Enhancing Core Treasury Functions Globally June 2016 1

Agenda Intro Planning Why TMS Vendor Evaluation Internal “buy-in” Implementation Approach Challenges International Roll out Live! Processes and capabilities Operational and Strategic Benefits Lessons learned Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 2 2

Intro Coach: Leading New York design house of modern luxury accessories and lifestyle brands Actualize: Boutique consulting firm focused on enhancing Treasury Operations and Technology Project: Global TMS Implementation Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 3 3

Planning - Why TMS Prior Structure Operations Goals Coach US responsible for North America Decentralized treasury with low global visibility 50+ banks/branches 500+ bank accounts Operations Manual, excel files, non-integrated systems Multiple bank platforms Small team Global consolidation at month end for accounting and reporting purpose Goals Visibility Time savings Enhanced controls over payments, GL posting and reconciliation Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 4 4

Planning - Vendor Evaluation Sourcing vendors Matching vendors with services needed Existing relationships, network, conferences RFP Accelerated process with 3 vendors Demos Scorecard: pros-cons, budget Usability & User experience Functionality by modules/processes Scalability Ease of implementation (IT resources capability) Cost to implement Cost to maintain Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 5 5

Planning - Internal buy-in Steps Annual Operating Plan: high level budget prior to RFP process Internal stakeholders support: IT, Accounting, Procurement and CFO Capital Committee Prep work Presentation material for management with focus on controls and efficiency Sourced TMS vendors and Consulting work Overall Period: 6-9 months Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 6 6

Implementation –Approach Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 7 7

Implementation -Approach Phased Approach by region and modules Connectivity to global banks and account Region: North America for all modules first Modules Phase 1.a: Cash & Forecasting, GL Posting Phase 1.b: Financial Transactions, Bank Account Management Phase 2: Payments, GL Reconciliation, Bank Fee Analysis Incorporation of Stuart Weitzman May/2015 Duration: 12 months for core functions + 6 months added functionality SaaS system, largely managed by Treasury (little IT intervention) Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 8 8

Implementation -Approach Blueprint Project Plan Client Data Design/ Requirements Configuration/ Connectivity Validation & Training UAT Parallel Documentation Live Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) Highlighted functions: performed for each functionality/ module 9 9

Implementation -Approach Blueprint = BP Project Plan = PP Client Data = CD Requirements= REQ Configuration = CF Training= TR Parallel= PL Documentation = DC Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 10 10

Implementation – Challenges Clearly defining scope given existing roles and responsibilities and changing environment (ie: acquisition of SW) Managing and obtaining timely deliverables for third parties involved (i.e. banks, Treasury technology provider, etc.) Identifying and accurately collecting data from new upstream sources (i.e. market data, bank reporting, forecasts and accounting entries from ERP, etc.) Configuration and test of payments file across multiple banks and unique requirements Limitations identified with Treasury technology requiring enhancements or workarounds Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 11 11

Implementation – International Rollout Next step: International Rollout Additional internal approvals for roll out and add users to TMS Future users buy-in by providing reporting with actual data Connectivity to global banks and accounts for statements Region: Asia Supply Chain legal entities Modules Phase 1: Cash & Forecasting, GL Posting Phase 2: Payments, GL Reconciliation Estimated Duration: 6-9 month Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 12 12

Live! - Processes and capabilities Function Before After Cash Positioning Excel based and manual log in to bank portals Automatic, readily available in the morning with intraday updates GL Posting Download from old system, manipulate and upload to SAP Workflow in TMS, once approved are exported to SAP GL Reconciliation Manual Automatic feed, only exception handling BAM Paper and excel based Cumbersome FBAR reporting Managed in the system with electronic letters Semi-automated FBAR Payments Multiple bank platforms Single source Financial transactions Mostly Excel Hosted in the system and linked to forecast and payments Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 13 13

Live! – Operational Benefits Creation of central hub where majority of Treasury activity occurs Real-time reporting on global cash balances Customized reporting for individual stakeholders and users Automation of cash accounting entries and daily integration with SAP Improved automation and created true STP environment Integration with banks, and SAP (import of forecasting data, accounting entries for reconciliation and export of daily journal entries) Provide remote access to businesses for forecasting and reporting Removes current dependence on Excel environment Streamlined processes and reduced manual efforts saving time and improving accuracy and controls Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 14 14

Live! – Strategic Benefits Enhanced visibility into all aspects of Treasury function across all groups within the company within and outside of Treasury Enhanced and automated controls environment Shifted significant portion of Treasury activities from manually intensive operational to value added analytical Scalable for future M&A activity Enhanced controls and more systematic tracking for audit support Centralized source of Treasury data utilized for all aspects of business Ability to produce reports directly from the application thereby significantly minimizing dependency and usage of Excel Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 15 15

Live! - Lessons Learned Communicate changes upfront and be prepared for questions Involve stakeholders early on Accounts and Bank rationalization (if possible) Audit documentation Upfront global connectivity to banks Bank connectivity - scope cost of TMS + bank for budgeting Be flexible for changes in plan and open to “work around” Empower team, think outside of the box Briefly mention topics covered in last brown bag - - - can redistribute materials to anyone interested (Point 1) Mention “stabilization” of clearing - - - part of daily routine; firms now looking to minimize expenses brought on by CM (Point 1) State of flux; firm focus shifted from clearing to operational stabilization and new operational processes (Point 2) Define “Initial Margin” (Point 3) Briefly define CO/CT (Point 5) 16 16

Q&A Katia DeVita Priscila Nagalli, CFA, CTP Sr Director, Assistant Treasurer kdevita@coach.com Priscila Nagalli, CFA, CTP Manager, Treasury & Capital Markets pnagalli@actualizeconsulting.com