SEGMENT DATA

12 Months Ended

Jan. 30, 2022

Segment Reporting [Abstract]

SEGMENT DATA

SEGMENT DATA

The Company manages its operations through its operating divisions, which are presented as its reportable segments: (i) Tommy Hilfiger North America; (ii) Tommy Hilfiger International; (iii) Calvin Klein North America; (iv) Calvin Klein International; (v) Heritage Brands Wholesale; and, through the second quarter of 2021, (vi) Heritage Brands Retail. The Company’s Heritage Brands Retail segment has ceased operations.

Tommy Hilfiger North America Segment - This segment consists of the Company’s Tommy Hilfiger North America division. This segment derives revenue principally from (i) marketing TOMMY HILFIGER branded apparel and related products at wholesale in the United States and Canada, primarily to department stores and off-price and independent retailers, as well as digital commerce sites operated by department store customers and pure play digital commerce retailers; (ii) operating retail stores, which are primarily located in premium outlet centers in the United States and Canada, and a digital commerce site in the United States, which sells TOMMY HILFIGER branded apparel, accessories and related products; and (iii) licensing and similar arrangements relating to the use by third parties of the TOMMY HILFIGER brand names for a broad range of product categories in North America. This segment also includes the Company’s proportionate share of the net income or loss of its investment in its unconsolidated affiliate in Mexico relating to the affiliate’s Tommy Hilfiger business and, since December 2019, the Company’s proportionate share of the net income or loss of its investment in its unconsolidated PVH Legwear affiliate relating to the affiliate’s Tommy Hilfiger business.

Tommy Hilfiger International Segment - This segment consists of the Company’s Tommy Hilfiger International division. This segment derives revenue principally from (i) marketing TOMMY HILFIGER branded apparel and related products at wholesale principally in Europe, Asia and, since May 31, 2019, Australia, primarily to department and specialty stores, and digital commerce sites operated by department store customers and pure play digital commerce retailers, as well as through distributors and franchisees; (ii) operating retail stores, concession locations and digital commerce sites in Europe, Asia (including the TH CSAP acquisition) and, since May 31, 2019, Australia, which sell TOMMY HILFIGER branded apparel, accessories and related products; and (iii) licensing and similar arrangements relating to the use by third parties of the TOMMY HILFIGER brand names for a broad range of product categories outside of North America. This segment also includes the Company’s proportionate share of the net income or loss of its investment in its unconsolidated Tommy Hilfiger affiliate in Brazil and the Company’s proportionate share of the net income or loss of its investment in its unconsolidated affiliate in India relating to the affiliate’s Tommy Hilfiger business. This segment included the Company’s proportionate share of the net income or loss of its investment in its unconsolidated PVH Australia affiliate relating to the affiliate’s Tommy Hilfiger business until May 31, 2019, on which date the Company completed the Australia acquisition and began to consolidate the operations of PVH Australia into its financial statements. Please see Note 3, “Acquisitions and Divestitures,” for further discussion.

Calvin Klein North America Segment - This segment consists of the Company’s Calvin Klein North America division. This segment derives revenue principally from (i) marketing Calvin Klein branded apparel and related products at wholesale in the United States and Canada, primarily to warehouse clubs, department and specialty stores, and off-price and independent

retailers, as well as digital commerce sites operated by department store customers and pure play digital commerce retailers; (ii) operating retail stores, which are primarily located in premium outlet centers in the United States and Canada, and a digital commerce site in the United States, which sells Calvin Klein branded apparel, accessories and related products; and (iii) licensing and similar arrangements relating to the use by third parties of the Calvin Klein brand names for a broad range of product categories in North America. This segment also includes the Company’s proportionate share of the net income or loss of its investment in its unconsolidated affiliate in Mexico relating to the affiliate’s Calvin Klein business and, since December 2019, the Company’s proportionate share of the net income or loss of its investment in its unconsolidated PVH Legwear affiliate relating to the affiliate’s Calvin Klein business.

Calvin Klein International Segment - This segment consists of the Company’s Calvin Klein International division. This segment derives revenue principally from (i) marketing Calvin Klein branded apparel and related products at wholesale principally in Europe, Asia, Brazil and, since May 31, 2019, Australia, primarily to department and specialty stores, and digital commerce sites operated by department store customers and pure play digital commerce retailers, as well as through distributors and franchisees; (ii) operating retail stores, concession locations and digital commerce sites in Europe, Asia, Brazil and since May 31, 2019, Australia, which sell Calvin Klein branded apparel, accessories and related products; and (iii) licensing and similar arrangements relating to the use by third parties of the Calvin Klein brand names for a broad range of product categories outside of North America. This segment also includes the Company’s proportionate share of the net income or loss of its investment in its unconsolidated affiliate in India relating to the affiliate’s Calvin Klein business. This segment included the Company’s proportionate share of the net income or loss of its investment in its unconsolidated PVH Australia affiliate relating to the affiliate’s Calvin Klein business until May 31, 2019, on which date the Company completed the Australia acquisition and began to consolidate the operations of PVH Australia into its financial statements. Please see Note 3, “Acquisitions and Divestitures,” for further discussion.

Heritage Brands Wholesale Segment - This segment consists of the Company’s Heritage Brands Wholesale division. This segment derives revenue primarily from the marketing to department, chain and specialty stores, warehouse clubs, mass market, and off-price retailers (in stores and online), as well as pure play digital commerce retailers in North America of (i) women’s intimate apparel under the Warner’s, Olga and True&Co. brands; (ii) men’s dress shirts and neckwear under various licensed brand names; (iii) men’s sportswear, bottoms and outerwear principally under the Van Heusen, IZOD and ARROW trademarks until August 2, 2021, when the Company completed the Heritage Brands transaction, and (iv) swimwear and swim-related products and accessories under the Speedo trademark until April 6, 2020, when the Company completed the sale of its Speedo North America business to Pentland. Please see Note 3, “Acquisitions and Divestitures,” for further discussion of the Speedo and Heritage Brands transactions. This segment also derived revenue from Company operated digital commerce sites in the United States for Van Heusen and IZOD, which ceased operations during the third quarter of 2021 in connection with the Heritage Brands transaction, and until April 6, 2020 for Speedo. In addition, since May 31, 2019, this segment derives revenue from the Heritage Brands business in Australia. This segment also includes the Company’s proportionate share of the net income or loss of its investment in its unconsolidated affiliate in Mexico relating to the affiliate’s business under various licensed brand names and, since December 2019, the Company’s proportionate share of the net income or loss of its investment in its unconsolidated PVH Legwear affiliate relating to the affiliate’s business under various owned and licensed brand names. This segment included the Company’s proportionate share of the net income or loss of its investment in its unconsolidated PVH Australia affiliate relating to the affiliate’s Heritage Brands business until May 31, 2019, on which date the Company completed the Australia acquisition and began to consolidate the operations of PVH Australia into its financial statements. Please see Note 3, “Acquisitions and Divestitures,” for further discussion.

Heritage Brands Retail Segment - This segment consisted of the Company’s Heritage Brands Retail division. This segment derived revenue principally from operating retail stores, primarily located in outlet centers throughout the United States and Canada through which the Company marketed a selection of Van Heusen, IZOD and Warner’s apparel, accessories and related products directly to consumers. The Company completed the exit from the business in 2021. As a result, the Company’s Heritage Brands Retail segment has ceased operations. Please see Note 17, “Exit Activity Costs,” for further discussion.

The Company’s revenue by segment was as follows:

(In millions)	2021		(1)(2)	2020		(1)(2)	2019		(1)
Revenue – Tommy Hilfiger North America
Net sales	$	1,086.0		$	901.2		$	1,540.2
Royalty revenue	79.0			53.7			84.1
Advertising and other revenue	19.8			13.9			23.6
Total	1,184.8			968.8			1,647.9
Revenue – Tommy Hilfiger International
Net sales	3,446.6			2,615.6			2,994.2
Royalty revenue	56.8			40.1			49.8
Advertising and other revenue	15.5			11.9			19.8
Total	3,518.9			2,667.6			3,063.8
Revenue – Calvin Klein North America
Net sales	1,129.5			826.8			1,467.0
Royalty revenue	145.6			99.8			148.9
Advertising and other revenue	46.6			29.0			53.8
Total	1,321.7			955.6			1,669.7
Revenue – Calvin Klein International
Net sales	2,283.1			1,614.6			1,896.7
Royalty revenue	48.3			52.2			74.1
Advertising and other revenue	7.2			15.9			27.3
Total	2,338.6			1,682.7			1,998.1
Revenue – Heritage Brands Wholesale
Net sales	702.9			703.1			1,248.5
Royalty revenue	10.4			12.3			19.2
Advertising and other revenue	1.8			2.5			4.2
Total	715.1			717.9			1,271.9
Revenue – Heritage Brands Retail
Net sales	75.6			137.4			253.4
Royalty revenue	—			2.3			3.8
Advertising and other revenue	—			0.3			0.4
Total	75.6			140.0			257.6
Total Revenue
Net sales	8,723.7			6,798.7			9,400.0
Royalty revenue	340.1			260.4			379.9
Advertising and other revenue	90.9			73.5			129.1
Total(3)	$	9,154.7		$	7,132.6		$	9,909.0

(1)    Revenue was impacted by fluctuations of the United States dollar against foreign currencies in which the Company transacts significant levels of business.

(2)    Revenue in 2020 was significantly negatively impacted by the COVID-19 pandemic, including as a result of reduced traffic and consumer spending trends, and temporary store closures for varying periods of time throughout the year. The Company’s wholesale customers and licensing partners also experienced significant business disruptions as a result of the pandemic, resulting in a decrease in the Company’s revenue from these channels. Revenue in 2021 continued to be negatively impacted by the pandemic and related supply chain and logistics disruptions, although to a much lesser extent than in 2020.

(3)    No single customer accounted for more than 10% of the Company’s revenue in 2021, 2020 or 2019.

The Company’s revenue by distribution channel was as follows:

(In millions)	2021		2020		2019
Wholesale net sales	$	4,860.9	$	3,534.8	$	5,066.9
Owned and operated retail stores	3,087.1		2,586.5		3,932.5
Owned and operated digital commerce sites	775.7		677.4		400.6
Retail net sales	3,862.8		3,263.9		4,333.1
Net sales	8,723.7		6,798.7		9,400.0
Royalty revenue	340.1		260.4		379.9
Advertising and other revenue	90.9		73.5		129.1
Total	$	9,154.7	$	7,132.6	$	9,909.0

The Company has not disclosed net sales by product category as it is impracticable to do so.

The Company’s income (loss) before interest and taxes by segment was as follows:

(In millions)	2021		(1)	2020		(1)(2)	2019		(1)
Income (loss) before interest and taxes – Tommy Hilfiger North America	$	21.2	(4)	$	(130.5)	(7)(8)	$	93.5	(12)(13)
Income before interest and taxes – Tommy Hilfiger International	654.2		(4)	259.5		(8)	468.2		(14)
Income (loss) before interest and taxes – Calvin Klein North America	78.0		(4)	(384.5)		(7)(8)(9)	99.8		(12)(15)
Income (loss) before interest and taxes – Calvin Klein International	377.6		(4)	(280.0)		(8)(9)	153.3		(12)(14)(15)
Income (loss) before interest and taxes – Heritage Brands Wholesale	160.9		(5)	(312.5)		(7)(9)(10)	(84.9)		(10)(14)
(Loss) income before interest and taxes – Heritage Brands Retail	(33.9)		(6)	(93.4)		(6)(8)	3.0
Loss before interest and taxes – Corporate(3)	(181.1)		(4)	(130.3)		(7)(11)	(174.2)		(14)(16)
Income (loss) before interest and taxes	$	1,076.9		$	(1,071.7)		$	558.7

(1)Income (loss) before interest and taxes was impacted by fluctuations of the United States dollar against foreign currencies in which the Company transacts significant levels of business.

(2)Loss before interest and taxes in 2020 was significantly adversely impacted by the COVID-19 pandemic, including as a result of the unprecedented material decline in revenue noted above. As well, loss before interest and taxes in 2020 was significantly adversely impacted by $1.0 billion of noncash impairment charges related to goodwill, tradenames, and other intangible assets, store assets and an equity method investment resulting from the significant adverse impacts of the COVID-19 pandemic on the Company’s business. Please see notes (8), (9) and (11) below for further discussion.

(3)Includes corporate expenses not allocated to any reportable segments, the results of PVH Ethiopia (through the closure of the Ethiopia factory in the fourth quarter of 2021) and the Company’s proportionate share of the net income or loss of its investments in Karl Lagerfeld (prior to its impairment in the first quarter of 2020 and after the Company resumed the equity method of accounting for its investment in the fourth quarter of 2021) and Gazal (prior to the Australia acquisition closing). Please see Note 5, “Investments in Unconsolidated Affiliates,” for further discussion of the Company’s investment in Karl Lagerfeld and Note 6, “Redeemable Non-Controlling Interest,” for further discussion of PVH Ethiopia. Corporate expenses represent overhead operating expenses and include expenses for senior corporate management, corporate finance, information technology related to corporate infrastructure, certain digital investments, certain corporate responsibility initiatives, certain global strategic initiatives and actuarial gains and losses on the Company’s Pension Plans, SERP Plans and Postretirement Plans. Actuarial gains (losses) on the Company’s Pension

Plans, SERP Plans and Postretirement Plans totaled $48.7 million, $64.5 million and $(97.8) million in 2021, 2020 and 2019, respectively.

(4)Income (loss) before interest and taxes for 2021 included costs of $47.6 million incurred in connection with actions to streamline the Company’s organization through reductions in its workforce, primarily in certain international markets, and to reduce its real estate footprint, including reductions in office space and select store closures, consisting of noncash asset impairments, severance, and contract termination and other costs. Such costs were included in the Company’s segments as follows: $1.7 million in Tommy Hilfiger North America, $8.9 million in Tommy Hilfiger International, $2.1 million in Calvin Klein North America, $6.4 million in Calvin Klein International and $28.5 million in corporate expenses not allocated to any reportable segments. Please see Note 17, “Exit Activity Costs,” for further discussion.

(5)Income before interest and taxes for 2021 included an aggregate net gain of $113.4 million in connection with the Heritage Brands transaction, consisting of (i) a $118.9 million gain, including a gain on the sale, less costs to sell, and a net gain on the Company’s retirement plans associated with the transaction, partially offset by (ii) $5.5 million of severance costs. Please see Note 3, “Acquisitions and Divestitures,” for further discussion.

(6)Loss before interest and taxes for 2021 and 2020 included costs and operating losses, as well as noncash asset impairments in 2020, associated with the wind down of the Heritage Brands Retail business that was completed in 2021. Please see Note 17, “Exit Activity Costs,” for further discussion.

(7)Loss before interest and taxes for 2020 included costs of $39.7 million incurred in connection with the North America workforce reduction, primarily consisting of severance. Such costs were included in the Company’s segments as follows: $10.9 million in Tommy Hilfiger North America, $10.5 million in Calvin Klein North America, $12.5 million in Heritage Brands Wholesale, and $5.8 million in corporate expenses not allocated to any reportable segments. Please see Note 17, “Exit Activity Costs,” for further discussion.

(8)(Loss) income before interest and taxes for 2020 included noncash impairment charges of $74.7 million related to the Company’s store assets. The $74.7 million of impairment charges were included in the Company’s segments as follows: $6.0 million in Tommy Hilfiger North America, $30.0 million in Tommy Hilfiger International, $14.2 million in Calvin Klein North America, $20.7 million in Calvin Klein International and $3.8 million in Heritage Brands Retail. Please see Note 11, “Fair Value Measurements,” for further discussion.

(9)Loss before interest and taxes for 2020 included noncash impairment charges of $933.5 million, primarily related to goodwill, tradenames and other intangible assets. The $933.5 million of impairment charges were included in the Company’s segments as follows: $289.9 million in Calvin Klein North America, $394.0 million in Calvin Klein International and $249.6 million in Heritage Brands Wholesale. Please see Note 7, “Goodwill and Other Intangible Assets,” for further discussion.

(10)Loss before interest and taxes for 2020 and 2019 included a noncash loss of $3.1 million and $142.0 million, respectively, in connection with the Speedo transaction. Please see Note 3, “Acquisitions and Divestitures,” for further discussion.

(11)Loss before interest and taxes for 2020 included a noncash impairment charge of $12.3 million related to the Company’s equity method investment in Karl Lagerfeld. Please see Note 5, “Investments in Unconsolidated Affiliates,” for further discussion.

(12)Income before interest and taxes for 2019 included costs of $59.8 million in connection with agreements the Company entered into in 2019 to terminate early the licenses for the global Calvin Klein and Tommy Hilfiger North America socks and hosiery businesses in order to consolidate the socks and hosiery businesses for all Company brands in the United States and Canada in a newly formed joint venture, and to bring in-house the international Calvin Klein socks and hosiery wholesale businesses. Such costs were included in the Company’s segments as follows: $7.5 million in Tommy Hilfiger North America, $25.5 million in Calvin Klein North America and $26.8 million in Calvin Klein International.

(13)Income before interest and taxes for 2019 included costs of $54.9 million incurred in connection with the TH U.S. store closures, primarily consisting of noncash lease asset impairments. Please see Note 11, “Fair Value Measurements,” for further discussion.

(14)Income (loss) before interest and taxes for 2019 included costs of $19.3 million in connection with the Australia and TH CSAP acquisitions, primarily consisting of noncash valuation adjustments, and one-time costs of $2.1 million recorded on the Company’s equity investments in Gazal and PVH Australia prior to the Australia acquisition closing. Such costs were included in the Company’s segments as follows: $11.1 million in Tommy Hilfiger International, $6.0 million in Calvin Klein International, $1.8 million in Heritage Brands Wholesale and $2.5 million in corporate

expenses not allocated to any reportable segments. Please see Note 3, “Acquisitions and Divestitures,” for further discussion.

(15)Income before interest and taxes for 2019 included costs of $102.9 million incurred in connection with the Calvin Klein restructuring, primarily consisting of lease asset impairments, contract termination and other costs, and severance. Such costs were included in the Company’s segments as follows: $66.0 million in Calvin Klein North America and $36.9 million in Calvin Klein International. Please see Note 11, “Fair Value Measurements,” for further discussion of the lease asset impairments.

(16)Loss before interest and taxes for 2019 included a noncash gain of $113.1 million to write up the Company’s previously held equity investments in Gazal and PVH Australia to fair value in connection with the Australia acquisition. Please see Note 3, “Acquisitions and Divestitures,” for further discussion.

Intersegment transactions, which primarily consist of transfers of inventory, are not material.

The Company’s identifiable assets, depreciation and amortization, and identifiable capital expenditures by segment were as follows:

(In millions)	2021		2020		2019
Identifiable Assets(1)(2)
Tommy Hilfiger North America	$	1,409.8	$	1,447.9	$	1,599.0
Tommy Hilfiger International	4,913.2		5,295.3		4,888.6
Calvin Klein North America	1,609.8		1,522.6		1,932.3
Calvin Klein International	3,164.0		3,016.8		3,428.9
Heritage Brands Wholesale(3)(4)	420.0		547.9		1,075.3
Heritage Brands Retail(5)	—		74.2		128.4
Corporate(6)	880.0		1,388.8		578.5
Total	$	12,396.8	$	13,293.5	$	13,631.0
Depreciation and Amortization
Tommy Hilfiger North America	$	32.5	$	38.1	$	40.6
Tommy Hilfiger International	130.2		131.8		119.7
Calvin Klein North America	31.6		30.8		38.6
Calvin Klein International	94.9		97.0		91.9
Heritage Brands Wholesale	11.2		11.5		15.1
Heritage Brands Retail	0.3		3.5		6.2
Corporate	12.6		13.1		11.7
Total	$	313.3	$	325.8	$	323.8
Identifiable Capital Expenditures(7)
Tommy Hilfiger North America	$	19.2	$	21.7	$	41.7
Tommy Hilfiger International	138.4		100.6		139.6
Calvin Klein North America	22.6		18.7		30.3
Calvin Klein International	85.7		54.2		83.3
Heritage Brands Wholesale	10.9		14.9		18.6
Heritage Brands Retail	—		0.7		6.5
Corporate	4.9		8.4		21.0
Total	$	281.7	$	219.2	$	341.0

(1)Identifiable assets included the impact of changes in foreign currency exchange rates.

(2)Identifiable assets in 2020 were significantly negatively impacted by $1.0 billion of noncash impairment charges related to goodwill, tradenames, other intangible assets, store assets and an equity method investment resulting from the significant adverse impacts of the COVID-19 pandemic on the Company’s business. Please see Note 11, “Fair Value Measurements,” for further discussion.

(3)Identifiable assets in 2021 included a reduction of $99.4 million related to the Heritage Brands transaction. Please see Note 3, “Acquisitions and Divestitures,” for further discussion.

(4)Identifiable assets in 2020 included a reduction of $237.2 million related to the Speedo transaction and the resulting deconsolidation of the Speedo North America business. Please see Note 3, “Acquisitions and Divestitures,” for further discussion.

(5)As a result of the exit from the Heritage Brands Retail business in 2021, the Company’s Heritage Brands Retail segment has ceased operations.

(6)The changes in Corporate identifiable assets in 2021 and 2020 were primarily due to changes in cash and cash equivalents.

(7)Capital expenditures in 2021 included $45.9 million of accruals that will not be paid until 2022. Capital expenditures in 2020 included $32.1 million of accruals that were not paid until 2021. Capital expenditures in 2019 included $39.5 million of accruals that were not paid until 2020.

Property, plant and equipment, net based on the location where such assets are held, was as follows:

(In millions)	2021 (1)		2020 (1)(2)		2019 (1)
Domestic	$	429.0	$	466.3	$	525.8
Canada	13.8		19.3		25.3
Europe	378.7		374.7		375.6
Asia-Pacific	82.8		73.8		87.6
Other foreign	1.8		8.6		12.5
Total	$	906.1	$	942.7	$	1,026.8

(1)Property, plant and equipment, net included the impact of changes in foreign currency exchange rates.

(2)Property, plant and equipment with a carrying amount of $56.4 million was written down to a fair value of $2.7 million during 2020 primarily as a result of the adverse impacts of the COVID-19 pandemic on the financial performance of certain of the Company’s retail stores and the shift in consumer buying trends from brick and mortar retail stores to digital channels. Please see Note 11, “Fair Value Measurements,” for a further discussion.

Revenue, based on location of origin, was as follows:

(In millions)	2021 (1)(2)		2020 (1)(2)		2019 (1)
Domestic(3)	$	2,894.7	$	2,460.0	$	4,275.0
Canada(3)	313.3		262.2		505.5
Europe	4,392.3		3,154.3		3,657.3
Asia-Pacific	1,454.4		1,189.6		1,353.4
Other foreign	100.0		66.5		117.8
Total	$	9,154.7	$	7,132.6	$	9,909.0

(1)Revenue was impacted by fluctuations of the United States dollar against foreign currencies in which the Company transacts significant levels of business.

(2)Revenue in 2020 was significantly negatively impacted by the COVID-19 pandemic, including as a result of reduced traffic and consumer spending trends, and temporary store closures for varying periods of time throughout the year. The Company’s wholesale customers and licensing partners also experienced significant business disruptions as a result of the pandemic, resulting in a decrease in the Company’s revenue from these channels. Revenue in 2021 continued to be negatively impacted by the pandemic and related supply chain and logistics disruptions, although to a much lesser extent than in 2020.

(3)Revenue in 2021 was negatively impacted by the Heritage Brands transaction and the exit from the Heritage Brands Retail business.