1. KOHL’S Expect Great Things®
A BA495 Presentation By:
Bret Overbaugh,
Shayna Overbaugh
And
Nick Phillips
Fall 2006

2. A Short History of KOHL’S
Kohl's opens its doors with its first store located in Brookfield, WI.
Kohl's is purchased by a group of investors led by Kohl's senior management. The company opens its 40th store.
Kohl's offers 11.1 million shares of the company's stock to the public in one of the largest initial public stock offerings ever made by a Wisconsin company.

3. A Short History of KOHL’S
Kohl's joins the S&P 500
Kohl's Corporation reports its fourth consecutive year of earnings growth over 30%.
Kohl's opens 60 stores to operate 320 stores in 26 states by year-end.
CEO Larry Montgomery becomes the chairman of the board of directors.

4. A Short History of KOHL’S
Kohl's opens 95 stores including five new markets in California, making it the company's largest state with a total of 62 stores. By the end of fiscal year 2004, customers are shopping at Kohl's in 40 states through 637 stores.
Kohl's opens 85 new stores, including its expansion into the Northwest. Kohl’s is now at 732 total stores. In Oregon 9 new stores are planned by Currently 4 are open in Portland/Vancouver and one in the Eugene/Springfield area.
Future – Kohl’s expects to reach 1,232 stores by year’s end 2010.

5. Would I Know A Kohl’s If I saw One?
Kohl’s operates stores in three settings:
The Stand-Alone
(Plover, WI)
The Big Box Mall
(Gateway Center - Springfield, OR)
The Lifestyle Center
(Bella Terra - Huntington Beach,CA)

6. KOHL’S Mission Statement
To be the leading family-focused, value-oriented, specialty department store offering quality exclusive and national brand merchandise to the customer in an environment that is convenient, friendly and exciting.

7. Some Basic Facts
Kohl’s Target Market – “A two-income family with kids at home. They don't have a lot of time, and they are looking for value.” – CEO Lawrence Montgomery
Kohl’s Marketing Mix –
32.6% Women’s
18.6% Men’s
18.4% Home
13.4% Children’s
9.2% Accessories

8. Some Current Statistics
2005 Net Sales = $13.4 Billion. Up 14.5 %
ROI Annual rate 22.2%
Earnings per share annual growth rate 25.7%
Ranked 166th on Fortune 500, up from 168th the previous year.
Figures from Kohl’s Corp Form 10-K

9. Kohl’s National SWOT Analysis
Strengths
Balanced Brand Mix
Robust Distribution Network
Strong Profitability
Weaknesses
Weak Presence in Key Markets
Low comparable store sales growth
Opportunities
Store Expansion
Growth in Private Label Products
Threats
Industry Consolidation
Increasing Rental Rates
Weakening Consumer Spending
Results provided by DATAMONITOR – July 2006

10. Kohl’s Springfield SWOT Analysis
Strengths
Strong brand mix – Private label and nationally known brands
Clean appearance – Well designed/good layout
Good highway (I-5) access in expanding area of town
Weaknesses
New to market area and the northwest
At edge of the mall, away from core and food court
Opportunities
Growth potential with new highway interchange
New businesses locating in area to provide more traffic
Sears is moving away from clothing, opening more opportunity for sales
Threats
Sears
Target
Valley River Center

11. Community Involvement
US Youth Soccer Sponsorship
Children's Hospital Partnerships

12. Resources BusinessWeek On-Line – Q&A with Kohl’s Lawrence Montgomery
DATAMONITOR – July 2006 Kohl’s SWOT Analysis
Kohl’s website
Fortune – Fortune 500 for 2006
Google Images