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Consumer and Retail Industry Update

January 2013

January 2013

For more information regarding our consumer experience, please contact: Glenn Gurtcheff (ggurtcheff@harriswilliams.com) or Tim Alexander (talexander@harriswilliams.com) at +1 (612) 359-2700; John Neuner IV (jneuner@harriswilliams.com) at +1 (804) 648-0072; or Red Norrie (rnorrie@harriswilliams.com) at

+44 20 7518 8906.

• The TJX Companies has announced the purchase of Sierra Trading Post, a top 100 Internet retailer offering outdoor gear, shoes, clothing, and accessories. Harris Williams & Co. acted as the exclusive advisor to Sierra Trading Post. Read the article here.

• Tinicum Capital Partners has announced the sale of Plano Molding Company, the premier supplier of outdoor sports storage systems, to Ontario Teachers’ Pension Plan. Harris Williams & Co. acted as the exclusive advisor to Plano Molding Company in this transaction. Read the article here.

• The New York Times has reported that many major American retailers were able to recover from a slow start to December shopping. Read the article here.

• The Wall Street Journal has reported that Gap Inc. has agreed to purchase women’s fashion boutique Intermix Inc. for $130 million. Read the article here.

Consumer and Retail Industry Update

1 of 16

Richmond Phone: +1 (804) 648-0072 Fax: +1 (804) 648-0073

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Fax: +1 (612) 359-2701

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Fax: +1 (267) 675-5901

San Francisco Phone: +1 (415) 288-4260 Fax: +1 (415) 288-4269

Contacts

What We’ve Been Reading

January 2013

Equity Trading Overview

Key Trading Statistics

(detail begins on page 6)

Public Company

Sector Performance (12-month %

change in stock price)

Change in Stock Price3 mos. 12 mos. Revenue EBITDA Revenue EBITDA

Consumer ProductsApparel & Footwear 35 $1,423 1.2% 22.0% 1.14x 9.4x 1.11x 8.1xAutomotive Products 12 2,903 2.7% 25.6% 0.58x 10.8x 0.53x 9.9xHome & Office Furniture & Furnishings 14 870 10.3% 20.7% 0.66x 9.3x 0.69x 7.7xHousehold Products 11 5,467 7.2% 32.6% 1.43x 9.3x 1.40x 8.8xPersonal Care Products 15 2,290 (0.8%) 18.3% 1.40x 8.7x 1.30x 9.5xRecreational & Leisure Products 20 533 2.9% 32.3% 0.93x 8.8x 1.04x 7.1x

RetailApparel & Footwear Retail 43 880 (6.3%) 28.7% 0.62x 6.4x 0.59x 5.7xCatalog & Specialty Distribution 8 254 (1.7%) 12.4% 0.34x 8.5x 0.16x 7.9xDepartment Chains 9 6,961 (2.6%) 10.0% 0.62x 6.5x 0.60x 6.6xDiscount Stores & Mass Merchants 13 2,308 (5.0%) 13.1% 0.60x 7.8x 0.62x 7.5xFurniture & Furnishings Retailers 13 1,363 2.0% 13.0% 1.00x 8.0x 0.97x 7.3xInternet Retail 13 613 8.3% 11.9% 1.37x 15.9x 1.14x 10.2xSpecialty & Other Retail 29 1,331 1.3% 21.4% 0.65x 9.1x 0.61x 8.5xConsumer Products 107 $1,857 2.8% 23.8% 1.04x 9.3x 1.07x 8.5xRetail 128 $1,331 (1.7%) 13.0% 0.62x 8.0x 0.61x 7.5xConsumer & Retail Index 235 $1,363 1.3% 20.7% 0.66x 8.8x 0.69x 7.9x

SectorNumber of Companies

Median Enterprise

Value ($mm)

Median TEV/Forward Mulitples

Median TEV/LTM Multiples

2 of 16

Department Chains

Internet Retail

Catalog & Specialty Distribution

Furniture & Furnishings Retailers

Discount Stores & Mass Merchants

S&P 500

Personal Care Products

Home & Office Furniture & Furnishings

Consumer & Retail Index

Specialty & Other Retail

Apparel & Footwear

Automotive Products

Apparel & Footwear Retail

Recreational & Leisure Products

Household Products

0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% 45.0%

January 2013

50

75

100

125

150

175

200

225

Jan-09 Jul-09 Jan-10 Jul-10 Jan-11 Jul-11 Jan-12 Jul-12 Jan-13

Index

Dow Jones U.S. Consumer Goods Index Dow Jones Retail Index S&P 500 Index

Recent Equity Offerings

Equity Markets Overview

Consumer and Retail

Industry Stock Performance

3 of 16

Close Date Filing Date Issuer TickerTransaction

TypeGross Proceeds

($mm) Use of Funds12/20/12 12/20/12 SW China Imports Inc SWCI Follow-On $16.2 General Corp. Purp.

12/13/12 03/13/12 Harbinger Group Inc HRG Follow-On 150.0 General Corp. Purp.

12/07/12 04/18/12 Conn's Inc CONN Follow-On 169.2 Investment in Securities, Repayment of Debt

11/19/12 10/16/12 Hudsons Bay Co TSX:HBC IPO 366.4 General. Corp. Purp. / Working Capital

11/08/12 10/16/2012 Tumi Holdings Inc TUMI Follow-On 213.1 General Corp. Purp.

11/01/12 09/09/11 Restoration Hardware Holdings, Inc. RH IPO 142.5 General Corp. Purp. / Repayment of Debt

10/19/12 9/24/2012 Aspen Group Inc ASPU Follow-On 52.6 General Corp. Purp.

10/10/12 09/26/12 Bauer Performance Sports Ltd BAU Follow-On 41.6 General Corp. Purp.

10/08/12 04/30/12 Sears Hometown & Outlet Stores SHOS Rights Offering 346.5 General Corp. Purp.

10/03/12 09/13/12 WageWorks Inc WAGE Follow-On 105.0 General Corporate Purp. / Working Capital

10/03/12 09/19/12 Mattress Firm Holding Corp MFRM Follow-On 162.3 General Corporate Purp. / Working Capital

09/27/12 03/01/10 Dollar General Corp DG Follow-On 2,142.5 General Corp. Purp.

09/13/12 09/13/12 WageWorks Inc WAGE Follow-On 100.0 General Corp. Purp.

09/13/12 09/11/12 Jarden Corp JAH Convertible 450.0 General Corp. Purp.

86.9%

63.4%

57.4%

January 2013

Announced Consumer Transactions Median Consumer Transaction Multiples

Consumer Private Equity Investments and Exits Median LTM Trading Multiples

Last 10 Deals Announced Quarterly Consumer M&A Activity

LTM Deal Statistics

Note: Transactions based on publicly available information

M&A Overview

Announced Consumer and Retail

M&A

Consumer and Retail M&A

Trends

Median LTM Trading

Multiples and Announced

Private Equity M&A Activity

Aggregate Number Transaction MultiplesValue ($bn) of Deals EV / Revenue EV / EBITDA

$38.3 421 0.90x 10.0x

4 of 16

48 4937

6572 72

61 56 56 5563

4763 66

98

129

11 10

4

69 5

10 13 13 1210

18

1420

23

14

0

20

40

60

80

100

120

140

160

1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12

Num

ber

of T

rans

actio

ns__

PEG Acquirer Strategic Acquirer

11.2x 11.0x 10.3x

8.9x 8.4x

10.7x 10.0x

0.00x

0.25x

0.50x

0.75x

1.00x

1.25x

1.50x

1.75x

0.0x

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

14.0x

16.0x

2006 2007 2008 2009 2010 2011 2012

EV / LTM

Sales Multiple__EV

/ LTM

EBI

TDA

Mul

tiple

__

EV / LTM EBITDA EV / LTM Sales

58

81

73

97

111

72

3137

53

71

33

53 5459

71

48

28

5953

75

0

20

40

60

80

100

120

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Num

ber

of I

nves

tmen

ts'

Number of Investments Number of Exits

$84.9 $79.7

$22.1 $28.6 $29.7

$40.3 $38.3

0

50

100

150

200

250

300

350

400

450

500

$0

$20

$40

$60

$80

$100

$120

2006 2007 2008 2009 2010 2011 2012

Num

ber of Transactions__

Agg

rega

te T

rans

actio

n V

alue

($ in

bill

ions

)

Aggregate Deal Value # of deals

9.4x

10.3x 10.6x 10.5x9.9x 9.7x

10.3x10.7x

10.9x

10.0x 9.9x 9.7x

8.3x 8.5x

9.5x9.2x

8.7x9.1x 9.0x 9.1x 9.3x 9.2x 9.1x

8.8x

0.0x

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

Med

ian

Trad

ing

Mul

tiple

s

Consumer Products Retail

Announced Target Buyer1/3/2013 Plano Molding Co. Teachers' Private Capital1/3/2013 Intermix, Inc. Gap Inc.1/2/2013 Simplicity Creative Group Wilton Brands Inc.1/2/2013 Shawnee Mission Kia Group 1 Automotive Inc.1/2/2013 Everything Automotive, LLC Service King Paint & Body, LLC12/31/2012 Viking Range Corporation Middleby Corp.12/31/2012 Cuddledown, Inc. Potpourri Group Inc.12/28/2012 Ogden Auto Body, Inc. ABRA, Inc.12/28/2012 Rio Grande Richline Group, Inc.12/27/2012 Buffalo Studios LLC Playtika Ltd.

January 2013

Date Effective Borrower Name Description Deal Amount Type Rating Spread01/02/13 Vestcom International Inc Miscellaneous retail stores $172,000,000 Term Loan B NR / NR 57501/02/13 Vestcom International Inc Miscellaneous retail stores 25,000,000 Revolver/Line >= 1 Yr. NR / NR 57512/31/12 Drees Co Single-family housing construction 200,000,000 Revolver/Line >= 1 Yr. NR / NR N/A12/28/12 Associated Food Stores Inc Groceries, general line 15,000,000 Revolver/Line >= 1 Yr. NR / NR 22512/28/12 Associated Food Stores Inc Groceries, general line 87,500,000 Term Loan NR / NR 22512/28/12 Bradshaw International Household appliance stores 125,000,000 Term Loan NR / NR 45012/28/12 Bradshaw International Household appliance stores 45,000,000 Revolver/Line >= 1 Yr. NR / NR 45012/26/12 Casino Queen Inc Amusement and recreation 105,000,000 Term Loan A NR / NR 45012/26/12 Casino Queen Inc Amusement and recreation 2,000,000 Revolver/Line >= 1 Yr. NR / NR 45012/26/12 Casino Queen Inc Amusement and recreation 25,000,000 Term Loan NR / NR 90012/21/12 Select Product Group LP Sanitary paper products 110,000,000 Term Loan A NR / NR 40012/21/12 Select Product Group LP Sanitary paper products 25,000,000 Revolver/Line >= 1 Yr. NR / NR 40012/21/12 Tom James, Tom James Men's & boys' clothing stores 25,000,000 Term Loan NR / NR 212.512/21/12 VVF Ltd, VVF Ltd Soap and other detergents 15,000,000 Revolver/Line >= 1 Yr. NR / NR 262.512/21/12 VVF Ltd, VVF Ltd Soap and other detergents 3,000,000 Delay Draw Term Loan NR / NR 262.512/21/12 VVF Ltd, VVF Ltd Soap and other detergents 8,000,000 Term Loan A NR / NR 262.512/21/12 Weber-Stephen Products Co Household cooking equipment 285,000,000 Revolver/Line >= 1 Yr. NR / NR 15012/21/12 Weber-Stephen Products Co Household cooking equipment 170,000,000 Term Loan A NR / NR 15012/20/12 Daymon Worldwide Inc Groceries, general line 105,000,000 Term Loan NR / NR 20012/20/12 Daymon Worldwide Inc Groceries, general line 25,000,000 Revolver/Line >= 1 Yr. NR / NR 20012/20/12 Hunter Fan Co Electric housewares and fans 25,000,000 Revolver/Line >= 1 Yr. B+ / B1 N/A12/20/12 Hunter Fan Co Electric housewares and fans 100,000,000 Term Loan B B+ / B1 52512/20/12 Hunter Fan Co Electric housewares and fans 55,000,000 Term Loan B+ / B1 92512/20/12 IAC/InterActiveCorp Catalog and mail-order houses 300,000,000 Revolver/Line >= 1 Yr. BB+ / Ba1 150

Key Retail Credit Statistics

Recent Consumer and

Retail Debt Offerings

Average Secondary Spread

Average Spread on Retail Loans

Credit Statistics

Quarterly Retail Loan Volume

Debt Market Overview

5 of 16

$0

$2

$4

$6

$8

$10

$12

4Q06 2Q07 4Q07 2Q08 4Q08 2Q09 4Q09 2Q10 4Q10 2Q11 4Q11 2Q12 4Q12

Loa

n V

olum

e by

Qua

rter

($ in

bill

ions

)___

Pro Rata Institutional

L + 0

L + 100

L + 200

L + 300

L + 400

L + 500

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Ave

rage

Spr

ead

Ove

r LIB

OR

__

Revolving Credit / Term Loan A Weighted-Average Institutional

L + 0

L + 200

L + 400

L + 600

L + 800

L + 1000

L + 1200

Ave

rage

Spr

ead

Ove

r L

IBO

R

0.0x

2.0x

4.0x

6.0x

8.0x

Debt/EBITDA Senior Debt/EBITDA

EBITDA/Cash Interest

EBITDA -Capex/Cash Interest

EB

ITD

A M

ultip

le

2007 2008 2009 2010 2011 2012

Consumer and Retail Industry Update

January 2013

6 of 16

Price at As a % of Market Cash & Enterprise LTM P/E($ in millions, except per share data) Ticker 1/7/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Consumer ProductsApparel & FootwearCarter's, Inc. CRI $58.43 99.8% $3,449 $186 $254 $3,381 $2,299 $285 15.0% 13.1% 37.4% 12.4% 23.7x 1.47x 11.9x 1.33x 9.8xCherokee Inc. CHKE 13.53 88.5% 114 13 2 125 27 13 (1.6%) (5.2%) NM 50.6% 15.6x 4.72x 9.3x 4.37x NACoach, Inc. COH 55.63 69.8% 15,782 23 761 15,044 4,874 1,659 13.4% 14.6% 72.8% 34.0% 15.6x 3.09x 9.1x 2.77x 8.2xColumbia Sportswear Company COLM 52.93 90.5% 1,797 10 96 1,710 1,695 185 4.3% 11.0% 43.3% 10.9% 18.6x 1.01x 9.2x 0.98x 8.5xCrocs, Inc. CROX 15.36 68.0% 1,397 11 315 1,094 1,102 194 12.9% 20.1% 54.6% 17.6% 10.0x 0.99x 5.6x 0.88x 5.1xDeckers Outdoor Corp. DECK 38.98 42.2% 1,374 275 62 1,588 1,401 258 16.4% 22.1% 46.7% 18.4% 9.6x 1.13x 6.2x 1.09x 7.7xDelta Apparel Inc. DLA 13.77 71.4% 115 103 2 216 497 18 1.2% 11.0% 20.2% 3.6% NM 0.43x 12.0x NA NAG-III Apparel Group, Ltd. GIII 34.83 88.2% 700 284 40 944 1,319 106 9.3% 19.2% 31.6% 8.1% 13.1x 0.72x 8.9x 0.63x 7.5xGildemeister AG GIL 21.96 99.3% 1,282 31 189 1,123 2,493 198 7.7% 6.9% 45.9% 7.9% 12.8x 0.45x 5.7x NA NAHanesbrands Inc. HBI 36.78 99.1% 3,599 1,890 182 5,307 4,676 487 4.3% 5.9% 29.9% 10.4% 16.9x 1.13x 10.9x 1.15x 8.4xIconix Brand Group, Inc. ICON 22.40 97.2% 1,528 476 51 1,953 364 231 0.5% 18.2% NM 63.4% 14.8x 5.36x 8.5x 5.03x 7.9xThe Jones Group Inc. JNY 11.38 81.4% 911 960 234 1,637 3,720 232 (1.2%) 3.1% 36.4% 6.2% NM 0.44x 7.0x 0.42x 5.4xThe KCP Limited KCP 0.81 93.9% 105 71 10 165 200 38 56.6% NA 35.7% 18.9% 5.5x 0.83x 4.4x NA NAK-Swiss Inc. KSWS 3.20 69.7% 114 6 40 80 232 (35) (11.1%) (2.8%) 33.1% NM NM 0.34x NM 0.34x NMFifth & Pacific Companies, Inc. FNP 13.30 86.4% 1,505 418 31 1,892 1,466 30 (1.5%) (22.3%) 55.5% 2.0% 13.0x 1.29x NM 1.19x 14.4xMaidenform Brands, Inc. MFB 19.68 74.6% 464 68 73 460 590 50 (1.8%) 9.3% 29.6% 8.5% 18.5x 0.78x 9.1x 0.75x 6.7xNike Inc. NKE 52.96 92.3% 47,723 328 3,525 44,526 25,118 3,441 10.9% 11.0% 43.1% 13.7% 22.4x 1.77x 12.9x 1.70x 11.3xOxford Industries Inc. OXM 47.29 79.7% 784 130 6 908 819 103 14.2% 8.5% 54.7% 12.6% 23.6x 1.11x 8.8x 1.00x 7.5xPerry Ellis International Inc. PERY 19.80 85.1% 290 174 52 412 941 58 (1.8%) 7.9% 32.4% 6.2% 24.9x 0.44x 7.1x 0.39x 5.8xPVH Corp. PVH 117.04 99.6% 8,268 1,874 277 9,866 5,940 779 3.2% 36.0% 53.0% 13.1% 20.2x 1.66x 12.7x 1.49x 9.8xRalph Lauren Corporation RL 161.52 88.5% 14,777 266 1,013 14,030 6,884 1,289 7.5% 12.2% 58.8% 18.7% 22.8x 2.04x 10.9x 1.91x 10.0xQuiksilver Inc. ZQK 5.29 97.4% 874 783 82 1,576 2,013 117 3.1% 0.6% 48.7% 5.8% NM 0.78x 13.5x 0.75x 8.9xRocky Brands, Inc. RCKY 13.21 92.2% 99 42 4 137 234 21 (3.3%) 0.1% 35.0% 9.0% 15.1x 0.59x 6.5x 0.55x NASkechers USA Inc. SKX 18.34 82.0% 926 138 308 756 1,456 1 (18.4%) 2.6% 43.6% 0.1% NM 0.52x NM 0.44x 7.0xSteven Madden, Ltd. SHOO 42.94 92.2% 1,971 0 75 1,896 1,191 191 40.2% 35.1% 36.2% 16.1% 17.0x 1.59x 9.9x 1.43x 8.4xSummer Infant, Inc. SUMR 2.06 29.6% 37 81 12 106 244 12 4.4% 18.0% 33.4% 5.1% NM 0.44x 8.6x 0.41x 6.6xTaiga Building Products Ltd. TBL 0.65 71.3% 26 254 0 281 1,072 39 15.0% 8.5% 9.6% 3.6% 4.0x 0.26x 7.2x NA NATrue Religion Apparel Inc. TRLG 25.46 67.3% 645 0 169 476 450 91 9.3% 15.6% 64.0% 20.1% 13.6x 1.06x 5.3x 0.98x 5.5xTumi Holdings, Inc. TUMI 20.93 72.9% 1,420 52 16 1,456 379 79 21.0% NA 57.7% 20.8% 38.1x 3.85x 18.5x 3.23x 14.6xUnder Armour, Inc. UA 48.43 79.4% 5,068 72 157 4,984 1,732 224 26.4% 28.7% 48.1% 13.0% 45.9x 2.88x 22.2x 2.35x 17.0xV.F. Corporation VFC 149.38 88.0% 16,455 2,574 305 18,724 10,757 1,600 24.0% 14.2% 45.9% 14.9% 16.6x 1.74x 11.7x 1.62x 9.8xVera Bradley, Inc. VRA 24.35 61.7% 988 35 4 1,019 513 113 17.8% 29.1% 56.5% 22.0% 15.5x 1.99x 9.0x 1.76x 8.2xWarnaco Group Inc. WRC 72.79 99.9% 2,982 255 311 2,926 2,406 288 (3.4%) 7.1% 43.5% 12.0% 39.6x 1.22x 10.1x 1.15x 7.7xWeyco Group Inc. WEYS 22.83 83.8% 248 44 14 277 290 28 12.1% 10.2% 38.6% 9.8% 14.8x 0.96x 9.7x 0.89x NAWolverine World Wide Inc. WWW 39.99 83.3% 1,960 27 144 1,843 1,395 162 0.5% 7.1% 38.6% 11.6% 18.3x 1.32x 11.4x 0.70x 6.7x

Mean 81.9% $3,994 $342 $252 $4,083 $2,594 $360 8.8% 11.4% 42.9% 14.7% 18.6x 1.44x 9.8x 1.41x 8.7xMedian 85.1% $1,282 $103 $75 $1,456 $1,319 $117 7.5% 11.0% 43.3% 12.2% 16.6x 1.11x 9.2x 1.09x 8.2x

Automotive ProductsAmerica's Car-Mart Inc. CRMT $40.49 82.3% $365 $94 $0 $458 $439 $57 7.8% 11.4% 28.9% 13.0% 12.3x 1.04x 8.0x 0.98x 7.9xAsbury Automotive Group, Inc. ABG 33.54 96.6% 1,057 899 6 1,950 4,613 194 12.0% 8.0% 16.6% 4.2% 13.3x 0.42x 10.1x 0.40x 9.0xAutoNation Inc. AN 41.67 85.8% 5,074 4,093 99 9,068 15,174 708 13.2% 13.2% 16.0% 4.7% 17.8x 0.60x 12.8x 0.55x 11.8xAutoZone, Inc. AZO 356.17 89.2% 12,940 3,803 119 16,624 8,671 1,865 5.7% 7.8% 51.7% 21.5% 14.7x 1.92x 8.9x 1.79x 8.3xCarMax Inc. KMX 37.21 97.1% 8,492 5,738 445 13,785 10,900 806 8.7% 14.6% 15.8% 7.4% 20.4x 1.26x 17.1x 1.18x 15.7xGroup 1 Automotive Inc. GPI 64.58 97.1% 1,390 1,577 39 2,928 7,163 265 21.6% 16.7% 15.1% 3.7% 14.7x 0.41x 11.0x 0.37x 10.1x

Last Twelve Months (LTM) EV / LTM EV / 2013ERevenue Growth LTM Margins

Consumer and Retail Industry Update

January 2013

7 of 16

Price at As a % of Market Cash & Enterprise LTM P/E($ in millions, except per share data) Ticker 1/7/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Automotive Products (Cont.)Lithia Motors Inc. LAD $38.99 95.1% $996 $779 $20 $1,755 $3,217 $161 30.2% 20.0% 16.4% 5.0% 13.4x 0.55x 10.9x 0.49x 10.2xMonro Muffler Brake Inc. MNRO 36.08 75.8% 1,129 96 2 1,223 694 106 6.1% 11.5% 39.2% 15.3% 24.7x 1.76x 11.5x 1.54x 12.1xO'Reilly Automotive Inc. ORLY 90.05 84.1% 10,322 1,096 423 10,995 6,085 1,134 6.6% 8.3% 50.0% 18.6% 19.8x 1.81x 9.7x 1.70x 9.2xPenske Automotive Group, Inc. PAG 31.48 97.3% 2,842 2,790 26 5,606 13,096 404 18.0% 12.4% 15.3% 3.1% 15.4x 0.43x 13.9x 0.40x 13.2xPep Boys - Manny, Moe & Jack PBY 10.01 64.7% 532 202 79 655 2,065 117 1.4% 2.4% 28.5% 5.7% 23.2x 0.32x 5.6x 0.31x 5.0xSonic Automotive Inc. SAH 22.57 97.0% 1,271 1,618 62 2,827 8,502 274 14.0% 10.1% 14.9% 3.2% 16.5x 0.33x 10.3x 0.31x 9.5x

Mean 88.5% $3,867 $1,899 $110 $5,656 $6,718 $508 12.1% 11.4% 25.7% 8.8% 17.2x 0.90x 10.8x 0.84x 10.2xMedian 92.2% $1,331 $1,336 $51 $2,878 $6,624 $270 10.3% 11.5% 16.5% 5.3% 15.9x 0.57x 10.6x 0.52x 9.8x

Home & Office Furniture & FurnishingsFurniture Brands International Inc. FBN $1.07 51.0% $60 $83 $16 $128 $1,064 ($6) (5.7%) (7.5%) 23.3% NM NM 0.12x NM 0.12x NAHerman Miller Inc. MLHR 22.29 95.2% 1,299 250 195 1,354 1,712 151 (2.7%) 8.5% 34.0% 8.8% 23.7x 0.79x 9.0x 0.73x 6.9xHNI Corp. HNI 30.72 95.9% 1,387 194 57 1,525 1,977 134 9.9% 2.1% 34.5% 6.8% 28.5x 0.77x 11.4x 0.75x 10.2xHooker Furniture Corp. HOFT 14.60 96.1% 157 0 33 124 213 13 (4.5%) 0.9% 22.8% 6.1% 28.3x 0.58x 9.5x 0.54x 7.5xKid Brands, Inc. KID 1.68 42.3% 37 55 1 91 235 3 (11.4%) 0.4% 23.1% 1.3% NM 0.39x 29.4x 0.38x NAKimball International, Inc. KBAL.B 11.60 87.5% 345 0 78 268 1,160 58 (1.6%) 0.5% 18.8% 5.0% 26.5x 0.23x 4.6x 0.22x NAKnoll Inc. KNL 15.73 89.8% 736 203 11 928 861 98 (8.3%) (0.5%) 32.8% 11.4% 14.8x 1.08x 9.5x 1.00x 8.7xLeggett & Platt, Incorporated LEG 27.40 96.9% 3,871 1,062 265 4,668 3,722 427 3.9% 5.5% 19.3% 11.5% 22.1x 1.25x 10.9x 1.21x 9.3xLibbey Inc. LBY 18.90 94.8% 391 471 33 828 824 126 (0.4%) 4.2% 23.2% 15.3% NM 1.01x 6.5x 0.98x 6.1xNatuzzi SpA NTZ 1.99 52.1% 109 52 104 58 606 (5) (7.8%) (8.7%) 33.5% NM NM 0.10x NM NA NASealy Corporation ZZ 2.19 89.4% 227 761 89 899 1,259 118 0.1% (0.6%) 39.4% 9.3% NM 0.71x 7.6x 0.69x 6.5xSteelcase Inc. SCS 13.15 98.1% 1,646 290 213 1,722 2,838 200 5.8% 5.8% 30.6% 7.0% 20.7x 0.61x 8.6x 0.58x 6.8xTempur-Pedic International Inc. TPX 33.51 38.3% 1,997 652 152 2,497 1,429 319 6.3% 22.6% 51.5% 22.3% 15.5x 1.75x 7.8x 1.79x 8.9xThe Dixie Group, Inc. DXYN 3.61 75.4% 45 76 0 122 261 11 (3.4%) 7.0% 24.7% 4.4% NM 0.47x 10.6x 0.44x NA

Mean 78.8% $879 $296 $89 $1,087 $1,297 $118 (1.4%) 2.9% 29.4% 9.1% 22.5x 0.70x 10.5x 0.73x 7.9xMedian 89.6% $368 $199 $67 $863 $1,112 $108 (2.2%) 1.5% 27.7% 7.9% 22.9x 0.66x 9.2x 0.69x 7.5x

Household ProductsCentral Garden & Pet Co. CENT $9.40 74.5% $475 $450 $71 $854 $1,700 $110 4.4% 1.7% 30.2% 6.5% 21.4x 0.50x 7.7x 0.49x 6.6xThe Clorox Company CLX 74.41 97.0% 9,708 3,021 667 12,062 5,501 1,096 4.4% 0.8% 42.4% 19.9% 18.0x 2.19x 11.0x 2.12x 10.2xiRobot Corporation IRBT 20.56 53.6% 571 0 190 381 466 60 3.9% 17.5% 41.7% 12.9% 17.1x 0.82x 6.3x 0.84x 11.2xJarden Corp. JAH 53.59 96.1% 4,187 3,829 887 7,129 6,615 792 (0.2%) 9.0% 28.4% 12.0% 20.2x 1.08x 9.0x 1.04x 8.1xNewell Rubbermaid Inc. NWL 22.14 96.9% 6,367 2,164 251 8,280 5,879 909 1.2% 1.6% 37.9% 15.5% 17.3x 1.41x 9.1x 1.38x 8.8xPrestige Brands Holdings, Inc. PBH 19.87 90.6% 1,004 1,080 29 2,054 549 175 41.6% 22.9% 54.6% 31.8% 23.6x 3.74x 11.8x 3.26x 9.6xSnap-on Inc. SNA 79.65 97.3% 4,631 990 172 5,449 3,075 586 5.1% 7.4% 48.4% 19.1% 15.8x 1.77x 9.3x 1.78x 8.7xStanley Black & Decker, Inc. SWK 75.09 91.7% 12,625 4,320 781 16,164 11,046 1,641 11.2% 42.1% 36.6% 14.9% 22.2x 1.46x 9.8x 1.46x 8.6xToro Co. TTC 43.63 96.6% 2,546 225 126 2,645 1,959 258 4.0% 8.7% 34.4% 13.2% 20.4x 1.35x 10.2x 1.28x 9.3xTupperware Brands Corporation TUP 64.82 95.6% 3,584 656 114 4,126 2,549 437 (0.6%) 8.0% 66.9% 17.1% 18.0x 1.62x 9.5x 1.54x 8.8xWhirlpool Corp. WHR 104.37 96.7% 8,126 2,450 518 10,058 18,266 1,599 (2.8%) 3.3% 15.1% 8.8% 17.0x 0.55x 6.3x 0.54x 5.3x

Mean 89.7% $4,893 $1,744 $346 $6,291 $5,237 $697 6.6% 11.2% 39.7% 15.6% 19.2x 1.50x 9.1x 1.43x 8.7xMedian 96.1% $4,187 $1,080 $190 $5,449 $3,075 $586 4.0% 8.0% 37.9% 14.9% 18.0x 1.41x 9.3x 1.38x 8.8x

Personal Care ProductsAll for One Steeb AG XTRA:A1OS $19.78 99.0% $96 $40 $25 $111 $197 $15 62.3% 27.9% 20.7% 7.6% 26.3x 0.57x 7.4x NA NAAvon Products Inc. AVP 15.77 66.9% 6,815 3,251 1,009 9,057 11,427 1,518 0.0% 4.4% 61.5% 13.3% NM 0.79x 6.0x 0.84x 10.1x

Revenue GrowthLast Twelve Months (LTM) LTM Margins EV / LTM EV / 2013E

Consumer and Retail Industry Update

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Price at As a % of Market Cash & Enterprise LTM P/E($ in millions, except per share data) Ticker 1/7/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Personal Care Products (Cont.)Elizabeth Arden, Inc. RDEN $46.90 94.3% $1,371 $464 $41 $1,794 $1,279 $144 7.1% 6.8% 49.9% 11.2% 28.2x 1.40x 12.5x 1.25x 10.1xThe Estée Lauder Companies Inc. EL 62.00 94.5% 24,006 1,355 1,054 24,307 9,786 1,746 6.4% 10.5% 79.6% 17.8% 27.9x 2.48x 13.9x 2.33x 12.7xHerbalife Ltd. HLF 36.57 50.1% 3,950 503 322 4,131 3,898 709 17.8% 20.9% 47.4% 18.2% 9.5x 1.06x 5.8x 0.94x 5.3xKimberly-Clark Corporation KMB 84.46 95.7% 33,048 6,951 1,330 38,669 20,932 3,944 0.9% 3.8% 33.4% 18.8% 17.8x 1.85x 9.8x 1.83x 9.6xMedifast Inc. MED 27.55 82.8% 428 4 63 369 343 32 17.6% 32.4% 75.1% 9.3% 25.0x 1.08x 11.6x 0.96x 7.6xNu Skin Enterprises Inc. NUS 42.02 67.8% 2,466 212 338 2,340 2,077 362 25.9% 17.8% 83.7% 17.4% 12.7x 1.13x 6.5x 1.06x 6.0xProcter & Gamble Co. PG 68.62 96.7% 187,623 31,877 5,302 214,198 82,889 19,146 0.5% 3.2% 49.9% 23.1% 22.4x 2.58x 11.2x 2.52x 11.0xRevlon, Inc. REV 15.25 84.8% 796 1,225 45 1,976 1,395 231 0.3% 2.8% 64.1% 16.5% 19.6x 1.42x 8.6x 1.36x 6.8xSally Beauty Holdings Inc. SBH 24.19 85.3% 4,340 1,617 240 5,717 3,524 564 7.8% 10.1% 49.5% 16.0% 19.5x 1.62x 10.1x 1.52x 8.9xUlta Salon, Cosmetics & Fragrance, Inc. ULTA 96.32 93.0% 6,143 0 192 5,951 2,044 335 22.6% 20.5% 35.3% 16.4% 40.0x 2.91x 17.8x 2.34x 13.5xUSANA Health Sciences Inc. USNA 37.20 74.1% 537 1 77 461 626 99 9.2% 13.2% 82.4% 15.8% 9.2x 0.74x 4.7x 0.67x 4.1x

Mean 83.4% $20,894 $3,654 $772 $23,776 $10,801 $2,219 13.7% 13.4% 56.4% 15.5% 21.5x 1.51x 9.7x 1.47x 8.8xMedian 85.3% $3,950 $503 $240 $4,131 $2,077 $362 7.8% 10.5% 49.9% 16.4% 21.0x 1.40x 9.8x 1.30x 9.3x

Recreational & Leisure ProductsArctic Cat Inc. ACAT $35.62 75.1% $472 $0 $24 $448 $646 $72 27.8% 8.8% 22.6% 11.2% 14.1x 0.69x 6.2x 0.64x 5.6xBrunswick Corporation BC 31.26 97.7% 2,799 604 408 2,995 3,715 332 0.7% 7.9% 24.4% 8.9% 30.0x 0.81x 9.0x 0.76x 7.4xCallaway Golf Co. ELY 6.46 88.6% 459 107 59 506 868 1 (5.5%) (2.5%) 35.6% 0.1% NM 0.58x NM 0.60x 19.3xCybex International Inc. CYBI 2.51 69.7% 43 21 2 62 146 11 6.2% 5.2% 33.4% 7.5% 1.2x 0.43x 5.7x NA NAHarley-Davidson, Inc. HOG 49.03 90.3% 11,206 5,875 1,185 15,896 5,594 1,198 7.3% 2.3% 38.1% 21.4% 18.6x 2.84x 13.3x 3.02x 12.1xHasbro Inc. HAS 35.35 88.4% 4,593 1,664 720 5,536 4,135 732 (2.4%) 1.8% 49.1% 17.7% 13.5x 1.34x 7.6x 1.31x 7.1xJAKKS Pacific, Inc. JAKK 12.64 65.2% 276 148 141 283 674 27 (8.2%) (8.3%) 30.3% 4.0% NM 0.42x 10.4x 0.41x 5.9xJohnson Outdoors Inc. JOUT 20.20 92.7% 200 9 59 150 412 33 1.2% 5.0% 39.9% 8.1% 19.6x 0.36x 4.5x NA NALeapFrog Enterprises Inc. LF 9.00 73.3% 609 0 49 559 547 68 25.8% 18.4% 42.0% 12.5% 10.9x 1.02x 8.2x 0.99x 7.3xLife Time Fitness Inc. LTM 49.34 93.7% 2,048 669 9 2,708 1,103 314 11.8% 10.0% 41.1% 28.5% 19.1x 2.46x 8.6x 2.24x 7.5xMarine Products Corp. MPX 5.99 88.2% 226 0 14 213 143 10 43.7% 40.7% 19.0% 7.3% 23.0x 1.49x 20.4x 1.36x NAMattel, Inc. MAT 36.02 94.9% 12,360 1,655 282 13,732 6,319 1,346 1.3% 5.3% 52.9% 21.3% 14.9x 2.17x 10.2x 2.05x 9.5xNautilus Inc. NLS 3.91 97.8% 121 0 15 106 189 11 8.5% (1.8%) 45.3% 6.0% 18.1x 0.56x 9.3x 0.53x 6.8xNavarre Corp. NAVR 1.85 97.9% 69 0 0 69 466 9 (3.4%) (5.7%) 10.8% 1.9% NM 0.15x 7.7x 0.14x 4.7xPolaris Industries, Inc. PII 85.50 95.2% 5,900 107 413 5,594 3,122 512 24.1% 24.1% 29.3% 16.4% 21.1x 1.79x 10.9x 1.59x 9.3xPool Corp. POOL 43.43 98.9% 2,028 218 29 2,218 1,918 161 8.7% 6.9% 29.2% 8.4% 26.2x 1.16x 13.7x 1.08x 12.5xSmith & Wesson Holding Corporation SWHC 8.64 76.8% 572 47 58 562 501 111 37.2% 8.2% 35.7% 22.1% 10.0x 1.12x 5.1x 1.02x 4.5xSteinway Musical Instruments Inc. LVB 21.75 80.6% 271 68 47 292 348 34 2.3% 2.9% 31.8% 9.7% 26.6x 0.84x 8.6x 0.81x 6.3xSturm, Ruger & Co. Inc. RGR 47.34 78.8% 907 0 105 802 443 110 47.9% 18.6% 36.2% 24.8% 15.2x 1.81x 7.3x 1.65x 6.3x

Mean 86.5% $2,377 $589 $190 $2,775 $1,647 $268 12.4% 7.8% 34.0% 12.5% 17.6x 1.16x 9.3x 1.19x 8.3xMedian 88.6% $572 $68 $58 $559 $646 $72 7.3% 5.3% 35.6% 9.7% 18.4x 1.02x 8.6x 1.02x 7.2x

Revenue Growth LTM Margins EV / LTM EV / 2013ELast Twelve Months (LTM)

Consumer and Retail Industry Update

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Price at As a % of Market Cash & Enterprise LTM P/E($ in millions, except per share data) Ticker 1/7/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

RetailApparel & Footwear RetailAbercrombie & Fitch Co. ANF $47.39 87.6% $3,770 $124 $370 $3,525 $4,371 $507 9.9% 14.2% 60.6% 11.6% 36.7x 0.81x 7.0x 0.74x 5.3xAéropostale, Inc. ARO 12.79 55.5% 1,001 0 184 817 2,397 179 1.0% 4.2% 33.4% 7.5% 16.8x 0.34x 4.6x 0.33x 4.1xAmerican Apparel, Inc. APP 1.10 64.7% 117 180 7 290 602 17 12.8% 3.3% 52.9% 2.9% NM 0.48x 16.7x NA NAAmerican Eagle Outfitters, Inc. AEO 19.89 83.1% 3,939 0 545 3,394 3,427 472 13.9% 5.8% 37.3% 13.8% 19.0x 0.99x 7.2x 0.95x 5.5xANN INC ANN 33.80 85.0% 1,635 0 167 1,468 2,334 267 8.0% 8.2% 54.9% 11.4% 16.4x 0.63x 5.5x 0.58x 4.7xAscena Retail Group Inc. ASNA 18.11 80.1% 2,852 305 134 3,023 3,723 475 25.4% 34.7% 57.1% 12.8% 16.9x 0.81x 6.4x 0.61x 5.3xBebe Stores, Inc. BEBE 3.64 38.0% 307 0 161 146 522 33 3.4% (2.2%) 38.9% 6.3% 45.5x 0.28x 4.4x 0.29x 9.6xBrown Shoe Co. Inc. BWS 16.44 83.7% 705 309 41 973 2,587 135 1.1% 5.6% 38.7% 5.2% 42.5x 0.38x 7.2x 0.37x 5.8xBuckle Inc. BKE 44.27 85.6% 2,097 0 245 1,852 1,100 282 7.0% 7.9% 49.6% 25.7% 13.3x 1.68x 6.6x 1.61x 6.3xBody Central Corp. BODY 9.87 31.9% 161 0 37 124 311 31 9.8% 17.4% 33.3% 9.9% 10.4x 0.40x 4.0x 0.37x 4.3xCabela's Incorporated CAB 44.29 78.0% 3,102 2,279 266 5,115 2,976 366 7.8% 4.7% 43.7% 12.3% 18.1x 1.72x 14.0x 1.56x 12.5xCasual Male Retail Group, Inc. DXLG 4.35 92.4% 207 8 5 209 398 28 0.3% (0.8%) 45.7% 7.1% 5.8x 0.53x 7.4x 0.50x 6.1xThe Cato Corporation CATO 27.44 84.9% 804 0 255 548 934 120 (0.1%) 2.2% 38.4% 12.9% 12.6x 0.59x 4.6x 0.57x NAChico's FAS Inc. CHS 18.43 93.3% 3,016 0 371 2,644 2,498 387 18.9% 14.8% 56.2% 15.5% 17.7x 1.06x 6.8x 0.95x 5.9xChristopher & Banks Corporation CBK 5.57 95.7% 206 0 48 158 446 (34) (0.5%) (5.6%) 24.3% NM NM 0.35x NM 0.36x 29.0xCiti Trends, Inc. CTRN 13.06 79.5% 191 0 41 150 657 18 3.6% 7.5% 34.1% 2.8% NM 0.23x 8.1x 0.22x 4.1xColdwater Creek Inc. CWTR 5.11 87.4% 156 62 31 187 746 (7) (6.8%) (9.4%) 32.5% NM NM 0.25x NM 0.25x NADestination Maternity Corporation DEST 21.41 95.0% 289 15 22 282 541 48 (0.7%) 0.6% 53.7% 8.8% 14.7x 0.52x 5.9x 0.51x NADSW Inc. DSW 65.60 91.1% 2,935 0 338 2,597 2,177 285 10.0% 12.0% 39.5% 13.1% 20.7x 1.19x 9.1x 1.06x 7.5xExpress Inc. EXPR 14.84 56.5% 1,319 199 102 1,415 2,093 314 3.5% 7.6% 43.6% 15.0% 9.6x 0.68x 4.5x 0.64x 4.5xFinish Line Inc. FINL 17.17 65.6% 853 0 168 685 1,457 154 12.3% 8.5% 40.1% 10.6% 11.3x 0.47x 4.4x 0.45x 4.3xFoot Locker, Inc. FL 32.79 87.1% 4,942 133 853 4,222 5,971 693 8.3% 7.2% 43.9% 11.6% 13.5x 0.71x 6.1x 0.66x 5.3xGap Inc. GPS 31.20 82.4% 14,958 1,248 1,770 14,436 15,209 2,297 4.0% 2.7% 38.1% 15.1% 15.3x 0.95x 6.3x 0.90x 5.8xGenesco Inc. GCO 56.65 71.7% 1,368 92 40 1,420 2,531 246 18.9% 17.8% 50.4% 9.7% 12.0x 0.56x 5.8x 0.52x 5.2xGuess? Inc. GES 25.71 69.2% 2,190 11 295 1,907 2,619 378 (1.9%) 8.6% 41.1% 14.4% 11.3x 0.73x 5.0x 0.70x 5.7xHot Topic Inc. HOTT 10.45 95.0% 442 0 59 383 719 71 2.6% (1.9%) 36.7% 9.9% 27.5x 0.53x 5.4x 0.49x 5.3xJos. A Bank Clothiers Inc. JOSB 43.65 79.4% 1,220 0 275 944 1,041 182 9.3% 12.1% 59.7% 17.5% 12.8x 0.91x 5.2x 0.80x 4.5xLimited Brands, Inc. LTD 44.66 85.1% 12,879 4,594 547 16,926 10,118 1,976 (1.8%) 5.7% 47.2% 19.5% 19.1x 1.67x 8.6x 1.58x 7.9xLululemon Athletica Inc. LULU 71.10 87.7% 10,249 0 439 9,810 1,256 380 43.6% 46.9% 55.5% 30.3% 43.9x 7.81x 25.8x 6.15x 20.4xThe Men's Wearhouse, Inc. MW 32.66 79.7% 1,662 0 138 1,524 2,442 282 3.4% 8.2% 44.6% 11.5% 12.9x 0.62x 5.4x 0.59x 5.0xNew York & Company Inc. NWY 3.62 76.6% 227 0 24 204 947 19 (4.2%) (2.9%) 36.4% 2.0% NM 0.22x 10.9x 0.21x 5.0xPacific Sunwear of California Inc. PSUN 1.70 62.3% 116 75 24 166 847 (7) 9.9% (8.0%) 41.5% NM NM 0.20x NM 0.20x 20.8xRoss Stores Inc. ROST 57.57 81.3% 12,801 150 625 12,326 9,358 1,382 12.0% 10.5% 27.7% 14.8% 17.4x 1.32x 8.9x 1.21x 7.7xrue21, Inc. RUE 29.50 87.7% 701 0 44 657 853 97 16.7% 20.3% 37.8% 11.4% 17.8x 0.77x 6.7x 0.66x 5.6xShoe Carnival Inc. SCVL 20.05 81.3% 410 0 67 342 831 64 9.3% 7.5% 29.9% 7.7% 13.8x 0.41x 5.3x 0.37x 4.6xStage Stores Inc. SSI 22.71 82.8% 725 34 37 721 1,597 123 7.4% 3.1% 27.6% 7.7% 20.5x 0.45x 5.9x 0.42x 5.4xStein Mart Inc. SMRT 7.84 83.9% 343 0 94 249 1,166 45 (1.0%) (2.8%) 25.5% 3.8% 22.9x 0.21x 5.6x 0.20x 4.3xThe Children’s Place Retail Stores, Inc. PLCE 45.57 73.2% 1,075 0 203 872 1,758 154 2.7% 2.7% 37.7% 8.8% 17.3x 0.50x 5.7x 0.47x 4.3xTexas Industries Inc. TXI 55.24 98.5% 1,548 659 61 2,147 657 37 4.1% (5.0%) 7.9% 5.6% NM 3.27x NM 3.04x 26.3xThe TJX Companies, Inc. TJX 44.26 94.8% 32,277 775 1,843 31,208 24,864 3,406 9.0% 8.0% 28.0% 13.7% 18.8x 1.26x 9.2x 1.15x 8.0xUrban Outfitters Inc. URBN 40.84 97.9% 5,959 0 363 5,596 2,669 414 10.7% 12.8% 41.6% 15.5% 30.5x 2.10x 13.5x 1.87x 10.4xWet Seal Inc. WTSL.A 2.70 71.1% 242 0 126 116 582 (1) (6.5%) 1.0% 44.1% NM NM 0.20x NM 0.20x 12.8xZumiez, Inc. ZUMZ 20.98 50.0% 658 2 98 562 629 92 19.1% 16.2% 36.6% 14.6% 17.4x 0.89x 6.1x 0.78x 5.6x

Mean 78.9% $3,178 $262 $269 $3,171 $2,906 $382 7.4% 7.3% 40.7% 11.5% 19.2x 0.95x 7.5x 0.86x 8.0xMedian 82.8% $1,075 $0 $138 $944 $1,457 $154 7.4% 7.2% 39.5% 11.5% 17.3x 0.62x 6.2x 0.59x 5.6x

Last Twelve Months (LTM) Revenue Growth LTM Margins EV / LTM EV / 2013E

Consumer and Retail Industry Update

January 2013

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Price at As a % of Market Cash & Enterprise LTM P/E($ in millions, except per share data) Ticker 1/7/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Catalog & Specialty DistributionHSN, Inc. HSNI $57.10 98.0% $3,098 $250 $130 $3,218 $3,314 $273 8.2% 7.2% 34.9% 8.2% 27.2x 0.97x 11.8x 0.94x 9.4xInsight Enterprises Inc. NSIT 18.73 80.9% 835 113 141 807 5,315 200 0.9% 8.9% 13.5% 3.8% 7.8x 0.15x 4.0x 0.15x 4.0xLiberty Interactive Corporation LINT.A 20.58 98.2% 11,192 7,357 1,793 16,756 9,954 1,814 5.6% 1.2% 36.3% 18.2% 19.6x 1.68x 9.2x 1.61x 8.3xNutrisystem, Inc. NTRI 8.67 59.5% 239 30 69 201 401 18 (5.0%) (9.1%) 46.0% 4.6% NM 0.50x 11.0x 0.49x 7.9xPC Connection, Inc. PCCC 11.77 91.1% 312 1 54 260 2,156 60 2.4% 11.7% 12.9% 2.8% 10.0x 0.12x 4.3x 0.12x 4.1xSystemax Inc. SYX 10.14 48.5% 371 9 133 246 3,589 53 (3.2%) 5.7% 14.1% 1.5% 11.3x 0.07x 4.7x 0.07x NAValueVision Media Inc. VVTV 2.01 71.0% 99 38 31 106 557 (6) (5.6%) 2.5% 36.4% NM NM 0.19x NM 0.18x 8.1x

Mean 78.2% $2,306 $1,114 $336 $3,085 $3,612 $345 0.5% 4.0% 27.8% 6.5% 15.2x 0.53x 7.5x 0.51x 7.0xMedian 80.9% $371 $38 $130 $260 $3,314 $60 0.9% 5.7% 34.9% 4.2% 11.3x 0.19x 7.0x 0.18x 8.0x

Department ChainsBon-Ton Stores Inc. BONT $11.40 76.1% $229 $1,023 $8 $1,244 $2,954 $162 (0.7%) (1.3%) 36.7% 5.5% NM 0.42x 7.7x 0.42x 6.6xDillard's Inc. DDS 80.22 89.2% 3,790 852 125 4,517 6,604 767 3.7% 0.9% 37.0% 11.6% 12.6x 0.68x 5.9x 0.67x 5.6xJ. C. Penney Company, Inc. JCP 19.96 46.2% 4,376 2,965 525 6,816 14,526 (52) (17.2%) (6.5%) 32.9% NM NM 0.47x NM 0.51x 38.1xKohl's Corp. KSS 41.97 76.0% 9,654 4,578 550 13,682 18,955 2,823 0.7% 4.2% 37.2% 14.9% 9.6x 0.72x 4.8x 0.70x 5.0xMacy's, Inc. M 37.65 89.3% 14,882 6,940 1,264 20,558 27,060 3,578 4.3% 4.7% 40.4% 13.2% 11.7x 0.76x 5.7x 0.73x 5.4xNordstrom Inc. JWN 54.43 93.1% 10,891 3,135 1,158 12,868 11,712 1,666 11.3% 11.8% 36.9% 14.2% 16.6x 1.10x 7.7x 1.02x 7.0xSaks Incorporated SKS 10.47 86.2% 1,605 386 74 1,917 3,096 275 4.8% 5.2% 40.6% 8.9% 21.4x 0.62x 7.0x 0.59x 6.5xSears Holdings Corporation SHLD 42.92 50.0% 4,568 4,004 622 7,950 40,078 470 (3.6%) (3.1%) 26.3% 1.2% NM 0.20x 16.9x 0.21x 13.1xStage Stores Inc. SSI 22.71 82.8% 725 34 37 721 1,597 123 7.4% 3.1% 27.6% 7.7% 20.5x 0.45x 5.9x 0.42x 5.4x

Mean 76.5% $5,636 $2,657 $485 $7,808 $14,065 $1,090 1.2% 2.1% 35.1% 9.6% 15.4x 0.60x 7.7x 0.59x 10.3xMedian 82.8% $4,376 $2,965 $525 $6,816 $11,712 $470 3.7% 3.1% 36.9% 10.2% 14.6x 0.62x 6.4x 0.59x 6.5x

Discount Stores & Mass MerchantsNordion Inc. NDN $6.64 60.4% $411 $44 $82 $374 $244 $69 (13.3%) 4.9% 53.9% 28.2% 19.3x 1.53x 5.4x 1.57x 6.7xBig Lots Inc. BIG 29.13 61.7% 1,686 463 66 2,083 5,316 392 5.2% 4.7% 39.4% 7.4% 10.6x 0.39x 5.3x 0.37x 5.0xCostco Wholesale Corporation COST 101.37 95.7% 44,160 1,379 5,576 39,963 101,224 3,771 10.9% 11.9% 12.5% 3.7% 24.6x 0.39x 10.6x 0.37x 9.6xDollar General Corporation DG 43.72 78.0% 14,371 3,032 147 17,257 16,000 1,935 13.4% 11.8% 31.7% 12.1% 15.9x 1.08x 8.9x 1.00x 8.3xDollar Tree, Inc. DLTR 39.96 70.3% 9,079 264 222 9,121 7,094 1,032 10.7% 11.9% 35.8% 14.5% 16.1x 1.29x 8.8x 1.16x 7.7xFamily Dollar Stores Inc. FDO 57.20 76.5% 6,624 725 122 7,228 9,604 915 10.4% 8.7% 34.7% 9.5% 15.9x 0.75x 7.9x 0.67x 7.2xFred's, Inc. FRED 12.83 80.3% 471 7 16 461 1,919 83 2.8% 2.5% 28.9% 4.3% 14.4x 0.24x 5.5x 0.23x 4.8xGordmans Stores, Inc. GMAN 14.57 63.7% 280 0 32 248 598 48 10.4% 10.9% 43.6% 8.0% 11.0x 0.42x 5.2x 0.37x 4.7xPriceSmart Inc. PSMT 77.23 89.8% 2,279 80 91 2,268 2,051 132 19.6% 18.1% 16.2% 6.4% 34.5x 1.11x 17.2x 0.97x 14.6xSears Hometown and Outlet Stores, Inc. SHOS 34.89 93.7% 806 49 22 834 2,413 116 2.8% NA 24.9% 4.8% 13.8x 0.35x 7.2x NA NATarget Corp. TGT 61.30 93.2% 39,894 18,617 1,480 57,031 71,863 7,413 3.8% 3.5% 29.7% 10.3% 13.6x 0.79x 7.7x 0.75x 7.5xTuesday Morning Corporation TUES 6.61 96.4% 280 13 10 282 815 23 (0.5%) 0.9% 37.9% 2.9% NM 0.35x 12.1x 0.34x NAWal-Mart Stores Inc. WMT 68.40 88.1% 228,814 57,908 8,643 278,079 464,412 35,987 5.5% 4.8% 24.9% 7.7% 14.0x 0.60x 7.7x 0.57x 7.6x

Mean 80.6% $26,858 $6,352 $1,270 $31,941 $52,581 $3,994 6.3% 7.9% 31.8% 9.2% 17.0x 0.71x 8.4x 0.70x 7.6xMedian 80.3% $2,279 $264 $91 $2,268 $5,316 $392 5.5% 6.8% 31.7% 7.7% 15.1x 0.60x 7.7x 0.62x 7.5x

Furniture & Furnishings RetailersAaron's, Inc. AAN $28.74 88.3% $2,173 $142 $156 $2,159 $2,178 $306 10.0% 8.5% 51.9% 14.1% 13.3x 0.99x 7.1x 0.91x 6.4xBed Bath & Beyond Inc. BBBY 56.42 74.4% 12,528 0 785 11,743 10,245 1,782 10.5% 10.9% 40.6% 17.4% 12.9x 1.15x 6.6x 1.01x 6.0xEthan Allen Interiors Inc. ETH 26.96 89.0% 778 154 85 847 732 72 4.7% 6.6% 54.2% 9.9% 14.7x 1.16x 11.7x 1.09x 8.6xHaverty Furniture Companies Inc. HVT 16.39 93.0% 363 13 75 301 656 39 6.7% 3.7% 52.4% 5.9% 14.7x 0.46x 7.8x 0.43x 5.6xKirkland's Inc. KIRK 10.81 62.1% 185 0 34 150 435 36 3.3% 3.1% 38.3% 8.2% 13.2x 0.35x 4.2x 0.32x 4.4xLa-Z-Boy Incorporated LZB 15.45 90.2% 810 8 95 723 1,268 77 4.0% 3.7% 31.2% 6.1% 18.5x 0.57x 9.4x 0.53x 7.6xLifetime Brands, Inc. LCUT 10.54 79.2% 132 109 2 239 470 33 4.5% 1.9% 36.5% 6.9% 12.0x 0.51x 7.3x NA NA

Last Twelve Months (LTM) LTM Margins EV / LTM EV / 2013ERevenue Growth

Consumer and Retail Industry Update

January 2013

11 of 16

Price at As a % of Market Cash & Enterprise LTM P/E($ in millions, except per share data) Ticker 1/7/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Furniture & Furnishings Retailers (Cont.)Pier 1 Imports, Inc. PIR $20.38 96.0% $2,202 $10 $121 $2,091 $1,630 $214 9.9% 8.3% 43.7% 13.1% 12.2x 1.28x 9.8x 1.16x 8.0xRent-A-Center, Inc. RCII 34.43 87.2% 2,026 593 82 2,537 3,062 400 8.5% 3.3% 69.4% 13.1% 11.1x 0.83x 6.3x 0.78x 5.9xSelect Comfort Corporation SCSS 26.75 75.1% 1,499 0 158 1,342 903 144 28.6% 18.8% 63.7% 16.0% 18.8x 1.48x 9.3x 1.23x 7.5xThe Sherwin-Williams Company SHW 158.49 98.0% 16,341 969 55 17,256 9,383 1,142 9.2% 9.3% 43.7% 12.2% 28.8x 1.84x 15.1x 1.70x 12.6xTuesday Morning Corporation TUES 6.61 96.4% 280 13 10 282 815 23 (0.5%) 0.9% 37.9% 2.9% NM 0.35x 12.1x 0.34x NAWilliams-Sonoma Inc. WSM 45.58 94.8% 4,469 6 262 4,212 3,905 533 7.0% 8.9% 39.5% 13.7% 19.1x 1.08x 7.9x 1.00x 7.2x

Mean 86.4% $3,368 $155 $148 $3,376 $2,745 $369 8.2% 6.8% 46.4% 10.7% 15.8x 0.93x 8.8x 0.88x 7.3xMedian 89.0% $1,499 $13 $85 $1,342 $1,268 $144 7.0% 6.6% 43.7% 12.2% 14.0x 0.99x 7.9x 0.96x 7.2x

Internet Retail1-800-Flowers.com Inc. FLWS $3.63 88.1% $236 $63 $6 $292 $720 $40 4.8% 1.6% 41.3% 5.5% 17.4x 0.41x 7.3x 0.38x 6.1xAmazon.com Inc. AMZN 268.46 99.5% 121,601 0 5,248 116,353 57,256 2,089 31.3% 38.2% 23.7% 3.6% NM 2.03x NM 1.59x 27.3xBlue Nile Inc. NILE 39.07 86.8% 488 1 30 459 376 13 7.4% 9.7% 19.3% 3.5% NM 1.22x 35.1x 1.03x 16.9xeBay Inc. EBAY 53.51 99.6% 69,241 4,518 9,135 64,624 13,459 3,934 25.0% 17.1% 70.2% 29.2% 18.3x 4.80x 16.4x 4.12x 12.4xIAC/InterActiveCorp IACI 46.03 82.8% 4,072 96 641 3,527 2,633 371 37.6% 24.6% 64.3% 14.1% 25.2x 1.34x 9.5x 1.11x 6.0xNetflix, Inc. NFLX 99.20 74.3% 5,510 400 798 5,112 3,540 147 21.0% 30.7% 29.2% 4.1% NM 1.44x 34.9x 1.29x 32.8xOrbitz Worldwide, Inc. OWW 3.17 66.7% 333 440 152 621 766 101 (0.8%) 1.0% 81.6% 13.2% NM 0.81x 6.2x 0.77x 4.6xOverstock.com Inc. OSTK 14.31 89.4% 336 17 72 280 1,071 18 (1.6%) 9.8% 17.6% 1.7% NM 0.26x 15.6x 0.24x 7.4xPetMed Express, Inc. PETS 11.81 84.2% 227 0 62 165 234 26 2.5% 0.4% 33.3% 11.2% 15.0x 0.71x 6.3x 0.72x 6.5xpriceline.com Incorporated PCLN 657.38 84.8% 32,780 1,452 4,668 29,564 5,061 1,837 23.6% 32.0% 76.4% 36.3% 24.9x 5.84x 16.1x 4.86x 12.8xShutterfly, Inc. SFLY 32.45 92.7% 1,174 0 90 1,084 553 52 47.1% 35.3% 52.2% 9.4% NM 1.96x 21.0x 1.66x 10.3xStamps.com Inc. STMP 25.55 76.7% 399 0 37 362 113 23 16.2% 10.9% 75.7% 20.6% 10.1x 3.21x 15.6x 2.79x 10.8xU.S. Auto Parts Network, Inc. PRTS 1.92 35.6% 60 17 1 76 318 11 (3.6%) 24.7% 30.7% 3.4% NM 0.24x 7.0x 0.25x 5.4x

Mean 81.7% $18,189 $539 $1,611 $17,117 $6,623 $666 16.2% 18.1% 47.3% 12.0% 18.5x 1.87x 15.9x 1.60x 12.2xMedian 84.8% $488 $17 $90 $621 $766 $52 16.2% 17.1% 41.3% 9.4% 17.8x 1.34x 15.6x 1.11x 10.3x

Specialty & Other RetailBarnes & Noble, Inc. BKS $13.40 51.5% $791 $466 $471 $785 $7,157 $215 2.1% 17.6% 27.2% 3.0% NM 0.11x 3.7x 0.11x 4.3xBest Buy Co., Inc. BBY 12.21 43.7% 4,111 2,208 1,199 5,120 50,705 3,295 1.9% 4.0% 24.8% 6.5% NM 0.10x 1.6x 0.11x 2.3xBig 5 Sporting Goods Corp. BGFV 13.26 92.7% 282 57 5 334 924 39 2.4% 1.7% 31.9% 4.3% 26.6x 0.36x 8.5x 0.34x 6.5xBooks-A-Million Inc. BAMM 2.50 66.0% 39 50 5 85 505 21 11.7% (0.7%) 28.2% 4.2% 19.8x 0.17x 4.0x NA NABuild-A-Bear Workshop Inc. BBW 4.24 48.6% 70 0 22 48 382 18 (4.8%) (2.7%) 40.0% 4.6% NM 0.13x 2.7x 0.13x 2.5xConns Inc. CONN 28.58 91.2% 975 331 4 1,302 841 88 6.1% (3.5%) 43.1% 10.4% 22.1x 1.55x 14.9x 1.34x 9.2xCVS Caremark Corporation CVS 50.03 99.9% 62,372 10,040 1,238 71,174 120,056 8,575 16.1% 7.3% 18.1% 7.1% 16.8x 0.59x 8.3x 0.57x 7.5xDick's Sporting Goods Inc. DKS 47.80 88.1% 5,863 23 294 5,591 5,642 618 10.2% 9.6% 31.2% 11.0% 22.1x 0.99x 9.0x 0.89x 7.8xFossil, Inc. FOSL 95.85 68.9% 5,753 185 143 5,795 2,741 523 12.4% 22.7% 55.9% 19.1% 19.2x 2.11x 11.1x 1.90x 9.7xhhgregg, Inc. HGG 7.05 53.7% 244 0 8 235 2,521 96 14.0% 21.7% 29.1% 3.8% 3.4x 0.09x 2.5x 0.09x 2.4xHibbett Sports, Inc. HIBB 53.48 84.4% 1,380 2 75 1,308 792 123 10.7% 11.3% 36.4% 15.5% 20.7x 1.65x 10.6x 1.50x 9.4xLowe's Companies Inc. LOW 34.76 95.3% 39,094 9,049 1,300 46,843 51,104 5,301 4.2% 2.8% 34.3% 10.4% 20.9x 0.92x 8.8x 0.91x 8.5xLumber Liquidators Holdings, Inc. LL 53.05 90.2% 1,440 0 40 1,400 777 77 17.7% 14.0% 37.1% 10.0% 35.9x 1.80x 18.1x 1.62x 14.7xMarinemax Inc. HZO 10.22 90.9% 243 121 24 340 524 12 9.1% (3.8%) 25.4% 2.3% NM 0.65x 28.7x 0.62x 18.5xMovado Group, Inc. MOV 32.21 86.3% 816 0 165 651 504 60 12.9% 11.7% 55.7% 11.8% 13.8x 1.29x 10.9x 1.20x 8.5xOffice Depot, Inc. ODP 3.64 95.5% 1,038 671 620 1,090 11,043 374 (3.8%) (3.7%) 30.5% 3.4% NM 0.10x 2.9x 0.10x 3.4xPetSmart, Inc. PETM 69.01 94.9% 7,417 536 317 7,635 6,517 839 8.7% 7.2% 30.2% 12.9% 21.4x 1.17x 9.1x 1.08x 8.1x

Last Twelve Months (LTM) Revenue Growth LTM Margins EV / LTM EV / 2013E

Consumer and Retail Industry Update

January 2013

12 of 16

Price at As a % of Market Cash & Enterprise LTM P/E($ in millions, except per share data) Ticker 1/7/13 52-wk High Cap Debt Equiv. Value (EV) Revenue EBITDA 1 Year 3 Years Gross EBITDA Multiple Revenue EBITDA Revenue EBITDA

Specialty & Other Retail (Cont.)RadioShack Corp. RSH $2.25 20.3% $224 $749 $546 $427 $4,349 $64 1.1% 1.0% 36.2% 1.5% NM 0.10x 6.7x 0.10x 12.8xRegis Corp. RGS 16.90 86.3% 957 280 222 1,014 2,248 199 (1.4%) (2.5%) 39.1% 8.8% NM 0.45x 5.1x 0.49x 6.0xRite Aid Corporation RAD 1.29 60.8% 1,166 6,152 264 7,055 26,084 794 2.6% 0.2% 27.0% 3.0% NM 0.27x 8.9x 0.28x 6.3xStaples, Inc. SPLS 11.99 70.8% 8,080 1,661 1,020 8,721 24,544 1,985 (0.7%) 0.7% 26.7% 8.1% NM 0.36x 4.4x 0.35x 4.3xSteiner Leisure Ltd. STNR 47.13 88.1% 685 153 53 784 786 85 16.0% 17.1% 24.1% 10.8% 13.4x 1.00x 9.2x 0.95x 9.4xThe Home Depot, Inc. HD 62.84 95.3% 93,959 10,813 2,554 102,218 72,522 9,117 4.3% 3.1% 34.6% 12.6% 22.3x 1.41x 11.2x 1.34x 10.1xTiffany & Co. TIF 61.10 82.3% 7,746 978 346 8,378 3,746 855 5.3% 13.4% 57.4% 22.8% 18.9x 2.24x 9.8x 2.06x 9.0xTractor Supply Company TSCO 90.35 87.1% 6,364 1 70 6,295 4,618 514 14.7% 13.7% 33.4% 11.1% 24.7x 1.36x 12.2x 1.26x 10.9xVitamin Shoppe, Inc. VSI 55.88 90.3% 1,670 0 76 1,594 947 124 15.2% 13.1% 43.4% 13.1% 27.5x 1.68x 12.8x 1.46x 11.1xWalgreen Co. WAG 38.03 99.0% 35,942 6,385 1,854 40,473 70,792 4,529 (3.0%) 3.0% 28.7% 6.4% 17.2x 0.57x 8.9x 0.54x 7.0xZale Corporation ZLC 4.18 54.6% 135 524 15 645 1,873 56 6.0% 2.4% 51.5% 3.0% NM 0.34x 11.6x 0.33x 9.3x

Mean 77.7% $10,316 $1,837 $463 $11,691 $16,973 $1,378 6.9% 6.5% 35.0% 8.6% 20.4x 0.84x 9.2x 0.80x 8.1xMedian 86.7% $1,273 $306 $194 $1,354 $3,243 $207 6.1% 3.6% 32.7% 8.5% 20.8x 0.62x 9.0x 0.62x 8.5x

Last Twelve Months (LTM) Revenue Growth LTM Margins EV / LTM EV / 2013E

January 2013

M&A

Detail

Recent North

American

Consumer

M&A

Enterprise Enterprise Value Private Equity

Announced Target Seller Buyer Value ($mm) Sales EBITDA EBIT Involvement

1/3/2013 Plano Molding Co. Tinicum Capital Partners Teachers' Private Capital - - - - P

1/3/2013 Intermix, Inc. Goode Partners LLC Gap Inc. $130.0 1.00x - - P

1/2/2013 Simplicity Creative Group Conso International Corporation Wilton Brands Inc. - - - -

1/2/2013 Shawnee Mission Kia - Group 1 Automotive Inc. - - - -

1/2/2013 Everything Automotive, LLC - Service King Paint & Body, LLC - - - -

12/31/2012 Viking Range Corporation The Stephens Group, LLC Middleby Corp. $380.0 - - - P

12/31/2012 Cuddledown, Inc. - Potpourri Group Inc. - - - -

12/28/2012 Ogden Auto Body, Inc. - ABRA, Inc. - - - -

12/28/2012 Rio Grande - Richline Group, Inc. - - - -

12/27/2012 Buffalo Studios LLC - Playtika Ltd. - - - -

12/26/2012 ShowPlex Cinemas, Inc. Trinity Hunt Partners Starplex Cinemas - - - - P

12/26/2012 Findings, Incorporated - LeachGarner - - - -

12/26/2012 Bella Pictures, Inc. Foundation Capital; CPI Corp. The Pros Entertainment Services, Inc. - - - -

12/24/2012 Express Lane, Inc. - Lehigh Gas Wholesale Services, Inc. $43.6 - - -

12/21/2012 Easy Aces, Inc. - Lifetime Brands, Inc. - - - -

12/21/2012 Sierra Trading Post, Inc. - The TJX Companies, Inc. $200.0 1.00x - -

12/21/2012 Crespo & Jirrels Funeral and Cremation Services - Carriage Services Inc. - - - -

12/21/2012 Silver Spring Golf & Banquet Center Capmark Bank Varin Realty, LLC; RN Realty LLC - - - -

12/20/2012 ONGUARD Industries, L.L.C. - BarrierSafe Solutions International, Inc. - - - -

12/20/2012 Fundex Games, Ltd. Liberty BIDCO Investment Corporation POOF-Slinky, Inc. $1.7 - - - P

12/20/2012 YES Electrical Supply Inc. - Dominion Electric Supply Company - - - -

12/20/2012 New Haven Tire Inc. - Pete's Tire Barns Inc. - - - -

12/19/2012 Motorola Mobility Holdings, Inc. Motorola Mobility Holdings, Inc. Arris Group Inc. $2,350.0 0.69x - -

12/19/2012 THQ Inc., Substantially All Assets THQ Inc. Clearlake Capital Group, LLC $60.0 - - - P

12/19/2012 Northland Chevrolet - Evergreen LLC - - - -

12/19/2012 Progressive Products, Inc. - Bekaert Textiles NV - - - -

12/19/2012 Charlie's Chevrolet, Inc. - Shuman Family LLC - - - -

12/18/2012 The SWI Group - Clearlake Capital Group, LLC $13.9 - - - P

12/18/2012 Serra Automotive, Inc. Serra Automotive, Inc. The Suburban Collection - - - -

12/18/2012 McNeil-PPC Inc., Reach Toothbrushes McNEIL-PPC, Inc. Dr. Fresh, Inc. - - - -

12/18/2012 Dahl Chevrolet-Buick-GMC, Inc. - Dahl Automotive - - - -

12/18/2012 Green Mochi, LLC - Big Strike, Inc. - - - -

12/18/2012 Westlake Hardware, Inc. Goldner Hawn Johnson & Morrison Inc. Ace Hardware Corporation $88.0 0.37x - - P

12/17/2012 Paris Equipment Manufacturing Ltd. - Tiercel Technology Corp. - - - -

12/17/2012 VIP, Inc., Auto Parts Related Assets VIP, Inc. O'Reilly Automotive Inc. - - - -

12/17/2012 Hammerpoint Interactive - Arktos Entertainment Group Inc. - - - -

12/17/2012 JW Pet Company Inc. and Canine Hardware, Inc. - Doskocil Manufacturing Company, Inc. - - - -

12/17/2012 Danvers-NII, Inc. Ira Automotive Group, LLC Kelly Automotive Group, Inc. - - - -

12/17/2012 Battison Honda Sonic Automotive Inc. Battison Auto Group - - - -

12/14/2012 Collision Solutions, Inc. - ABRA, Inc. - - - -

12/13/2012 Life Nutrition Products, Inc. Asset Intelligences Ltd. ADGS Advisory Limited - - - -

12/12/2012 Purdy Motor Group Auto Sales - Grupo Purdy - - - -

12/12/2012 OrganicFood2You LLC - Bella Bean Organics, Inc. - - - -

12/12/2012 Ogren Electronics LLC Terra Nova, Inc. Per Mar Security and Research Corp. - - - -

12/11/2012 Cumby Family Funeral Service - Carriage Services Inc. - - - -

12/11/2012 Ken Towery's AutoCare SuperCenter - Monro Muffler Brake Inc. - - - -

12/11/2012 Blue Competition Cycles, LLC Peter Skop Industries, Inc. Lake Rudd Capital Partners - - - - P

12/10/2012 Cordillera Golf Club, LLC Wilhelm Family Partnership Ltd Windrose Holdings, LLC $14.2 - - -

12/10/2012 R&G Tire Center Inc. - East Bay Tire Co. - - - -

12/10/2012 Vinatronics Inc. - National Safety Apparel, Inc. - - - -

12/10/2012 Miss Matched Inc. Catterton Partners Corporation Delta Galil USA Inc. - - - - P

12/10/2012 Heelys, Inc. Capital Southwest Corporation Sequential Brands Group, Inc. $4.3 0.14x - -

12/10/2012 PLAYTIME, LLC - Monroe Capital LLC; Geneva Glen - - - - P

12/7/2012 Concepts In Health, Inc. - Meda AB - - - -

12/7/2012 Twist and Shout Tulsa Branch - Cheer Perfection LLC - - - -

12/6/2012 Teton Outfitters, LLC - Polaris Industries, Inc. - - - -

12/6/2012 The Snowmass Club Associated, LLC Aspen Skiing Company, LLC Toll Golf & Country Club Division - - - -

12/6/2012 RainSoft of Weston, LLC - Sterling Water, Inc. - - - -

12/5/2012 Bentley Leathers Inc. - Novacap Investments, Inc. - - - - P

12/5/2012 Redcats USA, Inc. Redcats SA Charlesbank Capital Partners, LLC $525.0 - - - P

12/5/2012 Sports & Fitness Clubs - Fitness Connection - - - -

12/5/2012 Brennan Buick Inc. - Bergstrom Corporation - - - -

12/5/2012 Caneel Inc. - Mister Car Wash, Inc. - - - -

12/4/2012 Boardwalk Auto Group Boardwalk Auto Group AutoNation Inc. - - - -

12/4/2012 Spring Chrysler Jeep Dodge, Inc. - AutoNation Inc. - - - -

12/4/2012 Blue Ribbon Motoring, LLC - AutoZone, Inc. - - - -

12/4/2012 Footech, Inc. - Capital DGMC Inc. - - - - P

12/3/2012 Craft Oil Corp. - PetroChoice - - - -

12/3/2012 Golden Services LLC - Sprague Pest Solutions Inc. - - - -

12/3/2012 Morningside Nannies Inc. - Longhorn Leads, LLC - - - -

12/3/2012 Journelle, Inc. - Triumph International - - - -

11/30/2012 J Brand Holdings, LLC Genuity Capital Partners; Star Avenue Fast Retailing Co. Ltd. $362.1 2.91x - 11.4x P

11/30/2012 Lucky Litter LLC Cornertone Angels Radio Systems Corporation - - - -

11/30/2012 BufferBox Inc. iNovia Capital Google Inc. $17.0 - - - P

11/29/2012 Great Outdoors, LLC - iEntertainment Network Inc. - - - -

11/29/2012 Aliance Entertainment, Inc. - Regal Entertainment Group - - - -

13 of 16

January 2013

M&A

Detail

Recent North

American

Consumer

M&A

(continued)

Enterprise Enterprise Value Private Equity

Announced Target Seller Buyer Value ($mm) Sales EBITDA EBIT Involvement

11/29/2012 Cohn-Turner And Co., Inc. - Perlis, Inc. - - - -

11/28/2012 Pro Hockey Life Sporting Goods Inc. Fondaction FGL Sports Ltd. $85.6 0.90x - -

11/28/2012 HydroSolution, Inc. Gaz Métro Plus, Inc. Confort Expert, Inc. $89.9 - - -

11/28/2012 Stephen L. LaFrance Pharmacy, Inc. Walgreen Co. L&R Distributors, Inc. - - - -

11/28/2012 USBA Sports Academy - A Game Sportsplex - - - -

11/28/2012 Nelsen Family Funeral Services, Inc. - Service Corp. International - - - -

11/27/2012 Automotive Technologies, Inc. - Glentel Inc. $83.3 - - -

11/27/2012 Wade Auto Body - Service King Paint & Body, LLC - - - -

11/26/2012 Wild Planet Entertainment, Inc. Wild Planet Entertainment, Inc. Spin Master Ltd. - - - -

11/26/2012 Eastern Mountain Sports, Inc. J.H. Whitney & Co., LLC Versa Capital Management, Inc. - - - - P

11/26/2012 Urban Decay Cosmetics, LLC Castanea Partners, Inc. L'Oreal SA - - - - P

11/26/2012 Florida Gaming Centers, Inc. Florida Gaming Corp. Silvermark LLC $130.0 - - -

11/22/2012 Falcon Ridge Golf Course, Inc. - Loveland Investments, LLC - - - - P

11/21/2012 Kimberly Parry Organics Inc. - VizStar, Inc. - - - -

11/21/2012 Croakies, Ecommerce Operations Croakies, Inc. Virtual Piggy, Inc - - - -

11/20/2012 Good Shepherd Auto Glass, Inc. - Guardian Auto Glass LLC - - - -

11/20/2012 Kenworth of Boston, Inc. - Kenworth Northeast Group, Inc. - - - -

11/19/2012 Kathie's Christmas Ltd. - Christmas Tree Hill, Inc. - - - -

11/16/2012 Cole Haan Holdings, Inc. Nike Inc. Apax Partners LLP $570.0 - - - P

11/16/2012 Rave Cinemas, LLC TowerBrook Capital Partners L.P. Cinemark USA, Inc. $240.0 1.05x 5.8x - P

11/15/2012 AquaPerfect LLC - Taylor Made Water Systems, Inc. - - - -

11/15/2012 NuVo Technologies, Inc. - Legrand - - - -

11/15/2012 Schiff Nutrition International Inc. TPG Capital, L.P. Reckitt Benckiser LLC $1,433.0 5.01x 33.4x 39.8x P

11/15/2012 Family Christian Stores, Inc. - Group of Private Investors - - - - P

11/14/2012 Teavana Holdings, Inc. Apax Partners LLP Starbucks Corporation $609.9 3.22x 16.5x 20.5x P

11/14/2012 Jetboil, Inc. - Johnson Outdoors Inc. - - - -

11/14/2012 Kamagon Fitness, LLC - Ball, Bounce, and Sport Inc. - - - -

11/12/2012 Barjan LLC, Mistic Electronic Cigarettes Brand Barjan LLC Ballantyne Brands, LLC - - - -

11/12/2012 Vans Inc., PRO-TEC Brand Vans Inc. DYE Precision Inc. - - - -

11/8/2012 The Sportman’s Guide, Inc. Redcats USA, Inc. Northern Tool + Equipment Company $215.0 - - -

11/7/2012 Derek Lam International LLC LABELUX Group GmbH - - - - -

11/6/2012 Le Mystère LLC - Komar, Inc. - - - -

11/6/2012 Professional Bakeware Company, Inc. - Tablecraft Products Company, Inc. - - - -

11/5/2012 Coppley Apparel Group, Inc. Hartmarx Corp. Individualized Apparel Group - - - -

11/4/2012 Fitness 19, Inc. - Vertical Fitness Group LLC - - - -

11/3/2012 Waxing The City, LLC - Anytime Fitness Germantown - - - -

11/2/2012 Oriental Trading Company, Inc. Apollo Global Management, LLC Berkshire Hathaway Inc. $500.0 1.00x 7.1x - P

10/31/2012 Warnaco Group Inc. Adage Capital Management, L.P. PVH Corp. $3,648.2 1.52x 12.7x 16.6x P

10/30/2012 Oten, Inc. - Targus Group International, Inc. - - - -

10/30/2012 AtHome USA Inc AtHome America Corporation - - - - -

10/25/2012 Mac's Antique Auto Parts, Inc. - Eckler Industries, Inc. - - - -

10/24/2012 Ultra Stores, Inc. Crystal Financial Corporation Signet Jewelers Limited $57.0 0.41x - -

10/24/2012 The Athlete's Foot Brands, LLC Global Franchise Group, LLC IIC-INTERSPORT International - - - -

10/23/2012 Heelys, Inc. BML Capital Management, LLC The Evergreen Group Ventures, LLC -$43.9 - - - P

10/22/2012 Partners Pest Control Inc. - Orkin, LLC - - - -

10/22/2012 The Marena Group, Inc. William Watkins - - - - -

10/22/2012 MegaPRO Inc. - Strike Axe, Inc. $0.7 - - -

10/18/2012 Sleep Innovations, Inc. - Sun Capital Partners, Inc. - - - - P

10/17/2012 Cybex International Inc. - UM Holdings Ltd. $62.6 0.43x 5.7x 9.8x

10/11/2012 Access Vans of Louisiana Inc. - Superior Van & Mobility LLC - - - -

10/9/2012 Savage BMW Inc. - Penske Automotive Group, Inc. - - - -

10/9/2012 GTS 3000 Inc. - ParTravel Inc. - - - -

10/9/2012 Ultramar Travel Management, Inc. - Travel and Transport, Inc. - - - -

10/8/2012 McIntosh Laboratory, Inc. D&M Holdings Inc. Fine Sounds Spa - - - -

10/5/2012 Carolina Rustica, Inc. - Mattress USA, Inc. - - - -

10/4/2012 Catcorp Inc. - Wireless Vision, LLC - - - -

10/2/2012 Jerry Spady Chevrolet GMC Cadillac - Jerry Spady Cadillac GMC - - - -

10/1/2012 Mt. Pulaski Products, LLC - The Andersons, Inc. - - - -

10/1/2012 A-Med Health Care - Byram Healthcare Centers, Inc. $38.2 - - -

10/1/2012 Southern Candle, Inc. - Integrity Design & Displays, Inc. - - - -

9/30/2012 CR Brands, Inc. Juggernaut Capital Partners, L.P. Resilience Capital Partners LLC - - - - P

9/26/2012 Armstrong Cabinet Products, Inc. Armstrong World Industries, Inc. American Industrial Partners $27.0 0.20x - - P

9/26/2012 Red Card Gaming, Inc., High Card Flush Game Red Card Gaming, Inc. Galaxy Gaming, Inc. - - - -

9/26/2012 Sealy Corporation Kohlberg Kravis Roberts & Co. Tempur Pedic International Inc. $929.2 0.74x 7.6x 10.1x P

9/26/2012 AQUABI Toy Company - Redemption Plus, LLC - - - -

9/25/2012 Western Exterminator Company - Rentokil Initial plc $114.6 0.77x - -

9/25/2012 Twisterz Toys, LLC - Smart Toys and Games, Inc. - - - -

9/25/2012 Affordable Contracting, Inc. - Romanoff Floor Covering, Inc. - - - -

9/23/2012 Koko Ltd. - Koko Ltd. - - - -

9/21/2012 Peter Millar, LLC Winona Capital Management, LLC Compagnie Financiere Richemont SA - - - - P

9/21/2012 NEST Fragrances, LLC - Tengram Capital Partners, LLC - - - - P

9/21/2012 Waupaca Woods Pharmacy, Inc. - Shopko Stores Operating Co., LLC - - - -

9/21/2012 Mick's North Hills Chrysler Jeep Dodge - Diehl Automotive Group Inc. - - - -

9/20/2012 Dynagra Corp. - CHS, Inc. - - - -

9/20/2012 LifeApps Digital Media Inc. - LifeApps Digital Media Inc. - - - -

9/20/2012 Sunair Security Services, Inc. - Safe Systems, Inc. - - - -

9/19/2012 Vivint, Inc. Goldman Sachs Group The Blackstone Group $2,000.0 - - - P

14 of 16

January 2013

Glenn Gurtcheff Managing Director

ggurtcheff@harriswilliams.com

+1 (612) 359-2702

Ryan Budlong Vice President

rbudlong@harriswilliams.com

+1 (612) 359-2722

Jeff Cleveland Vice President

jcleveland@harriswilliams.com

+1 (612) 359-2703

Tim Alexander Managing Director

talexander@harriswilliams.com

+1 (612) 359-2716

HW&Co.

Consumer

Team

Recent North

American

Consumer

M&A

(continued)

M&A

Detail

Enterprise Enterprise Value Private Equity

Announced Target Seller Buyer Value ($mm) Sales EBITDA EBIT Involvement

9/19/2012 San Diego Hat Co. - Mainland Headwear Holdings Ltd. $10.6 - - -

9/19/2012 Innovative Hearth Products - Lennox Hearth Products LLC - - - -

9/19/2012 RLJ-McLarty-Landers Automotive - W. P. Carey Inc. $66.0 - - -

9/19/2012 Guru Cycles Inc. - Dorel Industries Inc. - - - -

9/19/2012 Premier Pest Management, Inc. - Bulwark Exterminating, LLC - - - -

9/18/2012 KA and KM Development, Inc. - Hostmark Hospitality Group, Inc. $24.0 - - -

9/17/2012 Etonic Worldwide LLC Lotto Sport Italia S.p.A. Etonic Holdings, LLC - - - -

9/16/2012 A Proper Place, Inc. - Sold With Style Inc. - - - -

9/14/2012 Shell Vacations LLC York Capital Management Wyndham Vacation Ownership, Inc. $255.0 - - - P

9/14/2012 Ze Frank Games, Inc. First Round Capital Contagious Media, LLC - - - -

9/13/2012 Sergeant’s Pet Care Products, Inc. Sowell & Company Perrigo Co. $285.0 - - - P

9/10/2012 Bassett Marine LLC Bassett Marine LLC Marinemax Inc. - - - -

9/10/2012 College Marketplace Inc. - SimpleTuition, Inc. - - - -

9/10/2012 Global Fitness Holdings, LLC Laurel Crown Partners, LLC L.A. Fitness International, LLC - - - - P

9/10/2012 Engineered Treatment Systems - Neptune-Benson, Inc. - - - -

9/6/2012 Myers Services, Inc. - Massey Services, Inc. - - - -

9/6/2012 Ritz Camera & Image, LLC Ritz Camera & Image, LLC C&A Marketing Inc. - - - -

9/5/2012 Parfums de Coeur, Ltd. - Yellow Wood Partners - - - - P

9/5/2012 Kirker Enterprises, Inc. - RPM International Inc. - - - -

9/5/2012 The Paper Magic Group, Inc. The Paper Magic Group, Inc. Gemmy Industries (HK) Limited - - - -

9/5/2012 Technologies Scan Corp. - I Speed Zone Inc. - - - -

9/4/2012 Bruni Auto Repair & Body Shop Ltd. - Pembina Chrysler Dodge Jeep Ltd. - - - -

9/4/2012 Method Products, Inc. San Francisco Equity Partners Ecover Belgium NV - - - - P

9/4/2012 Elizabeth Lange, LLC LLM Management Co., LLC Cherokee Inc. $14.0 - - - P

9/4/2012 Mattress XPress, Inc. - Mattress Firm, Inc. $15.8 - - -

8/30/2012 Unseen Solar, Inc. - Western Water Consultants, Inc. - - - -

8/29/2012 E. I. du Pont de Nemours and Company E. I. du Pont de Nemours and Company Syngenta AG $125.0 - - -

8/29/2012 Omnia Leather Motion, Inc. - Premier HTS LLC - - - -

8/28/2012 David's Bridal, Inc. TPG Growth Clayton, Dubilier & Rice $1,050.0 - - - P

8/28/2012 Cottonseed Clothing Company, LLC - Wittlebee - - - -

8/28/2012 Albany Aqua Ducks, Inc. - Advantage Transportation Group, Inc. - - - -

8/27/2012 Consensus and David Stritzinger H.I.G. Growth Partners, LLC Brightstar Corp. - - - - P

8/27/2012 LeJeune Investment, Inc. - Twin Cities Automotive, Inc. - - - -

8/27/2012 Smith-McKenney Co. Inc. - CVS Caremark Corporation - - - -

8/24/2012 Taylor Made Water Systems, Inc. - Waterlogic USA Inc. - - - -

8/24/2012 PKCCR, LLC - Pivotal Group, Inc - - - - P

8/24/2012 The Home Services Store, Inc. Jupiter Partners LLC Roark Capital Group - - - - P

8/24/2012 Phillips Automotive, Inc. - Charles Barker Automotive Inc - - - -

8/23/2012 Hopkins Rides, LLC - Whitewater West Industries Ltd. - - - -

8/22/2012 Kingston Tobacco Co., LLC - Kolstad Enterprises, LLC - - - -

8/21/2012 Discount TV Parts - ShopJimmy.com, LLC - - - -

8/21/2012 Siemens Industry, Inc. Siemens Industry, Inc. WesTech Engineering, Inc. - - - -

8/20/2012 Great Lakes Truck & Trailer Inc. - FleetPride, Inc. - - - -

8/20/2012 MOMS Pharmacy, Inc. Allion Healthcare, Inc. Aids Healthcare Foundation - - - -

8/20/2012 Hanson Tire Service, Inc. - Bauer Built, Inc. - - - -

8/17/2012 OnLive, Inc. AT&T, Inc. Lauder Partners, LLC - - - - P

8/17/2012 Four Star Electronic Security Inc. - Security Service Company Inc. - - - -

8/16/2012 Axia Group, Inc. - Artistmss Corp. - - - -

8/15/2012 CVS Pharmacy Located in New Castle - AR Capital, LLC - - - - P

8/15/2012 Student Life, Inc. - Lifeway Christian Resources - - - -

8/14/2012 TETCO Inc, Retail and Wholesale Assets TETCO, Inc. 7-Eleven, Inc. - - - -

8/14/2012 Physicians Formula Holdings Inc. Fidelity Investments; & Others Swander Pace Capital $60.5 0.66x 6.3x 9.2x P

8/13/2012 Central Alarm Inc. and Advanced Solutions Inc. - Protection One, Inc. - - - -

8/13/2012 La-Z Recliner Shops, Inc. - La-Z-Boy Incorporated $18.0 0.60x - -

15 of 16

Brant Cash Vice President

bcash@harriswilliams.com

+1 (612) 359-2709

John Neuner IV Managing Director

jneuner@harriswilliams.com

+1 (804) 915-0125

Matt Conaty Vice President

mconaty@harriswilliams.com

+1 (415) 217-3423

Brent Spiller Vice President

bspiller@harriswilliams.com

+1 (804) 915-0183

Corey Benjamin Vice President

cbenjamin@harriswilliams.com

+1 (804) 932-1342

Red Norrie Managing Director

rnorrie@harriswilliams.com

+44 20 7518 8906

January 2013

Sources:

Capital IQ.

Thomson Financial.

S&P.

Reuters.

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Consumer and Retail

Industry Update

16 of 16