Document and Entity Information
Document and Entity Information - $ / shares | 3 Months Ended | |
May 04, 2019 | Jun. 05, 2019 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | STAGE STORES INC | |
Entity Central Index Key (CIK) | 0000006885 | |
Current Fiscal Year End Date | --02-01 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Document Type | 10-Q | |
Document Period End Date | May 4, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 28,663,276 | |
Entity Current Reporting Status | Yes | |
Entity Listing, Description | Common Stock | |
Entity Listing, Par Value Per Share | $ 0.01 | |
NEW YORK STOCK EXCHANGE, INC. | ||
Entity Listings [Line Items] | ||
Trading Symbol | SSI |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | May 04, 2019 | Feb. 02, 2019 | May 05, 2018 |
ASSETS | |||
Cash and cash equivalents | $ 22,793 | $ 15,830 | $ 29,091 |
Merchandise inventories, net | 472,000 | 424,555 | 477,562 |
Prepaid expenses and other current assets | 43,817 | 52,518 | 48,762 |
Total current assets | 538,610 | 492,903 | 555,415 |
Property, equipment and leasehold improvements, net of accumulated depreciation of $742,162, $733,366 and $713,867, respectively | 211,849 | 224,803 | 244,214 |
Operating lease assets | 332,233 | ||
Intangible assets | 2,225 | 2,225 | 17,135 |
Other non-current assets, net | 22,690 | 24,230 | 23,715 |
Total assets | 1,107,607 | 744,161 | 840,479 |
LIABILITIES AND STOCKHOLDERS' EQUITY | |||
Accounts payable | 121,347 | 106,825 | 128,883 |
Current portion of debt obligations | 5,170 | 4,812 | 2,896 |
Current portion of operating lease liabilities | 75,211 | ||
Accrued expenses and other current liabilities | 73,822 | 65,715 | 64,617 |
Total current liabilities | 275,550 | 177,352 | 196,396 |
Long-term debt obligations | 306,699 | 250,294 | 265,469 |
Long-term operating lease liabilities | 289,154 | ||
Other long-term liabilities | 33,305 | 61,990 | 66,029 |
Total liabilities | 904,708 | 489,636 | 527,894 |
Commitments and contingencies | |||
Common stock, par value $0.01, 100,000 shares authorized, 33,805, 33,469 and 33,111 shares issued, respectively | 338 | 335 | 331 |
Additional paid-in capital | 424,407 | 423,535 | 420,091 |
Treasury stock, at cost, 5,175 shares, respectively | (43,552) | (43,579) | (43,339) |
Accumulated other comprehensive loss | (5,687) | (5,857) | (4,978) |
Accumulated deficit | (172,607) | (119,909) | (59,520) |
Total stockholders' equity | 202,899 | 254,525 | 312,585 |
Total liabilities and stockholders' equity | $ 1,107,607 | $ 744,161 | $ 840,479 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) shares in Thousands, $ in Thousands | May 04, 2019 | Feb. 02, 2019 | May 05, 2018 |
Statement of Financial Position [Abstract] | |||
Accumulated depreciation | $ 742,162 | $ 733,366 | $ 713,867 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 100,000 | 100,000 | 100,000 |
Common stock, shares issued (in shares) | 33,805 | 33,469 | 33,111 |
Treasury stock, at cost (in shares) | 5,175 | 5,175 | 5,175 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
May 04, 2019 | May 05, 2018 | |
Income Statement [Abstract] | ||
Net sales | $ 327,721 | $ 344,229 |
Credit income | 13,108 | 15,514 |
Total revenues | 340,829 | 359,743 |
Cost of sales and related buying, occupancy and distribution expenses | 277,599 | 281,741 |
Selling, general and administrative expenses | 106,576 | 107,277 |
Interest expense | 3,994 | 2,253 |
Loss before income tax | (47,340) | (31,528) |
Income tax expense | 150 | 150 |
Net loss | (47,490) | (31,678) |
Other comprehensive income: | ||
Amortization of employee benefit related costs, net of tax of $0, respectively | 170 | 199 |
Total other comprehensive income | 170 | 199 |
Comprehensive loss | $ (47,320) | $ (31,479) |
Net loss per share: | ||
Basic loss per share | $ (1.67) | $ (1.14) |
Diluted loss per share | $ (1.67) | $ (1.14) |
Weighted average shares outstanding: | ||
Basic weighted average shares outstanding | 28,441 | 27,765 |
Diluted weighted average shares outstanding | 28,441 | 27,765 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
May 04, 2019 | May 05, 2018 | |
Cash flows from operating activities: | ||
Net loss | $ (47,490) | $ (31,678) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization of long-lived assets | 15,344 | 15,151 |
Impairment of long-lived assets | 519 | |
Gain on retirements of property, equipment and leasehold improvements | (678) | (30) |
Non-cash operating lease expense | 17,588 | |
Stock-based compensation expense | 949 | 1,558 |
Amortization of debt issuance costs | 170 | 74 |
Deferred compensation obligation | (27) | 41 |
Amortization of employee benefit related costs | 170 | 199 |
Construction allowances from landlords | 1,867 | |
Other changes in operating assets and liabilities: | ||
Increase in merchandise inventories | (47,445) | (39,185) |
Decrease in other assets | 14,252 | 4,303 |
Decrease in operating lease liabilities | (18,972) | |
Increase (decrease) in accounts payable and other liabilities | 26,551 | (19,088) |
Net cash used in operating activities | (37,202) | (68,655) |
Cash flows from investing activities: | ||
Additions to property, equipment and leasehold improvements | (13,774) | (6,930) |
Proceeds from insurance and disposal of assets | 678 | 45 |
Net cash used in investing activities | (13,096) | (6,885) |
Cash flows from financing activities: | ||
Proceeds from revolving credit facility borrowings | 149,411 | 164,071 |
Payments of revolving credit facility borrowings | (91,756) | (78,310) |
Payments of long-term debt obligations | (338) | (731) |
Payments of debt issuance costs | (36) | |
Payments for stock related compensation | (20) | (204) |
Cash dividends paid | (1,445) | |
Net cash provided by financing activities | 57,261 | 83,381 |
Net increase in cash and cash equivalents | 6,963 | 7,841 |
Cash and cash equivalents: | ||
Beginning of period | 15,830 | 21,250 |
End of period | 22,793 | 29,091 |
Supplemental disclosures including non-cash investing and financing activities: | ||
Interest paid | 3,745 | 2,116 |
Income taxes paid (refunded) | 473 | (180) |
Unpaid liabilities for capital expenditures | $ 3,863 | $ 2,597 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Treasury Stock | Accumulated Other Comprehensive Loss | Accumulated Deficit | |
Balance at Feb. 03, 2018 | $ 344,114 | $ 328 | $ 418,658 | $ (43,298) | $ (5,177) | $ (26,397) | |
Balance (in shares) at Feb. 03, 2018 | 32,806 | 5,175 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net loss | (31,678) | (31,678) | |||||
Other comprehensive income | 199 | 199 | |||||
Dividends on common stock, $0.05 per share | (1,445) | (1,445) | |||||
Deferred compensation | 41 | $ (41) | |||||
Issuance of equity awards, net | $ 3 | (3) | |||||
Issuance of equity awards, net (in shares) | 305 | ||||||
Tax withholdings paid for net settlement of stock awards | (163) | (163) | |||||
Stock-based compensation expense | 1,558 | 1,558 | |||||
Balance at May. 05, 2018 | 312,585 | $ 331 | 420,091 | $ (43,339) | (4,978) | (59,520) | |
Balance (in shares) at May. 05, 2018 | 33,111 | 5,175 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Cumulative-effect adjustment | [1] | (5,208) | (5,208) | ||||
Balance at Feb. 02, 2019 | 254,525 | $ 335 | 423,535 | $ (43,579) | (5,857) | (119,909) | |
Balance (in shares) at Feb. 02, 2019 | 33,469 | 5,175 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net loss | (47,490) | (47,490) | |||||
Other comprehensive income | 170 | 170 | |||||
Deferred compensation | (27) | $ 27 | |||||
Issuance of equity awards, net | $ 3 | (3) | |||||
Issuance of equity awards, net (in shares) | 336 | ||||||
Tax withholdings paid for net settlement of stock awards | (47) | (47) | |||||
Stock-based compensation expense | 949 | 949 | |||||
Balance at May. 04, 2019 | $ 202,899 | $ 338 | $ 424,407 | $ (43,552) | $ (5,687) | $ (172,607) | |
Balance (in shares) at May. 04, 2019 | 33,805 | 5,175 | |||||
[1] | Related to the adoption of the new lease accounting standard. See Note 1 for further disclosures regarding the adoption impact. |
Condensed Consolidated Statem_4
Condensed Consolidated Statement of Stockholders' Equity (Unaudited) (Parenthetical) | 3 Months Ended |
May 05, 2018$ / shares | |
Statement of Stockholders' Equity [Abstract] | |
Dividends on common stock (in dollars per share) | $ 0.05 |
Basis of Presentation (Notes)
Basis of Presentation (Notes) | 3 Months Ended |
May 04, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies | BASIS OF PRESENTATION The accompanying condensed consolidated financial statements of Stage Stores, Inc. and its subsidiary (“we,” “us” or “our”) have been prepared in accordance with the requirements of the U.S. Securities and Exchange Commission (“SEC”) for interim financial information and do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statements. Those adjustments that are, in the opinion of management, necessary for a fair presentation of the results of the interim periods have been made. Results of operations for such interim periods are not necessarily indicative of the results of operations for a full year due to seasonality and other factors. The condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto filed with our Annual Report on Form 10-K for the year ended February 2, 2019 (“Form 10-K”). We are a retailer of trend-right, moderately priced, name-brand apparel, accessories, cosmetics, footwear and home goods. As of May 4, 2019 , we operated in 42 states through 685 BEALLS, GOODY’S, PALAIS ROYAL, PEEBLES and STAGE specialty department stores and 105 GORDMANS off-price stores, as well as an e-commerce website (www.stage.com). Our department stores are predominantly located in small towns and rural communities. Our off-price stores are predominantly located in smaller and mid-sized markets in the Midwest. References to a particular year are to our fiscal year, which is the 52- or 53-week period ending on the Saturday closest to January 31st of the following calendar year. For example, a reference to “2019” is a reference to the fiscal year ending February 1, 2020, and “2018” is a reference to the fiscal year ended February 2, 2019. Fiscal years 2019 and 2018 are comprised of 52 weeks. References to the “ three months ended May 4, 2019 ” and “ three months ended May 5, 2018 ” are for the respective 13-week fiscal quarters. References to quarters relate to our fiscal quarters. Recently Adopted Accounting Pronouncements . In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Updates (“ASU”) 2016-02, Leases (Topic 842) , and subsequently issued related ASUs, which were incorporated into Topic 842 . Under the new standard, lessees are required to recognize a right-of-use asset and a lease liability, measured on a discounted basis, at the later of the lease commencement date and the date of adoption. The guidance also requires qualitative and quantitative disclosures about the amount, timing and uncertainty of cash flows arising from leases. We adopted the new standard on February 3, 2019, the first day of fiscal 2019. Transition elections: • We elected to apply the effective date transition method as of the February 3, 2019 adoption date. Comparative periods prior to the adoption of the new standard have not been restated and are reported under the legacy guidance in Accounting Standards Codification (“ASC”) Topic 840, Leases . • We elected the package of practical expedients in the transition guidance, which permits us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. • We elected not to use the practical expedient of using hindsight to determine the lease term and in assessing impairment of the right-of-use assets. Accounting policy elections: • We elected the short-term lease exemption for non-real estate leases that have a lease term of twelve months or less. For non-real estate leases that qualify for the short-term exemption, we will not recognize a right-of-use asset or liability and will recognize those lease expenses on a straight-line basis over the lease term. • We elected to not separate lease and non-lease components for all of our current lease classes. The adoption of the standard resulted in the recognition of operating lease assets and liabilities of $344.2 million and $375.8 million , respectively, as of February 3, 2019. Included in the measurement of the operating lease assets and liabilities is the reclassification of balances historically recorded as deferred rent and deferred rent tenant allowances. We also recognized a cumulative effect charge of $5.2 million , net of tax, to the opening accumulated deficit balance. This adjustment reflects $5.8 million in depreciation of leasehold improvements associated with conforming the asset useful life to the remaining lease life as of the transition date. It also reflects $0.6 million associated with the derecognition of lease obligations that had been classified as finance obligations under the former failed sale-leaseback guidance applied to build-to-suit arrangements. Under the new standard, these leases are classified as operating leases. The adoption of the standard did not have a material impact on our results of operations or cash flows. In addition, our bank covenants under our Credit Facility were not affected by the adoption of the standard. See Note 5 for further disclosures regarding leases. Recent Accounting Pronouncements Not Yet Adopted . In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement , which eliminates, adds and modifies certain disclosure requirements for fair value measurements. The new standard will be effective for us in the first quarter of fiscal 2020, with early adoption permitted. We are currently evaluating the impact of the new guidance on our disclosures. In August 2018, the FASB issued ASU 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (a consensus of the FASB Emerging Issues Task Force), which aligns the requirements for capitalizing implementation costs in a hosting arrangement that is a service contract with the requirements for capitalizing implementations costs incurred to develop or obtain internal-use software. The guidance also requires disclosure of the nature of hosting arrangements that are service contracts. The new standard will be effective for us in the first quarter of fiscal 2020, with early adoption permitted. We are currently evaluating the impact of the new guidance on our financial statements and disclosures. |
Fair Value Measurements (Notes)
Fair Value Measurements (Notes) | 3 Months Ended |
May 04, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | FAIR VALUE MEASUREMENTS We recognize or disclose the fair value of our financial and non-financial assets and liabilities on a recurring and non-recurring basis. Fair value is defined as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities which are required to be recorded at fair value, we assume the highest and best use of the asset by market participants in which we would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability. We applied the following fair value hierarchy, which prioritizes the inputs used to measure fair value into three levels, and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: Level 1 – Quoted prices in active markets for identical assets or liabilities. Level 2 – Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 – Inputs that are both unobservable and significant to the overall fair value measurement reflect our estimates of assumptions that market participants would use in pricing the asset or liability. Financial assets and liabilities measured at fair value on a recurring basis were as follows (in thousands): May 4, 2019 Balance Quoted Prices in Active Markets for Identical Instruments (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other assets: Securities held in grantor trust for deferred (a)(b) $ 17,887 $ 17,887 $ — $ — February 2, 2019 Balance Quoted Prices in Active Markets for Identical Instruments (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other assets: Securities held in grantor trust for deferred (a)(b) $ 19,536 $ 19,536 $ — $ — May 5, 2018 Balance Quoted Prices in Active Markets for Identical Instruments Significant Other Observable Inputs Significant Unobservable Inputs Other assets: Securities held in grantor trust for deferred (a)(b) $ 19,606 $ 19,606 $ — $ — (a) The liability for the amount due to participants corresponding in value to the securities held in the grantor trust is recorded in other long-term liabilities. (b) Using the market approach, the fair values of these securities represent quoted market prices multiplied by the quantities held. Net gains and losses related to the changes in fair value in the assets and liabilities under the various deferred compensation plans are recorded in selling, general and administrative expenses and were nil for the three months ended May 4, 2019 and May 5, 2018 , and for the fiscal year ended February 2, 2019 . Non-financial assets measured at fair value on a nonrecurring basis were as follows (in thousands): May 4, 2019 Balance Quoted Prices in Active Markets for Identical Instruments Significant Other Observable Inputs Significant Unobservable Inputs Assets: Assets held for sale (a) $ 3,270 $ — $ — $ 3,270 Store property, equipment and leasehold improvements (b) 2 — — 2 Total Assets $ 3,272 $ — $ — $ 3,272 February 2, 2019 Balance Quoted Prices in Active Markets for Identical Instruments Significant Other Observable Inputs Significant Unobservable Inputs Assets: Store property, equipment and leasehold improvements (a) $ 1,583 $ — $ — $ 1,583 (a) Assets held for sale are reflected in prepaid expenses and other current assets. (b) Using an undiscounted cash flow model, we evaluate the cash flow trends of our stores at least annually and when events or changes in circumstances, such as a store closure, indicate that property, equipment and leasehold improvements may not be fully recoverable. When a store’s projected undiscounted cash flows indicate its carrying value may not be recoverable, we use a discounted cash flow model to estimate the fair value of the underlying long-lived assets. An impairment write-down is recorded if the carrying value of a long-lived asset exceeds its fair value. Key assumptions in estimating future cash flows include, among other things, expected future operating performance, including expected closure date and lease term, and changes in economic conditions. We believe estimated future cash flows are sufficient to support the carrying value of our long-lived assets. Significant changes in the key assumptions used in our cash flow projections may result in additional asset impairments. For the three months ended May 4, 2019 and fiscal year 2018, we recognized impairment charges of $0.5 million and $2.8 million , respectively. There were no impairment charges recognized for the three months ended May 5, 2018 . Impairment charges related to assets held for sale are recorded in selling, general and administrative expenses, while impairment charges related to store property, equipment and leasehold improvements are recorded in cost of sales and related buying, occupancy and distribution expenses. Due to the short-term nature of cash and cash equivalents, payables and short-term debt obligations, the carrying value approximates the fair value of these instruments. In addition, we believe that the credit facility obligation approximates its fair value because interest rates are adjusted daily based on current market rates. |
Debt Obligations (Notes)
Debt Obligations (Notes) | 3 Months Ended |
May 04, 2019 | |
Debt Disclosure [Abstract] | |
Debt Obligations | DEBT OBLIGATIONS Debt obligations for each period presented consisted of the following (in thousands): May 4, 2019 February 2, 2019 May 5, 2018 Revolving loan $ 261,699 $ 204,044 $ 265,049 Term loan 50,000 50,000 — Finance obligations — 554 1,310 Other financing 170 508 2,006 Total debt obligations 311,869 255,106 268,365 Less: Current portion of debt obligations 5,170 4,812 2,896 Long-term debt obligations $ 306,699 $ 250,294 $ 265,469 We have total availability of $450.0 million with a seasonal increase to $475.0 million under our senior secured revolving credit facility agreement including a revolving loan (“Revolving Loan”) and term loans (“Term Loan”), jointly referred to as the “Credit Facility”. Additionally, we have a $25.0 million letter of credit sublimit. The Term Loan is payable in quarterly installments of $1.3 million beginning on June 15, 2019 , with the remaining balance due upon maturity. The Credit Facility matures on December 16, 2021 . We use the Credit Facility to provide financing for working capital and general corporate purposes, as well as to finance capital expenditures and to support our letter of credit requirements. Borrowings under the Credit Facility are limited to the availability under a borrowing base that is determined principally on eligible inventory as defined by the Credit Facility agreement. The Credit Facility is secured by our inventory, cash, cash equivalents, and substantially all of our other assets. The daily interest rates are determined by a prime rate or LIBOR, plus an applicable margin, as set forth in the Credit Facility agreement. For the three months ended May 4, 2019 , the weighted average interest rate on outstanding borrowings and the average daily borrowings on the Credit Facility, were 4.8% and $299.2 million , respectively. Letters of credit issued under the Credit Facility support certain merchandise purchases and collateralize retained risks and deductibles under various insurance programs. At May 4, 2019 , outstanding letters of credit totaled approximately $6.0 million . These letters of credit expire within 12 months of issuance and may be renewed. The Credit Facility agreement contains a covenant requiring us to maintain excess availability at or above $35.0 million or 10% of the Adjusted Combined Loan Cap (as defined therein). The Credit Facility agreement also contains covenants which, among other things, restrict (i) the amount of additional debt or capital lease obligations, (ii) the payment of dividends to $30.0 million in a fiscal year, and (iii) the repurchase of common stock under certain circumstances. At May 4, 2019 , we were in compliance with the debt covenants of the Credit Facility agreement and we expect to remain in compliance. Excess availability under the Credit Facility at May 4, 2019 was $55.7 million . We derecognized finance obligations of $0.6 million upon adoption of ASC Topic 842 , Leases , on February 3, 2019. See Note 1 for further disclosures regarding the adoption impact. |
Revenue (Notes)
Revenue (Notes) | 3 Months Ended |
May 04, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer | REVENUE Net Sales The following table presents the composition of net sales by merchandise category (in thousands): Three Months Ended May 4, 2019 May 5, 2018 Merchandise Category Department Stores Off-price Stores Total Company Department Stores Off-price Stores Total Company Women’s $ 83,615 $ 20,861 $ 104,476 $ 103,487 $ 19,967 $ 123,454 Men’s 39,108 8,514 47,622 41,336 7,545 48,881 Children's 25,138 9,880 35,018 29,078 8,096 37,174 Apparel 147,861 39,255 187,116 173,901 35,608 209,509 Footwear 40,271 5,074 45,345 44,483 4,819 49,302 Accessories 16,714 4,344 21,058 18,872 4,366 23,238 Cosmetics/Fragrances 27,869 2,813 30,682 31,186 2,482 33,668 Home/Gifts/Other 25,154 20,705 45,859 12,809 18,507 31,316 Non-apparel 110,008 32,936 142,944 107,350 30,174 137,524 Revenue adjustments not allocated (a) (1,912 ) (427 ) (2,339 ) (2,888 ) 84 (2,804 ) Net sales $ 255,957 $ 71,764 $ 327,721 $ 278,363 $ 65,866 $ 344,229 (a) Includes adjustments related to deferred revenue, estimated sales returns, breakage income, shipping and miscellaneous revenues, which are not allocated to merchandise categories. Contract Liabilities Contract liabilities (recorded in accrued expenses and other current liabilities) for each period presented were as follows (in thousands): May 4, 2019 February 2, 2019 May 5, 2018 Gift cards and merchandise credits, net $ 10,503 $ 12,433 $ 10,159 Loyalty program rewards, net 3,239 1,484 3,081 Merchandise fulfillment liability 698 488 788 Total contract liabilities $ 14,440 $ 14,405 $ 14,028 The following table summarizes contract liability activity for each period presented (in thousands): Three Months Ended May 4, 2019 May 5, 2018 Beginning balance $ 14,405 $ 13,474 Net sales recognized during the period from amounts included in contract liability balances at the beginning of the period (4,986 ) (4,669 ) Current period additions to contract liability balances included in contract liability balances at the end of the period 5,021 5,223 Ending balance $ 14,440 $ 14,028 Credit Income We earn credit income from our private label credit card (“PLCC”) through a profit-sharing arrangement with Comenity Bank, an affiliate of Alliance Data Systems Corporation. We receive a monthly net portfolio yield payment from Comenity Bank, and we can potentially earn an annual bonus based upon the performance of the PLCC portfolio. We recorded deferred revenue for certain upfront payments received from Comenity Bank associated with the execution of the PLCC agreement, and we recognized $0.6 million and $0.4 million in credit income related to these upfront payments during the three months ended May 4, 2019 and May 5, 2018 , respectively. As of May 4, 2019 , deferred revenue of $7.3 million remained to be amortized. |
Leases (Notes)
Leases (Notes) | 3 Months Ended |
May 04, 2019 | |
Leases [Abstract] | |
Lessee, Operating Leases [Text Block] | LEASES Our lease agreements include leases for our retail stores, distribution centers and corporate headquarters. As of May 4, 2019 , all of our leases were classified as operating leases. Our store leases typically have an initial term of 10 years and often have two renewal options of five years each. The exercise of a lease renewal option is at our sole discretion. The lease term includes the initial contractual term as well as any options to extend the lease when it is reasonably certain that we will exercise that option. Our lease agreements do not contain any residual value guarantees or material restrictive covenants. We recognize a lease liability for our obligation to make lease payments arising from the lease and a related asset for our right to use the underlying asset for the lease term. The lease liability is measured based on the present value of lease payments over the lease term, and the asset is measured based on the value of the lease liability, net of landlord allowances. As the implicit interest rate in our lease agreements is not readily identifiable, we use our estimated collateralized incremental borrowing rate in determining the present value of lease payments. For all current lease classes, we made an accounting policy election not to separate lease and non-lease components. The majority of our leases include fixed rent payments. A number of store leases provide for escalating minimum rent payments at pre-determined dates. Certain store leases provide for contingent rent payments based on a percentage of retail sales over contractual levels. Some of our leases include variable payments for maintenance, taxes and insurance. Operating lease payments are expensed on a straight-line basis over the lease term. Variable payments are not included in the measurement of the lease liability or asset and are expensed as incurred. We sublease our former corporate office building to a third party and recognize sublease income on a straight-line basis over the lease term. ASC 842 Disclosures Lease cost includes both the fixed and variable expenses recorded for leases. The components of lease cost were as follows (in thousands): Three Months Ended May 4, 2019 Operating lease cost $ 26,294 Variable lease cost 9,657 Sublease income (368 ) Total net lease cost (a) $ 35,583 (a) Of this amount, $34.1 million is recorded in cost of sales and related buying, occupancy and distribution expenses and $1.5 million is recorded in selling, general and administrative expenses. Cash and non-cash activities associated with our leases were as follows (in thousands): Three Months Ended May 4, 2019 Cash paid for operating leases $ 27,678 Cash received from sublease 362 Lease assets obtained in exchange for lease liabilities (a) 7,333 (a) Excludes operating lease assets of $344.2 million recognized on February 3, 2019 as a result of the adoption of ASU 2016-02, Leases (Topic 842) . See Note 1 for further disclosures regarding the adoption impact. The weighted-average remaining lease term and weighted-average discount rate associated with our leases as of May 4, 2019 were as follows: Weighted average remaining lease term 5.4 years Weighted average discount rate 10.1 % Maturities of operating leases as of May 4, 2019 were as follows (in thousands): Fiscal Year Operating Leases Sublease 2019 (remainder of year) $ 81,980 $ (1,085 ) 2020 101,056 (1,492 ) 2021 86,201 (1,582 ) 2022 69,971 (1,582 ) 2023 49,154 (1,054 ) 2024 31,275 — Thereafter 55,898 — Total lease payments 475,535 $ (6,795 ) Less: Effects of discounting 111,170 Present value of lease liabilities 364,365 Less: Current portion of lease liabilities 75,211 Long-term lease liabilities $ 289,154 As of May 4, 2019 , there were no leases that had not yet commenced. Comparative Period Disclosures Reported Under ASC 840 Future minimum rental commitments on long-term, non-cancelable operating leases at February 2, 2019, were as follows (in thousands): Fiscal Year Commitments Sublease Income Net Minimum Lease Commitments 2019 $ 108,541 $ (1,447 ) $ 107,094 2020 98,859 (1,492 ) 97,367 2021 83,377 (1,582 ) 81,795 2022 67,447 (1,582 ) 65,865 2023 46,887 (1,054 ) 45,833 Thereafter 77,910 — 77,910 Total $ 483,021 $ (7,157 ) $ 475,864 While infrequent in occurrence, occasionally we are responsible for the construction of leased stores and for paying project costs. ASC 840-40-55 , The Effect of Lessee Involvement in Asset Construction, requires us to be considered the owner (for accounting purposes) of such build-to-suit arrangements during the construction period. The leases are accounted for as finance obligations with the amounts received from the landlord being recorded in debt obligations. Interest expense is recognized at a rate that will amortize the finance obligation over the initial term of the lease. Where ASC 840-40-55 was applicable, we have recorded finance obligations with interest rates of 6.1% and 12.3% on our consolidated financial statements related to two store leases as of February 2, 2019. Future minimum annual payments required under existing finance obligations as of February 2, 2019 were as follows (in thousands): Fiscal Year Minimum Payments Less: Interest Principal Payments 2019 $ 580 $ 26 $ 554 |
Stock-Based Compensation (Notes
Stock-Based Compensation (Notes) | 3 Months Ended |
May 04, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | STOCK-BASED COMPENSATION Stock-based compensation expense by type of grant for each period presented was as follows (in thousands): Three Months Ended May 4, 2019 May 5, 2018 Non-vested stock $ 781 $ 1,187 Restricted stock units 178 492 Stock-settled performance share units 168 371 Cash-settled performance share units 79 54 Total stock-based compensation expense 1,206 2,104 Related tax benefit — — Stock-based compensation expense, net of tax $ 1,206 $ 2,104 As of May 4, 2019 , we have estimated unrecognized compensation cost of $8.3 million related to stock-based compensation awards granted, which is expected to be recognized over a weighted average period of 2.6 years . Non-vested Stock We grant shares of non-vested stock to our employees and non-employee directors. Shares of non-vested stock awarded to employees vest 25% annually over a four -year period from the grant date. Shares of non-vested stock awarded to non-employee directors cliff vest after one year . At the end of the vesting period, shares of non-vested stock convert one-for-one to common stock . Certain non-vested stock awards have shareholder rights, including the right to vote and to receive dividends. The fair value of non-vested stock awards with dividend rights is based on the closing share price of our common stock on the grant date. The fair value of non-vested stock awards that do not have dividend rights is discounted for the present value of expected dividends during the vesting period. Compensation expense is recognized ratably over the vesting period. The following table summarizes non-vested stock activity for the three months ended May 4, 2019 : Non-vested Stock Number of Shares Weighted Average Grant Date Fair Value Outstanding at February 2, 2019 1,379,616 $ 4.43 Granted 625,000 0.98 Vested (383,465 ) 7.09 Forfeited (9,983 ) 6.36 Outstanding at May 4, 2019 1,611,168 2.45 The weighted-average grant date fair value for non-vested stock granted during the three months ended May 4, 2019 and May 5, 2018 was $0.98 and $2.19 , respectively. The aggregate intrinsic value of non-vested stock that vested during the three months ended May 4, 2019 and May 5, 2018 , was $0.4 million and $0.8 million , respectively. The payment of the employees’ tax liability for a portion of the vested shares was satisfied by withholding shares with a fair value equal to the tax liability. As a result, the actual number of shares issued during the three months ended May 4, 2019 was 336,233 . Restricted Stock Units (“RSUs”) We grant RSUs to our employees, which vest 25% annually over a four -year period from the grant date. Each vested RSU is settled in cash in an amount equal to the fair market value of one share of our common stock on the vesting date, not to exceed five times the per share fair market value of our common stock on the grant date . Unvested RSUs have the right to receive a dividend equivalent payment equal to cash dividends paid on our common stock. RSUs are accounted for as a liability in accordance with accounting guidance for cash settled stock awards. The liability for RSUs is remeasured based on the closing share price of our common stock at each reporting period until the award vests. Compensation expense is recognized ratably over the vesting period and adjusted with changes in the fair value of the liability. The following table summarizes RSU activity for the three months ended May 4, 2019 : Restricted Stock Units Number of Units Weighted Average Grant Date Fair Value Outstanding at February 2, 2019 1,740,314 $ 2.16 Granted 1,615,000 0.98 Vested (439,064 ) 2.16 Outstanding at May 4, 2019 2,916,250 1.51 Stock-settled Performance Share Units (“Stock-settled PSUs”) We grant stock-settled PSUs as a means of rewarding management for our long-term performance based on total shareholder return relative to a specific group of companies over a three -year performance cycle. These awards cliff vest following a three -year performance cycle, and if earned, are settled in shares of our common stock, unless otherwise determined by our Board of Directors (“Board”), or its Compensation Committee. The actual number of shares of our common stock that may be earned ranges from zero to a maximum of twice the number of target units awarded to the recipient. Grant recipients do not have any shareholder rights on unvested or unearned stock-settled PSUs. The fair value of these PSUs is estimated using a Monte Carlo simulation , based on the expected term of the award, a risk-free rate, expected dividends, expected volatility, and share price of our common stock and the specified peer group. The expected term is estimated based on the vesting period of the awards, the risk-free rate is based on the yield on U.S. Treasury securities matching the vesting period, and the volatility is based on the historical volatility over the expected term. Compensation expense is recognized ratably over the corresponding vesting period for stock-settled PSUs. The following table summarizes stock-settled PSU activity for the three months ended May 4, 2019 : Period Granted Target PSUs Target PSUs Granted Target PSUs Weighted Average 2017 470,000 — 470,000 $ 1.80 2018 280,000 — 280,000 3.05 2019 — 375,000 375,000 1.39 Total 750,000 375,000 1,125,000 1.97 The weighted-average grant date fair value for stock-settled PSUs granted during the three months ended May 4, 2019 and May 5, 2018 was $1.39 and $3.05 , respectively. No stock-settled PSUs vested during the three months ended May 4, 2019 and May 5, 2018 . Cash-settled Performance Share Units (“Cash-settled PSUs”) We grant cash-settled PSUs as a means of rewarding management for our long-term performance based on total shareholder return relative to a specific group of companies over a three -year performance cycle. These awards cliff vest following a three -year performance cycle, and if earned, are settled in cash. The amount of settlement ranges from zero to a maximum of twice the number of target units awarded multiplied by the fair market value of one share of our common stock on the vesting date. Grant recipients do not have any shareholder rights on unvested or unearned cash-settled PSUs. Cash-settled PSUs are accounted for as a liability in accordance with accounting guidance for cash settled stock awards. The liability for cash-settled PSUs is remeasured based on their fair value at each reporting period until the award vests, which is estimated using a Monte Carlo simulation . Assumptions used in the valuation include the expected term of the award, a risk-free rate, expected dividends, expected volatility, and share price of our common stock and the specified peer group. The expected term is estimated based on the vesting period of the awards, the risk-free rate is based on the yield on U.S. Treasury securities matching the vesting period, and the volatility is based on the historical volatility over the expected term. Compensation expense is recognized ratably over the corresponding vesting period and adjusted with changes in the fair value of the liability. The following table summarizes cash-settled PSU activity three months ended May 4, 2019 : Period Granted Target PSUs Target PSUs Granted Target PSUs Weighted Average 2018 300,000 — 300,000 $ 3.05 2019 — 530,000 530,000 $ 1.39 Total 300,000 530,000 830,000 $ 1.99 |
Pension Plan (Notes)
Pension Plan (Notes) | 3 Months Ended |
May 04, 2019 | |
Retirement Benefits [Abstract] | |
Pension Plan | PENSION PLAN We sponsor a frozen defined benefit pension plan. The components of net periodic pension cost, which were recognized in selling, general and administrative expenses, were as follows (in thousands): Three Months Ended May 4, 2019 May 5, 2018 Employer service cost $ 135 $ 123 Interest cost on pension benefit obligation 327 358 Expected return on plan assets (368 ) (414 ) Amortization of net loss 170 199 Net periodic pension cost $ 264 $ 266 Our funding policy is to make contributions to maintain the minimum funding requirements for our pension obligations in accordance with the Employee Retirement Income Security Act. We may elect to contribute additional amounts to maintain a level of funding to minimize the Pension Benefit Guaranty Corporation premium costs or to cover the short-term liquidity needs of the plan in order to maintain current invested positions. We contributed $0.3 million during the three months ended May 4, 2019 , and we expect to contribute an additional $1.0 million in 2019. |
Earnings per Share (Notes)
Earnings per Share (Notes) | 3 Months Ended |
May 04, 2019 | |
Earnings Per Share [Abstract] | |
Earnings per Share | EARNINGS PER SHARE For the three months ended May 4, 2019 and May 5, 2018 , respectively, participating securities had no impact on loss per common share and there were no anti-dilutive securities. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 3 Months Ended |
May 04, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Fiscal Period, Policy | References to a particular year are to our fiscal year, which is the 52- or 53-week period ending on the Saturday closest to January 31st of the following calendar year. For example, a reference to “2019” is a reference to the fiscal year ending February 1, 2020, and “2018” is a reference to the fiscal year ended February 2, 2019. Fiscal years 2019 and 2018 are comprised of 52 weeks. References to the “ three months ended May 4, 2019 ” and “ three months ended May 5, 2018 ” are for the respective 13-week fiscal quarters. References to quarters relate to our fiscal quarters. |
Short-term Leases, Policy | We elected the short-term lease exemption for non-real estate leases that have a lease term of twelve months or less. For non-real estate leases that qualify for the short-term exemption, we will not recognize a right-of-use asset or liability and will recognize those lease expenses on a straight-line basis over the lease term. |
Separation of Lease and Nonlease Components, Policy | We elected to not separate lease and non-lease components for all of our current lease classes. |
New Accounting Pronouncements, Policy | Recently Adopted Accounting Pronouncements . In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Updates (“ASU”) 2016-02, Leases (Topic 842) , and subsequently issued related ASUs, which were incorporated into Topic 842 . Under the new standard, lessees are required to recognize a right-of-use asset and a lease liability, measured on a discounted basis, at the later of the lease commencement date and the date of adoption. The guidance also requires qualitative and quantitative disclosures about the amount, timing and uncertainty of cash flows arising from leases. We adopted the new standard on February 3, 2019, the first day of fiscal 2019. Transition elections: • We elected to apply the effective date transition method as of the February 3, 2019 adoption date. Comparative periods prior to the adoption of the new standard have not been restated and are reported under the legacy guidance in Accounting Standards Codification (“ASC”) Topic 840, Leases . • We elected the package of practical expedients in the transition guidance, which permits us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. • We elected not to use the practical expedient of using hindsight to determine the lease term and in assessing impairment of the right-of-use assets. Accounting policy elections: • We elected the short-term lease exemption for non-real estate leases that have a lease term of twelve months or less. For non-real estate leases that qualify for the short-term exemption, we will not recognize a right-of-use asset or liability and will recognize those lease expenses on a straight-line basis over the lease term. • We elected to not separate lease and non-lease components for all of our current lease classes. The adoption of the standard resulted in the recognition of operating lease assets and liabilities of $344.2 million and $375.8 million , respectively, as of February 3, 2019. Included in the measurement of the operating lease assets and liabilities is the reclassification of balances historically recorded as deferred rent and deferred rent tenant allowances. We also recognized a cumulative effect charge of $5.2 million , net of tax, to the opening accumulated deficit balance. This adjustment reflects $5.8 million in depreciation of leasehold improvements associated with conforming the asset useful life to the remaining lease life as of the transition date. It also reflects $0.6 million associated with the derecognition of lease obligations that had been classified as finance obligations under the former failed sale-leaseback guidance applied to build-to-suit arrangements. Under the new standard, these leases are classified as operating leases. The adoption of the standard did not have a material impact on our results of operations or cash flows. In addition, our bank covenants under our Credit Facility were not affected by the adoption of the standard. See Note 5 for further disclosures regarding leases. Recent Accounting Pronouncements Not Yet Adopted . In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement , which eliminates, adds and modifies certain disclosure requirements for fair value measurements. The new standard will be effective for us in the first quarter of fiscal 2020, with early adoption permitted. We are currently evaluating the impact of the new guidance on our disclosures. In August 2018, the FASB issued ASU 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (a consensus of the FASB Emerging Issues Task Force), which aligns the requirements for capitalizing implementation costs in a hosting arrangement that is a service contract with the requirements for capitalizing implementations costs incurred to develop or obtain internal-use software. The guidance also requires disclosure of the nature of hosting arrangements that are service contracts. The new standard will be effective for us in the first quarter of fiscal 2020, with early adoption permitted. We are currently evaluating the impact of the new guidance on our financial statements and disclosures. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
May 04, 2019 | |
Fair Value Disclosures [Abstract] | |
Assets and liabilities measured at fair value on a recurring basis [Table Text Block] | Financial assets and liabilities measured at fair value on a recurring basis were as follows (in thousands): May 4, 2019 Balance Quoted Prices in Active Markets for Identical Instruments (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other assets: Securities held in grantor trust for deferred (a)(b) $ 17,887 $ 17,887 $ — $ — February 2, 2019 Balance Quoted Prices in Active Markets for Identical Instruments (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Other assets: Securities held in grantor trust for deferred (a)(b) $ 19,536 $ 19,536 $ — $ — May 5, 2018 Balance Quoted Prices in Active Markets for Identical Instruments Significant Other Observable Inputs Significant Unobservable Inputs Other assets: Securities held in grantor trust for deferred (a)(b) $ 19,606 $ 19,606 $ — $ — (a) The liability for the amount due to participants corresponding in value to the securities held in the grantor trust is recorded in other long-term liabilities. (b) Using the market approach, the fair values of these securities represent quoted market prices multiplied by the quantities held. Net gains and losses related to the changes in fair value in the assets and liabilities under the various deferred compensation plans are recorded in selling, general and administrative expenses and were nil for the three months ended May 4, 2019 and May 5, 2018 , and for the fiscal year ended February 2, 2019 . |
Assets and liabilities measured at fair value on a nonrecurring basis [Table Text Block] | Non-financial assets measured at fair value on a nonrecurring basis were as follows (in thousands): May 4, 2019 Balance Quoted Prices in Active Markets for Identical Instruments Significant Other Observable Inputs Significant Unobservable Inputs Assets: Assets held for sale (a) $ 3,270 $ — $ — $ 3,270 Store property, equipment and leasehold improvements (b) 2 — — 2 Total Assets $ 3,272 $ — $ — $ 3,272 February 2, 2019 Balance Quoted Prices in Active Markets for Identical Instruments Significant Other Observable Inputs Significant Unobservable Inputs Assets: Store property, equipment and leasehold improvements (a) $ 1,583 $ — $ — $ 1,583 (a) Assets held for sale are reflected in prepaid expenses and other current assets. (b) Using an undiscounted cash flow model, we evaluate the cash flow trends of our stores at least annually and when events or changes in circumstances, such as a store closure, indicate that property, equipment and leasehold improvements may not be fully recoverable. When a store’s projected undiscounted cash flows indicate its carrying value may not be recoverable, we use a discounted cash flow model to estimate the fair value of the underlying long-lived assets. An impairment write-down is recorded if the carrying value of a long-lived asset exceeds its fair value. Key assumptions in estimating future cash flows include, among other things, expected future operating performance, including expected closure date and lease term, and changes in economic conditions. We believe estimated future cash flows are sufficient to support the carrying value of our long-lived assets. Significant changes in the key assumptions used in our cash flow projections may result in additional asset impairments. For the three months ended May 4, 2019 and fiscal year 2018, we recognized impairment charges of $0.5 million and $2.8 million , respectively. There were no impairment charges recognized for the three months ended May 5, 2018 . Impairment charges related to assets held for sale are recorded in selling, general and administrative expenses, while impairment charges related to store property, equipment and leasehold improvements are recorded in cost of sales and related buying, occupancy and distribution expenses |
Debt Obligations (Tables)
Debt Obligations (Tables) | 3 Months Ended |
May 04, 2019 | |
Debt Disclosure [Abstract] | |
Debt obligations | Debt obligations for each period presented consisted of the following (in thousands): May 4, 2019 February 2, 2019 May 5, 2018 Revolving loan $ 261,699 $ 204,044 $ 265,049 Term loan 50,000 50,000 — Finance obligations — 554 1,310 Other financing 170 508 2,006 Total debt obligations 311,869 255,106 268,365 Less: Current portion of debt obligations 5,170 4,812 2,896 Long-term debt obligations $ 306,699 $ 250,294 $ 265,469 |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
May 04, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table presents the composition of net sales by merchandise category (in thousands): Three Months Ended May 4, 2019 May 5, 2018 Merchandise Category Department Stores Off-price Stores Total Company Department Stores Off-price Stores Total Company Women’s $ 83,615 $ 20,861 $ 104,476 $ 103,487 $ 19,967 $ 123,454 Men’s 39,108 8,514 47,622 41,336 7,545 48,881 Children's 25,138 9,880 35,018 29,078 8,096 37,174 Apparel 147,861 39,255 187,116 173,901 35,608 209,509 Footwear 40,271 5,074 45,345 44,483 4,819 49,302 Accessories 16,714 4,344 21,058 18,872 4,366 23,238 Cosmetics/Fragrances 27,869 2,813 30,682 31,186 2,482 33,668 Home/Gifts/Other 25,154 20,705 45,859 12,809 18,507 31,316 Non-apparel 110,008 32,936 142,944 107,350 30,174 137,524 Revenue adjustments not allocated (a) (1,912 ) (427 ) (2,339 ) (2,888 ) 84 (2,804 ) Net sales $ 255,957 $ 71,764 $ 327,721 $ 278,363 $ 65,866 $ 344,229 (a) Includes adjustments related to deferred revenue, estimated sales returns, breakage income, shipping and miscellaneous revenues, which are not allocated to merchandise categories. |
Contract Liability Components | Contract liabilities (recorded in accrued expenses and other current liabilities) for each period presented were as follows (in thousands): May 4, 2019 February 2, 2019 May 5, 2018 Gift cards and merchandise credits, net $ 10,503 $ 12,433 $ 10,159 Loyalty program rewards, net 3,239 1,484 3,081 Merchandise fulfillment liability 698 488 788 Total contract liabilities $ 14,440 $ 14,405 $ 14,028 |
Contract Liability Balances and Activity | The following table summarizes contract liability activity for each period presented (in thousands): Three Months Ended May 4, 2019 May 5, 2018 Beginning balance $ 14,405 $ 13,474 Net sales recognized during the period from amounts included in contract liability balances at the beginning of the period (4,986 ) (4,669 ) Current period additions to contract liability balances included in contract liability balances at the end of the period 5,021 5,223 Ending balance $ 14,440 $ 14,028 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
May 04, 2019 | |
Leases [Abstract] | |
Lease, Cost [Table Text Block] | The components of lease cost were as follows (in thousands): Three Months Ended May 4, 2019 Operating lease cost $ 26,294 Variable lease cost 9,657 Sublease income (368 ) Total net lease cost (a) $ 35,583 (a) Of this amount, $34.1 million is recorded in cost of sales and related buying, occupancy and distribution expenses and $1.5 million is recorded in selling, general and administrative expenses. |
Lease Cash And Noncash Activities [Table Text Block] | Cash and non-cash activities associated with our leases were as follows (in thousands): Three Months Ended May 4, 2019 Cash paid for operating leases $ 27,678 Cash received from sublease 362 Lease assets obtained in exchange for lease liabilities (a) 7,333 (a) Excludes operating lease assets of $344.2 million recognized on February 3, 2019 as a result of the adoption of ASU 2016-02, Leases (Topic 842) . See Note 1 for further disclosures regarding the adoption impact. |
Lease, Weighted-Average Remaining Lease Term [Table Text Block] | The weighted-average remaining lease term and weighted-average discount rate associated with our leases as of May 4, 2019 were as follows: Weighted average remaining lease term 5.4 years Weighted average discount rate 10.1 % |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Maturities of operating leases as of May 4, 2019 were as follows (in thousands): Fiscal Year Operating Leases Sublease 2019 (remainder of year) $ 81,980 $ (1,085 ) 2020 101,056 (1,492 ) 2021 86,201 (1,582 ) 2022 69,971 (1,582 ) 2023 49,154 (1,054 ) 2024 31,275 — Thereafter 55,898 — Total lease payments 475,535 $ (6,795 ) Less: Effects of discounting 111,170 Present value of lease liabilities 364,365 Less: Current portion of lease liabilities 75,211 Long-term lease liabilities $ 289,154 |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Future minimum rental commitments on long-term, non-cancelable operating leases at February 2, 2019, were as follows (in thousands): Fiscal Year Commitments Sublease Income Net Minimum Lease Commitments 2019 $ 108,541 $ (1,447 ) $ 107,094 2020 98,859 (1,492 ) 97,367 2021 83,377 (1,582 ) 81,795 2022 67,447 (1,582 ) 65,865 2023 46,887 (1,054 ) 45,833 Thereafter 77,910 — 77,910 Total $ 483,021 $ (7,157 ) $ 475,864 |
Schedule Of Maturities Of Finance Obligations [Table Text Block] | Future minimum annual payments required under existing finance obligations as of February 2, 2019 were as follows (in thousands): Fiscal Year Minimum Payments Less: Interest Principal Payments 2019 $ 580 $ 26 $ 554 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
May 04, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-based compensation expense by type of grant | Stock-based compensation expense by type of grant for each period presented was as follows (in thousands): Three Months Ended May 4, 2019 May 5, 2018 Non-vested stock $ 781 $ 1,187 Restricted stock units 178 492 Stock-settled performance share units 168 371 Cash-settled performance share units 79 54 Total stock-based compensation expense 1,206 2,104 Related tax benefit — — Stock-based compensation expense, net of tax $ 1,206 $ 2,104 |
Non-vested stock activity | The following table summarizes non-vested stock activity for the three months ended May 4, 2019 : Non-vested Stock Number of Shares Weighted Average Grant Date Fair Value Outstanding at February 2, 2019 1,379,616 $ 4.43 Granted 625,000 0.98 Vested (383,465 ) 7.09 Forfeited (9,983 ) 6.36 Outstanding at May 4, 2019 1,611,168 2.45 |
Restricted stock units activity | The following table summarizes RSU activity for the three months ended May 4, 2019 : Restricted Stock Units Number of Units Weighted Average Grant Date Fair Value Outstanding at February 2, 2019 1,740,314 $ 2.16 Granted 1,615,000 0.98 Vested (439,064 ) 2.16 Outstanding at May 4, 2019 2,916,250 1.51 |
Stock-settled performance share units activity | The following table summarizes stock-settled PSU activity for the three months ended May 4, 2019 : Period Granted Target PSUs Target PSUs Granted Target PSUs Weighted Average 2017 470,000 — 470,000 $ 1.80 2018 280,000 — 280,000 3.05 2019 — 375,000 375,000 1.39 Total 750,000 375,000 1,125,000 1.97 |
Cash-settled performance share units activity | The following table summarizes cash-settled PSU activity three months ended May 4, 2019 : Period Granted Target PSUs Target PSUs Granted Target PSUs Weighted Average 2018 300,000 — 300,000 $ 3.05 2019 — 530,000 530,000 $ 1.39 Total 300,000 530,000 830,000 $ 1.99 |
Pension Plan (Tables)
Pension Plan (Tables) | 3 Months Ended |
May 04, 2019 | |
Retirement Benefits [Abstract] | |
Components of pension cost | We sponsor a frozen defined benefit pension plan. The components of net periodic pension cost, which were recognized in selling, general and administrative expenses, were as follows (in thousands): Three Months Ended May 4, 2019 May 5, 2018 Employer service cost $ 135 $ 123 Interest cost on pension benefit obligation 327 358 Expected return on plan assets (368 ) (414 ) Amortization of net loss 170 199 Net periodic pension cost $ 264 $ 266 |
Basis of Presentation (Details)
Basis of Presentation (Details) | 3 Months Ended | 12 Months Ended | ||
May 04, 2019Statesstores | May 05, 2018 | Feb. 01, 2020 | Feb. 02, 2019 | |
Number of states in which entity operates stores | States | 42 | |||
Fiscal Year [Line Items] | ||||
Fiscal Period Duration | 91 days | 91 days | 364 days | 364 days |
Department Stores | ||||
Number of stores operated by entity | 685 | |||
Off-Price Stores | ||||
Number of stores operated by entity | 105 | |||
Length of some fiscal years | Minimum | ||||
Fiscal Year [Line Items] | ||||
Fiscal Period Duration | 364 days | |||
Length of some fiscal years | Maximum | ||||
Fiscal Year [Line Items] | ||||
Fiscal Period Duration | 371 days |
Basis of Presentation Impact of
Basis of Presentation Impact of Adoption of ASU 2016-02 Leases (Detail) - USD ($) $ in Thousands | May 04, 2019 | Feb. 03, 2019 | Feb. 02, 2019 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Operating lease assets | $ 332,233 | |||
Operating lease liabilities | $ 364,365 | |||
Cumulative-effect adjustment | [1] | $ (5,208) | ||
Accounting Standards Update 2016-02 | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Operating lease assets | $ 344,200 | |||
Operating lease liabilities | $ 375,800 | |||
Accounting Standards Update 2016-02 | Depreciation of leasehold improvements | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Cumulative-effect adjustment | (5,800) | |||
Accounting Standards Update 2016-02 | Derecognition of finance obligations | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Cumulative-effect adjustment | $ 600 | |||
[1] | Related to the adoption of the new lease accounting standard. See Note 1 for further disclosures regarding the adoption impact. |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
May 04, 2019 | Feb. 02, 2019 | May 05, 2018 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impairment of long-lived assets | $ 519 | $ 2,800 | ||
Fair Value, Measurements, Recurring | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities held in grantor trust for deferred compensation plans | [1],[2] | 17,887 | 19,536 | $ 19,606 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Instruments (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities held in grantor trust for deferred compensation plans | [1],[2] | 17,887 | 19,536 | $ 19,606 |
Fair Value, Measurements, Nonrecurring | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Assets held for sale, fair value | [3] | 3,270 | ||
Store property, equipment and leasehold improvements, fair value | [4] | 2 | 1,583 | |
Non-financial assets, fair value | 3,272 | |||
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Assets held for sale, fair value | [3] | 3,270 | ||
Store property, equipment and leasehold improvements, fair value | [4] | 2 | $ 1,583 | |
Non-financial assets, fair value | $ 3,272 | |||
[1] | The liability for the amount due to participants corresponding in value to the securities held in the grantor trust is recorded in other long-term liabilities. | |||
[2] | Using the market approach, the fair values of these securities represent quoted market prices multiplied by the quantities held. Net gains and losses related to the changes in fair value in the assets and liabilities under the various deferred compensation plans are recorded in selling, general and administrative expenses and were nil for the three months ended May 4, 2019 and May 5, 2018, and for the fiscal year ended February 2, 2019. | |||
[3] | Assets held for sale are reflected in prepaid expenses and other current assets. | |||
[4] | Using an undiscounted cash flow model, we evaluate the cash flow trends of our stores at least annually and when events or changes in circumstances, such as a store closure, indicate that property, equipment and leasehold improvements may not be fully recoverable. When a store’s projected undiscounted cash flows indicate its carrying value may not be recoverable, we use a discounted cash flow model to estimate the fair value of the underlying long-lived assets. An impairment write-down is recorded if the carrying value of a long-lived asset exceeds its fair value. Key assumptions in estimating future cash flows include, among other things, expected future operating performance, including expected closure date and lease term, and changes in economic conditions. We believe estimated future cash flows are sufficient to support the carrying value of our long-lived assets. Significant changes in the key assumptions used in our cash flow projections may result in additional asset impairments. For the three months ended May 4, 2019 and fiscal year 2018, we recognized impairment charges of $0.5 million and $2.8 million, respectively. There were no impairment charges recognized for the three months ended May 5, 2018. Impairment charges related to assets held for sale are recorded in selling, general and administrative expenses, while impairment charges related to store property, equipment and leasehold improvements are recorded in cost of sales and related buying, occupancy and distribution expenses |
Debt Obligations Schedule of De
Debt Obligations Schedule of Debt (Details) - USD ($) $ in Thousands | May 04, 2019 | Feb. 02, 2019 | May 05, 2018 |
Debt Instrument [Line Items] | |||
Current portion of debt obligations | $ 5,170 | $ 4,812 | $ 2,896 |
Long-term debt obligations | 306,699 | 250,294 | 265,469 |
Total debt obligations | 311,869 | 255,106 | 268,365 |
Line of Credit | Credit Facility | |||
Debt Instrument [Line Items] | |||
Total debt obligations | 261,699 | 204,044 | 265,049 |
Term Loan | Credit Facility | |||
Debt Instrument [Line Items] | |||
Total debt obligations | 50,000 | 50,000 | |
Finance Obligations | |||
Debt Instrument [Line Items] | |||
Total debt obligations | 554 | 1,310 | |
Other Financing | |||
Debt Instrument [Line Items] | |||
Total debt obligations | $ 170 | $ 508 | $ 2,006 |
Debt Obligations Credit Facilit
Debt Obligations Credit Facility (Details) $ in Millions | 3 Months Ended |
May 04, 2019USD ($) | |
Line of Credit | Term Loan | |
Debt Instruments [Abstract] | |
Credit Facility, Term Loan, maturity date | Dec. 16, 2021 |
Credit Facility | |
Line of Credit Facility [Line Items] | |
Credit Facility, Maximum Borrowing Capacity | $ 450 |
Credit Facility, higher borrowing capacity, seasonal increase | $ 475 |
Credit Facility, maturity date | Dec. 16, 2021 |
Credit Facility, collateral | The Credit Facility is secured by our inventory, cash, cash equivalents, and substantially all of our other assets. |
Credit Facility, interest rate description | The daily interest rates are determined by a prime rate or LIBOR, plus an applicable margin, as set forth in the Credit Facility agreement. |
Credit Facility, weighted average interest rate during period | 4.80% |
Credit Facility, average daily borrowings | $ 299.2 |
Credit Facility, excess borrowing availability | 55.7 |
Credit Facility, excess borrowing capacity required, amount (greater of) | $ 35 |
Credit Facility, excess borrowing capacity required, percent of Adjusted Combined Loan Cap (greater of) | 10.00% |
Credit Facility, dividend restriction amount | $ 30 |
Credit Facility, covenant compliance | in compliance with the debt covenants of the Credit Facility agreement |
Credit Facility | Term Loan | |
Debt Instruments [Abstract] | |
Credit Facility, Term Loan, frequency of periodic payment | quarterly |
Credit Facility, Term Loan, periodic payment, principal | $ 1.3 |
Credit Facility, Term Loan, date of first required payment | Jun. 15, 2019 |
Letter of Credit | |
Line of Credit Facility [Line Items] | |
Letter of credit subfacility, maximum borrowing capacity | $ 25 |
Letters of credit outstanding, amount | $ 6 |
Letters of credit, expiration period | 12 months |
Debt Obligations Finance Obliga
Debt Obligations Finance Obligations (Details) $ in Thousands | Feb. 02, 2019USD ($) | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Cumulative-effect adjustment | $ (5,208) | [1] |
Accounting Standards Update 2016-02 | Derecognition of finance obligations | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Cumulative-effect adjustment | $ 600 | |
[1] | Related to the adoption of the new lease accounting standard. See Note 1 for further disclosures regarding the adoption impact. |
Revenue - Net Sales by Merchand
Revenue - Net Sales by Merchandise Category (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
May 04, 2019 | May 05, 2018 | ||
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 327,721 | $ 344,229 | |
Apparel | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 187,116 | 209,509 | |
Apparel | Women's | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 104,476 | 123,454 | |
Apparel | Men's | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 47,622 | 48,881 | |
Apparel | Children's | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 35,018 | 37,174 | |
Non-Apparel | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 142,944 | 137,524 | |
Non-Apparel | Footwear | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 45,345 | 49,302 | |
Non-Apparel | Accessories | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 21,058 | 23,238 | |
Non-Apparel | Cosmetics/Fragrances | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 30,682 | 33,668 | |
Non-Apparel | Home/Gifts/Other | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 45,859 | 31,316 | |
Revenue Adjustments Not Allocated | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | [1] | (2,339) | (2,804) |
Department Stores | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 255,957 | 278,363 | |
Department Stores | Apparel | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 147,861 | 173,901 | |
Department Stores | Apparel | Women's | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 83,615 | 103,487 | |
Department Stores | Apparel | Men's | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 39,108 | 41,336 | |
Department Stores | Apparel | Children's | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 25,138 | 29,078 | |
Department Stores | Non-Apparel | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 110,008 | 107,350 | |
Department Stores | Non-Apparel | Footwear | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 40,271 | 44,483 | |
Department Stores | Non-Apparel | Accessories | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 16,714 | 18,872 | |
Department Stores | Non-Apparel | Cosmetics/Fragrances | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 27,869 | 31,186 | |
Department Stores | Non-Apparel | Home/Gifts/Other | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 25,154 | 12,809 | |
Department Stores | Revenue Adjustments Not Allocated | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | [1] | (1,912) | (2,888) |
Off-Price Stores | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 71,764 | 65,866 | |
Off-Price Stores | Apparel | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 39,255 | 35,608 | |
Off-Price Stores | Apparel | Women's | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 20,861 | 19,967 | |
Off-Price Stores | Apparel | Men's | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 8,514 | 7,545 | |
Off-Price Stores | Apparel | Children's | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 9,880 | 8,096 | |
Off-Price Stores | Non-Apparel | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 32,936 | 30,174 | |
Off-Price Stores | Non-Apparel | Footwear | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 5,074 | 4,819 | |
Off-Price Stores | Non-Apparel | Accessories | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 4,344 | 4,366 | |
Off-Price Stores | Non-Apparel | Cosmetics/Fragrances | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 2,813 | 2,482 | |
Off-Price Stores | Non-Apparel | Home/Gifts/Other | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 20,705 | 18,507 | |
Off-Price Stores | Revenue Adjustments Not Allocated | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | [1] | $ (427) | $ 84 |
[1] | Includes adjustments related to deferred revenue, estimated sales returns, breakage income, shipping and miscellaneous revenues, which are not allocated to merchandise categories. |
Revenue - Contract Liability Co
Revenue - Contract Liability Components (Details) - USD ($) $ in Thousands | May 04, 2019 | Feb. 02, 2019 | May 05, 2018 | Feb. 03, 2018 |
Components of Revenue Contract Liability [Line Items] | ||||
Gift cards and merchandise credits, net | $ 10,503 | $ 12,433 | $ 10,159 | |
Loyalty program rewards, net | 3,239 | 1,484 | 3,081 | |
Merchandise fulfillment liability | 698 | 488 | 788 | |
Contract liabilities | $ 14,440 | $ 14,405 | $ 14,028 | $ 13,474 |
Revenue - Contract Liability Ac
Revenue - Contract Liability Activity (Details) - USD ($) $ in Thousands | 3 Months Ended | |
May 04, 2019 | May 05, 2018 | |
Change in Contract with Customer, Liability [Abstract] | ||
Contract liabilities, beginning balance | $ 14,405 | $ 13,474 |
Contract liabilities, net sales recognized | (4,986) | (4,669) |
Contract liabilities, current period additions | 5,021 | 5,223 |
Contract liabilities, ending balance | $ 14,440 | $ 14,028 |
Revenue - Credit Income (Detail
Revenue - Credit Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
May 04, 2019 | May 05, 2018 | |
Revenue Recognition, Multiple-deliverable Arrangements [Line Items] | ||
Credit income | $ 13,108 | $ 15,514 |
Upfront Payments Received Private Label Credit Card Agreement | ||
Revenue Recognition, Multiple-deliverable Arrangements [Line Items] | ||
Credit income | 600 | $ 400 |
Unamortized upfront payments received upon execution of private label credit card agreement | $ 7,300 |
Leases (Details)
Leases (Details) | 3 Months Ended |
May 04, 2019 | |
Leases [Abstract] | |
Lessee, Operating Lease, Description | Our lease agreements include leases for our retail stores, distribution centers and corporate headquarters. As of May 4, 2019 all of our leases were classified as operating leases. Our store leases typically have an initial term of 10 years and often have two renewal options of five years each. The exercise of a lease renewal option is at our sole discretion. The lease term includes the initial contractual term as well as any options to extend the lease when it is reasonably certain that we will exercise that option. Our lease agreements do not contain any residual value guarantees or material restrictive covenants. The majority of our leases include fixed rent payments. A number of store leases provide for escalating minimum rent payments at pre-determined dates. Certain store leases provide for contingent rent payments based on a percentage of retail sales over contractual levels. Our leases include both gross leases and leases with variable payments for maintenance, taxes and insurance. |
Lessee, Operating Lease, Term of Contract | 10 years |
Lessee, Operating Lease, Number of Renewal Options Available After Initial Term | 2 |
Lessee, Operating Lease, Renewal Term | 5 years |
Leases ASC 842 Disclosures (Det
Leases ASC 842 Disclosures (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
May 04, 2019 | Feb. 03, 2019 | ||
Lessee, Lease, Description [Line Items] | |||
Operating Lease, Cost | $ 26,294 | ||
Variable Lease, Cost | 9,657 | ||
Sublease Income | (368) | ||
Lease, Cost | [1] | 35,583 | |
Cash Flow, Operating Activities, Lessee [Abstract] | |||
Operating Lease, Payments | 27,678 | ||
Sublease Cash Receipts | 362 | ||
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | [2] | 7,333 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Operating lease assets | $ 332,233 | ||
Operating Lease, Weighted Average Remaining Lease Term | 5 years 4 months 24 days | ||
Operating Lease, Weighted Average Discount Rate, Percent | 10.10% | ||
Operating Lease Liabilities, Payments Due [Abstract] | |||
Lessee, Operating Lease, Liability, Payments, 2019 | $ 81,980 | ||
Lessee, Operating Lease, Liability, Payments, 2020 | 101,056 | ||
Lessee, Operating Lease, Liability, Payments, 2021 | 86,201 | ||
Lessee, Operating Lease, Liability, Payments, 2022 | 69,971 | ||
Lessee, Operating Lease, Liability, Payments, 2023 | 49,154 | ||
Lessee, Operating Lease, Liability, Payments, 2024 | 31,275 | ||
Lessee, Operating Lease, Liability, Payments, Thereafter | 55,898 | ||
Lessee, Operating Lease, Liability, Payments, Due | 475,535 | ||
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | 111,170 | ||
Operating Lease, Liability | 364,365 | ||
Operating Lease, Liability, Current | (75,211) | ||
Operating Lease, Liability, Noncurrent | 289,154 | ||
Lessee, Sublease Maturities, 2019 | (1,085) | ||
Lessee, Sublease Maturities, 2020 | (1,492) | ||
Lessee, Sublease Maturities, 2021 | (1,582) | ||
Lessee, Sublease Maturities, 2022 | (1,582) | ||
Lessee, Sublease Maturities, 2023 | (1,054) | ||
Lessee, Sublease Maturities, Receipts | (6,795) | ||
Cost of Sales and Related Buying, Occupancy and Distribution Expenses | |||
Lessee, Lease, Description [Line Items] | |||
Lease, Cost | 34,100 | ||
Selling, General and Administrative Expenses | |||
Lessee, Lease, Description [Line Items] | |||
Lease, Cost | $ 1,500 | ||
Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Operating lease assets | $ 344,200 | ||
Operating Lease Liabilities, Payments Due [Abstract] | |||
Operating Lease, Liability | $ 375,800 | ||
[1] | Of this amount, $34.1 million is recorded in cost of sales and related buying, occupancy and distribution expenses and $1.5 million is recorded in selling, general and administrative expenses. | ||
[2] | Excludes operating lease assets of $344.2 million recognized on February 3, 2019 as a result of the adoption of ASU 2016-02, Leases (Topic 842). See Note 1 for further disclosures regarding the adoption impact. |
Leases Comparative Period Discl
Leases Comparative Period Disclosures Reported Under ASC 840 (Details) $ in Thousands | Feb. 02, 2019USD ($)stores |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
Operating Leases, Future Minimum Payments, Due in 2019 | $ 108,541 |
Operating Leases, Future Minimum Payments, Due in 2020 | 98,859 |
Operating Leases, Future Minimum Payments, Due in 2021 | 83,377 |
Operating Leases, Future Minimum Payments, Due in 2022 | 67,447 |
Operating Leases, Future Minimum Payments, Due in 2023 | 46,887 |
Operating Leases, Future Minimum Payments, Due Thereafter | 77,910 |
Operating Leases, Future Minimum Payments Due | 483,021 |
Operating Leases, Future Minimum Sublease Receipts, Due in 2019 | (1,447) |
Operating Leases, Future Minimum Sublease Receipts, Due in 2020 | (1,492) |
Operating Leases, Future Minimum Sublease Receipts, Due in 2021 | (1,582) |
Operating Leases, Future Minimum Sublease Receipts, Due in 2022 | (1,582) |
Operating Leases, Future Minimum Sublease Receipts, Due in 2023 | (1,054) |
Operating Leases, Future Minimum Receipts Due on Sublease Rentals | (7,157) |
Operating Leases, Future Minimum Payments Net of Sublease Receipts, Due in 2019 | 107,094 |
Operating Leases, Future Minimum Payments Net of Sublease Receipts, Due in 2020 | 97,367 |
Operating Leases, Future Minimum Payments Net of Sublease Receipts, Due in 2021 | 81,795 |
Operating Leases, Future Minimum Payments Net of Sublease Receipts, Due in 2022 | 65,865 |
Operating Leases, Future Minimum Payments Net of Sublease Receipts, Due in 2023 | 45,833 |
Operating Leases, Future Minimum Payments Net of Sublease Receipts, Due Thereafter | 77,910 |
Operating Leases, Future Minimum Payments Due, Net of Sublease Receipts | 475,864 |
Finance Obligations | |
Future Minimum Payments Due | |
2019 | 580 |
Less: Interest | |
2019 | 26 |
Principal Payments | |
2019 | $ 554 |
Number of store leases | stores | 2 |
Finance Obligations | Minimum | |
Principal Payments | |
Debt Instrument, Interest Rate, Effective Percentage | 6.10% |
Finance Obligations | Maximum | |
Principal Payments | |
Debt Instrument, Interest Rate, Effective Percentage | 12.30% |
Stock-Based Compensation Expens
Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
May 04, 2019 | May 05, 2018 | |
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 1,206 | $ 2,104 |
Stock-based compensation expense, net of tax | 1,206 | 2,104 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized [Abstract] | ||
Unrecognized share-based compensation expense | $ 8,300 | |
Weighted average period, unrecognized compensation expense | 2 years 6 months 25 days | |
Non-vested stock | ||
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 781 | 1,187 |
Restricted Stock Units (RSUs) | ||
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | 178 | 492 |
Performance Share Units (PSUs) | Stock-Settled Award | ||
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | 168 | 371 |
Performance Share Units (PSUs) | Cash-Settled Award | ||
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 79 | $ 54 |
Stock-Based Compensation Non-ve
Stock-Based Compensation Non-vested Stock (Details) - Non-vested stock - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | |
May 04, 2019 | May 05, 2018 | |
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Settlement at the end of vesting period | one-for-one to common stock | |
Number of shares | ||
Outstanding at February 2, 2019 | 1,379,616 | |
Granted | 625,000 | |
Vested | (383,465) | |
Forfeited | (9,983) | |
Outstanding at May 4, 2019 | 1,611,168 | |
Weighted average grant date fair value (in dollars per share) | ||
Outstanding at February 2, 2019, weighted average grant date fair value (in dollars per share) | $ 4.43 | |
Grants in period, weighted average grant date fair value (in dollars per share) | 0.98 | $ 2.19 |
Vested in period, weighted average grant date fair value (in dollars per share) | 7.09 | |
Forfeitures in period, weighted average grant date fair value (in dollars per share) | 6.36 | |
Outstanding at May 4, 2019, weighted average grant date fair value (in dollars per share) | $ 2.45 | |
Aggregate intrinsic value | ||
Aggregate intrinsic value, vested | $ 0.4 | $ 0.8 |
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures | ||
Shares issued in period | 336,233 | |
Employees | ||
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award annual vesting rights, percentage | 25.00% | |
Award vesting period | 4 years | |
Non-employee directors | ||
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting period | 1 year |
Stock-Based Compensation Restri
Stock-Based Compensation Restricted Stock Units (Details) - Restricted Stock Units (RSUs) | 3 Months Ended |
May 04, 2019$ / sharesshares | |
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award annual vesting rights, percentage | 25.00% |
Award vesting period | 4 years |
Settlement at the end of vesting period | Each vested RSU is settled in cash in an amount equal to the fair market value of one share of our common stock on the vesting date, not to exceed five times the per share fair market value of our common stock on the grant date |
Number of shares | |
Outstanding at February 2, 2019 | shares | 1,740,314 |
Granted | shares | 1,615,000 |
Vested | shares | (439,064) |
Outstanding at May 4, 2019 | shares | 2,916,250 |
Weighted average grant date fair value (in dollars per share) | |
Outstanding at February 2, 2019, weighted average grant date fair value (in dollars per share) | $ / shares | $ 2.16 |
Grants in period, weighted average grant date fair value (in dollars per share) | $ / shares | 0.98 |
Vested in period, weighted average grant date fair value (in dollars per share) | $ / shares | 2.16 |
Outstanding at May 4, 2019, weighted average grant date fair value (in dollars per share) | $ / shares | $ 1.51 |
Stock-Based Compensation Stock-
Stock-Based Compensation Stock-settled Performance Share Units (Details) - Performance Share Units (PSUs) - Stock-Settled Award | 3 Months Ended | |
May 04, 2019shares$ / shares | May 05, 2018$ / shares | |
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award requisite service period | 3 years | |
Settlement at the end of vesting period | Converts to common stock (unless otherwise determined by our Board of Directors, or its Compensation Committee) ranging from zero to a maximum of twice the number of granted shares outstanding on the vesting date. | |
Method used to determine fair value | Monte Carlo simulation | |
Number of shares | ||
Outstanding at February 2, 2019 | 750,000 | |
Granted | 375,000 | |
Outstanding at May 4, 2019 | 1,125,000 | |
Weighted average grant date fair value (in dollars per share) | ||
Weighted average grant date fair value (in dollars per share) | $ / shares | $ 1.97 | |
Maximum | ||
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Multiple of the number of granted shares outstanding for issuable shares | 2 | |
Minimum | ||
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Multiple of the number of granted shares outstanding for issuable shares | 0 | |
2017 Performance Share Units Granted | ||
Number of shares | ||
Outstanding at February 2, 2019 | 470,000 | |
Outstanding at May 4, 2019 | 470,000 | |
Weighted average grant date fair value (in dollars per share) | ||
Weighted average grant date fair value (in dollars per share) | $ / shares | $ 1.80 | |
2018 Performance Share Units Granted | ||
Number of shares | ||
Outstanding at February 2, 2019 | 280,000 | |
Outstanding at May 4, 2019 | 280,000 | |
Weighted average grant date fair value (in dollars per share) | ||
Weighted average grant date fair value (in dollars per share) | $ / shares | $ 3.05 | $ 3.05 |
2019 Performance Share Units Granted | ||
Number of shares | ||
Granted | 375,000 | |
Outstanding at May 4, 2019 | 375,000 | |
Weighted average grant date fair value (in dollars per share) | ||
Weighted average grant date fair value (in dollars per share) | $ / shares | $ 1.39 |
Stock-Based Compensation Cash-s
Stock-Based Compensation Cash-settled Performance Share Units (Details) - Performance Share Units (PSUs) - Cash-Settled Award | 3 Months Ended |
May 04, 2019shares$ / shares | |
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award requisite service period | 3 years |
Settlement at the end of vesting period | Settles in cash ranging from zero to a maximum of twice the number of target units awarded multiplied by the fair market value of one share of our common stock on the vesting date. |
Method used to determine fair value | Monte Carlo simulation |
Number of shares | |
Outstanding at February 2, 2019 | 300,000 |
Granted | 530,000 |
Outstanding at May 4, 2019 | 830,000 |
Weighted average grant date fair value (in dollars per share) | |
Weighted average grant date fair value (in dollars per share) | $ / shares | $ 1.99 |
Maximum | |
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Multiple of the number of granted units outstanding for amount of settlement | 2 |
Minimum | |
Stock-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Multiple of the number of granted units outstanding for amount of settlement | 0 |
2018 Performance Share Units Granted | |
Number of shares | |
Outstanding at February 2, 2019 | 300,000 |
Outstanding at May 4, 2019 | 300,000 |
Weighted average grant date fair value (in dollars per share) | |
Weighted average grant date fair value (in dollars per share) | $ / shares | $ 3.05 |
2019 Performance Share Units Granted | |
Number of shares | |
Granted | 530,000 |
Outstanding at May 4, 2019 | 530,000 |
Weighted average grant date fair value (in dollars per share) | |
Weighted average grant date fair value (in dollars per share) | $ / shares | $ 1.39 |
Pension Plan (Details)
Pension Plan (Details) - USD ($) $ in Thousands | 3 Months Ended | |
May 04, 2019 | May 05, 2018 | |
Retirement Benefits [Abstract] | ||
Employer service cost | $ 135 | $ 123 |
Interest cost on pension benefit obligation | 327 | 358 |
Expected return on plan assets | (368) | (414) |
Amortization of net loss | 170 | 199 |
Net periodic pension cost | 264 | $ 266 |
Contributions by employer | 300 | |
Expected future employer contributions, remainder of fiscal year | $ 1,000 |