Derivative Financial Instruments (Tables)

9 Months Ended

Nov. 01, 2025

We had foreign exchange forward contracts outstanding in the following notional amounts:


($ in millions)	November 1, 2025		February 1, 2025		November 2, 2024
Derivatives designated as cash flow hedges	$	479	$	363	$	458
Derivatives not designated as hedging instruments	393		419		427
Total	$	872	$	782	$	885

The fair values of foreign exchange forward contracts are as follows:


($ in millions)	November 1, 2025		February 1, 2025		November 2, 2024
Derivatives designated as cash flow hedges:
Other current assets	$	12	$	20	$	10
Other long-term assets	2		—		1









Derivatives not designated as hedging instruments:
Other current assets	6		13		8
Accrued expenses and other current liabilities	—		—		1

Total derivatives in an asset position	$	20	$	33	$	19
Total derivatives in a liability position	$	—	$	—	$	1

The pre-tax amounts recognized in net income related to derivative instruments are as follows:


	Location and Amount of Gain Recognized in Net Income
	13 Weeks Ended November 1, 2025				13 Weeks Ended November 2, 2024
($ in millions)	Cost of goods sold and occupancy expenses		Operating expenses		Cost of goods sold and occupancy expenses		Operating expenses
Total amount of expense line items presented in the Condensed Consolidated Statements of Operations in which the effects of derivatives are recorded	$	2,272	$	1,336	$	2,194	$	1,280

Gain recognized in net income
Derivatives designated as cash flow hedges	(2)		—		(4)		—

Derivatives not designated as hedging instruments	—		(10)		—		(4)
Total gain recognized in net income	$	(2)	$	(10)	$	(4)	$	(4)


	Location and Amount of (Gain) Loss Recognized in Net Income
	39 Weeks Ended November 1, 2025				39 Weeks Ended November 2, 2024
($ in millions)	Cost of goods sold and occupancy expense		Operating expenses		Cost of goods sold and occupancy expense		Operating expenses
Total amount of expense line items presented in the Condensed Consolidated Statements of Operations in which the effects of derivatives are recorded	$	6,476	$	3,768	$	6,322	$	3,762

(Gain) loss recognized in net income
Derivatives designated as cash flow hedges	(7)		—		(10)		—
Derivatives not designated as hedging instruments	—		10		—		(17)
Total (gain) loss recognized in net income	$	(7)	$	10	$	(10)	$	(17)