Stein Mart 2013 Annual Report Download - page 35
Download and view the complete annual report
Please find page 35 of the 2013 Stein Mart annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.67(,10$57,1&
127(672&2162/,'$7('),1$1&,$/67$7(0(176
'ROODUVLQWDEOHVLQWKRXVDQGVH[FHSWSHUVKDUHDPRXQWV
)
6XPPDU\RI6LJQLILFDQW$FFRXQWLQJ3ROLFLHVDQG2WKHU,QIRUPDWLRQ
$VRI)HEUXDU\ZHRSHUDWHGDFKDLQRIUHWDLOVWRUHVLQVWDWHVDQGDQ,QWHUQHWVWRUHWKDWRIIHUVWKHIDVKLRQPHUFKDQGLVH
VHUYLFHDQGSUHVHQWDWLRQRIDEHWWHUGHSDUWPHQWRUVSHFLDOW\VWRUHDWSULFHVFRPSHWLWLYHZLWKRIISULFHUHWDLOFKDLQV
$VXVHGKHUHLQWKHWHUPV³ZH´³RXU´³XV´³6WHLQ0DUW´DQGWKH³&RPSDQ\´UHIHUWR6WHLQ0DUW,QFDQGLWVZKROO\RZQHGVXEVLGLDULHV
6WHLQ0DUW%X\LQJ&RUSDQG6WHLQ0DUW+ROGLQJ&RUS
&RQVROLGDWLRQ7KH&RQVROLGDWHG)LQDQFLDO6WDWHPHQWVLQFOXGHWKHDFFRXQWVRIWKH&RPSDQ\DQGLWVZKROO\RZQHGVXEVLGLDULHV$OOLQWHU
FRPSDQ\DFFRXQWVKDYHEHHQHOLPLQDWHGLQFRQVROLGDWLRQ
)LVFDO<HDU(QG2XUILVFDO\HDUHQGVRQWKH6DWXUGD\FORVHVWWR-DQXDU\)LVFDO\HDUVDQGHQGHGRQ)HEUXDU\
)HEUXDU\DQG-DQXDU\UHVSHFWLYHO\)LVFDODQGLQFOXGHGZHHNV)LVFDOLQFOXGHGZHHNV
5HIHUHQFHVWR\HDUVLQWKH&RQVROLGDWHG)LQDQFLDO6WDWHPHQWVUHODWHWRILVFDO\HDUVUDWKHUWKDQFDOHQGDU\HDUV
8VH RI (VWLPDWHV 7KH SUHSDUDWLRQ RI ILQDQFLDO VWDWHPHQWV LQ FRQIRUPLW\ ZLWK JHQHUDOO\ DFFHSWHG DFFRXQWLQJ SULQFLSOHV UHTXLUHV
PDQDJHPHQWWRPDNHHVWLPDWHVDQGDVVXPSWLRQVWKDWDIIHFWWKHUHSRUWHGDPRXQWVRIDVVHWVDQGOLDELOLWLHVDQGGLVFORVXUHRIFRQWLQJHQW
DVVHWV DQG OLDELOLWLHVDW WKH GDWH RI WKHILQDQFLDO VWDWHPHQWV DQG WKHUHSRUWHGDPRXQWV RIUHYHQXHV DQGH[SHQVHV GXULQJWKHUHSRUWLQJ
SHULRG$FWXDOUHVXOWVFRXOGGLIIHUIURPWKRVHHVWLPDWHV
&DVKDQG&DVK(TXLYDOHQWV&DVKDQGFDVKHTXLYDOHQWVLQFOXGHSULPDULO\LQYHVWPHQWVLQPRQH\PDUNHWIXQGV7KHPRQH\PDUNHWIXQG
LQYHVWPHQWVDUH/HYHODVVHWVEHFDXVHIDLUYDOXHLVEDVHGRQUHDGLO\DYDLODEOHPDUNHWSULFHV7KHIDLUYDOXHRIWKHVHDVVHWVZDV
PLOOLRQDW)HEUXDU\DQGPLOOLRQDW)HEUXDU\
$OVR LQFOXGHG LQ FDVK DQG FDVK HTXLYDOHQWV DUH FDVK RQ KDQG LQ WKH VWRUHV GHSRVLWV ZLWK EDQNV DQG DPRXQWV GXH IURP FUHGLW FDUG
WUDQVDFWLRQVZLWKVHWWOHPHQWWHUPVRIILYHGD\VRUOHVV&UHGLWDQGGHELWFDUGUHFHLYDEOHVLQFOXGHGZLWKLQFDVKZHUHPLOOLRQDQG
PLOOLRQDW)HEUXDU\DQG)HEUXDU\UHVSHFWLYHO\
5HWDLO,QYHQWRU\0HWKRGDQG,QYHQWRU\9DOXDWLRQ,QYHQWRULHVDUHYDOXHGXVLQJWKHORZHURIFRVWRUPDUNHWYDOXHGHWHUPLQHGE\WKH
UHWDLOLQYHQWRU\PHWKRG8QGHUWKHUHWDLOLQYHQWRU\PHWKRG³5,0´WKHYDOXDWLRQRILQYHQWRULHVDWFRVWDQGWKHUHVXOWLQJJURVVPDUJLQVDUH
FDOFXODWHGE\DSSO\LQJDFRVWWRUHWDLOUDWLRWRWKHUHWDLOYDOXHRILQYHQWRULHV5,0LVDQDYHUDJLQJPHWKRGWKDWLVZLGHO\XVHGLQWKHUHWDLO
LQGXVWU\7KHXVHRIWKHUHWDLOLQYHQWRU\PHWKRGUHVXOWVLQYDOXLQJLQYHQWRULHVDWORZHURIFRVWRUPDUNHWDVSHUPDQHQWPDUNGRZQVDUH
FXUUHQWO\ WDNHQ DV D UHGXFWLRQ RI WKH UHWDLO YDOXH RI LQYHQWRULHV ,QKHUHQW LQ WKH 5,0 FDOFXODWLRQ DUH FHUWDLQ VLJQLILFDQW PDQDJHPHQW
MXGJPHQWVDQGHVWLPDWHVLQFOXGLQJDPRQJRWKHUVPHUFKDQGLVHPDUNRQPDUNXSPDUNGRZQVDQGVKULQNDJHZKLFKVLJQLILFDQWO\DIIHFWWKH
HQGLQJ LQYHQWRU\ YDOXDWLRQ DW FRVW DV ZHOO DV WKH FRUUHVSRQGLQJ FKDUJH WR FRVW RI JRRGV VROG ,Q DGGLWLRQ IDLOXUH WR WDNH DSSURSULDWH
SHUPDQHQWPDUNGRZQVFXUUHQWO\FDQUHVXOWLQDQRYHUVWDWHPHQWRILQYHQWRU\
9HQGRU$OORZDQFHV:HUHFHLYHDOORZDQFHVIURPVRPHRIRXUYHQGRUVSULPDULO\UHODWHGWRPDUNGRZQUHLPEXUVHPHQWGDPDJHGGHIHFWLYH
PHUFKDQGLVHDQGYHQGRU FRPSOLDQFHLVVXHV9HQGRU DOORZDQFHVDUHUHFRUGHGZKHQHDUQHG LQDFFRUGDQFH ZLWK$FFRXQWLQJ6WDQGDUGV
&RGLILFDWLRQ³$6&´7RSLF5HYHQXH5HFRJQLWLRQ&XVWRPHU3D\PHQWVDQG,QFHQWLYHV$OORZDQFHVUHFHLYHGIURPYHQGRUVUHODWHG
WR SURILWDELOLW\ RI LQYHQWRU\ UHFHQWO\ VROG DUH UHIOHFWHG DV UHGXFWLRQV WR FRVW RI PHUFKDQGLVH VROG LQ WKH ODWHU RI WKH SHULRG WKDW WKH
PHUFKDQGLVH PDUNGRZQ LV LQFXUUHG RU WKH DOORZDQFH LV QHJRWLDWHG $OORZDQFHV UHFHLYHG IURP YHQGRUV UHODWHG WR GDPDJHGGHIHFWLYH
LQYHQWRU\DUHUHIOHFWHGDVUHGXFWLRQVWRWKHFRVWRIPHUFKDQGLVHDVLWLVUHFHLYHG$OORZDQFHVUHFHLYHGGXHWRFRPSOLDQFHLVVXHVSULPDULO\
YLRODWLRQV RI VKLSSLQJ DQG PHUFKDQGLVH SUHSDUDWLRQ UHTXLUHPHQWV DUH UHIOHFWHG DV D UHGXFWLRQ WR WKH FRVW RI WKH PHUFKDQGLVH ZKHQ
LGHQWLILHGGXULQJWKHUHFHLYLQJSURFHVV
3URSHUW\DQG(TXLSPHQW3URSHUW\DQGHTXLSPHQWDUHVWDWHGDWFRVWOHVVDFFXPXODWHGGHSUHFLDWLRQDQGDPRUWL]DWLRQ'HSUHFLDWLRQLV
FRPSXWHGXVLQJWKHVWUDLJKWOLQHPHWKRGRYHUHVWLPDWHGXVHIXOOLYHVRI\HDUVIRUIL[WXUHVHTXLSPHQWDQGVRIWZDUHDQG\HDUVIRU
OHDVHKROGLPSURYHPHQWV/HDVHKROGLPSURYHPHQWVDUHDPRUWL]HGRYHUWKHVKRUWHURIWKHHVWLPDWHGXVHIXOOLYHVRIWKHLPSURYHPHQWVRUWKH
WHUPRIWKHOHDVH :HFDSLWDOL]HFRVWVDVVRFLDWHGZLWKWKHDFTXLVLWLRQRUGHYHORSPHQWRIVRIWZDUHIRULQWHUQDOXVH:HRQO\ FDSLWDOL]H
VXEVHTXHQW DGGLWLRQV PRGLILFDWLRQV RU XSJUDGHV WR LQWHUQDOXVH VRIWZDUH WR WKH H[WHQW WKDW VXFK FKDQJHV LQFUHDVH IXQFWLRQDOLW\:H
H[SHQVHVRIWZDUHPDLQWHQDQFHDQGWUDLQLQJFRVWVDVLQFXUUHG
,PSDLUPHQW RI /RQJ/LYHG $VVHWV :H IROORZ WKH JXLGDQFH LQ $6& 7RSLF 3URSHUW\ 3ODQW DQG (TXLSPHQW ZKLFK UHTXLUHV
LPSDLUPHQWORVVHVWREHUHFRUGHGRQORQJOLYHGDVVHWVXVHGLQRSHUDWLRQVZKHQHYHUHYHQWVRUFKDQJHVLQFLUFXPVWDQFHVLQGLFDWHWKDWWKH
QHWFDUU\LQJDPRXQWVPD\QRWEHUHFRYHUDEOH)RUORQJOLYHGDVVHWVKHOGIRUXVHDQLPSDLUPHQWORVVLVUHFRJQL]HGLIWKHVXPRIWKHIXWXUH