INCOME TAXES (Tables)

12 Months Ended

Jan. 29, 2022

Schedule of Components of Income Tax Expense (Benefit)


($ thousands)	2021		2020		2019
Federal
Current	$	36,388	$	(37,140)	$	4,003
Deferred		(227)		(45,145)		5,390
Total federal income tax provision (benefit)		36,161		(82,285)		9,393
State
Current		4,012		1,532		290
Deferred		6,531		(9,038)		2,403
Total state income tax provision (benefit)		10,543		(7,506)		2,693
International
Current		4,615		2,288		3,914
Deferred		(238)		9,386		511
Total international income tax provision		4,377		11,674		4,425
Total income tax provision (benefit)	$	51,081	$	(78,117)	$	16,511

Schedule of Effective Income Tax Rate Reconciliation


($ thousands)	2021		2020		2019
Income taxes at statutory rate	$	39,741	$	(108,593)	$	16,505
State income taxes, net of federal tax benefit		8,361		(17,433)		2,218
International earnings taxed at differing rates from U.S. statutory		(3,588)		(5,210)		(4,071)
Share-based compensation		94		1,094		86
Non-deductibility of goodwill impairment		—		20,179		—
Impairment of international trade name taxed at higher rate		—		(1,440)		—
Provision for valuation allowance, net of utilization		8,978		41,019		872
CARES Act NOL, net carryback benefit ⁽¹⁾		365		(8,203)		—
Non-deductibility of 162(m) limitations		3,377		1,005		1,113
GILTI, BEAT and FDII provisions		346		—		668
International entity restructuring ⁽²⁾		(6,697)		—		—
Other ⁽³⁾		104		(535)		(880)
Total income tax provision (benefit)	$	51,081	$	(78,117)	$	16,511

(1)

The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was signed into law during 2020. Among the Internal Revenue Code provisions modified by the CARES Act was a five-year carryback period for net operating losses incurred in the 2018, 2019 and 2020 tax years; temporary removal of the 80% limitation on net operating loss usage, reinstated for tax years after 2020; a temporary increase in the interest expense limitation and acceleration of refundable AMT credit. The five-year carryback presented an opportunity to carry back net operating losses from years with a statutory 21% federal tax rate to years when the rate was 35%.

(2)	Reflects the deferred tax impacts of the liquidation of certain international subsidiaries, with related impacts presented in the provision for valuation allowance, net of utilization line in the table above.

(3)	The other category of income tax provision (benefit) principally represents the impact of expenses that are not deductible or partially deductible for federal income tax purposes and the impact of any return-to-provision adjustments.

Schedule of Deferred Tax Assets and Liabilities


($ thousands)	January 29, 2022		January 30, 2021
Deferred Tax Assets
Lease obligations	$	149,123	$	176,953
Goodwill		43,510		56,191
Net operating loss carryforward/carryback		14,441		20,736
Accrued expenses		25,314		18,610
Employee benefits, compensation and insurance		15,751		11,006
Accounts receivable		5,735		6,149
Inventory capitalization and inventory reserves		6,013		4,130
Impairment of investment in nonconsolidated affiliate		1,470		1,470
Postretirement and postemployment benefit plans		259		285
Other		1,261		1,259
Total deferred tax assets, before valuation allowance		262,877		296,789
Valuation allowance		(58,959)		(49,981)
Total deferred tax assets, net of valuation allowance	$	203,918	$	246,808

Deferred Tax Liabilities
Lease right-of-use assets	$	(134,888)	$	(151,962)
Intangible assets		(10,624)		(30,532)
LIFO inventory valuation		(37,675)		(38,437)
Retirement plans		(23,718)		(21,041)
Capitalized software		(5,042)		(5,331)
Depreciation		(3,818)		(4,779)
Other		(2,884)		(2,970)
Total deferred tax liabilities		(218,649)		(255,052)
Net deferred tax liability	$	(14,731)	$	(8,244)