XML 27 R15.htm IDEA: XBRL DOCUMENT v3.4.0.3
Restructuring and Other Charges
 9 Months Ended
Apr. 30, 2016
Restructuring Charges [Abstract]  
Restructuring and Other Charges
5.
Restructuring and Other Charges
Fiscal 2015 Plan The Company announced a restructuring action in August 2014 (the "Fiscal 2015 Plan"), in order to realign its workforce towards key growth areas of its business such as data center, software, security, and cloud. The Company's aggregate pre-tax estimated charges pursuant to the restructuring plan are expected to be approximately $750 million, consisting of severance and other one-time termination benefits and other associated costs, and the Company has incurred cumulative charges of approximately $743 million in connection with this plan, which is substantially complete. The Company incurred charges of $18 million and $24 million for the three months ended April 30, 2016 and April 25, 2015, respectively, and $254 million, net of a $2 million credit to cost of sales, and $411 million for the nine months ended April 30, 2016 and April 25, 2015, respectively.
Fiscal 2014 Plan In connection with a restructuring action announced in August 2013 (the "Fiscal 2014 Plan"), the Company incurred cumulative charges of approximately $417 million, of which a $1 million credit was recognized during the three and nine months ended April 30, 2016. No charges were incurred in the corresponding periods of fiscal 2015. The Company completed the Fiscal 2014 Plan at the end of fiscal 2014.
The following table summarizes the activities related to the restructuring and other charges as discussed above (in millions):
 
 
FISCAL 2014 PLAN
 
FISCAL 2015 PLAN
 
 
 
 
Employee
Severance
 
Other
 
Employee
Severance
 
Other
 
Total
Liability as of July 25, 2015
 
$
11

 
$
14

 
$
49

 
$
15

 
$
89

Charges
 
—

 
(1
)
 
224

 
32

 
255

Cash payments
 
(11
)
 
(3
)
 
(227
)
 
(10
)
 
(251
)
Non-cash items
 
—

 
—

 
—

 
(21
)
 
(21
)
Liability as of April 30, 2016
 
$
—

 
$
10

 
$
46

 
$
16

 
$
72