Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Nov. 03, 2018 | Nov. 30, 2018 | |
Document and Entity Information | ||
Entity Registrant Name | RTW Retailwinds, Inc. | |
Entity Central Index Key | 1,211,351 | |
Document Type | 10-Q | |
Document Period End Date | Nov. 3, 2018 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --02-02 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 64,857,002 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q3 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 03, 2018 | Oct. 28, 2017 | Nov. 03, 2018 | Oct. 28, 2017 | |
Condensed Consolidated Statements of Operations | ||||
Net sales | $ 210,758 | $ 214,182 | $ 645,957 | $ 648,155 |
Cost of goods sold, buying and occupancy costs | 142,383 | 146,584 | 438,247 | 447,574 |
Gross profit | 68,375 | 67,598 | 207,710 | 200,581 |
Selling, general and administrative expenses | 66,802 | 66,980 | 199,605 | 198,659 |
Operating income | 1,573 | 618 | 8,105 | 1,922 |
Interest expense, net of interest income of $330, $104, $815, and $238, respectively | (258) | 161 | (453) | 678 |
Loss on extinguishment of debt | 239 | |||
Income before income taxes | 1,831 | 457 | 8,319 | 1,244 |
Provision for income taxes | 106 | 105 | 441 | 316 |
Net income | $ 1,725 | $ 352 | $ 7,878 | $ 928 |
Basic earnings per share | $ 0.03 | $ 0.01 | $ 0.12 | $ 0.01 |
Diluted earnings per share | $ 0.03 | $ 0.01 | $ 0.12 | $ 0.01 |
Weighted average shares outstanding: | ||||
Basic shares of common stock (in shares) | 63,940 | 63,242 | 63,738 | 63,213 |
Diluted shares of common stock (in shares) | 66,289 | 64,099 | 65,979 | 63,842 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Operations (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 03, 2018 | Oct. 28, 2017 | Nov. 03, 2018 | Oct. 28, 2017 | |
Condensed Consolidated Statements of Operations | ||||
Interest income | $ 330 | $ 104 | $ 815 | $ 238 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 03, 2018 | Oct. 28, 2017 | Nov. 03, 2018 | Oct. 28, 2017 | |
Condensed Consolidated Statements of Comprehensive Income | ||||
Comprehensive income | $ 1,760 | $ 362 | $ 7,983 | $ 1,123 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Nov. 03, 2018 | Feb. 03, 2018 | [1] | Oct. 28, 2017 |
Current assets: | ||||
Cash and cash equivalents | $ 83,662 | $ 90,908 | $ 69,235 | |
Accounts receivable | 14,134 | 12,528 | 16,242 | |
Income taxes receivable | 55 | 115 | 115 | |
Inventories, net | 121,586 | 84,498 | 125,604 | |
Prepaid expenses | 16,894 | 16,447 | 17,648 | |
Other current assets | 2,308 | 1,924 | 2,587 | |
Total current assets | 238,639 | 206,420 | 231,431 | |
Property and equipment, net | 65,292 | 77,906 | 78,796 | |
Intangible assets | 16,891 | 17,125 | 14,879 | |
Other assets | 1,411 | 1,505 | 1,635 | |
Total assets | 322,233 | 302,956 | 326,741 | |
Current liabilities: | ||||
Current portion-long-term debt | 841 | 841 | ||
Accounts payable | 107,231 | 70,089 | 105,419 | |
Accrued expenses | 66,487 | 70,677 | 61,714 | |
Income taxes payable | 16 | 28 | ||
Total current liabilities | 173,734 | 141,635 | 167,974 | |
Long-term debt, net of current portion | 10,644 | 10,854 | ||
Deferred rent | 25,623 | 27,217 | 28,192 | |
Other liabilities | 32,226 | 36,599 | 38,498 | |
Total liabilities | 231,583 | 216,095 | 245,518 | |
Stockholders? equity: | ||||
Common stock, voting, par value $0.001; 300,000 shares authorized 66,663, 65,896 and 66,012 shares issued and 64,832 , 64,065 and 64,180 shares outstanding at November 3, 2018, February 3, 2018 and October 28, 2017, respectively | 67 | 66 | 66 | |
Additional paid-in capital | 184,916 | 183,228 | 182,947 | |
Retained deficit | (88,802) | (90,797) | (95,544) | |
Accumulated other comprehensive loss | (446) | (551) | (1,161) | |
Treasury stock at cost; 1,831 shares at November 3, 2018, February 3, 2018 and October 28, 2017 | (5,085) | (5,085) | (5,085) | |
Total stockholders? equity | 90,650 | 86,861 | 81,223 | |
Total liabilities and stockholders? equity | $ 322,233 | $ 302,956 | $ 326,741 | |
[1] | Derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended February 3, 2018. |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Thousands | Nov. 03, 2018 | Feb. 03, 2018 | Oct. 28, 2017 |
Condensed Consolidated Balance Sheets | |||
Common stock, voting, par value (in dollars per share) | $ 0.001 | $ 0.001 | $ 0.001 |
Common stock, voting, shares authorized | 300,000 | 300,000 | 300,000 |
Common stock, voting, shares issued | 66,663 | 65,896 | 66,012 |
Common stock, voting, shares outstanding | 64,832 | 64,065 | 64,180 |
Treasury stock at cost, shares | 1,831 | 1,831 | 1,831 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Nov. 03, 2018 | Oct. 28, 2017 | |
Operating activities | ||
Net income | $ 7,878 | $ 928 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 15,833 | 16,354 |
Loss from impairment charges | 486 | 611 |
Amortization of intangible assets | 234 | |
Amortization of deferred financing costs | 49 | 142 |
Write-off of unamortized deferred financing costs | 239 | |
Share-based compensation expense | 1,997 | 1,756 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (1,981) | (4,455) |
Income taxes receivable | 60 | 29 |
Inventories, net | (37,088) | (47,560) |
Prepaid expenses | (447) | 1,098 |
Accounts payable | 37,142 | 37,351 |
Accrued expenses | (10,202) | (7,872) |
Income taxes payable | (12) | (174) |
Deferred rent | (1,594) | (1,847) |
Other assets and liabilities | (3,131) | (4,978) |
Net cash provided by (used in) operating activities | 9,463 | (8,617) |
Investing activities | ||
Capital expenditures | (3,705) | (7,794) |
Insurance recoveries | 375 | 50 |
Net cash used in investing activities | (3,330) | (7,744) |
Financing activities | ||
Repayment of long-term debt | (11,750) | (750) |
Principal payment on capital lease obligations | (1,320) | (1,199) |
Shares withheld for payment of employee payroll taxes | (309) | (202) |
Purchase of treasury stock | (622) | |
Net cash used in financing activities | (13,379) | (2,773) |
Net decrease in cash and cash equivalents | (7,246) | (19,134) |
Cash and cash equivalents at beginning of period | 90,908 | 88,369 |
Cash and cash equivalents at end of period | $ 83,662 | 69,235 |
Supplementary non-cash investing activities | ||
Non-cash capital lease transactions | $ 818 |
Organization and Basis of Prese
Organization and Basis of Presentation | 9 Months Ended |
Nov. 03, 2018 | |
Organization and Basis of Presentation | |
Organization and Basis of Presentation | 1. Organization and Basis of Presentation RTW Retailwinds, Inc., formerly known as New York & Company, Inc., (together with its subsidiaries, the "Company") is a specialty women's omni-channel and digitally enabled retailer with a powerful multi-brand lifestyle platform providing curated fashion solutions that are versatile, on-trend, and stylish at a great value. The specialty retailer, first incorporated in 1918, has grown to now operate roughly 428 retail and outlet locations in 36 states while also growing a substantial eCommerce business. The company's portfolio includes branded merchandise from New York & Company, Fashion to Figure, and collaborations with Eva Mendes, Gabrielle Union and Kate Hudson. The Company's branded merchandise is sold exclusively at its retail locations and online at www.nyandcompany.com , www. fashiontofigure.com , and www.nyandcompanycloset.com . The target customers for the Company's merchandise are women between the ages of 25 and 49. The condensed consolidated financial statements as of November 3, 2018 and October 28, 2017 and for the 13 weeks ("three months") and 26 weeks ("nine months") ended November 3, 2018 and October 28, 2017 are unaudited and are presented pursuant to the rules and regulations of the United States Securities and Exchange Commission ("SEC"). Accordingly, these unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the 53-week fiscal year ended February 3, 2018 ("fiscal year 2017"), which were filed with the Company's Annual Report on Form 10-K with the SEC on April 17, 2018. The 52-week fiscal year ending February 2, 2019 is referred to herein as "fiscal year 2018." The Company's fiscal year is a 52- or 53-week year that ends on the Saturday closest to January 31. The Company identifies its operating segments according to how its business activities are managed and evaluated. Its operating segments have been aggregated and are reported as one reportable segment based on the similar nature of products sold, production process, distribution process, target customers and economic characteristics. All of the Company's revenues are generated in the United States. In the opinion of management, the accompanying condensed consolidated financial statements reflect all adjustments, which are of a normal recurring nature, necessary to present fairly the financial condition, results of operations and cash flows for the interim periods. All significant intercompany balances and transactions have been eliminated in consolidation. Due to seasonal variations in the retail industry, the results of operations for any interim period are not necessarily indicative of the results expected for the full fiscal year. Certain totals that appear in this Quarterly Report on Form 10-Q may not equal the sum of the components due to rounding. |
New Accounting Pronouncements
New Accounting Pronouncements | 9 Months Ended |
Nov. 03, 2018 | |
New Accounting Pronouncements | |
New Accounting Pronouncements | 2. New Accounting Pronouncements In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-09, "Revenue from Contracts with Customers (Topic 606)" ("Topic 606"), which supersedes the revenue recognition requirements in FASB Accounting Standards Codification™ ("ASC") Topic 605, "Revenue Recognition" and requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which an entity expects to be entitled to in exchange for those goods or services. The Company adopted Topic 606 as of February 4, 2018 using the modified retrospective method with a cumulative adjustment to the opening retained earnings balance. Please refer to Note 3, "Revenue Recognition" for further information regarding the adoption of Topic 606. In February 2016, the FASB issued ASU 2016-02, "Leases" ("ASU 2016-02"), which is a comprehensive new lease standard that amends various aspects of existing accounting guidance for leases. The core principle of ASU 2016-02 will require lessees to present the assets and liabilities that arise from leases on their balance sheets. ASU 2016-02 is effective for annual periods beginning after December 15, 2018, and interim periods within those fiscal years and requires modified retrospective adoption. Early adoption is permitted. The Company will adopt ASU 2016-02 on February 3, 2019 using the transition option to recognize a cumulative adjustment to the opening retained earnings balance and without adjustment to prior periods. The Company has gathered all of its existing contracts that meet the definition of a lease under ASU 2016-02, and it has concluded that the Company's real estate leases will drive the significant impact to the Company's consolidated balance sheet. The Company is going through the process of determining its policy elections and its application of practical expedients as they pertain to the adoption of ASU 2016-02. While the Company continues to evaluate the impact of the adoption of this new standard on the Company's financial position and results of operations, the Company expects that the adoption of ASU 2016-02 will result in a significant increase to its long-term assets and liabilities on the consolidated balance sheet. In March 2017, the FASB issued ASU 2017-07, "Compensation-Retirement Benefits: Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost" ("ASU 2017-07"), which requires: (i) the disaggregation of the service cost component from the other components of net benefit costs in the income statement; (ii) provides explicit guidance on the presentation of the service cost component and the other components of net benefit cost in the income statement; and (iii) allows only the service cost component of net benefit cost to be eligible for capitalization. ASU 2017-07 is effective for annual reporting periods beginning after December 15, 2017, and interim periods within those fiscal years, and requires retrospective adoption. The Company prospectively adopted ASU 2017-07 on February 4, 2018, as the Company deemed the impact of prior period reclassifications to be immaterial. The impact on the three months ended October 28, 2017 would have resulted in a net increase of "Selling, general, and administrative expenses" and a decrease in "Operating income" on the Company's condensed consolidated statements of operations by $52,000. The impact on the nine months ended October 28, 2017 would have resulted in a net decrease of "Selling, general, and administrative expenses" and an increase in "Operating income" on the Company's condensed consolidated statements of operations by $60,000. |
Revenue Recognition
Revenue Recognition | 9 Months Ended |
Nov. 03, 2018 | |
Revenue Recognition | |
Revenue Recognition | 3. Revenue Recognition On February 4, 2018, the Company adopted Topic 606 using the modified retrospective method applied to all contracts not completed as of the date of adoption. Results for reporting periods beginning February 4, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with the Company's historic accounting under Topic 605. On February 4, 2018, the Company recorded a net increase to the opening "Retained deficit" balance of $5.9 million with an offsetting adjustment to "Accrued expenses" due to the cumulative impact of adopting Topic 606. The cumulative effect adjustment related primarily to the Company's private label credit card loyalty program (the "Runway Rewards" program). Runway Rewards is the Company's points-based customer loyalty program, in which customers earn points based on purchases. When customers reach predetermined point thresholds, earned points are converted to rewards that can be redeemed for discounts on future purchases of Company merchandise. Previously under Topic 605, the Company recognized revenue for the full sale amount at the time of sale; however, the Company would accrue the estimated cost of points and rewards earned and outstanding until they were redeemed or expired, which is referred to as the incremental cost method. Under Topic 606, the Company no longer accrues the estimated cost of points and rewards earned and outstanding. Instead, it defers a portion of the revenue at the time of sale using the standalone selling price method, as described in Topic 606, until the points and rewards are redeemed or expire. On the date of adoption of Topic 606, the Company established a current liability for deferred revenue equal to the estimated sales value of points and rewards earned and outstanding that are expected to be redeemed, with an offsetting adjustment to the opening balance of "Retained deficit." In accordance with the new revenue standard requirements, the disclosure of the impact of adoption on the Company's consolidated balance sheet on February 4, 2018 was as follows: February 3, 2018 Effect of February 4, 2018 (Amounts in thousands) Accrued expenses $ $ $ Retained deficit $ ) $ ) $ ) There was no impact to the Company's condensed consolidated statement of operations on the date of adoption of Topic 606. In accordance with the new revenue standard requirements, the disclosure of the impact of adoption on the Company's consolidated balance sheet as of November 3, 2018 was as follows: As of November 3, 2018 Balances Effect of As Reported (Amounts in thousands) Accrued expenses $ $ $ Retained deficit $ ) $ ) $ ) In accordance with the new revenue standard requirements, the disclosure of the impact of adoption on the Company's condensed consolidated statements of operations during the three and nine months ended November 3, 2018 was as follows: Three months ended November 3, 2018 Nine months ended November 3, 2018 Balances Effect of As Reported Balances Effect of As Reported (Amounts in thousands) Net sales $ $ ) $ $ $ ) $ Cost of goods sold, buying and occupancy costs $ $ $ $ $ $ Gross profit $ $ ) $ $ $ ) $ Operating income $ $ ) $ $ $ ) $ As a result of the adoption of Topic 606, the Company could experience a shift in revenues and gross profit between fiscal quarters in the future, depending on the timing and level of rewards earned and redeemed by customers. Revenue Recognition Accounting Policies Revenue from the sale of merchandise at the Company's stores is recognized at the time the customer takes possession of the related merchandise and the purchases are paid for. Revenue, including shipping fees billed to customers, from the sale of merchandise at the Company's eCommerce store is recognized when the merchandise is shipped to the customer and the purchases are paid for. Revenue for gift cards and merchandise credits is recognized at redemption. Prior to their redemption, gift cards and merchandise credits are recorded as a liability. Discounts and promotional coupons offered to customers are accounted for as a reduction of sales revenue at the time the coupons are tendered by the customer. For sales incentives that provide customers with a coupon for a discount on future purchases, the Company defers a portion of the revenue at the time the coupon is earned using the standalone selling price method, until the coupon is redeemed or expired. Sales taxes collected from customers are excluded from revenues. The Company reserves for sales returns on a gross basis through a separate right of return asset and liability with reductions in sales and cost of goods sold based upon historical merchandise returns experience and current sales levels. The Company issues gift cards and merchandise credits which do not contain provisions for expiration or inactivity fees. The portion of the dollar value of gift cards and merchandise credits that ultimately is not used by customers to make purchases is known as breakage and will be recognized as revenue if the Company determines it is not required to escheat such amounts to government agencies under state escheatment laws. The Company recognizes gift card and merchandise credit breakage as revenue as each is redeemed over a two-year redemption period based on their respective historical breakage rate. The Company considers the likelihood of redemption remote beyond a two-year redemption period, at which point any unrecognized breakage is recognized as revenue. The Company determined the redemption period and the breakage rates for gift cards and merchandise credits based on their respective historical redemption patterns. Under the Company's Runway Rewards program, points earned expire within 12 months if the point threshold for a reward is not attained. Issued rewards expire within approximately 60 days if they are not redeemed. As rewards are being earned the Company defers a portion of the revenue equal to the estimated sales value of the reward that is expected to be redeemed using the standalone selling price method. Revenue is recognized as rewards are redeemed or expire. The Company determines the estimated redemption rate based on the historical experience of rewards being earned and redeemed. The Company also recognizes revenue in connection with its private label credit card agreement with Comenity Bank, a bank subsidiary of Alliance Data Systems Corporation ("ADS") (the "ADS Agreement"). Pursuant to the terms of the ADS Agreement, ADS has the exclusive right to provide private label credit cards to its customers. The Company's private label credit card is issued to the Company's customers for use exclusively at the Company's stores and eCommerce websites, and credit is extended to such customers by Comenity Bank on a non-recourse basis to the Company. Upon execution of the ADS Agreement on July 14, 2016, the Company was entitled to a $40 million signing bonus, which was recorded as deferred revenue, and is being amortized on a straight-line basis over the 10-year term of the ADS agreement. In addition, over the term of the ADS Agreement, the Company receives royalty payments based on a percentage of private label credit card sales, which the Company recognizes as revenue as it is earned. Contract Liabilities Deferred revenue related to the Company's gift cards and merchandise credits outstanding was $12.1 million and $13.6 million as of November 3, 2018 and February 3, 2018, respectively, which is included in "Accrued expenses" on the Company's condensed consolidated balance sheets. During the nine months ended November 3, 2018, the Company recognized approximately $5.1 million of revenue that was included in the deferred revenue liability for gift cards and merchandise credits at February 3, 2018. Deferred revenue related to the Company's Runway Rewards program and other sales incentive programs, including the impact of Topic 606 adoption, was $7.8 million and $7.3 million as of November 3, 2018 and February 3, 2018, respectively. At November 3, 2018, the $7.8 million deferred revenue liability for loyalty programs is included in "Accrued expenses" on the Company's condensed consolidated balance sheet. During the three and nine months ended November 3, 2018, the net impact of rewards earned, redeemed and expired under these programs was a $0.3 million and $0.4 million deferral of revenue, respectively. Deferred revenue related to the ADS Agreement was $30.0 million at November 3, 2018, of which $26.0 million is included in "Other liabilities" and $4.0 million is included in "Accrued expenses" on the condensed consolidated balance sheet. As of February 3, 2018, deferred revenue related to the ADS Agreement was $33.0 million, of which $29.0 million is included in "Other liabilities" and $4.0 million is included in "Accrued expenses" on the condensed consolidated balance sheet. During the three months ended November 3, 2018 and October 28, 2017, the Company recognized revenue of $6.0 million and $6.1 million, respectively, from royalties and the amortization of signing bonuses in connection with the ADS Agreement. During the nine months ended November 3, 2018 and October 28, 2017, the Company recognized revenue of $17.6 million and $17.7 million, respectively, from royalties and the amortization of signing bonuses in connection with the ADS Agreement. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Nov. 03, 2018 | |
Earnings Per Share | |
Earnings Per Share | 4. Earnings Per Share Basic earnings per share are computed by dividing net income by the weighted average number of shares of common stock outstanding for the period. Except when the effect would be anti-dilutive, diluted earnings per share are calculated based on the weighted average number of outstanding shares of common stock plus the dilutive effect of share-based awards calculated under the treasury stock method. A reconciliation between basic and diluted earnings per share is as follows: Three months Three months Nine months Nine months (Amounts in thousands, except per share amounts) Net income $ $ $ $ Basic earnings per share : Weighted average shares outstanding: Basic shares of common stock Basic earnings per share $ $ $ $ Diluted earnings per share: Weighted average shares outstanding: Basic shares of common stock Plus impact of share-based awards Diluted shares of common stock Diluted earnings per share $ $ $ $ The calculation of diluted earnings per share for the three and nine months ended November 3, 2018 and October 28, 2017 excludes the share-based awards listed in the following table due to their anti-dilutive effect as determined under the treasury stock method: Three months Three months Nine months Nine months (Amounts in thousands) Stock options — Stock appreciation rights(1) Restricted stock and units Total anti-dilutive shares (1) Each stock appreciation right ("SAR") referred to above represents the right to receive a payment measured by the increase in the fair market value of one share of common stock from the date of grant of the SAR to the date of exercise of the SAR. Upon exercise, the SARs will be settled in stock. |
Pension Plan
Pension Plan | 9 Months Ended |
Nov. 03, 2018 | |
Pension Plan | |
Pension Plan | 5. Pension Plan The Company sponsors a single employer defined benefit pension plan ("plan") covering substantially all union employees. Employees covered by collective bargaining agreements are primarily non-management store associates, representing approximately 7% of the Company's workforce at November 3, 2018. The collective bargaining agreement with the Local 1102 unit of the Retail, Wholesale and Department Store Union AFL-CIO is in effect through January 31, 2019. The plan provides retirement benefits for union employees who have attained the age of 21 and complete 1,000 or more hours of service in any calendar year following the date of employment. The plan provides benefits based on length of service. The Company's funding policy for the pension plan is to contribute annually the amount necessary to provide for benefits based on accrued service and to contribute at least the minimum required by ERISA rules. Net periodic benefit cost includes the following components: Three months Three months Nine months Nine months (Amounts in thousands) Service cost $ $ $ $ Interest cost Expected return on plan assets ) ) ) ) Amortization of unrecognized losses Amortization of prior service credit ) ) ) ) Net periodic benefit cost $ $ $ $ In accordance with FASB ASC Topic 220, "Comprehensive Income," comprehensive income reported on the Company's condensed consolidated statements of comprehensive income includes net income and other comprehensive income. For the Company, other comprehensive income consists of the reclassification of unrecognized losses and prior service credits related to the Company's minimum pension liability. The total amount of unrecognized losses and prior service credits reclassified out of "Accumulated other comprehensive loss" on the condensed consolidated balance sheets and into "Selling, general, and administrative expenses" on the Company's condensed consolidated statements of operations for the three months ended November 3, 2018 and October 28, 2017 was approximately $35,000 and $10,000, respectively, and for the nine months ended November 3, 2018 and October 28, 2017 was approximately $105,000 and $195,000, respectively. As of February 3, 2018, the Company reported a minimum pension liability of $1.2 million due to the underfunded status of the plan. The minimum pension liability is reported in "Other liabilities" on the condensed consolidated balance sheets. |
Income Taxes
Income Taxes | 9 Months Ended |
Nov. 03, 2018 | |
Income Taxes | |
Income Taxes | 6. Income Taxes The Company files U.S. federal income tax returns and income tax returns in various state and local jurisdictions. The Company is no longer subject to U.S. federal income tax examinations for tax years through 2014. With limited exception, the Company is no longer subject to state and local income tax examinations for tax years through 2013. At February 3, 2018, the Company reported a total liability for unrecognized tax benefits of $2.0 million, including interest and penalties. There have been no material changes during the nine months ended November 3, 2018. Of the total $2.0 million of unrecognized tax benefits at February 3, 2018, approximately $1.6 million, if recognized, would impact the Company's effective tax rate. The Company does not anticipate any significant increases or decreases to the balance of unrecognized tax benefits during the next 12 months. The Company continues to maintain a valuation allowance against its deferred tax assets until the Company believes it is more likely than not that these assets will be realized in the future. If sufficient positive evidence arises in the future indicating that all or a portion of the deferred tax assets meet the more likely than not standard under ASC Topic 740, "Income Taxes," the valuation allowance would be reversed accordingly in the period that such determination is made. As of November 3, 2018, the Company's valuation allowance against its deferred tax assets was $55.1 million. |
Long-Term Debt and Credit Facil
Long-Term Debt and Credit Facilities | 9 Months Ended |
Nov. 03, 2018 | |
Long-Term Debt and Credit Facilities | |
Long-Term Debt and Credit Facilities | 7. Long-Term Debt and Credit Facilities On October 24, 2014, Lerner New York, Inc., Lernco, Inc. and Lerner New York Outlet, LLC, wholly-owned indirect subsidiaries of RTW Retailwinds, Inc., entered into a Fourth Amended and Restated Loan and Security Agreement (the "Loan Agreement") with Wells Fargo Bank, National Association, as Agent and Term Loan Agent and the lender party thereto. The obligations under the Loan Agreement are guaranteed by RTW Retailwinds, Inc. and its other subsidiaries. The Loan Agreement expires on October 24, 2019. The Loan Agreement consists of a revolving credit facility that provides the Company with up to $100 million of credit, consisting of a $75 million revolving credit facility (which includes a sub-facility for issuance of letters of credit up to $45 million) with a fully committed accordion option that allows the Company to increase the revolving credit facility up to $100 million or decrease it to a minimum of $60 million, subject to certain restrictions. On April 5, 2018, the Company used cash on-hand to prepay in full an $11.5 million outstanding balance of a $15 million, 5-year term loan under the Loan Agreement. Under the terms of the Loan Agreement, the interest rates applicable to Revolving Loans are, at the Company's option, either at a floating rate equal to the Adjusted Eurodollar Rate plus a margin of between 1.50% and 1.75% per year for Eurodollar Rate Loans or a floating rate equal to the Prime Rate plus a margin of between 0.50% and 0.75% per year for Prime Rate Loans, depending upon the Company's Average Compliance Excess Availability. The Company pays to the lender under the revolving credit facility a monthly fee on outstanding commercial letters of credit at a rate of between 0.75% and 0.875% per year and on standby letters of credit at a rate of between 1.50% and 1.75% per year, depending upon the Company's Average Compliance Excess Availability, plus a monthly fee on a proportion of the unused commitments under the revolving credit facility at a rate of 0.25% per year. The maximum borrowing availability under the Company's revolving credit facility is determined by a monthly borrowing base calculation based on applying specified advance rates against inventory and certain other eligible assets. As of November 3, 2018, the Company had availability under its revolving credit facility of $59.9 million, net of letters of credit outstanding of $13.0 million, as compared to availability of $38.1 million, net of letters of credit outstanding of $12.5 million, as of February 3, 2018, and availability of $59.4 million, net of letters of credit outstanding of $14.7 million, as of October 28, 2017. The $13.0 million of letters of credit outstanding at November 3, 2018 includes $11.9 million of standby letters of credit primarily related to the Company's new corporate headquarters and certain insurance contracts. Standby letters of credit related to the Company's corporate headquarters are scheduled to be reduced by $2.0 million annually, which began in October 2017, for a total reduction of $6.0 million by October 2019. Under the terms of the Loan Agreement, the Company is subject to a Minimum Excess Availability covenant of $7.5 million. The Loan Agreement contains other covenants and conditions, including restrictions on the Company's ability to pay dividends on its common stock, incur additional indebtedness and to prepay, redeem, defease or purchase other indebtedness. Subject to such restrictions, the Company may incur more indebtedness for working capital, capital expenditures, stock repurchases, acquisitions and for other purposes. The lender has been granted a pledge of the common stock of Lerner New York Holding, Inc. and certain of its subsidiaries, and a first priority security interest in substantially all other tangible and intangible assets of RTW Retailwinds, Inc. and its subsidiaries, as collateral for the Company's obligations under the Loan Agreement. In addition, RTW Retailwinds, Inc. and certain of its subsidiaries have fully and unconditionally guaranteed the obligations under the Loan Agreement, and such guarantees are joint and several. As of November 3, 2018, February 3, 2018, and October 28, 2017, the Company had $4.4 million, $5.8 million, and $6.2 million of capital lease obligations outstanding, respectively. The Company's capital lease obligations are generally required to be repaid ratably over a five-year term beginning on the respective lease commencement date. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Nov. 03, 2018 | |
Fair Value Measurements | |
Fair Value Measurements | 8. Fair Value Measurements The Company measures fair value in accordance with FASB ASC Topic 820, "Fair Value Measurements" ("ASC 820"). ASC 820 establishes a three-level fair value hierarchy that requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of inputs used to measure fair value are as follows: Level 1: Observable inputs such as quoted prices in active markets; Level 2: Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and Level 3: Unobservable inputs in which there is little or no market data and require the reporting entity to develop its own assumptions. The Company's financial instruments consist of cash and cash equivalents, short-term trade receivables, accounts payable, and long-term debt in prior periods. The carrying values on the balance sheets for cash and cash equivalents, short-term trade receivables and accounts payable approximate their fair values due to the short-term maturities of such items. The carrying amount of long-term debt on the balance sheets approximates its fair value due to the variable interest rate it carries. The Company classifies long-lived store assets within Level 3 of the fair value hierarchy. The Company evaluates the impairment of long-lived assets in accordance with ASC Topic 360, "Property, Plant and Equipment." Long-lived assets are evaluated for recoverability whenever events or changes in circumstances indicate that an asset may have been impaired. The evaluation is performed at the individual store level, which is the lowest level for which identifiable cash flows are largely independent of the cash flows of other groups of assets and liabilities. In evaluating long-lived assets for recoverability, the Company estimates the future cash flows at the individual store level that are expected to result from the use of each store's assets based on historical experience, omni-channel strategy, knowledge and market data assumptions. If the sum of the expected future undiscounted cash flows is less than the carrying amount of the long-lived assets, an impairment loss, equal to the excess of the carrying amount over the fair value of the assets, is recognized. During the nine months ended November 3, 2018, the Company recorded $0.5 million of non-cash impairment charges related to underperforming store assets in "Selling, general and administrative expenses" on the Company's condensed consolidated statement of operations. There were no asset impairment charges recorded during the three months ended November 3, 2018. During the three and nine months ended October 28, 2017, the Company recorded $0.1 million and $0.6 million, respectively, of non-cash impairment charges related to underperforming store assets in "Selling, general and administrative expenses" on the Company's condensed consolidated statement of operations. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 9 Months Ended |
Nov. 03, 2018 | |
Revenue Recognition | |
Schedule of disclosure of the impact of adoption | In accordance with the new revenue standard requirements, the disclosure of the impact of adoption on the Company's consolidated balance sheet on February 4, 2018 was as follows: February 3, 2018 Effect of February 4, 2018 (Amounts in thousands) Accrued expenses $ $ $ Retained deficit $ ) $ ) $ ) In accordance with the new revenue standard requirements, the disclosure of the impact of adoption on the Company's consolidated balance sheet as of November 3, 2018 was as follows: As of November 3, 2018 Balances Effect of As Reported (Amounts in thousands) Accrued expenses $ $ $ Retained deficit $ ) $ ) $ ) In accordance with the new revenue standard requirements, the disclosure of the impact of adoption on the Company's condensed consolidated statements of operations during the three and nine months ended November 3, 2018 was as follows: Three months ended November 3, 2018 Nine months ended November 3, 2018 Balances Effect of As Reported Balances Effect of As Reported (Amounts in thousands) Net sales $ $ ) $ $ $ ) $ Cost of goods sold, buying and occupancy costs $ $ $ $ $ $ Gross profit $ $ ) $ $ $ ) $ Operating income $ $ ) $ $ $ ) $ |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Nov. 03, 2018 | |
Earnings Per Share | |
Schedule of reconciliation between basic and diluted earnings per share | Three months Three months Nine months Nine months (Amounts in thousands, except per share amounts) Net income $ $ $ $ Basic earnings per share : Weighted average shares outstanding: Basic shares of common stock Basic earnings per share $ $ $ $ Diluted earnings per share: Weighted average shares outstanding: Basic shares of common stock Plus impact of share-based awards Diluted shares of common stock Diluted earnings per share $ $ $ $ |
Schedule listing the share-based awards excluded from the computation of diluted earnings per share due to their anti-dilutive effect | Three months Three months Nine months Nine months (Amounts in thousands) Stock options — Stock appreciation rights(1) Restricted stock and units Total anti-dilutive shares (1) Each stock appreciation right ("SAR") referred to above represents the right to receive a payment measured by the increase in the fair market value of one share of common stock from the date of grant of the SAR to the date of exercise of the SAR. Upon exercise, the SARs will be settled in stock. |
Pension Plan (Tables)
Pension Plan (Tables) | 9 Months Ended |
Nov. 03, 2018 | |
Pension Plan | |
Schedule of net periodic benefit cost | Three months Three months Nine months Nine months (Amounts in thousands) Service cost $ $ $ $ Interest cost Expected return on plan assets ) ) ) ) Amortization of unrecognized losses Amortization of prior service credit ) ) ) ) Net periodic benefit cost $ $ $ $ |
Organization and Basis of Pre_2
Organization and Basis of Presentation (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Nov. 03, 2018stateitem | Oct. 28, 2017 | Nov. 03, 2018statesegmentitemage | Oct. 28, 2017 | Feb. 02, 2019 | Feb. 03, 2018 | |
Organization and Basis of Presentation | ||||||
Number of stores operated | item | 428 | 428 | ||||
Number of states in which entity operated the stores | state | 36 | 36 | ||||
Length of period | 91 days | 91 days | 182 days | 182 days | ||
Length of fiscal year | 364 days | 371 days | ||||
Number of reportable segments | segment | 1 | |||||
Minimum | ||||||
Organization and Basis of Presentation | ||||||
Age of women targeted as customers | 25 | |||||
Length of fiscal year | 364 days | |||||
Maximum | ||||||
Organization and Basis of Presentation | ||||||
Age of women targeted as customers | 49 | |||||
Length of fiscal year | 371 days |
New Accounting Pronouncements (
New Accounting Pronouncements (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Nov. 03, 2018 | Oct. 28, 2017 | Nov. 03, 2018 | Oct. 28, 2017 | |
New Accounting Pronouncements | ||||
Selling, general and administrative expenses | $ 66,802,000 | $ 66,980,000 | $ 199,605,000 | $ 198,659,000 |
Operating income | $ 1,573,000 | 618,000 | $ 8,105,000 | 1,922,000 |
ASU 2017-07 | ||||
New Accounting Pronouncements | ||||
Selling, general and administrative expenses | 52,000 | (60,000) | ||
Operating income | $ (52,000) | $ 60,000 |
Revenue Recognition (Details)
Revenue Recognition (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Nov. 03, 2018 | Oct. 28, 2017 | Nov. 03, 2018 | Oct. 28, 2017 | Feb. 04, 2018 | Feb. 03, 2018 | ||
Revenue, Initial Application Period Cumulative Effect Transition | |||||||
Accrued expenses | $ 66,487 | $ 61,714 | $ 66,487 | $ 61,714 | $ 76,560 | $ 70,677 | [1] |
Retained deficit | (88,802) | (95,544) | (88,802) | (95,544) | (96,680) | (90,797) | [1] |
Net sales | 210,758 | 214,182 | 645,957 | 648,155 | |||
Cost of goods sold, buying and occupancy costs | 142,383 | 146,584 | 438,247 | 447,574 | |||
Gross profit | 68,375 | 67,598 | 207,710 | 200,581 | |||
Operating income | 1,573 | $ 618 | 8,105 | $ 1,922 | |||
Balances Without Adoption of ASC 606 | ASU 2014-09 | |||||||
Revenue, Initial Application Period Cumulative Effect Transition | |||||||
Accrued expenses | 65,964 | 65,964 | 70,677 | ||||
Retained deficit | (88,279) | (88,279) | $ (90,797) | ||||
Net sales | 211,144 | 646,383 | |||||
Cost of goods sold, buying and occupancy costs | 142,355 | 438,150 | |||||
Gross profit | 68,789 | 208,233 | |||||
Operating income | 1,987 | 8,628 | |||||
Effect of Topic 606 Adoption | ASU 2014-09 | |||||||
Revenue, Initial Application Period Cumulative Effect Transition | |||||||
Accrued expenses | 523 | 523 | 5,883 | ||||
Retained deficit | (523) | (523) | $ (5,883) | ||||
Net sales | (386) | (426) | |||||
Cost of goods sold, buying and occupancy costs | 28 | 97 | |||||
Gross profit | (414) | (523) | |||||
Operating income | $ (414) | $ (523) | |||||
[1] | Derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended February 3, 2018. |
Revenue Recognition - Revenue R
Revenue Recognition - Revenue Recognition Accounting Policies and Contract Liabilities (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Nov. 03, 2018 | Oct. 28, 2017 | Nov. 03, 2018 | Oct. 28, 2017 | Feb. 03, 2018 | Jul. 14, 2016 | |
Revenue, Initial Application Period Cumulative Effect Transition | ||||||
Redemption period for gift card and merchandise credit breakage | 2 years | |||||
Points earned expiry period for Runway Rewards | 12 months | |||||
Issued rewards expiry period for Runway Rewards | 60 days | |||||
Gift cards and merchandise credits | ||||||
Revenue, Initial Application Period Cumulative Effect Transition | ||||||
Revenue recognized | $ 5.1 | |||||
Gift cards and merchandise credits | Accrued expenses | ||||||
Revenue, Initial Application Period Cumulative Effect Transition | ||||||
Deferred revenue | $ 12.1 | 12.1 | $ 13.6 | |||
Runway Rewards program and other sales-incentive programs | ||||||
Revenue, Initial Application Period Cumulative Effect Transition | ||||||
Deferred revenue | 7.8 | 7.8 | 7.3 | |||
Runway rewards program | ||||||
Revenue, Initial Application Period Cumulative Effect Transition | ||||||
Net impact of rewards earned, redeemed and expired to deferral of revenue | 0.3 | 0.4 | ||||
Runway rewards program | Accrued expenses | ||||||
Revenue, Initial Application Period Cumulative Effect Transition | ||||||
Deferred revenue | 7.8 | 7.8 | ||||
Second Amended and Restated Label Credit Card Program Agreement | ADS | ||||||
Revenue, Initial Application Period Cumulative Effect Transition | ||||||
Deferred revenue | 30 | 30 | 33 | $ 40 | ||
Amortization period of deferred revenue | 10 years | |||||
Revenue recognized | 6 | $ 6.1 | 17.6 | $ 17.7 | ||
Second Amended and Restated Label Credit Card Program Agreement | ADS | Other liabilities | ||||||
Revenue, Initial Application Period Cumulative Effect Transition | ||||||
Deferred revenue | 26 | 26 | 29 | |||
Second Amended and Restated Label Credit Card Program Agreement | ADS | Accrued expenses | ||||||
Revenue, Initial Application Period Cumulative Effect Transition | ||||||
Deferred revenue | $ 4 | $ 4 | $ 4 |
Earnings Per Share - Reconcilia
Earnings Per Share - Reconciliation between basic and diluted earnings (loss) per share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 03, 2018 | Oct. 28, 2017 | Nov. 03, 2018 | Oct. 28, 2017 | |
Earnings Per Share | ||||
Net income | $ 1,725 | $ 352 | $ 7,878 | $ 928 |
Weighted average shares outstanding: | ||||
Basic shares of common stock (in shares) | 63,940 | 63,242 | 63,738 | 63,213 |
Basic earnings per share | $ 0.03 | $ 0.01 | $ 0.12 | $ 0.01 |
Weighted average shares outstanding: | ||||
Basic shares of common stock (in shares) | 63,940 | 63,242 | 63,738 | 63,213 |
Plus impact of share-based awards (in shares) | 2,349 | 857 | 2,241 | 629 |
Diluted shares of common stock (in shares) | 66,289 | 64,099 | 65,979 | 63,842 |
Diluted earnings per share | $ 0.03 | $ 0.01 | $ 0.12 | $ 0.01 |
Earnings Per Share - Antidiluti
Earnings Per Share - Antidilutive shares (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Nov. 03, 2018 | Oct. 28, 2017 | Nov. 03, 2018 | Oct. 28, 2017 | |
Shares excluded from calculation of diluted earnings per share | ||||
Total anti-dilutive shares | 1,159,000 | 2,985,000 | 456,000 | 6,606,000 |
Stock options | ||||
Shares excluded from calculation of diluted earnings per share | ||||
Total anti-dilutive shares | 13,000 | 4,000 | 190,000 | |
Stock appreciation rights | ||||
Shares excluded from calculation of diluted earnings per share | ||||
Total anti-dilutive shares | 846,000 | 2,880,000 | 339,000 | 6,208,000 |
Number of shares of common stock for which increase in fair market value considered as basis for measurement of payment | 1 | |||
Restricted stock and units | ||||
Shares excluded from calculation of diluted earnings per share | ||||
Total anti-dilutive shares | 313,000 | 92,000 | 113,000 | 208,000 |
Pension Plan (Details)
Pension Plan (Details) | 3 Months Ended | 9 Months Ended | |||
Nov. 03, 2018USD ($) | Oct. 28, 2017USD ($) | Nov. 03, 2018USD ($)item | Oct. 28, 2017USD ($) | Feb. 03, 2018USD ($) | |
Pension Plan | |||||
Employees covered by collective bargaining agreements (as a percent) | 7.00% | 7.00% | |||
Age of employees, after attainment of which plan provides retirement benefits | item | 21 | ||||
Minimum hours of service to be completed for plan to provide retirement benefits | 1000 hours | ||||
Net periodic benefit cost | |||||
Service cost | $ 97,000 | $ 84,000 | $ 290,000 | $ 252,000 | |
Interest cost | 76,000 | 72,000 | 229,000 | 244,000 | |
Expected return on plan assets | (140,000) | (134,000) | (421,000) | (379,000) | |
Amortization of unrecognized losses | 39,000 | 13,000 | 117,000 | 206,000 | |
Amortization of prior service credit | (4,000) | (3,000) | (12,000) | (11,000) | |
Net periodic benefit cost | 68,000 | 32,000 | 203,000 | 312,000 | |
Amounts reclassified from accumulated other comprehensive loss | $ 35,000 | $ 10,000 | $ 105,000 | $ 195,000 | |
Minimum pension liability due to the underfunded status of the plan | $ 1,200,000 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | Nov. 03, 2018 | Feb. 03, 2018 |
Income Taxes | ||
Unrecognized tax benefits | $ 2 | |
Unrecognized tax benefit impact on effective tax rate | $ 1.6 | |
Deferred tax assets, valuation allowance | $ 55.1 |
Long-Term Debt and Credit Fac_2
Long-Term Debt and Credit Facilities (Details) - USD ($) $ in Thousands | Apr. 05, 2018 | Nov. 03, 2018 | Oct. 28, 2017 | Feb. 03, 2018 |
Long-Term Debt and Credit Facilities | ||||
Quarterly repayment | $ 11,750 | $ 750 | ||
Minimum excess availability covenant | 7,500 | |||
Capital Lease Obligations | $ 4,400 | 6,200 | $ 5,800 | |
Periods for payment of Capital lease obligations | 5 years | |||
Line of credit | ||||
Long-Term Debt and Credit Facilities | ||||
Maximum borrowing capacity | $ 100,000 | |||
Revolving credit facility | ||||
Long-Term Debt and Credit Facilities | ||||
Maximum borrowing capacity | $ 75,000 | |||
Monthly commitment fee on the unused proportion of credit facility (as a percent) | 0.25% | |||
Borrowing availability | $ 59,900 | 59,400 | 38,100 | |
Outstanding letters of credit | 13,000 | $ 14,700 | $ 12,500 | |
Revolving credit facility | Minimum | ||||
Long-Term Debt and Credit Facilities | ||||
Accordion option to increase or decrease commitments under the credit facility | 60,000 | |||
Revolving credit facility | Maximum | ||||
Long-Term Debt and Credit Facilities | ||||
Accordion option to increase or decrease commitments under the credit facility | $ 100,000 | |||
Revolving credit facility | Eurodollar rate | ||||
Long-Term Debt and Credit Facilities | ||||
Variable rate basis | Eurodollar Rate | |||
Revolving credit facility | Eurodollar rate | Minimum | ||||
Long-Term Debt and Credit Facilities | ||||
Interest rate margin (as a percent) | 1.50% | |||
Revolving credit facility | Eurodollar rate | Maximum | ||||
Long-Term Debt and Credit Facilities | ||||
Interest rate margin (as a percent) | 1.75% | |||
Revolving credit facility | Prime rate | ||||
Long-Term Debt and Credit Facilities | ||||
Variable rate basis | Prime Rate | |||
Revolving credit facility | Prime rate | Minimum | ||||
Long-Term Debt and Credit Facilities | ||||
Interest rate margin (as a percent) | 0.50% | |||
Revolving credit facility | Prime rate | Maximum | ||||
Long-Term Debt and Credit Facilities | ||||
Interest rate margin (as a percent) | 0.75% | |||
Commercial letters of credit | ||||
Long-Term Debt and Credit Facilities | ||||
Maximum borrowing capacity | $ 45,000 | |||
Commercial letters of credit | Minimum | ||||
Long-Term Debt and Credit Facilities | ||||
Monthly commitment fee letters of credit (as a percent) | 0.75% | |||
Commercial letters of credit | Maximum | ||||
Long-Term Debt and Credit Facilities | ||||
Monthly commitment fee letters of credit (as a percent) | 0.875% | |||
Stand by letters of credit | ||||
Long-Term Debt and Credit Facilities | ||||
Outstanding letters of credit | $ 11,900 | |||
Expected annual reduction of letters of credit | 2,000 | |||
Expected total reduction of letters of credit | $ 6,000 | |||
Stand by letters of credit | Minimum | ||||
Long-Term Debt and Credit Facilities | ||||
Monthly commitment fee letters of credit (as a percent) | 1.50% | |||
Stand by letters of credit | Maximum | ||||
Long-Term Debt and Credit Facilities | ||||
Monthly commitment fee letters of credit (as a percent) | 1.75% | |||
Term loan | ||||
Long-Term Debt and Credit Facilities | ||||
Quarterly repayment | $ 11,500 | |||
Term loan | $ 15,000 | |||
Length of term loan | 5 years |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 03, 2018 | Oct. 28, 2017 | Nov. 03, 2018 | Oct. 28, 2017 | |
Non-cash impairment charges | $ 486 | $ 611 | ||
Impairment charges | $ 0 | |||
Underperforming New York & Company stores | Selling, general and administrative expenses | ||||
Non-cash impairment charges | $ 100 | $ 500 | $ 600 |