Joint Ventures and Investments (Tables)

3 Months Ended

Mar. 31, 2021

Investments In And Advances To Affiliates Schedule Of Investments [Abstract]

As of March 31, 2021, the following joint ventures are consolidated with the Company:

Entity Name	Date of Original Formation / Investment	Iconix's Ownership % as of March 31, 2021	Joint Venture Partner	Put / Call Options, as applicable ⁽²⁾
Lee Cooper China ⁽⁶⁾ Limited	June 2018	0% ⁽⁶⁾	POS Lee Cooper HK Co. Ltd.		—
Starter China Limited	March 2018	0% ⁽⁴⁾	Photosynthesis Holdings Co. Ltd.		—
Danskin China Limited	October 2016	80%⁽⁵⁾	Li-Ning (China) Sports Goods Co. Ltd.		—
Umbro China Limited	July 2016	0% ⁽³⁾	Hong Kong MH Umbro International Co. Ltd.		—
US Pony Holdings, LLC	February 2015	100% ⁽⁷⁾	Anthony L&S Athletics, LLC		—
Iconix MENA Ltd. ⁽¹⁾	December 2014	55%	Global Brands Group Asia Limited	Put / Call Options
Iconix Israel, LLC ⁽¹⁾	November 2013	50%	MGS		—
Iconix Europe LLC ⁽¹⁾	December 2009	51%	Global Brands Group Asia Limited	Put / Call Options
Iconix Australia ⁽¹⁾	September 2013	55%	Pac Brands USA, Inc.	Put / Call Options
Diamond Icon ⁽¹⁾	March 2013	51%	Albion Agencies Ltd.		—
Buffalo brand joint venture ⁽¹⁾	February 2013	51%	Buffalo International		—
Icon Modern Amusement, LLC ⁽¹⁾	December 2012	51%	Dirty Bird Productions		—
Hardy Way, LLC	May 2009	85%	Donald Edward Hardy		—

⁽¹⁾

The Company determined, in accordance with ASC 810, based on the corporate structure, voting rights and contributions of the Company and its respective joint venture partner, the entity is a variable interest entity (VIE) and, as the Company has been determined to be the primary beneficiary, is subject to consolidation. The Company has consolidated this joint venture within its consolidated financial statements since inception. None of the VIE assets are encumbered by any obligation of the VIE or other entity.

⁽²⁾

A six-month put option window for Iconix MENA Ltd. and for Iconix Europe LLC will both commence on July 1, 2022. A put option for Iconix Australia period commences any time after December 31, 2022 and before June 1, 2023. Refer to the Company’s Annual Report on Form 10-K for the year ended December 31, 2020 for material terms of the put/call options associated with certain of the Company’s joint ventures.

⁽³⁾	The Company completed the sale of Umbro China in July 2020. As a result of this transaction, the Company recognized a gain of $59.6 million, which has been recorded within Operating Income in the Company’s condensed consolidated statement of operations in FY 2020.

⁽⁴⁾	The Company completed the sale of Starter China in September, 2020. As a result of this transaction, the Company recognized a gain of $14.5 million, which has been recorded within Operating Income in the Company’s condensed consolidated statement of operations in FY 2020.

⁽⁵⁾	On June 30, 2020, the Company sold a 10% interest in Danskin China Ltd. to Li Ning Sports (Hong Kong) Company Ltd. for $1.6 million. In March 2021, the Company sold an additional 10% interest in Danskin China Ltd. to Li Ning Sports (Hong Kong) Company Ltd. for $1.8 million.

⁽⁶⁾As described above, the Company completed the sale of Lee Cooper China in February of 2021. As a result of this transaction, the Company recognized a gain of $15.0 million, which has been recorded within Operating Income in the Company’s condensed consolidated statement of operations in the Current Quarter.

⁽⁷⁾ In March of 2021, the Company acquired the remaining 25% interest in US Pony Holdings, LLC, resulting in 100% ownership

of the rights to the Pony / Product of New York brand.

Equity Method Investments

Investments

Equity Method Investments

Entity Name	Date of Original Formation / Investment	Partner	Put / Call Options, as applicable
Iconix India joint venture	June 2012	Reliance Brands Ltd.		—
Iconix SE Asia, Ltd. ⁽¹⁾	October 2013	Global Brands Group Asia Limited	Put / Call Options ⁽²⁾
MG Icon ⁽¹⁾	March 2010	Purim LLC		—

⁽¹⁾	A six-month put option window for Iconix SE Asia, Ltd commences on July 1, 2022. Refer to the Company’s Annual Report on Form 10-K for the year ended December 31, 2020 for material terms of the put/call options associated with this joint venture.

Additionally, through its ownership of Iconix China Holdings Limited, the Company has equity interests in the following private companies, which are accounted for as equity method investments:

		Ownership by	Carrying Value of Investment as of
Brands Placed	Partner	Iconix China	March 31, 2021		December 31, 2020
Candie’s	Candies Shanghai Fashion Co. Ltd. ⁽¹⁾	20%	$	—	$	—
Marc Ecko	Shanghai MuXiang Apparel & Accessory Co. Limited ⁽²⁾	0%		—		—
Ecko Unltd	Ai Xi Enterprise (Shanghai) Co. Limited	20%		1,296		1,341
			$	1,296	$	1,341

⁽¹⁾

As a result of recent losses, primarily due to the effect of COVID-19 on the retail industry, the Company determined that the losses were other than temporary and determined that the fair value of its investment was de minimis. Accordingly, the Company recorded an impairment charge of $9.8 million during FY 2020.

⁽²⁾	In August 2020, the Company rescinded the trademark rights for the Ecko/Marc Ecko brand in exchange for its equity interest in the joint venture and recorded an impairment charge of $9.7 million in the third quarter of 2020.