Derivative Financial Instruments (Tables)

12 Months Ended

Feb. 02, 2019

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Summary of fair value of derivative instruments in the consolidated balance sheets

The fair value of derivative instruments in the consolidated balance sheets as of February 2, 2019 and February 3, 2018 is as follows (in thousands):

	Derivative Balance Sheet Location	Fair Value at Feb 2, 2019		Fair Value at Feb 3, 2018
ASSETS:
Derivatives designated as hedging instruments:
Cash flow hedges:
Foreign exchange currency contracts	Other current assets/ Other assets	$	4,058	$	41
Interest rate swap	Other assets	1,033		1,460
Total derivatives designated as hedging instruments		5,091		1,501
Derivatives not designated as hedging instruments:
Foreign exchange currency contracts	Other current assets	632		10
Total		$	5,723	$	1,511
LIABILITIES:
Derivatives designated as hedging instruments:
Cash flow hedges:
Foreign exchange currency contracts	Accrued expenses/ Other long-term liabilities	$	77	$	13,789
Derivatives not designated as hedging instruments:
Foreign exchange currency contracts	Accrued expenses	—		4,300
Total		$	77	$	18,089

Summary of gains (losses) before taxes recognized on the derivative instruments designated as cash flow hedges in accumulated other comprehensive income (loss) and net earnings (loss)

The following table summarizes the gains (losses) before taxes recognized on the derivative instruments designated as cash flow hedges in accumulated other comprehensive income (loss) and net earnings (loss) for fiscal 2019, fiscal 2018 and fiscal 2017 (in thousands):

	Year Ended February 2, 2019
	Gain (Loss) Recognized in OCI			Location of Gain (Loss) Reclassified from Accumulated OCI into Earnings1	Gain (Loss) Reclassified from Accumulated OCI into Earnings
Derivatives designated as cash flow hedges:
Foreign exchange currency contracts	$	12,973		Cost of product sales	$	(7,020	)
Foreign exchange currency contracts	2			Other income (expense)	(201		)
Interest rate swap	(324		)	Interest expense	103

	Year Ended February 3, 2018
	Gain (Loss) Recognized in OCI			Location of Gain (Loss) Reclassified from Accumulated OCI into Loss1	Gain (Loss) Reclassified from Accumulated OCI into Loss			Loss Reclassified from Accumulated OCI to Retained Earnings2
Derivatives designated as cash flow hedges:
Foreign exchange currency contracts	$	(22,497	)	Cost of product sales	$	14		$	—
Foreign exchange currency contracts	(1,163		)	Other income (expense)	(583		)	—
Interest rate swap	272			Interest expense	(87		)	(225		)

	Year Ended January 28, 2017
	Gain Recognized in OCI		Location of Gain (Loss) Reclassified from Accumulated OCI into Earnings1	Gain (Loss) Reclassified from Accumulated OCI into Earnings
Derivatives designated as cash flow hedges:
Foreign exchange currency contracts	$	—	Cost of product sales	$	3,518
Foreign exchange currency contracts	227		Other income (expense)	301
Interest rate swap	660		Interest expense	(216		)

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¹  The Company recognized gains of $3.5 million, $2.7 million and $0.9 million resulting from the ineffective portion related to foreign exchange currency contracts in interest income during fiscal 2019, fiscal 2018 and fiscal 2017, respectively. There was no ineffectiveness recognized related to the interest rate swap during fiscal 2019, fiscal 2018, or fiscal 2017.

²  During the fourth quarter of fiscal 2018, the Company early adopted authoritative guidance which addresses certain stranded income tax effects in accumulated other comprehensive loss resulting from the Tax Reform enacted in December 2017. As a result, the Company recorded a cumulative adjustment to reduce retained earnings by $0.2 millionwith a corresponding increase to accumulated other comprehensive income (loss) related to the Company’s interest rate swap designated as a cash flow hedge.

Summary of net after-tax derivative activity recorded in accumulated other comprehensive income (loss)

The following table summarizes net after-tax derivative activity recorded in accumulated other comprehensive income (loss) (in thousands):

	Year Ended Feb 2, 2019			Year Ended Feb 3, 2018
Beginning balance gain (loss)	$	(14,369	)	$	5,400
Net gains (losses) from changes in cash flow hedges	10,962			(20,408		)
Net losses reclassified to earnings (loss)	6,406			414
Net losses reclassified to retained earnings1	—			225
Ending balance gain (loss)	$	2,999		$	(14,369	)

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¹  During the fourth quarter of fiscal 2018, the Company early adopted authoritative guidance which addresses certain stranded income tax effects in accumulated other comprehensive loss resulting from the Tax Reform enacted in December 2017. As a result, the Company recorded a cumulative adjustment to reduce retained earnings by $0.2 millionwith a corresponding increase to accumulated other comprehensive income (loss) related to the Company’s interest rate swap designated as a cash flow hedge

Summary of gains (loss) before taxes recognized on the derivative instruments not designated as hedging instruments in other income and expense

The following table summarizes the gains (losses) before taxes recognized on the derivative instruments not designated as hedging instruments in other income and expense for fiscal 2019, fiscal 2018 and fiscal 2017 (in thousands):

	Location of Gain (Loss) Recognized in Earnings (Loss)	Gain (Loss) Recognized in Earnings (Loss)
		Year Ended Feb 2, 2019		Year Ended Feb 3, 2018			Year Ended Jan 28, 2017
Derivatives not designated as hedging instruments:
Foreign exchange currency contracts	Other income (expense)	$	6,785	$	(10,511	)	$	2,427
Interest rate swap	Other income (expense)	—		—			38