Business Segment Information

6 Months Ended

Jul. 28, 2012

Business Segment Information [Abstract]

Business Segment Information

Note 6 Business Segment Information

Applicable business segment information is as follows for the periods ended July 28, 2012 and July 30, 2011:

		Famous		Wholesale			Specialty
($ thousands)		Footwear		Operations			Retail			Other			Total
Thirteen Weeks Ended July 28, 2012
External sales	$	350,318	$	194,966		$	53,995		$	–		$	599,279
Intersegment sales		466		55,941			–			–			56,407
Operating earnings (loss)		20,539		(2,548	)		(5,795	)		(10,911	)		1,285
Operating segment assets		512,892		552,691			48,568			140,023			1,254,174
Thirteen Weeks Ended July 30, 2011
External sales	$	344,930	$	215,117		$	60,543		$	–		$	620,590
Intersegment sales		400		54,426			–			–			54,826
Operating earnings (loss)		7,495		2,925			(3,012	)		(8,406	)		(998	)
Operating segment assets		527,195		629,116			54,262			140,350			1,350,923
Twenty-six Weeks Ended July 28, 2012
External sales	$	697,425	$	418,169		$	110,126		$	–		$	1,225,720
Intersegment sales		1,024		107,517			–			–			108,541
Operating earnings (loss)		38,840		(569	)		(9,322	)		(18,969	)		9,980
Twenty-six Weeks Ended July 30, 2011
External sales	$	687,657	$	432,181		$	120,307		$	–		$	1,240,145
Intersegment sales		801		93,926			–			–			94,727
Operating earnings (loss)		26,277		8,944			(6,756	)		(17,383	)		11,082

The Other segment includes corporate assets, administrative expenses and other costs and recoveries, which are not allocated to the operating segments.

During the thirteen weeks ended July 28, 2012, operating earnings (loss) included portfolio realignment costs of $12.4 million and organizational change costs of $2.3 million. Of the $12.4 million, $9.3 million is included in the Wholesale Operations segment, $2.6 million is included in the Specialty Retail segment, $0.3 million is included in the Famous Footwear segment and $0.2 million is included in the Other segment. The $2.3 million of organizational change costs are included in the Other segment. During the twenty-six weeks ended July 28, 2012, operating earnings (loss) included portfolio realignment costs of $24.4 million, organizational change costs of $2.3 million and ASG integration-related costs of $0.7 million. Of the $24.4 million, $12.8 million is included in the Wholesale Operations segment, $7.3 million is included in the Famous Footwear segment, $3.5 million is included in the Specialty Retail segment and $0.8 million is included in the Other segment. The $2.3 million of organizational change costs are included in the Other segment. The $0.7 million of ASG integration-related costs are included in the Wholesale Operations segment.

During the thirteen weeks and twenty-six weeks ended July 30, 2011, operating earnings of the Wholesale Operations segment included an increase in cost of goods sold related to the impact of the inventory fair value adjustment in connection with the acquisition of ASG of $1.5 million and $4.2 million, respectively, and the operating loss of the Other segment included costs related to the Company's acquisition and integration of ASG of $0.7 million and $2.4 million, respectively.

Following is a reconciliation of operating earnings (loss) to loss before income taxes from continuing operations:

		Thirteen Weeks Ended						Twenty-six Weeks Ended
		July 28,			July 30,			July 28,			July 30,
($ thousands)		2012			2011			2012			2011
Operating earnings (loss)	$	1,285		$	(998	)	$	9,980		$	11,082
Interest expense		(5,758	)		(6,520	)		(11,915	)		(13,218	)
Loss on early extinguishment of debt		–			(1,003	)		–			(1,003	)
Interest income		77			65			160			150
Loss before income taxes from continuing operations	$	(4,396	)	$	(8,456	)	$	(1,775	)	$	(2,989	)