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NEVER STOP EXPLORING™

At The North Face^® brand, these three words define who we are, what we do and how we do it. They also capture our passion for outfitting the world's best athletes, who trust The North Face^® brand to protect them and boost their performance while they redefine what's possible. As the world's largest outdoor brand, you might say we're advocates of adventure.

In 2013, The North Face^® brand became VF's first-ever $2 billion brand. Whether you're scaling the world's highest peaks, simply exploring the outdoors, or walking the metropolitan streets of major cities — our athlete- tested, expedition-proven outdoor, action sports and performance apparel, footwear and equipment inspire and reward the adventurer in all of us.

For nearly 50 years, The North Face^® brand has partnered with the world's best outdoor athletes to create our industry's most innovative performance products. In 2013, we went to the extremes to equip our athletes as they pushed the edge of their physical potential and further expanded the boundaries of our technology. One expedition team went to Antarctica to snowboard the treacherous terrain of the earth's southernmost landmass — the ultimate test lab to confirm the authenticity of Steep Series™, our latest line of big-mountain riding gear. At the other end of the globe, some of the world's most accomplished extreme skiers helped us analyze product design features in Alaska's Denali National Park and British Columbia's rugged western ranges. Then there was Iceland — the ultimate proving ground for two of our ultra-runners and an all-new collection of cold-weather running apparel.

2013 was a good year for The North Face^® brand. One product highlight — the first in our Science of Warmth platform — was our ThermoBall™ technology. This proprietary, synthetic insulation is lightweight and compressible. It serves as a sustainable substitute for down that doesn't lose precious heat when it becomes wet. Sales exceeded our expectations, giving us great confidence in our ability to further expand this science and drive more innovation in heat management. Additionally, as a sponsor of the U.S. Ski and Snowboard Association, we worked with our U.S. Freeskiing athletes to create a unique uniform collection for those competing at the Winter Olympics in Sochi.

Global revenues for The North Face^® brand were up 7 percent in 2013 compared with 2012, driven by a mid single-digit increase in the Americas and European businesses and greater than 20 percent growth in the Asia Pacific region.

In 2014, we're looking forward to another year of growth for The North Face^® brand. With continued emphasis on industry-leading product innovations, including the launch of our Mountain Athletics training apparel and the continued expansion of our Ultra footwear collections and ThermoBall™ products, we've never been more excited about the chance to grow this brand into a four-season consumer opportunity, while delivering value to shareholders.

As part of our five-year plan, we expect The North Face^® brand to reach $3.3 billion by 2017, based on a five-year compound annual growth rate of 12 percent. That includes double-digit growth rates in the Americas, Europe and Asia Pacific regions.

As we keep that goal in our sights, we're as passionate as ever about pushing our limits and driving product innovation that benefits everyone who draws inner strength from the great outdoors. While we'll always focus on outfitting the most accomplished outdoor athletes for the world's most extreme conditions, we'll also keep working to inspire all those among us who never stop exploring — whoever they are, wherever they go.

$2B

in revenues in 2013

35%

increase in e-commerce
sales in 2013