Amended Current Report


 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington D.C. 20549

 

 

FORM 8-K/A

 

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (date of earliest event reported): August 19, 2016

 

 

GORDMANS STORES, INC.

(Exact name of registrant as specified in its charter)

 

Delaware   001-34842   26-3171987

(State or other jurisdiction of

incorporation or organization)

  (Commission File Number)  

(IRS Employer

Identification No.)

 

 

1926 South 67 th Street

Omaha, Nebraska 68106

(Address of principal executive offices, zip code)

(402) 691-4000

(Registrant’s telephone number, including area code)

 

(Former name or former address, if changed since last report)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 


Item 2.02. RESULTS OF OPERATIONS AND FINANCIAL CONDITION.

Gordmans Stores, Inc. (the “Company”) is furnishing this Current Report on Form 8-K/A to amend its Current Report on Form 8-K furnished on August 19, 2016 in order to correct the Company’s unaudited Condensed Consolidated Financial Statements as of July 30, 2016 and for the twenty-six weeks then ended, which was included in the press release the Company issued on August 19, 2016 relating to the Company’s second quarter 2016 financial results.

Subsequent to the issuance of the press release, the Company determined that a balance sheet reclassification reducing its current income tax receivable and long-term deferred income taxes was necessary. The balance sheet reclassification has no impact to the results of earnings previously reported. Current income tax receivable was $1.3 million as of July 30, 2016 instead of $5.9 million previously reported. Deferred income taxes, a noncurrent liability, were $12.7 million as of July 30, 2016 instead of $17.3 million previously reported. The impact of these changes have been adjusted in the Condensed Consolidated Statement of Cash Flows for the twenty-six weeks ended July 30, 2016, which has no net change to the net cash used in operating activities for the period.

Attached hereto as Exhibit 99.1 is an updated copy of the balance sheet and cash flows financial tables to the press release reflecting the corrected income tax receivable and deferred income taxes in the Condensed Consolidated Balance Sheet as of July 30, 2016 and the Condensed Consolidated Statement of Cash Flows for the twenty-six weeks then ended.

The information, including Exhibit 99.1, in this Form 8-K/A is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that Section. The information in this Form 8-K/A shall not be incorporated by reference into any filing under the Securities Act of 1933, except as shall otherwise be expressly set forth by specific reference in such filing. The filing of this Form 8-K/A and the furnishing of the information contained herein is not intended to, and does not, constitute a determination or admission by the Company as to the materiality of any information contained herein or in any exhibit hereto or that the information provided includes material investor information that was not previously publically available.

Item 9.01. FINANCIAL STATEMENTS AND EXHIBITS.

(d) Exhibits

 

99.1    Updated Financial Tables to the Press Release of Gordmans Stores, Inc.

 

2


SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

    GORDMANS STORES, INC.
Date: September 2, 2016     By:   /s/ James B. Brown
      Name:   James B. Brown
      Title:   Executive Vice President, Chief Financial Officer, Treasurer, and Assistant Secretary

 

3


EXHIBIT INDEX

 

99.1    Updated Financial Tables to the Press Release of Gordmans Stores, Inc.

 

4

Exhibit 99.1

GORDMANS STORES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Dollars in Thousands)

 

     July 30,
2016

(Unaudited)
    January 30,
2016
    August 1,
2015

(Unaudited)
 

ASSETS

      

CURRENT ASSETS:

      

Cash and cash equivalents

   $ 9,426      $ 6,969      $ 9,946   

Accounts receivable

     4,368        3,896        3,608   

Landlord receivable

     5,751        3,805        2,561   

Income taxes receivable

     1,344        2,746        11,001   

Merchandise inventories

     110,472        106,566        118,889   

Deferred income taxes

     4,965        5,077        2,896   

Prepaid expenses and other current assets

     9,470        8,096        9,985   
  

 

 

   

 

 

   

 

 

 

Total current assets

     145,796        137,155        158,886   

PROPERTY AND EQUIPMENT, net

     92,421        86,375        86,955   

INTANGIBLE ASSETS, net

     1,820        1,820        1,820   

OTHER ASSETS, net

     3,711        3,822        3,563   
  

 

 

   

 

 

   

 

 

 

TOTAL ASSETS

   $ 243,748      $ 229,172      $ 251,224   
  

 

 

   

 

 

   

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

      

CURRENT LIABILITIES:

      

Accounts payable

   $ 73,387      $ 66,393      $ 79,436   

Accrued expenses

     29,990        30,151        27,235   

Current portion of long-term debt, net

     36,921        18,390        31,711   
  

 

 

   

 

 

   

 

 

 

Total current liabilities

     140,298        114,934        138,382   
  

 

 

   

 

 

   

 

 

 

NONCURRENT LIABILITIES:

      

Long-term debt, less current portion, net

     26,484        27,345        28,145   

Deferred rent

     36,582        33,522        31,640   

Deferred income taxes

     12,720        18,130        16,318   

Other liabilities

     318        347        237   
  

 

 

   

 

 

   

 

 

 

Total noncurrent liabilities

     76,104        79,344        76,340   
  

 

 

   

 

 

   

 

 

 

COMMITMENTS AND CONTINGENCIES

      

STOCKHOLDERS’ EQUITY:

      

Preferred stock

     —         —         —    

Common stock

     20        20        20   

Additional paid-in capital

     54,711        54,601        54,542   

Accumulated deficit

     (27,385     (19,727     (18,060
  

 

 

   

 

 

   

 

 

 

Total stockholders’ equity

     27,346        34,894        36,502   
  

 

 

   

 

 

   

 

 

 

TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY

   $ 243,748      $ 229,172      $ 251,224   
  

 

 

   

 

 

   

 

 

 


GORDMANS STORES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Dollars in Thousands)

 

     26 Weeks
Ended
July 30,
2016

(Unaudited)
    26 Weeks
Ended
August 1,
2015

(Unaudited)
 

CASH FLOWS FROM OPERATING ACTIVITIES:

    

Net loss

   $ (7,702   $ (2,657

Adjustments to reconcile net loss to net cash used in operating activities:

    

Depreciation and amortization expense

     8,807        8,083   

Write-off of deferred financing fees related to extinguishment of debt

     —          1,722   

Deferred tax valuation allowance

     545        —     

Share-based compensation expense, net of forfeitures

     302        640   

Amortization of deferred financing fees

     132        355   

Loss on retirement / sale of property and equipment

     101        23   

Deferred tax asset shortfall related to share-based compensation expense

     (192       

Deferred income taxes

     (5,843     681   

Net changes in operating assets and liabilities:

    

Accounts, landlord and income taxes receivable

     (1,016     (3,156

Merchandise inventories

     (3,906     (24,419

Prepaid expenses and other current assets

     (1,373     (1,450

Other assets

     111        80   

Accounts payable

     6,994        15,087   

Deferred rent

     3,060        (3,741

Accrued expenses and other liabilities

     (1,002     (2,109
  

 

 

   

 

 

 

Net cash used in operating activities

     (982     (10,861
  

 

 

   

 

 

 

CASH FLOWS FROM INVESTING ACTIVITIES:

    

Purchase of property and equipment

     (17,895     (8,038

Proceeds from sale-leaseback transactions

     3,752        2,412   

Cash received on sale of property and equipment

     44        —     

Proceeds from insurance settlement

     —          21   
  

 

 

   

 

 

 

Net cash used in investing activities

     (14,099     (5,605
  

 

 

   

 

 

 

CASH FLOWS FROM FINANCING ACTIVITIES:

    

Borrowings on revolving line of credit

     116,500        111,850   

Repayments on revolving line of credit

     (98,038     (92,502

Proceeds from secured term loan

     —          30,000   

Payment of long-term debt

     (924     (29,518

Payment of debt issuance costs

     —          (783

Payment penalty on early extinguishment of debt

     —          (292

Dividends paid

     —          (8

Proceeds from the exercise of stock options

     —          31   
  

 

 

   

 

 

 

Net cash provided by financing activities

     17,538        18,778   
  

 

 

   

 

 

 

NET INCREASE IN CASH AND CASH EQUIVALENTS

     2,457        2,312   

CASH AND CASH EQUIVALENTS, Beginning of period

     6,969        7,634   
  

 

 

   

 

 

 

CASH AND CASH EQUIVALENTS, End of period

   $ 9,426      $ 9,946