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Restructuring and Related Impairment Charges (Tables) | 9 Months Ended
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Sep. 30, 2021
Restructuring and Related Activities [Abstract] |
Restructuring and Related Costs | The following table illustrates the costs recorded during the three and nine months ended September 30, 2021, as well as the Company's current estimates of the amount expected to be incurred in connection with the 2020 restructuring plan:
| Restructuring and Impairment Charges Recorded |  | Estimated Restructuring and Impairment Charges (1)
(In thousands) | Three months ended September 30, |  | Nine months ended September 30, |  | Remaining to be Incurred |  | Total to be Incurred under plan
| 2021 | 2020 |  | 2021 | 2020 |  |  |  |
Costs recorded in cost of goods sold: |  |  |  |  |  |  |  |  |
Contract-based royalties | $ | — |  | $ | — |  |  | $ | — |  | $ | — |  |  | $ | — |  | $ | 11,608
Inventory write-offs | 107 |  | — |  |  | 515 |  | — |  |  | 1,000 |  | 2,283
Total costs recorded in cost of goods sold | 107 |  | — |  |  | 515 |  | — |  |  | 1,000 |  | 13,891
Net costs (recoveries) recorded in restructuring and related impairment charges: |  |  |  |  |  |  |  |  |
Property and equipment impairment | 3,064 |  | 3,307 |  |  | 3,064 |  | 26,211 |  |  | — |  |  | 32,344 |
Intangible asset impairment | — |  | — |  |  | — |  | — |  |  | — |  |  | 4,351 |
Right-of-use asset impairment | — |  | — |  |  | — |  | 290,813 |  |  | — |  |  | 293,495 |
Employee related costs | (424) |  | 26,410 |  |  | (845) |  | 27,239 |  |  | — |  |  | 27,734 |
Contract exit costs (2) | 10,794 |  | 38,520 |  |  | 15,041 |  | 53,462 |  |  | 58,999 |  |  | 153,048 |
Other asset write off | 1,055 |  | — |  |  | 2,400 |  | — |  |  | 7,349 |  |  | 22,823 |
Other restructuring costs | 2,167 |  | 1,995 |  |  | 6,722 |  | 12,533 |  |  | 8,028 |  |  | 27,314 |
Total costs recorded in restructuring and impairment charges | 16,656 |  | 70,232 |  |  | 26,382 |  | 410,258 |  |  | 74,376 |  |  | 561,109 |
Total restructuring and impairment charges | $ | 16,763 |  | $ | 70,232 |  |  | $ | 26,897 |  | $ | 410,258 |  |  | $ | 75,376 |  |  | $ | 575,000 |
(1) Estimated restructuring and impairment charges reflect the high-end of the range of the estimated charges expected by the Company in connection with the 2020 restructuring plan. (2) Contract exit costs primarily consist of proposed lease exits of certain brand and factory house stores and office facilities, and proposed marketing and other contract exits. All restructuring and related impairment charges are included in the Company's Corporate Other segment. For the three months ended September 30, 2021, approximately $10.5 million of the charges are North America related, $5.9 million are Latin America related and $1.4 million are Asia-Pacific related. These charges were offset by a recovery of $1.1 million related to EMEA. For the three months ended September 30, 2020, approximately $39.1 million of the charges are North America related, $11.5 million are EMEA related, $6.1 million are Latin America related, and $3.6 million are Asia-Pacific related. For the nine months ended September 30, 2021, approximately $16.7 million of the charges are North America related, $9.2 million are Latin America related and $2.1 million are Asia-Pacific related. These charges were offset by a recovery of $1.1 million related to EMEA. For the nine months ended September 30, 2020, approximately $367.4 million of the charges are North America related, $11.6 million are EMEA related, $6.4 million are Latin America related and $3.6 million are Asia-Pacific related.
Summary of Activity in the Restructuring Reserve | A summary of the activity in the restructuring reserve related to the Company's 2020 restructuring plan, as well as prior restructuring plans in 2018 and 2017 are as follows:
(In thousands) | Employee Related Costs |  | Contract Exit Costs |  | Other Restructuring Related Costs
Balance at January 1, 2021 | $ | 12,868 |  |  | $ | 61,642 |  |  | $ | 6,098 |
Net additions (recoveries) charged to expense | (845) |  |  | 17,814 |  |  | (872) |
Cash payments charged against reserve | (5,471) |  |  | (45,378) |  |  | (6,078) |
Foreign exchange and other | (1,086) |  |  | (1,443) |  |  | 140 |
Balance at September 30, 2021 | $ | 5,466 |  |  | $ | 32,635 |  |  | $ | (712) |

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- Definition Tabular disclosure of costs incurred for restructuring including, but not limited to, exit and disposal activities, remediation, implementation, integration, asset impairment, and charges against earnings from the write-down of assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 5.P.3) -URI http://asc.fasb.org/extlink&oid=115931487&loc=d3e140864-122747 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6394359&loc=d3e17939-110869 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB TOPIC 5.P.4) -URI http://asc.fasb.org/extlink&oid=115931487&loc=d3e140904-122747 + Details
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- Definition Tabular disclosure of an entity's restructuring reserve that occurred during the period associated with the exit from or disposal of business activities or restructurings for each major type of cost. This element may also include a description of any reversal and other adjustment made during the period to the amount of an accrued liability for restructuring activities. This element may be used to encapsulate the roll forward presentations of an entity's restructuring reserve by type of cost and in total, and explanation of changes that occurred in the period. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (b)(2) -URI http://asc.fasb.org/extlink&oid=6394359&loc=d3e17939-110869 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 5.P.4(b)(2)) -URI http://asc.fasb.org/extlink&oid=115931487&loc=d3e140904-122747 + Details
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