Stock Compensation Plans

6 Months Ended

Jul. 30, 2011

Stock Compensation Plans

Stock Compensation Plans

NOTE 8: STOCK COMPENSATION PLANS

The following table summarizes our stock-based compensation expense:

	Quarter Ended				Six Months Ended
	July 30, 2011		July 31, 2010		July 30, 2011		July 31, 2010
Stock options	$	10	$	8	$	18	$	17
Performance share units		—		—		1		1
HauteLook stock compensation		4		—		6		—
Employee stock purchase plan		1		1		1		1
Other		2		1		2		1
Total stock-based compensation expense, before income tax benefits	$	17	$	10	$	28	$	20
Income tax benefit		(7)		(3)		(11)		(7)
Total stock-based compensation expense, net of income tax benefit	$	10	$	7	$	17	$	13

During the six months ended July 30, 2011 and July 31, 2010, we granted 2.7 and 2.6 options with weighted average grant-date fair values per option of $15 and $13.

As discussed in Note 2: Acquisition, portions of both the upfront and earn-out consideration for our acquisition of HauteLook are subject to ongoing vesting requirements for HauteLook's employees. These amounts will therefore be recorded as compensation expense as the related service is performed over the respective employee vesting periods of up to four years after the acquisition date (subject also to HauteLook's financial performance in the case of the earn-out consideration). These shares are not issued from our 2010 Equity Incentive Plan, but rather from our unallocated and unissued shares.