Restructuring and Other Charges

12 Months Ended

Jul. 27, 2024

In the first quarter of fiscal 2025, we announced a restructuring plan (the “Fiscal 2025 Plan”), in order to allow us to invest in key growth opportunities and drive more efficiencies in our business. The Fiscal 2025 Plan is expected to impact approximately 7% of our global workforce, with estimated pre-tax charges of up to $1 billion consisting of severance and other one-time termination benefits, and other costs. We expect this plan to be substantially completed by the end of fiscal 2025.

In the third quarter of fiscal 2024, we initiated a restructuring plan (the “Fiscal 2024 Plan”), in order to realign the organization and enable further investment in key priority areas, of which approximately 5% of our global workforce would be impacted. In connection with the Fiscal 2024 Plan, we incurred charges of $654 million for fiscal 2024 and the plan is substantially complete. The aggregate pretax charges related to this plan were primarily cash-based and consist of severance and other one-time termination benefits and other costs.

We initiated a restructuring plan in fiscal 2023 (the “Fiscal 2023 Plan”), which was completed in fiscal 2024. In connection with the Fiscal 2023 Plan, we incurred cumulative charges of $670 million. The aggregate pretax charges related to this plan were primarily cash-based and consist of severance and other one-time termination benefits, real estate-related charges, and other costs.

The following table summarizes the activities related to the restructuring and other charges, as discussed above (in millions):


	FISCAL 2024 PLAN				FISCAL 2023 AND PRIOR PLANS
	Employee Severance		Other		Employee Severance		Other		Total
Liability as of July 31, 2021	$	—	$	—	$	16	$	18	$	34
Charges	—		—		9		(3)		6
Cash payments	—		—		(23)		(2)		(25)
Non-cash items	—		—		—		(6)		(6)
Liability as of July 30, 2022	—		—		2		7		9
Charges	—		—		465		66		531
Cash payments	—		—		(302)		(12)		(314)
Non-cash items	—		—		2		(15)		(13)
Liability as of July 29, 2023	—		—		167		46		213
Charges	627		27		104		31		789
Cash payments	(426)		(3)		(251)		(11)		(691)
Non-cash items	—		(15)		—		(22)		(37)
Liability as of July 27, 2024	$	201	$	9	$	20	$	44	$	274