This excerpt taken from the COH 10-K filed Sep 18, 2003.
1. Presentation, Organization and Significant Accounting Policies
Coach (the Company) was formed in 1941 and was acquired by Sara Lee Corporation in July 1985. On June 1, 2000, Coach was incorporated under the laws of the state of Maryland. Pursuant to the Separation Agreements, Sara Lee transferred to Coach the assets and liabilities that related to the Coach business on October 2, 2000 (the Separation Date).
In October 2000, Coach was listed on the New York Stock Exchange and sold 16,974 shares of its common stock, representing 19.5% of the outstanding shares in an initial public offering. In April 2001, Sara Lee completed a distribution of its ownership in Coach via an exchange offer.
Coach designs, produces and markets high-quality, modern American classic accessories. Coach products are manufactured primarily by third-party suppliers. Coach markets products via Company operated retail stores and factory stores, direct mail catalogs, an e-commerce website, and via selected upscale department and specialty retailer locations and international department, retail and duty-free shop locations.
The consolidated financial statements of Coach reflect the historical results of operations and cash flows of the Coach leather goods and accessories business of Sara Lee during each respective period until the Separation Date. The historical financial statements have been prepared using Sara Lees historical basis in the assets and liabilities and the results of Coachs business. The financial information included herein may not reflect the consolidated financial position, operating results, changes in stockholders equity and cash flows of Coach in the future, or what they would have been had Coach been a separate, stand-alone entity during Sara Lees ownership. On the Separation Date, Coach began operating as a separate legal entity.