Fashion, apparel, textile, merchandising, garments

2. Timeline G L O B A L N I K E 1992 Nike first learns about the global warming potential of SF6. 2003 Nike develops a baseline of inbound logistics and subcontracted manufacturing 1988 The World Meteorological Organization and the United Nations Environment Program establish IPCC 2001 (September) The IPCC releases its Third Assessment. Reaffirms warming trend and human impact 1995 The IPCC’s Second Climate Assessment is published,serving as the basis for Kyoto Protocol. 1997 (December) Kyoto Protocol adopted. 2005 (February) The Kyoto Protocol begins. The United States, refuses to ratify 2007 (Feb) IPCC 4th assessment 1997 (September) Nike commits to fully phase SF6 out of footwear and begins to transition some models to Nitrogen 2001 (October) Nike joins WWF Climate Savers. Sets CO 2 emissions reduction targets for owned operations and business travel. 2005 Nike exceeds WWF target of 13% reduction - reaches 18% CO2 reduction 2006 (June) Nike completes phase out of all f gases in Nike branded footwear 2007 (May) Nike sets new targets

4. COMMITMENT: Reduce carbon dioxide (CO 2 ) emissions 13% below 1998 levels by 2005. Achieved Goal FACILITY AND TRAVEL CO 2 SUMMARY 110,610 96,961 GOAL 103,996 26,312 (13,299) (8,143) 47,754 77,684 (17,475) 10,750 84,409 2005 120,448 31,755 (15,040) (4,000) 50,795 88,693 (8,259) 10,740 86,212 2004 89,812 (8,154) (46,263) 0 38,109 97,966 (3,637) 12,370 89,234 2003 121,868 20,952 (15,331) 0 36,283 100,916 (846) 12,493 89,269 2002 124,901 25,167 0 (5,067) 30,234 99,734 (771) 12,610 87,895 2001 128,816 26,277 0 (4,341) 30,618 102,539 (771) 13,157 90,152 2000 127,575 29,648 0 0 29,648 97,926 (450) 12,585 85,791 1999 127,138 30,177 0 0 30,177 96,961 0 12,364 84,597 1998 TOTAL CO 2 Total travel TCO 2 BETC Projects TCO 2 Travel Offset TCO 2 Travel TCO 2 Total Facilities GHG TCO 2 Green Power Facility Gas TCO 2 Facility Electricity TCO 2 YEAR

6. Our Climate Goals WHERE WE WORK MOVING PEOPLE MAKING PRODUCT (Footwear contracted manufacturing) Reduction Target TBA MAKING PRODUCT Apparel contracted manufacturing MOVING PRODUCT (Logistics to first point of distribution) 30% Absolute Reduction in CO2 footprint from 2003 Baseline by 2020 Tier 1 Tier 2 (2005) (2005) (2003 baseline) MAKING PRODUCT (Equipment contracted manufacturing) Nike Footprint: 1.36 m metric tons WHERE WE WORK Nike Brand Climate Neutral Facilities by 2011 Nike, Inc. Climate Neutral Facilities by 2015 MOVING PEOPLE Climate Neutral Business Travel by 2011 MAKING PRODUCT (Apparel contracted manufacturing)

7. Climate Counts