0001498301-16-000193.txt : 20161026 0001498301-16-000193.hdr.sgml : 20161026 20161026161033 ACCESSION NUMBER: 0001498301-16-000193 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20161026 ITEM INFORMATION: Other Events ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20161026 DATE AS OF CHANGE: 20161026 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Ascena Retail Group, Inc. CENTRAL INDEX KEY: 0001498301 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-APPAREL & ACCESSORY STORES [5600] IRS NUMBER: 300641353 STATE OF INCORPORATION: DE FISCAL YEAR END: 0730 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-11736 FILM NUMBER: 161952748 BUSINESS ADDRESS: STREET 1: 933 MACARTHUR BOULEVARD CITY: MAHWAH STATE: NJ ZIP: 07430 BUSINESS PHONE: 551.777.6700 MAIL ADDRESS: STREET 1: 933 MACARTHUR BOULEVARD CITY: MAHWAH STATE: NJ ZIP: 07430 8-K 1 a8-k_fy17xnewsegments.htm 8-K Document


 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

 
FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934

October 26, 2016
Date of Report (date of earliest event reported)
 


ASCENA RETAIL GROUP, INC.
(Exact name of Registrant as specified in its charter)

 
 
 
Delaware
0-11736
30-0641353
(State or other jurisdiction of
incorporation)
(Commission File Number)
(IRS Employer
Identification Number)


933 MacArthur Boulevard
Mahwah, New Jersey 07430
(Address of principal executive offices, including zip code)

(551) 777-6700
(Registrant’s telephone number, including area code)

(Former name or former address, if changed since last report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4c))


 






Item 8.01 Other Events.

Historically, ascena retail group, inc. (the “Company”) organized its businesses into six reportable segments following a brand-focused approach: ANN, Justice, Lane Bryant, maurices, dressbarn and Catherines.

In October 2016, as previously announced in its Current Report on Form 8-K filed October 7, 2016, the Company initiated a restructuring plan with the objective of delivering sustainable long-term growth and shareholder value (the "Change for Growth" program). The Change for Growth program is expected to (i) refine the operating model to increase its focus on key customer segments, (ii) improve the time-to-market, (iii) reduce working capital and (iv) enhance the ability to serve the customers on any purchasing platform, all while better leveraging the Company's shared service platform. As part of refining the operating model, the Company shifted from a brand-based focus to a customer-based focus in order to reduce organizational overlap and maximize operational efficiencies. In doing so, the Company eliminated a number of executive positions during the first quarter of Fiscal 2017.

As a result of the Change for Growth program, effective with the beginning of its current fiscal year ending July 29, 2017, the Company reorganized its businesses into four operating segments to reflect the new customer-based operating model: Premium Fashion, Value Fashion, Plus Fashion and Kids Fashion. Each segment is led by a segment manager who is directly accountable for that segment's financial performance and maintains regular contact with the Company's chief operating decision maker (the "CODM") to review the operating activities, financial results, forecasts and business plans of the segment. Accordingly, the Company's CODM evaluates performance and allocates resources at the segment level.

This Current Report on Form 8-K is being provided to recast historically reported segment information for the fiscal years ended July 30, 2016 (“Fiscal 2016”) and July 25, 2015 (“Fiscal 2015”), in order to enhance the comparability of the Company’s segment operating performance. This data was derived from the previously filed quarterly reports on Form 10-Q and annual reports on Form 10-K in respect of Fiscal 2016 and Fiscal 2015.There have been no changes in total net sales, total operating income, total depreciation and amortization, total inventories or total long-lived tangible asset impairments in any period. This recast segment information is included herein as Exhibit 99.1.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

Exhibit Number
 
Description
 
 
 
99.1
 
Recast segment information for Fiscal 2016 and Fiscal 2015.



SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

ASCENA RETAIL GROUP, INC.
(Registrant)

Date: October 26, 2016

By:
/s/ Ernest LaPorte
Name: Ernest LaPorte
Title: Senior Vice President and Chief Accounting Officer
(Principal Accounting Officer)


 EX-99.1 2 exhibit991newsegmentfy17.htm EXHIBIT 99.1 Exhibit

Exhibit 99.1
ascena retail group, inc.                                        
Recast Segment Information (unaudited)
For Fiscal 2016 and Fiscal 2015
 
Fiscal Year Ended July 30, 2016
 
 
Fiscal Year Ended July 25, 2015
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Total
 
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Total
Net sales:
(millions)
 
 
(millions)
    Premium Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        ANN (a)
$
501.2

 
$
637.5

 
$
575.1

 
$
617.1

 
$
2,330.9

 
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

    Total Premium Fashion
501.2

 
637.5

 
575.1

 
617.1

 
2,330.9

 
 
—

 
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Value Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        maurices
282.7

 
291.6

 
269.4

 
257.6

 
1,101.3

 
 
251.9

 
279.8

 
274.9

 
254.0

 
1,060.6

        dressbarn
247.4

 
221.6

 
241.5

 
282.8

 
993.3

 
 
259.6

 
230.4

 
244.3

 
289.3

 
1,023.6

    Total Value Fashion
530.1

 
513.2

 
510.9

 
540.4

 
2,094.6

 
 
511.5

 
510.2

 
519.2

 
543.3

 
2,084.2

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Plus Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        Lane Bryant
256.2

 
282.3

 
273.9

 
317.9

 
1,130.3

 
 
245.7

 
279.5

 
278.7

 
292.0

 
1,095.9

        Catherines
79.1

 
81.3

 
80.5

 
92.4

 
333.3

 
 
80.0

 
85.0

 
88.6

 
92.4

 
346.0

    Total Plus Fashion
335.3

 
363.6

 
354.4

 
410.3

 
1,463.6

 
 
325.7

 
364.5

 
367.3

 
384.4

 
1,441.9

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Kids Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        Justice
305.4

 
327.5

 
228.9

 
244.5

 
1,106.3

 
 
357.0

 
413.9

 
263.8

 
242.1

 
1,276.8

    Total Kids Fashion
305.4

 
327.5

 
228.9

 
244.5

 
1,106.3

 
 
357.0

 
413.9

 
263.8

 
242.1

 
1,276.8

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total net sales
$
1,672.0

 
$
1,841.8

 
$
1,669.3

 
$
1,812.3

 
$
6,995.4

 
 
$
1,194.2

 
$
1,288.6

 
$
1,150.3

 
$
1,169.8

 
$
4,802.9

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Operating (loss) income:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Premium Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        ANN (a)
$
(48.1
)
 
$
(5.8
)
 
$
21.5

 
$
45.7

 
$
13.3

 
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

    Total Premium Fashion
(48.1
)
 
(5.8
)
 
21.5

 
45.7

 
13.3

 
 
—

 
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Value Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        maurices
39.7

 
26.8

 
34.3

 
4.8

 
105.6

 
 
26.9

 
29.2

 
47.4

 
22.4

 
125.9

        dressbarn
(4.7
)
 
(28.1
)
 
1.6

 
17.6

 
(13.6
)
 
 
8.1

 
(15.2
)
 
(6.3
)
 
24.1

 
10.7

    Total Value Fashion
35.0

 
(1.3
)
 
35.9

 
22.4

 
92.0

 
 
35.0

 
14.0

 
41.1

 
46.5

 
136.6

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Plus Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        Lane Bryant
(1.4
)
 
(6.1
)
 
10.9

 
17.2

 
20.6

 
 
(8.6
)
 
(10.0
)
 
6.9

 
(296.3
)
 
(308.0
)
        Catherines
4.8

 
(0.8
)
 
6.3

 
6.0

 
16.3

 
 
7.9

 
5.3

 
8.5

 
9.3

 
31.0

    Total Plus Fashion
3.4

 
(6.9
)
 
17.2

 
23.2

 
36.9

 
 
(0.7
)
 
(4.7
)
 
15.4

 
(287.0
)
 
(277.0
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Kids Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        Justice
40.2

 
13.2

 
(8.8
)
 
(15.6
)
 
29.0

 
 
40.8

 
12.6

 
(17.5
)
 
(98.7
)
 
(62.8
)
    Total Kids Fashion
40.2

 
13.2

 
(8.8
)
 
(15.6
)
 
29.0

 
 
40.8

 
12.6

 
(17.5
)
 
(98.7
)
 
(62.8
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unallocated acquisition and integration expenses
(42.5
)
 
(16.0
)
 
(8.4
)
 
(10.5
)
 
(77.4
)
 
 
(9.0
)
 
(5.3
)
 
(4.6
)
 
(12.8
)
 
(31.7
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total operating (loss) income
$
(12.0
)
 
$
(16.8
)
 
$
57.4

 
$
65.2

 
$
93.8

 
 
$
66.1

 
$
16.6

 
$
34.4

 
$
(352.0
)
 
$
(234.9
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization expense:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Premium Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        ANN (a)
$
27.7

 
$
32.8

 
$
33.6

 
$
33.9

 
$
128.0

 
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

    Total Premium Fashion
27.7

 
32.8

 
33.6

 
33.9

 
128.0

 
 
—

 
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Value Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        maurices
11.6

 
12.2

 
12.6

 
14.9

 
51.3

 
 
10.6

 
10.4

 
10.7

 
11.6

 
43.3

        dressbarn
13.4

 
13.6

 
13.2

 
15.0

 
55.2

 
 
11.8

 
12.8

 
12.8

 
13.3

 
50.7

    Total Value Fashion
25.0

 
25.8

 
25.8

 
29.9

 
106.5

 
 
22.4

 
23.2

 
23.5

 
24.9

 
94.0

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Plus Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        Lane Bryant
10.5

 
10.7

 
10.5

 
11.3

 
43.0

 
 
11.6

 
11.4

 
12.0

 
11.8

 
46.8

        Catherines
2.3

 
2.3

 
2.1

 
2.4

 
9.1

 
 
1.7

 
1.7

 
2.0

 
1.8

 
7.2

    Total Plus Fashion
12.8

 
13.0

 
12.6

 
13.7

 
52.1

 
 
13.3

 
13.1

 
14.0

 
13.6

 
54.0

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Kids Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        Justice
17.0

 
17.8

 
17.9

 
19.4

 
72.1

 
 
14.8

 
15.7

 
19.4

 
20.3

 
70.2

    Total Kids Fashion
17.0

 
17.8

 
17.9

 
19.4

 
72.1

 
 
14.8

 
15.7

 
19.4

 
20.3

 
70.2

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total depreciation and amortization expense
$
82.5

 
$
89.4

 
$
89.9

 
$
96.9

 
$
358.7

 
 
$
50.5

 
$
52.0

 
$
56.9

 
$
58.8

 
$
218.2


(a) The acquisition of ANN was consummated on August 21, 2015, and therefore, amounts for ANN are not included in the Fiscal 2015 amounts. The results of ANN for the post-acquisition period from August 22, 2015 through July 30, 2016 are included within the Company's consolidated results of operations for Fiscal 2016.




ascena retail group, inc.                                        
Recast Segment Information, continued (unaudited)
For Fiscal 2016 and Fiscal 2015

 
Fiscal Year Ended July 30, 2016
 
 
Fiscal Year Ended July 25, 2015
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Total
 
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
Total
 
(millions)
 
 
(millions)
Long-lived tangible asset impairments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Premium Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        ANN (a)
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

    Total Premium Fashion
—

 
—

 
—

 
—

 
—

 
 
—

 
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Value Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        maurices
0.6

 
0.6

 
0.7

 
0.3

 
2.2

 
 
0.8

 
0.7

 
0.5

 
0.6

 
2.6

        dressbarn
1.0

 
2.5

 
1.1

 
1.3

 
5.9

 
 
0.1

 
0.3

 
0.2

 
0.6

 
1.2

    Total Value Fashion
1.6

 
3.1

 
1.8

 
1.6

 
8.1

 
 
0.9

 
1.0

 
0.7

 
1.2

 
3.8

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Plus Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        Lane Bryant
—

 
0.9

 
0.4

 
1.5

 
2.8

 
 
0.2

 
0.4

 
—

 
—

 
0.6

        Catherines
—

 
—

 
—

 
—

 
—

 
 
—

 
—

 
—

 
—

 
—

    Total Plus Fashion
—

 
0.9

 
0.4

 
1.5

 
2.8

 
 
0.2

 
0.4

 
—

 
—

 
0.6

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Kids Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        Justice
0.3

 
1.4

 
0.2

 
0.5

 
2.4

 
 
0.7

 
4.0

 
0.8

 
0.9

 
6.4

    Total Kids Fashion
0.3

 
1.4

 
0.2

 
0.5

 
2.4

 
 
0.7

 
4.0

 
0.8

 
0.9

 
6.4

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total tangible assets impairment charges
$
1.9

 
$
5.4

 
$
2.4

 
$
3.6

 
$
13.3

 
 
$
1.8

 
$
5.4

 
$
1.5

 
$
2.1

 
$
10.8

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
As of
 
 
 
 
As of
 
 
 
October 24, 2015
 
January 23, 2016
 
April 23, 2016
 
July 30, 2016
 
 
 
 
October 25, 2014
 
January 24, 2015
 
April 25, 2015
 
July 25, 2015
 
 
Inventories:
(millions)
 
 
 
 
(millions)
 
 
    Premium Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        ANN (a)
$
296.6

 
$
212.5

 
$
235.9

 
$
198.6

 
 
 
 
$
—

 
$
—

 
$
—

 
$
—

 
 
    Total Premium Fashion
296.6

 
212.5

 
235.9

 
198.6

 

 
 
—

 
—

 
—

 
—

 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Value Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        maurices
129.8

 
103.5

 
105.2

 
102.0

 
 
 
 
114.7

 
90.5

 
104.3

 
103.8

 
 
        dressbarn
107.1

 
84.3

 
116.4

 
86.8

 
 
 
 
103.7

 
86.7

 
119.7

 
93.3

 
 
    Total Value Fashion
236.9

 
187.8

 
221.6

 
188.8

 

 
 
218.4

 
177.2

 
224.0

 
197.1

 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Plus Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        Lane Bryant
151.5

 
128.3

 
151.1

 
125.8

 
 
 
 
144.4

 
125.0

 
147.0

 
126.5

 
 
        Catherines
45.6

 
30.1

 
41.7

 
28.6

 
 
 
 
37.6

 
27.8

 
40.5

 
29.7

 
 
    Total Plus Fashion
197.1

 
158.4

 
192.8

 
154.4

 

 
 
182.0

 
152.8

 
187.5

 
156.2

 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Kids Fashion:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        Justice
158.6

 
101.2

 
88.9

 
107.5

 
 
 
 
225.6

 
147.8

 
132.1

 
136.0

 
 
    Total Kids Fashion
158.6

 
101.2

 
88.9

 
107.5

 

 
 
225.6

 
147.8

 
132.1

 
136.0

 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Inventories
$
889.2

 
$
659.9

 
$
739.2

 
$
649.3

 

 
 
$
626.0

 
$
477.8

 
$
543.6

 
$
489.3

 


(a) The acquisition of ANN was consummated on August 21, 2015, and therefore, amounts for ANN are not included in the Fiscal 2015 amounts. The results of ANN for the post-acquisition period from August 22, 2015 through July 30, 2016 are included within the Company's consolidated results of operations for Fiscal 2016.