Document_And_Entity_Informatio
Document And Entity Information | 3 Months Ended | |
2-May-15 | 29-May-15 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 2-May-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | FL | |
Entity Registrant Name | FOOT LOCKER INC | |
Entity Central Index Key | 850209 | |
Current Fiscal Year End Date | -30 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 139,302,640 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | 2-May-15 | Jan. 31, 2015 | 3-May-14 | |
In Millions, unless otherwise specified | ||||
Current assets | ||||
Cash and cash equivalents | $986 | $967 | [1] | $1,005 |
Short-term investments | 0 | 0 | [1] | 2 |
Merchandise inventories | 1,234 | 1,250 | [1] | 1,268 |
Other current assets | 259 | 239 | [1] | 243 |
Assets, Current, Total | 2,479 | 2,456 | [1] | 2,518 |
Property and equipment, net | 639 | 620 | [1] | 598 |
Deferred taxes | 226 | 221 | [1] | 245 |
Goodwill | 156 | 157 | [1] | 163 |
Other intangible assets, net | 48 | 49 | [1] | 65 |
Other assets | 83 | 74 | [1] | 80 |
Total Assets | 3,631 | 3,577 | [1] | 3,669 |
Current liabilities | ||||
Accounts payable | 303 | 301 | [1] | 354 |
Accrued and other liabilities | 387 | 393 | [1] | 355 |
Current portion of capital lease obligations | 2 | 2 | [1] | 3 |
Liabilities, Current, Total | 692 | 696 | [1] | 712 |
Long-term debt and obligations under capital leases | 131 | 132 | [1] | 135 |
Other liabilities | 253 | 253 | [1] | 229 |
Total liabilities | 1,076 | 1,081 | [1] | 1,076 |
Shareholders' equity | ||||
Common stock and paid-in capital: 171,833,686; 170,078,313 and 170,529,401 shares, respectively | 1,025 | 979 | [1] | 947 |
Retained earnings | 2,929 | 2,780 | [1] | 2,517 |
Accumulated other comprehensive loss | -318 | -319 | [1] | -164 |
Less: Treasury stock at cost: 32,094,240; 25,381,244 and 29,665,213 shares, respectively | -1,081 | -944 | [1] | -707 |
Total shareholders' equity | 2,555 | 2,496 | [1] | 2,593 |
Liabilites and Shareholders' Equity, Total | $3,631 | $3,577 | [1] | $3,669 |
[1] | The balance sheet at January 31, 2015 has been derived from the previously reported audited financial statements at that date, but does not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in Foot Locker, Inc.’s Annual Report on Form 10-K for the year ended January 31, 2015. |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) | 2-May-15 | Jan. 31, 2015 | 3-May-14 |
Common Stock, Shares, Issued | 171,833,686 | 170,529,401 | 170,078,313 |
Treasury Stock, Shares | 32,094,240 | 29,665,213 | 25,381,244 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | |||
In Millions, except Per Share data, unless otherwise specified | 2-May-15 | 3-May-14 | ||
Sales | $1,916 | $1,868 | ||
Cost of sales | 1,246 | 1,222 | ||
Selling, general and administrative expenses | 345 | 355 | ||
Depreciation and amortization | 35 | 36 | ||
Impairment charge | 0 | 1 | ||
Interest expense, net | 1 | 1 | ||
Other income, net | -1 | [1] | -1 | [1] |
Costs and Expenses, Total | 1,626 | 1,614 | ||
Income before income taxes | 290 | 254 | ||
Income tax expense | 106 | 92 | ||
Net income | $184 | $162 | ||
Basic earnings per share: | ||||
Net income (in dollars per share) | $1.31 | $1.12 | ||
Weighted-average common shares outstanding | 140.1 | 145.4 | ||
Diluted earnings per share: | ||||
Net income (in dollars per share) | $1.29 | $1.10 | ||
Weighted-average common shares assuming dilution | 142.1 | 147.6 | ||
[1] | Other income includes non-operating items, such as lease termination gains, royalty income, and the changes in fair value, premiums paid and realized gains associated with foreign currency option contracts. |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 |
Net income | $184 | $162 |
Foreign currency translation adjustment: | ||
Translation adjustment arising during the period, net of income tax | 1 | 19 |
Cash flow hedges: | ||
Change in fair value of derivatives, net of income tax | -1 | 1 |
Pension and postretirement adjustments: | ||
Amortization of net actuarial gain/loss included in net periodic benefit costs, net of income tax expense of $1 million and $1 million, respectively | 1 | 2 |
Comprehensive income | $185 | $184 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 |
Amortization of net actuarial gain/loss included in net periodic benefit costs, net of income tax expense | $1 | $1 |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 | |
From Operating Activities: | |||
Net income | $184 | $162 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Non-cash impairment charge | 0 | 1 | |
Depreciation and amortization | 35 | 36 | |
Share-based compensation expense | 6 | 6 | |
Qualified pension plan contributions | 0 | -2 | |
Excess tax benefits on share-based compensation | -14 | -7 | |
Change in assets and liabilities: | |||
Merchandise inventories | 17 | -40 | |
Accounts payable | 2 | 89 | |
Accrued and other liabilities | -10 | 3 | |
Other, net | -7 | 24 | |
Net cash provided by operating activities | 213 | 272 | |
From Investing Activities: | |||
Capital expenditures | -60 | -49 | |
Sales and maturities of short-term investments | 0 | 7 | |
Net cash used in investing activities | -60 | -42 | |
From Financing Activities: | |||
Repayments of obligations under capital leases | 0 | -1 | |
Dividends paid on common stock | -35 | -32 | |
Issuance of common stock | 23 | 10 | |
Purchase of treasury shares | -129 | -70 | |
Excess tax benefits on share-based compensation | 14 | 7 | |
Net cash used in financing activities | -127 | -86 | |
Effect of exchange rate fluctuations on Cash and Cash Equivalents | -7 | 3 | |
Net change in Cash and Cash Equivalents | 19 | 147 | |
Cash and Cash Equivalents at beginning of year | 967 | [1] | 858 |
Cash and Cash Equivalents at end of interim period | 986 | 1,005 | |
Cash paid during the period: | |||
Interest | 0 | 0 | |
Income taxes | $126 | $83 | |
[1] | The balance sheet at January 31, 2015 has been derived from the previously reported audited financial statements at that date, but does not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in Foot Locker, Inc.’s Annual Report on Form 10-K for the year ended January 31, 2015. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 3 Months Ended |
2-May-15 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies |
Basis of Presentation | |
The accompanying condensed consolidated financial statements contained in this report are unaudited. In the opinion of management, the condensed consolidated financial statements include all adjustments, which are of a normal recurring nature, necessary for a fair presentation of the results for the interim periods of the fiscal year ending January 30, 2016 and of the fiscal year ended January 31, 2015. Certain items included in these statements are based on management’s estimates. Actual results may differ from those estimates. The results of operations for any interim period are not necessarily indicative of the results expected for the year. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the Notes to Consolidated Financial Statements contained in Foot Locker, Inc.’s (the “Company”) Form 10-K for the year ended January 31, 2015, as filed with the U.S. Securities and Exchange Commission (the “SEC”) on March 30, 2015. | |
Recent Accounting Pronouncements | |
Recently issued accounting pronouncements did not, or are not believed by management to, have a material effect on the Company’s present or future consolidated financial statements. | |
Segment_Information
Segment Information | 3 Months Ended | |||||||
2-May-15 | ||||||||
Segment Reporting [Abstract] | ||||||||
Segment Information | 2. Segment Information | |||||||
The Company has determined that its reportable segments are those that are based on its method of internal reporting. The Company has two reportable segments, Athletic Stores and Direct-to-Customers. The Company evaluates performance based on several factors, of which the primary financial measure is division results. Division profit reflects income before income taxes, corporate expense, non-operating income, and net interest expense. | ||||||||
Thirteen weeks ended | ||||||||
May 2, | May 3, | |||||||
2015 | 2014 | |||||||
(in millions) | ||||||||
Sales | ||||||||
Athletic Stores | $ | 1,681 | $ | 1,657 | ||||
Direct-to-Customers | 235 | 211 | ||||||
$ | 1,916 | $ | 1,868 | |||||
Operating Results | ||||||||
Athletic Stores(1) | $ | 267 | $ | 247 | ||||
Direct-to-Customers | 40 | 28 | ||||||
Division profit | 307 | 275 | ||||||
Less: Corporate expense | 17 | 21 | ||||||
Operating profit | 290 | 254 | ||||||
Interest expense, net | 1 | 1 | ||||||
Other income(2) | 1 | 1 | ||||||
Income before income taxes | $ | 290 | $ | 254 | ||||
-1 | During the first quarter of 2014, the Company recorded a non-cash impairment charge of $1 million to fully write down the remaining value of the tradename related to the Company’s stores in the Republic of Ireland, reflecting historical and projected underperformance. | |||||||
-2 | Other income includes non-operating items, such as lease termination gains, royalty income, and the changes in fair value, premiums paid, and realized gains associated with foreign currency option contracts. | |||||||
Goodwill
Goodwill | 3 Months Ended | ||||||||||
2-May-15 | |||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||
Goodwill | 3. Goodwill | ||||||||||
Annually during the first quarter, or more frequently if impairment indicators arise, the Company reviews goodwill and intangible assets with indefinite lives for impairment. The annual review of goodwill and intangible assets with indefinite lives performed during the first quarter of 2015 did not result in the recognition of impairment. | |||||||||||
The following table provides a summary of goodwill by reportable segment. The change represents foreign exchange fluctuations. | |||||||||||
May 2, | May 3, | January 31, | |||||||||
2015 | 2014 | 2015 | |||||||||
(in millions) | |||||||||||
Athletic Stores | $ | 17 | $ | 21 | $ | 17 | |||||
Direct-to-Customers | 139 | 142 | 140 | ||||||||
$ | 156 | $ | 163 | $ | 157 | ||||||
Other_Intangible_Assets_net
Other Intangible Assets, net | 3 Months Ended | ||||||||||||||||||||||||||||
2-May-15 | |||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||
Other Intangible Assets, net | 4. Other Intangible Assets, net | ||||||||||||||||||||||||||||
The components of finite-lived intangible assets and intangible assets not subject to amortization are as follows: | |||||||||||||||||||||||||||||
May 2, 2015 | May 3, 2014 | January 31, 2015 | |||||||||||||||||||||||||||
(in millions) | Gross | Accum. | Net | Gross | Accum. | Net | Gross | Accum. | Net | ||||||||||||||||||||
value | amort. | Value | value | amort. | Value | value | amort | Value | |||||||||||||||||||||
Amortized intangible assets: (1), (2) | |||||||||||||||||||||||||||||
Lease acquisition costs | $ | 126 | $ | -115 | $ | 11 | $ | 159 | $ | -142 | $ | 17 | $ | 128 | $ | -116 | $ | 12 | |||||||||||
Trademarks | 21 | -12 | 9 | 21 | -11 | 10 | 21 | -12 | 9 | ||||||||||||||||||||
Favorable leases | 7 | -4 | 3 | 8 | -4 | 4 | 7 | -4 | 3 | ||||||||||||||||||||
$ | 154 | $ | -131 | $ | 23 | $ | 188 | $ | -157 | $ | 31 | $ | 156 | $ | -132 | $ | 24 | ||||||||||||
Indefinite life intangible assets (1) | |||||||||||||||||||||||||||||
Runners Point Group trademarks | 25 | 31 | 25 | ||||||||||||||||||||||||||
Other trademarks (3) | — | 3 | — | ||||||||||||||||||||||||||
$ | 25 | $ | 34 | $ | 25 | ||||||||||||||||||||||||
Other intangible assets, net | $ | 48 | $ | 65 | $ | 49 | |||||||||||||||||||||||
-1 | Includes the effect of foreign currency translation related primarily to the movements of the euro in relation to the U.S. dollar. | ||||||||||||||||||||||||||||
-2 | During 2014, the Company exited the CCS e-commerce business; as such, the fully amortized customer relationship intangible of $21 million was removed from the amounts presented above for all periods presented. | ||||||||||||||||||||||||||||
-3 | During the first quarter of 2014, the Company recorded a non-cash impairment charge of $1 million to fully write down the remaining value of the tradename related to the Company’s stores in the Republic of Ireland, reflecting historical and projected underperformance. | ||||||||||||||||||||||||||||
Amortization expense for intangibles subject to amortization was $1 million and $2 million for thirteen weeks ended May 2, 2015 and May 3, 2014, respectively. | |||||||||||||||||||||||||||||
Estimated future amortization expense for finite life intangible assets is as follows: | |||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Remainder of 2015 | $ | 3 | |||||||||||||||||||||||||||
2016 | 4 | ||||||||||||||||||||||||||||
2017 | 3 | ||||||||||||||||||||||||||||
2018 | 3 | ||||||||||||||||||||||||||||
2019 | 3 | ||||||||||||||||||||||||||||
2020 | 2 | ||||||||||||||||||||||||||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss | 3 Months Ended | ||||||||||||||||
2-May-15 | |||||||||||||||||
Equity [Abstract] | |||||||||||||||||
Accumulated Other Comprehensive Loss | 5. Accumulated Other Comprehensive Loss | ||||||||||||||||
Accumulated other comprehensive loss (“AOCL”), net of tax, is comprised the following: | |||||||||||||||||
May 2, | May 3, | January 31, | |||||||||||||||
2015 | 2014 | 2015 | |||||||||||||||
(in millions) | |||||||||||||||||
Foreign currency translation adjustments | $ | -74 | $ | 76 | $ | -75 | |||||||||||
Cash flow hedges | -4 | -1 | -3 | ||||||||||||||
Unrecognized pension cost and postretirement benefit | -239 | -238 | -240 | ||||||||||||||
Unrealized loss on available-for-sale security | -1 | -1 | -1 | ||||||||||||||
$ | -318 | $ | -164 | $ | -319 | ||||||||||||
The changes in AOCL for the thirteen weeks ended May 2, 2015 were as follows: | |||||||||||||||||
(in millions) | Foreign | Cash flow | Items related to | Unrealized | Total | ||||||||||||
currency | hedges | pension and | loss on | ||||||||||||||
translation | postretirement | available-for- | |||||||||||||||
adjustments | benefits | sale security | |||||||||||||||
Balance as of January 31, 2015 | $ | -75 | -3 | -240 | -1 | $ | -319 | ||||||||||
OCI before reclassification | 1 | -1 | -1 | — | -1 | ||||||||||||
Reclassified from AOCL | — | — | 2 | — | 2 | ||||||||||||
Other comprehensive income/(loss) | 1 | -1 | 1 | — | 1 | ||||||||||||
Balance as of May 2, 2015 | $ | -74 | -4 | -239 | -1 | $ | -318 | ||||||||||
Reclassifications from AOCL for the thirteen weeks ended May 2, 2015 were as follows: | |||||||||||||||||
(in millions) | |||||||||||||||||
Amortization of actuarial (gain) loss: | |||||||||||||||||
Pension benefits - amortization of actuarial loss | $ | 3 | |||||||||||||||
Postretirement benefits - amortization of actuarial gain | — | ||||||||||||||||
Net periodic benefit cost (see Note 9) | 3 | ||||||||||||||||
Income tax benefit | -1 | ||||||||||||||||
Net of tax | $ | 2 | |||||||||||||||
Financial_Instruments
Financial Instruments | 3 Months Ended | ||||||||||||
2-May-15 | |||||||||||||
Derivative Instruments and Hedges, Assets [Abstract] | |||||||||||||
Financial Instruments | 6. Financial Instruments | ||||||||||||
The Company operates internationally and utilizes certain derivative financial instruments to mitigate its foreign currency exposures, primarily related to third-party and intercompany forecasted transactions. As a result of the use of derivative instruments, the Company is exposed to the risk that counterparties will fail to meet their contractual obligations. To mitigate this counterparty credit risk, the Company has a practice of entering into contracts only with major financial institutions selected based upon their credit ratings and other financial factors. The Company monitors the creditworthiness of counterparties throughout the duration of the derivative instrument. | |||||||||||||
Additional information is contained within Note 7, Fair Value Measurements. | |||||||||||||
Derivative Holdings Designated as Hedges | |||||||||||||
For a derivative to qualify as a hedge at inception and throughout the hedged period, the Company formally documents the nature of the hedged items and the relationships between the hedging instruments and the hedged items, as well as its risk-management objectives, strategies for undertaking the various hedge transactions, and the methods of assessing hedge effectiveness and ineffectiveness. In addition, for hedges of forecasted transactions, the significant characteristics and expected terms of a forecasted transaction must be specifically identified, and it must be probable that each forecasted transaction would occur. If it were deemed probable that the forecasted transaction would not occur, the gain or loss on the derivative instrument would be recognized in earnings immediately. No such gains or losses were recognized in earnings for any of the periods presented. Derivative financial instruments qualifying for hedge accounting must maintain a specified level of effectiveness between the hedging instrument and the item being hedged, both at inception and throughout the hedged period, which management evaluates periodically. | |||||||||||||
The primary currencies to which the Company is exposed are the euro, British pound, Canadian dollar, and Australian dollar. For the most part, merchandise inventories are purchased by each geographic area in their respective local currency. The exception to this is the United Kingdom, whose merchandise inventory purchases are 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 also not significant for any of the periods presented. When using a forward contract as a hedging instrument, the Company excludes the time value of the contract from the assessment of effectiveness. At each quarter-end, substantially all of the Company’s hedged forecasted transactions are less than twelve months, and the Company expects substantially all derivative-related amounts reported in AOCL to be reclassified to earnings within twelve months. The net change in the fair value of the foreign exchange derivative financial instruments designated as cash flow hedges of the purchase of inventory resulted in a loss of $1 million during the thirteen weeks ended May 2, 2015, and therefore increased AOCL. At May 2, 2015, there was a $4 million loss included in AOCL. | |||||||||||||
The notional value of the contracts outstanding at May 2, 2015 was $89 million, and these contracts extend through July 2016. | |||||||||||||
Derivative Holdings Not Designated as Hedges | |||||||||||||
The Company enters into foreign exchange forward contracts that are not designated as hedges in order to manage the costs of foreign-currency denominated merchandise purchases and intercompany transactions. Changes in the fair value of these foreign exchange forward contracts are recorded in earnings immediately within selling, general and administrative expenses. The net change in fair value resulted in income for the thirteen weeks ended May 2, 2015 of $1 million. The net change in fair value was not significant for the prior-year period. The notional value of the contracts outstanding at May 2, 2015 was $97 million, and these contracts extend through November 2015. | |||||||||||||
The Company mitigates the effect of fluctuating foreign exchange rates on the reporting of foreign-currency denominated earnings by entering into currency option contracts. Changes in the fair value of these foreign currency option contracts, which are not designated as hedges, are recorded in earnings immediately within other income. The realized gains, premiums paid, and changes in the fair market value recorded were not significant for any of the periods presented. The notional value of the contract outstanding at May 2, 2015 was $23 million, and the contract extends through July 2015. | |||||||||||||
Fair Value of Derivative Contracts | |||||||||||||
The following represents the fair value of the Company’s derivative contracts. Many of the Company’s agreements allow for a netting arrangement. The following is presented on a gross basis, by type of contract: | |||||||||||||
Balance Sheet | May 2, | May 3, | January 31, | ||||||||||
(in millions) | Caption | 2015 | 2014 | 2015 | |||||||||
Hedging Instruments: | |||||||||||||
Foreign exchange forward contracts | Current liabilities | $ | 5 | $ | 1 | $ | 4 | ||||||
Non-Hedging Instruments: | |||||||||||||
Foreign exchange forward contracts | Current liabilities | $ | — | $ | 1 | $ | 1 | ||||||
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | ||||||||||||||||||||||||||||
2-May-15 | |||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||
Fair Value Measurements | 7. Fair Value Measurements | ||||||||||||||||||||||||||||
The Company’s financial assets recorded at fair value are categorized as follows: | |||||||||||||||||||||||||||||
Level 1 – | Quoted prices for identical instruments in active markets. | ||||||||||||||||||||||||||||
Level 2 – | 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. | ||||||||||||||||||||||||||||
The following tables provide a summary of the Company’s recognized assets and liabilities that are measured at fair value on a recurring basis: | |||||||||||||||||||||||||||||
At May 2, 2015 | At May 3, 2014 | At January 31, 2015 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Short-term investments | $ | — | $ | — | $ | — | $ | — | $ | 2 | $ | — | $ | — | $ | — | $ | — | |||||||||||
Auction rate security | — | 6 | — | — | 6 | — | — | 6 | — | ||||||||||||||||||||
Total Assets | $ | — | $ | 6 | $ | — | $ | — | $ | 8 | $ | — | $ | — | $ | 6 | $ | — | |||||||||||
Liabilities | |||||||||||||||||||||||||||||
Foreign exchange forward contracts | — | 5 | — | — | 2 | — | — | 5 | — | ||||||||||||||||||||
Total Liabilities | $ | — | $ | 5 | $ | — | $ | — | $ | 2 | $ | — | $ | — | $ | 5 | $ | — | |||||||||||
Available-for-sale securities are recorded at fair value with unrealized gains and losses reported, net of tax, in other comprehensive income, unless unrealized losses are determined to be other than temporary. 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 Company’s 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. | |||||||||||||||||||||||||||||
There were no transfers into or out of Level 1, Level 2, or Level 3 assets and liabilities for any of the periods presented. | |||||||||||||||||||||||||||||
The carrying value and estimated fair value of long-term debt and obligations under capital leases were as follows: | |||||||||||||||||||||||||||||
May 2, | May 3, | January 31, | |||||||||||||||||||||||||||
2015 | 2014 | 2015 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Carrying value | $ | 133 | $ | 138 | $ | 134 | |||||||||||||||||||||||
Fair value | $ | 158 | $ | 163 | $ | 163 | |||||||||||||||||||||||
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. The carrying values of cash and cash equivalents and other current receivables and payables approximate their fair value. | |||||||||||||||||||||||||||||
Earnings_Per_Share
Earnings Per Share | 3 Months Ended | |||||||
2-May-15 | ||||||||
Earnings Per Share [Abstract] | ||||||||
Earnings Per Share [Text Block] | 8. Earnings Per Share | |||||||
The Company accounts for and discloses earnings per share using the treasury stock method. Basic earnings per share is computed by dividing reported net income for the period by the weighted-average number of common shares outstanding at the end of the period. Restricted stock awards, which contain non-forfeitable rights to dividends, are considered participating securities and are included in the calculation of basic earnings per share. Diluted earnings per share reflects the weighted-average number of common shares outstanding during the period used in the basic earnings per share computation plus dilutive common stock equivalents. | ||||||||
The computation of basic and diluted earnings per share is as follows: | ||||||||
Thirteen weeks ended | ||||||||
May 2, | May 3, | |||||||
2015 | 2014 | |||||||
(in millions) | ||||||||
Weighted-average common shares outstanding | 140.1 | 145.4 | ||||||
Effect of Dilution: | ||||||||
Stock options and awards | 2 | 2.2 | ||||||
Weighted-average common shares assuming dilution | 142.1 | 147.6 | ||||||
Options to purchase 0.4 million and 0.3 million shares of common stock were not included in the computation for the thirteen weeks ended May 2, 2015 and May 3, 2014, respectively. These options were not included primarily because the exercise prices of the options were greater than the average market price of the common shares and, therefore, the effect would have been antidilutive. Contingently issuable shares of 0.3 million and 0.4 million have not been included as the vesting conditions have not been satisfied as of May 2, 2015 and May 3, 2014, respectively. | ||||||||
Pension_and_Postretirement_Pla
Pension and Postretirement Plans | 3 Months Ended | |||||||||||||
2-May-15 | ||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ||||||||||||||
Pension and Postretirement Plans | 9. Pension and Postretirement Plans | |||||||||||||
The Company has defined benefit pension plans covering certain of its North American employees, which are funded in accordance with the provisions of the laws where the plans are in effect. In addition, the Company has a defined benefit pension plan covering certain individuals of the Runners Point Group. | ||||||||||||||
In addition to providing pension benefits, the Company sponsors postretirement medical and life insurance plans, which are available to most of its retired U.S. employees. These medical and life insurance plans are contributory and are not funded. | ||||||||||||||
The following are the components of net periodic pension benefit cost and net periodic postretirement benefit income, which is recognized as part of SG&A expense: | ||||||||||||||
Pension | Postretirement | |||||||||||||
Benefits | Benefits | |||||||||||||
May 2, | May 3, | May 2, | May 3, | |||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||
(in millions) | ||||||||||||||
Service cost | $ | 4 | $ | 4 | $ | — | $ | — | ||||||
Interest cost | 6 | 7 | — | — | ||||||||||
Expected return on plan assets | -9 | -10 | — | — | ||||||||||
Amortization of net loss (gain) | 3 | 4 | — | -1 | ||||||||||
Net benefit expense (income) | $ | 4 | $ | 5 | $ | — | $ | -1 | ||||||
No contributions were made to the plans during the thirteen weeks ended May 2, 2015. The Company continually evaluates the amount and timing of any future contributions. The Company currently does not expect to contribute to the U.S. or Canadian qualified plans during the current year. Additional contributions will depend on the plan asset performance and other factors. | ||||||||||||||
ShareBased_Compensation
Share-Based Compensation | 3 Months Ended | ||||||||||||||||
2-May-15 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Share-Based Compensation | 10. Share-Based Compensation | ||||||||||||||||
Total compensation expense included in SG&A, and the associated tax benefits recognized related to the Company’s share-based compensation plans were as follows: | |||||||||||||||||
Thirteen weeks ended | |||||||||||||||||
May 2, | May 3, | ||||||||||||||||
2015 | 2014 | ||||||||||||||||
(in millions) | |||||||||||||||||
Options and shares purchased under the employee stock purchase plan | $ | 3 | $ | 3 | |||||||||||||
Restricted stock and units | 3 | 3 | |||||||||||||||
Total share-based compensation expense | $ | 6 | $ | 6 | |||||||||||||
Tax benefit recognized | $ | 2 | $ | 2 | |||||||||||||
Excess income tax benefit from settled equity-classified share-based awards reported as a cash flow from financing activities | $ | 14 | $ | 7 | |||||||||||||
Valuation Model and Assumptions | |||||||||||||||||
The Company uses a Black-Scholes option-pricing model to estimate the fair value of share-based awards. The Black-Scholes option-pricing model incorporates various and highly subjective assumptions, including expected term and expected volatility. The following table shows the Company’s assumptions used to compute the share-based compensation expense: | |||||||||||||||||
Stock Option Plans | Stock Purchase Plan | ||||||||||||||||
May 2, | May 3, | May 2, | May 3, | ||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Weighted-average risk free rate of interest | 1.51 | % | 2.12 | % | 0.13 | % | 0.17 | % | |||||||||
Expected volatility | 30 | % | 39 | % | 23 | % | 25 | % | |||||||||
Weighted-average expected award life | 6.0 years | 6.1 years | 1.0 year | 1.0 year | |||||||||||||
Dividend yield | 1.6 | % | 2 | % | 1.82 | % | 2.3 | % | |||||||||
Weighted-average fair value | $ | 16.01 | $ | 14.91 | $ | 8.03 | $ | 5.79 | |||||||||
The information in the following table covers options granted under the Company’s stock option plans for the thirteen weeks ended May 2, 2015: | |||||||||||||||||
Weighted- | Weighted-Average | ||||||||||||||||
Average | Exercise | ||||||||||||||||
Shares | Term | Price | |||||||||||||||
(in thousands, except price per share and weighted-average term) | |||||||||||||||||
Options outstanding at the beginning of the year | 5,569 | $ | 25.89 | ||||||||||||||
Granted | 682 | 62.11 | |||||||||||||||
Exercised | -1,000 | 22.84 | |||||||||||||||
Expired or cancelled | -49 | 48.47 | |||||||||||||||
Options outstanding at May 2, 2015 | 5,202 | 6.68 | $ | 31.01 | |||||||||||||
Options exercisable at May 2, 2015 | 3,685 | 5.67 | $ | 23.09 | |||||||||||||
Options vested and expected to vest at May 2, 2015 | 5,144 | 6.65 | $ | 30.73 | |||||||||||||
Options available for future grant at May 2, 2015 | 13,041 | ||||||||||||||||
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: | |||||||||||||||||
Thirteen weeks ended | |||||||||||||||||
May 2, | May 3, | ||||||||||||||||
2015 | 2014 | ||||||||||||||||
(in millions) | |||||||||||||||||
Exercised | $ | 36 | $ | 11 | |||||||||||||
The aggregate intrinsic value for stock options outstanding and for stock options exercisable (the difference between the Company’s 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: | |||||||||||||||||
Thirteen weeks ended | |||||||||||||||||
May 2, | May 3, | ||||||||||||||||
2015 | 2014 | ||||||||||||||||
(in millions) | |||||||||||||||||
Outstanding | $ | 153 | $ | 128 | |||||||||||||
Outstanding and exercisable | $ | 137 | $ | 110 | |||||||||||||
Vested and expected to vest | $ | 153 | $ | 127 | |||||||||||||
As of May 2, 2015, there was $14 million of total unrecognized compensation cost, related to nonvested stock options, which is expected to be recognized over a weighted-average period of 1.79 years. | |||||||||||||||||
The cash received from option exercises for the thirteen weeks ended May 2, 2015 and May 3, 2014 was $23 million and $10 million, respectively. The actual tax benefit realized from stock option exercises was $14 million and $4 million for the thirteen weeks ended May 2, 2015 and May 3, 2014, respectively. | |||||||||||||||||
The following table summarizes information about stock options outstanding and exercisable at May 2, 2015: | |||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||
Weighted- | |||||||||||||||||
Average | Weighted- | Weighted- | |||||||||||||||
Remaining | Average | Average | |||||||||||||||
Number | Contractual | Exercise | Number | Exercise | |||||||||||||
Range of Exercise Prices | Outstanding | Life | Price | Exercisable | Price | ||||||||||||
(in thousands, except prices per share and contractual life) | |||||||||||||||||
$ 9.85 to $15.10 | 1,130 | 4.34 | $ | 12.62 | 1,130 | $ | 12.62 | ||||||||||
$18.80 to $25.19 | 1,201 | 5.09 | $ | 19.81 | 1,201 | $ | 19.81 | ||||||||||
$30.92 to $36.59 | 1,510 | 7.31 | $ | 32.94 | 1,117 | $ | 32.47 | ||||||||||
$45.08 to $62.11 | 1,361 | 9.33 | $ | 54.05 | 237 | $ | 45.46 | ||||||||||
5,202 | 6.68 | $ | 31.01 | 3,685 | $ | 23.09 | |||||||||||
Restricted Stock and Units | |||||||||||||||||
Restricted shares of the Company’s common stock and restricted stock units may be awarded to certain officers and key employees of the Company. Awards made to executives outside of the United States and to nonemployee directors are made in the form of restricted stock units. Additionally, restricted stock unit awards are made in connection with the Company’s long-term incentive program. Each restricted stock unit represents the right to receive one share of the Company’s common stock provided that the vesting conditions are satisfied. There were 594,910 and 793,011 restricted stock units outstanding as of May 2, 2015 and May 3, 2014, respectively. | |||||||||||||||||
Generally, awards fully vest after the passage of time, typically three years. However, restricted stock unit grants made in connection with the Company’s long-term incentive program vest after the attainment of both certain performance metrics and the passage of time. Restricted stock is considered outstanding at the time of grant and the holders have voting rights. Dividends are paid to holders of restricted stock that vest with the passage of time; for performance-based restricted stock, dividends will be accumulated and paid after the performance criteria are met. No dividends are paid on restricted stock units. | |||||||||||||||||
Compensation expense is recognized using the fair market value at the date of grant and is amortized over the vesting period, provided the recipient continues to be employed by the Company. | |||||||||||||||||
Restricted share and unit activity for the thirteen weeks ended May 2, 2015 is summarized as follows: | |||||||||||||||||
Weighted-Average | |||||||||||||||||
Grant Date Fair | |||||||||||||||||
Number of Shares | Value per Share | ||||||||||||||||
(in thousands, except price per share) | |||||||||||||||||
Nonvested at the beginning of the year | 1,038 | $ | 37.96 | ||||||||||||||
Granted | 117 | 61.46 | |||||||||||||||
Vested | -280 | 31.51 | |||||||||||||||
Expired or cancelled | -26 | 43.57 | |||||||||||||||
Nonvested at May 2, 2015 | 849 | $ | 43.14 | ||||||||||||||
Aggregate value (in millions) | $ | 37 | |||||||||||||||
Weighted-average remaining contractual life (in years) | 1.47 years | ||||||||||||||||
The weighted grant-date fair value per share was $61.46 and $45.03 for the thirteen weeks ended May 2, 2015 and May 3, 2014, respectively. The total value of awards for which restrictions lapsed for both the thirteen weeks ended May 2, 2015 and May 3, 2014 was $9 million. As of May 2, 2015, there was $14 million of total unrecognized compensation cost net of forfeitures related to nonvested restricted awards. | |||||||||||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
2-May-15 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation |
The accompanying condensed consolidated financial statements contained in this report are unaudited. In the opinion of management, the condensed consolidated financial statements include all adjustments, which are of a normal recurring nature, necessary for a fair presentation of the results for the interim periods of the fiscal year ending January 30, 2016 and of the fiscal year ended January 31, 2015. Certain items included in these statements are based on management’s estimates. Actual results may differ from those estimates. The results of operations for any interim period are not necessarily indicative of the results expected for the year. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the Notes to Consolidated Financial Statements contained in Foot Locker, Inc.’s (the “Company”) Form 10-K for the year ended January 31, 2015, as filed with the U.S. Securities and Exchange Commission (the “SEC”) on March 30, 2015. | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements |
Recently issued accounting pronouncements did not, or are not believed by management to, have a material effect on the Company’s present or future consolidated financial statements. | |
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | |||||||
2-May-15 | ||||||||
Segment Reporting [Abstract] | ||||||||
Sales and Division Operating Results for Reportable Segments | ||||||||
Thirteen weeks ended | ||||||||
May 2, | May 3, | |||||||
2015 | 2014 | |||||||
(in millions) | ||||||||
Sales | ||||||||
Athletic Stores | $ | 1,681 | $ | 1,657 | ||||
Direct-to-Customers | 235 | 211 | ||||||
$ | 1,916 | $ | 1,868 | |||||
Operating Results | ||||||||
Athletic Stores(1) | $ | 267 | $ | 247 | ||||
Direct-to-Customers | 40 | 28 | ||||||
Division profit | 307 | 275 | ||||||
Less: Corporate expense | 17 | 21 | ||||||
Operating profit | 290 | 254 | ||||||
Interest expense, net | 1 | 1 | ||||||
Other income(2) | 1 | 1 | ||||||
Income before income taxes | $ | 290 | $ | 254 | ||||
-1 | During the first quarter of 2014, the Company recorded a non-cash impairment charge of $1 million to fully write down the remaining value of the tradename related to the Company’s stores in the Republic of Ireland, reflecting historical and projected underperformance. | |||||||
-2 | Other income includes non-operating items, such as lease termination gains, royalty income, and the changes in fair value, premiums paid, and realized gains associated with foreign currency option contracts. | |||||||
Goodwill_Tables
Goodwill (Tables) | 3 Months Ended | ||||||||||
2-May-15 | |||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||
Goodwill | The following table provides a summary of goodwill by reportable segment. The change represents foreign exchange fluctuations. | ||||||||||
May 2, | May 3, | January 31, | |||||||||
2015 | 2014 | 2015 | |||||||||
(in millions) | |||||||||||
Athletic Stores | $ | 17 | $ | 21 | $ | 17 | |||||
Direct-to-Customers | 139 | 142 | 140 | ||||||||
$ | 156 | $ | 163 | $ | 157 | ||||||
Other_Intangible_Assets_net_Ta
Other Intangible Assets, net (Tables) | 3 Months Ended | ||||||||||||||||||||||||||||
2-May-15 | |||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||
Components of Finite-Lived Intangible Assets and Intangible Assets Not Subject to Amortization | |||||||||||||||||||||||||||||
May 2, 2015 | May 3, 2014 | January 31, 2015 | |||||||||||||||||||||||||||
(in millions) | Gross | Accum. | Net | Gross | Accum. | Net | Gross | Accum. | Net | ||||||||||||||||||||
value | amort. | Value | value | amort. | Value | value | amort | Value | |||||||||||||||||||||
Amortized intangible assets: (1), (2) | |||||||||||||||||||||||||||||
Lease acquisition costs | $ | 126 | $ | -115 | $ | 11 | $ | 159 | $ | -142 | $ | 17 | $ | 128 | $ | -116 | $ | 12 | |||||||||||
Trademarks | 21 | -12 | 9 | 21 | -11 | 10 | 21 | -12 | 9 | ||||||||||||||||||||
Favorable leases | 7 | -4 | 3 | 8 | -4 | 4 | 7 | -4 | 3 | ||||||||||||||||||||
$ | 154 | $ | -131 | $ | 23 | $ | 188 | $ | -157 | $ | 31 | $ | 156 | $ | -132 | $ | 24 | ||||||||||||
Indefinite life intangible assets (1) | |||||||||||||||||||||||||||||
Runners Point Group trademarks | 25 | 31 | 25 | ||||||||||||||||||||||||||
Other trademarks (3) | — | 3 | — | ||||||||||||||||||||||||||
$ | 25 | $ | 34 | $ | 25 | ||||||||||||||||||||||||
Other intangible assets, net | $ | 48 | $ | 65 | $ | 49 | |||||||||||||||||||||||
-1 | Includes the effect of foreign currency translation related primarily to the movements of the euro in relation to the U.S. dollar. | ||||||||||||||||||||||||||||
-2 | During 2014, the Company exited the CCS e-commerce business; as such, the fully amortized customer relationship intangible of $21 million was removed from the amounts presented above for all periods presented. | ||||||||||||||||||||||||||||
-3 | During the first quarter of 2014, the Company recorded a non-cash impairment charge of $1 million to fully write down the remaining value of the tradename related to the Company’s stores in the Republic of Ireland, reflecting historical and projected underperformance. | ||||||||||||||||||||||||||||
Estimated Future Expected Amortization Expense for Finite Life Intangible Assets | Estimated future amortization expense for finite life intangible assets is as follows: | ||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Remainder of 2015 | $ | 3 | |||||||||||||||||||||||||||
2016 | 4 | ||||||||||||||||||||||||||||
2017 | 3 | ||||||||||||||||||||||||||||
2018 | 3 | ||||||||||||||||||||||||||||
2019 | 3 | ||||||||||||||||||||||||||||
2020 | 2 | ||||||||||||||||||||||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended | ||||||||||||||||
2-May-15 | |||||||||||||||||
Equity [Abstract] | |||||||||||||||||
Accumulated Other Comprehensive Loss | Accumulated other comprehensive loss (“AOCL”), net of tax, is comprised the following: | ||||||||||||||||
May 2, | May 3, | January 31, | |||||||||||||||
2015 | 2014 | 2015 | |||||||||||||||
(in millions) | |||||||||||||||||
Foreign currency translation adjustments | $ | -74 | $ | 76 | $ | -75 | |||||||||||
Cash flow hedges | -4 | -1 | -3 | ||||||||||||||
Unrecognized pension cost and postretirement benefit | -239 | -238 | -240 | ||||||||||||||
Unrealized loss on available-for-sale security | -1 | -1 | -1 | ||||||||||||||
$ | -318 | $ | -164 | $ | -319 | ||||||||||||
Changes in Accumulated Other Comprehensive Loss | The changes in AOCL for the thirteen weeks ended May 2, 2015 were as follows: | ||||||||||||||||
(in millions) | Foreign | Cash flow | Items related to | Unrealized | Total | ||||||||||||
currency | hedges | pension and | loss on | ||||||||||||||
translation | postretirement | available-for- | |||||||||||||||
adjustments | benefits | sale security | |||||||||||||||
Balance as of January 31, 2015 | $ | -75 | -3 | -240 | -1 | $ | -319 | ||||||||||
OCI before reclassification | 1 | -1 | -1 | — | -1 | ||||||||||||
Reclassified from AOCL | — | — | 2 | — | 2 | ||||||||||||
Other comprehensive income/(loss) | 1 | -1 | 1 | — | 1 | ||||||||||||
Balance as of May 2, 2015 | $ | -74 | -4 | -239 | -1 | $ | -318 | ||||||||||
Reclassification from Accumulated Other Comprehensive Loss | Reclassifications from AOCL for the thirteen weeks ended May 2, 2015 were as follows: | ||||||||||||||||
(in millions) | |||||||||||||||||
Amortization of actuarial (gain) loss: | |||||||||||||||||
Pension benefits - amortization of actuarial loss | $ | 3 | |||||||||||||||
Postretirement benefits - amortization of actuarial gain | — | ||||||||||||||||
Net periodic benefit cost (see Note 9) | 3 | ||||||||||||||||
Income tax benefit | -1 | ||||||||||||||||
Net of tax | $ | 2 | |||||||||||||||
Financial_Instruments_Tables
Financial Instruments (Tables) | 3 Months Ended | ||||||||||||
2-May-15 | |||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||
Fair Value of Derivative Contracts on Gross Basis, by Type of Contract | The following represents the fair value of the Company’s derivative contracts. Many of the Company’s agreements allow for a netting arrangement. The following is presented on a gross basis, by type of contract: | ||||||||||||
Balance Sheet | May 2, | May 3, | January 31, | ||||||||||
(in millions) | Caption | 2015 | 2014 | 2015 | |||||||||
Hedging Instruments: | |||||||||||||
Foreign exchange forward contracts | Current liabilities | $ | 5 | $ | 1 | $ | 4 | ||||||
Non-Hedging Instruments: | |||||||||||||
Foreign exchange forward contracts | Current liabilities | $ | — | $ | 1 | $ | 1 | ||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | ||||||||||||||||||||||||||||
2-May-15 | |||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on Recurring Basis | The following tables provide a summary of the Company’s recognized assets and liabilities that are measured at fair value on a recurring basis: | ||||||||||||||||||||||||||||
At May 2, 2015 | At May 3, 2014 | At January 31, 2015 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Short-term investments | $ | — | $ | — | $ | — | $ | — | $ | 2 | $ | — | $ | — | $ | — | $ | — | |||||||||||
Auction rate security | — | 6 | — | — | 6 | — | — | 6 | — | ||||||||||||||||||||
Total Assets | $ | — | $ | 6 | $ | — | $ | — | $ | 8 | $ | — | $ | — | $ | 6 | $ | — | |||||||||||
Liabilities | |||||||||||||||||||||||||||||
Foreign exchange forward contracts | — | 5 | — | — | 2 | — | — | 5 | — | ||||||||||||||||||||
Total Liabilities | $ | — | $ | 5 | $ | — | $ | — | $ | 2 | $ | — | $ | — | $ | 5 | $ | — | |||||||||||
Carrying Value and Estimated Fair Value of Long-Term Debt | The carrying value and estimated fair value of long-term debt and obligations under capital leases were as follows: | ||||||||||||||||||||||||||||
May 2, | May 3, | January 31, | |||||||||||||||||||||||||||
2015 | 2014 | 2015 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Carrying value | $ | 133 | $ | 138 | $ | 134 | |||||||||||||||||||||||
Fair value | $ | 158 | $ | 163 | $ | 163 | |||||||||||||||||||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 3 Months Ended | |||||||
2-May-15 | ||||||||
Earnings Per Share [Abstract] | ||||||||
Basic and Diluted Weighted-Average Number of Common Shares Outstanding | The computation of basic and diluted earnings per share is as follows: | |||||||
Thirteen weeks ended | ||||||||
May 2, | May 3, | |||||||
2015 | 2014 | |||||||
(in millions) | ||||||||
Weighted-average common shares outstanding | 140.1 | 145.4 | ||||||
Effect of Dilution: | ||||||||
Stock options and awards | 2 | 2.2 | ||||||
Weighted-average common shares assuming dilution | 142.1 | 147.6 | ||||||
Pension_and_Postretirement_Pla1
Pension and Postretirement Plans (Tables) | 3 Months Ended | |||||||||||||
2-May-15 | ||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ||||||||||||||
Components of Net Periodic Pension Benefit Cost and Postretirement Benefit Income | The following are the components of net periodic pension benefit cost and net periodic postretirement benefit income, which is recognized as part of SG&A expense: | |||||||||||||
Pension | Postretirement | |||||||||||||
Benefits | Benefits | |||||||||||||
May 2, | May 3, | May 2, | May 3, | |||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||
(in millions) | ||||||||||||||
Service cost | $ | 4 | $ | 4 | $ | — | $ | — | ||||||
Interest cost | 6 | 7 | — | — | ||||||||||
Expected return on plan assets | -9 | -10 | — | — | ||||||||||
Amortization of net loss (gain) | 3 | 4 | — | -1 | ||||||||||
Net benefit expense (income) | $ | 4 | $ | 5 | $ | — | $ | -1 | ||||||
ShareBased_Compensation_Tables
Share-Based Compensation (Tables) | 3 Months Ended | ||||||||||||||||
2-May-15 | |||||||||||||||||
Share-based Compensation [Abstract] | |||||||||||||||||
Total compensation expense and the related tax benefits recognized | Total compensation expense included in SG&A, and the associated tax benefits recognized related to the Company’s share-based compensation plans were as follows: | ||||||||||||||||
Thirteen weeks ended | |||||||||||||||||
May 2, | May 3, | ||||||||||||||||
2015 | 2014 | ||||||||||||||||
(in millions) | |||||||||||||||||
Options and shares purchased under the employee stock purchase plan | $ | 3 | $ | 3 | |||||||||||||
Restricted stock and units | 3 | 3 | |||||||||||||||
Total share-based compensation expense | $ | 6 | $ | 6 | |||||||||||||
Tax benefit recognized | $ | 2 | $ | 2 | |||||||||||||
Excess income tax benefit from settled equity-classified share-based awards reported as a cash flow from financing activities | $ | 14 | $ | 7 | |||||||||||||
Assumptions used to Compute Share-Based Compensation Expense | The following table shows the Company’s assumptions used to compute the share-based compensation expense: | ||||||||||||||||
Stock Option Plans | Stock Purchase Plan | ||||||||||||||||
May 2, | May 3, | May 2, | May 3, | ||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Weighted-average risk free rate of interest | 1.51 | % | 2.12 | % | 0.13 | % | 0.17 | % | |||||||||
Expected volatility | 30 | % | 39 | % | 23 | % | 25 | % | |||||||||
Weighted-average expected award life | 6.0 years | 6.1 years | 1.0 year | 1.0 year | |||||||||||||
Dividend yield | 1.6 | % | 2 | % | 1.82 | % | 2.3 | % | |||||||||
Weighted-average fair value | $ | 16.01 | $ | 14.91 | $ | 8.03 | $ | 5.79 | |||||||||
Options Granted under Stock Option Plans | The information in the following table covers options granted under the Company’s stock option plans for the thirteen weeks ended May 2, 2015: | ||||||||||||||||
Weighted- | Weighted-Average | ||||||||||||||||
Average | Exercise | ||||||||||||||||
Shares | Term | Price | |||||||||||||||
(in thousands, except price per share and weighted-average term) | |||||||||||||||||
Options outstanding at the beginning of the year | 5,569 | $ | 25.89 | ||||||||||||||
Granted | 682 | 62.11 | |||||||||||||||
Exercised | -1,000 | 22.84 | |||||||||||||||
Expired or cancelled | -49 | 48.47 | |||||||||||||||
Options outstanding at May 2, 2015 | 5,202 | 6.68 | $ | 31.01 | |||||||||||||
Options exercisable at May 2, 2015 | 3,685 | 5.67 | $ | 23.09 | |||||||||||||
Options vested and expected to vest at May 2, 2015 | 5,144 | 6.65 | $ | 30.73 | |||||||||||||
Options available for future grant at May 2, 2015 | 13,041 | ||||||||||||||||
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: | ||||||||||||||||
Thirteen weeks ended | |||||||||||||||||
May 2, | May 3, | ||||||||||||||||
2015 | 2014 | ||||||||||||||||
(in millions) | |||||||||||||||||
Exercised | $ | 36 | $ | 11 | |||||||||||||
Aggregate Intrinsic Value for Stock Options Outstanding and Exercisable | The aggregate intrinsic value for stock options outstanding and for stock options exercisable (the difference between the Company’s 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: | ||||||||||||||||
Thirteen weeks ended | |||||||||||||||||
May 2, | May 3, | ||||||||||||||||
2015 | 2014 | ||||||||||||||||
(in millions) | |||||||||||||||||
Outstanding | $ | 153 | $ | 128 | |||||||||||||
Outstanding and exercisable | $ | 137 | $ | 110 | |||||||||||||
Vested and expected to vest | $ | 153 | $ | 127 | |||||||||||||
Information about Stock Options Outstanding and Exercisable | The following table summarizes information about stock options outstanding and exercisable at May 2, 2015: | ||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||
Weighted- | |||||||||||||||||
Average | Weighted- | Weighted- | |||||||||||||||
Remaining | Average | Average | |||||||||||||||
Number | Contractual | Exercise | Number | Exercise | |||||||||||||
Range of Exercise Prices | Outstanding | Life | Price | Exercisable | Price | ||||||||||||
(in thousands, except prices per share and contractual life) | |||||||||||||||||
$ 9.85 to $15.10 | 1,130 | 4.34 | $ | 12.62 | 1,130 | $ | 12.62 | ||||||||||
$18.80 to $25.19 | 1,201 | 5.09 | $ | 19.81 | 1,201 | $ | 19.81 | ||||||||||
$30.92 to $36.59 | 1,510 | 7.31 | $ | 32.94 | 1,117 | $ | 32.47 | ||||||||||
$45.08 to $62.11 | 1,361 | 9.33 | $ | 54.05 | 237 | $ | 45.46 | ||||||||||
5,202 | 6.68 | $ | 31.01 | 3,685 | $ | 23.09 | |||||||||||
Restricted Share and Unit Activity | Restricted share and unit activity for the thirteen weeks ended May 2, 2015 is summarized as follows: | ||||||||||||||||
Weighted-Average | |||||||||||||||||
Grant Date Fair | |||||||||||||||||
Number of Shares | Value per Share | ||||||||||||||||
(in thousands, except price per share) | |||||||||||||||||
Nonvested at the beginning of the year | 1,038 | $ | 37.96 | ||||||||||||||
Granted | 117 | 61.46 | |||||||||||||||
Vested | -280 | 31.51 | |||||||||||||||
Expired or cancelled | -26 | 43.57 | |||||||||||||||
Nonvested at May 2, 2015 | 849 | $ | 43.14 | ||||||||||||||
Aggregate value (in millions) | $ | 37 | |||||||||||||||
Weighted-average remaining contractual life (in years) | 1.47 years | ||||||||||||||||
Segment_Information_Additional
Segment Information - Additional Information (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | 3-May-14 |
Segment Reporting Information [Line Items] | |
Impairment and other charges | $1 |
Sales_and_Division_Operating_R
Sales and Division Operating Results for Reportable Segments (Detail) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 | ||
Segment Reporting Information [Line Items] | ||||
Sales | $1,916 | $1,868 | ||
Division profit | 307 | 275 | ||
Less: Corporate expense | 17 | 21 | ||
Operating profit | 290 | 254 | ||
Interest expense, net | 1 | 1 | ||
Other income | 1 | [1] | 1 | [1] |
Income before income taxes | 290 | 254 | ||
Athletic Stores | ||||
Segment Reporting Information [Line Items] | ||||
Sales | 1,681 | 1,657 | ||
Operating results before restructuring income | 267 | [2] | 247 | [2] |
Direct-to-Customers | ||||
Segment Reporting Information [Line Items] | ||||
Sales | 235 | 211 | ||
Operating results before restructuring income | $40 | $28 | ||
[1] | Other income includes non-operating items, such as lease termination gains, royalty income, and the changes in fair value, premiums paid and realized gains associated with foreign currency option contracts. | |||
[2] | During the first quarter of 2014, the Company recorded a non-cash impairment charge of $1 million to fully write-down the remaining value of the tradename related to the Company’s stores in the Republic of Ireland, reflecting historical and projected underperformance. |
Goodwill_Detail
Goodwill (Detail) (USD $) | 2-May-15 | Jan. 31, 2015 | 3-May-14 | |
In Millions, unless otherwise specified | ||||
Goodwill [Line Items] | ||||
Goodwill | $156 | $157 | [1] | $163 |
Athletic Stores | ||||
Goodwill [Line Items] | ||||
Goodwill | 17 | 17 | 21 | |
Direct-to-Customers | ||||
Goodwill [Line Items] | ||||
Goodwill | $139 | $140 | $142 | |
[1] | The balance sheet at January 31, 2015 has been derived from the previously reported audited financial statements at that date, but does not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in Foot Locker, Inc.’s Annual Report on Form 10-K for the year ended January 31, 2015. |
Other_Intangible_Assets_net_Ad
Other Intangible Assets, net - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 | Jan. 31, 2015 |
Changes in Amortizing intangible assets [Line Items] | |||
Impairment and Other Charges | $0 | $1 | |
Amortization expense | 1 | 2 | |
Other Intangible Assets [Member] | |||
Changes in Amortizing intangible assets [Line Items] | |||
Fully Amortized Customer Relationship | $21 |
Other_Intangible_Assets_net_De
Other Intangible Assets, net (Detail) (USD $) | 2-May-15 | Jan. 31, 2015 | 3-May-14 | |||
In Millions, unless otherwise specified | ||||||
Intangible Assets by Major Class [Line Items] | ||||||
Amortized intangible assets, Gross value | $154 | [1],[2] | $156 | [1],[2] | $188 | [1],[2] |
Amortized intangible assets, Accum. amort. | -131 | [1],[2] | -132 | [1],[2] | -157 | [1],[2] |
Amortized intangible assets, Net value | 23 | [1],[2] | 24 | [1],[2] | 31 | [1],[2] |
Indefinite life intangible assets, Net Value | 25 | [1] | 25 | [1] | 34 | [1] |
Other intangible assets, net | 48 | 49 | [3] | 65 | ||
Lease acquisition costs | ||||||
Intangible Assets by Major Class [Line Items] | ||||||
Amortized intangible assets, Gross value | 126 | [1],[2] | 128 | [1],[2] | 159 | [1],[2] |
Amortized intangible assets, Accum. amort. | -115 | [1],[2] | -116 | [1],[2] | -142 | [1],[2] |
Amortized intangible assets, Net value | 11 | [1],[2] | 12 | [1],[2] | 17 | [1],[2] |
Trademark | ||||||
Intangible Assets by Major Class [Line Items] | ||||||
Amortized intangible assets, Gross value | 21 | [1],[2] | 21 | [1],[2] | 21 | [1],[2] |
Amortized intangible assets, Accum. amort. | -12 | [1],[2] | -12 | [1],[2] | -11 | [1],[2] |
Amortized intangible assets, Net value | 9 | [1],[2] | 9 | [1],[2] | 10 | [1],[2] |
Favorable leases | ||||||
Intangible Assets by Major Class [Line Items] | ||||||
Amortized intangible assets, Gross value | 7 | [1],[2] | 7 | [1],[2] | 8 | [1],[2] |
Amortized intangible assets, Accum. amort. | -4 | [1],[2] | -4 | [1],[2] | -4 | [1],[2] |
Amortized intangible assets, Net value | 3 | [1],[2] | 3 | [1],[2] | 4 | [1],[2] |
Runners Point Group | ||||||
Intangible Assets by Major Class [Line Items] | ||||||
Indefinite life intangible assets, Net Value | 25 | [1] | 25 | [1] | 31 | [1] |
Other trademarks | ||||||
Intangible Assets by Major Class [Line Items] | ||||||
Indefinite life intangible assets, Net Value | $0 | [1],[4] | $0 | [1],[4] | $3 | [1],[4] |
[1] | Includes the effect of foreign currency translation related primarily to the movements of the euro in relation to the U.S. dollar. | |||||
[2] | During 2014, the Company exited the CCS e-commerce business, as such; the fully amortized customer relationship intangible of $21 million was removed from the amounts presented above for all periods presented. | |||||
[3] | The balance sheet at January 31, 2015 has been derived from the previously reported audited financial statements at that date, but does not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in Foot Locker, Inc.’s Annual Report on Form 10-K for the year ended January 31, 2015. | |||||
[4] | During the first quarter of 2014, the Company recorded a non-cash impairment charge of $1 million to fully write-down the remaining value of the tradename related to the Company’s stores in the Republic of Ireland, reflecting historical and projected underperformance. |
Estimated_Future_Amortization_
Estimated Future Amortization Expense for Finite Lived Intangibles (Detail) (USD $) | 2-May-15 |
In Millions, unless otherwise specified | |
Expected Amortization Expense [Line Items] | |
Remainder of 2015 | $3 |
2016 | 4 |
2017 | 3 |
2018 | 3 |
2019 | 3 |
2020 | $2 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss, Net of Tax (Detail) (USD $) | 2-May-15 | Jan. 31, 2015 | 3-May-14 | |
In Millions, unless otherwise specified | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Foreign currency translation adjustments | ($74) | ($75) | $76 | |
Cash flow hedges | -4 | -3 | -1 | |
Unrecognized pension cost and postretirement benefit | -239 | -240 | -238 | |
Unrealized loss on available-for-sale security | -1 | -1 | -1 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax, Total | ($318) | ($319) | [1] | ($164) |
[1] | The balance sheet at January 31, 2015 has been derived from the previously reported audited financial statements at that date, but does not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in Foot Locker, Inc.’s Annual Report on Form 10-K for the year ended January 31, 2015. |
Changes_in_Accumulated_Other_C
Changes in Accumulated Other Comprehensive Loss (Detail) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | ($319) | [1] | ($164) |
OCI before reclassification | -1 | ||
Reclassified from AOCL | 2 | ||
Other comprehensive income/(loss) | 1 | ||
Ending Balance | -318 | -164 | |
Foreign currency translation adjustments | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | -75 | ||
OCI before reclassification | 1 | ||
Reclassified from AOCL | 0 | ||
Other comprehensive income/(loss) | 1 | ||
Ending Balance | -74 | ||
Cash flow hedges | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | -3 | ||
OCI before reclassification | -1 | ||
Reclassified from AOCL | 0 | ||
Other comprehensive income/(loss) | -1 | ||
Ending Balance | -4 | ||
Items related to pension and postretirement benefits | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | -240 | ||
OCI before reclassification | -1 | ||
Reclassified from AOCL | 2 | ||
Other comprehensive income/(loss) | 1 | ||
Ending Balance | -239 | ||
Unrealized loss on available-for- sale security | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | -1 | ||
OCI before reclassification | 0 | ||
Reclassified from AOCL | 0 | ||
Other comprehensive income/(loss) | 0 | ||
Ending Balance | ($1) | ||
[1] | The balance sheet at January 31, 2015 has been derived from the previously reported audited financial statements at that date, but does not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in Foot Locker, Inc.’s Annual Report on Form 10-K for the year ended January 31, 2015. |
Reclassifications_from_Accumul
Reclassifications from Accumulated Other Comprehensive Loss (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | 2-May-15 |
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |
Net periodic benefit cost | $3 |
Income tax benefit | -1 |
Net of tax | 2 |
Pension Benefits | |
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |
Net periodic benefit cost | 3 |
Postretirement Benefits | |
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |
Net periodic benefit cost | $0 |
Financial_Instruments_Addition
Financial Instruments - Additional Information (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | 2-May-15 |
Derivatives Designated as Hedging Instruments | Forward foreign exchange contracts | |
Derivative [Line Items] | |
Notional value of contracts outstanding | $89 |
Derivative contracts maturity date | 2016-07 |
Amount Of Hedge Loss Included in AOCL | 4 |
Increase Decrease In Fair Value Of Hedge Positions | -1 |
Derivatives not designated as hedging instruments | Forward foreign exchange contracts | |
Derivative [Line Items] | |
Notional value of contracts outstanding | 97 |
Derivative contracts maturity date | 2015-11 |
Fair Value, Option, Changes in Fair Value, Gain (Loss) | 1 |
Derivatives not designated as hedging instruments | Foreign currency option contracts | |
Derivative [Line Items] | |
Notional value of contracts outstanding | $23 |
Derivative contracts maturity date | 2015-07 |
Fair_Value_Derivative_Contract
Fair Value Derivative Contracts on Gross Basis by Type of Contract (Detail) (Diesel fuel forward contracts, USD $) | 2-May-15 | Jan. 31, 2015 | 3-May-14 |
In Millions, unless otherwise specified | |||
Derivatives Designated as Hedging Instruments | |||
Derivative [Line Items] | |||
Fair value of derivative liability | $5 | $4 | $1 |
Derivatives Designated as Non-Hedging Instruments | |||
Derivative [Line Items] | |||
Fair value of derivative liability | $0 | $1 | $1 |
Assets_and_Liabilities_Measure
Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | 2-May-15 | Jan. 31, 2015 | 3-May-14 |
In Millions, unless otherwise specified | |||
Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets measured at fair value on recurring basis | $0 | $0 | $0 |
Liabilities measured at fair value on recurring basis | 0 | 0 | 0 |
Level 1 | Auction rate security | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets measured at fair value on recurring basis | 0 | 0 | 0 |
Level 1 | Short-term investments | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets measured at fair value on recurring basis | 0 | 0 | 0 |
Level 1 | Forward foreign exchange contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Liabilities measured at fair value on recurring basis | 0 | 0 | 0 |
Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets measured at fair value on recurring basis | 6 | 6 | 8 |
Liabilities measured at fair value on recurring basis | 5 | 5 | 2 |
Level 2 | Auction rate security | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets measured at fair value on recurring basis | 6 | 6 | 6 |
Level 2 | Short-term investments | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets measured at fair value on recurring basis | 0 | 0 | 2 |
Level 2 | Forward foreign exchange contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Liabilities measured at fair value on recurring basis | 5 | 5 | 2 |
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets measured at fair value on recurring basis | 0 | 0 | 0 |
Liabilities measured at fair value on recurring basis | 0 | 0 | 0 |
Level 3 | Auction rate security | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets measured at fair value on recurring basis | 0 | 0 | 0 |
Level 3 | Short-term investments | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets measured at fair value on recurring basis | 0 | 0 | 0 |
Level 3 | Forward foreign exchange contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Liabilities measured at fair value on recurring basis | $0 | $0 | $0 |
Carrying_Value_and_Estimated_F
Carrying Value and Estimated Fair Value of Long-Term Debt (Detail) (USD $) | 2-May-15 | Jan. 31, 2015 | 3-May-14 |
In Millions, unless otherwise specified | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Carrying value | $133 | $134 | $138 |
Fair value | $158 | $163 | $163 |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional information (Detail) | 3 Months Ended | |
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Contingently Issuable Shares Excluded From Diluted Earnings Per Share | 0.3 | 0.4 |
Employee Stock Option [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0.4 | 0.3 |
Basic_and_Diluted_WeightedAver
Basic and Diluted Weighted-Average Number of Common Shares Outstanding (Detail) | 3 Months Ended | |
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||
Weighted-average common shares outstanding | 140.1 | 145.4 |
Effect of Dilution: | ||
Stock options and awards | 2 | 2.2 |
Weighted-average common shares assuming dilution | 142.1 | 147.6 |
Components_of_Net_Periodic_Pen
Components of Net Periodic Pension Benefit Cost and Net Postretirement Benefit Income (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 |
Pension Benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Service cost | $4 | $4 |
Interest cost | 6 | 7 |
Expected return on plan assets | -9 | -10 |
Amortization of net loss (gain) | 3 | 4 |
Net benefit expense (income) | 4 | 5 |
Postretirement Benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Service cost | 0 | 0 |
Interest cost | 0 | 0 |
Expected return on plan assets | 0 | 0 |
Amortization of net loss (gain) | 0 | -1 |
Net benefit expense (income) | $0 | ($1) |
ShareBased_Compensation_Additi
Share-Based Compensation - Additional Information (Detail) (USD $) | 3 Months Ended | |
In Millions, except Share data, unless otherwise specified | 2-May-15 | 3-May-14 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Cash received from options exercised | $23 | $10 |
Tax benefit realized from options exercised | 14 | 4 |
Restricted Stock and Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Awards vesting period description | Generally, awards fully vest after the passage of time, typically three years. However, restricted stock unit grants made in connection with the Companys long-term incentive program vest after the attainment of both certain performance metrics and the passage of time. | |
Weighted-average grant-date fair value per share | $61.46 | $45.03 |
Total value of awards for which restrictions lapsed | 9 | 14 |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | 594,910 | 793,011 |
Nonvested stock options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Unrecognized compensation cost, net of estimated forfeitures | $14 | |
Unrecognized compensation cost related to nonvested stock options, weighted-average period expected to be recognized | 1 year 9 months 14 days |
Total_compensation_expense_inc
Total compensation expense included in SG&A and the related tax benefits recognized (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total share-based compensation expense | $6 | $6 |
Tax benefit recognized | 2 | 2 |
Excess income tax benefit from settled equity-classified share-based awards reported as a cash flow from financing activities | 14 | 7 |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated Share-based Compensation Expense | 3 | 3 |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated Share-based Compensation Expense | $3 | $3 |
Assumption_used_to_Compute_Sha
Assumption used to Compute Share-Based Compensation Expense (Detail) (USD $) | 3 Months Ended | |
2-May-15 | 3-May-14 | |
Stock Option Plans | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Weighted-average risk free rate of interest | 1.51% | 2.12% |
Expected volatility | 30.00% | 39.00% |
Weighted-average expected award life (in years) | 6 years | 6 years 1 month 6 days |
Dividend yield | 1.60% | 2.00% |
Weighted-average fair value | $16.01 | $14.91 |
Stock Purchase Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Weighted-average risk free rate of interest | 0.13% | 0.17% |
Expected volatility | 23.00% | 25.00% |
Weighted-average expected award life (in years) | 1 year | 1 year |
Dividend yield | 1.82% | 2.30% |
Weighted-average fair value | $8.03 | $5.79 |
Options_Granted_under_Stock_Op
Options Granted under Stock Option Plans (Detail) (USD $) | 3 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | 2-May-15 |
Number of Shares | |
Options outstanding at beginning of year | 5,569 |
Granted | 682 |
Exercised | -1,000 |
Expired or cancelled | -49 |
Options outstanding at end of year | 5,202 |
Options exercisable at end of year | 3,685 |
Options vested and expected to vest | 5,144 |
Options available for future grant at end of year | 13,041 |
Weighted-Average Term | |
Options outstanding at end of year | 6 years 8 months 5 days |
Options exercisable at end of year | 5 years 8 months 1 day |
Options vested and expected to vest | 6 years 7 months 24 days |
Weighted-Average Exercise Price | |
Options outstanding at beginning of year | $25.89 |
Granted | $62.11 |
Exercised | $22.84 |
Expired or cancelled | $48.47 |
Options outstanding at end of year | $31.01 |
Options exercisable at end of year | $23.09 |
Options vested and expected to vest | $30.73 |
Total_Intrinsic_Value_of_Optio
Total Intrinsic Value of Options Exercised (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | 2-May-15 | 3-May-14 |
Intrinsic value of stock options | ||
Exercised | $36 | $11 |
Aggregate_Intrinsic_Value_for_
Aggregate Intrinsic Value for Stock Options Outstanding and Exercisable (Detail) (USD $) | 2-May-15 | 3-May-14 |
In Millions, unless otherwise specified | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Outstanding | $153 | $128 |
Outstanding and exercisable | 137 | 110 |
Vested and expected to vest | $153 | $127 |
Information_about_Stock_Option
Information about Stock Options Outstanding and Exercisable (Detail) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | 2-May-15 | Jan. 31, 2015 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Options Outstanding, Number of Shares | 5,202 | 5,569 |
Options Outstanding, Weighted-Average Remaining Contractual Life | 6 years 8 months 5 days | |
Options Outstanding, Weighted-Average Exercise Price | $31.01 | $25.89 |
Options Exercisable, Number of Shares | 3,685 | |
Options Exercisable, Weighted-Average Exercise Price | $23.09 | |
$ 9.85 to $15.10 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Options Outstanding, Number of Shares | 1,130 | |
Options Outstanding, Weighted-Average Remaining Contractual Life | 4 years 4 months 2 days | |
Options Outstanding, Weighted-Average Exercise Price | $12.62 | |
Options Exercisable, Number of Shares | 1,130 | |
Options Exercisable, Weighted-Average Exercise Price | $12.62 | |
$18.80 to $25.19 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Options Outstanding, Number of Shares | 1,201 | |
Options Outstanding, Weighted-Average Remaining Contractual Life | 5 years 1 month 2 days | |
Options Outstanding, Weighted-Average Exercise Price | $19.81 | |
Options Exercisable, Number of Shares | 1,201 | |
Options Exercisable, Weighted-Average Exercise Price | $19.81 | |
$30.92 to $36.59 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Options Outstanding, Number of Shares | 1,510 | |
Options Outstanding, Weighted-Average Remaining Contractual Life | 7 years 3 months 22 days | |
Options Outstanding, Weighted-Average Exercise Price | $32.94 | |
Options Exercisable, Number of Shares | 1,117 | |
Options Exercisable, Weighted-Average Exercise Price | $32.47 | |
$45.08 to $62.11 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Options Outstanding, Number of Shares | 1,361 | |
Options Outstanding, Weighted-Average Remaining Contractual Life | 9 years 3 months 29 days | |
Options Outstanding, Weighted-Average Exercise Price | $54.05 | |
Options Exercisable, Number of Shares | 237 | |
Options Exercisable, Weighted-Average Exercise Price | $45.46 |
Changes_in_Nonvested_Options_D
Changes in Nonvested Options (Detail) (Restricted Stock Units R S U [Member], USD $) | 3 Months Ended |
In Millions, except Share data in Thousands, unless otherwise specified | 2-May-15 |
Restricted Stock Units R S U [Member] | |
Number of Shares | |
Nonvested, Beginning Balance | 1,038 |
Granted | 117 |
Vested | -280 |
Expired or cancelled | -26 |
Nonvested, Ending Balance | 849 |
Aggregate value (in millions) | $37 |
Wtg. Avg. remaining contractual life (in years) | 1 year 5 months 19 days |
Weighted-Average Grant Date Fair Value per Share | |
Nonvested, Beginning Balance | $37.96 |
Granted | $61.46 |
Vested | $31.51 |
Expired or cancelled | $43.57 |
Nonvested, Ending Balance | $43.14 |