Licensing segment net revenue increased 4.7% to $30.3 million in the first quarter of fiscal 2014, from $28.9 million in the prior-year period.

Adjusted operating earnings for the first quarter of fiscal 2014 decreased 65.1% to $13.7 million (including a $0.3 million favorable currency translation impact) from operating earnings of $39.1 million in the prior-year period. 

Adjusted operating margin in the first quarter declined 430 basis points to 2.5%, compared to operating margin of 6.8% in the prior-year quarter.  The lower operating margin primarily reflects the impact of negative same store sales on the Company's fixed cost structure, lower sales in our European wholesale business and more markdowns in our North American Retail business, partially offset by lower corporate expenses. 

On a GAAP basis, operating earnings decreased 71.1% and operating margin declined 470 basis points.   

Other net income, which primarily includes net unrealized mark-to-market revaluation gains on foreign currency contracts and net unrealized gains on non-operating assets, was $5.5 million for the first quarter of fiscal 2014, compared to $0.6 million in the prior-year quarter.

The Company's first quarter fiscal 2014 effective tax rate increased to 33.0%, compared to 32.0% for the first quarter of the prior year.

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