+

Kelly BossoltMartaKovorotnaSarah Smith

+Executive Summary:

Industry Overview Company History Financial Analysis Internal Analysis External Analysis Recommendations Questions

+Industry Overview:

2008: Grew 3% Valued at $1,025.9 Billion

2013: Said to increase by 15%

Consumers have power

Technology is crucial: Maintenance and Inventory

How big is the apparel retail industry?

+Company History: Growth in the early years

Leslie Wexner: Founder

1963: $5,000=Birth of The Limited

Year One: Exceeded goal to gross $100,000 by

$62,000

1965: Corporate headquarters 100 employees

1968: Sales reach $1 million

+Company History: Growth in the early years

1969: IPO

1978: Purchased of Mast industries Gained access to 150 production facilities

1982: NYSE

1986: Sales reach $3 billion

1989: Forbes rates The Limited Brands Inc. 1st in growth and profitability

2003: FOURTUNE : “World’s most admired specialty retailer”

+Financial Analysis: Industry and Competitor Comparison

Company: EBITDA 2011: Debt-to-Equity 2011: Price-to-Earnings 2011:

Ltd Inc. 1.72B 3.11 14.57

Abercrombie & Fitch 567.24M .036 16.11

Gap Inc. 2.52B .33 10.38

LVMH Moet Henessy, LV 5.11B .28 20.5

Industry 11.92B .31 28.78

Pros: Cons:

Strong P/E ratio Highly leveraged with $3.11 of debt to every dollar of equity. Industry average is $.31.

+Financial Analysis: 2010

90,000 associates 2,600 stores in the U.S. 5 brands Record Sales of $9.6 Billion

+Internal Analysis: The Brands

Inspire

Empower

Indulge

SexyBold

+Internal Analysis: Resources

Quality Reputation Market Position Store Locations Technology MAST

+Internal Analysis: Capabilities

Brand Equity Lean Inventory Inventory

Turnover Premium Prices International

market Sourcing &

Logistics

+Internal Analysis: Competitive Advantage

Brand Name Technology Consumer Market (NOT market

share)

+Internal Analysis: Sustaining Competitive Advantage

Easy Imitation Differentiation

Slow and Steady 360 Degree Brand

Potential

+External Analysis: Customers

Target markets Merchandise seasonal

transition New product lines

Top fashion Higher prices Unique items

Seasonal Sale Slower economy

Frequent sales Higher markdowns

+External Analysis: Complements

Victoria’s Secret & Pink La Senza

Body and skin care products Fragrances Makeup

Bath & Body Works Gift wraps Accessories

Henry Bendel Home fragrances and candles Beauty and fragrance Gift wraps

+External Analysis: Suppliers and Partners

More than 1,000 suppliers around the world MAST

Supplier Diversity Program Accel, Inc.

Tara Abraham Millcraft Paper Company

World Financial Capital Bank

+External Analysis: Suppliers and Partners

Business Council for Global Development

Trade, Aid and Security Coalition

Pacific Links Foundation American Association of

Textile Chemists and Colorists

Consumer Specialty Association

National Candle Association

+External Analysis: Suppliers and Partners

US EPA Climate Leaders, WasteWise, SmartWay

Forest Ethics Recognition

2005 EPA Gold Achievement Award

2007 EPA Environmental Excellence Award

2011 1st place Team in Komen Race for Cure

+External Analysis: Substitutes and Competition

Gap Banana Republic, Old Navy,

Piperlime, Athleta LVMH Moet Hennessy Louis

Vuitton Dom Perignon, Fendy, Marc

Jacobs, DKNY Hanesbrands

Hanes, Champion, Playtex, Bali, Just my Size, etc.

American Eagle’s Aerie Abercrombies’ Gilly Hicks

+External Analysis: Substitutes and Competition

Sephora Christian Dior, Guerlain,

Givenchy, etc. The Body Shop

L’oreal

+Recommendations:

International Growth Reduce the Debt-to-Equity ratio Sell More, Offer Less Relationship Building

+Questions???