Business Segments (Notes)

9 Months Ended

Oct. 02, 2021

Segment Reporting [Abstract]

Business Segments

BUSINESS SEGMENTS

The Company’s brands are organized into the following two operating segments, which the Company has determined to be reportable segments.

•Wolverine Michigan Group, consisting of Merrell® footwear and apparel, Cat® footwear, Wolverine® footwear and apparel, Chaco® footwear, Hush Puppies® footwear and apparel, Bates® uniform footwear, Harley-Davidson® footwear and Hytest® safety footwear; and

•Wolverine Boston Group, consisting of Sperry® footwear, Saucony® footwear and apparel, Keds® footwear, and the Kids’ footwear business, which includes the Stride Rite® licensed business, as well as Kids' footwear offerings from Saucony®, Sperry®, Keds®, Merrell®, Hush Puppies® and Cat®.

The Company also reports “Other” and “Corporate” categories. The Other category consists of the Sweaty Betty® activewear business, the Company’s leather marketing operations, sourcing operations that include third-party commission revenues and multi-branded consumer-direct retail stores.

The reportable segments are engaged in designing, manufacturing, sourcing, marketing, licensing and distributing branded footwear, apparel and accessories. Revenue for the reportable segments includes revenue from the sale of branded footwear, apparel and accessories to third-party customers; revenue from third-party licensees and distributors; and revenue from the Company’s consumer-direct businesses. The Company’s reportable segments are determined based on how the Company internally reports and evaluates financial information used to make operating decisions.

The Corporate category consists of unallocated corporate expenses, such as corporate employee costs, costs related to the COVID-19 pandemic and environmental and other related costs.

Company management uses various financial measures to evaluate the performance of the reportable segments. The following is a summary of certain key financial measures for each reportable segment.

	Quarter Ended				Year-to-Date Ended
(In millions)	October 2, 2021		September 26, 2020		October 2, 2021		September 26, 2020
Revenue:
Wolverine Michigan Group	$	324.8	$	287.3	$	976.9	$	752.5
Wolverine Boston Group	258.8		193.8		717.7		498.4
Other	53.1		12.0		84.7		30.6
Total	$	636.7	$	493.1	$	1,779.3	$	1,281.5
Operating profit (loss):
Wolverine Michigan Group	$	61.3	$	52.3	$	196.0	$	133.8
Wolverine Boston Group	44.1		33.0		125.2		60.4
Other	2.4		0.7		3.9		1.0
Corporate	(65.3)		(43.4)		(160.7)		(128.2)
Total	$	42.5	$	42.6	$	164.4	$	67.0

(In millions)	October 2, 2021		January 2, 2021		September 26, 2020
Total assets:
Wolverine Michigan Group	$	692.5	$	626.9	$	691.8
Wolverine Boston Group	1,162.4		1,077.8		1,322.5
Other	599.6		31.4		33.6
Corporate	226.9		401.3		453.2
Total	$	2,681.4	$	2,137.4	$	2,501.1
Goodwill:
Wolverine Michigan Group	$	145.2	$	145.4	$	143.9
Wolverine Boston Group	296.4		297.0		293.9
Other	113.9		—		—
Total	$	555.5	$	442.4	$	437.8