Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Oct. 28, 2017 | Nov. 25, 2017 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Oct. 28, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | M | |
Entity Registrant Name | Macy's, Inc. | |
Entity Central Index Key | 794,367 | |
Current Fiscal Year End Date | --02-03 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 304,566,377 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 28, 2017 | Oct. 29, 2016 | Oct. 28, 2017 | Oct. 29, 2016 | |
Income Statement [Abstract] | ||||
Net sales | $ 5,281 | $ 5,626 | $ 16,171 | $ 17,263 |
Cost of sales | (3,175) | (3,386) | (9,794) | (10,370) |
Gross margin | 2,106 | 2,240 | 6,377 | 6,893 |
Selling, general and administrative expenses | (1,995) | (2,112) | (5,853) | (6,139) |
Gains on sale of real estate | 65 | 41 | 176 | 76 |
Impairments, restructuring and other costs | (33) | 0 | (33) | (249) |
Settlement charges | (22) | (62) | (73) | (81) |
Operating income (loss) | 121 | 107 | 594 | 500 |
Interest expense | (76) | (82) | (244) | (279) |
Net premiums on early retirement of debt | 0 | 0 | (1) | 0 |
Interest income | 2 | 1 | 7 | 3 |
Income (loss) before income taxes | 47 | 26 | 356 | 224 |
Federal, state and local income tax expense | (13) | (11) | (140) | (85) |
Net income (loss) | 34 | 15 | 216 | 139 |
Net loss attributable to noncontrolling interest | 2 | 2 | 6 | 5 |
Net income (loss) attributable to Macy's, Inc. shareholders | $ 36 | $ 17 | $ 222 | $ 144 |
Basic earnings per share attributable to Macy's, Inc. shareholders | $ 0.12 | $ 0.05 | $ 0.73 | $ 0.46 |
Diluted earnings per share attributable to Macy's, Inc. shareholders | $ 0.12 | $ 0.05 | $ 0.73 | $ 0.46 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 28, 2017 | Oct. 29, 2016 | Oct. 28, 2017 | Oct. 29, 2016 | |
Net income (loss) | $ 34 | $ 15 | $ 216 | $ 139 |
Actuarial gain (loss) on postretirement benefit plans, before tax | 10 | 3 | 57 | (74) |
Settlement charges, before tax | 22 | 62 | 73 | 81 |
Amortization of net actuarial loss on post employment and postretirement benefit plans, before tax | 8 | 9 | 26 | 26 |
Tax effect related to items of other comprehensive income (loss) | (15) | (29) | (60) | (13) |
Total other comprehensive income (loss), net of tax effect | 25 | 45 | 96 | 20 |
Comprehensive income (loss) | 59 | 60 | 312 | 159 |
Comprehensive loss attributable to noncontrolling interest | 2 | 2 | 6 | 5 |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | $ 61 | $ 62 | $ 318 | $ 164 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Oct. 28, 2017 | Jan. 28, 2017 | Oct. 29, 2016 | Jan. 30, 2016 |
Current Assets: | ||||
Cash and cash equivalents | $ 534 | $ 1,297 | $ 457 | $ 1,109 |
Receivables | 219 | 522 | 262 | |
Merchandise inventories | 7,065 | 5,399 | 7,587 | |
Income Taxes Receivable, Current | 0 | 0 | 60 | |
Prepaid expenses and other current assets | 432 | 408 | 454 | |
Total Current Assets | 8,250 | 7,626 | 8,820 | |
Property and Equipment - net | 6,742 | 7,017 | 7,149 | |
Goodwill | 3,897 | 3,897 | 3,897 | |
Other Intangible Assets - net | 491 | 498 | 499 | |
Other Assets | 835 | 813 | 909 | |
Total Assets | 20,215 | 19,851 | 21,274 | |
Current Liabilities: | ||||
Short-term debt | 22 | 309 | 938 | |
Merchandise accounts payable | 3,173 | 1,423 | 3,375 | |
Accounts payable and accrued liabilities | 3,162 | 3,563 | 2,930 | |
Income taxes | 34 | 352 | 0 | |
Total Current Liabilities | 6,391 | 5,647 | 7,243 | |
Long-Term Debt | 6,297 | 6,562 | 6,563 | |
Deferred Income Taxes | 1,553 | 1,443 | 1,548 | |
Other Liabilities | 1,750 | 1,877 | 2,129 | |
Shareholders' Equity, Macy's, Inc. | 4,231 | 4,323 | 3,789 | |
Shareholders' Equity, noncontrolling interest | (7) | (1) | 2 | |
Total Shareholders’ Equity | 4,224 | 4,322 | 3,791 | |
Total Liabilities and Shareholders' Equity | $ 20,215 | $ 19,851 | $ 21,274 |
Consolidated Balance Sheets (pa
Consolidated Balance Sheets (parenthetical) - USD ($) $ in Millions | Oct. 28, 2017 | Jan. 28, 2017 | Oct. 29, 2016 |
Accumulated depreciation | $ 5,330 | $ 4,856 | $ 5,457 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Oct. 28, 2017 | Oct. 29, 2016 | |
Net income (loss) | $ 216 | $ 139 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Impairments, restructuring and other costs | 33 | 249 |
Settlement charges | 73 | 81 |
Depreciation and amortization | 741 | 787 |
Stock-based compensation expense | 46 | 56 |
Gains on sale of real estate | (176) | (76) |
Amortization of financing costs and premium on acquired debt | (10) | (14) |
Changes in assets and liabilities: | ||
Decrease in receivables | 274 | 237 |
Increase in merchandise inventories | (1,665) | (2,081) |
Increase in prepaid expenses and other current assets | (20) | (37) |
Increase in merchandise accounts payable | 1,630 | 1,665 |
Decrease in accounts payable, accrued liabilities and other items not separately identified | (375) | (380) |
Decrease in current income taxes | (318) | (287) |
Increase in deferred income taxes | 49 | 45 |
Change in Other assets and liabilities not separately identified | (109) | (76) |
Net cash provided (used) by operating activities | 389 | 308 |
Cash flows from investing activities: | ||
Purchase of property and equipment | (359) | (451) |
Capitalized software | (191) | (230) |
Disposition of property and equipment | 212 | 138 |
Other, net | (8) | 52 |
Net cash used by investing activities | (346) | (491) |
Cash flows from financing activities: | ||
Proceeds from Issuance of Commercial Paper | 0 | 51 |
Debt repaid | (554) | (174) |
Financing costs | (1) | (3) |
Dividends paid | (346) | (344) |
Increase (decrease) in outstanding checks | 80 | 193 |
Acquisition of treasury stock | (1) | (230) |
Issuance of common stock | 3 | 31 |
Proceeds from noncontrolling interest | 13 | 7 |
Net cash provided (used) by financing activities | (806) | (469) |
Net increase (decrease) in cash and cash equivalents | (763) | (652) |
Cash and cash equivalents beginning of period | 1,297 | 1,109 |
Cash and cash equivalents end of period | 534 | 457 |
Supplemental cash flow information: | ||
Interest paid | 251 | 279 |
Interest received | 7 | 3 |
Income taxes paid (net of refunds received) | $ 412 | $ 308 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Oct. 28, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Nature of Operations Macy's, Inc. and subsidiaries (the "Company") is an omnichannel retail organization operating stores, websites and mobile applications under three brands (Macy's, Bloomingdale's and bluemercury) that sell a wide range of merchandise, including apparel and accessories (men's, women's and children's), cosmetics, home furnishings and other consumer goods. The Company's operations are conducted through approximately 860 Macy's, Macy's Backstage, Bloomingdale's, Bloomingdale's The Outlet and bluemercury stores in 45 states, the District of Columbia, Guam and Puerto Rico, as well as macys.com, bloomingdales.com and bluemercury.com. In addition, Bloomingdale's in Dubai, United Arab Emirates and Al Zahra, Kuwait are operated under a license agreement with Al Tayer Insignia, a company of Al Tayer Group, LLC. A description of the Company's significant accounting policies is included in the Company's Annual Report on Form 10-K for the fiscal year ended January 28, 2017 (the "2016 10-K"). The accompanying Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto in the 2016 10-K. Use of Estimates The preparation of financial statements in conformity with United States generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Such estimates and assumptions are subject to inherent uncertainties, which may result in actual amounts differing from reported amounts. The Consolidated Financial Statements for the 13 and 39 weeks ended October 28, 2017 and October 29, 2016 , in the opinion of management, include all adjustments (consisting only of normal recurring adjustments) considered necessary to present fairly, in all material respects, the consolidated financial position and results of operations of the Company. Seasonality Because of the seasonal nature of the retail business, the results of operations for the 13 and 39 weeks ended October 28, 2017 and October 29, 2016 (which do not include the Christmas season) are not necessarily indicative of such results for the full fiscal year. Reclassifications Certain reclassifications were made to prior years’ amounts to conform to the classifications of such amounts in the most recent years. Comprehensive Income Total comprehensive income represents the change in equity during a period from sources other than transactions with shareholders and, as such, includes net income. For the Company, the only other components of total comprehensive income for the 13 and 39 weeks ended October 28, 2017 and October 29, 2016 relate to post employment and postretirement plan items. Settlement charges incurred are included as a separate component of operating expenses in the Consolidated Statements of Income. Amortization reclassifications out of accumulated other comprehensive loss are included in the computation of net periodic benefit cost (income) and are included in selling, general and administrative expenses on the Consolidated Statements of Income. See Note 4, "Benefit Plans," for further information. Newly Adopted Accounting Pronouncements The Company adopted Accounting Standards Update ("ASU") No. 2016-09, Improvements to Employee Share-Based Payment Accounting , effective January 29, 2017. This standard was issued to simplify several aspects of the accounting for share-based payment awards, including the income tax consequences, financial statement classification and forfeiture considerations of such awards. Upon adoption, the Company began to recognize, on a prospective basis, all excess tax benefits and tax deficiencies as income tax benefit or expense, respectively, in its Consolidated Statements of Income. For awards that were exercised, vested or expired during the 39 weeks ended October 28, 2017 , approximately $12 million of additional income tax expense associated with net tax deficiencies was recognized. Additionally, these net tax deficiencies have been classified as an operating activity along with other income tax cash flows in the Consolidated Statements of Cash Flows. The Company has elected to adopt such presentation on a prospective basis. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Oct. 28, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Attributable to Macy's, Inc. Shareholders The following tables set forth the computation of basic and diluted earnings per share attributable to Macy's, Inc. shareholders: 13 Weeks Ended October 28, 2017 October 29, 2016 Net Shares Net Shares (millions, except per share data) Net income attributable to Macy's, Inc. shareholders and $ 36 304.6 $ 17 307.5 Shares to be issued under deferred 0.9 0.9 $ 36 305.5 $ 17 308.4 Basic earnings per share attributable to $ .12 $ .05 Effect of dilutive securities: Stock options, restricted stock and restricted stock units 1.0 2.2 $ 36 306.5 $ 17 310.6 Diluted earnings per share attributable to $ .12 $ .05 39 Weeks Ended October 28, 2017 October 29, 2016 Net Shares Net Shares (millions, except per share data) Net income attributable to Macy's, Inc. shareholders and $ 222 304.5 $ 144 308.6 Shares to be issued under deferred 0.8 0.9 $ 222 305.3 $ 144 309.5 Basic earnings per share attributable to $ .73 $ .46 Effect of dilutive securities: Stock options, restricted stock and restricted stock units 1.3 2.3 $ 222 306.6 $ 144 311.8 Diluted earnings per share attributable to $ .73 $ .46 For the 13 and 39 weeks ended October 28, 2017 , in addition to the stock options and restricted stock units reflected in the foregoing tables, stock options to purchase 18.9 million shares of common stock and restricted stock units relating to 1.2 million shares of common stock were outstanding at October 28, 2017 , but were not included in the computation of diluted earnings per share because their inclusion would have been antidilutive or they were subject to performance conditions that had not been met. For the 13 and 39 weeks ended October 29, 2016 , in addition to the stock options and restricted stock units reflected in the foregoing tables, stock options to purchase 15.7 million shares of common stock and restricted stock units relating to 0.7 million shares of common stock were outstanding at October 29, 2016 , but were not included in the computation of diluted earnings per share because their inclusion would have been antidilutive or they were subject to performance conditions that had not been met. |
Financing Activities
Financing Activities | 9 Months Ended |
Oct. 28, 2017 | |
Financing Activities [Abstract] | |
Financing Activities | Financing Activities The following table shows the detail of debt repayments: 39 Weeks Ended October 28, 2017 October 29, 2016 (millions) 7.45% Senior debentures due 2017 $ 300 $ — 7.875% Senior debentures due 2036 — 108 6.375% Senior notes due 2037 135 — 7.45% Senior debentures due 2016 — 59 6.9% Senior debentures due 2032 72 — 6.7% Senior debentures due 2034 28 — 6.65% Senior debentures due 2024 4 — 6.9% Senior debentures due 2029 3 — 6.7% Senior debentures due 2028 3 — 7.0% Senior debentures due 2028 2 — 9.5% amortizing debentures due 2021 4 4 9.75% amortizing debentures due 2021 2 2 Capital leases and other obligations 1 1 $ 554 $ 174 During the 39 weeks ended October 28, 2017 , the Company repaid, at maturity, $300 million of 7.45% senior debentures due July 2017. During the 39 weeks ended October 28, 2017 , the Company repurchased $247 million face value of senior notes and debentures. The debt repurchases were made in the open market for a total cash cost of $257 million , including expenses related to the transactions. Such repurchases resulted in the recognition of expense of $1 million during the 39 weeks ended October 28, 2017 presented as net premiums on early retirement of debt on the Consolidated Statements of Income. On November 27, 2017, the Company commenced a cash tender offer ("tender offer") to purchase up to $400 million in aggregate principal amount of certain senior unsecured notes and debentures, with stated interest rates ranging from 6.375% to 10.25% and maturities ranging from fiscal years 2021 to 2037 . The tender offer expires on December 22, 2017, with an early tender date on December 8, 2017. The Company expects to record the redemption premium and other costs related to these repurchases as net premiums on early retirement of debt on the Consolidated Statements of Income during the fourth quarter of 2017. |
Benefit Plans
Benefit Plans | 9 Months Ended |
Oct. 28, 2017 | |
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |
Benefit Plans | Benefit Plans The Company has defined contribution plans which cover substantially all employees who work 1,000 hours or more in a year. In addition, the Company has a funded defined benefit plan ("Pension Plan") and an unfunded defined benefit supplementary retirement plan ("SERP"), which provides benefits, for certain employees, in excess of qualified plan limitations. Effective January 1, 2012, the Pension Plan was closed to new participants, with limited exceptions, and effective January 2, 2012, the SERP was closed to new participants. In February 2013, the Company announced changes to the Pension Plan and SERP whereby eligible employees no longer earn future pension service credits after December 31, 2013, with limited exceptions. All retirement benefits attributable to service in subsequent periods are provided through defined contribution plans. In addition, certain retired employees currently are provided with specified health care and life insurance benefits ("Postretirement Obligations"). Eligibility requirements for such benefits vary, but generally state that benefits are available to eligible employees who were hired prior to a certain date and retire after a certain age with specified years of service. Certain employees are subject to having such benefits modified or terminated. The defined contribution plan expense and actuarially determined components of the net periodic benefit cost (income) associated with the defined benefit plans are as follows: 13 Weeks Ended 39 Weeks Ended October 28, 2017 October 29, 2016 October 28, 2017 October 29, 2016 (millions) (millions) 401(k) Qualified Defined Contribution Plan $ 20 $ 22 $ 65 $ 71 Non-Qualified Defined Contribution Plan $ — $ — $ — $ 1 Pension Plan Service cost $ 1 $ 1 $ 4 $ 3 Interest cost 25 27 79 83 Expected return on assets (55 ) (56 ) (168 ) (170 ) Recognition of net actuarial loss 8 7 24 22 Amortization of prior service credit — — — — $ (21 ) $ (21 ) $ (61 ) $ (62 ) Supplementary Retirement Plan Service cost $ — $ — $ — $ — Interest cost 5 5 16 17 Recognition of net actuarial loss 2 3 6 7 Amortization of prior service cost — — — — $ 7 $ 8 $ 22 $ 24 Total Retirement Expense $ 6 $ 9 $ 26 $ 34 Postretirement Obligations Service cost $ — $ — $ — $ — Interest cost 1 1 4 4 Recognition of net actuarial gain (2 ) (1 ) (4 ) (3 ) Amortization of prior service cost — — — — $ (1 ) $ — $ — $ 1 During the 13 and 39 weeks ended October 28, 2017 , the Company incurred $22 million and $73 million , respectively, of non-cash settlement charges relating to the Company's defined benefit plans. During the 13 and 39 weeks ended October 29, 2016 , the Company also incurred $62 million and $81 million , respectively, of non-cash settlement charges relating to the Company's defined benefit plans. These charges relate to the pro-rata recognition of net actuarial losses associated with the Company's defined benefit plans and are a result of an increase in lump sum distributions associated with a voluntary separation program, organizational restructuring, and store closings, in addition to periodic distribution activity. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Oct. 28, 2017 | |
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | |
Fair Value Measurements | Fair Value Measurements The following table shows the Company's financial assets that are required to be measured at fair value on a recurring basis, by level within the hierarchy as defined by applicable accounting standards: October 28, 2017 October 29, 2016 Fair Value Measurements Fair Value Measurements Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (millions) Marketable equity and debt securities $ 100 $ 23 $ 77 $ — $ 127 $ 19 $ 108 $ — Other financial instruments not measured at fair value on a recurring basis include cash and cash equivalents, receivables, certain short-term investments and other assets, short-term debt, merchandise accounts payable, accounts payable and accrued liabilities and long-term debt. With the exception of long-term debt, the carrying amount of these financial instruments approximates fair value because of the short maturity of these instruments. The fair values of long-term debt, excluding capitalized leases, are generally estimated based on quoted market prices for identical or similar instruments, and are classified as Level 2 measurements within the hierarchy as defined by applicable accounting standards. The following table shows the estimated fair value of the Company's long-term debt: October 28, 2017 October 29, 2016 Notional Amount Carrying Amount Fair Value Notional Amount Carrying Amount Fair Value (millions) Long-term debt $ 6,206 $ 6,297 $ 5,908 $ 6,459 $ 6,536 $ 6,749 |
Condensed Consolidating Financi
Condensed Consolidating Financial Information | 9 Months Ended |
Oct. 28, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Financial Information | Condensed Consolidating Financial Information Certain debt obligations of the Company, which constitute debt obligations of Macy's Retail Holdings, Inc. ("Subsidiary Issuer"), a 100%-owned subsidiary of Macy's, Inc. ("Parent"), are fully and unconditionally guaranteed by Parent. In the following condensed consolidating financial statements, "Other Subsidiaries" includes all other direct subsidiaries of Parent, including Bluemercury, Inc., FDS Bank, West 34th Street Insurance Company New York, Macy's Merchandising Corporation, Macy's Merchandising Group, Inc. and its subsidiaries Macy's Merchandising Group (Hong Kong) Limited, Macy's Merchandising Group Procurement, LLC, Macy's Merchandising Group International, LLC, Macy's Merchandising Group International (Hong Kong) Limited, and its majority-owned subsidiary Macy's China Limited. "Subsidiary Issuer" includes operating divisions and non-guarantor subsidiaries of the Subsidiary Issuer on an equity basis. The assets and liabilities and results of operations of the non-guarantor subsidiaries of the Subsidiary Issuer are also reflected in "Other Subsidiaries." Condensed Consolidating Statements of Comprehensive Income for the 13 and 39 weeks ended October 28, 2017 and October 29, 2016 , Condensed Consolidating Balance Sheets as of October 28, 2017 , October 29, 2016 and January 28, 2017 , and the related Condensed Consolidating Statements of Cash Flows for the 39 weeks ended October 28, 2017 and October 29, 2016 are presented on the following pages. Condensed Consolidating Statement of Comprehensive Income For the 13 Weeks Ended October 28, 2017 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 2,077 $ 5,861 $ (2,657 ) $ 5,281 Cost of sales — (1,391 ) (4,441 ) 2,657 (3,175 ) Gross margin — 686 1,420 — 2,106 Selling, general and administrative expenses — (813 ) (1,182 ) — (1,995 ) Gains on sale of real estate — 24 41 — 65 Restructuring and other costs — (1 ) (32 ) — (33 ) Settlement charges — (8 ) (14 ) — (22 ) Operating income (loss) — (112 ) 233 — 121 Interest (expense) income, net: External 1 (76 ) 1 — (74 ) Intercompany — (34 ) 34 — — Equity in earnings (loss) of subsidiaries 35 (61 ) — 26 — Income (loss) before income taxes 36 (283 ) 268 26 47 Federal, state and local income — 59 (72 ) — (13 ) Net income (loss) 36 (224 ) 196 26 34 Net loss attributable to noncontrolling interest — — 2 — 2 Net income (loss) attributable to $ 36 $ (224 ) $ 198 $ 26 $ 36 Comprehensive income (loss) $ 61 $ (201 ) $ 212 $ (13 ) $ 59 Comprehensive loss attributable to — — 2 — 2 Comprehensive income (loss) attributable to $ 61 $ (201 ) $ 214 $ (13 ) $ 61 Condensed Consolidating Statement of Comprehensive Income For the 13 Weeks Ended October 29, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 2,376 $ 6,183 $ (2,933 ) $ 5,626 Cost of sales — (1,577 ) (4,742 ) 2,933 (3,386 ) Gross margin — 799 1,441 — 2,240 Selling, general and administrative expenses (1 ) (950 ) (1,161 ) — (2,112 ) Gains on sale of real estate — 41 — — 41 Settlement charges — (24 ) (38 ) — (62 ) Operating income (loss) (1 ) (134 ) 242 — 107 Interest (expense) income, net: External 1 (82 ) — — (81 ) Intercompany — (51 ) 51 — — Equity in earnings (loss) of subsidiaries 17 (101 ) — 84 — Income (loss) before income taxes 17 (368 ) 293 84 26 Federal, state and local income — 68 (79 ) — (11 ) Net income (loss) 17 (300 ) 214 84 15 Net loss attributable to noncontrolling interest — — 2 — 2 Net income (loss) attributable to $ 17 $ (300 ) $ 216 $ 84 $ 17 Comprehensive income (loss) $ 62 $ (255 ) $ 241 $ 12 $ 60 Comprehensive loss attributable to — — 2 — 2 Comprehensive income (loss) attributable to $ 62 $ (255 ) $ 243 $ 12 $ 62 Condensed Consolidating Statement of Comprehensive Income For the 39 weeks ended October 28, 2017 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 6,319 $ 15,727 $ (5,875 ) $ 16,171 Cost of sales — (4,126 ) (11,543 ) 5,875 (9,794 ) Gross margin — 2,193 4,184 — 6,377 Selling, general and administrative expenses (1 ) (2,430 ) (3,422 ) — (5,853 ) Gains on sale of real estate — 116 60 — 176 Restructuring and other costs — (1 ) (32 ) — (33 ) Settlement charges — (24 ) (49 ) — (73 ) Operating income (loss) (1 ) (146 ) 741 — 594 Interest (expense) income, net: External 4 (243 ) 2 — (237 ) Intercompany — (102 ) 102 — — Net premiums on early retirement of debt — (1 ) — — (1 ) Equity in earnings (loss) of subsidiaries 220 (30 ) — (190 ) — Income (loss) before income taxes 223 (522 ) 845 (190 ) 356 Federal, state and local income (1 ) 142 (281 ) — (140 ) Net income (loss) 222 (380 ) 564 (190 ) 216 Net loss attributable to noncontrolling interest — — 6 — 6 Net income (loss) attributable to $ 222 $ (380 ) $ 570 $ (190 ) $ 222 Comprehensive income (loss) $ 318 $ (290 ) $ 627 $ (343 ) $ 312 Comprehensive loss attributable to — — 6 — 6 Comprehensive income (loss) attributable to $ 318 $ (290 ) $ 633 $ (343 ) $ 318 Condensed Consolidating Statement of Comprehensive Income For the 39 weeks ended October 29, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 7,324 $ 16,546 $ (6,607 ) $ 17,263 Cost of sales — (4,704 ) (12,273 ) 6,607 (10,370 ) Gross margin — 2,620 4,273 — 6,893 Selling, general and administrative expenses (2 ) (2,803 ) (3,334 ) — (6,139 ) Gains on sale of real estate — 71 5 — 76 Impairments and other costs — (184 ) (65 ) — (249 ) Settlement charges — (29 ) (52 ) — (81 ) Operating income (loss) (2 ) (325 ) 827 — 500 Interest (expense) income, net: External 2 (278 ) — — (276 ) Intercompany — (166 ) 166 — — Equity in earnings (loss) of subsidiaries 144 (69 ) — (75 ) — Income (loss) before income taxes 144 (838 ) 993 (75 ) 224 Federal, state and local income — 243 (328 ) — (85 ) Net income (loss) 144 (595 ) 665 (75 ) 139 Net loss attributable to noncontrolling interest — — 5 — 5 Net income (loss) attributable to $ 144 $ (595 ) $ 670 $ (75 ) $ 144 Comprehensive income (loss) $ 164 $ (575 ) $ 677 $ (107 ) $ 159 Comprehensive loss attributable to — — 5 — 5 Comprehensive income (loss) attributable to $ 164 $ (575 ) $ 682 $ (107 ) $ 164 Condensed Consolidating Balance Sheet As of October 28, 2017 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 116 $ 89 $ 329 $ — $ 534 Receivables — 67 152 — 219 Merchandise inventories — 3,218 3,847 — 7,065 Income tax receivable — 2 — (2 ) — Prepaid expenses and other current assets — 86 346 — 432 Total Current Assets 116 3,462 4,674 (2 ) 8,250 Property and Equipment – net — 3,184 3,558 — 6,742 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 46 445 — 491 Other Assets 1 62 772 — 835 Deferred Income Taxes 26 — — (26 ) — Intercompany Receivable 1,436 — 1,971 (3,407 ) — Investment in Subsidiaries 2,882 3,644 — (6,526 ) — Total Assets $ 4,461 $ 13,713 $ 12,002 $ (9,961 ) $ 20,215 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 6 $ 16 $ — $ 22 Merchandise accounts payable — 1,339 1,834 — 3,173 Accounts payable and accrued liabilities 139 975 2,048 — 3,162 Income taxes 20 — 16 (2 ) 34 Total Current Liabilities 159 2,320 3,914 (2 ) 6,391 Long-Term Debt — 6,280 17 — 6,297 Intercompany Payable — 3,407 — (3,407 ) — Deferred Income Taxes — 707 872 (26 ) 1,553 Other Liabilities 71 476 1,203 — 1,750 Shareholders' Equity: Macy's, Inc. 4,231 523 6,003 (6,526 ) 4,231 Noncontrolling Interest — — (7 ) — (7 ) Total Shareholders' Equity 4,231 523 5,996 (6,526 ) 4,224 Total Liabilities and Shareholders' Equity $ 4,461 $ 13,713 $ 12,002 $ (9,961 ) $ 20,215 Condensed Consolidating Balance Sheet As of October 29, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 60 $ 99 $ 298 $ — $ 457 Receivables — 74 188 — 262 Merchandise inventories — 3,621 3,966 — 7,587 Income tax receivable 99 — — (39 ) 60 Prepaid expenses and other current assets — 89 365 — 454 Total Current Assets 159 3,883 4,817 (39 ) 8,820 Property and Equipment – net — 3,534 3,615 — 7,149 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 47 452 — 499 Other Assets 1 153 755 — 909 Deferred Income Taxes 24 — — (24 ) — Intercompany Receivable 878 — 1,876 (2,754 ) — Investment in Subsidiaries 2,954 3,173 — (6,127 ) — Total Assets $ 4,016 $ 14,105 $ 12,097 $ (8,944 ) $ 21,274 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 935 $ 3 $ — $ 938 Merchandise accounts payable — 1,481 1,894 — 3,375 Accounts payable and accrued liabilities 164 910 1,856 — 2,930 Income taxes — 3 36 (39 ) — Total Current Liabilities 164 3,329 3,789 (39 ) 7,243 Long-Term Debt — 6,545 18 — 6,563 Intercompany Payable — 2,754 — (2,754 ) — Deferred Income Taxes — 694 878 (24 ) 1,548 Other Liabilities 63 565 1,501 — 2,129 Shareholders' Equity: Macy's, Inc. 3,789 218 5,909 (6,127 ) 3,789 Noncontrolling Interest — — 2 — 2 Total Shareholders' Equity 3,789 218 5,911 (6,127 ) 3,791 Total Liabilities and Shareholders' Equity $ 4,016 $ 14,105 $ 12,097 $ (8,944 ) $ 21,274 Condensed Consolidating Balance Sheet As of January 28, 2017 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 938 $ 81 $ 278 $ — $ 1,297 Receivables — 169 353 — 522 Merchandise inventories — 2,565 2,834 — 5,399 Prepaid expenses and other current assets — 84 324 — 408 Total Current Assets 938 2,899 3,789 — 7,626 Property and Equipment – net — 3,397 3,620 — 7,017 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 51 447 — 498 Other Assets — 47 766 — 813 Deferred Income Taxes 26 — — (26 ) — Intercompany Receivable 375 — 2,428 (2,803 ) — Investment in Subsidiaries 3,137 3,540 — (6,677 ) — Total Assets $ 4,476 $ 13,249 $ 11,632 $ (9,506 ) $ 19,851 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 306 $ 3 $ — $ 309 Merchandise accounts payable — 590 833 — 1,423 Accounts payable and accrued liabilities 16 1,064 2,483 — 3,563 Income taxes 71 16 265 — 352 Total Current Liabilities 87 1,976 3,584 — 5,647 Long-Term Debt — 6,544 18 — 6,562 Intercompany Payable — 2,803 — (2,803 ) — Deferred Income Taxes — 688 781 (26 ) 1,443 Other Liabilities 66 500 1,311 — 1,877 Shareholders' Equity: Macy's, Inc. 4,323 738 5,939 (6,677 ) 4,323 Noncontrolling Interest — — (1 ) — (1 ) Total Shareholders' Equity 4,323 738 5,938 (6,677 ) 4,322 Total Liabilities and Shareholders' Equity $ 4,476 $ 13,249 $ 11,632 $ (9,506 ) $ 19,851 Condensed Consolidating Statement of Cash Flows For the 39 Weeks Ended October 28, 2017 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Cash flows from operating activities: Net income (loss) $ 222 $ (380 ) $ 564 $ (190 ) $ 216 Restructuring and other costs — 1 32 — 33 Settlement charges — 24 49 — 73 Equity in loss (earnings) of subsidiaries (220 ) 30 — 190 — Dividends received from subsidiaries 571 — — (571 ) — Depreciation and amortization — 265 476 — 741 (Increase) decrease in working capital (52 ) 35 (633 ) — (650 ) Other, net 8 2 (34 ) — (24 ) Net cash provided (used) by operating activities 529 (23 ) 454 (571 ) 389 Cash flows from investing activities: Disposition (purchase) of property and equipment and capitalized software, net — 30 (368 ) — (338 ) Other, net — 2 (10 ) — (8 ) Net cash provided (used) by investing activities — 32 (378 ) — (346 ) Cash flows from financing activities: Debt repaid — (553 ) (1 ) — (554 ) Dividends paid (346 ) — (571 ) 571 (346 ) Issuance of common stock, net of common stock acquired 2 — — — 2 Proceeds from noncontrolling interest — — 13 — 13 Intercompany activity, net (1,016 ) 584 432 — — Other, net 9 (32 ) 102 — 79 Net cash used by financing activities (1,351 ) (1 ) (25 ) 571 (806 ) Net increase (decrease) in cash and (822 ) 8 51 — (763 ) Cash and cash equivalents at beginning of period 938 81 278 — 1,297 Cash and cash equivalents at end of period $ 116 $ 89 $ 329 $ — $ 534 Condensed Consolidating Statement of Cash Flows For the 39 Weeks Ended October 29, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Cash flows from operating activities: Net income (loss) $ 144 $ (595 ) $ 665 $ (75 ) $ 139 Impairments and other costs — 184 65 — 249 Settlement charges — 29 52 — 81 Equity in loss (earnings) of subsidiaries (144 ) 69 — 75 — Dividends received from subsidiaries 535 575 — (1,110 ) — Depreciation and amortization — 298 489 — 787 Increase in working capital (59 ) (572 ) (328 ) — (959 ) Other, net 19 (36 ) 28 — 11 Net cash provided (used) by operating activities 495 (48 ) 971 (1,110 ) 308 Cash flows from investing activities: Purchase of property and equipment and capitalized software, net — (23 ) (520 ) — (543 ) Other, net — 47 5 — 52 Net cash provided (used) by investing activities — 24 (515 ) — (491 ) Cash flows from financing activities: Debt repaid, net of debt issued — (122 ) (1 ) — (123 ) Dividends paid (344 ) — (1,110 ) 1,110 (344 ) Common stock acquired, net of (199 ) — — — (199 ) Proceeds from noncontrolling interest — — 7 — 7 Intercompany activity, net (642 ) 158 484 — — Other, net 9 (4 ) 185 — 190 Net cash provided (used) by (1,176 ) 32 (435 ) 1,110 (469 ) Net increase (decrease) in cash and (681 ) 8 21 — (652 ) Cash and cash equivalents at beginning of period 741 91 277 — 1,109 Cash and cash equivalents at end of period $ 60 $ 99 $ 298 $ — $ 457 |
Summary of Significant Accoun13
Summary of Significant Accounting Policies (Policy) | 9 Months Ended |
Oct. 28, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature Of Operations | Nature of Operations Macy's, Inc. and subsidiaries (the "Company") is an omnichannel retail organization operating stores, websites and mobile applications under three brands (Macy's, Bloomingdale's and bluemercury) that sell a wide range of merchandise, including apparel and accessories (men's, women's and children's), cosmetics, home furnishings and other consumer goods. The Company's operations are conducted through approximately 860 Macy's, Macy's Backstage, Bloomingdale's, Bloomingdale's The Outlet and bluemercury stores in 45 states, the District of Columbia, Guam and Puerto Rico, as well as macys.com, bloomingdales.com and bluemercury.com. In addition, Bloomingdale's in Dubai, United Arab Emirates and Al Zahra, Kuwait are operated under a license agreement with Al Tayer Insignia, a company of Al Tayer Group, LLC. |
Use Of Estimates | Use of Estimates The preparation of financial statements in conformity with United States generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Such estimates and assumptions are subject to inherent uncertainties, which may result in actual amounts differing from reported amounts. The Consolidated Financial Statements for the 13 and 39 weeks ended October 28, 2017 and October 29, 2016 , in the opinion of management, include all adjustments (consisting only of normal recurring adjustments) considered necessary to present fairly, in all material respects, the consolidated financial position and results of operations of the Company. |
Reclassifications | Reclassifications Certain reclassifications were made to prior years’ amounts to conform to the classifications of such amounts in the most recent years. |
Comprehensive Income | Comprehensive Income Total comprehensive income represents the change in equity during a period from sources other than transactions with shareholders and, as such, includes net income. For the Company, the only other components of total comprehensive income for the 13 and 39 weeks ended October 28, 2017 and October 29, 2016 relate to post employment and postretirement plan items. Settlement charges incurred are included as a separate component of operating expenses in the Consolidated Statements of Income. Amortization reclassifications out of accumulated other comprehensive loss are included in the computation of net periodic benefit cost (income) and are included in selling, general and administrative expenses on the Consolidated Statements of Income. See Note 4, "Benefit Plans," for further information. |
Newly Adopted Accounting Pronouncements | Newly Adopted Accounting Pronouncements The Company adopted Accounting Standards Update ("ASU") No. 2016-09, Improvements to Employee Share-Based Payment Accounting , effective January 29, 2017. This standard was issued to simplify several aspects of the accounting for share-based payment awards, including the income tax consequences, financial statement classification and forfeiture considerations of such awards. Upon adoption, the Company began to recognize, on a prospective basis, all excess tax benefits and tax deficiencies as income tax benefit or expense, respectively, in its Consolidated Statements of Income. For awards that were exercised, vested or expired during the 39 weeks ended October 28, 2017 , approximately $12 million of additional income tax expense associated with net tax deficiencies was recognized. Additionally, these net tax deficiencies have been classified as an operating activity along with other income tax cash flows in the Consolidated Statements of Cash Flows. The Company has elected to adopt such presentation on a prospective basis. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Oct. 28, 2017 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Share | The following tables set forth the computation of basic and diluted earnings per share attributable to Macy's, Inc. shareholders: 13 Weeks Ended October 28, 2017 October 29, 2016 Net Shares Net Shares (millions, except per share data) Net income attributable to Macy's, Inc. shareholders and $ 36 304.6 $ 17 307.5 Shares to be issued under deferred 0.9 0.9 $ 36 305.5 $ 17 308.4 Basic earnings per share attributable to $ .12 $ .05 Effect of dilutive securities: Stock options, restricted stock and restricted stock units 1.0 2.2 $ 36 306.5 $ 17 310.6 Diluted earnings per share attributable to $ .12 $ .05 39 Weeks Ended October 28, 2017 October 29, 2016 Net Shares Net Shares (millions, except per share data) Net income attributable to Macy's, Inc. shareholders and $ 222 304.5 $ 144 308.6 Shares to be issued under deferred 0.8 0.9 $ 222 305.3 $ 144 309.5 Basic earnings per share attributable to $ .73 $ .46 Effect of dilutive securities: Stock options, restricted stock and restricted stock units 1.3 2.3 $ 222 306.6 $ 144 311.8 Diluted earnings per share attributable to $ .73 $ .46 |
Financing Activities Financing
Financing Activities Financing Activites (Tables) | 9 Months Ended |
Oct. 28, 2017 | |
Extinguishment of Debt [Line Items] | |
Detail of Debt Repayments | The following table shows the detail of debt repayments: 39 Weeks Ended October 28, 2017 October 29, 2016 (millions) 7.45% Senior debentures due 2017 $ 300 $ — 7.875% Senior debentures due 2036 — 108 6.375% Senior notes due 2037 135 — 7.45% Senior debentures due 2016 — 59 6.9% Senior debentures due 2032 72 — 6.7% Senior debentures due 2034 28 — 6.65% Senior debentures due 2024 4 — 6.9% Senior debentures due 2029 3 — 6.7% Senior debentures due 2028 3 — 7.0% Senior debentures due 2028 2 — 9.5% amortizing debentures due 2021 4 4 9.75% amortizing debentures due 2021 2 2 Capital leases and other obligations 1 1 $ 554 $ 174 |
Benefit Plans (Tables)
Benefit Plans (Tables) | 9 Months Ended |
Oct. 28, 2017 | |
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |
Schedule of Costs of Retirement Plans | The defined contribution plan expense and actuarially determined components of the net periodic benefit cost (income) associated with the defined benefit plans are as follows: 13 Weeks Ended 39 Weeks Ended October 28, 2017 October 29, 2016 October 28, 2017 October 29, 2016 (millions) (millions) 401(k) Qualified Defined Contribution Plan $ 20 $ 22 $ 65 $ 71 Non-Qualified Defined Contribution Plan $ — $ — $ — $ 1 Pension Plan Service cost $ 1 $ 1 $ 4 $ 3 Interest cost 25 27 79 83 Expected return on assets (55 ) (56 ) (168 ) (170 ) Recognition of net actuarial loss 8 7 24 22 Amortization of prior service credit — — — — $ (21 ) $ (21 ) $ (61 ) $ (62 ) Supplementary Retirement Plan Service cost $ — $ — $ — $ — Interest cost 5 5 16 17 Recognition of net actuarial loss 2 3 6 7 Amortization of prior service cost — — — — $ 7 $ 8 $ 22 $ 24 Total Retirement Expense $ 6 $ 9 $ 26 $ 34 Postretirement Obligations Service cost $ — $ — $ — $ — Interest cost 1 1 4 4 Recognition of net actuarial gain (2 ) (1 ) (4 ) (3 ) Amortization of prior service cost — — — — $ (1 ) $ — $ — $ 1 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Oct. 28, 2017 | |
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | |
Fair Value of Assets Measured on a Recurring Basis | The following table shows the Company's financial assets that are required to be measured at fair value on a recurring basis, by level within the hierarchy as defined by applicable accounting standards: October 28, 2017 October 29, 2016 Fair Value Measurements Fair Value Measurements Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (millions) Marketable equity and debt securities $ 100 $ 23 $ 77 $ — $ 127 $ 19 $ 108 $ — |
Estimated Fair Values of Company's Long Term Debt | The following table shows the estimated fair value of the Company's long-term debt: October 28, 2017 October 29, 2016 Notional Amount Carrying Amount Fair Value Notional Amount Carrying Amount Fair Value (millions) Long-term debt $ 6,206 $ 6,297 $ 5,908 $ 6,459 $ 6,536 $ 6,749 |
Condensed Consolidating Finan18
Condensed Consolidating Financial Information (Tables) | 9 Months Ended |
Oct. 28, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Balance Sheet [Table Text Block] | Condensed Consolidating Balance Sheet As of October 28, 2017 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 116 $ 89 $ 329 $ — $ 534 Receivables — 67 152 — 219 Merchandise inventories — 3,218 3,847 — 7,065 Income tax receivable — 2 — (2 ) — Prepaid expenses and other current assets — 86 346 — 432 Total Current Assets 116 3,462 4,674 (2 ) 8,250 Property and Equipment – net — 3,184 3,558 — 6,742 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 46 445 — 491 Other Assets 1 62 772 — 835 Deferred Income Taxes 26 — — (26 ) — Intercompany Receivable 1,436 — 1,971 (3,407 ) — Investment in Subsidiaries 2,882 3,644 — (6,526 ) — Total Assets $ 4,461 $ 13,713 $ 12,002 $ (9,961 ) $ 20,215 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 6 $ 16 $ — $ 22 Merchandise accounts payable — 1,339 1,834 — 3,173 Accounts payable and accrued liabilities 139 975 2,048 — 3,162 Income taxes 20 — 16 (2 ) 34 Total Current Liabilities 159 2,320 3,914 (2 ) 6,391 Long-Term Debt — 6,280 17 — 6,297 Intercompany Payable — 3,407 — (3,407 ) — Deferred Income Taxes — 707 872 (26 ) 1,553 Other Liabilities 71 476 1,203 — 1,750 Shareholders' Equity: Macy's, Inc. 4,231 523 6,003 (6,526 ) 4,231 Noncontrolling Interest — — (7 ) — (7 ) Total Shareholders' Equity 4,231 523 5,996 (6,526 ) 4,224 Total Liabilities and Shareholders' Equity $ 4,461 $ 13,713 $ 12,002 $ (9,961 ) $ 20,215 Condensed Consolidating Balance Sheet As of October 29, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 60 $ 99 $ 298 $ — $ 457 Receivables — 74 188 — 262 Merchandise inventories — 3,621 3,966 — 7,587 Income tax receivable 99 — — (39 ) 60 Prepaid expenses and other current assets — 89 365 — 454 Total Current Assets 159 3,883 4,817 (39 ) 8,820 Property and Equipment – net — 3,534 3,615 — 7,149 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 47 452 — 499 Other Assets 1 153 755 — 909 Deferred Income Taxes 24 — — (24 ) — Intercompany Receivable 878 — 1,876 (2,754 ) — Investment in Subsidiaries 2,954 3,173 — (6,127 ) — Total Assets $ 4,016 $ 14,105 $ 12,097 $ (8,944 ) $ 21,274 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 935 $ 3 $ — $ 938 Merchandise accounts payable — 1,481 1,894 — 3,375 Accounts payable and accrued liabilities 164 910 1,856 — 2,930 Income taxes — 3 36 (39 ) — Total Current Liabilities 164 3,329 3,789 (39 ) 7,243 Long-Term Debt — 6,545 18 — 6,563 Intercompany Payable — 2,754 — (2,754 ) — Deferred Income Taxes — 694 878 (24 ) 1,548 Other Liabilities 63 565 1,501 — 2,129 Shareholders' Equity: Macy's, Inc. 3,789 218 5,909 (6,127 ) 3,789 Noncontrolling Interest — — 2 — 2 Total Shareholders' Equity 3,789 218 5,911 (6,127 ) 3,791 Total Liabilities and Shareholders' Equity $ 4,016 $ 14,105 $ 12,097 $ (8,944 ) $ 21,274 Condensed Consolidating Balance Sheet As of January 28, 2017 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 938 $ 81 $ 278 $ — $ 1,297 Receivables — 169 353 — 522 Merchandise inventories — 2,565 2,834 — 5,399 Prepaid expenses and other current assets — 84 324 — 408 Total Current Assets 938 2,899 3,789 — 7,626 Property and Equipment – net — 3,397 3,620 — 7,017 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 51 447 — 498 Other Assets — 47 766 — 813 Deferred Income Taxes 26 — — (26 ) — Intercompany Receivable 375 — 2,428 (2,803 ) — Investment in Subsidiaries 3,137 3,540 — (6,677 ) — Total Assets $ 4,476 $ 13,249 $ 11,632 $ (9,506 ) $ 19,851 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 306 $ 3 $ — $ 309 Merchandise accounts payable — 590 833 — 1,423 Accounts payable and accrued liabilities 16 1,064 2,483 — 3,563 Income taxes 71 16 265 — 352 Total Current Liabilities 87 1,976 3,584 — 5,647 Long-Term Debt — 6,544 18 — 6,562 Intercompany Payable — 2,803 — (2,803 ) — Deferred Income Taxes — 688 781 (26 ) 1,443 Other Liabilities 66 500 1,311 — 1,877 Shareholders' Equity: Macy's, Inc. 4,323 738 5,939 (6,677 ) 4,323 Noncontrolling Interest — — (1 ) — (1 ) Total Shareholders' Equity 4,323 738 5,938 (6,677 ) 4,322 Total Liabilities and Shareholders' Equity $ 4,476 $ 13,249 $ 11,632 $ (9,506 ) $ 19,851 |
Condensed Consolidating Statement of Cash Flows [Table Text Block] | Condensed Consolidating Statement of Cash Flows For the 39 Weeks Ended October 28, 2017 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Cash flows from operating activities: Net income (loss) $ 222 $ (380 ) $ 564 $ (190 ) $ 216 Restructuring and other costs — 1 32 — 33 Settlement charges — 24 49 — 73 Equity in loss (earnings) of subsidiaries (220 ) 30 — 190 — Dividends received from subsidiaries 571 — — (571 ) — Depreciation and amortization — 265 476 — 741 (Increase) decrease in working capital (52 ) 35 (633 ) — (650 ) Other, net 8 2 (34 ) — (24 ) Net cash provided (used) by operating activities 529 (23 ) 454 (571 ) 389 Cash flows from investing activities: Disposition (purchase) of property and equipment and capitalized software, net — 30 (368 ) — (338 ) Other, net — 2 (10 ) — (8 ) Net cash provided (used) by investing activities — 32 (378 ) — (346 ) Cash flows from financing activities: Debt repaid — (553 ) (1 ) — (554 ) Dividends paid (346 ) — (571 ) 571 (346 ) Issuance of common stock, net of common stock acquired 2 — — — 2 Proceeds from noncontrolling interest — — 13 — 13 Intercompany activity, net (1,016 ) 584 432 — — Other, net 9 (32 ) 102 — 79 Net cash used by financing activities (1,351 ) (1 ) (25 ) 571 (806 ) Net increase (decrease) in cash and (822 ) 8 51 — (763 ) Cash and cash equivalents at beginning of period 938 81 278 — 1,297 Cash and cash equivalents at end of period $ 116 $ 89 $ 329 $ — $ 534 Condensed Consolidating Statement of Cash Flows For the 39 Weeks Ended October 29, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Cash flows from operating activities: Net income (loss) $ 144 $ (595 ) $ 665 $ (75 ) $ 139 Impairments and other costs — 184 65 — 249 Settlement charges — 29 52 — 81 Equity in loss (earnings) of subsidiaries (144 ) 69 — 75 — Dividends received from subsidiaries 535 575 — (1,110 ) — Depreciation and amortization — 298 489 — 787 Increase in working capital (59 ) (572 ) (328 ) — (959 ) Other, net 19 (36 ) 28 — 11 Net cash provided (used) by operating activities 495 (48 ) 971 (1,110 ) 308 Cash flows from investing activities: Purchase of property and equipment and capitalized software, net — (23 ) (520 ) — (543 ) Other, net — 47 5 — 52 Net cash provided (used) by investing activities — 24 (515 ) — (491 ) Cash flows from financing activities: Debt repaid, net of debt issued — (122 ) (1 ) — (123 ) Dividends paid (344 ) — (1,110 ) 1,110 (344 ) Common stock acquired, net of (199 ) — — — (199 ) Proceeds from noncontrolling interest — — 7 — 7 Intercompany activity, net (642 ) 158 484 — — Other, net 9 (4 ) 185 — 190 Net cash provided (used) by (1,176 ) 32 (435 ) 1,110 (469 ) Net increase (decrease) in cash and (681 ) 8 21 — (652 ) Cash and cash equivalents at beginning of period 741 91 277 — 1,109 Cash and cash equivalents at end of period $ 60 $ 99 $ 298 $ — $ 457 |
Condensed Consolidating Statement of Comprehensive Income [Table Text Block] | Condensed Consolidating Statement of Comprehensive Income For the 13 Weeks Ended October 28, 2017 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 2,077 $ 5,861 $ (2,657 ) $ 5,281 Cost of sales — (1,391 ) (4,441 ) 2,657 (3,175 ) Gross margin — 686 1,420 — 2,106 Selling, general and administrative expenses — (813 ) (1,182 ) — (1,995 ) Gains on sale of real estate — 24 41 — 65 Restructuring and other costs — (1 ) (32 ) — (33 ) Settlement charges — (8 ) (14 ) — (22 ) Operating income (loss) — (112 ) 233 — 121 Interest (expense) income, net: External 1 (76 ) 1 — (74 ) Intercompany — (34 ) 34 — — Equity in earnings (loss) of subsidiaries 35 (61 ) — 26 — Income (loss) before income taxes 36 (283 ) 268 26 47 Federal, state and local income — 59 (72 ) — (13 ) Net income (loss) 36 (224 ) 196 26 34 Net loss attributable to noncontrolling interest — — 2 — 2 Net income (loss) attributable to $ 36 $ (224 ) $ 198 $ 26 $ 36 Comprehensive income (loss) $ 61 $ (201 ) $ 212 $ (13 ) $ 59 Comprehensive loss attributable to — — 2 — 2 Comprehensive income (loss) attributable to $ 61 $ (201 ) $ 214 $ (13 ) $ 61 Condensed Consolidating Statement of Comprehensive Income For the 13 Weeks Ended October 29, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 2,376 $ 6,183 $ (2,933 ) $ 5,626 Cost of sales — (1,577 ) (4,742 ) 2,933 (3,386 ) Gross margin — 799 1,441 — 2,240 Selling, general and administrative expenses (1 ) (950 ) (1,161 ) — (2,112 ) Gains on sale of real estate — 41 — — 41 Settlement charges — (24 ) (38 ) — (62 ) Operating income (loss) (1 ) (134 ) 242 — 107 Interest (expense) income, net: External 1 (82 ) — — (81 ) Intercompany — (51 ) 51 — — Equity in earnings (loss) of subsidiaries 17 (101 ) — 84 — Income (loss) before income taxes 17 (368 ) 293 84 26 Federal, state and local income — 68 (79 ) — (11 ) Net income (loss) 17 (300 ) 214 84 15 Net loss attributable to noncontrolling interest — — 2 — 2 Net income (loss) attributable to $ 17 $ (300 ) $ 216 $ 84 $ 17 Comprehensive income (loss) $ 62 $ (255 ) $ 241 $ 12 $ 60 Comprehensive loss attributable to — — 2 — 2 Comprehensive income (loss) attributable to $ 62 $ (255 ) $ 243 $ 12 $ 62 Condensed Consolidating Statement of Comprehensive Income For the 39 weeks ended October 28, 2017 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 6,319 $ 15,727 $ (5,875 ) $ 16,171 Cost of sales — (4,126 ) (11,543 ) 5,875 (9,794 ) Gross margin — 2,193 4,184 — 6,377 Selling, general and administrative expenses (1 ) (2,430 ) (3,422 ) — (5,853 ) Gains on sale of real estate — 116 60 — 176 Restructuring and other costs — (1 ) (32 ) — (33 ) Settlement charges — (24 ) (49 ) — (73 ) Operating income (loss) (1 ) (146 ) 741 — 594 Interest (expense) income, net: External 4 (243 ) 2 — (237 ) Intercompany — (102 ) 102 — — Net premiums on early retirement of debt — (1 ) — — (1 ) Equity in earnings (loss) of subsidiaries 220 (30 ) — (190 ) — Income (loss) before income taxes 223 (522 ) 845 (190 ) 356 Federal, state and local income (1 ) 142 (281 ) — (140 ) Net income (loss) 222 (380 ) 564 (190 ) 216 Net loss attributable to noncontrolling interest — — 6 — 6 Net income (loss) attributable to $ 222 $ (380 ) $ 570 $ (190 ) $ 222 Comprehensive income (loss) $ 318 $ (290 ) $ 627 $ (343 ) $ 312 Comprehensive loss attributable to — — 6 — 6 Comprehensive income (loss) attributable to $ 318 $ (290 ) $ 633 $ (343 ) $ 318 Condensed Consolidating Statement of Comprehensive Income For the 39 weeks ended October 29, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 7,324 $ 16,546 $ (6,607 ) $ 17,263 Cost of sales — (4,704 ) (12,273 ) 6,607 (10,370 ) Gross margin — 2,620 4,273 — 6,893 Selling, general and administrative expenses (2 ) (2,803 ) (3,334 ) — (6,139 ) Gains on sale of real estate — 71 5 — 76 Impairments and other costs — (184 ) (65 ) — (249 ) Settlement charges — (29 ) (52 ) — (81 ) Operating income (loss) (2 ) (325 ) 827 — 500 Interest (expense) income, net: External 2 (278 ) — — (276 ) Intercompany — (166 ) 166 — — Equity in earnings (loss) of subsidiaries 144 (69 ) — (75 ) — Income (loss) before income taxes 144 (838 ) 993 (75 ) 224 Federal, state and local income — 243 (328 ) — (85 ) Net income (loss) 144 (595 ) 665 (75 ) 139 Net loss attributable to noncontrolling interest — — 5 — 5 Net income (loss) attributable to $ 144 $ (595 ) $ 670 $ (75 ) $ 144 Comprehensive income (loss) $ 164 $ (575 ) $ 677 $ (107 ) $ 159 Comprehensive loss attributable to — — 5 — 5 Comprehensive income (loss) attributable to $ 164 $ (575 ) $ 682 $ (107 ) $ 164 |
Summary of Significant Accoun19
Summary of Significant Accounting Policies (Narrative) (Details) $ in Millions | 9 Months Ended |
Oct. 28, 2017USD ($)stores | |
Net tax deficiencies from share based payment accounting | $ | $ 12 |
Number of states in which entity operates | 45 |
Minimum [Member] | |
Number of Stores | stores | 860 |
Earnings Per Share Earnings Per
Earnings Per Share Earnings Per Share (Narrative) (Details) - shares shares in Millions | 9 Months Ended | |
Oct. 28, 2017 | Oct. 29, 2016 | |
Stock Options [Member] | ||
Stock options and restricted stock units outstanding, not included in computation of diluted earnings per share | 18.9 | 15.7 |
Restricted Stock Units [Member] | ||
Stock options and restricted stock units outstanding, not included in computation of diluted earnings per share | 1.2 | 0.7 |
Earnings Per Share (Computation
Earnings Per Share (Computation Of Basic and Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 28, 2017 | Oct. 29, 2016 | Oct. 28, 2017 | Oct. 29, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Net income (loss) attributable to Macy's, Inc. shareholders | $ 36 | $ 17 | $ 222 | $ 144 |
Net income available to common stockholders, basic | 36 | 17 | 222 | 144 |
Net income available to common stockholders, diluted | $ 36 | $ 17 | $ 222 | $ 144 |
Basic earnings per share attributable to Macy's, Inc. shareholders | $ 0.12 | $ 0.05 | $ 0.73 | $ 0.46 |
Diluted earnings per share attributable to Macy's, Inc. shareholders | $ 0.12 | $ 0.05 | $ 0.73 | $ 0.46 |
Average number of shares issued, basic | 304.6 | 307.5 | 304.5 | 308.6 |
Shares to be issued under deferred compensation and other plans | 0.9 | 0.9 | 0.8 | 0.9 |
Average number of shares outstanding, basic | 305.5 | 308.4 | 305.3 | 309.5 |
Effect of dilutive securities-stock options, restricted stock and restricted stock units | 1 | 2.2 | 1.3 | 2.3 |
Average number of shares outstanding, diluted | 306.5 | 310.6 | 306.6 | 311.8 |
Financing Activities (Details)
Financing Activities (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Feb. 03, 2018 | Oct. 28, 2017 | Oct. 29, 2016 | Oct. 28, 2017 | Oct. 29, 2016 | |
Extinguishment of debt | $ 247 | ||||
Extinguishment of debt cost | $ 257 | 257 | |||
Net premiums on early retirement of debt | $ 0 | $ 0 | 1 | $ 0 | |
7.45% senior debentures due 2017 | |||||
Extinguishment of debt | $ 300 | $ 0 | |||
Debt Instrument, Interest Rate, Stated Percentage | 7.45% | 7.45% | |||
Subsequent Event [Member] | |||||
Extinguishment of debt | $ 400 | ||||
Minimum [Member] | Subsequent Event [Member] | |||||
Debt Instrument, Interest Rate, Stated Percentage | 6.38% | ||||
Maximum [Member] | Subsequent Event [Member] | |||||
Debt Instrument, Interest Rate, Stated Percentage | 10.25% |
Financing Activities (Detail Of
Financing Activities (Detail Of Debt Repayments) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Oct. 28, 2017 | Oct. 29, 2016 | |
Extinguishment of debt | $ 247 | |
Debt repaid | 554 | $ 174 |
seven point four five senior debentures due 2017 [Member] | ||
Extinguishment of debt | 300 | 0 |
7.45% Senior notes due 2016 [Member] | ||
Extinguishment of debt | 0 | 59 |
7.875% senior debentures [Member] | ||
Extinguishment of debt | 0 | 108 |
9.5% Amortizing Debentures due 2021 | ||
Extinguishment of debt | 4 | 4 |
9.75% Amortizing Debentures Due 2021 | ||
Extinguishment of debt | 2 | 2 |
Capital Lease and Other Long-Term Obligations [Member] | ||
Extinguishment of debt | 1 | 1 |
6.375% Senior Notes Due 2037 | ||
Extinguishment of debt | 135 | 0 |
6.9% senior debentures due 2032 | ||
Extinguishment of debt | 72 | 0 |
6.7% Senior Debentures Due 2034 | ||
Extinguishment of debt | 28 | 0 |
6.65% senior debentures due 2024 | ||
Extinguishment of debt | 4 | 0 |
6.9% senior debentures due 2029 | ||
Extinguishment of debt | 3 | 0 |
6.7% senior debentures due 2028 | ||
Extinguishment of debt | 3 | 0 |
7.0% senior debentures due 2028 | ||
Extinguishment of debt | $ 2 | $ 0 |
Benefit Plans (Net Periodic Ben
Benefit Plans (Net Periodic Benefit Cost) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 28, 2017 | Oct. 29, 2016 | Oct. 28, 2017 | Oct. 29, 2016 | |
Total Retirement Expense | $ 6 | $ 9 | $ 26 | $ 34 |
Settlement charges | 22 | 62 | 73 | 81 |
Nonqualified Plan [Member] | ||||
Defined contribution plans expense | 0 | 0 | 0 | 1 |
Qualified Plan [Member] | ||||
Defined contribution plans expense | 20 | 22 | 65 | 71 |
Pension Plan [Member] | ||||
Service cost | 1 | 1 | 4 | 3 |
Interest cost | 25 | 27 | 79 | 83 |
Expected return on assets | (55) | (56) | (168) | (170) |
Recognition of net actuarial (gain) loss | 8 | 7 | 24 | 22 |
Amortization of prior service credit | 0 | 0 | 0 | 0 |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | (21) | (21) | (61) | (62) |
Supplemental Employee Retirement Plan [Member] | ||||
Service cost | 0 | 0 | 0 | 0 |
Interest cost | 5 | 5 | 16 | 17 |
Recognition of net actuarial (gain) loss | 2 | 3 | 6 | 7 |
Amortization of prior service credit | 0 | 0 | 0 | 0 |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | 7 | 8 | 22 | 24 |
Other Postretirement Benefits Plan [Member] | ||||
Service cost | 0 | 0 | 0 | 0 |
Interest cost | 1 | 1 | 4 | 4 |
Recognition of net actuarial (gain) loss | (2) | (1) | (4) | (3) |
Amortization of prior service credit | 0 | 0 | 0 | 0 |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | $ (1) | $ 0 | $ 0 | $ 1 |
Fair Value Measurements (Financ
Fair Value Measurements (Financial Assets Measured At Fair Value On A Recurring and Nonrecurring Basis) (Details) - USD ($) $ in Millions | Oct. 28, 2017 | Oct. 29, 2016 |
Marketable equity and debt securities | $ 100 | $ 127 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Marketable equity and debt securities | 23 | 19 |
Significant Observable Inputs (Level 2) [Member] | ||
Marketable equity and debt securities | 77 | 108 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Marketable equity and debt securities | $ 0 | $ 0 |
Fair Value Measurements (Estima
Fair Value Measurements (Estimated Fair Value Of Company Long Term Debt) (Details) - USD ($) $ in Millions | Oct. 28, 2017 | Oct. 29, 2016 |
Long-term debt | $ 5,908 | $ 6,749 |
Carrying Amount | ||
Long-term debt | 6,297 | 6,536 |
Notional Amount | ||
Long-term debt | $ 6,206 | $ 6,459 |
Condensed Consolidating Finan27
Condensed Consolidating Financial Information (Condensed Consolidating Balance Sheet) (Details) - USD ($) $ in Millions | Oct. 28, 2017 | Jan. 28, 2017 | Oct. 29, 2016 | Jan. 30, 2016 |
Current Assets: | ||||
Cash and cash equivalents | $ 534 | $ 1,297 | $ 457 | $ 1,109 |
Receivables | 219 | 522 | 262 | |
Merchandise inventories | 7,065 | 5,399 | 7,587 | |
Income tax receivable | 0 | 0 | 60 | |
Prepaid expenses and other current assets | 432 | 408 | 454 | |
Total Current Assets | 8,250 | 7,626 | 8,820 | |
Property and Equipment - net | 6,742 | 7,017 | 7,149 | |
Goodwill | 3,897 | 3,897 | 3,897 | |
Other Intangible Assets - net | 491 | 498 | 499 | |
Other Assets | 835 | 813 | 909 | |
Deferred Income Taxes | 0 | 0 | 0 | |
Intercompany Receivable | 0 | 0 | 0 | |
Investment in Subsidiaries | 0 | 0 | 0 | |
Total Assets | 20,215 | 19,851 | 21,274 | |
Current Liabilities: | ||||
Short-term debt | 22 | 309 | 938 | |
Merchandise accounts payable | 3,173 | 1,423 | 3,375 | |
Accounts payable and accrued liabilities | 3,162 | 3,563 | 2,930 | |
Income taxes | 34 | 352 | 0 | |
Total Current Liabilities | 6,391 | 5,647 | 7,243 | |
Long-Term Debt | 6,297 | 6,562 | 6,563 | |
Intercompany Payable | 0 | 0 | 0 | |
Deferred Income Taxes | 1,553 | 1,443 | 1,548 | |
Other Liabilities | 1,750 | 1,877 | 2,129 | |
Shareholders' Equity, Macy's, Inc. | 4,231 | 4,323 | 3,789 | |
Shareholders' Equity, noncontrolling interest | (7) | (1) | 2 | |
Total Shareholders’ Equity | 4,224 | 4,322 | 3,791 | |
Total Liabilities and Shareholders' Equity | 20,215 | 19,851 | 21,274 | |
Parent | ||||
Current Assets: | ||||
Cash and cash equivalents | 116 | 938 | 60 | 741 |
Receivables | 0 | 0 | 0 | |
Merchandise inventories | 0 | 0 | 0 | |
Income tax receivable | 0 | 99 | ||
Prepaid expenses and other current assets | 0 | 0 | 0 | |
Total Current Assets | 116 | 938 | 159 | |
Property and Equipment - net | 0 | 0 | 0 | |
Goodwill | 0 | 0 | 0 | |
Other Intangible Assets - net | 0 | 0 | 0 | |
Other Assets | 1 | 0 | 1 | |
Deferred Income Taxes | 26 | 26 | 24 | |
Intercompany Receivable | 1,436 | 375 | 878 | |
Investment in Subsidiaries | 2,882 | 3,137 | 2,954 | |
Total Assets | 4,461 | 4,476 | 4,016 | |
Current Liabilities: | ||||
Short-term debt | 0 | 0 | 0 | |
Merchandise accounts payable | 0 | 0 | 0 | |
Accounts payable and accrued liabilities | 139 | 16 | 164 | |
Income taxes | 20 | 71 | 0 | |
Total Current Liabilities | 159 | 87 | 164 | |
Long-Term Debt | 0 | 0 | 0 | |
Intercompany Payable | 0 | 0 | 0 | |
Deferred Income Taxes | 0 | 0 | 0 | |
Other Liabilities | 71 | 66 | 63 | |
Shareholders' Equity, Macy's, Inc. | 4,231 | 4,323 | 3,789 | |
Shareholders' Equity, noncontrolling interest | 0 | 0 | 0 | |
Total Shareholders’ Equity | 4,231 | 4,323 | 3,789 | |
Total Liabilities and Shareholders' Equity | 4,461 | 4,476 | 4,016 | |
Subsidiary Issuer | ||||
Current Assets: | ||||
Cash and cash equivalents | 89 | 81 | 99 | 91 |
Receivables | 67 | 169 | 74 | |
Merchandise inventories | 3,218 | 2,565 | 3,621 | |
Income tax receivable | 2 | 0 | ||
Prepaid expenses and other current assets | 86 | 84 | 89 | |
Total Current Assets | 3,462 | 2,899 | 3,883 | |
Property and Equipment - net | 3,184 | 3,397 | 3,534 | |
Goodwill | 3,315 | 3,315 | 3,315 | |
Other Intangible Assets - net | 46 | 51 | 47 | |
Other Assets | 62 | 47 | 153 | |
Deferred Income Taxes | 0 | 0 | 0 | |
Intercompany Receivable | 0 | 0 | 0 | |
Investment in Subsidiaries | 3,644 | 3,540 | 3,173 | |
Total Assets | 13,713 | 13,249 | 14,105 | |
Current Liabilities: | ||||
Short-term debt | 6 | 306 | 935 | |
Merchandise accounts payable | 1,339 | 590 | 1,481 | |
Accounts payable and accrued liabilities | 975 | 1,064 | 910 | |
Income taxes | 0 | 16 | 3 | |
Total Current Liabilities | 2,320 | 1,976 | 3,329 | |
Long-Term Debt | 6,280 | 6,544 | 6,545 | |
Intercompany Payable | 3,407 | 2,803 | 2,754 | |
Deferred Income Taxes | 707 | 688 | 694 | |
Other Liabilities | 476 | 500 | 565 | |
Shareholders' Equity, Macy's, Inc. | 523 | 738 | 218 | |
Shareholders' Equity, noncontrolling interest | 0 | 0 | 0 | |
Total Shareholders’ Equity | 523 | 738 | 218 | |
Total Liabilities and Shareholders' Equity | 13,713 | 13,249 | 14,105 | |
Other Subsidiaries | ||||
Current Assets: | ||||
Cash and cash equivalents | 329 | 278 | 298 | 277 |
Receivables | 152 | 353 | 188 | |
Merchandise inventories | 3,847 | 2,834 | 3,966 | |
Income tax receivable | 0 | 0 | ||
Prepaid expenses and other current assets | 346 | 324 | 365 | |
Total Current Assets | 4,674 | 3,789 | 4,817 | |
Property and Equipment - net | 3,558 | 3,620 | 3,615 | |
Goodwill | 582 | 582 | 582 | |
Other Intangible Assets - net | 445 | 447 | 452 | |
Other Assets | 772 | 766 | 755 | |
Deferred Income Taxes | 0 | 0 | 0 | |
Intercompany Receivable | 1,971 | 2,428 | 1,876 | |
Investment in Subsidiaries | 0 | 0 | 0 | |
Total Assets | 12,002 | 11,632 | 12,097 | |
Current Liabilities: | ||||
Short-term debt | 16 | 3 | 3 | |
Merchandise accounts payable | 1,834 | 833 | 1,894 | |
Accounts payable and accrued liabilities | 2,048 | 2,483 | 1,856 | |
Income taxes | 16 | 265 | 36 | |
Total Current Liabilities | 3,914 | 3,584 | 3,789 | |
Long-Term Debt | 17 | 18 | 18 | |
Intercompany Payable | 0 | 0 | 0 | |
Deferred Income Taxes | 872 | 781 | 878 | |
Other Liabilities | 1,203 | 1,311 | 1,501 | |
Shareholders' Equity, Macy's, Inc. | 6,003 | 5,939 | 5,909 | |
Shareholders' Equity, noncontrolling interest | (7) | (1) | 2 | |
Total Shareholders’ Equity | 5,996 | 5,938 | 5,911 | |
Total Liabilities and Shareholders' Equity | 12,002 | 11,632 | 12,097 | |
Consolidation, Eliminations [Member] | ||||
Current Assets: | ||||
Cash and cash equivalents | 0 | 0 | 0 | $ 0 |
Receivables | 0 | 0 | 0 | |
Merchandise inventories | 0 | 0 | 0 | |
Income tax receivable | (2) | (39) | ||
Prepaid expenses and other current assets | 0 | 0 | 0 | |
Total Current Assets | (2) | 0 | (39) | |
Property and Equipment - net | 0 | 0 | 0 | |
Goodwill | 0 | 0 | 0 | |
Other Intangible Assets - net | 0 | 0 | 0 | |
Other Assets | 0 | 0 | 0 | |
Deferred Income Taxes | (26) | (26) | (24) | |
Intercompany Receivable | (3,407) | (2,803) | (2,754) | |
Investment in Subsidiaries | (6,526) | (6,677) | (6,127) | |
Total Assets | (9,961) | (9,506) | (8,944) | |
Current Liabilities: | ||||
Short-term debt | 0 | 0 | 0 | |
Merchandise accounts payable | 0 | 0 | 0 | |
Accounts payable and accrued liabilities | 0 | 0 | 0 | |
Income taxes | (2) | 0 | (39) | |
Total Current Liabilities | (2) | 0 | (39) | |
Long-Term Debt | 0 | 0 | 0 | |
Intercompany Payable | (3,407) | (2,803) | (2,754) | |
Deferred Income Taxes | (26) | (26) | (24) | |
Other Liabilities | 0 | 0 | 0 | |
Shareholders' Equity, Macy's, Inc. | (6,526) | (6,677) | (6,127) | |
Shareholders' Equity, noncontrolling interest | 0 | 0 | 0 | |
Total Shareholders’ Equity | (6,526) | (6,677) | (6,127) | |
Total Liabilities and Shareholders' Equity | $ (9,961) | $ (9,506) | $ (8,944) |
Condensed Consolidating Finan28
Condensed Consolidating Financial Information (Condensed Consolidating Statement of Operations) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 28, 2017 | Oct. 29, 2016 | Oct. 28, 2017 | Oct. 29, 2016 | |
Net sales | $ 5,281 | $ 5,626 | $ 16,171 | $ 17,263 |
Cost of sales | (3,175) | (3,386) | (9,794) | (10,370) |
Gross margin | 2,106 | 2,240 | 6,377 | 6,893 |
Selling, general and administrative expenses | (1,995) | (2,112) | (5,853) | (6,139) |
Gains on sale of real estate | 65 | 41 | 176 | 76 |
Impairments, restructuring and other costs | (33) | 0 | (33) | (249) |
Settlement charges | (22) | (62) | (73) | (81) |
Operating Income (Loss) | 121 | 107 | 594 | 500 |
Interest (expense) income, net | ||||
External | (74) | (81) | (237) | (276) |
Intercompany | 0 | 0 | 0 | 0 |
Net premiums on early retirement of debt | 0 | 0 | (1) | 0 |
Income (Loss) from Equity Method Investments | 0 | 0 | 0 | 0 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | 47 | 26 | 356 | 224 |
Federal, state and local income tax expense | (13) | (11) | (140) | (85) |
Net income (loss) | 34 | 15 | 216 | 139 |
Net loss attributable to noncontrolling interest | 2 | 2 | 6 | 5 |
Net income (loss) attributable to Macy's, Inc. shareholders | 36 | 17 | 222 | 144 |
Comprehensive income (loss) | 59 | 60 | 312 | 159 |
Comprehensive loss attributable to noncontrolling interest | 2 | 2 | 6 | 5 |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | 61 | 62 | 318 | 164 |
Parent | ||||
Net sales | 0 | 0 | 0 | 0 |
Cost of sales | 0 | 0 | 0 | 0 |
Gross margin | 0 | 0 | 0 | 0 |
Selling, general and administrative expenses | 0 | (1) | (1) | (2) |
Gains on sale of real estate | 0 | 0 | 0 | 0 |
Impairments, restructuring and other costs | 0 | 0 | 0 | |
Settlement charges | 0 | 0 | 0 | 0 |
Operating Income (Loss) | 0 | (1) | (1) | (2) |
Interest (expense) income, net | ||||
External | 1 | 1 | 4 | 2 |
Intercompany | 0 | 0 | 0 | 0 |
Net premiums on early retirement of debt | 0 | |||
Income (Loss) from Equity Method Investments | 35 | 17 | 220 | 144 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | 36 | 17 | 223 | 144 |
Federal, state and local income tax expense | 0 | 0 | (1) | 0 |
Net income (loss) | 36 | 17 | 222 | 144 |
Net loss attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Net income (loss) attributable to Macy's, Inc. shareholders | 36 | 17 | 222 | 144 |
Comprehensive income (loss) | 61 | 62 | 318 | 164 |
Comprehensive loss attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | 61 | 62 | 318 | 164 |
Subsidiary Issuer | ||||
Net sales | 2,077 | 2,376 | 6,319 | 7,324 |
Cost of sales | (1,391) | (1,577) | (4,126) | (4,704) |
Gross margin | 686 | 799 | 2,193 | 2,620 |
Selling, general and administrative expenses | (813) | (950) | (2,430) | (2,803) |
Gains on sale of real estate | 24 | 41 | 116 | 71 |
Impairments, restructuring and other costs | (1) | (1) | (184) | |
Settlement charges | (8) | (24) | (24) | (29) |
Operating Income (Loss) | (112) | (134) | (146) | (325) |
Interest (expense) income, net | ||||
External | (76) | (82) | (243) | (278) |
Intercompany | (34) | (51) | (102) | (166) |
Net premiums on early retirement of debt | (1) | |||
Income (Loss) from Equity Method Investments | (61) | (101) | (30) | (69) |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | (283) | (368) | (522) | (838) |
Federal, state and local income tax expense | 59 | 68 | 142 | 243 |
Net income (loss) | (224) | (300) | (380) | (595) |
Net loss attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Net income (loss) attributable to Macy's, Inc. shareholders | (224) | (300) | (380) | (595) |
Comprehensive income (loss) | (201) | (255) | (290) | (575) |
Comprehensive loss attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | (201) | (255) | (290) | (575) |
Other Subsidiaries | ||||
Net sales | 5,861 | 6,183 | 15,727 | 16,546 |
Cost of sales | (4,441) | (4,742) | (11,543) | (12,273) |
Gross margin | 1,420 | 1,441 | 4,184 | 4,273 |
Selling, general and administrative expenses | (1,182) | (1,161) | (3,422) | (3,334) |
Gains on sale of real estate | 41 | 0 | 60 | 5 |
Impairments, restructuring and other costs | (32) | (32) | (65) | |
Settlement charges | (14) | (38) | (49) | (52) |
Operating Income (Loss) | 233 | 242 | 741 | 827 |
Interest (expense) income, net | ||||
External | 1 | 0 | 2 | 0 |
Intercompany | 34 | 51 | 102 | 166 |
Net premiums on early retirement of debt | 0 | |||
Income (Loss) from Equity Method Investments | 0 | 0 | 0 | 0 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | 268 | 293 | 845 | 993 |
Federal, state and local income tax expense | (72) | (79) | (281) | (328) |
Net income (loss) | 196 | 214 | 564 | 665 |
Net loss attributable to noncontrolling interest | 2 | 2 | 6 | 5 |
Net income (loss) attributable to Macy's, Inc. shareholders | 198 | 216 | 570 | 670 |
Comprehensive income (loss) | 212 | 241 | 627 | 677 |
Comprehensive loss attributable to noncontrolling interest | 2 | 2 | 6 | 5 |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | 214 | 243 | 633 | 682 |
Consolidation, Eliminations [Member] | ||||
Net sales | (2,657) | (2,933) | (5,875) | (6,607) |
Cost of sales | 2,657 | 2,933 | 5,875 | 6,607 |
Gross margin | 0 | 0 | 0 | 0 |
Selling, general and administrative expenses | 0 | 0 | 0 | 0 |
Gains on sale of real estate | 0 | 0 | 0 | 0 |
Impairments, restructuring and other costs | 0 | 0 | 0 | |
Settlement charges | 0 | 0 | 0 | 0 |
Operating Income (Loss) | 0 | 0 | 0 | 0 |
Interest (expense) income, net | ||||
External | 0 | 0 | 0 | 0 |
Intercompany | 0 | 0 | 0 | 0 |
Net premiums on early retirement of debt | 0 | |||
Income (Loss) from Equity Method Investments | 26 | 84 | (190) | (75) |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | 26 | 84 | (190) | (75) |
Federal, state and local income tax expense | 0 | 0 | 0 | 0 |
Net income (loss) | 26 | 84 | (190) | (75) |
Net loss attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Net income (loss) attributable to Macy's, Inc. shareholders | 26 | 84 | (190) | (75) |
Comprehensive income (loss) | (13) | 12 | (343) | (107) |
Comprehensive loss attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | $ (13) | $ 12 | $ (343) | $ (107) |
Condensed Consolidating Finan29
Condensed Consolidating Financial Information (Condensed Consolidating Statement of Cash Flows) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 28, 2017 | Oct. 29, 2016 | Oct. 28, 2017 | Oct. 29, 2016 | |
Cash flows from operating activities: | ||||
Net income (loss) | $ 34 | $ 15 | $ 216 | $ 139 |
Impairments, restructuring and other costs | 33 | 249 | ||
Settlement charges | 73 | 81 | ||
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Dividends received from subsidiaries | 0 | 0 | ||
Depreciation and amortization | 741 | 787 | ||
(Increase) decrease in working capital | (650) | (959) | ||
Other, net | (24) | 11 | ||
Net cash provided (used) by operating activities | 389 | 308 | ||
Cash flows from investing activities: | ||||
Purchase of property and equipment and capitalized software, net | (338) | (543) | ||
Other, net | (8) | 52 | ||
Net cash used by investing activities | (346) | (491) | ||
Cash flows from financing activities: | ||||
Debt repaid | (554) | (123) | ||
Dividends paid | (346) | (344) | ||
(Common stock acquired) net of issuance of common stock | 2 | (199) | ||
Proceeds from noncontrolling interest | 13 | 7 | ||
Intercompany activity, net | 0 | 0 | ||
Other, net | 79 | 190 | ||
Net cash provided (used) by financing activities | (806) | (469) | ||
Net increase (decrease) in cash and cash equivalents | (763) | (652) | ||
Cash and cash equivalents beginning of period | 1,297 | 1,109 | ||
Cash and cash equivalents end of period | 534 | 457 | 534 | 457 |
Parent | ||||
Cash flows from operating activities: | ||||
Net income (loss) | 36 | 17 | 222 | 144 |
Impairments, restructuring and other costs | 0 | 0 | ||
Settlement charges | 0 | 0 | ||
Equity in earnings of subsidiaries | (35) | (17) | (220) | (144) |
Dividends received from subsidiaries | 571 | 535 | ||
Depreciation and amortization | 0 | 0 | ||
(Increase) decrease in working capital | (52) | (59) | ||
Other, net | 8 | 19 | ||
Net cash provided (used) by operating activities | 529 | 495 | ||
Cash flows from investing activities: | ||||
Purchase of property and equipment and capitalized software, net | 0 | 0 | ||
Other, net | 0 | 0 | ||
Net cash used by investing activities | 0 | 0 | ||
Cash flows from financing activities: | ||||
Debt repaid | 0 | 0 | ||
Dividends paid | (346) | (344) | ||
(Common stock acquired) net of issuance of common stock | 2 | (199) | ||
Proceeds from noncontrolling interest | 0 | 0 | ||
Intercompany activity, net | (1,016) | (642) | ||
Other, net | 9 | 9 | ||
Net cash provided (used) by financing activities | (1,351) | (1,176) | ||
Net increase (decrease) in cash and cash equivalents | (822) | (681) | ||
Cash and cash equivalents beginning of period | 938 | 741 | ||
Cash and cash equivalents end of period | 116 | 60 | 116 | 60 |
Subsidiary Issuer | ||||
Cash flows from operating activities: | ||||
Net income (loss) | (224) | (300) | (380) | (595) |
Impairments, restructuring and other costs | 1 | 184 | ||
Settlement charges | 24 | 29 | ||
Equity in earnings of subsidiaries | 61 | 101 | 30 | 69 |
Dividends received from subsidiaries | 0 | 575 | ||
Depreciation and amortization | 265 | 298 | ||
(Increase) decrease in working capital | 35 | (572) | ||
Other, net | 2 | (36) | ||
Net cash provided (used) by operating activities | (23) | (48) | ||
Cash flows from investing activities: | ||||
Purchase of property and equipment and capitalized software, net | 30 | (23) | ||
Other, net | 2 | 47 | ||
Net cash used by investing activities | 32 | 24 | ||
Cash flows from financing activities: | ||||
Debt repaid | (553) | (122) | ||
Dividends paid | 0 | 0 | ||
(Common stock acquired) net of issuance of common stock | 0 | 0 | ||
Proceeds from noncontrolling interest | 0 | 0 | ||
Intercompany activity, net | 584 | 158 | ||
Other, net | (32) | (4) | ||
Net cash provided (used) by financing activities | (1) | 32 | ||
Net increase (decrease) in cash and cash equivalents | 8 | 8 | ||
Cash and cash equivalents beginning of period | 81 | 91 | ||
Cash and cash equivalents end of period | 89 | 99 | 89 | 99 |
Other Subsidiaries | ||||
Cash flows from operating activities: | ||||
Net income (loss) | 196 | 214 | 564 | 665 |
Impairments, restructuring and other costs | 32 | 65 | ||
Settlement charges | 49 | 52 | ||
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Dividends received from subsidiaries | 0 | 0 | ||
Depreciation and amortization | 476 | 489 | ||
(Increase) decrease in working capital | (633) | (328) | ||
Other, net | (34) | 28 | ||
Net cash provided (used) by operating activities | 454 | 971 | ||
Cash flows from investing activities: | ||||
Purchase of property and equipment and capitalized software, net | (368) | (520) | ||
Other, net | (10) | 5 | ||
Net cash used by investing activities | (378) | (515) | ||
Cash flows from financing activities: | ||||
Debt repaid | (1) | (1) | ||
Dividends paid | (571) | (1,110) | ||
(Common stock acquired) net of issuance of common stock | 0 | 0 | ||
Proceeds from noncontrolling interest | 13 | 7 | ||
Intercompany activity, net | 432 | 484 | ||
Other, net | 102 | 185 | ||
Net cash provided (used) by financing activities | (25) | (435) | ||
Net increase (decrease) in cash and cash equivalents | 51 | 21 | ||
Cash and cash equivalents beginning of period | 278 | 277 | ||
Cash and cash equivalents end of period | 329 | 298 | 329 | 298 |
Consolidating Adjustments | ||||
Cash flows from operating activities: | ||||
Net income (loss) | 26 | 84 | (190) | (75) |
Impairments, restructuring and other costs | 0 | 0 | ||
Settlement charges | 0 | 0 | ||
Equity in earnings of subsidiaries | (26) | (84) | 190 | 75 |
Dividends received from subsidiaries | (571) | (1,110) | ||
Depreciation and amortization | 0 | 0 | ||
(Increase) decrease in working capital | 0 | 0 | ||
Other, net | 0 | 0 | ||
Net cash provided (used) by operating activities | (571) | (1,110) | ||
Cash flows from investing activities: | ||||
Purchase of property and equipment and capitalized software, net | 0 | 0 | ||
Other, net | 0 | 0 | ||
Net cash used by investing activities | 0 | 0 | ||
Cash flows from financing activities: | ||||
Debt repaid | 0 | 0 | ||
Dividends paid | 571 | 1,110 | ||
(Common stock acquired) net of issuance of common stock | 0 | 0 | ||
Proceeds from noncontrolling interest | 0 | 0 | ||
Intercompany activity, net | 0 | 0 | ||
Other, net | 0 | 0 | ||
Net cash provided (used) by financing activities | 571 | 1,110 | ||
Net increase (decrease) in cash and cash equivalents | 0 | 0 | ||
Cash and cash equivalents beginning of period | 0 | 0 | ||
Cash and cash equivalents end of period | $ 0 | $ 0 | $ 0 | $ 0 |