Goodwill and Other Intangible Assets

12 Months Ended

Nov. 27, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND OTHER INTANGIBLE ASSETS

GOODWILL AND OTHER INTANGIBLE ASSETS

The changes in the carrying amount of goodwill by business segment for the years ended November 27, 2022 and November 28, 2021, were as follows:

	Americas		Europe		Asia		Other Brands		Total
	(Dollars in millions)
Balance, November 29, 2020	$	233.0	$	28.7	$	3.1	$	—	$	264.8
Additions(1)	—		1.7		—		123.7		125.4
Foreign currency fluctuation	(1.6)		(1.6)		(0.1)		—		(3.3)
Balance, November 28, 2021	231.4		28.8		3.0		123.7		386.9
Impairments	—		(11.6)		—		—		(11.6)
Adjustments	—		—		—		(0.1)		(0.1)
Foreign currency fluctuation	(1.9)		(7.5)		(0.1)		—		(9.5)
Balance, November 27, 2022	$	229.5	$	9.7	$	2.9	$	123.6	$	365.7

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(1)Additions to Other Brands goodwill in fiscal year 2021 relates to the acquisition of Beyond Yoga®. Refer to Note 4 for more information.

During the second quarter of 2022, as a result of the Russia-Ukraine crisis, the Company reviewed the goodwill assigned to its Russia business for impairment and recorded $11.6 million of non-cash impairment charges. The impairment charges are included in SG&A expenses in the accompanying consolidated statements of operations.

During the third and fourth quarter of 2022, the Company elected to perform a quantitative impairment assessment for goodwill assigned to certain reporting units, including Beyond Yoga. The assessments concluded that the fair values of the reporting units were in excess of their respective carrying values.

Other intangible assets, net, were as follows:

	November 27, 2022						November 28, 2021
	Gross Carrying Value		Accumulated Amortization		Total		Gross Carrying Value		Accumulated Amortization		Total
	(Dollars in millions)
Non-amortized intangible assets:
Trademarks	$	258.7	$	—	$	258.7	$	258.7	$	—	$	258.7
Amortized intangible assets:
Customer relationships and other	37.9		(9.9)		28.0		38.7		(6.1)		32.6
Total	$	296.6	$	(9.9)	$	286.7	$	297.4	$	(6.1)	$	291.3

Customer relationships and other are amortized over five to eleven years. Amortization expense for the years ended November 27, 2022, November 28, 2021 and November 29, 2020 was $4.3 million, $1.1 million and $5.2 million, respectively.

For fiscal 2022, the Company elected to perform the qualitative assessment for the goodwill in certain of our reporting units and indefinite-lived intangible assets. This qualitative assessment included the review of certain macroeconomic factors and entity-specific qualitative factors to determine if it was more-likely-than-not that the fair values of our reporting units were below carrying value. For other reporting units and other indefinite-lived intangible assets, including Beyond Yoga, a quantitative assessment was performed. The Company engaged third-party valuation specialists and used industry accepted valuation models and criteria that were reviewed and approved by various levels of management. The assessments concluded that the fair value of the reporting units and indefinite-lived intangible assets were in excess of their respective carrying values.

Estimated amortization expense for each of the next five years is as follows:

	November 27, 2022
	(Dollars in millions)
2023	$	4.4
2024	4.4
2025	4.4
2026	4.0
2027	2.3
Thereafter	8.5
Total	$	28.0