Lowe's 2014 Annual Report Download - page 15

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program is available in seven of our 14 regions to provide similar consultative services on interior projects such as kitchens and
bathrooms.
Contact Centers
Lowe’s operates two contact centers which are located in Wilkesboro, NC and Albuquerque, NM. In addition, we are opening
an additional facility in Indianapolis, IN. These contact centers help enable an omni-channel experience by providing the
ability to tender sales, coordinate deliveries, manage after-sale installations, facilitate repair services for Appliances and
Outdoor Power Equipment, and answer general customer questions via phone, e-mail, letters, or social media.
Employees
As of January 30, 2015, we employed approximately 175,000 full-time and 91,000 part-time employees. Our employees in
Mexico are subject to collective bargaining agreements. No other employees are subject to collective bargaining
agreements. Management considers its relations with employees to be good.
Seasonality and Working Capital
The retail business in general is subject to seasonal influences, and our business is, to some extent, seasonal. Historically, we
have realized the highest volume of sales during our second fiscal quarter (May, June and July) and the lowest volume of sales
during our fourth fiscal quarter (November, December and January). Accordingly, our working capital requirements have
historically been greater during our fourth fiscal quarter as we build inventory in anticipation of the spring selling season and as
we experience lower fourth fiscal quarter sales volumes. We fund our working capital requirements primarily through cash
flows generated from operations, but also with short-term borrowings, as needed. For more detailed information, see the
Financial Condition, Liquidity and Capital Resources section in Item 7, “Management’s Discussion and Analysis of Financial
Condition and Results of Operations”, of this Annual Report on Form 10-K.
Intellectual Property
The name “Lowe’s” is a registered service mark of one of our wholly-owned subsidiaries. We consider this mark and the
accompanying name recognition to be valuable to our business. This subsidiary has various additional trademarks, trade names
and service marks, many of which are used in our private brand program. The subsidiary also maintains various Internet
domain names that are important to our business, and we also own registered and unregistered copyrights. In addition, we
maintain patent portfolios related to some of our products and services and seek to patent or otherwise protect certain
innovations that we incorporate into our products, services, or business operations.
Environmental Stewardship
Lowe’s recognizes how efficient operations can help protect the environment and our bottom line. We examine our operations
regularly to deliver energy efficiency, reduce fuel consumption, and minimize waste generation through increased recycling.
We also install technology that will help us operate our facilities more efficiently and environmentally responsibly. For
example, our RDC in Rome, GA was designed to use high-efficiency, light-emitting diode (LED) fixtures, and our Pittston
RDC was retrofitted with interior and exterior LED fixtures, significantly reducing this facility's total energy use.
We strive to deliver products to our stores in a fuel-efficient and an environmentally responsible manner through participation
in the SmartWay® Transport Partnership, an innovative program launched by the U.S. Environmental Protection Agency (EPA)
in 2004 that promotes cleaner, more fuel-efficient transportation options. Lowe’s received a 2014 SmartWay Excellence Award
from the EPA, our sixth consecutive SmartWay honor, for our commitment to environmental excellence in freight management
operations and reduction of carbon dioxide emissions and other harmful pollutants. We have also increased shipping of
products by rail and increased the efficiency of truckload shipments to and from our RDCs.
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