Annual report pursuant to Section 13 and 15(d)

Accounts Receivable

v2.4.0.8
Accounts Receivable
 12 Months Ended
Dec. 28, 2013
Accounts Receivable

Note C — Accounts Receivable

2013 2012
In thousands

Trade

 $ 1,320,669 $ 1,179,832

Royalty and other

 85,124 91,511

Total accounts receivable

 1,405,793 1,271,343

Less allowance for doubtful accounts

 45,350 48,998

Accounts receivable, net

 $ 1,360,443 $ 1,222,345

VF has an agreement with a financial institution to sell selected trade accounts receivable on a recurring, nonrecourse basis. Under the agreement, up to $237.5 million of accounts receivable may be sold to the financial institution and remain outstanding at any point in time. After the sale, VF does not retain any interests in the accounts receivable and removes them from the Consolidated Balance Sheets, but continues to service and collect outstanding accounts receivable on behalf of the financial institution. At December 2013 and 2012, accounts receivable had been reduced by $136.4 million and $127.4 million, respectively, related to this program. During the years 2013 and 2012, VF sold a total of $1,259.7 million and $1,278.0 million, respectively, of accounts receivable at their stated amounts, less a funding fee charged by the financial institution. The funding fee is recorded in other income (expense), net, and totaled $1.8 million in 2013, $2.0 million in 2012, and $2.0 million in 2011. Net proceeds of this program are classified in operating activities in the Consolidated Statements of Cash Flows.