Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Aug. 03, 2019	Sep. 03, 2019
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Aug. 03, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2
Trading Symbol	AEO
Entity Registrant Name	AMERICAN EAGLE OUTFITTERS INC
Entity Central Index Key	0000919012
Current Fiscal Year End Date	--02-01
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Shell Company	false
Title of 12(b) Security	Common Stock
Security Exchange Name	NYSE
Entity File Number	1-33338
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	13-2721761
Entity Address, Address Line One	77 Hot Metal Street
Entity Address, City or Town	Pittsburgh
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	15203-2329
City Area Code	412
Local Phone Number	432-3300
Document Quarterly Report	true
Document Transition Report	false
Entity Common Stock, Shares Outstanding		168,963,058

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Current assets:
Cash and cash equivalents	$ 267,166	$ 333,330	$ 323,322
Short-term investments	50,000	92,135	40,000
Merchandise inventory	534,762	424,404	466,112
Accounts receivable, net	98,604	93,477	74,153
Prepaid expenses and other	69,541	102,907	93,493
Total current assets	1,020,073	1,046,253	997,080
Property and equipment, at cost, net of accumulated depreciation	754,031	742,149	732,350
Operating lease right-of-use assets	1,462,544
Intangible assets net, including goodwill	56,326	58,167	59,990
Non-current deferred income taxes	16,759	14,062	8,558
Other assets	49,426	42,747	52,771
Total assets	3,359,159	1,903,378	1,850,749
Current liabilities:
Accounts payable	316,995	240,671	264,247
Current portion of operating lease liabilities	279,207
Accrued income and other taxes	17,754	20,064	18,332
Accrued compensation and payroll taxes	54,683	82,173	51,903
Unredeemed gift cards and gift certificates	34,742	53,997	33,185
Other current liabilities and accrued expenses	60,265	145,740	140,353
Total current liabilities	763,646	542,645	508,020
Non-current liabilities:
Non-current operating lease liabilities	1,338,634
Other non-current liabilities	28,302	73,178	82,152
Total non-current liabilities	1,366,936	73,178	82,152
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.01 par value; 5,000 shares authorized; none issued and outstanding
Common stock, $0.01 par value; 600,000 shares authorized; 249,566 shares issued; 168,962, 172,436 and 176,217 shares outstanding, respectively	2,496	2,496	2,496
Contributed capital	568,413	574,929	560,349
Accumulated other comprehensive loss	(36,630)	(34,832)	(32,646)
Retained earnings	2,070,077	2,054,654	1,941,536
Treasury stock, 80,604, 77,130 and 73,349 shares, respectively	(1,375,779)	(1,309,692)	(1,211,158)
Total stockholders’ equity	1,228,577	1,287,555	1,260,577
Total liabilities and stockholders’ equity	$ 3,359,159	$ 1,903,378	$ 1,850,749

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Statement Of Financial Position [Abstract]
Preferred stock, par value	$ 0.01	$ 0.01	$ 0.01
Preferred stock, shares authorized	5,000,000	5,000,000	5,000,000
Preferred stock, issued	0	0	0
Preferred stock, outstanding	0	0	0
Common stock, par value	$ 0.01	$ 0.01	$ 0.01
Common stock, shares authorized	600,000,000	600,000,000	600,000,000
Common stock, shares issued	249,566,000	249,566,000	249,566,000
Common stock, shares outstanding	168,962,000	172,436,000	176,217,000
Treasury stock, shares	80,604,000	77,130,000	73,349,000

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Income Statement [Abstract]
Total net revenue	$ 1,040,879	$ 964,853	$ 1,927,169	$ 1,787,814
Cost of sales, including certain buying, occupancy and warehousing expenses	658,308	611,752	1,219,677	1,130,271
Gross profit	382,571	353,101	707,492	657,543
Selling, general and administrative expenses	253,051	233,971	483,791	444,205
Restructuring charges	2,728		4,272	1,568
Depreciation and amortization expense	44,870	42,739	89,661	84,674
Operating income	81,922	76,391	129,768	127,096
Other income, net	3,990	860	8,172	1,362
Income before income taxes	85,912	77,251	137,940	128,458
Provision for income taxes	20,931	16,918	32,206	28,196
Net income	$ 64,981	$ 60,333	$ 105,734	$ 100,262
Net income per basic share	$ 0.38	$ 0.34	$ 0.61	$ 0.57
Net income per diluted share	$ 0.38	$ 0.34	$ 0.61	$ 0.56
Weighted average common shares outstanding - basic	170,756	177,249	172,291	177,329
Weighted average common shares outstanding - diluted	171,781	178,505	173,701	178,730

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Statement Of Income And Comprehensive Income [Abstract]
Net income	$ 64,981	$ 60,333	$ 105,734	$ 100,262
Other comprehensive income:
Foreign currency translation (loss) income	(1,276)	(2,290)	(1,798)	1,850
Other comprehensive (loss) income:	(1,276)	(2,290)	(1,798)	1,850
Comprehensive income	$ 63,705	$ 58,043	$ 103,936	$ 102,112

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common Stock	Contributed Capital	Retained Earnings	Treasury Stock	Accumulated Other Comprehensive Income (Loss)
Beginning Balance at Feb. 03, 2018	$ 1,246,791	$ 2,496	$ 593,770	$ 1,883,592	$ (1,202,272)	$ (30,795)
Beginning Balance (in shares) at Feb. 03, 2018		177,316,000
Stock awards	11,379		11,379
Repurchase of common stock as part of publicly announced programs	(44,913)				(44,913)
Repurchase of common stock as part of publicly announced programs (in shares)		(2,300,000)
Repurchase of common stock from employees	(18,299)				(18,299)
Repurchase of common stock from employees (in shares)		(903,000)
Adoption of ASC \| ASC 606	152			152
Reissuance of treasury stock	15,668		(45,768)	7,110	54,326
Reissuance of treasury stock (in shares)		3,253,000
Net income	100,262			100,262
Other comprehensive income, net of tax	(1,850)					(1,850)
Cash dividends and dividend equivalents($0.1375, $0.275 per share)	(48,612)		968	(49,580)
Ending Balance at Aug. 04, 2018	$ 1,260,577	$ 2,496	560,349	1,941,536	(1,211,158)	(32,646)
Ending Balance (in shares) at Aug. 04, 2018	176,217,000	177,366,000
Beginning Balance at May. 05, 2018	$ 1,207,381	$ 2,496	565,033	1,904,190	(1,229,402)	(34,936)
Beginning Balance (in shares) at May. 05, 2018		176,216,000
Stock awards	5,826		5,826
Repurchase of common stock from employees	(4,086)				(4,086)
Repurchase of common stock from employees (in shares)		(180,000)
Reissuance of treasury stock	13,220		(11,042)	1,932	22,330
Reissuance of treasury stock (in shares)		1,330,000
Net income	60,333			60,333
Other comprehensive income, net of tax	2,290					2,290
Cash dividends and dividend equivalents($0.1375, $0.275 per share)	(24,387)		532	(24,919)
Ending Balance at Aug. 04, 2018	$ 1,260,577	$ 2,496	560,349	1,941,536	(1,211,158)	(32,646)
Ending Balance (in shares) at Aug. 04, 2018	176,217,000	177,366,000
Beginning Balance at Feb. 02, 2019	$ 1,287,555	$ 2,496	574,929	2,054,654	(1,309,692)	(34,832)
Beginning Balance (in shares) at Feb. 02, 2019	172,436,000	172,436,000
Stock awards	$ 14,166		14,166
Repurchase of common stock as part of publicly announced programs	(80,000)				(80,000)
Repurchase of common stock as part of publicly announced programs (in shares)		(4,336,000)
Repurchase of common stock from employees	(7,921)				(7,921)
Repurchase of common stock from employees (in shares)		(421,000)
Adoption of ASC \| ASC 842	(44,435)			(44,435)
Reissuance of treasury stock	2,141		(21,672)	1,979	21,834
Reissuance of treasury stock (in shares)		1,283,000
Net income	105,734			105,734
Other comprehensive income, net of tax	(1,798)					(1,798)
Cash dividends and dividend equivalents($0.1375, $0.275 per share)	(46,865)		990	(47,855)
Ending Balance at Aug. 03, 2019	$ 1,228,577	$ 2,496	568,413	2,070,077	(1,375,779)	(36,630)
Ending Balance (in shares) at Aug. 03, 2019	168,962,000	168,962,000
Beginning Balance at May. 04, 2019	$ 1,241,751	$ 2,496	570,443	2,028,627	(1,324,461)	(35,354)
Beginning Balance (in shares) at May. 04, 2019		171,870,000
Stock awards	9,207		9,207
Repurchase of common stock as part of publicly announced programs	(60,000)				(60,000)
Repurchase of common stock as part of publicly announced programs (in shares)		(3,425,000)
Repurchase of common stock from employees	(4,423)				(4,423)
Repurchase of common stock from employees (in shares)		(252,000)
Reissuance of treasury stock	1,569		(11,797)	261	13,105
Reissuance of treasury stock (in shares)		769,000
Net income	64,981			64,981
Other comprehensive income, net of tax	(1,276)					(1,276)
Cash dividends and dividend equivalents($0.1375, $0.275 per share)	(23,232)		560	(23,792)
Ending Balance at Aug. 03, 2019	$ 1,228,577	$ 2,496	$ 568,413	$ 2,070,077	$ (1,375,779)	$ (36,630)
Ending Balance (in shares) at Aug. 03, 2019	168,962,000	168,962,000

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Statement Of Stockholders Equity [Abstract]
Cash dividends and dividend equivalents, Per share	$ 0.1375	$ 0.1375	$ 0.275	$ 0.275

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018
Operating activities:
Net income	$ 105,734	$ 100,262
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization	90,787	85,745
Share-based compensation	14,298	11,731
Deferred income taxes	11,823	(2,669)
Changes in assets and liabilities:
Merchandise inventory	(110,768)	(69,570)
Operating lease assets and liabilities, net	(12,038)
Other assets	(27,368)	(11,312)
Accounts payable	76,326	22,992
Accrued compensation and payroll taxes	(27,436)	(2,946)
Accrued and other liabilities	(3,761)	18,164
Net cash provided by operating activities	117,597	152,397
Investing activities:
Capital expenditures for property and equipment	(91,793)	(101,360)
Purchase of available-for-sale investments	(50,000)	(40,000)
Sale of available-for-sale investments	92,135
Other investing activities	(1,201)	(428)
Net cash used for investing activities	(50,859)	(141,788)
Financing activities:
Repurchase of common stock as part of publicly announced programs	(80,000)	(44,913)
Repurchase of common stock from employees	(7,921)	(18,299)
Net proceeds from stock options exercised	2,119	15,496
Cash dividends paid	(46,865)	(48,612)
Other financing activities	(108)	(4,556)
Net cash used for financing activities	(132,775)	(100,884)
Effect of exchange rates changes on cash	(127)	(16)
Net change in cash and cash equivalents	(66,164)	(90,291)
Cash and cash equivalents - beginning of period	333,330	413,613
Cash and cash equivalents - end of period	$ 267,166	$ 323,322

Interim Financial Statements

6 Months Ended

Aug. 03, 2019

Accounting Policies [Abstract]

Interim Financial Statements

1. Interim Financial Statements

The accompanying Consolidated Financial Statements of American Eagle Outfitters, Inc. (the “Company”) at August 3, 2019 and August 4, 2018 and for the 13 and 26 week periods ended August 3, 2019 and August 4, 2018 have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) 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 GAAP for complete financial statements. Certain notes and other information have been condensed or omitted from the interim Consolidated Financial Statements presented in this Quarterly Report on Form 10-Q. Therefore, these Consolidated Financial Statements should be read in conjunction with the Company’s Fiscal 2018 Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 14, 2019 (the “Fiscal 2018 Form 10-K”). In the opinion of the Company’s management, all adjustments (consisting of normal recurring adjustments and those described in the footnotes that follow) considered necessary for a fair presentation have been included. The existence of subsequent events has been evaluated through the filing date of this Quarterly Report on Form 10-Q.

As used in this report, all references to “we,” “our” and the “Company” refer to American Eagle Outfitters, Inc. and its wholly owned subsidiaries. “American Eagle,” “AE” and the “AE Brand” refer to our American Eagle stores. “Aerie” refers to our Aerie^® by American Eagle^® stores. “AEO Direct” refers to our e-commerce operations, www.ae.com and www.aerie.com. “Tailgate” refers to our Tailgate brand of vintage, sports- inspired apparel. “Todd Snyder” refers to our Todd Snyder New York premium menswear brand.

Our business is affected by the pattern of seasonality common to most retail apparel businesses. Historically, a large portion of total net revenue and operating income occurs in the third and fourth fiscal quarters, reflecting the increased demand during the back-to-school and year-end holiday selling seasons, respectively. The results for the current and prior periods are not necessarily indicative of future financial results.

Summary of Significant Accounting Policies

6 Months Ended

Aug. 03, 2019

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Summary of Significant Accounting Policies

2. Summary of Significant Accounting Policies

Principles of Consolidation

The Consolidated Financial Statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. At August 3, 2019, and for all periods presented, the Company operated in one reportable segment.

Fiscal Year

Our fiscal year is a 52- or 53-week year that ends on the Saturday nearest to January 31. As used herein, “Fiscal 2019” refers to the 52-week period that will end on February 1, 2020. “Fiscal 2018” refers to the 52-week period ended February 2, 2019.

Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of our contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. On an ongoing basis, our management reviews the Company’s estimates based on currently available information. Changes in facts and circumstances may result in revised estimates.

Recent Accounting Pronouncements

In February 2016, the Financial Accounting Standards Board (“FASB”) established Accounting Standards Codification (“ASC”) Topic 842, Leases (“ASC 842”), by issuing Accounting Standards Update (“ASU”) No. 2016-02. ASC 842 was subsequently amended by ASU No. 2018-01, Land Easement Practical Expedient for Transition to Topic 842; ASU No. 2018-10, Codification Improvements to Topic 842, Leases; and ASU No. 2018-11, Targeted Improvements.

The new standard establishes a right-of-use model (“ROU”) that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement.

The Company adopted ASU 2016-02 and its subsequent amendments effective February 3, 2019. Financial information has not been updated and the disclosures required under the new standard have not been provided for dates and periods before February 3, 2019. The Company elected the new standard’s package of practical expedients, which permits the Company to maintain prior conclusions about lease identification, lease classification, and initial direct costs. The Company elected to use the go-forward practical expedient to not separate lease and non-lease components for all of our leases. The Company also elected to use the short-term lease recognition exemption for all leases that qualify.

Upon adoption, the Company:

•	Recognized lease liabilities and right-of-use assets of $1.6 billion, for the present value of the remaining minimum rental payments on existing operating leases (including consideration related to non-lease components due to the related practical expedient).

•	Recognized a transition adjustment of $44.4 million (net of tax effects of $15.0 million) to beginning retained earnings related to the impairment of newly recognized right-of-use assets related to store assets that were impaired prior to the date of adoption.

•

Reclassified $82.9 million of straight-line deferred rent, $55.0 million of deferred lease credits, and $40.4 million of prepaid rent to the ROU asset. Combined with the impairment discussed above, these reclassifications reduced the net ROU asset to $1.4 billion. Corresponding amounts were not reclassified in prior periods as those prior periods are presented under ASC 840, Leases.

Refer to Note 9 to the Consolidated Financial Statements for information regarding leases.

In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects From Accumulated Other Comprehensive Income (“ASU 2018-02”). This guidance permits companies to reclassify the stranded tax effects of the Tax Cuts and Jobs Act of 2017 (the “Tax Act”) on items within accumulated other comprehensive income to retained earnings. The Company adopted ASU 2018-02 on February 3, 2019. The adoption did not have a material impact on our Consolidated Financial Statements.

In January 2017, the FASB issued ASU 2017-04, Simplifying the Test for Goodwill Impairment (“ASU 2017-04)”. This ASU simplifies the accounting for goodwill impairments under Step 2 by eliminating the requirement to perform procedures to determine the fair value of the assets and liabilities of the reporting unit, including previously unrecognized assets and liabilities, in order to determine the fair value of the goodwill and any impairment charge to be recognized. The Company adopted ASU 2017-04 on February 3, 2019. The adoption did not have an impact on our Consolidated Financial Statements, as no goodwill was determined to be impaired during the 26 weeks ended August 3, 2019.

Foreign Currency Translation

In accordance with ASC 830, Foreign Currency Matters, assets and liabilities denominated in foreign currencies were translated into United States dollars (“USD”) (our reporting currency) at the exchange rates prevailing at the balance sheet date. Revenues and expenses denominated in foreign currencies were translated into USD at the monthly average exchange rates for the period. Gains or losses resulting from foreign currency transactions are included in the results of operations, whereas related translation adjustments are reported as an element of other comprehensive income in accordance with ASC 220, Comprehensive Income.

Cash and Cash Equivalents and Short-term Investments

The Company considers all highly liquid investments purchased with a remaining maturity of three months or less to be cash equivalents.

As of both August 3, 2019 and August 4, 2018, short-term investments classified as available-for-sale included certificates of deposit with a maturity of greater than three months, but less than one year.

Refer to Note 3 to the Consolidated Financial Statements for information regarding cash and cash equivalents and short-term investments.

Merchandise Inventory

Merchandise inventory is valued at the lower of average cost or market, utilizing the retail method. Average cost includes merchandise design and sourcing costs and related expenses. The Company records merchandise receipts when control of the merchandise has transferred to the Company.

The Company reviews its inventory levels to identify slow-moving merchandise and generally uses markdowns to clear merchandise. Additionally, the Company estimates a markdown reserve for future planned permanent markdowns related to current inventory. Markdowns may occur when inventory exceeds customer demand for reasons of style, seasonal adaptation, changes in customer preference, lack of consumer acceptance of fashion items, competition, or if it is determined that the inventory in stock will not sell at its currently ticketed price. Such markdowns may have a material adverse impact on earnings, depending on the extent and amount of inventory affected. The Company also estimates a shrinkage reserve for the period between the last physical count and the balance sheet date. The estimate for the shrinkage reserve, based on historical results, can be affected by changes in merchandise mix and changes in actual shrinkage trends.

Revenue Recognition

In May 2014, the FASB issued ASC 606, Revenue From Contracts With Customers (“ASC 606”), a comprehensive new revenue recognition model that expands disclosure requirements and requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. ASC 606 is effective for annual reporting periods beginning after December 15, 2017. The Company adopted ASC 606 on February 4, 2018. Results for reporting periods beginning on or after February 4, 2018 are presented under ASC 606, while prior period amounts are not adjusted and continue to be reported in accordance with our historic accounting. The Company recorded a net increase to opening retained earnings of $0.2 million as of February 4, 2018 due to the cumulative impact of adoption. The impact was the result of accounting for customer loyalty programs using a relative stand-alone selling price method versus incremental cost method. The Company defers a portion of the sales revenue attributed to the loyalty points and recognizes revenue when the points are redeemed or expire, consistent with the requirements of ASC 606. Refer to the Customer Loyalty Program caption below for additional information.

Revenue is recorded for store sales upon the purchase of merchandise by customers. The Company’s e-commerce operation records revenue upon the customer receipt date of the merchandise. Shipping and handling revenues are included in total net revenue. Sales tax collected from customers is excluded from revenue and is included as part of accrued income and other taxes on the Company’s Consolidated Balance Sheets.

Revenue is recorded net of estimated and actual sales returns and promotional price reductions. The Company records the impact of adjustments to its sales return reserve quarterly within total net revenue and cost of sales. The sales return reserve reflects an estimate of sales returns based on projected merchandise returns determined through the use of historical average return percentages.

Revenue is not recorded on the issuance of gift cards. A current liability is recorded upon issuance, and revenue is recognized when the gift card is redeemed for merchandise. Additionally, the Company recognizes revenue on unredeemed gift cards based on an estimate of the amounts that will not be redeemed (“gift card breakage”), determined through historical redemption trends. Gift card breakage revenue is recognized in proportion to actual gift card redemptions as a component of total net revenue. For further information on the Company’s gift card program, refer to the Gift Cards caption below.

The Company recognizes royalty revenue generated from its license or franchise agreements based on a percentage of merchandise sales by the licensee/franchisee. This revenue is recorded as a component of total net revenue when earned and collection is probable.

The following table sets forth the approximate consolidated percentage of total net revenue attributable to each merchandise group for each of the periods indicated:

	13 Weeks Ended						26 Weeks Ended
	August 3,			August 4,			August 3,			August 4,
	2019			2018			2019			2018
Men’s apparel and accessories		28	%		30	%		28	%		30	%
Women’s apparel and accessories (excluding Aerie)		53	%		54	%		54	%		54	%
Aerie		19	%		16	%		18	%		16	%
Total		100	%		100	%		100	%		100	%

The following table disaggregates the Company’s Total Net Revenue by geography:

	13 Weeks Ended				26 Weeks Ended
(In thousands)	August 3, 2019		August 4, 2018		August 3, 2019		August 4, 2018
Total net revenue:
United States	$	869,001	$	835,692	$	1,642,482	$	1,550,650
Foreign ⁽¹⁾		171,878		129,161		284,687		237,164
Total net revenue	$	1,040,879	$	964,853	$	1,927,169	$	1,787,814

(1)	Amounts represent sales from American Eagle and Aerie international retail stores, e-commerce sales that are billed and/or shipped to foreign countries, and international franchise royalty revenue.

Cost of Sales, Including Certain Buying, Occupancy and Warehousing Expenses

Cost of sales consists of merchandise costs, including design, sourcing, importing and inbound freight costs, as well as markdowns, shrinkage and certain promotional costs (collectively, “merchandise costs”) and buying, occupancy and warehousing costs.

Design costs are related to the Company's Design Center operations and include compensation, travel and entertainment, supplies and samples for our design teams, as well as rent and depreciation for our Design Center. These costs are included in cost of sales as the respective inventory is sold.

Buying, occupancy and warehousing costs consist of compensation, employee benefit expenses and travel and entertainment for our buyers and certain senior merchandising executives; rent and utilities related to our stores, corporate headquarters, distribution centers and other office space; freight from our distribution centers to the stores; compensation and supplies for our distribution centers, including purchasing, receiving and inspection costs; and shipping and handling costs related to our e-commerce operation. Gross profit is the difference between total net revenue and cost of sales.

Selling, General and Administrative Expenses

Selling, general and administrative expenses consist of compensation and employee benefit expenses, including salaries, incentives and related benefits associated with our stores and corporate headquarters. Selling, general and administrative expenses also include advertising costs, supplies for our stores and home office, communication costs, travel and entertainment, leasing costs and services purchased. Selling, general and administrative expenses do not include compensation, employee benefit expenses and travel for our design, sourcing and importing teams, our buyers and our distribution centers as these amounts are recorded in cost of sales. Additionally, selling, general and administrative expenses do not include rent and utilities related to our stores, operating costs of our distribution centers, and shipping and handling costs related to our e-commerce operations.

Other Income, Net

Other income, net consists primarily of foreign currency transaction gain/loss, interest income/expense and realized investment gains/losses.

Property and Equipment

Property and equipment is recorded on the basis of cost, including costs to prepare the asset for use, with depreciation computed utilizing the straight-line method over the asset’s estimated useful life. The useful lives of our major classes of assets are as follows:

Buildings

25 years

Leasehold improvements

Lesser of 10 years or the term of the lease

Fixtures and equipment

Information technology

5 years

3-5 years

As of August 3, 2019, the weighted average remaining useful life of our assets was approximately 8 years.

In accordance with ASC 360, Property, Plant, and Equipment (“ASC 360”), the Company evaluates long-lived assets for impairment at the individual store level, which is the lowest level at which individual cash flows can be identified, for stores that have been open for a period of time sufficient to reach maturity. Impairment losses are recorded on long-lived assets used in operations when events and circumstances indicate that the assets are impaired and the undiscounted cash flows estimated to be generated by those assets are less than their carrying amounts. When events such as these occur, the impaired assets are adjusted to their estimated fair value and an impairment loss is recorded. No long-lived asset impairment charges were recorded during the 13 or 26 weeks ended August 3, 2019 or August 4, 2018.

Refer to Note 6 to the Consolidated Financial Statements for additional information regarding property and equipment.

Intangible Assets including Goodwill

The Company’s goodwill is primarily related to the acquisition of its importing operations, Canada business and Tailgate and Todd Snyder brands. In accordance with ASC 350, Intangibles – Goodwill and Other (“ASC 350”), the Company evaluates goodwill for possible impairment on at least an annual basis and last performed an annual impairment test as of February 2, 2019. As a result of the Company’s annual goodwill impairment test, the Company concluded that its goodwill was not impaired.

Definite-lived intangible assets are recorded on the basis of cost with amortization computed utilizing the straight-line method over the assets’ estimated useful lives. The Company’s definite-lived intangible assets, which consists primarily of trademark assets, are generally amortized over 15 to 25 years.

The Company evaluates definite-lived intangible assets for impairment in accordance with ASC 350 when events or circumstances indicate that the carrying value of the asset may not be recoverable. Such an evaluation includes the estimation of undiscounted future cash flows to be generated by those assets. If the sum of the estimated future undiscounted cash flows is less than the carrying amounts of the assets, then the assets are impaired and are adjusted to their estimated fair value. No definite-lived intangible asset impairment charges were recorded during the 13 or 26 weeks ended August 3, 2019 or August 4, 2018.

Refer to Note 7 to the Consolidated Financial Statements for additional information regarding intangible assets.

Gift Cards

Revenue is not recorded on the issuance of gift cards. The value of a gift card is recorded as a current liability upon issuance, and revenue is recognized when the gift card is redeemed for merchandise. The Company estimates gift card breakage and recognizes revenue in proportion to actual gift card redemptions as a component of total net revenue.

The Company determines an estimated gift card breakage rate by continuously evaluating historical redemption data and the time when there is a remote likelihood that a gift card will be redeemed. The Company recorded $1.8 million and $2.1 million of revenue related to gift card breakage during the 13 weeks ended August 3, 2019 and August 4, 2018, respectively. During the 26 weeks ended August 3, 2019 and August 4, 2018, the Company recorded $3.9 million and $4.6 million, respectively, of revenue related to gift card breakage.

Deferred Lease Credits

Deferred lease credits represent the unamortized portion of construction allowances received from landlords related to the Company’s retail stores. Construction allowances are generally comprised of cash amounts received by the Company from its landlords as part of the negotiated lease terms. The Company records a receivable and an adjustment to the operating lease ROU asset at the lease commencement date (date of initial possession of the store). The deferred lease credit is amortized as part of the single lease cost over the term of the original lease (including the pre-opening build-out period). The receivable is reduced as amounts are received from the landlord.

Co-branded Credit Card

The Company offers a co-branded credit card (the “AEO Visa Card”) and a private label credit card (the “AEO Credit Card”) under the AE and Aerie brands. These credit cards are issued by a third-party bank (the “Bank”) in accordance with a credit card agreement (“the Agreement”). The Company has no liability to the Bank for bad debt expense, provided that purchases are made in accordance with the Bank’s procedures. We receive funding from the Bank based on the Agreement and card activity, which includes payments for new account activations and usage of the credit cards. We recognize revenue for this funding when the amounts are fixed or determinable and collectability is reasonably assured. This revenue is recorded in other revenue, which is a component of total net revenue in our Consolidated Statements of Operations and Retained Earnings. The adoption of ASC 606 did not have an impact of the Company’s accounting for the co-branded credit card.

For further information on the Company’s loyalty program, refer to the Customer Loyalty Program caption below.

Customer Loyalty Program

In 2017, the Company launched a new, digitized loyalty program called AEO Connected^TM (the “Program”). This Program integrates the credit card rewards program and the AEREWARDSÒ loyalty program into one combined customer offering. Under the Program, customers accumulate points based on purchase activity and earn rewards by reaching certain point thresholds. Customers earn rewards in the form of discount savings certificates. Rewards earned are valid through the stated expiration date, which is 45 days from the issuance date of the reward. Rewards not redeemed during the 45-day redemption period are forfeited. Additional rewards are also given for key items such as jeans and bras.

Points earned under the Program on purchases at American Eagle and Aerie are accounted for in accordance with ASC 606. The portion of the sales revenue attributed to the award points is deferred and recognized when the award is redeemed or when the points expire, using the relative stand-alone selling price method. Additionally, reward points earned using the co-branded credit card on non-AE or Aerie purchases are accounted for in accordance with ASC 606. As the points are earned, a current liability is recorded for the estimated cost of the award, and the impact of adjustments is recorded in cost of sales.

Sales Return Reserve

Revenue is recorded net of estimated and actual sales returns and deductions for coupon redemptions and other promotions. The Company records the impact of adjustments to its sales return reserve quarterly within total net revenue and cost of sales. The sales return reserve reflects an estimate of sales returns based on projected merchandise returns determined through the use of historical average return percentages.

The presentation on a gross basis consists of a separate right of return asset and liability. These amounts are recorded within (i) prepaid expenses and other and (ii) other current liabilities and accrued expenses, respectively, on the Consolidated Balance Sheets.

Income Taxes

The Company calculates income taxes in accordance with ASC 740, Income Taxes (“ASC 740”), which requires the use of the asset and liability method. Under this method, deferred tax assets and liabilities are recognized based on the difference between the Consolidated Financial Statement carrying amounts of existing assets and liabilities and their respective tax bases as computed pursuant to ASC 740. Deferred tax assets and liabilities are measured using the tax rates, based on certain judgments regarding enacted tax laws and published guidance, in effect in the years when those temporary differences are expected to reverse. A valuation allowance is established against the deferred tax assets when it is more likely than not that some portion or all of the deferred taxes may not be realized. Changes in the Company’s level and composition of earnings, tax laws or the deferred tax valuation allowance, as well as the results of tax audits, may materially impact the Company’s effective income tax rate.

The Company evaluates its income tax positions in accordance with ASC 740, which prescribes a comprehensive model for recognizing, measuring, presenting and disclosing in the financial statements tax positions taken or expected to be taken on a tax return, including a decision whether to file or not to file in a particular jurisdiction. Under ASC 740, a tax benefit from an uncertain position may be recognized only if it is “more likely than not” that the position is sustainable based on its technical merits.

The calculation of deferred tax assets and liabilities, as well as the decision to recognize a tax benefit from an uncertain position and to establish a valuation allowance, requires management to make estimates and assumptions. The Company believes that its estimates and assumptions are reasonable, although actual results may have a positive or negative material impact on the balances of deferred tax assets and liabilities, valuation allowances or net income.

Refer to Note 11 to the Consolidated Financial Statements for additional information regarding income taxes.

Segment Information

In accordance with ASC 280, Segment Reporting (“ASC 280”), the Company has identified two operating segments (American Eagle Brand and Aerie Brand) that reflect the basis used internally to review performance and allocate resources. Both operating segments have been aggregated and are presented as one reportable segment, as permitted by ASC 280.

Cash and Cash Equivalents and Short-term Investments

6 Months Ended

Aug. 03, 2019

Cash And Cash Equivalents [Abstract]

Cash and Cash Equivalents and Short-term Investments

3. Cash and Cash Equivalents and Short-term Investments

The following table summarizes the fair market values for the Company’s cash and short-term investments, which are recorded on the Consolidated Balance Sheets:

(In thousands)	August 3, 2019		February 2, 2019		August 4, 2018
Cash and cash equivalents:
Cash	$	144,241	$	108,216	$	184,280
Interest bearing deposits		122,925		165,274		72,886
Commercial paper		—		59,840		66,156
Total cash and cash equivalents	$	267,166	$	333,330	$	323,322
Short-term investments
Certificates of deposit		50,000		70,000		40,000
Commercial paper		—		22,135		—
Total short-term investments		50,000		92,135		40,000
Total	$	317,166	$	425,465	$	363,322

Fair Value Measurements

6 Months Ended

Aug. 03, 2019

Fair Value Disclosures [Abstract]

Fair Value Measurements

4. Fair Value Measurements

ASC 820, Fair Value Measurement Disclosures (“ASC 820”), defines fair value, establishes a framework for measuring fair value in accordance with GAAP and expands disclosures about fair value measurements. Fair value is defined under ASC 820 as the exit price associated with the sale of an asset or transfer of a liability in an orderly transaction between market participants at the measurement date.

Financial Instruments

Valuation techniques used to measure fair value under ASC 820 must maximize the use of observable inputs and minimize the use of unobservable inputs. In addition, ASC 820 establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include:

•	Level 1 — Quoted prices in active markets.

•	Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly.

•	Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The Company’s cash equivalents and short-term investments are Level 1 financial assets and are measured at fair value on a recurring basis, for all periods presented. Refer to Note 3 to the Consolidated Financial Statements for additional information regarding cash equivalents and short-term investments.

During the 13 and 26 weeks ended August 3, 2019 and August 4, 2018, we did not have any financial instruments that required other fair value measurements.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Earnings per Share

6 Months Ended

Aug. 03, 2019

Earnings Per Share [Abstract]

Earnings per Share

5. Earnings per Share

The following is a reconciliation between basic and diluted weighted average shares outstanding:

	13 Weeks Ended				26 Weeks Ended
	August 3,		August 4,		August 3,		August 4,
(In thousands)	2019		2018		2019		2018
Weighted average common shares outstanding:
Basic number of common shares outstanding		170,756		177,249		172,291		177,329
Dilutive effect of stock options and non-vested restricted stock		1,025		1,256		1,410		1,401
Diluted number of common shares outstanding		171,781		178,505		173,701		178,730
Anti-dilutive shares		768		1,418		434		1,421

Dilutive and anti-dilutive shares relate to share-based compensation. Refer to Note 10 to the Consolidated Financial Statements for additional information regarding share-based compensation.

Property and Equipment

6 Months Ended

Aug. 03, 2019

Property Plant And Equipment [Abstract]

Property and Equipment

6. Property and Equipment

Property and equipment consists of the following:

	August 3,			February 2,			August 4,
(In thousands)	2019			2019			2018
Property and equipment, at cost	$	2,271,371		$	2,180,850		$	2,096,940
Less: Accumulated depreciation and impairment		(1,517,340	)		(1,438,701	)		(1,364,590	)
Property and equipment, net	$	754,031		$	742,149		$	732,350

Intangible Assets, including Goodwill

6 Months Ended

Aug. 03, 2019

Goodwill And Intangible Assets Disclosure [Abstract]

Intangible Assets, including Goodwill

7. Intangible Assets, including Goodwill

Intangible assets consist of the following:

	August 3,			February 2,			August 4,
(In thousands)	2019			2019			2018
Goodwill	$	14,875		$	14,899		$	14,926
Trademarks, at cost		71,226			70,994			70,750
Less: Accumulated amortization		(29,775	)		(27,726	)		(25,686	)
Intangible assets, net	$	56,326		$	58,167		$	59,990

Other Credit Arrangements

6 Months Ended

Aug. 03, 2019

Debt Disclosure [Abstract]

Other Credit Arrangements

8. Other Credit Arrangements

In January 2019, the Company entered into an amended and restated Credit Agreement (“Credit Agreement”) for five-year, syndicated, asset-based revolving credit facilities (the “Credit Facilities”). The Credit Agreement provides senior secured revolving credit for loans and letters of credit up to $400 million, subject to customary borrowing base limitations. The Credit Facilities provide increased financial flexibility and take advantage of a favorable credit environment.

All obligations under the Credit Facilities are unconditionally guaranteed by certain subsidiaries. The obligations under the Credit Agreement are secured by a first-priority security interest in certain working capital assets of the borrowers and guarantors, consisting primarily of cash, receivables, inventory and certain other assets and have been further secured by first-priority mortgages on certain real property.

Leases

6 Months Ended

Aug. 03, 2019

Leases [Abstract]

Leases

9. Leases

The Company leases all store premises, some of its office space and certain information technology and office equipment. These leases are generally classified as operating leases.

Store leases generally provide for a combination of base rentals and contingent rent based on store sales. Additionally, most leases include landlord incentives such as construction allowances and rent holidays. The Company is typically responsible for tenant occupancy costs including maintenance costs, common area charges, real estate taxes, and certain other expenses.

Most leases include one or more options to renew. The exercise of lease renewal options is at the Company’s discretion and is not reasonably certain at lease commencement. When measuring ROU assets and lease liabilities after the date of adoption of ASC 842, the Company only includes cash flows related to options to extend or terminate leases once those options are executed.

Some leases have variable payments. However, because they are not based on an index or rate, they are not included in the measurement of ROU assets and lease liabilities.

The Company uses its incremental borrowing rate as a basis for the discount rates used in the measurement of ROU assets and lease liabilities.

For leases that qualify for the short-term lease exemption, the Company does not record a lease liability or ROU asset. Short-term lease payments are recognized on a straight-line basis over the lease term of 12 months or less.

	13 Weeks Ended			26 Weeks Ended
	Aug 3, 2019			Aug 3, 2019
(In thousands)
Lease costs
Operating lease costs	$	85,519		$	168,081
Variable lease costs		24,899			48,455
Short-term leases and other lease costs		11,057			23,901
Total lease costs	$	121,475		$	240,437

Other information
Operating cash flows for operating leases	$	(80,397	)	$	(153,403	)
New ROU asset for operating leases entered into during the period	$	99,830		$	155,927

Lease term and discount rate		Aug 3, 2019
Weighted-average remaining lease term - operating leases		6.4 years
Weighted-average discount rate - operating leases		5.1%

The table below is a maturity analysis of the operating leases in effect as of the end of the period. Undiscounted cash flows for finance leases and short-term leases are not material for the periods reported and are excluded from the table below:

	Undiscounted cash flows
	Aug 3, 2019
(In thousands)
Fiscal years:
2019 (remaining 26 weeks)	$	146,995
2020		353,668
2021		312,430
2022		261,947
2023		240,622
Thereafter		608,750
Total undiscounted cash flows	$	1,924,412
Less: discount on lease liability		(306,571	)
Total lease liability	$	1,617,841

Share-Based Compensation

6 Months Ended

Aug. 03, 2019

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Share-Based Compensation

10. Share-Based Compensation

The Company accounts for share-based compensation under the provisions of ASC 718, Compensation - Stock Compensation (“ASC 718”), which requires companies to measure and recognize compensation expense for all share-based payments at fair value.

Total share-based compensation expense included in the Consolidated Statements of Operations for the 13 and 26 weeks ended August 3, 2019 and was $9.3 million ($7.0 million, net of tax) and $14.3 million ($10.9 million, net of tax), respectively, and for the 13 and 26 weeks ended August 4, 2018 was $6.0 million ($4.7 million, net of tax) and $11.7 million ($9.0 million, net of tax), respectively.

Stock Option Grants

The Company grants both time-based and performance-based stock options. A summary of the Company’s stock option activity for the 26 weeks ended August 3, 2019 follows:

				Weighted- Average		Weighted- Average Remaining Contractual		Aggregate
	Options			Exercise Price		Term		Intrinsic Value
	(In thousands)					(In years)		(In thousands)
Outstanding - February 2, 2019		1,912		$	16.75
Granted		807		$	21.26
Exercised (1)		(124	)	$	16.06
Cancelled		(11	)	$	19.89
Outstanding - August 3, 2019		2,584		$	18.18		5.4	$	1,446
Vested and expected to vest - August 3, 2019		2,279		$	18.25		5.4	$	510
Exercisable - August 3, 2019 (2)		997		$	16.10		4.5	$	910

(1)	Options exercised during the 26 weeks ended August 3, 2019 had exercise prices ranging from $14.59 to $23.53.

(2)	Options exercisable represent “in-the-money” vested options based upon the weighted-average exercise price of vested options compared to the Company’s stock price on August 3, 2019.

Cash received from the exercise of stock options was $2.1 million and $15.5 million for the 26 weeks ended August 3, 2019 and August 4, 2018, respectively. The actual tax benefit realized from stock option exercises totaled $0.1 million for the 26 weeks ended August 3, 2019 and $0.9 million for the 26 weeks ended August 4, 2018.

As of August 3, 2019, there was $7.6 million of unrecognized compensation expense for stock option awards that is expected to be recognized over a weighted average period of 2.2 years.

The fair value of stock options was estimated at the date of grant using a Black-Scholes option pricing model with the following weighted-average assumptions:

	26 Weeks Ended			26 Weeks Ended
	August 3,			August 4,
Black-Scholes Option Valuation Assumptions	2019			2018
Risk-free interest rate (1)		2.2	%		2.6	%
Dividend yield		2.4	%		2.5	%
Volatility factor (2)		38.2	%		39.5	%
Weighted-average expected term (3)	4.4 years			4.5 years

(1)	Based on the U.S. Treasury yield curve in effect at the time of grant with a term consistent with the expected life of our stock options.

(2)	Based on a combination of historical volatility of the Company’s common stock and implied volatility.

(3)	Represents the period of time options are expected to be outstanding. The weighted average expected option terms were determined based on historical experience.

Restricted Stock Grants

Time-based restricted stock awards are comprised of time-based restricted stock units. These awards vest over three years. Time-based restricted stock units receive dividend equivalents in the form of additional time-based restricted stock units, which are subject to the same restrictions and forfeiture provisions as the original award.

Performance-based restricted stock awards include performance-based restricted stock units. These awards cliff vest at the end of a three-year period based upon the Company’s achievement of pre-established goals throughout the term of the award. Performance-based restricted stock units receive dividend equivalents in the form of additional performance-based restricted stock units, which are subject to the same restrictions and forfeiture provisions as the original award.

The grant date fair value of all restricted stock awards is based on the closing market price of the Company’s common stock on the date of grant.

A summary of the Company’s restricted stock activity is presented in the following table:

	Time-Based Restricted Stock Units					Performance-Based Restricted Stock Units
	26 Weeks Ended					26 Weeks Ended
	August 3, 2019					August 3, 2019
(Shares in thousands)	Shares			Weighted -Average Grant Date Fair Value		Shares			Weighted -Average Grant Date Fair Value
Nonvested - February 2, 2019		1,999		$	18.00		1,900		$	17.44
Granted		1,141		$	17.54		591		$	19.87
Vested		(906	)	$	16.06		(245	)	$	15.99
Cancelled		(47	)	$	16.82		(346	)	$	16.00
Nonvested - August 3, 2019		2,187		$	18.58		1,900		$	19.14

As of August 3, 2019, there was $32.0 million of unrecognized compensation expense related to non-vested, time-based restricted stock unit awards that is expected to be recognized over a weighted-average period of 2.4 years. Based on current probable performance, there is $7.3 million of unrecognized compensation expense related to performance-based restricted stock unit awards which will be recognized as achievement of performance goals is probable over a one to three year period.

As of August 3, 2019, the Company had 4.0 million shares available for all equity grants.

Income Taxes

6 Months Ended

Aug. 03, 2019

Income Tax Disclosure [Abstract]

Income Taxes

11. Income Taxes

The provision for income taxes is based on the current estimate of the annual effective income tax rate and is adjusted as necessary for discrete quarterly events. The effective income tax rate for the 13 weeks ended August 3, 2019 was 24.4% compared to 21.9% for the 13 weeks ended August 4, 2018. The effective income tax rate for the 26 weeks ended August 3, 2019 was 23.3% compared to 21.9% for the 26 weeks ended August 4, 2018. The increase in the effective income tax rate this year is primarily due to changes in unrecognized tax benefits and less favorable excess tax benefits from share-based payments in accordance with ASU 2016-09, Improvements to Employee Share-Based Payment Accounting.

The Company records accrued interest and penalties related to unrecognized tax benefits in income tax expense. The Company recognizes income tax liabilities related to unrecognized tax benefits in accordance with ASC 740 and adjusts these liabilities when its judgment changes as a result of the evaluation of new information not previously available. Unrecognized tax benefits decreased by approximately $2.0 million during the 13 weeks ended August 3, 2019. Over the next twelve months, the Company believes that it is reasonably possible that unrecognized tax benefits may decrease by approximately $2.5 million due to settlements, expiration of statute of limitations or other changes in unrecognized tax benefits.

Legal Proceedings

6 Months Ended

Aug. 03, 2019

Commitments And Contingencies Disclosure [Abstract]

Legal Proceedings

12. Legal Proceedings

The Company is subject to certain legal proceedings and claims arising out of the conduct of its business. In accordance with ASC 450, Contingencies (“ASC 450”), the Company records a reserve for estimated losses when the loss is probable and the amount can be reasonably estimated. If a range of possible loss exists and no anticipated loss within the range is more likely than any other anticipated loss, the Company records the accrual at the low end of the range, in accordance with ASC 450. As the Company believes that it has provided adequate reserves, it anticipates that the ultimate outcome of any matter currently pending against the Company will not materially affect the consolidated financial position, results of operations or consolidated cash flows of the Company. However, our assessment of any litigation or other legal claims could potentially change in light of the discovery of facts not presently known or determinations by judges, juries, or other finders of fact which are not in accord with management’s evaluation of the possible liability or outcome of such litigation or claims.

Restructuring Charges

6 Months Ended

Aug. 03, 2019

Restructuring And Related Activities [Abstract]

Restructuring Charges

13. Restructuring Charges

During the 13 and 26 weeks ended August 3, 2019, the Company recorded pre-tax restructuring charges of $2.7 million and $4.3 million, respectively. These amounts consist primarily of corporate severance charges and closure costs for our company-owned and operated stores in China.

During the 26 weeks ended August 4, 2018, the Company recorded pre-tax restructuring charges of $1.6 million. These amounts consist primarily of charges for corporate severance costs.

The Company may incur additional charges for corporate and international restructuring in Fiscal 2019. The magnitude is dependent on a number of factors, including negotiating third-party agreements, adherence to notification requirements and local laws.

A rollforward of the liabilities recognized in the Consolidated Balance Sheet is in the table below. The accrued liability as of February 2, 2019 relates to previous restructuring activities disclosed in the Company’s Fiscal 2018 Form 10-K, which remained unpaid at the beginning of Fiscal 2019. As of August 3, 2019, $2.3 million of accrued liability is included in accrued compensation and $1.8 million is included in other current liabilities on the consolidated balance sheet.

	26 Weeks Ended
	August 3,
(In thousands)	2019
Accrued liability as of February 2, 2019	$	6,629
Add: Costs incurred, excluding non-cash charges		4,272
Less: Cash payments and adjustments		(6,835	)

Accrued liability as of August 3, 2019	$	4,066

Summary of Significant Accounting Policies (Policies)

6 Months Ended

Aug. 03, 2019

Accounting Policies [Abstract]

Principles of Consolidation

The Consolidated Financial Statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. At August 3, 2019, and for all periods presented, the Company operated in one reportable segment.

Fiscal Year

Our fiscal year is a 52- or 53-week year that ends on the Saturday nearest to January 31. As used herein, “Fiscal 2019” refers to the 52-week period that will end on February 1, 2020. “Fiscal 2018” refers to the 52-week period ended February 2, 2019.

Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of our contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. On an ongoing basis, our management reviews the Company’s estimates based on currently available information. Changes in facts and circumstances may result in revised estimates.

Recent Accounting Pronouncements

In February 2016, the Financial Accounting Standards Board (“FASB”) established Accounting Standards Codification (“ASC”) Topic 842, Leases (“ASC 842”), by issuing Accounting Standards Update (“ASU”) No. 2016-02. ASC 842 was subsequently amended by ASU No. 2018-01, Land Easement Practical Expedient for Transition to Topic 842; ASU No. 2018-10, Codification Improvements to Topic 842, Leases; and ASU No. 2018-11, Targeted Improvements.

The new standard establishes a right-of-use model (“ROU”) that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement.

The Company adopted ASU 2016-02 and its subsequent amendments effective February 3, 2019. Financial information has not been updated and the disclosures required under the new standard have not been provided for dates and periods before February 3, 2019. The Company elected the new standard’s package of practical expedients, which permits the Company to maintain prior conclusions about lease identification, lease classification, and initial direct costs. The Company elected to use the go-forward practical expedient to not separate lease and non-lease components for all of our leases. The Company also elected to use the short-term lease recognition exemption for all leases that qualify.

Upon adoption, the Company:

•	Recognized lease liabilities and right-of-use assets of $1.6 billion, for the present value of the remaining minimum rental payments on existing operating leases (including consideration related to non-lease components due to the related practical expedient).

•	Recognized a transition adjustment of $44.4 million (net of tax effects of $15.0 million) to beginning retained earnings related to the impairment of newly recognized right-of-use assets related to store assets that were impaired prior to the date of adoption.

•

Reclassified $82.9 million of straight-line deferred rent, $55.0 million of deferred lease credits, and $40.4 million of prepaid rent to the ROU asset. Combined with the impairment discussed above, these reclassifications reduced the net ROU asset to $1.4 billion. Corresponding amounts were not reclassified in prior periods as those prior periods are presented under ASC 840, Leases.

Refer to Note 9 to the Consolidated Financial Statements for information regarding leases.

In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects From Accumulated Other Comprehensive Income (“ASU 2018-02”). This guidance permits companies to reclassify the stranded tax effects of the Tax Cuts and Jobs Act of 2017 (the “Tax Act”) on items within accumulated other comprehensive income to retained earnings. The Company adopted ASU 2018-02 on February 3, 2019. The adoption did not have a material impact on our Consolidated Financial Statements.

In January 2017, the FASB issued ASU 2017-04, Simplifying the Test for Goodwill Impairment (“ASU 2017-04)”. This ASU simplifies the accounting for goodwill impairments under Step 2 by eliminating the requirement to perform procedures to determine the fair value of the assets and liabilities of the reporting unit, including previously unrecognized assets and liabilities, in order to determine the fair value of the goodwill and any impairment charge to be recognized. The Company adopted ASU 2017-04 on February 3, 2019. The adoption did not have an impact on our Consolidated Financial Statements, as no goodwill was determined to be impaired during the 26 weeks ended August 3, 2019.

Foreign Currency Translation

In accordance with ASC 830, Foreign Currency Matters, assets and liabilities denominated in foreign currencies were translated into United States dollars (“USD”) (our reporting currency) at the exchange rates prevailing at the balance sheet date. Revenues and expenses denominated in foreign currencies were translated into USD at the monthly average exchange rates for the period. Gains or losses resulting from foreign currency transactions are included in the results of operations, whereas related translation adjustments are reported as an element of other comprehensive income in accordance with ASC 220, Comprehensive Income.

Cash and Cash Equivalents and Short-term Investments

The Company considers all highly liquid investments purchased with a remaining maturity of three months or less to be cash equivalents.

As of both August 3, 2019 and August 4, 2018, short-term investments classified as available-for-sale included certificates of deposit with a maturity of greater than three months, but less than one year.

Refer to Note 3 to the Consolidated Financial Statements for information regarding cash and cash equivalents and short-term investments.

Merchandise Inventory

Merchandise inventory is valued at the lower of average cost or market, utilizing the retail method. Average cost includes merchandise design and sourcing costs and related expenses. The Company records merchandise receipts when control of the merchandise has transferred to the Company.

The Company reviews its inventory levels to identify slow-moving merchandise and generally uses markdowns to clear merchandise. Additionally, the Company estimates a markdown reserve for future planned permanent markdowns related to current inventory. Markdowns may occur when inventory exceeds customer demand for reasons of style, seasonal adaptation, changes in customer preference, lack of consumer acceptance of fashion items, competition, or if it is determined that the inventory in stock will not sell at its currently ticketed price. Such markdowns may have a material adverse impact on earnings, depending on the extent and amount of inventory affected. The Company also estimates a shrinkage reserve for the period between the last physical count and the balance sheet date. The estimate for the shrinkage reserve, based on historical results, can be affected by changes in merchandise mix and changes in actual shrinkage trends.

Revenue Recognition

In May 2014, the FASB issued ASC 606, Revenue From Contracts With Customers (“ASC 606”), a comprehensive new revenue recognition model that expands disclosure requirements and requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. ASC 606 is effective for annual reporting periods beginning after December 15, 2017. The Company adopted ASC 606 on February 4, 2018. Results for reporting periods beginning on or after February 4, 2018 are presented under ASC 606, while prior period amounts are not adjusted and continue to be reported in accordance with our historic accounting. The Company recorded a net increase to opening retained earnings of $0.2 million as of February 4, 2018 due to the cumulative impact of adoption. The impact was the result of accounting for customer loyalty programs using a relative stand-alone selling price method versus incremental cost method. The Company defers a portion of the sales revenue attributed to the loyalty points and recognizes revenue when the points are redeemed or expire, consistent with the requirements of ASC 606. Refer to the Customer Loyalty Program caption below for additional information.

Revenue is recorded for store sales upon the purchase of merchandise by customers. The Company’s e-commerce operation records revenue upon the customer receipt date of the merchandise. Shipping and handling revenues are included in total net revenue. Sales tax collected from customers is excluded from revenue and is included as part of accrued income and other taxes on the Company’s Consolidated Balance Sheets.

Revenue is recorded net of estimated and actual sales returns and promotional price reductions. The Company records the impact of adjustments to its sales return reserve quarterly within total net revenue and cost of sales. The sales return reserve reflects an estimate of sales returns based on projected merchandise returns determined through the use of historical average return percentages.

Revenue is not recorded on the issuance of gift cards. A current liability is recorded upon issuance, and revenue is recognized when the gift card is redeemed for merchandise. Additionally, the Company recognizes revenue on unredeemed gift cards based on an estimate of the amounts that will not be redeemed (“gift card breakage”), determined through historical redemption trends. Gift card breakage revenue is recognized in proportion to actual gift card redemptions as a component of total net revenue. For further information on the Company’s gift card program, refer to the Gift Cards caption below.

The Company recognizes royalty revenue generated from its license or franchise agreements based on a percentage of merchandise sales by the licensee/franchisee. This revenue is recorded as a component of total net revenue when earned and collection is probable.

The following table sets forth the approximate consolidated percentage of total net revenue attributable to each merchandise group for each of the periods indicated:

	13 Weeks Ended						26 Weeks Ended
	August 3,			August 4,			August 3,			August 4,
	2019			2018			2019			2018
Men’s apparel and accessories		28	%		30	%		28	%		30	%
Women’s apparel and accessories (excluding Aerie)		53	%		54	%		54	%		54	%
Aerie		19	%		16	%		18	%		16	%
Total		100	%		100	%		100	%		100	%

The following table disaggregates the Company’s Total Net Revenue by geography:

	13 Weeks Ended				26 Weeks Ended
(In thousands)	August 3, 2019		August 4, 2018		August 3, 2019		August 4, 2018
Total net revenue:
United States	$	869,001	$	835,692	$	1,642,482	$	1,550,650
Foreign ⁽¹⁾		171,878		129,161		284,687		237,164
Total net revenue	$	1,040,879	$	964,853	$	1,927,169	$	1,787,814

(1)	Amounts represent sales from American Eagle and Aerie international retail stores, e-commerce sales that are billed and/or shipped to foreign countries, and international franchise royalty revenue.

Cost of Sales, Including Certain Buying, Occupancy and Warehousing Expenses

Cost of sales consists of merchandise costs, including design, sourcing, importing and inbound freight costs, as well as markdowns, shrinkage and certain promotional costs (collectively, “merchandise costs”) and buying, occupancy and warehousing costs.

Design costs are related to the Company's Design Center operations and include compensation, travel and entertainment, supplies and samples for our design teams, as well as rent and depreciation for our Design Center. These costs are included in cost of sales as the respective inventory is sold.

Buying, occupancy and warehousing costs consist of compensation, employee benefit expenses and travel and entertainment for our buyers and certain senior merchandising executives; rent and utilities related to our stores, corporate headquarters, distribution centers and other office space; freight from our distribution centers to the stores; compensation and supplies for our distribution centers, including purchasing, receiving and inspection costs; and shipping and handling costs related to our e-commerce operation. Gross profit is the difference between total net revenue and cost of sales.

Selling, General and Administrative Expenses

Selling, general and administrative expenses consist of compensation and employee benefit expenses, including salaries, incentives and related benefits associated with our stores and corporate headquarters. Selling, general and administrative expenses also include advertising costs, supplies for our stores and home office, communication costs, travel and entertainment, leasing costs and services purchased. Selling, general and administrative expenses do not include compensation, employee benefit expenses and travel for our design, sourcing and importing teams, our buyers and our distribution centers as these amounts are recorded in cost of sales. Additionally, selling, general and administrative expenses do not include rent and utilities related to our stores, operating costs of our distribution centers, and shipping and handling costs related to our e-commerce operations.

Other Income, Net

Other income, net consists primarily of foreign currency transaction gain/loss, interest income/expense and realized investment gains/losses.

Property and Equipment

Property and equipment is recorded on the basis of cost, including costs to prepare the asset for use, with depreciation computed utilizing the straight-line method over the asset’s estimated useful life. The useful lives of our major classes of assets are as follows:

Buildings

25 years

Leasehold improvements

Lesser of 10 years or the term of the lease

Fixtures and equipment

Information technology

5 years

3-5 years

As of August 3, 2019, the weighted average remaining useful life of our assets was approximately 8 years.

In accordance with ASC 360, Property, Plant, and Equipment (“ASC 360”), the Company evaluates long-lived assets for impairment at the individual store level, which is the lowest level at which individual cash flows can be identified, for stores that have been open for a period of time sufficient to reach maturity. Impairment losses are recorded on long-lived assets used in operations when events and circumstances indicate that the assets are impaired and the undiscounted cash flows estimated to be generated by those assets are less than their carrying amounts. When events such as these occur, the impaired assets are adjusted to their estimated fair value and an impairment loss is recorded. No long-lived asset impairment charges were recorded during the 13 or 26 weeks ended August 3, 2019 or August 4, 2018.

Refer to Note 6 to the Consolidated Financial Statements for additional information regarding property and equipment.

Intangible Assets Including Goodwill

Intangible Assets including Goodwill

The Company’s goodwill is primarily related to the acquisition of its importing operations, Canada business and Tailgate and Todd Snyder brands. In accordance with ASC 350, Intangibles – Goodwill and Other (“ASC 350”), the Company evaluates goodwill for possible impairment on at least an annual basis and last performed an annual impairment test as of February 2, 2019. As a result of the Company’s annual goodwill impairment test, the Company concluded that its goodwill was not impaired.

Definite-lived intangible assets are recorded on the basis of cost with amortization computed utilizing the straight-line method over the assets’ estimated useful lives. The Company’s definite-lived intangible assets, which consists primarily of trademark assets, are generally amortized over 15 to 25 years.

The Company evaluates definite-lived intangible assets for impairment in accordance with ASC 350 when events or circumstances indicate that the carrying value of the asset may not be recoverable. Such an evaluation includes the estimation of undiscounted future cash flows to be generated by those assets. If the sum of the estimated future undiscounted cash flows is less than the carrying amounts of the assets, then the assets are impaired and are adjusted to their estimated fair value. No definite-lived intangible asset impairment charges were recorded during the 13 or 26 weeks ended August 3, 2019 or August 4, 2018.

Refer to Note 7 to the Consolidated Financial Statements for additional information regarding intangible assets.

Gift Cards

Revenue is not recorded on the issuance of gift cards. The value of a gift card is recorded as a current liability upon issuance, and revenue is recognized when the gift card is redeemed for merchandise. The Company estimates gift card breakage and recognizes revenue in proportion to actual gift card redemptions as a component of total net revenue.

The Company determines an estimated gift card breakage rate by continuously evaluating historical redemption data and the time when there is a remote likelihood that a gift card will be redeemed. The Company recorded $1.8 million and $2.1 million of revenue related to gift card breakage during the 13 weeks ended August 3, 2019 and August 4, 2018, respectively. During the 26 weeks ended August 3, 2019 and August 4, 2018, the Company recorded $3.9 million and $4.6 million, respectively, of revenue related to gift card breakage.

Deferred Lease Credits

Deferred lease credits represent the unamortized portion of construction allowances received from landlords related to the Company’s retail stores. Construction allowances are generally comprised of cash amounts received by the Company from its landlords as part of the negotiated lease terms. The Company records a receivable and an adjustment to the operating lease ROU asset at the lease commencement date (date of initial possession of the store). The deferred lease credit is amortized as part of the single lease cost over the term of the original lease (including the pre-opening build-out period). The receivable is reduced as amounts are received from the landlord.

Co-branded Credit Card

The Company offers a co-branded credit card (the “AEO Visa Card”) and a private label credit card (the “AEO Credit Card”) under the AE and Aerie brands. These credit cards are issued by a third-party bank (the “Bank”) in accordance with a credit card agreement (“the Agreement”). The Company has no liability to the Bank for bad debt expense, provided that purchases are made in accordance with the Bank’s procedures. We receive funding from the Bank based on the Agreement and card activity, which includes payments for new account activations and usage of the credit cards. We recognize revenue for this funding when the amounts are fixed or determinable and collectability is reasonably assured. This revenue is recorded in other revenue, which is a component of total net revenue in our Consolidated Statements of Operations and Retained Earnings. The adoption of ASC 606 did not have an impact of the Company’s accounting for the co-branded credit card.

For further information on the Company’s loyalty program, refer to the Customer Loyalty Program caption below.

Customer Loyalty Program

In 2017, the Company launched a new, digitized loyalty program called AEO Connected^TM (the “Program”). This Program integrates the credit card rewards program and the AEREWARDSÒ loyalty program into one combined customer offering. Under the Program, customers accumulate points based on purchase activity and earn rewards by reaching certain point thresholds. Customers earn rewards in the form of discount savings certificates. Rewards earned are valid through the stated expiration date, which is 45 days from the issuance date of the reward. Rewards not redeemed during the 45-day redemption period are forfeited. Additional rewards are also given for key items such as jeans and bras.

Points earned under the Program on purchases at American Eagle and Aerie are accounted for in accordance with ASC 606. The portion of the sales revenue attributed to the award points is deferred and recognized when the award is redeemed or when the points expire, using the relative stand-alone selling price method. Additionally, reward points earned using the co-branded credit card on non-AE or Aerie purchases are accounted for in accordance with ASC 606. As the points are earned, a current liability is recorded for the estimated cost of the award, and the impact of adjustments is recorded in cost of sales.

Sales Return Reserve

Revenue is recorded net of estimated and actual sales returns and deductions for coupon redemptions and other promotions. The Company records the impact of adjustments to its sales return reserve quarterly within total net revenue and cost of sales. The sales return reserve reflects an estimate of sales returns based on projected merchandise returns determined through the use of historical average return percentages.

The presentation on a gross basis consists of a separate right of return asset and liability. These amounts are recorded within (i) prepaid expenses and other and (ii) other current liabilities and accrued expenses, respectively, on the Consolidated Balance Sheets.

Income Taxes

The Company calculates income taxes in accordance with ASC 740, Income Taxes (“ASC 740”), which requires the use of the asset and liability method. Under this method, deferred tax assets and liabilities are recognized based on the difference between the Consolidated Financial Statement carrying amounts of existing assets and liabilities and their respective tax bases as computed pursuant to ASC 740. Deferred tax assets and liabilities are measured using the tax rates, based on certain judgments regarding enacted tax laws and published guidance, in effect in the years when those temporary differences are expected to reverse. A valuation allowance is established against the deferred tax assets when it is more likely than not that some portion or all of the deferred taxes may not be realized. Changes in the Company’s level and composition of earnings, tax laws or the deferred tax valuation allowance, as well as the results of tax audits, may materially impact the Company’s effective income tax rate.

The Company evaluates its income tax positions in accordance with ASC 740, which prescribes a comprehensive model for recognizing, measuring, presenting and disclosing in the financial statements tax positions taken or expected to be taken on a tax return, including a decision whether to file or not to file in a particular jurisdiction. Under ASC 740, a tax benefit from an uncertain position may be recognized only if it is “more likely than not” that the position is sustainable based on its technical merits.

The calculation of deferred tax assets and liabilities, as well as the decision to recognize a tax benefit from an uncertain position and to establish a valuation allowance, requires management to make estimates and assumptions. The Company believes that its estimates and assumptions are reasonable, although actual results may have a positive or negative material impact on the balances of deferred tax assets and liabilities, valuation allowances or net income.

Refer to Note 11 to the Consolidated Financial Statements for additional information regarding income taxes.

Segment Information

In accordance with ASC 280, Segment Reporting (“ASC 280”), the Company has identified two operating segments (American Eagle Brand and Aerie Brand) that reflect the basis used internally to review performance and allocate resources. Both operating segments have been aggregated and are presented as one reportable segment, as permitted by ASC 280.

Fair Value Measurements

ASC 820, Fair Value Measurement Disclosures (“ASC 820”), defines fair value, establishes a framework for measuring fair value in accordance with GAAP and expands disclosures about fair value measurements. Fair value is defined under ASC 820 as the exit price associated with the sale of an asset or transfer of a liability in an orderly transaction between market participants at the measurement date.

Financial Instruments

Valuation techniques used to measure fair value under ASC 820 must maximize the use of observable inputs and minimize the use of unobservable inputs. In addition, ASC 820 establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include:

•	Level 1 — Quoted prices in active markets.

•	Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly.

•	Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Share-Based Compensation

The Company accounts for share-based compensation under the provisions of ASC 718, Compensation - Stock Compensation (“ASC 718”), which requires companies to measure and recognize compensation expense for all share-based payments at fair value.

Legal Proceedings

The Company is subject to certain legal proceedings and claims arising out of the conduct of its business. In accordance with ASC 450, Contingencies (“ASC 450”), the Company records a reserve for estimated losses when the loss is probable and the amount can be reasonably estimated. If a range of possible loss exists and no anticipated loss within the range is more likely than any other anticipated loss, the Company records the accrual at the low end of the range, in accordance with ASC 450. As the Company believes that it has provided adequate reserves, it anticipates that the ultimate outcome of any matter currently pending against the Company will not materially affect the consolidated financial position, results of operations or consolidated cash flows of the Company. However, our assessment of any litigation or other legal claims could potentially change in light of the discovery of facts not presently known or determinations by judges, juries, or other finders of fact which are not in accord with management’s evaluation of the possible liability or outcome of such litigation or claims.

Summary of Significant Accounting Policies (Tables)

6 Months Ended

Aug. 03, 2019

Accounting Policies [Abstract]

Consolidated Percentage of Total Net Revenue Attributable to Each Merchandise Group

The following table sets forth the approximate consolidated percentage of total net revenue attributable to each merchandise group for each of the periods indicated:

	13 Weeks Ended						26 Weeks Ended
	August 3,			August 4,			August 3,			August 4,
	2019			2018			2019			2018
Men’s apparel and accessories		28	%		30	%		28	%		30	%
Women’s apparel and accessories (excluding Aerie)		53	%		54	%		54	%		54	%
Aerie		19	%		16	%		18	%		16	%
Total		100	%		100	%		100	%		100	%

Summary of Disaggregation of Company's Total Net Revenue by Geography

The following table disaggregates the Company’s Total Net Revenue by geography:

	13 Weeks Ended				26 Weeks Ended
(In thousands)	August 3, 2019		August 4, 2018		August 3, 2019		August 4, 2018
Total net revenue:
United States	$	869,001	$	835,692	$	1,642,482	$	1,550,650
Foreign ⁽¹⁾		171,878		129,161		284,687		237,164
Total net revenue	$	1,040,879	$	964,853	$	1,927,169	$	1,787,814

Amounts represent sales from American Eagle and Aerie international retail stores, e-commerce sales that are billed and/or shipped to foreign countries, and international franchise royalty revenue.

Useful Lives of Major Classes of Assets

The useful lives of our major classes of assets are as follows:

Buildings

25 years

Leasehold improvements

Lesser of 10 years or the term of the lease

Fixtures and equipment

Information technology

5 years

3-5 years

Cash and Cash Equivalents and Short-term Investments (Tables)

6 Months Ended

Aug. 03, 2019

Cash And Cash Equivalents [Abstract]

Fair Market Values for Cash and Short-term Investments

The following table summarizes the fair market values for the Company’s cash and short-term investments, which are recorded on the Consolidated Balance Sheets:

(In thousands)	August 3, 2019		February 2, 2019		August 4, 2018
Cash and cash equivalents:
Cash	$	144,241	$	108,216	$	184,280
Interest bearing deposits		122,925		165,274		72,886
Commercial paper		—		59,840		66,156
Total cash and cash equivalents	$	267,166	$	333,330	$	323,322
Short-term investments
Certificates of deposit		50,000		70,000		40,000
Commercial paper		—		22,135		—
Total short-term investments		50,000		92,135		40,000
Total	$	317,166	$	425,465	$	363,322

Earnings per Share (Tables)

6 Months Ended

Aug. 03, 2019

Earnings Per Share [Abstract]

Reconciliation Between Basic and Diluted Weighted Average Shares Outstanding

The following is a reconciliation between basic and diluted weighted average shares outstanding:

	13 Weeks Ended				26 Weeks Ended
	August 3,		August 4,		August 3,		August 4,
(In thousands)	2019		2018		2019		2018
Weighted average common shares outstanding:
Basic number of common shares outstanding		170,756		177,249		172,291		177,329
Dilutive effect of stock options and non-vested restricted stock		1,025		1,256		1,410		1,401
Diluted number of common shares outstanding		171,781		178,505		173,701		178,730
Anti-dilutive shares		768		1,418		434		1,421

Property and Equipment (Tables)

6 Months Ended

Aug. 03, 2019

Property Plant And Equipment [Abstract]

Property and Equipment

Property and equipment consists of the following:

	August 3,			February 2,			August 4,
(In thousands)	2019			2019			2018
Property and equipment, at cost	$	2,271,371		$	2,180,850		$	2,096,940
Less: Accumulated depreciation and impairment		(1,517,340	)		(1,438,701	)		(1,364,590	)
Property and equipment, net	$	754,031		$	742,149		$	732,350

Intangible Assets, including Goodwill (Tables)

6 Months Ended

Aug. 03, 2019

Goodwill And Intangible Assets Disclosure [Abstract]

Intangible Assets, Including Goodwill

Intangible assets consist of the following:

	August 3,			February 2,			August 4,
(In thousands)	2019			2019			2018
Goodwill	$	14,875		$	14,899		$	14,926
Trademarks, at cost		71,226			70,994			70,750
Less: Accumulated amortization		(29,775	)		(27,726	)		(25,686	)
Intangible assets, net	$	56,326		$	58,167		$	59,990

Leases (Tables)

6 Months Ended

Aug. 03, 2019

Leases [Abstract]

Summary of Lease Costs, Other Information, Lease Term and Discount Rate

	13 Weeks Ended			26 Weeks Ended
	Aug 3, 2019			Aug 3, 2019
(In thousands)
Lease costs
Operating lease costs	$	85,519		$	168,081
Variable lease costs		24,899			48,455
Short-term leases and other lease costs		11,057			23,901
Total lease costs	$	121,475		$	240,437

Other information
Operating cash flows for operating leases	$	(80,397	)	$	(153,403	)
New ROU asset for operating leases entered into during the period	$	99,830		$	155,927

Lease term and discount rate		Aug 3, 2019
Weighted-average remaining lease term - operating leases		6.4 years
Weighted-average discount rate - operating leases		5.1%

Summary of Maturity Analysis of Operating Leases

The table below is a maturity analysis of the operating leases in effect as of the end of the period. Undiscounted cash flows for finance leases and short-term leases are not material for the periods reported and are excluded from the table below:

	Undiscounted cash flows
	Aug 3, 2019
(In thousands)
Fiscal years:
2019 (remaining 26 weeks)	$	146,995
2020		353,668
2021		312,430
2022		261,947
2023		240,622
Thereafter		608,750
Total undiscounted cash flows	$	1,924,412
Less: discount on lease liability		(306,571	)
Total lease liability	$	1,617,841

Share-Based Compensation (Tables)

6 Months Ended

Aug. 03, 2019

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Summary of Stock Option Activity

A summary of the Company’s stock option activity for the 26 weeks ended August 3, 2019 follows:

				Weighted- Average		Weighted- Average Remaining Contractual		Aggregate
	Options			Exercise Price		Term		Intrinsic Value
	(In thousands)					(In years)		(In thousands)
Outstanding - February 2, 2019		1,912		$	16.75
Granted		807		$	21.26
Exercised (1)		(124	)	$	16.06
Cancelled		(11	)	$	19.89
Outstanding - August 3, 2019		2,584		$	18.18		5.4	$	1,446
Vested and expected to vest - August 3, 2019		2,279		$	18.25		5.4	$	510
Exercisable - August 3, 2019 (2)		997		$	16.10		4.5	$	910

(1)	Options exercised during the 26 weeks ended August 3, 2019 had exercise prices ranging from $14.59 to $23.53.

(2)	Options exercisable represent “in-the-money” vested options based upon the weighted-average exercise price of vested options compared to the Company’s stock price on August 3, 2019.

Black-Scholes Option Valuation Assumptions

The fair value of stock options was estimated at the date of grant using a Black-Scholes option pricing model with the following weighted-average assumptions:

	26 Weeks Ended			26 Weeks Ended
	August 3,			August 4,
Black-Scholes Option Valuation Assumptions	2019			2018
Risk-free interest rate (1)		2.2	%		2.6	%
Dividend yield		2.4	%		2.5	%
Volatility factor (2)		38.2	%		39.5	%
Weighted-average expected term (3)	4.4 years			4.5 years

(1)	Based on the U.S. Treasury yield curve in effect at the time of grant with a term consistent with the expected life of our stock options.

(2)	Based on a combination of historical volatility of the Company’s common stock and implied volatility.

(3)	Represents the period of time options are expected to be outstanding. The weighted average expected option terms were determined based on historical experience.

Summary of Restricted Stock Activity

A summary of the Company’s restricted stock activity is presented in the following table:

	Time-Based Restricted Stock Units					Performance-Based Restricted Stock Units
	26 Weeks Ended					26 Weeks Ended
	August 3, 2019					August 3, 2019
(Shares in thousands)	Shares			Weighted -Average Grant Date Fair Value		Shares			Weighted -Average Grant Date Fair Value
Nonvested - February 2, 2019		1,999		$	18.00		1,900		$	17.44
Granted		1,141		$	17.54		591		$	19.87
Vested		(906	)	$	16.06		(245	)	$	15.99
Cancelled		(47	)	$	16.82		(346	)	$	16.00
Nonvested - August 3, 2019		2,187		$	18.58		1,900		$	19.14

Restructuring Charges (Tables)

6 Months Ended

Aug. 03, 2019

Restructuring And Related Activities [Abstract]

Rollforward of Liabilities Recognized in Consolidated Balance Sheet

A rollforward of the liabilities recognized in the Consolidated Balance Sheet is in the table below. The accrued liability as of February 2, 2019 relates to previous restructuring activities disclosed in the Company’s Fiscal 2018 Form 10-K, which remained unpaid at the beginning of Fiscal 2019. As of August 3, 2019, $2.3 million of accrued liability is included in accrued compensation and $1.8 million is included in other current liabilities on the consolidated balance sheet.

	26 Weeks Ended
	August 3,
(In thousands)	2019
Accrued liability as of February 2, 2019	$	6,629
Add: Costs incurred, excluding non-cash charges		4,272
Less: Cash payments and adjustments		(6,835	)

Accrued liability as of August 3, 2019	$	4,066

Summary of Significant Accounting Policies - Additional Information (Detail)			3 Months Ended		6 Months Ended
	Feb. 03, 2019 USD ($)	Feb. 04, 2018 USD ($)	Aug. 03, 2019 USD ($)	Aug. 04, 2018 USD ($) Segment	Aug. 03, 2019 USD ($) Segment	Aug. 04, 2018 USD ($)
Significant Accounting Policies [Line Items]
Number of reportable segments \| Segment				1	1
Operating lease right-of-use assets			$ 1,462,544,000		$ 1,462,544,000
Operating lease, liability			1,617,841,000		1,617,841,000
Impairment of goodwill					$ 0
Weighted average remaining useful life, assets					8 years
Long-lived asset impairment charges			0	$ 0	$ 0	$ 0
Definite-lived impairment charges			0	0	0	0
Revenue related to gift card breakage			$ 1,800,000	$ 2,100,000	$ 3,900,000	4,600,000
Number of operating segments \| Segment					2
Minimum
Significant Accounting Policies [Line Items]
Definite-lived intangibles, useful life					15 years
Maximum
Significant Accounting Policies [Line Items]
Definite-lived intangibles, useful life					25 years
Accounting Standards Update 2016-02
Significant Accounting Policies [Line Items]
Operating lease right-of-use assets	$ 1,600,000,000
Operating lease, liability	1,600,000,000
Net increase (decrease) to opening retained earnings due to cumulative impact of adoption	(44,400,000)				$ (44,435,000)
Tax effects to retained earnings	15,000,000.0
Deferred rent	82,900,000
Deferred lease credits	55,000,000.0
Prepaid rent to the right-of-use asset	40,400,000
Reduction in net right-of-use asset	$ 1,400,000,000
ASC 606
Significant Accounting Policies [Line Items]
Net increase (decrease) to opening retained earnings due to cumulative impact of adoption		$ 200,000				$ 152,000

Consolidated Percentage of Total Net Revenue Attributable to Each Merchandise Group (Detail)	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Product Information [Line Items]
Percentage of total net revenue	100.00%	100.00%	100.00%	100.00%
Men's apparel and accessories
Product Information [Line Items]
Percentage of total net revenue	28.00%	30.00%	28.00%	30.00%
Women's apparel and accessories (excluding Aerie)
Product Information [Line Items]
Percentage of total net revenue	53.00%	54.00%	54.00%	54.00%
Aerie
Product Information [Line Items]
Percentage of total net revenue	19.00%	16.00%	18.00%	16.00%

Summary of Disaggregation of Company's Total Net Revenue by Geography (Detail) - USD ($)
$ in Thousands

3 Months Ended

6 Months Ended

Aug. 03, 2019

Aug. 04, 2018

Aug. 03, 2019

Aug. 04, 2018

Product Information [Line Items]

Total net revenue

$ 1,040,879

$ 964,853

$ 1,927,169

$ 1,787,814

United States

Product Information [Line Items]

Total net revenue

869,001

835,692

1,642,482

1,550,650

Foreign

Product Information [Line Items]

Total net revenue

^[1]

$ 171,878

$ 129,161

$ 284,687

$ 237,164

[1]	Amounts represent sales from American Eagle and Aerie international retail stores, e-commerce sales that are billed and/or shipped to foreign countries, and international franchise royalty revenue.

Useful Lives of Major Classes of Assets (Detail)	6 Months Ended
Useful Lives of Major Classes of Assets (Detail)	Aug. 03, 2019
Buildings
Property, Plant and Equipment, Estimated Useful Lives, Lease Terms [Line Items]
Useful lives in asset class	25 years
Leasehold Improvements
Property, Plant and Equipment, Estimated Useful Lives, Lease Terms [Line Items]
Useful lives in asset class	Lesser of 10 years or the term of the lease
Leasehold Improvements \| Maximum
Property, Plant and Equipment, Estimated Useful Lives, Lease Terms [Line Items]
Useful lives in asset class	10 years
Fixtures and Equipment
Property, Plant and Equipment, Estimated Useful Lives, Lease Terms [Line Items]
Useful lives in asset class	5 years
Information Technology \| Minimum
Property, Plant and Equipment, Estimated Useful Lives, Lease Terms [Line Items]
Useful lives in asset class	3 years
Information Technology \| Maximum
Property, Plant and Equipment, Estimated Useful Lives, Lease Terms [Line Items]
Useful lives in asset class	5 years

Useful Lives of Major Classes of Assets (Parenthetical) (Detail)	6 Months Ended
	Aug. 03, 2019
Maximum \| Leasehold Improvements
Property, Plant and Equipment, Estimated Useful Lives, Lease Terms [Line Items]
Useful lives in asset class	10 years

Fair Market Values for Cash and Short-term Investments (Detail) - USD ($) $ in Thousands	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Cash and cash equivalents:
Cash and cash equivalents	$ 267,166	$ 333,330	$ 323,322
Short-term investments
Short-term investments	50,000	92,135	40,000
Total	317,166	425,465	363,322
Cash
Cash and cash equivalents:
Cash and cash equivalents	144,241	108,216	184,280
Interest Bearing Deposits
Cash and cash equivalents:
Cash and cash equivalents	122,925	165,274	72,886
Commercial Paper
Cash and cash equivalents:
Cash and cash equivalents		59,840	66,156
Short-term investments
Short-term investments		22,135
Certificates of Deposit
Short-term investments
Short-term investments	$ 50,000	$ 70,000	$ 40,000

Reconciliation Between Basic and Diluted Weighted Average Shares Outstanding (Detail) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Weighted average common shares outstanding:
Basic number of common shares outstanding	170,756	177,249	172,291	177,329
Dilutive effect of stock options and non-vested restricted stock	1,025	1,256	1,410	1,401
Diluted number of common shares outstanding	171,781	178,505	173,701	178,730
Anti-dilutive shares	768	1,418	434	1,421

Property and Equipment (Detail) - USD ($) $ in Thousands	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Property Plant And Equipment [Abstract]
Property and equipment, at cost	$ 2,271,371	$ 2,180,850	$ 2,096,940
Less: Accumulated depreciation and impairment	(1,517,340)	(1,438,701)	(1,364,590)
Property and equipment, net	$ 754,031	$ 742,149	$ 732,350

Intangible Assets, Including Goodwill (Detail) - USD ($) $ in Thousands	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Intangible Assets Net Including Goodwill [Abstract]
Goodwill	$ 14,875	$ 14,899	$ 14,926
Trademarks, at cost	71,226	70,994	70,750
Less: Accumulated amortization	(29,775)	(27,726)	(25,686)
Intangible assets, net	$ 56,326	$ 58,167	$ 59,990

Other Credit Arrangements - Additional Information (Detail) - Credit Facilities - Credit Agreement	1 Months Ended
	Jan. 31, 2019 USD ($)
Line Of Credit Facility [Line Items]
Line of credit facility, expiration period	5 years
Borrowing agreements with financial institutions	$ 400,000,000

Leases - Summary of Lease Costs and Other Information (Detail) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Aug. 03, 2019	Aug. 03, 2019
Lease costs
Operating lease costs	$ 85,519	$ 168,081
Variable lease costs	24,899	48,455
Short-term leases and other lease costs	11,057	23,901
Total lease costs	121,475	240,437
Other information
Operating cash flows for operating leases	(80,397)	(153,403)
New ROU asset for operating leases entered into during the period	$ 99,830	$ 155,927

Leases - Summary of Lease Term and Discount Rate (Detail)	Aug. 03, 2019
Lease term and discount rate
Weighted-average remaining lease term - operating leases	6 years 4 months 24 days
Weighted-average discount rate - operating leases	5.10%

Leases - Summary of Maturity Analysis of Operating Leases (Detail) $ in Thousands	Aug. 03, 2019 USD ($)
Leases [Abstract]
2019 (remaining 26 weeks)	$ 146,995
2020	353,668
2021	312,430
2022	261,947
2023	240,622
Thereafter	608,750
Total undiscounted cash flows	1,924,412
Less: discount on lease liability	(306,571)
Total lease liability	$ 1,617,841

Share-Based Compensation - Additional Information (Detail) - USD ($) $ in Thousands, shares in Millions	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation	$ 9,300	$ 6,000	$ 14,298	$ 11,731
Share-based compensation, net of tax	$ 7,000	$ 4,700	10,900	9,000
Net proceeds from stock options exercised			2,119	15,496
Tax benefit realized from stock option exercises			$ 100	$ 900
Shares available for all equity grants	4.0		4.0
Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense	$ 7,600		$ 7,600
Unrecognized compensation expense, weighted average period			2 years 2 months 12 days
Time Based Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			3 years
Unrecognized compensation expense, weighted average period			2 years 4 months 24 days
Unrecognized compensation expense, restricted stock grants	32,000		$ 32,000
Performance-Based Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			3 years
Unrecognized compensation expense, restricted stock grants	$ 7,300		$ 7,300
Performance-Based Restricted Stock Units \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense, weighted average period			1 year
Performance-Based Restricted Stock Units \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense, weighted average period			3 years

Summary of Stock Option Activity (Detail)
$ / shares in Units, shares in Thousands, $ in Thousands

6 Months Ended

Aug. 03, 2019

USD ($)

$ / shares

shares

Options

Outstanding - beginning of period | shares

1,912

Granted | shares

807

Exercised | shares

(124)

^[1]

Cancelled | shares

(11)

Outstanding- end of period | shares

2,584

Vested and expected to vest-end of period | shares

2,279

Exercisable-end of period | shares

997

^[2]

Weighted-Average Exercise Price

Outstanding-beginning of period | $ / shares

$ 16.75

Granted | $ / shares

21.26

Exercised | $ / shares

16.06

^[1]

Cancelled | $ / shares

19.89

Outstanding-end of period | $ / shares

18.18

Vested and expected to vest-end of period | $ / shares

18.25

Exercisable-end of period | $ / shares

$ 16.10

^[2]

Weighted-Average Remaining Contractual Term (In years)

Outstanding-end of period

5 years 4 months 24 days

Vested and expected to vest-end of period

5 years 4 months 24 days

Exercisable-end of period

4 years 6 months

^[2]

Aggregate Intrinsic Value

Outstanding-end of period | $

$ 1,446

Vested and expected to vest-end of period | $

510

Exercisable-end of period | $

$ 910

^[2]

[1]	Options exercised during the 26 weeks ended August 3, 2019 had exercise prices ranging from $14.59 to $23.53.
[2]	Options exercisable represent “in-the-money” vested options based upon the weighted-average exercise price of vested options compared to the Company’s stock price on August 3, 2019.

Summary of Stock Option Activity (Parenthetical) (Detail)	6 Months Ended
	Aug. 03, 2019 $ / shares
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Options exercised, exercise prices range, lower limit	$ 14.59
Options exercised, exercise prices range, upper limit	$ 23.53

Black-Scholes Option Valuation Assumptions (Detail)

6 Months Ended

Aug. 03, 2019

Aug. 04, 2018

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Risk-free interest rate

^[1]

2.20%

2.60%

Dividend yield

2.40%

2.50%

Volatility factor

^[2]

38.20%

39.50%

Weighted-average expected term

^[3]

4 years 4 months 24 days

4 years 6 months

[1]	Based on the U.S. Treasury yield curve in effect at the time of grant with a term consistent with the expected life of our stock options.
[2]	Based on a combination of historical volatility of the Company’s common stock and implied volatility.
[3]	Represents the period of time options are expected to be outstanding. The weighted average expected option terms were determined based on historical experience.

Summary of Restricted Stock Activity (Detail) shares in Thousands	6 Months Ended
	Aug. 03, 2019 $ / shares shares
Time Based Restricted Stock Units
Shares
Nonvested - beginning of period \| shares	1,999
Granted \| shares	1,141
Vested \| shares	(906)
Cancelled \| shares	(47)
Nonvested - end of period \| shares	2,187
Weighted-Average Grant Date Fair Value
Nonvested - beginning of period \| $ / shares	$ 18.00
Granted \| $ / shares	17.54
Vested \| $ / shares	16.06
Cancelled \| $ / shares	16.82
Nonvested - end of period \| $ / shares	$ 18.58
Performance-Based Restricted Stock Units
Shares
Nonvested - beginning of period \| shares	1,900
Granted \| shares	591
Vested \| shares	(245)
Cancelled \| shares	(346)
Nonvested - end of period \| shares	1,900
Weighted-Average Grant Date Fair Value
Nonvested - beginning of period \| $ / shares	$ 17.44
Granted \| $ / shares	19.87
Vested \| $ / shares	15.99
Cancelled \| $ / shares	16.00
Nonvested - end of period \| $ / shares	$ 19.14

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Income Tax Disclosure [Abstract]
Effective income tax rate	24.40%	21.90%	23.30%	21.90%
Increase (decrease) in unrecognized tax benefits	$ (2.0)
Reasonably possible amount of reduction in unrecognized tax benefit over the next twelve months	$ 2.5		$ 2.5

Restructuring Charges - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Aug. 03, 2019	Aug. 03, 2019	Aug. 04, 2018	Feb. 02, 2019
Restructuring Cost And Reserve [Line Items]
Restructuring charges	$ 2,728	$ 4,272	$ 1,568
Accrued liability	4,066	4,066		$ 6,629
Accrued Compensation
Restructuring Cost And Reserve [Line Items]
Accrued liability	2,300	2,300
Other Current Liabilities
Restructuring Cost And Reserve [Line Items]
Accrued liability	$ 1,800	$ 1,800

Rollforward of Liabilities Recognized in Consolidated Balance Sheets (Detail) $ in Thousands	6 Months Ended
	Aug. 03, 2019 USD ($)
Restructuring And Related Activities [Abstract]
Accrued liability as of February 2, 2019	$ 6,629
Add: Costs incurred, excluding non-cash charges	4,272
Less: Cash payments and adjustments	(6,835)
Accrued liability as of August 3, 2019	$ 4,066