Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Jan. 28, 2023 | Mar. 20, 2023 | Jul. 30, 2022 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Document Period End Date | Jan. 28, 2023 | ||
Entity File Number | 1-10299 | ||
Entity Registrant Name | FOOT LOCKER, INC. | ||
Entity Incorporation, State or Country Code | NY | ||
Entity Tax Identification Number | 13-3513936 | ||
Entity Address, Address Line One | 330 West 34th Street | ||
Entity Address, City or Town | New York | ||
Entity Address, State or Province | NY | ||
Entity Address, Postal Zip Code | 10001 | ||
City Area Code | 212 | ||
Local Phone Number | 720-3700 | ||
Title of 12(b) Security | Common Stock, par value $0.01 | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 1,323,542,801 | ||
Entity Common Stock, Shares Outstanding | 93,429,371 | ||
Entity Central Index Key | 0000850209 | ||
Current Fiscal Year End Date | --01-28 | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Trading Symbol | FL | ||
Entity Interactive Data Current | Yes | ||
ICFR Auditor Attestation Flag | true | ||
Auditor Name | KPMG LLP | ||
Auditor Firm ID | 185 | ||
Auditor Location | New York, NY | ||
Document Annual Report | true | ||
Document Transition Report | false |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Total revenue | $ 8,759 | $ 8,968 | $ 7,554 |
Cost of sales | 5,955 | 5,878 | 5,365 |
Selling, general and administrative expenses | 1,903 | 1,851 | 1,587 |
Depreciation and amortization | 208 | 197 | 176 |
Impairment and other charges | 112 | 172 | 117 |
Income from operations | 581 | 870 | 309 |
Interest (expense) income, net | (15) | (14) | (7) |
Other (expense) / income, net | (42) | 384 | 192 |
Income from continuing operations before income taxes | 524 | 1,240 | 494 |
Income tax expense | 180 | 348 | 171 |
Net income from continuing operations | 344 | 892 | 323 |
Net loss from discontinued operations, net of tax | (3) | ||
Net Income | 341 | 892 | 323 |
Net loss attributable to noncontrolling interests | 1 | 1 | |
Net income attributable to Foot Locker, Inc. | $ 342 | $ 893 | $ 323 |
Basic earnings per share | |||
Earnings per share from continuing operations attributable to Foot Locker, Inc. | $ 3.66 | $ 8.72 | $ 3.10 |
Net loss per share from discontinued operations, net of tax | (0.04) | ||
Net earnings per share attributable to Foot Locker, Inc. | $ 3.62 | $ 8.72 | $ 3.10 |
Weighted-average shares outstanding | 94.3 | 102.5 | 104.3 |
Diluted earnings per share | |||
Earnings per share from continuing operations attributable to Foot Locker, Inc. | $ 3.62 | $ 8.61 | $ 3.08 |
Net loss per share from discontinued operations, net of tax | (0.04) | ||
Net earnings per share attributable to Foot Locker, Inc. | $ 3.58 | $ 8.61 | $ 3.08 |
Weighted-average shares outstanding, assuming dilution | 95.5 | 103.8 | 105.1 |
Sales | |||
Total revenue | $ 8,747 | $ 8,958 | $ 7,548 |
Licensing Revenue | |||
Total revenue | $ 12 | $ 10 | $ 6 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | |||
Net income attributable to Foot Locker, Inc. | $ 342 | $ 893 | $ 323 |
Foreign currency translation adjustment: | |||
Translation adjustment arising during the period, net of income tax (benefit)/expense of $-, $(1), and $3, respectively | (41) | (43) | 40 |
Cash flow hedges: | |||
Change in fair value of derivatives, net of income tax benefit of $-, $-, and $-, respectively | (3) | 1 | 2 |
Pension and postretirement adjustments: | |||
Net actuarial gain (loss) and foreign currency fluctuations arising during the year, net of income tax expense/(benefit) of $(4), $8, and $4, respectively | (12) | 23 | 13 |
Amortization of net actuarial gain/loss and prior service cost included in net periodic benefit costs, net of income tax expense of $3, $3, and $3, respectively | 7 | 7 | 8 |
Comprehensive income (loss) | $ 293 | $ 881 | $ 386 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | |||
Net income tax benefit on translation adjustment | $ 0 | $ (1) | $ 3 |
Change in fair value of derivatives, income tax benefit | 0 | 0 | 0 |
Net actuarial gain (loss) and foreign currency fluctuations arising during the year, income tax expense (benefit) | (4) | 8 | 4 |
Amortization of net actuarial gain/loss and prior service cost included in net periodic benefit costs, income tax expense | $ 3 | $ 3 | $ (3) |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 536 | $ 804 |
Merchandise inventories | 1,643 | 1,266 |
Other current assets | 342 | 293 |
Assets, current, total | 2,521 | 2,363 |
Property and equipment, net | 920 | 917 |
Operating lease right-of-use assets | 2,443 | 2,616 |
Deferred taxes | 90 | 86 |
Goodwill | 785 | 797 |
Other intangible assets, net | 426 | 454 |
Minority investments | 630 | 781 |
Other assets | 92 | 121 |
Total assets | 7,907 | 8,135 |
Current liabilities: | ||
Accounts payable | 492 | 596 |
Accrued and other liabilities | 568 | 561 |
Current portion of obligations under finance leases | 6 | 6 |
Operating lease liabilities classified as current | 544 | 572 |
Liabilities, current, total | 1,610 | 1,735 |
Long-term debt and obligations under finance leases | 446 | 451 |
Long-term lease obligations | 2,230 | 2,363 |
Other liabilities | 328 | 343 |
Total liabilities | 4,614 | 4,892 |
Shareholders' equity: | ||
Common stock and paid-in capital: 93,396,901 and 99,070,796 shares issued, respectively | 760 | 770 |
Retained earnings | 2,925 | 2,900 |
Accumulated other comprehensive loss | (392) | (343) |
Less: Treasury stock at cost:1,489 and 2,050,000 shares, respectively | (88) | |
Noncontrolling interest | 4 | |
Total shareholders' equity | 3,293 | 3,243 |
Liabilities and equity, total | $ 7,907 | $ 8,135 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - shares | Jan. 28, 2023 | Jan. 29, 2022 |
CONSOLIDATED BALANCE SHEETS [Abstract] | ||
Common stock, issued | 93,396,901 | 99,070,796 |
Treasury stock, shares | 1,489 | 2,050,000 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Millions | Additional Paid-In Capital & Common Stock | Treasury Stock [Member] | Retained Earnings | Accumulated Other Comprehensive Loss [Member] | Noncontrolling Interest [Member] | Total |
Cumulative effect of the adoption new ASUs | $ 764 | $ 2,103 | $ (394) | $ 2,473 | ||
Beginning Balance at Feb. 01, 2020 | $ 764 | 2,103 | (394) | 2,473 | ||
Beginning Balance (in shares) at Feb. 01, 2020 | 104,188,000 | |||||
Restricted stock issued (in shares) | 121,000 | |||||
Issued under director and stock plans | $ 7 | 7 | ||||
Issued under director and stock plans (in shares) | 297,000 | |||||
Share-based compensation expense | $ 15 | 15 | ||||
Shares of common stock used to satisfy tax withholding obligations | $ (1) | (1) | ||||
Shares of common stock used to satisfy tax withholding obligations (in shares) | (41,000) | |||||
Share repurchases | $ (37) | (37) | ||||
Share repurchases (in shares) | (969,000) | |||||
Reissued - employee stock purchase plan | $ 1 | 1 | ||||
Reissued - employee stock purchase plan (in shares) | 23,000 | |||||
Retirement of treasury stock | $ (7) | $ 34 | (27) | |||
Retirement of treasury stock (in shares) | 913,000 | 913,000 | ||||
Net income | 323 | 323 | ||||
Cash dividends declared on common stock | (73) | (73) | ||||
Translation adjustment, net of tax | 40 | 40 | ||||
Change in cash flow hedges, net of tax | 2 | 2 | ||||
Noncontrolling interest acquired | $ 5 | 5 | ||||
Pension and postretirement adjustments, net of tax | 21 | 21 | ||||
Ending Balance at Jan. 30, 2021 | $ 779 | $ (3) | 2,326 | (331) | 5 | 2,776 |
Ending Balance (in shares) at Jan. 30, 2021 | 103,693,000 | |||||
Ending Balance (in treasury shares) at Jan. 30, 2021 | (74,000) | |||||
Cumulative effect of the adoption new ASUs | $ 779 | $ (3) | 2,326 | (331) | 5 | 2,776 |
Restricted stock issued (in shares) | 499,000 | |||||
Issued under director and stock plans | $ 11 | 11 | ||||
Issued under director and stock plans (in shares) | 353,000 | |||||
Share-based compensation expense | $ 29 | 29 | ||||
Shares of common stock used to satisfy tax withholding obligations | $ (11) | (11) | ||||
Shares of common stock used to satisfy tax withholding obligations (in shares) | (205,000) | |||||
Share repurchases | $ (348) | (348) | ||||
Share repurchases (in shares) | (7,546,000) | |||||
Reissued - employee stock purchase plan | (7) | $ 14 | $ 7 | |||
Reissued - employee stock purchase plan (in shares) | 301,000 | |||||
Retirement of treasury stock | $ (42) | $ 260 | (218) | |||
Retirement of treasury stock (in shares) | 5,474,000 | 5,474,000 | 5,474,288 | |||
Net income | 893 | (1) | $ 892 | |||
Net loss attributable to noncontrolling interests | (1) | |||||
Cash dividends declared on common stock | (101) | (101) | ||||
Translation adjustment, net of tax | (43) | (43) | ||||
Change in cash flow hedges, net of tax | 1 | 1 | ||||
Pension and postretirement adjustments, net of tax | 30 | 30 | ||||
Ending Balance at Jan. 29, 2022 | $ 770 | $ (88) | 2,900 | (343) | 4 | $ 3,243 |
Ending Balance (in shares) at Jan. 29, 2022 | 99,070,796 | |||||
Ending Balance (in shares) at Jan. 29, 2022 | 99,071,000 | |||||
Ending Balance (in treasury shares) at Jan. 29, 2022 | (2,050,000) | (2,050,000) | ||||
Cumulative effect of the adoption new ASUs | $ 770 | $ (88) | 2,900 | (343) | 4 | $ 3,243 |
Restricted stock issued (in shares) | 117,000 | |||||
Issued under director and stock plans | $ 7 | 7 | ||||
Issued under director and stock plans (in shares) | 228,000 | |||||
Share-based compensation expense | $ 31 | 31 | ||||
Shares of common stock used to satisfy tax withholding obligations | $ (1) | (1) | ||||
Shares of common stock used to satisfy tax withholding obligations (in shares) | (40,000) | |||||
Share repurchases | $ (129) | (129) | ||||
Share repurchases (in shares) | (4,050,000) | |||||
Reissued - employee stock purchase plan | (2) | $ 5 | 3 | |||
Reissued - employee stock purchase plan (in shares) | 120,000 | |||||
Retirement of treasury stock | $ (46) | $ 213 | (167) | |||
Retirement of treasury stock (in shares) | 6,019,000 | 6,019,212 | ||||
Termination of joint ventures | (3) | (3) | ||||
Net income | 342 | $ (1) | 341 | |||
Net loss attributable to noncontrolling interests | (1) | |||||
Cash dividends declared on common stock | (150) | (150) | ||||
Translation adjustment, net of tax | (41) | (41) | ||||
Change in cash flow hedges, net of tax | (3) | (3) | ||||
Pension and postretirement adjustments, net of tax | (5) | (5) | ||||
Ending Balance at Jan. 28, 2023 | $ 760 | 2,925 | (392) | $ 3,293 | ||
Ending Balance (in shares) at Jan. 28, 2023 | 93,396,901 | |||||
Ending Balance (in shares) at Jan. 28, 2023 | 93,397,000 | |||||
Ending Balance (in treasury shares) at Jan. 28, 2023 | (1,000) | (1,489) | ||||
Cumulative effect of the adoption new ASUs | $ 760 | $ 2,925 | $ (392) | $ 3,293 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividends declared on common stock, per share | $ 1.60 | $ 1 | $ 0.70 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
From operating activities: | |||
Net income | $ 341 | $ 892 | $ 323 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Non-cash impairment and other charges | 67 | 148 | 97 |
Fair value adjustments to minority investments | 61 | (367) | (190) |
Fair value change in contingent consideration | (31) | ||
Depreciation and amortization | 208 | 197 | 176 |
Deferred income taxes | 21 | 74 | (9) |
Share-based compensation expense | 31 | 29 | 15 |
Gain on disposal of business | (19) | ||
Change in assets and liabilities: | |||
Merchandise inventories | (397) | (259) | 294 |
Accounts payable | (101) | 161 | 60 |
Accrued and other liabilities | (1) | 1 | 140 |
Pension litigation accrual | 10 | ||
Other, net | (7) | (220) | 156 |
Net cash (used in) provided by operating activities | 173 | 666 | 1,062 |
From investing activities: | |||
Capital expenditures | (285) | (209) | (159) |
Purchase of business, net of cash acquired | (14) | (1,056) | |
Minority investments | (5) | (118) | (9) |
Proceeds from sale of business | 47 | ||
Proceeds from minority investments | 95 | ||
Proceeds from sale of property | 3 | ||
Insurance proceeds related to loss on property and equipment | 4 | ||
Net cash used in investing activities | (162) | (1,376) | (168) |
From financing activities: | |||
Proceeds from debt issuance, net | 395 | ||
Payment of debt issuance costs | (2) | (4) | |
Proceeds from the revolving credit facility | 330 | ||
Repayment of the revolving credit facility | (330) | ||
Purchase of treasury shares | (129) | (348) | (37) |
Dividends paid on common stock | (150) | (101) | (73) |
Payment of long-term debt and obligations under finance leases | (6) | (102) | (23) |
Shares of common stock repurchased to satisfy tax withholding obligations | (1) | (11) | (1) |
Treasury stock reissued under employee stock plan | 3 | 7 | |
Proceeds from common stock issued under employee stock plans | 2 | ||
Proceeds from exercise of stock options | 6 | 10 | 4 |
(Purchase of) non-controlling interest | (2) | ||
Contribution from non-controlling interest | 6 | ||
Net cash used in financing activities | (279) | (152) | (126) |
Effect of exchange rate fluctuations on cash, cash equivalents, and restricted cash | (6) | 8 | |
Net change in cash, cash equivalents, and restricted cash | (268) | (868) | 776 |
Cash, cash equivalents, and restricted cash at beginning of year | 850 | 1,718 | 942 |
Cash, cash equivalents, and restricted cash at end of period | 582 | 850 | 1,718 |
Cash paid during the year: | |||
Interest | 17 | 11 | 14 |
Income taxes | 153 | 387 | 100 |
Cash paid for amounts included in measurement of operating lease liabilities: | 704 | 790 | 626 |
Cash paid for amounts included in measurement of finance lease liabilities | 9 | 5 | 1 |
Non-cash investing and financing activities: | |||
Right-of-use assets obtained in exchange for lease obligations: | $ 458 | 417 | 331 |
Assets obtained in exchange for finance lease obligations | $ 4 | $ 11 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Jan. 28, 2023 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies Basis of Presentation The consolidated financial statements include the accounts of Foot Locker, Inc. and its domestic and international subsidiaries, as well as any entities in which we have a controlling voting interest that are required to be consolidated. All significant intercompany amounts have been eliminated. As used in these Notes to Consolidated Financial Statements the terms “Foot Locker,” “Company,” “we,” “our,” and “us” refer to Foot Locker, Inc. and its consolidated subsidiaries. The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates. Certain reclassifications have been made to prior period financial statements to conform to the current period presentation. Effective in 2022, we separately present licensing revenue in the Consolidated Statements of Operations as a component of total revenue. Previously, licensing revenue was presented within other income / (expense), net. Reporting Year Our fiscal year end is a 52-week or 53-week period ending the Saturday closest to the last day in January. Fiscal year 2022, 2021, and 2020 represented the 52 weeks ended January 28, 2023, January 29, 2022, and February 1, 2020, respectively. References to years in this annual report relate to fiscal years rather than calendar years. Revenue Recognition Store revenue is recognized at the point of sale and includes merchandise, net of returns, and excludes taxes. Revenue from layaway sales is recognized when the customer receives the product, rather than when the initial deposit is paid. We recognize revenue for merchandise that is shipped to our customers from our distribution centers and stores upon shipment as the customer has control of the product upon shipment. We account for shipping and handling as a fulfillment activity. We accrue the cost and recognize revenue for these activities upon shipment date, therefore total sales recognized includes shipping and handling fees. We have license agreements with unaffiliated third-party operators located in the Middle East and Asia. The agreements are largely structured with royalty income paid as a percentage of sales for the use of our trademarks, trade name and branding. We record licensing revenue based upon sales estimates for the current period from the third-party operators. Gift Cards We sell gift cards which do not have expiration dates. Revenue from gift card sales is recorded when the gift cards are redeemed by customers. Gift card breakage is recognized as revenue in proportion to the pattern of rights exercised by the customer, unless there is a legal obligation to remit the value of unredeemed gift cards to the relevant jurisdictions. Advertising Costs and Sales Promotion Advertising and sales promotion costs are expensed at the time the advertising or promotion takes place, net of reimbursements for cooperative advertising. Cooperative advertising reimbursements earned for the launch and promotion of certain products agreed upon with vendors are recorded in the same period as the associated expenses are incurred. Digital advertising costs are expensed as incurred, net of reimbursements for cooperative advertising. Digital advertising includes search engine marketing, such as display ads and keyword search terms, and other various forms of digital advertising. Reimbursements received in excess of expenses incurred related to specific, incremental, and identifiable advertising costs are accounted for as a reduction to the cost of merchandise and are reflected in cost of sales when the merchandise is sold. 1. Summary of Significant Accounting Policies (continued) Advertising costs, including digital advertising, which are included as a component of SG&A, were as follows: ($ in millions) 2022 2021 2020 Advertising expenses $ 135 $ 113 $ 69 Digital advertising expenses 87 110 89 Cooperative advertising reimbursements (37) (29) (14) Net advertising expense $ 185 $ 194 $ 144 Share-Based Compensation We recognize compensation expense for share-based awards based on the grant date fair value of those awards. We use the Black-Scholes option-pricing model to determine the fair value of stock options, which requires the input of subjective assumptions regarding the expected term, expected volatility, and risk-free interest rate. See Note 22, Share-Based Compensation, for information on the assumptions used to calculate the fair value of stock options. Share-based compensation expense is recognized on a straight-line basis over the requisite service period for each vesting tranche of the award. Upon exercise of stock options, issuance of restricted stock or units, or issuance of shares under the employee stock purchase plan, we will issue authorized but unissued common stock or use common stock held in treasury. Awards of restricted stock units cliff vest after the passage of time, generally three years . Performance stock unit awards are earned only after the attainment of performance goals in connection with the relevant performance period and vest after an additional one-year period. PSU awards granted in 2022 also include a performance objective based on our relative total shareholder return over the performance period to a pre-determined peer group, assuming the reinvestment of dividends. The fair value of these awards is determined using a Monte Carlo simulation as of the date of the grant and share-based compensation expense will not be adjusted should the target awards vary from actual awards. Earnings Per Share We account for earnings per share (“EPS”) using the treasury stock method. Basic EPS is computed by dividing net income for the period by the weighted-average number of common shares outstanding at the end of the period. Diluted EPS reflects the weighted-average number of common shares outstanding during the period used in the basic EPS computation plus dilutive common stock equivalents. The computation of basic and diluted EPS is as follows: (in millions, except per share data) 2022 2021 2020 Income from continuing operations $ 344 $ 892 $ 323 Net loss attributable to noncontrolling interests 1 1 — Income from continuing operations attributable to Foot Locker, Inc. 345 893 323 Net loss from discontinued operations, net of tax (3) — — Net income attributable to Foot Locker, Inc. $ 342 $ 893 $ 323 Weighted-average common shares outstanding 94.3 102.5 104.3 Dilutive effect of potential common shares 1.2 1.3 0.8 Weighted-average common shares outstanding assuming dilution 95.5 103.8 105.1 1. Summary of Significant Accounting Policies (continued) (in millions, except per share data) 2022 2021 2020 Basic earnings per share Earnings per share from continuing operations attributable to Foot Locker, Inc. $ 3.66 $ 8.72 $ 3.10 Net loss per share from discontinued operations, net of tax (0.04) — — Net earnings per share attributable to Foot Locker, Inc. $ 3.62 $ 8.72 $ 3.10 Diluted earnings per share Earnings per share from continuing operations attributable to Foot Locker, Inc. $ 3.62 $ 8.61 $ 3.08 Net loss per share from discontinued operations, net of tax (0.04) — — Net earnings per share attributable to Foot Locker, Inc. $ 3.58 $ 8.61 $ 3.08 Anti-dilutive share-based awards excluded from diluted calculation 2.7 1.8 2.5 Performance stock units related to our long-term incentive programs of 0.4 million for 2022, 0.4 million for 2021, and 0.4 million for 2020, have been excluded from diluted weighted-average shares. The issuance of these shares are contingent on our performance metrics as compared to the pre-established performance goals, which have not been achieved. Cash, Cash Equivalents, and Restricted Cash Cash consists of funds held on hand and in bank accounts. Cash equivalents include amounts on demand with banks and all highly liquid investments with original maturities of three months or less, including money market funds. Additionally, amounts due from third-party credit card processors for the settlement of debit and credit card transactions are included as cash equivalents as they are generally collected within three business days. We present book overdrafts, representing checks issued but still outstanding in excess of bank balances, as part of accounts payable. Restricted cash represents cash that is restricted as to withdrawal or use under the terms of various agreements. Restricted cash includes amounts held in escrow in connection with various leasing arrangements in Europe, and deposits held in insurance trusts to satisfy the requirement to collateralize part of the self-insured workers’ compensation and liability claims. The following table provides the reconciliation of cash, cash equivalents, and restricted cash, as reported on our consolidated statements of cash flows: January 28, January 29, January 30, ($ in millions) 2023 2022 2021 Cash and cash equivalents (1) $ 536 $ 804 $ 1,680 Restricted cash included in other current assets 13 8 8 Restricted cash included in other non-current assets 33 38 30 Cash, cash equivalents, and restricted cash $ 582 $ 850 $ 1,718 (1) Includes cash equivalents of $41 million, $48 million, and $503 million for the years ended January 28, 2023, January 29, 2022, and February 1, 2020, respectively. 1. Summary of Significant Accounting Policies (continued) Merchandise Inventories and Cost of Sales Merchandise inventories are valued at the lower of cost or market using the retail inventory method, except for WSS and atmos. Cost is determined on the last-in, first-out (“LIFO”) basis for domestic inventories and on the first-in, first-out (“FIFO”) basis for international inventories. Merchandise inventories for our WSS and atmos businesses are valued at its net realizable value using the weighted average method. Cost is determined on the FIFO basis. The retail inventory method is used by retail companies to value inventories at cost and calculate gross margins due to its practicality. Under the retail inventory method, cost is determined by applying a cost-to-retail percentage across groupings of similar items, known as departments. The cost-to-retail percentage is applied to ending inventory at its current owned retail valuation to determine the cost of ending inventory on a department basis. We provide reserves based on current selling prices when the inventory has not been marked down to market. Transportation, distribution center, and sourcing costs are capitalized in merchandise inventories. We expense the freight associated with transfers between our store locations in the period incurred. We maintain an accrual for shrinkage based on historical rates. Cost of sales is comprised of the cost of merchandise, as well as occupancy, buyers’ compensation, and shipping and handling costs. The cost of merchandise is recorded net of amounts received from suppliers for damaged product returns, markdown allowances, and volume rebates, as well as cooperative advertising reimbursements received in excess of specific, incremental advertising expenses. Minority Investments We use the equity method to account for investments in which we have the ability to exercise significant influence over the investee’s operating and financial policies, or in which we hold a partnership or limited liability company interest in an entity with specific ownership accounts, unless we have virtually no influence over the investee’s operating and financial policies. As of January 28, 2023 and January 29, 2022, we had $51 million and $56 million, respectively, of investments which are accounted for under the equity method. Our investments that are not accounted for under the equity method are measured either at cost, adjusted for changes in observable prices minus impairment under the practicability exception, or at fair value for our investment in the common stock of an entity that is publicly traded. As of January 28, 2023 and January 29, 2022, we had $579 million and $725 million, respectively, of investments which are accounted for under these methods. Property and Equipment Property and equipment are recorded at cost, less accumulated depreciation and amortization. Significant additions and improvements to property and equipment are capitalized. Major renewals or replacements that substantially extend the useful life of an asset are capitalized. Maintenance and repairs are expensed as incurred. Depreciation and amortization are computed on a straight-line basis over the following estimated useful lives: Buildings Maximum of 50 years Store leasehold improvements Shorter of the asset useful life or expected term of the lease Furniture, fixtures, and equipment 3 ‑ 10 years Software 2 ‑ 5 years 1. Summary of Significant Accounting Policies (continued) Internal-Use Software Development Costs We capitalize certain external and internal computer software and software development costs incurred during the application development stage. The application development stage generally includes software design and configuration, coding, testing, and installation activities. Capitalized costs include only external direct cost of materials and services consumed in developing or obtaining internal-use software, and payroll and payroll-related costs for employees who are directly associated with and devote time to the internal-use software project. Capitalization of such costs ceases no later than the point at which the project is substantially complete and ready for its intended use. We generally amortize these costs on a straight-line basis over a period not to exceed five years. Training and maintenance costs are expensed as incurred, while upgrades and enhancements are capitalized if it is probable that such expenditures will result in additional functionality. Capitalized software, net of accumulated amortization, is included as a component of Property and equipment, net and was $87 million and $103 million at January 28, 2023 and January 29, 2022, respectively. Cloud computing arrangements (software-as-a-service contracts) and related implementation costs that are capitalized are amortized on a straight-line basis over the contract term. These amounts are classified with prepaid expense and other long-term assets in the Consolidated Balance Sheets. Expense related to cloud computing arrangements are included in SG&A. The corresponding cash flows related to these arrangements are included in “Net cash provided by operating activities” in the Company’s Consolidated Statements of Cash Flows. Impairment of Long-Lived Tangible Assets and Right-of-Use Assets We perform an impairment review when circumstances indicate that the carrying value of long-lived tangible assets and right-of-use assets may not be recoverable (“a triggering event”). Our policy in determining whether a triggering event exists comprises the evaluation of measurable operating performance criteria and qualitative measures at the lowest level for which identifiable cash flows are largely independent of cash flows for other assets and liabilities, which is generally at the store level. We also evaluate triggering events at the banner level. In evaluating potential store level impairment, we compare future undiscounted cash flows expected to result from the use of the asset group to the carrying amount of the asset group. The future cash flows are estimated predominately based on our historical performance and long-range strategic plans. If the carrying amount of the asset group exceeds the estimated undiscounted future cash flows, we measure the amount of the impairment by comparing the carrying amount of the asset group with its estimated fair value. The estimation of fair value is measured by discounting expected future cash flows using a risk adjusted discount rate and using current market-based information for right-of-use assets. We estimate fair value based on the best information available using estimates, judgments, and projections as considered necessary. Leases Lease liabilities are recognized at the commencement date based on the present value of lease payments over the lease term for those arrangements where there is an identified asset and the contract conveys the right to control its use. The lease term includes options to extend or terminate a lease only when we are reasonably certain that we will exercise that option. The right-of-use asset is measured at the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date, initial direct costs, and any tenant improvement allowances received. For operating leases, right-of-use assets are reduced over the lease term by the straight-line lease expense recognized less the amount of accretion of the lease liability determined using the effective interest method. We combine lease components and non-lease components. Given our policy election to combine lease and non-lease components, we also consider fixed common area maintenance (“CAM”) part of our fixed future lease payments; therefore, fixed CAM is also included in our lease liability. We recognize rent expense for operating leases as of the possession date for store leases or the commencement of the agreement for non-store leases. Rental expense, inclusive of rent holidays, concessions, and tenant allowances are recognized over the lease term on a straight-line basis. Contingent payments based upon sales and future increases determined by inflation related indices cannot be estimated at the inception of the lease and, accordingly, are charged to operations as incurred. 1. Summary of Significant Accounting Policies (continued) As most of our leases do not provide an implicit interest rate, we use our incremental borrowing rates based on the remaining lease term to determine the present value of future lease payments. Our incremental borrowing rate for a lease is the rate of interest we would have to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms. Leases with an initial term of 12 months or less are not recorded on the balance sheet. We recognize lease expense for short-term leases on a straight-line basis over the lease term. Impairment of Goodwill and Other Intangible Assets Goodwill and intangible assets with indefinite lives are reviewed for impairment annually during the first quarter of each fiscal year historically, or more frequently if impairment indicators arise. During the fourth quarter of 2022, we voluntarily changed our annual goodwill testing date from the first day of the fiscal year to the first day of our fourth quarter. The Company believes this change in method of applying the accounting principle is preferable, as it better aligns the annual impairment testing date with the most current information from the budgeting and strategic planning process and provides management with sufficient time to complete its annual assessment in advance of our year-end reporting. The change did not delay, accelerate, or avoid an impairment charge. The review of goodwill impairment consists of either using a qualitative approach to determine whether it is more likely than not that the fair value of the assets is less than their respective carrying values or a one-step quantitative impairment test. In performing the qualitative assessment, we consider many factors in evaluating whether the carrying value of goodwill may not be recoverable, including declines in our stock price and market capitalization in relation to the book value of the Company and macroeconomic conditions affecting retail. If, based on the results of the qualitative assessment, it is concluded that it is not more likely than not that the fair value of a reporting unit exceeds its carrying value, additional quantitative impairment testing is performed. The quantitative test requires that the carrying value of each reporting unit be compared with its estimated fair value. If the carrying value of a reporting unit is greater than its fair value, a goodwill impairment charge will be recorded for the difference (up to the carrying value of goodwill). We use a discounted cash flow approach to determine the fair value of a reporting unit. The determination of discounted cash flows of the reporting units and assets and liabilities within the reporting units requires significant estimates and assumptions. These estimates and assumptions primarily include, but are not limited to, the discount rate, terminal growth rates, earnings before depreciation and amortization, and capital expenditures forecasts. Due to the inherent uncertainty involved in making these estimates, actual results could differ from those estimates. We evaluate the merits of each significant assumption, both individually and in the aggregate, used to determine the fair value of the reporting units, as well as the fair values of the corresponding assets and liabilities within the reporting units. For our annual impairment review conducted in the fourth quarter of 2022, we concluded the fair value of each reporting unit exceeded its carrying value. Goodwill is net of accumulated impairment charges of $167 million for all periods presented. Refer to Note 2 for further detail regarding acquisitions made during 2021. Intangible assets with indefinite lives are tested for impairment if impairment indicators arise and, at a minimum, annually. The impairment review for intangible assets with indefinite lives consists of either performing a qualitative or a quantitative assessment. If the results of the qualitative assessment indicate that it is more likely than not that the fair value of the indefinite-lived intangible is less than its carrying amount, or if we elect to proceed directly to a quantitative assessment, we calculate the fair value using a discounted cash flow method, based on the relief from royalty method, and compare the fair value to the carrying value to determine if the asset is impaired. Intangible assets that are determined to have finite lives are amortized over their useful lives and are measured for impairment only when events or changes in circumstances indicate that the carrying value may be impaired. 1. Summary of Significant Accounting Policies (continued) Contingent Consideration As a result of our purchase of atmos, we recognized contingent consideration, as a component of the purchase consideration is payable contingent on the achievement of certain sales and EBITDA performance. See Note 2 for further details. Contingent consideration is classified as a liability when it will be settled in cash or a variable number of shares (or a combination thereof), and the amount of the payment is not dependent upon the fair value of the Company’s common stock. The fair value of the contingent consideration liability is estimated using an option pricing model simulation that determines an average projected payment value across numerous iterations. This technique determines projected payments based on simulated sales and EBITDA derived from an internal forecast, adjusted for selected revenue and EBITDA volatilities and risk premiums based on market data for comparable guideline public companies. The projected payments are then discounted back to the valuation date at the Company’s cost of debt using a term commensurate with the contractual payment dates. The contingent consideration liability will be measured at fair value on a recurring basis until the contingency is resolved. Changes in the estimated fair value of the contingent consideration liability will be reflected in operating income or expense in the Consolidated Statements of Operations. Derivative Financial Instruments All derivative financial instruments are recorded in our Consolidated Balance Sheets at their fair values. For derivatives designated as a hedge, and effective as part of a hedge transaction, the effective portion of the gain or loss on the hedging derivative instrument is reported as a component of other comprehensive income/loss or as a basis adjustment to the underlying hedged item and reclassified to earnings in the period in which the hedged item affects earnings. The effective portion of the gain or loss on hedges of foreign net investments is generally not reclassified to earnings unless the net investment is disposed of. To the extent derivatives do not qualify or are not designated as hedges, or are ineffective, their changes in fair value are recorded in earnings immediately, which may subject us to increased earnings volatility. Income Taxes We account for our income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined on the basis of the differences between the financial statements and the tax basis of assets and liabilities, using enacted tax rates in effect for the year in which the differences are expected to reverse. Deferred tax assets are recognized for tax credits and net operating loss carryforwards, reduced by a valuation allowance, which is established when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. We recognize net deferred tax assets to the extent that we believe these assets are more likely than not to be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If we determine that we would be able to realize our deferred tax assets in the future in excess of their net recorded amount, we would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. A taxing authority may challenge positions that we adopted in our income tax filings. Accordingly, we may apply different tax treatments for transactions in filing our income tax returns than for income tax financial reporting. We regularly assess our tax positions for such transactions and record reserves for those differences when considered necessary. Tax positions are recognized only when it is more likely than not, based on technical merits, that the positions will be sustained upon examination. Tax positions that meet the more-likely-than-not threshold are measured using a probability weighted approach as the largest amount of tax benefit that is greater than fifty percent likely of being realized upon settlement. Whether the more-likely-than-not recognition threshold is met for a tax position is a matter of judgment based on the individual facts and circumstances of that position evaluated in light of all available evidence. We recognize interest and penalties related to unrecognized tax benefits within income tax expense in the accompanying Consolidated Statement of Operations. Accrued interest and penalties are included within the related tax liability line in the Consolidated Balance Sheet. 1. Summary of Significant Accounting Policies (continued) Pension and Postretirement Obligations Pension benefit obligations and net periodic pension costs are calculated using actuarial assumptions. Two key assumptions used in accounting for pension liabilities and expenses are the discount rate and expected rate of return on plan assets. The discount rate for the U.S. plans is determined by reference to the Bond:Link interest rate model based upon a portfolio of highly-rated U.S. corporate bonds with individual bonds that are theoretically purchased to settle the plan’s anticipated cash outflows. The cash flows are discounted to their present value and an overall discount rate is determined. The discount rate selected to measure the present value of the Canadian benefit obligations was developed by using that plan’s bond portfolio indices, which match the benefit obligations. We measure our plan assets and benefit obligations using the month-end date that is closest to our fiscal year end. The expected return on plan assets assumption is derived using the current and expected asset allocation of the pension plan assets and considering historical as well as expected performance of those assets. Insurance Liabilities We are primarily self-insured for health care, workers’ compensation, and general liability costs. Accordingly, provisions are made for actuarially determined estimates of discounted future claim costs for such risks, for the aggregate of claims reported, and claims incurred but not yet reported. Self-insured liabilities totaled $13 million for January 28, 2023, $14 million for January 29, 2022 and $13 million for January 30, 2021. Workers’ compensation and general liability reserves are discounted using a risk-free interest rate. Imputed interest expense related to these liabilities was not significant for any of the periods presented. Treasury Stock Retirement We periodically retire treasury shares that we acquire through share repurchases and return those shares to the status of authorized but unissued. We account for treasury stock transactions under the cost method. For each reacquisition of common stock, the number of shares and the acquisition price for those shares is added to the existing treasury stock count and total value. When treasury shares are retired, our policy is to allocate the excess of the repurchase price over the par value of shares acquired to both retained earnings and additional paid-in capital. The portion allocated to additional paid-in capital is determined by applying a percentage, which is determined by dividing the number of shares to be retired by the number of shares issued, to the balance of additional paid-in capital as of the retirement date. We retired 6,019,212 and 5,474,288 shares of our common stock held in treasury during 2022 and 2021, respectively. The shares were returned to the status of authorized but unissued. As a result, treasury stock decreased by $213 million and $260 million as of January 28, 2023 and January 29, 2022, respectively. Foreign Currency Translation The functional currency of our international operations is the applicable local currency. The translation of the applicable foreign currency into U.S. dollars is performed for balance sheet accounts using current exchange rates in effect at the balance sheet date and for revenue and expense accounts using the weighted-average rates of exchange prevailing during the year. The unearned gains and losses resulting from such translation are included as a separate component of accumulated other comprehensive loss (“AOCL”) within shareholders’ equity. Recently Adopted Accounting Pronouncements Recently issued accounting pronouncements did not, or are not believed by management to, have a material effect on our present or future consolidated financial statements. Recent Accounting Pronouncements Not Yet Adopted All recently issued accounting pronouncements are not expected to have a material effect on the consolidated financial statements. |
Acquisition
Acquisition | 12 Months Ended |
Jan. 28, 2023 | |
Business Combinations [Abstract] | |
Acquisition | 2. Acquisitions WSS In 2021, the Company, through its wholly-owned subsidiary Foot Locker Retail, Inc., acquired 100% of the shares of Eurostar, Inc., a Delaware corporation operating as WSS (“WSS”). WSS is a U.S.-based off-mall athletic footwear and apparel retailer, focused on the Hispanic consumer, which operated 93 stores at the acquisition, primarily on the West Coast. We believe that this acquisition enhances our growth opportunities in North America and creates further diversification and differentiation in terms of both customers and products. The results of WSS are included in our consolidated financial statements since the acquisition date. The proforma effects of the acquisition have not been presented, as their effects were not significant to the consolidated results of operations. The aggregate purchase price for the acquisition was $809 million ( $2 million paid in 2022 and $737 million paid in 2021, net of cash acquired) and was funded with available cash. During 2022, we recorded insignificant changes to the value of net assets acquired related to income tax balances. The following table represents the final allocation of the purchase price for WSS. We determined that the WSS tradename will have an indefinite life and will not be amortized. The excess purchase price over the fair value of assets was allocated to goodwill. ($ in millions) Assets acquired: Cash and cash equivalents $ 70 Merchandise inventories 82 Other current assets 10 Property and equipment, net 133 Operating lease right-of-use assets 143 Tradenames 296 Customer relationships 13 Other assets 4 Liabilities assumed: Accounts payable and accrued liabilities $ (59) Current portion of obligations under finance leases (3) Current portion of lease obligations (19) Long-term portion of obligations under finance leases (50) Long-term lease obligations (127) Deferred taxes (87) Other liabilities (4) Goodwill 407 Total purchase price $ 809 atmos Effective November 1, 2021, the Company, acquired certain entities collectively operated as atmos, headquartered in Japan. atmos is a digitally led, culturally-connected global brand featuring premium sneakers and apparel, an exclusive in-house label, collaborative relationships with leading vendors in the sneaker ecosystem, experiential stores, and a robust omni-channel platform. The aggregate purchase price for the acquisition was $372 million ( $12 million paid in 2022 and $319 million paid in 2021, net of cash acquired) subject to adjustment for the finalization of the purchase price. At closing, we placed $20 million related to certain indemnifications and this indemnification escrow will be released in May 2023, unless there is a pending claim. The acquisition was funded with available cash. 2. Acquisitions (continued) The purchase price includes contingent consideration which can reach up to $111 million based on achieving certain revenue growth and EBITDA performance targets. The contingent consideration was initially valued at $35 million in 2021 and during 2022 that amount was reduced to $4 million, through impairment and other in our Consolidated Statements of Operations. The results of atmos are included in our consolidated financial statements since the acquisition date. The proforma effects of the acquisition have not been presented, as their effects were not significant to the consolidated results of operations. The table below summarizes the final allocation of the purchase price to the fair value of assets acquired for atmos using the exchange rate in effect as of the date of the acquisition. The excess purchase price over the fair value of assets was allocated to goodwill. Changes to amounts reported in the prior year resulted in a change to goodwill of $7 million and primarily was related to intangibles. These adjustments did not have a significant effect on the consolidated results of operations. We determined that the atmos tradenames will have an indefinite life and will not be amortized. Goodwill of $30 million is deductible for tax purposes over 15 years. ($ in millions) Assets acquired: Cash and cash equivalents $ 6 Merchandise inventories 20 Other current assets 12 Property and equipment, net 7 Operating lease right-of-use assets 44 Tradenames 130 Customer relationships 9 Other assets 6 Liabilities assumed: Accounts payable $ (10) Current portion of lease obligations (10) Other current liabilities (8) Long-term lease obligations (35) Deferred taxes (40) Other liabilities (8) Goodwill (1) 249 Total purchase price (2) $ 372 (1) Goodwill represented on this table is at the exchange rate in effect as of the date of acquisition. (2) Total purchase price consists of $337 million in cash and $35 million of contingent consideration. |
Revenue
Revenue | 12 Months Ended |
Jan. 28, 2023 | |
Revenue [Abstract] | |
Revenue | 3. Revenue The table below presents sales disaggregated by sales channel as well as licensing revenue earned from our various franchised arrangements. Sales are attributable to the channel in which the sales transaction is initiated. ($ in millions) 2022 2021 2020 Sales by Channel Stores $ 7,219 $ 7,029 $ 5,447 Direct-to-customers 1,528 1,929 2,101 Total sales 8,747 8,958 7,548 Licensing revenue 12 10 6 Total revenue $ 8,759 $ 8,968 $ 7,554 3. Revenue (continued) Revenue by geographic area is presented in the following table. Revenue is attributed to the country in which the transaction is fulfilled. ($ in millions) 2022 2021 2020 Revenue by Geography United States $ 5,981 $ 6,477 $ 5,581 International 2,778 2,491 1,973 Total revenue $ 8,759 $ 8,968 $ 7,554 For the year ended January 28, 2023, the countries that comprised the majority of the revenue for the international category were Canada, France, Italy, Australia, and Germany. No other individual country included in the international category was significant. Sales by banner and operating segments are presented in the following table. ($ in millions) 2022 2021 2020 Foot Locker $ 3,304 $ 3,295 $ 2,835 Champs Sports 1,681 1,939 1,610 Kids Foot Locker 708 724 590 WSS 604 195 — Other 126 742 903 North America 6,423 6,895 5,938 Foot Locker 1,628 1,565 1,250 Sidestep 94 76 46 Other — — 47 EMEA 1,722 1,641 1,343 Foot Locker 414 373 267 atmos 188 49 — Asia Pacific 602 422 267 Total sales $ 8,747 $ 8,958 $ 7,548 Contract Liabilities The table below presents the activity of our gift card liability balance: January 28, January 29, ($ in millions) 2023 2022 Gift card liability at beginning of year $ 46 $ 41 Liabilities acquired - WSS — 1 Redemptions (259) (249) Breakage recognized in sales (17) (17) Activations 266 271 Foreign currency fluctuations — (1) Gift card liability $ 36 $ 46 We elected not to disclose the information about remaining performance obligations since the amount of gift cards redeemed after 12 months is not significant for both 2022 and 2021. |
Segment Information
Segment Information | 12 Months Ended |
Jan. 28, 2023 | |
Segment Information [Abstract] | |
Segment Information | 4. Segment Information We have integrated all available shopping channels including stores, websites, apps, social channels, and catalogs. Store sales are primarily fulfilled from the store’s inventory but may also be shipped from our distribution centers or from a different store location if an item is not available at the original store. Direct-to-customer orders are generally shipped to our customers through our distribution centers but may also be shipped from a store or a combination of our distribution centers and stores depending on the availability of particular items. 4. Segment Information (continued) Our operating segments are identified according to how our business activities are managed and evaluated by our chief operating decision maker, our CEO. We have three operating segments, North America, EMEA (Europe, Middle East and Africa), and Asia Pacific. Our North America operating segment includes the results of the following banners in the U.S. and Canada: Foot Locker, Kids Foot Locker, Lady Foot Locker, Champs Sports, Footaction, and WSS, including each of their related e-commerce businesses, as well as our Eastbay business that included internet, catalog, and team sales. Our EMEA operating segment includes the results of the following banners in Europe: Foot Locker, Sidestep, and Kids Foot Locker, including each of their related e-commerce businesses. Our Asia Pacific operating segment includes the results of Foot Locker in Australia, New Zealand, and Asia and atmos operating primarily in Japan, as well as their related e-commerce businesses. Additionally, the EMEA and Asia Pacific operating segments include licensing revenue. We further aggregated these operating segments into one reportable segment based upon their shared customer base and similar economic characteristics. We evaluate performance based on several factors, of which the primary financial measure is the banner’s financial results referred to as division profit. Division profit reflects income before income taxes, impairment and other, corporate expense, interest expense, net and other income / (expense), net. The following table summarizes our results: ($ in millions) 2022 2021 2020 Division profit $ 844 $ 1,171 $ 497 Less: Impairment and other (1) 112 172 117 Less: Corporate expense (2) 151 129 71 Income from operations 581 870 309 Interest expense, net (15) (14) (7) Other income / (expense), net (3) (42) 384 192 Income from continuing operations before income taxes $ 524 $ 1,240 $ 494 (1) See Note 5, Impairment and Other for additional information on these amounts. (2) Corporate expense for all years presented reflects the reallocation of expense between corporate and the operating divisions. No change was made during 2022. Based upon annual internal studies of corporate expense, the allocation of such expenses to the operating divisions was increased by $19 million for 2021 and $28 million for 2020, thereby reducing corporate expense. (3) See Note 6, Other Income / (expense), net for additional information on these amounts. Long-lived asset information as of and for the fiscal years ended January 28, 2023, January 29, 2022, and January 30, 2021 is presented in the following table. Long-lived assets reflect property and equipment and lease right-of-use assets. ($ in millions) 2022 2021 2020 Long-Lived Assets United States $ 2,152 $ 2,285 $ 2,218 International 1,211 1,248 1,286 Total long-lived assets $ 3,363 $ 3,533 $ 3,504 For the year ended January 28, 2023, the countries that comprised the majority of long-lived assets for the international category were Canada, France, Italy, Australia, Germany, and England. No other individual country included in the international category was significant as of January 28, 2023. Depreciation and Amortization Capital Expenditures (1) Total Assets ($ in millions) 2022 2021 2020 2022 2021 2020 2022 2021 2020 Division $ 169 $ 163 $ 152 $ 200 $ 127 $ 88 $ 7,178 $ 7,184 $ 5,159 Corporate 39 34 24 85 82 71 729 951 1,884 Total $ 208 $ 197 $ 176 $ 285 $ 209 $ 159 $ 7,907 $ 8,135 $ 7,043 (1) Represents cash capital expenditures for all years presented . |
Impairment and Other Charges
Impairment and Other Charges | 12 Months Ended |
Jan. 28, 2023 | |
Impairment and Other Charges [Abstract] | |
Impairment and Other Charges | 5. Impairment and Other ($ in millions) 2022 2021 2020 Impairment of long-lived assets and right-of-use assets $ 58 $ 92 $ 77 Transformation consulting 42 — — Reorganization costs 22 4 7 Litigation costs 9 — — Other intangible asset impairments 8 2 — Acquisition and integration costs 4 24 — Change in fair value of contingent consideration (31) — — Impairment of investments — 42 4 Lease termination costs — 15 — (Insurance recovery)/ losses related to social unrest — (7) 8 Runners Point shut down — — 19 Pension litigation related charges — — 2 Total impairment and other $ 112 $ 172 $ 117 During the fourth quarter of 2022, we conducted an impairment review for approximately 142 underperforming stores, which included 70 Sidestep stores. The Company has made the strategic decision to shut down this banner during 2023. We evaluated the long-lived assets, including the right-of-use assets and recorded non-cash charges of $53 million to write down store fixtures, leasehold improvements, and right-of-use assets for approximately 110 of these stores, which included $17 million for Sidestep stores. During the first and second quarters of 2022 we recorded impairment charges of $5 million related to long-lived assets and right-of-use assets, as well as accelerated tenancy charges. Impairment of long-lived assets and right of use assets recorded during 2021 related primarily to the decision to shut down our Footaction banner. The amounts in 2020 primarily represented impairment related to our stores operating in Europe, which had a triggering event caused by the COVID-19 pandemic. All periods reflect charges associated with our annual fourth quarter impairment review of underperforming stores. During 2022, we incurred $42 million of transformation consulting expense. Additionally, we incurred $22 million of reorganization costs, primarily severance, due to the reduction of support functions as we streamlined the organization for operational efficiency and included $4 million of other costs related to the wind down of the Sidestep banner. Associated with the decision to shut down the Sidestep banner, we recorded an $8 million intangible asset impairment on the Sidestep tradename. During the fourth quarter of 2022, we recorded a $9 million charge for litigation, representing a pending settlement of a wage/hour matter. In connection with the acquisition of atmos in the prior year, the purchase included contingent consideration based on the achievement of certain sales and EBITDA metrics. The fair value was initially measured as part of the purchase price as $35 million. As required, the adjustment of its fair value was recorded through earnings and represents a benefit of $31 million recorded in the fourth quarter of 2022. During 2022 and 2021 we recorded acquisition and integration costs of $4 million and $24 million, respectively, which primarily represented investment banking and integration consulting fees related to the WSS and atmos acquisitions. Over the last several years we have made several minority investments in early-stage companies. In connection with these investments, we recorded non-cash charges of $42 million and $4 million, in 2021 and 2020 respectively, related to the write-down of certain minority investments due to their underperformance. |
Other Income (Expense), net
Other Income (Expense), net | 12 Months Ended |
Jan. 28, 2023 | |
Other Income / (Expense), net [Abstract] | |
Other Income (Expense), net | 6. Other Income / (Expense), net Other income / expense, net generally includes non-operating items, such as: - changes in value for our investments accounted for using the fair value measurement alternative, which is at cost adjusted for changes in observable prices minus impairment, - our share of earnings or losses related to our equity method investments, - net benefit expense or income related to our pension and postretirement programs, excluding the service cost component, - changes in fair value, premiums paid, and realized gains associated with foreign currency option contracts, - changes in the market value of our available-for-sale security, and premiums paid to repurchase and retire bonds. ($ in millions) 2022 2021 2020 Minority investment in Retailors, Ltd. $ (61) $ 77 $ — Share of earnings (losses) related to other minority investments 1 3 (1) Team Sales divestiture 19 — — Minority investment in GOAT — 290 190 Pension and postretirement net benefit income, excluding service cost — 7 5 Other (1) 7 (2) Total other income / (expense), net $ (42) $ 384 $ 192 During 2021, we invested $68 million to take a common stock minority stake in a public entity, Retailors, Ltd., which is traded on the Tel Aviv stock exchange. This investment was at a discount to the initial public offering price, resulting in a non-cash gain of $9 million in 2021. Additionally, changes in fair value related to our Retailors, Ltd. investment generated non-cash gains of $68 million during 2021. During 2022, we sold our position in this investment. A loss of $62 million was recorded during 2022, partially offset by $1 million of dividend income. Our minority investment in GOAT is accounted for using the fair value measurement alternative, which is at cost adjusted for changes in observable prices minus impairment. GOAT received funding at higher valuations in both 2021 and 2020 resulting in non-cash gains of $290 million and $190 million, respectively. During 2021, we recorded $7 million of insurance recoveries in excess of the losses sustained in the prior year related to the social unrest. |
Merchandise Inventories
Merchandise Inventories | 12 Months Ended |
Jan. 28, 2023 | |
Merchandise Inventories [Abstract] | |
Merchandise Inventories | 7. Merchandise Inventories ($ in millions) January 28, 2023 January 29, 2022 LIFO inventories $ 1,093 $ 788 FIFO inventories 550 478 Total merchandise inventories $ 1,643 $ 1,266 The value of our LIFO inventories as calculated on a LIFO basis, approximates their value as calculated on a FIFO basis. |
Other Current Assets
Other Current Assets | 12 Months Ended |
Jan. 28, 2023 | |
Other Current Assets [Abstract] | |
Other Current Assets | 8. Other Current Assets ($ in millions) January 28, 2023 January 29, 2022 Net receivables $ 160 $ 134 Prepaid income taxes 62 56 Other prepaid expenses 71 64 Prepaid rent 19 19 Restricted cash 13 8 Other 17 12 $ 342 $ 293 |
Property and Equipment, Net
Property and Equipment, Net | 12 Months Ended |
Jan. 28, 2023 | |
Property and Equipment, Net [Abstract] | |
Property and Equipment, Net | 9. Property and Equipment, net ($ in millions) January 28, 2023 January 29, 2022 Owned properties: Land $ 4 $ 4 Buildings 53 52 Furniture, fixtures, equipment and software development costs 1,379 1,329 1,436 1,385 Less: accumulated depreciation (948) (902) 488 483 Finance leases: Assets under finance leases 65 65 Less: accumulated amortization (12) (6) 53 59 Alterations to leased and owned buildings: Cost 967 954 Less: accumulated amortization (588) (579) 379 375 $ 920 $ 917 |
Other Intangible Assets, Net
Other Intangible Assets, Net | 12 Months Ended |
Jan. 28, 2023 | |
Goodwill and Other Intangible Assets, Net [Abstract] | |
Other Intangible Assets, Net | 10. Other Intangible Assets, net January 28, 2023 January 29, 2022 Gross Accum. Net Life in Gross Accum. Net ($ in millions) value amort. value Years (3) value amort. value Amortized intangible assets: (1) Lease acquisition costs $ 102 $ (100) $ 2 9.4 $ 107 $ (104) $ 3 Trademarks/tradenames 18 (18) — — 18 (18) — Customer lists 20 (9) 11 3.0 13 (2) 11 $ 140 $ (127) $ 13 5.0 $ 138 $ (124) $ 14 Indefinite life intangible assets: (1) Trademarks/tradenames (2) $ 413 $ 440 $ 426 $ 454 (1) The change in the ending balances also reflect the effect of foreign currency fluctuations due primarily to the movements of the Yen in relation to the U.S. dollar. (2) Includes a non-cash impairment charge of $8 million and $2 million recorded in 2022 and 2021, respectively, see Note 5, Impairment and Other . (3) Represents the weighted-average useful life as of January 28, 2023 and excludes those assets that are fully amortized. In connection with the acquisitions of WSS and atmos, we recognized indefinite life intangible assets of $296 million for WSS related tradenames, $130 million for atmos related tradenames (a provisional amount of $135 million was recorded at January 29, 2022). Additionally, we recognized customer list intangible assets of $13 million for WSS and $9 million for atmos, both of which will be amortized over 3 years . The intangibles related to atmos were originally recorded at the exchange rate in effect as of the date of acquisition and are presented in the above table at current period exchange rates. Amortizing intangible assets primarily represent the WSS and atmos customer lists and lease acquisition costs, which are amounts that are required to secure prime lease locations, primarily in Europe. Amortization expense recorded is as follows: ($ in millions) 2022 2021 2020 Amortization expense $ 8 $ 5 $ 3 10. Other Intangible Assets, net (continued) Estimated future amortization expense for finite lived intangibles for the next five years is as follows: ($ in millions) 2023 $ 7 2024 5 2025 1 |
Other Assets
Other Assets | 12 Months Ended |
Jan. 28, 2023 | |
Other Assets [Abstract] | |
Other Assets | 11. Other Assets ($ in millions) January 28, 2023 January 29, 2022 Restricted cash $ 33 $ 38 Security deposits 29 33 Pension asset 4 21 Auction rate security 6 7 Other 20 22 $ 92 $ 121 |
Accrued and Other Liabilities
Accrued and Other Liabilities | 12 Months Ended |
Jan. 28, 2023 | |
Accrued and Other Liabilities [Abstract] | |
Accrued and Other Liabilities | 12. Accrued and Other Liabilities ($ in millions) January 28, 2023 January 29, 2022 Other payroll and payroll related costs, excluding taxes $ 99 $ 78 Incentive bonuses 72 82 Taxes other than income taxes 69 75 Property and equipment (1) 39 58 Customer deposits 39 50 Rent related costs 35 57 Advertising 30 34 Income taxes payable 39 11 Other 146 116 $ 568 $ 561 (1) Accruals for property and equipment are excluded from the Statements of Cash Flows for all years presented. |
Revolving Credit Facility
Revolving Credit Facility | 12 Months Ended |
Jan. 28, 2023 | |
Revolving Credit Facility [Abstract] | |
Revolving Credit Facility | 13. Revolving Credit Facility We have a $600 million asset-based revolving credit facility that is scheduled to expire on July 14, 2025 (as amended, “2020 Credit Agreement”). In 2021, we entered into an amendment to the 2020 Credit Agreement (“Amended Credit Agreement”). The amendment provides for, among other things, (i) reducing the interest rates and commitment fees applicable to the loans and commitments, respectively, as described below, and (ii) reducing the “floor” applicable. The amendment provides that the interest rate applicable to loans drawn under the credit facility will be equal to, at our option, either a base rate, determined by reference to the federal funds rate, plus a margin of 0.25% to 0.75% per annum, or a Eurodollar rate, determined by reference to LIBOR, plus a margin of 1.25% to 1.75% per annum, in each case, depending on availability under the Amended Credit Agreement. In addition, we will pay a commitment fee of 0.25% per annum on the unused portion of the commitments under the Amended Credit Agreement. No events of default occurred during 2022. We may use the Amended Credit Agreement to, among other things, support standby letters of credit in connection with insurance programs. The letters of credit outstanding as of January 28, 2023 were not significant. The unamortized balance of fees paid in connection with the credit facility at January 28, 2023 was $3 million. Interest expense, including facility fees, related to the revolving credit facility was $3 million, $3 million, and $5 million for 2022, 2021, and 2020, respectively. |
Long-Term Debt and Obligations
Long-Term Debt and Obligations Under Finance Leases | 12 Months Ended |
Jan. 28, 2023 | |
Long-Term Debt [Abstract] | |
Long-Term Debt | 14. Long-Term Debt and Obligations Under Finance Leases The components of long-term debt and obligations under finance leases are as follows: January 28, January 29, ($ in millions) 2023 2022 4% Senior Notes due 2029 $ 395 $ 394 Obligations under finance leases 57 63 $ 452 $ 457 Current portion of debt and obligations under finance leases 6 6 $ 446 $ 451 Interest expense related to long-term debt and the amortization of the associated debt issuance costs was $17 million, $12 million and $8 million for 2022, 2021, and 2020, respectively. |
Other Liabilities
Other Liabilities | 12 Months Ended |
Jan. 28, 2023 | |
Other Liabilities [Abstract] | |
Other Liabilities | 15. Other Liabilities ($ in millions) January 28, 2023 January 29, 2022 Deferred taxes $ 237 $ 224 Income taxes 31 28 Pension benefits 21 16 Contingent consideration 4 35 Other 35 40 $ 328 $ 343 \ |
Leases
Leases | 12 Months Ended |
Jan. 28, 2023 | |
Leases [Abstract] | |
Leases | 16. Leases The majority of our leases are operating leases for our company-operated retail store locations. We also lease, among other things, distribution and warehouse facilities, and office space for corporate administrative purposes. Operating lease periods generally range from 5 to 10 years and generally contain rent escalation provisions. Some of the store leases contain renewal options with varying terms and conditions. Amounts recognized in the Consolidated Balance Sheet were as follows: January 28, January 29, ($ in millions) 2023 2022 Operating leases: Operating lease right-of-use assets $ 2,443 $ 2,616 Operating lease liabilities classified as current $ 544 $ 572 Operating lease liabilities classified as long-term 2,230 2,363 Total operating lease liabilities $ 2,774 $ 2,935 January 28, January 29, ($ in millions) 2023 2022 Finance leases: Property and equipment, net $ 53 $ 59 Finance lease obligations classified as current $ 6 $ 6 Finance lease obligations classified as long-term 51 57 Total finance lease obligations $ 57 $ 63 16. Leases (continued) Other information related to our leases as of January 28, 2023 and January 29, 2022 consisted of the following: January 28, January 29, 2023 2022 Weighted-average remaining lease term (years) Operating leases 6.5 6.7 Finance leases 14.7 15.0 Weighted-average discount rate Operating leases 5.0 % 4.7 % Finance leases 4.3 % 4.2 % Total lease costs include fixed operating lease costs, variable lease costs, and short-term lease costs. Most of our real estate leases require us to pay certain expenses, such as CAM costs, real estate taxes, and other executory costs, of which the fixed portion is included in operating lease costs. Variable lease costs include non-lease components which are not fixed and are not included in determining the present value of our lease liability. Variable lease costs also include amounts based on a percentage of gross sales in excess of specified levels that are recognized when probable. Lease costs which relate to retail stores and distribution centers are classified within cost of sales, while non-store lease costs are included in SG&A. Amortization of leased equipment assets is classified in depreciation and amortization. The components of lease cost for 2022, 2021, and 2020 were as follows: ($ in millions) 2022 2021 2020 Operating lease costs $ 657 $ 653 $ 620 Variable lease costs 308 331 290 Short-term lease costs 19 23 23 Sublease income (1) (1) (1) Total operating lease costs 983 1,006 932 Finance lease costs: Amortization of leased assets 6 4 1 Interest on lease liabilities 3 1 — Total finance lease costs 9 5 1 Total lease cost $ 992 $ 1,011 $ 933 Maturities of lease liabilities as of January 28, 2023 are as follows: ($ in millions) Operating leases Finance leases Total 2023 $ 651 $ 8 $ 659 2024 576 8 584 2025 481 6 487 2026 387 4 391 2027 304 4 308 Thereafter 877 48 925 Total lease payments 3,276 78 3,354 Less: Interest 502 21 523 Total lease liabilities $ 2,774 $ 57 $ 2,831 As of January 28, 2023, we signed operating leases primarily for retail stores that have not yet commenced and the total future undiscounted lease payments under these leases are $102 million. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Jan. 28, 2023 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | 17. Accumulated Other Comprehensive Loss ($ in millions) 2022 2021 2020 Foreign currency translation adjustments $ (148) $ (107) $ (64) Hedge contracts (3) — (1) Unrecognized pension cost and postretirement benefit (241) (236) (266) $ (392) $ (343) $ (331) The changes in AOCL for the year ended January 28, 2023 were as follows: Foreign Items Related Currency to Pension and Translation Hedge Postretirement ($ in millions) Adjustments Contracts Benefits Total Balance as of January 29, 2022 $ (107) $ — $ (236) $ (343) OCI before reclassification (41) (3) 2 (42) Amortization of pension actuarial loss, net of tax — — 7 7 Pension and postretirement remeasurement, net of tax — — (14) (14) Other comprehensive income (41) (3) (5) (49) Balance as of January 28, 2023 $ (148) $ (3) $ (241) $ (392) Reclassifications to income from AOCL for the year ended January 28, 2023 were as follows: ($ in millions) Amortization of actuarial loss: Pension benefits $ 10 Income tax benefit (3) Amortization of actuarial loss, net of tax $ 7 |
Income Taxes
Income Taxes | 12 Months Ended |
Jan. 28, 2023 | |
Income Taxes [Abstract] | |
Income Taxes | 18. Income Taxes The domestic and international components of pre-tax income are as follows: ($ in millions) 2022 2021 2020 Domestic $ 440 $ 1,244 $ 647 International 84 (4) (153) Total pre-tax income $ 524 $ 1,240 $ 494 Domestic pre-tax income includes the results of non-U.S. businesses that are operated in branches owned directly by the U.S. which, therefore, are subject to U.S. income tax. The income tax provision consists of the following: ($ in millions) 2022 2021 2020 Current: Federal $ 64 $ 192 $ 114 State and local 27 66 43 International 68 16 23 Total current tax provision 159 274 180 Deferred: Federal 23 49 6 State and local 4 15 (2) International (6) 10 (13) Total deferred tax provision 21 74 (9) Total income tax provision $ 180 $ 348 $ 171 18. Income Taxes (continued) Following the enactment of Public Law 115-97 (“Tax Act”) and the one-time transition tax, our historical foreign earnings are not subject to additional U.S. federal tax upon repatriation. Further, no additional U.S. federal tax will be due upon repatriation of current foreign earnings because they are either exempt or subject to U.S. tax as earned. At January 28, 2023, we had accumulated undistributed foreign earnings of approximately $571 million. This amount consists of historical earnings that were previously taxed under the Tax Act and post-Tax Act earnings. Investments in our foreign subsidiaries, including working capital, will continue to be permanently reinvested. Cash balances in excess of working capital needs are considered to be available for repatriation to the United States and foreign withholding taxes will be accrued as necessary on these amounts. We have not recorded a deferred tax liability for the difference between the financial statement carrying amount and the tax basis of our investments in foreign subsidiaries. The determination of any unrecorded deferred tax liability on this amount is not practicable due to the uncertainty of how these investments would be recovered. A reconciliation of the significant differences between the federal statutory income tax rate and the effective income tax rate on pre-tax income is as follows: 2022 2021 2020 Federal statutory income tax rate 21.0 % 21.0 % 21.0 % Increase in valuation allowance 2.6 0.7 6.3 State and local income taxes, net of federal tax benefit 5.0 5.4 6.6 International income taxed at varying rates 8.4 2.4 4.3 Foreign tax credits (3.6) (1.4) (2.4) Domestic/foreign tax settlements (0.5) (0.3) (0.5) Federal tax credits (0.4) (0.1) (0.4) Other, net 1.8 0.4 (0.4) Effective income tax rate 34.3 % 28.1 % 34.5 % Deferred income taxes are provided for the effects of temporary differences between the amounts of assets and liabilities recognized for financial reporting purposes and the amounts recognized for income tax purposes. Items that give rise to significant portions of our deferred tax assets and liabilities are as follows: January 28, January 29, ($ in millions) 2023 2022 Deferred tax assets: Tax loss/credit carryforwards and capital loss $ 123 $ 133 Employee benefits 42 38 Property and equipment — 15 Operating leases - liabilities 725 720 Other 61 74 Total deferred tax assets $ 951 $ 980 Valuation allowance (93) (80) Total deferred tax assets, net $ 858 $ 900 Deferred tax liabilities: Merchandise inventories $ 87 $ 68 Operating leases - assets 667 662 Goodwill and other intangible assets 123 155 Net investment gains 115 131 Property and equipment 6 — Other 7 22 Total deferred tax liabilities $ 1,005 $ 1,038 Net deferred tax liability $ (147) $ (138) Balance Sheet caption reported in: Deferred taxes $ 90 $ 86 Other liabilities (237) (224) $ (147) $ (138) 18. Income Taxes (continued) Based upon the level of historical taxable income and projections for future taxable income, which are based upon our long-range strategic plans, management believes it is more likely than not that we will realize the benefits of deductible differences, net of the valuation allowances, over the periods in which the temporary differences are anticipated to reverse. However, the amount of the deferred tax asset considered realizable could be adjusted in the future if estimates of taxable income are revised. As of January 28, 2023, we have a valuation allowance of $93 million to reduce our deferred tax assets to an amount that is more likely than not to be realized. A valuation allowance of $77 million was recorded against tax loss carryforwards of certain foreign entities. Based on the history of losses and the absence of prudent and feasible business plans for generating future taxable income in these entities, we believe it is more likely than not that the benefit of these loss carryforwards will not be realized. As of January 28, 2023, a valuation allowance of $15 million was established for foreign taxes assessed at rates in excess of the U.S. federal tax rate for which no U.S. foreign tax credit is available. Additionally, since we do not have any reasonably foreseeable sources of Canadian capital gains, a valuation allowance of $1 million was established since 2019 for a deferred tax asset arising from a capital loss. At January 28, 2023, we have international minimum tax credit carryforwards with a potential tax benefit of $3 million and operating loss carryforwards with a potential tax benefit of $100 million, a portion of which will expire between 2023 and 2029 and a portion of which will never expire. We will have, when realized, a capital loss with a potential benefit of $1 million. The Canadian loss will carryforward indefinitely after realization. The international operating loss carryforwards include nominal unrecognized tax benefits. We also have foreign tax credit carrybacks and carryforwards with a potential tax benefit of $19 million that will expire between 2023 and 2032. We operate in multiple taxing jurisdictions and are subject to audit. Audits can involve complex issues that may require an extended period of time to resolve. A taxing authority may challenge positions that we have adopted in our income tax filings. Accordingly, we may apply different tax treatments for transactions in filing the income tax returns than for income tax financial reporting. We regularly assess our tax positions for such transactions and record reserves for those differences. We participate in the IRS’s Compliance Assurance Process and the examination of our 2021 U.S. Federal income tax filing was concluded in February 2023. To date, no adjustments have been proposed in any audits that will have a material effect on our financial position or results of operations. At January 28, 2023, we had $52 million of gross unrecognized tax benefits, of which $44 million would, if recognized, affect our annual effective tax rate. We classified certain income tax liabilities as current or noncurrent based on management’s estimate of when these liabilities will be settled. Interest expense and penalties related to unrecognized tax benefits are classified as income tax expense. Interest expense recognized was $6 million in 2022 and was not significant for any of the prior years presented. The following table summarizes the activity related to unrecognized tax benefits: ($ in millions) 2022 2021 2020 Unrecognized tax benefits at beginning of year $ 41 $ 47 $ 45 Foreign currency translation adjustments (1) (2) 3 Increases related to current year tax positions 9 3 2 Increases related to prior period tax positions 7 2 3 Decreases related to prior period tax positions — (3) — Settlements — (1) (1) Lapse of statute of limitations (4) (5) (5) Unrecognized tax benefits at end of year $ 52 $ 41 $ 47 It is reasonably possible that the liability associated with our unrecognized tax benefits will increase or decrease within the next twelve months. These changes may be the result of foreign currency fluctuations, ongoing audits, or the expiration of statutes of limitations. Settlements during 2023 are not expected to be significant based on current estimates. Audit outcomes and the timing of audit settlements are subject to significant uncertainty. Although management believes that adequate provision has been made for such issues, the ultimate resolution could have an adverse effect on our earnings. Conversely, if these issues are resolved favorably in the future, the related provision would be reduced, generating a positive effect on earnings. |
Financial Instruments and Risk
Financial Instruments and Risk Management | 12 Months Ended |
Jan. 28, 2023 | |
Financial Instruments and Risk Management [Abstract] | |
Financial Instruments and Risk Management | 19. Financial Instruments and Risk Management We operate internationally and utilize certain derivative financial instruments to mitigate our foreign currency exposures, primarily related to third-party and intercompany forecasted transactions. As a result of the use of derivative instruments, we are exposed to the risk that counterparties will fail to meet their contractual obligations. To mitigate this counterparty credit risk, we have a practice of entering into contracts with major financial institutions selected based upon their credit ratings and other financial factors. We monitor the creditworthiness of counterparties throughout the duration of the derivative instrument. Derivative Holdings Designated as Hedges The primary currencies to which we are exposed are the euro, British pound, Canadian dollar, Australian dollar, and the Japanese Yen. Generally, merchandise inventories are purchased by each geographic area in their respective local currency with the exception of the United Kingdom, whose merchandise inventory purchases are primarily denominated in euros. For option and foreign exchange forward contracts designated as cash flow hedges of the purchase of inventory, the effective portion of gains and losses is deferred as a component of AOCL and is recognized as a component of cost of sales when the related inventory is sold. The amount reclassified to cost of sales related to such contracts was not significant for any of the periods presented. The effective portion of gains or losses associated with other forward contracts is deferred as a component of AOCL until the underlying transaction is reported in earnings. The ineffective portion of gains and losses related to cash flow hedges recorded to earnings was not significant for any of the periods presented. On May 6, 2022, we entered into a cross-currency swap contract to reduce the effect of the fluctuating U.S. Dollar (“USD”) to Japanese Yen (“JPY”) foreign exchange rate on our foreign currency-denominated intercompany loan between our Japanese and U.S. subsidiary. We expect the gains and losses on this contract to offset losses and gains on the hedged transaction in an effort to reduce the earnings volatility resulting from the remeasurement of the principal and interest accrued on the loan. Though the intercompany loan eliminates in consolidation, the foreign currency remeasurement of the loan and interest by the U.S. subsidiary is reflected in the consolidated financial statements. The cross-currency swap contract has a notional amount of JPY 11 billion and final receipt of $85 million. The cross-currency swap contract, which matures on November 2, 2031, swaps Yen-denominated interest payments for U.S. dollar-denominated interest payments, thereby economically converting the JPY 11 billion fixed-rate 3.51% intercompany loan to a fixed-rate 6.77% USD-denominated receivable for our U.S. subsidiary. We designated the cross-currency swap contract to hedge the changes in value of the intercompany loan and its variability on earnings. We apply fair value hedge accounting, and we consider market factors other than the change in the spot exchange rate on the notional amount of the swap to be excluded components. The foreign currency spot rate fluctuations on the cross-currency swap notional amount and interest accruals are reported in earnings each period, while all other changes are reported in other comprehensive income. Because the terms of the hedged item and the hedging instrument match and the likelihood of swap counterparty default is not probable, the hedge is expected to exactly offset changes in the fair value of the foreign currency debt resulting from to foreign currency fluctuations over the term of the swap. As of January 28, 2023, the cross-currency swap had a fair value of $3 million and was included in other liabilities. We record the changes in the fair value of the contract to AOCL. Each period, we reclassify an amount out of AOCL equal to the remeasurement gain or loss on the hedged intercompany loan that is recorded in selling, general and administrative expenses. As of January 28, 2023, there was $3 million in AOCL, net of tax, related to the cross-currency swap. In addition, we recognize swap interest income based on the differential in fixed interest rates per the contract. During 2022, we recorded $2 million of income in interest expense, net. Refer to Note 17 for further information regarding amounts recorded in AOCL. 19. Financial Instruments and Risk Management (continued) Derivative Holdings Not Designated as Hedges We enter into certain derivative contracts that are not designated as hedges, such as foreign exchange forward contracts and currency option contracts. These derivative contracts are used to manage certain costs of foreign currency-denominated merchandise purchases, intercompany transactions, and the effect of fluctuating foreign exchange rates on the reporting of foreign currency-denominated earnings. Changes in the fair value of derivative holdings not designated as hedges, as well as realized gains and premiums paid, are recorded in earnings immediately within SG&A or Other income, net, depending on the type of transaction. The aggregate amount recognized for these contracts was not significant for any of the periods presented. Fair Value of Derivative Contracts The following represents the fair value of our derivative contracts. Balance Sheet January 28, January 29, ($ in millions) Caption 2023 2022 Hedging Instruments: Foreign exchange forward contracts Current liabilities $ — $ 1 Cross-currency swap Non-current liabilities $ 3 $ — Business Risk The retail business is highly competitive. Price, quality, selection of merchandise, reputation, store location, advertising, and customer experience are important competitive factors in our business. We operate in 29 countries and purchased 86% of our merchandise in 2022 from our top 5 suppliers. In 2022, we purchased 65% of our athletic merchandise from one major supplier, Nike, Inc. (“Nike”). Each of our banners are highly dependent on Nike; they individually purchased approximately 50% to 75% of their merchandise from Nike. Included in our Consolidated Balance Sheet at January 28, 2023, are the net assets of our European operations, which total $454 million and are located in 20 countries, 11 of which have adopted the euro as their functional currency. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Jan. 28, 2023 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | 20. Fair Value Measurements We categorize our financial instruments into a three-level fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). If the inputs used to measure fair value fall within different levels of the hierarchy, the category level is based on the lowest priority level input that is significant to the fair value measurement of the instrument. Fair value is determined based upon the exit price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants exclusive of any transaction costs. Our financial assets recorded at fair value are categorized as follows: Level 1 - Quoted prices for identical instruments in active markets. Level 2 - Observable inputs other than quoted prices included within Level 1, including quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs or significant value-drivers are observable in active markets. Level 3 - Model-derived valuations in which one or more significant inputs or significant value-drivers are unobservable. During 2021, we invested $68 million to take a common stock minority stake in a public entity, Retailors, Ltd., which is traded on the Tel Aviv stock exchange. This investment was classified as a Level 1 instrument since the fair value is readily available in an active market. During 2022, we sold our holdings in this investment. 20. Fair Value Measurements (continued) Our auction rate security, classified as available-for-sale, is recorded within Other assets on the Consolidated Balance Sheet and is recorded at fair value with gains and losses reported in Other income, net in our Consolidated Statements of Operations. The fair value of the auction rate security is determined by using quoted prices for similar instruments in active markets and accordingly is classified as a Level 2 instrument. The fair value of the contingent consideration liability associated with the atmos acquisition is estimated using an option pricing model simulation that determines an average projected payment value across numerous iterations. See Note 1 for further details. Our derivative financial instruments are valued using market-based inputs to valuation models. These valuation models require a variety of inputs, including contractual terms, market prices, yield curves, and measures of volatility and therefore are classified as Level 2 instruments . Assets and Liabilities Measured at Fair Value on a Recurring Basis ($ in millions) As of January 28, 2023 As of January 29, 2022 Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Assets Minority investment in common stock $ — $ — $ — $ 145 $ — $ — Available-for-sale security — 6 — — 7 — Total assets $ — $ 6 $ — $ 145 $ 7 $ — Liabilities Contingent consideration $ — $ — $ 4 $ — $ — $ 35 Foreign exchange forward contracts — — — — 1 — Cross-currency swap contract — 3 — — — — Total liabilities $ — $ 3 $ 4 $ — $ 1 $ 35 There were no transfers into or out of Level 1, Level 2, or Level 3 for any of the periods presented. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Certain assets and liabilities are measured at fair value on a nonrecurring basis. Assets and liabilities recognized or disclosed at fair value on the consolidated financial statements on a nonrecurring basis include items such as property, plant and equipment, operating lease right-of-use assets, goodwill, other intangible assets, and minority investments that are not accounted for under the equity method of accounting. These assets are measured using Level 3 inputs, if determined to be impaired. The preferred stock of our minority investment in GOAT is measured using the fair value measurement alternative had a carrying value of $579 million for both January 28, 2023 and January 29, 2022. As of January 28, 2023, cumulative impairments on our portfolio of minority investments were $53 million. Long-Term Debt The fair value of long-term debt is determined by using model-derived valuations in which all significant inputs or significant value-drivers are observable in active markets and therefore are classified as Level 2. ($ in millions) January 28, 2023 January 29, 2022 Carrying value (1) $ 395 $ 394 Fair value $ 338 $ 389 (1) The carrying value of debt for both periods reflect $5 million of issuer’s discount and costs related to 4% Notes due in 2029. The carrying values of cash and cash equivalents, restricted cash, and other current receivables and payables approximate their fair value. |
Retirement Plans and Other Bene
Retirement Plans and Other Benefits | 12 Months Ended |
Jan. 28, 2023 | |
Retirement Plans and Other Benefits [Abstract] | |
Retirement Plans and Other Benefits | 21 . Retirement Plans and Other Benefits Pension and Other Postretirement Plans We have defined benefit pension plans covering certain of our North American employees. In May 2019, the U.S. qualified pension plan was amended such that all employees who were not participants in the plan as of December 31, 2019, will not become participants after such date. All benefit accruals were frozen as of December 31, 2019 for all plan participants with less than eleven years of service as of that date. For participants with more than eleven years of service as of December 31, 2019, benefit accruals were frozen as of December 31, 2022. Participants will continue to accrue interest at a fixed rate of 6% per year. We also sponsor postretirement medical and life insurance plans, which are available to most of our retired U.S. employees. These plans are contributory and are not funded. These plans are not significant. The following tables set forth the plans’ changes in benefit obligations and plan assets, funded status, and amounts recognized in the Consolidated Balance Sheets: ($ in millions) 2022 2021 Change in benefit obligation Benefit obligation at beginning of year $ 674 $ 753 Service cost 14 16 Interest cost 21 18 Plan participants’ contributions — — Actuarial gains (93) (55) Foreign currency translation adjustments (2) (1) Benefits paid (48) (55) Settlement — (2) Benefit obligation at end of year $ 566 $ 674 Change in plan assets Fair value of plan assets at beginning of year $ 676 $ 716 Actual return on plan assets (83) 11 Employer contributions 3 3 Foreign currency translation adjustments (2) 1 Benefits paid (48) (55) Fair value of plan assets at end of year $ 546 $ 676 Funded status $ (20) $ 2 Amounts recognized on the balance sheet: Other assets $ 4 $ 21 Accrued and other liabilities (3) (3) Other liabilities (21) (16) $ (20) $ 2 The Canadian qualified pension plan’s assets exceeded its accumulated benefit obligation for both 2022 and 2021. In 2021, the U.S. qualified pension plan’s assets exceeded its accumulated benefit obligation, however in 2022 the accumulated benefit obligation was greater than the plan’s assets. Our non-qualified pension plans have an accumulated benefit obligation in excess of plan assets, as these plans are unfunded. Accordingly, the table below reflects the U.S. non-qualified plans for 2022 and 2021 and the U.S. qualified plan for 2022. ($ in millions) 2022 2021 Projected benefit obligation $ 533 $ 20 Accumulated benefit obligation 533 20 Fair value of plan assets 509 — 21 . Retirement Plans and Other Benefits (continued) The following table provides the amounts recognized in AOCL on a pre-tax basis: ($ in millions) Net actuarial loss at beginning of year $ 320 Amortization of net loss (10) Loss arising during the year 21 Foreign currency fluctuations (2) Net actuarial loss at end of year $ 329 The actuarial losses recognized during 2022 were primarily driven lower actual return as compared with the expected return on plan assets partially offset by an increase in discount rates applied against future expected benefit payments, which resulted in a decrease in the benefit obligation for the pension benefit plans. The following weighted-average assumptions were used to determine the benefit obligations under the plans: 2022 2021 Discount rate 5.0 % 3.2 % Rate of compensation increase 3.6 % 3.6 % Pension expense is actuarially calculated annually based on data available at the beginning of each year. The expected return on plan assets is determined by multiplying the expected long-term rate of return on assets by the market-related value of plan assets for the U.S. qualified pension plan and market value for the Canadian qualified pension plan. The market-related value of plan assets is a calculated value that recognizes investment gains and losses in fair value related to equities over three or five years , depending on which computation results in a market-related value closer to market value. Market-related value for the U.S. qualified plan was $618 million and $652 million for 2022 and 2021, respectively. Assumptions used in the calculation of net benefit cost include the discount rate selected and disclosed at the end of the previous year, as well as other assumptions detailed in the table below: 2022 2021 2020 Discount rate 3.2 % 2.5 % 2.9 % Rate of compensation increase 3.6 % 3.6 % 3.6 % Expected long-term rate of return on assets 4.8 % 5.3 % 5.5 % The expected long-term rate of return on invested plan assets is based on the plans’ weighted-average target asset allocation, as well as historical and future expected performance of those assets. The target asset allocation is selected to obtain an investment return that is sufficient to cover the expected benefit payments and to reduce the variability of our future contributions. The following are the components of net periodic pension benefit cost. Service cost is recognized as a component of SG&A and the remaining pension and postretirement expense components are recognized as part of Other income, net. ($ in millions) 2022 2021 2020 Service cost $ 14 $ 16 $ 14 Interest cost 21 18 21 Expected return on plan assets (31) (35) (37) Amortization of net loss 10 10 12 Net benefit expense $ 14 $ 9 $ 10 The mortality assumption used to value the 2022 and 2021 U.S. pension obligations was the Pri-2012 mortality table with generational projection using MP-2021 for both males and females. For years ended January 28, 2023 and January 29, 2022, we used the 2014 CPM Private Sector mortality table projected generationally with Scale CPM-B for both males and females to value its Canadian pension obligations 21 . Retirement Plans and Other Benefits (continued) Plan Assets The target composition of our U.S. qualified pension plan assets is 70% fixed-income securities, 28.5% equities, and 1.5% real estate. We may alter the asset allocation targets from time to time depending on market conditions and the funding requirements of the pension plan. This current asset allocation has and is expected to limit volatility with regard to the funded status of the plan, but may result in higher pension expense due to the lower long-term rate of return associated with fixed-income securities. Due to market conditions and other factors, actual asset allocations may vary from the target allocation outlined above. The target composition of our Canadian qualified pension plan assets is 95% fixed-income securities and 5% equities. We believe plan assets are invested in a conservative manner with the same overall objective and investment strategy as noted below for the U.S. pension plan. The bond portfolio is comprised of government and corporate bonds chosen to match the duration of the pension plan’s benefit payment obligations. This current asset allocation will limit future volatility. We believe plan assets are invested in a conservative manner with an objective of providing a total return that, over the long term, provides sufficient assets to fund benefit obligations, taking into account our expected contributions and the level of funding risk deemed appropriate. Our investment strategy seeks to diversify assets among classes of investments with differing rates of return, volatility, and correlation in order to reduce funding risk. Diversification within asset classes is also utilized to ensure that there are no significant concentrations of risk in plan assets and to reduce the effect that the return on any single investment may have on the entire portfolio. Valuation of Investments Commingled trust funds are valued at the net asset value of units held by the plan at year end. Stocks and mutual funds traded on U.S. and Canadian security exchanges are valued at closing market prices on the measurement date. Each category of U.S. and Canadian plan assets is classified within the same level of the fair value hierarchy for 2022 and 2021. The fair values of the U.S. pension plan assets at January 28, 2023 and January 29, 2022 were as follows: ($ in millions) Level 1 Level 2 Level 3 2022 Total 2021 Total Cash $ 2 $ — $ — $ 2 $ — Cash equivalents — 1 — 1 4 Commingled funds: Equity securities — 130 — 130 163 Fixed-income securities — 341 — 341 425 Real estate securities — 8 — 8 9 Corporate stock 17 — — 17 18 Mutual fund 10 — — 10 12 Total assets at fair value $ 29 $ 480 $ — $ 509 $ 631 The fair values of the Canadian pension plan assets at January 28, 2023 and January 29, 2022 were as follows: ($ in millions) Level 1 Level 2 Level 3 2022 Total 2021 Total Cash equivalents $ — $ 6 $ — $ 6 $ 6 Equity securities: Canadian and international 3 — — 3 3 Fixed-income securities: Cash matched bonds — 28 — 28 36 Total assets at fair value $ 3 $ 34 $ — $ 37 $ 45 21 . Retirement Plans and Other Benefits (continued) Contributions and Expected Payments We were not required to make any contributions to the U.S. qualified pension plan in 2022 and 2021. We do not anticipate making any contributions to the U.S. qualified pension plan in 2023 due to the strong funded status of the plan, however we continually evaluate the amount and timing of any potential contributions based on market conditions and other factors. We paid $3 million and $3 million in pension benefits related to our non-qualified pension plans during 2022 and 2021, respectively. Estimated future benefit payments for each of the next five years and the five years thereafter are as follows: ($ in millions) 2023 $ 68 2024 50 2025 47 2026 46 2027 44 2028-2032 198 Savings Plans We have a 401(k) plan that is available to employees whose primary place of employment is the U.S., and another plan that is available to employees whose primary place of employment is in Puerto Rico. With the acquisition of WSS in 2021, we became the sponsor of the 401(k) plan for WSS employees. The charges for matching contributions were not significant for any of the periods presented. |
Share-Based Compensation
Share-Based Compensation | 12 Months Ended |
Jan. 28, 2023 | |
Share-Based Compensation [Abstract] | |
Share-Based Compensation | 22. Share-Based Compensation Stock Awards Under our 2007 Stock Incentive Plan (the “2007 Stock Plan”), stock options, restricted stock, restricted stock units, stock appreciation rights, or other share-based awards may be granted to nonemployee directors, officers and other employees, including our subsidiaries and operating divisions worldwide. Options for employees become exercisable in substantially equal annual installments over a three-year period, beginning with the first anniversary of the date of grant of the option, unless a shorter or longer duration is established at the time of the option grant. The options terminate ten years from the date of grant. On May 21, 2014, the 2007 Stock Plan was amended to increase the number of shares of common stock reserved for all awards to 14 million shares. As of January 28, 2023, there were 3,651,807 shares available for issuance under this plan. On August 24, 2022, the Company granted options and other awards to its new President and Chief Executive Officer, Mary N. Dillon. These awards were granted outside of the 2007 Stock Incentive Plan as employment inducement awards and do not require shareholder approval under the rules of the New York Stock Exchange or otherwise. Shares available for future grant under this plan of 545,660 are reserved for the sole purpose to issue shares pursuant to her employment inducement awards. Employees Stock Purchase Plan Under our 2013 Foot Locker Employees Stock Purchase Plan (“ESPP”), participating employees are able to contribute up to 10% of their annual compensation, not to exceed $25,000 in any plan year, through payroll deductions to acquire shares of our common stock at 85% of the lower market price on one of two specified dates in each plan year. Of the 3,000,000 shares of common stock authorized under this plan, there were 1,854,858 shares available for purchase as of January 28, 2023. During 2022 and 2021, participating employees purchased 119,518 shares and 300,788 shares, respectively. 22. Share-Based Compensation (continued) Share-Based Compensation Expense Total compensation expense included in SG&A and the associated tax benefits recognized related to our share-based compensation plans, were as follows: ($ in millions) 2022 2021 2020 Options and employee stock purchase plan $ 5 $ 6 $ 6 Restricted stock units and performance stock units 26 23 9 Total share-based compensation expense $ 31 $ 29 $ 15 Tax benefit recognized $ 3 $ 3 $ 2 Valuation Model and Assumptions The Black-Scholes option-pricing model is used to estimate the fair value of options and the stock purchase plan. The Black-Scholes option-pricing model incorporates various and subjective assumptions, including expected term and expected volatility. We estimate the expected term of options using our historical exercise and post-vesting employment termination patterns, which we believe are representative of future behavior. The expected term for the employee stock purchase plan valuation is based on the length of each purchase period as measured at the beginning of the offering period, which is one year . We estimate the expected volatility of our common stock at the grant date using a weighted-average of our historical volatility and implied volatility from traded options on our common stock. We believe that this combination of historical volatility and implied volatility provides a better estimate of future stock price volatility. The risk-free interest rate assumption is determined using the Federal Reserve nominal rates for U.S. Treasury zero-coupon bonds with maturities similar to those of the expected term of the award being valued. The expected dividend yield is derived from our historical experience. T he following table shows the assumptions used to compute the share-based compensation expense: Stock Option Plans Stock Purchase Plan 2022 2021 2020 2022 2021 2020 Weighted-average risk free rate of interest 1.8 % 0.9 % 0.5 % 1.0 % 0.1 % 1.8 % Expected volatility 35 % 47 % 37 % 40.0 % 45 % 48 % Weighted-average expected award life (in years) 3.9 5.5 4.9 1.0 1.0 1.0 Dividend yield 2.7 % 1.5 % 4.3 % 2.6 % 4.0 % 4.2 % Weighted-average fair value $ 10.80 $ 20.22 $ 5.03 $ 18.46 $ 9.61 $ 13.97 22. Share-Based Compensation (continued) The information set forth in the following table covers options granted under our stock option plans: Weighted- Weighted- Number Average Average of Remaining Exercise Shares Contractual Life Price (in thousands) (in years) (per share) Options outstanding at the beginning of the year 3,211 $ 48.84 Granted 590 31.71 Exercised (207) 28.15 Expired or cancelled (338) 41.22 Options outstanding at January 28, 2023 3,256 4.5 $ 47.85 Options exercisable at January 28, 2023 2,535 3.3 $ 52.36 The total fair value of options vested was $4 million during 2022 and 2021. During the years ended January 28, 2023, and January 29, 2022, we received $6 million and $10 million in cash from option exercises and recognized a related tax benefit of an insignificant amount and $2 million, respectively. The total intrinsic value of options exercised (the difference between the market price of the Company’s common stock on the exercise date and the price paid by the optionee to exercise the option) is presented below: ($ in millions) 2022 2021 2020 Exercised $ 1 $ 8 $ 3 The aggregate intrinsic value for stock options outstanding, and those outstanding and exercisable (the difference between the closing stock price on the last trading day of the period and the exercise price of the options, multiplied by the number of in-the-money stock options) is presented below: ($ in millions) 2022 Outstanding $ 20 Outstanding and exercisable $ 11 As of January 28, 2023, there was $3 million of total unrecognized compensation cost related to nonvested stock options, which is expected to be recognized over a remaining weighted-average period of 1.5 years. The following table summarizes information about stock options outstanding and exercisable at January 28, 2023: Options Outstanding Options Exercisable Weighted- Average Weighted- Weighted- Remaining Average Average Range of Exercise Number Contractual Exercise Number Exercise Prices Outstanding Life Price Exercisable Price (in thousands, except prices per share and contractual life) $21.60 - $36.51 1,123 7.0 $ 25.91 514 $ 23.09 $39.17 - $48.98 459 2.9 44.84 445 45.02 $53.61 - $58.94 493 5.1 56.75 395 57.46 $62.02 - $72.83 1,181 2.4 66.14 1,181 66.14 3,256 4.5 $ 47.85 2,535 $ 52.36 22. Share-Based Compensation (continued) Restricted Stock Units and Performance Stock Units Restricted stock units (“RSU”) may be awarded to certain officers, key employees of the Company, and nonemployee directors. Additionally, performance stock units (“PSU”) are awarded to officers and certain key employees in connection with our long-term incentive program. Each RSU and PSU represents the right to receive one share of our common stock provided that the applicable performance and vesting conditions are satisfied. PSU awards granted in 2022 also include a performance objective based on our relative total shareholder return over the performance period to a pre-determined peer group, assuming the reinvestment of dividends. The fair value of these awards is determined using a Monte Carlo simulation as of the date of the grant and share-based compensation expense will not be adjusted should the target awards vary from actual awards. Generally, RSU awards fully vest after the passage of time, typically three years for employees and one year for nonemployee directors, provided there is continued service with the Company until the vesting date, subject to the terms of the award. PSU awards are earned only after the attainment of performance goals in connection with the relevant performance period and vest after an additional one-year period. No dividends are paid or accumulated on any RSU or PSU awards. Compensation expense is recognized using the market value at the date of grant and is amortized over the vesting period. RSU and PSU activity is summarized as follows: Weighted-Average Number Remaining Weighted-Average of Contractual Grant Date Shares Life Fair Value (in thousands) (in years) (per share) Nonvested at beginning of year 1,391 $ 43.95 Granted 1,242 31.42 Vested (117) 54.29 Performance adjustment (1) 15 Forfeited (539) 35.56 Nonvested at January 28, 2023 1,992 1.3 $ 37.58 Aggregate value ($ in millions) $ 75 (1) This represents adjustments made to PSU awards reflecting changes in estimates based upon our current performance against predefined financial targets. The total fair value of awards vested was $6 million, $23 million, and $6 million, for 2022, 2021, and 2020, respectively. At January 28, 2023, there was $27 million of total unrecognized compensation cost related to nonvested awards. |
Legal Proceedings
Legal Proceedings | 12 Months Ended |
Jan. 28, 2023 | |
Legal Proceedings [Abstract] | |
Legal Proceedings | 23. Legal Proceedings Legal proceedings pending against the Company or its consolidated subsidiaries consist of ordinary, routine litigation, including administrative proceedings, incidental to the business of the Company or businesses that have been sold or discontinued by the Company in past years. These legal proceedings include commercial, intellectual property, customer, privacy, environmental, and employment-related claims. Additionally, the Company is a defendant in two purported class actions alleging wage/hour and wage statement violations in California. We do not believe that the outcome of any such legal proceedings pending against the Company or its consolidated subsidiaries, as described above, would have a material adverse effect on our consolidated financial position, liquidity, or results of operations, taken as a whole, based upon current knowledge and taking into consideration current accruals. Litigation is inherently unpredictable. Judgments could be rendered or settlements made that could adversely affect the Company’s operating results or cash flows in a particular period. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policy) | 12 Months Ended |
Jan. 28, 2023 | |
Summary of Significant Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The consolidated financial statements include the accounts of Foot Locker, Inc. and its domestic and international subsidiaries, as well as any entities in which we have a controlling voting interest that are required to be consolidated. All significant intercompany amounts have been eliminated. As used in these Notes to Consolidated Financial Statements the terms “Foot Locker,” “Company,” “we,” “our,” and “us” refer to Foot Locker, Inc. and its consolidated subsidiaries. The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates. Certain reclassifications have been made to prior period financial statements to conform to the current period presentation. Effective in 2022, we separately present licensing revenue in the Consolidated Statements of Operations as a component of total revenue. Previously, licensing revenue was presented within other income / (expense), net. |
Reporting Year | Reporting Year Our fiscal year end is a 52-week or 53-week period ending the Saturday closest to the last day in January. Fiscal year 2022, 2021, and 2020 represented the 52 weeks ended January 28, 2023, January 29, 2022, and February 1, 2020, respectively. References to years in this annual report relate to fiscal years rather than calendar years. |
Revenue Recognition | Revenue Recognition Store revenue is recognized at the point of sale and includes merchandise, net of returns, and excludes taxes. Revenue from layaway sales is recognized when the customer receives the product, rather than when the initial deposit is paid. We recognize revenue for merchandise that is shipped to our customers from our distribution centers and stores upon shipment as the customer has control of the product upon shipment. We account for shipping and handling as a fulfillment activity. We accrue the cost and recognize revenue for these activities upon shipment date, therefore total sales recognized includes shipping and handling fees. We have license agreements with unaffiliated third-party operators located in the Middle East and Asia. The agreements are largely structured with royalty income paid as a percentage of sales for the use of our trademarks, trade name and branding. We record licensing revenue based upon sales estimates for the current period from the third-party operators. |
Advertising Costs and Sales Promotion | Advertising Costs and Sales Promotion Advertising and sales promotion costs are expensed at the time the advertising or promotion takes place, net of reimbursements for cooperative advertising. Cooperative advertising reimbursements earned for the launch and promotion of certain products agreed upon with vendors are recorded in the same period as the associated expenses are incurred. Digital advertising costs are expensed as incurred, net of reimbursements for cooperative advertising. Digital advertising includes search engine marketing, such as display ads and keyword search terms, and other various forms of digital advertising. Reimbursements received in excess of expenses incurred related to specific, incremental, and identifiable advertising costs are accounted for as a reduction to the cost of merchandise and are reflected in cost of sales when the merchandise is sold. 1. Summary of Significant Accounting Policies (continued) Advertising costs, including digital advertising, which are included as a component of SG&A, were as follows: ($ in millions) 2022 2021 2020 Advertising expenses $ 135 $ 113 $ 69 Digital advertising expenses 87 110 89 Cooperative advertising reimbursements (37) (29) (14) Net advertising expense $ 185 $ 194 $ 144 |
Share-Based Compensation | Share-Based Compensation We recognize compensation expense for share-based awards based on the grant date fair value of those awards. We use the Black-Scholes option-pricing model to determine the fair value of stock options, which requires the input of subjective assumptions regarding the expected term, expected volatility, and risk-free interest rate. See Note 22, Share-Based Compensation, for information on the assumptions used to calculate the fair value of stock options. Share-based compensation expense is recognized on a straight-line basis over the requisite service period for each vesting tranche of the award. Upon exercise of stock options, issuance of restricted stock or units, or issuance of shares under the employee stock purchase plan, we will issue authorized but unissued common stock or use common stock held in treasury. Awards of restricted stock units cliff vest after the passage of time, generally three years . Performance stock unit awards are earned only after the attainment of performance goals in connection with the relevant performance period and vest after an additional one-year period. PSU awards granted in 2022 also include a performance objective based on our relative total shareholder return over the performance period to a pre-determined peer group, assuming the reinvestment of dividends. The fair value of these awards is determined using a Monte Carlo simulation as of the date of the grant and share-based compensation expense will not be adjusted should the target awards vary from actual awards. |
Earnings Per Share | Earnings Per Share The computation of basic and diluted EPS is as follows: (in millions, except per share data) 2022 2021 2020 Income from continuing operations $ 344 $ 892 $ 323 Net loss attributable to noncontrolling interests 1 1 — Income from continuing operations attributable to Foot Locker, Inc. 345 893 323 Net loss from discontinued operations, net of tax (3) — — Net income attributable to Foot Locker, Inc. $ 342 $ 893 $ 323 Weighted-average common shares outstanding 94.3 102.5 104.3 Dilutive effect of potential common shares 1.2 1.3 0.8 Weighted-average common shares outstanding assuming dilution 95.5 103.8 105.1 1. Summary of Significant Accounting Policies (continued) (in millions, except per share data) 2022 2021 2020 Basic earnings per share Earnings per share from continuing operations attributable to Foot Locker, Inc. $ 3.66 $ 8.72 $ 3.10 Net loss per share from discontinued operations, net of tax (0.04) — — Net earnings per share attributable to Foot Locker, Inc. $ 3.62 $ 8.72 $ 3.10 Diluted earnings per share Earnings per share from continuing operations attributable to Foot Locker, Inc. $ 3.62 $ 8.61 $ 3.08 Net loss per share from discontinued operations, net of tax (0.04) — — Net earnings per share attributable to Foot Locker, Inc. $ 3.58 $ 8.61 $ 3.08 Anti-dilutive share-based awards excluded from diluted calculation 2.7 1.8 2.5 Performance stock units related to our long-term incentive programs of 0.4 million for 2022, 0.4 million for 2021, and 0.4 million for 2020, have been excluded from diluted weighted-average shares. The issuance of these shares are contingent on our performance metrics as compared to the pre-established performance goals, which have not been achieved. |
Cash, Cash Equivalents and Restricted Cash | Cash, Cash Equivalents, and Restricted Cash Cash consists of funds held on hand and in bank accounts. Cash equivalents include amounts on demand with banks and all highly liquid investments with original maturities of three months or less, including money market funds. Additionally, amounts due from third-party credit card processors for the settlement of debit and credit card transactions are included as cash equivalents as they are generally collected within three business days. We present book overdrafts, representing checks issued but still outstanding in excess of bank balances, as part of accounts payable. Restricted cash represents cash that is restricted as to withdrawal or use under the terms of various agreements. Restricted cash includes amounts held in escrow in connection with various leasing arrangements in Europe, and deposits held in insurance trusts to satisfy the requirement to collateralize part of the self-insured workers’ compensation and liability claims. The following table provides the reconciliation of cash, cash equivalents, and restricted cash, as reported on our consolidated statements of cash flows: January 28, January 29, January 30, ($ in millions) 2023 2022 2021 Cash and cash equivalents (1) $ 536 $ 804 $ 1,680 Restricted cash included in other current assets 13 8 8 Restricted cash included in other non-current assets 33 38 30 Cash, cash equivalents, and restricted cash $ 582 $ 850 $ 1,718 (1) Includes cash equivalents of $41 million, $48 million, and $503 million for the years ended January 28, 2023, January 29, 2022, and February 1, 2020, respectively. |
Property and Equipment | Property and Equipment Property and equipment are recorded at cost, less accumulated depreciation and amortization. Significant additions and improvements to property and equipment are capitalized. Major renewals or replacements that substantially extend the useful life of an asset are capitalized. Maintenance and repairs are expensed as incurred. Depreciation and amortization are computed on a straight-line basis over the following estimated useful lives: Buildings Maximum of 50 years Store leasehold improvements Shorter of the asset useful life or expected term of the lease Furniture, fixtures, and equipment 3 ‑ 10 years Software 2 ‑ 5 years |
Internal-Use Software Development Costs | 1. Summary of Significant Accounting Policies (continued) Internal-Use Software Development Costs We capitalize certain external and internal computer software and software development costs incurred during the application development stage. The application development stage generally includes software design and configuration, coding, testing, and installation activities. Capitalized costs include only external direct cost of materials and services consumed in developing or obtaining internal-use software, and payroll and payroll-related costs for employees who are directly associated with and devote time to the internal-use software project. Capitalization of such costs ceases no later than the point at which the project is substantially complete and ready for its intended use. We generally amortize these costs on a straight-line basis over a period not to exceed five years. Training and maintenance costs are expensed as incurred, while upgrades and enhancements are capitalized if it is probable that such expenditures will result in additional functionality. Capitalized software, net of accumulated amortization, is included as a component of Property and equipment, net and was $87 million and $103 million at January 28, 2023 and January 29, 2022, respectively. |
Impairment of Long-Lived Tangible Assets and Right-of-Use Assets | Impairment of Long-Lived Tangible Assets and Right-of-Use Assets We perform an impairment review when circumstances indicate that the carrying value of long-lived tangible assets and right-of-use assets may not be recoverable (“a triggering event”). Our policy in determining whether a triggering event exists comprises the evaluation of measurable operating performance criteria and qualitative measures at the lowest level for which identifiable cash flows are largely independent of cash flows for other assets and liabilities, which is generally at the store level. We also evaluate triggering events at the banner level. In evaluating potential store level impairment, we compare future undiscounted cash flows expected to result from the use of the asset group to the carrying amount of the asset group. The future cash flows are estimated predominately based on our historical performance and long-range strategic plans. If the carrying amount of the asset group exceeds the estimated undiscounted future cash flows, we measure the amount of the impairment by comparing the carrying amount of the asset group with its estimated fair value. The estimation of fair value is measured by discounting expected future cash flows using a risk adjusted discount rate and using current market-based information for right-of-use assets. We estimate fair value based on the best information available using estimates, judgments, and projections as considered necessary. |
Derivative Financial Instruments | Derivative Financial Instruments All derivative financial instruments are recorded in our Consolidated Balance Sheets at their fair values. For derivatives designated as a hedge, and effective as part of a hedge transaction, the effective portion of the gain or loss on the hedging derivative instrument is reported as a component of other comprehensive income/loss or as a basis adjustment to the underlying hedged item and reclassified to earnings in the period in which the hedged item affects earnings. The effective portion of the gain or loss on hedges of foreign net investments is generally not reclassified to earnings unless the net investment is disposed of. To the extent derivatives do not qualify or are not designated as hedges, or are ineffective, their changes in fair value are recorded in earnings immediately, which may subject us to increased earnings volatility. |
Income Taxes | Income Taxes We account for our income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined on the basis of the differences between the financial statements and the tax basis of assets and liabilities, using enacted tax rates in effect for the year in which the differences are expected to reverse. Deferred tax assets are recognized for tax credits and net operating loss carryforwards, reduced by a valuation allowance, which is established when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. We recognize net deferred tax assets to the extent that we believe these assets are more likely than not to be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If we determine that we would be able to realize our deferred tax assets in the future in excess of their net recorded amount, we would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. A taxing authority may challenge positions that we adopted in our income tax filings. Accordingly, we may apply different tax treatments for transactions in filing our income tax returns than for income tax financial reporting. We regularly assess our tax positions for such transactions and record reserves for those differences when considered necessary. Tax positions are recognized only when it is more likely than not, based on technical merits, that the positions will be sustained upon examination. Tax positions that meet the more-likely-than-not threshold are measured using a probability weighted approach as the largest amount of tax benefit that is greater than fifty percent likely of being realized upon settlement. Whether the more-likely-than-not recognition threshold is met for a tax position is a matter of judgment based on the individual facts and circumstances of that position evaluated in light of all available evidence. We recognize interest and penalties related to unrecognized tax benefits within income tax expense in the accompanying Consolidated Statement of Operations. Accrued interest and penalties are included within the related tax liability line in the Consolidated Balance Sheet. 1. Summary of Significant Accounting Policies (continued) Pension and Postretirement Obligations Pension benefit obligations and net periodic pension costs are calculated using actuarial assumptions. Two key assumptions used in accounting for pension liabilities and expenses are the discount rate and expected rate of return on plan assets. The discount rate for the U.S. plans is determined by reference to the Bond:Link interest rate model based upon a portfolio of highly-rated U.S. corporate bonds with individual bonds that are theoretically purchased to settle the plan’s anticipated cash outflows. The cash flows are discounted to their present value and an overall discount rate is determined. The discount rate selected to measure the present value of the Canadian benefit obligations was developed by using that plan’s bond portfolio indices, which match the benefit obligations. We measure our plan assets and benefit obligations using the month-end date that is closest to our fiscal year end. The expected return on plan assets assumption is derived using the current and expected asset allocation of the pension plan assets and considering historical as well as expected performance of those assets. |
Pension and Postretirement Obligations | 1. Summary of Significant Accounting Policies (continued) |
Insurance Liabilities | Insurance Liabilities We are primarily self-insured for health care, workers’ compensation, and general liability costs. Accordingly, provisions are made for actuarially determined estimates of discounted future claim costs for such risks, for the aggregate of claims reported, and claims incurred but not yet reported. Self-insured liabilities totaled $13 million for January 28, 2023, $14 million for January 29, 2022 and $13 million for January 30, 2021. Workers’ compensation and general liability reserves are discounted using a risk-free interest rate. Imputed interest expense related to these liabilities was not significant for any of the periods presented. |
Foreign Currency Translation | Foreign Currency Translation The functional currency of our international operations is the applicable local currency. The translation of the applicable foreign currency into U.S. dollars is performed for balance sheet accounts using current exchange rates in effect at the balance sheet date and for revenue and expense accounts using the weighted-average rates of exchange prevailing during the year. The unearned gains and losses resulting from such translation are included as a separate component of accumulated other comprehensive loss (“AOCL”) within shareholders’ equity. |
Recent Accounting Pronouncements | Recently Adopted Accounting Pronouncements Recently issued accounting pronouncements did not, or are not believed by management to, have a material effect on our present or future consolidated financial statements. Recent Accounting Pronouncements Not Yet Adopted All recently issued accounting pronouncements are not expected to have a material effect on the consolidated financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Significant Accounting Policies [Line Items] | |
Activity of Gift Card Liability Balance | The table below presents the activity of our gift card liability balance: January 28, January 29, ($ in millions) 2023 2022 Gift card liability at beginning of year $ 46 $ 41 Liabilities acquired - WSS — 1 Redemptions (259) (249) Breakage recognized in sales (17) (17) Activations 266 271 Foreign currency fluctuations — (1) Gift card liability $ 36 $ 46 |
Costs Included as Component of Selling, General and Administrative Expenses | ($ in millions) 2022 2021 2020 Minority investment in Retailors, Ltd. $ (61) $ 77 $ — Share of earnings (losses) related to other minority investments 1 3 (1) Team Sales divestiture 19 — — Minority investment in GOAT — 290 190 Pension and postretirement net benefit income, excluding service cost — 7 5 Other (1) 7 (2) Total other income / (expense), net $ (42) $ 384 $ 192 |
Computation of Basic and Diluted Earnings Per Share | The computation of basic and diluted EPS is as follows: (in millions, except per share data) 2022 2021 2020 Income from continuing operations $ 344 $ 892 $ 323 Net loss attributable to noncontrolling interests 1 1 — Income from continuing operations attributable to Foot Locker, Inc. 345 893 323 Net loss from discontinued operations, net of tax (3) — — Net income attributable to Foot Locker, Inc. $ 342 $ 893 $ 323 Weighted-average common shares outstanding 94.3 102.5 104.3 Dilutive effect of potential common shares 1.2 1.3 0.8 Weighted-average common shares outstanding assuming dilution 95.5 103.8 105.1 1. Summary of Significant Accounting Policies (continued) (in millions, except per share data) 2022 2021 2020 Basic earnings per share Earnings per share from continuing operations attributable to Foot Locker, Inc. $ 3.66 $ 8.72 $ 3.10 Net loss per share from discontinued operations, net of tax (0.04) — — Net earnings per share attributable to Foot Locker, Inc. $ 3.62 $ 8.72 $ 3.10 Diluted earnings per share Earnings per share from continuing operations attributable to Foot Locker, Inc. $ 3.62 $ 8.61 $ 3.08 Net loss per share from discontinued operations, net of tax (0.04) — — Net earnings per share attributable to Foot Locker, Inc. $ 3.58 $ 8.61 $ 3.08 Anti-dilutive share-based awards excluded from diluted calculation 2.7 1.8 2.5 |
Reconciliation of Cash and Cash Equivalents | The following table provides the reconciliation of cash, cash equivalents, and restricted cash, as reported on our consolidated statements of cash flows: January 28, January 29, January 30, ($ in millions) 2023 2022 2021 Cash and cash equivalents (1) $ 536 $ 804 $ 1,680 Restricted cash included in other current assets 13 8 8 Restricted cash included in other non-current assets 33 38 30 Cash, cash equivalents, and restricted cash $ 582 $ 850 $ 1,718 (1) Includes cash equivalents of $41 million, $48 million, and $503 million for the years ended January 28, 2023, January 29, 2022, and February 1, 2020, respectively. |
Estimated Useful Lives | Depreciation and amortization are computed on a straight-line basis over the following estimated useful lives: Buildings Maximum of 50 years Store leasehold improvements Shorter of the asset useful life or expected term of the lease Furniture, fixtures, and equipment 3 ‑ 10 years Software 2 ‑ 5 years |
Advertising Expense [Member] | |
Significant Accounting Policies [Line Items] | |
Costs Included as Component of Selling, General and Administrative Expenses | Advertising costs, including digital advertising, which are included as a component of SG&A, were as follows: ($ in millions) 2022 2021 2020 Advertising expenses $ 135 $ 113 $ 69 Digital advertising expenses 87 110 89 Cooperative advertising reimbursements (37) (29) (14) Net advertising expense $ 185 $ 194 $ 144 |
Acquisition (Tables)
Acquisition (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
WSS [Member] | |
Business Combination Segment Allocation [Line Items] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table represents the final allocation of the purchase price for WSS. We determined that the WSS tradename will have an indefinite life and will not be amortized. The excess purchase price over the fair value of assets was allocated to goodwill. ($ in millions) Assets acquired: Cash and cash equivalents $ 70 Merchandise inventories 82 Other current assets 10 Property and equipment, net 133 Operating lease right-of-use assets 143 Tradenames 296 Customer relationships 13 Other assets 4 Liabilities assumed: Accounts payable and accrued liabilities $ (59) Current portion of obligations under finance leases (3) Current portion of lease obligations (19) Long-term portion of obligations under finance leases (50) Long-term lease obligations (127) Deferred taxes (87) Other liabilities (4) Goodwill 407 Total purchase price $ 809 |
atmos [Member] | |
Business Combination Segment Allocation [Line Items] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | ($ in millions) Assets acquired: Cash and cash equivalents $ 6 Merchandise inventories 20 Other current assets 12 Property and equipment, net 7 Operating lease right-of-use assets 44 Tradenames 130 Customer relationships 9 Other assets 6 Liabilities assumed: Accounts payable $ (10) Current portion of lease obligations (10) Other current liabilities (8) Long-term lease obligations (35) Deferred taxes (40) Other liabilities (8) Goodwill (1) 249 Total purchase price (2) $ 372 (1) Goodwill represented on this table is at the exchange rate in effect as of the date of acquisition. (2) Total purchase price consists of $337 million in cash and $35 million of contingent consideration. |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Revenue [Abstract] | |
Disaggregation of Revenue | The table below presents sales disaggregated by sales channel as well as licensing revenue earned from our various franchised arrangements. Sales are attributable to the channel in which the sales transaction is initiated. ($ in millions) 2022 2021 2020 Sales by Channel Stores $ 7,219 $ 7,029 $ 5,447 Direct-to-customers 1,528 1,929 2,101 Total sales 8,747 8,958 7,548 Licensing revenue 12 10 6 Total revenue $ 8,759 $ 8,968 $ 7,554 |
Revenue from External Customers by Geographic Areas | Revenue by geographic area is presented in the following table. Revenue is attributed to the country in which the transaction is fulfilled. ($ in millions) 2022 2021 2020 Revenue by Geography United States $ 5,981 $ 6,477 $ 5,581 International 2,778 2,491 1,973 Total revenue $ 8,759 $ 8,968 $ 7,554 |
Revenue by Segment | Sales by banner and operating segments are presented in the following table. ($ in millions) 2022 2021 2020 Foot Locker $ 3,304 $ 3,295 $ 2,835 Champs Sports 1,681 1,939 1,610 Kids Foot Locker 708 724 590 WSS 604 195 — Other 126 742 903 North America 6,423 6,895 5,938 Foot Locker 1,628 1,565 1,250 Sidestep 94 76 46 Other — — 47 EMEA 1,722 1,641 1,343 Foot Locker 414 373 267 atmos 188 49 — Asia Pacific 602 422 267 Total sales $ 8,747 $ 8,958 $ 7,548 |
Activity of Gift Card Liability Balance | The table below presents the activity of our gift card liability balance: January 28, January 29, ($ in millions) 2023 2022 Gift card liability at beginning of year $ 46 $ 41 Liabilities acquired - WSS — 1 Redemptions (259) (249) Breakage recognized in sales (17) (17) Activations 266 271 Foreign currency fluctuations — (1) Gift card liability $ 36 $ 46 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Segment Information [Abstract] | |
Sales and Division Operating Results for Reportable Segments | The following table summarizes our results: ($ in millions) 2022 2021 2020 Division profit $ 844 $ 1,171 $ 497 Less: Impairment and other (1) 112 172 117 Less: Corporate expense (2) 151 129 71 Income from operations 581 870 309 Interest expense, net (15) (14) (7) Other income / (expense), net (3) (42) 384 192 Income from continuing operations before income taxes $ 524 $ 1,240 $ 494 (1) See Note 5, Impairment and Other for additional information on these amounts. (2) Corporate expense for all years presented reflects the reallocation of expense between corporate and the operating divisions. No change was made during 2022. Based upon annual internal studies of corporate expense, the allocation of such expenses to the operating divisions was increased by $19 million for 2021 and $28 million for 2020, thereby reducing corporate expense. (3) See Note 6, Other Income / (expense), net for additional information on these amounts. |
Sales and Long-Lived Asset Information by Geographic Area | Long-lived asset information as of and for the fiscal years ended January 28, 2023, January 29, 2022, and January 30, 2021 is presented in the following table. Long-lived assets reflect property and equipment and lease right-of-use assets. ($ in millions) 2022 2021 2020 Long-Lived Assets United States $ 2,152 $ 2,285 $ 2,218 International 1,211 1,248 1,286 Total long-lived assets $ 3,363 $ 3,533 $ 3,504 |
Segment Information | Depreciation and Amortization Capital Expenditures (1) Total Assets ($ in millions) 2022 2021 2020 2022 2021 2020 2022 2021 2020 Division $ 169 $ 163 $ 152 $ 200 $ 127 $ 88 $ 7,178 $ 7,184 $ 5,159 Corporate 39 34 24 85 82 71 729 951 1,884 Total $ 208 $ 197 $ 176 $ 285 $ 209 $ 159 $ 7,907 $ 8,135 $ 7,043 (1) Represents cash capital expenditures for all years presented . |
Impairment and Other Charges (T
Impairment and Other Charges (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Impairment and Other Charges [Abstract] | |
Schedule of Impairment and Other Charges | ($ in millions) 2022 2021 2020 Impairment of long-lived assets and right-of-use assets $ 58 $ 92 $ 77 Transformation consulting 42 — — Reorganization costs 22 4 7 Litigation costs 9 — — Other intangible asset impairments 8 2 — Acquisition and integration costs 4 24 — Change in fair value of contingent consideration (31) — — Impairment of investments — 42 4 Lease termination costs — 15 — (Insurance recovery)/ losses related to social unrest — (7) 8 Runners Point shut down — — 19 Pension litigation related charges — — 2 Total impairment and other $ 112 $ 172 $ 117 |
Other Income _ (Expense), net (
Other Income / (Expense), net (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Other Income / (Expense), net [Abstract] | |
Schedule of Other Operating Cost and Expense, by Component [Table Text Block] | ($ in millions) 2022 2021 2020 Minority investment in Retailors, Ltd. $ (61) $ 77 $ — Share of earnings (losses) related to other minority investments 1 3 (1) Team Sales divestiture 19 — — Minority investment in GOAT — 290 190 Pension and postretirement net benefit income, excluding service cost — 7 5 Other (1) 7 (2) Total other income / (expense), net $ (42) $ 384 $ 192 |
Merchandise Inventories (Tables
Merchandise Inventories (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Merchandise Inventories [Abstract] | |
Schedule of Merchandise Inventories | ($ in millions) January 28, 2023 January 29, 2022 LIFO inventories $ 1,093 $ 788 FIFO inventories 550 478 Total merchandise inventories $ 1,643 $ 1,266 |
Other Current Assets (Tables)
Other Current Assets (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Other Current Assets [Abstract] | |
Schedule of Other Current Assets | ($ in millions) January 28, 2023 January 29, 2022 Net receivables $ 160 $ 134 Prepaid income taxes 62 56 Other prepaid expenses 71 64 Prepaid rent 19 19 Restricted cash 13 8 Other 17 12 $ 342 $ 293 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Property and Equipment, Net [Abstract] | |
Schedule of Property and Equipment | ($ in millions) January 28, 2023 January 29, 2022 Owned properties: Land $ 4 $ 4 Buildings 53 52 Furniture, fixtures, equipment and software development costs 1,379 1,329 1,436 1,385 Less: accumulated depreciation (948) (902) 488 483 Finance leases: Assets under finance leases 65 65 Less: accumulated amortization (12) (6) 53 59 Alterations to leased and owned buildings: Cost 967 954 Less: accumulated amortization (588) (579) 379 375 $ 920 $ 917 |
Other Intangible Assets, Net (T
Other Intangible Assets, Net (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Goodwill and Other Intangible Assets, Net [Abstract] | |
Components of Intangible Assets | January 28, 2023 January 29, 2022 Gross Accum. Net Life in Gross Accum. Net ($ in millions) value amort. value Years (3) value amort. value Amortized intangible assets: (1) Lease acquisition costs $ 102 $ (100) $ 2 9.4 $ 107 $ (104) $ 3 Trademarks/tradenames 18 (18) — — 18 (18) — Customer lists 20 (9) 11 3.0 13 (2) 11 $ 140 $ (127) $ 13 5.0 $ 138 $ (124) $ 14 Indefinite life intangible assets: (1) Trademarks/tradenames (2) $ 413 $ 440 $ 426 $ 454 (1) The change in the ending balances also reflect the effect of foreign currency fluctuations due primarily to the movements of the Yen in relation to the U.S. dollar. (2) Includes a non-cash impairment charge of $8 million and $2 million recorded in 2022 and 2021, respectively, see Note 5, Impairment and Other . (3) Represents the weighted-average useful life as of January 28, 2023 and excludes those assets that are fully amortized. |
Amortization Expense | Amortization expense recorded is as follows: ($ in millions) 2022 2021 2020 Amortization expense $ 8 $ 5 $ 3 |
Estimated Future Expected Amortization Expense for Finite Life Intangible Assets | Estimated future amortization expense for finite lived intangibles for the next five years is as follows: ($ in millions) 2023 $ 7 2024 5 2025 1 |
Other Assets (Tables)
Other Assets (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Other Assets [Abstract] | |
Schedule of Other Assets | ($ in millions) January 28, 2023 January 29, 2022 Restricted cash $ 33 $ 38 Security deposits 29 33 Pension asset 4 21 Auction rate security 6 7 Other 20 22 $ 92 $ 121 |
Accrued and Other Liabilities (
Accrued and Other Liabilities (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Accrued and Other Liabilities [Abstract] | |
Schedule of Accrued and Other Liabilities | ($ in millions) January 28, 2023 January 29, 2022 Other payroll and payroll related costs, excluding taxes $ 99 $ 78 Incentive bonuses 72 82 Taxes other than income taxes 69 75 Property and equipment (1) 39 58 Customer deposits 39 50 Rent related costs 35 57 Advertising 30 34 Income taxes payable 39 11 Other 146 116 $ 568 $ 561 |
Long-Term Debt and Obligation_2
Long-Term Debt and Obligations Under Finance Leases (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Long-Term Debt [Abstract] | |
Schedule of Debt | The components of long-term debt and obligations under finance leases are as follows: January 28, January 29, ($ in millions) 2023 2022 4% Senior Notes due 2029 $ 395 $ 394 Obligations under finance leases 57 63 $ 452 $ 457 Current portion of debt and obligations under finance leases 6 6 $ 446 $ 451 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Other Liabilities [Abstract] | |
Other Liabilities | ($ in millions) January 28, 2023 January 29, 2022 Deferred taxes $ 237 $ 224 Income taxes 31 28 Pension benefits 21 16 Contingent consideration 4 35 Other 35 40 $ 328 $ 343 \ |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Leases [Abstract] | |
Summary of amounts recognized in Condensed Consolidated Balance Sheet related to operating leases | Amounts recognized in the Consolidated Balance Sheet were as follows: January 28, January 29, ($ in millions) 2023 2022 Operating leases: Operating lease right-of-use assets $ 2,443 $ 2,616 Operating lease liabilities classified as current $ 544 $ 572 Operating lease liabilities classified as long-term 2,230 2,363 Total operating lease liabilities $ 2,774 $ 2,935 January 28, January 29, ($ in millions) 2023 2022 Finance leases: Property and equipment, net $ 53 $ 59 Finance lease obligations classified as current $ 6 $ 6 Finance lease obligations classified as long-term 51 57 Total finance lease obligations $ 57 $ 63 |
Summary of other information related to operating leases | January 28, January 29, 2023 2022 Weighted-average remaining lease term (years) Operating leases 6.5 6.7 Finance leases 14.7 15.0 Weighted-average discount rate Operating leases 5.0 % 4.7 % Finance leases 4.3 % 4.2 % |
Summary of components of lease cost | ($ in millions) 2022 2021 2020 Operating lease costs $ 657 $ 653 $ 620 Variable lease costs 308 331 290 Short-term lease costs 19 23 23 Sublease income (1) (1) (1) Total operating lease costs 983 1,006 932 Finance lease costs: Amortization of leased assets 6 4 1 Interest on lease liabilities 3 1 — Total finance lease costs 9 5 1 Total lease cost $ 992 $ 1,011 $ 933 |
Summary of maturities of lease liabilities | ($ in millions) 2022 2021 2020 Operating lease costs $ 657 $ 653 $ 620 Variable lease costs 308 331 290 Short-term lease costs 19 23 23 Sublease income (1) (1) (1) Total operating lease costs 983 1,006 932 Finance lease costs: Amortization of leased assets 6 4 1 Interest on lease liabilities 3 1 — Total finance lease costs 9 5 1 Total lease cost $ 992 $ 1,011 $ 933 Maturities of lease liabilities as of January 28, 2023 are as follows: ($ in millions) Operating leases Finance leases Total 2023 $ 651 $ 8 $ 659 2024 576 8 584 2025 481 6 487 2026 387 4 391 2027 304 4 308 Thereafter 877 48 925 Total lease payments 3,276 78 3,354 Less: Interest 502 21 523 Total lease liabilities $ 2,774 $ 57 $ 2,831 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Accumulated Other Comprehensive Loss | ($ in millions) 2022 2021 2020 Foreign currency translation adjustments $ (148) $ (107) $ (64) Hedge contracts (3) — (1) Unrecognized pension cost and postretirement benefit (241) (236) (266) $ (392) $ (343) $ (331) |
Changes in Accumulated Other Comprehensive Loss | ($ in millions) 2022 2021 2020 Foreign currency translation adjustments $ (148) $ (107) $ (64) Hedge contracts (3) — (1) Unrecognized pension cost and postretirement benefit (241) (236) (266) $ (392) $ (343) $ (331) The changes in AOCL for the year ended January 28, 2023 were as follows: Foreign Items Related Currency to Pension and Translation Hedge Postretirement ($ in millions) Adjustments Contracts Benefits Total Balance as of January 29, 2022 $ (107) $ — $ (236) $ (343) OCI before reclassification (41) (3) 2 (42) Amortization of pension actuarial loss, net of tax — — 7 7 Pension and postretirement remeasurement, net of tax — — (14) (14) Other comprehensive income (41) (3) (5) (49) Balance as of January 28, 2023 $ (148) $ (3) $ (241) $ (392) |
Reclassification from Accumulated Other Comprehensive Loss | Reclassifications to income from AOCL for the year ended January 28, 2023 were as follows: ($ in millions) Amortization of actuarial loss: Pension benefits $ 10 Income tax benefit (3) Amortization of actuarial loss, net of tax $ 7 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Income Taxes [Abstract] | |
Domestic and International Pre-Tax Income | The domestic and international components of pre-tax income are as follows: ($ in millions) 2022 2021 2020 Domestic $ 440 $ 1,244 $ 647 International 84 (4) (153) Total pre-tax income $ 524 $ 1,240 $ 494 |
Income Tax Provision | The income tax provision consists of the following: ($ in millions) 2022 2021 2020 Current: Federal $ 64 $ 192 $ 114 State and local 27 66 43 International 68 16 23 Total current tax provision 159 274 180 Deferred: Federal 23 49 6 State and local 4 15 (2) International (6) 10 (13) Total deferred tax provision 21 74 (9) Total income tax provision $ 180 $ 348 $ 171 |
Reconciliation of Significant Differences between Federal Statutory Income Tax Rate and Effective Income Tax Rate on Pre-Tax Income from Continuing Operations | 2022 2021 2020 Federal statutory income tax rate 21.0 % 21.0 % 21.0 % Increase in valuation allowance 2.6 0.7 6.3 State and local income taxes, net of federal tax benefit 5.0 5.4 6.6 International income taxed at varying rates 8.4 2.4 4.3 Foreign tax credits (3.6) (1.4) (2.4) Domestic/foreign tax settlements (0.5) (0.3) (0.5) Federal tax credits (0.4) (0.1) (0.4) Other, net 1.8 0.4 (0.4) Effective income tax rate 34.3 % 28.1 % 34.5 % |
Significant Portions of Deferred Tax Accounts | Items that give rise to significant portions of our deferred tax assets and liabilities are as follows: January 28, January 29, ($ in millions) 2023 2022 Deferred tax assets: Tax loss/credit carryforwards and capital loss $ 123 $ 133 Employee benefits 42 38 Property and equipment — 15 Operating leases - liabilities 725 720 Other 61 74 Total deferred tax assets $ 951 $ 980 Valuation allowance (93) (80) Total deferred tax assets, net $ 858 $ 900 Deferred tax liabilities: Merchandise inventories $ 87 $ 68 Operating leases - assets 667 662 Goodwill and other intangible assets 123 155 Net investment gains 115 131 Property and equipment 6 — Other 7 22 Total deferred tax liabilities $ 1,005 $ 1,038 Net deferred tax liability $ (147) $ (138) Balance Sheet caption reported in: Deferred taxes $ 90 $ 86 Other liabilities (237) (224) $ (147) $ (138) |
Unrecognized Tax Benefits Activity | ($ in millions) 2022 2021 2020 Unrecognized tax benefits at beginning of year $ 41 $ 47 $ 45 Foreign currency translation adjustments (1) (2) 3 Increases related to current year tax positions 9 3 2 Increases related to prior period tax positions 7 2 3 Decreases related to prior period tax positions — (3) — Settlements — (1) (1) Lapse of statute of limitations (4) (5) (5) Unrecognized tax benefits at end of year $ 52 $ 41 $ 47 |
Financial Instruments and Ris_2
Financial Instruments and Risk Management (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Financial Instruments and Risk Management [Abstract] | |
Fair Value of Derivative Contracts on Gross Basis, by Type of Contract | Balance Sheet January 28, January 29, ($ in millions) Caption 2023 2022 Hedging Instruments: Foreign exchange forward contracts Current liabilities $ — $ 1 Cross-currency swap Non-current liabilities $ 3 $ — |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Fair Value Measurements [Abstract] | |
Assets and Liabilities Measured at Fair Value on Recurring Basis | Assets and Liabilities Measured at Fair Value on a Recurring Basis ($ in millions) As of January 28, 2023 As of January 29, 2022 Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Assets Minority investment in common stock $ — $ — $ — $ 145 $ — $ — Available-for-sale security — 6 — — 7 — Total assets $ — $ 6 $ — $ 145 $ 7 $ — Liabilities Contingent consideration $ — $ — $ 4 $ — $ — $ 35 Foreign exchange forward contracts — — — — 1 — Cross-currency swap contract — 3 — — — — Total liabilities $ — $ 3 $ 4 $ — $ 1 $ 35 |
Carrying Value and Estimated Fair Value of Long-Term Debt | ($ in millions) January 28, 2023 January 29, 2022 Carrying value (1) $ 395 $ 394 Fair value $ 338 $ 389 |
Retirement Plans and Other Be_2
Retirement Plans and Other Benefits (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Defined Benefit Plan Disclosure [Line Items] | |
Changes in Benefit Obligations and Plan Assets, Funded Status, and Amounts Recognized in Consolidated Balance Sheets | The following tables set forth the plans’ changes in benefit obligations and plan assets, funded status, and amounts recognized in the Consolidated Balance Sheets: ($ in millions) 2022 2021 Change in benefit obligation Benefit obligation at beginning of year $ 674 $ 753 Service cost 14 16 Interest cost 21 18 Plan participants’ contributions — — Actuarial gains (93) (55) Foreign currency translation adjustments (2) (1) Benefits paid (48) (55) Settlement — (2) Benefit obligation at end of year $ 566 $ 674 Change in plan assets Fair value of plan assets at beginning of year $ 676 $ 716 Actual return on plan assets (83) 11 Employer contributions 3 3 Foreign currency translation adjustments (2) 1 Benefits paid (48) (55) Fair value of plan assets at end of year $ 546 $ 676 Funded status $ (20) $ 2 Amounts recognized on the balance sheet: Other assets $ 4 $ 21 Accrued and other liabilities (3) (3) Other liabilities (21) (16) $ (20) $ 2 |
Information for Pension Plans with Accumulated Benefit Obligation in Excess of Plan Assets | Accordingly, the table below reflects the U.S. non-qualified plans for 2022 and 2021 and the U.S. qualified plan for 2022. |
Changes in Accumulated Other Comprehensive Loss (Pre-Tax) | ($ in millions) 2022 2021 Projected benefit obligation $ 533 $ 20 Accumulated benefit obligation 533 20 Fair value of plan assets 509 — 21 . Retirement Plans and Other Benefits (continued) The following table provides the amounts recognized in AOCL on a pre-tax basis: ($ in millions) Net actuarial loss at beginning of year $ 320 Amortization of net loss (10) Loss arising during the year 21 Foreign currency fluctuations (2) Net actuarial loss at end of year $ 329 |
Assumptions Used in the Calculation of Net Benefit Cost | Assumptions used in the calculation of net benefit cost include the discount rate selected and disclosed at the end of the previous year, as well as other assumptions detailed in the table below: 2022 2021 2020 Discount rate 3.2 % 2.5 % 2.9 % Rate of compensation increase 3.6 % 3.6 % 3.6 % Expected long-term rate of return on assets 4.8 % 5.3 % 5.5 % |
Net Benefit Expense (Income) | The following are the components of net periodic pension benefit cost. ($ in millions) 2022 2021 2020 Service cost $ 14 $ 16 $ 14 Interest cost 21 18 21 Expected return on plan assets (31) (35) (37) Amortization of net loss 10 10 12 Net benefit expense $ 14 $ 9 $ 10 |
Estimated Future Benefit Payments | Estimated future benefit payments for each of the next five years and the five years thereafter are as follows: ($ in millions) 2023 $ 68 2024 50 2025 47 2026 46 2027 44 2028-2032 198 |
United States | |
Defined Benefit Plan Disclosure [Line Items] | |
Fair Value of Pension Plan Assets | The fair values of the U.S. pension plan assets at January 28, 2023 and January 29, 2022 were as follows: ($ in millions) Level 1 Level 2 Level 3 2022 Total 2021 Total Cash $ 2 $ — $ — $ 2 $ — Cash equivalents — 1 — 1 4 Commingled funds: Equity securities — 130 — 130 163 Fixed-income securities — 341 — 341 425 Real estate securities — 8 — 8 9 Corporate stock 17 — — 17 18 Mutual fund 10 — — 10 12 Total assets at fair value $ 29 $ 480 $ — $ 509 $ 631 |
Canadian Qualified Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Fair Value of Pension Plan Assets | The fair values of the Canadian pension plan assets at January 28, 2023 and January 29, 2022 were as follows: ($ in millions) Level 1 Level 2 Level 3 2022 Total 2021 Total Cash equivalents $ — $ 6 $ — $ 6 $ 6 Equity securities: Canadian and international 3 — — 3 3 Fixed-income securities: Cash matched bonds — 28 — 28 36 Total assets at fair value $ 3 $ 34 $ — $ 37 $ 45 |
Benefit Obligations [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Assumptions Used in the Calculation of Net Benefit Cost | The following weighted-average assumptions were used to determine the benefit obligations under the plans: 2022 2021 Discount rate 5.0 % 3.2 % Rate of compensation increase 3.6 % 3.6 % |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Jan. 28, 2023 | |
Share-Based Compensation [Abstract] | |
Total Compensation Expense and the Related Tax Benefits Recognized | Share-Based Compensation Expense Total compensation expense included in SG&A and the associated tax benefits recognized related to our share-based compensation plans, were as follows: ($ in millions) 2022 2021 2020 Options and employee stock purchase plan $ 5 $ 6 $ 6 Restricted stock units and performance stock units 26 23 9 Total share-based compensation expense $ 31 $ 29 $ 15 Tax benefit recognized $ 3 $ 3 $ 2 |
Assumptions used to Compute Share-Based Compensation Expense | Stock Option Plans Stock Purchase Plan 2022 2021 2020 2022 2021 2020 Weighted-average risk free rate of interest 1.8 % 0.9 % 0.5 % 1.0 % 0.1 % 1.8 % Expected volatility 35 % 47 % 37 % 40.0 % 45 % 48 % Weighted-average expected award life (in years) 3.9 5.5 4.9 1.0 1.0 1.0 Dividend yield 2.7 % 1.5 % 4.3 % 2.6 % 4.0 % 4.2 % Weighted-average fair value $ 10.80 $ 20.22 $ 5.03 $ 18.46 $ 9.61 $ 13.97 |
Options Granted under Stock Option Plans | The information set forth in the following table covers options granted under our stock option plans: Weighted- Weighted- Number Average Average of Remaining Exercise Shares Contractual Life Price (in thousands) (in years) (per share) Options outstanding at the beginning of the year 3,211 $ 48.84 Granted 590 31.71 Exercised (207) 28.15 Expired or cancelled (338) 41.22 Options outstanding at January 28, 2023 3,256 4.5 $ 47.85 Options exercisable at January 28, 2023 2,535 3.3 $ 52.36 |
Total Intrinsic Value of Options Exercised | The total intrinsic value of options exercised (the difference between the market price of the Company’s common stock on the exercise date and the price paid by the optionee to exercise the option) is presented below: ($ in millions) 2022 2021 2020 Exercised $ 1 $ 8 $ 3 |
Aggregate Intrinsic Value for Stock Options Outstanding and Exercisable | The aggregate intrinsic value for stock options outstanding, and those outstanding and exercisable (the difference between the closing stock price on the last trading day of the period and the exercise price of the options, multiplied by the number of in-the-money stock options) is presented below: ($ in millions) 2022 Outstanding $ 20 Outstanding and exercisable $ 11 |
Information about Stock Options Outstanding and Exercisable | The following table summarizes information about stock options outstanding and exercisable at January 28, 2023: Options Outstanding Options Exercisable Weighted- Average Weighted- Weighted- Remaining Average Average Range of Exercise Number Contractual Exercise Number Exercise Prices Outstanding Life Price Exercisable Price (in thousands, except prices per share and contractual life) $21.60 - $36.51 1,123 7.0 $ 25.91 514 $ 23.09 $39.17 - $48.98 459 2.9 44.84 445 45.02 $53.61 - $58.94 493 5.1 56.75 395 57.46 $62.02 - $72.83 1,181 2.4 66.14 1,181 66.14 3,256 4.5 $ 47.85 2,535 $ 52.36 |
Restricted Share and Unit Activity | RSU and PSU activity is summarized as follows: Weighted-Average Number Remaining Weighted-Average of Contractual Grant Date Shares Life Fair Value (in thousands) (in years) (per share) Nonvested at beginning of year 1,391 $ 43.95 Granted 1,242 31.42 Vested (117) 54.29 Performance adjustment (1) 15 Forfeited (539) 35.56 Nonvested at January 28, 2023 1,992 1.3 $ 37.58 Aggregate value ($ in millions) $ 75 (1) This represents adjustments made to PSU awards reflecting changes in estimates based upon our current performance against predefined financial targets. |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 | |
Significant Accounting Policies [Line Items] | ||||
Shares of common stock repurchased to satisfy tax withholding obligations | $ 1 | $ 11 | $ 1 | |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ 3,293 | $ 3,243 | $ 2,776 | $ 2,473 |
Contingently Issuable Shares Excluded From Diluted Earnings Per Share | 400,000 | 400,000 | 400,000 | |
Cash equivalents | $ 41 | $ 48 | $ 503 | |
Investments | 579 | 725 | ||
Equity method investments | 51 | 56 | ||
Capitalized software, net of accumulated amortization | 87 | 103 | ||
Goodwill accumulated impairment charges | 167 | 167 | ||
Self-insured liabilities total | 13 | $ 14 | 13 | |
Retirement of treasury stock (in shares) | 5,474,288 | |||
Operating Lease, Right-of-Use Asset | 2,443 | $ 2,616 | ||
Operating Lease, Liability | $ 2,774 | 2,935 | ||
Treasury Stock [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ (88) | $ (3) | ||
Retirement of treasury stock (in shares) | 6,019,212 | 5,474,000 | 913,000 | |
Retirement of treasury stock | $ (213) | $ (260) | $ (34) | |
Retained Earnings | ||||
Significant Accounting Policies [Line Items] | ||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 2,925 | 2,900 | 2,326 | 2,103 |
Retirement of treasury stock | 167 | 218 | 27 | |
Accumulated Other Comprehensive Loss [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ (392) | $ (343) | $ (331) | $ (394) |
Restricted Stock and Units [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Award vesting period | 3 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Costs Included as Net Advertising Expenses) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Summary of Significant Accounting Policies [Abstract] | |||
Advertising expenses | $ 135 | $ 113 | $ 69 |
Digital advertising expense | 87 | 110 | 89 |
Cooperative advertising reimbursements | (37) | (29) | (14) |
Net advertising expense | $ 185 | $ 194 | $ 144 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Computation of Basic and Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Summary of Significant Accounting Policies [Abstract] | |||
Net income from continuing operations | $ 344 | $ 892 | $ 323 |
Net loss attributable to noncontrolling interests | 1 | 1 | |
Income from continuing operations attributable to Foot Locker, Inc. | 345 | 893 | 323 |
Net loss from discontinued operations, net of tax | (3) | ||
Net income attributable to Foot Locker, Inc. | $ 342 | $ 893 | $ 323 |
Weighted-average shares outstanding | 94.3 | 102.5 | 104.3 |
Dilutive effect of potential common shares | 1.2 | 1.3 | 0.8 |
Weighted-average common shares outstanding assuming dilution | 95.5 | 103.8 | 105.1 |
Basic earnings per share | |||
Earnings per share from continuing operations attributable to Foot Locker, Inc. | $ 3.66 | $ 8.72 | $ 3.10 |
Net loss per share from discontinued operations, net of tax | (0.04) | ||
Net earnings per share attributable to Foot Locker, Inc. | 3.62 | 8.72 | 3.10 |
Diluted earnings per share | |||
Earnings per share from continuing operations attributable to Foot Locker, Inc. | 3.62 | 8.61 | 3.08 |
Net loss per share from discontinued operations, net of tax | (0.04) | ||
Net earnings per share attributable to Foot Locker, Inc. | $ 3.58 | $ 8.61 | $ 3.08 |
Anti-dilutive share-based awards excluded from diluted calculation | 2.7 | 1.8 | 2.5 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Restricted Cash (Reconciliation of Cash and Cash Equivalents)) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | Feb. 01, 2020 |
Restricted Cash [Abstract] | ||||
Cash and cash equivalents | $ 536 | $ 804 | $ 1,680 | |
Restricted cash included in other current assets | 13 | 8 | 8 | |
Restricted cash included in other non-current assets | 33 | 38 | 30 | |
Cash, cash equivalents, and restricted cash | $ 582 | $ 850 | $ 1,718 | $ 942 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies (Estimated Useful Lives) (Details) | 12 Months Ended |
Jan. 28, 2023 | |
Buildings | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of the assets | 50 years |
Furniture, Fixtures and Equipment | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of the assets | 10 years |
Furniture, Fixtures and Equipment | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of the assets | 3 years |
Software | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of the assets | 5 years |
Software | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of the assets | 2 years |
Acquisition (Narrative) (Detail
Acquisition (Narrative) (Details) $ in Millions | 12 Months Ended | 24 Months Ended | |||
Nov. 01, 2021 USD ($) | Jan. 28, 2023 USD ($) | Jan. 29, 2022 USD ($) store | Jan. 28, 2023 USD ($) | Sep. 18, 2021 USD ($) | |
Business Combination Segment Allocation [Line Items] | |||||
Purchase of business, net of cash acquired | $ 14 | $ 1,056 | |||
Contingent consideration | 4 | 35 | $ 4 | ||
Goodwill | 785 | 797 | 785 | ||
atmos [Member] | |||||
Business Combination Segment Allocation [Line Items] | |||||
Payments to Acquire Businesses, Gross | $ 337 | 372 | |||
Purchase of business, net of cash acquired | 12 | 319 | |||
Contingent consideration | 35 | 4 | $ 35 | 4 | |
Goodwill | 249 | ||||
Increase in goodwill | 7 | ||||
Goodwill deductible for tax purposes | 30 | 30 | |||
Business Combination, Indemnification Assets, Range of Outcomes, Value, High | $ 20 | ||||
atmos [Member] | Maximum [Member] | |||||
Business Combination Segment Allocation [Line Items] | |||||
Contingent consideration | 111 | 111 | |||
WSS [Member] | |||||
Business Combination Segment Allocation [Line Items] | |||||
Percentage of business acquired | 100% | ||||
Payments to Acquire Businesses, Gross | $ 809 | ||||
Purchase of business, net of cash acquired | $ 2 | $ 737 | |||
Number of Stores | store | 93 | ||||
Goodwill | $ 407 |
Acquisition (Schedule of Assets
Acquisition (Schedule of Assets/Liabilities Acquired) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 | Nov. 01, 2021 | Sep. 18, 2021 |
Business Combination Segment Allocation [Line Items] | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | $ 135 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Other | (1) | |||
Goodwill | $ 785 | $ 797 | ||
atmos [Member] | ||||
Business Combination Segment Allocation [Line Items] | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Cash and Equivalents | $ 6 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory | 20 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Other | 12 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 7 | |||
Business Combination, Recognized Identifiable Assets Acquired, Right-of-use-assets | 44 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | 130 | 130 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 9 | 9 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Other Noncurrent Assets | 6 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Accounts Payable | (10) | |||
Business Combination, Recognized Identifiable Liabilities Assumed, Current Portion of Lease Obligations | (10) | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Other | (8) | |||
Business Combination, Recognized Identifiable Liabilities Assumed, Long-term Lease Obligations | (35) | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Liabilities | (40) | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other | (8) | |||
Goodwill | 249 | |||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net, Total | $ 372 | |||
WSS [Member] | ||||
Business Combination Segment Allocation [Line Items] | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Cash and Equivalents | $ 70 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory | 82 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Other | 10 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 133 | |||
Business Combination, Recognized Identifiable Assets Acquired, Right-of-use-assets | 143 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | 296 | 296 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 13 | 13 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Other Noncurrent Assets | 4 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Accounts Payable | (59) | |||
Business Combination, Recognized Identifiable Liabilities Assumed, Current Portion of Obligations Under Finance Leases | (3) | |||
Business Combination, Recognized Identifiable Liabilities Assumed, Current Portion of Lease Obligations | (19) | |||
Business Combination, Recognized Identifiable Liabilities Assumed, Long Term Portion of Obligations Under Finance Leases | (50) | |||
Business Combination, Recognized Identifiable Liabilities Assumed, Long-term Lease Obligations | (127) | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Liabilities | (87) | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other | (4) | |||
Goodwill | 407 | |||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net, Total | $ 809 |
Revenue (Schedule of Sales Disa
Revenue (Schedule of Sales Disaggregated by Sales Channel) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Total Revenue | $ 8,759 | $ 8,968 | $ 7,554 |
Sales | |||
Total Revenue | 8,747 | 8,958 | 7,548 |
Licensing Revenue | |||
Total Revenue | 12 | 10 | 6 |
Store Sales Channel [Member] | Sales | |||
Total Revenue | 7,219 | 7,029 | 5,447 |
Direct to Customers Sales Channel [Member] | Sales | |||
Total Revenue | $ 1,528 | $ 1,929 | $ 2,101 |
Revenue (Schedule of Sales Di_2
Revenue (Schedule of Sales Disaggregated by Geographic Area) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Total Revenue | $ 8,759 | $ 8,968 | $ 7,554 |
United States | |||
Total Revenue | 5,981 | 6,477 | 5,581 |
North America [Member] | |||
Total Revenue | 6,423 | 6,895 | 5,938 |
International [Member] | |||
Total Revenue | $ 2,778 | $ 2,491 | $ 1,973 |
Revenue (Revenue by Segment) (D
Revenue (Revenue by Segment) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Total Revenue | $ 8,759 | $ 8,968 | $ 7,554 |
Sales | |||
Total Revenue | 8,747 | 8,958 | 7,548 |
North America [Member] | |||
Total Revenue | 6,423 | 6,895 | 5,938 |
North America [Member] | Foot Locker [Member] | |||
Total Revenue | 3,304 | 3,295 | 2,835 |
North America [Member] | Champ Sports [Member] | |||
Total Revenue | 1,681 | 1,939 | 1,610 |
North America [Member] | Kids Foot Locker [Member] | |||
Total Revenue | 708 | 724 | 590 |
North America [Member] | WSS [Member] | |||
Total Revenue | 604 | 195 | |
North America [Member] | Other [Member] | |||
Total Revenue | 126 | 742 | 903 |
EMEA [Member] | |||
Total Revenue | 1,722 | 1,641 | 1,343 |
EMEA [Member] | Foot Locker [Member] | |||
Total Revenue | 1,628 | 1,565 | 1,250 |
EMEA [Member] | Sidestep [Member] | |||
Total Revenue | 94 | 76 | 46 |
EMEA [Member] | Other [Member] | |||
Total Revenue | 47 | ||
Asia Pacific [Member] | |||
Total Revenue | 602 | 422 | 267 |
Asia Pacific [Member] | Foot Locker [Member] | |||
Total Revenue | 414 | 373 | $ 267 |
Asia Pacific [Member] | atmos [Member] | |||
Total Revenue | $ 188 | $ 49 |
Revenue (Activity of Gift Card
Revenue (Activity of Gift Card Liability Balance) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 28, 2023 | Jan. 29, 2022 | |
Accrued gift card liability at beginning of period | $ 46 | $ 41 |
Liabilities acquired - WSS | 1 | |
Accrued gift card liability at end of period | 36 | 46 |
Gift Card Redemption Revenue [Member] | ||
Revenue recognized | (259) | (249) |
Gift Card Breakage Revenue [Member] | ||
Revenue recognized | (17) | (17) |
Gift Card Activations [Member] | ||
Activations | $ 266 | 271 |
Gift Card Foreign Currency Fluctuations [Member] | ||
Foreign currency fluctuations | $ (1) |
Segment Information (Narrative)
Segment Information (Narrative) (Details) | 12 Months Ended |
Jan. 28, 2023 segment | |
Segment Information [Abstract] | |
Operating segments | 3 |
Number of reportable segments | 1 |
Segment Information (Sales and
Segment Information (Sales and Division Operating Results for Reportable Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Segment Reporting Information [Line Items] | |||
Total Revenue | $ 8,759 | $ 8,968 | $ 7,554 |
Division profit | 844 | 1,171 | 497 |
Less: Impairment and other charges | 112 | 172 | 117 |
Less: Corporate expense | 151 | 129 | 71 |
Income from operations | 581 | 870 | 309 |
Interest expense, net | (15) | (14) | (7) |
Other (expense) / income, net | (42) | 384 | 192 |
Income from continuing operations before income taxes | $ 524 | 1,240 | 494 |
Corporate, Non-Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Corporate Expense Due to Allocation Changes | $ 19 | $ 28 |
Segment Information (Sales an_2
Segment Information (Sales and Long-Lived Asset Information by Geographic Area) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Segment Reporting Information [Line Items] | |||
Total Revenue | $ 8,759 | $ 8,968 | $ 7,554 |
Long-lived assets | 3,363 | 3,533 | 3,504 |
United States | |||
Segment Reporting Information [Line Items] | |||
Total Revenue | 5,981 | 6,477 | 5,581 |
Long-lived assets | 2,152 | 2,285 | 2,218 |
International [Member] | |||
Segment Reporting Information [Line Items] | |||
Total Revenue | 2,778 | 2,491 | 1,973 |
Long-lived assets | $ 1,211 | $ 1,248 | $ 1,286 |
Segment Information (Schedule o
Segment Information (Schedule of Segment Information) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Segment Reporting Information [Line Items] | |||
Depreciation and Amortization | $ 208 | $ 197 | $ 176 |
Capital Expenditures | 285 | 209 | 159 |
Total Assets | 7,907 | 8,135 | 7,043 |
Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation and Amortization | 169 | 163 | 152 |
Capital Expenditures | 200 | 127 | 88 |
Total Assets | 7,178 | 7,184 | 5,159 |
Corporate, Non-Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation and Amortization | 39 | 34 | 24 |
Capital Expenditures | 85 | 82 | 71 |
Total Assets | $ 729 | $ 951 | $ 1,884 |
Impairment and Other Charges (S
Impairment and Other Charges (Schedule of Impairment and Other Charges) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | 48 Months Ended | ||
Jan. 28, 2023 | Jul. 30, 2022 | Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | Jan. 28, 2023 | |
Transformation consulting | $ 42 | $ 4 | $ 53 | |||
Impairment of long-lived assets and right-of-use assets | $ 53 | $ 5 | 58 | 92 | $ 77 | |
Acquisition and integration costs | 4 | 24 | ||||
Lease termination costs | 15 | |||||
Other | 8 | 2 | ||||
Impairment of investments | 42 | 4 | ||||
Reorganization costs | 22 | 4 | 7 | |||
Social unrest net of insurance recovery | (7) | 8 | ||||
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | (31) | |||||
Litigation related charges | $ 9 | 9 | 2 | |||
Total impairment and other charges | $ 112 | $ 172 | 117 | |||
Runners Point Group [Member] | ||||||
Runners Point shut down | $ 19 |
Impairment and Other Charges (N
Impairment and Other Charges (Narrative) (Details) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | 48 Months Ended | ||
Jan. 28, 2023 USD ($) store | Jul. 30, 2022 USD ($) | Jan. 28, 2023 USD ($) | Jan. 29, 2022 USD ($) | Jan. 30, 2021 USD ($) | Jan. 28, 2023 USD ($) | |
Impairment and Other Charges [Line Items] | ||||||
Litigation charge | $ (9) | $ (9) | $ (2) | |||
Impairment of assets | $ 53 | $ 5 | 58 | $ 92 | 77 | |
Lease termination costs | (15) | |||||
Transformation consulting | 42 | 4 | $ 53 | |||
Impairment of investments | 42 | 4 | ||||
Number of underperforming stores evaluated for impairment | store | 142 | |||||
Number of stores with non-cash impairment charge | store | 110 | |||||
Acquisition and integration costs | $ 4 | 4 | 24 | $ 4 | ||
Reorganization costs | 22 | 4 | $ 7 | |||
Fair value change in contingent consideration | (31) | |||||
Other intangible assets impairments | 8 | $ 2 | ||||
Sidestep [Member] | ||||||
Impairment and Other Charges [Line Items] | ||||||
Impairment of assets | $ 17 | |||||
Number of underperforming stores evaluated for impairment | store | 70 | |||||
Reorganization costs | 4 | |||||
Other intangible assets impairments | $ 8 | |||||
atmos [Member] | ||||||
Impairment and Other Charges [Line Items] | ||||||
Fair value change in contingent consideration | $ 31 |
Other Income (Expense), net (Na
Other Income (Expense), net (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Other Income Non operating [Line Items] | |||
Gain on disposal of business | $ 19 | ||
Proceeds from sale of business | 47 | ||
Payments to Acquire Other Investments | $ 68 | ||
Gain (loss) from equity method investment | 1 | 3 | $ (1) |
Insurance Recoveries | 7 | ||
Net benefit expense (income) | 7 | 5 | |
GOAT [Member] | |||
Other Income Non operating [Line Items] | |||
Gain on investment | 290 | $ 190 | |
Retailors, Ltd [Member] | |||
Other Income Non operating [Line Items] | |||
Unrealized Gain on Securities | 9 | ||
Marketable Securities, Unrealized Gain (Loss) | 68 | ||
Gain on investment | (61) | $ 77 | |
Gain (loss) from equity method investment | 1 | ||
Buildings | Retailors, Ltd [Member] | |||
Other Income Non operating [Line Items] | |||
Gain on investment | $ 62 |
Other Income _ (Expense), net_2
Other Income / (Expense), net (Schedule of Total Other Income / (Expense), Net) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Schedule of Equity Method Investments [Line Items] | |||
Share of earnings (losses) related to other minority investments | $ 1 | $ 3 | $ (1) |
Team Sales divestiture | 19 | ||
Pension and postretirement net benefit income, excluding service cost | 7 | 5 | |
Other | (1) | 7 | (2) |
Total other income / (expense), net | (42) | 384 | 192 |
Retailors, Ltd [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Minority investment | (61) | 77 | |
Share of earnings (losses) related to other minority investments | $ 1 | ||
GOAT [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Minority investment | $ 290 | $ 190 |
Merchandise Inventories (Schedu
Merchandise Inventories (Schedule of Merchandise Inventories) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Merchandise Inventories [Abstract] | ||
LIFO inventories | $ 1,093 | $ 788 |
FIFO inventories | 550 | 478 |
Inventory, Net, Total | $ 1,643 | $ 1,266 |
Other Current Assets (Schedule
Other Current Assets (Schedule of Other Current Assets) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 |
Other Current Assets [Abstract] | |||
Net receivables | $ 160 | $ 134 | |
Prepaid rent | 19 | 19 | |
Prepaid income taxes | 62 | 56 | |
Other prepaid expenses | 71 | 64 | |
Restricted cash | 13 | 8 | $ 8 |
Other | 17 | 12 | |
Other current assets | $ 342 | $ 293 |
Property and Equipment, Net (Sc
Property and Equipment, Net (Schedule of Property and Equipment) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 1,436 | $ 1,385 |
Less: accumulated depreciation | (948) | (902) |
Property plant and equipment excluding leasehold and building improvements | 488 | 483 |
Property and equipment, net | 920 | 917 |
Finance leases, assets under finance leases | 65 | 65 |
Less: accumulated amortization | (12) | (6) |
Finance leases, net | 53 | 59 |
Assets under finance leases, net | 53 | 59 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 4 | 4 |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 53 | 52 |
Furniture, Fixtures, Equipment and Software Development Costs | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,379 | 1,329 |
Leasehold and Building Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 967 | 954 |
Less: accumulated depreciation | (588) | (579) |
Property and equipment, net | $ 379 | $ 375 |
Other Intangible Assets, Net (S
Other Intangible Assets, Net (Schedule of Other Intangible Asset) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 28, 2023 | Jan. 29, 2022 | |
Intangible Assets by Major Class [Line Items] | ||
Amortized intangible assets, Gross value | $ 140 | $ 138 |
Amortized intangible assets, Accum. amort. | (127) | (124) |
Amortized intangible assets, Net value | $ 13 | 14 |
Amortized intangible assets, Wtd. Avg. Life in Years | 5 years | |
Other intangible assets, net | $ 426 | 454 |
Lease Acquisition Costs [Member] | ||
Intangible Assets by Major Class [Line Items] | ||
Amortized intangible assets, Gross value | 102 | 107 |
Amortized intangible assets, Accum. amort. | (100) | (104) |
Amortized intangible assets, Net value | $ 2 | 3 |
Amortized intangible assets, Wtd. Avg. Life in Years | 9 years 4 months 24 days | |
Trademarks and Trade Names [Member] | ||
Intangible Assets by Major Class [Line Items] | ||
Amortized intangible assets, Gross value | $ 18 | 18 |
Amortized intangible assets, Accum. amort. | (18) | (18) |
Indefinite life intangible assets, Net Value | 413 | 440 |
Customer Lists [Member] | ||
Intangible Assets by Major Class [Line Items] | ||
Amortized intangible assets, Gross value | 20 | 13 |
Amortized intangible assets, Accum. amort. | (9) | (2) |
Amortized intangible assets, Net value | $ 11 | $ 11 |
Amortized intangible assets, Wtd. Avg. Life in Years | 3 years | |
WSS [Member] | ||
Intangible Assets by Major Class [Line Items] | ||
Finite-Lived Intangible Assets, Remaining Amortization Period | 3 years |
Other Intangible Assets, Net (A
Other Intangible Assets, Net (Amortization Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Goodwill and Other Intangible Assets, Net [Abstract] | |||
Amortization expense | $ 8 | $ 5 | $ 3 |
Other Intangible Assets, Net (E
Other Intangible Assets, Net (Estimated Future Amortization Expense for Finite Lived Intangibles) (Details) $ in Millions | Jan. 28, 2023 USD ($) |
Goodwill and Other Intangible Assets, Net [Abstract] | |
2023 | $ 7 |
2024 | 5 |
2025 | $ 1 |
Other Assets (Schedule of Other
Other Assets (Schedule of Other Assets) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 |
Other Assets [Abstract] | |||
Restricted cash | $ 13 | $ 8 | $ 8 |
Restricted cash | 33 | 38 | $ 30 |
Security Deposit | 29 | 33 | |
Pension asset | 4 | 21 | |
Auction rate security | 6 | 7 | |
Other | 20 | 22 | |
Other Assets, Noncurrent, Total | $ 92 | $ 121 |
Accrued and Other Liabilities_2
Accrued and Other Liabilities (Schedule of Accrued and Other Liabilities) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Accrued and Other Liabilities [Abstract] | ||
Taxes other than income taxes | $ 69 | $ 75 |
Income taxes payable | 39 | 11 |
Other payroll and payroll related costs, excluding taxes | 99 | 78 |
Incentive bonuses | 72 | 82 |
Customer deposits | 39 | 50 |
Rent related costs | 35 | 57 |
Property and equipment | 39 | 58 |
Advertising | 30 | 34 |
Other | 146 | 116 |
Other Liabilities, Current, Total | $ 568 | $ 561 |
Revolving Credit Facility (Narr
Revolving Credit Facility (Narrative) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended | |||
Jan. 29, 2022 | Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | Jul. 14, 2020 | |
Line of Credit Facility [Line Items] | |||||
Deferred financing fees, unamortized balance | $ 3 | ||||
Interest expense, net | $ 3 | $ 3 | $ 5 | ||
Revolving Credit Facility [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Revolving credit facility | $ 600 | ||||
Revolving credit facility maturity date | Jul. 14, 2025 | ||||
Commitment fee percentage | 0.25% | ||||
Federal Funds Rate [Member] | Revolving Credit Facility [Member] | Maximum [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Debt, basis spread on variable rate | 0.75% | ||||
Federal Funds Rate [Member] | Revolving Credit Facility [Member] | Minimum [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Debt, basis spread on variable rate | 0.25% | ||||
London Interbank Offered Rate (LIBOR) [Member] | Revolving Credit Facility [Member] | Maximum [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Debt, basis spread on variable rate | 1.75% | ||||
London Interbank Offered Rate (LIBOR) [Member] | Revolving Credit Facility [Member] | Minimum [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Debt, basis spread on variable rate | 1.25% |
Long-Term Debt and Obligation_3
Long-Term Debt and Obligations Under Finance Leases (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Debt Instrument [Line Items] | |||
Debt | $ 395 | $ 394 | |
Obligations under finance leases | 57 | 63 | |
Debt and lease obligations | 452 | 457 | |
Current portion of debt and obligations under finance leases | 6 | 6 | |
Long-term debt and obligations under finance leases | 446 | 451 | |
Proceeds from Issuance of Unsecured Debt | 395 | ||
Interest expense related to long-term debt | 17 | 12 | $ 8 |
Finance Lease, Liability, Current | $ 6 | $ 6 | |
Senior Notes Due 2029 [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate of notes (as a percent) | 4% | 4% |
Other Liabilities (Schedule of
Other Liabilities (Schedule of Other Liabilities) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Other Liabilities [Abstract] | ||
Pension benefits | $ 21 | $ 16 |
Contingent consideration | 4 | 35 |
Income taxes | 31 | 28 |
Deferred taxes | 237 | 224 |
Other | 35 | 40 |
Other Liabilities, Noncurrent, Total | $ 328 | $ 343 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Schedule Of Operating Leases [Line Items] | |||
Variable lease costs | $ 308 | $ 331 | $ 290 |
Sublease income | 1 | $ 1 | $ 1 |
Operating leases not yet commenced, future undiscounted lease payments | $ 102 | ||
Minimum [Member] | |||
Schedule Of Operating Leases [Line Items] | |||
Operating lease period | 5 years | ||
Maximum [Member] | |||
Schedule Of Operating Leases [Line Items] | |||
Operating lease period | 10 years |
Leases (Operating Lease) (Detai
Leases (Operating Lease) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Operating leases: | ||
Operating lease right-of-use assets | $ 2,443 | $ 2,616 |
Operating lease liabilities classified as current | 544 | 572 |
Operating lease liabilities classified as long-term | 2,230 | 2,363 |
Total operating lease liabilities | 2,774 | 2,935 |
Finance leases: | ||
Property and equipment, net | $ 53 | $ 59 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Property Plant And Equipment Net | Property Plant And Equipment Net |
Current portion of obligations under finance leases | $ 6 | $ 6 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Long-term Debt and Lease Obligation, Current | Long-term Debt and Lease Obligation, Current |
Long-term obligations under finance leases | $ 51 | $ 57 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Long-term Debt and Lease Obligation | Long-term Debt and Lease Obligation |
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration] | Long-term Debt and Lease Obligation, Long-term Debt and Lease Obligation, Current | Long-term Debt and Lease Obligation, Long-term Debt and Lease Obligation, Current |
Total finance lease obligations | $ 57 | $ 63 |
Leases (Other and Supplement Ca
Leases (Other and Supplement Cash Flow) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Leases [Abstract] | |||
Operating lease weighted average remaining lease term (years) | 6 years 6 months | 6 years 8 months 12 days | |
Finance lease, weighted average remaining lease term | 14 years 8 months 12 days | 15 years | |
Operating lease, weighted average discount rate | 5% | 4.70% | |
Finance lease, weighted average discount rate, percent | 4.30% | 4.20% | |
Cash paid for amounts included in measurement of operating lease liabilities: | $ 704 | $ 790 | $ 626 |
Right-of-use assets obtained in exchange for lease obligations: | 458 | 417 | 331 |
Cash paid for amounts included in measurement of finance lease liabilities | $ 9 | 5 | 1 |
Leases obtained in exchange for finance lease obligations | $ 4 | $ 11 |
Leases (Lease Cost) (Details)
Leases (Lease Cost) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Components of lease cost | |||
Operating lease costs | $ 657 | $ 653 | $ 620 |
Variable lease costs | 308 | 331 | 290 |
Short-term lease costs | 19 | 23 | 23 |
Sublease Income | (1) | (1) | (1) |
Lessee, Total Operating Lease Cost | 983 | 1,006 | 932 |
Lessee, Finance Lease, Description [Abstract] | |||
Finance Lease, Right-of-Use Asset, Amortization | 6 | 4 | 1 |
Interest on lease liabilities | 3 | 1 | |
Total finance lease costs | 9 | 5 | 1 |
Net lease cost | $ 992 | $ 1,011 | $ 933 |
Leases (Future Minimum Lease Pa
Leases (Future Minimum Lease Payments Under Non-Cancelable Operating Leases Net of Future Non-Cancelable Operating Sublease Payments) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Maturities of lease liabilities | ||
2022 | $ 651 | |
2023 | 576 | |
2024 | 481 | |
2025 | 387 | |
2026 | 304 | |
Thereafter | 877 | |
Total lease payments | 3,276 | |
Less: Interest | 502 | |
Total operating lease liabilities | 2,774 | $ 2,935 |
Finance Lease, Liability, Payment, Due [Abstract] | ||
2022 | 8 | |
2023 | 8 | |
2024 | 6 | |
2025 | 4 | |
2026 | 4 | |
Thereafter | 48 | |
Total lease payments | 78 | |
Less: Interest | 21 | |
Total finance lease obligations | 57 | $ 63 |
Operating And Finance Lease Liabilities Payments Due [Abstract] | ||
2022 | 659 | |
2023 | 584 | |
2024 | 487 | |
2025 | 391 | |
2026 | 308 | |
Thereafter | 925 | |
Total lease payments | 3,354 | |
Less: Interest | 523 | |
Total lease liabilities | $ 2,831 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Schedule of Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 |
Accumulated Other Comprehensive Loss [Abstract] | |||
Foreign currency translation adjustments | $ (148) | $ (107) | $ (64) |
Cash flow hedges | (3) | (1) | |
Unrecognized pension cost and postretirement benefit | (241) | (236) | (266) |
Accumulated other comprehensive loss ("AOCL"), net of tax | $ (392) | $ (343) | $ (331) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss (Changes in Accumulated Other Comprehensive Loss) (Details) $ in Millions | 12 Months Ended |
Jan. 28, 2023 USD ($) | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning Balance | $ (343) |
OCI before reclassification | (42) |
Amortization of pension actuarial loss, net of tax | (7) |
Pension remeasurement, net of tax | (14) |
Other comprehensive income | (49) |
Ending Balance | (392) |
Foreign Currency Translation Adjustments [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning Balance | (107) |
OCI before reclassification | (41) |
Other comprehensive income | (41) |
Ending Balance | (148) |
Cash Flow Hedges [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
OCI before reclassification | (3) |
Other comprehensive income | (3) |
Ending Balance | (3) |
Items Related to Pension and Postretirement Benefits [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning Balance | (236) |
OCI before reclassification | 2 |
Amortization of pension actuarial loss, net of tax | (7) |
Pension remeasurement, net of tax | (14) |
Other comprehensive income | (5) |
Ending Balance | $ (241) |
Accumulated Other Comprehensi_5
Accumulated Other Comprehensive Loss (Reclassifications from Accumulated Other Comprehensive Loss) (Details) $ in Millions | 12 Months Ended |
Jan. 28, 2023 USD ($) | |
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |
Income tax benefit | $ (3) |
Amortization of pension actuarial loss, net of tax | (7) |
Pension Benefits [Member] | |
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |
Pension benefits | $ 10 |
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 | |
Income Taxes [Line Items] | ||||
Effective Income Tax Rate Continuing Operations | 34.30% | 28.10% | 34.50% | |
Federal statutory income tax rate | 21% | 21% | 21% | |
Undistributed foreign earnings | $ 571 | |||
Valuation allowance | 93 | $ 80 | ||
Valuation allowance excess of tax rate | 15 | |||
Capital loss | 1 | |||
Gross unrecognized tax benefits | 52 | $ 41 | $ 47 | $ 45 |
Net unrecognized tax benefits that would impact effective tax rate | 44 | |||
Interest and penalties | 6 | |||
Impairment Northern Group Note 2008 [Member] | ||||
Income Taxes [Line Items] | ||||
Valuation allowance | 1 | |||
International [Member] | ||||
Income Taxes [Line Items] | ||||
International minimum tax credit carryforwards | 3 | |||
Operating loss carryforwards Foreign | $ 100 | |||
International [Member] | Minimum [Member] | ||||
Income Taxes [Line Items] | ||||
Operating loss carryforwards state, expiration date | 2023 | |||
Foreign Tax Authority [Member] | ||||
Income Taxes [Line Items] | ||||
Valuation allowance | $ 77 | |||
Operating loss carryforwards subject to expiration | $ 19 |
Income Taxes (Domestic and Inte
Income Taxes (Domestic and International Components of Pre-Tax Income) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Income Taxes [Abstract] | |||
Domestic | $ 440 | $ 1,244 | $ 647 |
International | 84 | (4) | (153) |
Total pre-tax income | $ 524 | $ 1,240 | $ 494 |
Income Taxes (Income Tax Provis
Income Taxes (Income Tax Provision) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Current: | |||
Federal | $ 64 | $ 192 | $ 114 |
State and local | 27 | 66 | 43 |
International | 68 | 16 | 23 |
Total current tax provision | 159 | 274 | 180 |
Deferred: | |||
Federal | 23 | 49 | 6 |
State and local | 4 | 15 | (2) |
International | (6) | 10 | (13) |
Total deferred tax (benefit) provision | 21 | 74 | (9) |
Total income tax provision | $ 180 | $ 348 | $ 171 |
Income Taxes (Reconciliation of
Income Taxes (Reconciliation of Significant Differences Between Federal Statutory Income Tax Rate and Effective Income Tax Rate on Pre-Tax Income) (Details) | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Income Taxes [Abstract] | |||
Federal statutory income tax rate | 21% | 21% | 21% |
Increase in valuation allowance | 2.60% | 0.70% | 6.30% |
State and local income taxes, net of federal tax benefit | 5% | 5.40% | 6.60% |
International income taxed at varying rates | 8.40% | 2.40% | 4.30% |
Foreign tax credits | (3.60%) | (1.40%) | (2.40%) |
Domestic/foreign tax settlements | (0.50%) | (0.30%) | (0.50%) |
Federal tax credits | (0.40%) | (0.10%) | (0.40%) |
Other, net | 1.80% | 0.40% | (0.40%) |
Effective income tax rate | 34.30% | 28.10% | 34.50% |
Income Taxes (Significant Porti
Income Taxes (Significant Portions of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Deferred tax assets: | ||
Tax loss/credit carryforwards and capital loss | $ 123 | $ 133 |
Employee benefits | 42 | 38 |
Property and equipment | 15 | |
Operating leases - liabilities | 725 | 720 |
Other | 61 | 74 |
Total deferred tax assets | 951 | 980 |
Valuation allowance | (93) | (80) |
Total deferred tax assets, net | 858 | 900 |
Deferred tax liabilities: | ||
Merchandise inventories | 87 | 68 |
Operating leases - assets | 667 | 662 |
Goodwill and other intangible assets | 123 | 155 |
Net investment gains | 115 | 131 |
Property and equipment | 6 | |
Other | 7 | 22 |
Total deferred tax liabilities | 1,005 | 1,038 |
Net deferred tax liability | (147) | (138) |
Balance Sheet caption reported in: | ||
Deferred taxes | 90 | 86 |
Other liabilities | $ (237) | $ (224) |
Income Taxes (Unrecognized Tax
Income Taxes (Unrecognized Tax Benefits Activity) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Income Taxes [Abstract] | |||
Unrecognized tax benefits at beginning of year | $ 41 | $ 47 | $ 45 |
Foreign currency translation adjustments | (1) | (2) | 3 |
Increases related to current year tax positions | 9 | 3 | 2 |
Increases related to prior period tax positions | 7 | 2 | 3 |
Decreases related to prior period tax positions | (3) | ||
Settlements | (1) | (1) | |
Lapse of statute of limitations | (4) | (5) | (5) |
Unrecognized tax benefits at end of year | $ 52 | $ 41 | $ 47 |
Financial Instruments and Ris_3
Financial Instruments and Risk Management (Narrative) (Details) $ in Millions, ¥ in Billions | 12 Months Ended | |||||
Jan. 28, 2023 USD ($) country | Jan. 29, 2022 USD ($) | Jan. 30, 2021 USD ($) | May 06, 2021 USD ($) | May 06, 2021 JPY (¥) | May 05, 2021 | |
Derivative [Line Items] | ||||||
Notional value of contracts outstanding | $ 85 | ¥ 11 | ||||
Derivative, fixed rate | 6.77% | 6.77% | 3.51% | |||
Derivative, fair value | $ 3 | |||||
Change in fair value of derivatives, net of income tax benefit of $-, $-, and $-, respectively | (3) | $ 1 | $ 2 | |||
Hedge Derivative, AOCL | (3) | $ (1) | ||||
Derivative, AOCL | 3 | |||||
Derivative income | $ 2 | |||||
Number of countries of operation | country | 29 | |||||
Top Five Suppliers [Member] | Cost of Goods and Service Benchmark [Member] | Supplier Concentration Risk [Member] | ||||||
Derivative [Line Items] | ||||||
Concentration risk, percentage | 86% | |||||
Nike | Cost of Goods and Service Benchmark [Member] | Supplier Concentration Risk [Member] | ||||||
Derivative [Line Items] | ||||||
Concentration risk, percentage | 65% | |||||
Nike | Minimum [Member] | Cost of Goods and Service Benchmark [Member] | Supplier Concentration Risk [Member] | ||||||
Derivative [Line Items] | ||||||
Concentration risk, percentage | 50% | |||||
Nike | Maximum [Member] | Cost of Goods and Service Benchmark [Member] | Supplier Concentration Risk [Member] | ||||||
Derivative [Line Items] | ||||||
Concentration risk, percentage | 75% | |||||
European | ||||||
Derivative [Line Items] | ||||||
Number of countries of operation | country | 20 | |||||
Net assets | $ 454 | |||||
Number of countries that uses the Euro as the functional currency | country | 11 |
Financial Instruments and Ris_4
Financial Instruments and Risk Management (Fair Value Derivative Contracts on Gross Basis by Type of Contract) (Details) - Forward Foreign Exchange Contracts [Member] - Derivatives Designated as Hedging Instruments [Member] - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Derivative [Line Items] | ||
Fair value of derivative hedging liability | $ 1 | |
Current Liabilities [Member] | ||
Derivative [Line Items] | ||
Fair value of derivative hedging liability | $ 3 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets and Liabilities Measured at Fair Value on Recurring Basis) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Assets measured at fair value on recurring basis | $ 145 | |
Liabilities measured at fair value on recurring basis | ||
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Investment in Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Assets measured at fair value on recurring basis | 145 | |
Level 2 [Member] | Available-for-sale Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Assets measured at fair value on recurring basis | 6 | 7 |
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Assets measured at fair value on recurring basis | 6 | 7 |
Liabilities measured at fair value on recurring basis | 3 | 1 |
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Investment in Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Assets measured at fair value on recurring basis | ||
Level 3 [Member] | Contingent Consideration [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Liabilities measured at fair value on recurring basis | 4 | 35 |
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Liabilities measured at fair value on recurring basis | 4 | 35 |
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Investment in Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Assets measured at fair value on recurring basis | ||
Forward Foreign Exchange Contracts [Member] | Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Derivative Financial Instruments, Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Liabilities measured at fair value on recurring basis | ||
Forward Foreign Exchange Contracts [Member] | Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Derivative Financial Instruments, Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Liabilities measured at fair value on recurring basis | 1 | |
Forward Foreign Exchange Contracts [Member] | Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Derivative Financial Instruments, Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Liabilities measured at fair value on recurring basis | ||
Cross Currency Interest Rate Contract [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Liabilities measured at fair value on recurring basis | $ 3 |
Fair Value Measurements (Carryi
Fair Value Measurements (Carrying Value and Estimated Fair Value of Long-Term Debt) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Debt Instrument [Line Items] | ||
Debt discount | $ 5 | $ 5 |
Long-term debt, Fair value | 338 | 389 |
Long-term debt, Carrying value | $ 395 | $ 394 |
Senior Notes Due 2029 [Member] | ||
Debt Instrument [Line Items] | ||
Interest rate of notes (as a percent) | 4% | 4% |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | 48 Months Ended | |
Jul. 31, 2021 | Jan. 28, 2023 | Jan. 29, 2022 | Jan. 28, 2023 | |
Fair Value, Assets, Level 2 to Level 1 Transfers, Amount | $ 0 | $ 0 | $ 0 | |
Fair Value, Assets, Level 1 to Level 2 Transfers, Amount | 0 | 0 | 0 | |
Fair Value, Liabilities, Level 1 to Level 2 Transfers, Amount | 0 | 0 | 0 | |
Fair Value, Liabilities, Level 2 to Level 1 Transfers, Amount | 0 | 0 | 0 | |
Equity method investment fair value | 579 | 579 | 579 | |
Transformation consulting | $ 42 | $ 4 | $ 53 | |
Increase (decrease) in minority interests | $ 68 | |||
Senior Notes Due 2029 [Member] | ||||
Interest rate | 4% | 4% | 4% |
Retirement Plans and Other Be_3
Retirement Plans and Other Benefits (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | Dec. 31, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Plan participants years of service threshold | 11 years | 11 years | ||
Accumulated projected benefit obligation | $ 533 | $ 20 | ||
Investment in Equity Securities [Member] | Canadian Qualified Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target composition of plan assets | 5% | |||
Fixed Income Securities | Canadian Qualified Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target composition of plan assets | 95% | |||
Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Pension benefits paid | $ 48 | $ 55 | ||
Discount rate, net periodic benefit costs | 3.20% | 2.50% | 2.90% | |
Pension Benefits [Member] | Nonqualified Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Pension benefits paid | $ 3 | $ 3 | ||
Pension Benefits [Member] | United States | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined benefit plans fixed interest rate | 6% | |||
Pension Benefits [Member] | United States | Qualified Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Market-related value of plan assets | $ 618 | $ 652 | ||
Pension Benefits [Member] | Investment in Equity Securities [Member] | United States | Qualified Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target composition of plan assets | 28.50% | |||
Pension Benefits [Member] | Fixed Income Securities | United States | Qualified Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target composition of plan assets | 70% | |||
Pension Benefits [Member] | Real Estate Investment Trust | United States | Qualified Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target composition of plan assets | 1.50% | |||
Minimum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Market-related value of plan assets, Period for calculation | 3 years | |||
Maximum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Market-related value of plan assets, Period for calculation | 5 years |
Retirement Plans and Other Be_4
Retirement Plans and Other Benefits (Changes in Benefit Obligations and Plan Assets, Funded Status, and Amounts Recognized in Consolidated Balance Sheets) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Change in benefit obligation | |||
Benefit obligation at beginning of year | $ 20 | ||
Benefit obligation at end of year | 533 | $ 20 | |
Change in plan assets | |||
Fair value of plan assets at end of year | 509 | ||
Amounts recognized on the balance sheet: | |||
Other assets | 4 | 21 | |
Pension Benefits [Member] | |||
Change in benefit obligation | |||
Benefit obligation at beginning of year | 674 | 753 | |
Service cost | 14 | 16 | $ 14 |
Interest cost | 21 | 18 | 21 |
Actuarial (gain) loss | (93) | (55) | |
Foreign currency translation adjustments | (2) | (1) | |
Benefits paid | (48) | (55) | |
Settlement | (2) | ||
Benefit obligation at end of year | 566 | 674 | 753 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 676 | 716 | |
Actual (loss) return on plan assets | (83) | 11 | |
Employer contributions | 3 | 3 | |
Foreign currency translation adjustments | (2) | 1 | |
Benefits paid | (48) | (55) | |
Fair value of plan assets at end of year | 546 | 676 | $ 716 |
Funded status | (20) | 2 | |
Amounts recognized on the balance sheet: | |||
Other assets | 4 | 21 | |
Accrued and other liabilities | (3) | (3) | |
Other liabilities | (21) | (16) | |
Amounts recognized on the Balance Sheet | (20) | 2 | |
Amounts recognized in accumulated other comprehensive loss, pre-tax: | |||
Net loss (gain) | $ 329 | $ 320 |
Retirement Plans and Other Be_5
Retirement Plans and Other Benefits (Information for Pension Plans with Accumulated Benefit Obligation in Excess of Plan Assets) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 |
Retirement Plans and Other Benefits [Abstract] | ||
Projected benefit obligation | $ 533 | $ 20 |
Accumulated benefit obligation | 533 | $ 20 |
Fair value of plan assets | $ 509 |
Retirement Plans and Other Be_6
Retirement Plans and Other Benefits (Changes in Accumulated Other Comprehensive Loss) (Details) - Pension Benefits [Member] $ in Millions | 12 Months Ended |
Jan. 28, 2023 USD ($) | |
Schedule of Pension and Other Postretirement Benefits Recognized in Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Net actuarial loss (gain) at beginning of year | $ 320 |
Amortization of net (loss) gain | (10) |
Loss (gain) arising during the year | 21 |
Foreign currency fluctuations | (2) |
Net actuarial loss (gain) at end of year | $ 329 |
Retirement Plans and Other Be_7
Retirement Plans and Other Benefits (Weighted-Average Assumptions used to Determine Benefit Obligations and Net Benefit Cost) (Details) - Pension Benefits [Member] | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Schedule of Benefit Obligations Weighted Average Assumptions [Line Items] | |||
Discount rate, net periodic benefit costs | 3.20% | 2.50% | 2.90% |
Rate of compensation increase, net periodic benefit costs | 3.60% | 3.60% | 3.60% |
Expected long-term rate of return on assets, net periodic benefit costs | 4.80% | 5.30% | 5.50% |
Discount rate, benefit obligation | 5% | 3.20% | |
Rate of compensation increase, benefit obligation | 3.60% | 3.60% |
Retirement Plans and Other Be_8
Retirement Plans and Other Benefits (Net Benefit Expense (Income)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Net benefit expense (income) | $ 7 | $ 5 | |
Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 14 | 16 | 14 |
Interest cost | 21 | 18 | 21 |
Expected return on plan assets | (31) | (35) | (37) |
Amortization of net loss | 10 | 10 | 12 |
Net benefit expense (income) | $ 14 | $ 9 | $ 10 |
Retirement Plans and Other Be_9
Retirement Plans and Other Benefits (Fair Values of Plan Assets) (Details) - USD ($) $ in Millions | Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 |
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | $ 509 | ||
Pension Benefits [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 546 | $ 676 | $ 716 |
Canadian Qualified Pension Plan [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 37 | 45 | |
Canadian Qualified Pension Plan [Member] | Defined Benefit Plan, Cash and Cash Equivalents, Canada [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 6 | 6 | |
Canadian Qualified Pension Plan [Member] | Defined Benefit Plan, Equity Securities, US [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 3 | 3 | |
Canadian Qualified Pension Plan [Member] | Fixed-income securities | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 28 | 36 | |
Canadian Qualified Pension Plan [Member] | Level 1 [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 3 | ||
Canadian Qualified Pension Plan [Member] | Level 1 [Member] | Defined Benefit Plan, Equity Securities, US [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 3 | ||
Canadian Qualified Pension Plan [Member] | Level 2 [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 34 | ||
Canadian Qualified Pension Plan [Member] | Level 2 [Member] | Defined Benefit Plan, Cash and Cash Equivalents, Canada [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 6 | ||
Canadian Qualified Pension Plan [Member] | Level 2 [Member] | Fixed-income securities | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 28 | ||
United States | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 509 | 631 | |
United States | Defined Benefit Plan, Cash [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 2 | ||
United States | Cash and Cash Equivalents | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 1 | 4 | |
United States | Mutual Fund [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 10 | 12 | |
United States | Defined Benefit Plan, Equity Securities, US, Large Cap [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 130 | 163 | |
United States | Defined Benefit Plan, Equity Securities, Corporate Stock [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 17 | 18 | |
United States | Fixed Income Securities, Long Term Corporate And Government Bonds [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 341 | 425 | |
United States | Defined Benefit Plan, Real Estate [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 8 | $ 9 | |
United States | Level 1 [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 29 | ||
United States | Level 1 [Member] | Defined Benefit Plan, Cash [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 2 | ||
United States | Level 1 [Member] | Mutual Fund [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 10 | ||
United States | Level 1 [Member] | Defined Benefit Plan, Equity Securities, Corporate Stock [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 17 | ||
United States | Level 2 [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 480 | ||
United States | Level 2 [Member] | Cash and Cash Equivalents | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 1 | ||
United States | Level 2 [Member] | Defined Benefit Plan, Equity Securities, US, Large Cap [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 130 | ||
United States | Level 2 [Member] | Fixed Income Securities, Long Term Corporate And Government Bonds [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | 341 | ||
United States | Level 2 [Member] | Defined Benefit Plan, Real Estate [Member] | |||
Schedule of Pension and Other Postretirement Plan Assets by Fair Value [Line Items] | |||
Fair value of plan assets | $ 8 |
Retirement Plans and Other B_10
Retirement Plans and Other Benefits (Estimated Future Benefit Payments) (Details) - Pension Benefits [Member] $ in Millions | Jan. 28, 2023 USD ($) |
Schedule of Postemployment Expected Future Benefit Payments [Line Items] | |
2023 | $ 68 |
2024 | 50 |
2025 | 47 |
2026 | 46 |
2027 | 44 |
2028-2032 | $ 198 |
Share-Based Compensation (Narra
Share-Based Compensation (Narrative) (Details) - USD ($) | 12 Months Ended | |||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | May 21, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share Based Compensation Arrangement By Share Based Payment Award Number Of Shares Available For Grant | 3,651,807 | |||
Share-based compensation, maximum percentage of employee salary | 10% | |||
Share-based compensation, maximum value permitted to purchase, per year | $ 25,000 | |||
Percentage of common stock fair market value on plan | 85% | |||
Unrecognized compensation cost | $ 27,000,000 | |||
Tax benefit realized from options exercised | $ 2,000,000 | |||
Proceeds from exercise of stock options | $ 6,000,000 | 10,000,000 | $ 4,000,000 | |
Chief Executive Officer [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share Based Compensation Arrangement By Share Based Payment Award Number Of Shares Available For Grant | 545,660 | |||
Stock Option Plans [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards vesting period description | Options for employees become exercisable in substantially equal annual installments over a three-year period, beginning with the first anniversary of the date of grant of the option, unless a shorter or longer duration is established at the time of the option grant. | |||
Unrecognized compensation cost | $ 3,000,000 | |||
Fair value of options vested | 4,000,000 | |||
Proceeds from exercise of stock options | $ 6,000,000 | |||
Restricted Stock and Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted-average expected award life (in years) | 1 year | |||
Award vesting period | 3 years | |||
Fair value of awards | $ 6,000,000 | $ 23,000,000 | $ 6,000,000 | |
Dividends | $ 0 | |||
Nonvested Stock Options [Member] | Stock Option Plans [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized compensation cost related to nonvested stock options, weighted-average period expected to be recognized | 1 year 6 months | |||
2007 Stock Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares authorized under plan | 14,000,000 | |||
Share-based compensation, expiration period | 10 years | |||
2013 ESPP [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted-average expected award life (in years) | 1 year | 1 year | 1 year | |
Shares authorized under plan | 3,000,000 | |||
Share Based Compensation Arrangement By Share Based Payment Award Number Of Shares Available For Grant | 1,854,858 | |||
Total number of shares purchased | 300,788 | |||
Shares purchased | 119,518 |
Share-Based Compensation (Total
Share-Based Compensation (Total Compensation Expense Included in SG&A and the Related Tax Benefits Recognized) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total share-based compensation expense | $ 31 | $ 29 | $ 15 |
Tax benefit recognized | 3 | 3 | 2 |
Stock Option Plans [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Allocated share-based compensation expense | 5 | 6 | 6 |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Allocated share-based compensation expense | $ 26 | $ 23 | $ 9 |
Share-Based Compensation (Assum
Share-Based Compensation (Assumptions Used to Compute Share-Based Compensation Expense) (Details) - $ / shares | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Stock Option Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average risk free rate of interest | 1.80% | 0.90% | 0.50% |
Expected volatility | 35% | 47% | 37% |
Weighted-average expected award life (in years) | 3 years 10 months 24 days | 5 years 6 months | 4 years 10 months 24 days |
Dividend yield | 2.70% | 1.50% | 4.30% |
Weighted-average fair value | $ 10.80 | $ 20.22 | $ 5.03 |
2013 ESPP [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average risk free rate of interest | 1% | 0.10% | 1.80% |
Expected volatility | 40% | 45% | 48% |
Weighted-average expected award life (in years) | 1 year | 1 year | 1 year |
Dividend yield | 2.60% | 4% | 4.20% |
Weighted-average fair value | $ 18.46 | $ 9.61 | $ 13.97 |
Share-Based Compensation (Optio
Share-Based Compensation (Options Granted Under Stock Option Plans) (Details) | 12 Months Ended |
Jan. 28, 2023 $ / shares shares | |
Number of Shares | |
Options outstanding at beginning of year | 3,211,000 |
Granted | 590,000 |
Exercised | (207,000) |
Expired or cancelled | (338,000) |
Options outstanding at end of period | 3,256,000 |
Options exercisable at end of period | 2,535,000 |
Options available for future grant at end of period | 3,651,807 |
Weighted-Average Exercise Price | |
Options outstanding at beginning of year | $ / shares | $ 48.84 |
Granted | $ / shares | 31.71 |
Exercised | $ / shares | 28.15 |
Expired or cancelled | $ / shares | 41.22 |
Options outstanding at end of period | $ / shares | 47.85 |
Options exercisable at end of period | $ / shares | $ 52.36 |
Options outstanding, weighted-average remaining contractual life | 4 years 6 months |
Options exercisable at end of period, Weighted-average remaining contractual life | 3 years 3 months 18 days |
2013 ESPP [Member] | |
Number of Shares | |
Options available for future grant at end of period | 1,854,858 |
Share-Based Compensation (Tot_2
Share-Based Compensation (Total Intrinsic Value of Options Exercised) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 28, 2023 | Jan. 29, 2022 | Jan. 30, 2021 | |
Intrinsic value of stock options | |||
Exercised | $ 1 | $ 8 | $ 3 |
Share-Based Compensation (Aggre
Share-Based Compensation (Aggregate Intrinsic Value for Stock Options Outstanding and Exercisable) (Details) $ in Millions | Jan. 28, 2023 USD ($) |
Share-Based Compensation [Abstract] | |
Outstanding | $ 20 |
Outstanding and exercisable | $ 11 |
Share-Based Compensation (Infor
Share-Based Compensation (Information about Stock Options Outstanding and Exercisable) (Details) - $ / shares shares in Thousands | 12 Months Ended | |
Jan. 28, 2023 | Jan. 29, 2022 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Options Outstanding, Number of Shares | 3,256 | 3,211 |
Options outstanding, weighted-average remaining contractual life | 4 years 6 months | |
Options Outstanding, Weighted-Average Exercise Price | $ 47.85 | $ 48.84 |
Options Exercisable, Number of Shares | 2,535 | |
Options Exercisable, Weighted-Average Exercise Price | $ 52.36 | |
$21.60 - $36.51 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Range of Exercise Prices, Lower Limit | 21.60 | |
Range of Exercise Prices, Upper Limit | $ 36.51 | |
Options Outstanding, Number of Shares | 1,123 | |
Options outstanding, weighted-average remaining contractual life | 7 years | |
Options Outstanding, Weighted-Average Exercise Price | $ 25.91 | |
Options Exercisable, Number of Shares | 514 | |
Options Exercisable, Weighted-Average Exercise Price | $ 23.09 | |
$44.78 - $48.98 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Range of Exercise Prices, Lower Limit | 39.17 | |
Range of Exercise Prices, Upper Limit | $ 48.98 | |
Options Outstanding, Number of Shares | 459 | |
Options outstanding, weighted-average remaining contractual life | 2 years 10 months 24 days | |
Options Outstanding, Weighted-Average Exercise Price | $ 44.84 | |
Options Exercisable, Number of Shares | 445 | |
Options Exercisable, Weighted-Average Exercise Price | $ 45.02 | |
$53.61 - $58.94 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Range of Exercise Prices, Lower Limit | 53.61 | |
Range of Exercise Prices, Upper Limit | $ 58.94 | |
Options Outstanding, Number of Shares | 493 | |
Options outstanding, weighted-average remaining contractual life | 5 years 1 month 6 days | |
Options Outstanding, Weighted-Average Exercise Price | $ 56.75 | |
Options Exercisable, Number of Shares | 395 | |
Options Exercisable, Weighted-Average Exercise Price | $ 57.46 | |
$62.02 - $72.83 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Range of Exercise Prices, Lower Limit | 62.02 | |
Range of Exercise Prices, Upper Limit | $ 72.83 | |
Options Outstanding, Number of Shares | 1,181 | |
Options outstanding, weighted-average remaining contractual life | 2 years 4 months 24 days | |
Options Outstanding, Weighted-Average Exercise Price | $ 66.14 | |
Options Exercisable, Number of Shares | 1,181 | |
Options Exercisable, Weighted-Average Exercise Price | $ 66.14 |
Share-Based Compensation (Chang
Share-Based Compensation (Changes in Nonvested Options) (Details) - Restricted Stock and Units [Member] $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended |
Jan. 28, 2023 USD ($) $ / shares shares | |
Number of Shares | |
Nonvested, Beginning Balance | 1,391 |
Granted | 1,242 |
Vested | (117) |
Performance adjustment | 15 |
Expired or cancelled | (539) |
Nonvested, Ending Balance | 1,992 |
Aggregate value | $ | $ 75 |
Wtg. Avg. remaining contractual life (in years) | 1 year 3 months 18 days |
Weighted-Average Grant Date Fair Value per Share | |
Nonvested, Beginning Balance | $ / shares | $ 43.95 |
Granted | $ / shares | 31.42 |
Vested | $ / shares | 54.29 |
Cancelled | $ / shares | 35.56 |
Nonvested, Ending Balance | $ / shares | $ 37.58 |