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RESTRUCTURING

3 Months Ended

Mar. 31, 2018

Restructuring and Related Activities [Abstract]

RESTRUCTURING

RESTRUCTURING

The Company implemented a multi-year restructuring program that began in fiscal year 2016 called New World Fossil ("NWF"). As part of NWF, the Company targets to improve operating profit and support sales growth through a leaner infrastructure and an enhanced business model. The Company is working to achieve greater efficiencies from production to distribution through activities such as organizational changes, reducing its overall product assortment, optimizing its base cost structure and consolidating facilities. The Company also intends to build a quicker and more responsive operating platform. The Company is reducing its retail footprint to reflect the evolving shopping habits of today's consumer, which includes restructuring costs, such as store impairment, recorded lease obligations and termination fees and accelerated depreciation. Of the total estimated $150 million restructuring charges, approximately $27.8 million, $48.2 million and $21.3 million were recorded during fiscal year 2016, fiscal year 2017 and the First Quarter, respectively. The Company estimates total fiscal year 2018 NWF restructuring charges of approximately $55 million.

The following table shows a rollforward of the accrued liability related to the Company’s restructuring plan (in thousands):

	For the 13 Weeks Ended March 31, 2018
	Liabilities																Liabilities
	December 30, 2017				Charges				Cash Payments				Non-cash Items				March 31, 2018
Store closures	$	2,973			$	8,556			$	5,413			$	1,711			$	4,405
Professional services	185				1,158				645				—				698
Severance and employee-related benefits	1,317				11,604				4,128				5,458				3,335
Total	$	4,475			$	21,318			$	10,186			$	7,169			$	8,438

	For the 13 Weeks Ended April 1, 2017
	Liabilities																Liabilities
	December 31, 2016				Charges				Cash Payments				Non-cash Items				April 1, 2017
Store closures	$	4,546			$	2,724			$	1,118			$	651			$	5,501
Professional services	794				574				1,276				—				92
Severance and employee-related benefits	—				22,986				20,883				—				2,103
Total	$	5,340			$	26,284			$	23,277			$	651			$	7,696

Restructuring charges by operating segment were as follows (in thousands):

	For the 13 Weeks Ended March 31, 2018				For the 13 Weeks Ended April 1, 2017
Americas	$	8,124			$	6,178
Europe	3,367				5,522
Asia	695				4,786
Corporate	9,132				9,798
Consolidated	$	21,318			$	26,284

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- Definition

The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 420
-URI http://asc.fasb.org/topic&trid=2175745

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