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Derivative Financial Instruments (Tables)
 6 Months Ended
Aug. 01, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Summary of fair value of derivative instruments in the condensed consolidated balance sheets
The fair value of derivative instruments in the condensed consolidated balance sheets as of August 1, 2020 and February 1, 2020 is as follows (in thousands):
 
Derivative Balance Sheet Location
 
Fair Value at
Aug 1, 2020
 
Fair Value at
Feb 1, 2020
ASSETS:
 
 
 

 
 

Derivatives designated as hedging instruments:
 
 
 

 
 

Cash flow hedges:
 
 
 
 
 
   Foreign exchange currency contracts
Other current assets/
Other assets
 
$
116

 
$
3,987

Derivatives not designated as hedging instruments:
 
 
 
 
 

Foreign exchange currency contracts
Other current assets/
Other assets
 
—

 
867

Total
 
 
$
116

 
$
4,854

LIABILITIES:
 
 
 

 
 

Derivatives designated as hedging instruments:
 
 
 

 
 

Cash flow hedges:
 
 
 
 
 
   Foreign exchange currency contracts
Accrued expenses/
Other long-term liabilities
 
$
4,184

 
$
—

   Interest rate swap
Other long-term liabilities
 
1,317

 
348

Total derivatives designated as hedging instruments
 
 
5,501

 
348

Derivatives not designated as hedging instruments:
 
 
 

 
 

Foreign exchange currency contracts
Accrued expenses
 
1,754

 
—

Total
 
 
$
7,255

 
$
348
Summary of gains (losses) before taxes recognized on the derivative instruments designated as cash flow hedges in OCI and net loss
The following table summarizes the gains (losses) before taxes recognized on the derivative instruments designated as cash flow hedges in OCI and net earnings (loss) for the three and six months ended August 1, 2020 and August 3, 2019 (in thousands): 
 
Gains (Losses) Recognized in OCI
 
Location of Gains (Losses) Reclassified from Accumulated OCI into Earnings (Loss)
 
Gains (Losses) Reclassified from Accumulated OCI into Earnings (Loss)
 
Three Months Ended
 
 
Three Months Ended
 
Aug 1, 2020
 
Aug 3, 2019
 
 
Aug 1, 2020
 
Aug 3, 2019
Derivatives designated as cash flow hedges:
 

 
 

 
 
 
 

 
 

Foreign exchange currency contracts
$
(7,758
)
 
$
3,063

 
Cost of product sales
 
$
2,504

 
$
1,757

Interest rate swap
(139
)
 
(777
)
 
Interest expense
 
(42
)
 
44


 
Gains (Losses) Recognized in OCI
 
Location of Gain (Loss) Reclassified from Accumulated OCI into Earnings (Loss)
 
Gains (Losses) Reclassified from Accumulated OCI into Earnings (Loss)
 
Six Months Ended
 
 
Six Months Ended
 
Aug 1, 2020
 
Aug 3, 2019
 
 
Aug 1, 2020
 
Aug 3, 2019
Derivatives designated as cash flow hedges:
 

 
 

 
 
 
 

 
 

Foreign exchange currency contracts
$
(3,348
)
 
$
7,718

 
Cost of product sales
 
$
4,495

 
$
1,987

Interest rate swap
(1,013
)
 
(996
)
 
Interest expense
 
(45
)
 
90
Summary of net after-tax derivative activity recorded in accumulated other comprehensive income (loss)
The following table summarizes net after-tax derivative activity recorded in accumulated other comprehensive income (loss) (in thousands):
 
Three Months Ended
 
Six Months Ended
 
Aug 1, 2020
 
Aug 3, 2019
 
Aug 1, 2020
 
Aug 3, 2019
Beginning balance gain
$
7,711

 
$
8,663

 
$
6,300

 
$
2,999

Cumulative adjustment from adoption of new accounting guidance1
—

 
—

 
—

 
1,981

Net gains (losses) from changes in cash flow hedges
(7,012
)
 
1,978

 
(3,832
)
 
5,842

Net gains reclassified into earnings (loss)
(2,198
)
 
(1,572
)
 
(3,967
)
 
(1,753
)
Ending balance gain (loss)
$
(1,499
)
 
$
9,069

 
$
(1,499
)
 
$
9,069

______________________________________________________________________
Notes:
1 
During the first quarter of fiscal 2020, the Company adopted new authoritative guidance which eliminated the requirement to separately measure and report ineffectiveness for instruments that qualify for hedge accounting and generally requires that the entire change in the fair value of such instruments ultimately be presented in the same line as the respective hedge item. As a result, there is no interest component recognized for the ineffective portion of instruments that qualify for hedge accounting, but rather all changes in the fair value of such instruments are included in other comprehensive income (loss). Upon adoption of this guidance, the Company reclassified $2.0 million in gains from retained earnings to accumulated other comprehensive loss related to the previously recorded interest component on outstanding instruments that qualified for hedge accounting.
Summary of gains (losses) before taxes recognized on the derivative instruments not designated as hedging instruments in other income (expense)
The following table summarizes the gains (losses) before taxes recognized on the derivative instruments not designated as hedging instruments in other income (expense) for the three and six months ended August 1, 2020 and August 3, 2019 (in thousands):
 
Location of Gain (Loss) Recognized in Earnings (Loss)
 
Gain (Loss) Recognized in Earnings (Loss)
 
 
Three Months Ended
 
Six Months Ended
 
 
Aug 1, 2020
 
Aug 3, 2019
 
Aug 1, 2020
 
Aug 3, 2019
Derivatives not designated as hedging instruments:
 
 
 

 
 

 
 
 
 
Foreign exchange currency contracts
Other income (expense)
 
$
(4,706
)
 
$
233

 
$
(3,618
)
 
$
808