Asset Impairments and Other Charges and Discontinued Operations

Asset Impairments and Other Charges

In accordance with Company policy, assets are determined to be impaired when the revised estimated future cash flows are insufficient to recover the carrying costs. Impairment charges represent the excess of the carrying value over the fair value of those assets.

Asset impairment charges are reflected as a reduction of the net carrying value of property and equipment in the accompanying Condensed Consolidated Balance Sheets, and in asset impairments and other, net in the accompanying Condensed Consolidated Statements of Operations.

The Company recorded pretax charges of $1.6 million in the first quarter of Fiscal 2019, including $1.3 million for retail store asset impairments and $0.3 million for legal and other matters.

The Company recorded pretax charges of $0.1 million in the first quarter of Fiscal 2018 for retail store asset impairments.

Note 3

Asset Impairments and Other Charges and Discontinued Operations, Continued

Discontinued Operations



Accrued Provision for Discontinued Operations
In thousands	Facility Shutdown Costs
Balance January 28, 2017	$	5,043
Additional provision Fiscal 2018	552
Charges and adjustments, net	(1,986		)
Balance February 3, 2018	3,609
Additional provision Fiscal 2019	31
Charges and adjustments, net	(129		)
Balance May 5, 2018*	3,511
Current provision for discontinued operations	1,804
Total Noncurrent Provision for Discontinued Operations	$	1,707

*Includes a $2.9 million environmental provision, including $1.8 million in current provision for discontinued operations (see Note 8).