BARNES & NOBLE EDUCATION, INC., 10-K filed on 7/12/2017
Annual Report
v3.7.0.1
Document and Entity Information - USD ($)
$ in Millions
 12 Months Ended
Apr. 29, 2017
Jun. 16, 2017
Oct. 29, 2016
Document Information [Line Items]      
Document Type 10-K    
Amendment Flag false    
Document Period End Date Apr. 29, 2017    
Document Fiscal Year Focus 2017    
Document Fiscal Period Focus FY    
Trading Symbol BNED    
Entity Registrant Name Barnes & Noble Education, Inc.    
Entity Central Index Key 0001634117    
Current Fiscal Year End Date --04-30    
Entity Well-known Seasoned Issuer No    
Entity Current Reporting Status Yes    
Entity Voluntary Filers No    
Entity Filer Category Accelerated Filer    
Entity Common Stock, Shares Outstanding   46,516,890  
Entity Public Float     $ 423
v3.7.0.1
Consolidated Statements of Operations and Comprehensive Loss - USD ($)
shares in Thousands, $ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Sales:      
Product sales and other $ 1,638,934 $ 1,579,617 $ 1,544,975
Rental income 235,428 228,412 228,023
Total sales 1,874,362 1,808,029 1,772,998
Product and other cost of sales 1,280,374 1,224,955 1,198,300
Rental cost of sales 136,625 129,725 131,125
Total cost of sales 1,416,999 1,354,680 1,329,425
Gross profit 457,363 453,349 443,573
Selling and administrative expenses 379,095 372,821 359,504
Depreciation and amortization expense 53,318 52,690 50,509
Business Development 9,605 2,398 0
Impairment loss (non-cash) 0 11,987 0
Restructuring costs 1,790 8,830 0
Operating income 13,555 4,623 33,560
Interest expense, net 3,464 1,872 210
Income before income taxes 10,091 2,751 33,350
Income tax expense 4,730 2,667 14,218
Net income $ 5,361 $ 84 $ 19,132
Earnings per share of common stock      
Earnings Per Share, Basic $ 0.12 $ 0.00 $ 0.33
Earnings Per Share, Diluted $ 0.11 $ 0.00 $ 0.33
Weighted average common shares outstanding      
Basic 46,317 46,238 38,452
Diluted 46,763 46,479 38,493
v3.7.0.1
Consolidated Balance Sheets - USD ($)
$ in Thousands
Apr. 29, 2017
Apr. 30, 2016
Current assets:    
Cash and cash equivalents $ 19,003 $ 28,568
Receivables, net 86,040 50,924
Merchandise inventories, net 434,064 312,747
Textbook rental inventories 52,826 47,760
Prepaid expenses and other current assets 10,698 6,453
Total current assets 602,631 446,452
Property and equipment, net 116,613 111,185
Intangible assets, net 209,885 199,663
Goodwill 329,467 280,911
Other noncurrent assets 41,236 33,472
Total assets 1,299,832 1,071,683
Current liabilities:    
Accounts payable 192,742 152,175
Accrued liabilities 120,478 105,877
Short-term Debt 100,000 0
Total current liabilities 413,220 258,052
Long-term deferred taxes, net 16,871 29,865
Other long-term liabilities 96,433 75,380
Long-term Line of Credit, Noncurrent 59,600 0
Total liabilities 586,124 363,297
Commitments and contingencies 0
Parent company investment 0 0
Preferred stock, $0.01 par value 0 0
Common stock, $0.01 par value 494 486
Additional paid-in capital 708,871 699,513
Retained earnings 32,363 27,002
Treasury stock, at cost (28,020) (18,615)
Total stocholders' equity 713,708 708,386
Total liabilities and Parent Company equity $ 1,299,832 $ 1,071,683
v3.7.0.1
Consolidated Balance Sheet Parenthetical (Parentheticals) - $ / shares
Apr. 29, 2017
Apr. 30, 2016
Preferred Stock, Par or Stated Value Per Share $ 0.01 $ 0.01
Preferred Stock, Shares Authorized 5,000,000 5,000,000
Preferred Stock, Shares Issued 0 0
Preferred Stock, Shares Outstanding 0 0
Common Stock, Par or Stated Value Per Share $ 0.01 $ 0.01
Common Stock, Shares Authorized 200,000,000 200,000,000
Common Stock, Shares, Issued 49,372,000 48,645,000
Common Stock, Shares, Outstanding 46,517,000 46,755,000
v3.7.0.1
Consolidated Statements of Cash Flows - USD ($)
shares in Thousands, $ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Cash flows from operating activities:      
Net income $ 5,361 $ 84 $ 19,132
Adjustments to reconcile net income to net cash flows from operating activities:      
Depreciation and amortization expense 53,318 52,690 50,509
Amortization of deferred financing costs 792 488 0
Impairment loss (non-cash) 0 11,987 0
Deferred taxes (11,961) (11,868) (11,332)
Stock-based compensation expense 9,366 6,670 4,741
Increase in other long-term liabilities 14,235 5,892 8,335
Changes in other operating assets and liabilities, net (3,125) 17,140 (53,660)
Net cash flows provided by operating activities 67,986 83,083 17,725
Cash flows from investing activities:      
Purchases of property and equipment (34,670) (50,790) (48,452)
Acquisition of business, net of cash acquired (186,720) (17,843) 0
Net increase in other noncurrent assets (3,048) (111) (9,733)
Net cash flows used in investing activities (224,438) (68,744) (58,185)
Cash flows from financing activities:      
Net changes in Barnes & Noble, Inc. Investment 0 6,423 (29,334)
Acquisition of Preferred Membership Interests 0 0 (76,175)
Proceeds from borrowings on Credit Facility 312,700 60,600 0
Repayments of borrowings on Credit Facility (153,100) (60,600) 0
Payments of deferred financing costs (2,912) (3,251) 0
Payments for Repurchase of Common Stock (9,405) (18,615) 0
Net cash flows (used in) provided by financing activities 147,283 (28,289) (46,841)
Net (decrease) increase in cash and cash equivalents (9,169) (13,950) (87,301)
Cash and cash equivalents at beginning of period 21,697 30,866 44,816
Changes in other operating assets and liabilities, net:      
Receivables, net (6,407) 25,732 (37,550)
Merchandise inventories 6,197 (15,323) (22,078)
Textbook rental inventories (4,150) (210) (487)
Prepaid expenses and other current assets (2,093) (2,206) (504)
Accounts payable and accrued liabilities 3,328 9,147 6,959
Changes in other operating assets and liabilities, net (3,125) 17,140 (53,660)
Supplemental Cash Flow Information [Abstract]      
Interest paid 2,082 1,145 210
Income taxes paid (net of refunds) 1,473 13,934 25,171
Payments for preferred membership interest $ 0 $ 0 $ 76,175
Acquisition of preferred membership interest shares     2,737
v3.7.0.1
Consolidated Statement of Equity Statement - USD ($)
$ in Thousands
Total
Treasury Stock [Member]
Additional Paid-in Capital [Member]
Common Stock, Shares, Issued 0    
Common Stock, Value, Issued $ 0    
Additional Paid-in Capital 0    
Retained Earnings 0    
Parent Company Investment $ 726,669    
Treasury Stock, Shares 0    
Treasury Stock, Value $ 0    
Total Equity 726,669    
Net Income (Loss) Attributable to Parent $ 84    
Common stock repurchased, shares 1,715,269    
Common stock repurchased, value   $ (16,612)  
Shares repurchased for tax withholdings for vested stock awards 174,511    
Acquisition of Preferred Membership Interests $ 0    
Common Stock, Shares, Issued 48,645,000    
Common Stock, Value, Issued $ 486    
Additional Paid-in Capital 699,513    
Retained Earnings 27,002    
Parent Company Investment $ 0    
Treasury Stock, Shares 1,890,000    
Treasury Stock, Value $ (18,615)    
Total Equity 708,386    
Net Income (Loss) Attributable to Parent 5,361    
Stock-based compensation expense 9,366   $ 9,366
Vested equity awards, value $ 0    
Common stock repurchased, shares 688,948 689,000  
Common stock repurchased, value $ (6,718) $ (6,718)  
Shares repurchased for tax withholdings for vested stock awards 276,292 276,000  
Shares repurchased for tax withholdings for vested stock awards, value $ (2,687) $ (2,687)  
Acquisition of Preferred Membership Interests $ 0    
Common Stock, Shares, Issued 49,372,000    
Common Stock, Value, Issued $ 494    
Additional Paid-in Capital 708,871    
Retained Earnings 32,363    
Parent Company Investment $ 0    
Treasury Stock, Shares 2,855,000    
Treasury Stock, Value $ (28,020)    
Total Equity $ 713,708    
v3.7.0.1
Organization (Notes)
 12 Months Ended
Apr. 29, 2017
Organization
Note 1. Organization
Description of Business
Barnes & Noble Education, Inc. (“BNED”) is one of the largest contract operators of physical and virtual bookstores for college and university campuses, and private/parochial K-12 schools, across the United States, and a leading provider of digital education services. Through our Barnes & Noble College (“BNC”) and MBS Textbook Exchange (“MBS”) subsidiaries, we operate 1,481 physical and virtual bookstores and serve more than 6 million students enrolled in higher education institutions and K-12 schools.
BNC operates 769 physical campus bookstores, the majority of which also have school-branded e-commerce sites operated by BNC, and BNC also includes our digital operations. Our campus stores are a social and academic hub through which students can access affordable course materials and affinity products, including new and used print and digital textbooks, which are available for sale or rent; emblematic apparel and gifts; trade books; computer products; school and dorm supplies; café offerings; convenience food and beverages; and graduation products. BNC product offerings also include a suite of digital content, software, and services through our LoudCloud platform, such as predictive analytics, a variety of courseware built on a foundation of open educational resources ("OER"), and competency-based learning solutions.
Our MBS subsidiary operates two highly integrated businesses. The MBS Direct business is the largest contract operator of virtual bookstores for college and university campuses, and private/parochial K-12 schools. MBS Direct operates 712 virtual bookstores, offering new and used print and digital textbooks, which are available for sale or rent. Additionally, MBS Direct sells textbooks directly to students through textbooks.comSM, one of the largest e-commerce sites for new and used textbooks. MBS Wholesale is one of the largest textbook wholesalers in the country, providing a comprehensive selection of new and used textbooks at a low cost of supply to more than 3,700 physical bookstores, including BNC’s 769 campus bookstores.
Educational institutions increasingly are outsourcing bookstore operations, investing in data-driven analytical tools, and offering students more affordable options for textbooks and other learning tools. Given these continuing trends, we are well-positioned to capture new market share and partner with an increasing number of schools across the country. As demand for new, improved, and more affordable products and services increase in the rapidly changing education landscape, we are working to evolve our business model and enhance our solutions. We aim to be an even stronger partner for schools and meet customer needs by expanding our physical and virtual bookstore service capabilities, courseware offerings and digital platform services. We believe that our recent strategic actions, including the acquisition of LoudCloud, Promoversity and MBS, and development of courseware, have substantially enhanced our competitive position. We continue to aggressively innovate and collaborate with our partners to provide solutions that extend well beyond course materials sourcing and sales to include new digital services that support successful student outcomes.
For additional information related to our Strategies, see Part I - Item 1. Business - Overview - Growth Drivers.
v3.7.0.1
Summary of Significant Accounting Policies (Notes)
 12 Months Ended
Apr. 29, 2017
Summary of Significant Accounting Policies
Note 2. Summary of Significant Accounting Policies
Basis of Presentation
Our consolidated financial statements reflect our consolidated financial position, results of operations and cash flows in conformity with accounting principles generally accepted in the United States (“GAAP”). In the opinion of the Company’s management, the accompanying consolidated financial statements of the Company contain all adjustments (consisting of only normal recurring adjustments) necessary to present fairly its consolidated financial position and the results of its operations and cash flows for the periods reported.
Our fiscal year is comprised of 52 or 53 weeks, ending on the Saturday closest to the last day of April. The fiscal year periods for each of the last three fiscal years consisted of the 52 weeks ended April 29, 2017 (Fiscal 2017), 52 weeks ended April 30, 2016 (Fiscal 2016), and 52 weeks ended May 2, 2015 (Fiscal 2015).
Our retail business (BNC and MBS Direct) is seasonal, with sales generally highest in the second and third fiscal quarters, when college students generally purchase textbooks for the upcoming semesters, and lowest in the first and fourth fiscal quarters. Sales attributable to the MBS wholesale business are generally highest in our first, second and third quarter as it sells textbooks for retail distribution, which somewhat offsets the decreased first quarter sales attributable to our retail business. MBS has significantly lower operating profit or operating loss realized during the fourth quarter (generally February through April).
Stand-alone basis financial statements (Prior to the Spin-Off)
On August 2, 2015, we completed the legal separation ("Spin-Off") from Barnes & Noble, Inc., at which time we began to operate as an independent publicly-traded company.
For the first quarter of Fiscal 2016 and Fiscal 2015 (periods presented prior to the Spin-Off), (collectively referred to as the "stand-alone periods"), our consolidated financial statements are presented on a stand-alone basis since we were still part of Barnes & Noble, Inc. Our consolidated financial statements were derived from the consolidated financial statements and accounting records of Barnes & Noble, Inc.. Our consolidated financial statements include certain assets and liabilities that have historically been held at the Barnes & Noble, Inc. corporate level but are specifically identifiable or otherwise attributable to us. For additional information, see Note 10. Barnes & Noble, Inc. Transactions.
Consolidated basis financial statements (Subsequent to the Spin-Off)
The Spin-Off from Barnes & Noble, Inc. occurred on August 2, 2015 and therefore, the results of operations are presented on a consolidated basis for the 39 weeks ended April 30, 2016 (i.e. second, third and fourth quarter of Fiscal 2016) which includes direct costs incurred with Barnes & Noble, Inc. under various agreements. Certain corporate and shared service functions historically provided by Barnes & Noble, Inc. (as described above) will continue to be provided by Barnes & Noble, Inc. under the Transition Services Agreement. For additional information, see Note 10. Barnes & Noble, Inc. Transactions.
For our Fiscal 2017, the results of operations for the entire 52 weeks ended April 29, 2017, our consolidated financial statements are presented on a consolidated basis.
On February 27, 2017, we acquired MBS Textbook Exchange, LLC ("MBS"). The consolidated financial statements for the 52 weeks ended April 29, 2017 include the financial results of MBS from the acquisition date, February 27, 2017, to April 29, 2017. Subsequent to the acquisition, the consolidated financial statements include the accounts of MBS and all material intercompany accounts and transactions have been eliminated in consolidation. For additional information, see Note 4. Acquisitions and Strategic Agreements.
Use of Estimates
In preparing financial statements in conformity with GAAP, we are required to make estimates and assumptions that affect the reported amounts in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
Cash and Cash Equivalents
We consider all short-term, highly liquid instruments purchased with an original maturity of three months or less to be cash equivalents.
Restricted Cash
Restricted cash of $1,996 and $698 is included in prepaid and other current assets and other noncurrent assets, respectively, in the consolidated balance sheet as of April 29, 2017. Restricted cash of $301 and$1,996 is included in prepaid and other current assets and other noncurrent assets, respectively, in the consolidated balance sheet as of April 30, 2016. We generally do not control these accounts and these funds are amounts held for future scheduled distributions related to acquisitions. Such funds are invested principally in money market funds.
Accounts Receivable
Receivables represent customer, private and public institutional and government billings (colleges, universities and other financial aid providers), credit/debit card receivables, advances for book buybacks, advertising and other receivables due within one year.
Components of accounts receivables are as follows:
 
 
As of
 
 
April 29, 2017
 
April 30, 2016
Trade accounts
 
$
58,460

 
$
35,578

Advances for book buybacks
 
12,779

 
—

Credit/debit card receivables
 
3,737

 
3,253

Other receivables
 
11,064

 
12,093

Total receivables, net
 
$
86,040

 
$
50,924


Accounts receivable are presented on our consolidated balance sheets net of allowances. An allowance for doubtful accounts is determined through an analysis of the aging of accounts receivable and assessments of collectability based on historical trends, the financial condition of our customers and an evaluation of economic conditions. We write-off uncollectible trade receivables once collection efforts have been exhausted and record bad debt expenses related to textbook rentals that are not returned and we are unable to successfully charge the customer. Allowance for doubtful accounts were $2,259, and $2,320 for Fiscal 2017 and Fiscal 2016, respectively.
Merchandise Inventories
Merchandise inventories, which consist of finished goods, are stated at the lower of cost or market. Market value of our inventory, which is all purchased finished goods, is determined based on its estimated net realizable value, which is generally the selling price less normally predictable costs of disposal and transportation. Reserves for non-returnable inventory are based on our history of liquidating non-returnable inventory.
Cost is determined primarily by the retail inventory method for our BNC segment and last-in first out, or “LIFO”, method for our MBS segment. Our textbook inventories, for BNC and MBS, and trade book inventories are valued using the LIFO method and the related reserve was not material to the recorded amount of our inventories. There were no LIFO adjustments in Fiscal 2017, Fiscal 2016 and Fiscal 2015.
We also estimate and accrue shortage for the period between the last physical count of inventory and the balance sheet date. Shortage rates are estimated and accrued based on historical rates and can be affected by changes in merchandise mix and changes in actual shortage trends.
The products that we sell originate from a wide variety of domestic and international vendors. BNC's four largest suppliers, excluding MBS, accounted for approximately 40.4% of our merchandise purchased during the twelve month period ended April 29, 2017. For MBS, the four largest suppliers, excluding BNC, accounted for approximately 36.8% of merchandise purchases during the twelve month period ended April 29, 2017.
Textbook Rental Inventories
Physical textbooks out on rent are categorized as textbook rental inventories. At the time a rental transaction is consummated, the book is removed from merchandise inventories and moved to textbook rental inventories at cost. The cost of the book is amortized down to its estimated residual value over the rental period. The related amortization expense is included in cost of goods sold. At the end of the rental period, upon return, the book is removed from textbook rental inventories and recorded in merchandise inventories at its amortized cost.
Property and Equipment
Property and equipment are carried at cost, less accumulated depreciation. Depreciation is computed using the straight-line method over estimated useful lives. Maintenance and repairs are expensed as incurred, however major maintenance and remodeling costs are capitalized if they extend the useful life of the asset. We had $41,224, $42,213, and$40,257 of depreciation expense for Fiscal 2017 and Fiscal 2016 and Fiscal 2015, respectively.
Components of property and equipment are as follows:
 
 
 
 
As of
 
 
Useful Life
 
April 29, 2017
 
April 30, 2016
Property and equipment:
 
 
 
 
 
 
Leasehold improvements
 
(a)
 
$
144,260

 
$
142,595

Machinery, equipment and display fixtures
 
3 - 5
 
235,153

 
219,289

Computer hardware and capitalized software costs
 
(b)
 
100,749

 
88,937

Office furniture and other
 
2 - 7
 
52,339

 
46,856

Construction in progress
 
 
 
18,551

 
17,302

Total property and equipment
 
 
 
551,052

 
514,979

Less accumulated depreciation and amortization
 
 
 
434,439

 
403,794

Total property and equipment, net
 
 
 
$
116,613

 
$
111,185

(a)
Leasehold improvements are capitalized and depreciated over the shorter of lease term or the useful life of the improvements, ranging from one to 15 years.
(b)
System costs are capitalized and amortized over their estimated useful lives, from the date the systems become operational. Purchased software is generally amortized over a period of between 2-5 years.
Other Long-Lived Assets
Our other long-lived assets include property and equipment and amortizable intangibles. We had $209,885 and $199,663 of amortizable intangible assets, net of amortization, as of April 29, 2017 and April 30, 2016, respectively. These amortizable intangible assets relate primarily to our customer and bookstore relationships with our colleges and university clients, and technology acquired. For additional information related to amortizable intangibles, see Note 9. Supplementary Information - Intangible Assets.
We review our long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable and consider market participants in accordance with Accounting Standards Codification ("ASC") 360-10, Accounting for the Impairment or Disposal of Long-Lived Assets. We evaluate long-lived assets for impairment at the school contract combined store level, which is the lowest level at which individual cash flows can be identified. When evaluating long-lived assets for potential impairment, we first compare the carrying amount of the assets to the school contract combined store level’s estimated future undiscounted cash flows. If the estimated future cash flows are less than the carrying amount of the assets, an impairment loss calculation is prepared. The impairment loss calculation compares the carrying amount of the assets to the school contract combined store level’s fair value based on its estimated discounted future cash flows. If required, an impairment loss is recorded for that portion of the asset’s carrying value in excess of fair value. Impairment losses related to school contracts included in selling and administrative expenses totaled $23, $59, and $7 during Fiscal 2017, Fiscal 2016 and Fiscal 2015, respectively.
In Fiscal 2016, we implemented a plan to restructure our digital operations. As a result of this restructuring, we recorded a non-cash impairment loss of $11,987. For additional information, see Note 9. Supplementary Information - Impairment Loss (non-cash) and Restructuring Costs.
Goodwill
The costs in excess of net assets of businesses acquired are carried as goodwill in the accompanying consolidated balance sheets. As of April 29, 2017 and April 30, 2016, we had $329,467 and $280,911 of goodwill, respectively. For additional information, see Note 9. Supplementary Information - Goodwill.
ASC No. 350-30, Goodwill and Other Intangible Assets ("ASC 350-30"), requires that goodwill be tested for impairment at least annually or earlier if there are impairment indicators. We perform a two-step process for impairment testing of goodwill as required by ASC 350-30. The first step of this test, used to identify potential impairment, compares the fair value of a reporting unit with its carrying amount. The second step (if necessary) measures the amount of the impairment.
We completed our annual goodwill impairment test as of the first day of the third quarter of Fiscal 2017. In performing the valuation, we used cash flows that reflected management’s forecasts and discount rates that included risk adjustments consistent with the current market conditions. Based on the results of the step one testing, fair value of the one reporting unit exceeded its carrying value; therefore, the second step of the impairment test was not required to be performed and no goodwill impairment was recognized.
As of the date of our annual goodwill impairment test, the excess fair value over carrying value was approximately 5%. Goodwill is subject to further risk of impairment if comparable store sales decline, store closings accelerate or digital projections fall short of expectations. Additionally, changes in the structure of our business as a result of future reorganizations, acquisitions or divestitures of assets or businesses could result in future impairments of goodwill. Refer to Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations - Critical Accounting Policies and Estimates for a discussion of key assumptions used in our testing.
Revenue Recognition and Deferred Revenue
Revenue from sales of our products at physical locations is recognized at the time of sale. Revenue from sales of products ordered through our websites is recognized upon receipt of our products by our customers. Revenue from the sale of traditional textbooks from our wholesale and virtual bookstores is recognized at the time of shipment. Additional revenue is recognized for shipping charges billed to customers.
We rent both physical and digital textbooks. Revenue from the rental of physical textbooks is deferred and recognized over the rental period commencing at point of sale. We offer a buyout option to allow the purchase of a rented physical textbook at the end of the rental period. We record the buyout purchase when the customer exercises and pays the buyout option price. In these instances, we would accelerate any remaining deferred rental revenue at the point of sale.
Revenue from the rental of digital textbooks is recognized at time of sale. A software feature is embedded within the content of our digital textbooks, such that upon expiration of the rental term the customer is no longer able to access the content. While the digital rental allows the customer to access digital content for a fixed period of time, once the digital content is delivered to the customer our performance obligation is complete. We primarily record digital textbook rental sales on a net basis in accordance with ASC 605-45-45, Reporting Revenue Gross as a Principal versus Net as an Agent.
Sales taxes collected from our customers are excluded from reported revenues. All of our sales are recognized as revenue on a “net” basis, including sales in connection with any periodic promotions offered to customers. We do not treat any promotional offers as expenses.
Cost of Sales
Our cost of sales primarily include costs such as merchandise costs, textbook rental amortization, warehouse costs related to inventory management and order fulfillment, certain payroll costs, and management service agreement costs, including rent expense, related to our college and university contracts and other facility related expenses.
Selling and Administrative Expenses
Our selling and administrative expenses consist primarily of store payroll and store operating expenses. Selling and administrative expenses also include stock-based compensation and general office expenses, such as executive oversight, merchandising, field support, finance, human resources, benefits, training, legal, and information technology, as well as our investments in our digital platform.
Stock-Based Compensation
During the second quarter of Fiscal 2016 and Fiscal 2017, we granted awards in accordance with the Barnes & Noble Education Inc. Equity Incentive Plan (the "Equity Incentive Plan"). Types of equity awards that can be granted under the Equity Incentive Plan include options, restricted stock ("RS"), restricted stock units ("RSU") and performance-based awards. We have not granted options under the Equity Incentive Plan. See Note 13. Stock-Based Compensation for a further discussion of our stock-based incentive plan.
We recognize compensation expense for awards ratably over the requisite service period of the award, which is generally three years. We recognize compensation expense based on the number of awards expected to vest using an estimated average forfeiture rate. We calculate the fair value of stock-based awards based on the closing price on the date the award was granted.
Advertising Costs
The costs of advertising are expensed as incurred during the year pursuant to ASC No. 720-35, Advertising Costs. Advertising costs charged to selling and administrative expenses were $7,437, $8,193, and $8,614 during Fiscal 2017, Fiscal 2016 and Fiscal 2015, respectively.
Income Taxes
The provision for income taxes includes federal, state and local income taxes currently payable and those deferred because of temporary differences between the financial statement and tax basis of assets and liabilities. The deferred tax assets and liabilities are measured using the enacted tax rates and laws that are expected to be in effect when the differences reverse. We regularly review deferred tax assets for recoverability and establish a valuation allowance, if determined to be necessary. For additional information, see Note 14. Income Taxes.
As of April 29, 2017, other long-term liabilities includes $77,141 related to the long-term tax payable associated with the LIFO reserve. The LIFO reserve is impacted by changes in the CPI and inventory levels. Management believes it is remote that the long-term tax payable associated with the LIFO reserve will be payable or will result in a cash tax payment in the foreseeable future, assuming that the historical CPI and inventory trends continue and  LIFO will continue to be an acceptable inventory method for tax purposes.
Earnings Per Common Share
Basic earnings per share represent net earnings to common stockholders divided by the weighted-average number of common shares outstanding for the period. Diluted earnings per share reflect, in periods in which they have a dilutive effect, the impact of our stock based compensation. See Note 6. Equity and Earnings Per Share for further information regarding the calculation of basic and diluted earnings per common share.
v3.7.0.1
Recent Accounting Pronouncements (Notes)
 12 Months Ended
Apr. 29, 2017
Recent Accounting Pronouncements
Note 3. Recent Accounting Pronouncements
Pronouncements Adopted in Fiscal 2017
In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2017-04, Intangibles - Goodwill and Other (Topic 350) to simplify the test for Goodwill Impairment. The revised guidance eliminates the existing Step 2 of the goodwill impairment test which required an entity to compute the implied fair value of its goodwill at the testing date in order to measure the amount of the impairment charge when the fair value of the reporting unit failed Step 1 of the goodwill impairment test. Under the revised guidance, an entity would recognize an impairment charge for the amount by which the carrying amount of the reporting unit exceeds its fair value; however, the loss recognized would not exceed the total amount of goodwill allocated to the reporting unit. The guidance will be applied on a prospective basis. We are required to adopt this standard in the first quarter of Fiscal 2021 and early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We plan to early adopt this standard for our next goodwill testing date.
In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805) to clarify the definition of a business. The revised guidance creates a more robust framework to use in determining whether a set of assets and activities is a business. The guidance will be applied on a prospective basis on or after the effective date. We are required to adopt this standard in the first quarter of Fiscal 2019 and early adoption is permitted. We have elected to early adopt this new guidance as of the third quarter of Fiscal 2017. There has been no impact on our consolidated financial statements from adoption of this new guidance.
In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230) to reduce diversity in practice related to the classification and presentation of changes in restricted cash on the statement of cash flows under Topic 230, Statement of Cash Flows. The revised guidance is to be applied on a retrospective basis and requires that amounts generally described as restricted cash and restricted cash equivalents be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. We are required to adopt this standard in the first quarter of Fiscal 2019, however, we have elected to early adopt this new guidance, as permitted, as of the fourth quarter of Fiscal 2017. We have included restricted cash of $2,297 and $0 in the end-of-period cash balances for Fiscal 2016 and Fiscal 2015, respectively. The offset to the $2,297 restricted cash reclassification is reflected as an increase to changes in other operating assets and liabilities of $301 and an increase in other noncurrent assets of $1,996 in our consolidated statement of cash flows for Fiscal 2016.
In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flow (Topic 230) ("ASU 2016-15") to reduce diversity in practice over the presentation and classification of certain types of cash receipts and cash payments. The revised guidance seeks to achieve this objective by providing specific guidance over eight identified cash flow issues. We are required to adopt this standard in the first quarter of Fiscal 2019 and early adoption is permitted. The guidance will be applied on a retrospective basis beginning with the earliest period presented. We have evaluated the guidance of this new standard to determine the impact of adoption on our consolidated financial statements and concluded that there is no impact. We elected to early adopt this guidance in the first quarter of Fiscal 2017.
Pronouncements Pending Adoption
In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) ("ASU 2016-01") to increase transparency and comparability by providing additional information to users of financial statements regarding an entity's leasing activities. The revised guidance seeks to achieve this objective by requiring reporting entities to recognize lease assets and lease liabilities on the balance sheet for substantially all lease arrangements. We are required to adopt this standard in the first quarter of Fiscal 2020 and early adoption is permitted. The guidance will be applied on a modified retrospective basis beginning with the earliest period presented. We are currently evaluating this standard to determine the impact of adoption on our consolidated financial statements.
In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”). The standard provides companies with a single model for use in accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance, including industry-specific revenue guidance. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. New disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers are also required. In 2016, the FASB issued final amendments to clarify the implementation guidance for principal versus agent considerations, identifying performance obligations and the accounting for licenses of intellectual property. In August 2015, FASB issued ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which effectively delayed the adoption date by one year. We are required to adopt ASU 2014-09 in the first quarter of Fiscal 2019 and early adoption is permitted. The new standard is required to be applied retrospectively to each prior reporting period (full retrospective method) or retrospectively with the cumulative effect of initially applying the standard recognized as an adjustment to opening retained earnings at the date of initial adoption (modified retrospective method).
We are in the process of analyzing the impacts of the guidance across all of our revenue streams. This includes reviewing current accounting policies and practices to identify potential differences that would result from applying the guidance. The majority of our revenue is generated from sales of finished products, which will continue to be recognized when control is transferred to the customer. Our assessment includes an evaluation of the impact that the guidance will have on our accounting for marketing revenue and other income streams. We are evaluating the guidance for our software license revenue, which is currently not material and is recognized over time, but may be recognized at a point in time under the new guidance. We are continuing to evaluate our revenue streams related to our digital product offerings. We do not have loyalty programs or gift cards. While our assessment of the impacts of the guidance is still in process, we believe the adoption of the guidance is not expected to have a material impact on our consolidated financial statements, other than the additional disclosure requirements. We plan to adopt the standard in the first quarter of Fiscal 2019 using the modified retrospective method.
v3.7.0.1
Acquisitions and Strategic Agreements Acquisitions and Strategic Agreements (Notes)
 12 Months Ended
Apr. 29, 2017
Business Combinations [Abstract]  
Business Combination Disclosure [Text Block]
Note 4. Acquisitions and Strategic Agreements
Acquisitions
MBS
On February 27, 2017, we completed the purchase of all issued and outstanding units of MBS Textbook Exchange, LLC. MBS operates two highly integrated businesses. The MBS Direct business is the largest contract operator of virtual bookstores for college and university campuses, and private/parochial K-12 schools. MBS Direct operates 712 virtual bookstores, offering new and used print and digital textbooks, which are available for sale or rent. Additionally, MBS Direct sells textbooks directly to students through textbooks.comSM, one of the largest e-commerce sites for new and used textbooks. MBS Wholesale is one of the largest textbook wholesalers in the country, providing a comprehensive selection of new and used textbooks at a low cost of supply to more than 3,700 physical bookstores, including BNC’s 769 campus bookstores. Refer to Item 1. Business - Overview - MBS, Note 5. Segment Reporting and Note 11. Related Party Transactions for further discussion of the acquired business.
We acquired 100% of the equity interests of MBS for cash consideration of $186,974, including cash and restricted cash acquired of $1,171, and was financed with cash from operations as well as proceeds from our existing credit facility. The preliminary allocation of the purchase price was based upon a preliminary valuation and our estimates and assumptions are subject to change within the purchase price allocation period (generally one year from the acquisition date). We are still in the process of valuing the assets acquired and liabilities to be assumed; thus, allocation of the acquisition consideration is subject to change.
The following is a summary of consideration paid for the acquisition:
Cash paid to Seller or escrow
 
$
165,499

Consideration to Seller for pre-closing costs
 
4,657

Cash paid for Seller closing costs
 
4,044

Contract purchase price
 
$
174,200

Consideration for payment to settle Seller's outstanding short-term borrowings
 
24,437

Consideration for reimbursement of pre-acquisition tax liability to Seller
 
14,668

Less: Consideration to Seller for pre-closing costs
 
(4,657
)
Less: Consideration for settlement of pre-existing payable to Seller
 
(21,674
)
Total value of consideration transferred
 
$
186,974

 
 
 


The following is a summary of the preliminary estimated fair values of the net assets acquired:
Total estimated consideration transferred
 
$
186,974

Cash and cash equivalents
 
$
472

Accounts receivable, net
 
28,177

Merchandise inventory
 
128,431

Property and equipment
 
12,403

Intangible assets
 
21,576

Prepaid and other assets
 
4,748

Total assets
 
$
195,807

Accounts payable
 
$
35,383

Accrued expenses
 
8,799

Other long-term liabilities
 
12,769

Total liabilities
 
$
56,951

Net assets to be acquired
 
$
138,856

Goodwill
 
$
48,118


Identified intangible assets include the following:
Type of Intangible
 
Amount
 
Estimated Useful Life
Favorable Lease
 
$
1,076

 
6.5
Trade Name
 
3,500

 
10
Technology
 
1,500

 
3
Book Store Relationship
 
13,000

 
13
Direct Customer Relationship
 
2,000

 
15
Non-Compete Agreements
 
500

 
3
Total Intangibles:
 
$
21,576

 
 

The consolidated financial statements for the 52 weeks ended April 29, 2017 include the financial results of MBS from the acquisition date, February 27, 2017, to April 29, 2017, including sales of $34,091 and net loss of $(2,630). As the acquisition was material to our consolidated financial statements, the following represents the pro forma consolidated income statement as if MBS had been included in the consolidated results for the entire fiscal year for Fiscal 2017 and Fiscal 2016:
Pro forma consolidated income statement
 
 
 
 
52 weeks ended
 
April 29, 2017
 
April 30, 2016
Sales
$
2,247,825

 
$
2,216,628

Net income
$
32,055

 
$
25,022


These amounts have been calculated after applying our accounting policies and adjusting the results of MBS to reflect the additional depreciation and amortization that would have been charged assuming the fair value adjustments to property, plant and equipment and intangible assets had been applied on May 3, 2015, and includes the elimination of all significant intercompany accounts and transactions, together with the consequential tax effects.
Promoversity

In June 2016, we completed the purchase of substantially all of the assets of Promoversity, a custom merchandise supplier and e-commerce storefront solution serving the collegiate bookstore business and its customers. The acquisition enables us to customize our e-commerce offerings and drive on-campus apparel sales. The acquisition purchase price was $1,417, including working capital, and was financed with cash from operations. The purchase price was allocated primarily as follows: $741 intangible assets (with a 5 year amortization period), $441 goodwill, $221 net current assets, and $500 future performance-based obligations. This acquisition is not material to our consolidated financial statements and therefore, disclosure of pro forma financial information has not been presented. The results of operations reflect the period of ownership of the acquired business.
LoudCloud Systems, Inc.
In March 2016, we completed the purchase of substantially all of the assets of LoudCloud Systems, Inc. (“LoudCloud”). LoudCloud will be a foundational asset for our digital and learning services. LoudCloud is a sophisticated digital platform and analytics provider with a proven product and existing clients in higher education, the for-profit sector and K-12 markets. LoudCloud currently has product capabilities that include a competency based courseware platform, a learning analytics platform and services, an eReading product, and a learning management system ("LMS"). Its software captures and analyzes key behavioral and performance metrics from students, allowing educators to monitor and improve student success.
The acquisition of LoudCloud closed on March 4, 2016 for a purchase price of $17,843, including working capital, and was financed completely with cash from operations. The purchase price was allocated primarily as follows: $10,600 intellectual property, $1,300 other intangible assets, $1,003 deferred revenue and $6,838 goodwill. This acquisition is not material to our consolidated financial statements and therefore, disclosure of pro forma financial information has not been presented. The results of operations reflect the period of ownership of the acquired business.
Strategic Agreements
Unizin
In May 2017, we entered into an agreement with Unizin, Ltd. ("Unizin"). See Note 18. Subsequent Events.
OpenStax
In August 2016, we extended our current relationship with OpenStax, a Rice University-based nonprofit that makes college more accessible for students, to provide greater access to quality, cost-effective course materials and advanced digital solutions. OpenStax is a leader in the Open Educational Resources ("OER") movement and our relationship with OpenStax allows us to facilitate greater access to high-quality, proven OER content that complements our integrated offering of printed textbooks and digital solutions. OpenStax content is made available through our learning analytics platform, LoudCloud, making the content not only cost-efficient, but also measurable. By tracking the effectiveness and use of OpenStax materials via the LoudCloud platform to measure learning outcomes, colleges and universities will gain affordable day-one solutions and analytical insights that help to increase student success.
Vital Source Technologies, Inc.
In March 2016, we entered into a strategic commercial agreement with Vital Source Technologies, Inc. ("VitalSource"), a part of the Ingram Content Group, and effectively outsourced the Yuzu® eTextbook reading platform. VitalSource has existing relationships with publishers and a very competitive product from a feature and technology perspective. VitalSource will continue to provide an eTextbook experience for Yuzu® users leveraging and utilizing a broad digital library and the product is branded and marketed to the students and universities as Yuzu®. The transition from Yuzu® to the VitalSource platform was seamless for students and faculty.
v3.7.0.1
Segment Reporting (Notes)
 12 Months Ended
Apr. 29, 2017
Segment Reporting
Note 5. Segment Reporting
Effective with the acquisition of MBS on February 27, 2017, we have determined that we operate two reportable segments: BNC and MBS. The consolidated financial statements for the 52 weeks ended April 29, 2017 include the financial results of MBS from the acquisition date, February 27, 2017, to April 29, 2017.
We identified our segments based on the way our business is managed (focusing on the financial information distributed) and the manner in which our chief operating decision maker allocates resources and assesses financial performance. Prior to the acquisition of MBS, BNC was previously our only reportable segment. Our international operations are not material and the majority of the revenue and total assets are within the United States.
Subsequent to the acquisition, the consolidated financial statements include the accounts of MBS and all material intercompany accounts and transactions have been eliminated in consolidation. The eliminations are primarily related to the the following intercompany activities:
•
BNC purchases new and used textbooks from MBS for distribution at BNC's physical college bookstores. We eliminate intercompany profit in ending inventory, and
•
BNC sells certain textbooks to MBS that they cannot return to suppliers or use in their stores. MBS pays BNC commissions based on the volume of these textbooks sold to MBS and with respect to the textbook requirements of certain distance learning programs that MBS fulfills on BNC's behalf.
BNC
BNC operates 769 physical campus bookstores, the majority of which also have school-branded e-commerce sites operated by BNC, and BNC also includes our digital operations. Our campus stores are a social and academic hub through which students can access affordable course materials and affinity products, including new and used print and digital textbooks, which are available for sale or rent; emblematic apparel and gifts; trade books; computer products; school and dorm supplies; café offerings; convenience food and beverages; and graduation products. BNC product offerings also include a suite of digital content, software, and services through our LoudCloud platform, such as predictive analytics, a variety of courseware built on a foundation of open educational resources ("OER"), and competency-based learning solutions. For additional information about this segments operations, see Part I - Item 1. Business - Barnes & Nobe College.
MBS
Our MBS subsidiary operates two highly integrated businesses. The MBS Direct business is the largest contract operator of virtual bookstores for college and university campuses, and private/parochial K-12 schools. MBS Direct operates 712 virtual bookstores, offering new and used print and digital textbooks, which are available for sale or rent. Additionally, MBS Direct sells textbooks directly to students through textbooks.comSM, one of the largest e-commerce sites for new and used textbooks. MBS Wholesale is one of the largest textbook wholesalers in the country, providing a comprehensive selection of new and used textbooks at a low cost of supply to more than 3,700 physical bookstores, including BNC’s 769 campus bookstores. For additional information about this segments operations, see Part I - Item 1. Business - MBS Textbook Exchange.
The consolidated financial statements for the 52 weeks ended April 29, 2017 include the financial results of MBS from the acquisition date, February 27, 2017, to April 29, 2017.
Summarized financial information for our reportable segments is reported below:
 
 
52 weeks ended
 
52 weeks ended
 
52 weeks ended
 
 
April 29, 2017
 
April 30, 2016
 
May 2, 2015
Sales:
 
 
 
 
 
 
BNC
 
$
1,845,561

 
$
1,808,029

 
$
1,772,998

MBS (February 27, 2017, to April 29, 2017)
 
34,091

 
—

 
—

Elimination (February 27, 2017, to April 29, 2017)
 
(5,290
)
 
—

 
—

Total Sales
 
$
1,874,362

 
$
1,808,029

 
$
1,772,998

 
 
 
 
 
 
 
Gross Profit
 
 
 
 
 
 
BNC
 
$
453,252

 
$
453,349

 
$
443,573

MBS (February 27, 2017, to April 29, 2017)
 
4,748

 
—

 
—

Elimination (February 27, 2017, to April 29, 2017)
 
(637
)
 
—

 
—

Total Gross Profit
 
$
457,363

 
$
453,349

 
$
443,573

 
 
 
 
 
 
 
Depreciation and Amortization
 
 
 
 
 
 
BNC
 
$
52,259

 
$
52,690

 
$
50,509

MBS (February 27, 2017, to April 29, 2017)
 
1,059

 
—

 
—

Total Depreciation and Amortization
 
$
53,318

 
$
52,690

 
$
50,509

 
 
 
 
 
 
 
Operating Income
 
 
 
 
 
 
BNC
 
$
18,820

 
$
4,623

 
$
33,560

MBS (February 27, 2017, to April 29, 2017)
 
(4,628
)
 
—

 
—

Elimination (February 27, 2017, to April 29, 2017)
 
(637
)
 
—

 
—

Total Operating Income
 
$
13,555

 
$
4,623

 
$
33,560

 
 
 
 
 
 
 
The following is a reconciliation of segment Operating Income to consolidated Income Before Income Taxes
 
 
 
 
 
 
Total Operating Profit
 
$
13,555

 
$
4,623

 
$
33,560

Interest Expense, net
 
(3,464
)
 
(1,872
)
 
(210
)
Total Income Before Income Taxes
 
$
10,091

 
$
2,751

 
$
33,350

 
 
 
 
 
 
 

 
 
As of
 
 
April 29, 2017
 
April 30, 2016
Total Assets
 
 
 
 
BNC (includes goodwill of $281,349 and $280,911, respectively)
 
$
1,049,441

 
$
1,071,683

MBS (includes goodwill of $48,118 and $0, respectively)
 
250,391

 
—

Total Assets
 
$
1,299,832

 
$
1,071,683

 
 
 
 
 

 
 
52 weeks ended
 
52 weeks ended
 
52 weeks ended
 
 
April 29, 2017
 
April 30, 2016
 
May 2, 2015
Capital Expenditures
 
 
 
 
 
 
BNC
 
$
34,452

 
$
50,790

 
$
48,452

MBS (February 27, 2017, to April 29, 2017)
 
218

 
—

 
—

Total Capital Expenditures
 
$
34,670

 
$
50,790

 
$
48,452

 
 
 
 
 
 
 
v3.7.0.1
Equity and Earnings Per Share (Notes)
 12 Months Ended
Apr. 29, 2017
Net Earnings (Loss) Per Share
Note 6. Equity and Earnings Per Share
Equity
On February 26, 2015, Barnes & Noble, Inc. announced plans to Spin-Off its 100% equity interest in our Company by distributing all of its equity interest in us, consisting of all of the outstanding shares of our Common Stock, to Barnes & Noble, Inc.’s stockholders on a pro rata basis (the “Distribution”).
On July 14, 2015, Barnes & Noble, Inc. approved the final distribution ratio and declared a pro rata dividend of the outstanding shares of our common stock to Barnes & Noble, Inc.’s existing stockholders. The pro-rata dividend was made on August 2, 2015 to the Barnes & Noble, Inc. stockholders of record (as of July 27, 2015). Each Barnes & Noble, Inc. stockholder of record received a distribution of 0.632 shares of our common stock for each share of Barnes & Noble, Inc. common stock held on the record date. On August 2, 2015, we completed the legal separation from Barnes & Noble, Inc. at which time we began to operate as an independent publicly-traded company. Following the Spin-Off, Barnes & Noble, Inc. does not own any equity interest in us.
Following the Spin-Off on August 2, 2015, our authorized capital stock consisted of 200,000,000 shares of common stock, par value $0.01 per share, and 5,000,000 shares of preferred stock, par value $0.01 per share. As of August 3, 2015, 48,186,900 shares of our Common Stock and 0 shares of our preferred stock were issued and outstanding. Our Common Stock began to trade on a “when-issued” basis on the NYSE under the symbol “BNED WI” beginning on July 23, 2015. On August 3, 2015, when-issued trading of our Common Stock ended, and our Common Stock began “regular-way” trading under the symbol “BNED.”
The holders of our Common Stock are entitled to one vote for each share held of record on all matters submitted to a vote of the stockholders. Holders of shares of our Common Stock do not have cumulative voting rights in the election of directors. The holders of our Common Stock will be entitled to share ratably in our assets legally available for distribution to our stockholders, subject to the prior distribution rights of preferred stock, if any, then outstanding. The holders of our Common Stock do not have preemptive rights or preferential rights to subscribe for shares of our capital stock.
When initially adopted in Fiscal 2016, 2,409,345 shares of Common Stock were reserved for future grants, in accordance with the Barnes & Noble Education Inc. Equity Incentive Plan (the "Equity Incentive Plan"). During the second quarter of Fiscal 2017, shareholders approved an amendment to the Equity Incentive Plan to increase the number of shares available for issuance by an additional 4,000,000 shares of our Common Stock, for an aggregate total of 6,409,345 shares. See Note 13. Stock-Based Compensation.
Share Repurchases
On December 14, 2015, our Board of Directors authorized a stock repurchase program of up to $50,000, in the aggregate, of our outstanding Common Stock. The stock repurchase program is carried out at the direction of management (which includes a plan under Rule 10b5-1 of the Securities Exchange Act of 1934). The stock repurchase program may be suspended, terminated, or modified at any time. Any repurchased shares will be held as treasury stock and will be available for general corporate purposes. During the 52 weeks ended April 29, 2017, we repurchased 688,948 shares for approximately $6,718 at a weighted average cost per share of $10.10. During the 52 weeks ended April 30, 2016, we repurchased 1,715,269 shares for approximately $16,612 at a weighted average cost per share of $9.95. As of April 29, 2017, approximately $26,669 remains available under the stock repurchase program.
During the 52 weeks ended April 29, 2017 and April 30, 2016, we also repurchased 276,292 shares and 174,511 shares of our Common Stock in connection with employee tax withholding obligations for vested stock awards, respectively.
Dividends
We paid no dividends to common stockholders during Fiscal 2017, Fiscal 2016 and Fiscal 2015. We do not intend to pay dividends on our Common Stock in the foreseeable future.
Earnings Per Share
For periods prior to the Spin-Off from Barnes & Noble, Inc. on August 2, 2015, basic earnings per share and weighted-average basic shares outstanding are based on the number of shares of Barnes & Noble, Inc. common stock outstanding as of the end of the period, adjusted for the distribution ratio of 0.632 shares of our Common Stock for every one share of Barnes & Noble, Inc. common stock held on the record date for the Spin-Off.
For periods prior to the Spin-Off, diluted earnings per share and weighted-average diluted shares outstanding reflect potential common shares from Barnes & Noble, Inc. equity plans in which our employees participated. Certain of our employees held restricted stock units and stock options granted by Barnes & Noble, Inc. which were considered participating securities.
Basic EPS is computed based upon the weighted average number of common shares outstanding for the year. Diluted EPS is computed based upon the weighted average number of common shares outstanding for the year plus the dilutive effect of common stock equivalents using the treasury stock method and the average market price of our common stock for the year. We include participating securities (unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents) in the computation of EPS pursuant to the two-class method. Our participating securities consist solely of unvested restricted stock awards, which have contractual participation rights equivalent to those of stockholders of unrestricted common stock. The two-class method of computing earnings per share is an allocation method that calculates earnings per share for common stock and participating securities. During periods of net loss, no effect is given to the participating securities because they do not share in the losses of the Company. During the Fiscal 2017, Fiscal 2016 and Fiscal 2015, no shares were excluded from the diluted earnings per share calculation using the two-class method as they were not antidilutive.
The following is a reconciliation of the basic and diluted earnings per share calculation:
 
Fiscal 2017
 
Fiscal 2016
 
Fiscal 2015
Numerator for basic earnings per share:
 
 
 
 
 
Net income
$
5,361

 
$
84

 
$
19,132

Accretion of dividends on preferred stock
—

 
—

 
(6,076
)
Less allocation of earnings to participating securities
(3
)
 
—

 
(313
)
Net income available to common shareholders
$
5,358

 
$
84

 
$
12,743

 
 
 
 
 
 
Numerator for diluted earnings per share:
 
 
 
 
 
Net income available to common shareholders
$
5,358

 
$
84

 
$
12,743

Accretion of dividends on preferred stock (a)
—

 
—

 
—

Allocation of earnings to participating securities
3

 
—

 
313

Less diluted allocation of earnings to participating securities
(3
)
 
—

 
(313
)
Net income available to common shareholders
$
5,358

 
$
84

 
$
12,743

 
 
 
 
 
 
Denominator for basic earnings per share: (b)
 
 
 
 
 
Basic weighted average shares of Common Stock
46,317

 
46,238

 
38,452

 
 
 
 
 
 
Denominator for diluted earnings per share: (c)
 
 
 
 
 
Basic weighted average shares of Common Stock
46,317

 
46,238

 
38,452

Average dilutive restricted stock units
389

 
227

 
—

Average dilutive performance shares
40

 
—

 
—

Average dilutive restricted shares
17

 
—

 
—

Average dilutive options
—

 
14

 
41

Diluted weighted average shares of Common Stock
46,763

 
46,479

 
38,493

 
 
 
 
 
 
Earnings per share of Common Stock:
 
 
 
 
 
Basic
$
0.12

 
$
—

 
$
0.33

Diluted
$
0.11

 
$
—

 
$
0.33

 
(a)
Although the Company was in a net income position during Fiscal 2016 and Fiscal 2015, the dilutive effect of the accretion of preferred membership interests were excluded from the calculation of income per share using the two-class method because the effect would be antidilutive.
(b)
For periods prior to the Spin-Off from Barnes & Noble, Inc. on August 2, 2015, basic earnings per share and weighted-average basic shares outstanding are based on the number of shares of Barnes & Noble, Inc. common stock outstanding as of the end of the period, adjusted for the distribution ratio of 0.632 shares of our Common Stock for every one share of Barnes & Noble, Inc. common stock held on the record date for the Spin-Off.
(c)
For periods prior to the Spin-Off, diluted earnings per share and weighted-average diluted shares outstanding reflect potential common shares from Barnes & Noble, Inc. equity plans in which our employees participated. Certain of our employees held restricted stock units and stock options granted by Barnes & Noble, Inc. which were considered participating securities.
v3.7.0.1
Fair Values of Financial Instruments (Notes)
 12 Months Ended
Apr. 29, 2017
Fair Values of Financial Instruments
Note 7. Fair Values of Financial Instruments
In accordance with ASC No. 820, Fair Value Measurements and Disclosures, the fair value of an asset is considered to be the price at which the asset could be sold in an orderly transaction between unrelated knowledgeable and willing parties. A liability’s fair value is defined as the amount that would be paid to transfer the liability to a new obligor, not the amount that would be paid to settle the liability with the creditor. Assets and liabilities recorded at fair value are measured using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include:
Level 1—Observable inputs that reflect quoted prices in active markets
Level 2—Inputs other than quoted prices in active markets that are either directly or indirectly observable
Level 3—Unobservable inputs in which little or no market data exists, therefore requiring us to develop our own assumptions
Our financial instruments include cash and cash equivalents, receivables, accrued liabilities and accounts payable. The fair values of cash and cash equivalents, receivables, accrued liabilities and accounts payable approximates their carrying values because of the short-term nature of these instruments, which are all considered Level 1. The fair value of short-term and long-term debt approximates its carrying value.
v3.7.0.1
Credit Facility (Notes)
 12 Months Ended
Apr. 30, 2016
Credit Facility
Note 8. Credit Facility
Until August 3, 2015, we were party to an amended and restated credit facility with Barnes & Noble, Inc., as the lead borrower, and Bank of America, N.A., as administrative agent, collateral agent and swing line lender, and other lenders, dated as of April 29, 2011 (as amended and modified to date, the “B&N Credit Facility”). All outstanding debt under the B&N Credit Facility was recorded on Barnes & Noble, Inc.'s balance sheet as of August 1, 2015.
On August 3, 2015, we and certain of our subsidiaries, from time to time party thereto, entered into a credit agreement (the “Credit Agreement”) with Bank of America, N.A., as administrative agent, collateral agent and swing line lender, and other lenders, from time to time party thereto, under which the lenders committed to provide us with a five-year asset-backed revolving credit facility in an aggregate committed principal amount of $400,000 (the “BNED Credit Facility”). Proceeds from the BNED Credit Facility are used for general corporate purposes, including seasonal working capital needs. Bank of America Merrill Lynch, J.P. Morgan Securities LLC, Wells Fargo Bank, N.A. and SunTrust Robinson Humphrey, Inc. are the joint lead arrangers for the BNED Credit Facility.
We and certain of our subsidiaries (collectively, the “Loan Parties”) will be permitted to borrow under the BNED Credit Facility. The BNED Credit Facility is secured by substantially all of the inventory, accounts receivable and related assets of the borrowers under the BNED Credit Facility, but excluding the equity interests in us and our subsidiaries, intellectual property, equipment and certain other property. We have the option to request an increase in commitments under the BNED Credit Facility of up to $100,000, subject to certain restrictions.
On February 27, 2017, in connection with the acquisition of MBS, we amended the Credit Agreement with our current lenders to add a new $100,000 incremental first in, last out seasonal loan facility (the “FILO Facility”) increasing the maximum availability under the Credit Agreement to $500,000.
As of April 29, 2017 we had outstanding borrowings of $59,600 and $100,000 under the BNED Credit Facility and FILO Facility, respectively. There were no outstanding borrowings under the BNED Credit Facility as of April 30, 2016.
During the 52 weeks ended April 29, 2017, we borrowed $312,700 and repaid $153,100 under the BNED Credit Facility and FILO Facility, for a net total of $159,600 of outstanding borrowings as of April 29, 2017. As of April 29, 2017 and April 30, 2016, we issued $4,298 and $3,567 in letters of credit under the BNED Credit Facility, respectively. During Fiscal 2016, we borrowed and repaid $60,600 under the BNED Credit Facility.
During Fiscal 2017 we incurred debt issuance costs totaling $2,912 related to the FILO Facility. During Fiscal 2016, we incurred debt issuance costs totaling $3,251 related to the BNED Credit Facility. The debt issuance costs have been deferred and are presented as an asset which is subsequently amortized ratably over the term of the credit agreement.
Interest under the BNED Credit Facility accrues, at our election, at a LIBOR or alternate base rate, plus, in each case, an applicable interest rate margin, which is determined by reference to the level of excess availability under the BNED Credit Facility. Loans will initially bear interest at LIBOR plus 2.000% per annum, in the case of LIBOR borrowings, or at the alternate base rate plus 1.000% per annum, in the alternative, and thereafter the interest rate will fluctuate between LIBOR plus 2.000% per annum and LIBOR plus 1.750% per annum (or between the alternate base rate plus 1.000% per annum and the alternate base rate plus 0.750% per annum), based upon the excess availability under the BNED Credit Facility at such time.
Loans under the FILO Facility will bear interest at a rate equal to the LIBOR rate, plus 3.000%. The FILO Facility will be available solely during the draw period each year, from April 1 through July 31. We are required to borrow 100% of the aggregate commitments under the FILO Facility on April 1 of each year, and the loans must be repaid in full (including interest and fees) on July 31 of each year. The Commitments under the FILO Facility will decrease from $100,000 to $75,000 on August 1, 2018, from $75,000 to $50,000 on August 1, 2019 and from $50,000 to $25,000 on August 1, 2020. We will pay a commitment fee of 0.375% on the daily unused portion of the FILO Facility.
The Credit Agreement contains customary negative covenants, which limit our ability to incur additional indebtedness, create liens, make investments, make restricted payments or specified payments and merge or acquire assets, among other things. In addition, if excess availability under the BNED Credit Facility were to fall below certain specified levels, certain additional covenants (including fixed charge coverage ratio requirements) would be triggered, and the lenders would have the right to assume dominion and control over the Loan Parties’ cash.
The Credit Agreement contains customary events of default, including payment defaults, material breaches of representations and warranties, covenant defaults, default on other material indebtedness, customary ERISA events of default, bankruptcy and insolvency, material judgments, invalidity of liens on collateral, change of control or cessation of business. The Credit Agreement also contains customary affirmative covenants and representations and warranties. We are in compliance with all covenants, representations and warranties under the Credit Agreement as of April 29, 2017.
We believe that our future cash from operations, access to borrowings under the BNED Credit Facility, the FILO Facility and short-term vendor financing will provide adequate resources to fund our operating and financing needs for the foreseeable future. Our access to, and the availability of, financing in the future will be impacted by many factors, including our credit rating, the liquidity of the overall capital markets and the current state of the economy. There can be no assurances that we will have access to capital markets on acceptable terms.
v3.7.0.1
Supplementary Information Supplementary Information (Notes)
 12 Months Ended
Apr. 29, 2017
Other Income and Expenses [Abstract]  
Supplementary Information [Text Block]
Note 9. Supplementary Information
Impairment Loss (non-cash) and Restructuring Costs
In Fiscal 2016, we implemented a plan to restructure our digital operations. As a result of this restructuring, we recorded a non-cash impairment loss of $11,987 related to all of the capitalized content costs for the Yuzu® eTextbook platform ($8,987) based on the probability of recoverability of the capitalized content costs, and recorded a non-recurring other than temporary loss related to an investment held at cost ($3,000), whose fair value has been reduced to $0 based on the financial projections of the investment.
Additionally, we announced a reduction in staff and closure of the facilities in Mountain View, California, and Redmond, Washington that support the Yuzu® eTextbook platform. We recorded restructuring costs of $8,830 in Fiscal 2016 comprised of $3,216 in employee related costs (including severance and retention), facility exit costs of $5,046 and $568 related to specific contracts. We recorded restructuring costs of $1,790 in Fiscal 2017 primarily comprised of employee related costs (including severance and retention). We completed the restructuring in Fiscal 2017.
Intangible Assets
For information about additions to the gross carrying amounts of intangible assets, see Note 4. Acquisitions and Strategic Relationships. Amortizable intangible assets as of April 29, 2017 and April 30, 2016 are as follows:
 
 
 
 
As of April 29, 2017
Amortizable intangible assets
 
Remaining
Life
 
Gross
Carrying
Amount
 
Accumulated
Amortization
 
Total
Customer relationships
 
4 - 17
 
$
270,619

 
$
(77,640
)
 
$
192,979

Technology
 
3 - 9
 
12,100

 
(1,320
)
 
10,780

Other(a)
 
1 - 10
 
6,853

 
(727
)
 
6,126

 
 
 
 
$
289,572

 
$
(79,687
)
 
$
209,885


a)
Other consists of recognized intangibles for non-compete agreements, trade names and favorable leasehold interests.
 
 
 
 
As of April 30, 2016
Amortizable intangible assets
 
Remaining
Life
 
Gross
Carrying
Amount
 
Accumulated
Amortization
 
Total
Customer relationships
 
10 - 18
 
$
255,050

 
$
(67,151
)
 
$
187,899

Technology
 
10
 
10,600

 
(177
)
 
10,423

Other(a)
 
1 - 9
 
1,605

 
(264
)
 
1,341

 
 
 
 
$
267,255

 
$
(67,592
)
 
$
199,663


a)
Other consists of recognized intangibles for non-compete agreements and trade names.
All amortizable intangible assets are being amortized over their useful life on a straight-line basis.
Aggregate Amortization Expense:
 
For the 52 weeks ended April 29, 2017
$
12,095

For the 52 weeks ended April 30, 2016
$
10,477

For the 52 weeks ended May 2, 2015
$
10,252


Estimated Amortization Expense: (Fiscal Year)
 
2018
$
14,005

2019
$
13,998

2020
$
13,859

2021
$
13,265

2022
$
12,949

After 2022
$
141,809


Goodwill
The following table details the changes in carrying value of goodwill (including foreign currency translation):
Balance at May 2, 2015
 
$
274,070

Goodwill related to acquisitions
 
6,841

Balance at April 30, 2016
 
$
280,911

Goodwill related to acquisitions
 
48,556

Balance at April 29, 2017
 
$
329,467


For additional information of goodwill by acquisition, see Note 4. Acquisitions and Strategic Agreements. As of April 29, 2017, goodwill of approximately $54,063 was deductible for federal income tax purposes.
v3.7.0.1
Barnes & Noble, Inc. Transactions Barnes & Noble, Inc. Transactions (Notes)
 12 Months Ended
Apr. 29, 2017
Barnes & Noble, Inc. Transactions [Text Block]
Note 10. Barnes & Noble, Inc. Transactions
Our History with Barnes & Noble, Inc.
We completed the Spin-Off from Barnes & Noble, Inc. on August 2, 2015, at which time Barnes & Noble distributed all of its equity interest in us, consisting of all of the outstanding shares of our Common Stock, to Barnes & Noble’s stockholders on a pro rata basis (the “Distribution”). Following the Spin-Off, Barnes & Noble does not own any equity interest in us. On August 2, 2015, we completed the legal separation from Barnes & Noble, at which time we began to operate as an independent publicly-traded company.
Allocation of General Corporate Expenses from Barnes & Noble, Inc. (Prior to Spin-Off)
The results of operations for the 13 weeks ended August 1, 2015 and Fiscal 2015 (periods presented prior to the Spin-Off collectively referred to as the "stand-alone periods") reflected in our consolidated financial statements are presented on a stand-alone basis since we were still part of Barnes & Noble, Inc.
Our consolidated financial statements were derived from the consolidated financial statements and accounting records of Barnes & Noble. Our consolidated financial statements include certain assets and liabilities that have historically been held at the Barnes & Noble corporate level but are specifically identifiable or otherwise attributable to us.
All intercompany transactions between us and Barnes & Noble have been included in our consolidated financial statements and are considered to be effectively settled for cash in our consolidated financial statements at the time the Spin-Off became effective. The total net effect of the settlement of these intercompany transactions was reflected in our consolidated statements of cash flow as a financing activity and in our consolidated balance sheets as “Parent company investment.”
The consolidated financial statements for the stand-alone periods include an allocation for certain corporate and shared service functions historically provided by Barnes & Noble, including, but not limited to, executive oversight, accounting, treasury, tax, legal, human resources, procurement, information technology and other shared services. These expenses have been allocated to us on the basis of direct usage when identifiable, with the remainder allocated on a pro rata basis of consolidated sales, headcount, tangible assets or other measures considered to be a reasonable reflection of the historical utilization levels of these services. Following the Spin-Off on August 2, 2015, we began to perform these functions using our own resources or contracted services, certain of which may be provided by Barnes & Noble, Inc. during a transitional period pursuant to the Transition Services Agreement.
Direct Costs Incurred Related to On-going Agreements with Barnes & Noble (Subsequent to the Spin-Off)
The Spin-Off from Barnes & Noble, Inc. occurred on August 2, 2015 and therefore, the results of operations are presented on a consolidated basis for the 52 weeks ended April 29, 2017 and the 39 weeks ended April 30, 2016 (i.e. first, second, third and fourth quarter of Fiscal 2017 and the second, third and fourth quarter of Fiscal 2016, periods after the Spin-Off) which includes direct costs incurred with Barnes & Noble, Inc. under various agreements.
In connection with the separation from Barnes & Noble, we entered into a Separation and Distribution Agreement with Barnes & Noble on July 14, 2015 and several other ancillary agreements on August 2, 2015. These agreements govern the relationship between the parties after the separation and allocate between the parties various assets, liabilities, rights and obligations following the separation, including inventory purchases, employee benefits, intellectual property, information technology, insurance and tax-related assets and liabilities. The agreements also describe Barnes & Noble’s future commitments to provide us with certain transition services following the Spin-Off. These agreements include the following:
 
•
a Separation and Distribution Agreement that set forth Barnes & Noble’s and our agreements regarding the principal actions that both parties took in connection with the Spin-Off and aspects of our relationship following the Spin-Off. The term of the agreement is perpetual after the Distribution date;
•
a Transition Services Agreement pursuant to which Barnes & Noble agreed to provide us with specified services for a limited time to help ensure an orderly transition following the Distribution. The Transition Services Agreement specifies the calculation of our costs for these services. The agreement will expire and services under it will cease no later than two years following the Distribution date or sooner in the event we no longer require such services;
•
a Tax Matters Agreement governs the respective rights, responsibilities and obligations of Barnes & Noble and us after the Spin-Off with respect to all tax matters (including tax liabilities, tax attributes, tax returns and tax contests). The agreement will expire after two years following the Distribution date;
•
an Employee Matters Agreement with Barnes & Noble addressing employment, compensation and benefits matters including the allocation and treatment of assets and liabilities arising out of employee compensation and benefits programs in which our employees participated prior to the Spin-Off. The agreement will expire and services under it will cease when we no longer require such services; and
•
a Trademark License Agreement pursuant to which Barnes & Noble grants us an exclusive license in certain licensed trademarks and a non-exclusive license in other licensed trademarks. The term of the agreement is perpetual after the Distribution date.
A description of the material terms and conditions of these agreements can be found in the Prospectus dated July 15, 2015 and filed with the SEC on that date. The descriptions of the Transition Services Agreement, Tax Matters Agreement, Employee Matters Agreement and Trademark License Agreement are qualified in their entirety by reference to the full text of the Transition Services Agreement, Tax Matters Agreement, Employee Matters Agreement and Trademark License Agreement, which are attached as Exhibits 10.1, 10.2, 10.3 and 10.4, respectively, to the Current Report on Form 8-K dated August 2, 2015 and filed with the SEC on August 3, 2015. The description of the Separation and Distribution Agreement is qualified in its entirety by reference to the full text of the Separation and Distribution Agreement, which is attached as Exhibit 2.1 to the Quarterly Report on Form 10-Q dated August 1, 2015 and filed with the SEC on September 10, 2015.
Summary of Transactions with Barnes & Noble
During the 52 weeks ended April 29, 2017 and the 39 weeks ended April 30, 2016 (i.e. first, second, third and fourth quarter of Fiscal 2017 and the second, third and fourth quarter of Fiscal 2016, periods after the Spin-Off), we were billed $29,173 and $22,673, respectively, for purchases of inventory and direct costs incurred under the agreements discussed above which are included as cost of sales and selling, general and administrative expense in the consolidated statements of operations.
During the 13 weeks ended August 1, 2015 and Fiscal 2015 (periods presented prior to the Spin-Off), we were allocated $13,321 and $43,523, respectively, of general corporate expenses incurred by Barnes & Noble, Inc. and purchases of inventory which are included as cost of sales and selling, general and administrative expense in the consolidated statements of operations. For information related to allocated stock-based compensation expense, see Note 13. Stock-Based Compensation.
As of April 29, 2017 and April 30, 2016, amounts due to Barnes & Noble, Inc. for book purchases and direct costs incurred under the agreements discussed above were $8,041 and $5,246 and is included in accounts payable and accrued liabilities in the consolidated balance sheets, respectively.
All intercompany transactions between us and Barnes & Noble have been included in our consolidated financial statements and are considered to be effectively settled for cash in our consolidated financial statements at the time the Spin-Off is recorded. The total net effect of the settlement of these intercompany transactions is reflected in our consolidated statements of cash flow as a financing activity and in the consolidated balance sheets as “Parent company investment.”
v3.7.0.1
Related Party Transactions Related Party Transctions (Notes)
 12 Months Ended
Apr. 29, 2017
Related Party Transactions [Abstract]  
Related Party Transactions Disclosure [Text Block]
Note 11. Related Party Transactions
MBS Textbook Exchange, LLC
Prior to the acquisition of MBS on February 27, 2017, MBS was considered a related-party as they were majority-owned by Leonard Riggio, who is a principal owner holding substantial shares of our common stock, and other members of the Riggio family. See Note 4. Acquisitions and Strategic Agreements.
Prior to the acquisition, we had a long-term supply agreement (“Supply Agreement”) with MBS, under which and subject to availability and competitive terms and conditions, we purchased new and used printed textbooks for a given academic term from MBS prior to buying them from other suppliers, other than in connection with student buy-back programs. Prior to the acquisition on February 27, 2017, total purchases from MBS were $92,956 (amount prior to returns which occurred subsequent to the February 27, 2017 acquisition date), $57,981, and $54,353 for Fiscal 2017, Fiscal 2016 and Fiscal 2015, respectively. Additionally, the Supply Agreement provided that we may sell to MBS certain textbooks that we cannot return to suppliers or use in our stores. MBS paid us commissions based on the volume of these textbooks sold to MBS each year and with respect to the textbook requirements of certain distance learning programs that MBS fulfills on our behalf. Prior to the acquisition on February 27, 2017, MBS paid us $7,376, $5,009, and $5,512 related to these commissions in Fiscal 2017, Fiscal 2016 and Fiscal 2015, respectively. In addition, the Supply Agreement contains restrictive covenants that limited our ability to become a used textbook wholesaler and that place certain limitations on MBS’s business activities. We also previously entered into an agreement with MBS pursuant to which MBS purchased books from us, which have no resale value for a flat rate per box. Prior to the acquisition on February 27, 2017, total sales to MBS under this program were $339, $574, and $419 for Fiscal 2017, Fiscal 2016 and Fiscal 2015, respectively. Total outstanding amounts payable to MBS for all arrangements net of any amounts due were $0 and $21,543 as of April 29, 2017 and April 30, 2016, respectively.
Subsequent to the acquisition, the consolidated financial statements include the accounts of MBS and all material intercompany accounts and transactions have been eliminated in consolidation.
MBS leases its main warehouse and distribution facility located in Columbia, Missouri from MBS Realty Partners L.P. which is majority-owned by Leonard Riggio, with the remaining ownership by other sellers of MBS. The lease was originally entered into in 1991 and included a renewal option which extended the lease through September 1, 2023. Based upon a valuation performed as of the acquisition date, the lease was determined to be favorable from a lessee perspective with below market rent. Rent payments to MBS Realty Partners L.P. were approximately $230 from the acquisition date, February 27, 2017, to April 29, 2017. See Note 4. Acquisitions and Strategic Agreements.
v3.7.0.1
Employees' Defined Contribution Plan (Notes)
 12 Months Ended
Apr. 29, 2017
Employees' Defined Contribution Plan
Note 12. Employee Benefit Plans
BNC
Prior to the Spin-Off on August 2, 2015, Barnes & Noble, Inc. sponsored the defined contribution plan (the “Savings Plan”) for the benefit of substantially all of the employees of BNC. Total contributions charged to employee benefit expenses for the Savings Plan prior to the Spin-Off were based on amounts allocated to us on the basis of direct usage. See Note 10. Barnes & Noble, Inc. Transactions. Subsequent to the Spin-Off, we established a 401(k) plan and Barnes & Noble, Inc. transferred to it the 401(k) plan assets relating to the account balances of our employees. Additionally, we are responsible for employer contributions to the Savings Plan and fund the contributions directly. Total contributions charged to employee benefit expenses for the Savings Plan were $4,293, $4,375, and $3,907 during Fiscal 2017, Fiscal 2016 and Fiscal 2015, respectively.
MBS
MBS maintains a profit sharing plan ("Profit Sharing Plan") covering substantially all full-time employees of MBS. MBS transfers employee contributions to the account balances of their employees and is responsible to fund the employer contributions directly. Total employee benefit expenses for the Profit Sharing Plan was $535 from the acquisition date, February 27, 2017, to April 29, 2017.
v3.7.0.1
Stock-Based Compensation Stock-Based Compensation (Notes)
 12 Months Ended
Apr. 29, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]
Note 13. Stock-Based Compensation
Barnes & Noble’s Equity Plans Prior to Spin-Off
Prior to the Spin-Off, certain of our employees were eligible to participate in Barnes & Noble, Inc. equity plans pursuant to which they were granted awards of Barnes & Noble, Inc. common stock. Under these equity plans, our employees were granted restricted stock units, restricted stock and stock options.
Barnes & Noble, Inc. recognized stock-based compensation costs, net of estimated forfeitures, for only those shares expected to vest on a straight-line basis over the requisite service period of the award. Barnes & Noble, Inc. estimated the forfeiture rates based on its historical experience. The fair market value of restricted stock was determined based on the closing price of Barnes & Noble, Inc.’s common stock on the grant date. Barnes & Noble, Inc. used the Black-Scholes option-pricing model to value Barnes & Noble, Inc.’s stock options for each stock option award.
The equity-based payments recorded by us prior to the Spin-Off included the expense associated with our employees.
Current Equity Plans
During the second quarter of Fiscal 2016, post Spin-Off, we reserved 2,409,345 shares of our Common Stock for future grants in accordance with the Barnes & Noble Education Inc. Equity Incentive Plan (the "Equity Incentive Plan"). Additionally, during the second quarter of Fiscal 2017 shareholders approved an amendment to the Equity Incentive Plan to increase the number of shares available for issuance by an additional 4,000,000 shares of our Common Stock, for an aggregate total of 6,409,345 shares.
Types of equity awards that can be granted under the Equity Incentive Plan include options, restricted stock ("RS"), restricted stock units ("RSU") and performance shares ("PS"). We have not granted options under the Equity Incentive Plan.
A restricted stock award is an award of common stock that is subject to certain restrictions during a specified period. Restricted stock awards are generally subject to forfeiture if employment terminates prior to the release of the restrictions. The grantee cannot transfer the shares before the restricted shares vest. Shares of unvested restricted stock have the same voting rights as common stock, are entitled to receive dividends and other distributions thereon and are considered to be currently issued and outstanding. Restricted stock awards vest over a period of one year.
A restricted stock unit is a grant valued in terms of our common stock, but no stock is issued at the time of grant. Each restricted stock unit may be redeemed for one share of our common stock once vested. Restricted stock units are generally subject to forfeiture if employment terminates prior to the release of the restrictions. The grantee cannot transfer the units except in very limited circumstances and with the consent of the compensation committee. Shares of unvested restricted stock units have no voting rights but are entitled to receive dividends and other distributions thereon. Restricted stock units vest over a period of three years.
We recognize compensation expense for awards ratably over the requisite service period of the award, which is generally three years. We recognize compensation expense based on the number of awards expected to vest using an estimated average forfeiture rate. We calculate the fair value of stock-based awards based on the closing price on the date the award was granted.
Stock-Based Compensation Activity
During Fiscal 2017 we granted the following awards:
•
406,078 PS awards were granted to employees that will only vest based upon the achievement of pre-established performance goals related to Adjusted EBITDA and new business achieved measured over a period of time. The PS will vest based on company performance during Fiscal 2017 - Fiscal 2018 with one additional year of time-based vesting. The number of PS awards that will vest range from 0%-150% of the target award based on actual performance.
•
1,157,586 RSU awards were granted to employees with a three year vesting period in accordance with Equity Incentive Plan;
•
49,484 RSU awards and 12,371 RS awards were granted to the current Board of Directors ("BOD") members for annual compensation with a one year vesting period in accordance with Equity Incentive Plan.
The following table presents a summary of restricted stock awards and restricted stock units activity related to our current Equity Incentive Plan:
 
 
Restricted Stock Awards
 
Restricted Stock Units
 
Performance Shares
 
 
Number of 
Shares
 
Weighted 
Average
Grant Date Fair Value
 
Number of 
Shares
 
Weighted 
Average
Grant Date Fair Value
 
Number of 
Shares
 
Weighted 
Average
Grant Date Fair Value
Balance, August 2, 2015
 
—

 
$
—

 
—

 
$
—

 
—

 
$
—

Granted (a)
 
73,352

 
$
13.08

 
1,681,552

 
$
10.12

 
—

 
$
—

Vested
 
(27,272
)
 
$
13.19

 
(431,106
)
 
$
7.29

 
—

 
$
—

Forfeited
 
—

 
$
—

 
(8,979
)
 
$
9.92

 
—

 
$
—

Balance, April 30, 2016
 
46,080

 
$
13.02

 
1,241,467

 
$
11.10

 
—

 
$
—

Granted
 
12,371

 
$
9.70

 
1,207,070

 
$
9.70

 
406,078

 
$
9.52

Vested
 
(46,080
)
 
$
13.02

 
(680,489
)
 
$
9.72

 
—

 
$
—

Forfeited
 
—

 
$
—

 
(36,425
)
 
$
9.69

 
—

 
$
—

Balance, April 29, 2017
 
12,371

 
$
9.70

 
1,731,623

 
$
10.70

 
406,078

 
$
9.52

(a)
Restricted Stock Units include the 877,426 converted RSU shares issued during Fiscal 2016 related to our spin-off from Barnes & Noble, Inc.
Total fair value of shares of restricted stock awards and restricted stock units that vested since the inception of Equity Incentive Plan was $960 and $9,759, respectively.
Stock-Based Compensation Expense
We recognized stock-based compensation expense for equity-based awards in selling and administrative expenses as follows:
 
Fiscal 2017
 
Fiscal 2016
 
Fiscal 2015
Restricted Stock Expense
$
280

 
$
840

 
$
306

Restricted Stock Units Expense
8,431

 
5,710

 
3,757

Performance Shares Expense
655

 
—

 
—

Stock Option Expense
—

 
120

 
678

Stock-Based Compensation Expense
$
9,366

 
$
6,670

 
$
4,741


In the 13 weeks ended August 1, 2015 and for Fiscal 2015 (periods presented prior to the Spin-Off), Barnes & Noble allocated stock compensation expense to us, which includes stock compensation expense related to our employees, as well as an allocation from Barnes & Noble for our pro-rated share of corporate employees.
Total unrecognized compensation cost related to unvested awards as of April 29, 2017 was $14,933 and is expected to be recognized over a weighted-average period of 2 years.
v3.7.0.1
Income Taxes Income Taxes (Notes)
 12 Months Ended
Apr. 29, 2017
Income Tax Disclosure [Abstract]  
Income Tax Disclosure [Text Block]
Note 14. Income Taxes
Our operating results have been included in the consolidated U.S. federal and state income tax returns of Barnes & Noble for all periods ending on or before the consummation of the Spin-Off on August 2, 2015. Amounts presented in these consolidated financial statements related to income taxes have been determined on a separate tax return basis as it relates to those periods. Amounts presented in these consolidated financial statements related to income taxes for periods ending after the consummation of the Spin-Off are presented on a consolidated basis as we became a separate consolidated entity
For Fiscal 2017, Fiscal 2016 and Fiscal 2015, we had no material revenue or expense in jurisdictions outside the United States.
Income tax provisions (benefits) for Fiscal 2017, Fiscal 2016 and Fiscal 2015 are as follows:
 
 
Fiscal 2017
 
Fiscal 2016
 
Fiscal 2015
Current:
 
 
 
 
 
 
Federal
 
$
14,872

 
$
13,019

 
$
22,061

State
 
1,819

 
1,783

 
3,489

Total current
 
16,691

 
14,802

 
25,550

Deferred:
 
 
 
 
 
 
Federal
 
(9,238
)
 
(9,922
)
 
(10,247
)
State
 
(2,723
)
 
(2,213
)
 
(1,085
)
Total deferred
 
(11,961
)
 
(12,135
)
 
(11,332
)
Total
 
$
4,730

 
$
2,667

 
$
14,218


Reconciliation between the effective income tax rate and the federal statutory income tax rate is as follows:
 
 
Fiscal 2017
 
Fiscal 2016
 
Fiscal 2015
Federal statutory income tax rate
 
35.0
 %
 
35.0
 %
 
35.0
 %
State income taxes, net of federal income tax benefit
 
(5.8
)
 
(15.2
)
 
4.7

Valuation allowances
 
—

 
50.6

 
—

Permanent book / tax differences
 
25.5

 
31.1

 
3.1

Credits
 
(5.5
)
 
(5.4
)
 
(0.2
)
Other, net
 
(2.3
)
 
0.8

 
—

Effective income tax rate
 
46.9
 %
 
96.9
 %
 
42.6
 %

One percentage point on our effective tax rate is approximately $100. The net benefit for state income taxes is principally driven by certain net operating losses that the Company is entitled to claim as a result of the Spin-Off. The permanent book / tax differences are principally comprised of non-deductible compensation, non-deductible meals and entertainment costs, and federal income tax credits.
In March 2016, the FASB issued ASU No. 2016-09 to provide guidance that changes the accounting for certain aspects of share-based payments to employees. The guidance requires, among other things, the recognition of the income tax effects of awards in the income statement when the awards vest or are settled, thus eliminating additional paid-in capital pools. We are required to adopt this standard in the first quarter of Fiscal 2018, but have early adopted this standard during the fourth quarter of Fiscal 2016 as permitted. Prior to Fiscal 2016, we had no windfall benefits. There was no material impact upon adoption of this guidance since the recognition of income tax effects of awards was not materially different than amounts that had previously been recorded in our financial statements.
We account for income taxes using the asset and liability method. Deferred taxes are recorded based on differences between the financial statement basis and tax basis of assets and liabilities and available tax loss and credit carryforwards.
The significant components of our deferred taxes consisted of the following:
 
 
As of
 
 
April 29, 2017
 
April 30, 2016
Deferred tax assets:
 
 
 
 
Estimated accrued liabilities
 
$
13,047

 
$
13,859

Inventory
 
16,969

 
12,926

Stock-based compensation
 
1,780

 
1,648

Insurance liability
 
881

 
1,050

Lease transactions
 
1,826

 
2,138

Property and equipment
 
8,728

 
6,802

Tax credits
 
206

 
112

Net operating losses
 
4,916

 
3,477

Other
 
5,106

 
1,499

Gross deferred tax assets
 
53,459

 
43,511

Valuation allowance
 
(1,392
)
 
(1,394
)
Net deferred tax assets
 
52,067

 
42,117

Deferred tax liabilities:
 
 
 
 
Intangible asset amortization
 
(68,938
)
 
(71,982
)
Gross deferred tax liabilities
 
(68,938
)
 
(71,982
)
Net deferred tax liabilities
 
$
(16,871
)
 
$
(29,865
)

As of April 29, 2017, we had $86 of unrecognized tax benefits, all of which, if recognized, would affect our effective tax rate. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
Balance at May 3, 2014
$
180

Additions for tax positions of the current period
35

Additions for tax positions of prior periods
—

Reductions due to settlements
—

Other reductions for tax positions of prior periods
—

Balance at May 2, 2015
$
215

Additions for tax positions of the current period
21

Additions for tax positions of prior periods
—

Reductions due to settlements
—

Other reductions for tax positions of prior periods
(215
)
Balance at April 30, 2016
$
21

Additions for tax positions of the current period
40

Additions for tax positions of prior periods
25

Reductions due to settlements
—

Other reductions for tax positions of prior periods
—

Balance at April 29, 2017
$
86


We do not believe that it is reasonably possible that these unrecognized tax benefits will decrease in the next twelve months.
Our policy is to recognize interest and penalties related to income tax matters in income tax expense. As of April 29, 2017 and April 30, 2016, we had accrued $3 and $1, respectively, for net interest and penalties. The change in the amount accrued for net interest and penalties includes $2 in additions for net interest and penalties recognized in income tax expense in our Fiscal 2017 consolidated statement of operations.
In assessing the realizability of the deferred tax assets, management considered whether it is more likely than not that some or all of the deferred tax assets would be realized. In evaluating the Company’s ability to utilize its deferred tax assets, it considered all available evidence, both positive and negative, in determining future taxable income on a jurisdiction by jurisdiction basis. The Company has recorded a valuation allowance of $1,392 and $1,394 for both April 29, 2017 and April 30, 2016. The valuation allowance remained unchanged during Fiscal 2017 principally due to costs incurred in connection with restructuring during Fiscal 2016 that are not more likely than not to be deductible for tax purposes.
At April 29, 2017, and based on its tax year ended January 2017, the Company had state net operating loss carryforwards (NOLs) of approximately $108,038 that are available to offset taxable income in its respective taxing jurisdiction beginning in the current period and that expire beginning in 2030. The Company had net state tax credit carryforwards totaling $317, which expire beginning in 2021.
As of April 29, 2017, the Company has not provided for deferred taxes on the excess of financial reporting over the tax basis of investments in certain foreign subsidiaries because, as of Fiscal 2017, any such amounts are immaterial. If these earnings were repatriated in the future, additional income and withholding tax expense would be incurred.
We are subject to U.S. federal income tax as well as income tax in jurisdictions of each state having an income tax. The tax years that remain subject to examination are primarily from Fiscal 2013 and forward. Some earlier years remain open for a small minority of states. Pursuant to the Tax Matters Agreements referenced in Note 10. Barnes & Noble, Inc. Transactions, we retain income tax liability for periods prior to the Spin-Off only for returns filed on a stand-alone basis.
v3.7.0.1
Legal Proceedings (Notes)
 12 Months Ended
Apr. 29, 2017
Legal Proceedings
Note 15. Legal Proceedings
We are involved in a variety of claims, suits, investigations and proceedings that arise from time to time in the ordinary course of our business, including actions with respect to contracts, intellectual property, taxation, employment, benefits, personal injuries and other matters. The results of these proceedings in the ordinary course of business are not expected to have a material adverse effect on our consolidated financial position, results of operations, or cash flows.
v3.7.0.1
Commitments and Contingencies Commitments and Contingencies (Notes)
 12 Months Ended
Apr. 29, 2017
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Disclosure [Text Block]
Note 16. Commitments and Contingencies
We generally operate our stores pursuant to multi-year school management contracts under which a school designates us to operate the official school bookstore on campus and we provide the school with regular payments that represent a percentage of store sales and, in some cases, include a minimum fixed guaranteed payment. We account for these service agreements under lease accounting. We provide for minimum contract expense over the contract terms on a straight-line basis. The excess of such minimum contract expense over actual contract payments (net of school allowances) is reflected in other long-term liabilities and accrued liabilities in the consolidated balance sheets. The expense related to our college and university contracts, including rent expense, and other facility costs in the consolidated statements of operations are as follows: 
 
 
Fiscal 2017
 
Fiscal 2016
 
Fiscal 2015
Minimum contract expense
 
$
165,980

 
$
140,743

 
$
125,388

Percentage contract expense
 
87,843

 
101,552

 
106,011

 
 
$
253,823

 
$
242,295

 
$
231,399


Our contracts with colleges and universities are typically five years with renewal options, but can range from one to 15 years, and are typically cancelable by either party without penalty with 90 to120 days' notice. Annual projections below are based on current minimum guarantee amounts. In approximately 65% of our contracts with colleges and universities that include minimum guarantees, the minimum guaranteed amounts adjust annually to equal less than the prior year's commission earned.
As of April 29, 2017, future minimum annual obligations required under our contracts with colleges and universities and other facility costs are as follows:
Fiscal Year
 
2018
$
140,417

2019
133,514

2020
123,811

2021
116,153

2022
104,486

After 2022
207,807

 
$
826,188


Purchase obligations, which includes information technology contracts and inventory purchase commitments, as of April 29, 2017 are as follows: 
Less Than 1 Year
$
3,124

1-3 Years
3,000

3-5 Years
175

Total
$
6,299
v3.7.0.1
Selected Quarterly Financial Information (Unaudited) Selected Quarterly Financial Information (Unaudited) (Notes)
 12 Months Ended
Apr. 29, 2017
Quarterly Financial Information Disclosure [Abstract]  
Quarterly Financial Information [Text Block]
Note 17. Selected Quarterly Financial Information (Unaudited)
A summary of quarterly financial information for Fiscal 2017 and Fiscal 2016 is as follows:
Fiscal 2017 Quarterly Period Ended
 
July 30,
2016
 
October 29, 2016
 
January 28, 2017
 
April 29, 2017
 
Fiscal Year
 2017
Sales
 
$
239,237

 
$
770,671

 
$
521,624

 
$
342,830

 
$
1,874,362

Gross profit
 
$
47,413

 
$
171,514

 
$
115,925

 
$
122,511

 
$
457,363

Net (loss) income
 
$
(27,916
)
 
$
29,289

 
$
3,761

 
$
227

 
$
5,361

Basic (loss) earnings per common share:
 
 
 
 
 
 
 
 
 
 
Net (loss) income
 
$
(0.60
)
 
$
0.63

 
$
0.08

 
$
—

 
$
0.12

Diluted (loss) earnings per common share:
 
 
 
 
 
 
 
 
 
 
Net (loss) income
 
$
(0.60
)
 
$
0.63

 
$
0.08

 
$
—

 
$
0.11


 
Fiscal 2016 Quarterly Period Ended
 
August 1,
2015 (a)(b)
 
October 31,
2015
 
January 30,
2016
 
April 30,
2016
 
Fiscal Year
2016
Sales
 
$
238,983

 
$
755,864

 
$
518,423

 
$
294,759

 
$
1,808,029

Gross profit
 
$
51,544

 
$
175,121

 
$
120,640

 
$
106,044

 
$
453,349

Net (loss) income
 
$
(26,918
)
 
$
33,401

 
$
(3,603
)
 
$
(2,796
)
 
$
84

Basic (loss) earnings per common share:
 
 
 
 
 
 
 
 
 
 
Net (loss) income
 
$
(0.65
)
 
$
0.69

 
$
(0.07
)
 
$
(0.06
)
 
$
—

Diluted (loss) earnings per common share:
 
 
 
 
 
 
 
 
 
 
Net (loss) income
 
$
(0.65
)
 
$
0.69

 
$
(0.07
)
 
$
(0.06
)
 
$
—


 
(a)
Basic earnings per share and weighted-average basic shares outstanding are based on the number of shares of Barnes & Noble, Inc. common stock outstanding on May 2, 2015, adjusted for an assumed distribution ratio of 0.632 shares of our Common Stock for every one share of Barnes & Noble, Inc. common stock held on the record date for the Spin-Off.
(b)
Diluted earnings per share and weighted-average diluted shares outstanding reflect potential common shares from Barnes & Noble, Inc. equity plans in which our employees participate based on the distribution ratio. While the actual future impact will depend on various factors, including employees who may change employment from one company to another, we believe the estimate yields a reasonable approximation of the future dilutive impact of our equity plans.
v3.7.0.1
Subsequent Event (Notes)
 12 Months Ended
Apr. 29, 2017
Subsequent Events [Abstract]  
Subsequent Events [Text Block]
Note 18. Subsequent Event
In May 2017, we entered into an agreement with Unizin, Ltd. ("Unizin") to provide its 22 member universities with LoudCloud's predictive analytics solution, LoudSight. As a result, faculty and advisors will have access to a customized solution that helps educators identify, monitor, and support at-risk students, with the goal of improving student success rates and retention. For additional information related to our Strategies, see Part I - Item 1. Business - Overview - Barnes & Noble College.
v3.7.0.1
Schedule II Valuation and Qualifying Accounts Schedule II Valuation and Qualifying Accounts (Notes)
 12 Months Ended
Apr. 29, 2017
Valuation and Qualifying Accounts [Abstract]  
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block]
Schedule II—Valuation and Qualifying Accounts
Barnes & Noble Education, Inc.
Receivables Valuation and Qualifying Accounts
(In thousands)
For the 52 week periods ended April 29, 2017, April 30, 2016, and May 2, 2015:
 
 
Balance at
beginning
of period
 
Charge
(recovery) to
costs and
expenses
 
Write-offs
 
Balance at
end
of period
Allowance for Doubtful Accounts
 
 
 
 
 
 
 
 
April 29, 2017
 
$
2,320

 
$
3,459

 
$
(3,520
)
 
$
2,259

April 30, 2016
 
$
2,313

 
$
4,000

 
$
(3,993
)
 
$
2,320

May 2, 2015
 
$
2,233

 
$
3,544

 
$
(3,464
)
 
$
2,313

 
 
 
 
 
 
 
 
 
 
 
Balance at
beginning
of period
 
Addition
Charged to
Costs
 
Deductions
 
Balance at
end
of period
Sales Returns Reserves
 
 
 
 
 
 
 
 
April 29, 2017
 
$
757

 
$
155,486

 
$
(149,426
)
 
$
6,817

April 30, 2016
 
$
679

 
$
130,421

 
$
(130,343
)
 
$
757

May 2, 2015
 
$
608

 
$
123,828

 
$
(123,757
)
 
$
679


All other schedules are omitted because the conditions requiring their filing do not exist, or because the required information is provided in the consolidated financial statements, including the notes thereto.
v3.7.0.1
Summary of Significant Accounting Policies (Policies)
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
Debt, Policy [Policy Text Block]  
The debt issuance costs have been deferred and are presented as an asset which is subsequently amortized ratably over the term of the credit agreement.
Basis of Presentation
Basis of Presentation
Our consolidated financial statements reflect our consolidated financial position, results of operations and cash flows in conformity with accounting principles generally accepted in the United States (“GAAP”). In the opinion of the Company’s management, the accompanying consolidated financial statements of the Company contain all adjustments (consisting of only normal recurring adjustments) necessary to present fairly its consolidated financial position and the results of its operations and cash flows for the periods reported.
Our fiscal year is comprised of 52 or 53 weeks, ending on the Saturday closest to the last day of April. The fiscal year periods for each of the last three fiscal years consisted of the 52 weeks ended April 29, 2017 (Fiscal 2017), 52 weeks ended April 30, 2016 (Fiscal 2016), and 52 weeks ended May 2, 2015 (Fiscal 2015).
Our retail business (BNC and MBS Direct) is seasonal, with sales generally highest in the second and third fiscal quarters, when college students generally purchase textbooks for the upcoming semesters, and lowest in the first and fourth fiscal quarters. Sales attributable to the MBS wholesale business are generally highest in our first, second and third quarter as it sells textbooks for retail distribution, which somewhat offsets the decreased first quarter sales attributable to our retail business. MBS has significantly lower operating profit or operating loss realized during the fourth quarter (generally February through April).
Stand-alone basis financial statements (Prior to the Spin-Off)
On August 2, 2015, we completed the legal separation ("Spin-Off") from Barnes & Noble, Inc., at which time we began to operate as an independent publicly-traded company.
For the first quarter of Fiscal 2016 and Fiscal 2015 (periods presented prior to the Spin-Off), (collectively referred to as the "stand-alone periods"), our consolidated financial statements are presented on a stand-alone basis since we were still part of Barnes & Noble, Inc. Our consolidated financial statements were derived from the consolidated financial statements and accounting records of Barnes & Noble, Inc.. Our consolidated financial statements include certain assets and liabilities that have historically been held at the Barnes & Noble, Inc. corporate level but are specifically identifiable or otherwise attributable to us. For additional information, see Note 10. Barnes & Noble, Inc. Transactions.
Consolidated basis financial statements (Subsequent to the Spin-Off)
The Spin-Off from Barnes & Noble, Inc. occurred on August 2, 2015 and therefore, the results of operations are presented on a consolidated basis for the 39 weeks ended April 30, 2016 (i.e. second, third and fourth quarter of Fiscal 2016) which includes direct costs incurred with Barnes & Noble, Inc. under various agreements. Certain corporate and shared service functions historically provided by Barnes & Noble, Inc. (as described above) will continue to be provided by Barnes & Noble, Inc. under the Transition Services Agreement. For additional information, see Note 10. Barnes & Noble, Inc. Transactions.
For our Fiscal 2017, the results of operations for the entire 52 weeks ended April 29, 2017, our consolidated financial statements are presented on a consolidated basis.
On February 27, 2017, we acquired MBS Textbook Exchange, LLC ("MBS"). The consolidated financial statements for the 52 weeks ended April 29, 2017 include the financial results of MBS from the acquisition date, February 27, 2017, to April 29, 2017. Subsequent to the acquisition, the consolidated financial statements include the accounts of MBS and all material intercompany accounts and transactions have been eliminated in consolidation. For additional information, see Note 4. Acquisitions and Strategic Agreements.
 
Use of Estimates
Use of Estimates
In preparing financial statements in conformity with GAAP, we are required to make estimates and assumptions that affect the reported amounts in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
  
Cash and Cash Equivalents, Policy [Policy Text Block]
Cash and Cash Equivalents
We consider all short-term, highly liquid instruments purchased with an original maturity of three months or less to be cash equivalents.
  
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block]
Cash and Cash Equivalents
We consider all short-term, highly liquid instruments purchased with an original maturity of three months or less to be cash equivalents.
Restricted Cash
Restricted cash of $1,996 and $698 is included in prepaid and other current assets and other noncurrent assets, respectively, in the consolidated balance sheet as of April 29, 2017. Restricted cash of $301 and$1,996 is included in prepaid and other current assets and other noncurrent assets, respectively, in the consolidated balance sheet as of April 30, 2016. We generally do not control these accounts and these funds are amounts held for future scheduled distributions related to acquisitions. Such funds are invested principally in money market funds.
 
Restricted Cash [Policy Text Block]
Restricted Cash
Restricted cash of $1,996 and $698 is included in prepaid and other current assets and other noncurrent assets, respectively, in the consolidated balance sheet as of April 29, 2017. Restricted cash of $301 and$1,996 is included in prepaid and other current assets and other noncurrent assets, respectively, in the consolidated balance sheet as of April 30, 2016. We generally do not control these accounts and these funds are amounts held for future scheduled distributions related to acquisitions. Such funds are invested principally in money market funds.
 
Receivables, Trade and Other Accounts Receivable, Allowance for Doubtful Accounts, Policy [Policy Text Block]
Accounts Receivable
Receivables represent customer, private and public institutional and government billings (colleges, universities and other financial aid providers), credit/debit card receivables, advances for book buybacks, advertising and other receivables due within one year.
Components of accounts receivables are as follows:
 
 
As of
 
 
April 29, 2017
 
April 30, 2016
Trade accounts
 
$
58,460

 
$
35,578

Advances for book buybacks
 
12,779

 
—

Credit/debit card receivables
 
3,737

 
3,253

Other receivables
 
11,064

 
12,093

Total receivables, net
 
$
86,040

 
$
50,924


Accounts receivable are presented on our consolidated balance sheets net of allowances. An allowance for doubtful accounts is determined through an analysis of the aging of accounts receivable and assessments of collectability based on historical trends, the financial condition of our customers and an evaluation of economic conditions. We write-off uncollectible trade receivables once collection efforts have been exhausted and record bad debt expenses related to textbook rentals that are not returned and we are unable to successfully charge the customer. Allowance for doubtful accounts were $2,259, and $2,320 for Fiscal 2017 and Fiscal 2016, respectively.
  
Merchandise Inventories
Merchandise Inventories
Merchandise inventories, which consist of finished goods, are stated at the lower of cost or market. Market value of our inventory, which is all purchased finished goods, is determined based on its estimated net realizable value, which is generally the selling price less normally predictable costs of disposal and transportation. Reserves for non-returnable inventory are based on our history of liquidating non-returnable inventory.
Cost is determined primarily by the retail inventory method for our BNC segment and last-in first out, or “LIFO”, method for our MBS segment. Our textbook inventories, for BNC and MBS, and trade book inventories are valued using the LIFO method and the related reserve was not material to the recorded amount of our inventories. There were no LIFO adjustments in Fiscal 2017, Fiscal 2016 and Fiscal 2015.
We also estimate and accrue shortage for the period between the last physical count of inventory and the balance sheet date. Shortage rates are estimated and accrued based on historical rates and can be affected by changes in merchandise mix and changes in actual shortage trends.
The products that we sell originate from a wide variety of domestic and international vendors. BNC's four largest suppliers, excluding MBS, accounted for approximately 40.4% of our merchandise purchased during the twelve month period ended April 29, 2017. For MBS, the four largest suppliers, excluding BNC, accounted for approximately 36.8% of merchandise purchases during the twelve month period ended April 29, 2017.
 
Textbook Rentals Inventories
Textbook Rental Inventories
Physical textbooks out on rent are categorized as textbook rental inventories. At the time a rental transaction is consummated, the book is removed from merchandise inventories and moved to textbook rental inventories at cost. The cost of the book is amortized down to its estimated residual value over the rental period. The related amortization expense is included in cost of goods sold. At the end of the rental period, upon return, the book is removed from textbook rental inventories and recorded in merchandise inventories at its amortized cost.
  
Property, Plant and Equipment, Planned Major Maintenance Activities, Policy [Policy Text Block]
Property and Equipment
Property and equipment are carried at cost, less accumulated depreciation. Depreciation is computed using the straight-line method over estimated useful lives. Maintenance and repairs are expensed as incurred, however major maintenance and remodeling costs are capitalized if they extend the useful life of the asset. We had $41,224, $42,213, and$40,257 of depreciation expense for Fiscal 2017 and Fiscal 2016 and Fiscal 2015, respectively.
Components of property and equipment are as follows:
 
 
 
 
As of
 
 
Useful Life
 
April 29, 2017
 
April 30, 2016
Property and equipment:
 
 
 
 
 
 
Leasehold improvements
 
(a)
 
$
144,260

 
$
142,595

Machinery, equipment and display fixtures
 
3 - 5
 
235,153

 
219,289

Computer hardware and capitalized software costs
 
(b)
 
100,749

 
88,937

Office furniture and other
 
2 - 7
 
52,339

 
46,856

Construction in progress
 
 
 
18,551

 
17,302

Total property and equipment
 
 
 
551,052

 
514,979

Less accumulated depreciation and amortization
 
 
 
434,439

 
403,794

Total property and equipment, net
 
 
 
$
116,613

 
$
111,185

(a)
Leasehold improvements are capitalized and depreciated over the shorter of lease term or the useful life of the improvements, ranging from one to 15 years.
(b)
System costs are capitalized and amortized over their estimated useful lives, from the date the systems become operational. Purchased software is generally amortized over a period of between 2-5 years.
  
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block]
Other Long-Lived Assets
Our other long-lived assets include property and equipment and amortizable intangibles. We had $209,885 and $199,663 of amortizable intangible assets, net of amortization, as of April 29, 2017 and April 30, 2016, respectively. These amortizable intangible assets relate primarily to our customer and bookstore relationships with our colleges and university clients, and technology acquired. For additional information related to amortizable intangibles, see Note 9. Supplementary Information - Intangible Assets.
We review our long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable and consider market participants in accordance with Accounting Standards Codification ("ASC") 360-10, Accounting for the Impairment or Disposal of Long-Lived Assets. We evaluate long-lived assets for impairment at the school contract combined store level, which is the lowest level at which individual cash flows can be identified. When evaluating long-lived assets for potential impairment, we first compare the carrying amount of the assets to the school contract combined store level’s estimated future undiscounted cash flows. If the estimated future cash flows are less than the carrying amount of the assets, an impairment loss calculation is prepared. The impairment loss calculation compares the carrying amount of the assets to the school contract combined store level’s fair value based on its estimated discounted future cash flows. If required, an impairment loss is recorded for that portion of the asset’s carrying value in excess of fair value. Impairment losses related to school contracts included in selling and administrative expenses totaled $23, $59, and $7 during Fiscal 2017, Fiscal 2016 and Fiscal 2015, respectively.
In Fiscal 2016, we implemented a plan to restructure our digital operations. As a result of this restructuring, we recorded a non-cash impairment loss of $11,987. For additional information, see Note 9. Supplementary Information - Impairment Loss (non-cash) and Restructuring Costs.
  
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block]
Goodwill
The costs in excess of net assets of businesses acquired are carried as goodwill in the accompanying consolidated balance sheets. As of April 29, 2017 and April 30, 2016, we had $329,467 and $280,911 of goodwill, respectively. For additional information, see Note 9. Supplementary Information - Goodwill.
ASC No. 350-30, Goodwill and Other Intangible Assets ("ASC 350-30"), requires that goodwill be tested for impairment at least annually or earlier if there are impairment indicators. We perform a two-step process for impairment testing of goodwill as required by ASC 350-30. The first step of this test, used to identify potential impairment, compares the fair value of a reporting unit with its carrying amount. The second step (if necessary) measures the amount of the impairment.
We completed our annual goodwill impairment test as of the first day of the third quarter of Fiscal 2017. In performing the valuation, we used cash flows that reflected management’s forecasts and discount rates that included risk adjustments consistent with the current market conditions. Based on the results of the step one testing, fair value of the one reporting unit exceeded its carrying value; therefore, the second step of the impairment test was not required to be performed and no goodwill impairment was recognized.
As of the date of our annual goodwill impairment test, the excess fair value over carrying value was approximately 5%. Goodwill is subject to further risk of impairment if comparable store sales decline, store closings accelerate or digital projections fall short of expectations. Additionally, changes in the structure of our business as a result of future reorganizations, acquisitions or divestitures of assets or businesses could result in future impairments of goodwill. Refer to Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations - Critical Accounting Policies and Estimates for a discussion of key assumptions used in our testing.
  
Revenue Recognition
Revenue Recognition and Deferred Revenue
Revenue from sales of our products at physical locations is recognized at the time of sale. Revenue from sales of products ordered through our websites is recognized upon receipt of our products by our customers. Revenue from the sale of traditional textbooks from our wholesale and virtual bookstores is recognized at the time of shipment. Additional revenue is recognized for shipping charges billed to customers.
We rent both physical and digital textbooks. Revenue from the rental of physical textbooks is deferred and recognized over the rental period commencing at point of sale. We offer a buyout option to allow the purchase of a rented physical textbook at the end of the rental period. We record the buyout purchase when the customer exercises and pays the buyout option price. In these instances, we would accelerate any remaining deferred rental revenue at the point of sale.
Revenue from the rental of digital textbooks is recognized at time of sale. A software feature is embedded within the content of our digital textbooks, such that upon expiration of the rental term the customer is no longer able to access the content. While the digital rental allows the customer to access digital content for a fixed period of time, once the digital content is delivered to the customer our performance obligation is complete. We primarily record digital textbook rental sales on a net basis in accordance with ASC 605-45-45, Reporting Revenue Gross as a Principal versus Net as an Agent.
Sales taxes collected from our customers are excluded from reported revenues. All of our sales are recognized as revenue on a “net” basis, including sales in connection with any periodic promotions offered to customers. We do not treat any promotional offers as expenses.
  
Cost of Sales, Policy [Policy Text Block]
Cost of Sales
Our cost of sales primarily include costs such as merchandise costs, textbook rental amortization, warehouse costs related to inventory management and order fulfillment, certain payroll costs, and management service agreement costs, including rent expense, related to our college and university contracts and other facility related expenses.
  
Selling, General and Administrative Expenses, Policy [Policy Text Block]
Selling and Administrative Expenses
Our selling and administrative expenses consist primarily of store payroll and store operating expenses. Selling and administrative expenses also include stock-based compensation and general office expenses, such as executive oversight, merchandising, field support, finance, human resources, benefits, training, legal, and information technology, as well as our investments in our digital platform.
  
Advertising Costs, Policy [Policy Text Block]
Advertising Costs
The costs of advertising are expensed as incurred during the year pursuant to ASC No. 720-35, Advertising Costs. Advertising costs charged to selling and administrative expenses were $7,437, $8,193, and $8,614 during Fiscal 2017, Fiscal 2016 and Fiscal 2015, respectively.
  
Income Tax, Policy [Policy Text Block]
Income Taxes
The provision for income taxes includes federal, state and local income taxes currently payable and those deferred because of temporary differences between the financial statement and tax basis of assets and liabilities. The deferred tax assets and liabilities are measured using the enacted tax rates and laws that are expected to be in effect when the differences reverse. We regularly review deferred tax assets for recoverability and establish a valuation allowance, if determined to be necessary. For additional information, see Note 14. Income Taxes.
As of April 29, 2017, other long-term liabilities includes $77,141 related to the long-term tax payable associated with the LIFO reserve. The LIFO reserve is impacted by changes in the CPI and inventory levels. Management believes it is remote that the long-term tax payable associated with the LIFO reserve will be payable or will result in a cash tax payment in the foreseeable future, assuming that the historical CPI and inventory trends continue and  LIFO will continue to be an acceptable inventory method for tax purposes.
  
Net Earnings (Loss) Per Share
Earnings Per Share
For periods prior to the Spin-Off from Barnes & Noble, Inc. on August 2, 2015, basic earnings per share and weighted-average basic shares outstanding are based on the number of shares of Barnes & Noble, Inc. common stock outstanding as of the end of the period, adjusted for the distribution ratio of 0.632 shares of our Common Stock for every one share of Barnes & Noble, Inc. common stock held on the record date for the Spin-Off.
For periods prior to the Spin-Off, diluted earnings per share and weighted-average diluted shares outstanding reflect potential common shares from Barnes & Noble, Inc. equity plans in which our employees participated. Certain of our employees held restricted stock units and stock options granted by Barnes & Noble, Inc. which were considered participating securities.
Basic EPS is computed based upon the weighted average number of common shares outstanding for the year. Diluted EPS is computed based upon the weighted average number of common shares outstanding for the year plus the dilutive effect of common stock equivalents using the treasury stock method and the average market price of our common stock for the year. We include participating securities (unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents) in the computation of EPS pursuant to the two-class method. Our participating securities consist solely of unvested restricted stock awards, which have contractual participation rights equivalent to those of stockholders of unrestricted common stock. The two-class method of computing earnings per share is an allocation method that calculates earnings per share for common stock and participating securities. During periods of net loss, no effect is given to the participating securities because they do not share in the losses of the Company. During the Fiscal 2017, Fiscal 2016 and Fiscal 2015, no shares were excluded from the diluted earnings per share calculation using the two-class method as they were not antidilutive.
Earnings Per Common Share
Basic earnings per share represent net earnings to common stockholders divided by the weighted-average number of common shares outstanding for the period. Diluted earnings per share reflect, in periods in which they have a dilutive effect, the impact of our stock based compensation. See Note 6. Equity and Earnings Per Share for further information regarding the calculation of basic and diluted earnings per common share.
Segment Reporting, Policy [Policy Text Block]
Effective with the acquisition of MBS on February 27, 2017, we have determined that we operate two reportable segments: BNC and MBS. The consolidated financial statements for the 52 weeks ended April 29, 2017 include the financial results of MBS from the acquisition date, February 27, 2017, to April 29, 2017.
We identified our segments based on the way our business is managed (focusing on the financial information distributed) and the manner in which our chief operating decision maker allocates resources and assesses financial performance. Prior to the acquisition of MBS, BNC was previously our only reportable segment. Our international operations are not material and the majority of the revenue and total assets are within the United States.
Subsequent to the acquisition, the consolidated financial statements include the accounts of MBS and all material intercompany accounts and transactions have been eliminated in consolidation. The eliminations are primarily related to the the following intercompany activities:
•
BNC purchases new and used textbooks from MBS for distribution at BNC's physical college bookstores. We eliminate intercompany profit in ending inventory, and
•
BNC sells certain textbooks to MBS that they cannot return to suppliers or use in their stores. MBS pays BNC commissions based on the volume of these textbooks sold to MBS and with respect to the textbook requirements of certain distance learning programs that MBS fulfills on BNC's behalf.
BNC
BNC operates 769 physical campus bookstores, the majority of which also have school-branded e-commerce sites operated by BNC, and BNC also includes our digital operations. Our campus stores are a social and academic hub through which students can access affordable course materials and affinity products, including new and used print and digital textbooks, which are available for sale or rent; emblematic apparel and gifts; trade books; computer products; school and dorm supplies; café offerings; convenience food and beverages; and graduation products. BNC product offerings also include a suite of digital content, software, and services through our LoudCloud platform, such as predictive analytics, a variety of courseware built on a foundation of open educational resources ("OER"), and competency-based learning solutions. For additional information about this segments operations, see Part I - Item 1. Business - Barnes & Nobe College.
MBS
Our MBS subsidiary operates two highly integrated businesses. The MBS Direct business is the largest contract operator of virtual bookstores for college and university campuses, and private/parochial K-12 schools. MBS Direct operates 712 virtual bookstores, offering new and used print and digital textbooks, which are available for sale or rent. Additionally, MBS Direct sells textbooks directly to students through textbooks.comSM, one of the largest e-commerce sites for new and used textbooks. MBS Wholesale is one of the largest textbook wholesalers in the country, providing a comprehensive selection of new and used textbooks at a low cost of supply to more than 3,700 physical bookstores, including BNC’s 769 campus bookstores. For additional information about this segments operations, see Part I - Item 1. Business - MBS Textbook Exchange.
The consolidated financial statements for the 52 weeks ended April 29, 2017 include the financial results of MBS from the acquisition date, February 27, 2017, to April 29, 2017.
  
Distribution at SpinOff [Policy Text Block]
On February 26, 2015, Barnes & Noble, Inc. announced plans to Spin-Off its 100% equity interest in our Company by distributing all of its equity interest in us, consisting of all of the outstanding shares of our Common Stock, to Barnes & Noble, Inc.’s stockholders on a pro rata basis (the “Distribution”).
On July 14, 2015, Barnes & Noble, Inc. approved the final distribution ratio and declared a pro rata dividend of the outstanding shares of our common stock to Barnes & Noble, Inc.’s existing stockholders. The pro-rata dividend was made on August 2, 2015 to the Barnes & Noble, Inc. stockholders of record (as of July 27, 2015). Each Barnes & Noble, Inc. stockholder of record received a distribution of 0.632 shares of our common stock for each share of Barnes & Noble, Inc. common stock held on the record date. On August 2, 2015, we completed the legal separation from Barnes & Noble, Inc. at which time we began to operate as an independent publicly-traded company. Following the Spin-Off, Barnes & Noble, Inc. does not own any equity interest in us.
 
Share Repurchase [Policy Text Block]
Share Repurchases
On December 14, 2015, our Board of Directors authorized a stock repurchase program of up to $50,000, in the aggregate, of our outstanding Common Stock. The stock repurchase program is carried out at the direction of management (which includes a plan under Rule 10b5-1 of the Securities Exchange Act of 1934). The stock repurchase program may be suspended, terminated, or modified at any time. Any repurchased shares will be held as treasury stock and will be available for general corporate purposes. During the 52 weeks ended April 29, 2017, we repurchased 688,948 shares for approximately $6,718 at a weighted average cost per share of $10.10. During the 52 weeks ended April 30, 2016, we repurchased 1,715,269 shares for approximately $16,612 at a weighted average cost per share of $9.95. As of April 29, 2017, approximately $26,669 remains available under the stock repurchase program.
During the 52 weeks ended April 29, 2017 and April 30, 2016, we also repurchased 276,292 shares and 174,511 shares of our Common Stock in connection with employee tax withholding obligations for vested stock awards, respectively.
  
Dividend [Policy Text Block]
Dividends
We paid no dividends to common stockholders during Fiscal 2017, Fiscal 2016 and Fiscal 2015. We do not intend to pay dividends on our Common Stock in the foreseeable future.
 
Fair Values of Financial Instruments
In accordance with ASC No. 820, Fair Value Measurements and Disclosures, the fair value of an asset is considered to be the price at which the asset could be sold in an orderly transaction between unrelated knowledgeable and willing parties. A liability’s fair value is defined as the amount that would be paid to transfer the liability to a new obligor, not the amount that would be paid to settle the liability with the creditor. Assets and liabilities recorded at fair value are measured using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include:
Level 1—Observable inputs that reflect quoted prices in active markets
Level 2—Inputs other than quoted prices in active markets that are either directly or indirectly observable
Level 3—Unobservable inputs in which little or no market data exists, therefore requiring us to develop our own assumptions
Our financial instruments include cash and cash equivalents, receivables, accrued liabilities and accounts payable. The fair values of cash and cash equivalents, receivables, accrued liabilities and accounts payable approximates their carrying values because of the short-term nature of these instruments, which are all considered Level 1. The fair value of short-term and long-term debt approximates its carrying value.
  
Intangible Assets, Finite-Lived, Policy [Policy Text Block]
All amortizable intangible assets are being amortized over their useful life on a straight-line basis.
  
Performance Share Award Policy [Policy Text Block]
PS awards were granted to employees that will only vest based upon the achievement of pre-established performance goals related to Adjusted EBITDA and new business achieved measured over a period of time. The PS will vest based on company performance during Fiscal 2017 - Fiscal 2018 with one additional year of time-based vesting. The number of PS awards that will vest range from 0%-150% of the target award based on actual performance.
  
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block]
Barnes & Noble’s Equity Plans Prior to Spin-Off
Prior to the Spin-Off, certain of our employees were eligible to participate in Barnes & Noble, Inc. equity plans pursuant to which they were granted awards of Barnes & Noble, Inc. common stock. Under these equity plans, our employees were granted restricted stock units, restricted stock and stock options.
Barnes & Noble, Inc. recognized stock-based compensation costs, net of estimated forfeitures, for only those shares expected to vest on a straight-line basis over the requisite service period of the award. Barnes & Noble, Inc. estimated the forfeiture rates based on its historical experience. The fair market value of restricted stock was determined based on the closing price of Barnes & Noble, Inc.’s common stock on the grant date. Barnes & Noble, Inc. used the Black-Scholes option-pricing model to value Barnes & Noble, Inc.’s stock options for each stock option award.
The equity-based payments recorded by us prior to the Spin-Off included the expense associated with our employees.
Current Equity Plans
During the second quarter of Fiscal 2016, post Spin-Off, we reserved 2,409,345 shares of our Common Stock for future grants in accordance with the Barnes & Noble Education Inc. Equity Incentive Plan (the "Equity Incentive Plan"). Additionally, during the second quarter of Fiscal 2017 shareholders approved an amendment to the Equity Incentive Plan to increase the number of shares available for issuance by an additional 4,000,000 shares of our Common Stock, for an aggregate total of 6,409,345 shares.
Types of equity awards that can be granted under the Equity Incentive Plan include options, restricted stock ("RS"), restricted stock units ("RSU") and performance shares ("PS"). We have not granted options under the Equity Incentive Plan.
A restricted stock award is an award of common stock that is subject to certain restrictions during a specified period. Restricted stock awards are generally subject to forfeiture if employment terminates prior to the release of the restrictions. The grantee cannot transfer the shares before the restricted shares vest. Shares of unvested restricted stock have the same voting rights as common stock, are entitled to receive dividends and other distributions thereon and are considered to be currently issued and outstanding. Restricted stock awards vest over a period of one year.
A restricted stock unit is a grant valued in terms of our common stock, but no stock is issued at the time of grant. Each restricted stock unit may be redeemed for one share of our common stock once vested. Restricted stock units are generally subject to forfeiture if employment terminates prior to the release of the restrictions. The grantee cannot transfer the units except in very limited circumstances and with the consent of the compensation committee. Shares of unvested restricted stock units have no voting rights but are entitled to receive dividends and other distributions thereon. Restricted stock units vest over a period of three years.
We recognize compensation expense for awards ratably over the requisite service period of the award, which is generally three years. We recognize compensation expense based on the number of awards expected to vest using an estimated average forfeiture rate. We calculate the fair value of stock-based awards based on the closing price on the date the award was granted.
 
Commitments and Contingencies, Policy [Policy Text Block]
We generally operate our stores pursuant to multi-year school management contracts under which a school designates us to operate the official school bookstore on campus and we provide the school with regular payments that represent a percentage of store sales and, in some cases, include a minimum fixed guaranteed payment. We account for these service agreements under lease accounting. We provide for minimum contract expense over the contract terms on a straight-line basis. The excess of such minimum contract expense over actual contract payments (net of school allowances) is reflected in other long-term liabilities and accrued liabilities in the consolidated balance sheets.
 
v3.7.0.1
Summary of Significant Accounting Policies Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Apr. 29, 2017
Summary of Significant Accounting Policies [Abstract]  
Accounts Receivable [Table Text Block]
Receivables represent customer, private and public institutional and government billings (colleges, universities and other financial aid providers), credit/debit card receivables, advances for book buybacks, advertising and other receivables due within one year.
Components of accounts receivables are as follows:
 
 
As of
 
 
April 29, 2017
 
April 30, 2016
Trade accounts
 
$
58,460

 
$
35,578

Advances for book buybacks
 
12,779

 
—

Credit/debit card receivables
 
3,737

 
3,253

Other receivables
 
11,064

 
12,093

Total receivables, net
 
$
86,040

 
$
50,924
Property and Equipment [Table Text Block]
Components of property and equipment are as follows:
 
 
 
 
As of
 
 
Useful Life
 
April 29, 2017
 
April 30, 2016
Property and equipment:
 
 
 
 
 
 
Leasehold improvements
 
(a)
 
$
144,260

 
$
142,595

Machinery, equipment and display fixtures
 
3 - 5
 
235,153

 
219,289

Computer hardware and capitalized software costs
 
(b)
 
100,749

 
88,937

Office furniture and other
 
2 - 7
 
52,339

 
46,856

Construction in progress
 
 
 
18,551

 
17,302

Total property and equipment
 
 
 
551,052

 
514,979

Less accumulated depreciation and amortization
 
 
 
434,439

 
403,794

Total property and equipment, net
 
 
 
$
116,613

 
$
111,185

(a)
Leasehold improvements are capitalized and depreciated over the shorter of lease term or the useful life of the improvements, ranging from one to 15 years.
(b)
System costs are capitalized and amortized over their estimated useful lives, from the date the systems become operational. Purchased software is generally amortized over a period of between 2-5 years.
v3.7.0.1
Acquisitions and Strategic Agreements Acquisitions and Strategic Agreements (Tables)
 12 Months Ended
Apr. 29, 2017
Business Combinations [Abstract]  
Schedule of Business Acquisitions, by Acquisition [Table Text Block]
The following is a summary of consideration paid for the acquisition:
Cash paid to Seller or escrow
 
$
165,499

Consideration to Seller for pre-closing costs
 
4,657

Cash paid for Seller closing costs
 
4,044

Contract purchase price
 
$
174,200

Consideration for payment to settle Seller's outstanding short-term borrowings
 
24,437

Consideration for reimbursement of pre-acquisition tax liability to Seller
 
14,668

Less: Consideration to Seller for pre-closing costs
 
(4,657
)
Less: Consideration for settlement of pre-existing payable to Seller
 
(21,674
)
Total value of consideration transferred
 
$
186,974

 
 
 
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block]
The following is a summary of the preliminary estimated fair values of the net assets acquired:
Total estimated consideration transferred
 
$
186,974

Cash and cash equivalents
 
$
472

Accounts receivable, net
 
28,177

Merchandise inventory
 
128,431

Property and equipment
 
12,403

Intangible assets
 
21,576

Prepaid and other assets
 
4,748

Total assets
 
$
195,807

Accounts payable
 
$
35,383

Accrued expenses
 
8,799

Other long-term liabilities
 
12,769

Total liabilities
 
$
56,951

Net assets to be acquired
 
$
138,856

Goodwill
 
$
48,118
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block]
Identified intangible assets include the following:
Type of Intangible
 
Amount
 
Estimated Useful Life
Favorable Lease
 
$
1,076

 
6.5
Trade Name
 
3,500

 
10
Technology
 
1,500

 
3
Book Store Relationship
 
13,000

 
13
Direct Customer Relationship
 
2,000

 
15
Non-Compete Agreements
 
500

 
3
Total Intangibles:
 
$
21,576

 
 
Business Acquisition, Pro Forma Information [Table Text Block]
As the acquisition was material to our consolidated financial statements, the following represents the pro forma consolidated income statement as if MBS had been included in the consolidated results for the entire fiscal year for Fiscal 2017 and Fiscal 2016:
Pro forma consolidated income statement
 
 
 
 
52 weeks ended
 
April 29, 2017
 
April 30, 2016
Sales
$
2,247,825

 
$
2,216,628

Net income
$
32,055

 
$
25,022
v3.7.0.1
Segment Reporting Segment (Tables)
 12 Months Ended
Apr. 29, 2017
Segment Reporting Information [Line Items]  
Schedule of Segment Reporting Information, by Segment [Table Text Block]
 
 
52 weeks ended
 
52 weeks ended
 
52 weeks ended
 
 
April 29, 2017
 
April 30, 2016
 
May 2, 2015
Sales:
 
 
 
 
 
 
BNC
 
$
1,845,561

 
$
1,808,029

 
$
1,772,998

MBS (February 27, 2017, to April 29, 2017)
 
34,091

 
—

 
—

Elimination (February 27, 2017, to April 29, 2017)
 
(5,290
)
 
—

 
—

Total Sales
 
$
1,874,362

 
$
1,808,029

 
$
1,772,998

 
 
 
 
 
 
 
Gross Profit
 
 
 
 
 
 
BNC
 
$
453,252

 
$
453,349

 
$
443,573

MBS (February 27, 2017, to April 29, 2017)
 
4,748

 
—

 
—

Elimination (February 27, 2017, to April 29, 2017)
 
(637
)
 
—

 
—

Total Gross Profit
 
$
457,363

 
$
453,349

 
$
443,573

 
 
 
 
 
 
 
Depreciation and Amortization
 
 
 
 
 
 
BNC
 
$
52,259

 
$
52,690

 
$
50,509

MBS (February 27, 2017, to April 29, 2017)
 
1,059

 
—

 
—

Total Depreciation and Amortization
 
$
53,318

 
$
52,690

 
$
50,509

 
 
 
 
 
 
 
Operating Income
 
 
 
 
 
 
BNC
 
$
18,820

 
$
4,623

 
$
33,560

MBS (February 27, 2017, to April 29, 2017)
 
(4,628
)
 
—

 
—

Elimination (February 27, 2017, to April 29, 2017)
 
(637
)
 
—

 
—

Total Operating Income
 
$
13,555

 
$
4,623

 
$
33,560

 
 
 
 
 
 
 
The following is a reconciliation of segment Operating Income to consolidated Income Before Income Taxes
 
 
 
 
 
 
Total Operating Profit
 
$
13,555

 
$
4,623

 
$
33,560

Interest Expense, net
 
(3,464
)
 
(1,872
)
 
(210
)
Total Income Before Income Taxes
 
$
10,091

 
$
2,751

 
$
33,350

 
 
 
 
 
 
 
Reconciliation of Assets from Segment to Consolidated [Table Text Block]
 
 
As of
 
 
April 29, 2017
 
April 30, 2016
Total Assets
 
 
 
 
BNC (includes goodwill of $281,349 and $280,911, respectively)
 
$
1,049,441

 
$
1,071,683

MBS (includes goodwill of $48,118 and $0, respectively)
 
250,391

 
—

Total Assets
 
$
1,299,832

 
$
1,071,683

 
 
 
 
 
Reconciliation of Other Significant Reconciling Items from Segments to Consolidated [Table Text Block]
 
 
52 weeks ended
 
52 weeks ended
 
52 weeks ended
 
 
April 29, 2017
 
April 30, 2016
 
May 2, 2015
Capital Expenditures
 
 
 
 
 
 
BNC
 
$
34,452

 
$
50,790

 
$
48,452

MBS (February 27, 2017, to April 29, 2017)
 
218

 
—

 
—

Total Capital Expenditures
 
$
34,670

 
$
50,790

 
$
48,452

 
 
 
 
 
 
 
v3.7.0.1
Equity and Earnings Per Share (Tables)
 12 Months Ended
Apr. 29, 2017
Reconciliation of Basic and Diluted Loss Per Share
The following is a reconciliation of the basic and diluted earnings per share calculation:
 
Fiscal 2017
 
Fiscal 2016
 
Fiscal 2015
Numerator for basic earnings per share:
 
 
 
 
 
Net income
$
5,361

 
$
84

 
$
19,132

Accretion of dividends on preferred stock
—

 
—

 
(6,076
)
Less allocation of earnings to participating securities
(3
)
 
—

 
(313
)
Net income available to common shareholders
$
5,358

 
$
84

 
$
12,743

 
 
 
 
 
 
Numerator for diluted earnings per share:
 
 
 
 
 
Net income available to common shareholders
$
5,358

 
$
84

 
$
12,743

Accretion of dividends on preferred stock (a)
—

 
—

 
—

Allocation of earnings to participating securities
3

 
—

 
313

Less diluted allocation of earnings to participating securities
(3
)
 
—

 
(313
)
Net income available to common shareholders
$
5,358

 
$
84

 
$
12,743

 
 
 
 
 
 
Denominator for basic earnings per share: (b)
 
 
 
 
 
Basic weighted average shares of Common Stock
46,317

 
46,238

 
38,452

 
 
 
 
 
 
Denominator for diluted earnings per share: (c)
 
 
 
 
 
Basic weighted average shares of Common Stock
46,317

 
46,238

 
38,452

Average dilutive restricted stock units
389

 
227

 
—

Average dilutive performance shares
40

 
—

 
—

Average dilutive restricted shares
17

 
—

 
—

Average dilutive options
—

 
14

 
41

Diluted weighted average shares of Common Stock
46,763

 
46,479

 
38,493

 
 
 
 
 
 
Earnings per share of Common Stock:
 
 
 
 
 
Basic
$
0.12

 
$
—

 
$
0.33

Diluted
$
0.11

 
$
—

 
$
0.33

 
(a)
Although the Company was in a net income position during Fiscal 2016 and Fiscal 2015, the dilutive effect of the accretion of preferred membership interests were excluded from the calculation of income per share using the two-class method because the effect would be antidilutive.
(b)
For periods prior to the Spin-Off from Barnes & Noble, Inc. on August 2, 2015, basic earnings per share and weighted-average basic shares outstanding are based on the number of shares of Barnes & Noble, Inc. common stock outstanding as of the end of the period, adjusted for the distribution ratio of 0.632 shares of our Common Stock for every one share of Barnes & Noble, Inc. common stock held on the record date for the Spin-Off.
(c)
For periods prior to the Spin-Off, diluted earnings per share and weighted-average diluted shares outstanding reflect potential common shares from Barnes & Noble, Inc. equity plans in which our employees participated. Certain of our employees held restricted stock units and stock options granted by Barnes & Noble, Inc. which were considered participating securities.
v3.7.0.1
Supplementary Information Supplementary Information (Tables)
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
Other Income and Expenses [Abstract]    
Schedule of Intangible Assets [Table Text Block]
Amortizable intangible assets as of April 29, 2017 and April 30, 2016 are as follows:
 
 
 
 
As of April 29, 2017
Amortizable intangible assets
 
Remaining
Life
 
Gross
Carrying
Amount
 
Accumulated
Amortization
 
Total
Customer relationships
 
4 - 17
 
$
270,619

 
$
(77,640
)
 
$
192,979

Technology
 
3 - 9
 
12,100

 
(1,320
)
 
10,780

Other(a)
 
1 - 10
 
6,853

 
(727
)
 
6,126

 
 
 
 
$
289,572

 
$
(79,687
)
 
$
209,885


a)
Other consists of recognized intangibles for non-compete agreements, trade names and favorable leasehold interests.
 
 
 
 
As of April 30, 2016
Amortizable intangible assets
 
Remaining
Life
 
Gross
Carrying
Amount
 
Accumulated
Amortization
 
Total
Customer relationships
 
10 - 18
 
$
255,050

 
$
(67,151
)
 
$
187,899

Technology
 
10
 
10,600

 
(177
)
 
10,423

Other(a)
 
1 - 9
 
1,605

 
(264
)
 
1,341

 
 
 
 
$
267,255

 
$
(67,592
)
 
$
199,663


a)
Other consists of recognized intangibles for non-compete agreements and trade names.
Finite-lived Intangible Assets Amortization Expense [Table Text Block]
Aggregate Amortization Expense:
 
For the 52 weeks ended April 29, 2017
$
12,095

For the 52 weeks ended April 30, 2016
$
10,477

For the 52 weeks ended May 2, 2015
$
10,252

  
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]
Estimated Amortization Expense: (Fiscal Year)
 
2018
$
14,005

2019
$
13,998

2020
$
13,859

2021
$
13,265

2022
$
12,949

After 2022
$
141,809

  
Schedule of Goodwill [Table Text Block]
The following table details the changes in carrying value of goodwill (including foreign currency translation):
Balance at May 2, 2015
 
$
274,070

Goodwill related to acquisitions
 
6,841

Balance at April 30, 2016
 
$
280,911

Goodwill related to acquisitions
 
48,556

Balance at April 29, 2017
 
$
329,467

  
v3.7.0.1
Stock-Based Compensation Stock-Based Compensation (Tables)
 12 Months Ended
Apr. 29, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Schedule of Share-based Compensation, Activity [Table Text Block]
The following table presents a summary of restricted stock awards and restricted stock units activity related to our current Equity Incentive Plan:
 
 
Restricted Stock Awards
 
Restricted Stock Units
 
Performance Shares
 
 
Number of 
Shares
 
Weighted 
Average
Grant Date Fair Value
 
Number of 
Shares
 
Weighted 
Average
Grant Date Fair Value
 
Number of 
Shares
 
Weighted 
Average
Grant Date Fair Value
Balance, August 2, 2015
 
—

 
$
—

 
—

 
$
—

 
—

 
$
—

Granted (a)
 
73,352

 
$
13.08

 
1,681,552

 
$
10.12

 
—

 
$
—

Vested
 
(27,272
)
 
$
13.19

 
(431,106
)
 
$
7.29

 
—

 
$
—

Forfeited
 
—

 
$
—

 
(8,979
)
 
$
9.92

 
—

 
$
—

Balance, April 30, 2016
 
46,080

 
$
13.02

 
1,241,467

 
$
11.10

 
—

 
$
—

Granted
 
12,371

 
$
9.70

 
1,207,070

 
$
9.70

 
406,078

 
$
9.52

Vested
 
(46,080
)
 
$
13.02

 
(680,489
)
 
$
9.72

 
—

 
$
—

Forfeited
 
—

 
$
—

 
(36,425
)
 
$
9.69

 
—

 
$
—

Balance, April 29, 2017
 
12,371

 
$
9.70

 
1,731,623

 
$
10.70

 
406,078

 
$
9.52

(a)
Restricted Stock Units include the 877,426 converted RSU shares issued during Fiscal 2016 related to our spin-off from Barnes & Noble, Inc.
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block]
We recognized stock-based compensation expense for equity-based awards in selling and administrative expenses as follows:
 
Fiscal 2017
 
Fiscal 2016
 
Fiscal 2015
Restricted Stock Expense
$
280

 
$
840

 
$
306

Restricted Stock Units Expense
8,431

 
5,710

 
3,757

Performance Shares Expense
655

 
—

 
—

Stock Option Expense
—

 
120

 
678

Stock-Based Compensation Expense
$
9,366

 
$
6,670

 
$
4,741
v3.7.0.1
Income Taxes Income Taxes (Tables)
 12 Months Ended
Apr. 29, 2017
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]
Income tax provisions (benefits) for Fiscal 2017, Fiscal 2016 and Fiscal 2015 are as follows:
 
 
Fiscal 2017
 
Fiscal 2016
 
Fiscal 2015
Current:
 
 
 
 
 
 
Federal
 
$
14,872

 
$
13,019

 
$
22,061

State
 
1,819

 
1,783

 
3,489

Total current
 
16,691

 
14,802

 
25,550

Deferred:
 
 
 
 
 
 
Federal
 
(9,238
)
 
(9,922
)
 
(10,247
)
State
 
(2,723
)
 
(2,213
)
 
(1,085
)
Total deferred
 
(11,961
)
 
(12,135
)
 
(11,332
)
Total
 
$
4,730

 
$
2,667

 
$
14,218
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]
Reconciliation between the effective income tax rate and the federal statutory income tax rate is as follows:
 
 
Fiscal 2017
 
Fiscal 2016
 
Fiscal 2015
Federal statutory income tax rate
 
35.0
 %
 
35.0
 %
 
35.0
 %
State income taxes, net of federal income tax benefit
 
(5.8
)
 
(15.2
)
 
4.7

Valuation allowances
 
—

 
50.6

 
—

Permanent book / tax differences
 
25.5

 
31.1

 
3.1

Credits
 
(5.5
)
 
(5.4
)
 
(0.2
)
Other, net
 
(2.3
)
 
0.8

 
—

Effective income tax rate
 
46.9
 %
 
96.9
 %
 
42.6
 %
Schedule of Deferred Tax Assets and Liabilities [Table Text Block]
The significant components of our deferred taxes consisted of the following:
 
 
As of
 
 
April 29, 2017
 
April 30, 2016
Deferred tax assets:
 
 
 
 
Estimated accrued liabilities
 
$
13,047

 
$
13,859

Inventory
 
16,969

 
12,926

Stock-based compensation
 
1,780

 
1,648

Insurance liability
 
881

 
1,050

Lease transactions
 
1,826

 
2,138

Property and equipment
 
8,728

 
6,802

Tax credits
 
206

 
112

Net operating losses
 
4,916

 
3,477

Other
 
5,106

 
1,499

Gross deferred tax assets
 
53,459

 
43,511

Valuation allowance
 
(1,392
)
 
(1,394
)
Net deferred tax assets
 
52,067

 
42,117

Deferred tax liabilities:
 
 
 
 
Intangible asset amortization
 
(68,938
)
 
(71,982
)
Gross deferred tax liabilities
 
(68,938
)
 
(71,982
)
Net deferred tax liabilities
 
$
(16,871
)
 
$
(29,865
)
Summary of Income Tax Contingencies [Table Text Block]
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
Balance at May 3, 2014
$
180

Additions for tax positions of the current period
35

Additions for tax positions of prior periods
—

Reductions due to settlements
—

Other reductions for tax positions of prior periods
—

Balance at May 2, 2015
$
215

Additions for tax positions of the current period
21

Additions for tax positions of prior periods
—

Reductions due to settlements
—

Other reductions for tax positions of prior periods
(215
)
Balance at April 30, 2016
$
21

Additions for tax positions of the current period
40

Additions for tax positions of prior periods
25

Reductions due to settlements
—

Other reductions for tax positions of prior periods
—

Balance at April 29, 2017
$
86
v3.7.0.1
Commitments and Contingencies Commitments and Contingencies (Tables)
 12 Months Ended
Apr. 29, 2017
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Rent Expense [Table Text Block]
The expense related to our college and university contracts, including rent expense, and other facility costs in the consolidated statements of operations are as follows: 
 
 
Fiscal 2017
 
Fiscal 2016
 
Fiscal 2015
Minimum contract expense
 
$
165,980

 
$
140,743

 
$
125,388

Percentage contract expense
 
87,843

 
101,552

 
106,011

 
 
$
253,823

 
$
242,295

 
$
231,399
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]
As of April 29, 2017, future minimum annual obligations required under our contracts with colleges and universities and other facility costs are as follows:
Fiscal Year
 
2018
$
140,417

2019
133,514

2020
123,811

2021
116,153

2022
104,486

After 2022
207,807

 
$
826,188
Unrecorded Unconditional Purchase Obligations Disclosure [Table Text Block]
Purchase obligations, which includes information technology contracts and inventory purchase commitments, as of April 29, 2017 are as follows: 
Less Than 1 Year
$
3,124

1-3 Years
3,000

3-5 Years
175

Total
$
6,299
v3.7.0.1
Selected Quarterly Financial Information (Unaudited) Selected Quarterly Financial Information (Unaudited) (Tables)
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
Quarterly Financial Information Disclosure [Abstract]    
Quarterly Financial Information [Table Text Block]
Fiscal 2017 Quarterly Period Ended
 
July 30,
2016
 
October 29, 2016
 
January 28, 2017
 
April 29, 2017
 
Fiscal Year
 2017
Sales
 
$
239,237

 
$
770,671

 
$
521,624

 
$
342,830

 
$
1,874,362

Gross profit
 
$
47,413

 
$
171,514

 
$
115,925

 
$
122,511

 
$
457,363

Net (loss) income
 
$
(27,916
)
 
$
29,289

 
$
3,761

 
$
227

 
$
5,361

Basic (loss) earnings per common share:
 
 
 
 
 
 
 
 
 
 
Net (loss) income
 
$
(0.60
)
 
$
0.63

 
$
0.08

 
$
—

 
$
0.12

Diluted (loss) earnings per common share:
 
 
 
 
 
 
 
 
 
 
Net (loss) income
 
$
(0.60
)
 
$
0.63

 
$
0.08

 
$
—

 
$
0.11
Fiscal 2016 Quarterly Period Ended
 
August 1,
2015 (a)(b)
 
October 31,
2015
 
January 30,
2016
 
April 30,
2016
 
Fiscal Year
2016
Sales
 
$
238,983

 
$
755,864

 
$
518,423

 
$
294,759

 
$
1,808,029

Gross profit
 
$
51,544

 
$
175,121

 
$
120,640

 
$
106,044

 
$
453,349

Net (loss) income
 
$
(26,918
)
 
$
33,401

 
$
(3,603
)
 
$
(2,796
)
 
$
84

Basic (loss) earnings per common share:
 
 
 
 
 
 
 
 
 
 
Net (loss) income
 
$
(0.65
)
 
$
0.69

 
$
(0.07
)
 
$
(0.06
)
 
$
—

Diluted (loss) earnings per common share:
 
 
 
 
 
 
 
 
 
 
Net (loss) income
 
$
(0.65
)
 
$
0.69

 
$
(0.07
)
 
$
(0.06
)
 
$
—
v3.7.0.1
Organization Organization (Details)
Person in Millions
 12 Months Ended
Apr. 29, 2017
Person
Store
Number Of Students | Person 6
Number of Stores 1,481
BNC [Member]  
Number of Stores 769
MBS [Member]  
Number of Stores 712
Number of Wholesale Customers 3,700
v3.7.0.1
Summary of Significant Accounting Policies Summary of Significant Accounting Policies (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Aug. 01, 2015
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Transfers To From Parent Corporate Allocations Including Income Taxes $ (28,868)      
Depreciation   $ 41,224 $ 42,213 $ 40,257
Property, Plant and Equipment, Gross   551,052 514,979  
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment   434,439 403,794  
Property, Plant and Equipment, Net   116,613 111,185  
Intangible Assets, Net (Excluding Goodwill)   209,885 199,663  
Asset Impairment Charges   23 59 0
Other Nonrecurring Expense   0 11,987 0
Goodwill   $ 329,467 280,911 274,070
Goodwill FV over CV percentage   5.00%    
Marketing and Advertising Expense   $ 7,437 8,193 $ 8,614
Inventory, LIFO Reserve, Effect on Income, Net   77,141    
Prepaid Expenses and Other Current Assets [Member]        
Restricted Cash and Cash Equivalents   1,996 301  
Other Noncurrent Assets [Member]        
Restricted Cash and Cash Equivalents   $ 698 1,996  
BNC [Member]        
Largest Suppliers Percentage   40.00%    
MBS [Member]        
Largest Suppliers Percentage   37.00%    
Leasehold Improvements [Member]        
Property, Plant and Equipment, Gross   $ 144,260 142,595  
Display fixtures and equipment [Member]        
Property, Plant and Equipment, Gross   235,153 219,289  
Software and Software Development Costs [Member]        
Property, Plant and Equipment, Gross   100,749 88,937  
Furniture and Fixtures [Member]        
Property, Plant and Equipment, Gross   52,339 46,856  
Construction in Progress [Member]        
Property, Plant and Equipment, Gross   $ 18,551 $ 17,302  
Minimum [Member] | Leasehold Improvements [Member]        
Property, Plant and Equipment, Useful Life   1 year    
Minimum [Member] | Display fixtures and equipment [Member]        
Property, Plant and Equipment, Useful Life   3 years    
Minimum [Member] | Software and Software Development Costs [Member]        
Property, Plant and Equipment, Useful Life   2 years    
Minimum [Member] | Furniture and Fixtures [Member]        
Property, Plant and Equipment, Useful Life   2 years    
Maximum [Member] | Leasehold Improvements [Member]        
Property, Plant and Equipment, Useful Life   15 years    
Maximum [Member] | Display fixtures and equipment [Member]        
Property, Plant and Equipment, Useful Life   5 years    
Maximum [Member] | Software and Software Development Costs [Member]        
Property, Plant and Equipment, Useful Life   5 years    
Maximum [Member] | Furniture and Fixtures [Member]        
Property, Plant and Equipment, Useful Life   7 years    
v3.7.0.1
Summary of Significant Accounting Policies Accounts Receivables (Details) - USD ($)
$ in Thousands
Apr. 29, 2017
Apr. 30, 2016
Receivables, Net, Current $ 86,040 $ 50,924
Advances on Inventory Purchases 12,779 0
Allowance for Doubtful Accounts Receivable 2,259 2,320
Trade Accounts Receivable [Member]    
Receivables, Net, Current 58,460 35,578
Credit Card Receivable [Member]    
Receivables, Net, Current 3,737 3,253
Accounts Receivable [Member]    
Receivables, Net, Current $ 11,064 $ 12,093
v3.7.0.1
Recent Accounting Pronouncements accounting changes (Details) - USD ($)
$ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Increase (Decrease) in Other Current Assets and Liabilities, Net $ 3,125 $ (17,140) $ 53,660
Increase (Decrease) in Other Noncurrent Assets and Liabilities, Net (14,235) (5,892) (8,335)
Cash and Cash Equivalents [Member]      
Restricted Cash and Cash Equivalents   2,297 $ 0
Prepaid Expenses and Other Current Assets [Member]      
Restricted Cash and Cash Equivalents 1,996 301  
Increase (Decrease) in Other Current Assets and Liabilities, Net   301  
Other Noncurrent Assets [Member]      
Restricted Cash and Cash Equivalents $ 698 1,996  
Increase (Decrease) in Other Noncurrent Assets and Liabilities, Net   $ 1,996  
v3.7.0.1
Acquisitions and Strategic Agreements Acquisitions and Strategic Agreements (LoudCloud Details) - USD ($)
$ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Mar. 04, 2016
Payments to Acquire Businesses, Net of Cash Acquired $ 186,720 $ 17,843 $ 0  
Goodwill, Acquired During Period $ 48,556 6,841    
LoudCloud Systems, Inc. [Domain]        
Payments to Acquire Businesses, Net of Cash Acquired   17,843    
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Deferred Revenue       $ 1,003
Goodwill, Acquired During Period   6,838    
Intellectual Property [Member] | LoudCloud Systems, Inc. [Domain]        
Finite-lived Intangible Assets Acquired   10,600    
Other Intangible Assets [Member] | LoudCloud Systems, Inc. [Domain]        
Finite-lived Intangible Assets Acquired   $ 1,300    
v3.7.0.1
Acquisitions and Strategic Agreements Acquisitions and Strategic Agreements (Promoversity Details) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Payments to Acquire Businesses, Net of Cash Acquired $ 186,720 $ 17,843 $ 0
Goodwill, Acquired During Period 48,556 $ 6,841  
Promoversity [Member]      
Payments to Acquire Businesses, Net of Cash Acquired 1,417    
Finite-lived Intangible Assets Acquired $ 741    
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life 5 years    
Goodwill, Acquired During Period $ 441    
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets 221    
Business Combination, Contingent Consideration, Liability $ 500    
v3.7.0.1
Acquisitions and Strategic Agreements Acquisitions and Strategic Agreements (MBS Details) (Details)
$ in Thousands
 12 Months Ended
Apr. 29, 2017
USD ($)
Store
Rate
Apr. 30, 2016
USD ($)
Number of Stores | Store 1,481  
Goodwill, Acquired During Period $ 48,556 $ 6,841
MBS [Member]    
Business Acquisition, Pro Forma Revenue $ 2,247,825 2,216,628
Number of Stores | Store 712  
Number of Wholesale Customers | Store 3,700  
Business Acquisition, Percentage of Voting Interests Acquired | Rate 100.00%  
Business Combination, Consideration Transferred $ 186,974  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Cash and Equivalents 1,171  
Business Combination, Consideration Transferred, Liabilities Incurred 14,668  
Business Combination, Consideration Transferred, Other (21,674)  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Other 472  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Receivables 28,177  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory 128,431  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment 12,403  
Finite-lived Intangible Assets Acquired 21,576  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Prepaid Expense and Other Assets 4,748  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets 195,807  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Accounts Payable 35,383  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Other 8,799  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other 12,769  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities 56,951  
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net 138,856  
Goodwill, Acquired During Period 48,118  
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual 34,091  
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual (2,630)  
Business Acquisition, Pro Forma Net Income (Loss) $ 32,055 $ 25,022
BNC [Member]    
Number of Stores | Store 769  
Cash paid to seller or escrow [Member] | MBS [Member]    
Payments to Acquire Businesses, Gross $ 165,499  
Consideration to seller for pre-closing costs [Member] | MBS [Member]    
Payments to Acquire Businesses, Gross 4,657  
Cash paid for seller closing costs [Member] | MBS [Member]    
Payments to Acquire Businesses, Gross 4,044  
contract purchase price [Member] | MBS [Member]    
Payments to Acquire Businesses, Gross 174,200  
Payment to settle Seller's outstanding short-term borrowings [Member] | MBS [Member]    
Payments to Acquire Businesses, Gross 24,437  
Off-Market Favorable Lease [Member] | MBS [Member]    
Finite-lived Intangible Assets Acquired $ 1,076  
Finite-Lived Intangible Asset, Useful Life 6 years 6 months  
Trade Names [Member] | MBS [Member]    
Finite-lived Intangible Assets Acquired $ 3,500  
Finite-Lived Intangible Asset, Useful Life 10 years  
Technology-Based Intangible Assets [Member] | MBS [Member]    
Finite-lived Intangible Assets Acquired $ 1,500  
Finite-Lived Intangible Asset, Useful Life 3 years  
Book Store Relationship [Member] | MBS [Member]    
Finite-lived Intangible Assets Acquired $ 13,000  
Finite-Lived Intangible Asset, Useful Life 13 years  
Customer Relationships [Member] | MBS [Member]    
Finite-lived Intangible Assets Acquired $ 2,000  
Finite-Lived Intangible Asset, Useful Life 15 years  
Noncompete Agreements [Member] | MBS [Member]    
Finite-lived Intangible Assets Acquired $ 500  
Finite-Lived Intangible Asset, Useful Life 3 years  
v3.7.0.1
Segment Reporting Segment Reporting (Details)
$ in Thousands
 3 Months Ended 12 Months Ended
Apr. 29, 2017
USD ($)
Store
Jan. 28, 2017
USD ($)
Oct. 29, 2016
USD ($)
Jul. 30, 2016
USD ($)
Apr. 30, 2016
USD ($)
Jan. 30, 2016
USD ($)
Oct. 31, 2015
USD ($)
Aug. 01, 2015
USD ($)
Apr. 29, 2017
USD ($)
Store
Apr. 30, 2016
USD ($)
May 02, 2015
USD ($)
Segment Reporting Information [Line Items]                      
Number of Reportable Segments                 2    
Number of Stores | Store 1,481               1,481    
Revenue, Net $ 342,830 $ 521,624 $ 770,671 $ 239,237 $ 294,759 $ 518,423 $ 755,864 $ 238,983 $ 1,874,362 $ 1,808,029 $ 1,772,998
Gross Profit 122,511 $ 115,925 $ 171,514 $ 47,413 106,044 $ 120,640 $ 175,121 $ 51,544 457,363 453,349 443,573
Depreciation and amortization expense                 53,318 52,690 50,509
Operating Income (Loss)                 13,555 4,623 33,560
Interest Income (Expense), Net                 (3,464) (1,872) (210)
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest                 10,091 2,751 33,350
Assets 1,299,832       1,071,683       1,299,832 1,071,683  
Payments to Acquire Property, Plant, and Equipment                 34,670 50,790 48,452
Goodwill 329,467       280,911       329,467 280,911 274,070
BNC [Member]                      
Segment Reporting Information [Line Items]                      
Sales Revenue, Goods, Gross                 1,845,561 1,808,029 1,772,998
Gross Profit                 453,252 453,349 443,573
Depreciation and amortization expense                 52,259 52,690 50,509
Operating Income (Loss)                 18,820 4,623 33,560
Assets 1,049,441       1,071,683       1,049,441 1,071,683  
Payments to Acquire Property, Plant, and Equipment                 (34,452) (50,790) 48,452
Goodwill 281,349       280,911       281,349 280,911  
MBS [Member]                      
Segment Reporting Information [Line Items]                      
Sales Revenue, Goods, Gross                 34,091 0 0
Gross Profit                 4,748 0 0
Depreciation and amortization expense                 1,059 0 0
Operating Income (Loss)                 (4,628) 0 0
Assets 250,391       0       250,391 0  
Payments to Acquire Property, Plant, and Equipment                 (218) 0 0
Goodwill $ 48,118       $ 0       48,118 0  
Eliminations [Member]                      
Segment Reporting Information [Line Items]                      
Sales Revenue, Goods, Gross                 (5,290) 0 0
Gross Profit                 (637) 0 0
Operating Income (Loss)                 $ (637) $ 0 $ 0
BNC [Member]                      
Segment Reporting Information [Line Items]                      
Number of Stores | Store 769               769    
MBS [Member]                      
Segment Reporting Information [Line Items]                      
Number of Stores | Store 712               712    
Number of Wholesale Customers | Store                 3,700    
v3.7.0.1
Equity and Earnings Per Share (Details)
$ / shares in Units, $ in Thousands
 3 Months Ended 9 Months Ended 12 Months Ended
Apr. 29, 2017
USD ($)
$ / shares
shares
Jan. 28, 2017
USD ($)
$ / shares
Oct. 29, 2016
USD ($)
$ / shares
Jul. 30, 2016
USD ($)
$ / shares
Apr. 30, 2016
USD ($)
$ / shares
shares
Jan. 30, 2016
USD ($)
$ / shares
Oct. 31, 2015
USD ($)
$ / shares
shares
Aug. 01, 2015
USD ($)
$ / shares
Apr. 30, 2016
USD ($)
$ / shares
shares
Apr. 29, 2017
USD ($)
$ / shares
shares
Apr. 30, 2016
USD ($)
$ / shares
shares
May 02, 2015
USD ($)
$ / shares
shares
Dec. 14, 2015
USD ($)
Aug. 03, 2015
shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]                            
Common Stock, Shares Authorized 200,000,000       200,000,000       200,000,000 200,000,000 200,000,000      
Common Stock, Par or Stated Value Per Share | $ / shares $ 0.01       $ 0.01       $ 0.01 $ 0.01 $ 0.01      
Preferred Stock, Shares Authorized 5,000,000       5,000,000       5,000,000 5,000,000 5,000,000      
Preferred Stock, Par or Stated Value Per Share | $ / shares $ 0.01       $ 0.01       $ 0.01 $ 0.01 $ 0.01      
Common Stock, Shares, Outstanding 46,517,000       46,755,000       46,755,000 46,517,000 46,755,000     48,186,900
Preferred Stock, Shares Outstanding 0       0       0 0 0     0
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized             2,409,345     4,000,000 2,409,345      
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized 6,409,345                 6,409,345        
Stock Repurchase Program, Authorized Amount | $                         $ 50,000  
Stock Repurchased During Period, Shares                   688,948 1,715,269      
Stock Repurchased During Period, Value | $                 $ 16,612 $ 6,718        
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ $ 26,669                 $ 26,669        
Treasury Stock Acquired, Average Cost Per Share | $ / shares                   $ 10.10 $ 9.95      
Shares Paid for Tax Withholding for Share Based Compensation                   276,292 174,511      
Net Income (Loss) Attributable to Parent | $ $ 227 $ 3,761 $ 29,289 $ (27,916) $ (2,796) $ (3,603) $ 33,401 $ (26,918) $ 27,002 $ 5,361 $ 84 $ 19,132    
Dividends, Preferred Stock, Stock | $                   0 0 (6,076)    
Undistributed Earnings (Loss) Allocated to Participating Securities, Basic | $                   (3) 0 (313)    
Net Income (Loss) Available to Common Stockholders, Basic | $                   5,358 84 12,743    
Accretion of dividends on preferred stock diluted | $                   0 0 0    
Undistributed Earnings, Basic | $                   3 0 313    
Undistributed Earnings (Loss) Allocated to Participating Securities, Diluted | $                   (3) 0 (313)    
Net Income (Loss) Available to Common Stockholders, Diluted | $                   $ 5,358 $ 84 $ 12,743    
Weighted Average Number of Shares Outstanding, Basic                   46,317,000 46,238,000 38,452,000    
Average dilutive restricted stock units                   389,000 227,000 0    
Average dilutive performance shares                   40,000 0 0    
Average dilutive restricted shares                   17,000 0 0    
Average Dilutive Options                   0 14,000 41,000    
Weighted Average Number of Shares Outstanding, Diluted                   46,763,000 46,479,000 38,493,000    
Earnings Per Share, Basic | $ / shares $ 0.00 $ 0.08 $ 0.63 $ (0.60) $ (0.06) $ (0.07) $ 0.69 $ (0.65)   $ 0.12 $ 0.00 $ 0.33    
Earnings Per Share, Diluted | $ / shares $ 0.00 $ 0.08 $ 0.63 $ (0.60) $ (0.06) $ (0.07) $ 0.69 $ (0.65)   $ 0.11 $ 0.00 $ 0.33    
Treasury Stock [Member]                            
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]                            
Stock Repurchased During Period, Shares                 1,715,000 689,000        
Stock Repurchased During Period, Value | $                 $ 16,612 $ 6,718 $ 16,612      
Shares Paid for Tax Withholding for Share Based Compensation                 175,000 276,000        
Spinoff [Member]                            
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]                            
Stockholders' Equity Note, Stock Split, Conversion Ratio               0.632            
v3.7.0.1
Credit Facility (Details) - USD ($)
$ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Aug. 03, 2015
Line of Credit Facility [Line Items]        
Long-term Line of Credit, Noncurrent $ 59,600 $ 0    
Short-term Debt 100,000 0    
Proceeds from borrowings on Credit Facility 312,700 60,600 $ 0  
Repayments of borrowings on Credit Facility 153,100 60,600 $ 0  
Loans Payable to Bank 159,600      
Letters of Credit Outstanding, Amount 4,298 3,567    
Debt Issuance Costs, Gross 2,912 $ 3,251    
New Credit Facility        
Line of Credit Facility [Line Items]        
Credit facility maturity term, in years   5 years    
Credit facility, borrowing capacity       $ 400,000
Line Of Credit Potential Increase Amount 100,000      
Long-term Line of Credit, Noncurrent $ 59,600      
Line of Credit Facility, Interest Rate Description Interest under the BNED Credit Facility accrues, at our election, at a LIBOR or alternate base rate, plus, in each case, an applicable interest rate margin, which is determined by reference to the level of excess availability under the BNED Credit Facility. Loans will initially bear interest at LIBOR plus 2.000% per annum, in the case of LIBOR borrowings, or at the alternate base rate plus 1.000% per annum, in the alternative, and thereafter the interest rate will fluctuate between LIBOR plus 2.000% per annum and LIBOR plus 1.750% per annum (or between the alternate base rate plus 1.000% per annum and the alternate base rate plus 0.750% per annum), based upon the excess availability under the BNED Credit Facility at such time.      
New Credit Facility [Member] [Member]        
Line of Credit Facility [Line Items]        
Credit facility, borrowing capacity $ 100,000      
Short-term Debt $ 100,000      
Line of Credit Facility, Interest Rate Description Loans under the FILO Facility will bear interest at a rate equal to the LIBOR rate, plus 3.000%. The FILO Facility will be available solely during the draw period each year, from April 1 through July 31. We are required to borrow 100% of the aggregate commitments under the FILO Facility on April 1 of each year, and the loans must be repaid in full (including interest and fees) on July 31 of each year. The Commitments under the FILO Facility will decrease from $100,000 to $75,000 on August 1, 2018, from $75,000 to $50,000 on August 1, 2019 and from $50,000 to $25,000 on August 1, 2020. We will pay a commitment fee of 0.375% on the daily unused portion of the FILO Facility.      
Revolving Credit Facility [Member]        
Line of Credit Facility [Line Items]        
Credit facility, borrowing capacity $ 500,000      
v3.7.0.1
Supplementary Information Supplementary Info - Impairment and Restructuring (Details) - USD ($)
$ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Other Nonrecurring Expense $ 0 $ 11,987 $ 0
Investments, Fair Value Disclosure   0  
Restructuring costs $ 1,790 8,830 $ 0
Employee Severance [Member]      
Restructuring costs   3,216  
Facility Closing [Member]      
Restructuring costs   5,046  
Other Restructuring [Member]      
Restructuring costs   568  
Yuzu [Member]      
Other Nonrecurring Expense   8,987  
Flashnotes [Member]      
Other Nonrecurring Expense   $ 3,000  
v3.7.0.1
Supplementary Information Supplementary Info - Intangible Assets (Details) - USD ($)
$ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Finite-Lived Intangible Assets [Line Items]      
Finite-Lived Intangible Assets, Gross $ 289,572 $ 267,255  
Finite-Lived Intangible Assets, Accumulated Amortization (79,687) (67,592)  
Intangible Assets, Net (Excluding Goodwill) 209,885 199,663  
Amortization of Intangible Assets 12,095 10,477 $ 10,252
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months 14,005    
Finite-Lived Intangible Assets, Amortization Expense, Year Two 13,998    
Finite-Lived Intangible Assets, Amortization Expense, Year Three 13,859    
Finite-Lived Intangible Assets, Amortization Expense, Year Four 13,265    
Finite-Lived Intangible Assets, Amortization Expense, Year Five 12,949    
Finite-Lived Intangible Assets, Amortization Expense, after Year Five 141,809    
Customer Relationships [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-Lived Intangible Assets, Gross 270,619 255,050  
Finite-Lived Intangible Assets, Accumulated Amortization (77,640) (67,151)  
Finite-Lived Intangible Assets, Net $ 192,979 $ 187,899  
Customer Relationships [Member] | Minimum [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-Lived Intangible Asset, Useful Life 4 years 10 years  
Customer Relationships [Member] | Maximum [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-Lived Intangible Asset, Useful Life 17 years 18 years  
Intellectual Property [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-Lived Intangible Assets, Gross $ 12,100 $ 10,600  
Finite-Lived Intangible Assets, Accumulated Amortization (1,320) (177)  
Finite-Lived Intangible Assets, Net $ 10,780 $ 10,423  
Intellectual Property [Member] | Minimum [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-Lived Intangible Asset, Useful Life 3 years 0 years  
Intellectual Property [Member] | Maximum [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-Lived Intangible Asset, Useful Life 9 years 10 years  
Other Intangible Assets [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-Lived Intangible Assets, Gross $ 6,853 $ 1,605  
Finite-Lived Intangible Assets, Accumulated Amortization (727) (264)  
Finite-Lived Intangible Assets, Net $ 6,126 $ 1,341  
Other Intangible Assets [Member] | Minimum [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-Lived Intangible Asset, Useful Life 1 year 1 year  
Other Intangible Assets [Member] | Maximum [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-Lived Intangible Asset, Useful Life 10 years 9 years  
v3.7.0.1
Supplementary Information Supplementary Info - Goodwill (Details) - USD ($)
$ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Goodwill [Line Items]      
Goodwill $ 329,467 $ 280,911 $ 274,070
Goodwill, Acquired During Period 48,556 $ 6,841  
Business Acquisition, Goodwill, Expected Tax Deductible Amount $ 54,063    
v3.7.0.1
Barnes & Noble, Inc. Transactions Barnes & Noble, Inc. Transactions (Details) - Barnes and Noble, Inc [Member] - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended 12 Months Ended
Aug. 01, 2015
Apr. 30, 2016
Apr. 29, 2017
May 02, 2015
Direct Costs   $ 22,673 $ 29,173  
Allocation of Expenses $ 13,321     $ 43,523
Accounts Payable   $ 5,246 $ 8,041  
v3.7.0.1
Related Party Transactions Related Party (Details) - MBS [Domain] - USD ($)
$ in Thousands
 2 Months Ended 12 Months Ended
Apr. 29, 2017
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Related Party Transaction [Line Items]        
Revenue from Related Parties   $ 7,376 $ 5,009 $ 5,512
Related Party Transaction, Other Revenues from Transactions with Related Party   339 574 419
Related Party Transaction, Purchases from Related Party   92,956 57,981 $ 54,353
Accounts Payable, Related Parties $ 0 $ 0 $ 21,543  
Payments for Rent $ 230      
v3.7.0.1
Employees' Defined Contribution Plan (Details) - USD ($)
$ in Thousands
 2 Months Ended 12 Months Ended
Apr. 29, 2017
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
BNC [Member]        
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]        
Company contributions, employee benefit expenses   $ 4,293 $ 4,375 $ 3,907
MBS [Member]        
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]        
Company contributions, employee benefit expenses $ 535      
v3.7.0.1
Stock-Based Compensation Stock-Based Compensation (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended 12 Months Ended
Oct. 31, 2015
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Aug. 02, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized 2,409,345 4,000,000 2,409,345    
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized   6,409,345      
Share-based Compensation   $ 9,366 $ 6,670 $ 4,741  
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized   $ 14,933      
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition   2 years      
Performance Shares [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period   406,078 0    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number   406,078 0   0
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period   0 0    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period   0 0    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value   $ 9.52 $ 0.00   $ 0.00
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value   9.52 0.00    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value   0.00 0.00    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value   $ 0.00 $ 0.00    
Share-based Compensation   $ 655 $ 0 0  
Restricted Stock [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period   12,371 73,352    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number   12,371 46,080   0
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period   (46,080) (27,272)    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period   0 0    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value   $ 9.70 $ 13.02   $ 0.00
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value   9.70 13.08    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value   13.02 13.19    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value   $ 0.00 $ 0.00    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value   $ 960      
Share-based Compensation   $ 280 $ 840 306  
Restricted Stock Units (RSUs) [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period   1,207,070 1,681,552    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number   1,731,623 1,241,467   0
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period   (680,489) (431,106)    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period   (36,425) (8,979)    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value   $ 10.70 $ 11.10   $ 0.00
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value   9.70 10.12    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value   9.72 7.29    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value   $ 9.69 $ 9.92    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value   $ 9,759      
Share-based Compensation   8,431 $ 5,710 3,757  
Employee Stock Option [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Share-based Compensation   $ 0 $ 120 $ 678  
Converted Awards [Member] | Restricted Stock [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period     877,426    
Employee Grant [Member] | Performance Shares [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period   406,078      
Employee Grant [Member] | Restricted Stock Units (RSUs) [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period   1,157,586      
BOD Grant [Member] | Restricted Stock Units (RSUs) [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period   49,484      
BOD Grant [Member] | Restricted Stock [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period   12,371      
v3.7.0.1
Income Taxes Income Taxes (Details) - USD ($)
$ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
May 03, 2014
Current Federal Tax Expense (Benefit) $ 14,872 $ 13,019 $ 22,061  
Current State and Local Tax Expense (Benefit) 1,819 1,783 3,489  
Current Income Tax Expense (Benefit) 16,691 14,802 25,550  
Deferred Federal Income Tax Expense (Benefit) (9,238) (9,922) (10,247)  
Deferred State and Local Income Tax Expense (Benefit) (2,723) (2,213) (1,085)  
Deferred Income Tax Expense (Benefit) (11,961) (12,135) (11,332)  
Income Tax Expense (Benefit) $ 4,730 $ 2,667 $ 14,218  
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent 35.00% 35.00% 35.00%  
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent (5.80%) (15.20%) 4.70%  
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Percent 0.00% 50.60% 0.00%  
Effective Income Tax Rate Reconciliation, Tax Contingency, Other, Percent 25.50% 31.10% 3.10%  
Effective Income Tax Rate Reconciliation, Tax Credit, Percent (5.50%) (5.40%) (0.20%)  
Effective Income Tax Rate Reconciliation,Other Reconciling Items, Percent (2.30%) 0.80% 0.00%  
Effective Income Tax Rate Reconciliation, Percent 46.90% 96.90% 42.60%  
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals $ 13,047 $ 13,859    
Deferred Tax Assets, Inventory 16,969 12,926    
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Share-based Compensation Cost 1,780 1,648    
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Self Insurance 881 1,050    
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Deferred Rent 1,826 2,138    
Deferred Tax Assets, Property, Plant and Equipment 8,728 6,802    
Deferred Tax Assets, Tax Credit Carryforwards, Other 206 112    
Deferred Tax Assets, Operating Loss Carryforwards 4,916 3,477    
Deferred Tax Assets, Other 5,106 1,499    
Deferred Tax Assets, Gross 53,459 43,511    
Deferred Tax Assets, Valuation Allowance (1,392) (1,394)    
Deferred Tax Assets, Net of Valuation Allowance 52,067 42,117    
Deferred Tax Liabilities, Goodwill and Intangible Assets (68,938) (71,982)    
Deferred Tax Liabilities, Gross (68,938) (71,982)    
Deferred Tax Assets, Net (16,871) (29,865)    
Unrecognized Tax Benefits 86 21 $ 215 $ 180
Unrecognized Tax Benefits, Increase Resulting from Current Period Tax Positions 40 21 35  
Unrecognized Tax Benefits, Increase Resulting from Prior Period Tax Positions 25 0 0  
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities 0 0 0  
Unrecognized Tax Benefits, Decrease Resulting from Prior Period Tax Positions 0 (215) $ 0  
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued 3 $ 0    
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense 0      
One percentage point [Domain]        
Current State and Local Tax Expense (Benefit) 100      
Internal Revenue Service (IRS) [Member]        
Operating Loss Carryforwards 108,038      
State and Local Jurisdiction [Member]        
Operating Loss Carryforwards $ 0      
v3.7.0.1
Commitments and Contingencies Commitments and Contingencies (Details) - USD ($)
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
Loss Contingencies [Line Items]      
Operating Leases, Rent Expense, Minimum Rentals $ 165,980 $ 140,743 $ 125,388
Operating Leases, Rent Expense, Contingent Rentals 87,843 101,552 106,011
Operating Leases, Rent Expense, Net $ 253,823 $ 242,295 $ 231,399
Minimum Rent Expense Description Our contracts with colleges and universities are typically five years with renewal options, but can range from one to 15 years, and are typically cancelable by either party without penalty with 90 to120 days' notice. Annual projections below are based on current minimum guarantee amounts. In approximately 65% of our contracts with colleges and universities that include minimum guarantees, the minimum guaranteed amounts adjust annually to equal less than the prior year's commission earned.    
Operating Leases, Future Minimum Payments Receivable, Current $ 140,417    
Operating Leases, Future Minimum Payments, Due in Two Years 133,514    
Operating Leases, Future Minimum Payments, Due in Three Years 123,811    
Operating Leases, Future Minimum Payments, Due in Four Years 116,153    
Operating Leases, Future Minimum Payments, Due in Five Years 104,486    
Operating Leases, Future Minimum Payments, Due Thereafter 207,807    
Operating Leases, Future Minimum Payments Due 826,188    
Purchase Obligation, Due in Next Twelve Months 3,124    
Purchase Obligation, Due in Second and Third Year 3,000    
Purchase Obligation, Due in Fourth and Fifth Year 175    
Purchase Obligation $ 6,299    
v3.7.0.1
Selected Quarterly Financial Information (Unaudited) Selected Quarterly Financial Information (Unaudited) (Details)
$ / shares in Units, $ in Thousands
 3 Months Ended 9 Months Ended 12 Months Ended
Apr. 29, 2017
USD ($)
$ / shares
Jan. 28, 2017
USD ($)
$ / shares
Oct. 29, 2016
USD ($)
$ / shares
Jul. 30, 2016
USD ($)
$ / shares
Apr. 30, 2016
USD ($)
$ / shares
Jan. 30, 2016
USD ($)
$ / shares
Oct. 31, 2015
USD ($)
$ / shares
Aug. 01, 2015
USD ($)
$ / shares
Apr. 30, 2016
USD ($)
Apr. 29, 2017
USD ($)
$ / shares
Apr. 30, 2016
USD ($)
$ / shares
May 02, 2015
USD ($)
$ / shares
Revenue, Net $ 342,830 $ 521,624 $ 770,671 $ 239,237 $ 294,759 $ 518,423 $ 755,864 $ 238,983   $ 1,874,362 $ 1,808,029 $ 1,772,998
Gross Profit 122,511 115,925 171,514 47,413 106,044 120,640 175,121 51,544   457,363 453,349 443,573
Net Income (Loss) Attributable to Parent $ 227 $ 3,761 $ 29,289 $ (27,916) $ (2,796) $ (3,603) $ 33,401 $ (26,918) $ 27,002 $ 5,361 $ 84 $ 19,132
Earnings Per Share, Basic | $ / shares $ 0.00 $ 0.08 $ 0.63 $ (0.60) $ (0.06) $ (0.07) $ 0.69 $ (0.65)   $ 0.12 $ 0.00 $ 0.33
Earnings Per Share, Diluted | $ / shares $ 0.00 $ 0.08 $ 0.63 $ (0.60) $ (0.06) $ (0.07) $ 0.69 $ (0.65)   $ 0.11 $ 0.00 $ 0.33
Spinoff [Member]                        
Stockholders' Equity Note, Stock Split, Conversion Ratio               0.632        
v3.7.0.1
Schedule II Valuation and Qualifying Accounts Schedule II Valuation and Qualifying Accounts (Details) - USD ($)
$ in Thousands
 12 Months Ended
Apr. 29, 2017
Apr. 30, 2016
May 02, 2015
May 03, 2014
Allowance for Doubtful Accounts [Member]        
Valuation and Qualifying Accounts Disclosure [Line Items]        
Valuation Allowances and Reserves, Additions for Charges to Cost and Expense $ 3,459 $ 4,000 $ 3,544  
Valuation Allowances and Reserves, Deductions (3,520) (3,993) (3,464)  
Valuation Allowances and Reserves, Balance 2,259 2,320 2,313 $ 2,233
Allowance for Sales Returns [Member]        
Valuation and Qualifying Accounts Disclosure [Line Items]        
Valuation Allowances and Reserves, Additions for Charges to Other Accounts 155,486 130,421 123,828  
Valuation Allowances and Reserves, Deductions (149,426) (130,343) (123,757)  
Valuation Allowances and Reserves, Balance $ 6,817 $ 757 $ 679 $ 608
v3.7.0.1
Label Element Value
Treasury Stock, Shares us-gaap_TreasuryStockShares 0
Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures us-gaap_StockIssuedDuringPeriodValueRestrictedStockAwardNetOfForfeitures $ 0
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue 5,718,000
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue 22,445,000
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue 953,000
Common Stock, Value, Issued us-gaap_CommonStockValue 0
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents bned_CashCashEquivalentsRestrictedCashandRestrictedCashEquivalents 132,117,000
CostOfRepurchasedSharesForTaxWittholdingForShareBasedCompensation bned_CostOfRepurchasedSharesForTaxWittholdingForShareBasedCompensation 2,003,000
Additional Paid-in Capital [Member]  
Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures us-gaap_StockIssuedDuringPeriodValueRestrictedStockAwardNetOfForfeitures (4,000)
Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures us-gaap_StockIssuedDuringPeriodValueRestrictedStockAwardNetOfForfeitures (8,000)
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue 5,718,000
Parent [Member]  
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue 22,445,000
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue 953,000
Net Income (Loss) Attributable to Parent us-gaap_NetIncomeLoss 27,002,000
Net Income (Loss) Attributable to Parent us-gaap_NetIncomeLoss (26,918,000)
Adjustments to Additional Paid in Capital, Other us-gaap_AdjustmentsToAdditionalPaidInCapitalOther (694,281,000)
Transfers To From Parent Corporate Allocations Including Income Taxes bned_TransfersToFromParentCorporateAllocationsIncludingIncomeTaxes (28,868,000)
Common Stock [Member]  
Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures us-gaap_StockIssuedDuringPeriodValueRestrictedStockAwardNetOfForfeitures 4,000
Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures us-gaap_StockIssuedDuringPeriodValueRestrictedStockAwardNetOfForfeitures $ 8,000
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures us-gaap_StockIssuedDuringPeriodSharesRestrictedStockAwardNetOfForfeitures 458,000
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures us-gaap_StockIssuedDuringPeriodSharesRestrictedStockAwardNetOfForfeitures 727,000
Common Stock [Member] | Spinoff [Member]  
Adjustments to Additional Paid in Capital, Other us-gaap_AdjustmentsToAdditionalPaidInCapitalOther $ 693,799,000
Stock Issued During Period, Value, New Issues us-gaap_StockIssuedDuringPeriodValueNewIssues $ 482,000
Stock Issued During Period, Shares, New Issues us-gaap_StockIssuedDuringPeriodSharesNewIssues 48,187,000
Treasury Stock [Member]  
CostOfRepurchasedSharesForTaxWittholdingForShareBasedCompensation bned_CostOfRepurchasedSharesForTaxWittholdingForShareBasedCompensation $ 2,003,000