Forging Ahead

As we enter 2002, we are sharply focused on leveraging the momentum we have created to expand Office Depot’s business. We are seeking new ways to drive sales, manage costs and increase shareholder value. We are undertaking new branding and advertising initiatives that will define the differences between Office Depot and our competitors. We are pursuing fanatical customer service, while leveraging our immense knowledge of our customer base to target our customers more effectively. In addition, we are integrating all of our business channels to make an even more seamless shopping experience for our customers. We expect these actions and others to accelerate growth across all three of our business segments. • At the same time, we are certain that we will continue to face short-term economic challenges that will call for us to make tough decisions and complicated choices. The economy, rapid shifts in technology and fundamental changes in the way Corporate America does business are likely to present new trials at every turn. But we are equally certain that there has never been a better time to invest in our future, as both our Company’s foundation and the opportunities to grow our global industry leadership position are stronger than ever before. • As I consider the journey on which Office Depot embarked in 2001, my greatest single surprise is not the fact that our employees responded to the marked change in leadership and direction; rather it is how they responded to this change — quickly, willingly, and with enormous teamwork and cooperation. I am extremely grateful to the skilled and talented people at Office Depot for their commitment, loyalty, support, trust and confidence. I look to our Company’s future with great enthusiasm, not merely because I know that we can achieve our goals, but also because I know that we will achieve those goals by working harmoniously and synergistically, together.

Bruce Nelson
Chairman and Chief Executive Officer
March 2002