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DERIVATIVE FINANCIAL INSTRUMENTS
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3 Months Ended |
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May 04, 2013
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| Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
| FUEL DERIVATIVE CONTRACTS |
FUEL DERIVATIVE CONTRACTS
In order to manage fluctuations in cash flows resulting from changes in diesel fuel costs, the Company entered into fuel derivative contracts with third parties. The Company hedged 0.7 million and 1.4 million gallons of diesel fuel in the first quarter of 2013 and 2012, respectively, which represented 19% and 41% of the total domestic truckload fuel needs for these periods. The Company has entered into fuel derivative contracts for 2.2 million gallons of diesel fuel, or approximately 20% of the Company's domestic truckload fuel needs from May 2013 through January 2014. Under these contracts, the Company pays the third party a fixed price for diesel fuel and receives variable diesel fuel prices at amounts approximating current diesel fuel costs, thereby creating the economic equivalent of a fixed-rate obligation. These derivative contracts do not qualify for hedge accounting and therefore all changes in fair value for these derivatives are included in “Other (income) expense, net” on the accompanying condensed consolidated income statements. The fair value of these contracts at May 4, 2013 was an asset of $0.2 million.
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