Segment Information

12 Months Ended

Jan. 28, 2017

Segment Information [Abstract]

Segment Information

2. Segment Information

The Company has determined that its reportable segments are those that are based on its method of internal reporting. As of January 28, 2017, the Company has two reportable segments, Athletic Stores and Direct-to-Customers. The accounting policies of both segments are the same as those described in the Summary of Significant Accounting Policies note. The Company evaluates performance based on several factors, of which the primary financial measure is division results. Division profit reflects income before income taxes, pension litigation charge, corporate expense, non-operating income, and net interest expense.

	2016		2015		2014
Sales	($ in millions)
Athletic Stores	$	6,744	$	6,468	$	6,286
Direct-to-Customers		1,022		944		865
Total sales	$	7,766	$	7,412	$	7,151
Operating Results
Athletic Stores (1)	$	927	$	872	$	777
Direct-to-Customers (2)		143		142		109
Division profit		1,070		1,014		886
Less: Pension litigation charge		—		100		—
Less: Corporate expense (3)		70		77		81
Operating profit		1,000		837		805
Interest expense, net		2		4		5
Other income		6		4		9
Income before income taxes	$	1,004	$	837	$	809

(1)	Included in the results for 2016, 2015, and 2014 are impairment charges of $6 million, $4million, and $2 million, respectively. The 2016 and 2015 amounts reflect charges to write down long-lived store assets of Runners Point and Sidestep. The 2014 amount reflected impairment charges to fully write down the value of certain trade names. See Note 3, Impairment and Litigation Charges for additional information.
(2)	Included in the results for 2015 is a $1 million non-cash impairment charge relating to an ecommerce trade name. The 2014 amount reflected non-cash impairment charges of $2 million related to the CCS trade name. See Note 3, Impairment and Litigation Charges for additional information.
(3)	Corporate expense for all years presented reflects the reallocation of expense between corporate and the operating divisions. Based upon annual internal studies of corporate expense, the allocation of such expenses to the operating divisions was increased by $9 million for 2016, $5 million for 2015, and $4 million for 2014, thereby reducing corporate expense.

	Depreciation and
	Amortization						Capital Expenditures (1)						Total Assets
	2016		2015		2014		2016		2015		2014		2016		2015		2014
	($ in millions)
Athletic Stores	$	140	$	130	$	119	$	193	$	181	$	151	$	2,802	$	2,612	$	2,499
Direct-to-Customers		4		7		7		4		7		9		338		330		315
		144		137		126		197		188		160		3,140		2,942		2,814
Corporate		14		11		13		69		40		30		700		833		763
Total Company	$	158	$	148	$	139	$	266	$	228	$	190	$	3,840	$	3,775	$	3,577

(1) Reflects cash capital expenditures for all years presented.

Sales and long-lived asset information by geographic area as of and for the fiscal years ended January 28, 2017,  January 30, 2016, and January 31, 2015 are presented in the following tables. Sales are attributed to the country in which the sales transaction is fulfilled. Long-lived assets reflect property and equipment.

	2016		2015		2014
Sales	($ in millions)
United States	$	5,562	$	5,305	$	4,976
International		2,204		2,107		2,175
Total sales	$	7,766	$	7,412	$	7,151

	2016		2015		2014
Long-Lived Assets	($ in millions)
United States	$	575	$	486	$	446
International		190		175		174
Total long-lived assets	$	765	$	661	$	620

For the year ended January 28, 2017, the countries that comprised the majority of the sales and long-lived assets for the international category were Italy, Canada, Germany, and France. No other individual country included in the international category is significant.