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Major Customer, Segment and Geographic Information
 12 Months Ended
Dec. 28, 2013
Major Customer, Segment and Geographic Information  
Major Customer, Segment and Geographic Information

19. Major Customer, Segment and Geographic Information

        In accordance with ASC 280, Segment Reporting ("ASC 280"), the Company reports segment information based on the "management approach". The management approach designates the internal reporting used by management for making decisions and assessing performance as the source of the Company's reportable segments.

Major Customer

        Wholesale customers of the Company consist principally of major department stores and specialty retail stores located throughout the world. No individual customer accounts for 10% or more of the Company's net sales.

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 activities and catalog costs. 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. Intercompany profit attributable to the Company's factory operations is included in the Asia Pacific wholesale and Europe wholesale segments in accordance with the geographic location of the factories. These intercompany factory profits are eliminated in consolidation.

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

 
   Fiscal Year 2013  
 
   Net Sales   Operating
Income		   Depreciation
and
Amortization		   Long-term
Assets		   Total Assets  

North America wholesale:

               $ 7,886   $ 260,506   $ 680,025  

External customers

   $ 1,216,634   $ 305,834                    

Intersegment

     209,913                          

Europe wholesale:

                 9,324     185,892     535,261  

External customers

     828,098     219,041                    

Intersegment

     172,943                          

Asia Pacific wholesale:

                 4,764     42,943     516,553  

External customers

     396,641     129,971                    

Intersegment

     970,985                          

Direct to consumer

     818,598     88,082     30,798     161,245     335,208  

Intersegment items

     (1,353,841 )                        

Corporate

           (181,332 )   21,495     100,366     163,367  
                       
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​

Consolidated

   $ 3,259,971   $ 561,596   $ 74,267   $ 750,952   $ 2,230,414  
                       
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
                       
 

 
   Fiscal Year 2012  
 
   Net Sales   Operating
Income		   Depreciation
and
Amortization		   Long-term
Assets		   Total Assets  

North America wholesale:

               $ 4,880   $ 236,639   $ 610,979  

External customers

   $ 1,083,489   $ 246,616                    

Intersegment

     203,266                          

Europe wholesale:

                 6,529     150,977     354,823  

External customers

     696,988     174,469                    

Intersegment

     166,952                          

Asia Pacific wholesale:

                 3,958     37,639     416,825  

External customers

     361,514     127,263                    

Intersegment

     757,480                          

Direct to consumer

     715,517     98,754     26,259     170,461     313,498  

Intersegment items

     (1,127,698 )                        

Corporate

           (158,262 )   18,880     102,161     145,864  
                       
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​

Consolidated

   $ 2,857,508   $ 488,840   $ 60,506   $ 697,877   $ 1,841,989  
                       
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
                       
 
 
 

 
   Fiscal Year 2011  
 
   Net Sales   Operating
Income		   Depreciation and
Amortization		   Long-term
Assets		   Total Assets  

North America wholesale:

               $ 2,912   $ 65,332   $ 524,615  

External customers

   $ 967,493   $ 235,003                    

Intersegment

     161,640                          

Europe wholesale:

                 5,377     83,107     436,775  

External customers

     695,391     187,762                    

Intersegment

     154,654                          

Asia Pacific wholesale:

                 2,448     16,067     258,343  

External customers

     297,045     108,756                    

Intersegment

     709,336                          

Direct to consumer

     607,373     87,187     21,409     141,039     246,911  

Intersegment items

     (1,025,630 )                        

Corporate

           (146,717 )   13,074     101,975     176,278  
                       
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​

Consolidated

   $ 2,567,302   $ 471,991   $ 45,220   $ 407,520   $ 1,642,922  
                       
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
                       

        The following table indicates revenue for each class of similar products for fiscal years 2013, 2012 and 2011 (in thousands):

 
   Fiscal Year 2013   Fiscal Year 2012   Fiscal Year 2011  
 
   Net Sales   Percentage
of Total		   Net Sales   Percentage
of Total		   Net Sales   Percentage
of Total		  

Watches

   $ 2,513,081     77.1 % $ 2,141,481     74.9 % $ 1,843,909     71.8 %

Leathers

     436,285     13.4     440,113     15.4     427,771     16.7  

Jewelry

     228,748     7.0     181,636     6.4     190,126     7.4  

Other

     81,857     2.5     94,278     3.3     105,496     4.1  
                           
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​

Total

   $ 3,259,971     100.0 % $ 2,857,508     100.0 % $ 2,567,302     100.0 %
                           
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
                           

Geographic Information

        Net sales and long-lived assets related to the Company's operations in the U.S., Europe, Asia Pacific and all other international markets were as follows (in thousands):

 
   Fiscal Year 2013  
 
   Net Sales   Long-term Assets  

United States

   $ 1,525,107   $ 411,458  

Europe

     1,052,497 (1)   264,173  

Asia Pacific

     504,124     65,091  

All other international

     178,243     10,230  
           
​ ​ ​ ​ ​ ​ ​ ​

Consolidated

   $ 3,259,971   $ 750,952  
           
​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​
           


 

 
   Fiscal Year 2012  
 
   Net Sales   Long-term Assets  

United States

   $ 1,354,337   $ 391,232  

Europe

     880,012 (1)   241,766  

Asia Pacific

     448,217     54,150  

All other international

     174,942     10,729  
           
​ ​ ​ ​ ​ ​ ​ ​

Consolidated

   $ 2,857,508   $ 697,877  
           
​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​
           


 

 
   Fiscal Year 2011  
 
   Net Sales   Long-term Assets  

United States

   $ 1,255,148   $ 209,576  

Europe

     858,452 (1)   158,324  

Asia Pacific

     358,904     31,609  

All other international

     94,798     8,011  
           
​ ​ ​ ​ ​ ​ ​ ​

Consolidated

   $ 2,567,302   $ 407,520  
           
​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​
           
(1)
Wholesale sales within Germany, excluding sales to third-party distributors, accounted for more than 10% of the Company's consolidated net sales and were approximately $425.1 million, $354.4 million and $384.9 million of consolidated net sales in fiscal years 2013, 2012 and 2011, respectively. These sales include $100.7 million, $72.4 million and $71.9 million of sales by our German entity to countries outside Germany, excluding sales to third-party distributors, for fiscal years 2013, 2012 and 2011, respectively.