Cabela's 2005 Annual Report Download - page 15

PART I
ITEM 1. BUSINESS
Special Note Regarding Forward-Looking Statements
This report contains “forward-looking statements” that are based on our beliefs, assumptions and
expectations of future events, taking into account the information currently available to us. All statements other
than statements of current or historical fact contained in this report are forward-looking statements within the
meaning of the Private Securities Litigation Reform Act. The words “believe,” “may,” “should,” “anticipate,”
“estimate,” “expect,” “intend,” “objective,” “seek,” “plan,” and similar statements are intended to identify
forward-looking statements. Forward-looking statements involve risks and uncertainties that may cause our
actual results, performance or financial condition to differ materially from the expectations of future results,
performance or financial condition we express or imply in any forward-looking statements. These risks and
uncertainties include, but are not limited to: the ability to negotiate favorable purchase, lease and/or economic
development arrangements; expansion into new markets; market saturation due to new destination retail store
openings; the rate of growth of general and administrative expenses associated with building a strengthened
corporate infrastructure to support our growth initiatives; increasing competition in the outdoor segment of the
sporting goods industry; the cost of our products; supply and delivery shortages or interruptions; adverse weather
conditions, unseasonal weather conditions which impact the demand for our products; fluctuations in operating
results; adverse economic conditions causing a decline in discretionary consumer spending; the cost of fuel
increasing; delays in road construction and/or traffic planning around our new destination retail stores; road
construction around our existing destination retail stores; labor shortages or increased labor costs; changes in
consumer preferences and demographic trends; increased government regulation; inadequate protection of our
intellectual property; decreased interchange fees received by our financial services business as a result of the
current interchange litigation against VISA; other factors that we may not have currently identified or quantified;
and other risks, relevant factors and uncertainties identified in the “Risk Factors” section of this report. Given the
risks and uncertainties surrounding forward-looking statements, you should not place undue reliance on these
statements. Our forward-looking statements speak only as of the date of this report. Other than as required by
law, we undertake no obligation to update or revise forward-looking statements, whether as a result of new
information, future events or otherwise.
Overview
We are the world’s largest direct marketer, and a leading specialty retailer, of hunting, fishing, camping and
related outdoor merchandise. Since our founding in 1961, Cabela’s has grown to become one of the most well-
known outdoor recreation brands in the world, and we have long been recognized as the World’s Foremost
Outfitter. Through our well-established direct business and our growing number of destination retail stores, we
believe we offer the widest and most distinctive selection of high-quality outdoor products at competitive prices
while providing superior customer service. We also issue the Cabela’s Club VISA®credit card, which serves as
our primary customer loyalty rewards program.
Our extensive product offering consists of fifty-two product categories and includes hunting, fishing, marine
and camping merchandise, casual and outdoor apparel and footwear, optics, vehicle accessories, gifts and home
furnishings with an outdoor theme. Our direct business uses catalogs and the Internet to increase brand awareness
and generate customer orders via the mail, telephone and Internet. In fiscal 2005, we circulated over 121 million
catalogs with 80 separate titles and our website, cabelas.com, was the most visited sports and fitness website
according to Hitwise Incorporated, an online measurement company. We opened our first destination retail store
in 1987 and currently operate 14 destination retail stores that range in size from 35,000 square feet to 247,000
square feet, including our nine large-format destination retail stores which are 150,000 square feet or larger.
We were initially incorporated as a Nebraska corporation in 1965 and were reincorporated as a Delaware
corporation in January of 2004. In June 2004, we completed our initial public offering of common stock. Our
common stock is listed on the New York Stock Exchange under the symbol “CAB.”
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