Leases (Tables)

9 Months Ended

Oct. 29, 2022

Leases [Abstract]

Summary of Operating and Finance Leases

The following tables summarize our operating and finance leases and where they are presented in our Consolidated Financial Statements:

Consolidated Balance Sheets
(Dollars in Millions)	Classification	October 29, 2022	January 29, 2022	October 30, 2021
Assets
Operating leases	Operating leases	$2,318	$2,248	$2,293
Finance leases	Property and equipment, net	2,066	1,442	1,389
Total operating and finance leases		4,384	3,690	3,682
Liabilities
Current
Operating leases	Current portion of operating leases	109	145	142
Finance leases	Current portion of finance leases and financing obligations	78	87	86
Noncurrent
Operating leases	Operating leases	2,595	2,479	2,537
Finance leases	Finance leases and financing obligations	2,346	1,688	1,620
Total operating and finance leases		$5,128	$4,399	$4,385

Consolidated Statement of Operations		Three Months Ended		Nine Months Ended
(Dollars in Millions)	Classification	October 29, 2022	October 30, 2021	October 29, 2022	October 30, 2021
Operating leases	Selling, general, and administrative	$64	$71	$197	$227
Finance leases
Amortization of leased assets	Depreciation and amortization	33	27	94	70
Interest on leased assets	Interest expense, net	36	29	104	81
Total operating and finance leases		$133	$127	$395	$378

Consolidated Statement of Cash Flows	Nine Months Ended
(Dollars in Millions)	October 29, 2022	October 30, 2021
Cash paid for amounts included in the measurement of leased liabilities
Operating cash flows from operating leases	$200	$236
Operating cash flows from finance leases	99	81
Financing cash flows from finance leases	65	71

Summary of Future Lease Payments

The following table summarizes future lease payments by fiscal year:

	October 29, 2022
(Dollars in Millions)	Operating Leases	Finance Leases	Total
2022	$62	$40	$102
2023	253	215	468
2024	243	207	450
2025	233	203	436
2026	228	202	430
After 2026	3,735	3,678	7,413
Total lease payments	$4,754	$4,545	$9,299
Amount representing interest	(2,050)	(2,121)	(4,171)
Lease liabilities	$2,704	$2,424	$5,128

Summary of Weighted-Average Remaining Lease Term and Discount Rates

The following table summarizes weighted-average remaining lease term and discount rate:

	October 29, 2022	January 29, 2022
Weighted-average remaining term (years)
Operating leases	20	20
Finance leases	21	20
Weighted-average discount rate
Operating leases	6%	6%
Finance leases	6%	7%

Summary of Other Lease Information

Other lease information is as follows:

	Nine Months Ended
(Dollars in Millions)	October 29, 2022	October 30, 2021
Property and equipment acquired through exchange of:
Finance lease liabilities	$714	$755
Operating lease liabilities	167	8

Summary of Financing Obligations

The following tables summarize our financing obligations and where they are presented in our Consolidated Financial Statements:

Consolidated Balance Sheets
(Dollars in Millions)	Classification	October 29, 2022	January 29, 2022	October 30, 2021
Assets
Financing obligations	Property and equipment, net	$50	$55	$57
Liabilities
Current	Current portion of finance leases and financing obligations	17	31	31
Noncurrent	Finance leases and financing obligations	445	445	452
Total financing obligations		$462	$476	$483

Consolidated Statement of Operations		Three Months Ended		Nine Months Ended
(Dollars in Millions)	Classification	October 29, 2022	October 30, 2021	October 29, 2022	October 30, 2021
Amortization of financing obligation assets	Depreciation and amortization	1	2	5	7
Interest on financing obligations	Interest expense, net	16	11	43	30
Total financing obligations		$17	$13	$48	$37

Consolidated Statement of Cash Flows	Nine Months Ended
(Dollars in Millions)	October 29, 2022	October 30, 2021
Cash paid for amounts included in the measurement of financing obligations
Operating cash flows from financing obligations	$42	$30
Financing cash flows from financing obligations	16	25
Proceeds from financing obligations	9	8

Summary of Future Financing Obligation Payments

The following table summarizes future financing obligation payments by fiscal year:

	October 29, 2022
(Dollars in Millions)	Financing Obligations
2022	$17
2023	78
2024	77
2025	76
2026	74
After 2026	975
Total lease payments	$1,297
Non-cash gain on future sale of property	166
Amount representing interest	(1,001)
Financing obligation liability	$462

Summary of Weighted-Average Remaining Term and Discount Rate for Financing Obligations

The following table summarizes the weighted-average remaining term and discount rate for financing obligations:

	October 29, 2022	January 29, 2022
Weighted-average remaining term (years)	14	10
Weighted-average discount rate	14%	9%