Nike 2015 Annual Report Download - page 73

PART II
Revenues and Long-Lived Assets by
Geographic Area
After allocation of revenues for Global Brand Divisions, Converse and
Corporate to geographical areas based on the location where the sales
originated, revenues by geographical area are essentially the same as
reported above under operating segments with the exception of the United
States. Revenues derived in the United States were $14,180 million, $12,711
million and $11,385 million for the years ended May 31, 2015, 2014 and
2013, respectively. The Company’s largest concentrations of long-lived
assets primarily consist of the Company’s world headquarters and
distribution facilities in the United States and distribution facilities in Japan,
Belgium and China. Long-lived assets attributable to operations in the
United States, which are primarily composed of net property, plant &
equipment, were $1,877 million and $1,652 million at May 31, 2015 and
2014, respectively. Long-lived assets attributable to operations in Japan were
$205 million and $258 million at May 31, 2015 and 2014, respectively. Long-
lived assets attributable to operations in Belgium were $234 million and $175
million at May 31, 2015 and 2014, respectively. Long-lived assets attributable
to operations in China were $267 million and $234 million at May 31, 2015
and 2014, respectively.
Major Customers
No customer accounted for 10% or more of the Company’s net revenues
during the years ended May 31, 2015, 2014 and 2013.
ITEM 9. Changes in and Disagreements with
Accountants on Accounting and Financial
Disclosure
There has been no change of accountants nor any disagreements with accountants on any matter of accounting principles or practices or financial statement
disclosure required to be reported under this Item.
ITEM 9A. Controls and Procedures
We maintain disclosure controls and procedures that are designed to ensure
information required to be disclosed in our Exchange Act reports is recorded,
processed, summarized and reported within the time periods specified in the
SEC’s rules and forms and that such information is accumulated and
communicated to our management, including our Chief Executive Officer and
Chief Financial Officer, as appropriate, to allow for timely decisions regarding
required disclosure. In designing and evaluating the disclosure controls and
procedures, management recognizes that any controls and procedures, no
matter how well designed and operated, can provide only reasonable
assurance of achieving the desired control objectives, and management is
required to apply its judgment in evaluating the cost-benefit relationship of
possible controls and procedures.
We carry out a variety of ongoing procedures, under the supervision and with
the participation of our management, including our Chief Executive Officer
and Chief Financial Officer, to evaluate the effectiveness of the design and
operation of our disclosure controls and procedures. Based on the foregoing,
our Chief Executive Officer and Chief Financial Officer concluded that our
disclosure controls and procedures were effective at the reasonable
assurance level as of May 31, 2015.
“Management’s Annual Report on Internal Control Over Financial Reporting”
is included in Item 8 of this Report.
We have commenced several transformation initiatives to centralize and
simplify our business processes and systems. These are long-term initiatives,
which we believe will enhance our internal control over financial reporting due
to increased automation and further integration of related processes. We will
continue to monitor our internal control over financial reporting for
effectiveness throughout the transformation.
There have not been any other changes in our internal control over financial
reporting during our most recent fiscal quarter that have materially affected, or
are reasonable likely to materially affect, our internal control over financial
reporting.
ITEM 9B. Other Information
No disclosure is required under this Item.
134