NIKE, Inc. Reaches Agreement to Acquire Umbro * Move significantly expands Nike's global leadership in football

Beaverton (USA, Oregon) 23 October (PROTEXT/PRNewswire) - NIKE, Inc. (NYSE:NKE) today announced that it has reached agreement on an all-cash offer toacquire Umbro plc, a leading United Kingdom-based global football (soccer)brand with more than 70 years of experience in the world's No. 1 sport andthe world's biggest football market.

(Logo: http://www.newscom.com/cgi-bin/prnh/19990818/NIKELOGO)

The Board of Directors of Umbro plc, which is listed on the London StockExchange, has unanimously recommended that shareholders accept the offer of193.06 pence, which together with the declared dividend values the companyat approximately US$582 million (285 million pounds sterling), orapproximately US$4.00 (195 pence) per share.

"Umbro is a brand with a powerful heritage and deep experience in theworld's most popular sport and the world's biggest football market," saidNike, Inc. President and CEO Mark Parker. "With its close links to TheFootball Association and the England team, Umbro's future is even strongerthan its past. This dynamic alignment of Umbro and Nike, with ourcomplementary strengths and numerous ways to segment and grow the market,will lead the game at every level throughout the world. We are fullycommitted to helping Umbro reach its full potential, and we are delightedthat Umbro's board is unanimous in its support of our offer."

The acquisition will significantly expand Nike's global leadership infootball, a key growth category for the company. Since the early 1990s,Nike has grown its football revenues from about US$40 million toapproximately US$1.5 billion and established brand leadership in the sport.Umbro sells products directly or through licensees in more than 90countries and has sports marketing relationships with many top footballplayers, teams and leagues, including the England national team. Umbro's2006 annual revenues were approximately US$276 million (149.5 millionpounds). Umbro reports that if licensed sales were translated to directsales based on wholesale cost, total wholesale equivalent sales wereapproximately US$755 million (409.4 million pounds).

Commenting on the agreement, Umbro CEO Steve Makin said, "This is anexcellent deal for all our stakeholders: it provides great value forshareholders and exciting prospects for our colleagues, partners andcustomers around the world. We will be a stronger and better business aspart of Nike and this deal will allow us to accelerate our existing growthstrategy by leveraging Nike's global resources and expertise. We lookforward to taking Umbro to new levels with Nike's support."

Brian Barwick, CEO of The Football Association, said: "The FA has enjoyedan excellent partnership with Umbro for more than 20 years. We aredelighted that the proposed acquisition will allow us to continue ourstrong historical relationship with Umbro while benefiting from themarketing expertise and financial strength of Nike. Nike has provided firmassurances that The FA relationship with Umbro will be protected andenhanced, and we look forward to working closely with both companies movingforward."

Nike intends to operate Umbro as a stand-alone affiliate brand, with afocus on accelerating the brand's existing growth strategy. Similar toother brands in Nike's portfolio, Umbro will benefit from Nike's productresearch, design and development expertise, and supply chain anddistribution resources.

Umbro will join a strong and growing Nike portfolio of affiliate brands,including Converse, which was acquired by Nike in 2003, Cole Haan andHurley International. Converse exemplifies Nike's track record of acquiringand growing complementary brands. Since acquiring Converse in 2003, revenuehas grown at a compound rate of 22 percent, and in fiscal 2007 Converserevenues grew over 20 percent to surpass US$550 million. The brand hasbenefited from Nike product design and brand management expertise. Nike'sportfolio of other businesses is contributing more than US$2 billion inrevenue today, and is targeted to contribute 25 percent of the company'srevenue growth by fiscal 2011. To discuss these developments with analystsand investors, the company will hold a conference call Tuesday, October 23,at 3 pm ET.

U.S. Locations: +1-877-407-0778

International Locations: +1-201-689-8565

The call also will be webcast live at http://www.NikeBiz.com/invest. If youare unable to participate in the conference call or would like to access areplay of the call, it will be available beginning October 23, 2007,through October 30, 2007. From U.S. locations, dial +1-877-660-6853 andenter account number 286, conference number 259716 when instructed to doso. From international locations, dial +1-201-612-7415. A replay of thecall also will be available at http://www.NikeBiz.com/invest.

FOR FURTHER INFORMATION:

Investor Contact

Pamela Catlett

Tel.: +1-503-671-4589

Media Contacts

US: Alan Marks, Director of Media Relations: +1-503-671-2673

UK: Charlie Brooks, UK Head of Corporate Communications

Tel.: +44-(0)207-432-6390

About NIKE, Inc.

NIKE, Inc. based near Beaverton, Oregon, is the world's leading designer,marketer and distributor of authentic athletic footwear, apparel, equipmentand accessories for a wide variety of sports and fitness activities. Whollyowned Nike subsidiaries include Converse Inc., which designs, markets anddistributes athletic footwear, apparel and accessories; NIKE Bauer HockeyInc., a leading designer and distributor of hockey equipment; Cole Haan, aleading designer and marketer of luxury shoes, handbags, accessories andcoats; Hurley International LLC, which designs, markets and distributesaction sports and youth lifestyle footwear, apparel and accessories andExeter Brands Group LLC, which designs and markets athletic footwear andapparel for the value retail channel. For further information about Nikevisit http://www.nikebiz.com.

This announcement is not intended to and does not constitute or form anypart of an offer or invitation to sell or subscribe for or purchase anysecurities or solicitation any vote or approval in any jurisdictionpursuant to the acquisition of Umbro plc or otherwise.

The distribution of this announcement in jurisdictions other than the UKand the US may be restricted by law and therefore any persons who aresubject to the laws of any jurisdiction other than the UK and US shouldinform themselves about, and observe, any applicable requirements.

Web site: http://www.nikebiz.com

Source: NIKE, Inc.

Contact: investors, Pamela Catlett, tel.: +1-503-671-4589; or media, US,Alan Marks, Director of Media Relations, tel.: +1-503-671-2673 or UK,Charlie Brooks, UK Head of Corporate Communications, tel.:+44-0-207-432-6390; Photo: NewsCom:http://www.newscom.com/cgi-bin/prnh/19990818/NIKELOGO, AP Archive:http://photoarchive.ap.org, PRN Photo Desk, e-mail: photodesk@prnewswire.com

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