Kate Spade & Co (KATE) 10-Q 7 May 15 2015 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Apr. 04, 2015	Apr. 24, 2015
Document and Entity Information
Entity Registrant Name	Kate Spade & Co.
Entity Central Index Key	352363
Document Type	10-Q
Document Period End Date	4-Apr-15
Amendment Flag	FALSE
Current Fiscal Year End Date	-1
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		127,655,535
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q1

CONDENSED_CONSOLIDATED_BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Apr. 04, 2015	Jan. 03, 2015	Apr. 05, 2014
In Thousands, unless otherwise specified
Current Assets:
Cash and cash equivalents	$212,649	$184,044	$128,477
Accounts receivable - trade, net	72,646	90,091	87,053
Inventories, net	182,503	158,241	210,110
Deferred income taxes	916	616	174
Other current assets	39,660	41,508	53,918
Assets held for sale			11,282
Total current assets	508,374	474,500	491,014
Property and Equipment, Net	168,037	174,072	155,783
Goodwill	49,355	64,798	71,914
Intangibles, Net	87,573	90,327	94,270
Deferred Income Taxes	53	56	56
Note Receivable		88,976	85,877
Other Assets	48,488	33,609	37,724
Total Assets	861,880	926,338	936,638
Current Liabilities:
Short-term borrowings	12,472	10,459	5,322
Accounts payable	96,731	88,402	118,605
Accrued expenses	128,405	150,926	173,241
Income taxes payable	2,049	3,008	1,588
Liabilities held for sale			7,628
Total current liabilities	239,657	252,795	306,384
Long-Term Debt	399,245	400,284	390,273
Other Non-Current Liabilities	54,340	56,465	156,930
Deferred Income Taxes	17,627	17,183	16,742
Commitments and Contingencies (Note 11)
Stockholders' Equity:
Preferred stock, $0.01 par value, authorized shares - 50,000,000, issued shares - none
Common stock, $1.00 par value, authorized shares - 250,000,000, issued shares - 176,437,234	176,437	176,437	176,437
Capital in excess of par value	205,103	199,100	181,538
Retained earnings	1,087,055	1,145,643	1,033,865
Accumulated other comprehensive loss	-31,054	-29,986	-19,574
Total Kate Spade & Company, stockholders' equity, excluding treasury stock	1,437,541	1,491,194	1,372,266
Common stock in treasury, at cost 48,792,499, 49,065,798 and 49,900,684 shares	-1,286,530	-1,291,583	-1,305,957
Total stockholders' equity	151,011	199,611	66,309
Total Liabilities and Stockholders' Equity	$861,880	$926,338	$936,638

CONDENSED_CONSOLIDATED_BALANCE1

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Apr. 04, 2015	Jan. 03, 2015	Apr. 05, 2014
CONDENSED CONSOLIDATED BALANCE SHEETS
Preferred stock, par value (in dollars per share)	$0.01	$0.01	$0.01
Preferred stock, authorized shares	50,000,000	50,000,000	50,000,000
Preferred stock, issued shares	0	0	0
Common stock, par value (in dollars per share)	$1	$1	$1
Common stock, authorized shares	250,000,000	250,000,000	250,000,000
Common stock, issued shares	176,437,234	176,437,234	176,437,234
Common stock in treasury, shares	48,792,499	49,065,798	49,900,684

CONDENSED_CONSOLIDATED_STATEME

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Apr. 04, 2015	Apr. 05, 2014
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Net Sales	$255,316	$223,614
Cost of goods sold	100,589	86,791
Gross Profit	154,727	136,823
Selling, general & administrative expenses	191,853	163,750
Operating Loss	-37,126	-26,927
Other expense, net	-1,395	-153
Loss on settlement of note receivable	-9,873
Interest expense, net	-3,364	-9,522
Loss Before Provision for Income Taxes	-51,758	-36,602
Provision for income taxes	1,801	1,806
Loss from Continuing Operations	-53,559	-38,408
Discontinued operations, net of income taxes	-1,662	84,578
Net (Loss) Income	($55,221)	$46,170
Basic earnings per share
(Loss) income from continuing operations (in dollars per share)	($0.42)	($0.31)
Net Income (Loss) (in dollars per share)	($0.43)	$0.37
Weighted Average Number of Shares Outstanding, Basic	127,489	124,403
Weighted Average Number of Shares Outstanding, Diluted	127,489	124,403

CONDENSED_CONSOLIDATED_STATEME1

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Apr. 04, 2015	Apr. 05, 2014
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
Net (Loss) Income	($55,221)	$46,170
Other Comprehensive Income (Loss), Net of Income Taxes:
Cumulative translation adjustment, net of income taxes of $0	-347	1,685
Change in fair value of cash flow hedging derivatives, net of income taxes of $(399), and $(232), respectively	-721	-380
Comprehensive Income (Loss)	($56,289)	$47,475

CONDENSED_CONSOLIDATED_STATEME2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parenthetical) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Apr. 04, 2015	Apr. 05, 2014
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
Cumulative translation adjustment, income taxes	$0	$0
Change in fair value of cash flow hedges, income taxes	($399)	($232)

CONDENSED_CONSOLIDATED_STATEME3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Apr. 04, 2015	Apr. 05, 2014
Cash Flows from Operating Activities:
Net (Loss) Income	($55,221)	$46,170
Adjustments to arrive at loss from continuing operations	1,662	-84,578
Income (loss) from continuing operations	-53,559	-38,408
Adjustments to reconcile loss from continuing operations to net cash used in operating activities:
Depreciation and amortization	12,461	11,828
Loss on asset disposals and impairments, including streamlining initiatives, net	6,949	890
Share-based compensation	6,003	20,224
Loss on settlement of note receivable	9,873
Foreign currency losses (gains), net	501	-874
Other, net	559	307
Changes in assets and liabilities:
Decrease (increase) in accounts receivable - trade, net	16,798	-939
Increase in inventories, net	-32,612	-41,031
Decrease (increase) in other current and non-current assets	3,429	-5,588
Increase (decrease) in accounts payable	9,132	-1,257
Decrease in accrued expenses and other non-current liabilities	-16,985	-13,726
Net change in income tax assets and liabilities	586	-1,060
Net cash used in operating activities of discontinued operations	-6,457	-28,956
Net cash used in operating activities	-43,322	-98,590
Cash Flows from Investing Activities:
Proceeds from sales of property and equipment	816
Purchases of property and equipment	-14,671	-26,874
Payments for purchases of businesses		-32,268
Proceeds from sales of joint venture interests,net	18,966
Payments for joint venture interests	-10,000
Payments for in-store merchandise shops	-482	-774
Net proceeds from settlement of note receivable	75,128
Other, net	-96	72
Net cash (used in) provided by investing activities of discontinued operations	-49	129,642
Net cash provided by investing activities	69,612	69,798
Cash Flows from Financing Activities:
Proceeds from borrowings under revolving credit agreement	2,000	1,908
Repayment of Term Loan	-1,000
Principal payments under capital lease obligations	-110	-98
Proceeds from exercise of stock options	2,406	30,336
Payment of deferred financing fees	-443	-982
Net cash provided by financing activities	2,853	31,164
Effect of Exchange Rate Changes on Cash and Cash Equivalents	-538	-533
Net Change in Cash and Cash Equivalents	28,605	1,839
Cash and Cash Equivalents at Beginning of Period	184,044	130,222
Cash and Cash Equivalents at End of Period	212,649	132,061
Less: Cash and Cash Equivalents Held for Sale		3,584
Cash and cash equivalents	$212,649	$128,477

BASIS_OF_PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Apr. 04, 2015
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
BASIS OF PRESENTATION
	1.    BASIS OF PRESENTATION
	The Condensed Consolidated Financial Statements of Kate Spade & Company and its wholly-owned and majority-owned subsidiaries (the “Company”) included herein have been prepared, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) have been condensed or omitted from this report, as is permitted by such rules and regulations; however, the Company believes that its disclosures are adequate to make the information presented not misleading. It is suggested that these Condensed Consolidated Financial Statements be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s 2014 Annual Report on Form 10-K. Information presented as of January 3, 2015 is derived from audited financial statements.
	The Company operates its kate spade new york and JACK SPADE brands through one operating segment in North America and four operating segments internationally: Japan, Southeast Asia, Europe and Latin America. The Company’s Adelington Design Group reportable segment is also an operating segment. The three reportable segments described below represent the Company’s activities for which separate financial information is available and which is utilized on a regular basis by the Company’s chief operating decision maker (“CODM”) to evaluate performance and allocate resources. In identifying the Company’s reportable segments, the Company considers its management structure and the economic characteristics, products, customers, sales growth potential and long-term profitability of its operating segments. As such, the Company configured its operations into the following three reportable segments:
		·	KATE SPADE North America segment (*) – consists of the Company’s kate spade new york and JACK SPADE brands in North America.
		·	KATE SPADE International segment (*) – consists of the Company’s kate spade new york and JACK SPADE brands in International markets (principally in Japan, Southeast Asia, Europe and Latin America).
		·	Adelington Design Group segment – consists of: (i) exclusive arrangements to supply jewelry for the LIZ CLAIBORNE and MONET brands; (ii) the wholesale operations of the licensed LIZWEAR brand; and (iii) the licensed LIZ CLAIBORNE NEW YORK brand.
	(*) As discussed further below, the Company plans to complete the closure of KATE SPADE SATURDAY as a standalone business by the end of the third quarter of 2015.
	In the first quarter of 2015, the Company and Walton Brown, a subsidiary of The Lane Crawford Joyce Group (“LCJG”), formed two joint ventures focused on growing the Company’s business in Greater China. Following the formation of the joint ventures, both Kate Spade Hong Kong, Limited, a wholly-owned subsidiary of the Company, and Walton Brown own 50.0% of the shares of KS China Co., Limited (“KSC”) and KS HMT Co., Limited (“KS HMT”), the holding company for the KATE SPADE businesses in Hong Kong, Macau and Taiwan.
	With an equal partnership structure, the Company and Walton Brown actively manage the business together. The joint ventures each have an initial term of 10 years. To effectuate the new joint ventures, (i) the Company acquired a 60.0% interest in KSC (in which the Company already owned a 40.0% interest) from E-Land Fashion China Holdings Limited (“E-Land”), its former partner in China, for an aggregate payment of $36.0 million, comprised of $10.0 million to acquire E-Land’s interest in KSC and $26.0 million to terminate related contracts and (ii) the Company received $21.0 million from LCJG for their 50.0% interests in the joint ventures, subject to adjustments. As a result, the Company no longer consolidates the operations for the businesses in Hong Kong, Macau and Taiwan, which it acquired on February 5, 2014 and had net sales of approximately $34.0 million in 2014 and $6.4 million in 2015, through the transaction date (see Note 2 – Acquisition). The Company accounts for its investments in the joint ventures under the equity method of accounting (see Note 14 – Additional Financial Information). Upon closing of the KS HMT joint venture, $16.0 million of goodwill related to the KATE SPADE businesses in Hong Kong, Macau and Taiwan and $14.0 million of net assets were reclassified to Investment in unconsolidated subsidiary. The Company concluded the carrying values of the assets and liabilities for Hong Kong, Macau and Taiwan approximated fair value, due in part to the recent acquisition of those territories from Globalluxe.  Accordingly, no gain or loss was recorded on formation of KS HMT. The $26.0 million charge to terminate contracts associated with the KSC joint venture is recorded in Selling, general & administrative expenses (“SG&A”) on the accompanying Condensed Consolidated Statement of Operations.
	On January 29, 2015, the Company announced that it is focusing its business on kate spade new york. As part of this business model, the Company is absorbing key elements of KATE SPADE SATURDAY’s success into kate spade new york and discontinuing KATE SPADE SATURDAY as a standalone business. The Company also announced a new business model for JACK SPADE to leverage the distribution network of its retail partners and expand its e-commerce platform. As part of these actions, the remainder of KATE SPADE SATURDAY’s Company-owned and three partnered store locations are expected to be closed by the end of the third quarter of 2015. The Company is also closing the remainder of JACK SPADE’s Company-owned stores by the end of the third quarter of 2015. These initiatives do not represent a strategic shift in the Company’s operations and therefore will not be reported as discontinued operations.
	On February 3, 2014, the Company sold 100.0% of the capital stock of Lucky Brand Dungarees, Inc. (“Lucky Brand”) to LBD Acquisition Company, LLC (“LBD Acquisition”), a Delaware limited liability company and affiliate of Leonard Green & Partners, L.P. (“Leonard Green”), for an aggregate payment of $225.0 million, comprised of $140.0 million cash consideration and a three-year $85.0 million note (the “Lucky Brand Note”) issued by the successor of LBD Acquisition, Lucky Brand Dungarees, LLC (“Lucky Brand LLC”) at closing, subject to working capital and other adjustments. On March 4, 2015, the Company and Lucky Brand LLC entered into a transfer and settlement agreement (the “Lucky Brand Note Agreement”) to settle the Lucky Brand Note in full, prior to its maturity. Pursuant to the terms of the Lucky Brand Note Agreement, Lucky Brand LLC paid the Company $81.0 million to settle the principal balance of the Lucky Brand Note and related unpaid interest. Giving effect to the Lucky Brand Note Agreement, since the date of issuance, the Company collected aggregate principal and interest under the Lucky Brand Note of $89.0 million. The transactions contemplated by the Lucky Brand Note Agreement closed on March 4, 2015, and the Company recognized a $9.9 million loss on the settlement of the Lucky Brand Note in the first quarter of 2015.
	On November 6, 2013, the Company completed the sale of its Juicy Couture brandname and related intellectual property assets (the “Juicy Couture IP”) to an affiliate of Authentic Brands Group (“ABG”) for a total purchase price of $195.0 million. An additional payment may be payable to the Company in an amount of up to $10.0 million if certain conditions regarding future performance are achieved. The Juicy Couture IP was licensed back to the Company until December 31, 2014 to accommodate the wind-down of operations. Juicy Couture paid guaranteed minimum royalties to ABG of $10.0 million during the term of the wind-down license. On March 29, 2014, the Company entered into an agreement to sell its Juicy Couture business in Europe to an operating partner of ABG for $8.6 million, subject to working capital adjustments. The assets and liabilities of the Juicy Couture business in Europe were segregated and reported as held for sale as of April 5, 2014 (see Note 3 – Discontinued Operations). The transaction closed on April 7, 2014.
	The activities of the Company’s former Lucky Brand and Juicy Couture businesses have been segregated and reported as discontinued operations for all periods presented.
	Summarized financial data for the aforementioned brands that are classified as discontinued operations are provided in Note 3 – Discontinued Operations.
	In the opinion of management, the information furnished reflects all adjustments, all of which are of a normal recurring nature, necessary for a fair presentation of the results for the reported interim periods. Results of operations for interim periods are not necessarily indicative of results for the full year. Management has evaluated events or transactions that have occurred from the balance sheet date through the date the Company issued these financial statements.
	NATURE OF OPERATIONS
	Kate Spade & Company is engaged primarily in the design and marketing of a broad range of accessories and apparel. The Company’s fiscal year ends on the Saturday closest to December 31. The 2015 fiscal year, ending January 2, 2016, reflects a 52-week period, resulting in a 13-week, three-month period for the first quarter. The 2014 fiscal year, ending January 3, 2015, reflects a 53-week period, resulting in a 14-week, three-month period for the first quarter.
	PRINCIPLES OF CONSOLIDATION
	The Condensed Consolidated Financial Statements include the accounts of the Company. All inter-company balances and transactions have been eliminated in consolidation.
	USE OF ESTIMATES AND CRITICAL ACCOUNTING POLICIES
	The Company’s critical accounting policies are those that are most important to the portrayal of its financial condition and results of operations in conformity with US GAAP. These critical accounting policies are applied in a consistent manner throughout all periods presented. The Company’s critical accounting policies are summarized in Note 1 of Notes to Consolidated Financial Statements included in its Annual Report on Form 10-K for the fiscal year ended January 3, 2015.
	The application of critical accounting policies requires that the Company make estimates and assumptions about future events and apply judgments that affect the reported amounts of revenues and expenses. Estimates by their nature are based on judgments and available information. Therefore, actual results could materially differ from those estimates under different assumptions and conditions. The Company continues to monitor the critical accounting policies to ensure proper application of current rules and regulations. During the first quarter of 2015, there were no significant changes in the critical accounting policies discussed in the Company’s Annual Report on Form 10-K for the fiscal year ended January 3, 2015.
	RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS
	On January 4, 2015, the first day of the Company’s 2015 fiscal year, the Company adopted new accounting guidance on the reporting of discontinued operations, which revised the threshold for a disposal to qualify as a discontinued operation and required new disclosures of both discontinued operations and certain other disposals that do not meet the definition of a discontinued operation.

ACQUISITION

ACQUISITION	3 Months Ended
	Apr. 04, 2015
ACQUISITIONS
ACQUISITION
	2.    ACQUISITION
	On February 5, 2014, the Company, through its Kate Spade, LLC and Kate Spade Hong Kong Ltd. subsidiaries, reacquired existing KATE SPADE businesses in Southeast Asia from Globalluxe Kate Spade HK Limited (“Globalluxe”) for a purchase price of $32.3 million, including $2.3 million for working capital and other previously agreed adjustments. The Company’s distribution partner operates the KATE SPADE businesses in Singapore, Malaysia, Indonesia and Thailand through distribution agreements and funded approximately $1.5 million to Globalluxe to acquire operating assets in those regions. Globalluxe and its distribution partners operated six stores and one concession in Hong Kong, one concession in Taiwan, one store in Macau, two stores and one concession in Singapore, two stores in Malaysia, three stores and one concession in Indonesia, and two stores and six concessions in Thailand. Prior to the acquisition from Globalluxe, the Company maintained wholesale distribution to Globalluxe. Following the transaction, the Company maintains wholesale distribution to distributors who operate the businesses in Singapore, Malaysia, Indonesia and Thailand. From the date of the acquisition, the Company directly owned and operated the businesses in Hong Kong, Macau and Taiwan and continued to do so until the conversion of those businesses to a joint venture with Walton Brown in the first quarter of 2015.
	The allocation of the purchase price to the assets acquired and liabilities assumed was based upon the estimated fair values at the date of acquisition. The excess of the purchase price over the net tangible and identifiable intangible assets was reflected as goodwill. Accordingly, the Company recorded $21.8 million of goodwill, which was reflected in the KATE SPADE International reportable segment until the businesses in Hong Kong, Macau and Taiwan were converted to the joint venture with Walton Brown, at which time $16.0 million of such goodwill was reclassified to Investment in unconsolidated subsidiary.
	The following table summarizes the estimated fair values of the assets acquired as of the acquisition date:
	In thousands
	Assets acquired:
	Current assets		$	3,549
	Property and equipment, net		1,267
	Goodwill and intangibles, net (a)		26,592
	Other assets		860
	Total assets acquired		$	32,268
		(a)		In the first quarter of 2015, $16.0 million of the goodwill related to the KATE SPADE businesses in Hong Kong, Macau and Taiwan was reclassified to Investment in unconsolidated subsidiary upon closing of the KS HMT joint venture with Walton Brown (see Note 1 – Basis of Presentation).
	The following table presents details of the acquired intangible assets:
	In thousands		Useful Life		Estimated Fair Value
	Reacquired distribution rights		1.7 years		$	4,500
	Retail customer list		3 years		256

DISCONTINUED_OPERATIONS

DISCONTINUED OPERATIONS	3 Months Ended
	Apr. 04, 2015
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS
	3.    DISCONTINUED OPERATIONS
	The components of Assets held for sale and Liabilities held for sale related to the Juicy Couture business in Europe were as follows:
	In thousands	April 5, 2014
	Assets held for sale:
	Cash and cash equivalents	$	3,584
	Accounts receivable – trade, net	1,400
	Inventories, net	2,618
	Property and Equipment, net	601
	Other assets	3,079
	Assets held for sale	$	11,282
	Liabilities held for sale:
	Accounts payable	$	4,017
	Accrued expenses	1,039
	Other liabilities	2,572
	Liabilities held for sale	$	7,628
	The Company completed the sale of Lucky Brand in February in 2014 and substantially completed the wind-down operations of the Juicy Couture business in the second quarter of 2014.
	The Company recorded pretax (charges) income of $(0.7) million and $105.3 million during the three months ended April 4, 2015 and April 5, 2014, respectively, to reflect the estimated difference between the carrying value of the net assets disposed and their estimated fair value, less costs to dispose, including transaction costs.
	Summarized results of discontinued operations are as follows:
		Three Months Ended
		April 4, 2015			April 5, 2014
	In thousands	(13 Weeks)			(14 Weeks)
	Net sales	$	208		$	150,585
	(Loss) income before provision for income taxes	$	(866	)	$	(20,040	)
	Provision for income taxes	54			638
	(Loss) income from discontinued operations, net of income taxes	$	(920	)	$	(20,678	)
	(Loss) gain on disposal of discontinued operations, net of income taxes	$	(742	)	$	105,256
	For the three months ended April 4, 2015 and April 5, 2014, the Company recorded charges of $0.3 million and $12.3 million, respectively, related to its streamlining initiatives within Discontinued operations, net of income taxes.

STOCKHOLDERS_EQUITY

STOCKHOLDERS' EQUITY	3 Months Ended
	Apr. 04, 2015
STOCKHOLDERS' EQUITY
STOCKHOLDERS EQUITY
	4.    STOCKHOLDERS’ EQUITY
	Activity for the three months ended April 4, 2015 in the Capital in excess of par value, Retained earnings and Common stock in treasury, at cost accounts was as follows:
	In thousands	Capital in Excess			Retained			Common Stock
		of Par Value			Earnings			in Treasury,
								at Cost
	Balance as of January 3, 2015	$	199,100		$	1,145,643		$	(1,291,583	)
	Net loss	--			(55,221		)	--
	Exercise of stock options	--			(1,845		)	4,251
	Restricted shares issued, net of cancellations and shares withheld for taxes	--			(1,522		)	802
	Share-based compensation	6,003			--			--
	Balance as of April 4, 2015	$	205,103		$	1,087,055		$	(1,286,530	)
	Activity for the three months ended April 5, 2014 in the Capital in excess of par value, Retained earnings and Common stock in treasury, at cost accounts was as follows:
	In thousands	Capital in Excess			Retained			Common Stock
		of Par Value			Earnings			in Treasury,
								at Cost
	Balance as of December 28, 2013	$	155,984		$	1,020,633		$	(1,364,657	)
	Net income	--			46,170			--
	Exercise of stock options	--			(24,111		)	54,447
	Restricted shares issued, net of cancellations and shares withheld for taxes	--			(8,827		)	4,253
	Share-based compensation	25,554			--			--
	Balance as of April 5, 2014	$	181,538		$	1,033,865		$	(1,305,957	)
	Accumulated other comprehensive (loss) income consisted of the following:
	In thousands	April 4, 2015			January 3, 2015			April 5, 2014
	Cumulative translation adjustment, net of income taxes of $0	$	(32,443	)	$	(32,096	)	$	(20,177	)
	Unrealized gains on cash flow hedging derivatives, net of income taxes of $769, $1,168 and $370, respectively	1,389			2,110			603
	Accumulated other comprehensive loss, net of income taxes	$	(31,054	)	$	(29,986	)	$	(19,574	)
	The following table presents the change in each component of Accumulated other comprehensive (loss) income, net of income taxes for the three months ended April 4, 2015:
	In thousands	Cumulative			Unrealized Gains
		Translation			(Losses) on Cash
		Adjustment			Flow Hedging
					Derivatives
	Balance as of January 3, 2015	$	(32,096	)	$	2,110
	Other comprehensive income (loss) before reclassification	(347		)	(373		)
	Amounts reclassified from accumulated other comprehensive income	--			(348		)
	Net current-period other comprehensive loss	(347		)	(721		)
	Balance as of April 4, 2015	$	(32,443	)	$	1,389
	The following table presents the change in each component of Accumulated other comprehensive (loss) income, net of income taxes for the three months ended April 5, 2014:
	In thousands	Cumulative			Unrealized Gains
		Translation			(Losses) on Cash
		Adjustment			Flow Hedging
					Derivatives
	Balance as of December 28, 2013	$	(21,862	)	$	983
	Other comprehensive income (loss) before reclassification	1,685			-141
	Amounts reclassified from accumulated other comprehensive income	--			-239
	Net current-period other comprehensive income (loss)	1,685			-380
	Balance as of April 5, 2014	$	(20,177	)	$	603

INVENTORIES_NET

INVENTORIES, NET	3 Months Ended
	Apr. 04, 2015
INVENTORIES, NET
INVENTORIES, NET
	5.    INVENTORIES, NET
	Inventories, net consisted of the following:
	In thousands	April 4, 2015		January 3, 2015		April 5, 2014
	Raw materials and work in process	$	238	$	538	$	1,569
	Finished goods	182,265		157,703		208,541
	Total inventories, net	$	182,503	$	158,241	$	210,110

PROPERTY_AND_EQUIPMENT_NET

PROPERTY AND EQUIPMENT, NET	3 Months Ended
	Apr. 04, 2015
PROPERTY AND EQUIPMENT, NET
PROPERTY AND EQUIPMENT, NET
	6.    PROPERTY AND EQUIPMENT, NET
	Property and equipment, net consisted of the following:
	In thousands	April 4, 2015		January 3, 2015		April 5, 2014
	Land and buildings	$	9,300	$	9,300	$	9,300
	Machinery and equipment	137,205		140,189		170,382
	Furniture and fixtures	62,342		61,694		84,107
	Leasehold improvements	118,529		122,029		179,620
		327,376		333,212		443,409
	Less: Accumulated depreciation and amortization	159,339		159,140		287,626
	Total property and equipment, net	$	168,037	$	174,072	$	155,783
	Depreciation and amortization expense on property and equipment for the three months ended April 4, 2015 and April 5, 2014 was $9.2 million and $9.0 million, respectively, which included depreciation for property and equipment under capital leases of $0.2 million. Property and equipment under capital leases was $9.3 million as of April 4, 2015, January 3, 2015 and April 5, 2014.

GOODWILL_AND_INTANGIBLES_NET

GOODWILL AND INTANGIBLES, NET	3 Months Ended
	Apr. 04, 2015
GOODWILL AND INTANGIBLES, NET
GOODWILL AND INTANGIBLES, NET
	7.     GOODWILL AND INTANGIBLES, NET
	The following tables disclose the carrying value of all intangible assets:
	In thousands		Weighted		April 4, 2015			January 3, 2015			April 5, 2014
			Average
			Amortization
			Period
	Amortized intangible assets:
	Gross carrying amount:
	Owned trademarks (a)		--		$	467		$	467		$	2,000
	Customer relationships		12 years		7,176			7,422			7,545
	Merchandising rights		4 years		11,535			12,012			6,856
	Reacquired rights		2 years		14,491			14,371			16,037
	Other		4 years		2,322			2,322			2,322
	Subtotal				35,991			36,594			34,760
	Accumulated amortization:
	Owned trademarks				(467		)	(467		)	(200		)
	Customer relationships				(4,855		)	(4,769		)	(4,245		)
	Merchandising rights				(4,556		)	(4,108		)	(2,918		)
	Reacquired rights				(11,198		)	(9,604		)	(5,898		)
	Other				(2,242		)	(2,219		)	(2,129		)
	Subtotal				(23,318		)	(21,167		)	(15,390		)
	Net:
	Owned trademarks				--			--			1,800
	Customer relationships				2,321			2,653			3,300
	Merchandising rights				6,979			7,904			3,938
	Reacquired rights				3,293			4,767			10,139
	Other				80			103			193
	Total amortized intangible assets, net				12,673			15,427			19,370
	Unamortized intangible assets:
	Owned trademarks				74,900			74,900			74,900
	Total intangible assets				$	87,573		$	90,327		$	94,270
	Goodwill (b)				$	49,355		$	64,798		$	71,914
		(a)		The change in the balance reflected a non-cash impairment charge of $1.5 million related to the TRIFARI trademark recorded in the fourth quarter of 2014.
		(b)		The decrease in the balance compared to April 5, 2014 primarily reflected the reclassification of $16.0 million of the goodwill related to the KATE SPADE businesses in Hong Kong, Macau and Taiwan to Investment in unconsolidated subsidiary in the first quarter of 2015 upon closing of the joint venture with Walton Brown (see Note 1 – Basis of Presentation and Note 2 - Acquisition).
	Amortization expense of intangible assets was $2.3 million and $2.2 million for the three months ended April 4, 2015 and April 5, 2014, respectively.
	The estimated amortization expense for intangible assets for the next five fiscal years is as follows:
	Fiscal Year		Amortization Expense
	(In millions)
	2015		$	7.6
	2016			2.5
	2017			2.1
	2018			1.4
	2019			0.4
	The changes in carrying amount of goodwill for the three months ended April 4, 2015 were as follows:
	In thousands		KATE SPADE			Adelington			Total
			International			Design Group
	Balance as of January 3, 2015		$	63,483		$	1,315		$	64,798
	Reclassification of goodwill to Investment in unconsolidated subsidiary (a)		(16,009		)	--			(16,009		)
	Translation adjustment		640			(74		)	566
	Balance as of April 4, 2015		$	48,114		$	1,241		$	49,355
		(a)		Represents the reclassification of the goodwill related to the KATE SPADE businesses in Hong Kong, Macau and Taiwan to Investment in unconsolidated subsidiary in the first quarter of 2015 upon closing of the joint venture with Walton Brown (see Note 1 – Basis of Presentation and Note 2 – Acquisition).
	The changes in carrying amount of goodwill for the three months ended April 5, 2014 were as follows:
	In thousands		KATE SPADE			Adelington			Total
			International			Design Group
	Balance as of December 28, 2013		$	47,664		$	1,447		$	49,111
	Acquisition of existing KATE SPADE businesses in Southeast Asia		21,836			--			21,836
	Translation adjustment		1,003			(36		)	967
	Balance as of April 5, 2014		$	70,503		$	1,411		$	71,914

INCOME_TAXES

INCOME TAXES	3 Months Ended
	Apr. 04, 2015
INCOME TAXES
INCOME TAXES
	8.    INCOME TAXES
	During the first quarter of 2015 and 2014, the Company continued to record a full valuation allowance on deferred tax assets in most jurisdictions due to the combination of its history of pretax losses and its inability to carry back tax losses or credits.
	The Company’s provision for income taxes for the three months ended April 4, 2015 and April 5, 2014 primarily represented increases in deferred tax liabilities for indefinite-lived intangible assets, current tax on operations in certain jurisdictions and an increase in the accrual for interest related to uncertain tax positions.
	The number of years with open tax audits varies depending upon the tax jurisdiction. The major tax jurisdictions include the US, Japan, United Kingdom, Canada and Brazil. The Company is no longer subject to US Federal examination by the Internal Revenue Service (“IRS”) for the years before 2010 and, with a few exceptions, this applies to tax examinations by state authorities as well. Although the years before 2010 are considered to be closed, the IRS and other taxing authorities can also subject the Company’s net operating loss carryforwards to further review when such net operating loss carryforwards are utilized.
	The Company expects a reduction in the liability for unrecognized tax benefits, inclusive of interest and penalties, by an amount between $0.9 million and $3.1 million within the next 12 months due to either settlement or the expiration of the statute of limitations. As of April 4, 2015, uncertain tax positions of $9.2 million exist, which would provide an effective rate impact in the future if subsequently recognized.

DEBT_AND_LINES_OF_CREDIT

DEBT AND LINES OF CREDIT	3 Months Ended
	Apr. 04, 2015
DEBT AND LINES OF CREDIT
DEBT AND LINES OF CREDIT
	9.    DEBT AND LINES OF CREDIT
	Long-term debt consisted of the following:
	In thousands		April 4, 2015			January 3, 2015		April 5, 2014
	10.5 % Senior Secured Notes, due April 2019 (a)		$	--		$	--	$	381,799
	Term Loan credit facility, due April 2021 (a)(b)		395,242			396,158		--
	Revolving credit facility		8,000			6,000		4,900
	Capital lease obligations		8,475			8,585		8,896
	Total debt		411,717			410,743		395,595
	Less: Short-term borrowings (c)		12,472			10,459		5,322
	Long-term debt		$	399,245		$	400,284	$	390,273
		(a)		The Senior Notes were refinanced in the second quarter of 2014 with proceeds from the issuance of term loans in an aggregate principal amount of $400.0 million (collectively, the “Term Loan”).
		(b)		The balance as of April 4, 2015 and January 3, 2015 included an unamortized debt discount of $1.8 million.
		(c)		At April 4, 2015 and January 3, 2015, the balance consisted of $4.0 million of Term Loan amortization payments, outstanding borrowings under the Company’s amended and restated revolving credit facility (as amended to date, the “ABL Facility”) and obligations under capital leases. At April 5, 2014, the balance consisted of outstanding borrowings under the ABL Facility and obligations under capital leases.
	Senior Notes
	On April 7, 2011, the Company completed an offering of $220.0 million principal amount of 10.5% Senior Secured Notes due April 2019 (the “Original Notes,” together with the June 2012 issuance of $152.0 million aggregate principal amount of 10.5% Senior Notes (the “Additional Notes”), the “Senior Notes”). The Company used the net proceeds of $212.9 million from such issuance of the Original Notes primarily to fund a tender offer of then outstanding 128.5 million euro aggregate principal amount of 5.0% Euro Notes due July 8, 2013 (the “Euro Notes”) on April 8, 2011. The remaining proceeds were used for general corporate purposes. On June 8, 2012, the Company completed the offering of the Additional Notes, at 108.25% of par value. The Company used a portion of the net proceeds of $160.6 million from the offering of the Additional Notes to repay outstanding borrowings under its ABL Facility and to fund the redemption of 52.9 million euro aggregate principal amount of Euro Notes on July 12, 2012. The Company used the remaining proceeds to fund a portion of the acquisition of a 51.0% interest in Kate Spade Japan Co. Ltd (“KSJ”).
	On April 14, 2014, the Company redeemed $37.2 million aggregate principal amount of the Senior Notes at a price equal to 103.0% of their aggregate principal amount, plus accrued interest using cash on hand. On May 12, 2014, the Company redeemed the remaining $334.8 million aggregate principal amount of the Senior Notes at a price equal to 105.25% of their aggregate principal amount, plus accrued interest, with the proceeds from the Term Loan.
	Term Loan
	On April 10, 2014, the Company entered into a term loan credit agreement (the “Term Loan Credit Agreement”), which provides for the Term Loan in an aggregate principal amount of $400.0 million, maturing in April 2021. The Term Loan is subject to amortization payments of $1.0 million per quarter, which commenced on October 1, 2014, with the balance due at maturity. Interest on the outstanding principal amount of the Term Loan accrues at a rate equal to LIBOR (with a floor of 1.0%) plus 3.0% per annum, payable in cash. The Term Loan was funded on May 12, 2014, and the Company used $354.8 million of the net proceeds of $392.0 million from the Term Loan to redeem the Company’s remaining outstanding Senior Notes on May 12, 2014, as discussed above. The Term Loan and other obligations under the Term Loan Credit Agreement are guaranteed by certain of the Company’s restricted subsidiaries (the “Guarantors”), which include (i) all of the Company’s existing material domestic restricted subsidiaries, (ii) all future wholly owned restricted subsidiaries of the Company (other than foreign subsidiaries, CFCs, CFC holding companies and subsidiaries of any of the foregoing and certain immaterial subsidiaries) and (iii) all future non-wholly owned restricted subsidiaries of the Company that guarantee capital markets debt securities or term indebtedness of the Company or any Guarantor.
	The Term Loan Credit Agreement permits the Company to incur, from time to time, additional incremental term loans under the Term Loan Credit Agreement (subject to obtaining commitments for such term loans) and other pari passu lien indebtedness, subject to an overall limit of $100.0 million plus such additional amount that would cause the Company’s consolidated net total secured debt ratio not to exceed 3.75 to 1.0 on a pro forma basis. Any such incremental term loans and other pari passu lien indebtedness are permitted to share in the collateral described below on a pari passu basis with the Term Loan. The Term Loan may be prepaid, at the Company’s option, in whole or in part, at any time at par plus accrued interest; provided that if the Term Loan is prepaid or refinanced in connection with a repricing transaction within six months after the initial borrowing, a 1.0% penalty is applicable.
	Subject to certain permitted liens and other exclusions and exceptions, the Term Loan is secured (i) on a first-priority basis by a lien on the Company’s KATE SPADE trademarks and certain related rights owned by the Company and the Guarantors (the “Term Priority Collateral”) and (ii) by a second-priority security interest in the Company’s and the Guarantors’ other assets (the “ABL Priority Collateral” and together with the Term Priority Collateral, the “Collateral”), which secure the Company’s ABL Facility on a first-priority basis.
	The Term Loan is required to be prepaid in an amount equal to 50.0% of the Company’s Excess Cash Flow (as defined in the Term Loan Credit Agreement) with respect to each fiscal year ending on or after January 2, 2016. The percentage of Excess Cash Flow that must be so applied is reduced to 25.0% if the Company’s consolidated net total debt ratio is less than 2.75 to 1.0 and to 0% if the Company’s consolidated net total debt ratio is less than 2.25 to 1.0. Lenders may elect not to accept mandatory prepayments.
	The Term Loan Credit Agreement limits the Company’s and restricted subsidiaries’ ability to, among other things, incur indebtedness, make dividend payments or other restricted payments, create liens, sell assets (including securities of the Company’s restricted subsidiaries), permit certain restrictions on dividends and transfers of assets by the Company’s restricted subsidiaries, enter into certain types of transactions with shareholders and affiliates and enter into mergers, consolidations or sales of all or substantially all of the Company’s assets, in each case subject to certain designated exceptions and qualifications. The Term Loan Credit Agreement also contains certain affirmative covenants and events of default that are customary for credit agreements governing term loans.
	ABL Facility
	In May 2014, the Company terminated its prior revolving credit agreement and completed a fourth amendment to and restatement of the ABL Facility, which extended the maturity date of the facility to May 2019. Availability under the ABL Facility shall be an amount equal to the lesser of $200.0 million and a borrowing base that is computed monthly and comprised of the Company’s eligible cash, accounts receivable and inventory. The ABL Facility also includes a swingline subfacility of $30.0 million, a multicurrency subfacility of $35.0 million and the option to expand the facility by up to $100.0 million under certain specified conditions. A portion of the ABL Facility up to $125.0 million is available for the issuance of letters of credit, and standby letters of credit may not exceed $40.0 million in the aggregate. The ABL Facility allows two borrowing options: one borrowing option with interest rates based on euro currency rates and a second borrowing option with interest rates based on the alternate base rate, as defined in the ABL Facility, with a spread based on the aggregate availability under the ABL Facility.
	The ABL Facility is guaranteed by substantially all of the Company’s current domestic subsidiaries, certain of the Company’s future domestic subsidiaries and certain of the Company’s foreign subsidiaries. The ABL Facility is secured by a first-priority lien on substantially all of the assets of the Company and the other borrowers and guarantors (other than certain trademark collateral in which the lenders under the Term Loan Credit Agreement have a first-priority lien, which trademark collateral secures the obligations under the ABL Facility on a second-priority lien basis).
	The ABL Facility limits the Company’s, and its restricted subsidiaries’ ability to, among other things, incur additional indebtedness, create liens, undergo certain fundamental changes, make investments, sell certain assets, enter into hedging transactions, make restricted payments and pay certain indebtedness, enter into transactions with affiliates, permit certain restrictions on dividends and transfers of assets by the Company’s restricted subsidiaries and enter into sale and leaseback transactions. These covenants are subject to important exceptions and qualifications, and many of the covenants are subject to an exception based on meeting the fixed charge coverage ratio and/or certain minimum availability tests. The ABL Facility also contains representations and warranties (some of which are brought down to the time of each borrowing made), affirmative covenants and events of default that are customary for asset-based revolving credit agreements.
	In addition, the terms and conditions of the ABL Facility: (i) provide for a decrease in fees and interest rates compared to the Company’s previous asset-based revolving loan facility (including eurocurrency spreads of 1.50% to 2.00% over LIBOR, depending on the level of aggregate availability), (ii) require the Company to maintain pro forma compliance with a fixed charge coverage ratio of 1.0:1.0 on a trailing four-quarter basis if availability under the ABL Facility for three consecutive business days falls below the greater of $15.0 million and 10.0% of the lesser of the aggregate commitments and the borrowing base and (iii) require the Company to apply substantially all cash collections to reduce outstanding borrowings under the ABL Facility if availability under the ABL Facility for three consecutive business days falls below the greater of $20.0 million and 12.5% of the lesser of the aggregate commitments and the borrowing base.
	The funds available under the ABL Facility may be used for working capital and for general corporate purposes. The Company currently believes that the financial institutions under the ABL Facility are able to fulfill their commitments, although such ability to fulfill commitments will depend on the financial condition of the Company’s lenders at the time of borrowing.
	As of April 4, 2015, availability under the Company’s ABL Facility was as follows:
	In thousands		Total Facility	(a)	Borrowing		Outstanding Borrowings	Letters of Credit Issued		Available Capacity	Excess Capacity (b)
					Base (a)
	Revolving credit facility (a)		$		$		$	$		$	$
			200,000		218,632		8,000	10,690		181,310	161,310
		(a)		Availability under the ABL Facility is the lesser of $200.0 million or a borrowing base that is computed monthly and comprised of the Company’s eligible cash, accounts receivable and inventory.
		(b)		Excess capacity represents available capacity reduced by the minimum required aggregate borrowing availability under the ABL Facility of $20.0 million.
	Capital Lease Obligations
	In the second quarter of 2013, the Company entered into a sale-leaseback agreement for its office building in North Bergen, NJ, which included a sale price of $8.7 million and total lease payments of $26.9 million over a 12-year lease term. The Company’s capital lease obligations of $8.5 million, $8.6 million and $8.9 million as of April 4, 2015, January 3, 2015 and April 5, 2014, respectively, included $0.5 million, $0.5 million and $0.4 million within Short-term borrowings on the accompanying Condensed Consolidated Balance Sheets.

FAIR_VALUE_MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
	Apr. 04, 2015
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS
	10.     FAIR VALUE MEASUREMENTS
	The Company utilizes the following three level hierarchy that defines the assumptions used to measure certain assets and liabilities at fair value:
	Level 1 –	Quoted market prices in active markets for identical assets or liabilities;
	Level 2 –	Inputs other than Level 1 inputs that are either directly or indirectly observable; and
	Level 3 –	Unobservable inputs developed using estimates and assumptions developed by the Company, which reflect those that a market participant would use.
	The following table presents the financial assets and liabilities the Company measured at fair value on a recurring basis, based on the fair value hierarchy:
			Level 2
	In thousands		April 4, 2015		January 3, 2015		April 5, 2014
	Financial Assets:
	Derivatives		$	2,642	$	3,193	$	1,052
	Financial Liabilities:
	Derivatives		$	-258	$	--	$	--
	The fair values of the Company’s Level 2 derivative instruments were primarily based on observable forward exchange rates. Unobservable quantitative inputs used in the valuation of the Company’s derivative instruments included volatilities, discount rates and estimated credit losses.
	The following table presents the non-financial assets the Company measured at fair value on a non-recurring basis in 2015, based on such fair value hierarchy:
			Net Carrying Value as of		Fair Value Measured and Recorded at							Total Losses
					Reporting Date Using:							for the Three Months Ended
	In thousands		April 4, 2015		Level 1		Level 2		Level 3			April 4, 2015
	Property and equipment		$	160	$	--	$	--	$	160		$	3,356
	As a result of the Company’s decision to close all KATE SPADE SATURDAY retail operations and JACK SPADE retail stores (see Note 12 – Streamlining Initiatives) and no longer directly operate its Company-owned stores in Brazil (see Note 12 – Streamlining Initiatives and Note 19 – Subsequent Events), the Company determined that a portion of the assets exceeded their fair values, resulting in impairment charges, which were recorded in SG&A on the accompanying Condensed Consolidated Statement of Operations.
	The fair values of the Company’s Level 3 Property and equipment are based on either a market approach or an income approach using the Company’s forecasted cash flows over the estimated useful lives of such assets, as appropriate.
	The fair values and carrying values of the Company’s debt instruments are detailed as follows:
			April 4, 2015				January 3, 2015				April 5, 2014
	In thousands		Fair Value		Carrying Value		Fair Value		Carrying Value		Fair Value			Carrying Value
	10.5% Senior Secured Notes due April 2019 (a)		$	--	$	--	$	--	$	--	$	392,460		$	381,799
	Term Loan credit facility, due April 2021(a)		396,629		395,242		384,786		396,158		--			--
	Revolving credit facility (b)		8,000		8,000		6,000		6,000		4,900			4,900
		(a)		Carrying values include unamortized debt discount or premium.
		(b)		Borrowings under the revolving credit facility bear interest based on market rate; accordingly its fair value approximates its carrying value.
	The fair values of the Company’s debt instruments were estimated using market observable inputs, including quoted prices in active markets, market indices and interest rate measurements. Within the hierarchy of fair value measurements, these are Level 2 fair values. The fair values of cash and cash equivalents, receivables and accounts payable approximate their carrying values due to the short-term nature of these instruments.
	As of January 3, 2015, the carrying amount of the Lucky Brand Note was $89.0 million, including initial principal of $85.0 million and accrued payment in kind of $4.0 million. In evaluating its fair value, the Company considered various facts and circumstances, including (i) known changes in market values of comparable instruments in active markets; (ii) the inability to transfer the Lucky Brand Note and the lack of an active market to do so; and (iii) entity specific factors related to the issuer of the Lucky Brand Note including the absence of any factors that would suggest that the counterparty may be unable to meet its obligations under the terms of the Lucky Brand Note. Based on those factors and the inherent subjectivity in evaluating fair value of the Lucky Brand Note and similar instruments, the Company concluded that providing a range of fair value was appropriate. The Company determined the range of fair value of the Lucky Brand Note, including accrued payment in kind, to be between $79.0 million and $89.0 million. The low end of such range was determined using two methods. The Company reviewed the average change in fair value of comparable instruments in active markets and also estimated an implied discount based on the non-transferrable nature of the Lucky Brand Note. The high end of the range considered entity specific circumstances and assumed Lucky Brand LLC would pay the Lucky Brand Note in full.
	As of April 5, 2014, the estimated fair value of the Lucky Brand Note approximated its carrying value.

COMMITMENTS_AND_CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Apr. 04, 2015
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES
	11.    COMMITMENTS AND CONTINGENCIES
	Buying/Sourcing
	Pursuant to a buying/sourcing agency agreement, Li & Fung Limited (“Li & Fung”) currently acts as a global buying/sourcing agent. The Company pays Li & Fung an agency commission based on the cost of product purchases using Li & Fung as its buying/sourcing agent. The Company is obligated to use Li & Fung as its buying/sourcing agent for a minimum value of apparel inventory purchases each year. In the first quarter of 2015, the Company amended its buying/sourcing agency agreement with Li & Fung, which included a reduction of the annual minimum value of inventory purchases and a change in the commission rates for certain products, with an initial term through March 31, 2018. The Company’s agreement with Li & Fung is not exclusive.
	Leases
	In connection with the disposition of the Lucky Brand business, LIZ CLAIBORNE Canada retail stores, the LIZ CLAIBORNE branded outlet stores in the US and Puerto Rico and certain Mexx Canada retail stores, an aggregate of 277 store leases were assigned to or assumed by third parties, for which the Company or certain subsidiaries of the Company may remain secondarily liable for the remaining obligations on 151 such leases. As of April 4, 2015, the future aggregate payments under these leases amounted to $119.3 million and extended to various dates through 2025.
	During the second quarter of 2013, the Company entered into a sale-leaseback agreement for its North Bergen, NJ office with a 12-year term and two five-year renewal options. This leaseback was classified as a capital lease and recorded at fair value. As of April 4, 2015, the estimated future minimum lease payments under the noncancelable capital lease were as follows:
	In millions
	2015	$	1,535
	2016	2,089
	2017	2,141
	2018	2,194
	2019	2,247
	Thereafter	13,081
	Total	23,287
	Less: Amounts representing interest and executory costs	(14,812		)
	Net present values	8,475
	Less: Capital lease obligations included in short-term debt	(472		)
	Long-term capital lease obligations	$	8,003
	Other
	The Company is a party to several pending legal proceedings and claims. Although the outcome of any such actions cannot be determined with certainty, management is of the opinion that the final outcome of any of these actions should not have a material adverse effect on the Company’s financial position, results of operations, liquidity or cash flows.

STREAMLINING_INITIATIVES

STREAMLINING INITIATIVES	3 Months Ended
	Apr. 04, 2015
STREAMLINING INITIATIVES
STREAMLINING INITIATIVES
	12.    STREAMLINING INITIATIVES
	2015 Actions
	In the second quarter of 2015, the Company announced that it signed a new distribution agreement for its operations in Latin America, including in Brazil, which will leverage the network of its new partner. As part of these actions, the Company will no longer operate directly in Brazil and will close or transition its stores to a partner in a phased approach during 2015. The Company recorded non-cash asset impairment charges in the first quarter of 2015 and expects to incur additional charges for contract termination costs, severance and other costs related during the remainder of 2015 (see Note 19 – Subsequent Events).
	On January 29, 2015, the Company announced that it is focusing its business on kate spade new york. As part of this business model, the Company is absorbing key elements of KATE SPADE SATURDAY’s success into kate spade new york and discontinuing KATE SPADE SATURDAY as a standalone business. The Company also announced a new business model for JACK SPADE to leverage the distribution network of its retail partners and expand its e-commerce platform. As part of these actions, the remainder of KATE SPADE SATURDAY’s Company-owned and three partnered store locations are expected to be closed by the end of the third quarter of 2015. The Company is also closing the remainder of JACK SPADE’s Company-owned stores by the end of the third quarter of 2015. These actions resulted in restructuring charges related to contract assignment and termination costs, severance and non-cash asset impairment charges and are expected to be substantially completed in the second quarter of 2015.
	2014 Actions
	In connection with the sale of the Juicy Couture IP and former Lucky Brand business, the Board of Directors of the Company approved various changes to its senior management, which resulted in charges related to severance in the first quarter of 2014. As discussed in Note 17 – Share-Based Compensation, the Company’s Compensation Committee approved the continued vesting of unvested options and restricted stock awards without any required service period or the accelerated vesting of such awards for former employees, including former executive officers. In addition, as a result of the reduction of office space in the Company’s former New York office, the Company recorded charges related to contract terminations and other charges in the first quarter of 2014.
	For the three months ended April 4, 2015, the Company recorded pretax charges totaling $18.9 million related to these initiatives. The Company expects to pay approximately $17.8 million of accrued streamlining costs in the next 12 months. For the three months ended April 5, 2014, the Company recorded pretax charges of $28.9 million related to these initiatives, including $27.6 million of payroll and related costs, $1.0 million of contract termination costs, and $0.3 million of other costs. Approximately $6.4 million and $16.4 million of these charges were non-cash during the three months ended April 4, 2015 and April 5, 2014, respectively.
	For the three months ended April 4, 2015 and April 5, 2014, expenses associated with the Company’s streamlining actions were primarily recorded in SG&A on the accompanying Condensed Consolidated Statements of Operations and impacted reportable segments and Other as follows:
			Three Months Ended
	In thousands		April 4, 2015			April 5, 2014
			(13 Weeks)			(14 Weeks)
	KATE SPADE North America		$	11,943		$	2,097
	KATE SPADE International		3,057			--
	Adelington Design Group		1,333			103
	Other (a)		2,541			26,731
	Total		$	18,874		$	28,931
		(a)		Other consists of unallocated corporate restructuring costs and Juicy Couture and Lucky Brand restructuring charges principally related to distribution functions that are not directly attributable to Juicy Couture or Lucky Brand and therefore have not been included in discontinued operations.
	A summary rollforward of the liability for streamlining initiatives is as follows:
	In thousands		Payroll and			Contract			Asset			Other Costs			Total
			Related Costs			Termination			Write-Downs
						Costs
	Balance at January 3, 2015		$	2,080		$	987		$	--		$	6,830		$	9,897
	2015 provision (a)		7,902			4,788			6,152			32			18,874
	2015 asset write-downs		--			--			(6,152		)	--			(6,152		)
	Translation difference		6			--			--			(5		)	1
	2015 spending (a)		(2,781		)	(98		)	--			(1,155		)	(4,034		)
	Balance at April 4, 2015 (b)		$	7,207		$	5,677		$	--		$	5,702		$	18,586
		(a)		Payroll and related costs and spending include $0.2 million of non-cash share-based compensation expense.
		(b)		The balance in other costs at April 4, 2015 includes $5.6 million for a withdrawal liability incurred in 2011 related to a multi-employer pension plan that the Company will pay through June 1, 2016.

EARNINGS_PER_COMMON_SHARE

EARNINGS PER COMMON SHARE	3 Months Ended
	Apr. 04, 2015
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE
	13.    EARNINGS PER COMMON SHARE
	The following table sets forth the computation of basic and diluted earnings per common share (“EPS”).
			Three Months Ended
	In thousands		April 4, 2015			April 5, 2014
			(13 Weeks)			(14 Weeks)
	Loss from continuing operations		$	(53,559	)	$	(38,408	)
	(Loss) income from discontinued operations, net of income taxes		(1,662		)	84,578
	Net (loss) income		$	(55,221	)	$	46,170
	Basic weighted average shares outstanding		127,489			124,403
	Stock options and nonvested shares (a)		--			--
	Diluted weighted average shares outstanding		127,489			124,403
	(Loss) Earnings per share:
	Basic and Diluted
	Loss from continuing operations		$	(0.42	)	$	(0.31	)
	(Loss) income from discontinued operations		$	(0.01	)	$	0.68
	Net (loss) income		$	(0.43	)	$	0.37
		(a)		Because the Company incurred a loss from continuing operations for the three months ended April 4, 2015 and April 5, 2014, approximately 1.0 million and 1.7 million outstanding stock options and approximately 2.1 million and 1.7 million outstanding nonvested shares were considered antidilutive for such periods, and excluded from the computation of diluted loss per share.

ADDITIONAL_FINANCIAL_INFORMATI

ADDITIONAL FINANCIAL INFORMATION	3 Months Ended
	Apr. 04, 2015
ADDITIONAL FINANCIAL INFORMATION
ADDITIONAL FINANCIAL INFORMATION
	14.    ADDITIONAL FINANCIAL INFORMATION
	Condensed Consolidated Statements of Cash Flows Supplementary Disclosures
	During the three months ended April 4, 2015 and April 5, 2014, net income tax payments were $1.2 million and $2.9 million, respectively. During the three months ended April 4, 2015 and April 5, 2014, the Company made interest payments of $4.2 million and $0.7 million, respectively. The Company received interest payments of $9.4 million for the three months ended April 4, 2015, including outstanding interest and payment in kind under the Lucky Brand Note. As of April 4, 2015, January 3, 2015 and April 5, 2014, the Company accrued capital expenditures totaling $6.0 million, $9.8 and $8.9 million, respectively.
	On February 3, 2014, the Company received a three-year $85.0 million note issued by Lucky Brand LLC, which was reflected in Note Receivable on the accompanying Condensed Consolidated Balance Sheet prior to its redemption in the first quarter of 2015 (see Note 1 – Basis of Presentation).
	During 2014, the Company made business acquisition payments of $32.3 million related to the reacquisition of the KATE SPADE businesses in Southeast Asia (see Note 2 – Acquisition).
	Related Party Transactions
	The Company’s equity in losses of its equity investees was $(0.7) million and $(0.3) million in the first quarter of 2015 and 2014, respectively. As of April 4, 2015, January 3, 2015 and April 5, 2014, the Company recorded $28.0 million, $9.2 million and $9.1 million, respectively, related to its investments in unconsolidated subsidiaries, which were included in Other assets on the accompanying Condensed Consolidated Balance Sheets.

SEGMENT_REPORTING

SEGMENT REPORTING	3 Months Ended
	Apr. 04, 2015
SEGMENT REPORTING
SEGMENT REPORTING
	15.    SEGMENT REPORTING
	The Company operates its kate spade new york and JACK SPADE brands through one operating segment in North America and four operating segments internationally: Japan, Southeast Asia, Europe and Latin America. The Company’s Adelington Design Group reportable segment is also an operating segment. The three reportable segments described below represent the Company’s activities for which separate financial information is available and which is utilized on a regular basis by the Company’s CODM to evaluate performance and allocate resources. In identifying the Company’s reportable segments, the Company considers its management structure and the economic characteristics, products, customers, sales growth potential and long-term profitability of its operating segments. As such, the Company configured its operations into the following three reportable segments:
		·		KATE SPADE North America segment – consists of the Company’s kate spade new york and JACK SPADE brands in North America.
		·		KATE SPADE International segment – consists of the Company’s kate spade new york and JACK SPADE brands in International markets (principally in Japan, Southeast Asia, Europe and Latin America).
		·		Adelington Design Group segment – consists of: (i) exclusive arrangements to supply jewelry for the LIZ CLAIBORNE and MONET brands; (ii) the wholesale operations of the licensed LIZWEAR brand; and (iii) the licensed LIZ CLAIBORNE NEW YORK brand.
	The Company’s Chief Executive Officer has been identified as the CODM. The Company’s measure of segment profitability is Adjusted EBITDA of each reportable segment. Accordingly, the CODM evaluates performance and allocates resources based primarily on Segment Adjusted EBITDA. Segment Adjusted EBITDA excludes: (i) depreciation and amortization; (ii) charges due to streamlining initiatives, brand-exiting activities and acquisition related costs; (iii) losses on asset disposals and impairments; and (iv) the $26.0 million charge incurred in the first quarter of 2015 to terminate contracts with the Company’s former joint venture partner in China. The costs of all corporate departments that serve the respective segment are fully allocated. The Company does not allocate amounts reported below Operating income (loss) to its reportable segments, other than equity income (loss) in equity method investees. The Company’s definition of Segment Adjusted EBITDA may not be comparable to similarly titled measures of other companies.
	The accounting policies of the Company’s reportable segments are the same as those described in Note 1 – Basis of Presentation. Sales are reported based on a destination basis. The Company, as licensor, also licenses to third parties the right to produce and market products bearing certain Company-owned trademarks.
	Dollars in thousands		Net Sales			% to Total		Adjusted			% of Sales
								EBITDA
	Three Months Ended April 4, 2015 (13 Weeks)
	KATE SPADE North America		$	195,586		76.6	%	$	18,072		9.2	%
	KATE SPADE International		52,468			20.6	%	4,989			9.5	%
	Adelington Design Group		7,262			2.8	%	1,678			23.1	%
	Totals		$	255,316		100	%
	Three Months Ended April 5, 2014 (14 Weeks)
	KATE SPADE North America		$	163,753		73.2	%	$	16,244		9.9	%
	KATE SPADE International		53,375			23.9	%	1,475			2.8	%
	Adelington Design Group		6,486			2.9	%	(392		)	(6.0	)%
	Other (a)		--			--	%	(64		)	--	%
	Totals		$	223,614		100	%
		(a)		Other consists of expenses principally related to distribution functions that were included in Juicy Couture and Lucky Brand historical results, but are not directly attributable to those businesses and therefore have not been included in discontinued operations.
	The following tables provide a reconciliation to Loss from Continuing Operations:
			Three Months Ended
	In thousands		April 4, 2015			April 5, 2014
			(13 Weeks)			(14 Weeks)
	Reportable Segments Adjusted EBITDA:
	KATE SPADE North America		$	18,072		$	16,244
	KATE SPADE International (a)		4,989			1,475
	Adelington Design Group		1,678			(392		)
	Other (b)		--			(64		)
	Total Reportable Segments Adjusted EBITDA		24,739			17,263
	Depreciation and amortization, net (c)		(11,546		)	(11,137		)
	Charges due to streamlining initiatives (d), brand-exiting activities, acquisition related costs and loss on asset disposals and impairments, net		(19,054		)	(13,127		)
	Joint venture contract termination fee		(26,000		)	--
	Share-based compensation (e)		(6,003		)	(20,224		)
	Equity loss included in Reportable Segments Adjusted EBITDA		738			298
	Operating Loss		(37,126		)	(26,927		)
	Other expense, net (a)		(1,395		)	(153		)
	Loss on settlement of note receivable		(9,873		)	--
	Interest expense, net		(3,364		)	(9,522		)
	Provision for income taxes		1,801			1,806
	Loss from Continuing Operations		$	(53,559	)	$	(38,408	)
		(a)		Amounts include equity in the losses of the Company’s equity method investees of $0.7 million and $0.3 million for the three months ended April 4, 2015 and April 5, 2014, respectively.
		(b)		Other consists of expenses principally related to distribution functions that were included in Juicy Couture and Lucky Brand historical results, but are not directly attributable to those businesses and therefore have not been included in discontinued operations.
		(c)		Excludes amortization included in Interest expense, net.
		(d)		See Note 12 – Streamlining Initiatives for a discussion of streamlining charges.
		(e)		Includes share-based compensation expense of $0.2 million and $16.4 million in 2015 and 2014, respectively, that was classified as restructuring.
	GEOGRAPHIC DATA:
	Dollars in thousands			Net Sales		% to Total
	Three Months Ended April 4, 2015 (13 Weeks)
	Domestic		$	197,584		77.4	%
	International			57,732		22.6	%
	Total		$	255,316		100.0	%
	Three Months Ended April 5, 2014 (14 Weeks)
	Domestic		$	167,493		74.9	%
	International			56,121		25.1	%
	Total		$	223,614		100.0	%
	There were no significant changes in segment assets during the three months ended April 4, 2015.

DERIVATIVE_INSTRUMENTS

DERIVATIVE INSTRUMENTS

3 Months Ended

Apr. 04, 2015

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS

16.    DERIVATIVE INSTRUMENTS

In order to reduce exposures related to changes in foreign currency exchange rates, the Company uses forward contracts and options and may utilize foreign currency collars and swap contracts for the purpose of hedging the specific exposure to variability in forecasted cash flows associated primarily with inventory purchases mainly by KSJ. As of April 4, 2015, the Company had forward contracts maturing through June 2016 to sell 3.6 billion yen for $31.6 million. The Company also had option contracts maturing through December 2016 to sell 2.4 billion yen for $20.7 million.

The Company uses foreign currency forward contracts outside the cash flow hedging program to manage currency risk associated with intercompany loans. As of April 4, 2015, the Company had forward contracts to sell 4.0 billion yen for $33.4 million maturing through June 2015. Transaction losses of $(0.4) million and $(0.6) million related to these derivative instruments were reflected within Other expense, net for the three months ended April 4, 2015 and April 5, 2014, respectively.

The following table summarizes the fair value and presentation in the Condensed Consolidated Financial Statements for derivatives designated as hedging instruments and derivatives not designated as hedging instruments:

Foreign Currency Contracts Designated as Hedging Instruments

In thousands

Asset Derivatives

Liability Derivatives

Period

Balance Sheet

Notional

Fair Value

Balance Sheet

Notional

Fair Value

Location

Amount

Location

Amount

April 4, 2015

Other current assets

$

42,132

$

2,642

Accrued expenses

$

10,180

$

10

January 3, 2015

Other current assets

39,100

3,066

Accrued expenses

--

--

April 5, 2014

Other current assets

12,750

609

Accrued expenses

7,850

--

Foreign Currency Contracts Not Designated as Hedging Instruments

In thousands

Asset Derivatives

Liability Derivatives

Period

Balance Sheet

Notional

Fair Value

Balance Sheet

Notional

Fair Value

Location

Amount

Location

Amount

April 4, 2015

Other current assets

$

--

$

--

Accrued expenses

$

33,370

$

248

January 3, 2015

Other current assets

33,350

127

Accrued expenses

--

--

April 5, 2014

Other current assets

39,154

443

Accrued expenses

--

--

The following table summarizes the effect of foreign currency exchange contracts designated as hedging instruments on the Condensed Consolidated Financial Statements:

In thousands

Amount of Gain or

Location of Gain or

Amount of Gain or

Amount

(Loss) Recognized

(Loss) Reclassified

(Loss) Reclassified

Recognized in

in Accumulated

from Accumulated

from Accumulated

Operations on

OCI on Derivative

OCI into Operations

OCI into Operations

Derivative

(Effective Portion)

(Effective and

(Effective Portion)

(Ineffective

Ineffective Portion)

Portion)

Three months ended April 4, 2015 (13 weeks)

$    (579)

Cost of goods sold

$       541

$              --

Three months ended April 5, 2014 (14 weeks)

-227

Cost of goods sold

385

--

SHAREBASED_COMPENSATION

SHARE-BASED COMPENSATION	3 Months Ended
	Apr. 04, 2015
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION
	17.    SHARE-BASED COMPENSATION
	The Company recognizes the cost of all employee share-based awards on a straight-line attribution basis over their respective vesting periods, net of estimated forfeitures.
	The Company issues stock options and restricted shares as well as shares with performance features to employees under share-based compensation plans. Stock options are issued at the current market price, have a three-year vesting period and a contractual term of 7-10 years.
	Compensation expense for restricted shares, including shares with performance features, is measured at fair value on the date of grant based on the number of shares granted and the quoted market price of the Company’s common stock. Such value is recognized as expense over the vesting period of the award, net of estimated forfeitures.
	Compensation expense for restricted share units with performance features and a market condition is measured at fair value, subject to the market condition on the date of grant and based on the number of shares expected to vest subject to the performance condition. Such value is recognized as expense over the vesting period of the award, net of estimated forfeitures.
	Compensation expense related to the Company’s share-based payment awards totaled $6.0 million, which included $0.2 million that was classified as restructuring, for the three months ended April 4, 2015.
	During 2014, the Company’s Compensation Committee approved the continued vesting of unvested options and restricted stock awards without any required service period or the accelerated vesting of such awards for former employees, including former executive officers, upon their separation from the Company. Compensation expense related to the Company’s share-based payment awards totaled $20.2 million, which included $16.4 million that was classified as restructuring, for the three months ended April 5, 2014.
	Stock Options
	The Company grants stock options to certain domestic and international employees. These options are subject to transfer restrictions and risk of forfeiture until earned by continuing employment. Stock options are issued at the current market price and have a three-year vesting period and a contractual term of 7-10 years.
	The Company utilizes the Binomial lattice pricing model to estimate the fair value of options granted. The Company believes this model provides the best estimate of fair value due to its ability to incorporate inputs that change over time, such as volatility and interest rates and to allow for actual exercise behavior of option holders.
			Three Months Ended
	Valuation Assumptions:		April 4, 2015
	Weighted-average fair value of options granted		$16.39
	Historic volatility		76.50%
	Weighted-average volatility		58.70%
	Expected term (in years)		4.2
	Dividend yield		—
	Risk-free rate		1.88%
	Expected annual forfeiture		15.28%
	Expected volatilities are based on a term structure of implied volatility, which assumes changes in volatility over the life of an option. The Company utilizes historical optionee behavioral data to estimate the option exercise and termination rates that are used in the valuation model. The expected term represents an estimate of the period of time options are expected to remain outstanding. The expected term provided in the above table represents an option weighted-average expected term based on the estimated behavior of distinct groups of employees who received options in 2015. The range of risk-free rates is based on a forward curve of interest rates at the time of option grant.
	A summary of award activity under stock option plans as of April 4, 2015 and changes therein during the three month period then ended are as follows:
			Shares		Weighted		Weighted Average	Aggregate
					Average Exercise		Remaining	Intrinsic Value
					Price		Contractual Term	(In thousands)
	Outstanding at January 3, 2015		1,030,969		$	11.25	3.9	$	21,613
	Granted		161,650		35.3
	Exercised		(228,000	)	10.55			5,510
	Outstanding at April 4, 2015		964,619		$	15.44	4.4	$	17,614
	Vested or expected to vest at April 4, 2015		897,288		$	14.06	4.2	$	17,531
	Exercisable at April 4, 2015		539,404		$	7.16	3.2	$	14,143
	As of April 4, 2015, there were approximately 0.4 million nonvested stock options. The weighted average grant date fair value per award for nonvested stock options was $25.95.
	As of April 4, 2015, there was $3.1 million of total unrecognized compensation cost related to nonvested stock options granted under the Company’s stock option plans. That expense is expected to be recognized over a weighted average period of 2.0 years. The total fair value of shares vested during the three month periods ended April 4, 2015 and April 5, 2014 was $1.4 million.
	Restricted Stock
	In the first quarter of 2015, the Company granted 76,003 market share units (“MSUs”) to a group of key executives with an aggregate grant date fair value of $3.8 million and vest 50% on each of the second and third anniversaries of the grant date as part of an annual long-term incentive plan (“LTIP”). The MSUs earned will vary from 30% to 200% of the number of MSUs awarded depending on the actual performance of the Company’s stock price over the vesting periods.
	The fair value for the MSUs granted was calculated using the Monte Carlo simulation model. For the three months ended April 4, 2015, the following assumptions were used in determining fair value:
		Three Months Ended
	Valuation Assumptions:	April 4, 2015
	Weighted-average fair value	$49.39
	Expected volatility	41.80%
	Dividend yield	—
	Risk-free rate	1.06%
	Weighted-average expected annual forfeiture	3.80%
	The other portion of the LTIP consists of an award of 230,899 performance shares that vests on the third anniversary of the grant date. The number of performance shares earned will vary from zero to 200% of the number of awards granted depending on the Company’s Total Shareholder Return (“TSR”) relative to the TSR of the S&P Mid-Cap 400 Index as well as an earnings based performance condition. The performance shares have a grant date fair value of $8.8 million that was calculated using a Monte Carlo simulation model. For the three months ended April 4, 2015, the following assumptions were used in determining fair value:
		Three Months Ended
	Valuation Assumptions:	April 4, 2015
	Weighted-average fair value	$38.37
	Expected volatility	41.60%
	Dividend yield	—
	Risk-free rate	1.00%
	Weighted-average expected annual forfeiture	3.90%
	A summary of award activity under restricted stock plans as of April 4, 2015 and changes therein during the three month period then ended are as follows:
			Shares		Weighted
					Average Grant
					Date Fair Value
	Nonvested stock at January 3, 2015		1,719,574		$	45.39
	Granted		497,452		38.85
	Vested		(47,000	)	14.29
	Cancelled		(72,806	)	45.22
	Nonvested stock at April 4, 2015		2,097,220		$	44.54
	Expected to vest as of April 4, 2015 (a)		1,807,740		$	44.8
		(a)		Excludes the potential impact of the performance share multiplier, which will vary from 30% to 200% of the number of MSUs awarded depending on the actual performance of the Company’s stock price over the vesting periods and zero to 200% of the number of LTIP awards granted depending on the Company’s TSR relative to the TSR of the S&P Mid-Cap 400 Index.
	As of April 4, 2015, there was $57.2 million of total unrecognized compensation cost related to non vested stock awards granted under restricted stock plans. That expense is expected to be recognized over a weighted average period of 2.6 years. The total fair value of shares vested during the three month periods ended April 4, 2015 and April 5, 2014 was $0.7 million and $6.4 million, respectively.

RECENT_ACCOUNTING_PRONOUNCEMEN

RECENT ACCOUNTING PRONOUNCEMENTS	3 Months Ended
	Apr. 04, 2015
RECENT ACCOUNTING PRONOUNCEMENTS
RECENT ACCOUNTING PRONOUNCEMENTS
	18.    RECENT ACCOUNTING PRONOUNCEMENTS
	In April 2015, new accounting guidance on the reporting of interest was issued, which requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. This guidance is effective for interim and annual periods beginning on or after December 15, 2015. The Company is currently evaluating the impact of the adoption of the new accounting guidance on its financial statements.
	In January 2015, new accounting guidance was issued which removes the concept of extraordinary items from US GAAP. Under the existing guidance, an entity is required to separately disclose extraordinary items, net of tax, in the income statement after income from continuing operations if an event or transaction is of an unusual nature and occurs infrequently. This separate presentation (and corresponding earnings per share impact) will no longer be allowed. This guidance is effective for interim and annual periods beginning on or after December 15, 2015. Early adoption is permitted. The adoption of the new guidance will not affect the Company’s financial position, results of operations or cash flows.
	In May 2014, new accounting guidance on the accounting for revenue recognition was issued, which requires entities to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This guidance is effective for interim and annual periods beginning on or after December 15, 2016. Early adoption is not permitted. The Company is currently evaluating the impact of the adoption of the new guidance on its financial statements.

SUBSEQUENT_EVENTS

SUBSEQUENT EVENTS	3 Months Ended
	Apr. 04, 2015
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS
	19.    SUBSEQUENT EVENTS
	In the second quarter of 2015, the Company announced that it signed a new distribution agreement for its operations in Latin America, including in Brazil, which will leverage the network of its new distribution partner. As part of these actions, the Company will no longer operate directly in Brazil and will close or transition its stores to a partner in a phased approach during 2015. Based on that determination, the Company expects to incur total restructuring charges of $9.0 million relating to the above-described business model changes, including estimated contract assignment and termination costs, employee-related costs (including severance), non-cash asset impairment charges and other charges.

BASIS_OF_PRESENTATION_Policies

BASIS OF PRESENTATION (Policies)	3 Months Ended
	Apr. 04, 2015
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
NATURE OF OPERATIONS
	NATURE OF OPERATIONS
	Kate Spade & Company is engaged primarily in the design and marketing of a broad range of accessories and apparel. The Company’s fiscal year ends on the Saturday closest to December 31. The 2015 fiscal year, ending January 2, 2016, reflects a 52-week period, resulting in a 13-week, three-month period for the first quarter. The 2014 fiscal year, ending January 3, 2015, reflects a 53-week period, resulting in a 14-week, three-month period for the first quarter.
PRINCIPLES OF CONSOLIDATION
	PRINCIPLES OF CONSOLIDATION
	The Condensed Consolidated Financial Statements include the accounts of the Company. All inter-company balances and transactions have been eliminated in consolidation.
USE OF ESTIMATES AND CRITICAL ACCOUNTING POLICIES
	USE OF ESTIMATES AND CRITICAL ACCOUNTING POLICIES
	The Company’s critical accounting policies are those that are most important to the portrayal of its financial condition and results of operations in conformity with US GAAP. These critical accounting policies are applied in a consistent manner throughout all periods presented. The Company’s critical accounting policies are summarized in Note 1 of Notes to Consolidated Financial Statements included in its Annual Report on Form 10-K for the fiscal year ended January 3, 2015.
	The application of critical accounting policies requires that the Company make estimates and assumptions about future events and apply judgments that affect the reported amounts of revenues and expenses. Estimates by their nature are based on judgments and available information. Therefore, actual results could materially differ from those estimates under different assumptions and conditions. The Company continues to monitor the critical accounting policies to ensure proper application of current rules and regulations. During the first quarter of 2015, there were no significant changes in the critical accounting policies discussed in the Company’s Annual Report on Form 10-K for the fiscal year ended January 3, 2015.
RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS
	RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS
	On January 4, 2015, the first day of the Company’s 2015 fiscal year, the Company adopted new accounting guidance on the reporting of discontinued operations, which revised the threshold for a disposal to qualify as a discontinued operation and required new disclosures of both discontinued operations and certain other disposals that do not meet the definition of a discontinued operation.

ACQUISITION_Tables

ACQUISITION (Tables)	3 Months Ended
	Apr. 04, 2015
ACQUISITIONS
Summary of the estimated fair values of the assets acquired
	In thousands
	Assets acquired:
	Current assets		$	3,549
	Property and equipment, net		1,267
	Goodwill and intangibles, net (a)		26,592
	Other assets		860
	Total assets acquired		$	32,268
		(a)		In the first quarter of 2015, $16.0 million of the goodwill related to the KATE SPADE businesses in Hong Kong, Macau and Taiwan was reclassified to Investment in unconsolidated subsidiary upon closing of the KS HMT joint venture with Walton Brown (see Note 1 – Basis of Presentation).
Schedule of the acquired intangible assets
	In thousands		Useful Life		Estimated Fair Value
	Reacquired distribution rights		1.7 years		$	4,500
	Retail customer list		3 years		256

DISCONTINUED_OPERATIONS_Tables

DISCONTINUED OPERATIONS (Tables)	3 Months Ended
	Apr. 04, 2015
DISCONTINUED OPERATIONS
Schedule of components of Assets held for sale and Liabilities held for sale
	In thousands	April 5, 2014
	Assets held for sale:
	Cash and cash equivalents	$	3,584
	Accounts receivable – trade, net	1,400
	Inventories, net	2,618
	Property and Equipment, net	601
	Other assets	3,079
	Assets held for sale	$	11,282
	Liabilities held for sale:
	Accounts payable	$	4,017
	Accrued expenses	1,039
	Other liabilities	2,572
	Liabilities held for sale	$	7,628
Summary of results of discontinued operations
		Three Months Ended
		April 4, 2015			April 5, 2014
	In thousands	(13 Weeks)			(14 Weeks)
	Net sales	$	208		$	150,585
	(Loss) income before provision for income taxes	$	(866	)	$	(20,040	)
	Provision for income taxes	54			638
	(Loss) income from discontinued operations, net of income taxes	$	(920	)	$	(20,678	)
	(Loss) gain on disposal of discontinued operations, net of income taxes	$	(742	)	$	105,256

STOCKHOLDERS_EQUITY_Tables

STOCKHOLDERS' EQUITY (Tables)	3 Months Ended
	Apr. 04, 2015
STOCKHOLDERS' EQUITY
Schedule of activity in the Capital in excess of par value, Retained earnings and Common stock in treasury, at cost accounts
	In thousands	Capital in Excess			Retained			Common Stock
		of Par Value			Earnings			in Treasury,
								at Cost
	Balance as of January 3, 2015	$	199,100		$	1,145,643		$	(1,291,583	)
	Net loss	--			(55,221		)	--
	Exercise of stock options	--			(1,845		)	4,251
	Restricted shares issued, net of cancellations and shares withheld for taxes	--			(1,522		)	802
	Share-based compensation	6,003			--			--
	Balance as of April 4, 2015	$	205,103		$	1,087,055		$	(1,286,530	)
	In thousands	Capital in Excess			Retained			Common Stock
		of Par Value			Earnings			in Treasury,
								at Cost
	Balance as of December 28, 2013	$	155,984		$	1,020,633		$	(1,364,657	)
	Net income	--			46,170			--
	Exercise of stock options	--			(24,111		)	54,447
	Restricted shares issued, net of cancellations and shares withheld for taxes	--			(8,827		)	4,253
	Share-based compensation	25,554			--			--
	Balance as of April 5, 2014	$	181,538		$	1,033,865		$	(1,305,957	)
Schedule of accumulated other comprehensive loss
	In thousands	April 4, 2015			January 3, 2015			April 5, 2014
	Cumulative translation adjustment, net of income taxes of $0	$	(32,443	)	$	(32,096	)	$	(20,177	)
	Unrealized gains on cash flow hedging derivatives, net of income taxes of $769, $1,168 and $370, respectively	1,389			2,110			603
	Accumulated other comprehensive loss, net of income taxes	$	(31,054	)	$	(29,986	)	$	(19,574	)
Schedule of the change in each component of Accumulated other comprehensive (loss) income, net of income taxes
	In thousands	Cumulative			Unrealized Gains
		Translation			(Losses) on Cash
		Adjustment			Flow Hedging
					Derivatives
	Balance as of January 3, 2015	$	(32,096	)	$	2,110
	Other comprehensive income (loss) before reclassification	(347		)	(373		)
	Amounts reclassified from accumulated other comprehensive income	--			(348		)
	Net current-period other comprehensive loss	(347		)	(721		)
	Balance as of April 4, 2015	$	(32,443	)	$	1,389
	In thousands	Cumulative			Unrealized Gains
		Translation			(Losses) on Cash
		Adjustment			Flow Hedging
					Derivatives
	Balance as of December 28, 2013	$	(21,862	)	$	983
	Other comprehensive income (loss) before reclassification	1,685			-141
	Amounts reclassified from accumulated other comprehensive income	--			-239
	Net current-period other comprehensive income (loss)	1,685			-380
	Balance as of April 5, 2014	$	(20,177	)	$	603

INVENTORIES_NET_Tables

INVENTORIES, NET (Tables)	3 Months Ended
	Apr. 04, 2015
INVENTORIES, NET
Schedule of inventories, net
	In thousands	April 4, 2015		January 3, 2015		April 5, 2014
	Raw materials and work in process	$	238	$	538	$	1,569
	Finished goods	182,265		157,703		208,541
	Total inventories, net	$	182,503	$	158,241	$	210,110

PROPERTY_AND_EQUIPMENT_NET_Tab

PROPERTY AND EQUIPMENT, NET (Tables)	3 Months Ended
	Apr. 04, 2015
PROPERTY AND EQUIPMENT, NET
Schedule of property and equipment, net
	In thousands	April 4, 2015		January 3, 2015		April 5, 2014
	Land and buildings	$	9,300	$	9,300	$	9,300
	Machinery and equipment	137,205		140,189		170,382
	Furniture and fixtures	62,342		61,694		84,107
	Leasehold improvements	118,529		122,029		179,620
		327,376		333,212		443,409
	Less: Accumulated depreciation and amortization	159,339		159,140		287,626
	Total property and equipment, net	$	168,037	$	174,072	$	155,783

GOODWILL_AND_INTANGIBLES_NET_T

GOODWILL AND INTANGIBLES, NET (Tables)	3 Months Ended
	Apr. 04, 2015
GOODWILL AND INTANGIBLES, NET
Schedule of carrying value of all intangible assets
	In thousands		Weighted		April 4, 2015			January 3, 2015			April 5, 2014
			Average
			Amortization
			Period
	Amortized intangible assets:
	Gross carrying amount:
	Owned trademarks (a)		--		$	467		$	467		$	2,000
	Customer relationships		12 years		7,176			7,422			7,545
	Merchandising rights		4 years		11,535			12,012			6,856
	Reacquired rights		2 years		14,491			14,371			16,037
	Other		4 years		2,322			2,322			2,322
	Subtotal				35,991			36,594			34,760
	Accumulated amortization:
	Owned trademarks				(467		)	(467		)	(200		)
	Customer relationships				(4,855		)	(4,769		)	(4,245		)
	Merchandising rights				(4,556		)	(4,108		)	(2,918		)
	Reacquired rights				(11,198		)	(9,604		)	(5,898		)
	Other				(2,242		)	(2,219		)	(2,129		)
	Subtotal				(23,318		)	(21,167		)	(15,390		)
	Net:
	Owned trademarks				--			--			1,800
	Customer relationships				2,321			2,653			3,300
	Merchandising rights				6,979			7,904			3,938
	Reacquired rights				3,293			4,767			10,139
	Other				80			103			193
	Total amortized intangible assets, net				12,673			15,427			19,370
	Unamortized intangible assets:
	Owned trademarks				74,900			74,900			74,900
	Total intangible assets				$	87,573		$	90,327		$	94,270
	Goodwill (b)				$	49,355		$	64,798		$	71,914
		(a)		The change in the balance reflected a non-cash impairment charge of $1.5 million related to the TRIFARI trademark recorded in the fourth quarter of 2014.
		(b)		The decrease in the balance compared to April 5, 2014 primarily reflected the reclassification of $16.0 million of the goodwill related to the KATE SPADE businesses in Hong Kong, Macau and Taiwan to Investment in unconsolidated subsidiary in the first quarter of 2015 upon closing of the joint venture with Walton Brown (see Note 1 – Basis of Presentation and Note 2 - Acquisition).
Schedule of estimated amortization expense for intangible assets for the next five fiscal years
	Fiscal Year		Amortization Expense
	(In millions)
	2015		$	7.6
	2016			2.5
	2017			2.1
	2018			1.4
	2019			0.4
Schedule of changes in carrying amount of goodwill
	In thousands		KATE SPADE			Adelington			Total
			International			Design Group
	Balance as of January 3, 2015		$	63,483		$	1,315		$	64,798
	Reclassification of goodwill to Investment in unconsolidated subsidiary (a)		(16,009		)	--			(16,009		)
	Translation adjustment		640			(74		)	566
	Balance as of April 4, 2015		$	48,114		$	1,241		$	49,355
		(a)		Represents the reclassification of the goodwill related to the KATE SPADE businesses in Hong Kong, Macau and Taiwan to Investment in unconsolidated subsidiary in the first quarter of 2015 upon closing of the joint venture with Walton Brown (see Note 1 – Basis of Presentation and Note 2 – Acquisition).
	In thousands		KATE SPADE			Adelington			Total
			International			Design Group
	Balance as of December 28, 2013		$	47,664		$	1,447		$	49,111
	Acquisition of existing KATE SPADE businesses in Southeast Asia		21,836			--			21,836
	Translation adjustment		1,003			(36		)	967
	Balance as of April 5, 2014		$	70,503		$	1,411		$	71,914

DEBT_AND_LINES_OF_CREDIT_Table

DEBT AND LINES OF CREDIT (Tables)	3 Months Ended
	Apr. 04, 2015
DEBT AND LINES OF CREDIT
Schedule of long-term debt
	In thousands		April 4, 2015			January 3, 2015		April 5, 2014
	10.5 % Senior Secured Notes, due April 2019 (a)		$	--		$	--	$	381,799
	Term Loan credit facility, due April 2021 (a)(b)		395,242			396,158		--
	Revolving credit facility		8,000			6,000		4,900
	Capital lease obligations		8,475			8,585		8,896
	Total debt		411,717			410,743		395,595
	Less: Short-term borrowings (c)		12,472			10,459		5,322
	Long-term debt		$	399,245		$	400,284	$	390,273
		(a)		The Senior Notes were refinanced in the second quarter of 2014 with proceeds from the issuance of term loans in an aggregate principal amount of $400.0 million (collectively, the “Term Loan”).
		(b)		The balance as of April 4, 2015 and January 3, 2015 included an unamortized debt discount of $1.8 million.
		(c)		At April 4, 2015 and January 3, 2015, the balance consisted of $4.0 million of Term Loan amortization payments, outstanding borrowings under the Company’s amended and restated revolving credit facility (as amended to date, the “ABL Facility”) and obligations under capital leases. At April 5, 2014, the balance consisted of outstanding borrowings under the ABL Facility and obligations under capital leases.
Schedule of availability under the Company's ABL Facility
	As of April 4, 2015, availability under the Company’s ABL Facility was as follows:
	In thousands		Total Facility	(a)	Borrowing		Outstanding Borrowings	Letters of Credit Issued		Available Capacity	Excess Capacity (b)
					Base (a)
	Revolving credit facility (a)		$		$		$	$		$	$
			200,000		218,632		8,000	10,690		181,310	161,310
		(a)		Availability under the ABL Facility is the lesser of $200.0 million or a borrowing base that is computed monthly and comprised of the Company’s eligible cash, accounts receivable and inventory.
		(b)		Excess capacity represents available capacity reduced by the minimum required aggregate borrowing availability under the ABL Facility of $20.0 million.

FAIR_VALUE_MEASUREMENTS_Tables

FAIR VALUE MEASUREMENTS (Tables)	3 Months Ended
	Apr. 04, 2015
FAIR VALUE MEASUREMENTS
Schedule of financial assets and liabilities of the Company measured at fair value on recurring basis
			Level 2
	In thousands		April 4, 2015		January 3, 2015		April 5, 2014
	Financial Assets:
	Derivatives		$	2,642	$	3,193	$	1,052
	Financial Liabilities:
	Derivatives		$	-258	$	--	$	--
Schedule of non-financial assets of the Company measured at fair value on non-recurring basis
			Net Carrying Value as of		Fair Value Measured and Recorded at							Total Losses
					Reporting Date Using:							for the Three Months Ended
	In thousands		April 4, 2015		Level 1		Level 2		Level 3			April 4, 2015
	Property and equipment		$	160	$	--	$	--	$	160		$	3,356
Schedule of fair values and carrying values of the Company's debt instruments
			April 4, 2015				January 3, 2015				April 5, 2014
	In thousands		Fair Value		Carrying Value		Fair Value		Carrying Value		Fair Value			Carrying Value
	10.5% Senior Secured Notes due April 2019 (a)		$	--	$	--	$	--	$	--	$	392,460		$	381,799
	Term Loan credit facility, due April 2021(a)		396,629		395,242		384,786		396,158		--			--
	Revolving credit facility (b)		8,000		8,000		6,000		6,000		4,900			4,900
		(a)		Carrying values include unamortized debt discount or premium.
		(b)		Borrowings under the revolving credit facility bear interest based on market rate; accordingly its fair value approximates its carrying value.

COMMITMENTS_AND_CONTINGENCIES_

COMMITMENTS AND CONTINGENCIES (Tables)	3 Months Ended
	Apr. 04, 2015
COMMITMENTS AND CONTINGENCIES
Schedule of estimated future minimum lease payments under the noncancelable capital lease	As of April 4, 2015, the estimated future minimum lease payments under the noncancelable capital lease were as follows:
	In millions
	2015	$	1,535
	2016	2,089
	2017	2,141
	2018	2,194
	2019	2,247
	Thereafter	13,081
	Total	23,287
	Less: Amounts representing interest and executory costs	(14,812		)
	Net present values	8,475
	Less: Capital lease obligations included in short-term debt	(472		)
	Long-term capital lease obligations	$	8,003

STREAMLINING_INITIATIVES_Table

STREAMLINING INITIATIVES (Tables)	3 Months Ended
	Apr. 04, 2015
STREAMLINING INITIATIVES
Schedule of expenses associated with the Company's streamlining actions
			Three Months Ended
	In thousands		April 4, 2015			April 5, 2014
			(13 Weeks)			(14 Weeks)
	KATE SPADE North America		$	11,943		$	2,097
	KATE SPADE International		3,057			--
	Adelington Design Group		1,333			103
	Other (a)		2,541			26,731
	Total		$	18,874		$	28,931
		(a)		Other consists of unallocated corporate restructuring costs and Juicy Couture and Lucky Brand restructuring charges principally related to distribution functions that are not directly attributable to Juicy Couture or Lucky Brand and therefore have not been included in discontinued operations.
Summary rollforward of the liability for streamlining initiatives
	In thousands		Payroll and			Contract			Asset			Other Costs			Total
			Related Costs			Termination			Write-Downs
						Costs
	Balance at January 3, 2015		$	2,080		$	987		$	--		$	6,830		$	9,897
	2015 provision (a)		7,902			4,788			6,152			32			18,874
	2015 asset write-downs		--			--			(6,152		)	--			(6,152		)
	Translation difference		6			--			--			(5		)	1
	2015 spending (a)		(2,781		)	(98		)	--			(1,155		)	(4,034		)
	Balance at April 4, 2015 (b)		$	7,207		$	5,677		$	--		$	5,702		$	18,586
		(a)		Payroll and related costs and spending include $0.2 million of non-cash share-based compensation expense.
		(b)		The balance in other costs at April 4, 2015 includes $5.6 million for a withdrawal liability incurred in 2011 related to a multi-employer pension plan that the Company will pay through June 1, 2016.

EARNINGS_PER_COMMON_SHARE_Tabl

EARNINGS PER COMMON SHARE (Tables)	3 Months Ended
	Apr. 04, 2015
EARNINGS PER COMMON SHARE
Schedule of computation of basic and diluted (loss) earnings per common share
			Three Months Ended
	In thousands		April 4, 2015			April 5, 2014
			(13 Weeks)			(14 Weeks)
	Loss from continuing operations		$	(53,559	)	$	(38,408	)
	(Loss) income from discontinued operations, net of income taxes		(1,662		)	84,578
	Net (loss) income		$	(55,221	)	$	46,170
	Basic weighted average shares outstanding		127,489			124,403
	Stock options and nonvested shares (a)		--			--
	Diluted weighted average shares outstanding		127,489			124,403
	(Loss) Earnings per share:
	Basic and Diluted
	Loss from continuing operations		$	(0.42	)	$	(0.31	)
	(Loss) income from discontinued operations		$	(0.01	)	$	0.68
	Net (loss) income		$	(0.43	)	$	0.37
		(a)		Because the Company incurred a loss from continuing operations for the three months ended April 4, 2015 and April 5, 2014, approximately 1.0 million and 1.7 million outstanding stock options and approximately 2.1 million and 1.7 million outstanding nonvested shares were considered antidilutive for such periods, and excluded from the computation of diluted loss per share.

SEGMENT_REPORTING_Tables

SEGMENT REPORTING (Tables)	3 Months Ended
	Apr. 04, 2015
SEGMENT REPORTING
Schedule of segment reporting information, by segment
	Dollars in thousands		Net Sales			% to Total		Adjusted			% of Sales
								EBITDA
	Three Months Ended April 4, 2015 (13 Weeks)
	KATE SPADE North America		$	195,586		76.6	%	$	18,072		9.2	%
	KATE SPADE International		52,468			20.6	%	4,989			9.5	%
	Adelington Design Group		7,262			2.8	%	1,678			23.1	%
	Totals		$	255,316		100	%
	Three Months Ended April 5, 2014 (14 Weeks)
	KATE SPADE North America		$	163,753		73.2	%	$	16,244		9.9	%
	KATE SPADE International		53,375			23.9	%	1,475			2.8	%
	Adelington Design Group		6,486			2.9	%	(392		)	(6.0	)%
	Other (a)		--			--	%	(64		)	--	%
	Totals		$	223,614		100	%
		(a)		Other consists of expenses principally related to distribution functions that were included in Juicy Couture and Lucky Brand historical results, but are not directly attributable to those businesses and therefore have not been included in discontinued operations.
Schedule of reconciliation to Income (Loss) from Continuing Operations
			Three Months Ended
	In thousands		April 4, 2015			April 5, 2014
			(13 Weeks)			(14 Weeks)
	Reportable Segments Adjusted EBITDA:
	KATE SPADE North America		$	18,072		$	16,244
	KATE SPADE International (a)		4,989			1,475
	Adelington Design Group		1,678			(392		)
	Other (b)		--			(64		)
	Total Reportable Segments Adjusted EBITDA		24,739			17,263
	Depreciation and amortization, net (c)		(11,546		)	(11,137		)
	Charges due to streamlining initiatives (d), brand-exiting activities, acquisition related costs and loss on asset disposals and impairments, net		(19,054		)	(13,127		)
	Joint venture contract termination fee		(26,000		)	--
	Share-based compensation (e)		(6,003		)	(20,224		)
	Equity loss included in Reportable Segments Adjusted EBITDA		738			298
	Operating Loss		(37,126		)	(26,927		)
	Other expense, net (a)		(1,395		)	(153		)
	Loss on settlement of note receivable		(9,873		)	--
	Interest expense, net		(3,364		)	(9,522		)
	Provision for income taxes		1,801			1,806
	Loss from Continuing Operations		$	(53,559	)	$	(38,408	)
		(a)		Amounts include equity in the losses of the Company’s equity method investees of $0.7 million and $0.3 million for the three months ended April 4, 2015 and April 5, 2014, respectively.
		(b)		Other consists of expenses principally related to distribution functions that were included in Juicy Couture and Lucky Brand historical results, but are not directly attributable to those businesses and therefore have not been included in discontinued operations.
		(c)		Excludes amortization included in Interest expense, net.
		(d)		See Note 12 – Streamlining Initiatives for a discussion of streamlining charges.
		(e)		Includes share-based compensation expense of $0.2 million and $16.4 million in 2015 and 2014, respectively, that was classified as restructuring.
Schedule of geographic data
	Dollars in thousands			Net Sales		% to Total
	Three Months Ended April 4, 2015 (13 Weeks)
	Domestic		$	197,584		77.4	%
	International			57,732		22.6	%
	Total		$	255,316		100.0	%
	Three Months Ended April 5, 2014 (14 Weeks)
	Domestic		$	167,493		74.9	%
	International			56,121		25.1	%
	Total		$	223,614		100.0	%

DERIVATIVE_INSTRUMENTS_Tables

DERIVATIVE INSTRUMENTS (Tables)

3 Months Ended

Apr. 04, 2015

DERIVATIVE INSTRUMENTS

Summary of effect of foreign currency exchange contracts on Condensed Consolidated Financial Statements

In thousands

Amount of Gain or

Location of Gain or

Amount of Gain or

Amount

(Loss) Recognized

(Loss) Reclassified

(Loss) Reclassified

Recognized in

in Accumulated

from Accumulated

from Accumulated

Operations on

OCI on Derivative

OCI into Operations

OCI into Operations

Derivative

(Effective Portion)

(Effective and

(Effective Portion)

(Ineffective

Ineffective Portion)

Portion)

Three months ended April 4, 2015 (13 weeks)

$    (579)

Cost of goods sold

$       541

$              --

Three months ended April 5, 2014 (14 weeks)

-227

Cost of goods sold

385

--

Designated as Hedging Instrument

DERIVATIVE INSTRUMENTS

Summary of fair value and presentation in Condensed Consolidated Financial Statements for derivatives designated as hedging instruments and derivatives not designated as hedging instruments

Foreign Currency Contracts Designated as Hedging Instruments

In thousands

Asset Derivatives

Liability Derivatives

Period

Balance Sheet

Notional

Fair Value

Balance Sheet

Notional

Fair Value

Location

Amount

Location

Amount

April 4, 2015

Other current assets

$

42,132

$

2,642

Accrued expenses

$

10,180

$

10

January 3, 2015

Other current assets

39,100

3,066

Accrued expenses

--

--

April 5, 2014

Other current assets

12,750

609

Accrued expenses

7,850

--

Not Designated as Hedging Instrument

DERIVATIVE INSTRUMENTS

Summary of fair value and presentation in Condensed Consolidated Financial Statements for derivatives designated as hedging instruments and derivatives not designated as hedging instruments

Foreign Currency Contracts Not Designated as Hedging Instruments

In thousands

Asset Derivatives

Liability Derivatives

Period

Balance Sheet

Notional

Fair Value

Balance Sheet

Notional

Fair Value

Location

Amount

Location

Amount

April 4, 2015

Other current assets

$

--

$

--

Accrued expenses

$

33,370

$

248

January 3, 2015

Other current assets

33,350

127

Accrued expenses

--

--

April 5, 2014

Other current assets

39,154

443

Accrued expenses

--

--

SHAREBASED_COMPENSATION_Tables

SHARE-BASED COMPENSATION (Tables)	3 Months Ended
	Apr. 04, 2015
SHARE-BASED COMPENSATION
Schedule of valuation assumptions used to estimate fair value of stock options granted using the Binomial lattice pricing model
			Three Months Ended
	Valuation Assumptions:		April 4, 2015
	Weighted-average fair value of options granted		$16.39
	Historic volatility		76.50%
	Weighted-average volatility		58.70%
	Expected term (in years)		4.2
	Dividend yield		—
	Risk-free rate		1.88%
	Expected annual forfeiture		15.28%
Summary of award activity under stock option plans
			Shares		Weighted		Weighted Average	Aggregate
					Average Exercise		Remaining	Intrinsic Value
					Price		Contractual Term	(In thousands)
	Outstanding at January 3, 2015		1,030,969		$	11.25	3.9	$	21,613
	Granted		161,650		35.3
	Exercised		(228,000	)	10.55			5,510
	Outstanding at April 4, 2015		964,619		$	15.44	4.4	$	17,614
	Vested or expected to vest at April 4, 2015		897,288		$	14.06	4.2	$	17,531
	Exercisable at April 4, 2015		539,404		$	7.16	3.2	$	14,143
Schedule of valuation assumptions used to determine fair value for the MSUs granted using the Monte Carlo simulation model
		Three Months Ended
	Valuation Assumptions:	April 4, 2015
	Weighted-average fair value	$49.39
	Expected volatility	41.80%
	Dividend yield	—
	Risk-free rate	1.06%
	Weighted-average expected annual forfeiture	3.80%
Schedule of valuation assumptions used to determine fair value of performance share units granted using the Monte Carlo simulation model
		Three Months Ended
	Valuation Assumptions:	April 4, 2015
	Weighted-average fair value	$38.37
	Expected volatility	41.60%
	Dividend yield	—
	Risk-free rate	1.00%
	Weighted-average expected annual forfeiture	3.90%
Summary of award activity under restricted stock plans
			Shares		Weighted
					Average Grant
					Date Fair Value
	Nonvested stock at January 3, 2015		1,719,574		$	45.39
	Granted		497,452		38.85
	Vested		(47,000	)	14.29
	Cancelled		(72,806	)	45.22
	Nonvested stock at April 4, 2015		2,097,220		$	44.54
	Expected to vest as of April 4, 2015 (a)		1,807,740		$	44.8
		(a)		Excludes the potential impact of the performance share multiplier, which will vary from 30% to 200% of the number of MSUs awarded depending on the actual performance of the Company’s stock price over the vesting periods and zero to 200% of the number of LTIP awards granted depending on the Company’s TSR relative to the TSR of the S&P Mid-Cap 400 Index.

BASIS_OF_PRESENTATION_Details

BASIS OF PRESENTATION (Details) (USD $)

3 Months Ended

12 Months Ended

3 Months Ended

0 Months Ended

3 Months Ended

Apr. 04, 2015

Apr. 05, 2014

Jan. 02, 2016

Jan. 03, 2015

Oct. 03, 2015

Mar. 04, 2015

Feb. 03, 2014

Nov. 06, 2013

Feb. 05, 2014

Jul. 05, 2014

Dec. 28, 2013

Apr. 07, 2014

item

item

item

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Number of reportable segments

3

Net proceeds from settlement of note receivable

$75,128,000

Termination and other related costs

26,000,000

Investments in the joint ventures under the equity method of accounting

28,000,000

9,100,000

9,200,000

Goodwill

49,355,000

71,914,000

64,798,000

49,111,000

Period in fiscal year

91 days

98 days

364 days

371 days

Sales Revenue, Goods, Net

255,316,000

223,614,000

Kate Spade Saturdays

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Number of partnered store locations

3

KS HMT Co Limited

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Goodwill

16,000,000

Net Assets

14,000,000

Kate Spade China and K S H M T Co Limited

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Investments in the joint ventures under the equity method of accounting

34,000,000

E-Land Fashion | KS China Co Limited

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Ownership interest in joint venture (as a percent)

60.00%

EquityMethodInvestmentAlreadyOwnedOwnershipPercentage

40.00%

Aggregate payment to acquire interest in joint venture

36,000,000

Payments to acquire additional interest in joint venture

10,000,000

Termination and other related costs

26,000,000

Lane Crawford Joyce Group Member | Kate Spade China and K S H M T Co Limited

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Proceeds received in relation to joint ventures interests

21,000,000

Ownership percentage sold

50.00%

Sales Revenue, Goods, Net

6,400,000

34,000,000

Walton Brown

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Initial period of joint venture operations

10 years

Walton Brown | Kate Spade China and K S H M T Co Limited

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Ownership interest in joint venture (as a percent)

50.00%

Walton Brown | Lane Crawford Joyce Group Member

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Number of Joint Ventures

2

Juicy Couture Disposal Group

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Cash consideration

8,600,000

Lucky Brand

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Proceeds from settlement of notes prior to maturity

81

Aggregate amount of principal and interest collected

89

LBD Acquisition | Lucky Brand

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Loss on settlement of Lucky Brand Note

9,900,000

LBD Acquisition | Lucky Brand | Lucky Brand Note

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Term of note

3 years

Net proceeds from settlement of note receivable

85,000,000

ABG | Juicy Couture

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Purchase price

195,000,000

ABG | Juicy Couture | Minimum

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Guaranteed minimum royalties payment

10,000,000

ABG | Juicy Couture | Maximum

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Additional contingent payment

10,000,000

KATE SPADE International

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Purchase price

32,300,000

Working capital and other previously agreed adjustments

2,300,000

Goodwill

48,114,000

70,503,000

63,483,000

47,664,000

Lucky Brand | LBD Acquisition

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Percentage of ownership interest in business sold

100.00%

Significant Acquisitions and Disposals, Acquisition Costs or Sale Proceeds

225,000,000

Sale proceeds of intangible assets under disposal or sale transactions

-225,000,000

Cash consideration

140,000,000

Lucky Brand | LBD Acquisition | Lucky Brand Note

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Term of note

3 years

Net proceeds from settlement of note receivable

85,000,000

Domestic

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Number of Operating Segments

1

1

Sales Revenue, Goods, Net

197,584,000

167,493,000

International

NATURE OF OPERATIONS AND BASIS OF PRESENTATION

Number of Operating Segments

4

4

Sales Revenue, Goods, Net

$57,732,000

$56,121,000

ACQUISITION_Details

ACQUISITION (Details) (USD $)	3 Months Ended		0 Months Ended
	Apr. 04, 2015	Apr. 05, 2014	Feb. 05, 2014	Feb. 05, 2014	Jan. 03, 2015	Dec. 28, 2013
ACQUISITION
Goodwill recorded	$49,355,000	$71,914,000			$64,798,000	$49,111,000
Reclassification of goodwill to Investment in unconsolidated subsidiary	-16,009,000	21,836,000
Globalluxe Kate Spade H K Limited
ACQUISITION
Amount funded by Company's new partner, Valiram Group to acquire operating assets	1,500,000
Globalluxe Kate Spade H K Limited | HONG KONG
ACQUISITION
Number of stores operated	6
Number of concessions operated	1
Globalluxe Kate Spade H K Limited | TAIWAN, PROVINCE OF CHINA
ACQUISITION
Number of concessions operated	1
Globalluxe Kate Spade H K Limited | MACAU
ACQUISITION
Number of stores operated	1
Globalluxe Kate Spade H K Limited | SINGAPORE
ACQUISITION
Number of stores operated	2
Number of concessions operated	1
Globalluxe Kate Spade H K Limited | MALAYSIA
ACQUISITION
Number of stores operated	2
Globalluxe Kate Spade H K Limited | INDONESIA
ACQUISITION
Number of stores operated	3
Number of concessions operated	1
Globalluxe Kate Spade H K Limited | THAILAND
ACQUISITION
Number of stores operated	2
Number of concessions operated	6
KATE SPADE International
ACQUISITION
Purchase price			32,300,000
Working capital and other previously agreed adjustments			2,300,000	2,300,000
Goodwill recorded	48,114,000	70,503,000			63,483,000	47,664,000
Reclassification of goodwill to Investment in unconsolidated subsidiary	-16,009,000	21,836,000	16,000,000
Assets acquired:
Current assets			3,549,000	3,549,000
Property and equipment, net			1,267,000	1,267,000
Goodwill and intangibles, net			26,592,000	26,592,000
Other assets			860,000	860,000
Total Assets Acquired			32,268,000	32,268,000
KATE SPADE International | Distribution Rights
Assets acquired:
Useful Life				1 year 8 months 12 days
Estimated Fair Value				4,500,000
KATE SPADE International | Customer Lists
Assets acquired:
Useful Life				3 years
Estimated Fair Value				256,000
KATE SPADE International | KATE SPADE North America
ACQUISITION
Goodwill recorded			$21,800,000	$21,800,000

DISCONTINUED_OPERATIONS_Detail

DISCONTINUED OPERATIONS (Details) (USD $)	3 Months Ended
	Apr. 04, 2015	Apr. 05, 2014
Assets held for sale:
Cash and cash equivalents		$3,584,000
Assets held for sale		11,282,000
Liabilities held for sale:
Liabilities held for sale		7,628,000
Pretax income (charges) related to disposal of discontinued operations	-700,000	105,300,000
Results of discontinued operations
Net sales	208,000	150,585,000
Loss before provision for income taxes	-866,000	-20,040,000
Provision for income taxes	54,000	638,000
Loss from discontinued operations, net of income taxes	-920,000	-20,678,000
Income (loss) on disposal of discontinued operations, net of income taxes	-742,000	105,256,000
Charges related to streamlining initiatives of the entity	300,000	12,300,000
Juicy Couture Disposal Group
Assets held for sale:
Cash and cash equivalents		3,584,000
Accounts receivable - trade, net		1,400,000
Inventories, net		2,618,000
Property and Equipment, net		601,000
Other assets		3,079,000
Assets held for sale		11,282,000
Liabilities held for sale:
Accounts payable		4,017,000
Accrued expenses		1,039,000
Other liabilities		2,572,000
Liabilities held for sale		$7,628,000

STOCKHOLDERS_EQUITY_Details

STOCKHOLDERS' EQUITY (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Apr. 04, 2015	Apr. 05, 2014
Activity in the Capital in excess of par value, Retained earnings and Common stock in treasury, at cost
Balance at the beginning of the period	$199,611
Net Income (Loss)	-55,221	46,170
Balance at the end of the period	151,011	66,309
Capital in Excess of Par Value
Activity in the Capital in excess of par value, Retained earnings and Common stock in treasury, at cost
Balance at the beginning of the period	199,100	155,984
Share-based compensation	6,003	25,554
Balance at the end of the period	205,103	181,538
Retained Earnings
Activity in the Capital in excess of par value, Retained earnings and Common stock in treasury, at cost
Balance at the beginning of the period	1,145,643	1,020,633
Net Income (Loss)	-55,221	46,170
Exercise of stock options	-1,845	-24,111
Restricted shares issued, net of cancellations and shares withheld for taxes	-1,522	-8,827
Balance at the end of the period	1,087,055	1,033,865
Treasury Shares
Activity in the Capital in excess of par value, Retained earnings and Common stock in treasury, at cost
Balance at the beginning of the period	-1,291,583	-1,364,657
Exercise of stock options	4,251	54,447
Restricted shares issued, net of cancellations and shares withheld for taxes	802	4,253
Balance at the end of the period	($1,286,530)	($1,305,957)

STOCKHOLDERS_EQUITY_Details_2

STOCKHOLDERS' EQUITY (Details 2) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Apr. 04, 2015	Apr. 05, 2014	Jan. 03, 2015	Oct. 04, 2014	Dec. 28, 2013	Sep. 28, 2013
Accumulated other comprehensive (loss) Income
Cumulative translation adjustment, net of income taxes of $0	($32,443)	($20,177)	($32,096)
Unrealized gains on cash flow hedging derivatives, net of income tax of $769, $1,168 and $370, respectively	1,389	603	2,110
Accumulated other comprehensive loss, net of income taxes	-31,054	-19,574	-29,986
Income tax effect on cumulative translation adjustment				0	0	0
Income tax effect on gains on cash flow hedging derivatives				769	1,168	370
Change in each component of Accumulated other comprehensive (loss) income, net of income taxes
Balance at the beginning of the period			-29,986
Balance at the end of the period	-31,054	-19,574	-29,986
Cumulative Translation Adjustment
Accumulated other comprehensive (loss) Income
Accumulated other comprehensive loss, net of income taxes	-32,443	-20,177
Change in each component of Accumulated other comprehensive (loss) income, net of income taxes
Balance at the beginning of the period	-32,096	-21,862
Other comprehensive income (loss) before reclassification	-347	1,685
Net current-period other comprehensive (loss) income	-347	1,685
Balance at the end of the period	-32,443	-20,177
Unrealized Gains (Losses) on Cash Flow Hedging Derivatives
Accumulated other comprehensive (loss) Income
Accumulated other comprehensive loss, net of income taxes	1,389	603
Change in each component of Accumulated other comprehensive (loss) income, net of income taxes
Balance at the beginning of the period	2,110	983
Other comprehensive income (loss) before reclassification	-373	-141
Amounts reclassified from accumulated other comprehensive loss	-348	-239
Net current-period other comprehensive (loss) income	-721	-380
Balance at the end of the period	$1,389	$603

INVENTORIES_NET_Details

INVENTORIES, NET (Details) (USD $)	Apr. 04, 2015	Jan. 03, 2015	Apr. 05, 2014
In Thousands, unless otherwise specified
INVENTORIES, NET
Raw materials and work in process	$238	$538	$1,569
Finished goods	182,265	157,703	208,541
Total inventories, net	$182,503	$158,241	$210,110

PROPERTY_AND_EQUIPMENT_NET_Det

PROPERTY AND EQUIPMENT, NET (Details) (USD $)	3 Months Ended
	Apr. 04, 2015	Apr. 05, 2014	Jun. 29, 2013	Jan. 03, 2015
			item
PROPERTY AND EQUIPMENT, NET
Total property and equipment, gross	$327,376,000	$443,409,000		$333,212,000
Less: Accumulated depreciation and amortization	159,339,000	287,626,000		159,140,000
Total property and equipment, net	168,037,000	155,783,000		174,072,000
Additional disclosures
Depreciation and amortization expense on property and equipment	9,200,000	9,000,000
Depreciation for property and equipment under capital leases		200,000
Property and equipment under capital leases	9,300,000	9,300,000		9,300,000
Sale Leaseback Agreement for North Bergen, New Jersey Office
Additional disclosures
Lease term			12 years
Number of renewal options under the sale-leaseback transaction			2
Term of options under the sale-leaseback transaction			5 years
Land and buildings
PROPERTY AND EQUIPMENT, NET
Total property and equipment, gross	9,300,000	9,300,000		9,300,000
Machinery and equipment
PROPERTY AND EQUIPMENT, NET
Total property and equipment, gross	137,205,000	170,382,000		140,189,000
Furniture and fixtures
PROPERTY AND EQUIPMENT, NET
Total property and equipment, gross	62,342,000	84,107,000		61,694,000
Leasehold improvements
PROPERTY AND EQUIPMENT, NET
Total property and equipment, gross	$118,529,000	$179,620,000		$122,029,000

GOODWILL_AND_INTANGIBLES_NET_D

GOODWILL AND INTANGIBLES, NET (Details) (USD $)	3 Months Ended		0 Months Ended	9 Months Ended
	Apr. 04, 2015	Apr. 05, 2014	Feb. 05, 2014	Oct. 04, 2014	Jan. 03, 2015
Amortized intangible assets:
Gross carrying amount	$35,991,000	$34,760,000			$36,594,000
Accumulated amortization	-23,318,000	-15,390,000			-21,167,000
Net	12,673,000	19,370,000			15,427,000
Unamortized intangible assets:
Owned trademarks	74,900,000	74,900,000			74,900,000
Total intangible assets, net	87,573,000	94,270,000			90,327,000
Goodwill	49,355,000	71,914,000
Amortization expense of intangible assets	2,300,000	2,200,000
Changes in carrying amount of goodwill
Balance at beginning of the period	64,798,000	49,111,000		49,111,000
Reclassification of goodwill to Investment in unconsolidated subsidiary	-16,009,000	21,836,000
Translation adjustment	566,000	967,000
Balance at end of the period	49,355,000	71,914,000
Estimated amortization expense for intangible assets
Fiscal Year 2015	7,600,000
Fiscal Year 2016	2,500,000
Fiscal Year 2017	2,100,000
Fiscal Year 2018	1,400,000
Fiscal Year 2019	400,000
KATE SPADE International
Unamortized intangible assets:
Goodwill	48,114,000	70,503,000
Changes in carrying amount of goodwill
Balance at beginning of the period	63,483,000	47,664,000		47,664,000
Reclassification of goodwill to Investment in unconsolidated subsidiary	-16,009,000	21,836,000	16,000,000
Translation adjustment	640,000	1,003,000
Balance at end of the period	48,114,000	70,503,000
Adelington Design Group
Unamortized intangible assets:
Goodwill	1,241,000	1,411,000
Changes in carrying amount of goodwill
Balance at beginning of the period	1,315,000	1,447,000		1,447,000
Translation adjustment	-74,000	-36,000
Balance at end of the period	1,241,000	1,411,000
Owned trademarks
Amortized intangible assets:
Gross carrying amount	467,000	2,000,000			467,000
Accumulated amortization	-467,000	-200,000			-467,000
Net		1,800,000
Unamortized intangible assets:
Non-cash impairment charge	1,500,000
Customer relationships
Amortized intangible assets:
Gross carrying amount	7,176,000	7,545,000			7,422,000
Accumulated amortization	-4,855,000	-4,245,000			-4,769,000
Net	2,321,000	3,300,000			2,653,000
Customer relationships | Weighted Average
Amortized intangible assets:
Amortization Period				12 years
Merchandising rights
Amortized intangible assets:
Gross carrying amount	11,535,000	6,856,000			12,012,000
Accumulated amortization	-4,556,000	-2,918,000			-4,108,000
Net	6,979,000	3,938,000			7,904,000
Merchandising rights | Weighted Average
Amortized intangible assets:
Amortization Period				4 years
Reacquired rights
Amortized intangible assets:
Gross carrying amount	14,491,000	16,037,000			14,371,000
Accumulated amortization	-11,198,000	-5,898,000			-9,604,000
Net	3,293,000	10,139,000			4,767,000
Reacquired rights | Weighted Average
Amortized intangible assets:
Amortization Period				2 years
Other
Amortized intangible assets:
Gross carrying amount	2,322,000	2,322,000			2,322,000
Accumulated amortization	-2,242,000	-2,129,000			-2,219,000
Net	$80,000	$193,000			$103,000
Other | Weighted Average
Amortized intangible assets:
Amortization Period				4 years

INCOME_TAXES_Details

INCOME TAXES (Details) (USD $)	Apr. 04, 2015
In Millions, unless otherwise specified
INCOME TAXES
Expected reduction in the liability for unrecognized tax benefits, inclusive of interest & penalties, within the next 12 months, low end of the range	$0.90
Expected reduction in the liability for unrecognized tax benefits, inclusive of interest & penalties, within the next 12 months, high end of the range	3.1
Uncertain tax positions	$9.20

DEBT_AND_LINES_OF_CREDIT_Detai

DEBT AND LINES OF CREDIT (Details)

3 Months Ended

3 Months Ended

12 Months Ended

0 Months Ended

1 Months Ended

1 Months Ended

1 Months Ended

3 Months Ended

0 Months Ended

3 Months Ended

3 Months Ended

Apr. 04, 2015

Jan. 03, 2015

Oct. 04, 2014

Apr. 05, 2014

Dec. 28, 2013

Sep. 28, 2013

Dec. 29, 2012

Jun. 29, 2013

Jan. 03, 2015

Apr. 14, 2014

Jul. 12, 2012

Apr. 07, 2011

Apr. 04, 2015

Oct. 04, 2014

12-May-14

Sep. 28, 2013

Jul. 12, 2012

Jun. 30, 2012

Jun. 08, 2012

31-May-14

Apr. 04, 2015

Oct. 04, 2014

Dec. 28, 2013

Sep. 28, 2013

31-May-14

31-May-14

31-May-14

31-May-14

31-May-14

31-May-14

31-May-14

31-May-14

Apr. 08, 2011

Apr. 04, 2015

Jan. 03, 2015

Oct. 04, 2014

Apr. 05, 2014

Dec. 28, 2013

Sep. 28, 2013

Jun. 29, 2013

12-May-14

Apr. 10, 2014

Apr. 04, 2015

Jan. 03, 2015

Oct. 04, 2014

Apr. 10, 2014

Apr. 04, 2015

Apr. 04, 2015

Apr. 04, 2015

Apr. 04, 2015

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

Sale Leaseback Agreement for North Bergen, New Jersey Office

Convertible Notes Payable

10.5% Senior Secured Notes, due April 2019

10.5% Senior Secured Notes, due April 2019

10.5% Senior Secured Notes, due April 2019

10.5% Senior Secured Notes, due April 2019

10.5% Senior Secured Notes, due April 2019

10.5% Senior Secured Notes, due April 2019

10.5% Senior Secured Notes, due April 2019

10.5% Senior Secured Notes, due April 2019

10.5% Senior Secured Notes, due April 2019

10.5% Senior Secured Notes, due April 2019

Revolving Credit Facility [Member]

Revolving Credit Facility [Member]

Revolving Credit Facility [Member]

Revolving Credit Facility [Member]

Revolving Credit Facility [Member]

Revolving Credit Facility [Member]

Letter of Credit [Member]

Standby letters of credit

Multi-currency revolving credit line

Swingline revolving credit line

Euro Currency Credit Line [Member]

Euro Currency Credit Line [Member]

Euro Currency Credit Line [Member]

5.0% Euro Notes, due July 2013

Capital lease obligations

Capital lease obligations

Capital lease obligations

Capital lease obligations

Capital lease obligations

Capital lease obligations

Capital lease obligations

Term Loan credit facility, due April 2021

Term Loan credit facility, due April 2021

Term Loan credit facility, due April 2021

Term Loan credit facility, due April 2021

Term Loan credit facility, due April 2021

Term Loan credit facility, due April 2021

Term Loan credit facility, due April 2021

Term Loan credit facility, due April 2021

Consolidated Net Total Debt Ratio Less than 2.75 To1.0 [Member]

Consolidated Net Total Debt Ratio Less than 2.25 To1.0 [Member]

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

EUR (€)

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

Maximum

USD ($)

USD ($)

USD ($)

USD ($)

Minimum

Maximum

EUR (€)

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

Sale Leaseback Agreement for North Bergen, New Jersey Office

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

Minimum

Maximum

Term Loan credit facility, due April 2021

Term Loan credit facility, due April 2021

item

USD ($)

USD ($)

DEBT AND LINES OF CREDIT

Interest rate (as a percent)

10.50%

10.50%

10.50%

5.00%

Total debt

$411,717,000

$410,743,000

$395,595,000

$381,799,000

$8,000,000

$6,000,000

$4,900,000

$8,475,000

$8,585,000

$8,896,000

$395,242,000

$396,158,000

Less: Short-term borrowings

12,472,000

10,459,000

12,472,000

5,322,000

10,459,000

5,322,000

Long-term debt

399,245,000

400,284,000

399,245,000

390,273,000

400,284,000

390,273,000

Principal amount of debt

220,000,000

52,900,000

400,000,000

Aggregate principal amount

152,000,000

400,000,000

Unamortized debt discount

1,800,000

Amortization payments

4,000,000

Debt conversion, aggregate principal amount

32,300,000

Loss on settlement of note receivable

9,873,000

Net proceeds used to redeem the Company's remaining outstanding debt

354,800,000

Net proceeds from issuance of debt

160,600,000

212,900,000

Repurchase of aggregate principal amount of debt

37,200,000

334,800,000

128,500,000

392,000,000

Repurchase price as percentage of principal amount, plus accrued and unpaid interest

103.00%

105.25%

Offering of additional notes as a percentage of par value

108.25%

Ownership interest acquired in Kate Spade Japan Co., Ltd (as a percent)

51.00%

Quarterly amortization payments

1,000,000

Variable rate basis

LIBOR

Floor rate (as a percent)

1.00%

Spread on variable rate basis

1.50%

2.00%

3.00%

Additional incremental overall limit

100,000,000

Consolidated net total secured debt ratio used for determining additional amount

1

3.75

Refinancing term

6 months

Penalty (as a percentage)

1.00%

Amount required to be prepaid as a percentage of Company's excess cash flow

50.00%

25.00%

0.00%

Consolidated net total secured debt ratio

2.75

2.25

Available capacity under amended facility

200,000,000

200,000,000

125,000,000

40,000,000

35,000,000

30,000,000

Option to increase borrowing under certain specified conditions

100,000,000

Number of borrowing options under amended facility

2

Availability for number of consecutive business days to apply cash collections to reduce outstanding borrowings, maximum availability under credit facility

3 days

Fixed charge coverage ratio

1

Trailing number of quarters over which fixed charge coverage ratio is required to be maintained

4

Availability for number of consecutive business days for which specified fixed charge coverage ratio has to be maintained

3 days

Availability below which specified fixed charge coverage ratio has to be maintained

15,000,000

Covenant to apply cash collections to reduce outstanding borrowings, maximum availability under credit facility

20,000,000

Covenant to apply cash collections to reduce outstanding borrowings, maximum availability under credit facility as a percentage of the lesser of the borrowing base and aggregate commitments

12.50%

Minimum aggregate borrowing availability as a percentage of commitments then in effect below which a specified fixed charge coverage ratio has to be maintained

10.00%

Availability under amended facility

Total Facility

200,000,000

200,000,000

125,000,000

40,000,000

35,000,000

30,000,000

Borrowing Base

218,632,000

Letters of Credit Issued

10,690,000

Available Capacity

181,310,000

Excess Capacity

161,310,000

Outstanding Borrowings

8,000,000

Sale price of office building under sale-leaseback agreement

8,700,000

Lease term

12 years

12 years

Total lease payments under sale-leaseback agreement

8,500,000

8,600,000

8,500,000

8,900,000

26,900,000

Short-term borrowings included in capital lease obligations

$500,000

$500,000

$500,000

$400,000

FAIR_VALUE_MEASUREMENTS_Detail

FAIR VALUE MEASUREMENTS (Details) (USD $)	3 Months Ended
	Apr. 04, 2015	Jan. 03, 2015	Apr. 05, 2014
Owned trademarks
Assets and liabilities measured at fair value
Non-cash impairment charge	$1,500,000
Fair value on non-recurring basis
Assets and liabilities measured at fair value
Property and equipment	3,356,000
Fair value on non-recurring basis | Fair Value Measured and Recorded at Reporting Date Using: Level 3
Assets and liabilities measured at fair value
Property and equipment	160,000
Fair value on non-recurring basis | Net Carrying Value
Assets and liabilities measured at fair value
Property and equipment	160,000
Fair value on recurring basis | Fair Value Measured and Recorded at Reporting Date Using: Level 2
Assets and liabilities measured at fair value
Financial Assets: Derivatives	2,642,000	3,193,000	1,052,000
Financial Liabilities: Derivatives	($258,000)

FAIR_VALUE_MEASUREMENTS_Detail1

FAIR VALUE MEASUREMENTS (Details 2) (USD $)	Jan. 03, 2015	Apr. 04, 2015	Oct. 04, 2014	Apr. 05, 2014	Jun. 30, 2012	Apr. 07, 2011
Lucky Brand Note
Fair values and carrying values of debt instruments
Initial principal payment	$85,000,000
Accrued Payment In Kind	4,000,000
Lucky Brand Note | Maximum
Fair values and carrying values of debt instruments
Fair Value	89,000,000
Lucky Brand Note | Minimum
Fair values and carrying values of debt instruments
Fair Value	79,000,000
Convertible Notes Payable
Fair values and carrying values of debt instruments
Fair Value	384,786,000	396,629,000
Carrying value	396,158,000	395,242,000
10.5% Senior Secured Notes, due April 2019
Fair values and carrying values of debt instruments
Fair Value				392,460,000
Carrying value				381,799,000
Stated Percentage		10.50%	10.50%			10.50%
Carrying value					152,000,000
Revolving Credit Facility [Member]
Fair values and carrying values of debt instruments
Fair Value	6,000,000	8,000,000		4,900,000
Carrying value	$6,000,000	$8,000,000		$4,900,000

COMMITMENTS_AND_CONTINGENCIES_1

COMMITMENTS AND CONTINGENCIES (Details) (USD $)	3 Months Ended
	Jun. 29, 2013	Apr. 04, 2015
	item
Estimated future minimum lease payments under the noncancelable capital lease
2015		$1,535,000
2016		2,089,000
2017		2,141,000
2018		2,194,000
2019		2,247,000
Thereafter		13,081,000
Total		23,287,000
Less: Amounts representing interest and executory costs		-14,812,000
Net present values		8,475,000
Less: Capital lease obligations included in short-term debt		-472,000
Long-term capital lease obligations		8,003,000
Liz Claiborne Canada Retail Stores
Capital lease obligations
Number of store leases assigned to third parties		277
Number of leases for which the entity is secondarily liable		151
Future aggregate payments under disposition leases		$119,300,000
Sale Leaseback Agreement for North Bergen, New Jersey Office
Capital lease obligations
Lease term	12 years
Number of renewal options under the sale-leaseback transaction	2
Term of options under the sale-leaseback transaction	5 years

STREAMLINING_INITIATIVES_Detai

STREAMLINING INITIATIVES (Details) (USD $)	3 Months Ended
	Apr. 04, 2015	Apr. 05, 2014
STREAMLINING INITIATIVES
Expected payment of accrued streamlining costs in the next 12 months	$17,800,000
Expenses associated with streamlining actions	18,874,000	28,931,000
asset write-downs	6,400,000	16,400,000
Roll forward of liability for streamlining initiatives
Balance at the beginning of the period	9,897,000
2015 provision	18,874,000	28,931,000
2015 asset write-downs	-6,152,000
Translation difference	1,000
2015 Spending	-4,034,000
Balance at the end of the period	18,586,000
Share-based compensation	6,003,000	20,224,000
KATE SPADE North America
STREAMLINING INITIATIVES
Expenses associated with streamlining actions	11,943,000	2,097,000
Roll forward of liability for streamlining initiatives
2015 provision	11,943,000	2,097,000
Kate Spade International
STREAMLINING INITIATIVES
Expenses associated with streamlining actions	3,057,000
Roll forward of liability for streamlining initiatives
2015 provision	3,057,000
Adelington Design Group
STREAMLINING INITIATIVES
Expenses associated with streamlining actions	1,333,000	103,000
Roll forward of liability for streamlining initiatives
2015 provision	1,333,000	103,000
Juicy Couture
STREAMLINING INITIATIVES
Expenses associated with streamlining actions	2,541,000	26,731,000
Roll forward of liability for streamlining initiatives
2015 provision	2,541,000	26,731,000
Payroll and Related Costs
STREAMLINING INITIATIVES
Expenses associated with streamlining actions	7,902,000
Roll forward of liability for streamlining initiatives
Balance at the beginning of the period	2,080,000
2015 provision	7,902,000
Translation difference	6,000
2015 Spending	-2,781,000
Balance at the end of the period	7,207,000
Contract Termination
STREAMLINING INITIATIVES
Expenses associated with streamlining actions	4,788,000	1,000,000
Roll forward of liability for streamlining initiatives
Balance at the beginning of the period	987,000
2015 provision	4,788,000	1,000,000
2015 Spending	-98,000
Balance at the end of the period	5,677,000
Asset Write Downs and Disposals
STREAMLINING INITIATIVES
Expenses associated with streamlining actions	6,152,000	300,000
Roll forward of liability for streamlining initiatives
2015 provision	6,152,000	300,000
2015 asset write-downs	-6,152,000
Other Restructuring
STREAMLINING INITIATIVES
Expenses associated with streamlining actions	32,000
Roll forward of liability for streamlining initiatives
Balance at the beginning of the period	6,830,000
2015 provision	32,000
Translation difference	-5,000
2015 Spending	-1,155,000
Balance at the end of the period	5,702,000
Withdrawal liability incurred	5,600,000
Payroll and Related Costs and Spending
STREAMLINING INITIATIVES
Expenses associated with streamlining actions		27,600,000
Roll forward of liability for streamlining initiatives
2015 provision		27,600,000
Share-based compensation	200,000	16,400,000
Pre Tax Charges
STREAMLINING INITIATIVES
Expenses associated with streamlining actions	18,900,000	28,900,000
Roll forward of liability for streamlining initiatives
2015 provision	$18,900,000	$28,900,000

EARNINGS_PER_COMMON_SHARE_Deta

EARNINGS PER COMMON SHARE (Details) (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Apr. 04, 2015	Apr. 05, 2014
Anti-dilutive shares
Loss from continuing operations	($53,559)	($38,408)
(Loss) income from discontinued operations, net of income taxes	-1,662	84,578
Net (loss) income	($55,221)	$46,170
Basic weighted average shares outstanding	127,489,000	124,403,000
Diluted weighted average shares outstanding	127,489,000	124,403,000
Basic earnings per share
(Loss) income from continuing operations (in dollars per share)	($0.42)	($0.31)
(Loss) income from discontinued operations (in dollars per share)	($0.01)	$0.68
Net (loss) income (in dollars per share)	($0.43)	$0.37
Employee Stock Option
Anti-dilutive shares
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	1,000,000	1,700,000
Basic earnings per share
Shares excluded from computation of diluted earnings per share	1,000,000	1,700,000
Nonvested Shares
Anti-dilutive shares
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	2,100,000	1,700,000
Basic earnings per share
Shares excluded from computation of diluted earnings per share	2,100,000	1,700,000

ADDITIONAL_FINANCIAL_INFORMATI1

ADDITIONAL FINANCIAL INFORMATION (Details 2) (USD $)	3 Months Ended		12 Months Ended	0 Months Ended
	Apr. 04, 2015	Apr. 05, 2014	Jan. 03, 2015	Feb. 03, 2014
Condensed Consolidated Statements of Cash Flows Supplementary Disclosures
Net income tax payments	$1,200,000	$2,900,000
Accrued capital expenditures	6,000,000	8,900,000	9,800,000
Interest payments	4,200,000	700,000
Interest received	9,400,000
Net proceeds from settlement of note receivable	75,128,000
Convertible Notes Payable
Condensed Consolidated Statements of Cash Flows Supplementary Disclosures
Debt conversion, aggregate principal amount			32,300,000
Lucky Brand Note | Lucky Brand | LBD Acquisition
Condensed Consolidated Statements of Cash Flows Supplementary Disclosures
Term of note				3 years
Net proceeds from settlement of note receivable				$85,000,000

ADDITIONAL_FINANCIAL_INFORMATI2

ADDITIONAL FINANCIAL INFORMATION (Details 3) (USD $)	3 Months Ended
	Apr. 04, 2015	Apr. 05, 2014	Jan. 03, 2015
Related Party Transactions
Capital contributions to joint venture	$10,000,000
Equity in (loss) earnings of equity investee	738,000	298,000
Investments in equity investees amounted	$28,000,000	$9,100,000	$9,200,000

SEGMENT_REPORTING_Details

SEGMENT REPORTING (Details) (USD $)	3 Months Ended
	Apr. 04, 2015	Jul. 05, 2014	Apr. 05, 2014
	item	item
SEGMENT REPORTING
Number of reportable segments	3
Net Sales	$255,316,000		$223,614,000
% to Total	100.00%		100.00%
Adjusted EBITDA	24,739,000		17,263,000
Reconciliation to Loss from Continuing Operations
Adjusted EBITDA	24,739,000		17,263,000
Depreciation and amortization, net	-11,546,000		-11,137,000
Charges due to streamlining initiatives, brand-exiting activities, acquisition related costs and loss on asset disposals and impairments, net	-19,054,000		-13,127,000
Joint venture contract termination fee	-26,000,000
Share-based compensation	-6,003,000		-20,224,000
Equity in (loss) earnings of equity investee	738,000		298,000
Operating Loss	-37,126,000		-26,927,000
Other expense, net	-1,395,000		-153,000
Loss on settlement of note receivable	-9,873,000
Interest expense, net	-3,364,000		-9,522,000
Provision for income taxes	1,801,000		1,806,000
Income (Loss) from Continuing Operations Attributable to Parent	-53,559,000		-38,408,000
Significant changes in segment assets	0
Payroll and Related Costs and Spending
Reconciliation to Loss from Continuing Operations
Share-based compensation	-200,000		-16,400,000
Domestic
SEGMENT REPORTING
Number of Operating Segments	1	1
Net Sales	197,584,000		167,493,000
% to Total	77.40%		74.90%
International
SEGMENT REPORTING
Number of Operating Segments	4	4
Net Sales	57,732,000		56,121,000
% to Total	22.60%		25.10%
KATE SPADE North America
SEGMENT REPORTING
Adjusted EBITDA	18,072,000		16,244,000
Reconciliation to Loss from Continuing Operations
Adjusted EBITDA	18,072,000		16,244,000
KATE SPADE International
SEGMENT REPORTING
Adjusted EBITDA	4,989,000		1,475,000
Reconciliation to Loss from Continuing Operations
Adjusted EBITDA	4,989,000		1,475,000
Equity in (loss) earnings of equity investee	-700,000		-300,000
Adelington Design Group
SEGMENT REPORTING
Adjusted EBITDA	1,678,000		-392,000
Reconciliation to Loss from Continuing Operations
Adjusted EBITDA	1,678,000		-392,000
Juicy Couture
SEGMENT REPORTING
Adjusted EBITDA			-64,000
Reconciliation to Loss from Continuing Operations
Adjusted EBITDA			-64,000
Operating Segments [Member]
SEGMENT REPORTING
Net Sales	255,316,000		223,614,000
% to Total	100.00%		100.00%
Operating Segments [Member] | KATE SPADE North America
SEGMENT REPORTING
Net Sales	195,586,000		163,753,000
% to Total	76.60%		73.20%
Adjusted EBITDA	18,072,000		16,244,000
% of Sales	9.20%		9.90%
Reconciliation to Loss from Continuing Operations
Adjusted EBITDA	18,072,000		16,244,000
Operating Segments [Member] | KATE SPADE International
SEGMENT REPORTING
Net Sales	52,468,000		53,375,000
% to Total	20.60%		23.90%
Adjusted EBITDA	4,989,000		1,475,000
% of Sales	9.50%		2.80%
Reconciliation to Loss from Continuing Operations
Adjusted EBITDA	4,989,000		1,475,000
Operating Segments [Member] | Adelington Design Group
SEGMENT REPORTING
Net Sales	7,262,000		6,486,000
% to Total	2.80%		2.90%
Adjusted EBITDA	1,678,000		-392,000
% of Sales	23.10%		-6.00%
Reconciliation to Loss from Continuing Operations
Adjusted EBITDA	1,678,000		-392,000
Operating Segments [Member] | Other Segments [Member]
SEGMENT REPORTING
Adjusted EBITDA			-64,000
Reconciliation to Loss from Continuing Operations
Adjusted EBITDA			($64,000)

DERIVATIVE_INSTRUMENTS_Details

DERIVATIVE INSTRUMENTS (Details)

Apr. 04, 2015

Jan. 03, 2015

Apr. 05, 2014

Apr. 04, 2015

Jan. 03, 2015

Apr. 05, 2014

Apr. 04, 2015

Apr. 05, 2014

Apr. 04, 2015

Apr. 04, 2015

Apr. 04, 2015

Apr. 04, 2015

Apr. 04, 2015

Apr. 04, 2015

Designated as Hedging Instrument

Designated as Hedging Instrument

Designated as Hedging Instrument

Not Designated as Hedging Instrument

Not Designated as Hedging Instrument

Not Designated as Hedging Instrument

Forward Contracts

Forward Contracts

Forward Contracts

Forward Contracts

Forward Contracts

Forward Contracts

Forward Contracts

Forward Contracts

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

USD ($)

Designated as Hedging Instrument

Designated as Hedging Instrument

Designated as Hedging Instrument

Designated as Hedging Instrument

Not Designated as Hedging Instrument

Not Designated as Hedging Instrument

Short

Short

Short

Short

Short

Short

Contracts maturing through June 2016

Contracts maturing through June 2016

Contracts maturing through December 2016

Contracts maturing through December 2016

USD ($)

JPY (¥)

USD ($)

JPY (¥)

USD ($)

JPY (¥)

DERIVATIVE INSTRUMENTS

Forward contracts to sell foreign currency in exchange of U.S. dollars

$31,600,000

¥ 3,600,000,000

$20,700,000

¥ 2,400,000

$33,400,000

¥ 4,000,000,000

Transaction (losses) gains related to derivative instruments reflected within Other expense, net

-400,000

-600,000

Asset Derivatives

Asset Derivatives, Notional amount

42,132,000

39,100,000

12,750,000

33,350,000

39,154,000

Asset Derivatives, Fair value

2,642,000

3,066,000

609,000

127,000

443,000

Liability Derivatives

Liability Derivatives, Notional Amount

10,180,000

7,850,000

33,370,000

Liability Derivatives, Fair value

$10,000

$248,000

DERIVATIVE_INSTRUMENTS_Details1

DERIVATIVE INSTRUMENTS (Details 2) (Foreign Exchange Contract, USD $)	3 Months Ended
In Thousands, unless otherwise specified	Apr. 04, 2015	Apr. 05, 2014
Foreign Exchange Contract
Derivative instruments, Gain (Loss)
Amount of Gain or (Loss) Recognized in Accumulated OCI on Derivative (Effective Portion)	($579)	($227)
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Operations (Effective Portion)	$541	$385

SHAREBASED_COMPENSATION_Detail

SHARE-BASED COMPENSATION (Details) (USD $)	3 Months Ended		12 Months Ended
	Apr. 04, 2015	Apr. 05, 2014	Jan. 03, 2015
SHARE-BASED COMPENSATION
Share-based compensation expense	$6,000,000	$20,200,000
Share-based compensation	6,003,000	20,224,000
Weighted Average Remaining Contractual Term
Outstanding at the beginning of the period	4 years 4 months 24 days		3 years 10 months 24 days
Vested or expected to vest at the end of the period	4 years 2 months 12 days
Exercisable at the end of the period	3 years 2 months 12 days
Outstanding at the end of the period	4 years 4 months 24 days		3 years 10 months 24 days
Payroll and Related Costs and Spending
SHARE-BASED COMPENSATION
Share-based compensation expense	200,000	16,400,000
Share-based compensation	200,000	16,400,000
Minimum | Payroll and Related Costs and Spending
SHARE-BASED COMPENSATION
Contractual term	7 years
Maximum | Payroll and Related Costs and Spending
SHARE-BASED COMPENSATION
Contractual term	10 years
Employee Stock Option
Valuation Assumptions:
Weighted-average fair value of options granted (in dollars per share)	$16.39
Expected volatility (as a percent)	76.50%
Weighted-average volatility (as a percent)	58.70%
Expected term (in years)	4 years 2 months 12 days
Risk-free rate (as a percent)	1.88%
Expected annual forfeiture (as a percent)	15.28%
Shares
Outstanding at the beginning of the period (in shares)	1,030,969
Exercised (in shares)	-161,650
Cancelled/expired (in shares)	-228,000
Outstanding at end of the period (in shares)	964,619
Vested or expected to vest at the end of the period (in shares)	897,288
Exercisable at the end of the period (in shares)	539,404
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$11.25
Exercised (in dollars per share)	$35.30
Cancelled/expired (in dollars per share)	$10.55
Outstanding at the end of the period (in dollars per share)	$15.44
Vested or expected to vest at the end of the period (in dollars per share)	$14.06
Exercisable at the end of the period (in dollars per share)	$7.16
Aggregate Intrinsic Value
Outstanding at the beginning of the period (in dollars)	21,613,000
Exercised (in dollars)	5,510,000
Outstanding at the end of the period (in dollars)	17,614,000
Vested or expected to vest at the end of the period (in dollars)	17,531,000
Exercisable at the end of the period (in dollars)	14,143,000
Additional disclosure
Nonvested stock options outstanding (in shares)	400,000
Weighted average grant date fair value per award for nonvested stock options (in dollars per share)	$25.95
Total unrecognized compensation cost related to nonvested stock options granted	3,100,000
Weighted average recognition period of unrecognized stock-based compensation expense	2 years
Fair value of shares vested under stock option plans	$1,400,000
Employee Stock Option | Minimum
SHARE-BASED COMPENSATION
Contractual term	7 years
Employee Stock Option | Maximum
SHARE-BASED COMPENSATION
Contractual term	10 years

SHAREBASED_COMPENSATION_Detail1

SHARE-BASED COMPENSATION (Details 2) (USD $)	3 Months Ended
In Millions, except Share data, unless otherwise specified	Apr. 04, 2015	Apr. 05, 2014
Valuation Assumptions:
Weighted-average fair value (in dollars per share)	$49.39
Historic volatility (as a percent)	41.80%
Risk-free rate (as a percent)	1.06%
Weighted-average expected annual forfeiture (as a percent)	3.80%
Weighted Average Grant Date Fair Value
Nonvested stock at the end of the period (in dollars per share)	$49.39
Restricted Stock
SHARE-BASED COMPENSATION
Percentage of shares vesting on the third anniversary from the date of grant	50.00%
Percentage of shares vesting on the second anniversary from the date of grant	50.00%
Valuation Assumptions:
Weighted-average fair value (in dollars per share)	$44.54
Shares
Nonvested stock at the beginning of the period (in shares)	1,719,574
Granted (in shares)	497,452
Vested (in shares)	-47,000
Cancelled (in shares)	-72,806
Nonvested stock at the end of the period (in shares)	2,097,220
Expected to vest at the end of the period (in shares)	1,807,740
Weighted Average Grant Date Fair Value
Nonvested stock at the beginning of the period (in dollars per share)	$45.39
Granted (in dollars per share)	$38.85
Vested (in dollars per share)	$14.29
Cancelled (in dollars per share)	$45.22
Nonvested stock at the end of the period (in dollars per share)	$44.54
Expected to vest at the end of the period (in dollars per share)	$44.80
Additional disclosures
Total unrecognized compensation cost related to nonvested stock awards granted under restricted stock plans	$57.20
Weighted average recognition period of unrecognized stock-based compensation expense	2 years 7 months 6 days
Fair value of shares vested under restricted stock plans	0.7	6.4
LTIP Shares | Key Executives
SHARE-BASED COMPENSATION
Aggregate grant date value	3.8
Shares
Granted (in shares)		76,003
Annual Long Term Incentive Awards | Minimum
SHARE-BASED COMPENSATION
Number of shares to be earned as a percentage of target amount	30.00%
Annual Long Term Incentive Awards | Maximum
SHARE-BASED COMPENSATION
Number of shares to be earned as a percentage of target amount	200.00%
Performance Shares
SHARE-BASED COMPENSATION
Aggregate grant date value	$8.80
Valuation Assumptions:
Weighted-average fair value (in dollars per share)		$38.37
Historic volatility (as a percent)		41.60%
Risk-free rate (as a percent)		1.00%
Weighted-average expected annual forfeiture (as a percent)		3.90%
Shares
Expected to vest at the end of the period (in shares)	230,899
Weighted Average Grant Date Fair Value
Nonvested stock at the end of the period (in dollars per share)		$38.37
Performance Shares | Minimum
Weighted Average Grant Date Fair Value
Number of awards granted depending on the Company's Total Shareholder Return ("TSR") relative to the TSR of the S&P Mid-Cap 400 Index (as a percent)	0.00%
Percentage impact of stock price over vesting periods on number of MSU awarded	30.00%
Performance Shares | Maximum
Weighted Average Grant Date Fair Value
Number of awards granted depending on the Company's Total Shareholder Return ("TSR") relative to the TSR of the S&P Mid-Cap 400 Index (as a percent)	200.00%
Percentage impact of stock price over vesting periods on number of MSU awarded	200.00%

SUBSEQUENT_EVENTS_Details

SUBSEQUENT EVENTS (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Apr. 04, 2015	Apr. 05, 2014	Jul. 04, 2015
Subsequent event
Restructuring Charges	$18,874	$28,931
Subsequent Event
Subsequent event
Restructuring Charges			$9,000