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Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Feb. 01, 2020	Mar. 20, 2020	Aug. 02, 2019
Document and Entity Information
Document Type	10-K
Document Annual Report	true
Document Period End Date	Feb. 01, 2020
Document Transition Report	false
Entity File Number	1-4365
Entity Registrant Name	OXFORD INDUSTRIES, INC.
Entity Incorporation, State or Country Code	GA
Entity Tax Identification Number	58-0831862
Entity Address, Address Line One	999 Peachtree Street, N.E.
Entity Address, Address Line Two	Suite 688
Entity Address, City or Town	Atlanta
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30309
City Area Code	404
Local Phone Number	659-2424
Title of 12(b) Security	Common Stock, $1 par value
Trading Symbol	OXM
Security Exchange Name	NYSE
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Public Float			$ 978,846,984
Entity Common Stock, Shares Outstanding		16,750,403
Entity Central Index Key	0000075288
Current Fiscal Year End Date	--02-01
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	FY
Amendment Flag	false

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Feb. 01, 2020	Feb. 02, 2019
Current Assets
Cash and cash equivalents	$ 52,460	$ 8,327
Receivables, net	58,724	69,037
Inventories, net	152,229	160,656
Prepaid expenses and other current assets	25,413	31,768
Total Current Assets	288,826	269,788
Property and equipment, net	191,517	192,576
Intangible assets, net	175,005	176,176
Goodwill	66,578	66,621
Operating lease assets	287,181
Other non-current assets, net	24,262	22,093
Total Assets	1,033,369	727,254
Current Liabilities
Accounts payable	65,491	81,612
Accrued compensation	19,363	24,226
Current operating lease liabilities	50,198
Other accrued expenses and liabilities	42,727	36,371
Total Current Liabilities	177,779	142,209
Long-term debt		12,993
Non-current operating lease liabilities	291,886
Other non-current liabilities	18,566	75,286
Deferred taxes	16,540	18,411
Commitments and contingencies
Shareholders' Equity
Common stock, $1.00 par value per share	17,040	16,959
Additional paid-in capital	149,426	142,976
Retained earnings	366,793	323,515
Accumulated other comprehensive loss	(4,661)	(5,095)
Total Shareholders' Equity	528,598	478,355
Total Liabilities and Shareholders' Equity	$ 1,033,369	$ 727,254

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Feb. 01, 2020	Feb. 02, 2019
CONSOLIDATED BALANCE SHEETS
Common stock, par value (in dollars per share)	$ 1.00	$ 1.00

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
CONSOLIDATED STATEMENTS OF OPERATIONS
Net sales	$ 1,122,790	$ 1,107,466	$ 1,086,211
Cost of goods sold	477,823	470,342	473,579
Gross profit	644,967	637,124	612,632
SG&A	566,149	560,508	540,517
Royalties and other operating income	14,857	13,976	13,885
Operating income	93,675	90,592	86,000
Interest expense, net	1,245	2,283	3,109
Earnings before income taxes	92,430	88,309	82,891
Income taxes	23,937	22,018	18,190
Net earnings from continuing operations	68,493	66,291	64,701
Income from discontinued operations, net of taxes			389
Net earnings, basic	68,493	66,291	65,090
Net earnings, diluted	$ 68,493	$ 66,291	$ 65,090
Net earnings from continuing operations per share:
Basic (in dollars per share)	$ 4.09	$ 3.97	$ 3.90
Diluted (in dollars per share)	4.05	3.94	3.87
Income from discontinued operations, net of taxes, per share:
Basic (in dollars per share)			0.02
Diluted (in dollars per share)			0.02
Net earnings per share:
Basic (in dollars per share)	4.09	3.97	3.92
Diluted (in dollars per share)	$ 4.05	$ 3.94	$ 3.89
Weighted average shares outstanding:
Basic (in shares)	16,756	16,678	16,600
Diluted (in shares)	16,914	16,842	16,734
Dividends declared per share (in dollars per share)	$ 1.48	$ 1.36	$ 1.08

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net earnings	$ 68,493	$ 66,291	$ 65,090
Other comprehensive income (loss), net of taxes:
Net foreign currency translation adjustment	434	(1,021)	1,202
Comprehensive income	$ 68,927	$ 65,270	$ 66,292

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock	Additional Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive (Loss) Income	Total
Beginning Balance at Jan. 28, 2017	$ 16,769	$ 131,144	$ 233,493	$ (5,276)	$ 376,130
Increase (Decrease) in Stockholders' Equity
Net earnings and other comprehensive income			65,090	1,202	66,292
Shares issued under equity plans	110	1,273			1,383
Compensation expense for equity awards		6,413			6,413
Repurchase of shares	(40)	(2,166)			(2,206)
Cash dividends declared and paid			(18,188)		(18,188)
Ending Balance at Feb. 03, 2018	16,839	136,664	280,395	(4,074)	429,824
Increase (Decrease) in Stockholders' Equity
Net earnings and other comprehensive income			66,291	(1,021)	65,270
Shares issued under equity plans	150	1,306			1,456
Compensation expense for equity awards		7,327			7,327
Repurchase of shares	(30)	(2,321)			(2,351)
Cash dividends declared and paid			(23,054)		(23,054)
Cumulative effect of change in accounting standard			(117)		(117)
Ending Balance at Feb. 02, 2019	16,959	142,976	323,515	(5,095)	478,355
Increase (Decrease) in Stockholders' Equity
Net earnings and other comprehensive income			68,493	434	68,927
Shares issued under equity plans	116	1,523			1,639
Compensation expense for equity awards		7,620			7,620
Repurchase of shares	(35)	(2,693)			(2,728)
Cash dividends declared and paid			(25,215)		(25,215)
Ending Balance at Feb. 01, 2020	$ 17,040	$ 149,426	$ 366,793	$ (4,661)	$ 528,598

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Cash Flows From Operating Activities:
Net earnings	$ 68,493	$ 66,291	$ 65,090
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation	39,116	39,880	39,998
Amortization of intangible assets	1,171	2,610	2,404
Equity compensation expense	7,620	7,327	6,413
Amortization of deferred financing costs	384	424	431
Change in fair value of contingent consideration	431	970
Deferred income taxes	(1,973)	2,927	1,817
Changes in working capital, net of acquisitions and dispositions:
Receivables, net	10,271	(1,560)	(8,270)
Inventories, net	8,187	(36,518)	19,504
Prepaid expenses and other current assets	606	5,848	(10,479)
Current liabilities	(14,282)	5,081	1,287
Other non-current assets, net	(283,335)	2,286	(642)
Other non-current liabilities	285,237	811	1,040
Cash provided by operating activities	121,926	96,377	118,593
Cash Flows From Investing Activities:
Acquisitions, net of cash acquired		(354)	(15,529)
Purchases of property and equipment	(37,421)	(37,043)	(38,748)
Cash used in investing activities	(37,421)	(37,397)	(54,277)
Cash Flows From Financing Activities:
Repayment of revolving credit arrangements	(122,241)	(290,526)	(295,326)
Proceeds from revolving credit arrangements	109,248	257,710	249,625
Deferred financing costs paid	(952)
Proceeds from issuance of common stock	1,639	1,456	1,383
Repurchase of equity awards for employee tax withholding liabilities	(2,728)	(2,351)	(2,206)
Cash dividends declared and paid	(25,215)	(23,054)	(18,188)
Other financing activities	(1,049)
Cash used in financing activities	(41,298)	(56,765)	(64,712)
Net change in cash and cash equivalents	43,207	2,215	(396)
Effect of foreign currency translation on cash and cash equivalents	926	(231)	407
Cash and cash equivalents at the beginning of year	8,327	6,343	6,332
Cash and cash equivalents at the end of the period	$ 52,460	$ 8,327	$ 6,343

Summary of Significant Accounting Policies

12 Months Ended

Feb. 01, 2020

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

Note 1. Summary of Significant Accounting Policies

Principal Business Activity

We are a global apparel company that designs, sources, markets and distributes products bearing the trademarks of our Tommy Bahama®, Lilly Pulitzer® and Southern Tide® lifestyle brands and other owned and licensed brands as well as private label apparel products. We distribute our owned lifestyle branded products through our direct to consumer channel, consisting of retail stores and e-commerce sites, and our wholesale distribution channel, which includes better department stores, specialty stores, multi-branded e-commerce retailers and other retailers. Additionally, we operate Tommy Bahama restaurants, including Marlin Bars, generally adjacent to a Tommy Bahama retail store location. Our branded and private label apparel products of Lanier Apparel are distributed through department stores, national chains, warehouse clubs, specialty stores, specialty catalogs, multi-branded e-commerce retailers and other retailers.

Fiscal Year

We operate and report on a 52/53 week fiscal year. Our fiscal year ends on the Saturday closest to January 31. As used in our consolidated financial statements, the terms Fiscal 2017, Fiscal 2018, Fiscal 2019 and Fiscal 2020 reflect the 53 weeks ended February 3, 2018; 52 weeks ended February 2, 2019; 52 weeks ended February 1, 2020 and 52 weeks ending January 30, 2021, respectively.

Principles of Consolidation

Our consolidated financial statements include the accounts of Oxford Industries, Inc. and any other entities in which we have a controlling financial interest, including our wholly-owned domestic and foreign subsidiaries, or variable interest entities for which we are the primary beneficiary. Generally, we consolidate businesses that we control through ownership of a majority voting interest. Additionally, there are situations in which consolidation is required even though the usual condition of consolidation (ownership of a majority voting interest) does not apply. In determining whether a controlling financial interest exists, we consider ownership of voting interests, as well as other rights of the investors which might indicate which investor is the primary beneficiary. The primary beneficiary has both the power to direct the activities of the entity that most significantly impact the entity’s economic performance and the obligation to absorb losses or the right to receive benefits from the entity that could potentially be significant to the entity.

We account for investments in which we exercise significant influence, but do not control via voting rights and were determined to not be the primary beneficiary, using the equity method of accounting. Generally, we determine that we exercise significant influence over a corporation or a limited liability company when we own 20% or more or 3% or more, respectively, of the voting interests unless the facts and circumstances of that investment do not indicate that we have the ability to exhibit significant influence. Under the equity method of accounting, original investments are recorded at cost, and are subsequently adjusted for our contributions to, distributions from and share of income or losses of the entity. Investments accounted for using the equity method of accounting are included in other non-current assets in our consolidated balance sheets, while the income or loss related to investments accounted for using the equity method of accounting is included in royalties and other operating income in our consolidated statements of operations.

All significant intercompany accounts and transactions are eliminated in consolidation.

Business Combinations

The cost of each acquired business is allocated to the individual tangible and intangible assets acquired and liabilities assumed or incurred as a result of an acquisition based on their estimated fair values. The assessment of the estimated fair values of assets and liabilities acquired requires us to make certain assumptions regarding the use of the

acquired assets, anticipated cash flows, probabilities of cash flows, discount rates and other factors. Additionally, the definition of fair value of inventories acquired generally will equal the expected sales price less certain costs associated with selling the inventory, which may exceed the actual cost of the acquired inventories resulting in an inventory step-up to fair value at acquisition, which would be recognized in our consolidated statements of operations as the acquired inventory is sold. The purchase price allocation may be revised during an allocation period as necessary when, and if, information becomes available to revise the fair values of the assets acquired and the liabilities assumed. The allocation period will not exceed one year from the date of the acquisition. Should information become available after the allocation period indicating that an adjustment to the purchase price allocation is appropriate, that adjustment will be included in our consolidated statements of operations. The results of operations of acquired businesses are included in our consolidated statements of operations from the respective dates of the acquisitions. Transaction costs related to business combinations are included in SG&A in our consolidated statements of operations as incurred.

Revenue Recognition and Receivables

In May 2014, the FASB issued guidance, as revised through supplemental guidance, which provided a single, comprehensive accounting model for revenue arising from contracts with customers. Under the new guidance, which we adopted as of the first day of Fiscal 2018, revenue is recognized at an amount that reflects the consideration expected to be received for those goods and services pursuant to a five-step approach: (1) identify the contracts with the customer; (2) identify the separate performance obligations in the contracts; (3) determine the transaction price; (4) allocate the transaction price to separate performance obligations; and (5) recognize revenue when, or as, each performance obligation is satisfied. This new revenue recognition guidance superseded most of the prior revenue recognition guidance, which generally specified that revenue should be recognized when risks and rewards transfer to a customer.

At adoption in Fiscal 2018, we used the modified retrospective method, applying the guidance only to contracts that were not completed prior to Fiscal 2018. There was no adjustment to retained earnings for the cumulative effect of applying the guidance upon adoption as there was no change in the timing or amount of revenue recognition for any of our revenue streams. Our accounting policies and practices for Fiscal 2018 and Fiscal 2019, pursuant to the new guidance, are discussed below, followed by a brief description of our historical accounting policies and practices for Fiscal 2017, pursuant to the prior revenue recognition guidance.

Our revenue consists of direct to consumer sales, including our retail store, e-commerce and restaurant operations, and wholesale sales, as well as royalty income, which is included in royalties and other income in our consolidated statements of operations. The table below quantifies the amount of net sales by distribution channel (in thousands) for each period presented.


	Fiscal		Fiscal		Fiscal
	2019		2018		2017
Retail	$	440,803	$	439,556	$	427,439
E-commerce		262,283		239,034		205,475
Restaurant		83,836		84,530		83,900
Wholesale		333,986		341,615		366,123
Other		1,882		2,731		3,274
Net sales	$	1,122,790	$	1,107,466	$	1,086,211

Pursuant to the new revenue recognition guidance, we recognize revenue when performance obligations under the terms of the contracts with our customers are satisfied. Our performance obligations generally consist of delivering our products to our direct to consumer and wholesale customers. Control of the product is generally transferred upon providing the product to consumers in our bricks and mortar retail stores and restaurants, upon physical delivery of the products to consumers in our e-commerce operations and upon shipment from the distribution center to customers in our wholesale operations. Once control is transferred to the customer, we have completed our performance obligations related to the contract and have an unconditional right to consideration for the products sold as outlined in the contract.

Our receivables resulting from contracts with customers in our direct to consumer operations are generally collected within a few days, upon settlement of the credit card transaction. Our receivables resulting from contracts with our customers in our wholesale operations are generally due within one quarter, in accordance with established credit terms. All of our performance obligations under the terms of our contracts with customers in our direct to consumer and wholesale operations have an expected original duration of one year or less. Our revenue, including any freight income, is recognized net of applicable taxes in our consolidated statements of operations.

In our direct to consumer operations, consumers have certain rights to return product within a specified period and are eligible for certain point of sale discounts, thus retail store, e-commerce and restaurant revenues are recorded net of estimated returns and discounts, as applicable. The sales return allowance is recognized on a gross basis as a return liability for the amount of sales estimated to be returned and a return asset for the right to recover the product estimated to be returned by the customer. The value of inventory associated with a right to recover the goods returned in our direct to consumer operations are included in prepaid expenses and other current assets in our consolidated balance sheets. The changes in the return liability are recognized in net sales and the changes in the return asset are recognized in cost of goods sold in our consolidated statements of operations.

In the ordinary course of our wholesale operations, we offer discounts, allowances and cooperative advertising support to some of our wholesale customers for certain products. Some of these arrangements are written agreements, while others may be implied by customary practices or expectations in the industry. As certain allowances, other deductions and returns are not finalized until the end of a season, program or other event which may not have occurred yet, we estimate such discounts, allowances and returns on an ongoing basis to estimate the consideration from the customer that we expect to ultimately receive. We only recognize revenue to the extent that it is probable that we will not have a significant reversal of revenue in a future period. Significant considerations in determining our estimates for discounts, allowances, operational chargebacks and returns for wholesale customers may include historical and current trends, agreements with customers, projected seasonal or program results, an evaluation of current economic conditions, specific program or product expectations and retailer performance. We record the discounts, returns, allowances and operational chargebacks as a reduction to net sales in our consolidated statements of operations and as a reduction to receivables, net in our consolidated balance sheets, with the estimated value of inventory expected to be returned in prepaid expenses and other current assets in our consolidated balance sheets. As of February 1, 2020 and February 2, 2019, reserve balances recorded as a reduction to receivables related to these items were $9 million and $7 million, respectively.

We extend credit to certain wholesale customers based on an evaluation of the customer’s financial capacity and condition, usually without requiring collateral. In circumstances where we become aware of a specific wholesale customer’s inability to meet its financial obligations, a specific reserve for bad debt is taken as a reduction to accounts receivable to reduce the net recognized receivable to the amount reasonably expected to be collected. Such amounts are written off at the time that the amounts are not considered collectible. For all other wholesale customer receivable amounts, we recognize estimated reserves for bad debts based on our historical collection experience, the financial condition of our customers, an evaluation of current economic conditions and anticipated trends, each of which is subjective and requires certain assumptions. We include such charges and write-offs in SG&A in our consolidated statements of operations and as a reduction to receivables, net in our consolidated balance sheets. As of February 1, 2020 and February 2, 2019, our bad debt reserve balance was $1 million.

In addition to trade and other receivables, income tax receivables of $1 million and $1 million and tenant allowances due from landlord of $1 million and $0 million are included in receivables, net in our consolidated balance sheet, as of February 1, 2020 and February 2, 2019, respectively. Substantially all other amounts recognized in receivables, net represent receivables related to contracts with customers. As of February 1, 2020 and February 2, 2019, prepaid expenses and other current assets included $3 million and $2 million, respectively, representing the estimated value of inventory for wholesale and direct to consumer sales returns. An estimated sales return liability of $3 million for expected direct to consumer returns is classified in other accrued expenses and liabilities in our consolidated balance sheet as of February 1, 2020 and February 2, 2019. We did not have any significant contract assets related to contracts

with customers, other than receivables and the value of inventory associated with reserves for expected sales returns, as of February 1, 2020 or February 2, 2019.

In addition to our estimated return amounts, our contract liabilities related to contracts with customers include gift cards and merchandise credits issued by us, which do not have an expiration date, but are redeemable on demand by the holder of the card. Historically, substantially all gift cards and merchandise credits are redeemed within one year of issuance. Gift cards and merchandise credits are recorded as a liability until our performance obligation is satisfied, which occurs when redeemed by the consumer, at which point revenue is recognized. However, we recognize estimated breakage income for certain gift cards and merchandise credits using the redemption recognition method, subject to applicable laws in certain states. Contract liabilities for gift cards purchased by consumers and merchandise credits received by customers but not yet redeemed, less any breakage income recognized to date, is included in other accrued expenses and liabilities in our consolidated balance sheets and totaled $12 million as of February 1, 2020 and February 2, 2019. Gift card breakage, which is included in net sales in our consolidated statements of operations, was $2 million, $0 million and $1 million in Fiscal 2019, Fiscal 2018 and Fiscal 2017, respectively.

Royalties from the license of our owned brands, which are generally based on the greater of a percentage of the licensee’s actual net sales or a contractually determined minimum royalty amount, are recognized over the period that licensees are provided access to our trademarks and benefit from such access through their sales. Payments are generally due quarterly, and depending on time of receipt, may be recorded as a liability until recognized as revenue. Royalty income is based upon the guaranteed minimum royalty obligations and adjusted as sales data, or estimates thereof, is received from licensees. Royalty income, which is included in royalties and other operating income in our consolidated statements of operations, were $15 million, $14 million and $14 million during Fiscal 2019, Fiscal 2018 and Fiscal 2017, respectively.

During Fiscal 2017, pursuant to the previous revenue recognition guidance, we considered revenue realized or realizable and earned when the following criteria were met: (1) persuasive evidence of an agreement existed, (2) delivery had occurred, (3) our price to the buyer was fixed or determinable and (4) collectability was reasonably assured. Retail store, e-commerce and restaurant revenues were recognized at the time of sale to consumers, which was at the time of purchase for retail and restaurant transactions and the time of delivery to consumers for e-commerce sales. Retail store, e-commerce and restaurant revenues were recorded net of estimated returns and discounts, as applicable. In Fiscal 2017, for substantially all of our wholesale sales, our products were considered sold and delivered at the time of shipment from our distribution center and recorded net of related discounts, cooperative advertising support, operational chargebacks and provisions for estimated returns. As certain allowances and other deductions were not finalized until the end of a season, program or other event which may not have had occurred yet, we estimated such discounts and allowances on an ongoing basis.

Cost of Goods Sold

We include in cost of goods sold all sourcing, procurement and other costs incurred prior to or in association with the receipt of finished goods at our distribution facilities, as well as freight from our warehouse to our own retail stores, wholesale customers and e-commerce consumers. The costs prior to receipt at our distribution facilities include product cost, inbound freight charges, import costs, purchasing costs, internal transfer costs, direct labor, manufacturing overhead, insurance, duties, brokers’ fees, consolidators’ fees and depreciation and amortization expense associated with our manufacturing, sourcing and procurement operations. We generally classify amounts billed to customers for freight in net sales, and classify freight costs for shipments to customers in cost of goods sold in our consolidated statements of operations. Our gross profit and gross margins may not be directly comparable to those of our competitors, as statement of operations classifications of certain expenses may vary by company.

SG&A

We include in SG&A costs incurred subsequent to the receipt of finished goods at our distribution facilities, such as the cost of inspection, stocking, warehousing, picking and packing, and all costs associated with the operations of our retail stores, e-commerce sites, restaurants and concessions, such as labor, occupancy costs, store and restaurant pre-opening costs (including rent, marketing, store set-up costs and training expenses) and other fees. SG&A also includes product design costs, selling costs, royalty expense, advertising, promotion and marketing expenses, professional fees, other general and administrative expenses, our corporate overhead costs and amortization of intangible assets.

Distribution network costs, including costs associated with preparing goods to ship to customers and our costs to operate our distribution facilities, are included as a component of SG&A. We consider distribution network costs to be the costs associated with operating our distribution centers, as well as the costs paid to third parties who perform those services for us. In Fiscal 2019, Fiscal 2018 and Fiscal 2017, distribution network costs included in SG&A totaled $30 million, $28 million and $25 million, respectively.

All costs associated with advertising, promotion and marketing of our products are expensed in SG&A during the period when the advertisement is first shown. Costs associated with cooperative advertising programs under which we agree to make general contributions to our wholesale customers’ advertising and promotional funds are generally recorded as a reduction to net sales as recognized. Advertising, promotion and marketing expenses recognized in SG&A, including employment costs for our advertising and marketing employees, for Fiscal 2019, Fiscal 2018 and Fiscal 2017 were $60 million, $64 million and $55 million, respectively. Prepaid advertising, promotion and marketing expenses included in prepaid expenses in our consolidated balance sheets as of February 1, 2020 and February 2, 2019 were $5 million.

Royalty expense related to our license of third party brands, which are generally based on the greater of a percentage of our actual net sales for the brand or a contractually determined minimum royalty amount, are recorded based upon the guaranteed minimum levels and adjusted based on our net sales of the licensed products, as appropriate. In some cases, we may be required to make certain up-front payments for the license rights, which are deferred and recognized as royalty expense over the term of the license agreement. Royalty expenses recognized as SG&A in Fiscal 2019, Fiscal 2018 and Fiscal 2017 were $7 million, $6 million and $6 million, respectively.

Cash and Cash Equivalents

We consider cash equivalents to be short-term investments with original maturities of three months or less for purposes of our consolidated statements of cash flows. As of February 1, 2020, our cash and cash equivalents included $45 million of amounts invested in money market funds.

Supplemental Cash Flow Information

During Fiscal 2019, Fiscal 2018 and Fiscal 2017, cash paid for income taxes was $17 million, $14 million and $21 million, respectively. During Fiscal 2019, Fiscal 2018 and Fiscal 2017, cash paid for interest, net of interest income was $1 million, $2 million and $3 million, respectively. Non-cash investing activities included capital expenditures incurred but not yet paid, which were included in accounts payable in our consolidated balances sheets, of $3 million, $2 million and $1 million as of Fiscal 2019, Fiscal 2018 and Fiscal 2017, respectively. Additionally, during Fiscal 2019, we recorded a non-cash net change in operating lease assets and corresponding operating lease liability amounts of $40 million related to new, modified and terminated operating lease amounts.

Inventories, net

Substantially all of our inventories are finished goods inventories of apparel, accessories, footwear and other related products. Inventories are valued at the lower of cost or market.

For operating group reporting, inventory is carried at the lower of FIFO cost or market. We evaluate the composition of our inventories for identification of distressed inventory at least quarterly. In performing this evaluation, we consider slow-turning products, an indication of lack of consumer acceptance of particular products, prior-seasons’ fashion products, broken assortments, discontinued products and current levels of replenishment program products as compared to expected sales. We estimate the amount of goods that we will not be able to sell in the normal course of business and write down the value of these goods as necessary. As the amount to be ultimately realized for the goods is not necessarily known at period end, we must use certain assumptions considering historical experience, inventory quantity, quality, age and mix, historical sales trends, future sales projections, consumer and retailer preferences, market trends, general economic conditions and our anticipated plans and costs to sell the inventory. Also, we provide an allowance for shrinkage, as appropriate, for the period between the last physical inventory count and each balance sheet date.

For consolidated financial reporting, as of February 1, 2020 and February 2, 2019, $145 million, or 95%, and $150 million, or 93%, of our inventories were valued at the lower of LIFO cost or market after deducting our LIFO reserve. The remaining $7 million and $11 million of our inventories were valued at the lower of FIFO cost or market as of February 1, 2020 and February 2, 2019, respectively. Generally, inventories of our domestic operations are valued at the lower of LIFO cost or market, and our inventories of our international operations are valued at the lower of FIFO cost or market. Our LIFO reserves are based on the estimated Producer Price Index as published by the United States Department of Labor. We write down inventories valued at the lower of LIFO cost or market when LIFO cost exceeds market value. We deem LIFO accounting adjustments to not only include changes in the LIFO reserve, but also changes in markdown reserves which are considered in LIFO accounting. As our LIFO inventory pool does not correspond to our operating group definitions, LIFO inventory accounting adjustments are not allocated to the respective operating groups. Thus, the impact of accounting for inventories on the LIFO method is reflected in Corporate and Other for operating group reporting purposes included in Note 2.

There were no LIFO inventory layer liquidations that had a material impact on our net earnings in Fiscal 2019, Fiscal 2018 or Fiscal 2017. As of February 1, 2020 and February 2, 2019, the LIFO reserve included in our consolidated balance sheets were $63 million and $62 million, respectively.

Property and Equipment, net

Property and equipment, including leasehold improvements that are reimbursed by landlords as a tenant improvement allowance and assets under capital leases, if any, is carried at cost less accumulated depreciation. Additions are capitalized while repair and maintenance costs are charged to our consolidated statements of operations as incurred. Depreciation is calculated using both straight-line and accelerated methods generally over the estimated useful lives of the assets as follows:


Leasehold improvements		Lesser of remaining life of the asset or lease term
Furniture, fixtures, equipment and technology		2 – 15 years
Buildings and improvements		7 – 40 years

Property and equipment is reviewed periodically for impairment if events or changes in circumstances indicate that the carrying amount may not be recoverable. Events that would typically result in such an assessment would include a change in the estimated useful life of the assets, including a change in our plans of the anticipated period of operating a leased retail store or restaurant location, the discontinued use of an asset and other factors. This review includes the

evaluation of any under-performing stores and assessing the recoverability of the carrying value of the assets related to the store. If the estimated fair value of the property and equipment, utilizing the age-life method, is less than the carrying amount of the asset, an asset is determined to be impaired and a loss is recorded for the amount by which the carrying value of the asset exceeds its estimated fair value.

Substantially all of our depreciation expense is included in SG&A in our consolidated statements of operations, with the only depreciation included elsewhere within our consolidated statements of operations is depreciation associated with our manufacturing, sourcing and procurement processes, which is included in cost of goods sold. During Fiscal 2019, Fiscal 2018 and Fiscal 2017, $1 million of property and equipment impairment charges were recognized in each period in SG&A primarily related to retail store assets and information technology assets. Depreciation expense as disclosed in our consolidated statements of cash flows and Note 2 includes the property and equipment impairment charges.

Intangible Assets

At acquisition, we estimate and record the fair value of purchased intangible assets, which primarily consist of trademarks, reacquired rights and customer relationships. The fair values and useful lives of these intangible assets are estimated based on our assessment as well as independent third party appraisals in some cases. Such valuations, which are dependent upon a number of uncertain factors, may include a discounted cash flow analysis of anticipated revenues and expenses or cost savings resulting from the acquired intangible asset using an estimate of a risk-adjusted market-based cost of capital as the discount rate. Any costs associated with extending or renewing recognized intangible assets are generally expensed as incurred.

Intangible assets with indefinite lives, which consist of our Tommy Bahama, Lilly Pulitzer and Southern Tide trademarks, are not amortized but instead evaluated for impairment annually or more frequently if events or circumstances indicate that the intangible asset might be impaired. The evaluation of the recoverability of trademarks with indefinite lives includes valuations based on a discounted cash flow analysis utilizing the relief from royalty method, among other considerations. Like the initial valuation, the evaluation of recoverability is dependent upon a number of uncertain factors which require certain assumptions to be made by us, including estimates of net sales, royalty income, operating income, growth rates, royalty rates, discount rates and income tax rates, among other factors.

We have the option to first assess qualitative factors to determine whether it is more likely than not that an indefinite-lived intangible asset is impaired as a basis for determining whether it is necessary to perform the quantitative impairment test. We also have the option to bypass the qualitative assessment for any indefinite-lived intangible asset in any period and proceed directly to performing the quantitative impairment test. Bypassing the qualitative assessment in any period does not prohibit us from performing the qualitative assessment in any subsequent period.

We test, either quantitatively or qualitatively, intangible assets with indefinite lives for impairment as of the first day of the fourth quarter of our fiscal year, or at an interim date if indicators of impairment exist at that date. If an annual or interim analysis indicates an impairment of a trademark with an indefinite useful life, the amount of the impairment is recognized in our consolidated financial statements based on the amount that the carrying value exceeds the estimated fair value of the asset. No impairment of intangible assets with indefinite lives was recognized during any period presented.

We recognize amortization of intangible assets with finite lives, which primarily consist of certain owned trademarks of The Beaufort Bonnet Company, which we refer to as TBBC, and Lanier Apparel, reacquired rights and customer relationships, over the estimated useful life of the related intangible asset using the straight line method or a method of amortization that reflects the pattern in which the economic benefits of the intangible asset are consumed or otherwise realized. Certain of our intangible assets with finite lives may be amortized over periods of up to 20 years. The determination of an appropriate useful life for amortization considers our plans for the intangible assets, the remaining contractual period of the reacquired right, and factors outside of our control, including expected customer attrition.

Amortization of intangible assets is included in SG&A in our consolidated statements of operations. Intangible assets with finite lives are reviewed for impairment periodically if events or changes in circumstances indicate that the carrying amount may not be recoverable. If expected future discounted cash flows resulting from the intangible assets are less than their carrying amounts, an asset is determined to be impaired and a loss is recorded for the amount by which the carrying value of the asset exceeds its fair value. No impairment of intangible assets with finite lives was recognized during any period presented.

Goodwill, net

Goodwill is recognized as the amount by which the cost to acquire a business exceeds the fair value of identified tangible and intangible assets acquired less any liabilities assumed at acquisition. Thus, the amount of goodwill recognized in connection with a business combination is dependent upon the fair values assigned to the individual assets acquired and liabilities assumed in a business combination. Goodwill is allocated to the respective reporting unit at the time of acquisition. Goodwill is not amortized but instead is evaluated for impairment annually or more frequently if events or circumstances indicate that the goodwill might be impaired.

We test, either qualitatively or quantitatively, goodwill for impairment as of the first day of the fourth quarter of our fiscal year or when impairment indicators exist. The qualitative factors that we use to determine the likelihood of goodwill impairment, as well as to determine if an interim test is appropriate, include: (a) macroeconomic conditions, (b) industry and market considerations, (c) cost factors, (d) overall financial performance, (e) other relevant entity-specific events, (f) events affecting a reporting unit, (g) a sustained decrease in share price, or (h) other factors as appropriate. In the event we determine that we will bypass the qualitative impairment option or if we determine that a quantitative test is appropriate, the quantitative test includes valuations of each applicable underlying reporting unit using fair value techniques, which may include a discounted cash flow analysis or an independent appraisal, as well as consideration of any market comparable transactions. Significant estimates, some of which may be very subjective, considered in a discounted cash flow analysis are future cash flow projections of the business, an estimate of the risk-adjusted market-based cost of capital as the discount rate, income tax rates and other assumptions. The estimates and assumptions included in the evaluation of the recoverability of goodwill involve significant uncertainty, and if our plans or anticipated results change, the impact on our financial statements could be significant.

If an annual or interim analysis indicates an impairment of goodwill balances, the impairment is recognized in our consolidated financial statements. No impairment of goodwill was recognized during any period presented.

All goodwill for the Tommy Bahama, Lilly Pulitzer and TBBC reporting units is deductible for income tax purposes, while the majority of the goodwill included in the balance sheet for Southern Tide reporting unit is deductible for income tax purposes.

Prepaid Expenses and Other Non-Current Assets, net

Amounts included in prepaid expenses and other current assets primarily consist of prepaid operating expenses, including advertising, taxes, maintenance and other services contracts, royalties, insurance, samples and retail supplies as well as the estimated value of inventory for anticipated wholesale and direct to consumer sales returns. Other non-current assets primarily consist of assets set aside for potential liabilities related to our deferred compensation plan as discussed below, assets related to certain investments in officers’ life insurance policies, security deposits, deferred financing costs related to our revolving credit agreement, non-current deferred tax assets and investments in unconsolidated entities.

Officers’ life insurance policies that are owned by us, substantially all of which are included in other non-current assets, net, are recorded at their cash surrender value, less any outstanding loans associated with the life insurance policies that are payable to the life insurance company with which the policy is outstanding. As of February 1,

2020 and February 2, 2019, officers’ life insurance policies, net, recorded in our consolidated balance sheets totaled $4 million.

Deferred financing costs for our revolving credit agreements are included in other non-current assets, net in our consolidated financial statements. Deferred financing costs are amortized on a straight-line basis, which approximates the effective interest method over the term of the related debt. Amortization of deferred financing costs is included in interest expenses in our consolidated statements of operations. Unamortized deferred financing costs included in other non-current assets, net totaled $2 million and $1 million at February 1, 2020 and February 2, 2019, respectively.

Deferred Compensation

We have a non-qualified deferred compensation plan offered to a select group of highly compensated employees and our non-employee directors. The plan provides participants with the opportunity to defer a portion of their cash compensation in a given plan year, of which a percentage may be matched by us in accordance with the terms of the plan. We make contributions to rabbi trusts or other investments to provide a source of funds for satisfying these deferred compensation liabilities. Investments held for our deferred compensation plan consist of insurance contracts and are recorded based on valuations which generally incorporate unobservable factors. A change in the value of the underlying assets would substantially be offset by a change in the liability to the participant resulting in an immaterial net impact on our consolidated financial statements. These securities approximate the participant-directed investment selections underlying the deferred compensation liabilities.

The total value of the assets set aside for potential deferred compensation liabilities, substantially all of which are included in other non-current assets, net, as of February 1, 2020 and February 2, 2019 was $15 million and $13 million, respectively, substantially all of which are held in a rabbi trust. Substantially all the assets set aside for potential deferred compensation liabilities are life insurance policies recorded at their cash surrender value, less any outstanding loans associated with the life insurance policies that are payable to the life insurance company with which the policy is outstanding. The liabilities associated with the non-qualified deferred compensation plan are included in other non-current liabilities in our consolidated balance sheets and totaled $15 million and $13 million at February 1, 2020 and February 2, 2019, respectively.

Accounts Payable, Accrued Compensation and Other Accrued Expenses and Liabilities

Liabilities for accounts payable, accrued compensation and other accrued expenses and liabilities are carried at cost, which reflects the fair value of the consideration expected to be paid in the future for goods and services received, whether or not billed to us as of the balance sheet date. Accruals for employee insurance and workers’ compensation, which are included in other accrued expenses and liabilities in our consolidated balance sheets, include estimated settlements for known claims, as well as accruals for estimates of incurred but not reported claims based on our claims experience and statistical trends.

Legal and Other Contingencies

We are subject to certain claims and assessments in the ordinary course of business. The claims and assessments may relate, among other things, to disputes about intellectual property, real estate and contracts, as well as labor, employment, environmental, customs and tax matters. For those matters where it is probable that we have incurred a loss and the loss, or range of loss, can be reasonably estimated, we have recorded reserves in other accrued expenses and liabilities or other non-current liabilities in our consolidated financial statements for the estimated loss and related expenses, such as legal fees. In other instances, because of the uncertainties related to both the probable outcome or amount or range of loss, we are unable to make a reasonable estimate of a liability, if any, and therefore have not recorded a reserve. As additional information becomes available or as circumstances change, we adjust our assessment and estimates of such liabilities accordingly. Additionally, for any potential gain contingencies, we do not recognize the gain until the period that all contingencies have been resolved and the amounts are realizable. We believe the outcome of

outstanding or pending matters, individually and in the aggregate, will not have a material impact on our consolidated financial statements, based on information currently available.

In connection with acquisitions, we may enter into contingent consideration arrangements, which provide for the payment of additional purchase price consideration to the sellers if certain performance criteria are achieved during a specified period. We recognize the fair value of the contingent consideration based on its estimated fair value at the date of acquisition. Such valuation requires assumptions regarding anticipated cash flows, probabilities of cash flows, discount rates and other factors. Each of these assumptions may involve a significant amount of uncertainty. Subsequent to the date of acquisition, we periodically adjust the liability for the contingent consideration to reflect the fair value of the contingent consideration by reassessing our valuation assumptions as of that date. A change in assumptions related to contingent consideration amounts could have a material impact on our consolidated financial statements. Any change in the fair value of the contingent consideration is recognized in SG&A in our consolidated statements of operations.

A change in the fair value of contingent consideration of less than $1 million and $1 million associated with the acquisition of TBBC was recognized in our consolidated statements of operations in Fiscal 2019 and Fiscal 2018, respectively, with no such amounts recognized in our consolidated statement of operations in Fiscal 2017. As of February 1, 2020 and February 2, 2019 $1 million of contingent consideration related to the TBBC acquisition was recognized as a liability in our consolidated balance sheet, with the majority of those amounts included in other non-current liabilities.

Other Non-current Liabilities

As of February 1, 2020, amounts included in other non-current liabilities primarily consist of deferred compensation amounts. As of February 2, 2019, other non-current liabilities include $59 million of deferred rent and tenant improvement allowance amounts related to our operating lease agreements, which were reclassified as operating lease assets in Fiscal 2019 upon the adoption of the new lease accounting guidance.

Leases

In the ordinary course of business, we enter into real estate lease agreements for retail, food and beverage, office and warehouse/distribution space, as well as leases for certain equipment. Our leases have varying terms and expirations and may have provisions to extend, renew or terminate the lease agreement at our discretion, among other terms and conditions. Our real estate lease terms are typically for a period of ten years or less and typically require rent payments with specified rent escalations periodically during the lease term. Our real estate leases usually provide for payments of our pro rata share of real estate taxes, insurance and other operating expenses applicable to the property, and certain of our leases require payment of sales taxes on rental payments. Our retail and restaurant leases often provide for contingent rent based on sales if certain sales thresholds are achieved. For many of our lease agreements, we obtain lease incentives from the landlord for tenant improvement or other allowances. Our lease agreements do not include any material residual value guarantees or material restrictive financial covenants.

Substantially all of our leases are classified as long-term operating leases, which prior to Fiscal 2019 were not recognized as assets and liabilities in our consolidated balance sheets. When a non-cancelable long-term operating lease includes fixed escalation clauses or lease incentives for rent holidays, rent expense is generally recognized on a straight-line basis over the initial term of the lease from the date that we take possession of the space and assumes that any termination options or renewal options included in the lease will not be exercised. Contingent rents, including those based on a percentage of retail sales over stated levels and rental payment increases based on a contingent future event as well as lease-related payments for real estate taxes, sales taxes, insurance and other operating expenses are recognized as the expense is incurred. Prior to Fiscal 2019, the difference between the rent payable under the lease and the amount recognized on a straight-line basis was recorded in other non-current liabilities in our consolidated balance sheets, with the exception of certain amounts recognized in other accrued expenses and liabilities. Also, any tenant improvement allowance amounts received from the landlord are deferred and, prior to Fiscal 2019, were recognized in other non-

current liabilities in our consolidated balance sheets. The tenant improvement allowances are then recognized in our consolidated statements of operations as a reduction to rent expense over the term of the lease agreement on a straight-line basis. Deferred rent in our consolidated balance sheets, including tenant improvement allowances and all amounts in non-current and current liabilities, as of February 2, 2019 was $61 million.

Pursuant to the revised lease accounting guidance adopted at the beginning of Fiscal 2019, we determine if an arrangement is a lease at contract inception. Operating lease liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. The significant judgments in calculating the present value of lease obligations include determining the lease term and lease payment amounts, which are dependent upon our assessment of the likelihood of exercising any renewal or termination options that are at our discretion, as well as the discount rate applied to the unpaid lease payments. Pursuant to the new lease accounting guidance, operating leases are included in operating lease assets, current operating lease liabilities and non-current operating lease liabilities in our consolidated balance sheet. The operating lease asset at commencement reflects the operating lease liability reduced for any lease incentives, including tenant improvement allowances. Lease expense for operating leases is recognized on a straight-line basis over the lease term, which is consistent with the previous guidance. Variable rental payments for real estate taxes, sales taxes, insurance, other operating expenses and contingent rent based on a percentage of net sales or adjusted periodically for inflation are not included in lease expense used to calculate the present value of lease obligations recognized in our consolidated balance sheet, but instead are recognized as incurred.

We account for the underlying operating lease asset at the individual lease level. Typically, we do not include any renewal or termination options at our discretion in the underlying lease term as the probability of exercise is not reasonably certain at the time of lease commencement. The revised lease guidance requires us to discount unpaid lease payments using the interest rate implicit in the lease or, if that rate cannot be readily determined, our incremental borrowing rate. As our leases do not provide an implicit rate, we use an estimated incremental borrowing rate based on information available at commencement date, or as of February 3, 2019 for any leases in place at adoption of the revised lease accounting guidance. Our incremental borrowing rate for a lease is the rate of interest we would have to pay on a collateralized basis over the lease term to borrow an amount equal to the lease payments. Finance leases are not material to our consolidated financial statements.

Foreign Currency

We are exposed to foreign currency exchange risk when we generate net sales or incur expenses in currencies other than the functional currency of the respective operations. The resulting assets and liabilities denominated in amounts other than the respective functional currency are re-measured into the respective functional currency at the rate of exchange in effect on the balance sheet date, and income and expenses are re-measured at the average rates of exchange prevailing during the relevant period. The impact of any such re-measurement is recognized in our consolidated statements of operations in that period. Net losses (gains) included in our consolidated statements of operations related to foreign currency transactions recognized in Fiscal 2019, Fiscal 2018 and Fiscal 2017 were $1 million, $0 million and $0 million, respectively.

Additionally, the financial statements of our operations for which the functional currency is a currency other than the U.S. dollar are translated into U.S. dollars at the rate of exchange in effect on the balance sheet date for the balance sheet and at the average rates of exchange prevailing during the relevant period for the statements of operations. The impact of such translation is recognized in accumulated other comprehensive income (loss) in our consolidated balance sheets and included in other comprehensive income (loss) in our consolidated statements of comprehensive income resulting in no impact on net earnings for the relevant period.

As of February 1, 2020, our foreign currency exchange risk exposure primarily results from our businesses operating outside of the United States, which are primarily related to (1) our Tommy Bahama operations in Canada, Australia and Japan purchasing goods in U.S. dollars or other currencies which are not the functional currency of the business and (2) certain other transactions, including intercompany transactions. During Fiscal 2019, Fiscal 2018 and

Fiscal 2017 we did not enter into and were not a party to any foreign currency exchange contracts intended to mitigate the risk associated with the foreign currency exchange rate fluctuations related to our business operations or for trading or speculative purposes.

Derivative Financial Instruments

Derivative financial instruments, if any, are measured at their fair values in our consolidated balance sheets. The accounting for changes in the fair value of derivative instruments depends on whether the derivative has been designated and qualifies for hedge accounting. For any derivative financial instrument that is designated and qualifies for hedge accounting treatment and has not been settled as of period-end, the unrealized gains (losses) on the outstanding derivative financial instrument is recognized, to the extent the hedge relationship has been effective, as a component of comprehensive income in our consolidated statements of comprehensive income and accumulated other comprehensive income (loss) in our consolidated balance sheets. For any financial instrument that is not designated as a hedge for accounting purposes, or for any ineffective portion of a hedge, the unrealized gains (losses) on the outstanding derivative financial instrument is included in net earnings. Cash flows related to hedging transactions, if any, are classified in our consolidated statements of cash flows and consolidated statements of operations in the same category as the items hedged. Unrealized gains and losses on derivative financial instruments are recognized as prepaid expenses or accrued expenses, respectively. We do not use derivative financial instruments for trading or speculative purposes.

Interest Rate Risk

We are exposed to market risk from changes in interest rates on any variable-rate indebtedness under our U.S. Revolving Credit Agreement. If we have significant borrowings, we may attempt to limit the impact of interest rate changes on earnings and cash flow, primarily through a mix of variable-rate and fixed-rate debt, although at times all of our debt may be either variable-rate or fixed-rate debt. At times we may enter into interest rate swap arrangements related to certain of our variable-rate debt in order to fix the interest rate if we determine that our exposure to interest rate changes is higher than optimal. Our assessment also considers our need for flexibility in our borrowing arrangements resulting from the seasonality of our business, anticipated future cash flows and our expectations about the risk of future interest rate changes, among other factors. As of February 1, 2020, we are not a party to any interest rate swap agreements.

Fair Value Measurements

Fair value, in accordance with GAAP, is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. Valuation techniques include the market approach (comparable market prices), the income approach (present value of future income or cash flow), and the cost approach (cost to replace the service capacity of an asset or replacement cost). These valuation techniques may be based upon observable and unobservable inputs.

The three levels of inputs used to measure fair value pursuant to the guidance are as follows: (1) Level 1—Quoted prices in active markets for identical assets or liabilities; (2) Level 2—Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data; and (3) Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities, which includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs.

Our financial instruments consist primarily of our cash and cash equivalents, accounts receivable, accounts payable, accrued expenses, other liabilities and debt, if any. Given their short-term nature, the carrying amounts of cash

and cash equivalents receivables, accounts payable, accrued expenses and other liabilities generally approximate their fair values. The fair value of cash and cash equivalents invested on an overnight basis in money market funds is based upon the quoted prices in active markets provided by the holding financial institutions, which are considered Level 1 inputs in the fair value hierarchy. Additionally, we believe the carrying amounts of our variable-rate borrowings, if any, approximate fair value. We have determined that our property and equipment, intangible assets, goodwill and operating lease assets included in our consolidated balance sheets are non-financial assets measured at fair value on a non-recurring basis. We have determined that our approaches for determining fair values of our property and equipment, intangible assets, goodwill and operating lease assets generally are based on Level 3 inputs. Additionally, for contingent consideration fair value amounts, we have determined that our approaches for determining fair value are generally based on Level 3 inputs.

Equity Compensation

We have certain equity compensation plans as described in Note 8, which provide for the ability to grant restricted shares, restricted share units, options and other equity awards to our employees and non-employee directors. We recognize compensation expense related to equity awards to employees and non-employee directors in SG&A in our consolidated statements of operations based on their fair values on the grant date. The fair values of restricted shares and restricted share units are determined based on the fair value of our common stock on the grant date, regardless of whether the awards are performance or service based.

We use the fair value method to recognize compensation expense related to equity awards, with a corresponding entry to additional paid-in capital. For awards with specified service requirements, the fair value of the equity awards granted to employees is recognized over the respective service period. For performance-based awards, during the performance period we assess expected performance versus the predetermined performance goals and adjust the cumulative equity compensation expense to reflect the relative expected performance achievement. The equity compensation expense is recognized on a straight-line basis over the aggregate performance period and any additional required service period. The impact of stock award forfeitures on compensation expense is recognized at the time of forfeit as no estimate of future stock award forfeitures is considered in our calculation of compensation expense.

Comprehensive Income and Accumulated Other Comprehensive Loss

Comprehensive income consists of net earnings and specified components of other comprehensive income (loss). Other comprehensive income includes changes in assets and liabilities that are not included in net earnings pursuant to GAAP, such as foreign currency translation adjustments between the functional and reporting currencies and certain unrealized gains (losses), if any. For us, other comprehensive income for each period presented includes the impact of the foreign currency translation impact of our Tommy Bahama operations in Canada, Australia and Japan. These other comprehensive income (loss) amounts are deferred in accumulated other comprehensive loss, which is included in shareholders’ equity in our consolidated balance sheets. As of February 1, 2020, all amounts included in accumulated other comprehensive loss in our consolidated balance sheet reflect the net foreign currency translation adjustment related to our Tommy Bahama operations in Canada and Australia, while prior periods also included amounts related to our Tommy Bahama Japan operations as well.

During Fiscal 2019, we recognized a $1 million charge in our consolidated statement of operations that was previously recognized in accumulated other comprehensive loss in our consolidated balance sheet. This charge relates to foreign currency amounts associated with our investment and operations in Tommy Bahama Japan, which in Fiscal 2019 we decided to exit entirely after exiting a significant portion of the business in Fiscal 2018. No material amounts of accumulated other comprehensive loss were reclassified from accumulated other comprehensive loss into our consolidated statements of operations during Fiscal 2019, Fiscal 2018 or Fiscal 2017.

Dividends

Dividends are accrued at the time declared by our Board of Directors and typically paid within the same fiscal quarter.

Concentration of Credit Risk and Significant Customers

We are exposed to concentrations of credit risk as a result of our receivables balances, for which the total exposure is limited to the amount recognized in our consolidated balance sheets. We sell our merchandise to wholesale customers operating in a number of distribution channels in the United States and other countries. We extend credit to certain wholesale customers based on an evaluation of the customer’s credit history and financial condition, usually without requiring collateral. Credit risk is impacted by conditions or occurrences within the economy and the retail industry and is principally dependent on each customer’s financial condition. As of February 1, 2020, two customers each represented more than 10% individually, and totaled 35% in the aggregate, of our receivables included in our consolidated balance sheet.

While no individual customer represented greater than 10% of our consolidated net sales in Fiscal 2019, Fiscal 2018 or Fiscal 2017, a decision by the controlling owner of a group of stores or any significant customer to decrease the amount of merchandise purchased from us or to cease carrying our products could have an adverse effect on our results of operations in future periods.

Additionally, as of February 1, 2020, we had $52 million of cash and cash equivalents, including $45 million invested in money market funds. Substantially all of these amounts are with major financial institutions in the United States. Further, we maintain cash deposits with major financial institutions that exceed the insurance coverage limits provided by the Federal Deposit Insurance Corporation in the United States.

Income Taxes

Income taxes included in our consolidated financial statements are determined using the asset and liability method. Under this method, income taxes are recognized based on amounts of income taxes payable or refundable in the current year as well as the impact of any items that are recognized in different periods for consolidated financial statement reporting and tax return reporting purposes. Prepaid income taxes and income taxes payable are recognized in prepaid expenses and other accrued expenses and liabilities, respectively, in our consolidated balance sheets. As certain amounts are recognized in different periods for consolidated financial statement and tax return reporting purposes, financial statement and tax bases of assets and liabilities differ, resulting in the recognition of deferred tax assets and liabilities. The deferred tax assets and liabilities reflect the estimated future tax effects attributable to these differences, as well as the impact of net operating loss, capital loss and federal and state credit carry-forwards, each as determined under enacted tax laws and rates expected to apply in the period in which such amounts are expected to be realized or settled. We account for the effect of changes in tax laws or rates in the period of enactment.

We recognize deferred tax assets to the extent we believe it is more likely than not that these assets will be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, taxable income in carryback years, tax-planning strategies, and results of recent operations. Valuation allowances are established when we determine that it is more likely than not that some portion or all of a deferred tax asset will not be realized.

Valuation allowances are analyzed periodically and adjusted as events occur or circumstances change that would indicate adjustments to the valuation allowances are appropriate. If we determine that we are more likely than not to realize our deferred tax assets in the future in excess of their net recorded amount, we will reduce the deferred tax asset valuation allowance, which will reduce income tax expense. As realization of deferred tax assets and liabilities is dependent upon future taxable income in specific jurisdictions, changes in tax laws and rates and shifts in the amount of

taxable income among jurisdictions may have a significant impact on the amount of benefit ultimately realized for deferred tax assets and liabilities.

We use a two-step approach for evaluating uncertain tax positions. Under the two-step method, recognition occurs when we conclude that a tax position, based solely on technical merits, is more likely than not to be sustained upon examination. The second step, measurement, is only addressed if step one has been satisfied. The tax benefit recorded is measured as the largest amount of benefit determined on a cumulative probability basis that is more likely than not to be realized upon ultimate settlement. Those tax positions failing to qualify for initial recognition are recognized in the first subsequent interim period they meet the more likely than not threshold or are resolved through negotiation or litigation with the relevant taxing authority or upon expiration of the statute of limitations. Alternatively, de-recognition of a tax position that was previously recognized occurs when we subsequently determine that a tax position no longer meets the more likely than not threshold of being sustained. Interest and penalties associated with unrecognized tax positions are recorded within income tax expense in our consolidated statements of operations. As of February 1, 2020 and February 2, 2019, unrecognized tax benefit amounts, including any related penalty and interest expense, included in our consolidated balance sheet was $1 million and $1 million, respectively, and during each of Fiscal 2019, Fiscal 2018 and Fiscal 2017, we recognized less than $1 million in changes in unrecognized tax benefit amounts in our consolidated statements of operations.

In the case of foreign subsidiaries there are certain exceptions to the requirement that deferred tax liabilities be recognized for the difference in the financial statement and tax bases of assets. When the financial statement basis of the investment in a foreign subsidiary, excluding undistributed earnings, exceeds the tax basis in such investment, the deferred tax liability is not recognized if management considers the investment to be essentially permanent in duration. Further, deferred tax liabilities are not required to be recognized for undistributed earnings of foreign subsidiaries when management considers those earnings to be permanently reinvested outside the United States. The Tax Cuts and Jobs Act ("U.S. Tax Reform") as enacted on December 22, 2017 changed the way federal tax is applied to distributions of earnings of foreign subsidiaries. Generally, the aggregate of all post-1986 accumulated undistributed earnings and profits of foreign subsidiaries as of the specified measurement dates was, if positive, subject to a U.S. "transition tax.” We calculated the undistributed earnings of foreign subsidiaries as of the measurement dates and determined that no transition tax was due and accordingly did not record a transition tax amount in our consolidated statements of operations. While future distributions of foreign subsidiary earnings are generally not subject to federal tax, there are other possible tax impacts, including state taxes and foreign withholding tax, that must be considered if the earnings are not considered to be permanently reinvested. Further, U.S. Tax Reform did not exempt from federal tax the gain realized upon the sale of a foreign subsidiary and consideration must therefore be given to the impact of differences in the book and tax basis of foreign subsidiaries not arising from earnings when determining whether a liability must be recorded if the investment is not considered permanently reinvested.

U.S. Tax Reform made significant changes in the taxation of our domestic and foreign earnings, including a reduction in the domestic corporate tax rate from 35% to 21%, the move to a territorial taxation system under which the earnings of foreign subsidiaries will generally not be subject to U.S. federal income tax upon distribution, the increase in bonus depreciation available for certain assets acquired, limitations on the deduction for certain expenses, including executive compensation and interest incurred, a tax on global intangible low-taxed income (“GILTI”), disallowance of deductions for certain payments (the base erosion anti-abuse tax, or “BEAT”) and certain deductions enacted for certain foreign-derived intangible income (“FDII”). While the calculations for GILTI, BEAT and FDII are complex calculations, the new provisions did not have a material impact on our effective tax rate in Fiscal 2019 and Fiscal 2018. We recognize the impact of GILTI as a period cost.

In Fiscal 2018 we adopted certain guidance that requires an entity to recognize the income tax consequences of an intra-entity transfer of an asset (other than inventory) when the transfer occurs. The impact of the adoption of this guidance resulted in a $0.1 million reduction to retained earnings as of February 4, 2018.

We file income tax returns in the United States and various state, local and foreign jurisdictions. Our federal, state, local and foreign income tax returns filed for years prior to Fiscal 2016, with limited exceptions, are no longer subject to examination by tax authorities.

Earnings (Loss) Per Share

Basic net earnings from continuing operations, net earnings from discontinued operations and net earnings per share are each calculated by dividing the respective earnings amount by the weighted average shares outstanding during the period. Shares repurchased, if any, are removed from the weighted average number of shares outstanding upon repurchase and delivery.

Diluted net earnings from continuing operations, net earnings from discontinued operations and net earnings per share are each calculated similarly to the amounts above, except that the weighted average shares outstanding in the diluted calculations also includes the potential dilution using the treasury stock method that could occur if dilutive securities, including restricted share awards or other dilutive awards, were converted to shares. The treasury stock method assumes that shares are issued for any restricted share awards, options or other dilutive awards that are "in the money," and that we use the proceeds received to repurchase shares at the average market value of our shares for the respective period. For purposes of the treasury stock method, proceeds consist of cash to be paid and future compensation expense to be recognized.

Use of Estimates

The preparation of our consolidated financial statements in conformity with GAAP requires us to make certain estimates and assumptions that affect the amounts reported as assets, liabilities, revenues and expenses in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.

Discontinued Operations

Amounts included in discontinued operations in our consolidated statements of operations in Fiscal 2017 primarily consist of revisions to our net loss anticipated in connection with certain retained lease obligations related to our former Ben Sherman operating group which we sold in 2015. During Fiscal 2017, we negotiated settlements in respect of these outstanding lease obligations by agreeing to make one-time cash payments lower than the aggregate total outstanding liabilities related to discontinued operations at that time resulting in income from discontinued operations during the period. The final satisfaction of those lease obligations was completed in February 2018.

All references to assets, liabilities, revenues, expenses and other information in this report reflect continuing operations and exclude any amounts related to the discontinued operations of our former Ben Sherman operating group, except that any cash flow information includes continuing operations and discontinued operations as cash flows from discontinued operations have not been segregated from cash flow from continuing operations.

Accounting Standards Adopted in Fiscal 2019

In February 2016, the FASB issued revised lease accounting guidance. The guidance requires companies to record substantially all leases, including operating leases, as assets and liabilities on the balance sheet. For these leases, we are required to recognize (1) an operating lease asset which represents our right to use, or control the use of, a specified asset for a lease term and (2) a lease liability equal to our obligation to make lease payments arising from a lease, measured on a discounted basis. We adopted the guidance on the first day of Fiscal 2019 using a modified retrospective approach. The modified retrospective approach allows us to apply the new lease accounting guidance to the financial statements for the period of adoption and apply the previous lease accounting guidance in the prior year comparative periods. The adoption of the new lease accounting guidance had a material impact on our consolidated balance sheet as a result of the non-cash recognition of operating lease assets and operating lease liabilities, but did not

have a material impact on our consolidated statements of operations or cash flows. We elected the transition relief package practical expedients by applying previous lease accounting conclusions to all leases that existed prior to the adoption date. Therefore, we have not reassessed (1) whether existing or expired contracts contain a lease, (2) lease classification for existing or expired leases, or (3) the accounting for initial direct costs that were previously capitalized. We did not elect the practical expedient to use hindsight for leases existing at the adoption date. Refer to “Leases” above and Note 6 for additional disclosures and information about accounting for leases.

Other recently issued guidance that was adopted in Fiscal 2019 did not have a material impact on our consolidated financial statements upon adoption.

Recently Issued Accounting Standards Applicable to Future Years

In June 2016, the FASB issued guidance, as amended, on the measurement of credit losses on financial instruments. This guidance amends the impairment model by requiring that companies use a forward-looking approach based on expected losses to estimate credit losses on certain financial instruments, including trade receivables. This guidance will be effective in Fiscal 2020, which commenced on February 2, 2020. We are currently assessing the impact that adopting this guidance will have on our consolidated financial statements.

In December 2019, the FASB amended guidance on accounting for income taxes. This guidance amends and simplifies the accounting for income taxes by removing certain exceptions in existing guidance to reduce complexity in certain areas. This guidance will be effective for all years beginning after December 15, 2020, with early adoption permitted. We are currently assessing the impact that adopting this guidance will have on our consolidated financial statements.

Recent accounting pronouncements pending adoption not discussed above are either not applicable or not expected to have a material impact on our consolidated financial statements.

Operating Group Information

12 Months Ended

Feb. 01, 2020

Operating Groups

Operating Groups

Note 2. Operating Groups

We identify our operating groups based on the way our management organizes the components of our business for purposes of allocating resources and assessing performance. Our operating group structure reflects a brand-focused management approach, emphasizing operational coordination and resource allocation across each brand’s direct to consumer, wholesale and licensing operations, as applicable. Our business is primarily operated through our Tommy Bahama, Lilly Pulitzer, Lanier Apparel and Southern Tide operating groups.

Tommy Bahama, Lilly Pulitzer and Southern Tide each design, source, market and distribute apparel and related products bearing their respective trademarks and license their trademarks for other product categories, while Lanier Apparel designs, sources and distributes branded and private label men’s tailored clothing, sportswear and other products. Corporate and Other is a reconciling category for reporting purposes and includes our corporate offices, substantially all financing activities, the elimination of inter-segment sales and any other items that are not allocated to the operating groups including LIFO inventory accounting adjustments. Because our LIFO inventory pool does not correspond to our operating group definitions, LIFO inventory accounting adjustments are not allocated to the operating groups. Corporate and Other also includes the operations of other businesses which are not included in our operating groups, including the operations of TBBC and our Lyons, Georgia distribution center.

The tables below present certain financial information (in thousands) about our operating groups, as well as Corporate and Other.


	Fiscal		Fiscal		Fiscal
	2019		2018		2017
Net sales
Tommy Bahama	$	676,652	$	675,358	$	686,021
Lilly Pulitzer		284,700		272,299		248,931
Lanier Apparel		97,251		100,471		106,852
Southern Tide		46,409		45,248		40,940
Corporate and Other		17,778		14,090		3,467
Consolidated net sales	$	1,122,790	$	1,107,466	$	1,086,211

Depreciation and amortization
Tommy Bahama	$	27,852	$	29,549	$	30,998
Lilly Pulitzer		10,106		10,605		9,021
Lanier Apparel		574		567		583
Southern Tide		549		528		441
Corporate and Other		1,206		1,241		1,359
Consolidated depreciation and amortization	$	40,287	$	42,490	$	42,402

Operating income (loss)
Tommy Bahama	$	53,207	$	53,139	$	55,002
Lilly Pulitzer		51,795		47,239		46,608
Lanier Apparel		1,465		5,057		6,546
Southern Tide		5,554		5,663		4,504
Corporate and Other		(18,346)		(20,506)		(26,660)
Consolidated operating income		93,675		90,592		86,000
Interest expense, net		1,245		2,283		3,109
Earnings before income taxes	$	92,430	$	88,309	$	82,891

(1)	Corporate and Other included a LIFO accounting charge of $1 million, $1 million and $8 million in Fiscal 2019, Fiscal 2018 and Fiscal 2017, respectively.


	Fiscal 2019		Fiscal 2018		Fiscal 2017
Purchases of Property and Equipment
Tommy Bahama	$	31,272	$	25,111	$	24,962
Lilly Pulitzer		4,273		10,777		11,150
Lanier Apparel		571		99		305
Southern Tide		289		149		1,138
Corporate and Other		1,016		907		1,193
Purchases of Property and Equipment	$	37,421	$	37,043	$	38,748


	February 1,		February 2,
	2020		2019
Total Assets
Tommy Bahama (1)	$	668,197	$	439,353
Lilly Pulitzer (1)		199,913		152,113
Lanier Apparel (1)		43,533		54,369
Southern Tide (1)		99,667		97,939
Corporate and Other (2)		22,059		(16,520)
Total Assets	$	1,033,369	$	727,254

(1)

The increase in total assets for Tommy Bahama, Lilly Pulitzer and Southern Tide were primarily a result of the recognition of operating lease assets in Fiscal 2019 due to the adoption of the revised lease accounting guidance, while the decrease in Lanier Apparel was primarily due to lower inventories and receivables partially offset by operating lease assets.

(2)	Total assets for Corporate and Other include LIFO reserves of $63 million and $62 million as of February 1, 2020 and February 2, 2019, respectively. The change in total assets for Corporate and Other from February 2, 2019 was primarily due to the increased cash as of February 1, 2020.

Net book value of our property and equipment and net sales by geographic area are presented in the tables below (in thousands). The other foreign amounts primarily relate to our Tommy Bahama operations in Canada, Australia and Japan.


	February 1,		February 2,
	2020		2019
Net Book Value of Property and Equipment
United States	$	187,032	$	186,426
Other foreign		4,485		6,150
	$	191,517	$	192,576


	Fiscal 2019		Fiscal 2018		Fiscal 2017
Net Sales
United States	$	1,086,170	$	1,067,235	$	1,048,619
Other foreign		36,620		40,231		37,592
	$	1,122,790	$	1,107,466	$	1,086,211

The tables below quantify, for each operating group and in total, the amount of net sales by distribution channel (in thousands) and as a percentage of net sales for each period presented.


	Fiscal 2019
	Net Sales		Retail		E‑commerce		Restaurant		Wholesale		Other
Tommy Bahama	$	676,652	48	%	20	%	12	%	20	%	—	%
Lilly Pulitzer		284,700	41	%	38	%	—	%	21	%	—	%
Lanier Apparel		97,251	—	%	1	%	—	%	99	%	—	%
Southern Tide		46,409	—	%	21	%	—	%	79	%	—	%
Corporate and Other		17,778	—	%	60	%	—	%	32	%	8	%
Consolidated net sales	$	1,122,790	39	%	23	%	8	%	30	%	—	%


	Fiscal 2018
	Net Sales		Retail		E‑commerce		Restaurant		Wholesale		Other
Tommy Bahama	$	675,358	48	%	18	%	13	%	21	%	—	%
Lilly Pulitzer		272,299	42	%	36	%	—	%	22	%	—	%
Lanier Apparel		100,471	—	%	—	%	—	%	100	%	—	%
Southern Tide		45,248	—	%	18	%	—	%	82	%	—	%
Corporate and Other		14,090	—	%	54	%	—	%	30	%	16	%
Consolidated net sales	$	1,107,466	40	%	21	%	8	%	31	%	—	%


	Fiscal 2017
	Net Sales		Retail		E‑commerce		Restaurant		Wholesale		Other
Tommy Bahama	$	686,021	49	%	16	%	12	%	23	%	—	%
Lilly Pulitzer		248,931	38	%	34	%	—	%	28	%	—	%
Lanier Apparel		106,852	—	%	—	%	—	%	100	%	—	%
Southern Tide		40,940	—	%	19	%	—	%	81	%	—	%
Corporate and Other		3,467	—	%	23	%	—	%	16	%	61	%
Consolidated net sales	$	1,086,211	39	%	19	%	8	%	34	%	—	%

Property and Equipment, Net

12 Months Ended

Feb. 01, 2020

Property and Equipment, Net

Property and Equipment, Net

Note 3. Property and Equipment, Net

Property and equipment, carried at cost, is summarized as follows (in thousands):


	February 1,		February 2,
	2020		2019
Land	$	3,166	$	3,166
Buildings and improvements		39,563		38,782
Furniture, fixtures, equipment and technology		240,527		223,666
Leasehold improvements		231,089		229,141
		514,345		494,755
Less accumulated depreciation and amortization		(322,828)		(302,179)
Property and equipment, net	$	191,517	$	192,576

Intangible Assets and Goodwill

12 Months Ended

Feb. 01, 2020

Intangible Assets and Goodwill

Intangible Assets and Goodwill

Note 4. Intangible Assets and Goodwill

Intangible assets by category are summarized below (in thousands):


	February 1,		February 2,
	2020		2019
Intangible assets with finite lives	$	51,929	$	51,929
Accumulated amortization		(41,924)		(40,753)
Total intangible assets with finite lives, net		10,005		11,176

Intangible assets with indefinite lives:
Tommy Bahama Trademarks	$	110,700	$	110,700
Lilly Pulitzer Trademarks		27,500		27,500
Southern Tide Trademarks		26,800		26,800
Total intangible assets, net	$	175,005	$	176,176

Intangible assets, by operating group and in total, for Fiscal 2017, Fiscal 2018 and Fiscal 2019 are as follows (in thousands):


	Tommy		Lilly		Lanier		Southern		Corporate
	Bahama		Pulitzer		Apparel		Tide		and Other		Total
Balance, January 28, 2017	$	113,625	$	28,595	$	3,048	$	29,977	$	—	$	175,245
Acquisition		—		1,500		—		—		4,440		5,940
Amortization		(1,580)		(346)		(172)		(288)		(18)		(2,404)
Other, including foreign currency		112		—		(35)		—		—		77
Balance February 3, 2018		112,157		29,749		2,841		29,689		4,422		178,858
Acquisition		—		—		—		—		—		—
Amortization		(1,385)		(533)		(171)		(288)		(233)		(2,610)
Other, including foreign currency		(72)		—		—		—		—		(72)
Balance, February 2, 2019		110,700		29,216		2,670		29,401		4,189		176,176
Acquisition		—		—		—		—		—		—
Amortization		—		(475)		(171)		(291)		(234)		(1,171)
Other, including foreign currency		—		—		—		—		—		—
Balance, February 1, 2020	$	110,700	$	28,741	$	2,499	$	29,110	$	3,955	$	175,005

Based on the current estimated useful lives assigned to our intangible assets, amortization expense for each of the next five years is expected to be $1 million per year.

Goodwill, by operating group and in total, for Fiscal 2017, Fiscal 2018 and Fiscal 2019 is as follows (in thousands):


	Tommy		Lilly		Southern		Corporate
	Bahama		Pulitzer		Tide		and Other		Total
Balance, January 28, 2017	$	775	$	16,495	$	42,745	$	—	$	60,015
Acquisition		—		3,027		—		3,615		6,642
Other, including foreign currency		46		—		—		—		46
Balance February 3, 2018		821		19,522		42,745		3,615		66,703
Acquisition		—		—		—		—		—
Other, including foreign currency		(67)		—		—		(15)		(82)
Balance, February 2, 2019		754		19,522		42,745		3,600		66,621
Acquisition		—		—		—		—		—
Other, including foreign currency		(43)		—		—		—		(43)
Balance, February 1, 2020	$	711	$	19,522	$	42,745	$	3,600	$	66,578

Debt

12 Months Ended

Feb. 01, 2020

Debt

Debt

Note 5. Debt

In July 2019, we amended our $325 million Fourth Amended and Restated Credit Agreement (as amended, the “U.S. Revolving Credit Agreement”) by entering into the First Amendment to the Fourth Amended and Restated Credit Agreement to (1) extend the maturity of the facility to July 2024 and (2) modify certain provisions including a reduction of interest rates on certain borrowings and a reduction in unused line fees. We had no amounts outstanding as of February 1, 2020 under the U.S. Revolving Credit Agreement, compared to borrowings of $13 million as of February 2, 2019. The U.S. Revolving Credit Agreement generally (1) is limited to a borrowing base consisting of specified percentages of eligible categories of assets, (2) accrues variable-rate interest, unused line fees and letter of credit fees based upon average unused availability or utilization, (3) requires periodic interest payments with principal due at maturity (July 2024) and (4) is secured by a first priority security interest in substantially all of the assets of Oxford Industries, Inc. and its domestic subsidiaries, including accounts receivable, books and records, chattel paper, deposit accounts, equipment, certain general intangibles, inventory, investment property (including the equity interests of certain subsidiaries), negotiable collateral, life insurance policies, supporting obligations, commercial tort claims, cash and cash equivalents, eligible trademarks, proceeds and other personal property.

To the extent cash flow needs exceed cash flow provided by our operations we will have access, subject to its terms, to our U.S. Revolving Credit Agreement to provide funding for operating activities, capital expenditures and acquisitions, if any. Our U.S. Revolving Credit Agreement is also used to establish collateral for certain insurance programs and leases and to finance trade letters of credit for product purchases, which reduce the amounts available under our line of credit when issued. As of February 1, 2020, $3 million of letters of credit were outstanding against our U.S. Revolving Credit Agreement. After considering these limitations and the amount of eligible assets in our borrowing base, as applicable, as of February 1, 2020, we had $322 million in unused availability under the U.S. Revolving Credit Agreement, subject to certain limitations on borrowings. See Note 14 for additional information relating to borrowings under the U.S. Revolving Credit Agreement made after February 1, 2020.

Covenants, Other Restrictions and Prepayment Penalties

The U.S. Revolving Credit Agreement is subject to a number of affirmative covenants regarding the delivery of financial information, compliance with law, maintenance of property, insurance requirements and conduct of business. Also, the U.S. Revolving Credit Agreement is subject to certain negative covenants or other restrictions including, among other things, limitations on our ability to (1) incur debt, (2) guaranty certain obligations, (3) incur liens, (4) pay dividends to shareholders, (5) repurchase shares of our common stock, (6) make investments, (7) sell assets or stock of subsidiaries, (8) acquire assets or businesses, (9) merge or consolidate with other companies or (10) prepay, retire, repurchase or redeem debt.

Additionally, the U.S. Revolving Credit Agreement contains a financial covenant that applies only if excess availability under the agreement for three consecutive business days is less than the greater of (1) $23.5 million or (2) 10% of availability. In such case, our fixed charge coverage ratio as defined in the U.S. Revolving Credit Agreement must not be less than 1.0 to 1.0 for the immediately preceding 12 fiscal months for which financial statements have been delivered. This financial covenant continues to apply until we have maintained excess availability under the U.S. Revolving Credit Agreement of more than the greater of (1) $23.5 million or (2) 10% of availability for 30 consecutive days.

We believe that the affirmative covenants, negative covenants, financial covenants and other restrictions under the U.S. Revolving Credit Agreement are customary for those included in similar facilities entered into at the time we amended the U.S. Revolving Credit Agreement. During Fiscal 2019 and as of February 1, 2020, no financial covenant testing was required pursuant to our U.S. Revolving Credit Agreement as the minimum availability threshold was met at all times. As of February 1, 2020, we were compliant with all covenants related to the U.S. Revolving Credit Agreement.

Leases

12 Months Ended

Feb. 01, 2020

Leases

Leases

Note 6. Leases

Substantially all lease expense, which consists of operating lease amounts, is included in SG&A in our consolidated statements of operations. For Fiscal 2019, operating lease expense, which includes amounts used in determining the operating lease liability and operating lease asset, was $66 million and variable lease expense was $34 million, resulting in total lease expense of $99 million. As of February 1, 2020, the weighted-average remaining operating lease term was seven years and the weighted-average discount rate for operating leases was 4%. Cash paid for lease amounts included in the measurement of operating lease liabilities in Fiscal 2019 was $70 million.

As of February 1, 2020, the required lease liability payments, which includes base rent amounts but excludes payments for real estate taxes, sales taxes, insurance other operating expenses and contingent rents incurred under operating lease agreements, for the fiscal years specified below were as follows (in thousands):


	Operating lease
2020	$	64,141
2021		67,213
2022		63,248
2023		59,444
2024		45,972
After 2024		96,914
Total lease payments	$	396,932
Less: Difference between discounted and undiscounted lease payments		54,848
Present value of lease liabilities	$	342,084

In addition to the lease amounts included above, as of February 1, 2020, we had additional direct to consumer operating lease commitments, excluding variable lease payments, that have not yet commenced of $4 million. These leases are expected commence in Fiscal 2020 with lease terms generally of up to 10 years.

Disclosures related to periods prior to adoption of revised accounting guidance

Total rent expense in Fiscal 2018 was $96 million, which includes base rent amounts, real estate taxes, sales taxes, insurance and other operating expenses and contingent rents incurred under all leases. Payments for real estate taxes, sales taxes, insurance, other operating expenses and contingent percentage rent are included in rent expense, but are generally not included in the aggregate minimum rental commitments, as, in most cases, the amounts payable in future periods are not quantified in the lease agreement or may be dependent on future events. The total amount of such charges included in total rent expense above were $28 million in Fiscal 2018. As of February 2, 2019, the aggregate

minimum base rental commitments for all non-cancelable operating leases with original terms in excess of one year were $68 million, $66 million, $62 million, $59 million, and $51 million for each of the next five years and $124 million thereafter.

Commitments and Contingencies

12 Months Ended

Feb. 01, 2020

Commitments and Contingencies

Commitments and Contingencies

Note 7. Commitments and Contingencies

As of February 1, 2020, we are also obligated under certain apparel license and design agreements to make future minimum royalty and advertising payments of $6 million, $4 million, $0 million, $0 million, and $0 million for each of the next five years and $0 thereafter. These amounts do not include amounts, if any, that exceed the minimums required pursuant to the agreements.

During the 1990s, we discovered the presence of hazardous waste on one of our properties. We believe that remedial or other activities may be required, including continued investigation and monitoring of groundwater and soil, although the timing and extent of such activities is uncertain. As of both February 1, 2020 and February 2, 2019, the reserve for the remediation of this site was less than $1 million, which is included in other non-current liabilities in our consolidated balance sheets. The amount recorded represents our estimate of the costs, on an undiscounted basis, to clean up and monitor the site as well as any associated legal and consulting fees, based on currently available information. This estimate may change in future periods as more information on the activities required and timing of those activities become known.

In Fiscal 2016, we recognized a charge of $1 million related to an assertion of underpaid customs duties concerning the method used to determine the dutiable value of certain inventory. We appealed this assessment in accordance with the standard procedures of the relevant customs authorities. We obtained a favorable ruling on appeal resulting in the Fiscal 2018 reversal for all amounts previously accrued related to the assertion.

In connection with our Fiscal 2017 acquisition of TBBC, we entered into a contingent consideration agreement which requires us to make cash payments to the sellers of up to $4 million in the aggregate subject to TBBC’s achievement of certain earnings targets over a four year period subsequent to the acquisition. Pursuant to this contingent consideration agreement, as of February 1, 2020, less than $1 million was earned related to Fiscal 2018 and paid in Fiscal 2019, less than $1 million was earned related to Fiscal 2019 and is payable in Fiscal 2020. One of the sellers of TBBC is an employee and continues to manage the operations of TBBC.

Shareholders' Equity

12 Months Ended

Feb. 01, 2020

Shareholders' Equity

Shareholders' Equity

Note 8. Shareholders’ Equity

Common Stock

We had 60 million shares of $1.00 par value per share common stock authorized for issuance as of February 1, 2020 and February 2, 2019. We had 17 million shares of common stock issued and outstanding as of February 1, 2020 and February 2, 2019.

Long-Term Stock Incentive Plan

As of February 1, 2020, less than 1 million shares were available for issuance under our Long-Term Stock Incentive Plan (the "Long-Term Stock Incentive Plan"). The Long-Term Stock Incentive Plan allows us to grant equity-based awards to employees and non-employee directors in the form of stock options, stock appreciation rights, restricted shares and/or restricted share units. No additional shares are available under any predecessor plans.

Restricted share awards granted to officers and other key employees generally vest three or four years from the date of grant if (1) the performance threshold, if any, was met and (2) the employee is still employed by us on the vesting date. At the time that restricted shares are issued, the shareholder is generally, subject to the terms of the respective agreement, entitled to the same dividend and voting rights as other holders of our common stock as long as the restricted

shares are outstanding. The employee generally is restricted from transferring or selling any restricted shares and generally forfeits the awards upon the termination of employment prior to the end of the vesting period. The specific provisions of the awards, including exercisability and term of the award, are evidenced by agreements with the employee as determined by the compensation committee of our Board of Directors.

The table below summarizes the restricted share award activity for officers and other key employees (in shares) during Fiscal 2019, Fiscal 2018, and Fiscal 2017:


	Fiscal 2019			Fiscal 2018			Fiscal 2017
		Weighted-			Weighted-			Weighted-
		average			average			average
	Number of	grant date		Number of	grant date		Number of	grant date
	Shares	fair value		Shares	fair value		Shares	fair value
Restricted share awards outstanding at beginning of fiscal year	257,890	$	66	211,045	$	63	228,682	$	69
Service-based restricted share awards granted/issued	42,573	$	76	49,726	$	79	58,753	$	56
Performance-based restricted share awards issued related to prior year performance awards	43,152	$	79	72,427	$	57	30,443	$	76
Restricted share awards vested, including restricted shares repurchased from employees for employees’ tax liability	(87,252)	$	71	(73,408)	$	58	(92,239)	$	78
Restricted share awards forfeited	(4,439)		69	(1,900)		62	(14,594)		58
Restricted share awards outstanding at end of fiscal year	251,924	$	68	257,890	$	66	211,045	$	63

The following table summarizes information about unvested restricted share awards as of February 1, 2020. The unvested restricted share awards will be settled in shares of our common stock on the vesting date, subject to the employee still being an employee at that time.


	Number of	Average
	Unvested	Market
	Share	Price on
Description	Awards	Date of Grant
Service-based & Performance-based Restricted Share Awards Vesting in April 2020	114,003	$	58
Service-based & Performance-based Restricted Share Awards Vesting in April 2021	83,248	$	76
Service-based Restricted Share Awards Vesting in April 2022	54,673	$	75
Total	251,924

Restricted shares pursuant to performance-based awards are not issued until approved by our compensation committee following completion of the performance period. During Fiscal 2019, approximately 40,000 restricted shares were earned by recipients related to the Fiscal 2019 performance period; however, these share awards were not included in the tables above as the awards had not been issued as of February 1, 2020. The grant date fair value of these 40,000 awards was $76 per share, and the awards vest in April 2022.

As of February 1, 2020, there was $8 million of unrecognized compensation expense related to the unvested restricted share awards, which have been granted to employees but have not yet vested, including the Fiscal 2019 performance-based awards issued in the first quarter of Fiscal 2020. As of February 1, 2020, the weighted average remaining life of the outstanding awards was one year.

In addition, we grant restricted shares to our non-employee directors for a portion of each non-employee director’s annual compensation. The non-employee directors must complete certain service requirements; otherwise, the restricted shares are subject to forfeiture. On the date of issuance, the non-employee directors are entitled to the same dividend and voting rights as other holders of our common stock. The non-employee directors are restricted from transferring or selling the restricted shares prior to the end of the vesting period.

Employee Stock Purchase Plan

There were less than 1 million shares of our common stock authorized for issuance under our Employee Stock Purchase Plan ("ESPP") as of February 1, 2020. The ESPP allows qualified employees to purchase shares of our common stock on a quarterly basis, based on certain limitations, through payroll deductions. The shares purchased pursuant to the ESPP are not subject to any vesting or other restrictions. On the last day of each calendar quarter, the accumulated payroll deductions are applied toward the purchase of our common stock at a price equal to 85% of the closing market price on that date. Equity compensation expense related to the employee stock purchase plan recognized was less than $1 million in each of Fiscal 2019, Fiscal 2018 and Fiscal 2017.

Preferred Stock

We had 30 million shares of $1.00 par value preferred stock authorized for issuance as of February 1, 2020 and February 2, 2019. No preferred shares were issued or outstanding as of February 1, 2020 or February 2, 2019.

Income Taxes

12 Months Ended

Feb. 01, 2020

Income Taxes

Income Taxes

Note 9. Income Taxes

The following table summarizes our distribution between domestic and foreign earnings (loss) before income taxes and the provision (benefit) for income taxes (in thousands):


	Fiscal		Fiscal		Fiscal
	2019		2018		2017
Earnings from continuing operations before income taxes:
Domestic	$	86,528	$	85,050	$	78,707
Foreign		5,902		3,259		4,184
Earnings from continuing operations before income taxes	$	92,430	$	88,309	$	82,891

Income taxes:
Current:
Federal	$	18,565	$	12,543	$	11,710
State		5,459		4,474		3,775
Foreign		1,650		1,979		707
		25,674		18,996		16,192
Deferred—Domestic		(1,870)		3,141		1,690
Deferred—Foreign		133		(119)		308
Income taxes	$	23,937	$	22,018	$	18,190

Reconciliations of the United States federal statutory income tax rates and our effective tax rates are summarized as follows:


	Fiscal		Fiscal		Fiscal
	2019		2018		2017
Statutory tax rate ⁽¹⁾	21.0	%	21.0	%	33.7	%
State income taxes—net of federal income tax benefit	4.4	%	4.6	%	3.6	%
Impact of foreign operations rate differential ⁽²⁾	0.2	%	0.7	%	(0.6)	%
Valuation allowance for foreign losses and other carry-forwards ⁽³⁾	0.1	%	(0.1)	%	1.1	%
Impact of U.S. Tax Reform on deferred tax amounts ⁽⁴⁾	—	%	—	%	(14.4)	%
Other, net	0.2	%	(1.3)	%	(1.5)	%
Effective tax rate for continuing operations	25.9	%	24.9	%	21.9	%

(1)	The statutory tax rate for Fiscal 2019 and Fiscal 2018 reflects the federal corporate tax rate of 21%. Fiscal 2017 is a blended rate that reflects the reduction of the federal corporate marginal tax rate effective January 1, 2018 as a result of U.S. Tax Reform.

(2)	Impact of foreign operations rate differential primarily reflects the rate differential between the United States and the respective foreign jurisdictions for any foreign income or losses, and the impact of any permanent differences.

(3)

Valuation allowance for foreign losses and other carry-forwards primarily reflects the valuation allowance recorded due to our inability to recognize an income tax benefit related to certain operating loss carry-forwards and deferred tax assets during the period. The benefit in Fiscal 2018 was primarily due to the utilization of certain operating loss carryforward benefits against current year earnings and changes in our assessment of the likelihood of recognition of certain foreign operating loss carryforwards.

(4)

Impact of U.S. Tax Reform on deferred tax amounts of $12 million consists of our provisional income tax benefit amount related to the revaluation of deferred tax assets and liabilities to reflect the change in the enacted tax rate due to U.S. Tax Reform. During Fiscal 2018 as we completed our calculation of the impact of U.S. Tax Reform in accordance with Staff Accounting Bulletin No. 118, which provided us with up to one year to complete accounting for the impacts of U.S. Tax Reform, we did not recognize any material measurement period adjustments to the provisional amounts recorded in Fiscal 2017.

Deferred tax assets and liabilities included in our consolidated balance sheets are comprised of the following (in thousands):


	February 1,		February 2,
	2020		2019
Deferred Tax Assets:
Inventories	$	13,067	$	13,210
Accrued compensation and benefits		8,977		8,096
Receivable allowances and reserves		993		890
Operating lease liabilities		85,969		3,371
Operating loss and other carry-forwards		3,171		2,785
Other, net		1,546		4,122
Deferred tax assets		113,723		32,474
Deferred Tax Liabilities:
Operating lease assets		(82,186)		—
Depreciation and amortization		(8,076)		(11,917)
Acquired intangible assets		(34,019)		(32,913)
Deferred tax liabilities		(124,281)		(44,830)
Valuation allowance		(5,213)		(5,103)
Net deferred tax liability	$	(15,771)	$	(17,459)

As of February 1, 2020 and February 2, 2019 our operating loss and other carry-forwards primarily relate to our operations in Canada and Hong Kong, as well as certain states. The majority of these operating loss carry-forwards allow for carry-forward of at least 20 years and in some cases, indefinitely. The substantial majority of our valuation allowance of $5 million and $5 million as of February 1, 2020 and February 2, 2019, respectively, relates to these foreign and state operating loss carry-forwards and the deferred tax assets in those jurisdictions. The recent history of operating losses in certain jurisdictions is considered significant negative evidence against the future realizability of these tax benefits. The amount of the valuation allowance could change in the future if our operating results or estimates of future taxable operating results changes.

U.S. Tax Reform made significant changes to how foreign earnings are taxed. Certain amounts of foreign earnings are subject to U.S. federal tax currently pursuant to the GILTI rules regardless of whether those earnings are distributed, and actual distributions of foreign earnings are generally no longer subject to U.S. federal tax. We continue to assert that our investments in foreign subsidiaries and substantially all of the related earnings are permanently reinvested outside the United States. We believe that any other taxes such as foreign withholding or U.S. state tax payable would be immaterial if we were to repatriate the foreign earnings. Therefore, we have not recorded any deferred tax liabilities related to investments and earnings in our consolidated balance sheets as of February 1, 2020 and February 2, 2019.

Accounting for income taxes requires that we offset deferred tax liabilities and assets within each tax jurisdiction and present the net deferred tax amount for each jurisdiction as a net deferred tax amount in our consolidated balance sheets. The amounts of deferred income taxes included in our consolidated balance sheets are as follows (in thousands):


	February 1,		February 2,
	2020		2019
Assets:
Deferred tax assets	$	769	$	952
Liabilities:
Deferred tax liabilities		(16,540)		(18,411)
Net deferred tax liability	$	(15,771)	$	(17,459)

Defined Contribution Plans

12 Months Ended

Feb. 01, 2020

Defined Contribution Plans

Defined Contribution Plans

Note 10. Defined Contribution Plans

We have a tax-qualified voluntary retirement savings plan covering substantially all United States employees and other similar plans covering certain foreign employees. If a participant elects to contribute, a portion of the contribution may be matched by us. Additionally, we incur certain charges related to our non-qualified deferred compensation plan as discussed in Note 1. Realized and unrealized gains and losses on the deferred compensation plan investments are recorded in SG&A in our consolidated statements of operations and substantially offset the changes in deferred compensation liabilities to participants resulting from changes in market values. Our aggregate expense under these defined contribution and non-qualified deferred compensation plans in Fiscal 2019, Fiscal 2018 and Fiscal 2017 was $5 million, $5 million and $4 million, respectively.

Summarized Quarterly Data (unaudited)

12 Months Ended

Feb. 01, 2020

Summarized Quarterly Data (unaudited)

Summarized Quarterly Data (unaudited)

Note 11. Summarized Quarterly Data (unaudited)

Each of our fiscal quarters consists of thirteen week periods, beginning on the first day after the end of the prior fiscal quarter, except that the fourth quarter in a year with 53 weeks (such as Fiscal 2017) includes 14 weeks. Following is a summary of our Fiscal 2019 and Fiscal 2018, quarterly results (in thousands, except per share amounts):


	First		Second		Third		Fourth
	Quarter		Quarter		Quarter		Quarter		Total⁽¹⁾
Fiscal 2019
Net sales	$	281,973	$	302,000	$	241,221	$	297,596	$	1,122,790
Gross profit	$	165,769	$	179,825	$	132,980	$	166,393	$	644,967
Operating income	$	29,742	$	40,259	$	2,594	$	21,080	$	93,675
Net earnings	$	21,657	$	29,836	$	1,668	$	15,332	$	68,493
Net earnings per share:
Basic	$	1.30	$	1.78	$	0.10	$	0.91	$	4.09
Diluted	$	1.29	$	1.76	$	0.10	$	0.90	$	4.05
Weighted average shares outstanding:
Basic		16,713		16,760		16,773		16,779		16,756
Diluted		16,848		16,907		16,934		16,965		16,914
Fiscal 2018
Net sales	$	272,628	$	302,641	$	233,662	$	298,535	$	1,107,466
Gross profit	$	164,146	$	179,297	$	129,279	$	164,402	$	637,124
Operating income	$	28,373	$	36,513	$	3,705	$	22,001	$	90,592
Net earnings	$	20,567	$	27,184	$	1,861	$	16,679	$	66,291
Net earnings per share:
Basic	$	1.24	$	1.63	$	0.11	$	1.00	$	3.97
Diluted	$	1.23	$	1.61	$	0.11	$	0.99	$	3.94
Weighted average shares outstanding:
Basic		16,639		16,683		16,694		16,698		16,678
Diluted		16,769		16,840		16,870		16,890		16,842

(1)	The sum of the quarterly net earnings per share amounts may not equal the amount for the year due to rounding.

The Fourth Quarters of Fiscal 2019 and Fiscal 2018 included a LIFO accounting charge of $1 million and $1 million, respectively. The full years of Fiscal 2019 and Fiscal 2018 included a LIFO accounting charge of $1 million and $1 million, respectively.

Business Combinations

12 Months Ended

Feb. 01, 2020

Business Combinations

Business Combinations

Note 12. Business Combinations

Fiscal 2017 Business Combinations

During Fiscal 2017 we completed certain acquisitions which resulted in our acquisition of TBBC and 12 Lilly Pulitzer Signature Stores. TBBC, which we acquired in December 2017, designs, sources, markets and distributes premium childrenswear including bonnets, hats, apparel, swimwear and accessories through the TBBC e-commerce website as well as wholesale specialty retailers. The Lilly Pulitzer Signature Stores that were acquired are located in Massachusetts, Virginia and Maryland. We believe the TBBC acquisition further advances our strategic goal of owning a diversified portfolio of lifestyle brands, while the acquisition of the Lilly Pulitzer Signature Stores allows for growth of Lilly Pulitzer’s direct to consumer business, particularly in some key markets. Subsequent to their respective acquisitions, the acquired Lilly Pulitzer Signature Stores are included in our Lilly Pulitzer operating group, while the TBBC operations are included in Corporate and Other.

The purchase price, in the aggregate, of our Fiscal 2017 acquisitions was $18 million primarily consisting of cash, subject to adjustment based on net working capital or inventory amounts as of the closing dates of the respective acquisitions. We used borrowings under our revolving credit facility to finance the transactions. Transaction and integration costs related to the acquisitions totaled $1 million and are included in SG&A in Fiscal 2017. The following table summarizes our allocation of the purchase price for the Fiscal 2017 acquisitions, in the aggregate (in thousands):


	Fiscal 2017 acquisitions
Cash and cash equivalents	$	406
Inventories ⁽¹⁾		3,910
Prepaid expenses and other current assets		595
Property and equipment		682
Intangible assets		5,940
Goodwill		6,642
Accounts payable, accrued expenses and other liabilities		(640)
Purchase price ⁽²⁾	$	17,535

(1)

Includes a step-up of acquired inventory from cost to fair value of $1 million with substantially all of this step-up amount recognized in Fiscal 2017 in cost of goods sold in our consolidated statement of operations with the remaining amount recognized in Fiscal 2018 in cost of goods sold in our consolidated statement of operations.

(2)

In connection with the TBBC acquisition, we entered into a contingent consideration agreement pursuant to which we will be obligated to make cash payments to the sellers of up to $4 million in the aggregate subject to TBBC’s achievement of certain earnings targets over a four year period subsequent to the acquisition. Estimated fair value of the contingent consideration amount as of the acquisition date was less than $1 million.

Intangible assets allocated in connection with our purchase price allocation consisted of the following (in thousands):


		Fiscal 2017
	Useful life	acquisitions
Finite lived intangible assets acquired:
Trade names and trademarks	20 years	$	4,220
Other intangible assets including reacquired rights, customer relationships and non-compete agreements	3 - 10 years	$	1,720
		$	5,940

Tommy Bahama Japan Charges

12 Months Ended

Feb. 01, 2020

Tommy Bahama Japan Charges

Tommy Bahama Japan Charges

Note 13. Tommy Bahama Japan Charges

During Fiscal 2019 and Fiscal 2018, we incurred certain charges related to the restructure of our Tommy Bahama Japan operations, which we plan to exit entirely during the first half of Fiscal 2020. In Fiscal 2018 we incurred charges related to the lease termination and closure of the Tommy Bahama Ginza flagship retail-restaurant location, for which the lease was previously scheduled to expire in 2022, as well as other charges associated with downsizing the business. In Fiscal 2019 we incurred charges associated with the shutdown of our remaining retail and concession operations in Japan which is scheduled to be completed in the first half of Fiscal 2020. The substantial majority of the charges in Fiscal 2019 and Fiscal 2018, which are included in Tommy Bahama, were recognized in SG&A.

The charges in Fiscal 2018 totaled $4 million, including $2 million of lease termination and premises reinstatement charges, $1 million of non-cash asset impairment charges and $1 million of inventory markdown, severance and other charges related to the downsizing of the business. The charges in Fiscal 2019 totaled $3 million, including a $1 million non-cash foreign currency charge associated with our investment in Japan which was previously included in accumulated other comprehensive income in our consolidated balance sheet, $1 million of lease termination, premises reinstatement and operating lease asset impairment charges, and charges related to the revision to the estimated Ginza reinstatement charge recognized in the prior year, as well as other items including severance and inventory markdowns related to the pending shutdown of the Tommy Bahama Japan operations.

As of February 1, 2020, obligations related to these charges that are still outstanding total $1 million, which primarily consist of monthly retail store lease payments, lease termination payments and premises reinstatement charges requiring payment in the first half of Fiscal 2020 and other amounts related to the pending shutdown of the business. These amounts are included in current liabilities in our consolidated balance sheet as the amounts are expected to be paid in the first half of Fiscal 2020.

Subsequent Events

12 Months Ended

Feb. 01, 2020

Subsequent Events

Subsequent Events

Note 14. Subsequent Events

Subsequent to the end of Fiscal 2019, in February and March 2020, we repurchased 332,000 shares of our common stock for $18 million under an open market stock repurchase program (Rule 10b5-1 plan).

In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (COVID-19) as a pandemic, which continues to spread throughout the United States. Due to the COVID-19 outbreak, we saw reduced consumer traffic starting in early March 2020 and temporarily closed all of our retail and restaurant locations in North America on March 17, 2020. Subsequent to those closures, we also temporarily closed all of our retail locations in Australia. These store and restaurant closures, as well as the disruptions in all of our channels of distribution resulting from the COVID-19 outbreak, has had, and will continue to have a negative impact on our net sales during Fiscal 2020. While the disruption is currently expected to be temporary, there is significant uncertainty around the duration of the disruption. Thus, while we expect this matter to negatively impact our business, results of operations and financial position, the related financial impact cannot be reasonably estimated at this time. As a result, we are leveraging our balance sheet and have drawn down $200 million from the U.S. Revolving Credit Agreement to increase our cash position and help preserve our financial flexibility.

SCHEDULE II Valuation and Qualifying Accounts

12 Months Ended

Feb. 01, 2020

SCHEDULE II Valuation and Qualifying Accounts

SCHEDULE II Valuation and Qualifying Accounts

SCHEDULE II

Oxford Industries, Inc.

Valuation and Qualifying Accounts


Column A	Column B		Column C				Column D			Column E
			Additions		Charged
	Balance at		Charged to		to Other		Deductions			Balance at
	Beginning		Costs and		Accounts–		–			End of
Description	of Period		Expenses		Describe		Describe			Period
	(In thousands)
Fiscal 2019
Deducted from asset accounts:
Accounts receivable reserves ⁽¹⁾	$	6,646	$	15,802		—	$	(13,682)	⁽³⁾	$	8,766
Allowance for doubtful accounts ⁽²⁾	$	661	$	88		—	$	(194)	⁽⁴⁾	$	555
Fiscal 2018
Deducted from asset accounts:
Accounts receivable reserves ⁽¹⁾	$	6,485	$	9,599		—	$	(9,438)	⁽³⁾	$	6,646
Allowance for doubtful accounts ⁽²⁾	$	1,659	$	225		—	$	(1,223)	⁽⁴⁾	$	661
Fiscal 2017
Deducted from asset accounts:
Accounts receivable reserves ⁽¹⁾	$	9,301	$	9,059		—	$	(11,875)	⁽³⁾	$	6,485
Allowance for doubtful accounts ⁽²⁾	$	811	$	1,366		—	$	(518)	⁽⁴⁾	$	1,659

(1)	Accounts receivable reserves includes estimated reserves for allowances, returns and discounts related to our wholesale operations as discussed in our significant accounting policy disclosure for "Revenue Recognition and Receivables" in Note 1 of our consolidated financial statements.

(2)	Allowance for doubtful accounts consists of amounts reserved for our estimate of a customer’s inability to meet its financial obligations as discussed in our significant accounting policy disclosure for "Revenue Recognition and Receivables" in Note 1 of our consolidated financial statements.

(3)	Principally amounts written off related to customer allowances, returns and discounts.

(4)	Principally accounts written off as uncollectible.

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Feb. 01, 2020

Summary of Significant Accounting Policies

Fiscal Year

Principles of Consolidation

All significant intercompany accounts and transactions are eliminated in consolidation.

Business Combinations

Revenue Recognition and Receivables


	Fiscal		Fiscal		Fiscal
	2019		2018		2017
Retail	$	440,803	$	439,556	$	427,439
E-commerce		262,283		239,034		205,475
Restaurant		83,836		84,530		83,900
Wholesale		333,986		341,615		366,123
Other		1,882		2,731		3,274
Net sales	$	1,122,790	$	1,107,466	$	1,086,211

with customers, other than receivables and the value of inventory associated with reserves for expected sales returns, as of February 1, 2020 or February 2, 2019.

Cost of Goods Sold

SG&A

Cash and Cash Equivalents

Supplemental Cash Flow Information

Inventories, net

Substantially all of our inventories are finished goods inventories of apparel, accessories, footwear and other related products. Inventories are valued at the lower of cost or market.

Property and Equipment, net


Leasehold improvements		Lesser of remaining life of the asset or lease term
Furniture, fixtures, equipment and technology		2 – 15 years
Buildings and improvements		7 – 40 years

Intangible Assets

Goodwill, net

Prepaid Expenses and Other Non-Current Assets, net

2020 and February 2, 2019, officers’ life insurance policies, net, recorded in our consolidated balance sheets totaled $4 million.

Deferred Compensation

Accounts Payable, Other Accrued Expenses and Accrued Compensation

Accounts Payable, Accrued Compensation and Other Accrued Expenses and Liabilities

Legal and Other Contingencies

outstanding or pending matters, individually and in the aggregate, will not have a material impact on our consolidated financial statements, based on information currently available.

Other Non-current Liabilities

Leases

Foreign Currency

Derivative Financial Instruments

Interest Rate Risk

Fair Value Measurements

Equity Compensation

Comprehensive Income and Accumulated Other Comprehensive Loss

Dividends

Dividends are accrued at the time declared by our Board of Directors and typically paid within the same fiscal quarter.

Concentration of Credit Risk and Significant Customers

Income Taxes

taxable income among jurisdictions may have a significant impact on the amount of benefit ultimately realized for deferred tax assets and liabilities.

Earnings (Loss) Per Share

Use of Estimates

Discontinued Operations

Accounting Standards Adopted in Fiscal 2019 and Recently Issued Accounting Standards Applicable to Future Years

Accounting Standards Adopted in Fiscal 2019

Other recently issued guidance that was adopted in Fiscal 2019 did not have a material impact on our consolidated financial statements upon adoption.

Recently Issued Accounting Standards Applicable to Future Years

Recent accounting pronouncements pending adoption not discussed above are either not applicable or not expected to have a material impact on our consolidated financial statements.

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Feb. 01, 2020

Summary of Significant Accounting Policies

Schedule of net sales by distribution channel

The table below quantifies the amount of net sales by distribution channel (in thousands) for each period presented.


	Fiscal		Fiscal		Fiscal
	2019		2018		2017
Retail	$	440,803	$	439,556	$	427,439
E-commerce		262,283		239,034		205,475
Restaurant		83,836		84,530		83,900
Wholesale		333,986		341,615		366,123
Other		1,882		2,731		3,274
Net sales	$	1,122,790	$	1,107,466	$	1,086,211

Schedule of estimated useful lives of the assets


Leasehold improvements		Lesser of remaining life of the asset or lease term
Furniture, fixtures, equipment and technology		2 – 15 years
Buildings and improvements		7 – 40 years

Operating Group Information (Tables)

12 Months Ended

Feb. 01, 2020

Operating Groups

Schedule of financial information by operating group

The tables below present certain financial information (in thousands) about our operating groups, as well as Corporate and Other.


	Fiscal		Fiscal		Fiscal
	2019		2018		2017
Net sales
Tommy Bahama	$	676,652	$	675,358	$	686,021
Lilly Pulitzer		284,700		272,299		248,931
Lanier Apparel		97,251		100,471		106,852
Southern Tide		46,409		45,248		40,940
Corporate and Other		17,778		14,090		3,467
Consolidated net sales	$	1,122,790	$	1,107,466	$	1,086,211

Depreciation and amortization
Tommy Bahama	$	27,852	$	29,549	$	30,998
Lilly Pulitzer		10,106		10,605		9,021
Lanier Apparel		574		567		583
Southern Tide		549		528		441
Corporate and Other		1,206		1,241		1,359
Consolidated depreciation and amortization	$	40,287	$	42,490	$	42,402

Operating income (loss)
Tommy Bahama	$	53,207	$	53,139	$	55,002
Lilly Pulitzer		51,795		47,239		46,608
Lanier Apparel		1,465		5,057		6,546
Southern Tide		5,554		5,663		4,504
Corporate and Other		(18,346)		(20,506)		(26,660)
Consolidated operating income		93,675		90,592		86,000
Interest expense, net		1,245		2,283		3,109
Earnings before income taxes	$	92,430	$	88,309	$	82,891

(1)	Corporate and Other included a LIFO accounting charge of $1 million, $1 million and $8 million in Fiscal 2019, Fiscal 2018 and Fiscal 2017, respectively.


	Fiscal 2019		Fiscal 2018		Fiscal 2017
Purchases of Property and Equipment
Tommy Bahama	$	31,272	$	25,111	$	24,962
Lilly Pulitzer		4,273		10,777		11,150
Lanier Apparel		571		99		305
Southern Tide		289		149		1,138
Corporate and Other		1,016		907		1,193
Purchases of Property and Equipment	$	37,421	$	37,043	$	38,748


	February 1,		February 2,
	2020		2019
Total Assets
Tommy Bahama (1)	$	668,197	$	439,353
Lilly Pulitzer (1)		199,913		152,113
Lanier Apparel (1)		43,533		54,369
Southern Tide (1)		99,667		97,939
Corporate and Other (2)		22,059		(16,520)
Total Assets	$	1,033,369	$	727,254

(1)

(2)	Total assets for Corporate and Other include LIFO reserves of $63 million and $62 million as of February 1, 2020 and February 2, 2019, respectively. The change in total assets for Corporate and Other from February 2, 2019 was primarily due to the increased cash as of February 1, 2020.

Schedule of net book value of property and equipment by geographic area


	February 1,		February 2,
	2020		2019
Net Book Value of Property and Equipment
United States	$	187,032	$	186,426
Other foreign		4,485		6,150
	$	191,517	$	192,576

Schedule of net sales by geographic area


	Fiscal 2019		Fiscal 2018		Fiscal 2017
Net Sales
United States	$	1,086,170	$	1,067,235	$	1,048,619
Other foreign		36,620		40,231		37,592
	$	1,122,790	$	1,107,466	$	1,086,211

Schedule of net sales by operating group

The tables below quantify, for each operating group and in total, the amount of net sales by distribution channel (in thousands) and as a percentage of net sales for each period presented.


	Fiscal 2019
	Net Sales		Retail		E‑commerce		Restaurant		Wholesale		Other
Tommy Bahama	$	676,652	48	%	20	%	12	%	20	%	—	%
Lilly Pulitzer		284,700	41	%	38	%	—	%	21	%	—	%
Lanier Apparel		97,251	—	%	1	%	—	%	99	%	—	%
Southern Tide		46,409	—	%	21	%	—	%	79	%	—	%
Corporate and Other		17,778	—	%	60	%	—	%	32	%	8	%
Consolidated net sales	$	1,122,790	39	%	23	%	8	%	30	%	—	%


	Fiscal 2018
	Net Sales		Retail		E‑commerce		Restaurant		Wholesale		Other
Tommy Bahama	$	675,358	48	%	18	%	13	%	21	%	—	%
Lilly Pulitzer		272,299	42	%	36	%	—	%	22	%	—	%
Lanier Apparel		100,471	—	%	—	%	—	%	100	%	—	%
Southern Tide		45,248	—	%	18	%	—	%	82	%	—	%
Corporate and Other		14,090	—	%	54	%	—	%	30	%	16	%
Consolidated net sales	$	1,107,466	40	%	21	%	8	%	31	%	—	%


	Fiscal 2017
	Net Sales		Retail		E‑commerce		Restaurant		Wholesale		Other
Tommy Bahama	$	686,021	49	%	16	%	12	%	23	%	—	%
Lilly Pulitzer		248,931	38	%	34	%	—	%	28	%	—	%
Lanier Apparel		106,852	—	%	—	%	—	%	100	%	—	%
Southern Tide		40,940	—	%	19	%	—	%	81	%	—	%
Corporate and Other		3,467	—	%	23	%	—	%	16	%	61	%
Consolidated net sales	$	1,086,211	39	%	19	%	8	%	34	%	—	%

Property and Equipment, Net (Tables)

12 Months Ended

Feb. 01, 2020

Property and Equipment, Net

Schedule of components of property and equipment

Property and equipment, carried at cost, is summarized as follows (in thousands):


	February 1,		February 2,
	2020		2019
Land	$	3,166	$	3,166
Buildings and improvements		39,563		38,782
Furniture, fixtures, equipment and technology		240,527		223,666
Leasehold improvements		231,089		229,141
		514,345		494,755
Less accumulated depreciation and amortization		(322,828)		(302,179)
Property and equipment, net	$	191,517	$	192,576

Intangible Assets and Goodwill (Tables)

12 Months Ended

Feb. 01, 2020

Intangible Assets and Goodwill

Summary of finite-lived intangible assets by category

Intangible assets by category are summarized below (in thousands):


	February 1,		February 2,
	2020		2019
Intangible assets with finite lives	$	51,929	$	51,929
Accumulated amortization		(41,924)		(40,753)
Total intangible assets with finite lives, net		10,005		11,176

Intangible assets with indefinite lives:
Tommy Bahama Trademarks	$	110,700	$	110,700
Lilly Pulitzer Trademarks		27,500		27,500
Southern Tide Trademarks		26,800		26,800
Total intangible assets, net	$	175,005	$	176,176

Summary of indefinite-lived intangible assets by category

Intangible assets by category are summarized below (in thousands):


	February 1,		February 2,
	2020		2019
Intangible assets with finite lives	$	51,929	$	51,929
Accumulated amortization		(41,924)		(40,753)
Total intangible assets with finite lives, net		10,005		11,176

Intangible assets with indefinite lives:
Tommy Bahama Trademarks	$	110,700	$	110,700
Lilly Pulitzer Trademarks		27,500		27,500
Southern Tide Trademarks		26,800		26,800
Total intangible assets, net	$	175,005	$	176,176

Schedule of intangible assets by operating group and in total

Intangible assets, by operating group and in total, for Fiscal 2017, Fiscal 2018 and Fiscal 2019 are as follows (in thousands):


	Tommy		Lilly		Lanier		Southern		Corporate
	Bahama		Pulitzer		Apparel		Tide		and Other		Total
Balance, January 28, 2017	$	113,625	$	28,595	$	3,048	$	29,977	$	—	$	175,245
Acquisition		—		1,500		—		—		4,440		5,940
Amortization		(1,580)		(346)		(172)		(288)		(18)		(2,404)
Other, including foreign currency		112		—		(35)		—		—		77
Balance February 3, 2018		112,157		29,749		2,841		29,689		4,422		178,858
Acquisition		—		—		—		—		—		—
Amortization		(1,385)		(533)		(171)		(288)		(233)		(2,610)
Other, including foreign currency		(72)		—		—		—		—		(72)
Balance, February 2, 2019		110,700		29,216		2,670		29,401		4,189		176,176
Acquisition		—		—		—		—		—		—
Amortization		—		(475)		(171)		(291)		(234)		(1,171)
Other, including foreign currency		—		—		—		—		—		—
Balance, February 1, 2020	$	110,700	$	28,741	$	2,499	$	29,110	$	3,955	$	175,005

Schedule of goodwill by operating group and in total

Goodwill, by operating group and in total, for Fiscal 2017, Fiscal 2018 and Fiscal 2019 is as follows (in thousands):


	Tommy		Lilly		Southern		Corporate
	Bahama		Pulitzer		Tide		and Other		Total
Balance, January 28, 2017	$	775	$	16,495	$	42,745	$	—	$	60,015
Acquisition		—		3,027		—		3,615		6,642
Other, including foreign currency		46		—		—		—		46
Balance February 3, 2018		821		19,522		42,745		3,615		66,703
Acquisition		—		—		—		—		—
Other, including foreign currency		(67)		—		—		(15)		(82)
Balance, February 2, 2019		754		19,522		42,745		3,600		66,621
Acquisition		—		—		—		—		—
Other, including foreign currency		(43)		—		—		—		(43)
Balance, February 1, 2020	$	711	$	19,522	$	42,745	$	3,600	$	66,578

Leases (Tables)

12 Months Ended

Feb. 01, 2020

Leases

Schedule of lease liability payments


	Operating lease
2020	$	64,141
2021		67,213
2022		63,248
2023		59,444
2024		45,972
After 2024		96,914
Total lease payments	$	396,932
Less: Difference between discounted and undiscounted lease payments		54,848
Present value of lease liabilities	$	342,084

Shareholders' Equity (Tables)

12 Months Ended

Feb. 01, 2020

Shareholders' Equity

Summary of the restricted share award activity


	Fiscal 2019			Fiscal 2018			Fiscal 2017
		Weighted-			Weighted-			Weighted-
		average			average			average
	Number of	grant date		Number of	grant date		Number of	grant date
	Shares	fair value		Shares	fair value		Shares	fair value
Restricted share awards outstanding at beginning of fiscal year	257,890	$	66	211,045	$	63	228,682	$	69
Service-based restricted share awards granted/issued	42,573	$	76	49,726	$	79	58,753	$	56
Performance-based restricted share awards issued related to prior year performance awards	43,152	$	79	72,427	$	57	30,443	$	76
Restricted share awards vested, including restricted shares repurchased from employees for employees’ tax liability	(87,252)	$	71	(73,408)	$	58	(92,239)	$	78
Restricted share awards forfeited	(4,439)		69	(1,900)		62	(14,594)		58
Restricted share awards outstanding at end of fiscal year	251,924	$	68	257,890	$	66	211,045	$	63

Summary of information about the unvested restricted share awards


	Number of	Average
	Unvested	Market
	Share	Price on
Description	Awards	Date of Grant
Service-based & Performance-based Restricted Share Awards Vesting in April 2020	114,003	$	58
Service-based & Performance-based Restricted Share Awards Vesting in April 2021	83,248	$	76
Service-based Restricted Share Awards Vesting in April 2022	54,673	$	75
Total	251,924

Income Taxes (Tables)

12 Months Ended

Feb. 01, 2020

Income Taxes

Summary of distribution between domestic and foreign earnings (loss) before income taxes

The following table summarizes our distribution between domestic and foreign earnings (loss) before income taxes and the provision (benefit) for income taxes (in thousands):


	Fiscal		Fiscal		Fiscal
	2019		2018		2017
Earnings from continuing operations before income taxes:
Domestic	$	86,528	$	85,050	$	78,707
Foreign		5,902		3,259		4,184
Earnings from continuing operations before income taxes	$	92,430	$	88,309	$	82,891

Income taxes:
Current:
Federal	$	18,565	$	12,543	$	11,710
State		5,459		4,474		3,775
Foreign		1,650		1,979		707
		25,674		18,996		16,192
Deferred—Domestic		(1,870)		3,141		1,690
Deferred—Foreign		133		(119)		308
Income taxes	$	23,937	$	22,018	$	18,190

Summary of provision (benefit) for income taxes

The following table summarizes our distribution between domestic and foreign earnings (loss) before income taxes and the provision (benefit) for income taxes (in thousands):


	Fiscal		Fiscal		Fiscal
	2019		2018		2017
Earnings from continuing operations before income taxes:
Domestic	$	86,528	$	85,050	$	78,707
Foreign		5,902		3,259		4,184
Earnings from continuing operations before income taxes	$	92,430	$	88,309	$	82,891

Income taxes:
Current:
Federal	$	18,565	$	12,543	$	11,710
State		5,459		4,474		3,775
Foreign		1,650		1,979		707
		25,674		18,996		16,192
Deferred—Domestic		(1,870)		3,141		1,690
Deferred—Foreign		133		(119)		308
Income taxes	$	23,937	$	22,018	$	18,190

Schedule of reconciliations of the United States federal statutory income tax rates and the entity's effective tax rates


	Fiscal		Fiscal		Fiscal
	2019		2018		2017
Statutory tax rate ⁽¹⁾	21.0	%	21.0	%	33.7	%
State income taxes—net of federal income tax benefit	4.4	%	4.6	%	3.6	%
Impact of foreign operations rate differential ⁽²⁾	0.2	%	0.7	%	(0.6)	%
Valuation allowance for foreign losses and other carry-forwards ⁽³⁾	0.1	%	(0.1)	%	1.1	%
Impact of U.S. Tax Reform on deferred tax amounts ⁽⁴⁾	—	%	—	%	(14.4)	%
Other, net	0.2	%	(1.3)	%	(1.5)	%
Effective tax rate for continuing operations	25.9	%	24.9	%	21.9	%

(1)	The statutory tax rate for Fiscal 2019 and Fiscal 2018 reflects the federal corporate tax rate of 21%. Fiscal 2017 is a blended rate that reflects the reduction of the federal corporate marginal tax rate effective January 1, 2018 as a result of U.S. Tax Reform.

(2)	Impact of foreign operations rate differential primarily reflects the rate differential between the United States and the respective foreign jurisdictions for any foreign income or losses, and the impact of any permanent differences.

(3)

(4)

Schedule of deferred tax assets and liabilities

Deferred tax assets and liabilities included in our consolidated balance sheets are comprised of the following (in thousands):


	February 1,		February 2,
	2020		2019
Deferred Tax Assets:
Inventories	$	13,067	$	13,210
Accrued compensation and benefits		8,977		8,096
Receivable allowances and reserves		993		890
Operating lease liabilities		85,969		3,371
Operating loss and other carry-forwards		3,171		2,785
Other, net		1,546		4,122
Deferred tax assets		113,723		32,474
Deferred Tax Liabilities:
Operating lease assets		(82,186)		—
Depreciation and amortization		(8,076)		(11,917)
Acquired intangible assets		(34,019)		(32,913)
Deferred tax liabilities		(124,281)		(44,830)
Valuation allowance		(5,213)		(5,103)
Net deferred tax liability	$	(15,771)	$	(17,459)

Schedule of deferred income taxes included in the line items in the entity's consolidated balance sheets

The amounts of deferred income taxes included in our consolidated balance sheets are as follows (in thousands):


	February 1,		February 2,
	2020		2019
Assets:
Deferred tax assets	$	769	$	952
Liabilities:
Deferred tax liabilities		(16,540)		(18,411)
Net deferred tax liability	$	(15,771)	$	(17,459)

Summarized Quarterly Data (unaudited) (Tables)

12 Months Ended

Feb. 01, 2020

Summarized Quarterly Data (unaudited)

Summary of quarterly results


	First		Second		Third		Fourth
	Quarter		Quarter		Quarter		Quarter		Total⁽¹⁾
Fiscal 2019
Net sales	$	281,973	$	302,000	$	241,221	$	297,596	$	1,122,790
Gross profit	$	165,769	$	179,825	$	132,980	$	166,393	$	644,967
Operating income	$	29,742	$	40,259	$	2,594	$	21,080	$	93,675
Net earnings	$	21,657	$	29,836	$	1,668	$	15,332	$	68,493
Net earnings per share:
Basic	$	1.30	$	1.78	$	0.10	$	0.91	$	4.09
Diluted	$	1.29	$	1.76	$	0.10	$	0.90	$	4.05
Weighted average shares outstanding:
Basic		16,713		16,760		16,773		16,779		16,756
Diluted		16,848		16,907		16,934		16,965		16,914
Fiscal 2018
Net sales	$	272,628	$	302,641	$	233,662	$	298,535	$	1,107,466
Gross profit	$	164,146	$	179,297	$	129,279	$	164,402	$	637,124
Operating income	$	28,373	$	36,513	$	3,705	$	22,001	$	90,592
Net earnings	$	20,567	$	27,184	$	1,861	$	16,679	$	66,291
Net earnings per share:
Basic	$	1.24	$	1.63	$	0.11	$	1.00	$	3.97
Diluted	$	1.23	$	1.61	$	0.11	$	0.99	$	3.94
Weighted average shares outstanding:
Basic		16,639		16,683		16,694		16,698		16,678
Diluted		16,769		16,840		16,870		16,890		16,842

(1)	The sum of the quarterly net earnings per share amounts may not equal the amount for the year due to rounding.

Business Combinations (Tables) - Fiscal 2017 Business Combinations

12 Months Ended

Feb. 01, 2020

Business combinations

Schedule of allocation of the purchase price

The following table summarizes our allocation of the purchase price for the Fiscal 2017 acquisitions, in the aggregate (in thousands):


	Fiscal 2017 acquisitions
Cash and cash equivalents	$	406
Inventories ⁽¹⁾		3,910
Prepaid expenses and other current assets		595
Property and equipment		682
Intangible assets		5,940
Goodwill		6,642
Accounts payable, accrued expenses and other liabilities		(640)
Purchase price ⁽²⁾	$	17,535

(1)

(2)

Schedule of intangible assets allocated in connection with purchase price

Intangible assets allocated in connection with our purchase price allocation consisted of the following (in thousands):


		Fiscal 2017
	Useful life	acquisitions
Finite lived intangible assets acquired:
Trade names and trademarks	20 years	$	4,220
Other intangible assets including reacquired rights, customer relationships and non-compete agreements	3 - 10 years	$	1,720
		$	5,940

Summary of Significant Accounting Policies - Fiscal Year and Principles of Consolidation (Details)	3 Months Ended									12 Months Ended
	Feb. 01, 2020	Nov. 02, 2019	Aug. 03, 2019	May 04, 2019	Feb. 02, 2019	Nov. 03, 2018	Aug. 04, 2018	May 05, 2018	Feb. 03, 2018	Jan. 30, 2021	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Fiscal Year
Length of fiscal period	91 days	91 days	91 days	91 days	91 days	91 days	91 days	91 days	98 days		364 days	364 days	371 days
Principles of Consolidation
Ownership threshold for determining significant influence over a corporation (as a percent)											20.00%
Ownership threshold for determining significant influence over a limited liability company (as a percent)											3.00%
Forecast
Fiscal Year
Length of fiscal period										364 days
Minimum
Fiscal Year
Length of fiscal period											364 days
Maximum
Fiscal Year
Length of fiscal period											371 days

Summary of Significant Accounting Policies - Revenue Recognition (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Feb. 01, 2020	Nov. 02, 2019	Aug. 03, 2019	May 04, 2019	Feb. 02, 2019	Nov. 03, 2018	Aug. 04, 2018	May 05, 2018	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Revenue
Net sales	$ 297,596	$ 241,221	$ 302,000	$ 281,973	$ 298,535	$ 233,662	$ 302,641	$ 272,628	$ 1,122,790	$ 1,107,466	$ 1,086,211
Retail
Revenue
Net sales									440,803	439,556	427,439
E-commerce
Revenue
Net sales									262,283	239,034	205,475
Restaurant
Revenue
Net sales									83,836	84,530	83,900
Wholesale
Revenue
Net sales									333,986	341,615	366,123
Other
Revenue
Net sales									$ 1,882	$ 2,731	$ 3,274

Summary of Significant Accounting Policies - Receivables (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Feb. 01, 2020	Nov. 02, 2019	Aug. 03, 2019	May 04, 2019	Feb. 02, 2019	Nov. 03, 2018	Aug. 04, 2018	May 05, 2018	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Receivables
Receivable reserve amount	$ 9,000				$ 7,000				$ 9,000	$ 7,000
Allowance for doubtful accounts receivable	1,000				1,000				1,000	1,000
Income tax receivable	1,000				1,000				1,000	1,000
Tenant allowances receivable	1,000				0				1,000	0
Value of inventory for wholesale and direct to consumer sales returns	3,000				2,000				3,000	2,000
Sales return liability	3,000								$ 3,000
Redemption period of gift card and merchandise credit									1 year
Contract liabilities	12,000								$ 12,000
Net sales	$ 297,596	$ 241,221	$ 302,000	$ 281,973	$ 298,535	$ 233,662	$ 302,641	$ 272,628	1,122,790	1,107,466	$ 1,086,211
Royalty income									15,000	14,000	14,000
Gift Card Breakage
Receivables
Net sales									$ 2,000	$ 0	$ 1,000

Summary of Significant Accounting Policies - SG&A (Details) - USD ($) $ in Millions	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Prepaid expenses
SG&A
Prepaid advertising, promotions and marketing expenses	$ 5	$ 5
SG&A
SG&A
Distribution network costs	30	28	$ 25
Advertising, promotions and marketing expenses	60	64	55
Royalty expenses	$ 7	$ 6	$ 6

Summary of Significant Accounting Policies - Cash and Cash Equivalents and Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Cash and Cash Equivalents
Cash and cash equivalents	$ 52,460	$ 8,327
Supplemental Cash Flow Information
Cash paid for income taxes	17,000	14,000	$ 21,000
Cash paid for interest, net of interest income	1,000	2,000	3,000
Capital expenditures incurred but not yet paid	3,000	$ 2,000	$ 1,000
Non-cash change in operating lease liabilities	40,000
Money Market Funds
Cash and Cash Equivalents
Cash and cash equivalents	$ 45,000

Summary of Significant Accounting Policies - Inventories, net (Details) - USD ($) $ in Millions	Feb. 01, 2020	Feb. 02, 2019
Inventories, net
Inventories which are valued at the lower of LIFO cost or market after deducting LIFO reserve	$ 145	$ 150
Inventories which are valued at the lower of LIFO cost or market (as a percent)	95.00%	93.00%
Inventories which are valued at the lower of FIFO cost or market	$ 7	$ 11
LIFO reserve	$ 63	$ 62

Summary of Significant Accounting Policies - Property and Equipment, net (Details) - USD ($) $ in Millions	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
SG&A
Property and Equipment, net
Fixed asset impairment charges	$ 1	$ 1	$ 1
Furniture, fixtures, equipment and technology \| Minimum
Property and Equipment, net
Estimated useful lives	2 years
Furniture, fixtures, equipment and technology \| Maximum
Property and Equipment, net
Estimated useful lives	15 years
Buildings and improvements \| Minimum
Property and Equipment, net
Estimated useful lives	7 years
Buildings and improvements \| Maximum
Property and Equipment, net
Estimated useful lives	40 years

Summary of Significant Accounting Policies - Intangible Assets and Goodwill, net (Details) - USD ($) $ in Millions	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Intangible Assets, net
Impairment of intangible assets with indefinite lives	$ 0	$ 0	$ 0
Impairment of intangible assets with finite lives	0	0	0
Goodwill, net
Impairment of goodwill	$ 0	$ 0	$ 0
Maximum
Intangible Assets, net
Finite lived intangible assets amortization period	20 years

Summary of Significant Accounting Policies - Prepaid Expenses and Other Non-Current Assets, net and Deferred Compensation (Details) - USD ($) $ in Millions	Feb. 01, 2020	Feb. 02, 2019
Prepaid Expenses and Other Non-Current Assets, net
Officers' life insurance policies	$ 4	$ 4
Unamortized deferred financing costs	2	1
Deferred Compensation
Deferred compensation investments included in other non-current assets	15	13
Liabilities associated with the non-qualified deferred compensation plan	$ 15	$ 13

Summary of Significant Accounting Policies - Legal and Other Contingencies and Other Non-current Liabilities (Details) - USD ($) $ in Millions	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Other Non-current Liabilities
Deferred rent and tenant improvement allowances, non-current		$ 59
TBBC
Business Combinations
Business combination, contingent consideration arrangements, change in amount of contingent consideration, asset		1	$ 0
Contingent consideration	$ 1	$ 1
TBBC \| Maximum
Business Combinations
Business combination, contingent consideration arrangements, change in amount of contingent consideration, asset	$ 1

Summary of Significant Accounting Policies - Leases and Foreign Currency (Details) - USD ($) $ in Millions	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Operating leases
Deferred rent and tenant improvement allowances		$ 61
Foreign Currency
Net losses (gains) on foreign currency transactions	$ 1	$ 0	$ 0
Comprehensive Income and Accumulated Other Comprehensive Loss
Foreign currency charge previously recognized in AOCL	$ 1
Maximum \| Real Estate
Operating leases
Lease term	10 years

Summary of Significant Accounting Policies - Concentration of Credit Risk and Significant Customers (Details) $ in Thousands	12 Months Ended
	Feb. 01, 2020 USD ($) customer	Feb. 02, 2019 USD ($)
Cash and cash equivalents
Cash and cash equivalents	$ 52,460	$ 8,327
Money Market Funds
Cash and cash equivalents
Cash and cash equivalents	$ 45,000
Accounts receivable \| Customer concentration risk
Concentration of Credit Risk and Significant Customers
Number of customers \| customer	2
Accounts receivable \| Customer concentration risk \| Customer One and Customer Two
Concentration of Credit Risk and Significant Customers
Concentration risk, percentage	35.00%
Accounts receivable \| Customer concentration risk \| Minimum \| Customer One
Concentration of Credit Risk and Significant Customers
Concentration risk, percentage	10.00%
Accounts receivable \| Customer concentration risk \| Minimum \| Customer Two
Concentration of Credit Risk and Significant Customers
Concentration risk, percentage	10.00%

Summary of Significant Accounting Policies - Income Taxes (Details) - USD ($) $ in Thousands				12 Months Ended
	Feb. 04, 2018	Jan. 01, 2018	Dec. 31, 2017	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Income taxes
Unrecognized tax benefits				$ 1,000	$ 1,000
Domestic corporate tax rate
Statutory rate (as a percent)		21.00%	35.00%	21.00%	21.00%	33.70%
Cumulative effect of change in accounting standard					$ (117)
Retained earnings				$ 366,793	323,515
Maximum
Income taxes
Change in unrecognized tax benefits				$ 1,000	$ 1,000	$ 1,000
ASU 2016-16 - Intra-Entity Transfers of Assets Other Than Inventory
Domestic corporate tax rate
Cumulative effect of change in accounting standard	$ (100)

Summary of Significant Accounting Policies - Accounting Standards Adopted (Details)	Feb. 03, 2019
Accounting Standards Adopted
Leases practical expedients package adopted	true
Leases practical expedient use of hindsight adopted	false
ASU 2016-02 - Leases
Accounting Standards Adopted
Change in Accounting Principle, Accounting Standards Update, Adopted	true

Operating Group Information - Financial information (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Feb. 01, 2020	Nov. 02, 2019	Aug. 03, 2019	May 04, 2019	Feb. 02, 2019	Nov. 03, 2018	Aug. 04, 2018	May 05, 2018	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Operating groups
Net sales	$ 297,596	$ 241,221	$ 302,000	$ 281,973	$ 298,535	$ 233,662	$ 302,641	$ 272,628	$ 1,122,790	$ 1,107,466	$ 1,086,211
Depreciation and amortization									40,287	42,490	42,402
Operating income	21,080	$ 2,594	$ 40,259	$ 29,742	22,001	$ 3,705	$ 36,513	$ 28,373	93,675	90,592	86,000
Interest expense, net									1,245	2,283	3,109
Earnings before income taxes									92,430	88,309	82,891
LIFO accounting charge (credit)	$ 1,000				$ 1,000				1,000	1,000
Corporate and Other
Operating groups
Net sales									17,778	14,090	3,467
Depreciation and amortization									1,206	1,241	1,359
Operating income									(18,346)	(20,506)	(26,660)
LIFO accounting charge (credit)									1,000	1,000	8,000
Tommy Bahama \| Operating Segments
Operating groups
Net sales									676,652	675,358	686,021
Depreciation and amortization									27,852	29,549	30,998
Operating income									53,207	53,139	55,002
Lilly Pulitzer \| Operating Segments
Operating groups
Net sales									284,700	272,299	248,931
Depreciation and amortization									10,106	10,605	9,021
Operating income									51,795	47,239	46,608
Lanier Apparel \| Operating Segments
Operating groups
Net sales									97,251	100,471	106,852
Depreciation and amortization									574	567	583
Operating income									1,465	5,057	6,546
Southern Tide \| Operating Segments
Operating groups
Net sales									46,409	45,248	40,940
Depreciation and amortization									549	528	441
Operating income									$ 5,554	$ 5,663	$ 4,504

Operating Groups- Purchases of P&E (Details) - USD ($) $ in Thousands	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Operating groups
Purchases of Property and Equipment	$ 37,421	$ 37,043	$ 38,748
Corporate and Other
Operating groups
Purchases of Property and Equipment	1,016	907	1,193
Tommy Bahama \| Operating Segments
Operating groups
Purchases of Property and Equipment	31,272	25,111	24,962
Lilly Pulitzer \| Operating Segments
Operating groups
Purchases of Property and Equipment	4,273	10,777	11,150
Lanier Apparel \| Operating Segments
Operating groups
Purchases of Property and Equipment	571	99	305
Southern Tide \| Operating Segments
Operating groups
Purchases of Property and Equipment	$ 289	$ 149	$ 1,138

Operating Groups - Assets (Details) - USD ($) $ in Thousands	Feb. 01, 2020	Feb. 02, 2019
Operating groups
Total Assets	$ 1,033,369	$ 727,254
LIFO reserve	63,000	62,000
Corporate and Other
Operating groups
Total Assets	22,059	(16,520)
LIFO reserve	63,000	62,000
Tommy Bahama \| Operating Segments
Operating groups
Total Assets	668,197	439,353
Lilly Pulitzer \| Operating Segments
Operating groups
Total Assets	199,913	152,113
Lanier Apparel \| Operating Segments
Operating groups
Total Assets	43,533	54,369
Southern Tide \| Operating Segments
Operating groups
Total Assets	$ 99,667	$ 97,939

Operating Groups - Assets and sales by geographic area (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Feb. 01, 2020	Nov. 02, 2019	Aug. 03, 2019	May 04, 2019	Feb. 02, 2019	Nov. 03, 2018	Aug. 04, 2018	May 05, 2018	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Geographic area
Net book value of property and equipment	$ 191,517				$ 192,576				$ 191,517	$ 192,576
Net sales	297,596	$ 241,221	$ 302,000	$ 281,973	298,535	$ 233,662	$ 302,641	$ 272,628	1,122,790	1,107,466	$ 1,086,211
United States
Geographic area
Net book value of property and equipment	187,032				186,426				187,032	186,426
Net sales									1,086,170	1,067,235	1,048,619
Other foreign
Geographic area
Net book value of property and equipment	$ 4,485				$ 6,150				4,485	6,150
Net sales									$ 36,620	$ 40,231	$ 37,592

Operating Group Information - Sales by operating group (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Feb. 01, 2020	Nov. 02, 2019	Aug. 03, 2019	May 04, 2019	Feb. 02, 2019	Nov. 03, 2018	Aug. 04, 2018	May 05, 2018	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Operating groups
Net sales	$ 297,596	$ 241,221	$ 302,000	$ 281,973	$ 298,535	$ 233,662	$ 302,641	$ 272,628	$ 1,122,790	$ 1,107,466	$ 1,086,211
Operating Segments \| Tommy Bahama
Operating groups
Net sales									676,652	675,358	686,021
Operating Segments \| Lilly Pulitzer
Operating groups
Net sales									284,700	272,299	248,931
Operating Segments \| Lanier Apparel
Operating groups
Net sales									97,251	100,471	106,852
Operating Segments \| Southern Tide
Operating groups
Net sales									46,409	45,248	40,940
Corporate and Other
Operating groups
Net sales									17,778	14,090	3,467
Retail
Operating groups
Net sales									$ 440,803	$ 439,556	$ 427,439
Net sales (as a percent)									39.00%	40.00%	39.00%
Retail \| Operating Segments \| Tommy Bahama
Operating groups
Net sales (as a percent)									48.00%	48.00%	49.00%
Retail \| Operating Segments \| Lilly Pulitzer
Operating groups
Net sales (as a percent)									41.00%	42.00%	38.00%
E-commerce
Operating groups
Net sales									$ 262,283	$ 239,034	$ 205,475
Net sales (as a percent)									23.00%	21.00%	19.00%
E-commerce \| Operating Segments \| Tommy Bahama
Operating groups
Net sales (as a percent)									20.00%	18.00%	16.00%
E-commerce \| Operating Segments \| Lilly Pulitzer
Operating groups
Net sales (as a percent)									38.00%	36.00%	34.00%
E-commerce \| Operating Segments \| Lanier Apparel
Operating groups
Net sales (as a percent)									1.00%
E-commerce \| Operating Segments \| Southern Tide
Operating groups
Net sales (as a percent)									21.00%	18.00%	19.00%
E-commerce \| Corporate and Other
Operating groups
Net sales (as a percent)									60.00%	54.00%	23.00%
Restaurant
Operating groups
Net sales									$ 83,836	$ 84,530	$ 83,900
Net sales (as a percent)									8.00%	8.00%	8.00%
Restaurant \| Operating Segments \| Tommy Bahama
Operating groups
Net sales (as a percent)									12.00%	13.00%	12.00%
Wholesale
Operating groups
Net sales									$ 333,986	$ 341,615	$ 366,123
Net sales (as a percent)									30.00%	31.00%	34.00%
Wholesale \| Operating Segments \| Tommy Bahama
Operating groups
Net sales (as a percent)									20.00%	21.00%	23.00%
Wholesale \| Operating Segments \| Lilly Pulitzer
Operating groups
Net sales (as a percent)									21.00%	22.00%	28.00%
Wholesale \| Operating Segments \| Lanier Apparel
Operating groups
Net sales (as a percent)									99.00%	100.00%	100.00%
Wholesale \| Operating Segments \| Southern Tide
Operating groups
Net sales (as a percent)									79.00%	82.00%	81.00%
Wholesale \| Corporate and Other
Operating groups
Net sales (as a percent)									32.00%	30.00%	16.00%
Other
Operating groups
Net sales									$ 1,882	$ 2,731	$ 3,274
Other \| Corporate and Other
Operating groups
Net sales (as a percent)									8.00%	16.00%	61.00%

Property and Equipment, Net (Details) - USD ($) $ in Thousands	Feb. 01, 2020	Feb. 02, 2019
Property and Equipment, net
Property and equipment, gross	$ 514,345	$ 494,755
Less accumulated depreciation and amortization	(322,828)	(302,179)
Property and equipment, net	191,517	192,576
Land
Property and Equipment, net
Property and equipment, gross	3,166	3,166
Buildings and improvements
Property and Equipment, net
Property and equipment, gross	39,563	38,782
Furniture, fixtures, equipment and technology
Property and Equipment, net
Property and equipment, gross	240,527	223,666
Leasehold improvements
Property and Equipment, net
Property and equipment, gross	$ 231,089	$ 229,141

Intangible Assets and Goodwill - By category (Details) - USD ($) $ in Thousands	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018	Jan. 28, 2017
Intangible assets with finite lives
Intangible assets with finite lives	$ 51,929	$ 51,929
Accumulated amortization	(41,924)	(40,753)
Total intangible assets with finite lives, net	10,005	11,176
Intangible assets with indefinite lives:
Total intangible assets, net	175,005	176,176	$ 178,858	$ 175,245
Trademarks \| Tommy Bahama
Intangible assets with indefinite lives:
Intangible assets with indefinite lives	110,700	110,700
Trademarks \| Lilly Pulitzer
Intangible assets with indefinite lives:
Intangible assets with indefinite lives	27,500	27,500
Trademarks \| Southern Tide
Intangible assets with indefinite lives:
Intangible assets with indefinite lives	$ 26,800	$ 26,800

Intangible Assets and Goodwill - By operating group (Details) - USD ($) $ in Thousands	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Changes in carrying amount of intangible assets
Balance at the beginning of the period	$ 176,176	$ 178,858	$ 175,245
Acquisition			5,940
Amortization	(1,171)	(2,610)	(2,404)
Other, including foreign currency		(72)	77
Balance at the end of the period	175,005	176,176	178,858
Operating Segments \| Tommy Bahama
Changes in carrying amount of intangible assets
Balance at the beginning of the period	110,700	112,157	113,625
Amortization		(1,385)	(1,580)
Other, including foreign currency		(72)	112
Balance at the end of the period	110,700	110,700	112,157
Operating Segments \| Lilly Pulitzer
Changes in carrying amount of intangible assets
Balance at the beginning of the period	29,216	29,749	28,595
Acquisition			1,500
Amortization	(475)	(533)	(346)
Balance at the end of the period	28,741	29,216	29,749
Operating Segments \| Lanier Apparel
Changes in carrying amount of intangible assets
Balance at the beginning of the period	2,670	2,841	3,048
Amortization	(171)	(171)	(172)
Other, including foreign currency			(35)
Balance at the end of the period	2,499	2,670	2,841
Operating Segments \| Southern Tide
Changes in carrying amount of intangible assets
Balance at the beginning of the period	29,401	29,689	29,977
Amortization	(291)	(288)	(288)
Balance at the end of the period	29,110	29,401	29,689
Corporate and Other
Changes in carrying amount of intangible assets
Balance at the beginning of the period	4,189	4,422
Acquisition			4,440
Amortization	(234)	(233)	(18)
Balance at the end of the period	$ 3,955	$ 4,189	$ 4,422

Intangible Assets and Goodwill - Amortization expense (Details) $ in Millions	Feb. 01, 2020 USD ($)
Expected amortization expense
Fiscal 2020	$ 1
Fiscal 2021	1
Fiscal 2022	1
Fiscal 2023	1
Fiscal 2024	$ 1

Intangible Assets and Goodwill - Goodwill (Details) - USD ($) $ in Thousands	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Changes in the carrying amount of goodwill
Balance at the beginning of the period	$ 66,621	$ 66,703	$ 60,015
Other, including foreign currency	(43)	(82)	46
Acquisition			6,642
Balance at the end of the period	66,578	66,621	66,703
Operating Segments \| Tommy Bahama
Changes in the carrying amount of goodwill
Balance at the beginning of the period	754	821	775
Other, including foreign currency	(43)	(67)	46
Balance at the end of the period	711	754	821
Operating Segments \| Lilly Pulitzer
Changes in the carrying amount of goodwill
Balance at the beginning of the period	19,522	19,522	16,495
Acquisition			3,027
Balance at the end of the period	19,522	19,522	19,522
Operating Segments \| Southern Tide
Changes in the carrying amount of goodwill
Balance at the beginning of the period	42,745	42,745	42,745
Balance at the end of the period	42,745	42,745	42,745
Corporate and Other
Changes in the carrying amount of goodwill
Balance at the beginning of the period	3,600	3,615
Other, including foreign currency		(15)
Acquisition			3,615
Balance at the end of the period	$ 3,600	$ 3,600	$ 3,615

Debt (Details) - US Revolving Credit Agreement - USD ($) $ in Millions	12 Months Ended
	Feb. 01, 2020	Aug. 03, 2019	Feb. 02, 2019
Debt
Maximum borrowing capacity		$ 325.0
Debt outstanding	$ 0.0		$ 13.0
Letters of credit outstanding	3.0
Unused availability	$ 322.0
Covenants, Other Restrictions and Prepayment Penalties
Consecutive period during which if threshold is not reached then specified fixed charge coverage ratio must be maintained	3 days
Threshold amount of unused availability for specified fixed charge coverage ratio	$ 23.5
Threshold percentage of total revolving commitments for specified fixed charge coverage ratio	10.00%
Trailing fiscal period used in calculating the fixed charge coverage ratio under financial covenants	12 months
Period during which percentage of total revolving commitments are required to be maintained	30 days
Minimum
Covenants, Other Restrictions and Prepayment Penalties
Fixed charge coverage ratio	1.0

Leases - Cost (Details) $ in Millions	12 Months Ended
Leases - Cost (Details) $ in Millions	Feb. 01, 2020 USD ($)
Leases
Operating lease expense	$ 66
Variable lease cost	34
Total lease cost	$ 99
Weighted average remaining lease term	7 years
Weighted average discount rate (as a percent)	4.00%
Cash paid for lease liabilities	$ 70

Leases - Lease liability payment schedule CY (Details) $ in Thousands	Feb. 01, 2020 USD ($)
Required lease liability payments due
Fiscal 2020	$ 64,141
Fiscal 2021	67,213
Fiscal 2022	63,248
Fiscal 2023	59,444
Fiscal 2024	45,972
After Fiscal 2024	96,914
Total lease payments	396,932
Less: Difference between discounted and undiscounted lease payments	54,848
Present value of lease liabilities	342,084
Operating lease commitments not yet commenced
Operating lease commitments not yet commenced	$ 4,000
Maximum
Operating lease commitments not yet commenced
Term of lease commitments not yet commenced	10 years

Leases - Lease liability payment schedule PY (Details) $ in Millions	12 Months Ended
	Feb. 02, 2019 USD ($)
Leases
Total rent expense	$ 96
Charges included in rent expense	28
Fiscal 2019	68
Fiscal 2020	66
Fiscal 2021	62
Fiscal 2022	59
Fiscal 2023	51
Thereafter	$ 124

Commitments and Contingencies - Royalty and advertising (Details) - Royalty and advertising payments $ in Millions	Feb. 01, 2020 USD ($)
Commitments
Fiscal 2020	$ 6
Fiscal 2021	4
Fiscal 2022	0
Fiscal 2023	0
Fiscal 2024	0
Thereafter	$ 0

Commitments and Contingencies - Environmental remediation (Details) $ in Millions	Feb. 01, 2020 USD ($) property	Feb. 02, 2019 USD ($)
Remediation activities
Number of properties on which presence of hazardous waste was discovered \| property	1
Maximum
Remediation activities
Reserve for the remediation \| $	$ 1	$ 1

Commitments and Contingencies - Underpaid custom duties (Details) $ in Millions	12 Months Ended
	Jan. 28, 2017 USD ($)
Underpaid Customs Duties
Contingencies
Loss contingency, loss in period	$ 1

Commitments and Contingencies - Contingent consideration (Details) - TBBC $ in Millions	12 Months Ended
	Feb. 03, 2018 USD ($) individual	Feb. 01, 2020 USD ($)	Feb. 02, 2019 USD ($)
Business combination
Contingent consideration, High end of range	$ 4
Period over which contingent consideration will be payable	4 years
Number of sellers that is an employee \| individual	1
Maximum
Business combination
Contingent consideration earned, payable next fiscal year		$ 1	$ 1

Shareholders' Equity - Common Stock (Details) - $ / shares	Feb. 01, 2020	Feb. 02, 2019
Common Stock
Common stock authorized for issuance (in shares)	60,000,000	60,000,000
Common stock par value (in dollars per share)	$ 1.00	$ 1.00
Common stock issued (in shares)	17,000,000	17,000,000
Common stock outstanding (in shares)	17,000,000	17,000,000

Shareholders' Equity - Long-Term Stock Incentive Plan, Restricted share award activity (Details) - USD ($)	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Restricted share awards \| Officers and other key employees
Number of Shares
Restricted share awards outstanding at end of fiscal year	251,924
Long-Term Stock Incentive Plan
Shareholders Equity
Additional grants available under the previous plans (in shares)	0
Long-Term Stock Incentive Plan \| Maximum
Shareholders Equity
Share awards available for issuance	1,000,000
Long-Term Stock Incentive Plan \| Restricted share awards \| Officers and other key employees
Number of Shares
Restricted share awards outstanding at beginning of fiscal year	257,890	211,045	228,682
Restricted share awards vested, including restricted shares repurchased from employees for employees' tax liability	(87,252)	(73,408)	(92,239)
Restricted share awards forfeited	(4,439)	(1,900)	(14,594)
Restricted share awards outstanding at end of fiscal year	251,924	257,890	211,045
Weighted-average grant date fair value
Restricted share awards outstanding at beginning of fiscal year (in dollars per share)	$ 66	$ 63	$ 69
Restricted share awards vested, including restricted shares repurchased from employees for employees' tax liability (in dollars per share)	71	58	78
Restricted share awards forfeited (in dollars per share)	69	62	58
Restricted share awards outstanding at end of fiscal year (in dollars per share)	$ 68	$ 66	$ 63
Long-Term Stock Incentive Plan \| Restricted share awards \| Minimum \| Officers and other key employees
Shareholders Equity
Vesting period	3 years
Long-Term Stock Incentive Plan \| Restricted share awards \| Maximum \| Officers and other key employees
Shareholders Equity
Vesting period	4 years
Long-Term Stock Incentive Plan \| Service-based restricted share awards \| Officers and other key employees
Number of Shares
Restricted share awards granted/issued	42,573	49,726	58,753
Weighted-average grant date fair value
Restricted share awards granted (in dollars per share)	$ 76	$ 79	$ 56
Long-Term Stock Incentive Plan \| Performance-based restricted share awards \| Officers and other key employees
Number of Shares
Restricted share awards issued	$ 43,152	$ 72,427	$ 30,443
Weighted-average grant date fair value
Restricted share awards granted (in dollars per share)	$ 79	$ 57	$ 76

Shareholders' Equity - Restricted shares vesting (Details) - Officers and other key employees $ / shares in Units, $ in Millions	12 Months Ended
	Feb. 01, 2020 USD ($) $ / shares shares
Restricted share awards
Shareholders Equity
Number of Shares	251,924
Unrecognized compensation expense related to unvested share-based restricted stock awards and the unvested restricted share units (in dollars) \| $	$ 8
Weighted average remaining life of the outstanding awards	1 year
Restricted share awards, Vesting in April 2020
Shareholders Equity
Number of Shares	114,003
Average Market Price on Date of Grant (in dollars per share) \| $ / shares	$ 58
Restricted share awards, Vesting in April 2021
Shareholders Equity
Number of Shares	83,248
Average Market Price on Date of Grant (in dollars per share) \| $ / shares	$ 76
Restricted share awards, Vesting based on service, Vesting in April 2022
Shareholders Equity
Number of Shares	54,673
Average Market Price on Date of Grant (in dollars per share) \| $ / shares	$ 75
Restricted share award, Vesting based on performance, Vesting in April 2022
Shareholders Equity
Earned but not issued (in shares)	40,000
Average Market Price on Date of Grant (in dollars per share) \| $ / shares	$ 76

Shareholders' Equity - Employee Stock Purchase Plan (Details) - Employee Stock Purchase Plan - USD ($) shares in Millions, $ in Millions	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Shareholders Equity
Purchase price of common stock as a percentage of closing market price	85.00%
Maximum
Shareholders Equity
Common stock authorized for issuance (in shares)	1
Stock compensation expense (in dollars)	$ 1	$ 1	$ 1

Shareholders' Equity - Preferred Stock (Details) - $ / shares	Feb. 01, 2020	Feb. 02, 2019
Preferred Stock
Preferred stock authorized (in shares)	30,000,000	30,000,000
Preferred stock par value (in dollars per share)	$ 1.00	$ 1.00
Preferred shares outstanding (in shares)	0	0
Preferred shares issued (in shares)	0	0

Income Taxes - Earnings, Income taxes and rate reconciliation (Details) - USD ($) $ in Thousands			12 Months Ended
	Jan. 01, 2018	Dec. 31, 2017	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Earnings from continuing operations before income taxes:
Domestic			$ 86,528	$ 85,050	$ 78,707
Foreign			5,902	3,259	4,184
Earnings before income taxes			92,430	88,309	82,891
Current:
Federal			18,565	12,543	11,710
State			5,459	4,474	3,775
Foreign			1,650	1,979	707
Total current			25,674	18,996	16,192
Deferred-Domestic			(1,870)	3,141	1,690
Deferred-Foreign			133	(119)	308
Income taxes			$ 23,937	$ 22,018	$ 18,190
Reconciliations of the United States federal statutory income tax rates and effective tax rates
Statutory rate (as a percent)	21.00%	35.00%	21.00%	21.00%	33.70%
State income taxes-net of federal income tax benefit (as a percent)			4.40%	4.60%	3.60%
Impact of foreign operations (as a percent)			0.20%	0.70%	(0.60%)
Valuation allowance against foreign losses and other carryforwards (as a percent)			0.10%	(0.10%)	1.10%
Impact of U.S. Tax Reform on deferred tax amounts (as a percent)					(0.144)
Other, net (as a percent)			0.20%	(1.30%)	(1.50%)
Effective rate for continuing operations (as a percent)			25.90%	24.90%	21.90%
Impact of U.S. Tax Reform on deferred tax					$ 12,000

Income Taxes - Deferred tax assets and liabilities (Details) - USD ($) $ in Thousands	Feb. 01, 2020	Feb. 02, 2019
Deferred Tax Assets:
Inventories	$ 13,067	$ 13,210
Accrued compensation and benefits	8,977	8,096
Receivable allowances and reserves	993	890
Operating lease liabilities	85,969	3,371
Operating loss and other carry-forwards	3,171	2,785
Other, net	1,546	4,122
Deferred tax assets	113,723	32,474
Deferred Tax Liabilities:
Operating lease assets	(82,186)
Depreciation and amortization	(8,076)	(11,917)
Acquired intangible assets	(34,019)	(32,913)
Deferred tax liabilities	(124,281)	(44,830)
Valuation allowance	(5,213)	(5,103)
Net deferred tax liability	$ (15,771)	$ (17,459)

Income Taxes - Carry forwards (Details) - USD ($) $ in Thousands	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019
Income Taxes
Operating loss carry-forwards expiration period	20 years
Valuation allowance	$ (5,213)	$ (5,103)

Income Taxes - Balance sheet (Details) - USD ($) $ in Thousands	Feb. 01, 2020	Feb. 02, 2019
Assets:
Deferred tax assets	$ 769	$ 952
Liabilities
Deferred tax liabilities	(16,540)	(18,411)
Net deferred tax liability	$ (15,771)	$ (17,459)

Defined Contribution Plans (Details) - USD ($) $ in Millions	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Defined Contribution Plans
Expense under defined contribution and non-qualified deferred compensation plans	$ 5	$ 5	$ 4

Summarized Quarterly Data (unaudited) - Fiscal periods (Details)	3 Months Ended									12 Months Ended
	Feb. 01, 2020	Nov. 02, 2019	Aug. 03, 2019	May 04, 2019	Feb. 02, 2019	Nov. 03, 2018	Aug. 04, 2018	May 05, 2018	Feb. 03, 2018	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Fiscal period
Length of fiscal period	91 days	91 days	91 days	91 days	91 days	91 days	91 days	91 days	98 days	364 days	364 days	371 days
Maximum
Fiscal period
Length of fiscal period										371 days

Summarized Quarterly Data (unaudited) - Summary (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Feb. 01, 2020	Nov. 02, 2019	Aug. 03, 2019	May 04, 2019	Feb. 02, 2019	Nov. 03, 2018	Aug. 04, 2018	May 05, 2018	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Summarized Quarterly Data (unaudited)
Net sales	$ 297,596	$ 241,221	$ 302,000	$ 281,973	$ 298,535	$ 233,662	$ 302,641	$ 272,628	$ 1,122,790	$ 1,107,466	$ 1,086,211
Gross profit	166,393	132,980	179,825	165,769	164,402	129,279	179,297	164,146	644,967	637,124	612,632
Operating income	21,080	2,594	40,259	29,742	22,001	3,705	36,513	28,373	93,675	90,592	86,000
Net earnings, basic	15,332	1,668	29,836	21,657	16,679	1,861	27,184	20,567	68,493	66,291	65,090
Net earnings, diluted	$ 15,332	$ 1,668	$ 29,836	$ 21,657	$ 16,679	$ 1,861	$ 27,184	$ 20,567	$ 68,493	$ 66,291	$ 65,090
Net earnings per share:
Basic (in dollars per share)	$ 0.91	$ 0.10	$ 1.78	$ 1.30	$ 1.00	$ 0.11	$ 1.63	$ 1.24	$ 4.09	$ 3.97	$ 3.92
Diluted (in dollars per share)	$ 0.90	$ 0.10	$ 1.76	$ 1.29	$ 0.99	$ 0.11	$ 1.61	$ 1.23	$ 4.05	$ 3.94	$ 3.89
Weighted average shares outstanding:
Basic (in shares)	16,779	16,773	16,760	16,713	16,698	16,694	16,683	16,639	16,756	16,678	16,600
Diluted (in shares)	16,965	16,934	16,907	16,848	16,890	16,870	16,840	16,769	16,914	16,842	16,734
LIFO accounting charge (credit)	$ 1,000				$ 1,000				$ 1,000	$ 1,000

Business Combinations - Fiscal 2017 Business Combinations, Purchase price allocation (Details) $ in Thousands	12 Months Ended
	Feb. 03, 2018 USD ($) store	Feb. 01, 2020 USD ($)	Feb. 02, 2019 USD ($)	Jan. 28, 2017 USD ($)
Allocation of the purchase price
Goodwill	$ 66,703	$ 66,578	$ 66,621	$ 60,015
Fiscal 2017 Business Combinations
Business combinations
Purchase price	18,000
Allocation of the purchase price
Cash and cash equivalents	406
Inventories	3,910
Prepaid expenses and other current assets	595
Property and equipment	682
Intangible assets	5,940
Goodwill	6,642
Accounts payable, accrued expenses and other liabilities	(640)
Purchase price	17,535
Fiscal 2017 Business Combinations \| SG&A
Business combinations
Transaction costs	1,000
Fiscal 2017 Business Combinations \| Step-up from cost to fair value
Allocation of the purchase price
Inventories	$ 1,000
Lilly Pulitzer Signature Stores
Business combinations
Number of stores acquired \| store	12
TBBC
Allocation of the purchase price
Contingent consideration, High end of range	$ 4,000
Period over which contingent consideration will be payable	4 years
Contingent consideration		$ 1,000	$ 1,000
TBBC \| Estimate of Fair Value Measurement \| Maximum
Allocation of the purchase price
Contingent consideration	$ 1,000

Business Combinations - Fiscal 2017 Business Combinations, Intangible asset allocation (Details) - Fiscal 2017 Business Combinations $ in Thousands	12 Months Ended
	Feb. 03, 2018 USD ($)
Business combinations
Finite lived intangibles	$ 5,940
Trade names and trademarks
Business combinations
Useful life	20 years
Finite lived intangibles	$ 4,220
Other intangible assets including reacquired rights, customer relationships and non-compete agreements
Business combinations
Finite lived intangibles	$ 1,720
Other intangible assets including reacquired rights, customer relationships and non-compete agreements \| Minimum
Business combinations
Useful life	3 years
Other intangible assets including reacquired rights, customer relationships and non-compete agreements \| Maximum
Business combinations
Useful life	10 years

Tommy Bahama Japan Charges (Details) - Tommy Bahama - Operating Segments - USD ($) $ in Millions	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019
Restructuring charges and other unusual items
Business exit costs	$ 3	$ 4
Outstanding charges	1
Contract termination
Restructuring charges and other unusual items
Business exit costs	1	2
Asset impairment charges
Restructuring charges and other unusual items
Business exit costs		1
Inventory markdowns, severance and other charges
Restructuring charges and other unusual items
Business exit costs		$ 1
Foreign currency charges
Restructuring charges and other unusual items
Business exit costs	$ 1

Subsequent Events (Details) - USD ($) shares in Thousands, $ in Thousands	1 Months Ended	2 Months Ended	12 Months Ended
	Mar. 30, 2020	Mar. 30, 2020	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Subsequent Events
Repurchase of shares			$ 2,728	$ 2,351	$ 2,206
Common Stock
Subsequent Events
Repurchase of shares			$ 35	$ 30	$ 40
Subsequent Event \| US Revolving Credit Agreement
Subsequent Events
Draw down from line of credit	$ 200,000
Subsequent Event \| Common Stock
Subsequent Events
Repurchase of shares (in shares)		332
Repurchase of shares		$ 18,000

SCHEDULE II Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands	12 Months Ended
	Feb. 01, 2020	Feb. 02, 2019	Feb. 03, 2018
Accounts receivable reserves
Deducted from asset accounts:
Balance at Beginning of Period	$ 6,646	$ 6,485	$ 9,301
Additions Charged to Costs and Expenses	15,802	9,599	9,059
Deductions-Describe	(13,682)	(9,438)	(11,875)
Balance at End of Period	8,766	6,646	6,485
Allowance for doubtful accounts
Deducted from asset accounts:
Balance at Beginning of Period	661	1,659	811
Additions Charged to Costs and Expenses	88	225	1,366
Deductions-Describe	(194)	(1,223)	(518)
Balance at End of Period	$ 555	$ 661	$ 1,659