Supplemental Guarantor Financial Information (Tables)

9 Months Ended

Nov. 03, 2018

Condensed Consolidating Balance Sheet [Abstract]

Condensed Balance Sheet [Table Text Block]

L BRANDS, INC.

CONDENSED CONSOLIDATING BALANCE SHEET

(in millions)

(Unaudited)

	October 28, 2017
	L Brands, Inc.			Guarantor Subsidiaries			Non- guarantor Subsidiaries		Eliminations			Consolidated L Brands, Inc.
ASSETS
Current Assets:
Cash and Cash Equivalents	$	—		$	377		$	358	$	—		$	735
Accounts Receivable, Net	1			181			103		—			285
Inventories	—			1,519			196		—			1,715
Other	(1		)	74			122		—			195
Total Current Assets	—			2,151			779		—			2,930
Property and Equipment, Net	—			2,056			864		—			2,920
Goodwill	—			1,318			30		—			1,348
Trade Names	—			411			—		—			411
Net Investments in and Advances to/from Consolidated Affiliates	4,552			18,111			1,687		(24,350		)	—
Deferred Income Taxes	—			10			13		—			23
Other Assets	130			26			640		(612		)	184
Total Assets	$	4,682		$	24,083		$	4,013	$	(24,962	)	$	7,816
LIABILITIES AND EQUITY (DEFICIT)
Current Liabilities:
Accounts Payable	$	2		$	567		$	468	$	—		$	1,037
Accrued Expenses and Other	108			485			303		—			896
Current Debt	—			—			80		—			80
Income Taxes	—			—			6		—			6
Total Current Liabilities	110			1,052			857		—			2,019
Deferred Income Taxes	(2		)	(82		)	451		—			367
Long-term Debt	5,705			597			—		(597		)	5,705
Other Long-term Liabilities	3			766			90		(15		)	844
Total Equity (Deficit)	(1,134		)	21,750			2,615		(24,350		)	(1,119		)
Total Liabilities and Equity (Deficit)	$	4,682		$	24,083		$	4,013	$	(24,962	)	$	7,816

L BRANDS, INC.

CONDENSED CONSOLIDATING BALANCE SHEET

(in millions)

(Unaudited)

	November 3, 2018
	L Brands, Inc.			Guarantor Subsidiaries			Non- guarantor Subsidiaries		Eliminations			Consolidated L Brands, Inc.
ASSETS
Current Assets:
Cash and Cash Equivalents	$	—		$	167		$	181	$	—		$	348
Accounts Receivable, Net	—			212			109		—			321
Inventories	—			1,700			263		—			1,963
Other	15			165			121		—			301
Total Current Assets	15			2,244			674		—			2,933
Property and Equipment, Net	—			2,019			915		—			2,934
Goodwill	—			1,318			30		—			1,348
Trade Names	—			411			—		—			411
Net Investments in and Advances to/from Consolidated Affiliates	4,396			19,442			2,386		(26,224		)	—
Deferred Income Taxes	—			9			11		—			20
Other Assets	127			14			683		(641		)	183
Total Assets	$	4,538		$	25,457		$	4,699	$	(26,865	)	$	7,829
LIABILITIES AND EQUITY (DEFICIT)
Current Liabilities:
Accounts Payable	$	—		$	585		$	475	$	—		$	1,060
Accrued Expenses and Other	62			583			373		—			1,018
Current Debt	—			—			56		—			56
Income Taxes	—			—			8		—			8
Total Current Liabilities	62			1,168			912		—			2,142
Deferred Income Taxes	(2		)	(43		)	279		—			234
Long-term Debt	5,743			627			71		(627		)	5,814
Other Long-term Liabilities	58			810			97		(14		)	951
Total Equity (Deficit)	(1,323		)	22,895			3,340		(26,224		)	(1,312		)
Total Liabilities and Equity (Deficit)	$	4,538		$	25,457		$	4,699	$	(26,865	)	$	7,829

L BRANDS, INC.

CONDENSED CONSOLIDATING BALANCE SHEET

(in millions)

	February 3, 2018
	L Brands, Inc.			Guarantor Subsidiaries			Non- guarantor Subsidiaries		Eliminations			Consolidated L Brands, Inc.
ASSETS
Current Assets:
Cash and Cash Equivalents	$	—		$	1,164		$	351	$	—		$	1,515
Accounts Receivable, Net	—			186			124		—			310
Inventories	—			1,095			145		—			1,240
Other	—			132			96		—			228
Total Current Assets	—			2,577			716		—			3,293
Property and Equipment, Net	—			1,984			909		—			2,893
Goodwill	—			1,318			30		—			1,348
Trade Names	—			411			—		—			411
Net Investments in and Advances to/from Consolidated Affiliates	4,973			18,298			2,106		(25,377		)	—
Deferred Income Taxes	—			10			4		—			14
Other Assets	129			18			654		(611		)	190
Total Assets	$	5,102		$	24,616		$	4,419	$	(25,988	)	$	8,149
LIABILITIES AND EQUITY (DEFICIT)
Current Liabilities:
Accounts Payable	$	2		$	349		$	366	$	—		$	717
Accrued Expenses and Other	101			529			399		—			1,029
Current Debt	—			—			87		—			87
Income Taxes	6			174			18		—			198
Total Current Liabilities	109			1,052			870		—			2,031
Deferred Income Taxes	(2		)	(46		)	286		—			238
Long-term Debt	5,706			597			1		(597		)	5,707
Other Long-term Liabilities	64			774			100		(14		)	924
Total Equity (Deficit)	(775		)	22,239			3,162		(25,377		)	(751		)
Total Liabilities and Equity (Deficit)	$	5,102		$	24,616		$	4,419	$	(25,988	)	$	8,149

Condensed Income Statement [Table Text Block]

	Year-to-Date 2017
	L Brands, Inc.			Guarantor Subsidiaries			Non- guarantor Subsidiaries			Eliminations			Consolidated L Brands, Inc.
Net Sales	$	—		$	7,398		$	2,472		$	(2,061	)	$	7,809
Costs of Goods Sold, Buying and Occupancy	—			(4,779		)	(1,930		)	1,819			(4,890		)
Gross Profit	—			2,619			542			(242		)	2,919
General, Administrative and Store Operating Expenses	(8		)	(2,059		)	(290		)	180			(2,177		)
Operating Income (Loss)	(8		)	560			252			(62		)	742
Interest Expense	(298		)	(61		)	(8		)	67			(300		)
Other Income	—			6			22			—			28
Income (Loss) Before Income Taxes	(306		)	505			266			5			470
Provision for Income Taxes	1			92			58			—			151
Equity in Earnings (Loss), Net of Tax	626			642			447			(1,715		)	—
Net Income (Loss)	$	319		$	1,055		$	655		$	(1,710	)	$	319

	Year-to-Date 2018
	L Brands, Inc.			Guarantor Subsidiaries			Non- guarantor Subsidiaries			Eliminations			Consolidated L Brands, Inc.
Net Sales	$	—		$	7,907		$	2,555		$	(2,077	)	$	8,385
Costs of Goods Sold, Buying and Occupancy	—			(5,243		)	(2,157		)	1,946			(5,454		)
Gross Profit	—			2,664			398			(131		)	2,931
General, Administrative and Store Operating Expenses	(8		)	(2,228		)	(354		)	96			(2,494		)
Operating Income (Loss)	(8		)	436			44			(35		)	437
Interest Expense	(288		)	(37		)	(5		)	38			(292		)
Other Income (Loss)	—			8			(7		)	—			1
Income (Loss) Before Income Taxes	(296		)	407			32			3			146
Provision (Benefit) for Income Taxes	(1		)	32			11			—			42
Equity in Earnings (Loss), Net of Tax	399			340			294			(1,033		)	—
Net Income (Loss)	$	104		$	715		$	315		$	(1,030	)	$	104

L BRANDS, INC.

CONDENSED CONSOLIDATING STATEMENT OF INCOME

(in millions)

(Unaudited)

	Third Quarter 2017
	L Brands, Inc.			Guarantor Subsidiaries			Non- guarantor Subsidiaries			Eliminations			Consolidated L Brands, Inc.
Net Sales	$	—		$	2,508		$	947		$	(837	)	$	2,618
Costs of Goods Sold, Buying and Occupancy	—			(1,639		)	(717		)	727			(1,629		)
Gross Profit	—			869			230			(110		)	989
General, Administrative and Store Operating Expenses	(2		)	(731		)	(104		)	80			(757		)
Operating Income (Loss)	(2		)	138			126			(30		)	232
Interest Expense	(98		)	(28		)	(3		)	30			(99		)
Other Income	—			2			—			—			2
Income (Loss) Before Income Taxes	(100		)	112			123			—			135
Provision for Income Taxes	1			27			21			—			49
Equity in Earnings (Loss), Net of Tax	187			166			67			(420		)	—
Net Income (Loss)	$	86		$	251		$	169		$	(420	)	$	86

L BRANDS, INC.

CONDENSED CONSOLIDATING STATEMENT OF INCOME (LOSS)

(in millions)

(Unaudited)

	Third Quarter 2018
	L Brands, Inc.			Guarantor Subsidiaries			Non- guarantor Subsidiaries			Eliminations			Consolidated L Brands, Inc.
Net Sales	$	—		$	2,644		$	965		$	(834	)	$	2,775
Costs of Goods Sold, Buying and Occupancy	—			(1,786		)	(838		)	777			(1,847		)
Gross Profit	—			858			127			(57		)	928
General, Administrative and Store Operating Expenses	(2		)	(785		)	(127		)	40			(874		)
Operating Income (Loss)	(2		)	73			—			(17		)	54
Interest Expense	(94		)	(19		)	—			17			(96		)
Other Income (Loss)	—			2			(1		)	—			1
Income (Loss) Before Income Taxes	(96		)	56			(1		)	—			(41		)
Provision for Income Taxes	1			(1		)	2			—			2
Equity in Earnings (Loss), Net of Tax	54			(92		)	(103		)	141			—
Net Income (Loss)	$	(43	)	$	(35	)	$	(106	)	$	141		$	(43	)

Condensed Statement of Comprehensive Income [Table Text Block]

L BRANDS, INC.

CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME

(in millions)

(Unaudited)

	Third Quarter 2017
	L Brands, Inc.		Guarantor Subsidiaries		Non- guarantor Subsidiaries			Eliminations			Consolidated L Brands, Inc.
Net Income (Loss)	$	86	$	251	$	169		$	(420	)	$	86
Other Comprehensive Income (Loss), Net of Tax:
Foreign Currency Translation	—		—		(2		)	—			(2		)
Unrealized Gain (Loss) on Cash Flow Hedges	—		—		10			—			10
Reclassification of Cash Flow Hedges to Earnings	—		—		(4		)	—			(4		)
Total Other Comprehensive Income (Loss), Net of Tax	—		—		4			—			4
Total Comprehensive Income (Loss)	$	86	$	251	$	173		$	(420	)	$	90

	Year-to-Date 2017
	L Brands, Inc.		Guarantor Subsidiaries		Non- guarantor Subsidiaries			Eliminations			Consolidated L Brands, Inc.
Net Income (Loss)	$	319	$	1,055	$	655		$	(1,710	)	$	319
Other Comprehensive Income (Loss), Net of Tax:
Foreign Currency Translation	—		—		8			—			8
Unrealized Gain (Loss) on Cash Flow Hedges	—		—		(7		)	—			(7		)
Reclassification of Cash Flow Hedges to Earnings	—		—		1			—			1
Unrealized Gain (Loss) on Marketable Securities	—		—		1			—			1
Total Other Comprehensive Income (Loss), Net of Tax	—		—		3			—			3
Total Comprehensive Income (Loss)	$	319	$	1,055	$	658		$	(1,710	)	$	322

L BRANDS, INC.

CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

(in millions)

(Unaudited)

	Third Quarter 2018
	L Brands, Inc.			Guarantor Subsidiaries			Non- guarantor Subsidiaries			Eliminations		Consolidated L Brands, Inc.
Net Income (Loss)	$	(43	)	$	(35	)	$	(106	)	$	141	$	(43	)
Other Comprehensive Income (Loss), Net of Tax:
Foreign Currency Translation	—			—			(2		)	—		(2		)
Unrealized Gain (Loss) on Cash Flow Hedges	—			—			1			—		1
Total Other Comprehensive Income (Loss), Net of Tax	—			—			(1		)	—		(1		)
Total Comprehensive Income (Loss)	$	(43	)	$	(35	)	$	(107	)	$	141	$	(44	)

	Year-to-Date 2018
	L Brands, Inc.		Guarantor Subsidiaries		Non- guarantor Subsidiaries			Eliminations			Consolidated L Brands, Inc.
Net Income (Loss)	$	104	$	715	$	315		$	(1,030	)	$	104
Other Comprehensive Income (Loss), Net of Tax:
Foreign Currency Translation	—		—		(24		)	—			(24		)
Unrealized Gain (Loss) on Cash Flow Hedges	—		—		10			—			10
Reclassification of Cash Flow Hedges to Earnings	—		—		3			—			3
Total Other Comprehensive Income (Loss), Net of Tax	—		—		(11		)	—			(11		)
Total Comprehensive Income (Loss)	$	104	$	715	$	304		$	(1,030	)	$	93

Condensed Cash Flow Statement [Table Text Block]

BRANDS, INC.

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

(in millions)

(Unaudited)

	Year-to-Date 2018
	L Brands, Inc.			Guarantor Subsidiaries			Non- guarantor Subsidiaries			Eliminations			Consolidated L Brands, Inc.
Net Cash Provided by (Used for) Operating Activities	$	(361	)	$	295		$	79		$	—		$	13
Investing Activities:
Capital Expenditures	—			(367		)	(194		)	—			(561		)
Return of Capital from Easton Investments	—			—			15			—			15
Net Investments in Consolidated Affiliates	—			—			(181		)	181			—
Other Investing Activities	—			6			2			—			8
Net Cash Provided by (Used for) Investing Activities	—			(361		)	(358		)	181			(538		)
Financing Activities:
Payment of Long-term Debt	(52		)	—			—			—			(52		)
Borrowing from Secured Revolving Facility	85			—			—			—			85
Borrowings from Foreign Facilities	—			—			110			—			110
Repayments of Foreign Facilities	—			—			(71		)	—			(71		)
Dividends Paid	(500		)	—			—			—			(500		)
Repurchases of Common Stock	(198		)	—			—			—			(198		)
Tax Payments related to Share-based Awards	(13		)	—			—			—			(13		)
Proceeds from Exercise of Stock Options	1			—			—			—			1
Financing Costs and Other	(3		)	(2		)	—			—			(5		)
Net Financing Activities and Advances to/from Consolidated Affiliates	1,041			(929		)	69			(181		)	—
Net Cash Provided by (Used for) Financing Activities	361			(931		)	108			(181		)	(643		)
Effects of Exchange Rate Changes on Cash and Cash Equivalents	—			—			1			—			1
Net Increase (Decrease) in Cash and Cash Equivalents	—			(997		)	(170		)	—			(1,167		)
Cash and Cash Equivalents, Beginning of Period	—			1,164			351			—			1,515
Cash and Cash Equivalents, End of Period	$	—		$	167		$	181		$	—		$	348

L BRANDS, INC.

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

(in millions)

(Unaudited)

	Year-to-Date 2017
	L Brands, Inc.			Guarantor Subsidiaries			Non- guarantor Subsidiaries			Eliminations			Consolidated L Brands, Inc.
Net Cash Provided by (Used for) Operating Activities	$	(289	)	$	230		$	197		$	—		$	138
Investing Activities:
Capital Expenditures	—			(461		)	(138		)	—			(599		)
Return of Capital from Easton Investments	—			—			27			—			27
Net Investments in Consolidated Affiliates	—			—			(12		)	12			—
Other Investing Activities	—			—			(9		)	—			(9		)
Net Cash Provided by (Used for) Investing Activities	—			(461		)	(132		)	12			(581		)
Financing Activities:
Borrowings from Foreign Facilities	—			—			67			—			67
Repayments of Foreign Facilities	—			—			(23		)	—			(23		)
Dividends Paid	(516		)	—			—			—			(516		)
Repurchases of Common Stock	(283		)	—			—			—			(283		)
Tax Payments related to Share-based Awards	(31		)	—			—			—			(31		)
Proceeds from Exercise of Stock Options	37			—			—			—			37
Financing Costs and Other	(5		)	(4		)	—			—			(9		)
Net Financing Activities and Advances to/from Consolidated Affiliates	1,087			(950		)	(125		)	(12		)	—
Net Cash Provided by (Used for) Financing Activities	289			(954		)	(81		)	(12		)	(758		)
Effects of Exchange Rate Changes on Cash and Cash Equivalents	—			—			2			—			2
Net Decrease in Cash and Cash Equivalents	—			(1,185		)	(14		)	—			(1,199		)
Cash and Cash Equivalents, Beginning of Period	—			1,562			372			—			1,934
Cash and Cash Equivalents, End of Period	$	—		$	377		$	358		$	—		$	735