CAPRI HOLDINGS LTD, 10-Q filed on 8/5/2020
Quarterly Report
v3.20.2
Cover Page - shares
 3 Months Ended
Jun. 27, 2020
Jul. 29, 2020
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Jun. 27, 2020  
Document Transition Report false  
Entity File Number 001-35368  
Entity Registrant Name CAPRI HOLDINGS LTD  
Entity Incorporation, State or Country Code D8  
Entity Address, Address Line One 33 Kingsway  
Entity Address, City or Town London  
Entity Address, Country GB  
Entity Address, Postal Zip Code WC2B 6UF  
Country Region 44  
City Area Code 207  
Local Phone Number 632 8600  
Title of 12(b) Security Ordinary Shares, no par value  
Trading Symbol CPRI  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   150,344,703
Amendment Flag false  
Document Fiscal Year Focus 2021  
Document Fiscal Period Focus Q1  
Entity Central Index Key 0001530721  
Current Fiscal Year End Date --03-27  
v3.20.2
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Millions
Jun. 27, 2020
Mar. 28, 2020
Current assets    
Cash and cash equivalents $ 207 $ 592
Receivables, net 183 308
Inventories, net 948 827
Prepaid expenses and other current assets 151 167
Total current assets 1,489 1,894
Property and equipment, net 541 561
Operating lease right-of-use assets 1,641 1,625
Intangible assets, net 1,977 1,986
Goodwill 1,490 1,488
Deferred tax assets 226 225
Other assets 169 167
Total assets 7,533 7,946
Current liabilities    
Accounts payable 596 428
Accrued payroll and payroll related expenses 94 93
Accrued income taxes 34 42
Short-term operating lease liabilities 431 430
Short-term debt 191 167
Accrued expenses and other current liabilities 243 241
Total current liabilities 1,589 1,401
Long-term portion of operating lease liabilities 1,751 1,758
Deferred tax liabilities 465 465
Long-term debt 1,577 2,012
Other long-term liabilities 144 142
Total liabilities 5,526 5,778
Commitments and contingencies
Shareholders’ equity    
Ordinary shares, no par value; 650,000,000 shares authorized; 218,272,709 shares issued and 150,340,192 outstanding at June 27, 2020; 217,320,010 shares issued and 149,425,612 outstanding at March 28, 2020 0 0
Treasury shares, at cost (67,932,517 shares at June 27, 2020 and 67,894,398 shares at March 28, 2020) (3,326) (3,325)
Additional paid-in capital 1,109 1,085
Accumulated other comprehensive income 71 75
Retained earnings 4,152 4,332
Total shareholders’ equity of Capri 2,006 2,167
Noncontrolling interest 1 1
Total shareholders’ equity 2,007 2,168
Total liabilities and shareholders’ equity $ 7,533 $ 7,946
v3.20.2
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares
Jun. 27, 2020
Mar. 28, 2020
Statement of Financial Position [Abstract]    
Ordinary shares, par value (in dollars per share) $ 0 $ 0
Ordinary shares, shares authorized (in shares) 650,000,000 650,000,000
Ordinary shares, shares issued (in shares) 218,272,709 217,320,010
Ordinary shares, shares outstanding (in shares) 150,340,192 149,425,612
Treasury shares (in shares) 67,932,517 67,894,398
v3.20.2
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Income Statement [Abstract]    
Total revenue $ 451 $ 1,346
Cost of goods sold 149 512
Gross profit 302 834
Selling, general and administrative expenses 402 598
Depreciation and amortization 54 60
Impairment of assets 0 97
Restructuring and other charges 8 15
Total operating expenses 464 770
(Loss) income from operations (162) 64
Other income, net (1) (2)
Interest expense, net 17 13
Foreign currency (gain) loss (3) 2
(Loss) income before provision for income taxes (175) 51
Provision for income taxes 5 6
Net (loss) income attributable to Capri $ (180) $ 45
Weighted average ordinary shares outstanding:    
Weighted average ordinary shares outstanding, basic (in shares) 149,556,310 151,049,572
Weighted average ordinary shares outstanding, diluted (in shares) 149,556,310 152,334,153
Net (loss) income per ordinary share attributable to Capri:    
Net income per ordinary share, basic (in dollars per share) $ (1.21) $ 0.30
Net income per ordinary share, diluted (in dollars per share) $ (1.21) $ 0.30
Statements of Comprehensive (Loss) Income:    
Net (loss) income $ (180) $ 45
Foreign currency translation adjustments (3) (25)
Net loss on derivatives (1) (2)
Comprehensive (loss) income attributable to Capri $ (184) $ 18
v3.20.2
CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY - USD ($)
$ in Millions
Total
Adoption of accounting standards (See Note 2)
Adjusted balance
Ordinary Shares
Ordinary Shares
Adjusted balance
Additional Paid-in Capital
Additional Paid-in Capital
Adjusted balance
Treasury Shares
Treasury Shares
Adjusted balance
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)
Adjusted balance
Retained Earnings
Retained Earnings
Adoption of accounting standards (See Note 2)
Retained Earnings
Adjusted balance
Total Equity of Capri
Total Equity of Capri
Adoption of accounting standards (See Note 2)
Total Equity of Capri
Adjusted balance
Non-controlling Interests
Non-controlling Interests
Adjusted balance
Beginning balance (in shares) at Mar. 30, 2019       216,051,000                              
Beginning balance at Mar. 30, 2019 $ 2,432 $ (152) $ 2,280 $ 0 $ 0 $ 1,011 $ 1,011 $ (3,223) $ (3,223) $ (66) $ (66) $ 4,707 $ (152) $ 4,555 $ 2,429 $ (152) $ 2,277 $ 3 $ 3
Beginning balance, treasury (in shares) at Mar. 30, 2019               (65,119,000)                      
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                      
Net income (loss) 45                     45     45     0  
Other comprehensive income (loss) (27)                 (27)         (27)     0  
Total comprehensive income (loss) 18                           18     0  
Vesting of restricted awards, net of forfeitures (in shares)       691,000                              
Equity compensation expense 28         28                 28        
Purchase of treasury shares (in shares)               (58,000)                      
Purchase of treasury shares (2)             $ (2)             (2)        
Ending balance (in shares) at Jun. 29, 2019       216,742,000                              
Ending balance at Jun. 29, 2019 $ 2,324     $ 0   1,039   $ (3,225)   (93)   4,600     2,321     3  
Ending balance, treasury (in shares) at Jun. 29, 2019               (65,177,000)                      
Beginning balance (in shares) at Mar. 28, 2020 217,320,010     217,320,000                              
Beginning balance at Mar. 28, 2020 $ 2,168     $ 0   1,085   $ (3,325)   75   4,332     2,167     1  
Beginning balance, treasury (in shares) at Mar. 28, 2020 (67,894,398)             (67,894,000)                      
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                      
Net income (loss) $ (180)                     (180)     (180)     0  
Other comprehensive income (loss) (4)                 (4)         (4)     0  
Total comprehensive income (loss) (184)                           (184)     0  
Vesting of restricted awards, net of forfeitures (in shares)       953,000                              
Equity compensation expense 24         24                 24        
Purchase of treasury shares (in shares)               (38,000)                      
Purchase of treasury shares $ (1)             $ (1)             (1)        
Ending balance (in shares) at Jun. 27, 2020 218,272,709     218,273,000                              
Ending balance at Jun. 27, 2020 $ 2,007     $ 0   $ 1,109   $ (3,326)   $ 71   $ 4,152     $ 2,006     $ 1  
Ending balance, treasury (in shares) at Jun. 27, 2020 (67,932,517)             (67,932,000)                      
v3.20.2
CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (Parenthetical)
 12 Months Ended
Mar. 30, 2019
Statement of Stockholders' Equity [Abstract]  
Accounting Standards Update [Extensible List] us-gaap:AccountingStandardsUpdate201602Member
v3.20.2
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Cash flows from operating activities    
Net (loss) income $ (180) $ 45
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 54 60
Equity compensation expense 24 28
Deferred income taxes 0 2
Impairment of assets 0 97
Changes to lease related balances, net (24) (16)
Tax deficit (benefit) on exercise of share options 5 2
Amortization of deferred financing costs 1 1
Foreign currency (gains) losses (3) 2
Other non-cash charges (6) 0
Change in assets and liabilities:    
Receivables, net 131 73
Inventories, net (119) (63)
Prepaid expenses and other current assets 15 (32)
Accounts payable 167 (8)
Accrued expenses and other current liabilities 0 (51)
Other long-term assets and liabilities 2 18
Net cash provided by operating activities 67 158
Cash flows from investing activities    
Capital expenditures (32) (54)
Cash paid for business acquisitions, net of cash acquired 0 (1)
Settlement of a net investment hedge 0 23
Net cash used in investing activities (32) (32)
Cash flows from financing activities    
Debt borrowings 396 390
Debt repayments (811) (526)
Debt issuance costs (4) 0
Purchase of treasury shares (1) (2)
Net cash used in financing activities (420) (138)
Effect of exchange rate changes on cash and cash equivalents 0 0
Net decrease in cash and cash equivalents (385) (12)
Beginning of period 592 172
End of period 207 160
Supplemental disclosures of cash flow information    
Cash paid for interest 20 30
Cash received, net of cash paid, for income taxes (6) 12
Supplemental disclosure of non-cash investing and financing activities    
Accrued capital expenditures $ 20 $ 23
v3.20.2
Business and Basis of Presentation
 3 Months Ended
Jun. 27, 2020
Accounting Policies [Abstract]  
Business and Basis of Presentation Business and Basis of Presentation
The Company was incorporated in the British Virgin Islands (“BVI”) on December 13, 2002 as Michael Kors Holdings Limited and changed its name to Capri Holdings Limited (“Capri,” and together with its subsidiaries, the “Company”) on December 31, 2018. The Company is a holding company that owns brands that are leading designers, marketers, distributors and retailers of branded women’s and men’s accessories, apparel and footwear bearing the Versace, Jimmy Choo and Michael Kors tradenames and related trademarks and logos. The Company operates in three reportable segments: Versace, Jimmy Choo and Michael Kors. See Note 16 for additional information.
The interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) and include the accounts of the Company and its wholly-owned or controlled subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. The interim consolidated financial statements as of June 27, 2020 and for the three months ended June 27, 2020 and June 29, 2019 are unaudited. In addition, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. The interim consolidated financial statements reflect all normal and recurring adjustments, which are, in the opinion of management, necessary for a fair presentation in conformity with U.S. GAAP. The interim consolidated financial statements should be read in conjunction with the audited financial statements and notes thereto for the year ended March 28, 2020, as filed with the Securities and Exchange Commission on July 8, 2020, in the Company’s Annual Report on Form 10-K. The results of operations for the interim periods should not be considered indicative of results to be expected for the full fiscal year.
The Company utilizes a 52 to 53 week fiscal year ending on the Saturday closest to March 31. As such, the term “Fiscal Year” or “Fiscal” refers to the 52-week or 53-week period, ending on that day. The results for the three months ended June 27, 2020 and June 29, 2019, are based on 13-week periods.
v3.20.2
Summary of Significant Accounting Policies
 3 Months Ended
Jun. 27, 2020
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Use of Estimates
The preparation of financial statements in accordance with U.S. GAAP requires management to use judgment and make estimates that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The level of uncertainty in estimates and assumptions increases with the length of time until the underlying transactions are completed. The most significant assumptions and estimates involved in preparing the financial statements include allowances for customer deductions, sales returns, sales discounts and doubtful accounts, estimates of inventory net realizable value, the valuation of share-based compensation, the valuation of deferred taxes and the valuation of goodwill, intangible assets and property and equipment, along with the estimated useful lives assigned to these assets. Actual results could differ from those estimates.
Reclassifications
Certain reclassifications have been made to the prior periods’ financial information in order to conform to the current period’s presentation.
Seasonality
The Company experiences certain effects of seasonality with respect to its business. The Company generally experiences greater sales during its third fiscal quarter, primarily driven by holiday season sales, and the lowest sales during its first fiscal quarter.
Inventories, net
Inventories mainly consist of finished goods with the exception of raw materials and work in process inventory. The combined total of raw materials and work in process inventory recorded on the Company's consolidated balance sheets was $27 million as of both June 27, 2020 and March 28, 2020.
The net realizable value of the Company's inventory as of June 27, 2020 and March 28, 2020 includes the expected adverse impacts of the COVID-19 pandemic. This includes the impact from temporary retail store closures, wholesale customer store closures, reductions in retail store traffic, a decline in international tourism and a decrease in consumer consumption.
Derivative Financial Instruments
Forward Foreign Currency Exchange Contracts
The Company uses forward foreign currency exchange contracts to manage its exposure to fluctuations in foreign currency for certain transactions. The Company, in its normal course of business, enters into transactions with foreign suppliers and seeks to minimize risks related to these transactions. The Company employs these contracts to hedge the Company’s cash flows, as they relate to foreign currency transactions. Certain of these contracts are designated as hedges for accounting purposes, while others remain undesignated. All of the Company’s derivative instruments are recorded in the Company’s consolidated balance sheets at fair value on a gross basis, regardless of their hedge designation.
The Company designates certain contracts related to the purchase of inventory that qualify for hedge accounting as cash flow hedges. Formal hedge documentation is prepared for all derivative instruments designated as hedges, including a description of the hedged item and the hedging instrument and the risk being hedged. The changes in the fair value for contracts designated as cash flow hedges is recorded in equity as a component of accumulated other comprehensive (loss) income until the hedged item affects earnings. When the inventory related to forecasted inventory purchases that are being hedged is sold to a third party, the gains or losses deferred in accumulated other comprehensive (loss) income are recognized within cost of goods sold. The Company uses regression analysis to assess effectiveness of derivative instruments that are designated as hedges, which compares the change in the fair value of the derivative instrument to the change in the related hedged item. If the hedge is no longer expected to be highly effective in the future, future changes in the fair value are recognized in earnings. For those contracts that are not designated as hedges, changes in the fair value are recorded to foreign currency loss (gain) in the Company’s consolidated statements of operations and comprehensive (loss) income. The Company classifies cash flows relating to its forward foreign currency exchange contracts related to the purchase of inventory consistently with the classification of the hedged item, within cash flows from operating activities.
The Company is exposed to the risk that counterparties to derivative contracts will fail to meet their contractual obligations. In order to mitigate counterparty credit risk, the Company only enters into contracts with carefully selected financial institutions based upon their credit ratings and certain other financial factors, adhering to established limits for credit exposure. The aforementioned forward contracts generally have a term of no more than 12 months. The period of these contracts is directly related to the foreign transaction they are intended to hedge.
Net Investment Hedges
The Company also uses fixed-to-fixed cross currency swap agreements to hedge its net investments in foreign operations against future volatility in the exchange rates between its U.S. Dollars and these foreign currencies. The Company has elected the spot method of designating these contracts under ASU 2017-12 and has designated these contracts as net investment hedges. The net gain or (loss) on the net investment hedge is reported within foreign currency translation gains and losses (“CTA”), as a component of accumulated other comprehensive (loss) income on the Company’s consolidated balance sheets. Interest accruals and coupon payments are recognized directly in interest expense in the Company’s statement of operations and comprehensive (loss) income. Upon discontinuation of a hedge, all previously recognized amounts remain in CTA until the net investment is sold, diluted or liquidated.
Interest Rate Swap Agreements
The Company also uses interest rate swap agreements to hedge the variability of its cash flows resulting from floating interest rates on the Company's borrowings. When an interest rate swap agreement qualifies for hedge accounting as a cash flow hedge, the changes in the fair value are recorded in equity as a component of accumulated other comprehensive (loss) income and are reclassified into interest expense in the same period during which the hedged transactions affect earnings.
Leases

On March 31, 2019, the Company adopted ASU 2016-02, “Leases (Topic 842),” which requires lessees to recognize a lease liability and a right-of-use asset on the balance sheet for all leases, except certain short-term leases. The Company adopted the new standard recognizing a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption without restating the comparative prior year periods.
The Company leases retail stores, office space and warehouse space under operating lease agreements that expire at various dates through September 2043. The Company’s leases generally have terms of up to 10 years, generally require a fixed annual rent and may require the payment of additional rent if store sales exceed a negotiated amount. Although most of the Company’s equipment is owned, the Company has limited equipment leases that expire on various dates through June 2024. The Company acts as sublessor in certain leasing arrangements, primarily related to closed stores under its restructuring activities, as discussed in Note 8. Fixed sublease payments received are recognized on a straight-line basis over the sublease term. The Company determines the sublease term based on the date it provides possession to the subtenant through the expiration date of the sublease.

The Company recognizes operating lease right-of-use assets and lease liabilities at lease commencement date, based on the present value of fixed lease payments over the expected lease term. The Company uses its incremental borrowing rates to determine the present value of fixed lease payments based on the information available at the lease commencement date, as the rate implicit in the lease is not readily determinable for the Company’s leases. The Company’s incremental borrowing rates are based on the term of the leases, the economic environment of the leases and reflect the expected interest rate it would incur to borrow on a secured basis. Certain leases include one or more renewal options, generally for the same period as the initial term of the lease. The exercise of lease renewal options is generally at the Company’s sole discretion and as such, the Company typically determines that exercise of these renewal options is not reasonably certain. As a result, the Company generally does not include the renewal option period in the expected lease term and the associated lease payments are not included in the measurement of the operating lease right-of-use asset and lease liability. Certain leases also contain termination options with an associated penalty. Generally, the Company is reasonably certain not to exercise these options and as such, they are not included in the determination of the expected lease term. The Company recognizes operating lease expense on a straight-line basis over the lease term.

Leases with an initial lease term of 12 months or less are not recorded on the balance sheet. The Company recognizes lease expense for its short-term leases on a straight-line basis over the lease term.

The Company’s leases generally provide for payments of non-lease components, such as common area maintenance, real estate taxes and other costs associated with the leased property. The Company accounts for lease and non-lease components of its real estate leases together as a single lease component and, as such, includes fixed payments of non-lease components in the measurement of the operating lease right-of-use assets and lease liabilities for its real estate leases. Variable lease payments, such as percentage rentals based on location sales, periodic adjustments for inflation, reimbursement of real estate taxes, any variable common area maintenance and any other variable costs associated with the leased property are expensed as incurred as variable lease costs and are not recorded on the balance sheet. The Company’s lease agreements do not contain any material residual value guarantees or material restrictions or covenants.
The following table presents the Company’s supplemental cash flow information related to leases (in millions):
Three Months EndedThree Months Ended
June 27, 2020June 29, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows used in operating leases$40  
(1)
$120  

(1)Operating cash flows used in operating leases for the three months ended June 27, 2020 reflect $85 million of rent payments that have been deferred due to the COVID-19 pandemic.
During the three months ended June 27, 2020 and June 29, 2019, the Company recorded sublease income of $2 million and $1 million, respectively, within selling, general, and administrative expenses. During the three months ended June 27, 2020, the Company recorded $15 million in rent relief for rent concessions negotiated in connection with COVID-19 as if it were contemplated as part of the existing contract, and these concessions are recorded as variable lease costs within selling, general and administrative expenses.
Net (Loss) Income per Share
The Company’s basic net (loss) income per ordinary share is calculated by dividing net (loss) income by the weighted average number of ordinary shares outstanding during the period. Diluted net (loss) income per ordinary share reflects the potential dilution that would occur if share option grants or any other potentially dilutive instruments, including restricted shares and restricted share units ("RSUs"), were exercised or converted into ordinary shares. These potentially dilutive securities are included in diluted shares to the extent they are dilutive under the treasury stock method for the applicable periods. Performance-based RSUs are included in diluted shares if the related performance conditions are considered satisfied as of the end of the reporting period and to the extent they are dilutive under the treasury stock method.
The components of the calculation of basic net (loss) income per ordinary share and diluted net loss per ordinary share are as follows (in millions, except share and per share data):
 Three Months Ended
June 27,
2020		June 29,
2019
Numerator:
Net (loss) income attributable to Capri$(180) $45  
Denominator:
Basic weighted average shares149,556,310  151,049,572  
Weighted average dilutive share equivalents:
Share options and restricted shares/units, and performance restricted share units
—  1,284,581  
Diluted weighted average shares149,556,310  152,334,153  
Basic net (loss) income per share (1)
$(1.21) $0.30  
Diluted net (loss) income per share (1)
$(1.21) $0.30  

(1)Basic and diluted net (loss) income per share are calculated using unrounded numbers.
Share equivalents of 5,388,905 and 2,374,578 for the three months ended June 27, 2020 and June 29, 2019, respectively, have been excluded from the above calculations due to their anti-dilutive effect.
Diluted net loss per share attributable to Capri for the three months ended June 27, 2020 excluded all potentially dilutive securities because there was a net loss attributable to Capri for the period and, as such, the inclusion of these securities would have been anti-dilutive.
See Note 2 in the Company’s Annual Report on Form 10-K for the fiscal year ended March 28, 2020 for a complete disclosure of the Company’s significant accounting policies.
Recently Adopted Accounting Pronouncements
Measurement of Credit Losses on Financial Instruments
On March 29, 2020, the Company adopted ASU No. 2016-13, “Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”), which amends the guidance on measuring credit losses for certain financial assets measured at amortized cost, including trade receivables. The Financial Accounting Standards Board has subsequently issued several updates to the standard, providing additional guidance on certain topics covered by the standard. This update requires entities to recognize an allowance for credit losses using a forward-looking expected loss impairment model, taking into consideration historical experience, current conditions and supportable forecasts that impact collectibility. The adoption of this update did not have a material impact on the Company's consolidated financial statements.
Implementation Costs Associated with Cloud Computing Arrangements
On March 29, 2020, the Company adopted ASU No. 2018-15, “Intangibles – Goodwill and Other – Internal-Use Software: Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract" ("ASU 2018-15"), which provides guidance related to the accounting for implementation costs incurred in a cloud computing arrangement that is a service contract. The guidance aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software and hosting arrangements that include an internal-use software license. The adoption of this update did not have a material impact on the Company's consolidated financial statements.
Recently Issued Accounting Pronouncements
The Company has considered all new accounting pronouncements and have concluded that there are no new pronouncements that may have a material impact on our results of operations, financial condition or cash flows based on current information.
v3.20.2
Revenue Recognition
 3 Months Ended
Jun. 27, 2020
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
The Company accounts for contracts with its customers when there is approval and commitment from both parties, the rights of the parties and payment terms have been identified, the contract has commercial substance and collectability of consideration is probable. Revenue is recognized when control of the promised goods or services is transferred to the Company’s customers in an amount that reflects the consideration the Company expects to be entitled to in exchange for goods or services.
The Company sells its products through three primary channels of distribution: retail, wholesale and licensing. Within the retail and wholesale channels, substantially all of the Company’s revenues consist of sales of products that represent a single performance obligation, where control transfers at a point in time to the customer. For licensing arrangements, royalty and advertising revenue is recognized over time based on access provided to the Company’s brands.
The Company has chosen to utilize the exemption allowing it not to disclose the amount of the transaction price allocated to the remaining performance obligations that have an expected duration of twelve months or less.
Retail
The Company generates sales through directly operated stores and e-commerce throughout the Americas (U.S., Canada and Latin America), EMEA (Europe, Middle East and Africa) and certain parts of Asia.
Gift Cards. The Company sells gift cards that can be redeemed for merchandise, resulting in a contract liability upon issuance. Revenue is recognized when the gift card is redeemed or upon “breakage” for the estimated portion of gift cards that are not expected to be redeemed. “Breakage” revenue is calculated under the proportional redemption methodology, which considers the historical patterns of redemption in jurisdictions where the Company is not required to remit the value of the unredeemed gift cards as unclaimed property. The contract liability related to gift cards, net of estimated “breakage,” of $11 million as of both June 27, 2020 and March 28, 2020, is included in accrued expenses and other current liabilities in the Company’s consolidated balance sheet.
Loyalty Program. The Company offers a loyalty program, which allows its Michael Kors U.S. customers to earn points on qualifying purchases toward monetary and non-monetary rewards, which may be redeemed for purchases at Michael Kors retail stores and e-commerce sites. The Company defers a portion of the initial sales transaction based on the estimated relative fair value of the benefits based on projected timing of future redemptions and historical activity. These amounts include estimated “breakage” for points that are not expected to be redeemed. The contract liability, net of an estimated “breakage,” of $2 million as of both June 27, 2020 and March 28, 2020, is recorded as a reduction to revenue in the consolidated statements of operations and comprehensive (loss) income and within accrued expenses and other current liabilities in the Company’s consolidated balance sheet and is expected to be recognized within the next 12 months.
Wholesale
The Company’s products are sold primarily to major department stores, specialty stores and travel retail shops throughout the Americas, EMEA and Asia. The Company also has arrangements where its products are sold to geographic licensees in certain parts of EMEA, Asia and South America.
Licensing
The Company provides its third-party licensees with the right to access its Versace, Jimmy Choo and Michael Kors trademarks under product and geographic licensing arrangements. Under geographic licensing arrangements, third party licensees receive the right to distribute and sell products bearing the Company’s trademarks in retail and/or wholesale channels within certain geographical areas, including Brazil, the Middle East, Eastern Europe, South Africa, certain parts of Asia and Australia.
The Company recognizes royalty revenue and advertising contributions based on the percentage of sales made by the licensees. Generally the Company’s guaranteed minimum royalty amounts due from licensees relate to contractual periods that do not exceed 12 months, however, some of our guaranteed minimums for Versace are multi-year based. As of June 27, 2020, contractually guaranteed minimum fees from our license agreements expected to be recognized as revenue during future periods were as follows (in millions):
Contractually Guaranteed Minimum Fees
Remainder of Fiscal 2021$19  
Fiscal 202227  
Fiscal 202323  
Fiscal 202420  
Fiscal 202517  
Fiscal 2026 and thereafter82  
 Total
$188  
Sales Returns
The refund liability recorded as of June 27, 2020 and March 28, 2020 was $35 million and $37 million, respectively, and the related asset for the right to recover returned product as of June 27, 2020 and March 28, 2020 was $10 million and $14 million, respectively.
Contract Balances
Total contract liabilities were $21 million and $22 million as of June 27, 2020 and March 28, 2020, respectively. For the three months ended June 27, 2020, the Company recognized $3 million in revenue which related to contract liabilities that existed at March 28, 2020. For the three months ended June 29, 2019, the Company recognized $14 million in revenue which related to contract liabilities that existed at March 30, 2019. There were no contract assets recorded as of June 27, 2020 and March 28, 2020.
There were no changes in historical variable consideration estimates that were materially different from actual results.
Disaggregation of Revenue
The following table presents the Company’s segment revenues disaggregated by geographic location (in millions):
 Three Months Ended
 June 27,
2020		June 29,
2019
Versace revenue - the Americas$15  $44  
Versace revenue - EMEA27  92  
Versace revenue - Asia51  71  
 Total Versace
93  207  
Jimmy Choo revenue - the Americas6  30  
Jimmy Choo revenue - EMEA16  79  
Jimmy Choo revenue - Asia29  49  
Total Jimmy Choo51  158  
Michael Kors revenue - the Americas156  655  
Michael Kors revenue - EMEA79  189  
Michael Kors revenue - Asia72  137  
 Total Michael Kors
307  981  
Total revenue - the Americas177  729  
Total revenue - EMEA122  360  
Total revenue - Asia152  257  
Total revenue$451  $1,346  
See Note 3 in the Company’s Annual Report on Form 10-K for the fiscal year ended March 28, 2020 for a complete disclosure of the Company’s revenue recognition policy.
v3.20.2
Receivables, net
 3 Months Ended
Jun. 27, 2020
Receivables [Abstract]  
Receivables, net Receivables, net
Receivables, net, consist of (in millions):
June 27,
2020		March 28,
2020
Trade receivables (1)
$263  $432  
Receivables due from licensees21  14  
284  446  
Less: allowances(101) (138) 
$183  $308  

(1)As of June 27, 2020 and March 28, 2020, $56 million and $80 million, respectively, of trade receivables were insured.
Receivables are presented net of allowances for discounts, markdowns, operational chargebacks and doubtful accounts. Discounts are based on open invoices where trade discounts have been extended to customers. Markdowns are based on wholesale customers’ sales performance, seasonal negotiations with customers, historical deduction trends and an evaluation of current market conditions. Operational chargebacks are based on deductions taken by customers, net of expected recoveries. Such provisions, and related recoveries, are reflected in revenues.
The Company’s allowance for doubtful accounts is determined through analysis of periodic aging of receivables that are not covered by insurance and assessments of collectability based on an evaluation of historic and anticipated trends, the financial condition of the Company’s customers and the impact of general economic conditions. The past due status of a receivable is based on its contractual terms. Amounts deemed uncollectible are written off against the allowance when it is probable the amounts will not be recovered. Allowance for doubtful accounts was $31 million and $39 million as of June 27, 2020 and March 28, 2020, respectively, including the impact related to COVID-19. The Company had a credit loss of $(6) million for the three months ended June 27, 2020. All other periods presented were immaterial.
v3.20.2
Property and Equipment, net
 3 Months Ended
Jun. 27, 2020
Property, Plant and Equipment [Abstract]  
Property and Equipment, net Property and Equipment, net
Property and equipment, net, consists of (in millions):
June 27,
2020		March 28,
2020
Leasehold improvements$706  $704  
Computer equipment and software342  329  
Furniture and fixtures332  329  
In-store shops236  236  
Equipment137  136  
Building49  49  
Land19  19  
1,821  1,802  
Less: accumulated depreciation and amortization(1,343) (1,310) 
478  492  
Construction-in-progress63  69  
$541  $561  
Depreciation and amortization of property and equipment for the three months ended June 27, 2020 and June 29, 2019 was $43 million and $47 million, respectively. During the three months ended June 27, 2020, the Company did not record any property and equipment impairment charges. During the three months ended June 29, 2019, the Company recorded property and equipment impairment charges of $13 million, $11 million of which related to determining asset groups for the Company’s premier store locations at an individual store level (see Note 11 for additional information).
v3.20.2
Intangible Assets and Goodwill
 3 Months Ended
Jun. 27, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets and Goodwill Intangible Assets and Goodwill
The following table details the carrying values of the Company’s intangible assets and goodwill (in millions):
 June 27,
2020		March 28,
2020
Definite-lived intangible assets:
Reacquired Rights $400  $400  
Trademarks23  23  
Customer Relationships404  404  
Total definite-lived intangible assets827  827  
Less: accumulated amortization(144) (132) 
Net definite-lived intangible assets683  695  
Indefinite-lived intangible assets:
Jimmy Choo brand (1)
364  367  
Versace brand (2)
930  924  
1,294  1,291  
Total intangible assets, excluding goodwill$1,977  $1,986  
Goodwill (3)
$1,490  $1,488  

(1)Includes an accumulated impairment loss of $180 million recorded during the fourth quarter of Fiscal 2020. The change in the carrying value since March 28, 2020 reflects currency translation.
(2)The change in the carrying value since March 28, 2020 reflects currency translation.
(3)Includes an accumulated impairment loss of $171 million related to the Jimmy Choo retail and licensing reporting units recorded during the fourth quarter of Fiscal 2020. The change in the carrying value since March 28, 2020 reflects currency translation.
Amortization expense for the Company’s definite-lived intangible assets for the three months ended June 27, 2020 and June 29, 2019 was $11 million and $13 million, respectively. There were no goodwill or definite-lived and indefinite-lived intangible asset impairment charges recorded during any of the periods presented.
v3.20.2
Current Assets and Current Liabilities
 3 Months Ended
Jun. 27, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Current Assets and Current Liabilities Current Assets and Current Liabilities
Prepaid expenses and other current assets consist of the following (in millions):
June 27,
2020		March 28,
2020
Prepaid taxes$95  $116  
Prepaid contracts15  17  
Other accounts receivables12  10  
Other29  24  
$151  $167  
Accrued expenses and other current liabilities consist of the following (in millions):
June 27,
2020		March 28,
2020
Other taxes payable$51  $38  
Return liabilities35  37  
Accrued capital expenditures20  31  
Accrued rent (1)
18  10  
Accrued advertising and marketing6  9  
Gift cards and retail store credits11  11  
Professional services9  10  
Restructuring liability14  9  
Accrued litigation11  10  
Other68  76  
$243  $241  

(1)The accrued rent balance relates to variable lease payments.
v3.20.2
Restructuring and Other Charges
 3 Months Ended
Jun. 27, 2020
Restructuring and Related Activities [Abstract]  
Restructuring and Other Charges Restructuring and Other Charges
Capri Retail Store Optimization Program
As previously announced, the Company intends to close approximately 170 of its retail stores over the next two fiscal years (Fiscal 2021 and Fiscal 2022) in connection with its Capri Retail Store Optimization Program in order to improve the profitability of its retail store fleet. In addition, the Company expects to incur approximately $75 million of one-time costs related to this program, including lease termination and other store closure costs, the majority of which are expected to result in future cash expenditures.
During the three months ended June 27, 2020, the Company closed 28 of its retail stores which have been incorporated into the Capri Retail Store Optimization Program. Net restructuring charges recorded in connection with the Capri Retail Store Optimization Program during the three months ended June 27, 2020 were $3 million.
Michael Kors Retail Fleet Optimization Plan
During the three months ended June 29, 2019, the Company incurred charges of $1 million relating to the Michael Kors Retail Fleet Optimization Plan, which was completed during the fourth quarter of Fiscal 2020.

Other Restructuring Charges
In addition to the restructuring charges related to the Michael Kors Retail Fleet Optimization Plan, the Company incurred charges of $2 million relating to Jimmy Choo lease-related charges during the three months ended June 29, 2019.
Other Costs
During the three months ended June 27, 2020, the Company recorded costs of $5 million, primarily related to equity awards associated with the acquisition of Versace.
During the three months ended June 29, 2019, the Company recorded costs of $12 million, which included $7 million in connection with the acquisition of Versace and $5 million in connection with the Jimmy Choo acquisition.
v3.20.2
Debt Obligations
 3 Months Ended
Jun. 27, 2020
Debt Disclosure [Abstract]  
Debt Obligations Debt Obligations
The following table presents the Company’s debt obligations (in millions):
June 27,
2020		March 28,
2020
Term Loan$991  $1,015  
Revolving Credit Facilities333  720  
4.000% Senior Notes due 2024
450  450  
Other4  3  
Total debt 1,778  2,188  
Less: Unamortized debt issuance costs9  8  
Less: Unamortized discount on long-term debt1  1  
Total carrying value of debt1,768  2,179  
Less: Short-term debt191  167  
Total long-term debt
$1,577  $2,012  
Senior Unsecured Revolving Credit Facility
On June 25, 2020, the Company entered into the second amendment (the “Second Amendment”) to its third amended and restated senior unsecured credit facility, dated as of November 15, 2018 (the “2018 Credit Facility”), with, among others, JPMorgan Chase Bank, N.A., as administrative agent. Pursuant to the Second Amendment, the obligations under the 2018 Credit Facility will be secured by liens on substantially all of the assets of the Company and its U.S. subsidiaries that are borrowers and guarantors, subject to certain exceptions, and substantially all of the registered intellectual property of the Company and its subsidiaries. This requirement for collateral will fall away if the Company achieves an investment grade ratings requirement for two consecutive full fiscal quarters. The Amendment adds a restriction on the disposition of assets and a requirement to prepay the term loans with certain net cash proceeds of non-ordinary course asset sales, subject to certain exceptions and a reinvestment option with respect to up to $100 million of net cash proceeds in the aggregate.
Pursuant to the Second Amendment, the financial covenant in the Company's 2018 Credit Facility requiring it to maintain a ratio of the sum of total indebtedness plus the capitalized amount of all operating lease obligations for the last four fiscal quarters to Consolidated EBITDAR of no greater than 3.75 to 1.0 has been waived through the fiscal quarter ending June 26, 2021. When this financial covenant is reinstated, the applicable ratio will be calculated net of the Company's unrestricted cash and cash equivalents in excess of $100 million and shall exclude up to $150 million of supply chain financings, and the maximum permitted net leverage ratio will be 4.00 to 1.0. In addition, until March 31, 2021, the material adverse change representation required to be made in connection with revolving borrowings and the issuance or amendment of letters of credit will be modified to disregard certain COVID-19 pandemic-related impacts to the business, results of operations or financial condition of the Company and its subsidiaries, taken as a whole. The Second Amendment also requires the Company, during the period from June 25, 2020 until it delivers its financial statements with respect to the fiscal quarter ending June 26, 2021, to maintain at all times unrestricted cash and cash equivalents plus the aggregate undrawn amounts under the revolving facilities under the 2018 Credit Facility of not less than $300 million, increasing to $400 million on October 1, 2020 and $500 million on December 1, 2020.
The 2018 Credit Facility and the Indenture governing the Company's senior notes contain certain restrictive covenants that impose operating and financial restrictions on the Company, and the Second Amendment imposes incremental restrictions on certain of these covenants during the covenant relief period provided under the 2018 Credit Facility, including restrictions on its ability to incur additional indebtedness and guarantee indebtedness, pay dividends or make other distributions or repurchase or redeem capital stock, make loans and investments, including acquisitions, sell assets, incur liens, enter into transactions with affiliates and consolidate, merge or sell all or substantially all of its assets.
In addition, the Second Amendment adds a new $230 million revolving line of credit that matures on June 24, 2021 (the “364 Day Facility”). The terms of the 364 Day Facility are substantially similar to the terms of the existing revolving facility under the 2018 Credit Facility except that (i) no letters of credit or swingline loans are provided and (ii) for loans subject to Adjusted LIBOR, the applicable margin is 225 basis points per annum, for loans subject to the base rate the applicable margin is 125 basis points per annum and the commitment fee is 35 basis points per annum. In addition, while the 364 Day Facility is outstanding, (i) if the Company incurs any incremental indebtedness under the 2018 Credit Facility or certain permitted indebtedness in lieu of such incremental indebtedness, the 364 Day Facility will be reduced on a dollar for dollar basis and the Company will be required to make corresponding prepayments and (ii) the Company will be required to prepay amounts outstanding under the 364 Day Facility on a weekly basis to the extent that cash and cash equivalents of the Company and its subsidiaries exceed $200 million.
The Second Amendment also permits certain working capital facilities between the Company or any of its subsidiaries with a lender or an affiliate of a lender under the 2018 Credit Facility to be guaranteed under the 2018 Credit Facility guarantees and certain supply chain financings with, and up to $50 million outstanding principal amount of bilateral letters of credit and bilateral bank guarantees issued by a lender or an affiliate of a lender to be guaranteed and secured under the 2018 Credit Facility guarantees and collateral documents.
As of June 27, 2020 and the date these financial statements were issued, the Company was in compliance with all covenants related to the 2018 Credit Facility as amended by the Second Amendment.
As of June 27, 2020 and March 28, 2020, the Company had borrowings of $270 million and $681 million, respectively, outstanding under the 2018 Revolving Credit Facility, which were recorded within long-term debt in its consolidated balance sheets. In addition, stand-by letters of credit of $22 million were outstanding as of June 27, 2020. At June 27, 2020, the amount available for future borrowings under the 2018 Revolving Credit Facility was $938 million. As of June 27, 2020 and March 28, 2020, the carrying value of borrowings outstanding under the 2018 Term Loan Facility was $985 million and $1.010 billion, respectively, of which $128 million was recorded within short-term debt for both periods and $857 million and $882 million, respectively, was recorded within long-term debt in its consolidated balance sheets.
See Note 12 to the Company’s Fiscal 2020 Annual Report on Form 10-K for additional information regarding the Company’s credit facilities and debt obligations.
v3.20.2
Commitments and Contingencies
 3 Months Ended
Jun. 27, 2020
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
In the ordinary course of business, the Company is party to various legal proceedings and claims. Although the outcome of such items cannot be determined with certainty, the Company’s management does not believe that the outcome of all pending legal proceedings in the aggregate will have a material adverse effect on its cash flow, results of operations or financial position.
Please refer to the Contractual Obligations and Commercial Commitments disclosure within the Liquidity section of the Company’s Annual Report on Form 10-K for the fiscal year ended March 28, 2020 for a detailed disclosure of other commitments and contractual obligations as of March 28, 2020.
v3.20.2
Fair Value Measurements
 3 Months Ended
Jun. 27, 2020
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
Financial assets and liabilities are measured at fair value using the three-level valuation hierarchy for disclosure of fair value measurements. The determination of the applicable level within the hierarchy of a particular asset or liability depends on the inputs used in the valuation as of the measurement date, notably the extent to which the inputs are market-based (observable) or internally derived (unobservable). Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from independent sources. Unobservable inputs are inputs based on a company’s own assumptions about market participant assumptions based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the reliability of inputs as follows:
Level 1 – Valuations based on quoted prices in active markets for identical assets or liabilities that a company has the ability to access at the measurement date.
Level 2 – Valuations based on quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets, inputs other than quoted prices that are observable for the asset or liability and inputs derived principally from or corroborated by observable market data.
Level 3 – Valuations based on inputs that are unobservable and significant to the overall fair value measurement.

At June 27, 2020 and March 28, 2020, the fair values of the Company’s forward foreign currency exchange contracts and net investment hedges were determined using broker quotations, which were calculations derived from observable market information: the applicable currency rates at the balance sheet date and those forward rates particular to the contract at inception. The Company makes no adjustments to these broker obtained quotes or prices, but assesses the credit risk of the counterparty and would adjust the provided valuations for counterparty credit risk when appropriate. The fair values of the forward contracts are included in prepaid expenses and other current assets, and in accrued expenses and other current liabilities in the consolidated balance sheets, depending on whether they represent assets or liabilities to the Company. The fair values of net investment hedges are included in other assets, as detailed in Note 12.
All contracts are measured and recorded at fair value on a recurring basis and are categorized in Level 2 of the fair value hierarchy, as shown in the following table (in millions):
 
Fair value at June 27, 2020 using:
Fair value at March 28, 2020 using:
 Quoted prices in
active markets for
identical assets
(Level 1)		Significant
other observable
inputs
(Level 2)		Significant
unobservable
inputs
(Level 3)		Quoted prices in
active markets for
identical assets
(Level 1)		Significant
other observable
inputs
(Level 2)		Significant
unobservable
inputs
(Level 3)
Derivative assets:
Forward foreign currency exchange contracts
$—  $—  $—  $—  $1  $—  
Net investment hedges—  3  —  —  3  —  
Total derivative assets$—  $3  $—  $—  $4  $—  
Derivative liabilities:
Designated interest rate swaps$—  $1  $—  $—  $—  $—  
The Company’s long-term debt obligations are recorded in its consolidated balance sheets at carrying values, which may differ from the related fair values. The fair value of the Company’s long-term debt is estimated using external pricing data, including any available quoted market prices and based on other debt instruments with similar characteristics. Borrowings under revolving credit agreements, if outstanding, are recorded at carrying value, which approximates fair value due to the short-term nature of such borrowings. See Note 9 for detailed information relating to carrying values of the Company’s outstanding debt. The following table summarizes the carrying values and estimated fair values of the Company’s short- and long-term debt, based on Level 2 measurements (in millions):
June 27, 2020March 28, 2020
Carrying
Value		Estimated
Fair Value 		Carrying
Value		Estimated
Fair Value
4.000% Senior Notes
$446  $422  $446  $443  
Term Loan$985  $817  $1,010  $957  
Revolving Credit Facilities$333  $333  $720  $720  
The Company’s cash and cash equivalents, accounts receivable and accounts payable, are recorded at carrying value, which approximates fair value.
Non-Financial Assets and Liabilities
The Company’s non-financial assets include goodwill, intangible assets, operating lease right-of-use assets and property and equipment. Such assets are reported at their carrying values and are not subject to recurring fair value measurements. The Company’s goodwill and its indefinite-lived intangible assets (Versace and Jimmy Choo brands) are assessed for impairment at least annually, while its other long-lived assets, including operating lease right-of-use assets, property and equipment and definite-lived intangible assets, are assessed for impairment whenever events or changes in circumstances indicate that the carrying amount of any such asset may not be recoverable. The fair values of these assets were determined based on Level 3 measurements using the Company’s best estimates of the amount and timing of future discounted cash flows, based on historical experience, market conditions, current trends and performance expectations.
There were no impairment charges recorded during three months ended June 27, 2020. The following table details the carrying values and fair values of the Company’s assets that have been impaired during the three months ended June 29, 2019 (in millions):

Three Months Ended
June 29, 2019
Carrying Value Prior to ImpairmentFair ValueImpairment Charge
Operating Lease Right-of-Use Assets
$140  $56  $84  
Property and Equipment20  7  13  
Total$160  $63  $97  
v3.20.2
Derivative Financial Instruments
 3 Months Ended
Jun. 27, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments Derivative Financial Instruments
Forward Foreign Currency Exchange Contracts
The Company uses forward foreign currency exchange contracts to manage its exposure to fluctuations in foreign currency for certain of its transactions. The Company, in its normal course of business, enters into transactions with foreign suppliers and seeks to minimize risks related to certain forecasted inventory purchases by using forward foreign currency exchange contracts. The Company only enters into derivative instruments with highly credit-rated counterparties. The Company does not enter into derivative contracts for trading or speculative purposes.
Net Investment Hedges
As of June 27, 2020, the Company had one fixed-to-fixed cross-currency swap agreement with a notional amount of $44 million to hedge its net investment in Japanese Yen-denominated subsidiaries against future volatility in the exchange rate between the U.S. Dollar and Japanese Yen. Under the term of this contract, which has a maturity date of November 2024, the Company will exchange the semi-annual fixed rate payments on U.S. denominated debt for fixed rate payments of 0.89% in Japanese Yen. This contract has been designated as a net investment hedge.
When a cross-currency swap is used as a hedging instrument in a net investment hedge assessed under the spot method, the cross-currency basis spread is excluded from the assessment of hedge effectiveness and is recognized as a reduction in interest expense in the Company’s consolidated statements of operations and comprehensive (loss) income. Accordingly, the Company recorded a reduction in interest expense of $0 million and $15 million during the three months ended June 27, 2020 and June 29, 2019, respectively. This decrease from prior year reflects the Company’s early termination of certain net investment hedges related to its Euro-denominated subsidiaries during the fourth quarter of Fiscal 2020.
Interest Rate Swap
During the first quarter of Fiscal 2021, the Company entered into an interest rate swap with an initial notional amount of $500 million that will decrease to $350 million in April 2022. The swap was designated as a cash flow hedge designed to mitigate the impact of adverse interest rate fluctuations for a portion of the Company's variable-rate debt equal to the notional amount of the swap. The interest rate swap converts the one-month Adjusted LIBOR interest rate on these borrowings to a fixed interest rate of 0.237% through December 2022.
When an interest rate swap agreement qualifies for hedge accounting as a cash flow hedge, the changes in the fair value are recorded in equity as a component of accumulated other comprehensive (loss) income and are reclassified into interest expense in the same period during which the hedged transactions affect earnings.
The following table details the fair value of the Company’s derivative contracts, which are recorded on a gross basis in the consolidated balance sheets as of June 27, 2020 and March 28, 2020 (in millions):
Fair Values
 Notional AmountsAssetsLiabilities
 June 27,
2020		March 28,
2020		June 27,
2020		March 28,
2020		June 27,
2020		March 28,
2020
Designated forward foreign currency exchange contracts
$80  $161  $—  $1  
(1)
$—  $—  
Designated net investment hedge
44  44  3  
(2)
3  
(2)
—  —  
Designated interest rate swaps
500  —  —  —  1  
(3)
—  
Total designated hedges624  205  3  4  1  —  
Undesignated derivative contracts (4)
29  —  —  —  —  —  
Total$653  $205  $3  $4  $1  $—  

(1)Recorded within prepaid expenses and other current assets in the Company’s consolidated balance sheets.
(2)Recorded within other assets in the Company’s consolidated balance sheets.
(3)Recorded within other long-term liabilities in the Company’s consolidated balance sheets.
(4)Primarily includes undesignated hedges of inventory purchases.
The Company records and presents the fair values of all of its derivative assets and liabilities in its consolidated balance sheets on a gross basis, as shown in the previous table. However, if the Company were to offset and record the asset and liability balances for its derivative instruments on a net basis in accordance with the terms of its master netting arrangements, which provide for the right to set-off amounts for similar transactions denominated in the same currencies, the resulting impact as of June 27, 2020 and March 28, 2020 would be as follows (in millions):
Forward Currency Exchange ContractsNet Investment
Hedges		Interest Rate
Swaps
June 27,
2020		March 28,
2020		June 27,
2020		March 28,
2020		June 27,
2020		March 28,
2020
Assets subject to master netting arrangements
$—  $1  $3  $3  $—  $—  
Liabilities subject to master netting arrangements
$—  $—  $—  $—  $1  $—  
Derivative assets, net$—  $1  $3  $3  $—  $—  
Derivative liabilities, net$—  $—  $—  $—  $1  $—  
The Company’s master netting arrangements do not require cash collateral to be pledged by the Company or its counterparties.
Changes in the fair value of the Company’s forward foreign currency exchange contracts that are designated as accounting hedges are recorded in equity as a component of accumulated other comprehensive (loss) income, and are reclassified from accumulated other comprehensive (loss) income into earnings when the items underlying the hedged transactions are recognized into earnings, as a component of cost of sales within the Company’s consolidated statements of operations and comprehensive (loss) income. The net gain or loss on net investment hedges are reported within foreign currency translation gains and losses (“CTA”) as a component of accumulated other comprehensive (loss) income on the Company’s consolidated balance sheets. Upon discontinuation of the hedge, such amounts remain in CTA until the related investment is sold or liquidated. Changes in the fair value of the Company’s interest rate swaps that are designated as accounting hedges are recorded in equity as a component of accumulated other comprehensive (loss) income, and are reclassified from accumulated other comprehensive (loss) income into earnings when the items underlying the hedged transactions are recognized into earnings, as a component of interest expense within the Company’s consolidated statements of operations and comprehensive (loss) income.
The following table summarizes the pre-tax impact of the gains and losses on the Company’s designated forward foreign currency exchange contracts, net investment hedges and interest rate swaps (in millions):
Three Months Ended
June 27, 2020June 29, 2019
Pre-Tax Losses
Recognized in OCI		Pre-Tax Losses
Recognized in OCI
Designated forward foreign currency exchange contracts
$—  $—  
Designated net investment hedges$—  $(25) 
Designated interest rate swaps$(1) $—  
The following table summarizes the pre-tax impact of the gains and losses within the consolidated statements of operations and comprehensive (loss) income related to the designated forward foreign currency exchange contracts for the three months ended June 27, 2020 and June 29, 2019 (in millions):

Three Months Ended
Pre-Tax (Gain) Loss Reclassified from
Accumulated OCI		Location of (Gain) Loss recognizedTotal Cost of goods sold
June 27, 2020June 29, 2019June 27, 2020June 29, 2019
Designated forward foreign currency exchange contracts
$(1) $(3) Cost of goods sold$149  $512  
The Company expects that substantially all of the amounts currently recorded in accumulated other comprehensive (loss) income for its forward foreign currency exchange contracts will be reclassified into earnings during the next 12 months, based upon the timing of inventory purchases and turnover.
Undesignated Hedges
During the three months ended June 27, 2020 and June 29, 2019, the net impact of changes in the fair value of undesignated forward foreign currency exchange contracts recognized within foreign currency loss (gain) in the Company’s consolidated statement of operations and comprehensive (loss) income was immaterial.
v3.20.2
Shareholders' Equity
 3 Months Ended
Jun. 27, 2020
Equity [Abstract]  
Shareholders' Equity Shareholders’ Equity
Share Repurchase Program
During the first quarter of Fiscal 2021, the Company suspended its $500 million share-repurchase program in response to the continued impact of the COVID-19 pandemic. During the three months ended June 27, 2020, the Company did not purchase any shares through open market transactions under the current plan. As of June 27, 2020, the remaining availability under the Company’s share repurchase program was $400 million. During the three months ended June 29, 2019, the Company did not purchase any shares through open market transactions under its previous $1.0 billion share-repurchase program, which expired on May 25, 2019. Share repurchases may be made in open market or privately negotiated transactions, subject to market conditions, applicable legal requirements, trading transactions under the Company’s insider trading policy and other relevant factors. The program may be suspended or discontinued at any time.
The Company also has in place a “withhold to cover” repurchase program, which allows the Company to withhold ordinary shares from certain executive officers and directors to satisfy minimum tax withholding obligations relating to the vesting of their restricted share awards. During the three month periods ended June 27, 2020 and June 29, 2019, the Company withheld 38,119 shares and 58,304 shares, respectively, with a fair value of $1 million and $2 million, respectively, in satisfaction of minimum tax withholding obligations relating to the vesting of restricted share awards.
Accumulated Other Comprehensive (Loss) Income
The following table details changes in the components of accumulated other comprehensive (loss) income (“AOCI”), net of taxes for the three months ended June 27, 2020 and June 29, 2019, respectively (in millions):
Foreign
Currency
Translation (Losses) Gains (1)
Net Gains (Losses) on Derivatives (2)
Other Comprehensive (Loss) Income Attributable to Capri
Balance at March 30, 2019$(73) $7  $(66) 
Other comprehensive (loss) income before reclassifications
(25) —  (25) 
Less: amounts reclassified from AOCI to earnings
—  2  2  
Other comprehensive (loss) income, net of tax
(25) (2) (27) 
Balance at June 29, 2019$(98) $5  $(93) 
Balance at March 28, 2020$72  $3  $75  
Other comprehensive (loss) income before reclassifications
(3) —  (3) 
Less: amounts reclassified from AOCI to earnings
—  1  1  
Other comprehensive (loss) income, net of tax
(3) (1) (4) 
Balance at June 27, 2020$69  $2  $71  

(1)Foreign currency translation gains and losses for the three months ended June 27, 2020 include net gains of $1 million on intra-entity transactions that are of a long-term investment nature. Foreign currency translation gains and losses for the three months ended June 29, 2019 include net gains of $3 million on intra-entity transactions that are of a long-term investment nature, a $28 million translation gain relating to the Versace business and a $21 million loss, net of taxes of $4 million, relating to the Company’s net investment hedges.
(2)Reclassified amounts relate to the Company’s forward foreign currency exchange contracts for inventory purchases and are recorded within cost of goods sold in the Company’s consolidated statements of operations and comprehensive (loss) income. All tax effects were not material for the periods presented.
v3.20.2
Share-Based Compensation
 3 Months Ended
Jun. 27, 2020
Share-based Payment Arrangement [Abstract]  
Share-Based Compensation Share-Based CompensationThe Company issues equity grants to certain employees and directors of the Company at the discretion of the Company’s Compensation and Talent Committee. The Company has two equity plans, one stock option plan adopted in Fiscal 2008 (as amended and restated, the “2008 Plan”), and the Omnibus Incentive Plan adopted in the third fiscal quarter of Fiscal 2012 and amended and restated with shareholder approval in May 2015 (the “Incentive Plan”). The 2008 Plan only provided for grants of share options and was authorized to issue up to 23,980,823 ordinary shares. As of June 27, 2020, there were no shares available to grant equity awards under the 2008 Plan. The Incentive Plan allows for grants of share options, restricted shares and RSUs, and other equity awards, and authorizes a total issuance of up to 15,246,000 ordinary shares. At June 27, 2020, there were 1,554,923 ordinary shares available for future grants of equity awards under the Incentive Plan. Option grants issued from the 2008 Plan generally expire ten years from the date of the grant, and those issued under the Incentive Plan generally expire seven years from the date of the grant.
The following table summarizes the Company’s share-based compensation activity during the three months ended June 27, 2020:
 OptionsService-Based RSUsPerformance-Based RSUs
Outstanding/Unvested at March 28, 2020
2,071,096  4,311,683  772,172  
Granted—  1,772,553  —  
Exercised/Vested—  (850,621) (102,078) 
Change due to performance condition —  —  5,926  
Canceled/forfeited(363,087) (152,289) (131,107) 
Outstanding/Unvested at June 27, 2020
1,708,009  5,081,326  544,913  
The weighted average grant date fair value of service-based RSUs granted during the three months ended June 27, 2020 was $16.24. The weighted average grant date fair value of service-based and performance-based RSUs granted during the three months ended June 29, 2019 was $33.90 and $33.86, respectively.
Share-Based Compensation Expense
The following table summarizes compensation expense attributable to share-based compensation for the three months ended June 27, 2020 and June 29, 2019 (in millions):
Three Months Ended
June 27,
2020		June 29,
2019
Share-based compensation expense$24  $28  
Tax benefit related to share-based compensation expense
$5  $5  
Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The Company estimates forfeitures based on its historical forfeiture rates. The estimated value of future forfeitures for equity grants as of June 27, 2020 is approximately $13 million.
See Note 17 in the Company’s Fiscal 2020 Annual Report on Form 10-K for additional information relating to the Company’s share-based compensation awards.
v3.20.2
Income Taxes
 3 Months Ended
Jun. 27, 2020
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The Company’s effective tax rate for the three months ended June 27, 2020 was (2.9)%. Such rate differs from the United Kingdom (“U.K.”) federal statutory rate of 17% primarily due to the existence of a valuation allowance on a portion of our consolidated pre-tax loss and a tax detriment related to share-based compensation. These decreases were partially offset by the favorable effects related to global financing activities. The global financing activities are related to the Company’s 2014 move of its principal executive office from Hong Kong to the U.K. and decision to become a U.K. tax resident. In connection with this decision, the Company funded its international growth strategy through intercompany debt financing arrangements between certain of our U.S., U.K. and Switzerland subsidiaries in December 2015. Due to the difference in the statutory income tax rates between these jurisdictions, the Company realized a higher effective tax rate on the consolidated pre-tax loss.
The Company’s effective tax rate for the three months ended June 29, 2019 was 11.8%. Such rate differed from the United Kingdom (“U.K.”) federal statutory rate of 19% primarily due to the favorable effects of global financing arrangements and net tax benefits in the US and Europe that related to prior tax year positions. These decreases in the effective tax rate for the three months ended June 29, 2019 were partially offset by tax deficits related to share-based compensation awards.
v3.20.2
Segment Information
 3 Months Ended
Jun. 27, 2020
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company operates its business through three operating segments—Versace, Jimmy Choo and Michael Kors, which are based on its business activities and organization. The reportable segments are segments of the Company for which separate financial information is available and for which operating results are evaluated regularly by the Company’s chief operating decision maker ("CODM") in deciding how to allocate resources, as well as in assessing performance. The primary key performance indicators are revenue and operating income for each segment. The Company’s reportable segments represent components of the business that offer similar merchandise, customer experience and sales/marketing strategies.
The Company’s three reportable segments are as follows:
•Versace — segment includes revenue generated through the sale of Versace luxury ready-to-wear, accessories, footwear and home furnishings through directly operated Versace boutiques throughout North America (United States and Canada), EMEA and certain parts of Asia, as well as through Versace outlet stores and e-commerce sites. In addition, revenue is generated through wholesale sales to distribution partners (including geographic licensing arrangements that allow third parties to use the Versace trademarks in connection with retail and/or wholesale sales of Versace branded products in specific geographic regions), multi-brand department stores and specialty stores worldwide, as well as through product license agreements in connection with the manufacturing and sale of jeans, fragrances, watches, jewelry and eyewear.
•Jimmy Choo — segment includes revenue generated through the sale of Jimmy Choo luxury footwear, handbags and small leather goods through directly operated Jimmy Choo retail and outlet stores throughout the Americas, EMEA and certain parts of Asia, through its e-commerce sites, as well as through wholesale sales of luxury goods to distribution partners (including geographic licensing arrangements that allow third parties to use the Jimmy Choo trademarks in connection with retail and/or wholesale sales of Jimmy Choo branded products in specific geographic regions), multi-brand department stores and specialty stores worldwide. In addition, revenue is generated through product licensing agreements, which allow third parties to use the Jimmy Choo brand name and trademarks in connection with the manufacturing and sale of fragrances, sunglasses and eyewear.
•Michael Kors — segment includes revenue generated through the sale of Michael Kors products through four primary Michael Kors retail store formats: “Collection” stores, “Lifestyle” stores (including concessions), outlet stores and e-commerce sites, through which the Company sells Michael Kors products, as well as licensed products bearing the Michael Kors name, directly to the end consumer throughout the Americas, Europe and certain parts of Asia. The Company also sells Michael Kors products directly to department stores, primarily located across the Americas and Europe, to specialty stores and travel retail shops, and to its geographic licensees. In addition, revenue is generated through product and geographic licensing arrangements, which allow third parties to use the Michael Kors brand name and trademarks in connection with the manufacturing and sale of products, including watches, jewelry, fragrances and eyewear.
In addition to these reportable segments, the Company has certain corporate costs that are not directly attributable to its brands and, therefore, are not allocated to segments. Such costs primarily include certain administrative, corporate occupancy, and information systems expenses, including enterprise resource planning system implementation costs. In addition, certain other costs are not allocated to segments, including restructuring and other charges (including transition costs related to the Company’s recent acquisitions), impairment costs and COVID-19 related charges. The segment structure is consistent with how the Company’s CODM plans and allocates resources, manages the business and assesses performance. All intercompany revenues are eliminated in consolidation and are not reviewed when evaluating segment performance.
The following table presents the key performance information of the Company’s reportable segments (in millions):
 Three Months Ended
 June 27,
2020		June 29,
2019
Total revenue:
Versace$93  $207  
Jimmy Choo51  158  
Michael Kors307  981  
Total revenue$451  $1,346  
(Loss) income from operations:
Versace$(41) $(3) 
Jimmy Choo(29) 11  
Michael Kors(48) 201  
Total segment income from operations(118) 209  
Less: Corporate expenses
(31) (33) 
Restructuring and other charges(8) (15) 
Impairment of assets—  (97) 
COVID-19 related charges (1)
(5) —  
Total (loss) income from operations$(162) $64  
___________________
(1)COVID-19 related charges primarily related to severance costs, partially offset by a credit loss of $(6) million.
Depreciation and amortization expense for each segment are as follows (in millions):
 Three Months Ended
 June 27,
2020		June 29,
2019
Depreciation and amortization:
Versace$13  $14  
Jimmy Choo7  8  
Michael Kors34  38  
Total depreciation and amortization$54  $60  

Total revenue (based on country of origin) by geographic location are as follows (in millions):
 Three Months Ended
 June 27,
2020		June 29,
2019
Total revenue:
The Americas (1)
$177  $729  
EMEA122  360  
Asia152  257  
Total revenue$451  $1,346  

(1)Total revenue earned in the U.S. were $161 million for the three months ended June 27, 2020 and $681 million for the three months ended June 29, 2019, respectively.

As of June 27, 2020 and March 28, 2020, the Company's total assets were $7.533 billion and $7.946 billion, respectively. The decrease in total assets was primarily due to the reduction of the Company's cash and cash equivalents from $592 million as of March 28, 2020 to $207 million as of June 27, 2020, due to net payments the Company made to lower the outstanding balance of its Revolving Credit Facilities.
v3.20.2
Subsequent Events
 3 Months Ended
Jun. 27, 2020
Subsequent Events [Abstract]  
Subsequent Events Subsequent Events
Net Investment Hedges
During the second quarter of Fiscal 2021, the Company entered into multiple fixed-to-fixed cross currency swap agreements with an aggregate notional amount of $1 billion to hedge its net investments in Euro-denominated subsidiaries against future volatility in the exchange rates between the U.S. Dollar and the Euro. These contracts have been designated as net investment hedges.
v3.20.2
Summary of Significant Accounting Policies (Policies)
 3 Months Ended
Jun. 27, 2020
Accounting Policies [Abstract]  
Consolidation, Policy The interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) and include the accounts of the Company and its wholly-owned or controlled subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. The interim consolidated financial statements as of June 27, 2020 and for the three months ended June 27, 2020 and June 29, 2019 are unaudited. In addition, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. The interim consolidated financial statements reflect all normal and recurring adjustments, which are, in the opinion of management, necessary for a fair presentation in conformity with U.S. GAAP. The interim consolidated financial statements should be read in conjunction with the audited financial statements and notes thereto for the year ended March 28, 2020, as filed with the Securities and Exchange Commission on July 8, 2020, in the Company’s Annual Report on Form 10-K. The results of operations for the interim periods should not be considered indicative of results to be expected for the full fiscal year.
Fiscal Period, Policy The Company utilizes a 52 to 53 week fiscal year ending on the Saturday closest to March 31. As such, the term “Fiscal Year” or “Fiscal” refers to the 52-week or 53-week period, ending on that day. The results for the three months ended June 27, 2020 and June 29, 2019, are based on 13-week periods.
Use of Estimates The preparation of financial statements in accordance with U.S. GAAP requires management to use judgment and make estimates that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The level of uncertainty in estimates and assumptions increases with the length of time until the underlying transactions are completed. The most significant assumptions and estimates involved in preparing the financial statements include allowances for customer deductions, sales returns, sales discounts and doubtful accounts, estimates of inventory net realizable value, the valuation of share-based compensation, the valuation of deferred taxes and the valuation of goodwill, intangible assets and property and equipment, along with the estimated useful lives assigned to these assets. Actual results could differ from those estimates.
Reclassifications Certain reclassifications have been made to the prior periods’ financial information in order to conform to the current period’s presentation.
Seasonality The Company experiences certain effects of seasonality with respect to its business.
Inventories, net Inventories mainly consist of finished goods with the exception of raw materials and work in process inventory. The combined total of raw materials and work in process inventory recorded on the Company's consolidated balance sheets was $27 million as of both June 27, 2020 and March 28, 2020.The net realizable value of the Company's inventory as of June 27, 2020 and March 28, 2020 includes the expected adverse impacts of the COVID-19 pandemic. This includes the impact from temporary retail store closures, wholesale customer store closures, reductions in retail store traffic, a decline in international tourism and a decrease in consumer consumption.
Derivative Financial Instruments
Forward Foreign Currency Exchange Contracts
The Company uses forward foreign currency exchange contracts to manage its exposure to fluctuations in foreign currency for certain transactions. The Company, in its normal course of business, enters into transactions with foreign suppliers and seeks to minimize risks related to these transactions. The Company employs these contracts to hedge the Company’s cash flows, as they relate to foreign currency transactions. Certain of these contracts are designated as hedges for accounting purposes, while others remain undesignated. All of the Company’s derivative instruments are recorded in the Company’s consolidated balance sheets at fair value on a gross basis, regardless of their hedge designation.
The Company designates certain contracts related to the purchase of inventory that qualify for hedge accounting as cash flow hedges. Formal hedge documentation is prepared for all derivative instruments designated as hedges, including a description of the hedged item and the hedging instrument and the risk being hedged. The changes in the fair value for contracts designated as cash flow hedges is recorded in equity as a component of accumulated other comprehensive (loss) income until the hedged item affects earnings. When the inventory related to forecasted inventory purchases that are being hedged is sold to a third party, the gains or losses deferred in accumulated other comprehensive (loss) income are recognized within cost of goods sold. The Company uses regression analysis to assess effectiveness of derivative instruments that are designated as hedges, which compares the change in the fair value of the derivative instrument to the change in the related hedged item. If the hedge is no longer expected to be highly effective in the future, future changes in the fair value are recognized in earnings. For those contracts that are not designated as hedges, changes in the fair value are recorded to foreign currency loss (gain) in the Company’s consolidated statements of operations and comprehensive (loss) income. The Company classifies cash flows relating to its forward foreign currency exchange contracts related to the purchase of inventory consistently with the classification of the hedged item, within cash flows from operating activities.
The Company is exposed to the risk that counterparties to derivative contracts will fail to meet their contractual obligations. In order to mitigate counterparty credit risk, the Company only enters into contracts with carefully selected financial institutions based upon their credit ratings and certain other financial factors, adhering to established limits for credit exposure. The aforementioned forward contracts generally have a term of no more than 12 months. The period of these contracts is directly related to the foreign transaction they are intended to hedge.
Net Investment Hedges
The Company also uses fixed-to-fixed cross currency swap agreements to hedge its net investments in foreign operations against future volatility in the exchange rates between its U.S. Dollars and these foreign currencies. The Company has elected the spot method of designating these contracts under ASU 2017-12 and has designated these contracts as net investment hedges. The net gain or (loss) on the net investment hedge is reported within foreign currency translation gains and losses (“CTA”), as a component of accumulated other comprehensive (loss) income on the Company’s consolidated balance sheets. Interest accruals and coupon payments are recognized directly in interest expense in the Company’s statement of operations and comprehensive (loss) income. Upon discontinuation of a hedge, all previously recognized amounts remain in CTA until the net investment is sold, diluted or liquidated.
Interest Rate Swap Agreements
The Company also uses interest rate swap agreements to hedge the variability of its cash flows resulting from floating interest rates on the Company's borrowings. When an interest rate swap agreement qualifies for hedge accounting as a cash flow hedge, the changes in the fair value are recorded in equity as a component of accumulated other comprehensive (loss) income and are reclassified into interest expense in the same period during which the hedged transactions affect earnings.
Leases On March 31, 2019, the Company adopted ASU 2016-02, “Leases (Topic 842),” which requires lessees to recognize a lease liability and a right-of-use asset on the balance sheet for all leases, except certain short-term leases. The Company adopted the new standard recognizing a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption without restating the comparative prior year periods.
The Company leases retail stores, office space and warehouse space under operating lease agreements that expire at various dates through September 2043. The Company’s leases generally have terms of up to 10 years, generally require a fixed annual rent and may require the payment of additional rent if store sales exceed a negotiated amount. Although most of the Company’s equipment is owned, the Company has limited equipment leases that expire on various dates through June 2024. The Company acts as sublessor in certain leasing arrangements, primarily related to closed stores under its restructuring activities, as discussed in Note 8. Fixed sublease payments received are recognized on a straight-line basis over the sublease term. The Company determines the sublease term based on the date it provides possession to the subtenant through the expiration date of the sublease.

The Company recognizes operating lease right-of-use assets and lease liabilities at lease commencement date, based on the present value of fixed lease payments over the expected lease term. The Company uses its incremental borrowing rates to determine the present value of fixed lease payments based on the information available at the lease commencement date, as the rate implicit in the lease is not readily determinable for the Company’s leases. The Company’s incremental borrowing rates are based on the term of the leases, the economic environment of the leases and reflect the expected interest rate it would incur to borrow on a secured basis. Certain leases include one or more renewal options, generally for the same period as the initial term of the lease. The exercise of lease renewal options is generally at the Company’s sole discretion and as such, the Company typically determines that exercise of these renewal options is not reasonably certain. As a result, the Company generally does not include the renewal option period in the expected lease term and the associated lease payments are not included in the measurement of the operating lease right-of-use asset and lease liability. Certain leases also contain termination options with an associated penalty. Generally, the Company is reasonably certain not to exercise these options and as such, they are not included in the determination of the expected lease term. The Company recognizes operating lease expense on a straight-line basis over the lease term.

Leases with an initial lease term of 12 months or less are not recorded on the balance sheet. The Company recognizes lease expense for its short-term leases on a straight-line basis over the lease term.

The Company’s leases generally provide for payments of non-lease components, such as common area maintenance, real estate taxes and other costs associated with the leased property. The Company accounts for lease and non-lease components of its real estate leases together as a single lease component and, as such, includes fixed payments of non-lease components in the measurement of the operating lease right-of-use assets and lease liabilities for its real estate leases. Variable lease payments, such as percentage rentals based on location sales, periodic adjustments for inflation, reimbursement of real estate taxes, any variable common area maintenance and any other variable costs associated with the leased property are expensed as incurred as variable lease costs and are not recorded on the balance sheet. The Company’s lease agreements do not contain any material residual value guarantees or material restrictions or covenants.
Net (Loss) Income per Share The Company’s basic net (loss) income per ordinary share is calculated by dividing net (loss) income by the weighted average number of ordinary shares outstanding during the period. Diluted net (loss) income per ordinary share reflects the potential dilution that would occur if share option grants or any other potentially dilutive instruments, including restricted shares and restricted share units ("RSUs"), were exercised or converted into ordinary shares. These potentially dilutive securities are included in diluted shares to the extent they are dilutive under the treasury stock method for the applicable periods. Performance-based RSUs are included in diluted shares if the related performance conditions are considered satisfied as of the end of the reporting period and to the extent they are dilutive under the treasury stock method.
Recently Adopted and Issued Accounting Pronouncements
Measurement of Credit Losses on Financial Instruments
On March 29, 2020, the Company adopted ASU No. 2016-13, “Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”), which amends the guidance on measuring credit losses for certain financial assets measured at amortized cost, including trade receivables. The Financial Accounting Standards Board has subsequently issued several updates to the standard, providing additional guidance on certain topics covered by the standard. This update requires entities to recognize an allowance for credit losses using a forward-looking expected loss impairment model, taking into consideration historical experience, current conditions and supportable forecasts that impact collectibility. The adoption of this update did not have a material impact on the Company's consolidated financial statements.
Implementation Costs Associated with Cloud Computing Arrangements
On March 29, 2020, the Company adopted ASU No. 2018-15, “Intangibles – Goodwill and Other – Internal-Use Software: Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract" ("ASU 2018-15"), which provides guidance related to the accounting for implementation costs incurred in a cloud computing arrangement that is a service contract. The guidance aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software and hosting arrangements that include an internal-use software license. The adoption of this update did not have a material impact on the Company's consolidated financial statements.
Recently Issued Accounting Pronouncements
The Company has considered all new accounting pronouncements and have concluded that there are no new pronouncements that may have a material impact on our results of operations, financial condition or cash flows based on current information.
Revenue Recognition
The Company accounts for contracts with its customers when there is approval and commitment from both parties, the rights of the parties and payment terms have been identified, the contract has commercial substance and collectability of consideration is probable. Revenue is recognized when control of the promised goods or services is transferred to the Company’s customers in an amount that reflects the consideration the Company expects to be entitled to in exchange for goods or services.
The Company sells its products through three primary channels of distribution: retail, wholesale and licensing. Within the retail and wholesale channels, substantially all of the Company’s revenues consist of sales of products that represent a single performance obligation, where control transfers at a point in time to the customer. For licensing arrangements, royalty and advertising revenue is recognized over time based on access provided to the Company’s brands.
The Company has chosen to utilize the exemption allowing it not to disclose the amount of the transaction price allocated to the remaining performance obligations that have an expected duration of twelve months or less.
Retail
The Company generates sales through directly operated stores and e-commerce throughout the Americas (U.S., Canada and Latin America), EMEA (Europe, Middle East and Africa) and certain parts of Asia.
Gift Cards. The Company sells gift cards that can be redeemed for merchandise, resulting in a contract liability upon issuance. Revenue is recognized when the gift card is redeemed or upon “breakage” for the estimated portion of gift cards that are not expected to be redeemed. “Breakage” revenue is calculated under the proportional redemption methodology, which considers the historical patterns of redemption in jurisdictions where the Company is not required to remit the value of the unredeemed gift cards as unclaimed property. The contract liability related to gift cards, net of estimated “breakage,” of $11 million as of both June 27, 2020 and March 28, 2020, is included in accrued expenses and other current liabilities in the Company’s consolidated balance sheet.
Loyalty Program. The Company offers a loyalty program, which allows its Michael Kors U.S. customers to earn points on qualifying purchases toward monetary and non-monetary rewards, which may be redeemed for purchases at Michael Kors retail stores and e-commerce sites. The Company defers a portion of the initial sales transaction based on the estimated relative fair value of the benefits based on projected timing of future redemptions and historical activity. These amounts include estimated “breakage” for points that are not expected to be redeemed. The contract liability, net of an estimated “breakage,” of $2 million as of both June 27, 2020 and March 28, 2020, is recorded as a reduction to revenue in the consolidated statements of operations and comprehensive (loss) income and within accrued expenses and other current liabilities in the Company’s consolidated balance sheet and is expected to be recognized within the next 12 months.
Wholesale
The Company’s products are sold primarily to major department stores, specialty stores and travel retail shops throughout the Americas, EMEA and Asia. The Company also has arrangements where its products are sold to geographic licensees in certain parts of EMEA, Asia and South America.
Licensing
The Company provides its third-party licensees with the right to access its Versace, Jimmy Choo and Michael Kors trademarks under product and geographic licensing arrangements. Under geographic licensing arrangements, third party licensees receive the right to distribute and sell products bearing the Company’s trademarks in retail and/or wholesale channels within certain geographical areas, including Brazil, the Middle East, Eastern Europe, South Africa, certain parts of Asia and Australia.
The Company recognizes royalty revenue and advertising contributions based on the percentage of sales made by the licensees. Generally the Company’s guaranteed minimum royalty amounts due from licensees relate to contractual periods that do not exceed 12 months, however, some of our guaranteed minimums for Versace are multi-year based.
Receivables, net Receivables are presented net of allowances for discounts, markdowns, operational chargebacks and doubtful accounts. Discounts are based on open invoices where trade discounts have been extended to customers. Markdowns are based on wholesale customers’ sales performance, seasonal negotiations with customers, historical deduction trends and an evaluation of current market conditions. Operational chargebacks are based on deductions taken by customers, net of expected recoveries. Such provisions, and related recoveries, are reflected in revenues.The Company’s allowance for doubtful accounts is determined through analysis of periodic aging of receivables that are not covered by insurance and assessments of collectability based on an evaluation of historic and anticipated trends, the financial condition of the Company’s customers and the impact of general economic conditions. The past due status of a receivable is based on its contractual terms. Amounts deemed uncollectible are written off against the allowance when it is probable the amounts will not be recovered.
v3.20.2
Summary of Significant Accounting Policies (Tables)
 3 Months Ended
Jun. 27, 2020
Accounting Policies [Abstract]  
Schedule of Net Lease Costs and Supplemental Cash Flow Information
The following table presents the Company’s supplemental cash flow information related to leases (in millions):
Three Months EndedThree Months Ended
June 27, 2020June 29, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows used in operating leases$40  
(1)
$120  

(1)Operating cash flows used in operating leases for the three months ended June 27, 2020 reflect $85 million of rent payments that have been deferred due to the COVID-19 pandemic.
Schedule of Components of Calculation of Basic Net Income Per Ordinary Share and Diluted Net Income Per Ordinary Share
The components of the calculation of basic net (loss) income per ordinary share and diluted net loss per ordinary share are as follows (in millions, except share and per share data):
 Three Months Ended
June 27,
2020		June 29,
2019
Numerator:
Net (loss) income attributable to Capri$(180) $45  
Denominator:
Basic weighted average shares149,556,310  151,049,572  
Weighted average dilutive share equivalents:
Share options and restricted shares/units, and performance restricted share units
—  1,284,581  
Diluted weighted average shares149,556,310  152,334,153  
Basic net (loss) income per share (1)
$(1.21) $0.30  
Diluted net (loss) income per share (1)
$(1.21) $0.30  

(1)Basic and diluted net (loss) income per share are calculated using unrounded numbers.
v3.20.2
Revenue Recognition (Tables)
 3 Months Ended
Jun. 27, 2020
Revenue from Contract with Customer [Abstract]  
Schedule of Contractually Guaranteed Minimum Fees As of June 27, 2020, contractually guaranteed minimum fees from our license agreements expected to be recognized as revenue during future periods were as follows (in millions):
Contractually Guaranteed Minimum Fees
Remainder of Fiscal 2021$19  
Fiscal 202227  
Fiscal 202323  
Fiscal 202420  
Fiscal 202517  
Fiscal 2026 and thereafter82  
 Total
$188  
Schedule of Segment Revenues Disaggregated by Geographic Location
The following table presents the Company’s segment revenues disaggregated by geographic location (in millions):
 Three Months Ended
 June 27,
2020		June 29,
2019
Versace revenue - the Americas$15  $44  
Versace revenue - EMEA27  92  
Versace revenue - Asia51  71  
 Total Versace
93  207  
Jimmy Choo revenue - the Americas6  30  
Jimmy Choo revenue - EMEA16  79  
Jimmy Choo revenue - Asia29  49  
Total Jimmy Choo51  158  
Michael Kors revenue - the Americas156  655  
Michael Kors revenue - EMEA79  189  
Michael Kors revenue - Asia72  137  
 Total Michael Kors
307  981  
Total revenue - the Americas177  729  
Total revenue - EMEA122  360  
Total revenue - Asia152  257  
Total revenue$451  $1,346  
See Note 3 in the Company’s Annual Report on Form 10-K for the fiscal year ended March 28, 2020 for a complete disclosure of the Company’s revenue recognition policy.
v3.20.2
Receivables, net (Tables)
 3 Months Ended
Jun. 27, 2020
Receivables [Abstract]  
Receivables, net
Receivables, net, consist of (in millions):
June 27,
2020		March 28,
2020
Trade receivables (1)
$263  $432  
Receivables due from licensees21  14  
284  446  
Less: allowances(101) (138) 
$183  $308  

(1)As of June 27, 2020 and March 28, 2020, $56 million and $80 million, respectively, of trade receivables were insured.
v3.20.2
Property and Equipment, net (Tables)
 3 Months Ended
Jun. 27, 2020
Property, Plant and Equipment [Abstract]  
Schedule of Property and Equipment, Net
Property and equipment, net, consists of (in millions):
June 27,
2020		March 28,
2020
Leasehold improvements$706  $704  
Computer equipment and software342  329  
Furniture and fixtures332  329  
In-store shops236  236  
Equipment137  136  
Building49  49  
Land19  19  
1,821  1,802  
Less: accumulated depreciation and amortization(1,343) (1,310) 
478  492  
Construction-in-progress63  69  
$541  $561  
v3.20.2
Intangible Assets and Goodwill (Tables)
 3 Months Ended
Jun. 27, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Indefinite-Lived Intangible Assets
The following table details the carrying values of the Company’s intangible assets and goodwill (in millions):
 June 27,
2020		March 28,
2020
Definite-lived intangible assets:
Reacquired Rights $400  $400  
Trademarks23  23  
Customer Relationships404  404  
Total definite-lived intangible assets827  827  
Less: accumulated amortization(144) (132) 
Net definite-lived intangible assets683  695  
Indefinite-lived intangible assets:
Jimmy Choo brand (1)
364  367  
Versace brand (2)
930  924  
1,294  1,291  
Total intangible assets, excluding goodwill$1,977  $1,986  
Goodwill (3)
$1,490  $1,488  

(1)Includes an accumulated impairment loss of $180 million recorded during the fourth quarter of Fiscal 2020. The change in the carrying value since March 28, 2020 reflects currency translation.
(2)The change in the carrying value since March 28, 2020 reflects currency translation.
(3)Includes an accumulated impairment loss of $171 million related to the Jimmy Choo retail and licensing reporting units recorded during the fourth quarter of Fiscal 2020. The change in the carrying value since March 28, 2020 reflects currency translation.
Schedule of Finite-Lived Intangible Assets
The following table details the carrying values of the Company’s intangible assets and goodwill (in millions):
 June 27,
2020		March 28,
2020
Definite-lived intangible assets:
Reacquired Rights $400  $400  
Trademarks23  23  
Customer Relationships404  404  
Total definite-lived intangible assets827  827  
Less: accumulated amortization(144) (132) 
Net definite-lived intangible assets683  695  
Indefinite-lived intangible assets:
Jimmy Choo brand (1)
364  367  
Versace brand (2)
930  924  
1,294  1,291  
Total intangible assets, excluding goodwill$1,977  $1,986  
Goodwill (3)
$1,490  $1,488  

(1)Includes an accumulated impairment loss of $180 million recorded during the fourth quarter of Fiscal 2020. The change in the carrying value since March 28, 2020 reflects currency translation.
(2)The change in the carrying value since March 28, 2020 reflects currency translation.
(3)Includes an accumulated impairment loss of $171 million related to the Jimmy Choo retail and licensing reporting units recorded during the fourth quarter of Fiscal 2020. The change in the carrying value since March 28, 2020 reflects currency translation.
v3.20.2
Current Assets and Current Liabilities (Tables)
 3 Months Ended
Jun. 27, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Schedule of Prepaid Expenses and Other Current Assets
Prepaid expenses and other current assets consist of the following (in millions):
June 27,
2020		March 28,
2020
Prepaid taxes$95  $116  
Prepaid contracts15  17  
Other accounts receivables12  10  
Other29  24  
$151  $167  
Schedule of Accrued Expenses and Other Current Liabilities
Accrued expenses and other current liabilities consist of the following (in millions):
June 27,
2020		March 28,
2020
Other taxes payable$51  $38  
Return liabilities35  37  
Accrued capital expenditures20  31  
Accrued rent (1)
18  10  
Accrued advertising and marketing6  9  
Gift cards and retail store credits11  11  
Professional services9  10  
Restructuring liability14  9  
Accrued litigation11  10  
Other68  76  
$243  $241  

(1)The accrued rent balance relates to variable lease payments.
v3.20.2
Debt Obligations (Tables)
 3 Months Ended
Jun. 27, 2020
Debt Disclosure [Abstract]  
Schedule of Debt Obligations
The following table presents the Company’s debt obligations (in millions):
June 27,
2020		March 28,
2020
Term Loan$991  $1,015  
Revolving Credit Facilities333  720  
4.000% Senior Notes due 2024
450  450  
Other4  3  
Total debt 1,778  2,188  
Less: Unamortized debt issuance costs9  8  
Less: Unamortized discount on long-term debt1  1  
Total carrying value of debt1,768  2,179  
Less: Short-term debt191  167  
Total long-term debt
$1,577  $2,012  
v3.20.2
Fair Value Measurements (Tables)
 3 Months Ended
Jun. 27, 2020
Fair Value Disclosures [Abstract]  
Schedule of Contracts Measured and Recorded at Fair Value on Recurring and Categorized in Level 2 of Fair Value Hierarchy
All contracts are measured and recorded at fair value on a recurring basis and are categorized in Level 2 of the fair value hierarchy, as shown in the following table (in millions):
 
Fair value at June 27, 2020 using:
Fair value at March 28, 2020 using:
 Quoted prices in
active markets for
identical assets
(Level 1)		Significant
other observable
inputs
(Level 2)		Significant
unobservable
inputs
(Level 3)		Quoted prices in
active markets for
identical assets
(Level 1)		Significant
other observable
inputs
(Level 2)		Significant
unobservable
inputs
(Level 3)
Derivative assets:
Forward foreign currency exchange contracts
$—  $—  $—  $—  $1  $—  
Net investment hedges—  3  —  —  3  —  
Total derivative assets$—  $3  $—  $—  $4  $—  
Derivative liabilities:
Designated interest rate swaps$—  $1  $—  $—  $—  $—  
Fair Value Measurement of Long-term Debt The following table summarizes the carrying values and estimated fair values of the Company’s short- and long-term debt, based on Level 2 measurements (in millions):
June 27, 2020March 28, 2020
Carrying
Value		Estimated
Fair Value 		Carrying
Value		Estimated
Fair Value
4.000% Senior Notes
$446  $422  $446  $443  
Term Loan$985  $817  $1,010  $957  
Revolving Credit Facilities$333  $333  $720  $720  
Schedule of Long-lived Assets, Nonrecurring The following table details the carrying values and fair values of the Company’s assets that have been impaired during the three months ended June 29, 2019 (in millions):
Three Months Ended
June 29, 2019
Carrying Value Prior to ImpairmentFair ValueImpairment Charge
Operating Lease Right-of-Use Assets
$140  $56  $84  
Property and Equipment20  7  13  
Total$160  $63  $97  
v3.20.2
Derivative Financial Instruments (Tables)
 3 Months Ended
Jun. 27, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Fair Value of Derivative Contracts Recorded on Gross Basis in Consolidated Balance Sheets
The following table details the fair value of the Company’s derivative contracts, which are recorded on a gross basis in the consolidated balance sheets as of June 27, 2020 and March 28, 2020 (in millions):
Fair Values
 Notional AmountsAssetsLiabilities
 June 27,
2020		March 28,
2020		June 27,
2020		March 28,
2020		June 27,
2020		March 28,
2020
Designated forward foreign currency exchange contracts
$80  $161  $—  $1  
(1)
$—  $—  
Designated net investment hedge
44  44  3  
(2)
3  
(2)
—  —  
Designated interest rate swaps
500  —  —  —  1  
(3)
—  
Total designated hedges624  205  3  4  1  —  
Undesignated derivative contracts (4)
29  —  —  —  —  —  
Total$653  $205  $3  $4  $1  $—  

(1)Recorded within prepaid expenses and other current assets in the Company’s consolidated balance sheets.
(2)Recorded within other assets in the Company’s consolidated balance sheets.
(3)Recorded within other long-term liabilities in the Company’s consolidated balance sheets.
(4)Primarily includes undesignated hedges of inventory purchases.
Schedule of Derivative Instruments on The Balance Sheets, Net Basis However, if the Company were to offset and record the asset and liability balances for its derivative instruments on a net basis in accordance with the terms of its master netting arrangements, which provide for the right to set-off amounts for similar transactions denominated in the same currencies, the resulting impact as of June 27, 2020 and March 28, 2020 would be as follows (in millions):
Forward Currency Exchange ContractsNet Investment
Hedges		Interest Rate
Swaps
June 27,
2020		March 28,
2020		June 27,
2020		March 28,
2020		June 27,
2020		March 28,
2020
Assets subject to master netting arrangements
$—  $1  $3  $3  $—  $—  
Liabilities subject to master netting arrangements
$—  $—  $—  $—  $1  $—  
Derivative assets, net$—  $1  $3  $3  $—  $—  
Derivative liabilities, net$—  $—  $—  $—  $1  $—  
Reclassification out of Accumulated Other Comprehensive Income
The following table summarizes the pre-tax impact of the gains and losses on the Company’s designated forward foreign currency exchange contracts, net investment hedges and interest rate swaps (in millions):
Three Months Ended
June 27, 2020June 29, 2019
Pre-Tax Losses
Recognized in OCI		Pre-Tax Losses
Recognized in OCI
Designated forward foreign currency exchange contracts
$—  $—  
Designated net investment hedges$—  $(25) 
Designated interest rate swaps$(1) $—  
The following table summarizes the pre-tax impact of the gains and losses within the consolidated statements of operations and comprehensive (loss) income related to the designated forward foreign currency exchange contracts for the three months ended June 27, 2020 and June 29, 2019 (in millions):

Three Months Ended
Pre-Tax (Gain) Loss Reclassified from
Accumulated OCI		Location of (Gain) Loss recognizedTotal Cost of goods sold
June 27, 2020June 29, 2019June 27, 2020June 29, 2019
Designated forward foreign currency exchange contracts
$(1) $(3) Cost of goods sold$149  $512  
v3.20.2
Shareholders' Equity (Tables)
 3 Months Ended
Jun. 27, 2020
Equity [Abstract]  
Changes in Components of Accumulated Other Comprehensive Income (Loss), Net of Taxes
The following table details changes in the components of accumulated other comprehensive (loss) income (“AOCI”), net of taxes for the three months ended June 27, 2020 and June 29, 2019, respectively (in millions):
Foreign
Currency
Translation (Losses) Gains (1)
Net Gains (Losses) on Derivatives (2)
Other Comprehensive (Loss) Income Attributable to Capri
Balance at March 30, 2019$(73) $7  $(66) 
Other comprehensive (loss) income before reclassifications
(25) —  (25) 
Less: amounts reclassified from AOCI to earnings
—  2  2  
Other comprehensive (loss) income, net of tax
(25) (2) (27) 
Balance at June 29, 2019$(98) $5  $(93) 
Balance at March 28, 2020$72  $3  $75  
Other comprehensive (loss) income before reclassifications
(3) —  (3) 
Less: amounts reclassified from AOCI to earnings
—  1  1  
Other comprehensive (loss) income, net of tax
(3) (1) (4) 
Balance at June 27, 2020$69  $2  $71  

(1)Foreign currency translation gains and losses for the three months ended June 27, 2020 include net gains of $1 million on intra-entity transactions that are of a long-term investment nature. Foreign currency translation gains and losses for the three months ended June 29, 2019 include net gains of $3 million on intra-entity transactions that are of a long-term investment nature, a $28 million translation gain relating to the Versace business and a $21 million loss, net of taxes of $4 million, relating to the Company’s net investment hedges.
(2)Reclassified amounts relate to the Company’s forward foreign currency exchange contracts for inventory purchases and are recorded within cost of goods sold in the Company’s consolidated statements of operations and comprehensive (loss) income. All tax effects were not material for the periods presented.
v3.20.2
Share-Based Compensation (Tables)
 3 Months Ended
Jun. 27, 2020
Share-based Payment Arrangement [Abstract]  
Schedule of Share-based Compensation Activity
The following table summarizes the Company’s share-based compensation activity during the three months ended June 27, 2020:
 OptionsService-Based RSUsPerformance-Based RSUs
Outstanding/Unvested at March 28, 2020
2,071,096  4,311,683  772,172  
Granted—  1,772,553  —  
Exercised/Vested—  (850,621) (102,078) 
Change due to performance condition —  —  5,926  
Canceled/forfeited(363,087) (152,289) (131,107) 
Outstanding/Unvested at June 27, 2020
1,708,009  5,081,326  544,913  
Summary of Compensation Expense Attributable to Share-Based Compensation
The following table summarizes compensation expense attributable to share-based compensation for the three months ended June 27, 2020 and June 29, 2019 (in millions):
Three Months Ended
June 27,
2020		June 29,
2019
Share-based compensation expense$24  $28  
Tax benefit related to share-based compensation expense
$5  $5  
v3.20.2
Segment Information (Tables)
 3 Months Ended
Jun. 27, 2020
Segment Reporting [Abstract]  
Key Performance Information of Reportable Segments
The following table presents the key performance information of the Company’s reportable segments (in millions):
 Three Months Ended
 June 27,
2020		June 29,
2019
Total revenue:
Versace$93  $207  
Jimmy Choo51  158  
Michael Kors307  981  
Total revenue$451  $1,346  
(Loss) income from operations:
Versace$(41) $(3) 
Jimmy Choo(29) 11  
Michael Kors(48) 201  
Total segment income from operations(118) 209  
Less: Corporate expenses
(31) (33) 
Restructuring and other charges(8) (15) 
Impairment of assets—  (97) 
COVID-19 related charges (1)
(5) —  
Total (loss) income from operations$(162) $64  
___________________
(1)COVID-19 related charges primarily related to severance costs, partially offset by a credit loss of $(6) million.
Depreciation and Amortization Expense for Each Segment
Depreciation and amortization expense for each segment are as follows (in millions):
 Three Months Ended
 June 27,
2020		June 29,
2019
Depreciation and amortization:
Versace$13  $14  
Jimmy Choo7  8  
Michael Kors34  38  
Total depreciation and amortization$54  $60  
Total Revenue (as Recognized Based on Country of Origin)
Total revenue (based on country of origin) by geographic location are as follows (in millions):
 Three Months Ended
 June 27,
2020		June 29,
2019
Total revenue:
The Americas (1)
$177  $729  
EMEA122  360  
Asia152  257  
Total revenue$451  $1,346  

(1)Total revenue earned in the U.S. were $161 million for the three months ended June 27, 2020 and $681 million for the three months ended June 29, 2019, respectively.
v3.20.2
Business and Basis of Presentation - Additional Information (Details)
 3 Months Ended
Jun. 27, 2020
segment
Accounting Policies [Abstract]  
Number of reportable segments 3
v3.20.2
Summary of Significant Accounting Policies - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Mar. 28, 2020
New Accounting Pronouncements or Change in Accounting Principle [Line Items]      
Raw materials inventory $ 27   $ 27
Sublease income $ 2 $ 1  
Anti-dilutive securities excluded from calculation of basic and diluted net income per ordinary share (in shares) 5,388,905 2,374,578  
COVID-19      
New Accounting Pronouncements or Change in Accounting Principle [Line Items]      
Rent relief $ 15    
Maximum      
New Accounting Pronouncements or Change in Accounting Principle [Line Items]      
Forward contracts term, maximum (no more than) 12 months    
Term of lease 10 years    
v3.20.2
Summary of Significant Accounting Policies - Supplemental Cash Flow Information Related to Leases (Details) - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Cash paid for amounts included in the measurement of lease liabilities:    
Operating cash flows used in operating leases $ 40 $ 120
COVID-19    
Cash paid for amounts included in the measurement of lease liabilities:    
Deferred rent payments $ 85  
v3.20.2
Summary of Significant Accounting Policies - Components of Calculation of Basic Net Income Per Ordinary Share and Diluted Net Income Per Ordinary Share (Details) - USD ($)
$ / shares in Units, $ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Numerator:    
Net (loss) income attributable to Capri $ (180) $ 45
Denominator:    
Basic weighted average shares (in shares) 149,556,310 151,049,572
Weighted average dilutive share equivalents:    
Share options and restricted shares/units, and performance restricted share units (in shares) 0 1,284,581
Diluted weighted average shares (in shares) 149,556,310 152,334,153
Basic net (loss) income per share (in dollars per share) $ (1.21) $ 0.30
Diluted net (loss) income per share (in dollars per share) $ (1.21) $ 0.30
v3.20.2
Revenue Recognition - Narrative (Details) - USD ($)
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Mar. 28, 2020
Contract With Customer, Asset And Liability [Line Items]      
Deferred loyalty program liabilities $ 11,000,000   $ 11,000,000
Return liabilities 35,000,000   37,000,000
Right to recover returned product 10,000,000   14,000,000
Contract liabilities 21,000,000   22,000,000
Revenue recognized during period 3,000,000 $ 14,000,000  
Contract assets 0   0
Gift Cards      
Contract With Customer, Asset And Liability [Line Items]      
Deferred loyalty program liabilities 11,000,000   11,000,000
Deferred loyalty program liabilities      
Contract With Customer, Asset And Liability [Line Items]      
Deferred loyalty program liabilities $ 2,000,000   $ 2,000,000
v3.20.2
Revenue Recognition - Schedule of Contractually Guaranteed Minimum Fees (Details)
$ in Millions
Jun. 27, 2020
USD ($)
Revenue from Contract with Customer [Abstract]  
Remainder of Fiscal 2021 $ 19
Fiscal 2022 27
Fiscal 2023 23
Fiscal 2024 20
Fiscal 2025 17
Fiscal 2026 and thereafter 82
Total $ 188
v3.20.2
Revenue Recognition - Schedule of Revenue Disaggregation (Details) - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Disaggregation of Revenue [Line Items]    
Total revenue $ 451 $ 1,346
The Americas    
Disaggregation of Revenue [Line Items]    
Total revenue 177 729
EMEA    
Disaggregation of Revenue [Line Items]    
Total revenue 122 360
Asia    
Disaggregation of Revenue [Line Items]    
Total revenue 152 257
Versace    
Disaggregation of Revenue [Line Items]    
Total revenue 93 207
Versace | The Americas    
Disaggregation of Revenue [Line Items]    
Total revenue 15 44
Versace | EMEA    
Disaggregation of Revenue [Line Items]    
Total revenue 27 92
Versace | Asia    
Disaggregation of Revenue [Line Items]    
Total revenue 51 71
Jimmy Choo    
Disaggregation of Revenue [Line Items]    
Total revenue 51 158
Jimmy Choo | The Americas    
Disaggregation of Revenue [Line Items]    
Total revenue 6 30
Jimmy Choo | EMEA    
Disaggregation of Revenue [Line Items]    
Total revenue 16 79
Jimmy Choo | Asia    
Disaggregation of Revenue [Line Items]    
Total revenue 29 49
Michael Kors    
Disaggregation of Revenue [Line Items]    
Total revenue 307 981
Michael Kors | The Americas    
Disaggregation of Revenue [Line Items]    
Total revenue 156 655
Michael Kors | EMEA    
Disaggregation of Revenue [Line Items]    
Total revenue 79 189
Michael Kors | Asia    
Disaggregation of Revenue [Line Items]    
Total revenue $ 72 $ 137
v3.20.2
Receivables, net - Schedule of Receivables (Details) - USD ($)
$ in Millions
Jun. 27, 2020
Mar. 28, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Trade receivables $ 263 $ 432
Receivables due from licensees 21 14
Receivables, gross 284 446
Less: allowances (101) (138)
Receivables, net 183 308
Credit risk assumed by insured    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Trade receivables $ 56 $ 80
v3.20.2
Receivables, net - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Mar. 28, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Allowance for doubtful accounts $ 31 $ 39
COVID-19    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Credit loss $ (6)  
v3.20.2
Property and Equipment, net - Schedule of Property and Equipment, Net (Details) - USD ($)
$ in Millions
Jun. 27, 2020
Mar. 28, 2020
Property, Plant and Equipment [Abstract]    
Leasehold improvements $ 706 $ 704
Computer equipment and software 342 329
Furniture and fixtures 332 329
In-store shops 236 236
Equipment 137 136
Building 49 49
Land 19 19
Property and equipment, gross 1,821 1,802
Less: accumulated depreciation and amortization (1,343) (1,310)
Property and equipment, net (excluding construction-in-progress) 478 492
Construction-in-progress 63 69
Property and equipment, net $ 541 $ 561
v3.20.2
Property and Equipment, net - Additional Information (Details) - USD ($)
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Property, Plant and Equipment [Line Items]    
Depreciation and amortization of property and equipment $ 43,000,000 $ 47,000,000
Impairment of long-lived assets $ 0 13,000,000
Premier Retail Site    
Property, Plant and Equipment [Line Items]    
Impairment of long-lived assets   $ 11,000,000
v3.20.2
Intangible Assets and Goodwill - Carrying Values of Finite-Lived Intangible Assets (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 28, 2020
Jun. 27, 2020
Finite-Lived Intangible Assets [Line Items]    
Total definite-lived intangible assets $ 827 $ 827
Less: accumulated amortization (132) (144)
Net definite-lived intangible assets 695 683
Indefinite-lived intangible assets 1,291 1,294
Total intangible assets, excluding goodwill 1,986 1,977
Goodwill 1,488 1,490
Reacquired Rights    
Finite-Lived Intangible Assets [Line Items]    
Total definite-lived intangible assets 400 400
Trademarks    
Finite-Lived Intangible Assets [Line Items]    
Total definite-lived intangible assets 23 23
Customer Relationships    
Finite-Lived Intangible Assets [Line Items]    
Total definite-lived intangible assets 404 404
Jimmy Choo    
Finite-Lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets 367 364
Accumulated impairment loss 180  
Accumulated impairment loss, goodwill 171  
Versace    
Finite-Lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets $ 924 $ 930
v3.20.2
Intangible Assets and Goodwill - Additional Information (Details) - USD ($)
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Finite-Lived Intangible Assets [Line Items]    
Amortization of intangible assets $ 11,000,000 $ 13,000,000
Goodwill and intangible asset impairment charges $ 0 $ 0
v3.20.2
Current Assets and Current Liabilities - Schedule of Prepaid Expenses and Other Current Assets (Details) - USD ($)
$ in Millions
Jun. 27, 2020
Mar. 28, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Prepaid taxes $ 95 $ 116
Prepaid contracts 15 17
Other accounts receivables 12 10
Other 29 24
Prepaid expenses and other current assets $ 151 $ 167
v3.20.2
Current Assets and Current Liabilities - Schedule of Accrued Expenses and Other Current Liabilities (Details) - USD ($)
$ in Millions
Jun. 27, 2020
Mar. 28, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Other taxes payable $ 51 $ 38
Return liabilities 35 37
Accrued capital expenditures 20 31
Accrued rent 18 10
Accrued advertising and marketing 6 9
Gift cards and retail store credits 11 11
Professional services 9 10
Restructuring liability 14 9
Accrued litigation 11 10
Other 68 76
Accrued expenses and other current liabilities $ 243 $ 241
v3.20.2
Restructuring and Other Charges - Narrative (Details)
$ in Millions
 3 Months Ended
Jun. 27, 2020
USD ($)
store
Jun. 29, 2019
USD ($)
Restructuring Cost and Reserve [Line Items]    
Transition costs $ 5 $ 12
Gianni Versace S.r.l.    
Restructuring Cost and Reserve [Line Items]    
Transition costs   7
Jimmy Choo    
Restructuring Cost and Reserve [Line Items]    
Transition costs   5
Contract Termination | Jimmy Choo    
Restructuring Cost and Reserve [Line Items]    
Restructuring charges and other charges   2
Capri Retail Store Optimization Program    
Restructuring Cost and Reserve [Line Items]    
Number of stores expected to close | store 170  
Expected restructuring charges $ 75  
Number of store closed | store 28  
Restructuring charges, net $ 3  
Retail Fleet Optimization Plan    
Restructuring Cost and Reserve [Line Items]    
Restructuring charges and other charges   $ 1
v3.20.2
Debt Obligations - Schedule of Debt Obligations (Details) - USD ($)
$ in Millions
Jun. 27, 2020
Mar. 28, 2020
Debt Instrument [Line Items]    
Total debt $ 1,778 $ 2,188
Less: Unamortized debt issuance costs 9 8
Less: Unamortized discount on long-term debt 1 1
Total carrying value of debt 1,768 2,179
Less: Short-term debt 191 167
Total long-term debt 1,577 2,012
Term Loan    
Debt Instrument [Line Items]    
Total debt 991 1,015
Credit Facility | 2018 Credit Facility | Revolving Credit Facilities    
Debt Instrument [Line Items]    
Total debt 333 720
Less: Short-term debt $ 270 681
4.000% Senior Notes    
Debt Instrument [Line Items]    
Stated interest rate percentage 4.00%  
4.000% Senior Notes | Revolving Credit Facilities    
Debt Instrument [Line Items]    
Total debt $ 450 450
Other    
Debt Instrument [Line Items]    
Total debt $ 4 $ 3
v3.20.2
Debt Obligations - Narrative (Details)
Jun. 26, 2021
USD ($)
Jun. 25, 2020
USD ($)
Dec. 01, 2020
USD ($)
Oct. 01, 2020
USD ($)
Jun. 27, 2020
USD ($)
Mar. 28, 2020
USD ($)
Debt Instrument [Line Items]            
Short-term debt         $ 191,000,000 $ 167,000,000
Long-term debt         1,768,000,000 2,179,000,000
Revolving Credit Facilities | Revolving Credit Facilities            
Debt Instrument [Line Items]            
Letter of credit outstanding         22,000,000  
Revolving Credit Facilities | 2018 Credit Facility | Revolving Credit Facilities            
Debt Instrument [Line Items]            
Net cash proceeds in the aggregate   $ 100,000,000        
Outstanding principal amount of bilateral letters of credit and bilateral bank guarantees   50,000,000        
Short-term debt         270,000,000 681,000,000
Amount available for future borrowings         938,000,000  
Revolving Credit Facilities | 2018 Credit Facility | Revolving Credit Facilities | Subsequent event            
Debt Instrument [Line Items]            
Leverage ratio on credit facility 3.75          
Covenant, cash and cash equivalents threshold     $ 500,000,000 $ 400,000,000    
Revolving Credit Facilities | 2018 Credit Facility | Revolving Credit Facilities | Minimum            
Debt Instrument [Line Items]            
Covenant, cash and cash equivalents threshold   $ 300,000,000        
Revolving Credit Facilities | 2018 Credit Facility | Revolving Credit Facilities | Minimum | Subsequent event            
Debt Instrument [Line Items]            
Covenant, cash and cash equivalents threshold $ 100,000,000          
Revolving Credit Facilities | 2018 Credit Facility | Revolving Credit Facilities | Maximum            
Debt Instrument [Line Items]            
Leverage ratio on credit facility   4.00        
Revolving Credit Facilities | 2018 Credit Facility | Revolving Credit Facilities | Maximum | Subsequent event            
Debt Instrument [Line Items]            
Supply chain financing $ 150,000,000          
Revolving Credit Facilities | 364 Day Facility | Revolving Credit Facilities            
Debt Instrument [Line Items]            
Maximum borrowing capacity   $ 230,000,000        
Debt term   364 days        
Commitment fee percentage   0.35%        
Revolving Credit Facilities | 364 Day Facility | LIBOR | Revolving Credit Facilities            
Debt Instrument [Line Items]            
Debt instrument, basis spread on variable rate   2.25%        
Revolving Credit Facilities | 364 Day Facility | Base Rate | Revolving Credit Facilities            
Debt Instrument [Line Items]            
Debt instrument, basis spread on variable rate   1.25%        
Revolving Credit Facilities | 364 Day Facility | Minimum | Revolving Credit Facilities            
Debt Instrument [Line Items]            
Covenant, cash and cash equivalents threshold   $ 200,000,000        
2018 Term Loan Facility | Term Loan Facility | Revolving Credit Facilities            
Debt Instrument [Line Items]            
Short-term debt         128,000,000 128,000,000
Borrowings outstanding         985,000,000 1,010,000,000.000
Long-term debt         $ 857,000,000 $ 882,000,000
v3.20.2
Fair Value Measurements - Schedule of Contracts Measured and Recorded at Fair Value on Recurring and Categorized in Level 2 of Fair Value Hierarchy (Details) - USD ($)
$ in Millions
Jun. 27, 2020
Mar. 28, 2020
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets $ 3 $ 4
Derivative liabilities 1 0
Fair value, measurements, recurring | Quoted prices in active markets for identical assets (Level 1)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets 0 0
Fair value, measurements, recurring | Significant other observable inputs (Level 2)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets 3 4
Fair value, measurements, recurring | Significant unobservable inputs (Level 3)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets 0 0
Fair value, measurements, recurring | Forward foreign currency exchange contracts | Quoted prices in active markets for identical assets (Level 1)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets 0 0
Fair value, measurements, recurring | Forward foreign currency exchange contracts | Significant other observable inputs (Level 2)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets 0 1
Fair value, measurements, recurring | Forward foreign currency exchange contracts | Significant unobservable inputs (Level 3)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets 0 0
Fair value, measurements, recurring | Net investment hedges | Quoted prices in active markets for identical assets (Level 1)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets 0 0
Fair value, measurements, recurring | Net investment hedges | Significant other observable inputs (Level 2)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets 3 3
Fair value, measurements, recurring | Net investment hedges | Significant unobservable inputs (Level 3)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets 0 0
Fair value, measurements, recurring | Designated interest rate swaps | Quoted prices in active markets for identical assets (Level 1)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative liabilities 0 0
Fair value, measurements, recurring | Designated interest rate swaps | Significant other observable inputs (Level 2)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative liabilities 1 0
Fair value, measurements, recurring | Designated interest rate swaps | Significant unobservable inputs (Level 3)    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative liabilities $ 0 $ 0
v3.20.2
Fair Value Measurements - Schedule of Fair Value Measurement of Long-term Debt (Details) - USD ($)
$ in Millions
Jun. 27, 2020
Mar. 28, 2020
4.000% Senior Notes    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Stated interest rate percentage 4.00%  
4.000% Senior Notes | Carrying Value    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-term debt, fair value disclosure $ 446 $ 446
4.000% Senior Notes | Level 2 | Estimated Fair Value    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-term debt, fair value disclosure 422 443
Term Loan | Carrying Value    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-term debt, fair value disclosure 985 1,010
Term Loan | Level 2 | Estimated Fair Value    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-term debt, fair value disclosure 817 957
Revolving Credit Facilities | Carrying Value    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-term debt, fair value disclosure 333 720
Revolving Credit Facilities | Level 2 | Estimated Fair Value    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-term debt, fair value disclosure $ 333 $ 720
v3.20.2
Fair Value Measurements - Narrative (Details) - USD ($)
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Fair Value Disclosures [Abstract]    
Goodwill and intangible asset impairment charges $ 0 $ 0
v3.20.2
Fair Value Measurements - Schedule of Impaired Long-lived Assets Carrying Value and Fair Value (Details) - USD ($)
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Impairment Charge $ 0 $ 13,000,000
Significant unobservable inputs (Level 3) | Nonrecurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Carrying Value Prior to Impairment   160,000,000
Fair Value   63,000,000
Impairment Charge   97,000,000
Operating Lease Right-of-Use Assets | Significant unobservable inputs (Level 3) | Nonrecurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Carrying Value Prior to Impairment   140,000,000
Fair Value   56,000,000
Impairment Charge   84,000,000
Property and Equipment | Significant unobservable inputs (Level 3) | Nonrecurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Carrying Value Prior to Impairment   20,000,000
Fair Value   7,000,000
Impairment Charge   $ 13,000,000
v3.20.2
Derivative Financial Instruments - Additional Information (Details) - USD ($)
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Apr. 30, 2022
Mar. 28, 2020
Derivative [Line Items]        
Notional amounts $ 653,000,000     $ 205,000,000
Designated as Hedging Instrument        
Derivative [Line Items]        
Notional amounts 624,000,000     205,000,000
Net investment hedges | Net investment hedging | Designated as Hedging Instrument        
Derivative [Line Items]        
Notional amounts 44,000,000     $ 44,000,000
Reduction in interest expense 0 $ 15,000,000    
Net investment hedges | Net investment hedging | Designated as Hedging Instrument | Japan, Yen        
Derivative [Line Items]        
Notional amounts $ 44,000,000      
Derivative fixed interest rate 0.89%      
Designated interest rate swaps | Designated as Hedging Instrument        
Derivative [Line Items]        
Notional amounts $ 500,000,000      
Derivative fixed interest rate 0.237%      
Designated interest rate swaps | Designated as Hedging Instrument | Forecast        
Derivative [Line Items]        
Notional amounts     $ 350,000,000  
v3.20.2
Derivative Financial Instruments - Schedule of Fair Value of Derivative Contracts Recorded on Gross Basis in Consolidated Balance Sheets (Details) - USD ($)
Jun. 27, 2020
Mar. 28, 2020
Derivatives, Fair Value [Line Items]    
Notional Amounts $ 653,000,000 $ 205,000,000
Assets 3,000,000 4,000,000
Liabilities 1,000,000 0
Designated as Hedging Instrument    
Derivatives, Fair Value [Line Items]    
Notional Amounts 624,000,000 205,000,000
Assets 3,000,000 4,000,000
Liabilities 1,000,000 0
Designated as Hedging Instrument | Designated interest rate swaps    
Derivatives, Fair Value [Line Items]    
Notional Amounts 500,000,000  
Not Designated as Hedging Instrument | Forward foreign currency exchange contracts    
Derivatives, Fair Value [Line Items]    
Notional Amounts 29,000,000 0
Assets 0 0
Liabilities 0 0
Cash flow hedging | Designated as Hedging Instrument | Forward foreign currency exchange contracts    
Derivatives, Fair Value [Line Items]    
Notional Amounts 80,000,000 161,000,000
Assets 0 1,000,000
Liabilities 0 0
Cash flow hedging | Designated as Hedging Instrument | Designated interest rate swaps    
Derivatives, Fair Value [Line Items]    
Notional Amounts 500,000,000 0
Assets 0 0
Liabilities 1,000,000 0
Designated net investment hedge | Designated as Hedging Instrument | Net investment hedges    
Derivatives, Fair Value [Line Items]    
Notional Amounts 44,000,000 44,000,000
Assets 3,000,000 3,000,000
Liabilities $ 0 $ 0
v3.20.2
Derivative Financial Instruments - Fair Values of Derivative Assets and Liabilities (Details) - USD ($)
$ in Millions
Jun. 27, 2020
Mar. 28, 2020
Cash flow hedging | Forward Currency Exchange Contracts    
Derivative [Line Items]    
Assets subject to master netting arrangements $ 0 $ 1
Liabilities subject to master netting arrangements 0 0
Derivative assets, net 0 1
Derivative liabilities, net 0 0
Cash flow hedging | Interest Rate Swaps    
Derivative [Line Items]    
Assets subject to master netting arrangements 0 0
Liabilities subject to master netting arrangements 1 0
Derivative assets, net 0 0
Derivative liabilities, net 1 0
Net investment hedging | Net investment hedges    
Derivative [Line Items]    
Assets subject to master netting arrangements 3 3
Liabilities subject to master netting arrangements 0 0
Derivative assets, net 3 3
Derivative liabilities, net $ 0 $ 0
v3.20.2
Derivative Financial Instruments - Summary of Pre-tax Impact of Gains (Losses) on Derivative (Details) - Designated as Hedging Instrument - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Forward Currency Exchange Contracts    
Derivative Instruments, Gain (Loss) [Line Items]    
Pre-Tax Losses Recognized in OCI $ 0 $ 0
Net investment hedges    
Derivative Instruments, Gain (Loss) [Line Items]    
Pre-Tax Losses Recognized in OCI 0 (25)
Interest Rate Swaps    
Derivative Instruments, Gain (Loss) [Line Items]    
Pre-Tax Losses Recognized in OCI $ (1) $ 0
v3.20.2
Derivative Financial Instruments - Summary of Pretax Impact of Gain (Loss) Reclassified from AOCI (Details) - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Derivative Instruments, Gain (Loss) [Line Items]    
Cost of goods sold $ 149 $ 512
Forward Currency Exchange Contracts | Designated as Hedging Instrument    
Derivative Instruments, Gain (Loss) [Line Items]    
Pre-Tax (Gain) Loss Reclassified from Accumulated OCI $ (1) $ (3)
v3.20.2
Shareholders' Equity - Narrative (Details) - USD ($)
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Subsidiary or Equity Method Investee [Line Items]    
Ordinary shares, shares repurchased amount $ 1,000,000 $ 2,000,000
Stock Repurchase Program    
Subsidiary or Equity Method Investee [Line Items]    
Share-repurchase program amount $ 500,000,000 $ 1,000,000,000.0
Ordinary shares, shares repurchased (in shares) 0 0
Share-repurchase program remaining amount $ 400,000,000  
Withholding Taxes    
Subsidiary or Equity Method Investee [Line Items]    
Ordinary shares, shares repurchased (in shares) 38,119 58,304
Ordinary shares, shares repurchased amount $ 1,000,000 $ 2,000,000
v3.20.2
Shareholders' Equity - Changes in Components of Accumulated Other Comprehensive (Loss) Income, Net of Taxes (Details) - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]    
Beginning balance $ 2,168 $ 2,432
Other comprehensive (loss) income, net of tax (4) (27)
Ending balance 2,007 2,324
Foreign Currency Translation Gains (Losses)    
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]    
Beginning balance 72 (73)
Other comprehensive (loss) income before reclassifications (3) (25)
Less: amounts reclassified from AOCI to earnings 0 0
Other comprehensive (loss) income, net of tax (3) (25)
Ending balance 69 (98)
Net gain on long-term transactions 1 3
Loss related to net investment hedges   21
Taxes related to the gain on net investment hedges   4
Foreign Currency Translation Gains (Losses) | Gianni Versace S.r.l.    
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]    
Foreign currency translation adjustments   28
Net Gains (Losses) on Derivatives    
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]    
Beginning balance 3 7
Other comprehensive (loss) income before reclassifications 0 0
Less: amounts reclassified from AOCI to earnings 1 2
Other comprehensive (loss) income, net of tax (1) (2)
Ending balance 2 5
Other Comprehensive (Loss) Income Attributable to Capri    
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]    
Beginning balance 75 (66)
Other comprehensive (loss) income before reclassifications (3) (25)
Less: amounts reclassified from AOCI to earnings 1 2
Other comprehensive (loss) income, net of tax (4) (27)
Ending balance $ 71 $ (93)
v3.20.2
Share-Based Compensation - Additional Information (Details)
$ / shares in Units, $ in Millions
 3 Months Ended
Jun. 27, 2020
USD ($)
equity_plan
$ / shares
shares
Jun. 29, 2019
$ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Number of equity plans | equity_plan 2  
Estimated value of future forfeitures | $ $ 13  
Service-Based RSUs    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Weighted average grant date fair value of RSUs (in dollar per share) | $ / shares $ 16.24 $ 33.90
Performance-Based RSUs    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Weighted average grant date fair value of RSUs (in dollar per share) | $ / shares   $ 33.86
2008 Plan    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Number of equity plans adopted | equity_plan 1  
Shares authorized for issuance (up to) (in shares) 23,980,823  
Shares available for grant (in shares) 0  
Option expiration period (years) 10 years  
2012 Plan    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Shares authorized for issuance (up to) (in shares) 15,246,000  
Shares available for grant (in shares) 1,554,923  
Option expiration period (years) 7 years  
v3.20.2
Share-Based Compensation - Summary of Share-based Compensation Activity (Details)
 3 Months Ended
Jun. 27, 2020
shares
Options  
Options  
Outstanding at beginning of period (in shares) 2,071,096
Granted (in shares) 0
Exercised (in shares) 0
Canceled/forfeited (in shares) (363,087)
Outstanding at end of period (in shares) 1,708,009
Service-Based RSUs  
RSUs  
Unvested at beginning of period (in shares) 4,311,683
Granted (in shares) 1,772,553
Vested (in shares) (850,621)
Change due to performance condition (in shares) 0
Canceled/forfeited (in shares) (152,289)
Unvested at end of period (in shares) 5,081,326
Performance-Based RSUs  
RSUs  
Unvested at beginning of period (in shares) 772,172
Granted (in shares) 0
Vested (in shares) (102,078)
Change due to performance condition (in shares) 5,926
Canceled/forfeited (in shares) (131,107)
Unvested at end of period (in shares) 544,913
v3.20.2
Share-Based Compensation - Summary of Compensation Expense Attributable to Share-Based Compensation (Details) - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Share-based Payment Arrangement [Abstract]    
Share-based compensation expense $ 24 $ 28
Tax benefit related to share-based compensation expense $ 5 $ 5
v3.20.2
Income Taxes (Details)
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Operating Loss Carryforwards [Line Items]    
Effective tax rate (2.90%) 11.80%
United Kingdom | Foreign Tax Authority    
Operating Loss Carryforwards [Line Items]    
Provision for incomes taxes at the U.K. statutory tax rate 17.00% 19.00%
v3.20.2
Segment Information - Additional Information (Details)
$ in Millions
 3 Months Ended
Jun. 27, 2020
USD ($)
retaile_store_format
segment
Mar. 28, 2020
USD ($)
Segment Reporting Information [Line Items]    
Number of operating segments | segment 3  
Number of reportable segments | segment 3  
Assets | $ $ 7,533 $ 7,946
Cash and cash equivalents | $ $ 207 $ 592
Michael Kors    
Segment Reporting Information [Line Items]    
Number of retail store formats | retaile_store_format 4  
v3.20.2
Segment Information - Key Performance Information of Reportable Segments (Details) - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Segment Reporting Information [Line Items]    
Total revenue $ 451 $ 1,346
Less: Corporate expenses (31) (33)
Restructuring and other charges (8) (15)
Impairment of assets 0 (97)
Total (loss) income from operations (162) 64
COVID-19    
Segment Reporting Information [Line Items]    
COVID-19 related charges (5) 0
Credit loss (6)  
Operating Segments    
Segment Reporting Information [Line Items]    
Total (loss) income from operations (118) 209
Versace    
Segment Reporting Information [Line Items]    
Total revenue 93 207
Versace | Operating Segments    
Segment Reporting Information [Line Items]    
Total (loss) income from operations (41) (3)
Jimmy Choo    
Segment Reporting Information [Line Items]    
Total revenue 51 158
Jimmy Choo | Operating Segments    
Segment Reporting Information [Line Items]    
Total (loss) income from operations (29) 11
Michael Kors    
Segment Reporting Information [Line Items]    
Total revenue 307 981
Michael Kors | Operating Segments    
Segment Reporting Information [Line Items]    
Total (loss) income from operations $ (48) $ 201
v3.20.2
Segment Information - Depreciation and Amortization Expense for Each Segment (Details) - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Segment Reporting Information [Line Items]    
Total depreciation and amortization $ 54 $ 60
Versace    
Segment Reporting Information [Line Items]    
Total depreciation and amortization 13 14
Jimmy Choo    
Segment Reporting Information [Line Items]    
Total depreciation and amortization 7 8
Michael Kors    
Segment Reporting Information [Line Items]    
Total depreciation and amortization $ 34 $ 38
v3.20.2
Segment Information - Total Revenue (as Recognized Based on Country of Origin) by Geographic Location (Details) - USD ($)
$ in Millions
 3 Months Ended
Jun. 27, 2020
Jun. 29, 2019
Revenues from External Customers and Long-Lived Assets [Line Items]    
Total revenue $ 451 $ 1,346
The Americas    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Total revenue 177 729
EMEA    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Total revenue 122 360
Asia    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Total revenue 152 257
U.S.    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Total revenue $ 161 $ 681
v3.20.2
Subsequent Events (Details) - USD ($)
Sep. 27, 2020
Jun. 27, 2020
Mar. 28, 2020
Subsequent Event [Line Items]      
Notional amounts   $ 653,000,000 $ 205,000,000
Designated as Hedging Instrument      
Subsequent Event [Line Items]      
Notional amounts   624,000,000 205,000,000
Net investment hedges | Net investment hedging | Designated as Hedging Instrument      
Subsequent Event [Line Items]      
Notional amounts   $ 44,000,000 $ 44,000,000
Subsequent event | Euro Member Countries, Euro | Net investment hedges | Net investment hedging | Designated as Hedging Instrument      
Subsequent Event [Line Items]      
Notional amounts $ 1,000,000,000