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SEGMENT DATA (Tables)
3 Months Ended
May 06, 2018
Segment Reporting Information [Line Items]  
Schedule of Segment Reporting Information, by Segment [Table Text Block]
The Company’s revenue by segment was as follows:
 
Thirteen Weeks Ended
 
(In millions)
5/6/18
(1) 
4/30/17
(1) 
Revenue – Calvin Klein North America
 
 
 
 
Net sales    
$
367.3

 
$
330.1

 
Royalty revenue    
34.0

 
35.1

 
Advertising and other revenue    
13.2

 
10.2

 
Total    
414.5

 
375.4

 
 
 
 
 
 
Revenue – Calvin Klein International
 
 
 
 
Net sales
448.8

 
354.8

 
Royalty revenue
18.5

 
19.6

 
Advertising and other revenue
8.2

 
6.0

 
Total
475.5

 
380.4

 
 
 
 
 
 
Revenue – Tommy Hilfiger North America
 
 
 
 
Net sales    
338.9

 
298.1

 
Royalty revenue    
18.4

 
16.5

 
Advertising and other revenue    
3.9

 
3.9

 
Total    
361.2

 
318.5

 
 
 
 
 
 
Revenue – Tommy Hilfiger International
 
 
 
 
Net sales    
637.2

 
507.8

 
Royalty revenue    
12.0

 
10.1

 
Advertising and other revenue    
5.4

 
5.6

 
Total    
654.6

 
523.5

 
 
 
 
 
 
Revenue – Heritage Brands Wholesale
 
 
 
 
Net sales
340.8

 
326.8

 
Royalty revenue
5.4

 
5.0

 
Advertising and other revenue
0.9

 
0.9

 
Total
347.1

 
332.7

 
 
 
 
 
 
Revenue – Heritage Brands Retail
 
 
 
 
Net sales
60.5

 
57.4

 
Royalty revenue
1.1

 
1.0

 
Advertising and other revenue
0.1

 
0.1

 
Total
61.7

 
58.5

 
 
 
 
 
 
Total Revenue
 
 
 
 
Net sales    
2,193.5

 
1,875.0

 
Royalty revenue    
89.4

 
87.3

 
Advertising and other revenue    
31.7

 
26.7

 
Total    
$
2,314.6

 
$
1,989.0

 

(1) 
Revenue was impacted by fluctuations of the United States dollar against foreign currencies in which the Company transacts significant levels of business. Please see section entitled “Results of Operations” in Management’s Discussion and Analysis of Financial Condition and Results of Operations included in Part I, Item 2 of this report for further discussion.


The Company’s revenue by distribution channel was as follows:
 
Thirteen Weeks Ended
 
(In millions)
5/6/18
 
4/30/17
 
Wholesale net sales
$
1,284.1

 
$
1,109.1

 
Retail net sales
909.4

 
765.9

 
Net sales
2,193.5

 
1,875.0

 
 
 
 
 
 
Royalty revenue
89.4

 
87.3

 
Advertising and other revenue
31.7

 
26.7

 
Total
$
2,314.6

 
$
1,989.0

 

The Company’s income before interest and taxes by segment was as follows:
 
Thirteen Weeks Ended
 
(In millions)
5/6/18
(1) 
 
4/30/17
(1) 
Income before interest and taxes – Calvin Klein North America
$
43.5

 
 
$
41.9

 
 
 
 
 
 
 
Income before interest and taxes – Calvin Klein International
65.1

 
 
51.6

 
 
 
 
 
 
 
Income (loss) before interest and taxes – Tommy Hilfiger North America
40.8

 
 
(18.8
)
(3)(4) 
 
 
 
 
 
 
Income before interest and taxes – Tommy Hilfiger International
91.2

 
 
52.1

(4) 
 
 
 
 
 
 
Income before interest and taxes – Heritage Brands Wholesale
39.8

 
 
30.3

 
 
 
 
 
 
 
Income before interest and taxes – Heritage Brands Retail
1.8

 
 
1.5

 
 
 
 
 
 
 
Loss before interest and taxes – Corporate(2)    
(37.9
)
 
 
(45.4
)
(5)(6) 
 
 
 
 
 
 
Income before interest and taxes
$
244.3

 
 
$
113.2

 

(1) 
Income (loss) before interest and taxes was impacted by fluctuations of the United States dollar against foreign currencies in which the Company transacts significant levels of business. Please see section entitled “Results of Operations” in Management’s Discussion and Analysis of Financial Condition and Results of Operations included in Part I, Item 2 of this report for further discussion.

(2) 
Includes corporate expenses not allocated to any reportable segments, the Company’s proportionate share of the net income or loss of its investments in Gazal Corporation Limited and the parent company of the Karl Lagerfeld brand, and the results of PVH Ethiopia. Corporate expenses represent overhead operating expenses and include expenses for senior corporate management, corporate finance, information technology related to corporate infrastructure, certain digital investments, actuarial gains and losses from the Company’s Pension Plans, SERP Plans and Postretirement Plans (which are generally recorded in the fourth quarter) and gains and losses from changes in the fair value of foreign currency option contracts.

(3) 
Loss before interest and taxes for the thirteen weeks ended April 30, 2017 included costs of $7.0 million associated with the relocation of the Tommy Hilfiger office in New York, including noncash depreciation expense.

(4) 
Income (loss) before interest and taxes for the thirteen weeks ended April 30, 2017 included costs of $54.2 million associated with the agreements to restructure the Company’s supply chain relationship with Li & Fung Trading Limited (“Li & Fung”), under which the Company terminated its non-exclusive buying agency agreement with Li & Fung in 2017. Such costs were included in the Company’s segments as follows: $31.3 million in Tommy Hilfiger North America and $22.9 million in Tommy Hilfiger International.

(5) 
Loss before interest and taxes for the thirteen weeks ended April 30, 2017 included costs of $1.8 million associated with the consolidation within the Company’s warehouse and distribution network in North America.

(6) 
Loss before interest and taxes for the thirteen weeks ended April 30, 2017 included costs of $9.4 million related to the noncash settlement of certain of the Company’s benefit obligations related to its Pension Plans as a result of an annuity purchased for certain participants, under which such obligations were transferred to an insurer. Please see Note 8, “Retirement and Benefit Plans,” for further discussion.

Intersegment transactions primarily consist of transfers of inventory principally from the Heritage Brands Wholesale segment to the Heritage Brands Retail segment, the Calvin Klein North America segment and the Tommy Hilfiger North America segment. These transfers are recorded at cost plus a standard markup percentage. Such markup percentage on ending inventory is eliminated principally in the Heritage Brands Retail segment, the Calvin Klein North America segment and the Tommy Hilfiger North America segment.