±«ÓãÖ±²¥

Annual report pursuant to Section 13 and 15(d)

REPORTABLE SEGMENT INFORMATION

v3.22.1
REPORTABLE SEGMENT INFORMATION
 12 Months Ended
Apr. 02, 2022
Segment Reporting [Abstract] Ìý
REPORTABLE SEGMENT INFORMATION REPORTABLE SEGMENT INFORMATION
The chief operating decision maker allocates resources and assesses performance based on a global brand view which represents ±«ÓãÖ±²¥'s operating segments. The operating segments have been evaluated and combined into reportable segments because they meet the similar economic characteristics and qualitative aggregation criteria set forth in the relevant accounting guidance. Based on this assessment, the Company's reportable segments have been identified as: Outdoor, Active and Work.
Below is a description of ±«ÓãÖ±²¥'s reportable segments and the brands included within each:
REPORTABLE SEGMENT BRANDS
Outdoor - Outdoor apparel, footwear and equipment
The North Face®
Timberland®
Smartwool®
ÌýIcebreaker®
Altra®
Active - Active apparel, footwear and accessories
Vans®
Supreme®
Napapijri®
Kipling®
Eastpak®
JanSport®
Work - Work and work-inspired lifestyle apparel and footwear
Dickies®
Timberland PRO®
Other - included in the tables below for purposes of reconciliation of revenues and profit, but it is not considered a reportable segment. Other includes results primarily related to the sale of non-±«ÓãÖ±²¥ products and sourcing activities related to transition services.

The results of Supreme have been included in the Active segment since the December 28, 2020 acquisition date.
The Company continuously assesses the composition of its portfolio to ensure it is aligned with its strategic objectives and positioned to maximize growth and return to shareholders. In doing so, it evaluates whether changes may need to be made to our internal reporting structure to better support and assess the operations of our business going forward. If changes are made, we will assess the resulting effect on our reportable segments, operating segments and reporting units, if any.
The primary financial measures used by management to evaluate the financial results of ±«ÓãÖ±²¥'s reportable segments are segment revenues and segment profit.ÌýSegment profit comprises the operating income and other income (expense), net line items of each segment.
Accounting policies used for internal management reporting at the individual segments are consistent with those in Note 1,
except as stated below. Corporate costs (other than common costs allocated to the segments), goodwill and indefinite-lived intangible asset impairment charges, net interest expense and loss on debt extinguishment are not controlled by segment management and therefore are excluded from the measurement of segment profit. Common costs such as information systems processing, retirement benefits and insurance are allocated from corporate costs to the segments based on appropriate metrics such as usage or employment. Corporate costs that are not allocated to the segments consist of corporate headquarters expenses (including compensation and benefits of corporate management and staff, certain legal and professional fees and administrative and general costs), costs of corporate programs or corporate-managed decisions, and other expenses which include a portion of defined benefit pension costs, development costs for management information systems, costs of registering, maintaining and enforcing certain of ±«ÓãÖ±²¥â€™s trademarks and miscellaneous consolidated costs. Defined benefit pension plans in the U.S. are centrally managed. The current year service cost
component of pension cost is allocated to the segments, while the remaining pension cost components are reported in corporate and other expenses.
Segment assets, for internal management purposes, are those used directly in or resulting from the operations of each business, which are accounts receivable and inventories. Segment assets included in the Other category represent
balances primarily related to corporate activities, and are provided for purposes of reconciliation as the Other category is not considered a reportable segment. Total expenditures for additions to long-lived assets are not disclosed as this information is not regularly provided to the chief operating decision maker at the segment level.
Financial information for ±«ÓãÖ±²¥â€™s reportable segments is as follows:
Year Ended March
(In thousands) 2022 2021 2020
Segment revenues:
Outdoor $ 5,327,568Ìý $ 4,127,601Ìý $ 4,643,956Ìý
Active 5,380,338Ìý 4,160,856Ìý 4,919,427Ìý
Work 1,133,149Ìý 945,680Ìý 886,419Ìý
Other 785Ìý 4,693Ìý 38,754Ìý
Total segment revenues $ 11,841,840Ìý $ 9,238,830Ìý $ 10,488,556Ìý
Segment profit (loss):
Outdoor $ 795,523Ìý $ 342,212Ìý $ 516,089Ìý
Active 979,746Ìý 648,467Ìý 1,136,821Ìý
Work 193,492Ìý 27,141Ìý 50,383Ìý
Other (586) (5,410) (6,485)
Total segment profit 1,968,175Ìý 1,012,410Ìý 1,696,808Ìý
Impairment of goodwill and indefinite-lived intangible assets (a)
—Ìý (12,400) (323,223)
Corporate and other expenses (b)
(309,817) (417,038) (514,430)
Interest expense, net (131,463) (126,500) (72,175)
Loss on debt extinguishment (3,645) —Ìý (59,772)
Income from continuing operations before income taxes $ 1,523,250Ìý $ 456,472Ìý $ 727,208Ìý

(a)Excludes $8.0Ìýmillion of impairment charges related to definite-lived intangible assets in the year ended March 2021, which are primarily recorded in the Work segment.
(b)Certain corporate overhead and other costs of $25.2 million during the year ended March 2020, previously allocated to the Work segment for segment reporting purposes, have been reallocated to continuing operations as discussed in Note 4.
(In thousands) March 2022 March 2021
Segment assets:
Outdoor $ 1,307,244Ìý $ 1,019,244Ìý
Active 1,110,691Ìý 1,025,327Ìý
Work 436,765Ìý 300,927Ìý
Other 31,815Ìý 14,361Ìý
Total segment assets 2,886,515Ìý 2,359,859Ìý
Cash and equivalents 1,275,943Ìý 815,750Ìý
Short-term investments —Ìý 598,806Ìý
Property, plant and equipment, net 1,041,777Ìý 975,876Ìý
Intangible assets and goodwill 5,394,158Ìý 5,454,972Ìý
Operating lease right-of-use assets 1,247,056Ìý 1,474,434Ìý
Other assets 1,496,759Ìý 1,486,754Ìý
Assets of discontinued operations —Ìý 587,578Ìý
Consolidated assets $ 13,342,208Ìý $ 13,754,029Ìý
Year Ended March
(In thousands) 2022 2021 2020
Depreciation and amortization expense:
Outdoor $ 95,860Ìý $ 94,841Ìý $ 91,657Ìý
Active 87,235Ìý 80,245Ìý 80,562Ìý
Work 14,439Ìý 20,785Ìý 14,856Ìý
Other 69,401Ìý 73,210Ìý 80,544Ìý
$ 266,935Ìý $ 269,081Ìý $ 267,619Ìý
Supplemental information (with revenues by geographic area primarily based on the origin of the shipment) is as follows:
Year Ended March
(In thousands) 2022 2021 2020
Total revenues:
U.S. $ 6,178,300Ìý $ 4,635,704Ìý $ 5,520,317Ìý
Foreign 5,663,540Ìý 4,603,126Ìý 4,968,239Ìý
$ 11,841,840Ìý $ 9,238,830Ìý $ 10,488,556Ìý
Property, plant and equipment:
U.S. $ 716,952Ìý $ 621,777Ìý
Foreign 324,825Ìý 354,099Ìý
$ 1,041,777Ìý $ 975,876Ìý
No single customer accounted for 10% or more of the Company’s total revenues in the years ended March 2022, 2021 and 2020.