Restructuring Charges (Tables)

6 Months Ended

Jul. 29, 2017

Restructuring Cost and Reserve [Line Items]

Charges incurred in the three and six months ended July 29, 2017, and July 30, 2016, for our restructuring activities were as follows ($ in millions):



	Three Months Ended						Six Months Ended
	July 29, 2017			July 30, 2016			July 29, 2017			July 30, 2016
Renew Blue Phase 2	$	—		$	(2	)	$	—		$	25
Canadian brand consolidation	(1		)	2			(1		)	1
Renew Blue⁽¹⁾	3			—			3			3
Other restructuring activities⁽²⁾	—			—			—			—
Total restructuring charges	$	2		$	—		$	2		$	29

(1)

Represents activity related to our remaining vacant space liability, primarily in our International segment, for our Renew Blue restructuring program, which began in the fourth quarter of fiscal 2013. We may continue to incur immaterial adjustments to the liability for changes in sublease assumptions or potential lease buyouts. In addition, lease payments for vacated stores will continue until leases expire or are terminated. The remaining vacant space liability was $12 million at July 29, 2017.

(2)

Represents activity related to our remaining vacant space liability for U.S. large-format store closures in fiscal 2013. We may continue to incur immaterial adjustments to the liability for changes in sublease assumptions or potential lease buyouts. In addition, lease payments for vacated stores will continue until leases expire or are terminated. The remaining vacant space liability was $8 million at July 29, 2017.

Restructuring Program Renew Blue Phase 2 [Member]

Restructuring Cost and Reserve [Line Items]

Composition of Restructuring Charges

The composition of the restructuring charges we incurred for Renew Blue Phase 2 during the three and six months ended July 29, 2017, and July 30, 2016, as well as the cumulative amount incurred through July 29, 2017, was as follows ($ in millions):



	Domestic
	Three Months Ended					Six Months Ended				Cumulative Amount
	July 29, 2017		July 30, 2016			July 29, 2017		July 30, 2016		July 29, 2017
Property and equipment impairments	$	—	$	—		$	—	$	7	$	8
Termination benefits	—		(2		)	—		18		18
Total restructuring charges	$	—	$	(2	)	$	—	$	25	$	26

Restructuring Accrual Activity

As of July 29, 2017, and January 28, 2017, there was no restructuring accrual balance. The restructuring accrual activity related to termination benefits was as follows for the six months ended July 30, 2016 ($ in millions):



	Termination Benefits
Balances at January 30, 2016	$	—
Charges	19
Cash payments	(15		)
Adjustments⁽¹⁾	(2		)
Balances at July 30, 2016	$	2


(1)	Adjustments to termination benefits represent changes in retention assumptions.

Restructuring Program Canadian Brand Consolidation [Member]

Restructuring Cost and Reserve [Line Items]

Composition of Restructuring Charges

The composition of total restructuring charges we incurred for the Canadian brand consolidation in the three and six months ended July 29, 2017, and July 30, 2016, as well as the cumulative amount incurred through July 29, 2017, was as follows ($ in millions):



	International
	Three Months Ended					Six Months Ended					Cumulative Amount
	July 29, 2017			July 30, 2016		July 29, 2017			July 30, 2016		July 29, 2017
Inventory write-downs	$	—		$	—	$	—		$	—	$	3
Property and equipment impairments	—			—		—			—		30
Tradename impairment	—			—		—			—		40
Termination benefits	—			—		—			—		25
Facility closure and other costs	(1		)	2		(1		)	1		104
Total restructuring charges	$	(1	)	$	2	$	(1	)	$	1	$	202

Restructuring Accrual Activity

The following tables summarize our restructuring accrual activity during the six months ended July 29, 2017, and July 30, 2016, related to termination benefits and facility closure and other costs associated with the Canadian brand consolidation ($ in millions):



	Termination Benefits			Facility Closure and Other Costs			Total
Balances at January 28, 2017	$	—		$	34		$	34
Charges	—			—			—
Cash payments	—			(10		)	(10		)
Adjustments⁽¹⁾	—			(1		)	(1		)
Changes in foreign currency exchange rates	—			1			1
Balances at July 29, 2017	$	—		$	24		$	24

Balances at January 30, 2016	$	2		$	64		$	66
Charges	—			1			1
Cash payments	(1		)	(18		)	(19		)
Adjustments⁽¹⁾	—			(1		)	(1		)
Changes in foreign currency exchange rates	—			4			4
Balances at July 30, 2016	$	1		$	50		$	51


(1)	Adjustments to facility closure and other costs represent changes in sublease assumptions.