Commitments and Contingencies

3 Months Ended

Nov. 02, 2013

Commitments and Contingencies [Abstract]

Commitments and Contingencies

8.Commitments and Contingencies

Lease Commitments.

We have entered into capital leases for certain property.  At November 2, 2013, the total capital lease obligations were $2.6 million, of which $0.7 million was included in short-term capital lease obligations and $1.9 million was included in other liabilities, net, on our unaudited condensed consolidated balance sheet.  At February 2, 2013, the total capital lease obligation was $2.8 million, of which $0.7 million was included in short-term capital lease obligations and $2.1 million was included in other liabilities, net, on our unaudited condensed consolidated balance sheet.

During the thirteen weeks ended November 2, 2013, we opened 16 stores and closed 4 stores increasing our lease commitments by a net of 12 retail stores. The stores we opened have initial lease termination dates between August 2018 and April 2024.  At November 2, 2013, the future minimum lease payments, excluding maintenance, insurance and real estate taxes, for our current capital and operating leases, were as follows (in thousands):

	Capital		Operating		Total
Remaining Fiscal 2014	$	547	$	11,147	$	11,694
Fiscal 2015		372		44,457		44,829
Fiscal 2016		375		34,417		34,792
Fiscal 2017		385		27,040		27,425
Fiscal 2018		385		20,131		20,516
Fiscal 2019		385		13,263		13,648
Thereafter		821		24,612		25,433
Total minimum lease payments		3,270		175,067		178,337
Less amount representing interest		622		-		622
Present value of total minimum lease payments	$	2,648	$	175,067	$	177,715

Included in the above table are future minimum lease payments on our distribution center which aggregate approximately $1.2 million.  The related operating lease expires in December 2014.

Annual Bonuses and Equity Incentive Awards.

Specified officers and corporate employees of our Company are eligible to receive annual bonuses, based on measures of Company operating performance.  At November 2, 2013 and February 2, 2013, there was $2.9 million and $4.3 million, respectively, of annual bonus related expenses included in accrued payroll expenses on our unaudited condensed consolidated balance sheets.

In addition, the Compensation Committee of the Board has placed performance criteria on awards of restricted stock units (PSUs) to our Named Executive Officers.  The performance criteria are tied to performance targets with respect to future return on invested capital and earnings before interest and taxes over a specified period of time.  These PSUs are expensed under the provisions of ASC Topic 718, Compensation – Stock Compensation, and are evaluated each quarter to determine the probability that the performance conditions set within will be met.

Legal Proceedings and Other Contingencies.

No material amounts were accrued at November 2, 2013 or February 2, 2013 pertaining to legal proceedings or other contingencies.