Lease Termination and Impairment Charges (Tables)

12 Months Ended

Feb. 28, 2015

Lease Termination and Impairment Charges

Schedule of impairment charges and number of locations, segregated by closed facilities and active stores that have been recorded

	Year Ended
	February 28, 2015				March 1, 2014				March 2, 2013
(in thousands, except number of stores)	Number		Charge		Number		Charge		Number		Charge
Closed facilities:
Actual and approved store closings		24	$	372		31	$	531		29	$	325
Actual and approved relocations		2		50		—		—		—		—
Existing surplus properties		9		1,890		7		798		5		594
Total impairment charges-closed facilities		35		2,312		38		1,329		34		919
Active stores:
Stores previously impaired(1)		376		6,949		378		4,162		469		5,835
New, relocated and remodeled stores(2)		2		1,108		1		4,028		14		9,190
Remaining stores not meeting the recoverability test(3)		16		4,069		17		3,558		47		8,948
Total impairment charges—active stores		394		12,126		396		11,748		530		23,973
Total impairment charges—all locations		429	$	14,438		434	$	13,077		564	$	24,892

(1)	These charges are related to stores that were impaired for the first time in prior periods. Most active stores, requiring an impairment charge, are fully impaired in the first period that they do not meet their asset recoverability test. However, we do often make capital additions to certain stores to improve their operating results or to meet geographical competition, which if later are deemed to be unrecoverable, will be impaired in future periods. Of this total, 369, 375 and 464 stores for fiscal years 2015, 2014 and 2013 respectively have been fully impaired. Also included in these charges are an insignificant number of stores, which were only partially impaired in prior years based on our analysis that supported a reduced net book value greater than zero, but now require additional charges.
(2)	These charges are related to new stores (open at least 3 years) and relocated stores (relocated in the last 2 years) and significant strategic remodels (remodeled in the last year) that did not meet their recoverability test during the current period. These stores have not met their original return on investment projections and have a historical loss of at least 2 years. Their future cash flow projections do not recover their current carrying value. Of this total, 1, 1 and 14 stores for fiscal years 2015, 2014 and 2013 respectively have been fully impaired.
(3)	These charges are related to the remaining active stores that did not meet the recoverability test during the current period. These stores have a historical loss of at least 2 years. Their future cash flow projections do not recover their current carrying value. Of this total, 14, 14 and 43 stores for fiscal years 2015, 2014 and 2013 respectively have been fully impaired.

Schedule of fair value of long-lived assets for which an impairment assessment was performed and total losses

	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Fair Values as of Impairment Date		Total Charges February 28, 2015
Long-lived assets held and used	$	—	$	3,692	$	16,992	$	20,684	$	(12,503	)
Long-lived assets held for sale		—		6,024		—		6,024		(1,935	)
Total	$	—	$	9,716	$	16,992	$	26,708	$	(14,438	)

	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Fair Values as of Impairment Date		Total Charges March 1, 2014
Long-lived assets held and used	$	—	$	42	$	15,051	$	15,093	$	(12,279	)
Long-lived assets held for sale		—		14,656		—		14,656		(798	)
Total	$	—	$	14,698	$	15,051	$	29,749	$	(13,077	)

Schedule of closed store and distribution center charges related to new closures, changes in assumptions and interest accretion

	Year Ended
	February 28, 2015 (52 Weeks)			March 1, 2014 (52 Weeks)			March 2, 2013 (52 Weeks)
Balance—beginning of year	$	284,270		$	323,757		$	367,864
Provision for present value of noncancellable lease payments of closed stores		1,661			11,646			14,440
Changes in assumptions about future sublease income, terminations and change in interest rates		7,560			(4,343	)		9,023
Interest accretion		18,988			21,250			23,246
Cash payments, net of sublease income		(71,432	)		(68,040	)		(90,816	)
Balance—end of year	$	241,047		$	284,270		$	323,757

Schedule of revenue, operating expenses, and income before income taxes of stores

	Year Ended
	February 28, 2015			March 1, 2014			March 2, 2013
Revenues	$	59,520		$	175,868		$	306,501
Operating expenses		68,425			192,416			332,146
Gain from sale of assets		(5,516	)		(13,075	)		(19,877	)
Other expenses (income)		571			(8,197	)		1,647
(Loss) income before income taxes		(3,960	)		4,724			(7,415	)
Included in these stores' (loss) income before income taxes are:
Depreciation and amortization		300			1,126			2,817
Inventory liquidation charges		588			621			1,039