Restructuring, Impairment and Disposal Charges

3 Months Ended

Feb. 02, 2020

Restructuring and Related Activities [Abstract]

Restructuring, Impairment and Disposal Charges

Restructuring Charges

The following is a summary of significant restructuring expense recognized primarily in operating expenses:


•	In connection with the Symantec Asset Purchase, we initiated cost reduction activities and recognized $33 million of restructuring expense primarily related to employee termination costs during the fiscal quarter ended February 2, 2020. We expect these restructuring activities to be substantially completed by the end of fiscal year 2020.

•

During the first quarter of fiscal year 2019, we initiated cost reduction activities associated with the CA Merger. As a result, we recognized $19 million and $594 million of restructuring expense primarily related to employee termination and lease and other exit costs during the fiscal quarters ended February 2, 2020 and February 3, 2019, respectively. We expect these restructuring activities to be substantially completed by the end of fiscal year 2020.

The following table summarizes the significant activities within, and components of, the restructuring liabilities during the fiscal quarter ended February 2, 2020.



	Employee Termination Costs			Leases and Other Exit Costs			Total

	(In millions)
Balance as of November 3, 2019	$	69		$	39		$	108
Restructuring charges ^(a)	51			11			62
Utilization	(41		)	(14		)	(55		)
Effect of adoption of Topic 842 ^(b)	—			(36		)	(36		)
Balance as of February 2, 2020 ^(c)	$	79		$	—		$	79

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(a) Included $5 million of restructuring expense related to discontinued operations recognized during the fiscal quarter ended February 2, 2020, which was included in income from discontinued operations.

(b) Upon adoption of Topic 842, certain restructuring lease liabilities were required to be recognized as a reduction to the corresponding ROU assets.