Derivative Instruments and Hedging Activities

12 Months Ended

Jul. 29, 2011

Derivative Instruments and Hedging Activities [Abstract]

Derivative Instruments and Hedging Activities

6.  Derivative Instruments and Hedging Activities

The estimated fair values of the Company's derivative instrument were as follows:

	Balance Sheet Location	July 29, 2011		July 30, 2010
Interest rate swap (See Note 3)	Interest rate swap liability	$	51,604	$	66,281

The estimated fair value of the Company's interest rate swap liability incorporates the Company's non-performance risk.  The adjustment related to the Company's non-performance risk at July 29, 2011 and July 30, 2010 resulted in reductions of $1,546 and $3,915, respectively, in the fair value of the interest rate swap liability.  The offset to the interest rate swap liability is recorded in accumulated other comprehensive loss (“AOCL”), net of the deferred tax asset, and will be reclassified into earnings over the term of the underlying debt.  As of July 29, 2011, the estimated pre-tax portion of AOCL that is expected to be reclassified into earnings over the next twelve months is $28,275.  Cash flows related to the interest rate swap are included in interest expense and in operating activities.

The following table summarizes the pre-tax effects of the Company's derivative instrument on AOCL at:

	Amount of Income (Loss) Recognized in AOCL on Derivative (Effective Portion)
	2011		2010			2009
Cash flow hedges:
Interest rate swaps	$	14,677	$	(5,049	)	$	(21,614	)

The following table summarizes the pre-tax effects of the Company's derivative instrument on income at:

	Location of Loss Reclassified from AOCL into Income (Effective Portion)	Amount of Loss Reclassified from AOCL into Income (Effective Portion)
		2011		2010		2009
Cash flow hedges:
Interest rate swaps	Interest expense	$	30,355	$	30,722	$	19,469

Any portion of the fair value of the swaps determined to be ineffective will be recognized currently in earnings.  No ineffectiveness has been recorded in 2011, 2010 and 2009.