Skechers U.S.A., Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Segment Information

Segment Information

12 Months Ended

Dec. 31, 2011

(12) SEGMENT INFORMATION

We have four reportable segments – domestic wholesale sales, international wholesale sales, retail sales, and e-commerce sales. Management evaluates segment performance based primarily on net sales and gross margins. All other costs and expenses of the Company are analyzed on an aggregate basis, and these costs are not allocated to the Company’s segments. Net sales, gross margins and identifiable assets for the domestic wholesale, international wholesale, retail, and the e-commerce segment on a combined basis were as follows (in thousands):


	2011			2010			2009
Net sales
Domestic wholesale		$	688,194		$	1,131,929		$	763,514
International wholesale			487,296			436,637			328,466
Retail			410,458			410,695			321,829
E-commerce			20,068			27,607			22,631

Total		$	1,606,016		$	2,006,868		$	1,436,440


	2011			2010			2009
Gross profit
Domestic wholesale		$	186,010		$	460,355		$	292,303
International wholesale			196,248			181,528			118,440
Retail			231,835			255,894			198,243
E-commerce			9,655			14,129			12,024

Total		$	623,748		$	911,906		$	621,010


	2011			2010

Identifiable assets
Domestic wholesale		$	844,383		$	891,671
International wholesale			304,025			300,153
Retail			133,081			112,774
E-commerce			399			196

Total		$	1,281,888		$	1,304,794


	2011			2010			2009
Additions to property, plant and equipment
Domestic wholesale		$	92,496		$	57,375		$	21,112
International wholesale			2,236			4,241			5,568
Retail			27,506			20,653			8,661

Total		$	122,238		$	82,269		$	35,341

Geographic Information

The following summarizes our operations in different geographic areas for the year indicated:


	2011			2010			2009
Net Sales (1)
United States		$	1,059,990		$	1,522,187		$	1,078,335
Canada			48,057			54,476			39,498
Other International (2)			497,969			430,205			318,607

Total		$	1,606,016		$	2,006,868		$	1,436,440


	2011			2010
Property, plant and equipment
United States		$	358,405		$	276,457
Canada			1,179			1,590
Other International (2)			16,862			15,755

Total		$	376,446		$	293,802

(1)

The Company has subsidiaries in Canada, United Kingdom, Germany, France, Spain, Portugal, Italy, Netherlands, Brazil and Chile that generate net sales within those respective countries and in some cases the neighboring regions. The Company has joint ventures in China, Hong Kong, Malaysia, Singapore and Thailand that generate net sales from those countries. The Company also has a subsidiary in Switzerland that generates net sales from that country in addition to net sales to our distributors located in numerous non-European countries. Net sales are attributable to geographic regions based on the location of the Company subsidiary.

(2)	Other international consists of Switzerland, United Kingdom, Germany, Austria, France, Spain, Portugal, Italy, Netherlands, China, Hong Kong, Malaysia, Singapore, Thailand, Brazil, Chile, Vietnam and Japan.