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Accounts Receivable | 12 Months Ended
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May 01, 2022
Receivables [Abstract] |
Accounts Receivable |
4. | ACCOUNTS RECEIVABLE
A summary of accounts receivable follows:
|  | May 1, |  |  | May 2, |
(dollars in thousands) |  | 2022 |  |  | 2021 |
customers |  | $ | 22,613 |  |  | $ | 38,455 |
allowance for doubtful accounts |  |  | (292 | ) |  |  | (591 | )
allowance for cash discounts |  |  | (74 | ) |  |  | (124 | )
reserve for returns and allowances and discounts |  |  | (21 | ) |  |  | (14 | )
|  | $ | 22,226 |  |  | $ | 37,726 |
A summary of the activity in the allowance for doubtful accounts follows:
(dollars in thousands) |  | 2022 |  |  | 2021 |  |  | 2020 |
beginning balance |  | $ | (591 | ) |  | $ | (472 | ) |  | $ | (393 | )
provision for bad debts |  |  | 74 |  |  |  | (119 | ) |  |  | (79 | )
write-offs, net of recoveries |  |  | 225 |  |  |  | — |  |  |  | — |
ending balance |  | $ | (292 | ) |  | $ | (591 | ) |  | $ | (472 | )
As of May 1, 2022, and May 2, 2021, we assessed the credit risk of our customers within our accounts receivable portfolio. Our risk assessment includes the respective customer’s (i) financial position; (ii) past payment history; (iii) management’s general ability; and (iv) historical loss experience; as well as (v) any other ongoing economic conditions. After our risk assessment was completed, we assigned credit grades to our customers, which in turn were used to determine our allowance for doubtful accounts totaling $292,000 and $591,000 as of May 1, 2022, and May 2, 2021, respectively. A summary of the activity in the allowance for returns and allowances and discounts follow:
(dollars in thousands) |  | 2022 |  |  | 2021 |  |  | 2020 |
beginning balance |  | $ | (138 | ) |  | $ | (84 | ) |  | $ | (226 | )
provision for returns and allowances and discounts |  |  | (1,386 | ) |  |  | (1,665 | ) |  |  | (1,603 | )
credits issued and discounts taken |  |  | 1,429 |  |  |  | 1,611 |  |  |  | 1,745 |
ending balance |  | $ | (95 | ) |  | $ | (138 | ) |  | $ | (84 | )
Subsequent Event On June 25, 2022, a customer and its affiliates associated with our mattress fabrics segment announced that they filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code. Subject to court approval, our customer and its affiliates entered into an asset purchase agreement for the sale of substantially all of its assets. The proposed buyer under the asset purchase agreement has also provided a commitment for debtor-in-possession financing to allow our customer and its affiliates to conduct normal business operations pending the anticipated closing of the sale. A credit loss associated with accounts receivable outstanding as of May 1, 2022, for this customer and its affiliates was not recorded as we received payment in full regarding these invoices and, based on information available to us at this time, we do not believe there is a risk of loss on these accounts. In addition, based on the information available to us at this time, we currently do not expect to record a material credit loss associated with accounts receivable for this customer and its affiliates for outstanding invoices after May 1, 2022 relating to products sold prior to the bankruptcy filing.

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- Definition The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -URI https://asc.fasb.org/subtopic&trid=2196772 + Details
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