rue21, inc. - FORM 10-Q - XML - IDEA: XBRL DOCUMENT - November 29, 2012



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EXCEL - IDEA: XBRL DOCUMENT - rue21, inc.Financial_Report.xls
v2.4.0.6
Fair Value
9 Months Ended
Oct. 27, 2012
Fair Value [Abstract]  
Fair Value

NOTE 6 — Fair Value

The FASB’s authoritative guidelines require the categorization of assets and liabilities into three levels based upon the assumptions (inputs) used to price the assets or liabilities. Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment. The three levels are defined as follows:

 

   

Level 1: Unadjusted quoted prices in active markets for identical assets and liabilities. The Company’s cash, cash equivalents, and short term investments of $44,347, $71,960 and $36,071 as of October 27, 2012, January 28, 2012 and October 29, 2011, respectively, are reported at fair value utilizing Level 1 inputs.

 

   

Level 2: Observable inputs other than those included in Level 1. For example, quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets.

 

   

Level 3: Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability. The Company determined that the fair value measurements related to the impaired long lived assets disclosed in Note 5 are derived from significant other observable inputs. These non-financial assets are measured on a non-recurring basis when events and circumstances warrant.

In accordance with ASC 820, the following tables represent the fair value hierarchy for the Company’s financial assets (cash equivalents) measured at fair value on a recurring basis as of October 27, 2012 and October 29, 2011:

 

                                 
    Fair Value Measurements at October 27, 2012  
    Carrying
Amount
    Quoted Market
Prices in Active
Markets for
Identical Assets
(Level 1)
    Significant Other
Observable
Inputs (Level 2)
    Significant
Unobservable
Inputs

(Level 3)
 

Cash and cash equivalents

                               

Cash

  $ 7,347     $ 7,347     $ —       $ —    

Short Term Investments

  $ 37,000     $ 37,000     $ —       $ —    
   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 44,347     $ 44,347     $ —       $ —    
   

 

 

   

 

 

   

 

 

   

 

 

 
   
    Fair Value Measurements at October 29, 2011  
    Carrying
Amount
    Quoted Market
Prices in Active
Markets for
Identical Assets
(Level 1)
    Significant Other
Observable
Inputs (Level 2)
    Significant
Unobservable
Inputs

(Level 3)
 

Cash and cash Equivalents

                               

Cash

  $ 36,071     $ 36,071     $ —       $ —    
   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 36,071     $ 36,071     $ —       $ —    
   

 

 

   

 

 

   

 

 

   

 

 

 

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