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Leases | 6 Months Ended
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Jul. 30, 2023
Disclosure Text Block [Abstract] |
Lessee, Operating Leases [Text Block] | 9. Leases We have operating leases for warehouses, showrooms, manufacturing facilities, offices and equipment. We recognized sub-lease income of $45,000 and $74,000 for the second quarter and first half of fiscal 2024, respectively. We recognized sub-lease income of $34,000 and $381,000 for the second quarter and first half of fiscal 2023, respectively. The components of lease cost and supplemental cash flow information for leases for the three-months and six-months ended July 30, 2023 and July 31, 2022 were:
|  | Thirteen Weeks Ended |  |  | Twenty-Six Weeks Ended |
|  | July 30, 2023 |  |  | July 31, 2022 |  |  | July 30, 2023 |  |  | July 31, 2022 |
Operating lease cost |  | $ | 2,862 |  |  | $ | 2,270 |  |  | $ | 5,700 |  |  | $ | 4,797 |
Variable lease cost |  |  | 70 |  |  |  | 56 |  |  |  | 152 |  |  |  | 111 |
Short-term lease cost |  |  | 92 |  |  |  | 78 |  |  |  | 170 |  |  |  | 164 |
Total operating lease cost |  | $ | 3,024 |  |  | $ | 2,404 |  |  | $ | 6,022 |  |  | $ | 5,072 |
Operating cash outflows |  | $ | 2,679 |  |  | $ | 2,389 |  |  | $ | 5,371 |  |  | $ | 5,224 |
During fiscal 2024 second quarter, we reduced our footprint by 200,000 square feet in the Georgia warehouse. This modification resulted in an approximate $8 million decrease in the lease right-of-use assets and liabilities. The right-of-use assets and lease liabilities recorded on our condensed consolidated balance sheets as of July 30, 2023 and January 29, 2023 were as follows:
|  | July 30, 2023 |  |  | January 29, 2023 |
Real estate |  | $ | 57,946 |  |  | $ | 68,212 |
Property and equipment |  |  | 643 |  |  |  | 737 |
Total operating leases right-of-use assets |  | $ | 58,589 |  |  | $ | 68,949 |
Current portion of operating lease liabilities |  | $ | 6,926 |  |  | $ | 7,316 |
Long term operating lease liabilities |  |  | 54,157 |  |  |  | 63,762 |
Total operating lease liabilities |  | $ | 61,083 |  |  | $ | 71,078 |
For leases that commenced before July 2022, we used our incremental borrowing rate which was LIBOR plus 1.5%. When we entered into the new loan agreement (described in Note 10 below), our incremental borrowing rate for unsecured term loan became the current BSBY rate plus 1.40%. We use this rate as discount rate for leases commenced in July 2022 and thereafter. The weighted-average discount rate is 5.04%. The weighted-average remaining lease term is 7.3 years. The following table reconciles the undiscounted future lease payments for operating leases to the operating lease liabilities recorded in the condensed consolidated balance sheets on July 30, 2023:
|  | Undiscounted Future Operating Lease Payments |
Remainder of fiscal 2024 |  | $ | 4,864 |
2025 |  |  | 9,980 |
2026 |  |  | 10,059 |
2027 |  |  | 9,888 |
2028 |  |  | 8,342 |
2029 and thereafter |  |  | 31,691 |
Total lease payments |  | $ | 74,824 |
Less: impact of discounting |  |  | (13,741 | )
Present value of lease payments |  | $ | 61,083 |
During the fiscal 2024 second quarter, we entered into an agreement to further reduce our footprint in the Georgia warehouse in the fourth quarter of fiscal 2024. This amendment will result in an approximate $3 million decrease in rental payments over the remaining lease term. Since the agreement has not yet commenced, the modification is not reflected in the table above.

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- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 842 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//842-20/tableOfContent + Details
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