Segment Reporting

6 Months Ended

Jul. 30, 2011

Segment Reporting [Abstract]

Segment Reporting

13. Segment Reporting

     On August 6, 2010, we acquired Dimensions and certain assets of Alexandra, two leading providers of corporate clothing uniforms and workwear in the UK (refer to Note 2). As a result of these acquisitions, in the third quarter of fiscal 2010, the Company revised its segment reporting to reflect two reportable segments, retail and corporate apparel, based on the way we manage, evaluate and internally report our business activities. Prior to these acquisitions our corporate apparel business did not have a significant effect on the revenues or expenses of the Company and we reported our business as one operating segment. Prior period amounts reported as one operating segment have been revised to conform to our new segment reporting structure.

     The retail segment includes the results from our four retail merchandising brands: Men’s Wearhouse, Men’s Wearhouse and Tux, K&G and Moores. These four brands are operating segments that have been aggregated into the retail reportable segment based on their similar economic characteristics, products, production processes, target customers and distribution methods. MW Cleaners is also aggregated in the retail segment as these operations have not had a significant effect on the revenues or expenses of the Company. Specialty apparel merchandise offered by our four retail merchandising concepts includes suits, suit separates, sport coats, pants, shoes, shirts, sportswear, outerwear and accessories for men. Ladies’ career apparel, sportswear and accessories, including shoes, are offered at most of our K&G stores and tuxedo rentals are offered at our Men’s Wearhouse, Men’s Wearhouse and Tux and Moores retail stores.

     The corporate apparel segment includes the results from our corporate apparel and uniform operations conducted by Twin Hill in the United States and, beginning in the third quarter of fiscal 2010, Dimensions and Alexandra in the UK. The two corporate apparel and uniform concepts are operating segments that have been aggregated into the reportable corporate apparel segment based on their similar economic characteristics, products, production processes, target customers and distribution methods. The corporate apparel segment provides corporate clothing uniforms and workwear to workforces.

     The accounting policies for each of our operating segments are the same as those described in Note 1.

     Operating income is the primary measure of profit we use to make decisions on allocating resources to our operating segments and to assess the operating performance of each operating segment. It is defined as income before interest expense, interest income, income taxes and noncontrolling interest. Corporate expenses are allocated to the retail segment.

     Net sales by brand and reportable segment are as follows (in thousands):

	For the Three Months Ended				For the Six Months Ended
	July 30, 2011		July 31, 2010		July 30, 2011		July 31, 2010
Net sales:
MW (1)	$	407,025	$	367,354	$	761,696	$	685,694
K&G		92,528		87,578		199,277		185,838
Moores		80,327		71,550		133,507		118,946
MW Cleaners		6,154		5,878		12,265		11,667
Total retail segment		586,034		532,360		1,106,745		1,002,145
Twin Hill		6,267		4,629		11,982		8,310
Dimensions and Alexandra (UK)		63,228		—		117,186		—
Total corporate apparel segment		69,495		4,629		129,168		8,310
Total net sales	$	655,529	$	536,989	$	1,235,913	$	1,010,455

(1) MW includes Men’s Wearhouse and Men’s Wearhouse and Tux stores

     The following table sets forth supplemental products and services sales information for the Company (in thousands):

	For the Three Months Ended				For the Six Months Ended
	July 30, 2011		July 31, 2010		July 30, 2011		July 31, 2010
Net sales:
Men’s tailored clothing product	$	224,533	$	194,190	$	453,736	$	391,284
Men’s non-tailored clothing product		158,407		145,206		316,690		290,907
Ladies clothing product		18,849		18,203		41,624		40,098
Total retail clothing product		401,789		357,599		812,050		722,289
Tuxedo rental services		148,267		142,462		221,408		214,616
Alteration services		29,824		26,421		61,022		53,573
Retail dry cleaning services		6,154		5,878		12,265		11,667
Total alteration and other services		35,978		32,299		73,287		65,240
Corporate apparel clothing product		69,495		4,629		129,168		8,310
Total net sales	$	655,529	$	536,989	$	1,235,913	$	1,010,455

     Operating income (loss) by reportable segment and the reconciliation to earnings before income taxes is as follows (in thousands):

	For the Three Months Ended						For the Six Months Ended
Operating income (loss):	July 30, 2011			July 31, 2010			July 30, 2011			July 31, 2010
Retail	$	88,160		$	72,623		$	133,057		$	95,360
Corporate apparel		858			(3,519	)		(402	)		(4,903	)
Operating income		89,018			69,104			132,655			90,457
Interest income		114			46			158			80
Interest expense		(343	)		(321	)		(655	)		(580	)
Earnings before income taxes	$	88,789		$	68,829		$	132,158		$	89,957

     Total assets by reportable segment are as follows (in thousands):

	July 30,		July 31,		January 29,
Segment assets:	2011		2010		2011
Retail	$	1,154,785	$	1,249,779	$	1,081,169
Corporate apparel		250,608		39,490		239,149
Total assets	$	1,405,393	$	1,289,269	$	1,320,318