The ratings on Beaverton, Ore.-based NIKE Inc. reflect Standard&Poor's Ratings Services' view that the company has a strong business risk profile with top market positions in its core global markets, good geographic diversification, and solid operating performance through the recent recession. In addition, we characterize NIKE's financial risk profile as modest because of its strong credit metrics and exceptional liquidity position. However, we believe NIKE is exposed to changing consumer preferences in the very competitive and marketing-intensive athletic footwear and apparel industry. NIKE is the world's largest seller of athletic footwear and athletic apparel. It has maintained its brand strength, and its market position is more than twice that of its nearest competitor. We believe intense competition from
