DISCONTINUED OPERATIONS

6 Months Ended

Aug. 03, 2014

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS

NOTE 2 — DISCONTINUED OPERATIONS

In January 2014, the Company approved the disposal of Litemor, a specialty lighting distributor within the Company’s HD Supply Canada business. During the first six months of fiscal 2014, the Company initiated and finalized the disposal process of Litemor through liquidation and branch sales, resulting in a pre-tax loss on disposal of $15 million, which includes cash and non-cash charges.

Summary Financial Information

In accordance with Accounting Standards Codification (“ASC”) 205-20, Discontinued Operations, the results of Litemor’s operations and the loss on disposal of the business are classified as discontinued operations. The presentation of discontinued operations includes revenues and expenses of the discontinued operations and loss on the disposal of business, net of tax, as one line item on the Consolidated Statements of Operations and Comprehensive Income (Loss). All Consolidated Statements of Operations and Comprehensive Income (Loss) presented have been revised to reflect this presentation.

The following table provides additional detail related to the results of operations of the discontinued operations (amounts in millions):

	Three Months Ended						Six Months Ended
	August 3, 2014			August 4, 2013			August 3, 2014			August 4, 2013
Net sales	$	—		$	20		$	17		$	40
Loss on disposal of discontinued operations	(1		)	—			(15		)	—
Income (loss) before provision for income taxes	$	(1	)	$	(1	)	$	(15	)	$	(2	)
Provision for income taxes	1			—			4			—
Income (loss) from discontinued operations, net of tax	$	—		$	(1	)	$	(11	)	$	(2	)