Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Feb. 21, 2014 | Jun. 28, 2013 | |
Document Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'CARTERS INC | ' | ' |
Entity Central Index Key | '0001060822 | ' | ' |
Current Fiscal Year End Date | '--12-28 | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 28-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Amendment Flag | 'false | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 53,649,056 | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Public Float | ' | ' | $4,294,975,763 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $286,546 | $382,236 |
Accounts receivable, net | 193,611 | 168,046 |
Finished goods inventories, net | 417,754 | 349,530 |
Prepaid expenses and other current assets | 35,157 | 22,216 |
Deferred income taxes | 37,313 | 35,675 |
Total current assets | 970,381 | 957,703 |
Property, plant, and equipment, net | 307,885 | 170,110 |
Tradenames and other intangible, net | 330,258 | 306,072 |
Goodwill | 186,077 | 189,749 |
Deferred debt issuance costs, net | 8,088 | 2,878 |
Other assets | 9,795 | 3,597 |
Total assets | 1,812,484 | 1,630,109 |
Current liabilities: | ' | ' |
Accounts payable | 164,010 | 149,625 |
Other current liabilities | 105,129 | 94,610 |
Total current liabilities | 269,139 | 244,235 |
Long-term debt | 586,000 | 186,000 |
Deferred income taxes | 121,434 | 114,341 |
Other long-term liabilities | 135,180 | 100,054 |
Total liabilities | 1,111,753 | 644,630 |
Commitments and contingencies | ' | ' |
Stockholders’ equity: | ' | ' |
Preferred stock; par value $.01 per share; 100,000 shares authorized; none issued or outstanding at December 28, 2013 and December 29, 2012 | 0 | 0 |
Common stock, voting; par value $.01 per share; 150,000,000 shares authorized; 54,541,879 and 59,126,639 shares issued and outstanding at December 28, 2013 and December 29, 2012, respectively | 545 | 591 |
Additional paid-in capital | 4,332 | 250,276 |
Accumulated other comprehensive loss | -10,082 | -11,205 |
Retained earnings | 705,936 | 745,817 |
Total stockholders’ equity | 700,731 | 985,479 |
Total liabilities and stockholders’ equity | $1,812,484 | $1,630,109 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
Statement of Financial Position [Abstract] | ' | ' |
Preferred stock; par value | $0.01 | $0.01 |
Preferred stock; shares authorized | 100,000 | 100,000 |
Preferred stock; issued | 0 | 0 |
Preferred stock; outstanding | 0 | 0 |
Common stock, voting; par value | $0.01 | $0.01 |
Common stock, voting; shares authorized | 150,000,000 | 150,000,000 |
Common stock voting; shares issued | 54,541,879 | 59,126,639 |
Common stock voting; shares outstanding | 54,541,879 | 59,126,639 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Income Statement [Abstract] | ' | ' | ' |
Net sales | $2,638,711 | $2,381,734 | $2,109,734 |
Cost of goods sold | 1,543,332 | 1,443,786 | 1,417,456 |
Gross profit | 1,095,379 | 937,948 | 692,278 |
Selling, general, and administrative expenses | 868,480 | 713,211 | 542,086 |
Royalty income | -37,252 | -37,249 | -37,274 |
Operating income | 264,151 | 261,986 | 187,466 |
Interest expense | 13,437 | 6,765 | 7,549 |
Interest income | -669 | -234 | -386 |
Other expense (income), net | 1,918 | 64 | -585 |
Income before income taxes | 249,465 | 255,391 | 180,888 |
Provision for income taxes | 89,058 | 94,241 | 66,872 |
Net income | $160,407 | $161,150 | $114,016 |
Basic net income per common share | $2.78 | $2.73 | $1.96 |
Diluted net income per common share | $2.75 | $2.69 | $1.94 |
Dividend declared per common share | $0.48 | $0 | $0 |
Dividend paid per common share | $0.48 | $0 | $0 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' |
Net income | $160,407 | $161,150 | $114,016 |
Other comprehensive income (loss): | ' | ' | ' |
Unrealized gain (loss) on OshKosh defined benefit plan, net of tax of ($3,660), $690, and $3,660, for the fiscal years 2013, 2012, and 2011, respectively | 6,238 | -1,163 | -6,206 |
Unrealized gain (loss) on Carter's post-retirement benefit obligation, net of tax of ($210), ($107), and $36, for fiscal years 2013, 2012, and 2011, respectively | 371 | 182 | -62 |
Foreign currency translation adjustments | -5,486 | 1,058 | -3,124 |
Total other comprehensive income (loss) | 1,123 | 77 | -9,392 |
Comprehensive income | $161,530 | $161,227 | $104,624 |
CONSOLIDATED_STATEMENTS_OF_COM1
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Pension Plans [Member] | ' | ' | ' |
Unrealized gain (loss) on OshKosh defined benefit and postretirement plans, tax | ($3,660) | $690 | $3,660 |
Postretirement Benefit [Member] | ' | ' | ' |
Unrealized gain (loss) on OshKosh defined benefit and postretirement plans, tax | ($210) | ($107) | $36 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Cash flows from operating activities: | ' | ' | ' |
Net income | $160,407 | $161,150 | $114,016 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation and amortization | 54,915 | 39,848 | 32,735 |
Amortization of H.W. Carter and Sons tradenames | 13,588 | 0 | 0 |
Amortization of Bonnie Togs inventory step-up | 0 | 0 | 6,672 |
Accretion of contingent consideration | 2,825 | 3,589 | 2,484 |
Amortization of debt issuance costs | 1,049 | 877 | 708 |
Stock-based compensation expense | 16,040 | 13,049 | 9,644 |
Income tax benefit from stock-based compensation | -11,040 | -2,760 | -6,900 |
Loss on disposal of property, plant, and equipment | 272 | 802 | 139 |
Deferred income taxes | 596 | -9,651 | 9,128 |
Effect of changes in operating assets and liabilities: | ' | ' | ' |
Accounts receivable | -26,064 | -10,200 | -33,222 |
Inventories | -70,691 | -1,790 | -20,571 |
Prepaid expenses and other assets | -18,716 | -6,004 | -948 |
Accounts payable and other liabilities | 86,515 | 89,709 | -32,811 |
Net cash provided by operating activities | 209,696 | 278,619 | 81,074 |
Cash flows from investing activities: | ' | ' | ' |
Capital expenditures | -182,525 | -83,398 | -45,495 |
Acquisition of tradenames | -38,007 | 0 | 0 |
Acquisition of Bonnie Togs, net of cash acquired | 0 | 0 | -61,207 |
Proceeds from sale of property, plant, and equipment | 0 | 6 | 10 |
Net cash used in investing activities | -220,532 | -83,392 | -106,692 |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from senior notes | 400,000 | 0 | 0 |
Payments of debt issuance costs | -6,989 | -1,916 | 0 |
Borrowings under secured revolving credit facility | 0 | 2,500 | 0 |
Payments on secured revolving credit facility | 0 | -52,500 | 0 |
Repurchase of common stock | -454,133 | 0 | 0 |
Payment of contingent consideration | -14,721 | 0 | 0 |
Dividends paid | -27,715 | 0 | 0 |
Income tax benefit from stock-based compensation | 11,040 | 2,760 | 6,900 |
Withholdings from vesting of restricted stock | -5,052 | -2,846 | -2,181 |
Proceeds from exercise of stock options | 12,912 | 5,685 | 6,786 |
Net cash (used in) provided by financing activities | -84,658 | -46,317 | 11,505 |
Effect of exchange rate changes on cash | -196 | -168 | 225 |
Net (decrease) increase in cash and cash equivalents | -95,690 | 148,742 | -13,888 |
Cash and cash equivalents, beginning of period | 382,236 | 233,494 | 247,382 |
Cash and cash equivalents, end of period | $286,546 | $382,236 | $233,494 |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] |
In Thousands, except Share data | |||||
Balance at Jan. 01, 2011 | $679,936 | $575 | $210,600 | ($1,890) | $470,651 |
Balance (in shares) at Jan. 01, 2011 | ' | 57,493,567 | ' | ' | ' |
Income tax benefit from stock-based compensation | 6,900 | 0 | 6,900 | 0 | 0 |
Exercise of stock options | 6,786 | 8 | 6,778 | 0 | 0 |
Exercise of stock options (in shares) | ' | 821,336 | ' | ' | ' |
Withholdings from vesting of restricted stock | -2,181 | -1 | -2,180 | 0 | 0 |
Withholdings from vesting of restricted stock (in shares) | ' | -70,827 | ' | ' | ' |
Restricted stock activity | 0 | 4 | -4 | 0 | 0 |
Restricted stock activity (in shares) | ' | 312,825 | ' | ' | ' |
Stock-based compensation expense | 8,474 | 0 | 8,474 | 0 | 0 |
Issuance of common stock | 1,170 | 0 | 1,170 | 0 | 0 |
Issuance of common stock (in shares) | ' | 38,520 | ' | ' | ' |
Comprehensive income | 104,624 | 0 | 0 | -9,392 | 114,016 |
Balance at Dec. 31, 2011 | 805,709 | 586 | 231,738 | -11,282 | 584,667 |
Balance (in shares) at Dec. 31, 2011 | ' | 58,595,421 | ' | ' | ' |
Income tax benefit from stock-based compensation | 2,760 | 0 | 2,760 | 0 | 0 |
Exercise of stock options | 5,685 | 3 | 5,682 | 0 | 0 |
Exercise of stock options (in shares) | ' | 254,567 | ' | ' | ' |
Withholdings from vesting of restricted stock | -2,846 | -1 | -2,845 | 0 | 0 |
Withholdings from vesting of restricted stock (in shares) | ' | -61,536 | ' | ' | ' |
Restricted stock activity | 0 | 3 | -3 | 0 | 0 |
Restricted stock activity (in shares) | ' | 316,479 | ' | ' | ' |
Stock-based compensation expense | 11,864 | 0 | 11,864 | 0 | 0 |
Issuance of common stock | 1,080 | 0 | 1,080 | 0 | 0 |
Issuance of common stock (in shares) | ' | 21,708 | ' | ' | ' |
Comprehensive income | 161,227 | 0 | 0 | 77 | 161,150 |
Balance at Dec. 29, 2012 | 985,479 | 591 | 250,276 | -11,205 | 745,817 |
Balance (in shares) at Dec. 29, 2012 | 59,126,639 | 59,126,639 | ' | ' | ' |
Income tax benefit from stock-based compensation | 11,040 | 0 | 11,040 | 0 | 0 |
Exercise of stock options | 12,912 | 7 | 12,905 | 0 | 0 |
Exercise of stock options (in shares) | 669,834 | 669,834 | ' | ' | ' |
Withholdings from vesting of restricted stock | -5,052 | -1 | -5,051 | 0 | 0 |
Withholdings from vesting of restricted stock (in shares) | ' | -84,766 | ' | ' | ' |
Restricted stock activity | 0 | 2 | -2 | 0 | 0 |
Restricted stock activity (in shares) | ' | 240,899 | ' | ' | ' |
Stock-based compensation expense | 15,572 | 0 | 15,572 | 0 | 0 |
Issuance of common stock | 1,080 | 0 | 1,080 | 0 | 0 |
Issuance of common stock (in shares) | ' | 16,173 | ' | ' | ' |
Repurchases of common stock | -454,133 | -54 | -281,488 | ' | -172,591 |
Repurchase of common stock (in shares) | ' | -5,426,900 | ' | ' | ' |
Cash dividends declared and paid | -27,697 | ' | ' | ' | -27,697 |
Comprehensive income | 161,530 | 0 | 0 | 1,123 | 160,407 |
Balance at Dec. 28, 2013 | $700,731 | $545 | $4,332 | ($10,082) | $705,936 |
Balance (in shares) at Dec. 28, 2013 | 54,541,879 | 54,541,879 | ' | ' | ' |
THE_COMPANY
THE COMPANY | 12 Months Ended |
Dec. 28, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
THE COMPANY | ' |
THE COMPANY | |
Carter’s, Inc. and its wholly owned subsidiaries (collectively, the “Company,” and “its") design, source, and market branded childrenswear under the Carter’s, Child of Mine, Just One You, Precious Firsts, OshKosh, and other brands. The Company's products are sourced through contractual arrangements with manufacturers worldwide for wholesale distribution to major domestic and international retailers and for the Company's own retail stores and websites that market its brand name merchandise and other licensed products manufactured by other companies. As of December 28, 2013, the Company operated 476 Carter’s domestic stores, 181 OshKosh domestic stores, and 102 Canadian stores. | |
In the first quarter of 2013, the Company assumed control of retail operations in Japan, previously managed by a licensee. In the fourth quarter of 2013, the Company decided to exit those operations based on revised forecasts which do not meet the Company's investment objectives. | |
On June 30, 2011, the Company purchased Bonnie Togs (the “Acquisition”), a Canadian specialty retailer focused exclusively on the children’s apparel and accessories marketplace. Bonnie Togs sells products under the Carter's and OshKosh brands, as well as other brands. Prior to the Acquisition, Bonnie Togs was a significant international licensee of the Company. The Company's audited consolidated financial statements include Bonnie Togs, effective the date of the Acquisition. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Accounting Policies [Abstract] | ' | |||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||
PRINCIPLES OF CONSOLIDATION | ||||||||
The accompanying audited consolidated financial statements include the accounts of Carter's, Inc. and its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. | ||||||||
RECLASSIFICATIONS | ||||||||
Certain prior year amounts have been reclassified for comparative purposes. | ||||||||
FISCAL YEAR | ||||||||
The Company's fiscal year ends on the Saturday, in December or January, nearest the last day of December, resulting in an additional week of results every five or six years. The accompanying audited consolidated financial statements reflect the Company's financial position as of December 28, 2013 and December 29, 2012 and results of operations for the fiscal years ended December 28, 2013 (also referred to as fiscal 2013), December 29, 2012 (fiscal 2012), and December 31, 2011 (fiscal 2011), each of which comprised 52 weeks. | ||||||||
USE OF ESTIMATES IN THE PREPARATION OF THE CONSOLIDATED FINANCIAL STATEMENTS | ||||||||
The preparation of these consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities, at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||||||||
FOREIGN CURRENCY TRANSLATION AND TRANSACTIONS | ||||||||
Translation adjustments | ||||||||
The functional currency of substantially all of the Company's foreign operations is the local currency. Assets and liabilities are translated into U.S. dollars using the current exchange rates in effect at the balance sheet date, while revenues and expenses are translated at the average exchange rates for the period. The resulting translation adjustments are recorded as a component of accumulated other comprehensive income (loss) within the accompanying audited consolidated balance sheet. | ||||||||
Transaction adjustments | ||||||||
The Company also recognizes gains and losses on transactions that are denominated in a currency other than the respective entity's functional currency. Foreign currency transaction gains and losses include the mark-to-market adjustment related to open foreign currency exchange contracts, amounts realized on the settlement of foreign currency exchange contracts, and intercompany loans with foreign subsidiaries that are of a short-term investment nature. Foreign currency transaction gains and losses are recognized in earnings, as a separate component of other expense (income), net, within the audited consolidated statements of operations. | ||||||||
CASH AND CASH EQUIVALENTS | ||||||||
The Company considers all highly liquid investments that have original maturities of three months or less to be cash equivalents. Cash and cash equivalents consist of deposit accounts, U.S. Treasury securities, and cash management funds invested in U.S. government instruments. These investments are stated at cost, which approximates fair value. | ||||||||
ACCOUNTS RECEIVABLE | ||||||||
The components of accounts receivable, net, as of December 28, 2013 and December 29, 2012 are as follows: | ||||||||
(dollars in thousands) | December 28, 2013 | 29-Dec-12 | ||||||
Trade receivables | $ | 169,862 | $ | 159,586 | ||||
Royalties receivable | 9,260 | 11,020 | ||||||
Tenant allowances and other receivables | 24,197 | 5,028 | ||||||
Total gross receivables | $ | 203,319 | $ | 175,634 | ||||
Less: | ||||||||
Allowance for doubtful accounts | (9,308 | ) | (7,188 | ) | ||||
Sales returns reserve | (400 | ) | (400 | ) | ||||
Total reserves | $ | (9,708 | ) | $ | (7,588 | ) | ||
Accounts receivable, net | $ | 193,611 | $ | 168,046 | ||||
Concentration of credit risk | ||||||||
In each of fiscal 2013, 2012, and 2011, no one customer accounted for 10% or more of the Company's consolidated net sales. | ||||||||
Approximately 75.2% of the Company's gross accounts receivable at December 28, 2013 and 78.2% at December 29, 2012 were from its ten largest wholesale customers. Of these customers, three had individual receivable balances in excess of 10% of gross accounts receivable at December 28, 2013, but none of these customers had receivable balances in excess of 13.6%. At December 29, 2012, four of the ten largest customers had individual receivable balances in excess of 10% of gross accounts receivable, but none of these customers had receivable balances in excess of 13.6%. | ||||||||
Allowance for doubtful accounts | ||||||||
The Company maintains an allowance for doubtful accounts for estimated losses resulting from the inability of its customers to make payments and other actual and estimated deductions. If the financial condition of a customer were to deteriorate, resulting in an impairment of its ability to make payments, an additional allowance could be required. Past due balances over 90 days are reviewed individually for collectibility. The Company's credit and collections department reviews all other balances regularly. Account balances are charged off against the allowance when it is probable that the receivable will not be recovered. The Company also records reserves for potential returns based on historical experience. | ||||||||
INVENTORIES | ||||||||
Inventories, which consist primarily of finished goods, are stated at the lower of cost (first-in, first-out basis for wholesale inventory and average cost for retail inventories) or market. The Company adjusts for slow-moving inventory equal to the difference between the cost of inventory and the estimated market value based upon assumptions about future demand and market conditions. The Company also adjusts its inventory to reflect estimated shrinkage based on historical trends. | ||||||||
PROPERTY, PLANT, AND EQUIPMENT | ||||||||
Property, plant, and equipment are stated at cost, less accumulated depreciation and amortization. When fixed assets are sold or otherwise disposed of, the accounts are relieved of the original cost of the assets and the related accumulated depreciation or amortization and any resulting profit or loss is credited or charged to income. For financial reporting purposes, depreciation and amortization are computed on the straight-line method over the estimated useful lives of the assets as follows: buildings and improvements from 15 to 26 years, retail store fixtures, equipment, and computers from 3 to 10 years, and computer software from 3 to 7 years. Leasehold improvements and fixed assets purchased under capital leases, if any, are amortized over the lesser of the asset life or related lease term. The Company capitalizes the cost of its fixtures designed and purchased for use at major wholesale accounts. The cost of these fixtures is amortized over 3 years. | ||||||||
VALUATION OF GOODWILL AND OTHER INTANGIBILE ASSETS | ||||||||
The Company's goodwill balance is comprised of amounts related to the acquisition of Carter's, Inc., and Bonnie Togs. The goodwill balances have indefinite useful lives and are not deductible for tax purposes. The Company's other intangible assets are comprised of tradenames and non-compete agreements. The tradenames are related to Carter's, OshKosh, Bonnie Togs, Carter's Watch the Wear, and H.W. Carter & Sons. The Carter's and OshKosh tradenames have indefinite useful lives. The Carter's Watch the Wear and H.W. Carter & Sons have definite lives and are being amortized on an accelerated basis over three years. The Bonnie Togs non-compete agreements for certain executives are being amortized over four years. | ||||||||
Annual impairment reviews | ||||||||
The carrying values of the goodwill and indefinite-lived tradename assets are subject to annual impairment reviews which are performed as of the last day of each fiscal year. Additionally, a review for potential impairment is performed whenever significant events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Significant assumptions in the impairment models include estimates of future cash flows, discount rates, and, in the case of tradenames, royalty rates. Based upon the Company's most recent assessment, performed as of December 28, 2013, there was no impairment in the value of goodwill or indefinite-lived tradename assets. | ||||||||
Goodwill | ||||||||
The Company performs impairment tests of its goodwill at the reporting unit level. The Company may utilize a qualitative assessment to determine if it is "more likely than not" that the fair value of the reporting unit is less than its carrying value. If so, the two-step goodwill impairment test is required to be performed. If not, no further testing is required and the Company documents the relevant qualitative factors that support the strength in its fair value. Qualitative factors may include, but are not limited to: macroeconomic conditions, industry and market considerations, cost factors that may have a negative effect on earnings, overall financial performance, and other relevant entity-specific events. | ||||||||
The first step of a quantitative assessment, where one is deemed necessary, is to compare the fair value of the reporting unit to its carrying value, including goodwill. The Company uses a discounted cash flow model to determine the fair value, using assumptions consistent with those of hypothetical marketplace participants. If the fair value of a reporting unit is less than its carrying value, the second step of the impairment test must be performed. The second step compares the implied fair value of the reporting unit goodwill with the carrying value of that goodwill, in order to determine the amount of the impairment loss and charge to the consolidated statement of operations. | ||||||||
Indefinite-lived Tradenames | ||||||||
For indefinite-lived tradenames, the Company may utilize a qualitative assessment, as described above, to determine whether the fair value of an indefinite-lived asset is less than its carrying value. If a quantitative assessment is necessary, the Company determines fair value using a discounted cash flow model that uses the relief from royalty method. If the carrying amount exceeds the fair value, an impairment charge is recognized in the amount of the excess. | ||||||||
IMPAIRMENT OF OTHER LONG-LIVED ASSETS | ||||||||
The Company reviews other long-lived assets, including property, plant, and equipment, and licensing agreements, for impairment whenever events or changes in circumstances indicate that the carrying amount of such an asset may not be recoverable. Management will determine whether there has been a permanent impairment on such assets held for use in the business by comparing anticipated undiscounted future cash flows from the use and eventual disposition of the asset or asset group to the carrying value of the asset. The amount of any resulting impairment will be calculated by comparing the carrying value to fair value, which may be estimated using the present value of the same cash flows. Long-lived assets that meet the definition of held for sale will be valued at the lower of carrying amount or fair value. | ||||||||
DEFERRED DEBT ISSUANCE COSTS | ||||||||
Debt issuance costs associated with the Company's secured revolving credit facility and senior notes are deferred and amortized to interest expense over the term of the related debt using the effective interest method. | ||||||||
FAIR VALUE MEASUREMENTS | ||||||||
The fair value framework requires the Company to categorize certain assets and liabilities into three levels, based upon the assumptions used to price those assets or liabilities. The three levels are defined as follows: | ||||||||
Level 1: | Quoted prices in active markets for identical assets or liabilities. | |||||||
Level 2: | Quoted prices for similar assets and liabilities in active markets or inputs that are observable. | |||||||
Level 3: | Unobservable inputs reflecting management's own assumptions about the inputs used in pricing the asset or liability. | |||||||
The Company measures its contingent consideration liability, pension assets, foreign exchange forward contracts, and deferred compensation plan investment assets at fair value, as disclosed in the accompanying notes to the consolidated financial statements. The Company's cash and cash equivalents, accounts receivable, and accounts payable are short-term in nature. As such, their carrying value approximates fair value. | ||||||||
The fair value of the Company’s total outstanding borrowings would have been disclosed as a Level 2 liability in the fair value hierarchy, had they been measured at fair value. The fair values are disclosed in the accompanying notes to the consolidated financial statements. | ||||||||
DERIVATIVE INSTRUMENTS | ||||||||
The Company is exposed to market risk resulting from changes in foreign currency rates and interest rates, and as a result, enters into derivative instruments for risk management purposes or to satisfy requirements under previous contractual arrangements. The Company does not use derivative instruments for trading or other speculative purposes. | ||||||||
When the Company enters into derivative instruments such instruments are recorded on the balance sheet at fair value. The accounting for changes in the fair value of derivative instruments is dependent upon whether the derivative has been designated as part of a hedging relationship and, further, is dependent upon the nature of the hedging relationship. The Company's foreign exchange contracts were not accounted for as hedges and therefore, any changes in the fair value of these contracts were recorded in foreign currency gain (loss) in the consolidated statements of operations. | ||||||||
REVENUE RECOGNITION | ||||||||
Revenues consist of sales to customers, net of returns, accommodations, allowances, deductions, and cooperative advertising. The Company considers revenue realized or realizable and earned when the product has been shipped, when title passes, when all risks and rewards of ownership have transferred, the sales price is fixed or determinable, and collectibility is reasonably assured. In certain cases, in which the Company retains the risk of loss during shipment, revenue recognition does not occur until the goods have reached the specified customer. | ||||||||
In the normal course of business, the Company grants certain accommodations and allowances to its wholesale customers in order to assist these customers with inventory clearance and promotions. Such amounts are reflected as a reduction of net sales and are recorded based on agreements with customers, historical trends, and annual forecasts. | ||||||||
The Company records its cooperative advertising arrangements with certain of its major wholesale customers at fair value. Fair value is determined based upon, among other factors, comparable market analysis for similar advertisements. The Company has included the fair value of these arrangements of approximately $3.9 million, $4.6 million, and $3.6 million for fiscal 2013, 2012, and 2011, respectively, as a component of selling, general, and administrative expenses on the accompanying audited consolidated statements of operations, rather than as a reduction of revenue. Amounts determined to be in excess of the fair value of these arrangements are recorded as a reduction of net sales. | ||||||||
Retail store revenues are recognized at the point of sale. The Company reduces revenue for estimated customer returns and deductions. | ||||||||
ACCOUNTING FOR SHIPPING AND HANDLING FEES AND COSTS | ||||||||
Shipping and handling costs include related labor costs, third-party shipping costs, shipping supplies, and certain distribution overhead. Such costs are absorbed by the Company and are included in selling, general, and administrative expenses. These costs amounted to approximately $59.1 million, $52.2 million, and $46.6 million for fiscal 2013, 2012, and 2011, respectively. | ||||||||
With respect to the freight component of the Company's shipping and handling costs, certain customers arrange for shipping and pay the related freight costs directly to third parties. However, in the event that the Company arranges and pays the freight for these customers and bills them for this service, such amounts billed are included in revenue and the related cost is charged to cost of goods sold. In addition, shipping and handling costs billed to the Company's eCommerce customers are included in revenue and the related cost is charged to cost of goods sold. The Company billed customers approximately $12.1 million, $9.3 million, and $5.3 million for fiscal years 2013, 2012, and 2011, respectively. | ||||||||
ROYALTIES AND LICENSE FEES | ||||||||
The Company licenses the Carter's, Just One You, Precious Firsts, Child of Mine, OshKosh B'gosh, OshKosh, and Genuine Kids from OshKosh trademarks to other companies for use on baby and young children's products, including bedding, outerwear, sleepwear, shoes, underwear, socks, room décor, toys, stationery, hair accessories, furniture, gear, and related products. These royalties are recorded as earned, based upon the sales of licensed products by licensees and reported as royalty income in the statements of operations. | ||||||||
STOCK-BASED COMPENSATION ARRANGEMENTS | ||||||||
The Company recognizes the cost resulting from all stock-based payment transactions in the financial statements at grant date fair value. Stock-based compensation expense is recognized over the requisite service period, net of estimated forfeitures. | ||||||||
Stock Options | ||||||||
The Company determines the fair value of stock options using the Black-Scholes option pricing model, which requires the use of the following subjective assumptions: | ||||||||
Volatility - This is a measure of the amount by which a stock price has fluctuated or is expected to fluctuate. The Company uses actual monthly historical changes in the market value of its stock covering the expected life of options being valued. An increase in the expected volatility will increase stock-based compensation expense. | ||||||||
Risk-free interest rate - This is the U.S. Treasury rate as of the grant date having a term equal to the expected term of the stock option. An increase in the risk-free interest rate will increase stock-based compensation expense. | ||||||||
Expected term - This is the period of time over which the stock options granted are expected to remain outstanding and is based on historical experience and estimated future exercise behavior. Separate groups of employees that have similar historical exercise behavior are considered separately for valuation purposes. An increase in the expected term will increase stock-based compensation expense. | ||||||||
Dividend yield - The Company estimates a dividend yield based on the current dividend amount as a percentage of the current stock price. An increase in the dividend yield will decrease stock-based compensation expense. | ||||||||
Forfeitures - The Company estimates forfeitures of stock-based awards based on historical experience and expected future activity. | ||||||||
Changes in these subjective assumptions can materially affect the estimate of fair value of stock-based compensation expense and the related amount recognized in the audited consolidated statements of operations. | ||||||||
Time-Based Restricted Stock Awards | ||||||||
The fair value of time-based restricted stock awards is determined based on the quoted closing price of the Company's common stock on the date of grant and is recognized as compensation expense over the vesting term of the awards, net of estimated forfeitures. | ||||||||
Performance-Based Restricted Stock Awards | ||||||||
The Company accounts for its performance-based restricted stock awards based on the quoted closing price of the Company's common stock on the date of grant and records stock-based compensation expense over the vesting term of the awards based on the probability that the performance criteria will be achieved. The Company reassesses the probability of vesting at each reporting period and adjusts stock-based compensation expense based on its probability assessment. | ||||||||
Stock Awards | ||||||||
The fair value of stock granted to non-management board members is determined based on the quoted closing price of the Company's common stock on the date of grant. The Company records the stock-based compensation expense immediately as there are no vesting terms. | ||||||||
INCOME TAXES | ||||||||
The accompanying audited consolidated financial statements reflect current and deferred tax provisions. The deferred tax provision is determined under the liability method. Deferred tax assets and liabilities are recognized based on differences between the book and tax bases of assets and liabilities using presently enacted tax rates. Valuation allowances are established when it is “more likely than not” that a deferred tax asset will not be recovered. The provision for income taxes is the sum of the amount of income taxes paid or payable for the year as determined by applying the provisions of enacted tax laws to the taxable income for that year, the net change during the year in deferred tax assets and liabilities, and the net change during the year in any valuation allowances. | ||||||||
The Company assesses its income tax positions and records tax benefits for all years subject to examination based upon management's evaluation of the facts, circumstances, and information available at the reporting dates. The Company determines whether it is "more likely than not" that a tax position will be sustained upon examination by the appropriate taxing authorities before any part of the benefit can be recorded in the financial statements. For those tax positions where it is not "more likely than not" that a tax benefit will be sustained, no tax benefit is recognized. Where applicable, associated interest and penalties are also recorded. Interest and penalties, if any, are recorded within the provision for incomes taxes in the consolidated statements of operations and are classified on the consolidated balance sheets with the related liability for uncertain tax contingency liabilities. | ||||||||
SUPPLEMENTAL CASH FLOW INFORMATION | ||||||||
Interest paid in cash approximated $3.8 million, $6.0 million, and $7.0 million for fiscal years 2013, 2012, and 2011, respectively. Income taxes paid in cash approximated $83.3 million, $97.4 million, and $61.6 million for the fiscal years 2013, 2012, and 2011, respectively. | ||||||||
EARNINGS PER SHARE | ||||||||
The Company calculates basic and diluted net income per common share under the two-class method for unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid). | ||||||||
Basic net income per share is calculated by dividing net income for the period by the weighted-average common shares outstanding for the period. Diluted net income per share includes the effect of dilutive instruments and uses the average share price for the period in determining the number of shares that are to be added to the weighted-average number of shares outstanding. | ||||||||
EMPLOYEE BENEFIT PLANS | ||||||||
The Company has several defined benefit plans. Various actuarial methods and assumptions are used in determining net pension and post-retirement costs and obligations. Key assumptions include the discount rate used to determine the present value of future benefits and the expected long-term rate of return on plan assets. The over-funded or under-funded status of the defined benefit plans is recorded as an asset or liability on the consolidated balance sheet. The gains or losses that arise during the period are recognized as a component of comprehensive income, net of tax. These costs are then subsequently recognized as components of net periodic benefit cost in the consolidated statements of operations. | ||||||||
FACILITY CLOSURE AND OFFICE CONSOLIDATION | ||||||||
The Company records severance costs when the appropriate notifications have been made to affected employees or when the decision is made, if the benefits are contractual. When employees are required to work for a period before termination, the severance costs are recognized over the required service period. Relocation and recruitment costs are expensed as incurred. For operating leases, lease termination costs are recognized at fair value at the date the Company ceases to use the leased property and adjusted for the effects of deferred items recognized under the lease and reduced by estimated sub-lease rental income. Useful lives assigned to fixed assets at the facility to be closed are revised based on the specifics of the exit plan, resulting in accelerated depreciation expense. | ||||||||
RENT EXPENSE AND DEFERRED RENT | ||||||||
The Company enters into a significant number of lease transactions related to properties for its retail stores in addition to leases for offices, distribution facilities, and other uses. The lease agreements may contain provisions related to allowances for property improvements, rent escalation, and free rent periods. | ||||||||
For property improvement allowances, the Company records a deferred lease credit on the consolidated balance sheet and amortizes the deferred lease credit as a reduction of rent expense over the terms of the applicable lease. For scheduled rent escalation clauses during the lease term, the Company records rent expense on a straight-line basis over the term of the lease. The difference between the rent expense and the amount payable under the lease is included within the Company's liabilities on the consolidated balance sheet. The term of the lease over which the Company amortizes allowances and minimum rental expenses on a straight-line basis begins on the date of initial possession, which is generally when the Company enters the space and/or begins construction. | ||||||||
Where leases provide for contingent rents, which are generally determined as a percentage of gross sales, the Company records additional rent expense when management determines that achieving the specified level of revenue during the fiscal year is probable. Amounts accrued for contingent rent are included within the Company's liabilities on the consolidated balance sheet. | ||||||||
SEASONALITY | ||||||||
The Company experiences seasonal fluctuations in its sales and profitability due to the timing of certain holidays and key retail shopping periods, typically resulting in lower sales and gross profit in the first half of its fiscal year. Accordingly, the Company's results of operations during the first half of the year may not be indicative of the results for the full year. | ||||||||
RECENT ACCOUNTING PRONOUNCEMENTS | ||||||||
In February 2013, the Financial Accounting Standards Board issued guidance finalizing the reporting of amounts reclassified out of accumulated other comprehensive income. The new standard requires disclosure, either in a single note or parenthetically on the face of the financial statements, the effect of significant amounts reclassified from each component of accumulated other comprehensive income based on its source and the income statement line items affected by the reclassification. The guidance was effective for annual reporting periods and interim periods within those years, beginning after December 15, 2012. In the first fiscal quarter of 2013, the Company adopted the guidance and determined that there were no significant amounts reclassified in the period that would require enhanced disclosure. |
ACQUISITION_OF_BONNIE_TOGS
ACQUISITION OF BONNIE TOGS | 12 Months Ended | |||
Dec. 28, 2013 | ||||
Business Combinations [Abstract] | ' | |||
ACQUISITION OF BONNIE TOGS | ' | |||
ACQUISITION OF BONNIE TOGS | ||||
On June 30, 2011, the Company purchased all of the outstanding shares of capital stock of Bonnie Togs for total consideration of up to CAD $95 million, of which USD $61.2 million was paid in cash at closing. In accordance with the agreement, the sellers may be paid additional contingent consideration ranging from zero to CAD $35 million, if certain earnings targets for the period beginning July 1, 2011 and ending on June 27, 2015 are met. Sellers were entitled to receive a portion of the contingent consideration of up to CAD $25 million if interim earnings targets are met through June 2013 and June 2014, respectively. During fiscal 2013, the Company made a payment of approximately $14.7 million related to the contingent consideration liability based on the achievement of interim earnings targets through June 2013. Sellers may receive the remaining portion of CAD $25 million in 2014 if certain interim earnings targets are met through June 2014. None of the interim payments are recoverable by the Company in the event of any failure to meet overall targets. | ||||
CONTINGENT CONSIDERATION | ||||
The Company determines the fair value of contingent consideration based upon a probability-weighted discounted cash flow analysis, reflecting a high probability that the earnings targets will be met. As of December 28, 2013, approximately $9.0 million of the contingent consideration liability is included in other current liabilities and the remainder is included in other long-term liabilities, on the accompanying audited consolidated balance sheet. | ||||
The following table summarizes the changes in the contingent consideration liability (dollars in thousands): | ||||
Balance at July 2, 2011 | $ | 24,346 | ||
Accretion expense | 2,484 | |||
Foreign currency translation adjustment | (1,264 | ) | ||
Balance at December 31, 2011 | $ | 25,566 | ||
Accretion expense | 3,589 | |||
Foreign currency translation adjustment | 549 | |||
Balance at December 29, 2012 | 29,704 | |||
Payments made | (14,721 | ) | ||
Accretion expense | 2,825 | |||
Foreign currency translation adjustment | (1,460 | ) | ||
Balance at December 28, 2013 | $ | 16,348 | ||
PRO FORMA RESULTS | ||||
The following unaudited pro forma summary presents information as if Bonnie Togs had been acquired at the beginning of the periods presented and assumes that there were no other changes in the Company's operations. The pro forma information does not necessarily reflect the actual results that would have occurred had the Company been combined during the periods presented, nor is it necessarily indicative of the future results of operations of the combined companies. | ||||
For the fiscal year ended | ||||
(dollars in thousands, except share data) | December 31, 2011 | |||
Pro forma net sales | $ | 2,156,000 | ||
Pro forma net income | $ | 121,000 | ||
Pro forma basic earnings per share | $ | 2.09 | ||
Pro forma diluted earnings per share | $ | 2.07 | ||
Excluded from the pro forma results shown above for the fiscal year ended December 31, 2011, was a pre-tax charge of $6.7 million related to the amortization of the step-up of acquired Bonnie Togs inventory to fair value. |
PROPERTY_PLANT_AND_EQUIPMENT
PROPERTY, PLANT, AND EQUIPMENT | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
PROPERTY, PLANT, AND EQUIPMENT | ' | |||||||
PROPERTY, PLANT, AND EQUIPMENT | ||||||||
Property, plant, and equipment, net consists of the following: | ||||||||
(dollars in thousands) | December 28, | December 29, | ||||||
2013 | 2012 | |||||||
Fixtures, equipment, and computers | $ | 269,515 | $ | 194,073 | ||||
Land, buildings, and improvements | 207,376 | 132,089 | ||||||
Marketing fixtures | 12,018 | 13,399 | ||||||
Construction in progress | 46,954 | 17,806 | ||||||
535,863 | 357,367 | |||||||
Accumulated depreciation and amortization | (227,978 | ) | (187,257 | ) | ||||
Total | $ | 307,885 | $ | 170,110 | ||||
Depreciation and amortization expense was approximately $54.7 million, $39.5 million, and $32.5 million for the fiscal years ended December 28, 2013, December 29, 2012, and December 31, 2011, respectively. |
GOODWILL_AND_OTHER_INTANGIBLE_
GOODWILL AND OTHER INTANGIBLE ASSETS | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||||||
GOODWILL AND OTHER INTANGIBLE ASSETS | ' | ||||||||||||||||||||||||||
GOODWILL AND OTHER INTANGIBLE ASSETS | |||||||||||||||||||||||||||
Acquisition of Tradenames | |||||||||||||||||||||||||||
On June 13, 2013, the Company acquired worldwide rights to the Carter's Watch the Wear and H.W. Carter & Sons brands, including trademark registrations. The Company acquired these worldwide rights for defensive purposes to reduce brand confusion and facilitate expansion in certain key international markets. The total consideration paid was approximately $38.0 million in cash and was accounted for as an asset acquisition. These tradenames are being amortized over three years, using an accelerated amortization method. | |||||||||||||||||||||||||||
Balance Sheet Components | |||||||||||||||||||||||||||
The Company’s goodwill and other intangible assets were as follows: | |||||||||||||||||||||||||||
28-Dec-13 | 29-Dec-12 | ||||||||||||||||||||||||||
(dollars in thousands) | Weighted-average useful life | Gross amount | Accumulated amortization | Net amount | Gross amount | Accumulated amortization | Net amount | ||||||||||||||||||||
Carter’s goodwill (1) | Indefinite | $ | 136,570 | $ | — | $ | 136,570 | $ | 136,570 | $ | — | $ | 136,570 | ||||||||||||||
Bonnie Togs goodwill (2) | Indefinite | $ | 49,507 | $ | — | $ | 49,507 | $ | 53,179 | $ | — | $ | 53,179 | ||||||||||||||
Total goodwill | $ | 186,077 | $ | — | $ | 186,077 | $ | 189,749 | $ | — | $ | 189,749 | |||||||||||||||
Carter’s tradename | Indefinite | $ | 220,233 | $ | — | $ | 220,233 | $ | 220,233 | $ | — | $ | 220,233 | ||||||||||||||
OshKosh tradename | Indefinite | $ | 85,500 | $ | — | $ | 85,500 | $ | 85,500 | $ | — | $ | 85,500 | ||||||||||||||
Other tradenames (3) | 3 years | $ | 38,007 | $ | 13,588 | $ | 24,419 | $ | — | $ | — | $ | — | ||||||||||||||
Bonnie Togs tradename (2) | 2 years | $ | 562 | $ | 562 | $ | — | $ | 604 | $ | 453 | $ | 151 | ||||||||||||||
Total tradenames | $ | 344,302 | $ | 14,150 | $ | 330,152 | $ | 306,337 | $ | 453 | $ | 305,884 | |||||||||||||||
Non-compete agreements (2) | 4 years | $ | 280 | $ | 174 | $ | 106 | $ | 301 | $ | 113 | $ | 188 | ||||||||||||||
Total tradenames and other intangibles, net | $ | 344,582 | $ | 14,324 | $ | 330,258 | $ | 306,638 | $ | 566 | $ | 306,072 | |||||||||||||||
-1 | $45.9 million of which relates to the Carter’s wholesale segment, $82.0 million of which relates to the Carter’s retail segment, and $8.6 million of which relates to the international segment. | ||||||||||||||||||||||||||
-2 | Relates to the international segment. The change in the gross amount of goodwill and other intangible assets reflect foreign currency translation adjustments for the applicable periods. | ||||||||||||||||||||||||||
-3 | Relates to the acquisition of worldwide rights to the Carter's Watch the Wear and H.W. Carter & Sons brands in June 2013. | ||||||||||||||||||||||||||
Amortization expense for intangible assets subject to amortization was approximately $13.8 million, $0.4 million, and $0.2 million for the fiscal years ended December 28, 2013, December 29, 2012, and December 31, 2011, respectively. The estimated future amortization expense is approximately $16.4 million for fiscal 2014, $6.2 million for fiscal 2015, and $1.8 million for fiscal 2016. |
ACCUMULATED_OTHER_COMPREHENSIV
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME | 12 Months Ended | |||||||||||||||
Dec. 28, 2013 | ||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | |||||||||||||||
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME | ' | |||||||||||||||
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME | ||||||||||||||||
Accumulated other comprehensive (loss) income is summarized as follows: | ||||||||||||||||
(dollars in thousands) | Pension liability adjustment | Post-retirement liability adjustment | Cumulative translation adjustment | Accumulated other comprehensive income (loss) | ||||||||||||
Balance at January 1, 2011 | $ | (2,894 | ) | $ | 1,004 | $ | — | $ | (1,890 | ) | ||||||
Current year change | (6,206 | ) | (62 | ) | (3,124 | ) | (9,392 | ) | ||||||||
Balance at December 31, 2011 | (9,100 | ) | 942 | (3,124 | ) | (11,282 | ) | |||||||||
Current year change | (1,163 | ) | 182 | 1,058 | 77 | |||||||||||
Balance at December 29, 2012 | (10,263 | ) | 1,124 | (2,066 | ) | (11,205 | ) | |||||||||
Current year change | 6,238 | 371 | (5,486 | ) | 1,123 | |||||||||||
Balance at December 28, 2013 | $ | (4,025 | ) | $ | 1,495 | $ | (7,552 | ) | $ | (10,082 | ) | |||||
As of December 28, 2013 and December 29, 2012, the cumulative pension liability adjustments are net of tax effect of $2.4 million and $6.0 million, respectively. As of December 28, 2013 and December 29, 2012, the post-retirement liability adjustments are net of tax effect of approximately $0.9 million and $0.7 million, respectively. |
LONGTERM_DEBT
LONG-TERM DEBT | 12 Months Ended | ||||||||
Dec. 28, 2013 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
LONG-TERM DEBT | ' | ||||||||
LONG-TERM DEBT | |||||||||
Long-term debt consisted of the following: | |||||||||
(dollars in thousands) | December 28, | December 29, | |||||||
2013 | 2012 | ||||||||
Senior notes due 2021 | $ | 400,000 | $ | — | |||||
Secured revolving credit facility | 186,000 | 186,000 | |||||||
Total long-term debt | $ | 586,000 | $ | 186,000 | |||||
SENIOR NOTES | |||||||||
On August 12, 2013, the Company's 100% owned subsidiary, The William Carter Company ("TWCC") issued $400 million principal amount of senior notes (the “senior notes”) at par, bearing interest at a rate of 5.25% per annum, and maturing on August 15, 2021, all of which were outstanding as of December 28, 2013. TWCC received net proceeds from the offering of the senior notes of approximately $394.2 million, after deducting bank fees. Approximately $7.0 million, including both bank fees and other third party expenses, has been capitalized in connection with the issuance and is being amortized over the term of the senior notes. | |||||||||
The senior notes are unsecured and are fully and unconditionally guaranteed by Carter's, Inc. and certain subsidiaries of TWCC. The guarantor subsidiaries are 100% owned directly or indirectly by Carter's, Inc. and all guarantees are joint, several and unconditional. | |||||||||
At any time prior to August 15, 2017, TWCC may redeem all or part of the senior notes at 100% of the principal amount redeemed plus an applicable premium and accrued and unpaid interest. On and after August 15, 2017, TWCC may redeem all or part of the senior notes at the redemption prices (expressed as percentages of principal amount of the senior notes to be redeemed) set forth below, plus accrued and unpaid interest. The redemption price applicable where the redemption occurs during the twelve-month period beginning on August 15 of each of the years indicated is as follows: | |||||||||
Year | Percentage | ||||||||
2017 | 102.63 | % | |||||||
2018 | 101.31 | % | |||||||
2019 and thereafter | 100 | % | |||||||
In addition, until August 15, 2016, TWCC may, at its option, redeem up to 35% of the aggregate principal amount of the senior notes at a redemption price equal to 105.25% of the aggregate principal amount, plus accrued and unpaid interest, subject to certain terms, with the proceeds of certain equity offerings. | |||||||||
Upon the occurrence of specific kinds of changes of control, unless a redemption notice with respect to all the outstanding senior notes has previously or concurrently been mailed or delivered, TWCC will be required to make an offer to purchase the senior notes at 101% of their principal amount. In addition, if TWCC or any of its restricted subsidiaries engages in certain asset sales, under certain circumstances TWCC will be required to use the net proceeds to make an offer to purchase the senior notes at 100% of their principal amount. | |||||||||
The indenture governing the senior notes includes a number of covenants, that, among other things and subject to certain exceptions, restrict TWCC's ability and the ability of certain of its subsidiaries to: (a) incur, assume or guarantee additional indebtedness; (b) issue disqualified stock and preferred stock; (c) pay dividends or make distributions or other restricted payments; (d) prepay, redeem or repurchase certain debt; (e) make loans and investments (including joint ventures); (f) incur liens; (g) create restrictions on the payment of dividends or other amounts from restricted subsidiaries that are not guarantors of the notes; (h) sell or otherwise dispose of assets, including capital stock of subsidiaries; (i) consolidate or merge with or into, or sell substantially all of TWCC's assets to, another person; (j) designate subsidiaries as unrestricted subsidiaries; and (k) enter into transactions with affiliates. Specific provisions restrict the ability of the Company's operating subsidiary, TWCC, from paying cash dividends to Carter’s, Inc. in excess of $100.0 million plus an additional amount that builds based on 50% of our consolidated net income on a cumulative basis beginning with the third fiscal quarter of 2013 and subject to certain conditions, unless TWCC and its consolidated subsidiaries meet a leverage ratio requirement under the indenture, which could restrict Carter’s, Inc. from paying cash dividends on our common stock. Additionally, the terms of the notes contain customary affirmative covenants and provide for events of default which, if certain of them occur, would permit the trustee or the holders of at least 25% in principal amount of the then total outstanding senior notes to declare all amounts owning under the notes to be due and payable. Carter's, Inc. is not subject to these covenants. | |||||||||
If TWCC fails to timely complete a required registered exchange offer by May 9, 2014, the Company will be required to pay additional interest on the senior notes. | |||||||||
SECURED REVOLVING CREDIT FACILITY | |||||||||
On October 15, 2010, the Company entered into a $375 million ($130 million sub-limit for letters of credit and a swing line sub-limit of $40 million) secured revolving credit facility with Bank of America as sole lead arranger and administrative agent, JP Morgan Chase Bank as syndication agent, and other financial institutions. On December 22, 2011, the Company amended and restated the secured revolving credit facility to, among other things, provide a U.S. dollar secured revolving facility of $340 million ($130 million sub-limit for letters of credit and a swing line sub-limit of $40 million) and a $35 million multicurrency secured revolving facility ($15 million sub-limit for letters of credit and a swing line sub-limit of $5 million), which is available for borrowings by either TWCC or its Canadian subsidiary, in U.S. dollars or Canadian dollars. | |||||||||
On August 31, 2012, the Company and lenders amended and restated the secured revolving credit facility to, among other things, improve interest rates applicable to pricing, extend the maturity of the facility, and allow borrowings in currencies other than U.S. dollars or Canadian dollars subject to the consent of all multicurrency lenders. The aggregate principal amount of the facility remained unchanged at $375 million consisting of a $340 million U.S. dollar secured revolving credit facility and a $35 million multicurrency secured revolving credit facility (although the sub-limit for U.S. dollar letters of credit was increased to $175 million). In connection with the amendment, the Company recorded approximately $1.9 million in debt issuance costs which, together with the existing unamortized debt issuance costs, will be amortized over the new remaining term of the facility (five years). The secured revolving credit facility expires August 31, 2017. | |||||||||
During fiscal 2012, the Company repaid borrowings under its secured revolving credit facility in the amount of $50.0 million. As of December 28, 2013, the Company had approximately $186.0 million in borrowings under its secured revolving credit facility, exclusive of $9.5 million of outstanding letters of credit. Amounts outstanding under the secured revolving credit facility currently accrue interest at a LIBOR rate plus 2.00%, which, as of December 28, 2013, was 2.16%. As of December 28, 2013, there was approximately $179.5 million available for future borrowing. | |||||||||
Pricing Options | |||||||||
The secured revolving credit facility provides for different pricing options based on, among other things, the currency being borrowed and our leverage. Amounts outstanding under the secured revolving credit facility as of December 28, 2013 were accruing interest at a LIBOR rate plus 2.00%. | |||||||||
Covenants | |||||||||
The secured revolving credit facility contains and defines financial covenants, including a lease adjusted leverage ratio (defined as, with certain adjustments, the ratio of the Company’s consolidated indebtedness plus six times rent expense to consolidated net income before interest, taxes, depreciation, amortization, and rent expense (“EBITDAR”)) to exceed (x) if such period ends on or before December 31, 2016, 3.75:1.00 and (y) if such period ends after December 31, 2016, 3.50:1.00; and consolidated fixed charge coverage ratio (defined as, with certain adjustments, the ratio of consolidated EBITDAR to consolidated fixed charges (defined as interest plus rent expense)), for any such period to be less than 2.50:1.00. | |||||||||
Provisions in the secured credit facility currently restrict the ability of the Company's operating subsidiary, TWCC, from paying cash dividends to the parent company, Carter’s, Inc., in excess of $15.0 million unless TWCC and its consolidated subsidiaries meet certain leverage ratio and minimum availability requirements under the credit facility, which could restrict Carter’s, Inc. from paying cash dividends on our common stock. | |||||||||
As of December 28, 2013, the Company was in compliance with its financial debt covenants under the secured revolving credit facility. |
COMMON_STOCK
COMMON STOCK | 12 Months Ended |
Dec. 28, 2013 | |
Equity [Abstract] | ' |
COMMON STOCK | ' |
COMMON STOCK | |
SHARE REPURCHASES | |
In the second quarter of fiscal 2013, the Board of Directors authorized the repurchase of shares in an amount up to $300 million, inclusive of amounts remaining under previous authorizations. In the third quarter of 2013, the Board approved an additional $400 million share repurchase authorization. The total remaining capacity under the repurchase authorizations as of December 28, 2013, was approximately $267.2 million. The authorizations have no expiration date. | |
The Company did not repurchase any shares of its common stock during fiscal 2012 and 2011 pursuant to any share repurchase authorization. | |
During fiscal 2013, the Company repurchased shares on the open market and acquired shares under an accelerated stock repurchase program. | |
Open Market Purchases | |
During the fiscal year ended December 28, 2013, the Company repurchased and retired 816,402 shares with an average share price of $66.31 for an aggregate cost of $54.1 million, in open market transactions. | |
Future repurchases may occur from time to time in the open market, in negotiated transactions, or otherwise. The timing and amount of any repurchases will be determined by the Company’s management, based on its evaluation of market conditions, share price, other investment priorities, and other factors. | |
Accelerated Stock Repurchase Program | |
On August 29, 2013, the Company entered into a $300 million fixed dollar uncollared accelerated stock repurchase agreement (the “Uncollared ASR Agreement”) and a $100 million fixed dollar collared accelerated stock repurchase agreement (the “Collared ASR Agreement”), each with JPMorgan Chase Bank, N. A. ("JPMorgan"). | |
Under the Uncollared ASR Agreement, the Company paid $300 million from cash on hand to JPMorgan to repurchase outstanding shares of the Company's common stock. Under the Collared ASR Agreement, the Company paid $100 million from cash on hand to JPMorgan to repurchase outstanding shares of the Company's common stock. As of December 28, 2013, JPMorgan had delivered approximately 4.6 million shares to the Company with a fair market value, at trade date, of approximately $328.4 million. All shares received under the ASR Agreements were retired upon receipt. | |
As of December 28, 2013, the amount of additional shares that the Company would have received under the ASR agreements, if settled on that date, was approximately one million shares. | |
Both of the ASR agreements were settled in January 2014 and approximately one million shares were received with a fair market value, at trade date, of approximately $70.3 million. As of the date of settlement of the ASR agreements, the Company had received a total of approximately 5.6 million shares under the ASR program. | |
The specific number of shares that the Company ultimately repurchased was determined at the date of the settlement of the Agreements based, generally, on the daily volume-weighted average share price of the Company's common stock during the term of the Agreements, less an agreed discount. For shares repurchased under the Collared ASR Agreement, the amount of shares was subject to additional provisions that established a minimum and maximum number of repurchased shares. Such minimum and maximum share numbers were based, generally, on the daily volume-weighted average share price of the Company's common stock over the period during which JPMorgan established an initial hedge position. | |
The ASR agreements were treated as equity classified forward contracts indexed to the Company's own stock. | |
DIVIDENDS | |
In the second, third and fourth fiscal quarters of 2013, the Company's Board of Directors authorized quarterly cash dividends of $0.16 per share. The dividends were paid during the fiscal quarter in which they were declared. Future declarations of quarterly dividends and the establishment of future record and payment dates are at the discretion of the Company's Board of Directors based on a number of factors, including the Company's future financial performance and other investment priorities. | |
Provisions in the Company's secured revolving credit facility and indenture governing its senior notes could have the effect of restricting the Company’s ability to pay future cash dividends on or make future repurchases of its common stock, as further described in the Long-Term Debt note. |
STOCKBASED_COMPENSATION
STOCK-BASED COMPENSATION | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||
STOCK-BASED COMPENSATION | ' | |||||||||||
STOCK-BASED COMPENSATION | ||||||||||||
Under the Company’s Amended and Restated Equity Incentive Plan (the “Plan”), the Compensation Committee of the Board of Directors may award incentive stock options, stock appreciation rights, restricted stock, unrestricted stock, stock deliverable on a deferred basis (including restricted stock units), and performance-based stock awards. | ||||||||||||
At the Company's May 13, 2011 shareholders' meeting, the shareholders approved a proposal to amend the Plan to (i) increase the maximum number of shares of stock available under the existing Plan by 3,725,000 shares from 12,053,392 shares to 15,778,392 shares and (ii) eliminating the Company's ability to grant cash awards and provide tax gross-ups under the Plan. As of December 28, 2013, there are 2,597,512 shares available for grant under the Plan. The Plan makes provision for the treatment of awards upon termination of service or in the case of a merger or similar corporate transaction. Participation in the Plan is limited to Directors and those key employees selected by the Compensation Committee. | ||||||||||||
The limit on shares available under the Plan, the individual limits, and other award terms are subject to adjustment to reflect stock splits or stock dividends, combinations, and certain other events. All stock options issued under the Plan expire no later than ten years from the date of grant. The Company believes that the current level of authorized shares is sufficient to satisfy future option exercises. | ||||||||||||
The Company recorded stock-based compensation cost as follows: | ||||||||||||
For the fiscal years ended | ||||||||||||
(dollars in thousands) | December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | ||||||||||
Stock options | $ | 4,728 | $ | 4,093 | $ | 3,546 | ||||||
Restricted stock: | ||||||||||||
Time-based awards | 6,732 | 5,376 | 4,624 | |||||||||
Performance-based awards | 4,127 | 2,395 | 304 | |||||||||
Stock awards | 453 | 1,185 | 1,170 | |||||||||
Total | $ | 16,040 | $ | 13,049 | $ | 9,644 | ||||||
All of the cost was reflected as a component of selling, general, and administrative expenses. | ||||||||||||
STOCK OPTIONS | ||||||||||||
Stock options vest in equal annual installments over a four-year period. The Company issues new shares to satisfy stock option exercises. | ||||||||||||
Changes in the Company's stock options for the fiscal year ended December 28, 2013 are as follows: | ||||||||||||
Number of shares | Weighted- average exercise price | Weighted-average remaining contractual terms (years) | Aggregate intrinsic value | |||||||||
(in thousands) | ||||||||||||
Outstanding, December 29, 2012 | 2,078,433 | $26.14 | ||||||||||
Granted | 350,800 | $59.84 | ||||||||||
Exercised | (669,834 | ) | $19.28 | |||||||||
Forfeited | (80,791 | ) | $37.71 | |||||||||
Expired | (867 | ) | $30.17 | |||||||||
Outstanding, December 28, 2013 | 1,677,741 | $35.37 | 6.91 | $ | 59,895 | |||||||
Vested and Expected to Vest, December 28, 2013 | 1,596,523 | $34.83 | 6.87 | $ | 57,857 | |||||||
Exercisable, December 28, 2013 | 834,353 | $25.22 | 5.6 | $ | 38,256 | |||||||
The intrinsic value of stock options exercised during the fiscal years ended December 28, 2013, December 29, 2012, and December 31, 2011 was approximately $30.0 million, $7.2 million, and $18.9 million, respectively. At December 28, 2013, there was approximately $8.5 million of unrecognized compensation cost (net of estimated forfeitures) related to stock options which is expected to be recognized over a weighted-average period of approximately 2.6 years. | ||||||||||||
The table below presents the assumptions used to calculate the fair value of options granted in each of the respective fiscal years: | ||||||||||||
For the fiscal years ended | ||||||||||||
December 28, | December 29, | December 31, | ||||||||||
2013 | 2012 | 2011 | ||||||||||
Expected volatility | 33.15 | % | 34.74 | % | 34.98 | % | ||||||
Risk-free interest rate | 1.15 | % | 1.37 | % | 2.62 | % | ||||||
Expected term (years) | 6 | 5.9 | 6.7 | |||||||||
Dividend yield | 0.91 | % | — | — | ||||||||
Weighted average fair value of options granted | $ | 20.21 | $ | 15.28 | $ | 11.85 | ||||||
RESTRICTED STOCK AWARDS | ||||||||||||
Restricted stock awards issued under the Plan vest based upon continued service or performance targets. | ||||||||||||
The following table summarizes activity related to all restricted stock awards during the fiscal year ended December 28, 2013: | ||||||||||||
Restricted | Weighted-average grant-date | |||||||||||
stock | fair value | |||||||||||
awards | ||||||||||||
Outstanding, December 29, 2012 | 766,929 | $ | 33.97 | |||||||||
Granted | 319,773 | 59.95 | ||||||||||
Vested | (237,355 | ) | 31.4 | |||||||||
Forfeited | (63,158 | ) | 39.47 | |||||||||
Outstanding, December 28, 2013 | 786,189 | $ | 44.87 | |||||||||
Time-based Restricted Stock Awards | ||||||||||||
Restricted stock awards vest in equal annual installments or cliff vest after a three- or four-year period. At December 28, 2013, there was approximately $12.7 million of unrecognized compensation cost (net of estimated forfeitures) related to restricted stock which is expected to be recognized over a weighted-average period of approximately 2.4 years. | ||||||||||||
Performance-based Restricted Stock Awards | ||||||||||||
During the fiscal year ended December 31, 2011, the Company granted its Chief Executive Officer 80,000 performance-based restricted shares at a fair market value of $28.39 per share. Vesting of the shares is contingent upon meeting specific performance targets through fiscal 2014. Currently, the Company believes these targets will be achieved and has recorded compensation expense based on the proration of the total ultimate expected value of the award. | ||||||||||||
During the fiscal year ended December 29, 2012, the Company granted its executive officers 152,000 performance-based restricted shares at a fair market value of $42.61 per share. Vesting of these shares is contingent upon meeting specific performance targets through fiscal 2014. Currently, the Company believes that these targets will be achieved and has recorded compensation expense based on the pro ration of the total ultimate expected value of the award. | ||||||||||||
During the fiscal year ended December 28, 2013, the Company granted its executive officers 118,200 performance-based restricted shares at a fair market value of $59.27 per share. Vesting of these shares is also contingent upon meeting specific performance targets through 2015. Currently, the Company believes that these targets will be achieved and has recorded compensation expense based on the pro ration of the total ultimate expected value of the award. | ||||||||||||
At December 28, 2013, there was approximately $8.3 million of unrecognized compensation cost (net of estimated forfeitures) related to performance-based restricted stock awards which is expected to be recognized over a weighted-average period of approximately 2.6 years. | ||||||||||||
Stock Awards | ||||||||||||
During fiscal 2011, 2012, and 2013, the Company issued shares of common stock to its non-management board members, as follows: | ||||||||||||
Number of shares issued | Fair value per share | Aggregate value (in thousands) | ||||||||||
2011 | 38,520 | $30.38 | $1,170 | |||||||||
2012 | 21,708 | $49.76 | $1,080 | |||||||||
2013 | 16,173 | $66.79 | $1,080 | |||||||||
The Company received no proceeds from the issuance of these shares. |
EMPLOYEE_BENEFIT_PLANS
EMPLOYEE BENEFIT PLANS | 12 Months Ended | |||||||||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||||||||||||
EMPLOYEE BENEFIT PLANS | ' | |||||||||||||||||||||||||
EMPLOYEE BENEFIT PLANS | ||||||||||||||||||||||||||
The Company maintains a defined contribution plan, a deferred compensation plan, and two defined benefit plans. The two defined benefit plans include: the OshKosh B'Gosh pension plan and a post-retirement life and medical plan. | ||||||||||||||||||||||||||
OSHKOSH B'GOSH PENSION PLAN | ||||||||||||||||||||||||||
Funded Status | ||||||||||||||||||||||||||
The retirement benefits under the OshKosh B'Gosh pension plan were frozen as of December 31, 2005. A reconciliation of changes in the projected pension benefit obligation and plan assets is as follows: | ||||||||||||||||||||||||||
For the fiscal years ended | ||||||||||||||||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | ||||||||||||||||||||||||
Change in projected benefit obligation: | ||||||||||||||||||||||||||
Projected benefit obligation at beginning of year | $ | 59,331 | $ | 53,928 | ||||||||||||||||||||||
Interest cost | 2,335 | 2,388 | ||||||||||||||||||||||||
Actuarial (gain) loss | (6,490 | ) | 4,503 | |||||||||||||||||||||||
Benefits paid | (1,790 | ) | (1,488 | ) | ||||||||||||||||||||||
Projected benefit obligation at end of year | $ | 53,386 | $ | 59,331 | ||||||||||||||||||||||
Change in plan assets: | ||||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 45,774 | $ | 42,470 | ||||||||||||||||||||||
Actual return on plan assets | 5,634 | 4,792 | ||||||||||||||||||||||||
Benefits paid | (1,790 | ) | (1,488 | ) | ||||||||||||||||||||||
Fair value of plan assets at end of year | $ | 49,618 | $ | 45,774 | ||||||||||||||||||||||
Unfunded status | $ | 3,768 | $ | 13,557 | ||||||||||||||||||||||
The unfunded status is included in other long-term liabilities in the accompanying audited consolidated balance sheets for both fiscal 2013 and 2012. The Company does not expect to make any contributions to the OshKosh defined benefit plan during fiscal 2014 as the plan's funding exceeds the minimum funding requirements. The accumulated benefit obligation is equal to the projected benefit obligation as of December 28, 2013 and December 29, 2012 because the plan is frozen. | ||||||||||||||||||||||||||
Net Periodic Pension (Benefit) Cost | ||||||||||||||||||||||||||
The net periodic pension cost (benefit) included in the statement of operations was comprised of: | ||||||||||||||||||||||||||
For the fiscal years ended | ||||||||||||||||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | December 31, 2011 | |||||||||||||||||||||||
Interest cost | $ | 2,335 | $ | 2,388 | $ | 2,454 | ||||||||||||||||||||
Expected return on plan assets | (3,058 | ) | (2,852 | ) | (3,112 | ) | ||||||||||||||||||||
Recognized actuarial loss | 831 | 710 | 1 | |||||||||||||||||||||||
Net periodic pension cost (benefit) | $ | 108 | $ | 246 | $ | (657 | ) | |||||||||||||||||||
Assumptions | ||||||||||||||||||||||||||
The actuarial computations utilized the following assumptions, using year-end measurement dates: | ||||||||||||||||||||||||||
Benefit obligation | 2013 | 2012 | ||||||||||||||||||||||||
Discount rate | 4.75% | 4.00% | ||||||||||||||||||||||||
Net periodic pension cost | 2013 | 2012 | 2011 | |||||||||||||||||||||||
Discount rate | 4.00% | 4.50% | 5.50% | |||||||||||||||||||||||
Expected long-term rate of return on assets | 7.00% | 7.00% | 7.50% | |||||||||||||||||||||||
The discount rates used at December 28, 2013, December 29, 2012, and December 31, 2011, were determined with consideration given to Citigroup Pension Discount and Liability index and the Barclay Capital Aggregate Bond index, adjusted for the timing of expected plan distributions. The Company believes these indexes reflect a risk-free rate consistent with a portfolio of high quality debt instruments with maturities that are comparable to the timing of the expected payments under the plan. The expected long-term rate of return assumption considers historic returns adjusted for changes in overall economic conditions that may affect future returns and a weighting of each investment class. | ||||||||||||||||||||||||||
A 0.25% change in the assumed discount rate would result in an increase or decrease in the amount of the pension plan's projected benefit obligation of approximately $2.0 million. | ||||||||||||||||||||||||||
The Company currently expects benefit payments for its defined benefit pension plans as follows for the next ten fiscal years; | ||||||||||||||||||||||||||
(dollars in thousands) | ||||||||||||||||||||||||||
Fiscal Year | ||||||||||||||||||||||||||
2014 | $ | 2,010 | ||||||||||||||||||||||||
2015 | $ | 1,780 | ||||||||||||||||||||||||
2016 | $ | 1,890 | ||||||||||||||||||||||||
2017 | $ | 2,330 | ||||||||||||||||||||||||
2018 | $ | 2,170 | ||||||||||||||||||||||||
2019-2023 | $ | 13,850 | ||||||||||||||||||||||||
Plan Assets | ||||||||||||||||||||||||||
The Company's investment strategy is to invest in a well diversified portfolio consisting of approximately 10 mutual funds or group annuity contracts that minimize concentration of risks by utilizing a variety of asset types, fund strategies, and fund managers. The target allocation for plan assets is 50% equity securities, 42% bond funds, and 8% real estate investments. | ||||||||||||||||||||||||||
Equity securities primarily include funds invested in large-cap and mid-cap companies, primarily located in the United States, with up to 5% of the plan assets invested in international equities. Fixed income securities include funds holding corporate bonds of companies from diverse industries, and U.S. Treasuries. Real estate funds include investments in actively managed commercial real estate projects located in the United States. | ||||||||||||||||||||||||||
The fair value of the Company's pension plan assets at December 28, 2013 and December 29, 2012 by asset category were as follows: | ||||||||||||||||||||||||||
December 28, 2013 | December 29, 2012 | |||||||||||||||||||||||||
(dollars in thousands) | Total | Level 1 | Level 2 | Total | Level 1 | Level 2 | ||||||||||||||||||||
Asset Category | ||||||||||||||||||||||||||
Cash and cash equivalents | $ | 117 | $ | — | $ | 117 | $ | 104 | $ | — | $ | 104 | ||||||||||||||
Equity Securities: | ||||||||||||||||||||||||||
U.S. Large-Cap blend (a) | 11,250 | 5,623 | 5,627 | 10,574 | 5,292 | 5,282 | ||||||||||||||||||||
U.S. Large-Cap growth | 5,630 | 5,630 | — | 5,284 | 5,284 | — | ||||||||||||||||||||
U.S. Mid-Cap growth | 3,473 | — | 3,473 | 2,446 | — | 2,446 | ||||||||||||||||||||
U.S. Small-Cap blend | 1,486 | 1,486 | — | 2,456 | 2,456 | — | ||||||||||||||||||||
International blend | 1,486 | 1,486 | — | 2,283 | 2,283 | — | ||||||||||||||||||||
Fixed income securities: | ||||||||||||||||||||||||||
Corporate bonds (b) | 21,257 | 21,257 | — | 18,761 | 18,761 | — | ||||||||||||||||||||
Real estate (c) | 4,919 | 4,919 | — | 3,866 | 3,866 | — | ||||||||||||||||||||
$ | 49,618 | $ | 40,401 | $ | 9,217 | $ | 45,774 | $ | 37,942 | $ | 7,832 | |||||||||||||||
(a) This category comprises low-cost equity index funds not actively managed that track the S&P 500. | ||||||||||||||||||||||||||
(b) This category invests in both U.S. Treasuries and mid-term corporate debt from U.S. issuers from diverse industries. | ||||||||||||||||||||||||||
(c) This category invests in active management of U.S. commercial real estate projects. | ||||||||||||||||||||||||||
POST-RETIREMENT LIFE AND MEDICAL PLAN | ||||||||||||||||||||||||||
Under a defined benefit plan frozen in 1991, the Company offers a comprehensive post-retirement medical plan to current and certain future retirees and their spouses. The Company also offers life insurance to current and certain future retirees. Employee contributions are required as a condition of participation for both medical benefits and life insurance and the Company's liabilities are net of these expected employee contributions. | ||||||||||||||||||||||||||
Accumulated Post-Retirement Benefit Obligation | ||||||||||||||||||||||||||
The following is a reconciliation of the accumulated post-retirement benefit obligation (“APBO”) under this plan: | ||||||||||||||||||||||||||
For the fiscal years ended | ||||||||||||||||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | ||||||||||||||||||||||||
APBO at beginning of period | $ | 6,876 | $ | 7,335 | ||||||||||||||||||||||
Service cost | 161 | 135 | ||||||||||||||||||||||||
Interest cost | 231 | 282 | ||||||||||||||||||||||||
Actuarial gain | (716 | ) | (372 | ) | ||||||||||||||||||||||
Plan participants' contribution | 19 | 23 | ||||||||||||||||||||||||
Benefits paid | (563 | ) | (527 | ) | ||||||||||||||||||||||
Curtailment gain | (278 | ) | — | |||||||||||||||||||||||
APBO at end of period | $ | 5,730 | $ | 6,876 | ||||||||||||||||||||||
Approximately $5.1 million and $6.2 million of the APBO at the end of the period is included in other long term liabilities in the accompanying audited consolidated balance sheets for fiscal 2013 and 2012, respectively. | ||||||||||||||||||||||||||
Net Periodic Post-Retirement Benefit (Income) Cost | ||||||||||||||||||||||||||
The components of post-retirement benefit expense charged to the statement of operations are as follows: | ||||||||||||||||||||||||||
For the fiscal years ended | ||||||||||||||||||||||||||
(dollars in thousands) | December 28, | December 29, | December 31, | |||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Service cost – benefits attributed to service during the period | $ | 161 | $ | 135 | $ | 130 | ||||||||||||||||||||
Interest cost on accumulated post-retirement benefit obligation | 231 | 282 | 390 | |||||||||||||||||||||||
Amortization net actuarial gain | (135 | ) | (84 | ) | (49 | ) | ||||||||||||||||||||
Curtailment gain | (278 | ) | — | — | ||||||||||||||||||||||
Total net periodic post-retirement benefit (income) cost | $ | (21 | ) | $ | 333 | $ | 471 | |||||||||||||||||||
Curtailment | ||||||||||||||||||||||||||
In fiscal 2013, a curtailment gain was recognized as a result of the Company's facility closures, which decreased the number of employees eligible for retiree medical benefits. | ||||||||||||||||||||||||||
Assumptions | ||||||||||||||||||||||||||
The actuarial computations utilized the following assumptions, using year-end measurement dates: | ||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||
Benefit obligation | ||||||||||||||||||||||||||
Discount rate | 4.25% | 3.50% | ||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Net periodic pension cost | ||||||||||||||||||||||||||
Discount rate | 3.50% | 4.00% | 5.50% | |||||||||||||||||||||||
The discount rates used at December 28, 2013, December 29, 2012 and December 31, 2011, were determined with primary consideration given to the Citigroup Pension Discount and Liability index adjusted for the timing of expected plan distributions. The Company believes this index reflects a risk-free rate with maturities that are comparable to the timing of the expected payments under the plan. | ||||||||||||||||||||||||||
The effects on the Company's plan of all future increases in health care costs are borne primarily by employees; accordingly, increasing medical costs are not expected to have any material effect on the Company's future financial results. | ||||||||||||||||||||||||||
The Company's contribution for these post-retirement benefit obligations was $0.5 million, $0.5 million, and $0.6 million in fiscal 2013, 2012, and 2011, respectively. The Company expects that its contribution and benefit payments for post-retirement benefit obligations each year from fiscal 2014 through fiscal 2018 will be approximately $0.5 million. For the six years subsequent to fiscal 2018, the aggregate contributions and benefit payments for post-retirement benefit obligations will be approximately $1.9 million. The Company does not pre-fund this plan and as a result there are no plan assets. The measurement date used to determine the post-retirement benefit obligations is as of the end of the fiscal year. | ||||||||||||||||||||||||||
DEFERRED COMPENSATION PLAN | ||||||||||||||||||||||||||
The Company maintains a deferred compensation plan allowing salary and incentive compensation deferrals for qualifying employees as permitted by the Internal Revenue Code. Participant deferrals earn investment returns based on a select number of investment options, including equity, debt, and real estate mutual funds. Beginning in fiscal 2012, the Company invests comparable amounts in marketable securities to mitigate the risk associated with the investment return on the employee deferrals. | ||||||||||||||||||||||||||
DEFINED CONTRIBUTION PLAN | ||||||||||||||||||||||||||
The Company also sponsors a defined contribution savings plan within the United States. This plan covers employees who are at least 21 years of age and have completed three months of service, during which at least 250 hours were served. The plan provides for a discretionary employer match. The Company's expense for the defined contribution savings plan totaled approximately $8.5 million, $6.3 million, and $4.5 million for the fiscal years ended December 28, 2013, December 29, 2012, and December 31, 2011, respectively. |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
INCOME TAXES | ' | |||||||||||
INCOME TAXES | ||||||||||||
PROVISION FOR INCOME TAXES | ||||||||||||
The provision for income taxes consists of the following: | ||||||||||||
For the fiscal years ended | ||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | December 31, 2011 | |||||||||
Current tax provision: | ||||||||||||
Federal | $ | 71,696 | $ | 87,070 | $ | 48,141 | ||||||
State | 8,486 | 8,905 | 4,550 | |||||||||
Foreign | 8,280 | 7,917 | 5,053 | |||||||||
Total current provision | $ | 88,462 | $ | 103,892 | $ | 57,744 | ||||||
Deferred tax provision (benefit): | ||||||||||||
Federal | $ | 1,412 | $ | (7,815 | ) | $ | 10,511 | |||||
State | (942 | ) | (846 | ) | 309 | |||||||
Foreign | 126 | (990 | ) | (1,692 | ) | |||||||
Total deferred provision | 596 | (9,651 | ) | 9,128 | ||||||||
Total provision | $ | 89,058 | $ | 94,241 | $ | 66,872 | ||||||
The foreign portion of the tax position relates to Canadian and Hong Kong income taxes on the Company's international operations, subsequent to the Acquisition, and foreign tax withholdings related to the Company's foreign royalty income. An immaterial deferred tax asset related to initial Japan operations has been fully offset with a valuation allowance, and does not impact the fiscal 2013 or 2012 tax provision or effective tax rate. The components of income before income taxes are as follows: | ||||||||||||
For the fiscal years ended | ||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | December 31, 2011 | |||||||||
Domestic | $ | 223,907 | $ | 239,159 | $ | 174,627 | ||||||
Foreign | 25,558 | 16,232 | 6,261 | |||||||||
Total | $ | 249,465 | $ | 255,391 | $ | 180,888 | ||||||
EFFECTIVE RATE RECONCILIATION | ||||||||||||
The difference between the Company's effective income tax rate and the federal statutory tax rate is reconciled below: | ||||||||||||
For the fiscal years ended | ||||||||||||
December 28, 2013 | December 29, 2012 | December 31, 2011 | ||||||||||
Statutory federal income tax rate | 35 | % | 35 | % | 35 | % | ||||||
State income taxes, net of federal income tax benefit | 2.5 | % | 2.5 | % | 2.6 | % | ||||||
Impact of foreign operations | (1.4 | )% | (0.7 | )% | (0.3 | )% | ||||||
Settlement of uncertain tax positions | (0.4 | )% | (0.5 | )% | (1.0 | )% | ||||||
Acquisition expenses | — | % | 0.6 | % | 0.7 | % | ||||||
Total | 35.7 | % | 36.9 | % | 37 | % | ||||||
The Company and its subsidiaries file income tax returns in the United States and in various states and local jurisdictions. The Company’s subsidiaries also file income tax returns in Canada (including various Canadian provinces), Hong Kong, and Japan. The Internal Revenue Service initiated an income tax audit for fiscal 2011 during late 2013, and completed its income tax audit for fiscal 2009 during fiscal 2011. The federal statute of limitations for fiscal 2008 closed during the third quarter of fiscal 2012. In most cases, the Company is no longer subject to state and local tax authority examinations for years prior to fiscal 2009. | ||||||||||||
DEFERRED TAXES | ||||||||||||
Components of deferred tax assets and liabilities were as follows: | ||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | ||||||||||
Deferred tax assets: | Assets (Liabilities) | |||||||||||
Accounts receivable allowance | $ | 4,783 | $ | 4,036 | ||||||||
Inventory | 12,378 | 8,974 | ||||||||||
Accrued liabilities | 14,829 | 16,361 | ||||||||||
Equity-based compensation | 9,001 | 8,795 | ||||||||||
Deferred employee benefits | 5,111 | 8,626 | ||||||||||
Deferred rent | 31,855 | 15,543 | ||||||||||
Other | 5,050 | 5,333 | ||||||||||
Total deferred tax assets | $ | 83,007 | $ | 67,668 | ||||||||
Deferred tax liabilities: | ||||||||||||
Depreciation | $ | (54,809 | ) | $ | (29,141 | ) | ||||||
Tradename and licensing agreements | (108,155 | ) | (114,140 | ) | ||||||||
Other | (4,164 | ) | (3,053 | ) | ||||||||
Total deferred tax liabilities | $ | (167,128 | ) | $ | (146,334 | ) | ||||||
The net deferred tax liability is classified on the accompanying audited consolidated balance sheets as follows: | ||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | ||||||||||
Assets (Liabilities) | ||||||||||||
Current net deferred tax asset | $ | 37,313 | $ | 35,675 | ||||||||
Non-current net deferred tax liability | (121,434 | ) | (114,341 | ) | ||||||||
Total deferred tax liability | $ | (84,121 | ) | $ | (78,666 | ) | ||||||
The Company has not provided deferred taxes on undistributed earnings from its Canadian subsidiary, as the Company anticipates that these earnings will be reinvested indefinitely. Undistributed earnings from the Company's Canadian subsidiary at December 28, 2013, amounted to approximately $44.2 million. These earnings have been reinvested in Canadian operations and the Company does not currently plan to initiate any action that would result in these earnings being repatriated to the U.S. Because of the availability of foreign tax credits, it is not practicable to determine the U.S. federal income tax liability that would be payable if such earnings were not reinvested indefinitely. As of December 28, 2013, the Company has not yet generated any material earnings from its Hong Kong or Japanese subsidiaries. | ||||||||||||
UNCERTAIN TAX POSITIONS | ||||||||||||
The following is a reconciliation of the beginning and ending amount of unrecognized tax benefits: | ||||||||||||
(dollars in thousands) | ||||||||||||
Balance at January 1, 2011 | $ | 8,681 | ||||||||||
Additions based on tax positions related to fiscal 2011 | 2,100 | |||||||||||
Reductions for prior year tax positions | — | |||||||||||
Reductions for lapse of statute of limitations | (1,727 | ) | ||||||||||
Reductions for prior year tax settlements | (709 | ) | ||||||||||
Balance at December 31, 2011 | $ | 8,345 | ||||||||||
Additions based on tax positions related to fiscal 2012 | 2,384 | |||||||||||
Additions for prior year tax positions | 1,020 | |||||||||||
Reductions for lapse of statute of limitations | (1,831 | ) | ||||||||||
Reductions for prior year tax settlements | (155 | ) | ||||||||||
Balance at December 29, 2012 | $ | 9,763 | ||||||||||
Additions based on tax positions related to fiscal 2013 | 3,200 | |||||||||||
Reductions for prior year tax positions | (375 | ) | ||||||||||
Reductions for lapse of statute of limitations | (1,029 | ) | ||||||||||
Reductions for prior year tax settlements | (377 | ) | ||||||||||
Balance at December 28, 2013 | $ | 11,182 | ||||||||||
As of December 28, 2013, the Company had gross unrecognized tax benefits of approximately $11.2 million, of which $8.0 million, if ultimately recognized, will affect the Company’s effective tax rate in the period settled. The Company has recorded tax positions for which the ultimate deductibility is more likely than not, but for which there is uncertainty about the timing of such deductions. Because of deferred tax accounting, changes in the timing of these deductions would not affect the annual effective tax rate, but would accelerate the payment of cash to the taxing authorities. | ||||||||||||
Included in the reserves for unrecognized tax benefits are approximately $1.9 million of reserves for which the statute of limitations is expected to expire within the next fiscal year. If these tax benefits are ultimately recognized, such recognition, net of federal income taxes, may affect the annual effective tax rate for fiscal 2014 and the effective tax rate in the quarter in which the benefits are recognized. | ||||||||||||
The Company recognizes interest related to unrecognized tax benefits as a component of interest expense and penalties related to unrecognized tax benefits as a component of income tax expense. During fiscal 2013, 2012, and 2011, interest expense recorded on uncertain tax positions was not significant. The Company had approximately $0.8 million and $0.7 million of interest accrued on uncertain tax positions as of December 28, 2013 and December 29, 2012, respectively. |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||
EARNINGS PER SHARE | ' | |||||||||||
EARNINGS PER SHARE | ||||||||||||
The following is a reconciliation of basic common shares outstanding to diluted common and common equivalent shares outstanding: | ||||||||||||
For the fiscal years ended | ||||||||||||
December 28, | December 29, | December 31, | ||||||||||
2013 | 2012 | 2011 | ||||||||||
Weighted-average number of common and common equivalent shares outstanding: | ||||||||||||
Basic number of common shares outstanding | 56,931,216 | 58,217,503 | 57,513,748 | |||||||||
Dilutive effect of equity awards | 590,951 | 851,684 | 701,169 | |||||||||
Diluted number of common and common equivalent shares outstanding | 57,522,167 | 59,069,187 | 58,214,917 | |||||||||
Earnings per share: | ||||||||||||
(dollars in thousands, except per share data) | ||||||||||||
Basic net income per common share: | ||||||||||||
Net income | $ | 160,407 | $ | 161,150 | $ | 114,016 | ||||||
Income allocated to participating securities | (2,144 | ) | (2,095 | ) | (1,211 | ) | ||||||
Net income available to common shareholders | $ | 158,263 | $ | 159,055 | $ | 112,805 | ||||||
Basic net income per common share | $ | 2.78 | $ | 2.73 | $ | 1.96 | ||||||
Diluted net income per common share: | ||||||||||||
Net income | $ | 160,407 | $ | 161,150 | $ | 114,016 | ||||||
Income allocated to participating securities | (2,126 | ) | (2,072 | ) | (1,199 | ) | ||||||
Net income available to common shareholders | $ | 158,281 | $ | 159,078 | $ | 112,817 | ||||||
Diluted net income per common share | $ | 2.75 | $ | 2.69 | $ | 1.94 | ||||||
Anti-dilutive shares excluded from dilutive earnings per share calculations (1) | 355,900 | 613,000 | 935,000 | |||||||||
(1) The volume of antidilutive shares is, in part, due to the related unamortized compensation costs. | ||||||||||||
In connection with the ASR Agreements discussed in the common stock footnote, the Company received a total of approximately 4.6 million shares as of December 28, 2013. The shares were retired upon receipt and, accordingly, reduced the Company's weighted average shares outstanding for purposes of the calculation of earnings per share. | ||||||||||||
The Company evaluated the ASR Agreements for their potential dilution of earnings per share and has determined that, based on calculations under the ASR Agreements, as of December 28, 2013, it would not be required to deliver additional shares to JPMorgan. Further, based on the volume-weighted average price calculated as of December 28, 2013, the Company would have received approximately one million shares had the ASR Agreements been settled on that date. The Company has determined that these shares would have had an anti-dilutive effect and has excluded these shares from the diluted earnings per share calculation for the fiscal year ended December 28, 2013. | ||||||||||||
Both of the ASR agreements were settled in January 2014 and approximately one million shares were received. As of the date of settlement of the ASR agreements, the Company had received a total of approximately 5.6 million shares under the ASR program. |
SEGMENT_INFORMATION
SEGMENT INFORMATION | 12 Months Ended | ||||||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
SEGMENT INFORMATION | ' | ||||||||||||||||||||
SEGMENT INFORMATION | |||||||||||||||||||||
The Company reports segment information based upon a “management approach.” The management approach refers to the internal reporting that is used by management for making operating decisions and assessing the performance of the Company's reportable segments. The Company reports its corporate expenses separately as they are not included in the internal measures of segment operating performance used by the Company to measure the underlying performance of its reportable segments. | |||||||||||||||||||||
Segment results include the direct costs of each segment and all other costs are allocated based upon detailed estimates and analysis of actual time and expenses incurred to support the operations of each segment or units produced or sourced to support each segment's revenue. Certain costs, including incentive compensation for certain employees, and various other general corporate costs that are not specifically allocable to segments, are included in corporate expenses below. Intersegment sales and transfers are recorded at cost and are treated as a transfer of inventory. The accounting policies of the segments are the same as those described in Note 2 to the consolidated financial statements. The Company's reportable segments are Carter's wholesale, Carter’s retail, OshKosh retail, OshKosh wholesale, and international. | |||||||||||||||||||||
The table below presents certain segment information for the periods indicated: | |||||||||||||||||||||
For the fiscal years ended | |||||||||||||||||||||
(dollars in thousands) | December 28, | % of | December 29, | % of | December 31, | % of Total | |||||||||||||||
2013 | Total | 2012 | Total | 2011 | |||||||||||||||||
Net sales: | |||||||||||||||||||||
Carter’s Wholesale | $ | 1,035,420 | 39.2 | % | $ | 981,445 | 41.2 | % | $ | 939,115 | 44.5 | % | |||||||||
Carter’s Retail (a) | 954,160 | 36.2 | % | 818,909 | 34.4 | % | 671,590 | 31.8 | % | ||||||||||||
Total Carter’s | 1,989,580 | 75.4 | % | 1,800,354 | 75.6 | % | 1,610,705 | 76.3 | % | ||||||||||||
OshKosh Retail (a) | 289,311 | 11 | % | 283,343 | 11.9 | % | 280,900 | 13.3 | % | ||||||||||||
OshKosh Wholesale | 74,564 | 2.8 | % | 79,752 | 3.3 | % | 81,888 | 3.9 | % | ||||||||||||
Total OshKosh | 363,875 | 13.8 | % | 363,095 | 15.2 | % | 362,788 | 17.2 | % | ||||||||||||
International (b) | 285,256 | 10.8 | % | 218,285 | 9.2 | % | 136,241 | 6.5 | % | ||||||||||||
Total net sales | $ | 2,638,711 | 100 | % | $ | 2,381,734 | 100 | % | $ | 2,109,734 | 100 | % | |||||||||
Operating income (loss): | % of | % of | % of | ||||||||||||||||||
segment | segment | segment | |||||||||||||||||||
net sales | net sales | net sales | |||||||||||||||||||
Carter’s Wholesale | $ | 185,501 | 17.9 | % | $ | 172,673 | 17.6 | % | $ | 117,897 | 12.6 | % | |||||||||
Carter’s Retail (a) | 181,169 | 19 | % | 145,940 | 17.8 | % | 105,818 | 15.8 | % | ||||||||||||
Total Carter’s | 366,670 | 18.4 | % | 318,613 | 17.7 | % | 223,715 | 13.9 | % | ||||||||||||
OshKosh Retail (a) | (1,433 | ) | (0.5 | )% | (7,752 | ) | (2.7 | )% | (9,658 | ) | (3.4 | )% | |||||||||
OshKosh Wholesale | 9,796 | 13.1 | % | 4,086 | 5.1 | % | 822 | 1 | % | ||||||||||||
Total OshKosh | 8,363 | 2.3 | % | (3,666 | ) | (1.0 | )% | (8,836 | ) | (2.4 | )% | ||||||||||
International (b) (c) | 40,641 | 14.2 | % | 43,376 | 19.9 | % | 27,273 | 20 | % | ||||||||||||
Total segment operating income | 415,674 | 15.8 | % | 358,323 | 15 | % | 242,152 | 11.5 | % | ||||||||||||
Corporate expenses (d) (e) (f) | (151,523 | ) | (5.7 | )% | (96,337 | ) | (4.0 | )% | (54,686 | ) | (2.6 | )% | |||||||||
Total operating income | $ | 264,151 | 10 | % | $ | 261,986 | 11 | % | $ | 187,466 | 8.9 | % | |||||||||
(a) | Includes eCommerce results. | ||||||||||||||||||||
(b) | Net sales include international retail, eCommerce, and wholesale sales. Operating income includes international licensing income. | ||||||||||||||||||||
(c) | Includes a charge of $6.7 million for the fiscal year ended December 31, 2011 related to the amortization of the fair value step-up for Bonnie Togs inventory acquired. Includes charges of $2.8 million and $3.6 million for the fiscal years ended December 28, 2013 and December 29, 2012, respectively, associated with the revaluation of the Company’s contingent consideration. Includes a charge of $4.1 million for the fiscal year ended December 28, 2013, related to the Company's exit from retail operations in Japan. | ||||||||||||||||||||
(d) | Corporate expenses generally include expenses related to incentive compensation, stock-based compensation, executive management, severance and relocation, finance, building occupancy, information technology, certain legal fees, consulting, and audit fees. | ||||||||||||||||||||
(e) | Includes $3.0 million of professional service fees associated with the acquisition of Bonnie Togs during the fiscal year ended December 31, 2011. | ||||||||||||||||||||
(f) Includes the following charges: | |||||||||||||||||||||
For the fiscal years ended | |||||||||||||||||||||
(dollars in millions) | December 28, 2013 | December 29, 2012 | |||||||||||||||||||
Office consolidation costs | $ | 33.3 | $ | 6.4 | |||||||||||||||||
Amortization of H.W. Carter and Sons tradenames | $ | 13.6 | $ | — | |||||||||||||||||
Closure of distribution facility in Hogansville, GA | $ | 1.9 | $ | 3.1 | |||||||||||||||||
ADDITIONAL DATA BY SEGMENT | |||||||||||||||||||||
Inventory | |||||||||||||||||||||
The table below represents inventory, net, by segment: | |||||||||||||||||||||
For the fiscal years ended | |||||||||||||||||||||
(dollars in thousands) | 28-Dec-13 | 29-Dec-12 | |||||||||||||||||||
Carter's Wholesale | $ | 232,419 | $ | 191,988 | |||||||||||||||||
Carter's Retail | 79,451 | 67,167 | |||||||||||||||||||
OshKosh Retail | 28,690 | 23,914 | |||||||||||||||||||
OshKosh Wholesale | 30,977 | 30,185 | |||||||||||||||||||
International | 46,217 | 36,276 | |||||||||||||||||||
Total | $ | 417,754 | $ | 349,530 | |||||||||||||||||
Wholesale inventories include inventory produced and warehoused for the retail segment. | |||||||||||||||||||||
GEOGRAPHICAL DATA | |||||||||||||||||||||
Revenue | |||||||||||||||||||||
The Company's international sales principally represent sales to customers in Canada. Such sales were 65.4% and 68.8% of total international sales in fiscal 2013 and 2012. | |||||||||||||||||||||
Long-Lived Assets | |||||||||||||||||||||
The following represents property, plant, and equipment, net, by geographic area: | |||||||||||||||||||||
(dollars in thousands) | 28-Dec-13 | 29-Dec-12 | |||||||||||||||||||
United States | $ | 282,517 | $ | 149,357 | |||||||||||||||||
International | 25,368 | 20,753 | |||||||||||||||||||
Total | $ | 307,885 | $ | 170,110 | |||||||||||||||||
Long-lived assets in the international segment relate principally to Canada. Long-lived assets in Canada were 91.8% and 94.0% of total international long-lived assets at the end of fiscal 2013 and 2012. |
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended | ||||||||||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||||||
FAIR VALUE MEASUREMENTS | ' | ||||||||||||||||||||||||
FAIR VALUE MEASUREMENTS | |||||||||||||||||||||||||
The following table summarizes assets and liabilities measured at fair value on a recurring basis: | |||||||||||||||||||||||||
December 28, 2013 | December 29, 2012 | ||||||||||||||||||||||||
(dollars in millions) | Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | |||||||||||||||||||
Assets | |||||||||||||||||||||||||
Investments | $ | 5.4 | $ | — | $ | — | $ | 3.2 | $ | — | $ | — | |||||||||||||
Liabilities | |||||||||||||||||||||||||
Contingent consideration | $ | — | $ | — | $ | 16.3 | $ | — | $ | — | $ | 29.7 | |||||||||||||
INVESTMENTS | |||||||||||||||||||||||||
Beginning in fiscal 2012, the Company invests in marketable securities, principally equity based mutual funds, to mitigate the risk associated with the investment return on employee deferrals of compensation. All of the marketable securities purchased are included in other assets on the accompanying audited consolidated balance sheet. During fiscal 2013, gain on the mark to market of marketable securities was $0.5 million. | |||||||||||||||||||||||||
The fair value of the Company's pension plan assets at December 28, 2013 and December 29, 2012, by asset category, are disclosed in the employee benefit plans footnote to the consolidated financial statements. | |||||||||||||||||||||||||
CONTINGENT CONSIDERATION | |||||||||||||||||||||||||
The following summarizes the significant unobservable inputs for the Company's Level 3 fair value measurements at December 28, 2013: | |||||||||||||||||||||||||
(dollars in millions) | Fair Value (USD) | Valuation | Unobservable | Amount (CAD) | |||||||||||||||||||||
technique | inputs | ||||||||||||||||||||||||
Contingent consideration | $ | 16.3 | Discounted cash flow | Estimated contingent consideration payment | C$ | 20 | |||||||||||||||||||
Discount rate | 18 | % | |||||||||||||||||||||||
Probability assumption | 100 | % | |||||||||||||||||||||||
BORROWINGS | |||||||||||||||||||||||||
As of December 28, 2013, the Level 2 fair value of the Company's $186.0 million in borrowings under its secured revolving credit facility approximated carrying value. The Level 2 fair value of the Company's $400.0 million in senior notes outstanding was approximately $407.0 million. |
OTHER_CURRENT_AND_LONGTERM_LIA
OTHER CURRENT AND LONG-TERM LIABILITIES | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Other Liabilities Disclosure [Abstract] | ' | |||||||
OTHER CURRENT AND LONG-TERM LIABILITIES | ' | |||||||
OTHER CURRENT AND LONG-TERM LIABILITIES | ||||||||
Other current liabilities consisted of the following: | ||||||||
(dollars in thousands) | 28-Dec-13 | 29-Dec-12 | ||||||
Accrued bonuses and incentive compensation | $ | 19,579 | $ | 30,541 | ||||
Contingent consideration | 8,964 | 14,442 | ||||||
Accrued workers' compensation | 7,236 | 5,446 | ||||||
Accrued sales and use taxes | 8,486 | 5,402 | ||||||
Accrued salaries and wages | 7,609 | 5,517 | ||||||
Accrued gift certificates | 7,899 | 6,011 | ||||||
Accrued 401(k) contributions | 8,775 | 6,200 | ||||||
Accrued closure costs | 10,656 | 4,251 | ||||||
Other current liabilities | 25,925 | 16,800 | ||||||
Total | $ | 105,129 | $ | 94,610 | ||||
Other long-term liabilities consisted of the following: | ||||||||
(dollars in thousands) | 28-Dec-13 | 29-Dec-12 | ||||||
Deferred lease incentives | $ | 68,876 | $ | 29,913 | ||||
Accrued rent | 31,821 | 20,485 | ||||||
Contingent consideration | 7,384 | 15,262 | ||||||
OshKosh pension plan | 3,768 | 13,557 | ||||||
Unrecognized tax benefits | 11,947 | 10,479 | ||||||
Post-retirement medical plan | 5,055 | 6,201 | ||||||
Deferred compensation | 6,225 | 3,996 | ||||||
Other | 104 | 161 | ||||||
Total | $ | 135,180 | $ | 100,054 | ||||
FACILITY_CLOSURE
FACILITY CLOSURE | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||
FACILITY CLOSURE | ' | |||||||||||
FACILITY CLOSURE | ||||||||||||
HOGANSVILLE DISTRIBUTION FACILITY | ||||||||||||
On March 14, 2012, the Company announced to affected employees its plan to close the Hogansville facility, consistent with the Company's strategy to strengthen its distribution capabilities and open a new, larger multi-channel distribution facility in Braselton, Georgia. Approximately 210 employees were affected by the closure. | ||||||||||||
In conjunction with the plan to close the Hogansville distribution facility, the Company recorded expense of approximately $1.9 million and $3.1 million in closing-related costs during the fiscal year ended December 28, 2013 and December 29, 2012, respectively. | ||||||||||||
The total amount of charges was included in selling, general, and administrative expenses and consisted of the following components: | ||||||||||||
For the fiscal years ended | ||||||||||||
(dollars in millions) | December 28, 2013 | December 29, 2012 | ||||||||||
Severance | $ | 0.4 | $ | 2 | ||||||||
Accelerated depreciation | $ | 0.7 | $ | 0.9 | ||||||||
Other closure costs | $ | 0.8 | $ | 0.2 | ||||||||
Total | $ | 1.9 | $ | 3.1 | ||||||||
The following table summarizes restructuring reserves related to the closure of the Hogansville facility which are included in other current liabilities in the accompanying audited consolidated balance sheet: | ||||||||||||
(dollars in thousands) | Severance | Other closure costs | Total | |||||||||
Balance at December 29, 2012 | 2,039 | — | 2,039 | |||||||||
Provision | 382 | 781 | 1,163 | |||||||||
Payments | (1,225 | ) | (645 | ) | (1,870 | ) | ||||||
Balance at December 28, 2013 | $ | 1,196 | $ | 136 | $ | 1,332 | ||||||
Payments under the accruals as of December 28, 2013, are expected to be paid in the first quarter of fiscal 2014. | ||||||||||||
OFFICE CONSOLIDATION | ||||||||||||
On October 11, 2012, the Company announced plans to consolidate its retail and financial operations currently managed in its Shelton, Connecticut facility with the Company's Atlanta, Georgia-based operations. Approximately 175 employees were affected by this closure. | ||||||||||||
In connection with the plan to consolidate into a new headquarters facility in Atlanta, Georgia, the Company recorded approximately $33.3 million and $6.4 million in closing-related costs in the fiscal year ended December 28, 2013 and December 29, 2012, respectively. | ||||||||||||
The total amount of charges was included in selling, general, and administrative expenses and consisted of the following: | ||||||||||||
For the fiscal years ended | ||||||||||||
(dollars in millions) | December 28, 2013 | December 29, 2012 | ||||||||||
Severance and other benefits | 4.8 | $ | 2.2 | |||||||||
Accelerated depreciation | $ | 4 | $ | 1.1 | ||||||||
Other closure costs | 24.5 | $ | 3.1 | |||||||||
Total | $ | 33.3 | $ | 6.4 | ||||||||
The following table summarizes restructuring reserves related to the office consolidation which are included in other current liabilities in the accompanying unaudited condensed consolidated balance sheet as of December 28, 2013: | ||||||||||||
(dollars in thousands) | Severance | Other closure costs | Total | |||||||||
Balance at December 29, 2012 | 2,212 | — | 2,212 | |||||||||
Provision | 4,840 | 24,545 | 29,385 | |||||||||
Payments | (2,351 | ) | (22,822 | ) | (25,173 | ) | ||||||
Balance at December 28, 2013 | 4,701 | 1,723 | 6,424 | |||||||||
The Company has substantially completed its consolidation efforts as of December 28, 2013, and the accrual is expected to be paid in the first half of fiscal 2014. The Company expects to incur approximately $5.0 million in additional costs in fiscal 2014. | ||||||||||||
JAPAN RETAIL OPERATIONS | ||||||||||||
In the first quarter of 2013, we assumed control of retail operations in Japan, previously managed by a licensee. In fiscal 2013, our retail operations in Japan generated sales of approximately $15.9 million and an operating loss of $11.3 million, which includes exit costs of approximately $4.1 million. In the fourth quarter of 2013, we decided to exit those operations based on revised forecasts which do not meet our investment objectives. | ||||||||||||
The Company recorded approximately $4.1 million in exit costs, of which $3.0 million is included in selling, general, and administrative expenses. The amount charged to SG&A consisted of approximately $2.0 million in lease related charges, $0.9 million of employee severance and other benefit costs, and $0.1 million of accelerated depreciation. The remaining $1.1 million related to inventory write-offs, recorded in cost of goods sold. The accrual for exit costs was approximately $2.9 million as of December 28, 2013 and is included in other current liabilities on the accompanying audited consolidated balance sheet. The Company expects to incur approximately $6.0 million of additional costs in fiscal 2014. |
LEASE_COMMITMENTS
LEASE COMMITMENTS | 12 Months Ended | ||||
Dec. 28, 2013 | |||||
Leases [Abstract] | ' | ||||
LEASE COMMITMENTS | ' | ||||
LEASE COMMITMENTS | |||||
As of December 28, 2013, all of the Company's leases are classified as operating leases. | |||||
Rent expense under operating leases was approximately $117.3 million, $99.3 million, and $83.1 million for the fiscal years ended December 28, 2013, December 29, 2012, and December 31, 2011, respectively. | |||||
Minimum annual rental commitments under current noncancellable operating leases, as of December 28, 2013, substantially all of which relate to property, were as follows: | |||||
(dollars in thousands) | |||||
Fiscal Year | Total | ||||
noncancellable | |||||
leases | |||||
2014 | $ | 104,517 | |||
2015 | 100,617 | ||||
2016 | 91,417 | ||||
2017 | 86,007 | ||||
2018 | 81,257 | ||||
Thereafter | 302,405 | ||||
Total | $ | 766,220 | |||
Amounts related to property include leases on retail stores as well as various corporate offices, distribution facilities, and other premises. At December 28, 2013, the Company operated 657 leased retail stores across the United States, having an average size of approximately 4,400 square feet. In addition, the Company operates 102 leased retail stores in Canada, having an average size of approximately 5,500 square feet. The majority of the Company's lease terms range between 5 to 10 years. |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 28, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
COMMITMENTS AND CONTINGENCIES | ' |
COMMITMENTS AND CONTINGENCIES | |
The Company is subject to various claims and pending or threatened lawsuits in the normal course of business. The Company is not currently a party to any legal proceedings that it believes would have a material adverse effect on its financial position, results of operations, or cash flows. | |
The Company's contractual obligations and commitments also include obligations associated with facility closures and employee severance agreements, operating leases, the secured revolving credit agreement, senior notes, and employee benefit plans, as disclosed elsewhere in the notes to the consolidated financial statements. |
VALUATION_AND_QUALIFYING_ACCOU
VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Valuation and Qualifying Accounts [Abstract] | ' | |||||||||||
VALUATION AND QUALIFYING ACCOUNTS | ' | |||||||||||
VALUATION AND QUALIFYING ACCOUNTS | ||||||||||||
Information regarding accounts receivable is as follows: | ||||||||||||
(dollars in thousands) | Accounts receivable reserves | Sales returns reserves | Total | |||||||||
Balance, January 1, 2011 | $ | 2,851 | $ | 400 | $ | 3,251 | ||||||
Additions, charged to expense | 7,227 | 1,121 | 8,348 | |||||||||
Charges to reserve | (5,458 | ) | (1,121 | ) | (6,579 | ) | ||||||
Balance, December 31, 2011 | $ | 4,620 | $ | 400 | $ | 5,020 | ||||||
Additions, charged to expense | 8,251 | 954 | 9,205 | |||||||||
Charges to reserve | (5,683 | ) | (954 | ) | (6,637 | ) | ||||||
Balance, December 29, 2012 | $ | 7,188 | $ | 400 | $ | 7,588 | ||||||
Additions, charged to expense | 10,245 | 1,110 | 11,355 | |||||||||
Charges to reserve | (8,125 | ) | (1,110 | ) | (9,235 | ) | ||||||
Balance, December 28, 2013 | $ | 9,308 | $ | 400 | $ | 9,708 | ||||||
UNAUDITED_QUARTERLY_FINANCIAL_
UNAUDITED QUARTERLY FINANCIAL DATA | 12 Months Ended | |||||||||||||||
Dec. 28, 2013 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||||
UNAUDITED QUARTERLY FINANCIAL DATA | ' | |||||||||||||||
UNAUDITED QUARTERLY FINANCIAL DATA | ||||||||||||||||
The unaudited summarized financial data by quarter for the fiscal years ended December 28, 2013 and December 29, 2012 is presented in the table below: | ||||||||||||||||
(dollars in thousands, except per share data) | Quarter 1 | Quarter 2 | Quarter 3 | Quarter 4 | ||||||||||||
2013:00:00 | ||||||||||||||||
Net sales | $ | 591,009 | $ | 517,874 | $ | 760,173 | $ | 769,655 | ||||||||
Gross profit | 243,062 | 220,245 | 309,649 | 322,423 | ||||||||||||
Selling, general, and administrative expenses | 185,361 | 195,014 | 229,264 | 258,841 | ||||||||||||
Royalty income | (9,242 | ) | (7,507 | ) | (10,691 | ) | (9,812 | ) | ||||||||
Operating income | 66,943 | 32,738 | 91,076 | 73,394 | ||||||||||||
Net income | 41,415 | 19,673 | 56,571 | 42,748 | ||||||||||||
Basic net income per common share | 0.7 | 0.33 | 0.98 | 0.78 | ||||||||||||
Diluted net income per common share | 0.69 | 0.33 | 0.97 | 0.78 | ||||||||||||
2012:00:00 | ||||||||||||||||
Net sales | $ | 551,662 | $ | 472,162 | $ | 668,657 | $ | 689,253 | ||||||||
Gross profit | 194,739 | 183,243 | 270,077 | 289,889 | ||||||||||||
Selling, general, and administrative expenses | 149,705 | 156,290 | 185,167 | 222,049 | ||||||||||||
Royalty income | (8,766 | ) | (7,474 | ) | (10,482 | ) | (10,527 | ) | ||||||||
Operating income | 53,800 | 34,427 | 95,392 | 78,367 | ||||||||||||
Net income | 32,275 | 20,805 | 59,378 | 48,692 | ||||||||||||
Basic net income per common share | 0.55 | 0.35 | 1.01 | 0.82 | ||||||||||||
Diluted net income per common share | 0.54 | 0.35 | 0.99 | 0.81 | ||||||||||||
GUARANTOR_CONDENSED_CONSOLIDAT
GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | 12 Months Ended | ||||||||||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | ||||||||||||||||||||||||
GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | ' | ||||||||||||||||||||||||
GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | |||||||||||||||||||||||||
The Company’s senior notes constitute debt obligations of TWCC (the “Issuer”), are unsecured and are fully and unconditionally guaranteed by Carter’s, Inc. (the “Parent”), and by each of the Company’s current domestic subsidiaries, and, subject to certain exceptions, future restricted subsidiaries that guarantee the Company’s senior secured revolving credit facility or certain other debt of the Company or the subsidiary guarantors. | |||||||||||||||||||||||||
The condensed consolidating financial information for the Parent, the Issuer and the guarantor and non-guarantor subsidiaries as of December 28, 2013 and December 29, 2012 and for fiscal 2013, 2012 and 2011, as presented below has been prepared from the books and records maintained by the Company. The accompanying condensed consolidating financial information has been prepared and presented pursuant to SEC Regulation S-X Rule 3-10. The financial information may not necessarily be indicative of the financial position, results of operations, comprehensive income, and cash flows, had the Parent, Issuer, guarantor or non-guarantor subsidiaries operated as independent entities. | |||||||||||||||||||||||||
Intercompany revenues and expenses included in the subsidiary records are eliminated in consolidation. As a result of this activity, an amount due to/due from affiliates will exist at any time. The principal elimination entries relate to investments in subsidiaries and intercompany balances and transactions. The Company has accounted for investments in subsidiaries under the equity method. The guarantor subsidiaries are 100% owned directly or indirectly by the Parent and all guarantees are joint, several and unconditional. | |||||||||||||||||||||||||
CARTER’S, INC. | |||||||||||||||||||||||||
Condensed Consolidating Balance Sheets | |||||||||||||||||||||||||
As of December 28, 2013 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||
Current assets: | |||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 278,260 | $ | — | $ | 8,286 | $ | — | $ | 286,546 | |||||||||||||
Accounts receivable, net | — | 163,264 | 20,365 | 9,982 | — | 193,611 | |||||||||||||||||||
Intercompany receivable | — | 62,802 | 104,123 | 12,385 | (179,310 | ) | — | ||||||||||||||||||
Finished goods inventories, net | — | 221,462 | 181,889 | 46,217 | (31,814 | ) | 417,754 | ||||||||||||||||||
Prepaid expenses and other current assets | — | 18,475 | 11,878 | 4,804 | — | 35,157 | |||||||||||||||||||
Deferred income taxes | — | 20,594 | 15,893 | 826 | — | 37,313 | |||||||||||||||||||
Total current assets | — | 764,857 | 334,148 | 82,500 | (211,124 | ) | 970,381 | ||||||||||||||||||
Property, plant, and equipment, net | — | 148,671 | 133,846 | 25,368 | — | 307,885 | |||||||||||||||||||
Goodwill | — | 136,570 | — | 49,507 | — | 186,077 | |||||||||||||||||||
Tradenames and other intangibles, net | — | 244,653 | 85,500 | 105 | — | 330,258 | |||||||||||||||||||
Deferred debt issuance costs, net | — | 8,088 | — | — | — | 8,088 | |||||||||||||||||||
Other assets | — | 9,743 | 52 | — | — | 9,795 | |||||||||||||||||||
Intercompany long term receivable | — | — | 263,183 | — | (263,183 | ) | — | ||||||||||||||||||
Intercompany long term note receivable | — | 100,000 | — | — | (100,000 | ) | — | ||||||||||||||||||
Investment in subsidiaries | 700,731 | 547,186 | 1,262 | — | (1,249,179 | ) | — | ||||||||||||||||||
Total assets | $ | 700,731 | $ | 1,959,768 | $ | 817,991 | $ | 157,480 | $ | (1,823,486 | ) | $ | 1,812,484 | ||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||||||
Accounts payable | $ | — | $ | 108,851 | $ | 40,825 | $ | 14,334 | $ | — | $ | 164,010 | |||||||||||||
Intercompany payables | — | 100,804 | 70,857 | 7,649 | (179,310 | ) | — | ||||||||||||||||||
Other current liabilities | — | 29,037 | 57,610 | 18,482 | 105,129 | ||||||||||||||||||||
Total current liabilities | — | 238,692 | 169,292 | 40,465 | (179,310 | ) | 269,139 | ||||||||||||||||||
Long-term debt | — | 586,000 | — | — | — | 586,000 | |||||||||||||||||||
Deferred income taxes | — | 77,798 | 43,636 | — | — | 121,434 | |||||||||||||||||||
Intercompany long term liability | — | 263,183 | — | — | (263,183 | ) | — | ||||||||||||||||||
Intercompany long term note payable | — | — | 100,000 | — | (100,000 | ) | — | ||||||||||||||||||
Other long-term liabilities | — | 61,550 | 55,175 | 18,455 | — | 135,180 | |||||||||||||||||||
Stockholders' equity (deficit) | 700,731 | 732,545 | 449,888 | 98,560 | (1,280,993 | ) | 700,731 | ||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 700,731 | $ | 1,959,768 | $ | 817,991 | $ | 157,480 | $ | (1,823,486 | ) | $ | 1,812,484 | ||||||||||||
As of December 29, 2012 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||
Current assets: | |||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 351,858 | $ | 6,940 | $ | 23,438 | $ | — | $ | 382,236 | |||||||||||||
Accounts receivable, net | — | 145,457 | 18,459 | 4,130 | — | 168,046 | |||||||||||||||||||
Intercompany receivable | 49,223 | 52,099 | 1 | (101,323 | ) | — | |||||||||||||||||||
Finished goods inventories, net | — | 188,237 | 170,895 | 26,540 | (36,142 | ) | 349,530 | ||||||||||||||||||
Prepaid expenses and other current assets | — | 9,051 | 10,183 | 2,982 | — | 22,216 | |||||||||||||||||||
Deferred income taxes | — | 20,932 | 13,787 | 956 | — | 35,675 | |||||||||||||||||||
Total current assets | — | 764,758 | 272,363 | 58,047 | (137,465 | ) | 957,703 | ||||||||||||||||||
Property, plant, and equipment, net | — | 50,605 | 98,753 | 20,752 | — | 170,110 | |||||||||||||||||||
Goodwill | — | 136,570 | — | 53,179 | — | 189,749 | |||||||||||||||||||
Tradenames and other intangibles, net | — | 220,233 | 85,500 | 339 | — | 306,072 | |||||||||||||||||||
Deferred debt issuance costs, net | — | 2,878 | — | — | — | 2,878 | |||||||||||||||||||
Other assets | — | 3,523 | 74 | — | — | 3,597 | |||||||||||||||||||
Intercompany long term receivable | — | — | 184,804 | — | (184,804 | ) | — | ||||||||||||||||||
Investment in subsidiaries | 985,479 | 489,370 | 488 | — | (1,475,337 | ) | — | ||||||||||||||||||
Total assets | $ | 985,479 | $ | 1,667,937 | $ | 641,982 | $ | 132,317 | $ | (1,797,606 | ) | $ | 1,630,109 | ||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||||||
Accounts payable | $ | — | $ | 109,981 | $ | 33,333 | $ | 6,311 | $ | — | $ | 149,625 | |||||||||||||
Intercompany payables | — | 47,319 | 47,719 | 6,285 | (101,323 | ) | — | ||||||||||||||||||
Other current liabilities | — | 16,880 | 59,942 | 17,788 | — | 94,610 | |||||||||||||||||||
Total current liabilities | — | 174,180 | 140,994 | 30,384 | (101,323 | ) | 244,235 | ||||||||||||||||||
Long-term debt | — | 186,000 | — | — | — | 186,000 | |||||||||||||||||||
Deferred income taxes | — | 78,385 | 35,956 | — | — | 114,341 | |||||||||||||||||||
Intercompany long term liabilities | — | 184,804 | — | — | (184,804 | ) | — | ||||||||||||||||||
Other long-term liabilities | — | 22,947 | 52,648 | 24,459 | — | 100,054 | |||||||||||||||||||
Stockholders' equity | 985,479 | 1,021,621 | 412,384 | 77,474 | (1,511,479 | ) | 985,479 | ||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 985,479 | $ | 1,667,937 | $ | 641,982 | $ | 132,317 | $ | (1,797,606 | ) | $ | 1,630,109 | ||||||||||||
CARTER’S, INC. | |||||||||||||||||||||||||
Condensed Consolidating Statements of Operations | |||||||||||||||||||||||||
For the year end December 28, 2013 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net sales | $ | — | $ | 1,637,361 | $ | 1,397,540 | $ | 220,438 | $ | (616,628 | ) | $ | 2,638,711 | ||||||||||||
Cost of goods sold | — | 1,170,073 | 819,798 | 112,503 | (559,042 | ) | 1,543,332 | ||||||||||||||||||
Gross profit | — | 467,288 | 577,742 | 107,935 | (57,586 | ) | 1,095,379 | ||||||||||||||||||
Selling, general, and administrative expenses | — | 204,255 | 632,854 | 102,115 | (70,744 | ) | 868,480 | ||||||||||||||||||
Royalty income | — | (28,174 | ) | (17,909 | ) | — | 8,831 | (37,252 | ) | ||||||||||||||||
Operating income (loss) | — | 291,207 | (37,203 | ) | 5,820 | 4,327 | 264,151 | ||||||||||||||||||
Interest expense | — | 13,374 | 598 | 63 | (598 | ) | 13,437 | ||||||||||||||||||
Interest income | — | (1,100 | ) | — | (167 | ) | 598 | (669 | ) | ||||||||||||||||
(Income) loss in subsidiaries | (160,407 | ) | 51,973 | 10,122 | — | 98,312 | — | ||||||||||||||||||
Other expense (income), net | — | (358 | ) | 403 | 1,873 | — | 1,918 | ||||||||||||||||||
Income (loss) before income taxes | 160,407 | 227,318 | (48,326 | ) | 4,051 | (93,985 | ) | 249,465 | |||||||||||||||||
Provision for income taxes | — | 71,238 | 11,061 | 6,759 | — | 89,058 | |||||||||||||||||||
Net income (loss) | $ | 160,407 | $ | 156,080 | $ | (59,387 | ) | $ | (2,708 | ) | $ | (93,985 | ) | $ | 160,407 | ||||||||||
Condensed Consolidating Statements of Operations | |||||||||||||||||||||||||
For the year end December 29, 2012 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net sales | $ | — | $ | 1,482,066 | $ | 1,241,686 | $ | 150,494 | $ | (492,512 | ) | $ | 2,381,734 | ||||||||||||
Cost of goods sold | — | 1,066,249 | 747,906 | 79,148 | (449,517 | ) | 1,443,786 | ||||||||||||||||||
Gross profit | — | 415,817 | 493,780 | 71,346 | (42,995 | ) | 937,948 | ||||||||||||||||||
Selling, general, and administrative expenses | — | 163,614 | 535,927 | 61,000 | (47,330 | ) | 713,211 | ||||||||||||||||||
Royalty income | — | (25,460 | ) | (18,118 | ) | 6,329 | (37,249 | ) | |||||||||||||||||
Operating income (loss) | — | 277,663 | (24,029 | ) | 10,346 | (1,994 | ) | 261,986 | |||||||||||||||||
Interest expense | — | 6,749 | — | 121 | (105 | ) | 6,765 | ||||||||||||||||||
Interest income | — | (230 | ) | — | (109 | ) | 105 | (234 | ) | ||||||||||||||||
(Income) loss in subsidiaries | (161,150 | ) | 32,053 | 4,761 | — | 124,336 | — | ||||||||||||||||||
Other expense (income), net | — | 64 | 145 | (145 | ) | — | 64 | ||||||||||||||||||
Income (loss) before income taxes | 161,150 | 239,027 | (28,935 | ) | 10,479 | (126,330 | ) | 255,391 | |||||||||||||||||
Provision for income taxes | — | 75,885 | 12,788 | 5,568 | — | 94,241 | |||||||||||||||||||
Net income (loss) | $ | 161,150 | $ | 163,142 | $ | (41,723 | ) | $ | 4,911 | $ | (126,330 | ) | $ | 161,150 | |||||||||||
Condensed Consolidating Statements of Operations | |||||||||||||||||||||||||
For the year end December 31, 2011 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net sales | $ | — | $ | 1,402,589 | $ | 1,084,461 | $ | 76,571 | $ | (453,887 | ) | $ | 2,109,734 | ||||||||||||
Cost of goods sold | — | 1,087,986 | 686,630 | 46,667 | (403,827 | ) | 1,417,456 | ||||||||||||||||||
Gross profit | — | 314,603 | 397,831 | 29,904 | (50,060 | ) | 692,278 | ||||||||||||||||||
Selling, general, and administrative expenses | — | 127,105 | 430,523 | 25,747 | (41,289 | ) | 542,086 | ||||||||||||||||||
Royalty income | — | (22,808 | ) | (17,403 | ) | — | 2,937 | (37,274 | ) | ||||||||||||||||
Operating income (loss) | — | 210,306 | (15,289 | ) | 4,157 | (11,708 | ) | 187,466 | |||||||||||||||||
Interest expense | — | 7,548 | — | 165 | (164 | ) | 7,549 | ||||||||||||||||||
Interest income | — | (525 | ) | — | (25 | ) | 164 | (386 | ) | ||||||||||||||||
(Income) loss in subsidiaries | (114,016 | ) | 22,145 | — | — | 91,871 | — | ||||||||||||||||||
Other income, net | — | (224 | ) | (11 | ) | (350 | ) | — | (585 | ) | |||||||||||||||
Income (loss) before income taxes | 114,016 | 181,362 | (15,278 | ) | 4,367 | (103,579 | ) | 180,888 | |||||||||||||||||
Provision for income taxes | — | 55,638 | 8,854 | 2,380 | — | 66,872 | |||||||||||||||||||
Net income (loss) | $ | 114,016 | $ | 125,724 | $ | (24,132 | ) | $ | 1,987 | $ | (103,579 | ) | $ | 114,016 | |||||||||||
Condensed Consolidating Statements of Comprehensive Income | |||||||||||||||||||||||||
For the year end December 28, 2013 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net income (loss) | $ | 160,407 | $ | 156,080 | $ | (59,387 | ) | $ | (2,708 | ) | $ | (93,985 | ) | $ | 160,407 | ||||||||||
Post-retirement benefit plans | 6,609 | 371 | 6,238 | — | (6,609 | ) | 6,609 | ||||||||||||||||||
Foreign currency translation adjustments | (5,486 | ) | — | — | (5,486 | ) | 5,486 | (5,486 | ) | ||||||||||||||||
Comprehensive income (loss) | $ | 161,530 | $ | 156,451 | $ | (53,149 | ) | $ | (8,194 | ) | $ | (95,108 | ) | $ | 161,530 | ||||||||||
Condensed Consolidating Statements of Comprehensive Income | |||||||||||||||||||||||||
For the year end December 29, 2012 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net income (loss) | $ | 161,150 | $ | 163,142 | $ | (41,723 | ) | $ | 4,911 | $ | (126,330 | ) | $ | 161,150 | |||||||||||
Post-retirement benefit plans | (981 | ) | 182 | (1,163 | ) | — | 981 | (981 | ) | ||||||||||||||||
Foreign currency translation adjustments | 1,058 | — | — | 1,058 | (1,058 | ) | 1,058 | ||||||||||||||||||
Comprehensive income (loss) | $ | 161,227 | $ | 163,324 | $ | (42,886 | ) | $ | 5,969 | $ | (126,407 | ) | $ | 161,227 | |||||||||||
Condensed Consolidating Statements of Comprehensive Income | |||||||||||||||||||||||||
For the year end December 31, 2011 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net income (loss) | $ | 114,016 | $ | 125,724 | $ | (24,132 | ) | $ | 1,987 | $ | (103,579 | ) | $ | 114,016 | |||||||||||
Post-retirement benefit plans | (6,268 | ) | (62 | ) | (6,206 | ) | — | 6,268 | (6,268 | ) | |||||||||||||||
Foreign currency translation adjustments | (3,124 | ) | — | — | (3,124 | ) | 3,124 | (3,124 | ) | ||||||||||||||||
Comprehensive income (loss) | $ | 104,624 | $ | 125,662 | $ | (30,338 | ) | $ | (1,137 | ) | $ | (94,187 | ) | $ | 104,624 | ||||||||||
Condensed Consolidating Statements of Cash Flows | |||||||||||||||||||||||||
For the year end December 28, 2013 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Cash flows provided by operating activities: | $ | — | $ | 125,482 | $ | 72,095 | $ | 12,119 | $ | — | $ | 209,696 | |||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||||||
Capital expenditures | — | (111,560 | ) | (59,852 | ) | (11,113 | ) | — | (182,525 | ) | |||||||||||||||
Intercompany investing activity | 473,988 | 26,693 | (4,112 | ) | (14,721 | ) | (481,848 | ) | — | ||||||||||||||||
Issuance of intercompany loan | — | (100,000 | ) | — | — | 100,000 | — | ||||||||||||||||||
Acquisition of tradenames | — | (38,007 | ) | — | — | — | (38,007 | ) | |||||||||||||||||
Net cash used in investing activities | 473,988 | (222,874 | ) | (63,964 | ) | (25,834 | ) | (381,848 | ) | (220,532 | ) | ||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||||||
Proceeds from senior notes | — | 400,000 | — | — | — | 400,000 | |||||||||||||||||||
Intercompany financing activity | — | (361,424 | ) | (119,183 | ) | (1,241 | ) | 481,848 | — | ||||||||||||||||
Proceeds from intercompany loan | — | — | 100,000 | — | (100,000 | ) | — | ||||||||||||||||||
Payment on debt issuance costs | — | (6,989 | ) | — | — | — | (6,989 | ) | |||||||||||||||||
Payment of contingent consideration | — | (14,721 | ) | — | — | — | (14,721 | ) | |||||||||||||||||
Dividends paid | (27,715 | ) | — | — | — | — | (27,715 | ) | |||||||||||||||||
Repurchase of common stock | (454,133 | ) | — | — | — | — | (454,133 | ) | |||||||||||||||||
Income tax benefit from stock-based compensation | — | 6,928 | 4,112 | — | — | 11,040 | |||||||||||||||||||
Withholdings from vesting of restricted stock | (5,052 | ) | — | — | — | — | (5,052 | ) | |||||||||||||||||
Proceeds from exercise of stock options | 12,912 | — | — | — | — | 12,912 | |||||||||||||||||||
Net cash (used in) provided by financing activities | (473,988 | ) | 23,794 | (15,071 | ) | (1,241 | ) | 381,848 | (84,658 | ) | |||||||||||||||
Effect of exchange rate changes on cash | — | — | — | (196 | ) | — | (196 | ) | |||||||||||||||||
Net increase (decrease) in cash and cash equivalents | — | (73,598 | ) | (6,940 | ) | (15,152 | ) | — | (95,690 | ) | |||||||||||||||
Cash and cash equivalents, beginning of period | — | 351,858 | 6,940 | 23,438 | — | 382,236 | |||||||||||||||||||
Cash and cash equivalents, end of period | $ | — | $ | 278,260 | $ | — | $ | 8,286 | $ | — | $ | 286,546 | |||||||||||||
For the year end December 29, 2012 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Cash flows provided by operating activities: | $ | — | $ | 153,058 | $ | 107,433 | $ | 18,128 | $ | — | $ | 278,619 | |||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||||||
Capital expenditures | — | (24,072 | ) | (50,337 | ) | (8,989 | ) | — | (83,398 | ) | |||||||||||||||
Intercompany investing activity | (2,839 | ) | 4,548 | (4,528 | ) | 2,819 | — | — | |||||||||||||||||
Receipts from collection of intercompany loan | — | 4,766 | — | — | (4,766 | ) | — | ||||||||||||||||||
Proceeds from sale of property, plant and equipment | — | — | — | 6 | — | 6 | |||||||||||||||||||
Net cash used in investing activities | (2,839 | ) | (14,758 | ) | (54,865 | ) | (6,164 | ) | (4,766 | ) | (83,392 | ) | |||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||||||
Intercompany financing activity | — | 44,557 | (47,620 | ) | 3,063 | — | — | ||||||||||||||||||
Repayment of intercompany loan | — | — | — | (4,766 | ) | 4,766 | — | ||||||||||||||||||
Borrowings under secured revolving credit facility | — | — | — | 2,500 | — | 2,500 | |||||||||||||||||||
Payments on secured revolving credit facility | — | (50,000 | ) | — | (2,500 | ) | — | (52,500 | ) | ||||||||||||||||
Payment on debt issuance costs | — | (1,916 | ) | — | — | — | (1,916 | ) | |||||||||||||||||
Income tax benefit from stock-based compensation | — | 1,051 | 1,709 | — | — | 2,760 | |||||||||||||||||||
Withholdings from vesting of restricted stock | (2,846 | ) | — | — | — | — | (2,846 | ) | |||||||||||||||||
Proceeds from exercise of stock options | 5,685 | — | — | — | — | 5,685 | |||||||||||||||||||
Net cash provided by (used in) financing activities | 2,839 | (6,308 | ) | (45,911 | ) | (1,703 | ) | 4,766 | (46,317 | ) | |||||||||||||||
Effect of exchange rate changes on cash | — | — | — | (168 | ) | — | (168 | ) | |||||||||||||||||
Net increase in cash and cash equivalents | — | 131,992 | 6,657 | 10,093 | — | 148,742 | |||||||||||||||||||
Cash and cash equivalents, beginning of period | — | 219,866 | 283 | 13,345 | — | 233,494 | |||||||||||||||||||
Cash and cash equivalents, end of period | $ | — | $ | 351,858 | $ | 6,940 | $ | 23,438 | $ | — | $ | 382,236 | |||||||||||||
For the year end December 31, 2011 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Cash flows provided by (used in) operating activities: | $ | — | $ | 76,662 | $ | (2,897 | ) | $ | 7,309 | $ | — | $ | 81,074 | ||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||||||
Capital expenditures | — | (10,808 | ) | (32,680 | ) | (2,007 | ) | — | (45,495 | ) | |||||||||||||||
Intercompany investing activity | (4,605 | ) | 5,055 | (450 | ) | — | — | — | |||||||||||||||||
Issuance of intercompany loan | — | (4,766 | ) | — | — | 4,766 | — | ||||||||||||||||||
Acquisition of tradenames | — | (61,038 | ) | — | (169 | ) | — | (61,207 | ) | ||||||||||||||||
Proceeds from sale of property, plant and equipment | — | 10 | — | — | — | 10 | |||||||||||||||||||
Net cash used in investing activities | (4,605 | ) | (71,547 | ) | (33,130 | ) | (2,176 | ) | 4,766 | (106,692 | ) | ||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||||||
Proceeds from intercompany loan | — | — | — | 4,766 | (4,766 | ) | — | ||||||||||||||||||
Intercompany financing activity | — | (33,076 | ) | 29,855 | 3,221 | — | — | ||||||||||||||||||
Income tax benefit from stock-based compensation | — | 6,450 | 450 | — | — | 6,900 | |||||||||||||||||||
Withholdings from vesting of restricted stock | (2,181 | ) | — | — | — | — | (2,181 | ) | |||||||||||||||||
Proceeds from exercise of stock options | 6,786 | — | — | — | — | 6,786 | |||||||||||||||||||
Net cash provided by (used in) financing activities | 4,605 | (26,626 | ) | 30,305 | 7,987 | (4,766 | ) | 11,505 | |||||||||||||||||
Effect of exchange rate changes on cash | — | — | — | 225 | — | 225 | |||||||||||||||||||
Net (decrease) increase in cash and cash equivalents | — | (21,511 | ) | (5,722 | ) | 13,345 | — | (13,888 | ) | ||||||||||||||||
Cash and cash equivalents, beginning of period | — | 241,377 | 6,005 | — | — | 247,382 | |||||||||||||||||||
Cash and cash equivalents, end of period | $ | — | $ | 219,866 | $ | 283 | $ | 13,345 | $ | — | $ | 233,494 | |||||||||||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | |
Dec. 28, 2013 | ||
Accounting Policies [Abstract] | ' | |
PRINCIPLES OF CONSOLIDATION | ' | |
PRINCIPLES OF CONSOLIDATION | ||
The accompanying audited consolidated financial statements include the accounts of Carter's, Inc. and its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. | ||
RECLASSIFICATIONS | ' | |
RECLASSIFICATIONS | ||
Certain prior year amounts have been reclassified for comparative purposes. | ||
FISCAL YEAR | ' | |
FISCAL YEAR | ||
The Company's fiscal year ends on the Saturday, in December or January, nearest the last day of December, resulting in an additional week of results every five or six years. The accompanying audited consolidated financial statements reflect the Company's financial position as of December 28, 2013 and December 29, 2012 and results of operations for the fiscal years ended December 28, 2013 (also referred to as fiscal 2013), December 29, 2012 (fiscal 2012), and December 31, 2011 (fiscal 2011), each of which comprised 52 weeks. | ||
USE OF ESTIMATES IN THE PREPARATION OF THE CONSOLIDATED FINANCIAL STATEMENTS | ' | |
USE OF ESTIMATES IN THE PREPARATION OF THE CONSOLIDATED FINANCIAL STATEMENTS | ||
The preparation of these consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities, at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||
FOREIGN CURRENCY TRANSLATION AND TRANSACTIONS | ' | |
FOREIGN CURRENCY TRANSLATION AND TRANSACTIONS | ||
Translation adjustments | ||
The functional currency of substantially all of the Company's foreign operations is the local currency. Assets and liabilities are translated into U.S. dollars using the current exchange rates in effect at the balance sheet date, while revenues and expenses are translated at the average exchange rates for the period. The resulting translation adjustments are recorded as a component of accumulated other comprehensive income (loss) within the accompanying audited consolidated balance sheet. | ||
Transaction adjustments | ||
The Company also recognizes gains and losses on transactions that are denominated in a currency other than the respective entity's functional currency. Foreign currency transaction gains and losses include the mark-to-market adjustment related to open foreign currency exchange contracts, amounts realized on the settlement of foreign currency exchange contracts, and intercompany loans with foreign subsidiaries that are of a short-term investment nature. Foreign currency transaction gains and losses are recognized in earnings, as a separate component of other expense (income), net, within the audited consolidated statements of operations. | ||
CASH AND CASH EQUIVALENTS | ' | |
CASH AND CASH EQUIVALENTS | ||
The Company considers all highly liquid investments that have original maturities of three months or less to be cash equivalents. Cash and cash equivalents consist of deposit accounts, U.S. Treasury securities, and cash management funds invested in U.S. government instruments. These investments are stated at cost, which approximates fair value. | ||
ACCOUNTS RECEIVABLE | ' | |
Allowance for doubtful accounts | ||
The Company maintains an allowance for doubtful accounts for estimated losses resulting from the inability of its customers to make payments and other actual and estimated deductions. If the financial condition of a customer were to deteriorate, resulting in an impairment of its ability to make payments, an additional allowance could be required. Past due balances over 90 days are reviewed individually for collectibility. The Company's credit and collections department reviews all other balances regularly. Account balances are charged off against the allowance when it is probable that the receivable will not be recovered. The Company also records reserves for potential returns based on historical experience. | ||
Concentration of credit risk | ||
In each of fiscal 2013, 2012, and 2011, no one customer accounted for 10% or more of the Company's consolidated net sales. | ||
ACCOUNTS RECEIVABLE | ||
INVENTORIES | ' | |
INVENTORIES | ||
Inventories, which consist primarily of finished goods, are stated at the lower of cost (first-in, first-out basis for wholesale inventory and average cost for retail inventories) or market. The Company adjusts for slow-moving inventory equal to the difference between the cost of inventory and the estimated market value based upon assumptions about future demand and market conditions. The Company also adjusts its inventory to reflect estimated shrinkage based on historical trends. | ||
PROPERTY, PLANT, AND EQUIPMENT | ' | |
PROPERTY, PLANT, AND EQUIPMENT | ||
Property, plant, and equipment are stated at cost, less accumulated depreciation and amortization. When fixed assets are sold or otherwise disposed of, the accounts are relieved of the original cost of the assets and the related accumulated depreciation or amortization and any resulting profit or loss is credited or charged to income. For financial reporting purposes, depreciation and amortization are computed on the straight-line method over the estimated useful lives of the assets as follows: buildings and improvements from 15 to 26 years, retail store fixtures, equipment, and computers from 3 to 10 years, and computer software from 3 to 7 years. Leasehold improvements and fixed assets purchased under capital leases, if any, are amortized over the lesser of the asset life or related lease term. The Company capitalizes the cost of its fixtures designed and purchased for use at major wholesale accounts. The cost of these fixtures is amortized over 3 years. | ||
VALUATION OF GOODWILL AND OTHER INTANGIBILE ASSETS | ' | |
VALUATION OF GOODWILL AND OTHER INTANGIBILE ASSETS | ||
The Company's goodwill balance is comprised of amounts related to the acquisition of Carter's, Inc., and Bonnie Togs. The goodwill balances have indefinite useful lives and are not deductible for tax purposes. The Company's other intangible assets are comprised of tradenames and non-compete agreements. The tradenames are related to Carter's, OshKosh, Bonnie Togs, Carter's Watch the Wear, and H.W. Carter & Sons. The Carter's and OshKosh tradenames have indefinite useful lives. The Carter's Watch the Wear and H.W. Carter & Sons have definite lives and are being amortized on an accelerated basis over three years. The Bonnie Togs non-compete agreements for certain executives are being amortized over four years. | ||
Annual impairment reviews | ||
The carrying values of the goodwill and indefinite-lived tradename assets are subject to annual impairment reviews which are performed as of the last day of each fiscal year. Additionally, a review for potential impairment is performed whenever significant events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Significant assumptions in the impairment models include estimates of future cash flows, discount rates, and, in the case of tradenames, royalty rates. Based upon the Company's most recent assessment, performed as of December 28, 2013, there was no impairment in the value of goodwill or indefinite-lived tradename assets. | ||
Goodwill | ||
The Company performs impairment tests of its goodwill at the reporting unit level. The Company may utilize a qualitative assessment to determine if it is "more likely than not" that the fair value of the reporting unit is less than its carrying value. If so, the two-step goodwill impairment test is required to be performed. If not, no further testing is required and the Company documents the relevant qualitative factors that support the strength in its fair value. Qualitative factors may include, but are not limited to: macroeconomic conditions, industry and market considerations, cost factors that may have a negative effect on earnings, overall financial performance, and other relevant entity-specific events. | ||
The first step of a quantitative assessment, where one is deemed necessary, is to compare the fair value of the reporting unit to its carrying value, including goodwill. The Company uses a discounted cash flow model to determine the fair value, using assumptions consistent with those of hypothetical marketplace participants. If the fair value of a reporting unit is less than its carrying value, the second step of the impairment test must be performed. The second step compares the implied fair value of the reporting unit goodwill with the carrying value of that goodwill, in order to determine the amount of the impairment loss and charge to the consolidated statement of operations. | ||
Indefinite-lived Tradenames | ||
For indefinite-lived tradenames, the Company may utilize a qualitative assessment, as described above, to determine whether the fair value of an indefinite-lived asset is less than its carrying value. If a quantitative assessment is necessary, the Company determines fair value using a discounted cash flow model that uses the relief from royalty method. If the carrying amount exceeds the fair value, an impairment charge is recognized in the amount of the excess. | ||
IMPAIRMENT OF OTHER LONG-LIVED ASSETS | ' | |
IMPAIRMENT OF OTHER LONG-LIVED ASSETS | ||
The Company reviews other long-lived assets, including property, plant, and equipment, and licensing agreements, for impairment whenever events or changes in circumstances indicate that the carrying amount of such an asset may not be recoverable. Management will determine whether there has been a permanent impairment on such assets held for use in the business by comparing anticipated undiscounted future cash flows from the use and eventual disposition of the asset or asset group to the carrying value of the asset. The amount of any resulting impairment will be calculated by comparing the carrying value to fair value, which may be estimated using the present value of the same cash flows. Long-lived assets that meet the definition of held for sale will be valued at the lower of carrying amount or fair value. | ||
DEFERRED DEBT ISSUANCE COSTS | ' | |
DEFERRED DEBT ISSUANCE COSTS | ||
Debt issuance costs associated with the Company's secured revolving credit facility and senior notes are deferred and amortized to interest expense over the term of the related debt using the effective interest method. | ||
FAIR VALUE MEASUREMENTS | ' | |
FAIR VALUE MEASUREMENTS | ||
The fair value framework requires the Company to categorize certain assets and liabilities into three levels, based upon the assumptions used to price those assets or liabilities. The three levels are defined as follows: | ||
Level 1: | Quoted prices in active markets for identical assets or liabilities. | |
Level 2: | Quoted prices for similar assets and liabilities in active markets or inputs that are observable. | |
Level 3: | Unobservable inputs reflecting management's own assumptions about the inputs used in pricing the asset or liability. | |
The Company measures its contingent consideration liability, pension assets, foreign exchange forward contracts, and deferred compensation plan investment assets at fair value, as disclosed in the accompanying notes to the consolidated financial statements. The Company's cash and cash equivalents, accounts receivable, and accounts payable are short-term in nature. As such, their carrying value approximates fair value. | ||
The fair value of the Company’s total outstanding borrowings would have been disclosed as a Level 2 liability in the fair value hierarchy, had they been measured at fair value. The fair values are disclosed in the accompanying notes to the consolidated financial statements. | ||
DERIVATIVE INSTRUMENTS | ' | |
DERIVATIVE INSTRUMENTS | ||
The Company is exposed to market risk resulting from changes in foreign currency rates and interest rates, and as a result, enters into derivative instruments for risk management purposes or to satisfy requirements under previous contractual arrangements. The Company does not use derivative instruments for trading or other speculative purposes. | ||
When the Company enters into derivative instruments such instruments are recorded on the balance sheet at fair value. The accounting for changes in the fair value of derivative instruments is dependent upon whether the derivative has been designated as part of a hedging relationship and, further, is dependent upon the nature of the hedging relationship. The Company's foreign exchange contracts were not accounted for as hedges and therefore, any changes in the fair value of these contracts were recorded in foreign currency gain (loss) in the consolidated statements of operations. | ||
REVENUE RECOGNITION | ' | |
REVENUE RECOGNITION | ||
Revenues consist of sales to customers, net of returns, accommodations, allowances, deductions, and cooperative advertising. The Company considers revenue realized or realizable and earned when the product has been shipped, when title passes, when all risks and rewards of ownership have transferred, the sales price is fixed or determinable, and collectibility is reasonably assured. In certain cases, in which the Company retains the risk of loss during shipment, revenue recognition does not occur until the goods have reached the specified customer. | ||
In the normal course of business, the Company grants certain accommodations and allowances to its wholesale customers in order to assist these customers with inventory clearance and promotions. Such amounts are reflected as a reduction of net sales and are recorded based on agreements with customers, historical trends, and annual forecasts. | ||
The Company records its cooperative advertising arrangements with certain of its major wholesale customers at fair value. Fair value is determined based upon, among other factors, comparable market analysis for similar advertisements. The Company has included the fair value of these arrangements of approximately $3.9 million, $4.6 million, and $3.6 million for fiscal 2013, 2012, and 2011, respectively, as a component of selling, general, and administrative expenses on the accompanying audited consolidated statements of operations, rather than as a reduction of revenue. Amounts determined to be in excess of the fair value of these arrangements are recorded as a reduction of net sales. | ||
Retail store revenues are recognized at the point of sale. The Company reduces revenue for estimated customer returns and deductions. | ||
ACCOUNTING FOR SHIPPING AND HANDLING FEES AND COSTS | ' | |
ACCOUNTING FOR SHIPPING AND HANDLING FEES AND COSTS | ||
Shipping and handling costs include related labor costs, third-party shipping costs, shipping supplies, and certain distribution overhead. Such costs are absorbed by the Company and are included in selling, general, and administrative expenses. These costs amounted to approximately $59.1 million, $52.2 million, and $46.6 million for fiscal 2013, 2012, and 2011, respectively. | ||
With respect to the freight component of the Company's shipping and handling costs, certain customers arrange for shipping and pay the related freight costs directly to third parties. However, in the event that the Company arranges and pays the freight for these customers and bills them for this service, such amounts billed are included in revenue and the related cost is charged to cost of goods sold. In addition, shipping and handling costs billed to the Company's eCommerce customers are included in revenue and the related cost is charged to cost of goods sold. The Company billed customers approximately $12.1 million, $9.3 million, and $5.3 million for fiscal years 2013, 2012, and 2011, respectively. | ||
ROYALTIES AND LICENSE FEES | ' | |
ROYALTIES AND LICENSE FEES | ||
The Company licenses the Carter's, Just One You, Precious Firsts, Child of Mine, OshKosh B'gosh, OshKosh, and Genuine Kids from OshKosh trademarks to other companies for use on baby and young children's products, including bedding, outerwear, sleepwear, shoes, underwear, socks, room décor, toys, stationery, hair accessories, furniture, gear, and related products. These royalties are recorded as earned, based upon the sales of licensed products by licensees and reported as royalty income in the statements of operations. | ||
STOCK-BASED COMPENSATION ARRANGEMENTS | ' | |
STOCK-BASED COMPENSATION ARRANGEMENTS | ||
The Company recognizes the cost resulting from all stock-based payment transactions in the financial statements at grant date fair value. Stock-based compensation expense is recognized over the requisite service period, net of estimated forfeitures. | ||
Stock Options | ||
The Company determines the fair value of stock options using the Black-Scholes option pricing model, which requires the use of the following subjective assumptions: | ||
Volatility - This is a measure of the amount by which a stock price has fluctuated or is expected to fluctuate. The Company uses actual monthly historical changes in the market value of its stock covering the expected life of options being valued. An increase in the expected volatility will increase stock-based compensation expense. | ||
Risk-free interest rate - This is the U.S. Treasury rate as of the grant date having a term equal to the expected term of the stock option. An increase in the risk-free interest rate will increase stock-based compensation expense. | ||
Expected term - This is the period of time over which the stock options granted are expected to remain outstanding and is based on historical experience and estimated future exercise behavior. Separate groups of employees that have similar historical exercise behavior are considered separately for valuation purposes. An increase in the expected term will increase stock-based compensation expense. | ||
Dividend yield - The Company estimates a dividend yield based on the current dividend amount as a percentage of the current stock price. An increase in the dividend yield will decrease stock-based compensation expense. | ||
Forfeitures - The Company estimates forfeitures of stock-based awards based on historical experience and expected future activity. | ||
Changes in these subjective assumptions can materially affect the estimate of fair value of stock-based compensation expense and the related amount recognized in the audited consolidated statements of operations. | ||
Time-Based Restricted Stock Awards | ||
The fair value of time-based restricted stock awards is determined based on the quoted closing price of the Company's common stock on the date of grant and is recognized as compensation expense over the vesting term of the awards, net of estimated forfeitures. | ||
Performance-Based Restricted Stock Awards | ||
The Company accounts for its performance-based restricted stock awards based on the quoted closing price of the Company's common stock on the date of grant and records stock-based compensation expense over the vesting term of the awards based on the probability that the performance criteria will be achieved. The Company reassesses the probability of vesting at each reporting period and adjusts stock-based compensation expense based on its probability assessment. | ||
Stock Awards | ||
The fair value of stock granted to non-management board members is determined based on the quoted closing price of the Company's common stock on the date of grant. The Company records the stock-based compensation expense immediately as there are no vesting terms. | ||
INCOME TAXES | ' | |
INCOME TAXES | ||
The accompanying audited consolidated financial statements reflect current and deferred tax provisions. The deferred tax provision is determined under the liability method. Deferred tax assets and liabilities are recognized based on differences between the book and tax bases of assets and liabilities using presently enacted tax rates. Valuation allowances are established when it is “more likely than not” that a deferred tax asset will not be recovered. The provision for income taxes is the sum of the amount of income taxes paid or payable for the year as determined by applying the provisions of enacted tax laws to the taxable income for that year, the net change during the year in deferred tax assets and liabilities, and the net change during the year in any valuation allowances. | ||
The Company assesses its income tax positions and records tax benefits for all years subject to examination based upon management's evaluation of the facts, circumstances, and information available at the reporting dates. The Company determines whether it is "more likely than not" that a tax position will be sustained upon examination by the appropriate taxing authorities before any part of the benefit can be recorded in the financial statements. For those tax positions where it is not "more likely than not" that a tax benefit will be sustained, no tax benefit is recognized. Where applicable, associated interest and penalties are also recorded. Interest and penalties, if any, are recorded within the provision for incomes taxes in the consolidated statements of operations and are classified on the consolidated balance sheets with the related liability for uncertain tax contingency liabilities. | ||
EARNINGS PER SHARE | ' | |
EARNINGS PER SHARE | ||
The Company calculates basic and diluted net income per common share under the two-class method for unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid). | ||
Basic net income per share is calculated by dividing net income for the period by the weighted-average common shares outstanding for the period. Diluted net income per share includes the effect of dilutive instruments and uses the average share price for the period in determining the number of shares that are to be added to the weighted-average number of shares outstanding. | ||
EMPLOYEE BENEFIT PLANS | ' | |
EMPLOYEE BENEFIT PLANS | ||
The Company has several defined benefit plans. Various actuarial methods and assumptions are used in determining net pension and post-retirement costs and obligations. Key assumptions include the discount rate used to determine the present value of future benefits and the expected long-term rate of return on plan assets. The over-funded or under-funded status of the defined benefit plans is recorded as an asset or liability on the consolidated balance sheet. The gains or losses that arise during the period are recognized as a component of comprehensive income, net of tax. These costs are then subsequently recognized as components of net periodic benefit cost in the consolidated statements of operations. | ||
FACILITY CLOSURE AND OFFICE CONSOLIDATION | ' | |
FACILITY CLOSURE AND OFFICE CONSOLIDATION | ||
The Company records severance costs when the appropriate notifications have been made to affected employees or when the decision is made, if the benefits are contractual. When employees are required to work for a period before termination, the severance costs are recognized over the required service period. Relocation and recruitment costs are expensed as incurred. For operating leases, lease termination costs are recognized at fair value at the date the Company ceases to use the leased property and adjusted for the effects of deferred items recognized under the lease and reduced by estimated sub-lease rental income. Useful lives assigned to fixed assets at the facility to be closed are revised based on the specifics of the exit plan, resulting in accelerated depreciation expense. | ||
RENT EXPENSE AND DEFERRED RENT | ' | |
RENT EXPENSE AND DEFERRED RENT | ||
The Company enters into a significant number of lease transactions related to properties for its retail stores in addition to leases for offices, distribution facilities, and other uses. The lease agreements may contain provisions related to allowances for property improvements, rent escalation, and free rent periods. | ||
For property improvement allowances, the Company records a deferred lease credit on the consolidated balance sheet and amortizes the deferred lease credit as a reduction of rent expense over the terms of the applicable lease. For scheduled rent escalation clauses during the lease term, the Company records rent expense on a straight-line basis over the term of the lease. The difference between the rent expense and the amount payable under the lease is included within the Company's liabilities on the consolidated balance sheet. The term of the lease over which the Company amortizes allowances and minimum rental expenses on a straight-line basis begins on the date of initial possession, which is generally when the Company enters the space and/or begins construction. | ||
Where leases provide for contingent rents, which are generally determined as a percentage of gross sales, the Company records additional rent expense when management determines that achieving the specified level of revenue during the fiscal year is probable. Amounts accrued for contingent rent are included within the Company's liabilities on the consolidated balance sheet. | ||
SEASONALITY | ' | |
SEASONALITY | ||
The Company experiences seasonal fluctuations in its sales and profitability due to the timing of certain holidays and key retail shopping periods, typically resulting in lower sales and gross profit in the first half of its fiscal year. Accordingly, the Company's results of operations during the first half of the year may not be indicative of the results for the full year. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Accounting Policies [Abstract] | ' | |||||||
Components of accounts receivable | ' | |||||||
The components of accounts receivable, net, as of December 28, 2013 and December 29, 2012 are as follows: | ||||||||
(dollars in thousands) | December 28, 2013 | 29-Dec-12 | ||||||
Trade receivables | $ | 169,862 | $ | 159,586 | ||||
Royalties receivable | 9,260 | 11,020 | ||||||
Tenant allowances and other receivables | 24,197 | 5,028 | ||||||
Total gross receivables | $ | 203,319 | $ | 175,634 | ||||
Less: | ||||||||
Allowance for doubtful accounts | (9,308 | ) | (7,188 | ) | ||||
Sales returns reserve | (400 | ) | (400 | ) | ||||
Total reserves | $ | (9,708 | ) | $ | (7,588 | ) | ||
Accounts receivable, net | $ | 193,611 | $ | 168,046 | ||||
ACQUISITION_OF_BONNIE_TOGS_Tab
ACQUISITION OF BONNIE TOGS (Tables) | 12 Months Ended | |||
Dec. 28, 2013 | ||||
Business Combinations [Abstract] | ' | |||
Summary of changes in contingent consideration liability | ' | |||
The following table summarizes the changes in the contingent consideration liability (dollars in thousands): | ||||
Balance at July 2, 2011 | $ | 24,346 | ||
Accretion expense | 2,484 | |||
Foreign currency translation adjustment | (1,264 | ) | ||
Balance at December 31, 2011 | $ | 25,566 | ||
Accretion expense | 3,589 | |||
Foreign currency translation adjustment | 549 | |||
Balance at December 29, 2012 | 29,704 | |||
Payments made | (14,721 | ) | ||
Accretion expense | 2,825 | |||
Foreign currency translation adjustment | (1,460 | ) | ||
Balance at December 28, 2013 | $ | 16,348 | ||
Summary of pro forma information | ' | |||
The pro forma information does not necessarily reflect the actual results that would have occurred had the Company been combined during the periods presented, nor is it necessarily indicative of the future results of operations of the combined companies. | ||||
For the fiscal year ended | ||||
(dollars in thousands, except share data) | December 31, 2011 | |||
Pro forma net sales | $ | 2,156,000 | ||
Pro forma net income | $ | 121,000 | ||
Pro forma basic earnings per share | $ | 2.09 | ||
Pro forma diluted earnings per share | $ | 2.07 | ||
PROPERTY_PLANT_AND_EQUIPMENT_T
PROPERTY, PLANT, AND EQUIPMENT (Tables) | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property, plant, and equipment | ' | |||||||
Property, plant, and equipment, net consists of the following: | ||||||||
(dollars in thousands) | December 28, | December 29, | ||||||
2013 | 2012 | |||||||
Fixtures, equipment, and computers | $ | 269,515 | $ | 194,073 | ||||
Land, buildings, and improvements | 207,376 | 132,089 | ||||||
Marketing fixtures | 12,018 | 13,399 | ||||||
Construction in progress | 46,954 | 17,806 | ||||||
535,863 | 357,367 | |||||||
Accumulated depreciation and amortization | (227,978 | ) | (187,257 | ) | ||||
Total | $ | 307,885 | $ | 170,110 | ||||
GOODWILL_AND_OTHER_INTANGIBLE_1
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||||||
Intangible assets table | ' | ||||||||||||||||||||||||||
The Company’s goodwill and other intangible assets were as follows: | |||||||||||||||||||||||||||
28-Dec-13 | 29-Dec-12 | ||||||||||||||||||||||||||
(dollars in thousands) | Weighted-average useful life | Gross amount | Accumulated amortization | Net amount | Gross amount | Accumulated amortization | Net amount | ||||||||||||||||||||
Carter’s goodwill (1) | Indefinite | $ | 136,570 | $ | — | $ | 136,570 | $ | 136,570 | $ | — | $ | 136,570 | ||||||||||||||
Bonnie Togs goodwill (2) | Indefinite | $ | 49,507 | $ | — | $ | 49,507 | $ | 53,179 | $ | — | $ | 53,179 | ||||||||||||||
Total goodwill | $ | 186,077 | $ | — | $ | 186,077 | $ | 189,749 | $ | — | $ | 189,749 | |||||||||||||||
Carter’s tradename | Indefinite | $ | 220,233 | $ | — | $ | 220,233 | $ | 220,233 | $ | — | $ | 220,233 | ||||||||||||||
OshKosh tradename | Indefinite | $ | 85,500 | $ | — | $ | 85,500 | $ | 85,500 | $ | — | $ | 85,500 | ||||||||||||||
Other tradenames (3) | 3 years | $ | 38,007 | $ | 13,588 | $ | 24,419 | $ | — | $ | — | $ | — | ||||||||||||||
Bonnie Togs tradename (2) | 2 years | $ | 562 | $ | 562 | $ | — | $ | 604 | $ | 453 | $ | 151 | ||||||||||||||
Total tradenames | $ | 344,302 | $ | 14,150 | $ | 330,152 | $ | 306,337 | $ | 453 | $ | 305,884 | |||||||||||||||
Non-compete agreements (2) | 4 years | $ | 280 | $ | 174 | $ | 106 | $ | 301 | $ | 113 | $ | 188 | ||||||||||||||
Total tradenames and other intangibles, net | $ | 344,582 | $ | 14,324 | $ | 330,258 | $ | 306,638 | $ | 566 | $ | 306,072 | |||||||||||||||
-1 | $45.9 million of which relates to the Carter’s wholesale segment, $82.0 million of which relates to the Carter’s retail segment, and $8.6 million of which relates to the international segment. | ||||||||||||||||||||||||||
-2 | Relates to the international segment. The change in the gross amount of goodwill and other intangible assets reflect foreign currency translation adjustments for the applicable periods. | ||||||||||||||||||||||||||
-3 | Relates to the acquisition of worldwide rights to the Carter's Watch the Wear and H.W. Carter & Sons brands in June 2013. |
ACCUMULATED_OTHER_COMPREHENSIV1
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME (Tables) | 12 Months Ended | |||||||||||||||
Dec. 28, 2013 | ||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | |||||||||||||||
Schedule of accumulated other comprehensive (loss) income | ' | |||||||||||||||
Accumulated other comprehensive (loss) income is summarized as follows: | ||||||||||||||||
(dollars in thousands) | Pension liability adjustment | Post-retirement liability adjustment | Cumulative translation adjustment | Accumulated other comprehensive income (loss) | ||||||||||||
Balance at January 1, 2011 | $ | (2,894 | ) | $ | 1,004 | $ | — | $ | (1,890 | ) | ||||||
Current year change | (6,206 | ) | (62 | ) | (3,124 | ) | (9,392 | ) | ||||||||
Balance at December 31, 2011 | (9,100 | ) | 942 | (3,124 | ) | (11,282 | ) | |||||||||
Current year change | (1,163 | ) | 182 | 1,058 | 77 | |||||||||||
Balance at December 29, 2012 | (10,263 | ) | 1,124 | (2,066 | ) | (11,205 | ) | |||||||||
Current year change | 6,238 | 371 | (5,486 | ) | 1,123 | |||||||||||
Balance at December 28, 2013 | $ | (4,025 | ) | $ | 1,495 | $ | (7,552 | ) | $ | (10,082 | ) | |||||
LONGTERM_DEBT_Tables
LONG-TERM DEBT (Tables) | 12 Months Ended | ||||||||
Dec. 28, 2013 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
Schedule of long-term debt | ' | ||||||||
Long-term debt consisted of the following: | |||||||||
(dollars in thousands) | December 28, | December 29, | |||||||
2013 | 2012 | ||||||||
Senior notes due 2021 | $ | 400,000 | $ | — | |||||
Secured revolving credit facility | 186,000 | 186,000 | |||||||
Total long-term debt | $ | 586,000 | $ | 186,000 | |||||
Schedule of redemption price applicable where redemption occurs | ' | ||||||||
The redemption price applicable where the redemption occurs during the twelve-month period beginning on August 15 of each of the years indicated is as follows: | |||||||||
Year | Percentage | ||||||||
2017 | 102.63 | % | |||||||
2018 | 101.31 | % | |||||||
2019 and thereafter | 100 | % |
STOCKBASED_COMPENSATION_Tables
STOCK-BASED COMPENSATION (Tables) | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||
Summary of recorded stock-based compensation cost | ' | |||||||||||
The Company recorded stock-based compensation cost as follows: | ||||||||||||
For the fiscal years ended | ||||||||||||
(dollars in thousands) | December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | ||||||||||
Stock options | $ | 4,728 | $ | 4,093 | $ | 3,546 | ||||||
Restricted stock: | ||||||||||||
Time-based awards | 6,732 | 5,376 | 4,624 | |||||||||
Performance-based awards | 4,127 | 2,395 | 304 | |||||||||
Stock awards | 453 | 1,185 | 1,170 | |||||||||
Total | $ | 16,040 | $ | 13,049 | $ | 9,644 | ||||||
Summary of stock option activity | ' | |||||||||||
Changes in the Company's stock options for the fiscal year ended December 28, 2013 are as follows: | ||||||||||||
Number of shares | Weighted- average exercise price | Weighted-average remaining contractual terms (years) | Aggregate intrinsic value | |||||||||
(in thousands) | ||||||||||||
Outstanding, December 29, 2012 | 2,078,433 | $26.14 | ||||||||||
Granted | 350,800 | $59.84 | ||||||||||
Exercised | (669,834 | ) | $19.28 | |||||||||
Forfeited | (80,791 | ) | $37.71 | |||||||||
Expired | (867 | ) | $30.17 | |||||||||
Outstanding, December 28, 2013 | 1,677,741 | $35.37 | 6.91 | $ | 59,895 | |||||||
Vested and Expected to Vest, December 28, 2013 | 1,596,523 | $34.83 | 6.87 | $ | 57,857 | |||||||
Exercisable, December 28, 2013 | 834,353 | $25.22 | 5.6 | $ | 38,256 | |||||||
Assumptions used for grants and summary of stock options and restricted stock activity | ' | |||||||||||
The table below presents the assumptions used to calculate the fair value of options granted in each of the respective fiscal years: | ||||||||||||
For the fiscal years ended | ||||||||||||
December 28, | December 29, | December 31, | ||||||||||
2013 | 2012 | 2011 | ||||||||||
Expected volatility | 33.15 | % | 34.74 | % | 34.98 | % | ||||||
Risk-free interest rate | 1.15 | % | 1.37 | % | 2.62 | % | ||||||
Expected term (years) | 6 | 5.9 | 6.7 | |||||||||
Dividend yield | 0.91 | % | — | — | ||||||||
Weighted average fair value of options granted | $ | 20.21 | $ | 15.28 | $ | 11.85 | ||||||
Summary of restricted stock award activity | ' | |||||||||||
The following table summarizes activity related to all restricted stock awards during the fiscal year ended December 28, 2013: | ||||||||||||
Restricted | Weighted-average grant-date | |||||||||||
stock | fair value | |||||||||||
awards | ||||||||||||
Outstanding, December 29, 2012 | 766,929 | $ | 33.97 | |||||||||
Granted | 319,773 | 59.95 | ||||||||||
Vested | (237,355 | ) | 31.4 | |||||||||
Forfeited | (63,158 | ) | 39.47 | |||||||||
Outstanding, December 28, 2013 | 786,189 | $ | 44.87 | |||||||||
Summary of issued shares of common stock to non-management board members | ' | |||||||||||
During fiscal 2011, 2012, and 2013, the Company issued shares of common stock to its non-management board members, as follows: | ||||||||||||
Number of shares issued | Fair value per share | Aggregate value (in thousands) | ||||||||||
2011 | 38,520 | $30.38 | $1,170 | |||||||||
2012 | 21,708 | $49.76 | $1,080 | |||||||||
2013 | 16,173 | $66.79 | $1,080 |
EMPLOYEE_BENEFIT_PLANS_Tables
EMPLOYEE BENEFIT PLANS (Tables) | 12 Months Ended | |||||||||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||||||||||||
Reconciliation of changes in the projected pension benefit obligation and plan assets | ' | |||||||||||||||||||||||||
A reconciliation of changes in the projected pension benefit obligation and plan assets is as follows: | ||||||||||||||||||||||||||
For the fiscal years ended | ||||||||||||||||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | ||||||||||||||||||||||||
Change in projected benefit obligation: | ||||||||||||||||||||||||||
Projected benefit obligation at beginning of year | $ | 59,331 | $ | 53,928 | ||||||||||||||||||||||
Interest cost | 2,335 | 2,388 | ||||||||||||||||||||||||
Actuarial (gain) loss | (6,490 | ) | 4,503 | |||||||||||||||||||||||
Benefits paid | (1,790 | ) | (1,488 | ) | ||||||||||||||||||||||
Projected benefit obligation at end of year | $ | 53,386 | $ | 59,331 | ||||||||||||||||||||||
Change in plan assets: | ||||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 45,774 | $ | 42,470 | ||||||||||||||||||||||
Actual return on plan assets | 5,634 | 4,792 | ||||||||||||||||||||||||
Benefits paid | (1,790 | ) | (1,488 | ) | ||||||||||||||||||||||
Fair value of plan assets at end of year | $ | 49,618 | $ | 45,774 | ||||||||||||||||||||||
Unfunded status | $ | 3,768 | $ | 13,557 | ||||||||||||||||||||||
Components of post retirement benefit expense and pension expense | ' | |||||||||||||||||||||||||
The components of post-retirement benefit expense charged to the statement of operations are as follows: | ||||||||||||||||||||||||||
For the fiscal years ended | ||||||||||||||||||||||||||
(dollars in thousands) | December 28, | December 29, | December 31, | |||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Service cost – benefits attributed to service during the period | $ | 161 | $ | 135 | $ | 130 | ||||||||||||||||||||
Interest cost on accumulated post-retirement benefit obligation | 231 | 282 | 390 | |||||||||||||||||||||||
Amortization net actuarial gain | (135 | ) | (84 | ) | (49 | ) | ||||||||||||||||||||
Curtailment gain | (278 | ) | — | — | ||||||||||||||||||||||
Total net periodic post-retirement benefit (income) cost | $ | (21 | ) | $ | 333 | $ | 471 | |||||||||||||||||||
The net periodic pension cost (benefit) included in the statement of operations was comprised of: | ||||||||||||||||||||||||||
For the fiscal years ended | ||||||||||||||||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | December 31, 2011 | |||||||||||||||||||||||
Interest cost | $ | 2,335 | $ | 2,388 | $ | 2,454 | ||||||||||||||||||||
Expected return on plan assets | (3,058 | ) | (2,852 | ) | (3,112 | ) | ||||||||||||||||||||
Recognized actuarial loss | 831 | 710 | 1 | |||||||||||||||||||||||
Net periodic pension cost (benefit) | $ | 108 | $ | 246 | $ | (657 | ) | |||||||||||||||||||
Schedule of assumptions used in actuarial computations | ' | |||||||||||||||||||||||||
The actuarial computations utilized the following assumptions, using year-end measurement dates: | ||||||||||||||||||||||||||
Benefit obligation | 2013 | 2012 | ||||||||||||||||||||||||
Discount rate | 4.75% | 4.00% | ||||||||||||||||||||||||
Net periodic pension cost | 2013 | 2012 | 2011 | |||||||||||||||||||||||
Discount rate | 4.00% | 4.50% | 5.50% | |||||||||||||||||||||||
Expected long-term rate of return on assets | 7.00% | 7.00% | 7.50% | |||||||||||||||||||||||
The actuarial computations utilized the following assumptions, using year-end measurement dates: | ||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||
Benefit obligation | ||||||||||||||||||||||||||
Discount rate | 4.25% | 3.50% | ||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Net periodic pension cost | ||||||||||||||||||||||||||
Discount rate | 3.50% | 4.00% | 5.50% | |||||||||||||||||||||||
Expected benefit payments for defined benefit pension plans for the next ten fiscal years | ' | |||||||||||||||||||||||||
The Company currently expects benefit payments for its defined benefit pension plans as follows for the next ten fiscal years; | ||||||||||||||||||||||||||
(dollars in thousands) | ||||||||||||||||||||||||||
Fiscal Year | ||||||||||||||||||||||||||
2014 | $ | 2,010 | ||||||||||||||||||||||||
2015 | $ | 1,780 | ||||||||||||||||||||||||
2016 | $ | 1,890 | ||||||||||||||||||||||||
2017 | $ | 2,330 | ||||||||||||||||||||||||
2018 | $ | 2,170 | ||||||||||||||||||||||||
2019-2023 | $ | 13,850 | ||||||||||||||||||||||||
Fair value of the Company's pension plan assets by category | ' | |||||||||||||||||||||||||
The fair value of the Company's pension plan assets at December 28, 2013 and December 29, 2012 by asset category were as follows: | ||||||||||||||||||||||||||
December 28, 2013 | December 29, 2012 | |||||||||||||||||||||||||
(dollars in thousands) | Total | Level 1 | Level 2 | Total | Level 1 | Level 2 | ||||||||||||||||||||
Asset Category | ||||||||||||||||||||||||||
Cash and cash equivalents | $ | 117 | $ | — | $ | 117 | $ | 104 | $ | — | $ | 104 | ||||||||||||||
Equity Securities: | ||||||||||||||||||||||||||
U.S. Large-Cap blend (a) | 11,250 | 5,623 | 5,627 | 10,574 | 5,292 | 5,282 | ||||||||||||||||||||
U.S. Large-Cap growth | 5,630 | 5,630 | — | 5,284 | 5,284 | — | ||||||||||||||||||||
U.S. Mid-Cap growth | 3,473 | — | 3,473 | 2,446 | — | 2,446 | ||||||||||||||||||||
U.S. Small-Cap blend | 1,486 | 1,486 | — | 2,456 | 2,456 | — | ||||||||||||||||||||
International blend | 1,486 | 1,486 | — | 2,283 | 2,283 | — | ||||||||||||||||||||
Fixed income securities: | ||||||||||||||||||||||||||
Corporate bonds (b) | 21,257 | 21,257 | — | 18,761 | 18,761 | — | ||||||||||||||||||||
Real estate (c) | 4,919 | 4,919 | — | 3,866 | 3,866 | — | ||||||||||||||||||||
$ | 49,618 | $ | 40,401 | $ | 9,217 | $ | 45,774 | $ | 37,942 | $ | 7,832 | |||||||||||||||
(a) This category comprises low-cost equity index funds not actively managed that track the S&P 500. | ||||||||||||||||||||||||||
(b) This category invests in both U.S. Treasuries and mid-term corporate debt from U.S. issuers from diverse industries. | ||||||||||||||||||||||||||
(c) This category invests in active management of U.S. commercial real estate projects. | ||||||||||||||||||||||||||
Reconciliation of accumulated post retirement benefit obligation | ' | |||||||||||||||||||||||||
The following is a reconciliation of the accumulated post-retirement benefit obligation (“APBO”) under this plan: | ||||||||||||||||||||||||||
For the fiscal years ended | ||||||||||||||||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | ||||||||||||||||||||||||
APBO at beginning of period | $ | 6,876 | $ | 7,335 | ||||||||||||||||||||||
Service cost | 161 | 135 | ||||||||||||||||||||||||
Interest cost | 231 | 282 | ||||||||||||||||||||||||
Actuarial gain | (716 | ) | (372 | ) | ||||||||||||||||||||||
Plan participants' contribution | 19 | 23 | ||||||||||||||||||||||||
Benefits paid | (563 | ) | (527 | ) | ||||||||||||||||||||||
Curtailment gain | (278 | ) | — | |||||||||||||||||||||||
APBO at end of period | $ | 5,730 | $ | 6,876 | ||||||||||||||||||||||
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
Provision for income taxes | ' | |||||||||||
The components of income before income taxes are as follows: | ||||||||||||
For the fiscal years ended | ||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | December 31, 2011 | |||||||||
Domestic | $ | 223,907 | $ | 239,159 | $ | 174,627 | ||||||
Foreign | 25,558 | 16,232 | 6,261 | |||||||||
Total | $ | 249,465 | $ | 255,391 | $ | 180,888 | ||||||
The provision for income taxes consists of the following: | ||||||||||||
For the fiscal years ended | ||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | December 31, 2011 | |||||||||
Current tax provision: | ||||||||||||
Federal | $ | 71,696 | $ | 87,070 | $ | 48,141 | ||||||
State | 8,486 | 8,905 | 4,550 | |||||||||
Foreign | 8,280 | 7,917 | 5,053 | |||||||||
Total current provision | $ | 88,462 | $ | 103,892 | $ | 57,744 | ||||||
Deferred tax provision (benefit): | ||||||||||||
Federal | $ | 1,412 | $ | (7,815 | ) | $ | 10,511 | |||||
State | (942 | ) | (846 | ) | 309 | |||||||
Foreign | 126 | (990 | ) | (1,692 | ) | |||||||
Total deferred provision | 596 | (9,651 | ) | 9,128 | ||||||||
Total provision | $ | 89,058 | $ | 94,241 | $ | 66,872 | ||||||
Federal statutory tax rate reconciliation | ' | |||||||||||
The difference between the Company's effective income tax rate and the federal statutory tax rate is reconciled below: | ||||||||||||
For the fiscal years ended | ||||||||||||
December 28, 2013 | December 29, 2012 | December 31, 2011 | ||||||||||
Statutory federal income tax rate | 35 | % | 35 | % | 35 | % | ||||||
State income taxes, net of federal income tax benefit | 2.5 | % | 2.5 | % | 2.6 | % | ||||||
Impact of foreign operations | (1.4 | )% | (0.7 | )% | (0.3 | )% | ||||||
Settlement of uncertain tax positions | (0.4 | )% | (0.5 | )% | (1.0 | )% | ||||||
Acquisition expenses | — | % | 0.6 | % | 0.7 | % | ||||||
Total | 35.7 | % | 36.9 | % | 37 | % | ||||||
Components of deferred tax assets and liabilities | ' | |||||||||||
Components of deferred tax assets and liabilities were as follows: | ||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | ||||||||||
Deferred tax assets: | Assets (Liabilities) | |||||||||||
Accounts receivable allowance | $ | 4,783 | $ | 4,036 | ||||||||
Inventory | 12,378 | 8,974 | ||||||||||
Accrued liabilities | 14,829 | 16,361 | ||||||||||
Equity-based compensation | 9,001 | 8,795 | ||||||||||
Deferred employee benefits | 5,111 | 8,626 | ||||||||||
Deferred rent | 31,855 | 15,543 | ||||||||||
Other | 5,050 | 5,333 | ||||||||||
Total deferred tax assets | $ | 83,007 | $ | 67,668 | ||||||||
Deferred tax liabilities: | ||||||||||||
Depreciation | $ | (54,809 | ) | $ | (29,141 | ) | ||||||
Tradename and licensing agreements | (108,155 | ) | (114,140 | ) | ||||||||
Other | (4,164 | ) | (3,053 | ) | ||||||||
Total deferred tax liabilities | $ | (167,128 | ) | $ | (146,334 | ) | ||||||
Net deferred tax liability | ' | |||||||||||
The net deferred tax liability is classified on the accompanying audited consolidated balance sheets as follows: | ||||||||||||
(dollars in thousands) | December 28, 2013 | December 29, 2012 | ||||||||||
Assets (Liabilities) | ||||||||||||
Current net deferred tax asset | $ | 37,313 | $ | 35,675 | ||||||||
Non-current net deferred tax liability | (121,434 | ) | (114,341 | ) | ||||||||
Total deferred tax liability | $ | (84,121 | ) | $ | (78,666 | ) | ||||||
Unrecognized tax benefits | ' | |||||||||||
The following is a reconciliation of the beginning and ending amount of unrecognized tax benefits: | ||||||||||||
(dollars in thousands) | ||||||||||||
Balance at January 1, 2011 | $ | 8,681 | ||||||||||
Additions based on tax positions related to fiscal 2011 | 2,100 | |||||||||||
Reductions for prior year tax positions | — | |||||||||||
Reductions for lapse of statute of limitations | (1,727 | ) | ||||||||||
Reductions for prior year tax settlements | (709 | ) | ||||||||||
Balance at December 31, 2011 | $ | 8,345 | ||||||||||
Additions based on tax positions related to fiscal 2012 | 2,384 | |||||||||||
Additions for prior year tax positions | 1,020 | |||||||||||
Reductions for lapse of statute of limitations | (1,831 | ) | ||||||||||
Reductions for prior year tax settlements | (155 | ) | ||||||||||
Balance at December 29, 2012 | $ | 9,763 | ||||||||||
Additions based on tax positions related to fiscal 2013 | 3,200 | |||||||||||
Reductions for prior year tax positions | (375 | ) | ||||||||||
Reductions for lapse of statute of limitations | (1,029 | ) | ||||||||||
Reductions for prior year tax settlements | (377 | ) | ||||||||||
Balance at December 28, 2013 | $ | 11,182 | ||||||||||
EARNINGS_PER_SHARE_Tables
EARNINGS PER SHARE (Tables) | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||
Reconciliation of basic common shares outstanding to diluted common and common equivalent shares outstanding | ' | |||||||||||
The following is a reconciliation of basic common shares outstanding to diluted common and common equivalent shares outstanding: | ||||||||||||
For the fiscal years ended | ||||||||||||
December 28, | December 29, | December 31, | ||||||||||
2013 | 2012 | 2011 | ||||||||||
Weighted-average number of common and common equivalent shares outstanding: | ||||||||||||
Basic number of common shares outstanding | 56,931,216 | 58,217,503 | 57,513,748 | |||||||||
Dilutive effect of equity awards | 590,951 | 851,684 | 701,169 | |||||||||
Diluted number of common and common equivalent shares outstanding | 57,522,167 | 59,069,187 | 58,214,917 | |||||||||
Earnings per share: | ||||||||||||
(dollars in thousands, except per share data) | ||||||||||||
Basic net income per common share: | ||||||||||||
Net income | $ | 160,407 | $ | 161,150 | $ | 114,016 | ||||||
Income allocated to participating securities | (2,144 | ) | (2,095 | ) | (1,211 | ) | ||||||
Net income available to common shareholders | $ | 158,263 | $ | 159,055 | $ | 112,805 | ||||||
Basic net income per common share | $ | 2.78 | $ | 2.73 | $ | 1.96 | ||||||
Diluted net income per common share: | ||||||||||||
Net income | $ | 160,407 | $ | 161,150 | $ | 114,016 | ||||||
Income allocated to participating securities | (2,126 | ) | (2,072 | ) | (1,199 | ) | ||||||
Net income available to common shareholders | $ | 158,281 | $ | 159,078 | $ | 112,817 | ||||||
Diluted net income per common share | $ | 2.75 | $ | 2.69 | $ | 1.94 | ||||||
Anti-dilutive shares excluded from dilutive earnings per share calculations (1) | 355,900 | 613,000 | 935,000 | |||||||||
(1) The volume of antidilutive shares is, in part, due to the related unamortized compensation costs. |
SEGMENT_INFORMATION_Tables
SEGMENT INFORMATION (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
Schedule of segment information | ' | ||||||||||||||||||||
The table below presents certain segment information for the periods indicated: | |||||||||||||||||||||
For the fiscal years ended | |||||||||||||||||||||
(dollars in thousands) | December 28, | % of | December 29, | % of | December 31, | % of Total | |||||||||||||||
2013 | Total | 2012 | Total | 2011 | |||||||||||||||||
Net sales: | |||||||||||||||||||||
Carter’s Wholesale | $ | 1,035,420 | 39.2 | % | $ | 981,445 | 41.2 | % | $ | 939,115 | 44.5 | % | |||||||||
Carter’s Retail (a) | 954,160 | 36.2 | % | 818,909 | 34.4 | % | 671,590 | 31.8 | % | ||||||||||||
Total Carter’s | 1,989,580 | 75.4 | % | 1,800,354 | 75.6 | % | 1,610,705 | 76.3 | % | ||||||||||||
OshKosh Retail (a) | 289,311 | 11 | % | 283,343 | 11.9 | % | 280,900 | 13.3 | % | ||||||||||||
OshKosh Wholesale | 74,564 | 2.8 | % | 79,752 | 3.3 | % | 81,888 | 3.9 | % | ||||||||||||
Total OshKosh | 363,875 | 13.8 | % | 363,095 | 15.2 | % | 362,788 | 17.2 | % | ||||||||||||
International (b) | 285,256 | 10.8 | % | 218,285 | 9.2 | % | 136,241 | 6.5 | % | ||||||||||||
Total net sales | $ | 2,638,711 | 100 | % | $ | 2,381,734 | 100 | % | $ | 2,109,734 | 100 | % | |||||||||
Operating income (loss): | % of | % of | % of | ||||||||||||||||||
segment | segment | segment | |||||||||||||||||||
net sales | net sales | net sales | |||||||||||||||||||
Carter’s Wholesale | $ | 185,501 | 17.9 | % | $ | 172,673 | 17.6 | % | $ | 117,897 | 12.6 | % | |||||||||
Carter’s Retail (a) | 181,169 | 19 | % | 145,940 | 17.8 | % | 105,818 | 15.8 | % | ||||||||||||
Total Carter’s | 366,670 | 18.4 | % | 318,613 | 17.7 | % | 223,715 | 13.9 | % | ||||||||||||
OshKosh Retail (a) | (1,433 | ) | (0.5 | )% | (7,752 | ) | (2.7 | )% | (9,658 | ) | (3.4 | )% | |||||||||
OshKosh Wholesale | 9,796 | 13.1 | % | 4,086 | 5.1 | % | 822 | 1 | % | ||||||||||||
Total OshKosh | 8,363 | 2.3 | % | (3,666 | ) | (1.0 | )% | (8,836 | ) | (2.4 | )% | ||||||||||
International (b) (c) | 40,641 | 14.2 | % | 43,376 | 19.9 | % | 27,273 | 20 | % | ||||||||||||
Total segment operating income | 415,674 | 15.8 | % | 358,323 | 15 | % | 242,152 | 11.5 | % | ||||||||||||
Corporate expenses (d) (e) (f) | (151,523 | ) | (5.7 | )% | (96,337 | ) | (4.0 | )% | (54,686 | ) | (2.6 | )% | |||||||||
Total operating income | $ | 264,151 | 10 | % | $ | 261,986 | 11 | % | $ | 187,466 | 8.9 | % | |||||||||
(a) | Includes eCommerce results. | ||||||||||||||||||||
(b) | Net sales include international retail, eCommerce, and wholesale sales. Operating income includes international licensing income. | ||||||||||||||||||||
(c) | Includes a charge of $6.7 million for the fiscal year ended December 31, 2011 related to the amortization of the fair value step-up for Bonnie Togs inventory acquired. Includes charges of $2.8 million and $3.6 million for the fiscal years ended December 28, 2013 and December 29, 2012, respectively, associated with the revaluation of the Company’s contingent consideration. Includes a charge of $4.1 million for the fiscal year ended December 28, 2013, related to the Company's exit from retail operations in Japan. | ||||||||||||||||||||
(d) | Corporate expenses generally include expenses related to incentive compensation, stock-based compensation, executive management, severance and relocation, finance, building occupancy, information technology, certain legal fees, consulting, and audit fees. | ||||||||||||||||||||
(e) | Includes $3.0 million of professional service fees associated with the acquisition of Bonnie Togs during the fiscal year ended December 31, 2011. | ||||||||||||||||||||
(f) Includes the following charges: | |||||||||||||||||||||
For the fiscal years ended | |||||||||||||||||||||
(dollars in millions) | December 28, 2013 | December 29, 2012 | |||||||||||||||||||
Office consolidation costs | $ | 33.3 | $ | 6.4 | |||||||||||||||||
Amortization of H.W. Carter and Sons tradenames | $ | 13.6 | $ | — | |||||||||||||||||
Closure of distribution facility in Hogansville, GA | $ | 1.9 | $ | 3.1 | |||||||||||||||||
Inventory, net, by segment | ' | ||||||||||||||||||||
The table below represents inventory, net, by segment: | |||||||||||||||||||||
For the fiscal years ended | |||||||||||||||||||||
(dollars in thousands) | 28-Dec-13 | 29-Dec-12 | |||||||||||||||||||
Carter's Wholesale | $ | 232,419 | $ | 191,988 | |||||||||||||||||
Carter's Retail | 79,451 | 67,167 | |||||||||||||||||||
OshKosh Retail | 28,690 | 23,914 | |||||||||||||||||||
OshKosh Wholesale | 30,977 | 30,185 | |||||||||||||||||||
International | 46,217 | 36,276 | |||||||||||||||||||
Total | $ | 417,754 | $ | 349,530 | |||||||||||||||||
Property, plant, and equipment, net, by geographic area | ' | ||||||||||||||||||||
The following represents property, plant, and equipment, net, by geographic area: | |||||||||||||||||||||
(dollars in thousands) | 28-Dec-13 | 29-Dec-12 | |||||||||||||||||||
United States | $ | 282,517 | $ | 149,357 | |||||||||||||||||
International | 25,368 | 20,753 | |||||||||||||||||||
Total | $ | 307,885 | $ | 170,110 | |||||||||||||||||
FAIR_VALUE_MEASUREMENTS_Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||||||
Assets and liabilities measured at fair value table | ' | ||||||||||||||||||||||||
The following table summarizes assets and liabilities measured at fair value on a recurring basis: | |||||||||||||||||||||||||
December 28, 2013 | December 29, 2012 | ||||||||||||||||||||||||
(dollars in millions) | Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | |||||||||||||||||||
Assets | |||||||||||||||||||||||||
Investments | $ | 5.4 | $ | — | $ | — | $ | 3.2 | $ | — | $ | — | |||||||||||||
Liabilities | |||||||||||||||||||||||||
Contingent consideration | $ | — | $ | — | $ | 16.3 | $ | — | $ | — | $ | 29.7 | |||||||||||||
Significant unobservable inputs for Level 3 fair value measurements table | ' | ||||||||||||||||||||||||
The following summarizes the significant unobservable inputs for the Company's Level 3 fair value measurements at December 28, 2013: | |||||||||||||||||||||||||
(dollars in millions) | Fair Value (USD) | Valuation | Unobservable | Amount (CAD) | |||||||||||||||||||||
technique | inputs | ||||||||||||||||||||||||
Contingent consideration | $ | 16.3 | Discounted cash flow | Estimated contingent consideration payment | C$ | 20 | |||||||||||||||||||
Discount rate | 18 | % | |||||||||||||||||||||||
Probability assumption | 100 | % |
OTHER_CURRENT_AND_LONGTERM_LIA1
OTHER CURRENT AND LONG-TERM LIABILITIES (Tables) | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Other Liabilities Disclosure [Abstract] | ' | |||||||
Schedule of other current liabilities | ' | |||||||
Other current liabilities consisted of the following: | ||||||||
(dollars in thousands) | 28-Dec-13 | 29-Dec-12 | ||||||
Accrued bonuses and incentive compensation | $ | 19,579 | $ | 30,541 | ||||
Contingent consideration | 8,964 | 14,442 | ||||||
Accrued workers' compensation | 7,236 | 5,446 | ||||||
Accrued sales and use taxes | 8,486 | 5,402 | ||||||
Accrued salaries and wages | 7,609 | 5,517 | ||||||
Accrued gift certificates | 7,899 | 6,011 | ||||||
Accrued 401(k) contributions | 8,775 | 6,200 | ||||||
Accrued closure costs | 10,656 | 4,251 | ||||||
Other current liabilities | 25,925 | 16,800 | ||||||
Total | $ | 105,129 | $ | 94,610 | ||||
Schedule of other long-term liabilities | ' | |||||||
Other long-term liabilities consisted of the following: | ||||||||
(dollars in thousands) | 28-Dec-13 | 29-Dec-12 | ||||||
Deferred lease incentives | $ | 68,876 | $ | 29,913 | ||||
Accrued rent | 31,821 | 20,485 | ||||||
Contingent consideration | 7,384 | 15,262 | ||||||
OshKosh pension plan | 3,768 | 13,557 | ||||||
Unrecognized tax benefits | 11,947 | 10,479 | ||||||
Post-retirement medical plan | 5,055 | 6,201 | ||||||
Deferred compensation | 6,225 | 3,996 | ||||||
Other | 104 | 161 | ||||||
Total | $ | 135,180 | $ | 100,054 | ||||
FACILITY_CLOSURE_Tables
FACILITY CLOSURE (Tables) | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||
Schedule of restructuring and related costs | ' | |||||||||||
The total amount of charges was included in selling, general, and administrative expenses and consisted of the following components: | ||||||||||||
For the fiscal years ended | ||||||||||||
(dollars in millions) | December 28, 2013 | December 29, 2012 | ||||||||||
Severance | $ | 0.4 | $ | 2 | ||||||||
Accelerated depreciation | $ | 0.7 | $ | 0.9 | ||||||||
Other closure costs | $ | 0.8 | $ | 0.2 | ||||||||
Total | $ | 1.9 | $ | 3.1 | ||||||||
The total amount of charges was included in selling, general, and administrative expenses and consisted of the following: | ||||||||||||
For the fiscal years ended | ||||||||||||
(dollars in millions) | December 28, 2013 | December 29, 2012 | ||||||||||
Severance and other benefits | 4.8 | $ | 2.2 | |||||||||
Accelerated depreciation | $ | 4 | $ | 1.1 | ||||||||
Other closure costs | 24.5 | $ | 3.1 | |||||||||
Total | $ | 33.3 | $ | 6.4 | ||||||||
Schedule of restructuring reserve | ' | |||||||||||
The following table summarizes restructuring reserves related to the office consolidation which are included in other current liabilities in the accompanying unaudited condensed consolidated balance sheet as of December 28, 2013: | ||||||||||||
(dollars in thousands) | Severance | Other closure costs | Total | |||||||||
Balance at December 29, 2012 | 2,212 | — | 2,212 | |||||||||
Provision | 4,840 | 24,545 | 29,385 | |||||||||
Payments | (2,351 | ) | (22,822 | ) | (25,173 | ) | ||||||
Balance at December 28, 2013 | 4,701 | 1,723 | 6,424 | |||||||||
The following table summarizes restructuring reserves related to the closure of the Hogansville facility which are included in other current liabilities in the accompanying audited consolidated balance sheet: | ||||||||||||
(dollars in thousands) | Severance | Other closure costs | Total | |||||||||
Balance at December 29, 2012 | 2,039 | — | 2,039 | |||||||||
Provision | 382 | 781 | 1,163 | |||||||||
Payments | (1,225 | ) | (645 | ) | (1,870 | ) | ||||||
Balance at December 28, 2013 | $ | 1,196 | $ | 136 | $ | 1,332 | ||||||
LEASE_COMMITMENTS_Tables
LEASE COMMITMENTS (Tables) | 12 Months Ended | ||||
Dec. 28, 2013 | |||||
Leases [Abstract] | ' | ||||
Minimum annual rental commitments under current operating leases | ' | ||||
Minimum annual rental commitments under current noncancellable operating leases, as of December 28, 2013, substantially all of which relate to property, were as follows: | |||||
(dollars in thousands) | |||||
Fiscal Year | Total | ||||
noncancellable | |||||
leases | |||||
2014 | $ | 104,517 | |||
2015 | 100,617 | ||||
2016 | 91,417 | ||||
2017 | 86,007 | ||||
2018 | 81,257 | ||||
Thereafter | 302,405 | ||||
Total | $ | 766,220 | |||
VALUATION_AND_QUALIFYING_ACCOU1
VALUATION AND QUALIFYING ACCOUNTS (Tables) | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Valuation and Qualifying Accounts [Abstract] | ' | |||||||||||
Accounts receivable reserves | ' | |||||||||||
Information regarding accounts receivable is as follows: | ||||||||||||
(dollars in thousands) | Accounts receivable reserves | Sales returns reserves | Total | |||||||||
Balance, January 1, 2011 | $ | 2,851 | $ | 400 | $ | 3,251 | ||||||
Additions, charged to expense | 7,227 | 1,121 | 8,348 | |||||||||
Charges to reserve | (5,458 | ) | (1,121 | ) | (6,579 | ) | ||||||
Balance, December 31, 2011 | $ | 4,620 | $ | 400 | $ | 5,020 | ||||||
Additions, charged to expense | 8,251 | 954 | 9,205 | |||||||||
Charges to reserve | (5,683 | ) | (954 | ) | (6,637 | ) | ||||||
Balance, December 29, 2012 | $ | 7,188 | $ | 400 | $ | 7,588 | ||||||
Additions, charged to expense | 10,245 | 1,110 | 11,355 | |||||||||
Charges to reserve | (8,125 | ) | (1,110 | ) | (9,235 | ) | ||||||
Balance, December 28, 2013 | $ | 9,308 | $ | 400 | $ | 9,708 | ||||||
UNAUDITED_QUARTERLY_FINANCIAL_1
UNAUDITED QUARTERLY FINANCIAL DATA (Tables) | 12 Months Ended | |||||||||||||||
Dec. 28, 2013 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||||
Unaudited summarized financial data | ' | |||||||||||||||
The unaudited summarized financial data by quarter for the fiscal years ended December 28, 2013 and December 29, 2012 is presented in the table below: | ||||||||||||||||
(dollars in thousands, except per share data) | Quarter 1 | Quarter 2 | Quarter 3 | Quarter 4 | ||||||||||||
2013:00:00 | ||||||||||||||||
Net sales | $ | 591,009 | $ | 517,874 | $ | 760,173 | $ | 769,655 | ||||||||
Gross profit | 243,062 | 220,245 | 309,649 | 322,423 | ||||||||||||
Selling, general, and administrative expenses | 185,361 | 195,014 | 229,264 | 258,841 | ||||||||||||
Royalty income | (9,242 | ) | (7,507 | ) | (10,691 | ) | (9,812 | ) | ||||||||
Operating income | 66,943 | 32,738 | 91,076 | 73,394 | ||||||||||||
Net income | 41,415 | 19,673 | 56,571 | 42,748 | ||||||||||||
Basic net income per common share | 0.7 | 0.33 | 0.98 | 0.78 | ||||||||||||
Diluted net income per common share | 0.69 | 0.33 | 0.97 | 0.78 | ||||||||||||
2012:00:00 | ||||||||||||||||
Net sales | $ | 551,662 | $ | 472,162 | $ | 668,657 | $ | 689,253 | ||||||||
Gross profit | 194,739 | 183,243 | 270,077 | 289,889 | ||||||||||||
Selling, general, and administrative expenses | 149,705 | 156,290 | 185,167 | 222,049 | ||||||||||||
Royalty income | (8,766 | ) | (7,474 | ) | (10,482 | ) | (10,527 | ) | ||||||||
Operating income | 53,800 | 34,427 | 95,392 | 78,367 | ||||||||||||
Net income | 32,275 | 20,805 | 59,378 | 48,692 | ||||||||||||
Basic net income per common share | 0.55 | 0.35 | 1.01 | 0.82 | ||||||||||||
Diluted net income per common share | 0.54 | 0.35 | 0.99 | 0.81 | ||||||||||||
GUARANTOR_CONDENSED_CONSOLIDAT1
GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Condensed Consolidating Balance Sheets | ' | ||||||||||||||||||||||||
Condensed Consolidating Balance Sheets | |||||||||||||||||||||||||
As of December 28, 2013 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||
Current assets: | |||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 278,260 | $ | — | $ | 8,286 | $ | — | $ | 286,546 | |||||||||||||
Accounts receivable, net | — | 163,264 | 20,365 | 9,982 | — | 193,611 | |||||||||||||||||||
Intercompany receivable | — | 62,802 | 104,123 | 12,385 | (179,310 | ) | — | ||||||||||||||||||
Finished goods inventories, net | — | 221,462 | 181,889 | 46,217 | (31,814 | ) | 417,754 | ||||||||||||||||||
Prepaid expenses and other current assets | — | 18,475 | 11,878 | 4,804 | — | 35,157 | |||||||||||||||||||
Deferred income taxes | — | 20,594 | 15,893 | 826 | — | 37,313 | |||||||||||||||||||
Total current assets | — | 764,857 | 334,148 | 82,500 | (211,124 | ) | 970,381 | ||||||||||||||||||
Property, plant, and equipment, net | — | 148,671 | 133,846 | 25,368 | — | 307,885 | |||||||||||||||||||
Goodwill | — | 136,570 | — | 49,507 | — | 186,077 | |||||||||||||||||||
Tradenames and other intangibles, net | — | 244,653 | 85,500 | 105 | — | 330,258 | |||||||||||||||||||
Deferred debt issuance costs, net | — | 8,088 | — | — | — | 8,088 | |||||||||||||||||||
Other assets | — | 9,743 | 52 | — | — | 9,795 | |||||||||||||||||||
Intercompany long term receivable | — | — | 263,183 | — | (263,183 | ) | — | ||||||||||||||||||
Intercompany long term note receivable | — | 100,000 | — | — | (100,000 | ) | — | ||||||||||||||||||
Investment in subsidiaries | 700,731 | 547,186 | 1,262 | — | (1,249,179 | ) | — | ||||||||||||||||||
Total assets | $ | 700,731 | $ | 1,959,768 | $ | 817,991 | $ | 157,480 | $ | (1,823,486 | ) | $ | 1,812,484 | ||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||||||
Accounts payable | $ | — | $ | 108,851 | $ | 40,825 | $ | 14,334 | $ | — | $ | 164,010 | |||||||||||||
Intercompany payables | — | 100,804 | 70,857 | 7,649 | (179,310 | ) | — | ||||||||||||||||||
Other current liabilities | — | 29,037 | 57,610 | 18,482 | 105,129 | ||||||||||||||||||||
Total current liabilities | — | 238,692 | 169,292 | 40,465 | (179,310 | ) | 269,139 | ||||||||||||||||||
Long-term debt | — | 586,000 | — | — | — | 586,000 | |||||||||||||||||||
Deferred income taxes | — | 77,798 | 43,636 | — | — | 121,434 | |||||||||||||||||||
Intercompany long term liability | — | 263,183 | — | — | (263,183 | ) | — | ||||||||||||||||||
Intercompany long term note payable | — | — | 100,000 | — | (100,000 | ) | — | ||||||||||||||||||
Other long-term liabilities | — | 61,550 | 55,175 | 18,455 | — | 135,180 | |||||||||||||||||||
Stockholders' equity (deficit) | 700,731 | 732,545 | 449,888 | 98,560 | (1,280,993 | ) | 700,731 | ||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 700,731 | $ | 1,959,768 | $ | 817,991 | $ | 157,480 | $ | (1,823,486 | ) | $ | 1,812,484 | ||||||||||||
As of December 29, 2012 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||
Current assets: | |||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 351,858 | $ | 6,940 | $ | 23,438 | $ | — | $ | 382,236 | |||||||||||||
Accounts receivable, net | — | 145,457 | 18,459 | 4,130 | — | 168,046 | |||||||||||||||||||
Intercompany receivable | 49,223 | 52,099 | 1 | (101,323 | ) | — | |||||||||||||||||||
Finished goods inventories, net | — | 188,237 | 170,895 | 26,540 | (36,142 | ) | 349,530 | ||||||||||||||||||
Prepaid expenses and other current assets | — | 9,051 | 10,183 | 2,982 | — | 22,216 | |||||||||||||||||||
Deferred income taxes | — | 20,932 | 13,787 | 956 | — | 35,675 | |||||||||||||||||||
Total current assets | — | 764,758 | 272,363 | 58,047 | (137,465 | ) | 957,703 | ||||||||||||||||||
Property, plant, and equipment, net | — | 50,605 | 98,753 | 20,752 | — | 170,110 | |||||||||||||||||||
Goodwill | — | 136,570 | — | 53,179 | — | 189,749 | |||||||||||||||||||
Tradenames and other intangibles, net | — | 220,233 | 85,500 | 339 | — | 306,072 | |||||||||||||||||||
Deferred debt issuance costs, net | — | 2,878 | — | — | — | 2,878 | |||||||||||||||||||
Other assets | — | 3,523 | 74 | — | — | 3,597 | |||||||||||||||||||
Intercompany long term receivable | — | — | 184,804 | — | (184,804 | ) | — | ||||||||||||||||||
Investment in subsidiaries | 985,479 | 489,370 | 488 | — | (1,475,337 | ) | — | ||||||||||||||||||
Total assets | $ | 985,479 | $ | 1,667,937 | $ | 641,982 | $ | 132,317 | $ | (1,797,606 | ) | $ | 1,630,109 | ||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||||||
Accounts payable | $ | — | $ | 109,981 | $ | 33,333 | $ | 6,311 | $ | — | $ | 149,625 | |||||||||||||
Intercompany payables | — | 47,319 | 47,719 | 6,285 | (101,323 | ) | — | ||||||||||||||||||
Other current liabilities | — | 16,880 | 59,942 | 17,788 | — | 94,610 | |||||||||||||||||||
Total current liabilities | — | 174,180 | 140,994 | 30,384 | (101,323 | ) | 244,235 | ||||||||||||||||||
Long-term debt | — | 186,000 | — | — | — | 186,000 | |||||||||||||||||||
Deferred income taxes | — | 78,385 | 35,956 | — | — | 114,341 | |||||||||||||||||||
Intercompany long term liabilities | — | 184,804 | — | — | (184,804 | ) | — | ||||||||||||||||||
Other long-term liabilities | — | 22,947 | 52,648 | 24,459 | — | 100,054 | |||||||||||||||||||
Stockholders' equity | 985,479 | 1,021,621 | 412,384 | 77,474 | (1,511,479 | ) | 985,479 | ||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 985,479 | $ | 1,667,937 | $ | 641,982 | $ | 132,317 | $ | (1,797,606 | ) | $ | 1,630,109 | ||||||||||||
Condensed Consolidating Statements of Operations and Comprehensive Income | ' | ||||||||||||||||||||||||
Condensed Consolidating Statements of Operations | |||||||||||||||||||||||||
For the year end December 28, 2013 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net sales | $ | — | $ | 1,637,361 | $ | 1,397,540 | $ | 220,438 | $ | (616,628 | ) | $ | 2,638,711 | ||||||||||||
Cost of goods sold | — | 1,170,073 | 819,798 | 112,503 | (559,042 | ) | 1,543,332 | ||||||||||||||||||
Gross profit | — | 467,288 | 577,742 | 107,935 | (57,586 | ) | 1,095,379 | ||||||||||||||||||
Selling, general, and administrative expenses | — | 204,255 | 632,854 | 102,115 | (70,744 | ) | 868,480 | ||||||||||||||||||
Royalty income | — | (28,174 | ) | (17,909 | ) | — | 8,831 | (37,252 | ) | ||||||||||||||||
Operating income (loss) | — | 291,207 | (37,203 | ) | 5,820 | 4,327 | 264,151 | ||||||||||||||||||
Interest expense | — | 13,374 | 598 | 63 | (598 | ) | 13,437 | ||||||||||||||||||
Interest income | — | (1,100 | ) | — | (167 | ) | 598 | (669 | ) | ||||||||||||||||
(Income) loss in subsidiaries | (160,407 | ) | 51,973 | 10,122 | — | 98,312 | — | ||||||||||||||||||
Other expense (income), net | — | (358 | ) | 403 | 1,873 | — | 1,918 | ||||||||||||||||||
Income (loss) before income taxes | 160,407 | 227,318 | (48,326 | ) | 4,051 | (93,985 | ) | 249,465 | |||||||||||||||||
Provision for income taxes | — | 71,238 | 11,061 | 6,759 | — | 89,058 | |||||||||||||||||||
Net income (loss) | $ | 160,407 | $ | 156,080 | $ | (59,387 | ) | $ | (2,708 | ) | $ | (93,985 | ) | $ | 160,407 | ||||||||||
Condensed Consolidating Statements of Operations | |||||||||||||||||||||||||
For the year end December 29, 2012 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net sales | $ | — | $ | 1,482,066 | $ | 1,241,686 | $ | 150,494 | $ | (492,512 | ) | $ | 2,381,734 | ||||||||||||
Cost of goods sold | — | 1,066,249 | 747,906 | 79,148 | (449,517 | ) | 1,443,786 | ||||||||||||||||||
Gross profit | — | 415,817 | 493,780 | 71,346 | (42,995 | ) | 937,948 | ||||||||||||||||||
Selling, general, and administrative expenses | — | 163,614 | 535,927 | 61,000 | (47,330 | ) | 713,211 | ||||||||||||||||||
Royalty income | — | (25,460 | ) | (18,118 | ) | 6,329 | (37,249 | ) | |||||||||||||||||
Operating income (loss) | — | 277,663 | (24,029 | ) | 10,346 | (1,994 | ) | 261,986 | |||||||||||||||||
Interest expense | — | 6,749 | — | 121 | (105 | ) | 6,765 | ||||||||||||||||||
Interest income | — | (230 | ) | — | (109 | ) | 105 | (234 | ) | ||||||||||||||||
(Income) loss in subsidiaries | (161,150 | ) | 32,053 | 4,761 | — | 124,336 | — | ||||||||||||||||||
Other expense (income), net | — | 64 | 145 | (145 | ) | — | 64 | ||||||||||||||||||
Income (loss) before income taxes | 161,150 | 239,027 | (28,935 | ) | 10,479 | (126,330 | ) | 255,391 | |||||||||||||||||
Provision for income taxes | — | 75,885 | 12,788 | 5,568 | — | 94,241 | |||||||||||||||||||
Net income (loss) | $ | 161,150 | $ | 163,142 | $ | (41,723 | ) | $ | 4,911 | $ | (126,330 | ) | $ | 161,150 | |||||||||||
Condensed Consolidating Statements of Operations | |||||||||||||||||||||||||
For the year end December 31, 2011 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net sales | $ | — | $ | 1,402,589 | $ | 1,084,461 | $ | 76,571 | $ | (453,887 | ) | $ | 2,109,734 | ||||||||||||
Cost of goods sold | — | 1,087,986 | 686,630 | 46,667 | (403,827 | ) | 1,417,456 | ||||||||||||||||||
Gross profit | — | 314,603 | 397,831 | 29,904 | (50,060 | ) | 692,278 | ||||||||||||||||||
Selling, general, and administrative expenses | — | 127,105 | 430,523 | 25,747 | (41,289 | ) | 542,086 | ||||||||||||||||||
Royalty income | — | (22,808 | ) | (17,403 | ) | — | 2,937 | (37,274 | ) | ||||||||||||||||
Operating income (loss) | — | 210,306 | (15,289 | ) | 4,157 | (11,708 | ) | 187,466 | |||||||||||||||||
Interest expense | — | 7,548 | — | 165 | (164 | ) | 7,549 | ||||||||||||||||||
Interest income | — | (525 | ) | — | (25 | ) | 164 | (386 | ) | ||||||||||||||||
(Income) loss in subsidiaries | (114,016 | ) | 22,145 | — | — | 91,871 | — | ||||||||||||||||||
Other income, net | — | (224 | ) | (11 | ) | (350 | ) | — | (585 | ) | |||||||||||||||
Income (loss) before income taxes | 114,016 | 181,362 | (15,278 | ) | 4,367 | (103,579 | ) | 180,888 | |||||||||||||||||
Provision for income taxes | — | 55,638 | 8,854 | 2,380 | — | 66,872 | |||||||||||||||||||
Net income (loss) | $ | 114,016 | $ | 125,724 | $ | (24,132 | ) | $ | 1,987 | $ | (103,579 | ) | $ | 114,016 | |||||||||||
Condensed Consolidating Statements of Comprehensive Income | |||||||||||||||||||||||||
For the year end December 28, 2013 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net income (loss) | $ | 160,407 | $ | 156,080 | $ | (59,387 | ) | $ | (2,708 | ) | $ | (93,985 | ) | $ | 160,407 | ||||||||||
Post-retirement benefit plans | 6,609 | 371 | 6,238 | — | (6,609 | ) | 6,609 | ||||||||||||||||||
Foreign currency translation adjustments | (5,486 | ) | — | — | (5,486 | ) | 5,486 | (5,486 | ) | ||||||||||||||||
Comprehensive income (loss) | $ | 161,530 | $ | 156,451 | $ | (53,149 | ) | $ | (8,194 | ) | $ | (95,108 | ) | $ | 161,530 | ||||||||||
Condensed Consolidating Statements of Comprehensive Income | |||||||||||||||||||||||||
For the year end December 29, 2012 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net income (loss) | $ | 161,150 | $ | 163,142 | $ | (41,723 | ) | $ | 4,911 | $ | (126,330 | ) | $ | 161,150 | |||||||||||
Post-retirement benefit plans | (981 | ) | 182 | (1,163 | ) | — | 981 | (981 | ) | ||||||||||||||||
Foreign currency translation adjustments | 1,058 | — | — | 1,058 | (1,058 | ) | 1,058 | ||||||||||||||||||
Comprehensive income (loss) | $ | 161,227 | $ | 163,324 | $ | (42,886 | ) | $ | 5,969 | $ | (126,407 | ) | $ | 161,227 | |||||||||||
Condensed Consolidating Statements of Comprehensive Income | |||||||||||||||||||||||||
For the year end December 31, 2011 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Net income (loss) | $ | 114,016 | $ | 125,724 | $ | (24,132 | ) | $ | 1,987 | $ | (103,579 | ) | $ | 114,016 | |||||||||||
Post-retirement benefit plans | (6,268 | ) | (62 | ) | (6,206 | ) | — | 6,268 | (6,268 | ) | |||||||||||||||
Foreign currency translation adjustments | (3,124 | ) | — | — | (3,124 | ) | 3,124 | (3,124 | ) | ||||||||||||||||
Comprehensive income (loss) | $ | 104,624 | $ | 125,662 | $ | (30,338 | ) | $ | (1,137 | ) | $ | (94,187 | ) | $ | 104,624 | ||||||||||
Condensed Consolidating Statements of Cash Flows | ' | ||||||||||||||||||||||||
Condensed Consolidating Statements of Cash Flows | |||||||||||||||||||||||||
For the year end December 28, 2013 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Cash flows provided by operating activities: | $ | — | $ | 125,482 | $ | 72,095 | $ | 12,119 | $ | — | $ | 209,696 | |||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||||||
Capital expenditures | — | (111,560 | ) | (59,852 | ) | (11,113 | ) | — | (182,525 | ) | |||||||||||||||
Intercompany investing activity | 473,988 | 26,693 | (4,112 | ) | (14,721 | ) | (481,848 | ) | — | ||||||||||||||||
Issuance of intercompany loan | — | (100,000 | ) | — | — | 100,000 | — | ||||||||||||||||||
Acquisition of tradenames | — | (38,007 | ) | — | — | — | (38,007 | ) | |||||||||||||||||
Net cash used in investing activities | 473,988 | (222,874 | ) | (63,964 | ) | (25,834 | ) | (381,848 | ) | (220,532 | ) | ||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||||||
Proceeds from senior notes | — | 400,000 | — | — | — | 400,000 | |||||||||||||||||||
Intercompany financing activity | — | (361,424 | ) | (119,183 | ) | (1,241 | ) | 481,848 | — | ||||||||||||||||
Proceeds from intercompany loan | — | — | 100,000 | — | (100,000 | ) | — | ||||||||||||||||||
Payment on debt issuance costs | — | (6,989 | ) | — | — | — | (6,989 | ) | |||||||||||||||||
Payment of contingent consideration | — | (14,721 | ) | — | — | — | (14,721 | ) | |||||||||||||||||
Dividends paid | (27,715 | ) | — | — | — | — | (27,715 | ) | |||||||||||||||||
Repurchase of common stock | (454,133 | ) | — | — | — | — | (454,133 | ) | |||||||||||||||||
Income tax benefit from stock-based compensation | — | 6,928 | 4,112 | — | — | 11,040 | |||||||||||||||||||
Withholdings from vesting of restricted stock | (5,052 | ) | — | — | — | — | (5,052 | ) | |||||||||||||||||
Proceeds from exercise of stock options | 12,912 | — | — | — | — | 12,912 | |||||||||||||||||||
Net cash (used in) provided by financing activities | (473,988 | ) | 23,794 | (15,071 | ) | (1,241 | ) | 381,848 | (84,658 | ) | |||||||||||||||
Effect of exchange rate changes on cash | — | — | — | (196 | ) | — | (196 | ) | |||||||||||||||||
Net increase (decrease) in cash and cash equivalents | — | (73,598 | ) | (6,940 | ) | (15,152 | ) | — | (95,690 | ) | |||||||||||||||
Cash and cash equivalents, beginning of period | — | 351,858 | 6,940 | 23,438 | — | 382,236 | |||||||||||||||||||
Cash and cash equivalents, end of period | $ | — | $ | 278,260 | $ | — | $ | 8,286 | $ | — | $ | 286,546 | |||||||||||||
For the year end December 29, 2012 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Cash flows provided by operating activities: | $ | — | $ | 153,058 | $ | 107,433 | $ | 18,128 | $ | — | $ | 278,619 | |||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||||||
Capital expenditures | — | (24,072 | ) | (50,337 | ) | (8,989 | ) | — | (83,398 | ) | |||||||||||||||
Intercompany investing activity | (2,839 | ) | 4,548 | (4,528 | ) | 2,819 | — | — | |||||||||||||||||
Receipts from collection of intercompany loan | — | 4,766 | — | — | (4,766 | ) | — | ||||||||||||||||||
Proceeds from sale of property, plant and equipment | — | — | — | 6 | — | 6 | |||||||||||||||||||
Net cash used in investing activities | (2,839 | ) | (14,758 | ) | (54,865 | ) | (6,164 | ) | (4,766 | ) | (83,392 | ) | |||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||||||
Intercompany financing activity | — | 44,557 | (47,620 | ) | 3,063 | — | — | ||||||||||||||||||
Repayment of intercompany loan | — | — | — | (4,766 | ) | 4,766 | — | ||||||||||||||||||
Borrowings under secured revolving credit facility | — | — | — | 2,500 | — | 2,500 | |||||||||||||||||||
Payments on secured revolving credit facility | — | (50,000 | ) | — | (2,500 | ) | — | (52,500 | ) | ||||||||||||||||
Payment on debt issuance costs | — | (1,916 | ) | — | — | — | (1,916 | ) | |||||||||||||||||
Income tax benefit from stock-based compensation | — | 1,051 | 1,709 | — | — | 2,760 | |||||||||||||||||||
Withholdings from vesting of restricted stock | (2,846 | ) | — | — | — | — | (2,846 | ) | |||||||||||||||||
Proceeds from exercise of stock options | 5,685 | — | — | — | — | 5,685 | |||||||||||||||||||
Net cash provided by (used in) financing activities | 2,839 | (6,308 | ) | (45,911 | ) | (1,703 | ) | 4,766 | (46,317 | ) | |||||||||||||||
Effect of exchange rate changes on cash | — | — | — | (168 | ) | — | (168 | ) | |||||||||||||||||
Net increase in cash and cash equivalents | — | 131,992 | 6,657 | 10,093 | — | 148,742 | |||||||||||||||||||
Cash and cash equivalents, beginning of period | — | 219,866 | 283 | 13,345 | — | 233,494 | |||||||||||||||||||
Cash and cash equivalents, end of period | $ | — | $ | 351,858 | $ | 6,940 | $ | 23,438 | $ | — | $ | 382,236 | |||||||||||||
For the year end December 31, 2011 | |||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||
Parent | Subsidiary Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated | ||||||||||||||||||||
Cash flows provided by (used in) operating activities: | $ | — | $ | 76,662 | $ | (2,897 | ) | $ | 7,309 | $ | — | $ | 81,074 | ||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||||||
Capital expenditures | — | (10,808 | ) | (32,680 | ) | (2,007 | ) | — | (45,495 | ) | |||||||||||||||
Intercompany investing activity | (4,605 | ) | 5,055 | (450 | ) | — | — | — | |||||||||||||||||
Issuance of intercompany loan | — | (4,766 | ) | — | — | 4,766 | — | ||||||||||||||||||
Acquisition of tradenames | — | (61,038 | ) | — | (169 | ) | — | (61,207 | ) | ||||||||||||||||
Proceeds from sale of property, plant and equipment | — | 10 | — | — | — | 10 | |||||||||||||||||||
Net cash used in investing activities | (4,605 | ) | (71,547 | ) | (33,130 | ) | (2,176 | ) | 4,766 | (106,692 | ) | ||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||||||
Proceeds from intercompany loan | — | — | — | 4,766 | (4,766 | ) | — | ||||||||||||||||||
Intercompany financing activity | — | (33,076 | ) | 29,855 | 3,221 | — | — | ||||||||||||||||||
Income tax benefit from stock-based compensation | — | 6,450 | 450 | — | — | 6,900 | |||||||||||||||||||
Withholdings from vesting of restricted stock | (2,181 | ) | — | — | — | — | (2,181 | ) | |||||||||||||||||
Proceeds from exercise of stock options | 6,786 | — | — | — | — | 6,786 | |||||||||||||||||||
Net cash provided by (used in) financing activities | 4,605 | (26,626 | ) | 30,305 | 7,987 | (4,766 | ) | 11,505 | |||||||||||||||||
Effect of exchange rate changes on cash | — | — | — | 225 | — | 225 | |||||||||||||||||||
Net (decrease) increase in cash and cash equivalents | — | (21,511 | ) | (5,722 | ) | 13,345 | — | (13,888 | ) | ||||||||||||||||
Cash and cash equivalents, beginning of period | — | 241,377 | 6,005 | — | — | 247,382 | |||||||||||||||||||
Cash and cash equivalents, end of period | $ | — | $ | 219,866 | $ | 283 | $ | 13,345 | $ | — | $ | 233,494 | |||||||||||||
THE_COMPANY_Details
THE COMPANY (Details) | Dec. 28, 2013 |
store | |
Segment Reporting Information [Line Items] | ' |
Number of Carter's locations | 476 |
Number of OshKosh locations | 181 |
Canada [Member] | ' |
Segment Reporting Information [Line Items] | ' |
Number of international retail stores | 102 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Accounts Receivable) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 |
customers | customers | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Accounts receivable, gross | 203,319 | 175,634 |
Less: reserves | -9,708 | -7,588 |
Accounts receivable, net | 193,611 | 168,046 |
Accounts Receivable [Abstract] | ' | ' |
Number of largest wholesale customers being discussed | ' | 10 |
Accounts Receivable [Member] | ' | ' |
Accounts Receivable [Abstract] | ' | ' |
Customer concentration risk, gross accounts receivable | 75.20% | 78.20% |
Number of largest wholesale customers being discussed | 10 | ' |
Maximum disclosure percentage for gross accounts receivable | 13.60% | 13.60% |
Customers with receivable balances in excess of minimum disclosure of gross accounts receivable | 3 | 4 |
Allowance for doubtful accounts [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Less: reserves | -9,308 | -7,188 |
Sales returns reserve [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Less: reserves | -400 | -400 |
Trade receivables [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Accounts receivable, gross | 169,862 | 159,586 |
Royalties receivable [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Accounts receivable, gross | 9,260 | 11,020 |
Tenant allowances and other receivables [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Accounts receivable, gross | 24,197 | 5,028 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Property, Plant, and Equipment) (Details) | 12 Months Ended |
Dec. 28, 2013 | |
Property, Plant and Equipment [Line Items] | ' |
Property, plant and equipment, useful life (in years) | '3 years |
Buildings [Member] | Minimum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant and equipment, useful life (in years) | '15 years |
Buildings [Member] | Maximum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant and equipment, useful life (in years) | '26 years |
Retail Store Fixtures, Equipment, and Computers [Member] | Minimum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant and equipment, useful life (in years) | '3 years |
Retail Store Fixtures, Equipment, and Computers [Member] | Maximum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant and equipment, useful life (in years) | '10 years |
Computer Software [Member] | Minimum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant and equipment, useful life (in years) | '3 years |
Computer Software [Member] | Maximum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant and equipment, useful life (in years) | '7 years |
SUMMARY_OF_SIGNIFICANT_ACCOUNT5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Intangible Assets) (Details) (Non-compete Agreements [Member]) | 12 Months Ended |
Dec. 28, 2013 | |
Carter's Watch the Wear and H.W Carter & Sons [Member] | ' |
Acquired Indefinite-lived Intangible Assets [Line Items] | ' |
Weighted-average useful life | '3 years |
Bonnie Togs [Member] | ' |
Acquired Indefinite-lived Intangible Assets [Line Items] | ' |
Weighted-average useful life | '4 years |
SUMMARY_OF_SIGNIFICANT_ACCOUNT6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Revenue Recognition) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Accounting Policies [Abstract] | ' | ' | ' |
Cooperative advertising arrangements, fair value | $3.90 | $4.60 | $3.60 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Accounting for Shipping and Handling Fees and Costs) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Accounting Policies [Abstract] | ' | ' | ' |
Shipping and handling costs | $59.10 | $52.20 | $46.60 |
Shipping and handling revenue | $12.10 | $9.30 | $5.30 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Supplemental Cash Flow Information) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Supplemental Cash Flow Information | ' | ' | ' |
Interest paid in cash | $3.80 | $6 | $7 |
Income taxes paid in cash | $83.30 | $97.40 | $61.60 |
ACQUISITION_OF_BONNIE_TOGS_Det
ACQUISITION OF BONNIE TOGS (Details) | 12 Months Ended | 0 Months Ended | 12 Months Ended | |||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Jun. 30, 2011 | Dec. 28, 2013 | Jun. 30, 2011 | |
USD ($) | USD ($) | USD ($) | Bonnie Togs [Member] | Bonnie Togs [Member] | Bonnie Togs [Member] | |
USD ($) | USD ($) | CAD | ||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' |
Maximum consideration paid for business acquired | ' | ' | ' | ' | ' | 95,000,000 |
Cash paid at closing for business acquired | ' | ' | ' | 61,200,000 | ' | ' |
Cash payment of contingent consideration | 14,721,000 | 0 | 0 | ' | 14,721,000 | ' |
Contingent consideration for meeting earnings target | ' | ' | ' | ' | ' | 35,000,000 |
Individual maximum milestone payment amount | ' | ' | ' | ' | $9,000,000 | ' |
ACQUISITION_OF_BONNIE_TOGS_Con
ACQUISITION OF BONNIE TOGS (Contingent Consideration) (Details) (USD $) | 12 Months Ended | 6 Months Ended | 12 Months Ended | |||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | |
Bonnie Togs [Member] | Bonnie Togs [Member] | Bonnie Togs [Member] | ||||
Business Acquisition, Contingent Consideration [Line Items] | ' | ' | ' | ' | ' | ' |
Individual maximum milestone payment amount | ' | ' | ' | ' | $9,000,000 | ' |
Beginning balance | ' | ' | ' | 24,346,000 | 29,704,000 | 25,566,000 |
Payments made | -14,721,000 | 0 | 0 | ' | -14,721,000 | ' |
Accretion expense | ' | ' | ' | 2,484,000 | 2,825,000 | 3,589,000 |
Foreign currency translation adjustment | ' | ' | ' | -1,264,000 | -1,460,000 | 549,000 |
Ending balance | ' | ' | ' | $25,566,000 | $16,348,000 | $29,704,000 |
ACQUISITION_OF_BONNIE_TOGS_Pro
ACQUISITION OF BONNIE TOGS (Pro Forma Information) (Details) (Bonnie Togs [Member], USD $) | 12 Months Ended |
Dec. 31, 2011 | |
Bonnie Togs [Member] | ' |
Business Acquisition [Line Items] | ' |
Pro forma net sales | $2,156,000,000 |
Pro forma net income | 121,000,000 |
Pro forma basic earnings per share | $2.09 |
Pro forma diluted earnings per share | $2.07 |
Amortization of step-up of inventory to fair value | $6,700,000 |
PROPERTY_PLANT_AND_EQUIPMENT_D
PROPERTY, PLANT, AND EQUIPMENT (Details) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, plant and equipment, gross | $535,863,000 | $357,367,000 | ' |
Accumulated depreciation and amortization | -227,978,000 | -187,257,000 | ' |
Property, plant, and equipment, net | 307,885,000 | 170,110,000 | ' |
Depreciation and amortization expense | 54,700,000 | 39,500,000 | 32,500,000 |
Fixtures, Equipment, and Computers [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, plant and equipment, gross | 269,515,000 | 194,073,000 | ' |
Land, Buildings, and Improvements [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, plant and equipment, gross | 207,376,000 | 132,089,000 | ' |
Marketing Fixtures [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, plant and equipment, gross | 12,018,000 | 13,399,000 | ' |
Construction in Progress [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, plant and equipment, gross | $46,954,000 | $17,806,000 | ' |
GOODWILL_AND_OTHER_INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Details) (USD $) | 12 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Jun. 29, 2013 | Sep. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | |||||||||||
Wholesale Segment [Member] | Retail Segment [Member] | International Segment [Member] | Other Tradenames [Member] | Other Tradenames [Member] | Other Tradenames [Member] | Other Tradenames [Member] | Bonnie Togs Tradename [Member] | Bonnie Togs Tradename [Member] | Tradenames [Member] | Tradenames [Member] | Non-compete Agreements [Member] | Non-compete Agreements [Member] | Carter's Goodwill [Member] | Carter's Goodwill [Member] | Bonnie Togs Goodwill [Member] | Bonnie Togs Goodwill [Member] | Carter's Tradename [Member] | Carter's Tradename [Member] | Oshkosh Tradename [Member] | Oshkosh Tradename [Member] | ||||||||||||||
Goodwill and Other Intangible Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Tradenames acquired, cash consideration | ' | ' | ' | ' | ' | ' | $38,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Weighted-average useful life | ' | ' | ' | ' | ' | ' | ' | '3 years | '3 years | '3 years | '2 years | '2 years | ' | ' | '4 years | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Goodwill, Gross amount | 186,077,000 | 189,749,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 136,570,000 | [1] | 136,570,000 | [1] | 49,507,000 | [2] | 53,179,000 | [2] | ' | ' | ' | ' | ||||||
Goodwill | 186,077,000 | 189,749,000 | ' | 45,900,000 | 82,000,000 | 8,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 136,570,000 | [1] | 136,570,000 | [1] | 49,507,000 | [2] | 53,179,000 | [2] | ' | ' | ' | ' | ||||||
Indefinite intangible assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 220,233,000 | 220,233,000 | 85,500,000 | 85,500,000 | ||||||||||
Finite intangible assets, Gross amount | 344,582,000 | 306,638,000 | ' | ' | ' | ' | ' | ' | 38,007,000 | [3] | 0 | [3] | 562,000 | [2] | 604,000 | [2] | 344,302,000 | 306,337,000 | 280,000 | [2] | 301,000 | [2] | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Finite intangible assets, Accumulated amortization | 14,324,000 | 566,000 | ' | ' | ' | ' | ' | ' | 13,588,000 | [3] | 0 | [3] | 562,000 | [2] | 453,000 | [2] | 14,150,000 | 453,000 | 174,000 | [2] | 113,000 | [2] | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Finite intangible assets, Net amount | ' | ' | ' | ' | ' | ' | ' | ' | 24,419,000 | [3] | 0 | [3] | 0 | [2] | 151,000 | [2] | 330,152,000 | 305,884,000 | 106,000 | [2] | 188,000 | [2] | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Tradenames and other intangible, net | 330,258,000 | 306,072,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Amortization of intangible assets | 13,800,000 | 400,000 | 200,000 | ' | ' | ' | ' | ' | 13,600,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Future amortization expense, 2014 | 16,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Future amortization expense, 2015 | 6,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Future amortization expense, 2016 | $1,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
[1] | $45.9 million of which relates to the Carter’s wholesale segment, $82.0 million of which relates to the Carter’s retail segment, and $8.6 million of which relates to the international segment. | |||||||||||||||||||||||||||||||||
[2] | Relates to the international segment. The change in the gross amount of goodwill and other intangible assets reflect foreign currency translation adjustments for the applicable periods. | |||||||||||||||||||||||||||||||||
[3] | Relates to the acquisition of worldwide rights to the Carter's Watch the Wear and H.W. Carter & Sons brands in June 2013. |
ACCUMULATED_OTHER_COMPREHENSIV2
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME (Details) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Cumulative translation adjustment, beginning balance | ($2,066,000) | ($3,124,000) | $0 |
Cumulative translation adjustment, current year change | -5,486,000 | 1,058,000 | -3,124,000 |
Cumulative translation adjustment, ending balance | -7,552,000 | -2,066,000 | -3,124,000 |
Accumulated other comprehensive income (loss), beginning balance | -11,205,000 | -11,282,000 | -1,890,000 |
Total other comprehensive income (loss) | 1,123,000 | 77,000 | -9,392,000 |
Accumulated other comprehensive income (loss), ending balance | -10,082,000 | -11,205,000 | -11,282,000 |
Pension Plans [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension/post-retirement liability adjustment, beginning balance | -10,263,000 | -9,100,000 | -2,894,000 |
Pension/post-retirement liability adjustment, current year change | 6,238,000 | -1,163,000 | -6,206,000 |
Pension/post-retirement liability adjustment, ending balance | -4,025,000 | -10,263,000 | -9,100,000 |
Pension/post-retirement liability adjustments, tax benefit | 2,400,000 | 6,000,000 | ' |
Postretirement Benefit [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension/post-retirement liability adjustment, beginning balance | 1,124,000 | 942,000 | 1,004,000 |
Pension/post-retirement liability adjustment, current year change | 371,000 | 182,000 | -62,000 |
Pension/post-retirement liability adjustment, ending balance | 1,495,000 | 1,124,000 | 942,000 |
Pension/post-retirement liability adjustments, tax benefit | $900,000 | $700,000 | ' |
LONGTERM_DEBT_Schedule_of_Long
LONG-TERM DEBT (Schedule of Long Term Debt) (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | $586,000,000 | $186,000,000 |
Senior notes [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 400,000,000 | 0 |
Secured revolving credit facility [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | $186,000,000 | $186,000,000 |
LONGTERM_DEBT_Senior_Notes_Det
LONG-TERM DEBT (Senior Notes) (Details) (USD $) | 12 Months Ended | 3 Months Ended | |||||||||||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Sep. 28, 2013 | Dec. 28, 2013 | Aug. 12, 2013 | Dec. 28, 2013 | |
Changes of Control [Member] | Sale of Certain Assets [Member] | Redemption, 2016 [Member] | Redemption, 2017 [Member] | Redemption, 2018 [Member] | Redemption, 2019 and Thereafter [Member] | TWCC [Member] | TWCC [Member] | TWCC [Member] | TWCC [Member] | ||||
Senior notes [Member] | Senior notes [Member] | Senior notes [Member] | Secured revolving credit facility [Member] | ||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt | $586,000,000 | $186,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | $400,000,000 | ' |
Stated interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.25% | ' |
Proceeds from senior notes | 400,000,000 | 0 | 0 | ' | ' | ' | ' | ' | ' | 394,200,000 | ' | ' | ' |
Debt issuance fees and expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,000,000 | ' | ' | ' |
Redeemable debt instrument, percentage of principal | 100.00% | ' | ' | ' | ' | 35.00% | ' | ' | ' | ' | ' | ' | ' |
Redemption price, percentage | ' | ' | ' | 101.00% | 100.00% | 105.25% | 102.63% | 101.31% | 100.00% | ' | ' | ' | ' |
Restricted amount of dividends payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $100,000,000 | ' | $15,000,000 |
Restriction on dividends payable, net income benchmark | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | ' |
Ownership percentage of notes, to declare notes due and payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' |
LONGTERM_DEBT_Secured_Revolvin
LONG-TERM DEBT (Secured Revolving Credit Facility) (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 | Aug. 31, 2012 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Aug. 31, 2012 | Dec. 22, 2011 | Dec. 28, 2013 | Aug. 31, 2012 | Dec. 22, 2011 | Dec. 28, 2013 | Dec. 28, 2013 | Aug. 31, 2012 | Oct. 15, 2010 | Oct. 15, 2010 | Aug. 31, 2012 | Dec. 22, 2011 | Dec. 22, 2011 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Oct. 15, 2010 | Dec. 22, 2011 | Dec. 22, 2011 |
Ends on or before December 31, 2016 [Member] | Ends after December 31, 2016 [Member] | Any period [Member] | U.S. dollar facility revolving loans [Member] | U.S. dollar facility revolving loans [Member] | U.S. dollar facility revolving loans [Member] | Multicurrency credit facility [Member] | Multicurrency credit facility [Member] | Multicurrency facility loans denominated in U.S. dollars [Member] | Multicurrency facility loans denominated in Canadian dollars [Member] | Line of Credit BOA [Member] | Line of Credit BOA [Member] | Letter of Credit BOA [Member] | Letter of Credit BOA [Member] | Letter of Credit BOA [Member] | Letter of Credit BOA [Member] | Secured revolving credit facility [Member] | Secured revolving credit facility [Member] | Secured revolving credit facility [Member] | Secured revolving credit facility [Member] | Swingline BOA [Member] | Swingline BOA [Member] | Swingline BOA [Member] | ||||
Federal Funds Rate [Member] | Federal Funds Rate [Member] | CDOR Rate [Member] | U.S. dollar facility revolving loans [Member] | U.S. dollar facility revolving loans [Member] | Multicurrency credit facility [Member] | TWCC [Member] | LIBOR [Member] | U.S. dollar facility revolving loans [Member] | Multicurrency credit facility [Member] | |||||||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility | $586,000,000 | $186,000,000 | ' | ' | ' | ' | $340,000,000 | $340,000,000 | ' | $35,000,000 | $35,000,000 | ' | ' | ' | $375,000,000 | $130,000,000 | $175,000,000 | $130,000,000 | $15,000,000 | $186,000,000 | $186,000,000 | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 375,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40,000,000 | 40,000,000 | 5,000,000 |
Debt issuance costs | ' | ' | 1,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument debt issuance cost amortization period | ' | ' | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repayments of long-term lines of credit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50,000,000 | ' | ' | ' | ' | ' | ' |
Credit facility, amount outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 186,000,000 | ' | ' | ' | ' | ' |
Outstanding letters of credit | 9,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Available for future borrowing | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 179,500,000 | ' | ' | ' | ' | ' |
Variable interest rate, index | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'LIBOR | ' | ' | ' |
Variable interest rate, basis spread (as a percentage) | ' | ' | ' | ' | ' | ' | ' | ' | 0.50% | ' | ' | 0.50% | 0.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.00% | ' | ' | ' |
Effective interest rate (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.16% | ' | ' | ' |
Debt covenants, EBITDAR restrictions (as a ratio) | ' | ' | ' | 3.75 | 3.5 | 2.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted amount of dividends payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $15,000,000 | ' | ' | ' | ' |
COMMON_STOCK_Share_Repurchases
COMMON STOCK (Share Repurchases) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
In Millions, except Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 28, 2013 | Dec. 28, 2013 |
Equity [Abstract] | ' | ' | ' |
Stock repurchase, authorized amount | $300 | ' | ' |
Stock repurchase, additional authorized amount | 400 | ' | ' |
Remaining capacity under authorization | ' | 267.2 | ' |
Stock repurchased and retired | ' | ' | 816,402 |
Average price of repurchased and retired shares | ' | ' | $66.31 |
Cost of repurchased and retired shares | ' | ' | $54.10 |
COMMON_STOCK_Accelerated_Share
COMMON STOCK (Accelerated Share Repurchase Program) (Details) (USD $) | Dec. 28, 2013 | Jan. 31, 2014 | Aug. 29, 2013 | Aug. 29, 2013 | Jan. 31, 2014 |
In Millions, unless otherwise specified | Subsequent Event [Member] | Uncollared ASR Agreement [Member] | Collared ASR Agreement [Member] | ASR Settlement [Member] | |
Subsequent Event [Member] | |||||
Accelerated Share Repurchases [Line Items] | ' | ' | ' | ' | ' |
Accelerated stock repurchase, agreement amount | ' | ' | $300 | $100 | ' |
Amount paid to counterparty to repurchase outstanding shares | 328.4 | ' | 300 | 100 | ' |
Shares repurchased under accelerated stock repurchase program | 4.6 | 5.6 | ' | ' | 1 |
Value of shares repurchased under accelerated stock repurchase program | ' | ' | ' | ' | $70.30 |
Additional shares to be repurchased under stock accelerated stock repurchase program | 1 | ' | ' | ' | ' |
COMMON_STOCK_Dividends_Details
COMMON STOCK (Dividends) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||
Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Equity [Abstract] | ' | ' | ' | ' | ' | ' |
Dividend declared per common share | $0.16 | $0.16 | $0.16 | $0.48 | $0 | $0 |
STOCKBASED_COMPENSATION_Narrat
STOCK-BASED COMPENSATION (Narrative) (Details) (USD $) | 12 Months Ended | |||
In Millions, except Share data, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | 13-May-11 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Increase in the number of shares under the existing plan (in shares) | ' | ' | ' | 3,725,000 |
Original number of shares available under the plan (in shares) | ' | ' | ' | 12,053,392 |
Stock available under the existing plan (in shares) | ' | ' | ' | 15,778,392 |
Available for grant under the Plan (in shares) | 2,597,512 | ' | ' | ' |
Intrinsic value of basic stock options exercised | $30 | $7.20 | $18.90 | ' |
Stock Option [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period (in years) | '4 years | ' | ' | ' |
Unrecognized compensation cost | 8.5 | ' | ' | ' |
Weighted-average expense recognition period (in years) | '2 years 7 months 6 days | ' | ' | ' |
Performance-based Awards [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Unrecognized compensation cost | 8.3 | ' | ' | ' |
Weighted-average expense recognition period (in years) | '2 years 7 months 6 days | ' | ' | ' |
Restricted Stock [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Unrecognized compensation cost | $12.70 | ' | ' | ' |
Weighted-average expense recognition period (in years) | '2 years 4 months 24 days | ' | ' | ' |
Granted (in shares) | 319,773 | ' | ' | ' |
Granted (in dollars per share) | $59.95 | ' | ' | ' |
Performance-based Restricted Stock Awards [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Granted (in shares) | 118,200 | ' | ' | ' |
Performance-based Restricted Stock Awards to the CEO [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Granted (in shares) | ' | 152,000 | 80,000 | ' |
Granted (in dollars per share) | $59.27 | $42.61 | $28.39 | ' |
STOCKBASED_COMPENSATION_StockB
STOCK-BASED COMPENSATION (Stock-Based Compensation by Award Type) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation | $16,040 | $13,049 | $9,644 |
Stock options [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation | 4,728 | 4,093 | 3,546 |
Time-based awards [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation | 6,732 | 5,376 | 4,624 |
Performance-based awards [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation | 4,127 | 2,395 | 304 |
Stock awards [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation | $453 | $1,185 | $1,170 |
STOCKBASED_COMPENSATION_Stock_
STOCK-BASED COMPENSATION (Stock Option Activity) (Details) (USD $) | 12 Months Ended |
In Thousands, except Share data, unless otherwise specified | Dec. 28, 2013 |
Stock Options (Number of shares) | ' |
Outstanding, beginning balance (in shares) | 2,078,433 |
Granted (in shares) | 350,800 |
Exercised (in shares) | -669,834 |
Forfeited (in shares) | -80,791 |
Expired (in shares) | -867 |
Outstanding, ending balance (in shares) | 1,677,741 |
Vested and Expected to Vest (in shares) | 1,596,523 |
Exercisable (in shares) | 834,353 |
Stock Options (Weighted-average exercise price) | ' |
Weighted- average exercise price per share beginning balance (in dollars per share) | $26.14 |
Granted (in dollars per share) | $59.84 |
Exercised (in dollars per share) | $19.28 |
Forfeited (in dollars per share) | $37.71 |
Expired (in dollars per share) | $30.17 |
Weighted- average exercise price per share ending balance (in dollars per share) | $35.37 |
Weighted- average exercise price per share, Vested and Expected to Vest (in dollars per share) | $34.83 |
Weighted- average exercise price per share, Exercisable (in dollars per share) | $25.22 |
Weighted-average remaining contractual terms (years), Outstanding | '6 years 10 months 28 days |
Weighted-average remaining contractual terms (years), Vested and Expected to Vest | '6 years 10 months 13 days |
Weighted-average remaining contractual terms (years), Exercisable | '5 years 7 months 6 days |
Aggregate intrinsic value, Outstanding | $59,895 |
Aggregate intrinsic value, Vested and Expected to Vest | 57,857 |
Aggregate intrinsic value, Exercisable | $38,256 |
STOCKBASED_COMPENSATION_Weight
STOCK-BASED COMPENSATION (Weighted-Average Assumptions) (Details) (Stock Option [Member], USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Stock Option [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Expected Volatility | 33.15% | 34.74% | 34.98% |
Risk-free interest rate | 1.15% | 1.37% | 2.62% |
Expected term (years) | '6 years | '5 years 10 months 24 days | '6 years 8 months 12 days |
Dividend yield | 0.91% | 0.00% | 0.00% |
Weighted average fair value of options granted | $20.21 | $15.28 | $11.85 |
STOCKBASED_COMPENSATION_Restri
STOCK-BASED COMPENSATION (Restricted Stock Activity) (Details) (Restricted Stock [Member], USD $) | 12 Months Ended |
Dec. 28, 2013 | |
Restricted Stock [Member] | ' |
Restricted Stock | ' |
Shares outstanding (in shares) | 766,929 |
Granted (in shares) | 319,773 |
Vested (in shares) | -237,355 |
Forfeited (in shares) | -63,158 |
Shares outstanding (in shares) | 786,189 |
Weighted-average grant-date fair value | ' |
Weighted-average grant-date fair value outstanding (in dollars per share) | $33.97 |
Granted (in dollars per share) | $59.95 |
Vested (in dollars per share) | $31.40 |
Forfeited (in dollars per share) | $39.47 |
Weighted-average grant-date fair value outstanding (in dollars per share) | $44.87 |
STOCKBASED_COMPENSATION_NonMan
STOCK-BASED COMPENSATION (Non-Management Board Directors) (Details) (Non-Management Board Members [Member], USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Non-Management Board Members [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Number of shares issued | 16,173 | 21,708 | 38,520 |
Fair value per share | $66.79 | $49.76 | $30.38 |
Aggregate value | $1,080,000 | $1,080,000 | $1,170,000 |
EMPLOYEE_BENEFIT_PLANS_Defined
EMPLOYEE BENEFIT PLANS (Defined Benefit Plans Narratives) (Details) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Pension Plans [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Effect of 0.25% increase on projected benefit obligation | $2,000,000 | ' | ' |
Effect of 0.25% decrease on projected benefit obligation | 2,000,000 | ' | ' |
Portfolio description, number of mutual funds or group annuity contracts | 10 | ' | ' |
Expected contribution and benefit payment, five years subsequent to 2017 | 13,850,000 | ' | ' |
Pension Plans [Member] | Equity Securities [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Target allocation for plan assets in equity securities (as a percent) | 50.00% | ' | ' |
Pension Plans [Member] | Bond Funds [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Target allocation for plan assets in equity securities (as a percent) | 42.00% | ' | ' |
Pension Plans [Member] | Real Estate Investments [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Target allocation for plan assets in equity securities (as a percent) | 8.00% | ' | ' |
Pension Plans [Member] | International Equities [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Equity securities maximum investment in international equities (as a percent) | 5.00% | ' | ' |
Postretirement Benefit [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Contribution for post-retirement benefit obligations | 500,000 | 500,000 | 600,000 |
Expected contribution and benefit payment, five years subsequent to 2017 | $1,900,000 | ' | ' |
EMPLOYEE_BENEFIT_PLANS_Benefit
EMPLOYEE BENEFIT PLANS (Benefit Obligation and Plan Assets) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Change in plan assets: | ' | ' | ' |
Accumulated benefit obligation | $5,055 | $6,201 | ' |
Pension Plans [Member] | ' | ' | ' |
Change in projected benefit obligation: | ' | ' | ' |
Benefit obligation at beginning of period | 59,331 | 53,928 | ' |
Interest cost | 2,335 | 2,388 | 2,454 |
Actuarial (gain) loss | -6,490 | 4,503 | ' |
Benefits paid | -1,790 | -1,488 | ' |
Benefit obligation at end of period | 53,386 | 59,331 | 53,928 |
Change in plan assets: | ' | ' | ' |
Fair value of plan assets at beginning of year | 45,774 | 42,470 | ' |
Actual return on plan assets | 5,634 | 4,792 | ' |
Benefits paid | -1,790 | -1,488 | ' |
Fair value of plan assets at end of year | 49,618 | 45,774 | 42,470 |
Accrued benefit cost | -3,768 | -13,557 | ' |
Postretirement Benefit [Member] | ' | ' | ' |
Change in projected benefit obligation: | ' | ' | ' |
Benefit obligation at beginning of period | 6,876 | 7,335 | ' |
Service cost | 161 | 135 | 130 |
Interest cost | 231 | 282 | 390 |
Actuarial (gain) loss | -716 | -372 | ' |
Plan participants' contribution | 19 | 23 | ' |
Benefits paid | -563 | -527 | ' |
Curtailment gain | -278 | 0 | 0 |
Benefit obligation at end of period | 5,730 | 6,876 | 7,335 |
Change in plan assets: | ' | ' | ' |
Benefits paid | ($563) | ($527) | ' |
EMPLOYEE_BENEFIT_PLANS_Net_Per
EMPLOYEE BENEFIT PLANS (Net Periodic (Benefit) Cost) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Pension Plans [Member] | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Interest cost on accumulated benefit obligation | $2,335 | $2,388 | $2,454 |
Expected return on assets | -3,058 | -2,852 | -3,112 |
Amortization of net actuarial gain (loss) | 831 | 710 | 1 |
Total net periodic (benefit) cost | 108 | 246 | -657 |
Postretirement Benefit [Member] | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Service cost - benefits attributed to service during the period | 161 | 135 | 130 |
Interest cost on accumulated benefit obligation | 231 | 282 | 390 |
Amortization of net actuarial gain (loss) | -135 | -84 | -49 |
Curtailment gain | -278 | 0 | 0 |
Total net periodic (benefit) cost | ($21) | $333 | $471 |
EMPLOYEE_BENEFIT_PLANS_Assumpt
EMPLOYEE BENEFIT PLANS (Assumptions) (Details) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Pension Plans [Member] | ' | ' | ' |
Benefit obligation | ' | ' | ' |
Discount rate | 4.75% | 4.00% | ' |
Net periodic pension cost | ' | ' | ' |
Discount rate | 4.00% | 4.50% | 5.50% |
Expected long-term rate of return on assets | 7.00% | 7.00% | 7.50% |
Postretirement Benefit [Member] | ' | ' | ' |
Benefit obligation | ' | ' | ' |
Discount rate | 4.25% | 3.50% | ' |
Net periodic pension cost | ' | ' | ' |
Discount rate | 3.50% | 4.00% | 5.50% |
EMPLOYEE_BENEFIT_PLANS_Expecte
EMPLOYEE BENEFIT PLANS (Expected Benefit Payments) (Details) (USD $) | Dec. 28, 2013 |
In Thousands, unless otherwise specified | |
Pension Plans [Member] | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' |
2014 | $2,010 |
2015 | 1,780 |
2016 | 1,890 |
2017 | 2,330 |
2018 | 2,170 |
2019-2023 | 13,850 |
Postretirement Benefit [Member] | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' |
2014 | 500 |
2015 | 500 |
2016 | 500 |
2017 | 500 |
2018 | 500 |
2019-2023 | $1,900 |
EMPLOYEE_BENEFIT_PLANS_Plan_As
EMPLOYEE BENEFIT PLANS (Plan Assets) (Details) (Pension Plans [Member], USD $) | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | ||
In Thousands, unless otherwise specified | |||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | $49,618 | $45,774 | $42,470 | ||
Level 1 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 40,401 | 37,942 | ' | ||
Level 2 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 9,217 | 7,832 | ' | ||
Cash and Cash Equivalents [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 117 | 104 | ' | ||
Cash and Cash Equivalents [Member] | Level 1 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 0 | 0 | ' | ||
Cash and Cash Equivalents [Member] | Level 2 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 117 | 104 | ' | ||
Equity Securities [Member] | US Large-Cap blend [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 11,250 | [1] | 10,574 | [1] | ' |
Equity Securities [Member] | US Large-Cap blend [Member] | Level 1 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 5,623 | [1] | 5,292 | [1] | ' |
Equity Securities [Member] | US Large-Cap blend [Member] | Level 2 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 5,627 | [1] | 5,282 | [1] | ' |
Equity Securities [Member] | US Large-Cap growth [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 5,630 | 5,284 | ' | ||
Equity Securities [Member] | US Large-Cap growth [Member] | Level 1 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 5,630 | 5,284 | ' | ||
Equity Securities [Member] | US Large-Cap growth [Member] | Level 2 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 0 | 0 | ' | ||
Equity Securities [Member] | US Mid-Cap growth [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 3,473 | 2,446 | ' | ||
Equity Securities [Member] | US Mid-Cap growth [Member] | Level 1 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 0 | 0 | ' | ||
Equity Securities [Member] | US Mid-Cap growth [Member] | Level 2 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 3,473 | 2,446 | ' | ||
Equity Securities [Member] | US Small-Cap blend [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 1,486 | 2,456 | ' | ||
Equity Securities [Member] | US Small-Cap blend [Member] | Level 1 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 1,486 | 2,456 | ' | ||
Equity Securities [Member] | US Small-Cap blend [Member] | Level 2 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 0 | 0 | ' | ||
Equity Securities [Member] | International blend [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 1,486 | 2,283 | ' | ||
Equity Securities [Member] | International blend [Member] | Level 1 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 1,486 | 2,283 | ' | ||
Equity Securities [Member] | International blend [Member] | Level 2 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 0 | 0 | ' | ||
Fixed Income Securities [Member] | Corporate Bonds [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 21,257 | [2] | 18,761 | [2] | ' |
Fixed Income Securities [Member] | Corporate Bonds [Member] | Level 1 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 21,257 | [2] | 18,761 | [2] | ' |
Fixed Income Securities [Member] | Corporate Bonds [Member] | Level 2 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 0 | [2] | 0 | [2] | ' |
Fixed Income Securities [Member] | Real estate [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 4,919 | [3] | 3,866 | [3] | ' |
Fixed Income Securities [Member] | Real estate [Member] | Level 1 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | 4,919 | [3] | 3,866 | [3] | ' |
Fixed Income Securities [Member] | Real estate [Member] | Level 2 [Member] | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair value of plan assets | $0 | [3] | $0 | [3] | ' |
[1] | This category comprises low-cost equity index funds not actively managed that track the S&P 500. | ||||
[2] | This category invests in both U.S. Treasuries and mid-term corporate debt from U.S. issuers from diverse industries. | ||||
[3] | This category invests in active management of U.S. commercial real estate projects. |
EMPLOYEE_BENEFIT_PLANS_Defined1
EMPLOYEE BENEFIT PLANS (Defined Contribution Plans) (Details) (Defined Contribution Plan [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Defined Contribution Plan [Member] | ' | ' | ' |
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ' | ' | ' |
Minimum age participation for the defined contribution plan (in years) | '21 years | ' | ' |
Minimum service participation for the defined contribution plan (in months) | '3 months | ' | ' |
Minimum hours service participation for the defined contribution plan (in hours) | '250 hours | ' | ' |
Defined contribution plan expense for the fiscal year | $8.50 | $6.30 | $4.50 |
INCOME_TAXES_Provision_for_Inc
INCOME TAXES (Provision for Income Taxes) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Current tax provision: | ' | ' | ' |
Federal | $71,696 | $87,070 | $48,141 |
State | 8,486 | 8,905 | 4,550 |
Foreign | 8,280 | 7,917 | 5,053 |
Total current provision | 88,462 | 103,892 | 57,744 |
Deferred tax provision (benefit): | ' | ' | ' |
Federal | 1,412 | -7,815 | 10,511 |
State | -942 | -846 | 309 |
Foreign | 126 | -990 | -1,692 |
Total deferred provision (benefit) | 596 | -9,651 | 9,128 |
Total provision | $89,058 | $94,241 | $66,872 |
INCOME_TAXES_Income_Before_Inc
INCOME TAXES (Income Before Income Taxes) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Domestic | $223,907 | $239,159 | $174,627 |
Foreign | 25,558 | 16,232 | 6,261 |
Total | $249,465 | $255,391 | $180,888 |
INCOME_TAXES_Effective_Rate_Re
INCOME TAXES (Effective Rate Reconciliation) (Details) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Income tax rate reconciliation [Abstract] | ' | ' | ' |
Statutory federal income tax rate | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal income tax benefit | 2.50% | 2.50% | 2.60% |
Impact of foreign operations | -1.40% | -0.70% | -0.30% |
Settlement of uncertain tax positions | -0.40% | -0.50% | -1.00% |
Acquisition expenses | 0.00% | 0.60% | 0.70% |
Total | 35.70% | 36.90% | 37.00% |
INCOME_TAXES_Deferred_Taxes_De
INCOME TAXES (Deferred Taxes) (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
Deferred tax assets: | ' | ' |
Accounts receivable allowance | $4,783,000 | $4,036,000 |
Inventory | 12,378,000 | 8,974,000 |
Accrued liabilities | 14,829,000 | 16,361,000 |
Equity-based compensation | 9,001,000 | 8,795,000 |
Deferred employee benefits | 5,111,000 | 8,626,000 |
Deferred rent | 31,855,000 | 15,543,000 |
Other | 5,050,000 | 5,333,000 |
Total deferred tax assets | 83,007,000 | 67,668,000 |
Deferred tax liabilities: | ' | ' |
Depreciation | -54,809,000 | -29,141,000 |
Tradename and licensing agreements | -108,155,000 | -114,140,000 |
Other | -4,164,000 | -3,053,000 |
Total deferred tax liabilities | -167,128,000 | -146,334,000 |
Current net deferrred tax asset | 37,313,000 | 35,675,000 |
Non-current net deferred tax liability | -121,434,000 | -114,341,000 |
Total deferred tax liability | -84,121,000 | -78,666,000 |
Undistributed earnings from subsidiary | $44,200,000 | ' |
INCOME_TAXES_Uncertain_Tax_Pro
INCOME TAXES (Uncertain Tax Provisions) (Details) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Unrecognized income tax benefits [Roll Forward] | ' | ' | ' |
Beginning Balance | $9,763,000 | $8,345,000 | $8,681,000 |
Additions based on fiscal year tax positions | 3,200,000 | 2,384,000 | 2,100,000 |
Additions for prior year tax positions | ' | 1,020,000 | ' |
Reductions for prior year tax positions | -375,000 | ' | 0 |
Reductions for lapse of statute of limitations | -1,029,000 | -1,831,000 | -1,727,000 |
Reductions for prior year tax settlements | -377,000 | -155,000 | -709,000 |
Ending Balance | 11,182,000 | 9,763,000 | 8,345,000 |
Impact of recognized tax benefit on effective tax rate, if recognized | 8,000,000 | ' | ' |
Tax reserve for which statute of limitations is expected to expire | 1,900,000 | ' | ' |
Interest accrued for uncertain tax positions | $800,000 | $700,000 | ' |
EARNINGS_PER_SHARE_Details
EARNINGS PER SHARE (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Jan. 31, 2014 | Jan. 31, 2014 | |||
Subsequent Event [Member] | ASR Settlement [Member] | |||||||||||||||
Subsequent Event [Member] | ||||||||||||||||
Weighted-average number of common and common equivalent shares outstanding: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Basic number of common shares outstanding (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 56,931,216 | 58,217,503 | 57,513,748 | ' | ' | |||
Dilutive effect of unvested restricted stock awards (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 590,951 | 851,684 | 701,169 | ' | ' | |||
Diluted number of common and common equivalent shares outstanding (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 57,522,167 | 59,069,187 | 58,214,917 | ' | ' | |||
Basic net income per common share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Net income | $42,748 | $56,571 | $19,673 | $41,415 | $48,692 | $59,378 | $20,805 | $32,275 | $160,407 | $161,150 | $114,016 | ' | ' | |||
Income allocated to participating securities | ' | ' | ' | ' | ' | ' | ' | ' | -2,144 | -2,095 | -1,211 | ' | ' | |||
Net income available to common shareholders | ' | ' | ' | ' | ' | ' | ' | ' | 158,263 | 159,055 | 112,805 | ' | ' | |||
Basic net income per common share (in dollars per share) | $0.78 | $0.98 | $0.33 | $0.70 | $0.82 | $1.01 | $0.35 | $0.55 | $2.78 | $2.73 | $1.96 | ' | ' | |||
Diluted net income per common share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Net income | 42,748 | 56,571 | 19,673 | 41,415 | 48,692 | 59,378 | 20,805 | 32,275 | 160,407 | 161,150 | 114,016 | ' | ' | |||
Income allocated to participating securities | ' | ' | ' | ' | ' | ' | ' | ' | -2,126 | -2,072 | -1,199 | ' | ' | |||
Net income available to common shareholders | ' | ' | ' | ' | ' | ' | ' | ' | $158,281 | $159,078 | $112,817 | ' | ' | |||
Diluted net income per common share (in dollars per share) | $0.78 | $0.97 | $0.33 | $0.69 | $0.81 | $0.99 | $0.35 | $0.54 | $2.75 | $2.69 | $1.94 | ' | ' | |||
Anti-dilutive shares excluded from dilutive earnings per share calculations (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 355,900 | [1] | 613,000 | [1] | 935,000 | [1] | ' | ' |
Shares repurchased under accelerated stock repurchase program | 4,600,000 | ' | ' | ' | ' | ' | ' | ' | 4,600,000 | ' | ' | 5,600,000 | 1,000,000 | |||
Additional shares to be repurchased under stock accelerated stock repurchase program | 1,000,000 | ' | ' | ' | ' | ' | ' | ' | 1,000,000 | ' | ' | ' | ' | |||
[1] | The volume of antidilutive shares is, in part, due to the related unamortized compensation costs. |
SEGMENT_INFORMATION_Reportable
SEGMENT INFORMATION (Reportable Segments) (Details) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |||||||||||||
Office Consolidation [Member] | Office Consolidation [Member] | Hogansville Distribution Facility [Member] | Hogansville Distribution Facility [Member] | Japan [Member] | Japan [Member] | Facility Closing [Member] | Facility Closing [Member] | Facility Closing [Member] | Facility Closing [Member] | H. W. Carter and Sons Tradenames [Member] | H. W. Carter and Sons Tradenames [Member] | Bonnie Togs [Member] | Bonnie Togs [Member] | Bonnie Togs [Member] | Bonnie Togs [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | Operating Segments [Member] | ||||||||||||||||||||||||
Japan Retail Operations [Member] | Japan Retail Operations [Member] | Office Consolidation [Member] | Office Consolidation [Member] | Hogansville Distribution Facility [Member] | Hogansville Distribution Facility [Member] | Carter's [Member] | Carter's [Member] | Carter's [Member] | OshKosh [Member] | OshKosh [Member] | OshKosh [Member] | Wholesale [Member] | Wholesale [Member] | Wholesale [Member] | Wholesale [Member] | Wholesale [Member] | Wholesale [Member] | Retail [Member] | Retail [Member] | Retail [Member] | Retail [Member] | Retail [Member] | Retail [Member] | International [Member] | International [Member] | International [Member] | |||||||||||||||||||||||||||||||||||||
Carter's [Member] | Carter's [Member] | Carter's [Member] | OshKosh [Member] | OshKosh [Member] | OshKosh [Member] | Carter's [Member] | Carter's [Member] | Carter's [Member] | OshKosh [Member] | OshKosh [Member] | OshKosh [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Net sales | $769,655,000 | $760,173,000 | $517,874,000 | $591,009,000 | $689,253,000 | $668,657,000 | $472,162,000 | $551,662,000 | $2,638,711,000 | $2,381,734,000 | $2,109,734,000 | ' | ' | ' | ' | ' | $15,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,989,580,000 | $1,800,354,000 | $1,610,705,000 | $363,875,000 | $363,095,000 | $362,788,000 | $1,035,420,000 | $981,445,000 | $939,115,000 | $74,564,000 | $79,752,000 | $81,888,000 | $954,160,000 | [1] | $818,909,000 | [1] | $671,590,000 | [1] | $289,311,000 | [1] | $283,343,000 | [1] | $280,900,000 | [1] | $285,256,000 | [2] | $218,285,000 | [2] | $136,241,000 | [2] | |||
Percentage of total net sales | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | 100.00% | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 75.40% | 75.60% | 76.30% | 13.80% | 15.20% | 17.20% | 39.20% | 41.20% | 44.50% | 2.80% | 3.30% | 3.90% | 36.20% | [1] | 34.40% | [1] | 31.80% | [1] | 11.00% | [1] | 11.90% | [1] | 13.30% | [1] | 10.80% | [2] | 9.20% | [2] | 6.50% | [2] | |||
Operating income (loss) | 73,394,000 | 91,076,000 | 32,738,000 | 66,943,000 | 78,367,000 | 95,392,000 | 34,427,000 | 53,800,000 | 264,151,000 | 261,986,000 | 187,466,000 | ' | ' | ' | ' | ' | -11,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 415,674,000 | 358,323,000 | 242,152,000 | 366,670,000 | 318,613,000 | 223,715,000 | 8,363,000 | -3,666,000 | -8,836,000 | 185,501,000 | 172,673,000 | 117,897,000 | 9,796,000 | 4,086,000 | 822,000 | 181,169,000 | [1] | 145,940,000 | [1] | 105,818,000 | [1] | -1,433,000 | [1] | -7,752,000 | [1] | -9,658,000 | [1] | 40,641,000 | [2],[3] | 43,376,000 | [2],[3] | 27,273,000 | [2],[3] | |||
Operating income (loss) as percentage of segment net sales | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% | 11.00% | 8.90% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.80% | 15.00% | 11.50% | 18.40% | 17.70% | 13.90% | 2.30% | -1.00% | -2.40% | 17.90% | 17.60% | 12.60% | 13.10% | 5.10% | 1.00% | 19.00% | [1] | 17.80% | [1] | 15.80% | [1] | -0.50% | [1] | -2.70% | [1] | -3.40% | [1] | 14.20% | [2],[3] | 19.90% | [2],[3] | 20.00% | [2],[3] | |||
Corporate expenses | ' | ' | ' | ' | ' | ' | ' | ' | -151,523,000 | [4],[5],[6] | -96,337,000 | [4],[5],[6] | -54,686,000 | [4],[5],[6] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Corporate expense as percentage of segment net sales | ' | ' | ' | ' | ' | ' | ' | ' | -5.70% | [4],[5],[6] | -4.00% | [4],[5],[6] | -2.60% | [4],[5],[6] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Charges associated with the revaluation of contingent consideration | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,484,000 | 2,825,000 | 3,589,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Amortization of contingent consideration | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Professional service fees | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Business exit costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,900,000 | 3,100,000 | 4,100,000 | 4,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Office consolidation costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 29,385,000 | 6,400,000 | 1,163,000 | ' | ' | ' | 33,300,000 | 6,400,000 | 1,900,000 | 3,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Amortization of H.W. Carter and Sons tradenames | ' | ' | ' | ' | ' | ' | ' | ' | $13,800,000 | $400,000 | $200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $13,600,000 | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
[1] | Includes eCommerce results. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[2] | Net sales include international retail, eCommerce, and wholesale sales. Operating income includes international licensing income. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[3] | Includes a charge of $6.7 million for the fiscal year ended December 31, 2011 related to the amortization of the fair value step-up for Bonnie Togs inventory acquired. Includes charges of $2.8 million and $3.6 million for the fiscal years ended December 28, 2013 and December 29, 2012, respectively, associated with the revaluation of the Company’s contingent consideration. Includes a charge of $4.1 million for the fiscal year ended December 28, 2013, related to the Company's exit from retail operations in Japan. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[4] | Includes the following charges: For the fiscal years ended(dollars in millions) December 28, 2013 December 29, 2012Office consolidation costs $33.3 $6.4Amortization of H.W. Carter and Sons tradenames $13.6 $—Closure of distribution facility in Hogansville, GA $1.9 $3.1 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[5] | Includes $3.0 million of professional service fees associated with the acquisition of Bonnie Togs during the fiscal year ended December 31, 2011. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[6] | Corporate expenses generally include expenses related to incentive compensation, stock-based compensation, executive management, severance and relocation, finance, building occupancy, information technology, certain legal fees, consulting, and audit fees. |
SEGMENT_INFORMATION_Net_Invent
SEGMENT INFORMATION (Net Inventory) (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Segment Reporting Information [Line Items] | ' | ' |
Net inventory | $417,754 | $349,530 |
Operating Segments [Member] | Wholesale [Member] | Carter's [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Net inventory | 232,419 | 191,988 |
Operating Segments [Member] | Wholesale [Member] | OshKosh [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Net inventory | 30,977 | 30,185 |
Operating Segments [Member] | Retail [Member] | Carter's [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Net inventory | 79,451 | 67,167 |
Operating Segments [Member] | Retail [Member] | OshKosh [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Net inventory | 28,690 | 23,914 |
Operating Segments [Member] | International [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Net inventory | $46,217 | $36,276 |
SEGMENT_INFORMATION_Revenue_De
SEGMENT INFORMATION (Revenue) (Details) (Canada [Member]) | 12 Months Ended | |
Dec. 28, 2013 | Dec. 29, 2012 | |
Canada [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Percentage of total net sales | 65.40% | 68.80% |
SEGMENT_INFORMATION_LongLived_
SEGMENT INFORMATION (Long-Lived Assets) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 307,885 | 170,110 |
United States [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 282,517 | 149,357 |
International [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 25,368 | 20,753 |
Canada [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
International long-lived assets, as a percent of total long-lived assets | 91.80% | 94.00% |
FAIR_VALUE_MEASUREMENTS_Assets
FAIR VALUE MEASUREMENTS (Assets and Liabilities Measured on Recurring Basis) (Details) (USD $) | 12 Months Ended | ||||||
Dec. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | |
Level 1 [Member] | Level 1 [Member] | Level 2 [Member] | Level 2 [Member] | Level 3 [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Gain on mark to market of marketable securities | $500,000 | ' | ' | ' | ' | ' | ' |
Assets | ' | ' | ' | ' | ' | ' | ' |
Investments | ' | 5,400,000 | 3,200,000 | 0 | 0 | 0 | 0 |
Liabilities | ' | ' | ' | ' | ' | ' | ' |
Contingent consideration | ' | 0 | 0 | 0 | 0 | ' | 29,700,000 |
Business Combination, Contingent Consideration, Liability | ' | ' | ' | ' | ' | $16,300,000 | ' |
FAIR_VALUE_MEASUREMENTS_Unobse
FAIR VALUE MEASUREMENTS (Unobservable Inputs) (Details) (Level 3 [Member]) | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 28, 2013 |
USD ($) | USD ($) | Discounted Cash Flow [Member] | Discounted Cash Flow [Member] | |
CAD | USD ($) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' | ' | ' |
Business Combination, Contingent Consideration, Liability | $16,300,000 | ' | ' | $16,300,000 |
Contingent consideration | ' | 29,700,000 | ' | ' |
Unobservable inputs, Estimated contigent consideration payment | ' | ' | 20,000,000 | ' |
Unobservable inputs, Discount rate | ' | ' | 18.00% | ' |
Unobservable inputs, Probability assumption | ' | ' | 100.00% | ' |
FAIR_VALUE_MEASUREMENTS_Borrow
FAIR VALUE MEASUREMENTS (Borrowings) (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | $586,000,000 | $186,000,000 |
Secured revolving credit facility [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Credit facility, amount outstanding | 186,000,000 | ' |
Long-term debt | 186,000,000 | 186,000,000 |
Senior notes [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 400,000,000 | 0 |
Long-term debt, fair value | $407,000,000 | ' |
OTHER_CURRENT_AND_LONGTERM_LIA2
OTHER CURRENT AND LONG-TERM LIABILITIES (Other Current Liabilities) (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Other Liabilities Disclosure [Abstract] | ' | ' |
Accrued bonuses and incentive compensation | $19,579 | $30,541 |
Contingent consideration | 8,964 | 14,442 |
Accrued workers' compensation | 7,236 | 5,446 |
Accrued sales and use taxes | 8,486 | 5,402 |
Accrued salaries and wages | 7,609 | 5,517 |
Accrued gift certificates | 7,899 | 6,011 |
Accrued 401 (k) contributions | 8,775 | 6,200 |
Accrued closure costs | 10,656 | 4,251 |
Other current liabilities | 25,925 | 16,800 |
Total | $105,129 | $94,610 |
OTHER_CURRENT_AND_LONGTERM_LIA3
OTHER CURRENT AND LONG-TERM LIABILITIES (Other Long-Term Liabilities) (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Other Liabilities Disclosure [Abstract] | ' | ' |
Deferred lease incentives | $68,876 | $29,913 |
Accrued rent | 31,821 | 20,485 |
Contingent consideration | 7,384 | 15,262 |
OshKosh pension plan | 3,768 | 13,557 |
Unrecognized tax benefits | 11,947 | 10,479 |
Post-retirement medical plan | 5,055 | 6,201 |
Deferred compensation plan | 6,225 | 3,996 |
Other | 104 | 161 |
Total | $135,180 | $100,054 |
FACILITY_CLOSURE_Details
FACILITY CLOSURE (Details) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | |||||||||||||||||||||||||||||
Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Mar. 14, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Oct. 11, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | |
Hogansville Distribution Facility [Member] | Hogansville Distribution Facility [Member] | Hogansville Distribution Facility [Member] | Hogansville Distribution Facility [Member] | Hogansville Distribution Facility [Member] | Hogansville Distribution Facility [Member] | Hogansville Distribution Facility [Member] | Hogansville Distribution Facility [Member] | Hogansville Distribution Facility [Member] | Office Consolidation [Member] | Office Consolidation [Member] | Office Consolidation [Member] | Office Consolidation [Member] | Office Consolidation [Member] | Office Consolidation [Member] | Office Consolidation [Member] | Office Consolidation [Member] | Office Consolidation [Member] | Office Consolidation [Member] | Japan Retail Operations [Member] | Japan Retail Operations [Member] | Japan Retail Operations [Member] | Japan Retail Operations [Member] | Japan Retail Operations [Member] | Japan Retail Operations [Member] | Japan Retail Operations [Member] | Japan Retail Operations [Member] | ||||||||||||
Severance [Member] | Severance [Member] | Accelerated Depreciation [Member] | Accelerated Depreciation [Member] | Other Closure Costs [Member] | Other Closure Costs [Member] | Severance [Member] | Accelerated Depreciation [Member] | Accelerated Depreciation [Member] | Other Closure Costs [Member] | Other Closure Costs [Member] | Severance and Other Benefits [Member] | Severance and Other Benefits [Member] | Japan [Member] | Japan [Member] | Japan [Member] | Japan [Member] | Accelerated Depreciation [Member] | Severance and Other Benefits [Member] | Lease Related Charges [Member] | Inventory Write-Offs [Member] | ||||||||||||||||||
Forecast [Member] | Selling, General and Administrative Expenses [Member] | Japan [Member] | Japan [Member] | Japan [Member] | Japan [Member] | |||||||||||||||||||||||||||||||||
Selling, General and Administrative Expenses [Member] | Selling, General and Administrative Expenses [Member] | Selling, General and Administrative Expenses [Member] | Cost of Goods Sold [Member] | |||||||||||||||||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | $769,655,000 | $760,173,000 | $517,874,000 | $591,009,000 | $689,253,000 | $668,657,000 | $472,162,000 | $551,662,000 | $2,638,711,000 | $2,381,734,000 | $2,109,734,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $15,900,000 | ' | ' | ' | ' | ' | ' |
Operating income (loss) | 73,394,000 | 91,076,000 | 32,738,000 | 66,943,000 | 78,367,000 | 95,392,000 | 34,427,000 | 53,800,000 | 264,151,000 | 261,986,000 | 187,466,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -11,300,000 | -6,000,000 | ' | ' | ' | ' | ' |
Number of employees affected by closure | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 210 | ' | ' | ' | ' | ' | ' | ' | ' | 175 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business exit costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,900,000 | 3,100,000 | 400,000 | 2,000,000 | 700,000 | 900,000 | 800,000 | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,100,000 | 4,100,000 | ' | ' | ' | ' | ' | ' |
Restructuring reserve, beginning balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,039,000 | ' | 2,039,000 | ' | ' | ' | 0 | ' | ' | 2,212,000 | ' | 2,212,000 | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provision | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,163,000 | ' | 382,000 | ' | ' | ' | 781,000 | ' | ' | 29,385,000 | 6,400,000 | ' | 4,000,000 | 1,100,000 | 24,545,000 | 3,100,000 | 4,840,000 | 2,200,000 | ' | ' | ' | 3,000,000 | 100,000 | 900,000 | 2,000,000 | 1,100,000 |
Payments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,870,000 | ' | -1,225,000 | ' | ' | ' | -645,000 | ' | ' | -25,173,000 | ' | -2,351,000 | ' | ' | -22,822,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring reserve, ending balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,332,000 | 2,039,000 | 1,196,000 | 2,039,000 | ' | ' | 136,000 | 0 | ' | 6,424,000 | 2,212,000 | 4,701,000 | ' | ' | 1,723,000 | 0 | ' | ' | 2,900,000 | 2,900,000 | ' | ' | ' | ' | ' | ' |
Expected additional closure-related charges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $5,000,000 | ' | ' | ' | ' | ' |
LEASE_COMMITMENTS_Details
LEASE COMMITMENTS (Details) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
sqft | |||
store | |||
Operating Leased Assets [Line Items] | ' | ' | ' |
Rent expense under operating leases | $117,300,000 | $99,300,000 | $83,100,000 |
2014 | 104,517,000 | ' | ' |
2015 | 100,617,000 | ' | ' |
2016 | 91,417,000 | ' | ' |
2017 | 86,007,000 | ' | ' |
2018 | 81,257,000 | ' | ' |
Thereafter | 302,405,000 | ' | ' |
Total | $766,220,000 | ' | ' |
Number of stores leased | 657 | ' | ' |
Retail square footage average size | 4,400 | ' | ' |
Minimum [Member] | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' |
International retail store average lease term | '5 years | ' | ' |
Maximum [Member] | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' |
International retail store average lease term | '10 years | ' | ' |
Canada [Member] | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' |
Number of international leased retail stores | 102 | ' | ' |
International retail store average square footage | 5,500 | ' | ' |
VALUATION_AND_QUALIFYING_ACCOU2
VALUATION AND QUALIFYING ACCOUNTS (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Accounts receivable reserves [Roll Forward] | ' | ' | ' |
Beginning balance | $7,588 | $5,020 | $3,251 |
Additions, charged to expense | 11,355 | 9,205 | 8,348 |
Charges to reserve | -9,235 | -6,637 | -6,579 |
Ending balance | 9,708 | 7,588 | 5,020 |
Accounts receivable reserves [Member] | ' | ' | ' |
Accounts receivable reserves [Roll Forward] | ' | ' | ' |
Beginning balance | 7,188 | 4,620 | 2,851 |
Additions, charged to expense | 10,245 | 8,251 | 7,227 |
Charges to reserve | -8,125 | -5,683 | -5,458 |
Ending balance | 9,308 | 7,188 | 4,620 |
Sales returns reserve [Member] | ' | ' | ' |
Accounts receivable reserves [Roll Forward] | ' | ' | ' |
Beginning balance | 400 | 400 | 400 |
Additions, charged to expense | 1,110 | 954 | 1,121 |
Charges to reserve | -1,110 | -954 | -1,121 |
Ending balance | $400 | $400 | $400 |
UNAUDITED_QUARTERLY_FINANCIAL_2
UNAUDITED QUARTERLY FINANCIAL DATA (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | $769,655 | $760,173 | $517,874 | $591,009 | $689,253 | $668,657 | $472,162 | $551,662 | $2,638,711 | $2,381,734 | $2,109,734 |
Gross profit | 322,423 | 309,649 | 220,245 | 243,062 | 289,889 | 270,077 | 183,243 | 194,739 | 1,095,379 | 937,948 | 692,278 |
Selling, general, and administrative expenses | 258,841 | 229,264 | 195,014 | 185,361 | 222,049 | 185,167 | 156,290 | 149,705 | 868,480 | 713,211 | 542,086 |
Royalty income | -9,812 | -10,691 | -7,507 | -9,242 | -10,527 | -10,482 | -7,474 | -8,766 | -37,252 | -37,249 | -37,274 |
Operating income | 73,394 | 91,076 | 32,738 | 66,943 | 78,367 | 95,392 | 34,427 | 53,800 | 264,151 | 261,986 | 187,466 |
Net income | $42,748 | $56,571 | $19,673 | $41,415 | $48,692 | $59,378 | $20,805 | $32,275 | $160,407 | $161,150 | $114,016 |
Basic net income per common share (in dollars per share) | $0.78 | $0.98 | $0.33 | $0.70 | $0.82 | $1.01 | $0.35 | $0.55 | $2.78 | $2.73 | $1.96 |
Diluted net income per common share (in dollars per share) | $0.78 | $0.97 | $0.33 | $0.69 | $0.81 | $0.99 | $0.35 | $0.54 | $2.75 | $2.69 | $1.94 |
GUARANTOR_CONDENSED_CONSOLIDAT2
GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Balance Sheets) (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Jan. 01, 2011 |
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | $286,546 | $382,236 | $233,494 | $247,382 |
Accounts receivable, net | 193,611 | 168,046 | ' | ' |
Intercompany receivable | 0 | 0 | ' | ' |
Finished goods inventories, net | 417,754 | 349,530 | ' | ' |
Prepaid expenses and other current assets | 35,157 | 22,216 | ' | ' |
Deferred income taxes | 37,313 | 35,675 | ' | ' |
Total current assets | 970,381 | 957,703 | ' | ' |
Property, plant, and equipment, net | 307,885 | 170,110 | ' | ' |
Goodwill | 186,077 | 189,749 | ' | ' |
Tradenames and other intangibles, net | 330,258 | 306,072 | ' | ' |
Deferred debt issuance costs, net | 8,088 | 2,878 | ' | ' |
Other assets | 9,795 | 3,597 | ' | ' |
Intercompany long term receivable | 0 | 0 | ' | ' |
Intercompany long term note receivable | 0 | ' | ' | ' |
Investment in subsidiaries | 0 | 0 | ' | ' |
Total assets | 1,812,484 | 1,630,109 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 164,010 | 149,625 | ' | ' |
Intercompany payables | 0 | 0 | ' | ' |
Other current liabilities | 105,129 | 94,610 | ' | ' |
Total current liabilities | 269,139 | 244,235 | ' | ' |
Long-term debt | 586,000 | 186,000 | ' | ' |
Deferred income taxes | 121,434 | 114,341 | ' | ' |
Intercompany long term liability | 0 | 0 | ' | ' |
Intercompany long term note payable | 0 | ' | ' | ' |
Other long-term liabilities | 135,180 | 100,054 | ' | ' |
Total stockholders’ equity | 700,731 | 985,479 | 805,709 | 679,936 |
Total liabilities and stockholders’ equity | 1,812,484 | 1,630,109 | ' | ' |
Parent [Member] | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Accounts receivable, net | 0 | 0 | ' | ' |
Intercompany receivable | 0 | ' | ' | ' |
Finished goods inventories, net | 0 | 0 | ' | ' |
Prepaid expenses and other current assets | 0 | 0 | ' | ' |
Deferred income taxes | 0 | 0 | ' | ' |
Total current assets | 0 | 0 | ' | ' |
Property, plant, and equipment, net | 0 | 0 | ' | ' |
Goodwill | 0 | 0 | ' | ' |
Tradenames and other intangibles, net | 0 | 0 | ' | ' |
Deferred debt issuance costs, net | 0 | 0 | ' | ' |
Other assets | 0 | 0 | ' | ' |
Intercompany long term receivable | 0 | 0 | ' | ' |
Intercompany long term note receivable | 0 | ' | ' | ' |
Investment in subsidiaries | 700,731 | 985,479 | ' | ' |
Total assets | 700,731 | 985,479 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 0 | 0 | ' | ' |
Intercompany payables | 0 | 0 | ' | ' |
Other current liabilities | 0 | 0 | ' | ' |
Total current liabilities | 0 | 0 | ' | ' |
Long-term debt | 0 | 0 | ' | ' |
Deferred income taxes | 0 | 0 | ' | ' |
Intercompany long term liability | 0 | 0 | ' | ' |
Intercompany long term note payable | 0 | ' | ' | ' |
Other long-term liabilities | 0 | 0 | ' | ' |
Total stockholders’ equity | 700,731 | 985,479 | ' | ' |
Total liabilities and stockholders’ equity | 700,731 | 985,479 | ' | ' |
Subsidiary Issuer [Member] | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 278,260 | 351,858 | 219,866 | 241,377 |
Accounts receivable, net | 163,264 | 145,457 | ' | ' |
Intercompany receivable | 62,802 | 49,223 | ' | ' |
Finished goods inventories, net | 221,462 | 188,237 | ' | ' |
Prepaid expenses and other current assets | 18,475 | 9,051 | ' | ' |
Deferred income taxes | 20,594 | 20,932 | ' | ' |
Total current assets | 764,857 | 764,758 | ' | ' |
Property, plant, and equipment, net | 148,671 | 50,605 | ' | ' |
Goodwill | 136,570 | 136,570 | ' | ' |
Tradenames and other intangibles, net | 244,653 | 220,233 | ' | ' |
Deferred debt issuance costs, net | 8,088 | 2,878 | ' | ' |
Other assets | 9,743 | 3,523 | ' | ' |
Intercompany long term receivable | 0 | 0 | ' | ' |
Intercompany long term note receivable | 100,000 | ' | ' | ' |
Investment in subsidiaries | 547,186 | 489,370 | ' | ' |
Total assets | 1,959,768 | 1,667,937 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 108,851 | 109,981 | ' | ' |
Intercompany payables | 100,804 | 47,319 | ' | ' |
Other current liabilities | 29,037 | 16,880 | ' | ' |
Total current liabilities | 238,692 | 174,180 | ' | ' |
Long-term debt | 586,000 | 186,000 | ' | ' |
Deferred income taxes | 77,798 | 78,385 | ' | ' |
Intercompany long term liability | 263,183 | 184,804 | ' | ' |
Intercompany long term note payable | 0 | ' | ' | ' |
Other long-term liabilities | 61,550 | 22,947 | ' | ' |
Total stockholders’ equity | 732,545 | 1,021,621 | ' | ' |
Total liabilities and stockholders’ equity | 1,959,768 | 1,667,937 | ' | ' |
Guarantor Subsidiaries [Member] | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 0 | 6,940 | 283 | 6,005 |
Accounts receivable, net | 20,365 | 18,459 | ' | ' |
Intercompany receivable | 104,123 | 52,099 | ' | ' |
Finished goods inventories, net | 181,889 | 170,895 | ' | ' |
Prepaid expenses and other current assets | 11,878 | 10,183 | ' | ' |
Deferred income taxes | 15,893 | 13,787 | ' | ' |
Total current assets | 334,148 | 272,363 | ' | ' |
Property, plant, and equipment, net | 133,846 | 98,753 | ' | ' |
Goodwill | 0 | 0 | ' | ' |
Tradenames and other intangibles, net | 85,500 | 85,500 | ' | ' |
Deferred debt issuance costs, net | 0 | 0 | ' | ' |
Other assets | 52 | 74 | ' | ' |
Intercompany long term receivable | 263,183 | 184,804 | ' | ' |
Intercompany long term note receivable | 0 | ' | ' | ' |
Investment in subsidiaries | 1,262 | 488 | ' | ' |
Total assets | 817,991 | 641,982 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 40,825 | 33,333 | ' | ' |
Intercompany payables | 70,857 | 47,719 | ' | ' |
Other current liabilities | 57,610 | 59,942 | ' | ' |
Total current liabilities | 169,292 | 140,994 | ' | ' |
Long-term debt | 0 | 0 | ' | ' |
Deferred income taxes | 43,636 | 35,956 | ' | ' |
Intercompany long term liability | 0 | 0 | ' | ' |
Intercompany long term note payable | 100,000 | ' | ' | ' |
Other long-term liabilities | 55,175 | 52,648 | ' | ' |
Total stockholders’ equity | 449,888 | 412,384 | ' | ' |
Total liabilities and stockholders’ equity | 817,991 | 641,982 | ' | ' |
Non-Guarantors Subsidiaries [Member] | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 8,286 | 23,438 | 13,345 | 0 |
Accounts receivable, net | 9,982 | 4,130 | ' | ' |
Intercompany receivable | 12,385 | 1 | ' | ' |
Finished goods inventories, net | 46,217 | 26,540 | ' | ' |
Prepaid expenses and other current assets | 4,804 | 2,982 | ' | ' |
Deferred income taxes | 826 | 956 | ' | ' |
Total current assets | 82,500 | 58,047 | ' | ' |
Property, plant, and equipment, net | 25,368 | 20,752 | ' | ' |
Goodwill | 49,507 | 53,179 | ' | ' |
Tradenames and other intangibles, net | 105 | 339 | ' | ' |
Deferred debt issuance costs, net | 0 | 0 | ' | ' |
Other assets | 0 | 0 | ' | ' |
Intercompany long term receivable | 0 | 0 | ' | ' |
Intercompany long term note receivable | 0 | ' | ' | ' |
Investment in subsidiaries | 0 | 0 | ' | ' |
Total assets | 157,480 | 132,317 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 14,334 | 6,311 | ' | ' |
Intercompany payables | 7,649 | 6,285 | ' | ' |
Other current liabilities | 18,482 | 17,788 | ' | ' |
Total current liabilities | 40,465 | 30,384 | ' | ' |
Long-term debt | 0 | 0 | ' | ' |
Deferred income taxes | 0 | 0 | ' | ' |
Intercompany long term liability | 0 | 0 | ' | ' |
Intercompany long term note payable | 0 | ' | ' | ' |
Other long-term liabilities | 18,455 | 24,459 | ' | ' |
Total stockholders’ equity | 98,560 | 77,474 | ' | ' |
Total liabilities and stockholders’ equity | 157,480 | 132,317 | ' | ' |
Consolidating Adjustments [Member] | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Accounts receivable, net | 0 | 0 | ' | ' |
Intercompany receivable | -179,310 | -101,323 | ' | ' |
Finished goods inventories, net | -31,814 | -36,142 | ' | ' |
Prepaid expenses and other current assets | 0 | 0 | ' | ' |
Deferred income taxes | 0 | 0 | ' | ' |
Total current assets | -211,124 | -137,465 | ' | ' |
Property, plant, and equipment, net | 0 | 0 | ' | ' |
Goodwill | 0 | 0 | ' | ' |
Tradenames and other intangibles, net | 0 | 0 | ' | ' |
Deferred debt issuance costs, net | 0 | 0 | ' | ' |
Other assets | 0 | 0 | ' | ' |
Intercompany long term receivable | -263,183 | -184,804 | ' | ' |
Intercompany long term note receivable | -100,000 | ' | ' | ' |
Investment in subsidiaries | -1,249,179 | -1,475,337 | ' | ' |
Total assets | -1,823,486 | -1,797,606 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 0 | 0 | ' | ' |
Intercompany payables | -179,310 | -101,323 | ' | ' |
Other current liabilities | ' | 0 | ' | ' |
Total current liabilities | -179,310 | -101,323 | ' | ' |
Long-term debt | 0 | 0 | ' | ' |
Deferred income taxes | 0 | 0 | ' | ' |
Intercompany long term liability | -263,183 | -184,804 | ' | ' |
Intercompany long term note payable | -100,000 | ' | ' | ' |
Other long-term liabilities | 0 | 0 | ' | ' |
Total stockholders’ equity | -1,280,993 | -1,511,479 | ' | ' |
Total liabilities and stockholders’ equity | ($1,823,486) | ($1,797,606) | ' | ' |
GUARANTOR_CONDENSED_CONSOLIDAT3
GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Income Statement) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Condensed Income Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | $769,655 | $760,173 | $517,874 | $591,009 | $689,253 | $668,657 | $472,162 | $551,662 | $2,638,711 | $2,381,734 | $2,109,734 |
Cost of goods sold | ' | ' | ' | ' | ' | ' | ' | ' | 1,543,332 | 1,443,786 | 1,417,456 |
Gross profit | 322,423 | 309,649 | 220,245 | 243,062 | 289,889 | 270,077 | 183,243 | 194,739 | 1,095,379 | 937,948 | 692,278 |
Selling, general, and administrative expenses | 258,841 | 229,264 | 195,014 | 185,361 | 222,049 | 185,167 | 156,290 | 149,705 | 868,480 | 713,211 | 542,086 |
Royalty income | -9,812 | -10,691 | -7,507 | -9,242 | -10,527 | -10,482 | -7,474 | -8,766 | -37,252 | -37,249 | -37,274 |
Operating income (loss) | 73,394 | 91,076 | 32,738 | 66,943 | 78,367 | 95,392 | 34,427 | 53,800 | 264,151 | 261,986 | 187,466 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 13,437 | 6,765 | 7,549 |
Interest income | ' | ' | ' | ' | ' | ' | ' | ' | -669 | -234 | -386 |
(Income) loss in subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Other expense (income), net | ' | ' | ' | ' | ' | ' | ' | ' | 1,918 | 64 | -585 |
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 249,465 | 255,391 | 180,888 |
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 89,058 | 94,241 | 66,872 |
Net income | 42,748 | 56,571 | 19,673 | 41,415 | 48,692 | 59,378 | 20,805 | 32,275 | 160,407 | 161,150 | 114,016 |
Parent [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Income Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Cost of goods sold | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Selling, general, and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Royalty income | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Operating income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Interest income | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
(Income) loss in subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | -160,407 | -161,150 | -114,016 |
Other expense (income), net | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 160,407 | 161,150 | 114,016 |
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 160,407 | 161,150 | 114,016 |
Subsidiary Issuer [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Income Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | ' | ' | ' | ' | ' | ' | ' | ' | 1,637,361 | 1,482,066 | 1,402,589 |
Cost of goods sold | ' | ' | ' | ' | ' | ' | ' | ' | 1,170,073 | 1,066,249 | 1,087,986 |
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | 467,288 | 415,817 | 314,603 |
Selling, general, and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | 204,255 | 163,614 | 127,105 |
Royalty income | ' | ' | ' | ' | ' | ' | ' | ' | -28,174 | -25,460 | -22,808 |
Operating income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | 291,207 | 277,663 | 210,306 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 13,374 | 6,749 | 7,548 |
Interest income | ' | ' | ' | ' | ' | ' | ' | ' | -1,100 | -230 | -525 |
(Income) loss in subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 51,973 | 32,053 | 22,145 |
Other expense (income), net | ' | ' | ' | ' | ' | ' | ' | ' | -358 | 64 | -224 |
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 227,318 | 239,027 | 181,362 |
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 71,238 | 75,885 | 55,638 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 156,080 | 163,142 | 125,724 |
Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Income Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | ' | ' | ' | ' | ' | ' | ' | ' | 1,397,540 | 1,241,686 | 1,084,461 |
Cost of goods sold | ' | ' | ' | ' | ' | ' | ' | ' | 819,798 | 747,906 | 686,630 |
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | 577,742 | 493,780 | 397,831 |
Selling, general, and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | 632,854 | 535,927 | 430,523 |
Royalty income | ' | ' | ' | ' | ' | ' | ' | ' | -17,909 | -18,118 | -17,403 |
Operating income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | -37,203 | -24,029 | -15,289 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 598 | 0 | 0 |
Interest income | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
(Income) loss in subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 10,122 | 4,761 | 0 |
Other expense (income), net | ' | ' | ' | ' | ' | ' | ' | ' | 403 | 145 | -11 |
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | -48,326 | -28,935 | -15,278 |
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 11,061 | 12,788 | 8,854 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | -59,387 | -41,723 | -24,132 |
Non-Guarantors Subsidiaries [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Income Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | ' | ' | ' | ' | ' | ' | ' | ' | 220,438 | 150,494 | 76,571 |
Cost of goods sold | ' | ' | ' | ' | ' | ' | ' | ' | 112,503 | 79,148 | 46,667 |
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | 107,935 | 71,346 | 29,904 |
Selling, general, and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | 102,115 | 61,000 | 25,747 |
Royalty income | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | 0 |
Operating income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | 5,820 | 10,346 | 4,157 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 63 | 121 | 165 |
Interest income | ' | ' | ' | ' | ' | ' | ' | ' | -167 | -109 | -25 |
(Income) loss in subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Other expense (income), net | ' | ' | ' | ' | ' | ' | ' | ' | 1,873 | -145 | -350 |
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 4,051 | 10,479 | 4,367 |
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 6,759 | 5,568 | 2,380 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | -2,708 | 4,911 | 1,987 |
Consolidating Adjustments [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Income Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | ' | ' | ' | ' | ' | ' | ' | ' | -616,628 | -492,512 | -453,887 |
Cost of goods sold | ' | ' | ' | ' | ' | ' | ' | ' | -559,042 | -449,517 | -403,827 |
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | -57,586 | -42,995 | -50,060 |
Selling, general, and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | -70,744 | -47,330 | -41,289 |
Royalty income | ' | ' | ' | ' | ' | ' | ' | ' | 8,831 | 6,329 | 2,937 |
Operating income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | 4,327 | -1,994 | -11,708 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | -598 | -105 | -164 |
Interest income | ' | ' | ' | ' | ' | ' | ' | ' | 598 | 105 | 164 |
(Income) loss in subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 98,312 | 124,336 | 91,871 |
Other expense (income), net | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | -93,985 | -126,330 | -103,579 |
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | ($93,985) | ($126,330) | ($103,579) |
GUARANTOR_CONDENSED_CONSOLIDAT4
GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Comprehensive Income) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | $42,748,000 | $56,571,000 | $19,673,000 | $41,415,000 | $48,692,000 | $59,378,000 | $20,805,000 | $32,275,000 | $160,407,000 | $161,150,000 | $114,016,000 |
Post-retirement benefit plans | ' | ' | ' | ' | ' | ' | ' | ' | 6,609,000 | -981,000 | -6,268,000 |
Foreign currency translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | -5,486,000 | 1,058,000 | -3,124,000 |
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | 161,530,000 | 161,227,000 | 104,624,000 |
Parent [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 160,407,000 | 161,150,000 | 114,016,000 |
Post-retirement benefit plans | ' | ' | ' | ' | ' | ' | ' | ' | 6,609,000 | -981,000 | -6,268,000 |
Foreign currency translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | -5,486,000 | 1,058,000 | -3,124,000 |
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | 161,530,000 | 161,227,000 | 104,624,000 |
Subsidiary Issuer [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 156,080,000 | 163,142,000 | 125,724,000 |
Post-retirement benefit plans | ' | ' | ' | ' | ' | ' | ' | ' | 371,000 | 182,000 | -62,000 |
Foreign currency translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | 156,451,000 | 163,324,000 | 125,662,000 |
Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | -59,387,000 | -41,723,000 | -24,132,000 |
Post-retirement benefit plans | ' | ' | ' | ' | ' | ' | ' | ' | 6,238,000 | -1,163,000 | -6,206,000 |
Foreign currency translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | -53,149,000 | -42,886,000 | -30,338,000 |
Non-Guarantors Subsidiaries [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | -2,708,000 | 4,911,000 | 1,987,000 |
Post-retirement benefit plans | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Foreign currency translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | -5,486,000 | 1,058,000 | -3,124,000 |
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | -8,194,000 | 5,969,000 | -1,137,000 |
Consolidating Adjustments [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | -93,985,000 | -126,330,000 | -103,579,000 |
Post-retirement benefit plans | ' | ' | ' | ' | ' | ' | ' | ' | -6,609,000 | 981,000 | 6,268,000 |
Foreign currency translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | 5,486,000 | -1,058,000 | 3,124,000 |
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | ($95,108,000) | ($126,407,000) | ($94,187,000) |
GUARANTOR_CONDENSED_CONSOLIDAT5
GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Cash Flows) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Condensed Cash Flow Statements, Captions [Line Items] | ' | ' | ' |
Net cash provided by operating activities | $209,696 | $278,619 | $81,074 |
Cash flows from investing activities: | ' | ' | ' |
Capital expenditures | -182,525 | -83,398 | -45,495 |
Intercompany investing activity | 0 | 0 | 0 |
Receipts from collection of intercompany loan | ' | 0 | ' |
Issuance of intercompany loan | 0 | ' | 0 |
Acquisition of tradenames | -38,007 | 0 | 0 |
Acquisition of Bonnie Togs, net of cash acquired | 0 | 0 | -61,207 |
Proceeds from sale of property, plant, and equipment | 0 | 6 | 10 |
Net cash used in investing activities | -220,532 | -83,392 | -106,692 |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from senior notes | 400,000 | 0 | 0 |
Payments on term loan | ' | ' | 0 |
Intercompany financing activity | 0 | 0 | 0 |
Proceeds from intercompany loan | 0 | ' | ' |
Repayment of intercompany loan | ' | 0 | ' |
Borrowings under secured revolving credit facility | 0 | 2,500 | 0 |
Payments on secured revolving credit facility | 0 | -52,500 | 0 |
Payments of debt issuance costs | -6,989 | -1,916 | 0 |
Payment of contingent consideration | -14,721 | 0 | 0 |
Dividends paid | -27,715 | 0 | 0 |
Repurchase of common stock | -454,133 | 0 | 0 |
Income tax benefit from stock-based compensation | 11,040 | 2,760 | 6,900 |
Withholdings from vesting of restricted stock | -5,052 | -2,846 | -2,181 |
Proceeds from exercise of stock options | 12,912 | 5,685 | 6,786 |
Net cash (used in) provided by financing activities | -84,658 | -46,317 | 11,505 |
Effect of exchange rate changes on cash | -196 | -168 | 225 |
Net increase (decrease) in cash and cash equivalents | -95,690 | 148,742 | -13,888 |
Cash and cash equivalents, beginning of period | 382,236 | 233,494 | 247,382 |
Cash and cash equivalents, end of period | 286,546 | 382,236 | 233,494 |
Parent [Member] | ' | ' | ' |
Condensed Cash Flow Statements, Captions [Line Items] | ' | ' | ' |
Net cash provided by operating activities | 0 | 0 | 0 |
Cash flows from investing activities: | ' | ' | ' |
Capital expenditures | 0 | 0 | 0 |
Intercompany investing activity | 473,988 | -2,839 | -4,605 |
Receipts from collection of intercompany loan | ' | 0 | ' |
Issuance of intercompany loan | 0 | ' | 0 |
Acquisition of tradenames | 0 | ' | ' |
Acquisition of Bonnie Togs, net of cash acquired | ' | ' | 0 |
Proceeds from sale of property, plant, and equipment | ' | 0 | 0 |
Net cash used in investing activities | 473,988 | -2,839 | -4,605 |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from senior notes | 0 | ' | ' |
Payments on term loan | ' | ' | 0 |
Intercompany financing activity | 0 | 0 | 0 |
Proceeds from intercompany loan | 0 | ' | ' |
Repayment of intercompany loan | ' | 0 | ' |
Borrowings under secured revolving credit facility | ' | 0 | ' |
Payments on secured revolving credit facility | ' | 0 | ' |
Payments of debt issuance costs | 0 | 0 | ' |
Payment of contingent consideration | 0 | ' | ' |
Dividends paid | -27,715 | ' | ' |
Repurchase of common stock | -454,133 | ' | ' |
Income tax benefit from stock-based compensation | 0 | 0 | 0 |
Withholdings from vesting of restricted stock | -5,052 | -2,846 | -2,181 |
Proceeds from exercise of stock options | 12,912 | 5,685 | 6,786 |
Net cash (used in) provided by financing activities | -473,988 | 2,839 | 4,605 |
Effect of exchange rate changes on cash | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents, beginning of period | 0 | 0 | 0 |
Cash and cash equivalents, end of period | 0 | 0 | 0 |
Subsidiary Issuer [Member] | ' | ' | ' |
Condensed Cash Flow Statements, Captions [Line Items] | ' | ' | ' |
Net cash provided by operating activities | 125,482 | 153,058 | 76,662 |
Cash flows from investing activities: | ' | ' | ' |
Capital expenditures | -111,560 | -24,072 | -10,808 |
Intercompany investing activity | 26,693 | 4,548 | 5,055 |
Receipts from collection of intercompany loan | ' | 4,766 | ' |
Issuance of intercompany loan | -100,000 | ' | -4,766 |
Acquisition of tradenames | -38,007 | ' | ' |
Acquisition of Bonnie Togs, net of cash acquired | ' | ' | -61,038 |
Proceeds from sale of property, plant, and equipment | ' | 0 | 10 |
Net cash used in investing activities | -222,874 | -14,758 | -71,547 |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from senior notes | 400,000 | ' | ' |
Payments on term loan | ' | ' | 0 |
Intercompany financing activity | -361,424 | 44,557 | -33,076 |
Proceeds from intercompany loan | 0 | ' | ' |
Repayment of intercompany loan | ' | 0 | ' |
Borrowings under secured revolving credit facility | ' | 0 | ' |
Payments on secured revolving credit facility | ' | -50,000 | ' |
Payments of debt issuance costs | -6,989 | -1,916 | ' |
Payment of contingent consideration | -14,721 | ' | ' |
Dividends paid | 0 | ' | ' |
Repurchase of common stock | 0 | ' | ' |
Income tax benefit from stock-based compensation | 6,928 | 1,051 | 6,450 |
Withholdings from vesting of restricted stock | 0 | 0 | 0 |
Proceeds from exercise of stock options | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | 23,794 | -6,308 | -26,626 |
Effect of exchange rate changes on cash | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | -73,598 | 131,992 | -21,511 |
Cash and cash equivalents, beginning of period | 351,858 | 219,866 | 241,377 |
Cash and cash equivalents, end of period | 278,260 | 351,858 | 219,866 |
Guarantor Subsidiaries [Member] | ' | ' | ' |
Condensed Cash Flow Statements, Captions [Line Items] | ' | ' | ' |
Net cash provided by operating activities | 72,095 | 107,433 | -2,897 |
Cash flows from investing activities: | ' | ' | ' |
Capital expenditures | -59,852 | -50,337 | -32,680 |
Intercompany investing activity | -4,112 | -4,528 | -450 |
Receipts from collection of intercompany loan | ' | 0 | ' |
Issuance of intercompany loan | 0 | ' | 0 |
Acquisition of tradenames | 0 | ' | ' |
Acquisition of Bonnie Togs, net of cash acquired | ' | ' | 0 |
Proceeds from sale of property, plant, and equipment | ' | 0 | 0 |
Net cash used in investing activities | -63,964 | -54,865 | -33,130 |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from senior notes | 0 | ' | ' |
Payments on term loan | ' | ' | 0 |
Intercompany financing activity | -119,183 | -47,620 | 29,855 |
Proceeds from intercompany loan | 100,000 | ' | ' |
Repayment of intercompany loan | ' | 0 | ' |
Borrowings under secured revolving credit facility | ' | 0 | ' |
Payments on secured revolving credit facility | ' | 0 | ' |
Payments of debt issuance costs | 0 | 0 | ' |
Payment of contingent consideration | 0 | ' | ' |
Dividends paid | 0 | ' | ' |
Repurchase of common stock | 0 | ' | ' |
Income tax benefit from stock-based compensation | 4,112 | 1,709 | 450 |
Withholdings from vesting of restricted stock | 0 | 0 | 0 |
Proceeds from exercise of stock options | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | -15,071 | -45,911 | 30,305 |
Effect of exchange rate changes on cash | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | -6,940 | 6,657 | -5,722 |
Cash and cash equivalents, beginning of period | 6,940 | 283 | 6,005 |
Cash and cash equivalents, end of period | 0 | 6,940 | 283 |
Non-Guarantors Subsidiaries [Member] | ' | ' | ' |
Condensed Cash Flow Statements, Captions [Line Items] | ' | ' | ' |
Net cash provided by operating activities | 12,119 | 18,128 | 7,309 |
Cash flows from investing activities: | ' | ' | ' |
Capital expenditures | -11,113 | -8,989 | -2,007 |
Intercompany investing activity | -14,721 | 2,819 | 0 |
Receipts from collection of intercompany loan | ' | 0 | ' |
Issuance of intercompany loan | 0 | ' | 0 |
Acquisition of tradenames | 0 | ' | ' |
Acquisition of Bonnie Togs, net of cash acquired | ' | ' | -169 |
Proceeds from sale of property, plant, and equipment | ' | 6 | 0 |
Net cash used in investing activities | -25,834 | -6,164 | -2,176 |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from senior notes | 0 | ' | ' |
Payments on term loan | ' | ' | 4,766 |
Intercompany financing activity | -1,241 | 3,063 | 3,221 |
Proceeds from intercompany loan | 0 | ' | ' |
Repayment of intercompany loan | ' | -4,766 | ' |
Borrowings under secured revolving credit facility | ' | 2,500 | ' |
Payments on secured revolving credit facility | ' | -2,500 | ' |
Payments of debt issuance costs | 0 | 0 | ' |
Payment of contingent consideration | 0 | ' | ' |
Dividends paid | 0 | ' | ' |
Repurchase of common stock | 0 | ' | ' |
Income tax benefit from stock-based compensation | 0 | 0 | 0 |
Withholdings from vesting of restricted stock | 0 | 0 | 0 |
Proceeds from exercise of stock options | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | -1,241 | -1,703 | 7,987 |
Effect of exchange rate changes on cash | -196 | -168 | 225 |
Net increase (decrease) in cash and cash equivalents | -15,152 | 10,093 | 13,345 |
Cash and cash equivalents, beginning of period | 23,438 | 13,345 | 0 |
Cash and cash equivalents, end of period | 8,286 | 23,438 | 13,345 |
Consolidating Adjustments [Member] | ' | ' | ' |
Condensed Cash Flow Statements, Captions [Line Items] | ' | ' | ' |
Net cash provided by operating activities | 0 | 0 | 0 |
Cash flows from investing activities: | ' | ' | ' |
Capital expenditures | 0 | 0 | 0 |
Intercompany investing activity | -481,848 | 0 | 0 |
Receipts from collection of intercompany loan | ' | -4,766 | ' |
Issuance of intercompany loan | 100,000 | ' | 4,766 |
Acquisition of tradenames | 0 | ' | ' |
Acquisition of Bonnie Togs, net of cash acquired | ' | ' | 0 |
Proceeds from sale of property, plant, and equipment | ' | 0 | 0 |
Net cash used in investing activities | -381,848 | -4,766 | 4,766 |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from senior notes | 0 | ' | ' |
Payments on term loan | ' | ' | -4,766 |
Intercompany financing activity | 481,848 | 0 | 0 |
Proceeds from intercompany loan | -100,000 | ' | ' |
Repayment of intercompany loan | ' | 4,766 | ' |
Borrowings under secured revolving credit facility | ' | 0 | ' |
Payments on secured revolving credit facility | ' | 0 | ' |
Payments of debt issuance costs | 0 | 0 | ' |
Payment of contingent consideration | 0 | ' | ' |
Dividends paid | 0 | ' | ' |
Repurchase of common stock | 0 | ' | ' |
Income tax benefit from stock-based compensation | 0 | 0 | 0 |
Withholdings from vesting of restricted stock | 0 | 0 | 0 |
Proceeds from exercise of stock options | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | 381,848 | 4,766 | -4,766 |
Effect of exchange rate changes on cash | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents, beginning of period | 0 | 0 | 0 |
Cash and cash equivalents, end of period | $0 | $0 | $0 |