Commitments and Contingencies

3 Months Ended

May 04, 2013

Commitments and Contingencies

NOTE 13.  Commitments and Contingencies

In March 2013, we were named as a defendant in class action lawsuits challenging the plan of merger with Sycamore.  These lawsuits allege general various wrongdoings such as breach of our fiduciary duty to our shareholders. We may be named as a defendant in other similar lawsuits in the future. While we believe that all of the allegations are without merit and that we have valid defenses to all potential claims, our litigation exposure could have a material adverse effect on our financial condition and results of operations in the event the claims are not settled in our favor.

From time to time, we are involved in other matters of litigation that arise in the ordinary course of business.  Though significant litigation or awards against us could seriously harm our business and financial results, we do not at this time expect any of this litigation to have a material adverse effect on our overall financial condition.