The ratings on Beaverton, Ore.-based NIKE Inc. reflect its leading global position in sales of athletic footwear and apparel, geographic and customer diversification, and strong financial profile. Somewhat offsetting these strengths is the company's exposure to changing consumer preferences in this very competitive and marketing-intensive industry. NIKE continues to hold the No. 1 market share in U.S. athletic footwear, and has strong positions internationally. NIKE has maintained its brand strength, and its U.S. market share remains significantly more than twice that of its nearest competitor. However, Standard&Poor's Ratings Services expects competition in this segment will intensify with the adidas-Salomon AG and Reebok International Ltd. merger, and continued competition from the many smaller domestic and international players. NIKE also
