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3 9
GUESS?, Inc. and Subsidiaries
N O T E 3 . A C C O U N T S R E C E I V A B L E
Accounts receivable consists of trade receivables, less reserves aggregating $15,811,00 and $8,863,000, and royalty receivables, less
allowance for doubtful accounts of $841,000 and $1,258,000 at December 31, 2000 and 1999, respectively.
N O T E 4 . I N V E N T O R I E S
Inventories are summarized as follows (in thousands):
2 0 0 0
1999
Raw materials
$ 9,986
$ 8,514
Work in process
6,727
6,740
Finished goods retail
57,702
45,750
Finished goods wholesale
69,805
45,620
$144,220
$106,624
As of December 31, 2000, 1999 and 1998 the Company reduced inventories for lower of cost or market by $12.9 million, $2.9 million
and $3.9 million, respectively, by charging cost of sales in each respective year.
N O T E 5 . P R O P E R T Y A N D E Q U I P M E N T
Property and equipment is summarized as follows (in thousands):
2 0 0 0
1999
Land and land improvements
$ 4,586
$ 5,734
Building and building improvements
7,306
8,462
Leasehold improvements
95,491
67,821
Machinery and equipment
131,024
86,790
Corporate aircraft
6,601
6,601
Shop fixtures
38,929
31,347
Construction in progress
10,573
23,842
294,510
230,597
Less accumulated depreciation and amortization
126,211
104,909
$168,299
$125,688
Construction in progress at December 31, 2000 and 1999 represents the costs associated with the construction of buildings and improve-
ments used in the Company's operations and other capitalizable expenses in progress. During the years ended December 31, 2000, and
1999, $0.4 million of interest costs were capitalized construction in progress. No interest costs were capitalized for the year ended
December 31, 1998.
N O T E 6 . O T H E R A S S E T S
Other assets is summarized as follows (in thousands):
2 0 0 0
1999
Goodwill, net of accumulated amortization
$11,279
$12,352
Deferred tax assets
6,132
--
Long-term investments
447
21,771
Artwork
3,712
3,712
Other
3,722
4,534
$25,292
$42,369
