INCOME TAXES (Tables)

12 Months Ended

Feb. 02, 2013

INCOME TAXES

Schedule of components of income from continuing operations before income taxes

	Year Ended
(dollar amounts in thousands)	February 2, 2013		January 28, 2012		January 29, 2011
Domestic	$	14,577	$	36,633	$	52,319
Foreign		7,923		4,954		6,125
Total	$	22,500	$	41,588	$	58,444

Schedule of provision for income taxes

	Year Ended
(dollar amounts in thousands)	February 2, 2013			January 28, 2012			January 29, 2011
Current:
Federal	$	(338	)	$	—		$	—
State		471			602			491
Foreign		1,636			1,557			2,210
Deferred:
Federal(a)		6,548			14,743			20,309
State		988			(3,887	)		(1,818	)
Foreign		40			(555	)		81
Total income tax expense from continuing operations(a)	$	9,345		$	12,460		$	21,273

(a)

Excludes tax benefit recorded to discontinued operations of $0.2 million, $0.1 million and $0.3 million in fiscal years 2012, 2011 and 2010, respectively.

Schedule of reconciliation of the statutory federal income tax rate to the effective rate for income tax expense

	Year Ended
	February 2, 2013			January 28, 2012			January 29, 2011
Statutory tax rate		35.0	%		35.0	%		35.0	%
State income taxes, net of federal tax		4.1			3.2			2.4
Job credits		(4.9	)		(1.5	)		(0.3	)
Hire credits		—			(2.1	)		—
Tax uncertainty adjustment		(1.5	)		(0.1	)		0.2
Valuation allowance		—			(8.3	)		(3.5	)
Non deductible expenses		2.2			2.0			0.5
Stock compensation		1.8			0.1			0.2
Foreign taxes, net of federal tax		5.6			1.7			2.4
Other, net		(0.8	)		—			(0.5	)
		41.5	%		30.0	%		36.4	%

Schedule of items that gave rise to the deferred tax accounts

(dollar amounts in thousands)	February 2, 2013			January 28, 2012
Deferred tax assets:
Employee compensation	$	5,274		$	5,008
Store closing reserves		719			1,365
Legal reserve		122			341
Benefit accruals		1,247			5,922
Net operating loss carryforwards—Federal		1,887			16,473
Net operating loss carryforwards—State		111,785			111,588
Tax credit carryforwards		16,291			17,877
Accrued leases		16,032			15,916
Interest rate derivatives		708			5,730
Deferred gain on sale leaseback		51,124			56,325
Deferred revenue		5,194			5,621
Other		1,874			1,951
Gross deferred tax assets		212,257			244,117
Valuation allowance		(102,341	)		(103,915	)
		109,916			140,202
Deferred tax liabilities:
Depreciation	$	42,400		$	54,284
Inventories		65,203			65,886
Real estate tax		3,214			3,307
Insurance and other		6,261			6,159
Debt related liabilities		3,588			3,903
		120,666			133,539
Net deferred tax (liability) asset	$	(10,750	)	$	6,663

Schedule of reconciliation of the beginning and ending amount of unrecognized tax benefits

(dollar amounts in thousands)	February 2, 2013			January 28, 2012			January 29, 2011
Unrecognized tax benefit balance at the beginning of the year	$	3,364		$	4,131		$	2,411
Gross increases for tax positions taken in prior years		—			—			1,331
Gross decreases for tax positions taken in prior years		(338	)		—			—
Gross increases for tax positions taken in current year		201			235			389
Settlements taken in current year		—			—			—
Lapse of statute of limitations		(953	)		(1,002	)		—
Unrecognized tax benefit balance at the end of the year	$	2,274		$	3,364		$	4,131