LEASE AND OTHER COMMITMENTS

12 Months Ended

Feb. 02, 2013

LEASE AND OTHER COMMITMENTS

LEASE AND OTHER COMMITMENTS

NOTE 6—LEASE AND OTHER COMMITMENTS

        In fiscal 2010, the Company sold one property to an unrelated third party. Net proceeds from this sale were $1.6 million. Concurrent with this sale, the Company entered into an agreement to lease the property back from the purchaser over a minimum lease term of 15 years. The Company classified this lease as an operating lease. The Company actively uses this property and considers the lease as a normal leaseback. The Company recorded a deferred gain of $0.4 million.

        In connection with the three acquisitions that occurred during fiscal 2011, the Company assumed additional lease obligations totaling $120.2 million over an average of 14 years.

        The aggregate minimum rental payments for all leases having initial terms of more than one year are as follows:

	Operating Leases
(dollar amounts in thousands)
Fiscal Year
2013		102,609
2014		98,205
2015		91,092
2016		83,707
2017		76,034
Thereafter		340,076
Aggregate minimum lease payments	$	791,723

        Rental expenses incurred for operating leases in fiscal 2012, 2011, and 2010 were $97.9 million, $91.6 million and $79.7 million, respectively, and are recorded primarily in cost of revenues. The deferred gain for all sale leaseback transactions is being recognized in costs of merchandise sales and costs of service revenues over the minimum term of these leases.