Restructuring and Other Charges

3 Months Ended

Oct. 26, 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, of which approximately 7% of our global workforce would be impacted with estimated pre-tax charges of up to $1 billion. In connection with the Fiscal 2025 Plan, we incurred charges of $665 million in the first quarter of fiscal 2025. These aggregate pre-tax charges are primarily cash-based and consist of severance and other one-time termination benefits, and other costs. We expect the Fiscal 2025 Plan to be substantially completed by the end of fiscal 2025.

In 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. We completed the Fiscal 2024 Plan and incurred cumulative charges of $654 million. These aggregate pretax charges were primarily cash-based and consisted of severance and other one-time termination benefits, real estate-related charges, and other costs.

The following table summarizes the activities related to our restructuring liability, which were included in other current liabilities on our Consolidated Balance Sheets (in millions):


	FISCAL 2025 PLAN				FISCAL 2024 PLAN
	Employee Severance		Other		Employee Severance		Other		Total
Liability as of July 27, 2024	$	—	$	—	$	201	$	9	$	210
Charges	643		22		—		—		665
Cash payments	(116)		(1)		(51)		(2)		(170)
Non-cash items	(1)		(20)		—		—		(21)
Liability as of October 26, 2024	$	526	$	1	$	150	$	7	$	684