XML 51 R36.htm IDEA: XBRL DOCUMENT v3.20.4
Goodwill and Intangible Assets (Tables)
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Finite-Lived Intangible Assets [Line Items]    
Schedule of Goodwill
The following is a summary of the carrying amount of goodwill by segment as of December 31, 2020 and 2019:

Wholesale
FootwearAccessories/ApparelRetailNet Carrying Amount
Balance at January 1, 2019$84,551 $49,324 $14,237 $148,112 
Acquisition— 11,955 4,644 16,599 
Purchase accounting adjustment— 1,409 (2,053)(644)
Translation and other7,021 — 261 7,282 
Balance at December 31, 201991,572 62,688 17,089 171,349 
Purchase accounting adjustment— — (2,591)(2,591)
Translation and other(249)— (244)(493)
Balance at December 31, 2020$91,323 $62,688 $14,254 $168,265 
  
Schedule of Indentifiable Intangible Assets
2020
Estimated LivesCost BasisAccumulated Amortization Impairment and other (1) (2) Net Carrying Amount
Trade names
6–10 years
$8,770 $8,770 $— $— 
Customer relationships
10-20 years
38,980 20,805 (1,813)16,362 
47,750 29,575 (1,813)16,362 
Re-acquired rightindefinite35,200 — (7,800)27,400 
Trademarksindefinite115,481 — (44,052)71,429 
$198,431 $29,575 $(53,665)$115,191 

(1) Includes the effect of foreign currency translation related primarily to the movements of the Canadian dollar and Mexican peso in relation to the U.S. dollar.

(2) Impairment charges of $44,273 were recorded, of which $27,025, $16,345, $456 and $447 were related to the Company's Cejon, Report, GREATS and Jocelyn trademarks, respectively.
2019
Estimated LivesCost BasisAccumulated Amortization Impairment and other (1)(2)Net Carrying Amount
Trade names
6–10 years
$8,770 $8,418 $— $352 
Customer relationships
10-20 years
43,880 22,627 (1,782)19,471 
52,650 31,045 (1,782)19,823 
Re-acquired rightindefinite35,200 — (8,299)26,901 
Trademarksindefinite120,035 — (4,050)115,985 
$207,885 $31,045 $(14,131)$162,709 

(1) Includes the effect of foreign currency translation related primarily to the movement of the Canadian dollar and Mexican peso in relation to the U.S. dollar.

(2) An impairment charge of $4,050 was recorded in the second quarter of 2019 related to the Company's Brian Atwood trademark. The impairment was the result of the Company's decision to discontinue distribution of the brand as the Company explores alternatives.
The Company evaluates its goodwill and indefinite-lived intangible assets for indicators of impairment at least annually in the beginning of the third quarter of each year or whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable.

In the first quarter of 2020, the Company conducted an interim quantitative impairment assessment of goodwill assigned to its reporting units as of March 31, 2020 and as a result, the fair values of the reporting units exceeded their carrying values by a substantial margin. In the third quarter of 2020, the Company performed a qualitative assessment of goodwill assigned to its reporting units as of July 1, 2020 and concluded that it is more likely than not that the fair values of its reporting units exceeded their respective carrying values and therefore, no goodwill impairment charges were recorded.
In the third quarter of 2020, the Company performed a qualitative assessment of certain indefinite-lived intangible assets as of July 1, 2020 and concluded that it is more likely than not that the fair values of those trademarks exceeded their respective carrying values, and therefore, no impairment charges were recorded. For the Company’s Cejon, Report, GREATS and Jocelyn trademarks, the Company performed quantitative impairment testing throughout the year due to indicators of impairment observed resulting primarily from the COVID-19 pandemic. The estimated fair values of these trademarks were determined using an excess earnings method. The excess earnings method utilizes the present value of the earnings attributable to the intangible asset after providing for the proportion of the earnings that attribute to returns for contributory assets. As a result of the Company’s impairment testing, during the twelve months ended December 31, 2020, the Company’s Cejon, Report, GREATS and Jocelyn trademarks with an aggregate carrying amount of $57,198 were written down to their fair values of $12,925, resulting in a pre-tax impairment charge of $44,273. Of the $44,273 impairment charge, $27,472, $16,345 and $456 were recorded in impairment of intangibles in the Wholesale Accessories/Apparel, Wholesale Footwear, and Retail segments, respectively.
Schedule of Intangible Assets, Future Amortization Expense The estimated future amortization expense for intangibles as of December 31, 2020 is as follows:
2021$2,163 
20221,743 
20231,743 
20241,743 
20251,743 
Thereafter7,227 
Total$16,362