Fair Value Measurements (Tables)

9 Months Ended

Oct. 31, 2020

Quantitative Information on Level 3 Fair Value Measurement

The following tables presents quantitative information about the Level 3 significant unobservable inputs for the WHBM trademark measured at fair value as of April 4, 2020 and long-lived assets and operating lease assets at retail stores as of October 31, 2020:

Quantitative Information about Level 3 Fair Value Measurements

Fair Value

Valuation Technique

Unobservable Input

Range (Weighted Average)

WHBM Trademark

6,000

Relief from royalty

Weighted-average cost of capital

11% to 13%

Long-term revenue growth rate

-2.5% to 0%

Long-lived assets and operating lease assets at retail stores (1)

90,113

Discounted cash flow

Weighted-average cost of capital

9.5% to 11.5%

Long-term revenue growth rate

-10% to 15%

(1) The fair value of long-lived assets and operating lease assets at retail stores of $90.1 million specifically relates to only those stores which had impairment charges during the thirty-nine weeks ended October 31, 2020.

Schedule of Financial Assets Valued on a Recurring Basis

In accordance with the provisions of the guidance, we categorized our financial assets and liabilities which are valued on a recurring and nonrecurring basis, based on the priority of the inputs to the valuation technique for the instruments, as follows:


			Fair Value Measurements at the End of the Reporting Date Using						Thirty-Nine Weeks Ended October 31, 2020
	Balance as of October 31, 2020		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Impairment
Recurring fair value measurements:
Current Assets
Cash equivalents:
Money market accounts	$	36,678	$	36,678	$	—	$	—
Marketable securities:
Corporate bonds	18,667		—		18,667		—

Noncurrent Assets
Deferred compensation plan	7,902		7,902		—		—
Total recurring fair value measurements	$	63,247	$	44,580	$	18,667	$	—
Nonrecurring fair value measurements:
Noncurrent Assets
Goodwill	$	16,360	$	—	$	—	$	16,360	$	(80,414)
Trademark	6,000		—		—		6,000		(28,000)
Long-lived assets (1)	7,161		—		5,990		1,171		(27,307)
Operating lease assets (1)	88,942		—		—		88,942		(3,236)
Total nonrecurring fair value measurements	$	118,463	$	—	$	5,990	$	112,473	$	(138,957)

	Balance as of February 1, 2020
Recurring fair value measurements:
Current Assets
Cash equivalents:
Money market accounts	$	621	$	621	$	—	$	—
Marketable securities:



Corporate bonds	62,645		—		62,645		—
Commercial paper	1,248		—		1,248		—

Noncurrent Assets
Deferred compensation plan	7,464		7,464		—		—
Total recurring fair value measurements	$	71,978	$	8,085	$	63,893	$	—

	Balance as of November 2, 2019
Financial Assets:
Current Assets
Cash equivalents:
Money market accounts	$	6,898	$	6,898	$	—	$	—
Marketable securities:



Corporate bonds	54,264		—		54,264		—
Commercial paper	2,989		—		2,989		—

Noncurrent Assets
Deferred compensation plan	7,168		7,168		—		—
Total recurring fair value measurements	$	71,319	$	14,066	$	57,253	$	—

(1) The fair value of long-lived assets and operating lease assets of $7.2 million and $88.9 million, respectively, specifically relates to only those assets which had impairment charges related to the pandemic during the thirty-nine weeks ended October 31, 2020.