Restoration Hardware 2015 Annual Report Download - page 83

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80
The following sets forth the goodwill and intangible assets as of January 31, 2015 (in thousands):
Gross
Carrying
Amount
Accumulated
Amortization
Foreign
Currency
Translation
Net Book
Value
Intangible assets subject to amortization ...............................
Fair value of leases
(
1
)
......................................................
Fair market write-up ................................................... $ 3,110 $ (2,419) $ — $ 691
Fair market write-down
(
2
)
.......................................... (1,467) 1,127 — (340)
Customer relationships
(
3
)
................................................. 80 (80) — —
Total intangible assets subject to amortization...... $ 1,723 $ (1,372) $ — $ 351
Intangible assets not subject to amortization .........................
Goodwill .......................................................................... $ 124,461 $ — $ (37 ) $ 124,424
Trademarks and domain names ........................................ $ 47,863 $ — $ — $ 47,863
(1) The fair value of each lease is amortized over the life of the respective lease.
(2) The fair market write-down of leases is included in other non-current obligations on the consolidated balance sheets.
(3) Customer relationships are amortized over a one-year period.
The Company recorded amortization expense related to intangible assets of $0.3 million, $0.7 million, and $1.1 million in fiscal
2015, fiscal 2014, and fiscal 2013, respectively.
NOTE 7—ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
Accounts payable and accrued expenses consist of the following (in thousands):
January 30, January 31,
2016 2015
Accounts payable ....................................................................... $ 175,024 $ 133,063
Accrued compensation ............................................................... 27,698 35,942
Accrued freight and duty ........................................................... 27,230 22,747
Accrued sales taxes .................................................................... 19,269 21,240
Accrued occupancy .................................................................... 15,095 7,530
Accrued catalog costs ................................................................ 5,988 4,582
Accrued legal settlements .......................................................... 3,000 4,309
Accrued professional fees .......................................................... 2,736 2,319
Other accrued expenses .............................................................. 4,674 3,427
Total accounts payable and accrued expenses ...................... $ 280,714 $ 235,159
Accounts payable included negative cash balances due to outstanding checks of $18.4 million and $17.5 million as of January
30, 2016, and January 31, 2015, respectively.
Other current liabilities consist of the following (in thousands):
January 30, January 31,
2016 2015
Federal and state tax payable ..................................................... $ 27,838 $ 1,509
Unredeemed gift card and merchandise credit liability.............. 24,364 23,004
Allowance for sales returns ........................................................ 12,688 10,235
Capital lease obligations—current ............................................. 182 255
Other liabilities .......................................................................... — 584
Total other current liabilities ................................................ $ 65,072 $ 35,587