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Wiki	Wiki Summary
Arithmetic	Arithmetic (from Ancient Greek ἀριθμός (arithmós) 'number', and τική [τέχνη] (tikḗ [tékhnē]) 'art, craft') is an elementary part of mathematics that consists of the study of the properties of the traditional operations on numbers—addition, subtraction, multiplication, division, exponentiation, and extraction of roots. In the 19th century, Italian mathematician Giuseppe Peano formalized arithmetic with his Peano axioms, which are highly important to the field of mathematical logic today.
Operation Mincemeat	Operation Mincemeat was a successful British deception operation of the Second World War to disguise the 1943 Allied invasion of Sicily. Two members of British intelligence obtained the body of Glyndwr Michael, a tramp who died from eating rat poison, dressed him as an officer of the Royal Marines and placed personal items on him identifying him as the fictitious Captain (Acting Major) William Martin.
Operations management	Operations management is an area of management concerned with designing and controlling the process of production and redesigning business operations in the production of goods or services. It involves the responsibility of ensuring that business operations are efficient in terms of using as few resources as needed and effective in meeting customer requirements.
Special operations	Special operations (S.O.) are military activities conducted, according to NATO, by "specially designated, organized, selected, trained, and equipped forces using unconventional techniques and modes of employment". Special operations may include reconnaissance, unconventional warfare, and counter-terrorism actions, and are typically conducted by small groups of highly-trained personnel, emphasizing sufficiency, stealth, speed, and tactical coordination, commonly known as "special forces".
Operations research	Operations research (British English: operational research), often shortened to the initialism OR, is a discipline that deals with the development and application of advanced analytical methods to improve decision-making. It is sometimes considered to be a subfield of mathematical sciences.
Emergency operations center	An emergency operations center (EOC) is a central command and control facility responsible for carrying out the principles of emergency preparedness and emergency management, or disaster management functions at a strategic level during an emergency, and ensuring the continuity of operation of a company, political subdivision or other organization.\nAn EOC is responsible for strategic direction and operational decisions and does not normally directly control field assets, instead leaving tactical decisions to lower commands.
Operation (mathematics)	In mathematics, an operation is a function which takes zero or more input values (called operands) to a well-defined output value. The number of operands (also known as arguments) is the arity of the operation.
Financial condition report	In accounting, a financial condition report (FCR) is a report on the solvency condition of an insurance company that takes into account both the current financial status, as reflected in the balance sheet, and an assessment of the ability of the company to survive future risk scenarios. Risk assessment in an FCR involves dynamic solvency testing, a type of dynamic financial analysis that simulates management response to risk scenarios, to test whether a company could remain solvent in the face of deteriorating economic conditions or major disasters.
Balance sheet	In financial accounting, a balance sheet (also known as statement of financial position or statement of financial condition) is a summary of the financial balances of an individual or organization, whether it be a sole proprietorship, a business partnership, a corporation, private limited company or other organization such as government or not-for-profit entity. Assets, liabilities and ownership equity are listed as of a specific date, such as the end of its financial year.
Financial statement	Financial statements (or financial reports) are formal records of the financial activities and position of a business, person, or other entity.\nRelevant financial information is presented in a structured manner and in a form which is easy to understand.
Trustmark (bank)	Trustmark is a commercial bank and financial services company headquartered in Jackson, Mississippi, United States, with subsidiaries Trustmark National Bank, Trustmark Investment Advisors, and Fisher Brown Bottrell Insurance. The bank's initial predecessor, The Jackson Bank, was chartered by the State of Mississippi in 1889.
Financial analysis	Financial analysis (also referred to as financial statement analysis or accounting analysis or Analysis of finance) refers to an assessment of the viability, stability, and profitability of a business, sub-business or project. \nIt is performed by professionals who prepare reports using ratios and other techniques, that make use of information taken from financial statements and other reports.
Form 10-K	A Form 10-K is an annual report required by the U.S. Securities and Exchange Commission (SEC), that gives a comprehensive summary of a company's financial performance. Although similarly named, the annual report on Form 10-K is distinct from the often glossy "annual report to shareholders," which a company must send to its shareholders when it holds an annual meeting to elect directors (though some companies combine the annual report and the 10-K into one document).
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Federated state	A federated state (which may also be referred to as a state, a province, a region, a canton, a land, a governorate, an oblast, an emirate or a country) is a territorial and constitutional community forming part of a federation. Such states differ from fully sovereign states, in that they do not have full sovereign powers, as the sovereign powers have been divided between the federated states and the central or federal government.
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Departments of France	In the administrative divisions of France, the department (French: département, pronounced [depaʁtəmɑ̃]) is one of the three levels of government under the national level ("territorial collectivities"), between the administrative regions and the communes. Ninety-six departments are in metropolitan France, and five are overseas departments, which are also classified as overseas regions.
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Departments of Bolivia	Bolivia is a unitary state consisting of nine departments (Spanish: departamentos). Departments are the primary subdivisions of Bolivia, and possess certain rights under the Constitution of Bolivia.
Departments of Colombia	Colombia is a unitary republic made up of thirty-two departments (Spanish: departamentos, sing. departamento) and a Capital District (Distrito Capital).
Departments of the Government of the United Kingdom	The Government of the United Kingdom is divided up into departments. These, according to the government, are responsible for putting government policy into practice.
Departments of El Salvador	El Salvador is divided into 14 departments (Spanish: departamentos) for administrative purposes, subdivided into 262 municipalities (municipios). The country is a unitary state.
Departments of Nicaragua	Nicaragua is a unitary republic, divided for administrative purposes into fifteen departments (Spanish: departamentos) and two autonomous regions (Spanish: regiones autónomas):\n\n\n== Autonomous regions ==\nIn 1987, the new constitution established the Charter of Autonomy (limited self-government) for the former department of Zelaya, comprising the entire eastern half of the country. The department was divided into two autonomous regions (communities): the North Caribbean Coast Autonomous Region and the South Caribbean Coast Autonomous Region.
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Departments of Haiti	In the administrative divisions of Haiti, the department (French: département d'Haïti, pronounced [depaʁtəmɑ̃ d‿aiti]; Haitian Creole: depatman Ayiti) is the first of four levels of government. Haiti is divided administratively into ten departments, which are further subdivided into 42 arrondissements, 145 communes, and 571 communal sections.In 2014, there was a proposal by the Chamber of Deputies to increase the number of departments from 10 to 14 —perhaps as high as 16.
Merchandise Mart	The Merchandise Mart (or the Merch Mart, or the Mart) is a commercial building located in downtown Chicago, Illinois. When it was opened in 1930, it was the largest building in the world, with 4 million square feet (372,000 m2) of floor space.
Merchandising	Merchandising is any practice which contributes to the sale of products to a retail consumer. At a retail in-store level, merchandising refers to displaying products that are for sale in a creative way that entices customers to purchase more items or products.
Merchandiser	A merchandiser is an arcade gaming device, which features a machine that contains a display of merchandise, which can be won by playing the game.\nIn the trade, such games are described as "skill with prize" (SWP) games, and are a hybrid of games of skill and games of chance, with the preponderance of skill or chance differing between devices and often able to be set by the operator.
Visual merchandising	Visual Merchandising is the practice in the retail industry of optimizing the presentation of products and services to better highlight their features and benefits. The purpose of such visual merchandising is to attract, engage, and motivate the customer towards making a purchase.Visual merchandising traditionally occurs in brick and mortar stores using a blend of lighting, color combinations, and articles of decor to stimulate an observer and generate interest.
Gross merchandise volume	Gross merchandise volume (alternatively gross merchandise value or GMV) is a term used in online retailing to indicate a total sales monetary-value (e.g. in U.S. dollars or Euros) for merchandise sold through a particular marketplace over a certain time frame.

Risk Factors
FINLAY ENTERPRISES INC /DE Item 1A Risk Factors
14 ITEM 1A RISK FACTORS FORWARD-LOOKING INFORMATION AND RISK FACTORS THAT MAY AFFECT FUTURE RESULTS Set forth below are certain important risks and uncertainties that could adversely affect our results of operations or financial condition and cause our actual results to differ materially from those expressed in the forward-looking statements made by us
See &quote Forward Looking Statements &quote in Item 7 for additiona l risk factors
THE LOSS OF OUR RELATIONSHIP WITH FEDERATED, OR SIGNIFICANT STORE CLOSURE S BY OUR HOST STORE GROUPS, COULD MATERIALLY ADVERSELY AFFECT OUR BUSINESS In August 2005, Federated announced that it had completed a merger with May
In September 2005, Federated announced its integration plans and, accordingly, effective as of the beginning of 2006, we now operate a total of 401 departments in six of Federatedapstas nine divisions, which excludes 194 departments in stores that are scheduled to be closed throughout the Spring 200 6 season
Additionally, in January 2006, Federated announced its intention to divest its Lord & Taylor division
Further, in March 2006, Federated announced its intention to divest an additional five underperforming Lord & Taylor stores and convert one store to Macyapstas
A decision by Federated, or certain of our other host store groups, to terminate existing relationships, transfer the operation of some or all of their departments to a competitor, assume the operation of those departments themselves, or close a significant number of stores, could have a material adverse effect on our business and financial condition
During 2005, approximately 72prca of our sales were generated by departments operated in store groups owned by Federated and those stores previously owned by May
SEASONALITY OF THE RETAIL JEWELRY BUSINESS AND FLUCTUATIONS IN OUR QUARTERLY RESULTS COULD ADVERSELY AFFECT OUR PROFITABILITY Our business is highly seasonal, with a significant portion of our sales and income from operations generated during the fourth quarter of each year, which includes the year-end holiday season
The fourth quarter of 2005 accounte d for 43prca of our sales
We have typically experienced net losses in the first three quarters of our fiscal year
During these periods, working capital requirements have been funded by borrowings under our revolving credit facility
A substantial decrease in sales during th e fourth quarter, whether resulting from adverse weather conditions, natural disasters or any other cause, would have a material adverse effect on our profitability
OUR LOCATIONS ARE HEAVILY DEPENDENT ON CUSTOMER TRAFFIC AND THE CONTINUED POPULARITY OF OUR HOST STORES AND MALLS The success of our locations depends, in part, on the ability of host stores to generate consumer traffic in their stores, and the continuing popularity of malls and department stores as shopping destinations
Sales volum e and customer traffic may be adversely affected by economic slowdowns in a particular geographic area, the closing of anchor tenants, or competition from retailers such as discount and mass merchandise stores and other department and specialty jewelry stores where we do not have locations
WE MAY NOT BE ABLE TO SUCCESSFULLY IDENTIFY, FINANCE, INTEGRATE OR MAKE ACQUISITIONS OUTSIDE OF THE LICENSED JEWELRY DEPARTMENT BUSINESS We may from time to time examine opportunities to acquire or invest in companies or businesses that complement our existing core business, such as our acquisition of Carlyle
There can be no assurance that the Carlyle acquisition or any other future acquisitions by us will be successful or improve our operating results
In addition, our ability to complete acquisitions will depen d on the availability of both suitable target businesses and acceptable financing
Any acquisitions may result in a potentially dilutive issuance of additional equity securities, the incurrence of additional debt or increased working capital requirements
Such acquisitions could involve numerous additional risks , including difficulties in the assimilation of the operations, products, service s and personnel of any acquired company, diversion of 14 our managementapstas attention from other business concerns, and expansion into new businesses with which we may have no prior experience
OUR PROFITABILITY DEPENDS, IN PART, UPON OUR ABILITY TO CONTINUE TO OBTAI N SUBSTANTIAL AMOUNTS OF MERCHANDISE ON CONSIGNMENT AND ON FINLAY JEWELRY &apos S ABILITY TO CONTINUE ITS GOLD CONSIGNMENT AGREEMENT In recent years, on average, approximately 50prca of our merchandise has bee n obtained on consignment
The willingness of vendors to enter into such arrangements may vary substantially from time to time based on a number of factors, including the merchandise involved, the financial resources of vendors , interest rates, availability of financing, fluctuations in gem and gold prices, inflation, our financial condition and a number of other economic or competitiv e conditions in the jewelry business or generally
In addition, Finlay Jewelryapstas Gold Consignment Agreement allows us to receive consignment merchandise by providing gold, or otherwise making payment, to certain vendors
As the price o f gold increases, the amount of consigned gold that is available to us is reduced pursuant to the limitations of the Gold Consignment Agreement
In the event tha t this agreement is terminated, Finlay Jewelry would be required to return the gold or purchase the outstanding gold at the prevailing, and likely higher, gol d price in effect on that date
TERRORIST ATTACKS, ACTS OF WAR, OR OTHER FACTORS AFFECTING DISCRETIONARY CONSUMER SPENDING MAY ADVERSELY AFFECT OUR INDUSTRY, OUR OPERATIONS AND OUR PROFITABILITY Terrorist activities, armed hostilities and other political instability, as well as a decline in general economic conditions, including the countryapstas financial markets, a decline in consumer credit availability, increases in prevailing interest rates, or increases in energy costs, could materially reduc e discretionary consumer spending particularly with respect to luxury items and, therefore, materially adversely affect our business and financial condition, especially if such changes were to occur in the fourth quarter of our fiscal year
VOLATILITY IN THE AVAILABILITY AND COST OF PRECIOUS METALS AND PRECIOUS AND SEMI-PRECIOUS STONES COULD ADVERSELY AFFECT OUR BUSINESS The jewelry industry in general is affected by fluctuations in the prices of precious metals and precious and semi-precious stones
The availability and prices of gold, diamonds and other precious metals and precious and semi-precious stones may be influenced by cartels, political instability in exporting countries and inflation
Shortages of these materials or sharp change s in their prices could have a material adverse effect on our results of operations or financial condition
Although we attempt to protect against such fluctuations in the price of gold by entering into gold forward contracts, ther e can be no assurance that these hedging practices will be successful or that hedging transactions will not adversely affect our results of operations or financial condition
A significant change in prices of key commodities, including gold, could adversely affect our business by reducing operating margins and impacting consumer demand if retail prices are increased significantly
THE RETAIL JEWELRY BUSINESS IS HIGHLY COMPETITIVE We face competition for retail jewelry sales from national and regional jewelry chains, other department stores, local independently owned jewelry stores, specialty stores, mass merchandisers, catalog showrooms, discounters, direct mail suppliers, internet merchants and televised home shopping
Some of our competitors are substantially larger and have greater financial resources than us
WE MAY NOT BE ABLE TO COLLECT PROCEEDS FROM OUR HOST STORES Our license agreements typically require the host stores to remit the net sales proceeds for each month to us approximately three weeks after the end of such month
However, we cannot assure you that we will timely collect the net sales proceeds due to us from our host stores
If one or more host stores fail to remit the net sales proceeds for a substantial period of time or during the fourth quarter of our fiscal year 15 due to financial instability, insolvency or otherwise, this could have a material adverse impact on our liquidity
WE ARE DEPENDENT ON SEVERAL KEY VENDORS AND OTHER SUPPLIERS In 2005, approximately 31prca of sales related to the Finlay departments wer e generated by merchandise obtained from their five largest vendors, and approximately 10prca of sales related to the Finlay departments were generated by merchandise obtained from their largest vendor
Additionally, merchandise obtained from Carlyleapstas two largest vendors generated approximately 52prca of its sales
There can be no assurance that we can identify, on a timely basis, alternate sources of merchandise supply in the case of an abrupt loss of any of our significant suppliers
Additionally, we receive allowances from our vendors through a variety of programs and arrangements, including cooperative advertising
A significant reduction in the collection of such allowances may negatively impact our future gross margins and/or increase future selling, general and administrative expenses ( &quote SG&A &quote ), and may reduce future net income
OUR SUCCESS DEPENDS ON OUR ABILITY TO IDENTIFY AND RAPIDLY RESPOND TO FASHION TRENDS The jewelry industry is subject to rapidly changing fashion trends and shifting consumer demands
Accordingly, our success depends on the priority tha t our target customers place on fashion and our ability to anticipate, identify and capitalize upon emerging fashion trends
WE MAY NOT BE ABLE TO SUCCESSFULLY EXPAND OUR BUSINESS OR INCREASE THE NUMBER OF DEPARTMENTS WE OPERATE A significant portion of our growth in sales and income from operations i n recent years has resulted from our ability to obtain licenses to operate departments in new host store groups and the addition of new departments in existing host store groups
We cannot predict the number of departments we will operate in the future
WE COULD BE MATERIALLY ADVERSELY AFFECTED IF OUR DISTRIBUTION OPERATIONS ARE DISRUPTED In the event that our distribution facilities were to shut down or otherwise become inoperable or inaccessible for any reason, we could incur higher costs and longer lead times associated with the distribution of merchandise to our stores during the time it takes to reopen or replace the affected facility
WE ARE HEAVILY DEPENDENT ON OUR MANAGEMENT INFORMATION SYSTEMS AND OUR ABILITY TO MAINTAIN AND UPGRADE THESE SYSTEMS FROM TIME TO TIME The efficient operation of our business is heavily dependent on our management information systems
In particular, we rely on our inventory and merchandising control systems, which allow us to make better decisions in the allocation and distribution of our merchandise
Our business and operations could be materially and adversely affected if our systems were inoperable or inaccessible or if we were not able, for any reason, to successfully restore ou r systems and fully execute our disaster recovery plan
From time to time, we improve and upgrade our management information systems
If we are unable to maintain and upgrade our systems or to integrate new and updated systems in an efficient and timely manner, our business and results of operations could be materially and adversely affected
WE DEPEND ON KEY PERSONNEL Our success depends to a significant extent upon our ability to retain ke y personnel, particularly Arthur E Reiner, our Chairman and Chief Executive Officer
Reinerapstas services or one or more of our current member s of senior management, or our failure to attract talented new employees, could have a material adverse effect on our business
16 OUR SUBSTANTIAL DEBT AND DEBT SERVICE REQUIREMENTS COULD ADVERSELY AFFECT OUR BUSINESS We currently have a significant amount of debt
As of January 28, 2006, w e had dlra200dtta0 million of debt outstanding under our Senior Notes
Additionally, at January 28, 2006, we had dlra10dtta9 million in letters of credit under our dlra225dtta0 million revolving credit facility (the &quote Revolving Credit Facility &quote ) and borrowings under the Revolving Credit Agreement were reduced to zero by the end of January 2006
During 2005, our average revolver balance was dlra79dtta4 million an d we peaked in usage at dlra158dtta2 million, at which point the available borrowings were an additional dlra55dtta9 million
In addition, as of January 28, 2006, the valu e of gold outstanding under the Gold Consignment Agreement totaled approximately dlra50dtta0 million
Subject to the terms of the covenants relating to our indebtedness, we may incur additional indebtedness, including secured debt, in the future
THE TERMS OF OUR DEBT INSTRUMENTS AND OTHER OBLIGATIONS IMPOSE FINANCIAL AND OPERATING RESTRICTIONS The Revolving Credit Agreement, Gold Consignment Agreement and the indenture relating to the Senior Notes contain restrictive covenants that will limit our ability to engage in activities that may be in our long-term best interests
These covenants include limitations on, or relating to, capital expenditures, liens, indebtedness, investments, mergers, acquisitions, affiliated transactions, management compensation and the payment of dividends and other restricted payments
Although we are in compliance with our financial covenants as of January 28, 2006, as a result of the Federated/May merger and the impact of the merger on our future results of operations, we have amended our financial covenants for 2006 with respect to the Revolving Credit Agreement and the Gold Consignment Agreement
THE FUTURE IMPACT OF LEGAL AND REGULATORY ISSUES IS UNKNOWN Our business is subject to government laws and regulations including, but not limited to, employment laws and regulations, state advertising regulations, quality standards imposed by federal law, and other laws and regulations
A violation or change of these laws could have a material adverse effect on our business, financial condition and results of operations
In addition, the futur e impact of litigation arising in the ordinary course of business may have an adverse effect on the financial results or reputation of the company
As of January 28, 2006, Carlyle had a total of 32 leased stores
Carlyleapstas store leases are generally for a term of ten years, with rent being a fixed minimum base plus, for certain of the stores , a percentage of store sales in excess of a specified threshold
Carlyle has generally been successful in negotiating leases for new stores and lease renewals
However, Carlyleapstas business, financial condition and operating result s could be adversely affected if Carlyle is unable to continue to negotiate favorable new and renewal lease terms
WE COULD HAVE FAILURES IN OUR SYSTEM OF INTERNAL CONTROLS We maintain a documented system of internal controls which is reviewed an d monitored by management, who meet regularly with the Audit Committee of our Board of Directors
We believe we have a well-designed system to maintain adequate internal controls, however, there can be no assurances that control deficiencies will not arise in the future
Although we have devoted significant resources to document, test, monitor and improve our internal controls, we cannot be certain that these measures will ensure that our controls will be adequate in the future or that adequate controls will be effective in preventin g fraud
Any failures in the effectiveness of our internal controls could have a material adverse effect on our operating results or cause us to fail to meet reporting obligations