XML 25 R12.htm IDEA: XBRL DOCUMENT v3.20.2
Impairment, Restructuring and Other Costs
 6 Months Ended
Aug. 01, 2020
Restructuring Costs and Asset Impairment Charges [Abstract]  
Impairment, Restructuring and Other Costs Impairment, Restructuring and Other Costs
13 Weeks Ended26 Weeks Ended
August 1, 2020August 3, 2019August 1, 2020August 3, 2019
 (millions)
Impairments
$15 $1 $3,164 $1 
Restructuring
169 — 194 — 
Other
58 1 68 2 
Total
$242 $2 $3,426 $3 

During the 13 and 26 weeks ended August 1, 2020, primarily as a result of the COVID-19 pandemic, the Company incurred non-cash impairment charges totaling $3,164 million the majority of which consisted of:

•$3,080 million of goodwill impairments, with $2,982 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.

The Company also recognized $154 million of expense for severance during the 13 and 26 weeks ended August 1, 2020 associated with the reduction in force in response to the COVID-19 pandemic. Nearly half of this severance was paid during the second quarter of 2020.

A summary of the restructuring and other cash activity for the 13 and 26 weeks ended August 1, 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 benefitsProfessional fees and other related chargesTotal
 (millions)
Balance at February 1, 2020$115 $9 $124 
Additions charged to expense25 7 32 
Cash payments(82)(6)(88)
Balance at May 2, 202058 10 68 
Additions charged to expense15 6 21 
Cash payments(67)(6)(73)
Balance at August 1, 2020$6 $10 $16