Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
3-May-14 | Jun. 16, 2014 | |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 3-May-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Trading Symbol | 'ck0000786110 | ' |
Entity Registrant Name | 'GYMBOREE CORP | ' |
Entity Central Index Key | '0000786110 | ' |
Current Fiscal Year End Date | '--01-31 | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 1,000 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Current assets: | ' | ' | ' |
Cash and cash equivalents | $24,773 | $39,429 | $43,146 |
Accounts receivable, net of allowance of $1,228, $1,370 and $363 | 22,394 | 21,882 | 22,124 |
Merchandise inventories | 170,411 | 175,495 | 180,796 |
Prepaid income taxes | 2,986 | 1,979 | 3,076 |
Prepaid expenses | 18,623 | 18,801 | 16,809 |
Deferred income taxes | 14,236 | 13,454 | 30,647 |
Total current assets | 253,423 | 271,040 | 296,598 |
Property and equipment: | ' | ' | ' |
Land and buildings | 22,428 | 22,428 | 22,428 |
Leasehold improvements | 201,067 | 195,556 | 182,110 |
Furniture, fixtures and equipment | 119,115 | 117,131 | 102,746 |
Property, Plant and Equipment, Gross, Total | 342,610 | 335,115 | 307,284 |
Less accumulated depreciation and amortization | -139,134 | -128,807 | -101,299 |
Net property and equipment | 203,476 | 206,308 | 205,985 |
Goodwill | 758,777 | 758,777 | 898,983 |
Other intangible assets, net | 559,003 | 559,824 | 578,456 |
Deferred financing costs | 30,754 | 32,455 | 38,419 |
Other assets | 10,288 | 11,700 | 7,443 |
Total assets | 1,815,721 | 1,840,104 | 2,025,884 |
Current liabilities: | ' | ' | ' |
Accounts payable | 73,345 | 101,959 | 57,753 |
Accrued liabilities | 107,648 | 100,303 | 107,095 |
Line of credit | 10,000 | ' | ' |
Current obligation under capital lease | 515 | 503 | ' |
Total current liabilities | 191,508 | 202,765 | 164,848 |
Long-term liabilities: | ' | ' | ' |
Long-term debt | 1,113,817 | 1,113,742 | 1,138,524 |
Long-term obligation under capital lease | 3,269 | 3,402 | ' |
Lease incentives and other liabilities | 50,534 | 50,432 | 43,432 |
Unrecognized tax benefits | 6,304 | 6,157 | 8,135 |
Deferred income taxes | 215,232 | 214,464 | 231,540 |
Total liabilities | 1,580,664 | 1,590,962 | 1,586,479 |
Commitments and contingencies | ' | ' | ' |
Stockholders' equity: | ' | ' | ' |
Common stock, including additional paid-in capital ($.001 par value: 1,000 shares authorized, issued and outstanding) | 519,207 | 517,932 | 520,983 |
Accumulated deficit | -292,689 | -279,258 | -78,767 |
Accumulated other comprehensive loss | -4,780 | -4,880 | -6,083 |
Total stockholders' equity | 221,738 | 233,794 | 436,133 |
Noncontrolling interest | 13,319 | 15,348 | 3,272 |
Total equity | 235,057 | 249,142 | 439,405 |
Total liabilities and stockholders' equity | $1,815,721 | $1,840,104 | $2,025,884 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, except Share data, unless otherwise specified | |||
Accounts receivable, allowance | $1,228 | $1,370 | $363 |
Common stock, par value | $0.00 | $0.00 | $0.00 |
Common stock, shares authorized | 1,000 | 1,000 | 1,000 |
Common stock, shares issued | 1,000 | 1,000 | 1,000 |
Common stock, shares outstanding | 1,000 | 1,000 | 1,000 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 |
Net sales: | ' | ' |
Net sales | $272,010 | $292,783 |
Cost of goods sold, including buying and occupancy expenses | -163,652 | -171,810 |
Gross profit | 108,358 | 120,973 |
Selling, general and administrative expenses | -102,290 | -104,129 |
Operating income (loss) | 6,068 | 16,844 |
Interest income | 47 | 41 |
Interest expense | -20,374 | -20,402 |
Other income (expense), net | -368 | 9 |
(Loss) income before income taxes | -14,627 | -3,508 |
Income tax (expense) benefit | -376 | 660 |
Net (loss) income | -15,003 | -2,848 |
Net loss (income) attributable to noncontrolling interest | 1,572 | 312 |
Net (loss) income attributable to The Gymboree Corporation | -13,431 | -2,536 |
Retail Stores | ' | ' |
Net sales: | ' | ' |
Net sales | 259,124 | 280,877 |
Gymboree Play & Music | ' | ' |
Net sales: | ' | ' |
Net sales | 6,832 | 6,328 |
International Retail Franchise | ' | ' |
Net sales: | ' | ' |
Net sales | $6,054 | $5,578 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 | Feb. 01, 2014 |
Net (loss) income | ($15,003) | ($2,848) | ' |
Other comprehensive income (loss): | ' | ' | ' |
Foreign currency translation adjustments, net of tax | -397 | -21 | ' |
Unrealized net gain (loss) on cash flow hedges, net of tax benefit of $0 and $65 | 22 | -109 | ' |
Total other comprehensive loss | -375 | -130 | 1,245 |
Comprehensive (loss) income | -15,378 | -2,978 | ' |
Comprehensive loss attributable to noncontrolling interest | 2,047 | 273 | ' |
Comprehensive (loss) income attributable to The Gymboree Corporation | ($13,331) | ($2,705) | ' |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parenthetical) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 |
Unrealized net gain (loss) on cash flow hedges, tax (expense) benefit | $0 | $65 |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net loss | ($15,003) | ($2,848) |
Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | ' | ' |
Depreciation and amortization | 11,178 | 12,822 |
Amortization of deferred financing costs and accretion of original issue discount | 1,776 | 1,690 |
Interest rate cap contracts - adjustment to market | 461 | 183 |
Loss on disposal/impairment of assets | 359 | ' |
Deferred income taxes | -33 | -2,210 |
Share-based compensation expense | 1,276 | 1,497 |
Other | 18 | 314 |
Change in assets and liabilities: | ' | ' |
Accounts receivable | -553 | 5,443 |
Merchandise inventories | 4,776 | 17,244 |
Prepaid income taxes | -1,013 | -179 |
Prepaid expenses and other assets | 1,087 | 409 |
Accounts payable | -28,602 | -32,377 |
Accrued liabilities | 8,897 | 13,395 |
Lease incentives and other liabilities | 693 | 4,335 |
Net cash (used in) provided by operating activities | -14,683 | 19,718 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -9,353 | -10,658 |
Other | -56 | -93 |
Net cash used in investing activities | -9,409 | -10,751 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Proceeds from ABL facility | 78,000 | ' |
Payments on ABL facility | -68,000 | ' |
Payments on capital lease | -121 | ' |
Dividend payment to Parent | ' | -201 |
Capital contribution received by noncontrolling interest | ' | 1,007 |
Net cash provided by (used in) financing activities | 9,879 | 806 |
Effect of exchange rate fluctuations on cash and cash equivalents | -443 | 45 |
Net (decrease) increase in cash and cash equivalents | -14,656 | 9,818 |
CASH AND CASH EQUIVALENTS: | ' | ' |
Beginning of period | 39,429 | 33,328 |
End of period | 24,773 | 43,146 |
OTHER CASH FLOW INFORMATION: | ' | ' |
Cash paid for income taxes, net | 1,380 | 747 |
Cash paid for interest | $10,104 | $10,078 |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
3-May-14 | |
Basis of Presentation | ' |
1. Basis of Presentation | |
The unaudited interim condensed consolidated financial statements, which include The Gymboree Corporation (the “Company,” “we” or “us”) and our 100%-owned subsidiaries, as well as Gymboree (China) Commercial and Trading Co. Ltd. (“Gymboree China”) and Gymboree (Tianjin) Educational Information Consultation Co. Ltd. (“Gymboree Tianjin”) (collectively, the “VIEs”), have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and disclosures normally included in the notes to the annual financial statements prepared in accordance with generally accepted accounting principles have been omitted. These financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our annual report on Form 10-K for the fiscal year ended February 1, 2014 filed with the Securities and Exchange Commission on May 2, 2014. | |
The accompanying condensed consolidated financial statements reflect all normal and recurring adjustments that are, in the opinion of management, necessary to present fairly the financial position, results of operations, comprehensive income (loss) and cash flows for the periods presented. The results of operations for the 13 weeks ended May 3, 2014 (“first quarter of fiscal 2014”) are not necessarily indicative of the operating results that may be expected for the 52-week period ending January 31, 2015 (“fiscal 2014”) or any future period. |
Recently_Issued_Accounting_Sta
Recently Issued Accounting Standards | 3 Months Ended |
3-May-14 | |
Recently Issued Accounting Standards | ' |
2. Recently Issued Accounting Standards | |
In July 2013, the Financial Accounting Standards Board (“FASB”) issued authoritative guidance that requires an entity to present an unrecognized tax benefit, or a portion of an unrecognized tax benefit, in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, except as follows. To the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. The guidance is effective prospectively for fiscal years and interim reporting periods within those years, beginning after December 15, 2013. The adoption of this guidance in the first quarter of fiscal 2014 did not have a material impact on our condensed consolidated financial statements. |
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets and Liabilities | 3 Months Ended | ||||||||||||||||
3-May-14 | |||||||||||||||||
Goodwill and Intangible Assets and Liabilities | ' | ||||||||||||||||
3. Goodwill and Intangible Assets and Liabilities | |||||||||||||||||
Goodwill | |||||||||||||||||
During the first quarter of fiscal 2014, we did not identify impairment indicators for goodwill or other indefinite-lived intangible assets. | |||||||||||||||||
In fiscal 2013, due to weak results, particularly in the fourth quarter, we concluded that there was goodwill impairment in the Crazy 8, Gymboree Retail and Gymboree Outlet reporting units. We recorded an estimate of impairment for goodwill of $140.2 million in the fourth quarter of fiscal 2013. The impairment charges were subject to finalization of fair values, which we have now completed, with no change to the previously recorded estimate. | |||||||||||||||||
Intangible Assets and Liabilities | |||||||||||||||||
Intangible assets and liabilities consist of the following (in thousands): | |||||||||||||||||
May 3, 2014 | |||||||||||||||||
Gross Carrying | Accumulated | Accumulated | Net Amount | ||||||||||||||
Amount | Amortization | Impairment | |||||||||||||||
Intangible Assets Not Subject to Amortization: | |||||||||||||||||
Trade names | $ | 567,494 | $ | — | $ | (17,000 | ) | $ | 550,494 | ||||||||
Intangible Assets Subject to Amortization: | |||||||||||||||||
Customer relationships | 37,551 | (36,975 | ) | — | 576 | ||||||||||||
Below market leases | 7,055 | (4,457 | ) | — | 2,598 | ||||||||||||
Co-branded credit card agreement | 4,000 | (2,112 | ) | — | 1,888 | ||||||||||||
Franchise agreements and reacquired franchise rights | 6,632 | (3,185 | ) | — | 3,447 | ||||||||||||
55,238 | (46,729 | ) | — | 8,509 | |||||||||||||
Total other intangible assets | $ | 622,732 | $ | (46,729 | ) | $ | (17,000 | ) | $ | 559,003 | |||||||
Intangible Liabilities Subject to Amortization: | |||||||||||||||||
Above market leases (included in Lease incentives and other liabilities) | $ | (16,631 | ) | $ | 10,508 | $ | — | $ | (6,123 | ) | |||||||
February 1, 2014 | |||||||||||||||||
Gross Carrying | Accumulated | Accumulated | Net Amount | ||||||||||||||
Amount | Amortization | Impairment | |||||||||||||||
Intangible Assets Not Subject to Amortization: | |||||||||||||||||
Trade names | $ | 567,494 | $ | — | $ | (17,000 | ) | $ | 550,494 | ||||||||
Intangible Assets Subject to Amortization: | |||||||||||||||||
Customer relationships | 37,551 | (36,803 | ) | — | 748 | ||||||||||||
Below market leases | 7,055 | (4,195 | ) | — | 2,860 | ||||||||||||
Co-branded credit card agreement | 4,000 | (1,958 | ) | — | 2,042 | ||||||||||||
Franchise agreements and reacquired franchise rights | 6,632 | (2,952 | ) | — | 3,680 | ||||||||||||
55,238 | (45,908 | ) | — | 9,330 | |||||||||||||
Total other intangible assets | $ | 622,732 | $ | (45,908 | ) | $ | (17,000 | ) | $ | 559,824 | |||||||
Intangible Liabilities Subject to Amortization: | |||||||||||||||||
Above market leases (included in Lease incentives and other liabilities) | $ | (16,631 | ) | $ | 9,999 | $ | — | $ | (6,632 | ) | |||||||
May 4, 2013 | |||||||||||||||||
Gross Carrying | Accumulated | Accumulated | Net Amount | ||||||||||||||
Amount | Amortization | Impairment | |||||||||||||||
Intangible Assets Not Subject to Amortization: | |||||||||||||||||
Trade names | $ | 567,859 | $ | — | $ | — | $ | 567,859 | |||||||||
Intangible Assets Subject to Amortization: | |||||||||||||||||
Customer relationships | 36,400 | (36,400 | ) | — | — | ||||||||||||
Below market leases | 7,055 | (3,328 | ) | — | 3,727 | ||||||||||||
Co-branded credit card agreement | 4,000 | (1,496 | ) | — | 2,504 | ||||||||||||
Franchise agreements | 6,600 | (2,234 | ) | — | 4,366 | ||||||||||||
54,055 | (43,458 | ) | — | 10,597 | |||||||||||||
Total other intangible assets | $ | 621,914 | $ | (43,458 | ) | $ | — | $ | 578,456 | ||||||||
Intangible Liabilities Subject to Amortization: | |||||||||||||||||
Above market leases (included in Lease incentives and other liabilities) | $ | (16,626 | ) | $ | 8,055 | $ | — | $ | (8,571 | ) | |||||||
During the first quarter of fiscal 2014 and 2013, we recorded net amortization income of approximately $0.2 million and $0.4 million, respectively, in cost of goods sold (“COGS”). During the first quarter of fiscal 2014 and 2013, we recorded amortization expense of approximately $0.6 million and $2.3 million, respectively, in selling, general and administrative expenses (“SG&A”). | |||||||||||||||||
We estimate that amortization expense (income) related to intangible assets and liabilities will be as follows (in thousands): | |||||||||||||||||
Fiscal | Below Market | Above Market | Other | Total | |||||||||||||
Leases | Leases | Intangibles | |||||||||||||||
2014 (remaining 39 weeks) | $ | 797 | $ | (1,514 | ) | $ | 1,558 | $ | 841 | ||||||||
2015 | $ | 835 | $ | (1,579 | ) | $ | 1,731 | $ | 987 | ||||||||
2016 | $ | 483 | $ | (1,428 | ) | $ | 1,400 | $ | 455 | ||||||||
2017 | $ | 342 | $ | (1,016 | ) | $ | 332 | $ | (342 | ) | |||||||
2018 | $ | 110 | $ | (464 | ) | $ | 136 | $ | (218 | ) | |||||||
Thereafter | $ | 31 | $ | (122 | ) | $ | 754 | $ | 663 |
Derivative_Financial_Instrumen
Derivative Financial Instruments | 3 Months Ended | ||||||||||||||||||||||||
3-May-14 | |||||||||||||||||||||||||
Derivative Financial Instruments | ' | ||||||||||||||||||||||||
4. Derivative Financial Instruments | |||||||||||||||||||||||||
We enter into forward foreign exchange contracts with respect to certain purchases in United States dollars of inventory to be sold in our retail stores in Canada. The purpose of these contracts is to protect our margins on the eventual sale of the inventory from fluctuations in the exchange rate for Canadian and U.S. dollars. The term of these forward foreign exchange contracts is generally less than one year. These contracts are treated as cash-flow hedges. Amounts reported in accumulated other comprehensive income (loss) related to these forward foreign exchange contracts will be reclassified to cost of goods sold over a three-month period. We also enter into forward foreign exchange contracts with respect to short-term intercompany balances between U.S. and foreign entities in Canada and Australia. The purpose of these contracts is to protect us from fluctuations in the exchange rates upon the settlement of such balances. These contracts are not designated as hedges. Consequently, changes in the fair value of these contracts are included in other income. | |||||||||||||||||||||||||
In December 2010, we paid approximately $12.1 million to enter into interest rate caps to hedge against rising interest rates associated with our Term Loan (see Note 7) above the strike rate of the cap through December 23, 2016, the maturity date of the caps. The interest rate caps were designated on the date of execution as cash-flow hedges. The premium, and any related amounts reported in accumulated other comprehensive loss, are being amortized to interest expense through December 23, 2016, as interest payments are made on the underlying Term Loan. During the first quarter of fiscal 2014 and 2013, we reclassified approximately $0.5 million and $0.2 million, respectively, from accumulated other comprehensive loss to interest expense. We estimate that approximately $2.4 million will be reclassified from accumulated other comprehensive loss to interest expense within the next 12 months. | |||||||||||||||||||||||||
For a derivative instrument designated as a cash-flow hedge, the effective portion of the derivative’s gain or loss is initially reported as a component of other comprehensive income (loss) and is subsequently recognized in earnings when the hedged exposure is recognized in earnings. Gains or losses on the derivative representing either hedge components excluded from the assessment of effectiveness or hedge ineffectiveness are recognized in earnings. | |||||||||||||||||||||||||
We had the following outstanding derivatives designated as cash flow hedges (U.S. dollars in thousands): | |||||||||||||||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||||||||||||||
Number of | Notional | Number of | Notional | Number of | Notional | ||||||||||||||||||||
Instruments | (USD) | Instruments | (USD) | Instruments | (USD) | ||||||||||||||||||||
Interest rate derivatives | |||||||||||||||||||||||||
Purchased interest rate caps | 4 | $ | 700,000 | 4 | $ | 700,000 | 4 | $ | 700,000 | ||||||||||||||||
Foreign exchange derivatives | |||||||||||||||||||||||||
Forward foreign exchange contracts | 3 | 3,065 | 6 | 5,029 | 3 | 3,459 | |||||||||||||||||||
Total | 7 | $ | 703,065 | 10 | $ | 705,029 | 7 | $ | 703,459 | ||||||||||||||||
We had the following outstanding derivatives which were not designated as hedges (U.S. dollars in thousands): | |||||||||||||||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||||||||||||||
Number of | Notional | Number of | Notional | Number of | Notional | ||||||||||||||||||||
Instruments | (USD) | Instruments | (USD) | Instruments | (USD) | ||||||||||||||||||||
Forward foreign exchange contracts | 1 | $ | 12,210 | 2 | $ | 10,339 | — | $ | — | ||||||||||||||||
The table below presents the fair value of all of our derivative financial instruments as well as their classification on the consolidated balance sheets (in thousands). | |||||||||||||||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||||||||||||||
Derivative | Derivative | Derivative | Derivative | ||||||||||||||||||||||
Assets | Assets | Assets | Liabilities | ||||||||||||||||||||||
Other Assets | |||||||||||||||||||||||||
Purchased interest rate caps | $ | 433 | $ | 599 | $ | 508 | $ | — | |||||||||||||||||
Forward foreign exchange contracts | 100 | 348 | — | — | |||||||||||||||||||||
Accrued Liabilities | |||||||||||||||||||||||||
Forward foreign exchange contracts | — | — | — | 22 | |||||||||||||||||||||
Total | $ | 533 | $ | 947 | $ | 508 | $ | 22 | |||||||||||||||||
The tables below present the effect of all of our derivative financial instruments on the condensed consolidated statements of operations and comprehensive income (loss) (in thousands). No amounts were reclassified from accumulated other comprehensive loss into earnings as a result of forecasted transactions that failed to occur or as a result of hedge ineffectiveness. | |||||||||||||||||||||||||
13 Weeks Ended May 3, 2014 | |||||||||||||||||||||||||
Gains / (Losses) | Location of Gains | Gains / (Losses) | |||||||||||||||||||||||
Recognized in OCI on | (Losses) Reclassified | Reclassified from | |||||||||||||||||||||||
Derivative (Effective | from Accumulated | Accumulated OCI | |||||||||||||||||||||||
Portion) | OCI into Income | into Income | |||||||||||||||||||||||
(Effective Portion) | (Effective Portion) | ||||||||||||||||||||||||
Interest rate caps | $ | (166 | ) | Interest expense | $ | (461 | ) | ||||||||||||||||||
Forward foreign exchange contracts | (51 | ) | Cost of goods sold | 222 | |||||||||||||||||||||
Total | $ | (217 | ) | $ | (239 | ) | |||||||||||||||||||
13 Weeks Ended May 4, 2013 | |||||||||||||||||||||||||
Gains / (Losses) | Location of Gains | Gains / (Losses) | |||||||||||||||||||||||
Recognized in OCI | (Losses) Reclassified | Reclassified from | |||||||||||||||||||||||
on Derivative | from Accumulated | Accumulated OCI | |||||||||||||||||||||||
(Effective Portion) | OCI into Income | into Income | |||||||||||||||||||||||
(Effective Portion) | (Effective Portion) | ||||||||||||||||||||||||
Interest rate caps | $ | (456 | ) | Interest expense | $ | (183 | ) | ||||||||||||||||||
Forward foreign exchange contracts | 93 | Cost of goods sold | (6 | ) | |||||||||||||||||||||
Total | $ | (363 | ) | $ | (189 | ) | |||||||||||||||||||
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | ||||||||||||||||||||||||
3-May-14 | |||||||||||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||||||||||
5. Fair Value Measurements | |||||||||||||||||||||||||
We record our money market funds, forward foreign exchange contracts and interest rate caps at fair value. Fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. Accounting guidance prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: | |||||||||||||||||||||||||
Level 1 – Quoted prices in active markets for identical assets or liabilities. | |||||||||||||||||||||||||
Level 2 – Inputs that are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant inputs are observable in the market or can be derived from observable market data. | |||||||||||||||||||||||||
Level 3 – Unobservable inputs for the asset or liability, which reflect the Company’s own assumptions about the assumptions that market participants would use in pricing the asset or liability (including assumptions about risk). | |||||||||||||||||||||||||
In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the fair value measurement in its entirety is classified is based on the lowest level input that is significant to the fair value measurement in its entirety. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability. | |||||||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on a Recurring Basis | |||||||||||||||||||||||||
The tables below present our assets and liabilities measured at fair value on a recurring basis as of May 3, 2014, February 1, 2014 and May 4, 2013, aggregated by the level in the fair value hierarchy within which those measurements fall. There were no transfers into or out of Level 1 and Level 2 during the 13 weeks ended May 3, 2014 and May 4, 2013, or for the year ended February 1, 2014. | |||||||||||||||||||||||||
May 3, 2014 | |||||||||||||||||||||||||
Quoted Prices in | Significant Other | Significant | Total Fair Value | ||||||||||||||||||||||
Active Markets for | Observable Inputs | Unobservable | |||||||||||||||||||||||
Identical Assets | (Level 2) | Inputs | |||||||||||||||||||||||
(Level 1) | (Level 3) | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Money market funds | $ | 900 | $ | — | $ | — | $ | 900 | |||||||||||||||||
Interest rate caps | — | 433 | — | 433 | |||||||||||||||||||||
Forward foreign exchange contracts | — | 100 | — | 100 | |||||||||||||||||||||
Total | $ | 900 | $ | 533 | $ | — | $ | 1,433 | |||||||||||||||||
February 1, 2014 | |||||||||||||||||||||||||
Quoted Prices in | Significant Other | Significant | Total Fair Value | ||||||||||||||||||||||
Active Markets for | Observable Inputs | Unobservable | |||||||||||||||||||||||
Identical Assets | (Level 2) | Inputs | |||||||||||||||||||||||
(Level 1) | (Level 3) | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Money market funds | $ | 14,571 | $ | — | $ | — | $ | 14,571 | |||||||||||||||||
Interest rate caps | — | 599 | — | 599 | |||||||||||||||||||||
Forward foreign exchange contracts | — | 348 | — | 348 | |||||||||||||||||||||
Total | $ | 14,571 | $ | 947 | $ | — | $ | 15,518 | |||||||||||||||||
May 4, 2013 | |||||||||||||||||||||||||
Quoted Prices in | Significant Other | Significant | Total Fair Value | ||||||||||||||||||||||
Active Markets for | Observable Inputs | Unobservable | |||||||||||||||||||||||
Identical Assets and | (Level 2) | Inputs | |||||||||||||||||||||||
Liabilities | (Level 3) | ||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Money market funds | $ | 25,025 | $ | — | $ | — | $ | 25,025 | |||||||||||||||||
Interest rate caps | — | 508 | — | 508 | |||||||||||||||||||||
Total | $ | 25,025 | $ | 508 | $ | — | $ | 25,533 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Forward foreign exchange contracts | $ | — | $ | 22 | $ | — | $ | 22 | |||||||||||||||||
Our cash equivalents, which are primarily placed in money market funds, are valued at their original purchase prices plus interest that has accrued at the stated rate. | |||||||||||||||||||||||||
The fair value of our interest rate caps was determined using the market standard methodology of netting the discounted future fixed cash receipts (or payments) and the discounted expected variable cash payments (or receipts). The variable cash payments (or receipts) were based on the expectation of future interest rates (forward curves) derived from observed market interest rate curves. In addition, credit valuation adjustments, which consider the impact of any credit enhancements to the contracts, were incorporated in the fair values to account for potential nonperformance risk. In adjusting the fair value of these contracts for the effect of nonperformance risk, we have considered any applicable credit enhancements such as collateral postings, thresholds, mutual puts, and guarantees. | |||||||||||||||||||||||||
Although we have determined that the majority of the inputs used to value our interest rate caps fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with these derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by us and our counterparties. However, as of May 3, 2014, February 1, 2014, and May 4, 2013, we assessed the significance of the impact of the credit valuation adjustments on the overall valuation of our interest rate cap positions and determined that the credit valuation adjustment was not significant to the overall valuation. As a result, we classified our interest rate caps derivative valuations in Level 2 of the fair value hierarchy. | |||||||||||||||||||||||||
The fair value of our forward foreign exchange contracts was determined using the market approach and Level 2 inputs. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets and liabilities. | |||||||||||||||||||||||||
The carrying value of cash and cash equivalents, receivables and payables balances approximate their estimated fair values due to the short maturities of these instruments. We estimate the fair value of our long-term debt using current market yields of similar debt. These current market yields are considered Level 2 inputs. The estimated fair value of long-term debt is as follows (in thousands): | |||||||||||||||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||||||||||||||
Carrying Amount | Fair Value | Carrying Amount | Fair Value | Carrying Amount | Fair Value | ||||||||||||||||||||
Term loan | $ | 767,817 | $ | 619,127 | $ | 767,742 | $ | 692,192 | $ | 767,524 | $ | 752,174 | |||||||||||||
Notes | 346,000 | 221,440 | 346,000 | 308,805 | 371,000 | 365,435 | |||||||||||||||||||
$ | 1,113,817 | $ | 840,567 | $ | 1,113,742 | $ | 1,000,997 | $ | 1,138,524 | $ | 1,117,609 | ||||||||||||||
We had no other financial assets or liabilities measured at fair value as of May 3, 2014, February 1, 2014, and May 4, 2013. | |||||||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis | |||||||||||||||||||||||||
Our non-financial assets, which primarily consist of goodwill, other intangible assets and property and equipment, are not required to be measured at fair value on a recurring basis and are reported at carrying value. However, on a periodic basis whenever events or changes in circumstances indicate that their carrying value may not be fully recoverable (and at least annually for goodwill and indefinite-lived intangible assets), non-financial assets are assessed for impairment and, if applicable, written-down to and recorded at fair value, considering external market participant assumptions. We recorded no impairment charges in the first quarter of fiscal 2014 and 2013. |
Line_of_Credit
Line of Credit | 3 Months Ended |
3-May-14 | |
Line of Credit | ' |
6. Line of Credit | |
We have a senior secured asset-based revolving credit facility (“ABL”) that provides financing of up to $225 million, subject to a borrowing base. Availability under the ABL is subject to the assets of the Company, any subsidiary co-borrowers and any subsidiary guarantors that are available to collateralize the borrowings thereunder, and is reduced by the level of outstanding letters of credit. As of May 3, 2014, there was $32.6 million of commercial and standby letters of credit outstanding and $10.0 million of borrowings outstanding. | |
As of May 3, 2014, availability under the ABL was approximately $118.0 million. Average borrowings for the first quarter of fiscal 2014 and for the year ended February 1, 2014 under the ABL amounted to $9.7 million and $4.3 million, respectively. There were no borrowings during the first quarter of fiscal 2013. | |
The ABL provides us the right to request up to $125 million of additional commitments under this facility (or, if less, the amount permitted under the Term Loan described in Note 7), subject to the satisfaction of certain conditions. Principal amounts outstanding under the ABL are due and payable in full in March 2017. Borrowings under the ABL bear interest at a rate per annum equal to, at our option, either (a) a base rate determined by reference to the highest of (1) the prime rate of Bank of America, N.A., (2) the federal funds effective rate plus 0.50%, and (3) a LIBOR rate determined by reference to the costs of funds for U.S. dollar deposits for an interest period of one month adjusted for certain additional costs, plus 1.00%, or (b) a LIBOR rate determined by reference to the costs of funds for U.S. dollar deposits for the interest period relevant to such borrowing adjusted for certain additional costs (“Adjusted LIBOR”), in each case plus an applicable margin. In addition to paying interest on outstanding principal under the ABL, we are required to pay a commitment fee on unutilized commitments thereunder, which is 0.375% per annum under the amended ABL. | |
If at any time the aggregate amount of outstanding loans, unreimbursed letter of credit drawings and undrawn letters of credit under the ABL exceeds the lesser of (a) the commitment amount and (b) the borrowing base, we will be required to repay outstanding loans and/or cash collateralize letters of credit in an aggregate amount equal to such excess, with no reduction of the commitment amount. The ABL contains financial and other covenants that, among other things, restrict our ability to incur additional indebtedness and pay dividends. As of May 3, 2014, we were in compliance with these covenants. The obligations under the ABL are secured, subject to certain exceptions, by substantially all of our assets. Our 100%-owned domestic subsidiaries have fully and unconditionally guaranteed our obligations under the ABL. |
LongTerm_Debt
Long-Term Debt | 3 Months Ended | ||||||||||||
3-May-14 | |||||||||||||
Long-Term Debt | ' | ||||||||||||
7. Long-Term Debt | |||||||||||||
Long-term debt consists of (in thousands): | |||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||
Senior secured term loan facility, net of discount of $1,285, $1,360, and $1,578 | $ | 767,817 | $ | 767,742 | $ | 767,524 | |||||||
9.125% senior notes | 346,000 | 346,000 | 371,000 | ||||||||||
Long-term debt | $ | 1,113,817 | $ | 1,113,742 | $ | 1,138,524 | |||||||
Term Loan | |||||||||||||
We have an agreement with several lenders for an $820 million senior secured Term Loan, with a maturity date of February 2018. The Term Loan allows us to request additional tranches of term loans in an aggregate amount not to exceed $200 million, subject to the satisfaction of certain conditions, provided that such amount will be subject to reduction by the amount of any additional commitments incurred under the ABL described in Note 6. The interest rate for borrowings under the Term Loan is, at our option, a base rate plus an additional marginal rate of 2.5% or the Adjusted LIBOR rate (with a 1.5% floor) plus an additional rate of 3.5%. As of May 3, 2014, the interest rate under our Term Loan was 5%. | |||||||||||||
The Term Loan requires us to make quarterly payments equal to 0.25% of the original $820 million principal amount of the Term Loan made on the closing date plus accrued and unpaid interest thereon, with the balance due in February 2018. The Term Loan also has mandatory and voluntary pre-payment provisions, including a requirement that we prepay the Term Loan with a certain percentage of our annual excess cash flow. We calculated our excess cash flow using fiscal 2013 operating results and concluded that we are not required to make any excess cash flow payments on the Term Loan during fiscal 2014. Our next quarterly payment payable under the Term Loan is due in the first quarter of fiscal 2017. | |||||||||||||
The obligations under the Term Loan are secured, subject to certain exceptions, by substantially all of our assets and those of our 100%-owned domestic subsidiaries. Our 100%-owned domestic subsidiaries also have fully and unconditionally guaranteed the Company’s obligations under the Term Loan. | |||||||||||||
Notes | |||||||||||||
In fiscal 2010, we issued $400 million aggregate principal amount of 9.125% senior notes due in December 2018 (the “Notes”). Interest on the Notes is payable semi-annually. If the Company or our subsidiaries sell certain assets, we generally must either invest the net cash proceeds from such sale in our business within a certain period of time, use the proceeds to prepay senior secured debt, or make an offer to purchase a principal amount of the Notes equal to the excess net cash proceeds at a redemption price equal to 100% of the principal amount of the Notes redeemed plus accrued and unpaid interest. Upon a change in control, we may also be required to make an offer to purchase all of the Notes at a redemption price equal to 101% of the principal amount of the Notes redeemed plus accrued and unpaid interest. The Notes also contain optional redemption provisions, but subject to certain exceptions, we will not be entitled to redeem the Notes at our option prior to December 1, 2014. The Notes are unsecured senior obligations of The Gymboree Corporation. The Company’s 100%-owned domestic subsidiaries have fully and unconditionally guaranteed the Company’s obligations under the Notes (see Note 17). The guarantees of the Notes are joint and several and will terminate upon the following circumstances: (A) the sale, exchange, disposition or transfer (by merger or otherwise) of (x) the capital stock of the guarantor providing the applicable guarantee, if after such sale, exchange, disposition or transfer such guarantor is no longer a subsidiary of The Gymboree Corporation, or (y) all or substantially all of the assets of such guarantor, (B) the release or discharge of the guarantee by such guarantor of the other indebtedness which resulted in the creation of the subsidiary guarantee by such guarantor under the Indenture, (C) the designation of such guarantor as an “unrestricted subsidiary” under the Indenture or (D) the legal defeasance, covenant defeasance or satisfaction and discharge of the Indenture, in each such case specified in clauses (A) through (D) above in accordance with the requirements therefore set forth in the Indenture. | |||||||||||||
Interest expense was $20.4 million for the first quarter of fiscal 2014 and 2013, including $1.8 million and $1.7 million, respectively, of amortization of deferred financing costs and accretion of original issue discount (“OID”). Accretion of OID was not material for the first quarter of fiscal 2014 or 2013. | |||||||||||||
Future minimum principal payments on long-term debt, excluding OID of $1.3 million, as of May 3, 2014, are as follows (in thousands): | |||||||||||||
Fiscal years | Principal Payments | ||||||||||||
2014 | $ | — | |||||||||||
2015 | — | ||||||||||||
2016 | — | ||||||||||||
2017 | 6,502 | ||||||||||||
2018 | 1,108,600 | ||||||||||||
Total | $ | 1,115,102 | |||||||||||
Deferred Financing Costs | |||||||||||||
Deferred financing costs allocated to the Term Loan and Notes are amortized over the term of the related financing agreements using the effective interest method. Deferred financing costs allocated to the ABL are amortized on a straight-line basis over 6.4 years. The weighted-average remaining amortization period is 4.0 years. Amortization of deferred financing costs is recorded in interest expense and was $1.7 million and $1.6 million for the first quarter of fiscal 2014 and 2013, respectively. | |||||||||||||
Estimated amortization expense is as follows (in thousands): | |||||||||||||
Fiscal | |||||||||||||
2014 (remaining 39 weeks) | $ | 5,132 | |||||||||||
2015 | 7,269 | ||||||||||||
2016 | 7,741 | ||||||||||||
2017 | 7,269 | ||||||||||||
2018 | 3,343 | ||||||||||||
Total | $ | 30,754 | |||||||||||
Lease_Incentives_and_Other_Lia
Lease Incentives and Other Liabilities | 3 Months Ended | ||||||||||||
3-May-14 | |||||||||||||
Lease Incentives and Other Liabilities | ' | ||||||||||||
8. Lease Incentives and Other Liabilities | |||||||||||||
Lease incentives and other liabilities consist of the following (in thousands): | |||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||
Above market leases | $ | 6,123 | $ | 6,632 | $ | 8,571 | |||||||
Deferred rent | 16,606 | 15,583 | 12,434 | ||||||||||
Lease allowances | 25,228 | 24,673 | 20,887 | ||||||||||
Other | 2,577 | 3,544 | 1,540 | ||||||||||
Total | $ | 50,534 | $ | 50,432 | $ | 43,432 | |||||||
ShareBased_Compensation
Share-Based Compensation | 3 Months Ended |
3-May-14 | |
Share-Based Compensation | ' |
9. Share-Based Compensation | |
Share-based compensation expense included as a component of SG&A expenses was $1.3 million and $1.5 million during the first quarter of fiscal 2014 and 2013, respectively. We include an estimate of forfeitures in determining share-based compensation expense. |
Dividend_Payment_to_Parent
Dividend Payment to Parent | 3 Months Ended |
3-May-14 | |
Dividend Payment to Parent | ' |
10. Dividend Payment to Parent | |
During the first quarter of fiscal 2013, we distributed $0.2 million, in the form of a dividend to Parent, which was used by Parent’s shareholders to repurchase shares. Total equity investments received by the VIE as capital contributions from affiliate of Parent during the first quarter of fiscal 2013, was $1.0 million. |
Income_Taxes
Income Taxes | 3 Months Ended |
3-May-14 | |
Income Taxes | ' |
11. Income Taxes | |
As of May 3, 2014, February 1, 2014 and May 4, 2013, unrecognized tax benefits were $6.6 million, $6.6 million and $9.8 million, respectively. We believe it is reasonably possible that the total amount of unrecognized tax benefits of $6.6 million as of May 3, 2014 will decrease by as much as $2.0 million during the next twelve months due to the resolution of certain tax contingencies and lapses of applicable statutes of limitations. | |
As of May 3, 2014, February 1, 2014 and May 4, 2013, the total valuation allowance against deferred tax assets was $35.5 million, $31.9 million and $4.6 million, respectively. We establish a valuation allowance when it is “more likely than not” that all or a portion of deferred tax assets will not be realized. We consider all available positive and negative evidence in evaluating whether a valuation allowance is required, including prior earnings history, actual earnings over the previous 12 quarters on a cumulative basis, carryback and carryforward periods, and tax planning strategies that could potentially enhance the likelihood of realization of a deferred tax asset. We continue to have a valuation allowance against all net deferred tax assets in US federal and unitary state jurisdictions, excluding indefinite lived deferred tax liabilities, and against the tax benefit on losses from our VIE’s. We intend to maintain a valuation allowance until sufficient positive evidence exists to support its reversal. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss | 3 Months Ended | ||||||||||||
3-May-14 | |||||||||||||
Accumulated Other Comprehensive Loss | ' | ||||||||||||
12. Accumulated Other Comprehensive Loss | |||||||||||||
The following table shows the components of accumulated other comprehensive income (loss) (“OCI”), net of tax for the periods ended (in thousands): | |||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||
Foreign currency translation | $ | 701 | $ | 623 | $ | 748 | |||||||
Accumulated changes in fair value of derivative financial instruments, net of tax benefit of $3,982, $3,982 and $4,047 | (5,481 | ) | (5,503 | ) | (6,831 | ) | |||||||
Total accumulated other comprehensive loss | $ | (4,780 | ) | $ | (4,880 | ) | $ | (6,083 | ) | ||||
Changes in accumulated OCI balance by component were as follows for the periods ended (in thousands): | |||||||||||||
13 Weeks Ended May 3, 2014 | |||||||||||||
Derivatives | Foreign Currency | Total Accumulated | |||||||||||
Comprehensive (Loss) | |||||||||||||
Income Including | |||||||||||||
Noncontrolling Interest | |||||||||||||
Beginning balance | $ | (5,503 | ) | $ | 623 | $ | (4,880 | ) | |||||
Other comprehensive loss recognized before reclassifications | (217 | ) | (397 | ) | (614 | ) | |||||||
Amounts reclassified from accumulated other comprehensive loss to earnings | 239 | — | 239 | ||||||||||
Net current-period other comprehensive income (loss) | 22 | (397 | ) | (375 | ) | ||||||||
Other comprehensive loss attributable to noncontrolling interest | — | 475 | 475 | ||||||||||
Ending balance | $ | (5,481 | ) | $ | 701 | $ | (4,780 | ) | |||||
Year Ended February 1, 2014 | |||||||||||||
Derivatives | Foreign Currency | Total Accumulated | |||||||||||
Comprehensive (Loss) | |||||||||||||
Income Including | |||||||||||||
Noncontrolling Interest | |||||||||||||
Beginning balance | $ | (6,722 | ) | $ | 808 | $ | (5,914 | ) | |||||
Other comprehensive income recognized before reclassifications | 350 | 26 | 376 | ||||||||||
Amounts reclassified from accumulated other comprehensive loss to earnings | 869 | — | 869 | ||||||||||
Net current-period other comprehensive income | 1,219 | 26 | 1,245 | ||||||||||
Other comprehensive income attributable to noncontrolling interest | — | (211 | ) | (211 | ) | ||||||||
Ending balance | $ | (5,503 | ) | $ | 623 | $ | (4,880 | ) | |||||
13 Weeks Ended May 4, 2013 | |||||||||||||
Derivatives | Foreign Currency | Total Accumulated | |||||||||||
Comprehensive (Loss) | |||||||||||||
Income Including | |||||||||||||
Noncontrolling Interest | |||||||||||||
Beginning balance | $ | (6,722 | ) | $ | 808 | $ | (5,914 | ) | |||||
Other comprehensive loss recognized before reclassifications | (363 | ) | (21 | ) | (384 | ) | |||||||
Amounts reclassified from accumulated other comprehensive loss to earnings | 189 | — | 189 | ||||||||||
Tax benefit | 65 | — | 65 | ||||||||||
Net current-period other comprehensive loss | (109 | ) | (21 | ) | (130 | ) | |||||||
Other comprehensive income attributable to noncontrolling interest | — | (39 | ) | (39 | ) | ||||||||
Ending balance | $ | (6,831 | ) | $ | 748 | $ | (6,083 | ) | |||||
Related_Party_Transactions
Related Party Transactions | 3 Months Ended |
3-May-14 | |
Related Party Transactions | ' |
13. Related Party Transactions | |
Related Party Transactions – Excluding VIE | |
We paid Bain Capital approximately $0.8 million and $0.9 million in management fees and reimbursement of out-of-pocket expenses for the first quarter of fiscal 2014 and 2013, respectively. As of May 3, 2014, February 1, 2014 and May 4, 2013, we had a balance of $0.1 million, $0.4 million and $0.3 million, respectively, payable to Bain Capital. | |
During the first quarter of fiscal 2014 and 2013, we purchased services from LogicSource, a company owned by funds associated with Bain Capital for $0.6 million and $0.6 million, respectively. During the first quarter of 2013, we sold inventory to Burlington Coat Factory, a company owned by funds associated with Bain Capital for $0.8 million. As of May 3, 2014, February 1, 2014 and May 4, 2013, we had a receivable balance of $0, $1.0 million and $0.4 million, respectively, from Burlington Coat Factory. As of May 3, 2014, February 1, 2014 and May 4, 2013, we had a payable balance of $0.2 million, $0.2 million and $0.3 million, respectively, to LogicSource. | |
As of May 3, 2014 and February 1, 2014, we had a balance of $0.8 million receivable from our indirect parent, Giraffe Holding, Inc., related to income taxes. We did not have a receivable balance with Giraffe Holding, Inc. as of May 4, 2013. | |
In April 2014, Gymboree Play Programs, Inc. (“GPPI”), a wholly owned subsidiary of the Company, entered into a 10-year master franchise agreement with Gymboree Tianjin, an affiliate of the Company and indirect subsidiary of Gymboree Holding, Ltd. Effective April 2014, Gymboree Tianjin became the master franchisor of Play & Music centers in the People’s Republic of China (“PRC”) Territory, with the rights to operate primary Play & Music centers, award and service unit franchises in the PRC. GPPI will receive a percentage of royalties and franchise fees earned by Gymboree Tianjin. Intercompany revenues and expenses have been eliminated upon consolidation. | |
Related Party Transactions –VIE | |
As of May 3, 2014, February 1, 2014 and May 4, 2013, our VIE had a balance of $1.1 million, payable to its indirect parent, Gymboree Investment Holding GP. Ltd., related to funds used to pay operating costs of the VIE. As of May 3, 2014, February 1, 2014 and May 4, 2013, our VIE had a balance of $0.4 million, payable to its direct parent, Gymboree Hong Kong Limited, related to funds used to pay operating costs of the VIE. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
3-May-14 | |
Commitments and Contingencies | ' |
14. Commitments and Contingencies | |
Commitments | |
There have been no significant changes to our contractual obligations and commercial commitments as disclosed in our Annual Report on Form 10-K as of February 1, 2014, other than those which occur in the normal course of business. | |
Contingencies | |
From time to time, we are subject to various legal actions arising in the ordinary course of our business. Many of these legal actions raise complex factual and legal issues, which are subject to uncertainties. We cannot predict with reasonable assurance the outcome of these legal actions brought against us. Accordingly, any settlements or resolutions in these legal actions may occur and affect our net income in the quarter of such settlement or resolution. However, we do not believe that the outcome of any legal actions would have a material effect on our condensed consolidated financial statements taken as a whole. |
Segment_Information
Segment Information | 3 Months Ended | ||||||||||||||||||||||||
3-May-14 | |||||||||||||||||||||||||
Segment Information | ' | ||||||||||||||||||||||||
15. Segment Information | |||||||||||||||||||||||||
We have four reportable segments: retail (including online stores), Gymboree Play & Music, International Retail Franchise, and one reportable segment related to the activities of our consolidated VIEs. These reportable segments were identified based on how our business is managed and evaluated by our chief operating decision maker. The retail stores segment includes four operating segments (brands), which sell high-quality apparel for children: Gymboree Retail (including an online store), Gymboree Outlet, Janie and Jack (including an online store), and Crazy 8 (including an online store). These four operating segments have been aggregated into one reportable segment because these operating segments have similar historical economic characteristics and/or are expected to have similar economic characteristics and similar long-term financial performance in the future. Gross margin is the principal measure we consider in determining whether the economic characteristics are similar. In addition, each operating segment has similar products, production processes and type or class of customer. We believe that disaggregating our operating segments would not provide material additional information. Corporate overhead (costs related to our distribution center and shared corporate services) is included in the retail stores segment. | |||||||||||||||||||||||||
Summary financial data of each reportable segment were as follows for the periods ended (in thousands): | |||||||||||||||||||||||||
13 Weeks Ended May 3, 2014 | |||||||||||||||||||||||||
Retail | Gymboree | International Retail | VIEs | Intersegment | Total | ||||||||||||||||||||
Stores | Play & Music | Franchise | Elimination | ||||||||||||||||||||||
Net sales | $ | 257,928 | $ | 5,049 | $ | 6,167 | $ | 5,404 | $ | (2,538 | ) | $ | 272,010 | ||||||||||||
Operating income (loss) | $ | 291 | $ | 4,383 | $ | 3,072 | $ | (1,691 | ) | $ | 13 | $ | 6,068 | ||||||||||||
Total assets | $ | 1,705,817 | $ | 60,229 | $ | 30,102 | $ | 21,804 | $ | (2,231 | ) | $ | 1,815,721 | ||||||||||||
13 Weeks Ended May 4, 2013 | |||||||||||||||||||||||||
Retail | Gymboree | International Retail | VIEs | Intersegment | Total | ||||||||||||||||||||
Stores | Play & Music | Franchise | Elimination | ||||||||||||||||||||||
Net sales | $ | 279,804 | $ | 3,991 | $ | 5,685 | $ | 4,634 | $ | (1,331 | ) | $ | 292,783 | ||||||||||||
Operating income (loss) | $ | 12,813 | $ | 2,010 | $ | 2,244 | $ | (242 | ) | $ | 19 | $ | 16,844 | ||||||||||||
Total assets | $ | 1,921,518 | $ | 64,511 | $ | 29,429 | $ | 15,781 | $ | (5,355 | ) | $ | 2,025,884 | ||||||||||||
Interest expense, depreciation and amortization expense and capital expenditures have not been separately disclosed above as the amounts primarily relate to the retail segment. The Gymboree Play & Music, Retail Franchise and VIE reportable segments recorded intersegment revenues of $2.4 million, $0.1 million and $0, respectively, for the first quarter of 2014, and $1.2 million, $0.1 million and $0, respectively, for the first quarter of 2013. | |||||||||||||||||||||||||
We attribute retail store revenues to individual countries based on the selling location. For Gymboree International Retail Franchise, all sales are attributed to the United States geographic segment. | |||||||||||||||||||||||||
VIE Play & Music franchise sales are attributable to the international geographic segment and all other Gymboree Play & Music sales are attributable to the U.S. geographic segment (see Note 16). | |||||||||||||||||||||||||
Long-lived assets include net property and equipment. Summary financial data of each of our two geographical segments, United States and international were as follows for the fiscal quarters ended (in thousands): | |||||||||||||||||||||||||
May 3, 2014 | |||||||||||||||||||||||||
United States | International | ||||||||||||||||||||||||
Net sales | $ | 257,328 | $ | 14,682 | |||||||||||||||||||||
Long-lived assets | $ | 193,459 | $ | 10,017 | |||||||||||||||||||||
4-May-13 | |||||||||||||||||||||||||
United States | International | ||||||||||||||||||||||||
Net sales | $ | 277,229 | $ | 15,554 | |||||||||||||||||||||
Long-lived assets | $ | 196,227 | $ | 9,758 |
Variable_Interest_Entities
Variable Interest Entities | 3 Months Ended | ||||||||||||||||
3-May-14 | |||||||||||||||||
Variable Interest Entities | ' | ||||||||||||||||
16. Variable Interest Entities | |||||||||||||||||
Gymboree China, Gymboree Tianjin and the Company are indirectly controlled by Gymboree Holding, Ltd. and investment funds sponsored by Bain Capital. Gymboree China and Gymboree Tianjin have been determined to be variable interest entities, and we (as well as our 100%-owned subsidiaries) are a member of a related party group that controls the VIEs and absorbs the economics of the VIEs. Based on our relationship with the VIEs, we determined that we are most closely associated with the VIEs, and therefore, consolidate them as the primary beneficiary. However, as we have a 0% ownership interest in the VIEs, 100% of the results of operations of the VIEs are recorded as noncontrolling interest. The assets of the VIEs cannot be used by us. The liabilities of the VIEs are comprised mainly of short-term accrued expenses, and their creditors have no recourse to our general credit or assets. | |||||||||||||||||
The following tables reflect the impact of the VIEs on the condensed consolidated balance sheets as of May 3, 2014, February 1, 2014 and May 4, 2013 and the condensed consolidated statements of operations for the first quarter of 2014 and 2013 (in thousands): | |||||||||||||||||
Condensed Consolidating Balance Sheets | |||||||||||||||||
May 3, 2014 | |||||||||||||||||
Balance Before | VIEs | Eliminations | As | ||||||||||||||
Consolidation | Reported | ||||||||||||||||
of VIEs | |||||||||||||||||
Cash and cash equivalents | $ | 13,073 | $ | 11,700 | $ | — | $ | 24,773 | |||||||||
Other current assets | 225,247 | 5,634 | (2,231 | ) | 228,650 | ||||||||||||
Total current assets | 238,320 | 17,334 | (2,231 | ) | 253,423 | ||||||||||||
Non-current assets | 1,557,828 | 4,470 | — | 1,562,298 | |||||||||||||
Total assets | $ | 1,796,148 | $ | 21,804 | $ | (2,231 | ) | $ | 1,815,721 | ||||||||
Current liabilities | $ | 185,467 | $ | 8,131 | $ | (2,090 | ) | $ | 191,508 | ||||||||
Non-current liabilities | 1,388,802 | 354 | — | 1,389,156 | |||||||||||||
Total liabilities | 1,574,269 | 8,485 | (2,090 | ) | 1,580,664 | ||||||||||||
Total stockholders’ equity | 221,879 | — | (141 | ) | 221,738 | ||||||||||||
Noncontrolling interest | — | 13,319 | — | 13,319 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 1,796,148 | $ | 21,804 | $ | (2,231 | ) | $ | 1,815,721 | ||||||||
February 1, 2014 | |||||||||||||||||
Balance Before | VIEs | Eliminations | As | ||||||||||||||
Consolidation | Reported | ||||||||||||||||
of VIEs | |||||||||||||||||
Cash and cash equivalents | $ | 25,635 | $ | 13,794 | $ | — | $ | 39,429 | |||||||||
Other current assets | 228,129 | 4,970 | (1,488 | ) | 231,611 | ||||||||||||
Total current assets | 253,764 | 18,764 | (1,488 | ) | 271,040 | ||||||||||||
Non-current assets | 1,564,620 | 4,444 | — | 1,569,064 | |||||||||||||
Total assets | $ | 1,818,384 | $ | 23,208 | $ | (1,488 | ) | $ | 1,840,104 | ||||||||
Current liabilities | $ | 196,631 | $ | 7,490 | $ | (1,356 | ) | $ | 202,765 | ||||||||
Non-current liabilities | 1,387,828 | 370 | (1 | ) | 1,388,197 | ||||||||||||
Total liabilities | 1,584,459 | 7,860 | (1,357 | ) | 1,590,962 | ||||||||||||
Total stockholders’ equity | 233,925 | — | (131 | ) | 233,794 | ||||||||||||
Noncontrolling interest | — | 15,348 | — | 15,348 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 1,818,384 | $ | 23,208 | $ | (1,488 | ) | $ | 1,840,104 | ||||||||
May 4, 2013 | |||||||||||||||||
Balance Before | VIEs | Eliminations | As | ||||||||||||||
Consolidation | Reported | ||||||||||||||||
of VIEs | |||||||||||||||||
Cash and cash equivalents | $ | 35,319 | $ | 7,827 | $ | — | $ | 43,146 | |||||||||
Other current assets | 253,503 | 5,304 | (5,355 | ) | 253,452 | ||||||||||||
Total current assets | 288,822 | 13,131 | (5,355 | ) | 296,598 | ||||||||||||
Non-current assets | 1,726,636 | 2,650 | — | 1,729,286 | |||||||||||||
Total assets | $ | 2,015,458 | $ | 15,781 | $ | (5,355 | ) | $ | 2,025,884 | ||||||||
Current liabilities | $ | 157,669 | $ | 12,321 | $ | (5,142 | ) | $ | 164,848 | ||||||||
Non-current liabilities | 1,421,443 | 188 | — | 1,421,631 | |||||||||||||
Total liabilities | 1,579,112 | 12,509 | (5,142 | ) | 1,586,479 | ||||||||||||
Total stockholders’ equity | 436,346 | — | (213 | ) | 436,133 | ||||||||||||
Noncontrolling interest | — | 3,272 | — | 3,272 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 2,015,458 | $ | 15,781 | $ | (5,355 | ) | $ | 2,025,884 | ||||||||
Condensed Consolidating Statements of Operations | |||||||||||||||||
For the 13 Weeks Ended May 3, 2014 | |||||||||||||||||
Balance Before | VIEs | Eliminations | As | ||||||||||||||
Consolidation | Reported | ||||||||||||||||
of VIEs | |||||||||||||||||
Net sales | $ | 269,144 | $ | 5,404 | $ | (2,538 | ) | $ | 272,010 | ||||||||
Cost of goods sold | (162,438 | ) | (1,302 | ) | 88 | (163,652 | ) | ||||||||||
Operating expenses | (98,960 | ) | (5,793 | ) | 2,463 | (102,290 | ) | ||||||||||
Operating income (loss) | 7,746 | (1,691 | ) | 13 | 6,068 | ||||||||||||
Other non-operating expense | (20,591 | ) | (104 | ) | — | (20,695 | ) | ||||||||||
Loss before income taxes | (12,845 | ) | (1,795 | ) | 13 | (14,627 | ) | ||||||||||
Income tax (expense) benefit | (599 | ) | 223 | — | (376 | ) | |||||||||||
Net loss | (13,444 | ) | (1,572 | ) | 13 | (15,003 | ) | ||||||||||
Net loss attributable to noncontrolling interest | — | 1,572 | — | 1,572 | |||||||||||||
Net loss attributable to The Gymboree Corporation | $ | (13,444 | ) | $ | — | $ | 13 | $ | (13,431 | ) | |||||||
For the 13 Weeks Ended May 4, 2013 | |||||||||||||||||
Balance Before | VIEs | Eliminations | As | ||||||||||||||
Consolidation | Reported | ||||||||||||||||
of VIEs | |||||||||||||||||
Net sales | $ | 289,480 | $ | 4,634 | $ | (1,331 | ) | $ | 292,783 | ||||||||
Cost of goods sold | (170,782 | ) | (1,230 | ) | 202 | (171,810 | ) | ||||||||||
Operating expenses | (101,631 | ) | (3,646 | ) | 1,148 | (104,129 | ) | ||||||||||
Operating income (loss) | 17,067 | (242 | ) | 19 | 16,844 | ||||||||||||
Other non-operating (expense) income | (20,483 | ) | 131 | — | (20,352 | ) | |||||||||||
Loss before income taxes | (3,416 | ) | (111 | ) | 19 | (3,508 | ) | ||||||||||
Income tax benefit (expense) | 861 | (201 | ) | — | 660 | ||||||||||||
Net loss | (2,555 | ) | (312 | ) | 19 | (2,848 | ) | ||||||||||
Net loss attributable to noncontrolling interest | — | 312 | — | 312 | |||||||||||||
Net loss attributable to The Gymboree Corporation | $ | (2,555 | ) | $ | — | $ | 19 | $ | (2,536 | ) | |||||||
Condensed_Guarantor_Data
Condensed Guarantor Data | 3 Months Ended | ||||||||||||||||||||
3-May-14 | |||||||||||||||||||||
Condensed Guarantor Data | ' | ||||||||||||||||||||
17. Condensed Guarantor Data | |||||||||||||||||||||
The Company’s 100%-owned domestic subsidiaries have fully and unconditionally guaranteed the Notes, subject to the customary automatic release provisions described above (see Note 7). The following condensed consolidating financial information presents the financial position, results of operations, comprehensive income (loss) and cash flows of The Gymboree Corporation and the guarantor and non-guarantor subsidiaries. The VIEs financial results are included in those of the non-guarantor subsidiaries. Intercompany transactions are eliminated. | |||||||||||||||||||||
Effective during the first quarter of fiscal 2014, our Canadian subsidiary, which is part of the non-guarantor subsidiaries, issued common shares to The Gymboree Corporation valued at $18.5 million. No cash was exchanged since we immediately net settled $15.3 million and $3.2 million of intercompany liabilities payable to The Gymboree Corporation related to business operations and to our Advanced Pricing Agreement, respectively. The $18.5 million is a non-cash investing and financing activity on our condensed consolidating statements of cash flows. | |||||||||||||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEETS | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
As of May 3, 2014 | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
ASSETS | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 1,978 | $ | 5,507 | $ | 17,288 | $ | — | $ | 24,773 | |||||||||||
Accounts receivable, net of allowance | 1,285 | 19,238 | 1,871 | — | 22,394 | ||||||||||||||||
Merchandise inventories | — | 164,920 | 5,960 | (469 | ) | 170,411 | |||||||||||||||
Prepaid income taxes | 1,936 | 395 | 655 | — | 2,986 | ||||||||||||||||
Prepaid expenses | 3,396 | 13,953 | 1,274 | — | 18,623 | ||||||||||||||||
Deferred income taxes | 378 | 13,255 | 724 | (121 | ) | 14,236 | |||||||||||||||
Intercompany receivable | — | 565,262 | — | (565,262 | ) | — | |||||||||||||||
Total current assets | 8,973 | 782,530 | 27,772 | (565,852 | ) | 253,423 | |||||||||||||||
Property and equipment, net | 12,526 | 180,663 | 10,287 | — | 203,476 | ||||||||||||||||
Goodwill | — | 721,844 | 36,933 | — | 758,777 | ||||||||||||||||
Other intangible assets, net | — | 558,320 | 683 | — | 559,003 | ||||||||||||||||
Deferred financing costs | 30,754 | — | — | — | 30,754 | ||||||||||||||||
Other assets | 12,677 | 1,961 | 9,908 | (14,258 | ) | 10,288 | |||||||||||||||
Investment in subsidiaries | 1,891,827 | — | — | (1,891,827 | ) | — | |||||||||||||||
Total assets | $ | 1,956,757 | $ | 2,245,318 | $ | 85,583 | $ | (2,471,937 | ) | $ | 1,815,721 | ||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable | $ | 6,366 | $ | 65,976 | $ | 1,003 | $ | — | $ | 73,345 | |||||||||||
Accrued liabilities | 38,439 | 62,400 | 6,809 | — | 107,648 | ||||||||||||||||
Deferred income taxes | — | — | 121 | (121 | ) | — | |||||||||||||||
Line of credit | 10,000 | — | — | — | 10,000 | ||||||||||||||||
Current obligation under capital lease | — | 515 | — | — | 515 | ||||||||||||||||
Intercompany payable | 562,899 | — | 2,832 | (565,731 | ) | — | |||||||||||||||
Total current liabilities | 617,704 | 128,891 | 10,765 | (565,852 | ) | 191,508 | |||||||||||||||
Long-term liabilities: | |||||||||||||||||||||
Long-term debt | 1,113,817 | — | — | — | 1,113,817 | ||||||||||||||||
Long-term obligation under capital lease | — | 3,269 | — | — | 3,269 | ||||||||||||||||
Lease incentives and other liabilities | 3,498 | 48,174 | 5,166 | — | 56,838 | ||||||||||||||||
Deferred income taxes | — | 229,490 | — | (14,258 | ) | 215,232 | |||||||||||||||
Total liabilities | 1,735,019 | 409,824 | 15,931 | (580,110 | ) | 1,580,664 | |||||||||||||||
Total stockholders’ equity | 221,738 | 1,835,494 | 56,333 | (1,891,827 | ) | 221,738 | |||||||||||||||
Noncontrolling interest | — | — | 13,319 | — | 13,319 | ||||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,956,757 | $ | 2,245,318 | $ | 85,583 | $ | (2,471,937 | ) | $ | 1,815,721 | ||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEETS | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
As of February 1, 2014 | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
ASSETS | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 15,479 | $ | 4,659 | $ | 19,291 | $ | — | $ | 39,429 | |||||||||||
Accounts receivable, net of allowance | 1,237 | 18,634 | 2,011 | — | 21,882 | ||||||||||||||||
Merchandise inventories | — | 170,126 | 5,823 | (454 | ) | 175,495 | |||||||||||||||
Prepaid income taxes | 1,659 | 284 | 36 | — | 1,979 | ||||||||||||||||
Prepaid expenses | 3,538 | 14,095 | 1,168 | — | 18,801 | ||||||||||||||||
Deferred income taxes | — | 13,303 | 918 | (767 | ) | 13,454 | |||||||||||||||
Intercompany receivable | — | 559,280 | — | (559,280 | ) | — | |||||||||||||||
Total current assets | 21,913 | 780,381 | 29,247 | (560,501 | ) | 271,040 | |||||||||||||||
Property and equipment, net | 14,288 | 182,421 | 9,599 | — | 206,308 | ||||||||||||||||
Goodwill | — | 721,844 | 36,933 | — | 758,777 | ||||||||||||||||
Other intangible assets, net | — | 558,962 | 862 | — | 559,824 | ||||||||||||||||
Deferred financing costs | 32,455 | — | — | — | 32,455 | ||||||||||||||||
Other assets | 15,139 | 2,340 | 10,920 | (16,699 | ) | 11,700 | |||||||||||||||
Investment in subsidiaries | 1,870,800 | — | — | (1,870,800 | ) | — | |||||||||||||||
Total assets | $ | 1,954,595 | $ | 2,245,948 | $ | 87,561 | $ | (2,448,000 | ) | $ | 1,840,104 | ||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable | $ | 27,184 | $ | 73,218 | $ | 1,557 | $ | — | $ | 101,959 | |||||||||||
Accrued liabilities | 34,328 | 58,430 | 7,545 | — | 100,303 | ||||||||||||||||
Deferred income taxes | 654 | — | 113 | (767 | ) | — | |||||||||||||||
Current obligation under capital lease | — | 503 | — | — | 503 | ||||||||||||||||
Intercompany payable | 541,397 | — | 18,337 | (559,734 | ) | — | |||||||||||||||
Total current liabilities | 603,563 | 132,151 | 27,552 | (560,501 | ) | 202,765 | |||||||||||||||
Long-term liabilities: | |||||||||||||||||||||
Long-term debt | 1,113,742 | — | — | — | 1,113,742 | ||||||||||||||||
Long-term obligation under capital lease | — | 3,402 | — | — | 3,402 | ||||||||||||||||
Lease incentives and other liabilities | 3,496 | 48,117 | 4,976 | — | 56,589 | ||||||||||||||||
Deferred income taxes | — | 231,163 | — | (16,699 | ) | 214,464 | |||||||||||||||
Total liabilities | 1,720,801 | 414,833 | 32,528 | (577,200 | ) | 1,590,962 | |||||||||||||||
Total stockholders’ equity | 233,794 | 1,831,115 | 39,685 | (1,870,800 | ) | 233,794 | |||||||||||||||
Noncontrolling interest | — | — | 15,348 | — | 15,348 | ||||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,954,595 | $ | 2,245,948 | $ | 87,561 | $ | (2,448,000 | ) | $ | 1,840,104 | ||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEETS | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
As of May 4, 2013 | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
ASSETS | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 25,791 | $ | 4,080 | $ | 13,275 | $ | — | $ | 43,146 | |||||||||||
Accounts receivable, net of allowance | 1,563 | 18,234 | 2,327 | — | 22,124 | ||||||||||||||||
Merchandise inventories | — | 175,123 | 5,659 | 14 | 180,796 | ||||||||||||||||
Prepaid income taxes | 2,126 | 383 | 567 | — | 3,076 | ||||||||||||||||
Prepaid expenses | 3,106 | 12,434 | 1,269 | — | 16,809 | ||||||||||||||||
Deferred income taxes | 13,765 | 16,667 | 230 | (15 | ) | 30,647 | |||||||||||||||
Intercompany receivable | — | 491,946 | — | (491,946 | ) | — | |||||||||||||||
Total current assets | 46,351 | 718,867 | 23,327 | (491,947 | ) | 296,598 | |||||||||||||||
Property and equipment, net | 14,654 | 181,229 | 10,102 | — | 205,985 | ||||||||||||||||
Goodwill | — | 859,165 | 39,818 | — | 898,983 | ||||||||||||||||
Other intangible assets, net | — | 577,943 | 513 | — | 578,456 | ||||||||||||||||
Deferred financing costs | 38,419 | — | — | — | 38,419 | ||||||||||||||||
Other assets | 16,484 | 2,054 | 5,501 | (16,596 | ) | 7,443 | |||||||||||||||
Investment in subsidiaries | 1,986,823 | — | — | (1,986,823 | ) | — | |||||||||||||||
Total assets | $ | 2,102,731 | $ | 2,339,258 | $ | 79,261 | $ | (2,495,366 | ) | $ | 2,025,884 | ||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable | $ | 6,018 | $ | 51,282 | $ | 453 | $ | — | $ | 57,753 | |||||||||||
Accrued liabilities | 39,685 | 58,358 | 9,052 | — | 107,095 | ||||||||||||||||
Deferred income taxes | — | — | 15 | (15 | ) | — | |||||||||||||||
Intercompany payable | 478,061 | — | 13,871 | (491,932 | ) | — | |||||||||||||||
Total current liabilities | 523,764 | 109,640 | 23,391 | (491,947 | ) | 164,848 | |||||||||||||||
Long-term liabilities: | |||||||||||||||||||||
Long-term debt | 1,138,524 | — | — | — | 1,138,524 | ||||||||||||||||
Lease incentives and other liabilities | 4,310 | 41,701 | 5,556 | — | 51,567 | ||||||||||||||||
Deferred income taxes | — | 248,136 | — | (16,596 | ) | 231,540 | |||||||||||||||
Total liabilities | 1,666,598 | 399,477 | 28,947 | (508,543 | ) | 1,586,479 | |||||||||||||||
Total stockholders’ equity | 436,133 | 1,939,781 | 47,042 | (1,986,823 | ) | 436,133 | |||||||||||||||
Noncontrolling interest | — | — | 3,272 | — | 3,272 | ||||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,102,731 | $ | 2,339,258 | $ | 79,261 | $ | (2,495,366 | ) | $ | 2,025,884 | ||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 3, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
Net sales: | |||||||||||||||||||||
Retail | $ | 280 | $ | 252,597 | $ | 10,943 | $ | (4,696 | ) | $ | 259,124 | ||||||||||
Gymboree Play & Music | — | 2,624 | 4,208 | — | 6,832 | ||||||||||||||||
Retail Franchise | — | 6,054 | — | — | 6,054 | ||||||||||||||||
Intercompany revenue | 14,247 | 2,811 | — | (17,058 | ) | — | |||||||||||||||
Total net sales | 14,527 | 264,086 | 15,151 | (21,754 | ) | 272,010 | |||||||||||||||
Cost of goods sold, including buying and occupancy expenses | (1,252 | ) | (158,656 | ) | (8,506 | ) | 4,762 | (163,652 | ) | ||||||||||||
Gross profit | 13,275 | 105,430 | 6,645 | (16,992 | ) | 108,358 | |||||||||||||||
Selling, general and administrative expenses | (15,397 | ) | (94,093 | ) | (9,805 | ) | 17,005 | (102,290 | ) | ||||||||||||
Operating (loss) income | (2,122 | ) | 11,337 | (3,160 | ) | 13 | 6,068 | ||||||||||||||
Interest income | 1 | 44 | 43 | (41 | ) | 47 | |||||||||||||||
Interest expense | (20,286 | ) | (88 | ) | (41 | ) | 41 | (20,374 | ) | ||||||||||||
Other income (expense), net | (294 | ) | — | (74 | ) | — | (368 | ) | |||||||||||||
(Loss) income before income taxes | (22,701 | ) | 11,293 | (3,232 | ) | 13 | (14,627 | ) | |||||||||||||
Income tax benefit (expense) | 6,560 | (6,913 | ) | (23 | ) | — | (376 | ) | |||||||||||||
Equity in earnings of affiliates, net of tax | 2,710 | — | — | (2,710 | ) | — | |||||||||||||||
Net (loss) income | (13,431 | ) | 4,380 | (3,255 | ) | (2,697 | ) | (15,003 | ) | ||||||||||||
Net loss attributable to noncontrolling interest | — | — | 1,572 | — | 1,572 | ||||||||||||||||
Net (loss) income attributable to The Gymboree Corporation | $ | (13,431 | ) | $ | 4,380 | $ | (1,683 | ) | $ | (2,697 | ) | $ | (13,431 | ) | |||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 4, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
Net sales: | |||||||||||||||||||||
Retail | $ | 451 | $ | 273,781 | $ | 12,964 | $ | (6,319 | ) | $ | 280,877 | ||||||||||
Gymboree Play & Music | — | 2,767 | 3,561 | — | 6,328 | ||||||||||||||||
Retail Franchise | — | 5,578 | — | — | 5,578 | ||||||||||||||||
Intercompany revenue | 18,080 | 1,654 | — | (19,734 | ) | — | |||||||||||||||
Total net sales | 18,531 | 283,780 | 16,525 | (26,053 | ) | 292,783 | |||||||||||||||
Cost of goods sold, including buying and occupancy expenses | (1,520 | ) | (166,737 | ) | (8,917 | ) | 5,364 | (171,810 | ) | ||||||||||||
Gross profit | 17,011 | 117,043 | 7,608 | (20,689 | ) | 120,973 | |||||||||||||||
Selling, general and administrative expenses | (18,976 | ) | (97,650 | ) | (8,163 | ) | 20,660 | (104,129 | ) | ||||||||||||
Operating (loss) income | (1,965 | ) | 19,393 | (555 | ) | (29 | ) | 16,844 | |||||||||||||
Interest income | 6 | 11 | 24 | — | 41 | ||||||||||||||||
Interest expense | (20,402 | ) | — | — | — | (20,402 | ) | ||||||||||||||
Other income (expense), net | (104 | ) | (1 | ) | 114 | — | 9 | ||||||||||||||
(Loss) income before income taxes | (22,465 | ) | 19,403 | (417 | ) | (29 | ) | (3,508 | ) | ||||||||||||
Income tax benefit (expense) | 9,397 | (8,055 | ) | (682 | ) | — | 660 | ||||||||||||||
Equity in earnings of affiliates, net of tax | 10,532 | — | — | (10,532 | ) | — | |||||||||||||||
Net (loss) income | (2,536 | ) | 11,348 | (1,099 | ) | (10,561 | ) | (2,848 | ) | ||||||||||||
Net loss attributable to noncontrolling interest | — | — | 312 | — | 312 | ||||||||||||||||
Net (loss) income attributable to The Gymboree Corporation | $ | (2,536 | ) | $ | 11,348 | $ | (787 | ) | $ | (10,561 | ) | $ | (2,536 | ) | |||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 3, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
Net (loss) income | $ | (13,431 | ) | $ | 4,380 | $ | (3,255 | ) | $ | (2,697 | ) | $ | (15,003 | ) | |||||||
Other comprehensive income (loss), net of tax: | |||||||||||||||||||||
Foreign currency translation adjustments | 78 | — | (369 | ) | (106 | ) | (397 | ) | |||||||||||||
Unrealized net gain (loss) on cash flow hedges, net of tax benefit of $0 | 22 | — | (274 | ) | 274 | 22 | |||||||||||||||
Total other comprehensive income (loss), net of tax | 100 | — | (643 | ) | 168 | (375 | ) | ||||||||||||||
Comprehensive (loss) income | (13,331 | ) | 4,380 | (3,898 | ) | (2,529 | ) | (15,378 | ) | ||||||||||||
Comprehensive loss attributable to noncontrolling interest | — | — | 2,047 | — | 2,047 | ||||||||||||||||
Comprehensive (loss) income attributable to The Gymboree Corporation | $ | (13,331 | ) | $ | 4,380 | $ | (1,851 | ) | $ | (2,529 | ) | $ | (13,331 | ) | |||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 4, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
Net (loss) income | $ | (2,536 | ) | $ | 11,348 | $ | (1,099 | ) | $ | (10,561 | ) | $ | (2,848 | ) | |||||||
Other comprehensive (loss) income, net of tax: | |||||||||||||||||||||
Foreign currency translation adjustments | (60 | ) | — | (39 | ) | 78 | (21 | ) | |||||||||||||
Unrealized net loss on cash flow hedges, net of tax benefit of $65 | (109 | ) | — | 62 | (62 | ) | (109 | ) | |||||||||||||
Total other comprehensive (loss) income, net of tax | (169 | ) | — | 23 | 16 | (130 | ) | ||||||||||||||
Comprehensive (loss) income | (2,705 | ) | 11,348 | (1,076 | ) | (10,545 | ) | (2,978 | ) | ||||||||||||
Comprehensive loss attributable to noncontrolling interest | — | — | 273 | — | 273 | ||||||||||||||||
Comprehensive (loss) income attributable to The Gymboree Corporation | $ | (2,705 | ) | $ | 11,348 | $ | (803 | ) | $ | (10,545 | ) | $ | (2,705 | ) | |||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 3, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (32,373 | ) | $ | 21,239 | $ | (3,549 | ) | $ | — | $ | (14,683 | ) | ||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||||||
Capital expenditures | (511 | ) | (6,935 | ) | (1,907 | ) | — | (9,353 | ) | ||||||||||||
Intercompany transfers | — | (13,335 | ) | — | 13,335 | — | |||||||||||||||
Other | — | — | (56 | ) | — | (56 | ) | ||||||||||||||
Net cash used in investing activities | (511 | ) | (20,270 | ) | (1,963 | ) | 13,335 | (9,409 | ) | ||||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||||||
Intercompany transfers | 9,383 | — | 3,952 | (13,335 | ) | — | |||||||||||||||
Proceeds from ABL facility | 78,000 | — | — | — | 78,000 | ||||||||||||||||
Payments on ABL facility | (68,000 | ) | — | — | — | (68,000 | ) | ||||||||||||||
Payments on capital lease | — | (121 | ) | — | — | (121 | ) | ||||||||||||||
Net cash provided by (used in) financing activities | 19,383 | (121 | ) | 3,952 | (13,335 | ) | 9,879 | ||||||||||||||
Effect of exchange rate fluctuations on cash and cash equivalents | — | — | (443 | ) | — | (443 | ) | ||||||||||||||
Net (decrease) increase in cash and cash equivalents | (13,501 | ) | 848 | (2,003 | ) | — | (14,656 | ) | |||||||||||||
CASH AND CASH EQUIVALENTS: | |||||||||||||||||||||
Beginning of Period | 15,479 | 4,659 | 19,291 | — | 39,429 | ||||||||||||||||
End of Period | $ | 1,978 | $ | 5,507 | $ | 17,288 | $ | — | $ | 24,773 | |||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 4, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (13,086 | ) | $ | 33,409 | $ | (605 | ) | $ | — | $ | 19,718 | |||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||||||
Capital expenditures | (480 | ) | (9,430 | ) | (748 | ) | — | (10,658 | ) | ||||||||||||
Intercompany transfers | — | (23,038 | ) | — | 23,038 | — | |||||||||||||||
Other | — | 11 | (104 | ) | — | (93 | ) | ||||||||||||||
Net cash used in investing activities | (480 | ) | (32,457 | ) | (852 | ) | 23,038 | (10,751 | ) | ||||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||||||
Intercompany transfers | 21,127 | — | 1,911 | (23,038 | ) | — | |||||||||||||||
Dividend payment to Parent | (201 | ) | — | — | — | (201 | ) | ||||||||||||||
Capital contribution received by noncontrolling interest | — | — | 1,007 | — | 1,007 | ||||||||||||||||
Net cash provided by financing activities | 20,926 | — | 2,918 | (23,038 | ) | 806 | |||||||||||||||
Effect of exchange rate fluctuations on cash and cash equivalents | — | — | 45 | — | 45 | ||||||||||||||||
Net increase in cash and cash equivalents | 7,360 | 952 | 1,506 | — | 9,818 | ||||||||||||||||
CASH AND CASH EQUIVALENTS: | |||||||||||||||||||||
Beginning of Period | 18,431 | 3,128 | 11,769 | — | 33,328 | ||||||||||||||||
End of Period | $ | 25,791 | $ | 4,080 | $ | 13,275 | $ | — | $ | 43,146 | |||||||||||
The Company and its guarantor subsidiaries participate in a cash pooling program. As part of this program, cash balances are generally swept on a daily basis between the guarantor subsidiary bank accounts and those of the Company. In addition, we pay expenses on behalf of our guarantor and non-guarantor subsidiaries on a regular basis. These types of transactions have been accounted for as intercompany transfers within investing and financing activities. | |||||||||||||||||||||
The Company’s transactions include interest, tax payments and intercompany sales transactions related to administrative costs incurred by the Company, which are billed to guarantor and non-guarantor subsidiaries on a cost plus basis. All intercompany transactions are presumed to be settled in cash and therefore are included in operating activities. Non-operating cash flow changes have been classified as investing and financing activities. | |||||||||||||||||||||
Subsequent to the issuance of the first quarter of fiscal 2013 condensed consolidated financial statements, management determined that within the condensed consolidating statement of cash flows, the intercompany transfers of the guarantor subsidiaries previously presented as financing activities should be classified as investing activities. The classification of these intercompany transfers has been corrected in the above condensed consolidating statements of cash flows for the first quarter of May 4, 2013 to be presented within investing activities. This correction has no impact on the condensed consolidated statement of cash flows for the first quarter of May 4, 2013. The effect is summarized as follows: | |||||||||||||||||||||
13 Weeks Ended May 4, 2013 | |||||||||||||||||||||
Guarantor | Guarantor | Eliminations | Eliminations | ||||||||||||||||||
Subsidiaries | Subsidiaries | (As Previously | (As Corrected) | ||||||||||||||||||
(As Previously | (As Corrected) | Reported) | |||||||||||||||||||
Reported) | |||||||||||||||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||||||
Intercompany transfers | $ | — | $ | (23,038 | ) | $ | — | $ | 23,038 | ||||||||||||
Net cash used in investing activities | (9,419 | ) | (32,457 | ) | — | 23,038 | |||||||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||||||
Intercompany transfers | (23,038 | ) | — | — | (23,038 | ) | |||||||||||||||
Net cash used in financing activities | (23,038 | ) | — | — | (23,038 | ) |
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets and Liabilities (Tables) | 3 Months Ended | ||||||||||||||||
3-May-14 | |||||||||||||||||
Intangible Assets and Liabilities | ' | ||||||||||||||||
Intangible assets and liabilities consist of the following (in thousands): | |||||||||||||||||
May 3, 2014 | |||||||||||||||||
Gross Carrying | Accumulated | Accumulated | Net Amount | ||||||||||||||
Amount | Amortization | Impairment | |||||||||||||||
Intangible Assets Not Subject to Amortization: | |||||||||||||||||
Trade names | $ | 567,494 | $ | — | $ | (17,000 | ) | $ | 550,494 | ||||||||
Intangible Assets Subject to Amortization: | |||||||||||||||||
Customer relationships | 37,551 | (36,975 | ) | — | 576 | ||||||||||||
Below market leases | 7,055 | (4,457 | ) | — | 2,598 | ||||||||||||
Co-branded credit card agreement | 4,000 | (2,112 | ) | — | 1,888 | ||||||||||||
Franchise agreements and reacquired franchise rights | 6,632 | (3,185 | ) | — | 3,447 | ||||||||||||
55,238 | (46,729 | ) | — | 8,509 | |||||||||||||
Total other intangible assets | $ | 622,732 | $ | (46,729 | ) | $ | (17,000 | ) | $ | 559,003 | |||||||
Intangible Liabilities Subject to Amortization: | |||||||||||||||||
Above market leases (included in Lease incentives and other liabilities) | $ | (16,631 | ) | $ | 10,508 | $ | — | $ | (6,123 | ) | |||||||
February 1, 2014 | |||||||||||||||||
Gross Carrying | Accumulated | Accumulated | Net Amount | ||||||||||||||
Amount | Amortization | Impairment | |||||||||||||||
Intangible Assets Not Subject to Amortization: | |||||||||||||||||
Trade names | $ | 567,494 | $ | — | $ | (17,000 | ) | $ | 550,494 | ||||||||
Intangible Assets Subject to Amortization: | |||||||||||||||||
Customer relationships | 37,551 | (36,803 | ) | — | 748 | ||||||||||||
Below market leases | 7,055 | (4,195 | ) | — | 2,860 | ||||||||||||
Co-branded credit card agreement | 4,000 | (1,958 | ) | — | 2,042 | ||||||||||||
Franchise agreements and reacquired franchise rights | 6,632 | (2,952 | ) | — | 3,680 | ||||||||||||
55,238 | (45,908 | ) | — | 9,330 | |||||||||||||
Total other intangible assets | $ | 622,732 | $ | (45,908 | ) | $ | (17,000 | ) | $ | 559,824 | |||||||
Intangible Liabilities Subject to Amortization: | |||||||||||||||||
Above market leases (included in Lease incentives and other liabilities) | $ | (16,631 | ) | $ | 9,999 | $ | — | $ | (6,632 | ) | |||||||
May 4, 2013 | |||||||||||||||||
Gross Carrying | Accumulated | Accumulated | Net Amount | ||||||||||||||
Amount | Amortization | Impairment | |||||||||||||||
Intangible Assets Not Subject to Amortization: | |||||||||||||||||
Trade names | $ | 567,859 | $ | — | $ | — | $ | 567,859 | |||||||||
Intangible Assets Subject to Amortization: | |||||||||||||||||
Customer relationships | 36,400 | (36,400 | ) | — | — | ||||||||||||
Below market leases | 7,055 | (3,328 | ) | — | 3,727 | ||||||||||||
Co-branded credit card agreement | 4,000 | (1,496 | ) | — | 2,504 | ||||||||||||
Franchise agreements | 6,600 | (2,234 | ) | — | 4,366 | ||||||||||||
54,055 | (43,458 | ) | — | 10,597 | |||||||||||||
Total other intangible assets | $ | 621,914 | $ | (43,458 | ) | $ | — | $ | 578,456 | ||||||||
Intangible Liabilities Subject to Amortization: | |||||||||||||||||
Above market leases (included in Lease incentives and other liabilities) | $ | (16,626 | ) | $ | 8,055 | $ | — | $ | (8,571 | ) | |||||||
Estimated Amortization Expense Income Related to Intangible Assets and Liabilities | ' | ||||||||||||||||
We estimate that amortization expense (income) related to intangible assets and liabilities will be as follows (in thousands): | |||||||||||||||||
Fiscal | Below Market | Above Market | Other | Total | |||||||||||||
Leases | Leases | Intangibles | |||||||||||||||
2014 (remaining 39 weeks) | $ | 797 | $ | (1,514 | ) | $ | 1,558 | $ | 841 | ||||||||
2015 | $ | 835 | $ | (1,579 | ) | $ | 1,731 | $ | 987 | ||||||||
2016 | $ | 483 | $ | (1,428 | ) | $ | 1,400 | $ | 455 | ||||||||
2017 | $ | 342 | $ | (1,016 | ) | $ | 332 | $ | (342 | ) | |||||||
2018 | $ | 110 | $ | (464 | ) | $ | 136 | $ | (218 | ) | |||||||
Thereafter | $ | 31 | $ | (122 | ) | $ | 754 | $ | 663 |
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 3 Months Ended | ||||||||||||||||||||||||
3-May-14 | |||||||||||||||||||||||||
Fair Value of Derivative Financial Instruments | ' | ||||||||||||||||||||||||
The table below presents the fair value of all of our derivative financial instruments as well as their classification on the consolidated balance sheets (in thousands). | |||||||||||||||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||||||||||||||
Derivative | Derivative | Derivative | Derivative | ||||||||||||||||||||||
Assets | Assets | Assets | Liabilities | ||||||||||||||||||||||
Other Assets | |||||||||||||||||||||||||
Purchased interest rate caps | $ | 433 | $ | 599 | $ | 508 | $ | — | |||||||||||||||||
Forward foreign exchange contracts | 100 | 348 | — | — | |||||||||||||||||||||
Accrued Liabilities | |||||||||||||||||||||||||
Forward foreign exchange contracts | — | — | — | 22 | |||||||||||||||||||||
Total | $ | 533 | $ | 947 | $ | 508 | $ | 22 | |||||||||||||||||
Effect of Derivative Financial Instruments on Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) | ' | ||||||||||||||||||||||||
The tables below present the effect of all of our derivative financial instruments on the condensed consolidated statements of operations and comprehensive income (loss) (in thousands). No amounts were reclassified from accumulated other comprehensive loss into earnings as a result of forecasted transactions that failed to occur or as a result of hedge ineffectiveness. | |||||||||||||||||||||||||
13 Weeks Ended May 3, 2014 | |||||||||||||||||||||||||
Gains / (Losses) | Location of Gains | Gains / (Losses) | |||||||||||||||||||||||
Recognized in OCI on | (Losses) Reclassified | Reclassified from | |||||||||||||||||||||||
Derivative (Effective | from Accumulated | Accumulated OCI | |||||||||||||||||||||||
Portion) | OCI into Income | into Income | |||||||||||||||||||||||
(Effective Portion) | (Effective Portion) | ||||||||||||||||||||||||
Interest rate caps | $ | (166 | ) | Interest expense | $ | (461 | ) | ||||||||||||||||||
Forward foreign exchange contracts | (51 | ) | Cost of goods sold | 222 | |||||||||||||||||||||
Total | $ | (217 | ) | $ | (239 | ) | |||||||||||||||||||
13 Weeks Ended May 4, 2013 | |||||||||||||||||||||||||
Gains / (Losses) | Location of Gains | Gains / (Losses) | |||||||||||||||||||||||
Recognized in OCI | (Losses) Reclassified | Reclassified from | |||||||||||||||||||||||
on Derivative | from Accumulated | Accumulated OCI | |||||||||||||||||||||||
(Effective Portion) | OCI into Income | into Income | |||||||||||||||||||||||
(Effective Portion) | (Effective Portion) | ||||||||||||||||||||||||
Interest rate caps | $ | (456 | ) | Interest expense | $ | (183 | ) | ||||||||||||||||||
Forward foreign exchange contracts | 93 | Cost of goods sold | (6 | ) | |||||||||||||||||||||
Total | $ | (363 | ) | $ | (189 | ) | |||||||||||||||||||
Derivatives Designated As Cash Flow Hedges | ' | ||||||||||||||||||||||||
Outstanding Derivatives - Cash Flow Hedges | ' | ||||||||||||||||||||||||
We had the following outstanding derivatives designated as cash flow hedges (U.S. dollars in thousands): | |||||||||||||||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||||||||||||||
Number of | Notional | Number of | Notional | Number of | Notional | ||||||||||||||||||||
Instruments | (USD) | Instruments | (USD) | Instruments | (USD) | ||||||||||||||||||||
Interest rate derivatives | |||||||||||||||||||||||||
Purchased interest rate caps | 4 | $ | 700,000 | 4 | $ | 700,000 | 4 | $ | 700,000 | ||||||||||||||||
Foreign exchange derivatives | |||||||||||||||||||||||||
Forward foreign exchange contracts | 3 | 3,065 | 6 | 5,029 | 3 | 3,459 | |||||||||||||||||||
Total | 7 | $ | 703,065 | 10 | $ | 705,029 | 7 | $ | 703,459 | ||||||||||||||||
Derivatives Not Designated As Cash Flow Hedges | ' | ||||||||||||||||||||||||
Outstanding Derivatives - Cash Flow Hedges | ' | ||||||||||||||||||||||||
We had the following outstanding derivatives which were not designated as hedges (U.S. dollars in thousands): | |||||||||||||||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||||||||||||||
Number of | Notional | Number of | Notional | Number of | Notional | ||||||||||||||||||||
Instruments | (USD) | Instruments | (USD) | Instruments | (USD) | ||||||||||||||||||||
Forward foreign exchange contracts | 1 | $ | 12,210 | 2 | $ | 10,339 | — | $ | — | ||||||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | ||||||||||||||||||||||||
3-May-14 | |||||||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on Recurring Basis | ' | ||||||||||||||||||||||||
The tables below present our assets and liabilities measured at fair value on a recurring basis as of May 3, 2014, February 1, 2014 and May 4, 2013, aggregated by the level in the fair value hierarchy within which those measurements fall. There were no transfers into or out of Level 1 and Level 2 during the 13 weeks ended May 3, 2014 and May 4, 2013, or for the year ended February 1, 2014. | |||||||||||||||||||||||||
May 3, 2014 | |||||||||||||||||||||||||
Quoted Prices in | Significant Other | Significant | Total Fair Value | ||||||||||||||||||||||
Active Markets for | Observable Inputs | Unobservable | |||||||||||||||||||||||
Identical Assets | (Level 2) | Inputs | |||||||||||||||||||||||
(Level 1) | (Level 3) | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Money market funds | $ | 900 | $ | — | $ | — | $ | 900 | |||||||||||||||||
Interest rate caps | — | 433 | — | 433 | |||||||||||||||||||||
Forward foreign exchange contracts | — | 100 | — | 100 | |||||||||||||||||||||
Total | $ | 900 | $ | 533 | $ | — | $ | 1,433 | |||||||||||||||||
February 1, 2014 | |||||||||||||||||||||||||
Quoted Prices in | Significant Other | Significant | Total Fair Value | ||||||||||||||||||||||
Active Markets for | Observable Inputs | Unobservable | |||||||||||||||||||||||
Identical Assets | (Level 2) | Inputs | |||||||||||||||||||||||
(Level 1) | (Level 3) | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Money market funds | $ | 14,571 | $ | — | $ | — | $ | 14,571 | |||||||||||||||||
Interest rate caps | — | 599 | — | 599 | |||||||||||||||||||||
Forward foreign exchange contracts | — | 348 | — | 348 | |||||||||||||||||||||
Total | $ | 14,571 | $ | 947 | $ | — | $ | 15,518 | |||||||||||||||||
May 4, 2013 | |||||||||||||||||||||||||
Quoted Prices in | Significant Other | Significant | Total Fair Value | ||||||||||||||||||||||
Active Markets for | Observable Inputs | Unobservable | |||||||||||||||||||||||
Identical Assets and | (Level 2) | Inputs | |||||||||||||||||||||||
Liabilities | (Level 3) | ||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Money market funds | $ | 25,025 | $ | — | $ | — | $ | 25,025 | |||||||||||||||||
Interest rate caps | — | 508 | — | 508 | |||||||||||||||||||||
Total | $ | 25,025 | $ | 508 | $ | — | $ | 25,533 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Forward foreign exchange contracts | $ | — | $ | 22 | $ | — | $ | 22 | |||||||||||||||||
Estimated Fair Value of Long-Term Debt | ' | ||||||||||||||||||||||||
The estimated fair value of long-term debt is as follows (in thousands): | |||||||||||||||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||||||||||||||
Carrying Amount | Fair Value | Carrying Amount | Fair Value | Carrying Amount | Fair Value | ||||||||||||||||||||
Term loan | $ | 767,817 | $ | 619,127 | $ | 767,742 | $ | 692,192 | $ | 767,524 | $ | 752,174 | |||||||||||||
Notes | 346,000 | 221,440 | 346,000 | 308,805 | 371,000 | 365,435 | |||||||||||||||||||
$ | 1,113,817 | $ | 840,567 | $ | 1,113,742 | $ | 1,000,997 | $ | 1,138,524 | $ | 1,117,609 | ||||||||||||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 3 Months Ended | ||||||||||||
3-May-14 | |||||||||||||
Long-Term Debt | ' | ||||||||||||
Long-term debt consists of (in thousands): | |||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||
Senior secured term loan facility, net of discount of $1,285, $1,360, and $1,578 | $ | 767,817 | $ | 767,742 | $ | 767,524 | |||||||
9.125% senior notes | 346,000 | 346,000 | 371,000 | ||||||||||
Long-term debt | $ | 1,113,817 | $ | 1,113,742 | $ | 1,138,524 | |||||||
Scheduled Future Minimum Principal Payments on Long-Term Debt | ' | ||||||||||||
Future minimum principal payments on long-term debt, excluding OID of $1.3 million, as of May 3, 2014, are as follows (in thousands): | |||||||||||||
Fiscal years | Principal Payments | ||||||||||||
2014 | $ | — | |||||||||||
2015 | — | ||||||||||||
2016 | — | ||||||||||||
2017 | 6,502 | ||||||||||||
2018 | 1,108,600 | ||||||||||||
Total | $ | 1,115,102 | |||||||||||
Estimated Amortization Expense | ' | ||||||||||||
Estimated amortization expense is as follows (in thousands): | |||||||||||||
Fiscal | |||||||||||||
2014 (remaining 39 weeks) | $ | 5,132 | |||||||||||
2015 | 7,269 | ||||||||||||
2016 | 7,741 | ||||||||||||
2017 | 7,269 | ||||||||||||
2018 | 3,343 | ||||||||||||
Total | $ | 30,754 | |||||||||||
Lease_Incentives_and_Other_Lia1
Lease Incentives and Other Liabilities (Tables) | 3 Months Ended | ||||||||||||
3-May-14 | |||||||||||||
Lease Incentives and Other Liabilities | ' | ||||||||||||
Lease incentives and other liabilities consist of the following (in thousands): | |||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||
Above market leases | $ | 6,123 | $ | 6,632 | $ | 8,571 | |||||||
Deferred rent | 16,606 | 15,583 | 12,434 | ||||||||||
Lease allowances | 25,228 | 24,673 | 20,887 | ||||||||||
Other | 2,577 | 3,544 | 1,540 | ||||||||||
Total | $ | 50,534 | $ | 50,432 | $ | 43,432 | |||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended | ||||||||||||
3-May-14 | |||||||||||||
Components of Accumulated OCI, net of Taxes | ' | ||||||||||||
The following table shows the components of accumulated other comprehensive income (loss) (“OCI”), net of tax for the periods ended (in thousands): | |||||||||||||
May 3, 2014 | February 1, 2014 | May 4, 2013 | |||||||||||
Foreign currency translation | $ | 701 | $ | 623 | $ | 748 | |||||||
Accumulated changes in fair value of derivative financial instruments, net of tax benefit of $3,982, $3,982 and $4,047 | (5,481 | ) | (5,503 | ) | (6,831 | ) | |||||||
Total accumulated other comprehensive loss | $ | (4,780 | ) | $ | (4,880 | ) | $ | (6,083 | ) | ||||
Changes in Accumulated OCI Balance by Component | ' | ||||||||||||
Changes in accumulated OCI balance by component were as follows for the periods ended (in thousands): | |||||||||||||
13 Weeks Ended May 3, 2014 | |||||||||||||
Derivatives | Foreign Currency | Total Accumulated | |||||||||||
Comprehensive (Loss) | |||||||||||||
Income Including | |||||||||||||
Noncontrolling Interest | |||||||||||||
Beginning balance | $ | (5,503 | ) | $ | 623 | $ | (4,880 | ) | |||||
Other comprehensive loss recognized before reclassifications | (217 | ) | (397 | ) | (614 | ) | |||||||
Amounts reclassified from accumulated other comprehensive loss to earnings | 239 | — | 239 | ||||||||||
Net current-period other comprehensive income (loss) | 22 | (397 | ) | (375 | ) | ||||||||
Other comprehensive loss attributable to noncontrolling interest | — | 475 | 475 | ||||||||||
Ending balance | $ | (5,481 | ) | $ | 701 | $ | (4,780 | ) | |||||
Year Ended February 1, 2014 | |||||||||||||
Derivatives | Foreign Currency | Total Accumulated | |||||||||||
Comprehensive (Loss) | |||||||||||||
Income Including | |||||||||||||
Noncontrolling Interest | |||||||||||||
Beginning balance | $ | (6,722 | ) | $ | 808 | $ | (5,914 | ) | |||||
Other comprehensive income recognized before reclassifications | 350 | 26 | 376 | ||||||||||
Amounts reclassified from accumulated other comprehensive loss to earnings | 869 | — | 869 | ||||||||||
Net current-period other comprehensive income | 1,219 | 26 | 1,245 | ||||||||||
Other comprehensive income attributable to noncontrolling interest | — | (211 | ) | (211 | ) | ||||||||
Ending balance | $ | (5,503 | ) | $ | 623 | $ | (4,880 | ) | |||||
13 Weeks Ended May 4, 2013 | |||||||||||||
Derivatives | Foreign Currency | Total Accumulated | |||||||||||
Comprehensive (Loss) | |||||||||||||
Income Including | |||||||||||||
Noncontrolling Interest | |||||||||||||
Beginning balance | $ | (6,722 | ) | $ | 808 | $ | (5,914 | ) | |||||
Other comprehensive loss recognized before reclassifications | (363 | ) | (21 | ) | (384 | ) | |||||||
Amounts reclassified from accumulated other comprehensive loss to earnings | 189 | — | 189 | ||||||||||
Tax benefit | 65 | — | 65 | ||||||||||
Net current-period other comprehensive loss | (109 | ) | (21 | ) | (130 | ) | |||||||
Other comprehensive income attributable to noncontrolling interest | — | (39 | ) | (39 | ) | ||||||||
Ending balance | $ | (6,831 | ) | $ | 748 | $ | (6,083 | ) | |||||
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | ||||||||||||||||||||||||
3-May-14 | |||||||||||||||||||||||||
Financial Data of Each Reportable Segment | ' | ||||||||||||||||||||||||
Summary financial data of each reportable segment were as follows for the periods ended (in thousands): | |||||||||||||||||||||||||
13 Weeks Ended May 3, 2014 | |||||||||||||||||||||||||
Retail | Gymboree | International Retail | VIEs | Intersegment | Total | ||||||||||||||||||||
Stores | Play & Music | Franchise | Elimination | ||||||||||||||||||||||
Net sales | $ | 257,928 | $ | 5,049 | $ | 6,167 | $ | 5,404 | $ | (2,538 | ) | $ | 272,010 | ||||||||||||
Operating income (loss) | $ | 291 | $ | 4,383 | $ | 3,072 | $ | (1,691 | ) | $ | 13 | $ | 6,068 | ||||||||||||
Total assets | $ | 1,705,817 | $ | 60,229 | $ | 30,102 | $ | 21,804 | $ | (2,231 | ) | $ | 1,815,721 | ||||||||||||
13 Weeks Ended May 4, 2013 | |||||||||||||||||||||||||
Retail | Gymboree | International Retail | VIEs | Intersegment | Total | ||||||||||||||||||||
Stores | Play & Music | Franchise | Elimination | ||||||||||||||||||||||
Net sales | $ | 279,804 | $ | 3,991 | $ | 5,685 | $ | 4,634 | $ | (1,331 | ) | $ | 292,783 | ||||||||||||
Operating income (loss) | $ | 12,813 | $ | 2,010 | $ | 2,244 | $ | (242 | ) | $ | 19 | $ | 16,844 | ||||||||||||
Total assets | $ | 1,921,518 | $ | 64,511 | $ | 29,429 | $ | 15,781 | $ | (5,355 | ) | $ | 2,025,884 | ||||||||||||
Financial Data of Each Geographical Segment | ' | ||||||||||||||||||||||||
Summary financial data of each of our two geographical segments, United States and international were as follows for the fiscal quarters ended (in thousands): | |||||||||||||||||||||||||
May 3, 2014 | |||||||||||||||||||||||||
United States | International | ||||||||||||||||||||||||
Net sales | $ | 257,328 | $ | 14,682 | |||||||||||||||||||||
Long-lived assets | $ | 193,459 | $ | 10,017 | |||||||||||||||||||||
4-May-13 | |||||||||||||||||||||||||
United States | International | ||||||||||||||||||||||||
Net sales | $ | 277,229 | $ | 15,554 | |||||||||||||||||||||
Long-lived assets | $ | 196,227 | $ | 9,758 |
Variable_Interest_Entities_Tab
Variable Interest Entities (Tables) | 3 Months Ended | ||||||||||||||||
3-May-14 | |||||||||||||||||
Impact of Variable Interest Entities on Condensed Consolidating Balance Sheets and Condensed Consolidating Statements of Operations | ' | ||||||||||||||||
The following tables reflect the impact of the VIEs on the condensed consolidated balance sheets as of May 3, 2014, February 1, 2014 and May 4, 2013 and the condensed consolidated statements of operations for the first quarter of 2014 and 2013 (in thousands): | |||||||||||||||||
Condensed Consolidating Balance Sheets | |||||||||||||||||
May 3, 2014 | |||||||||||||||||
Balance Before | VIEs | Eliminations | As | ||||||||||||||
Consolidation | Reported | ||||||||||||||||
of VIEs | |||||||||||||||||
Cash and cash equivalents | $ | 13,073 | $ | 11,700 | $ | — | $ | 24,773 | |||||||||
Other current assets | 225,247 | 5,634 | (2,231 | ) | 228,650 | ||||||||||||
Total current assets | 238,320 | 17,334 | (2,231 | ) | 253,423 | ||||||||||||
Non-current assets | 1,557,828 | 4,470 | — | 1,562,298 | |||||||||||||
Total assets | $ | 1,796,148 | $ | 21,804 | $ | (2,231 | ) | $ | 1,815,721 | ||||||||
Current liabilities | $ | 185,467 | $ | 8,131 | $ | (2,090 | ) | $ | 191,508 | ||||||||
Non-current liabilities | 1,388,802 | 354 | — | 1,389,156 | |||||||||||||
Total liabilities | 1,574,269 | 8,485 | (2,090 | ) | 1,580,664 | ||||||||||||
Total stockholders’ equity | 221,879 | — | (141 | ) | 221,738 | ||||||||||||
Noncontrolling interest | — | 13,319 | — | 13,319 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 1,796,148 | $ | 21,804 | $ | (2,231 | ) | $ | 1,815,721 | ||||||||
February 1, 2014 | |||||||||||||||||
Balance Before | VIEs | Eliminations | As | ||||||||||||||
Consolidation | Reported | ||||||||||||||||
of VIEs | |||||||||||||||||
Cash and cash equivalents | $ | 25,635 | $ | 13,794 | $ | — | $ | 39,429 | |||||||||
Other current assets | 228,129 | 4,970 | (1,488 | ) | 231,611 | ||||||||||||
Total current assets | 253,764 | 18,764 | (1,488 | ) | 271,040 | ||||||||||||
Non-current assets | 1,564,620 | 4,444 | — | 1,569,064 | |||||||||||||
Total assets | $ | 1,818,384 | $ | 23,208 | $ | (1,488 | ) | $ | 1,840,104 | ||||||||
Current liabilities | $ | 196,631 | $ | 7,490 | $ | (1,356 | ) | $ | 202,765 | ||||||||
Non-current liabilities | 1,387,828 | 370 | (1 | ) | 1,388,197 | ||||||||||||
Total liabilities | 1,584,459 | 7,860 | (1,357 | ) | 1,590,962 | ||||||||||||
Total stockholders’ equity | 233,925 | — | (131 | ) | 233,794 | ||||||||||||
Noncontrolling interest | — | 15,348 | — | 15,348 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 1,818,384 | $ | 23,208 | $ | (1,488 | ) | $ | 1,840,104 | ||||||||
May 4, 2013 | |||||||||||||||||
Balance Before | VIEs | Eliminations | As | ||||||||||||||
Consolidation | Reported | ||||||||||||||||
of VIEs | |||||||||||||||||
Cash and cash equivalents | $ | 35,319 | $ | 7,827 | $ | — | $ | 43,146 | |||||||||
Other current assets | 253,503 | 5,304 | (5,355 | ) | 253,452 | ||||||||||||
Total current assets | 288,822 | 13,131 | (5,355 | ) | 296,598 | ||||||||||||
Non-current assets | 1,726,636 | 2,650 | — | 1,729,286 | |||||||||||||
Total assets | $ | 2,015,458 | $ | 15,781 | $ | (5,355 | ) | $ | 2,025,884 | ||||||||
Current liabilities | $ | 157,669 | $ | 12,321 | $ | (5,142 | ) | $ | 164,848 | ||||||||
Non-current liabilities | 1,421,443 | 188 | — | 1,421,631 | |||||||||||||
Total liabilities | 1,579,112 | 12,509 | (5,142 | ) | 1,586,479 | ||||||||||||
Total stockholders’ equity | 436,346 | — | (213 | ) | 436,133 | ||||||||||||
Noncontrolling interest | — | 3,272 | — | 3,272 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 2,015,458 | $ | 15,781 | $ | (5,355 | ) | $ | 2,025,884 | ||||||||
Condensed Consolidating Statements of Operations | |||||||||||||||||
For the 13 Weeks Ended May 3, 2014 | |||||||||||||||||
Balance Before | VIEs | Eliminations | As | ||||||||||||||
Consolidation | Reported | ||||||||||||||||
of VIEs | |||||||||||||||||
Net sales | $ | 269,144 | $ | 5,404 | $ | (2,538 | ) | $ | 272,010 | ||||||||
Cost of goods sold | (162,438 | ) | (1,302 | ) | 88 | (163,652 | ) | ||||||||||
Operating expenses | (98,960 | ) | (5,793 | ) | 2,463 | (102,290 | ) | ||||||||||
Operating income (loss) | 7,746 | (1,691 | ) | 13 | 6,068 | ||||||||||||
Other non-operating expense | (20,591 | ) | (104 | ) | — | (20,695 | ) | ||||||||||
Loss before income taxes | (12,845 | ) | (1,795 | ) | 13 | (14,627 | ) | ||||||||||
Income tax (expense) benefit | (599 | ) | 223 | — | (376 | ) | |||||||||||
Net loss | (13,444 | ) | (1,572 | ) | 13 | (15,003 | ) | ||||||||||
Net loss attributable to noncontrolling interest | — | 1,572 | — | 1,572 | |||||||||||||
Net loss attributable to The Gymboree Corporation | $ | (13,444 | ) | $ | — | $ | 13 | $ | (13,431 | ) | |||||||
For the 13 Weeks Ended May 4, 2013 | |||||||||||||||||
Balance Before | VIEs | Eliminations | As | ||||||||||||||
Consolidation | Reported | ||||||||||||||||
of VIEs | |||||||||||||||||
Net sales | $ | 289,480 | $ | 4,634 | $ | (1,331 | ) | $ | 292,783 | ||||||||
Cost of goods sold | (170,782 | ) | (1,230 | ) | 202 | (171,810 | ) | ||||||||||
Operating expenses | (101,631 | ) | (3,646 | ) | 1,148 | (104,129 | ) | ||||||||||
Operating income (loss) | 17,067 | (242 | ) | 19 | 16,844 | ||||||||||||
Other non-operating (expense) income | (20,483 | ) | 131 | — | (20,352 | ) | |||||||||||
Loss before income taxes | (3,416 | ) | (111 | ) | 19 | (3,508 | ) | ||||||||||
Income tax benefit (expense) | 861 | (201 | ) | — | 660 | ||||||||||||
Net loss | (2,555 | ) | (312 | ) | 19 | (2,848 | ) | ||||||||||
Net loss attributable to noncontrolling interest | — | 312 | — | 312 | |||||||||||||
Net loss attributable to The Gymboree Corporation | $ | (2,555 | ) | $ | — | $ | 19 | $ | (2,536 | ) | |||||||
Condensed_Guarantor_Data_Table
Condensed Guarantor Data (Tables) | 3 Months Ended | ||||||||||||||||||||
3-May-14 | |||||||||||||||||||||
Condensed Consolidating Balance Sheets | ' | ||||||||||||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEETS | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
As of May 3, 2014 | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
ASSETS | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 1,978 | $ | 5,507 | $ | 17,288 | $ | — | $ | 24,773 | |||||||||||
Accounts receivable, net of allowance | 1,285 | 19,238 | 1,871 | — | 22,394 | ||||||||||||||||
Merchandise inventories | — | 164,920 | 5,960 | (469 | ) | 170,411 | |||||||||||||||
Prepaid income taxes | 1,936 | 395 | 655 | — | 2,986 | ||||||||||||||||
Prepaid expenses | 3,396 | 13,953 | 1,274 | — | 18,623 | ||||||||||||||||
Deferred income taxes | 378 | 13,255 | 724 | (121 | ) | 14,236 | |||||||||||||||
Intercompany receivable | — | 565,262 | — | (565,262 | ) | — | |||||||||||||||
Total current assets | 8,973 | 782,530 | 27,772 | (565,852 | ) | 253,423 | |||||||||||||||
Property and equipment, net | 12,526 | 180,663 | 10,287 | — | 203,476 | ||||||||||||||||
Goodwill | — | 721,844 | 36,933 | — | 758,777 | ||||||||||||||||
Other intangible assets, net | — | 558,320 | 683 | — | 559,003 | ||||||||||||||||
Deferred financing costs | 30,754 | — | — | — | 30,754 | ||||||||||||||||
Other assets | 12,677 | 1,961 | 9,908 | (14,258 | ) | 10,288 | |||||||||||||||
Investment in subsidiaries | 1,891,827 | — | — | (1,891,827 | ) | — | |||||||||||||||
Total assets | $ | 1,956,757 | $ | 2,245,318 | $ | 85,583 | $ | (2,471,937 | ) | $ | 1,815,721 | ||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable | $ | 6,366 | $ | 65,976 | $ | 1,003 | $ | — | $ | 73,345 | |||||||||||
Accrued liabilities | 38,439 | 62,400 | 6,809 | — | 107,648 | ||||||||||||||||
Deferred income taxes | — | — | 121 | (121 | ) | — | |||||||||||||||
Line of credit | 10,000 | — | — | — | 10,000 | ||||||||||||||||
Current obligation under capital lease | — | 515 | — | — | 515 | ||||||||||||||||
Intercompany payable | 562,899 | — | 2,832 | (565,731 | ) | — | |||||||||||||||
Total current liabilities | 617,704 | 128,891 | 10,765 | (565,852 | ) | 191,508 | |||||||||||||||
Long-term liabilities: | |||||||||||||||||||||
Long-term debt | 1,113,817 | — | — | — | 1,113,817 | ||||||||||||||||
Long-term obligation under capital lease | — | 3,269 | — | — | 3,269 | ||||||||||||||||
Lease incentives and other liabilities | 3,498 | 48,174 | 5,166 | — | 56,838 | ||||||||||||||||
Deferred income taxes | — | 229,490 | — | (14,258 | ) | 215,232 | |||||||||||||||
Total liabilities | 1,735,019 | 409,824 | 15,931 | (580,110 | ) | 1,580,664 | |||||||||||||||
Total stockholders’ equity | 221,738 | 1,835,494 | 56,333 | (1,891,827 | ) | 221,738 | |||||||||||||||
Noncontrolling interest | — | — | 13,319 | — | 13,319 | ||||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,956,757 | $ | 2,245,318 | $ | 85,583 | $ | (2,471,937 | ) | $ | 1,815,721 | ||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEETS | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
As of February 1, 2014 | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
ASSETS | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 15,479 | $ | 4,659 | $ | 19,291 | $ | — | $ | 39,429 | |||||||||||
Accounts receivable, net of allowance | 1,237 | 18,634 | 2,011 | — | 21,882 | ||||||||||||||||
Merchandise inventories | — | 170,126 | 5,823 | (454 | ) | 175,495 | |||||||||||||||
Prepaid income taxes | 1,659 | 284 | 36 | — | 1,979 | ||||||||||||||||
Prepaid expenses | 3,538 | 14,095 | 1,168 | — | 18,801 | ||||||||||||||||
Deferred income taxes | — | 13,303 | 918 | (767 | ) | 13,454 | |||||||||||||||
Intercompany receivable | — | 559,280 | — | (559,280 | ) | — | |||||||||||||||
Total current assets | 21,913 | 780,381 | 29,247 | (560,501 | ) | 271,040 | |||||||||||||||
Property and equipment, net | 14,288 | 182,421 | 9,599 | — | 206,308 | ||||||||||||||||
Goodwill | — | 721,844 | 36,933 | — | 758,777 | ||||||||||||||||
Other intangible assets, net | — | 558,962 | 862 | — | 559,824 | ||||||||||||||||
Deferred financing costs | 32,455 | — | — | — | 32,455 | ||||||||||||||||
Other assets | 15,139 | 2,340 | 10,920 | (16,699 | ) | 11,700 | |||||||||||||||
Investment in subsidiaries | 1,870,800 | — | — | (1,870,800 | ) | — | |||||||||||||||
Total assets | $ | 1,954,595 | $ | 2,245,948 | $ | 87,561 | $ | (2,448,000 | ) | $ | 1,840,104 | ||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable | $ | 27,184 | $ | 73,218 | $ | 1,557 | $ | — | $ | 101,959 | |||||||||||
Accrued liabilities | 34,328 | 58,430 | 7,545 | — | 100,303 | ||||||||||||||||
Deferred income taxes | 654 | — | 113 | (767 | ) | — | |||||||||||||||
Current obligation under capital lease | — | 503 | — | — | 503 | ||||||||||||||||
Intercompany payable | 541,397 | — | 18,337 | (559,734 | ) | — | |||||||||||||||
Total current liabilities | 603,563 | 132,151 | 27,552 | (560,501 | ) | 202,765 | |||||||||||||||
Long-term liabilities: | |||||||||||||||||||||
Long-term debt | 1,113,742 | — | — | — | 1,113,742 | ||||||||||||||||
Long-term obligation under capital lease | — | 3,402 | — | — | 3,402 | ||||||||||||||||
Lease incentives and other liabilities | 3,496 | 48,117 | 4,976 | — | 56,589 | ||||||||||||||||
Deferred income taxes | — | 231,163 | — | (16,699 | ) | 214,464 | |||||||||||||||
Total liabilities | 1,720,801 | 414,833 | 32,528 | (577,200 | ) | 1,590,962 | |||||||||||||||
Total stockholders’ equity | 233,794 | 1,831,115 | 39,685 | (1,870,800 | ) | 233,794 | |||||||||||||||
Noncontrolling interest | — | — | 15,348 | — | 15,348 | ||||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,954,595 | $ | 2,245,948 | $ | 87,561 | $ | (2,448,000 | ) | $ | 1,840,104 | ||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEETS | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
As of May 4, 2013 | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
ASSETS | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 25,791 | $ | 4,080 | $ | 13,275 | $ | — | $ | 43,146 | |||||||||||
Accounts receivable, net of allowance | 1,563 | 18,234 | 2,327 | — | 22,124 | ||||||||||||||||
Merchandise inventories | — | 175,123 | 5,659 | 14 | 180,796 | ||||||||||||||||
Prepaid income taxes | 2,126 | 383 | 567 | — | 3,076 | ||||||||||||||||
Prepaid expenses | 3,106 | 12,434 | 1,269 | — | 16,809 | ||||||||||||||||
Deferred income taxes | 13,765 | 16,667 | 230 | (15 | ) | 30,647 | |||||||||||||||
Intercompany receivable | — | 491,946 | — | (491,946 | ) | — | |||||||||||||||
Total current assets | 46,351 | 718,867 | 23,327 | (491,947 | ) | 296,598 | |||||||||||||||
Property and equipment, net | 14,654 | 181,229 | 10,102 | — | 205,985 | ||||||||||||||||
Goodwill | — | 859,165 | 39,818 | — | 898,983 | ||||||||||||||||
Other intangible assets, net | — | 577,943 | 513 | — | 578,456 | ||||||||||||||||
Deferred financing costs | 38,419 | — | — | — | 38,419 | ||||||||||||||||
Other assets | 16,484 | 2,054 | 5,501 | (16,596 | ) | 7,443 | |||||||||||||||
Investment in subsidiaries | 1,986,823 | — | — | (1,986,823 | ) | — | |||||||||||||||
Total assets | $ | 2,102,731 | $ | 2,339,258 | $ | 79,261 | $ | (2,495,366 | ) | $ | 2,025,884 | ||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable | $ | 6,018 | $ | 51,282 | $ | 453 | $ | — | $ | 57,753 | |||||||||||
Accrued liabilities | 39,685 | 58,358 | 9,052 | — | 107,095 | ||||||||||||||||
Deferred income taxes | — | — | 15 | (15 | ) | — | |||||||||||||||
Intercompany payable | 478,061 | — | 13,871 | (491,932 | ) | — | |||||||||||||||
Total current liabilities | 523,764 | 109,640 | 23,391 | (491,947 | ) | 164,848 | |||||||||||||||
Long-term liabilities: | |||||||||||||||||||||
Long-term debt | 1,138,524 | — | — | — | 1,138,524 | ||||||||||||||||
Lease incentives and other liabilities | 4,310 | 41,701 | 5,556 | — | 51,567 | ||||||||||||||||
Deferred income taxes | — | 248,136 | — | (16,596 | ) | 231,540 | |||||||||||||||
Total liabilities | 1,666,598 | 399,477 | 28,947 | (508,543 | ) | 1,586,479 | |||||||||||||||
Total stockholders’ equity | 436,133 | 1,939,781 | 47,042 | (1,986,823 | ) | 436,133 | |||||||||||||||
Noncontrolling interest | — | — | 3,272 | — | 3,272 | ||||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,102,731 | $ | 2,339,258 | $ | 79,261 | $ | (2,495,366 | ) | $ | 2,025,884 | ||||||||||
Condensed Consolidating Statements of Operations | ' | ||||||||||||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 3, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
Net sales: | |||||||||||||||||||||
Retail | $ | 280 | $ | 252,597 | $ | 10,943 | $ | (4,696 | ) | $ | 259,124 | ||||||||||
Gymboree Play & Music | — | 2,624 | 4,208 | — | 6,832 | ||||||||||||||||
Retail Franchise | — | 6,054 | — | — | 6,054 | ||||||||||||||||
Intercompany revenue | 14,247 | 2,811 | — | (17,058 | ) | — | |||||||||||||||
Total net sales | 14,527 | 264,086 | 15,151 | (21,754 | ) | 272,010 | |||||||||||||||
Cost of goods sold, including buying and occupancy expenses | (1,252 | ) | (158,656 | ) | (8,506 | ) | 4,762 | (163,652 | ) | ||||||||||||
Gross profit | 13,275 | 105,430 | 6,645 | (16,992 | ) | 108,358 | |||||||||||||||
Selling, general and administrative expenses | (15,397 | ) | (94,093 | ) | (9,805 | ) | 17,005 | (102,290 | ) | ||||||||||||
Operating (loss) income | (2,122 | ) | 11,337 | (3,160 | ) | 13 | 6,068 | ||||||||||||||
Interest income | 1 | 44 | 43 | (41 | ) | 47 | |||||||||||||||
Interest expense | (20,286 | ) | (88 | ) | (41 | ) | 41 | (20,374 | ) | ||||||||||||
Other income (expense), net | (294 | ) | — | (74 | ) | — | (368 | ) | |||||||||||||
(Loss) income before income taxes | (22,701 | ) | 11,293 | (3,232 | ) | 13 | (14,627 | ) | |||||||||||||
Income tax benefit (expense) | 6,560 | (6,913 | ) | (23 | ) | — | (376 | ) | |||||||||||||
Equity in earnings of affiliates, net of tax | 2,710 | — | — | (2,710 | ) | — | |||||||||||||||
Net (loss) income | (13,431 | ) | 4,380 | (3,255 | ) | (2,697 | ) | (15,003 | ) | ||||||||||||
Net loss attributable to noncontrolling interest | — | — | 1,572 | — | 1,572 | ||||||||||||||||
Net (loss) income attributable to The Gymboree Corporation | $ | (13,431 | ) | $ | 4,380 | $ | (1,683 | ) | $ | (2,697 | ) | $ | (13,431 | ) | |||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 4, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
Net sales: | |||||||||||||||||||||
Retail | $ | 451 | $ | 273,781 | $ | 12,964 | $ | (6,319 | ) | $ | 280,877 | ||||||||||
Gymboree Play & Music | — | 2,767 | 3,561 | — | 6,328 | ||||||||||||||||
Retail Franchise | — | 5,578 | — | — | 5,578 | ||||||||||||||||
Intercompany revenue | 18,080 | 1,654 | — | (19,734 | ) | — | |||||||||||||||
Total net sales | 18,531 | 283,780 | 16,525 | (26,053 | ) | 292,783 | |||||||||||||||
Cost of goods sold, including buying and occupancy expenses | (1,520 | ) | (166,737 | ) | (8,917 | ) | 5,364 | (171,810 | ) | ||||||||||||
Gross profit | 17,011 | 117,043 | 7,608 | (20,689 | ) | 120,973 | |||||||||||||||
Selling, general and administrative expenses | (18,976 | ) | (97,650 | ) | (8,163 | ) | 20,660 | (104,129 | ) | ||||||||||||
Operating (loss) income | (1,965 | ) | 19,393 | (555 | ) | (29 | ) | 16,844 | |||||||||||||
Interest income | 6 | 11 | 24 | — | 41 | ||||||||||||||||
Interest expense | (20,402 | ) | — | — | — | (20,402 | ) | ||||||||||||||
Other income (expense), net | (104 | ) | (1 | ) | 114 | — | 9 | ||||||||||||||
(Loss) income before income taxes | (22,465 | ) | 19,403 | (417 | ) | (29 | ) | (3,508 | ) | ||||||||||||
Income tax benefit (expense) | 9,397 | (8,055 | ) | (682 | ) | — | 660 | ||||||||||||||
Equity in earnings of affiliates, net of tax | 10,532 | — | — | (10,532 | ) | — | |||||||||||||||
Net (loss) income | (2,536 | ) | 11,348 | (1,099 | ) | (10,561 | ) | (2,848 | ) | ||||||||||||
Net loss attributable to noncontrolling interest | — | — | 312 | — | 312 | ||||||||||||||||
Net (loss) income attributable to The Gymboree Corporation | $ | (2,536 | ) | $ | 11,348 | $ | (787 | ) | $ | (10,561 | ) | $ | (2,536 | ) | |||||||
Condensed Consolidating Statements of Comprehensive Income (Loss) | ' | ||||||||||||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 3, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
Net (loss) income | $ | (13,431 | ) | $ | 4,380 | $ | (3,255 | ) | $ | (2,697 | ) | $ | (15,003 | ) | |||||||
Other comprehensive income (loss), net of tax: | |||||||||||||||||||||
Foreign currency translation adjustments | 78 | — | (369 | ) | (106 | ) | (397 | ) | |||||||||||||
Unrealized net gain (loss) on cash flow hedges, net of tax benefit of $0 | 22 | — | (274 | ) | 274 | 22 | |||||||||||||||
Total other comprehensive income (loss), net of tax | 100 | — | (643 | ) | 168 | (375 | ) | ||||||||||||||
Comprehensive (loss) income | (13,331 | ) | 4,380 | (3,898 | ) | (2,529 | ) | (15,378 | ) | ||||||||||||
Comprehensive loss attributable to noncontrolling interest | — | — | 2,047 | — | 2,047 | ||||||||||||||||
Comprehensive (loss) income attributable to The Gymboree Corporation | $ | (13,331 | ) | $ | 4,380 | $ | (1,851 | ) | $ | (2,529 | ) | $ | (13,331 | ) | |||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 4, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
Net (loss) income | $ | (2,536 | ) | $ | 11,348 | $ | (1,099 | ) | $ | (10,561 | ) | $ | (2,848 | ) | |||||||
Other comprehensive (loss) income, net of tax: | |||||||||||||||||||||
Foreign currency translation adjustments | (60 | ) | — | (39 | ) | 78 | (21 | ) | |||||||||||||
Unrealized net loss on cash flow hedges, net of tax benefit of $65 | (109 | ) | — | 62 | (62 | ) | (109 | ) | |||||||||||||
Total other comprehensive (loss) income, net of tax | (169 | ) | — | 23 | 16 | (130 | ) | ||||||||||||||
Comprehensive (loss) income | (2,705 | ) | 11,348 | (1,076 | ) | (10,545 | ) | (2,978 | ) | ||||||||||||
Comprehensive loss attributable to noncontrolling interest | — | — | 273 | — | 273 | ||||||||||||||||
Comprehensive (loss) income attributable to The Gymboree Corporation | $ | (2,705 | ) | $ | 11,348 | $ | (803 | ) | $ | (10,545 | ) | $ | (2,705 | ) | |||||||
Condensed Consolidating Statements of Cash Flows | ' | ||||||||||||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 3, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (32,373 | ) | $ | 21,239 | $ | (3,549 | ) | $ | — | $ | (14,683 | ) | ||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||||||
Capital expenditures | (511 | ) | (6,935 | ) | (1,907 | ) | — | (9,353 | ) | ||||||||||||
Intercompany transfers | — | (13,335 | ) | — | 13,335 | — | |||||||||||||||
Other | — | — | (56 | ) | — | (56 | ) | ||||||||||||||
Net cash used in investing activities | (511 | ) | (20,270 | ) | (1,963 | ) | 13,335 | (9,409 | ) | ||||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||||||
Intercompany transfers | 9,383 | — | 3,952 | (13,335 | ) | — | |||||||||||||||
Proceeds from ABL facility | 78,000 | — | — | — | 78,000 | ||||||||||||||||
Payments on ABL facility | (68,000 | ) | — | — | — | (68,000 | ) | ||||||||||||||
Payments on capital lease | — | (121 | ) | — | — | (121 | ) | ||||||||||||||
Net cash provided by (used in) financing activities | 19,383 | (121 | ) | 3,952 | (13,335 | ) | 9,879 | ||||||||||||||
Effect of exchange rate fluctuations on cash and cash equivalents | — | — | (443 | ) | — | (443 | ) | ||||||||||||||
Net (decrease) increase in cash and cash equivalents | (13,501 | ) | 848 | (2,003 | ) | — | (14,656 | ) | |||||||||||||
CASH AND CASH EQUIVALENTS: | |||||||||||||||||||||
Beginning of Period | 15,479 | 4,659 | 19,291 | — | 39,429 | ||||||||||||||||
End of Period | $ | 1,978 | $ | 5,507 | $ | 17,288 | $ | — | $ | 24,773 | |||||||||||
THE GYMBOREE CORPORATION | |||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS | |||||||||||||||||||||
FOR THE 13 WEEKS ENDED MAY 4, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
The Gymboree | Guarantor | Non-guarantor | Eliminations | Consolidated | |||||||||||||||||
Corporation | Subsidiaries | Subsidiaries | |||||||||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (13,086 | ) | $ | 33,409 | $ | (605 | ) | $ | — | $ | 19,718 | |||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||||||
Capital expenditures | (480 | ) | (9,430 | ) | (748 | ) | — | (10,658 | ) | ||||||||||||
Intercompany transfers | — | (23,038 | ) | — | 23,038 | — | |||||||||||||||
Other | — | 11 | (104 | ) | — | (93 | ) | ||||||||||||||
Net cash used in investing activities | (480 | ) | (32,457 | ) | (852 | ) | 23,038 | (10,751 | ) | ||||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||||||
Intercompany transfers | 21,127 | — | 1,911 | (23,038 | ) | — | |||||||||||||||
Dividend payment to Parent | (201 | ) | — | — | — | (201 | ) | ||||||||||||||
Capital contribution received by noncontrolling interest | — | — | 1,007 | — | 1,007 | ||||||||||||||||
Net cash provided by financing activities | 20,926 | — | 2,918 | (23,038 | ) | 806 | |||||||||||||||
Effect of exchange rate fluctuations on cash and cash equivalents | — | — | 45 | — | 45 | ||||||||||||||||
Net increase in cash and cash equivalents | 7,360 | 952 | 1,506 | — | 9,818 | ||||||||||||||||
CASH AND CASH EQUIVALENTS: | |||||||||||||||||||||
Beginning of Period | 18,431 | 3,128 | 11,769 | — | 33,328 | ||||||||||||||||
End of Period | $ | 25,791 | $ | 4,080 | $ | 13,275 | $ | — | $ | 43,146 | |||||||||||
Intercompany Transfers of Guarantor Subsidiaries Previously Presented as Financing Activities Classified as Investing Activities | ' | ||||||||||||||||||||
The classification of these intercompany transfers has been corrected in the above condensed consolidating statements of cash flows for the first quarter of May 4, 2013 to be presented within investing activities. This correction has no impact on the condensed consolidated statement of cash flows for the first quarter of May 4, 2013. The effect is summarized as follows: | |||||||||||||||||||||
13 Weeks Ended May 4, 2013 | |||||||||||||||||||||
Guarantor | Guarantor | Eliminations | Eliminations | ||||||||||||||||||
Subsidiaries | Subsidiaries | (As Previously | (As Corrected) | ||||||||||||||||||
(As Previously | (As Corrected) | Reported) | |||||||||||||||||||
Reported) | |||||||||||||||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||||||
Intercompany transfers | $ | — | $ | (23,038 | ) | $ | — | $ | 23,038 | ||||||||||||
Net cash used in investing activities | (9,419 | ) | (32,457 | ) | — | 23,038 | |||||||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||||||
Intercompany transfers | (23,038 | ) | — | — | (23,038 | ) | |||||||||||||||
Net cash used in financing activities | (23,038 | ) | — | — | (23,038 | ) |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets and Liabilities - Additional Information (Detail) (USD $) | 3 Months Ended | |||||
In Millions, unless otherwise specified | 3-May-14 | Feb. 01, 2014 | 3-May-14 | 4-May-13 | 3-May-14 | 4-May-13 |
Cost of Goods Sold | Cost of Goods Sold | Selling, General and Administrative Expenses | Selling, General and Administrative Expenses | |||
Goodwill and Intangible Assets Disclosure [Line Items] | ' | ' | ' | ' | ' | ' |
Impairment for goodwill | $0 | $140.20 | ' | ' | ' | ' |
Net amortization income recorded in cost of goods sold | ' | ' | 0.2 | 0.4 | ' | ' |
Amortization expense recorded in selling, general and administrative expenses | ' | ' | ' | ' | $0.60 | $2.30 |
Intangible_Assets_Detail
Intangible Assets (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Intangible Assets [Line Items] | ' | ' | ' |
Gross Carrying Amount | $622,732 | $622,732 | $621,914 |
Intangible assets subject to amortization, gross carrying amount | 55,238 | 55,238 | 54,055 |
Accumulated Amortization | -46,729 | -45,908 | -43,458 |
Intangible assets subject to amortization, net amount | 8,509 | 9,330 | 10,597 |
Accumulated Impairment | -17,000 | -17,000 | ' |
Net Amount | 559,003 | 559,824 | 578,456 |
Trade names | ' | ' | ' |
Intangible Assets [Line Items] | ' | ' | ' |
Intangible assets not subject to amortization, gross carrying amount | 567,494 | 567,494 | 567,859 |
Accumulated Impairment | -17,000 | -17,000 | ' |
Intangible assets not subject to amortization, net amount | 550,494 | 550,494 | 567,859 |
Customer relationships | ' | ' | ' |
Intangible Assets [Line Items] | ' | ' | ' |
Intangible assets subject to amortization, gross carrying amount | 37,551 | 37,551 | 36,400 |
Accumulated Amortization | -36,975 | -36,803 | -36,400 |
Intangible assets subject to amortization, net amount | 576 | 748 | ' |
Below Market Leases | ' | ' | ' |
Intangible Assets [Line Items] | ' | ' | ' |
Intangible assets subject to amortization, gross carrying amount | 7,055 | 7,055 | 7,055 |
Accumulated Amortization | -4,457 | -4,195 | -3,328 |
Intangible assets subject to amortization, net amount | 2,598 | 2,860 | 3,727 |
Co-branded credit card agreement | ' | ' | ' |
Intangible Assets [Line Items] | ' | ' | ' |
Intangible assets subject to amortization, gross carrying amount | 4,000 | 4,000 | 4,000 |
Accumulated Amortization | -2,112 | -1,958 | -1,496 |
Intangible assets subject to amortization, net amount | 1,888 | 2,042 | 2,504 |
Franchise agreements and reacquired franchise rights | ' | ' | ' |
Intangible Assets [Line Items] | ' | ' | ' |
Intangible assets subject to amortization, gross carrying amount | 6,632 | 6,632 | 6,600 |
Accumulated Amortization | -3,185 | -2,952 | -2,234 |
Intangible assets subject to amortization, net amount | $3,447 | $3,680 | $4,366 |
Intangible_Liabilities_Detail
Intangible Liabilities (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Intangible Liabilities [Line Items] | ' | ' | ' |
Gross carrying amount | ($16,631) | ($16,631) | ($16,626) |
Accumulated amount | 10,508 | 9,999 | 8,055 |
Net amount | ($6,123) | ($6,632) | ($8,571) |
Estimated_Amortization_Expense
Estimated Amortization Expense Income Related to Intangible Assets and Liabilities (Detail) (USD $) | 3-May-14 |
In Thousands, unless otherwise specified | |
Finite Lived Intangible Assets Future Amortization Expense [Line Items] | ' |
2014 (remaining 39 weeks) | $841 |
2015 | 987 |
2016 | 455 |
2017 | -342 |
2018 | -218 |
Thereafter | 663 |
Below Market Leases | ' |
Finite Lived Intangible Assets Future Amortization Expense [Line Items] | ' |
2014 (remaining 39 weeks) | 797 |
2015 | 835 |
2016 | 483 |
2017 | 342 |
2018 | 110 |
Thereafter | 31 |
Above Market Leases | ' |
Finite Lived Intangible Assets Future Amortization Expense [Line Items] | ' |
2014 (remaining 39 weeks) | -1,514 |
2015 | -1,579 |
2016 | -1,428 |
2017 | -1,016 |
2018 | -464 |
Thereafter | -122 |
Other Intangibles | ' |
Finite Lived Intangible Assets Future Amortization Expense [Line Items] | ' |
2014 (remaining 39 weeks) | 1,558 |
2015 | 1,731 |
2016 | 1,400 |
2017 | 332 |
2018 | 136 |
Thereafter | $754 |
Derivative_Financial_Instrumen2
Derivative Financial Instruments - Additional Information (Detail) (USD $) | 1 Months Ended | 3 Months Ended | |
Dec. 31, 2010 | 3-May-14 | 4-May-13 | |
Derivative [Line Items] | ' | ' | ' |
Forward exchange contracts term | ' | '1 year | ' |
Reclassified from other comprehensive loss to interest expense | ' | $20,374,000 | $20,402,000 |
Derivatives | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Interest rate caps, maturity date | 23-Dec-16 | ' | ' |
Payment for interest rate caps hedging | 12,100,000 | ' | ' |
Reclassified from other comprehensive loss to interest expense | ' | 500,000 | 200,000 |
Reclassified from accumulated other comprehensive loss to interest expense within the next 12 months | ' | $2,400,000 | ' |
Outstanding_Derivatives_Design
Outstanding Derivatives Designated as Cash Flow Hedges (Detail) (Derivatives Designated As Cash Flow Hedges, USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | Derivative | Derivative | Derivative |
Derivative [Line Items] | ' | ' | ' |
Number of Instruments | 7 | 10 | 7 |
Notional | $703,065 | $705,029 | $703,459 |
Interest rate derivatives | Interest rate caps | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Number of Instruments | 4 | 4 | 4 |
Notional | 700,000 | 700,000 | 700,000 |
Foreign exchange derivatives | Forward foreign exchange contracts | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Number of Instruments | 3 | 6 | 3 |
Notional | $3,065 | $5,029 | $3,459 |
Outstanding_Derivatives_Not_De
Outstanding Derivatives Not Designated as Hedges (Detail) (Derivatives Not Designated As Cash Flow Hedges, Foreign exchange derivatives, Forward foreign exchange contracts, USD $) | 3-May-14 | Feb. 01, 2014 |
In Thousands, unless otherwise specified | Derivative | Derivative |
Derivatives Not Designated As Cash Flow Hedges | Foreign exchange derivatives | Forward foreign exchange contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Number of Instruments | 1 | 2 |
Notional | $12,210 | $10,339 |
Fair_Value_of_Derivative_Finan
Fair Value of Derivative Financial Instruments (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Derivatives, Fair Value [Line Items] | ' | ' | ' |
Derivative Assets | $533 | $947 | $508 |
Derivative Liabilities | ' | ' | 22 |
Interest rate derivatives | Interest rate caps | Other Assets | ' | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' | ' |
Derivative Assets | 433 | 599 | 508 |
Foreign exchange derivatives | Forward foreign exchange contracts | Other Assets | ' | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' | ' |
Derivative Assets | 100 | 348 | ' |
Foreign exchange derivatives | Forward foreign exchange contracts | Accrued Liabilities | ' | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' | ' |
Derivative Liabilities | ' | ' | $22 |
Effect_of_Derivative_Financial
Effect of Derivative Financial Instruments on Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Gains / (Losses) Recognized in OCI on Derivative (Effective Portion) | ($217) | ($363) |
Gains / (Losses) Reclassified from Accumulated OCI into Income (Effective Portion) | -239 | -189 |
Interest rate derivatives | Interest rate caps | Interest Expense | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Gains / (Losses) Recognized in OCI on Derivative (Effective Portion) | -166 | -456 |
Gains / (Losses) Reclassified from Accumulated OCI into Income (Effective Portion) | -461 | -183 |
Foreign exchange derivatives | Forward foreign exchange contracts | Cost of Goods Sold | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Gains / (Losses) Recognized in OCI on Derivative (Effective Portion) | -51 | 93 |
Gains / (Losses) Reclassified from Accumulated OCI into Income (Effective Portion) | $222 | ($6) |
Assets_and_Liabilities_Measure
Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Assets Fair Value | $1,433 | $15,518 | $25,533 |
Interest rate caps | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Assets Fair Value | 433 | 599 | 508 |
Forward foreign exchange contracts | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Assets Fair Value | 100 | 348 | ' |
Liabilities Fair Value | ' | ' | 22 |
Money market funds | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Assets Fair Value | 900 | 14,571 | 25,025 |
Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Assets Fair Value | 900 | 14,571 | 25,025 |
Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) | Money market funds | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Assets Fair Value | 900 | 14,571 | 25,025 |
Significant Other Observable Inputs (Level 2) | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Assets Fair Value | 533 | 947 | 508 |
Significant Other Observable Inputs (Level 2) | Interest rate caps | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Assets Fair Value | 433 | 599 | 508 |
Significant Other Observable Inputs (Level 2) | Forward foreign exchange contracts | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Assets Fair Value | 100 | 348 | ' |
Liabilities Fair Value | ' | ' | $22 |
Estimated_Fair_Value_of_LongTe
Estimated Fair Value of Long-Term Debt (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' |
Carrying Amount | $1,113,817 | $1,113,742 | $1,138,524 |
Fair Value | 840,567 | 1,000,997 | 1,117,609 |
Term Loan | ' | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' |
Carrying Amount | 767,817 | 767,742 | 767,524 |
Fair Value | 619,127 | 692,192 | 752,174 |
Notes | ' | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' |
Carrying Amount | 346,000 | 346,000 | 371,000 |
Fair Value | $221,440 | $308,805 | $365,435 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | 3 Months Ended | ||
3-May-14 | 4-May-13 | Feb. 01, 2014 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Other financial assets measured at fair value | $0 | $0 | $0 |
Other financial liabilities measured at fair value | 0 | 0 | 0 |
Impairment charges | $0 | $0 | ' |
Line_of_Credit_Additional_Info
Line of Credit - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | 3-May-14 | 4-May-13 | Feb. 01, 2014 |
Commercial and Standby Letters of Credit | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Line of credit, outstanding | $32.60 | ' | ' |
Senior Secured Asset Based Revolving Credit Facility | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Line of credit, borrowing capacity | 225 | ' | ' |
Line of credit, outstanding | 10 | ' | ' |
Line of credit, available balance | 118 | ' | ' |
Line of credit, average borrowing | 9.7 | ' | 4.3 |
Line of credit, borrowings during the period | ' | 0 | ' |
Line of credit, Principal amounts outstanding due date | '2017-03 | ' | ' |
Senior Secured Asset Based Revolving Credit Facility | Federal Funds Effective Rate | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Line of credit, interest rate | 0.50% | ' | ' |
Senior Secured Asset Based Revolving Credit Facility | Adjusted LIBOR Rate | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Line of credit, interest rate | 1.00% | ' | ' |
Senior Secured Asset Based Revolving Credit Facility | Maximum | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Line of credit, additional commitments | $125 | ' | ' |
Senior Secured Asset Based Revolving Credit Facility | After Amendment | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Line of credit, commitment fee | 0.38% | ' | ' |
LongTerm_Debt_Detail
Long-Term Debt (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Debt Instrument [Line Items] | ' | ' | ' |
Long-term debt | $1,113,817 | $1,113,742 | $1,138,524 |
Term Loan | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Long-term debt | 767,817 | 767,742 | 767,524 |
Notes | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Long-term debt | $346,000 | $346,000 | $371,000 |
LongTerm_Debt_Parenthetical_De
Long-Term Debt (Parenthetical) (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Notes | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Senior notes, interest rate | 9.13% | 9.13% | 9.13% |
Term Loan | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Senior secured term loan facility, discount | 1,285 | 1,360 | 1,578 |
LongTerm_Debt_Additional_Infor
Long-Term Debt - Additional Information (Detail) (USD $) | 3 Months Ended | 3 Months Ended | 3 Months Ended | ||||||||||
3-May-14 | 4-May-13 | 3-May-14 | Feb. 01, 2014 | 4-May-13 | 3-May-14 | 3-May-14 | 3-May-14 | Feb. 01, 2014 | 4-May-13 | 3-May-14 | 3-May-14 | 3-May-14 | |
Notes | Notes | Notes | Notes | Minimum | Term Loan | Term Loan | Term Loan | Term Loan | Term Loan | Term Loan | |||
Change in Control of Company | Notes | Base Rate | Adjusted LIBOR Rate | Maximum | |||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt, amount | ' | ' | $400,000,000 | ' | ' | ' | ' | $820,000,000 | ' | ' | ' | ' | ' |
Long-term debt, due date | ' | ' | '2018-12 | ' | ' | ' | ' | '2018-02 | ' | ' | ' | ' | ' |
Long-term debt, allowed additional tranches of loan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200,000,000 |
Long-term debt, interest rate above basis rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.50% | 3.50% | ' |
London interbank offering rate floor | ' | ' | ' | ' | ' | ' | ' | 1.50% | ' | ' | ' | ' | ' |
Interest rate under term loan | ' | ' | ' | ' | ' | ' | ' | 5.00% | ' | ' | ' | ' | ' |
Long-term debt, payment percentage | ' | ' | ' | ' | ' | ' | ' | 0.25% | ' | ' | ' | ' | ' |
Long-term debt, interest rate | ' | ' | 9.13% | 9.13% | 9.13% | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt, redemption price | ' | ' | 100.00% | ' | ' | 101.00% | ' | ' | ' | ' | ' | ' | ' |
Long-term debt, redemption date | ' | ' | ' | ' | ' | ' | 1-Dec-14 | ' | ' | ' | ' | ' | ' |
Long-term debt, Interest expense | 20,374,000 | 20,402,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt interest expense, amortization of deferred financing costs and accretion of OID | 1,776,000 | 1,690,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Senior secured term loan facility, discount | ' | ' | ' | ' | ' | ' | ' | 1,285,000 | 1,360,000 | 1,578,000 | ' | ' | ' |
Deferred financing costs, amortization period | '6 years 4 months 24 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred financing costs, weighted-average remaining amortization period | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred financing costs, amortization expense | $1,700,000 | $1,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Scheduled_Future_Minimum_Princ
Scheduled Future Minimum Principal Payments on Long-Term Debt (Detail) (USD $) | 3-May-14 |
In Thousands, unless otherwise specified | |
Long Term Debt Maturities Repayments Of Principal [Line Items] | ' |
Principal payments in 2014 | ' |
Principal payments in 2015 | ' |
Principal payments in 2016 | ' |
Principal payments in 2017 | 6,502 |
Principal payments in 2018 | 1,108,600 |
Total | $1,115,102 |
Estimated_Amortization_Expense1
Estimated Amortization Expense (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Deferred Costs, Capitalized and Other Assets Disclosure [Line Items] | ' | ' | ' |
2014 (remaining 39 weeks) | $5,132 | ' | ' |
2015 | 7,269 | ' | ' |
2016 | 7,741 | ' | ' |
2017 | 7,269 | ' | ' |
2018 | 3,343 | ' | ' |
Total | $30,754 | $32,455 | $38,419 |
Lease_Incentives_and_Other_Lia2
Lease Incentives and Other Liabilities (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Lease Liability Activity [Line Items] | ' | ' | ' |
Above market leases | $6,123 | $6,632 | $8,571 |
Deferred rent | 16,606 | 15,583 | 12,434 |
Lease allowances | 25,228 | 24,673 | 20,887 |
Other | 2,577 | 3,544 | 1,540 |
Total | $50,534 | $50,432 | $43,432 |
ShareBased_Compensation_Additi
Share-Based Compensation - Additional Information (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Share-based compensation expense | $1,276 | $1,497 |
Dividend_Payment_to_Parent_Add
Dividend Payment to Parent - Additional Information (Detail) (USD $) | 3 Months Ended |
4-May-13 | |
Dividends Payable [Line Items] | ' |
Dividend payment to Parent | $201,000 |
Total equity investments received by VIE as capital contributions | $1,000,000 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Millions, unless otherwise specified | |||
Income Taxes [Line Items] | ' | ' | ' |
Unrecognized tax benefits | $6.60 | $6.60 | $9.80 |
Unrecognized tax benefits decrease during next twelve months | 2 | ' | ' |
Valuation allowance | $35.50 | $31.90 | $4.60 |
Components_of_Accumulated_OCI_
Components of Accumulated OCI, net of Taxes (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 | Feb. 02, 2013 |
In Thousands, unless otherwise specified | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Foreign currency translation | $701 | $623 | $748 | ' |
Accumulated changes in fair value of derivative financial instruments, net of tax benefit of $3,982, $3,982 and $4,047 | -5,481 | -5,503 | -6,831 | ' |
Total accumulated other comprehensive loss | ($4,780) | ($4,880) | ($6,083) | ($5,914) |
Components_of_Accumulated_OCI_1
Components of Accumulated OCI, net of Taxes (Parenthetical) (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 |
In Thousands, unless otherwise specified | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Accumulated changes in fair value of derivative financial instruments, tax benefit | $3,982 | $3,982 | $4,047 |
Changes_in_Accumulated_Other_C
Changes in Accumulated Other Comprehensive Income Balance by Component (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 | Feb. 01, 2014 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Beginning balance | ($4,880) | ($5,914) | ($5,914) |
Other comprehensive income (loss) recognized before reclassifications | -614 | -384 | 376 |
Amounts reclassified from accumulated other comprehensive loss to earnings | 239 | 189 | 869 |
Tax benefit | ' | 65 | ' |
Total other comprehensive loss | -375 | -130 | 1,245 |
Other comprehensive income (loss) attributable to noncontrolling interest | 475 | -39 | -211 |
Ending balance | -4,780 | -6,083 | -4,880 |
Derivatives | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Beginning balance | -5,503 | -6,722 | -6,722 |
Other comprehensive income (loss) recognized before reclassifications | -217 | -363 | 350 |
Amounts reclassified from accumulated other comprehensive loss to earnings | 239 | 189 | 869 |
Tax benefit | ' | 65 | ' |
Total other comprehensive loss | 22 | -109 | 1,219 |
Ending balance | -5,481 | -6,831 | -5,503 |
Foreign Currency | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Beginning balance | 623 | 808 | 808 |
Other comprehensive income (loss) recognized before reclassifications | -397 | -21 | 26 |
Total other comprehensive loss | -397 | -21 | 26 |
Other comprehensive income (loss) attributable to noncontrolling interest | 475 | -39 | -211 |
Ending balance | $701 | $748 | $623 |
Related_Party_Transactions_Add
Related Party Transactions - Additional Information (Detail) (USD $) | 3 Months Ended | 3 Months Ended | 3 Months Ended | 1 Months Ended | |||||||||||||||
In Millions, unless otherwise specified | 3-May-14 | 4-May-13 | Feb. 01, 2014 | 3-May-14 | 4-May-13 | Feb. 01, 2014 | 4-May-13 | 3-May-14 | Feb. 01, 2014 | 3-May-14 | Feb. 01, 2014 | 4-May-13 | 3-May-14 | Feb. 01, 2014 | 4-May-13 | 3-May-14 | Feb. 01, 2014 | 4-May-13 | Apr. 30, 2014 |
Bain Capital Partners Llc | Bain Capital Partners Llc | Bain Capital Partners Llc | LogicSource | LogicSource | LogicSource | Burlington Coat Factory | Burlington Coat Factory | Burlington Coat Factory | Giraffe Holding, Inc | Giraffe Holding, Inc | Giraffe Holding, Inc | Gymboree Investment Holdings Gp Limited | Gymboree Investment Holdings Gp Limited | Gymboree Investment Holdings Gp Limited | Gymboree Hong Kong Limited | Gymboree Hong Kong Limited | Gymboree Hong Kong Limited | Gymboree Play Programs Incorporated | |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payment for management fee and reimbursement of out-of-pocket expenses | $0.80 | $0.90 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payable to related parties | 0.1 | 0.3 | 0.4 | 0.2 | 0.3 | 0.2 | ' | ' | ' | ' | ' | ' | 1.1 | 1.1 | 1.1 | 0.4 | 0.4 | 0.4 | ' |
Purchased Services | ' | ' | ' | 0.6 | 0.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Inventory sold | ' | ' | ' | ' | ' | ' | 0.8 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Receivable from related parties | ' | ' | ' | ' | ' | ' | $0.40 | $0 | $1 | $0.80 | $0.80 | $0 | ' | ' | ' | ' | ' | ' | ' |
Master franchise agreement period with Gymboree Tianjin | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years |
Segment_Information_Additional
Segment Information - Additional Information (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | 3-May-14 | 4-May-13 |
Segment Reporting Information [Line Items] | ' | ' |
Number of reportable segments | 4 | ' |
Retail Segment | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Number of operating segments | 4 | ' |
Gymboree Play & Music | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Intersegment revenue | $2.40 | $1.20 |
International Retail Franchise | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Intersegment revenue | 0.1 | 0.1 |
VIEs | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Intersegment revenue | $0 | $0 |
Financial_Data_of_Each_Reporta
Financial Data of Each Reportable Segment (Detail) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 | Feb. 01, 2014 |
Segment Reporting Information [Line Items] | ' | ' | ' |
Reportable segment, sales | $272,010 | $292,783 | ' |
Reportable segment, operating income (loss) | 6,068 | 16,844 | ' |
Reportable segment, Total assets | 1,815,721 | 2,025,884 | 1,840,104 |
Retail Stores | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Reportable segment, sales | 259,124 | 280,877 | ' |
Gymboree Play & Music | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Reportable segment, sales | 6,832 | 6,328 | ' |
International Retail Franchise | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Reportable segment, sales | 6,054 | 5,578 | ' |
Operating Segments | Retail Stores | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Reportable segment, sales | 257,928 | 279,804 | ' |
Reportable segment, operating income (loss) | 291 | 12,813 | ' |
Reportable segment, Total assets | 1,705,817 | 1,921,518 | ' |
Operating Segments | Gymboree Play & Music | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Reportable segment, sales | 5,049 | 3,991 | ' |
Reportable segment, operating income (loss) | 4,383 | 2,010 | ' |
Reportable segment, Total assets | 60,229 | 64,511 | ' |
Operating Segments | International Retail Franchise | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Reportable segment, sales | 6,167 | 5,685 | ' |
Reportable segment, operating income (loss) | 3,072 | 2,244 | ' |
Reportable segment, Total assets | 30,102 | 29,429 | ' |
Operating Segments | VIEs | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Reportable segment, sales | 5,404 | 4,634 | ' |
Reportable segment, operating income (loss) | -1,691 | -242 | ' |
Reportable segment, Total assets | 21,804 | 15,781 | ' |
Intersegment elimination | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Reportable segment, sales | -2,538 | -1,331 | ' |
Reportable segment, operating income (loss) | 13 | 19 | ' |
Reportable segment, Total assets | ($2,231) | ($5,355) | ' |
Financial_Data_of_Each_Geograp
Financial Data of Each Geographical Segment (Detail) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 | Feb. 01, 2014 |
Geographic Reporting Disclosure [Line Items] | ' | ' | ' |
Net sales | $272,010 | $292,783 | ' |
Long-lived assets | 1,562,298 | 1,729,286 | 1,569,064 |
UNITED STATES | ' | ' | ' |
Geographic Reporting Disclosure [Line Items] | ' | ' | ' |
Net sales | 257,328 | 277,229 | ' |
Long-lived assets | 193,459 | 196,227 | ' |
international geographical segment | ' | ' | ' |
Geographic Reporting Disclosure [Line Items] | ' | ' | ' |
Net sales | 14,682 | 15,554 | ' |
Long-lived assets | $10,017 | $9,758 | ' |
Variable_Interest_Entities_Add
Variable Interest Entities - Additional Information (Detail) (VIEs) | 3 Months Ended |
3-May-14 | |
VIEs | ' |
Variable Interest Entity [Line Items] | ' |
Variable interest entity, percentage of ownership interest | 0.00% |
Variable interest entity, percentage of result of operation recorded as noncontrolling interest | 100.00% |
Impact_of_VIES_on_Condensed_Co
Impact of VIES on Condensed Consolidated Balance sheets (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 | Feb. 02, 2013 |
In Thousands, unless otherwise specified | ||||
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | $24,773 | $39,429 | $43,146 | $33,328 |
Other current assets | 228,650 | 231,611 | 253,452 | ' |
Total current assets | 253,423 | 271,040 | 296,598 | ' |
Non-current assets | 1,562,298 | 1,569,064 | 1,729,286 | ' |
Total assets | 1,815,721 | 1,840,104 | 2,025,884 | ' |
Current liabilities | 191,508 | 202,765 | 164,848 | ' |
Non-current liabilities | 1,389,156 | 1,388,197 | 1,421,631 | ' |
Total liabilities | 1,580,664 | 1,590,962 | 1,586,479 | ' |
Total stockholders' equity | 221,738 | 233,794 | 436,133 | ' |
Noncontrolling interest | 13,319 | 15,348 | 3,272 | ' |
Total liabilities and stockholders' equity | 1,815,721 | 1,840,104 | 2,025,884 | ' |
Balance Before Consolidation of VIEs | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | 13,073 | 25,635 | 35,319 | ' |
Other current assets | 225,247 | 228,129 | 253,503 | ' |
Total current assets | 238,320 | 253,764 | 288,822 | ' |
Non-current assets | 1,557,828 | 1,564,620 | 1,726,636 | ' |
Total assets | 1,796,148 | 1,818,384 | 2,015,458 | ' |
Current liabilities | 185,467 | 196,631 | 157,669 | ' |
Non-current liabilities | 1,388,802 | 1,387,828 | 1,421,443 | ' |
Total liabilities | 1,574,269 | 1,584,459 | 1,579,112 | ' |
Total stockholders' equity | 221,879 | 233,925 | 436,346 | ' |
Total liabilities and stockholders' equity | 1,796,148 | 1,818,384 | 2,015,458 | ' |
VIEs | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | 11,700 | 13,794 | 7,827 | ' |
Other current assets | 5,634 | 4,970 | 5,304 | ' |
Total current assets | 17,334 | 18,764 | 13,131 | ' |
Non-current assets | 4,470 | 4,444 | 2,650 | ' |
Total assets | 21,804 | 23,208 | 15,781 | ' |
Current liabilities | 8,131 | 7,490 | 12,321 | ' |
Non-current liabilities | 354 | 370 | 188 | ' |
Total liabilities | 8,485 | 7,860 | 12,509 | ' |
Noncontrolling interest | 13,319 | 15,348 | 3,272 | ' |
Total liabilities and stockholders' equity | 21,804 | 23,208 | 15,781 | ' |
Eliminations | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Other current assets | -2,231 | -1,488 | -5,355 | ' |
Total current assets | -2,231 | -1,488 | -5,355 | ' |
Total assets | -2,231 | -1,488 | -5,355 | ' |
Current liabilities | -2,090 | -1,356 | -5,142 | ' |
Non-current liabilities | ' | -1 | ' | ' |
Total liabilities | -2,090 | -1,357 | -5,142 | ' |
Total stockholders' equity | -141 | -131 | -213 | ' |
Total liabilities and stockholders' equity | ($2,231) | ($1,488) | ($5,355) | ' |
Impact_of_VIES_on_Condensed_Co1
Impact of VIES on Condensed Consolidated Statements of Operations (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 |
Variable Interest Entity [Line Items] | ' | ' |
Net sales | $272,010 | $292,783 |
Cost of goods sold | -163,652 | -171,810 |
Operating expenses | -102,290 | -104,129 |
Operating income (loss) | 6,068 | 16,844 |
Other non-operating (expense) income | -20,695 | -20,352 |
(Loss) income before income taxes | -14,627 | -3,508 |
Income tax (expense) benefit | -376 | 660 |
Net loss | -15,003 | -2,848 |
Net loss attributable to noncontrolling interest | 1,572 | 312 |
Net loss attributable to The Gymboree Corporation | -13,431 | -2,536 |
Balance Before Consolidation of VIEs | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Net sales | 269,144 | 289,480 |
Cost of goods sold | -162,438 | -170,782 |
Operating expenses | -98,960 | -101,631 |
Operating income (loss) | 7,746 | 17,067 |
Other non-operating (expense) income | -20,591 | -20,483 |
(Loss) income before income taxes | -12,845 | -3,416 |
Income tax (expense) benefit | -599 | 861 |
Net loss | -13,444 | -2,555 |
Net loss attributable to The Gymboree Corporation | -13,444 | -2,555 |
VIEs | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Net sales | 5,404 | 4,634 |
Cost of goods sold | -1,302 | -1,230 |
Operating expenses | -5,793 | -3,646 |
Operating income (loss) | -1,691 | -242 |
Other non-operating (expense) income | -104 | 131 |
(Loss) income before income taxes | -1,795 | -111 |
Income tax (expense) benefit | 223 | -201 |
Net loss | -1,572 | -312 |
Net loss attributable to noncontrolling interest | 1,572 | 312 |
Eliminations | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Net sales | -2,538 | -1,331 |
Cost of goods sold | 88 | 202 |
Operating expenses | 2,463 | 1,148 |
Operating income (loss) | 13 | 19 |
(Loss) income before income taxes | 13 | 19 |
Net loss | 13 | 19 |
Net loss attributable to The Gymboree Corporation | $13 | $19 |
Condensed_Guarantor_Data_Addit
Condensed Guarantor Data - Additional Information (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | 3-May-14 |
Condensed Financial Statements, Captions [Line Items] | ' |
Domestic subsidiaries, ownership percentage | 100.00% |
Non-Guarantor Subsidiaries | ' |
Condensed Financial Statements, Captions [Line Items] | ' |
Issuance of common stock in non-cash investing and financing activity | $18.50 |
Non-Guarantor Subsidiaries | Business Operations | ' |
Condensed Financial Statements, Captions [Line Items] | ' |
Issuance of common stock in non-cash investing and financing activity | 15.3 |
Non-Guarantor Subsidiaries | Advanced Pricing Agreement | ' |
Condensed Financial Statements, Captions [Line Items] | ' |
Issuance of common stock in non-cash investing and financing activity | $3.20 |
Condensed_Consolidating_Balanc
Condensed Consolidating Balance Sheets (Detail) (USD $) | 3-May-14 | Feb. 01, 2014 | 4-May-13 | Feb. 02, 2013 |
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | $24,773 | $39,429 | $43,146 | $33,328 |
Accounts receivable, net of allowance | 22,394 | 21,882 | 22,124 | ' |
Merchandise inventories | 170,411 | 175,495 | 180,796 | ' |
Prepaid income taxes | 2,986 | 1,979 | 3,076 | ' |
Prepaid expenses | 18,623 | 18,801 | 16,809 | ' |
Deferred income taxes | 14,236 | 13,454 | 30,647 | ' |
Total current assets | 253,423 | 271,040 | 296,598 | ' |
Property and equipment, net | 203,476 | 206,308 | 205,985 | ' |
Goodwill | 758,777 | 758,777 | 898,983 | ' |
Other intangible assets, net | 559,003 | 559,824 | 578,456 | ' |
Deferred financing costs | 30,754 | 32,455 | 38,419 | ' |
Other assets | 10,288 | 11,700 | 7,443 | ' |
Total assets | 1,815,721 | 1,840,104 | 2,025,884 | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 73,345 | 101,959 | 57,753 | ' |
Accrued liabilities | 107,648 | 100,303 | 107,095 | ' |
Line of credit | 10,000 | ' | ' | ' |
Current obligation under capital lease | 515 | 503 | ' | ' |
Total current liabilities | 191,508 | 202,765 | 164,848 | ' |
Long-term liabilities: | ' | ' | ' | ' |
Long-term debt | 1,113,817 | 1,113,742 | 1,138,524 | ' |
Long-term obligation under capital lease | 3,269 | 3,402 | ' | ' |
Lease incentives and other liabilities | 56,838 | 56,589 | 51,567 | ' |
Deferred income taxes | 215,232 | 214,464 | 231,540 | ' |
Total liabilities | 1,580,664 | 1,590,962 | 1,586,479 | ' |
Total stockholders' equity | 221,738 | 233,794 | 436,133 | ' |
Noncontrolling interest | 13,319 | 15,348 | 3,272 | ' |
Total liabilities and stockholders' equity | 1,815,721 | 1,840,104 | 2,025,884 | ' |
The Gymboree Corporation | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 1,978 | 15,479 | 25,791 | 18,431 |
Accounts receivable, net of allowance | 1,285 | 1,237 | 1,563 | ' |
Prepaid income taxes | 1,936 | 1,659 | 2,126 | ' |
Prepaid expenses | 3,396 | 3,538 | 3,106 | ' |
Deferred income taxes | 378 | ' | 13,765 | ' |
Total current assets | 8,973 | 21,913 | 46,351 | ' |
Property and equipment, net | 12,526 | 14,288 | 14,654 | ' |
Deferred financing costs | 30,754 | 32,455 | 38,419 | ' |
Other assets | 12,677 | 15,139 | 16,484 | ' |
Investment in subsidiaries | 1,891,827 | 1,870,800 | 1,986,823 | ' |
Total assets | 1,956,757 | 1,954,595 | 2,102,731 | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 6,366 | 27,184 | 6,018 | ' |
Accrued liabilities | 38,439 | 34,328 | 39,685 | ' |
Deferred income taxes | ' | 654 | ' | ' |
Line of credit | 10,000 | ' | ' | ' |
Intercompany payable | 562,899 | 541,397 | 478,061 | ' |
Total current liabilities | 617,704 | 603,563 | 523,764 | ' |
Long-term liabilities: | ' | ' | ' | ' |
Long-term debt | 1,113,817 | 1,113,742 | 1,138,524 | ' |
Lease incentives and other liabilities | 3,498 | 3,496 | 4,310 | ' |
Total liabilities | 1,735,019 | 1,720,801 | 1,666,598 | ' |
Total stockholders' equity | 221,738 | 233,794 | 436,133 | ' |
Total liabilities and stockholders' equity | 1,956,757 | 1,954,595 | 2,102,731 | ' |
Guarantor Subsidiaries | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 5,507 | 4,659 | 4,080 | 3,128 |
Accounts receivable, net of allowance | 19,238 | 18,634 | 18,234 | ' |
Merchandise inventories | 164,920 | 170,126 | 175,123 | ' |
Prepaid income taxes | 395 | 284 | 383 | ' |
Prepaid expenses | 13,953 | 14,095 | 12,434 | ' |
Deferred income taxes | 13,255 | 13,303 | 16,667 | ' |
Intercompany receivable | 565,262 | 559,280 | 491,946 | ' |
Total current assets | 782,530 | 780,381 | 718,867 | ' |
Property and equipment, net | 180,663 | 182,421 | 181,229 | ' |
Goodwill | 721,844 | 721,844 | 859,165 | ' |
Other intangible assets, net | 558,320 | 558,962 | 577,943 | ' |
Other assets | 1,961 | 2,340 | 2,054 | ' |
Total assets | 2,245,318 | 2,245,948 | 2,339,258 | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 65,976 | 73,218 | 51,282 | ' |
Accrued liabilities | 62,400 | 58,430 | 58,358 | ' |
Current obligation under capital lease | 515 | 503 | ' | ' |
Total current liabilities | 128,891 | 132,151 | 109,640 | ' |
Long-term liabilities: | ' | ' | ' | ' |
Long-term obligation under capital lease | 3,269 | 3,402 | ' | ' |
Lease incentives and other liabilities | 48,174 | 48,117 | 41,701 | ' |
Deferred income taxes | 229,490 | 231,163 | 248,136 | ' |
Total liabilities | 409,824 | 414,833 | 399,477 | ' |
Total stockholders' equity | 1,835,494 | 1,831,115 | 1,939,781 | ' |
Total liabilities and stockholders' equity | 2,245,318 | 2,245,948 | 2,339,258 | ' |
Non-Guarantor Subsidiaries | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 17,288 | 19,291 | 13,275 | 11,769 |
Accounts receivable, net of allowance | 1,871 | 2,011 | 2,327 | ' |
Merchandise inventories | 5,960 | 5,823 | 5,659 | ' |
Prepaid income taxes | 655 | 36 | 567 | ' |
Prepaid expenses | 1,274 | 1,168 | 1,269 | ' |
Deferred income taxes | 724 | 918 | 230 | ' |
Total current assets | 27,772 | 29,247 | 23,327 | ' |
Property and equipment, net | 10,287 | 9,599 | 10,102 | ' |
Goodwill | 36,933 | 36,933 | 39,818 | ' |
Other intangible assets, net | 683 | 862 | 513 | ' |
Other assets | 9,908 | 10,920 | 5,501 | ' |
Total assets | 85,583 | 87,561 | 79,261 | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 1,003 | 1,557 | 453 | ' |
Accrued liabilities | 6,809 | 7,545 | 9,052 | ' |
Deferred income taxes | 121 | 113 | 15 | ' |
Intercompany payable | 2,832 | 18,337 | 13,871 | ' |
Total current liabilities | 10,765 | 27,552 | 23,391 | ' |
Long-term liabilities: | ' | ' | ' | ' |
Lease incentives and other liabilities | 5,166 | 4,976 | 5,556 | ' |
Total liabilities | 15,931 | 32,528 | 28,947 | ' |
Total stockholders' equity | 56,333 | 39,685 | 47,042 | ' |
Noncontrolling interest | 13,319 | 15,348 | 3,272 | ' |
Total liabilities and stockholders' equity | 85,583 | 87,561 | 79,261 | ' |
Eliminations | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Merchandise inventories | -469 | -454 | 14 | ' |
Deferred income taxes | -121 | -767 | -15 | ' |
Intercompany receivable | -565,262 | -559,280 | -491,946 | ' |
Total current assets | -565,852 | -560,501 | -491,947 | ' |
Other assets | -14,258 | -16,699 | -16,596 | ' |
Investment in subsidiaries | -1,891,827 | -1,870,800 | -1,986,823 | ' |
Total assets | -2,471,937 | -2,448,000 | -2,495,366 | ' |
Current liabilities: | ' | ' | ' | ' |
Deferred income taxes | -121 | -767 | -15 | ' |
Intercompany payable | -565,731 | -559,734 | -491,932 | ' |
Total current liabilities | -565,852 | -560,501 | -491,947 | ' |
Long-term liabilities: | ' | ' | ' | ' |
Deferred income taxes | -14,258 | -16,699 | -16,596 | ' |
Total liabilities | -580,110 | -577,200 | -508,543 | ' |
Total stockholders' equity | -1,891,827 | -1,870,800 | -1,986,823 | ' |
Total liabilities and stockholders' equity | ($2,471,937) | ($2,448,000) | ($2,495,366) | ' |
Condensed_Consolidating_Statem
Condensed Consolidating Statements of Operations (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 |
Net sales: | ' | ' |
Net sales | $272,010 | $292,783 |
Cost of goods sold, including buying and occupancy expenses | -163,652 | -171,810 |
Gross profit | 108,358 | 120,973 |
Selling, general and administrative expenses | -102,290 | -104,129 |
Operating (loss) income | 6,068 | 16,844 |
Interest income | 47 | 41 |
Interest expense | -20,374 | -20,402 |
Other income (expense), net | -368 | 9 |
(Loss) income before income taxes | -14,627 | -3,508 |
Income tax benefit (expense) | -376 | 660 |
Net (loss) income | -15,003 | -2,848 |
Net loss (income) attributable to noncontrolling interest | 1,572 | 312 |
Net (loss) income attributable to The Gymboree Corporation | -13,431 | -2,536 |
Retail Stores | ' | ' |
Net sales: | ' | ' |
Net sales | 259,124 | 280,877 |
Gymboree Play & Music | ' | ' |
Net sales: | ' | ' |
Net sales | 6,832 | 6,328 |
International Retail Franchise | ' | ' |
Net sales: | ' | ' |
Net sales | 6,054 | 5,578 |
The Gymboree Corporation | ' | ' |
Net sales: | ' | ' |
Net sales | 14,527 | 18,531 |
Cost of goods sold, including buying and occupancy expenses | -1,252 | -1,520 |
Gross profit | 13,275 | 17,011 |
Selling, general and administrative expenses | -15,397 | -18,976 |
Operating (loss) income | -2,122 | -1,965 |
Interest income | 1 | 6 |
Interest expense | -20,286 | -20,402 |
Other income (expense), net | -294 | -104 |
(Loss) income before income taxes | -22,701 | -22,465 |
Income tax benefit (expense) | 6,560 | 9,397 |
Equity in earnings (loss) of affiliates, net of tax | 2,710 | 10,532 |
Net (loss) income | -13,431 | -2,536 |
Net (loss) income attributable to The Gymboree Corporation | -13,431 | -2,536 |
The Gymboree Corporation | Retail Stores | ' | ' |
Net sales: | ' | ' |
Net sales | 280 | 451 |
The Gymboree Corporation | Intercompany revenue | ' | ' |
Net sales: | ' | ' |
Net sales | 14,247 | 18,080 |
Guarantor Subsidiaries | ' | ' |
Net sales: | ' | ' |
Net sales | 264,086 | 283,780 |
Cost of goods sold, including buying and occupancy expenses | -158,656 | -166,737 |
Gross profit | 105,430 | 117,043 |
Selling, general and administrative expenses | -94,093 | -97,650 |
Operating (loss) income | 11,337 | 19,393 |
Interest income | 44 | 11 |
Interest expense | -88 | ' |
Other income (expense), net | ' | -1 |
(Loss) income before income taxes | 11,293 | 19,403 |
Income tax benefit (expense) | -6,913 | -8,055 |
Net (loss) income | 4,380 | 11,348 |
Net (loss) income attributable to The Gymboree Corporation | 4,380 | 11,348 |
Guarantor Subsidiaries | Retail Stores | ' | ' |
Net sales: | ' | ' |
Net sales | 252,597 | 273,781 |
Guarantor Subsidiaries | Gymboree Play & Music | ' | ' |
Net sales: | ' | ' |
Net sales | 2,624 | 2,767 |
Guarantor Subsidiaries | International Retail Franchise | ' | ' |
Net sales: | ' | ' |
Net sales | 6,054 | 5,578 |
Guarantor Subsidiaries | Intercompany revenue | ' | ' |
Net sales: | ' | ' |
Net sales | 2,811 | 1,654 |
Non-Guarantor Subsidiaries | ' | ' |
Net sales: | ' | ' |
Net sales | 15,151 | 16,525 |
Cost of goods sold, including buying and occupancy expenses | -8,506 | -8,917 |
Gross profit | 6,645 | 7,608 |
Selling, general and administrative expenses | -9,805 | -8,163 |
Operating (loss) income | -3,160 | -555 |
Interest income | 43 | 24 |
Interest expense | -41 | ' |
Other income (expense), net | -74 | 114 |
(Loss) income before income taxes | -3,232 | -417 |
Income tax benefit (expense) | -23 | -682 |
Net (loss) income | -3,255 | -1,099 |
Net loss (income) attributable to noncontrolling interest | 1,572 | 312 |
Net (loss) income attributable to The Gymboree Corporation | -1,683 | -787 |
Non-Guarantor Subsidiaries | Retail Stores | ' | ' |
Net sales: | ' | ' |
Net sales | 10,943 | 12,964 |
Non-Guarantor Subsidiaries | Gymboree Play & Music | ' | ' |
Net sales: | ' | ' |
Net sales | 4,208 | 3,561 |
Eliminations | ' | ' |
Net sales: | ' | ' |
Net sales | -21,754 | -26,053 |
Cost of goods sold, including buying and occupancy expenses | 4,762 | 5,364 |
Gross profit | -16,992 | -20,689 |
Selling, general and administrative expenses | 17,005 | 20,660 |
Operating (loss) income | 13 | -29 |
Interest income | -41 | ' |
Interest expense | 41 | ' |
(Loss) income before income taxes | 13 | -29 |
Equity in earnings (loss) of affiliates, net of tax | -2,710 | -10,532 |
Net (loss) income | -2,697 | -10,561 |
Net (loss) income attributable to The Gymboree Corporation | -2,697 | -10,561 |
Eliminations | Retail Stores | ' | ' |
Net sales: | ' | ' |
Net sales | -4,696 | -6,319 |
Eliminations | Intercompany revenue | ' | ' |
Net sales: | ' | ' |
Net sales | ($17,058) | ($19,734) |
Condensed_Consolidating_Statem1
Condensed Consolidating Statements of Comprehensive Income or Loss (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 | Feb. 01, 2014 |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Net (loss) income | ($15,003) | ($2,848) | ' |
Other comprehensive income (loss), net of tax: | ' | ' | ' |
Foreign currency translation adjustments | -397 | -21 | ' |
Unrealized net gain (loss) on cash flow hedges, net of tax benefit | 22 | -109 | ' |
Total other comprehensive income (loss), net of tax | -375 | -130 | 1,245 |
Comprehensive (loss) income | -15,378 | -2,978 | ' |
Comprehensive loss (income) attributable to noncontrolling interest | 2,047 | 273 | ' |
Comprehensive (loss) income attributable to The Gymboree Corporation | -13,331 | -2,705 | ' |
The Gymboree Corporation | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Net (loss) income | -13,431 | -2,536 | ' |
Other comprehensive income (loss), net of tax: | ' | ' | ' |
Foreign currency translation adjustments | 78 | -60 | ' |
Unrealized net gain (loss) on cash flow hedges, net of tax benefit | 22 | -109 | ' |
Total other comprehensive income (loss), net of tax | 100 | -169 | ' |
Comprehensive (loss) income | -13,331 | -2,705 | ' |
Comprehensive (loss) income attributable to The Gymboree Corporation | -13,331 | -2,705 | ' |
Guarantor Subsidiaries | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Net (loss) income | 4,380 | 11,348 | ' |
Other comprehensive income (loss), net of tax: | ' | ' | ' |
Comprehensive (loss) income | 4,380 | 11,348 | ' |
Comprehensive (loss) income attributable to The Gymboree Corporation | 4,380 | 11,348 | ' |
Non-Guarantor Subsidiaries | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Net (loss) income | -3,255 | -1,099 | ' |
Other comprehensive income (loss), net of tax: | ' | ' | ' |
Foreign currency translation adjustments | -369 | -39 | ' |
Unrealized net gain (loss) on cash flow hedges, net of tax benefit | -274 | 62 | ' |
Total other comprehensive income (loss), net of tax | -643 | 23 | ' |
Comprehensive (loss) income | -3,898 | -1,076 | ' |
Comprehensive loss (income) attributable to noncontrolling interest | 2,047 | 273 | ' |
Comprehensive (loss) income attributable to The Gymboree Corporation | -1,851 | -803 | ' |
Eliminations | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Net (loss) income | -2,697 | -10,561 | ' |
Other comprehensive income (loss), net of tax: | ' | ' | ' |
Foreign currency translation adjustments | -106 | 78 | ' |
Unrealized net gain (loss) on cash flow hedges, net of tax benefit | 274 | -62 | ' |
Total other comprehensive income (loss), net of tax | 168 | 16 | ' |
Comprehensive (loss) income | -2,529 | -10,545 | ' |
Comprehensive (loss) income attributable to The Gymboree Corporation | ($2,529) | ($10,545) | ' |
Condensed_Consolidating_Statem2
Condensed Consolidating Statements of Comprehensive Income or Loss (Parenthetical) (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Unrealized net gain (loss) on cash flow hedges, tax (expense) benefit | $0 | $65 |
Condensed_Consolidating_Statem3
Condensed Consolidating Statements of Cash Flows (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net cash (used in) provided by operating activities | ($14,683) | $19,718 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -9,353 | -10,658 |
Other | -56 | -93 |
Net cash used in investing activities | -9,409 | -10,751 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Proceeds from ABL facility | 78,000 | ' |
Payments on ABL facility | -68,000 | ' |
Payments on capital lease | -121 | ' |
Dividend payment to Parent | ' | -201 |
Capital contribution received by noncontrolling interest | ' | 1,007 |
Net cash provided by (used in) financing activities | 9,879 | 806 |
Effect of exchange rate fluctuations on cash and cash equivalents | -443 | 45 |
Net (decrease) increase in cash and cash equivalents | -14,656 | 9,818 |
CASH AND CASH EQUIVALENTS: | ' | ' |
Beginning of period | 39,429 | 33,328 |
End of period | 24,773 | 43,146 |
The Gymboree Corporation | ' | ' |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net cash (used in) provided by operating activities | -32,373 | -13,086 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -511 | -480 |
Net cash used in investing activities | -511 | -480 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Intercompany transfers | 9,383 | 21,127 |
Proceeds from ABL facility | 78,000 | ' |
Payments on ABL facility | -68,000 | ' |
Dividend payment to Parent | ' | -201 |
Net cash provided by (used in) financing activities | 19,383 | 20,926 |
Net (decrease) increase in cash and cash equivalents | -13,501 | 7,360 |
CASH AND CASH EQUIVALENTS: | ' | ' |
Beginning of period | 15,479 | 18,431 |
End of period | 1,978 | 25,791 |
Guarantor Subsidiaries | ' | ' |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net cash (used in) provided by operating activities | 21,239 | 33,409 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -6,935 | -9,430 |
Intercompany transfers | -13,335 | -23,038 |
Other | ' | 11 |
Net cash used in investing activities | -20,270 | -32,457 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Payments on capital lease | -121 | ' |
Net cash provided by (used in) financing activities | -121 | ' |
Net (decrease) increase in cash and cash equivalents | 848 | 952 |
CASH AND CASH EQUIVALENTS: | ' | ' |
Beginning of period | 4,659 | 3,128 |
End of period | 5,507 | 4,080 |
Non-Guarantor Subsidiaries | ' | ' |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net cash (used in) provided by operating activities | -3,549 | -605 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -1,907 | -748 |
Other | -56 | -104 |
Net cash used in investing activities | -1,963 | -852 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Intercompany transfers | 3,952 | 1,911 |
Capital contribution received by noncontrolling interest | ' | 1,007 |
Net cash provided by (used in) financing activities | 3,952 | 2,918 |
Effect of exchange rate fluctuations on cash and cash equivalents | -443 | 45 |
Net (decrease) increase in cash and cash equivalents | -2,003 | 1,506 |
CASH AND CASH EQUIVALENTS: | ' | ' |
Beginning of period | 19,291 | 11,769 |
End of period | 17,288 | 13,275 |
Eliminations | ' | ' |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Intercompany transfers | 13,335 | 23,038 |
Net cash used in investing activities | 13,335 | 23,038 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Intercompany transfers | -13,335 | -23,038 |
Net cash provided by (used in) financing activities | ($13,335) | ($23,038) |
Intercompany_Transfers_of_Guar
Intercompany Transfers of Guarantor Subsidiaries Previously Presented as Financing Activities Classified as Investing Activities (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | 3-May-14 | 4-May-13 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Net cash used in investing activities | ($9,409) | ($10,751) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Net cash used in financing activities | 9,879 | 806 |
Guarantor Subsidiaries | ' | ' |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Intercompany transfers | -13,335 | -23,038 |
Net cash used in investing activities | -20,270 | -32,457 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Net cash used in financing activities | -121 | ' |
Guarantor Subsidiaries | Previously Reported | ' | ' |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Net cash used in investing activities | ' | -9,419 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Intercompany transfers | ' | -23,038 |
Net cash used in financing activities | ' | -23,038 |
Eliminations | ' | ' |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Intercompany transfers | 13,335 | 23,038 |
Net cash used in investing activities | 13,335 | 23,038 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Intercompany transfers | -13,335 | -23,038 |
Net cash used in financing activities | ($13,335) | ($23,038) |