XML 28 R17.htm IDEA: XBRL DOCUMENT
v3.21.2

Fair Value Measurements | 6 Months Ended
--- | ---
Jul. 31, 2021
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Abstract] |
Fair Value Measurements | NOTE 10 – FAIR VALUE MEASUREMENTS Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Accounting guidance establishes a fair value hierarchy which prioritizes the inputs used in measuring fair value into three broad levels as follows:  Level 1 – Quoted prices in active markets for identical assets or liabilities.  Level 2 – Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly.  Level 3 – Unobservable inputs based on the Company’s assumptions. The guidance requires the use of observable market data if such data is available without undue cost and effort. The following tables present the fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of July 31, 2021 and 2020 and January 31, 2021 (in thousands):
|  |  |  | Fair Value at July 31, 2021 |
|  | Balance Sheet Location |  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |
Assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |
Available-for-sale securities |  | Other current assets |  | $ | 218 |  |  | $ | — |  |  | $ | — |  |  | $ | 218 |
Short-term investment |  | Other current assets |  |  | 167 |  |  |  | — |  |  |  | — |  |  |  | 167 |
SERP assets - employer |  | Other non-current assets |  |  | 882 |  |  |  | — |  |  |  | — |  |  |  | 882 |
SERP assets - employee |  | Other non-current assets |  |  | 47,886 |  |  |  | — |  |  |  | — |  |  |  | 47,886 |
Defined benefit plan assets |  | Other non-current liabilities |  |  | — |  |  |  | — |  |  |  | 28,057 |  |  |  | 28,057 |
Hedge derivatives |  | Other current assets |  |  | — |  |  |  | 140 |  |  |  | — |  |  |  | 140 |
Total |  |  |  | $ | 49,153 |  |  | $ | 140 |  |  | $ | 28,057 |  |  | $ | 77,350 |
Liabilities: |  |  |  |  |  |  |  |  |  |  |  |  |  |
SERP liabilities - employee |  | Other non-current liabilities |  | $ | 47,886 |  |  | $ | — |  |  | $ | — |  |  | $ | 47,886 |
Total |  |  |  | $ | 47,886 |  |  | $ | — |  |  | $ | — |  |  | $ | 47,886 |
|  |  |  | Fair Value at January 31, 2021 |
|  | Balance Sheet Location |  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |
Assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |
Available-for-sale securities |  | Other current assets |  | $ | 184 |  |  | $ | — |  |  | $ | — |  |  | $ | 184 |
Short-term investment |  | Other current assets |  |  | 162 |  |  |  | — |  |  |  | — |  |  |  | 162 |
SERP assets - employer |  | Other non-current assets |  |  | 605 |  |  |  | — |  |  |  | — |  |  |  | 605 |
SERP assets - employee |  | Other non-current assets |  |  | 46,673 |  |  |  | — |  |  |  | — |  |  |  | 46,673 |
Defined benefit plan assets |  | Other non-current liabilities |  |  | — |  |  |  | — |  |  |  | 25,837 |  |  |  | 25,837 |
Total |  |  |  | $ | 47,624 |  |  | $ | — |  |  | $ | 25,837 |  |  | $ | 73,461 |
Liabilities: |  |  |  |  |  |  |  |  |  |  |  |  |  |
SERP liabilities - employee |  | Other non-current liabilities |  | $ | 46,673 |  |  | $ | — |  |  | $ | — |  |  | $ | 46,673 |
Hedge derivatives |  | Accrued liabilities |  |  | — |  |  |  | 13 |  |  |  | — |  |  |  | 13 |
Total |  |  |  | $ | 46,673 |  |  | $ | 13 |  |  | $ | — |  |  | $ | 46,686 |
|  |  |  | Fair Value at July 31, 2020 |
|  | Balance Sheet Location |  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |
Assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |
Available-for-sale securities |  | Other current assets |  | $ | 141 |  |  | $ | — |  |  | $ | — |  |  | $ | 141 |
Short-term investment |  | Other current assets |  |  | 155 |  |  |  | — |  |  |  | — |  |  |  | 155 |
SERP assets - employer |  | Other non-current assets |  |  | 935 |  |  |  | — |  |  |  | — |  |  |  | 935 |
SERP assets - employee |  | Other non-current assets |  |  | 45,043 |  |  |  | — |  |  |  | — |  |  |  | 45,043 |
Defined benefit plan assets |  | Other non-current liabilities |  |  | — |  |  |  | — |  |  |  | 25,907 |  |  |  | 25,907 |
Hedge derivatives |  | Other current assets |  |  | — |  |  |  | 228 |  |  |  | — |  |  |  | 228 |
Total |  |  |  | $ | 46,274 |  |  | $ | 228 |  |  | $ | 25,907 |  |  | $ | 72,409 |
Liabilities: |  |  |  |  |  |  |  |  |  |  |  |  |  |
SERP liabilities - employee |  | Other non-current liabilities |  | $ | 45,043 |  |  | $ | — |  |  | $ | — |  |  | $ | 45,043 |
Total |  |  |  | $ | 45,043 |  |  | $ | — |  |  | $ | — |  |  | $ | 45,043 |
The fair values of the Company’s available-for-sale securities are based on quoted market prices. The fair value of the short-term investment, which is a guaranteed investment certificate, is based on its purchase price plus one half of a percent calculated annually. The assets related to the Company’s defined contribution supplemental executive retirement plan (“SERP”) consist of both employer (employee unvested) and employee assets which are invested in investment funds with fair values calculated based on quoted market prices. The SERP liability represents the Company’s liability to the employees in the plan for their vested balances. The hedge derivatives are entered into by the Company principally to reduce its exposure to Swiss Franc and Euro exchange rate risks. Fair values of the Company’s hedge derivatives are calculated based on quoted foreign exchange rates and quoted interest rates. The carrying amount of debt approximated fair value as of January 31, 2021, and July 31, 2020, due to the availability and floating rate for similar instruments. The Company sponsors a defined benefit pension plan in Switzerland. The plan covers certain international employees and is based on years of service and compensation on a career-average pay basis. The assets within the plan are classified as a Level 3 asset within the fair value hierarchy and consist of an investment in pooled assets and include separate employee accounts that are invested in equity securities, debt securities and real estate. The values of the separate accounts invested are based on values provided by the administrator of the funds that cannot be readily derived from or corroborated by observable market data. The value of the assets is part of the funded status of the defined benefit plan and included in other non-current liabilities in the consolidated balance sheets at July 31, 2021, January 31, 2021 and July 31, 202 0. There were no transfers between any levels of the fair value hierarchy for any of the Company’s fair value measurements. See Note 6 – Goodwill and Intangible Assets for a discussion on the Company’s impairment charges taken in fiscal year 2021 for certain of its nonfinancial assets measured at fair value on a nonrecurring basis due to a change in circumstances that triggered an interim impairment test, and the valuation techniques used to measure the fair value. The most significant unobservable inputs (Level 3) used to estimate the fair values of the Company’s Watch and Accessory Brands unit’s goodwill and MVMT’s intangible assets are discount rates, which was 17.5% for both.

X
- References No definition available. + Details
Name: | us-gaap_FairValueAssetsAndLiabilitiesMeasuredOnRecurringAndNonrecurringBasisAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 + Details
Name: | us-gaap_FairValueDisclosuresTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration