Related party transactions

3 Months Ended

May 03, 2013

Related party transactions

Related party transactions

8. Related party transactions

From time to time the Company may conduct business with related parties including Buck Holdings, L.P., or “Buck Holdings,” Kohlberg Kravis Roberts & Co. L.P. or “KKR” and Goldman, Sachs and Co. References herein to these entities include their affiliates. KKR and Goldman, Sachs & Co. indirectly own a portion of the Company’s common stock through their investments in Buck Holdings. Two of KKR’s members and a managing director of Goldman, Sachs & Co. serve on the Company’s Board of Directors.

Goldman, Sachs & Co. served as a lender, agent and arranger under the Company’s bank loan Facilities discussed in further detail in Note 4. KKR and Goldman, Sachs & Co. served in similar capacities under the Company’s previous lending arrangements. The Company made interest payments of approximately $12.0 million and $16.1 million on its term loan facilities and $1.1 million and $1.0 million on its revolving credit facilities during the 13-week periods ended May 3, 2013 and May 4, 2012, respectively. In connection with the commencement of the bank loan Facilities in April 2013, Goldman, Sachs & Co. received fees of $0.7 million.  In connection with March 2012 amendments to the Company’s previous bank facilities, KKR received fees of $0.4 million and Goldman, Sachs & Co. received fees of $0.5 million.

KKR and Goldman, Sachs & Co. also served as underwriters for the Company’s issuance of Senior Notes in April 2013 as discussed in Note 4. KKR and Goldman, Sachs & Co. received underwriting fees totaling $0.7 million and $1.5 million, respectively, in connection with these transactions.

KKR and Goldman, Sachs & Co. served as underwriters in connection with the secondary offerings of the Company’s common stock held by certain existing shareholders that were completed in April 2013 and April 2012. The Company did not sell shares of common stock, receive proceeds from such shareholders’ sales of shares of common stock or pay any underwriting fees in connection with the secondary offerings. Certain members of the Company’s management exercised registration rights in connection with such offerings.

The Company repurchased common stock held by Buck Holdings during the first quarter of 2012 as further discussed in Note 10.