American Eagle Outfitters, Inc. is a retailer that designs, markets and sells its own brand of clothing targeting 15 to 25-year-olds in its United States and Canadian retail stores. The Company's collection includes standards, such as jeans and graphic T-shirts, as well as essentials, such as accessories, outerwear, footwear, basics and swimwear that are marketed under its American Eagle Outfitters, American Eagle and AE brand names. American Eagle Outfitters, Inc. also distributes merchandise via its e-commerce operation, ae.com, which offers additional sizes, colors and styles of AE merchandise. The Company introduced MARTIN + OSA, a sportswear concept targeting 25 to 40 year-old women and men during the fiscal year ended February 3, 2007 (fiscal 2006). MARTIN + OSA carries apparel, accessories and footwear, using denim and sport inspiration, to design fun and sport back into sportswear. As of February 3, 2007, the Company operated 906 American Eagle Outfitters stores in the United States and Canada (including three aerie stand-alone stores) and five MARTIN + OSA stores. In February 2006, the Company sold certain assets of National Logistics Services (NLS) to 6510965 Canada Inc., a Canadian company.
During fiscal 2006, American Eagle Outfitters, Inc. operated in 50 states, the District of Columbia, Puerto Rico and Canada. During fiscal 2006, it opened 50 stores, consisting of 41 United States AE stores, one Canadian AE store, three aerie stand-alone stores and five MARTIN + OSA stores. During fiscal 2006, the Company increased its total Canadian AE store base to 72 stores.
In fiscal 2006, American Eagle Outfitters, Inc. launched its sub-brand, aerie by American Eagle, which targets its core AE customers. The aerie collection of dormwear and intimates includes bras, undies, camis, hoodies, robes, boxers and sweats for the AE girl. The aerie collection is offered in all American Eagle stores, including 18 side-by-side stores, three stand-alone stores and on ae.com. The Company's stores average approximately 5,700 gross square feet and approximately 4,600 on a selling square foot basis. At February 3, 2007, it operated 911 stores in the United States and Canada under the American Eagle Outfitters and MARTIN + OSA brands. American Eagle Outfitters, Inc. offers its United States customers an American Eagle private-label credit card, which is issued by a third-party bank. Gift cards can be purchased in the Company's American Eagle stores in the United States and Canada, as well as through its e-commerce site, ae.com. The Company purchases merchandise from suppliers, who either manufacture their own merchandise or supply merchandise manufactured by others, or both.