Condensed Consolidating Financial Information (Tables)

12 Months Ended

Feb. 02, 2019

Condensed Financial Information Disclosure [Abstract]

Condensed Consolidating Statement of Comprehensive Income

MACY’S, INC.

Condensed Consolidating Statement of Comprehensive Income

For 2018

(millions)

	Parent			Subsidiary Issuer			Other Subsidiaries			Consolidating Adjustments			Consolidated
Net sales	$	—		$	9,051		$	23,720		$	(7,800	)	$	24,971
Credit card revenues (expense), net	—			(3		)	771			—			768
Cost of sales	—			(5,786		)	(17,229		)	7,800			(15,215		)
Selling, general and administrative expenses	—			(3,509		)	(5,530		)	—			(9,039		)
Gains on sale of real estate	—			141			248			—			389
Restructuring, impairment, store closing and other costs	—			(33		)	(103		)	—			(136		)
Operating income (loss)	—			(139		)	1,877			—			1,738
Benefit plan income, net	—			15			24			—			39
Settlement charges	(5		)	(30		)	(53		)	—			(88		)
Interest (expense) income, net:
External	20			(260		)	4			—			(236		)
Intercompany	—			(72		)	72			—			—
Losses on early retirement of debt	—			(33		)	—			—			(33		)
Equity in earnings of subsidiaries	1,104			345			—			(1,449		)	—
Income (loss) before income taxes	1,119			(174		)	1,924			(1,449		)	1,420
Federal, state and local income tax benefit (expense)	(11		)	219			(530		)	—			(322		)
Net income	1,108			45			1,394			(1,449		)	1,098
Net loss attributable to noncontrolling interest	—			—			10			—			10
Net income attributable to Macy's, Inc. shareholders	$	1,108		$	45		$	1,404		$	(1,449	)	$	1,108
Comprehensive income (loss)	$	1,045		$	(15	)	$	1,353		$	(1,348	)	$	1,035
Comprehensive loss attributable to noncontrolling interest	—			—			10			—			10
Comprehensive income (loss) attributable to Macy's, Inc. shareholders	$	1,045		$	(15	)	$	1,363		$	(1,348	)	$	1,045

MACY’S, INC.

Condensed Consolidating Statement of Comprehensive Income

For 2017

(millions)

	Parent			Subsidiary Issuer			Other Subsidiaries			Consolidating Adjustments			Consolidated
Net sales	$	—		$	9,490		$	23,317		$	(7,868	)	$	24,939
Credit card revenues (expense), net	—			(2		)	704			—			702
Cost of sales	—			(6,122		)	(16,927		)	7,868			(15,181		)
Selling, general and administrative expenses	—			(3,426		)	(5,528		)	—			(8,954		)
Gains on sale of real estate	—			201			343			—			544
Restructuring, impairment, store closing and other costs	—			(40		)	(146		)	—			(186		)
Operating income	—			101			1,763			—			1,864
Benefit plan income, net	—			22			35			—			57
Settlement charges	—			(35		)	(70		)	—			(105		)
Interest (expense) income, net:
External	—			(313		)	3			—			(310		)
Intercompany	—			(139		)	139			—			—
Gains on early retirement of debt	—			10			—			—			10
Equity in earnings of subsidiaries	1,574			773			—			(2,347		)	—
Income before income taxes	1,574			419			1,870			(2,347		)	1,516
Federal, state and local income tax benefit (expense)	(8		)	356			(309		)	—			39
Net income	1,566			775			1,561			(2,347		)	1,555
Net loss attributable to noncontrolling interest	—			—			11			—			11
Net income attributable to Macy's, Inc. shareholders	$	1,566		$	775		$	1,572		$	(2,347	)	$	1,566
Comprehensive income	$	1,738		$	935		$	1,673		$	(2,619	)	$	1,727
Comprehensive loss attributable to noncontrolling interest	—			—			11			—			11
Comprehensive income attributable to Macy's, Inc. shareholders	$	1,738		$	935		$	1,684		$	(2,619	)	$	1,738

MACY’S, INC.

Condensed Consolidating Statement of Comprehensive Income

For 2016

(millions)

	Parent			Subsidiary Issuer			Other Subsidiaries			Consolidating Adjustments			Consolidated
Net sales	$	—		$	10,735		$	23,508		$	(8,335	)	$	25,908
Credit card revenues (expense), net	—			17			639			—			656
Cost of sales	—			(6,818		)	(17,183		)	8,335			(15,666		)
Selling, general and administrative expenses	(2		)	(3,899		)	(5,356		)	—			(9,257		)
Gains on sale of real estate	—			95			114			—			209
Restructuring, impairment, store closing and other costs	—			(295		)	(184		)	—			(479		)
Operating income (loss)	(2		)	(165		)	1,538			—			1,371
Benefit plan income, net	—			21			34			—			55
Settlement charges	—			(34		)	(64		)	—			(98		)
Interest (expense) income, net:
External	2			(366		)	1			—			(363		)
Intercompany	—			(200		)	200			—			—
Equity in earnings of subsidiaries	627			267			—			(894		)	—
Income (loss) before income taxes	627			(477		)	1,709			(894		)	965
Federal, state and local income tax benefit (expense)	—			278			(624		)	—			(346		)
Net income (loss)	627			(199		)	1,085			(894		)	619
Net loss attributable to noncontrolling interest	—			—			8			—			8
Net income (loss) attributable to Macy's, Inc. shareholders	$	627		$	(199	)	$	1,093		$	(894	)	$	627
Comprehensive income (loss)	$	774		$	(52	)	$	1,164		$	(1,120	)	$	766
Comprehensive loss attributable to noncontrolling interest	—			—			8			—			8
Comprehensive income (loss) attributable to Macy's, Inc. shareholders	$	774		$	(52	)	$	1,172		$	(1,120	)	$	774

Condensed Consolidating Balance Sheet

MACY’S, INC.

Condensed Consolidating Balance Sheet

As of February 2, 2019

(millions)

	Parent		Subsidiary Issuer		Other Subsidiaries		Consolidating Adjustments			Consolidated
ASSETS:
Current Assets:
Cash and cash equivalents	$	889	$	59	$	214	$	—		$	1,162
Receivables	—		68		332		—			400
Merchandise inventories	—		2,342		2,921		—			5,263
Prepaid expenses and other current assets	—		143		477		—			620
Total Current Assets	889		2,612		3,944		—			7,445
Property and Equipment – net	—		3,287		3,350		—			6,637
Goodwill	—		3,326		582		—			3,908
Other Intangible Assets – net	—		38		440		—			478
Other Assets	—		41		685		—			726
Deferred Income Taxes	12		—		—		(12		)	—
Intercompany Receivable	1,713		—		1,390		(3,103		)	—
Investment in Subsidiaries	4,030		3,119		—		(7,149		)	—
Total Assets	$	6,644	$	12,423	$	10,391	$	(10,264	)	$	19,194
LIABILITIES AND SHAREHOLDERS’ EQUITY:
Current Liabilities:
Short-term debt	$	—	$	42	$	1	$	—		$	43
Merchandise accounts payable	—		713		942		—			1,655
Accounts payable and accrued liabilities	170		950		2,246		—			3,366
Income taxes	14		52		102		—			168
Total Current Liabilities	184		1,757		3,291		—			5,232
Long-Term Debt	—		4,692		16		—			4,708
Intercompany Payable	—		3,103		—		(3,103		)	—
Deferred Income Taxes	—		679		571		(12		)	1,238
Other Liabilities	24		406		1,150		—			1,580
Shareholders’ Equity:
Macy's, Inc.	6,436		1,786		5,363		(7,149		)	6,436
Noncontrolling Interest	—		—		—		—			—
Total Shareholders’ Equity	6,436		1,786		5,363		(7,149		)	6,436
Total Liabilities and Shareholders’ Equity	$	6,644	$	12,423	$	10,391	$	(10,264	)	$	19,194

MACY’S, INC.

Condensed Consolidating Balance Sheet

As of February 3, 2018

(millions)

	Parent		Subsidiary Issuer		Other Subsidiaries			Consolidating Adjustments			Consolidated
ASSETS:
Current Assets:
Cash and cash equivalents	$	1,109	$	58	$	288		$	—		$	1,455
Receivables	—		85		278			—			363
Merchandise inventories	—		2,344		2,834			—			5,178
Prepaid expenses and other current assets	—		165		485			—			650
Total Current Assets	1,109		2,652		3,885			—			7,646
Property and Equipment – net	—		3,349		3,323			—			6,672
Goodwill	—		3,315		582			—			3,897
Other Intangible Assets – net	—		44		444			—			488
Other Assets	1		89		790			—			880
Deferred Income Taxes	11		—		—			(11		)	—
Intercompany Receivable	884		—		2,381			(3,265		)	—
Investment in Subsidiaries	4,032		4,119		—			(8,151		)	—
Total Assets	$	6,037	$	13,568	$	11,405		$	(11,427	)	$	19,583
LIABILITIES AND SHAREHOLDERS’ EQUITY:
Current Liabilities:
Short-term debt	$	—	$	6	$	16		$	—		$	22
Merchandise accounts payable	—		653		937			—			1,590
Accounts payable and accrued liabilities	159		980		2,132			—			3,271
Income taxes	113		30		153			—			296
Total Current Liabilities	272		1,669		3,238			—			5,179
Long-Term Debt	—		5,844		17			—			5,861
Intercompany Payable	—		3,265		—			(3,265		)	—
Deferred Income Taxes	—		559		600			(11		)	1,148
Other Liabilities	20		430		1,212			—			1,662
Shareholders’ Equity:
Macy's, Inc.	5,745		1,801		6,350			(8,151		)	5,745
Noncontrolling Interest	—		—		(12		)	—			(12		)
Total Shareholders’ Equity	5,745		1,801		6,338			(8,151		)	5,733
Total Liabilities and Shareholders’ Equity	$	6,037	$	13,568	$	11,405		$	(11,427	)	$	19,583

Condensed Consolidating Statement of Cash Flows

MACY’S, INC.

Condensed Consolidating Statement of Cash Flows

For 2018

(millions)

	Parent			Subsidiary Issuer			Other Subsidiaries			Consolidating Adjustments			Consolidated
Cash flows from operating activities:
Net income	$	1,108		$	45		$	1,394		$	(1,449	)	$	1,098
Restructuring, impairment, store closing and other costs	—			33			103			—			136
Settlement charges	5			30			53			—			88
Gains on sale of real estate	—			(141		)	(248		)	—			(389		)
Equity in earnings of subsidiaries	(1,104		)	(345		)	—			1,449			—
Dividends received from subsidiaries	1,040			200			—			(1,240		)	—
Depreciation and amortization	—			334			628			—			962
Changes in assets, liabilities and other items not separately identified	(91		)	198			(266		)	(1		)	(160		)
Net cash provided by operating activities	958			354			1,664			(1,241		)	1,735
Cash flows from investing activities:
Purchase of property and equipment and capitalized software, net	—			(135		)	(323		)	—			(458		)
Other, net	—			(16		)	(33		)	51			2
Net cash used by investing activities	—			(151		)	(356		)	51			(456		)
Cash flows from financing activities:
Debt repaid	—			(1,098		)	(1		)	(50		)	(1,149		)
Dividends paid	(463		)	—			(1,240		)	1,240			(463		)
Issuance of common stock, net of common stock acquired	45			—			—			—			45
Proceeds from noncontrolling interest	—			—			7			—			7
Intercompany activity, net	(767		)	875			(108		)	—			—
Other, net	7			5			4			—			16
Net cash used by financing activities	(1,178		)	(218		)	(1,338		)	1,190			(1,544		)
Net decrease in cash, cash equivalents and restricted cash	(220		)	(15		)	(30		)	—			(265		)
Cash, cash equivalents and restricted cash at beginning of period	1,109			79			325			—			1,513
Cash, cash equivalents and restricted cash at end of period	$	889		$	64		$	295		$	—		$	1,248

MACY’S, INC.

Condensed Consolidating Statement of Cash Flows

For 2017

(millions)

	Parent			Subsidiary Issuer			Other Subsidiaries			Consolidating Adjustments			Consolidated
Cash flows from operating activities:
Net income	$	1,566		$	775		$	1,561		$	(2,347	)	$	1,555
Restructuring, impairment, store closing and other costs	—			40			146			—			186
Settlement charges	—			35			70			—			105
Gains on sale of real estate	—			(201		)	(343		)	—			(544		)
Equity in earnings of subsidiaries	(1,574		)	(773		)	—			2,347			—
Dividends received from subsidiaries	903			450			—			(1,353		)	—
Depreciation and amortization	—			354			637			—			991
Changes in assets, liabilities and other items not separately identified	14			79			(410		)	—			(317		)
Net cash provided by operating activities	909			759			1,661			(1,353		)	1,976
Cash flows from investing activities:
Disposition (purchase) of property and equipment and capitalized software, net	—			68			(417		)	—			(349		)
Other, net	—			7			(9		)	—			(2		)
Net cash provided (used) by investing activities	—			75			(426		)	—			(351		)
Cash flows from financing activities:
Debt repaid	—			(987		)	(1		)	—			(988		)
Dividends paid	(461		)	—			(1,353		)	1,353			(461		)
Common stock acquired, net of issuance of common stock	5			—			—			—			5
Proceeds from noncontrolling interest	—			—			13			—			13
Intercompany activity, net	(427		)	249			178			—			—
Other, net	145			(98		)	(62		)	—			(15		)
Net cash used by financing activities	(738		)	(836		)	(1,225		)	1,353			(1,446		)
Net increase (decrease) in cash, cash equivalents and restricted cash	171			(2		)	10			—			179
Cash, cash equivalents and restricted cash at beginning of period	938			81			315			—			1,334
Cash, cash equivalents and restricted cash at end of period	$	1,109		$	79		$	325		$	—		$	1,513

MACY’S, INC.

Condensed Consolidating Statement of Cash Flows

For 2016

(millions)

	Parent			Subsidiary Issuer			Other Subsidiaries			Consolidating Adjustments			Consolidated
Cash flows from operating activities:
Net income (loss)	$	627		$	(199	)	$	1,085		$	(894	)	$	619
Restructuring, impairment, store closing and other costs	—			295			184			—			479
Settlement charges	—			34			64			—			98
Gains on sale of real estate	—			(95		)	(114		)	—			(209		)
Equity in earnings of subsidiaries	(627		)	(267		)	—			894			—
Dividends received from subsidiaries	957			575			—			(1,532		)	—
Depreciation and amortization	—			407			651			—			1,058
Changes in assets, liabilities and other items not separately identified	138			(312		)	(70		)	—			(244		)
Net cash provided by operating activities	1,095			438			1,800			(1,532		)	1,801
Cash flows from investing activities:
Disposition (purchase) of property and equipment and capitalized software, net	—			13			(252		)	—			(239		)
Other, net	—			(18		)	14			—			(4		)
Net cash used by investing activities	—			(5		)	(238		)	—			(243		)
Cash flows from financing activities:
Debt repaid	—			(753		)	(1		)	—			(754		)
Dividends paid	(459		)	—			(1,532		)	1,532			(459		)
Common stock acquired, net of issuance of common stock	(280		)	—			—			—			(280		)
Proceeds from noncontrolling interest	—			—			6			—			6
Intercompany activity, net	(144		)	233			(89		)	—			—
Other, net	(15		)	27			49			—			61
Net cash used by financing activities	(898		)	(493		)	(1,567		)	1,532			(1,426		)
Net increase (decrease) in cash, cash equivalents and restricted cash	197			(60		)	(5		)	—			132
Cash, cash equivalents and restricted cash at beginning of period	741			141			320			—			1,202
Cash, cash equivalents and restricted cash at end of period	$	938		$	81		$	315		$	—		$	1,334