BUSINESS SEGMENTS

The Company’s portfolio of brands is organized into the following three operating segments, which the Company has determined to be reportable operating segments. During the first quarter of fiscal 2018, the Kids footwear business was realigned into the Wolverine Boston Group and the multi-brand consumer-direct component is now reported within the other category. All prior period disclosures have been restated to reflect these new reportable operating segments.


•	Wolverine Outdoor & Lifestyle Group, consisting of Merrell^® footwear and apparel, Cat^® footwear, Hush Puppies^® footwear and apparel, Chaco^® footwear and Sebago^® footwear and apparel;


•	Wolverine Boston Group, consisting of Sperry^® footwear and apparel, Saucony^® footwear and apparel, Keds^® footwear and apparel, and the Kids footwear business, which includes the Stride Rite^® licensed business, as well as kids' footwear offerings from Saucony^®, Sperry^®, Keds^®, Merrell^® and Hush Puppies^®; and


•	Wolverine Heritage Group, consisting of Wolverine^® footwear and apparel, Bates^® uniform footwear, Harley-Davidson^® footwear and HyTest^® safety footwear.

The reportable segments are engaged in designing, manufacturing, sourcing, marketing, licensing and distributing branded footwear, apparel and accessories. Revenue for the reportable operating segments includes revenue from the sale of branded footwear, apparel and accessories to third-party customers; revenue from third-party licensees and distributors; and revenue from the Company’s consumer-direct businesses.

The Company also reports “Other” and “Corporate” categories. The Other category consists of the Company’s multi-branded consumer-direct retail stores, leather marketing operations and sourcing operations that include third-party commission revenues. The Corporate category consists of unallocated corporate expenses, including restructuring and other related costs, impairment of intangible assets, organizational transformation costs and environmental and other related costs. The Company’s operating segments are determined based on how the Company internally reports and evaluates financial information used to make operating decisions. The operating segment managers all report directly to the chief operating decision maker.

On February 1, 2019, the Company implemented certain organizational changes. The Company is evaluating the impacts of these changes to its reportable operating segments, which will be reflected beginning with the first quarter of fiscal 2019.

Company management uses various financial measures to evaluate the performance of the reportable operating segments. The following is a summary of certain key financial measures for the respective fiscal periods indicated.



	Fiscal Year
(In millions)	2018			2017			2016
Revenue:
Wolverine Outdoor & Lifestyle Group	$	951.9		$	939.9		$	883.1
Wolverine Boston Group	895.5			988.8			1,167.5
Wolverine Heritage Group	320.3			327.9			347.0
Other	71.5			93.4			97.0
Total	$	2,239.2		$	2,350.0		$	2,494.6
Operating profit (loss):
Wolverine Outdoor & Lifestyle Group	$	196.8		$	190.4		$	163.8
Wolverine Boston Group	157.5			153.6			131.7
Wolverine Heritage Group	60.8			53.3			50.8
Other	3.1			5.2			3.3
Corporate	(166.3		)	(370.9		)	(185.8		)
Total	$	251.9		$	31.6		$	163.8
Depreciation and amortization expense:
Wolverine Outdoor & Lifestyle Group	$	2.3		$	2.4		$	3.0
Wolverine Boston Group	3.3			3.7			6.3
Wolverine Heritage Group	0.4			0.5			0.5
Other	3.1			3.5			3.8
Corporate	22.4			27.1			29.9
Total	$	31.5		$	37.2		$	43.5
Capital expenditures:
Wolverine Outdoor & Lifestyle Group	$	3.0		$	0.5		$	3.3
Wolverine Boston Group	1.2			1.6			6.1
Wolverine Heritage Group	0.1			—			0.5
Other	1.8			1.8			2.6
Corporate	15.6			28.5			42.8
Total	$	21.7		$	32.4		$	55.3



(In millions)	December 29, 2018		December 30, 2017
Total assets:
Wolverine Outdoor & Lifestyle Group	$	450.9	$	420.4
Wolverine Boston Group	1,282.2		1,244.9
Wolverine Heritage Group	175.9		136.7
Other	50.0		42.2
Corporate	224.1		554.8
Total	$	2,183.1	$	2,399.0
Goodwill:
Wolverine Outdoor & Lifestyle Group	$	127.3	$	128.8
Wolverine Boston Group	280.6		284.5
Wolverine Heritage Group	16.5		16.5
Total	$	424.4	$	429.8

Geographic dispersion of revenue from external customers, based on shipping destination is as follows:



	Fiscal Year
(In millions)	2018		2017		2016
United States	$	1,505.2	$	1,608.7	$	1,791.5
Foreign:
Europe, Middle East and Africa	325.7		322.4		323.9
Canada	116.7		121.2		120.5
Other	291.6		297.7		258.7
Total from foreign territories	734.0		741.3		703.1
Total revenue	$	2,239.2	$	2,350.0	$	2,494.6

The location of the Company’s tangible long-lived assets, which comprises property, plant and equipment, is as follows:



(In millions)	December 29, 2018		December 30, 2017		December 31, 2016
United States	$	117.1	$	122.4	$	131.4
Foreign countries	13.8		14.3		14.7
Total	$	130.9	$	136.7	$	146.1

The Company does not believe that it is dependent upon any single customer because no customer accounts for more than 10% of consolidated revenue in any year.

During fiscal 2018, the Company sourced 100% of its footwear products and apparel and accessories from third-party suppliers, located primarily in the Asia Pacific region. While changes in suppliers could cause delays in manufacturing and a possible loss of sales, management believes that other suppliers could provide similar products on comparable terms.