ktb-20211002

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q


☑			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended October 2, 2021


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ________ to ________

Commission file number: 001-38854

KONTOOR BRANDS, INC.

(Exact name of registrant as specified in its charter)


North Carolina			83-2680248
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification Number)

400 N. Elm Street

Greensboro, North Carolina 27401

(Address of principal executive offices)

(336) 332-3400

(Registrant’s telephone number, including area code)


Securities registered pursuant to Section 12(b) of the Act:
Title of each class	Trading symbol(s)	Name of each exchange on which registered
Common Stock, no par value	KTB	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days. Yes þ No ¨

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes þ No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☑

Accelerated filer

☐

Non-accelerated filer

☐

Smaller reporting company

☐

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No þ

The number of shares of Common Stock of the registrant outstanding as of October 29, 2021 was 57,317,473.

KONTOOR BRANDS, INC.

Table of Contents


			Page
Part I — Financial Information

Item 1. Financial Statements (Unaudited)			3

Consolidated Balance Sheets: September 2021, December 2020 and September 2020			3

Consolidated Statements of Operations: Three and nine months ended September 2021 and September 2020			4

Consolidated Statements of Comprehensive Income (Loss): Three and nine months ended September 2021 and September 2020			5

Consolidated Statements of Cash Flows: Nine months ended September 2021 and September 2020			6

Consolidated Statements of Equity (Deficit): Three and n ine months ended September 2021 and September 2020			7

Notes to Consolidated Financial Statements			8

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations			23

Item 3. Quantitative and Qualitative Disclosures about Market Risk			36

Item 4. Controls and Procedures			36

Part II — Other Information

Item 1. Legal Proceedings			37

Item 1A. Risk Factors			37

Item 6. Exhibits			37

Signatures			38

Kontoor Brands, Inc. Q3 FY21 Form 10-Q 2

PART I — FINANCIAL INFORMATION


ITEM 1. FINANCIAL STATEMENTS (UNAUDITED)

KONTOOR BRANDS, INC.

Consolidated Balance Sheets

(Unaudited)


(In thousands)	September 2021		December 2020		September 2020
ASSETS
Current assets
Cash and equivalents	$	215,442	$	248,138	$	285,251
Accounts receivable, net	269,874		231,397		221,971
Inventories	409,110		340,732		432,280
Prepaid expenses and other current assets	93,922		81,413		81,781
Total current assets	988,348		901,680		1,021,283
Property, plant and equipment, net	106,959		118,897		122,739
Operating lease assets	56,555		60,443		71,075
Intangible assets, net	14,975		15,991		16,458
Goodwill	212,503		213,392		212,637

Other assets	233,842		235,413		224,532
TOTAL ASSETS	$	1,613,182	$	1,545,816	$	1,668,724
LIABILITIES AND EQUITY
Current liabilities
Short-term borrowings	$	254	$	1,114	$	148
Current portion of long-term debt	18,125		25,000		15,625
Accounts payable	244,681		167,240		207,564
Accrued liabilities	218,058		192,952		206,521
Operating lease liabilities, current	23,480		27,329		33,065
Total current liabilities	504,598		413,635		462,923
Operating lease liabilities, noncurrent	36,329		39,806		43,023

Other liabilities	114,088		119,777		115,040
Long-term debt	773,413		887,957		1,021,710
Commitments and contingencies
Total liabilities	1,428,428		1,461,175		1,642,696
Equity
Preferred Stock, no par value; shares authorized, 90,000,000; no shares outstanding at September 2021, December 2020 and September 2020	—		—		—
Common Stock, no par value; shares authorized, 600,000,000; shares outstanding of 57,550,958 at September 2021; 57,254,611 at December 2020 and 57,070,368 at September 2020	—		—		—
Additional paid-in capital	207,963		172,297		161,297
Retained earnings (accumulated deficit)	70,926		7,151		(12,472)
Accumulated other comprehensive loss	(94,135)		(94,807)		(122,797)
Total equity	184,754		84,641		26,028
TOTAL LIABILITIES AND EQUITY	$	1,613,182	$	1,545,816	$	1,668,724

See accompanying notes to unaudited consolidated financial statements.

3 Kontoor Brands, Inc. Q3 FY21 Form 10-Q

KONTOOR BRANDS, INC.

Consolidated Statements of Operations

(Unaudited)


	Three Months Ended September					Nine Months Ended September

(In thousands, except per share amounts)		2021		2020			2021		2020
Net revenues		$	652,298	$	583,222		$	1,794,825	$	1,436,974
Costs and operating expenses
Cost of goods sold		362,735		325,512			978,558		854,134
Selling, general and administrative expenses		203,583		174,846			601,934		521,935

Total costs and operating expenses		566,318		500,358			1,580,492		1,376,069
Operating income		85,980		82,864			214,333		60,905
Interest expense		(7,156)		(13,249)			(26,588)		(37,308)
Interest income		345		283			1,024		1,255
Other expense, net		(676)		(751)			(1,073)		(1,710)
Income before income taxes		78,493		69,147			187,696		23,142
Income taxes		15,080		8,362			36,183		(1,669)
Net income		$	63,413	$	60,785		$	151,513	$	24,811
Earnings per common share
Basic		$	1.10	$	1.07		$	2.63	$	0.44
Diluted		$	1.07	$	1.05		$	2.56	$	0.43
Weighted average shares outstanding
Basic		57,648		57,007			57,535		56,938
Diluted		59,282		57,642			59,180		57,669

See accompanying notes to unaudited consolidated financial statements.

Kontoor Brands, Inc. Q3 FY21 Form 10-Q 4

KONTOOR BRANDS, INC.

Consolidated Statements of Comprehensive Income (Loss)

(Unaudited)


	Three Months Ended September					Nine Months Ended September

(In thousands)		2021		2020			2021		2020
Net income		$	63,413	$	60,785		$	151,513	$	24,811
Other comprehensive (loss) income
Net change in foreign currency translation		(6,572)		7,072			(9,586)		(16,939)
Net change in defined benefit pension plans		4		(67)			67		(55)
Net change in derivative financial instruments		1,402		1,496			10,191		(26,105)
Total other comprehensive (loss) income, net of related taxes		(5,166)		8,501			672		(43,099)
Comprehensive income (loss)		$	58,247	$	69,286		$	152,185	$	(18,288)

See accompanying notes to unaudited consolidated financial statements.

5 Kontoor Brands, Inc. Q3 FY21 Form 10-Q

KONTOOR BRANDS, INC.

Consolidated Statements of Cash Flows

(Unaudited)


	Nine Months Ended September

(In thousands)	2021		2020
OPERATING ACTIVITIES
Net income	$	151,513	$	24,811
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	26,675		24,384
Stock-based compensation	29,211		9,738
Provision for doubtful accounts	(130)		19,642

Other	7,601		(17,337)
Changes in operating assets and liabilities:
Accounts receivable	(41,369)		(16,250)
Inventories	(70,648)		23,777
Accounts payable	78,381		58,534
Income taxes	9,506		4,406
Accrued liabilities	28,864		3,330
Other assets and liabilities	(10,252)		(5,352)
Cash provided by operating activities	209,352		129,683
INVESTING ACTIVITIES
Property, plant and equipment expenditures	(6,642)		(16,481)
Capitalized computer software	(23,536)		(30,038)
Proceeds from sales of assets	95		13,068
Other	(1,873)		(3,651)
Cash used by investing activities	(31,956)		(37,102)
FINANCING ACTIVITIES
Borrowings under revolving credit facility	—		512,500
Repayments under revolving credit facility	—		(387,500)
Payment of deferred financing costs	—		(4,346)
Repayments of term loans	(125,000)		—
Repurchases of Common Stock	(10,006)		—
Dividends paid	(69,068)		(31,877)
Proceeds from issuance of Common Stock, net of shares withheld for taxes	(2,209)		(2,800)
Other	(562)		(885)
Cash (used) provided by financing activities	(206,845)		85,092
Effect of foreign currency rate changes on cash and cash equivalents	(3,247)		770
Net change in cash and cash equivalents	(32,696)		178,443
Cash and cash equivalents – beginning of period	248,138		106,808
Cash and cash equivalents – end of period	$	215,442	$	285,251

See accompanying notes to unaudited consolidated financial statements.

Kontoor Brands, Inc. Q3 FY21 Form 10-Q 6

KONTOOR BRANDS, INC.

Consolidated Statements of Equity (Deficit)

(Unaudited)



	Common Stock			Additional Paid-in Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Total Equity
(In thousands, except per share amounts)	Shares	Amounts

Balance, December 2020	57,255	$	—	$	172,297	$	7,151	$	(94,807)	$	84,641
Net income	—	—		—		64,463		—		64,463
Stock-based compensation, net	259	—		14,472		(4,458)		—		10,014
Other comprehensive loss	—	—		—		—		(1,890)		(1,890)
Dividends on Common Stock ($0.40 per share)	—	—		—		(22,964)		—		(22,964)
Balance, March 2021	57,514	$	—	$	186,769	$	44,192	$	(96,697)	$	134,264
Net income	—	—		—		23,637		—		23,637
Stock-based compensation, net	118	—		12,007		(698)		—		11,309
Other comprehensive income	—	—		—		—		7,728		7,728
Dividends on Common Stock ($0.40 per share)	—	—		—		(23,052)		—		(23,052)
Balance, June 2021	57,632	$	—	$	198,776	$	44,079	$	(88,969)	$	153,886
Net income	—	—		—		63,413		—		63,413
Stock-based compensation, net	104	—		9,187		(3,508)		—		5,679
Other comprehensive loss	—	—		—		—		(5,166)		(5,166)
Dividends on Common Stock ($0.40 per share)	—	—		—		(23,052)		—		(23,052)
Repurchases of Common Stock	(185)	—		—		(10,006)		—		(10,006)
Balance, September 2021	57,551	$	—	$	207,963	$	70,926	$	(94,135)	$	184,754


	Common Stock			Additional Paid-in Capital		Accumulated Deficit		Accumulated Other Comprehensive Loss		Total Equity (Deficit)

(In thousands, except per share amounts)	Shares	Amounts

Balance, December 2019	56,812	$	—	$	150,673	$	(1,718)	$	(79,698)	$	69,257
Net loss	—	—		—		(2,712)		—		(2,712)
Stock-based compensation, net	119	—		3,293		(2,682)		—		611
Other comprehensive loss	—	—		—		—		(53,764)		(53,764)
Dividends on Common Stock ($0.56 per share)	—	—		—		(31,877)		—		(31,877)
Balance, March 2020	56,931	$	—	$	153,966	$	(38,989)	$	(133,462)	$	(18,485)
Net loss	—	—		—		(33,262)		—		(33,262)
Stock-based compensation, net	—	—		4,694		—		—		4,694
Other comprehensive income	—	—		—		—		2,164		2,164
Balance, June 2020	56,931	$	—	$	158,660	$	(72,251)	$	(131,298)	$	(44,889)
Net income	—	—		—		60,785		—		60,785
Stock-based compensation, net	139	—		2,637		(1,006)		—		1,631
Other comprehensive income	—	—		—		—		8,501		8,501
Balance, September 2020	57,070	$	—	$	161,297	$	(12,472)	$	(122,797)	$	26,028

See accompanying notes to unaudited consolidated financial statements.

7 Kontoor Brands, Inc. Q3 FY21 Form 10-Q

KONTOOR BRANDS, INC.

Notes to Consolidated Financial Statements

(Unaudited)

NOTE 1 — BASIS OF PRESENTATION

Description of Business

Kontoor Brands, Inc. ("Kontoor," the "Company," "we," "us" or "our") is a global lifestyle apparel company headquartered in the United States ("U.S."). We completed a spin-off transaction from VF Corporation ("VF" or "former parent") on May 22, 2019 (the "Separation") and began to trade as a standalone public company (NYSE: KTB) on May 23, 2019.

The Company designs, produces, procures, markets and distributes apparel primarily under the brand names Wrangler® and Lee®. The Company's products are sold in the U.S. through mass merchants, specialty stores, mid-tier and traditional department stores, company-operated stores and online. The Company's products are also sold internationally, primarily in Europe and Asia, through department, specialty, company-operated, concession retail and independently-operated partnership stores and online.

Fiscal Year

The Company operates and reports using a 52/53 week fiscal year ending on the Saturday closest to December 31 of each year. Accordingly, this Form 10-Q presents the third quarter of the Company's fiscal year ending January 1, 2022 ("fiscal 2021"), which is a 52-week fiscal year. For presentation purposes herein, all references to periods ended September 2021, December 2020 and September 2020 correspond to the fiscal periods ended October 2, 2021, January 2, 2021 and September 26, 2020, respectively.

Impact of COVID-19 and Other Recent Developments

The novel coronavirus (“COVID-19”) pandemic continues to impact global economic conditions, as well as the Company's operations. The Company considered the impact of COVID-19 on the assumptions and estimates used when preparing these quarterly financial statements including, but not limited to, our allowance for doubtful accounts, inventory valuations, liabilities for variable consideration, deferred tax valuation allowances, fair value measurements including asset impairment evaluations, the effectiveness of the Company’s hedging instruments, and expected compliance with all applicable financial covenants in our Credit Agreement (as defined in Note 6 to the Company's financial statements). These assumptions and estimates may change as new events occur and additional information is obtained regarding the impact of COVID-19. Such future changes may have an adverse impact on the Company's results of operations, financial position and liquidity.

Basis of Presentation - Interim Financial Statements

The accompanying unaudited interim financial statements have been prepared in accordance with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X and do not include all of the information and notes required by generally accepted accounting principles in the U.S. ("GAAP") for complete financial statements. In the opinion of management, the accompanying financial statements contain all normal and recurring adjustments necessary to fairly state the financial position, results of operations and cash flows of the Company for the interim periods presented. Operating results for the three and nine months ended September 2021 are not necessarily indicative of results that may be expected for any other interim period or for fiscal 2021. The unaudited financial statements should be read in conjunction with the audited consolidated and combined financial statements included in the Company's 2020 Annual Report on Form 10-K for the fiscal year ended January 2, 2021, as filed with the Securities and Exchange Commission ("SEC") on March 3, 2021 ("2020 Annual Report on Form 10-K").

Recently Adopted Accounting Standard

In December 2019, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes," which amends and simplifies the accounting for income taxes by removing certain exceptions and providing new guidance to reduce complexity in certain aspects of the current guidance. This guidance was adopted by the Company during the first quarter of 2021 and did not impact the Company’s financial statements or related disclosures.

Recently Issued Accounting Standard

In March 2020, the FASB issued ASU 2020-04, “Facilitation of the Effects of Reference Rate Reform on Financial Reporting,” which is intended to provide temporary optional expedients and exceptions for applying GAAP to contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (LIBOR) and other interbank offered rates to alternative reference rates. This guidance was effective upon issuance and the Company may adopt the guidance and apply it prospectively to contract modifications made or relationships entered into or evaluated any time from the issuance date through December 31, 2022. The Company will continue to evaluate the impact that adoption of this guidance would have on its financial statements and related disclosures, which is not expected to be significant.

Kontoor Brands, Inc. Q3 FY21 Form 10-Q 8

KONTOOR BRANDS, INC.

Notes to Consolidated Financial Statements

(Unaudited)

NOTE 2 — REVENUES

Performance Obligations

As of September 2021, there were no arrangements with any transaction price allocated to remaining performance obligations other than (i) contracts for which the Company has applied the practical expedients and (ii) fixed consideration related to future minimum guarantees. For the three and nine months ended September 2021, revenue recognized from performance obligations satisfied, or partially satisfied, in prior periods was not significant.

Contract Balances

The following table presents information about contract balances recorded in the Company's balance sheets:


(In thousands)	September 2021		December 2020		September 2020
Accounts receivable, net	$	269,874	$	231,397	$	221,971
Contract assets (a)	3,702		5,769		4,385
Contract liabilities (b)	2,118		787		1,229

(a) Included within "prepaid expenses and other current assets" in the Company's balance sheets.

(b) Included within "accrued liabilities" in the Company's balance sheets.

For the three and nine months ended September 2021, revenue recognized that was included in contract liabilities as of December 2020 was not significant. For the three and nine months ended September 2020, revenue of $0.2 million and $1.4 million, respectively, was recognized that was included in contract liabilities as of December 2019.

As of September 2021, the Company has contractual rights under its licensing agreements to receive $26.4 million of fixed consideration related to the future minimum guarantees through December 2026. The variable consideration is not disclosed as a remaining performance obligation as the licensing arrangements qualify for the sales-based royalty exemption.

Disaggregation of Revenue

The following tables present revenues disaggregated by channel and geography. Revenues from licensing arrangements have been included within the U.S. or Non-U.S. Wholesale channels, based on the respective region where the licensee sells the product. Direct-to-Consumer revenues include the distribution of our products via Wrangler® and Lee® branded full-price stores and Company-operated outlet stores globally, digital sales at www.wrangler.com and www.lee.com globally and concession retail locations internationally.

The Other channel primarily included sales of third-party branded merchandise at VF Outlet stores through the first quarter of 2021. During 2020, the Company decided to discontinue the sale of third-party branded merchandise in all VF Outlet stores, exit certain VF Outlet stores and convert all remaining locations to Lee Wrangler OutletTM and Lee Wrangler Clearance CenterTM retail stores. Sales of Wrangler® and Lee® branded products in our retail stores are not included in Other and are reported in the Direct-to-Consumer channel discussed above.


	Three Months Ended September 2021

(In thousands)	Wrangler		Lee		Other		Total

Channel revenues
U.S. Wholesale	$	344,277	$	105,779	$	2,226	$	452,282
Non-U.S. Wholesale	48,558		86,494		446		135,498
Direct-to-Consumer	28,673		35,700		6		64,379
Other	—		—		139		139
Total	$	421,508	$	227,973	$	2,817	$	652,298

Geographic revenues
U.S.	$	368,507	$	121,951	$	2,371	$	492,829
International	53,001		106,022		446		159,469
Total	$	421,508	$	227,973	$	2,817	$	652,298

9 Kontoor Brands, Inc. Q3 FY21 Form 10-Q

KONTOOR BRANDS, INC.

Notes to Consolidated Financial Statements

(Unaudited)


	Three Months Ended September 2020

(In thousands)	Wrangler		Lee		Other		Total
Channel revenues
U.S. Wholesale	$	285,639	$	105,757	$	2,259	$	393,655
Non-U.S. Wholesale	35,724		70,555		1,124		107,403
Direct-to-Consumer	25,266		38,128		8		63,402
Other	—		—		18,762		18,762
Total	$	346,629	$	214,440	$	22,153	$	583,222

Geographic revenues
U.S.	$	307,512	$	126,912	$	21,029	$	455,453
International	39,117		87,528		1,124		127,769
Total	$	346,629	$	214,440	$	22,153	$	583,222


	Nine Months Ended September 2021

(In thousands)	Wrangler		Lee		Other		Total

Channel revenues
U.S. Wholesale	$	919,176	$	309,673	$	6,386	$	1,235,235
Non-U.S. Wholesale	137,206		232,984		1,888		372,078
Direct-to-Consumer	75,249		111,478		19		186,746
Other	—		—		766		766
Total	$	1,131,631	$	654,135	$	9,059	$	1,794,825

Geographic revenues
U.S.	$	982,532	$	356,362	$	7,171	$	1,346,065
International	149,099		297,773		1,888		448,760
Total	$	1,131,631	$	654,135	$	9,059	$	1,794,825


	Nine Months Ended September 2020

(In thousands)	Wrangler		Lee		Other		Total
Channel revenues
U.S. Wholesale	$	739,104	$	231,529	$	8,823	$	979,456
Non-U.S. Wholesale	99,912		157,413		1,428		258,753
Direct-to-Consumer	62,654		94,220		11		156,885
Other	—		—		41,880		41,880
Total	$	901,670	$	483,162	$	52,142	$	1,436,974

Geographic revenues
U.S.	$	792,662	$	278,999	$	50,714	$	1,122,375
International	109,008		204,163		1,428		314,599
Total	$	901,670	$	483,162	$	52,142	$	1,436,974

Kontoor Brands, Inc. Q3 FY21 Form 10-Q 10

KONTOOR BRANDS, INC.

Notes to Consolidated Financial Statements

(Unaudited)

NOTE 3 — BUSINESS SEGMENT INFORMATION

The Company has two reportable segments:

•Wrangler — Wrangler® branded denim, apparel and accessories.

•Lee — Lee® branded denim, apparel and accessories.

The chief operating decision maker allocates resources and assesses performance based on a global brand view which determines the Company's operating segments. Operating segments are the basis for the Company's reportable segments.

In addition, we report an "Other" category in order to reconcile segment revenues and segment profit to the Company's operating results, but the Other category is not considered a reportable segment based on evaluation of aggregation criteria. Other primarily includes other revenue sources, including sales and licensing of Rock & Republic® apparel. Other also included sales of third-party branded merchandise at VF Outlet stores through the first quarter of 2021. During 2020, the Company decided to discontinue the sale of third-party branded merchandise in all VF Outlet stores, exit certain VF Outlet stores and convert all remaining locations to Lee Wrangler OutletTM and Lee Wrangler Clearance CenterTM retail stores. Sales of Wrangler® and Lee® branded products in our retail stores are not included in Other and are reported in the respective segments discussed above.

Accounting policies utilized for internal management reporting at the individual segments are consistent with those in Note 1 to the Company's financial statements included in the Company's 2020 Annual Report on Form 10-K, except as noted below.

The Company has allocated costs for certain centralized functions and programs to the Wrangler and Lee segments based on appropriate metrics such as usage or production of net revenues. These centralized functions and programs include, but are not limited to, information technology, human resources, supply chain, insurance and related benefit costs associated with those functions.

Corporate and other expenses and interest income and expense are not controlled by segment management and therefore are excluded from the measurement of segment profit.

The following table presents financial information for the Company's reportable segments and income before income taxes:


	Three Months Ended September					Nine Months Ended September

(In thousands)		2021		2020			2021		2020
Segment revenues:
Wrangler		$	421,508	$	346,629		$	1,131,631	$	901,670
Lee		227,973		214,440			654,135		483,162
Total reportable segment revenues		649,481		561,069			1,785,766		1,384,832
Other revenues		2,817		22,153			9,059		52,142
Total net revenues		$	652,298	$	583,222		$	1,794,825	$	1,436,974
Segment profit:
Wrangler		$	77,184	$	76,908		$	214,001	$	139,709
Lee		42,969		40,968			112,583		23,524
Total reportable segment profit		$	120,153	$	117,876		$	326,584	$	163,233
Corporate and other expenses		(35,051)		(31,347)			(113,585)		(90,917)
Interest expense		(7,156)		(13,249)			(26,588)		(37,308)
Interest income		345		283			1,024		1,255
Profit (loss) related to other revenues		202		(4,416)			261		(13,121)
Income before income taxes		$	78,493	$	69,147		$