Income Taxes (Tables)

12 Months Ended

Mar. 01, 2014

Income Tax Disclosure [Abstract]

Components of Income Taxes

The following table sets forth the components of income tax expense for each of the following years (in thousands):

	2014		2013		2012
Currently payable:
Federal	$	32,610	$	33,703	$	36,211
State	4,413		4,570		2,962
	37,023		38,273		39,173
Deferred:
Federal	9,266		4,359		9,357
State	877		682		1,448
	10,143		5,041		10,805
Total income tax expense	$	47,166	$	43,314	$	49,978

Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities are as follows (in thousands):

	March 1, 2014			March 2, 2013
Deferred tax assets:
Deferred credits from landlords	$	10,323		$	10,591
Share-based compensation	4,361			4,681
Compensation accrual	5,456			3,297
Deferred compensation	2,281			1,920
Other	5,721			4,501
Total deferred tax assets	28,142			24,990
Deferred tax liabilities:
Property and equipment	(24,625		)	(10,137		)
Inventories	(7,500		)	(9,729		)
Other	(1,381		)	(345		)
Total deferred tax liabilities	(33,506		)	(20,211		)
Net deferred tax (liability) asset	$	(5,364	)	$	4,779

Reconciliation of Statutory Federal Income Tax Rate to Effective Income Tax Rate

The effective income tax rate varies from the statutory federal income tax rate for 2014, 2013 and 2012 due to the following:

	2014		2013		2012
Tax at statutory federal income tax rate	35.0	%	35.0	%	35.0	%
State income taxes, net of federal benefit	2.9		2.9		3.0
Tax contingencies	—		(0.2	)	(0.9	)
Tax effect related to Running Specialty partnership interest	0.5		0.7		—
Other	0.2		0.1		—
	38.6	%	38.5	%	37.1	%

Activity Related to Unrecognized Tax Benefits for U.S. Federal and State Tax Jurisdictions and Excludes Accrued Interest and Penalties

The following table summarizes the activity related to the Company’s unrecognized tax benefits for U.S. federal and state tax jurisdictions and excludes accrued interest and penalties (in thousands):

	2014			2013			2012
Unrecognized tax benefits at beginning of year	$	6,268		$	6,548		$	7,530
Increases in tax positions for prior years	1,695			275			193
Decreases in tax positions for prior years	(195		)	(29		)	(1,057		)
Increases in unrecognized tax benefits as a result of current year activity	2,385			13			50
Decreases to unrecognized tax benefits relating to settlements with taxing authorities	(209		)	—			(5		)
Decreases to unrecognized tax benefits as a result of a lapse of the applicable statute of limitations	(2,306		)	(539		)	(163		)
Unrecognized tax benefits at end of year	$	7,638		$	6,268		$	6,548