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Document And Entity Information	6 Months Ended
Document And Entity Information	Jul. 31, 2011 USD ($) shares
Entity Registrant Name	CONNS INC
Entity Central Index Key	0001223389
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Public Float \| $	$ 78,200,000
Entity Common Stock, Shares Outstanding \| shares	31,878,305
Document Fiscal Year Focus	2012
Document Fiscal Period Focus	Q2
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jul. 31, 2011

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jul. 31, 2011	Jan. 31, 2011
Current assets
Cash And Cash Equivalents	$ 8,280	$ 10,977
Customer accounts receivable, net of allowance of $18,763 and $13,568, respectively	311,322	342,754
Other accounts receivable, net of allowance of $60 and $57 respectively	32,629	30,476
Inventories	77,080	82,354
Deferred income taxes	12,246	16,681
Federal income taxes recoverable	4,925	3,942
Prepaid expenses and other assets	5,069	6,476
Total current assets	451,551	493,660
Long-term portion of customer accounts receivable, net of allowance of $15,873 and $11,286, respectively	258,968	289,965
Property and equipment
Land	7,264	7,264
Buildings	10,455	10,379
Equipment and fixtures	25,200	25,394
Transportation equipment	1,889	1,558
Leasehold improvements	85,695	85,415
Subtotal	130,503	130,010
Less accumulated depreciation	(88,296)	(83,120)
Total property and equipment, net	42,207	46,890
Non-current deferred income tax asset	8,976	8,009
Other assets, net	10,490	10,118
Total assets	772,192	848,642
Current Liabilities
Current portion of long-term debt	508	167
Accounts payable	50,383	57,740
Accrued compensation and related expenses	5,927	5,477
Accrued expenses	27,229	25,423
Income taxes payable	1,127	2,103
Deferred revenues and allowances	20,571	20,870
Total current liabilities	105,745	111,780
Long-term debt	298,670	373,569
Other long-term liabilities	6,522	4,403
Deferred gain on sale of property	747	845
Stockholders' equity
Preferred stock ($0.01 par value, 1,000,000 shares authorized; none issued or outstanding)	0	0
Common stock ($0.01 par value, 40,000,000 shares authorized; 33,488,565 and 31,177,077 shares issued at January 31, 2011 and July 31, 2011, respectively	319	335
Accumulated other comprehensive loss	0	(71)
Additional paid in capital	133,420	131,590
Retained earnings	226,769	263,262
Treasury stock at cost (1,723,205 shares at January 31, 2011)	0	(37,071)
Total liabilities and stockholders' equity	$ 772,192	$ 848,642

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2011	Jul. 31, 2010	Jul. 31, 2011	Jul. 31, 2010
Revenues
Product sales	$ 138,231	$ 164,660	$ 282,510	$ 313,675
Repair service agreement commissions (net)	8,589	8,368	16,111	16,429
Service revenues	3,811	4,183	7,700	8,940
Total net sales	150,631	177,211	306,321	339,044
Finance charges and other	33,744	35,905	67,363	71,981
Total revenues	184,375	213,116	373,684	411,025
Cost and expenses
Cost of goods sold, including warehousing and occupancy costs	105,400	130,217	215,110	244,433
Cost of service parts sold, including warehousing and occupancy cost	1,596	2,116	3,326	4,492
Selling, general and administrative expense	56,251	60,969	112,439	119,301
Costs related to store closings	3,658	0	3,658	0
Provision for bad debts	5,009	10,339	12,530	17,973
Total cost and expenses	171,914	203,641	347,063	386,199
Operating income	12,461	9,475	26,621	24,826
Interest expense, net	7,004	6,729	14,560	12,512
Loss from early extinguishment of debt	(11,056)	0	(11,056)	0
Other expense, net	34	12	86	183
Income before income taxes	(5,633)	2,734	919	12,131
Provision for income taxes	(2,201)	1,127	358	4,731
Net income (loss)	$ (3,432)	$ 1,607	$ 561	$ 7,400
Earnings per share
Basic (in dollars per share)	$ (0.11)	$ 0.06	$ 0.02	$ 0.30
Diluted (in dollars per share)	$ (0.11)	$ 0.06	$ 0.02	$ 0.30
Average common shares outstanding
Basic (in shares)	31,808	22,941	31,808	24,936
Diluted (in shares)	31,808	24,945	31,897	24,940

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - 6 months ended Jul. 31, 2011 - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Paid in Capital [Member]	Retained Earnings [Member]	Treasury Stock [Member]
Balance at Jan. 31, 2011		$ 335	$ (71)	$ 131,590	$ 263,262	$ (37,071)
Balance (in shares) at Jan. 31, 2011		33,488				(1,723)
Exercise of options, including tax benefit (in shares)		99
Exercise of options, including tax benefit	$ 786	$ 1		785
Issuance of common stock under Employee Stock Purchase Plan				54
Issuance of common stock under Employee Stock Purchase Plan (in shares)		14
Stock-based compensation	1,056			1,056
Cost related to issuance of common stock	(65)			(65)
Treasury Shares cancelled		$ (17)			(37,054)	$ 37,071
Treasury Shares cancelled (in shares)		(1,723)				1,723
Net income (loss)	561				561
Other comprehensive income:
Adjustment of fair value of interest rate swaps, net of tax of $39	71		$ 71
Total comprehensive income	$ 632
Balance at Jul. 31, 2011		$ 319		$ 133,420	$ 226,769	$ 0
Balance (in shares) at Jul. 31, 2011		31,878				0

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jul. 31, 2011	Jul. 31, 2010
Cash flows from operating activities
Net income (loss)	$ 561	$ 7,400
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	5,604	6,625
Amortization, net	2,791	2,194
Loss from early extinguishment of debt	11,056	0
Provision for bad debts	12,530	17,973
Stock-based compensation	1,056	1,147
Costs related to store closings	3,658	0
Provision for deferred income taxes	3,468	619
Gain (loss) from sale of property and equipment	(12)	198
Discounts and accretion on promotional credit	(835)	(1,011)
Change in operating assets and liabilities:
Customer accounts receivable	50,734	8,238
Other accounts receivable	(2,140)	(5,499)
Inventory	5,274	(35,607)
Prepaid expenses and other assets	1,407	8,412
Accounts payable	(7,357)	22,171
Accrued expenses	(865)	(5,411)
Income taxes payable	(1,998)	(1,063)
Deferred revenues and allowances	844	(2,447)
Net cash provided by operating activities	85,776	23,939
Cash flows from investing activities
Purchase of property and equipment	(1,338)	(1,653)
Proceeds from sales of property	0	588
Net cash used in investing activities	(1,338)	(1,065)
Cash flows from financing activities
Net proceeds from stock issued under employee benefit plans, including tax benefit	840	93
Costs related to the issuance of common stock	(65)	0
Proceeds from real estate note	8,000	0
Borrowings under lines of credit	146,939	127,372
Payments on lines of credit	(135,234)	(149,869)
Payment of term loan	(100,000)	0
Payment of prepayment premium	(4,830)	0
Payment of debt issuance costs	(2,702)	(4,182)
Payment of promissory notes	(83)	(69)
Net cash used in financing activities	(87,135)	(26,655)
Net change in cash	(2,697)	(3,781)
Cash and cash equivalents
Cash and cash equivalents, Beginning of the year	10,977	12,247
Cash and cash equivalents, End of the year	$ 8,280	$ 8,466

Basis of Presentation

6 Months Ended

Jul. 31, 2011

Basis of Presentation [Abstract]

Basis of Presentation

1. Summary of Significant Accounting Policies

Basis of Presentation. The accompanying unaudited, condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. The accompanying financial statements reflect all adjustments that are, in the opinion of management, necessary for a fair statement of the results for the interim periods presented. All such adjustments are of a normal recurring nature, except as otherwise described herein. Operating results for the six-month period ended July 31, 2011 are not necessarily indicative of the results that may be expected for the fiscal year ending January 31, 2012. The financial statements should be read in conjunction with the Company’s (as defined below) audited consolidated financial statements and the notes thereto included in the Company’s Current Report on Form 10-K filed for the year ended January 31, 2011.

The Company’s balance sheet at January 31, 2011, has been derived from the audited financial statements at that date, but does not include all of the information and footnotes required by accounting principles generally accepted in the United States for a complete financial presentation. Please see the Company’s Form 10-K filed on April 1, 2011 for a complete presentation of the audited financial statements for the fiscal year ended January 31, 2011, together with all required footnotes, and for a complete presentation and explanation of the components and presentations of the financial statements.

Business Activities. The Company, through its retail stores, provides products and services to its customer base in seven primary market areas, including southern Louisiana, southeast Texas, Houston, South Texas, San Antonio/Austin, Dallas/Fort Worth and Oklahoma. Products and services offered through retail sales outlets include home appliances, consumer electronics, home office equipment, lawn and garden products, mattresses, furniture, repair service agreements, installment and revolving credit account programs, and various credit insurance products. These activities are supported through an extensive service, warehouse and distribution system. For the reasons discussed below, the Company has aggregated its results into two operating segments: credit and retail. The Company’s retail stores bear the “Conn’s” name, and deliver the same products and services to a common customer group. The Company’s customers generally are individuals rather than commercial accounts. All of the retail stores follow the same procedures and methods in managing their operations. The Company’s management evaluates performance and allocates resources based on the operating results of its retail and credit segments. The separate financial information is disclosed in Note 8 - “Segment Reporting”.

Principles of Consolidation. The consolidated financial statements include the accounts of Conn’s, Inc. and all of its wholly-owned subsidiaries (the Company). Conn’s, Inc. is a holding company with no independent assets or operations other than its investments in its subsidiaries. All material intercompany transactions and balances have been eliminated in consolidation

Use of Estimates. The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.

Table of Contents

Earnings per Share. The Company calculates basic earnings (loss) per share by dividing net income (loss) by the weighted average number of common shares outstanding. Diluted earnings per share include the dilutive effects of any stock options and restricted stock units granted, to the extent not anti-dilutive, which is calculated using the treasury-stock method. Due to the net loss incurred for the three month ended July 31, 2011, no stock options or restricted stock units were included in the computation of diluted loss per share for that period. The Company has revised its fiscal year 2009, 2010 and 2011 consolidated financial statements to correct its calculation of the number of shares used in calculating its basic and diluted earnings (loss) per share. See Footnote 2 – “Revision of Financial Statements” for a discussion of those adjustments. The following table sets forth the shares outstanding for the earnings (loss) per share calculations (shares in thousands):

	Three Months Ended
	July 31,
(Shares in Thousands)	2010	2011

Common stock outstanding, net of treasury stock, beginning of period	22,480,848	31,772,077
Weighted average common stock issued in stock option exercises	-	33,283
Weighted average common stock issued to employee stock purchase plan	3,057	2,592
Adjustment based on retrospective application of rights offering	2,457,257	-
Shares used in computing basic earnings per share	24,941,162	31,807,952
Dilutive effect of stock options and restricted stock units, net of assumed repurchase of treasury stock	3,679	-
Adjustment based on retrospective application of rights offering	402	-
Shares used in computing diluted earnings (loss) per share	24,945,243	31,807,952

	Six Months Ended
	July 31,
(Shares in Thousands)	2010	2011

Common stock outstanding, net of treasury stock, beginning of period	22,471,350	31,765,360
Weighted average common stock issued in stock option exercises	-	16,917
Weighted average common stock issued to employee stock purchase plan	8,008	5,882
Adjustment based on retrospective application of rights offering	2,456,760	-
Shares used in computing basic earnings per share	24,936,118	31,788,159
Dilutive effect of stock options and restricted stock units, net of assumed repurchase of treasury stock	3,241	108,671
Adjustment based on retrospective application of rights offering	354	-
Shares used in computing diluted earnings per share	24,939,713	31,896,830

During the periods presented, options with an exercise price in excess of the average market price of the Company’s common stock, or that are otherwise anti-dilutive, are excluded from the calculation of the dilutive effect of stock options and restricted stock units for diluted earnings per share calculations. The weighted average number of options not included in the calculation of the dilutive effect of stock options and restricted stock units was 2.7 million and 2.3 million for each of the three months ended July 31, 2010 and 2011 respectively and 2.7 million and 2.4 million for each of the six months ended July 31, 2010 and 2011, respectively.

Inventories. Inventories consist of finished goods or parts and are valued at the lower of cost (moving weighted average cost method) or market.

Customer Accounts Receivable. Customer accounts receivable are originated at the time of sale and delivery of the various products and services. The Company records the amount of principal and accrued interest on Customer receivables that is expected to be collected within the next twelve months, based on contractual terms, in current assets on its consolidated balance sheet. Those amounts expected to be collected after twelve months, based on contractual terms, are included in long-term assets. Typically, customer receivables are considered delinquent if a payment has not been received on the scheduled due date. Additionally, the Company offers reage programs to customers with past due balances that have experienced a financial hardship; if they meet the conditions of the Company’s reage policy. Reaging a customer’s account can result in updating an account from a delinquent status to a current status. During the quarter ended July 31, 2011, the Company implemented a new policy which limits the number of months that an account can be reaged to a maximum of 18 months. As of July 31, 2011, the Company changed its charge-off policy so that an account that is delinquent more than 209 days as of the end of each month is charged-off against the allowance for doubtful accounts and interest accrued subsequent to the last payment will be reversed and charged against the allowance for uncollectible interest. Prior to July 31, 2011, the Company charged off all accounts that were delinquent more than 120 days and for which no payment had been received in the past seven months. The Company has a secured interest in the merchandise financed by these receivables and therefore has the opportunity to recover a portion of the charged-off amount.

Table of Contents

Interest Income on Customer Accounts Receivable. Interest income is accrued using the effective interest method for installment contracts and the simple interest method for revolving charge accounts, and is reflected in Finance charges and other. Typically, interest income is accrued until the contract or account is paid off or charged-off and we provide an allowance for estimated uncollectible interest. The Company typically only places accounts in non-accrual status when legally required to do so. Interest accrual is resumed on those accounts once a legally-mandated settlement arrangement is reached or other payment arrangements are made with the customer. Interest income is recognized on interest-free promotional credit programs based on the Company’s historical experience related to customers that fail to satisfy the requirements of the interest-free programs. Additionally, for sales on deferred interest and “same as cash” programs that exceed one year in duration, the Company discounts the sales to present value, resulting in a reduction in sales and customer receivables, and amortizes the discount amount to Finance charges and other over the term of the program. The amount of customer receivables carried on the Company’s balance sheet that were in non-accrual status was $10.5 million and $10.4 million at January 31, 2011 and July 31, 2011, respectively. The amount of customer receivables carried on the Company’s consolidated balance sheet that were past due 90 days or more and still accruing interest was $43.5 million and $23.8 million at January 31, 2011 and July 31, 2011, respectively.

Allowance for Doubtful Accounts. The Company records an allowance for doubtful accounts, including estimated uncollectible interest, for its Customer and Other accounts receivable, based on its historical net loss experience and expectations for future losses. The net charge-off data used in computing the allowance for doubtful accounts is reduced by the amount of post-charge-off recoveries received, including cash payments, amounts realized from the repossession of the products financed and, at times, payments received under credit insurance policies. Additionally, the Company separately evaluates portions of the credit portfolio based on underwriting criteria, including both credit score of the customer and the underwriter’s evaluation of the customer’s credit-worthiness, (Primary and Secondary programs) to estimate the allowance for doubtful accounts. The Secondary program consists of those customers who do not qualify for credit under our Primary program, typically due to past credit problems or lack of credit history. The Company monitors the aging of its past due accounts closely. The Company focuses its collection efforts on preventing accounts from becoming 60 days past due or greater, which is a leading indicator of potential charge-off. As of July 31, 2011, the Company changed its charge-off policy such that an account that is delinquent more than 209 days as of the end of each month is charged-off against the allowance for doubtful accounts and interest accrued subsequent to the last payment is reversed and charged against the allowance for uncollectible interest. Prior to July 31, 2011, the Company charged off all accounts that were delinquent more than 120 days and for which no payment had been received in the past seven months. As a result of the change, approximately $4.4 million in charge-offs were accelerated and charged against the allowance for doubtful accounts and approximately $1.4 million in accrued interest was charged off and charged against the allowance for uncollectible interest. The balance in the allowance for doubtful accounts and uncollectible interest for customer receivables was $34.6 million and $24.9 million, at January 31, 2011 and July 31, 2011, respectively. Additionally, as a result of the Company’s practice of reaging customer accounts, if the account is not ultimately collected, the timing and amount of the charge-off is impacted. During the quarter ended July 31, 2011, the Company implemented a new policy which limits the number of months that an account can be reaged to a maximum of 18 months. If these accounts had been charged-off sooner the historical net loss rates might have been higher.

Income Taxes. The Company is subject to U.S. federal income tax as well as income tax in multiple state jurisdictions. The Company follows the liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities and are measured using the tax rates and laws that are expected to be in effect when the differences are expected to reverse. To the extent penalties and interest are incurred, the Company records these charges as a component of its Provision for income taxes. Tax returns for the fiscal years subsequent to January 31, 2007, remain open for examination by the Company’s major taxing jurisdictions.

Table of Contents

Comprehensive Income (Loss). Comprehensive income (loss) for the prior year three month and six month period is as follows:

	Three Months Ended					Six Months Ended
	July 31					July 31,
	2010		2011			2010		2011
(Dollars in thousands)
Net income (loss)	$	1,607	$	(3,433	)	$	7,400	$	561
Adjustment of fair value of interest rate swaps, net of tax		8		24			63		71
Total Comprehensive income (loss)	$	1,615	$	(3,409	)	$	7,463	$	632

Recently Issued Accounting Pronouncements. Effective April 5, 2011, the FASB issued ASU No. 2011-02, A Creditor's Determination of Whether Restructuring is a Troubled Debt Restructuring, which clarifies when a loan modification or restructuring is considered a troubled debt restructuring. This guidance clarifies what constitutes a concession and whether the debtor is experiencing financial difficulties, even if not currently in default. The amendments in ASU 2011-02 are effective for the first interim or annual period beginning on or after June 15, 2011, or for the third quarter of fiscal 2012 for the Company, and should be applied retrospectively to the beginning of the annual period of adoption. Early adoption is permitted. An entity should disclose the total amount of receivables and the allowance for credit losses as of the end of the period of adoption related to those receivables that are newly considered impaired. The Company is currently evaluating the provisions of this ASU and the impact that its adoption will have on its financial position and results of operations.

- Definition

The entire disclosure for the organization, consolidation and basis of presentation of financial statements disclosure, and significant accounting policies of the reporting entity. May be provided in more than one note to the financial statements, as long as users are provided with an understanding of (1) the significant judgments and assumptions made by an enterprise in determining whether it must consolidate a VIE and/or disclose information about its involvement with a VIE, (2) the nature of restrictions on a consolidated VIE's assets reported by an enterprise in its statement of financial position, including the carrying amounts of such assets, (3) the nature of, and changes in, the risks associated with an enterprise's involvement with the VIE, and (4) how an enterprise's involvement with the VIE affects the enterprise's financial position, financial performance, and cash flows. Describes procedure if disclosures are provided in more than one note to the financial statements.

+ References + Details

Revision of Financial Statements

6 Months Ended

Jul. 31, 2011

Revision of Financial Statements

Revision of financial statements

2. Revision of Financial Statements

The Company has revised its fiscal year 2009, 2010 and 2011 consolidated financial statements to correct its calculation of the number of shares used in calculating its basic and diluted earnings (loss) per share. The Company completed a stock rights offering in November 2010 in which shares were offered for purchase at a price lower than the quoted market price at the time of the offering. Accounting guidance states that if a stock rights issuance contains a bonus element and is offered to all existing stockholders, basic and diluted earnings (loss) per share shall be adjusted retroactively for the bonus element for all periods presented. The Company has concluded that the impact of the revisions to its share calculations and the related earnings (loss) per share amounts is not material to the Company’s consolidated financial statements. The revision did not effect net income, stockholders's equity, or cash flows for any period. The revisions to the individual financial statement items impacted for the prior periods presented are as follows:

	Three Months Ended July 31,			Six Months Ended July 31,
	2010			2010
	As		As	As		As
(Shares in thousands)	reported	Revision	revised	reported	Revision	revised
Consolidated Statements of Operations:
Average common shares outstanding:
Basic	22,484	2,457	24,941	22,479	2,457	24,936
Diluted	22,486	2,459	24,945	22,483	2,457	24,940

Earnings per share
Basic	$0.07	($0.01)	$0.06	$0.33	($0.03)	$0.30
Diluted	$0.07	($0.01)	$0.06	$0.33	($0.03)	$0.30

Table of Contents

The revisions to other prior periods that will be reported in the Company’s future filings, including its 10-K filed for the year ended January 31, 2012 are as follows: There was no impact to earnings per share for the fidscal year ended January 31, 2011.

	Twelve Months Ended January 31,			Twelve Months Ended January 31,
	2010			2009
	As		As	As		As
(Shares in thousands)	reported	Revision	revised	reported	Revision	revised
Consolidated Statements of Operations:
Average common shares outstanding:
Basic	22,456	2,454	24,910	22,413	2,450	24,863
Diluted	22,610	2,471	25,081	22,577	2,467	25,044

Earnings per share
Basic	$0.16	($0.02)	$0.14	$1.76	($0.18)	$1.58
Diluted	$0.16	($0.02)	$0.14	$1.74	($0.17)	$1.57

	Three Months Ended April 30,			Three Months Ended October 31,
	2010			2010
	As		As	As		As
(Shares in thousands)	reported	Revision	revised	reported	Revision	revised
Consolidated Statements of Operations:
Average common shares outstanding:
Basic	22,475	2,456	24,931	22,484	2,457	24,941
Diluted	22,477	2,457	24,934	22,484	2,457	24,941

Earnings per share
Basic	$0.26	($0.03)	$0.23	($0.22)	$0.02	($0.20)
Diluted	$0.26	($0.03)	$0.23	($0.22)	$0.02	($0.20)

	Three Months Ended January 31,
	2011
	As		As
(Shares in thousands)	reported	Revision	revised
Consolidated Statements of Operations:
Average common shares outstanding:
Basic	28,741	750	29,491
Diluted	28,741	750	29,491

Earnings per share
Basic	($0.12)	$0.00	($0.12)
Diluted	($0.12)	$0.00	($0.12)

Supplemental Disclosure of Finance Charges and Other Revenue

6 Months Ended

Jul. 31, 2011

Finance Charges And Other Revenue Disclosure [Abstract]

Supplemental Disclosure of Finance Charges and Other Revenue

3. Supplemental Disclosure of Finance Charges and Other Revenue

The following is a summary of the classification of the amounts included as Finance charges and other for the three and six months ended July 31, 2010 and 2011:

	Three Months Ended				Six Months Ended
	July 31,				July 31,
(Dollars in thousands)	2010		2011		2010		2011
Interest income and fees on customers receivables	$	31,365	$	29,152	$	63,302	$	59,154
Insurance commissions		4,323		4,199		8,213		7,591
Other		217		393		466		618
Finance charges and other	$	35,905	$	33,744	$	71,981	$	67,363

Supplemental Disclosure of Customer Receivables

6 Months Ended

Jul. 31, 2011

Supplemental Disclosure of Customer Receivables [Abstract]

Supplemental Disclosure of Customer Receivables

4. Supplemental Disclosure of Customer Receivables

The following tables present quantitative information about the receivables portfolio managed by the Company:

	Total Outstanding Balance
	of Customer Receivables						60 Days Past Due (1)				Reaged (1)
	January 31,			July 31,			January 31,		July 31,		January 31,		July 31,
(Dollars in Thousands)	2011			2011			2011		2011		2011		2011
Primary program:
Installment	$	537,682		$	482,906		$	39,252	$	25,120	$	86,403	$	73,558
Revolving		24,603			18,064			1,698		947		1,426		1,300
Subtotal		562,285			500,970			40,950		26,067		87,829		74,858
Secondary program:
Installment		113,481			98,736			17,092		10,639		37,379		28,315
Total receivables managed		675,766			599,706		$	58,042	$	36,706	$	125,208	$	103,173

Allowance for uncollectible accounts related to the Primary program		(25,580	)		(17,648	)
Allowance for uncollectible accounts related to the Secondary program		(9,056	)		(7,206	)
Allowances for promotional credit programs		(8,411	)		(4,562	)
Current portion of customer accounts receivable, net		342,754			311,322
Long-term customer accounts receivable, net	$	289,965		$	258,968

(1) Amounts are based on end of period balances and accounts could be represented in both the past due and reaged columns shown above. The total amount of customer receivables past due one day or greater was $161.0 million and $133.8 million as of January 31, 2011 and July 31, 2011, respectively. These amounts include the 60 days past due totals shown above.


					Net Credit								Net Credit
	Average Balances				Charge-offs (2)				Average Balances				Charge-offs (2)
	Three Months Ended				Three Months Ended				Six Months Ended				Six Months Ended
	July 31,				July 31,				July 31,				July 31,
(Dollars in thousands)	2010		2011		2010		2011		2010		2011		2010		2011
Primary program:
Installment	$	537,333	$	490,412					$	541,023	$	503,316
Revoling		34,306		19,550						36,627		21,155
Subtotal		571,639		509,962	$	6,934	$	8,789		577,650		524,471	$	13,710	$	15,182
Secondary: Installment		130,958		103,393		2,361		2,857		132,814		106,812		4,730		4,978
Total receivables managed	$	702,597	$	613,355	$	9,295	$	11,646	$	710,464	$	631,283	$	18,440	$	20,160

As of July 31, 2011, the Company changed its charge-off policy such that an account that is delinquent more than 209 days as of the end of each month is charged-off against the allowance for doubtful accounts and interest accrued subsequent to the last payment is reversed and charged against the allowance for uncollectible interest. The change in policy had the impact of accelerating $4.4 million in principal charge-offs and $1.4 million in charge-offs of accrued interest in the current fiscal year three-month and six-month periods.

Following is the activity in the Company's balance in the allowance for doubtful accounts and uncollectible interest for customer receivables for the six months ended July 31, 2011 and 2010:

	Six Months Ended									Six Months Ended
	7/31/2010									7/31/2011
	Primary			Secondary			Total			Primary			Secondary			Total
Allowance at beginning of period	$	26,704		$	9,098		$	35,802		$	25,581		$	9,056		$	34,637
Provision (a)		13,669			7,844			21,513			10,727			4,670			15,397
Principal charge-offs (b)		(14,519	)		(5,072	)		(19,591	)		(16,660	)		(5,425	)		(22,085	)
Interest charge-offs		(2,929	)		(1,364	)		(4,293	)		(3,478	)		(1,542	)		(5,020	)
Recoveries (b)		810			341			1,151			1,478			447			1,925
Allowance at end of period	$	23,735		$	10,847		$	34,582		$	17,648		$	7,206		$	24,854

(a)	Includes provision for uncollectible interest, which is included in Finance charges and other.

(b)	Charge-offs include the principal amount of losses (excluding accrued and unpaid interest), and recoveries include principal collections during the period shown of previously charged-off balances. These amounts represent net charge-offs.

- Definition

The entire disclosure for claims held for amounts due a company. Examples include trade accounts receivables, notes receivables, loans receivables.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 3, 4
-Article 5

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
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-Article 9

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Statement of Position (SOP)
-Number 01-6
-Paragraph 13
-Subparagraph d
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 4: http://www.xbrl.org/2003/role/presentationRef
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-Number 210
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Reference 5: http://www.xbrl.org/2003/role/presentationRef
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Reference 8: http://www.xbrl.org/2003/role/presentationRef
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-Topic 310
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+ Details

Accrual for Store Closures	6 Months Ended
Accrual for Store Closures	Jul. 31, 2011
Accrual for Store Closures
Accrual for store closures	5. Accrual for Store Closures During the quarter, the Company closed three of the five underperforming retail locations that it had plans to close. The stores being closed did not perform at a level the company expects for a mature store location. As a result of the closure of the three stores with unexpired leases, the Company has recorded an accrual of $4.2 million, which represents the present value of remaining lease obligations and anticipated ancillary occupancy costs, net of estimated sublease income. The accrual, net of the write-off of the straight-line lease accrual and tenant improvement allowances related to the stores being closed of approximately $0.6 million resulted in a charge in the current period’s statement of operations of approximately $3.7 million. The estimate is based on the Company’s best projection of the sublease rates it believes can be obtained for such properties and its best estimate of the marketing time it will take to find tenants to sublet such stores. Revisions to these projections in estimated buyout terms or sublease rates will be made to the obligation as further information related to the actual terms and costs become available. During the quarter ended July 31, 2011, the Company made lease and related payments of approximately $0.1 million for the closed stores that was taken against the accrual. Additionally, The Company estimates that it will incur additional store closing and lease exit costs of approximately $0.5 million in the next fiscal year in connection with the remaining store closures.

Debt and Letters of Credit

6 Months Ended

Jul. 31, 2011

Debt and Letters of Credit [Abstract]

Debt and Letters of Credit

6. Debt and Letters of Credit

The Company's long-term debt consisted of the following at the period ended:

	January 31,		July 31,
(Dollars in thousands)	2011		2011
Asset-based revolving credit facility maturing in July 2015	$	279,300	$	291,004
Term loan (net of OID of $5,820)		94,180		-
Real estate loan		-		8,000
Other long-term debt		256		174
Total debt		373,736		299,178
Less current portion of debt		167		508
Long-term debt	$	373,569	$	298,670

On July 28, 2011 the Company completed an amendment and extension of its asset-based revolving credit facility, increasing the capacity from $375 million to $430 million and extending the maturity date from November 2013 to July 2015. The Company's asset-based revolving credit facility provides funding based on a borrowing base calculation that includes customer accounts receivable and inventory. The credit facility bears interest at LIBOR plus a spread ranging from 350 basis points to 400 basis points, based on a leverage ratio (defined as total liabilities to tangible net worth). In addition to the leverage ratio, the revolving credit facility includes a fixed charge coverage requirement, a minimum customer receivables cash recovery percentage requirement and a net capital expenditures limit. Additionally, the agreement contains cross-default provisions, such that, any default under another of the Company's credit facilities would result in a default under this agreement, and any default under this agreement would result in a default under those agreements. The Company was in compliance with the covenants at July 31, 2011. The asset-based revolving credit facility restricts the amount of dividends the Company can pay and is secured by the assets of the Company not otherwise encumbered. The Company expects, based on current facts and circumstances that it will be in compliance with the above covenants for the next 12 months.

On July 28, 2011, the Company completed an $8.0 million real estate loan, collateralized by three of its owned store locations, that will mature in July 2016 and requires monthly principal payments based on a 15-year amortization schedule. The interest rate on the loan is the Prime rate plus 100 basis points, with a floor on the total rate of 6%.

On July 28, 2011 the Company completed the repayment of the term loan with proceeds from the new real estate loan and borrowings under its expanded revolving credit facility. The Company recorded a charge of approximately $11.1 million during the quarter including the prepayment premium of $4.8 million, write-off of the unamortized original issue discount of $5.4 million and term loan deferred financing costs of $0.9 million.

As of July 31, 2011, the Company had approximately $72.8 million under its asset-based revolving credit facility, net of standby letters of credit issued, immediately available for general corporate purposes. The Company also had $64.4 million that may become available under its asset-based revolving credit facility if it grows the balance of eligible customer receivables and its total eligible inventory balances.

The Company's asset-based revolving credit facility provides it the ability to utilize letters of credit to secure its deductibles under the Company's property and casualty insurance programs and risk reserves for certain of its third-party financing alternatives, among other acceptable uses. At July 31, 2011, the Company had outstanding letters of credit of $1.8 million under this facility. The maximum potential amount of future payments under these letter of credit facilities is considered to be the aggregate face amount of each letter of credit commitment, which totals $1.8 million as of July 31, 2011.

The Company no longer held any interest rate swaps as of July 31, 2011, as the last of those instruments expired during the current quarter. They were held for the purpose of hedging against variable interest rate risk related to the variability of cash flows in the interest payments on a portion of its variable-rate debt, based on changes in the benchmark one-month LIBOR interest rate. Changes in the cash flows of the interest rate swaps exactly offset the changes in cash flows (changes in base interest rate payments) attributable to fluctuations in the LIBOR interest rate. For derivative instruments that are designated and qualify as a cash flow hedge, the effective portion of the gain or loss on the derivative was reported as a component of other comprehensive income (loss) and reclassified into earnings in the same period or periods during which the hedged transaction affected earnings. Gains and losses on the derivative representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness were recognized in current earnings. During the six months ended July 31, 2010 the Company recognized income of approximately $63,000 as a compondent of other comphrehensive income (loss) related to the interest rate swaps. Durning the six months ended July 31, 2011, the Company reclassified approximately $71,000 into current earnings as the swaps expired during the period.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References + Details

Contingencies

6 Months Ended

Jul. 31, 2011

Contingencies [Abstract]

Contingencies

7. Contingencies

Legal Proceedings. The Company is involved in routine litigation and claims incidental to its business from time to time, and, as required, has accrued its estimate of the probable costs for the resolution of these matters, which are not expected to be material. These estimates have been developed in consultation with counsel and are based upon an analysis of potential results, assuming a combination of litigation and settlement strategies. It is possible, however, that future results of operations for any particular period could be materially affected by changes in the Company's assumptions or the effectiveness of its strategies related to these proceedings. However, the results of these proceedings cannot be predicted with certainty, and changes in facts and circumstances could impact the Company's estimate of reserves for litigation.

Repair Service Agreement Obligations. The Company sells repair service agreements that extend the period of covered warranty service on the products the Company sells. For certain of the repair service agreements sold, the Company is the obligor for payment of qualifying claims. The Company is responsible for administering the program, including setting the pricing of the agreements sold and paying the claims. The typical term for these agreements is between 12 and 36 months. The pricing is set based on historical claims experience and expectations about future claims. While the Company is unable to estimate maximum potential claim exposure, it has a history of overall profitability upon the ultimate resolution of agreements sold. The revenues related to the agreements sold are deferred at the time of sale and recorded in revenues in the statement of operations over the life of the agreements. The agreements can be canceled at any time and any deferred revenue associated with canceled agreements is reversed at the time of cancellation. The amounts of repair service agreement revenue deferred at January 31, 2011, and July 31, 2011, were $6.5 million and $6.8 million, respectively, and are included in deferred revenue and allowances in the accompanying consolidated balance sheets.

The following table presents a reconciliation of the beginning and ending balances of the deferred revenue on the Company's repair service agreements and the amount of claims paid under those agreements:

	Six Months Ended
	July 31,
(Dollars in thousands)	2010			2011
Balance in deferred revenues at beginning of period	$	7,268		$	6,486
Revenues earned during the period		(3,583	)		(2,933	)
Revenues deferred on sales of new agreements		3,456			3,287
Balance in deferred revenues at end of period	$	7,141		$	6,840

Total claims incurred during the period, excludes selling expenses	$	1,841		$	1,353

Segment Reporting

6 Months Ended

Jul. 31, 2011

Segment Reporting [Abstract]

Segment Reporting

8. Segment Reporting

Financial information by segment is presented in the following tables for the three months and six months ended July 31, 2010 and 2011:

	Three Months Ended July 31,							Three Months Ended July 31,
	2010							2011
(Dollars in thousands)	Retail		Credit			Total		Retail			Credit			Total
Revenues
Product sales	$	164,660	$	-		$	164,660	$	138,231		$	-		$	138,231
Repair service agreement commissions (net)		10,490		(2,122	)		8,368		9,945			(1,356	)		8,589
Service revenues		4,183		-			4,183		3,811			-			3,811
Total net sales		179,333		(2,122	)		177,211		151,987			(1,356	)		150,631
Finance charges and other		217		35,688			35,905		393			33,351			33,744
Total revenues		179,550		33,566			213,116		152,380			31,995			184,375
Cost and expenses
Cost of goods sold, including warehousing and occupancy costs		130,217		-			130,217		105,400			-			105,400
Cost of service parts sold, including warehousing and occupancy cost		2,116		-			2,116		1,596			-			1,596
Selling, general and administrative expense		44,764		16,205			60,969		42,086			14,165			56,251
Costs related to store closings		-		-			-		3,658			-			3,658
Provision for bad debts		261		10,078			10,339		191			4,818			5,009
Total cost and expenses		177,358		26,283			203,641		152,931			18,983			171,914
Operating income		2,192		7,283			9,475		(551	)		13,012			12,461
Interest expense, net		-		6,729			6,729		-			7,004			7,004
Loss from early extinguishment of debt		-		-			-		-			11,056			11,056
Other expense, net		12		-			12		34			-			34
Income (loss) before income taxes	$	2,180	$	554		$	2,734	$	(585	)	$	(5,048	)	$	(5,633	)

Total assets	$	221,930	$	673,413		$	895,343	$	191,136		$	581,056		$	772,192

	Six Months Ended							Six Months Ended
	2010							2011
(Dollars in thousands)	Retail		Credit			Total		Retail		Credit			Total
Revenues
Product sales	$	313,675	$	-		$	313,675	$	282,510	$	-		$	282,510
Repair service agreement commissions (net)		20,341		(3,912	)		16,429		18,847		(2,736	)		16,111
Service revenues		8,940		-			8,940		7,700		-			7,700
Total net sales		342,956		(3,912	)		339,044		309,057		(2,736	)		306,321
Finance charges and other		466		71,515			71,981		618		66,745			67,363
Total revenues		343,422		67,603			411,025		309,675		64,009			373,684
Cost and expenses
Cost of goods sold, including warehousing and occupancy costs		244,433		-			244,433		215,110		-			215,110
Cost of service parts sold, including warehousing and occupancy cost		4,492		-			4,492		3,326		-			3,326
Selling, general and administrative expense		86,549		32,752			119,301		82,931		29,508			112,439
Costs related to store closings		-		-			-		3,658		-			3,658
Provision for bad debts		397		17,576			17,973		334		12,196			12,530
Total cost and expenses		335,871		50,328			386,199		305,359		41,704			347,063
Operating income		7,551		17,275			24,826		4,316		22,305			26,621
Interest expense, net		-		12,512			12,512		-		14,560			14,560
Loss from early extinguishment of debt		-		-			-		-		11,056			11,056
Other expense, net		183		-			183		86		-			86
Income (loss) before income taxes	$	7,368	$	4,763		$	12,131	$	4,230	$	(3,311	)	$	919

(a) - Retail repair service agreement commissions exclude repair service agreement cancellations that are the result of customer credit account charge-offs. These amounts are reflected in repair service agreement commissions for the credit segment. The allocation of the cancellations was adjusted in the prior period presentation to conform to the current period's presentation, which is consistent with the basis that management uses internally to allocate those items.

(b) - Selling, general and administrative expenses include the direct expenses of the retail and credit operations, allocated overhead expenses and a charge to the credit segment to reimburse the retail segment for expenses it incurs related to occupancy, personnel, advertising and other direct costs of the retail segment which benefit the credit operations by sourcing credit customers and collecting payments. The reimbursement received by the retail segment from the credit segment is estimated using an annual rate of 2.5% times the average portfolio balance for each applicable period. The amount of overhead allocated to each segment was approximately $3.4 million and $3.9 million for the six months ended July 31, 2010 and 2011, respectively. The amount of overhead allocated to each segment was approximately $1.7 million and $1.8 million for the three months ended July 31, 2010 and 2011, respectively. The amount of reimbursement made to the retail segment by the credit segment was approximately $8.9 million and $7.9 million for the six months ended July 31, 2010 and 2011, respectively and approximately $4.4 million and $3.8 million for the three months ended July 31, 2010 and 2011, respectively.

(c) - Selling, general and administrative expenses of the retail segment include depreciation expense of approximately $6.4 million and $5.3 million for the six months ended July, 31, 2010 and 2011, and approximately $3.2 million and $2.6 million for the three months ended July 31, 2010 and 2011, respectively. Selling, general and administrative expenses of the credit segment include depreciation expense of approximately $0.2 million and $0.3 million for the six months ended July 31, 2010 and 2011, respectively and approximately $0.1 million for each of the three months ended July 31, 2010 and 2011.

(d) - Interest expense, net, of the credit segment includes amortization expense related to debt issuance costs of approximately $1.9 million and $1.4 million for the six months ended July 31, 2010 and 2011, respectively and approximately $0.9 million and $0.7 million for the three months ended July 31, 2010 and 2011, respectively.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 131
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

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+ Details