Restructuring and Other Expense (Income)

9 Months Ended

Dec. 27, 2025

Restructuring and Related Activities [Abstract]

Restructuring and Other Expense (Income)

Restructuring Charges - Global Optimization Plan

As previously announced during the fourth quarter of Fiscal 2024, the Board of Directors of the Company approved a Global Optimization Plan in order to streamline the Company’s operating model, maximize efficiency and support long-term profitable growth.

During the nine months ended December 27, 2025, the Company closed 30 retail stores which have been incorporated into the Global Optimization Plan, which concluded as of the second quarter of Fiscal 2026. The Company closed 20 and 39 retail stores incorporated into the Global Optimization Plan during the three and nine months ended December 28, 2024, respectively. Net restructuring charges recorded in connection with the Global Optimization Plan during the three and nine months ended December 27, 2025 were $12 million and $15 million, respectively, primarily related to lease terminations and severance costs in connection with this program.

Net restructuring income recorded in connection with the Global Optimization Plan during the three months ended December 28, 2024 was $2 million primarily related to gains on lease termination and store closure costs. During the nine months ended December 28, 2024, there was an immaterial amount of net restructuring expenses recorded in connection with the Global Optimization Plan.

The below table presents a roll forward of the Company’s restructuring liability related to its Global Optimization Plan (in millions):


	Severance and benefit costs		Lease-related and other costs			Total
Balance at March 29, 2025	$	4	$	—		$	4
Additions charged to expense	5		15		(1)	20
Payments	(8)		(15)			(23)

Balance at December 27, 2025	$	1	$	—		$	1

(1)Excludes $5 million of gains on lease terminations and store closure costs related to operating lease right-of-use assets recorded within restructuring and other expense on the consolidated statements of operations and comprehensive income (loss) for the nine months ended December 27, 2025.