Business Operations

12 Months Ended

Feb. 03, 2013

Business Operations [Abstract]

Business Operations

12.          Business Operations 

The Company's business activities consist of the operation of ALCO stores.  The Company initiated a transactional web site during November 2011.  Based on its insignificant results of operation, the transactional website has been aggregated with the operating results of the Company's ALCO stores.   

The Company has many suppliers with which it conducts business.  On November 29, 2010, the Company announced a partnership with AWG, whereby the Company began procuring several categories of product through AWG, which allowed for the reduction of inventory, improved inventory turnover and lower operating expenses at its distribution facility in Abilene, Kansas.   

For fiscal years 2013 and 2012, AWG comprised approximately 27% of the Company's total purchases.  The Company believes that its relationships with its suppliers are good, but a change in the relationship with AWG would potentially cause the Company to incur increases in its cost of certain merchandise.

For fiscal years 2013 and 2012 the percentages of sales by product category were as follows: 

	2013		2012
Merchandise Category:
Consumables and commodities	34	%	34	%
Hardlines	34	%	34	%
Apparel and accessories	15	%	16	%
Home furnishings and décor	17	%	16	%
Total	100	%	100	%

During fiscal year 2012, operating income from continuing operations included other operating income of $2.3 million attributable to an insurance settlement from Factory Mutual Insurance Company that represented an appearance allowance for the roofs at the Company's corporate office and warehouse in Abilene, KS.