SCHEDULE II – VALUATION AND QUALIFYING ACCOUNTS



Description	Balance at Beginning of Period		Additions			Deductions				Balance at End of Period
	(In millions)
Fiscal year 2017
Allowance for doubtful accounts	$	2	$	1	(1)	$	—		(1)	$	3
Sales return allowance	$	9	$	9	(2)	$	(8	)	(4)	$	10
Deferred tax valuation allowance	$	272	$	81	(3)	$	—			$	353
Fiscal year 2016
Allowance for doubtful accounts	$	3	$	—	(1)	$	(1	)	(1)	$	2
Sales return allowance	$	14	$	9	(2)	$	(14	)	(4)	$	9
Deferred tax valuation allowance	$	261	$	11	(3)	$	—			$	272
Fiscal year 2015
Allowance for doubtful accounts	$	1	$	3	(1)	$	(1	)	(1)	$	3
Sales return allowance	$	14	$	12	(2)	$	(12	)	(4)	$	14
Deferred tax valuation allowance	$	244	$	17	(3)	$	—			$	261

(1) Additions represent allowance for doubtful accounts charged to expense and deductions represent amounts recorded as reduction to expense upon reassessment of allowance for doubtful accounts at period end.

(2) Represents allowance for sales returns estimated at the time revenue is recognized primarily based on historical return rates and is charged as a reduction to revenue.

(3) Represents change in valuation allowance primarily related to state and certain foreign deferred tax assets that management has determined not likely to be realized due, in part, to projections of future taxable income of the respective jurisdictions.

(4) Represents sales returns.