Cache 10-Q 12 May 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 29, 2014	8-May-14
Document and Entity Information	'	'
Entity Registrant Name	'CACHE INC	'
Entity Central Index Key	'0000350199	'
Document Type	'10-Q	'
Document Period End Date	29-Mar-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--01-03	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	21,901,447
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'

CONDENSED_CONSOLIDATED_BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Mar. 29, 2014	Dec. 28, 2013	Mar. 30, 2013
Current assets:	'	'	'
Cash and equivalents	$806,000	$4,513,000	$1,662,000
Certificates of deposit - restricted	'	'	3,000,000
Receivables, net	2,309,000	2,806,000	3,070,000
Inventories, net	26,815,000	24,941,000	26,712,000
Prepaid expenses and other current assets	1,920,000	1,272,000	2,131,000
Total current assets	31,850,000	33,532,000	36,575,000
Equipment and leasehold improvements, net	19,123,000	18,221,000	19,810,000
Intangible assets, net	102,000	102,000	102,000
Other assets	1,330,000	1,384,000	641,000
Total assets	52,405,000	53,239,000	57,128,000
Current liabilities:	'	'	'
Bank overdraft	772,000	'	'
Notes payable - bank	11,600,000	'	'
Accounts payable	10,279,000	10,856,000	14,524,000
Accrued compensation	2,480,000	4,317,000	2,109,000
Accrued liabilities	11,290,000	11,197,000	10,100,000
Total current liabilities	36,421,000	26,370,000	26,733,000
Other liabilities	8,343,000	8,818,000	9,869,000
Commitments and contingencies	'	'	'
STOCKHOLDERS' EQUITY	'	'	'
Common stock, par value $.01; authorized, 40,000,000 shares; issued 25,310,646, 25,220,092 and 17,062,565	253,000	252,000	171,000
Additional paid-in capital	61,226,000	60,830,000	48,907,000
Retained earnings (accumulated deficit)	-14,043,000	-3,236,000	11,243,000
Treasury stock 3,682,199 shares, at cost	-39,795,000	-39,795,000	-39,795,000
Total stockholders' equity	7,641,000	18,051,000	20,526,000
Total liabilities and stockholders' equity	$52,405,000	$53,239,000	$57,128,000

CONDENSED_CONSOLIDATED_BALANCE1

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Mar. 29, 2014	Dec. 28, 2013	Mar. 30, 2013
CONDENSED CONSOLIDATED BALANCE SHEETS	'	'	'
Common stock, par value (in dollars per share)	$0.01	$0.01	$0.01
Common stock, authorized shares	40,000,000	40,000,000	40,000,000
Common stock, issued shares	25,310,646	25,220,092	17,062,565
Treasury stock, shares	3,682,199	3,682,199	3,682,199

CONDENSED_CONSOLIDATED_STATEME

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)	3 Months Ended
	Mar. 29, 2014	Mar. 30, 2013
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS	'	'
Net sales	$47,404,000	$53,510,000
Cost of sales, including buying and occupancy	34,472,000	36,559,000
Gross profit	12,932,000	16,951,000
Expenses:	'	'
Store operating expenses	18,071,000	18,503,000
General and administrative expenses	5,389,000	4,681,000
Employee separation charges	134,000	1,498,000
Total expenses	23,594,000	24,682,000
Operating loss	-10,662,000	-7,731,000
Other income (expense):	'	'
Amortization of deferred financing cost	-54,000	'
Interest income	1,000	8,000
Interest expense	-42,000	'
Total other income (expense)	-95,000	8,000
Loss before income taxes	-10,757,000	-7,723,000
Income tax provision	50,000	10,104,000
Net loss	($10,807,000)	($17,827,000)
Basic loss per share (in dollars per share)	($0.51)	($1.33)
Diluted loss per share (in dollars per share)	($0.51)	($1.33)
Basic weighted average shares outstanding (in shares)	21,130,000	13,405,000
Diluted weighted average shares outstanding (in shares)	21,130,000	13,405,000

CONDENSED_CONSOLIDATED_STATEME1

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	3 Months Ended
	Mar. 29, 2014	Mar. 30, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:	'	'
Net loss	($10,807,000)	($17,827,000)
Adjustments to reconcile net loss to net cash used in operating activities:	'	'
Depreciation and amortization	1,680,000	1,632,000
Stock-based compensation	310,000	137,000
Deferred income taxes	'	10,078,000
Gift card breakage	-59,000	-62,000
Amortization of deferred income for co-branded credit card	-60,000	-222,000
Amortization of deferred rent	-222,000	-328,000
Amortization of deferred financing costs	54,000	'
Change in assets and liabilities:	'	'
Decrease (increase) in receivables and income tax receivable	497,000	-686,000
Increase in inventories	-1,874,000	-6,203,000
Increase in prepaid expenses and other assets	-561,000	-596,000
Decrease (increase) in accounts payable	-577,000	2,127,000
Decrease in accrued liabilities, accrued compensation and other liabilities	-2,425,000	-33,000
Net cash used in operating activities	-14,044,000	-11,983,000
CASH FLOWS FROM INVESTING ACTIVITIES:	'	'
Purchase of marketable securities	'	-500,000
Maturities of marketable securities	'	3,513,000
Purchase of equipment and leasehold improvements	-2,035,000	-1,728,000
Net cash provided by (used in) investing activities	-2,035,000	1,285,000
CASH FLOWS FROM FINANCING ACTIVITIES:	'	'
Bank Overdraft	772,000	'
Proceeds from notes payable - bank	11,600,000	'
Cash provided by financing activities	12,372,000	'
Net decrease in cash and equivalents	-3,707,000	-10,698,000
Cash and equivalents, at beginning of period	4,513,000	12,360,000
Cash and equivalents, at end of period	806,000	1,662,000
Supplemental disclosure of cash flow information:	'	'
Income taxes paid	'	6,000
Supplemental disclosure of non-cash investing and financing activities:	'	'
Accrued fixed asset additions	809,000	300,000
Prepaid stock-based compensation	$86,000	$35,000

BASIS_OF_PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Mar. 29, 2014
BASIS OF PRESENTATION	'
BASIS OF PRESENTATION	'
	1.              BASIS OF PRESENTATION
	References to the “Company,” “we,” “us,” or “our” mean Cache, Inc., together with its wholly-owned subsidiaries, except as expressly indicated or unless the context otherwise requires. Under the trade name “Cache”, we operated 242 women’s apparel specialty stores, as of March 29, 2014.
	The following unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and note disclosures normally included in annual financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to those rules and regulations, although the Company believes that the disclosures made are adequate to make the information not misleading. The accompanying condensed consolidated financial statements include all known adjustments necessary for a fair presentation of the results of the interim periods as required by accounting principles generally accepted in the United States. These adjustments consist primarily of normal recurring accruals and estimates that impact the carrying value of assets and liabilities. Actual results may materially differ from these estimates.
	These condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements for the year ended December 28, 2013, which are included in the Company’s Annual Report on Form 10-K with respect to such period filed with the Securities and Exchange Commission. All significant intercompany accounts and transactions have been eliminated. The December 28, 2013 condensed consolidated balance sheet amounts are derived from the Company’s audited consolidated financial statements as adjusted (see below).
	The Company’s fiscal year (“fiscal year” or “fiscal”) refers to the applicable 52- or 53-week period. The year ended December 28, 2013 (“fiscal 2013”) was a 52-week year and the year ending January 3, 2015 (“fiscal 2014”) is a 53-week year.
	Change in Accounting Principle
	Effective December 29, 2013, the Company elected to change its method of accounting for its retail finished goods inventory from the retail inventory method (“RIM”) to the lower of cost or market, with cost being determined on the first-in, first-out method. The RIM method does not track the valuation of inventory and the cost of goods sold at the individual item level, but instead calculates the valuation of inventory and cost of goods sold by applying a calculated cost to retail relationship to the value of retail inventories and cost of goods sold. The Company believes the method of tracking cost at the individual item level is a preferable method as it matches the actual merchandise costs with the respective revenues and is the method most widely used in the retail industry.  The cumulative effect of this accounting change as of December 30, 2012 was decreases of $737,000 in inventories, $123,000 in deferred tax assets and $860,000 in retained earnings.  The effect of this accounting change on the Company’s financial statements as of December 28, 2013 and March 30, 2013 and for the 13-week period ended March 30, 2013 are presented below.
		As reported						As adjusted			As reported					As adjusted
		December 28,						December 28,			March 30,					March 30,
		2013			Adjustments			2013			2013		Adjustments			2013
	Condensed Consolidated Balance Sheets
	Inventories, net	$	23,673,000		$	1,268,000		$	24,941,000		$	26,894,000	$	(182,000	)	$	26,712,000
	Retained earnings (accumulated deficit)	(4,504,000		)	1,268,000			(3,236,000		)	11,425,000		(182,000		)	11,243,000
		As reported						As adjusted
		March 30,						March 30,
		2013			Adjustments			2013
	Condensed Consolidated Statement of Operations
	Cost of sales, including buying and occupancy	$	37,114,000		$	(555,000	)	$	36,559,000
	Loss before income taxes	(8,278,000		)	555,000			(7,723,000		)
	Income tax provision	10,227,000			(123,000		)	10,104,000
	Net loss	(18,505,000		)	678,000			(17,827,000		)
	Basic loss per share	(1.38		)				(1.33		)
	Diluted loss per share	(1.38		)				(1.33		)
		As reported						As adjusted
		March 30,						March 30,
		2013			Adjustments			2013
	Condensed Consolidated Statement of Cash Flows
	Net loss	$	(18,505,000	)	$	678,000		$	(17,827,000	)
	Deferred income taxes	10,201,000		)	(123,000		)	10,078,000		)
	Inventories	(5,648,000		)	(555,000		)	(6,203,000		)

STOCKBASED_COMPENSATION

STOCK-BASED COMPENSATION	3 Months Ended
	Mar. 29, 2014
STOCK-BASED COMPENSATION	'
STOCK-BASED COMPENSATION	'
	2.              STOCK-BASED COMPENSATION
	Stock-based compensation expense for all stock-based awards programs, including grants of stock options, is recorded in accordance with “Compensation-Stock Compensation”, Topic 718 of the Financial Accounting Standards Board Accounting Standards Codification (“FASB ASC”). During the 13-week periods ended March 29, 2014 and March 30, 2013, the Company recognized approximately $310,000 and $137,000, respectively, in stock-based compensation expense.  The grant date fair value for stock options is calculated using the Black-Scholes option valuation model.
	On February 5, 2013, the Company granted Jay Margolis (its Chief Executive Officer and Chairman of the Board) time-based stock options to purchase 1,000,000 shares of the Company’s common stock at an exercise price of $3.34 which had a weighted average grant date fair value of $1.15.  These options vest in equal installments on the first, second and third anniversary of the grant date. No excess tax benefits were recognized from the exercise of stock options during the first fiscal quarters of 2014 and 2013.
	The following assumptions were used during the 13-week period ended March 30, 2013:
	Expected dividend rate	$	0
	Expected volatility	50.72		%
	Risk free interest rate	0.41		%
	Expected lives (years)	3
	During the first quarter of fiscal 2014, 24,000 shares of the Company’s common stock were issued for services to its board members. The total fair value of the issued common stock was approximately $115,000, of which approximately $29,000 was included in stock-based compensation expense for the 13-week period ended March 29, 2014. The remaining cost is expected to be recognized over the remainder of fiscal 2014.  Comparatively, during the first quarter of fiscal 2013, 40,000 shares of the Company’s common stock were issued for services to its board members. The total fair value of the issued common stock was approximately $94,000, of which approximately $59,000 was included in stock-based compensation expense for the 13-week period ended March 30, 2013.
	During the 13-week period ended March 29, 2014, the Company granted restricted stock awards representing 71,000 shares of the Company’s common stock, which had a weighted-average grant date fair value of $5.48 per share. A portion of these restricted stock awards will contingently vest over a three-year period, based on the Company meeting performance goals, and a portion will vest over the requisite service period.  Comparatively, during the 13- week period ended March 30, 2013, the Company did not grant any stock awards.

BASIC_AND_DILUTED_EARNINGS_PER

BASIC AND DILUTED EARNINGS PER SHARE	3 Months Ended
	Mar. 29, 2014
BASIC AND DILUTED EARNINGS PER SHARE	'
BASIC AND DILUTED EARNINGS PER SHARE	'
	3.             BASIC AND DILUTED EARNINGS PER SHARE
	Basic loss per share has been computed based upon the weighted average of common shares outstanding. Diluted loss per share also includes the dilutive effect of potential common shares (dilutive stock options and unvested restricted stock awards) outstanding during the period. Loss per common share has been computed as follows:
		13 Weeks Ended
					As adjusted
		March 29,			March 30,
		2014			2013
					See Note 1
	Net loss	$	(10,807,000	)	$	(17,827,000	)
	Basic weighted number of average shares outstanding	21,130,000			13,405,000
	Incremental shares from assumed issuances of stock options and restricted stock awards	—			—
	Diluted weighted average number of shares outstanding	21,130,000			13,405,000
	Net loss per share - Basic	$	(0.51	)	$	(1.33	)
	- Diluted	$	(0.51	)	$	(1.33	)
	Options and unvested restricted common shares totaling 1,513,167 and 1,295,675 shares were excluded from the computation of diluted loss per share for the 13-week periods ended March 29, 2014 and March 30, 2013, respectively, due to the net loss incurred by the Company.

RECENT_ACCOUNTING_PRONOUNCEMEN

RECENT ACCOUNTING PRONOUNCEMENTS	3 Months Ended
	Mar. 29, 2014
RECENT ACCOUNTING PRONOUNCEMENTS	'
RECENT ACCOUNTING PRONOUNCEMENTS	'
	4.              RECENT ACCOUNTING PRONOUNCEMENTS
	In April 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360). ASU 2014-08 changes the criteria for reporting discontinued operations for all public and nonpublic entities. The amendments also require new disclosures about discontinued operations and disposals of components of an entity that do not qualify for discontinued operations reporting. For public companies, the amendments are effective prospectively for interim and annual reporting periods beginning after December 15, 2014. The Company does not expect the adoption of ASU 2014-08 to have a material impact on its consolidated financial statements.

FAIR_VALUE_MEASUREMENT

FAIR VALUE MEASUREMENT	3 Months Ended
	Mar. 29, 2014
FAIR VALUE MEASUREMENT	'
FAIR VALUE MEASUREMENT	'
	5.              FAIR VALUE MEASUREMENT
	The carrying amounts of certificates of deposit, accounts receivable, and notes payable—bank approximate their estimated fair values due to their short-term nature or the variable interest rate.

RECEIVABLES

RECEIVABLES	3 Months Ended
	Mar. 29, 2014
RECEIVABLES	'
RECEIVABLES	'
	6.              RECEIVABLES
		March 29,		December 28,		March 30,
		2014		2013		2013
	Construction allowances	$	105,000	$	430,000	$	73,000
	Third party credit cards	1,752,000		1,674,000		2,553,000
	Other	452,000		702,000		444,000
		$	2,309,000	$	2,806,000	$	3,070,000

INVENTORIES

INVENTORIES	3 Months Ended
	Mar. 29, 2014
INVENTORIES	'
INVENTORIES	'
	7.              INVENTORIES
				As adjusted		As adjusted
		March 29,		December 28,		March 30,
		2014		2013		2013
				(See Note 1)		(See Note 1)
	Raw materials	$	926,000	$	935,000	$	1,343,000
	Work in process	1,957,000		1,918,000		2,513,000
	Finished goods	23,932,000		22,088,000		22,856,000
		$	26,815,000	$	24,941,000	$	26,712,000
	As discussed in Note 1 the Company changed its accounting for finished goods inventory to the lower of cost or market, with cost being determined on the first-in, first-out method. Inventories other than finished goods at retail stores, called production inventory, primarily consists of piece goods, trim and work-in-process. The Company has historically and continues to value its production inventory at the lower of cost or market value using first-in-first-out method. Market value is determined for our finished goods inventory and production inventory based on an estimate of the net realizable value. The Company determines net realizable value based on an analysis of historical results, age, obsolescence, potential use, market conditions, and estimates regarding future selling prices. Based on this analysis, the Company records an adjustment for any decline in its value. If the actual results or conditions are different than those projected by management, future period gross margin rates may be unfavorably or favorably affected.

EQUIPMENT_AND_LEASEHOLD_IMPROV

EQUIPMENT AND LEASEHOLD IMPROVEMENTS	3 Months Ended
	Mar. 29, 2014
EQUIPMENT AND LEASEHOLD IMPROVEMENTS	'
EQUIPMENT AND LEASEHOLD IMPROVEMENTS	'
	8.              EQUIPMENT AND LEASEHOLD IMPROVEMENTS
		March 29,			December 28,			March 30,
		2014			2013			2013
	Leasehold improvements	$	45,874,000		$	45,899,000		$	47,205,000
	Furniture, fixtures and equipment	41,583,000			40,931,000			40,093,000
		87,457,000			86,830,000			87,298,000
	Less: accumulated depreciation and amortization	(68,334,000		)	(68,609,000		)	(67,488,000		)
		$	19,123,000		$	18,221,000		$	19,810,000

ACCRUED_LIABILITIES

ACCRUED LIABILITIES	3 Months Ended
	Mar. 29, 2014
ACCRUED LIABILITIES	'
ACCRUED LIABILITIES	'
	9.              ACCRUED LIABILITIES
		March 29,		December 28,		March 30,
		2014		2013		2013
	Gift cards, merchandise credit cards and other customer deposits and credits	$	4,593,000	$	4,670,000	$	4,115,000
	Taxes, including income taxes	1,959,000		2,418,000		1,875,000
	Operating expenses	2,426,000		2,395,000		2,232,000
	Fixed asset additions	809,000		262,000		300,000
	Sales return reserve	729,000		660,000		766,000
	Group insurance	530,000		556,000		604,000
	Deferred income — co-branded credit card program	244,000		236,000		208,000
		$	11,290,000	$	11,197,000	$	10,100,000

OTHER_LIABILITIES

OTHER LIABILITIES	3 Months Ended
	Mar. 29, 2014
OTHER LIABILITIES	'
OTHER LIABILITIES	'
	10.       OTHER LIABILITIES
		March 29,		December 28,		March 30,
		2014		2013		2013
	Deferred rent	$	7,143,000	$	7,525,000	$	8,043,000
	Deferred income — co-branded credit card program	1,200,000		1,218,000		1,228,000
	Severance	—		75,000		598,000
		$	8,343,000	$	8,818,000	$	9,869,000

CREDIT_FACILITY

CREDIT FACILITY	3 Months Ended
	Mar. 29, 2014
CREDIT FACILITY	'
CREDIT FACILITY	'
	11.       CREDIT FACILITY
	The Company had a $3.0 million credit facility with Bank of America, which expired May 31, 2013. The agreement allowed the Company to issue letters of credit up to $3.0 million and was collateralized by a security interest in various certificates of deposit held by the Company.  These certificates of deposit collateralized against this line of credit are reported as restricted funds.
	On July 25, 2013, the Company entered into a new five year credit agreement (“Credit Agreement”) with Wells Fargo Bank, National Association (the “Bank”). The credit facility (“Credit Facility”) provides the Company with a line of credit of $25.0 million for short term borrowings and letters of credit with a sublimit of $5.0 million. Short term borrowings are limited to the lower of the line of credit available or the borrowing base available as defined in the Credit Agreement.  Borrowings under the Credit Facility are due and payable on July 25, 2018, at which time the facility terminates.
	Borrowings under the Credit Facility bear interest, at the Company’s option, either at the London interbank offering rate (“LIBOR”) Margin or at the Base Rate Margin. LIBOR Margin is equal to LIBOR plus a margin of 1.50% per annum when the average daily availability is equal to or greater than 50% of the borrowing base. When the average daily availability is less than 50% of the borrowing base, the LIBOR Margin is equal to LIBOR, plus a margin of 1.75% per annum. Base Rate Margin is equal to the base rate as defined below, plus a margin of 0.50% per annum when the average daily availability is equal to or greater than 50% of the borrowing base.  When the average daily availability is less than 50% the Base Rate Margin is equal to the base rate as defined below, plus a margin of 0.75% per annum.  The base rate, as defined in the Credit Agreement, is a fluctuating rate per annum equal to the highest of (a) the U. S. federal funds rate, plus a margin of 0.50% per annum, (b) the adjusted LIBOR rate plus a margin of 1.00% or (c) the Bank prime rate in effect at that time.  At March 29, 2014 borrowings under our Credit Facility were at an average interest rate of approximately 2.7%.
	The obligations of the Company under the Credit Facility are secured by liens on all assets of the Company. The Credit Agreement contains various customary covenants, including, but not limited to, limitations on indebtedness, liens, investments, dividends or other capital distributions, purchases or redemptions of stock, sales of assets or subsidiary stock, transactions with affiliates, line of business and accelerated payments of certain obligations and minimum availability requirement.
	The Credit Agreement contains events of default customary for similar financings. Upon the occurrence of an event of default, the outstanding obligations under the Credit Facility may be accelerated and become due and payable immediately. In addition, if a certain change of control event occurs with respect to any loan party, the Lenders have the right to require the Company to repay any outstanding loans under the Credit Facility.
	Under the Credit Facility, the Company had outstanding letters of credit of $1.2 million and $11.6 million of borrowings as of March 29, 2014.

INCOME_TAXES

INCOME TAXES	3 Months Ended
	Mar. 29, 2014
INCOME TAXES	'
INCOME TAXES	'
	12.       INCOME TAXES
	The Company accounts for income taxes in accordance with “Income Taxes”, Topic 740 of the FASB ASC. This guidance requires the Company to recognize deferred tax liabilities and assets for the expected future tax consequences of events that have been recognized in the Company’s financial statements or tax returns. Under this method, deferred tax liabilities and assets are determined based on the difference between the financial statement carrying amounts and tax bases of assets and liabilities, using applicable tax rates for the years in which the differences are expected to reverse.  At December 28, 2013 the Company had federal net operating loss (“NOL”) carryforwards of approximately $55.7 million, expiring from 2030 to 2033 of which the Company recorded a full valuation allowance against the deferred tax assets associated with these NOL carryforwards.  During the 13-week period ended March 29, 2014 the Company recorded no income tax benefit as a result of a full valuation allowance.  During the 13-week period ended March 30, 2013, the Company recorded income tax expense of $10.1 million as a result of a full valuation allowance recorded against its remaining net deferred tax assets.  Federal valuation allowances totaled $27.9 million, $23.9 million and $18.6 million at March 29, 2014, December 28, 2013 and March 30, 2013, respectively.  State valuation allowances totaled $5.0 million, $4.5 million and $3.7 million at March 29, 2014, December 28, 2013 and March 30, 2013, respectively. The valuation allowances represent full valuation allowances for the possible non-utilization of net operating loss carry-forwards which may not be realized in future periods before they expire.
	When tax contingencies become probable, a liability for the contingent amount is estimated based upon the Company’s best estimation of the potential exposures associated with the timing and amount of deductions, as well as various tax filing positions. As of March 29, 2014, December 28, 2013 and March 30, 2013, the Company had no reserve recorded for potential tax contingencies.

COMMITMENTS_AND_CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Mar. 29, 2014
COMMITMENTS AND CONTINGENCIES	'
COMMITMENTS AND CONTINGENCIES	'
	13.       COMMITMENTS AND CONTINGENCIES
	The Company is exposed to a number of asserted and unasserted potential claims. Management does not believe it is reasonably possible that resolution of these matters will result in a material loss. The Company had no guarantees, subleases or assigned lease obligations as of March 29, 2014, December 28, 2013 or March 30, 2013.

SUBSEQUENT_EVENTS_RIGHTS_OFFER

SUBSEQUENT EVENTS - RIGHTS OFFERING	3 Months Ended
	Mar. 29, 2014
SUBSEQUENT EVENTS - RIGHTS OFFERING	'
SUBSEQUENT EVENTS - RIGHTS OFFERING	'
	14.       SUBSEQUENT EVENTS - RIGHTS OFFERING
	The Company commenced a rights offering with the existing holders of its common stock on May 9, 2014.  Upon completion of the rights offering, assuming the rights offering is fully subscribed, the Company expects to receive aggregate proceeds of approximately $15.0 million before expenses, subject to the reduction or cancellation by the Company in its sole discretion.
	The rights offering will be made through the Company’s distribution to its existing stockholders of non-transferable subscription rights to purchase their pro rata portion of newly issued shares of the Company’s common stock at a subscription price of $2.00 per share.  The record date for the distribution of the rights is May 8, 2014 and the rights offering is currently set to expire on May 22, 2014
	The Company intends to use the net proceeds of the rights offering to for working capital.  However, the Company cannot assure any stockholders that the capital raised through the rights offering, if any, will be sufficient for this purpose.

SUMMARY_OF_SIGNIFICANT_ACCOUNT

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Mar. 29, 2014
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	'
Basis of Presentation	'
	References to the “Company,” “we,” “us,” or “our” mean Cache, Inc., together with its wholly-owned subsidiaries, except as expressly indicated or unless the context otherwise requires. Under the trade name “Cache”, we operated 242 women’s apparel specialty stores, as of March 29, 2014.
	The following unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and note disclosures normally included in annual financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to those rules and regulations, although the Company believes that the disclosures made are adequate to make the information not misleading. The accompanying condensed consolidated financial statements include all known adjustments necessary for a fair presentation of the results of the interim periods as required by accounting principles generally accepted in the United States. These adjustments consist primarily of normal recurring accruals and estimates that impact the carrying value of assets and liabilities. Actual results may materially differ from these estimates.
	These condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements for the year ended December 28, 2013, which are included in the Company’s Annual Report on Form 10-K with respect to such period filed with the Securities and Exchange Commission. All significant intercompany accounts and transactions have been eliminated. The December 28, 2013 condensed consolidated balance sheet amounts are derived from the Company’s audited consolidated financial statements as adjusted (see below).
Fiscal Reporting Period	'
	The Company’s fiscal year (“fiscal year” or “fiscal”) refers to the applicable 52- or 53-week period. The year ended December 28, 2013 (“fiscal 2013”) was a 52-week year and the year ending January 3, 2015 (“fiscal 2014”) is a 53-week year.
Inventories	'
	Effective December 29, 2013, the Company elected to change its method of accounting for its retail finished goods inventory from the retail inventory method (“RIM”) to the lower of cost or market, with cost being determined on the first-in, first-out method. The RIM method does not track the valuation of inventory and the cost of goods sold at the individual item level, but instead calculates the valuation of inventory and cost of goods sold by applying a calculated cost to retail relationship to the value of retail inventories and cost of goods sold. The Company believes the method of tracking cost at the individual item level is a preferable method as it matches the actual merchandise costs with the respective revenues and is the method most widely used in the retail industry.  The cumulative effect of this accounting change as of December 30, 2012 was decreases of $737,000 in inventories, $123,000 in deferred tax assets and $860,000 in retained earnings.  The effect of this accounting change on the Company’s financial statements as of December 28, 2013 and March 30, 2013 and for the 13-week period ended March 30, 2013 are presented below.
		As reported						As adjusted			As reported					As adjusted
		December 28,						December 28,			March 30,					March 30,
		2013			Adjustments			2013			2013		Adjustments			2013
	Condensed Consolidated Balance Sheets
	Inventories, net	$	23,673,000		$	1,268,000		$	24,941,000		$	26,894,000	$	(182,000	)	$	26,712,000
	Retained earnings (accumulated deficit)	(4,504,000		)	1,268,000			(3,236,000		)	11,425,000		(182,000		)	11,243,000
		As reported						As adjusted
		March 30,						March 30,
		2013			Adjustments			2013
	Condensed Consolidated Statement of Operations
	Cost of sales, including buying and occupancy	$	37,114,000		$	(555,000	)	$	36,559,000
	Loss before income taxes	(8,278,000		)	555,000			(7,723,000		)
	Income tax provision	10,227,000			(123,000		)	10,104,000
	Net loss	(18,505,000		)	678,000			(17,827,000		)
	Basic loss per share	(1.38		)				(1.33		)
	Diluted loss per share	(1.38		)				(1.33		)
		As reported						As adjusted
		March 30,						March 30,
		2013			Adjustments			2013
	Condensed Consolidated Statement of Cash Flows
	Net loss	$	(18,505,000	)	$	678,000		$	(17,827,000	)
	Deferred income taxes	10,201,000		)	(123,000		)	10,078,000		)
	Inventories	(5,648,000		)	(555,000		)	(6,203,000		)

BASIS_OF_PRESENTATION_Tables

BASIS OF PRESENTATION (Tables)	3 Months Ended
	Mar. 29, 2014
BASIS OF PRESENTATION	'
Schedule of effect of accounting change on Company's financial statements	'
		As reported						As adjusted			As reported					As adjusted
		December 28,						December 28,			March 30,					March 30,
		2013			Adjustments			2013			2013		Adjustments			2013
	Condensed Consolidated Balance Sheets
	Inventories, net	$	23,673,000		$	1,268,000		$	24,941,000		$	26,894,000	$	(182,000	)	$	26,712,000
	Retained earnings (accumulated deficit)	(4,504,000		)	1,268,000			(3,236,000		)	11,425,000		(182,000		)	11,243,000
		As reported						As adjusted
		March 30,						March 30,
		2013			Adjustments			2013
	Condensed Consolidated Statement of Operations
	Cost of sales, including buying and occupancy	$	37,114,000		$	(555,000	)	$	36,559,000
	Loss before income taxes	(8,278,000		)	555,000			(7,723,000		)
	Income tax provision	10,227,000			(123,000		)	10,104,000
	Net loss	(18,505,000		)	678,000			(17,827,000		)
	Basic loss per share	(1.38		)				(1.33		)
	Diluted loss per share	(1.38		)				(1.33		)
		As reported						As adjusted
		March 30,						March 30,
		2013			Adjustments			2013
	Condensed Consolidated Statement of Cash Flows
	Net loss	$	(18,505,000	)	$	678,000		$	(17,827,000	)
	Deferred income taxes	10,201,000		)	(123,000		)	10,078,000		)
	Inventories	(5,648,000		)	(555,000		)	(6,203,000		)

STOCKBASED_COMPENSATION_Tables

STOCK-BASED COMPENSATION (Tables)	3 Months Ended
	Mar. 29, 2014
STOCK-BASED COMPENSATION	'
Schedule of assumptions used in estimation of fair value of each option grant on the date of grant using the Black Scholes option valuation model	'
	Expected dividend rate	$	0
	Expected volatility	50.72		%
	Risk free interest rate	0.41		%
	Expected lives (years)	3

BASIC_AND_DILUTED_EARNINGS_PER1

BASIC AND DILUTED EARNINGS PER SHARE (Tables)	3 Months Ended
	Mar. 29, 2014
BASIC AND DILUTED EARNINGS PER SHARE	'
Schedule of computations of basic and diluted earnings per share	'
		13 Weeks Ended
					As adjusted
		March 29,			March 30,
		2014			2013
					See Note 1
	Net loss	$	(10,807,000	)	$	(17,827,000	)
	Basic weighted number of average shares outstanding	21,130,000			13,405,000
	Incremental shares from assumed issuances of stock options and restricted stock awards	—			—
	Diluted weighted average number of shares outstanding	21,130,000			13,405,000
	Net loss per share - Basic	$	(0.51	)	$	(1.33	)
	- Diluted	$	(0.51	)	$	(1.33	)

RECEIVABLES_Tables

RECEIVABLES (Tables)	3 Months Ended
	Mar. 29, 2014
RECEIVABLES	'
Schedule of accounts receivable of the entity	'
		March 29,		December 28,		March 30,
		2014		2013		2013
	Construction allowances	$	105,000	$	430,000	$	73,000
	Third party credit cards	1,752,000		1,674,000		2,553,000
	Other	452,000		702,000		444,000
		$	2,309,000	$	2,806,000	$	3,070,000

INVENTORIES_Tables

INVENTORIES (Tables)	3 Months Ended
	Mar. 29, 2014
INVENTORIES	'
Schedule of inventories	'
				As adjusted		As adjusted
		March 29,		December 28,		March 30,
		2014		2013		2013
				(See Note 1)		(See Note 1)
	Raw materials	$	926,000	$	935,000	$	1,343,000
	Work in process	1,957,000		1,918,000		2,513,000
	Finished goods	23,932,000		22,088,000		22,856,000
		$	26,815,000	$	24,941,000	$	26,712,000

EQUIPMENT_AND_LEASEHOLD_IMPROV1

EQUIPMENT AND LEASEHOLD IMPROVEMENTS (Tables)	3 Months Ended
	Mar. 29, 2014
EQUIPMENT AND LEASEHOLD IMPROVEMENTS	'
Schedule of equipment and leasehold improvements	'
		March 29,			December 28,			March 30,
		2014			2013			2013
	Leasehold improvements	$	45,874,000		$	45,899,000		$	47,205,000
	Furniture, fixtures and equipment	41,583,000			40,931,000			40,093,000
		87,457,000			86,830,000			87,298,000
	Less: accumulated depreciation and amortization	(68,334,000		)	(68,609,000		)	(67,488,000		)
		$	19,123,000		$	18,221,000		$	19,810,000

ACCRUED_LIABILITIES_Tables

ACCRUED LIABILITIES (Tables)	3 Months Ended
	Mar. 29, 2014
ACCRUED LIABILITIES	'
Schedule of accrued liabilities	'
		March 29,		December 28,		March 30,
		2014		2013		2013
	Gift cards, merchandise credit cards and other customer deposits and credits	$	4,593,000	$	4,670,000	$	4,115,000
	Taxes, including income taxes	1,959,000		2,418,000		1,875,000
	Operating expenses	2,426,000		2,395,000		2,232,000
	Fixed asset additions	809,000		262,000		300,000
	Sales return reserve	729,000		660,000		766,000
	Group insurance	530,000		556,000		604,000
	Deferred income — co-branded credit card program	244,000		236,000		208,000
		$	11,290,000	$	11,197,000	$	10,100,000

OTHER_LIABILITIES_Tables

OTHER LIABILITIES (Tables)	3 Months Ended
	Mar. 29, 2014
OTHER LIABILITIES	'
Schedule of other liabilities	'
		March 29,		December 28,		March 30,
		2014		2013		2013
	Deferred rent	$	7,143,000	$	7,525,000	$	8,043,000
	Deferred income — co-branded credit card program	1,200,000		1,218,000		1,228,000
	Severance	—		75,000		598,000
		$	8,343,000	$	8,818,000	$	9,869,000

BASIS_OF_PRESENTATION_Details

BASIS OF PRESENTATION (Details)	3 Months Ended	12 Months Ended
	Mar. 29, 2014	Dec. 28, 2013
	store
Business	'	'
Number of women's apparel specialty stores operated	242	'
Basis of presentation	'	'
Length of fiscal year	'371 days	'364 days
Minimum	'	'
Basis of presentation	'	'
Length of fiscal year	'364 days	'
Maximum	'	'
Basis of presentation	'	'
Length of fiscal year	'371 days	'

BASIS_OF_PRESENTATION_Details_

BASIS OF PRESENTATION (Details 2) (USD $)	3 Months Ended			3 Months Ended		3 Months Ended
	Mar. 29, 2014	Mar. 30, 2013	Dec. 28, 2013	Mar. 30, 2013	Dec. 28, 2013	Mar. 30, 2013	Dec. 28, 2013	Dec. 31, 2012
				As reported	As reported	Change in inventory valuation method	Change in inventory valuation method	Change in inventory valuation method
						Adjustments	Adjustments	Adjustments
Condensed Consolidated Balance Sheets	'	'	'	'	'	'	'	'
Inventories, net	$26,815,000	$26,712,000	$24,941,000	$26,894,000	$23,673,000	($182,000)	$1,268,000	($737,000)
Deferred tax assets	'	'	'	'	'	'	'	-123,000
Retained earnings (accumulated deficit)	-14,043,000	11,243,000	-3,236,000	11,425,000	-4,504,000	-182,000	1,268,000	-860,000
Condensed Consolidated Statement of Operations	'	'	'	'	'	'	'	'
Cost of sales, including buying and occupancy	34,472,000	36,559,000	'	37,114,000	'	-555,000	'	'
Loss before income taxes	-10,757,000	-7,723,000	'	-8,278,000	'	555,000	'	'
Income tax provision	50,000	10,104,000	'	10,227,000	'	-123,000	'	'
Net loss	-10,807,000	-17,827,000	'	-18,505,000	'	678,000	'	'
Basic loss per share (in dollars per share)	($0.51)	($1.33)	'	($1.38)	'	'	'	'
Diluted loss per share (in dollars per share)	($0.51)	($1.33)	'	($1.38)	'	'	'	'
Condensed Consolidated Statement of Cash Flows	'	'	'	'	'	'	'	'
Net loss	-10,807,000	-17,827,000	'	-18,505,000	'	678,000	'	'
Deferred income taxes	'	10,078,000	'	10,201,000	'	-123,000	'	'
Inventories	($1,874,000)	($6,203,000)	'	($5,648,000)	'	($555,000)	'	'

STOCKBASED_COMPENSATION_Detail

STOCK-BASED COMPENSATION (Details) (USD $)	0 Months Ended	3 Months Ended
	Feb. 05, 2013	Mar. 29, 2014	Mar. 30, 2013
Stock-based compensation	'	'	'
Stock-based compensation expense	'	$310,000	$137,000
Board members	'	'	'
Stock-based compensation	'	'	'
Stock-based compensation expense	'	29,000	59,000
Shares of common stock issued	'	24,000	40,000
Total fair value of stock issued	'	115,000	94,000
Stock options	'	'	'
Assumptions used in calculating fair value of options	'	'	'
Expected dividend rate	'	'	0
Expected volatility (as a percent)	'	'	50.72%
Risk free interest rate (as a percent)	'	'	0.41%
Expected lives	'	'	'3 years
Stock options | Jay Margolis | Time-based stock options	'	'	'
Stock-based compensation	'	'	'
Number of options granted (in shares)	1,000,000	'	'
Exercise price of options granted (in dollars per share)	$3.34	'	'
Options granted (in dollars per share)	$1.15	'	'
Excess tax benefits recognized from exercise of stock options	'	$0	$0
Restricted stock	'	'	'
Stock-based compensation	'	'	'
Number of restricted stock awards granted (in shares)	'	71,000	'
Weighted Average Grant-Date Fair Value	'	'	'
Granted (in dollars per share)	'	$5.48	'
Vesting period	'	'3 years	'

BASIC_AND_DILUTED_EARNINGS_PER2

BASIC AND DILUTED EARNINGS PER SHARE (Details) (USD $)	3 Months Ended
	Mar. 29, 2014	Mar. 30, 2013
BASIC AND DILUTED EARNINGS PER SHARE	'	'
Net loss	($10,807,000)	($17,827,000)
Basic weighted number of average shares outstanding	21,130,000	13,405,000
Diluted weighted average number of shares outstanding	21,130,000	13,405,000
Net loss per share - Basic (in dollars per share)	($0.51)	($1.33)
Net loss per share - Diluted (in dollars per share)	($0.51)	($1.33)
Stock options	'	'
Anti-dilutive shares	'	'
Anti-dilutive securities excluded from the computation of diluted earnings (in shares)	1,513,167	1,295,675

RECEIVABLES_Details

RECEIVABLES (Details) (USD $)	Mar. 29, 2014	Dec. 28, 2013	Mar. 30, 2013
Receivables	'	'	'
Receivables, net	$2,309,000	$2,806,000	$3,070,000
Construction allowances	'	'	'
Receivables	'	'	'
Receivables, net	105,000	430,000	73,000
Third party credit cards	'	'	'
Receivables	'	'	'
Receivables, net	1,752,000	1,674,000	2,553,000
Other	'	'	'
Receivables	'	'	'
Receivables, net	$452,000	$702,000	$444,000

INVENTORIES_Details

INVENTORIES (Details) (USD $)	Mar. 29, 2014	Dec. 28, 2013	Mar. 30, 2013
INVENTORIES	'	'	'
Raw materials	$926,000	$935,000	$1,343,000
Work-in-process	1,957,000	1,918,000	2,513,000
Finished goods	23,932,000	22,088,000	22,856,000
Inventories, net	$26,815,000	$24,941,000	$26,712,000

EQUIPMENT_AND_LEASEHOLD_IMPROV2

EQUIPMENT AND LEASEHOLD IMPROVEMENTS (Details) (USD $)	Mar. 29, 2014	Dec. 28, 2013	Mar. 30, 2013
Equipment and Leasehold Improvements	'	'	'
Equipment and leasehold improvements, gross	$87,457,000	$86,830,000	$87,298,000
Less: accumulated depreciation and amortization	-68,334,000	-68,609,000	-67,488,000
Equipment and leasehold improvements, net	19,123,000	18,221,000	19,810,000
Leasehold improvements	'	'	'
Equipment and Leasehold Improvements	'	'	'
Equipment and leasehold improvements, gross	45,874,000	45,899,000	47,205,000
Furniture, fixtures and equipment	'	'	'
Equipment and Leasehold Improvements	'	'	'
Equipment and leasehold improvements, gross	$41,583,000	$40,931,000	$40,093,000

ACCRUED_LIABILITIES_Details

ACCRUED LIABILITIES (Details) (USD $)	3 Months Ended		12 Months Ended
	Mar. 29, 2014	Mar. 30, 2013	Dec. 28, 2013
ACCRUED LIABILITIES	'	'	'
Gift cards, merchandise credit cards and other customer deposits and credits	$4,593,000	$4,115,000	$4,670,000
Taxes, including income taxes	1,959,000	1,875,000	2,418,000
Operating expenses	2,426,000	2,232,000	2,395,000
Fixed asset additions	809,000	300,000	262,000
Sales return reserve	729,000	766,000	660,000
Group insurance	530,000	604,000	556,000
Deferred income - co-branded credit card program	244,000	208,000	236,000
Accrued liabilities	$11,290,000	$10,100,000	$11,197,000

OTHER_LIABILITIES_Details

OTHER LIABILITIES (Details) (USD $)	Mar. 29, 2014	Dec. 28, 2013	Mar. 30, 2013
OTHER LIABILITIES	'	'	'
Deferred rent	$7,143,000	$7,525,000	$8,043,000
Deferred income - co-branded credit card program	1,200,000	1,218,000	1,228,000
Severance	'	75,000	598,000
Other liabilities	$8,343,000	$8,818,000	$9,869,000

CREDIT_FACILITY_Details

CREDIT FACILITY (Details) (USD $)	0 Months Ended		3 Months Ended	0 Months Ended
In Millions, unless otherwise specified	Jul. 25, 2013	Mar. 29, 2014	Mar. 29, 2014	Jul. 25, 2013	Jul. 25, 2013	Jul. 25, 2013	Jul. 25, 2013	Jul. 25, 2013	Jul. 25, 2013	31-May-13	Jul. 25, 2013
	Credit Facility	Credit Facility	Credit Facility	Credit Facility	Credit Facility	Credit Facility	Credit Facility	Credit Facility	Credit Facility	Letters of Credit	Letters of Credit
	Wells Fargo Bank	Wells Fargo Bank	Wells Fargo Bank	Wells Fargo Bank	Wells Fargo Bank	Wells Fargo Bank	Wells Fargo Bank	Wells Fargo Bank	Wells Fargo Bank	Bank of America	Wells Fargo Bank
			Average	LIBOR	LIBOR	Base rate	Base rate	U. S. federal funds rate	Adjusted LIBOR rate
				Average daily availability equal to or greater than 50% of the borrowing base	Average daily availability less than 50% of the borrowing base	Average daily availability equal to or greater than 50% of the borrowing base	Average daily availability less than 50% of the borrowing base
Bank debt	'	'	'	'	'	'	'	'	'	'	'
Borrowing capacity	$25	'	'	'	'	'	'	'	'	$3	$5
Letters of credit collateralized by security interest in certificates of deposit	'	'	'	'	'	'	'	'	'	3	'
Term of credit facility	'5 years	'	'	'	'	'	'	'	'	'	'
Reference rate	'	'	'	'LIBOR	'LIBOR	'base rate	'base rate	'federal funds rate	'adjusted LIBOR rate	'	'
Interest rate margin (as a percent)	'	'	'	1.50%	1.75%	0.50%	0.75%	0.50%	1.00%	'	'
Interest rate (as a percent)	'	'	2.70%	'	'	'	'	'	'	'	'
Amount of outstanding letters of credit	'	1.2	'	'	'	'	'	'	'	'	'
Amount of outstanding borrowings	'	$11.60	'	'	'	'	'	'	'	'	'

INCOME_TAXES_Details

INCOME TAXES (Details ) (USD $)	3 Months Ended
	Mar. 29, 2014	Mar. 30, 2013	Dec. 28, 2013
Net operating loss carry-forward	'	'	'
Income tax expense (benefit)	$50,000	$10,104,000	'
Income tax benefit as a result of full tax valuation allowance	0	'	'
Reserve recorded for potential tax contingencies	0	0	0
Federal	'	'	'
Net operating loss carry-forward	'	'	'
Net operating loss carry-forward	'	'	55,700,000
Valuation allowance	27,900,000	18,600,000	23,900,000
State	'	'	'
Net operating loss carry-forward	'	'	'
Valuation allowance	$5,000,000	$3,700,000	$4,500,000

COMMITMENTS_AND_CONTINGENCIES_

COMMITMENTS AND CONTINGENCIES (Details) (USD $)	Mar. 29, 2014	Dec. 28, 2013	Mar. 30, 2013
COMMITMENTS AND CONTINGENCIES	'	'	'
Amount of guarantees, subleases or assigned lease obligations	$0	$0	$0

SUBSEQUENT_EVENTS_RIGHTS_OFFER1

SUBSEQUENT EVENTS - RIGHTS OFFERING (Details) (Subsequent events, Forecast, USD $)	0 Months Ended
In Millions, except Per Share data, unless otherwise specified	9-May-14
Subsequent events | Forecast	'
Subsequent Events - Rights Offering	'
Aggregate proceeds received upon completion of rights offering	$15
Subscription price (in dollars per share)	$2