| Schedule of Discontinued Operations Presented in Financial Statements |
The following table summarizes the major line items for the Nautica® brand business and the Licensing Business that are included in the loss from discontinued operations, net of tax line item in the Consolidated Statements of Income:
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended March |
(In thousands) |
|
2018 |
|
|
2017 |
Revenues |
|
$ |
94,362 |
|
|
|
$ |
202,667 |
|
Cost of goods sold |
|
48,946 |
|
|
|
131,301 |
|
Selling, general and administrative expenses |
|
34,649 |
|
|
|
62,073 |
|
Interest expense, net |
|
— |
|
|
|
(17 |
) |
Income from discontinued operations before income taxes |
|
10,767 |
|
|
|
9,276 |
|
Loss on the sale of discontinued operations before income taxes |
|
(18,065 |
) |
|
|
(3,531 |
) |
Total income (loss) from discontinued operations before income taxes |
|
(7,298 |
) |
|
|
5,745 |
|
Income tax expense (a)
|
|
(1,073 |
) |
|
|
(9,858 |
) |
Loss from discontinued operations, net of tax |
|
$ |
(8,371 |
) |
|
|
$ |
(4,113 |
) |
|
|
(a) |
The 2018 adjustment to the estimated loss on sale related to the Nautica® brand business was nondeductible for income tax purposes. Income tax expense for the three months ended March 2017 includes $7.5 million of deferred tax expense related to GAAP and tax basis differences for LSG.
|
The following table summarizes the carrying amounts of major classes of assets and liabilities of discontinued operations for each of the periods presented:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In thousands) |
|
March 2018 |
|
|
December 2017 (c)
|
|
March 2017 (c)
|
Cash |
|
$ |
2,330 |
|
|
|
$ |
2,592 |
|
|
$ |
1,182 |
|
Accounts receivable, net |
|
26,298 |
|
|
|
27,941 |
|
|
56,208 |
|
Inventories |
|
55,610 |
|
|
|
43,297 |
|
|
146,768 |
|
Other current assets |
|
1,247 |
|
|
|
2,497 |
|
|
15,778 |
|
Property, plant and equipment, net |
|
15,021 |
|
|
|
14,914 |
|
|
28,495 |
|
Intangible assets |
|
262,202 |
|
|
|
262,352 |
|
|
305,509 |
|
Goodwill |
|
49,005 |
|
|
|
49,005 |
|
|
182,292 |
|
Other assets |
|
3,961 |
|
|
|
3,631 |
|
|
3,835 |
|
Allowance to reduce assets to estimated fair value, less costs to sell |
|
(42,094 |
) |
|
|
(25,529 |
) |
|
— |
|
Total assets of discontinued operations (a)
|
|
$ |
373,580 |
|
|
|
$ |
380,700 |
|
|
$ |
740,067 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable |
|
$ |
11,619 |
|
|
|
$ |
16,993 |
|
|
$ |
34,197 |
|
Accrued liabilities |
|
10,658 |
|
|
|
18,203 |
|
|
15,726 |
|
Other liabilities |
|
11,912 |
|
|
|
12,011 |
|
|
13,184 |
|
Deferred income tax liabilities (b)
|
|
51,838 |
|
|
|
53,812 |
|
|
73,651 |
|
Total liabilities of discontinued operations (a)
|
|
$ |
86,027 |
|
|
|
$ |
101,019 |
|
|
$ |
136,758 |
|
|
|
(a) |
Amounts at March 2017 have been classified as current and long-term in the Consolidated Balance Sheets. |
|
|
(b) |
Deferred income tax balances reflect ÂÒÂ×°ÍÊ¿’s consolidated netting by jurisdiction. |
|
|
(c) |
Certain assets and liabilities previously reported as discontinued operations will be retained by ÂÒÂ×°ÍÊ¿ based on the terms of the definitive sale agreement, and thus have been removed from discontinued operations for all periods presented. The impact was not material to any periods presented. |
|