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GOODWILL AND OTHER INTANGIBLE ASSETS
 12 Months Ended
Feb. 02, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND OTHER INTANGIBLE ASSETS GOODWILL AND OTHER INTANGIBLE ASSETS

The changes in the carrying amount of goodwill, by segment (please see Note 21, “Segment Data,” for further discussion of the Company’s reportable segments), were as follows:
(In millions)
Calvin Klein North America
 
Calvin Klein International
 
Tommy Hilfiger North America
 
Tommy Hilfiger International
 
Heritage Brands Wholesale
 
Heritage Brands Retail
 
Total
Balance as of February 4, 2018
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill, gross
$
780.2

 
$
942.0

 
$
204.4

 
$
1,661.6

 
$
246.5

 
$
11.9

 
$
3,846.6

Accumulated impairment losses
—

 
—

 
—

 
—

 
—

 
(11.9
)
 
(11.9
)
Goodwill, net
780.2

 
942.0

 
204.4

 
1,661.6

 
246.5

 
—

 
3,834.7

Contingent purchase price payments to Mr. Calvin Klein
1.0

 
0.7

 
—

 
—

 
—

 
—

 
1.7

Currency translation
(0.9
)
 
(33.2
)
 
—

 
(131.8
)
 
—

 
—

 
(165.9
)
Balance as of February 3, 2019
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill, gross
780.3

 
909.5

 
204.4

 
1,529.8

 
246.5

 
11.9

 
3,682.4

Accumulated impairment losses
—

 
—

 
—

 
—

 
—

 
(11.9
)
 
(11.9
)
Goodwill, net
780.3

 
909.5

 
204.4

 
1,529.8

 
246.5

 
—

 
3,670.5

Australia acquisition
—

 
9.1

 
—

 
56.8

 
—

 
—

 
65.9

TH CSAP acquisition
—

 
—

 
—

 
63.9

 
—

 
—

 
63.9

Reclassification of goodwill to assets held for sale
—

 
—

 
—

 
—

 
(48.1
)
 
—

 
(48.1
)
Currency translation
0.1

 
(22.5
)
 
—

 
(52.2
)
 
—

 
—

 
(74.6
)
Balance as of February 2, 2020
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill, gross
780.4

 
896.1

 
204.4

 
1,598.3

 
198.4

 
11.9

 
3,689.5

Accumulated impairment losses
—

 
—

 
—

 
—

 
—

 
(11.9
)
 
(11.9
)
Goodwill, net
$
780.4

 
$
896.1

 
$
204.4

 
$
1,598.3

 
$
198.4

 
$
—

 
$
3,677.6



The goodwill acquired in the Australia and TH CSAP acquisitions was assigned as of the respective acquisition dates to the Company’s reporting units that are expected to benefit from the synergies of the combinations.

The Company reclassified $48.1 million of goodwill to assets held for sale in the Company’s Consolidated Balance Sheet as of February 2, 2020 in connection with the Speedo transaction. Please see Note 4, “Assets Held For Sale,” for further discussion.
    
The Company was required to make contingent purchase price payments to Mr. Calvin Klein in connection with the Company’s acquisition of all of the issued and outstanding stock of Calvin Klein, Inc. and certain affiliated companies. Such payments were based on 1.15% of total worldwide net sales (as defined in the acquisition agreement, as amended), of products bearing any of the CALVIN KLEIN brands and were required to be made with respect to sales made through February 12, 2018. A significant portion of the sales on which the payments to Mr. Klein were made were wholesale sales by the Company and its licensees and other partners to retailers. All payments due to Mr. Klein under the agreement have been made.
    
The Company’s other intangible assets consisted of the following:
 
2019
 
2018
(In millions)
Gross
Carrying
Amount
 
Accumulated
Amortization
 
Net
 
Gross
Carrying
Amount
 
Accumulated
Amortization
 
Net
Intangible assets subject to amortization:
 
 
 
 
 
 
 
 
 
 
 
Customer relationships (1)(2)
$
289.9

 
$
(189.2
)
 
$
100.7

 
$
307.4

 
$
(186.1
)
 
$
121.3

Reacquired license rights
502.5

 
(161.9
)
 
340.6

 
523.8

 
(154.4
)
 
369.4

Total intangible assets subject to amortization
792.4

 
(351.1
)
 
441.3

 
831.2

 
(340.5
)
 
490.7

 
 
 
 
 
 
 
 
 
 
 
 
Indefinite-lived intangible assets:
 
 
 
 
 
 
 
 
 
 
 
Tradenames
2,830.2

 
—

 
2,830.2

 
2,863.7

 
—

 
2,863.7

Perpetual license right (2)
—

 
—

 
—

 
203.8

 
—

 
203.8

Reacquired perpetual license rights (1)
209.2

 
—

 
209.2

 
11.0

 
—

 
11.0

Total indefinite-lived intangible assets
3,039.4

 
—

 
3,039.4

 
3,078.5

 
—

 
3,078.5

Total other intangible assets
$
3,831.8

 
$
(351.1
)
 
$
3,480.7

 
$
3,909.7

 
$
(340.5
)
 
$
3,569.2



The gross carrying amount and accumulated amortization of certain intangible assets include the impact of changes in foreign currency exchange rates.

(1) The change from February 3, 2019 to February 2, 2020 included intangible assets recorded in connection with the Australia acquisition. The intangible assets as of the acquisition date included reacquired perpetual license rights of $204.9 million, which are indefinite-lived, and customer relationships of $17.0 million, which are being amortized on a straight-line basis over 10.0 years, both of which were subject to exchange rate fluctuations after the acquisition date.

(2) The change from February 3, 2019 to February 2, 2020 included the intangible assets of the Company’s Speedo North America business, consisting of customer relationships of $7.9 million and a perpetual license right of $203.8 million. The Company recorded a $116.4 million noncash impairment charge related to the Speedo perpetual license right in the fourth quarter of 2019 in connection with the Speedo transaction. The remaining perpetual license right of $87.4 million and the customer relationships of $7.9 million were reclassified to assets held for sale in the Company’s Consolidated Balance Sheet as of February 2, 2020. Please see Note 4, “Assets Held For Sale,” for further discussion.

Amortization expense related to the Company’s intangible assets subject to amortization was $39.7 million and $62.8 million for 2019 and 2018, respectively. The decrease is primarily related to the reacquired license rights recorded in connection with the acquisition of the 55% ownership interests in the Company’s former joint venture for TOMMY HILFIGER in China that it did not already own (the “TH China acquisition”), which became fully amortized in 2018.

Assuming constant foreign currency exchange rates and no change in the gross carrying amount of the intangible assets, amortization expense for the next five years related to the Company’s intangible assets subject to amortization as of February 2, 2020 is expected to be as follows:

(In millions)
 
 
Fiscal Year
 
Amount
2020
 
$
36.8

2021
 
36.6

2022
 
34.3

2023
 
24.0

2024
 
23.6