

	Three Months Ended				Nine Months Ended
	October 29, 2022		October 30, 2021		October 29, 2022		October 30, 2021
Fiscal 2023 Resource Optimization Initiative	$	25	$	-	$	59	$	-
Mexico Exit and Strategic Realignment⁽¹⁾		1		(1)		2		(45)
Total	$	26	$	(1)	$	61	$	(45)

(1)Includes ($6) million related to inventory markdowns recorded in Cost of Sales on our Condensed Consolidated Statements of Earnings for the nine months ended October 30, 2021.

In light of ongoing changes in business trends, during the second quarter of fiscal 2023, we commenced an enterprise-wide initiative to better align our spending with critical strategies and operations, as well as to optimize our cost structure. Charges incurred for the periods presented are primarily comprised of employee termination benefits within our Domestic segment. We currently expect to incur additional charges through the remainder of fiscal 2023, primarily within our Domestic segment, of approximately $15 million to $30 million related to this initiative.

All charges incurred related to this plan were from continuing operations and were presented within Restructuring charges on our Condensed Consolidated Statements of Earnings.

Restructuring accrual activity within our Domestic segment related to the fiscal 2023 resource optimization initiative described above was as follows ($ in millions):

In the third quarter of fiscal 2021, we made the decision to exit our operations in Mexico and began taking other actions to more broadly align our organizational structure in support of our strategy.

Charges incurred in our International segment primarily related to our decision to exit our operations in Mexico. All of our former stores in Mexico were closed as of the first quarter of fiscal 2022.

Charges incurred in our Domestic segment primarily related to actions taken to align our organizational structure in support of our strategy. During the nine months ended October 30, 2021, we recorded a $44 million credit primarily due to a reduction in expected termination benefits resulting from adjustments to previously planned organizational changes and higher-than-expected employee retention.

All charges incurred related to this plan were from continuing operations and were presented as follows ($ in millions):


	Statement of	Three Months Ended October 30, 2021						Nine Months Ended October 30, 2021
	Earnings Location	Domestic		International		Total		Domestic		International		Total
Inventory markdowns	Cost of sales	$	-	$	-	$	-	$	-	$	(6)	$	(6)
Asset impairments	Restructuring charges		-		(1)		(1)		-		6		6
Termination benefits	Restructuring charges		-		-		-		(44)		(1)		(45)
		$	-	$	(1)	$	(1)	$	(44)	$	(1)	$	(45)



	Statement of	Cumulative Amount as of October 29, 2022
	Earnings Location	Domestic		International		Total
Inventory markdowns	Cost of sales	$	-	$	17	$	17
Asset impairments⁽¹⁾	Restructuring charges		10		63		73
Termination benefits	Restructuring charges		83		20		103
Currency translation adjustment	Restructuring charges		-		39		39
Other⁽²⁾	Restructuring charges		-		6		6
		$	93	$	145	$	238

(1)Remaining net carrying value approximates fair value and was immaterial as of October 29, 2022.

We do not expect to incur material future restructuring charges related to the exit from Mexico or strategic realignment initiatives described above, and no material liability remains as of October 29, 2022.