v3.26.1
GOODWILL AND OTHER INTANGIBLE ASSETS
 12 Months Ended
Jun. 27, 2026
Intangible Asset, Goodwill and Other [Abstract]  
GOODWILL AND OTHER INTANGIBLE ASSETS GOODWILL AND OTHER INTANGIBLE ASSETS
The Company performs its annual impairment assessment of goodwill as well as brand intangibles at the beginning of the fourth quarter of each fiscal year or if an event occurs that would more likely than not reduce the fair value below its carrying amount.
The Company determined there was no impairment in fiscal 2026 based on the annual assessment and no events occurring that would more likely than not reduce the fair value below its carrying amount.
During the fourth quarter of fiscal 2025, the Company performed its annual goodwill and indefinite-lived intangible assets impairment analysis. The assessment concluded that the fair values of the Kate Spade reporting unit and indefinite-lived brand intangible asset did not exceed their respective carrying values due to a reduction in both current and future expected cash flows, which includes an estimated impact of cost increases due to changes in tariff and trade policies. Accordingly, during the three months ended June 28, 2025, the Company recorded a goodwill impairment charge of $244.1 million related to the Kate Spade reporting unit. The Company also recorded an impairment charge of $610.7 million related to the Kate Spade indefinite-lived brand intangible asset. The goodwill and brand intangible asset impairment charges were recorded within Impairment of goodwill and intangible assets on the Company's Consolidated Statement of Operations.
The estimated fair values of the Company’s reporting units are based on a weighted average of the income and market approaches. The income approach is based on estimated discounted future cash flows, while the market approach is based on earnings multiples of selected guideline companies. The approach, which qualifies as Level 3 in the fair value hierarchy, incorporated a number of significant assumptions and judgments, including, but not limited to, estimated future cash flows, discount rates, income tax rates, terminal growth rates and valuation multiples derived from comparable publicly traded companies.
Goodwill
The change in the carrying amount of the Company’s Goodwill by segment is as follows:
CoachKate SpadeTotal
(millions)
Balance at June 29, 2024$578.0 $626.1 $1,204.1 
Impairment charges— (244.1)(244.1)
Foreign exchange impact19.5 3.8 23.3 
Balance at June 28, 2025597.5 385.8 983.3 
Foreign exchange impact(21.7)(3.9)(25.6)
Balance at June 27, 2026$575.8 $381.9 $957.7 
Intangible Assets
Intangible assets consist of the following:
June 27, 2026June 28, 2025
Gross
Carrying
Amount		Accum.
Amort.		NetGross
Carrying
Amount		Accum.
Amort.		Net
(millions)
Intangible assets subject to amortization:
Customer relationships$45.6 $(28.2)$17.4 $45.6 $(25.1)$20.5 
Total intangible assets subject to amortization45.6 (28.2)17.4 45.6 (25.1)20.5 
Intangible assets not subject to amortization:
Trademarks and trade names(1)
699.1 — 699.1 699.1 — 699.1 
Total intangible assets$744.7 $(28.2)$716.5 $744.7 $(25.1)$719.6 
(1)    Amount is net of accumulated impairment charges of $610.7 million as of June 27, 2026 and June 28, 2025 for Kate Spade indefinite-lived brand intangible asset.
Amortization expense for the Company’s definite-lived intangible assets was $3.1 million and $5.2 million for fiscal 2026 and fiscal 2025, respectively.
As of June 27, 2026, the expected amortization expense for intangible assets is as follows:
 Amortization Expense
(millions)
Fiscal Year
Fiscal 2027$3.0 
Fiscal 20283.0 
Fiscal 20293.0 
Fiscal 20303.0 
Fiscal 20313.0 
Fiscal 20322.4 
Total$17.4 
The expected amortization expense above reflects a remaining useful life of approximately 6.0 years for customer relationships.