Document_And_Entity_Informatio
Document And Entity Information | 3 Months Ended | |
Oct. 26, 2013 | Nov. 27, 2013 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 26-Oct-13 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Trading Symbol | 'asna | ' |
Entity Registrant Name | 'Ascena Retail Group, Inc. | ' |
Entity Central Index Key | '0001498301 | ' |
Current Fiscal Year End Date | '--07-26 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 160,936,915 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Oct. 26, 2013 | Jul. 27, 2013 |
In Millions, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $202 | $186.40 |
Short-term investments | 3.7 | 3 |
Inventories | 633.5 | 540.9 |
Assets related to discontinued operations | 6.4 | 38.8 |
Deferred tax assets | 54.5 | 53 |
Prepaid expenses and other current assets | 104.8 | 120.7 |
Total current assets | 1,004.90 | 942.8 |
Property and equipment, net | 904.5 | 824.8 |
Goodwill | 581.4 | 581.4 |
Other intangible assets, net | 450.5 | 451.1 |
Other assets | 77.3 | 71.6 |
Total assets | 3,018.60 | 2,871.70 |
Current liabilities: | ' | ' |
Accounts payable | 264.1 | 259.2 |
Accrued expenses and other current liabilities | 315.6 | 301.4 |
Deferred income | 58.9 | 61.2 |
Liabilities related to discontinued operations | 19.4 | 21.5 |
Income taxes payable | 8.6 | 8.7 |
Current portion of long-term debt | 0.6 | 0.6 |
Total current liabilities | 667.2 | 652.6 |
Long-term debt | 188 | 135 |
Lease-related liabilities | 244.1 | 242.9 |
Deferred income taxes | 138.4 | 131.7 |
Other non-current liabilities | 152.7 | 153.1 |
Commitments and contingencies (Note 10) | ' | ' |
Total liabilities | 1,390.40 | 1,315.30 |
Equity: | ' | ' |
Common stock, par value $0.01 per share; 160.7 million and 159.5 million shares issued and outstanding | 1.6 | 1.6 |
Additional paid-in capital | 613.1 | 592.8 |
Retained earnings | 1,015.30 | 963.2 |
Accumulated other comprehensive loss | -1.8 | -1.2 |
Total equity | 1,628.20 | 1,556.40 |
Total liabilities and equity | $3,018.60 | $2,871.70 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Oct. 26, 2013 | Jul. 27, 2013 |
In Millions, except Per Share data, unless otherwise specified | ||
Consolidated Balance Sheets [Abstract] | ' | ' |
Common stock, par value | $0.01 | $0.01 |
Common stock, issued | 160.7 | 159.5 |
Common stock, outstanding | 160.7 | 159.5 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | |||
In Millions, except Per Share data, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 | ||
Consolidated Statements Of Operations [Abstract] | ' | ' | ||
Net sales | $1,196.60 | $1,137.50 | ||
Cost of goods sold | -486.6 | -480.9 | ||
Gross margin | 710 | 656.6 | ||
Other costs and expenses: | ' | ' | ||
Buying, distribution and occupancy costs | -219.3 | -206.8 | ||
Selling, general and administrative expenses | -353.2 | -332.9 | ||
Acquisition-related, integration and restructuring costs | -5.3 | -6.4 | ||
Depreciation and amortization expense | -46.6 | -37.6 | ||
Total other costs and expenses | -624.4 | -583.7 | ||
Operating income | 85.6 | 72.9 | ||
Interest expense | -1.5 | -4.8 | ||
Interest and other income, net | 0 | 0.3 | ||
Income from continuing operations before provision for income taxes | 84.1 | 68.4 | ||
Provision for income taxes from continuing operations | -29.8 | -22.2 | ||
Income from continuing operations | 54.3 | 46.2 | ||
Loss from discontinued operations, net of taxes | -1.7 | [1] | -3.1 | [1] |
Net income | $52.60 | $43.10 | ||
Net income per common share - basic: | ' | ' | ||
Continuing operations | $0.34 | $0.30 | ||
Discontinued operations | ($0.01) | ($0.02) | ||
Total net income per basic common share | $0.33 | $0.28 | ||
Net income per common share - diluted: | ' | ' | ||
Continuing operations | $0.33 | $0.29 | ||
Discontinued operations | ($0.01) | ($0.02) | ||
Total net income per diluted common share | $0.32 | $0.27 | ||
Weighted average common shares outstanding: | ' | ' | ||
Basic | 159.4 | 155 | ||
Diluted | 164.1 | 161.3 | ||
[1] | Loss from discontinued operations is presented net of a $2.6 million and a $3.1 million income tax benefit for the three months ended October 26, 2013 and October 27, 2012, respectively. |
CONSOLIDATED_STATEMENTS_OF_OPE1
CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 |
Consolidated Statements Of Operations [Abstract] | ' | ' |
Loss from discontinued operations, income tax benefit | $2.60 | $3.10 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 | ||
Consolidated Statements Of Comprehensive Income [Abstract] | ' | ' | ||
Net income | $52.60 | $43.10 | ||
Other comprehensive (loss) income, net of tax | ' | ' | ||
Net change in unrealized gains on available-for-sale investments | 0 | [1] | 0.2 | [1] |
Foreign currency translation adjustment | -0.6 | 0.2 | ||
Total other comprehensive (loss) income | -0.6 | 0.4 | ||
Total comprehensive income | $52 | $43.50 | ||
[1] | No tax benefits have been provided in any period primarily due to the uncertainty of realization of cumulative capital loss tax benefits. |
CONSOLIDATED_STATEMENTS_OF_COM1
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) (USD $) | Oct. 26, 2013 | Oct. 27, 2012 |
In Millions, unless otherwise specified | ||
Consolidated Statements Of Comprehensive Income [Abstract] | ' | ' |
Tax benefit from cumulative capital loss | $0 | $0 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 |
Cash flows from operating activities: | ' | ' |
Net income | $52.60 | $43.10 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation and amortization expense | 46.6 | 37.6 |
Deferred income tax expense | -9 | -6 |
Deferred rent and other occupancy costs | -8.8 | -4.1 |
Non-cash stock-based compensation expense | 13.2 | 7.5 |
Non-cash impairments of assets | 1.8 | 0.5 |
Non-cash interest expense | 0.3 | 0.3 |
Other non-cash (income) expense | -0.2 | 0.2 |
Excess tax benefits from stock-based compensation | -1.5 | -6.8 |
Changes in operating assets and liabilities: | ' | ' |
Inventories | -92.6 | -73.2 |
Accounts payable, accrued liabilities and income tax liabilities | 49.5 | 52.7 |
Deferred income liabilities | -0.9 | 0.3 |
Lease-related liabilities | 10.2 | 7 |
Other balance sheet changes | -3.6 | -29.9 |
Changes in net assets related to discontinued operations | -16.6 | 2.1 |
Net cash provided by operating activities | 41 | 31.3 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | -130 | -60.5 |
Proceeds from sale of assets | 42.2 | 0 |
Purchases of investments | -0.7 | 0 |
Proceeds from sales and maturities of investments | 0 | 0.5 |
Net cash used in investing activities | -88.5 | -60 |
Cash flows from financing activities: | ' | ' |
Proceeds from borrowings | 241 | 0 |
Repayments of debt | -188 | -21.9 |
Payment of deferred financing costs | 0 | -1.7 |
Proceeds from stock options exercised and employee stock purchases | 8.6 | 13.8 |
Excess tax benefits from stock-based compensation | 1.5 | 6.8 |
Net cash provided by (used in) financing activities | 63.1 | -3 |
Net increase (decrease) in cash and cash equivalents | 15.6 | -31.7 |
Cash and cash equivalents at beginning of period | 186.4 | 164.3 |
Cash and cash equivalents at end of period | $202 | $132.60 |
Description_of_Business
Description of Business | 3 Months Ended |
Oct. 26, 2013 | |
Description of Business [Abstract] | ' |
Description of Business | ' |
1. Description of Business | |
Ascena Retail Group, Inc., a Delaware corporation (“Ascena” or the “Company”), is a leading national specialty retailer of apparel for women and tween girls and boys. The Company operates, through its wholly owned subsidiaries, the following principal retail brands: Justice, Lane Bryant, maurices, dressbarn and Catherines. The Company operates approximately 3,900 stores throughout the United States, Puerto Rico and Canada, with annual revenues of over $4.7 billion for the fiscal year ended July 27, 2013. Ascena and its subsidiaries are collectively referred to herein as the “Company,” “we,” “us,” “our” and “ourselves,” unless the context indicates otherwise. | |
The Company classifies its businesses into five segments following a brand-oriented approach: Justice, Lane Bryant, maurices, dressbarn, and Catherines. The Justice segment includes approximately 984 specialty retail and outlet stores, e-commerce operations, and certain licensed franchises in international territories. The Justice brand offers fashionable apparel to girls who are ages 7 to 14 in an environment designed to match the energetic lifestyle of tween girls, and fashionable apparel to boys who are ages 7 to 14 under the Brothers brand. The Lane Bryant segment includes approximately 790 specialty retail and outlet stores, and e-commerce operations. The Lane Bryant brand offers fashionable and sophisticated plus-size apparel under multiple private labels to female customers in the 25 to 45 age range. The maurices segment includes approximately 886 specialty retail and outlet stores, and e-commerce operations. The maurices brand offers up-to-date fashion designed to appeal to the 17 to 34 year-old female, with stores concentrated in small markets (approximately 25,000 to 100,000 people). The dressbarn segment includes approximately 842 specialty retail and outlet stores, and e-commerce operations. The dressbarn brand primarily attracts female consumers in the mid-30’s to mid-50’s age range and offers moderate-to-better quality career, special occasion and casual fashion to the working woman. The Catherines segment includes approximately 390 specialty retail and outlet stores, and e-commerce operations. The Catherines brand offers classic apparel and accessories for wear-to-work and casual lifestyles in a full range of plus sizes, generally catering to the female customer 45 years and older. | |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
Oct. 26, 2013 | |
Basis of Presentation [Abstract] | ' |
Basis of Presentation | ' |
2. Basis of Presentation | |
Interim Financial Statements | |
The interim consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). The interim consolidated financial statements are unaudited. In the opinion of management, however, such consolidated financial statements contain all normal and recurring adjustments necessary to present fairly the consolidated financial condition, results of operations, comprehensive income and changes in cash flows of the Company for the interim periods presented. In addition, certain information and footnote disclosures normally included in financial statements prepared in accordance with the accounting principles generally accepted in the U.S. (“US GAAP”) have been condensed or omitted from this report as is permitted by the SEC’s rules and regulations. However, the Company believes that the disclosures herein are adequate to make the information presented not misleading. | |
The consolidated balance sheet data as of July 27, 2013 is derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K filed with the SEC for the fiscal year ended July 27, 2013 (the “Fiscal 2013 10-K”), which should be read in conjunction with these interim financial statements. Reference is made to the Fiscal 2013 10-K for a complete set of financial statements. | |
Basis of Consolidation | |
The consolidated financial statements are prepared in accordance with US GAAP, and present the financial position, results of operations, comprehensive income and cash flows of the Company and all entities in which the Company has a controlling voting interest. The consolidated financial statements also include the accounts of any variable interest entities in which the Company is considered to be the primary beneficiary and such entities are required to be consolidated in accordance with US GAAP. There were no variable interest entities as of October 26, 2013. | |
All significant intercompany balances and transactions have been eliminated in consolidation. | |
Use of Estimates | |
The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and footnotes thereto. Actual results could differ materially from those estimates. | |
Significant estimates inherent in the preparation of the consolidated financial statements include: the realizability of inventory; reserves for litigation and other contingencies; useful lives and impairments of long-lived tangible and intangible assets; accounting for income taxes and related uncertain tax positions; the valuation of stock-based compensation and related expected forfeiture rates; insurance reserves; and accounting for business combinations. | |
Fiscal Year | |
The Company utilizes a 52-53 week fiscal year ending on the last Saturday in July. As such, fiscal year 2014 will end on July 26, 2014 and will be a 52-week period (“Fiscal 2014”). Fiscal 2013 ended on July 27, 2013 and reflected a 52-week period (“Fiscal 2013”). The first quarter of Fiscal 2014 ended on October 26, 2013 and was a 13-week period. The first quarter of Fiscal 2013 ended on October 27, 2012 and was also a 13-week period. | |
Prior to Fiscal 2014, the financial position and results of operations of Charming Sourcing, which was acquired in the June 2012 acquisition of Charming Shoppes, Inc. (the “Charming Shoppes Acquisition”), were reported on a one-month lag. The Company’s operating results for the first quarter of Fiscal 2013 include the operating results of Charming Sourcing from July 1, 2012 through September 30, 2012. Effective with the beginning of Fiscal 2014, the fiscal year-end of Charming Sourcing was changed to conform to the Company’s fiscal year-end. The change was recorded as an adjustment to the opening balance of retained earnings as of the beginning of Fiscal 2014. The net effect of such adjustment, and the prior reporting lag, was not material to the consolidated financial statements of the Company. | |
Discontinued Operations | |
Contemporaneously with the closing of the Charming Shoppes Acquisition, the Company announced its intent to cease operating the acquired Fashion Bug business and its intent to sell the acquired Figi’s business. Accordingly, these businesses have been classified as a component of discontinued operations within the consolidated financial statements. | |
The Fashion Bug business ceased operations in February 2013. Additionally, as discussed in the Fiscal 2013 10-K, in August 2013, the Company entered into an agreement to sell the principal net assets of the Figi’s business (the “Figi’s Sale”) and recorded an $8 million pretax charge during the fourth quarter of Fiscal 2013 to reduce the carrying value of the Figi’s net assets to an amount approximating the net sales proceeds. The Figi’s Sale closed during the first quarter of Fiscal 2014 and resulted in an additional $1.6 million pretax charge. The charge includes estimated transaction costs, which are expected to be finalized during the second quarter of Fiscal 2014. This charge has been classified as a component of discontinued operations in the accompanying consolidated statement of operations. | |
Operating results for the discontinued businesses, including $7.4 million of revenues for the first quarter of Fiscal 2014 (only consisting of revenues from the Figi’s business) and $148.5 million of revenues for the first quarter of Fiscal 2013, have been segregated and reported separately as a component of discontinued operations in the accompanying consolidated statements of operations. | |
The major components of assets and liabilities related to the discontinued businesses as of October 26, 2013 are as follows: other current assets of $6.4 million and accounts payable and other accrued liabilities of $19.4 million. | |
Seasonality of Business | |
The Company’s business is typically affected by seasonal sales trends primarily resulting from the timing of holiday and back-to-school shopping periods. In particular, sales at Justice tend to be significantly higher during the fall season which occurs during the first and second quarters of our fiscal year, as this includes the back-to-school period and the December holiday season that is focused on gift-giving merchandise. The maurices brand experiences peak sales during the December holiday season as well as during the early spring which includes the Easter holiday season. The dressbarn brand has historically experienced higher sales in the spring, which includes the Easter and Mother’s Day holidays. The Lane Bryant and Catherines brands typically experience peak sales during the Easter, Mother’s Day and December holiday seasons. Lane Bryant’s peak sales around Mother’s Day typically extend through Memorial Day and into early summer. In addition, our results of operations and cash flows may fluctuate materially in any quarterly period depending on, among other things, adverse weather conditions, shifts in the timing of certain holidays and changes in merchandise mix. | |
Reclassifications | |
Certain immaterial reclassifications have been made to the prior period’s financial information in order to conform to the current period’s presentation. | |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 3 Months Ended | |||||
Oct. 26, 2013 | ||||||
Summary of Significant Accounting Policies [Abstract] | ' | |||||
Summary of Significant Accounting Policies | ' | |||||
3. Summary of Significant Accounting Policies | ||||||
Revenue Recognition | ||||||
Revenue is recognized across all segments of the business when there is persuasive evidence of an arrangement, delivery has occurred, price has been fixed or is determinable, and collectability is reasonably assured. | ||||||
Retail store revenue is recognized net of estimated returns at the time of sale to consumers. E-commerce revenue from sales of products ordered through the Company’s retail internet sites and revenue from direct-mail orders through Justice’s catazine are recognized upon delivery and receipt of the shipment by our customers. Such revenue also is reduced by an estimate of returns. | ||||||
Reserves for estimated product returns are recorded based on historical return trends and are adjusted for known events, as applicable. | ||||||
Gift cards, gift certificates and merchandise credits (collectively, “gift cards”) issued by the Company are recorded as a deferred income liability until they are redeemed, at which point revenue is recognized. Gift cards do not have expiration dates. The Company recognizes income for unredeemed gift cards when the likelihood of a gift card being redeemed by a customer is remote and the Company determines that it does not have a legal obligation to remit the value of the unredeemed gift card to the relevant jurisdiction as unclaimed or abandoned property. Gift card breakage is included in Net sales in the accompanying consolidated statements of operations, and historically has not been material. | ||||||
In addition to retail-store and e-commerce sales, the Justice segment recognizes revenue from licensing arrangements with franchised stores, advertising and other “tween-right” marketing arrangements with partner companies, as well as merchandise shipments to other third-party retailers. Revenue associated with merchandise shipments is recognized at the time title passes and risk of loss is transferred to customers, which generally occurs at the date of shipment. Royalty payments received under license agreements for the use of the Justice trade name and amounts received in connection with advertising and marketing arrangements with partner companies are recognized when earned in accordance with the terms of the underlying agreements. | ||||||
The Company accounts for sales and other related taxes on a net basis, thereby excluding such taxes from revenue. | ||||||
Cost of Goods Sold | ||||||
Cost of goods sold (“COGS”) consists of all costs of merchandise (net of purchase discounts and vendor allowances), merchandise acquisition costs (primarily commissions and import fees), in-bound freight to our distribution centers, and changes in reserve levels for inventory realizability and shrinkage. | ||||||
Our cost of goods sold may not be comparable to those of other entities. Some entities, like us, exclude costs related to their distribution network, buying function and store occupancy costs from cost of goods sold and include them in other costs and expenses, whereas other entities include costs related to their distribution network, buying function and all store occupancy costs in their cost of goods sold. | ||||||
Buying, Distribution and Occupancy costs | ||||||
Buying, distribution and occupancy costs consist of store occupancy and utility costs (excluding depreciation), out-bound freight and all costs associated with the buying and distribution functions. | ||||||
Selling, General and Administrative Expenses | ||||||
Selling, general and administrative expenses (“SG&A expenses”) consist of compensation and benefit-related costs for sales and store operations personnel, administrative personnel and other employees not associated with the functions described above under Buying, distribution and occupancy costs. SG&A expenses also include advertising and marketing costs, information technology and communication costs, supplies for our stores and administrative facilities, insurance costs, legal costs and costs related to other administrative services. | ||||||
Income Taxes | ||||||
Income taxes are provided using the asset and liability method. Under this method, income taxes (i.e., deferred tax assets and liabilities, current taxes payable/refunds receivable and tax expense) are recorded based on amounts refundable or payable in the current year, and include the results of any differences between US GAAP and tax reporting. Deferred income taxes reflect the tax effect of certain net operating loss, capital loss and general business credit carry forwards and the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial statement and income tax purposes, as determined under enacted tax laws and rates. The Company accounts for the financial effect of changes in tax laws or rates in the period of enactment. | ||||||
In addition, valuation allowances are established when management determines that it is more-likely-than-not that some portion or all of a deferred tax asset will not be realized. Tax valuation allowances are analyzed periodically and adjusted as events occur, or circumstances change, that warrant adjustments to those balances. | ||||||
In determining the income tax provision for financial reporting purposes, the Company establishes a reserve for uncertain tax positions. If the Company considers that a tax position is “more-likely-than-not” of being sustained upon audit, based solely on the technical merits of the position, it recognizes the tax benefit. The Company measures the tax benefit by determining the largest amount that is greater than 50% likely of being realized upon settlement, presuming that the tax position is examined by the appropriate taxing authority that has full knowledge of all relevant information. These assessments can be complex and the Company often obtains assistance from external advisors. To the extent that the Company’s estimates change or the final tax outcome of these matters is different than the amounts recorded, such differences will impact the income tax provision in the period in which such determinations are made. If the initial assessment fails to result in the recognition of a tax benefit, the Company regularly monitors its position and subsequently recognizes the tax benefit if (i) there are changes in tax law or analogous case law that sufficiently raise the likelihood of prevailing on the technical merits of the position to “more-likely-than-not,” (ii) the statute of limitation expires, or (iii) there is a completion of an audit resulting in a settlement of that tax year with the appropriate agency. Uncertain tax positions are classified as current only when the Company expects to pay cash within the next twelve months. Interest and penalties, if any, are recorded within the provision for income taxes in the Company’s accompanying consolidated statements of operations and are classified on the accompanying consolidated balance sheets with the related liability for uncertain tax positions. | ||||||
The Company’s liability for unrecognized tax benefits (including accrued interest and penalties), which is included in Other non-current liabilities in the accompanying consolidated balance sheets, was $37.1 million as of October 26, 2013 and $44.9 million as of July 27, 2013. The Company’s liability for uncertain tax positions decreased by $7.8 million primarily as a result of the reversal of certain liabilities associated with uncertain tax positions due largely to the expiration of applicable federal and state income tax statutes of limitations for certain years in the first quarter of Fiscal 2014. The amount of this liability is subject to change based on future events including, but not limited to, the settlements of ongoing audits and/or the expiration of applicable statues of limitations. Although the outcomes and timing of such events are highly uncertain, the Company anticipates that the balance of the liability for unrecognized tax benefits will decrease by approximately $3.1 million, excluding interest and penalties, during the next twelve months. However, changes in the occurrence, expected outcomes and timing of those events could cause the Company’s current estimate to change materially in the future. | ||||||
Net Income per Common Share | ||||||
Basic net income per common share is computed by dividing the net income applicable to common shares after preferred dividend requirements, if any, by the weighted-average number of common shares outstanding during the period. Diluted net income per common share adjusts basic net income per common share for the effects of outstanding stock options, restricted stock, restricted stock units and any other potentially dilutive financial instruments, only in the periods in which such effect is dilutive under the treasury stock method. | ||||||
The weighted-average number of common shares outstanding used to calculate basic net income per common share is reconciled to those shares used in calculating diluted net income per common share as follows: | ||||||
Three Months Ended | ||||||
October 26, | October 27, | |||||
2013 | 2012 | |||||
(millions) | ||||||
Basic | 159.4 | 155.0 | ||||
Dilutive effect of stock options, restricted stock and restricted stock units | 4.7 | 6.3 | ||||
Diluted shares | 164.1 | 161.3 | ||||
Options to purchase shares of common stock at an exercise price greater than the average market price of the common stock during the reporting period are anti-dilutive, and therefore not included in the computation of diluted net income per common share. In addition, the Company has outstanding restricted stock units that are issuable only upon the achievement of certain service and/or performance or market-based goals. Such performance or market-based restricted stock units are included in the computation of diluted shares only to the extent the underlying performance or market conditions (a) are satisfied prior to the end of the reporting period or (b) would be satisfied if the end of the reporting period were the end of the related contingency period and the result would be dilutive under the treasury stock method. As of October 26, 2013 and October 27, 2012, there was an aggregate of approximately 5.9 million and 3.1 million, respectively, of additional shares issuable upon the exercise of anti-dilutive options and/or the contingent vesting of restricted stock units that were excluded from the diluted share calculations. | ||||||
Inventories
Inventories | 3 Months Ended | ||||||||
Oct. 26, 2013 | |||||||||
Inventories [Abstract] | ' | ||||||||
Inventories | ' | ||||||||
4. Inventories | |||||||||
Inventories substantially consist of finished goods merchandise. Inventory by brand is set forth below: | |||||||||
October 26, | July 27, | October 27, | |||||||
2013 | 2013 | 2012 | |||||||
(millions) | |||||||||
Justice | $ | 215.4 | $ | 196.2 | $ | 182.2 | |||
Lane Bryant | 144.9 | 119.7 | 153.7 | ||||||
maurices | 128.0 | 92.0 | 104.1 | ||||||
dressbarn | 107.4 | 106.9 | 120.8 | ||||||
Catherines | 37.8 | 26.1 | 43.2 | ||||||
Total inventories | $ | 633.5 | $ | 540.9 | $ | 604.0 | |||
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended |
Oct. 26, 2013 | |
Fair Value Measurements [Abstract] | ' |
Fair Value Measurements | ' |
5. Fair Value Measurements | |
Fair Value Measurements of Financial Instruments | |
Certain financial assets and liabilities are required to be carried at fair value. Fair value is the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. In determining fair value, the Company utilizes market data or assumptions that it believes market participants would use in pricing the asset or liability, which would maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible, including assumptions about risk and the risks inherent in the inputs to the valuation technique. | |
Cash, cash equivalents and restricted cash are recorded at carrying value, which approximates fair value. Available-for-sale investments in debt securities have historically been recorded at fair value. As the Company’s primary debt obligations are variable rate, there are no significant differences between the fair value and carrying value of the Company’s debt obligations. | |
The Company’s non-financial instruments, which primarily consist of goodwill, intangible assets, and property and equipment, are not required to be measured at fair value on a recurring basis and are reported at their carrying value. However, on a periodic basis whenever events or changes in circumstances indicate that their carrying value may not be recoverable (and at least annually for goodwill and other indefinite-lived intangible assets), non-financial instruments are assessed for impairment and, if applicable, written-down to (and recorded at) fair value. | |
Impairments
Impairments | 3 Months Ended |
Oct. 26, 2013 | |
Impairments [Abstract] | ' |
Impairments | ' |
6. Impairments | |
Long-Lived Assets Impairment | |
Property and equipment, along with other long-lived assets, are evaluated for impairment periodically whenever events or changes in circumstances indicate that their related carrying amounts may not be recoverable. In evaluating long-lived assets for recoverability, the Company uses its best estimate of future cash flows expected to result from the use of the asset and its eventual disposition. To the extent that estimated future undiscounted net cash flows attributable to the asset are less than the carrying amount, an impairment loss is recognized equal to the difference between the carrying value of such asset and its fair value. Impairment losses for retail store-related assets are included as a component of SG&A expenses in the accompanying consolidated statements of operations for all periods and are discussed below. | |
Fiscal 2014 Impairment | |
During the first quarter of Fiscal 2014, the Company recorded an aggregate of $1.8 million in non-cash impairment charges, including $0.1 million in its Justice segment, $0.3 million in its Lane Bryant segment, $0.4 million in its maurices segment and $1.0 million in its dressbarn segment. These charges reduced the net carrying value of certain long-lived assets to their estimated fair value, which was determined based on discounted expected cash flows. These impairment charges were primarily related to the lower-than-expected operating performance of certain retail stores. There were no impairment charges recorded at Catherines during the first quarter of Fiscal 2014. | |
Fiscal 2013 Impairment | |
During the first quarter of Fiscal 2013, the Company recorded an aggregate of $0.5 million in non-cash impairment charges, including $0.3 million in its maurices segment and $0.2 million in its dressbarn segment. These charges reduced the net carrying value of certain long-lived assets to their estimated fair value, which was determined based on discounted expected cash flows. These impairment charges were primarily related to the lower-than-expected operating performance of certain retail stores. There were no impairment charges recorded at Justice, Lane Bryant or Catherines during the first quarter of Fiscal 2013. | |
Debt
Debt | 3 Months Ended | |||||||||||
Oct. 26, 2013 | ||||||||||||
Debt [Abstract] | ' | |||||||||||
Debt | ' | |||||||||||
7. Debt | ||||||||||||
October 26, | July 27, | |||||||||||
Debt consists of the following: | 2013 | 2013 | ||||||||||
(millions) | ||||||||||||
Revolving credit agreement | $ | 188 | $ | 135 | ||||||||
Charming Shoppes convertible notes | 0.6 | 0.6 | ||||||||||
188.6 | 135.6 | |||||||||||
Less: current portion | (0.6 | ) | (0.6 | ) | ||||||||
Total long-term debt | $ | 188 | $ | 135 | ||||||||
Revolving Credit Agreement | ||||||||||||
The Company’s revolving credit facility (the “Revolving Credit Agreement”) provides a senior secured revolving credit facility up to $500 million, with an optional additional increase of up to $100 million. The Revolving Credit Agreement expires in June 2018. There are no mandatory reductions in borrowing availability throughout the term of the Revolving Credit Agreement. However, availability under the Revolving Credit Agreement fluctuates from month-to-month based on the Company’s underlying collateral position at the end of the period. Our collateral position is determined, at any given period, by the aggregate of the Company’s (i) inventory position (less reserves), (ii) market value of eligible real properties up to certain limits, and (iii) eligible credit card receivables. The Revolving Credit Agreement may be used for the issuance of letters of credit, to fund working capital requirements and capital expenditures, and for general corporate purposes. The Revolving Credit Agreement includes a $250 million letter of credit sublimit, of which $60 million can be used for standby letters of credit, and a $25 million swing loan sublimit. | ||||||||||||
Borrowings under the Revolving Credit Agreement bear interest at a variable rate determined using a base rate equal to the greatest of the (i) prime rate, (ii) federal funds rate plus 50 basis points, or (iii) LIBOR plus 100 basis points; plus an applicable margin ranging from 50 basis points to 200 basis points based on a combination of the type of borrowing (prime or LIBOR), the Company’s leverage ratio (defined below) existing at the end of the previous quarter, and average borrowing availability during the previous fiscal quarter. | ||||||||||||
The leverage ratio is defined as a ratio of the sum of the aggregate principal amount of indebtedness to consolidated EBITDA. For such purposes, consolidated EBITDA is defined generally as net income plus (i) income tax expense, (ii) interest expense, (iii) depreciation and amortization expense, (iv) non-recurring, acquisition-related expenses, and (v) restructuring charges not exceeding predetermined limits. | ||||||||||||
In addition to paying interest on any outstanding borrowings under the Revolving Credit Agreement, the Company is required to pay a commitment fee to the lenders under the Revolving Credit Agreement in respect of the unutilized commitments in an amount ranging between 25 basis points and 37.5 basis points per annum based on the Company’s leverage ratio existing at the end of the previous quarter and average utilization during the previous fiscal quarter. | ||||||||||||
As of October 26, 2013, after taking into account the $188.0 million of revolving debt outstanding and the $19.0 million in outstanding letters of credit, the Company had $293.0 million in its variable availability under the Revolving Credit Agreement. | ||||||||||||
Restrictions under the Revolving Credit Agreement | ||||||||||||
The Revolving Credit Agreement is subject to restrictions, as summarized below. | ||||||||||||
The Revolving Credit Agreement has financial covenants with respect to a fixed charge coverage ratio, which is defined as a ratio of consolidated EBITDAR, less capital expenditures to consolidated fixed charges. For such purposes, consolidated EBITDAR is defined generally as net income plus (i) income tax expense, (ii) interest expense, (iii) depreciation and amortization expense, (iv) rent expense, (v) non-recurring acquisition-related expenses, and (vi) restructuring charges not exceeding predetermined limits. Consolidated fixed charges are defined generally as the sum of (a) cash interest expense, (b) rent expense, (c) cash tax expense, (d) mandatory principal repayment, (e) capital lease payments, (f) mandatory cash contributions to any employee benefit plan and (g) any restricted payments paid in cash. The Company is required to maintain a minimum fixed charge coverage ratio for any period of four consecutive fiscal quarters of at least 1.00 to 1.00. As of October 26, 2013, the actual fixed charge coverage ratio was 1.32 to 1.00. The Company was in compliance with all financial covenants contained in the Revolving Credit Agreement as of October 26, 2013. | ||||||||||||
In addition to the above, the Revolving Credit Agreement contains customary negative covenants, subject to negotiated exceptions, on (i) liens and guarantees, (ii) investments, (iii) indebtedness, (iv) significant corporate changes including mergers and acquisitions, (v) dispositions, (vi) restricted payments, cash dividends and certain other restrictive agreements. The borrowing agreement also contains customary events of default, such as payment defaults, cross-defaults to other material indebtedness, bankruptcy and insolvency, the occurrence of a defined change in control, or the failure to observe the negative covenants and other covenants related to the operation of the Company’s business. | ||||||||||||
The Company’s obligations under the Revolving Credit Agreement are guaranteed by certain of its domestic subsidiaries (the “Subsidiary Guarantors”). As collateral security under the borrowing agreement and the guarantees thereof, the Company and the Subsidiary Guarantors have granted to the administrative agent for the benefit of the lenders, a first priority lien on substantially all of their tangible and intangible assets, including, without limitation, certain domestic inventory and certain material real estate. | ||||||||||||
Our Revolving Credit Agreement allows us to pay dividends, provided that at the time of and immediately after giving effect to the dividend, (i) there is no default or event of default, and (ii) Availability (as defined in the Revolving Credit Agreement) is not less than 20% of the aggregate Revolving Commitments (as defined in the Revolving Credit Agreement), subject to a minimum predetermined availability limit. Dividends are payable when declared by our Board of Directors. | ||||||||||||
Other Letters of Credit | ||||||||||||
As of October 26, 2013, the Company had also issued $33.8 million of private label letters of credit relating to the importation of merchandise. | ||||||||||||
Equity
Equity | 3 Months Ended | ||||||||
Oct. 26, 2013 | |||||||||
Equity [Abstract] | ' | ||||||||
Equity | ' | ||||||||
8. Equity | |||||||||
Summary of Changes in Equity: | Three Months Ended | ||||||||
26-Oct-13 | 27-Oct-12 | ||||||||
(millions) | |||||||||
Balance at beginning of period | $ | 1,556.40 | $ | 1,340.90 | |||||
Total comprehensive income | 52 | 43.5 | |||||||
Cash settled LTIP conversion (a) | -- | (6.9 | ) | ||||||
Shares issued and equity grants made pursuant to stock-based compensation plans | 20.4 | 28.1 | |||||||
Other | (0.6 | ) | -- | ||||||
Balance at end of period | $ | 1,628.20 | $ | 1,405.60 | |||||
(a) During the first quarter of Fiscal 2013, approximately 0.6 million performance and market-based shares were cancelled and | |||||||||
replaced with a corresponding amount of new awards that will be settled in cash, and the underlying value was reclassified to | |||||||||
liabilities. | |||||||||
Common Stock Repurchase Program | |||||||||
In Fiscal 2010, the Company’s Board of Directors authorized a $100 million share repurchase program (the “2010 Stock Repurchase Program”). The program was then expanded in Fiscal 2011 to cover an additional $100 million of authorized purchases. Under the 2010 Stock Repurchase Program, purchases of shares of common stock may be made at the Company’s discretion from time to time, subject to overall business and market conditions. | |||||||||
There were no purchases of common stock by Company during the first quarter of Fiscal 2014 under its repurchase program. Repurchased shares normally are retired and treated as authorized but unissued shares. | |||||||||
The remaining availability under the 2010 Stock Repurchase Program was approximately $89.9 million at October 26, 2013. | |||||||||
Dividends | |||||||||
The Company has never declared or paid cash dividends on its common stock. However, payment of dividends is within the discretion of, and are payable when declared by, the Company’s Board of Directors. Additionally, payments of dividends are limited by the Company’s Revolving Credit Agreement as described in Note 7, “Restrictions under the Revolving Credit Agreement.” | |||||||||
StockBased_Compensation
Stock-Based Compensation | 3 Months Ended | ||||||||||||||||
Oct. 26, 2013 | |||||||||||||||||
Stock-Based Compensation [Abstract] | ' | ||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||
9. Stock-based Compensation | |||||||||||||||||
Long-term Stock Incentive Plan | |||||||||||||||||
The Company is authorized to issue up to 51 million shares of stock-based awards to eligible employees and directors of the Company under its 2010 Stock Incentive Plan, as amended (the “2010 Stock Plan”). The 2010 Stock Plan provides for the granting of either incentive stock options or non-qualified options to purchase shares of common stock, as well as the award of shares of restricted stock and other stock-based awards (including restricted stock units), to eligible employees and directors of the Company. The 2010 Stock Plan expires on September 19, 2022. | |||||||||||||||||
As of October 26, 2013, there were approximately 10.8 million shares under the 2010 Stock Plan available for future grants. The Company issues new shares of common stock when stock option awards are exercised. | |||||||||||||||||
Impact on Results | |||||||||||||||||
A summary of the total compensation expense and associated income tax benefit recognized related to stock-based compensation arrangements is as follows: | |||||||||||||||||
Three Months Ended | |||||||||||||||||
October 26, | October 27, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
(millions) | |||||||||||||||||
Compensation expense | $ | 13.2 | $ | 7.5 | |||||||||||||
Income tax benefit | $ | (5.0 | ) | $ | (2.7 | ) | |||||||||||
Stock Options | |||||||||||||||||
Stock option awards outstanding under the Company’s current plans have been granted at exercise prices that are equal to or exceed the market value of its common stock on the date of grant. Such options generally vest over a period of four or five years and expire at either seven or ten years after the grant date. The Company recognizes compensation expense ratably over the vesting period, net of estimated forfeitures. The Company uses the Black-Scholes option-pricing model to estimate the fair value of stock options granted, which requires the input of both subjective and objective assumptions as follows: | |||||||||||||||||
Expected Term — The estimate of expected term is based on the historical exercise behavior of grantees, as well as the contractual life of the option grants. | |||||||||||||||||
Expected Volatility — The expected volatility factor is based on the historical volatility of the Company's common stock for a period equal to the expected term of the stock option. | |||||||||||||||||
Expected Dividend Yield — The expected dividend yield is based on the Company's historical practice of not paying dividends on its common stock. | |||||||||||||||||
Risk-free Interest Rate — The risk-free interest rate is determined using the implied yield for a traded zero-coupon U.S. Treasury bond with a term equal to the expected term of the stock option. | |||||||||||||||||
The Company’s weighted-average assumptions used to estimate the fair value of stock options granted during the three months ended October 26, 2013 and October 27, 2012 are presented as follows: | |||||||||||||||||
Three Months Ended | |||||||||||||||||
October 26, | October 27, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
Expected term (years) | 3.9 | 4.0 | |||||||||||||||
Expected volatility | 40.0 | % | 41.7 | % | |||||||||||||
Expected dividend yield | 0 | % | 0 | % | |||||||||||||
Risk-free interest rate | 1.5 | % | 0.7 | % | |||||||||||||
Weighted-average grant date fair value | $ | 7.13 | $ | 7.39 | |||||||||||||
A summary of the stock option activity under all plans during the three months ended October 26, 2013 is as follows: | |||||||||||||||||
Number of Shares | Weighted- Average Exercise Price | Weighted-Average Remaining Contractual Terms | Aggregate Intrinsic Value (a) | ||||||||||||||
(thousands) | (years) | (millions) | |||||||||||||||
Options outstanding – July 27, 2013 | 12,159.60 | $ | 6.4 | $ | |||||||||||||
12.24 | 81.8 | ||||||||||||||||
Granted | 2,685.70 | 19.91 | |||||||||||||||
Exercised | (819.8 | ) | 10.53 | ||||||||||||||
Cancelled/Forfeited | (93.9 | ) | 16.81 | ||||||||||||||
Options outstanding – October 26, 2013 | 13,931.60 | $ | 6.3 | $ | |||||||||||||
13.79 | 83.4 | ||||||||||||||||
Options vested and expected to vest at October 26, 2013 (b) | 13,468.40 | $ | 7.3 | $ | |||||||||||||
14.26 | 82.3 | ||||||||||||||||
Options exercisable at October 26, 2013 | 7,379.20 | $ | 5.3 | $ | |||||||||||||
10.31 | 68.6 | ||||||||||||||||
(a) The intrinsic value is the amount by which the market price at the end of the period of the underlying share of stock exceeds the exercise price of the stock option. | |||||||||||||||||
(b) The number of options expected to vest takes into consideration estimated expected forfeitures. | |||||||||||||||||
As of October 26, 2013, there was $38.7 million of total unrecognized compensation cost related to non-vested options, which is expected to be recognized over a remaining weighted-average vesting period of 3.1 years. The total intrinsic value of options exercised during the three months ended October 26, 2013 was approximately $7.6 million and during the three months ended October 27, 2012 was approximately $22.0 million. The total fair value of options that vested during the three months ended October 26, 2013 was approximately $12.4 million and during the three months ended October 27, 2012 was approximately $10.1 million. | |||||||||||||||||
Restricted Equity Awards | |||||||||||||||||
The 2010 Stock Plan also allows for the issuance of shares of restricted stock and restricted stock units (“RSUs”). Any shares of restricted stock or RSUs are counted against the shares available for future grant limit as 2.3 shares for every one restricted share or RSU granted. In general, if options are cancelled for any reason or expire, the shares covered by such options again become available for grant. If a share of restricted stock or a RSU is forfeited for any reason, 2.3 shares become available for grant. | |||||||||||||||||
Shares of restricted stock and RSUs are issued with either service-based or performance-based conditions, and some even have market-based conditions (collectively, “Restricted Equity Awards”). Service-based Restricted Equity Awards entitle the holder to receive unrestricted shares of common stock of the Company at the end of a vesting period, subject to the grantee’s continuing employment. Service-based Restricted Equity Awards generally vest over a 4 year period of time. | |||||||||||||||||
Performance-based or market-based Restricted Equity Awards also entitle the holder to receive shares of common stock of the Company at the end of a vesting period. However, such awards are subject to (a) the grantee’s continuing employment, (b) the Company’s achievement of certain performance goals over a pre-defined performance period and (c) in the case of market-based conditions, the Company’s achievement of certain market-based goals over the pre-defined performance period. Both performance-based and market-based Restricted Equity Awards generally vest at the completion of the performance period. | |||||||||||||||||
The fair values of both service-based and performance-based Restricted Equity Awards are based on the fair value of the Company’s common stock at the date of grant. However, for market-based Restricted Equity Awards, the effect of the market conditions is reflected in the fair value of the awards on the date of grant using a Monte-Carlo simulation model. A Monte-Carlo simulation model estimates the fair value of the market-based award based on the expected term, risk-free interest rate, expected dividend yield and expected volatility measure for the Company and its peer group. | |||||||||||||||||
Compensation expense for both service-based and performance-based Restricted Equity Awards is recognized over the vesting period based on the grant-date fair values of the awards that are expected to vest based upon the service and performance-based conditions. However, compensation expense for market-based Restricted Equity Awards is recognized over the vesting period regardless of whether the market conditions are expected to be achieved. | |||||||||||||||||
A summary of Restricted Equity Awards activity during the three months ended October 26, 2013 is as follows: | |||||||||||||||||
Service-based | Performance-based | Market-based | |||||||||||||||
Restricted Equity Awards | Restricted Equity Awards | Restricted Equity Awards | |||||||||||||||
Number of Shares | Weighted-Average Grant Date Fair Value Per Share | Number of Shares | Weighted-Average Grant Date Fair Value Per Share | Number of Shares | Weighted-Average Grant Date Fair Value Per Share | ||||||||||||
(thousands) | (thousands) | (thousands) | |||||||||||||||
Nonvested at July 27, 2013 | 1,863.20 | $ | 640.1 | $ | 189.7 | $ | |||||||||||
17.77 | 15.08 | 14.35 | |||||||||||||||
Granted | 306.7 | 20.06 | 185.1 | 20.06 | 41.3 | 19.46 | |||||||||||
Vested | (797.8 | ) | 18.9 | (163.1 | ) | 12.21 | (54.4 | ) | 10.68 | ||||||||
Cancelled/Forfeited | (19.2 | ) | 18.47 | -- | -- | -- | -- | ||||||||||
Nonvested at October 26, 2013 | 1,352.90 | $ | 662.1 | $ | 176.6 | $ | |||||||||||
17.62 | 17.18 | 16.68 | |||||||||||||||
Service-based | Performance-based | Market-based | |||||||||||||||
Restricted Equity Awards | Restricted Equity Awards | Restricted Equity Awards | |||||||||||||||
Total unrecognized compensation at October 26, | $ | 15.9 | $ | 7.5 | $ | 2.0 | |||||||||||
2013 (millions) | |||||||||||||||||
Weighted-average years expected to be recognized | 3.5 | 2.2 | 2.0 | ||||||||||||||
over (years) | |||||||||||||||||
Cash-Settled Long-Term Incentive Plan Awards | |||||||||||||||||
In October 2012, the Compensation Committee of the Board of Directors approved certain modifications to a portion of the Company’s outstanding, performance-based stock-settled awards. In particular, an aggregate of approximately 0.6 million performance and market-based, stock-settled awards held by 44 employees were canceled in exchange for grants of a corresponding amount of new awards that will be settled in cash (collectively, the “Cash-Settled LTIP Awards”). Other than the terms of settlement, the Cash-Settled LTIP Awards have identical restrictions and rights as the prior awards. The Cash-Settled LTIP Awards entitle the holder to a cash payment equal to the value of the number of shares of the Company’s common stock earned at the end of an original three-year-performance period. Consistent with the terms of the original awards, such awards are subject to (a) the grantee’s continuing employment and (b) the Company’s achievement of certain performance goals over a pre-defined three-year-performance period for, separately, the Fiscal 2011-2013 period and the Fiscal 2012-2014 period. As a result of those modifications, the Company recognized a $1.7 million, one-time charge during the first quarter of Fiscal 2013. | |||||||||||||||||
In addition, in the first quarter of Fiscal 2014, the Company granted 0.4 million Cash-Settled LTIP Awards to certain employees. Similar to above, such awards entitle the holder to a cash payment equal to the value of the number of shares of the Company’s common stock earned at the end of a three-year-performance period. Such awards are subject to (a) the grantee’s continuing employment and (b) the Company’s achievement of certain performance goals over a pre-defined three-year-performance period for the Fiscal 2014-2016 period. | |||||||||||||||||
Compensation expense for the Cash-Settled LTIP Awards is recognized over the related vesting period based on the expected performance of the plan and changes in the Company’s stock price over time. The total amount of compensation expense recognized for the Cash-Settled LTIP Awards during the first quarter of Fiscal 2014 was $2.8 million. Such amount has been included as a component of SG&A expenses in the accompanying consolidated statements of operations, with the related liability included in the accompanying consolidated balance sheets as a component of both Accrued expenses and other current liabilities and Other non-current liabilities. | |||||||||||||||||
A summary of Cash-Settled Long-Term Incentive Plan Awards during the three months ended October 26, 2013 is as follows: | |||||||||||||||||
Cash-Settled Long-Term Incentive Plan Awards | |||||||||||||||||
Number of Shares | |||||||||||||||||
(thousands) | |||||||||||||||||
Nonvested at July 27, 2013 | 855.4 | ||||||||||||||||
Granted | 369.4 | ||||||||||||||||
Vested | (287.5 | ) | |||||||||||||||
Cancelled/Forfeited | (8.7 | ) | |||||||||||||||
Nonvested at October 26, 2013 | 928.6 | ||||||||||||||||
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Oct. 26, 2013 | |
Commitments and Contingencies [Abstract] | ' |
Commitments and Contingencies | ' |
10. Commitments and Contingencies | |
The Company is a defendant in lawsuits and other adversarial proceedings arising in the ordinary course of business. Legal costs incurred in connection with the resolution of claims and lawsuits are generally expensed as incurred, and the Company establishes reserves for the outcome of litigation where it deems it appropriate to do so under applicable accounting rules. Moreover, the Company's assessment of the current exposure could change in the event of the discovery of additional facts with respect to legal matters pending against the Company or determinations by judges, juries, administrative agencies or other finders of fact that are not in accordance with the Company's evaluation of a particular claim. The results of these lawsuits, claims and proceedings cannot be predicted with certainty. However, the Company believes that the ultimate resolution of these matters will not have a material effect on the Company’s consolidated financial statements. | |
Segment_Information
Segment Information | 3 Months Ended | |||||||||||||
Oct. 26, 2013 | ||||||||||||||
Segment Information [Abstract] | ' | |||||||||||||
Segment Information | ' | |||||||||||||
11. Segment Information | ||||||||||||||
The Company’s segment reporting structure reflects a brand-focused approach, designed to optimize the operational coordination and resource allocation of its businesses across multiple functional areas including specialty retail, e-commerce and licensing. The five reportable segments described below represent the Company’s brand-based activities for which separate financial information is available and which is utilized on a regular basis by the Company’s executive team to evaluate performance and allocate resources. In identifying reportable segments, the Company considers economic characteristics, as well as products, customers, sales growth potential and long-term profitability. As such, the Company reports its operations in five reportable segments as follows: | ||||||||||||||
• | Justice segment – consists of the specialty retail, outlet, e-commerce and licensing operations of the Justice brand, as well as the specialty retail and e-commerce operations of the Brothers brand. | |||||||||||||
• | Lane Bryant segment – consists of the specialty retail, outlet and e-commerce operations of the Lane Bryant and Cacique brands. | |||||||||||||
• | maurices segment – consists of the specialty retail, outlet and e-commerce operations of the maurices brand. | |||||||||||||
• | dressbarn segment – consists of the specialty retail, outlet and e-commerce operations of the dressbarn brand. | |||||||||||||
• | Catherines segment - consists of the specialty retail, outlet and e-commerce operations of the Catherines brand. | |||||||||||||
The accounting policies of the Company’s reporting segments are consistent with those described in Notes 3 and 4 to the Company’s consolidated financial statements included in the Fiscal 2013 10-K. All intercompany revenues are eliminated in consolidation. Corporate overhead expenses are allocated to the segments based upon specific usage or other reasonable allocation methods. | ||||||||||||||
Net sales, operating income (loss), and depreciation and amortization expense for each segment are as follows: | ||||||||||||||
Three Months Ended | ||||||||||||||
26-Oct-13 | October 27, 2012 | |||||||||||||
(millions) | ||||||||||||||
Net sales: | ||||||||||||||
Justice | $ | 372.5 | $ | 358.3 | ||||||||||
Lane Bryant | 247.7 | 229.8 | ||||||||||||
maurices | 242.1 | 224.6 | ||||||||||||
dressbarn | 257.2 | 252 | ||||||||||||
Catherines | 77.1 | 72.8 | ||||||||||||
Total net sales | $ | 1,196.60 | $ | 1,137.50 | ||||||||||
Operating income (loss): | ||||||||||||||
Justice | $ | 51.9 | $ | 56.3 | ||||||||||
Lane Bryant | (4.1 | ) | (17.0 | ) | ||||||||||
maurices | 28.1 | 29.6 | ||||||||||||
dressbarn | 9.1 | 9 | ||||||||||||
Catherines | 5.9 | 1.4 | ||||||||||||
Subtotal | 90.9 | 79.3 | ||||||||||||
Less unallocated acquisition-related, integration and restructuring costs | (5.3 | ) | (6.4 | ) | ||||||||||
Total operating income | $ | 85.6 | $ | 72.9 | ||||||||||
Depreciation and amortization expense: | ||||||||||||||
Justice | $ | 14.3 | $ | 12 | ||||||||||
Lane Bryant | 11.7 | 9.8 | ||||||||||||
maurices | 8.8 | 6.8 | ||||||||||||
dressbarn | 10.3 | 7.7 | ||||||||||||
Catherines | 1.5 | 1.3 | ||||||||||||
Total depreciation and amortization expense | $ | 46.6 | $ | 37.6 | ||||||||||
Additional_Financial_Informati
Additional Financial Information | 3 Months Ended | |||||||
Oct. 26, 2013 | ||||||||
Additional Financial Information [Abstract] | ' | |||||||
Additional Financial Information | ' | |||||||
12. Additional Financial Information | ||||||||
Three Months Ended | ||||||||
October 26, | October 27, | |||||||
Cash Interest and Taxes: | 2013 | 2012 | ||||||
(millions) | ||||||||
Cash paid for interest | $ | 1.1 | $ | 5.5 | ||||
Cash paid for income taxes | $ | 5.4 | $ | 4.1 | ||||
Non-cash Transactions | ||||||||
Significant non-cash investing activities included the capitalization of fixed assets and recognition of related obligations in the net amount of $55.8 million for the three months ended October 26, 2013 and $11.5 million for the three months ended October 27, 2012. | ||||||||
There were no other significant non-cash investing or financing activities for the three months ended October 26, 2013 or October 27, 2012. | ||||||||
Basis_of_Presentation_Policy
Basis of Presentation (Policy) | 3 Months Ended |
Oct. 26, 2013 | |
Basis of Presentation [Abstract] | ' |
Interim Financial Statements | ' |
Interim Financial Statements | |
The interim consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). The interim consolidated financial statements are unaudited. In the opinion of management, however, such consolidated financial statements contain all normal and recurring adjustments necessary to present fairly the consolidated financial condition, results of operations, comprehensive income and changes in cash flows of the Company for the interim periods presented. In addition, certain information and footnote disclosures normally included in financial statements prepared in accordance with the accounting principles generally accepted in the U.S. (“US GAAP”) have been condensed or omitted from this report as is permitted by the SEC’s rules and regulations. However, the Company believes that the disclosures herein are adequate to make the information presented not misleading. | |
The consolidated balance sheet data as of July 27, 2013 is derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K filed with the SEC for the fiscal year ended July 27, 2013 (the “Fiscal 2013 10-K”), which should be read in conjunction with these interim financial statements. Reference is made to the Fiscal 2013 10-K for a complete set of financial statements. | |
Basis of Consolidation | ' |
Basis of Consolidation | |
The consolidated financial statements are prepared in accordance with US GAAP, and present the financial position, results of operations, comprehensive income and cash flows of the Company and all entities in which the Company has a controlling voting interest. The consolidated financial statements also include the accounts of any variable interest entities in which the Company is considered to be the primary beneficiary and such entities are required to be consolidated in accordance with US GAAP. There were no variable interest entities as of October 26, 2013. | |
All significant intercompany balances and transactions have been eliminated in consolidation. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and footnotes thereto. Actual results could differ materially from those estimates. | |
Significant estimates inherent in the preparation of the consolidated financial statements include: the realizability of inventory; reserves for litigation and other contingencies; useful lives and impairments of long-lived tangible and intangible assets; accounting for income taxes and related uncertain tax positions; the valuation of stock-based compensation and related expected forfeiture rates; insurance reserves; and accounting for business combinations. | |
Fiscal Year | ' |
Fiscal Year | |
The Company utilizes a 52-53 week fiscal year ending on the last Saturday in July. As such, fiscal year 2014 will end on July 26, 2014 and will be a 52-week period (“Fiscal 2014”). Fiscal 2013 ended on July 27, 2013 and reflected a 52-week period (“Fiscal 2013”). The first quarter of Fiscal 2014 ended on October 26, 2013 and was a 13-week period. The first quarter of Fiscal 2013 ended on October 27, 2012 and was also a 13-week period. | |
Prior to Fiscal 2014, the financial position and results of operations of Charming Sourcing, which was acquired in the June 2012 acquisition of Charming Shoppes, Inc. (the “Charming Shoppes Acquisition”), were reported on a one-month lag. The Company’s operating results for the first quarter of Fiscal 2013 include the operating results of Charming Sourcing from July 1, 2012 through September 30, 2012. Effective with the beginning of Fiscal 2014, the fiscal year-end of Charming Sourcing was changed to conform to the Company’s fiscal year-end. The change was recorded as an adjustment to the opening balance of retained earnings as of the beginning of Fiscal 2014. The net effect of such adjustment, and the prior reporting lag, was not material to the consolidated financial statements of the Company. | |
Discontinued Operations | ' |
Discontinued Operations | |
Contemporaneously with the closing of the Charming Shoppes Acquisition, the Company announced its intent to cease operating the acquired Fashion Bug business and its intent to sell the acquired Figi’s business. Accordingly, these businesses have been classified as a component of discontinued operations within the consolidated financial statements. | |
The Fashion Bug business ceased operations in February 2013. Additionally, as discussed in the Fiscal 2013 10-K, in August 2013, the Company entered into an agreement to sell the principal net assets of the Figi’s business (the “Figi’s Sale”) and recorded an $8 million pretax charge during the fourth quarter of Fiscal 2013 to reduce the carrying value of the Figi’s net assets to an amount approximating the net sales proceeds. The Figi’s Sale closed during the first quarter of Fiscal 2014 and resulted in an additional $1.6 million pretax charge. The charge includes estimated transaction costs, which are expected to be finalized during the second quarter of Fiscal 2014. This charge has been classified as a component of discontinued operations in the accompanying consolidated statement of operations. | |
Operating results for the discontinued businesses, including $7.4 million of revenues for the first quarter of Fiscal 2014 (only consisting of revenues from the Figi’s business) and $148.5 million of revenues for the first quarter of Fiscal 2013, have been segregated and reported separately as a component of discontinued operations in the accompanying consolidated statements of operations. | |
The major components of assets and liabilities related to the discontinued businesses as of October 26, 2013 are as follows: other current assets of $6.4 million and accounts payable and other accrued liabilities of $19.4 million. | |
Seasonality of Business | ' |
Seasonality of Business | |
The Company’s business is typically affected by seasonal sales trends primarily resulting from the timing of holiday and back-to-school shopping periods. In particular, sales at Justice tend to be significantly higher during the fall season which occurs during the first and second quarters of our fiscal year, as this includes the back-to-school period and the December holiday season that is focused on gift-giving merchandise. The maurices brand experiences peak sales during the December holiday season as well as during the early spring which includes the Easter holiday season. The dressbarn brand has historically experienced higher sales in the spring, which includes the Easter and Mother’s Day holidays. The Lane Bryant and Catherines brands typically experience peak sales during the Easter, Mother’s Day and December holiday seasons. Lane Bryant’s peak sales around Mother’s Day typically extend through Memorial Day and into early summer. In addition, our results of operations and cash flows may fluctuate materially in any quarterly period depending on, among other things, adverse weather conditions, shifts in the timing of certain holidays and changes in merchandise mix. | |
Reclassifications | ' |
Reclassifications | |
Certain immaterial reclassifications have been made to the prior period’s financial information in order to conform to the current period’s presentation. | |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policy) | 3 Months Ended | |||||
Oct. 26, 2013 | ||||||
Summary of Significant Accounting Policies [Abstract] | ' | |||||
Revenue Recognition | ' | |||||
Revenue Recognition | ||||||
Revenue is recognized across all segments of the business when there is persuasive evidence of an arrangement, delivery has occurred, price has been fixed or is determinable, and collectability is reasonably assured. | ||||||
Retail store revenue is recognized net of estimated returns at the time of sale to consumers. E-commerce revenue from sales of products ordered through the Company’s retail internet sites and revenue from direct-mail orders through Justice’s catazine are recognized upon delivery and receipt of the shipment by our customers. Such revenue also is reduced by an estimate of returns. | ||||||
Reserves for estimated product returns are recorded based on historical return trends and are adjusted for known events, as applicable. | ||||||
Gift cards, gift certificates and merchandise credits (collectively, “gift cards”) issued by the Company are recorded as a deferred income liability until they are redeemed, at which point revenue is recognized. Gift cards do not have expiration dates. The Company recognizes income for unredeemed gift cards when the likelihood of a gift card being redeemed by a customer is remote and the Company determines that it does not have a legal obligation to remit the value of the unredeemed gift card to the relevant jurisdiction as unclaimed or abandoned property. Gift card breakage is included in Net sales in the accompanying consolidated statements of operations, and historically has not been material. | ||||||
In addition to retail-store and e-commerce sales, the Justice segment recognizes revenue from licensing arrangements with franchised stores, advertising and other “tween-right” marketing arrangements with partner companies, as well as merchandise shipments to other third-party retailers. Revenue associated with merchandise shipments is recognized at the time title passes and risk of loss is transferred to customers, which generally occurs at the date of shipment. Royalty payments received under license agreements for the use of the Justice trade name and amounts received in connection with advertising and marketing arrangements with partner companies are recognized when earned in accordance with the terms of the underlying agreements. | ||||||
The Company accounts for sales and other related taxes on a net basis, thereby excluding such taxes from revenue. | ||||||
Cost of Goods Sold | ' | |||||
Cost of Goods Sold | ||||||
Cost of goods sold (“COGS”) consists of all costs of merchandise (net of purchase discounts and vendor allowances), merchandise acquisition costs (primarily commissions and import fees), in-bound freight to our distribution centers, and changes in reserve levels for inventory realizability and shrinkage. | ||||||
Our cost of goods sold may not be comparable to those of other entities. Some entities, like us, exclude costs related to their distribution network, buying function and store occupancy costs from cost of goods sold and include them in other costs and expenses, whereas other entities include costs related to their distribution network, buying function and all store occupancy costs in their cost of goods sold. | ||||||
Buying, Distribution and Occupancy Costs | ' | |||||
Buying, Distribution and Occupancy costs | ||||||
Buying, distribution and occupancy costs consist of store occupancy and utility costs (excluding depreciation), out-bound freight and all costs associated with the buying and distribution functions. | ||||||
Selling, General and Administrative Expenses | ' | |||||
Selling, General and Administrative Expenses | ||||||
Selling, general and administrative expenses (“SG&A expenses”) consist of compensation and benefit-related costs for sales and store operations personnel, administrative personnel and other employees not associated with the functions described above under Buying, distribution and occupancy costs. SG&A expenses also include advertising and marketing costs, information technology and communication costs, supplies for our stores and administrative facilities, insurance costs, legal costs and costs related to other administrative services. | ||||||
Income Taxes | ' | |||||
Income Taxes | ||||||
Income taxes are provided using the asset and liability method. Under this method, income taxes (i.e., deferred tax assets and liabilities, current taxes payable/refunds receivable and tax expense) are recorded based on amounts refundable or payable in the current year, and include the results of any differences between US GAAP and tax reporting. Deferred income taxes reflect the tax effect of certain net operating loss, capital loss and general business credit carry forwards and the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial statement and income tax purposes, as determined under enacted tax laws and rates. The Company accounts for the financial effect of changes in tax laws or rates in the period of enactment. | ||||||
In addition, valuation allowances are established when management determines that it is more-likely-than-not that some portion or all of a deferred tax asset will not be realized. Tax valuation allowances are analyzed periodically and adjusted as events occur, or circumstances change, that warrant adjustments to those balances. | ||||||
In determining the income tax provision for financial reporting purposes, the Company establishes a reserve for uncertain tax positions. If the Company considers that a tax position is “more-likely-than-not” of being sustained upon audit, based solely on the technical merits of the position, it recognizes the tax benefit. The Company measures the tax benefit by determining the largest amount that is greater than 50% likely of being realized upon settlement, presuming that the tax position is examined by the appropriate taxing authority that has full knowledge of all relevant information. These assessments can be complex and the Company often obtains assistance from external advisors. To the extent that the Company’s estimates change or the final tax outcome of these matters is different than the amounts recorded, such differences will impact the income tax provision in the period in which such determinations are made. If the initial assessment fails to result in the recognition of a tax benefit, the Company regularly monitors its position and subsequently recognizes the tax benefit if (i) there are changes in tax law or analogous case law that sufficiently raise the likelihood of prevailing on the technical merits of the position to “more-likely-than-not,” (ii) the statute of limitation expires, or (iii) there is a completion of an audit resulting in a settlement of that tax year with the appropriate agency. Uncertain tax positions are classified as current only when the Company expects to pay cash within the next twelve months. Interest and penalties, if any, are recorded within the provision for income taxes in the Company’s accompanying consolidated statements of operations and are classified on the accompanying consolidated balance sheets with the related liability for uncertain tax positions. | ||||||
The Company’s liability for unrecognized tax benefits (including accrued interest and penalties), which is included in Other non-current liabilities in the accompanying consolidated balance sheets, was $37.1 million as of October 26, 2013 and $44.9 million as of July 27, 2013. The Company’s liability for uncertain tax positions decreased by $7.8 million primarily as a result of the reversal of certain liabilities associated with uncertain tax positions due largely to the expiration of applicable federal and state income tax statutes of limitations for certain years in the first quarter of Fiscal 2014. The amount of this liability is subject to change based on future events including, but not limited to, the settlements of ongoing audits and/or the expiration of applicable statues of limitations. Although the outcomes and timing of such events are highly uncertain, the Company anticipates that the balance of the liability for unrecognized tax benefits will decrease by approximately $3.1 million, excluding interest and penalties, during the next twelve months. However, changes in the occurrence, expected outcomes and timing of those events could cause the Company’s current estimate to change materially in the future. | ||||||
Net Income per Common Share | ' | |||||
Net Income per Common Share | ||||||
Basic net income per common share is computed by dividing the net income applicable to common shares after preferred dividend requirements, if any, by the weighted-average number of common shares outstanding during the period. Diluted net income per common share adjusts basic net income per common share for the effects of outstanding stock options, restricted stock, restricted stock units and any other potentially dilutive financial instruments, only in the periods in which such effect is dilutive under the treasury stock method. | ||||||
The weighted-average number of common shares outstanding used to calculate basic net income per common share is reconciled to those shares used in calculating diluted net income per common share as follows: | ||||||
Three Months Ended | ||||||
October 26, | October 27, | |||||
2013 | 2012 | |||||
(millions) | ||||||
Basic | 159.4 | 155.0 | ||||
Dilutive effect of stock options, restricted stock and restricted stock units | 4.7 | 6.3 | ||||
Diluted shares | 164.1 | 161.3 | ||||
Options to purchase shares of common stock at an exercise price greater than the average market price of the common stock during the reporting period are anti-dilutive, and therefore not included in the computation of diluted net income per common share. In addition, the Company has outstanding restricted stock units that are issuable only upon the achievement of certain service and/or performance or market-based goals. Such performance or market-based restricted stock units are included in the computation of diluted shares only to the extent the underlying performance or market conditions (a) are satisfied prior to the end of the reporting period or (b) would be satisfied if the end of the reporting period were the end of the related contingency period and the result would be dilutive under the treasury stock method. As of October 26, 2013 and October 27, 2012, there was an aggregate of approximately 5.9 million and 3.1 million, respectively, of additional shares issuable upon the exercise of anti-dilutive options and/or the contingent vesting of restricted stock units that were excluded from the diluted share calculations. | ||||||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 3 Months Ended | |||||
Oct. 26, 2013 | ||||||
Summary of Significant Accounting Policies [Abstract] | ' | |||||
Schedule of Weighted-Average Number of Common Shares Outstanding used to Calculate Basic Net Income per Common Share | ' | |||||
The weighted-average number of common shares outstanding used to calculate basic net income per common share is reconciled to those shares used in calculating diluted net income per common share as follows: | ||||||
Three Months Ended | ||||||
October 26, | October 27, | |||||
2013 | 2012 | |||||
(millions) | ||||||
Basic | 159.4 | 155.0 | ||||
Dilutive effect of stock options, restricted stock and restricted stock units | 4.7 | 6.3 | ||||
Diluted shares | 164.1 | 161.3 | ||||
Inventories_Tables
Inventories (Tables) | 3 Months Ended | ||||||||
Oct. 26, 2013 | |||||||||
Inventories [Abstract] | ' | ||||||||
Schedule of Inventories by Brand | ' | ||||||||
Inventories substantially consist of finished goods merchandise. Inventory by brand is set forth below: | |||||||||
October 26, | July 27, | October 27, | |||||||
2013 | 2013 | 2012 | |||||||
(millions) | |||||||||
Justice | $ | 215.4 | $ | 196.2 | $ | 182.2 | |||
Lane Bryant | 144.9 | 119.7 | 153.7 | ||||||
maurices | 128.0 | 92.0 | 104.1 | ||||||
dressbarn | 107.4 | 106.9 | 120.8 | ||||||
Catherines | 37.8 | 26.1 | 43.2 | ||||||
Total inventories | $ | 633.5 | $ | 540.9 | $ | 604.0 | |||
Debt_Tables
Debt (Tables) | 3 Months Ended | |||||||||||
Oct. 26, 2013 | ||||||||||||
Debt [Abstract] | ' | |||||||||||
Schedule of Debt | ' | |||||||||||
October 26, | July 27, | |||||||||||
Debt consists of the following: | 2013 | 2013 | ||||||||||
(millions) | ||||||||||||
Revolving credit agreement | $ | 188 | $ | 135 | ||||||||
Charming Shoppes convertible notes | 0.6 | 0.6 | ||||||||||
188.6 | 135.6 | |||||||||||
Less: current portion | (0.6 | ) | (0.6 | ) | ||||||||
Total long-term debt | $ | 188 | $ | 135 | ||||||||
Equity_Tables
Equity (Tables) | 3 Months Ended | ||||||||
Oct. 26, 2013 | |||||||||
Equity [Abstract] | ' | ||||||||
Summary of Changes in Equity | ' | ||||||||
Summary of Changes in Equity: | Three Months Ended | ||||||||
26-Oct-13 | 27-Oct-12 | ||||||||
(millions) | |||||||||
Balance at beginning of period | $ | 1,556.40 | $ | 1,340.90 | |||||
Total comprehensive income | 52 | 43.5 | |||||||
Cash settled LTIP conversion (a) | -- | (6.9 | ) | ||||||
Shares issued and equity grants made pursuant to stock-based compensation plans | 20.4 | 28.1 | |||||||
Other | (0.6 | ) | -- | ||||||
Balance at end of period | $ | 1,628.20 | $ | 1,405.60 | |||||
(a) During the first quarter of Fiscal 2013, approximately 0.6 million performance and market-based shares were cancelled and | |||||||||
replaced with a corresponding amount of new awards that will be settled in cash, and the underlying value was reclassified to | |||||||||
liabilities. | |||||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 3 Months Ended | ||||||||||||||||
Oct. 26, 2013 | |||||||||||||||||
Summary of Total Compensation Expense and Associated Income Tax Benefit | ' | ||||||||||||||||
A summary of the total compensation expense and associated income tax benefit recognized related to stock-based compensation arrangements is as follows: | |||||||||||||||||
Three Months Ended | |||||||||||||||||
October 26, | October 27, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
(millions) | |||||||||||||||||
Compensation expense | $ | 13.2 | $ | 7.5 | |||||||||||||
Income tax benefit | $ | (5.0 | ) | $ | (2.7 | ) | |||||||||||
Weighted-Average Assumptions used to Estimate Fair Value of Stock Options Granted | ' | ||||||||||||||||
The Company’s weighted-average assumptions used to estimate the fair value of stock options granted during the three months ended October 26, 2013 and October 27, 2012 are presented as follows: | |||||||||||||||||
Three Months Ended | |||||||||||||||||
October 26, | October 27, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
Expected term (years) | 3.9 | 4.0 | |||||||||||||||
Expected volatility | 40.0 | % | 41.7 | % | |||||||||||||
Expected dividend yield | 0 | % | 0 | % | |||||||||||||
Risk-free interest rate | 1.5 | % | 0.7 | % | |||||||||||||
Weighted-average grant date fair value | $ | 7.13 | $ | 7.39 | |||||||||||||
Summary of Stock option Activity under all Plans | ' | ||||||||||||||||
A summary of the stock option activity under all plans during the three months ended October 26, 2013 is as follows: | |||||||||||||||||
Number of Shares | Weighted- Average Exercise Price | Weighted-Average Remaining Contractual Terms | Aggregate Intrinsic Value (a) | ||||||||||||||
(thousands) | (years) | (millions) | |||||||||||||||
Options outstanding – July 27, 2013 | 12,159.60 | $ | 6.4 | $ | |||||||||||||
12.24 | 81.8 | ||||||||||||||||
Granted | 2,685.70 | 19.91 | |||||||||||||||
Exercised | (819.8 | ) | 10.53 | ||||||||||||||
Cancelled/Forfeited | (93.9 | ) | 16.81 | ||||||||||||||
Options outstanding – October 26, 2013 | 13,931.60 | $ | 6.3 | $ | |||||||||||||
13.79 | 83.4 | ||||||||||||||||
Options vested and expected to vest at October 26, 2013 (b) | 13,468.40 | $ | 7.3 | $ | |||||||||||||
14.26 | 82.3 | ||||||||||||||||
Options exercisable at October 26, 2013 | 7,379.20 | $ | 5.3 | $ | |||||||||||||
10.31 | 68.6 | ||||||||||||||||
(a) The intrinsic value is the amount by which the market price at the end of the period of the underlying share of stock exceeds the exercise price of the stock option. | |||||||||||||||||
(b) The number of options expected to vest takes into consideration estimated expected forfeitures. | |||||||||||||||||
Summary of Restricted Equity Awards Activity | ' | ||||||||||||||||
A summary of Restricted Equity Awards activity during the three months ended October 26, 2013 is as follows: | |||||||||||||||||
Service-based | Performance-based | Market-based | |||||||||||||||
Restricted Equity Awards | Restricted Equity Awards | Restricted Equity Awards | |||||||||||||||
Number of Shares | Weighted-Average Grant Date Fair Value Per Share | Number of Shares | Weighted-Average Grant Date Fair Value Per Share | Number of Shares | Weighted-Average Grant Date Fair Value Per Share | ||||||||||||
(thousands) | (thousands) | (thousands) | |||||||||||||||
Nonvested at July 27, 2013 | 1,863.20 | $ | 640.1 | $ | 189.7 | $ | |||||||||||
17.77 | 15.08 | 14.35 | |||||||||||||||
Granted | 306.7 | 20.06 | 185.1 | 20.06 | 41.3 | 19.46 | |||||||||||
Vested | (797.8 | ) | 18.9 | (163.1 | ) | 12.21 | (54.4 | ) | 10.68 | ||||||||
Cancelled/Forfeited | (19.2 | ) | 18.47 | -- | -- | -- | -- | ||||||||||
Nonvested at October 26, 2013 | 1,352.90 | $ | 662.1 | $ | 176.6 | $ | |||||||||||
17.62 | 17.18 | 16.68 | |||||||||||||||
Total Unrecognized Compensation and Weighted-Average Years Expected to be Recognized | ' | ||||||||||||||||
Service-based | Performance-based | Market-based | |||||||||||||||
Restricted Equity Awards | Restricted Equity Awards | Restricted Equity Awards | |||||||||||||||
Total unrecognized compensation at October 26, | $ | 15.9 | $ | 7.5 | $ | 2.0 | |||||||||||
2013 (millions) | |||||||||||||||||
Weighted-average years expected to be recognized | 3.5 | 2.2 | 2.0 | ||||||||||||||
over (years) | |||||||||||||||||
Cash Settled LTIP Awards [Member] | ' | ||||||||||||||||
Summary of Stock option Activity under all Plans | ' | ||||||||||||||||
A summary of Cash-Settled Long-Term Incentive Plan Awards during the three months ended October 26, 2013 is as follows: | |||||||||||||||||
Cash-Settled Long-Term Incentive Plan Awards | |||||||||||||||||
Number of Shares | |||||||||||||||||
(thousands) | |||||||||||||||||
Nonvested at July 27, 2013 | 855.4 | ||||||||||||||||
Granted | 369.4 | ||||||||||||||||
Vested | (287.5 | ) | |||||||||||||||
Cancelled/Forfeited | (8.7 | ) | |||||||||||||||
Nonvested at October 26, 2013 | 928.6 | ||||||||||||||||
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | |||||||||||||
Oct. 26, 2013 | ||||||||||||||
Segment Information [Abstract] | ' | |||||||||||||
Schedule for Net Sales, Operating Income (Loss) and Depreciation and Amortization for each Segment | ' | |||||||||||||
Net sales, operating income (loss), and depreciation and amortization expense for each segment are as follows: | ||||||||||||||
Three Months Ended | ||||||||||||||
26-Oct-13 | October 27, 2012 | |||||||||||||
(millions) | ||||||||||||||
Net sales: | ||||||||||||||
Justice | $ | 372.5 | $ | 358.3 | ||||||||||
Lane Bryant | 247.7 | 229.8 | ||||||||||||
maurices | 242.1 | 224.6 | ||||||||||||
dressbarn | 257.2 | 252 | ||||||||||||
Catherines | 77.1 | 72.8 | ||||||||||||
Total net sales | $ | 1,196.60 | $ | 1,137.50 | ||||||||||
Operating income (loss): | ||||||||||||||
Justice | $ | 51.9 | $ | 56.3 | ||||||||||
Lane Bryant | (4.1 | ) | (17.0 | ) | ||||||||||
maurices | 28.1 | 29.6 | ||||||||||||
dressbarn | 9.1 | 9 | ||||||||||||
Catherines | 5.9 | 1.4 | ||||||||||||
Subtotal | 90.9 | 79.3 | ||||||||||||
Less unallocated acquisition-related, integration and restructuring costs | (5.3 | ) | (6.4 | ) | ||||||||||
Total operating income | $ | 85.6 | $ | 72.9 | ||||||||||
Depreciation and amortization expense: | ||||||||||||||
Justice | $ | 14.3 | $ | 12 | ||||||||||
Lane Bryant | 11.7 | 9.8 | ||||||||||||
maurices | 8.8 | 6.8 | ||||||||||||
dressbarn | 10.3 | 7.7 | ||||||||||||
Catherines | 1.5 | 1.3 | ||||||||||||
Total depreciation and amortization expense | $ | 46.6 | $ | 37.6 | ||||||||||
Additional_Financial_Informati1
Additional Financial Information (Tables) | 3 Months Ended | |||||||
Oct. 26, 2013 | ||||||||
Additional Financial Information [Abstract] | ' | |||||||
Cash Interest and Taxes | ' | |||||||
Three Months Ended | ||||||||
October 26, | October 27, | |||||||
Cash Interest and Taxes: | 2013 | 2012 | ||||||
(millions) | ||||||||
Cash paid for interest | $ | 1.1 | $ | 5.5 | ||||
Cash paid for income taxes | $ | 5.4 | $ | 4.1 | ||||
Description_of_Business_Narrat
Description of Business (Narrative) (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Billions, unless otherwise specified | Oct. 26, 2013 | Jul. 27, 2013 |
segment | ||
store | ||
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items] | ' | ' |
Number of stores | 3,900 | ' |
Annual estimated revenue | ' | $4.70 |
Number of reportable segments | 5 | ' |
Justice [Member] | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items] | ' | ' |
Number of stores | 984 | ' |
Lane Bryant [Member] | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items] | ' | ' |
Number of stores | 790 | ' |
Maurices [Member] | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items] | ' | ' |
Number of stores | 886 | ' |
Dressbarn [Member] | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items] | ' | ' |
Number of stores | 842 | ' |
Catherines [Member] | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items] | ' | ' |
Number of stores | 390 | ' |
Basis_of_Presentation_Narrativ
Basis of Presentation (Narrative) (Details) (USD $) | 3 Months Ended | ||||
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 26, 2013 | Oct. 27, 2012 | Oct. 26, 2013 | Jul. 27, 2013 |
Fashion Bug Business and Figi's [Member] | Fashion Bug Business and Figi's [Member] | Figi's Business [Member] | Figi's Business [Member] | ||
Basis of Presentation [Line Items] | ' | ' | ' | ' | ' |
Variable interest entity, nonexistence flag | 'No | ' | ' | ' | ' |
Discontinued operations, reduction in assets | ' | ' | ' | ($1.60) | ($8) |
Sales from discontinued operations | ' | 7.4 | 148.5 | ' | ' |
Other assets | ' | 6.4 | ' | ' | ' |
Other accrued liabilities | ' | $19.40 | ' | ' | ' |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Narrative) (Details) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 | Jul. 27, 2013 |
Summary of Significant Accounting Policies [Abstract] | ' | ' | ' |
Unrecognized tax benefits (including accrued interest and penalties) | $37.10 | ' | $44.90 |
Decrease in liability for uncertain tax positions | -7.8 | ' | ' |
Estimated decrease in unrecognized tax benefits, over the next twelve months | $3.10 | ' | ' |
Anti-dilutive options and/or contingent vesting of performance-based and market-based restricted stock units that were excluded from diluted share calculations | 5.9 | 3.1 | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies (Schedule of Weighted-Average Number of Common Shares Outstanding used to Calculate Basic Net Income per Common Share) (Details) | 3 Months Ended | |
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 |
Summary of Significant Accounting Policies [Abstract] | ' | ' |
Basic | 159.4 | 155 |
Dilutive effect of stock options, restricted stock and restricted stock units | 4.7 | 6.3 |
Diluted shares | 164.1 | 161.3 |
Inventories_Schedule_of_Invent
Inventories (Schedule of Inventories by Brand) (Details) (USD $) | Oct. 26, 2013 | Jul. 27, 2013 | Oct. 27, 2012 |
In Millions, unless otherwise specified | |||
Inventory Disclosure [Line Items] | ' | ' | ' |
Total inventories | $633.50 | $540.90 | $604 |
Justice [Member] | ' | ' | ' |
Inventory Disclosure [Line Items] | ' | ' | ' |
Total inventories | 215.4 | 196.2 | 182.2 |
Lane Bryant [Member] | ' | ' | ' |
Inventory Disclosure [Line Items] | ' | ' | ' |
Total inventories | 144.9 | 119.7 | 153.7 |
Maurices [Member] | ' | ' | ' |
Inventory Disclosure [Line Items] | ' | ' | ' |
Total inventories | 128 | 92 | 104.1 |
Dressbarn [Member] | ' | ' | ' |
Inventory Disclosure [Line Items] | ' | ' | ' |
Total inventories | 107.4 | 106.9 | 120.8 |
Catherines [Member] | ' | ' | ' |
Inventory Disclosure [Line Items] | ' | ' | ' |
Total inventories | $37.80 | $26.10 | $43.20 |
Impairments_Details
Impairments (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 |
Impaired Long-Lived Assets Held and Used [Line Items] | ' | ' |
Non-cash impairment charges | $1.80 | $0.50 |
Lane Bryant [Member] | ' | ' |
Impaired Long-Lived Assets Held and Used [Line Items] | ' | ' |
Non-cash impairment charges | 0.3 | 0 |
Justice [Member] | ' | ' |
Impaired Long-Lived Assets Held and Used [Line Items] | ' | ' |
Non-cash impairment charges | 0.1 | 0 |
Maurices [Member] | ' | ' |
Impaired Long-Lived Assets Held and Used [Line Items] | ' | ' |
Non-cash impairment charges | 0.4 | 0.3 |
Dressbarn [Member] | ' | ' |
Impaired Long-Lived Assets Held and Used [Line Items] | ' | ' |
Non-cash impairment charges | 1 | 0.2 |
Catherines [Member] | ' | ' |
Impaired Long-Lived Assets Held and Used [Line Items] | ' | ' |
Non-cash impairment charges | $0 | $0 |
Debt_Revolving_Credit_Agreemen
Debt (Revolving Credit Agreement Narrative) (Details) (USD $) | Mar. 31, 2013 | Oct. 26, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Oct. 26, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 |
In Millions, unless otherwise specified | Swing loan [Member] | Revolving Credit facility [Member] | Revolving Credit facility [Member] | Revolving Credit facility [Member] | Revolving Credit facility [Member] | Letter of Credit [Member] | Letter of Credit [Member] | Standby Letters of Credit [Member] | Minimum [Member] | Maximum [Member] |
London Interbank Offered Rate (LIBOR) [Member] | Federal Funds Rate [Member] | Revolving Credit facility [Member] | Revolving Credit facility [Member] | |||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Senior secured revolving credit facility | $25 | ' | ' | ' | ' | ' | $250 | $60 | ' | $500 |
Optional additional increase in credit facility | ' | ' | 100 | ' | ' | ' | ' | ' | ' | ' |
Debt maturity period | ' | 14-Jun-18 | ' | ' | ' | ' | ' | ' | ' | ' |
Applicable margin above base rate | ' | ' | ' | 1.00% | 0.50% | ' | ' | ' | 0.50% | 2.00% |
Commitment fee on unutilized revolving credit facility | ' | ' | ' | ' | ' | ' | ' | ' | 0.25% | 0.38% |
Senior secured revolving credit facility, remaining borrowing capacity | ' | 293 | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding letter of credit | ' | ' | ' | ' | ' | 19 | ' | ' | ' | ' |
Outstanding carrying amount | ' | $188 | ' | ' | ' | ' | ' | ' | ' | ' |
Debt_Restrictions_Under_the_Re
Debt (Restrictions Under the Revolving Credit Agreement Narrative) (Details) | Mar. 31, 2013 | Oct. 26, 2013 | Oct. 26, 2013 |
Scenario Required [Member] | Scenario, Actual [Member] | Revolving Credit facility [Member] | |
Debt Instrument [Line Items] | ' | ' | ' |
Credit facility financial covenants, minimum fixed charge coverage ratio required | 1.00% | 1.00% | ' |
Credit facility financial covenants, fixed charge coverage ratio | 1.00% | 1.32% | ' |
Total available borrowings, percentage for dividends declaration | ' | ' | 20.00% |
Debt_Other_Letters_of_Credit_N
Debt (Other Letters of Credit Narrative) (Details) (Private Label [Member], USD $) | Oct. 26, 2013 |
In Millions, unless otherwise specified | |
Private Label [Member] | ' |
Debt Instrument [Line Items] | ' |
Outstanding letter of credit | $33.80 |
Debt_Schedule_of_Debt_Details
Debt (Schedule of Debt) (Details) (USD $) | Oct. 26, 2013 | Jul. 27, 2013 |
In Millions, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Long term debt | $188.60 | $135.60 |
Less: current portion | -0.6 | -0.6 |
Total long-term debt | 188 | 135 |
Convertible Notes [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long term debt | 0.6 | 0.6 |
Revolving Credit facility [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long term debt | $188 | $135 |
Equity_Narrative_Details
Equity (Narrative) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
In Millions, except Share data, unless otherwise specified | Oct. 26, 2013 | Jul. 31, 2010 | Jul. 30, 2011 |
Equity [Abstract] | ' | ' | ' |
Share repurchase program authorized amount | ' | $100 | ' |
Share repurchase program additional authorized amount | ' | ' | 100 |
Purchases of common stock, shares | 0 | ' | ' |
Stock repurchase program remaining authorized repurchase amount | $89.90 | ' | ' |
Equity_Summary_of_Changes_in_E
Equity (Summary of Changes in Equity) (Details) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 | ||
Balance at beginning of period | $1,556.40 | $1,340.90 | ||
Total comprehensive income | 52 | 43.5 | ||
Cash settled LTIP conversion | 0 | [1] | -6.9 | [1] |
Shares issued and equity grants made pursuant to stock-based compensation plans | 20.4 | 28.1 | ||
Other | -0.6 | 0 | ||
Balance at end of period | $1,628.20 | $1,405.60 | ||
Performance and Market Based Share Awards [Member] | ' | ' | ||
Awards cancelled in exchange for new awards | ' | 0.6 | ||
[1] | During the first quarter of Fiscal 2013, approximately 0.6 million performance and market-based shares were cancelled and replaced with a corresponding amount of new awards that will be settled in cash, and the underlying value was reclassified to liabilities. |
StockBased_Compensation_Narrat
Stock-Based Compensation (Narrative) (Details) (USD $) | 3 Months Ended | 3 Months Ended | ||||||||
In Millions, except Share data, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 | Sep. 20, 2012 | Oct. 26, 2013 | Oct. 26, 2013 | Oct. 26, 2013 | Oct. 26, 2013 | Oct. 26, 2013 | Oct. 27, 2012 | Oct. 27, 2012 |
item | employee | 2010 Stock Plan [Member] | 2010 Amended Stock Plan [Member] | Minimum [Member] | Maximum [Member] | Service-based Restricted Equity Awards [Member] | Cash Settled LTIP Awards [Member] | Cash Settled LTIP Awards [Member] | Performance and Market Based Share Awards [Member] | |
item | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate number of shares that may be issued under Stock Incentive Plan | ' | ' | 51,000,000 | ' | ' | ' | ' | ' | ' | ' |
Shares available for future grants under stock incentive plan | ' | ' | ' | 10,800,000 | ' | ' | ' | ' | ' | ' |
Stock options vesting period, years | ' | ' | ' | ' | '4 years | '5 years | ' | ' | ' | ' |
Maximum period of expiration, years | ' | ' | ' | ' | '7 years | '10 years | ' | ' | ' | ' |
Total unrecognized compensation costs related to non-vested option | $38.70 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average recognition period for unrecognized compensation cost related to non-vested stock awards, years | '3 years 1 month 6 days | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic value of options exercised | 7.6 | 22 | ' | ' | ' | ' | ' | ' | ' | ' |
Total fair value of options vested | 12.4 | 10.1 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares issuable per vesting of one restricted stock or unit | 1 | ' | ' | ' | ' | ' | 2.3 | ' | ' | ' |
Number of shares available for grant upon forfeiture of restricted stock or unit | ' | ' | ' | ' | ' | ' | 2.3 | ' | ' | ' |
Restricted Equity Awards vesting period | ' | ' | ' | ' | ' | ' | '4 years | ' | ' | ' |
Awards cancelled in exchange for new awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | 600,000 |
Number of employees affected by cancelled awards | ' | 44 | ' | ' | ' | ' | ' | ' | ' | ' |
Performance period, years | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation expense | $13.20 | $7.50 | ' | ' | ' | ' | ' | $2.80 | $1.70 | ' |
Number of Shares, Granted | 2,685,700 | ' | ' | ' | ' | ' | ' | 400,000 | ' | ' |
StockBased_Compensation_Summar
Stock-Based Compensation (Summary of Total Compensation Expense and Associated Income Tax Benefit) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 |
Stock-Based Compensation [Abstract] | ' | ' |
Compensation expense | $13.20 | $7.50 |
Income tax benefit | ($5) | ($2.70) |
Stock_Based_Compensation_Weigh
Stock Based Compensation (Weighted-Average Assumptions used to Estimate Fair Value of Stock Options Granted) (Details) (USD $) | 3 Months Ended | |
Oct. 26, 2013 | Oct. 27, 2012 | |
Stock-Based Compensation [Abstract] | ' | ' |
Expected term (years) | '3 years 10 months 24 days | '4 years |
Expected volatility | 40.00% | 41.70% |
Expected dividend yield | 0.00% | 0.00% |
Risk-free interest rate | 1.50% | 0.70% |
Weighted-average grant date fair value | $7.13 | $7.39 |
StockBased_Compensation_Summar1
Stock-Based Compensation (Summary of Stock Option Activity under all Plans) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Oct. 26, 2013 | Jul. 27, 2013 | ||
Number of Shares | ' | ' | ||
Number of Shares, Options outstanding - July 27, 2013 | 12,159,600 | ' | ||
Number of Shares, Granted | 2,685,700 | ' | ||
Number of Shares, Exercised | -819,800 | ' | ||
Number of Shares, Cancelled/Forfeited | -93,900 | ' | ||
Number of Shares, Options outstanding - October 26, 2013 | 13,931,600 | 12,159,600 | ||
Number of Shares, Options vested and expected to vest at October 26, 2013 | 13,468,400 | [1] | ' | |
Number of Shares, Options exercisable at October 26, 2013 | 7,379,200 | ' | ||
Weighted-Average Exercise Price | ' | ' | ||
Weighted-Average Exercise Price, Options outstanding - July 27, 2013 | $12.24 | ' | ||
Weighted-Average Exercise Price, Granted | $19.91 | ' | ||
Weighted-Average Exercise Price, Exercised | $10.53 | ' | ||
Weighted-Average Exercise Price, Cancelled/Forfeited | $16.81 | ' | ||
Weighted-Average Exercise Price, Options outstanding - October 26, 2013 | $13.79 | $12.24 | ||
Weighted-Average Exercise Price, Options vested and expected to vest at October 26, 2013 | $14.26 | [1] | ' | |
Weighted-Average Exercise Price, Options exercisable at October 26, 2013 | $10.31 | ' | ||
Weighted-Average Remaining Contractual Terms (years) | ' | ' | ||
Weighted-Average Remaining Contractual Terms (years), Options outstanding - July 27, 2013 | '6 years 3 months 18 days | '6 years 4 months 24 days | ||
Weighted-Average Remaining Contractual Terms (years), Options outstanding - October 26, 2013 | '6 years 3 months 18 days | '6 years 4 months 24 days | ||
Weighted-Average Remaining Contractual Terms (years), Options vested and expected to vest at October 26, 2013 | '7 years 3 months 18 days | [1] | ' | |
Weighted-Average Remaining Contractual Terms (years), Options exercisable at October 26, 2013 | '5 years 3 months 18 days | ' | ||
Aggregate Intrinsic Value | ' | ' | ||
Aggregate Intrinsic Value, Options outstanding - July 27, 2013 | $81.80 | [2] | ' | |
Aggregate Intrinsic Value, Options outstanding - October 26, 2013 | 83.4 | [2] | 81.8 | [2] |
Aggregate Intrinsic Value, Options vested and expected to vest at October 26, 2013 | 82.3 | [1],[2] | ' | |
Aggregate Intrinsic Value, Options exercisable at October 26, 2013 | $68.60 | [2] | ' | |
[1] | The number of options expected to vest takes into consideration estimated expected forfeitures. | |||
[2] | The intrinsic value is the amount by which the market price at the end of the period of the underlying share of stock exceeds the exercise price of the stock option. |
StockBased_Compensation_Summar2
Stock-Based Compensation (Summary of Restricted Equity Awards Activity) (Details) (USD $) | 3 Months Ended |
Oct. 26, 2013 | |
Service-based Restricted Equity Awards [Member] | ' |
Number of shares | ' |
Nonvested Number of shares at July 27, 2013 | 1,863,200 |
Granted | 306,700 |
Vested | -797,800 |
Cancelled/Forfeited | -19,200 |
Nonvested Number of shares at October 26, 2013 | 1,352,900 |
Weighted Average Grant Date Fair Value Per Share | ' |
Nonvested Weighted-Average Grant Date Fair Value at July 27, 2013 | $17.77 |
Granted | $20.06 |
Vested | $18.90 |
Cancelled/Forfeited | $18.47 |
Nonvested Weighted-Average Grant Date Fair Value at October 26, 2013 | $17.62 |
Performance-based Restricted Equity Awards [Member] | ' |
Number of shares | ' |
Nonvested Number of shares at July 27, 2013 | 640,100 |
Granted | 185,100 |
Vested | -163,100 |
Cancelled/Forfeited | 0 |
Nonvested Number of shares at October 26, 2013 | 662,100 |
Weighted Average Grant Date Fair Value Per Share | ' |
Nonvested Weighted-Average Grant Date Fair Value at July 27, 2013 | $15.08 |
Granted | $20.06 |
Vested | $12.21 |
Cancelled/Forfeited | $0 |
Nonvested Weighted-Average Grant Date Fair Value at October 26, 2013 | $17.18 |
Market-based Restricted Equity Awards [Member] | ' |
Number of shares | ' |
Nonvested Number of shares at July 27, 2013 | 189,700 |
Granted | 41,300 |
Vested | -54,400 |
Cancelled/Forfeited | 0 |
Nonvested Number of shares at October 26, 2013 | 176,600 |
Weighted Average Grant Date Fair Value Per Share | ' |
Nonvested Weighted-Average Grant Date Fair Value at July 27, 2013 | $14.35 |
Granted | $19.46 |
Vested | $10.68 |
Cancelled/Forfeited | $0 |
Nonvested Weighted-Average Grant Date Fair Value at October 26, 2013 | $16.68 |
StockBased_Compensation_Total_
Stock-Based Compensation (Total Unrecognized Compensation and Weighted-Average Years Expected to be Recognized) (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Oct. 26, 2013 |
Service-based Restricted Equity Awards [Member] | ' |
Unrecognized Share Based Compensation Expense [Line Items] | ' |
Total unrecognized compensation at October 26, 2013 | $15.90 |
Weighted-average years expected to be recognized over (years) | '3 years 6 months |
Performance-based Restricted Equity Awards [Member] | ' |
Unrecognized Share Based Compensation Expense [Line Items] | ' |
Total unrecognized compensation at October 26, 2013 | 7.5 |
Weighted-average years expected to be recognized over (years) | '2 years 2 months 12 days |
Market-based Restricted Equity Awards [Member] | ' |
Unrecognized Share Based Compensation Expense [Line Items] | ' |
Total unrecognized compensation at October 26, 2013 | $2 |
Weighted-average years expected to be recognized over (years) | '2 years |
StockBased_Compensation_Summar3
Stock-Based Compensation (Summary of Cash-Settled Awards) (Details) (Cash Settled LTIP Awards [Member]) | 3 Months Ended |
Oct. 26, 2013 | |
Cash Settled LTIP Awards [Member] | ' |
Number of Shares | ' |
Nonvested Number of shares at July 27, 2013 | 855,400 |
Granted | 369,400 |
Vested | -287,500 |
Cancelled/Forfeited | -8,700 |
Nonvested Number of shares at October 26, 2013 | 928,600 |
Segment_Information_Net_Sales_
Segment Information (Net Sales and Operating Income) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 |
segment | ||
Segment Reporting Information [Line Items] | ' | ' |
Total net sales | $1,196.60 | $1,137.50 |
Less unallocated acquisition-related, integration and restructuring costs | -5.3 | -6.4 |
Total operating income (loss) | 85.6 | 72.9 |
Total depreciation and amortization expense | 46.6 | 37.6 |
Number of reportable segments | 5 | ' |
Operating Segments [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total operating income (loss) | 90.9 | 79.3 |
Corporate Reconciling Items [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Less unallocated acquisition-related, integration and restructuring costs | -5.3 | -6.4 |
Justice [Member] | Operating Segments [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total net sales | 372.5 | 358.3 |
Total operating income (loss) | 51.9 | 56.3 |
Total depreciation and amortization expense | 14.3 | 12 |
Lane Bryant [Member] | Operating Segments [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total net sales | 247.7 | 229.8 |
Total operating income (loss) | -4.1 | -17 |
Total depreciation and amortization expense | 11.7 | 9.8 |
Maurices [Member] | Operating Segments [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total net sales | 242.1 | 224.6 |
Total operating income (loss) | 28.1 | 29.6 |
Total depreciation and amortization expense | 8.8 | 6.8 |
Dressbarn [Member] | Operating Segments [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total net sales | 257.2 | 252 |
Total operating income (loss) | 9.1 | 9 |
Total depreciation and amortization expense | 10.3 | 7.7 |
Catherines [Member] | Operating Segments [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total net sales | 77.1 | 72.8 |
Total operating income (loss) | 5.9 | 1.4 |
Total depreciation and amortization expense | $1.50 | $1.30 |
Additional_Financial_Informati2
Additional Financial Information (Narrative) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 |
Additional Financial Information [Abstract] | ' | ' |
Non-cash capital expenditures, capitalization of fixed assets and recognition of related obligations | $55.80 | $11.50 |
Additional_Financial_Informati3
Additional Financial Information (Cash Interest and Taxes) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Oct. 26, 2013 | Oct. 27, 2012 |
Additional Financial Information [Abstract] | ' | ' |
Cash paid for interest | $1.10 | $5.50 |
Cash paid for income taxes | $5.40 | $4.10 |