finish line

http://media.corporate-ir.net/media_files/irol/81/81647/pdfs/AR2003.pdf

Part A. Introduction

• CEO- Alan H. Cohen

• Indianapolis, Indiana

• March 1, 2003

• Lifestyle shoes, active wear and accessories.

• US

Part A. Audit Report

• Ernst & Young LLP

Auditor states that the registration statement that goes along with Finish line and employee stock incentive plan that pertain to Finish line is with respect to the consolidated F/S

Part A. Stock Market Information

• Most recent price of stock is 17.06

• Twelve month trading range of the company’s stock 23.39-13.29

• Dividend per share .10

• 3/4/06

• Hold because stock will increase

Part B. Industry Situation and Company Plan

• Finish line’s outlook is to make the business grow and have more mall based store than any other active wear store.

• Letter to the Stockholders 477 stores in 45 states and plans build additional 50 more store in malls .potential for 700 to 800 Finish line stores in US.

Part C. Income Statement Single step

Part C. Balance SheetTotal asset increase ,marketable securities decrease, RE increase so did total SHE

Total assets changed the most.

Part C. Statement of Cash Flow

• Net income is more for the past two years

• A loss in property, plant & equipment because of a tornado.

• Stock sales ?

• Increase

Part D. Accounting Policies

• Significant Accounting Policies Basis of presentation, Nature of Operations, Use of Estimates, Earnings Per

Share, Revenue Recognition, Cash and cash equivalents, Merchandise Inventories, Property and equipment, Impair of long –lived assets, Store opening closing cost, deferred rent payment, advertising, financial instruments, stock based compensation

• Topics notes to the financial statement reclassification, Marketable Securities, Debt Agreement, Leases,Income taxes,

Retirement Plan, Stock Options, Earning Per Share, Common Stock, repositioning and Asset Impairment Charges, Infrequent Event

Part E. Financial Analysis Market Strength Ratios

2003 2002

Price/earning 1.09 .76

Dividend yield 0% 0%

Part E. Financial Analysis Profitability Ratios

2003 2002

• Profit margin 3% 2.6%

• Asset turnover 3.2times 2.2times

• Return on assets .96% 5.72%

• Return on equity 9.94% 7.84%

Part E. Financial Analysis Liquidity Ratios

2003 2002

WC $18629 $23602

CR 1.34 1.46

Rturnover 187.53 246.24

Avgday sales uncollect 1.94 1.48

Inventory turnover 447.44 404.07

Avg days’ Inv on hand .88 .90

Part E. Financial Analysis Solvency Ratio

2003 2002

Debt to Equity 34.9 34.6