The Kroger Co. (KR) 10-Q 8 Dec 17 2017 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Nov. 04, 2017	Dec. 04, 2017
Document and Entity Information Abstract
Entity Registrant Name	KROGER CO
Entity Central Index Key	56,873
Document Type	10-Q
Document Period End Date	Nov. 4, 2017
Amendment Flag	false
Current Fiscal Year End Date	--02-03
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		881,361,794
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016	Nov. 04, 2017	Nov. 05, 2016
CONSOLIDATED STATEMENTS OF OPERATIONS
Sales	$ 27,749	$ 26,557	$ 91,631	$ 87,726
Merchandise costs, including advertising, warehousing, and transportation, excluding items shown separately below	21,532	20,653	71,422	68,019
Operating, general and administrative	4,708	4,443	15,606	14,695
Rent	196	199	691	666
Depreciation and amortization	573	549	1,871	1,768
Operating profit	740	713	2,041	2,578
Interest expense	136	124	453	396
Earnings before income tax expense	604	589	1,588	2,182
Income tax expense	215	206	552	727
Net earnings including noncontrolling interests	389	383	1,036	1,455
Net loss attributable to noncontrolling interests	(8)	(8)	(17)	(14)
Net earnings attributable to The Kroger Co.	$ 397	$ 391	$ 1,053	$ 1,469
Net earnings attributable to The Kroger Co. per basic common share	$ 0.44	$ 0.41	$ 1.16	$ 1.54
Average number of common shares used in basic calculation	887	940	901	946
Net earnings attributable to The Kroger Co. per diluted common share	$ 0.44	$ 0.41	$ 1.15	$ 1.52
Average number of common shares used in diluted calculation	893	953	910	962
Dividends declared per common share	$ 0.125	$ 0.120	$ 0.370	$ 0.345

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions		3 Months Ended		9 Months Ended
		Nov. 04, 2017	Nov. 05, 2016	Nov. 04, 2017	Nov. 05, 2016
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net earnings including noncontrolling interests		$ 389	$ 383	$ 1,036	$ 1,455
Other comprehensive income (loss)
Realized gains and losses on available for sale securities, net of income tax	[1]				(20)
Amortization of amounts included in net periodic pension expense, net of income tax	[2]	10	8	33	23
Unrealized gains and losses on cash flow hedging activities, net of income tax	[3]	9	46	(26)	(52)
Amortization of unrealized gains and losses on cash flow hedging activities, net of income tax	[4]	1		2	1
Total other comprehensive income (loss)		20	54	9	(48)
Comprehensive income		409	437	1,045	1,407
Comprehensive loss attributable to noncontrolling interests		(8)	(8)	(17)	(14)
Comprehensive income attributable to The Kroger Co.		$ 417	$ 445	$ 1,062	$ 1,421
[1]	Amount is net of tax of $(16) for the first three quarters of 2016.
[2]	Amount is net of tax of $5 for the third quarter of 2017 and $4 for the third quarter of 2016. Amount is net of tax of $19 for the first three quarters of 2017 and $14 for the first three quarters of 2016.
[3]	Amount is net of tax of $5 for the third quarter of 2017 and $27 for the third quarter of 2016. Amount is net of tax of $(15) for the first three quarters of 2017 and $(31) for the first three quarters of 2016.
[4]	Amount is net of tax of $1 for the third quarter of 2017 and 2016. Amount is net of tax of $2 for the first three quarters of 2017 and $1 for the first three quarters of 2016.

CONSOLIDATED STATEMENTS OF COM4

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016	Nov. 04, 2017	Nov. 05, 2016
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Realized gains and losses on available for sale securities, income tax				$ (16)
Amortization of amounts included in net periodic pension expense, income tax	$ 5	$ 4	$ 19	14
Unrealized gains and losses on cash flow hedging activities, income tax	5	27	(15)	(31)
Amortization of unrealized gains and losses on cash flow hedging activities, income tax	$ 1	$ 1	$ 2	$ 1

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Nov. 04, 2017	Jan. 28, 2017
Current assets
Cash and temporary cash investments	$ 352	$ 322
Store deposits in-transit	1,163	910
Receivables	1,452	1,649
FIFO inventory	8,222	7,852
LIFO reserve	(1,305)	(1,291)
Assets held for sale	604
Prepaid and other current assets	437	898
Total current assets	10,925	10,340
Property, plant and equipment, net	20,966	21,016
Intangibles, net	1,113	1,153
Goodwill	3,035	3,031
Other assets	989	965
Total Assets	37,028	36,505
Current liabilities
Current portion of long-term debt including obligations under capital leases and financing obligations	1,729	2,252
Trade accounts payable	6,307	5,818
Accrued salaries and wages	1,074	1,234
Deferred income taxes		251
Liabilities held for sale	259
Other current liabilities	3,521	3,305
Total current liabilities	12,890	12,860
Long-term debt including obligations under capital leases and financing obligations	13,118	11,825
Deferred income taxes	2,452	1,927
Pension and postretirement benefit obligations	522	1,524
Other long-term liabilities	1,835	1,659
Total Liabilities	30,817	29,795
Commitments and contingencies (see Note 7)
SHAREHOLDERS’ EQUITY
Preferred shares, $100 per share, 5 shares authorized and unissued
Common shares, $1 par per share, 2,000 shares authorized; 1,918 shares issued in 2017 and 2016	1,918	1,918
Additional paid-in capital	3,124	3,070
Accumulated other comprehensive loss	(706)	(715)
Accumulated earnings	16,263	15,543
Common shares in treasury, at cost, 1,037 shares in 2017 and 994 shares in 2016	(14,364)	(13,118)
Total Shareholders’ Equity - The Kroger Co.	6,235	6,698
Noncontrolling interests	(24)	12
Total Equity	6,211	6,710
Total Liabilities and Equity	$ 37,028	$ 36,505

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares shares in Millions	Nov. 04, 2017	Jan. 28, 2017
CONSOLIDATED BALANCE SHEETS
Preferred shares, per share (in dollars per share)	$ 100	$ 100
Preferred shares, shares authorized	5	5
Preferred shares, shares unissued	5	5
Common shares, par per share (in dollars per share)	$ 1	$ 1
Common shares, shares authorized	2,000	2,000
Common shares, shares issued	1,918	1,918
Common shares in treasury, shares	1,037	994

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions	9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016
Cash Flows from Operating Activities:
Net earnings including noncontrolling interests	$ 1,036	$ 1,455
Adjustments to reconcile net earnings including noncontrolling interests to net cash provided by operating activities:
Depreciation and amortization	1,871	1,768
LIFO charge	46	19
Stock-based employee compensation	118	110
Expense for Company-sponsored pension plans	68	62
Deferred income taxes	267	5
Other	5	(27)
Changes in operating assets and liabilities net of effects from mergers of businesses:
Store deposits in-transit	(268)	(120)
Receivables	45	48
Inventories	(466)	(798)
Prepaid and other current assets	426	219
Trade accounts payable	620	509
Accrued expenses	26	(144)
Income taxes receivable and payable	143	267
Contribution to Company-sponsored pension plans	(1,000)
Other	117	83
Net cash provided by operating activities	3,054	3,456
Cash Flows from Investing Activities:
Payments for property and equipment, including payments for lease buyouts	(2,137)	(3,025)
Proceeds from sale of assets	120	114
Payments for acquisitions, net of cash acquired	(16)	(401)
Other	(2)	39
Net cash used by investing activities	(2,035)	(3,273)
Cash Flows from Financing Activities:
Proceeds from issuance of long-term debt	1,503	1,785
Payments on long-term debt	(769)	(1,332)
Net borrowings (payments) on commercial paper	(45)	1,200
Dividends paid	(333)	(316)
Proceeds from issuance of capital stock	31	51
Treasury stock purchases	(1,292)	(1,401)
Other	(84)	(73)
Net cash used by financing activities	(989)	(86)
Net increase in cash and temporary cash investments	30	97
Cash and temporary cash investments:
Beginning of year	322	277
End of year	352	374
Reconciliation of capital investments:
Payments for property and equipment, including payments for lease buyouts	(2,137)	(3,025)
Payments for lease buyouts	9	5
Changes in construction-in-progress payables	(149)	14
Total capital investments, excluding lease buyouts	(2,277)	(3,006)
Disclosure of cash flow information:
Cash paid during the year for interest	469	410
Cash paid during the year for income taxes	$ 168	$ 450

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREOWNERS' EQUITY - USD ($) shares in Millions, $ in Millions	Common Stock	Additional Paid-In Capital	Treasury Stock	Accumulated Other Comprehensive Loss	Accumulated Earnings	Noncontrolling Interest	Total
Balances at Jan. 30, 2016	$ 1,918	$ 2,980	$ (11,409)	$ (680)	$ 14,011	$ (22)	$ 6,798
Balances (in shares) at Jan. 30, 2016	1,918		951
Issuance of common stock:
Stock options exercised			$ 51				51
Stock options exercised (in shares)			(4)
Restricted stock issued		(111)	$ 55				(56)
Restricted stock issued (in shares)			(2)
Treasury stock activity:
Treasury stock purchases, at cost			$ (1,319)				(1,319)
Treasury stock purchases, at cost (in shares)			37
Stock options exchanged			$ (82)				(82)
Stock options exchanged (in shares)			2
Share-based employee compensation		110					110
Other comprehensive income (loss), net of income tax of $6 in 2017 and $(32) in 2016				(48)			(48)
Other		60	$ (63)			54	51
Cash dividends declared ($0.37 in 2017 and $0.345 in 2016 per common share)					(330)		(330)
Net earnings including noncontrolling interests					1,469	(14)	1,455
Balances at Nov. 05, 2016	$ 1,918	3,039	$ (12,767)	(728)	15,150	18	6,630
Balances (in shares) at Nov. 05, 2016	1,918		984
Balances at Jan. 28, 2017	$ 1,918	3,070	$ (13,118)	(715)	15,543	12	6,710
Balances (in shares) at Jan. 28, 2017	1,918		994
Issuance of common stock:
Stock options exercised			$ 31				31
Stock options exercised (in shares)			(2)
Restricted stock issued		(115)	$ 82				(33)
Restricted stock issued (in shares)			(2)
Treasury stock activity:
Treasury stock purchases, at cost			$ (1,247)				(1,247)
Treasury stock purchases, at cost (in shares)			45
Stock options exchanged			$ (45)				(45)
Stock options exchanged (in shares)			2
Share-based employee compensation		118					118
Other comprehensive income (loss), net of income tax of $6 in 2017 and $(32) in 2016				9			9
Other		51	$ (67)			(19)	(35)
Cash dividends declared ($0.37 in 2017 and $0.345 in 2016 per common share)					(333)		(333)
Net earnings including noncontrolling interests					1,053	(17)	1,036
Balances at Nov. 04, 2017	$ 1,918	$ 3,124	$ (14,364)	$ (706)	$ 16,263	$ (24)	$ 6,211
Balances (in shares) at Nov. 04, 2017	1,918		1,037

CONSOLIDATED STATEMENTS OF CHA9

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREOWNERS' EQUITY (Parenthetical) - USD ($) $ in Millions	9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREOWNERS' EQUITY
Other comprehensive income (loss), income tax	$ 6	$ (32)
Cash dividends declared per common share (in dollars per share)	$ 0.370	$ 0.345

ACCOUNTING POLICIES

ACCOUNTING POLICIES	9 Months Ended
	Nov. 04, 2017
ACCOUNTING POLICIES
ACCOUNTING POLICIES	1. Basis of Presentation and Principles of Consolidation The accompanying financial statements include the consolidated accounts of The Kroger Co., its wholly-owned subsidiaries, and the variable interest entities in which the Company is the primary beneficiary. The January 28, 2017 balance sheet was derived from audited financial statements and, due to its summary nature, does not include all disclosures required by generally accepted accounting principles (“GAAP”). Significant intercompany transactions and balances have been eliminated. References to the “Company” in these Consolidated Financial Statements mean the consolidated company. In the opinion of management, the accompanying unaudited Consolidated Financial Statements include adjustments, all of which are of a normal, recurring nature that are necessary for a fair statement of results of operations for such periods but should not be considered as indicative of results for a full year. The financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been omitted, pursuant to SEC regulations. Accordingly, the accompanying Consolidated Financial Statements should be read in conjunction with the financial statements in the Company’s Annual Report on Form 10-K for the fiscal year ended January 28, 2017. The unaudited information in the Consolidated Financial Statements for the third quarter and three quarters ended November 4, 2017 and November 5, 2016, includes the results of operations of the Company for the 1 2 and 40 -week periods then ended. Fair Value Measurements Fair value measurements are classified and disclosed in one of the following three categories: Level 1 – Quoted prices are available in active markets for identical assets or liabilities; Level 2 – Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable; Level 3 – Unobservable pricing inputs in which little or no market activity exists, therefore requiring an entity to develop its own assumptions about the assumptions that market participants would use in pricing an asset or liability. The Company records cash and temporary cash investments, store deposits in-transit, receivables, prepaid and other current assets, trade accounts payable, accrued salaries and wages and other current liabilities at approximated fair value. Certain other investments and derivatives are recorded as Level 1, 2 or 3 instruments. Refer to Note 2 for the disclosure of debt instrument fair values.

DEBT OBLIGATIONS

DEBT OBLIGATIONS	9 Months Ended
	Nov. 04, 2017
DEBT OBLIGATIONS
DEBT OBLIGATIONS	2. Long-term debt consists of: November 4, January 28, 2017 2017 1.50% to 8.00% Senior Notes due through 2048 $ 12,198 $ 11,311 5.63% to 12.75% Mortgages due in varying amounts through 2027 32 38 0.91% to 1.36% Commercial paper borrowings due through November 2017 1,380 1,425 Other 454 541 Total debt, excluding capital leases and financing obligations 14,064 13,315 Less current portion (1,677) (2,197) Total long-term debt, excluding capital leases and financing obligations $ 12,387 $ 11,118 In the second quarter of 2017, the Company issued $400 of senior notes due in fiscal year 2022 bearing an interest rate of 2.80%, $600 of senior notes due in fiscal year 2027 bearing an interest rate of 3.70% and $500 of senior notes due in fiscal year 2048 bearing an interest rate of 4.65%. Additionally, in the third quarter of 2017, the Company repaid, upon maturity, $600 of senior notes bearing an interest rate of 6.40%, with proceeds from the second quarter senior notes issuances. In connection with the senior note issuances, the Company also terminated forward-starting interest rate swap agreements with an aggregate notional amount of $600. These forward-starting interest rate swap agreements were hedging the variability in future benchmark interest payments attributable to changing interest rates on the forecasted issuance of fixed-rate debt issued during the second quarter of 2017. Since these forward-starting interest rate swap agreements were classified as cash flow hedges, the unamortized loss of $20, $12 net of tax, has been deferred in Accumulated Other Comprehensive Loss, the Company will continue to amortize to earnings as the interest payments are made. In the third quarter of 2017, the Company entered into an amended and restated $2,750 unsecured revolving credit facility (the “Amended and Restated Credit Agreement”), with a termination date of August 29, 2022, unless extended as permitted under the Amended and Restated Credit Agreement. This Amended and Restated Credit Agreement amended the Company’s $2,750 credit facility that would otherwise have terminated on June 30, 2019. The notable changes from the previous agreement include: (1) the Company has the ability to increase the size of the Amended and Restated Credit Agreement by up to an additional $1,000, subject to certain conditions compared to $750 in the prior agreement; (2) the Company’s Public Debt Rating, as opposed to the Company’s Leverage Ratio, is now used as one of the factors in calculating the Company’s Interest Rate, Commitment Fee, and Letter of Credit Fees; (3) reduced annual Commitment and certain Letter of Credit Fees at the Company’s current Public Debt Rating. Public Debt Rating means, as of any date, the rating that has been most recently announced by either S&P or Moody’s, as the case may be, for any class of non-credit enhanced long-term senior unsecured debt issued by the Company. The financial covenants in the Amended and Restated Credit Agreement did not change compared to the prior credit agreement. The fair value of the Company’s long-term debt, including current maturities, was estimated based on the quoted market prices for the same or similar issues adjusted for illiquidity based on available market evidence. If quoted market prices were not available, the fair value was based upon the net present value of the future cash flow using the forward interest rate yield curve in effect at November 4, 2017 and January 28, 2017. At November 4, 2017, the fair value of total debt was $14,504 compared to a carrying value of $14,064. At January 28, 2017, the fair value of total debt was $13,905 compared to a carrying value of $13,315.

BENEFIT PLANS

BENEFIT PLANS	9 Months Ended
	Nov. 04, 2017
BENEFIT PLANS
BENEFIT PLANS	3. The following table provides the components of net periodic benefit cost for the Company-sponsored defined benefit pension plans and other post-retirement benefit plans for the third quarters of 2017 and 2016. Third Quarter Ended Pension Benefits Other Benefits November 4, November 5, November 4, November 5, 2017 2016 2017 2016 Components of net periodic benefit cost: Service cost $ — $ 14 $ 2 $ 2 Interest cost 42 44 3 2 Expected return on plan assets (54) (55) — — Amortization of: Prior service cost — — (2) (2) Actuarial loss (gain) 19 16 (2) (2) Other 1 — — — Net periodic benefit cost $ 8 $ 19 $ 1 $ — The following table provides the components of net periodic benefit cost for the Company-sponsored defined benefit pension plan and other post-retirement benefit plans for the first three quarters of 2017 and 2016. Three Quarters Ended Pension Benefits Other Benefits November 4, November 5, November 4, November 5, 2017 2016 2017 2016 Components of net periodic benefit cost: Service cost $ 42 $ 50 $ 7 $ 7 Interest cost 140 145 8 8 Expected return on plan assets (182) (183) — — Amortization of: Prior service cost — — (6) (6) Actuarial loss (gain) 65 50 (7) (7) Other 3 — — — Net periodic benefit cost $ 68 $ 62 $ 2 $ 2 Although the Company is not required to make any contributions to its Company-sponsored pension plans in 2017, in the third quarter of 2017, the Company contributed $1,000 to the Company-sponsored pension plans that will significantly address the underfunded position of the Company-sponsored pension plans. The $1,000 is deductible for tax purposes, resulting in a tax benefit of $375. The Company did not make any contributions to its Company-sponsored pension plans in the first three quarters of 2016. The Company contributed $173 and $167 to employee 401(k) retirement savings accounts in the first three quarters of 2017 and 2016, respectively. The Company also contributes to various multi-employer pension plans based on obligations arising from most of its collective bargaining agreements, which included an incremental $111, $69 net of tax, contribution to the UFCW Consolidated Pension Plan in the third quarter of 2017. These plans provide retirement benefits to participants based on their service to contributing employers. The Company recognizes expense in connection with these plans as contributions are funded. During the first quarter of 2017, the Company incurred a charge of $199, $126 net of tax, due to withdrawing from two multi-employer pension plans, which represents the Company’s best estimate of the withdrawal liability, absent demand letters from the multi-employer pension plans. Demand letters from the affected multi-employer pension plans may be received in 2017, or later, and the ultimate withdrawal liability may change from the currently estimated amount. Any future charge will be recorded in the period in which the change is identified. Based on ERISA regulations, the liability will be paid out in installments, which vary by plan, over a period of up to 20 years. The net present value of the liability was determined using a risk free interest rate. The charge was recorded in the ‘Operating, general and administrative’ (“OG&A”) caption in the Consolidated Statements of Operations and the liability was recorded in the ‘Other long-term liabilities’ caption in the Consolidated Balance Sheets. During the second quarter of 2016, the Company incurred a charge of $111, $71 net of tax, due to commitments arising from the restructuring of certain multi-employer pension plan obligations during the second quarter of 2016.

EARNINGS PER COMMON SHARE

EARNINGS PER COMMON SHARE	9 Months Ended
	Nov. 04, 2017
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE	4. Net earnings attributable to The Kroger Co. per basic common share equal net earnings attributable to The Kroger Co. less income allocated to participating securities divided by the weighted-average number of common shares outstanding. Net earnings attributable to The Kroger Co. per diluted common share equal net earnings attributable to The Kroger Co. less income allocated to participating securities divided by the weighted-average number of common shares outstanding, after giving effect to dilutive stock options. The following table provides a reconciliation of net earnings attributable to The Kroger Co. and shares used in calculating net earnings attributable to The Kroger Co. per basic common share to those used in calculating net earnings attributable to The Kroger Co. per diluted common share: Third Quarter Ended Third Quarter Ended November 4, 2017 November 5, 2016 Per Per Earnings Shares Share Earnings Shares Share (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Net earnings attributable to The Kroger Co. per basic common share $ 393 887 $ 0.44 $ 388 940 $ 0.41 Dilutive effect of stock options 6 13 Net earnings attributable to The Kroger Co. per diluted common share $ 393 893 $ 0.44 $ 388 953 $ 0.41 Three Quarters Ended Three Quarters Ended November 4, 2017 November 5, 2016 Per Per Earnings Shares Share Earnings Shares Share (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Net earnings attributable to The Kroger Co. per basic common share $ 1,044 901 $ 1.16 $ 1,458 946 $ 1.54 Dilutive effect of stock options 9 16 Net earnings attributable to The Kroger Co. per diluted common share $ 1,044 910 $ 1.15 $ 1,458 962 $ 1.52 The Company had combined undistributed and distributed earnings to participating securities totaling $4 in the third quarter of 2017 and $3 in the third quarter of 2016. For the first three quarters of 2017 and 2016, the Company had combined undistributed and distributed earnings to participating securities of $9 and $11, respectively. The Company had options outstanding for approximately 26 million and 11 million shares during the third quarter of 2017 and 2016, respectively that were excluded from the computations of net earnings per diluted common share because their inclusion would have had an anti-dilutive effect on net earnings per share. The Company had options outstanding for approximately 15 million shares in the first three quarters of 2017 and 7 million shares in the first three quarters of 2016 that were excluded from the computations of net earnings per diluted common share because their inclusion would have had an anti-dilutive effect on net earnings per share.

RECENTLY ADOPTED ACCOUNTING STA

RECENTLY ADOPTED ACCOUNTING STANDARDS	9 Months Ended
	Nov. 04, 2017
RECENTLY ADOPTED ACCOUNTING STANDARDS
RECENTLY ADOPTED ACCOUNTING STANDARDS	5. In November 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-17, “Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes.” This amendment requires deferred tax liabilities and assets to be classified as noncurrent in a classified statement of financial position. This amendment became effective for the Company beginning January 29, 2017, and was adopted prospectively in accordance with the standard. The implementation of this amendment resulted in the reclassification of current deferred tax liabilities as non-current and had no effect on the Company’s Consolidated Statements of Operations.

RECENTLY ISSUED ACCOUNTING STAN

RECENTLY ISSUED ACCOUNTING STANDARDS	9 Months Ended
	Nov. 04, 2017
RECENTLY ISSUED ACCOUNTING STANDARDS
RECENTLY ISSUED ACCOUNTING STANDARDS	6. In March 2017, the FASB issued ASU 2017-07, “Compensation – Retirement Benefits (Topic 715),” which requires that the service cost component of pension and postretirement benefit costs be presented in the same line item as other current employee compensation costs and other components of those benefit costs be presented separately from the service cost component and outside a subtotal of income from operations, if presented. The ASU also requires that only the service cost component of pension and postretirement benefit costs is eligible for capitalization. The update is effective for annual periods beginning after December 15, 2017 and interim periods within that annual period. Application is retrospective for the presentation of the components of these benefit costs and prospective for the capitalization of only service costs. The Company does not expect application of this ASU to have a material impact on its Consolidated Financial Statements. In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers”, as amended by several subsequent ASUs, which provides guidance for revenue recognition. The new standard’s overarching principle is that revenue must be recognized when goods and services are transferred to the customer in an amount that is proportionate to what has been delivered at that point and that reflects the consideration to which the company expects to be entitled for those goods or services. Per ASU 2015-14, “Deferral of Effective Date,” this guidance will be effective for the Company in the first quarter of its fiscal year ending February 2, 2019. The Company formed a project team to assess and document the Company’s accounting policies related to the new revenue guidance. As of the end of the third quarter of 2017, the Company has nearly completed this assessment and documentation. Based on this project, the Company does not expect that the implementation of the new standard will have a material effect on the Company’s Consolidated Statements of Operations, Consolidated Balance Sheets or Consolidated Statements of Cash Flows. The Company intends to adopt the new standard on a modified retrospective basis and will be addressing new disclosures regarding revenue recognition policies as required by the new standard at adoption. As the Company completes its assessment, it is also identifying and preparing to implement changes to its accounting policies and practices, business processes, systems and controls to support the new revenue recognition and disclosure requirements. In February 2016, the FASB issued ASU 2016-02, “Leases,” which provides guidance for the recognition of lease agreements. The standard’s core principle is that a company will now recognize most leases on its balance sheet as lease liabilities with corresponding right-of-use assets. This guidance will be effective for the Company in the first quarter of fiscal year ending February 1, 2020. Early adoption is permitted. The adoption of this ASU will result in a significant increase to the Company’s Consolidated Balance Sheets for lease liabilities and right-of-use assets, and the Company is currently evaluating the other effects of adoption of this ASU on its Consolidated Financial Statements. This evaluation process includes reviewing all forms of leases, performing a completeness assessment over the lease population, analyzing the practical expedients and assessing opportunities to make certain changes to the Company’s lease accounting information technology system in order to determine the best implementation strategy.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Nov. 04, 2017
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	7. The Company continuously evaluates contingencies based upon the best available evidence. The Company believes that allowances for loss have been provided to the extent necessary and that its assessment of contingencies is reasonable. To the extent that resolution of contingencies results in amounts that vary from the Company’s estimates, future earnings will be charged or credited. Litigation — Various claims and lawsuits arising in the normal course of business, including suits charging violations of certain antitrust, wage and hour, or civil rights laws, as well as product liability cases, are pending against the Company. Some of these suits purport or have been determined to be class actions and/or seek substantial damages. Any damages that may be awarded in antitrust cases will be automatically trebled. Although it is not possible at this time to evaluate the merits of all of these claims and lawsuits, nor their likelihood of success, the Company is of the belief that any resulting liability will not have a material effect on the Company’s financial position, results of operations, or cash flows. The Company continually evaluates its exposure to loss contingencies arising from pending or threatened litigation and believes it has made provisions where it is reasonably possible to estimate and where an adverse outcome is probable. Nonetheless, assessing and predicting the outcomes of these matters involve substantial uncertainties. Management currently believes that the aggregate range of loss for the Company’s exposure is not material to the Company. It remains possible that despite management’s current belief, material differences in actual outcomes or changes in management’s evaluation or predictions could arise that could have a material adverse effect on the Company’s financial condition, results of operations, or cash flows.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	9 Months Ended
	Nov. 04, 2017
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	8. The following table represents the changes in AOCI by component for the first three quarters of 2016 and 2017: Pension and Cash Flow Postretirement Hedging Available for sale Defined Benefit Activities(1) Securities(1) Plans(1) Total(1) Balance at January 30, 2016 $ (51) $ 20 $ (649) $ (680) OCI before reclassifications(2) (52) (6) — (58) Amounts reclassified out of AOCI(3) 1 (14) 23 10 Net current-period OCI (51) (20) 23 (48) Balance at November 5, 2016 $ (102) $ — $ (626) $ (728) Balance at January 28, 2017 $ (2) $ — $ (713) $ (715) OCI before reclassifications(2) (26) — — (26) Amounts reclassified out of AOCI(3) 2 — 33 35 Net current-period OCI (24) — 33 9 Balance at November 4, 2017 $ (26) $ — $ (680) $ (706) (1) All amounts are net of tax. (2) Net of tax of $(31) for cash flow hedging activities and $(3) for available for sale securities for the first three quarters of 2016. Net of tax of $(15) for cash flow hedging activities for the first three quarters of 2017. (3) Net of tax of $1 for cash flow hedging activities, $(13) for available for sale securities and $1 4 for pension and postretirement defined benefit plans for the first three quarters of 2016. Net of tax of $ 2 for cash flow hedging activities and $ 19 for pension and postretirement defined benefit plans for the first three quarters of 2017. The following table represents the items reclassified out of AOCI and the related tax effects for the third quarter and first three quarters of 2017 and 2016: Third Quarter Ended Three Quarters Ended November 4, November 5, November 4, November 5, 2017 2016 2017 2016 Cash flow hedging activity items Amortization of gains and losses on cash flow hedging activities(1) $ 2 $ 1 $ 4 $ 2 Tax expense (1) (1) (2) (1) Net of tax 1 — 2 1 Available for sale security items Realized gains on available for sale securities(2) — — — (27) Tax expense — — — 13 Net of tax — — — (14) Pension and postretirement defined benefit plan items Amortization of amounts included in net periodic pension expense(3) 15 12 52 37 Tax expense (5) (4) (19) (14) Net of tax 10 8 33 23 Total reclassifications, net of tax $ 11 $ 8 $ 35 $ 10 (1) Reclassified from AOCI into interest expense. (2) Reclassified from AOCI into operating, general and administrative expense. (3) Reclassified from AOCI into merchandise costs and operating, general and administrative expense. These components are included in the computation of net periodic pension expense (see Note 3 for additional details).

INCOME TAXES

INCOME TAXES	9 Months Ended
	Nov. 04, 2017
INCOME TAXES
INCOME TAXES	9. The effective income tax rate was 35.6% in the third quarter of 2017, compared to 35.0% in the third quarter of 2016. The effective income tax rate was 34.8% for the first three quarters of 2017, compared to 33.3% for the first three quarters of 2016. The effective income tax rate for the third quarter of 2017 differed from the federal statutory rate primarily due to the effect of state income taxes partially offset by the utilization of tax credits and deductions. The effective income tax rate for the first three quarters of 2017 differed from the federal statutory rate due to the utilization of tax credits and deductions partially offset by the effect of state income taxes. The effective income tax rate for the third quarter of 2016 was equal to the federal statutory rate due to the utilization of tax credits and deductions, offset by the effect of state income taxes. The effective income tax rate for the first three quarters of 2016 differed from the federal statutory rate primarily due to the recognition of excess tax benefits related to share-based payments after the adoption of ASU 2016-09, “Compensation-Stock Compensation (Topic 718),” which caused a reduction in income tax expense of $42 in the first three quarters of 2016, and the benefit from tax credits and deductions, partially offset by the effect of state income taxes.

VOLUNTARY RETIREMENT OFFERING

VOLUNTARY RETIREMENT OFFERING	9 Months Ended
	Nov. 04, 2017
VOLUNTARY RETIREMENT OFFERING
VOLUNTARY RETIREMENT OFFERING	10. In 2016, the Company announced a Voluntary Retirement Offering (“VRO”) for certain non-store associates. Approximately 1,300 associates irrevocably accepted the VRO in the first quarter of 2017. Due to the employee acceptances, the Company recognized a VRO charge of $184, $117 net of tax, in the first quarter of 2017, which was comprised of $165 for severance and other benefits, as well as $19 of other non-cash charges. This charge was recorded in the OG&A caption within the Consolidated Statements of Operations. The Company paid $162 of the severance and other benefits in the first three quarters of 2017, and will fulfill all payment obligations by the end of the fourth quarter of 2017.

HELD FOR SALE

HELD FOR SALE	9 Months Ended
	Nov. 04, 2017
HELD FOR SALE
HELD FOR SALE	11. During the third quarter of 2017, the Company announced that as a result of a review of its assets, the Company has decided to explore strategic alternatives, including a potential sale, of its convenience store business. At November 4, 2017, certain assets and liabilities , primarily those related to the Company’s convenience store business, were classified as held for sale in the Consolidated Balance Sheet. The Company expects to complete the sale of these disposal groups within the next year. The businesses classified as held for sale will not be reported as discontinued operations as the dispositions do not represent a strategic shift that will have a major effect on the Company’s operations and financial results. The following table presents information related to the major classes of assets and liabilities that were classified as assets and liabilities held for sale in the Consolidated Balance Sheet as of November 4, 2017: November 4, (In millions) 2017 Assets held for sale: Cash and temporary cash investments $ 1 Store deposits in-transit 16 Receivables 55 FIFO inventory 96 LIFO reserve (34) Prepaid and other current assets 17 Property, plant and equipment, net 428 Intangibles, net 9 Goodwill 14 Other assets 2 Total assets held for sale $ 604 Liabilities held for sale: Trade accounts payable $ 130 Accrued salaries and wages 10 Other current liabilities 101 Other long-term liabilities 18 Total liabilities held for sale $ 259

SUBSEQUENT EVENT

SUBSEQUENT EVENT	9 Months Ended
	Nov. 04, 2017
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	12. On December 5, 2017, the Company settled certain Company-sponsored pension plan obligations using existing assets of the plan. The Company expects to recognize a one-time non-cash settlement charge of approximately $400 in the fourth quarter of 2017, associated with the settlement of the Company’s obligations for the eligible participants’ pension balances that are distributed out of the plan via a transfer to other qualified retirement plan options, a lump sum payout, or the purchase of an annuity contract, based on each participant’s election. This charge will not have a cash tax effect in 2017. The actual amount of the settlement charge could vary based on final valuation of liabilities and assets transferred.

ACCOUNTING POLICIES (Policies)

ACCOUNTING POLICIES (Policies)	9 Months Ended
	Nov. 04, 2017
ACCOUNTING POLICIES
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation The accompanying financial statements include the consolidated accounts of The Kroger Co., its wholly-owned subsidiaries, and the variable interest entities in which the Company is the primary beneficiary. The January 28, 2017 balance sheet was derived from audited financial statements and, due to its summary nature, does not include all disclosures required by generally accepted accounting principles (“GAAP”). Significant intercompany transactions and balances have been eliminated. References to the “Company” in these Consolidated Financial Statements mean the consolidated company. In the opinion of management, the accompanying unaudited Consolidated Financial Statements include adjustments, all of which are of a normal, recurring nature that are necessary for a fair statement of results of operations for such periods but should not be considered as indicative of results for a full year. The financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been omitted, pursuant to SEC regulations. Accordingly, the accompanying Consolidated Financial Statements should be read in conjunction with the financial statements in the Company’s Annual Report on Form 10-K for the fiscal year ended January 28, 2017. The unaudited information in the Consolidated Financial Statements for the third quarter and three quarters ended November 4, 2017 and November 5, 2016, includes the results of operations of the Company for the 1 2 and 40 -week periods then ended.
Fair Value Measurements	Fair Value Measurements Fair value measurements are classified and disclosed in one of the following three categories: Level 1 – Quoted prices are available in active markets for identical assets or liabilities; Level 2 – Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable; Level 3 – Unobservable pricing inputs in which little or no market activity exists, therefore requiring an entity to develop its own assumptions about the assumptions that market participants would use in pricing an asset or liability. The Company records cash and temporary cash investments, store deposits in-transit, receivables, prepaid and other current assets, trade accounts payable, accrued salaries and wages and other current liabilities at approximated fair value. Certain other investments and derivatives are recorded as Level 1, 2 or 3 instruments. Refer to Note 2 for the disclosure of debt instrument fair values.

DEBT OBLIGATIONS (Tables)

DEBT OBLIGATIONS (Tables)	9 Months Ended
	Nov. 04, 2017
DEBT OBLIGATIONS
Schedule of long-term debt	November 4, January 28, 2017 2017 1.50% to 8.00% Senior Notes due through 2048 $ 12,198 $ 11,311 5.63% to 12.75% Mortgages due in varying amounts through 2027 32 38 0.91% to 1.36% Commercial paper borrowings due through November 2017 1,380 1,425 Other 454 541 Total debt, excluding capital leases and financing obligations 14,064 13,315 Less current portion (1,677) (2,197) Total long-term debt, excluding capital leases and financing obligations $ 12,387 $ 11,118

BENEFIT PLANS (Tables)

BENEFIT PLANS (Tables)	9 Months Ended
	Nov. 04, 2017
BENEFIT PLANS
Schedule of components of net periodic benefit cost	Third Quarter Ended Pension Benefits Other Benefits November 4, November 5, November 4, November 5, 2017 2016 2017 2016 Components of net periodic benefit cost: Service cost $ — $ 14 $ 2 $ 2 Interest cost 42 44 3 2 Expected return on plan assets (54) (55) — — Amortization of: Prior service cost — — (2) (2) Actuarial loss (gain) 19 16 (2) (2) Other 1 — — — Net periodic benefit cost $ 8 $ 19 $ 1 $ — The following table provides the components of net periodic benefit cost for the Company-sponsored defined benefit pension plan and other post-retirement benefit plans for the first three quarters of 2017 and 2016. Three Quarters Ended Pension Benefits Other Benefits November 4, November 5, November 4, November 5, 2017 2016 2017 2016 Components of net periodic benefit cost: Service cost $ 42 $ 50 $ 7 $ 7 Interest cost 140 145 8 8 Expected return on plan assets (182) (183) — — Amortization of: Prior service cost — — (6) (6) Actuarial loss (gain) 65 50 (7) (7) Other 3 — — — Net periodic benefit cost $ 68 $ 62 $ 2 $ 2

EARNINGS PER COMMON SHARE (Tabl

EARNINGS PER COMMON SHARE (Tables)	9 Months Ended
	Nov. 04, 2017
EARNINGS PER COMMON SHARE
Schedule of earnings per common and diluted shares	Third Quarter Ended Third Quarter Ended November 4, 2017 November 5, 2016 Per Per Earnings Shares Share Earnings Shares Share (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Net earnings attributable to The Kroger Co. per basic common share $ 393 887 $ 0.44 $ 388 940 $ 0.41 Dilutive effect of stock options 6 13 Net earnings attributable to The Kroger Co. per diluted common share $ 393 893 $ 0.44 $ 388 953 $ 0.41 Three Quarters Ended Three Quarters Ended November 4, 2017 November 5, 2016 Per Per Earnings Shares Share Earnings Shares Share (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Net earnings attributable to The Kroger Co. per basic common share $ 1,044 901 $ 1.16 $ 1,458 946 $ 1.54 Dilutive effect of stock options 9 16 Net earnings attributable to The Kroger Co. per diluted common share $ 1,044 910 $ 1.15 $ 1,458 962 $ 1.52

ACCUMULATED OTHER COMPREHENSI26

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	9 Months Ended
	Nov. 04, 2017
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
Schedule of changes in AOCI by component	Pension and Cash Flow Postretirement Hedging Available for sale Defined Benefit Activities(1) Securities(1) Plans(1) Total(1) Balance at January 30, 2016 $ (51) $ 20 $ (649) $ (680) OCI before reclassifications(2) (52) (6) — (58) Amounts reclassified out of AOCI(3) 1 (14) 23 10 Net current-period OCI (51) (20) 23 (48) Balance at November 5, 2016 $ (102) $ — $ (626) $ (728) Balance at January 28, 2017 $ (2) $ — $ (713) $ (715) OCI before reclassifications(2) (26) — — (26) Amounts reclassified out of AOCI(3) 2 — 33 35 Net current-period OCI (24) — 33 9 Balance at November 4, 2017 $ (26) $ — $ (680) $ (706) (1) All amounts are net of tax. (2) Net of tax of $(31) for cash flow hedging activities and $(3) for available for sale securities for the first three quarters of 2016. Net of tax of $(15) for cash flow hedging activities for the first three quarters of 2017. (3) Net of tax of $1 for cash flow hedging activities, $(13) for available for sale securities and $1 4 for pension and postretirement defined benefit plans for the first three quarters of 2016. Net of tax of $ 2 for cash flow hedging activities and $ 19 for pension and postretirement defined benefit plans for the first three quarters of 2017.
Schedule of items reclassified out of AOCI and the related tax effects	Third Quarter Ended Three Quarters Ended November 4, November 5, November 4, November 5, 2017 2016 2017 2016 Cash flow hedging activity items Amortization of gains and losses on cash flow hedging activities(1) $ 2 $ 1 $ 4 $ 2 Tax expense (1) (1) (2) (1) Net of tax 1 — 2 1 Available for sale security items Realized gains on available for sale securities(2) — — — (27) Tax expense — — — 13 Net of tax — — — (14) Pension and postretirement defined benefit plan items Amortization of amounts included in net periodic pension expense(3) 15 12 52 37 Tax expense (5) (4) (19) (14) Net of tax 10 8 33 23 Total reclassifications, net of tax $ 11 $ 8 $ 35 $ 10 (1) Reclassified from AOCI into interest expense. (2) Reclassified from AOCI into operating, general and administrative expense. (3) Reclassified from AOCI into merchandise costs and operating, general and administrative expense. These components are included in the computation of net periodic pension expense (see Note 3 for additional details).

HELD FOR SALE (Tables)

HELD FOR SALE (Tables)	9 Months Ended
	Nov. 04, 2017
HELD FOR SALE
Schedule of assets and liabilities that were classified as assets and liabilities held for sale	November 4, (In millions) 2017 Assets held for sale: Cash and temporary cash investments $ 1 Store deposits in-transit 16 Receivables 55 FIFO inventory 96 LIFO reserve (34) Prepaid and other current assets 17 Property, plant and equipment, net 428 Intangibles, net 9 Goodwill 14 Other assets 2 Total assets held for sale $ 604 Liabilities held for sale: Trade accounts payable $ 130 Accrued salaries and wages 10 Other current liabilities 101 Other long-term liabilities 18 Total liabilities held for sale $ 259

ACCOUNTING POLICIES - POLICIES

ACCOUNTING POLICIES - POLICIES (Details)	3 Months Ended		9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016	Nov. 04, 2017	Nov. 05, 2016
Fiscal Year
Length of fiscal period	84 days	84 days	280 days	280 days

DEBT OBLIGATIONS (Details)

DEBT OBLIGATIONS (Details) - USD ($) $ in Millions	3 Months Ended
	Nov. 04, 2017	Aug. 29, 2017	Aug. 28, 2017	Aug. 12, 2017	Jan. 28, 2017
Debt
Total debt, excluding capital leases and financing obligations	$ 14,064				$ 13,315
Less current portion	(1,677)				(2,197)
Total long-term debt, excluding capital leases and financing obligations	12,387				11,118
Unamortized loss on cash flow hedging activities, net of income tax	706				715
Fair value of total debt	14,504				13,905
Terminated hedge | Cash Flow Hedging Activities
Debt
Notional amount	600
Unamortized loss on cash flow hedging activities, before income tax	20
Unamortized loss on cash flow hedging activities, net of income tax	12
Senior Notes due through 2048
Debt
Total debt, excluding capital leases and financing obligations	$ 12,198				11,311
Senior Notes due through 2048 | Minimum
Debt
Interest rate (as a percent)	1.50%
Senior Notes due through 2048 | Maximum
Debt
Interest rate (as a percent)	8.00%
Senior notes 2.80% due 2022
Debt
New issue of senior notes				$ 400
Interest rate (as a percent)				2.80%
Senior notes 3.70% due 2027
Debt
New issue of senior notes				$ 600
Interest rate (as a percent)				3.70%
Senior notes 4.65% due 2048
Debt
New issue of senior notes				$ 500
Interest rate (as a percent)				4.65%
Senior Notes 6.40%
Debt
Repayment of debt	$ 600
Interest rate (as a percent)	6.40%
Mortgages due in varying amounts through 2027
Debt
Total debt, excluding capital leases and financing obligations	$ 32				38
Mortgages due in varying amounts through 2027 | Minimum
Debt
Interest rate (as a percent)	5.63%
Mortgages due in varying amounts through 2027 | Maximum
Debt
Interest rate (as a percent)	12.75%
Commercial paper borrowings due through November 2017
Debt
Total debt, excluding capital leases and financing obligations	$ 1,380				1,425
Commercial paper borrowings due through November 2017 | Minimum
Debt
Interest rate (as a percent)	0.91%
Commercial paper borrowings due through November 2017 | Maximum
Debt
Interest rate (as a percent)	1.36%
Other
Debt
Total debt, excluding capital leases and financing obligations	$ 454				$ 541
Unsecured revolving credit facility | Amended and Restated Credit Agreement
Debt
Maximum borrowing capacity		$ 2,750
Additional borrowing capacity		$ 1,000
Unsecured revolving credit facility | Prior Credit Agreement
Debt
Maximum borrowing capacity			$ 2,750
Additional borrowing capacity			$ 750

BENEFIT PLANS - COMPONENTS OF N

BENEFIT PLANS - COMPONENTS OF NET PERIODIC BENEFIT COSTS (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016	Nov. 04, 2017	Nov. 05, 2016
Amortization of:
Contributions into Fund	$ 1,000
Contribution into fund, tax benefit	375
Pension Benefits
Components of net periodic benefit cost:
Service cost		$ 14	$ 42	$ 50
Interest cost	42	44	140	145
Expected return on plan assets	(54)	(55)	(182)	(183)
Amortization of:
Actuarial loss (gain)	19	16	65	50
Other	1		3
Net periodic benefit cost	8	19	68	62
Other Benefits
Components of net periodic benefit cost:
Service cost	2	2	7	7
Interest cost	3	2	8	8
Amortization of:
Prior service cost	(2)	(2)	(6)	(6)
Actuarial loss (gain)	(2)	$ (2)	(7)	(7)
Net periodic benefit cost	$ 1		$ 2	$ 2

BENEFIT PLANS - DEFINED CONTRIB

BENEFIT PLANS - DEFINED CONTRIBUTION PLAN INFORMATION (Details) - USD ($) $ in Millions	9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016
BENEFIT PLANS
Contribution to 401(k) retirement savings accounts	$ 173	$ 167

BENEFIT PLANS - MULTI EMPLOYER

BENEFIT PLANS - MULTI EMPLOYER PENSION PLAN OBLIGATIONS (Details) - Pension Fund $ in Millions	3 Months Ended		4 Months Ended
	Nov. 04, 2017USD ($)	Aug. 13, 2016USD ($)	May 20, 2017USD ($)item
Multiemployer Plans
Charge (before-tax) related to pension plan agreements		$ 111	$ 199
Charge (after-tax) related to pension plan agreements		$ 71	$ 126
Number of multi-employer pension plans withdrawn | item			2
Multi-employer pension plan liability payout period			20 years
United Food and Commercial Workers International Union (UFCW)
Multiemployer Plans
Employer contribution to multi-employer benefit plans	$ 111
Employer contribution to multi-employer benefit plans, net of tax	$ 69

EARNINGS PER COMMON SHARE (Deta

EARNINGS PER COMMON SHARE (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016	Nov. 04, 2017	Nov. 05, 2016
EARNINGS PER COMMON SHARE
Net earnings numerator	$ 393	$ 388	$ 1,044	$ 1,458
Average number of common shares used in basic calculation	887	940	901	946
Net earnings attributable to The Kroger Co. per basic common share	$ 0.44	$ 0.41	$ 1.16	$ 1.54
Dilutive effect of stock options (in shares)	6	13	9	16
Average number of common shares used in diluted calculation	893	953	910	962
Net earnings attributable to The Kroger Co. per diluted common share	$ 0.44	$ 0.41	$ 1.15	$ 1.52
Undistributed and distributed earnings to participating securities	$ 4	$ 3	$ 9	$ 11
Shares excluded from the earnings per share calculation due to anti-dilutive effect on earnings per share	26	11	15	7

ACCUMULATED OTHER COMPREHENSI34

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - CHANGES IN AOCI BY COMPONENT (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016	Nov. 04, 2017	Nov. 05, 2016
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at the beginning of the period			$ 6,698
Amounts reclassified out of AOCI	$ 11	$ 8	35	$ 10
Total other comprehensive income (loss)	20	54	9	(48)
Balance at the end of the period	6,235		6,235
Accumulated Other Comprehensive Loss
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at the beginning of the period			(715)	(680)
OCI before reclassifications			(26)	(58)
Amounts reclassified out of AOCI			35	10
Total other comprehensive income (loss)			9	(48)
Balance at the end of the period	(706)	(728)	(706)	(728)
Cash Flow Hedging Activities
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at the beginning of the period			(2)	(51)
OCI before reclassifications			(26)	(52)
Amounts reclassified out of AOCI			2	1
Total other comprehensive income (loss)			(24)	(51)
Balance at the end of the period	(26)	(102)	(26)	(102)
OCI before reclassifications, tax			(15)	(31)
Amounts reclassified out of AOCI, tax			2	1
Available for sale Securities
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at the beginning of the period				20
OCI before reclassifications				(6)
Amounts reclassified out of AOCI				(14)
Total other comprehensive income (loss)				(20)
OCI before reclassifications, tax				(3)
Amounts reclassified out of AOCI, tax				(13)
Pension and Postretirement Defined Benefit Plans
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at the beginning of the period			(713)	(649)
Amounts reclassified out of AOCI	10	8	33	23
Total other comprehensive income (loss)			33	23
Balance at the end of the period	(680)	(626)	(680)	(626)
Amounts reclassified out of AOCI, tax	$ 5	$ 4	$ 19	$ 14

ACCUMULATED OTHER COMPREHENSI35

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - ITEMS RECLASSIFIED OUT OF AOCI (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016	Nov. 04, 2017	Nov. 05, 2016
Reclassification out of AOCI and the related tax effects
Amortization of gains and losses on cash flow hedging activities	$ 136	$ 124	$ 453	$ 396
Realized gains on available for sale securities	4,708	4,443	15,606	14,695
Tax expense	215	206	552	727
Net of tax	(397)	(391)	(1,053)	(1,469)
Total reclassifications, net of tax	11	8	35	10
Cash Flow Hedging Activities
Reclassification out of AOCI and the related tax effects
Tax expense			(2)	(1)
Total reclassifications, net of tax			2	1
Available for sale Securities
Reclassification out of AOCI and the related tax effects
Tax expense				13
Total reclassifications, net of tax				(14)
Pension and Postretirement Defined Benefit Plans
Reclassification out of AOCI and the related tax effects
Amortization of amounts included in net periodic pension expense	15	12	52	37
Tax expense	(5)	(4)	(19)	(14)
Total reclassifications, net of tax	10	8	33	23
Reclassification out of AOCI | Cash Flow Hedging Activities
Reclassification out of AOCI and the related tax effects
Amortization of gains and losses on cash flow hedging activities	2	1	4	2
Tax expense	(1)	$ (1)	(2)	(1)
Net of tax	$ 1		$ 2	1
Reclassification out of AOCI | Available for sale Securities
Reclassification out of AOCI and the related tax effects
Realized gains on available for sale securities				(27)
Tax expense				13
Net of tax				$ (14)

INCOME TAXES - EFFECTIVE INCOME

INCOME TAXES - EFFECTIVE INCOME TAX RATE (Details)	3 Months Ended		9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016	Nov. 04, 2017	Nov. 05, 2016
INCOME TAXES
Effective income tax rate (as a percent)	35.60%	35.00%	34.80%	33.30%

INCOME TAXES - ASU 2016-09 (Det

INCOME TAXES - ASU 2016-09 (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Nov. 04, 2017	Nov. 05, 2016	Nov. 04, 2017	Nov. 05, 2016
Recently adopted accounting standards
Tax expense	$ (215)	$ (206)	$ (552)	$ (727)
Accounting Standards Update 2016-09 | Adjustment
Recently adopted accounting standards
Tax expense				$ 42

VOLUNTARY RETIREMENT OFFERING (

VOLUNTARY RETIREMENT OFFERING (Details) $ in Millions	4 Months Ended	9 Months Ended
	May 20, 2017USD ($)employee	Nov. 04, 2017USD ($)
VOLUNTARY RETIREMENT OFFERING
Number of approximate associates that accepted Voluntary Retirement Offer | employee	1,300
VRO charge, before-tax	$ 184
VRO charge, net of tax	117
VRO severance costs and other benefits	165
VRO other non-cash expense	$ 19
VRO lump sum cash payments		$ 162

HELD FOR SALE (Details)

HELD FOR SALE (Details) $ in Millions	Nov. 04, 2017USD ($)
Assets held for sale:
Total assets held for sale	$ 604
Liabilities held for sale:
Total liabilities held for sale	259
Convenience Stores Business | Disposal Group, Held-for-sale, Not Discontinued Operations
Assets held for sale:
Cash and temporary cash investments	1
Store deposits in transit	16
Receivables	55
FIFO inventory	96
LIFO reserve	(34)
Prepaid and other current assets	17
Property, plant and equipment, net	428
Intangibles, net	9
Goodwill	14
Other assets	2
Total assets held for sale	604
Liabilities held for sale:
Trade accounts payable	130
Accrued salaries and wages	10
Other current liabilities	101
Other long-term liabilities	18
Total liabilities held for sale	$ 259

SUBSEQUENT EVENT (Details)

SUBSEQUENT EVENT (Details) $ in Millions	3 Months Ended
	Feb. 03, 2018USD ($)
Forecast | Subsequent event
SUBSEQUENT EVENTS
Non-cash expense for settlement of obligations for eligible participants' pension balances	$ 400