1,700 9 375 1,334 2,489 264 (4.9%) (2.3%) 36.5% 10.6% 15.8x 0.54x 5.1x 0.56x 5.9x

L Brands, Inc. LTD 80.47 92.1% 0 4,982 745 4,237 11,203 2,294 3.6% 2.8% 46.6% 20.5% NA 0.38x 1.8x 0.36x 1.7x

Lululemon Athletica Inc. LULU 62.51 97.3% 8,876 0 634 8,242 1,716 427 10.3% 25.2% 51.5% 24.9% 38.8x 4.80x 19.3x 4.17x 18.3x

The Men's Wearhouse, Inc. MW 43.29 73.3% 2,082 1,690 65 3,707 2,885 303 14.4% 6.9% 43.3% 10.5% NM 1.29x 12.2x 1.02x 7.8x

New York & Company Inc. NWY 2.35 46.1% 149 15 56 109 927 30 (3.4%) (2.1%) 38.1% 3.3% NM 0.12x 3.6x 0.12x 4.1x

Pacific Sunwear of California Inc. PSUN 2.79 84.5% 193 88 12 269 814 2 3.2% 1.9% 42.0% 0.3% NM 0.33x NM 0.33x 20.0x

Ross Stores Inc. ROST 91.14 93.2% 19,001 398 572 18,828 10,750 1,664 4.9% 8.8% 32.2% 15.5% 21.8x 1.75x 11.3x 1.64x 10.4x

Shoe Carnival Inc. SCVL 23.79 86.7% 483 0 29 454 913 59 2.5% 6.3% 29.1% 6.5% 21.2x 0.50x 7.7x 0.46x 6.6x

Stage Stores Inc. SSI 22.02 86.7% 696 128 21 804 1,630 102 (0.9%) 3.1% 26.4% 6.3% 46.6x 0.49x 7.9x 0.48x 5.8x

Stein Mart Inc. SMRT 14.86 96.2% 668 0 65 603 1,291 66 1.6% 2.4% 29.8% 5.1% 31.2x 0.47x 9.2x 0.44x 6.6x

The Children's Place, Inc. PLCE 62.73 97.8% 1,330 19 210 1,139 1,750 151 (3.2%) 0.7% 35.5% 8.6% 25.0x 0.65x 7.5x 0.64x 6.8x

The TJX Companies, Inc. TJX 65.28 93.5% 44,971 1,624 2,431 44,164 28,583 4,091 4.6% 7.8% 28.4% 14.3% 21.9x 1.55x 10.8x 1.45x 9.9x

Urban Outfitters Inc. URBN 32.99 81.1% 4,343 0 243 4,100 3,218 498 5.9% 10.1% 36.0% 15.5% 20.0x 1.27x 8.2x 1.16x 7.6x

Zumiez, Inc. ZUMZ 38.28 91.6% 1,119 3 109 1,013 780 103 8.0% 13.9% 35.5% 13.3% 21.9x 1.30x 9.8x 1.17x 9.0x

Mean 76.0% $3,734 $428 $269 $3,893 $3,565 $464 0.2% 4.2% 40.9% 10.4% 21.7x 0.87x 10.4x 0.84x 8.2x

Median 84.5% $1,313 $19 $109 $1,334 $1,915 $226 1.0% 3.1% 39.0% 10.2% 20.7x 0.59x 7.8x 0.59x 7.1x

Last Twelve Months (LTM) Revenue Growth LTM Margins EV / LTM EV / 2015E


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Catalog & Specialty Distribution

HSN, Inc. HSNI $74.04 93.4% $3,877 $231 $93 $4,016 $3,490 $303 3.7% 4.5% 35.6% 8.7% 24.7x 1.15x 13.2x 1.10x 11.2x

Insight Enterprises Inc. NSIT 23.90 74.8% 979 55 127 907 5,265 183 3.3% (0.0%) 13.5% 3.5% 13.3x 0.17x 5.0x 0.16x 4.5x

Nutrisystem, Inc. NTRI 18.54 92.8% 534 0 39 495 394 30 12.3% (2.3%) 49.9% 7.7% 35.8x 1.26x 16.3x 1.15x 10.8x

PC Connection, Inc. PCCC 23.08 78.2% 607 0 66 541 2,411 76 9.6% 4.6% 13.1% 3.1% 15.4x 0.22x 7.1x 0.22x 6.9x

Systemax Inc. SYX 13.75 72.9% 506 4 134 376 3,404 21 (0.3%) (2.8%) 14.7% 0.6% NM 0.11x 18.2x 0.10x NA

EVINE Live Inc. EVLV 6.49 92.7% 366 43 24 385 667 14 6.7% 4.2% 36.2% 2.2% NM 0.58x 26.8x 0.53x 11.8x

Mean 84.1% $1,145 $55 $80 $1,120 $2,605 $105 5.9% 1.4% 27.2% 4.3% 22.3x 0.58x 14.4x 0.54x 9.0x

Median 85.5% $570 $23 $80 $518 $2,908 $53 5.2% 2.1% 25.2% 3.3% 20.1x 0.40x 14.7x 0.37x 10.8x

Department Chains

Bon-Ton Stores Inc. BONT $5.78 46.5% $118 $1,029 $8 $1,139 $2,794 $147 (4.8%) (2.1%) 37.6% 5.3% NM 0.41x 7.7x 0.40x 7.0x

Dillard's Inc. DDS 114.43 90.2% 4,712 885 92 5,505 6,679 795 (1.3%) 1.6% 36.9% 11.9% 16.1x 0.82x 6.9x 0.83x 6.7x

J. C. Penney Company, Inc. JCP 7.72 68.3% 2,353 5,427 684 7,096 12,146 30 1.5% (11.5%) 33.1% 0.2% NM 0.58x 236.5x 0.57x 13.6x

Kohl's Corp. KSS 58.55 92.1% 11,828 4,788 631 15,985 18,785 2,533 (2.5%) (0.1%) 36.5% 13.5% 14.9x 0.85x 6.3x 0.84x 6.2x

Macy's, Inc. M 62.34 91.3% 21,525 7,219 1,048 27,696 27,943 3,896 (0.5%) 2.5% 40.1% 13.9% 15.3x 0.99x 7.1x 0.97x 7.1x

Nordstrom Inc. JWN 75.78 94.1% 14,417 3,127 433 17,111 13,174 1,823 5.2% 7.8% 37.0% 13.8% 20.4x 1.30x 9.4x 1.23x 8.9x

Shanks Group plc SKS 1.56 84.8% 621 702 146 1,178 1,002 121 (1.7%) (5.8%) 16.0% 12.0% NM 1.18x 9.8x 1.29x 9.9x

Sears Holdings Corporation SHLD 33.98 65.3% 3,619 4,940 326 8,233 33,692 (944) (11.0%) (6.8%) 23.0% NM NM 0.24x NM 0.29x NM

Stage Stores Inc. SSI 22.02 86.7% 696 128 21 804 1,630 102 (0.9%) 3.1% 26.4% 6.3% 46.6x 0.49x 7.9x 0.48x 5.8x

Mean 79.9% $6,654 $3,138 $376 $9,416 $13,094 $945 (1.8%) (1.3%) 31.9% 9.6% 22.7x 0.76x 36.5x 0.77x 8.1x

Median 86.7% $3,619 $3,127 $326 $7,096 $12,146 $147 (1.3%) (0.1%) 36.5% 12.0% 16.1x 0.82x 7.8x 0.83x 7.0x

Discount Stores & Mass Merchants

Big Lots Inc. BIG 44.73 86.4% 2,391 283 62 2,612 5,333 282 1.1% 1.8% 38.7% 5.3% 23.3x 0.49x 9.3x 0.50x 7.2x

Costco Wholesale Corporation COST 139.31 94.9% 61,367 5,034 7,619 58,782 114,489 4,374 7.5% 7.8% 12.6% 3.8% 29.0x 0.51x 13.4x 0.48x 12.4x

Dollar General Corporation DG 65.87 91.8% 19,987 2,769 216 22,540 18,464 2,082 7.2% 9.4% 30.7% 11.3% 20.2x 1.22x 10.8x 1.12x 9.8x

Dollar Tree, Inc. DLTR 66.41 92.8% 13,657 757 408 14,007 8,362 1,229 6.5% 9.3% 35.2% 14.7% 23.1x 1.68x 11.4x 1.53x 10.2x

Family Dollar Stores Inc. FDO 75.14 92.8% 8,600 754 213 9,141 10,546 754 0.7% 6.6% 33.6% 7.1% 35.2x 0.87x 12.1x 0.83x 11.6x

Gordmans Stores, Inc. GMAN 3.34 40.8% 65 51 12 104 639 12 1.5% 5.7% 41.3% 1.9% NM 0.16x 8.6x 0.16x 9.1x

PriceSmart Inc. PSMT 82.79 73.9% 2,501 114 121 2,494 2,568 172 8.3% 12.5% 16.2% 6.7% 27.4x 0.97x 14.5x 0.88x 12.6x

Target Corp. TGT 75.67 97.3% 48,199 14,332 780 61,751 73,703 5,720 (0.1%) 2.1% 28.8% 7.8% 31.2x 0.84x 10.8x 0.81x 9.1x

Tuesday Morning Corporation TUES 19.56 85.5% 856 0 9 847 883 15 4.0% 2.6% 35.2% 1.7% NM 0.96x NM 0.90x 22.8x

Wal-Mart Stores Inc. WMT 87.38 96.1% 281,642 55,830 6,718 330,754 483,792 35,696 2.0% 3.2% 24.8% 7.4% 18.2x 0.68x 9.3x 0.67x 8.8x

Mean 85.2% $43,926 $7,993 $1,616 $50,303 $71,878 $5,034 3.9% 6.1% 29.7% 6.8% 26.0x 0.84x 11.1x 0.79x 11.4x

Median 92.3% $11,129 $756 $215 $11,574 $9,454 $991 3.0% 6.2% 32.1% 6.9% 25.4x 0.85x 10.8x 0.82x 10.0x

EV / 2015ELast Twelve Months (LTM) Revenue Growth LTM Margins EV / LTM


10

CONSUMER AND RETAIL


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Furniture & Furnishings Retailers

Aaron's, Inc. AAN $29.19 79.5% $2,116 $557 $32 $2,641 $2,519 $225 12.5% 8.3% 51.3% 8.9% 28.0x 1.05x 11.8x 0.84x 8.3x

Bed Bath & Beyond Inc. BBBY 72.16 90.6% 13,393 1,500 1,179 13,714 11,748 1,786 0.4% 8.2% 39.1% 15.2% 15.0x 1.17x 7.7x 1.12x 7.6x

Ethan Allen Interiors Inc. ETH 30.81 95.1% 891 131 127 895 756 93 4.5% 2.6% 54.6% 12.2% 20.2x 1.18x 9.7x 1.12x 8.4x

Haverty Furniture Companies Inc. HVT 23.10 73.7% 525 37 79 483 752 69 2.6% 6.9% 53.8% 9.1% 19.4x 0.64x 7.0x 0.60x 6.3x

Kirkland's Inc. KIRK 24.01 97.0% 412 0 57 355 485 42 3.8% 4.8% 39.4% 8.6% 29.9x 0.73x 8.5x 0.66x 7.1x

La-Z-Boy Incorporated LZB 26.51 90.5% 1,372 0 136 1,237 1,392 122 5.0% 4.5% 34.9% 8.8% 23.4x 0.89x 10.1x 0.84x 8.8x

Lifetime Brands, Inc. LCUT 15.68 78.6% 215 162 5 371 561 37 13.8% 7.7% 37.0% 6.7% NM 0.66x 9.9x 0.61x 10.2x

Pier 1 Imports, Inc. PIR 16.08 77.7% 1,447 219 33 1,633 1,838 196 1.7% 7.4% 56.5% 10.7% 19.0x 0.89x 8.3x 0.84x 7.4x

Rent-A-Center, Inc. RCII 33.24 88.7% 1,758 975 62 2,672 3,146 268 1.7% 3.7% 69.0% 8.5% 21.3x 0.85x 10.0x 0.82x 8.4x

Select Comfort Corporation SCSS 27.26 94.0% 1,453 0 134 1,319 1,065 121 12.2% 14.9% 61.3% 11.3% 27.7x 1.24x 10.9x 1.08x 8.3x

The Sherwin-Williams Company SHW 270.59 98.2% 25,976 1,681 261 27,395 11,017 1,466 10.7% 8.6% 46.0% 13.3% 31.7x 2.49x 18.7x 2.31x 15.8x

Williams-Sonoma Inc. WSM 75.19 96.3% 6,924 92 108 6,908 4,623 645 6.8% 8.2% 38.5% 14.0% 25.1x 1.49x 10.7x 1.40x 10.0x

Mean 88.3% $4,707 $446 $184 $4,969 $3,325 $422 6.3% 7.2% 48.4% 10.6% 23.7x 1.11x 10.3x 1.02x 8.9x

Median 90.6% $1,450 $146 $93 $1,476 $1,615 $159 4.7% 7.5% 48.7% 9.9% 23.4x 0.97x 9.9x 0.84x 8.3x

Internet Retail

1-800-Flowers.com Inc. FLWS $7.20 77.3% $462 $62 $2 $522 $760 $45 2.8% 3.4% 41.8% 5.9% 33.5x 0.69x 11.6x 0.44x 6.8x

Amazon.com Inc. AMZN 286.95 70.3% 132,860 3,099 6,883 129,076 85,246 3,890 21.5% 25.1% 28.6% 4.6% NM 1.51x 33.2x 1.29x 17.4x

Blue Nile Inc. NILE 32.76 74.6% 388 1 32 356 462 16 5.0% 9.6% 18.5% 3.6% 42.9x 0.77x 21.6x 0.69x 14.0x

eBay Inc. EBAY 53.02 88.8% 65,864 7,606 10,391 63,079 17,511 4,962 12.9% 17.6% 68.1% 28.3% NM 3.60x 12.7x 3.25x 10.4x

IAC/InterActiveCorp IACI 60.84 75.4% 5,098 1,080 1,051 5,128 3,003 472 (2.0%) 16.2% 71.1% 15.7% 21.9x 1.71x 10.9x 1.58x 8.9x

Netflix, Inc. NFLX 323.76 66.2% 19,505 900 1,667 18,739 5,195 472 25.3% 21.1% 32.1% 9.1% NM 3.61x NM 2.90x 33.5x

Orbitz Worldwide, Inc. OWW 9.04 90.8% 1,001 451 250 1,201 909 127 8.3% 5.6% 80.8% 14.0% NM 1.32x 9.4x 1.24x 7.4x

Overstock.com Inc. OSTK 22.52 74.2% 541 0 113 428 1,424 18 14.1% 9.4% 18.6% 1.3% 7.0x 0.30x 23.6x 0.27x 9.3x

PetMed Express, Inc. PETS 14.04 89.4% 285 0 50 234 229 29 (2.8%) 0.1% 33.5% 12.6% 17.0x 1.02x 8.2x 1.02x 8.3x

The Priceline Group Inc. PCLN 998.25 72.4% 52,264 3,926 6,237 49,953 8,143 3,169 26.4% 25.7% 88.9% 38.9% 23.4x 6.13x 15.8x 5.24x 12.9x

Shutterfly, Inc. SFLY 42.94 77.9% 1,664 255 249 1,670 849 73 17.2% 31.2% 51.2% 8.6% NM 1.97x 22.7x 1.70x 9.4x

Stamps.com Inc. STMP 44.30 86.8% 705 0 32 673 138 39 9.8% 12.4% 78.4% 28.3% 16.2x 4.89x 17.3x 4.19x 13.7x

U.S. Auto Parts Network, Inc. PRTS 2.20 53.8% 74 20 1 93 273 6 5.7% (6.2%) 28.4% 2.2% NM 0.34x NM 0.31x 9.8x

Mean 76.8% $21,593 $1,338 $2,074 $20,858 $9,549 $1,025 11.1% 13.2% 49.2% 13.3% 23.1x 2.14x 17.0x 1.86x 12.5x

Median 75.4% $1,001 $255 $249 $1,201 $909 $73 9.8% 12.4% 41.8% 9.1% 21.9x 1.51x 15.8x 1.29x 9.8x



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Specialty & Other Retail

Barnes & Noble, Inc. BKS $23.03 92.3% $1,385 $247 $285 $1,347 $6,242 $314 (4.9%) (3.8%) 30.0% 5.0% NM 0.22x NM 0.22x 3.8x

Best Buy Co., Inc. BBY 34.30 85.7% 12,031 1,635 3,138 10,528 41,781 1,728 (1.2%) (6.2%) 21.2% 4.1% 13.8x 0.25x 6.1x 0.25x 4.7x

Big 5 Sporting Goods Corp. BGFV 12.49 63.4% 277 58 6 329 976 51 (1.3%) 2.6% 32.3% 5.3% 16.0x 0.34x 6.4x 0.32x 6.0x

Books-A-Million Inc. BAMM 1.71 62.2% 26 71 7 90 471 17 (0.8%) 1.4% 29.1% 3.7% NM 0.19x 5.2x NA NA

Build-A-Bear Workshop Inc. BBW 20.59 91.2% 358 0 40 318 369 32 (5.2%) (2.7%) 43.6% 8.8% 47.4x 0.86x 9.8x 0.80x 7.8x

Conns Inc. CONN 17.62 24.7% 640 697 6 1,330 1,420 134 31.1% 21.4% 49.5% 9.5% 9.5x 0.94x 9.9x 0.80x 10.3x

CVS Health Corporation CVS 97.17 98.1% 112,037 13,056 1,210 123,883 135,142 10,609 7.8% 9.3% 18.6% 7.9% 25.1x 0.92x 11.7x 0.85x 11.1x

Dick's Sporting Goods Inc. DKS 52.54 90.8% 6,286 287 78 6,495 6,602 720 8.7% 8.8% 30.7% 10.9% 20.0x 0.98x 9.0x 0.90x 8.3x

Fossil Group, Inc. FOSL 98.59 78.9% 5,036 626 218 5,444 3,507 672 11.5% 12.9% 57.2% 19.2% 14.8x 1.55x 8.1x 1.48x 8.0x

hhgregg, Inc. HGG 5.84 50.2% 166 0 41 125 2,223 11 (10.7%) 0.2% 28.3% 0.5% NM 0.06x 11.1x NA 14.0x

Hibbett Sports, Inc. HIBB 47.09 73.8% 1,177 4 72 1,109 892 129 4.7% 7.6% 35.8% 14.4% 18.0x 1.24x 8.6x 1.16x 8.1x

Lowe's Companies Inc. LOW 66.35 94.8% 64,553 11,357 1,773 74,137 55,342 6,251 4.8% 4.1% 34.8% 11.3% 26.7x 1.34x 11.9x 1.28x 10.7x

Lumber Liquidators Holdings, Inc. LL 55.20 49.4% 1,494 0 11 1,483 1,034 121 8.5% 16.1% 40.4% 11.7% NM 1.43x 12.3x 1.30x 10.5x

Marinemax Inc. HZO 19.96 94.5% 500 124 28 597 625 23 6.9% 9.1% 25.9% 3.6% 44.3x 0.96x 26.3x 0.85x 17.9x

Movado Group, Inc. MOV 23.50 48.7% 592 0 158 433 585 79 4.2% 9.4% 52.7% 13.5% 13.9x 0.74x 5.5x 0.72x 5.2x

Office Depot, Inc. ODP 7.80 87.5% 4,201 1,554 965 4,790 15,749 453 51.7% 11.1% 23.3% 2.9% NM 0.30x 10.6x 0.31x 6.8x

PetSmart, Inc. PETM 81.38 99.3% 8,093 521 180 8,434 7,003 954 0.2% 5.3% 30.3% 13.6% 19.2x 1.20x 8.8x 1.16x 8.2x

RadioShack Corp. RSH 0.26 9.5% 27 842 43 825 2,300 (427) (33.0%) (17.1%) 39.1% NM NM 0.36x NM 0.30x NM

Regis Corp. RGS 16.20 91.2% 895 120 186 829 1,888 90 (4.7%) (6.1%) 33.5% 4.7% NM 0.44x 9.3x 0.44x 8.0x

Rite Aid Corporation RAD 7.34 85.2% 7,204 5,851 233 12,821 26,278 1,224 3.5% 1.1% 28.6% 4.7% 23.0x 0.49x 10.5x 0.47x 9.6x

Staples, Inc. SPLS 17.00 92.7% 10,873 1,118 770 11,222 22,709 1,464 (4.6%) (2.8%) 25.8% 6.4% 18.6x 0.49x 7.7x 0.50x 7.8x

Steiner Leisure Ltd. STNR 43.45 82.6% 589 96 34 651 867 72 2.5% 8.5% 21.3% 8.4% 15.8x 0.75x 9.0x 0.74x 8.1x

The Home Depot, Inc. HD 101.01 94.4% 133,114 16,727 2,181 147,660 81,710 11,809 3.0% 5.5% 34.8% 14.5% 23.4x 1.81x 12.5x 1.73x 11.4x

Tiffany & Co. TIF 85.70 77.5% 11,086 1,086 383 11,789 4,263 1,093 7.4% 6.2% 59.6% 25.6% NM 2.77x 10.8x 2.73x 10.6x

Tractor Supply Company TSCO 75.20 92.0% 10,223 153 48 10,328 5,543 670 10.1% 11.3% 34.1% 12.1% 30.6x 1.86x 15.4x 1.69x 13.7x

Vitamin Shoppe, Inc. VSI 40.38 81.0% 1,247 0 32 1,215 1,179 144 12.3% 12.8% 42.1% 12.2% 21.2x 1.03x 8.4x 0.92x 7.7x

Walgreens Boots Alliance, Inc. WBA 74.78 95.9% 70,715 14,530 12,861 72,384 77,617 5,200 6.0% 2.1% 28.0% 6.7% 35.2x 0.93x 13.9x 0.66x 9.8x

Mean 77.3% $17,216 $2,621 $925 $18,911 $18,678 $1,616 4.4% 4.8% 34.5% 9.3% 23.0x 0.91x 10.4x 0.90x 9.1x

Median 85.7% $1,494 $287 $158 $1,483 $3,507 $314 4.2% 5.5% 32.3% 8.6% 20.0x 0.92x 9.8x 0.80x 8.2x



12

CONSUMER AND RETAIL


PAGE |

M&A ACTIVITY

13

RECENT NORTH AMERICAN CONSUMER M&A

CONSUMER AND RETAIL


Private Equity

Announced Target Seller Buyer Involvement

2/16/2015 Enjoy Life Foods, LLC - Mondelez International, Inc.

2/12/2015 King Koil, Inc. - Kaiserkorp Sdn.Bhd.

2/12/2015 Orbitz Worldwide, Inc. PAR Capital, Luxor Capital, others Expedia Inc. P

2/11/2015 Water Watch Irrigation - Smith Brothers Lawn Care LLC

2/6/2015 Oregon Rug & Mattress Company - Sound Sleep Products, Inc.

2/4/2015 Office Depot, Inc. InterWest Partners, Putnam, others Staples, Inc.

2/4/2015 Launchpad Toys, Inc. Y Combinator; TEEC Angel Fund Google Inc. P

2/3/2015 MD Essentials Inc. - SCS Direct Inc.

2/3/2015 L'Amour Des Pieds - Remac, L.P.

2/3/2015 Bluemercury, Inc. - Macy's, Inc.

1/29/2015 Snaptracs, Inc. Qualcomm Technologies; Karmel Capital Whistle Labs, Inc.

1/29/2015 Bonne Bell and Lip Smacker Brands The Bonne Bell Company Markwins International Corporation

1/28/2015 Blondo Inc. Regence Footwear Inc., 3074153 Canada Inc. Steven Madden, Ltd.

1/23/2015 The Rockport Company, LLC Adidas AG Berkshire Partners, New Balance P

1/21/2015 Emerging Cinemas, LLC - 20 Year Media Corp.

1/16/2015 Novack Uniform Solutions - Talbot Marketing Inc.

1/16/2015 Designer Apparel Group, LLC - Global Fashion Technologies, Inc.

1/13/2015 Grand Harbour Clothing, Inc. - Canada Goose Inc.

1/13/2015 Phenix Flooring, LLC - Pharr Yarns, LLC

1/13/2015 Bionic Pet Products Inc. - Outward Hound

1/12/2015 Swags Galore, Inc. - Menrva Holdings, Inc.

1/9/2015 Custom Counsel LLC - CuroLegal, LLC

1/8/2015 Hagaman Industries, Inc. - Nourison Rug Corporation

1/8/2015 Cycle Gear, Inc. Harvest Partners, LP J.W. Childs Associates, L.P. P

1/7/2015 Surf Technicians, LLC - Triple D Corporation Company Limited P

1/7/2015 Stable Imaging Solutions, LLC - Always Evolving Enterprises, LLC

1/7/2015 CHEMAID Laboratories, Inc. Wellspring Capital Management LLC Knowlton Development Corporation P

1/7/2015 Artifact Uprising LLC - Visual Supply Co

1/6/2015 Kiva Kitchen & Bath Holdings, LLC Rock Hill Capital Group, LLC Morrison Supply Company, LLC P

1/6/2015 Product Club Corp. - The Burmax Company, Incorporated

1/5/2015 Paris Presents Incorporated Mason Wells Wasserstein & Co. and others P

1/5/2015 Power Systems, Inc. - PlayCore Holdings, Inc.

1/5/2015 Boardworks Inc. - Confluence Outdoor

1/5/2015 Reyn Spooner Inc. Wedbush Capital Partners Aloha Brands LLC P

1/2/2015 Quest Cleaners, LLC - True Blue Cleaners, Inc.

12/26/2014 Burke Enterprise, LLC, Chip Burke Shutters Burke Enterprise, LLC Van Gogh Window Fashions Franchise Systems

12/23/2014 Hart Stores Inc. H & N Family Subco, Inc. 9102221 Canada Inc.

12/23/2014 The Chef'n Corporation Capitala Finance Corp and others Taylor Precision Products, Inc. P

12/23/2014 3P Safety, LLC - RJR Safety, Inc.

12/22/2014 Eagle Nonwovens Inc. - AstenJohnson Inc.

12/21/2014 Poythress Tent Rentals, Inc. - Party Reflections, Inc.

12/19/2014 Primary PDC, Inc. Knight's Bridge Capital Partners Inc. Pohlad Companies, Inc. P

12/19/2014 Zalemark Holding Company Inc. - Bergio International, Inc.

12/19/2014 GLAMGLOW Inc. - The Estée Lauder Companies Inc.

12/19/2014 Handi Quilter, Inc. High Road Capital Partners Blue Point Capital Partners P

12/18/2014 Ashford.com, Inc. Luxi Group, LLC Prudential Capital Group, L.P. P

12/17/2014 FoodState Inc. The Riverside Company; 2x Consumer Products Pharmavite LLC P

12/17/2014 K&B Innovations, Inc. - Alex Brands

12/17/2014 Neoporter LLC - LifeSquire

12/16/2014 Fox Pest Control LLC - Truly Nolen of America, Inc.

12/16/2014 Weston Products LLC Highgate Capital LLC Hamilton Beach Brands, Inc. P

12/15/2014 Shoes.com, Inc. Brown Shoe Co. Inc. ShoeMe Technologies Limited

12/15/2014 Gravity Nutritionals Inc. - Hantian Labs Limited

12/14/2014 PetSmart, Inc. (NasdaqGS:PETM) JANA Partners and others BC Partners and others P

12/12/2014 Jewel Kade, Inc. - Thirty-One Gifts, LLC

12/12/2014 Jewell LLC - Thirty-One Gifts, LLC

12/11/2014 Fishing Holdings, LLC Platinum Equity, LLC Bass Pro Group, LLC P

12/11/2014 SmallHD, LLC - Vitec Videocom Ltd

12/9/2014 St. Louis CompuTronics, LLC - The Sound Room, Inc.

12/9/2014 Macbeth, Inc. - Saban Brands LLC

12/8/2014 NüRoo, Inc. - BROWNMED Inc.

12/8/2014 Crescom Engineering, AAA Alarms, & Bardstown Alarm - Select Security, Inc.

12/5/2014 Race Face Performance Products, Inc. - Fox Factory Holding Corp

12/4/2014 L.A. Spas, Inc. - Maax Spas (Arizona), Inc.

12/3/2014 Shape Medical Weight Loss Center, LLC - Life Time Fitness, Inc.

12/3/2014 InboxFitness.com LLC - O2 Media, Inc.

12/1/2014 Bad Love Cosmetics Company, LLC - VIASPACE Inc.

12/1/2014 BPG Holdings, LLC - Fidelity National Home Warranty Company

12/1/2014 Baby Jogger, LLC The Riverside Company Newell Rubbermaid Inc. P

12/1/2014 Gaetano, Ltd - Duralee Fabrics Ltd.

11/28/2014 Crittenden and Company LLC - Prospect Brands, LLC

11/28/2014 CCS Direct LLC Foot Locker, Inc. Daddies Board Shop, LLC

11/28/2014 Glentel Inc. TCG International and others BCE Inc.

11/26/2014 Missy Swimwear Portfolio A. H. Schreiber Co. Incorporated A & H Sportswear; Mainstream Swimsuits

11/25/2014 Battenfeld Technologies, Inc. Clearview Capital, LLC; PNC Erieview Capital Smith & Wesson Holding Corporation P

11/25/2014 Landau Brothers LLC Detroit Venture Partners and others Global Office Solutions, LLC P

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M&A ACTIVITY

14

RECENT NORTH AMERICAN CONSUMER M&A (CONTINUED)

CONSUMER AND RETAIL


Private Equity


11/21/2014 Alpha Helix Inc. - Nutroganics, Inc.

11/19/2014 Kidrobot, Inc. Syntek Capital Gmbh National Entertainment Collectibles Assoc. P

11/19/2014 Drs. Foster & Smith, Inc. - PETCO Animal Supplies, Inc.

11/19/2014 Garry Gribble's Running Sports, LLC - The Running Specialty Group Acquisitions

11/17/2014 Dead Down Wind LLC - Arcus Hunting LLC

11/14/2014 Pugs, Inc. - Pugs Holdings, LLC

11/14/2014 Alcoa Heating & Cooling - MK Russell & Abbott

11/13/2014 Nuforce, Inc. NuPrime Audio, Inc. Optoma Technology, Inc.

11/11/2014 Stoneridge Cycle Ltd. - Kent International, Inc.

11/10/2014 Natrol, Inc. Plethico Pharmaceuticals Limited Aurobindo Pharma USA Inc.

11/10/2014 Heroes Apparel, LLC - Witmer Associates, Inc.

11/7/2014 Dry Cleaning Station and Martinizing International LLC Martin Franchises Inc. The Huntington Company, LLC

11/7/2014 I Love Blue Sea, Inc. - Vital Choice Wild Seafood & Organics, Inc.

11/5/2014 Sleep America, LLC Sleep Country Canada Income Fund Mattress Firm Holding Corp.

11/4/2014 Household Termite and Pest Control Inc. - Arrow Exterminators, Inc.

11/3/2014 Fanhattan, Inc. New Enterprise Associates; Redpoint Ventures Rovi Corporation P

10/31/2014 L Rodin LLC - Estée Lauder

10/28/2014 Cue & Case Sales Inc. - Escalade Sports, Inc.

10/27/2014 Swimsuits For All Inc. - OSP Group, Inc.

10/20/2014 Quench USA, Inc. Pohlad Companies; Gladstone Investment Seven Seas Water Corporation P

10/20/2014 Carol's Daughter Holdings, LLC Pegasus Capital Advisors, L.P. L'Oreal USA, Inc. P

10/17/2014 bubba brands, Inc. In Zone Holdings, Inc. Newell Rubbermaid Inc.

10/15/2014 Le Labo Inc. - The Estée Lauder Companies

10/14/2014 O.W.A., Inc. - Gladstone Inv. Corp.

10/14/2014 U-Line Corporation Linsalata Capital Partners Middleby Corp. P

10/13/2014 Folio 21 Furniture, LLC - The H.T. Hackney Co.

10/7/2014 Jack Vinales Antiques - Ford Art and Antiques, Inc.

10/6/2014 Appleseed Lane - Green Kid Crafts, Inc.

10/3/2014 Nutri-Health Supplements, L.L.C. Atrium Innovations Inc. Nature's Products, Inc.

10/2/2014 Dazzle Style Bar & Boutique - Shirin's Events LLC

10/1/2014 Pool Cover Specialist National, Inc. - Latham Pool Products, Inc. P

10/1/2014 Vermont Castings Group - Hearth & Home Technologies LLC

9/30/2014 Mirror Masters Company LLC - ELK Lighting, Inc.

9/27/2014 Fountain People, Inc. - PlayCore Holdings, Inc. P

9/26/2014 Dairy Association Company, Inc. - Vermont's Original LLC

9/26/2014 Riverside Manufacturing Company, Inc. - Affinity Specialty Apparel, Inc.

9/26/2014 Hollander Home Fashions Corporation HGGC, LLC Sentinel Capital Partners, L.L.C. P

9/24/2014 Silber Brush Manufacturing Co., Inc. - Braun Brush Co.

9/16/2014 Patch Products, Inc. - First New England Capital; Topspin Partners LP P

9/16/2014 Pedigree Perfection International, Inc. - Ultra Paws, LLC

9/15/2014 Tropitone Furniture Company, Inc. HarbourVest Partners; Pfingsten Partners Brown Jordan International, Inc. P

9/15/2014 Hokanson Incorporated - Scott Group, Inc.

9/11/2014 Bosch Garden and Watering Business Robert Bosch Tool Corporation Fiskars Brands, Inc.

9/11/2014 Elmhurst Metered Appliance, Inc. - Hercules Corporation

9/8/2014 GE Consumer Products General Electric Company Electrolux AB

9/5/2014 Southeast Ribbon and Badge Co. - Hodges Badge Company, Inc.

9/5/2014 Bond Street Ltd. - Bugatti-Sedona Inc.

9/4/2014 Simcoe Bicycles Inc. - Cycles Lambert, Inc.; Hawley, LLC

9/3/2014 Quikfletch LLC and New Archery Products Corporation - BRS Outdoor Sports Holdings, LLC

9/3/2014 Best Friends Pet Care, Inc. Webster Capital Belvoir Investments Corporation P

9/2/2014 Closet Systems of Hawaii, LLC - A Plus Interiors LLC

9/2/2014 Ellsworth Handcrafted Bicycles, Inc. - Iso Nano International LLC

8/30/2014 Harry & David Holdings, Inc. Wasserstein & Co., LP 1-800-Flowers.com Inc. P

8/29/2014 Sher-Wood Hockey Inc. Callidus Capital Corporation Sherwood Athletics Group Inc. P

8/27/2014 Cobra Electronics Corp. Franklin Advisory Services, LLC Monomoy Capital Partners P

8/27/2014 Easton Hockey, Inc. BRG Sports, Inc. Chartwell Investments Inc. P

8/25/2014 Green Pest Services TX, LLC - Massey Services, Inc.

8/25/2014 Left Hand Studios LLC - Succession Capital Inc.

8/25/2014 Days of Wonder, Inc. - Asmodée Editions SAS

8/20/2014 Massif Mountain Gear Company, LLC Tactical Holdings Operations, Inc. Samtech, LLC

8/20/2014 TOMS Shoes, Inc. - Bain Capital Private Equity P

8/20/2014 XO Athletic Co. - EZ GARD Industries, Inc.

8/19/2014 Pet360 Inc. LLR Partners Inc.; Updata Partners PetSmart, Inc. P

8/18/2014 The Dwyer Group, Inc. TZP Group The Riverside Company P

8/17/2014 Pro Peloton, LLC - Boulder Cycle Sport, LLC

8/15/2014 Home Décor Holding Company Linsalata Capital Partners NBGHome P

8/18/2014 The Dwyer Group, Inc. TZP Group The Riverside Company P

8/15/2014 NBGHome Linsalata Capital Partners Nielsen & Bainbridge, LLC P

8/14/2014 Dolce Vita Holdings, Inc. - Steven Madden, Ltd.

8/6/2014 Artistic Studios, LTD - Bendon Publishing International, Inc. P

8/5/2014 TRG Accessories, LLC Centric Group, LLC Victorinox Swiss Army, Inc. P

7/28/2014 Pressman Toy Corporation - Goliath B.V.

7/25/2014 Good Vibrations Shoes Inc. - Bitcoin Collect, Inc.

7/23/2014 Virga Botanicals, LLC - 400 Beverly, Inc.

7/18/2014 Rachel Roy IP Company LLC Nine West Holdings, Inc. Topson Downs Of California Inc.

7/17/2014 Design Within Reach, Inc. Glenhill Capital Management LLC Herman Miller Inc. P

PAGE | 15

HW&CO. CONSUMER TEAM

M&A ACTIVITY

CONSUMER AND RETAIL


RECENT NORTH AMERICAN CONSUMER M&A (CONTINUED)

Private Equity


7/17/2014 FASTSIGNS International, Inc. Roark Capital Group Levine Leichtman Capital Partners P

7/15/2014 Gerler & Son, Inc. - Hardy Capital Partners P

7/15/2014 ShoeMe Technologies Limited - Hardy Capital Partners P

7/14/2014 Milk and Honey Shoes LLC - Upper Street Limited

7/14/2014 Engraving Bench and Fine Gifts, Inc. - Vermont Trophy & Engraving, Inc.

7/7/2014 Snakeguard, LLC - Wildlife Control Supplies, LLC

7/3/2014 The Schawbel Corporation, Repellent Division The Schawbel Corporation Kinderhook Industries P

7/2/2014 Valley Hydroponics and Organics - Green Universe Inc

7/2/2014 Home Sew Inc. - MAD Holdings Inc.

6/30/2014 Sport Chalet Inc. - Vestis Retail Group, LLC

6/27/2014 Marucci Sports LLC - Envisage Equity, LLC

6/23/2014 Embroiderymasters & Sportswear - Promotional Bridge Inc.

6/20/2014 Jay Gress, Inc. - Shipley Energy Company, Inc.

6/19/2014 Doris Inc. - Gildan Activewear Inc.

6/18/2014 Gregory Mountain Products, Inc. Black Diamond, Inc. Samsonite LLC

6/17/2014 Hearts On Fire Company, LLC Fine Diamonds S.A. Chow Tai Fook Jewellery Group Ltd.

6/16/2014 The Lerado Group (Juvenile Business) Lerado Group Dorel Industries Inc.

6/11/2014 Weyhing Bros Manufacturing - American Badge Inc.

6/10/2014 The Laces Company - Novacap Investments, Inc. P

6/9/2014 Elly Preston, LLC - Mad By Design LLC

6/6/2014 WP Evenflo Holdings Inc. Weston Presidio; Gladstone Capital Goodbaby International P

6/6/2014 Itzbeen Innovated, Inc. - SCS Direct Inc.

6/5/2014 The Homax Group, Inc. Olympus Partners PPG Architectural Coatings LLC P

6/3/2014 AeroGroup International LLC Grumman Hill LLC Palladin Consumer Retail Partners, LLC P

6/3/2014 N.V. Perricone M.D., Ltd. TSG Consumer Partners Lion Capital LLP P

6/3/2014 Blooming Creations - St. Cloud Floral Inc

6/2/2014 Brookstone Inc. J.W. Childs Associates, L.P. Sailing Capital; Sanpower P

6/2/2014 C.J. Foods Trinity Hunt Partners J.H. Whitney P

5/30/2014 24 Hour Fitness USA, Inc. Forstmann Little & Co. AEA Investors LP; Ontario Teachers' Pension Plan P

5/30/2014 PlayCore, Inc. Irving Place Capital Sentinel Capital Partners, L.L.C. P

5/28/2014 Speculative Product Design, LLC VMG Partners Samsonite LLC P

5/28/2014 Beats Electronics, LLC The Carlyle Group LP Apple Inc. P

5/22/2014 SmartPak Equine, LLC CEI Ventures; North Bridge Oak Hill Capital Partners; Henry Schein P

5/21/2014 Hess Retail Corporation Hess Corporation Speedway LLC

5/21/2014 BonWorth, Inc. - San USA LLC

5/21/2014 Barefoot Tess LLC - Long Tall Sally Ltd.

5/21/2014 Joy & Revelry, Inc. Signia Venture Partners Bryght.com P

5/20/2014 Vapor Town USA - AV1 Group, Inc.

5/18/2014 Schleich GmbH HgCapital Ardian P

5/16/2014 Stella+Jack - Moxie Jean

5/6/2014 Fender, Guild Guitar Brand and Assets Fender Musical Instruments Corp. Cordoba Music Group Inc. P

5/5/2014 Learning Care Group, Inc. Morgan Stanley Private Equity American Securities P

4/29/2014 prAna Living, LLC Steelpoint Capital Partners, LP Columbia Sportswear P

4/28/2014 DreamTime, Inc. - Evriholder Products, LLC P

4/25/2014 Mattress Liquidators, Inc. - Mattress Firm, Inc.

4/22/2014 Confluence Watersports Company American Capital J.H. Whitney P

4/22/2014 totes ISOTONER Corp BRS; MidOcean Partners Freeman Spogli & Co.; Investcorp Bank B.S.C. P

4/22/2014 DDF Skincare Business Procter & Gamble SA Designer Parfums Limited

4/18/2014 Feradyne Outdoors, LLC Kamylon Capital, LLC Snow Phipps Group, LLC; Shockey Enterprises P

Tim AlexanderManaging [email protected]+1 (612) 359-2716

Red NorrieManaging [email protected]+44 (0) 20 7518-8906

John Neuner IVManaging [email protected]+1 (804) 915-0125

Glenn GurtcheffManaging [email protected]+1 (612) 359-2702

Ryan [email protected]+1 (415) 217-3409

Brant CashVice [email protected]+1 (612) 359-2709

Corey BenjaminVice [email protected]+1 (804) 932-1342

Brent [email protected]+1 (804) 915-0183

Chip DugginsVice [email protected]+1 (804) 932-1340

Ryan FreemanVice [email protected]+1 (612) 359-2703

Matt ConatyVice [email protected]+1 (415) 217-3423

Matt WhebbeVice [email protected]+1 (612) 359-2727













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HARRIS WILLIAMS & CO.

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DISCLOSURES

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