Derivative Financial Instruments (Tables)

12 Months Ended

Jan. 31, 2015

Foreign Exchange Forward Contracts Outstanding

As of January 31, 2015 and February 1, 2014, we had foreign exchange forward contracts outstanding in the following notional amounts:



(notional amounts in millions)	January 31, 2015		February 1, 2014
U.S. dollars (1)	$	1,395	$	1,309
Canadian dollars	C$	14	C$	8
Euro	€	1	€	25

__________


(1)	The principal currencies hedged against changes in the U.S. dollar were British pounds, Canadian dollars, Euro, and Japanese yen.

Fair Values of Asset and Liability Derivative Financial Instruments

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



($ in millions)	January 31, 2015		February 1, 2014
Derivatives designated as cash flow hedges:
Other current assets	$	115	$	48
Other long-term assets	$	23	$	6
Accrued expenses and other current liabilities	$	—	$	13
Lease incentives and other long-term liabilities	$	—	$	1

Derivatives designated as net investment hedges:
Other current assets	$	1	$	1
Other long-term assets	$	—	$	—
Accrued expenses and other current liabilities	$	—	$	—
Lease incentives and other long-term liabilities	$	—	$	—

Derivatives not designated as hedging instruments:
Other current assets	$	18	$	9
Other long-term assets	$	—	$	—
Accrued expenses and other current liabilities	$	1	$	1
Lease incentives and other long-term liabilities	$	—	$	—

Total derivatives in an asset position	$	157	$	64
Total derivatives in a liability position	$	1	$	15

Effects of Derivative Financial Instruments on OCI and Consolidated Statements of Income

The effective portion of gains and losses on foreign exchange forward contracts in cash flow hedging and net investment hedging relationships recorded in OCI and the Consolidated Statements of Income, on a pre-tax basis, are as follows:



	Fiscal Year
($ in millions)	2014		2013		2012
Derivatives in cash flow hedging relationships:
Gain recognized in other comprehensive income	$	166	$	78	$	46
Gain reclassified into cost of goods sold and occupancy expenses	$	53	$	59	$	5
Gain reclassified into operating expenses	$	8	$	11	$	4

Derivatives in net investment hedging relationships:
Gain recognized in other comprehensive income	$	4	$	17	$	—

Not Designated as Hedging Instrument [Member]

Derivative [Line Items]

Effects of Derivative Financial Instruments on OCI and Consolidated Statements of Income

Gains and losses on foreign exchange forward contracts not designated as hedging instruments recorded in the Consolidated Statements of Income, on a pre-tax basis are as follows:



	Fiscal Year
($ in millions)	2014		2013		2012
Gain recognized in operating expenses	$	20	$	5	$	5