N O T E S T O C O N S O L I D A T E D F I N A N C I A L S T A T E M E N T S
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GUESS?, Inc. and Subsidiaries
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4 6
N O T E 1 3 . S E G M E N T I N F O R M A T I O N
In accordance with the requirements of SFAS 131, "Disclosures about Segments of and Enterprise and Related Information," the Company's
reportable business segments and respective accounting policies of the segments are the same as those described in Note 1. Management
evaluates segment performance based primarily on revenue and earnings from operations. Interest income and expense is evaluated on
a consolidated basis and not allocated to the Company's business segments.
Segment information is summarized as follows for the years ended December 31, 2000, 1999 and 1998 (in thousands):
Year Ended December 31,
2 0 0 0
1999
1998
Net revenue:
Retail operations
$392,539
$299,384
$222,624
Wholesale operations
348,873
260,628
212,504
Licensing operations
37,805
39,638
36,803
$779,217
$599,650
$471,931
Earnings from operations:
Retail operations
$ 3,372
$ 37,072
$ 19,943
Wholesale operations
9,170
25,101
7,971
Licensing operations
30,807
31,603
29,132
$ 43,349
$ 93,776
$ 57,046
Capital expenditures:
Retail operations
$ 57,336
$ 26,486
$ 5,170
Wholesale operations
21,798
35,471
8,136
Licensing operations
--
--
--
$ 79,134
$ 61,957
$ 13,306
Total assets:
Retail operations
$183,255
$114,152
$ 93,140
Wholesale operations
229,446
245,162
159,069
Licensing operations
6,982
9,722
11,563
$419,683
$369,036
$263,772
The table below presents information related to geographic areas in which the Company operated in during 2000, 1999 and 1998
(in thousands):
Year Ended December 31,
2 0 0 0
1999
1998
Net revenue:
United States
$680,341
$548,179
$434,207
Asia
23,303
13,279
13,859
Europe
18,764
13,464
10,600
Canada
47,339
12,073
1,644
South America
6,403
3,973
5,066
Mexico
1,895
3,337
2,406
Other
1,172
5,345
4,149
$779,217
$599,650
$471,931
N O T E 1 4 . S T O C K O P T I O N P L A N A N D N O N V E S T E D S T O C K
On July 30, 1996, the Board of Directors adopted the GUESS?, Inc. 1996 Non-Employee Directors' Stock Option Plan pursuant to which the
Board of Directors may grant stock options to non-employee directors. This plan authorizes grants of options to purchase up to 500,000
authorized but unissued shares of Common Stock. At December 31, 2000, 1999 and 1998, there were 147,611, 109,082 and 70,451 options
issued under this plan, respectively. Stock options are granted with an exercise price equal to the stock's fair market value at the date of
grant. Stock options have ten-year terms and vest and become fully exercisable in increments of one-fourth of the shares granted on each
anniversary from the date of grant.
