| Schedule of Discontinued Operations Presented in Financial Statements |
The following table summarizes the major line items included in the loss from discontinued operations for the divestitures of the Licensing Business and Contemporary Brands coalition:
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Three Months Ended June |
|
Six Months Ended June |
In thousands |
2017 |
|
2016 |
|
2017 |
|
2016 |
Revenues |
$ |
32,495 |
|
|
$ |
195,072 |
|
|
$ |
153,825 |
|
|
$ |
399,955 |
|
Cost of goods sold |
26,371 |
|
|
113,033 |
|
|
114,592 |
|
|
234,339 |
|
Selling, general and administrative expenses |
9,081 |
|
|
62,738 |
|
|
34,718 |
|
|
121,860 |
|
Interest expense, net |
(7 |
) |
|
(27 |
) |
|
(25 |
) |
|
(162 |
) |
Other income (expense), net |
— |
|
|
(2 |
) |
|
— |
|
|
(4 |
) |
Income (loss) from discontinued operations before income taxes |
(2,964 |
) |
|
19,272 |
|
|
4,490 |
|
|
43,590 |
|
Estimated loss on the sale of discontinued operations before income taxes |
(6,386 |
) |
|
(149,836 |
) |
|
(9,917 |
) |
|
(149,836 |
) |
Total loss from discontinued operations before income taxes |
(9,350 |
) |
|
(130,564 |
) |
|
(5,427 |
) |
|
(106,246 |
) |
Income tax (expense) benefit(a)
|
4,374 |
|
|
45,086 |
|
|
(5,065 |
) |
|
39,102 |
|
Loss from discontinued operations, net of tax |
$ |
(4,976 |
) |
|
$ |
(85,478 |
) |
|
$ |
(10,492 |
) |
|
$ |
(67,144 |
) |
|
|
(a) |
Income tax (expense) benefit for the three and six months ended June 2017 includes $1.1 million and $8.6 million, respectively, of deferred tax expense related to GAAP and tax basis differences for LSG.
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The following table summarizes the carrying amounts of major classes of assets and liabilities of discontinued operations for each of the periods presented.
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In thousands |
June 2017 |
|
December 2016 |
|
June 2016 |
Accounts receivable, net |
$ |
— |
|
|
$ |
36,285 |
|
|
$ |
68,803 |
|
Inventories |
— |
|
|
98,025 |
|
|
166,448 |
|
Other current assets, including cash and equivalents |
— |
|
|
1,535 |
|
|
6,290 |
|
Property, plant and equipment |
315 |
|
|
13,640 |
|
|
53,702 |
|
Intangible assets |
— |
|
|
42,427 |
|
|
210,814 |
|
Goodwill |
— |
|
|
28,636 |
|
|
28,636 |
|
Other assets |
— |
|
|
692 |
|
|
3,923 |
|
Allowance to reduce assets to estimated fair value, less costs to sell |
— |
|
|
— |
|
|
(149,836 |
) |
Total assets of discontinued operations(a)
|
$ |
315 |
|
|
$ |
221,240 |
|
|
$ |
388,780 |
|
Accounts payable |
$ |
— |
|
|
$ |
21,674 |
|
|
$ |
30,339 |
|
Accrued liabilities |
— |
|
|
13,531 |
|
|
10,512 |
|
Other liabilities |
— |
|
|
791 |
|
|
11,365 |
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Deferred income tax liabilities(b)
|
— |
|
|
(4,081 |
) |
|
(4,140 |
) |
Total liabilities of discontinued operations(a)
|
$ |
— |
|
|
$ |
31,915 |
|
|
$ |
48,076 |
|
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(a) |
Amounts at December 2016 and June 2016 have been classified as current and long-term in the Consolidated Balance Sheets for the licensing business.
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(b) |
Deferred income tax balances reflect VF’s consolidated netting by jurisdiction. |
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