12. Commitments and Contingencies Legal Like many retailers, the Company has been named in potential class or collective actions on behalf of groups alleging violations of federal and state wage and hour and other labor statutes, and alleged violation of state consumer and/or privacy protection and other statutes. The Company is involved in a federal wage and hour lawsuit alleging that certain exempt employees were misclassified under the Fair Labor Standards Act (FLSA). In late November 2019, the Court overseeing this lawsuit granted final certification allowing the matter to proceed as a collective action under the FLSA. In addition, the Company is involved in a putative class action matter raising similar allegations of misclassification under the wage and hour laws of three states. This matter was stayed by the Court shortly after it was filed and has remained stayed to date. The Company is beginning mediation discussions in early June with respect to these lawsuits and is not able to predict the outcome at this time and cannot reasonably estimate any reasonably possible loss in excess of the amount accrued. The Company is also party to representative claims under the California Private Attorneys General Act and various other lawsuits and regulatory proceedings including, among others, commercial, product, product safety, employee, customer, intellectual property and other claims. Actions against us are in various procedural stages. Many of these proceedings raise factual and legal issues and are subject to uncertainties. While no assurance can be given as to the ultimate outcome of these matters, the Company believes that the final resolution of these actions will not have a material adverse effect on the Companys results of operations, financial position, liquidity or capital resources. Letters of Credit The Company had letter of credit arrangements with various banks in the aggregate amount of $49.1 million, $53.1 million and $56.0 million as of May 2, 2020, February 1, 2020 and May 4, 2019, respectively. Among these arrangements, as of May 2, 2020, February 1, 2020 and May 4, 2019, the Company had letters of credit outstanding in the amount of $47.2 million, $46.6 million and $50.9 million, respectively, guaranteeing performance under various insurance contracts and utility agreements. In addition, the Company had outstanding letters of credit arrangements in the amounts of $1.9 million, $6.5 million and $5.1 million at May 2, 2020, February 1, 2020 and May 4, 2019, respectively, related to certain merchandising agreements. Based on the terms of the agreement governing the ABL Line of Credit, the Company had the ability to enter into letters of credit up to $150.9 million, $501.8 million and $393.9 million as of May 2, 2020, February 1, 2020 and May 4, 2019, respectively. Purchase Commitments The Company had $455.2 million of purchase commitments related to goods that were not received as of May 2, 2020. Death Benefits In November 2005, the Company entered into agreements with three of the Companys former executives whereby upon each of their deaths the Company will pay $1.0 million to each respective designated beneficiary.