Impairment, Restructuring and Other Costs

3 Months Ended

May 02, 2020

Restructuring Costs and Asset Impairment Charges [Abstract]

Impairment, Restructuring and Other Costs

Impairment, Restructuring and Other Costs

	13 Weeks Ended
	May 2, 2020		May 4, 2019
	(millions)
Impairments	$	3,150	$	—
Restructuring	25		—
Other	9		1
Total	$	3,184	$	1

During the 13 weeks ended May 2, 2020, primarily as a result of the COVID-19 pandemic, the Company incurred non-cash impairment charges totaling $3,150 million consisting of:

• $3,070 million of goodwill impairments, with $2,972 million attributable to the Macy's reporting unit and $98 million attributable to the Bluemercury reporting unit. See discussion at Note 4, "Goodwill and Indefinite Lived Intangible Assets."

• $80 million of impairments on long-lived tangible and right of use assets to adjust the carrying value of certain store locations to their estimated fair value.

A summary of the restructuring and other cash activity for the 13 weeks ended May 2, 2020 related to the Polaris strategy, which was announced in February 2020 and are included within accounts payable and accrued liabilities, is as follows:

	Severance and other benefits			Professional fees and other related charges			Total
	(millions)
Balance at February 1, 2020	$	115		$	9		$	124
Additions charged to expense	25			7			32
Cash payments	(82		)	(6		)	(88		)
Balance at May 2, 2020	$	58		$	10		$	68