ACCOUNTS RECEIVABLE

The components of accounts receivable are as follows:



	February 2, 2013			January 28, 2012
Credit card receivables:
Nordstrom VISA credit card receivables		$1,348			$1,347
Nordstrom private label card receivables	794			727
Total credit card receivables	2,142			2,074
Allowance for credit losses	(85		)	(115		)
Credit card receivables, net	2,057			1,959
Other accounts receivable¹	72			74
Accounts receivable, net		$2,129			$2,033

¹Other accounts receivable consist primarily of credit and debit card receivables due from third-party financial institutions.

Our credit card receivables are restricted under our securitization program. Our Series 2011-1 Class A Notes and the 2007-A Variable Funding Note are secured by 100% of the Nordstrom private label credit card receivables and 90% of the Nordstrom VISA credit card receivables, while the remaining 10% of the Nordstrom VISA credit card receivables secure the variable funding credit facility held by our wholly owned federal savings bank, Nordstrom fsb. As of February 2, 2013 and January 28, 2012, our restricted credit card receivables included more receivables than necessary to collateralize our outstanding secured debt and variable funding facilities, and as such can be utilized to increase the current usage of our securitization program. Our credit card securitization agreements set a maximum percentage of receivables that can be associated with various receivable categories, such as employee or foreign receivables, and as of February 2, 2013 and January 28, 2012, these maximums were not exceeded.

Activity in the allowance for credit losses is as follows:



Fiscal year	2012			2011			2010
Allowance at beginning of year		$115			$145			$190
Bad debt provision	56			101			149
Write-offs	(111		)	(153		)	(211		)
Recoveries	25			22			17
Allowance at end of year		$85			$115			$145

For purposes of determining impairment and recording the associated allowance for credit losses, we evaluate our credit card receivables on a collective basis as they are composed of large groups of smaller-balance homogeneous loans and, therefore, are not individually evaluated for impairment.

Under certain circumstances, we may make modifications to payment terms for a customer experiencing financial difficulties in an effort to help the customer avoid bankruptcy and to maximize our recovery of the outstanding balance. These modifications, which meet the definition of troubled debt restructurings ("TDRs"), include reduced or waived fees and finance charges, and/or reduced minimum payments. Receivables classified as TDRs were $53, or 2.5% of our total credit card receivables as of February 2, 2013 and $58, or 2.8% of our total credit card receivables as of January 28, 2012. As with other aged receivables in our portfolio, the allowance for credit losses related to receivables classified as TDRs is primarily based on our historical aging and delinquency trends and write-off experience, with qualitative consideration of factors affecting the credit quality of our portfolio, including amounts of and trends in TDRs.

Credit Quality

The primary indicators of the credit quality of our credit card receivables are aging and delinquency, particularly the levels of account balances delinquent 30 days or more as these are the accounts most likely to be written off. The following table illustrates the aging and delinquency status of our credit card receivables:



	February 2, 2013				January 28, 2012
	Balance		% of total		Balance		% of total
Current		$2,018	94.2	%		$1,928	93.0	%
1 – 29 days delinquent	84		3.9	%	92		4.4	%
30+ days delinquent:
30 – 59 days delinquent	15		0.7	%	20		1.0	%
60 – 89 days delinquent	10		0.5	%	13		0.6	%
90 days or more delinquent	15		0.7	%	21		1.0	%
Total 30+ days delinquent	40		1.9	%	54		2.6	%
Total credit card receivables		$2,142	100.0	%		$2,074	100.0	%

Receivables not accruing finance charges		$11				$15
Receivables 90 days or more delinquent and still accruing finance charges		$8				$11

We also evaluate credit quality using FICO credit scores. The following table illustrates the distribution of our credit card receivables across FICO score ranges:



	February 2, 2013				January 28, 2012
FICO Score Range¹	Balance		% of total		Balance		% of total
801+		$310	14.5	%		$307	14.8	%
660 – 800	1,366		63.8	%	1,313		63.3	%
001 – 659	379		17.7	%	390		18.8	%
Other²	87		4.0	%	64		3.1	%
Total credit card receivables		$2,142	100.0	%		$2,074	100.0	%

¹Credit scores for our cardholders are updated at least every 60 days for active accounts and every 90 days for inactive accounts. Amounts listed in the table reflect the most recently obtained credit scores as of the dates indicated.

²Other consists of amounts not yet posted to customers' accounts and receivables from customers for whom FICO scores are temporarily unavailable.