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Segment Information
 3 Months Ended
Mar. 31, 2012
Segment Information [Abstract]  
Segment Information

5. SEGMENT INFORMATION

The Company manages its business primarily on a geographic basis. The Company's reportable operating segments are comprised of North America wholesale, Europe wholesale, Asia Pacific wholesale and Direct to consumer. The North America wholesale, Europe wholesale and Asia Pacific wholesale reportable segments do not include activities related to the Direct to consumer segment. The North America wholesale segment primarily includes sales to wholesale or distributor customers based in Canada, Mexico, the United States and countries in South America. The Europe wholesale segment primarily includes sales to wholesale or distributor customers based in European countries, the Middle East and Africa. The Asia Pacific wholesale segment primarily includes sales to wholesale or distributor customers based in Australia, China (including the Company's assembly and procurement operations), India, Indonesia, Japan, Malaysia, New Zealand, Singapore, South Korea, Taiwan and Thailand. The Direct to consumer segment includes Company-owned retail stores, e-commerce sales and catalog activities. Each reportable operating segment provides similar products and services.

The Company evaluates the performance of its reportable segments based on net sales and operating income. Net sales for geographic segments are generally based on the location of the customers. Operating income for each segment includes net sales to third-parties, related cost of sales and operating expenses directly attributable to the segment. General corporate expenses, including certain administrative, legal, accounting, technology support costs, equity compensation costs, payroll costs attributable to executive management and amounts related to intercompany eliminations are not allocated to the various segments. Intercompany sales of products between segments are referred to as intersegment items.

 

Summary information by operating segment was as follows (in thousands):

 

     For the 13 Weeks Ended
March 31, 2012		     For the 13 Weeks Ended April 2,
2011		  
     Net Sales     Operating Income     Net Sales     Operating Income  

North America wholesale:

         

External customers

    $ 225,000      $ 53,509      $ 206,735      $ 50,332   

Intersegment

      42,826          30,419     

Europe wholesale:

         

External customers

      152,950        31,098        151,831        38,112   

Intersegment

      34,561          35,133     

Asia Pacific wholesale:

         

External customers

      76,709        25,243        64,216        22,248   

Intersegment

      166,293          135,683     

Direct to consumer

      134,874        8,382        114,193        8,151   

Intersegment items

      (243,680 )        (201,235 )   

Corporate

        (35,371 )        (26,287 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Consolidated

    $ 589,533      $ 82,861      $ 536,975      $ 92,556   
  

 

 

    

 

 

    

 

 

    

 

 

  

The following table reflects net sales for each class of similar products in the periods presented (in thousands except percentage data):

     For the 13 Weeks Ended March 31, 2012     For the 13 Weeks Ended April 2, 2011  
     Net Sales      Percentage of Total     Net Sales      Percentage of Total  

Watches

    $ 418,432         71.0 %    $ 372,709         69.4 % 

Leathers

      104,047         17.7        90,549         16.9   

Jewelry

      39,152         6.6        42,166         7.8   

Other

      27,902         4.7        31,551         5.9   
  

 

 

     

 

 

    

 

 

     

 

 

  

Total

    $ 589,533         100.0 %    $ 536,975         100.0 %