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Accounts receivable, net
 3 Months Ended
Apr. 29, 2017
Receivables [Abstract]  
Accounts receivable, net
Accounts receivable, net
Signet’s accounts receivable primarily consist of US customer in-house financing receivables. The accounts receivable portfolio consists of a population that is of similar characteristics and is evaluated collectively for impairment.
(in millions)
April 29, 2017
 
January 28, 2017
 
April 30, 2016
Accounts receivable by portfolio segment, net:
 
 
 
 
 
Sterling Jewelers customer in-house finance receivables
$
1,683.8

 
$
1,813.3

 
$
1,654.3

Zale customer in-house finance receivables
32.8

 
33.4

 
21.6

Other accounts receivable
9.7

 
11.3

 
13.4

Total accounts receivable, net
$
1,726.3

 
$
1,858.0

 
$
1,689.3


Signet grants credit to customers based on a variety of credit quality indicators, including consumer financial information and prior payment experience. On an ongoing basis, management monitors the credit exposure based on past due status and collection experience, as it has found a meaningful correlation between the past due status of customers and the risk of loss.
During the third quarter of Fiscal 2016, Signet implemented a program to provide in-house credit to customers in the Zale division’s US locations. The allowance for credit losses associated with Zale customer in-house finance receivables was immaterial as of April 29, 2017, January 28, 2017 and April 30, 2016.
Other accounts receivable is comprised primarily of accounts receivable relating to the insurance loss replacement business in the UK Jewelry division of $8.9 million (January 28, 2017 and April 30, 2016: $11.0 million and $9.3 million, respectively).
The allowance for credit losses on Sterling Jewelers customer in-house finance receivables is shown below:
 
13 weeks ended
(in millions)
April 29, 2017
 
April 30, 2016
Beginning balance:
$
(138.7
)
 
$
(130.0
)
Charge-offs, net
54.4

 
46.8

Recoveries
9.1

 
10.1

Provision
(51.7
)
 
(43.7
)
Ending balance
$
(126.9
)
 
$
(116.8
)
Ending receivable balance evaluated for impairment
1,810.7

 
1,771.1

Sterling Jewelers customer in-house finance receivables, net
$
1,683.8

 
$
1,654.3


Net bad debt expense is defined as the provision expense less recoveries.
The credit quality indicator and age analysis of Sterling Jewelers customer in-house finance receivables are shown below:
   
April 29, 2017
 
January 28, 2017
 
April 30, 2016
(in millions)
Gross
 
Valuation
allowance
 
Gross
 
Valuation
allowance
 
Gross
 
Valuation
allowance
Performing:
 
 
 
 
 
 
 
 
 
 
 
Current, aged 0 – 30 days
$
1,445.9

 
$
(44.5
)
 
$
1,538.2

 
$
(47.2
)
 
$
1,427.5

 
$
(43.4
)
Past due, aged 31 – 60 days
251.9

 
(8.3
)
 
282.0

 
(9.0
)
 
240.9

 
(7.9
)
Past due, aged 61 – 90 days
40.9

 
(2.1
)
 
51.6

 
(2.3
)
 
39.2

 
(2.0
)
Non Performing:
 
 
 
 
 
 
 
 
 
 
 
Past due, aged more than 90 days
72.0

 
(72.0
)
 
80.2

 
(80.2
)
 
63.5

 
(63.5
)
 
$
1,810.7

 
$
(126.9
)
 
$
1,952.0

 
$
(138.7
)
 
$
1,771.1

 
$
(116.8
)
 
April 29, 2017
 
January 28, 2017
 
April 30, 2016
(as a % of the ending receivable balance)
Gross
 
Valuation
allowance
 
Gross
 
Valuation
allowance
 
Gross
 
Valuation
allowance
Performing
 
 
 
 
 
 
 
 
 
 
 
Current, aged 0 – 30 days
79.8
%
 
3.1
%
 
78.8
%
 
3.1
%
 
80.6
%
 
3.0
%
Past due, aged 31 – 60 days
13.9
%
 
3.3
%
 
14.5
%
 
3.2
%
 
13.6
%
 
3.3
%
Past due, aged 61 – 90 days
2.3
%
 
5.1
%
 
2.6
%
 
4.5
%
 
2.2
%
 
5.1
%
Non Performing
 
 
 
 
 
 
 
 
 
 
 
Past due, aged more than 90 days
4.0
%
 
100.0
%
 
4.1
%
 
100.0
%
 
3.6
%
 
100.0
%
 
100.0
%
 
7.0
%
 
100.0
%
 
7.1
%
 
100.0
%
 
6.6
%

See Note 20, Subsequent events, for additional information regarding the anticipated sale of a portion of the US customer in-house finance receivable portfolio, as well as the agreement to outsource the servicing function for the Company’s remaining in-house finance receivables.
Securitized credit card receivables
The Sterling Jewelers division securitizes its credit card receivables through its Sterling Jewelers Receivables Master Note Trust. See Note 15 for additional information regarding this asset-backed securitization facility.