UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-KCURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported):
August 12, 2011
THE JONES GROUP INC.
|
Pennsylvania (State or Other Jurisdiction of Incorporation) |
1-10746 (Commission File Number) |
06-0935166 (IRS Employer Identification No.) |
| 1411 Broadway New York, New York 10018 (Address of principal executive offices) |
||
| (212) 642-3860
(Registrant's telephone number, including area code) |
||
| Not Applicable
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:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 8.01 Other Events.
As reported under Item 7.01 of its Current Report on Form 8-K dated July 27, 2011 (the "July Report"), The Jones Group Inc. (the "Company") has redefined its reportable operating segments to better reflect its expanding international operations. The Company's operations are now comprised of six reportable segments: domestic wholesale sportswear, domestic wholesale jeanswear, domestic wholesale footwear and accessories, domestic retail, international wholesale and international retail.
In the July Report, the Company furnished, as Exhibit 99.3, a summary of previously-disclosed historical financial information for 2010, 2009 and 2008, each interim period of 2010 and the first fiscal quarter of 2011, as reported under generally accepted accounting principles ("GAAP"), revised to reflect the new operating segment structure. Such summary and the information appearing in Item 7.01 of the July Report under the caption "Revisions to Segment Reporting" are incorporated herein by reference.
Historically, in the Company's press releases announcing its quarterly results of operations, the Company has presented non-GAAP financial measures within the meaning of Regulation G promulgated by the Securities and Exchange Commission, to supplement the operating segment information presented in accordance with GAAP. For purposes of Regulation G, a non-GAAP financial measure is a numerical measure of a company's performance, financial position, or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. Accordingly, to assist readers of the Company's earnings announcements or other releases of financial information in analyzing the segment reporting changes discussed in the July Report and in making comparisons of the Company's financial results on a non-GAAP basis, the Company is voluntarily furnishing segment information revised to reflect the new operating segment structure, presented both in accordance with GAAP and adjusted on a non-GAAP basis, for 2010, 2009 and 2008, each interim period of 2010 and the first fiscal quarter of 2011, which is attached hereto as Exhibit 99.1. For ease of reference, Exhibit 99.1 includes revised segment information presented in accordance with GAAP previously furnished in Exhibit 99.3 to the July Report, which information has not changed.
The non-GAAP financial information presented in Exhibit 99.1 concerns the effect on segment revenues and income (loss) of the items described in the "Reconciliation of Non-GAAP Measures to GAAP" table in Exhibit 99.1. Historical non-GAAP information has been reclassified where necessary to conform to current practice. These non-GAAP measures are provided to enhance the user's overall understanding of the Company's financial performance. Specifically, the Company believes the non-GAAP results provide useful information to both management and investors by excluding certain expenses that may not be indicative of the Company's core operating results. In addition, because the Company has historically reported certain non-GAAP results to investors, the Company believes the inclusion of revised non-GAAP segment information provides consistency in its financial reporting. These measures should be considered in addition to results prepared in accordance with GAAP, but are not a substitute for or superior to GAAP results. The non-GAAP measures of adjusted segment revenues and income have been reconciled to the equivalent GAAP measure.
The Company is an integrated enterprise, characterized by substantial intersegment cooperation, cost allocations and sharing of assets. Therefore, the Company does not represent that these segments, if operated independently, would report the operating profit and other financial information as shown in the revised segment presentation. The preliminary information in Exhibit 99.1 represents management's calculations as of the date of this filing, which may change as final organizational changes may continue to take place during 2011.
This information shall not be deemed "filed" for purposes of Section 18 of the Exchange Act or incorporated by reference in any filing under the Securities Act or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
Item 9.01 Financial Statements and Exhibits.
| Exhibit No. | Description |
| 99.1 | Revised Adjusted Segment Revenue/Operating Income (Loss) Tables for the years 2010, 2009 and 2008, each interim period of 2010 and the first fiscal quarter of 2011. |
2
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 hereunto duly authorized.
| THE JONES GROUP INC. (Registrant) By: /s/ John T. McClain |
Date: August 12, 2011
3
Exhibit Index
| Exhibit No. | Description |
| 99.1 | Revised Adjusted Segment Revenue/Operating Income (Loss) Tables for the years 2010, 2009 and 2008, each interim period of 2010 and the first fiscal quarter of 2011. |
4
EXHIBIT 99.1
THE JONES GROUP INC.
Reconciliation of Non-GAAP Measures to GAAP
(UNAUDITED)
| Dollars in millions |
Full Year 2008 |
Full Year 2009 |
First Quarter 2010 |
Second Quarter 2010 |
Six Months 2010 |
Third Quarter 2010 |
Nine Months 2010 |
Fourth Quarter 2010 |
Full Year 2010 |
First Quarter 2011 |
||||||||||||||||||||
| Operating income (loss) | $ | (731.4 | ) | $ | (12.1 | ) | $ | 76.3 | $ | 55.3 | $ | 131.6 | $ | 60.1 | $ | 191.7 | $ | (46.8 | ) | $ | 144.9 | $ | 61.2 | |||||||
| Adjustments: | ||||||||||||||||||||||||||||||
| Goodwill impairments (a) | 813.2 | 120.6 | - | - | - | - | - | - | - | - | ||||||||||||||||||||
| Items affecting segment income: | ||||||||||||||||||||||||||||||
|
Present value adjustments to lease liabilities for properties not in use (b) |
1.7 | 6.6 | (1.3 | ) | 6.1 | 4.8 | 1.8 | 6.6 | 1.2 | 7.8 | 0.4 | |||||||||||||||||||
|
Charges related to the closure of distribution facilities (c) |
0.1 | 5.0 | 0.7 | 1.5 | 2.2 | 1.5 | 3.7 | 2.6 | 6.3 | 0.7 | ||||||||||||||||||||
| Trademark impairments (a) | 25.2 | 28.7 | - | - | - | - | - | 37.6 | 37.6 | - | ||||||||||||||||||||
|
Severance and other charges related to executive management changes (d) |
- | (0.3 | ) | - | - | - | 3.9 | 3.9 | 3.4 | 7.3 | - | |||||||||||||||||||
| Charges related to the
closure of moderate sportswear product lines (e) |
15.1 | 1.0 | 0.1 | 0.1 | 0.2 | - | 0.2 | (0.6 | ) | (0.4 | ) | - | ||||||||||||||||||
|
Impairment and other expenses related to retail store closure plan (f) |
- | 24.1 | (0.2 | ) | 0.3 | 0.1 | 5.5 | 5.6 | 3.1 | 8.7 | (0.5 | ) | ||||||||||||||||||
| Charges associated with
bankruptcy of former U.K. licensee (g) |
- | 3.9 | 0.2 | - | 0.2 | - | 0.2 | - | 0.2 | - | ||||||||||||||||||||
| Charges related to acquired businesses (h) | - | - | 3.2 | 11.7 | 14.9 | 5.9 | 20.8 | 2.0 | 22.8 | - | ||||||||||||||||||||
| Charitable contributions (i) | - | - | - | - | - | - | - | 8.0 | 8.0 | - | ||||||||||||||||||||
| Impairment of acquired intangible aset (j) | - | - | - | - | - | 2.6 | 2.6 | - | 2.6 | - | ||||||||||||||||||||
| Other restructuring
expenses and certain other charges (k) |
27.2 | 24.2 | - | 1.8 | 1.8 | 2.1 | 3.9 | 1.1 | 5.0 | 1.3 | ||||||||||||||||||||
| Total adjustments to operating income | 882.5 | 213.8 | 2.7 | 21.5 | 24.2 | 23.3 | 47.5 | 58.4 | 105.9 | 1.9 | ||||||||||||||||||||
| Adjusted operating income | $ | 151.1 | $ | 201.7 | $ | 79.0 | $ | 76.8 | $ | 155.8 | $ | 83.4 | $ | 239.2 | $ | 11.6 | $ | 250.8 | $ | 63.1 | ||||||||||
| Non-GAAP adjustments affecting
revenue by segment (l): |
||||||||||||||||||||||||||||||
| Domestic wholesale sportswear | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||
| Domestic wholesale jeanswear (e,k) | 10.8 | 2.9 | - | - | - | - | - | - | - | - | ||||||||||||||||||||
| Domestic wholesale
footwear and accessories |
- | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||
| Domestic retail (f,k) | - | 0.1 | - | - | - | - | - | 0.1 | 0.1 | - | ||||||||||||||||||||
| International wholesale (g) | - | 0.1 | - | - | - | - | - | - | - | - | ||||||||||||||||||||
| International retail | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||
| Licensing, other & eliminations (k) | 0.5 | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||
| Total | $ | 11.3 | $ | 3.1 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 0.1 | $ | 0.1 | $ | - | ||||||||||
| Non-GAAP adjustments affecting
income by segment (l): |
||||||||||||||||||||||||||||||
| Domestic wholesale sportswear (b,c,e,h,k) | $ | 1.4 | $ | 4.8 | $ | 2.2 | $ | 6.1 | $ | 8.3 | $ | (2.3 | ) | $ | 6.0 | $ | 2.2 | $ | 8.2 | $ | (0.2 | ) | ||||||||
| Domestic wholesale jeanswear (b,c,e,k) | 26.4 | 13.0 | (0.5 | ) | 5.5 | 5.0 | 2.6 | 7.6 | 0.9 | 8.5 | 0.9 | |||||||||||||||||||
| Domestic wholesale
footwear and accessories (b,d,h,k) |
9.8 | 9.4 | 0.1 | 4.2 | 4.3 | 7.7 | 12.0 | 4.6 | 16.6 | 1.4 | ||||||||||||||||||||
| Domestic retail (b,d,f,k) | 2.0 | 30.4 | (0.4 | ) | 0.3 | (0.1 | ) | 7.9 | 7.8 | 4.1 | 11.9 | (0.3 | ) | |||||||||||||||||
| International wholesale (g,h,k) | 0.3 | 5.6 | 0.2 | 0.8 | 1.0 | 2.3 | 3.3 | 0.1 | 3.4 | - | ||||||||||||||||||||
| International retail | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||
| Licensing, other & eliminations (a,d,h,i,j,k) | 29.4 | 30.0 | 1.1 | 4.6 | 5.7 | 5.1 | 10.8 | 46.5 | 57.3 | 0.1 | ||||||||||||||||||||
| Total | $ | 69.3 | $ | 93.2 | $ | 2.7 | $ | 21.5 | $ | 24.2 | $ | 23.3 | $ | 47.5 | $ | 58.4 | $ | 105.9 | $ | 1.9 |
| (a) | Represents the impairments recorded as a result of the required annual review of the Company's indefinite-lived intangible assets and goodwill in accordance with GAAP. |
| (b) | Includes present value accruals and adjustments for liabilities related to leases on properties currently not in use. |
| (c) | Includes severance, occupancy, and other charges related to the closures of distribution facilities. |
| (d) | Includes severance and restricted stock amortization related to executive management changes. |
| (e) | Includes severance, fixed asset impairment, occupancy and other charges related to the shutdown of certain moderate sportswear brands as announced in May 2007. |
| (f) | Includes severance, fixed asset impairment and other charges and credits related to the closure of underperforming retail locations. |
| (g) | Includes legal fees and other charges associated with the bankruptcy of former U.K. licensee. |
| (h) | Includes consulting fees, legal fees, accounting fees and the amortization of certain acquired intangible assets related to the acquisitions of Stuart Weitzman and Robert Rodriguez and fair value adjustments of the contingent consideration payable for the Robert Rodriguez acquisition. |
| (i) | Represents contributions made to the Sidney Kimmel Comprehensive Cancer Center at Johns Hopkins and for the establishment of an educational assistance fund for the children of Company associates as announced in December 2010. |
| (j) | Includes the impairment of the intangible asset related to the handbag license acquired with the Stuart Weitzman business. |
| (k) | Includes severance, occupancy, and other costs related to cost savings initiatives, the exit from or restructuring of certain product lines and the repositioning of the l.e.i. brand at Walmart (2008 and 2009). Also inclusive of certain other charges not considered by management to be part of ongoing operations. 2011 and 2010 also include consulting, legal, and accounting fees related to business development activities. |
| (l) | See "Segment Information" pages for the presentation of GAAP and Adjusted amounts. |
THE JONES GROUP INC.
SEGMENT INFORMATION
(UNAUDITED)
| Dollars in millions |
Domestic Wholesale Sportswear |
Domestic Wholesale Jeanswear |
Domestic Wholesale Footwear & Accessories |
Domestic Retail |
International Wholesale |
International Retail |
Licensing, Other & Eliminations |
Consolidated |
||||||||||||||||
| For the year ended December 31, 2008 | ||||||||||||||||||||||||
| Revenues | $ | 1,058.6 | $ | 778.9 | $ | 751.4 | $ | 691.9 | $ | 244.6 | $ | 38.3 | $ | 52.7 | $ | 3,616.4 | ||||||||
| Segment income (loss) | $ | 62.2 | $ | 20.6 | $ | 34.0 | $ | (56.7 | ) | $ | 28.1 | $ | (0.9 | ) | $ | (5.7 | ) | 81.6 | ||||||
| Segment margin | 5.9% | 2.6% | 4.5% | (8.2% | ) | 11.5% | (2.3% | ) | 2.3% | |||||||||||||||
| Net interest expense | (41.6 | ) | ||||||||||||||||||||||
| Goodwill impairment | (813.2 | ) | ||||||||||||||||||||||
| Gain on sale of Mexican operations and interest in Australian joint venture | 1.0 | |||||||||||||||||||||||
| Equity in loss of unconsolidated affiliate | (0.7 | ) | ||||||||||||||||||||||
| Loss from continuing operations before benefit for income taxes | $ | (772.9 | ) | |||||||||||||||||||||
| Segment revenues | $ | 1,058.6 | $ | 778.9 | $ | 751.4 | $ | 691.9 | $ | 244.6 | $ | 38.3 | $ | 52.7 | $ | 3,616.4 | ||||||||
| Adjustments affecting segment revenues (a) | - | 10.8 | - | - | - | - | 0.5 | 11.3 | ||||||||||||||||
| Adjusted segment revenues | $ | 1,058.6 | $ | 789.7 | $ | 751.4 | $ | 691.9 | $ | 244.6 | $ | 38.3 | $ | 53.2 | $ | 3,627.7 | ||||||||
| Segment income (loss) | $ | 62.2 | $ | 20.6 | $ | 34.0 | $ | (56.7 | ) | $ | 28.1 | $ | (0.9 | ) | $ | (5.7 | ) | $ | 81.6 | |||||
| Adjustments affecting segment income (a) | 1.4 | 26.4 | 9.8 | 2.0 | 0.3 | - | 29.4 | 69.3 | ||||||||||||||||
| Adjusted segment income (loss) | $ | 63.6 | $ | 47.0 | $ | 43.8 | $ | (54.7 | ) | $ | 28.4 | $ | (0.9 | ) | $ | 23.7 | $ | 150.9 | ||||||
| Adjusted segment margin | 6.0% | 6.0% | 5.8% | (7.9% | ) | 11.6% | (2.3% | ) | 4.2% | |||||||||||||||
(a) See "Reconciliation of Non-GAAP Measures to GAAP" page.
THE JONES GROUP INC.
SEGMENT INFORMATION
(UNAUDITED)
| Dollars in millions |
Domestic Wholesale Sportswear |
Domestic Wholesale Jeanswear |
Domestic Wholesale Footwear & Accessories |
Domestic Retail |
International Wholesale |
International Retail |
Licensing, Other & Eliminations |
Consolidated |
||||||||||||||||
| For the year ended December 31, 2009 | ||||||||||||||||||||||||
| Revenues | $ | 892.6 | $ | 815.2 | $ | 697.4 | $ | 648.1 | $ | 186.1 | $ | 41.2 | $ | 46.8 | $ | 3,327.4 | ||||||||
| Segment income (loss) | $ | 73.3 | $ | 65.6 | $ | 51.1 | $ | (74.9 | ) | $ | (1.8 | ) | $ | 3.2 | $ | (8.0 | ) | 108.5 | ||||||
| Segment margin | 8.2% | 8.0% | 7.3% | (11.6% | ) | (1.0% | ) | 7.8% | 3.3% | |||||||||||||||
| Net interest expense | (52.8 | ) | ||||||||||||||||||||||
| Goodwill impairment | (120.6 | ) | ||||||||||||||||||||||
| Loss and costs associated with repurchase of 4.250% Senior Notes | (1.5 | ) | ||||||||||||||||||||||
| Equity in loss of unconsolidated affiliate | (3.7 | ) | ||||||||||||||||||||||
| Loss from continuing operations before benefit for income taxes | $ | (70.1 | ) | |||||||||||||||||||||
| Segment revenues | $ | 892.6 | $ | 815.2 | $ | 697.4 | $ | 648.1 | $ | 186.1 | $ | 41.2 | $ | 46.8 | $ | 3,327.4 | ||||||||
| Adjustments affecting segment revenues (a) | - | 2.9 | - | 0.1 | 0.1 | - | - | 3.1 | ||||||||||||||||
| Adjusted segment revenues | $ | 892.6 | $ | 818.1 | $ | 697.4 | $ | 648.2 | $ | 186.2 | $ | 41.2 | $ | 46.8 | $ | 3,330.5 | ||||||||
| Segment income (loss) | $ | 73.3 | $ | 65.6 | $ | 51.1 | $ | (74.9 | ) | $ | (1.8 | ) | $ | 3.2 | $ | (8.0 | ) | $ | 108.5 | |||||
| Adjustments affecting segment income (a) | 4.8 | 13.0 | 9.4 | 30.4 | 5.6 | - | 30.0 | 93.2 | ||||||||||||||||
| Adjusted segment income (loss) | $ | 78.1 | $ | 78.6 | $ | 60.5 | $ | (44.5 | ) | $ | 3.8 | $ | 3.2 | $ | 22.0 | $ | 201.7 | |||||||
| Adjusted segment margin | 8.7% | 9.6% | 8.7% | (6.9% | ) | 2.0% | 7.8% | 6.1% | ||||||||||||||||
(a) See "Reconciliation of Non-GAAP Measures to GAAP" page.
THE JONES GROUP INC.
SEGMENT INFORMATION
(UNAUDITED)
| Dollars in millions |
Domestic Wholesale Sportswear |
Domestic Wholesale Jeanswear |
Domestic Wholesale Footwear & Accessories |
Domestic Retail |
International Wholesale |
International Retail |
Licensing, Other & Eliminations |
Consolidated |
||||||||||||||||
| For the fiscal quarter ended April 3, 2010 | ||||||||||||||||||||||||
| Revenues | $ | 272.0 | $ | 221.5 | $ | 197.6 | $ | 134.3 | $ | 43.3 | $ | 7.6 | $ | 11.0 | $ | 887.3 | ||||||||
| Segment income (loss) | $ | 44.0 | $ | 36.3 | $ | 21.1 | $ | (20.9 | ) | $ | 2.1 | $ | (0.8 | ) | $ | (5.5 | ) | 76.3 | ||||||
| Segment margin | 16.2% | 16.4% | 10.7% | (15.6% | ) | 4.8% | (10.5% | ) | 8.6% | |||||||||||||||
| Net interest expense | (12.0 | ) | ||||||||||||||||||||||
| Equity in loss of unconsolidated affiliate | (1.8 | ) | ||||||||||||||||||||||
| Income before provision for income taxes | $ | 62.5 | ||||||||||||||||||||||
| Segment revenues | $ | 272.0 | $ | 221.5 | $ | 197.6 | $ | 134.3 | $ | 43.3 | $ | 7.6 | $ | 11.0 | $ | 887.3 | ||||||||
| Adjustments affecting segment revenues (a) | - | - | - | - | - | - | - | - | ||||||||||||||||
| Adjusted segment revenues | $ | 272.0 | $ | 221.5 | $ | 197.6 | $ | 134.3 | $ | 43.3 | $ | 7.6 | $ | 11.0 | $ | 887.3 | ||||||||
| Segment income (loss) | $ | 44.0 | $ | 36.3 | $ | 21.1 | $ | (20.9 | ) | $ | 2.1 | $ | (0.8 | ) | $ | (5.5 | ) | $ | 76.3 | |||||
| Adjustments affecting segment income (a) | 2.2 | (0.5 | ) | 0.1 | (0.4 | ) | 0.2 | - | 1.1 | 2.7 | ||||||||||||||
| Adjusted segment income (loss) | $ | 46.2 | $ | 35.8 | $ | 21.2 | $ | (21.3 | ) | $ | 2.3 | $ | (0.8 | ) | $ | (4.4 | ) | $ | 79.0 | |||||
| Adjusted segment margin | 17.0% | 16.2% | 10.7% | (15.9% | ) | 5.3% | (10.5% | ) | 8.9% | |||||||||||||||
(a) See "Reconciliation of Non-GAAP Measures to GAAP" page.
THE JONES GROUP INC.
SEGMENT INFORMATION
(UNAUDITED)
| Dollars in millions |
Domestic Wholesale Sportswear |
Domestic Wholesale Jeanswear |
Domestic Wholesale Footwear & Accessories |
Domestic Retail |
International Wholesale |
International Retail |
Licensing, Other & Eliminations |
Consolidated |
||||||||||||||||
| For the fiscal quarter ended July 3, 2010 | ||||||||||||||||||||||||
| Revenues | $ | 219.6 | $ | 189.3 | $ | 193.6 | $ | 165.0 | $ | 69.3 | $ | 12.5 | $ | 10.3 | $ | 859.6 | ||||||||
| Segment income | $ | 21.1 | $ | 13.2 | $ | 12.9 | $ | 1.1 | $ | 7.2 | $ | 3.1 | $ | (3.3 | ) | 55.3 | ||||||||
| Segment margin | 9.6% | 7.0% | 6.7% | 0.7% | 10.4% | 24.8% | 6.4% | |||||||||||||||||
| Net interest expense | (14.3 | ) | ||||||||||||||||||||||
| Income before provision for income taxes | $ | 41.0 | ||||||||||||||||||||||
| Segment revenues | $ | 219.6 | $ | 189.3 | $ | 193.6 | $ | 165.0 | $ | 69.3 | $ | 12.5 | $ | 10.3 | $ | 859.6 | ||||||||
| Adjustments affecting segment revenues (a) | - | - | - | - | - | - | - | - | ||||||||||||||||
| Adjusted segment revenues | $ | 219.6 | $ | 189.3 | $ | 193.6 | $ | 165.0 | $ | 69.3 | $ | 12.5 | $ | 10.3 | $ | 859.6 | ||||||||
| Segment income | $ | 21.1 | $ | 13.2 | $ | 12.9 | $ | 1.1 | $ | 7.2 | $ | 3.1 | $ | (3.3 | ) | $ | 55.3 | |||||||
| Adjustments affecting segment income (a) | 6.1 | 5.5 | 4.2 | 0.3 | 0.8 | - | 4.6 | 21.5 | ||||||||||||||||
| Adjusted segment income | $ | 27.2 | $ | 18.7 | $ | 17.1 | $ | 1.4 | $ | 8.0 | $ | 3.1 | $ | 1.3 | $ | 76.8 | ||||||||
| Adjusted segment margin | 12.4% | 9.9% | 8.8% | 0.8% | 11.5% | 24.8% | 8.9% | |||||||||||||||||
(a) See "Reconciliation of Non-GAAP Measures to GAAP" page.
THE JONES GROUP INC.
SEGMENT INFORMATION
(UNAUDITED)
| Dollars in millions |
Domestic Wholesale Sportswear |
Domestic Wholesale Jeanswear |
Domestic Wholesale Footwear & Accessories |
Domestic Retail |
International Wholesale |
International Retail |
Licensing, Other & Eliminations |
Consolidated |
||||||||||||||||
| For the fiscal six months ended July 3, 2010 | ||||||||||||||||||||||||
| Revenues | $ | 491.6 | $ | 410.8 | $ | 391.2 | $ | 299.3 | $ | 112.6 | $ | 20.1 | $ | 21.3 | $ | 1,746.9 | ||||||||
| Segment income (loss) | $ | 65.1 | $ | 49.5 | $ | 34.0 | $ | (19.8 | ) | $ | 9.3 | $ | 2.3 | $ | (8.8 | ) | 131.6 | |||||||
| Segment margin | 13.2% | 12.0% | 8.7% | (6.6% | ) | 8.3% | 11.4% | 7.5% | ||||||||||||||||
| Net interest expense | (26.3 | ) | ||||||||||||||||||||||
| Equity in loss of unconsolidated affiliate | (1.8 | ) | ||||||||||||||||||||||
| Income before provision for income taxes | $ | 103.5 | ||||||||||||||||||||||
| Segment revenues | $ | 491.6 | $ | 410.8 | $ | 391.2 | $ | 299.3 | $ | 112.6 | $ | 20.1 | $ | 21.3 | $ | 1,746.9 | ||||||||
| Adjustments affecting segment revenues (a) | - | - | - | - | - | - | - | - | ||||||||||||||||
| Adjusted segment revenues | $ | 491.6 | $ | 410.8 | $ | 391.2 | $ | 299.3 | $ | 112.6 | $ | 20.1 | $ | 21.3 | $ | 1,746.9 | ||||||||
| Segment income (loss) | $ | 65.1 | $ | 49.5 | $ | 34.0 | $ | (19.8 | ) | $ | 9.3 | $ | 2.3 | $ | (8.8 | ) | $ | 131.6 | ||||||
| Adjustments affecting segment income (a) | 8.3 | 5.0 | 4.3 | (0.1 | ) | 1.0 | - | 5.7 | 24.2 | |||||||||||||||
| Adjusted segment income (loss) | $ | 73.4 | $ | 54.5 | $ | 38.3 | $ | (19.9 | ) | $ | 10.3 | $ | 2.3 | $ | (3.1 | ) | $ | 155.8 | ||||||
| Adjusted segment margin | 14.9% | 13.3% | 9.8% | (6.6% | ) | 9.1% | 11.4% | 8.9% | ||||||||||||||||
(a) See "Reconciliation of Non-GAAP Measures to GAAP" page.
THE JONES GROUP INC.
SEGMENT INFORMATION
(UNAUDITED)
| Dollars in millions |
Domestic Wholesale Sportswear |
Domestic Wholesale Jeanswear |
Domestic Wholesale Footwear & Accessories |
Domestic Retail |
International Wholesale |
International Retail |
Licensing, Other & Eliminations |
Consolidated |
||||||||||||||||
| For the fiscal quarter ended October 2, 2010 | ||||||||||||||||||||||||
| Revenues | $ | 273.2 | $ | 229.9 | $ | 251.2 | $ | 159.6 | $ | 83.6 | $ | 12.5 | $ | 12.0 | $ | 1,022.0 | ||||||||
| Segment income (loss) | $ | 25.6 | $ | 21.1 | $ | 22.5 | $ | (20.9 | ) | $ | 11.1 | $ | 2.4 | $ | (1.7 | ) | 60.1 | |||||||
| Segment margin | 9.4% | 9.2% | 9.0% | (13.1% | ) | 13.3% | 19.2% | 5.9% | ||||||||||||||||
| Net interest expense | (14.2 | ) | ||||||||||||||||||||||
| Equity in income of unconsolidated affiliate | 0.5 | |||||||||||||||||||||||
| Income before provision for income taxes | $ | 46.4 | ||||||||||||||||||||||
| Segment revenues | $ | 273.2 | $ | 229.9 | $ | 251.2 | $ | 159.6 | $ | 83.6 | $ | 12.5 | $ | 12.0 | $ | 1,022.0 | ||||||||
| Adjustments affecting segment revenues (a) | - | - | - | - | - | - | - | - | ||||||||||||||||
| Adjusted segment revenues | $ | 273.2 | $ | 229.9 | $ | 251.2 | $ | 159.6 | $ | 83.6 | $ | 12.5 | $ | 12.0 | $ | 1,022.0 | ||||||||
| Segment income (loss) | $ | 25.6 | $ | 21.1 | $ | 22.5 | $ | (20.9 | ) | $ | 11.1 | $ | 2.4 | $ | (1.7 | ) | $ | 60.1 | ||||||
| Adjustments affecting segment income (a) | (2.3 | ) | 2.6 | 7.7 | 7.9 | 2.3 | - | 5.1 | 23.3 | |||||||||||||||
| Adjusted segment income (loss) | $ | 23.3 | $ | 23.7 | $ | 30.2 | $ | (13.0 | ) | $ | 13.4 | $ | 2.4 | $ | 3.4 | $ | 83.4 | |||||||
| Adjusted segment margin | 8.5% | 10.3% | 12.0% | (8.1% | ) | 16.0% | 19.2% | 8.2% | ||||||||||||||||
(a) See "Reconciliation of Non-GAAP Measures to GAAP" page.
THE JONES GROUP INC.
SEGMENT INFORMATION
(UNAUDITED)
| Dollars in millions |
Domestic Wholesale Sportswear |
Domestic Wholesale Jeanswear |
Domestic Wholesale Footwear & Accessories |
Domestic Retail |
International Wholesale |
International Retail |
Licensing, Other & Eliminations |
Consolidated |
||||||||||||||||
| For the fiscal nine months ended October 2, 2010 | ||||||||||||||||||||||||
| Revenues | $ | 764.8 | $ | 640.7 | $ | 642.4 | $ | 458.9 | $ | 196.2 | $ | 32.6 | $ | 33.3 | $ | 2,768.9 | ||||||||
| Segment income (loss) | $ | 90.7 | $ | 70.6 | $ | 56.5 | $ | (40.7 | ) | $ | 20.4 | $ | 4.7 | $ | (10.5 | ) | 191.7 | |||||||
| Segment margin | 11.9% | 11.0% | 8.8% | (8.9% | ) | 10.4% | 14.4% | 6.9% | ||||||||||||||||
| Net interest expense | (40.5 | ) | ||||||||||||||||||||||
| Equity in loss of unconsolidated affiliate | (1.3 | ) | ||||||||||||||||||||||
| Income before provision for income taxes | $ | 149.9 | ||||||||||||||||||||||
| Segment revenues | $ | 764.8 | $ | 640.7 | $ | 642.4 | $ | 458.9 | $ | 196.2 | $ | 32.6 | $ | 33.3 | $ | 2,768.9 | ||||||||
| Adjustments affecting segment revenues (a) | - | - | - | - | - | - | - | - | ||||||||||||||||
| Adjusted segment revenues | $ | 764.8 | $ | 640.7 | $ | 642.4 | $ | 458.9 | $ | 196.2 | $ | 32.6 | $ | 33.3 | $ | 2,768.9 | ||||||||
| Segment income (loss) | $ | 90.7 | $ | 70.6 | $ | 56.5 | $ | (40.7 | ) | $ | 20.4 | $ | 4.7 | $ | (10.5 | ) | $ | 191.7 | ||||||
| Adjustments affecting segment income (a) | 6.0 | 7.6 | 12.0 | 7.8 | 3.3 | - | 10.8 | 47.5 | ||||||||||||||||
| Adjusted segment income (loss) | $ | 96.7 | $ | 78.2 | $ | 68.5 | $ | (32.9 | ) | $ | 23.7 | $ | 4.7 | $ | 0.3 | $ | 239.2 | |||||||
| Adjusted segment margin | 12.6% | 12.2% | 10.7% | (7.2% | ) | 12.1% | 14.4% | 8.6% | ||||||||||||||||
(a) See "Reconciliation of Non-GAAP Measures to GAAP" page.
THE JONES GROUP INC.
SEGMENT INFORMATION
(UNAUDITED)
| Dollars in millions |
Domestic Wholesale Sportswear |
Domestic Wholesale Jeanswear |
Domestic Wholesale Footwear & Accessories |
Domestic Retail |
International Wholesale |
International Retail |
Licensing, Other & Eliminations |
Consolidated |
||||||||||||||||
| For the fiscal quarter ended December 31, 2010 | ||||||||||||||||||||||||
| Revenues | $ | 200.4 | $ | 179.2 | $ | 199.1 | $ | 192.3 | $ | 73.4 | $ | 14.4 | $ | 15.0 | $ | 873.8 | ||||||||
| Segment (loss) income | $ | (10.3 | ) | $ | 1.7 | $ | (2.8 | ) | $ | (4.8 | ) | $ | 5.4 | $ | 2.0 | $ | (38.0 | ) | (46.8 | ) | ||||
| Segment margin | (5.1% | ) | 0.9% | (1.4% | ) | (2.5% | ) | 7.4% | 13.9% | (5.4% | ) | |||||||||||||
| Net interest expense | (18.4 | ) | ||||||||||||||||||||||
| Equity in income of unconsolidated affiliate | 0.4 | |||||||||||||||||||||||
| Loss before benefit for income taxes | $ | (64.8 | ) | |||||||||||||||||||||
| Segment revenues | $ | 200.4 | $ | 179.2 | $ | 199.1 | $ | 192.3 | $ | 73.4 | $ | 14.4 | $ | 15.0 | $ | 873.8 | ||||||||
| Adjustments affecting segment revenues (a) | - | - | - | 0.1 | - | - | - | 0.1 | ||||||||||||||||
| Adjusted segment revenues | $ | 200.4 | $ | 179.2 | $ | 199.1 | $ | 192.4 | $ | 73.4 | $ | 14.4 | $ | 15.0 | $ | 873.9 | ||||||||
| Segment (loss) income | $ | (10.3 | ) | $ | 1.7 | $ | (2.8 | ) | $ | (4.8 | ) | $ | 5.4 | $ | 2.0 | $ | (38.0 | ) | $ | (46.8 | ) | |||
| Adjustments affecting segment income (a) | 2.2 | 0.9 | 4.6 | 4.1 | 0.1 | - | 46.5 | 58.4 | ||||||||||||||||
| Adjusted segment (loss) income | $ | (8.1 | ) | $ | 2.6 | $ | 1.8 | $ | (0.7 | ) | $ | 5.5 | $ | 2.0 | $ | 8.5 | $ | 11.6 | ||||||
| Adjusted segment margin | (4.0% | ) | 1.5% | 0.9% | (0.4% | ) | 7.5% | 13.9% | 1.3% | |||||||||||||||
(a) See "Reconciliation of Non-GAAP Measures to GAAP" page.
THE JONES GROUP INC.
SEGMENT INFORMATION
(UNAUDITED)
| Dollars in millions |
Domestic Wholesale Sportswear |
Domestic Wholesale Jeanswear |
Domestic Wholesale Footwear & Accessories |
Domestic Retail |
International Wholesale |
International Retail |
Licensing, Other & Eliminations |
Consolidated |
||||||||||||||||
| For the year ended December 31, 2010 | ||||||||||||||||||||||||
| Revenues | $ | 965.2 | $ | 819.9 | $ | 841.5 | $ | 651.2 | $ | 269.6 | $ | 47.0 | $ | 48.3 | $ | 3,642.7 | ||||||||
| Segment income (loss) | $ | 80.4 | $ | 72.3 | $ | 53.7 | $ | (45.5 | ) | $ | 25.8 | $ | 6.7 | $ | (48.5 | ) | 144.9 | |||||||
| Segment margin | 8.3% | 8.8% | 6.4% | (7.0% | ) | 9.6% | 14.3% | 4.0% | ||||||||||||||||
| Net interest expense | (58.9 | ) | ||||||||||||||||||||||
| Equity in loss of unconsolidated affiliate | (0.9 | ) | ||||||||||||||||||||||
| Income before provision for income taxes | $ | 85.1 | ||||||||||||||||||||||
| Segment revenues | $ | 965.2 | $ | 819.9 | $ | 841.5 | $ | 651.2 | $ | 269.6 | $ | 47.0 | $ | 48.3 | $ | 3,642.7 | ||||||||
| Adjustments affecting segment revenues (a) | - | - | - | 0.1 | - | - | - | 0.1 | ||||||||||||||||
| Adjusted segment revenues | $ | 965.2 | $ | 819.9 | $ | 841.5 | $ | 651.3 | $ | 269.6 | $ | 47.0 | $ | 48.3 | $ | 3,642.8 | ||||||||
| Segment income (loss) | $ | 80.4 | $ | 72.3 | $ | 53.7 | $ | (45.5 | ) | $ | 25.8 | $ | 6.7 | $ | (48.5 | ) | $ | 144.9 | ||||||
| Adjustments affecting segment income (a) | 8.2 | 8.5 | 16.6 | 11.9 | 3.4 | - | 57.3 | 105.9 | ||||||||||||||||
| Adjusted segment income (loss) | $ | 88.6 | $ | 80.8 | $ | 70.3 | $ | (33.6 | ) | $ | 29.2 | $ | 6.7 | $ | 8.8 | $ | 250.8 | |||||||
| Adjusted segment margin | 9.2% | 9.9% | 8.4% | (5.2% | ) | 10.8% | 14.3% | 6.9% | ||||||||||||||||
(a) See "Reconciliation of Non-GAAP Measures to GAAP" page.
THE JONES GROUP INC.
SEGMENT INFORMATION
(UNAUDITED)
| Dollars in millions |
Domestic Wholesale Sportswear |
Domestic Wholesale Jeanswear |
Domestic Wholesale Footwear & Accessories |
Domestic Retail |
International Wholesale |
International Retail |
Licensing, Other & Eliminations |
Consolidated |
||||||||||||||||
| For the fiscal quarter ended April 2, 2011 | ||||||||||||||||||||||||
| Revenues | $ | 268.7 | $ | 235.5 | $ | 220.6 | $ | 135.1 | $ | 79.1 | $ | 10.2 | $ | 12.1 | $ | 961.3 | ||||||||
| Segment income (loss) | $ | 30.8 | $ | 28.0 | $ | 18.1 | $ | (22.9 | ) | $ | 9.3 | $ | (1.7 | ) | $ | (0.4 | ) | 61.2 | ||||||
| Segment margin | 11.5% | 11.9% | 8.2% | (17.0% | ) | 11.8% | (16.7% | ) | 6.4% | |||||||||||||||
| Net interest expense | (21.1 | ) | ||||||||||||||||||||||
| Equity in income of unconsolidated affiliate | 1.3 | |||||||||||||||||||||||
| Income before provision for income taxes | $ | 41.4 | ||||||||||||||||||||||
| Segment revenues | $ | 268.7 | $ | 235.5 | $ | 220.6 | $ | 135.1 | $ | 79.1 | $ | 10.2 | $ | 12.1 | $ | 961.3 | ||||||||
| Adjustments affecting segment revenues (a) | - | - | - | - | - | - | - | - | ||||||||||||||||
| Adjusted segment revenues | $ | 268.7 | $ | 235.5 | $ | 220.6 | $ | 135.1 | $ | 79.1 | $ | 10.2 | $ | 12.1 | $ | 961.3 | ||||||||
| Segment income (loss) | $ | 30.8 | $ | 28.0 | $ | 18.1 | $ | (22.9 | ) | $ | 9.3 | $ | (1.7 | ) | $ | (0.4 | ) | $ | 61.2 | |||||
| Adjustments affecting segment income (a) | (0.2 | ) | 0.9 | 1.4 | (0.3 | ) | - | - | 0.1 | 1.9 | ||||||||||||||
| Adjusted segment income (loss) | $ | 30.6 | $ | 28.9 | $ | 19.5 | $ | (23.2 | ) | $ | 9.3 | $ | (1.7 | ) | $ | (0.3 | ) | $ | 63.1 | |||||
| Adjusted segment margin | 11.4% | 12.3% | 8.8% | (17.2% | ) | 11.8% | (16.7% | ) | 6.6% | |||||||||||||||
(a) See "Reconciliation of Non-GAAP Measures to GAAP" page.