Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Apr. 29, 2016 | May. 27, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | LOWES COMPANIES INC | |
Entity Central Index Key | 60,667 | |
Document Type | 10-Q | |
Document Period End Date | Apr. 29, 2016 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --01-29 | |
Entity Well-known Seasoned Issuer | Yes | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 886,104,716 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Apr. 29, 2016 | Jan. 29, 2016 | May. 01, 2015 |
Current assets: | |||
Cash and cash equivalents | $ 4,561 | $ 405 | $ 1,434 |
Short-term investments | 174 | 307 | 95 |
Merchandise inventory - net | 11,055 | 9,458 | 10,614 |
Other current assets | 683 | 391 | 393 |
Total current assets | 16,473 | 10,561 | 12,536 |
Property, less accumulated depreciation | 19,463 | 19,577 | 19,892 |
Long-term investments | 400 | 222 | 384 |
Deferred income taxes - net | 154 | 241 | 160 |
Other assets | 687 | 665 | 1,343 |
Total assets | 37,177 | 31,266 | 34,315 |
Current liabilities: | |||
Short-term borrowings | 0 | 43 | 0 |
Current maturities of long-term debt | 1,083 | 1,061 | 1,026 |
Accounts payable | 8,821 | 5,633 | 8,023 |
Accrued compensation and employee benefits | 615 | 820 | 555 |
Deferred revenue | 1,233 | 1,078 | 1,153 |
Other current liabilities | 2,369 | 1,857 | 2,213 |
Total current liabilities | 14,121 | 10,492 | 12,970 |
Long-term debt, excluding current maturities | 14,322 | 11,545 | 10,324 |
Deferred revenue - extended protection plans | 726 | 729 | 727 |
Other liabilities | 796 | 846 | 817 |
Total liabilities | 29,965 | 23,612 | 24,838 |
Shareholders' equity: | |||
Preferred stock - $5 par value, none issued | 0 | 0 | 0 |
Common stock - $.50 par value; Shares issued and outstanding 894 at April 29, 2016, 947 at May 1, 2015, and 910 at January 29, 2016 | 447 | 455 | 473 |
Capital in excess of par value | 0 | 0 | 0 |
Retained earnings | 7,074 | 7,593 | 9,085 |
Accumulated other comprehensive loss | (309) | (394) | (81) |
Total shareholders' equity | 7,212 | 7,654 | 9,477 |
Total liabilities and shareholders' equity | $ 37,177 | $ 31,266 | $ 34,315 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Apr. 29, 2016 | Jan. 29, 2016 | May. 01, 2015 |
Shareholders' equity: | |||
Preferred stock, par value | $ 5 | $ 5 | $ 5 |
Preferred stock, shares issued | 0 | 0 | 0 |
Common stock, par value | $ 0.50 | $ 0.50 | $ 0.50 |
Common stock, shares issued | 894,000,000 | 910,000,000 | 947,000,000 |
Common stock, shares outstanding | 894,000,000 | 910,000,000 | 947,000,000 |
Consolidated Statements of Curr
Consolidated Statements of Current and Retained Earnings (Unaudited) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |
Apr. 29, 2016 | May. 01, 2015 | |
Current Earnings | ||
Net sales | $ 15,234 | $ 14,129 |
Cost of sales | 9,897 | 9,117 |
Gross margin | 5,337 | 5,012 |
Expenses: | ||
Selling, general and administrative | 3,394 | 3,415 |
Depreciation | 357 | 365 |
Interest - net | 156 | 134 |
Total expenses | 3,907 | 3,914 |
Pre-tax earnings | 1,430 | 1,098 |
Income tax provision | 546 | 425 |
Net earnings | $ 884 | $ 673 |
Weighted-average common shares outstanding - basic | 897 | 950 |
Basic earnings per common share | $ 0.98 | $ 0.70 |
Weighted-average common shares outstanding - diluted | 899 | 952 |
Diluted earnings per common share | $ 0.98 | $ 0.70 |
Cash dividends per share | $ 0.28 | $ 0.23 |
Retained Earnings | ||
Balance at beginning of period | $ 7,593 | $ 9,591 |
Net earnings | 884 | 673 |
Cash dividends | (251) | (218) |
Share repurchases | (1,152) | (961) |
Balance at end of period | $ 7,074 | $ 9,085 |
Consolidated Statements of Cur5
Consolidated Statements of Current and Retained Earnings (Percents) (Unaudited) | 3 Months Ended | |
Apr. 29, 2016 | May. 01, 2015 | |
Current Earnings | ||
Net sales | 100.00% | 100.00% |
Cost of sales | 64.96% | 64.53% |
Gross margin | 35.04% | 35.47% |
Expenses: | ||
Selling, general and administrative | 22.28% | 24.16% |
Depreciation | 2.34% | 2.59% |
Interest - net | 1.03% | 0.95% |
Total expenses | 25.65% | 27.70% |
Pre-tax earnings | 9.39% | 7.77% |
Income tax provision | 3.59% | 3.01% |
Net earnings | 5.80% | 4.76% |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 29, 2016 | May. 01, 2015 | |
Comprehensive Income | ||
Net earnings | $ 884 | $ 673 |
Foreign currency translation adjustments - net of tax | 83 | 22 |
Other comprehensive income | 83 | 22 |
Comprehensive income | $ 967 | $ 695 |
Consolidated Statements of Com7
Consolidated Statements of Comprehensive Income (Percents) (Unaudited) | 3 Months Ended | |
Apr. 29, 2016 | May. 01, 2015 | |
Comprehensive Income | ||
Net earnings | 5.80% | 4.76% |
Foreign currency translation adjustments - net of tax | 0.55% | 0.16% |
Other comprehensive income | 0.55% | 0.16% |
Comprehensive income | 6.35% | 4.92% |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 29, 2016 | May. 01, 2015 | |
Cash flows from operating activities: | ||
Net earnings | $ 884 | $ 673 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation and amortization | 383 | 391 |
Deferred income taxes | 52 | (38) |
Loss on property and other assets - net | 11 | 7 |
Loss on equity method investments | 3 | 17 |
Share-based payment expense | 25 | 29 |
Changes in operating assets and liabilities: | ||
Merchandise inventory - net | (1,556) | (1,687) |
Other operating assets | (186) | (48) |
Accounts payable | 3,169 | 2,893 |
Other operating liabilities | 435 | 241 |
Net cash provided by operating activities | 3,220 | 2,478 |
Cash flows from investing activities: | ||
Purchases of investments | (310) | (65) |
Proceeds from sale/maturity of investments | 264 | 64 |
Capital expenditures | (208) | (232) |
Contributions to equity method investments - net | 0 | (11) |
Proceeds from sale of property and other long-term assets | 11 | 3 |
Purchases of derivative instruments | (103) | 0 |
Other - net | (3) | 0 |
Net cash used in investing activities | (349) | (241) |
Cash flows from financing activities: | ||
Net decrease in short-term borrowings | (44) | 0 |
Net proceeds from issuance of long-term debt | 3,267 | 0 |
Repayment of long-term debt | (484) | (10) |
Proceeds from issuance of common stock under share-based payment plans | 20 | 21 |
Cash dividend payments | (255) | (222) |
Repurchase of common stock | (1,253) | (1,109) |
Other - net | 33 | 50 |
Net cash provided by (used in) financing activities | 1,284 | (1,270) |
Effect of exchange rate changes on cash | 1 | 1 |
Net increase in cash and cash equivalents | 4,156 | 968 |
Cash and cash equivalents, beginning of period | 405 | 466 |
Cash and cash equivalents, end of period | $ 4,561 | $ 1,434 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Apr. 29, 2016 | |
Basis of Presentation | |
Basis of Presentation | Note 1: Basis of Presentation - The accompanying consolidated financial statements (unaudited) and notes to the consolidated financial statements (unaudited) are presented in accordance with the rules and regulations of the Securities and Exchange Commission and do not include all the disclosures normally required in annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America. The consolidated financial statements (unaudited), in the opinion of management, contain all adjustments necessary to present fairly the financial position as of April 29, 2016 , and May 1, 2015 , and the results of operations, comprehensive income and cash flows for the three months ended April 29, 2016 , and May 1, 2015 . In the fourth quarter of fiscal year 2015, the Company elected to early adopt Accounting Standards Update (ASU) 2015-17, Balance Sheet Classification of Deferred Taxes , and ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs , and applied the new guidance on a retrospective basis. The adoption of ASU 2015-17 resulted in a reclassification of $255 million of current deferred tax assets and $95 million of noncurrent deferred tax liabilities to noncurrent deferred tax assets in the Company’s consolidated balance sheet as of May 1, 2015. The adoption of ASU 2015-03 resulted in a reclassification of debt issuance costs of $10 million from noncurrent other assets to long-term debt, excluding current maturities in the Company’s consolidated balance sheet as of May 1, 2015. These interim consolidated financial statements (unaudited) should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Lowe’s Companies, Inc. (the Company) Annual Report on Form 10-K for the fiscal year ended January 29, 2016 (the Annual Report). The financial results for the interim periods may not be indicative of the financial results for the entire fiscal year. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Apr. 29, 2016 | |
Fair Value Measurements | |
Fair Value Measurements | Note 2: Fair Value Measurements - Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The authoritative guidance for fair value measurements establishes a three-level hierarchy, which encourages an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of the hierarchy are defined as follows: • Level 1 - inputs to the valuation techniques that are quoted prices in active markets for identical assets or liabilities • Level 2 - inputs to the valuation techniques that are other than quoted prices but are observable for the assets or liabilities, either directly or indirectly • Level 3 - inputs to the valuation techniques that are unobservable for the assets or liabilities Assets and Liabilities that are Measured at Fair Value on a Recurring Basis The following table presents the Company’s financial assets measured at fair value on a recurring basis as of April 29, 2016 , May 1, 2015 , and January 29, 2016 : Fair Value Measurements at (In millions) Measurement Level April 29, 2016 May 1, 2015 January 29, 2016 Short-term investments: Available-for-sale securities Certificates of deposit Level 1 $ 97 $ 16 $ 56 Municipal obligations Level 2 34 20 38 Money market funds Level 1 28 59 192 Municipal floating rate obligations Level 2 15 — 21 Total short-term investments $ 174 $ 95 $ 307 Other current assets: Foreign exchange options 1 Level 2 $ 263 $ — $ — Long-term investments: Available-for-sale securities Municipal floating rate obligations Level 2 $ 392 $ 377 $ 212 Certificates of deposit Level 1 4 5 5 Municipal obligations Level 2 4 2 5 Total long-term investments $ 400 $ 384 $ 222 1 See Note 11 to the consolidated financial statements included herein for additional information regarding derivative instruments. There were no transfers between Levels 1, 2 or 3 during any of the periods presented. When available, quoted prices were used to determine fair value. When quoted prices in active markets were available, investments were classified within Level 1 of the fair value hierarchy. When quoted prices in active markets were not available, fair values were determined using pricing models, and the inputs to those pricing models were based on observable market inputs. The inputs to the pricing models were typically benchmark yields, foreign currency exchange rates, reported trades, broker-dealer quotes, issuer spreads and benchmark securities, among others. Assets and Liabilities that are Measured at Fair Value on a Nonrecurring Basis During the three months ended April 29, 2016 and May 1, 2015 , the Company had no significant measurements of assets and liabilities at fair value on a nonrecurring basis subsequent to their initial recognition. Fair Value of Financial Instruments The Company’s financial instruments not measured at fair value on a recurring basis include cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities and long-term debt and are reflected in the financial statements at cost. With the exception of long-term debt, cost approximates fair value for these items due to their short-term nature. The fair values of the Company’s unsecured notes were estimated using quoted market prices. The fair values of the Company’s mortgage notes were estimated using discounted cash flow analyses, based on the future cash outflows associated with these arrangements and discounted using the applicable incremental borrowing rate. Carrying amounts and the related estimated fair value of the Company’s long-term debt, excluding capitalized lease obligations, are as follows: April 29, 2016 May 1, 2015 January 29, 2016 (In millions) Carrying Amount Fair Value Carrying Amount 1 Fair Value Carrying Amount Fair Value Unsecured notes (Level 1) $ 14,863 $ 16,532 $ 10,852 $ 12,231 $ 12,073 $ 13,292 Mortgage notes (Level 2) 7 8 16 17 7 8 Long-term debt (excluding capitalized lease obligations) $ 14,870 $ 16,540 $ 10,868 $ 12,248 $ 12,080 $ 13,300 1 Carrying amounts as of May 1, 2015 have been retrospectively adjusted as a result of the Company’s adoption of ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs, during the fourth quarter of fiscal 2015. The adoption of this accounting standard required reclassification of debt issuance costs from other assets to long-term debt, excluding current maturities. |
Restricted Investment Balances
Restricted Investment Balances | 3 Months Ended |
Apr. 29, 2016 | |
Restricted Investment Balances | |
Restricted Investment Balances | Note 3: Restricted Investment Balances - Short-term and long-term investments include restricted balances pledged as collateral primarily for the Company’s extended protection plan program. Restricted balances included in short-term investments were $70 million at April 29, 2016 , $74 million at May 1, 2015 , and $234 million at January 29, 2016 . Restricted balances included in long-term investments were $303 million at April 29, 2016 , $311 million at May 1, 2015 , and $202 million at January 29, 2016 . |
Property
Property | 3 Months Ended |
Apr. 29, 2016 | |
Property | |
Property | Note 4: Property - Property is shown net of accumulated depreciation of $16.6 billion at April 29, 2016 , $15.8 billion at May 1, 2015 , and $16.3 billion at January 29, 2016 . |
Extended Protection Plans
Extended Protection Plans | 3 Months Ended |
Apr. 29, 2016 | |
Extended Protection Plans | |
Extended Protection Plans | Note 5: Extended Protection Plans - The Company sells separately-priced extended protection plan contracts under a Lowe’s-branded program for which the Company is self-insured. The Company recognizes revenue from extended protection plan sales on a straight-line basis over the respective contract term. Extended protection plan contract terms primarily range from one to four years from the date of purchase or the end of the manufacturer’s warranty, as applicable. Changes in deferred revenue for extended protection plan contracts are summarized as follows: Three Months Ended (In millions) April 29, 2016 May 1, 2015 Deferred revenue - extended protection plans, beginning of period $ 729 $ 730 Additions to deferred revenue 86 82 Deferred revenue recognized (89 ) (85 ) Deferred revenue - extended protection plans, end of period $ 726 $ 727 Incremental direct acquisition costs associated with the sale of extended protection plans are also deferred and recognized as expense on a straight-line basis over the respective contract term. Deferred costs associated with extended protection plan contracts were $18 million at April 29, 2016 , $27 million at May 1, 2015 , and $20 million at January 29, 2016 . The Company’s extended protection plan deferred costs are included in other assets (noncurrent) on the consolidated balance sheets. All other costs, such as costs of services performed under the contract, general and administrative expenses, and advertising expenses are expensed as incurred. The liability for extended protection plan claims incurred is included in other current liabilities on the consolidated balance sheets and was not material in any of the periods presented. Expenses for claims are recognized when incurred and totaled $30 million and $29 million for the three months ended April 29, 2016 and May 1, 2015 , respectively. |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Apr. 29, 2016 | |
Long-Term Debt | |
Long-term Debt | Note 6 : Long-Term Debt - On April 20, 2016, the Company issued $3.30 billion of unsecured notes in four tranches: $250 million of floating rate notes maturing in April 2019 (the 2019 Floating Rate Notes); $350 million of 1.15% notes maturing in April 2019 (the 2019 Fixed Rate Notes); $1.35 billion of 2.50% notes maturing in April 2026 (the 2026 Fixed Rate Notes); and $1.35 billion of 3.70% notes maturing in April 2046 (the 2046 Fixed Rate Notes and, together with the 2019 Fixed Rate Notes and the 2026 Fixed Rate Notes, the Fixed Rate Notes). The 2019 Floating Rate Notes, the 2019 Fixed Rate Notes, the 2026 Fixed Rate Notes, and the 2046 Fixed Rate Notes were issued at discounts of approximately $1 million , $1 million , $12 million , and $19 million , respectively. The discounts associated with these issuances are included in long-term debt and are being amortized over the respective terms of the notes using the effective interest rate method. The 2019 Floating Rate Notes will bear interest at a floating rate, reset quarterly, equal to the three-month LIBOR plus 0.24% ( 0.87% as of April 29, 2016 ). Interest on the 2019 Floating Rate Notes is payable quarterly in arrears in April, July, October, and January of each year until maturity, beginning in July 2016. Interest on the Fixed Rate Notes is payable semiannually in arrears in April and October of each year until maturity, beginning in October 2016. The indenture governing the Fixed Rate Notes contains a provision that allows the Company to redeem these notes at any time, in whole or in part, at specified redemption prices, plus accrued and unpaid interest, to the date of redemption. We do not have the right to redeem the 2019 Floating Rate Notes prior to maturity. The indenture also contains a provision that allows the holders of the 2019 Floating Rate Notes and the Fixed Rate Notes to require the Company to repurchase all or any part of their notes if a change of control triggering event (as defined in the indenture) occurs. If elected under the change of control provisions, the repurchase of the notes will occur at a purchase price of 101% of the principal amount, plus accrued and unpaid interest, if any, on such notes to the date of purchase. The indenture governing the notes does not limit the aggregate principal amount of debt securities that the Company may issue and does not require the Company to maintain specified financial ratios or levels of net worth or liquidity. However, the indenture includes various restrictive covenants, none of which is expected to impact the Company’s liquidity or capital resources. |
Shareholders' Equity
Shareholders' Equity | 3 Months Ended |
Apr. 29, 2016 | |
Shareholders' Equity | |
Shareholders' Equity | Note 7 : Shareholders’ Equity - The Company has a share repurchase program that is executed through purchases made from time to time either in the open market, which may be made under pre-set trading plans meeting the requirements of Rule 10b5-1(c) of the Securities Exchange Act of 1934, or through private off-market transactions. Shares purchased under the repurchase program are retired and returned to authorized and unissued status. On March 20, 2015, the Company’s Board of Directors authorized a $5.0 billion share repurchase program with no expiration, which was announced on the same day. As of April 29, 2016 , the Company had $2.4 billion remaining in its share repurchase program. In February 2016, the Company entered into an Accelerated Share Repurchase (ASR) agreement with a third-party financial institution to repurchase $500 million of the Company’s common stock. At inception, pursuant to the agreement, the Company paid $500 million to the financial institution using cash on hand, and took delivery of 6.2 million shares. Subsequent to the end of the first fiscal quarter, in May 2016, the Company finalized the transaction and received an additional 0.6 million shares. Under the terms of the ASR agreement, upon settlement, the Company would either receive additional shares from the financial institution or be required to deliver additional shares or cash to the financial institution. The Company controlled its election to either deliver additional shares or cash to the financial institution and was subject to provisions which limited the number of shares the Company would be required to deliver. The final number of shares received upon settlement of the ASR agreement was determined with reference to the volume-weighted average price of the Company’s common stock over the term of the ASR agreement. The initial repurchase of shares under the agreement resulted in an immediate reduction of the outstanding shares used to calculate the weighted-average common shares outstanding for basic and diluted earnings per share. The ASR agreement was accounted for as a treasury stock transaction and forward stock purchase contract. The par value of the shares received was recorded as a reduction to common stock with the remainder recorded as a reduction to capital in excess of par value and retained earnings. The forward stock purchase contract was considered indexed to the Company’s own stock and was classified as an equity instrument. During the three months ended April 29, 2016 , the Company also repurchased shares of its common stock through the open market totaling 9.7 million shares for a cost of $700 million . The Company also withholds shares from employees to satisfy either the exercise price of stock options exercised or the statutory withholding tax liability resulting from the vesting of share-based awards. Shares repurchased for the three months ended April 29, 2016 , and May 1, 2015 were as follows: Three Months Ended April 29, 2016 May 1, 2015 (In millions) Shares Cost 1 Shares Cost 1 Share repurchase program 15.9 $ 1,200 13.6 $ 1,000 Shares withheld from employees 0.7 52 0.8 62 Total share repurchases 16.6 $ 1,252 14.4 $ 1,062 1 Reductions of $1.2 billion and $961 million were recorded to retained earnings, after capital in excess of par value was depleted, for the three months ended April 29, 2016 and May 1, 2015 , respectively. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Apr. 29, 2016 | |
Earnings Per Share | |
Earnings Per Share | Note 8: Earnings Per Share - The Company calculates basic and diluted earnings per common share using the two-class method. Under the two-class method, net earnings are allocated to each class of common stock and participating security as if all of the net earnings for the period had been distributed. The Company’s participating securities consist of share-based payment awards that contain a nonforfeitable right to receive dividends and, therefore, are considered to participate in undistributed earnings with common shareholders. Basic earnings per common share excludes dilution and is calculated by dividing net earnings allocable to common shares by the weighted-average number of common shares outstanding for the period. Diluted earnings per common share is calculated by dividing net earnings allocable to common shares by the weighted-average number of common shares as of the balance sheet date, as adjusted for the potential dilutive effect of non-participating share-based awards. The following table reconciles earnings per common share for the three months ended April 29, 2016 , and May 1, 2015 . Three Months Ended (In millions, except per share data) April 29, 2016 May 1, 2015 Basic earnings per common share: Net earnings $ 884 $ 673 Less: Net earnings allocable to participating securities (4 ) (3 ) Net earnings allocable to common shares, basic $ 880 $ 670 Weighted-average common shares outstanding 897 950 Basic earnings per common share $ 0.98 $ 0.70 Diluted earnings per common share: Net earnings $ 884 $ 673 Less: Net earnings allocable to participating securities (4 ) (3 ) Net earnings allocable to common shares, diluted $ 880 $ 670 Weighted-average common shares outstanding 897 950 Dilutive effect of non-participating share-based awards 2 2 Weighted-average common shares, as adjusted 899 952 Diluted earnings per common share $ 0.98 $ 0.70 Stock options to purchase 0.8 million shares of common stock were anti-dilutive for the three months ended April 29, 2016 . No stock options were anti-dilutive for the three months ended May 1, 2015 . |
Supplemental Disclosure
Supplemental Disclosure | 3 Months Ended |
Apr. 29, 2016 | |
Supplemental Disclosure | |
Supplemental Disclosure | Note 9: Supplemental Disclosure Net interest expense is comprised of the following: Three Months Ended (In millions) April 29, 2016 May 1, 2015 Long-term debt $ 134 $ 122 Capitalized lease obligations 11 11 Interest income (2 ) — Interest capitalized (1 ) (1 ) Interest on tax uncertainties 2 — Other 12 2 Interest - net $ 156 $ 134 Supplemental disclosures of cash flow information: Three Months Ended (In millions) April 29, 2016 May 1, 2015 Cash paid for interest, net of amount capitalized $ 259 $ 233 Cash paid for income taxes - net $ 52 $ 166 Non-cash investing and financing activities: Non-cash property acquisitions, including assets acquired under capital lease $ 17 $ 4 Cash dividends declared but not paid $ 251 $ 218 |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 3 Months Ended |
Apr. 29, 2016 | |
Recent Accounting Pronouncements | |
Recent Accounting Pronouncements | Note 10: Recent Accounting Pronouncements - In March 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-09, Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting . The ASU eliminates the APIC pool concept and requires that excess tax benefits and tax deficiencies be recorded in the income statement when awards are settled. The pronouncement also addresses simplifications related to statement of cash flows classification, accounting for forfeitures, and minimum statutory tax withholding requirements. This ASU is effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods, with early adoption permitted. The Company is currently evaluating the impact of adopting the ASU on its consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) . The guidance in this ASU supersedes the leasing guidance in Topic 840, Leases . Under the new guidance, lessees are required to recognize lease assets and lease liabilities on the balance sheet for those leases previously classified as operating leases. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. If a lessee makes this election, it should recognize lease expense for such leases generally on a straight-line basis over the lease term. This ASU is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years, with early adoption permitted. The Company is currently evaluating the impact of adopting this ASU on its consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, Recognition and Measurement of Financial Assets and Liabilities . The ASU requires, among other things, that entities measure equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) at fair value, with changes in fair value recognized in net income. Under this ASU, entities will no longer be able to recognize unrealized holding gains and losses on equity securities classified today as available-for-sale in other comprehensive income, and they will no longer be able to use the cost method of accounting for equity securities that do not have readily determinable fair values. The guidance for classifying and measuring investments in debt securities and loans is not impacted. ASU 2016-01 eliminates certain disclosure requirements related to financial instruments measured at amortized cost and adds disclosures related to the measurement categories of financial assets and financial liabilities. The guidance is effective for annual periods beginning after December 15, 2017. Early adoption is permitted for only certain portions of the ASU. The adoption of this guidance by the Company is not expected to have a material impact on its consolidated financial statements. In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory. The ASU requires entities using the first-in, first-out (FIFO) inventory costing method to subsequently value inventory at the lower of cost and net realizable value. The ASU defines net realizable value as the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. This ASU requires prospective application and is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years, with early adoption permitted. The adoption of this guidance by the Company is not expected to have a material impact on its consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers . The ASU is a comprehensive new revenue recognition model that requires a company to recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In August 2015, the FASB issued ASU 2015-14, which deferred the effective date of the ASU to fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2016. Companies may use either a full retrospective or a modified retrospective approach to adopt this ASU. The Company is currently evaluating the transition methods and the impact of the guidance, along with subsequent clarifying guidance, on its consolidated financial statements. |
Derivative Instruments
Derivative Instruments | 3 Months Ended |
Apr. 29, 2016 | |
Derivative Instruments | |
Derivative Instruments | Note 11 : Derivative Instruments - During the quarter, the Company entered into a definitive agreement to acquire all of the issued and outstanding common shares of RONA inc. (RONA). To manage the foreign currency exchange rate risk on the consideration to be paid for the RONA acquisition, the Company entered into an option to purchase 3.2 billion Canadian dollars expiring November 1, 2016. The premium paid for this option of $103 million is shown within cash flows from investing activities in the consolidated statements of cash flows. This foreign exchange option contract is classified within other current assets in the consolidated balance sheet, and is carried at its fair value of $263 million at April 29, 2016. It is not accounted for as a hedging instrument, and gains and losses resulting from changes in fair value are included in SG&A expense in the consolidated statements of current and retained earnings. For the three months ended April 29, 2016, the Company recorded a net unrealized gain of $160 million . See Note 2 to the consolidated financial statements included herein for additional information regarding fair value of derivative instruments. In May 2016, subsequent to the end of the first quarter, the option contract was settled for $179 million , representing a decrease of $84 million from its fair value recorded at April 29, 2016. This decrease in value will be reflected as a loss in the second quarter and will offset the $160 million unrealized gain recorded in the first quarter, resulting in a total realized gain of $76 million on the foreign exchange option contract in fiscal 2016. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Apr. 29, 2016 | |
Subsequent Events | |
Subsequent Events | Note 12: Subsequent Events - On May 20, 2016, the Company acquired all of the issued and outstanding common shares of RONA for C$24 per share in cash, for a total transaction price of approximately C$3.2 billion , net of cash received and inclusive of debt assumed. RONA is one of Canada’s largest retailers and distributors of hardware, building materials, home renovation, and gardening products. The acquisition will enable the Company to accelerate its growth strategy by significantly expanding its presence in the Canadian home improvement market. Due to the limited time since the acquisition date, the Company has not yet completed the initial accounting for this business combination. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Apr. 29, 2016 | |
Fair Value Measurements | |
Fair value measurements - recurring basis | The following table presents the Company’s financial assets measured at fair value on a recurring basis as of April 29, 2016 , May 1, 2015 , and January 29, 2016 : Fair Value Measurements at (In millions) Measurement Level April 29, 2016 May 1, 2015 January 29, 2016 Short-term investments: Available-for-sale securities Certificates of deposit Level 1 $ 97 $ 16 $ 56 Municipal obligations Level 2 34 20 38 Money market funds Level 1 28 59 192 Municipal floating rate obligations Level 2 15 — 21 Total short-term investments $ 174 $ 95 $ 307 Other current assets: Foreign exchange options 1 Level 2 $ 263 $ — $ — Long-term investments: Available-for-sale securities Municipal floating rate obligations Level 2 $ 392 $ 377 $ 212 Certificates of deposit Level 1 4 5 5 Municipal obligations Level 2 4 2 5 Total long-term investments $ 400 $ 384 $ 222 1 See Note 11 to the consolidated financial statements included herein for additional information regarding derivative instruments. There were no transfers between Levels 1, 2 or 3 during any of the periods presented. |
Fair value of financial instruments | Carrying amounts and the related estimated fair value of the Company’s long-term debt, excluding capitalized lease obligations, are as follows: April 29, 2016 May 1, 2015 January 29, 2016 (In millions) Carrying Amount Fair Value Carrying Amount 1 Fair Value Carrying Amount Fair Value Unsecured notes (Level 1) $ 14,863 $ 16,532 $ 10,852 $ 12,231 $ 12,073 $ 13,292 Mortgage notes (Level 2) 7 8 16 17 7 8 Long-term debt (excluding capitalized lease obligations) $ 14,870 $ 16,540 $ 10,868 $ 12,248 $ 12,080 $ 13,300 1 Carrying amounts as of May 1, 2015 have been retrospectively adjusted as a result of the Company’s adoption of ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs, during the fourth quarter of fiscal 2015. The adoption of this accounting standard required reclassification of debt issuance costs from other assets to long-term debt, excluding current maturities. |
Extended Protection Plans (Tabl
Extended Protection Plans (Tables) | 3 Months Ended |
Apr. 29, 2016 | |
Extended Protection Plans | |
Changes in deferred revenue for extended protection plan contracts | Changes in deferred revenue for extended protection plan contracts are summarized as follows: Three Months Ended (In millions) April 29, 2016 May 1, 2015 Deferred revenue - extended protection plans, beginning of period $ 729 $ 730 Additions to deferred revenue 86 82 Deferred revenue recognized (89 ) (85 ) Deferred revenue - extended protection plans, end of period $ 726 $ 727 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 3 Months Ended |
Apr. 29, 2016 | |
Shareholders' Equity | |
Schedule of share repurchases | Shares repurchased for the three months ended April 29, 2016 , and May 1, 2015 were as follows: Three Months Ended April 29, 2016 May 1, 2015 (In millions) Shares Cost 1 Shares Cost 1 Share repurchase program 15.9 $ 1,200 13.6 $ 1,000 Shares withheld from employees 0.7 52 0.8 62 Total share repurchases 16.6 $ 1,252 14.4 $ 1,062 1 Reductions of $1.2 billion and $961 million were recorded to retained earnings, after capital in excess of par value was depleted, for the three months ended April 29, 2016 and May 1, 2015 , respectively. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Apr. 29, 2016 | |
Earnings Per Share | |
Schedule of earnings per share, basic and diluted | The following table reconciles earnings per common share for the three months ended April 29, 2016 , and May 1, 2015 . Three Months Ended (In millions, except per share data) April 29, 2016 May 1, 2015 Basic earnings per common share: Net earnings $ 884 $ 673 Less: Net earnings allocable to participating securities (4 ) (3 ) Net earnings allocable to common shares, basic $ 880 $ 670 Weighted-average common shares outstanding 897 950 Basic earnings per common share $ 0.98 $ 0.70 Diluted earnings per common share: Net earnings $ 884 $ 673 Less: Net earnings allocable to participating securities (4 ) (3 ) Net earnings allocable to common shares, diluted $ 880 $ 670 Weighted-average common shares outstanding 897 950 Dilutive effect of non-participating share-based awards 2 2 Weighted-average common shares, as adjusted 899 952 Diluted earnings per common share $ 0.98 $ 0.70 |
Supplemental Disclosure (Tables
Supplemental Disclosure (Tables) | 3 Months Ended |
Apr. 29, 2016 | |
Supplemental Disclosure | |
Net interest expense | Net interest expense is comprised of the following: Three Months Ended (In millions) April 29, 2016 May 1, 2015 Long-term debt $ 134 $ 122 Capitalized lease obligations 11 11 Interest income (2 ) — Interest capitalized (1 ) (1 ) Interest on tax uncertainties 2 — Other 12 2 Interest - net $ 156 $ 134 |
Supplemental disclosures of cash flow information | Supplemental disclosures of cash flow information: Three Months Ended (In millions) April 29, 2016 May 1, 2015 Cash paid for interest, net of amount capitalized $ 259 $ 233 Cash paid for income taxes - net $ 52 $ 166 Non-cash investing and financing activities: Non-cash property acquisitions, including assets acquired under capital lease $ 17 $ 4 Cash dividends declared but not paid $ 251 $ 218 |
Basis of Presentation (Details)
Basis of Presentation (Details) - USD ($) $ in Millions | Apr. 29, 2016 | Jan. 29, 2016 | May. 01, 2015 |
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Noncurrent deferred tax assets | $ 154 | $ 241 | $ 160 |
Noncurrent other assets | 687 | 665 | 1,343 |
Long-term debt, excluding current maturities | $ 14,322 | $ 11,545 | 10,324 |
New Accounting Pronouncement, Early Adoption, Effect [Member] | Accounting Standards Update 2015-17 [Member] | Restatement Adjustment [Member] | |||
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Current deferred tax assets | (255) | ||
Noncurrent deferred tax liabilities | (95) | ||
Noncurrent deferred tax assets | 160 | ||
New Accounting Pronouncement, Early Adoption, Effect [Member] | Accounting Standards Update 2015-03 [Member] | Restatement Adjustment [Member] | |||
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Noncurrent other assets | (10) | ||
Long-term debt, excluding current maturities | $ 10 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Fair Value, Measurements, Recurring [Member] - Estimate of Fair Value [Member] - USD ($) $ in Millions | Apr. 29, 2016 | Jan. 29, 2016 | May. 01, 2015 |
Short-term Investments [Member] | |||
Assets, Fair Value Disclosure | |||
Available-for-sale securities, fair value | $ 174 | $ 307 | $ 95 |
Short-term Investments [Member] | Certificates Of Deposit [Member] | Fair Value (Level 1) [Member] | |||
Assets, Fair Value Disclosure | |||
Available-for-sale securities, fair value | 97 | 56 | 16 |
Short-term Investments [Member] | Municipal Obligations [Member] | Fair Value (Level 2) [Member] | |||
Assets, Fair Value Disclosure | |||
Available-for-sale securities, fair value | 34 | 38 | 20 |
Short-term Investments [Member] | Money Market Funds [Member] | Fair Value (Level 1) [Member] | |||
Assets, Fair Value Disclosure | |||
Available-for-sale securities, fair value | 28 | 192 | 59 |
Short-term Investments [Member] | Municipal Floating Rate Obligations [Member] | Fair Value (Level 2) [Member] | |||
Assets, Fair Value Disclosure | |||
Available-for-sale securities, fair value | 15 | 21 | 0 |
Other Current Assets [Member] | Fair Value (Level 2) [Member] | |||
Assets, Fair Value Disclosure | |||
Foreign exchange options, fair value | 263 | 0 | 0 |
Long-term Investments [Member] | |||
Assets, Fair Value Disclosure | |||
Available-for-sale securities, fair value | 400 | 222 | 384 |
Long-term Investments [Member] | Certificates Of Deposit [Member] | Fair Value (Level 1) [Member] | |||
Assets, Fair Value Disclosure | |||
Available-for-sale securities, fair value | 4 | 5 | 5 |
Long-term Investments [Member] | Municipal Obligations [Member] | Fair Value (Level 2) [Member] | |||
Assets, Fair Value Disclosure | |||
Available-for-sale securities, fair value | 4 | 5 | 2 |
Long-term Investments [Member] | Municipal Floating Rate Obligations [Member] | Fair Value (Level 2) [Member] | |||
Assets, Fair Value Disclosure | |||
Available-for-sale securities, fair value | $ 392 | $ 212 | $ 377 |
Fair Value Measurements (Deta28
Fair Value Measurements (Details 1) - USD ($) $ in Millions | Apr. 29, 2016 | Jan. 29, 2016 | May. 01, 2015 |
Financial Instruments | |||
Long-term debt carrying value (excluding capitalized lease obligations) | $ 14,870 | $ 12,080 | $ 10,868 |
Unsecured Notes [Member] | |||
Financial Instruments | |||
Long-term debt carrying value (excluding capitalized lease obligations) | 14,863 | 12,073 | 10,852 |
Mortgage Notes [Member] | |||
Financial Instruments | |||
Long-term debt carrying value (excluding capitalized lease obligations) | 7 | 7 | 16 |
Estimate of Fair Value [Member] | |||
Financial Instruments | |||
Long-term debt fair value (excluding capitalized lease obligations) | 16,540 | 13,300 | 12,248 |
Estimate of Fair Value [Member] | Unsecured Notes [Member] | Fair Value (Level 1) [Member] | |||
Financial Instruments | |||
Long-term debt fair value (excluding capitalized lease obligations) | 16,532 | 13,292 | 12,231 |
Estimate of Fair Value [Member] | Mortgage Notes [Member] | Fair Value (Level 2) [Member] | |||
Financial Instruments | |||
Long-term debt fair value (excluding capitalized lease obligations) | $ 8 | $ 8 | $ 17 |
Restricted Investment Balances
Restricted Investment Balances (Details) - USD ($) $ in Millions | Apr. 29, 2016 | Jan. 29, 2016 | May. 01, 2015 |
Restricted Investment Balances | |||
Restricted balances included in short-term investments | $ 70 | $ 234 | $ 74 |
Restricted balances included in long-term investments | $ 303 | $ 202 | $ 311 |
Property (Details)
Property (Details) - USD ($) $ in Billions | Apr. 29, 2016 | Jan. 29, 2016 | May. 01, 2015 |
Property | |||
Accumulated depreciation | $ 16.6 | $ 16.3 | $ 15.8 |
Extended Protection Plans (Deta
Extended Protection Plans (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 29, 2016 | May. 01, 2015 | |
Changes in deferred revenue for extended protection plan contracts | ||
Deferred revenue - extended protection plans, beginning of period | $ 729 | $ 730 |
Additions to deferred revenue | 86 | 82 |
Deferred revenue recognized | (89) | (85) |
Deferred revenue - extended protection plans, end of period | $ 726 | $ 727 |
Extended Protection Plans (De32
Extended Protection Plans (Details Textual) - USD ($) $ in Millions | 3 Months Ended | ||
Apr. 29, 2016 | May. 01, 2015 | Jan. 29, 2016 | |
Extended Protection Plans | |||
Deferred costs associated with extended protection plan contracts | $ 18 | $ 27 | $ 20 |
Expenses for claims incurred | $ 30 | $ 29 |
Long-Term Debt (Details)
Long-Term Debt (Details) - Unsecured Debt [Member] - USD ($) $ in Millions | Apr. 20, 2016 | Apr. 29, 2016 |
April 2016 Debt Issuance [Member] | ||
Long-Term Debt | ||
Unsecured notes, issued | $ 3,300 | |
Debt instrument, redemption price, percentage | 101.00% | |
2019 Floating Rate Notes [Member] | ||
Long-Term Debt | ||
Unsecured notes, issued | $ 250 | |
Unsecured notes, maturity date | Apr. 30, 2019 | |
Unsecured notes, interest rate | 0.87% | |
Unamortized discount | $ 1 | |
Unsecured notes, description of variable rate basis | three-month LIBOR | |
Unsecured notes, basis spread on variable rate | 0.24% | |
2019 Fixed Rate Notes [Member] | ||
Long-Term Debt | ||
Unsecured notes, issued | $ 350 | |
Unsecured notes, maturity date | Apr. 30, 2019 | |
Unsecured notes, interest rate | 1.15% | |
Unamortized discount | $ 1 | |
2026 Fixed Rate Notes [Member] | ||
Long-Term Debt | ||
Unsecured notes, issued | $ 1,350 | |
Unsecured notes, maturity date | Apr. 30, 2026 | |
Unsecured notes, interest rate | 2.50% | |
Unamortized discount | $ 12 | |
2046 Fixed Rate Notes [Member] | ||
Long-Term Debt | ||
Unsecured notes, issued | $ 1,350 | |
Unsecured notes, maturity date | Apr. 30, 2046 | |
Unsecured notes, interest rate | 3.70% | |
Unamortized discount | $ 19 |
Shareholders' Equity (Details)
Shareholders' Equity (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | ||
Apr. 29, 2016 | May. 01, 2015 | ||
Shareholders' Equity | |||
Reduction in retained earnings | $ 1,152 | $ 961 | |
Share Repurchases | |||
Share repurchases, value | [1] | $ 1,252 | $ 1,062 |
Share repurchases, shares | 16.6 | 14.4 | |
Share Repurchase Program [Member] | |||
Share Repurchases | |||
Share repurchases, value | [1] | $ 1,200 | $ 1,000 |
Share repurchases, shares | 15.9 | 13.6 | |
Shares Withheld from Employees [Member] | |||
Share Repurchases | |||
Share repurchases, value | [1] | $ 52 | $ 62 |
Share repurchases, shares | 0.7 | 0.8 | |
[1] | Reductions of $1.2 billion and $961 million were recorded to retained earnings, after capital in excess of par value was depleted, for the three months ended April 29, 2016 and May 1, 2015, respectively. |
Shareholders' Equity (Details T
Shareholders' Equity (Details Textual) - USD ($) shares in Millions | Feb. 29, 2016 | May. 31, 2016 | Apr. 29, 2016 | May. 01, 2015 | Mar. 20, 2015 | |
Share Repurchases | ||||||
Share repurchases, value | [1] | $ 1,252,000,000 | $ 1,062,000,000 | |||
Share repurchases, shares | 16.6 | 14.4 | ||||
Cash used to repurchase shares | $ 1,253,000,000 | $ 1,109,000,000 | ||||
Share Repurchase Program [Member] | ||||||
Share Repurchases | ||||||
Share repurchases, value | [1] | $ 1,200,000,000 | $ 1,000,000,000 | |||
Share repurchases, shares | 15.9 | 13.6 | ||||
Remaining share repurchases authorization, value | $ 2,400,000,000 | |||||
March 20, 2015 Share Repurchase Program [Member] | ||||||
Share Repurchases | ||||||
Share repurchases authorized, value | $ 5,000,000,000 | |||||
February 2016 Accelerated Share Repurchase Agreement Purchases [Member] | ||||||
Share Repurchases | ||||||
Share repurchases, value | $ 500,000,000 | |||||
Share repurchases, shares | 6.2 | |||||
Cash used to repurchase shares | $ 500,000,000 | |||||
February 2016 Accelerated Share Repurchase Agreement Purchases [Member] | Subsequent Event [Member] | ||||||
Share Repurchases | ||||||
Share repurchases, shares | 0.6 | |||||
Open market purchases [Member] | ||||||
Share Repurchases | ||||||
Share repurchases, value | $ 700,000,000 | |||||
Share repurchases, shares | 9.7 | |||||
[1] | Reductions of $1.2 billion and $961 million were recorded to retained earnings, after capital in excess of par value was depleted, for the three months ended April 29, 2016 and May 1, 2015, respectively. |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | |
Apr. 29, 2016 | May. 01, 2015 | |
Basic earnings per common share: | ||
Net earnings | $ 884 | $ 673 |
Less: Net earnings allocable to participating securities | (4) | (3) |
Net earnings allocable to common shares, basic | $ 880 | $ 670 |
Weighted-average common shares outstanding | 897 | 950 |
Basic earnings per common share | $ 0.98 | $ 0.70 |
Diluted earnings per common share: | ||
Net earnings | $ 884 | $ 673 |
Less: Net earnings allocable to participating securities | (4) | (3) |
Net earnings allocable to common shares, diluted | $ 880 | $ 670 |
Weighted-average common shares outstanding | 897 | 950 |
Dilutive effect of non-participating share-based awards | 2 | 2 |
Weighted-average common shares, as adjusted | 899 | 952 |
Diluted earnings per common share | $ 0.98 | $ 0.70 |
Earnings Per Share (Details Tex
Earnings Per Share (Details Textual) - shares | 3 Months Ended | |
Apr. 29, 2016 | May. 01, 2015 | |
Earnings Per Share | ||
Anti-dilutive securities | 800,000 | 0 |
Supplemental Disclosure (Detail
Supplemental Disclosure (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 29, 2016 | May. 01, 2015 | |
Net interest expense | ||
Long-term debt | $ 134 | $ 122 |
Capitalized lease obligations | 11 | 11 |
Interest income | (2) | 0 |
Interest capitalized | (1) | (1) |
Interest on tax uncertainties | 2 | 0 |
Other | 12 | 2 |
Interest - net | $ 156 | $ 134 |
Supplemental Disclosure (Deta39
Supplemental Disclosure (Details 1) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 29, 2016 | May. 01, 2015 | |
Supplemental disclosures of cash flow information | ||
Cash paid for interest, net of amount capitalized | $ 259 | $ 233 |
Cash paid for income taxes, net | 52 | 166 |
Non-cash investing and financing activities: | ||
Non-cash property acquisitions, including assets acquired under capital lease | 17 | 4 |
Cash dividends declared but not paid | $ 251 | $ 218 |
Derivative Instruments (Details
Derivative Instruments (Details) $ in Millions, CAD in Billions | 1 Months Ended | 3 Months Ended | |||
May. 31, 2016USD ($) | Apr. 29, 2016USD ($) | May. 01, 2015USD ($) | Apr. 29, 2016CAD | Apr. 29, 2016USD ($) | |
Derivatives, Fair Value [Line Items] | |||||
Purchases of derivative instruments, investing activities | $ 103 | $ 0 | |||
Foreign Exchange Option [Member] | Not Designated as Hedging Instrument [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative asset, notional amount | CAD | CAD 3.2 | ||||
Purchases of derivative instruments, investing activities | 103 | ||||
Gain (loss) on derivative, net | $ 160 | ||||
Foreign Exchange Option [Member] | Not Designated as Hedging Instrument [Member] | Subsequent Event [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Gain (loss) on derivative, net | $ (84) | ||||
Proceeds from derivative instruments, investing activities | 179 | ||||
Total realized gain on derivative instruments | $ 76 | ||||
Foreign Exchange Option [Member] | Not Designated as Hedging Instrument [Member] | Other Current Assets [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative asset, fair value, gross asset | $ 263 |
Subsequent Events (Details)
Subsequent Events (Details) - Subsequent Event [Member] - RONA inc [Member] CAD / shares in Units, CAD in Billions | May. 20, 2016CADCAD / shares |
Subsequent Events | |
Business Combination, Consideration Transferred | CAD | CAD 3.2 |
Common Class A [Member] | |
Subsequent Events | |
Business Acquisition, Share Price | CAD / shares | CAD 24 |