Fair Value Measurements (Tables)

12 Months Ended

Apr. 01, 2023

Contracts Measured and Recorded at Fair Value on Recurring and Categorized in Level 2 of Fair Value Hierarchy

All contracts are measured and recorded at fair value on a recurring basis and are categorized in Level 2 of the fair value hierarchy, as shown in the following table (in millions):


	Fair value at April 1, 2023, using:						Fair value at April 2, 2022, using:
	Quoted prices in active markets for identical assets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Quoted prices in active markets for identical assets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Derivative assets:
Forward foreign currency exchange contracts	$	—	$	—	$	—	$	—	$	4	$	—
Net investment hedges	—		1		—		—		44		—

Undesignated derivative contracts	—		—		—		—		4		—
Total derivative assets	$	—	$	1	$	—	$	—	$	52	$	—

Derivative liabilities:
Forward foreign currency exchange contracts	$	—	$	—	$	—	$	—	$	—	$	—
Net investment hedges	—		36		—		—		37		—
Fair value hedges	—		3		—		—		—		—
Total derivative liabilities	$	—	$	39	$	—	$	—	$	37	$	—

Fair Value Measurement of Long-term Debt

The following table summarizes the carrying values and estimated fair values of the Company’s short- and long-term debt, based on Level 2 measurements (in millions):


	April 1, 2023				April 2, 2022
	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value
Revolving Credit Facilities	$	874	$	874	$	175	$	175
Versace Term Loan	$	487	$	481	$	—	$	—
Senior Notes due 2024	$	449	$	435	$	448	$	451
2018 Term Loan	$	—	$	—	$	495	$	490

Carrying Value and Fair Values of Impaired Long-Lived Assets

The following table details the carrying values and fair values of the Company’s assets that have been impaired (in millions):


	Carrying Value Prior to Impairment		Fair Value		Impairment Charge (1)
Fiscal 2023:
Goodwill	$	681	$	599	$	82
Operating Lease Right-of-Use Assets	100		67		33
Brands	224		200		24
Property and Equipment	4		1		3
Total	$	1,009	$	867	$	142

Fiscal 2022:
Operating Lease Right-of-Use Assets	$	209	$	133	$	76


Property and Equipment	12		5		7
Total	$	221	$	138	$	83

Fiscal 2021:
Operating Lease Right-of-Use Assets	$	326	$	191	$	135
Goodwill	319		225		94
Brands	407		338		69
Property and Equipment	30		7		23
Total	$	1,082	$	761	$	321

(1)Includes $10 million and $5 million of impairment charges that were recorded within restructuring and other charges related to the Capri Retail Store Optimization Program during Fiscal 2022 and Fiscal 2021, respectively.