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Lease Termination and Impairment Charges
9 Months Ended
Nov. 29, 2014
Lease Termination and Impairment Charges  
Lease Termination and Impairment Charges

4. Lease Termination and Impairment Charges

        Lease termination and impairment charges consist of amounts as follows:

                                                                                                                                                                                    

 

 

Thirteen Week Period Ended

 

Thirty-Nine Week
Period Ended

 

 

 

November 29,
2014

 

November 30,
2013

 

November 29,
2014

 

November 30,
2013

 

Impairment charges

 

$

1,050 

 

$

335 

 

$

1,333 

 

$

5,201 

 

Lease termination charges

 

 

7,652 

 

 

1,337 

 

 

19,328 

 

 

18,833 

 

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​  

​  

​  

​  

​  

​  

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$

8,702 

 

$

1,672 

 

$

20,661 

 

$

24,034 

 

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Impairment Charges

        These amounts include the write-down of long-lived assets at locations that were assessed for impairment because of management's intention to relocate or close the location or because of changes in circumstances that indicated the carrying value of an asset may not be recoverable.

Lease Termination Charges

        As part of the Company's ongoing business activities, the Company assesses stores and distribution centers for potential closure or relocation. Decisions to close or relocate stores or distribution centers in future periods would result in lease termination charges, lease exit costs and inventory liquidation charges, as well as impairment of assets at these locations. During November 2013, the Company sold its lease rights for one store for a gain of $8,750, which is included as a reduction to lease termination charges and is reflected in the table below as a component of cash payments, net of sublease income. The following table reflects the closed store and distribution center charges that relate to new closures, changes in assumptions and interest accretion:

                                                                                                                                                                                    

 

 

Thirteen Week Period Ended

 

Thirty-Nine Week
Period Ended

 

 

 

November 29,
2014

 

November 30,
2013

 

November 29,
2014

 

November 30,
2013

 

Balance—beginning of period

 

$

261,130

 

$

303,637

 

$

284,270

 

$

323,758

 

Provision for present value of noncancellable lease payments of closed stores

 

 

569

 

 

4,522

 

 

1,005

 

 

10,896

 

Changes in assumptions about future sublease income, terminations and changes in interest rates

 

 

2,418

 

 

(8,112

)

 

3,835

 

 

(7,899

)

Interest accretion

 

 

4,665

 

 

5,225

 

 

14,492

 

 

16,133

 

Cash payments, net of sublease income

 

 

(17,431

)

 

(10,127

)

 

(52,251

)

 

(47,743

)  

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Balance—end of period

 

$

251,351

 

$

295,145

 

$

251,351

 

$

295,145

 

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