XML 48 R28.htm IDEA: XBRL DOCUMENT v3.24.0.1
Business Segments (Notes)
 12 Months Ended
Dec. 30, 2023
Segment Reporting [Abstract]  
Business Segments BUSINESS SEGMENTS
The Company’s portfolio of brands are organized into the following reportable segments.
•Active Group, consisting of Merrell® footwear and apparel, Saucony® footwear and apparel, Sweaty Betty® activewear, and Chaco® footwear;
•Work Group, consisting of Wolverine® footwear and apparel, Cat® footwear, Bates® uniform footwear, Harley-Davidson® footwear and HYTEST® safety footwear;
The Company's operating segments are the Active Group, Work Group, and Sweaty Betty®. Sweaty Betty® and the Active Group were evaluated and combined into one reportable segment because they meet the similar economic characteristics and qualitative aggregation criteria set forth in the relevant accounting guidance
Kids' footwear offerings from Saucony®, Sperry®, Keds®, Merrell®, Hush Puppies® and Cat® are included with the applicable brand.
The Company also reports “Other” and “Corporate” categories. Other consists of Sperry® footwear, Keds® footwear, Hush Puppies® footwear and apparel, the Company’s leather marketing operations, sourcing operations that include third-party commission revenues, multi-branded direct-to-consumer retail stores and the Stride Rite® licensed business. Prior to the fourth quarter of 2023, Sperry®, Keds®, and Hush Puppies® financial results were reported in the Lifestyle Group. The Lifestyle Group is no longer a reportable segment based upon how the Chief Operating Decision Maker, the Company's Chief Executive Officer, allocates resources to and assesses performance of the Company's operating segments. The Corporate category consists of gains on the sale of businesses and trademarks, unallocated corporate expenses, such as corporate employee costs, corporate facility costs, reorganization activities, impairment of long-lived assets and environmental and other related costs.
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 direct-to-consumer businesses. The Company’s reportable segments are determined based on how the Company internally reports and evaluates financial information used to make operating decisions.
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 the respective fiscal periods indicated.
 Fiscal Year
(In millions)202320222021
Revenue:
Active Group$1,439.1 $1,570.2 $1,319.6 
Work Group480.6 590.5 548.8 
Other323.2 524.1 546.5 
Total$2,242.9 $2,684.8 $2,414.9 
Operating profit (loss):
Active Group$140.3 $198.4 $229.5 
Work Group58.1 102.5 103.8 
Other32.8 59.9 75.6 
Corporate(299.4)(569.2)(253.2)
Total$(68.2)$(208.4)$155.7 
Interest expense, net63.5 47.3 37.4 
Debt extinguishment and other costs— — 34.3 
Other expense (income), net2.5 (2.8)3.7 
Earnings (loss) before income taxes$(134.2)$(252.9)$80.3 
 Fiscal Year
(In millions)202320222021
Depreciation and amortization expense:
Active Group$10.7 $8.1 $5.4 
Work Group0.4 0.3 0.3 
Other2.9 3.4 3.9 
Corporate21.1 22.8 23.6 
Total$35.1 $34.6 $33.2 
Capital expenditures:
Active Group$9.7 $18.9 $5.0 
Work Group0.1 0.4 0.4 
Other0.1 5.2 1.8 
Corporate4.7 12.0 10.4 
Total$14.6 $36.5 $17.6 


(In millions)December 30,
2023		December 31,
2022
Total assets:
Active Group$1,183.9 $1,331.5 
Work Group288.4 375.7 
Other250.8 573.4 
Corporate339.7 212.1 
Total$2,062.8 $2,492.7 
Goodwill:
Active Group$317.7 $314.4 
Work Group60.3 59.6 
Other49.1 111.0 
Total$427.1 $485.0 
Geographic dispersion of revenue from external customers, based on shipping destination is as follows:
Fiscal Year
(In millions)202320222021
United States$1,217.9 $1,563.1 $1,573.9 
Foreign:
Europe, Middle East and Africa540.8 602.5 460.3 
Asia Pacific253.2 245.7 161.6 
Canada107.1 126.8 116.9 
Latin America123.9 146.7 102.2 
Total from foreign territories1,025.0 1,121.7 841.0 
Total revenue$2,242.9 $2,684.8 $2,414.9 
The location of the Company’s tangible long-lived assets, which comprises property, plant and equipment and lease right-of-use assets, is as follows:
(In millions)December 30,
2023		December 31,
2022		January 1,
2022
United States$131.9 $222.3 $205.8 
Foreign countries82.6 88.6 61.4 
Total$214.5 $310.9 $267.2 
The Company does not believe that it is dependent upon any single customer because no customer accounts for more than 10% of consolidated revenue in any year.
During fiscal 2023, the Company sourced 100% of its footwear products and apparel and accessories from third-party suppliers, located primarily in the Asia Pacific region. While changes in suppliers could cause delays in manufacturing and a possible loss of sales, management believes that other suppliers could provide similar products on comparable terms.