Revenue Recognition (Tables) - Accounting Standards Update 2014-09 [Member]

9 Months Ended

Nov. 03, 2018

The following table summarizes net sales by line of business for the periods ended November 3, 2018 and October 28, 2017:

The following tables summarize the impact of adoption of the new standard by financial statement line item:

Three Months Ended October 28, 2017 (Dollars in Millions, Except per Share Data)	As Previously Reported		New Standard Adjustment			Adjusted
Net sales	$	4,332	$	(20	)	$	4,312
Other revenue				255			255
Total revenue				235			4,567
Cost of merchandise sold		2,737		(10	)		2,727
Gross margin		1,595
Operating expenses:
Selling, general and administrative		1,095		245			1,340
Depreciation and amortization		243		-			243
Operating income		257		-			257
Interest expense, net		74		-			74
Income before income taxes		183		-			183
Provision for income taxes		66		-			66
Net income	$	117	$	-		$	117
Net income per share:
Basic	$	0.70	$	-		$	0.70
Diluted	$	0.70	$	-		$	0.70

Nine Months Ended October 28, 2017 (Dollars in Millions, Except per Share Data)	As Previously Reported		New Standard Adjustment			Adjusted
Net sales	$	12,319	$	(45	)	$	12,274
Other revenue				753			753
Total revenue				708			13,027
Cost of merchandise sold		7,693		(13	)		7,680
Gross margin		4,626
Operating expenses:
Selling, general and administrative		3,053		721			3,774
Depreciation and amortization		724		-			724
Operating income		849		-			849
Interest expense, net		225		-			225
Income before income taxes		624		-			624
Provision for income taxes		233		-			233
Net income	$	391	$	-		$	391
Net income per share:
Basic	$	2.33	$	-		$	2.33
Diluted	$	2.32	$	-		$	2.32

October 28, 2017 (Dollars in Millions)	As Previously Reported		New Standard Adjustment			Adjusted
Assets
Current assets:
Cash and cash equivalents	$	736	$	-		$	736
Merchandise inventories		4,632		-			4,632
Other		332		47			379
Total current assets		5,700		47			5,747
Property and equipment, net		7,974		-			7,974
Other assets		226		-			226
Total assets	$	13,900	$	47		$	13,947

Liabilities and Shareholders’ Equity
Current liabilities:
Accounts payable	$	2,113	$	-		$	2,113
Accrued liabilities		1,237		57			1,294
Income taxes payable		24		-			24
Current portion of capital lease and financing obligations		131		-			131
Total current liabilities		3,505		57			3,562
Long-term debt		2,796		-			2,796
Capital lease and financing obligations		1,622		-			1,622
Deferred income taxes		275		(3	)		272
Other long-term liabilities		673		-			673
Total shareholders’ equity		5,029		(7	)		5,022
Total liabilities and shareholders’ equity	$	13,900	$	47		$	13,947

February 3, 2018 (Dollars in Millions)	As Previously Reported		New Standard Adjustment			Adjusted
Assets
Current assets:
Cash and cash equivalents	$	1,308	$	-		$	1,308
Merchandise inventories		3,542		-			3,542
Other		481		49			530
Total current assets		5,331		49			5,380
Property and equipment, net		7,773		-			7,773
Other assets		236		-			236
Total assets	$	13,340	$	49		$	13,389

Liabilities and Shareholders’ Equity
Current liabilities:
Accounts payable	$	1,271	$	-		$	1,271
Accrued liabilities		1,155		58			1,213
Income taxes payable		99		-			99
Current portion of capital lease and financing obligations		126		-			126
Total current liabilities		2,651		58			2,709
Long-term debt		2,797		-			2,797
Capital lease and financing obligations		1,591		-			1,591
Deferred income taxes		213		(2	)		211
Other long-term liabilities		662		-			662
Total shareholders’ equity		5,426		(7	)		5,419
Total liabilities and shareholders’ equity	$	13,340	$	49		$	13,389