The U.S. Securities and Exchange Commission (SEC) requires all public and private companies in the US market to provide an annual financial report of their performances. There is a specific form for this report called 10-K. In the recent times, companies also use 10-K report to show the organizational stats to stakeholders at the annual meetings.
Kmart Cooperation 10-K Form of 2003 describes the most important aspect of the organization’s performance of the last year. First of all, it cover the operational stats: Kmart operates through 1829 retail stores in 50 locations in the US, Puerto Rico, Guam and in the US Virgin Islands. Afterwards, the report depicts the market competition and the strategy for the next year, specially, the expected outcome after $2 billion Exit Financing Facility (Day, 2003). Also, according to the latest updates, there were over 3 million cardholders of Kmart MasterCard (while it was launched only in 2000). It is a mixture of Kmart label and MasterCard acceptance all over the world.
Form 10-K includes the data about employees (over 200 thousand at the beginning of 2003), food and consumables distribution, properties, legal proceedings etc. Then, the second part of the report shows the financial statistics such as Net Income ($3,219 million), stock price (ranging between $8.42 and $10.66 per stock), total sale price (over $30 billion) and so on (Day, 2003).
The last, but not the least, the Form 10-K describes the Kmart Corporation Cash Flow along with its Assets. It also includes the corresponding notes for the financial statements and tables. As the conclusion, this form usually includes the predictions for the following month, quarter, year and/or decade. This is important to analyze the result based on the previous years and forecast the most achievable goals for the future.
Reference
Day, J. (2003). Form 10-K. Troy, Michigan: Kmart Coproration. Retrieved from http://www.jaarverslag.com/assets/reports/JaarverslagCOM_Sears_Jaarverslag_2003.PDF
