DSW 2013 Annual Report Download - page 70

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Table of Contents


The following table presents the composition of rental expense for the periods presented:
Fiscal years ended
February 1, 2014
February 2, 2013
January 28, 2012
(in thousands)
Minimum rentals:
Unrelated parties $ 137,602
$127,061
$112,800
Related parties 10,486
12,855
13,230
Contingent rentals:
Unrelated parties 29,639
26,502
33,784
Total $177,727
$166,418
$159,814

Filene's Basement Defined Benefit Pension Plan- Merger Sub was responsible for the Filene’s Basement defined benefit pension plan (the "plan") that RVI
assumed as part of its sale of Filene's Basement in fiscal 2009. On December 1, 2011, DSW adopted a plan amendment to terminate the plan with a proposed
termination date of March 11, 2012. In April 2013, DSW received a favorable determination letter from the Internal Revenue Service, began the process of
obtaining participant settlement elections and was required to disburse the funds within 120 days of the receipt of the favorable determination letter. DSW
contributed a final contribution of $5.0 million to fully fund the plan. In the second quarter of fiscal 2013, DSW distributed all plan assets to participants
through lump-sum distributions and a nonparticipating annuity contract. The settlement of the pension plan resulted in a settlement loss of $8.9 million,
which is net of an income tax benefit of $5.3 million, which was reclassified from accumulated other comprehensive loss to the statement of operations in the
second quarter of fiscal 2013.
The following table provides additional detail regarding the composition of and reclassification adjustments out of accumulated other comprehensive loss for
the periods presented:
Fiscal years ended
Location on Consolidated Statements
of Operations
February 1,
2014
February 2,
2013
January 28,
2012
(in thousands)
Beginning Balance
$(8,758)
$ (8,486)
$ (5,842)
Reclassification adjustments:
Reclassification to net income due to settlement of
the pension plan
14,224
—
—
Operating expenses
Tax benefit of the settlement of the pension plan
(5,289)
—
—
Income tax provision
Other changes to accumulated other comprehensive loss:
Change in minimum pension liability
(177)
(413)
(2,503)
Unrealized gains (losses) on securities
—
141
(141)
Ending Balance
$ —
$(8,758)
$ (8,486)
F- 27
Source: DSW Inc., 10-K, March 27, 2014 Powered by Morningstar® Document Research℠
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