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EXCEL - IDEA: XBRL DOCUMENT - CRACKER BARREL OLD COUNTRY STORE, INCFinancial_Report.xls
10-Q - CRACKER BARREL OLD COUNTRY STORE, INC 10-Q 11-2-2012 - CRACKER BARREL OLD COUNTRY STORE, INCform10q.htm
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v2.4.0.6
Commitments and Contingencies
3 Months Ended
Nov. 02, 2012
Commitments and Contingencies [Abstract]  
Commitments and Contingencies
11.           Commitments and Contingencies

The Company and its subsidiaries are party to various legal and regulatory proceedings and claims incidental to their business in the ordinary course.  In the opinion of management, based upon information currently available, the ultimate liability with respect to these proceedings and claims will not materially affect the Company's consolidated results of operations or financial position.

Related to its workers' compensation insurance coverage, the Company is contingently liable pursuant to standby letters of credit as credit guarantees to certain insurers.  As of November 2, 2012, the Company had $28,171 of standby letters of credit related to securing reserved claims under workers' compensation insurance.  All standby letters of credit are renewable annually and reduce the Company's borrowing availability under its Revolving Credit Facility (see Note 4).
 
At November 2, 2012, the Company is secondarily liable for lease payments associated with two properties.  The Company is not aware of any non-performance under these lease arrangements that would result in the Company having to perform in accordance with the terms of those guarantees, and therefore, no provision has been recorded in the Condensed Consolidated Balance Sheets for amounts to be paid in case of non-performance by the third parties.
 
The Company enters into certain indemnification agreements in favor of third parties in the ordinary course of business.  The Company believes that the probability of incurring an actual liability under such indemnification agreements is sufficiently remote so that no liability has been recorded in the Condensed Consolidated Balance Sheets.