The business prospects on the international front continue to become more and more important for Nike.

It's positive to have more scale, more diversity in funding and business lines. But with any acquisition there are challenges of integration, and with Katrina there are special challenges that are ongoing.

We're hearing that Nike is going to match or exceed the 145 million euros Adidas is going to spend for World Cup events,

They are attuned to fashion nuances in Europe. Also, Timberland is perceived as something of a luxury product in Europe and Asia,

Strong consumer interest in higher-priced athletic shoes is leading to slackening interest in Timberland's fashion products,

We knew Europe and Asia-Pacific (future orders) would be difficult, but not to the extent the company just reported.