☒ | Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
☐ | Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
Delaware | 04-2207613 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |
770 Cochituate Road Framingham, Massachusetts | 01701 | |
(Address of principal executive offices) | (Zip Code) |
Title of each class | Name of each exchange on which registered | |
Common Stock, par value $1.00 per share | New York Stock Exchange |
Large accelerated filer | ☒ | Accelerated filer | ☐ | |||
Non-accelerated filer | ☐ | Smaller reporting company | ☐ | |||
Emerging growth company | ☐ |
Approximate Average Store Size (square feet) | Number of Stores at Year End | Estimated Store Growth Potential | |||||||||||
Fiscal 2018 | Fiscal 2019 | Fiscal 2020 (estimated) | |||||||||||
Marmaxx | |||||||||||||
T.J. Maxx | 28,000 | 1,223 | 1,252 | ||||||||||
Marshalls | 29,000 | 1,062 | 1,091 | ||||||||||
2,285 | 2,343 | 2,403 | 3,000 | ||||||||||
HomeGoods | |||||||||||||
HomeGoods | 23,000 | 667 | 749 | ||||||||||
Homesense | 27,000 | 4 | 16 | ||||||||||
671 | 765 | 845 | (1) | 1,400 | (1) | ||||||||
TJX Canada | |||||||||||||
Winners | 28,000 | 264 | 271 | ||||||||||
HomeSense | 23,000 | 117 | 125 | ||||||||||
Marshalls | 27,000 | 73 | 88 | ||||||||||
454 | 484 | 514 | 600 | ||||||||||
TJX International | |||||||||||||
T.K. Maxx (Europe) | 29,000 | 540 | 567 | ||||||||||
Homesense (Europe) | 20,000 | 55 | 68 | ||||||||||
T.K. Maxx (Australia) | 22,000 | 38 | 44 | ||||||||||
633 | 679 | 729 | 1,100 | (2) | |||||||||
TJX Total (3) | 4,070 | 4,306 | 4,536 | (1) | 6,100 | (1) |
(1) | HomeGoods and TJX total includes 31 Homesense stores in the U.S. estimated for fiscal 2020 and store growth potential includes 400 Homesense stores. |
(2) | Reflects store growth potential for T.K. Maxx in current geographies and for Homesense in the United Kingdom and Ireland. |
(3) | Includes 27 Sierra stores in fiscal 2018, 35 Sierra stores for fiscal 2019, and 45 Sierra stores estimated for fiscal 2020. Sierra stores are not included in estimated store growth potential. |
Name | Age | Office and Business Experience |
Kenneth Canestrari | 57 | Senior Executive Vice President, Group President since September 2014. President, HomeGoods from 2012 to September 2014. Executive Vice President, Chief Operating Officer, HomeGoods from 2008 until 2012. Various financial positions with TJX from 1988 to 2008. |
Scott Goldenberg | 65 | Senior Executive Vice President and Chief Financial Officer since April 2014; Executive Vice President and Chief Financial Officer from January 2012 to April 2014. Executive Vice President, Finance from June 2009 to January 2012. Senior Vice President, Corporate Controller from 2007 to 2009 and Senior Vice President, Director of Finance, Marmaxx, from 2000 to 2007. Various financial positions with TJX from 1983 to 1988 and 1997 to 2000. |
Ernie Herrman | 58 | Chief Executive Officer since January 2016. Director since October 2015. President since January 2011. Senior Executive Vice President, Group President from August 2008 to January 2011. President, Marmaxx from 2005 to 2008. Senior Executive Vice President, Chief Operating Officer, Marmaxx from 2004 to 2005. Executive Vice President, Merchandising, Marmaxx from 2001 to 2004. Various merchandising positions with TJX since joining in 1989. |
Carol Meyrowitz | 65 | Executive Chairman of the Board since January 2016. Chairman of the Board from June 2015 to January 2016. Chief Executive Officer from January 2007 to January 2016. Director since 2006 and President from 2005 to January 2011. Consultant to TJX from January 2005 to October 2005. Senior Executive Vice President from March 2004 to January 2005. President, Marmaxx from 2001 to January 2005. Executive Vice President of TJX from 2001 to 2004. Various senior management and merchandising positions with Marmaxx and with Chadwick’s of Boston and Hit or Miss, former divisions of TJX, from 1983 to 2001. |
Douglas Mizzi | 59 | Senior Executive Vice President, Group President since February 2018. President, TJX Canada from October 2011 to February 2018. Managing Director T.K. Maxx, UK from April 2010 to October 2011. Executive Vice President, Chief Operating Officer, WMI from February 2006 to April 2010. Senior Vice President, Director of Store Operations, WMI from 2004 to 2006. Various store operations positions with TJX from 1988 to 2004. |
Richard Sherr | 62 | Senior Executive Vice President, Group President since January 2012. President, HomeGoods from 2010 to 2012. Chief Operating Officer, Marmaxx from 2007 until 2010. Various merchandising positions at TJX from 1992 to 2007. |
– | labor and employment practices and benefits, including for labor unions and works councils; |
– | climate change, energy and waste; |
– | supply chain, trade restrictions and logistics, including resulting from changes to requirements or policies from the outcome of Brexit discussions; |
– | health and welfare regulations; |
– | consumer protection and product safety; |
– | financial regulations; |
– | data protection and privacy, such as to comply with, or fines and penalties related to, the General Data Protection Regulation in Europe; |
– | Internet regulations, including e-commerce, electronic communications and privacy; and |
– | protection of intellectual property rights. |
– | potential disruptions in manufacturing and supply; |
– | changes in duties, tariffs, trade restrictions, sanctions, quotas and voluntary export restrictions on imported merchandise, including, for example, tariffs and border adjustment taxes; changes to the North American Free Trade Agreement or successor or other trade agreements; or changes to trade requirements resulting from Brexit; |
– | transport capacity and costs; |
– | information technology challenges; |
– | problems in third-party distribution and warehousing, logistics, transportation and other supply chain interruptions; |
– | strikes, threats of strikes and other events affecting delivery; |
– | consumer perceptions of the safety or quality of imported merchandise; |
– | product and international trade compliance with laws and regulations of the destination country; |
– | compliance with laws and regulations including changing labor, environmental, international trade and other laws in those countries and those concerning ethical business practices, such as the U.S. Foreign Corrupt Practices Act and the U.K. Bribery Act; |
– | product liability claims from customers or penalties from government agencies relating to products that are recalled, defective or otherwise noncompliant or alleged to be harmful; |
– | intellectual property enforcement and infringement issues; |
– | concerns about human rights, working conditions and other labor rights and conditions in countries where merchandise is produced; |
– | concerns about transparent sourcing and supply chains; |
– | currency exchange rates, financial or economic instability; and |
– | political or other disruptions in countries from, to or through which merchandise is imported. |
T.J. Maxx | Marshalls | HomeGoods | Homesense | Sierra | ||||||
Alabama | 25 | 6 | 6 | — | — | |||||
Arizona | 17 | 18 | 14 | — | — | |||||
Arkansas | 14 | 4 | 5 | — | — | |||||
California | 121 | 145 | 89 | — | — | |||||
Colorado | 17 | 11 | 10 | — | 5 | |||||
Connecticut | 28 | 24 | 18 | — | 1 | |||||
Delaware | 3 | 5 | 4 | — | — | |||||
District of Columbia | 4 | 4 | — | — | — | |||||
Florida | 95 | 94 | 67 | — | — | |||||
Georgia | 50 | 34 | 27 | — | — | |||||
Hawaii | 6 | — | — | — | — | |||||
Idaho | 7 | 2 | 2 | — | 1 | |||||
Illinois | 51 | 45 | 31 | — | 3 | |||||
Indiana | 23 | 14 | 8 | — | — | |||||
Iowa | 11 | 7 | 5 | — | — | |||||
Kansas | 9 | 6 | 7 | — | — | |||||
Kentucky | 16 | 5 | 5 | — | — | |||||
Louisiana | 15 | 12 | 8 | — | — | |||||
Maine | 9 | 3 | 3 | — | — | |||||
Maryland | 25 | 29 | 20 | 2 | — | |||||
Massachusetts | 52 | 57 | 37 | 4 | 2 | |||||
Michigan | 41 | 27 | 19 | — | 3 | |||||
Minnesota | 17 | 16 | 12 | — | 2 | |||||
Mississippi | 10 | 5 | 4 | — | — | |||||
Missouri | 19 | 17 | 10 | — | — | |||||
Montana | 6 | — | 1 | — | — | |||||
Nebraska | 5 | 4 | 4 | — | 1 | |||||
Nevada | 9 | 11 | 7 | — | 1 | |||||
New Hampshire | 16 | 10 | 10 | — | 1 | |||||
New Jersey | 40 | 51 | 42 | 4 | 2 | |||||
New Mexico | 5 | 4 | 2 | — | — | |||||
New York | 80 | 83 | 49 | 3 | 2 | |||||
North Carolina | 37 | 27 | 18 | — | — | |||||
North Dakota | 5 | 1 | 1 | — | — | |||||
Ohio | 47 | 35 | 22 | — | 1 | |||||
Oklahoma | 12 | 6 | 3 | — | — | |||||
Oregon | 12 | 9 | 8 | — | 3 | |||||
Pennsylvania | 51 | 40 | 32 | 2 | — | |||||
Puerto Rico | 8 | 21 | 6 | — | — | |||||
Rhode Island | 6 | 6 | 6 | — | — | |||||
South Carolina | 22 | 12 | 9 | — | — | |||||
South Dakota | 2 | 1 | 1 | — | — | |||||
Tennessee | 26 | 18 | 9 | — | — | |||||
Texas | 70 | 91 | 50 | — | — | |||||
Utah | 14 | 4 | 7 | — | 1 | |||||
Vermont | 5 | 1 | 1 | — | 1 | |||||
Virginia | 37 | 30 | 23 | 1 | — | |||||
Washington | 19 | 21 | 13 | — | 2 | |||||
West Virginia | 7 | 3 | 2 | — | — | |||||
Wisconsin | 23 | 11 | 12 | — | 1 | |||||
Wyoming | 3 | 1 | — | — | 2 | |||||
Total Stores | 1,252 | 1,091 | 749 | 16 | 35 |
Winners | HomeSense | Marshalls | ||||
Alberta | 34 | 20 | 15 | |||
British Columbia | 36 | 18 | 7 | |||
Manitoba | 9 | 3 | 3 | |||
New Brunswick | 4 | 3 | 2 | |||
Newfoundland | 3 | 1 | 1 | |||
Nova Scotia | 11 | 2 | 2 | |||
Ontario | 118 | 55 | 42 | |||
Prince Edward Island | 1 | 1 | — | |||
Quebec | 49 | 19 | 14 | |||
Saskatchewan | 6 | 3 | 2 | |||
Total Stores | 271 | 125 | 88 |
T.K. Maxx | Homesense | |||
United Kingdom | 345 | 66 | ||
Republic of Ireland | 26 | 2 | ||
Germany | 131 | — | ||
Poland | 43 | — | ||
Austria | 12 | — | ||
The Netherlands | 10 | — | ||
Total Stores | 567 | 68 |
T.K. Maxx | ||
Australian Capital Territory | 2 | |
New South Wales | 15 | |
Queensland | 18 | |
Victoria | 9 | |
Total Stores | 44 |
Marmaxx | ||
T.J. Maxx | Worcester, Massachusetts | 494,000 s.f.—owned |
Evansville, Indiana | 989,000 s.f.—owned | |
Las Vegas, Nevada | 1,110,000 s.f.—owned | |
Charlotte, North Carolina | 595,000 s.f.—owned | |
Pittston Township, Pennsylvania | 1,017,000 s.f.—owned | |
Memphis, Tennessee | 800,000 s.f.—leased | |
San Antonio, Texas | 1,215,000 s.f.—owned | |
Marshalls | Atlanta, Georgia | 780,000 s.f.—owned |
Woburn, Massachusetts | 472,000 s.f.—leased | |
Bridgewater, Virginia | 562,000 s.f.—leased | |
Philadelphia, Pennsylvania | 1,001,000 s.f.—leased | |
Phoenix, Arizona | 1,139,000 s.f.—owned | |
Sierra | Cheyenne, Wyoming | 780,000 s.f.—owned |
HomeGoods | Brownsburg, Indiana | 805,000 s.f.—owned |
Bloomfield, Connecticut | 803,000 s.f.—owned | |
Jefferson, Georgia | 801,000 s.f.—owned | |
Tucson, Arizona | 858,000 s.f.—owned | |
Carteret, New Jersey | 460,000 s.f.—leased | |
TJX Canada | Brampton, Ontario | 506,000 s.f.—leased |
Mississauga, Ontario | 679,000 s.f.—leased | |
Torbram, Ontario | 445,000 s.f.—leased | |
Delta, British Columbia | 432,000 s.f.—leased | |
TJX International | Wakefield, England | 641,000 s.f.—leased |
Stoke, England | 261,000 s.f.—leased | |
Walsall, England | 277,000 s.f.—leased | |
Bergheim, Germany | 322,000 s.f.—leased | |
Wroclaw, Poland | 303,000 s.f.—leased | |
Chullora, Australia | 154,000 s.f.—leased |
Corporate, Marmaxx, HomeGoods, Sierra | Framingham and Marlborough, Massachusetts | 1,958,000 s.f.—owned and leased in several buildings |
Sierra | Cheyenne, Wyoming | 120,000 s.f. —owned |
TJX Canada | Mississauga, Ontario | 434,000 s.f.—leased |
TJX International | Watford, England | 282,000 s.f.—owned and leased |
Dusseldorf, Germany | 46,000 s. f.—leased | |
Mascot, Australia | 44,000 s. f.—leased |
Total Number of Shares Repurchased(1) | Average Price Paid Per Share(2) | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs(1) | Approximate Dollar Value of Shares that May Yet be Purchased Under the Plans or Programs(3) | |
November 4, 2018 through December 1, 2018 | 2,629,102 | $51.35 | 2,629,102 | $2,400,789,659 |
December 2, 2018 through January 5, 2019 | 3,594,376 | $45.91 | 3,594,376 | $2,235,789,672 |
January 6, 2019 through February 2, 2019 | 11,544,855 | $48.07 | 11,544,855 | $3,180,789,706 |
Total: | 17,768,333 | 17,768,333 |
(1) | Consists of shares repurchased under publicly announced stock repurchase programs. |
(2) | Includes commissions for the shares repurchased under stock repurchase programs. |
(3) | In February 2018, TJX announced a stock repurchase program authorizing an additional $3.0 billion in repurchases, from time to time, under which approximately $1.7 billion remained available as of February 2, 2019. In February 2019, the Company announced that its Board of Directors had approved a new stock repurchase program that authorizes the repurchase of up to an additional $1.5 billion of TJX common stock from time to time. |
Fiscal Year Ended | |||||||||||||||
Amounts in millions, except per share amounts | February 2, 2019(1) | February 3, 2018(2) | January 28, 2017(1) | January 30, 2016 | January 31, 2015 | ||||||||||
(53 Weeks) | |||||||||||||||
Income statement and per share data: | |||||||||||||||
Net sales | $ | 38,973 | $ | 35,865 | $ | 33,184 | $ | 30,945 | $ | 29,078 | |||||
Net income | $ | 3,060 | $ | 2,608 | $ | 2,298 | $ | 2,278 | $ | 2,215 | |||||
Weighted average common shares for diluted earnings per share calculation (in thousands) (3) | 1,259,252 | 1,292,209 | 1,328,864 | 1,366,502 | 1,407,090 | ||||||||||
Diluted earnings per share(3) | $ | 2.43 | $ | 2.02 | $ | 1.73 | $ | 1.67 | $ | 1.57 | |||||
Cash dividends declared per share(3) | $ | 0.78 | $ | 0.625 | $ | 0.52 | $ | 0.42 | $ | 0.35 | |||||
Balance sheet data: | |||||||||||||||
Cash and cash equivalents | $ | 3,030 | $ | 2,758 | $ | 2,930 | $ | 2,095 | $ | 2,494 | |||||
Working capital | $ | 2,938 | $ | 3,360 | $ | 2,993 | $ | 2,370 | $ | 2,648 | |||||
Total assets | $ | 14,326 | $ | 14,058 | $ | 12,884 | $ | 11,490 | $ | 10,978 | |||||
Capital expenditures | $ | 1,125 | $ | 1,058 | $ | 1,025 | $ | 889 | $ | 912 | |||||
Long-term obligations(4) | $ | 2,234 | $ | 2,231 | $ | 2,228 | $ | 1,615 | $ | 1,613 | |||||
Shareholders’ equity | $ | 5,049 | $ | 5,148 | $ | 4,511 | $ | 4,307 | $ | 4,264 | |||||
Other financial data: | |||||||||||||||
After-tax return on average shareholders’ equity | 60.1 | % | 54.0 | % | 52.1 | % | 53.1 | % | 52.2 | % | |||||
Total debt as a percentage of total capitalization(5) | 30.7 | % | 30.2 | % | 33.1 | % | 27.3 | % | 27.4 | % | |||||
Stores in operation | 4,306 | 4,070 | 3,812 | 3,614 | 3,395 | ||||||||||
Selling square footage (in thousands) | 91,075 | 87,548 | 83,798 | 80,480 | 76,537 |
(1) | Fiscal 2019 and Fiscal 2017 include a pension settlement charge and Fiscal 2017 includes a loss on early extinguishment of debt. |
(2) | Fiscal 2018 includes an impairment charge of $99.3 million and a net benefit from the enactment of the 2017 Tax Act described in Item 7 under “Tax Cuts and Jobs Act of 2017.” |
(3) | Fiscal 2018 and prior periods have been restated to reflect the two-for-one stock split completed in November 2018. |
(4) | Defined as long-term debt, exclusive of current installments. |
(5) | Defined as shareholders’ equity, short-term debt, and long-term debt including current maturities. |
– | Net sales increased to $39 billion for fiscal 2019, up 9% over fiscal 2018. At February 2, 2019, the number of stores in operation increased 6% and selling square footage increased 4% over the end of fiscal 2018. |
– | Comp sales increased 6% in fiscal 2019 over an increase of 2% in fiscal 2018 and an increase of 5% in fiscal 2017. The fiscal 2019 increase was driven primarily by an increase in customer traffic at each of our four segments. |
– | Diluted earnings per share for fiscal 2019 were $2.43 compared to $2.02 per share in fiscal 2018. |
– | Our fiscal 2019 pre-tax margin (the ratio of pre-tax income to net sales) was 10.7%, a 0.1 percentage point decrease compared to 10.8% in fiscal 2018. |
– | Our cost of sales, including buying and occupancy costs, ratio for fiscal 2019 was 71.4% a 0.3 percentage point increase compared to 71.1% in fiscal 2018. |
– | Our selling, general and administrative (“SG&A”) expense ratio for fiscal 2019 was 17.8%, which was flat to fiscal 2018. |
– | Our consolidated average per store inventories, including inventory on hand at our distribution centers (which excludes inventory in transit) and excluding our e-commerce businesses, increased 1% on a reported basis and increased 3% on a constant currency basis at the end of fiscal 2019 as compared to the prior year. |
– | During fiscal 2019, we repurchased 51.8 million shares of our common stock for $2.5 billion, on a “trade date basis”. Earnings per share reflect the benefit of our stock repurchase programs. In February 2019, our Board of Directors approved a repurchase program that authorizes the repurchase of up to an additional $1.5 billion of TJX common stock. |
Fiscal 2019 | Fiscal 2018 | Fiscal 2017 | |||||||
United States | |||||||||
Northeast | 23 | % | 24 | % | 24 | % | |||
Midwest | 13 | 12 | 12 | ||||||
South (including Puerto Rico) | 25 | 25 | 25 | ||||||
West | 15 | 15 | 16 | ||||||
Subtotal | 76 | 76 | 77 | ||||||
Canada | 10 | 10 | 10 | ||||||
Europe | 13 | 13 | 13 | ||||||
Australia | 1 | 1 | * | ||||||
Total | 100 | % | 100 | % | 100 | % |
* | Revenue from Australia was less than one percent during fiscal 2017. |
– | New stores - stores that have not yet met the comp sales criteria, which represents a substantial majority of non-comp sales |
– | Stores that are closed permanently or for an extended period of time |
– | Sales from our e-commerce businesses, meaning Sierra (including stores), tjmaxx.com and tkmaxx.com |
Percentage of Net Sales | ||||||
Fiscal Year 2019 | Fiscal Year 2018 | Fiscal Year 2017 | ||||
Net sales | 100.0 | % | 100.0 | % | 100.0 | % |
Cost of sales, including buying and occupancy costs | 71.4 | 71.1 | 71.0 | |||
Selling, general and administrative expenses | 17.8 | 17.8 | 17.4 | |||
Impairment of goodwill and other long-lived assets | — | 0.3 | — | |||
Loss on early extinguishment of debt | — | — | 0.2 | |||
Pension settlement charge | 0.1 | — | 0.1 | |||
Interest expense, net | — | 0.1 | 0.1 | |||
Income before provision for income taxes* | 10.7 | % | 10.8 | % | 11.2 | % |
* | Figures may not foot due to rounding. |
– | Translation of foreign operating results into U.S. dollars: In our financial statements, we translate the operations of TJX Canada and TJX International from local currencies into U.S. dollars using currency rates in effect at different points in time. Significant changes in foreign exchange rates between comparable prior periods can result in meaningful variations in consolidated net sales, net income and earnings per share growth as well as the net sales and operating results of these segments. Currency translation generally does not affect operating margins, or affects them only slightly, as sales and expenses of the foreign operations are translated at approximately the same rates within a given period. |
– | Inventory-related derivatives: We routinely enter into inventory-related hedging instruments to mitigate the impact on earnings of changes in foreign currency exchange rates on merchandise purchases denominated in currencies other than the local currencies of our divisions, principally TJX Canada and TJX International. As we have not elected “hedge accounting” for these instruments as defined by U.S. generally accepted accounting principles (“GAAP”), we record a mark-to-market gain or loss on the derivative instruments in our results of operations at the end of each reporting period. In subsequent periods, the income statement impact of the mark-to-market adjustment is effectively offset when the inventory being hedged is received and paid for. While these effects occur every reporting period, they are of much greater magnitude when there are sudden and significant changes in currency exchange rates during a short period of time. The mark-to-market adjustment on these derivatives does not affect net sales, but it does affect the cost of sales, operating margins and earnings we report. |
Fiscal Year Ended | |||||||||
In thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Interest expense | $ | 69,102 | $ | 69,237 | $ | 69,219 | |||
Capitalized interest | (4,263 | ) | (4,942 | ) | (7,548 | ) | |||
Interest (income) | (55,979 | ) | (32,707 | ) | (18,137 | ) | |||
Interest expense, net | $ | 8,860 | $ | 31,588 | $ | 43,534 |
Fiscal Year Ended | |||||||||
February 2, 2019 | February 3, 2018 | January 28, 2017 | |||||||
(53 weeks) | |||||||||
Net benefit of 2017 Tax Act items(1) | $ | (0.34 | ) | $ | (0.09 | ) | $ | — | |
Benefit of 53rd week in FY18 | $ | — | $ | (0.06 | ) | $ | — | ||
Sierra impairment charge | $ | — | $ | 0.05 | $ | — | |||
Pension settlement charge | $ | 0.02 | $ | — | $ | 0.01 | |||
Loss on early extinguishment of debt | $ | — | $ | — | $ | 0.02 |
(1) | Refer to the Tax Cuts and Jobs Act of 2017 section within this MD&A for further details on the net benefit of 2017 Tax Act items. |
Fiscal Year Ended | |||||||||
In millions | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Net sales | $ | 24,058.0 | $ | 22,249.1 | $ | 21,246.0 | |||
Segment profit | $ | 3,253.9 | $ | 2,949.4 | $ | 2,995.0 | |||
Segment profit as a percentage of net sales | 13.5 | % | 13.3 | % | 14.1 | % | |||
Increase in comp sales | 7 | % | 1 | % | 5 | % | |||
Stores in operation at end of period | |||||||||
T.J. Maxx | 1,252 | 1,223 | 1,186 | ||||||
Marshalls | 1,091 | 1,062 | 1,035 | ||||||
Sierra | 35 | 27 | 12 | ||||||
Total | 2,378 | 2,312 | 2,233 | ||||||
Selling square footage at end of period (in thousands) | |||||||||
T.J. Maxx | 27,484 | 27,077 | 26,614 | ||||||
Marshalls | 25,269 | 24,916 | 24,750 | ||||||
Sierra | 598 | 470 | 227 | ||||||
Total | 53,351 | 52,463 | 51,591 |
Fiscal Year Ended | |||||||||
In millions | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Net sales | $ | 5,787.4 | $ | 5,116.3 | $ | 4,404.6 | |||
Segment profit | $ | 671.9 | $ | 674.5 | $ | 613.8 | |||
Segment profit as a percentage of net sales | 11.6 | % | 13.2 | % | 13.9 | % | |||
Increase in comp sales | 4 | % | 4 | % | 6 | % | |||
Stores in operation at end of period | |||||||||
HomeGoods | 749 | 667 | 579 | ||||||
Homesense | 16 | 4 | — | ||||||
Total | 765 | 671 | 579 | ||||||
Selling square footage at end of period (in thousands) | |||||||||
HomeGoods | 13,775 | 12,448 | 11,119 | ||||||
Homesense | 343 | 81 | — | ||||||
Total | 14,118 | 12,529 | 11,119 |
Fiscal Year Ended | |||||||||
U.S. dollars in millions | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Net sales | $ | 3,869.8 | $ | 3,642.3 | $ | 3,171.1 | |||
Segment profit | $ | 551.6 | $ | 530.1 | $ | 413.4 | |||
Segment profit as a percentage of net sales | 14.3 | % | 14.6 | % | 13.0 | % | |||
Increase in comp sales | 4 | % | 5 | % | 8 | % | |||
Stores in operation at end of period | |||||||||
Winners | 271 | 264 | 255 | ||||||
HomeSense | 125 | 117 | 106 | ||||||
Marshalls | 88 | 73 | 57 | ||||||
Total | 484 | 454 | 418 | ||||||
Selling square footage at end of period (in thousands) | |||||||||
Winners | 5,862 | 5,780 | 5,629 | ||||||
HomeSense | 2,323 | 2,179 | 1,984 | ||||||
Marshalls | 1,885 | 1,621 | 1,307 | ||||||
Total | 10,070 | 9,580 | 8,920 |
Fiscal Year Ended | |||||||||
U.S. dollars in millions | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Net sales | $ | 5,257.8 | $ | 4,856.9 | $ | 4,362.0 | |||
Segment profit | $ | 285.8 | $ | 249.2 | $ | 235.5 | |||
Segment profit as a percentage of net sales | 5.4 | % | 5.1 | % | 5.4 | % | |||
Increase in comp sales | 3 | % | 2 | % | 2 | % | |||
Stores in operation at end of period | |||||||||
T.K. Maxx | 567 | 540 | 503 | ||||||
Homesense | 68 | 55 | 44 | ||||||
T.K. Maxx Australia | 44 | 38 | 35 | ||||||
Total | 679 | 633 | 582 | ||||||
Selling square footage at end of period (in thousands) | |||||||||
T.K. Maxx | 11,693 | 11,379 | 10,787 | ||||||
Homesense | 1,029 | 883 | 714 | ||||||
T.K. Maxx Australia | 814 | 714 | 667 | ||||||
Total | 13,536 | 12,976 | 12,168 |
Fiscal Year Ended | |||||||||
In millions | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
General corporate expense | $ | 545.0 | $ | 515.0 | $ | 408.2 |
Fiscal Year Ended | |||||||||
In millions | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
New stores | $ | 201.2 | $ | 226.0 | $ | 191.2 | |||
Store renovations and improvements | 347.2 | 335.2 | 274.8 | ||||||
Office and distribution centers | 576.7 | 496.4 | 558.7 | ||||||
Total capital expenditures | $ | 1,125.1 | $ | 1,057.6 | $ | 1,024.7 |
In thousands | Payments Due by Period | ||||||||||||||
Tabular Disclosure of Contractual Obligations | Total | Less Than 1 Year | 1-3 Years | 3-5 Years | More Than 5 Years | ||||||||||
Long-term debt and other long-term obligations (1) | $ | 2,537,813 | $ | 55,625 | $ | 850,938 | $ | 563,750 | $ | 1,067,500 | |||||
Operating lease commitments (2) | 9,791,971 | 1,676,700 | 3,044,822 | 2,295,604 | 2,774,845 | ||||||||||
Purchase obligations (3) | 3,843,184 | 3,666,288 | 155,963 | 20,933 | — | ||||||||||
Total obligations | $ | 16,172,968 | $ | 5,398,613 | $ | 4,051,723 | $ | 2,880,287 | $ | 3,842,345 |
(1) | Includes estimated interest costs. |
(2) | Reflects minimum rent. Does not include costs for insurance, real estate taxes, other operating expenses and, in some cases, rentals based on a percentage of sales; these items totaled approximately one-third of the total minimum rent for fiscal 2019. |
(3) | Includes estimated obligations under purchase orders for merchandise and under agreements for capital items, products and services used in our business, including executive employment and other agreements. Excludes agreements that can be canceled without penalty. |
– | Pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of TJX; |
– | Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with GAAP, and that receipts and expenditures of TJX are being made only in accordance with authorizations of management and directors of TJX; and |
– | Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of TJX’s assets that could have a material effect on the financial statements. |
In thousands | Balance Beginning of Period | Amounts Charged to Net Income | Write-Offs Against Reserve | Balance End of Period | ||||||||
Sales Return Reserve: | ||||||||||||
Fiscal Year Ended February 2, 2019(1) | $ | 103,243 | $ | 4,861,960 | $ | 4,861,703 | $ | 103,500 | ||||
Fiscal Year Ended February 3, 2018(2) | $ | 43,236 | $ | 2,073,146 | $ | 2,071,237 | $ | 45,145 | ||||
Fiscal Year Ended January 28, 2017(2) | $ | 41,723 | $ | 1,926,489 | $ | 1,924,976 | $ | 43,236 |
(1) | Upon adoption of Revenue Recognition (Topic 606) in the first quarter of fiscal 2019, the sales return reserve balance now reflects the gross sales amount whereas prior years' reflect the sales net of estimated value of merchandise to be returned. |
(2) | During fiscal 2019, the Company identified that while the net sales return reserve balances recorded on our balance sheets and in this schedule for fiscal 2018 and 2017 were properly stated, the amounts disclosed as “Amounts Charged to Net Income” and “Write Offs Against Reserve” were understated by $0.5 billion and $0.4 billion in fiscal 2018 and fiscal 2017, respectively. The Company concluded these errors are not material to prior periods, however, the amounts disclosed in the above schedule have been revised to reflect the correct activity. |
Incorporate by Reference | ||||
Exhibit No. | Description | Form | Exhibit No. | Filing Date |
3(i).1 | ||||
3(ii).1 | 8-K | 3.1 | 2/5/2018 | |
4.01 | Indenture between TJX and U.S. Bank National Association dated as of April 2, 2009 (File No. 333-158360) | S-3 | 4.1 | 4/2/2009 |
4.02 | 8-K | 4.2 | 5/2/2013 | |
4.03 | 8-K | 4.2 | 6/5/2014 | |
4.04 | 8-K | 4.1 | 9/12/2016 | |
4.05 | 8-K | 4.2 | 9/12/2016 | |
10.01 | 10-Q | 10.2 | 12/4/2018 | |
10.02 | 10-Q | 10.3 | 12/4/2018 | |
10.03 | ||||
10.04 | 10-Q | 10.4 | 12/4/2018 | |
10.05 | ||||
10.06 | 10-K | 10.4 | 3/28/2017 | |
10.07 | 10-K | 10.3 | 4/4/2018 |
Incorporate by Reference | ||||
Exhibit No. | Description | Form | Exhibit No. | Filing Date |
10.08 | 10-K | 10.4 | 4/4/2018 | |
10.09 | 10-Q | 10.6 | 12/4/2018 | |
10.10 | ||||
10.11 | 10-K | 10.5 | 4/4/2018 | |
10.12 | 10-Q | 10.5 | 12/4/2018 | |
10.13 | ||||
10.14 | 10-K | 10.6 | 4/4/2018 | |
10.15 | 10-Q | 10.7 | 12/4/2018 | |
10.16 | ||||
10.17 | 10-K | 10.7 | 4/4/2018 | |
10.18 | 10-Q | 10.8 | 12/4/2018 | |
10.19 | ||||
10.20 | 10-Q | 10.1 | 5/31/2013 | |
10.21 | 10-Q | 10.1 | 8/26/2016 | |
10.22 | 10-K | 10.8 | 3/28/2017 | |
10.23 | ||||
10.24 | 10-Q | 10.1 | 12/4/2018 | |
10.25 | 10-Q | 12.1 | 12/1/2009 | |
10.26 | 10-Q | 12.2 | 12/1/2009 | |
10.27 | 10-Q | 10.2 | 11/24/2010 | |
10.28 | 10-K | 10.19 | 3/27/2012 | |
10.29 | 10-Q | 10.1 | 11/29/2012 | |
10.30 | 10-Q | 10.2 | 11/29/2012 | |
10.31 | 10-Q | 10.1 | 12/3/2013 | |
10.32 | 10-Q | 10.2 | 12/3/2013 | |
10.33 | 10-Q | 10.4 | 12/2/2014 | |
10.34 | 10-Q | 10.5 | 12/2/2014 | |
10.35 | 10-Q | 10.1 | 12/1/2015 | |
10.36 | 10-Q | 10.2 | 12/1/2015 | |
10.37 | 10-Q | 10.1 | 5/27/2016 | |
10.38 | 10-Q | 10.1 | 5/26/2017 |
Incorporate by Reference | ||||
Exhibit No. | Description | Form | Exhibit No. | Filing Date |
10.39 | 10-K | 10.18 | 3/29/2016 | |
10.40 | 10-K | 10.19 | 3/29/2016 | |
10.41 | 10-Q | 10.1 | 6/1/2018 | |
10.42 | 10-Q | 10.2 | 6/1/2018 | |
10.43 | 10-K | 10.20 | 3/31/2015 | |
10.44 | 10-Q | 10.2 | 8/26/2016 | |
10.45 | ||||
10.46 | 10-K | 10.22 | 4/2/2013 | |
10.47 | 10-K | 10.9 | 4/29/1999 | |
10.48 | 10-K | 10.10 | 4/28/2000 | |
10.49 | 10-K | 10.17 | 3/29/2006 | |
10.50 | 10-K | 10.17 | 3/31/2009 | |
10.51 | 10-Q | 10.3 | 5/29/2015 | |
10.52 | 10-K | 10.25 | 3/31/2015 | |
10.53 | 10-K | 10.25 | 3/29/2016 | |
10.54 | The Form of TJX Indemnification Agreement for its executive officers and directors*(p) | 10-K | 10(r) | 4/27/1990 |
10.55 | The Trust Agreement dated as of April 8, 1988 between TJX and State Street Bank and Trust Company*(p) | 10-K | 10(y) | 4/28/1988 |
10.56 | The Trust Agreement dated as of April 8, 1988 between TJX and Fleet Bank (formerly Shawmut Bank of Boston, N.A.)*(p) | 10-K | 10(z) | 4/28/1988 |
10.57 | 10-Q | 10.5 | 10/31/2015 | |
21 | ||||
23 | ||||
24 | ||||
31.1 | ||||
31.2 | ||||
32.1 | ||||
32.2 | ||||
101 | The following materials from The TJX Companies, Inc.’s Annual Report on Form 10-K for the fiscal year ended February 2, 2019, formatted in XBRL (Extensible Business Reporting Language): (i) the Consolidated Statements of Income, (ii) the Consolidated Statements of Comprehensive Income, (iii) the Consolidated Balance Sheets, (iv) the Consolidated Statements of Cash Flows, (v) the Consolidated Statements of Shareholders’ Equity, and (vi) Notes to Consolidated Financial Statements |
(p) | Paper filing. |
THE TJX COMPANIES, INC. | ||||||
/s/ SCOTT GOLDENBERG | ||||||
Dated: | April 3, 2019 | Scott Goldenberg, Chief Financial Officer |
/s/ ERNIE HERRMAN | /s/ SCOTT GOLDENBERG | |
Ernie Herrman, Chief Executive Officer, President and Director (Principal Executive Officer) | Scott Goldenberg, Chief Financial Officer (Principal Financial and Accounting Officer) | |
ZEIN ABDALLA* | AMY B. LANE* | |
Zein Abdalla, Director | Amy B. Lane, Director | |
ALAN M. BENNETT* | CAROL MEYROWITZ* | |
Alan M. Bennett, Director | Carol Meyrowitz, Executive Chairman of the Board of Directors | |
ROSEMARY T. BERKERY* | JACKWYN L. NEMEROV* | |
Rosemary T. Berkery, Director | Jackwyn L. Nemerov, Director | |
DAVID T. CHING* | JOHN F. O’BRIEN* | |
David T. Ching, Director | John F. O’Brien, Director | |
MICHAEL F. HINES* | WILLOW B. SHIRE* | |
Michael F. Hines, Director | Willow B. Shire, Director |
*BY | /s/ SCOTT GOLDENBERG | ||
Dated: | April 3, 2019 | Scott Goldenberg, as attorney-in-fact |
Consolidated Financial Statements: | |
Financial Statement Schedules: | |
Fiscal Year Ended | |||||||||
Amounts in thousands except per share amounts | February 2 2019 | February 3 2018 | January 28 2017 | ||||||
(53 weeks) | |||||||||
Net sales | $ | 38,972,934 | $ | 35,864,664 | $ | 33,183,744 | |||
Cost of sales, including buying and occupancy costs | 27,831,177 | 25,502,167 | 23,565,754 | ||||||
Selling, general and administrative expenses | 6,923,564 | 6,375,071 | 5,768,467 | ||||||
Impairment of goodwill and other long-lived assets, related to Sierra | — | 99,250 | — | ||||||
Loss on early extinguishment of debt | — | — | 51,773 | ||||||
Pension settlement charge | 36,122 | — | 31,173 | ||||||
Interest expense, net | 8,860 | 31,588 | 43,534 | ||||||
Income before provision for income taxes | 4,173,211 | 3,856,588 | 3,723,043 | ||||||
Provision for income taxes | 1,113,413 | 1,248,640 | 1,424,809 | ||||||
Net income | $ | 3,059,798 | $ | 2,607,948 | $ | 2,298,234 | |||
Basic earnings per share: | |||||||||
Net income | $ | 2.47 | $ | 2.05 | $ | 1.75 | |||
Weighted average common shares – basic | 1,241,153 | 1,273,654 | 1,311,294 | ||||||
Diluted earnings per share: | |||||||||
Net income | $ | 2.43 | $ | 2.02 | $ | 1.73 | |||
Weighted average common shares – diluted | 1,259,252 | 1,292,209 | 1,328,864 |
Fiscal Year Ended | |||||||||
In thousands | February 2 2019 | February 3 2018 | January 28 2017 | ||||||
(53 weeks) | |||||||||
Net income | $ | 3,059,798 | $ | 2,607,948 | $ | 2,298,234 | |||
Additions to other comprehensive income: | |||||||||
Foreign currency translation adjustments, net of related tax benefit of $8,233 in fiscal 2019, and provisions of $36,929 and $25,656 in fiscal 2018 and fiscal 2017, respectively | (192,664 | ) | 211,752 | (52,611 | ) | ||||
Gain on net investment hedges, net of related tax provision of $7,113 in fiscal 2019 | 19,538 | — | — | ||||||
Recognition of net gains/losses on benefit obligations, net of related tax benefit of $19,813 in fiscal 2019, provision of $8,989 in fiscal 2018 and benefit of $7,394 in fiscal 2017 | (54,420 | ) | 24,691 | (11,239 | ) | ||||
Reclassifications from other comprehensive income to net income: | |||||||||
Pension settlement charge, net of related tax provision of $9,641 in fiscal 2019 and $12,369 in fiscal 2017 | 26,481 | — | 18,804 | ||||||
Amortization of loss on cash flow hedge, net of related tax provisions of $304, $438 and $450 in fiscal 2019, 2018 and 2017, respectively | 847 | 696 | 684 | ||||||
Amortization of prior service cost and deferred gains/losses, net of related tax provisions of $4,280, $9,592, and $11,584 in fiscal 2019, 2018 and 2017, respectively | 11,756 | 15,228 | 17,608 | ||||||
Other comprehensive (loss) income, net of tax | (188,462 | ) | 252,367 | (26,754 | ) | ||||
Total comprehensive income | $ | 2,871,336 | $ | 2,860,315 | $ | 2,271,480 |
Fiscal Year Ended | ||||||
Amounts in thousands except share amounts | February 2, 2019 | February 3, 2018 | ||||
ASSETS | ||||||
Current assets: | ||||||
Cash and cash equivalents | $ | 3,030,229 | $ | 2,758,477 | ||
Short-term investments | — | 506,165 | ||||
Accounts receivable, net | 346,298 | 327,166 | ||||
Merchandise inventories | 4,579,033 | 4,187,243 | ||||
Prepaid expenses and other current assets | 513,662 | 706,676 | ||||
Total current assets | 8,469,222 | 8,485,727 | ||||
Net property at cost | 5,255,208 | 5,006,053 | ||||
Non-current deferred income taxes, net | 6,467 | 6,558 | ||||
Goodwill | 97,552 | 100,069 | ||||
Other assets | 497,580 | 459,608 | ||||
TOTAL ASSETS | $ | 14,326,029 | $ | 14,058,015 | ||
LIABILITIES | ||||||
Current liabilities: | ||||||
Accounts payable | $ | 2,644,143 | $ | 2,488,373 | ||
Accrued expenses and other current liabilities | 2,733,076 | 2,522,961 | ||||
Federal, state and foreign income taxes payable | 154,155 | 114,203 | ||||
Total current liabilities | 5,531,374 | 5,125,537 | ||||
Other long-term liabilities | 1,354,242 | 1,320,505 | ||||
Non-current deferred income taxes, net | 158,191 | 233,057 | ||||
Long-term debt | 2,233,616 | 2,230,607 | ||||
Commitments and contingencies (See Note L and Note N) | ||||||
SHAREHOLDERS’ EQUITY | ||||||
Preferred stock, authorized 5,000,000 shares, par value $1, no shares issued | — | — | ||||
Common stock, authorized 1,800,000,000 shares, par value $1, issued and outstanding 1,217,182,508 and 1,256,018,044, respectively | 1,217,183 | 1,256,018 | ||||
Additional paid-in capital | — | — | ||||
Accumulated other comprehensive (loss) income | (630,321 | ) | (441,859 | ) | ||
Retained earnings | 4,461,744 | 4,334,150 | ||||
Total shareholders’ equity | 5,048,606 | 5,148,309 | ||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 14,326,029 | $ | 14,058,015 |
Fiscal Year Ended | |||||||||
In thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Cash flows from operating activities: | |||||||||
Net income | $ | 3,059,798 | $ | 2,607,948 | $ | 2,298,234 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||
Depreciation and amortization | 819,655 | 725,957 | 658,796 | ||||||
Loss on property disposals and impairment charges | 17,653 | 8,871 | 5,207 | ||||||
Deferred income tax (benefit) | (88,594 | ) | (137,440 | ) | (5,503 | ) | |||
Share-based compensation | 103,557 | 101,362 | 102,251 | ||||||
Impairment of goodwill and long-lived assets, related to Sierra | — | 99,250 | — | ||||||
Loss on early extinguishment of debt | — | — | 51,773 | ||||||
Pension settlement charge | 36,122 | — | 31,173 | ||||||
Excess tax benefits from share-based compensation | — | — | (70,999 | ) | |||||
Changes in assets and liabilities: | |||||||||
(Increase) in accounts receivable | (23,532 | ) | (62,358 | ) | (23,235 | ) | |||
(Increase) decrease in merchandise inventories | (465,429 | ) | (450,377 | ) | 11,862 | ||||
Decrease (increase) in prepaid expenses and other current assets | 236,342 | (317,850 | ) | (9,600 | ) | ||||
Increase in accounts payable | 198,212 | 205,111 | 48,253 | ||||||
Increase in accrued expenses and other liabilities | 169,418 | 334,522 | 389,399 | ||||||
Increase (decrease) in income taxes payable | 40,965 | (94,492 | ) | 146,766 | |||||
Other | (15,708 | ) | 5,120 | (7,518 | ) | ||||
Net cash provided by operating activities | 4,088,459 | 3,025,624 | 3,626,859 | ||||||
Cash flows from investing activities: | |||||||||
Property additions | (1,125,139 | ) | (1,057,617 | ) | (1,024,747 | ) | |||
Purchases of investments | (161,625 | ) | (861,256 | ) | (716,953 | ) | |||
Sales and maturities of investments | 636,560 | 906,137 | 529,146 | ||||||
Other | 26,652 | — | (2,324 | ) | |||||
Net cash (used in) investing activities | (623,552 | ) | (1,012,736 | ) | (1,214,878 | ) | |||
Cash flows from financing activities: | |||||||||
Proceeds from issuance of long-term debt | — | — | 992,540 | ||||||
Cash payments for extinguishment of debt | — | — | (425,584 | ) | |||||
Cash payments for debt issuance expenses | — | — | (9,921 | ) | |||||
Cash payments on build to suit leases | (7,115 | ) | (3,138 | ) | — | ||||
Cash payments for rate lock agreement | — | — | (3,150 | ) | |||||
Cash payments for repurchase of common stock | (2,406,997 | ) | (1,644,581 | ) | (1,699,998 | ) | |||
Proceeds from issuance of common stock | 255,241 | 133,687 | 164,190 | ||||||
Cash payments of employee tax withholdings for performance based stock awards | (16,014 | ) | (19,274 | ) | (24,965 | ) | |||
Excess tax benefits from share-based compensation | — | — | 70,999 | ||||||
Cash dividends paid | (922,596 | ) | (764,040 | ) | (650,988 | ) | |||
Net cash (used in) financing activities | (3,097,481 | ) | (2,297,346 | ) | (1,586,877 | ) | |||
Effect of exchange rate changes on cash | (95,674 | ) | 113,086 | 9,272 | |||||
Net increase (decrease) in cash and cash equivalents | 271,752 | (171,372 | ) | 834,376 | |||||
Cash and cash equivalents at beginning of year | 2,758,477 | 2,929,849 | 2,095,473 | ||||||
Cash and cash equivalents at end of year | $ | 3,030,229 | $ | 2,758,477 | $ | 2,929,849 |
Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive(Loss) Income | Retained Earnings | Total | |||||||||||||
In thousands | Shares | Par Value $1 | |||||||||||||||
Balance, January 30, 2016 | 1,326,992 | $ | 1,326,992 | $ | — | $ | (667,472 | ) | $ | 3,647,555 | $ | 4,307,075 | |||||
Net income | — | — | — | — | 2,298,234 | 2,298,234 | |||||||||||
Other comprehensive (loss), net of tax | — | — | — | (26,754 | ) | — | (26,754 | ) | |||||||||
Cash dividends declared on common stock | — | — | — | — | (680,183 | ) | (680,183 | ) | |||||||||
Recognition of share-based compensation | — | — | 102,251 | — | — | 102,251 | |||||||||||
Issuance of common stock under stock incentive plan and related tax effect | 10,202 | 10,202 | 204,873 | — | (5,101 | ) | 209,974 | ||||||||||
Common stock repurchased | (44,556 | ) | (44,556 | ) | (307,124 | ) | — | (1,348,318 | ) | (1,699,998 | ) | ||||||
Balance, January 28, 2017 | 1,292,638 | 1,292,638 | — | (694,226 | ) | 3,912,187 | 4,510,599 | ||||||||||
Net income | — | — | — | — | 2,607,948 | 2,607,948 | |||||||||||
Other comprehensive income, net of tax | — | — | — | 252,367 | — | 252,367 | |||||||||||
Cash dividends declared on common stock | — | — | — | — | (793,878 | ) | (793,878 | ) | |||||||||
Recognition of share-based compensation | — | — | 101,362 | — | — | 101,362 | |||||||||||
Issuance of common stock under stock incentive plan and related tax effect | 7,790 | 7,790 | 110,597 | — | (3,895 | ) | 114,492 | ||||||||||
Common stock repurchased | (44,410 | ) | (44,410 | ) | (211,959 | ) | — | (1,388,212 | ) | (1,644,581 | ) | ||||||
Balance, February 3, 2018 | 1,256,018 | 1,256,018 | — | (441,859 | ) | 4,334,150 | 5,148,309 | ||||||||||
Net income | — | — | — | — | 3,059,798 | 3,059,798 | |||||||||||
Cumulative effect of accounting change (See Note A) | — | — | — | — | 58,712 | 58,712 | |||||||||||
Other comprehensive (loss), net of tax | — | — | — | (188,462 | ) | — | (188,462 | ) | |||||||||
Cash dividends declared on common stock | — | — | — | — | (965,539 | ) | (965,539 | ) | |||||||||
Recognition of share-based compensation | — | — | 103,557 | — | — | 103,557 | |||||||||||
Issuance of common stock under stock incentive plan and related tax effect | 11,988 | 11,988 | 227,240 | — | — | 239,228 | |||||||||||
Common stock repurchased | (50,823 | ) | (50,823 | ) | (330,797 | ) | — | (2,025,377 | ) | (2,406,997 | ) | ||||||
Balance, February 2, 2019 | 1,217,183 | $ | 1,217,183 | $ | — | $ | (630,321 | ) | 4,461,744 | $ | 5,048,606 |
Fiscal Period | |||||
In thousands | February 2, 2019 | ||||
Balance, February 3, 2018 | $ | 406,506 | |||
Deferred revenue | 1,677,251 | ||||
Effect of exchange rates changes on deferred revenue | (6,279 | ) | |||
Revenue recognized | (1,627,176 | ) | |||
Balance, February 2, 2019 | $ | 450,302 |
Fiscal Year Ended | |||||||||
In thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Interest expense | $ | 69,102 | $ | 69,237 | $ | 69,219 | |||
Capitalized interest | (4,263 | ) | (4,942 | ) | (7,548 | ) | |||
Interest (income) | (55,979 | ) | (32,707 | ) | (18,137 | ) | |||
Interest expense, net | $ | 8,860 | $ | 31,588 | $ | 43,534 |
In thousands | Marmaxx | Winners | Sierra | T.K. Maxx in Australia | Total | ||||||||||
Balance, January 28, 2017 | 70,027 | 1,686 | 97,254 | 26,904 | 195,871 | ||||||||||
Impairment | — | — | (97,254 | ) | — | (97,254 | ) | ||||||||
Effect of exchange rate changes on goodwill | — | 98 | — | 1,354 | 1,452 | ||||||||||
Balance, February 3, 2018 | 70,027 | 1,784 | — | 28,258 | 100,069 | ||||||||||
Effect of exchange rate changes on goodwill | (92 | ) | (2,425 | ) | (2,517 | ) | |||||||||
Balance, February 2, 2019 | $ | 70,027 | $ | 1,692 | $ | — | $ | 25,833 | $ | 97,552 |
Fiscal Year Ended | |||||||||||||||||||||||||
February 2, 2019 | February 3, 2018 | ||||||||||||||||||||||||
In thousands | Gross Carrying Amount | Accumulated Amortization | Impact of FX | Net Carrying Value | Gross Carrying Amount | Accumulated Amortization | Impact of FX | Net Carrying Value | |||||||||||||||||
Definite-lived intangible assets | |||||||||||||||||||||||||
Sierra Trading Post | $ | 38,500 | $ | (15,614 | ) | $ | — | $ | 22,886 | $ | 38,500 | $ | (13,029 | ) | $ | — | $ | 25,471 | |||||||
Trade Secret | $ | 12,541 | $ | (4,117 | ) | $ | (1,048 | ) | $ | 7,376 | $ | 12,541 | $ | (2,899 | ) | $ | 2,072 | $ | 11,714 | ||||||
Indefinite-lived intangible asset | |||||||||||||||||||||||||
Marshalls | $ | 107,695 | $ | — | $ | — | $ | 107,695 | $ | 107,695 | $ | — | $ | — | $ | 107,695 |
Fiscal Year Ended | ||||||
In thousands | February 2, 2019 | February 3, 2018 | ||||
Land and buildings | $ | 1,457,835 | $ | 1,355,777 | ||
Leasehold costs and improvements | 3,377,045 | 3,254,830 | ||||
Furniture, fixtures and equipment | 5,894,239 | 5,357,701 | ||||
Total property at cost | $ | 10,729,119 | $ | 9,968,308 | ||
Less accumulated depreciation and amortization | 5,473,911 | 4,962,255 | ||||
Net property at cost | $ | 5,255,208 | $ | 5,006,053 |
Fiscal Year Ended | ||||||
In thousands | February 2, 2019 | February 3, 2018 | ||||
United States | $ | 3,756,929 | $ | 3,514,628 | ||
Canada | 303,414 | 308,259 | ||||
Europe | 1,154,564 | 1,151,972 | ||||
Australia | 40,301 | 31,194 | ||||
Total long-lived assets | $ | 5,255,208 | $ | 5,006,053 |
In thousands | Foreign Currency Translation | Deferred Benefit Costs | Cash Flow Hedge on Debt | Accumulated Other Comprehensive(Loss) Income | ||||||||
Balance, January 30, 2016 | $ | (439,192 | ) | $ | (224,654 | ) | $ | (3,626 | ) | $ | (667,472 | ) |
Foreign currency translation adjustments (net of taxes of $25,656) | (52,611 | ) | — | — | (52,611 | ) | ||||||
Recognition of net gains/losses on benefit obligations (net of taxes of $7,394) | — | (11,239 | ) | — | (11,239 | ) | ||||||
Pension settlement charge (net of taxes of $12,369) | — | 18,804 | — | 18,804 | ||||||||
Amortization of loss on cash flow hedge (net of taxes of $450) | — | — | 684 | 684 | ||||||||
Amortization of prior service cost and deferred gains/losses (net of taxes of $11,584) | — | 17,608 | — | 17,608 | ||||||||
Balance, January 28, 2017 | (491,803 | ) | (199,481 | ) | (2,942 | ) | (694,226 | ) | ||||
Foreign currency translation adjustments (net of taxes of $36,929) | 211,752 | — | — | 211,752 | ||||||||
Recognition of net gains/losses on benefit obligations (net of taxes of $8,989) | — | 24,691 | — | 24,691 | ||||||||
Amortization of loss on cash flow hedge (net of taxes of $438) | — | — | 696 | 696 | ||||||||
Amortization of prior service cost and deferred gains/losses (net of taxes of $9,592) | — | 15,228 | — | 15,228 | ||||||||
Balance, February 3, 2018 | (280,051 | ) | (159,562 | ) | (2,246 | ) | (441,859 | ) | ||||
Foreign currency translation adjustments (net of taxes of $8,233) | (192,664 | ) | — | — | (192,664 | ) | ||||||
Recognition of net gains/losses on investment hedges (net of taxes $7,113) | 19,538 | — | — | 19,538 | ||||||||
Recognition of net gains/losses on benefit obligations (net of taxes of $19,813) | — | (54,420 | ) | — | (54,420 | ) | ||||||
Pension settlement charge (net of taxes of $9,641) | — | 26,481 | — | 26,481 | ||||||||
Amortization of loss on cash flow hedge (net of taxes of $304) | — | — | 847 | 847 | ||||||||
Amortization of prior service cost and deferred gains/losses (net of taxes of $4,280) | — | 11,756 | — | 11,756 | ||||||||
Balance, February 2, 2019 | $ | (453,177 | ) | $ | (175,745 | ) | $ | (1,399 | ) | $ | (630,321 | ) |
Fiscal Year Ended | |||||||||
Amounts in thousands except per share amounts | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Basic earnings per share: | |||||||||
Net income | $ | 3,059,798 | $ | 2,607,948 | $ | 2,298,234 | |||
Weighted average common stock outstanding for basic earnings per share calculation | 1,241,153 | 1,273,654 | 1,311,294 | ||||||
Basic earnings per share | $ | 2.47 | $ | 2.05 | $ | 1.75 | |||
Diluted earnings per share: | |||||||||
Net income | $ | 3,059,798 | $ | 2,607,948 | $ | 2,298,234 | |||
Weighted average common stock outstanding for basic earnings per share calculation | 1,241,153 | 1,273,654 | 1,311,294 | ||||||
Assumed exercise / vesting of: | |||||||||
Stock options and awards | 18,099 | 18,555 | 17,570 | ||||||
Weighted average common stock outstanding for diluted earnings per share calculation | 1,259,252 | 1,292,209 | 1,328,864 | ||||||
Diluted earnings per share | $ | 2.43 | $ | 2.02 | $ | 1.73 | |||
Cash dividends declared per share | $ | 0.78 | $ | 0.63 | $ | 0.52 |
In thousands | Pay | Receive | Blended Contract Rate | Balance Sheet Location | Current Asset U.S.$ | Current (Liability) U.S.$ | Net Fair Value in U.S.$ at February 2, 2019 | |||||||||||
Fair value hedges: | ||||||||||||||||||
Intercompany balances, primarily debt and related interest: | ||||||||||||||||||
zł | 59,000 | £ | 12,021 | 0.2037 | Prepaid Exp | $ | 56 | $ | — | $ | 56 | |||||||
€ | 55,950 | £ | 49,560 | 0.8858 | Prepaid Exp / (Accrued Exp) | 126 | (140 | ) | (14 | ) | ||||||||
A$ | 30,000 | U.S.$ | 21,483 | 0.7161 | (Accrued Exp) | — | (314 | ) | (314 | ) | ||||||||
U.S.$ | 72,020 | £ | 55,000 | 0.7637 | Prepaid Exp | 1,037 | — | 1,037 | ||||||||||
Economic hedges for which hedge accounting was not elected: | ||||||||||||||||||
Diesel contracts | Fixed on 2.7M - 3.3M gal per month | Float on 2.7M - 3.3M gal per month | N/A | (Accrued Exp) | — | (3,786 | ) | (3,786 | ) | |||||||||
Intercompany billings in TJX International, primarily merchandise related: | ||||||||||||||||||
€ | 46,600 | £ | 41,835 | 0.8977 | Prepaid Exp | 1,300 | — | 1,300 | ||||||||||
Merchandise purchase commitments: | ||||||||||||||||||
C$ | 546,083 | U.S.$ | 414,100 | 0.7583 | Prepaid Exp / (Accrued Exp) | 1,239 | (4,741 | ) | (3,502 | ) | ||||||||
C$ | 31,455 | € | 20,700 | 0.6581 | (Accrued Exp) | — | (248 | ) | (248 | ) | ||||||||
£ | 173,624 | U.S.$ | 230,000 | 1.3247 | Prepaid Exp / (Accrued Exp) | 3,459 | (1,466 | ) | 1,993 | |||||||||
zł | 280,167 | £ | 57,586 | 0.2055 | Prepaid Exp / (Accrued Exp) | 707 | (86 | ) | 621 | |||||||||
A$ | 51,043 | U.S.$ | 36,961 | 0.7241 | Prepaid Exp / (Accrued Exp) | 97 | (213 | ) | (116 | ) | ||||||||
U.S.$ | 56,847 | € | 49,355 | 0.8682 | Prepaid Exp / (Accrued Exp) | 115 | (207 | ) | (92 | ) | ||||||||
Total fair value of financial instruments | $ | 8,136 | $ | (11,201 | ) | $ | (3,065 | ) |
In thousands | Pay | Receive | Blended Contract Rate | Balance Sheet Location | Current Asset U.S.$ | Current (Liability) U.S.$ | Net Fair Value in U.S.$ at February 3, 2018 | |||||||||||
Fair value hedges: | ||||||||||||||||||
Intercompany balances, primarily debt and related interest: | ||||||||||||||||||
zł | 67,000 | £ | 14,035 | 0.2095 | (Accrued Exp) | $ | — | $ | (45 | ) | $ | (45 | ) | |||||
€ | 51,950 | £ | 46,095 | 0.8873 | (Accrued Exp) | — | (318 | ) | (318 | ) | ||||||||
U.S.$ | 77,079 | £ | 55,000 | 0.7136 | Prepaid Exp | 1,636 | — | 1,636 | ||||||||||
Economic hedges for which hedge accounting was not elected: | ||||||||||||||||||
Diesel contracts | Fixed on 2.2M – 3.0M gal per month | Float on 2.2M – 3.0M gal per month | N/A | Prepaid Exp | 7,854 | — | 7,854 | |||||||||||
Intercompany billings in TJX International, primarily merchandise related: | ||||||||||||||||||
€ | 26,000 | £ | 22,948 | 0.8826 | (Accrued Exp) | — | (2 | ) | (2 | ) | ||||||||
Merchandise purchase commitments: | ||||||||||||||||||
C$ | 462,464 | U.S.$ | 367,200 | 0.7940 | Prepaid Exp / (Accrued Exp) | 49 | (5,478 | ) | (5,429 | ) | ||||||||
C$ | 22,562 | € | 15,000 | 0.6648 | Prepaid Exp | 557 | — | 557 | ||||||||||
£ | 176,911 | U.S.$ | 238,000 | 1.3453 | Prepaid Exp / (Accrued Exp) | 173 | (12,838 | ) | (12,665 | ) | ||||||||
zł | 288,646 | £ | 60,023 | 0.2079 | (Accrued Exp) | — | (1,303 | ) | (1,303 | ) | ||||||||
A$ | 28,635 | U.S.$ | 22,230 | 0.7763 | Prepaid Exp / (Accrued Exp) | $ | 43 | $ | (573 | ) | $ | (530 | ) | |||||
U.S.$ | 44,223 | € | 36,950 | 0.8355 | Prepaid Exp | 1,905 | — | 1,905 | ||||||||||
Total fair value of financial instruments | $ | 12,217 | $ | (20,557 | ) | $ | (8,340 | ) |
Amount of Gain (Loss) Recognized in Income by Derivative | ||||||||||
In thousands | Location of Gain (Loss) Recognized in Income by Derivative | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | ||||||||||
Fair value hedges: | ||||||||||
Intercompany balances, primarily debt and related interest | Selling, general and administrative expenses | $ | (2,674 | ) | $ | 1,207 | $ | (17,250 | ) | |
Economic hedges for which hedge accounting was not elected: | ||||||||||
Intercompany receivable | Selling, general and administrative expenses | 18,823 | — | — | ||||||
Diesel contracts | Cost of sales, including buying and occupancy costs | 1,373 | 7,946 | 3,906 | ||||||
Intercompany billings in TJX International, primarily merchandise related | Cost of sales, including buying and occupancy costs | 1,137 | (3,042 | ) | (8,684 | ) | ||||
Merchandise purchase commitments | Cost of sales, including buying and occupancy costs | 60,407 | (45,886 | ) | 5,626 | |||||
Gain (loss) recognized in income | $ | 79,066 | $ | (39,775 | ) | $ | (16,402 | ) |
Level 1: | Unadjusted quoted prices in active markets for identical assets or liabilities | |
Level 2: | Unadjusted quoted prices in active markets for similar assets or liabilities, or unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability | |
Level 3: | Unobservable inputs for the asset or liability |
Fiscal Year Ended | ||||||
In thousands | February 2, 2019 | February 3, 2018 | ||||
Level 1 | ||||||
Assets: | ||||||
Executive Savings Plan investments | $ | 253,215 | $ | 249,045 | ||
Level 2 | ||||||
Assets: | ||||||
Short-term investments | $ | — | $ | 506,165 | ||
Foreign currency exchange contracts | 8,136 | 4,363 | ||||
Diesel fuel contracts | — | 7,854 | ||||
Liabilities: | ||||||
Foreign currency exchange contracts | $ | 7,415 | $ | 20,557 | ||
Diesel fuel contracts | 3,786 | — |
Fiscal 2019 | Fiscal 2018 | Fiscal 2017 | ||||
Apparel | ||||||
Clothing including footwear | 52 | % | 52 | % | 54 | % |
Jewelry and accessories | 15 | 15 | 15 | |||
Home fashions | 33 | 33 | 31 | |||
Total | 100 | % | 100 | % | 100 | % |
Fiscal Year Ended | |||||||||
In thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Net sales: | |||||||||
In the United States | |||||||||
Marmaxx | $ | 24,057,970 | $ | 22,249,105 | $ | 21,246,034 | |||
HomeGoods | 5,787,365 | 5,116,328 | 4,404,607 | ||||||
TJX Canada | 3,869,779 | 3,642,282 | 3,171,127 | ||||||
TJX International | 5,257,820 | 4,856,949 | 4,361,976 | ||||||
$ | 38,972,934 | $ | 35,864,664 | $ | 33,183,744 | ||||
Segment profit: | |||||||||
In the United States | |||||||||
Marmaxx(1) | $ | 3,253,949 | $ | 2,949,358 | $ | 2,995,045 | |||
HomeGoods | 671,871 | 674,511 | 613,778 | ||||||
TJX Canada | 551,617 | 530,113 | 413,417 | ||||||
TJX International | 285,790 | 249,226 | 235,519 | ||||||
4,763,227 | $ | 4,403,208 | $ | 4,257,759 | |||||
General corporate expense | 545,034 | 515,032 | 408,236 | ||||||
Loss on early extinguishment of debt | — | — | 51,773 | ||||||
Pension settlement charge | 36,122 | — | 31,173 | ||||||
Interest expense, net | 8,860 | 31,588 | 43,534 | ||||||
Income before provision for income taxes | $ | 4,173,211 | $ | 3,856,588 | $ | 3,723,043 |
(1) | Fiscal 2018 amount includes an impairment charge of $99.3 million for goodwill and certain long-lived assets of Sierra. |
Fiscal Year Ended | |||||||||
In thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
Identifiable assets: | |||||||||
In the United States | |||||||||
Marmaxx | $ | 6,223,110 | $ | 5,676,464 | $ | 5,440,448 | |||
HomeGoods | 1,416,687 | 1,237,811 | 1,086,947 | ||||||
TJX Canada | 914,789 | 1,459,924 | 1,345,003 | ||||||
TJX International | 2,344,033 | 2,321,001 | 1,789,140 | ||||||
Corporate(1) | 3,427,410 | 3,362,815 | 3,222,270 | ||||||
Total identifiable assets | $ | 14,326,029 | $ | 14,058,015 | $ | 12,883,808 | |||
Capital expenditures: | |||||||||
In the United States | |||||||||
Marmaxx | $ | 598,955 | $ | 532,348 | $ | 449,169 | |||
HomeGoods | 170,978 | 149,505 | 173,979 | ||||||
TJX Canada | 82,333 | 88,761 | 100,437 | ||||||
TJX International | 272,873 | 287,003 | 301,162 | ||||||
Total capital expenditures | $ | 1,125,139 | $ | 1,057,617 | $ | 1,024,747 | |||
Depreciation and amortization: | |||||||||
In the United States | |||||||||
Marmaxx | $ | 456,420 | $ | 399,014 | $ | 385,007 | |||
HomeGoods | 110,978 | 94,709 | 77,287 | ||||||
TJX Canada | 66,365 | 68,033 | 62,427 | ||||||
TJX International | 180,631 | 159,010 | 129,376 | ||||||
Corporate(2) | 5,261 | 5,191 | 4,699 | ||||||
Total depreciation and amortization | $ | 819,655 | $ | 725,957 | $ | 658,796 |
(1) | Corporate identifiable assets consist primarily of cash, receivables, prepaid insurance, prepaid service contracts and the trust assets in connection with the Executive Savings Plan. Consolidated cash, including cash held in our foreign entities, is included with corporate assets for consistency with the reporting of cash for our segments in the U.S. |
(2) | Includes debt discount accretion and debt expense amortization. |
Fiscal Year Ended | |||||||||
February 2, 2019 | February 3, 2018 | January 28, 2017 | |||||||
Risk-free interest rate | 2.88 | % | 1.75 | % | 1.20 | % | |||
Dividend yield | 1.4 | % | 1.5 | % | 1.2 | % | |||
Expected volatility factor | 23.5 | % | 23.5 | % | 23.8 | % | |||
Expected option life in years | 4.9 | 4.8 | 4.8 | ||||||
Weighted average fair value of options issued | $ | 11.85 | $ | 7.16 | $ | 7.28 |
Fiscal Year Ended | |||||||||||||||
Shares in thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||||||||
Options | WAEP | Options | WAEP | Options | WAEP | ||||||||||
Outstanding at beginning of year | 55,260 | $ | 27.52 | 54,706 | $ | 24.35 | 57,372 | $ | 20.84 | ||||||
Granted | 6,143 | 53.98 | 9,404 | 36.61 | 8,610 | 37.52 | |||||||||
Exercised | (11,670 | ) | 21.88 | (8,192 | ) | 16.12 | (10,530 | ) | 15.42 | ||||||
Forfeitures | (680 | ) | 38.59 | (658 | ) | 35.70 | (746 | ) | 33.08 | ||||||
Outstanding at end of year | 49,053 | $ | 32.02 | 55,260 | $ | 27.52 | 54,706 | $ | 24.35 | ||||||
Options exercisable at end of year | 34,344 | $ | 26.95 | 37,952 | $ | 23.28 | 37,960 | $ | 19.35 |
Shares in thousands | Shares | Aggregate Intrinsic Value | Weighted Average Remaining Contract Life | WAEP | |||||
Options outstanding expected to vest (1) | 13,672 | $ | 98,458 | 8.8 years | $ | 43.73 | |||
Options exercisable | 34,344 | $ | 754,018 | 5.0 years | $ | 26.95 | |||
Total outstanding options vested and expected to vest | 48,016 | $ | 852,476 | 6.1 years | $ | 31.72 |
(1) | Reflects 14.6 million unvested options, net of anticipated forfeitures. |
Shares in thousands | Stock Awards | Weighted Average Grant Date Fair Value | |||
Nonvested at beginning of year | 3,045 | $ | 38.68 | ||
Granted | 1,268 | 41.17 | |||
Vested | (859 | ) | 35.03 | ||
Forfeited | (32 | ) | 39.93 | ||
Nonvested at end of year | 3,422 | $ | 40.51 |
Funded Plan Fiscal Year Ended | Unfunded Plan Fiscal Year Ended | |||||||||||
In thousands | February 2, 2019 | February 3, 2018 | February 2, 2019 | February 3, 2018 | ||||||||
Change in projected benefit obligation: | ||||||||||||
Projected benefit obligation at beginning of year | $ | 1,404,089 | $ | 1,269,010 | $ | 91,047 | $ | 86,309 | ||||
Service cost | 45,342 | 46,845 | 2,391 | 1,888 | ||||||||
Interest cost | 54,355 | 55,301 | 3,600 | 3,316 | ||||||||
Actuarial (gains)/losses | (38,304 | ) | 67,232 | 5,955 | 4,580 | |||||||
Settlements | (207,369 | ) | — | — | — | |||||||
Benefits paid | (33,226 | ) | (30,993 | ) | (6,234 | ) | (5,046 | ) | ||||
Expenses paid | (3,717 | ) | (3,306 | ) | — | — | ||||||
Projected benefit obligation at end of year | $ | 1,221,170 | $ | 1,404,089 | $ | 96,759 | $ | 91,047 | ||||
Accumulated benefit obligation at end of year | $ | 1,100,358 | $ | 1,277,216 | $ | 80,166 | $ | 77,668 |
Funded Plan Fiscal Year Ended | Unfunded Plan Fiscal Year Ended | |||||||||||
In thousands | February 2, 2019 | February 3, 2018 | February 2, 2019 | February 3, 2018 | ||||||||
Change in plan assets: | ||||||||||||
Fair value of plan assets at beginning of year | $ | 1,417,531 | $ | 1,176,960 | $ | — | $ | — | ||||
Actual return on plan assets | (27,884 | ) | 174,870 | — | — | |||||||
Employer contribution | 100,000 | 100,000 | 6,234 | 5,046 | ||||||||
Settlements | (207,369 | ) | — | — | — | |||||||
Benefits paid | (33,226 | ) | (30,993 | ) | (6,234 | ) | (5,046 | ) | ||||
Expenses paid | (3,717 | ) | (3,306 | ) | — | — | ||||||
Fair value of plan assets at end of year | $ | 1,245,335 | $ | 1,417,531 | $ | — | $ | — | ||||
Reconciliation of funded status: | ||||||||||||
Projected benefit obligation at end of year | $ | 1,221,170 | $ | 1,404,089 | $ | 96,759 | $ | 91,047 | ||||
Fair value of plan assets at end of year | 1,245,335 | 1,417,531 | — | — | ||||||||
Funded status – excess (asset) obligation | $ | (24,165 | ) | $ | (13,442 | ) | $ | 96,759 | $ | 91,047 | ||
Net (asset) liability recognized on consolidated balance sheets | $ | (24,165 | ) | $ | (13,442 | ) | $ | 96,759 | $ | 91,047 | ||
Amounts not yet reflected in net periodic benefit cost and included in accumulated other comprehensive income (loss): | ||||||||||||
Prior service cost | $ | 1,558 | $ | 1,935 | $ | — | $ | — | ||||
Accumulated actuarial losses | 264,160 | 243,761 | 30,709 | 28,164 | ||||||||
Amounts included in accumulated other comprehensive income (loss) | $ | 265,718 | $ | 245,696 | $ | 30,709 | $ | 28,164 |
Funded Plan Fiscal Year Ended | Unfunded Plan Fiscal Year Ended | |||
February 2, 2019 | February 3, 2018 | February 2, 2019 | February 3, 2018 | |
Discount rate | 4.30% | 4.00% | 4.10% | 3.80% |
Rate of compensation increase | 4.00% | 4.00% | 6.00% | 6.00% |
Funded Plan Fiscal Year Ended | Unfunded Plan Fiscal Year Ended | |||||||||||||||||
In thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||||||||
Net periodic pension cost: | ||||||||||||||||||
Service cost | $ | 45,342 | $ | 46,845 | $ | 45,440 | $ | 2,391 | $ | 1,888 | $ | 1,835 | ||||||
Interest cost | 54,355 | 55,301 | 56,094 | 3,600 | 3,316 | 3,391 | ||||||||||||
Expected return on plan assets | (79,190 | ) | (69,345 | ) | (70,535 | ) | — | — | — | |||||||||
Amortization of prior service cost | 377 | 377 | 377 | — | — | — | ||||||||||||
Amortization of net actuarial loss | 12,250 | 21,557 | 31,397 | 3,409 | 2,852 | 3,349 | ||||||||||||
Settlement charge | 36,122 | — | 31,173 | — | — | — | ||||||||||||
Total expense | $ | 69,256 | $ | 54,735 | $ | 93,946 | $ | 9,400 | $ | 8,056 | $ | 8,575 | ||||||
Other changes in plan assets and benefit obligations recognized in other comprehensive income: | ||||||||||||||||||
Net (gain) loss | $ | 68,770 | $ | (38,293 | ) | $ | 17,894 | $ | 5,955 | $ | 4,580 | $ | 740 | |||||
Amortization of net (loss) | (12,250 | ) | (21,557 | ) | (31,397 | ) | (3,409 | ) | (2,852 | ) | (3,349 | ) | ||||||
Settlement charge | (36,122 | ) | — | (31,173 | ) | — | — | — | ||||||||||
Amortization of prior service cost | (377 | ) | (377 | ) | (377 | ) | — | — | — | |||||||||
Total recognized in other comprehensive income (loss) | $ | 20,021 | $ | (60,227 | ) | $ | (45,053 | ) | $ | 2,546 | $ | 1,728 | $ | (2,609 | ) | |||
Total recognized in net periodic benefit cost and other comprehensive income (loss) | $ | 89,277 | $ | (5,492 | ) | $ | 48,893 | $ | 11,946 | $ | 9,784 | $ | 5,966 | |||||
Weighted average assumptions for expense purposes: | ||||||||||||||||||
Discount rate | 4.00%/4.40% | 4.40% | 4.80%/3.80% | 3.80% | 4.00% | 4.20% | ||||||||||||
Expected rate of return on plan assets | 6.00%/6.00% | 6.00% | 6.50%/6.00% | N/A | N/A | N/A | ||||||||||||
Rate of compensation increase | 4.00% | 4.00% | 4.00% | 6.00% | 6.00% | 6.00% |
In thousands | Funded Plan Expected Benefit Payments | Unfunded Plan Expected Benefit Payments | ||||
Fiscal Year | ||||||
2020 | $ | 25,557 | $ | 4,799 | ||
2021 | 30,134 | 3,684 | ||||
2022 | 35,072 | 4,625 | ||||
2023 | 40,515 | 47,780 | ||||
2024 | 46,200 | 6,104 | ||||
2025 through 2029 | 313,971 | 32,706 |
Funded Plan at February 2, 2019 | |||||||||
In thousands | Level 1 | Level 2 | Total | ||||||
Asset category: | |||||||||
Short-term investments | $ | 111,803 | $ | — | $ | 111,803 | |||
Equity Securities | 226,042 | — | 226,042 | ||||||
Fixed Income Securities: | |||||||||
Corporate and government bond funds | — | 376,438 | 376,438 | ||||||
Futures Contracts | — | 1,029 | 1,029 | ||||||
Total assets in the fair value hierarchy | $ | 337,845 | $ | 377,467 | $ | 715,312 | |||
Assets measured at net asset value* | — | — | 530,023 | ||||||
Fair value of assets | $ | 337,845 | $ | 377,467 | $ | 1,245,335 |
Funded Plan at February 3, 2018 | |||||||||
In thousands | Level 1 | Level 2 | Total | ||||||
Asset category: | |||||||||
Short-term investments | $ | 109,183 | $ | — | $ | 109,183 | |||
Equity Securities | 279,635 | — | 279,635 | ||||||
Fixed Income Securities: | |||||||||
Corporate and government bond funds | — | 420,117 | 420,117 | ||||||
Futures Contracts | — | 337 | 337 | ||||||
Total assets in the fair value hierarchy | $ | 388,818 | $ | 420,454 | $ | 809,272 | |||
Assets measured at net asset value* | — | — | 608,259 | ||||||
Fair value of assets | $ | 388,818 | $ | 420,454 | $ | 1,417,531 |
* | In accordance with Subtopic 820-10, certain investments that were measured using net asset value per share (or its equivalent) as a practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the fair value of assets presented above. |
Target Allocation | February 2, 2019 | February 3, 2018 | |
Return-seeking assets | 50% | 43% | 47% |
Liability-hedging assets | 50% | 49% | 46% |
All other – primarily cash | —% | 8% | 7% |
In thousands | February 2, 2019 | February 3, 2018 | ||||
General corporate debt: | ||||||
2.50% senior unsecured notes, maturing May 15, 2023 (effective interest rate of 2.51% after reduction of unamortized debt discount of $189 and $234 in fiscal 2019 and 2018, respectively) | $ | 499,811 | $ | 499,766 | ||
2.75% senior unsecured notes, maturing June 15, 2021 (effective interest rate of 2.76% after reduction of unamortized debt discount of $174 and $250 in fiscal 2019 and 2018, respectively) | $ | 749,826 | $ | 749,750 | ||
2.25% senior unsecured notes, maturing September 15, 2026 (effective interest rate of 2.32% after reduction of unamortized debt discount of $5,657 and $6,403 in fiscal 2019 and 2018, respectively) | $ | 994,343 | $ | 993,597 | ||
Debt issuance cost | $ | (10,364 | ) | $ | (12,506 | ) |
Total long-term debt | $ | 2,233,616 | $ | 2,230,607 |
In thousands | Long-Term Debt | ||
Fiscal Year 2020 | $ | — | |
2021 | — | ||
2022 | 750,000 | ||
2023 | — | ||
2024 | 500,000 | ||
Later years | 1,000,000 | ||
Less amount representing unamortized debt discount | (6,020 | ) | |
Less amount representing debt issuance cost | (10,364 | ) | |
Aggregate maturities of long-term debt | $ | 2,233,616 |
Fiscal Year Ended | |||||||||
In thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
United States | $ | 3,463,785 | $ | 3,255,057 | $ | 3,196,370 | |||
Foreign | $ | 709,426 | $ | 601,531 | $ | 526,673 | |||
Income before provision for income taxes | $ | 4,173,211 | $ | 3,856,588 | $ | 3,723,043 |
Fiscal Year Ended | |||||||||
In thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Current: | |||||||||
Federal | $ | 711,369 | $ | 1,063,141 | $ | 1,068,778 | |||
State | 251,187 | 160,650 | 213,505 | ||||||
Foreign | 238,692 | 161,974 | 148,367 | ||||||
Deferred: | |||||||||
Federal | (62,278 | ) | (164,523 | ) | (3,107 | ) | |||
State | (27,831 | ) | 27,595 | (10,583 | ) | ||||
Foreign | 2,274 | (197 | ) | 7,849 | |||||
Provision for income taxes | $ | 1,113,413 | $ | 1,248,640 | $ | 1,424,809 |
Fiscal Year Ended | ||||||
In thousands | February 2, 2019 | February 3, 2018 | ||||
Deferred tax assets: | ||||||
Net operating loss carryforward | $ | 49,489 | $ | 40,088 | ||
Reserves for lease obligations | 2,799 | 3,637 | ||||
Pension, stock compensation, postretirement and employee benefits | 273,482 | 232,887 | ||||
Leases | 45,740 | 42,999 | ||||
Accruals and reserves | 42,709 | 51,281 | ||||
Other | 65,776 | 25,599 | ||||
Total gross deferred tax assets | $ | 479,995 | $ | 396,491 | ||
Valuation allowance | (51,711 | ) | (42,332 | ) | ||
Net deferred tax asset | $ | 428,284 | $ | 354,159 | ||
Deferred tax liabilities: | ||||||
Property, plant and equipment | $ | 497,906 | $ | 437,621 | ||
Capitalized inventory | 42,981 | 45,125 | ||||
Tradename/intangibles | 14,019 | 12,628 | ||||
Undistributed foreign earnings | 1,856 | 65,013 | ||||
Other | 23,246 | 20,271 | ||||
Total deferred tax liabilities | $ | 580,008 | $ | 580,658 | ||
Net deferred tax (liability) | $ | (151,724 | ) | $ | (226,499 | ) |
Non-current asset | $ | 6,467 | $ | 6,558 | ||
Non-current liability | (158,191 | ) | (233,057 | ) | ||
Total | $ | (151,724 | ) | $ | (226,499 | ) |
Fiscal Year Ended | ||||||
February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||
(53 weeks) | ||||||
U.S. federal statutory income tax rate | 21.0 | % | 33.7 | % | 35.0 | % |
Effective state income tax rate | 4.5 | 3.6 | 3.5 | |||
Impact of foreign operations | 1.2 | (0.1 | ) | (0.2 | ) | |
Excess share-based compensation | (1.2 | ) | (1.3 | ) | — | |
Impact of 2017 Tax Act | 1.5 | (2.3 | ) | — | ||
All other | (0.3 | ) | (1.2 | ) | — | |
Worldwide effective income tax rate | 26.7 | % | 32.4 | % | 38.3 | % |
Fiscal Year Ended | |||||||||
In thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
Balance at beginning of year | $ | 61,704 | $ | 49,092 | $ | 43,326 | |||
Additions for uncertain tax positions taken in current year | 7,406 | 6,504 | 7,018 | ||||||
Additions for uncertain tax positions taken in prior years | 177,741 | 7,990 | 327 | ||||||
Reductions for uncertain tax positions taken in prior years | — | (587 | ) | (334 | ) | ||||
Reductions resulting from lapse of statute of limitations | (1,388 | ) | (1,295 | ) | (1,245 | ) | |||
Settlements with tax authorities | (1,268 | ) | — | — | |||||
Balance at end of year | $ | 244,195 | $ | 61,704 | $ | 49,092 |
In thousands | Operating Leases | ||
Fiscal Year 2020 | $ | 1,676,700 | |
2021 | 1,603,378 | ||
2022 | 1,441,444 | ||
2023 | 1,253,420 | ||
2024 | 1,042,184 | ||
Later years | 2,774,845 | ||
Total future minimum lease payments | $ | 9,791,971 |
Fiscal Year Ended | ||||||
In thousands | February 2, 2019 | February 3, 2018 | ||||
Employee compensation and benefits, current | $ | 737,920 | $ | 686,294 | ||
Dividends payable | 241,972 | 199,029 | ||||
Accrued capital additions | 119,172 | 90,336 | ||||
Rent, utilities and occupancy, including real estate taxes | 243,192 | 234,183 | ||||
Merchandise credits and gift certificates | 450,302 | 399,482 | ||||
Sales tax collections and V.A.T. taxes | 170,249 | 200,005 | ||||
All other current liabilities | 770,269 | 713,632 | ||||
Total accrued expenses and other current liabilities | $ | 2,733,076 | $ | 2,522,961 |
Fiscal Year Ended | ||||||
In thousands | February 2, 2019 | February 3, 2018 | ||||
Employee compensation and benefits, long-term | $ | 449,065 | $ | 442,624 | ||
Accrued rent | 269,057 | 263,178 | ||||
Landlord allowances | 80,425 | 88,747 | ||||
Income taxes payable | — | 176,772 | ||||
Tax reserve, long-term | 235,467 | 44,753 | ||||
Build-to-suit lease obligations | 243,258 | 221,917 | ||||
Asset retirement obligation | 49,692 | 49,266 | ||||
All other long-term liabilities | 27,278 | 33,248 | ||||
Total other long-term liabilities | $ | 1,354,242 | $ | 1,320,505 |
Fiscal Year Ended | |||||||||
In thousands | February 2, 2019 | February 3, 2018 | January 28, 2017 | ||||||
(53 weeks) | |||||||||
Cash paid for: | |||||||||
Interest on debt | $ | 64,007 | $ | 64,308 | $ | 72,619 | |||
Income taxes | 1,147,511 | 1,289,964 | 1,282,172 | ||||||
Non-cash investing and financing activity: | |||||||||
Build-to-suit construction in progress | $ | (40,911 | ) | $ | (27,207 | ) | $ | (94,291 | ) |
Build-to-suit lease obligation | 40,911 | 27,207 | 94,291 | ||||||
Dividends payable | 42,943 | 29,836 | 29,195 | ||||||
Property additions | 28,836 | (21,627 | ) | (20,908 | ) |
Amounts in thousands except per share amounts | First Quarter | Second Quarter | Third Quarter(2) | Fourth Quarter(3) | ||||||||
Fiscal Year Ended February 2, 2019 (52 weeks) | ||||||||||||
Net sales | $ | 8,688,720 | $ | 9,331,115 | $ | 9,825,759 | $ | 11,127,340 | ||||
Gross earnings(1) | 2,510,481 | 2,695,300 | 2,842,276 | 3,093,700 | ||||||||
Net income | 716,381 | 739,626 | 762,253 | 841,538 | ||||||||
Basic earnings per share(4) | 0.57 | 0.59 | 0.62 | 0.69 | ||||||||
Diluted earnings per share(4) | 0.56 | 0.58 | 0.61 | 0.68 | ||||||||
Fiscal Year Ended February 3, 2018 (53 weeks) | ||||||||||||
Net sales | $ | 7,784,024 | $ | 8,357,700 | $ | 8,762,220 | $ | 10,960,720 | ||||
Gross earnings(1) | 2,253,952 | 2,385,025 | 2,612,200 | 3,111,320 | ||||||||
Net income | 536,279 | 552,957 | 641,436 | 877,276 | ||||||||
Basic earnings per share(4) | 0.41 | 0.43 | 0.51 | 0.70 | ||||||||
Diluted earnings per share(4) | 0.41 | 0.42 | 0.50 | 0.69 |
(1) | Gross earnings equal net sales less cost of sales, including buying and occupancy costs. |
(2) | The third quarter of fiscal 2019 includes a $36.1 million pension settlement charge. |
(3) | The fourth quarter of fiscal 2018 includes 14 weeks, a $99.3 million impairment charge and a net benefit related to the 2017 Tax Act. |
(4) | Adjusted for two-for-one stock split completed in November 2018. See Note D - Capital Stock and Earnings Per Share. |
(b) | Certain Provisions Relating to Nomination, Election and Removal of Directors. |
1. | Election of Directors. Elections of directors need not be by written ballot unless the by-laws shall so provide. No director need be a stockholder. |
2. | Number, Election and Terms of Directors. Except as otherwise fixed pursuant to the provisions of Article FOURTH hereof relating to the rights of the holders of any class or series of stock having a preference over the Common Stock as to dividends or upon liquidation to elect additional directors under the specified circumstances, the number of directors of the Corporation shall be fixed from time to time by or pursuant to the by-laws. The term of office of all directors who are in office immediately prior to the closing of the polls for the election of Directors at the 2006 annual meeting of stockholders shall expire at |
3. | Stockholder Nomination of Director Candidates. Advance notice of nominations for the election of directors, other than by the Board of Directors or a Committee thereof, shall be given in the manner provided in the by-laws. |
4. | Newly Created Directorships and Vacancies. Except as otherwise fixed pursuant to the provisions of Article FOURTH hereof relating to the rights of the holders of any class or series of stock having a preference over the Common Stock as to dividends or upon liquidation to elect directors under specified circumstances, newly created directorships resulting from any increase in the number of directors and any vacancies on the Board of Directors resulting from death, resignation, disqualification, removal or other cause shall be filled solely by the affirmative vote of a majority of the remaining directors then in office, even though less than a quorum of the Board of Directors, or by a sole remaining director. Any director elected in accordance with the preceding sentence shall hold office until the next annual meeting of stockholders and until such director’s successor shall have been elected or qualified. No decrease in the number of directors constituting the Board of Directors shall shorten the term of any incumbent director. |
(i) | such contract, transaction or act shall not be in any way invalidated or otherwise affected by that fact; |
(ii) | no such director, officer, or stockholder shall be liable to account to this corporation for any profit or benefit realized through any such contract, transaction or act; and |
(iii) | any such director of this corporation may be counted in determining the existence of a quorum at any meeting of the board of directors or of any committee thereof which shall authorize any such contract, transaction or act, and may vote to authorize the same, |
(a) | the word “interest” shall include personal interest and interest as a director, officer, stockholder, shareholder, trustee, member or beneficiary of any concern; |
(b) | the word “concern” shall mean any corporation, association, trust, partnership, firm, person or other entity other than this corporation; and |
(c) | the phrase “subsidiary or affiliate” shall mean a concern in which a majority of the directors, trustees, partners or controlling persons are elected or appointed by the directors of this corporation, or are constituted of the directors or officers of this corporation. |
1. | EFFECTIVE DATE; TERM OF AGREEMENT 1 |
2. | SCOPE OF EMPLOYMENT 1 |
3. | COMPENSATION AND BENEFITS 2 |
4. | TERMINATION OF EMPLOYMENT; IN GENERAL 4 |
5. | BENEFITS UPON NON-VOLUNTARY TERMINATION OF EMPLOYMENT OR UPON EXPIRATION OF THE AGREEMENT 4 |
6. | OTHER TERMINATION 5 |
7. | CHANGE OF CONTROL 6 |
8. | AGREEMENT NOT TO SOLICIT; OTHER OBLIGATIONS 6 |
9. | ASSIGNMENT 9 |
10. | NOTICES 9 |
11. | CERTAIN EXPENSES 9 |
12. | WITHHOLDING; CERTAIN TAX MATTERS 10 |
13. | RELEASE 10 |
14. | GOVERNING LAW 11 |
15. | ARBITRATION 11 |
16. | TERMINATION OF EMPLOYMENT AND SEPARATION FROM SERVICE 11 |
17. | WAIVER 11 |
18. | ENTIRE AGREEMENT 12 |
EXHIBIT A Certain Definitions | A-1 |
EXHIBIT B Definition of “Change of Control” | B-1 |
EXHIBIT C Change of Control Benefits | C-1 |
(I) | material and willful dishonesty (such as, but not limited to, fraud, embezzlement, misappropriation, theft, or bribery) by Executive in the performance of her duties; |
(II) | conviction of a felony (other than a conviction arising solely under a statutory provision imposing criminal liability upon Executive on a per se basis due to the Company offices held by Executive, so long as any act or omission of Executive with respect to such matter was not taken or omitted in contravention of any applicable written policy or directive of the Board); |
(III) | willful neglect of Executive’s material duties (other than as a result of Disability), which neglect is not cured by Executive after having been given at least thirty (30) days’ written notice by the Company that apprises Executive of the nature of the neglect to be cured, or which neglect, if previously cured, recurs; |
(IV) | material conflict of interest in violation of a written policy or policies of the Company which continues for sixty (60) days after the Company gives written notice to Executive that apprises Executive of the nature of the conflict and requests the cessation of such conflict; |
(V) | willful misconduct that is a violation of a written policy or policies of the Company (such as, but not limited to, a written policy or policies regarding substance abuse, harassment, or workplace violence) and which is materially harmful to the reputation or business of the Company; or |
(VI) | a breach of Section 8 of this Agreement or of the Executive’s obligations under Section 8 of the Severance Plan. |
(I) | the assignment to her of any duties inconsistent with her positions, duties, responsibilities, and status with the Company immediately prior to the Change of Control, or any removal of Executive from or any failure to reelect her to such positions, except in connection with the termination of Executive’s employment by the Company for Cause or by Executive other than for good reason, or any other action by the Company which results in a diminishment or any material adverse change (including a material increase in overall time commitment) in such position, authority, duties or responsibilities; or |
(II) | if Executive’s rate of Base Salary for any fiscal year is less than 100% of the rate of Base Salary paid to Executive in the completed fiscal year immediately preceding the Change of Control or if Executive’s total cash compensation opportunities, including salary and incentives, for any fiscal year are less than 100% of the total cash compensation opportunities made available to Executive in the completed fiscal year immediately preceding the Change of Control; or |
(III) | the failure of the Company to continue in effect any benefits or perquisites, or any pension, life insurance, medical insurance or disability plan in which Executive was participating immediately prior to the Change of Control unless the Company provides Executive with a plan or plans that provide substantially similar benefits, or the taking of any action by the Company that would adversely affect Executive’s participation in or materially reduce Executive’s benefits under any of such plans or deprive Executive of any material fringe benefit enjoyed by Executive immediately prior to the Change of Control; or |
(IV) | any purported termination of Executive’s employment by the Company for Cause during a Standstill Period which is not effected in compliance with paragraph (c) above; or |
(V) | any relocation of Executive of more than forty (40) miles from the place where Executive was located at the time of the Change of Control; or |
(VI) | any other breach by the Company of any provision of this Agreement; or |
(VII) | the Company sells or otherwise disposes of, in one transaction or a series of related transactions, assets or earning power aggregating more than 30% of the assets (taken at asset value as stated on the books of the Company determined in accordance with generally accepted accounting |
1. | EFFECTIVE DATE; TERM OF AGREEMENT 1 |
2. | SCOPE OF EMPLOYMENT . 1 |
3. | COMPENSATION AND BENEFITS 2 |
4. | TERMINATION OF EMPLOYMENT; IN GENERAL 3 |
5. | BENEFITS UPON NON-VOLUNTARY TERMINATION OF EMPLOYMENT OR UPON EXPIRATION OF THE AGREEMENT 4 |
6. | OTHER TERMINATION 4 |
7. | CHANGE OF CONTROL 5 |
8. | AGREEMENT NOT TO SOLICIT; OTHER OBLIGATIONS 5 |
9. | ASSIGNMENT 8 |
10. | NOTICES 9 |
11. | CERTAIN EXPENSES 9 |
12. | WITHHOLDING; CERTAIN TAX MATTERS 9 |
13. | RELEASE 9 |
14. | GOVERNING LAW 10 |
15. | ARBITRATION 10 |
16. | TERMINATION OF EMPLOYMENT AND SEPARATION FROM SERVICE 10 |
17. | WAIVER 10 |
18. | ENTIRE AGREEMENT 11 |
EXHIBIT A Certain Definitions | A-1 |
EXHIBIT B Definition of “Change of Control” | B-1 |
EXHIBIT C Change of Control Benefits | C-1 |
(I) | material and willful dishonesty (such as, but not limited to, fraud, embezzlement, misappropriation, theft, or bribery) by Executive in the performance of his duties; |
(II) | conviction of a felony (other than a conviction arising solely under a statutory provision imposing criminal liability upon Executive on a per se basis due to the Company offices held by Executive, so long as any act or omission of Executive with respect to such matter was not taken or omitted in contravention of any applicable written policy or directive of the Board); |
(III) | willful neglect of Executive’s material duties (other than as a result of Disability), which neglect is not cured by Executive after having been given at least thirty (30) days’ written notice by the Company that apprises Executive of the nature of the neglect to be cured, or which neglect, if previously cured, recurs; |
(IV) | material conflict of interest in violation of a written policy or policies of the Company which continues for sixty (60) days after the Company gives written notice to Executive that apprises Executive of the nature of the conflict and requests the cessation of such conflict; |
(V) | willful misconduct that is a violation of a written policy or policies of the Company (such as, but not limited to, a written policy or policies regarding substance abuse, harassment, or workplace violence) and which is materially harmful to the reputation or business of the Company; or |
(VI) | a breach of Section 8 of this Agreement or of the Executive’s obligations under Section 8 of the Severance Plan. |
(I) | the assignment to him of any duties inconsistent with his positions, duties, responsibilities, and status with the Company immediately prior to the Change of Control, or any removal of Executive from or any failure to reelect him to such positions, except in connection with the termination of Executive’s employment by the Company for Cause or by Executive other than for good reason, or any other action by the Company which results in a diminishment in such position, authority, duties or responsibilities; or |
(II) | if Executive’s rate of Base Salary for any fiscal year is less than 100% of the rate of Base Salary paid to Executive in the completed fiscal year immediately preceding the Change of Control or if Executive’s total cash compensation opportunities, including salary and incentives, for any fiscal year are less than 100% of the total cash compensation opportunities made available to Executive in the completed fiscal year immediately preceding the Change of Control; or |
(III) | the failure of the Company to continue in effect any benefits or perquisites, or any pension, life insurance, medical insurance or disability plan in which Executive was participating immediately prior to the Change of Control unless the Company provides Executive with a plan or plans that provide substantially similar benefits, or the taking of any action by the Company that would adversely affect Executive’s participation in or materially reduce Executive’s benefits under any of such plans or deprive Executive of any material fringe benefit enjoyed by Executive immediately prior to the Change of Control; or |
(IV) | any purported termination of Executive’s employment by the Company for Cause during a Standstill Period which is not effected in compliance with paragraph (c) above; or |
(V) | any relocation of Executive of more than forty (40) miles from the place where Executive was located at the time of the Change of Control; or |
(VI) | any other breach by the Company of any provision of this Agreement; or |
(VII) | the Company sells or otherwise disposes of, in one transaction or a series of related transactions, assets or earning power aggregating more than 30% of the assets (taken at asset value as stated on the books of the Company determined in accordance with generally accepted accounting principles consistently applied) or earning power of the Company (on an individual basis) or the Company and its Subsidiaries (on a consolidated basis) to any other Person or Persons (as those terms are defined in Exhibit B). |
1. | The definition of “Cause” at Exhibit A, subsection (c) of the Employment Agreement is hereby amended to read in its entirety as follows: |
(I) | material and willful dishonesty (such as, but not limited to, fraud, embezzlement, misappropriation, theft, or bribery) by Executive in the performance of his duties; |
(II) | conviction of a felony (other than a conviction arising solely under a statutory provision imposing criminal liability upon Executive on a per se basis due to the Company offices held by Executive, so long as any act or omission of Executive with respect to such matter was not taken or omitted in contravention of any applicable written policy or directive of the Board); |
(III) | willful neglect of Executive’s material duties (other than as a result of Disability), which neglect is not cured by Executive after having been given at least thirty (30) days’ written notice by the Company that apprises Executive of the nature of the neglect to be cured, or which neglect, if previously cured, recurs; |
(IV) | material conflict of interest in violation of a written policy or policies of the Company which continues for sixty (60) days after the Company gives written notice to Executive that apprises Executive of the nature of the conflict and requests the cessation of such conflict; |
(V) | willful misconduct that is a violation of a written policy or policies of the Company (such as, but not limited to, a written policy or policies regarding substance abuse, harassment, or workplace violence) and which is materially harmful to the reputation or business of the Company; or |
(VI) | a breach of Section 8 of this Agreement or of the Executive’s obligations under Section 8 of the Severance Plan. |
2. | Section 6(b) of the Employment Agreement is hereby amended to read in its entirety as follows: |
3. | Section 8(c) of the Employment Agreement is hereby amended by adding the following sentence to the end thereof: |
4. | Section 3(g) of the Employment Agreement is hereby amended to read in its entirety as follows: |
5. | Section 17 of the Employment Agreement is hereby amended by adding the following sentence to the end thereof: |
6. | Exhibit A of the Employment Agreement is hereby amended to add the following definitions as subsections (s) and (t), respectively, and the subsequent lettering of the subsections of Exhibit A shall be adjusted accordingly (i.e., subsection (s) shall be re-lettered subsection (u) and subsection (t) shall be re-lettered (v), etc.): |
1. | The definition of “Cause” at Exhibit A, subsection (c) of the Employment Agreement is hereby amended to read in its entirety as follows: |
(I) | material and willful dishonesty (such as, but not limited to, fraud, embezzlement, misappropriation, theft, or bribery) by Executive in the performance of his duties; |
(II) | conviction of a felony (other than a conviction arising solely under a statutory provision imposing criminal liability upon Executive on a per se basis due to the Company offices held by Executive, so long as any act or omission of Executive with respect to such matter was not taken or omitted in contravention of any applicable written policy or directive of the Board); |
(III) | willful neglect of Executive’s material duties (other than as a result of Disability), which neglect is not cured by Executive after having been given at least thirty (30) days’ written notice by the Company that apprises Executive of the nature of the neglect to be cured, or which neglect, if previously cured, recurs; |
(IV) | material conflict of interest in violation of a written policy or policies of the Company which continues for sixty (60) days after the Company gives written notice to Executive that apprises Executive of the nature of the conflict and requests the cessation of such conflict; |
(V) | willful misconduct that is a violation of a written policy or policies of the Company (such as, but not limited to, a written policy or policies regarding substance abuse, harassment, or workplace violence) and which is materially harmful to the reputation or business of the Company; or |
(VI) | a breach of Section 8 of this Agreement or of the Executive’s obligations under Section 8 of the Severance Plan. |
2. | Section 6(b) of the Employment Agreement is hereby amended to read in its entirety as follows: |
3. | Section 8(c) of the Employment Agreement is hereby amended by adding the following sentence to the end thereof: |
4. | Section 3(g) of the Employment Agreement is hereby amended to read in its entirety as follows: |
5. | Section 17 of the Employment Agreement is hereby amended by adding the following sentence to the end thereof: |
6. | Exhibit A of the Employment Agreement is hereby amended to add the following definitions as subsections (s) and (t), respectively, and the subsequent lettering of the subsections of Exhibit A shall be adjusted accordingly (i.e., subsection (s) shall be re-lettered subsection (u) and subsection (t) shall be re-lettered (v), etc.): |
1. | The definition of “Cause” at Exhibit A, subsection (c) of the Employment Agreement is hereby amended to read in its entirety as follows: |
(I) | material and willful dishonesty (such as, but not limited to, fraud, embezzlement, misappropriation, theft, or bribery) by Executive in the performance of his duties; |
(II) | conviction of a felony (other than a conviction arising solely under a statutory provision imposing criminal liability upon Executive on a per se basis due to the Company offices held by Executive, so long as any act or omission of Executive with respect to such matter was not taken or omitted in contravention of any applicable written policy or directive of the Board); |
(III) | willful neglect of Executive’s material duties (other than as a result of Disability), which neglect is not cured by Executive after having been given at least thirty (30) days’ written notice by the Company that apprises Executive of the nature of the neglect to be cured, or which neglect, if previously cured, recurs; |
(IV) | material conflict of interest in violation of a written policy or policies of the Company which continues for sixty (60) days after the Company gives written notice to Executive that apprises Executive of the nature of the conflict and requests the cessation of such conflict; |
(V) | willful misconduct that is a violation of a written policy or policies of the Company (such as, but not limited to, a written policy or policies regarding |
(VI) | a breach of Section 8 of this Agreement or of the Executive’s obligations under Section 8 of the Severance Plan. |
2. | Section 6(b) of the Employment Agreement is hereby amended to read in its entirety as follows: |
3. | Section 8(c) of the Employment Agreement is hereby amended by replacing the words “the last sentence” with “the penultimate sentence” in the sixth sentence of such section and then by adding the following sentence to the end of such section: |
4. | Section 3(g) of the Employment Agreement is hereby amended to read in its entirety as follows: |
5. | Section 17 of the Employment Agreement is hereby amended by adding the following sentence to the end thereof: |
6. | Exhibit A of the Employment Agreement is hereby amended to add the following definitions as subsections (s) and (t), respectively, and the subsequent lettering of the subsections of Exhibit A shall be adjusted accordingly (i.e., subsection (s) shall be re-lettered subsection (u) and subsection (t) shall be re-lettered (v), etc.): |
1. | The definition of “Cause” at Exhibit A, subsection (c) of the Employment Agreement is hereby amended to read in its entirety as follows: |
(I) | material and willful dishonesty (such as, but not limited to, fraud, embezzlement, misappropriation, theft, or bribery) by Executive in the performance of his duties; |
(II) | conviction of a felony (other than a conviction arising solely under a statutory provision imposing criminal liability upon Executive on a per se basis due to the Company offices held by Executive, so long as any act or omission of Executive with respect to such matter was not taken or omitted in contravention of any applicable written policy or directive of the Board); |
(III) | willful neglect of Executive’s material duties (other than as a result of Disability), which neglect is not cured by Executive after having been given at least thirty (30) days’ written notice by the Company that apprises Executive of the nature of the neglect to be cured, or which neglect, if previously cured, recurs; |
(IV) | material conflict of interest in violation of a written policy or policies of the Company which continues for sixty (60) days after the Company gives written notice to Executive that apprises Executive of the nature of the conflict and requests the cessation of such conflict; |
(V) | willful misconduct that is a violation of a written policy or policies of the Company (such as, but not limited to, a written policy or policies regarding |
(VI) | a breach of Section 8 of this Agreement or of the Executive’s obligations under Section 8 of the Severance Plan. |
2. | Section 6(b) of the Employment Agreement is hereby amended to read in its entirety as follows: |
3. | Section 8(c) of the Employment Agreement is hereby amended by replacing the words “the last sentence” with “the penultimate sentence” in the sixth sentence of such section and then by adding the following sentence to the end of such section: |
4. | Section 3(g) of the Employment Agreement is hereby amended to read in its entirety as follows: |
5. | Section 17 of the Employment Agreement is hereby amended by adding the following sentence to the end thereof: |
6. | Exhibit A of the Employment Agreement is hereby amended to add the following definitions as subsections (s) and (t), respectively, and the subsequent lettering of the subsections of Exhibit A shall be adjusted accordingly (i.e., subsection (s) shall be re-lettered subsection (u) and subsection (t) shall be re-lettered (v), etc.): |
• | Annual retainer of $90,000 for each non-employee director |
• | Additional annual retainer of $70,000 for the Lead Director |
• | Additional annual retainer of $28,000 for the Audit Committee Chair |
• | Additional annual retainer of $15,000 for each Audit Committee member (other than the Chair) |
• | Additional annual retainer of $26,000 for the Chair of the subcommittee of the Audit Committee |
• | Additional annual retainer of $23,000 for the Executive Compensation Committee Chair |
• | Additional annual retainer of $10,000 for each Executive Compensation Committee member (other than the Chair) |
• | Additional annual retainer of $18,000 for the Corporate Governance Committee Chair |
• | Additional annual retainer of $8,000 for each Corporate Governance Committee member (other than the Chair) |
• | Additional annual retainer of $18,000 for the Finance Committee Chair |
• | Additional annual retainer of $8,000 for each Finance Committee member (other than the Chair) |
• | Two annual deferred stock awards for each non-employee director, each representing shares of our common stock valued at $80,000. |
Operating Subsidiaries | State or Jurisdiction of Incorporation or Organization | Name Under Which Does Business (if Different) |
T.J. Maxx of CA, LLC | Virginia | |
T.J. Maxx of IL, LLC | Virginia | |
TJX Digital, Inc. | Delaware | T.J. Maxx |
Arizona Merchants, Inc. | Arizona | |
NBC Charlotte Merchants, Inc. | North Carolina | |
NBC Distributors Inc. | Massachusetts | |
NBC Manteca Merchants, Inc. | California | |
NBC Merchants, Inc. | Indiana | |
NBC Nevada Merchants, Inc. | Nevada | |
NBC Philadelphia Merchants, Inc. | Pennsylvania | |
NBC Pittston Merchants, Inc. | Pennsylvania | |
NBC San Antonio Merchants, LLC | Delaware | |
TJX Digital Memphis Merchants, LLC | Delaware | |
Marshalls of Beacon, VA, Inc. | Virginia | |
Marshalls of CA, LLC | Virginia | |
Marshalls of Elizabeth, NJ, Inc. | New Jersey | |
Marshalls of Glen Burnie, MD, Inc. | Maryland | |
Marshalls of IL, LLC | Virginia | |
Marshalls of MA, Inc. | Massachusetts | |
Marshalls of Matteson, ILL., Inc. | Illinois | |
Marshalls of Richfield, MN, Inc. | Minnesota | |
Newton Buying Company of CA, Inc. | Virginia | Marshalls |
Marshalls Atlanta Merchants, Inc. | Georgia | |
Marshalls Bridgewater Merchants, Inc. | Virginia | |
Marshalls of Nevada, Inc. | Nevada | |
Marshalls Woburn Merchants, Inc. | Massachusetts | |
Marmaxx Operating Corp. | Virginia | T.J.Maxx, Marshalls |
HomeGoods, Inc. | Delaware | HomeGoods, Homesense |
H.G. AZ Merchants, LLC | Arizona | |
H.G. Conn. Merchants, LLC | Connecticut | |
H.G. Georgia Merchants, LLC | Georgia | |
H.G. Indiana Distributors, LLC | Indiana | |
HomeGoods Georgia, LLC | Georgia | |
HomeGoods Ohio Merchants LLC | Delaware | |
HomeGoods Imports Corp. | Delaware | |
Sierra Trading Post, Inc. | Wyoming | Sierra |
STP Retail, LLC | Wyoming | |
Concord Buying Group, Inc. | New Hampshire | A.J. Wright |
Operating Subsidiaries | State or Jurisdiction of Incorporation or Organization | Name Under Which Does Business (if Different) |
NBC Apparel, Inc. | Delaware | |
NBC Apparel, LLC | Delaware | |
NBC Attire Inc. | Massachusetts | |
NBC GP, LLC | Delaware | |
NBC Holding, Inc. | Delaware | |
NBC Manager, LLC | Delaware | |
NBC Operating, LP | Delaware | |
NBC Trading, Inc. | Delaware | |
NBC Trust | Massachusetts | |
Newton Buying Corp. | Delaware | |
Newton Buying Imports, Inc. | Delaware | |
Strathmex Corp. | Delaware | |
TJX Incentive Sales, Inc. | Virginia | |
OCP Investments, Inc. | Delaware | |
TJX Australia Holding Company Pty Limited | Australia | |
TJX Australia Merchants Pty Limited | Australia | |
TJX Australia Pty Limited | Australia | T.K. Maxx |
TJX Austria Holding GmbH | Austria | |
TJX Oesterreich Ltd. & Co. KG | Austria | T.K. Maxx |
NBC Atlantic Holding Ltd | Bermuda | |
NBC Atlantic Ltd | Bermuda | |
WMI-1 Holding Company | Nova Scotia, Canada | |
WMI-99 Holding Company | Nova Scotia, Canada | |
Winners Merchants International L.P. | Ontario, Canada | Winners, HomeSense & Marshalls |
T.K. Maxx Holding GmbH | Germany | |
T.K. Maxx Management GmbH | Germany | |
TJX Deutschland Ltd & Co. KG | Germany | T.K. Maxx |
TJX Distribution Ltd & Co. KG | Germany | |
NBC Hong Kong Merchants Limited | Hong Kong | |
NBC Fashion India Private Limited | India | |
TJX Ireland Unlimited Company | Ireland | T.K. Maxx, Homesense |
Jusy Meazza Buying Company S.r.L. | Italy | |
TJX Nederland B.V. | Netherlands | T.K. Maxx |
TJX European Distribution Sp. Z o.o | Poland | |
TJX Poland Sp. Z o.o | Poland | T.K. Maxx |
New York Department Stores de Puerto Rico, Inc. | Puerto Rico | T.J. Maxx, Marshalls & HomeGoods |
NBC Europe Ltd | United Kingdom | |
TJX Europe Buying Limited | United Kingdom | |
TJX Europe Buying Group Limited | United Kingdom | |
TJX Europe Buying (Deutschland) Limited | United Kingdom | |
TJX Europe Buying (Polska) Limited | United Kingdom |
Operating Subsidiaries | State or Jurisdiction of Incorporation or Organization | Name Under Which Does Business (if Different) |
TJX Europe Limited | United Kingdom | |
TJX Germany Ltd | United Kingdom | |
TJX UK | United Kingdom | T.K. Maxx, Homesense |
TJX UK Property Limited | United Kingdom | |
TK Maxx | United Kingdom | |
TJX Vietnam Company Limited | Vietnam | |
Leasing Subsidiaries | ||
AJW South Bend Realty Corp. | Indiana | |
NBC First Realty Corp. | Indiana | |
NBC Fourth Realty Corp. | Nevada | |
NBC Second Realty Corp. | Massachusetts | |
NBC Seventh Realty Corp. | Pennsylvania | |
NBC Sixth Realty Corp. | North Carolina |
Ernie Herrman, Chief Executive Officer, President and Director (Principal Executive Officer) | Scott Goldenberg, Chief Financial Officer (Principal Financial and Accounting Officer) | |
/s/ Zein Abdalla Zein Abdalla, Director | /s/ Amy B. Lane Amy B. Lane, Director | |
/s/ Alan M. Bennett Alan M. Bennett, Director | /s/ Carol Meyrowitz Carol Meyrowitz, Executive Chairman of the Board of Directors | |
/s/ Rosemary T. Berkery Rosemary T. Berkery, Director | /s/ Jackwyn L. Nemerov Jackwyn L. Nemerov, Director | |
/s/ David T. Ching David T. Ching, Director | /s/ John F. O’Brien John F. O’Brien, Director | |
/s/ Michael F. Hines Michael F. Hines, Director | /s/ Willow B. Shire Willow B. Shire, Director | |
Dated: April 3, 2019 |
1. | I have reviewed this annual report on Form 10-K of The TJX Companies, Inc.; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) | Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
5. | The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
Date: | April 3, 2019 | /s/ Ernie Herrman | |||
Name: | Ernie Herrman | ||||
Title: | Chief Executive Officer and President |
1. | I have reviewed this annual report on Form 10-K of The TJX Companies, Inc.; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) | Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
5. | The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
Date: | April 3, 2019 | /s/ Scott Goldenberg | |||
Name: | Scott Goldenberg | ||||
Title: | Chief Financial Officer |
1 | the Company’s Form 10-K for the fiscal year ended February 2, 2019 fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
2 | the information contained in the Company’s Form 10-K for the fiscal year ended February 2, 2019 fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ Ernie Herrman | |||
Name: | Ernie Herrman | ||
Title: | Chief Executive Officer and President |
1 | the Company’s Form 10-K for the fiscal year ended February 2, 2019 fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
2 | the information contained in the Company’s Form 10-K for the fiscal year ended February 2, 2019 fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ Scott Goldenberg | |||
Name: | Scott Goldenberg | ||
Title: | Chief Financial Officer |
Document and Entity Information - USD ($) $ in Billions |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Mar. 02, 2019 |
Aug. 04, 2018 |
|
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Feb. 02, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | TJX | ||
Entity Registrant Name | TJX COMPANIES INC /DE/ | ||
Entity Central Index Key | 0000109198 | ||
Current Fiscal Year End Date | --02-02 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 1,214,588,500 | ||
Entity Public Float | $ 60.5 |
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Statement of Comprehensive Income [Abstract] | |||
Foreign currency translation adjustments, related tax provisions (benefit) | $ 8,233 | $ 36,929 | $ 25,656 |
Gain on investment hedges, tax provision | 7,113 | ||
Recognition of net gains/losses on benefit obligations, related tax provision (benefit) | (19,813) | 8,989 | (7,394) |
Pension settlement charge, Tax provision (benefit) | 9,641 | 0 | 12,369 |
Amortization of loss on cash flow hedge, Tax provision (benefit) | 304 | 438 | 450 |
Amortization of prior service cost and deferred gains/losses, related tax provisions | $ 4,280 | $ 9,592 | $ 11,584 |
Consolidated Balance Sheets (Parenthetical) - $ / shares |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Statement of Financial Position [Abstract] | ||
Preferred stock, shares authorized (in shares) | 5,000,000 | |
Preferred stock, par value ($ per share) | $ 1 | $ 1 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, shares authorized (in shares) | 1,800,000,000 | |
Common stock, par value ($ per share) | $ 1 | $ 1 |
Common stock, shares issued (in shares) | 1,217,182,508 | 1,256,018,044 |
Common stock, shares outstanding (in shares) | 1,217,182,508 | 1,256,018,044 |
Basis of Presentation and Summary of Accounting Policies |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Basis of Presentation and Summary of Accounting Policies | Basis of Presentation and Summary of Accounting Policies Basis of Presentation The Consolidated Financial Statements and Notes thereto of The TJX Companies, Inc. (referred to as “TJX,” “we” or “the Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and include the financial statements of all of TJX’s subsidiaries, all of which are wholly owned. All of its activities are conducted by TJX or its subsidiaries and are consolidated in these financial statements. All intercompany transactions have been eliminated in consolidation. Fiscal Year TJX’s fiscal year ends on the Saturday nearest to the last day of January of each year. The fiscal year ended February 2, 2019 (“fiscal 2019”) was a 52-week fiscal year. Fiscal 2018 was a 53-week year and fiscal 2017 was a 52-week fiscal year. Use of Estimates The preparation of TJX’s financial statements, in conformity with GAAP, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. TJX considers its accounting policies relating to inventory valuation, impairment of long-lived assets, goodwill and tradenames, reserves for uncertain tax positions and loss contingencies to be the most significant accounting policies that involve management estimates and judgments. Actual amounts could differ from those estimates, and such differences could be material. Summary of Accounting Policies Revenue Recognition TJX adopted Revenue from Contracts with Customers (referred to as “ASC 606”), on February 4, 2018 (“the adoption date”). The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. TJX adopted the new guidance under the modified retrospective approach which resulted in a $59 million cumulative adjustment to increase retained earnings. The cumulative adjustment primarily related to revenue recognized on the value of unredeemed rewards certificates issued to customers as part of the Company’s U.S. co-branded credit card loyalty program. We now recognize the estimated unredeemed awards when they are earned, rather than when merchandise credits expire or when the likelihood of redemption becomes remote. In addition, online sales are now recognized at the shipping point rather than receipt by the customer. Other changes relate to the presentation of revenue as certain expenses previously presented as a reduction of revenue are now classified as selling, general and administrative expenses (“SG&A”). The new standard required a change in the presentation of our sales return reserve on the balance sheet, which we previously recorded net of the value of returned merchandise and now is presented at gross sales value with an asset established for the value of the merchandise returned. There was no change in the timing or amount of revenue recognized under the new standard as it related to revenue from point of sale at the registers in our stores, which constitutes more than 98% of our revenue. Financial results for fiscal periods after the adoption date are presented under ASC 606 while results from prior periods are not adjusted and continue to be reported under the accounting standards in effect for the prior period. We applied ASC 606 only to contracts that were not completed prior to fiscal 2019. Net Sales Net sales consist primarily of merchandise sales, which are recorded net of a reserve for estimated returns, any discounts and sales taxes, for the sales of merchandise both within our stores and online. Net sales also include an immaterial amount of other revenues that represent less than 1.0% of total revenues, primarily generated from TJX’s co-branded loyalty rewards credit card program offered in the United States only. In addition, certain customers may receive discounts that are accounted for as consideration reducing the transaction price. Merchandise sales from our stores are recognized at the point of sale when TJX provides the merchandise to the customer. The performance obligation is fulfilled at this point when the customer has obtained control by paying for and leaving with the merchandise. Merchandise sales made online are recognized when the product has been shipped, which is when legal title has passed and when TJX is entitled to payment, and the customer has obtained the ability to direct the use of and obtain substantially all of the remaining benefits from the goods. Shipping and handling activities related to online sales occur after the customer obtains control of the goods. TJX’s policy is to treat shipping costs as part of our fulfillment center costs within our operating expenditures. As a result, shipping fee revenues received is recognized when control of the goods transfer to the customer and is recorded as net sales. Shipping and handling costs incurred by TJX are included in cost of sales, including buying and occupancy costs. TJX disaggregates revenue by operating segment, see Note G—Segment Information of Notes to Consolidated Financial Statements. Deferred Gift Card Revenue Proceeds from the sale of gift cards as well as the value of store cards issued to customers as a result of a return or exchange are deferred until the customers use the cards to acquire merchandise, as TJX does not fulfill its performance obligation until the gift card has been redeemed. While gift cards have an indefinite life, substantially all are redeemed in the first year of issuance.
TJX recognized $1.6 billion in gift card revenue for the fiscal period 2019. Gift cards are combined in one homogeneous pool and are not separately identifiable. As such, the revenue recognized consists of gift cards that were part of the deferred revenue balance at the beginning of the period as well as gift cards that were issued during the period. Based on historical experience, we estimate the amount of gift cards and store cards that will not be redeemed (referred to as breakage) and, to the extent allowed by local law, these amounts are amortized into income over the redemption period. Revenue recognized from breakage was $20.6 million in fiscal 2019, $21.1 million in fiscal 2018 and $20.5 million in fiscal 2017. Sales Return Reserve Our products are generally sold with a right of return and we may provide other credits or incentives, which are accounted for as variable consideration when estimating the amount of revenue to recognize. We have elected to apply the portfolio practical expedient. We estimate the variable consideration using the expected value method when calculating the returns reserve because the difference in applying it to the individual contract would not differ materially. Returns are estimated based on historical experience and are required to be established and presented at the gross sales value with an asset established for the estimated value of the merchandise returned separate from the refund liability. Liabilities for return allowances are included in “Accrued expenses and other current liabilities” and the estimated value of the merchandise to be returned is included in “Prepaid expenses and other current assets” on our Consolidated Balance Sheets. Consolidated Statements of Income Classifications Cost of sales, including buying and occupancy costs, includes the cost of merchandise sold including foreign currency gains and losses on merchandise purchases denominated in other currencies; gains and losses on inventory and fuel-related derivative contracts; asset retirement obligation costs; divisional occupancy costs (including real estate taxes, utility and maintenance costs and fixed asset depreciation); the costs of operating distribution centers; payroll, benefits and travel costs directly associated with buying inventory; and systems costs related to the buying and tracking of inventory. Selling, general and administrative expenses include store payroll and benefit costs; communication costs; credit and check expenses; advertising; administrative and field management payroll, benefits and travel costs; corporate administrative costs and depreciation; gains and losses on non-inventory related foreign currency exchange contracts; and other miscellaneous income and expense items. Cash and Cash Equivalents TJX generally considers highly liquid investments with a maturity of 90 days or less at the date of purchase to be cash equivalents. Investments with maturities greater than 90 days but less than one year at the date of purchase are included in short-term investments. These investments are classified as trading securities and are stated at fair value. Investments are classified as either short- or long-term based on their original maturities. TJX’s investments are primarily high-grade commercial paper, institutional money market funds and time deposits with major banks. As of February 2, 2019, TJX’s cash and cash equivalents held outside the U.S. were $1.2 billion, of which $420.6 million was held in countries where TJX has the intention to reinvest any undistributed earnings indefinitely. Merchandise Inventories Inventories are stated at the lower of cost or market. TJX uses the retail method for valuing inventories at all of its businesses, except T.K. Maxx in Australia. The businesses that utilize the retail method have some inventory that is initially valued at cost before the retail method is applied as that inventory has not been fully processed for sale (e.g. inventory in transit and unprocessed inventory in our distribution centers). Under the retail method, TJX utilizes a permanent markdown strategy and lowers the cost value of the inventory that is subject to markdown at the time the retail prices are lowered in the stores. TJX records inventory at the time title transfers, which is typically at the time when inventory is shipped. As a result, merchandise inventories on TJX’s balance sheet include in-transit inventory of $832.1 million at February 2, 2019 and $755.4 million at February 3, 2018. Comparable amounts were reflected in accounts payable at those dates. Common Stock and Equity In fiscal 2019, we completed a two-for-one stock split of the Company’s common stock in the form of a stock dividend. For additional information see Note D - Capital Stock and Earnings Per Share of Notes to Consolidated Financial Statements. Equity transactions consist primarily of the repurchase by TJX of its common stock under its stock repurchase programs and the recognition of compensation expense and issuance of common stock under TJX’s Stock Incentive Plan. Under TJX’s stock repurchase programs, the Company repurchases its common stock on the open market. The par value of the shares repurchased is charged to common stock with the excess of the purchase price over par first charged against any available additional paid-in capital (“APIC”) and the balance charged to retained earnings. Due to the high volume of repurchases over the past several years, TJX has no remaining balance in APIC at the end of any of the years presented. All shares repurchased have been retired. Shares issued under TJX’s Stock Incentive Plan are issued from authorized but unissued shares, and proceeds received are recorded by increasing common stock for the par value of the shares with the excess over par added to APIC. Income tax benefits upon the expensing of options result in the creation of a deferred tax asset, while income tax benefits due to the exercise of stock options reduce deferred tax assets up to the amount that an asset for the related grant has been created. Prior to fiscal 2018, any tax benefits greater than the deferred tax assets created at the time of expensing the options were credited to APIC; any deficiencies in the tax benefits were debited to APIC to the extent a pool for such deficiencies existed. In the absence of a pool, any deficiencies were realized in the related periods’ statements of income through the provision for income taxes. Beginning in fiscal 2018, upon adoption of ASU 2016-9-Compensation-Stock compensation (Topic 718): Improvements to employee share-based payment accounting, any excess tax benefits or deficiencies are included in the provision for income taxes. The par value of performance-based deferred stock awards, performance share units and restricted stock units is added to common stock when shares are delivered following vesting. The par value of performance-based restricted stock awards is added to common stock when the stock is issued, generally at grant date. The fair value of stock awards and units in excess of any par value is added to APIC as the awards are amortized into earnings over the related requisite service periods. Share-Based Compensation TJX accounts for share-based compensation by estimating the fair value of each award on the date of grant. TJX uses the Black-Scholes option pricing model for options awarded and the market price on the grant date for stock awards. See Note H – Stock Incentive Plan of Notes to Consolidated Financial Statements for a detailed discussion of share-based compensation. Interest TJX’s interest expense is presented net of capitalized interest and interest income. The following is a summary of interest expense, net:
TJX capitalizes interest during the active construction period of major capital projects. Capitalized interest is added to the cost of the related assets. Capitalized interest in fiscal 2019, 2018 and 2017 relates to costs on owned real estate projects and development costs on a merchandising system. Depreciation and Amortization For financial reporting purposes, TJX provides for depreciation and amortization of property using the straight-line method over the estimated useful lives of the assets. Buildings are depreciated over 33 years. Leasehold costs and improvements are generally amortized over their useful life or the committed lease term (typically 10 years to 15 years), whichever is shorter. Furniture, fixtures and equipment are depreciated over 3 to 10 years. Depreciation and amortization expense for property was $818.9 million in fiscal 2019, $727.2 million in fiscal 2018 and $664.5 million in fiscal 2017. TJX had no property held under capital leases during fiscal 2019, 2018, or 2017. Maintenance and repairs are charged to expense as incurred. Significant costs incurred for internally developed software are capitalized and amortized over 5 years. Upon retirement or sale, the cost of disposed assets and the related accumulated depreciation are eliminated and any gain or loss is included in income. Pre-opening costs, including rent, are expensed as incurred. Lease Accounting The Company generally leases stores, distribution centers and office space under operating leases. Store lease agreements generally include rent holidays, rent escalation clauses and contingent rent provisions for percentage of sales in excess of specified levels. We recognize rent on a straight-line basis over the term of the lease, including rent holiday periods and scheduled rent increases. We begin recording rent expense when we take possession of a store, which is typically 30 to 60 days prior to the opening of the store and generally occurs before the commencement of the lease term, as specified in the lease. Asset Retirement Obligations The Company establishes an asset retirement obligation, and related asset, for leases of property that require us to return the property to its original condition (commonly referred to as a reinstatement provision) if and when we exit the facility. These reinstatement provisions are primarily applicable to our TJX International locations. The income statement impact of our asset retirement obligation is recorded in general corporate expenses and our operating divisions are charged the actual costs incurred when a retirement takes place. Build-to-Suit Accounting Lease agreements involving property built to our specifications are reviewed to determine if our involvement in the construction project requires that we account for the project costs as if we were the owner for accounting purposes. We have entered into several lease agreements where we are deemed the owner of a construction project for accounting purposes. Thus, during construction of the facility the construction costs incurred by us as the lessor are included as a construction in progress asset along with a related liability of the same amount on our balance sheet. Upon completion of the project, a sale-leaseback analysis is performed to determine if the Company should record a sale to remove the related asset and related obligation and record the lease as either an operating or capital lease obligation. If the Company is precluded from derecognizing the asset when construction is complete, due to continuing involvement beyond a normal leaseback, the lease is accounted for as a financing transaction and the recorded asset and related financing obligation remain on the Consolidated Balance Sheets. Accordingly, the asset is depreciated over its estimated useful life in accordance with the Company’s policy and a portion of the lease payments is allocated to ground rent and treated as an operating lease. The portion of the lease payment allocated to ground rental expense is based on the fair value of the land at the commencement of construction. Lease payments allocated to the non-land asset are recognized as reductions to the financing obligation and interest expense. As disclosed in “Future Adoption of New Accounting Standards,” our accounting for build-to-suit leases will change upon adoption of the new lease accounting standard. Goodwill and Tradenames Goodwill includes the excess of the purchase price paid over the carrying value of the minority interest acquired in fiscal 1990 in TJX’s former 83%-owned subsidiary and represents goodwill associated with the T.J. Maxx chain, as well as the excess of cost over the estimated fair market value of the net assets acquired by TJX in the purchase of Winners in fiscal 1991, the purchase of Sierra Trading Post in fiscal 2013, rebranded as Sierra in fiscal 2019, and the purchase of Trade Secret in fiscal 2016, which was re-branded under the T.K. Maxx name during fiscal 2018. The following is a roll forward of goodwill by component:
Goodwill is considered to have an indefinite life and accordingly is not amortized. In fiscal 2018, the Company recorded an impairment charge of $99.3 million which included $97.3 million of Sierra goodwill and $2.0 million for certain long-lived assets of Sierra as the estimated fair value of this business fell below the carrying value due to a decrease in projected revenue growth rates. The impairment charge is included within the Marmaxx segment results. Tradenames, which are included in other assets, are the value assigned to the name “Marshalls,” acquired by TJX in fiscal 1996 as part of the acquisition of the Marshalls chain, the value assigned to the name “Sierra Trading Post,” acquired by TJX in fiscal 2013 and the value assigned to the name “Trade Secret,” acquired by TJX in fiscal 2016. The tradenames were valued by calculating the discounted present value of assumed after-tax royalty payments. The Marshalls tradename is considered to have an indefinite life and accordingly is not amortized. The Sierra Trading Post tradename is being amortized over 15 years. The Trade Secret tradename is being amortized over 7 years. The following is a roll forward of tradenames.
TJX occasionally acquires or licenses other trademarks to be used in connection with private label merchandise. Such trademarks are included in other assets and are amortized to cost of sales, including buying and occupancy costs, over their useful life, generally from 7 to 10 years. Goodwill, tradenames and trademarks, and the related accumulated amortization or impairment if any, are included in the respective operating segment to which they relate. Impairment of Long-Lived Assets, Goodwill and Tradenames TJX evaluates its long-lived assets, goodwill and tradenames for indicators of impairment at least annually in the fourth quarter of each fiscal year or whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. The evaluation for long-lived assets including tradenames that are amortized, is performed at the lowest level of identifiable cash flows which are largely independent of other groups of assets, generally at the individual store level for fixed assets and the reporting unit for tradenames that are amortized. If indicators of impairment are identified, an undiscounted cash flow analysis is performed to determine if the carrying value of the asset or asset group is recoverable. If the cash flow is less than the carrying value then an impairment charge will be recorded to the extent the fair value of an asset or asset group is less than the carrying value of that asset or asset group. This analysis resulted in immaterial impairment charges of store fixed assets in fiscal 2019 and fiscal 2018. The store-by-store evaluations did not indicate any recoverability issues in fiscal 2017. Goodwill and tradenames with an indefinite life are tested for impairment whenever events or changes in circumstances indicate that an impairment may have occurred and at least annually in the fourth quarter of each fiscal year. The carrying value of tradenames with an indefinite life is compared to its fair value determined by calculating the discounted present value of assumed after-tax royalty payments to the carrying value of the tradename. There was no impairment related to tradenames in fiscal 2019, 2018 or 2017. Goodwill is tested for impairment by using a quantitative assessment by comparing the carrying value of the related reporting unit to its fair value. An impairment exists when this analysis, using typical valuation models such as the discounted cash flow method, shows that the fair value of the reporting unit is less than the carrying cost of the reporting unit. We may assess qualitative factors to determine if it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. The assessment of qualitative factors is optional and at the Company’s discretion. In fiscal 2019 and fiscal 2018, we bypassed the qualitative assessment and performed the first step of the quantitative goodwill impairment test. In fiscal 2018 the Company recorded an impairment charge of $97.3 million for Sierra goodwill as the estimated fair value of this business fell below the carrying value due to a decrease in projected revenue growth rates. There were no impairments related to our goodwill in fiscal 2019 or 2017. Advertising Costs TJX expenses advertising costs as incurred. Advertising expense was $446.3 million for fiscal 2019, $412.4 million for fiscal 2018 and $402.6 million for fiscal 2017. Foreign Currency Translation TJX’s foreign assets and liabilities are translated into U.S. dollars at fiscal year-end exchange rates with resulting translation gains and losses included in shareholders’ equity as a component of accumulated other comprehensive (loss) income. Activity of the foreign operations that affect the statements of income and cash flows is translated at average exchange rates prevailing during the fiscal year. Loss Contingencies TJX records a reserve for loss contingencies when it is both probable that a loss will be incurred and the amount of the loss is reasonably estimable. TJX evaluates pending litigation and other contingencies at least quarterly and adjusts the reserve for such contingencies for changes in probable and reasonably estimable losses. TJX includes an estimate for related legal costs at the time such costs are both probable and reasonably estimable. Future Adoption of New Accounting Standards From time to time, the Financial Accounting Standards Board (“FASB”) or other standard setting bodies issue new accounting pronouncements. Updates to the FASB Accounting Standards Codification are communicated through issuance of an Accounting Standards Update (“ASU”). Unless otherwise discussed, we have reviewed the guidance and have determined that they will not apply or are not expected to be material to our Consolidated Financial Statements upon adoption and therefore, are not disclosed. Leases In February 2016, the Financial Accounting Standards Board issued updated guidance on leases to increase transparency and comparability among organizations by requiring lessees to recognize right of use assets and lease liabilities on the balance sheet and requiring disclosure of key information about leasing arrangements. The new standard is effective for annual periods beginning after December 15, 2018, and interim periods within those annual periods; early adoption is permitted. In July 2018, the FASB issued ASU 2018-11, Leases (Topic 842): Targeted Improvements, which allows entities to apply the transition requirements at the effective date rather than at the beginning of the earliest comparative period presented as previously required. The effect of initially applying the standard can be recognized as a cumulative-effect adjustment to retained earnings in the period of adoption and an entity’s reporting for the comparative periods presented in the year of adoption would continue to be in accordance with ASC 840, Leases (Topic 840) (“ASC 840”), including the disclosure requirements of ASC 840. If the new transition method in ASU 2018-11 is not elected, the new standard must be adopted using a modified retrospective transition and requires application of the new guidance for leases that exist or are entered into after the beginning of the earliest comparative period presented. We will adopt this standard on February 3, 2019 using the optional transition method under ASU 2018-11. The Company implemented a new lease accounting system and evaluated our lease portfolio to assess the impact this standard will have on our Consolidated Financial Statements and Notes thereto. The Company has determined that the initial lease term will not differ under the new standard versus current accounting practice, and therefore the income statement impact of the new standard will not be material. Any impact to the income statement will be the result of the timing of expense recognition and will not be incremental over the term of the lease. For example, under ASC 842 certain initial direct costs will no longer be capitalized and amortized over the lease term and will be expensed as incurred. In addition, in certain instances, the cost of our renewal options may be recognized earlier in the life of the lease than under the existing lease accounting rules. On adoption of this standard we will recognize an operating lease liability of approximately $9 billion on our statement of financial condition as of February 3, 2019 with corresponding right of use assets based on the present value of the remaining minimum rental payments associated with our more than 4,300 leased locations. This impact includes the derecognition of build-to-suit lease assets and liabilities when we do not control the building during the construction period. We do not believe the new standard will have a notable impact on our liquidity and we do not believe it will have an impact on our debt-covenant compliance under our current agreements. We will implement the transition package of three practical expedients permitted within the standard, which among other things, allows for the carryforward of historical lease classifications. As our leases do not provide an implicit rate, nor is one readily available, we will use our incremental borrowing rate based on information available at commencement date to determine the present value of future payments. Income Statement - Reporting Comprehensive Income In February 2018, the FASB issued updated guidance related to reporting comprehensive income. The amendments in the update allow for a one-time reclassification from accumulated other comprehensive income (“AOCI”) to retained earnings for stranded tax effect as a result from the enactment of the Tax Cuts and Jobs Act of 2017 (“2017 Tax Act”). The updated guidance is effective for all entities for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted, including adoption in any interim period for reporting periods for which financial statements have not yet been issued. The updated guidance should be applied either in the period of adoption or retrospectively to each period (or periods) in which the effect of the change in the 2017 Tax Act is recognized. The Company will adopt the standard in the first quarter of fiscal 2020 and plans on electing not to reclassify the stranded tax effects as of result of the 2017 Tax Act to retained earnings. The Company is still evaluating the impact of the adoption on its consolidated disclosures. Intangibles-Goodwill and Other-Internal-Use Software In August 2018, the FASB issued guidance related to accounting for implementation costs incurred in a cloud computing arrangement that is a service contract. The standard allows entities who are customers in hosting arrangements that are service contracts to apply the existing internal-use software guidance to determine which implementation costs to capitalize as an asset related to the service contract and which costs to expense. The guidance specifies classification for capitalizing implementation costs and related amortization expense within the financial statements and requires additional disclosures. The guidance will be effective for annual reporting periods, including interim reporting within those periods, beginning after December 15, 2019. Early adoption is permitted and can be applied either retrospectively or prospectively. The Company is currently evaluating the transition methods and the impact of the adoption of this standard on its consolidated financial statements. Recently Adopted Accounting Standards Revenue Recognition See Revenue Recognition in this Note A for the impact upon adoption. Cash Flows In the first quarter of fiscal 2019, TJX adopted a pronouncement that addresses differences in the way certain cash receipts and cash payments are presented in the statement of cash flows. The new guidance provides clarity around the cash flow classification for eight specific issues in an effort to reduce the current and potential future differences in practice. The standard did not have a material impact on our consolidated statements of cash flows. Retirement Benefits In the first quarter of fiscal 2019, TJX adopted a pronouncement related to retirement benefits, which requires that an employer report the service cost component of net periodic pension and net periodic post retirement cost in the same line item as other compensation costs arising from services rendered by the employees during the period. It also requires the other components of net periodic pension and net periodic postretirement benefit cost to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations, if such a subtotal is presented. The amendments in this update were applied retrospectively for the presentation of the service cost component and the other components of net periodic pension cost and net periodic postretirement benefit cost in the income statement. The impact to prior periods was immaterial. As a result of the adoption, for all periods presented, service costs are recorded in the same line items as other compensation costs and non-service costs are recorded in SG&A in our income statement. Income Taxes In the first quarter of fiscal 2019, TJX adopted Income Taxes (Topic 740): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118, which provides guidance on accounting for the tax effects of the 2017 Tax Act. This guidance allows a company to record a provisional amount when it does not have the necessary information available, prepared, or analyzed in reasonable detail to complete its accounting for the change in the tax law during the measurement period. The measurement period ends when the company has obtained, prepared, and analyzed the information necessary to finalize its accounting, but cannot extend beyond one year. We completed our analysis in the fourth quarter of fiscal 2019 and determined there is no material adjustment to the income tax expense. Compensation Retirement Defined Benefit Plans Disclosure Framework In the fourth quarter of fiscal 2019, TJX early adopted Compensation - Retirement Benefits - Defined Benefit Plans (Subtopic 715-20): Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans, which this new pronouncement removes certain disclosures that are not considered cost beneficial, clarifies certain required disclosures and requires certain additional disclosures. Adopting the pronouncement did not result in any change to TJX disclosures. |
Property at Cost |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property, Plant and Equipment [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property at Cost | Property at Cost Presented below are the components of property at cost:
Presented below is information related to carrying values of TJX’s long-lived assets by geographic location:
|
Accumulated Other Comprehensive (Loss) Income |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive (Loss) Income | Accumulated Other Comprehensive (Loss) Income Amounts included in accumulated other comprehensive (loss) income relate to the Company’s foreign currency translation adjustments, deferred gains/losses on pension and other post-retirement obligations and a cash flow hedge on issued debt, all of which are recorded net of the related income tax effects. The following table details the changes in accumulated other comprehensive (loss) income for fiscal 2019, fiscal 2018 and fiscal 2017:
|
Capital Stock and Earnings Per Share |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Capital Stock and Earnings Per Share | Capital Stock and Earnings Per Share Capital Stock In fiscal 2019, we completed a two-for-one stock split of the Company’s common stock in the form of a stock dividend. One additional share was paid for each share held by holders of record as of the close of business on October 30, 2018. The shares were distributed on November 6, 2018 and resulted in the issuance of 617 million shares of common stock. In connection with our stock split, the shareholders approved an increase in the number of authorized shares of common stock of 0.6 billion to 1.8 billion shares. As a result, the Consolidated Balance Sheets and the Consolidated Statements of Shareholders' Equity have been adjusted to retroactively present the two-for-one stock split. In addition, all historical per share amounts and references to common stock activity, as well as basic and diluted share amounts utilized in the calculation of earnings per share in these notes to the consolidated financial statements, have been adjusted to reflect this stock split. TJX repurchased and retired 51.8 million shares of its common stock at a cost of $2.5 billion during fiscal 2019, on a “trade date basis.” TJX reflects stock repurchases in its financial statements on a “settlement date” or cash basis. TJX had cash expenditures under repurchase programs of $2.4 billion in fiscal 2019, $1.6 billion in fiscal 2018 and $1.7 billion in fiscal 2017, and repurchased 50.8 million shares in fiscal 2019, 44.4 million shares in fiscal 2018 and 44.6 million shares in fiscal 2017. These expenditures were funded primarily by cash generated from operations. As of February 2, 2019 TJX had approximately $1.7 billion available under previously announced stock repurchase programs. In February 2019, our Board of Directors approved the repurchase of an additional $1.5 billion of TJX common stock from time to time. All shares repurchased under the stock repurchase programs have been retired. TJX has five million shares of authorized but unissued preferred stock, $1 par value. Earnings Per Share The following table presents the calculation of basic and diluted earnings per share for net income:
The weighted average common shares for the diluted earnings per share calculation exclude the impact of outstanding stock options if the assumed proceeds per share of the option is in excess of the average price of TJX’s common stock for the related fiscal periods. Such options are excluded because they would have an antidilutive effect. There were 6.1 million, 24.9 million and 16.3 million such options excluded at the end of fiscal 2019, fiscal 2018 and fiscal 2017, respectively. |
Financial Instruments |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financial Instruments | Financial Instruments As a result of its operating and financing activities, TJX is exposed to market risks from changes in interest and foreign currency exchange rates and fuel costs. These market risks may adversely affect TJX’s operating results and financial position. TJX seeks to minimize risk from changes in interest and foreign currency exchange rates and fuel costs through the use of derivative financial instruments when and to the extent deemed appropriate. TJX does not use derivative financial instruments for trading or other speculative purposes and does not use any leveraged derivative financial instruments. TJX recognizes all derivative instruments as either assets or liabilities in the statements of financial position and measures those instruments at fair value. The fair values of the derivatives are classified as assets or liabilities, current or non-current, based upon valuation results and settlement dates of the individual contracts. Changes to the fair value of derivative contracts that do not qualify for hedge accounting are reported in earnings in the period of the change. For derivatives that qualify for hedge accounting, changes in the fair value of the derivatives are either recorded in shareholders’ equity as a component of other comprehensive income or are recognized currently in earnings, along with an offsetting adjustment against the basis of the item being hedged. Diesel Fuel Contracts TJX hedges portions of its estimated notional diesel requirements based on the diesel fuel expected to be consumed by independent freight carriers transporting TJX’s inventory. Independent freight carriers transporting TJX’s inventory charge TJX a mileage surcharge based on the price of diesel fuel. The hedge agreements are designed to mitigate the volatility of diesel fuel pricing (and the resulting per mile surcharges payable by TJX) by setting a fixed price per gallon for the period being hedged. During fiscal 2019, TJX entered into agreements to hedge a portion of its estimated notional diesel requirements for fiscal 2020. The hedge agreements outstanding at February 2, 2019 relate to approximately 50% of TJX’s estimated notional diesel requirements for fiscal 2020. These diesel fuel hedge agreements will settle throughout fiscal 2020 and the first month of fiscal 2021. TJX elected not to apply hedge accounting rules to these contracts. Foreign Currency Contracts TJX enters into forward foreign currency exchange contracts to obtain economic hedges on portions of merchandise purchases made and anticipated to be made by the Company’s operations in currencies other than their respective functional currencies, primarily in TJX International and TJX Canada. These contracts typically have a term of twelve months or less. The contracts outstanding at February 2, 2019 cover a portion of such actual and anticipated merchandise purchases throughout fiscal 2020. Additionally, TJX’s operations in Europe are subject to foreign currency exposure as a result of their buying function being centralized in the United Kingdom. All merchandise is purchased centrally in the U.K. and then shipped and billed to the retail entities in other countries. This intercompany billing to TJX’s European businesses’ Euro denominated operations creates exposure to the buying entity for changes in the exchange rate between the Euro and British Pound. The inflow of Euros to the central buying entity provides a natural hedge for merchandise purchased from third-party vendors that is denominated in Euros. However, with the growth of TJX’s Euro denominated retail operations, the intercompany billings committed to the Euro denominated operations is generating Euros in excess of those needed to meet merchandise commitments to outside vendors. TJX calculates this excess Euro exposure each month and enters into forward contracts of approximately 30 days duration to mitigate the exposure. TJX elected not to apply hedge accounting rules to these contracts. TJX also enters into derivative contracts, generally designated as fair value hedges, to hedge intercompany debt and intercompany interest payable. The changes in fair value of these contracts are recorded in selling, general and administrative expenses and are offset by marking the underlying item to fair value in the same period. Upon settlement, the realized gains and losses on these contracts are offset by the realized gains and losses of the underlying item in selling, general and administrative expenses. TJX periodically reviews its net investments in foreign subsidiaries. During the fiscal quarter ended May 5, 2018, TJX entered into net investment hedge contracts related to a portion of its investment in TJX Canada. During the fiscal quarter ended August 4, 2018, TJX de-designated the net investment hedge contracts. The remaining life of the foreign currency contracts provided a natural hedge to the declared cash dividend from TJX Canada. The contracts settled during the second quarter of fiscal 2019 resulting in a pre-tax gain of $27 million while designated as a net investment hedge and subsequent to de-designation, a pre-tax gain of $19 million. The $27 million gain is reflected in shareholders equity as a component of other comprehensive income. The $19 million gain subsequent to de-designation is reflected in the income statement offsetting a foreign currency loss of $18 million on the declared dividends. The following is a summary of TJX’s derivative financial instruments, related fair value and balance sheet classification at February 2, 2019:
The following is a summary of TJX’s derivative financial instruments, related fair value and balance sheet classification at February 3, 2018:
The impact of derivative financial instruments on the statements of income during fiscal 2019, fiscal 2018 and fiscal 2017 are as follows:
Included in the table above are a realized gain of $73.8 million in fiscal 2019, and losses of $30.5 million in fiscal 2018 and $6.1 million in fiscal 2017, all of which were largely offset by gains and losses on the underlying hedged item. |
Fair Value Measurements |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date or “exit price.” The inputs used to measure fair value are generally classified into the following hierarchy:
The following table sets forth TJX’s financial assets and liabilities that are accounted for at fair value on a recurring basis:
Investments designed to meet obligations under the Executive Savings Plan are invested in registered investment companies traded in active markets and are recorded at unadjusted quoted prices. Short-term investments, foreign currency exchange contracts and diesel fuel contracts are valued using broker quotations, which include observable market information. TJX’s investments are primarily high-grade commercial paper, institutional money market funds and time deposits with major banks. TJX does not make adjustments to quotes or prices obtained from brokers or pricing services but does assess the credit risk of counterparties and will adjust final valuations when appropriate. Where independent pricing services provide fair values, TJX obtains an understanding of the methods used in pricing. As such, these instruments are classified within Level 2. The fair value of TJX’s general corporate debt was estimated by obtaining market quotes given the trading levels of other bonds of the same general issuer type and market perceived credit quality. These inputs are considered to be Level 2. The fair value of long-term debt at February 2, 2019 was $2.17 billion compared to a carrying value of $2.23 billion. The fair value of long-term debt at February 3, 2018 was $2.16 billion compared to a carrying value of $2.23 billion. These estimates do not necessarily reflect provisions or restrictions in the various debt agreements that might affect TJX’s ability to settle these obligations. TJX’s cash equivalents are stated at cost, which approximates fair value due to the short maturities of these instruments. |
Segment Information |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Information | Segment Information TJX operates four main business segments. The Marmaxx segment (T.J. Maxx, Marshalls and tjmaxx.com) and the HomeGoods segment (HomeGoods and Homesense) both operate in the United States, the TJX Canada segment operates Winners, HomeSense and Marshalls in Canada, and the TJX International segment operates T.K. Maxx, Homesense and tkmaxx.com in Europe and T.K. Maxx in Australia. In addition to our four main business segments, Sierra operates sierra.com and retail stores in the U.S. The results of Sierra are included in the Marmaxx segment. All of TJX’s stores, with the exception of HomeGoods and HomeSense, sell family apparel and home fashions. HomeGoods and HomeSense offer home fashions. The percentages of our consolidated revenues by major product category for the last three fiscal years are as follows:
TJX evaluates the performance of its segments based on “segment profit or loss,” which it defines as pre-tax income or loss before general corporate expense, loss on early extinguishment of debt, pension settlement charge and interest expense, net. “Segment profit or loss,” as defined by TJX, may not be comparable to similarly titled measures used by other entities. These measures of performance should not be considered alternatives to net income or cash flows from operating activities as an indicator of TJX’s performance or as a measure of liquidity. Presented below is financial information with respect to TJX’s business segments:
Business segment information (continued):
|
Stock Incentive Plan |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock Incentive Plan | Stock Incentive Plan TJX has a Stock Incentive Plan under which options and other share-based awards may be granted to its directors, officers and key employees. This plan has been approved by TJX’s shareholders, and all share-based compensation awards are made under this plan. The Stock Incentive Plan, as amended with shareholder approval, has provided for the issuance of up to 695.7 million shares with 46.3 million shares available for future grants as of February 2, 2019. TJX issues shares under the plan from authorized but unissued common stock. All share amounts and per share data presented have been adjusted to reflect the two-for-one stock split completed on November 6, 2018. Total compensation cost related to share-based compensation was $103.6 million, $101.4 million and $102.3 million in fiscal 2019, 2018 and 2017, respectively. As of February 2, 2019, there was $146.5 million of total unrecognized compensation cost related to nonvested share-based compensation arrangements granted under the plan. That cost is expected to be recognized over a weighted-average period of 2 years. Stock Options Options for the purchase of common stock are granted with an exercise price that is 100% of market price on the grant date, generally vest in thirds over a 3-year period starting 1 year after the grant, and have a 10-year maximum term. When options are granted with other vesting terms, the vesting information is reflected in the valuation. The fair value of options is estimated as of the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions:
The risk-free interest rate is for periods within the contractual life of the option based on the U.S. Treasury yield curve in effect at the time of grant. We use historical data to estimate option exercises, employee termination behavior and dividend yield within the valuation model. Expected volatility is based on a combination of implied volatility from traded options on our stock, and historical volatility during a term approximating the expected life of the option granted. The expected option life represents an estimate of the period of time options are expected to remain outstanding based upon historical exercise trends. Employee groups and option characteristics are considered separately for valuation purposes when applicable. A summary of the status of TJX’s stock options and related weighted average exercise prices (“WAEP”) is presented below:
The total intrinsic value of options exercised was $284.4 million in fiscal 2019, $176.7 million in fiscal 2018 and $239.7 million in fiscal 2017. The following table summarizes information about stock options outstanding that were expected to vest and stock options outstanding that were exercisable as of February 2, 2019:
Stock Awards TJX granted restricted stock units and performance share units under the Stock Incentive Plan during fiscal 2019. Restricted stock units, performance share units, and previously-granted performance-based stock awards are collectively referred to as stock awards. These awards were granted without a purchase price to the recipient and are subject to vesting conditions. Vesting conditions for performance share units and performance-based stock awards include specified performance criteria, generally for a period of three fiscal years. The grant date fair value of the stock awards is charged to income over the requisite service period during which the recipient must remain employed. The fair value of the stock awards is determined at date of grant in accordance with ASC Topic 718 and, for performance share units and performance-based stock awards, assumes that performance goals will be achieved at target. Performance share units, performance-based stock awards and related compensation costs recognized are adjusted, as applicable, for performance above or below the target specified in the award. A summary of the status of our nonvested stock awards and changes during fiscal 2019 is presented below:
There were 1,267,802 shares of restricted stock unit and performance share unit awards, with a weighted average grant date fair value of $41.17, granted in fiscal 2019, 1,124,012 shares of performance-based stock awards, with a weighted average grant date fair value of $38.36, granted in fiscal 2018, and 1,027,146 shares of performance-based stock awards, with a weighted average grant date fair value of $39.25, granted in fiscal 2017. The fair value of performance-based stock awards that vested was $30.1 million in fiscal 2019, $35.2 million in fiscal 2018, and $38.5 million in fiscal 2017. Other Awards TJX also awards deferred shares to its outside directors under the Stock Incentive Plan. As of the end of fiscal 2019, a total of 607,552 of these deferred shares were outstanding under the plan. |
Pension Plans and Other Retirement Benefits |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retirement Benefits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pension Plans and Other Retirement Benefits | Pension Plans and Other Retirement Benefits Pension TJX has a funded defined benefit retirement plan that covers eligible U.S. employees hired prior to February 1, 2006. No employee contributions are required, or permitted, and benefits are based principally on compensation earned in each year of service. TJX’s funded defined benefit retirement plan assets are invested in domestic and international equity and fixed income securities, both directly and through investment funds. The plan does not invest in TJX securities. TJX also has an unfunded supplemental retirement plan that covers certain key employees and provides additional retirement benefits based on final average compensation for certain of those employees (the “primary benefit”) or, alternatively, based on benefits that would be provided under the funded retirement plan absent Internal Revenue Code limitations (the “alternative benefit”). Presented below is financial information relating to TJX’s funded defined benefit pension plan (“qualified pension plan” or “funded plan”) and its unfunded supplemental pension plan (“unfunded plan”) for the fiscal years indicated. The Company has elected the practical expedient pursuant to ASU 2015-4– Compensation-retirement benefits (Topic 715) and has selected the measurement date of January 31, the calendar month end closest to the Company’s fiscal year end.
The Consolidated Balance Sheets reflect the funded status of the plans with any unrecognized prior service cost and actuarial gains and losses recorded in accumulated other comprehensive income (loss). The combined net accrued liability of $72.6 million at February 2, 2019 is reflected on the balance sheet as of that date as a current liability of $4.7 million, a long-term liability of $92.1 million, and a long-term asset of $24.2 million. The combined net accrued liability of $77.6 at February 3, 2018 is reflected on the balance sheet as of that date as a current liability of $2.4 million, a long-term liability of $88.6 million, and a long-term asset of $13.4 million. The estimated prior service cost that will be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost in fiscal 2020 for the funded plan is $0.4 million. The estimated net actuarial loss that will be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost in fiscal 2020 is $17.7 million for the funded plan and $3.7 million for the unfunded plan. TJX determined the assumed discount rate using the BOND: Link model in fiscal 2019 and fiscal 2018. TJX uses the BOND: Link model as this model allows for the selection of specific bonds resulting in better matches in timing of the plans’ expected cash flows. Presented below are weighted average assumptions for measurement purposes for determining the obligation at the year-end measurement date:
TJX made aggregate cash contributions of $106.2 million in fiscal 2019, $105.0 million in fiscal 2018 and $54.6 million in fiscal 2017 to the funded plan and to fund current benefit and expense payments under the unfunded plan. TJX’s policy with respect to the funded plan is to fund, at a minimum, the amount required to maintain a funded status of 80% of the applicable pension liability (the Funding Target pursuant to the Internal Revenue Code section 430) or such other amount as is sufficient to avoid restrictions with respect to the funding of nonqualified plans under the Internal Revenue Code. We do not anticipate any required funding in fiscal 2020 for the funded plan. We anticipate making contributions of $4.8 million to provide current benefits coming due under the unfunded plan in fiscal 2020. The following are the components of net periodic benefit cost and other amounts recognized in other comprehensive income (loss) related to our pension plans:
During the third quarter of fiscal 2019, TJX annuitized and transferred current pension obligations for certain U.S. retirees and beneficiaries under the funded plan through the purchase of a group annuity contract with an insurance company. TJX transferred $207.4 million of pension plan assets to the insurance company, thereby reducing its pension benefit obligations. The transaction had no cash impact on TJX but did result in a non-cash pre-tax pension settlement charge of $36.1 million, which is reported separately on the Consolidated Statements of Income. As a result of the annuity purchase the Company re-measured the funded status of its pension plan as of September 30, 2018. The assumptions for pension expense presented above includes a discount rate of 4.00% through the measurement date and 4.40% thereafter. The expected rate of return on plan assets is 6.00% through the measurement date and 6.00% thereafter. The discount rate for determining the obligation at the measurement date is 4.40%. During the third quarter of fiscal 2017, TJX offered eligible former TJX Associates, who had not yet commenced receiving their pension benefit, an opportunity to receive a lump sum payout of their vested pension benefit. On October 21, 2016, the Company’s pension plan paid $103.2 million from pension plan assets to those who accepted this offer, thereby reducing its pension benefit obligations. The transaction had no cash impact on TJX but did result in a non-cash pre-tax pension settlement charge of $31.2 million, which is reported separately on the Consolidated Statements of Income. As a result of the lump sum payout the Company re-measured the funded status of its pension plan as of September 30, 2016. The assumptions for pension expense presented above includes a discount rate of 4.80% through the measurement date and 3.80% thereafter. The expected rate of return on plan assets is 6.50% through the measurement date and 6.00% thereafter. The rate of compensation increase presented for the unfunded plan (for measurement purposes and expense purposes) is the rate assumed for participants eligible for the primary benefit. The assumed rate of compensation increase for participants eligible for the alternative benefit under the unfunded plan is the same rate as assumed for the funded plan. TJX develops its long-term rate of return assumption by evaluating input from professional advisors taking into account the asset allocation of the portfolio and long-term asset class return expectations, as well as long-term inflation assumptions. The unrecognized gains and losses in excess of 10% of the projected benefit obligation are amortized over the average remaining service life of participants. The following is a schedule of the benefits expected to be paid in each of the next five fiscal years and in the aggregate for the five fiscal years thereafter:
The following table presents the fair value hierarchy (See Note F – Fair Value Measurements of Notes to Consolidated Financial Statements) for pension assets measured at fair value on a recurring basis as of February 2, 2019 and February 3, 2018:
Pension plan assets are reported at fair value. Investments in equity securities traded on a national securities exchange are valued at the composite close price, as reported in the Wall Street Journal, as of the financial statement date. This information is provided by the independent pricing sources. Short-term investments are primarily cash related to funding of the plan which had yet to be invested as of balance sheet dates. Certain corporate and government bonds are valued at the closing price reported in the active market in which the bond is traded. Other bonds are valued based on yields currently available on comparable securities of issuers with similar credit ratings. When quoted prices are not available for identical or similar bonds, the bond is valued under a discounted cash flow approach that maximizes observable inputs, such as current yields of similar instruments, but includes adjustments for certain risks that may not be observable, such as credit and liquidity risks. All bonds are priced by independent pricing sources. Assets measured at net asset value include investments in limited partnerships which are stated at the fair value of the plan’s partnership interest based on information supplied by the partnerships as compared to financial statements of the limited partnership or other fair value information as determined by management. Cash equivalents or short-term investments are stated at cost which approximates fair value, and the fair value of common/collective trusts is determined based on net asset value as reported by their fund managers. The following is a summary of TJX’s target allocation guidelines for qualified pension plan assets as of February 2, 2019 along with the actual allocation of qualified pension plan assets as of the valuation date for the fiscal years presented:
Under TJX’s investment policy, plan assets are to be invested with the objective of generating investment returns that, in combination with funding contributions, provide adequate assets to meet all current and reasonably anticipated future benefit obligations under the plan. The investment policy includes a dynamic asset allocation strategy, whereby, over time, in connection with any improvements in the plan’s funded status, the target allocation of return-seeking assets (generally, equities and other instruments with similar risk profile) may decline and the target allocation of liability-hedging assets (generally, fixed income and other instruments with a similar risk profile) may increase. Risks are sought to be mitigated through asset diversification and the use of multiple investment managers. Investment risk is measured and monitored on an ongoing basis through quarterly investment portfolio reviews, annual liability measurements and periodic asset/liability studies. Other Retirement Benefits TJX also sponsors an employee savings plan under Section 401(k) of the Internal Revenue Code for all eligible U.S. employees and a similar type of plan for eligible employees in Puerto Rico. Employees may contribute up to 50% of eligible pay, subject to limitations. TJX matches employee contributions, up to 5% of eligible pay, including a basic match at rates of 25% or 75% (based upon date of hire and other eligibility criteria) plus a discretionary match, generally up to 25%, based on TJX’s performance. TJX may also make additional discretionary contributions. Eligible employees are automatically enrolled in the U.S. plan at a 2% deferral rate, unless the employee elects otherwise. The total cost to TJX for these plans was $60.8 million in fiscal 2019, $54.5 million in fiscal 2018 and $45.6 million in fiscal 2017. The plans previously included a TJX stock fund in which participants could invest a portion of TJX’s matching contribution. The TJX stock fund was closed to new investments, other than reinvestment of dividends, at the end of calendar 2015 and was eliminated from the plans during fiscal 2019. The TJX stock fund represented 3.9% of plan assets at December 31, 2017. TJX also has a nonqualified savings plan (the Executive Savings Plan) for certain U.S. employees. TJX matches employee deferrals at various rates which amounted to $6.0 million in fiscal 2019, $6.3 million in fiscal 2018 and $5.8 million in fiscal 2017. Although the plan is unfunded, in order to help meet its future obligations TJX transfers an amount generally equal to employee deferrals and the related company match to a separate “rabbi” trust. The trust assets, which are invested in a variety of mutual funds, are included in other assets on the balance sheets. In addition to the plans described above, TJX also contributes to retirement/deferred savings plans for eligible Associates at certain of its foreign subsidiaries. We contributed $15.3 million for these plans in fiscal 2019, $12.6 million for these plans in fiscal 2018 and $10.2 million in fiscal 2017. Multiemployer Pension Plans TJX contributes to certain multiemployer defined benefit pension plans under the terms of collective-bargaining agreements that cover union-represented employees. TJX contributed $18.5 million in fiscal 2019, $16.3 million in fiscal 2018 and $14.5 million in fiscal 2017 to the Legacy Plan of the National Retirement Fund (EIN #13-6130178, plan #1), the Adjustable Plan of the National Retirement Fund (EIN #13-6130178, plan #2), and their respective successor funds described below. TJX was listed in the Form 5500 for the Legacy Plan of the National Retirement Fund and the Adjustable Plan of the National Retirement Fund as providing more than 5% of the total contributions for the plan year ending December 31, 2017. Based on information available to TJX, effective January 1, 2018 a portion of each of the Legacy Plan of the National Retirement Fund and the Adjustable Plan of the National Retirement Fund was transferred to the Legacy Plan of the UNITE HERE Retirement Fund (EIN #82-0994119, plan #1) and the Adjustable Plan of the UNITE HERE Retirement Fund (EIN #82-0994119, plan #2), respectively, two newly established multiemployer defined benefit pension plans. In addition, based on information available to TJX, the Pension Protection Act Zone Status for each of the Legacy Plan of the National Retirement Fund and the Legacy Plan of the UNITE HERE Retirement Fund is Critical and rehabilitation plans have been implemented. The risks of participating in multiemployer pension plans are different from the risks of single-employer pension plans in certain respects, including the following: (a) assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers; (b) if a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers; (c) if we cease to have an obligation to contribute to a multiemployer plan in which we had been a contributing employer, or in certain other circumstances, we may be required to pay to the plan an amount based on our allocable share of the underfunded status of the plan, referred to as a withdrawal liability. |
Long-Term Debt and Credit Lines |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Long-Term Debt and Credit Lines | Long-Term Debt and Credit Lines The table below presents long-term debt, exclusive of current installments, as of February 2, 2019 and February 3, 2018. All amounts are net of unamortized debt discounts.
The aggregate maturities of long-term debt, inclusive of current installments at February 2, 2019 are as follows:
On September 12, 2016, TJX issued $1.0 billion aggregate principal amount of 2.25% ten-year notes due September 2026. TJX entered into a rate-lock agreement to hedge $700 million of the 2.25% notes. The cost of these agreements are being amortized to interest expense over the term of the notes resulting in an effective fixed rate of 2.36%. On October 12, 2016, TJX used a portion of the proceeds from the 2.25% ten-year notes to redeem all outstanding 6.95% ten-year notes and recorded a pre-tax loss on the early extinguishment of debt of $51.8 million, which includes $50.6 million of redemption premium and $1.2 million to write off unamortized debt expenses and discount. At February 2, 2019, TJX also had outstanding $500 million aggregate principal amount of 2.50% ten-year notes due May 2023 and $750 million aggregate principal amount of 2.75% seven-year notes due June 2021. TJX entered into rate-lock agreements to hedge the underlying treasury rate of $250 million of the 2.50% notes. The costs of these agreements are being amortized to interest expense over the term of the respective notes, resulting in an effective fixed interest rate of 2.57% for the 2.50% notes. TJX also entered into rate-lock agreements to hedge the underlying treasury rate of all of the 2.75% notes prior to their issuance. The agreements were accounted for as cash flow hedges and the pre-tax realized loss of $7.9 million was recorded as a component of other comprehensive income and is being amortized to interest expense over the term of the notes, resulting in an effective fixed interest rate of 2.91%. At February 2, 2019, TJX had two $500 million revolving credit facilities, one which matures in March 2020 and one which matures in March 2022. The $500 million revolving credit facilities maturing in March 2020 and March 2022 were also outstanding at February 3, 2018. In March 2017, the maturity of the $500 million revolving credit facility scheduled to mature in March 2021 was extended to March 2022. No other terms of the facility were modified at that time. The terms and covenants under the revolving credit facilities require quarterly payments of 6.0 basis points per annum on the committed amounts for both agreements. This rate is based on the credit ratings of TJX’s long-term debt and will vary with specified changes in the credit ratings. These agreements have no compensating balance requirements and have various covenants. Each of these facilities require TJX to maintain a ratio of funded debt and four-times consolidated rentals to consolidated earnings before interest, taxes, consolidated rentals, depreciation and amortization (EBITDAR) of not more than 2.75 to 1.00 on a rolling four-quarter basis. TJX was in compliance with all covenants related to its credit facilities at the end of all periods presented. As of February 2, 2019 and February 3, 2018, and during the years then ended, there were no amounts outstanding under these facilities. As of February 2, 2019 and February 3, 2018, TJX Canada had two uncommitted credit lines, a C$10 million facility for operating expenses and a C$10 million letter of credit facility. As of February 2, 2019 and February 3, 2018, and during the years then ended, there were no amounts outstanding on the Canadian credit line for operating expenses. As of February 2, 2019 and February 3, 2018, our European business at TJX International had an uncommitted credit line of £5 million. As of February 2, 2019 and February 3, 2018, and during the years then ended, there were no amounts outstanding on the European credit line. |
Income Taxes |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Taxes | Income Taxes The 2017 Tax Act made broad and complex changes to the U.S. tax code which had a significant impact on our fiscal 2018 and fiscal 2019 tax expense, including reducing the U.S. federal corporate tax rate from 35% to 21%, expanded rules regarding expensing of fixed assets, and required one-time transition tax on certain undistributed earnings of foreign subsidiaries. Other provisions that became effective in Fiscal 2019 impacting income taxes include: an exemption from U.S. tax on dividends of future foreign earnings, expanded limitations on executive compensation, a minimum tax on certain foreign earnings in excess of 10% of the foreign subsidiaries tangible assets (i.e. global intangible low-taxed income or “GILTI”), and allows a benefit for foreign derived intangible income (FDII). In December 2017, the Securities and Exchange Commission issued Staff Accounting Bulletin No. 118, which allows a measurement period, not to exceed one year, to finalize the accounting for the income tax impacts of the 2017 Tax Act. We have completed our analysis in the fourth quarter of fiscal 2019 and determined there is no material adjustment to the income tax expense. We have recorded current tax on GILTI relative to fiscal 2019 operations and will continue to account for GILTI as a period cost when incurred. For financial reporting purposes, components of income before income taxes are as follows:
The provision for income taxes includes the following:
TJX had net deferred tax (liabilities) assets as follows:
TJX has provided for all applicable state and foreign withholding taxes on all undistributed earnings of its foreign subsidiaries in Canada, Puerto Rico, Italy, India, Hong Kong and Vietnam through February 2, 2019. We have not provided for state and foreign withholding taxes on the approximately $1.4 billion of undistributed earnings related to all other foreign subsidiaries as such earnings are considered to be indefinitely reinvested in the business. The net amount of unrecognized state tax liabilities related to the undistributed earnings is approximately $1 million. As of February 2, 2019 and February 3, 2018, for state income tax purposes, TJX had net operating loss carryforwards of $133.2 million and $113.9 million respectively, which expire, if unused, in the years 2020 through 2038. TJX has analyzed the realization of the state net operating loss carryforwards on an individual state basis. For those states where the Company has determined that it is more likely than not that the state net operating loss carryforwards will not be realized, a valuation allowance of $10 million has been provided for the deferred tax asset as of February 2, 2019 and $8.9 million as of February 3, 2018. As of February 2, 2019 and February 3, 2018, the Company had available for foreign income tax purposes (related to Australia, Austria and the Netherlands) net operating loss carryforwards of $138.8 million and $111 million respectively, of which $18.3 million will expire, if unused, in fiscal years 2025 through 2028. The remaining loss carryforwards do not expire. For the deferred tax assets associated with the net operating loss carryforwards for which management has determined it is more likely than not that the deferred tax assets will not be realized, TJX had valuation allowances recorded of approximately $41.7 million as of February 2, 2019, and approximately $33.4 million as of February 3, 2018. The difference between the U.S. federal statutory income tax rate and TJX’s worldwide effective income tax rate is reconciled below:
TJX’s effective income tax rate decreased for fiscal 2019 as compared to fiscal 2018. The decrease is primarily driven by the decrease in the U.S. federal statutory rate to 21%. The reduced tax rates per the 2017 Tax Act were applicable for all of fiscal 2019 versus only a portion of fiscal 2018. TJX had net unrecognized tax benefits of $233.4 million as of February 2, 2019, $57.3 million as of February 3, 2018 and $38.5 million as of January 28, 2017. A reconciliation of the beginning and ending gross amount of unrecognized tax benefits is as follows:
Included in the gross amount of unrecognized tax benefits are items that will impact future effective tax rates upon recognition. These items amounted to $222 million as of February 2, 2019, $55.8 million as of February 3, 2018 and $43.8 million as of January 28, 2017. TJX is subject to U.S. federal income tax as well as income tax in multiple state, local and foreign jurisdictions. In the U.S. and in Canada, fiscal years through 2010 are no longer subject to examination. In all other jurisdictions, fiscal years through 2009 are no longer subject to examination. TJX’s accounting policy is to classify interest and penalties related to income tax matters as part of income tax expense. The amount of interest and penalties expensed was $11.9 million for the year ended February 2, 2019, $1.9 million for the year ended February 3, 2018 and $1.4 million for the year ended January 28, 2017. The accrued amounts for interest and penalties are $23.6 million as of February 2, 2019, $11.9 million as of February 3, 2018 and $8.0 million as of January 28, 2017. Based on the final resolution of tax examinations, judicial or administrative proceedings, changes in facts or law, expirations of statutes of limitations in specific jurisdictions or other resolutions of, or changes in, tax positions, it is reasonably possible that unrecognized tax benefits for certain tax positions taken on previously filed tax returns may change materially from those represented on the financial statements as of February 2, 2019. During the next twelve months, it is reasonably possible that state tax audit resolutions may reduce unrecognized tax benefits by $0 to $30 million, which would reduce the provision for taxes on earnings. The US Treasury issued several proposed regulations supplementing the 2017 Tax Act in 2018, including detailed guidance clarifying the calculation of the mandatory tax on previously unrepatriated earnings, expansion of existing foreign tax credit rules to newly created categories, and various other guidance. These proposed regulations are intended to be applied retroactively. As a result, the Company will monitor their impact to the Company's filing positions and will record any impacts as a discrete event in the period that the guidance is finalized. |
Commitments |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||
Commitments | Commitments TJX is committed under long-term leases related to its continuing operations for the rental of real estate and fixtures and equipment. Most of TJX’s leases are store operating leases with initial ten year terms and options to extend for one or more five year periods in the U.S. and Canada; initial ten to fifteen year terms in Europe and initial seven to ten year terms in Australia, some of which have options to extend. Many of the Company’s leases contain escalation clauses and we have the right to terminate some of the leases before the expiration date under specified circumstances and some with specified payments. In addition, TJX is generally required to pay insurance, real estate taxes and other operating expenses including, in some cases, rentals based on a percentage of sales. These expenses in the aggregate were approximately one-third of the total minimum rent in fiscal 2019, fiscal 2018 and fiscal 2017 and are not included in the table below. The following is a schedule of future minimum lease payments for continuing operations as of February 2, 2019:
Rental expense under operating leases for continuing operations amounted to $1.7 billion for fiscal 2019, $1.6 billion for fiscal 2018 and $1.4 billion for fiscal 2017. Rental expense includes contingent rent and is reported net of sublease income. Contingent rent paid was $22.8 million in fiscal 2019, $18.4 million in fiscal 2018 and $14.7 million in fiscal 2017. Sublease income was $1.2 million in fiscal 2019, $1.3 million in fiscal 2018 and $1.2 million in fiscal 2017. As of February 2, 2019 we have a number of lease agreements for facilities and stores that resulted in TJX being considered the owner of the property for accounting purposes. The build-to-suit lease assets related to these properties are included in “land and buildings” and the related liabilities of $243.3 million are included as build-to-suit lease obligations in “other long-term liabilities.” TJX had outstanding letters of credit totaling $41.9 million as of February 2, 2019 and $40.2 million as of February 3, 2018. Letters of credit are issued by TJX primarily for the purchase of inventory. |
Accrued Expenses and Other Liabilities, Current and Long Term |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payables and Accruals [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued Expenses and Other Liabilities, Current and Long Term | Accrued Expenses and Other Liabilities, Current and Long-Term The major components of accrued expenses and other current liabilities are as follows:
All other current liabilities include accruals for advertising, customer rewards liability, interest, insurance, reserve for sales returns, reserve for taxes, fair value of derivatives, expense payables and other items, each of which is individually less than 5% of current liabilities. The major components of other long-term liabilities are as follows:
|
Contingent Obligations and Contingencies |
12 Months Ended |
---|---|
Feb. 02, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingent Obligations and Contingencies | Contingent Obligations and Contingencies Contingent Obligations TJX has contingent obligations on leases, for which it was a lessee or guarantor, which were assigned to third parties without TJX being released by the landlords. Over many years, TJX has assigned numerous leases that it had originally leased or guaranteed to a significant number of third parties. With the exception of leases of former businesses for which TJX has reserved, the Company has rarely had a claim with respect to assigned leases, and accordingly, the Company does not expect that such leases will have a material adverse impact on our financial condition, results of operations or cash flows. TJX does not generally have sufficient information about these leases to estimate our potential contingent obligations under them, which could be triggered in the event that one or more of the current tenants does not fulfill their obligations related to one or more of these leases. TJX may also be contingently liable on up to eight leases of former TJX businesses, for which we believe the likelihood of future liability to TJX is remote, and has contingent obligations in connection with certain assigned or sublet properties that TJX is able to estimate. We estimate that the undiscounted obligations of (i) leases of former operations not included in our reserve for former operations and (ii) properties of our former operations if the subtenants or assignees do not fulfill their obligations, are approximately $37.1 million as of February 2, 2019. We believe that most or all of these contingent obligations will not revert to us and, to the extent they do, will be resolved for substantially less due to mitigating factors including our expectation to further sublet. TJX is a party to various agreements under which it may be obligated to indemnify the other party with respect to certain losses related to such matters as title to assets sold, specified environmental matters or certain income taxes. These obligations are often limited in time and amount. There are no amounts reflected in our balance sheets with respect to these contingent obligations. Contingencies TJX is subject to certain legal proceedings, lawsuits, disputes and claims that arise from time to time in the ordinary course of our business. In addition, TJX is a defendant in several lawsuits filed in federal and state courts brought as putative class or collective actions on behalf of various groups of current and former salaried and hourly Associates in the U.S. The lawsuits allege violations of the Fair Labor Standards Act and of state wage and hour and other labor statutes. TJX is also a defendant in a putative class action on behalf of customers relating to compare at pricing. The lawsuits are in various procedural stages and seek monetary damages, injunctive relief and attorneys’ fees. |
Supplemental Cash Flows Information |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Supplemental Cash Flow Elements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Supplemental Cash Flows Information | Supplemental Cash Flows Information TJX’s cash payments for interest and income taxes and non-cash investing and financing activities are as follows:
|
Selected Quarterly Financial Data (Unaudited) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Selected Quarterly Financial Data (Unaudited) | Selected Quarterly Financial Data (Unaudited) Presented below is selected quarterly consolidated financial data for fiscal 2019 and fiscal 2018 which was prepared on the same basis as the audited consolidated financial statements and includes all adjustments necessary to present fairly, in all material respects, the information set forth therein on a consistent basis.
|
Basis of Presentation and Summary of Accounting Policies (Policies) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Basis of Presentation | Basis of Presentation The Consolidated Financial Statements and Notes thereto of The TJX Companies, Inc. (referred to as “TJX,” “we” or “the Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and include the financial statements of all of TJX’s subsidiaries, all of which are wholly owned. All of its activities are conducted by TJX or its subsidiaries and are consolidated in these financial statements. All intercompany transactions have been eliminated in consolidation. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fiscal Year | Fiscal Year TJX’s fiscal year ends on the Saturday nearest to the last day of January of each year. The fiscal year ended February 2, 2019 (“fiscal 2019”) was a 52-week fiscal year. Fiscal 2018 was a 53-week year and fiscal 2017 was a 52-week fiscal year. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Use of Estimates | Use of Estimates The preparation of TJX’s financial statements, in conformity with GAAP, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. TJX considers its accounting policies relating to inventory valuation, impairment of long-lived assets, goodwill and tradenames, reserves for uncertain tax positions and loss contingencies to be the most significant accounting policies that involve management estimates and judgments. Actual amounts could differ from those estimates, and such differences could be material. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue Recognition | Revenue Recognition TJX adopted Revenue from Contracts with Customers (referred to as “ASC 606”), on February 4, 2018 (“the adoption date”). The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. TJX adopted the new guidance under the modified retrospective approach which resulted in a $59 million cumulative adjustment to increase retained earnings. The cumulative adjustment primarily related to revenue recognized on the value of unredeemed rewards certificates issued to customers as part of the Company’s U.S. co-branded credit card loyalty program. We now recognize the estimated unredeemed awards when they are earned, rather than when merchandise credits expire or when the likelihood of redemption becomes remote. In addition, online sales are now recognized at the shipping point rather than receipt by the customer. Other changes relate to the presentation of revenue as certain expenses previously presented as a reduction of revenue are now classified as selling, general and administrative expenses (“SG&A”). The new standard required a change in the presentation of our sales return reserve on the balance sheet, which we previously recorded net of the value of returned merchandise and now is presented at gross sales value with an asset established for the value of the merchandise returned. There was no change in the timing or amount of revenue recognized under the new standard as it related to revenue from point of sale at the registers in our stores, which constitutes more than 98% of our revenue. Financial results for fiscal periods after the adoption date are presented under ASC 606 while results from prior periods are not adjusted and continue to be reported under the accounting standards in effect for the prior period. We applied ASC 606 only to contracts that were not completed prior to fiscal 2019. Net Sales Net sales consist primarily of merchandise sales, which are recorded net of a reserve for estimated returns, any discounts and sales taxes, for the sales of merchandise both within our stores and online. Net sales also include an immaterial amount of other revenues that represent less than 1.0% of total revenues, primarily generated from TJX’s co-branded loyalty rewards credit card program offered in the United States only. In addition, certain customers may receive discounts that are accounted for as consideration reducing the transaction price. Merchandise sales from our stores are recognized at the point of sale when TJX provides the merchandise to the customer. The performance obligation is fulfilled at this point when the customer has obtained control by paying for and leaving with the merchandise. Merchandise sales made online are recognized when the product has been shipped, which is when legal title has passed and when TJX is entitled to payment, and the customer has obtained the ability to direct the use of and obtain substantially all of the remaining benefits from the goods. Shipping and handling activities related to online sales occur after the customer obtains control of the goods. TJX’s policy is to treat shipping costs as part of our fulfillment center costs within our operating expenditures. As a result, shipping fee revenues received is recognized when control of the goods transfer to the customer and is recorded as net sales. Shipping and handling costs incurred by TJX are included in cost of sales, including buying and occupancy costs. TJX disaggregates revenue by operating segment, see Note G—Segment Information of Notes to Consolidated Financial Statements. Deferred Gift Card Revenue Proceeds from the sale of gift cards as well as the value of store cards issued to customers as a result of a return or exchange are deferred until the customers use the cards to acquire merchandise, as TJX does not fulfill its performance obligation until the gift card has been redeemed. While gift cards have an indefinite life, substantially all are redeemed in the first year of issuance.
TJX recognized $1.6 billion in gift card revenue for the fiscal period 2019. Gift cards are combined in one homogeneous pool and are not separately identifiable. As such, the revenue recognized consists of gift cards that were part of the deferred revenue balance at the beginning of the period as well as gift cards that were issued during the period. Based on historical experience, we estimate the amount of gift cards and store cards that will not be redeemed (referred to as breakage) and, to the extent allowed by local law, these amounts are amortized into income over the redemption period. Revenue recognized from breakage was $20.6 million in fiscal 2019, $21.1 million in fiscal 2018 and $20.5 million in fiscal 2017. Sales Return Reserve Our products are generally sold with a right of return and we may provide other credits or incentives, which are accounted for as variable consideration when estimating the amount of revenue to recognize. We have elected to apply the portfolio practical expedient. We estimate the variable consideration using the expected value method when calculating the returns reserve because the difference in applying it to the individual contract would not differ materially. Returns are estimated based on historical experience and are required to be established and presented at the gross sales value with an asset established for the estimated value of the merchandise returned separate from the refund liability. Liabilities for return allowances are included in “Accrued expenses and other current liabilities” and the estimated value of the merchandise to be returned is included in “Prepaid expenses and other current assets” on our Consolidated Balance Sheets. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consolidated Statements of Income Classifications | Consolidated Statements of Income Classifications Cost of sales, including buying and occupancy costs, includes the cost of merchandise sold including foreign currency gains and losses on merchandise purchases denominated in other currencies; gains and losses on inventory and fuel-related derivative contracts; asset retirement obligation costs; divisional occupancy costs (including real estate taxes, utility and maintenance costs and fixed asset depreciation); the costs of operating distribution centers; payroll, benefits and travel costs directly associated with buying inventory; and systems costs related to the buying and tracking of inventory. Selling, general and administrative expenses include store payroll and benefit costs; communication costs; credit and check expenses; advertising; administrative and field management payroll, benefits and travel costs; corporate administrative costs and depreciation; gains and losses on non-inventory related foreign currency exchange contracts; and other miscellaneous income and expense items. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and Cash Equivalents | Cash and Cash Equivalents TJX generally considers highly liquid investments with a maturity of 90 days or less at the date of purchase to be cash equivalents. Investments with maturities greater than 90 days but less than one year at the date of purchase are included in short-term investments. These investments are classified as trading securities and are stated at fair value. Investments are classified as either short- or long-term based on their original maturities. TJX’s investments are primarily high-grade commercial paper, institutional money market funds and time deposits with major banks. As of February 2, 2019, TJX’s cash and cash equivalents held outside the U.S. were $1.2 billion, of which $420.6 million was held in countries where TJX has the intention to reinvest any undistributed earnings indefinitely. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Merchandise Inventories | Merchandise Inventories Inventories are stated at the lower of cost or market. TJX uses the retail method for valuing inventories at all of its businesses, except T.K. Maxx in Australia. The businesses that utilize the retail method have some inventory that is initially valued at cost before the retail method is applied as that inventory has not been fully processed for sale (e.g. inventory in transit and unprocessed inventory in our distribution centers). Under the retail method, TJX utilizes a permanent markdown strategy and lowers the cost value of the inventory that is subject to markdown at the time the retail prices are lowered in the stores. TJX records inventory at the time title transfers, which is typically at the time when inventory is shipped. As a result, merchandise inventories on TJX’s balance sheet include in-transit inventory of $832.1 million at February 2, 2019 and $755.4 million at February 3, 2018. Comparable amounts were reflected in accounts payable at those dates. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common Stock and Equity | Common Stock and Equity In fiscal 2019, we completed a two-for-one stock split of the Company’s common stock in the form of a stock dividend. For additional information see Note D - Capital Stock and Earnings Per Share of Notes to Consolidated Financial Statements. Equity transactions consist primarily of the repurchase by TJX of its common stock under its stock repurchase programs and the recognition of compensation expense and issuance of common stock under TJX’s Stock Incentive Plan. Under TJX’s stock repurchase programs, the Company repurchases its common stock on the open market. The par value of the shares repurchased is charged to common stock with the excess of the purchase price over par first charged against any available additional paid-in capital (“APIC”) and the balance charged to retained earnings. Due to the high volume of repurchases over the past several years, TJX has no remaining balance in APIC at the end of any of the years presented. All shares repurchased have been retired. Shares issued under TJX’s Stock Incentive Plan are issued from authorized but unissued shares, and proceeds received are recorded by increasing common stock for the par value of the shares with the excess over par added to APIC. Income tax benefits upon the expensing of options result in the creation of a deferred tax asset, while income tax benefits due to the exercise of stock options reduce deferred tax assets up to the amount that an asset for the related grant has been created. Prior to fiscal 2018, any tax benefits greater than the deferred tax assets created at the time of expensing the options were credited to APIC; any deficiencies in the tax benefits were debited to APIC to the extent a pool for such deficiencies existed. In the absence of a pool, any deficiencies were realized in the related periods’ statements of income through the provision for income taxes. Beginning in fiscal 2018, upon adoption of ASU 2016-9-Compensation-Stock compensation (Topic 718): Improvements to employee share-based payment accounting, any excess tax benefits or deficiencies are included in the provision for income taxes. The par value of performance-based deferred stock awards, performance share units and restricted stock units is added to common stock when shares are delivered following vesting. The par value of performance-based restricted stock awards is added to common stock when the stock is issued, generally at grant date. The fair value of stock awards and units in excess of any par value is added to APIC as the awards are amortized into earnings over the related requisite service periods. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-Based Compensation | Share-Based Compensation TJX accounts for share-based compensation by estimating the fair value of each award on the date of grant. TJX uses the Black-Scholes option pricing model for options awarded and the market price on the grant date for stock awards. See Note H – Stock Incentive Plan of Notes to Consolidated Financial Statements for a detailed discussion of share-based compensation. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest | Interest TJX’s interest expense is presented net of capitalized interest and interest income. The following is a summary of interest expense, net:
TJX capitalizes interest during the active construction period of major capital projects. Capitalized interest is added to the cost of the related assets. Capitalized interest in fiscal 2019, 2018 and 2017 relates to costs on owned real estate projects and development costs on a merchandising system. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation and Amortization | Depreciation and Amortization For financial reporting purposes, TJX provides for depreciation and amortization of property using the straight-line method over the estimated useful lives of the assets. Buildings are depreciated over 33 years. Leasehold costs and improvements are generally amortized over their useful life or the committed lease term (typically 10 years to 15 years), whichever is shorter. Furniture, fixtures and equipment are depreciated over 3 to 10 years. Depreciation and amortization expense for property was $818.9 million in fiscal 2019, $727.2 million in fiscal 2018 and $664.5 million in fiscal 2017. TJX had no property held under capital leases during fiscal 2019, 2018, or 2017. Maintenance and repairs are charged to expense as incurred. Significant costs incurred for internally developed software are capitalized and amortized over 5 years. Upon retirement or sale, the cost of disposed assets and the related accumulated depreciation are eliminated and any gain or loss is included in income. Pre-opening costs, including rent, are expensed as incurred. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lease Accounting | Lease Accounting The Company generally leases stores, distribution centers and office space under operating leases. Store lease agreements generally include rent holidays, rent escalation clauses and contingent rent provisions for percentage of sales in excess of specified levels. We recognize rent on a straight-line basis over the term of the lease, including rent holiday periods and scheduled rent increases. We begin recording rent expense when we take possession of a store, which is typically 30 to 60 days prior to the opening of the store and generally occurs before the commencement of the lease term, as specified in the lease. Asset Retirement Obligations The Company establishes an asset retirement obligation, and related asset, for leases of property that require us to return the property to its original condition (commonly referred to as a reinstatement provision) if and when we exit the facility. These reinstatement provisions are primarily applicable to our TJX International locations. The income statement impact of our asset retirement obligation is recorded in general corporate expenses and our operating divisions are charged the actual costs incurred when a retirement takes place. Build-to-Suit Accounting Lease agreements involving property built to our specifications are reviewed to determine if our involvement in the construction project requires that we account for the project costs as if we were the owner for accounting purposes. We have entered into several lease agreements where we are deemed the owner of a construction project for accounting purposes. Thus, during construction of the facility the construction costs incurred by us as the lessor are included as a construction in progress asset along with a related liability of the same amount on our balance sheet. Upon completion of the project, a sale-leaseback analysis is performed to determine if the Company should record a sale to remove the related asset and related obligation and record the lease as either an operating or capital lease obligation. If the Company is precluded from derecognizing the asset when construction is complete, due to continuing involvement beyond a normal leaseback, the lease is accounted for as a financing transaction and the recorded asset and related financing obligation remain on the Consolidated Balance Sheets. Accordingly, the asset is depreciated over its estimated useful life in accordance with the Company’s policy and a portion of the lease payments is allocated to ground rent and treated as an operating lease. The portion of the lease payment allocated to ground rental expense is based on the fair value of the land at the commencement of construction. Lease payments allocated to the non-land asset are recognized as reductions to the financing obligation and interest expense. As disclosed in “Future Adoption of New Accounting Standards,” our accounting for build-to-suit leases will change upon adoption of the new lease accounting standard. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Tradenames | Goodwill and Tradenames Goodwill includes the excess of the purchase price paid over the carrying value of the minority interest acquired in fiscal 1990 in TJX’s former 83%-owned subsidiary and represents goodwill associated with the T.J. Maxx chain, as well as the excess of cost over the estimated fair market value of the net assets acquired by TJX in the purchase of Winners in fiscal 1991, the purchase of Sierra Trading Post in fiscal 2013, rebranded as Sierra in fiscal 2019, and the purchase of Trade Secret in fiscal 2016, which was re-branded under the T.K. Maxx name during fiscal 2018. The following is a roll forward of goodwill by component:
Goodwill is considered to have an indefinite life and accordingly is not amortized. In fiscal 2018, the Company recorded an impairment charge of $99.3 million which included $97.3 million of Sierra goodwill and $2.0 million for certain long-lived assets of Sierra as the estimated fair value of this business fell below the carrying value due to a decrease in projected revenue growth rates. The impairment charge is included within the Marmaxx segment results. Tradenames, which are included in other assets, are the value assigned to the name “Marshalls,” acquired by TJX in fiscal 1996 as part of the acquisition of the Marshalls chain, the value assigned to the name “Sierra Trading Post,” acquired by TJX in fiscal 2013 and the value assigned to the name “Trade Secret,” acquired by TJX in fiscal 2016. The tradenames were valued by calculating the discounted present value of assumed after-tax royalty payments. The Marshalls tradename is considered to have an indefinite life and accordingly is not amortized. The Sierra Trading Post tradename is being amortized over 15 years. The Trade Secret tradename is being amortized over 7 years. The following is a roll forward of tradenames.
TJX occasionally acquires or licenses other trademarks to be used in connection with private label merchandise. Such trademarks are included in other assets and are amortized to cost of sales, including buying and occupancy costs, over their useful life, generally from 7 to 10 years. Goodwill, tradenames and trademarks, and the related accumulated amortization or impairment if any, are included in the respective operating segment to which they relate. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Impairment of Long-Lived Assets, Goodwill and Tradenames | Impairment of Long-Lived Assets, Goodwill and Tradenames TJX evaluates its long-lived assets, goodwill and tradenames for indicators of impairment at least annually in the fourth quarter of each fiscal year or whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. The evaluation for long-lived assets including tradenames that are amortized, is performed at the lowest level of identifiable cash flows which are largely independent of other groups of assets, generally at the individual store level for fixed assets and the reporting unit for tradenames that are amortized. If indicators of impairment are identified, an undiscounted cash flow analysis is performed to determine if the carrying value of the asset or asset group is recoverable. If the cash flow is less than the carrying value then an impairment charge will be recorded to the extent the fair value of an asset or asset group is less than the carrying value of that asset or asset group. This analysis resulted in immaterial impairment charges of store fixed assets in fiscal 2019 and fiscal 2018. The store-by-store evaluations did not indicate any recoverability issues in fiscal 2017. Goodwill and tradenames with an indefinite life are tested for impairment whenever events or changes in circumstances indicate that an impairment may have occurred and at least annually in the fourth quarter of each fiscal year. The carrying value of tradenames with an indefinite life is compared to its fair value determined by calculating the discounted present value of assumed after-tax royalty payments to the carrying value of the tradename. There was no impairment related to tradenames in fiscal 2019, 2018 or 2017. Goodwill is tested for impairment by using a quantitative assessment by comparing the carrying value of the related reporting unit to its fair value. An impairment exists when this analysis, using typical valuation models such as the discounted cash flow method, shows that the fair value of the reporting unit is less than the carrying cost of the reporting unit. We may assess qualitative factors to determine if it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. The assessment of qualitative factors is optional and at the Company’s discretion. In fiscal 2019 and fiscal 2018, we bypassed the qualitative assessment and performed the first step of the quantitative goodwill impairment test. In fiscal 2018 the Company recorded an impairment charge of $97.3 million for Sierra goodwill as the estimated fair value of this business fell below the carrying value due to a decrease in projected revenue growth rates. There were no impairments related to our goodwill in fiscal 2019 or 2017. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Advertising Costs | Advertising Costs TJX expenses advertising costs as incurred. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Foreign Currency Translation | Foreign Currency Translation TJX’s foreign assets and liabilities are translated into U.S. dollars at fiscal year-end exchange rates with resulting translation gains and losses included in shareholders’ equity as a component of accumulated other comprehensive (loss) income. Activity of the foreign operations that affect the statements of income and cash flows is translated at average exchange rates prevailing during the fiscal year. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loss Contingencies | Loss Contingencies TJX records a reserve for loss contingencies when it is both probable that a loss will be incurred and the amount of the loss is reasonably estimable. TJX evaluates pending litigation and other contingencies at least quarterly and adjusts the reserve for such contingencies for changes in probable and reasonably estimable losses. TJX includes an estimate for related legal costs at the time such costs are both probable and reasonably estimable. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Future Adoption of New Accounting Standards | Future Adoption of New Accounting Standards From time to time, the Financial Accounting Standards Board (“FASB”) or other standard setting bodies issue new accounting pronouncements. Updates to the FASB Accounting Standards Codification are communicated through issuance of an Accounting Standards Update (“ASU”). Unless otherwise discussed, we have reviewed the guidance and have determined that they will not apply or are not expected to be material to our Consolidated Financial Statements upon adoption and therefore, are not disclosed. Leases In February 2016, the Financial Accounting Standards Board issued updated guidance on leases to increase transparency and comparability among organizations by requiring lessees to recognize right of use assets and lease liabilities on the balance sheet and requiring disclosure of key information about leasing arrangements. The new standard is effective for annual periods beginning after December 15, 2018, and interim periods within those annual periods; early adoption is permitted. In July 2018, the FASB issued ASU 2018-11, Leases (Topic 842): Targeted Improvements, which allows entities to apply the transition requirements at the effective date rather than at the beginning of the earliest comparative period presented as previously required. The effect of initially applying the standard can be recognized as a cumulative-effect adjustment to retained earnings in the period of adoption and an entity’s reporting for the comparative periods presented in the year of adoption would continue to be in accordance with ASC 840, Leases (Topic 840) (“ASC 840”), including the disclosure requirements of ASC 840. If the new transition method in ASU 2018-11 is not elected, the new standard must be adopted using a modified retrospective transition and requires application of the new guidance for leases that exist or are entered into after the beginning of the earliest comparative period presented. We will adopt this standard on February 3, 2019 using the optional transition method under ASU 2018-11. The Company implemented a new lease accounting system and evaluated our lease portfolio to assess the impact this standard will have on our Consolidated Financial Statements and Notes thereto. The Company has determined that the initial lease term will not differ under the new standard versus current accounting practice, and therefore the income statement impact of the new standard will not be material. Any impact to the income statement will be the result of the timing of expense recognition and will not be incremental over the term of the lease. For example, under ASC 842 certain initial direct costs will no longer be capitalized and amortized over the lease term and will be expensed as incurred. In addition, in certain instances, the cost of our renewal options may be recognized earlier in the life of the lease than under the existing lease accounting rules. On adoption of this standard we will recognize an operating lease liability of approximately $9 billion on our statement of financial condition as of February 3, 2019 with corresponding right of use assets based on the present value of the remaining minimum rental payments associated with our more than 4,300 leased locations. This impact includes the derecognition of build-to-suit lease assets and liabilities when we do not control the building during the construction period. We do not believe the new standard will have a notable impact on our liquidity and we do not believe it will have an impact on our debt-covenant compliance under our current agreements. We will implement the transition package of three practical expedients permitted within the standard, which among other things, allows for the carryforward of historical lease classifications. As our leases do not provide an implicit rate, nor is one readily available, we will use our incremental borrowing rate based on information available at commencement date to determine the present value of future payments. Income Statement - Reporting Comprehensive Income In February 2018, the FASB issued updated guidance related to reporting comprehensive income. The amendments in the update allow for a one-time reclassification from accumulated other comprehensive income (“AOCI”) to retained earnings for stranded tax effect as a result from the enactment of the Tax Cuts and Jobs Act of 2017 (“2017 Tax Act”). The updated guidance is effective for all entities for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted, including adoption in any interim period for reporting periods for which financial statements have not yet been issued. The updated guidance should be applied either in the period of adoption or retrospectively to each period (or periods) in which the effect of the change in the 2017 Tax Act is recognized. The Company will adopt the standard in the first quarter of fiscal 2020 and plans on electing not to reclassify the stranded tax effects as of result of the 2017 Tax Act to retained earnings. The Company is still evaluating the impact of the adoption on its consolidated disclosures. Intangibles-Goodwill and Other-Internal-Use Software In August 2018, the FASB issued guidance related to accounting for implementation costs incurred in a cloud computing arrangement that is a service contract. The standard allows entities who are customers in hosting arrangements that are service contracts to apply the existing internal-use software guidance to determine which implementation costs to capitalize as an asset related to the service contract and which costs to expense. The guidance specifies classification for capitalizing implementation costs and related amortization expense within the financial statements and requires additional disclosures. The guidance will be effective for annual reporting periods, including interim reporting within those periods, beginning after December 15, 2019. Early adoption is permitted and can be applied either retrospectively or prospectively. The Company is currently evaluating the transition methods and the impact of the adoption of this standard on its consolidated financial statements. Recently Adopted Accounting Standards Revenue Recognition See Revenue Recognition in this Note A for the impact upon adoption. Cash Flows In the first quarter of fiscal 2019, TJX adopted a pronouncement that addresses differences in the way certain cash receipts and cash payments are presented in the statement of cash flows. The new guidance provides clarity around the cash flow classification for eight specific issues in an effort to reduce the current and potential future differences in practice. The standard did not have a material impact on our consolidated statements of cash flows. Retirement Benefits In the first quarter of fiscal 2019, TJX adopted a pronouncement related to retirement benefits, which requires that an employer report the service cost component of net periodic pension and net periodic post retirement cost in the same line item as other compensation costs arising from services rendered by the employees during the period. It also requires the other components of net periodic pension and net periodic postretirement benefit cost to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations, if such a subtotal is presented. The amendments in this update were applied retrospectively for the presentation of the service cost component and the other components of net periodic pension cost and net periodic postretirement benefit cost in the income statement. The impact to prior periods was immaterial. As a result of the adoption, for all periods presented, service costs are recorded in the same line items as other compensation costs and non-service costs are recorded in SG&A in our income statement. Income Taxes In the first quarter of fiscal 2019, TJX adopted Income Taxes (Topic 740): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118, which provides guidance on accounting for the tax effects of the 2017 Tax Act. This guidance allows a company to record a provisional amount when it does not have the necessary information available, prepared, or analyzed in reasonable detail to complete its accounting for the change in the tax law during the measurement period. The measurement period ends when the company has obtained, prepared, and analyzed the information necessary to finalize its accounting, but cannot extend beyond one year. We completed our analysis in the fourth quarter of fiscal 2019 and determined there is no material adjustment to the income tax expense. Compensation Retirement Defined Benefit Plans Disclosure Framework In the fourth quarter of fiscal 2019, TJX early adopted Compensation - Retirement Benefits - Defined Benefit Plans (Subtopic 715-20): Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans, which this new pronouncement removes certain disclosures that are not considered cost beneficial, clarifies certain required disclosures and requires certain additional disclosures. Adopting the pronouncement did not result in any change to TJX disclosures. |
Basis of Presentation and Summary of Accounting Policies (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contract with Customer Liability |
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Interest Expense, Net | Interest TJX’s interest expense is presented net of capitalized interest and interest income. The following is a summary of interest expense, net:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Roll Forward of Goodwill by Component | The following is a roll forward of goodwill by component:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Finite-Lived Intangible Assets | The following is a roll forward of tradenames.
|
Property at Cost (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property, Plant and Equipment [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Components of Property at Cost | Presented below are the components of property at cost:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Long-Lived Assets by Geographic Location | Presented below is information related to carrying values of TJX’s long-lived assets by geographic location:
|
Accumulated Other Comprehensive (Loss) Income (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in Accumulated Other Comprehensive Income (Loss) | The following table details the changes in accumulated other comprehensive (loss) income for fiscal 2019, fiscal 2018 and fiscal 2017:
|
Capital Stock and Earnings Per Share (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share | The following table presents the calculation of basic and diluted earnings per share for net income:
|
Financial Instruments (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Derivative Financial Instruments, Related Fair Value and Balance Sheet Classification | The following is a summary of TJX’s derivative financial instruments, related fair value and balance sheet classification at February 2, 2019:
The following is a summary of TJX’s derivative financial instruments, related fair value and balance sheet classification at February 3, 2018:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Impact of Derivative Financial Instruments on Statements of Income | The impact of derivative financial instruments on the statements of income during fiscal 2019, fiscal 2018 and fiscal 2017 are as follows:
|
Fair Value Measurements (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value of Financial Assets and Liabilities on a Recurring Basis | The following table sets forth TJX’s financial assets and liabilities that are accounted for at fair value on a recurring basis:
|
Segment Information (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Percentages of Consolidated Revenues by Major Product Category | The percentages of our consolidated revenues by major product category for the last three fiscal years are as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financial Information on Business Segments | Presented below is financial information with respect to TJX’s business segments:
Business segment information (continued):
|
Stock Incentive Plan (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The fair value of options is estimated as of the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Stock Options and Related Weighted Average Exercise Prices | A summary of the status of TJX’s stock options and related weighted average exercise prices (“WAEP”) is presented below:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Stock Options Outstanding Expected to Vest and Stock Options Outstanding Exercisable | The following table summarizes information about stock options outstanding that were expected to vest and stock options outstanding that were exercisable as of February 2, 2019:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Nonvested Performance-Based Stock Awards | A summary of the status of our nonvested stock awards and changes during fiscal 2019 is presented below:
|
Pension Plans and Other Retirement Benefits (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retirement Benefits [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financial Information Related to Funded Defined Benefit Pension Plan and Unfunded Supplemental Retirement Plan | Presented below is financial information relating to TJX’s funded defined benefit pension plan (“qualified pension plan” or “funded plan”) and its unfunded supplemental pension plan (“unfunded plan”) for the fiscal years indicated. The Company has elected the practical expedient pursuant to ASU 2015-4– Compensation-retirement benefits (Topic 715) and has selected the measurement date of January 31, the calendar month end closest to the Company’s fiscal year end.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Weighted Average Assumptions for Obligation | Presented below are weighted average assumptions for measurement purposes for determining the obligation at the year-end measurement date:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Components of Net Periodic Benefit Cost and Other Amounts Recognized in Other Comprehensive Income (Loss) | The following are the components of net periodic benefit cost and other amounts recognized in other comprehensive income (loss) related to our pension plans:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Benefits Expected to be Paid in Each of Next Five Fiscal Years and Thereafter | The following is a schedule of the benefits expected to be paid in each of the next five fiscal years and in the aggregate for the five fiscal years thereafter:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value for Pension Assets Measured at Fair Value on Recurring Basis | The following table presents the fair value hierarchy (See Note F – Fair Value Measurements of Notes to Consolidated Financial Statements) for pension assets measured at fair value on a recurring basis as of February 2, 2019 and February 3, 2018:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Target Allocation for Plan Assets Along with Actual Allocation of Plan Assets as of Valuation Date | The following is a summary of TJX’s target allocation guidelines for qualified pension plan assets as of February 2, 2019 along with the actual allocation of qualified pension plan assets as of the valuation date for the fiscal years presented:
|
Long-Term Debt and Credit Lines (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Long-Term Debt, Exclusive of Current Installments | The table below presents long-term debt, exclusive of current installments, as of February 2, 2019 and February 3, 2018. All amounts are net of unamortized debt discounts.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate Maturities of Long-Term Debt, Inclusive of Current Installments | The aggregate maturities of long-term debt, inclusive of current installments at February 2, 2019 are as follows:
|
Income Taxes (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Components of Income Before Income Taxes | For financial reporting purposes, components of income before income taxes are as follows:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision for Income Taxes | The provision for income taxes includes the following:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net Deferred Tax (Liabilities) Assets | TJX had net deferred tax (liabilities) assets as follows:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of U.S. Federal Statutory Income Tax Rate and Worldwide Effective Income Tax Rate | The difference between the U.S. federal statutory income tax rate and TJX’s worldwide effective income tax rate is reconciled below:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of Beginning and Ending Gross Amount of Unrecognized Tax Benefits | A reconciliation of the beginning and ending gross amount of unrecognized tax benefits is as follows:
|
Commitments (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||
Future Minimum Lease Payments for Continuing Operations | The following is a schedule of future minimum lease payments for continuing operations as of February 2, 2019:
|
Accrued Expenses and Other Liabilities, Current and Long Term (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payables and Accruals [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Accrued Expenses and Other Current Liabilities | The major components of accrued expenses and other current liabilities are as follows:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Other Long-Term Liabilities | The major components of other long-term liabilities are as follows:
|
Supplemental Cash Flows Information (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Supplemental Cash Flow Elements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Cash Payments for Interest and Income Taxes and Non-Cash Investing and Financing Activities | TJX’s cash payments for interest and income taxes and non-cash investing and financing activities are as follows:
|
Selected Quarterly Financial Data (Unaudited) (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Selected Quarterly Consolidated Financial Data | Presented below is selected quarterly consolidated financial data for fiscal 2019 and fiscal 2018 which was prepared on the same basis as the audited consolidated financial statements and includes all adjustments necessary to present fairly, in all material respects, the information set forth therein on a consistent basis.
|
Basis of Presentation and Summary of Accounting Policies - (Additional Information) (Details) |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Accounting Policies [Abstract] | |||
Weeks in the fiscal year | 364 days | 371 days | 364 days |
Basis of Presentation and Summary of Accounting Policies - Revenue Recognition (Additional Information) (Details) - USD ($) $ in Thousands |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Concentration Risk [Line Items] | |||
Cumulative effect of new accounting principle in period of adoption | $ 58,712 | ||
Revenue recognized | 1,627,176 | ||
Revenue recognized from store card breakage | $ 20,600 | $ 21,100 | $ 20,500 |
Point of sale at the registers | Key revenue streams concentration risk | Sales revenue net | Minimum | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 98.00% | ||
Retained Earnings | |||
Concentration Risk [Line Items] | |||
Cumulative effect of new accounting principle in period of adoption | $ 58,712 |
Basis of Presentation and Summary of Accounting Policies - Deferred Gift Card Revenue (Details) $ in Thousands |
12 Months Ended |
---|---|
Feb. 02, 2019
USD ($)
| |
Movement in Contract with Customer, Liability [Roll Forward] | |
Beginning Balance | $ 406,506 |
Deferred revenue | 1,677,251 |
Effect of exchange rates changes on deferred revenue | (6,279) |
Revenue recognized | (1,627,176) |
Ending Balance | $ 450,302 |
Basis of Presentation and Summary of Accounting Policies - Cash and Cash Equivalents (Additional Information) (Details) - USD ($) $ in Thousands |
12 Months Ended | |||
---|---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
Jan. 30, 2016 |
|
Cash and Cash Equivalents [Line Items] | ||||
Highly liquid investments maximum maturity days | 90 days | |||
Cash and cash equivalents | $ 3,030,229 | $ 2,758,477 | $ 2,929,849 | $ 2,095,473 |
Minimum | ||||
Cash and Cash Equivalents [Line Items] | ||||
Short-term investments maturity term | 90 days | |||
Maximum | ||||
Cash and Cash Equivalents [Line Items] | ||||
Short-term investments maturity term | 1 year | |||
Outside United States | ||||
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | $ 1,200,000 | |||
Reinvest Undistributed Earnings | ||||
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | $ 420,600 |
Basis of Presentation and Summary of Accounting Policies - Merchandise Inventories (Additional Information) (Details) - USD ($) $ in Millions |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Accounting Policies [Abstract] | ||
In-transit inventory | $ 832.1 | $ 755.4 |
Basis of Presentation and Summary of Accounting Policies - Summary of Interest Expense, Net (Detail) - USD ($) $ in Thousands |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Accounting Policies [Abstract] | |||
Interest expense | $ 69,102 | $ 69,237 | $ 69,219 |
Capitalized interest | (4,263) | (4,942) | (7,548) |
Interest (income) | (55,979) | (32,707) | (18,137) |
Interest expense, net | $ 8,860 | $ 31,588 | $ 43,534 |
Basis of Presentation and Summary of Accounting Policies - Lease Accounting (Additional Information) (Details) |
12 Months Ended |
---|---|
Feb. 02, 2019 | |
Accounting Policies [Abstract] | |
Rent expense recorded prior to minimum number of days before opening of store, in days | 30 days |
Rent expense recorded prior to maximum number of days before opening of store, in days | 60 days |
Basis of Presentation and Summary of Accounting Policies - Roll Forward of Goodwill by Component (Detail) - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
|
Goodwill [Roll Forward] | ||
Beginning balance | $ 100,069 | $ 195,871 |
Impairment | (97,254) | |
Effect of exchange rate changes on goodwill | (2,517) | 1,452 |
Ending balance | 97,552 | 100,069 |
Winners | ||
Goodwill [Roll Forward] | ||
Beginning balance | 1,784 | 1,686 |
Impairment | 0 | |
Effect of exchange rate changes on goodwill | (92) | 98 |
Ending balance | 1,692 | 1,784 |
Sierra Trading Post | ||
Goodwill [Roll Forward] | ||
Beginning balance | 0 | 97,254 |
Impairment | (97,254) | |
Effect of exchange rate changes on goodwill | 0 | |
Ending balance | 0 | 0 |
T.K. Maxx | ||
Goodwill [Roll Forward] | ||
Beginning balance | 28,258 | 26,904 |
Impairment | 0 | |
Effect of exchange rate changes on goodwill | (2,425) | 1,354 |
Ending balance | 25,833 | 28,258 |
Marmaxx | ||
Goodwill [Roll Forward] | ||
Beginning balance | 70,027 | 70,027 |
Impairment | 0 | |
Effect of exchange rate changes on goodwill | 0 | |
Ending balance | $ 70,027 | $ 70,027 |
Basis of Presentation and Summary of Accounting Policies - Roll Forward Finite Intangible Assets (Details) - Trade Names - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
|
Trade Secret | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 12,541 | $ 12,541 |
Accumulated Amortization | (4,117) | (2,899) |
Impact of FX | (1,048) | 2,072 |
Net Carrying Value | 11,714 | |
Sierra Trading Post | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 38,500 | 38,500 |
Accumulated Amortization | (15,614) | (13,029) |
Net Carrying Value | 25,471 | |
Marshalls | ||
Finite-Lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible asset | $ 107,700 | $ 107,695 |
Basis of Presentation and Summary of Accounting Policies - Impairment of Long-Lived Assets, Goodwill and Tradenames (Additional Information) (Details) - USD ($) |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Goodwill [Line Items] | |||
Impairment charge related to goodwill | $ 97,254,000 | ||
Intangible assets impairment | $ 0 | $ 0 | |
Sierra Trading Post | |||
Goodwill [Line Items] | |||
Impairment charge related to goodwill | 97,254,000 | ||
Trade Names | |||
Goodwill [Line Items] | |||
Impairment related to tradenames | $ 0 | $ 0 | $ 0 |
Basis of Presentation and Summary of Accounting Policies - Advertising Costs (Additional Information) (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Accounting Policies [Abstract] | |||
Advertising expense | $ 446.3 | $ 412.4 | $ 402.6 |
Basis of Presentation and Summary of Accounting Policies - Leases (Additional Information) (Details) $ in Billions |
12 Months Ended | |
---|---|---|
Feb. 02, 2019
Location
|
Feb. 03, 2019
USD ($)
|
|
Minimum | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Number of lease locations | Location | 4,300 | |
Subsequent Event | Accounting Standards Update 2016-02 | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease, right-of-use asset | $ 9.0 | |
Operating lease, liability | $ 9.0 |
Property at Cost - Components of Property at Cost (Detail) - USD ($) $ in Thousands |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Property, Plant and Equipment [Abstract] | ||
Land and buildings | $ 1,457,835 | $ 1,355,777 |
Leasehold costs and improvements | 3,377,045 | 3,254,830 |
Furniture, fixtures and equipment | 5,894,239 | 5,357,701 |
Total property at cost | 10,729,119 | 9,968,308 |
Less accumulated depreciation and amortization | 5,473,911 | 4,962,255 |
Net property at cost | $ 5,255,208 | $ 5,006,053 |
Property at Cost - Summary of Long-Lived Assets By Geographic Location (Detail) - USD ($) $ in Thousands |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Carrying values of long-lived assets | $ 5,255,208 | $ 5,006,053 |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Carrying values of long-lived assets | 3,756,929 | 3,514,628 |
Canada | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Carrying values of long-lived assets | 303,414 | 308,259 |
Europe | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Carrying values of long-lived assets | 1,154,564 | 1,151,972 |
Australia | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Carrying values of long-lived assets | $ 40,301 | $ 31,194 |
Accumulated Other Comprehensive (Loss) Income - Additional Information (Detail) - USD ($) $ in Thousands |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Equity [Abstract] | |||
Foreign currency translation adjustments, related tax provisions (benefit) | $ 8,233 | $ 36,929 | $ 25,656 |
Recognition of net gains/losses on investment hedges | 7,113 | ||
Recognition of net gains/losses on benefit obligations, related tax provision (benefit) | (19,813) | 8,989 | (7,394) |
Pension settlement charge, Tax provision (benefit) | 9,641 | 0 | 12,369 |
Amortization of loss on cash flow hedge, Tax provision (benefit) | 304 | 438 | 450 |
Amortization of prior service cost and deferred gains/losses, related tax provisions | $ 4,280 | $ 9,592 | $ 11,584 |
Calculation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands |
3 Months Ended | 12 Months Ended | |||||||||
---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 |
Nov. 03, 2018 |
Aug. 04, 2018 |
May 05, 2018 |
Feb. 03, 2018 |
Oct. 28, 2017 |
Jul. 29, 2017 |
Apr. 29, 2017 |
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Basic earnings per share: | |||||||||||
Net income | $ 841,538 | $ 762,253 | $ 739,626 | $ 716,381 | $ 877,276 | $ 641,436 | $ 552,957 | $ 536,279 | $ 3,059,798 | $ 2,607,948 | $ 2,298,234 |
Weighted average common shares - basic (in share) | 1,241,153 | 1,273,654 | 1,311,294 | ||||||||
Net income, Basic (in dollars per share) | $ 0.69 | $ 0.62 | $ 0.59 | $ 0.57 | $ 0.70 | $ 0.51 | $ 0.43 | $ 0.41 | $ 2.47 | $ 2.05 | $ 1.75 |
Diluted earnings per share: | |||||||||||
Net income | $ 841,538 | $ 762,253 | $ 739,626 | $ 716,381 | $ 877,276 | $ 641,436 | $ 552,957 | $ 536,279 | $ 3,059,798 | $ 2,607,948 | $ 2,298,234 |
Weighted average common shares - basic (in share) | 1,241,153 | 1,273,654 | 1,311,294 | ||||||||
Stock options and awards | 18,099 | 18,555 | 17,570 | ||||||||
Weighted average common shares - diluted (in dollars per share) | 1,259,252 | 1,292,209 | 1,328,864 | ||||||||
Diluted earnings per share (in dollars per share) | $ 0.68 | $ 0.61 | $ 0.58 | $ 0.56 | $ 0.69 | $ 0.50 | $ 0.42 | $ 0.41 | $ 2.43 | $ 2.02 | $ 1.73 |
Common Stock, Dividends, Per Share, Declared | $ 0.78 | $ 0.625 | $ 0.52 |
Financial Instruments - Additional Information (Detail) - USD ($) $ in Thousands |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Derivative [Line Items] | |||
Hedge of diesel fuel requirement, remainder of fiscal year 2018 | 50.00% | ||
Increase (decrease) in net investment hedge | $ 27,000 | ||
Gain (loss) on derivative | 79,066 | $ (39,775) | $ (16,402) |
Realized gains/losses on derivative | 73,800 | $ (30,500) | $ (6,100) |
Selling, General and Administrative Expenses | Intercompany Dividends | |||
Derivative [Line Items] | |||
Foreign Currency Transaction Gain (Loss), before Tax | (18,000) | ||
Gain (loss) on derivative | $ 18,823 |
Fair Value of Financial Assets and Liabilities on a Recurring Basis (Detail) - Recurring - USD ($) $ in Thousands |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Level 1 | Executive Savings Plan Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value measured on recurring basis, Assets | $ 253,215 | $ 249,045 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency exchange contracts, Assets | 8,136 | 4,363 |
Foreign currency exchange contracts, Liabilities | 7,415 | 20,557 |
Level 2 | Short-Term Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value measured on recurring basis, Assets | 0 | 506,165 |
Level 2 | Diesel Fuel Contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value measured on recurring basis, Assets | 0 | 7,854 |
Fair value measured on recurring basis, Liabilities | $ 3,786 | $ 0 |
Fair Value Measurements - Additional Information (Detail) - USD ($) $ in Thousands |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Fair Value Disclosures [Abstract] | ||
Fair value of long-term debt | $ 2,170,000 | $ 2,160,000 |
Carrying value of long-term debt | $ 2,233,616 | $ 2,230,607 |
Segment Information - Additional Information (Detail) |
12 Months Ended |
---|---|
Feb. 02, 2019
Segment
| |
Segment Reporting [Abstract] | |
Number of business segments | 4 |
Percentages of Consolidated Revenues by Major Product Category (Detail) |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Segment Reporting Information [Line Items] | |||
Revenue percentage | 100.00% | 100.00% | 100.00% |
Home Fashions | |||
Segment Reporting Information [Line Items] | |||
Revenue percentage | 33.00% | 33.00% | 31.00% |
Apparel | Clothing Including Footwear | |||
Segment Reporting Information [Line Items] | |||
Revenue percentage | 52.00% | 52.00% | 54.00% |
Apparel | Jewelry and Accessories | |||
Segment Reporting Information [Line Items] | |||
Revenue percentage | 15.00% | 15.00% | 15.00% |
Financial Information on Business Segments (Detail) - USD ($) $ in Thousands |
3 Months Ended | 12 Months Ended | ||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 |
Nov. 03, 2018 |
Aug. 04, 2018 |
May 05, 2018 |
Feb. 03, 2018 |
Oct. 28, 2017 |
Jul. 29, 2017 |
Apr. 29, 2017 |
Jan. 28, 2017 |
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | $ 11,127,340 | $ 9,825,759 | $ 9,331,115 | $ 8,688,720 | $ 10,960,720 | $ 8,762,220 | $ 8,357,700 | $ 7,784,024 | $ 38,972,934 | $ 35,864,664 | $ 33,183,744 | |
Segment profit | 4,763,227 | 4,403,208 | 4,257,759 | |||||||||
General corporate expense | 545,034 | 515,032 | 408,236 | |||||||||
Loss on early extinguishment of debt | 0 | 0 | 51,773 | |||||||||
Pension settlement charge | $ 31,173 | 36,122 | 0 | 31,173 | ||||||||
Interest expense, net | 8,860 | 31,588 | 43,534 | |||||||||
Income before provision for income taxes | 4,173,211 | 3,856,588 | 3,723,043 | |||||||||
Impairment charge | 0 | 99,250 | 0 | |||||||||
Identifiable assets | 14,326,029 | 14,058,015 | 12,883,808 | 14,326,029 | 14,058,015 | 12,883,808 | ||||||
Capital expenditures | 1,125,139 | 1,057,617 | 1,024,747 | |||||||||
Depreciation and amortization | 819,655 | 725,957 | 658,796 | |||||||||
Marmaxx | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 24,057,970 | 22,249,105 | 21,246,034 | |||||||||
Segment profit | 3,253,949 | 2,949,358 | 2,995,045 | |||||||||
Identifiable assets | 6,223,110 | 5,676,464 | 5,440,448 | 6,223,110 | 5,676,464 | 5,440,448 | ||||||
Capital expenditures | 598,955 | 532,348 | 449,169 | |||||||||
Depreciation and amortization | 456,420 | 399,014 | 385,007 | |||||||||
HomeGoods | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 5,787,365 | 5,116,328 | 4,404,607 | |||||||||
Segment profit | 671,871 | 674,511 | 613,778 | |||||||||
Identifiable assets | 1,416,687 | 1,237,811 | 1,086,947 | 1,416,687 | 1,237,811 | 1,086,947 | ||||||
Capital expenditures | 170,978 | 149,505 | 173,979 | |||||||||
Depreciation and amortization | 110,978 | 94,709 | 77,287 | |||||||||
TJX Canada | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 3,869,779 | 3,642,282 | 3,171,127 | |||||||||
Segment profit | 551,617 | 530,113 | 413,417 | |||||||||
Identifiable assets | 914,789 | 1,459,924 | 1,345,003 | 914,789 | 1,459,924 | 1,345,003 | ||||||
Capital expenditures | 82,333 | 88,761 | 100,437 | |||||||||
Depreciation and amortization | 66,365 | 68,033 | 62,427 | |||||||||
TJX International | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 5,257,820 | 4,856,949 | 4,361,976 | |||||||||
Segment profit | 285,790 | 249,226 | 235,519 | |||||||||
Identifiable assets | 2,344,033 | 2,321,001 | 1,789,140 | 2,344,033 | 2,321,001 | 1,789,140 | ||||||
Capital expenditures | 272,873 | 287,003 | 301,162 | |||||||||
Depreciation and amortization | 180,631 | 159,010 | 129,376 | |||||||||
Corporate | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Identifiable assets | $ 3,427,410 | $ 3,362,815 | $ 3,222,270 | 3,427,410 | 3,362,815 | 3,222,270 | ||||||
Depreciation and amortization | $ 5,261 | $ 5,191 | $ 4,699 |
Schedule of Estimated Fair Value of Options as of Grant Date by Using Black-Scholes Option Pricing Model (Detail) - $ / shares |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Risk-free interest rate | 2.88% | 1.75% | 1.20% |
Dividend yield | 1.40% | 1.50% | 1.20% |
Expected volatility factor | 23.50% | 23.50% | 23.80% |
Expected option life in years | 4 years 10 months 24 days | 4 years 9 months 18 days | 4 years 9 months 18 days |
Weighted average fair value of options issued | $ 11.85 | $ 7.16 | $ 7.28 |
Pension Plans and Other Retirement Benefits - Weighted Average Assumptions for Obligation (Detail) |
Feb. 02, 2019 |
Nov. 03, 2018 |
Sep. 30, 2018 |
Feb. 03, 2018 |
---|---|---|---|---|
Funded Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate | 4.30% | 4.40% | 4.00% | 4.00% |
Rate of compensation increase | 4.00% | 4.00% | ||
Unfunded Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate | 4.10% | 3.80% | ||
Rate of compensation increase | 6.00% | 6.00% |
Pension Plans and Other Retirement Benefits - Components of Net Periodic Benefit Cost and Other Amounts Recognized in Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands |
3 Months Ended | 4 Months Ended | 8 Months Ended | 9 Months Ended | 12 Months Ended | |||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2018 |
Sep. 30, 2016 |
Nov. 03, 2018 |
Jan. 28, 2017 |
Feb. 02, 2019 |
Jan. 28, 2017 |
Sep. 30, 2018 |
Sep. 30, 2016 |
Nov. 03, 2018 |
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||||||||||
Settlement charge | $ 31,173 | $ 36,122 | $ 0 | $ 31,173 | ||||||||
Expected rate of return on plan assets | 6.50% | 6.00% | ||||||||||
Rate of compensation increase | 4.80% | 3.80% | ||||||||||
Funded Plan | ||||||||||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||||||||||
Service cost | 45,342 | $ 46,845 | 45,440 | |||||||||
Interest cost | 54,355 | 55,301 | 56,094 | |||||||||
Expected return on plan assets | (79,190) | (69,345) | (70,535) | |||||||||
Amortization of prior service cost | 377 | 377 | 377 | |||||||||
Amortization of net actuarial loss | 12,250 | 21,557 | 31,397 | |||||||||
Settlement charge | $ 36,122 | 36,122 | 0 | 31,173 | ||||||||
Total expense | 69,256 | 54,735 | 93,946 | |||||||||
Net (gain) loss | 68,770 | (38,293) | 17,894 | |||||||||
Amortization of net (loss) | (12,250) | (21,557) | (31,397) | |||||||||
Settlement charge | (36,122) | 0 | (31,173) | |||||||||
Amortization of prior service cost | (377) | (377) | (377) | |||||||||
Total recognized in other comprehensive income (loss) | 20,021 | (60,227) | (45,053) | |||||||||
Total recognized in net periodic benefit cost and other comprehensive income (loss) | $ 89,277 | $ (5,492) | $ 48,893 | |||||||||
Discount rate | 4.40% | 3.80% | 4.00% | 4.80% | 4.40% | |||||||
Expected rate of return on plan assets | 6.00% | 6.00% | 6.00% | 6.00% | 6.50% | 6.00% | 6.00% | |||||
Rate of compensation increase | 4.00% | 4.00% | 4.00% | |||||||||
Unfunded Plan | ||||||||||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||||||||||
Service cost | $ 2,391 | $ 1,888 | $ 1,835 | |||||||||
Interest cost | 3,600 | 3,316 | 3,391 | |||||||||
Amortization of net actuarial loss | 3,409 | 2,852 | 3,349 | |||||||||
Total expense | 9,400 | 8,056 | 8,575 | |||||||||
Net (gain) loss | 5,955 | 4,580 | 740 | |||||||||
Amortization of net (loss) | (3,409) | (2,852) | (3,349) | |||||||||
Total recognized in other comprehensive income (loss) | 2,546 | 1,728 | (2,609) | |||||||||
Total recognized in net periodic benefit cost and other comprehensive income (loss) | $ 11,946 | $ 9,784 | $ 5,966 | |||||||||
Discount rate | 3.80% | 4.00% | 4.20% | |||||||||
Rate of compensation increase | 6.00% | 6.00% | 6.00% |
Pension Plans and Other Retirement Benefits - Schedule of Benefits Expected to be Paid in Each of Next Five Fiscal Years and Thereafter (Detail) $ in Thousands |
Feb. 02, 2019
USD ($)
|
---|---|
Funded Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
2020 | $ 25,557 |
2021 | 30,134 |
2022 | 35,072 |
2023 | 40,515 |
2024 | 46,200 |
2025 through 2029 | 313,971 |
Unfunded Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
2020 | 4,799 |
2021 | 3,684 |
2022 | 4,625 |
2023 | 47,780 |
2024 | 6,104 |
2025 through 2029 | $ 32,706 |
Pension Plans and Other Retirement Benefits - Summary of Target Allocation Guidelines for Plan Assets Along with Actual Allocation of Plan Assets as of Valuation Date (Detail) |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Return-seeking Assets | ||
Pension Plans and Other Retirement Benefits [Line Items] | ||
Target Allocation | 50.00% | |
Actual Allocation | 43.00% | 47.00% |
Liability-hedging Assets | ||
Pension Plans and Other Retirement Benefits [Line Items] | ||
Target Allocation | 50.00% | |
Actual Allocation | 49.00% | 46.00% |
Cash and Cash Equivalents | ||
Pension Plans and Other Retirement Benefits [Line Items] | ||
Target Allocation | 0.00% | |
Actual Allocation | 8.00% | 7.00% |
Long-Term Debt, Exclusive of Current Installments (Detail) - USD ($) $ in Thousands |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Debt Instrument [Line Items] | ||
Debt issuance cost | $ (10,364) | $ (12,506) |
Long-term debt | 2,233,616 | 2,230,607 |
2.50% Ten-Year Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | 499,811 | 499,766 |
2.75% Seven-Year Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | 749,826 | 749,750 |
2.25% Ten-Year Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 994,343 | $ 993,597 |
Long-Term Debt, Exclusive of Current Installments (Additional Information) (Detail) - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
|
Debt Instrument [Line Items] | ||
Unamortized debt discount | $ 6,020 | |
2.50% Ten-Year Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 2.50% | |
Maturity date | May 15, 2023 | |
Unamortized debt discount | $ 189 | $ 234 |
Effective interest rate | 2.51% | |
2.75% Seven-Year Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 2.75% | |
Maturity date | Jun. 15, 2021 | |
Unamortized debt discount | $ 174 | 250 |
Effective interest rate | 2.76% | |
2.25% Ten-Year Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate | 2.25% | |
Maturity date | Sep. 15, 2026 | |
Unamortized debt discount | $ 5,657 | $ 6,403 |
Effective interest rate | 2.32% |
Aggregate Maturities of Long-Term Debt, Inclusive of Current Installments (Detail) - USD ($) $ in Thousands |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Debt Disclosure [Abstract] | ||
Fiscal Year 2020 | $ 0 | |
2021 | 0 | |
2022 | 750,000 | |
2023 | 0 | |
2024 | 500,000 | |
Later years | 1,000,000 | |
Less amount representing unamortized debt discount | (6,020) | |
Less amount representing debt issuance cost | (10,364) | $ (12,506) |
Aggregate maturities of long-term debt | $ 2,233,616 | $ 2,230,607 |
Components of Income Before Income Taxes (Detail) - USD ($) $ in Thousands |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Income Tax Disclosure [Abstract] | |||
Income from continuing operations before income taxes, united states | $ 3,463,785 | $ 3,255,057 | $ 3,196,370 |
Income from continuing operations before income taxes, foreign | 709,426 | 601,531 | 526,673 |
Income before provision for income taxes | $ 4,173,211 | $ 3,856,588 | $ 3,723,043 |
Provision for Income Taxes (Detail) - USD ($) $ in Thousands |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Current: | |||
Federal | $ 711,369 | $ 1,063,141 | $ 1,068,778 |
State | 251,187 | 160,650 | 213,505 |
Foreign | 238,692 | 161,974 | 148,367 |
Deferred: | |||
Federal | (62,278) | (164,523) | (3,107) |
State | (27,831) | 27,595 | (10,583) |
Foreign | 2,274 | (197) | 7,849 |
Provision for income taxes | $ 1,113,413 | $ 1,248,640 | $ 1,424,809 |
Deferred Tax Assets (Liabilities) (Detail) - USD ($) $ in Thousands |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Deferred tax assets: | ||
Net operating loss carryforward | $ 49,489 | $ 40,088 |
Reserves for lease obligations | 2,799 | 3,637 |
Pension, stock compensation, postretirement and employee benefits | 273,482 | 232,887 |
Leases | 45,740 | 42,999 |
Accruals and reserves | 42,709 | 51,281 |
Other | 65,776 | 25,599 |
Total gross deferred tax assets | 479,995 | 396,491 |
Valuation allowance | (51,711) | (42,332) |
Net deferred tax asset | 428,284 | 354,159 |
Deferred tax liabilities: | ||
Property, plant and equipment | 497,906 | 437,621 |
Capitalized inventory | 42,981 | 45,125 |
Tradename/intangibles | 14,019 | 12,628 |
Undistributed foreign earnings | 1,856 | 65,013 |
Other | 23,246 | 20,271 |
Total deferred tax liabilities | 580,008 | 580,658 |
Net deferred tax (liability) | (151,724) | (226,499) |
Non-current asset | 6,467 | 6,558 |
Non-current liability | (158,191) | (233,057) |
Net deferred tax (liability) | $ (151,724) | $ (226,499) |
Reconciliation of U.S. Federal Statutory Income Tax Rate and Worldwide Effective Income Tax Rate (Detail) |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Income Tax Disclosure [Abstract] | |||
U.S. federal statutory income tax rate | 21.00% | 33.70% | 35.00% |
Effective state income tax rate | 4.50% | 3.60% | 3.50% |
Impact of foreign operations | 1.20% | (0.10%) | (0.20%) |
Excess share-based compensation | (1.20%) | (1.30%) | 0.00% |
Impact of 2017 Tax Act | 1.50% | (2.30%) | 0.00% |
All other | (0.30%) | (1.20%) | 0.00% |
Worldwide effective income tax rate | 26.70% | 32.40% | 38.30% |
Reconciliation of Beginning and Ending Gross Amount of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance at beginning of year | $ 61,704 | $ 49,092 | $ 43,326 |
Additions for uncertain tax positions taken in current year | 7,406 | 6,504 | 7,018 |
Additions for uncertain tax positions taken in prior years | 177,741 | 7,990 | 327 |
Reductions for uncertain tax positions taken in prior years | 0 | (587) | (334) |
Reductions resulting from lapse of statute of limitations | (1,388) | (1,295) | (1,245) |
Settlements with tax authorities | (1,268) | 0 | 0 |
Balance at end of year | $ 244,195 | $ 61,704 | $ 49,092 |
Commitments - Additional Information (Detail) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Commitments [Line Items] | |||
Rental expense under operating leases for continuing operations | $ 1,700.0 | $ 1,600.0 | $ 1,400.0 |
Contingent rent paid | 22.8 | 18.4 | 14.7 |
Sublease income | 1.2 | 1.3 | $ 1.2 |
Outstanding letters of credit issued for the purchase of inventory | 41.9 | $ 40.2 | |
Other Long Term Liabilities | |||
Commitments [Line Items] | |||
Liabilities | $ 243.3 | ||
TJX U.S and Canada | Maximum | |||
Commitments [Line Items] | |||
Operating leases, term | 10 years | ||
Options to extend, term | 5 years | ||
TJX U.S and Canada | Minimum | |||
Commitments [Line Items] | |||
Options to extend, term | 1 year | ||
TJX Europe | Maximum | |||
Commitments [Line Items] | |||
Operating leases, term | 15 years | ||
TJX Europe | Minimum | |||
Commitments [Line Items] | |||
Operating leases, term | 10 years | ||
TJX Australia | Maximum | |||
Commitments [Line Items] | |||
Operating leases, term | 10 years | ||
TJX Australia | Minimum | |||
Commitments [Line Items] | |||
Operating leases, term | 7 years |
Schedule of Future Minimum Lease Payments for Continuing Operations (Detail) $ in Thousands |
Feb. 02, 2019
USD ($)
|
---|---|
Commitments and Contingencies Disclosure [Abstract] | |
Fiscal Year 2020 | $ 1,676,700 |
2021 | 1,603,378 |
2022 | 1,441,444 |
2023 | 1,253,420 |
2024 | 1,042,184 |
Later years | 2,774,845 |
Total future minimum lease payments | $ 9,791,971 |
Schedule of Accrued Expenses and Other Current Liabilities (Detail) - USD ($) $ in Thousands |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Payables and Accruals [Abstract] | ||
Employee compensation and benefits, current | $ 737,920 | $ 686,294 |
Dividends payable | 241,972 | 199,029 |
Accrued capital additions | 119,172 | 90,336 |
Rent, utilities and occupancy, including real estate taxes | 243,192 | 234,183 |
Merchandise credits and gift certificates | 450,302 | 399,482 |
Sales tax collections and V.A.T. taxes | 170,249 | 200,005 |
All other current liabilities | 770,269 | 713,632 |
Total accrued expenses and other current liabilities | $ 2,733,076 | $ 2,522,961 |
Accrued Expenses and Other Liabilities Current and Long Term - Additional Information (Detail) |
12 Months Ended |
---|---|
Feb. 02, 2019 | |
Payables and Accruals [Abstract] | |
Percentage of other current liability individual item which makes up current liabilities | 5.00% |
Schedule of Other Long-Term Liabilities (Detail) - USD ($) $ in Thousands |
Feb. 02, 2019 |
Feb. 03, 2018 |
---|---|---|
Payables and Accruals [Abstract] | ||
Employee compensation and benefits, long-term | $ 449,065 | $ 442,624 |
Accrued rent | 269,057 | 263,178 |
Landlord allowances | 80,425 | 88,747 |
Income taxes payable | 0 | 176,772 |
Tax reserve, long-term | 235,467 | 44,753 |
Build-to-suit lease obligations | 243,258 | 221,917 |
Asset retirement obligation | 49,692 | 49,266 |
All other long-term liabilities | 27,278 | 33,248 |
Total other long-term liabilities | $ 1,354,242 | $ 1,320,505 |
Contingent Obligations and Contingencies - Additional Information (Detail) $ in Millions |
12 Months Ended |
---|---|
Feb. 02, 2019
USD ($)
Leases
| |
Commitments and Contingencies Disclosure [Abstract] | |
Number of leases subject to contingent liability, maximum | Leases | 8 |
Estimated contingent obligations | $ | $ 37.1 |
Summary of Cash Payments for Interest and Income Taxes and Non-Cash Investing and Financing Activities (Detail) - USD ($) $ in Thousands |
12 Months Ended | ||
---|---|---|---|
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Supplemental Cash Flow Elements [Abstract] | |||
Cash paid for: Interest on debt | $ 64,007 | $ 64,308 | $ 72,619 |
Cash paid for: Income taxes | 1,147,511 | 1,289,964 | 1,282,172 |
Non-cash investing and financing activity: Construction in progress | (40,911) | (27,207) | (94,291) |
Non-cash investing and financing activity: Financing lease obligation | 40,911 | 27,207 | 94,291 |
Non-cash investing and financing activity: Dividends payable | 42,943 | 29,836 | 29,195 |
Non-cash investing and financing activity: Property additions | $ 28,836 | $ (21,627) | $ (20,908) |
Selected Quarterly Consolidated Financial Data (Detail) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | 12 Months Ended | |||||||||
---|---|---|---|---|---|---|---|---|---|---|---|
Feb. 02, 2019 |
Nov. 03, 2018 |
Aug. 04, 2018 |
May 05, 2018 |
Feb. 03, 2018 |
Oct. 28, 2017 |
Jul. 29, 2017 |
Apr. 29, 2017 |
Feb. 02, 2019 |
Feb. 03, 2018 |
Jan. 28, 2017 |
|
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net sales | $ 11,127,340 | $ 9,825,759 | $ 9,331,115 | $ 8,688,720 | $ 10,960,720 | $ 8,762,220 | $ 8,357,700 | $ 7,784,024 | $ 38,972,934 | $ 35,864,664 | $ 33,183,744 |
Gross earnings | 3,093,700 | 2,842,276 | 2,695,300 | 2,510,481 | 3,111,320 | 2,612,200 | 2,385,025 | 2,253,952 | |||
Net income | $ 841,538 | $ 762,253 | $ 739,626 | $ 716,381 | $ 877,276 | $ 641,436 | $ 552,957 | $ 536,279 | $ 3,059,798 | $ 2,607,948 | $ 2,298,234 |
Net income, Basic (in dollars per share) | $ 0.69 | $ 0.62 | $ 0.59 | $ 0.57 | $ 0.70 | $ 0.51 | $ 0.43 | $ 0.41 | $ 2.47 | $ 2.05 | $ 1.75 |
Diluted earnings per share (in dollars per share) | $ 0.68 | $ 0.61 | $ 0.58 | $ 0.56 | $ 0.69 | $ 0.50 | $ 0.42 | $ 0.41 | $ 2.43 | $ 2.02 | $ 1.73 |
Selected Quarterly Consolidated Financial Data (Additional Information) (Detail) $ in Thousands |
3 Months Ended | 12 Months Ended | |||
---|---|---|---|---|---|
Nov. 03, 2018
USD ($)
|
Jan. 28, 2017
USD ($)
|
Feb. 02, 2019
USD ($)
|
Feb. 03, 2018
USD ($)
|
Jan. 28, 2017
USD ($)
|
|
Quarterly Financial Information Disclosure [Abstract] | |||||
Impairment charge | $ 0 | $ 99,250 | $ 0 | ||
Pension settlement charge | $ (31,173) | $ (36,122) | 0 | (31,173) | |
Stock split ratio, common stock | 2 | ||||
Funded Plan | |||||
Pension settlement charge | $ (36,122) | $ (36,122) | $ 0 | $ (31,173) |
25,U6(@
MQX8*N&, ,4/AV.@ -P/D-ZC%S0#8FV&B%@$5XPTU..L :R9VMKN6WIH?&F4:
MJ;/9H8._!]-!CN:7NK/O^O!WFNZSX#L5N[*1WC-7NC^U7>26<\5TC>$G?>?W
M^DMD&%1LJ\QIIL]%UXYW \7;_E,C&+YW%O\ 4$L#!!0 ( %B@TZPLQ[L
MQP$ #<$ 9 >&PO=V]R:W-H965T&PO=V]R:W-H965T