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VF Reports Record 2012 Fourth Quarter and Full Year Results, and Sets Guidance for Fiscal 2013



  VF Reports Record 2012 Fourth Quarter and Full Year Results, and Sets
  Guidance for Fiscal 2013

  * Fourth quarter adjusted EPS up 32% to $3.07 (up 31% to $2.98 on a GAAP
    basis)
  * Full year revenues up 15% to $10.9 billion (up 17% in constant dollars)
  * Full year gross margin up 75 basis points to 46.5%
  * Full year adjusted EPS up 17% to $9.63 (a record $9.70 on a GAAP basis)
  * 2013 revenues expected to increase about 6%
  * 2013 adjusted EPS expected to grow 11% to $10.70 (up 9% to $10.60 on a
    GAAP basis)
  * Gross margin expected to improve by 100 basis points, while operating
    margin should improve by nearly 100 basis points in 2013
  * 2013 cash flow from operations to approach $1.4 billion

Business Wire

GREENSBORO, N.C. -- February 15, 2013

VF Corporation (NYSE: VFC) today reported financial results for its fourth
quarter and full year ended December 29, 2012. All per share amounts are
presented on a diluted basis. All references to “Timberland” include the
Timberland^® and Smartwool^® brands. “Adjusted” amounts refer to non-GAAP
measures that exclude Timberland acquisition-related expenses and the gain on
the sale of John Varvatos Enterprises, Inc. (“John Varvatos”) as described in
the “Adjusted Amounts” paragraph at the end of this release.

“2012 was another year of record revenues and profits for VF, with solid
results across nearly every coalition, channel and geography,” said Eric
Wiseman, VF Chairman and Chief Executive Officer. “Our performance is
confirmation of our greatest competitive advantage – the diversity of our
portfolio. It’s this strength, along with our focus on driving operational
excellence into all areas of our business, that enables our brands to deliver
the industry’s most innovative and meaningful products while deepening
relationships with our customers and consumers, and consistently returning
value to our shareholders.”

Fourth Quarter 2012 Review

Revenues rose 4 percent (5 percent in constant dollars) to a record $3.0
billion from $2.9 billion in the same period of 2011 driven by strength in the
Outdoor & Action Sports and Sportswear coalitions, and in our international
and direct-to-consumer businesses. The sale of John Varvatos in April 2012
negatively impacted VF’s revenue growth by 1 percentage point in the fourth
quarter.

Gross margin rose by 220 basis points to a record 47.4 percent, compared with
45.2 percent in the same period of 2011, reflecting improvements in every
coalition. The higher gross margin reflects the continued shift in our revenue
mix towards higher margin businesses and lower year over year product costs.

Operating income on an adjusted basis  grew 28 percent to $457 million in the
fourth quarter of 2012 compared with $358 million in the same period of 2011.
On a GAAP basis, fourth quarter operating income increased 28 percent to $450
million, compared with $351 million in last year’s same period.
Acquisition-related expenses for Timberland were $7 million in the fourth
quarters of both 2012 and 2011. Adjusted operating margin was 15.1 percent
compared to 12.3 percent in the fourth quarter of 2011. On a GAAP basis,
operating margin rose to 14.8 percent from 12.1 percent in the fourth quarter
of 2011.

Net income on an adjusted basis grew by 32 percent to $344 million, compared
with $262 million in the fourth quarter of 2011. Adjusted earnings per share –
which excludes Timberland acquisition-related items of $0.09 per share in 2012
and $0.04 per share in 2011 – also increased 32 percent, to $3.07 from $2.32
during last year’s same period. This increase includes the negative impacts of
foreign currency translation of $0.04 per share and higher pension expense of
$0.05 per share. On a GAAP basis, fourth quarter net income was $334 million,
with a 31 percent increase in earnings per share to $2.98.

Full Year 2012 Review

Revenues increased 15 percent to a record $10.9 billion from $9.5 billion in
2011. On a constant dollar basis, full year revenues increased 17 percent. The
Timberland acquisition accounted for 9 percentage points, or $907 million, of
the revenue growth in 2012. International revenues on a constant dollar basis
were up 29 percent, of which Timberland accounted for 17 percent.
Direct-to-consumer revenues were up 25 percent, with Timberland accounting for
15 percentage points of the growth. Full year revenue comparisons include a
negative impact of about 1 percentage point from the sale of John Varvatos.

Gross margin rose by 75 basis points to a record 46.5 percent, compared with
45.8 percent in 2011, with improvements in nearly every business. The
improvement in gross margin reflects the continued shift in our revenue mix
towards higher margin businesses.

Operating income on an adjusted basis increased 17 percent to $1.5 billion in
2012. The Timberland acquisition accounted for 6 percentage points of the
increase. On a GAAP basis, full year operating income rose 18 percent to $1.5
billion from $1.2 billion in 2011. Acquisition-related expenses for Timberland
in 2012 and 2011 were $31 million and $33 million, respectively. Adjusted
operating margin was 13.8 percent compared to 13.5 percent in 2011. On a GAAP
basis, operating margin was 13.5 percent versus 13.2 percent in 2011.
Excluding Timberland, the full year operating margin was 14.4 percent in 2012
and 13.6 percent in 2011.

Net income on an adjusted basis rose 18 percent to $1.1 billion compared to
$913 million in 2011. Adjusted earnings per share – which excludes a $0.32
gain from the sale of John Varvatos and $0.25 in Timberland
acquisition-related expenses – increased 17 percent to $9.63 from $8.20 in
2011. This increase includes the negative impacts of foreign currency
translation ($0.32 per share) and higher pension expense ($0.19 per share).
Timberland contributed $1.12 to adjusted earnings per share in 2012, up from
$0.60 per share in 2011. On a GAAP basis, full year net income was $1.1
billion while earnings per share grew 22 percent to $9.70 per share.

Fourth Quarter Coalition Review

Outdoor & Action Sports revenues were up 6 percent in the quarter to $1.7
billion.

The North Face^® brand’s momentum continued in the quarter despite a second
year of unusually warm weather conditions in the U.S. and comparisons against
exceptionally strong growth achieved in the prior year’s fourth quarter.
Global revenues for The North Face^® brand rose 10 percent (11 percent in
constant dollars) with strong growth in both the Americas and Europe, and
exceptional growth in Asia. The brand’s growth continues to be very well
balanced, with double-digit revenue increases in both its wholesale and
direct-to-consumer channels.

The Vans^® brand achieved a 21 percent (22 percent in constant dollars)
increase in global revenues in the fourth quarter, with 14 percent growth in
the Americas region and continued outstanding momentum in Europe, where
constant dollar revenues rose nearly 60 percent. The Vans^® brand also posted
double-digit revenue increases in both its wholesale and direct-to-consumer
channels.

Timberland’s fourth quarter global revenues, which were also impacted by
unseasonably warm weather, were down 4 percent with strong growth in Asia
offset by declines in both the Americas and Europe. Timberland’s
direct-to-consumer revenues increased by 5 percent in the fourth quarter. This
increase was offset by a decline in its wholesale business due to lower
closeout sales and other strategic distribution choices to position the brand
for long-term growth and profitability.

Fourth quarter Outdoor & Action Sports operating income rose 18 percent and
operating margin increased 190 basis points to 18.8 percent compared with 16.9
percent in the 2011 period.

Jeanswear revenues increased 3 percent (4 percent in constant dollars) to $735
million in the quarter. The Americas business grew by 5 percent in constant
dollars during the quarter, while Europe posted a modest decline in revenues.
Jeanswear revenues in Asia were up modestly reflecting the impact of a buildup
in retailers’ inventories.

Global revenues for the Wrangler^® brand on a constant dollar basis increased
5 percent driven by solid growth in its Western and Mass businesses in the
U.S., and moderate growth in Latin America offset by a slight decline in
Europe.

The Lee^® brand’s global revenues were about flat on a constant dollar basis
in the fourth quarter as the brand continues to navigate challenging dynamics
in the mid-tier channel in the U.S. and weak macroeconomic conditions in
Europe.

Jeanswear operating margin continued to improve, moving closer to historic
levels. Both the Wrangler^® and Lee^® brands improved profitability in every
region of the world, driven by lower year over year product costs and
continued improvements in operating efficiencies.

Imagewear revenues grew 2 percent in the fourth quarter to $262 million, with
a difficult comparison against strong growth achieved in the prior year
period. As anticipated, the higher product costs that negatively impacted
profitability in the first nine months of the year subsided, contributing to a
19 percent increase in operating income and 13.1 percent operating margin in
the fourth quarter of 2012 versus 11.2 percent in the fourth quarter of 2011.

Sportswear had an outstanding quarter with  revenues increasing 15 percent to
$183 million and both the Nautica^® and Kipling^® (U.S.) brands achieving
strong double-digit revenue growth. Nautica^® brand growth reflected
double-digit revenue increases in both its wholesale and direct-to-consumer
businesses. Sportswear operating income was up 70 percent in the quarter, with
operating margin up 580 basis points over the prior year. An overall higher
mix of direct-to-consumer business for the coalition and improved operating
performance in Nautica^® retail stores drove this significant improvement.

Contemporary Brands revenues were down 17 percent in the quarter to $107
million, with the decline due entirely to the sale of John Varvatos. Excluding
John Varvatos in both the 2011 and 2012 periods, revenues increased 4 percent.
Revenues for the 7 For All Mankind^® brand rose modestly while the Splendid^® 
and Ella Moss^® brands, on a combined basis, achieved high single-digit
revenue growth in the quarter.

Contemporary Brands’ operating income and profitability in the fourth quarter
both improved, with operating income increasing 20 percent and operating
margin expanding by 260 basis points (320 basis points excluding John
Varvatos). This improvement was driven by improved direct-to-consumer
performance and lower closeout sales.

International Review (In Constant Dollars)

Fourth quarter international revenues increased 7 percent driven by an 11
percent increase in Asia, a 10 percent increase in Americas (non-U.S) and 5
percent growth in Europe. For the full year 2012, international revenues grew
29 percent (11 percent excluding Timberland), with a 28 percent increase in
Europe (10 percent excluding Timberland), 42 percent growth in Asia (19
percent excluding Timberland) and a 14 percent increase in the Americas
non-U.S. region (10 percent excluding Timberland). International revenues
accounted for 37 percent of total VF revenues in 2012 compared with 34 percent
in 2011.

Direct-to-Consumer Review

Direct-to-consumer revenues increased 8 percent in the fourth quarter. The
North Face^® brand’s direct-to-consumer business continued to post strong
growth, up 13 percent in the quarter. Direct-to-consumer revenues for the
Vans^® brand also demonstrated exceptional results with revenues rising by 18
percent. Direct-to-consumer revenues for the Nautica^®, Timberland^®,
Kipling^®, Splendid^®  and Ella Moss^® brands each achieved healthy growth
during the quarter. A total of 41 stores were opened across our brands in the
quarter and 141 stores during the year, bringing the total number of owned
retail stores to 1,129. For the full year 2012, direct-to-consumer revenues
grew 25 percent and accounted for 21 percent of total VF revenues compared
with 19 percent in 2011. Timberland accounted for 15 percentage points of the
25 percent total growth (28 percent excluding John Varvatos) in
direct-to-consumer revenues in 2012.

Balance Sheet Review

Inventories remain well controlled, and were down $100 million, or 7 percent,
from December 2011 levels. Cash flow from operations reached a record $1.3
billion in 2012, which funded the repayment of all outstanding commercial
paper, the repurchase of two million shares, a pension plan contribution of
$100 million and a healthy dividend increase.

2013 Guidance

“The year ahead presents tremendous opportunities for us to expand our
presence globally, lead our industry in product innovation and identify new
platforms to support long-term growth,” said Wiseman. “We are confident that
we are the best positioned company in our industry, and look forward to
delivering another year of record results to our shareholders.”

Key points related to our full year 2013 outlook include:

  * Strong, balanced revenue growth, with sales expected to increase by about
    6 percent to $11.5 billion including growth in every coalition. Outdoor &
    Action Sports revenues should increase by about 10 percent with a near 20
    percent increase for the Vans^®  brand, a high single-digit increase for
    The North Face^® brand and mid single-digit growth for the Timberland^®
    brand. Jeanswear is expecting modest revenue growth driven by a 3-4
    percent increase in the Americas region. Contemporary Brands (excluding
    John Varvatos) and Sportswear are each expected to grow revenues at a high
    single-digit rate, and mid single-digit growth is expected in Imagewear.
  * 10 percent growth in international revenues, with continued strength in
    Asia, where revenues are expected to increase at a low teen rate; high
    single-digit revenue growth in Europe; and mid-teen growth in the Americas
    (non-U.S.) region. International revenues should approximate 38 percent of
    total revenues in 2013.
  * Mid-teen growth in direct-to-consumer revenues, driven by approximately
    160 store openings in 2013, comp store growth and an increase of over 30
    percent in e-commerce revenues. Direct-to-consumer revenues are expected
    to grow to 23 percent of total revenues in 2013.
  * Substantial margin expansion, including a 100 basis point improvement in
    gross margin and nearly a 100 basis point increase in operating margin.
  * Adjusted earnings per share grows to $10.70, representing an 11 percent
    increase. On a GAAP basis, earnings per share are expected to increase 9
    percent to about $10.60 from $9.70 in the prior year, which included the
    $0.32 per share gain from the John Varvatos sale. In addition, 2013 GAAP
    earnings per share guidance include a negative $0.10 per share in
    Timberland acquisition-related expenses, which were $0.25 per share in
    2012.
  * Record cash flow from operations, approaching $1.4 billion.
  * Other full year assumptions include a 24 percent effective tax rate, a
    euro to U.S. dollar conversion rate of 1.30 and capital expenditures of
    approximately $325 million.

In terms of the quarterly revenue comparisons in 2013, first quarter revenue
growth should be more modest, given seasonal shipments that boosted the prior
year’s first quarter revenues. Fourth quarter revenue growth should be the
strongest, reflecting the growing contribution and expansion of our
direct-to-consumer business.

Adjusted Amounts

This release refers to adjusted amounts that exclude restructuring and other
items related to the acquisition of Timberland, which approximated $7 million
($0.09 per share) in the fourth quarter of 2012 compared to $7 million ($0.04
per share) in the same period of 2011. Adjusted amounts for the full year
exclude Timberland acquisition-related expenses of $33 million ($0.22 per
share) in 2011, $31 million ($0.25 per share) in 2012, and $14 million ($0.10
per share), which is anticipated in 2013. Additionally, adjusted amounts in
2012 exclude the gain on the sale of John Varvatos of approximately $42
million ($0.32 per share inclusive of a $0.10 per share tax benefit triggered
by the sale). Reconciliations of GAAP measures to adjusted amounts are
presented in the supplemental financial information included with this
release, which identify and quantify all excluded items.

Dividend Declared

VF’s Board of Directors declared a quarterly dividend of $0.87 per share,
payable on March 18, 2013 to shareholders of record on March 8, 2013.

Webcast Information

VF will hold its fourth quarter conference call and webcast today at
approximately 8:30 a.m. Eastern Time. Interested parties should call
800-946-0722 (domestic) or 719-325-2327 (international) to access the call.
The conference call will be broadcast live and accessible at www.vfc.com. A
replay of the conference call will be available from February 15 through
February 22, 2013, via telephone at 877-870-5176 (access code: 4362236) or at
www.vfc.com.

About VF

VF Corporation is a global leader in branded lifestyle apparel and footwear
with more than 30 brands. The company’s largest five brands are The North
Face^®, Wrangler^®, Timberland^®, Vans^®, and Lee^®. Other brands include 7
For All Mankind^®, Bulwark^®, Eagle Creek^®, Eastpak^®, Ella Moss^®,
JanSport^®, Kipling^®, lucy^®, Majestic^®, Napapijri^®, Nautica^®, Red Kap^®,
Reef^®, Riders^®, Splendid^® and Smartwool^®. For more information, please
visit www.vfc.com.

Forward Looking Statements

Certain statements included in this release and the attachments are
"forward-looking statements" within the meaning of the federal securities
laws. Forward-looking statements are made based on our expectations and
beliefs concerning future events impacting VF and therefore involve a number
of risks and uncertainties. You can identify these statements by the fact that
they use words such as “will,” “anticipate,” “estimate,” “expect,” “should,”
and “may” and other words and terms of similar meaning or use of future dates.
We caution that forward-looking statements are not guarantees and that actual
results could differ materially from those expressed or implied in the
forward-looking statements. Potential risks and uncertainties that could cause
the actual results of operations or financial condition of VF to differ
materially from those expressed or implied by forward-looking statements in
this release include, but are not limited to, the level of consumer confidence
and overall level of consumer demand for apparel; fluctuations in the price,
availability and quality of raw materials and contracted products; disruption
to VF’s distribution system; disruption and volatility in the global capital
and credit markets; VF's reliance on a small number of large customers; the
financial strength of VF's customers; VF’s response to changing fashion
trends; increasing pressure on margins; VF's ability to implement its growth
strategy; VF's ability to grow its international and direct-to-consumer
businesses; VF's ability to successfully integrate and grow acquisitions,
including the Timberland acquisition; VF's ability to maintain the strength
and security of its information technology systems; adverse unseasonable
weather conditions; stability of VF's manufacturing facilities and foreign
suppliers; continued use by VF's suppliers of ethical business practices; VF's
ability to accurately forecast demand for products; continuity of members of
VF's management; VF's ability to protect trademarks and other intellectual
property rights; maintenance by VF's licensees and distributors of the value
of VF's brands; foreign currency fluctuations; changes in tax liabilities, and
legal, regulatory, political and economic risks in international markets. More
information on potential factors that could affect VF's financial results is
included from time to time in VF's public reports filed with the Securities
and Exchange Commission, including VF's Annual Report on Form 10-K and
Quarterly Reports on Form 10-Q.

                          (Financial Tables Follow)

VF CORPORATION

Consolidated Statements of Income

(Unaudited)

(In thousands, except per share amounts)
                                                                
                                                                  
                Three Months Ended December     Twelve Months Ended December
                  2012            2011            2012             2011       
                                                                  
Net sales       $ 3,003,360     $ 2,879,431     $ 10,766,020     $ 9,365,477
                                                                  
Royalty income    29,900          30,808          113,835          93,755     
                                                                  
Total revenues    3,033,260       2,910,239       10,879,855       9,459,232  
                                                                  
Costs and
operating
expenses
Cost of goods     1,595,512       1,595,173       5,817,880        5,128,602
sold
Marketing,
administrative    987,460         963,707         3,596,708        3,085,839  
and general
expenses
                  2,582,972       2,558,880       9,414,588        8,214,441  
                                                                  
Operating         450,288         351,359         1,465,267        1,244,791
income
                                                                  
Interest          495             931             3,353            4,778
income
Interest          (22,826   )     (25,005   )     (93,605    )     (77,578   )
expense
Other income      1,988           3,891           46,860           (7,248    )
(expense), net
                                                                  
Income before     429,945         331,176         1,421,875        1,164,743
income taxes
                                                                  
Income taxes      95,777          73,182          335,737          274,350    
                                                                  
Net income        334,168         257,994         1,086,138        890,393
                                                                  
Net (income)
loss
attributable to   -               (676      )     (139       )     (2,304    )
noncontrolling
interests
Net income
attributable    $ 334,168       $ 257,318       $ 1,085,999      $ 888,089    
to VF
Corporation
                                                                  
Earnings per
common share
attributable
to VF
Corporation
common
stockholders
Basic           $ 3.04          $ 2.33          $ 9.89           $ 8.13
Diluted           2.98            2.28            9.70             7.98
                                                                  
Weighted
average shares
outstanding
Basic             109,893         110,204         109,823          109,287
Diluted           112,060         112,668         111,904          111,288
                                                                  
Cash dividends
per common      $ 0.87          $ 0.72          $ 3.03           $ 2.61
share
                                                                  
Basis of presentation: VF operates and reports using a 52/53 week fiscal year
ending on the Saturday closest to December 31 of each year. Similarly, the
fiscal fourth quarter ends on the Saturday closest to December 31. For
presentation purposes herein, all references to periods ended December 2012
and December 2011 relate to the 13 week and 52 week fiscal periods ended
December 29, 2012 and December 31, 2011, respectively.

VF CORPORATION

Consolidated Balance Sheets

(Unaudited)

(In thousands, except share amounts)
                                                                
                                                 December        December
                                                   2012            2011       
                                                                  
ASSETS
Current assets
Cash and equivalents                             $ 597,461       $ 341,228
Accounts receivable, less allowance for
doubtful accounts of $48,998 in 2012 and           1,222,345       1,120,246
$54,010 in 2011
                                                                  
Inventories:
Finished products                                  1,099,229       1,197,928
Work in process                                    98,191          86,902
Materials and supplies                             156,738         168,815    
                                                   1,354,158       1,453,645
                                                                  
Other current assets                               275,619         272,825    
Total current assets                               3,449,583       3,187,944
                                                                  
Property, plant and equipment                      1,983,417       1,830,039
Less accumulated depreciation                      1,155,199       1,092,588  
                                                   828,218         737,451
                                                                  
Intangible assets                                  2,917,058       2,958,463
Goodwill                                           2,009,757       2,023,460
Other assets                                       428,405         405,808    
Total assets                                     $ 9,633,021     $ 9,313,126  
                                                                  
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Short-term borrowings                            $ 12,559        $ 281,686
Current portion of long-term debt                  402,873         2,744
Accounts payable                                   562,638         637,116
Accrued liabilities                                754,142         744,486    
Total current liabilities                          1,732,212       1,666,032
                                                                  
Long-term debt                                     1,429,166       1,831,781
Other liabilities                                  1,346,018       1,290,138
Commitments and contingencies
Stockholders' equity
Preferred Stock, par value $1; shares
authorized, 25,000,000: no shares outstanding      -               -
in 2012 or 2011
Common Stock, stated value $1; shares
authorized, 300,000,000; 110,204,734 shares        110,205         110,557
outstanding in 2012 and 110,556,981 shares
outstanding in 2011
Additional paid-in capital                         2,527,868       2,316,107
Accumulated other comprehensive income (loss)      (453,895  )     (421,477  )
Retained earnings                                  2,941,447       2,520,804  
Total equity attributable to VF Corporation        5,125,625       4,525,991
Noncontrolling interests                           -               (816      )
Total stockholders' equity                         5,125,625       4,525,175  
Total liabilities and stockholders' equity       $ 9,633,021     $ 9,313,126  

VF CORPORATION

Consolidated Statements of Cash Flows

(Unaudited)

(In thousands)
                                                Twelve Months Ended December
                                                  2012            2011        
                                                                 
Operating activities
Net income                                      $ 1,086,138     $ 890,393
Adjustments to reconcile net income to cash
provided by operating activities:
Depreciation                                      148,969         127,203
Amortization of intangible assets                 47,929          41,708
Other amortization                                41,058          29,824
Stock-based compensation                          92,814          76,739
Provision for doubtful accounts                   19,264          12,490
Pension expense in excess of (less than)          (20,198   )     46,346
contributions
Deferred income taxes                             (20,797   )     (10,867    )
Gain on sale of businesses                        (44,485   )     -
Other, net                                        (16,860   )     32,665
Changes in operating assets and liabilities,
net of purchases and sales of businesses:
Accounts receivable                               (111,571  )     (154,487   )
Inventories                                       87,620          (7,509     )
Other current assets                              32,382          (18,449    )
Accounts payable                                  (74,294   )     (32,898    )
Accrued compensation                              (18,907   )     2,448
Accrued income taxes                              2,142           16,009
Accrued liabilities                               (17,005   )     (10,834    )
Other assets and liabilities                      40,801          40,590      
Cash provided by operating activities             1,275,000       1,081,371
                                                                 
Investing activities
Capital expenditures                              (251,940  )     (170,894   )
Business acquisition, net of cash acquired        (1,750    )     (2,207,065 )
Proceeds from sale of businesses                  72,519          -
Trademarks acquisition                            -               (58,132    )
Software purchases                                (30,890   )     (20,102    )
Other, net                                        (8,230    )     (3,840     )
Cash used by investing activities                 (220,291  )     (2,460,033 )
                                                                 
Financing activities
Net increase (decrease) in short-term             (269,010  )     250,824
borrowings
Payments on long-term debt                        (2,776    )     (2,738     )
Proceeds from long-term debt                      -               898,450
Payment of debt issuance costs                    -               (55,536    )
Purchase of Common Stock                          (307,282  )     (7,420     )
Cash dividends paid                               (333,229  )     (285,722   )
Proceeds from issuance of Common Stock, net       62,770          134,012
Tax benefits of stock option exercises            47,213          33,153
Acquisition of noncontrolling interests           -               (52,440    )
Other, net                                        (201      )     (338       )
Cash provided (used) by financing activities      (802,515  )     912,245
                                                                 
                                                                 
Effect of foreign currency rate changes on        4,039           15,406      
cash and equivalents
                                                                 
Net change in cash and equivalents                256,233         (451,011   )
                                                                 
Cash and equivalents - beginning of year          341,228         792,239     
                                                                 
Cash and equivalents - end of year              $ 597,461       $ 341,228     

                                                                 
VF CORPORATION

Supplemental Financial Information

Business Segment Information

(Unaudited)

(In thousands)
                                                                    
                     Three Months Ended           Twelve Months Ended December
                     December
                     2012            2011         2012             2011
                                                                    
Coalition Revenues
Outdoor & Action     $ 1,709,863     $            $5,866,071       $4,561,998
Sports                               1,619,023
Jeanswear            734,764         711,565      2,789,293        2,731,770
Imagewear            262,137         256,768      1,075,677        1,025,214
Sportswear           182,724         159,523      577,317          543,515
Contemporary         106,944         128,941      445,960          485,142
Brands
Other                36,828          34,419       125,537          111,593
                                                                    
Total coalition      $ 3,033,260     $             $10,879,855     $9,459,232
revenues                             2,910,239
                                                                    
                                                                    
Coalition Profit
Outdoor & Action     $ 322,244       $ 273,975    $ 1,019,425      $ 828,228
Sports
Jeanswear            131,394         86,005       466,960          413,187
Imagewear            34,300          28,758       145,053          145,655
Sportswear           32,267          18,930       72,978           56,312
Contemporary         8,896           7,411        49,182           35,860
Brands
Other                (365)           979          (232)            (1,024)
                                                                    
      Total
      coalition      528,736         416,058      1,753,366        1,478,218
      profit
                                                                    
Corporate and        (76,460)        (60,808)     (241,239)        (240,675)
Other Expenses
Interest, net        (22,331)        (24,074)     (90,252)         (72,800)
                                                                    
Income Before        $ 429,945       $ 331,176    $ 1,421,875      $ 1,164,743
Income Taxes

VF CORPORATION
Supplemental Financial Information
Business Segment Information – Constant Currency Basis
(Unaudited)
(In thousands)
                                                            
                                                               
                                                               
                     Three Months Ended December 2012
                                            Exclude
                     As Reported            Impact of
                                            Foreign
                     under GAAP             Currency          Constant
                                            Exchange          Currency
                                                               
Coalition
Revenues
Outdoor & Action     $   1,709,863          $  (13,346  )     $  1,723,209
Sports
Jeanswear                734,764               (3,554   )        738,318
Imagewear                262,137               489               261,648
Sportswear               182,724               -                 182,724
Contemporary             106,944               (688     )        107,632
Brands
Other                    36,828                -                 36,828      
                                                               
Total coalition      $   3,033,260          $  (17,099  )     $  3,050,359   
revenues
                                                               
                                                               
Coalition Profit
Outdoor & Action     $   322,244            $  (3,835   )     $  326,079
Sports
Jeanswear                131,394               (626     )        132,020
Imagewear                34,300                93                34,207
Sportswear               32,267                -                 32,267
Contemporary             8,896                 (75      )        8,971
Brands
Other                    (365        )         -                 (365       )
                                                               
Total coalition          528,736               (4,443   )        533,179
profit
                                                               
Corporate and            (76,460     )         -                 (76,460    )
Other Expenses
Interest, net            (22,331     )         -                 (22,331    )
                                                               
Income Before        $   429,945            $  (4,443   )     $  434,388     
Income Taxes
                                                               
                                                               
Constant
Currency
Financial
Information
VF is a global company that reports financial information in U.S. dollars in
accordance with generally accepted accounting principles. Foreign currency
exchange rate fluctuations affect the amounts reported by VF from translating
its foreign revenues and expenses into U.S. dollars. These rate fluctuations
can have a significant effect on reported operating results. As a supplement
to our reported operating results, we present constant currency financial
information, which is a non-GAAP financial measure. We use constant currency
information to provide a framework to assess how our businesses performed
excluding the effects of changes in foreign currency translation rates.
Management believes this information is useful to investors to facilitate
comparisons of operating results and better identify trends in our businesses.
 
To calculate coalition revenues and profits on a constant currency basis,
operating results for the current year period for entities reporting in
currencies other than the U.S. dollar are translated into U.S. dollars at the
average exchange rates in effect during the comparable period of the prior
year (rather than the actual exchange rates in effect during the current year
period).
 
These constant currency performance measures should be viewed in addition to,
and not in lieu of or superior to, our operating performance measures
calculated in accordance with GAAP. The constant currency information
presented may not be comparable to similarly titled measures reported by other
companies.
 

VF CORPORATION
Supplemental Financial Information
Business Segment Information – Constant Currency Basis
(Unaudited)
(In thousands)
                                                           
                                                              
                                                              
                    Twelve Months Ended December 2012
                                          Exclude
                    As Reported           Impact of
                                          Foreign
                    under GAAP            Currency           Constant Currency
                                          Exchange
                                                              
Coalition
Revenues
Outdoor &           $   5,866,071         $  (117,896  )     $  5,983,967
Action Sports
Jeanswear               2,789,293            (43,577   )        2,832,870
Imagewear               1,075,677            (1,230    )        1,076,907
Sportswear              577,317              -                  577,317
Contemporary            445,960              (7,054    )        453,014
Brands
Other                   125,537              -                  125,537      
                                                              
Total coalition     $   10,879,855        $  (169,757  )     $  11,049,612   
revenues
                                                              
                                                              
Coalition
Profit
Outdoor &           $   1,019,425         $  (33,263   )     $  1,052,688
Action Sports
Jeanswear               466,960              (4,148    )        471,108
Imagewear               145,053              (335      )        145,388
Sportswear              72,978               -                  72,978
Contemporary            49,182               (1,142    )        50,324
Brands
Other                   (232        )        -                  (232        )
                                                              
Total coalition         1,753,366            (38,888   )        1,792,254
profit
                                                              
Corporate and           (241,239    )        -                  (241,239    )
Other Expenses
Interest, net           (90,252     )        -                  (90,252     )
                                                              
Income Before       $   1,421,875         $  (38,888   )     $  1,460,763    
Income Taxes
                                                              
                                                              
Constant Currency Financial Information
VF is a global company that reports financial information in U.S. dollars in
accordance with generally accepted accounting principles. Foreign currency
exchange rate fluctuations affect the amounts reported by VF from translating
its foreign revenues and expenses into U.S. dollars. These rate fluctuations
can have a significant effect on reported operating results. As a supplement
to our reported operating results, we present constant currency financial
information, which is a non-GAAP financial measure. We use constant currency
information to provide a framework to assess how our businesses performed
excluding the effects of changes in foreign currency translation rates.
Management believes this information is useful to investors to facilitate
comparisons of operating results and better identify trends in our businesses.
 
To calculate coalition revenues and profits on a constant currency basis,
operating results for the current year period for entities reporting in
currencies other than the U.S. dollar are translated into U.S. dollars at the
average exchange rates in effect during the comparable period of the prior
year (rather than the actual exchange rates in effect during the current year
period).
 
These constant currency performance measures should be viewed in addition to,
and not in lieu of or superior to, our operating performance measures
calculated in accordance with GAAP. The constant currency information
presented may not be comparable to similarly titled measures reported by other
companies.

VF CORPORATION
Supplemental Financial Information
Reconciliation of Select GAAP Measures to Non-GAAP Measures
(Unaudited)
(In thousands)
                                                                   
                                                                     
                        Three Months                  Three
                                                      Months
                        Ended            Operating    Ended         Operating
                        December 2012    Margin       December      Margin
                                                      2011
                                                                     
                                                                     
Operating Income, as    $   450,288      14.8%        $  351,359    12.1%
reported under GAAP
                                                                     
Timberland
acquisition-related         6,811                        6,664
expenses
                                                                     
Operating Income, as    $   457,099      15.1%        $  358,023    12.3%
adjusted
                                                                     
                                                                     
                                                                     
                                                                     
Net Income, as          $   334,168                   $  257,318
reported under GAAP
                                                                     
Timberland
acquisition-related         10,226                       4,575
expenses
                                                                     
Net Income, as          $   344,394                   $  261,893
adjusted
                                                                     
                                                                     
                                                                     
                        VF               Timberland   VF            Timberland
                        Corporation                   Corporation
                        Three Months     Three        Three         Three
                                         Months       Months        Months
                        Ended            Ended        Ended         Ended
                        December 2012    December     December      December
                                         2012         2011          2011
                                                                     
Diluted earnings per
share, as reported      $   2.98         $   0.50     $  2.28       $   0.30
under GAAP
                                                                     
Timberland
acquisition-related         0.09             0.09        0.04           0.04  
expenses
                                                                     
Diluted earnings per    $   3.07                      $  2.32
share, as adjusted
                                                                     
Timberland impact on
diluted earnings per                     $   0.59                   $   0.34  
share, as adjusted
                                                                     
Non-GAAP Financial
Information
The financial information above has been presented on a GAAP basis and on an
adjusted basis which excludes the impact of costs related to the acquisition
of The Timberland Company and the gain on the sale of John Varvatos
Enterprises, Inc. These adjusted presentations are non-GAAP measures.
Management believes these measures provide investors with useful supplemental
information regarding VF's underlying business trends and the performance of
VF's ongoing operations and are useful for period-over-period comparisons of
such operations.
 
Management uses the above financial measures internally in its budgeting and
review process and, in some cases, as a factor in determining compensation.
While management believes that these non-GAAP financial measures are useful in
evaluating the business, this information should be considered as supplemental
in nature and should be viewed in addition to, and not in lieu of or superior
to, VF's operating performance measures calculated in accordance with GAAP. In
addition, these non-GAAP financial measures may not be the same as similarly
titled measures presented by other companies.

 
VF CORPORATION

Supplemental Financial Information

Reconciliation of Select GAAP Measures to Non-GAAP Measures

(Unaudited)

(In thousands)
                                                                   
 
                                                                     
                                                                     
                        Twelve Months                 Twelve
                                                      Months
                        Ended            Operating    Ended         Operating
                        December 2012    Margin       December      Margin
                                                      2011
                                                                     
                                                                     
Operating Income, as    $  1,465,267     13.5%        $ 1,244,791   13.2%
reported under GAAP
                                                                     
Timberland
acquisition-related        30,765                       33,490
expenses
                                                                     
Operating Income, as    $  1,496,032     13.8%        $ 1,278,281   13.5%
adjusted
                                                                     
Timberland profit,
excluding                  (163,961  )
acquisition-related
expenses
                                                                     
Operating Income,       $  1,332,071     14.4%
excluding Timberland
                                                                     
                                                                     
                                                                     
Net Income, as          $  1,085,999                  $ 888,089
reported under GAAP
                                                                     
Timberland
acquisition-related        27,927                       24,647
expenses
                                                                     
Gain on sale of John
Varvatos                   (35,814   )                  -
Enterprises, Inc.
                                                                     
Net Income, as          $  1,078,112                  $ 912,736
adjusted
                                                                     
                                                                     
                                                                     
                        VF Corporation   Timberland   VF            Timberland
                                                      Corporation
                        Twelve Months    Twelve       Twelve        Twelve
                                         Months       Months        Months
                        Ended            Ended        Ended         Ended
                        December 2012    December     December      December
                                         2012         2011          2011
                                                                     
Diluted earnings per
share, as reported      $  9.70          $   0.87     $ 7.98        $   0.38
under GAAP
                                                                     
Timberland
acquisition-related        0.25              0.25       0.22            0.22
expenses
                                                                     
Gain on sale of John
Varvatos                   (0.32     )       -          -               -
Enterprises, Inc.
                                                                     
Diluted earnings per    $  9.63                       $ 8.20
share, as adjusted
                                                                     
Timberland impact on
diluted earnings per                     $   1.12                   $   0.60
share, as adjusted
                                                                     
Non-GAAP Financial
Information
The financial information above has been presented on a GAAP basis and on an
adjusted basis which excludes the impact of costs related to the acquisition
of The Timberland Company and the gain on the sale of John Varvatos
Enterprises, Inc. These adjusted presentations are non-GAAP measures.
Management believes these measures provide investors with useful supplemental
information regarding VF's underlying business trends and the performance of
VF's ongoing operations and are useful for period-over-period comparisons of
such operations.
 
                                                                     
Management uses the above financial measures internally in its budgeting and
review process and, in some cases, as a factor in determining compensation.
While management believes that these non-GAAP financial measures are useful in
evaluating the business, this information should be considered as supplemental
in nature and should be viewed in addition to, and not in lieu of or superior
to, VF's operating performance measures calculated in accordance with GAAP. In
addition, these non-GAAP financial measures may not be the same as similarly
titled measures presented by other companies.
 

Contact:

VF Contacts:
Cindy Knoebel, CFA
VP, Corporate Relations
VF Services
212-841-7141 / 336-424-6189
or
Lance Allega, 336-424-6082
Director, Investor Relations
or
Carole Crosslin, 336-424-7836
Director, Corporate Communications
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