Document And Entity Information
Document And Entity Information - USD ($) $ in Billions | 12 Months Ended | ||
Jan. 29, 2022 | Mar. 07, 2022 | Jul. 30, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Jan. 29, 2022 | ||
Document Transition Report | false | ||
Entity File Number | 001-15059 | ||
Entity Registrant Name | Nordstrom, Inc. | ||
Entity Incorporation, State or Country Code | WA | ||
Entity Tax Identification Number | 91-0515058 | ||
Entity Address, Address Line One | 1617 Sixth Avenue | ||
Entity Address, City or Town | Seattle | ||
Entity Address, State or Province | WA | ||
Entity Address, Postal Zip Code | 98101 | ||
City Area Code | 206 | ||
Local Phone Number | 628-2111 | ||
Title of 12(b) Security | Common stock, without par value | ||
Trading Symbol | JWN | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 4.2 | ||
Entity Common Stock, Shares Outstanding | 159,398,577 | ||
Documents Incorporated by Reference [Text Block] | Portions of the Proxy Statement for the 2022 Annual Meeting of Shareholders, scheduled to be held on May 18, 2022, are incorporated into Part II and III. | ||
Entity Central Index Key | 0000072333 | ||
ICFR Auditor Attestation flag | true | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Current Fiscal Year End Date | --01-29 |
Audit Information
Audit Information | 12 Months Ended |
Jan. 29, 2022 | |
Audit Information [Abstract] | |
Auditor Name | Deloitte & Touche LLP |
Auditor Location | Seattle, Washington |
Auditor Firm ID | 34 |
Consolidated Statements Of Earn
Consolidated Statements Of Earnings - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Income Statement [Abstract] | |||
Net sales | $ 14,402 | $ 10,357 | $ 15,132 |
Credit card revenues, net | 387 | 358 | 392 |
Total revenues | 14,789 | 10,715 | 15,524 |
Cost of sales and related buying and occupancy costs | (9,344) | (7,600) | (9,932) |
Selling, general and administrative expenses | (4,953) | (4,162) | (4,808) |
Earnings (loss) before interest and income taxes | 492 | (1,047) | 784 |
Interest expense, net | (246) | (181) | (102) |
Earnings (loss) before income taxes | 246 | (1,228) | 682 |
Income tax (expense) benefit | (68) | 538 | (186) |
Net earnings (loss) | $ 178 | $ (690) | $ 496 |
Earnings (loss) per share: | |||
Basic (in dollars per share) | $ 1.12 | $ (4.39) | $ 3.20 |
Diluted (in dollars per share) | $ 1.10 | $ (4.39) | $ 3.18 |
Weighted-average shares outstanding: | |||
Basic (in shares) | 159 | 157.2 | 155.2 |
Diluted (in shares) | 162.5 | 157.2 | 156.1 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Earnings - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Statement of Comprehensive Income [Abstract] | |||
Net earnings (loss) | $ 178 | $ (690) | $ 496 |
Postretirement plan adjustments, net of tax of ($6), $0 and $9 | 18 | (1) | (27) |
Foreign currency translation adjustment | 2 | (1) | (4) |
Comprehensive net earnings (loss) | $ 198 | $ (692) | $ 465 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Earnings (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Statement of Comprehensive Income [Abstract] | |||
Tax on postretirement plan adjustments | $ (6) | $ 0 | $ 9 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Assets | ||
Cash and cash equivalents | $ 322 | $ 681 |
Accounts receivable, net | 255 | 245 |
Merchandise inventories | 2,289 | 1,863 |
Prepaid expenses and other | 306 | 853 |
Total current assets | 3,172 | 3,642 |
Land, property and equipment, net | 3,562 | 3,732 |
Operating lease right-of-use assets | 1,496 | 1,581 |
Goodwill | 249 | 249 |
Other assets | 390 | 334 |
Total assets | 8,869 | 9,538 |
Liabilities and Shareholders’ Equity | ||
Accounts payable | 1,529 | 1,960 |
Accrued salaries, wages and related benefits | 383 | 352 |
Current portion of operating lease liabilities | 242 | 260 |
Other current liabilities | 1,160 | 1,048 |
Current portion of long-term debt | 0 | 500 |
Total current liabilities | 3,314 | 4,120 |
Long-term debt, net | 2,853 | 2,769 |
Non-current operating lease liabilities | 1,556 | 1,687 |
Other liabilities | 565 | 657 |
Commitments and contingencies (Note 13) | ||
Shareholders’ equity: | ||
Common stock, no par value: 1,000 shares authorized; 159.4 and 157.8 shares issued and outstanding | 3,283 | 3,205 |
Accumulated deficit | (2,652) | (2,830) |
Accumulated other comprehensive loss | (50) | (70) |
Total shareholders’ equity | 581 | 305 |
Total liabilities and shareholders’ equity | $ 8,869 | $ 9,538 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Stockholders' Equity Attributable to Parent [Abstract] | ||
Common stock, no par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized | 1,000 | 1,000 |
Common stock, shares issued | 159.4 | 157.8 |
Common stock, shares outstanding | 159.4 | 157.8 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Millions | Total | Common stock [Member] | Accumulated deficit [Member] | Accumulated other comprehensive loss [Member] |
Common stock, balance, beginning of year at Feb. 02, 2019 | $ 3,048 | |||
Common stock | ||||
Issuance of common stock under stock compensation plans | 29 | |||
Stock-based compensation | 52 | |||
Common stock, balance, end of year at Feb. 01, 2020 | 3,129 | |||
Accumulated deficit, balance, beginning of year at Feb. 02, 2019 | $ (2,138) | |||
Accumulated deficit | ||||
Cumulative effect of adopted accounting standards | (25) | |||
Net earnings (loss) | $ 496 | 496 | ||
Dividends | (229) | |||
Repurchase of common stock | (186) | |||
Accumulated deficit, balance, end of year at Feb. 01, 2020 | (2,082) | |||
Accumulated other comprehensive loss, balance, beginning of year at Feb. 02, 2019 | $ (37) | |||
Accumulated other comprehensive loss | ||||
Other comprehensive earnings (loss) | (31) | |||
Accumulated other comprehensive loss, balance, end of year at Feb. 01, 2020 | (68) | |||
Total at Feb. 01, 2020 | $ 979 | |||
Accumulated other comprehensive loss | ||||
Dividends per share | $ 1.48 | |||
Issuance of common stock under stock compensation plans | 16 | |||
Stock-based compensation | 60 | |||
Common stock, balance, end of year at Jan. 30, 2021 | $ 3,205 | 3,205 | ||
Accumulated deficit | ||||
Cumulative effect of adopted accounting standards | 0 | |||
Net earnings (loss) | (690) | (690) | ||
Dividends | (58) | |||
Repurchase of common stock | 0 | |||
Accumulated deficit, balance, end of year at Jan. 30, 2021 | (2,830) | (2,830) | ||
Accumulated other comprehensive loss | ||||
Other comprehensive earnings (loss) | (2) | |||
Accumulated other comprehensive loss, balance, end of year at Jan. 30, 2021 | (70) | (70) | ||
Total at Jan. 30, 2021 | $ 305 | |||
Accumulated other comprehensive loss | ||||
Dividends per share | $ 0.37 | |||
Issuance of common stock under stock compensation plans | 14 | |||
Stock-based compensation | 64 | |||
Common stock, balance, end of year at Jan. 29, 2022 | $ 3,283 | $ 3,283 | ||
Accumulated deficit | ||||
Cumulative effect of adopted accounting standards | 0 | |||
Net earnings (loss) | 178 | 178 | ||
Dividends | 0 | |||
Repurchase of common stock | 0 | |||
Accumulated deficit, balance, end of year at Jan. 29, 2022 | (2,652) | $ (2,652) | ||
Accumulated other comprehensive loss | ||||
Other comprehensive earnings (loss) | 20 | |||
Accumulated other comprehensive loss, balance, end of year at Jan. 29, 2022 | (50) | $ (50) | ||
Total at Jan. 29, 2022 | $ 581 | |||
Accumulated other comprehensive loss | ||||
Dividends per share | $ 0 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Operating Activities | |||
Net earnings (loss) | $ 178 | $ (690) | $ 496 |
Adjustments to reconcile net earnings (loss) to net cash provided by (used in) operating activities: | |||
Depreciation and amortization expenses | 615 | 671 | 671 |
Asset impairment | 0 | 137 | 0 |
Right-of-use asset amortization | 175 | 168 | 183 |
Deferred income taxes, net | (11) | (7) | 52 |
Stock-based compensation expense | 79 | 67 | 69 |
Other, net | 81 | 4 | 0 |
Change in operating assets and liabilities: | |||
Accounts receivable | (10) | (46) | 82 |
Merchandise inventories | (383) | 53 | 30 |
Prepaid expenses and other assets | 542 | (607) | (38) |
Accounts payable | (400) | 432 | 98 |
Accrued salaries, wages and related benefits | 31 | (157) | (71) |
Other current liabilities | 112 | (143) | (94) |
Lease liabilities | (284) | (237) | (259) |
Other liabilities | (20) | 7 | 17 |
Net cash provided by (used in) operating activities | 705 | (348) | 1,236 |
Investing Activities | |||
Capital expenditures | (506) | (385) | (935) |
Other, net | (15) | 38 | 26 |
Net cash used in investing activities | (521) | (347) | (909) |
Financing Activities | |||
Proceeds from revolving line of credit | 400 | 800 | 0 |
Payments on revolving line of credit | (400) | (800) | 0 |
Proceeds from long-term borrowings | 675 | 600 | 499 |
Principal payments on long-term borrowings | (1,100) | 0 | (500) |
(Decrease) increase in cash book overdrafts | (32) | (4) | 8 |
Cash dividends paid | 0 | (58) | (229) |
Payments for repurchase of common stock | 0 | 0 | (210) |
Proceeds from issuances under stock compensation plans | 14 | 16 | 29 |
Tax withholding on share-based awards | (15) | (9) | (17) |
Other, net | (86) | (15) | (11) |
Net cash (used in) provided by financing activities | (544) | 530 | (431) |
Effect of exchange rate changes on cash and cash equivalents | 1 | (7) | 0 |
Net decrease in cash and cash equivalents | (359) | (172) | (104) |
Cash and cash equivalents at beginning of year | 681 | 853 | 957 |
Cash and cash equivalents at end of year | 322 | 681 | 853 |
Cash (received) paid during the year for: | |||
Income taxes, net of refunds | (485) | 23 | 178 |
Interest, net of capitalized interest | $ 164 | $ 168 | $ 111 |
Nature Of Operations And Summar
Nature Of Operations And Summary Of Significant Accounting Policies | 12 Months Ended |
Jan. 29, 2022 | |
Accounting Policies [Abstract] | |
Nature Of Operations And Summary Of Significant Accounting Policies | NOTE 1: NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Company Founded in 1901 as a retail shoe business in Seattle, Washington, our Company is a leading fashion retailer that offers an extensive selection of high-quality brand-name and private label merchandise for women, men, young adults and children focused on apparel, shoes, beauty, accessories and home goods. This breadth of merchandise allows us to serve a wide range of customers who appreciate quality fashion and a superior shopping experience. We offer brand-name and private label merchandise across our digital and physical assets in b oth our Nordstrom and Nordstrom Rack banners. Our facilities and stores are located in 40 states in the U.S. and three provinces in Canada. Nordstrom includes: • Nordstrom.com website and mobile application • TrunkClub.com • Nordstrom.ca • 94 Nordstrom stores in the U.S. • six Nordstrom stores and seven Nordstrom Rack stores in Canada • seven Nordstrom Locals Nordstrom Rack includes: • NordstromRack.com website and mobile application • HauteLook.com - prior to the first quarter of 2021 • 240 Nordstrom Rack stores in the U.S. • two Last Chance clearance stores Fiscal Year We operate on a 52/53-week fiscal year ending on the Saturday closest to January 31st. References to 2021 and all years within this document except 2017 are based on a 52-week fiscal year, while 2017 is based on a 53-week fiscal year. Principles of Consolidation The Consolidated Financial Statements include the balances of Nordstrom, Inc. and its subsidiaries. All intercompany transactions and balances are eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with GAAP requires that we make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and disclosure of contingent assets and liabilities during the reporting period. Uncertainties regarding such estimates and assumptions are inherent in the preparation of financial statements and actual results may differ from these estimates and assumptions. Our most significant accounting judgments and estimates include revenue recognition, inventory valuation, long-lived asset recoverability and income taxes, all of which involve assumptions about future events. We may be unable to accurately predict the impact of COVID-19 going forward and as a result our estimates may change in the near term. Revenue Net Sales We recognize sales revenue net of estimated returns and excluding sales taxes. Revenue from sales to customers shipped from our Supply Chain Network facilities, stores and directly from our vendors, which includes shipping revenue when applicable, is recognized at shipping point, the point in time where control has transferred to the customer. Costs to ship orders to customers are expensed as a fulfillment activity at shipping point, commissions from sales at our Nordstrom stores are expensed at the point of sale and both are recorded in SG&A expenses. We reduce sales and cost of sales by an estimate of future customer merchandise returns, which is calculated based on historical and expected return patterns, and record a sales return allowance and an estimated returns asset. Our sales return allowance is classified in other current liabilities and our estimated returns asset, calculated based on the cost of merchandise sold, is classified in prepaid expenses and other on the Consolidated Balance Sheets. As of January 29, 2022 and January 30, 2021, our sales return allowance was $411 and $299 and our estimated returns asset was $186 and $134. Due to the seasonality of our business, these balances typically increase when higher sales occur in the last month of a period, such as the Anniversary Sale, which usually occurs at the end of the second quarter, and decrease in the following period. We record the impact of the sales return allowance in our separate Nordstrom and Nordstrom Rack banners. The majority of our returns from both digital and physical sales come through our stores. As a result of COVID-19 and the related change in customer buying trends, we experienced declines in 2020 in our online return rates, which historically are higher than our overall average return rates. In 2021, we saw increases in our online return rates, although they were still lower than rates in 2019. Accordingly, we adjusted our estimates of future return rates to reflect recent trends. Estimating future returns requires substantial judgment based on current and historical trends and actual returns may vary from our estimates. Loyalty Program The Nordy Club is our customer loyalty program that incorporates a traditional point and benefit system, while providing customers exclusive access to products and events, enhanced services, personalized experiences and more convenient ways to shop. Customers accumulate points based on their level of spending and type of participation. Upon reaching certain point thresholds, customers receive Nordstrom Notes, which can be redeemed for goods or services across Nordstrom and Nordstrom Rack. The Nordy Club benefits vary based on the level of customer spend, and include Bonus Points days and shopping and fashion events. We offer customers access to a variety of payment products and services, including a selection of Nordstrom-branded Visa® credit cards in the U.S. and Canada, as well as a Nordstrom-branded private label credit card for Nordstrom purchases. When customers use a Nordstrom-branded credit or debit card, they also participate in The Nordy Club and receive additional benefits, which can vary depending on the level of spend, including early access to the Anniversary Sale, enhanced alteration and stylist benefits and incremental accumulation of points toward Nordstrom Notes. As our customers earn points and Nordstrom Notes in The Nordy Club, a portion of underlying sales revenue is deferred based on an estimated stand-alone selling price of points, Nordstrom Notes and other loyalty benefits, such as alterations. We recognize the revenue and related cost of sale when the Nordstrom Notes are ultimately redeemed and reduce our contract liability. We include the deferred revenue in other current liabilities on the Consolidated Balance Sheets. We record breakage revenue of unused points and unredeemed Nordstrom Notes based on expected customer redemption. We estimate, based on historical and expected usage, that approximate ly 8% of Nordstrom Notes and points will be unredeemed. Estimating future breakage rates requires judgment based on current and historical trends and actual breakage rates may vary from our estimates. Other benefits of the loyalty program, including shopping and fashion events, are recorded in SG&A expenses as these are not a material right of the program. As of January 29, 2022 and January 30, 2021, our outstanding performance obligation for The Nordy Club, which consists primarily of unredeemed points and Nordstrom Notes at retail value wa s $112 a nd $137. Almost all Nordstrom Notes are redeemed within approximately ten of issuance. Gift Cards We record deferred revenue from the sale of gift cards at the time of purchase. As gift cards are redeemed, we recognize revenue and reduce our contract liability. Although our gift cards do not have an expiration date, we include this deferred revenue in other current liabilities on the Consolidated Balance Sheets as customers can redeem gift cards at any time. We record breakage revenue on unused gift cards based on expected customer redemption. We estimate, based on historical usage, that 3% of gift cards will be unredeemed and recognized as revenue. Estimating future breakage rates requires judgment based on current and historical trends and actual breakage rates may vary from our estimates. Higher volumes of gift cards issued over the last several years prior to COVID-19 combined with higher breakage rates resulted in an increase in breakage income for 2020. However, due to COVID-19 and the related change in customer buying trends there were fewer gift cards issued in the last two years, resulting in a decrease in breakage income for 2021. Breakage income was $39, $81 and $17 in 2021, 2020 and 2019. As of January 29, 2022 and January 30, 2021, our outstanding performance obligation for unredeemed gift cards wa s $366 and $341. Almost all gift cards are redeemed within two Credit Card Revenues, net Although the primary purpose of offering our credit cards is to foster greater customer loyalty and drive more sales, we also receive credit card revenue through our program agreement with TD, whereby TD is the exclusive issuer of our consumer credit cards and we perform account servicing functions. Credit card revenues, net include our portion of the ongoing credit card revenue, net of credit losses, pursuant to our program agreement with TD. Cost of Sales Cost of sales primarily includes the purchase and manufacturing costs of inventory sold, net of vendor allowances, and in-bound freight expense. Buying and Occupancy Costs Buying costs consist primarily of compensation and other costs incurred by our merchandising and product development groups. Occupancy costs include rent, depreciation, property taxes and facility operating costs of our retail, corporate center and Supply Chain Network facilities. Selling, General and Administrative Expenses SG&A expenses consist primarily of compensation and benefit, marketing, outbound supply chain and technology costs. Severance In 2020, we recorded $88 of restructuring costs in connection with our regional and corporate reorganization, including $25 recorded in cost of sales and related buying and occupancy costs and $63 in SG&A on the Consolidated Statement of Earnings. Advertising Advertising production costs for internet, magazines, store events and other media are expensed the first time the advertisement is run. Online marketing costs are expensed when incurred. Total advertising expenses, net of vendor allowances, of $300 , $283 and $299 in 2021, 2020 and 2019 were included in SG&A expenses. Shipping and Fulfillment Costs Our shipping and fulfillment costs include payments to third-party shippers and costs to hold, move and prepare merchandise for shipment. These costs do not include in-bound freight to our Supply Chain Network facilities, which we include in the cost of our inventory. Shipping and fulfillment costs o f $993, $828 and $627 in 2021, 2020 and 2019 were included in SG&A expenses. Vendor Allowances We receive allowances from merchandise vendors for purchase price adjustments, beauty expenses, advertising programs and various other expenses. Purchase price adjustments are recorded as a reduction of cost of sales at the point they have been earned and the related merchandise has been marked down or sold. Allowances for beauty expenses, advertising programs and other expenses are recorded in SG&A expenses as a reduction of the related costs when incurred. Vendor allowances earned are as follows: Fiscal year 2021 2020 2019 Purchase price adjustments $108 $77 $171 Beauty expenses 103 79 140 Advertising 110 82 101 Other 3 2 6 Total vendor allowances $324 $240 $418 Stock-Based Compensation The 2019 Plan authorizes the grant of stock options, PSUs, RSUs, stock appreciation rights and both restricted and unrestricted shares of common stock to employees and nonemployee directors. We grant stock-based awards under our 2019 Plan and employees may purchase our stock at a discount under our ESPP. We predominantly recognize stock-based compensation expense related to stock-based awards at their estimated grant date fair value, recorded on a straight-line basis over the requisite service period. Compensation expense for certain award holders is accelerated based upon age and years of service. Compensation expense for PSUs is adjusted based on the payout percentage of the PSU grant subject to achieving specific performance measures. The total compensation expense is reduced by actual forfeitures as they occur. We estimate the grant date fair value of stock options using the Binomial Lattice option valuation model. The fair value of RSUs are determined based on the number of RSUs granted and the quoted price of our common stock on the date of grant, less the estimated present value of dividends over the vesting period. PSUs granted are classified as equity and the fair value is determined based on the number of PSUs granted and the quoted price of our common stock on the date of grant, less the estimated present value of dividends over the vesting period. Issuance of common stock under stock compensation plans on the Consolidated Statements of Shareholders’ Equity includes proceeds from our common stock option exercises and purchases of shares under the ESPP, while stock-based compensation primarily includes stock-based compensation expense for our common stock options, RSUs and PSUs partially offset by shares withheld for taxes on RSUs. New Store Opening Costs Non-capital expenditures associated with opening new stores, including marketing expenses, relocation expenses and occupancy costs, are charged to expense as incurred. These costs are included in both buying and occupancy costs and SG&A, according to their nature as disclosed above. Income Taxes We use the asset and liability method of accounting for income taxes. Using this method, deferred tax assets and liabilities are recorded based on differences between the financial reporting and tax basis of assets and liabilities and for operating loss and tax credit carryforwards. The deferred tax assets and liabilities are calculated using the enacted tax rates and laws that are expected to be in effect when the differences are expected to reverse. We routinely evaluate the likelihood of realizing the benefit of our deferred tax assets and may record a valuation allowance if, based on all available evidence, it is determined that some portion of the tax benefit will not be realized. We regularly evaluate the likelihood of realizing the benefit for income tax positions we have taken in various federal, state and foreign filings by considering all relevant facts, circumstances and information available. If we believe it is more likely than not that our position will be sustained, we recognize a benefit at the largest amount we believe is cumulatively greater than 50% likely to be realized. Interest and penalties related to income tax matters are classified as a component of income tax expense. Income taxes require significant management judgment regarding applicable statutes and their related interpretation, the status of various income tax audits and our particular facts and circumstances. Also, as audits are completed or statutes of limitations lapse, it may be necessary to record adjustments to our taxes payable, deferred taxes, tax reserves or income tax expense. CARES Act On March 27, 2020, the CARES Act was signed into law. Among other provisions, the CARES Act provided for payroll tax credits for employee retention, deferral of payroll taxes and several income tax provisions including allowing for carryback of certain operating losses. In accordance with our overall approach for determining our income tax provision, which uses an estimated annual effective tax rate based on our best estimates and adjusts for discrete taxable events that occur during the quarter, we made a reasonable estimate of the impacts of the CARES Act in our 2020 results. As of January 29, 2022, we completed our accounting for the impacts of the CARES Act, resulting in no material changes to previously recorded estimated amounts. For the year ended January 30, 2021, we recognized $69 in employee retention payroll tax credits and elected to defer payment of the employer portion of social security taxes, both as provided for under the CARES Act and other COVID-19 related stimulus. For the year ended January 29, 2022, we recognized an additional $7 in COVID-19 payroll-related stimulus and paid in full the deferred employer portion of social security taxes. Comprehensive Net Earnings Comprehensive net earnings consist of net earnings and other gains and losses affecting equity that are excluded from net earnings. These consist of postretirement plan adjustments, net of related income tax effects, and foreign currency translation adjustments. Cash Equivalents Cash equivalents are short-term investments with an original maturity of three months or less from the date of purchase and are carried at cost, which approximates fair value. At the end of 2021 and 2020, checks not yet presented for payment drawn in excess of our bank deposit balances were $74 a nd $106 and included within accounts payable on our Consolidated Balance Sheets. Accounts Receivable Accounts receivable, net primarily includes receivables from TD related to our program agreement, non-Nordstrom-branded credit and debit cards and developer reimbursements. Merchandise Inventories Merchandise inventories are stated at the lower of cost or market value using the retail inventory method. Under the retail method, the valuation of inventories is determined by applying a calculated cost-to-retail ratio to the retail value of ending inventory. The value of our inventory on the balance sheet is then reduced by a charge to cost of sales for retail inventory markdowns taken on the selling price. To determine if the retail value of our inventory should be marked down, we consider current and anticipated demand, customer preferences, age of the merchandise and fashion trends. We record reserves for excess and obsolete inventory based on historical trends and specific identification. We take physical inventory counts at our stores and Supply Chain Network locations and adjust for differences between recorded amounts and counted amounts. Following each physical inventory cycle and using the most recent physical inventory count and historical results, we record an estimate for shrink, based on a percentage of sales, until the next physical inventory count. Leases We record leases, which consist primarily of operating leases, on the Consolidated Balance Sheets as operating lease ROU assets and operating lease liabilities, both of which include current and noncurrent portions. Operating lease liabilities are initially recognized based on the net present value of the fixed portion of our lease and common area maintenance payments from lease commencement through the lease term. To calculate the net present value, we apply an incremental borrowing rate. The incremental borrowing rate is determined using a portfolio approach based on the rate of interest we would pay to borrow an amount equal to the lease payments on a collateralized basis over a similar term. We use quoted interest rates obtained from financial institutions as an input to derive our incremental borrowing rate as the discount rate for the lease. We recognize ROU assets based on operating lease liabilities reduced by property incentives. We test ROU assets for impairment in the same manner as long-lived assets and exclude the related operating lease liability and operating lease payments in our analysis. We lease the land, buildings, or land and buildings for many of our stores, office facilities and Supply Chain Network facilities. We also lease equipment and have service contracts including transportation agreements and warehouse agreements where we control identified assets such as vehicles, warehouse space and equipment and therefore represent embedded leases. Land, Property and Equipment Land is recorded at historical cost, while property and equipment are recorded at cost less accumulated depreciation and amortization. Capitalized software includes the costs of developing or obtaining internal-use software, including external direct costs of materials and services and internal payroll costs related to the software project. We capitalize interest on construction in progress and software projects during the period in which expenditures have been made, activities are in progress to prepare the asset for its intended use and actual interest costs are being incurred. Depreciation and amortization are computed using the straight-line method over the asset’s estimated useful life, which is determined by asset category as follows: Asset Life (in years) Buildings and improvements 5 – 40 Store fixtures and equipment 3 – 15 Leasehold improvements 5 – 40 Capitalized software 2 – 7 Leasehold improvements and leased property and equipment that are purchased at the inception of the lease, or during the lease term, are amortized over the shorter of the lease term or the asset life. Lease terms include the fixed, non-cancellable term of a lease, plus any renewal periods determined to be reasonably assured. Long-Lived Assets When facts and circumstances indicate the carrying values of buildings, equipment and ROU assets may be impaired, we compare the carrying value to the related projected future cash flows, among other quantitative and qualitative analyses. Cash flow analysis requires judgment regarding many factors, such as revenues, growth rates, expenses and capital expenditures. These projections are inherently subject to uncertainties and while we believe the inputs and assumptions utilized in our future cash flows are reasonable, our estimates may change in the near term based on our current and future performance. Land, property and equipment are grouped at the lowest level at which there are identifiable cash flows when assessing impairment, while cash flows for our retail store assets are identified at the individual store level. In 2020, as we optimized our mix of physical and digital assets to align with longer-term customer trends, we closed 16 Nordstrom stores, six Trunk Club clubhouses and three Jeffrey boutiques. In conjunction with these closures, we incurred non-cash impairment charges on long-lived tangible and ROU assets, primarily associated with the Nordstrom store closures, to adjust the carrying values to their estimated fair value. The following table provides details related to asset impairment charges as a result of COVID-19: Fiscal year 2020 Long-lived asset impairment 1 $96 Operating lease ROU asset impairment 1 41 Total asset impairment $137 1 As of January 30, 2021, the carrying value of the applicable long-lived and operating lease ROU assets after impairment was $13 and $3. These charges are primarily included in our Retail segment SG&A expense on the Consolidated Statement of Earnings. Amortization expense for acquired intangibles was $7 in 2019. In 2019, as a result of the Nordstrom Trunk Club integration, we fully impaired the remaining acquired Nordstrom Trunk Club intangible asset and recorded a loss of $11. No amortization expense was recorded beyond 2019. Goodwill Goodwill represents the excess of acquisition cost over the fair value of the related net assets acquired and is not subject to amortization. We review our goodwill annually for impairment, as of the first day of the fourth quarter, or when circumstances indicate that the carrying value may exceed the fair value. We perform this evaluation at the Nordstrom and NordstromRack.com reporting unit level, all within our Retail segment. When evaluating these assets for impairment, we may first perform a qualitative assessment to determine whether it is more likely than not that a reporting unit is impaired. If we determine that it is more likely than not that the carrying value exceeds the fair value of the reporting unit, we perform a quantitative fair value test, where we compare the carrying value of the reporting unit to its estimated fair value, which is based on the expected present value of future cash flows (income approach), comparable public companies and acquisitions (market approach), or a combination of both. If fair value is lower than the carrying value, an impairment charge is recognized in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit. As of January 29, 2022 and January 30, 2021, we had goodwill of $249. Based on the results of our tests, fair value substantially exceeded carrying value, and we therefore had no goodwill impairment in 2021, 2020 or 2019. Investments In July 2021, we acquired a minority interest in the Topshop, Topman, Miss Selfridge and HIIT brands through a strategic partnership with ASOS.com Ltd. We invest in financial interests that align with our business and omni-channel strategies, which are recorded in other assets in the Consolidated Balance Sheets and investing other, net on the Consolidated Statements of Cash Flows. We hold a limited partnership interest in a corporate office building that is classified as held for sale, as we plan to sell our interest within one year. The carrying value of the interest is not material as of January 29, 2022. Self-Insurance We retain a portion of the risk for certain losses related to employee health and welfare, workers’ compensation and other liability claims. Liabilities associated with these losses include undiscounted estimates of both losses reported and losses incurred but not yet reported. We estimate our ultimate cost using an actuarially-based analysis of claims experience, regulatory changes and other relevant factors. Foreign Currency Our Canadian operations are comprised of the Nordstrom.ca w ebsite, six Nordstrom stores and seven Nordstrom Rack stores. The functional currency of our Canadian operations is the Canadian Dollar. We translate assets and liabilities into U.S. Dollars using the exchange rate in effect at the balance sheet date, while we translate revenues and expenses using an average exchange rate for the period. We record these translation adjustments as a component of accumulated other comprehensive loss on the Consolidated Balance Sheets. In addition, our U.S. operations incur certain expenditures denominated in Canadian Dollars and our Canadian operations incur certain expenditures denominated in U.S. Dollars. This activity results in transaction gains and losses that arise from exchange rate fluctuations, which are recorded as gains or losses in the Consolidated Statements of Earnings. Reclassification We reclassified our fiscal 2020 and 2019 Consolidated Statements of Cash Flows to conform with current period presentation. To adjust our net loss to reconcile to operating activity cash flows, we present depreciation and amortization separate from other, net, which includes the “make-whole ” premium in the first quarter of 2021 (see Note 5: Debt and Credit Facilities). |
Revenue
Revenue | 12 Months Ended |
Jan. 29, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | NOTE 2: REVENUE Contract Liabilities Contract liabilities represent our obligation to transfer goods or services to customers and include deferred revenue for The Nordy Club (including points and Nordstrom Notes) and gift cards. Our contract liabilities are classified as current on the Consolidated Balance Sheets and are as follows: Contract Liabilities Balance as of February 1, 2020 $576 Balance as of January 30, 2021 478 Balance as of January 29, 2022 478 Revenues recognized from our beginning contract liability balance were $244 and $261 for the years ended January 29, 2022 and January 30, 2021. Disaggregation of Revenue The following table summarizes our disaggregated net sales: Fiscal year 2021 2020 2019 Nordstrom $9,640 $6,997 $9,943 Nordstrom Rack 4,762 3,360 5,189 Total net sales $14,402 $10,357 $15,132 Digital sales as a % of total net sales 42% 55% 33% The following table summarizes the percent of net sales by merchandise category: Fiscal year 2021 2020 2019 Women’s Apparel 28% 29% 31% Shoes 25% 26% 24% Women’s Accessories 14% 14% 11% Men’s Apparel 14% 12% 16% Beauty 12% 12% 11% Kids’ Apparel 4% 4% 4% Other 3% 3% 3% Total net sales 100% 100% 100% |
Land, Property And Equipment
Land, Property And Equipment | 12 Months Ended |
Jan. 29, 2022 | |
Property, Plant and Equipment [Abstract] | |
Land, Property And Equipment | NOTE 3: LAND, PROPERTY AND EQUIPMENT Land, property and equipment consist of the following: January 29, 2022 January 30, 2021 Land and land improvements $285 $285 Buildings and building improvements 1,338 1,446 Leasehold improvements 3,350 3,212 Store fixtures and equipment 4,038 3,993 Capitalized software 1,915 1,724 Construction in progress 373 231 Land, property and equipment 11,299 10,891 Less: accumulated depreciation and amortization (7,737) (7,159) Land, property and equipment, net $3,562 $3,732 Our net non-cash investing activities primarily related to Nordstrom NYC and our Supply Chain Network capital expenditure accruals and resulted in a (decrease) increase to accounts payable of ($48) and $60 in 2020 and 2019. |
Leases
Leases | 12 Months Ended |
Jan. 29, 2022 | |
Leases [Abstract] | |
Leases | NOTE 4: LEASES We lease the land, buildings, or land and buildings for many of our stores, office facilities and Supply Chain Network facilities, as well as equipment. The majority of our fixed, non-cancellable lease terms are 15 to 30 years for Nordstrom stores, approximately 10 years for Nordstrom Rack stores and 5 to 20 years for office facilities and Supply Chain Network facilities. Many of our leases include options that allow us to extend the lease term beyond the initial commitment period. At the commencement of a lease, we generally include only the initial lease term as we have determined that options to extend are not reasonably certain to occur. The exercise of lease renewal options is generally at our sole discretion. At the renewal of an expiring lease, we reassess our options in the agreement and include all reasonably certain extensions in the measurement of our lease term. Most of our leases also require we pay certain expenses, such as common area maintenance charges, real estate taxes and other executory costs, the fixed portion of which is included in Operating Lease Cost. We recognize Operating Lease Cost, which is primarily included in occupancy costs, on a straight-line basis over the lease term. Variable lease cost includes payments for variable common area maintenance charges and additional payments based on a percentage of sales, which are recognized when probable. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. The following table summarizes the components of lease cost: Fiscal year 2021 2020 Operating Lease Cost $265 $263 Variable lease cost 1 100 100 Sublease income (20) (19) Total lease cost, net $345 $344 1 Variable lease cost includes short-term lease cost, which was immaterial in 2021 and 2020. The following table summarizes future lease payments as of January 29, 2022: Fiscal year Operating Leases 2022 $320 2023 339 2024 294 2025 246 2026 201 Thereafter 841 Total lease payments 1 2,241 Less: amount representing interest (443) Present value of net lease payments 2 $1,798 1 Total lease payments do not include payments for variable lease costs that are required by most of our lease agreements and are based on a percentage of sales. 2 Total lease payments exclude $46 of lease payments for operating leases that were signed but not yet commenced as of January 29, 2022. The following table includes supplemental information: Fiscal year 2021 2020 Cash paid related to operating lease liabilities $371 $332 Operating lease interest 87 95 Operating lease liabilities arising from lease agreements 137 79 January 29, 2022 January 30, 2021 Weighted-average remaining lease term 9 years 9 years Weighted-average discount rate 4.7 % 4.7 % |
Debt And Credit Facilities
Debt And Credit Facilities | 12 Months Ended |
Jan. 29, 2022 | |
Debt Disclosure [Abstract] | |
Debt And Credit Facilities | NOTE 5: DEBT AND CREDIT FACILITIES Debt A summary of our long-term debt is as follows: January 29, 2022 January 30, 2021 Long-term debt, net of unamortized discount: Senior notes, 4.00%, due October 2021 $— $500 Senior notes, 2.30%, due April 2024 250 — Secured Notes, 8.75%, due May 2025 — 600 Senior notes, 4.00%, due March 2027 349 349 Senior debentures, 6.95%, due March 2028 300 300 Senior notes, 4.375%, due April 2030 500 500 Senior notes, 4.25%, due August 2031 425 — Senior notes, 7.00%, due January 2038 147 147 Senior notes, 5.00%, due January 2044 1 903 900 Deferred bond issuance costs (21) (27) Total long-term debt 2,853 3,269 Less: current portion — (500) Total due beyond one year $2,853 $2,769 1 The unamortized discount on these notes was $63 and $66 as of January 29, 2022 and January 30, 2021. Required principal payments on long-term debt are as follows: Fiscal year 1 2022 $— 2023 — 2024 250 2025 — 2026 — Thereafter 2,689 1 Required principal payments exclude estimated future interest payments of $1,799 as of January 29, 2022, with $144 payable within one year. During the first quarter of 2021, we issued $250 aggregate principal amount of 2.30% senior notes due April 2024 and $425 aggregate principal amount of 4.25% senior notes due August 2031. These notes are unsecured and can be redeemed at any time in whole or in part. The April 2024 notes can be redeemed at par starting in April 2022. With the net proceeds of these new notes, together with cash on hand, we retired our Secured Notes. We recorded $88 related to the redemption in interest expense, net, which primarily consisted of a one-time payment of $78 for a “make-whole” premium, and the write-off of unamortized balances associated with the debt discount and issuance costs. The “make-whole” premium payment was not included in cash paid during the period for interest, net of capitalized interest in the Supplemental Cash Flow Information. As a result of this redemption, all our outstanding long-term debt is unsecured and all real estate is unencumbered. During the second quarter of 2021, we retired our 4.00% senior notes that were due October 2021 using cash on hand. Interest Expense The components of interest expense, net are as follows: Fiscal year 2021 2020 2019 Interest on long-term debt and short-term borrowings $258 $199 $151 Less: Interest income (1) (3) (10) Capitalized interest (11) (15) (39) Interest expense, net $246 $181 $102 Credit Facilities During the first quarter of 2021, we amended our Revolver. Under the Revolver, we are in a “Collateral Period” if our Leverage Ratio is greater than four or our unsecured debt is rated below BBB- with a stable outlook at Standard & Poor’s or Baa3 with a stable outlook at Moody’s. In the Collateral Period, any outstanding borrowings under our Revolver will be secured by substantially all our personal property, and we will be subject to asset coverage and minimum liquidity covenants, as well as a fixed charge coverage covenant. If our Leverage Ratio is less than or equal to four and our unsecured debt is rated at or above BBB- with a stable outlook at Standard & Poor’s and Baa3 with a stable outlook at Moody’s, any borrowings under our Revolver will be unsecured, we will not be subject to the above covenants and the restrictions on dividend payments and share repurchases will be removed. As of January 29, 2022, we were in a Collateral Period since we did not meet or exceed our credit rating threshold. We were in compliance with all our Revolver covenants. Under our Revolver amendment, we created flexibility for dividends and share repurchases during the Collateral Period, provided no default or event of default exists as a result of such payments, the pro-forma Leverage Ratio as of the most recent fiscal quarter is less than 3.75, pro-forma liquidity at the date of such payments is at least $600, and the amount of such payments does not exceed the amount of the corresponding fiscal quarter of 2019. Additionally, the “make-whole” premium and unamortized deferred bond issuance costs related to the redemption of the Secured Notes are excluded from the Revolver amendment’s definition of interest expense. As of January 29, 2022, our Leverage Ratio w a s less than 3.75, thus we met the requirements under our Revolver amendment to pay dividends or repurchase shares. The Revolver expires in September 2023 and any outstanding borrowings are classified in total current liabilities on the Consolidated Balance Sheets. In 2021, we borrowed $200 under our Revolver in the first quarter, which was fully repaid in the second quarter, and borrowed an additional $200 in the third quarter, which was fully repaid in the fourth quarter. As of January 29, 2022 and January 30, 2021, we had no borrowings outstanding under our Revolver. The Revolver contains customary representations, warranties, covenants and terms, including paying a variable rate of interest and a commitment fee based on our debt rating, and is available for working capital, capital expenditures and general corporate purposes. Provided that we obtain written consent from our lenders, we have the option to increase the Revolver by up to $200, to a total of $1,000, and two options to extend the Revolver by one year. Our $800 commercial paper program allows us to use the proceeds to fund operating cash requirements. Under the terms of the commercial paper agreement, we pay a rate of interest based on, among other factors, the maturity of the issuance and market conditions. The issuance of commercial paper has the effect of reducing available liquidity under the Revolver by an amount equal to the principal amount of commercial paper outstanding. Conversely, borrowings under our Revolver have the effect of reducing the available capacity of our commercial paper program by an amount equal to the amount outstanding. As of January 29, 2022 and January 30, 2021, we had no issuances outstanding under our commercial paper program. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Jan. 29, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | NOTE 6: FAIR VALUE MEASUREMENTS We disclose our financial assets and liabilities that are measured at fair value in our Consolidated Balance Sheets by level within the fair value hierarchy as defined by applicable accounting standards: Level 1: Quoted market prices in active markets for identical assets or liabilities Level 2: Other observable market-based inputs or unobservable inputs that are corroborated by market data Level 3: Unobservable inputs that cannot be corroborated by market data that reflect the reporting entity’s own assumptions Financial Instruments Measured at Carrying Value Financial instruments measured at carrying value on a recurring basis include cash and cash equivalents, accounts receivable, accounts payable and our Revolver, which approximate fair value due to their short-term nature. Long-term debt is recorded at carrying value. If long-term debt was measured at fair value, we would use quoted market prices of the same or similar issues, which is considered a Level 2 fair value measurement. The following table summarizes the carrying value and fair value estimate of our long-term debt, including current maturities: January 29, 2022 January 30, 2021 Carrying value of long-term debt $2,853 $3,269 Fair value of long-term debt 2,758 3,430 Non-financial Assets Measured at Fair Value on a Nonrecurring Basis We also measure certain non-financial assets at fair value on a nonrecurring basis, primarily goodwill, long-lived tangible and ROU assets, in connection with periodic evaluations for potential impairment. We estimate the fair value of these assets using primarily unobservable inputs and, as such, these are considered Level 3 fair value measurements. There were no material impairment charges for these assets for the year ended January 29, 2022. For more information regarding long-lived tangible and ROU asset impairment charges for the year ended January 30, 2021, see Note 1: Nature of Operations and Summary of Significant Accounting Policies. |
Self-Insurance
Self-Insurance | 12 Months Ended |
Jan. 29, 2022 | |
Self Insurance [Abstract] | |
Self-Insurance | NOTE 7: SELF-INSURANCE Our self-insurance reserves are summarized as follows: January 29, 2022 January 30, 2021 Workers’ compensation $77 $74 Employee health and welfare 28 25 Other liability 20 15 Total self-insurance reserve $125 $114 We are self-insured for the majority of our workers’ compensation programs, employee health and welfare coverage and other liability. Our workers’ compensation policies have a retention per claim of $1 or less and no policy limits. Approximately 25% of our workers’ compensation obligations are payable within one year. In connection with our workers’ compensation programs, we have standby letters of credit issued on our behalf with $13 available and $2 outstanding as of January 29, 2022. These letters of credit are not reflected in our Consolidated Balance Sheets. Our employee health and welfare programs do not use stop-loss coverage and participants contribute to the cost of their coverage through premiums and out-of-pocket expenses for deductibles, co-pays and co-insurance. |
SERP
SERP | 12 Months Ended |
Jan. 29, 2022 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | |
SERP | NOTE 8: SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN We have a SERP, which provides retirement benefits to certain officers and select employees. The SERP has different benefit levels depending on the participant’s role. At the end of 2021, we had 57 participants in the plan, including eight officers and select employees eligible for SERP benefits, 46 retirees and three beneficiaries. This plan is non-qualified and does not have a m inimum funding requirement. We selected the measurement date of January 31, the calendar month end closest to our fiscal year end, to value our SERP. Benefit Obligations and Funded Status Our benefit obligation and funded status is as follows: January 29, 2022 January 30, 2021 Change in benefit obligation: Benefit obligation at beginning of year $229 $224 Participant service cost 2 2 Interest cost 5 6 Benefits paid (10) (10) Act uarial (gain) loss (14) 7 Benefit obligation at end of year 212 229 Change in plan assets: Fair value of plan assets at beginning of year — — Employer contribution 10 10 Benefits paid (10) (10) Fair value of plan assets at end of year — — Underfunded status at end of year ($212) ($229) The accumulated benefit obligation, which is the present value of benefits, assuming no future compensation changes, wa s $211 and $227 at the end of 2021 and 2020. Amounts recognized as liabilities in the Consolidated Balance Sheets consist of the following: January 29, 2022 January 30, 2021 Accrued salaries, wages and related benefits $11 $11 Other liabilities (noncurrent) 201 218 Net amount recognized $212 $229 Components of SERP Expense The components of SERP expense recognized in SG&A expense on the Consolidated Statements of Earnings are as follows: Fiscal year 2021 2020 2019 Participant service cost $2 $2 $2 Interest cost 5 6 7 Amortization of net loss and other 8 9 1 Total SERP expense $15 $17 $10 Accumulated Other Comprehensive Loss Amounts recognized in accumulated other comprehensive loss (pre-tax) consist of the following: 2021 2020 2019 Actuarial (gain) loss (14) 7 34 Amortization of net loss and other (8) (9) (1) Total recognized in accumulated other comprehensive loss ($22) ($2) $33 Assumptions Weighted-average assumptions used to determine our benefit obligation and SERP expense are as follows: Fiscal year 2021 2020 2019 Assumptions used to determine benefit obligation: Discount rate 3.19 % 2.62 % 2.97 % Rate of compensation increase 2.50 % 2.50 % 2.50 % Assumptions used to determine SERP expense: Discount rate 2.62 % 2.97 % 4.27 % Rate of compensation increase 2.50 % 2.50 % 2.50 % Future Benefit Payments and Contributions As of January 29, 2022, the expected future benefit payments based upon the assumptions described above and including benefits attributable to estimated future employee service are as follows: Fiscal year 2022 $11 2023 12 2024 12 2025 12 2026 12 2027 – 2031 61 Thereafter 92 |
401(k) Plan
401(k) Plan | 12 Months Ended |
Jan. 29, 2022 | |
Retirement Benefits [Abstract] | |
Compensation and Employee Benefit Plans, Other than Share-based Compensation | NOTE 9: 401(K) PLAN We provide a 401(k) plan for our employees that allows for employee elective contributions and our matching contributions. Employee elective contributions are funded through voluntary payroll deductions. Beginning January 1, 2021, the Company contributes a matching percentage of employee contributions to the Plan. Prior to January 1, 2021, the Plan allowed for discretionary Company contributions funded in an amount determined by our Board of Directors each year. Total expenses related to Company contributions were $67 and $85 in 2021 and 2019 and were included in both buying and occupancy costs and SG&A expenses on our Consolidated Statements of Earnings. In 2020, due to COVID-19 and the steps we took to strengthen our financial flexibility, we temporarily paused our employer match contribution and incurred no expenses related to Company contributions. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Jan. 29, 2022 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Stock-Based Compensation | NOTE 10: STOCK-BASED COMPENSATION Under our deferred and stock-based compensation plan arrangements, we issued 1.6, 2.2 and 2.1 shares of common stock in 2021, 2020 and 2019. Under the 2019 Plan, the aggregate number of shares to be issued may not exceed 24.5 plus any shares currently outstanding under the 2010 Plan that are forfeited or expire during the term of the 2019 Plan. As of January 29, 2022, we have 24.5 shares authorized, 15.0 shares issued and outstanding and 17.4 shares remaining available for future grants under the 2019 Plan. Under the ESPP, employees may make payroll deductions of up to 15% of their base and bonus compensation for the purchase of Nordstrom common stock. At the end of each six The following table summarizes our stock-based compensation expense: Fiscal year 2021 2020 2019 RSUs $52 $53 $49 Stock options 22 12 11 Other 1 5 2 9 Total stock-based compensation expense, before income tax benefit 79 67 69 Income tax benefit (20) (26) (18) Total stock-based compensation expense, net of income tax benefit $59 $41 $51 1 Other stock-based compensation expense includes PSUs, ESPP and nonemployee director stock awards. The stock-based compensation expense before income tax benefit was recorded in our Consolidated Statements of Earnings as follows: Fiscal year 2021 2020 2019 Cost of sales and related buying and occupancy costs $15 $16 $20 SG&A expenses 64 51 49 Total stock-based compensation expense, before income tax benefit $79 $67 $69 Restricted Stock Our Compensation, People and Culture Committee of our Board of Directors approves grants of restricted stock units to employees. The number of units granted to an individual are determined based upon a percentage of the recipient’s base salary and the fair value of the restricted stock. Restricted stock units typically vest over four years. A summary of restricted stock unit activity for 2021 is presented below: Fiscal year 2021 Shares Weighted-average grant date fair value per unit Outstanding, beginning of year 4.8 $37 Granted 1.8 31 Vested (1.4) 35 Forfeited or cancelled (0.6) 28 Outstanding, end of year 4.6 $36 The aggregate fair value of restricted stock units vested during 2021, 2020 and 2019 was $50, $44 and $65. As of January 29, 2022, the total unrecognized stock-based compensation expense related to nonvested restricted stock units was $61, which is expected to be recognized over a weighted-average period of 28 months. Stock Options Our Compensation, People and Culture Committee of our Board of Directors approves grants of non-qualified stock options to employees. We used the following assumptions to estimate the fair value for stock options at each grant date: Fiscal year 2021 2020 1 2019 Assumptions Risk-free interest rate: Represents the yield on U.S. Treasury zero-coupon securities that mature over the 10-year life of the stock options. 0.11% – 1.51% 0.18% – 0.62% 2.5% – 2.7% Weighted-average volatility: Based on a combination of the historical volatility of our common stock and the implied volatility of exchange-traded options for our common stock. 52.2 % 60.1 % 34.6 % Weighted-average expected dividend yield: Our forecasted dividend yield for the next 10 years. 3.4 % 3.4 % 1.9 % Expected life in years: Represents the estimated period of time until option exercise. The expected term of options granted was derived from the output of the Binomial Lattice option valuation model and was based on our historical exercise behavior, taking into consideration the contractual term of the option and our employees’ expected exercise and post-vesting employment termination behavior. 8.3 7.7 6.8 Grant Date Information Date of grant March 4, 2021 June 1, 2020 March 5, 2019 Weighted-average fair value per option $13 $7 15 Exercise price per option $36 $17 45 1 Additional non-qualified stock options were also granted to certain company leaders on August 27, 2020 at an exercise price per option of $15. The assumptions used to estimate the fair value for the additional stock options were similar to the 2020 grant assumptions presented in this table. In 2020, we also granted stock options to certain qualified employees outside of the June and August grant dates, which were insignificant in aggregate. The number of awards granted to an individual are determined based upon award amounts and fair value of stock options at the time of grant. Our options primarily vest equally over a four A summary of stock option activity for 2021 is presented below: Fiscal year 2021 Shares Weighted- average exercise price Weighted-average remaining contractual life (years) Aggregate intrinsic value Outstanding, beginning of year 11.0 $40 Granted 1.2 36 Exercised — 37 Forfeited or cancelled (1.8) 42 Outstanding, end of year 10.4 $39 5 $183 Vested, end of year 5.2 $54 3 $170 Vested or expected to vest, end of year 10.2 $40 5 $180 Fiscal year 2021 2020 2019 Aggregate intrinsic value of options exercised $— $1 $5 Fair value of stock options vested $2 $8 $17 As of January 29, 2022, the total unrecognized stock-based compensation expense related to nonvested stock options was $12, which is expected to be recognized over a weighted-average period of 18 months. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Jan. 29, 2022 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | NOTE 11: SHAREHOLDERS’ EQUITY Changes in the number of issued and outstanding shares of our common stock in 2021, 2020 and 2019 are the result of share repurchases and compensation plan issuances (see Note 10: Stock-based Compensation). The following is a summary of the activity related to our share repurchase programs in 2021, 2020 and 2019: Shares Average price per share Amount Capacity at February 2, 2019 $893 Shares repurchased 4.1 $45 (186) Capacity at February 1, 2020 707 Shares repurchased — $— — Capacity at January 30, 2021 707 Shares repurchased — $— — Capacity at January 29, 2022 $707 The actual timing, price, manner and amounts of future share repurchases, if any, will be subject to the discretion of the Board of Directors, contractual commitments, market and economic conditions and applicable SEC rules. Our Revolver contains negative covenants with respect to payment of dividends and share repurchases. Under our Revolver amendment, we created flexibility for dividends and share repurchases, provided certain requirements are met (see Note 5: Debt and Credit Facilities). We paid no dividends in 2021, $0.37 per share in 2020 and $1.48 per share in 2019. |
Income Taxes
Income Taxes | 12 Months Ended |
Jan. 29, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 12: INCOME TAXES U.S. and foreign components of earnings before income taxes were as follows: Fiscal year 2021 2020 2019 U.S. $241 ($1,210) $654 Foreign 5 (18) 28 Earnings (loss) before income taxes $246 ($1,228) $682 Income tax expense (benefit) consists of the following: Fiscal year 2021 2020 2019 Current income taxes: Federal $61 ($501) $90 State and local 18 (34) 44 Foreign — 4 — Total current income tax expense (benefit) 79 (531) 134 Deferred income taxes: Federal (10) 47 43 State and local (5) (57) 3 Foreign 4 3 6 Total deferred income tax (benefit) expense (11) (7) 52 Total income tax expense (benefit) $68 ($538) $186 A reconciliation of the statutory federal income tax rate to the effective tax rate on earnings (loss) before income taxes is as follows: Fiscal year 2021 2020 2019 Statutory rate 21.0 % 21.0 % 21.0 % CARES Act impact (0.9 %) 17.6 % — State and local income taxes, net of federal income taxes 3.4 % 6.1 % 5.4 % Federal credits (4.0 %) 0.5 % (0.9 %) Non-deductible expenses 1 2.7 % (0.3 %) 0.9 % Stock-based compensation 1 2.0 % (1.0 %) 0.8 % Valuation allowance 1 1.8 % (0.8 %) (0.1 %) Taxes on foreign operations 1 1.3 % 0.4 % 1.0 % Other, net 1 0.2 % 0.3 % (0.8 %) Effective tax rate 27.5 % 43.8 % 27.3 % 1 We reclassified immaterial prior year amounts that were included in the other, net category to conform with current period presentation. The components of deferred tax assets and liabilities are as follows: January 29, 2022 January 30, 2021 Deferred tax assets: Lease liabilities $471 $505 Compensation and benefits accruals 133 139 Allowance for sales returns 59 43 Accrued expenses 27 28 Merchandise inventories 35 22 Gift cards 25 10 The Nordy Club loyalty program 5 19 Net operating losses 81 72 Other 9 23 Total deferred tax assets 845 861 Valuation allowance (28) (24) Total deferred tax assets, net of valuation allowance 817 837 Deferred tax liabilities: ROU assets (326) (337) Land, property and equipment (327) (341) Debt exchange premium (12) (12) Total deferred tax liabilities (665) (690) Net deferred tax assets $152 $147 The following sets forth information on approximate net operating loss carryforwards for income tax purposes: January 29, 2022 January 30, 2021 State $1,114 $1,036 Foreign 50 54 The net operating loss carryforwards are subject to certain statutory limitations of applicable state and foreign laws. If not utilized, a portion of our state and foreign net operating loss carryforwards will begin to expire in 2024 and 2033. As of January 29, 2022 and January 30, 2021, we believe there are certain foreign net operating loss carryforwards and deferred tax assets that will not be realized in the foreseeable future. As such, valuation allowances of $28 and $24 have been recorded as of January 29, 2022 and January 30, 2021. In 2021 and 2020, the valuation allowance increased $4 and decreased $17. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: Fiscal year 2021 2020 2019 Unrecognized tax benefit at beginning of year $32 $22 $30 Gross increase to tax positions in prior periods 11 4 — Gross increase to tax positions in current period 6 6 3 Lapses in statute — — (1) Settlements (2) — (10) Unrecognized tax benefit at end of year $47 $32 $22 At the end of 2021 and 2020, $39 and $30 of the ending gross unrecognized tax benefit related to items which, if recognized, would affect the effective tax rate. There was no material expense for interest and penalties in 2021, 2020 and 2019. At the end of 2021 and 2020, our liability for interest and penalties was $7 and $4. We file income tax returns in the U.S. and a limited number of foreign jurisdictions. With few exceptions, we are no longer subject to federal, state and local, or non-U.S. income tax examinations for years before 2012. As of January 29, 2022, we believe it is reasonably possible unrecognized tax benefits related to federal, state and local tax positions may decrease $39 by January 28, 2023, due to the completion of examinations and the expiration of various statutes of limitations. |
Commitments And Contingencies
Commitments And Contingencies | 12 Months Ended |
Jan. 29, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingencies | NOTE 13: COMMITMENTS AND CONTINGENCIES Our estimated total purchase obligations, which primarily consist of inventory purchase orders and capital expenditure commitments, were $2,576 as of January 29, 2022. These purchase obligations are primarily payable within one year. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Jan. 29, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | NOTE 14: EARNINGS PER SHARE Earnings per basic share is computed using the weighted-average number of common shares outstanding during the year. Earnings per diluted share uses the weighted-average number of common shares outstanding during the year plus dilutive common stock equivalents, primarily RSUs and stock options. Dilutive common stock is calculated using the treasury stock method and includes unvested RSUs and outstanding options that would reduce the amount of earnings for which each share is entitled. Anti-dilutive shares (including stock options and other shares) are excluded from the calculation of diluted shares and earnings per diluted share because their impact could increase earnings per diluted share. The computation of earnings per share is as follows: Fiscal year 2021 2020 2019 Net earnings (loss) $178 ($690) $496 Basic shares 159.0 157.2 155.2 Dilutive effect of common stock equivalents 3.5 — 0.9 Diluted shares 162.5 157.2 156.1 Earnings (loss) per basic share $1.12 ($4.39) $3.20 Earnings (loss) per diluted share $1.10 ($4.39) $3.18 Anti-dilutive common stock equivalents 8.1 13.5 10.0 |
Segment Reporting
Segment Reporting | 12 Months Ended |
Jan. 29, 2022 | |
Segment Reporting [Abstract] | |
Segment Reporting | NOTE 15: SEGMENT REPORTING Segments We continually monitor and review our segment reporting structure in accordance with authoritative guidance to determine whether any changes have occurred that would impact our reportable segments. We have one reportable “Retail” segment to align with how management operates and evaluates the results of our operations. Our principal executive officer, who is our CODM, reviews results on a total Company, Nordstrom and Nordstrom Rack basis and uses EBIT as a measure of profitability. Our Retail reportable segment aggregates our two operating segments, Nordstrom and Nordstrom Rack. Nordstrom consists of Nordstrom.com, TrunkClub.com, Nordstrom-branded U.S. stores, Canada, which includes Nordstrom.ca, Nordstrom Canadian stores and Nordstrom Rack Canadian stores, and Nordstrom Local. Nordstrom Rack consists of NordstromRack.com, Nordstrom Rack-branded U.S. stores, Last Chance clearance stores and, prior to the first quarter of 2021, HauteLook.com. Our Nordstrom and Nordstrom Rack operating segments both generate revenue by offering customers an extensive selection of high-quality brand-name and private label merchandise for women, men, young adults and children focused on apparel, shoes, beauty, accessories and home goods. We continue to focus on omni-channel initiatives by integrating the operations, merchandising and technology necessary to be consistent with our customers’ expectations of a seamless shopping experience regardless of channel or business. Nordstrom and Nordstrom Rack have historically had similar economic characteristics and are expected to have similar economic characteristics and long-term financial performance in future periods. They also have other similar qualitative characteristics, including suppliers, method of distribution, type of customer and regulatory environment. Due to their similar qualitative and economic characteristics, we have aggregated our Nordstrom and Nordstrom Rack operating segments into a single reportable segment. Amounts in the Corporate/Other column include unallocated corporate expenses and assets (including unallocated assets in corporate headquarters, consisting primarily of cash, land, buildings and equipment and deferred tax assets), inter-segment eliminations and other adjustments to segment results necessary for the presentation of consolidated financial results in accordance with GAAP. Accounting Policy We present our segment results for all years in the way that management views our results internally and the accounting policies of the operating segments are the same as those described in Note 1: Nature of Operations and Summary of Significant Accounting Policies. The following table sets forth information for our reportable segment: Retail Corporate/Other Total Fiscal year 2021 Net sales $14,402 $— $14,402 Credit card revenues, net — 387 387 Earnings (loss) before interest and income taxes 687 (195) 492 Capital expenditures (218) (288) (506) Depreciation and amortization (350) (265) (615) Assets 6,244 2,625 8,869 Fiscal year 2020 Net sales $10,357 $— $10,357 Credit card revenues, net — 358 358 Loss before interest and income taxes (924) (123) (1,047) Capital expenditures (175) (210) (385) Depreciation and amortization (404) (267) (671) Assets 6,100 3,438 9,538 Fiscal year 2019 Net sales $15,132 $— $15,132 Credit card revenues, net — 392 392 Earnings (loss) before interest and income taxes 1,028 (244) 784 Capital expenditures (726) (209) (935) Depreciation and amortization (428) (233) (661) Assets 6,831 2,906 9,737 For information about disaggregated revenues, see Note 2: Revenue. |
Nature Of Operations And Summ_2
Nature Of Operations And Summary Of Significant Accounting Policies (Policy) | 12 Months Ended |
Jan. 29, 2022 | |
Accounting Policies [Abstract] | |
Fiscal Year | Fiscal Year We operate on a 52/53-week fiscal year ending on the Saturday closest to January 31st. References to 2021 and all years within this document except 2017 are based on a 52-week fiscal year, while 2017 is based on a 53-week fiscal year. |
Principles of Consolidation | Principles of Consolidation The Consolidated Financial Statements include the balances of Nordstrom, Inc. and its subsidiaries. All intercompany transactions and balances are eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires that we make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and disclosure of contingent assets and liabilities during the reporting period. Uncertainties regarding such estimates and assumptions are inherent in the preparation of financial statements and actual results may differ from these estimates and assumptions. Our most significant accounting judgments and estimates include revenue recognition, inventory valuation, long-lived asset recoverability and income taxes, all of which involve assumptions about future events. We may be unable to accurately predict the impact of COVID-19 going forward and as a result our estimates may change in the near term. |
Revenue | Revenue Net Sales We recognize sales revenue net of estimated returns and excluding sales taxes. Revenue from sales to customers shipped from our Supply Chain Network facilities, stores and directly from our vendors, which includes shipping revenue when applicable, is recognized at shipping point, the point in time where control has transferred to the customer. Costs to ship orders to customers are expensed as a fulfillment activity at shipping point, commissions from sales at our Nordstrom stores are expensed at the point of sale and both are recorded in SG&A expenses. We reduce sales and cost of sales by an estimate of future customer merchandise returns, which is calculated based on historical and expected return patterns, and record a sales return allowance and an estimated returns asset. Our sales return allowance is classified in other current liabilities and our estimated returns asset, calculated based on the cost of merchandise sold, is classified in prepaid expenses and other on the Consolidated Balance Sheets. As of January 29, 2022 and January 30, 2021, our sales return allowance was $411 and $299 and our estimated returns asset was $186 and $134. Due to the seasonality of our business, these balances typically increase when higher sales occur in the last month of a period, such as the Anniversary Sale, which usually occurs at the end of the second quarter, and decrease in the following period. We record the impact of the sales return allowance in our separate Nordstrom and Nordstrom Rack banners. The majority of our returns from both digital and physical sales come through our stores. As a result of COVID-19 and the related change in customer buying trends, we experienced declines in 2020 in our online return rates, which historically are higher than our overall average return rates. In 2021, we saw increases in our online return rates, although they were still lower than rates in 2019. Accordingly, we adjusted our estimates of future return rates to reflect recent trends. Estimating future returns requires substantial judgment based on current and historical trends and actual returns may vary from our estimates. Loyalty Program The Nordy Club is our customer loyalty program that incorporates a traditional point and benefit system, while providing customers exclusive access to products and events, enhanced services, personalized experiences and more convenient ways to shop. Customers accumulate points based on their level of spending and type of participation. Upon reaching certain point thresholds, customers receive Nordstrom Notes, which can be redeemed for goods or services across Nordstrom and Nordstrom Rack. The Nordy Club benefits vary based on the level of customer spend, and include Bonus Points days and shopping and fashion events. We offer customers access to a variety of payment products and services, including a selection of Nordstrom-branded Visa® credit cards in the U.S. and Canada, as well as a Nordstrom-branded private label credit card for Nordstrom purchases. When customers use a Nordstrom-branded credit or debit card, they also participate in The Nordy Club and receive additional benefits, which can vary depending on the level of spend, including early access to the Anniversary Sale, enhanced alteration and stylist benefits and incremental accumulation of points toward Nordstrom Notes. As our customers earn points and Nordstrom Notes in The Nordy Club, a portion of underlying sales revenue is deferred based on an estimated stand-alone selling price of points, Nordstrom Notes and other loyalty benefits, such as alterations. We recognize the revenue and related cost of sale when the Nordstrom Notes are ultimately redeemed and reduce our contract liability. We include the deferred revenue in other current liabilities on the Consolidated Balance Sheets. We record breakage revenue of unused points and unredeemed Nordstrom Notes based on expected customer redemption. We estimate, based on historical and expected usage, that approximate ly 8% of Nordstrom Notes and points will be unredeemed. Estimating future breakage rates requires judgment based on current and historical trends and actual breakage rates may vary from our estimates. Other benefits of the loyalty program, including shopping and fashion events, are recorded in SG&A expenses as these are not a material right of the program. As of January 29, 2022 and January 30, 2021, our outstanding performance obligation for The Nordy Club, which consists primarily of unredeemed points and Nordstrom Notes at retail value wa s $112 a nd $137. Almost all Nordstrom Notes are redeemed within approximately ten of issuance. Gift Cards We record deferred revenue from the sale of gift cards at the time of purchase. As gift cards are redeemed, we recognize revenue and reduce our contract liability. Although our gift cards do not have an expiration date, we include this deferred revenue in other current liabilities on the Consolidated Balance Sheets as customers can redeem gift cards at any time. We record breakage revenue on unused gift cards based on expected customer redemption. We estimate, based on historical usage, that 3% of gift cards will be unredeemed and recognized as revenue. Estimating future breakage rates requires judgment based on current and historical trends and actual breakage rates may vary from our estimates. Higher volumes of gift cards issued over the last several years prior to COVID-19 combined with higher breakage rates resulted in an increase in breakage income for 2020. However, due to COVID-19 and the related change in customer buying trends there were fewer gift cards issued in the last two years, resulting in a decrease in breakage income for 2021. Breakage income was $39, $81 and $17 in 2021, 2020 and 2019. As of January 29, 2022 and January 30, 2021, our outstanding performance obligation for unredeemed gift cards wa s $366 and $341. Almost all gift cards are redeemed within two Credit Card Revenues, net Although the primary purpose of offering our credit cards is to foster greater customer loyalty and drive more sales, we also receive credit card revenue through our program agreement with TD, whereby TD is the exclusive issuer of our consumer credit cards and we perform account servicing functions. Credit card revenues, net include our portion of the ongoing credit card revenue, net of credit losses, pursuant to our program agreement with TD. |
Cost of Sales | Cost of SalesCost of sales primarily includes the purchase and manufacturing costs of inventory sold, net of vendor allowances, and in-bound freight expense. |
Buying and Occupancy Costs | Buying and Occupancy Costs Buying costs consist primarily of compensation and other costs incurred by our merchandising and product development groups. Occupancy costs include rent, depreciation, property taxes and facility operating costs of our retail, corporate center and Supply Chain Network facilities. |
Selling, General and Administrative Expenses | Selling, General and Administrative Expenses SG&A expenses consist primarily of compensation and benefit, marketing, outbound supply chain and technology costs. Severance In 2020, we recorded $88 of restructuring costs in connection with our regional and corporate reorganization, including $25 recorded in cost of sales and related buying and occupancy costs and $63 in SG&A on the Consolidated Statement of Earnings. |
Advertising | Advertising Advertising production costs for internet, magazines, store events and other media are expensed the first time the advertisement is run. Online marketing costs are expensed when incurred. Total advertising expenses, net of vendor allowances, of $300 , $283 and $299 in 2021, 2020 and 2019 were included in SG&A expenses. |
Shipping and Handling Costs | Shipping and Fulfillment Costs Our shipping and fulfillment costs include payments to third-party shippers and costs to hold, move and prepare merchandise for shipment. These costs do not include in-bound freight to our Supply Chain Network facilities, which we include in the cost of our inventory. Shipping and fulfillment costs o f $993, $828 and $627 in 2021, 2020 and 2019 were included in SG&A expenses. |
Vendor Allowances | Vendor Allowances We receive allowances from merchandise vendors for purchase price adjustments, beauty expenses, advertising programs and various other expenses. Purchase price adjustments are recorded as a reduction of cost of sales at the point they have been earned and the related merchandise has been marked down or sold. Allowances for beauty expenses, advertising programs and other expenses are recorded in SG&A expenses as a reduction of the related costs when incurred. Vendor allowances earned are as follows: Fiscal year 2021 2020 2019 Purchase price adjustments $108 $77 $171 Beauty expenses 103 79 140 Advertising 110 82 101 Other 3 2 6 Total vendor allowances $324 $240 $418 |
Stock-Based Compensation | Stock-Based Compensation The 2019 Plan authorizes the grant of stock options, PSUs, RSUs, stock appreciation rights and both restricted and unrestricted shares of common stock to employees and nonemployee directors. We grant stock-based awards under our 2019 Plan and employees may purchase our stock at a discount under our ESPP. We predominantly recognize stock-based compensation expense related to stock-based awards at their estimated grant date fair value, recorded on a straight-line basis over the requisite service period. Compensation expense for certain award holders is accelerated based upon age and years of service. Compensation expense for PSUs is adjusted based on the payout percentage of the PSU grant subject to achieving specific performance measures. The total compensation expense is reduced by actual forfeitures as they occur. We estimate the grant date fair value of stock options using the Binomial Lattice option valuation model. The fair value of RSUs are determined based on the number of RSUs granted and the quoted price of our common stock on the date of grant, less the estimated present value of dividends over the vesting period. PSUs granted are classified as equity and the fair value is determined based on the number of PSUs granted and the quoted price of our common stock on the date of grant, less the estimated present value of dividends over the vesting period. Issuance of common stock under stock compensation plans on the Consolidated Statements of Shareholders’ Equity includes proceeds from our common stock option exercises and purchases of shares under the ESPP, while stock-based compensation primarily includes stock-based compensation expense for our common stock options, RSUs and PSUs partially offset by shares withheld for taxes on RSUs. |
New Store Opening Costs | New Store Opening Costs Non-capital expenditures associated with opening new stores, including marketing expenses, relocation expenses and occupancy costs, are charged to expense as incurred. These costs are included in both buying and occupancy costs and SG&A, according to their nature as disclosed above. |
Income Taxes | Income Taxes We use the asset and liability method of accounting for income taxes. Using this method, deferred tax assets and liabilities are recorded based on differences between the financial reporting and tax basis of assets and liabilities and for operating loss and tax credit carryforwards. The deferred tax assets and liabilities are calculated using the enacted tax rates and laws that are expected to be in effect when the differences are expected to reverse. We routinely evaluate the likelihood of realizing the benefit of our deferred tax assets and may record a valuation allowance if, based on all available evidence, it is determined that some portion of the tax benefit will not be realized. We regularly evaluate the likelihood of realizing the benefit for income tax positions we have taken in various federal, state and foreign filings by considering all relevant facts, circumstances and information available. If we believe it is more likely than not that our position will be sustained, we recognize a benefit at the largest amount we believe is cumulatively greater than 50% likely to be realized. Interest and penalties related to income tax matters are classified as a component of income tax expense. |
CARES Act | CARES Act On March 27, 2020, the CARES Act was signed into law. Among other provisions, the CARES Act provided for payroll tax credits for employee retention, deferral of payroll taxes and several income tax provisions including allowing for carryback of certain operating losses. In accordance with our overall approach for determining our income tax provision, which uses an estimated annual effective tax rate based on our best estimates and adjusts for discrete taxable events that occur during the quarter, we made a reasonable estimate of the impacts of the CARES Act in our 2020 results. As of January 29, 2022, we completed our accounting for the impacts of the CARES Act, resulting in no material changes to previously recorded estimated amounts. For the year ended January 30, 2021, we recognized $69 in employee retention payroll tax credits and elected to defer payment of the employer portion of social security taxes, both as provided for under the CARES Act and other COVID-19 related stimulus. For the year ended January 29, 2022, we recognized an additional $7 in COVID-19 payroll-related stimulus and paid in full the deferred employer portion of social security taxes. |
Comprehensive Net Earnings | Comprehensive Net EarningsComprehensive net earnings consist of net earnings and other gains and losses affecting equity that are excluded from net earnings. These consist of postretirement plan adjustments, net of related income tax effects, and foreign currency translation adjustments. |
Cash Equivalents | Cash Equivalents Cash equivalents are short-term investments with an original maturity of three months or less from the date of purchase and are carried at cost, which approximates fair value. At the end of 2021 and 2020, checks not yet presented for payment drawn in excess of our bank deposit balances were $74 a nd $106 and included within accounts payable on our Consolidated Balance Sheets. |
Accounts Receivable | Accounts Receivable Accounts receivable, net primarily includes receivables from TD related to our program agreement, non-Nordstrom-branded credit and debit cards and developer reimbursements. |
Merchandise Inventories | Merchandise Inventories Merchandise inventories are stated at the lower of cost or market value using the retail inventory method. Under the retail method, the valuation of inventories is determined by applying a calculated cost-to-retail ratio to the retail value of ending inventory. The value of our inventory on the balance sheet is then reduced by a charge to cost of sales for retail inventory markdowns taken on the selling price. To determine if the retail value of our inventory should be marked down, we consider current and anticipated demand, customer preferences, age of the merchandise and fashion trends. We record reserves for excess and obsolete inventory based on historical trends and specific identification. We take physical inventory counts at our stores and Supply Chain Network locations and adjust for differences between recorded amounts and counted amounts. Following each physical inventory cycle and using the most recent physical inventory count and historical results, we record an estimate for shrink, based on a percentage of sales, until the next physical inventory count. |
Leases | Leases We record leases, which consist primarily of operating leases, on the Consolidated Balance Sheets as operating lease ROU assets and operating lease liabilities, both of which include current and noncurrent portions. Operating lease liabilities are initially recognized based on the net present value of the fixed portion of our lease and common area maintenance payments from lease commencement through the lease term. To calculate the net present value, we apply an incremental borrowing rate. The incremental borrowing rate is determined using a portfolio approach based on the rate of interest we would pay to borrow an amount equal to the lease payments on a collateralized basis over a similar term. We use quoted interest rates obtained from financial institutions as an input to derive our incremental borrowing rate as the discount rate for the lease. We recognize ROU assets based on operating lease liabilities reduced by property incentives. We test ROU assets for impairment in the same manner as long-lived assets and exclude the related operating lease liability and operating lease payments in our analysis. |
Land, Property and Equipment | Land, Property and Equipment Land is recorded at historical cost, while property and equipment are recorded at cost less accumulated depreciation and amortization. Capitalized software includes the costs of developing or obtaining internal-use software, including external direct costs of materials and services and internal payroll costs related to the software project. We capitalize interest on construction in progress and software projects during the period in which expenditures have been made, activities are in progress to prepare the asset for its intended use and actual interest costs are being incurred. Depreciation and amortization are computed using the straight-line method over the asset’s estimated useful life, which is determined by asset category as follows: Asset Life (in years) Buildings and improvements 5 – 40 Store fixtures and equipment 3 – 15 Leasehold improvements 5 – 40 Capitalized software 2 – 7 Leasehold improvements and leased property and equipment that are purchased at the inception of the lease, or during the lease term, are amortized over the shorter of the lease term or the asset life. Lease terms include the fixed, non-cancellable term of a lease, plus any renewal periods determined to be reasonably assured. |
Long-Lived Assets | Long-Lived Assets When facts and circumstances indicate the carrying values of buildings, equipment and ROU assets may be impaired, we compare the carrying value to the related projected future cash flows, among other quantitative and qualitative analyses. Cash flow analysis requires judgment regarding many factors, such as revenues, growth rates, expenses and capital expenditures. These projections are inherently subject to uncertainties and while we believe the inputs and assumptions utilized in our future cash flows are reasonable, our estimates may change in the near term based on our current and future performance. Land, property and equipment are grouped at the lowest level at which there are identifiable cash flows when assessing impairment, while cash flows for our retail store assets are identified at the individual store level. In 2020, as we optimized our mix of physical and digital assets to align with longer-term customer trends, we closed 16 Nordstrom stores, six Trunk Club clubhouses and three Jeffrey boutiques. In conjunction with these closures, we incurred non-cash impairment charges on long-lived tangible and ROU assets, primarily associated with the Nordstrom store closures, to adjust the carrying values to their estimated fair value. The following table provides details related to asset impairment charges as a result of COVID-19: Fiscal year 2020 Long-lived asset impairment 1 $96 Operating lease ROU asset impairment 1 41 Total asset impairment $137 1 As of January 30, 2021, the carrying value of the applicable long-lived and operating lease ROU assets after impairment was $13 and $3. These charges are primarily included in our Retail segment SG&A expense on the Consolidated Statement of Earnings. Amortization expense for acquired intangibles was $7 in 2019. In 2019, as a result of the Nordstrom Trunk Club integration, we fully impaired the remaining acquired Nordstrom Trunk Club intangible asset and recorded a loss of $11. No amortization expense was recorded beyond 2019. |
Goodwill | Goodwill Goodwill represents the excess of acquisition cost over the fair value of the related net assets acquired and is not subject to amortization. We review our goodwill annually for impairment, as of the first day of the fourth quarter, or when circumstances indicate that the carrying value may exceed the fair value. We perform this evaluation at the Nordstrom and NordstromRack.com reporting unit level, all within our Retail segment. When evaluating these assets for impairment, we may first perform a qualitative assessment to determine whether it is more likely than not that a reporting unit is impaired. If we determine that it is more likely than not that the carrying value exceeds the fair value of the reporting unit, we perform a quantitative fair value test, where we compare the carrying value of the reporting unit to its estimated fair value, which is based on the expected present value of future cash flows (income approach), comparable public companies and acquisitions (market approach), or a combination of both. If fair value is lower than the carrying value, an impairment charge is recognized in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit. As of January 29, 2022 and January 30, 2021, we had goodwill of $249. Based on the results of our tests, fair value substantially exceeded carrying value, and we therefore had no goodwill impairment in 2021, 2020 or 2019. |
Investments | Investments In July 2021, we acquired a minority interest in the Topshop, Topman, Miss Selfridge and HIIT brands through a strategic partnership with ASOS.com Ltd. We invest in financial interests that align with our business and omni-channel strategies, which are recorded in other assets in the Consolidated Balance Sheets and investing other, net on the Consolidated Statements of Cash Flows. We hold a limited partnership interest in a corporate office building that is classified as held for sale, as we plan to sell our interest within one year. The carrying value of the interest is not material as of January 29, 2022. |
Self-Insurance | Self-Insurance We retain a portion of the risk for certain losses related to employee health and welfare, workers’ compensation and other liability claims. Liabilities associated with these losses include undiscounted estimates of both losses reported and losses incurred but not yet reported. We estimate our ultimate cost using an actuarially-based analysis of claims experience, regulatory changes and other relevant factors. |
Foreign Currency | Foreign Currency Our Canadian operations are comprised of the Nordstrom.ca w ebsite, six Nordstrom stores and seven Nordstrom Rack stores. The functional currency of our Canadian operations is the Canadian Dollar. We translate assets and liabilities into U.S. Dollars using the exchange rate in effect at the balance sheet date, while we translate revenues and expenses using an average exchange rate for the period. We record these translation adjustments as a component of accumulated other comprehensive loss on the Consolidated Balance Sheets. |
Reclassification | Reclassification We reclassified our fiscal 2020 and 2019 Consolidated Statements of Cash Flows to conform with current period presentation. To adjust our net loss to reconcile to operating activity cash flows, we present depreciation and amortization separate from other, net, which includes the “make-whole ” premium in the first quarter of 2021 (see Note 5: Debt and Credit Facilities). |
Earnings Per Share | NOTE 14: EARNINGS PER SHARE Earnings per basic share is computed using the weighted-average number of common shares outstanding during the year. Earnings per diluted share uses the weighted-average number of common shares outstanding during the year plus dilutive common stock equivalents, primarily RSUs and stock options. Dilutive common stock is calculated using the treasury stock method and includes unvested RSUs and outstanding options that would reduce the amount of earnings for which each share is entitled. Anti-dilutive shares (including stock options and other shares) are excluded from the calculation of diluted shares and earnings per diluted share because their impact could increase earnings per diluted share. |
Segment Reporting | Accounting PolicyWe present our segment results for all years in the way that management views our results internally and the accounting policies of the operating segments are the same as those described in Note 1: Nature of Operations and Summary of Significant Accounting Policies |
Nature Of Operations And Summ_3
Nature Of Operations And Summary Of Significant Accounting Policies (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Accounting Policies [Abstract] | |
Vendor Allowances | Vendor allowances earned are as follows: Fiscal year 2021 2020 2019 Purchase price adjustments $108 $77 $171 Beauty expenses 103 79 140 Advertising 110 82 101 Other 3 2 6 Total vendor allowances $324 $240 $418 |
Estimated Useful Life Of Land, Property And Equipment By Asset Category | Depreciation and amortization are computed using the straight-line method over the asset’s estimated useful life, which is determined by asset category as follows: Asset Life (in years) Buildings and improvements 5 – 40 Store fixtures and equipment 3 – 15 Leasehold improvements 5 – 40 Capitalized software 2 – 7 |
COVID-19 Related Asset Impairment Charges | The following table provides details related to asset impairment charges as a result of COVID-19: Fiscal year 2020 Long-lived asset impairment 1 $96 Operating lease ROU asset impairment 1 41 Total asset impairment $137 1 As of January 30, 2021, the carrying value of the applicable long-lived and operating lease ROU assets after impairment was $13 and $3. |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Summary Of Contract Liabilities | Our contract liabilities are classified as current on the Consolidated Balance Sheets and are as follows: Contract Liabilities Balance as of February 1, 2020 $576 Balance as of January 30, 2021 478 Balance as of January 29, 2022 478 |
Disaggregated Net Sales | The following table summarizes our disaggregated net sales: Fiscal year 2021 2020 2019 Nordstrom $9,640 $6,997 $9,943 Nordstrom Rack 4,762 3,360 5,189 Total net sales $14,402 $10,357 $15,132 Digital sales as a % of total net sales 42% 55% 33% |
Percent Of Net Sales By Merchandise Category Summary | The following table summarizes the percent of net sales by merchandise category: Fiscal year 2021 2020 2019 Women’s Apparel 28% 29% 31% Shoes 25% 26% 24% Women’s Accessories 14% 14% 11% Men’s Apparel 14% 12% 16% Beauty 12% 12% 11% Kids’ Apparel 4% 4% 4% Other 3% 3% 3% Total net sales 100% 100% 100% |
Land, Property And Equipment (T
Land, Property And Equipment (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Property, Plant and Equipment [Abstract] | |
Schedule Of Land, Property And Equipment | Land, property and equipment consist of the following: January 29, 2022 January 30, 2021 Land and land improvements $285 $285 Buildings and building improvements 1,338 1,446 Leasehold improvements 3,350 3,212 Store fixtures and equipment 4,038 3,993 Capitalized software 1,915 1,724 Construction in progress 373 231 Land, property and equipment 11,299 10,891 Less: accumulated depreciation and amortization (7,737) (7,159) Land, property and equipment, net $3,562 $3,732 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Leases [Abstract] | |
Components Of Lease Cost | The following table summarizes the components of lease cost: Fiscal year 2021 2020 Operating Lease Cost $265 $263 Variable lease cost 1 100 100 Sublease income (20) (19) Total lease cost, net $345 $344 1 Variable lease cost includes short-term lease cost, which was immaterial in 2021 and 2020. |
Future Lease Payments | The following table summarizes future lease payments as of January 29, 2022: Fiscal year Operating Leases 2022 $320 2023 339 2024 294 2025 246 2026 201 Thereafter 841 Total lease payments 1 2,241 Less: amount representing interest (443) Present value of net lease payments 2 $1,798 1 Total lease payments do not include payments for variable lease costs that are required by most of our lease agreements and are based on a percentage of sales. 2 Total lease payments exclude $46 of lease payments for operating leases that were signed but not yet commenced as of January 29, 2022. |
Supplemental Lease Information | The following table includes supplemental information: Fiscal year 2021 2020 Cash paid related to operating lease liabilities $371 $332 Operating lease interest 87 95 Operating lease liabilities arising from lease agreements 137 79 January 29, 2022 January 30, 2021 Weighted-average remaining lease term 9 years 9 years Weighted-average discount rate 4.7 % 4.7 % |
Debt And Credit Facilities (Tab
Debt And Credit Facilities (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Debt Disclosure [Abstract] | |
Summary Of Long-Term Debt | A summary of our long-term debt is as follows: January 29, 2022 January 30, 2021 Long-term debt, net of unamortized discount: Senior notes, 4.00%, due October 2021 $— $500 Senior notes, 2.30%, due April 2024 250 — Secured Notes, 8.75%, due May 2025 — 600 Senior notes, 4.00%, due March 2027 349 349 Senior debentures, 6.95%, due March 2028 300 300 Senior notes, 4.375%, due April 2030 500 500 Senior notes, 4.25%, due August 2031 425 — Senior notes, 7.00%, due January 2038 147 147 Senior notes, 5.00%, due January 2044 1 903 900 Deferred bond issuance costs (21) (27) Total long-term debt 2,853 3,269 Less: current portion — (500) Total due beyond one year $2,853 $2,769 1 The unamortized discount on these notes was $63 and $66 as of January 29, 2022 and January 30, 2021. |
Schedule Of Required Principal Payments On Long-Term Debt | Required principal payments on long-term debt are as follows: Fiscal year 1 2022 $— 2023 — 2024 250 2025 — 2026 — Thereafter 2,689 1 Required principal payments exclude estimated future interest payments of $1,799 as of January 29, 2022, with $144 payable within one year. |
Components Of Interest Expense, Net | The components of interest expense, net are as follows: Fiscal year 2021 2020 2019 Interest on long-term debt and short-term borrowings $258 $199 $151 Less: Interest income (1) (3) (10) Capitalized interest (11) (15) (39) Interest expense, net $246 $181 $102 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary Of Carrying Value And Fair Value Estimate Of Long-Term Debt, Including Current Maturities | The following table summarizes the carrying value and fair value estimate of our long-term debt, including current maturities: January 29, 2022 January 30, 2021 Carrying value of long-term debt $2,853 $3,269 Fair value of long-term debt 2,758 3,430 |
Self-Insurance (Tables)
Self-Insurance (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Self Insurance [Abstract] | |
Summary Of Self-Insurance Reserves | Our self-insurance reserves are summarized as follows: January 29, 2022 January 30, 2021 Workers’ compensation $77 $74 Employee health and welfare 28 25 Other liability 20 15 Total self-insurance reserve $125 $114 |
SERP (Tables)
SERP (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | |
Benefit Obligations And Funded Status | Our benefit obligation and funded status is as follows: January 29, 2022 January 30, 2021 Change in benefit obligation: Benefit obligation at beginning of year $229 $224 Participant service cost 2 2 Interest cost 5 6 Benefits paid (10) (10) Act uarial (gain) loss (14) 7 Benefit obligation at end of year 212 229 Change in plan assets: Fair value of plan assets at beginning of year — — Employer contribution 10 10 Benefits paid (10) (10) Fair value of plan assets at end of year — — Underfunded status at end of year ($212) ($229) |
Amounts Recognized As Liabilities In The Consolidated Balance Sheets | Amounts recognized as liabilities in the Consolidated Balance Sheets consist of the following: January 29, 2022 January 30, 2021 Accrued salaries, wages and related benefits $11 $11 Other liabilities (noncurrent) 201 218 Net amount recognized $212 $229 |
Components Of SERP Expense Recognized In The Consolidated Statements Of Earnings | The components of SERP expense recognized in SG&A expense on the Consolidated Statements of Earnings are as follows: Fiscal year 2021 2020 2019 Participant service cost $2 $2 $2 Interest cost 5 6 7 Amortization of net loss and other 8 9 1 Total SERP expense $15 $17 $10 |
Amounts Recognized In Accumulated Other Comprehensive Loss (Pre-Tax) | Accumulated Other Comprehensive Loss Amounts recognized in accumulated other comprehensive loss (pre-tax) consist of the following: 2021 2020 2019 Actuarial (gain) loss (14) 7 34 Amortization of net loss and other (8) (9) (1) Total recognized in accumulated other comprehensive loss ($22) ($2) $33 |
Weighted-Average Assumptions Used To Determine Benefit Obligations And SERP Expense | Weighted-average assumptions used to determine our benefit obligation and SERP expense are as follows: Fiscal year 2021 2020 2019 Assumptions used to determine benefit obligation: Discount rate 3.19 % 2.62 % 2.97 % Rate of compensation increase 2.50 % 2.50 % 2.50 % Assumptions used to determine SERP expense: Discount rate 2.62 % 2.97 % 4.27 % Rate of compensation increase 2.50 % 2.50 % 2.50 % |
Expected Future Benefit Payments Including Benefits Attributable To Estimated Future Employee Service | As of January 29, 2022, the expected future benefit payments based upon the assumptions described above and including benefits attributable to estimated future employee service are as follows: Fiscal year 2022 $11 2023 12 2024 12 2025 12 2026 12 2027 – 2031 61 Thereafter 92 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Summary Of Stock-Based Compensation Expense | The following table summarizes our stock-based compensation expense: Fiscal year 2021 2020 2019 RSUs $52 $53 $49 Stock options 22 12 11 Other 1 5 2 9 Total stock-based compensation expense, before income tax benefit 79 67 69 Income tax benefit (20) (26) (18) Total stock-based compensation expense, net of income tax benefit $59 $41 $51 1 Other stock-based compensation expense includes PSUs, ESPP and nonemployee director stock awards. |
Stock-Based Compensation Expense Before Income Tax Benefit | The stock-based compensation expense before income tax benefit was recorded in our Consolidated Statements of Earnings as follows: Fiscal year 2021 2020 2019 Cost of sales and related buying and occupancy costs $15 $16 $20 SG&A expenses 64 51 49 Total stock-based compensation expense, before income tax benefit $79 $67 $69 |
Summary Of Restricted Stock Unit Activity | A summary of restricted stock unit activity for 2021 is presented below: Fiscal year 2021 Shares Weighted-average grant date fair value per unit Outstanding, beginning of year 4.8 $37 Granted 1.8 31 Vested (1.4) 35 Forfeited or cancelled (0.6) 28 Outstanding, end of year 4.6 $36 |
Assumptions To Estimate The Fair Value For Stock Options At Grant Date | We used the following assumptions to estimate the fair value for stock options at each grant date: Fiscal year 2021 2020 1 2019 Assumptions Risk-free interest rate: Represents the yield on U.S. Treasury zero-coupon securities that mature over the 10-year life of the stock options. 0.11% – 1.51% 0.18% – 0.62% 2.5% – 2.7% Weighted-average volatility: Based on a combination of the historical volatility of our common stock and the implied volatility of exchange-traded options for our common stock. 52.2 % 60.1 % 34.6 % Weighted-average expected dividend yield: Our forecasted dividend yield for the next 10 years. 3.4 % 3.4 % 1.9 % Expected life in years: Represents the estimated period of time until option exercise. The expected term of options granted was derived from the output of the Binomial Lattice option valuation model and was based on our historical exercise behavior, taking into consideration the contractual term of the option and our employees’ expected exercise and post-vesting employment termination behavior. 8.3 7.7 6.8 Grant Date Information Date of grant March 4, 2021 June 1, 2020 March 5, 2019 Weighted-average fair value per option $13 $7 15 Exercise price per option $36 $17 45 1 Additional |
Summary Of Stock Option Activity | A summary of stock option activity for 2021 is presented below: Fiscal year 2021 Shares Weighted- average exercise price Weighted-average remaining contractual life (years) Aggregate intrinsic value Outstanding, beginning of year 11.0 $40 Granted 1.2 36 Exercised — 37 Forfeited or cancelled (1.8) 42 Outstanding, end of year 10.4 $39 5 $183 Vested, end of year 5.2 $54 3 $170 Vested or expected to vest, end of year 10.2 $40 5 $180 Fiscal year 2021 2020 2019 Aggregate intrinsic value of options exercised $— $1 $5 Fair value of stock options vested $2 $8 $17 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Stockholders' Equity Note [Abstract] | |
Summary Of Share Repurchase Program Activity | The following is a summary of the activity related to our share repurchase programs in 2021, 2020 and 2019: Shares Average price per share Amount Capacity at February 2, 2019 $893 Shares repurchased 4.1 $45 (186) Capacity at February 1, 2020 707 Shares repurchased — $— — Capacity at January 30, 2021 707 Shares repurchased — $— — Capacity at January 29, 2022 $707 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Income Tax Disclosure [Abstract] | |
U.S. And Foreign Components Of Earnings Before Income Taxes | U.S. and foreign components of earnings before income taxes were as follows: Fiscal year 2021 2020 2019 U.S. $241 ($1,210) $654 Foreign 5 (18) 28 Earnings (loss) before income taxes $246 ($1,228) $682 |
Components Of Income Tax Expense | Income tax expense (benefit) consists of the following: Fiscal year 2021 2020 2019 Current income taxes: Federal $61 ($501) $90 State and local 18 (34) 44 Foreign — 4 — Total current income tax expense (benefit) 79 (531) 134 Deferred income taxes: Federal (10) 47 43 State and local (5) (57) 3 Foreign 4 3 6 Total deferred income tax (benefit) expense (11) (7) 52 Total income tax expense (benefit) $68 ($538) $186 |
Reconciliation Of Statutory To Effective Tax Rate | A reconciliation of the statutory federal income tax rate to the effective tax rate on earnings (loss) before income taxes is as follows: Fiscal year 2021 2020 2019 Statutory rate 21.0 % 21.0 % 21.0 % CARES Act impact (0.9 %) 17.6 % — State and local income taxes, net of federal income taxes 3.4 % 6.1 % 5.4 % Federal credits (4.0 %) 0.5 % (0.9 %) Non-deductible expenses 1 2.7 % (0.3 %) 0.9 % Stock-based compensation 1 2.0 % (1.0 %) 0.8 % Valuation allowance 1 1.8 % (0.8 %) (0.1 %) Taxes on foreign operations 1 1.3 % 0.4 % 1.0 % Other, net 1 0.2 % 0.3 % (0.8 %) Effective tax rate 27.5 % 43.8 % 27.3 % 1 We reclassified immaterial prior year amounts that were included in the other, net category to conform with current period presentation. |
Components Of Deferred Tax Assets And Liabilities | The components of deferred tax assets and liabilities are as follows: January 29, 2022 January 30, 2021 Deferred tax assets: Lease liabilities $471 $505 Compensation and benefits accruals 133 139 Allowance for sales returns 59 43 Accrued expenses 27 28 Merchandise inventories 35 22 Gift cards 25 10 The Nordy Club loyalty program 5 19 Net operating losses 81 72 Other 9 23 Total deferred tax assets 845 861 Valuation allowance (28) (24) Total deferred tax assets, net of valuation allowance 817 837 Deferred tax liabilities: ROU assets (326) (337) Land, property and equipment (327) (341) Debt exchange premium (12) (12) Total deferred tax liabilities (665) (690) Net deferred tax assets $152 $147 |
Information On Approximate Net Operating Loss Carryforwards | The following sets forth information on approximate net operating loss carryforwards for income tax purposes: January 29, 2022 January 30, 2021 State $1,114 $1,036 Foreign 50 54 |
Reconciliation Of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: Fiscal year 2021 2020 2019 Unrecognized tax benefit at beginning of year $32 $22 $30 Gross increase to tax positions in prior periods 11 4 — Gross increase to tax positions in current period 6 6 3 Lapses in statute — — (1) Settlements (2) — (10) Unrecognized tax benefit at end of year $47 $32 $22 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Earnings Per Share [Abstract] | |
Computation Of Earnings Per Share | The computation of earnings per share is as follows: Fiscal year 2021 2020 2019 Net earnings (loss) $178 ($690) $496 Basic shares 159.0 157.2 155.2 Dilutive effect of common stock equivalents 3.5 — 0.9 Diluted shares 162.5 157.2 156.1 Earnings (loss) per basic share $1.12 ($4.39) $3.20 Earnings (loss) per diluted share $1.10 ($4.39) $3.18 Anti-dilutive common stock equivalents 8.1 13.5 10.0 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Jan. 29, 2022 | |
Segment Reporting [Abstract] | |
Information By Reportable Segment | The following table sets forth information for our reportable segment: Retail Corporate/Other Total Fiscal year 2021 Net sales $14,402 $— $14,402 Credit card revenues, net — 387 387 Earnings (loss) before interest and income taxes 687 (195) 492 Capital expenditures (218) (288) (506) Depreciation and amortization (350) (265) (615) Assets 6,244 2,625 8,869 Fiscal year 2020 Net sales $10,357 $— $10,357 Credit card revenues, net — 358 358 Loss before interest and income taxes (924) (123) (1,047) Capital expenditures (175) (210) (385) Depreciation and amortization (404) (267) (671) Assets 6,100 3,438 9,538 Fiscal year 2019 Net sales $15,132 $— $15,132 Credit card revenues, net — 392 392 Earnings (loss) before interest and income taxes 1,028 (244) 784 Capital expenditures (726) (209) (935) Depreciation and amortization (428) (233) (661) Assets 6,831 2,906 9,737 |
Nature Of Operations And Summ_4
Nature Of Operations And Summary Of Significant Accounting Policies (Vendor Allowances) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Nature Of Retail Operations [Line Items] | |||
Total vendor allowances | $ 324 | $ 240 | $ 418 |
Purchase price adjustments [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Total vendor allowances | 108 | 77 | 171 |
Beauty expenses [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Total vendor allowances | 103 | 79 | 140 |
Advertising [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Total vendor allowances | 110 | 82 | 101 |
Other [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Total vendor allowances | $ 3 | $ 2 | $ 6 |
Nature Of Operations And Summ_5
Nature Of Operations And Summary Of Significant Accounting Policies (Estimated Useful Life of Land, Property And Equipment By Asset Category) (Details) | 12 Months Ended |
Jan. 29, 2022 | |
Buildings and improvements [Member] | Minimum [Member] | |
Land, Property and Equipment [Line Items] | |
Estimated useful life (in years) | 5 years |
Buildings and improvements [Member] | Maximum [Member] | |
Land, Property and Equipment [Line Items] | |
Estimated useful life (in years) | 40 years |
Store fixtures and equipment [Member] | Minimum [Member] | |
Land, Property and Equipment [Line Items] | |
Estimated useful life (in years) | 3 years |
Store fixtures and equipment [Member] | Maximum [Member] | |
Land, Property and Equipment [Line Items] | |
Estimated useful life (in years) | 15 years |
Leasehold improvements [Member] | Minimum [Member] | |
Land, Property and Equipment [Line Items] | |
Estimated useful life (in years) | 5 years |
Leasehold improvements [Member] | Maximum [Member] | |
Land, Property and Equipment [Line Items] | |
Estimated useful life (in years) | 40 years |
Capitalized software [Member] | Minimum [Member] | |
Land, Property and Equipment [Line Items] | |
Estimated useful life (in years) | 2 years |
Capitalized software [Member] | Maximum [Member] | |
Land, Property and Equipment [Line Items] | |
Estimated useful life (in years) | 7 years |
Nature Of Operations And Summ_6
Nature Of Operations And Summary Of Significant Accounting Policies (COVID-19 Related Asset Impairment Charges) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | ||
Land, Property and Equipment [Line Items] | |||
Long-lived asset impairment | [1] | $ 96 | |
Operating lease ROU asset impairment | [1] | 41 | |
Total asset impairment | $ 0 | 137 | |
Applicable long-lived assets [Member] | |||
Land, Property and Equipment [Line Items] | |||
Carrying value of applicable assets after impairment | 13 | ||
Applicable operating lease ROU assets [Member] | |||
Land, Property and Equipment [Line Items] | |||
Carrying value of applicable assets after impairment | $ 3 | ||
[1] | As of January 30, 2021, the carrying value of the applicable long-lived and operating lease ROU assets after impairment was $13 and $3. |
Nature Of Operations And Summ_7
Nature Of Operations And Summary Of Significant Accounting Policies (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022USD ($)storestateprovince | Jan. 30, 2021USD ($) | Feb. 01, 2020USD ($) | |
Nature Of Retail Operations [Line Items] | |||
Number of states in which company operates | state | 40 | ||
Number of provinces in which the company operates | province | 3 | ||
Sales return allowance | $ 411 | $ 299 | |
Estimated returns asset | 186 | 134 | |
Contract liabilities | 478 | 478 | $ 576 |
Gift card breakage income | 39 | 81 | 17 |
Restructuring costs | 88 | ||
Advertising expense, net of vendor allowances | 300 | 283 | 299 |
Selling, general and administrative expenses | 4,953 | 4,162 | 4,808 |
Employee retention payroll tax credits | 7 | 69 | |
Checks not yet presented for payment drawn in excess of bank deposit balances | 74 | 106 | |
Amortization expense of intangible assets | 7 | ||
Impairment of intangible assets | 11 | ||
No future amortization expense will be recorded | 0 | ||
Goodwill | 249 | 249 | |
Goodwill impairment | 0 | 0 | 0 |
Cost of sales and related buying and occupancy costs [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Restructuring costs | 25 | ||
SG&A expenses [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Restructuring costs | 63 | ||
Shipping and handling [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Selling, general and administrative expenses | 993 | 828 | $ 627 |
Nordstrom Rewards [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Contract liabilities | 112 | 137 | |
Gift Cards [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Contract liabilities | $ 366 | $ 341 | |
Loyalty Program, Nordstrom Notes [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Breakage rate | 8.00% | ||
Average period between issuance and redemption | 10 months | ||
Loyalty Program, Points [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Breakage rate | 8.00% | ||
Gift Cards [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Breakage rate | 3.00% | ||
Average period between issuance and redemption | 2 years | ||
Nordstrom - U.S. [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Number of retail channels | store | 94 | ||
Nordstrom - U.S. [Member] | Facility Closing | |||
Nature Of Retail Operations [Line Items] | |||
Number of retail channels | store | 16 | ||
Nordstrom Canada [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Number of retail channels | store | 6 | ||
Canadian Nordstrom Rack [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Number of retail channels | store | 7 | ||
Nordstrom Local [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Number of retail channels | store | 7 | ||
Nordstrom Rack [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Number of retail channels | store | 240 | ||
Last Chance [Member] | |||
Nature Of Retail Operations [Line Items] | |||
Number of retail channels | store | 2 | ||
Trunk Club [Member] | Facility Closing | |||
Nature Of Retail Operations [Line Items] | |||
Number of retail channels | store | 6 | ||
Jeffrey Boutiques | Facility Closing | |||
Nature Of Retail Operations [Line Items] | |||
Number of retail channels | store | 3 |
Revenue (Summary Of Contract Li
Revenue (Summary Of Contract Liabilities) (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 |
Revenue from Contract with Customer [Abstract] | |||
Contract liabilities | $ 478 | $ 478 | $ 576 |
Revenue (Disaggregated Net Sale
Revenue (Disaggregated Net Sales) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Disaggregation of Revenue [Line Items] | |||
Total net sales | $ 14,402 | $ 10,357 | $ 15,132 |
% of net sales | 100.00% | 100.00% | 100.00% |
Digital Sales [Member] | |||
Disaggregation of Revenue [Line Items] | |||
% of net sales | 42.00% | 55.00% | 33.00% |
Nordstrom | |||
Disaggregation of Revenue [Line Items] | |||
Total net sales | $ 9,640 | $ 6,997 | $ 9,943 |
Nordstrom Rack | |||
Disaggregation of Revenue [Line Items] | |||
Total net sales | $ 4,762 | $ 3,360 | $ 5,189 |
Revenue (Percent Of Net Sales B
Revenue (Percent Of Net Sales By Merchandise Category Summary) (Details) | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Disaggregation of Revenue [Line Items] | |||
% of net sales | 100.00% | 100.00% | 100.00% |
Women's Apparel [Member] | |||
Disaggregation of Revenue [Line Items] | |||
% of net sales | 28.00% | 29.00% | 31.00% |
Shoes [Member] | |||
Disaggregation of Revenue [Line Items] | |||
% of net sales | 25.00% | 26.00% | 24.00% |
Women's Accessories [Member] | |||
Disaggregation of Revenue [Line Items] | |||
% of net sales | 14.00% | 14.00% | 11.00% |
Men's Apparel [Member] | |||
Disaggregation of Revenue [Line Items] | |||
% of net sales | 14.00% | 12.00% | 16.00% |
Beauty [Member] | |||
Disaggregation of Revenue [Line Items] | |||
% of net sales | 12.00% | 12.00% | 11.00% |
Kids' Apparel [Member] | |||
Disaggregation of Revenue [Line Items] | |||
% of net sales | 4.00% | 4.00% | 4.00% |
Other [Member] | |||
Disaggregation of Revenue [Line Items] | |||
% of net sales | 3.00% | 3.00% | 3.00% |
Revenue (Narrative) (Details)
Revenue (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 29, 2022 | Jan. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | ||
Revenue recognized from beginning contract liability balance | $ 244 | $ 261 |
Land, Property And Equipment (S
Land, Property And Equipment (Schedule Of Land, Property And Equipment) (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Land, Property and Equipment [Line Items] | ||
Land, property and equipment | $ 11,299 | $ 10,891 |
Less: accumulated depreciation and amortization | (7,737) | (7,159) |
Land, property and equipment, net | 3,562 | 3,732 |
Land and land improvements [Member] | ||
Land, Property and Equipment [Line Items] | ||
Land, property and equipment | 285 | 285 |
Buildings and building improvements [Member] | ||
Land, Property and Equipment [Line Items] | ||
Land, property and equipment | 1,338 | 1,446 |
Leasehold improvements [Member] | ||
Land, Property and Equipment [Line Items] | ||
Land, property and equipment | 3,350 | 3,212 |
Store fixtures and equipment [Member] | ||
Land, Property and Equipment [Line Items] | ||
Land, property and equipment | 4,038 | 3,993 |
Capitalized software [Member] | ||
Land, Property and Equipment [Line Items] | ||
Land, property and equipment | 1,915 | 1,724 |
Construction in progress [Member] | ||
Land, Property and Equipment [Line Items] | ||
Land, property and equipment | $ 373 | $ 231 |
Land, Property And Equipment (N
Land, Property And Equipment (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 30, 2021 | Feb. 01, 2020 | |
Property, Plant and Equipment [Abstract] | ||
Non-cash investing activities for accruals for capital expenditures | $ (48) | $ 60 |
Leases (Components Of Lease Cos
Leases (Components Of Lease Cost) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | ||
Leases [Abstract] | |||
Operating Lease Cost | $ 265 | $ 263 | |
Variable lease cost | [1] | 100 | 100 |
Sublease income | (20) | (19) | |
Total lease cost, net | $ 345 | $ 344 | |
[1] | Variable lease cost includes short-term lease cost, which was immaterial in 2021 and 2020. |
Leases (Future Lease Payments)
Leases (Future Lease Payments) (Details) $ in Millions | Jan. 29, 2022USD ($) | |
Leases [Abstract] | ||
2022 | $ 320 | |
2023 | 339 | |
2024 | 294 | |
2025 | 246 | |
2026 | 201 | |
Thereafter | 841 | |
Total lease payments | 2,241 | [1] |
Less: amount representing interest | (443) | |
Present value of net lease payments | 1,798 | [2] |
Lease payments for operating leases that have not yet commenced | $ 46 | |
[1] | Total lease payments do not include payments for variable lease costs that are required by most of our lease agreements and are based on a percentage of sales. | |
[2] | Total lease payments exclude $46 of lease payments for operating leases that were signed but not yet commenced as of January 29, 2022. |
Leases (Supplemental Lease Info
Leases (Supplemental Lease Information) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 29, 2022 | Jan. 30, 2021 | |
Leases [Abstract] | ||
Cash paid related to operating lease liabilities | $ 371 | $ 332 |
Operating lease interest | 87 | 95 |
Operating lease liabilities arising from lease agreements | $ 137 | $ 79 |
Weighted-average remaining lease term | 9 years | 9 years |
Weighted-average discount rate | 4.70% | 4.70% |
Leases (Narrative) (Details)
Leases (Narrative) (Details) | Jan. 29, 2022 |
Nordstrom [Member] | Minimum [Member] | |
Leases [Line Items] | |
Lease terms | 15 years |
Nordstrom [Member] | Maximum [Member] | |
Leases [Line Items] | |
Lease terms | 30 years |
Nordstrom Rack [Member] | |
Leases [Line Items] | |
Lease terms | 10 years |
Other facilities [Member] | Minimum [Member] | |
Leases [Line Items] | |
Lease terms | 5 years |
Other facilities [Member] | Maximum [Member] | |
Leases [Line Items] | |
Lease terms | 20 years |
Debt And Credit Facilities (Sum
Debt And Credit Facilities (Summary Of Long-Term Debt) (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 | |
Debt Instrument [Line Items] | |||
Long-term debt, net of unamortized discount | $ 2,853 | $ 3,269 | |
Deferred bond issuance costs | (21) | (27) | |
Less: current portion | 0 | (500) | |
Total due beyond one year | 2,853 | 2,769 | |
Senior notes, 4.00%, due October 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt, net of unamortized discount | $ 0 | $ 500 | |
Debt instrument interest rate | 4.00% | 4.00% | |
Senior notes, 2.30%, due April 2024 | |||
Debt Instrument [Line Items] | |||
Long-term debt, net of unamortized discount | $ 250 | $ 0 | |
Debt instrument interest rate | 2.30% | 2.30% | |
Secured Notes, 8.75%, due May 2025 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt, net of unamortized discount | $ 0 | $ 600 | |
Debt instrument interest rate | 8.75% | 8.75% | |
Senior notes, 4.00%, due March 2027 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt, net of unamortized discount | $ 349 | $ 349 | |
Debt instrument interest rate | 4.00% | 4.00% | |
Senior debentures, 6.95%, due March 2028 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt, net of unamortized discount | $ 300 | $ 300 | |
Debt instrument interest rate | 6.95% | 6.95% | |
Senior notes, 4.375%, due April 2030 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt, net of unamortized discount | $ 500 | $ 500 | |
Debt instrument interest rate | 4.375% | 4.375% | |
Senior notes, 4.25%, due August 2031 | |||
Debt Instrument [Line Items] | |||
Long-term debt, net of unamortized discount | $ 425 | $ 0 | |
Debt instrument interest rate | 4.25% | 4.25% | |
Senior notes, 7.00%, due January 2038 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt, net of unamortized discount | $ 147 | $ 147 | |
Debt instrument interest rate | 7.00% | 7.00% | |
Senior notes, 5.00%, due January 2044 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt, net of unamortized discount | [1] | $ 903 | $ 900 |
Debt instrument interest rate | 5.00% | 5.00% | |
Debt Instrument, Unamortized Discount | $ 63 | $ 66 | |
[1] | The unamortized discount on these notes was $63 and $66 as of January 29, 2022 and January 30, 2021. |
Debt And Credit Facilities (Sch
Debt And Credit Facilities (Schedule Of Required Principal Payments On Long-Term Debt) (Details) $ in Millions | 12 Months Ended | |
Jan. 29, 2022USD ($) | ||
Debt Instrument [Line Items] | ||
2022 | $ 0 | [1] |
2023 | 0 | [1] |
2024 | 250 | [1] |
2025 | 0 | [1] |
2026 | 0 | [1] |
Thereafter | $ 2,689 | [1] |
Estimated future payments, term | 1 year | |
Interest Expense [Member] | ||
Debt Instrument [Line Items] | ||
Estimated future payments, term | 1 year | |
Estimated future interest payments [Member] | ||
Debt Instrument [Line Items] | ||
Estimated future interest payments | $ 1,799 | |
Estimated future interest payments [Member] | Future interest payments due in twelve months | ||
Debt Instrument [Line Items] | ||
Estimated future interest payments | $ 144 | |
[1] | Required principal payments exclude estimated future interest payments of $1,799 as of January 29, 2022, with $144 payable within one year. |
Debt And Credit Facilities (Com
Debt And Credit Facilities (Components Of Interest Expense, Net) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Debt Disclosure [Abstract] | |||
Interest on long-term debt and short-term borrowings | $ 258 | $ 199 | $ 151 |
Less: | |||
Interest income | (1) | (3) | (10) |
Capitalized interest | (11) | (15) | (39) |
Interest expense, net | $ 246 | $ 181 | $ 102 |
Debt And Credit Facilities (Nar
Debt And Credit Facilities (Narrative) (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||
May 01, 2021USD ($) | Jan. 29, 2022USD ($) | Jan. 30, 2021USD ($) | Feb. 01, 2020USD ($) | Oct. 30, 2021USD ($) | |
Debt Instrument [Line Items] | |||||
Aggregate principal issued | $ 2,853 | $ 3,269 | |||
Interest expense, net | $ 246 | 181 | $ 102 | ||
Minimum leverage ratio for debt covenant amendment to pay dividends or repurchase shares | 3.75 | ||||
Minimum liquidity for debt covenant amendment to pay dividends or repurchase shares | 600 | ||||
Commercial Paper [Member] | |||||
Debt Instrument [Line Items] | |||||
Outstanding borrowings or issuances | $ 0 | 0 | |||
Borrowing capacity of commercial paper program | 800 | ||||
Senior notes, 2.30%, due April 2024 | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal issued | $ 250 | $ 0 | |||
Debt instrument interest rate | 2.30% | 2.30% | |||
Senior notes, 4.25%, due August 2031 | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal issued | $ 425 | $ 0 | |||
Debt instrument interest rate | 4.25% | 4.25% | |||
2021 Refinancing | |||||
Debt Instrument [Line Items] | |||||
Interest expense, net | $ 88 | ||||
One time "make-whole" premium | 78 | ||||
Senior notes, 4.00%, due October 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal issued | $ 0 | $ 500 | |||
Debt instrument interest rate | 4.00% | 4.00% | |||
Unsecured revolving credit facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt covenant leverage ratio | 4 | ||||
Outstanding borrowings or issuances | $ 200 | $ 0 | $ 0 | $ 200 | |
Option to increase the maximum capacity of revolving credit facility | 200 | ||||
Maximum borrowing capacity of revolving credit facility | $ 1,000 | ||||
Number of options to extend revolver | 2 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary Of Carrying Value And Fair Value Estimate Of Long-Term Debt, Including Current Maturities) (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Fair Value Measurements, Long-term Debt [Line Items] | ||
Carrying value of long-term debt | $ 2,853 | $ 3,269 |
Level 2 [Member] | ||
Fair Value Measurements, Long-term Debt [Line Items] | ||
Fair value of long-term debt | $ 2,758 | $ 3,430 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 29, 2022 | Jan. 30, 2021 | |
Fair Value Disclosures [Abstract] | ||
Total asset impairment | $ 0 | $ 137 |
Self-Insurance (Summary Of Self
Self-Insurance (Summary Of Self-Insurance Reserves) (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Self-insurance reserve [Line Items] | ||
Total self-insurance reserve | $ 125 | $ 114 |
Workers' compensation [Member] | ||
Self-insurance reserve [Line Items] | ||
Total self-insurance reserve | 77 | 74 |
Employee health and welfare [Member] | ||
Self-insurance reserve [Line Items] | ||
Total self-insurance reserve | 28 | 25 |
Other liability [Member] | ||
Self-insurance reserve [Line Items] | ||
Total self-insurance reserve | $ 20 | $ 15 |
Self-Insurance (Narrative) (Det
Self-Insurance (Narrative) (Details) $ in Millions | 12 Months Ended |
Jan. 29, 2022USD ($) | |
Self-insurance reserve [Line Items] | |
Estimated future payments, term | 1 year |
Standby Letters of Credit | |
Self-insurance reserve [Line Items] | |
Standby letters of credit issued on our behalf available | $ 13 |
Standby letters of credit issued on our behalf outstanding | 2 |
Workers' compensation [Member] | |
Self-insurance reserve [Line Items] | |
Self-insurance policy retention per claim | 1 |
Workers' compensation policy limit | $ 0 |
Percent of future payment obligation due | 25.00% |
Estimated future payments, term | 1 year |
Other liability [Member] | |
Self-insurance reserve [Line Items] | |
Self-insurance policy retention per claim | $ 3 |
Percent of future payment obligation due | 75.00% |
Estimated future payments, term | 1 year |
Self-insurance policy limit | $ 101 |
SERP (Benefit Obligations And F
SERP (Benefit Obligations And Funded Status) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Postretirement Benefits Disclosure [Line Items] | |||
Actuarial (gain) loss | $ (14) | $ 7 | $ 34 |
Underfunded status at end of year | (212) | (229) | |
Change In Benefit Obligation [Member] | |||
Postretirement Benefits Disclosure [Line Items] | |||
Benefit obligation at beginning of year | 229 | 224 | |
Participant service cost | 2 | 2 | |
Interest cost | 5 | 6 | |
Benefits paid | (10) | (10) | |
Actuarial (gain) loss | (14) | 7 | |
Benefit obligation at end of year | 212 | 229 | 224 |
Change In Plan Assets [Member] | |||
Postretirement Benefits Disclosure [Line Items] | |||
Fair value of plan assets at beginning of year | 0 | 0 | |
Employer contribution | 10 | 10 | |
Benefits paid | (10) | (10) | |
Fair value of plan assets at end of year | $ 0 | $ 0 | $ 0 |
SERP (Amounts Recognized As Lia
SERP (Amounts Recognized As Liabilities In The Consolidated Balance Sheets) (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | ||
Accrued salaries, wages and related benefits | $ 11 | $ 11 |
Other liabilities (noncurrent) | 201 | 218 |
Net amount recognized | $ 212 | $ 229 |
SERP (Components Of SERP Expens
SERP (Components Of SERP Expense Recognized In The Consolidated Statements Of Earnings) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Postretirement Benefits Disclosure [Line Items] | |||
Amortization of net loss and other | $ (8) | $ (9) | $ (1) |
Components of SERP expense [Member] | |||
Postretirement Benefits Disclosure [Line Items] | |||
Participant service cost | 2 | 2 | 2 |
Interest cost | 5 | 6 | 7 |
Amortization of net loss and other | 8 | 9 | 1 |
Total SERP expense | $ 15 | $ 17 | $ 10 |
SERP (Amounts Recognized In Acc
SERP (Amounts Recognized In Accumulated Other Comprehensive Loss (Pre-tax)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | |||
Actuarial (gain) loss | $ (14) | $ 7 | $ 34 |
Amortization of net loss and other | (8) | (9) | (1) |
Total recognized in accumulated other comprehensive loss | $ (22) | $ (2) | $ 33 |
SERP (Weighted-Average Assumpti
SERP (Weighted-Average Assumptions Used To Determine Benefit Obligations And SERP Expense) (Details) | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Assumptions used to determine benefit obligation: | |||
Discount rate | 3.19% | 2.62% | 2.97% |
Rate of compensation increase | 2.50% | 2.50% | 2.50% |
Assumptions used to determine SERP expense: | |||
Discount rate | 2.62% | 2.97% | 4.27% |
Rate of compensation increase | 2.50% | 2.50% | 2.50% |
SERP (Expected Future Benefit P
SERP (Expected Future Benefit Payments Including Benefits Attributable To Estimated Future Employee Service) (Details) $ in Millions | Jan. 29, 2022USD ($) |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | |
2022 | $ 11 |
2023 | 12 |
2024 | 12 |
2025 | 12 |
2026 | 12 |
2027 – 2031 | 61 |
Thereafter | $ 92 |
SERP (Narrative) (Details)
SERP (Narrative) (Details) $ in Millions | Jan. 29, 2022USD ($)participantretireeofficerbeneficiary | Jan. 30, 2021USD ($) |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | ||
Number of total participants in SERP benefits plan | participant | 57 | |
Number of officers and select employees eligible for SERP benefits | officer | 8 | |
Number of retirees eligible for SERP benefits | retiree | 46 | |
Number of beneficiaries eligible for SERP benefits | beneficiary | 3 | |
Accumulated benefit obligation | $ | $ 211 | $ 227 |
401(k) Plan (Narrative) (Detail
401(k) Plan (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Four Zero One K Plan [Abstract] | |||
Expense related to Company 401(k) plan contributions | $ 67 | $ 0 | $ 85 |
Stock-Based Compensation (Summa
Stock-Based Compensation (Summary Of Stock-Based Compensation Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense, before income tax benefit | $ 79 | $ 67 | $ 69 | |
Income tax benefit | (20) | (26) | (18) | |
Total stock-based compensation expense, net of income tax benefit | 59 | 41 | 51 | |
Restricted stock units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense, before income tax benefit | 52 | 53 | 49 | |
Stock options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense, before income tax benefit | 22 | 12 | 11 | |
Other [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense, before income tax benefit | [1] | $ 5 | $ 2 | $ 9 |
[1] | Other stock-based compensation expense includes PSUs, ESPP and nonemployee director stock awards. |
Stock-Based Compensation (Stock
Stock-Based Compensation (Stock-Based Compensation Expense Before Income Tax Benefit) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense, before income tax benefit | $ 79 | $ 67 | $ 69 |
Cost of sales and related buying and occupancy costs [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense, before income tax benefit | 15 | 16 | 20 |
SG&A expenses [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense, before income tax benefit | $ 64 | $ 51 | $ 49 |
Stock-Based Compensation (Sum_2
Stock-Based Compensation (Summary Of Restricted Stock Unit Activity) (Details) - Restricted stock units [Member] shares in Millions | 12 Months Ended |
Jan. 29, 2022$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Outstanding, beginning of year (in shares or units) | shares | 4.8 |
Outstanding, beginning of year (in dollars per share) | $ / shares | $ 37 |
Granted (in shares or units) | shares | 1.8 |
Granted (in dollars per share) | $ / shares | $ 31 |
Vested (in shares or units) | shares | (1.4) |
Vested (in dollars per share) | $ / shares | $ 35 |
Forfeited or cancelled (in shares or units) | shares | (0.6) |
Forfeited or cancelled (in dollars per share) | $ / shares | $ 28 |
Outstanding, end of year (in shares or units) | shares | 4.6 |
Outstanding, end of year (in dollars per share) | $ / shares | $ 36 |
Stock-Based Compensation (Assum
Stock-Based Compensation (Assumptions To Estimate The Fair Value For Stock Options At Grant Date) (Details) - $ / shares | Mar. 04, 2021 | Aug. 27, 2020 | Jun. 01, 2020 | Mar. 05, 2019 | Jan. 29, 2022 | Jan. 30, 2021 | [1] | Feb. 01, 2020 | |
Assumptions | |||||||||
Weighted-average volatility | 52.20% | 60.10% | 34.60% | ||||||
Weighted-average expected dividend yield | 3.40% | 3.40% | 1.90% | ||||||
Expected life in years | 8 years 3 months 18 days | 7 years 8 months 12 days | 6 years 9 months 18 days | ||||||
Grant Date Information | |||||||||
Weighted-average fair value per option | $ 13 | $ 7 | $ 15 | ||||||
Exercise price per option | $ 36 | $ 17 | $ 45 | ||||||
Additional Option Grant | |||||||||
Grant Date Information | |||||||||
Exercise price per option | [1] | $ 15 | |||||||
Minimum [Member] | |||||||||
Assumptions | |||||||||
Risk-free interest rate | 0.11% | 0.18% | 2.50% | ||||||
Maximum [Member] | |||||||||
Assumptions | |||||||||
Risk-free interest rate | 1.51% | 0.62% | 2.70% | ||||||
[1] | Additional |
Stock-Based Compensation (Sum_3
Stock-Based Compensation (Summary Of Stock Option Activity) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | Mar. 04, 2021 | Jun. 01, 2020 | Mar. 05, 2019 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Exercise price at time of grant (in dollars per share) | $ 36 | $ 17 | $ 45 | |||
Stock options [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Outstanding, beginning of year (in shares) | 11 | |||||
Outstanding, beginning of year (in dollars per share) | $ 40 | |||||
Granted (in shares) | 1.2 | |||||
Exercise price at time of grant (in dollars per share) | $ 36 | |||||
Exercised (in shares) | 0 | |||||
Exercised (in dollars per share) | $ 37 | |||||
Forfeited or cancelled (in shares) | (1.8) | |||||
Forfeited or cancelled (in dollars per share) | $ 42 | |||||
Outstanding, end of year (in shares) | 10.4 | 11 | ||||
Outstanding, end of year (in dollars per share) | $ 39 | $ 40 | ||||
Outstanding, end of year, weighted-average remaining contractual life (years) | 5 years | |||||
Outstanding, end of year, aggregate intrinsic value | $ 183 | |||||
Vested, end of year (in shares) | 5.2 | |||||
Vested, end of year (in dollars per share) | $ 54 | |||||
Vested, end of year, weighted-average remaining contractual life (years) | 3 years | |||||
Vested, end of year, aggregate intrinsic value | $ 170 | |||||
Vested or expected to vest, end of year (in shares) | 10.2 | |||||
Vested or expected to vest, end of year (in dollars per share) | $ 40 | |||||
Vested or expected to vest, end of year, weighted-average remaining contractual life (years) | 5 years | |||||
Vested or expected to vest, end of year, aggregate intrinsic value | $ 180 | |||||
Aggregate intrinsic value of options exercised | 0 | $ 1 | $ 5 | |||
Fair value of stock options vested | $ 2 | $ 8 | $ 17 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares of common stock issued under deferred and stock-based compensation plan arrangement | 1.6 | 2.2 | 2.1 |
Common stock, shares authorized | 1,000 | 1,000 | |
Common stock, shares outstanding | 159.4 | 157.8 | |
Other current liabilities | $ 1,160 | $ 1,048 | |
Restricted stock units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period, in years | 4 years | ||
Total fair value of units vested | $ 50 | $ 44 | $ 65 |
Total unrecognized stock-based compensation expense related to nonvested share-based awards | $ 61 | ||
Weighted-average period that unrecognized stock-based compensation expense is expected to be recognized | 28 months | ||
Stock options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total unrecognized stock-based compensation expense related to nonvested share-based awards | $ 12 | ||
Weighted-average period that unrecognized stock-based compensation expense is expected to be recognized | 18 months | ||
Option expiration period, in years | 10 years | ||
Stock options [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period, in years | 4 years | ||
Stock options [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period, in years | 2 years | ||
Employee stock purchase plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum percentage of employee payroll deductions under ESPP | 15.00% | ||
ESPP offering period | 6 months | ||
Percentage of fair market value for purchase of shares of common stock in ESPP | 90.00% | ||
Shares authorized under Employee Stock Purchase Plan | 16.1 | ||
Shares available for issuance under Employee Stock Purchase Plan | 3.3 | ||
Shares issued under Employee Stock Purchase Plan | 0.5 | 1 | |
Other current liabilities | $ 6 | $ 5 | |
2019 Equity Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum aggregate number of shares to be issued | 24.5 | ||
Common stock, shares authorized | 24.5 | ||
Common stock, shares outstanding | 15 | ||
Shares available for grant under equity incentive plan | 17.4 |
Shareholders' Equity (Summary O
Shareholders' Equity (Summary Of Share Repurchase Program Activity) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Share Repurchase Program [Line Items] | |||
Capacity beginning balance | $ 707 | $ 707 | $ 893 |
Shares repurchased (in shares) | 0 | 0 | 4.1 |
Shares repurchased, average price per share (in dollars per share) | $ 0 | $ 0 | $ 45 |
Capacity ending balance | $ 707 | $ 707 | $ 707 |
Accumulated deficit [Member] | |||
Share Repurchase Program [Line Items] | |||
Shares repurchased (amount) | $ 0 | $ 0 | $ (186) |
Shareholders' Equity (Narrative
Shareholders' Equity (Narrative) (Details) - $ / shares | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Retained Earnings Adjustments [Line Items] | |||
Dividends (in dollars per share) | $ 0 | $ 0.37 | $ 1.48 |
Income Taxes (U.S. And Foreign
Income Taxes (U.S. And Foreign Components Of Earnings Before Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Income Tax Disclosure [Abstract] | |||
U.S. | $ 241 | $ (1,210) | $ 654 |
Foreign | 5 | (18) | 28 |
Earnings (loss) before income taxes | $ 246 | $ (1,228) | $ 682 |
Income Taxes (Components Of Inc
Income Taxes (Components Of Income Tax Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Current income taxes: | |||
Federal | $ 61 | $ (501) | $ 90 |
State and local | 18 | (34) | 44 |
Foreign | 0 | 4 | 0 |
Total current income tax expense (benefit) | 79 | (531) | 134 |
Deferred income taxes: | |||
Federal | (10) | 47 | 43 |
State and local | (5) | (57) | 3 |
Foreign | 4 | 3 | 6 |
Total deferred income tax (benefit) expense | (11) | (7) | 52 |
Total income tax expense (benefit) | $ 68 | $ (538) | $ 186 |
Income Taxes (Reconciliation Of
Income Taxes (Reconciliation Of Statutory To Effective Tax Rate) (Details) | 12 Months Ended | |||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | ||
Tax Credit Carryforward [Line Items] | ||||
Statutory rate | 21.00% | 21.00% | 21.00% | |
State and local income taxes, net of federal income taxes | 3.40% | 6.10% | 5.40% | |
Federal credits | (4.00%) | 0.50% | (0.90%) | |
Non-deductible expenses | [1] | 2.70% | (0.30%) | 0.90% |
Stock-based compensation | [1] | 2.00% | (1.00%) | 0.80% |
Valuation allowance | [1] | 1.80% | (0.80%) | (0.10%) |
Taxes on foreign operations | [1] | 1.30% | 0.40% | 1.00% |
Other, net | [1] | 0.20% | 0.30% | (0.80%) |
Effective tax rate | 27.50% | 43.80% | 27.30% | |
CARES Act | ||||
Tax Credit Carryforward [Line Items] | ||||
CARES Act impact | (0.90%) | 17.60% | 0.00% | |
[1] | We reclassified immaterial prior year amounts that were included in the other, net category to conform with current period presentation. |
Income Taxes (Components Of Def
Income Taxes (Components Of Deferred Tax Assets And Liabilities) (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
Deferred tax assets: | ||
Lease liabilities | $ 471 | $ 505 |
Compensation and benefits accruals | 133 | 139 |
Allowance for sales returns | 59 | 43 |
Accrued expenses | 27 | 28 |
Merchandise inventories | 35 | 22 |
Gift cards | 25 | 10 |
The Nordy Club loyalty program | 5 | 19 |
Net operating losses | 81 | 72 |
Other | 9 | 23 |
Total deferred tax assets | 845 | 861 |
Valuation allowance | (28) | (24) |
Total deferred tax assets, net of valuation allowance | 817 | 837 |
Deferred tax liabilities: | ||
ROU assets | (326) | (337) |
Land, property and equipment | (327) | (341) |
Debt exchange premium | (12) | (12) |
Total deferred tax liabilities | (665) | (690) |
Net deferred tax assets | $ 152 | $ 147 |
Income Taxes (Information On Ap
Income Taxes (Information On Approximate Net Operating Loss Carryforwards) (Details) - USD ($) $ in Millions | Jan. 29, 2022 | Jan. 30, 2021 |
State [Member] | ||
Income Tax Examination [Line Items] | ||
Approximate net operating loss carryforwards for income tax | $ 1,114 | $ 1,036 |
Foreign [Member] | ||
Income Tax Examination [Line Items] | ||
Approximate net operating loss carryforwards for income tax | $ 50 | $ 54 |
Income Taxes (Reconciliation _2
Income Taxes (Reconciliation Of Unrecognized Tax Benefits) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Income Tax Disclosure [Abstract] | |||
Unrecognized tax benefit at beginning of year | $ 32 | $ 22 | $ 30 |
Gross increase to tax positions in prior periods | 11 | 4 | 0 |
Gross increase to tax positions in current period | 6 | 6 | 3 |
Lapses in statute | 0 | 0 | (1) |
Settlements | (2) | 0 | (10) |
Unrecognized tax benefit at end of year | $ 47 | $ 32 | $ 22 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Tax Credit Carryforward [Line Items] | ||||
Valuation allowance | $ 28 | $ 24 | ||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | 4 | (17) | ||
Unrecognized tax benefits that would affect the effective tax rate | 39 | 30 | ||
Income Tax Examination, Penalties and Interest Expense | 0 | 0 | $ 0 | |
Liability for interest and penalties | 7 | 4 | ||
Unrecognized tax benefits related to federal, state and local tax positions | $ 0 | $ 0 | $ 1 | |
Estimated future interest payments [Member] | ||||
Tax Credit Carryforward [Line Items] | ||||
Unrecognized tax benefits related to federal, state and local tax positions | $ 39 |
Commitments And Contingencies (
Commitments And Contingencies (Narrative) (Details) $ in Millions | 12 Months Ended |
Jan. 29, 2022USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Purchase obligations, inventory purchase orders and capital expenditure contractual commitments | $ 2,576 |
Estimated future payments, term | 1 year |
Earnings Per Share (Computation
Earnings Per Share (Computation Of Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Earnings Per Share [Abstract] | |||
Net earnings (loss) | $ 178 | $ (690) | $ 496 |
Basic shares (in shares) | 159 | 157.2 | 155.2 |
Dilutive effect of common stock equivalents (in shares) | 3.5 | 0 | 0.9 |
Diluted shares (in shares) | 162.5 | 157.2 | 156.1 |
Earnings (loss) per basic share (in dollars per share) | $ 1.12 | $ (4.39) | $ 3.20 |
(Loss) earnings per diluted share (in dollars per share) | $ 1.10 | $ (4.39) | $ 3.18 |
Anti-dilutive common stock equivalents | 8.1 | 13.5 | 10 |
Segment Reporting (Information
Segment Reporting (Information By Reportable Segment) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 14,402 | $ 10,357 | $ 15,132 |
Credit card revenues, net | 387 | 358 | 392 |
Earnings (loss) before interest and income taxes | 492 | (1,047) | 784 |
Capital expenditures | (506) | (385) | (935) |
Depreciation and amortization | (615) | (671) | (661) |
Assets | 8,869 | 9,538 | 9,737 |
Retail [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 14,402 | 10,357 | 15,132 |
Credit card revenues, net | 0 | 0 | 0 |
Earnings (loss) before interest and income taxes | 687 | (924) | 1,028 |
Capital expenditures | (218) | (175) | (726) |
Depreciation and amortization | (350) | (404) | (428) |
Assets | 6,244 | 6,100 | 6,831 |
Corporate/Other | |||
Segment Reporting Information [Line Items] | |||
Net sales | 0 | 0 | 0 |
Credit card revenues, net | 387 | 358 | 392 |
Earnings (loss) before interest and income taxes | (195) | (123) | (244) |
Capital expenditures | (288) | (210) | (209) |
Depreciation and amortization | (265) | (267) | (233) |
Assets | $ 2,625 | $ 3,438 | $ 2,906 |
Segment Reporting (Narrative) (
Segment Reporting (Narrative) (Details) | 12 Months Ended |
Jan. 29, 2022segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 1 |
Number of operating segments | 2 |