RESTRUCTURING (Tables)

6 Months Ended

Jul. 29, 2023

Restructuring and Related Activities [Abstract]

Restructuring and Related Costs

As a result of these strategic actions associated with the voluntary early termination of its corporate office lease and workforce reduction, the Company incurred non-operating charges of $10.6 million in restructuring costs during the Second Quarter 2023 and Year-To-Date 2023 on a pre-tax basis, summarized in the following table:

	Thirteen Weeks Ended				Twenty-six Weeks Ended
	July 29, 2023		July 30, 2022		July 29, 2023		July 30, 2022
	(in thousands)
Employee-related costs	$	5,433	$	—	$	5,433	$	—
Lease termination costs (1)	4,947		—		4,947		—
Professional fees	186		—		186		—
Total restructuring costs (2)	$	10,566	$	—	$	10,566	$	—

____________________________________________

(1)Includes $0.9 million of non-cash charges related to accelerated depreciation on certain assets in the corporate office over the reduced lease term. The Company expects to record additional accelerated depreciation charges of approximately $1.5 million until the expiration of its corporate office lease.

(2)Restructuring costs are recorded within Selling, general and administrative expenses, except accelerated depreciation charges noted above, which are recorded within Depreciation and amortization, and are primarily recorded within The Children’s Place U.S. segment.

Schedule of Restructuring Reserve by Type of Cost

The following table summarizes the restructuring costs that have been partially settled with cash payments and the remaining related liability as of July 29, 2023. The remaining related liability is expected to be settled with cash payments in the future and these costs are included in Accrued expenses and other current liabilities on the Consolidated Balance Sheets:

	Employee-Related Costs		Lease Termination Costs		Professional Fees		Total
	(in thousands)
Balance at April 29, 2023	$	—	$	—	$	—	$	—
Provision	5,433		4,040		186		9,659
Cash payments	(2,602)		(4,040)		—		(6,642)
Balance at July 29, 2023	$	2,831	$	—	$	186	$	3,017