Fair Value Measurements	9 Months Ended
Fair Value Measurements	Nov. 02, 2024
Fair Value Measurements [Abstract]
Fair Value Measurements	NOTE 7 – FAIR VALUE MEASUREMENTS: The following tables set forth information regarding the Company’s financial assets and liabilities that are measured at fair value (in thousands) as of November 2, 2024 and February 3, 2024: Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable November 2, 2024 Assets Inputs Inputs Description Level 1 Level 2 Level 3 Assets: State/Municipal Bonds $ 2,253 $ - $ 2,253 $ - Corporate Bonds 52,649 - 52,649 - U.S. Treasury/Agencies Notes and Bonds 10,578 - 10,578 - Cash Surrender Value of Life Insurance 9,109 - - 9,109 Asset-backed Securities (ABS) 514 - 514 - Total Assets $ 75,103 $ - $ 65,994 $ 9,109 Liabilities: Deferred Compensation $ (8,886) $ - $ - $ (8,886) Total Liabilities $ (8,886) $ - $ - $ (8,886) Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable February 3, 2024 Assets Inputs Inputs Description Level 1 Level 2 Level 3 Assets: State/Municipal Bonds $ 12,540 $ - $ 12,540 $ - Corporate Bonds 45,400 - 45,400 - U.S. Treasury/Agencies Notes and Bonds 18,114 - 18,114 - Cash Surrender Value of Life Insurance 8,586 - - 8,586 Asset-backed Securities (ABS) 2,958 - 2,958 - Corporate Equities 1,084 1,084 - - Total Assets $ 88,682 $ 1,084 $ 79,012 $ 8,586 Liabilities: Deferred Compensation $ (8,654) $ - $ - $ (8,654) Total Liabilities $ (8,654) $ - $ - $ (8,654) The Company’s investment portfolio was primarily invested in corporate bonds and U.S. Treasury/Agencies notes and bonds held in managed accounts with underlying ratings of A or better at November 2, 2024 and February 3, 2024. The state, municipal and corporate bonds have contractual maturities which range from 13 days to 2.9 years. The U.S. Treasury/Agencies notes and bonds have contractual maturities which range from 3 days to 2.7 years. These securities are classified as available-for-sale and are recorded as Short-term investments and Other assets on the respective Condensed Consolidated Balance Sheets. These assets are carried at fair value with unrealized gains and losses reported net of taxes in Accumulated other comprehensive income. At February 3, 2024, the Company had $ 1.1 million of corporate equities and deferred compensation plan assets of $ 8.6 million. At November 2, 2024, the Company had deferred compensation plan assets of $ 9.1 million. During the nine months ended November 2, 2024, the Company sold its corporate equities. All of these assets are recorded within Other assets in the Condensed Consolidated Balance Sheets. Level 1 category securities are measured at fair value using quoted active market prices. Level 2 investment securities include corporate, state and municipal bonds for which quoted prices may not be available on active exchanges for identical instruments. Their fair value is principally based on market values determined by management with the assistance of a third-party pricing service. Since quoted prices in active markets for identical assets are not available, these prices are determined by the pricing service using observable market information such as quotes from less active markets and/or quoted prices of securities with similar characteristics, among other factors. Deferred compensation plan assets consist of life insurance policies. These life insurance policies are valued based on the cash surrender value of the insurance contract, which is determined based on such factors as the fair value of the underlying assets and discounted cash flow and are therefore classified within Level 3 of the valuation hierarchy. The Level 3 liability associated with the life insurance policies represents a deferred compensation obligation, the value of which is tracked via underlying insurance funds’ net asset values, as recorded in Other noncurrent liabilities in the Condensed Consolidated Balance Sheet. These funds are designed to mirror mutual funds and money market funds that are observable and actively traded. The following tables summarize the change in fair value of the Company’s financial assets and liabilities measured using Level 3 inputs for the nine months ended November 2, 2024 and the year ended February 3, 2024 (in thousands): Fair Value Measurements Using Significant Unobservable Asset Inputs (Level 3) Cash Surrender Value Beginning Balance at February 3, 2024 $ 8,586 Redemptions - Additions - Total gains or (losses): Included in interest and other income (or changes in net assets) 523 Ending Balance at November 2, 2024 $ 9,109 Fair Value Measurements Using Significant Unobservable Liability Inputs (Level 3) Deferred Compensation Beginning Balance at February 3, 2024 $ (8,654) Redemptions 573 Additions (175) Total (gains) or losses: Included in interest and other income (or changes in net assets) (630) Ending Balance at November 2, 2024 $ (8,886) Fair Value Measurements Using Significant Unobservable Asset Inputs (Level 3) Cash Surrender Value Beginning Balance at January 28, 2023 $ 9,274 Redemptions (1,168) Additions - Total gains or (losses): Included in interest and other income (or changes in net assets) 480 Ending Balance at February 3, 2024 $ 8,586 Fair Value Measurements Using Significant Unobservable Liability Inputs (Level 3) Deferred Compensation Beginning Balance at January 28, 2023 $ (8,903) Redemptions 1,119 Additions (292) Total (gains) or losses: Included in interest and other income (or changes in net assets) (578) Ending Balance at February 3, 2024 $ (8,654)

CATO CORP 10-Q