Property and Equipment - Net

12 Months Ended

Jan. 28, 2012

Property, Plant and Equipment [Abstract]

Property and equipment - net consist of:



	January 28, 2012		January 29, 2011
(In thousands)
Land and land improvements	$	45,130	$	45,104
Buildings and leasehold improvements	768,074		734,578
Fixtures and equipment	637,658		605,492
Computer software costs	87,290		84,738
Transportation equipment	35,604		21,652
Construction-in-progress	38,230		20,592
Property and equipment - cost	1,611,986		1,512,156
Less accumulated depreciation and amortization	1,039,219		987,250
Property and equipment - net	$	572,767	$	524,906

Property and equipment - cost includes $5.8 million and $7.3 million at January 28, 2012 and January 29, 2011, respectively, to recognize assets from capital leases. Accumulated depreciation and amortization includes $2.7 million and $5.2 million at January 28, 2012 and January 29, 2011, respectively, related to capital leases.

During 2011 and 2010, respectively, we invested $131.3 million and $107.6 million of cash in capital expenditures and we recorded $90.3 million and $78.6 million of depreciation expense.

We incurred $2.2 million, less than $0.1 million, and $0.4 million in asset impairment charges in 2011, 2010, and 2009, respectively. The charges in 2011 relate to asset impairments from the valuation of the Company's oldest airplane. The charges in 2010 and 2009 principally related to the write-down of long-lived assets at one and four stores identified as part of our annual store impairment review in 2010 and 2009, respectively. There were no charges in 2011 related to the Company's annual store impairment review.

Asset impairment charges are included in selling and administrative expenses in our accompanying consolidated statements of operations. We perform annual impairment reviews of our long-lived assets at the store level. When we perform the annual impairment reviews, we first determine which stores had impairment indicators present. We use actual historical cash flows to determine which stores had negative cash flows within the past two years. For each store with negative cash flows, we obtain future cash flow estimates based on operating performance estimates specific to each store's operations that are based on assumptions currently being used to develop our company level operating plans. If the net book value of a store's long-lived assets is not recoverable by the expected future cash flows of the store, we estimate the fair value of the store's assets and recognize an impairment charge for the excess net book value of the store's long-lived assets over their fair value. The fair value of store assets is estimated based on information available in the marketplace for similar assets.

- Definition

The entire disclosure for long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale. Examples include land, buildings, machinery and equipment, and other types of furniture and equipment including, but not limited to, office equipment, furniture and fixtures, and computer equipment and software. This disclosure may include property plant and equipment accounting policies and methodology, a schedule of property, plant and equipment gross, additions, deletions, transfers and other changes, depreciation, depletion and amortization expense, net, accumulated depreciation, depletion and amortization expense and useful lives, income statement disclosures, assets held for sale and public utility disclosures.

+ References+ Details