Nike Inc Vs Toys R Us

NIKE, INC VS TOYS R US

April 17, 2005

CONTENTS

Page

LIST OF ILLUSTRATIONS......................................................................2

INTRODUCTION..................................................................................4

Procedures...................................................................................4

COMPANIES..........................................................................................4

COMAPARISONS.................................................................................7

GROWTH............................................................................................9

CONCLUSION AND RECOMMENDATIONS...............................................11

REFERENCES......................................................................................12

LIST OF ILLUSTRATIONS

Figure Page

1. Comparisons Chart- "The Company" ................................................... 8

2. Growth Chart- NIKE, INC................................................................ 9

3. Growth Chart- TOYS R US, INC......................................................10

4. Revenue Chart..............................................................................11

Investigation 4

INTRODUCTION

EC=2 Consultants was contracted to locate and research two companies for purchase or takeover by the XYZ Investment Syndicate. EC=2 has a solid reputation in the Eastern United States for providing this type of service. For the XYZ Investment Syndicate, EC=2 has identified NIKE, INC and TOYS R US as meeting the criteria for purchase or takeover. These companies were chosen based on their location, history, leadership, market position and growth potential.

Procedures

Methodology: To prepare this report, the staff of EC=2 gathered most of the information from the Internet, especially the companies' Web pages. In addition, the staff obtained annual reports from the companies and data from both the NYSE and NASDAQ

Web pages.

Personnel: EC=2 has been providing consulting services in the East for the past 25 years. Our staff includes: a former CEO, four CPAs, three MBAs, and a full complement of research assistants.

Schedule: The final copy of the report will be submitted on or before

April 18, 2005 for your review and evaluation.

THE COMPANIES

NIKE, INC {NYSE-NKE}

History: NIKE, Inc. is engaged in the design, development and worldwide marketing of footwear, apparel, equipment and accessory products. The Company sells its products to retail accounts and through a mix of independent distributors, licensees and subsidiaries in over 120 countries around the world. NIKE's athletic footwear products are designed primarily for specific athletic use, although some of its products are worn for casual or leisure purposes. The Company creates designs for men, women and children. Running, basketball, children's, cross-training and women's shoes are the Company's top-selling product categories. NIKE also markets shoes designed for outdoor activities, tennis, golf,

Investigation 5

NIKE, INC (cont)

soccer, baseball, football, bicycling, volleyball, wrestling, cheerleading, aquatic activities, hiking and other athletic and recreational uses. The total cash per share is 6.25.

Locations: Beaverton, OR

Officers: Philip Knight, 66 Chairman 4.22M

William Perez, 57 Pres, Chief Exec. Officer, N/A

Donald Blair, 46 Chief Financial Officer, VP N/A

Charles Denson, 48 Pres of the Nike Brand 3.23M

Products or Services: Footwear, apparel, equipment and accessory products.

Competitors: Adidas, Fila, Reebok, Keds

Investigation 6

TOYS R US

History: Toys R Us, Inc. is a specialty retailer of toys, baby products and children's apparel. As of January 31, 2004, the Company operated 1,501 retail stores worldwide. These consisted of 927 locations in the United States, 685 toy stores (including four Geoffrey stores), 198 specialty baby-juvenile stores under the name Babies R Us, and 44 children's clothing stores under