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FOOT LOCKER, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
8. Goodwill
The Athletic Stores segment’s goodwill is net of accumulated impairment charges of $167 million for all
periods presented. The 2012 and 2011 annual goodwill impairment tests did not result in an impairment
charge as the fair value of each reporting unit exceeded the carrying values of each respective
reporting unit.
Athletic
Stores
Direct-to-
Customers Total
(in millions)
Goodwill at January 29, 2011 $ 18 $127 $145
Foreign currency translation adjustment (1) — (1)
Goodwill at January 28, 2012 $ 17 $127 $144
Foreign currency translation adjustment 1 — 1
Goodwill at February 2, 2013 $ 18 $127 $145
9. Other Intangible Assets, net
February 2, 2013 Wtd. Avg.
Life in
Years
January 28, 2012
(in millions)
Gross
value
Accum.
amort.
Net
Value
Gross
value
Accum.
amort.
Net
Value
Amortized intangible
assets:
(1),(2)
Lease acquisition costs $158 $(137) $ 21 12.4 $171 $(149) $ 22
Trademarks 21 (9) 12 19.7 21 (8) 13
Favorable leases 5 (5) — 10.1 7 (7) —
CCS customer relationships 21 (18) 3 5.0 21 (13) 8
$205 $(169) $ 36 12.4 $220 $(177) $ 43
Indefinite life intangible assets:
Republic of Ireland
trademark
(1)
11
CCS tradename
(3)
310
$4 $11
Other intangible assets, net $ 40 $ 54
(1) Includes the effect of foreign currency translation related primarily to the movements of the euro in relation to the U.S. dollar.
Additionally, the amounts presented for each of the periods reflects accumulated impairment charges of $2 million.
(2) The weighted-average useful life disclosed excludes those assets that are fully amortized.
(3) The net value of the CCS tradename at February 2, 2013 and January 28, 2012 includes impairment charges of $7 million and
$5 million, respectively, as described more fully in Note 3, Impairment Charges. The accumulated impairment charge related to
the CCS tradename is $22 million.
Amortizing intangible assets primarily represent lease acquisition costs, which are amounts that are
required to secure prime lease locations and other lease rights, primarily in Europe. During 2012,
additions of $7 million were recorded primarily from new leases in Europe. Amortization expense for
intangibles subject to amortization was $14 million, $16 million, and $17 million for 2012, 2011, and 2010,
respectively. Estimated future amortization expense for finite lived intangibles for the next five years is
as follows:
(in millions)
2013 $11
2014 5
2015 4
2016 3
2017 3
50