Segment Information

3 Months Ended

May 01, 2021

Segment Information [Abstract]

Segment Information

3. Segment Information

We have integrated all available shopping channels including stores, websites, apps, social channels, and catalogs. Store sales are primarily fulfilled from the store’s inventory but may also be shipped from any of our distribution centers or from a different store location if an item is not available at the original store. Direct-to-customer orders are generally shipped to our customers through our distribution centers but may also be shipped from any store or a combination of our distribution centers and stores depending on the availability of particular items.

We evaluate performance based on several factors, primarily the banner’s financial results, referred to as division profit. Division profit reflects income before income taxes, impairment and other charges, corporate expense, non-operating income, and net interest (expense) income.

	Thirteen weeks ended
	May 1,		May 2,
($ in millions)	2021		2020
Sales	$	2,153	$	1,176
Operating Results
Division (loss) profit		315		(79)
Less: Impairment and other charges (1)		4		16
Less: Corporate expense (2)		29		10
Income (loss) from operations		282		(105)
Interest expense, net		(2)		(1)
Other income, net		4		1
Income (loss) before income taxes	$	284	$	(105)

(1) During the thirteen weeks ended May 1, 2021, we recorded pre-tax charges as detailed in Note 4, Impairment and Other Charges.

(2) Corporate expense consists of unallocated selling, general and administrative expenses, as well as depreciation and amortization related to our corporate headquarters, centrally managed departments, unallocated insurance and benefit programs, certain foreign exchange transaction gains and losses, and other items.