Income Taxes (Tables)

12 Months Ended

Feb. 03, 2013

The Company's income tax expense (benefit) consists of the following for fiscal years 2013 and 2012:

	2013			2012

Income tax expense allocated to continuing operations	$	565			702

Income tax benefit allocated to discontinued operations		(254	)		(61	)
Total income tax expense (benefit)	$	311			641

Income Tax Expense (Benefit) Attributable to Continuing Operations

Income tax expense (benefit) attributable to continuing operations for fiscal years 2013 and 2012 consists of:

	Current			Deferred		Total
2013:
Federal	$	108			147		256
State		123			186		309
		231			333		565
2012:
Federal		(59	)		440		381
State		128			193		321
	$	69			633		702

Reconciliation of Amounts Computed by Applying the Federal Statutory Income Tax Rate

Income tax expense attributable to continuing operations was $0.6 million and $0.7 million for fiscal years 2013 and 2012, respectively, and differs from the amounts computed by applying the Federal statutory income tax rate of 34% as a result of the following:

	2013			2012
Computed "expected" tax expense	$	778			835
State income taxes, net of the Federal income tax benefit		190			214
Adjustment for prior period taxes		(110	)		4
Federal employment credits		(393	)		(429	)
Share-based compensation		53			31
Other, net		47			47
	$	565			702

Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of deferred tax assets and liabilities at February 3, 2013 and January 29, 2012 are presented below:

	2013		2012
Deferred tax assets:
Capital leases	$	384		311
Other liabilities		412		551
Insurance reserves		1,041		1,208
Vacation and sick pay accrual		436		436
Stock options		238		155
Inventory		1,202		318
Deferred gain on property and equipment		1,149		1,306
Deferred Rent		896		905
Net operating loss carryforwards		1,606		3,532
Credit carryforwards		3,236		2,463
Total deferred tax assets		10,600		11,185

Deferred tax liabilities:
Property and equipment, due to differences in depreciation		3,890		4,519
Property taxes		88		184
481 (a) adjustments		255		530
Dividend income		649		479
Other assets		728		403
Total deferred tax liabilities		5,610		6,115

Net deferred tax asset	$	4,990		5,070

Reconciliation of the Beginning and Ending Balances of the Total gross Unrecognized Tax Benefits

A reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits is as follows:

	2013		2012
Gross unrecognized tax benefits at the beginning of the year:	$	—		57
Increases related to prior period tax positions		—		—
Decreases related to prior period tax positions		—		(57	)
Settlements		—		—
Gross unrecognized tax benefits at the end of the year:	$	—		—