June 01, 2009

At Nike, CR = Sustainable Business + Innovation

A letter from Hannah Jones.

June 2009

As we’ve shared over the past decade of work and reporting, Nike’s CR journey continues to evolve.

This year has seen a number of developments on the CR front, not the least of which has been the restructure of the CR department as part of the NIKE, Inc workforce review. The workforce review, largely completed in June 2009, is intended to position the company for future growth and to align the business to take advantage of our biggest opportunities.

The CR department has also taken advantage of the opportunity to restructure the team to further pursue innovative and sustainable business models for the future. The aim of this new team, now called Sustainable Business and Innovation, will be to drive sustainability across all aspects of Nike.

While Nike’s commitment to the three key areas of factory working conditions, Considered design and the environment, and sport for social change continues, the way in which we will be organized to achieve innovative and sustainable results for the business is evolving.

We have exciting things to share: progressive steps to integrate not only corporate responsibility principles into the business but actual ownership, accountability and targets; further extension of our Considered design ethos that incorporates sustainability into product design; new coalitions and collaborations on key issues such as climate change and factory monitoring; new systems that measure the impact of our investment in and partnership with communities; and progress against the targets that we set and shared in FY05/06.

Rather than report on alternating fiscal years, as we have done in the past, we have decided to share fiscal 2009 performance along with the FY07-08 information we have gathered and analyzed. This change will allow us to share our going-forward process and strategy and to highlight performance that occurred before this change to the business and our team.

Our fiscal year ended May 31, 2009 and we are now gathering, reviewing and incorporating FY09 information into our stakeholder engagement process to report by February 2010.

We look forward to sharing both our performance and our path forward.

Kind regards,

Hannah Jones VP, Nike Sustainable Business + Innovation