People walks past a Nike shop under the company logo at the Sanlitun shopping area in central Beijing, August 8, 2013.REUTERS/Petar Kujundzic
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With its shares and confidence surging, Nike Inc. was on top of the world in 2015 . The company was at an "all-time high," Chief Executive Officer Mark Parker said at an investor day in October of that year. Since Parker made the forecast, Nike's stock is down 17 percent – erasing $22 billion in market value.That record includes a 2010-15 period in which Nike dominated the U.S. – the company's largest and oldest market – with average annual sales gains of 10 percent.But Parker, a Nike lifer who became CEO in 2006, didn't foresee that the boom in athletic footwear and apparel would fizzle. Foot Locker Inc. is just behind it, with a 53-percent drop.As a result, Parker's projected $50 billion in sales, which the company had proposed reaching by the fiscal year ending in May 2020, might fall short by $10 billion.Nike expects to grow at a similar rate this year as U.S. weakness continues.Nike earlier this year announced its first major layoffs since the financial crisis, cutting about 2 percent of its workforce, or 1,400 employees.
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