SUBSEQUENT EVENT

3 Months Ended

Apr. 30, 2017

SUBSEQUENT EVENT

SUBSEQUENT EVENT

NOTE 13 — SUBSEQUENT EVENT

On June 4, 2017, the Company entered into a definitive agreement to sell its Waterworks business unit to Clayton, Dubilier & Rice, LLC. The purchase price of $2.5 billion is payable in cash at closing and may be adjusted for certain working capital calculations. The transaction is expected to close in the third quarter of fiscal 2017 subject to customary regulatory approvals. The Company expects to record an estimated pre-tax gain of approximately $1.0 billion upon closing.

At April 30, 2017 and January 29, 2017, the carrying amounts of major classes of assets and liabilities of the Waterworks business unit were as follows (amounts in millions):

	April 30, 2017		January 29, 2017
Assets:
Receivables, less allowance for doubtful accounts of $4 and $4	$	404	$	345
Inventories	274		226
Property and equipment, net	49		51
Goodwill and intangible assets, net	1,071		1,071
Liabilities:
Accounts payable	$	319	$	212
Other current liabilities	23		46