8-K: Current report

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549


FORM 8-K


CURRENT REPORT


Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934



Date of Report (Date of earliest event reported) July 9, 1996



NIKE, INC.
(Exact name of registrant as specified in its charter)


Oregon 1-10635 93-0584541
(State of incorporation) (Commission File (IRS Employer
Number) Identification
No.)

One Bowerman Drive, Beaverton, Oregon 97005-6453
(Address of principal executive offices) (Zip Code)

(503) 671-6453
(Registrant's telephone number, including area code)



Item 5. OTHER EVENTS

The Registrant issued the following press release on July 9, 1996:


Beaverton, OR (July 9, 1996) -- NIKE, Inc. (NYSE:NKE) today reported
record
revenues and earnings for the Company's fourth quarter and fiscal year
ended May 31, 1996. Fourth quarter net income totaled $156.4 million,
or $1.06 per share, compared to $113.4 million, or $0.78 per share in
the
fourth quarter last year. Fourth quarter revenues were $1.92 billion,
up
36 percent compared to $1.41 billion last year.

For the fiscal year ended May 31, 1996, net income grew to a record
$553.2
million or $3.77 per share, increases of 38 and 39 percent respectively,
compared to $399.7 million or $2.72 per share in fiscal 1995. Full year
revenues totaled a record $6.47 billion compared to $4.76 billion last
year,
an increase of 36 percent.

The Company also reported worldwide futures orders for athletic footwear
and apparel scheduled for delivery between June and November 1996 total
a record $3.93 billion, 55 percent higher than such orders for the same
period last year. Had the U.S. dollar remained constant at year-ago
levels, worldwide futures orders would have increased 57 percent. This
significant increase in worldwide orders for the period is due both to
continued growth of NIKE core business and a change in the mix of
futures and "at once" shipments as NIKE futures programs become
more established on a global basis, particularly in apparel. *

NIKE Chairman Philip H. Knight stated, "This past year has been one
of expansive growth for the NIKE brand. The 99 percent increase in
sales of U.S. athletic apparel is testament to the powerful brand
equity we've created. U.S. footwear, a segment where some
questioned our capacity to gain additional market share, grew by
20 percent.

"Outside the U.S., our growth was stronger and more equally balanced,
as international footwear grew 35 percent while apparel increased 38
percent for the year. We are starting to see the benefits of our
investment spending outside the U.S. as we balance the power of the
global NIKE brand with our localized sports marketing efforts.

"In the fourth quarter, U.S. athletic footwear and apparel revenues
topped $1 billion for the first time ever in a quarter. In U.S.
footwear, the top revenue category was women's fitness which grew 57
percent in the quarter. The women's sport category grew 77 percent in
the quarter while men's training was up 67 percent. The running market
continues to show renewed strength, with sales of men's running up 56
percent in the fourth quarter.

"The depth of NIKE's brand strength can best be seen in our U.S. apparel
business, where revenues increased 117 percent in the fourth quarter.
Our U.S. apparel futures orders remain extremely strong, driven by
outstanding product and retailers' increasing use of our apparel futures
program. This broad-based acceptance of NIKE apparel validates our
belief
that we will be the dominant player in the U.S. athletic apparel market
in
fiscal 1997.*

"Outside the U.S., there is great parity in our growth, with each of our
three regions -- Europe, Asia Pacific and the Americas -- showing
revenue
increases of over 30 percent for the fourth quarter and the full year.

"The NIKE brand has excellent momentum going into fiscal 1997, as
evidenced
by our record futures orders. In U.S. footwear, our two largest
categories
showed particular strength with men's basketball up 48 percent and
women's
fitness up 67 percent. The balanced growth can also be seen in men's
running where U.S. footwear futures orders increased 110 percent."*

In the fourth quarter, U.S. athletic footwear and apparel revenues
totaled $1.02 billion, an increase of 44 percent. International
athletic
footwear and apparel revenues increased 35 percent to $768.7 million.
Revenues from other brands, which include Bauer (formerly Canstar
Sports),
Cole Haan, Tetra Plastics and Sports Specialties, decreased 1 percent
to
$132.9 million.

Consolidated gross margins for the quarter were 39.6 percent compared to
40.1 percent last year. Selling and administrative expenses were 25.4
percent of fourth quarter revenues, compared with 26.2 percent last
year.
NIKE's balance sheet remained very strong. The current ratio at May 31,
1996, was 1.9 to 1. Cash and short-term investments totaled $262.1
million.
Total U.S. footwear inventory units ended the quarter essentially flat
compared to February 29, 1996 and up 17 percent from May 31, 1995.

For the full fiscal year, U.S. athletic footwear and apparel revenues
increased 32 percent to $3.62 billion. U.S. athletic footwear grew
20 percent to $2.77 billion while U.S. apparel rose to $842.5 million,
an increase of 99 percent.

Full-year international athletic footwear and apparel revenues
increased 36 percent to $2.33 billion. International athletic footwear
totaled $1.68 billion, an increase of 35 percent while international
apparel grew 38 percent to $651.3 million. Revenues from other brands
increased 68 percent to $521.9 million. Excluding Bauer, revenues from
other brands would have increased 16 percent.

Consolidated gross margins for 1996 were 39.6 percent of revenues
compared
to 39.8 percent last year. Selling and administrative expenses were
24.6
percent of revenues compared with 25.4 percent last year. Spending in
absolute dollars increased $378.9 million or 31 percent from last year.
The Company's tax rate for the full year remained constant at 38.5
percent.

As of May 31, 1996 the Company had purchased a total of 5.1 million
shares of NIKE's Class B Common Stock for approximately $301.7 million
in
the open market in conjunction with the $450 million, three-year share
repurchase program approved in July 1993. During fiscal 1996, the
Company
purchased a total of 200,000 shares for approximately $18.8 million. The
Board of Directors voted to extend the existing share repurchase program
until July 1, 1999.

NIKE, Inc., based in Beaverton, Oregon, is the world's leading designer
and
marketer of authentic athletic footwear, apparel and accessories for a
wide
variety of sports and fitness activities. Wholly-owned NIKE
subsidiaries
include Bauer, Inc., the world's leading manufacturer of hockey
equipment;
Cole Haan, which markets a line of high-quality men's and women's dress
and
casual shoes; and Sports Specialties, which markets a full line of
licensed
headwear. All per share data reflects the Company's 2-for-1 stock split
which
became effective October 30, 1995.

*The marked items are forward-looking statements that involve risks and
uncertainties that could cause actual results to differ materially.
These
risks and uncertainties are detailed from time to time in reports filed
by
NIKE with the S.E.C., including Forms 8-K, 10-Q, and 10-K. Some
forward-
looking statements in this release concern futures orders which are not
necessarily indicative of total revenues for subsequent periods due to
the mix
of futures and "at once" orders, which may vary significantly from
quarter to
quarter.