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80
CABELA’S INCORPORATED AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Dollars in Thousands Except Share and Per Share Amounts)
Fair Value Measurements and Disclosures: Overall: Implementation Guidance and Illustrations. The adoption of the
remaining provisions of ASC Topic 820, relating to nonfinancial assets and liabilities, did not have a material impact
on our financial position or results of operations.
In December 2007, the FASB issued ASC Topic 805, Business Combinations, which replaced FAS No. 141.
ASC Topic 805 establishes principles and requirements for how the acquirer of a business recognizes and measures
in its financial statements the identifiable assets acquired and the liabilities assumed. We adopted the provisions of
ASC Topic 805 effective December 28, 2008, which applies prospectively to all business combinations entered into
on or after such date. The adoption of this statement had no effect on our financial position or results of operations.
Any future acquisitions will be impacted by application of this statement.
In December 2007, the FASB issued ASC Section 810-10-65, Consolidation: Overall: Transition and
Effective Date Information. This standard amends ARB No. 51 to establish accounting and reporting standards for the
noncontrolling interest in a subsidiary and for the deconsolidation of a subsidiary. We adopted the provisions of ASC
810-10-65 effective December 28, 2008. The adoption of this statement did not have a material effect on our financial
position or results of operations.
In February 2008, the FASB updated ASC Topic 860, Transfers and Servicing. The objective of this update is
to provide implementation guidance on accounting for a transfer of a financial asset and repurchase financing. The
update presumes that an initial transfer of a financial asset and a repurchase financing are considered part of the same
arrangement (linked transaction) under ASC Topic 860. However, if certain criteria are met, the initial transfer and
repurchase financing shall not be evaluated as a linked transaction and shall not be evaluated under ASC Topic 860.
We adopted the provisions the update to ASC Topic 860 effective December 28, 2008. The adoption of this statement
did not have a material effect on our financial position or results of operations.
In March 2008, the FASB updated ASC Topic 815, Derivatives and Hedging. This update changes the existing
disclosure requirements in ASC Topic 815. ASC Topic 815 now requires enhanced disclosures about an entity’s
derivative and hedging activities. We adopted the updates to ASC Topic 815 effective December 28, 2008. The
adoption of this statement did not have a material effect on our financial position or results of operations.
In April 2009, the FASB issued the following:
• Update to ASC Section 820-10-65, Fair Value Measurements and Disclosures: Overall: Transition and
Open Effective Date Information,
• Update to ASC Section 320-10-65, Investments – Debt and Equity Securities: Overall: Transition and
Open Effective Date Information
• Update to ASC Section 825-10-65, Financial Instruments: Overall: Transition and Open Effective Date
Information
ASC 820-10-65 indicates that when determining the fair value of an asset or liability that is not a Level 1
fair value measurement, an entity should assess whether the volume and level of activity for the asset or liability
have significantly decreased when compared with normal market conditions. If the entity concludes that there
has been a significant decrease in the volume and level of activity, a quoted price (e.g., observed transaction) may
not be determinative of fair value and may require a significant adjustment. ASC Section 320-10-65 modifies the
requirements for recognizing other-than-temporarily impaired debt securities and changes the existing impairment
model for such securities. These statements also modify the presentation of other-than-temporary impairment losses
and increase the frequency of and expand already required disclosures about other-than-temporary impairment for
debt and equity securities. ASC Section 825-10-65 requires publicly traded companies to disclose the fair value
of financial instruments within the scope of ASC Topic 825 in interim financial statements, adding to the current
requirement to make those disclosures in annual financial statements. This staff position also requires that companies
disclose the method or methods and significant assumptions used to estimate the fair value of financial instruments