EXIT ACTIVITY COSTS (Tables)

9 Months Ended

Oct. 31, 2021

Heritage Retail Exit [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring and Related Costs

Heritage Brands Retail Exit Costs

The Company announced on July 14, 2020 plans to streamline its North American operations to better align its business with the evolving retail landscape, including the exit from its Heritage Brands Retail business, which consisted of 162 directly operated stores in North America and was substantially completed in the second quarter of 2021. In connection with the exit from the Heritage Brands Retail business, the Company recorded pre-tax costs during 2020 and the thirty-nine weeks ended October 31, 2021 as shown in the following table. All expected costs related to the exit from the Heritage Brands Retail business were incurred by the end of the second quarter of 2021.

(In millions)	Costs Incurred During the Thirty-Nine Weeks Ended 10/31/21		Cumulative Costs Incurred
Severance, termination benefits and other employee costs	$	10.8	$	25.4
Long-lived asset impairments	—		7.2
Accelerated amortization of lease assets	5.9		13.1
Contract termination and other costs	4.4		4.4
Total	$	21.1	$	50.1

The costs incurred during 2020 and the thirty-nine weeks ended October 31, 2021 relate to SG&A expenses of the Heritage Brands Retail segment. Please see Note 19, “Segment Data,” for further discussion of the Company’s reportable segments.

Schedule of Restructuring Reserve by Type of Cost

The liabilities at October 31, 2021 related to these costs were principally recorded in accrued expenses in the Company’s Consolidated Balance Sheet and were as follows:

(In millions)	Liability at 1/31/21		Costs Incurred During the Thirty-Nine Weeks Ended 10/31/21		Costs Paid During the Thirty-Nine Weeks Ended 10/31/21		Liability at 10/31/21
Severance, termination benefits and other employee costs	$	12.6	$	10.8	$	15.2	$	8.2
Contract termination and other costs	—		4.4		1.5		2.9
Total	$	12.6	$	15.2	$	16.7	$	11.1

North America workforce reduction [Member]

Restructuring Cost and Reserve [Line Items]

Schedule of Restructuring Reserve by Type of Cost

The liabilities at October 31, 2021 related to these costs were principally recorded in accrued expenses in the Company’s Consolidated Balance Sheet and were as follows:

(In millions)	Liability at 1/31/21		Costs Incurred During the Thirty-Nine Weeks Ended 10/31/21		Costs Paid During the Thirty-Nine Weeks Ended 10/31/21		Liability at 10/31/21
Severance, termination benefits and other employee costs	$	11.4	$	—	$	9.8	$	1.6

Reduction in Workforce and Real Estate Footprint

Restructuring Cost and Reserve [Line Items]

Restructuring and Related Costs

The Company announced in March 2021 plans to streamline its organization through reductions in its workforce, primarily in certain international markets, and to reduce its real estate footprint, including reductions in office space and select store closures, which are expected to result in annual cost savings of approximately $60 million. In connection with these activities, the Company recorded pre-tax costs during the thirteen and thirty-nine weeks ended October 31, 2021 as shown in the following table. All expected costs related to the 2021 reductions in workforce and real estate footprint were incurred during the thirty-nine weeks ended October 31, 2021.

(In millions)	Costs Incurred During the Thirteen Weeks Ended 10/31/21		Costs Incurred During the Thirty-Nine Weeks Ended 10/31/21
Severance, termination benefits and other employee costs	$	2.5	$	15.7
Long-lived asset impairments	—		28.1
Contract termination and other costs	—		3.8
Total	$	2.5	$	47.6

Of the charges incurred during the thirty-nine weeks ended October 31, 2021, $1.7 million relate to SG&A expenses of the Tommy Hilfiger North America segment, $8.9 million relate to SG&A expenses of the Tommy Hilfiger International segment, $2.1 million relate to SG&A expenses of the Calvin Klein North America segment, $6.4 million relate to SG&A expenses of the Calvin Klein International segment and $28.5 million relate to corporate SG&A expenses not allocated to any reportable segment. Please see Note 19, “Segment Data,” for further discussion of the Company’s reportable segments.

Schedule of Restructuring Reserve by Type of Cost

The liabilities at October 31, 2021 related to these costs were principally recorded in accrued expenses in the Company’s Consolidated Balance Sheet and were as follows:

(In millions)	Liability at 1/31/21		Costs Incurred During the Thirty-Nine Weeks Ended 10/31/21		Costs Paid During the Thirty-Nine Weeks Ended 10/31/21		Liability at 10/31/21
Severance, termination benefits and other employee costs	$	—	$	15.7	$	7.0	$	8.7
Contract termination and other costs	—		3.8		3.6		0.2
Total	$	—	$	19.5	$	10.6	$	8.9