SUPPLEMENTAL CONSOLIDATED FINANCIAL INFORMATION (Tables)

3 Months Ended

May 01, 2020

Condensed Financial Information Disclosure [Abstract]

The following table presents additional information on selected accounts included in the Condensed Consolidated Statements of Financial Position as of the dates indicated:



	May 1, 2020		January 31, 2020
	(in millions)
Cash, cash equivalents, and restricted cash:
Cash and cash equivalents	$	12,229	$	9,302
Restricted cash - other current assets (a)	669		730
Restricted cash - other non-current assets (a)	100		119
Total cash, cash equivalents, and restricted cash	$	12,998	$	10,151
Inventories, net:
Production materials	$	1,982	$	1,590
Work-in-process	563		563
Finished goods	1,071		1,128
Total inventories, net	$	3,616	$	3,281
Other non-current assets:
Deferred and other tax assets	$	6,043	$	5,960
Operating lease ROU assets	1,745		1,780
Deferred Commissions	986		998
Other	1,672		1,690
Total other non-current assets	$	10,446	$	10,428
Other non-current liabilities:
Deferred and other tax liabilities	$	2,874	$	3,110
Operating lease liabilities	1,350		1,360
Warranty liability	143		155
Other	973		758
Total other non-current liabilities	$	5,340	$	5,383

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(a)	Restricted cash primarily includes cash required to be held in escrow pursuant to DFS securitization arrangements and VMware, Inc. restricted cash.

Trade Receivables — Allowance for Expected Credit Losses

The following table presents the changes in Company’s allowance for expected credit losses for the period indicated:



	Three Months Ended
	May 1, 2020
	(in millions)
Trade Receivables - Allowance for expected credit losses:
Balance at beginning of period	$	94
Adjustment for adoption of the new CECL standard (Note 1)	27
Provision charged to income statement	36
Bad debt write-offs	(13		)
Balance at end of period	$	144

Liability for standard limited warranties

The following table presents changes in the Company’s liability for standard limited warranties for the periods indicated:



	Three Months Ended
	May 1, 2020			May 3, 2019
	(in millions)
Warranty liability:
Warranty liability at beginning of period	$	496		$	524
Costs accrued for new warranty contracts and changes in estimates for pre-existing warranties (a) (b)	148			203
Service obligations honored	(168		)	(227		)
Warranty liability at end of period	$	476		$	500
Current portion	$	333		$	338
Non-current portion	$	143		$	162

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(a)	Changes in cost estimates related to pre-existing warranties are aggregated with accruals for new standard warranty contracts. The Company’s warranty liability process does not differentiate between estimates made for pre-existing warranties and new warranty obligations.

(b)

Includes the impact of foreign currency exchange rate fluctuations.