XML 32 R11.htm IDEA: XBRL DOCUMENT
v3.20.1

Leases | 3 Months Ended
--- | ---
May 02, 2020
Leases [Abstract] |
Leases | 4. Leases The Company leases all of its store locations and its corporate headquarters, which also includes its distribution center, under operating leases. The store leases typically have initial terms of 5 years to 10 years, with options that usually permit renewal for additional five-year periods. The initial term of the lease for the corporate headquarter was for 20 years, with the opportunity to extend for six additional successive periods of five years, beginning in fiscal 2026. The Company also leases certain equipment and other assets under operating leases, typically with initial terms of 3 to 5 years. The Company is generally obligated for the cost of property taxes, insurance and common area maintenance fees relating to its leases, which are considered variable lease costs and are expensed as incurred. The following table is a summary of the Company’s components of net lease cost for the three months ended May 2, 2020 and May 4, 2019:
|  | For the three months ended |
|  | May 2, 2020 |  |  | May 4, 2019 |
(in thousands) |  |  |  |  |  |  |  |
Operating lease cost |  | $ | 12,640 |  |  | $ | 13,253 |
Short-term lease costs (1) |  |  | — |  |  |  | — |
Variable lease costs(2) |  |  | 3,800 |  |  |  | 4,045 |
Total lease costs |  | $ | 16,440 |  |  | $ | 17,298 |
| (1) | The Company had no short-term lease costs.
| (2) | Variable lease costs include the cost of property taxes, insurance and common area maintenance fees related to its leases.
Supplemental cash flow and balance sheet information related to leases for the first three months ended May 2, 2020 and May 4, 2019 is as follows:
(dollars in thousands) |  | For the three months ended |
Cash paid for amounts included in the measurement of lease liabilities: |  | May 2, 2020 |  |  | May 4, 2019 |
Operating cash flows for operating leases (1) |  | $ | 9,805 |  |  | $ | 14,611 |
Non-cash operating activities: |  |  |  |  |  |  |  |
Right-of-use assets obtained in exchange for operating lease liabilities |  | $ | 559 |  |  | $ | 1,851 |
Weighted average remaining lease term |  | 5.2 yrs. |  |  | 5.8 yrs. |
Weighted average discount rate |  | 7.08% |  |  | 7.08% |
| (1) | Due to the store closures, the Company did not make scheduled rent payments, due April 1, 2020, of $4.2 million, this amount is included in the Accounts Payable balance at May 2, 2020. We are engaging with landlords to discuss rent concessions. No rent concessions were agreed upon until the second quarter of fiscal 2020.
The table below reconciles the undiscounted cash flows for each of the first five years and total of the remaining years to the operating lease liabilities recorded on the Consolidated Balance Sheet as of May 2, 2020:
(in thousands) |  |  |  |
2020 (remaining) |  | $ | 41,479 |
2021 |  |  | 54,468 |
2022 |  |  | 49,225 |
2023 |  |  | 41,156 |
2024 |  |  | 30,855 |
Thereafter |  |  | 38,245 |
Total minimum lease payments |  | $ | 255,428 |
Less: amount of lease payments representing interest |  |  | 41,873 |
Present value of future minimum lease payments |  | $ | 213,555 |
Less: current obligations under leases |  |  | 41,780 |
Long-term lease obligations |  | $ | 171,775 |

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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 -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration