Restructuring Charges (Tables)

11 Months Ended

Feb. 02, 2013

Restructuring and Related Activities [Abstract]

Composition of restructuring charges for both the Domestic and International segments

The composition of the restructuring charges we incurred in fiscal 2013 (11-month) was as follows ($ in millions):



	Domestic
Continuing operations
Property and equipment impairments	$	29
Termination benefits	77
Facility closure and other costs	151
Total	$	257

The composition of the restructuring charges we incurred in fiscal 2013 (11-month) for Phase One of the Renew Blue plan was as follows ($ in millions):



	Domestic		International		Total
Continuing operations
Inventory write-downs	$	1	$	—	$	1
Property and equipment impairments	7		23		30
Termination benefits	46		9		55
Investment impairments	27		—		27
Facility closure and other costs	3		55		58
Total	$	84	$	87	$	171

The composition of the restructuring charges we incurred in fiscal 2013 (11-month), 2012, and 2011 as well as the cumulative amount incurred through the end of fiscal 2013 (11-month), for our fiscal 2011 restructuring activities, was as follows ($ in millions):



	Domestic										International										Total
	11-Month 2013			12-Month 2012			12-Month 2011		Cumulative Amount		11-Month 2013			12-Month 2012			12-Month 2011		Cumulative Amount		11-Month 2013			12-Month 2012			12-Month 2011		Cumulative Amount
Continuing operations
Inventory write-downs	$	—		$	19		$	9	$	28	$	—		$	—		$	—	$	—	$	—		$	19		$	9	$	28
Property & equipment impairments⁽¹⁾	(12		)	—			15		3		—			—			107		107		(12		)	—			122		110
Termination benefits	—			(3		)	16		13		—			—			—		—		—			(3		)	16		13
Facility closure and other costs	—			4			—		4		—			—			—		—		—			4			—		4
Total	(12		)	20			40		48		—			—			107		107		(12		)	20			147		155
Discontinued operations
Inventory write-downs	—			—			—		—		—			—			15		15		—			—			15		15
Property & equipment impairments	—			15			—		15		—			—			25		25		—			15			25		40
Termination benefits	—			4			—		4		—			7			12		19		—			11			12		23
Intangible asset impairments	—			3			10		13		—			—			—		—		—			3			10		13
Facility closure and other costs	—			3			—		3		(1		)	(8		)	13		4		(1		)	(5		)	13		7
Total	—			25			10		35		(1		)	(1		)	65		63		(1		)	24			75		98
Total	$	(12	)	$	45		$	50	$	83	$	(1	)	$	(1	)	$	172	$	170	$	(13	)	$	44		$	222	$	253

(1) Included within the property and equipment impairments is a gain on sale of previously impaired property and equipment.

The composition of the restructuring charges we incurred in fiscal 2013 (11-month) and 2012, as well as the cumulative amount incurred through the end of fiscal 2013 (11-month), for our fiscal 2012 restructuring activities, was as follows ($ in millions):



	Domestic							International							Total
	11-Month 2013			12-Month 2012		Cumulative Amount		11-Month 2013			12-Month 2012		Cumulative Amount		11-Month 2013			12-Month 2012		Cumulative Amount
Continuing operations
Property and equipment impairments	$	—		$	17	$	17	$	—		$	5	$	5	$	—		$	22	$	22
Termination benefits	—			1		1		—			—		—		—			1		1
Facility closure and other costs	(1		)	5		4		—			—		—		(1		)	5		4
Total	(1		)	23		22		—			5		5		(1		)	28		27
Discontinued operations
Inventory write-downs	—			—		—		—			11		11		—			11		11
Property and equipment impairments	—			—		—		—			106		106		—			106		106
Termination benefits	—			—		—		1			16		17		1			16		17
Facility closure and other costs	—			—		—		(2		)	82		80		(2		)	82		80
Total	—			—		—		(1		)	215		214		(1		)	215		214
Total	$	(1	)	$	23	$	22	$	(1	)	$	220	$	219	$	(2	)	$	243	$	241

The composition of the restructuring charges we incurred in fiscal 2013 (11-month) was as follows ($ in millions):



	International
Discontinued operations
Property and equipment impairments	$	12
Termination benefits	19
Facility closure and other costs	5
Total	$	36

Restructuring charges incurred in fiscal 2013 (11-month), 2012, and 2011 were as follows ($ in millions):



	11-Month			12-Month
	2013			2012		2011
Continuing operations
Renew Blue	$	171		$	—	$	—
Fiscal 2013 U.S. restructuring	257			—		—
Fiscal 2012 restructuring	(1		)	28		—
Fiscal 2011 restructuring	(12		)	20		147
Total	415			48		147
Discontinued operations
Fiscal 2013 Europe restructuring	36			—		—
Fiscal 2012 restructuring	(1		)	215		—
Fiscal 2011 restructuring	(1		)	24		75
Total (Note 4)	34			239		75
Total	$	449		$	287	$	222

Restructuring activity related to termination benefits and facility closure costs

The following table summarizes our restructuring accrual activity during fiscal 2013 (11-month) related to termination benefits and facility closure and other costs associated with Phase One of the Renew Blue plan ($ in millions):



	Termination Benefits			Facility Closure and Other Costs		Total
Balance at March 3, 2012	$	—		$	—	$	—
Charges	55			54		109
Cash payments	(1		)	—		(1		)
Balance at February 2, 2013	$	54		$	54	$	108



	Termination Benefits			Facility Closure and Other Costs			Total
Balance at March 3, 2012	$	—		$	—		$	—
Charges	109			152			261
Cash payments	(65		)	(33		)	(98		)
Adjustments	(40		)	(6		)	(46		)
Balance at February 2, 2013	$	4		$	113		$	117

The following table summarizes our restructuring accrual activity during fiscal 2013 (11-month) and 2012 related to termination benefits and facility closure and other costs associated with our fiscal 2011 restructuring activities ($ in millions):



	Termination Benefits			Facility Closure and Other Costs⁽¹⁾			Total
Balance at February 26, 2011	$	28		$	13		$	41
Charges	11			6			17
Cash payments	(33		)	(14		)	(47		)
Adjustments	(3		)	4			1
Balance at March 3, 2012	3			9			12
Charges	—			—			—
Cash payments	(2		)	(8		)	(10		)
Adjustments	(1		)	(1		)	(2		)
Changes in foreign currency exchange rates	—			—			—
Balance at February 2, 2013	$	—		$	—		$	—


(1)	Included within the facility closure and other costs adjustments is $10 million from the first quarter of fiscal 2012, representing an adjustment to exclude non-cash charges or benefits, which had no impact on our Consolidated Statements of Earnings in fiscal 2012.



	Termination Benefits			Facility Closure and Other Costs⁽¹⁾			Total
Balance at February 26, 2011	$	—		$	—		$	—
Charges	17			87			104
Cash payments	—			—			—
Changes in foreign currency exchange rates	—			(2		)	(2		)
Balance at March 3, 2012	17			85			102
Charges	1			2			3
Cash payments	(18		)	(83		)	(101		)
Adjustments	—			28			28
Changes in foreign currency exchange rates	—			4			4
Balance at February 2, 2013	$	—		$	36		$	36


(1)	Included within the the adjustments to facility closure and other costs is $34 million from the first quarter of fiscal 2013 (11-month), representing an adjustment to exclude non-cash charges or benefits, which had no impact on our Consolidated Statements of Earnings in fiscal 2013 (11-month).



	Termination Benefits			Facility Closure and Other Costs		Total
Balance at March 3, 2012	$	—		$	—	$	—
Charges	19			5		24
Cash payments	(19		)	—		(19		)
Balance at February 2, 2013	$	—		$	5	$	5

- Definition

Tabular disclosure of restructuring and related costs by type of restructuring including the description of the restructuring costs, such as the expected cost; the costs incurred during the period; the cumulative costs incurred as of the balance sheet date; the income statement caption within which the restructuring charges recognized for the period are included; and changes to an entity's restructuring reserve that occurred during the period associated with the exit from or disposal of business activities or restructurings for each major type of cost.

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- Definition

Tabular disclosure of an entity's restructuring reserve that occurred during the period associated with the exit from or disposal of business activities or restructurings for each major type of cost. This element may also include a description of any reversal and other adjustment made during the period to the amount of an accrued liability for restructuring activities. This element may be used to encapsulate the roll forward presentations of an entity's restructuring reserve by type of cost and in total, and explanation of changes that occurred in the period.

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