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Intangible Assets | 3 Months Ended
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May 03, 2020
Goodwill and Intangible Assets Disclosure [Abstract] |
Intangible Assets Disclosure [Text Block] | 7. Intangible Assets The adverse economic effects brought on by the COVID-19 pandemic, including reductions in our sales, earnings, and market value, as well as other changing market dynamics, required that we perform a valuation of our intangible assets. We hired an external service provider to perform the valuation of our goodwill and intangible assets.. The calculation methodology for the fair value of our Home Meridian segment and the Shenandoah division of our Domestic Upholstery segment included three approaches: the Discounted Cash Flow Method (DCF) which was given the largest weighting, the Guideline Public Company Method (GPCM) based on the consideration of the facts of the Company’s peer competitors and the Guideline Transaction Method (GTM) based on consideration of transactions with varying risk profiles, geographies and market conditions. The Discounted Cash Flow Method was used as the valuation methodology for our trade names and trademarks, based on cash flow projections and growth rates for each trade name for five years in the future provided by management, and a royalty rate benchmark for companies with similar activities. As a result of our intangible asset valuation analysis, we recorded $44.3 million non-cash impartment charges including $23.2 million to Home Meridian goodwill, $16.4 million to Shenandoah goodwill, and $4.8 million to certain of Home Meridian segment’s trade names.
|  |  | May 3, 2020 |  |  | February 2, 2020 |
Non-amortizable Intangible Assets | Segment |  | Beginning Balance |  |  | Impairment Charges |  |  | Net Book Value |  |  | Beginning Balance |  |  | Impairment Charges |  |  | Net Book Value |
Goodwill | Home Meridian |  | $ | 23,187 |  |  | $ | (23,187 | ) |  | $ | - |  |  | $ | 23,187 |  |  | $ | - |  |  | $ | 23,187 |
Goodwill | Domestic Upholstery |  |  | 16,871 |  |  |  | (16,381 | ) |  |  | 490 |  |  |  | 16,871 |  |  |  | - |  |  |  | 16,871 |
Total Goodwill |  |  | 40,058 |  |  |  | (39,568 | ) |  |  | 490 |  |  |  | 40,058 |  |  |  | - |  |  |  | 40,058 |
Trademarks and trade names - Home Meridian | Home Meridian |  |  | 11,400 |  |  |  | (4,750 | ) |  |  | 6,650 |  |  |  | 11,400 |  |  |  | - |  |  |  | 11,400 |
Trademarks and trade names - Bradington-Young | Domestic Upholstery |  |  | 861 |  |  |  | - |  |  |  | 861 |  |  |  | 861 |  |  |  | - |  |  |  | 861 |
Trademarks and trade names - Sam Moore | Domestic Upholstery |  |  | 396 |  |  |  | - |  |  |  | 396 |  |  |  | 396 |  |  |  | - |  |  |  | 396 |
Total Trademarks and trade names |  | $ | 12,657 |  |  | $ | (4,750 | ) |  | $ | 7,907 |  |  | $ | 12,657 |  |  | $ | - |  |  | $ | 12,657 |
Total non-amortizable assets |  | $ | 52,715 |  |  | $ | (44,318 | ) |  | $ | 8,397 |  |  | $ | 52,715 |  |  | $ | - |  |  | $ | 52,715 |
Our amortizable intangible assets are recorded in our Home Meridian and Domestic Upholstery segments. The carrying amounts and changes therein of those amortizable intangible assets were as follows:
|  | Amortizable Intangible Assets |
|  | Customer |  |  |  |  |  |  |  |  |
|  | Relationships |  |  | Trademarks |  |  | Totals |
Balance at February 2, 2020 |  | $ | 19,996 |  |  | $ | 718 |  |  | $ | 20,714 |
Amortization |  |  | (581 | ) |  |  | (15 | ) |  |  | (596 | )
Balance at May 3, 2020 |  | $ | 19,415 |  |  | $ | 703 |  |  | $ | 20,118 |
For the remainder of fiscal 2021, amortization expense is expected to be approximately $1.8 million.

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- Definition The entire disclosure for all or part of the information related to intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -URI http://asc.fasb.org/topic&trid=2144416 + Details
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