SANEX CHAMPIONSHIPS

October 30, 2001

Bart McGuire

Kevin Wulff

BART McGUIRE: I have very much enjoyed this job for the last four years. I've enjoyed among other things the give and take with the media, who have been very supportive to women's tennis. We appreciate that. We appreciate your continued support at this event. I think we've had a number of accomplishments. I'm pleased with what we've achieved. One of the most important things for any executive is to make sure that the replacement who comes in is of the absolute top quality and will be able to continue and build on what it is that we've been able to build. I'm extremely pleased to be able to introduce my successor here. We set out to find somebody who was a highly skilled and experienced business executive, both experienced in managing people and experienced in managing businesses, and at the same time somebody who had a proven track record in marketing and sales. We have found that in Kevin Wulff, who is with me today. Kevin has spent most of his career over the last 20 years first with Miller Brewing Company and then with Nike. He has broad international experience particularly at Nike. He started out with Nike Canada. And just one statistic on this: when he took over Nike Canada the sales were about $65 million. When he left not very many years later, the sales were $400 million. He then took over Nike of the Americas, which included the entire scope of North and South America, I guess except for the United States. Then he went on to take over Nike in the United States, which is a $5 billion business, which is even larger than the Sanex WTA Tour (smiling). Most recently he has been with Nike in the emerging markets area, which includes the Jordan brand of apparel, Michael Jordan, also golf with Tiger Woods. He's an athlete himself. He played basketball at University. He has a passion for professional sports, which he's been very much involved with both at Miller and at Nike, of course. He is not only a very skilled business executive, but a nice guy as well. He has taken over immediately as president of the Sanex WTA Tour. He and I will overlap for the next couple of months, which I think gives us an opportunity to do a successful and professional transition. At the end of that time, beginning of next year, he will take over as the chairman and chief executive officer of the Sanex WTA Tour. I'm very pleased to introduce to you Kevin Wulff.

KEVIN WULFF: Thank you, Bart. First of all, I'd like to say it's great to be here. As Bart told me numerous times, I've seen for myself the last couple days, it's a great way to start and see one of the I think premiere tournaments in the world. The facility, the site, we talked about the press room, but what a great way to kick off my experience in professional sport with the Sanex Championships here in Munich. I think I may be getting spoiled in my first tournament. But anyhow, it's great to be here. Bart and Harold and a lot of other people on the search committee from the board, from the WTA - it's been handled I think most professionally, very, very thorough, and I felt from day one that I had the qualifications for this job, tremendous CEO experience, building brands and building businesses, and meeting results. I think I have a tremendous passion for sport. Where I may not be a former professional tennis player, I thoroughly still enjoy basketball, volleyball and tennis. Those are the sports that have particular passion for me personally. I'm very excited about that. I think my passion is very, very critical to be successful in this role. International experience is a plus for this particular position. I've met with a lot of people, soliciting ideas on a global basis. I think those ideas will come through with our new business plans and strategic plans that we'll embark on rather quickly. Also I have just a lot of I think positive experience in terms of building strong teams. Bart has blessed me with already putting in place I think some really strong players on the WTA staff. We'll continue to build on that, develop those players. I think we'll build a solid global team, which will be very important. A lot of past history of really getting a lot of the best and brightest within sport, outside of sport, to really take the business, in this case the Sanex WTA Tour, to the next level. I'm really excited about the people we have and bringing in a lot of new people to complement our current team. It's a great challenge. I worked for two great corporations; had a lot of success within those. This is a new type of challenge. I think life is all about challenge. Personally, I'm unbelievably energized about being a part of this team and being a part of this great sport. I think the key ingredient to our mission is to really take the passion and probably the courage to really reinvent just day after day, really take advantage of these tremendous athletes and this great global sport. That's what we'll be doing, is just really having the passion and courage to continually reinvent. That's really what I'm kind of all about. Again, we have a great foundation, tremendous player talent. It's a great sport. There's a great opportunity to build on the house, so to speak, that Bart built. So thank you.

BART McGUIRE: We're happy to take questions, either one of us, from any of you.

KEVIN WULFF: Obviously, I know Nike very well, having been there eight years. I just started my first week with the WTA Tour. I think looking at the WTA Tour and Nike, Nike is a very, very strong, successful brand. I think in Nike, when you have such a strong global brand, part of what we were held accountable for, which is continually to reinvent and keep the brand relevant, very contemporary, very cool, building on what had been built in the past, with our products and with our business overall. I'd say the same thing with the Sanex WTA Tour. I think professional tennis is very established. I'd say the tour is established, but not at the level of Nike. So building the brand, reinventing the brand, clarifying the brand, creating excitement, always having interesting things to say and do about the brand and the business is going to be paramount. I think we have a lot of areas where we can improve and grow with regards to that. I think also just continually building and expanding the brand and business. There's still a lot of areas. It's a big world. I think there's a lot of opportunity for tennis, women's professional tennis, and I think there's areas that have hardly been touched. I think really expanding on that and building on that is going to be very exciting. Again, I compare it to Nike, which is very dominant, powerful in most parts of the world. There's still a lot of opportunity at a smaller level to obviously see a lot of rapid growth in the popularity of women's tennis. The bigness - we made some jokes about the size. I think also the brand, the business, taking advantage of a lot of new opportunities that we can explore and try to find together.

KEVIN WULFF: I'd say there's a lot of areas in terms of opportunity around media - and exposure. I'd say there's also tremendous opportunities - again not taking away from what the past and current teams have done - but just marketing the tour, the athletes. There's a great opportunity in continually making the tournament directors, the players, integrating their voice into a lot of our strategic initiatives moving forward, gaining their support. That's another area where that level of support I think will continue to bode well for growth and opportunity. I think there's a lot of other things to continue to look at, just as any other business would look at. No matter how mature you're at in any market, I think continually re-energizing the brand, stretching the brand, growing the brand, the business, is just something that is a part of a planning process, business planning process, that you want to explore.

BART McGUIRE: Let me add to that. I can be at least as self-critical as anybody. One of the things we have not done ever as a tour is to put any real resources behind the marketing of the brand. We are committed to doing that. In the budget that we have for next year for the first time we will have at least some resources thrown into marketing the tour. What we have done basically is to try to work with the media. But you are creating your own message. We try to shape it. Obviously, it is your message. We will try with some marketing of the tour to go forward with our own message. A second area is that without any question today, I believe women's sport, in particular women's tennis, are a very, very good investment. We have developed partners with Sanex. It is the largest sponsorship in the history of women's sport. With our television partners, Eurosport in particular, it's the largest television contract in the history of women's sport. And with NASDAQ as our North American sponsor. But this is a limited number of corporate sponsors. One of the things that Kevin will be doing is trying to establish relationships with more corporate decision-makers to make them realize that women's tennis is a very good investment for them. We have just begun to scratch the surface on that.

KEVIN WULFF: Very well-articulated. Couldn't have said that better myself. The other thing, I think it's important to note, I think it's equally Bart's conference to kind of talk about the future, but also talk about the past, and I think the growth of tennis has been truly remarkable in terms of participation, in terms of viewership, in terms of attendance. I think the foundation momentum, just the tremendous core of some of the world's greatest athletes, is truly exciting. I think the work that has been done by Sanex and NASDAQ and sponsors, building on that, is critical. I think the Eurosport agreement and a lot of those things are critical. Like everything else, I think the point to be made is we need to build on the things that are working really well and continue to reinvent in areas that we want to expand, explore, and probe into other areas. So expansion, new growth, new opportunity, and I think that's the future of what women's tennis is. I think most people feel that all across the world, the talent of women's tennis has never been as great as it is right now. The marketability of these players, the tour, has never been as great as it is right now. The opportunities really abound. A lot of what we do is uncover a lot of these opportunities, dollar bills on the ground, consumers who haven't been touched or exposed as much as we'd like, being very aggressive, being on the offense to really take advantage of this tremendous talent that we have with the players.

KEVIN WULFF: That's a tough question. You have to remember corporations, you have longer-term rewards. I think the thrill of this job is the challenge of continuing the momentum that Bart and the team have already set into place. I think rewards, just like anything else, come with more success, increased success. I think the greatest thrill about this position is really the challenge of continuing to build the Sanex WTA Tour.

BART McGUIRE: It is fair to say if either Kevin or I were driven by money rather than by a passion for doing the job in this game, we would not be in this position.

KEVIN WULFF: But I do have four young children and they will be fed (laughter). You can make a great living in sport, obviously.

BART McGUIRE: Thank you very much. We look forward to the week here at the Sanex Championships. Thank you.

KEVIN WULFF: Thank you. Again, anything we can do for the press, media, call on us this week and be sure and call on us throughout the tour next year. Thank you.