Restructuring and Other Charges

9 Months Ended

May 01, 2021

We initiated a restructuring plan in the first quarter of fiscal 2021 (the “Fiscal 2021 Plan”), which includes a voluntary early retirement program, in order to realign the organization and enable further investment in key priority areas. The total pretax charges are estimated to be approximately $900 million. In connection with the Fiscal 2021 Plan, we incurred charges of $35 million and $869 million for the third quarter and first nine months of fiscal 2021, respectively.

We initiated a restructuring plan in fiscal 2020 (the “Fiscal 2020 Plan”) in order to realign the organization and enable further investment in key priority areas. The total pretax charges are estimated to be approximately $300 million. In connection with the Fiscal 2020 Plan, we have incurred cumulative charges of $264 million.

The aggregate pretax charges related to these plans are primarily cash-based and consist of severance and other one-time termination benefits, and other costs. We expect to substantially complete both plans in fiscal 2021.

The following tables summarize the activities related to the restructuring and other charges (in millions):


	FISCAL 2020 AND PRIOR PLANS				FISCAL 2021 PLAN
	Employee Severance		Other		Employee Severance		Other		Total
Liability as of July 25, 2020	$	58	$	14	$	—	$	—	$	72
Charges	—		9		828		41		878
Cash payments	(58)		(5)		(801)		(4)		(868)
Non-cash items	—		(1)		—		(31)		(32)
Liability as of May 1, 2021	$	—	$	17	$	27	$	6	$	50


	FISCAL 2018 AND PRIOR PLANS				FISCAL 2020 PLAN
	Employee Severance		Other		Employee Severance		Other		Total
Liability as of July 27, 2019	$	22	$	11	$	—	$	—	$	33
Charges	209		17		116		12		354
Cash payments	(217)		(2)		(35)		(6)		(260)
Non-cash items	—		(23)		—		(6)		(29)
Liability as of April 25, 2020	$	14	$	3	$	81	$	—	$	98