UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported):
May 1, 2002
JONES APPAREL GROUP, INC.
(Exact Name of registrant as specified in its charter)
Pennsylvania
(State or Other Jurisdiction of Incorporation) | 1-10746
(Commission File Number) | 06-0935166
(IRS Employer Identification No.) |
250 Rittenhouse Circle
Bristol, PA 19007
(Address of principal executive offices)
(215) 785-4000
(Registrant's telephone number, including area code)
Item 5. Other Events
On April 30, 2002, the Registrant issued a press release reporting First Quarter 2002 revenues and earnings. A copy of the press release is filed herewith as Exhibit 20.1.
Item 7. Exhibits
20.1 Press Release of the Registrant dated April 30, 2002.
Item 9. Regulation FD Disclosure.
Commencing in 2002, the Registrant has changed its reportable segments to reflect distinctions in its wholesale apparel businesses between better-priced apparel and moderate-priced apparel and also to reflect the reclassification of cooperative advertising expenses from revenues to selling, general and administrative expenses as required by Emerging Issues Task Force Issue 01-9. Pursuant to Regulation FD, the Registrant is furnishing the following restated segment information:
JONES APPAREL GROUP, INC.
RESTATED SEGMENT INFORMATION FOR THE YEAR ENDED DECEMBER 31, 2001
(UNAUDITED)
all amounts in millions
Wholesale Wholesale Wholesale Other &
Better Moderate Footwear & Elimin- Cons-
Apparel Apparel Accessories Retail ations olidated
-------------------------------------------------------------
First Quarter
Revenues from external
customers $538.9 $78.7 $294.1 $160.6 $5.4 $1,077.7
Intersegment revenues 25.6 6.1 25.6 - (57.3) -
-------------------------------------------------------------
Total revenues 564.5 84.8 319.7 160.6 (51.9) 1,077.7
=============================================================
Segment income (loss) $123.9 $5.6 $71.6 $2.1 ($13.2) 190.0
==================================================
Amortization of goodwill 9.6
Net interest expense 21.1
--------
Income before provision
for income taxes $159.3
========
Second Quarter
Revenues from external
customers $393.7 $81.3 $220.1 $183.3 $5.5 $883.9
Intersegment revenues 16.9 7.2 15.6 - (39.7) -
-------------------------------------------------------------
Total revenues 410.6 88.5 235.7 183.3 (34.1) 883.9
=============================================================
Segment income (loss) $64.6 $2.2 $41.6 $23.5 ($9.9) 122.0
==================================================
Amortization of goodwill 10.0
Net interest expense 20.4
--------
Income before provision
for income taxes $91.6
========
Six Months
Revenues from external
customers $932.6 $160.0 $514.2 $343.9 $10.9 $1,961.6
Intersegment revenues 42.5 13.3 41.2 - (97.0) -
-------------------------------------------------------------
Total revenues 975.1 173.3 555.4 343.9 (86.1) 1,961.6
=============================================================
Segment income (loss) $188.5 $7.8 $113.2 $25.6 ($23.0) 312.1
==================================================
Amortization of goodwill 19.7
Net interest expense 41.4
--------
Income before provision
for income taxes $251.0
========
Third Quarter
Revenues from external
customers $564.6 $236.1 $263.6 $170.3 $7.6 $1,242.2
Intersegment revenues 27.6 2.3 16.9 - (46.8) -
-------------------------------------------------------------
Total revenues 592.2 238.4 280.5 170.3 (39.2) 1,242.2
=============================================================
Segment income (loss) $95.7 $17.2 $20.2 $6.1 ($10.5) 128.7
==================================================
Amortization of goodwill 12.2
Net interest expense 22.9
--------
Income before provision
for income taxes $93.6
========
Nine Months
Revenues from external
customers $1,497.2 $396.1 $777.8 $514.2 $18.5 $3,203.8
Intersegment revenues 70.1 15.6 58.1 - (143.8) -
-------------------------------------------------------------
Total revenues 1,567.3 411.7 835.9 514.2 (125.3) 3,203.8
=============================================================
Segment income (loss) $284.2 $25.0 $133.4 $31.7 ($33.5) 440.8
==================================================
Amortization of goodwill 31.9
Net interest expense 64.3
--------
Income before provision
for income taxes $344.6
========
Fourth Quarter
Revenues from external
customers $341.6 $146.5 $202.9 $197.5 $6.3 $894.8
Intersegment revenues 14.3 0.8 18.7 0.1 (33.9) -
-------------------------------------------------------------
Total revenues 355.9 147.3 221.6 197.6 (27.6) 894.8
=============================================================
Segment income (loss) $34.3 $6.6 $25.7 $26.8 ($10.1) 83.3
==================================================
Amortization of goodwill 12.3
Net interest expense 15.8
--------
Income before provision
for income taxes $55.2
========
Twelve Months
Revenues from external
customers $1,838.8 $542.6 $980.7 $711.7 $24.8 $4,098.6
Intersegment revenues 84.4 16.4 76.8 0.1 (177.7) -
-------------------------------------------------------------
Total revenues 1,923.2 559.0 1,057.5 711.8 (152.9) 4,098.6
=============================================================
Segment income (loss) $318.5 $31.6 $159.1 $58.5 ($43.6) 524.1
==================================================
Amortization of goodwill 44.2
Net interest expense 80.1
--------
Income before provision
for income taxes $399.8
========
Totals may not add due to rounding.
2
The following information presents pro forma segment results, which exclude (i) amortization of goodwill and trademarks (which was discontinued upon adoption of Statement of Financial Accounting Standards No. 142 on January 1, 2002); (ii) purchase accounting adjustments to cost of goods sold relating to acquisitions; and (iii) the charge taken during the third quarter of 2001 to write down accounts receivable and inventory due to the effects of September 11.
JONES APPAREL GROUP, INC.
PRO FORMA RESTATED SEGMENT INFORMATION FOR THE YEAR ENDED DECEMBER 31, 2001
(UNAUDITED)
all amounts in millions
Wholesale Wholesale Wholesale Other &
Better Moderate Footwear & Elimin- Cons-
Apparel Apparel Accessories Retail ations olidated
-------------------------------------------------------------
First Quarter
Revenues from external
customers $538.9 $78.7 $294.1 $160.6 $5.4 $1.077.7
Intersegment revenues 25.6 6.1 25.6 - (57.3) -
-------------------------------------------------------------
Total segment revenues 564.5 84.8 319.7 160.6 (51.9) 1,077.7
-------------------------------------------------------------
Segment income (loss) $123.9 $5.6 $71.6 $2.1 ($10.0) 193.2
==================================================
Net interest expense 21.1
--------
Income before provision
for income taxes $172.1
========
Second Quarter
Revenues from external
customers $393.7 $81.3 $220.1 $183.3 $5.5 $883.9
Intersegment revenues 16.9 7.2 15.6 - (39.7) -
-------------------------------------------------------------
Total segment revenues 410.6 88.5 235.7 183.3 (34.2) 883.9
-------------------------------------------------------------
Segment income (loss) $64.7 $9.4 $42.1 $23.5 ($6.4) 133.3
==================================================
Net interest expense 20.4
--------
Income before provision
for income taxes $112.9
========
Six Months
Revenues from external
customers $932.6 $160.0 $514.1 $343.9 $11.0 $1,961.6
Intersegment revenues 42.6 13.2 41.2 - (97.0) -
-------------------------------------------------------------
Total segment revenues 975.2 173.2 555.3 343.9 (86.0) 1,961.6
-------------------------------------------------------------
Segment income (loss) $188.5 $15.0 $113.6 $25.7 ($16.4) 326.4
==================================================
Net interest expense 41.4
--------
Income before provision
for income taxes $285.0
========
Third Quarter
Revenues from external
customers $576.2 $237.1 $275.1 $170.3 $7.6 $1,266.3
Intersegment revenues 27.6 2.3 16.9 - (46.8) -
-------------------------------------------------------------
Total segment revenues 603.8 239.4 292.0 170.3 (39.2) 1,266.3
-------------------------------------------------------------
Segment income (loss) $130.2 $35.9 $56.3 $13.5 ($5.8) 230.1
==================================================
Net interest expense 22.8
--------
Income before provision
for income taxes $207.3
========
Nine Months
Revenues from external
customers $1,508.8 $397.1 $789.2 $514.2 $18.6 $3,227.9
Intersegment revenues 70.1 15.5 58.1 0.1 (143.8) -
-------------------------------------------------------------
Total segment revenues 1,578.9 412.6 847.3 514.3 (125.2) 3,227.9
-------------------------------------------------------------
Segment income (loss) $318.8 $50.9 $169.9 $39.1 ($22.2) 556.5
==================================================
Net interest expense 64.3
--------
Income before provision
for income taxes $492.2
========
Fourth Quarter
Revenues from external
customers $341.6 $146.5 $203.0 $197.5 $6.2 $894.8
Intersegment revenues 14.3 0.8 18.7 - (33.8) -
-------------------------------------------------------------
Total segment revenues 355.9 147.3 221.7 197.5 (27.6) 894.8
-------------------------------------------------------------
Segment income (loss) $34.3 $6.6 $25.8 $26.7 ($5.1) 88.3
==================================================
Net interest expense 15.8
--------
Income before provision
for income taxes $72.5
========
Twelve Months
Revenues from external
customers $1,850.4 $543.6 $992.2 $711.7 $24.8 $4,122.7
Intersegment revenues 84.4 16.4 76.8 0.1 (177.7) -
-------------------------------------------------------------
Total segment revenues 1,934.8 560.0 1,069.0 711.8 (152.9) 4,122.7
-------------------------------------------------------------
Segment income (loss) $353.0 $57.6 $195.7 $65.9 ($27.3) 644.9
==================================================
Net interest expense 80.1
--------
Income before provision
for income taxes $564.8
========
Totals may not add due to rounding.
3
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| JONES APPAREL GROUP, INC.
(Registrant)By: /s/ Wesley R. Card
Wesley R. Card
Chief Operating and Financial Officer |
Date: May 1, 2002
4
Exhibit Index
| Exhibit No. | Description |
| 20.1 | Press Release of the Registrant dated April 30, 2002. |
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