LEASES

9 Months Ended

Nov. 02, 2024

The Company has operating leases for retail stores, corporate offices, distribution facilities, and certain equipment. The Company’s leases have remaining lease terms ranging from less than one year up to thirteen years, some of which include options to extend the leases for up to five years, and some of which include options to terminate the lease early. The Company records all occupancy costs in Cost of sales, except costs for administrative office buildings, which are recorded in Selling, general, and administrative expenses. As of the periods presented, the Company’s finance leases were not material to the Consolidated Balance Sheets, Consolidated Statements of Operations, or Consolidated Statements of Cash Flows.

The following components of operating lease expense were recognized in the Company’s Consolidated Statements of Operations:


	Thirteen Weeks Ended				Thirty-nine Weeks Ended
	November 2, 2024		October 28, 2023		November 2, 2024		October 28, 2023
	(in thousands)
Fixed operating lease cost	$	22,684	$	21,457	$	68,326	$	63,844
Variable operating lease cost (1)	5,281		11,030		19,224		40,115
Total operating lease cost	$	27,965	$	32,487	$	87,550	$	103,959

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(1)Includes short term leases with lease periods of less than 12 months.

As of November 2, 2024, the weighted-average remaining operating lease term was 4.4 years, and the weighted-average discount rate for operating leases was 8.0%. Cash paid for amounts included in the measurement of operating lease liabilities during Year-To-Date 2024 was $59.8 million. ROU assets obtained in exchange for new operating lease liabilities were $51.1 million during Year-To-Date 2024.

As of November 2, 2024, the maturities of operating lease liabilities were as follows:


	November 2, 2024
	(in thousands)
Remainder of 2024	$	22,526
2025	70,981
2026	41,657
2027	19,495
2028	14,795
Thereafter	41,743
Total operating lease payments	211,197
Less: imputed interest	(37,656)
Present value of operating lease liabilities	$	173,541