Segment Information

6 Months Ended

Jul. 31, 2014

Segment Reporting [Abstract]

Segment Information

12. SEGMENT INFORMATION

The Company's reportable segments are as follows:

• Americas includes sales in Company-operated TIFFANY & CO. stores in the United States, Canada and Latin America, as well as sales of TIFFANY & CO. products in certain markets through business-to-business, Internet, catalog and wholesale operations;

• Asia-Pacific includes sales in Company-operated TIFFANY & CO. stores, as well as sales of TIFFANY & CO. products in certain markets through Internet and wholesale operations;

• Japan includes sales in Company-operated TIFFANY & CO. stores, as well as sales of TIFFANY & CO. products through business-to-business, Internet and wholesale operations;

• Europe includes sales in Company-operated TIFFANY & CO. stores, as well as sales of TIFFANY & CO. products in certain markets through Internet and wholesale operations; and

• Other consists of all non-reportable segments, including (i) retail sales in Company-operated TIFFANY & CO. stores and wholesale distribution in the Emerging Markets region; (ii) wholesale sales of diamonds; and (iii) licensing agreements.

Certain information relating to the Company's segments is set forth below:

	Three Months Ended July 31,					Six Months Ended July 31,
(in thousands)	2014		2013			2014		2013
Net sales:
Americas	$	483,595	$	443,856		$	922,283	$	851,553
Asia-Pacific	236,805		208,325			497,749		431,752
Japan	119,085		136,395			292,979		280,922
Europe	120,033		111,247			221,318		204,233
Total reportable segments	959,518		899,823			1,934,329		1,768,460
Other	33,412		26,061			70,733		52,908
	$	992,930	$	925,884		$	2,005,062	$	1,821,368
Earnings (losses) from operations*:
Americas	$	109,805	$	87,731		$	191,289	$	146,693
Asia-Pacific	65,492		49,882			137,333		105,341
Japan	39,173		48,235			110,669		101,654
Europe	25,114		22,338			42,086		36,616
Total reportable segments	239,584		208,186			481,377		390,304
Other	2,399		(1,188		)	4,663		(344		)
	$	241,983	$	206,998		$	486,040	$	389,960

* Represents earnings (losses) from operations before (i) unallocated corporate expenses, (ii) interest and other expenses, net, and (iii) other operating expense.

The following table sets forth a reconciliation of the segments' earnings from operations to the Company's consolidated earnings from operations before income taxes:

	Three Months Ended July 31,						Six Months Ended July 31,
(in thousands)	2014			2013			2014			2013
Earnings from operations for segments	$	241,983		$	206,998		$	486,040		$	389,960
Unallocated corporate expenses	(33,462		)	(30,112		)	(67,726		)	(62,537		)
Interest and other expenses, net	(16,151		)	(14,694		)	(32,427		)	(27,406		)
Other operating expense	—			—			—			(9,379		)
Earnings from operations before income taxes	$	192,370		$	162,192		$	385,887		$	290,638

Unallocated corporate expenses includes certain costs related to administrative support functions which the Company does not allocate to its segments. Such unallocated costs include those for centralized information technology, finance, legal and human resources departments.

Other operating expense in the six months ended July 31, 2013 was related to specific cost-reduction initiatives. These cost-reduction initiatives included severance related to staffing reductions and subleasing of certain office space for which only a portion of the Company's future rent obligations will be recovered.