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SEGMENT DATA (Tables)
6 Months Ended
Aug. 05, 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
 
 
Twenty-Six Weeks Ended
 
(In millions)
8/5/18
(1) 
7/30/17
(1) 
 
8/5/18
(1) 
7/30/17
(1) 
Revenue – Calvin Klein North America
 
 
 
 
 
 
 
 
 
Net sales    
$
425.0

 
$
348.3

 
 
$
792.3

 
$
678.4

 
Royalty revenue    
32.0

 
31.6

 
 
66.0

 
66.7

 
Advertising and other revenue    
10.5

 
12.3

 
 
23.7

 
22.5

 
Total    
467.5

 
392.2

 
 
882.0

 
767.6

 
 
 
 
 
 
 
 
 
 
 
Revenue – Calvin Klein International
 
 
 
 
 
 
 
 
 
Net sales
435.3

 
370.0

 

884.1

 
724.8

 
Royalty revenue
16.0

 
17.3

 
 
34.5

 
36.9

 
Advertising and other revenue
6.3

 
7.0

 
 
14.5

 
13.0

 
Total
457.6

 
394.3

 
 
933.1

 
774.7

 
 
 
 
 
 
 
 
 
 
 
Revenue – Tommy Hilfiger North America
 
 
 
 
 
 
 
 
 
Net sales    
417.8

 
380.8

 
 
756.7

 
678.9

 
Royalty revenue    
14.5

 
15.3

 
 
32.9

 
31.8

 
Advertising and other revenue    
4.3

 
3.7

 
 
8.2

 
7.6

 
Total    
436.6

 
399.8

 
 
797.8

 
718.3

 
 
 
 
 
 
 
 
 
 
 
Revenue – Tommy Hilfiger International
 
 
 
 
 
 
 
 
 
Net sales    
572.3

 
479.1

 
 
1,209.5

 
986.9

 
Royalty revenue    
13.0

 
11.7

 
 
25.0

 
21.8

 
Advertising and other revenue    
6.7

 
1.0

 
 
12.1

 
6.6

 
Total    
592.0

 
491.8

 
 
1,246.6

 
1,015.3

 
 
 
 
 
 
 
 
 
 
 
Revenue – Heritage Brands Wholesale
 
 
 
 
 
 
 
 
 
Net sales
302.0

 
316.7

 
 
642.8

 
643.5

 
Royalty revenue
5.0

 
4.7

 
 
10.4

 
9.7

 
Advertising and other revenue
1.1

 
0.9

 
 
2.0

 
1.8

 
Total
308.1

 
322.3

 
 
655.2

 
655.0

 
 
 
 
 
 
 
 
 
 
 
Revenue – Heritage Brands Retail
 
 
 
 
 
 
 
 
 
Net sales
70.8

 
68.6

 
 
131.3

 
126.0

 
Royalty revenue
1.0

 
0.8

 
 
2.1

 
1.8

 
Advertising and other revenue
0.1

 
0.1

 
 
0.2

 
0.2

 
Total
71.9

 
69.5

 
 
133.6

 
128.0

 
 
 
 
 
 
 
 
 
 
 
Total Revenue
 
 
 
 
 
 
 
 
 
Net sales    
2,223.2

 
1,963.5

 
 
4,416.7

 
3,838.5

 
Royalty revenue    
81.5

 
81.4

 
 
170.9

 
168.7

 
Advertising and other revenue    
29.0

 
25.0

 
 
60.7

 
51.7

 
Total    
$
2,333.7

 
$
2,069.9

 
 
$
4,648.3

 
$
4,058.9

 

(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
 
Twenty-Six Weeks Ended
(In millions)
8/5/18
 
7/30/17
 
8/5/18
 
7/30/17
Wholesale net sales
$
1,130.5

 
$
967.5

 
$
2,414.6

 
$
2,076.6

Retail net sales
1,092.7

 
996.0

 
2,002.1

 
1,761.9

Net sales
2,223.2

 
1,963.5

 
4,416.7

 
3,838.5

 
 
 
 
 
 
 
 
Royalty revenue
81.5

 
81.4

 
170.9

 
168.7

Advertising and other revenue
29.0

 
25.0

 
60.7

 
51.7

Total
$
2,333.7

 
$
2,069.9

 
$
4,648.3

 
$
4,058.9


The Company’s income before interest and taxes by segment was as follows:
 
Thirteen Weeks Ended
 
 
Twenty-Six Weeks Ended
 
(In millions)
8/5/18
(1) 
 
7/30/17
(1) 
 
8/5/18
(1) 
 
7/30/17
(1) 
Income before interest and taxes – Calvin Klein North America
$
59.8

 
 
$
48.0

 
 
$
103.3

 
 
$
89.9

 
 
 
 
 
 
 
 
 
 
 
 
 
Income before interest and taxes – Calvin Klein International
45.2

 
 
47.5

 
 
110.3

 
 
99.1

 
 
 
 
 
 
 
 
 
 
 
 
 
Income before interest and taxes – Tommy Hilfiger North America
74.2

 
 
53.2

(3) 
 
115.0

 
 
34.4

(3)(4) 
 
 
 
 
 
 
 
 
 
 
 
 
Income before interest and taxes – Tommy Hilfiger International
59.8

 
 
38.2

 
 
151.0

 
 
90.3

(4) 
 
 
 
 
 
 
 
 
 
 
 
 
Income before interest and taxes – Heritage Brands Wholesale
26.5

 
 
30.5

 
 
66.3

 
 
60.8

 
 
 
 
 
 
 
 
 
 
 
 
 
Income before interest and taxes – Heritage Brands Retail
6.1

 
 
4.5

 
 
7.9

 
 
6.0

 
 
 
 
 
 
 
 
 
 
 
 
 
Loss before interest and taxes – Corporate (2)    
(40.2
)
 
 
(41.4
)
(5) 

(78.1
)
 
 
(86.8
)
(5)(6) 
 
 
 
 
 
 
 
 
 
 
 
 
Income before interest and taxes
$
231.4

 
 
$
180.5

 
 
$
475.7

 
 
$
293.7

 

(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 Karl Lagerfeld Holding B.V., 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) 
Income before interest and taxes for the thirteen and twenty-six weeks ended July 30, 2017 included costs of $7.1 million and $14.1 million, respectively, associated with the relocation of the Tommy Hilfiger office in New York, including noncash depreciation expense.

(4) 
Income before interest and taxes for the twenty-six weeks ended July 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 and twenty-six weeks ended July 30, 2017 included costs of $5.5 million and $7.3 million, respectively, associated with the consolidation within the Company’s warehouse and distribution network in North America.

(6) 
Loss before interest and taxes for the twenty-six weeks ended July 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.