Goodwill And Intangible Assets

12 Months Ended

Feb. 02, 2013

Goodwill And Intangible Assets [Abstract]

9.	GOODWILL AND INTANGIBLE ASSETS

Goodwill and intangible assets were as follows:



	February 2,		January 28,
($ thousands)		2013		2012

Intangible Assets
Famous Footwear	$	2,800	$	2,800
Wholesale Operations		147,003		155,003
Specialty Retail		200		200
Total intangible assets		150,003		158,003
Accumulated amortization		(56,979)		(57,017)
Total intangible assets, net		93,024		100,986
Goodwill
Wholesale Operations		39,604		39,604
Total goodwill		39,604		39,604
Goodwill and intangible assets, net	$	132,628	$	140,590

Intangible assets of $42.5 million as of February 2, 2013 and January 28, 2012 are not subject to amortization. All remaining intangible assets are subject to amortization and have useful lives ranging from four to 20 years. Amortization expense related to intangible assets was $7.2 million, $8.3 million and $6.7 million in 2012, 2011 and 2010, respectively. The Company estimates the following amortization expense related to intangible assets: $6.9 million in 2013 and 2014 and $6.0 million in 2015, 2016 and 2017.

During 2012, the Company terminated the Etienne Aigner license agreement, due to a dispute with the licensor and recognized an impairment charge of $5.8 million, to reduce the remaining unamortized value of the licensed trademark intangible asset to zero. Also during 2012, the Company acquired a trademark for $5.0 million. The trademark is being amortized over a 15 year useful life.

The decrease in intangible assets of the Wholesale Operations segment from January 28, 2012 to February 2, 2013 is primarily related to the impairment of the Etienne Aigner licensed trademark and amortization, partially offset by the acquisition of a trademark.

As a result of its annual impairment testing, the Company did not record any other impairment charges during 2012 and 2011 related to intangible assets.

Goodwill is tested for impairment at least annually, or more frequently if events or circumstances indicate it might be impaired. A fair-value-based test is applied at the reporting unit level and compares the fair value of the reporting unit, with attributable goodwill, to the carrying value of such reporting unit. This test requires various judgments and estimates. The fair value of goodwill is determined using an estimate of future cash flows of the reporting unit and a risk-adjusted discount rate to compute a net present value of future cash flows. An adjustment will be recorded for any goodwill that is determined to be impaired. Impairment of goodwill is measured as the excess of the carrying amount of goodwill over the fair values of recognized and unrecognized assets and liabilities of the reporting unit. The Company performed a goodwill impairment test as of the first day of the Company’s fourth fiscal quarter, resulting in no impairment charges.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References+ Details