Goodwill and Intangible Assets

12 Months Ended

Jan. 31, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND OTHER INTANGIBLE ASSETS:

Goodwill and other intangible assets consisted of the following:



	January 31, 2015			February 1, 2014

	(in thousands)
Goodwill:
Total Goodwill	$	145,627		$	171,427

Indefinite-Lived Intangibles:
WH\|BM trade name	$	34,000		$	34,000
Minnesota territorial franchise rights	4,930			4,930
Boston Proper trade name	41,700			46,000
Total indefinite-lived intangibles	$	80,630		$	84,930

Definite-Lived Intangibles:
Boston Proper customer relationships	$	43,580		$	43,580
Accumulated amortization expense recorded	(14,672		)	(10,314		)
Total definite-lived intangibles	28,908			33,266
Total other intangible assets, net	$	109,538		$	118,196

In fiscal 2014, as a result of sales and margin declines in the Boston Proper brand due to issues with merchandising and marketing effectiveness, we recorded a pre-tax goodwill impairment charge of $25.8 million, reducing the carrying value of Boston Proper goodwill to $48.8 million and an impairment charge related to the Boston Proper trade name of $4.3 million pre-tax, reducing the carrying value of the Boston Proper trade name to $41.7 million.

In fiscal 2013, as a result of declines in the Boston Proper catalog business due to the increasingly competitive direct-to-consumer environment and the impact of integration efforts and new initiatives, we recorded a pre-tax goodwill impairment charge of $67.3 million, reducing the carrying value of Boston Proper goodwill to $74.6 million and an impairment charge related to the Boston Proper trade name of $5.2 million pre-tax, reducing the carrying value of the Boston Proper trade name to $46.0 million.

The following table provides the carrying amounts of Boston Proper goodwill and pre-tax cumulative goodwill impairment charges:



	January 31, 2015			February 1, 2014			February 2, 2013

	(in thousands)
Gross carrying amount	$	141,919		$	141,919		$	141,919
Cumulative impairment, beginning of year	(67,266		)	—			—
Impairment charges	(25,800		)	(67,266		)	—
Cumulative impairment, end of year	(93,066		)	(67,266		)	—
Net carrying amount	$	48,853		$	74,653		$	141,919

Intangible assets subject to amortization consist of $28.9 million in Boston Proper customer relationships with amortization expense for fiscal 2014 of approximately $4.4 million. For fiscal years 2015 through 2019, we expect to record annual amortization expense of approximately $4.4 million in each fiscal year.

- 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.

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