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Stockholders' Equity and Redeemable Noncontrolling Interests
 6 Months Ended
Aug. 03, 2013
Stockholders' Equity and Redeemable Noncontrolling Interests [Abstract]  
Stockholders' Equity and Redeemable Noncontrolling Interests
(3)
Stockholders’ Equity and Redeemable Noncontrolling Interests
A reconciliation of the total carrying amount of total stockholders’ equity, Guess?, Inc. stockholders’ equity and stockholders’ equity attributable to nonredeemable and redeemable noncontrolling interests for the fiscal year ended February 2, 2013 and six months ended August 3, 2013 is as follows (in thousands):
 
Stockholders’ Equity
 
 
 
Guess?, Inc.
Stockholders’
Equity
 
Nonredeemable
Noncontrolling
Interests
 
Total
 
Redeemable
Noncontrolling
Interests
Balances at January 28, 2012
$
1,175,630

 
$
18,635

 
$
1,194,265

 
$
8,293

Net earnings
178,744

 
2,742

 
181,486

 
—

Foreign currency translation adjustment, net of income tax of ($13,769)
22,025

 
322

 
22,347

 
65

Loss on derivative financial instruments designated as cash flow hedges, net of income tax of $1,056
(6,041
)
 
—

 
(6,041
)
 
—

Gain on marketable securities, net of income tax of ($85)
139

 
—

 
139

 
—

SERP prior service cost and actuarial valuation gain (loss) and related amortization, net of income tax of ($2,855)
4,613

 
—

 
4,613

 
—

Issuance of common stock under stock compensation plans, net of tax effect
1,362

 
—

 
1,362

 
—

Issuance of stock under ESPP
1,186

 
—

 
1,186

 
—

Share-based compensation
16,285

 
—

 
16,285

 
—

Dividends
(172,792
)
 
—

 
(172,792
)
 
—

Share repurchases
(140,262
)
 
—

 
(140,262
)
 
—

Purchase of redeemable noncontrolling interest
4,857

 
(4,857
)
 
—

 
(4,185
)
Noncontrolling interest capital contribution
—

 
1,488

 
1,488

 
—

Noncontrolling interest capital distribution
—

 
(4,237
)
 
(4,237
)
 
—

Redeemable noncontrolling interest redemption value adjustment
1,246

 
(217
)
 
1,029

 
(1,029
)
Balances at February 2, 2013
$
1,086,992

 
$
13,876

 
$
1,100,868

 
$
3,144

Net earnings
49,782

 
2,021

 
51,803

 
—

Foreign currency translation adjustment, net of income tax of $7,483
(21,815
)
 
(209
)
 
(22,024
)
 
(79
)
Gain on derivative financial instruments designated as cash flow hedges, net of income tax of ($591)
3,340

 
—

 
3,340

 
—

Loss on marketable securities, net of income tax of $11
(22
)
 
—

 
(22
)
 
—

SERP plan amendment, prior service cost and actuarial valuation amortization, net of income tax of ($2,063)
3,331

 
—

 
3,331

 
—

Issuance of common stock under stock compensation plans, net of tax effect
2,468

 
—

 
2,468

 
—

Issuance of stock under ESPP
565

 
—

 
565

 
—

Share-based compensation
5,999

 
—

 
5,999

 
—

Dividends
(34,149
)
 
—

 
(34,149
)
 
—

Share repurchases
(22,099
)
 
—

 
(22,099
)
 
—

Noncontrolling interest capital contribution
—

 
—

 
—

 
521

Redeemable noncontrolling interest redemption value adjustment
(410
)
 
—

 
(410
)
 
410

Balances at August 3, 2013
$
1,073,982

 
$
15,688

 
$
1,089,670

 
$
3,996


Accumulated Other Comprehensive Income (Loss)
The changes in accumulated other comprehensive income (loss), net of related income taxes, for the three and six months ended August 3, 2013 are as follows (in thousands):
 
Foreign currency translation adjustment
 
Derivative financial instruments designated as cash flow hedges
 
Marketable securities
 
SERP
 
Total
Balances at May 4, 2013
$
(14,148
)
 
$
1,918

 
$
169

 
$
(11,140
)
 
$
(23,201
)
Gains (losses) arising during the period
2,951

 
64

 
(81
)
 
2,796

 
5,730

Reclassification to net income for (gains) losses realized
—

 
(424
)
 
—

 
268

 
(156
)
Net other comprehensive income (loss)
2,951

 
(360
)
 
(81
)
 
3,064

 
5,574

Balances at August 3, 2013
$
(11,197
)
 
$
1,558

 
$
88

 
$
(8,076
)
 
$
(17,627
)
 
Foreign currency translation adjustment
 
Derivative financial instruments designated as cash flow hedges
 
Marketable securities
 
SERP
 
Total
Balances at February 2, 2013
$
10,618

 
$
(1,782
)
 
$
110

 
$
(11,407
)
 
$
(2,461
)
Gains (losses) arising during the period
(21,815
)
 
4,152

 
(22
)
 
2,796

 
(14,889
)
Reclassification to net income for (gains) losses realized
—

 
(812
)
 
—

 
535

 
(277
)
Net other comprehensive income (loss)
(21,815
)
 
3,340

 
(22
)
 
3,331

 
(15,166
)
Balances at August 3, 2013
$
(11,197
)
 
$
1,558

 
$
88

 
$
(8,076
)
 
$
(17,627
)

Details on reclassifications out of accumulated other comprehensive income (loss) to net income during the three and six months ended August 3, 2013 are as follows (in thousands):
 
Three Months Ended
 
Six Months Ended
 
Location of
(Gain)/Loss
Reclassified from
Accumulated OCI
into Income
 
Aug 3, 2013
 
Aug 3, 2013
 
Derivative financial instruments designated as cash flow hedges:
 
 
 
 
 
   Foreign exchange currency contracts
$
(393
)
 
$
(872
)
 
Cost of sales
   Foreign exchange currency contracts
(115
)
 
(94
)
 
Other income/expense
      Less income tax effect
84

 
154

 
Income tax expense
 
(424
)
 
(812
)
 
 
SERP:
 
 
 
 
 
   Actuarial loss amortization
277

 
554

 
(1) 
   Prior service cost amortization
156

 
311

 
(1) 
      Less income tax effect
(165
)
 
(330
)
 
Income tax expense
 
268

 
535

 
 
Total reclassifications during the period ended August 3, 2013
$
(156
)
 
$
(277
)
 
 
__________________________________
(1)
These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension cost. Refer to Note 13 for further information.
Redeemable Noncontrolling Interests
The Company is party to a put arrangement with respect to the common securities that represent the remaining noncontrolling interest from the acquisition of its majority-owned subsidiary, Guess Sud SAS (“Guess Sud”). The put arrangement for Guess Sud, representing 40% of the total outstanding equity interest of that subsidiary, may be exercised at the discretion of the noncontrolling interest holders by providing written notice to the Company any time after January 30, 2012. The put arrangement is recorded on the balance sheet at its expected redemption value and classified as a redeemable noncontrolling interest outside of permanent equity. On May 15, 2012, the Company and the noncontrolling interest holders executed an amendment to the Guess Sud put arrangement which modified the put price to be based on the value of specified net tangible and intangible assets of Guess Sud instead of being based on a multiple of Guess Sud’s earnings before interest, taxes, depreciation and amortization. The redemption value of the Guess Sud redeemable put arrangement was $3.5 million and $3.1 million at August 3, 2013 and February 2, 2013, respectively.
During the second quarter of fiscal 2014, the Company entered into a majority-owned joint venture to establish Guess Brasil Comércio e Distribuição S.A. ("Guess Brazil"). The Company funded $0.8 million to obtain a 60% interest in Guess Brazil and is subject to a put arrangement with respect to the common securities that represent the remaining noncontrolling interest. The put arrangement may be exercised at the discretion of the noncontrolling interest holder by providing written notice to the Company beginning in fiscal 2020, or sooner in certain limited circumstances, and every third anniversary thereafter subject to certain time restrictions. The redemption value of the Guess Brazil put arrangement is based on a multiple of Guess Brazil's earnings before interest, taxes, depreciation and amortization subject to certain adjustments. The redemption value of the Guess Brazil redeemable put arrangement was $0.5 million at August 3, 2013.
The Company was previously party to a put arrangement in connection with its now wholly-owned subsidiary, Focus Europe S.r.l. (“Focus”). Under the terms of this put arrangement, which represented 25% of the total outstanding interest of that subsidiary, the noncontrolling interest holder had the option to exercise the put arrangement at its discretion by providing written notice to the Company no later than June 27, 2012. The redemption value of the put arrangement was determined based on a multiple of Focus’s net earnings. In June 2012, the noncontrolling interest holder notified the Company of its intent to exercise the put arrangement. On July 9, 2012, the Company paid $4.2 million to the noncontrolling interest holder to acquire the remaining 25% interest in Focus. This amount was determined based on a multiple of Focus’s net earnings in accordance with the terms of the put arrangement.