Business Segment Information (Tables)
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12 Months Ended |
Dec. 31, 2016 |
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| Segment Reporting [Abstract] |
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| Financial Information for Reportable Segments |
Financial information for VF’s reportable segments is as follows:
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2016 |
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2015 |
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2014 |
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In thousands |
Coalition revenues: |
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Outdoor & Action Sports |
$ |
7,533,145 |
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|
$ |
7,400,446 |
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|
$ |
7,198,994 |
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Jeanswear |
2,737,701 |
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|
2,792,244 |
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|
2,801,754 |
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Imagewear |
1,103,813 |
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|
1,082,565 |
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|
1,104,038 |
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Sportswear |
536,302 |
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|
635,056 |
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|
650,203 |
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Other |
108,042 |
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|
122,344 |
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|
126,741 |
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Total coalition revenues |
$ |
12,019,003 |
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|
$ |
12,032,655 |
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|
$ |
11,881,730 |
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Coalition profit: (a)
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Outdoor & Action Sports |
$ |
1,226,208 |
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$ |
1,266,763 |
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|
$ |
1,312,963 |
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Jeanswear |
491,912 |
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|
535,385 |
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|
527,972 |
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Imagewear |
179,793 |
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|
157,959 |
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|
164,352 |
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Sportswear |
36,648 |
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|
78,879 |
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|
77,972 |
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Other (b)
|
(4,403 |
) |
|
15,135 |
|
|
(2,600 |
) |
Total coalition profit |
1,930,158 |
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|
2,054,121 |
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|
2,080,659 |
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Impairment of goodwill and intangible assets (c)
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(79,644 |
) |
|
— |
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|
— |
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Corporate and other expenses (d) (e)
|
(349,287 |
) |
|
(265,166 |
) |
|
(287,890 |
) |
Interest expense, net (f)
|
(85,636 |
) |
|
(81,620 |
) |
|
(79,193 |
) |
Income from continuing operations before income taxes |
$ |
1,415,591 |
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|
$ |
1,707,335 |
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|
$ |
1,713,576 |
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(a) |
Reflects restructuring costs in 2016 totaling $43.3 million as follows: Outdoor and Action Sports - $17.4 million; Jeanswear - $20.4 million; Imagewear - $1.3 million; Sportswear - $2.9 million; and Other - $1.3 million (Note W).
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(b) |
Reflects a $16.6 million gain in 2015 recognized on the sale of a VF Outlet® location.
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(c) |
Represents goodwill and intangible asset impairment charges in 2016 related to the Outdoor & Action Sports coalition (Notes F, G and T). |
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(d) |
Reflects a $50.9 million pension settlement charge (Note M) and $14.8 million in restructuring charges (Note W) in 2016.
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(e) |
Certain corporate overhead costs of $5.8 million, $11.4 million and $12.4 million in 2016, 2015 and 2014, respectively, previously allocated to the Contemporary Brands coalition for segment reporting purposes have been reallocated to continuing operations as discussed in Note B.
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(f) |
Interest expense of $2.3 million and $1.9 million in 2015 and 2014, respectively, previously allocated to the Contemporary Brands coalition for segment reporting purposes has been reallocated to continuing operations as discussed in Note B.
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| Reconciliation Assets |
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2016 |
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2015 |
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In thousands |
Coalition assets: |
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Outdoor & Action Sports |
$ |
2,424,830 |
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|
$ |
2,436,788 |
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Jeanswear |
943,764 |
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|
951,411 |
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Imagewear |
355,707 |
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|
366,062 |
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Sportswear |
130,233 |
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|
140,458 |
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Other |
63,351 |
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|
63,162 |
|
Total coalition assets |
3,917,885 |
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|
3,957,881 |
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Cash and equivalents |
1,227,862 |
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|
944,423 |
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Intangible assets and goodwill |
3,576,657 |
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|
3,737,018 |
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Deferred income taxes |
42,231 |
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|
39,246 |
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Corporate assets |
974,652 |
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|
661,767 |
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Assets of discontinued operations |
— |
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|
299,207 |
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Consolidated assets |
$ |
9,739,287 |
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|
$ |
9,639,542 |
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| Supplemental Information (with Revenues by Geographic Area Based on Location of Customer) |
Supplemental information (with revenues by geographic area based on the location of the customer) is as follows:
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2016 |
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2015 |
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2014 |
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In thousands |
Total revenues: |
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U.S. |
$ |
7,444,594 |
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|
$ |
7,631,476 |
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|
$ |
7,292,051 |
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Foreign, primarily Europe |
4,574,409 |
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|
4,401,179 |
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|
4,589,679 |
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$ |
12,019,003 |
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$ |
12,032,655 |
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$ |
11,881,730 |
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Property, plant and equipment: |
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U.S. |
$ |
590,593 |
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|
$ |
591,981 |
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Foreign, primarily Europe |
349,057 |
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|
353,510 |
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$ |
939,650 |
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$ |
945,491 |
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| Reconciliation of Capital Expenditures and Depreciation and Amortization Expense |
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2016 |
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2015 |
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2014 |
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In thousands |
Capital expenditures: (a)
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Outdoor & Action Sports |
$ |
114,430 |
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$ |
166,267 |
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$ |
111,020 |
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Jeanswear |
38,802 |
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|
31,844 |
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|
31,586 |
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Imagewear |
5,244 |
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|
6,959 |
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|
6,356 |
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Sportswear |
4,944 |
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|
8,771 |
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|
22,814 |
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Other |
2,390 |
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|
2,679 |
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|
2,489 |
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Corporate |
9,311 |
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|
32,318 |
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|
49,504 |
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$ |
175,121 |
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$ |
248,838 |
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$ |
223,769 |
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Depreciation and amortization expense: (b)
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Outdoor & Action Sports |
$ |
138,387 |
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$ |
129,986 |
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$ |
131,166 |
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Jeanswear |
47,726 |
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|
41,823 |
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|
43,189 |
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Imagewear |
13,013 |
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|
11,608 |
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|
11,602 |
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Sportswear |
17,042 |
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|
15,358 |
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|
14,334 |
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Other |
3,537 |
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|
4,510 |
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|
5,231 |
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Corporate |
57,291 |
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|
51,117 |
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|
45,355 |
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$ |
276,996 |
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$ |
254,402 |
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$ |
250,877 |
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(a) |
Excludes $0.7 million, $5.7 million and $10.3 million of capital expenditures related to the Contemporary Brands coalition for 2016, 2015 and 2014, respectively. These amounts are included in capital expenditures in our Consolidated Statements of Cash Flows as we did not segregate cash flows related to discontinued operations (Note B).
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(b) |
Excludes $4.6 million, $17.7 million and $24.0 million of depreciation and amortization related to the Contemporary Brands coalition for 2016, 2015 and 2014, respectively. These amounts are included in depreciation and amortization in our Consolidated Statements of Cash Flows as we did not segregate cash flows related to discontinued operations (Note B).
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