Tuesday Morning (TUEMQ) 10-K 24 Aug 17 2017 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Jun. 30, 2017	Aug. 22, 2017	Dec. 31, 2016
Document And Entity Information [Abstract]
Entity Registrant Name	TUESDAY MORNING CORP/DE
Entity Central Index Key	878,726
Document Type	10-K
Document Period End Date	Jun. 30, 2017
Amendment Flag	false
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	FY
Trading Symbol	TUES
Current Fiscal Year End Date	--06-30
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		45,145,079
Entity Public Float			$ 193,603,090

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2017	Jun. 30, 2016
Current assets:
Cash and cash equivalents	$ 6,263	$ 14,150
Inventories	221,906	242,315
Prepaid expenses	6,367	6,620
Other current assets	1,982	512
Total Current Assets	236,518	263,597
Property and equipment, net	118,397	94,723
Deferred financing costs	986	1,312
Other assets	2,252	2,338
Total Assets	358,153	361,970
Current liabilities:
Accounts payable	67,326	80,853
Accrued liabilities	44,260	43,797
Income taxes payable	11
Total Current Liabilities	111,597	124,650
Borrowings under revolving credit facility	30,500
Deferred rent	13,883	6,747
Asset retirement obligation — non current	2,307	2,561
Other liabilities — non current	1,027	730
Total Liabilities	159,314	134,688
Commitments and contingencies
Stockholders’ equity:
Preferred stock, par value $0.01 per share, authorized 10,000,000 shares; none issued or outstanding
Common stock, par value $0.01 per share, authorized 100,000,000 shares; 46,904,295 shares issued and 45,120,634 shares outstanding at June 30, 2017 and 46,340,214 shares issued and 44,560,896 shares outstanding at June 30, 2016	469	463
Additional paid-in capital	234,604	230,488
Retained earnings/(deficit)	(29,422)	3,120
Less: 1,783,661 common shares in treasury, at cost, at June 30, 2017 and 1,779,318 common shares in treasury, at cost, at June 30, 2016	(6,812)	(6,789)
Total Stockholders’ Equity	198,839	227,282
Total Liabilities and Stockholders’ Equity	$ 358,153	$ 361,970

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2017	Jun. 30, 2016
Stockholders’ equity:
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	46,904,295	46,340,214
Common stock, shares outstanding	45,120,634	44,560,896
Treasury stock, shares	1,783,661	1,779,318

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Income Statement [Abstract]
Net sales	$ 223,642	$ 203,001	$ 328,137	$ 211,885	$ 222,812	$ 211,380	$ 319,876	$ 202,328	$ 966,665	$ 956,396	$ 906,365
Cost of sales									645,920	614,594	579,746
Gross profit	70,268	67,156	105,982	77,339	78,971	77,477	112,679	72,674	320,745	341,802	326,619
Selling, general and administrative expenses									353,025	339,398	314,263
Operating income/(loss)	(17,129)	(14,678)	8,767	(9,240)	(6,281)	(5,932)	20,571	(5,956)	(32,280)	2,404	12,356
Other income/(expense):
Interest expense									(1,485)	(1,068)	(1,445)
Other income/(expense), net									1,420	2,640	(495)
Income/(loss) before income taxes									(32,345)	3,976	10,416
Income tax provision									197	263	31
Net income/(loss)	$ (17,321)	$ (14,796)	$ 8,430	$ (8,855)	$ (3,851)	$ (5,240)	$ 18,944	$ (6,140)	$ (32,542)	$ 3,713	$ 10,385
Net income/(loss) per common share:
Basic	$ (0.39)	$ (0.34)	$ 0.19	$ (0.20)	$ (0.09)	$ (0.12)	$ 0.43	$ (0.14)	$ (0.74)	$ 0.08	$ 0.24
Diluted	$ (0.39)	$ (0.34)	$ 0.19	$ (0.20)	$ (0.09)	$ (0.12)	$ 0.43	$ (0.14)	$ (0.74)	$ 0.08	$ 0.24
Weighted average number of common shares:
Basic									43,943	43,705	43,480
Diluted									43,943	43,736	43,770

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Retained (Deficit) Earnings	Treasury Stock
Balance at Jun. 30, 2014	$ 203,310	$ 454	$ 220,352	$ (10,978)	$ (6,518)
Balance (in shares) at Jun. 30, 2014		43,663,000
Net income (loss)	10,385			10,385
Shares issued or canceled in connection with employee stock incentive plans and related tax effect	3	$ 3
Shares issued or canceled in connection with employee stock incentive plans and related tax effect (in shares)		252,000
Shares issued in connection with exercises of employee stock options	1,100	$ 1	1,099
Shares issued in connection with exercises of employee stock options (in shares)		161,000
Purchase of treasury stock	(143)				(143)
Purchase of treasury stock (in shares)		(7,000)
Share-based compensation expense	5,634		5,634
Balance at Jun. 30, 2015	220,289	$ 458	227,085	(593)	(6,661)
Balance (in shares) at Jun. 30, 2015		44,069,000
Net income (loss)	3,713			3,713
Shares issued or canceled in connection with employee stock incentive plans and related tax effect	5	$ 5
Shares issued or canceled in connection with employee stock incentive plans and related tax effect (in shares)		505,000
Shares issued in connection with exercises of employee stock options (in shares)		5,000
Purchase of treasury stock	(128)				(128)
Purchase of treasury stock (in shares)		(18,000)
Share-based compensation expense	3,403		3,403
Balance at Jun. 30, 2016	$ 227,282	$ 463	230,488	3,120	(6,789)
Balance (in shares) at Jun. 30, 2016	44,560,896	44,561,000
Net income (loss)	$ (32,542)			(32,542)
Shares issued or canceled in connection with employee stock incentive plans and related tax effect	6	$ 6
Shares issued or canceled in connection with employee stock incentive plans and related tax effect (in shares)		558,000
Shares issued in connection with exercises of employee stock options	2		2
Shares issued in connection with exercises of employee stock options (in shares)		6,000
Purchase of treasury stock	(23)				(23)
Purchase of treasury stock (in shares)		(4,000)
Share-based compensation expense	4,114		4,114
Balance at Jun. 30, 2017	$ 198,839	$ 469	$ 234,604	$ (29,422)	$ (6,812)
Balance (in shares) at Jun. 30, 2017	45,120,634	45,121,000

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Cash flows from operating activities:
Net income/(loss)	$ (32,542)	$ 3,713	$ 10,385
Adjustments to reconcile net income/(loss) to net cash provided by operating activities:
Depreciation and amortization	21,349	16,010	12,426
Amortization of financing costs	326	462	595
Loss on disposal of assets	79	700	1,109
Gain on sale-leaseback transaction	(741)	(2,515)
Share-based compensation	4,184	3,115	5,362
Construction allowances from landlords	2,566
Deferred income taxes	31	11
Change in operating assets and liabilities:
Inventories	20,339	(32,043)	(2,050)
Prepaid and other current assets	(1,138)	633	(1,145)
Accounts payable	(16,337)	6,611	(12,042)
Accrued liabilities	(2,047)	6,653	(5,253)
Deferred rent	4,964	2,805	351
Other liabilities—non-current	(648)	2,268
Income taxes payable	19	(10)	(53)
Net cash provided by operating activities	404	8,413	9,685
Cash flows from investing activities:
Capital expenditures	(41,682)	(45,545)	(15,541)
Proceeds from sale-leaseback transaction		8,797
Purchase of intellectual property	(5)	(1,318)
Proceeds from sale of assets	127	41	47
Net cash used in investing activities	(41,560)	(38,025)	(15,494)
Cash flows from financing activities:
Proceeds under revolving credit facility	176,500		6,000
Repayments under revolving credit facility	(146,000)		(6,000)
Change in cash overdraft	2,810
Proceeds from the exercise of employee stock options	8	5	1,104
Payments on capital leases	(26)
Purchase of treasury stock	(23)	(128)	(143)
Payment of financing costs		(903)	(50)
Net cash provided by/(used in) financing activities	33,269	(1,026)	911
Net decrease in cash and cash equivalents	(7,887)	(30,638)	(4,898)
Cash and cash equivalents, beginning of period	14,150	44,788	49,686
Cash and cash equivalents, end of period	6,263	14,150	44,788
Supplemental cash flow information:
Interest paid	1,113	541	800
Income taxes paid	310	$ 256	$ 162
Capital lease obligation incurred	$ 817

NATURE OF OPERATIONS AND SUMMAR

NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Nature of Operations and Summary of Significant Accounting Policies	(1) NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Throughout these notes, Tuesday Morning Corporation is referred to as “Tuesday Morning,” “we” or “the Company”. Tuesday Morning is a leading retailer of off‑price, upscale decorative home accessories, housewares, seasonal goods and famous‑maker gifts that we generally sell below retail prices charged by department and specialty stores, catalogs and on‑line retailers in the United States. We operated 731 discount retail stores in 40 states as of June 30, 2017 (751 and 769 stores at June 30, 2016 and 2015, respectively). We distribute periodic circulars and direct mail that keep customers familiar with Tuesday Morning. (a) Basis of Presentation —The accompanying consolidated financial statements include the accounts of Tuesday Morning Corporation, a Delaware corporation, and its wholly‑owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. We operate our business as a single operating segment. Certain reclassifications were made to prior period amounts to conform to the current period presentation. None of the reclassifications affected our net income/(loss) in any period. We no longer present a separate statement of comprehensive income, as we have no material other comprehensive income items. Our fiscal year ended on June 30, 2017, which we refer to as fiscal 2017. (b) Use of Estimates —The preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of net sales and expenses during the reporting period. Actual results could differ from those estimates. (c) Cash and Cash Equivalents (d) Inventories Stores conduct annual physical inventories, staggered during the second half of the fiscal year. We make adjustments to our financial statements based on the results of the physical inventories. During periods in which no physical inventories occur, we utilize an estimate for recording shrinkage reserves, based on historical trends of physical inventory results. These shrinkage reserves may require a favorable or unfavorable adjustment to actual results to the extent our subsequent physical inventories yield a different result. We review our inventory during and at the end of each quarter to ensure that all necessary pricing actions are taken to adequately value our inventory at the lower of cost or market by recording permanent markdowns to our on hand inventory. Management believes these markdowns result in the appropriate prices necessary to stimulate demand for the merchandise. Actual recorded permanent markdowns could differ materially from management’s initial estimates based on future customer demand or economic conditions. (e) Property and Equipment Estimated Useful Lives Buildings 30 years Furniture and fixtures 3 to 7 years Leasehold improvements Shorter of useful life or lease term Equipment 5 to 10 years Assets under capital lease Shorter of useful life or lease term Software 3 to10 years Upon sale or retirement of an asset, the related cost and accumulated depreciation are removed from our balance sheet and any gain or loss is recognized in the statement of operations. Expenditures for maintenance, minor renewals and repairs are expensed as incurred, while major replacements and improvements are capitalized. For the fiscal year ended June 30, 2017, we disposed of assets with a net book value of approximately $0.1 million, primarily related to our store closing and relocation program. For the fiscal year ended June 30, 2016, we sold two Dallas distribution center buildings and land with a total net book value of $5.2 million in a sale-leaseback transaction (see further discussion in (q) below) and we disposed of assets with a net book value of approximately $0.7 million, primarily related to our store closing and related relocation program. Gains or losses related to the sale or other disposal of such assets in these periods were presented in other income/(expense) on our Consolidated Statement of Operations. (f) Deferred Financing Costs (g) Income Taxes We file our annual federal income tax return on a consolidated basis. Furthermore, we recognize uncertain tax positions when we have determined it is more likely than not that a tax position will be sustained upon examination. However, new information may become available or applicable laws or regulations may change thereby resulting in a favorable or unfavorable adjustment to amounts recorded. (h) Self-Insurance Reserves The insurance liabilities we record are primarily influenced by the frequency and severity of claims, and include a reserve for claims incurred but not yet reported. Our estimated reserves may be materially different from our future actual claim costs, and, when required adjustments to our estimate reserves are identified, the liability will be adjusted accordingly in that period. Our self‑insurance reserves for workers’ compensation, general liability and medical were $8.6 million and $2.5 million and $1.1 million, respectively, at June 30, 2017 and $8.2 million, $3.3 million, and $1.0 million, respectively, at June 30, 2016. We recognize insurance expenses based on the date of an occurrence of a loss including the actual and estimated ultimate costs of our claims. Claims are paid from our reserves and our current period insurance expense is adjusted for the difference in prior period recorded reserves and actual payments as well as changes in estimated reserves. Current period insurance expenses also include the amortization of our premiums paid to our insurance carriers. Expenses for workers’ compensation, general liability and medical insurance were $4.8 million, $3.4 million and $7.7 million, respectively, for the fiscal year ended June 30, 2017 and $3.4 million, $4.0 million and $7.3 million, respectively, for the fiscal year ended June 30, 2016. (i) Revenue Recognition (j) Advertising (k) Financial Instruments (l) Share‑Based Compensation The risk‑free interest rate is the constant maturity risk free interest rate for U.S. Treasury instruments with terms consistent with the expected lives of the awards. The expected term of an option is based on our historical review of employee exercise behavior based on the employee class (executive or non‑executive) and based on our consideration of the remaining contractual term if limited exercise activity existed for a certain employee class. The expected volatility is based on both the historical volatility of our stock based on our historical stock prices and implied volatility of our traded stock options. The expected dividend yield is based on our expectation of not paying dividends on our common stock for the foreseeable future. These inputs were as follows: Fiscal Years Ended June 30, 2017 2016 2015 Weighted average risk-free interest rate 0.6 - 1.9% 1.0 - 1.9% 1.0 - 1.7% Expected life of options (years) 3.0 - 5.5 2.9 - 5.6 3.2 - 5.4 Expected stock volatility 52.7 - 61.0% 46.4 - 56.1% 45.4 - 56.8% Expected dividend yield 0.0% 0.0% 0.0% (m) Net Income/(Loss) Per Common Share (n) Impairment of Long‑Lived Assets and Long‑Lived Assets to Be Disposed Of (o) Intellectual Property As of June 30, 2017, the carrying value of the intellectual property, which included indefinite lived trademarks, was $1.0 million and no impairment was identified or recorded. (p ) Cease use Liability (q) Sale-leaseback The consideration received for the sale, as reduced by closing and transaction costs, was $8.8 million, and the net book value of properties sold was $5.2 million, resulting in a $3.6 million gain. The gain recognized in fiscal year 2016 was $2.5 million, which included the portion of the gain in excess of the present value of the minimum lease payments for the leaseback, and was included in other income in our Consolidated Statement of Operations. During fiscal 2017, we recognized $0.7 million of the gain. The remaining $0.4 million gain deferred on the Consolidated Balance Sheet at June 30, 2017 is classified as short-term, as it will be recognized during fiscal 2018. The leaseback is an operating lease, and we will pay approximately $0.6 million in rent, excluding executory costs, from July 2017 through March 2018. (r) Asset Retirement Obligations — Asset Retirement and Environmental Obligations We record the net present value of the ARO liability and also record a related capital asset, in an equal amount, for leases which contractually result in an asset retirement obligation. The estimated ARO liability is based on a number of assumptions, including costs to return facilities back to specified conditions, inflation rates and discount rates. Accretion expense related to the ARO liability is recognized as operating expense in our Consolidated Statements of Operations. The capitalized asset is depreciated on a straight-line basis over the useful life of the related leasehold improvements. Upon ARO fulfillment, any difference between the actual retirement expense incurred and the recorded estimated ARO liability is recognized as an operating gain or loss in our Consolidated Statements of Operations. Our ARO liability, which totaled $2.5 million at June 30, 2017, (s) Capital lease – (t ) Legal Proceedings (u ) Recent Accounting Pronouncements In March 2016, the FASB issued ASU No. 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”) to reduce the complexity of certain aspects of the accounting for employee share-based payment transactions. ASU 2016-09 involves changes in several aspects of the accounting for share-based payment transactions, including the accounting for the income tax consequences of share-based awards. For public companies, ASU 2016-09 is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. The Company currently expects to adopt this standard in the first fiscal quarter of fiscal 2018 and does not believe the adoption of this standard will result in a material impact on its consolidated financial statements and disclosures. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) (“ASU 2016-02”), which is intended to improve financial reporting in connection with leasing transactions. ASU 2016-02 will require entities (“lessees”) that lease assets with lease terms of more than twelve months to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. Under ASU 2016-02, a right-of-use asset and lease obligation will be recorded for all leases, whether operating or finance, while the income statement will reflect lease expense for operating leases and amortization/interest expense for finance leases. Accounting by entities that own the assets leased by lessees (“lessors”) will remain largely unchanged from current GAAP. In addition, ASU 2016-02 requires disclosures to help investors and other financial statement users better understand the amount, timing and uncertainty of cash flows arising from leases. For public companies, ASU 2016-02 is effective for fiscal years beginning after December 15, 2018 and interim periods within those fiscal years. Early adoption is permitted. A modified retrospective approach is required for all leases existing or entered into after the beginning of the earliest comparative period in the financial statements. The Company currently expects to adopt this standard in the first quarter of fiscal 2020. While the Company is currently evaluating the provisions of ASU 2016-02 to assess the impact on the Company’s consolidated financial statements and disclosures, the primary effect of adopting the new standard will be to record assets and obligations for current operating leases. In July 2015, the FASB issued ASU No. 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory (“ASU 2015-11”), which changes the measurement principle for inventory from the lower of cost or market to the lower of cost or net realizable value, except for companies using the Retail Inventory Method which will continue to use existing impairment models. ASU 2015-11 defines net realizable value as estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The new guidance must be applied on a prospective basis and is effective for fiscal years beginning after December 15, 2016, and interim periods within those years, with early adoption permitted. The Company currently expects to adopt this standard in the first quarter of fiscal 2018 and does not believe the implementation of this standard will result in a material impact on its consolidated financial statements and disclosures. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), an updated standard on revenue recognition, and has since modified the standard with additional ASUs. The new guidance provides enhancements to the quality and consistency of how revenue is reported while also improving comparability in the financial statements of companies reporting using IFRS and GAAP. The core principle of the new standard is for companies to recognize revenue to depict the transfer of goods or services to customers in amounts that reflect the consideration, or payment, to which the company expects to be entitled in exchange for those goods or services. In July 2015, the FASB deferred the effective date of ASU 2014-09. Accordingly, this standard is effective for reporting periods beginning after December 15, 2017, including interim periods within that year, with early adoption permitted for interim and annual periods beginning after December 15, 2016. The Company currently expects to adopt this standard in the first quarter of fiscal 2019 and does not expect this standard to have a material impact on its consolidated financial statements and disclosures, as the vast majority of its revenue is expected to continue to be generated from point-of-sale transactions that are expected to be recognized consistent with its current accounting. The Company’s current accounting for gift card breakage is consistent with the new standard. The Company is currently evaluating whether the standard will affect its current accounting for customer incentives. The Company is continuing to evaluate the impact that this standard will have on its consolidated financial statements and disclosures and expects to use the modified retrospective method when adopting this standard.

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	12 Months Ended
	Jun. 30, 2017
Property Plant And Equipment [Abstract]
Property and Equipment	(2) PROPERTY AND EQUIPMENT Property and equipment, net of accumulated depreciation, consisted of the following (in thousands): June 30, 2017 2016 Land $ 6,628 $ 6,628 Buildings and building improvements 40,879 40,500 Furniture and fixtures 56,877 48,450 Equipment 65,884 60,392 Software 40,750 37,557 Leasehold improvements 44,838 27,745 Assets under capital lease 804 — 256,660 221,272 Less accumulated depreciation (138,263 ) (126,549 ) Net property and equipment $ 118,397 $ 94,723

DEBT

DEBT	12 Months Ended
	Jun. 30, 2017
Debt Disclosure [Abstract]
Debt	(3) DEBT On August 18, 2015, we entered into a new credit agreement providing for an asset-based, five-year senior secured revolving credit facility in the amount of up to $180.0 million which matures on August 18, 2020 (the “Revolving Credit Facility”), and which replaced our previous revolving credit facility, discussed below. The availability of funds under the Revolving Credit Facility is limited to the lesser of a calculated borrowing base and the lenders’ aggregate commitments under the Revolving Credit Facility. Our indebtedness under the Revolving Credit Facility is secured by a lien on substantially all of our assets. The Revolving Credit Facility contains certain restrictive covenants, which affect, among others, our ability to incur liens or incur additional indebtedness, change the nature of our business, sell assets or merge or consolidate with any other entity, or make investments or acquisitions unless they meet certain requirements. The Revolving Credit Facility requires that we satisfy a fixed charge coverage ratio at any time that our availability is less than the greater of 10% of our calculated borrowing base or $12.5 million. Our Revolving Credit Facility may, in some instances, limit our ability to pay cash dividends and repurchase our common stock. In order for the borrower under the Revolving Credit Facility, our subsidiary, to make a restricted payment to us for the payment of a dividend or a repurchase of shares, we must, among other things, maintain availability of 20% of the lesser of our calculated borrowing base or our lenders’ aggregate commitments under the Revolving Credit Facility on a pro forma basis for a specified period prior to and immediately following the restricted payment. As of June 30, 2017, we were in compliance with all of the Revolving Credit Facility covenants. At June 30, 2017, we had $30.5 million outstanding under the Revolving Credit Facility, $6.0 million of outstanding letters of credit and availability of $64.2 million. Letters of credit under the Revolving Credit Facility are primarily for self-insurance purposes. We incur commitment fees of up to 0.25% on the unused portion of the Revolving Credit Facility, payable quarterly. Any borrowing under the Revolving Credit Facility incurs interest at LIBOR or the prime rate, plus an applicable margin, at our election (except with respect to swing loans, which incur interest solely at the prime rate plus the applicable margin), subject to a floor of the one month LIBOR plus an applicable margin in the case of loans based on the prime rate. Interest expense for fiscal year 2017 from the Revolving Credit Facility of $1.5 million was comprised of commitment fees of $0.4 million, interest expense of $0.7 million and the amortization of financing fees of $0.4 million. Interest expense from the Revolving Credit Facility of $1.1 million for fiscal year 2016 was comprised of commitment fees of $0.6 million and amortization of financing fees of $0.5 million. The fair value of the Company's debt approximated its carrying amount as of June 30, 2017. See Note 11 for additional discussion on dividend restrictions under the Revolving Credit Facility.

ACCRUED LIABILITIES

ACCRUED LIABILITIES	12 Months Ended
	Jun. 30, 2017
Payables And Accruals [Abstract]
Accrued Liabilities	(4) ACCRUED LIABILITIES Accrued liabilities consisted of the following (in thousands): June 30, 2017 2016 Sales tax $ 3,543 $ 3,302 Self-insurance reserves 12,192 12,446 Wages & benefits 5,710 7,185 Property taxes 1,524 1,385 Freight 3,988 3,118 Capital expenditures 4,483 2,036 Utilities 1,282 1,506 Deferred rent 1,408 1,022 Cease use 991 1,116 Supplies 94 1,397 Other 9,045 9,284 Total accrued liabilities $ 44,260 $ 43,797

INCOME TAXES

INCOME TAXES	12 Months Ended
	Jun. 30, 2017
Income Tax Disclosure [Abstract]
Income Taxes	(5) INCOME TAXES Income tax provision/(benefit) consisted of (in thousands): Current Deferred Total Fiscal Year Ended June 30, 2017 Federal $ — $ 27 $ 27 State and local 166 4 170 Total $ 166 $ 31 $ 197 Fiscal Year Ended June 30, 2016 Federal $ (147 ) $ 186 $ 39 State and local 399 (175 ) 224 Total $ 252 $ 11 $ 263 Fiscal Year Ended June 30, 2015 Federal $ 19 $ — $ 19 State and local 12 — 12 Total $ 31 $ — $ 31 The difference between income taxes computed at the statutory federal income tax rate of 34% in fiscal 2017, 2016 and 2015, and income taxes recognized in the Consolidated Statements of Operations was as follows (in thousands): Fiscal Year Ended June 30, 2017 2016 2015 Federal income tax provision/(benefit) computed at statutory rate $ (10,997 ) $ 1,351 $ 3,541 State income taxes, net of related federal tax benefit 106 157 106 Increase/(decrease) in federal valuation allowance 10,076 (668 ) (3,369 ) Federal tax credits 68 (670 ) (161 ) Stock option expiration/deficiencies 938 — — Other, net 6 93 (86 ) Provision for income taxes $ 197 $ 263 $ 31 Deferred income taxes reflect the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of our deferred tax assets and liabilities for the fiscal years ended June 30, 2017, 2016 and 2015 were comprised of the following (in thousands): June 30, 2017 2016 2015 Deferred tax assets: Non-current: Other payroll and benefits $ 681 $ 1,482 $ 1,139 Inventory reserves 195 268 195 Self-insurance reserves 4,517 4,611 4,285 Share-based compensation 3,564 3,807 3,736 Other current assets 2,829 2,250 1,535 Deferred rent 5,068 2,266 1,138 Net operating loss and tax credits 25,610 18,497 18,493 Other noncurrent assets 537 1,121 74 Total gross deferred tax assets $ 43,001 $ 34,302 $ 30,595 Deferred tax liabilities: Non-current: Inventory costs $ 9,468 $ 8,199 $ 6,526 Prepaid supplies 2,392 2,506 2,576 Property and equipment 4,033 7,616 4,804 Total gross deferred tax liabilities 15,893 18,321 13,906 Valuation allowance (27,150 ) (15,992 ) (16,689 ) Net deferred tax asset/(liability) $ (42 ) $ (11 ) $ — During fiscal 2013, we established a valuation allowance related to deferred tax assets. In assessing whether a deferred tax asset would be realized, we considered whether it is more likely than not that some portion or all of the deferred tax assets would not be realized. We considered the reversal of existing taxable temporary differences, projected future taxable income, tax planning strategies and loss carry back potential in making this assessment. In evaluating the likelihood that sufficient future earnings would be available in the near future to realize the deferred tax assets, we considered our cumulative losses over three years including the then-current year. Based on the foregoing, we concluded that a valuation allowance was necessary. In fiscal 2017, the deferred tax asset valuation allowance increased $11.2 million. At the end of fiscal 2017, net deferred tax assets totaled $27.1 million, with an offsetting valuation allowance of $27.2 million. We have federal net operating loss carryforwards of $58.0 million. These losses can only be carried forward and utilized to offset future taxable income, but will expire in fiscal year 2035 if not utilized before then. Additionally, we have state net operating loss carryforwards of $38.3 million, which will expire throughout the years 2018 through 2035, if not utilized before then. Accounting for Uncertainty in Income Taxes. The Company or one of its subsidiaries files income tax returns in the U.S. federal jurisdiction, and various state jurisdictions. With few exceptions, the Company is no longer subject to U.S. federal, state and local income tax examinations by tax authorities for years before fiscal 2012. The Internal Revenue Service has concluded an examination of the Company for years ending on or before June 30, 2010. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): Balance at June 30, 2014 $ 220 Additions for tax positions of prior years — Reductions for lapse of statute of limitations (73 ) Balance at June 30, 2015 $ 147 Additions for tax positions of prior years — Reductions for lapse of statute of limitations — Balance at June 30, 2016 $ 147 Additions for tax positions of prior years — Reductions for lapse of statute of limitations — Balance at June 30, 2017 $ 147 The balance of taxes, interest, and penalties at June 30, 2017, that if recognized, would affect the effective tax rate is $247,000. We classify and recognize interest and penalties accrued related to unrecognized tax benefits in income tax expense. During the fiscal years ended June 30, 2017, 2016 and 2015, we recognized $9,000, $16,000, and $23,000 in interest, respectively. No interest or penalties were paid in the tax years ended June 30, 2017, 2016 and 2015. We do not anticipate that the total amount of unrecognized tax benefits will significantly increase or decrease the effective tax rate within 12 months of June 30, 2017.

SHARE-BASED INCENTIVE PLANS

SHARE-BASED INCENTIVE PLANS	12 Months Ended
	Jun. 30, 2017
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Share-Based Incentive Plans	(6) SHARE‑BASED INCENTIVE PLANS Stock Option Awards. We have established the Tuesday Morning Corporation 2004 Long-Term Equity Incentive Plan, as amended (the “2004 Plan”), the Tuesday Morning Corporation 2008 Long-Term Equity Incentive Plan (the “2008 Plan”) and the Tuesday Morning Corporation 2014 Long-Term Incentive Plan, as amended (the “2014 Plan”), which allow for the granting of stock options to directors, officers and key employees of the Company, and certain other key individuals who perform services for us and our subsidiaries. Equity awards may no longer be granted under the 2004 Plan or the 2008 Plan, but equity awards granted under the 2004 Plan and the 2008 Plan are still outstanding. On September 16, 2014, our Board of Directors adopted the Tuesday Morning Corporation 2014 Long-Term Incentive Plan (the “2014 Plan”), and the 2014 Plan was approved by our stockholders at the 2014 annual meeting of stockholders on November 12, 2014. The 2014 Plan became effective on September 16, 2014, and the maximum number of shares reserved for issuance under the 2014 Plan, as amended, is 6.1 million shares plus any awards under the 2008 Plan (i) that were outstanding on September 16, 2014, and, on or after September 16, 2014, are forfeited, expired or are cancelled, and (ii) any shares subject to such awards that, on or after September 16, 2014 are used to satisfy the exercise price or tax withholding obligations with respect to such awards. Our Board of Directors also approved the termination of the 2008 Plan, effective upon the date of stockholder approval of the 2014 Plan, and no new awards will be made under the 2008 Plan. On September 22, 2016, our Board of Directors adopted amendments to the 2014 Plan, which were approved at the 2016 Annual Meeting of Stockholders, to increase the number of shares of our common stock available for issuance under the 2014 Plan and to make additional amendments to the 2014 Plan to, among other things, remove liberal share recycling, reduce the number of shares exempt from minimum vesting, and eliminate discretion to accelerate vesting upon a change in control. On August 22, 2017, our Board of Directors adopted a Second Amendment to the 2014 Plan (the “Second Amendment”) that modified the minimum vesting provisions as they apply to non-employee directors, as described below. The 2014 Plan provides for the granting of incentive stock options, nonqualified stock options, stock appreciation rights, restricted stock, restricted stock units, performance awards, dividend equivalent rights, and other awards which may be granted singly, in combination, or in tandem, and which may be paid in cash, shares of common stock, or a combination of cash and shares of common stock. Under the 2014 Plan, stock options may not vest earlier than one year after the date of grant. "Full Value Awards" (i.e., restricted stock or restricted stock units) that constitute performance awards must vest no earlier than one year after the date of grant, and, prior to the Second Amendment, Full Value Awards that constituted "Tenure Awards" (i.e., awards that vest upon passage of time) could not vest earlier than over the three-year period commencing on the date of grant. The Compensation Committee of our Board of Directors may grant only stock options or Full Value Awards with vesting conditions that are more favorable than the foregoing restrictions with respect to up to 5% of the shares of common stock authorized under the 2014 Plan (referred to in the 2014 Plan as “exempt shares”). Each year, after our annual meeting of stockholders, we grant awards under the 2014 Plan to our non-employee directors. These awards are typically Full Value Awards that constitute Tenure Awards, and vest on the date of the annual meeting of our stockholders next following the date of grant, as is consistent with grants to non-employee directors among members of our peer group. Because the 2014 Plan, prior to the Second Amendment, required that all Full Value Awards that are Tenure Awards vest over a three-year period commencing on the date of grant, annual grants to the non-employee directors would be classified as exempt shares. In order to avoid depletion of the 2014 Plan’s exempt shares through the annual grants to non-employee directors, the Board adopted the Second Amendment to provide that all Tenure Awards made to non-employee directors must vest no earlier than one year after the date of grant. Tenure Awards to employees and consultants must still vest over the three-year period commencing on the date of grant. On November 16, 2016, our stockholders approved amendments to the 2014 Plan to increase the number of shares of the Company’s common stock available for issuance under the 2014 Plan by 2,500,000 shares and to make additional amendments to the 2014 Plan, including (i) reducing the percentage of shares exempt from the minimum vesting requirements under the 2014 Plan, (ii) adding a clawback policy, (iii) generally eliminating the discretion of the Board of Directors to accelerate the vesting of outstanding and unvested awards upon a change of control and (iv) providing that certain shares surrendered in payment of the exercise price of awards or withheld for tax withholding would count against the shares available under the 2014 Plan. Stock options were awarded with a strike price at a fair market value equal to the average of the high and low trading prices of our common stock on the date of grant under the 2004 Plan. Stock options were awarded with a strike price at a fair market value equal to the closing price of our common stock on the date of the grant under the 2008 Plan and the 2014 Plan. Options granted under the 2004 Plan typically vest over periods of one to five years and expire ten years from the date of grant, while options granted under the 2008 Plan and the 2014 Plan typically vest over periods of one to four years and expire ten years from the date of grant. Options granted under the 2004 Plan, the 2008 Plan and the 2014 Plan may have certain performance requirements in addition to service terms. If the performance conditions are not satisfied, the options are forfeited. The exercise prices of stock options outstanding on June 30, 2017, range between $1.24 per share and $20.91 per share. All shares available under the 2004 Plan have been granted. The 2004 Plan and the 2008 Plan terminated as of May 17, 2014 and September 16, 2014, respectively. There were 4.3 million shares available for grant under the 2014 Plan at June 30, 2017. Following is a summary of transactions relating to the 2004 Plan, 2008 Plan and 2014 Plan options for the fiscal years ended June 30, 2017, 2016, and 2015 (share amounts and aggregate intrinsic value in thousands): Number of Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term (Years) Aggregate Intrinsic Value Options Outstanding at June 30, 2014 1,731 12.00 8.75 $ 10,689 Granted during year 375 18.85 Exercised during the year (161 ) 6.85 Forfeited or expired during year (107 ) 20.47 Options Outstanding at June 30, 2015 1,838 13.37 8.25 1,384 Granted during year 2,500 6.48 Exercised during the year (5 ) 1.24 Forfeited or expired during year (1,121 ) 11.81 Options Outstanding at June 30, 2016 3,212 8.57 7.61 2,111 Granted during year 1,564 6.11 Exercised during the year (6 ) 1.24 Forfeited or expired during year (1,254 ) 9.88 Options Outstanding at June 30, 2017 3,516 7.02 7.86 2 Exercisable at June 30, 2017 706 $ 9.90 4.20 $ 2 The weighted average grant date fair value of stock options granted during the fiscal years ended June 30, 2017, 2016, and 2015, was $2.55 per share, $2.75 per share, and $7.52 per share, respectively. The intrinsic value of vested unexercised options at June 30, 2017 is $2,000. There were options to purchase 6,208, 4,667 and 161,226 shares of our common stock, which were exercised during the fiscal years ended June 30, 2017, 2016 and 2015, respectively. The aggregate intrinsic value of stock options exercised was $20,100, $27,000, and $2.1 million during the fiscal years ended June 30, 2017, 2016, and 2015, respectively. At June 30, 2017, we had $2.8 million of total unrecognized share‑based compensation expense related to stock options that is expected to be recognized over a weighted average period of 2.1 years. The following table summarizes information about stock options outstanding at June 30, 2017: Options Outstanding Options Exercisable Range of Exercise Prices Number Outstanding Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Per Share Number Exercisable Weighted Average Exercise Price Per Share $1.24 - $5.59 300,072 8.50 $ 3.83 73,585 $ 4.81 $5.64 - $5.64 696,683 8.51 5.64 104,997 5.64 $5.88 - $5.89 305,508 8.35 5.89 10,000 5.88 $5.95 - $5.95 527,825 8.34 5.95 — — $6.29 - $6.58 25,948 8.44 6.54 8,987 6.47 $6.71 - $6.71 924,595 9.17 6.71 — — $7.90 - $8.54 394,101 5.00 8.05 229,580 8.15 $8.56 - $18.42 265,559 4.12 13.76 230,327 13.53 $19.36 - $19.36 67,908 5.58 19.36 44,414 19.36 $20.91 - $20.91 7,532 7.37 20.91 3,766 20.91 3,515,731 7.86 $ 7.02 705,656 $ 9.91 Restricted Stock Awards —The 2004 Plan, the 2008 Plan and the 2014 Plan authorize the grant of restricted stock awards to directors, officers, key employees and certain other key individuals who perform services for us and our subsidiaries. Equity awards may no longer be granted under the 2004 Plan and the 2008 Plan, but restricted stock awards granted under the 2004 Plan and the 2008 Plan are still outstanding. Restricted stock awards are not transferable, but bear certain rights of common stock ownership including voting and dividend rights. Shares are valued at the fair market value of our common stock at the date of award. Shares may be subject to certain performance requirements. If the performance requirements are not met, the restricted shares are forfeited. Under the 2004 Plan, the 2008 Plan and the 2014 Plan, as of June 30, 2017, there were 1,089,706 shares of restricted stock outstanding with award vesting periods, both performance-based and service-based, of one to four years and a weighted average grant date fair value of $6.57 per share. The following table summarizes information about restricted stock awards outstanding for the fiscal years ended June 30, 2017, 2016, and 2015 (share amounts in thousands): Number of Shares Weighted- Average Fair Value at Date of Grant Outstanding at June 30, 2014 356 $ 12.66 Granted during year 302 19.20 Vested during year (176 ) 12.95 Forfeited during year (50 ) 14.07 Outstanding at June 30, 2015 432 $ 16.95 Granted during year 869 6.98 Vested during year (175 ) 12.52 Forfeited during year (364 ) 12.65 Outstanding at June 30, 2016 762 $ 8.65 Granted during year 941 5.80 Vested during year (230 ) 8.38 Forfeited during year (383 ) 7.73 Outstanding at June 30, 2017 1,090 $ 6.57 Performance-Based Restricted Stock Awards and Performance-Based Stock Option Awards. As of June 30, 2017, there were 1,381,496 performance-based restricted stock awards and performance-based stock option awards outstanding under the 2014 Plan, which are included in the respective stock option and restricted stock tables above. Share-based compensation costs : We recognized share‑based compensation costs as follows (in thousands): Fiscal Years Ended June 30, 2017 2016 2015 Amortization of share-based compensation during the period $ 4,114 $ 3,403 $ 5,634 Amounts capitalized in inventory (1,497 ) (1,724 ) (1,765 ) Amount recognized and charged to cost of sales 1,567 1,436 1,493 Amounts charged against income for the period before tax $ 4,184 $ 3,115 $ 5,362

OPERATING LEASES

OPERATING LEASES	12 Months Ended
	Jun. 30, 2017
Leases [Abstract]
Operating Leases	(7) OPERATING LEASES We lease substantially all store locations under operating leases. Our existing store leases generally are for an initial term of five to ten years with two five‑year renewal options and, in limited circumstances, our store leases involve a tenant allowance for leasehold improvements. We record rent expense ratably over the life of the lease beginning with the date we take possession of or have the right to use the premises, and if our leases provide for a tenant allowance, we record the landlord reimbursement as a liability and ratably amortize the liability as a reduction to rent expense over the lease term beginning with the date we take possession of or control the physical access to the premises. Leases for new stores also typically allow us the ability to terminate a lease after 24 to 60 months if the store does not deliver sales expectations. In fiscal 2015, we executed a lease for approximately 0.6 million square feet related to our new, additional distribution center in Phoenix, Arizona, which started operations in the fourth quarter of fiscal year 2016.The future minimum rental payments for this lease are included in the table below. Future minimum rental payments under leases are as follows (in thousands): Fiscal Years Ending June 30, 2018 $ 91,386 2019 78,731 2020 65,726 2021 55,585 2022 47,599 Thereafter 183,305 Total minimum rental payments $ 522,332 Rent expense for the fiscal years ended June 30, 2017, 2016, and 2015 was $108.0 million, $98.3 million, and $86.6 million, respectively. Rent expense includes rent for store locations and our distribution centers. Contingent rent based on sales is not material to our financial statements.

401(K) PROFIT SHARING PLAN

401(K) PROFIT SHARING PLAN	12 Months Ended
	Jun. 30, 2017
Compensation And Retirement Disclosure [Abstract]
401(K) Profit Sharing Plan	(8) 401(K) PROFIT SHARING PLAN We have a 401(k) profit sharing plan for the benefit of our full‑time employees who become eligible after six months of service, and for our part-time employees who become eligible after both 12 months of service and 1,000 hours minimum worked. Under the plan, eligible employees may request us to deduct and contribute from 1% to 75% of their salary to the plan, subject to Internal Revenue Service Regulations. We match each participant’s contribution up to 4% of participant’s compensation. We expensed contributions of $1.3 million, $1.2 million, and $1.1 million for the fiscal years ended June 30, 2017, 2016, and 2015, respectively.

EARNINGS PER COMMON SHARE

EARNINGS PER COMMON SHARE	12 Months Ended
	Jun. 30, 2017
Earnings Per Share [Abstract]
Earnings Per Common Share	(9) EARNINGS PER COMMON SHARE The following table sets forth the computation of basic and diluted earnings/(loss) per common share (in thousands, except per share amounts): Fiscal Year Ended June 30, 2017 2016 2015 Net income/(loss) $ (32,542 ) $ 3,713 $ 10,385 Less: Income to participating securities — 40 92 Net income/(loss) attributable to common shares $ (32,542 ) $ 3,673 $ 10,293 Weighted average common shares outstanding—basic 43,943 43,705 43,480 Effect of dilutive stock equivalents — 31 290 Weighted average common shares outstanding—dilutive 43,943 43,736 43,770 Net income/(loss) per common share—basic $ (0.74 ) $ 0.08 $ 0.24 Net income/(loss) per common share—diluted $ (0.74 ) $ 0.08 $ 0.24 For the year ended June 30, 2017, all options representing rights to purchase shares were excluded from the diluted loss per share calculation as we had a net loss for the periods and the assumed exercise of such options would have been anti-dilutive. Options representing rights to purchase shares of common stock of 0.1 million for the year ended June 30, 2016 and 0.5 million for the year ended June 30, 2015 were not included in the diluted earnings per share calculation because the assumed exercise of such options would have been anti‑dilutive.

QUARTERLY RESULTS OF OPERATIONS

QUARTERLY RESULTS OF OPERATIONS (UNAUDITED)	12 Months Ended
	Jun. 30, 2017
Quarterly Financial Information Disclosure [Abstract]
Quarterly Results of Operations	(10) QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) A summary of the unaudited quarterly results is as follows for the years ended June 30, 2017 and 2016 (in thousands, except per share amounts): Quarters Ended Sept. 30, 2016 Dec. 31, 2016 March 31, 2017 June 30, 2017 Net sales $ 211,885 $ 328,137 $ 203,001 $ 223,642 Gross profit (1) 77,339 105,982 67,156 70,268 Operating income/(loss) (1) (9,240 ) 8,767 (14,678 ) (17,129 ) Net income/(loss) (1) (8,855 ) 8,430 (14,796 ) (17,321 ) Basic income/(loss) per share (2) $ (0.20 ) $ 0.19 $ (0.34 ) $ (0.39 ) Diluted income/(loss) per share (2) $ (0.20 ) $ 0.19 $ (0.34 ) $ (0.39 ) Quarters Ended Sept. 30, 2015 Dec. 31, 2015 March 31, 2016 June 30, 2016 Net sales $ 202,328 $ 319,876 $ 211,380 $ 222,812 Gross profit (1) 72,674 112,679 77,477 78,971 Operating income/(loss) (1) (5,956 ) 20,571 (5,932 ) (6,281 ) Net income/(loss) (1) (6,140 ) 18,944 (5,240 ) (3,851 ) Basic income/(loss) per share (2) $ (0.14 ) $ 0.43 $ (0.12 ) $ (0.09 ) Diluted income/(loss) per share (2) $ (0.14 ) $ 0.43 $ (0.12 ) $ (0.09 ) (1) Our results are computed independently for each of the quarters presented. Therefore, the sum of the quarterly amounts presented may not equal the total computed for the year due to rounding. (2) Net income/(loss) per share amounts are computed independently for each of the quarters presented. Therefore, the sum of the quarterly net income/(loss) per share in fiscal years 2017 and 2016 may not equal the total computed for the year. A significant portion of our net sales and net earnings are realized during the period from October through December while the increase in merchandise purchases in preparation for this holiday selling season occurs in prior months.

DIVIDEND RESTRICTIONS

DIVIDEND RESTRICTIONS	12 Months Ended
	Jun. 30, 2017
Disclosure Of Restrictions On Dividends Loans And Advances Disclosure [Abstract]
Dividend Restrictions	(11) DIVIDEND RESTRICTIONS The Revolving Credit Facility discussed in Note 3 restricts the ability of Tuesday Morning, Inc., the borrower under the Revolving Credit Facility and Tuesday Morning’s principal operating subsidiary, to incur additional liens and indebtedness, make investments and dispositions, pay dividends (including to Tuesday Morning), or enter into certain other transactions, among other restrictions. As a consolidated deficit exists as of June 30, 2017, no retained earnings are free of limitation on the payment of dividends on that date. At June 30, 2017, restricted net assets of consolidated subsidiaries were $12.8 million.

Condensed Financial Information

Condensed Financial Information	12 Months Ended
	Jun. 30, 2017
Condensed Financial Information Of Parent Company Only Disclosure [Abstract]
Condensed Financial Information	Tuesday Morning Corporation (parent company only) Condensed Balance Sheets June 30, June 30, 2017 2016 ASSETS Current assets: Accounts receivable from subsidiaries $ 24,489 $ 19,048 Total current assets 24,489 19,048 Noncurrent assets: Investment in subsidiaries 174,350 208,234 Total noncurrent assets 174,350 208,234 Total Assets $ 198,839 $ 227,282 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable to subsidiaries $ — $ — Total current liabilities — — Noncurrent Liabilities — — Total Liabilities — — Stockholders' equity: Common stock 469 463 Additional paid-in capital 234,604 230,488 Retained earnings/(deficit) (29,422 ) 3,120 Less: Treasury stock (6,812 ) (6,789 ) Total stockholders' equity 198,839 227,282 Total Liabilities and Stockholders' Equity $ 198,839 $ 227,282 Tuesday Morning Corporation (parent company only) Condensed Statement of Operations Fiscal Years Ended June 30 2017 2016 2015 Net sales $ — $ — $ — Cost of sales — — — Gross profit — — — Selling, general and administrative expenses — — — Operating income/(loss) — — — Other income/(expense): Interest expense — — — Other income/(expense), net — — — Income/(loss) before taxes — — — Income tax provision — — — Net income/(loss) of subsidiaries (32,542 ) 3,713 10,385 Net income/(loss) $ (32,542 ) $ 3,713 $ 10,385 A. Basis of presentation In the condensed parent-company-only financial statements, Tuesday Morning Corporation’s investment in subsidiaries is stated at cost plus equity in undistributed earnings of subsidiaries since the date of acquisition. These condensed parent-company-only financial statements should be read in conjunction with Tuesday Morning Corporation’s consolidated financial statements. Condensed statements of cash flows were not presented because Tuesday Morning Corporation had no cash flow activities during fiscal 2017, fiscal 2016, or fiscal 2015. B. Guarantees and Restrictions As of June 30, 2017, Tuesday Morning, Inc. had $64.2 million of available credit on the Revolving Credit Facility that provides commitments of up to $180.0 million for revolving loans and letters of credit. Tuesday Morning Corporation, Tuesday Morning Inc. and the subsidiaries of Tuesday Morning, Inc. have guaranteed all obligations under the Revolving Credit Facility. In the event of default under the Revolving Credit Facility, Tuesday Morning Corporation, Tuesday Morning, Inc. and the subsidiaries of Tuesday Morning, Inc. will be directly liable to the debt holders. The Revolving Credit Facility includes restrictions on the ability of Tuesday Morning Corporation, Tuesday Morning, Inc. and the subsidiaries of Tuesday Morning, Inc. to incur additional liens and indebtedness, make investments and dispositions, pay dividends or make other transactions, among other restrictions. Under the Revolving Credit Facility, in order for Tuesday Morning, Inc. to make a dividend to Tuesday Morning Corporation for the payment of a dividend or a repurchase of shares, Tuesday Morning, Inc. must, among other things, maintain availability of 20% of the lesser of the calculated borrowing base or the lenders’ aggregate commitments under the Revolving Credit Facility on a pro forma basis for a specified period prior to and immediately following the restricted payment.

NATURE OF OPERATIONS AND SUMM19

NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Basis of Presentation	(a) Basis of Presentation —The accompanying consolidated financial statements include the accounts of Tuesday Morning Corporation, a Delaware corporation, and its wholly‑owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. We operate our business as a single operating segment. Certain reclassifications were made to prior period amounts to conform to the current period presentation. None of the reclassifications affected our net income/(loss) in any period. We no longer present a separate statement of comprehensive income, as we have no material other comprehensive income items. Our fiscal year ended on June 30, 2017, which we refer to as fiscal 2017.
Use of Estimates	(b) Use of Estimates —The preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of net sales and expenses during the reporting period. Actual results could differ from those estimates.
Cash and Cash Equivalents	(c) Cash and Cash Equivalents
Inventories	(d) Inventories Stores conduct annual physical inventories, staggered during the second half of the fiscal year. We make adjustments to our financial statements based on the results of the physical inventories. During periods in which no physical inventories occur, we utilize an estimate for recording shrinkage reserves, based on historical trends of physical inventory results. These shrinkage reserves may require a favorable or unfavorable adjustment to actual results to the extent our subsequent physical inventories yield a different result. We review our inventory during and at the end of each quarter to ensure that all necessary pricing actions are taken to adequately value our inventory at the lower of cost or market by recording permanent markdowns to our on hand inventory. Management believes these markdowns result in the appropriate prices necessary to stimulate demand for the merchandise. Actual recorded permanent markdowns could differ materially from management’s initial estimates based on future customer demand or economic conditions.
Property and Equipment	(e) Property and Equipment Estimated Useful Lives Buildings 30 years Furniture and fixtures 3 to 7 years Leasehold improvements Shorter of useful life or lease term Equipment 5 to 10 years Assets under capital lease Shorter of useful life or lease term Software 3 to10 years Upon sale or retirement of an asset, the related cost and accumulated depreciation are removed from our balance sheet and any gain or loss is recognized in the statement of operations. Expenditures for maintenance, minor renewals and repairs are expensed as incurred, while major replacements and improvements are capitalized. For the fiscal year ended June 30, 2017, we disposed of assets with a net book value of approximately $0.1 million, primarily related to our store closing and relocation program. For the fiscal year ended June 30, 2016, we sold two Dallas distribution center buildings and land with a total net book value of $5.2 million in a sale-leaseback transaction (see further discussion in (q) below) and we disposed of assets with a net book value of approximately $0.7 million, primarily related to our store closing and related relocation program. Gains or losses related to the sale or other disposal of such assets in these periods were presented in other income/(expense) on our Consolidated Statement of Operations.
Deferred Financing Costs	(f) Deferred Financing Costs
Income Taxes	(g) Income Taxes We file our annual federal income tax return on a consolidated basis. Furthermore, we recognize uncertain tax positions when we have determined it is more likely than not that a tax position will be sustained upon examination. However, new information may become available or applicable laws or regulations may change thereby resulting in a favorable or unfavorable adjustment to amounts recorded.
Self Insurance Reserves	(h) Self-Insurance Reserves The insurance liabilities we record are primarily influenced by the frequency and severity of claims, and include a reserve for claims incurred but not yet reported. Our estimated reserves may be materially different from our future actual claim costs, and, when required adjustments to our estimate reserves are identified, the liability will be adjusted accordingly in that period. Our self‑insurance reserves for workers’ compensation, general liability and medical were $8.6 million and $2.5 million and $1.1 million, respectively, at June 30, 2017 and $8.2 million, $3.3 million, and $1.0 million, respectively, at June 30, 2016. We recognize insurance expenses based on the date of an occurrence of a loss including the actual and estimated ultimate costs of our claims. Claims are paid from our reserves and our current period insurance expense is adjusted for the difference in prior period recorded reserves and actual payments as well as changes in estimated reserves. Current period insurance expenses also include the amortization of our premiums paid to our insurance carriers. Expenses for workers’ compensation, general liability and medical insurance were $4.8 million, $3.4 million and $7.7 million, respectively, for the fiscal year ended June 30, 2017 and $3.4 million, $4.0 million and $7.3 million, respectively, for the fiscal year ended June 30, 2016.
Revenue Recognition	(i) Revenue Recognition
Advertising	(j) Advertising
Financial Instruments	(k) Financial Instruments
Share-Based Compensation	(l) Share‑Based Compensation The risk‑free interest rate is the constant maturity risk free interest rate for U.S. Treasury instruments with terms consistent with the expected lives of the awards. The expected term of an option is based on our historical review of employee exercise behavior based on the employee class (executive or non‑executive) and based on our consideration of the remaining contractual term if limited exercise activity existed for a certain employee class. The expected volatility is based on both the historical volatility of our stock based on our historical stock prices and implied volatility of our traded stock options. The expected dividend yield is based on our expectation of not paying dividends on our common stock for the foreseeable future. These inputs were as follows: Fiscal Years Ended June 30, 2017 2016 2015 Weighted average risk-free interest rate 0.6 - 1.9% 1.0 - 1.9% 1.0 - 1.7% Expected life of options (years) 3.0 - 5.5 2.9 - 5.6 3.2 - 5.4 Expected stock volatility 52.7 - 61.0% 46.4 - 56.1% 45.4 - 56.8% Expected dividend yield 0.0% 0.0% 0.0%
Net Income/(Loss) Per Common Share	(m) Net Income/(Loss) Per Common Share
Impairment of Long-Lived Assets and Long-Lived Assets to Be Disposed Of	(n) Impairment of Long‑Lived Assets and Long‑Lived Assets to Be Disposed Of
Intellectual Property	(o) Intellectual Property As of June 30, 2017, the carrying value of the intellectual property, which included indefinite lived trademarks, was $1.0 million and no impairment was identified or recorded.
Cease use Liability	(p ) Cease use Liability
Sale-leaseback	(q) Sale-leaseback The consideration received for the sale, as reduced by closing and transaction costs, was $8.8 million, and the net book value of properties sold was $5.2 million, resulting in a $3.6 million gain. The gain recognized in fiscal year 2016 was $2.5 million, which included the portion of the gain in excess of the present value of the minimum lease payments for the leaseback, and was included in other income in our Consolidated Statement of Operations. During fiscal 2017, we recognized $0.7 million of the gain. The remaining $0.4 million gain deferred on the Consolidated Balance Sheet at June 30, 2017 is classified as short-term, as it will be recognized during fiscal 2018. The leaseback is an operating lease, and we will pay approximately $0.6 million in rent, excluding executory costs, from July 2017 through March 2018.
Asset Retirement Obligations	(r) Asset Retirement Obligations — Asset Retirement and Environmental Obligations We record the net present value of the ARO liability and also record a related capital asset, in an equal amount, for leases which contractually result in an asset retirement obligation. The estimated ARO liability is based on a number of assumptions, including costs to return facilities back to specified conditions, inflation rates and discount rates. Accretion expense related to the ARO liability is recognized as operating expense in our Consolidated Statements of Operations. The capitalized asset is depreciated on a straight-line basis over the useful life of the related leasehold improvements. Upon ARO fulfillment, any difference between the actual retirement expense incurred and the recorded estimated ARO liability is recognized as an operating gain or loss in our Consolidated Statements of Operations. Our ARO liability, which totaled $2.5 million at June 30, 2017,
Capital Lease	(s) Capital lease –
Legal Proceedings	(t ) Legal Proceedings
Recent Accounting Pronouncements	(u ) Recent Accounting Pronouncements In March 2016, the FASB issued ASU No. 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”) to reduce the complexity of certain aspects of the accounting for employee share-based payment transactions. ASU 2016-09 involves changes in several aspects of the accounting for share-based payment transactions, including the accounting for the income tax consequences of share-based awards. For public companies, ASU 2016-09 is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. The Company currently expects to adopt this standard in the first fiscal quarter of fiscal 2018 and does not believe the adoption of this standard will result in a material impact on its consolidated financial statements and disclosures. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) (“ASU 2016-02”), which is intended to improve financial reporting in connection with leasing transactions. ASU 2016-02 will require entities (“lessees”) that lease assets with lease terms of more than twelve months to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. Under ASU 2016-02, a right-of-use asset and lease obligation will be recorded for all leases, whether operating or finance, while the income statement will reflect lease expense for operating leases and amortization/interest expense for finance leases. Accounting by entities that own the assets leased by lessees (“lessors”) will remain largely unchanged from current GAAP. In addition, ASU 2016-02 requires disclosures to help investors and other financial statement users better understand the amount, timing and uncertainty of cash flows arising from leases. For public companies, ASU 2016-02 is effective for fiscal years beginning after December 15, 2018 and interim periods within those fiscal years. Early adoption is permitted. A modified retrospective approach is required for all leases existing or entered into after the beginning of the earliest comparative period in the financial statements. The Company currently expects to adopt this standard in the first quarter of fiscal 2020. While the Company is currently evaluating the provisions of ASU 2016-02 to assess the impact on the Company’s consolidated financial statements and disclosures, the primary effect of adopting the new standard will be to record assets and obligations for current operating leases. In July 2015, the FASB issued ASU No. 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory (“ASU 2015-11”), which changes the measurement principle for inventory from the lower of cost or market to the lower of cost or net realizable value, except for companies using the Retail Inventory Method which will continue to use existing impairment models. ASU 2015-11 defines net realizable value as estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The new guidance must be applied on a prospective basis and is effective for fiscal years beginning after December 15, 2016, and interim periods within those years, with early adoption permitted. The Company currently expects to adopt this standard in the first quarter of fiscal 2018 and does not believe the implementation of this standard will result in a material impact on its consolidated financial statements and disclosures. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), an updated standard on revenue recognition, and has since modified the standard with additional ASUs. The new guidance provides enhancements to the quality and consistency of how revenue is reported while also improving comparability in the financial statements of companies reporting using IFRS and GAAP. The core principle of the new standard is for companies to recognize revenue to depict the transfer of goods or services to customers in amounts that reflect the consideration, or payment, to which the company expects to be entitled in exchange for those goods or services. In July 2015, the FASB deferred the effective date of ASU 2014-09. Accordingly, this standard is effective for reporting periods beginning after December 15, 2017, including interim periods within that year, with early adoption permitted for interim and annual periods beginning after December 15, 2016. The Company currently expects to adopt this standard in the first quarter of fiscal 2019 and does not expect this standard to have a material impact on its consolidated financial statements and disclosures, as the vast majority of its revenue is expected to continue to be generated from point-of-sale transactions that are expected to be recognized consistent with its current accounting. The Company’s current accounting for gift card breakage is consistent with the new standard. The Company is currently evaluating whether the standard will affect its current accounting for customer incentives. The Company is continuing to evaluate the impact that this standard will have on its consolidated financial statements and disclosures and expects to use the modified retrospective method when adopting this standard.

NATURE OF OPERATIONS AND SUMM20

NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Summary of Property and Equipment Estimated Useful Lives	Buildings 30 years Furniture and fixtures 3 to 7 years Leasehold improvements Shorter of useful life or lease term Equipment 5 to 10 years Assets under capital lease Shorter of useful life or lease term Software 3 to10 years
Schedule of Fair Value Assumptions of Stock Option Granted	Fiscal Years Ended June 30, 2017 2016 2015 Weighted average risk-free interest rate 0.6 - 1.9% 1.0 - 1.9% 1.0 - 1.7% Expected life of options (years) 3.0 - 5.5 2.9 - 5.6 3.2 - 5.4 Expected stock volatility 52.7 - 61.0% 46.4 - 56.1% 45.4 - 56.8% Expected dividend yield 0.0% 0.0% 0.0%

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	12 Months Ended
	Jun. 30, 2017
Property Plant And Equipment [Abstract]
Schedule of Property and Equipment, Net of Accumulated Depreciation	Property and equipment, net of accumulated depreciation, consisted of the following (in thousands): June 30, 2017 2016 Land $ 6,628 $ 6,628 Buildings and building improvements 40,879 40,500 Furniture and fixtures 56,877 48,450 Equipment 65,884 60,392 Software 40,750 37,557 Leasehold improvements 44,838 27,745 Assets under capital lease 804 — 256,660 221,272 Less accumulated depreciation (138,263 ) (126,549 ) Net property and equipment $ 118,397 $ 94,723

ACCRUED LIABILITIES (Tables)

ACCRUED LIABILITIES (Tables)	12 Months Ended
	Jun. 30, 2017
Payables And Accruals [Abstract]
Schedule of Accrued Liabilities	Accrued liabilities consisted of the following (in thousands): June 30, 2017 2016 Sales tax $ 3,543 $ 3,302 Self-insurance reserves 12,192 12,446 Wages & benefits 5,710 7,185 Property taxes 1,524 1,385 Freight 3,988 3,118 Capital expenditures 4,483 2,036 Utilities 1,282 1,506 Deferred rent 1,408 1,022 Cease use 991 1,116 Supplies 94 1,397 Other 9,045 9,284 Total accrued liabilities $ 44,260 $ 43,797

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Jun. 30, 2017
Income Tax Disclosure [Abstract]
Schedule of Income Tax Provision (Benefit)	Current Deferred Total Fiscal Year Ended June 30, 2017 Federal $ — $ 27 $ 27 State and local 166 4 170 Total $ 166 $ 31 $ 197 Fiscal Year Ended June 30, 2016 Federal $ (147 ) $ 186 $ 39 State and local 399 (175 ) 224 Total $ 252 $ 11 $ 263 Fiscal Year Ended June 30, 2015 Federal $ 19 $ — $ 19 State and local 12 — 12 Total $ 31 $ — $ 31
Reconciliation of Income Taxes Computed at Statutory Federal Income Tax Rate	Fiscal Year Ended June 30, 2017 2016 2015 Federal income tax provision/(benefit) computed at statutory rate $ (10,997 ) $ 1,351 $ 3,541 State income taxes, net of related federal tax benefit 106 157 106 Increase/(decrease) in federal valuation allowance 10,076 (668 ) (3,369 ) Federal tax credits 68 (670 ) (161 ) Stock option expiration/deficiencies 938 — — Other, net 6 93 (86 ) Provision for income taxes $ 197 $ 263 $ 31
Schedule of Deferred Tax Assets and Liabilities	June 30, 2017 2016 2015 Deferred tax assets: Non-current: Other payroll and benefits $ 681 $ 1,482 $ 1,139 Inventory reserves 195 268 195 Self-insurance reserves 4,517 4,611 4,285 Share-based compensation 3,564 3,807 3,736 Other current assets 2,829 2,250 1,535 Deferred rent 5,068 2,266 1,138 Net operating loss and tax credits 25,610 18,497 18,493 Other noncurrent assets 537 1,121 74 Total gross deferred tax assets $ 43,001 $ 34,302 $ 30,595 Deferred tax liabilities: Non-current: Inventory costs $ 9,468 $ 8,199 $ 6,526 Prepaid supplies 2,392 2,506 2,576 Property and equipment 4,033 7,616 4,804 Total gross deferred tax liabilities 15,893 18,321 13,906 Valuation allowance (27,150 ) (15,992 ) (16,689 ) Net deferred tax asset/(liability) $ (42 ) $ (11 ) $ —
Schedule of Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits	Balance at June 30, 2014 $ 220 Additions for tax positions of prior years — Reductions for lapse of statute of limitations (73 ) Balance at June 30, 2015 $ 147 Additions for tax positions of prior years — Reductions for lapse of statute of limitations — Balance at June 30, 2016 $ 147 Additions for tax positions of prior years — Reductions for lapse of statute of limitations — Balance at June 30, 2017 $ 147

SHARE-BASED INCENTIVE PLANS (Ta

SHARE-BASED INCENTIVE PLANS (Tables)	12 Months Ended
	Jun. 30, 2017
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Summary of Option Transactions	Following is a summary of transactions relating to the 2004 Plan, 2008 Plan and 2014 Plan options for the fiscal years ended June 30, 2017, 2016, and 2015 (share amounts and aggregate intrinsic value in thousands): Number of Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term (Years) Aggregate Intrinsic Value Options Outstanding at June 30, 2014 1,731 12.00 8.75 $ 10,689 Granted during year 375 18.85 Exercised during the year (161 ) 6.85 Forfeited or expired during year (107 ) 20.47 Options Outstanding at June 30, 2015 1,838 13.37 8.25 1,384 Granted during year 2,500 6.48 Exercised during the year (5 ) 1.24 Forfeited or expired during year (1,121 ) 11.81 Options Outstanding at June 30, 2016 3,212 8.57 7.61 2,111 Granted during year 1,564 6.11 Exercised during the year (6 ) 1.24 Forfeited or expired during year (1,254 ) 9.88 Options Outstanding at June 30, 2017 3,516 7.02 7.86 2 Exercisable at June 30, 2017 706 $ 9.90 4.20 $ 2
Summary of Information About Stock Options Outstanding	The following table summarizes information about stock options outstanding at June 30, 2017: Options Outstanding Options Exercisable Range of Exercise Prices Number Outstanding Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Per Share Number Exercisable Weighted Average Exercise Price Per Share $1.24 - $5.59 300,072 8.50 $ 3.83 73,585 $ 4.81 $5.64 - $5.64 696,683 8.51 5.64 104,997 5.64 $5.88 - $5.89 305,508 8.35 5.89 10,000 5.88 $5.95 - $5.95 527,825 8.34 5.95 — — $6.29 - $6.58 25,948 8.44 6.54 8,987 6.47 $6.71 - $6.71 924,595 9.17 6.71 — — $7.90 - $8.54 394,101 5.00 8.05 229,580 8.15 $8.56 - $18.42 265,559 4.12 13.76 230,327 13.53 $19.36 - $19.36 67,908 5.58 19.36 44,414 19.36 $20.91 - $20.91 7,532 7.37 20.91 3,766 20.91 3,515,731 7.86 $ 7.02 705,656 $ 9.91
Summary of Information about Restricted Stock Awards Outstanding	The following table summarizes information about restricted stock awards outstanding for the fiscal years ended June 30, 2017, 2016, and 2015 (share amounts in thousands): Number of Shares Weighted- Average Fair Value at Date of Grant Outstanding at June 30, 2014 356 $ 12.66 Granted during year 302 19.20 Vested during year (176 ) 12.95 Forfeited during year (50 ) 14.07 Outstanding at June 30, 2015 432 $ 16.95 Granted during year 869 6.98 Vested during year (175 ) 12.52 Forfeited during year (364 ) 12.65 Outstanding at June 30, 2016 762 $ 8.65 Granted during year 941 5.80 Vested during year (230 ) 8.38 Forfeited during year (383 ) 7.73 Outstanding at June 30, 2017 1,090 $ 6.57
Schedule of Recognized Share-Based Compensation Costs	Fiscal Years Ended June 30, 2017 2016 2015 Amortization of share-based compensation during the period $ 4,114 $ 3,403 $ 5,634 Amounts capitalized in inventory (1,497 ) (1,724 ) (1,765 ) Amount recognized and charged to cost of sales 1,567 1,436 1,493 Amounts charged against income for the period before tax $ 4,184 $ 3,115 $ 5,362

OPERATING LEASES (Tables)

OPERATING LEASES (Tables)	12 Months Ended
	Jun. 30, 2017
Leases [Abstract]
Future Minimum Rental Payments Under Leases	Future minimum rental payments under leases are as follows (in thousands): Fiscal Years Ending June 30, 2018 $ 91,386 2019 78,731 2020 65,726 2021 55,585 2022 47,599 Thereafter 183,305 Total minimum rental payments $ 522,332

EARNINGS PER COMMON SHARE (Tabl

EARNINGS PER COMMON SHARE (Tables)	12 Months Ended
	Jun. 30, 2017
Earnings Per Share [Abstract]
Computation of Basic and Diluted Earnings/(Loss) Per Common Share	Fiscal Year Ended June 30, 2017 2016 2015 Net income/(loss) $ (32,542 ) $ 3,713 $ 10,385 Less: Income to participating securities — 40 92 Net income/(loss) attributable to common shares $ (32,542 ) $ 3,673 $ 10,293 Weighted average common shares outstanding—basic 43,943 43,705 43,480 Effect of dilutive stock equivalents — 31 290 Weighted average common shares outstanding—dilutive 43,943 43,736 43,770 Net income/(loss) per common share—basic $ (0.74 ) $ 0.08 $ 0.24 Net income/(loss) per common share—diluted $ (0.74 ) $ 0.08 $ 0.24

QUARTERLY RESULTS OF OPERATIO27

QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) (Tables)	12 Months Ended
	Jun. 30, 2017
Quarterly Financial Information Disclosure [Abstract]
Summary of Unaudited Quarterly Results	A summary of the unaudited quarterly results is as follows for the years ended June 30, 2017 and 2016 (in thousands, except per share amounts): Quarters Ended Sept. 30, 2016 Dec. 31, 2016 March 31, 2017 June 30, 2017 Net sales $ 211,885 $ 328,137 $ 203,001 $ 223,642 Gross profit (1) 77,339 105,982 67,156 70,268 Operating income/(loss) (1) (9,240 ) 8,767 (14,678 ) (17,129 ) Net income/(loss) (1) (8,855 ) 8,430 (14,796 ) (17,321 ) Basic income/(loss) per share (2) $ (0.20 ) $ 0.19 $ (0.34 ) $ (0.39 ) Diluted income/(loss) per share (2) $ (0.20 ) $ 0.19 $ (0.34 ) $ (0.39 ) Quarters Ended Sept. 30, 2015 Dec. 31, 2015 March 31, 2016 June 30, 2016 Net sales $ 202,328 $ 319,876 $ 211,380 $ 222,812 Gross profit (1) 72,674 112,679 77,477 78,971 Operating income/(loss) (1) (5,956 ) 20,571 (5,932 ) (6,281 ) Net income/(loss) (1) (6,140 ) 18,944 (5,240 ) (3,851 ) Basic income/(loss) per share (2) $ (0.14 ) $ 0.43 $ (0.12 ) $ (0.09 ) Diluted income/(loss) per share (2) $ (0.14 ) $ 0.43 $ (0.12 ) $ (0.09 ) (1) Our results are computed independently for each of the quarters presented. Therefore, the sum of the quarterly amounts presented may not equal the total computed for the year due to rounding. (2) Net income/(loss) per share amounts are computed independently for each of the quarters presented. Therefore, the sum of the quarterly net income/(loss) per share in fiscal years 2017 and 2016 may not equal the total computed for the year.

Nature of Operations and Summ28

Nature of Operations and Summary of Significant Accounting Policies - Narrative (Details)	12 Months Ended
	Jun. 30, 2017USD ($)StoreState	Jun. 30, 2016USD ($)StoreBuilding	Jun. 30, 2015USD ($)Store
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items]
Number of discount retail stores operated | Store	731	751	769
Number of states in which the entity operates | State	40
Credit card receivables from third party consumer credit card providers	$ 4,900,000	$ 4,800,000
Capitalized inventory costs expensed in cost of sales	108,200,000	83,700,000	$ 73,400,000
Capitalized cost in inventory	33,900,000	32,600,000
Disposal of assets	$ (79,000)	(700,000)	(1,109,000)
Revenue recognition gift cards estimated performance period	36 months
Gift card breakage amount	$ 900,000	600,000	200,000
Advertising expenses	29,000,000	28,900,000	$ 25,600,000
Prepaid advertising	149,000	153,000
Short-term cease use liabilities	991,000	1,116,000
Long-term cease use liabilities	500,000	900,000
Sale-leaseback transaction, gain recognized in other income	741,000	2,515,000
Asset retirement obligations	2,500,000
Short-term asset retirement obligations	200,000
Asset retirement obligations liability	$ 2,307,000	2,561,000
Equipment and Software
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items]
Term of capital lease	5 years
Capital lease maturity date	Jan. 31, 2022
Current capital lease liability	$ 100,000
Long-term capital lease liability	600,000
Capital lease asset	800,000
Equipment and Software | Maximum
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items]
Capital lease amortization expense	100,000
Intellectual Property
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items]
Carrying value of intellectual property	1,000,000
Impairment of intellectual property	0
Worker's compensation
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items]
Stop loss limits per claim	500,000
Self insurance reserve	8,600,000	8,200,000
Insurance expenses recognized	4,800,000	3,400,000
General liability
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items]
Stop loss limits per claim	250,000
Self insurance reserve	2,500,000	3,300,000
Insurance expenses recognized	3,400,000	4,000,000
Medical liabilities
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items]
Stop loss limits per claim	150,000
Self insurance reserve	1,100,000	1,000,000
Insurance expenses recognized	$ 7,700,000	$ 7,300,000
Dallas
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items]
Transaction to sell, number of buildings | Building		2
Dallas | Buildings and Land
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items]
Transaction to sell, number of buildings | Building		2
Sale-leaseback transaction, net book value		$ 5,200,000
Sale-leaseback transaction, asset description	Transaction to sell two buildings and land
Sale-leaseback transaction, extended period	2018-03
Consideration received reduced by closing and transaction costs		8,800,000
Gain on sale-leaseback transaction		3,600,000
Sale-leaseback transaction, gain recognized in other income	$ 700,000	$ 2,500,000
Sale-leaseback transaction, deferred gain to be recognized	$ 400,000
Sale-leaseback transaction, lease terms	The leaseback is an operating lease, and we will pay approximately $0.6 million in rent, excluding executory costs, from July 2017 through March 2018.
Sale-leaseback transaction, future rent payment	$ 600,000

Nature of Operations and Summ29

Nature of Operations and Summary of Significant Accounting Policies - Summary of Property and Equipment Estimated Useful Lives (Details)	12 Months Ended
	Jun. 30, 2017
Buildings
Property Plant And Equipment [Line Items]
Estimated useful life (in years)	30 years
Furniture and fixtures | Minimum
Property Plant And Equipment [Line Items]
Estimated useful life (in years)	3 years
Furniture and fixtures | Maximum
Property Plant And Equipment [Line Items]
Estimated useful life (in years)	7 years
Leasehold Improvements
Property Plant And Equipment [Line Items]
Estimated useful life of Leasehold improvements	Shorter of lease life or life of improvement
Equipment | Minimum
Property Plant And Equipment [Line Items]
Estimated useful life (in years)	5 years
Equipment | Maximum
Property Plant And Equipment [Line Items]
Estimated useful life (in years)	10 years
Assets Under Capital Lease
Property Plant And Equipment [Line Items]
Estimated useful life of Leasehold improvements	Shorter of useful life or lease term
Software | Minimum
Property Plant And Equipment [Line Items]
Estimated useful life (in years)	3 years
Software | Maximum
Property Plant And Equipment [Line Items]
Estimated useful life (in years)	10 years

Nature of Operations and Summ30

Nature of Operations and Summary of Significant Accounting Policies - Schedule of Fair Value Assumptions of Stock Option Granted (Details)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Factors used in estimating the fair value of each stock option granted
Weighted average risk-free interest rate, minimum (as a percent)	0.60%	1.00%	1.00%
Weighted average risk-free interest rate, maximum (as a percent)	1.90%	1.90%	1.70%
Expected stock volatility, minimum (as a percent)	52.70%	46.40%	45.40%
Expected stock volatility, maximum (as a percent)	61.00%	56.10%	56.80%
Expected dividend yield (as a percent)	0.00%	0.00%	0.00%
Minimum
Factors used in estimating the fair value of each stock option granted
Expected life of options (in years)	3 years	2 years 10 months 25 days	3 years 2 months 12 days
Maximum
Factors used in estimating the fair value of each stock option granted
Expected life of options (in years)	5 years 6 months	5 years 7 months 6 days	5 years 4 months 24 days

Property and Equipment - Schedu

Property and Equipment - Schedule of Property and Equipment, Net of Accumulated Depreciation (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Jun. 30, 2016
Property and equipment, net of accumulated depreciation
Gross property and equipment	$ 256,660	$ 221,272
Less accumulated depreciation	(138,263)	(126,549)
Net property and equipment	118,397	94,723
Land
Property and equipment, net of accumulated depreciation
Gross property and equipment	6,628	6,628
Buildings and building improvements
Property and equipment, net of accumulated depreciation
Gross property and equipment	40,879	40,500
Furniture and fixtures
Property and equipment, net of accumulated depreciation
Gross property and equipment	56,877	48,450
Equipment
Property and equipment, net of accumulated depreciation
Gross property and equipment	65,884	60,392
Software
Property and equipment, net of accumulated depreciation
Gross property and equipment	40,750	37,557
Leasehold Improvements
Property and equipment, net of accumulated depreciation
Gross property and equipment	44,838	$ 27,745
Assets Under Capital Lease
Property and equipment, net of accumulated depreciation
Gross property and equipment	$ 804

Debt - Narrative (Details)

Debt - Narrative (Details) - USD ($)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015	Aug. 18, 2015
Line Of Credit Facility [Line Items]
Revolving credit facility outstanding amount	$ 30,500,000
Amortization of financing fees	$ 326,000	$ 462,000	$ 595,000
Revolving Credit Facility
Line Of Credit Facility [Line Items]
Term of credit facility (in years)	5 years
Maximum borrowing capacity				$ 180,000,000
Revolving credit facility maturity date	Aug. 18, 2020
Availability to be maintained under credit facility				$ 12,500,000
Availability to be maintained under credit facility before restriction on investments, percentage				20.00%
Covenant terms	The Revolving Credit Facility requires that we satisfy a fixed charge coverage ratio at any time that our availability is less than the greater of 10% of our calculated borrowing base or $12.5 million.
Revolving credit facility outstanding amount	$ 30,500,000
Outstanding letters of credit	6,000,000
Availability under the credit facility	$ 64,200,000
Frequency of commitment fee payment	Payable quarterly
Revolving credit facility, description of variable rate basis	One month LIBOR
Interest expense	$ 1,500,000	1,100,000
Commitment fees	400,000	600,000
Interest expense, debt	700,000
Amortization of financing fees	$ 400,000	$ 500,000
Revolving Credit Facility | Minimum
Line Of Credit Facility [Line Items]
Availability to be maintained under credit facility, percentage				10.00%
Revolving Credit Facility | Maximum
Line Of Credit Facility [Line Items]
Commitment fees (as a percent)	0.25%

Accrued Liabilities (Details)

Accrued Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Jun. 30, 2016
Payables And Accruals [Abstract]
Sales tax	$ 3,543	$ 3,302
Self-insurance reserves	12,192	12,446
Wages & benefits	5,710	7,185
Property taxes	1,524	1,385
Freight	3,988	3,118
Capital expenditures	4,483	2,036
Utilities	1,282	1,506
Deferred rent	1,408	1,022
Cease use	991	1,116
Supplies	94	1,397
Other	9,045	9,284
Total accrued liabilities	$ 44,260	$ 43,797

Income Taxes - Schedule of Inco

Income Taxes - Schedule of Income Tax Provision (Benefit) (Details) - USD ($) $ in Thousands	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Current
Federal		$ (147)	$ 19
State and local	$ 166	399	12
Total	166	252	31
Deferred
Federal	27	186
State and local	4	(175)
Total	31	11
Total
Federal	27	39	19
State and local	170	224	12
Total	$ 197	$ 263	$ 31

Income Taxes - Narrative (Detai

Income Taxes - Narrative (Details)	12 Months Ended
	Jun. 30, 2017USD ($)Subsidiary	Jun. 30, 2016USD ($)	Jun. 30, 2015USD ($)
Income Tax [Line Items]
Statutory federal income tax rate	34.00%	34.00%	34.00%
Deferred tax assets, valuation allowance	$ 11,200,000
Deferred income tax assets	27,100,000
Deferred tax assets, valuation allowance	27,150,000	$ 15,992,000	$ 16,689,000
Operating loss carryforward - Federal	58,000,000
Operating loss carryforward - State	$ 38,300,000
Number of subsidiaries filing income tax returns in the U.S. federal jurisdiction, and various state jurisdictions | Subsidiary	1
Unrecognized tax benefits that, if recognized, would affect the effective tax rate	$ 247,000
Interest, net of tax effect recognized	9,000	16,000	23,000
Interest paid, net of tax	$ 0	$ 0	$ 0
Federal
Income Tax [Line Items]
Operating loss carryforward expiration year	2,035
State and Local Jurisdiction | Earliest Tax Year
Income Tax [Line Items]
Operating loss carryforward expiration year	2,018
State and Local Jurisdiction | Latest Tax Year
Income Tax [Line Items]
Operating loss carryforward expiration year	2,035

Income Taxes - Reconciliation o

Income Taxes - Reconciliation of Income Taxes Computed at Statutory Federal Income Tax Rate (Details) - USD ($) $ in Thousands	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Reconciliation of the expected federal income tax expense at the statutory income tax rate to the actual tax expense
Federal income tax provision/(benefit) computed at statutory rate	$ (10,997)	$ 1,351	$ 3,541
State income taxes, net of related federal tax benefit	106	157	106
Increase/(decrease) in federal valuation allowance	10,076	(668)	(3,369)
Federal tax credits	68	(670)	(161)
Stock option expiration/deficiencies	938
Other, net	6	93	(86)
Total	$ 197	$ 263	$ 31

Income Taxes - Schedule of Defe

Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Non-current:
Other payroll and benefits	$ 681	$ 1,482	$ 1,139
Inventory reserves	195	268	195
Self-insurance reserves	4,517	4,611	4,285
Share-based compensation	3,564	3,807	3,736
Other current assets	2,829	2,250	1,535
Deferred rent	5,068	2,266	1,138
Net operating loss and tax credits	25,610	18,497	18,493
Other noncurrent assets	537	1,121	74
Total gross deferred tax assets	43,001	34,302	30,595
Non-current:
Inventory costs	9,468	8,199	6,526
Prepaid supplies	2,392	2,506	2,576
Property and equipment	4,033	7,616	4,804
Total gross deferred tax liabilities	15,893	18,321	13,906
Valuation allowance	(27,150)	(15,992)	$ (16,689)
Net deferred tax (liability)	$ (42)	$ (11)

Income Taxes - Schedule of Reco

Income Taxes - Schedule of Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Reconciliation of the beginning and ending amount of unrecognized tax benefits
Balance at beginning of the period	$ 147	$ 147	$ 220
Additions for tax positions of prior years	0	0	0
Reductions for lapse of statute of limitations	0	0	(73)
Balance at end of the period	$ 147	$ 147	$ 147

Share-Based Incentive Plans - N

Share-Based Incentive Plans - Narrative (Details) - USD ($)	Aug. 22, 2017	Aug. 21, 2017	Sep. 16, 2014	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015	Nov. 16, 2016	Jun. 30, 2014
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise price of stock options outstanding, low end of range				$ 1.24
Exercise price of stock option outstanding, high end of range				20.91
Stock Option Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Weighted average grant date fair value of awards granted (in dollars per share)				$ 2.55	$ 2.75	$ 7.52
Aggregate intrinsic value of awards vested (in dollars)				$ 2,000
Exercised (in shares)				6,208	4,667	161,226
Aggregate intrinsic value of awards exercised (in dollars)				$ 20,100	$ 27,000	$ 2,100,000
Unrecognized share-based compensation expense (in dollars)				$ 2,800,000
Weighted average period for recognition of unrecognized share-based compensation expense (in years)				2 years 1 month 6 days
Tenure Awards | Subsequent Event | Employees and Consultants
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)	3 years
Tenure Awards | Subsequent Event | Minimum | Non Employee Directors
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)	1 year
Restricted Stock Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Awards outstanding				1,090,000	762,000	432,000		356,000
Weighted average grant date fair value of awards granted (in dollars per share)				$ 5.80	$ 6.98	$ 19.20
2014 Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of shares authorized			6,100,000
Number of common stock shares available for issuance							2,500,000
2014 Plan | Stock Option Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expiration period (in years)				10 years
Shares available for grant				4,300,000
2014 Plan | Stock Option Awards | Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)			1 year	1 year
2014 Plan | Stock Option Awards | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)				4 years
Vesting percentage			5.00%
2014 Plan | Full Value Awards | Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)			1 year
2014 Plan | Full Value Awards | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting percentage			5.00%
2014 Plan | Tenure Awards | Subsequent Event | Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)		3 years
2014 Plan | Performance-Based Restricted Stock Awards and Stock Option Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Awards outstanding				1,381,496
2004 Plan | Stock Option Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expiration period (in years)				10 years
2004 Plan | Stock Option Awards | Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)				1 year
2004 Plan | Stock Option Awards | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)				5 years
2008 Plan | Stock Option Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expiration period (in years)				10 years
2008 Plan | Stock Option Awards | Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)				1 year
2008 Plan | Stock Option Awards | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)				4 years
2004 and 2008 and 2014 Plan | Restricted Stock Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Awards outstanding				1,089,706
Weighted average grant date fair value of awards granted (in dollars per share)				$ 6.57
2004 and 2008 and 2014 Plan | Restricted Stock Awards | Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)				1 year
2004 and 2008 and 2014 Plan | Restricted Stock Awards | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period (in years)				4 years

Share-Based Incentive Plans - S

Share-Based Incentive Plans - Summary of Option Transactions (Details) - Stock Option Awards - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2014
Number of Shares
Options outstanding at the beginning of year	3,212,000	1,838,000	1,731,000
Granted during year	1,564,000	2,500,000	375,000
Exercised during the year	(6,208)	(4,667)	(161,226)
Forfeited or expired during year	(1,254,000)	(1,121,000)	(107,000)
Options outstanding at the end of year	3,516,000	3,212,000	1,838,000	1,731,000
Exercisable at June 30, 2017	706,000
Weighted-Average Exercise Price
Options outstanding at the beginning of year	$ 8.57	$ 13.37	$ 12
Granted during year	6.11	6.48	18.85
Exercised during the year	1.24	1.24	6.85
Forfeited or expired during year	9.88	11.81	20.47
Options outstanding at the end of year	7.02	$ 8.57	$ 13.37	$ 12
Exercisable at June 30, 2017	$ 9.90
Weighted-Average Remaining Contractual Term (Years)
Options outstanding at the end of year	7 years 10 months 10 days	7 years 7 months 10 days	8 years 2 months 30 days	8 years 9 months
Exercisable at June 30, 2017	4 years 2 months 12 days
Aggregate Intrinsic Value
Options outstanding at the end of year	$ 2	$ 2,111	$ 1,384	$ 10,689
Exercisable at June 30, 2017	$ 2

Share-Based Incentive Plans -41

Share-Based Incentive Plans - Summary of Information about Stock Options Outstanding (Details)	12 Months Ended
	Jun. 30, 2017$ / sharesshares
Information about stock options outstanding
Low end of range of exercise prices	$ 1.24
High end of range of exercise prices	$ 20.91
Number Outstanding | shares	3,515,731
Weighted Average Remaining Contractual Life (Years), Options Outstanding	7 years 10 months 10 days
Weighted Average Exercise Price Per Share, Options Outstanding	$ 7.02
Number Exercisable | shares	705,656
Weighted Average Exercise Price Per Share, Options Exercisable	$ 9.91
$1.24 - $5.59
Information about stock options outstanding
Low end of range of exercise prices	1.24
High end of range of exercise prices	$ 5.59
Number Outstanding | shares	300,072
Weighted Average Remaining Contractual Life (Years), Options Outstanding	8 years 6 months
Weighted Average Exercise Price Per Share, Options Outstanding	$ 3.83
Number Exercisable | shares	73,585
Weighted Average Exercise Price Per Share, Options Exercisable	$ 4.81
$5.64 - $5.64
Information about stock options outstanding
Low end of range of exercise prices	5.64
High end of range of exercise prices	$ 5.64
Number Outstanding | shares	696,683
Weighted Average Remaining Contractual Life (Years), Options Outstanding	8 years 6 months 3 days
Weighted Average Exercise Price Per Share, Options Outstanding	$ 5.64
Number Exercisable | shares	104,997
Weighted Average Exercise Price Per Share, Options Exercisable	$ 5.64
$5.88 - $5.89
Information about stock options outstanding
Low end of range of exercise prices	5.88
High end of range of exercise prices	$ 5.89
Number Outstanding | shares	305,508
Weighted Average Remaining Contractual Life (Years), Options Outstanding	8 years 4 months 6 days
Weighted Average Exercise Price Per Share, Options Outstanding	$ 5.89
Number Exercisable | shares	10,000
Weighted Average Exercise Price Per Share, Options Exercisable	$ 5.88
$5.95 - $5.95
Information about stock options outstanding
Low end of range of exercise prices	5.95
High end of range of exercise prices	$ 5.95
Number Outstanding | shares	527,825
Weighted Average Remaining Contractual Life (Years), Options Outstanding	8 years 4 months 2 days
Weighted Average Exercise Price Per Share, Options Outstanding	$ 5.95
$6.29 - $6.58
Information about stock options outstanding
Low end of range of exercise prices	6.29
High end of range of exercise prices	$ 6.58
Number Outstanding | shares	25,948
Weighted Average Remaining Contractual Life (Years), Options Outstanding	8 years 5 months 9 days
Weighted Average Exercise Price Per Share, Options Outstanding	$ 6.54
Number Exercisable | shares	8,987
Weighted Average Exercise Price Per Share, Options Exercisable	$ 6.47
$6.71 - $6.71
Information about stock options outstanding
Low end of range of exercise prices	6.71
High end of range of exercise prices	$ 6.71
Number Outstanding | shares	924,595
Weighted Average Remaining Contractual Life (Years), Options Outstanding	9 years 2 months 1 day
Weighted Average Exercise Price Per Share, Options Outstanding	$ 6.71
$7.90 - $8.54
Information about stock options outstanding
Low end of range of exercise prices	7.90
High end of range of exercise prices	$ 8.54
Number Outstanding | shares	394,101
Weighted Average Remaining Contractual Life (Years), Options Outstanding	5 years
Weighted Average Exercise Price Per Share, Options Outstanding	$ 8.05
Number Exercisable | shares	229,580
Weighted Average Exercise Price Per Share, Options Exercisable	$ 8.15
$8.56 - $18.42
Information about stock options outstanding
Low end of range of exercise prices	8.56
High end of range of exercise prices	$ 18.42
Number Outstanding | shares	265,559
Weighted Average Remaining Contractual Life (Years), Options Outstanding	4 years 1 month 13 days
Weighted Average Exercise Price Per Share, Options Outstanding	$ 13.76
Number Exercisable | shares	230,327
Weighted Average Exercise Price Per Share, Options Exercisable	$ 13.53
$19.36 - $19.36
Information about stock options outstanding
Low end of range of exercise prices	19.36
High end of range of exercise prices	$ 19.36
Number Outstanding | shares	67,908
Weighted Average Remaining Contractual Life (Years), Options Outstanding	5 years 6 months 29 days
Weighted Average Exercise Price Per Share, Options Outstanding	$ 19.36
Number Exercisable | shares	44,414
Weighted Average Exercise Price Per Share, Options Exercisable	$ 19.36
$20.91 - $20.91
Information about stock options outstanding
Low end of range of exercise prices	20.91
High end of range of exercise prices	$ 20.91
Number Outstanding | shares	7,532
Weighted Average Remaining Contractual Life (Years), Options Outstanding	7 years 4 months 13 days
Weighted Average Exercise Price Per Share, Options Outstanding	$ 20.91
Number Exercisable | shares	3,766
Weighted Average Exercise Price Per Share, Options Exercisable	$ 20.91

Share-Based Incentive Plans (De

Share-Based Incentive Plans (Details 3) - Restricted Stock Awards - $ / shares shares in Thousands	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Number of Shares
Outstanding at the beginning of year	762	432	356
Granted during year	941	869	302
Vested during year	(230)	(175)	(176)
Forfeited during year	(383)	(364)	(50)
Outstanding at the end of year	1,090	762	432
Weighted-Average Fair Value at Date of Grant
Outstanding at the end of year	$ 8.65	$ 16.95	$ 12.66
Granted during year	5.80	6.98	19.20
Vested during year	8.38	12.52	12.95
Forfeited during year	7.73	12.65	14.07
Outstanding at the end of year	$ 6.57	$ 8.65	$ 16.95

Share-Based Incentive Plans -43

Share-Based Incentive Plans - Schedule of Recognized Share-Based Compensation Costs (Details) - USD ($) $ in Thousands	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Share-based incentive plans
Share-based compensation	$ 4,184	$ 3,115	$ 5,362
Amounts capitalized in inventory	(1,497)	(1,724)	(1,765)
Share Based Compensation Amortization
Share-based incentive plans
Share-based compensation	4,114	3,403	5,634
Cost of Sales
Share-based incentive plans
Share-based compensation	$ 1,567	$ 1,436	$ 1,493

Operating Leases - Narrative (D

Operating Leases - Narrative (Details) ft² in Millions, $ in Millions	12 Months Ended
	Jun. 30, 2017USD ($)Lease	Jun. 30, 2016USD ($)	Jun. 30, 2015USD ($)ft²
Operating Leased Assets [Line Items]
Number of options available for store lease extensions | Lease	2
Period available under each store lease renewal option (in years)	5 years
Leases area for distribution center | ft²			0.6
Rent expense | $	$ 108	$ 98.3	$ 86.6
Minimum
Operating Leased Assets [Line Items]
Initial term of the store lease (in years)	5 years
Period after which leases for new stores can be terminated if the store does not deliver sales expectations	24 months
Maximum
Operating Leased Assets [Line Items]
Initial term of the store lease (in years)	10 years
Period after which leases for new stores can be terminated if the store does not deliver sales expectations	60 months

Operating Leases - Future Minim

Operating Leases - Future Minimum Rental Payments Under Leases (Details) $ in Thousands	Jun. 30, 2017USD ($)
Future minimum rental payments under leases
2,018	$ 91,386
2,019	78,731
2,020	65,726
2,021	55,585
2,022	47,599
Thereafter	183,305
Total minimum rental payments	$ 522,332

401(K) Profit Sharing Plan (Det

401(K) Profit Sharing Plan (Details) - USD ($) $ in Millions	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Profit sharing plan
Contributions expensed	$ 1.3	$ 1.2	$ 1.1
Full-time Employees
Profit sharing plan
Eligible service period (in months)	6 months
Part-time Employees
Profit sharing plan
Eligible service period (in months)	12 months
Eligible minimum service period (in hours)	1000 hours
Minimum
Profit sharing plan
Employee's contribution (as a percent)	1.00%
Maximum
Profit sharing plan
Employee's contribution (as a percent)	75.00%
Match contribution by employer (as a percent)	4.00%

Earnings Per Common Share - Com

Earnings Per Common Share - Computation of Basic and Diluted Earnings/(Loss) Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Earnings Per Share [Abstract]
Net income/(loss)	$ (17,321)	$ (14,796)	$ 8,430	$ (8,855)	$ (3,851)	$ (5,240)	$ 18,944	$ (6,140)	$ (32,542)	$ 3,713	$ 10,385
Less: Income to participating securities										40	92
Net income/(loss) attributable to common shares									$ (32,542)	$ 3,673	$ 10,293
Weighted average common shares outstanding—basic									43,943	43,705	43,480
Effect of dilutive stock equivalents										31	290
Weighted average common shares outstanding—dilutive									43,943	43,736	43,770
Net income/(loss) per common share—basic	$ (0.39)	$ (0.34)	$ 0.19	$ (0.20)	$ (0.09)	$ (0.12)	$ 0.43	$ (0.14)	$ (0.74)	$ 0.08	$ 0.24
Net income/(loss) per common share—diluted	$ (0.39)	$ (0.34)	$ 0.19	$ (0.20)	$ (0.09)	$ (0.12)	$ 0.43	$ (0.14)	$ (0.74)	$ 0.08	$ 0.24

Earnings Per Common Share - Nar

Earnings Per Common Share - Narrative (Details) - shares shares in Millions	12 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Equity Option
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Weighted average shares excluded from computation of diluted income per share	0.1	0.5

Quarterly Results of Operatio49

Quarterly Results of Operations - Summary of Unaudited Quarterly Results (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Quarterly Financial Information Disclosure [Abstract]
Net sales	$ 223,642	$ 203,001	$ 328,137	$ 211,885	$ 222,812	$ 211,380	$ 319,876	$ 202,328	$ 966,665	$ 956,396	$ 906,365
Gross profit	70,268	67,156	105,982	77,339	78,971	77,477	112,679	72,674	320,745	341,802	326,619
Operating income/(loss)	(17,129)	(14,678)	8,767	(9,240)	(6,281)	(5,932)	20,571	(5,956)	(32,280)	2,404	12,356
Net income/(loss)	$ (17,321)	$ (14,796)	$ 8,430	$ (8,855)	$ (3,851)	$ (5,240)	$ 18,944	$ (6,140)	$ (32,542)	$ 3,713	$ 10,385
Basic income/(loss) per share (in dollars per share)	$ (0.39)	$ (0.34)	$ 0.19	$ (0.20)	$ (0.09)	$ (0.12)	$ 0.43	$ (0.14)	$ (0.74)	$ 0.08	$ 0.24
Diluted income/(loss) per share (in dollars per share)	$ (0.39)	$ (0.34)	$ 0.19	$ (0.20)	$ (0.09)	$ (0.12)	$ 0.43	$ (0.14)	$ (0.74)	$ 0.08	$ 0.24

Dividend Restrictions - Narrati

Dividend Restrictions - Narrative (Details)	Jun. 30, 2017USD ($)
Disclosure Of Restrictions On Dividends Loans And Advances Disclosure [Abstract]
Retained earnings free of limitation on the payment of dividends	$ 0
Restricted net assets	$ 12,800,000

Condensed Financial Informati51

Condensed Financial Information - Condensed Statement of Position (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2014
Current assets:
Total Current Assets	$ 236,518	$ 263,597
Noncurrent assets:
Total Assets	358,153	361,970
Current liabilities:
Total Current Liabilities	111,597	124,650
Total Liabilities	159,314	134,688
Stockholders’ equity:
Common stock	469	463
Additional paid-in capital	234,604	230,488
Retained earnings/(deficit)	(29,422)	3,120
Less: Treasury stock	(6,812)	(6,789)
Total Stockholders’ Equity	198,839	227,282	$ 220,289	$ 203,310
Total Liabilities and Stockholders’ Equity	358,153	361,970
Parent Company
Current assets:
Accounts receivable from subsidiaries	24,489	19,048
Total Current Assets	24,489	19,048
Noncurrent assets:
Investment in subsidiaries	174,350	208,234
Total noncurrent assets	174,350	208,234
Total Assets	198,839	227,282
Stockholders’ equity:
Common stock	469	463
Additional paid-in capital	234,604	230,488
Retained earnings/(deficit)	(29,422)	3,120
Less: Treasury stock	(6,812)	(6,789)
Total Stockholders’ Equity	198,839	227,282
Total Liabilities and Stockholders’ Equity	$ 198,839	$ 227,282

Condensed Financial Informati52

Condensed Financial Information - Condensed Statement of Operations (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Condensed Income Statements Captions [Line Items]
Net sales	$ 223,642	$ 203,001	$ 328,137	$ 211,885	$ 222,812	$ 211,380	$ 319,876	$ 202,328	$ 966,665	$ 956,396	$ 906,365
Cost of sales									645,920	614,594	579,746
Gross profit	70,268	67,156	105,982	77,339	78,971	77,477	112,679	72,674	320,745	341,802	326,619
Selling, general and administrative expenses									353,025	339,398	314,263
Operating income/(loss)	(17,129)	(14,678)	8,767	(9,240)	(6,281)	(5,932)	20,571	(5,956)	(32,280)	2,404	12,356
Other income/(expense):
Interest expense									(1,485)	(1,068)	(1,445)
Other income/(expense), net									1,420	2,640	(495)
Income/(loss) before income taxes									(32,345)	3,976	10,416
Income tax provision									197	263	31
Net income/(loss)	$ (17,321)	$ (14,796)	$ 8,430	$ (8,855)	$ (3,851)	$ (5,240)	$ 18,944	$ (6,140)	(32,542)	3,713	10,385
Parent Company
Other income/(expense):
Net income/(loss) of subsidiaries									(32,542)	3,713	10,385
Net income/(loss)									$ (32,542)	$ 3,713	$ 10,385

Condensed Financial Informati53

Condensed Financial Information - Narrative (Details) - Revolving Credit Facility - USD ($)	Jun. 30, 2017	Aug. 18, 2015
Condensed Financial Statements Captions [Line Items]
Availability under the credit facility	$ 64,200,000
Maximum borrowing capacity		$ 180,000,000
Availability to be maintained under credit facility before restriction on investments, percentage		20.00%
Parent Company
Condensed Financial Statements Captions [Line Items]
Availability under the credit facility	64,200,000
Maximum borrowing capacity	$ 180,000,000
Availability to be maintained under credit facility before restriction on investments, percentage	20.00%