(

)

Property and Equipment

, net

Property and equipment

, net consist of the following (in thousands):

	2017		2016
Land	$	2,261	$	2,261
Furniture and fixtures		44,191		41,578
Computer hardware		27,122		26,960
Building		14,970		14,970
Leasehold improvements		111,717		113,573
Computer software		42,911		41,763
Construction in progress		7,774		6,152
		250,946		247,257
Less accumulated depreciation		173,195		172,333
Total, net	$	77,751	$	74,924

For

fiscal

2017,

2016

and

2015,

depreciation expense was

$15.1

million,

$15.2

million and

$15.8

million, respectively.

During

201

the Company reviewed the operating performance and forecasts of future performance for the stores in its DTC segment. As a result of that review, it was determined that several stores would

not

be able to recover the carrying value of certain store assets through expected undiscounted cash flows over the remaining life of the related assets. Accordingly, the carrying value of the assets was reduced to fair value, calculated as the net present value of estimated future cash flows for each asset group, and any remaining net book value is depreciated over the remaining life of the asset. Asset impairment charges of less than

$0.1

million were recorded in the

fourth

quarter of fiscal

2017,

which are included in cost of merchandise sold - retail as a component of income before income taxes in the DTC segment. Similar impairment charges were

$2.3

million in fiscal

2016

and immaterial in fiscal

2015,

respectively. The inputs used to determine the fair value of the assets are Level

fair value inputs as defined by ASC

820

10.

In the event that we decide to close any or all of these stores in the future, we

may

be required to record additional impairment, lease termination charges, severance charges and other charges.

2015,

the Company began on ongoing project to update its store locations. The Company currently expects to update stores

primarily in conjunction with natural lease events including new store openings, relocations and lease required remodels. The Company considers a more likely than

not

assessment that an individual location will close or be remodeled prior to the end of its original lease term as a triggering event to review the store asset group for recoverability. As a result of these reviews, it was determined that certain stores would

not

be able to recover the carrying value of store assets through expected undiscounted cash flows over the shortened remaining life of the related assets. Accordingly, the carrying value of the assets was reduced to fair value, calculated as the net present value of estimated future cash flows for each asset group, and any remaining net book value is depreciated over the shortened expected life. Asset impairment charges of

$0.1

million,

$0.4

million and

$0.3

million were recorded in fiscal

2017,

2016

and

2015,

respectively, which are included in selling, general and administrative expenses as a component of income before income taxes in the DTC segment. The inputs used to determine the fair value of the assets are Level

fair value inputs as defined by ASC

820

10.