1. Organization and Basis of Presentation RTW Retailwinds, Inc. (together with its subsidiaries, the Company) is a specialty womens omni-channel and digitally enabled retailer with a multi-brand lifestyle platform providing curated fashion solutions that are versatile, on-trend, and stylish at a great value. The specialty retailer, first incorporated in 1918, operates 413 retail and outlet locations in 35 states and a substantial and growing eCommerce business. The Companys portfolio includes branded merchandise from New York &amp; Company, Fashion to Figure, Happy x Nature, Uncommon Sense and collaborations with Eva Mendes, Gabrielle Union and Kate Hudson. The Companys branded merchandise is sold at its retail locations and online at www.nyandcompany.com , www.fashiontofigure.com , www.happyxnature.com , www.uncommonsense.com , and through its rental subscription businesses at www.nyandcompanycloset.com and www.fashiontofigurecloset.com . The target customers for the Companys merchandise are women between the ages of 25 and 49. The condensed consolidated financial statements as of August 3, 2019 and August 4, 2018 and for the 13 weeks (three months") and 26 weeks ("six months") ended August 3, 2019 and August 4, 2018 are unaudited and are presented pursuant to the rules and regulations of the United States Securities and Exchange Commission (SEC). Accordingly, these unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the 52-week fiscal year ended February 2, 2019 (fiscal year 2018), which were filed with the Companys Annual Report on Form 10-K with the SEC on April 17, 2019. The 52-week fiscal year ending February 1, 2020 is referred to herein as fiscal year 2019. The Companys fiscal year is a 52- or 53-week year that ends on the Saturday closest to January 31. The Company identifies its operating segments according to how its business activities are managed and evaluated. Its operating segments have been aggregated and are reported as one reportable segment based on the similar nature of products sold, production process, distribution process, target customers and economic characteristics. All of the Companys revenues are generated in the United States. In the opinion of management, the accompanying condensed consolidated financial statements reflect all adjustments, which are of a normal recurring nature, necessary to present fairly the financial condition, results of operations and cash flows for the interim periods. All significant intercompany balances and transactions have been eliminated in consolidation. Certain totals that appear in this Quarterly Report on Form 10-Q may not equal the sum of the components due to rounding. Due to seasonal variations in the retail industry, the results of operations for any interim period are not necessarily indicative of the results expected for the full fiscal year.