Guarantor Financial Information (Tables)

12 Months Ended

Jan. 31, 2017

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Condensed Consolidated Balance Sheets as of January 31, 2017



(in thousands)	Conn's, Inc.		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—	$	23,566	$	—	$	—		$	23,566
Restricted cash	—		—		110,698		—			110,698
Customer accounts receivable, net of allowance	—		173,054		529,108		—			702,162
Other accounts receivable	—		69,286		—		—			69,286
Inventories	—		164,856		—		—			164,856
Other current assets	—		21,505		7,368		(11,768		)	17,105
Total current assets	—		452,267		647,174		(11,768		)	1,087,673
Investment in and advances to subsidiaries	678,149		220,107		—		(898,256		)	—
Long-term portion of customer accounts receivable, net of allowance	—		295,522		320,382		—			615,904
Property and equipment, net	—		159,202		—		—			159,202
Deferred income taxes	71,442		—		—		—			71,442
Other assets	—		6,913		—		—			6,913
Total assets	$	749,591	$	1,134,011	$	967,556	$	(910,024	)	$	1,941,134
Liabilities and Stockholders' Equity
Current liabilities:
Current maturities of capital lease obligations	$	—	$	849	$	—	$	—		$	849
Accounts payable	—		101,612		—		—			101,612
Accrued expenses	686		40,287		6,525		(4,399		)	43,099
Other current liabilities	—		25,230		3,961		(7,370		)	21,821
Total current liabilities	686		167,978		10,486		(11,769		)	167,381
Deferred rent	—		87,957		—		—			87,957
Long-term debt and capital lease obligations	219,768		179,044		745,581		—			1,144,393
Other long-term liabilities	—		20,883		2,730		—			23,613
Total liabilities	220,454		455,862		758,797		(11,769		)	1,423,344
Stockholders' equity:
Total stockholders' equity	529,137		678,149		208,759		(898,255		)	517,790
Total liabilities and stockholders' equity	$	749,591	$	1,134,011	$	967,556	$	(910,024	)	$	1,941,134

Condensed Consolidated Balance Sheets as of January 31, 2016.



(in thousands)	Conn's, Inc.		Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Eliminations			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—	$	12,254	$	—		$	—		$	12,254
Restricted cash	—		—		78,576			—			78,576
Customer accounts receivable, net of allowance	—		353,781		390,150			—			743,931
Other accounts receivable	—		95,404		—			—			95,404
Inventories	—		201,969		—			—			201,969
Other current assets	10,774		20,092		3,405			(3,405		)	30,866
Total current assets	10,774		683,500		472,131			(3,405		)	1,163,000
Investment in and advances to subsidiaries	676,492		95,787		—			(772,279		)	—
Long-term portion of customer accounts receivable, net of allowance	—		300,391		331,254			—			631,645
Property and equipment, net	—		151,483		—			—			151,483
Deferred income taxes	70,219		—		—			—			70,219
Other assets	—		8,953		—			—			8,953
Total assets	$	757,485	$	1,240,114	$	803,385		$	(775,684	)	$	2,025,300
Liabilities and Stockholders' Equity
Current liabilities:
Current maturities of capital lease obligations	$	—	$	799	$	—		$	—		$	799
Accounts payable	—		86,797		—			—			86,797
Accrued expenses	736		37,002		1,636			—			39,374
Other current liabilities	—		17,510		1,645			—			19,155
Total current liabilities	736		142,108		3,281			—			146,125
Deferred rent	—		74,559		—			—			74,559
Long-term debt and capital lease obligations	218,468		330,896		699,515			—			1,248,879
Other long-term liabilities	—		16,059		1,397			—			17,456
Total liabilities	219,204		563,622		704,193			—			1,487,019
Stockholders' equity:
Common stock	306		—		—			—			306
Additional paid-in capital	85,209		179,995		112,200			(292,195		)	85,209
Retained earnings	452,766		496,497		(13,008		)	(483,489		)	452,766
Total stockholders' equity	538,281		676,492		99,192			(775,684		)	538,281
Total liabilities and stockholders' equity	$	757,485	$	1,240,114	$	803,385		$	(775,684	)	$	2,025,300

Condensed Consolidated Statement of Operations

Condensed Consolidated Statements of Operations for the year ended January 31, 2017



(in thousands)	Conn's, Inc.			Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues:
Total net sales	$	—		$	1,314,471	$	—		$	—		$	1,314,471
Finance charges and other revenues	—			117,028		165,349			—			282,377
Servicing fee revenue	—			60,149		—			(60,149		)	—
Total revenues	—			1,491,648		165,349			(60,149		)	1,596,848
Costs and expenses:
Cost of goods sold	—			823,082		—			—			823,082
Selling, general and administrative expenses	—			460,076		60,969			(60,149		)	460,896
Provision for bad debts	—			6,974		235,320			—			242,294
Charges and credits	—			6,478		—			—			6,478
Total costs and expenses	—			1,296,610		296,289			(60,149		)	1,532,750
Operating income (loss)	—			195,038		(130,940		)	—			64,098
(Loss) income from consolidated subsidiaries	(26,454		)	146,976		—			(120,522		)	—
Interest expense	17,708			13,379		67,528			—			98,615
(Loss) income before income taxes	8,746			34,683		(198,468		)	120,522			(34,517		)
(Benefit) provision for income taxes	2,269			8,999		(51,492		)	31,269			(8,955		)
Net (loss) income	$	6,477		$	25,684	$	(146,976	)	$	89,253		$	(25,562	)

Condensed Consolidated Statement of Operations for the year ended January 31, 2016.



(in thousands)	Conn's, Inc.			Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues:
Total net sales	$	—		$	1,322,589	$	—		$	—		$	1,322,589
Finance charges and other revenues	—			201,494		89,095			—			290,589
Servicing fee revenue	—			28,395		—			(28,395		)	—
Total revenues	—			1,552,478		89,095			(28,395		)	1,613,178
Costs and expenses:
Cost of goods sold	—			833,126		—			—			833,126
Selling, general and administrative expenses	—			436,115		28,395			(28,395		)	436,115
Provision for bad debts	—			169,831		52,346			—			222,177
Charges and credits	—			8,044		—			—			8,044
Total costs and expenses	—			1,447,116		80,741			(28,395		)	1,499,462
Operating income	—			105,362		8,354			—			113,716
(Income) loss from consolidated subsidiaries	(43,642		)	13,008		—			30,634			—
Interest expense	19,189			15,551		28,366			—			63,106
Loss on extinguishment of debt	483			884		—			—			1,367
Income (loss) before income taxes	23,970			75,919		(20,012		)	(30,634		)	49,243
(Benefit) provision for income taxes	(6,885		)	32,277		(7,004		)	—			18,388
Net income (loss)	$	30,855		$	43,642	$	(13,008	)	$	(30,634	)	$	30,855

Condensed Consolidated Statement of Cash Flows

Condensed Consolidated Statements of Cash Flows for the year ended January 31, 2017



(in thousands)	Conn's, Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net cash provided by (used in) operating activities	$	(1,269	)	$	(723,058	)	$	929,457		$	—		$	205,130
Cash flows from investing activities:
Purchase of customer accounts receivables	—			—			(923,842		)	923,842			—
Sale of customer accounts receivables	—			923,842			—			(923,842		)	—
Purchase of property and equipment	—			(46,556		)	—			—			(46,556		)
Proceeds from sales of property	—			10,806			—			—			10,806
Net cash provided by (used in) investing activities	—			888,092			(923,842		)	—			(35,750		)
Cash flows from financing activities:
Proceeds from issuance of asset-backed notes	—			—			1,067,850			—			1,067,850
Payments on asset-backed notes	—			—			(1,032,842		)	—			(1,032,842		)
Changes in restricted cash balances	—			—			(32,122		)	—			(32,122		)
Borrowings from revolving credit facility	—			724,697			—			—			724,697
Payments on revolving credit facility	—			(876,404		)	—			—			(876,404		)
Payment of debt issuance costs and amendment fees	—			(1,215		)	(8,501		)	—			(9,716		)
Proceeds from stock issued under employee benefit plans	1,268			—			—			—			1,268
Excess tax benefits from stock-based compensation	1			—			—			—			1
Other	—			(800		)	—			—			(800		)
Net cash provided by (used in) financing activities	1,269			(153,722		)	(5,615		)	—			(158,068		)
Net change in cash and cash equivalents	—			11,312			—			—			11,312
Cash and cash equivalents, beginning of period	—			12,254			—			—			12,254
Cash and cash equivalents, end of period	$	—		$	23,566		$	—		$	—		$	23,566

Condensed Consolidated Statement of Cash Flows for the year ended January 31, 2016.



(in thousands)	Conn's, Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net cash provided by (used in) operating activities	$	14,590		$	(653,621	)	$	464,909		$	—		$	(174,122	)
Cash flows from investing activities:
Purchase of customer accounts receivables	—			—			(1,076,106		)	1,076,106			—
Sale of customer accounts receivables	—			1,076,106			—			(1,076,106		)	—
Purchase of property and equipment	—			(63,405		)	—			—			(63,405		)
Proceeds from sales of property	—			5,647			—			—			5,647
Net change in intercompany	160,739			—			—			(160,739		)	—
Net cash provided by (used in) investing activities	160,739			1,018,348			(1,076,106		)	(160,739		)	(57,758		)
Cash flows from financing activities:
Proceeds from issuance of asset-backed notes	—			—			1,118,000			—			1,118,000
Payments on asset-backed notes	—			—			(400,717		)	—			(400,717		)
Changes in restricted cash balances	—			—			(78,576		)	—			(78,576		)
Borrowings from revolving credit facility	—			606,288			—			—			606,288
Payments on revolving credit facility	—			(805,193		)	—			—			(805,193		)
Repurchase of senior notes	(22,965		)	—			—			—			(22,965		)
Payment of debt issuance costs and amendment fees	(3,847		)	(4,419		)	(27,510		)	—			(35,776		)
Repurchases of common stock	(151,781		)	—			—			—			(151,781		)
Proceeds from stock issued under employee benefit plans	2,653			—			—			—			2,653
Net change in intercompany	—			(160,739		)	—			160,739			—
Other	611			(633		)	—			—			(22		)
Net cash (used in) provided by financing activities	(175,329		)	(364,696		)	611,197			160,739			231,911
Net change in cash and cash equivalents	—			31			—			—			31
Cash and cash equivalents, beginning of period	—			12,223			—			—			12,223
Cash and cash equivalents, end of period	$	—		$	12,254		$	—		$	—		$	12,254