|
Derivative Financial Instruments and Hedging Activities (Tables)
|
12 Months Ended |
|
Dec. 29, 2012
|
| Outstanding Derivatives on Individual Contract Basis |
The following
table presents outstanding derivatives on an individual contract
basis:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Fair Value of Derivatives
with Unrealized Gains |
|
|
Fair Value of Derivatives
with Unrealized Losses |
|
| |
|
December
2012 |
|
|
December
2011 |
|
|
December
2012 |
|
|
December
2011 |
|
| |
|
In
thousands |
|
|
Foreign exchange contracts
designated as hedging instruments
|
|
$ |
15,847 |
|
|
$ |
45,071 |
|
|
$ |
27,267 |
|
|
$ |
22,406 |
|
|
Foreign exchange contracts
dedesignated as hedging instruments
|
|
|
15 |
|
|
|
1,245 |
|
|
|
2,160 |
|
|
|
930 |
|
|
Foreign exchange contracts
not designated as hedging instruments
|
|
|
291 |
|
|
|
12 |
|
|
|
41 |
|
|
|
177 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
derivatives
|
|
$ |
16,153 |
|
|
$ |
46,328 |
|
|
$ |
29,468 |
|
|
$ |
23,513 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Outstanding Derivatives Classified as Current or Noncurrent Based on Derivatives' Maturity Dates |
Outstanding
derivatives have been included in the Consolidated Balance Sheets
and classified as current or noncurrent based on maturity dates, as
follows:
|
|
|
|
|
|
|
|
|
| |
|
December 2012 |
|
|
December 2011 |
|
| |
|
In
thousands |
|
|
Other current
assets
|
|
$ |
13,629 |
|
|
$ |
39,076 |
|
|
Accrued liabilities
(current)
|
|
|
(22,013 |
) |
|
|
(19,326 |
) |
|
Other assets
(noncurrent)
|
|
|
2,524 |
|
|
|
7,252 |
|
|
Other liabilities
(noncurrent)
|
|
|
(7,455 |
) |
|
|
(4,187 |
) |
|
| Effects of Cash Flow Hedging included in Consolidated Statements of Income and Consolidated Statements of Comprehensive Income |
The effects of
cash flow hedging included in VF’s Consolidated Statements of
Income and Consolidated Statements of Comprehensive Income are
summarized as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
Flow
Hedging
Relationships
|
|
Gain (Loss)
on
Derivatives
Recognized
in OCI
|
|
| |
2012 |
|
|
2011 |
|
|
2010 |
|
| |
|
In
thousands |
|
|
Foreign exchange
|
|
$ |
(9,555 |
) |
|
$ |
6,707 |
|
|
$ |
14,042 |
|
|
Interest rate
|
|
|
— |
|
|
|
(48,266 |
) |
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
$ |
(9,555 |
) |
|
$ |
(41,559 |
) |
|
$ |
14,042 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Location
of
Gain
(Loss)
Reclassified
From
Accumulated
OCI into Income
|
|
Gain (Loss)
Reclassified
from
Accumulated
OCI into
Income
|
|
| |
2012 |
|
|
2011 |
|
|
2010 |
|
| |
|
In
thousands |
|
|
Net sales
|
|
$ |
(6,569 |
) |
|
$ |
6,525 |
|
|
$ |
(5,907 |
) |
|
Cost of goods
sold
|
|
|
22,470 |
|
|
|
(16,958 |
) |
|
|
10,328 |
|
|
Other income (expense),
net
|
|
|
3,704 |
|
|
|
(8,441 |
) |
|
|
2,186 |
|
|
Interest expense
|
|
|
(3,722 |
) |
|
|
(2,424 |
) |
|
|
116 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
$ |
15,883 |
|
|
$ |
(21,298 |
) |
|
$ |
6,723 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Effects of Fair Value Hedging Included in Consolidated Statements of Income |
VF’s
Consolidated Statements of Income included the following effects
related to designated fair value hedging:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair
Value
Hedging
Relationships
|
|
|
|
Gain (Loss) on Derivatives and
Related Hedged Items
Recognized in Income |
|
| |
Location of
Gain (Loss)
|
|
2012 |
|
|
2011 |
|
|
2010 |
|
| |
|
|
|
In
thousands |
|
|
Foreign exchange
|
|
Other income (expense), net |
|
$ |
— |
|
|
$ |
2,413 |
|
|
$ |
17,914 |
|
|
Advances—intercompany
|
|
Other income (expense), net |
|
|
— |
|
|
|
(3,329 |
) |
|
|
(18,041 |
) |
|
|
Foreign exchange contracts not designated as hedging
|
|
| Effects of Fair Value Hedging Included in Consolidated Statements of Income |
Following is a
summary of these hedges included in VF’s Consolidated
Statements of Income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Derivatives
Not
Designated
as Hedges
|
|
Location
of
Gain
(Loss)
on
Derivatives
Recognized
in Income
|
|
Gain
(Loss)
on
Derivatives
Recognized
in Income
|
|
| |
|
2012 |
|
|
2011 |
|
|
2010 |
|
| |
|
|
|
In
thousands |
|
|
Foreign exchange
|
|
Other income (expense), net |
|
$ |
1,443 |
|
|
$ |
3,995 |
|
|
$ |
— |
|
|