Document and Entity Information
Document and Entity Information | 6 Months Ended |
Jul. 30, 2016shares | |
Document and Entity Information [Abstract] | |
Document Type | 10-Q |
Amendment Flag | false |
Document Period End Date | Jul. 30, 2016 |
Document Fiscal Year Focus | 2,016 |
Document Fiscal Period Focus | Q2 |
Trading Symbol | M |
Entity Registrant Name | Macy's, Inc. |
Entity Central Index Key | 794,367 |
Current Fiscal Year End Date | --01-28 |
Entity Filer Category | Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 308,467,833 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Income Statement [Abstract] | ||||
Net sales | $ 5,866 | $ 6,104 | $ 11,637 | $ 12,336 |
Cost of sales | (3,468) | (3,610) | (6,984) | (7,410) |
Gross margin | 2,398 | 2,494 | 4,653 | 4,926 |
Selling, general and administrative expenses | (2,026) | (2,058) | (3,992) | (4,081) |
Impairments and other costs | (249) | 0 | (249) | 0 |
Settlement charges | (6) | 0 | (19) | 0 |
Operating income (loss) | 117 | 436 | 393 | 845 |
Interest expense | (98) | (94) | (197) | (189) |
Interest income | 1 | 1 | 2 | 1 |
Income (loss) before income taxes | 20 | 343 | 198 | 657 |
Federal, state and local income tax expense | (11) | (126) | (74) | (247) |
Net income (loss) | 9 | 217 | 124 | 410 |
Net loss attributable to noncontrolling interest | 2 | 0 | 3 | 0 |
Net income (loss) attributable to Macy's, Inc. shareholders | $ 11 | $ 217 | $ 127 | $ 410 |
Basic earnings per share attributable to Macy's, Inc. shareholders | $ 0.03 | $ 0.65 | $ 0.41 | $ 1.21 |
Diluted earnings per share attributable to Macy's, Inc. shareholders | $ 0.03 | $ 0.64 | $ 0.41 | $ 1.19 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Net income (loss) | $ 9 | $ 217 | $ 124 | $ 410 |
Actuarial loss on postretirement benefit plans, before tax | (41) | 0 | (77) | 0 |
Settlement charges, before tax | 6 | 0 | 19 | 0 |
Amortization of net actuarial loss on post employment and postretirement benefit plans, before tax | 8 | 11 | 17 | 24 |
Tax effect related to items of other comprehensive income | 10 | (4) | 16 | (9) |
Total other comprehensive income, net of tax effect | (17) | 7 | (25) | 15 |
Comprehensive income (loss) | (8) | 224 | 99 | 425 |
Comprehensive loss attributable to noncontrolling interest | 2 | 0 | 3 | 0 |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | $ (6) | $ 224 | $ 102 | $ 425 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Jul. 30, 2016 | Jan. 30, 2016 | Aug. 01, 2015 | Jan. 31, 2015 |
Current Assets: | ||||
Cash and cash equivalents | $ 1,000 | $ 1,109 | $ 843 | $ 2,246 |
Receivables | 423 | 558 | 334 | |
Merchandise inventories | 5,322 | 5,506 | 5,496 | |
Prepaid expenses and other current assets | 471 | 479 | 437 | |
Total Current Assets | 7,216 | 7,652 | 7,110 | |
Property and Equipment - net | 7,187 | 7,616 | 7,704 | |
Goodwill | 3,897 | 3,897 | 3,897 | |
Other Intangible Assets - net | 502 | 514 | 523 | |
Other Assets | 904 | 897 | 726 | |
Total Assets | 19,706 | 20,576 | 19,960 | |
Current Liabilities: | ||||
Short-term debt | 1,063 | 642 | 83 | |
Merchandise accounts payable | 1,877 | 1,526 | 1,942 | |
Accounts payable and accrued liabilities | 2,514 | 3,333 | 2,277 | |
Income taxes | 23 | 227 | 64 | |
Total Current Liabilities | 5,477 | 5,728 | 4,366 | |
Long-Term Debt | 6,567 | 6,995 | 7,151 | |
Deferred Income Taxes | 1,448 | 1,477 | 1,449 | |
Other Liabilities | 2,164 | 2,123 | 2,150 | |
Shareholders' Equity, Macy's, Inc. | 4,046 | 4,250 | 4,844 | |
Shareholders' Equity, noncontrolling interest | 4 | 3 | 0 | |
Total Shareholders’ Equity | 4,050 | 4,253 | 4,844 | |
Total Liabilities and Shareholders' Equity | $ 19,706 | $ 20,576 | $ 19,960 |
Consolidated Balance Sheets (pa
Consolidated Balance Sheets (parenthetical) - USD ($) $ in Millions | Jul. 30, 2016 | Jan. 30, 2016 | Aug. 01, 2015 |
Accumulated depreciation | $ 5,457 | $ 5,319 | $ 5,974 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jul. 30, 2016 | Aug. 01, 2015 | |
Net income (loss) | $ 124 | $ 410 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Impairments and other costs | 249 | 0 |
Settlement charges | 19 | 0 |
Depreciation and amortization | 520 | 520 |
Stock-based compensation expense | 37 | 47 |
Amortization of financing costs and premium on acquired debt | (1) | (2) |
Changes in assets and liabilities: | ||
Decrease in receivables | 99 | 92 |
(Increase) decrease in merchandise inventories | 184 | (50) |
Increase in prepaid expenses and other current assets | (40) | (29) |
Increase in other assets not separately identified | 0 | 0 |
Increase in merchandise accounts payable | 307 | 314 |
Decrease in accounts payable, accrued liabilities and other items not separately identified | (686) | (626) |
Decrease in current income taxes | (204) | (232) |
Decrease in deferred income taxes | (26) | (20) |
Decrease in other liabilities not separately identified | (22) | (26) |
Net cash provided (used) by operating activities | 560 | 398 |
Cash flows from investing activities: | ||
Purchase of property and equipment | (293) | (367) |
Capitalized software | (151) | (144) |
Acquisition of Bluemercury, Inc., net of cash acquired | 0 | (212) |
Disposition of property and equipment | 67 | 4 |
Other, net | 39 | 104 |
Net cash used by investing activities | (338) | (615) |
Cash flows from financing activities: | ||
Debt repaid | (3) | (72) |
Financing costs | 3 | 0 |
Dividends paid | (228) | (227) |
Increase (decrease) in outstanding checks | 2 | (136) |
Acquisition of treasury stock | (130) | (909) |
Issuance of common stock | 27 | 158 |
Proceeds from noncontrolling interest | 4 | 0 |
Net cash provided (used) by financing activities | (331) | (1,186) |
Net increase (decrease) in cash and cash equivalents | (109) | (1,403) |
Cash and cash equivalents beginning of period | 1,109 | 2,246 |
Cash and cash equivalents end of period | 1,000 | 843 |
Supplemental cash flow information: | ||
Interest paid | 200 | 194 |
Interest received | 2 | 1 |
Income taxes paid (net of refunds received) | $ 292 | $ 450 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jul. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Nature of Operations Macy's, Inc. and subsidiaries (the "Company") is an omnichannel retail organization operating stores, websites and mobile applications under three brands (Macy's, Bloomingdale's and Bluemercury) that sell a wide range of merchandise, including apparel and accessories (men's, women's and children's), cosmetics, home furnishings and other consumer goods. The Company's operations include approximately 880 Macy's, Macy's Backstage, Bloomingdale's, Bloomingdales Outlet and Bluemercury stores in 45 states, the District of Columbia, Guam and Puerto Rico, as well as macys.com, bloomingdales.com and bluemercury.com. In addition, Bloomingdale's in Dubai, United Arab Emirates is operated under a license agreement with Al Tayer Insignia, a company of Al Tayer Group, LLC. A description of the Company's significant accounting policies is included in the Company's Annual Report on Form 10-K for the fiscal year ended January 30, 2016 (the "2015 10-K"). The accompanying Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto in the 2015 10-K. Use of Estimates The preparation of financial statements in conformity with United States generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Such estimates and assumptions are subject to inherent uncertainties, which may result in actual amounts differing from reported amounts. The Consolidated Financial Statements for the 13 and 26 weeks ended July 30, 2016 and August 1, 2015 , in the opinion of management, include all adjustments (consisting only of normal recurring adjustments) considered necessary to present fairly, in all material respects, the consolidated financial position and results of operations of the Company. Seasonality Because of the seasonal nature of the retail business, the results of operations for the 13 and 26 weeks ended July 30, 2016 and August 1, 2015 (which do not include the Christmas season) are not necessarily indicative of such results for the full fiscal year. Reclassifications Certain reclassifications were made to prior years’ amounts to conform with the classifications of such amounts for the most recent fiscal period. Comprehensive Income Total comprehensive income represents the change in equity during a period from sources other than transactions with shareholders and, as such, includes net income. For the Company, the only other components of total comprehensive income for the 13 and 26 weeks ended July 30, 2016 and August 1, 2015 relate to post employment and postretirement plan items. The settlement charges incurred are included as a separate component of operating expenses in the Consolidated Statements of Income. The amortization reclassifications out of accumulated other comprehensive loss are included in the computation of net periodic benefit cost (income) and are included in selling, general and administrative expenses on the Consolidated Statements of Income. See Note 4, "Benefit Plans," for further information. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jul. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Attributable to Macy's, Inc. Shareholders The following tables set forth the computation of basic and diluted earnings per share attributable to Macy's, Inc. shareholders: 13 Weeks Ended July 30, 2016 August 1, 2015 Net Shares Net Shares (millions, except per share data) Net income attributable to Macy's, Inc. shareholders and $ 11 308.5 $ 217 334.9 Shares to be issued under deferred 0.9 0.8 $ 11 309.4 $ 217 335.7 Basic earnings per share attributable to $ .03 $ .65 Effect of dilutive securities: Stock options, restricted stock and restricted stock units 1.9 5.3 $ 11 311.3 $ 217 341.0 Diluted earnings per share attributable to $ .03 $ .64 26 Weeks Ended July 30, 2016 August 1, 2015 Net Income Shares Net Income Shares (millions, except per share data) Net income attributable to Macy's, Inc. shareholders and $ 127 309.1 $ 410 337.3 Shares to be issued under deferred 0.9 0.9 $ 127 310.0 $ 410 338.2 Basic earnings per share attributable to $ .41 $ 1.21 Effect of dilutive securities: Stock options, restricted stock and restricted stock units 2.4 5.5 $ 127 312.4 $ 410 343.7 Diluted earnings per share attributable to $ .41 $ 1.19 In addition to the stock options, restricted stock and restricted stock units reflected in the foregoing tables, stock options to purchase 15.7 million shares of common stock and restricted stock units relating to 1.1 million shares of common stock were outstanding at July 30, 2016 , but were not included in the computation of diluted earnings per share for the 13 and 26 weeks ended July 30, 2016 because their inclusion would have been antidilutive or they were subject to performance conditions that had not been met. In addition to the stock options, restricted stock and restricted stock units reflected in the foregoing tables, stock options to purchase 3.4 million shares of common stock and restricted stock units relating to 1.1 million shares of common stock were outstanding at August 1, 2015 , but were not included in the computation of diluted earnings per share for the 13 and 26 weeks ended August 1, 2015 because their inclusion would have been antidilutive or they were subject to performance conditions that had not been met. |
Financing Activities
Financing Activities | 6 Months Ended |
Jul. 30, 2016 | |
Financing Activities [Abstract] | |
Financing Activities | Financing Activities The following table shows the detail of debt repayments: 26 Weeks Ended July 30, 2016 August 1, 2015 (millions) 7.5% Senior debentures due 2015 $ — $ 69 9.5% amortizing debentures due 2021 2 2 9.75% amortizing debentures due 2021 1 1 $ 3 $ 72 The Company entered into a credit agreement with certain financial institutions on May 6, 2016 providing for revolving credit borrowings and letters of credit in an aggregate amount not to exceed $1,500 million (which may be increased to $1,750 million at the option of the Company, subject to the willingness of existing or new lenders to provide commitments for such additional financing) outstanding at any particular time. This agreement is set to expire May 6, 2021 and replaces the prior agreement which was set to expire May 10, 2018. On August 15, 2016, the Company redeemed at par the principal amount of $108 million of 7.875% senior debentures due 2036, pursuant to the terms of the debentures. Interest expense in the third quarter of 2016 will be lower due to the recognition of unamortized debt premium associated with this debt. During the 26 weeks ended July 30, 2016 , the Company repurchased approximately 3.0 million shares of its common stock pursuant to existing stock purchase authorizations for a total of approximately $129 million , and no shares of its common stock were repurchased during the 13 weeks ended July 30, 2016. As of July 30, 2016 , the Company had $1,903 million of authorization remaining under its share repurchase program. The Company may repurchase shares under its share repurchase program, depending on prevailing market conditions, alternate uses of capital and other factors. |
Benefit Plans
Benefit Plans | 6 Months Ended |
Jul. 30, 2016 | |
Pension and Other Postretirement Benefit Expense [Abstract] | |
Benefit Plans | Benefit Plans The Company has defined contribution plans which cover substantially all employees who work 1,000 hours or more in a year. In addition, the Company has a funded defined benefit plan ("Pension Plan") and an unfunded defined benefit supplementary retirement plan ("SERP"), which provides benefits, for certain employees, in excess of qualified plan limitations. Effective January 1, 2012, the Pension Plan was closed to new participants, with limited exceptions, and effective January 2, 2012, the SERP was closed to new participants. In February 2013, the Company announced changes to the Pension Plan and SERP whereby eligible employees no longer earn future pension service credits after December 31, 2013, with limited exceptions. All retirement benefits attributable to service in subsequent periods are provided through defined contribution plans. In addition, certain retired employees currently are provided with specified health care and life insurance benefits ("Postretirement Obligations"). Eligibility requirements for such benefits vary, but generally state that benefits are available to eligible employees who were hired prior to a certain date and retire after a certain age with specified years of service. Certain employees are subject to having such benefits modified or terminated. The defined contribution plan expense and actuarially determined components of the net periodic benefit cost (income) associated with the defined benefit plans are as follows: 13 Weeks Ended 26 Weeks Ended July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 (millions) 401(k) Qualified Defined Contribution Plan $ 25 $ 24 $ 49 $ 47 Non-Qualified Defined Contribution Plan $ 1 $ 1 $ 1 $ 1 Pension Plan Service cost $ 1 $ 1 $ 2 $ 3 Interest cost 28 34 56 68 Expected return on assets (58 ) (58 ) (114 ) (117 ) Recognition of net actuarial loss 7 9 15 19 Amortization of prior service credit — — — — $ (22 ) $ (14 ) $ (41 ) $ (27 ) Supplementary Retirement Plan Service cost $ — $ — $ — $ — Interest cost 6 8 12 16 Recognition of net actuarial loss 2 2 4 5 Amortization of prior service cost — — — — $ 8 $ 10 $ 16 $ 21 Total Retirement Expense $ 12 $ 21 $ 25 $ 42 Postretirement Obligations Service cost $ — $ — $ — $ — Interest cost 1 2 3 4 Recognition of net actuarial gain (1 ) — (2 ) — Amortization of prior service cost — — — — $ — $ 2 $ 1 $ 4 During the 13 and 26 weeks ended July 30, 2016 , the Company also incurred $6 million and $19 million , respectively, of non-cash settlement charges relating to the Company's defined benefit plans. These charges resulted from an increase in lump sum distributions associated with store closings, a voluntary separation program and organizational restructuring, in addition to periodic distribution activity. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jul. 30, 2016 | |
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | |
Fair Value Measurements | Fair Value Measurements The following table shows the Company's financial assets that are required to be measured at fair value on a recurring basis, by level within the hierarchy as defined by applicable accounting standards: July 30, 2016 August 1, 2015 Fair Value Measurements Fair Value Measurements Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (millions) Marketable equity and debt securities $ 141 $ — $ 141 $ — $ 101 $ — $ 101 $ — Other financial instruments not measured at fair value on a recurring basis include cash and cash equivalents, receivables, short-term debt, merchandise accounts payable, accounts payable and accrued liabilities and long-term debt. With the exception of long-term debt, the carrying amount of these financial instruments approximates fair value because of the short maturity of these instruments. The fair values of long-term debt, excluding capitalized leases, are generally estimated based on quoted market prices for identical or similar instruments, and are classified as Level 2 measurements within the hierarchy as defined by applicable accounting standards. The following table shows the estimated fair value of the Company's long-term debt: July 30, 2016 August 1, 2015 Notional Amount Carrying Amount Fair Value Notional Amount Carrying Amount Fair Value (millions) Long-term debt $ 6,461 $ 6,540 $ 6,822 $ 7,012 $ 7,123 $ 7,585 The Company reviews the carrying value of its goodwill and other intangible assets with indefinite lives at least annually for possible impairment in accordance with ASC Topic 350, “Intangibles - Goodwill and Other.” Goodwill has been assigned to reporting units for purposes of impairment testing. The reporting units are the Company's retail operations. Goodwill and other intangible assets with indefinite lives are tested for impairment annually at the end of the fiscal month of May. During the second quarter of fiscal 2016, the Company completed its annual impairment test of goodwill and other intangible assets with indefinite lives. In connection with the preparation of these consolidated financial statements, management concluded that goodwill was not impaired as of May 30, 2016 and approximately $7 million of asset impairment charges for the 13 and 26 weeks ended July 30, 2016 were recognized in relation to indefinite lived tradenames. The fair values of these tradenames were calculated based on the projected cash flows and an estimated risk-adjusted rate of return that would be used by market participants in valuing these assets or prices of similar assets and are classified as Level 3 measurements within the hierarchy as defined by applicable accounting standards. The use of different assumptions, estimates or judgments in the testing process, including with respect to the analysis of macroeconomic conditions, industry, market and other economic considerations and actual and expected financial performance, the estimated future cash flows and the discount rates used to discount such estimated cash flows to their net present values, could materially increase or decrease the estimated fair values and, accordingly, could impact the results of the annual impairment tests. The carrying value of long-lived assets is periodically reviewed by the Company whenever events or changes in circumstances indicate that a potential impairment has occurred. For long-lived assets held for use, a potential impairment has occurred if projected future undiscounted cash flows are less than the carrying value of the assets. The estimate of cash flows includes management’s assumptions of cash inflows and outflows directly resulting from the use of those assets in operations. When a potential impairment has occurred, an impairment write-down is recorded if the carrying value of the long-lived asset exceeds its fair value. The Company has announced a plan to dispose of approximately 100 Macy’s stores before the end of their previously estimated useful lives as the Company works to optimize its omnichannel approach to customers. As a result, an impairment review of the Company’s long-lived assets was required and estimated cash flows have been revised accordingly. As part of this impairment review during the 13 weeks ended July 30, 2016, long-lived assets held and used with a carrying value of $326 million were written down to their fair value of $106 million , resulting in asset impairment charges of $220 million . The fair values of these locations were calculated based on the projected cash flows and an estimated risk-adjusted rate of return that would be used by market participants in valuing these assets or prices of similar assets and are classified as Level 3 measurements within the hierarchy as defined by applicable accounting standards. Additionally, related liabilities will arise such as severance, contractual obligations and other accruals associated with store closings when the final determination is made regarding which Macy’s stores will be closed. The Company estimates these liabilities based on the facts and circumstances in existence for each restructuring decision. The amounts the Company will ultimately realize or disburse could differ from the amounts assumed in arriving at the asset impairment charges recorded and any restructuring charge recorded in the future. The Company believes its estimated cash flows are sufficient to support the carrying value of its long-lived assets. If estimated cash flows significantly differ in the future, the Company may be required to record additional asset impairment write-downs. |
Condensed Consolidating Financi
Condensed Consolidating Financial Information | 6 Months Ended |
Jul. 30, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Financial Information | Condensed Consolidating Financial Information Certain debt obligations of the Company, which constitute debt obligations of Macy's Retail Holdings, Inc. ("Subsidiary Issuer"), a 100%-owned subsidiary of Macy's, Inc. ("Parent"), are fully and unconditionally guaranteed by Parent. In the following condensed consolidating financial statements, "Other Subsidiaries" includes all other direct subsidiaries of Parent, including Bluemercury, Inc., FDS Bank, West 34th Street Insurance Company and its subsidiary West 34th Street Insurance Company New York, Macy's Merchandising Corporation, Macy's Merchandising Group, Inc. and its subsidiaries Macy's Merchandising Group (Hong Kong) Limited, Macy's Merchandising Group Procurement, LLC, Macy's Merchandising Group International, LLC, Macy's Merchandising Group International (Hong Kong) Limited, and its majority-owned subsidiary Macy's China Limited. "Subsidiary Issuer" includes operating divisions and non-guarantor subsidiaries of the Subsidiary Issuer on an equity basis. The assets and liabilities and results of operations of the non-guarantor subsidiaries of the Subsidiary Issuer are also reflected in "Other Subsidiaries." Condensed Consolidating Statements of Comprehensive Income for the 13 and 26 weeks ended July 30, 2016 and August 1, 2015 , Condensed Consolidating Balance Sheets as of July 30, 2016 , August 1, 2015 and January 30, 2016 , and the related Condensed Consolidating Statements of Cash Flows for the 26 weeks ended July 30, 2016 and August 1, 2015 are presented on the following pages. Condensed Consolidating Statement of Comprehensive Income For the 13 Weeks Ended July 30, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 2,494 $ 4,989 $ (1,617 ) $ 5,866 Cost of sales — (1,523 ) (3,562 ) 1,617 (3,468 ) Gross margin — 971 1,427 — 2,398 Selling, general and administrative expenses — (941 ) (1,085 ) — (2,026 ) Impairments and other costs — (184 ) (65 ) — (249 ) Settlement charges — (2 ) (4 ) — (6 ) Operating income (loss) — (156 ) 273 — 117 Interest (expense) income, net: External — (97 ) — — (97 ) Intercompany — (57 ) 57 — — Equity in earnings of subsidiaries 11 22 — (33 ) — Income (loss) before income taxes 11 (288 ) 330 (33 ) 20 Federal, state and local income — 114 (125 ) — (11 ) Net income (loss) 11 (174 ) 205 (33 ) 9 Net loss attributable to noncontrolling interest — — 2 — 2 Net income (loss) attributable to $ 11 $ (174 ) $ 207 $ (33 ) $ 11 Comprehensive income (loss) $ (6 ) $ (191 ) $ 195 $ (6 ) $ (8 ) Comprehensive loss attributable to — — 2 — 2 Comprehensive income (loss) attributable to $ (6 ) $ (191 ) $ 197 $ (6 ) $ (6 ) Condensed Consolidating Statement of Comprehensive Income For the 13 Weeks Ended August 1, 2015 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 2,761 $ 5,049 $ (1,706 ) $ 6,104 Cost of sales — (1,688 ) (3,628 ) 1,706 (3,610 ) Gross margin — 1,073 1,421 — 2,494 Selling, general and administrative expenses — (1,025 ) (1,033 ) — (2,058 ) Operating income — 48 388 — 436 Interest (expense) income, net: External — (93 ) — — (93 ) Intercompany — (57 ) 57 — — Equity in earnings of subsidiaries 217 86 — (303 ) — Income (loss) before income taxes 217 (16 ) 445 (303 ) 343 Federal, state and local income — 42 (168 ) — (126 ) Net income 217 26 277 (303 ) 217 Net loss attributable to noncontrolling interest — — — — — Net income attributable to $ 217 $ 26 $ 277 $ (303 ) $ 217 Comprehensive income $ 224 $ 33 $ 282 $ (315 ) $ 224 Comprehensive loss attributable to — — — — — Comprehensive income attributable to $ 224 $ 33 $ 282 $ (315 ) $ 224 Condensed Consolidating Statement of Comprehensive Income For the 26 Weeks Ended July 30, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 4,948 $ 10,363 $ (3,674 ) $ 11,637 Cost of sales — (3,127 ) (7,531 ) 3,674 (6,984 ) Gross margin — 1,821 2,832 — 4,653 Selling, general and administrative expenses (1 ) (1,823 ) (2,168 ) — (3,992 ) Impairments and other costs — (184 ) (65 ) — (249 ) Settlement charges — (5 ) (14 ) — (19 ) Operating income (loss) (1 ) (191 ) 585 — 393 Interest (expense) income, net: External 1 (196 ) — — (195 ) Intercompany — (115 ) 115 — — Equity in earnings of subsidiaries 127 32 — (159 ) — Income (loss) before income taxes 127 (470 ) 700 (159 ) 198 Federal, state and local income — 175 (249 ) — (74 ) Net income (loss) 127 (295 ) 451 (159 ) 124 Net loss attributable to noncontrolling interest — 3 — 3 Net income (loss) attributable to $ 127 $ (295 ) $ 454 $ (159 ) $ 127 Comprehensive income (loss) $ 102 $ (320 ) $ 436 $ (119 ) $ 99 Comprehensive loss attributable to — — 3 — 3 Comprehensive income (loss) attributable to $ 102 $ (320 ) $ 439 $ (119 ) $ 102 Condensed Consolidating Statement of Comprehensive Income For the 26 Weeks Ended August 1, 2015 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 5,537 $ 10,740 $ (3,941 ) $ 12,336 Cost of sales — (3,497 ) (7,854 ) 3,941 (7,410 ) Gross margin — 2,040 2,886 — 4,926 Selling, general and administrative expenses (1 ) (2,005 ) (2,075 ) — (4,081 ) Operating income (loss) (1 ) 35 811 — 845 Interest (expense) income, net: External — (188 ) — — (188 ) Intercompany — (115 ) 115 — — Equity in earnings of subsidiaries 411 146 — (557 ) — Income (loss) before income taxes 410 (122 ) 926 (557 ) 657 Federal, state and local income — 79 (326 ) — (247 ) Net income (loss) 410 (43 ) 600 (557 ) 410 Net loss attributable to noncontrolling interest — — — — — Net income (loss) attributable to $ 410 $ (43 ) $ 600 $ (557 ) $ 410 Comprehensive income (loss) $ 425 $ (28 ) $ 609 $ (581 ) $ 425 Comprehensive loss attributable to — — — — — Comprehensive income (loss) attributable to $ 425 $ (28 ) $ 609 $ (581 ) $ 425 Condensed Consolidating Balance Sheet As of July 30, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 621 $ 89 $ 290 $ — $ 1,000 Receivables — 146 277 — 423 Merchandise inventories — 2,500 2,822 — 5,322 Income tax receivable 8 11 — (19 ) — Prepaid expenses and other current assets — 84 387 — 471 Total Current Assets 629 2,830 3,776 (19 ) 7,216 Property and Equipment – net — 3,586 3,601 — 7,187 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 49 453 — 502 Other Assets — 155 749 — 904 Deferred Income Taxes 23 — — (23 ) — Intercompany Receivable — — 2,710 (2,710 ) — Investment in Subsidiaries 4,524 3,247 — (7,771 ) — Total Assets $ 5,176 $ 13,182 $ 11,871 $ (10,523 ) $ 19,706 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 1,062 $ 1 $ — $ 1,063 Merchandise accounts payable — 825 1,052 — 1,877 Accounts payable and accrued liabilities 29 1,380 1,105 — 2,514 Income taxes — — 42 (19 ) 23 Total Current Liabilities 29 3,267 2,200 (19 ) 5,477 Long-Term Debt — 6,549 18 — 6,567 Intercompany Payable 1,043 1,667 — (2,710 ) — Deferred Income Taxes — 653 818 (23 ) 1,448 Other Liabilities 58 573 1,533 — 2,164 Shareholders' Equity: Macy's, Inc. 4,046 473 7,298 (7,771 ) 4,046 Noncontrolling Interest — — 4 — 4 Total Shareholders' Equity 4,046 473 7,302 (7,771 ) 4,050 Total Liabilities and Shareholders' Equity $ 5,176 $ 13,182 $ 11,871 $ (10,523 ) $ 19,706 Condensed Consolidating Balance Sheet As of August 1, 2015 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 511 $ 76 $ 256 $ — $ 843 Receivables — 85 249 — 334 Merchandise inventories — 2,712 2,784 — 5,496 Income tax receivable 98 — — (98 ) — Prepaid expenses and other current assets — 104 333 — 437 Total Current Assets 609 2,977 3,622 (98 ) 7,110 Property and Equipment – net — 4,230 3,474 — 7,704 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 62 461 — 523 Other Assets 2 44 680 — 726 Deferred Income Taxes 24 — — (24 ) — Intercompany Receivable — — 3,634 (3,634 ) — Investment in Subsidiaries 4,779 3,640 — (8,419 ) — Total Assets $ 5,414 $ 14,268 $ 12,453 $ (12,175 ) $ 19,960 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 82 $ 1 $ — $ 83 Merchandise accounts payable — 930 1,012 — 1,942 Accounts payable and accrued liabilities 23 980 1,274 — 2,277 Income taxes — 10 152 (98 ) 64 Total Current Liabilities 23 2,002 2,439 (98 ) 4,366 Long-Term Debt — 7,132 19 — 7,151 Intercompany Payable 483 3,151 — (3,634 ) — Deferred Income Taxes — 736 737 (24 ) 1,449 Other Liabilities 64 551 1,535 — 2,150 Shareholders' Equity: Macy's, Inc. 4,844 696 7,723 (8,419 ) 4,844 Noncontrolling Interest — — — — — Total Shareholders' Equity 4,844 696 7,723 (8,419 ) 4,844 Total Liabilities and Shareholders' Equity $ 5,414 $ 14,268 $ 12,453 $ (12,175 ) $ 19,960 Condensed Consolidating Balance Sheet As of January 30, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 741 $ 91 $ 277 $ — $ 1,109 Receivables — 217 341 — 558 Merchandise inventories — 2,702 2,804 — 5,506 Income tax receivable 44 — — (44 ) — Prepaid expenses and other current assets — 135 344 — 479 Total Current Assets 785 3,145 3,766 (44 ) 7,652 Property and Equipment – net — 3,925 3,691 — 7,616 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 52 462 — 514 Other Assets — 154 743 — 897 Deferred Income Taxes 14 — — (14 ) — Intercompany Receivable — — 3,800 (3,800 ) — Investment in Subsidiaries 4,725 3,804 — (8,529 ) — Total Assets $ 5,524 $ 14,395 $ 13,044 $ (12,387 ) $ 20,576 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 641 $ 1 $ — $ 642 Merchandise accounts payable — 667 859 — 1,526 Accounts payable and accrued liabilities 35 1,439 1,859 — 3,333 Income taxes — 41 230 (44 ) 227 Total Current Liabilities 35 2,788 2,949 (44 ) 5,728 Long-Term Debt — 6,976 19 — 6,995 Intercompany Payable 1,218 2,582 — (3,800 ) — Deferred Income Taxes — 693 798 (14 ) 1,477 Other Liabilities 21 558 1,544 — 2,123 Shareholders' Equity: Macy's, Inc. 4,250 798 7,731 (8,529 ) 4,250 Noncontrolling Interest — — 3 — 3 Total Shareholders' Equity 4,250 798 7,734 (8,529 ) 4,253 Total Liabilities and Shareholders' Equity $ 5,524 $ 14,395 $ 13,044 $ (12,387 ) $ 20,576 Condensed Consolidating Statement of Cash Flows For the 26 Weeks Ended July 30, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Cash flows from operating activities: Net income (loss) $ 127 $ (295 ) $ 451 $ (159 ) $ 124 Impairments and other costs — 184 65 — 249 Settlement charges — 5 14 — 19 Equity in earnings of subsidiaries (127 ) (32 ) — 159 — Dividends received from subsidiaries 303 575 — (878 ) — Depreciation and amortization — 205 315 — 520 (Increase) decrease in working capital 32 361 (733 ) — (340 ) Other, net 17 (31 ) 2 — (12 ) Net cash provided by operating activities 352 972 114 (878 ) 560 Cash flows from investing activities: Purchase of property and equipment and capitalized software, net — (50 ) (327 ) — (377 ) Other, net — 43 (4 ) — 39 Net cash used by investing activities — (7 ) (331 ) — (338 ) Cash flows from financing activities: Debt repaid — (3 ) — — (3 ) Dividends paid (228 ) — (878 ) 878 (228 ) Common stock acquired, net of (103 ) — — — (103 ) Proceeds from noncontrolling interest — — 4 — 4 Intercompany activity, net (139 ) (937 ) 1,076 — — Other, net (2 ) (27 ) 28 — (1 ) Net cash provided (used) by (472 ) (967 ) 230 878 (331 ) Net increase (decrease) in cash (120 ) (2 ) 13 — (109 ) Cash and cash equivalents at beginning of period 741 91 277 — 1,109 Cash and cash equivalents at end of period $ 621 $ 89 $ 290 $ — $ 1,000 Condensed Consolidating Statement of Cash Flows For the 26 Weeks Ended August 1, 2015 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Cash flows from operating activities: Net income (loss) $ 410 $ (43 ) $ 600 $ (557 ) $ 410 Equity in earnings of subsidiaries (411 ) (146 ) — 557 — Dividends received from subsidiaries 337 — — (337 ) — Depreciation and amortization — 214 306 — 520 Increase in working capital (11 ) (17 ) (503 ) — (531 ) Other, net 24 2 (27 ) — (1 ) Net cash provided by operating activities 349 10 376 (337 ) 398 Cash flows from investing activities: Purchase of property and equipment and capitalized software, net — (158 ) (349 ) — (507 ) Other, net — 9 (117 ) — (108 ) Net cash used by investing activities — (149 ) (466 ) — (615 ) Cash flows from financing activities: Debt repaid — (72 ) — — (72 ) Dividends paid (227 ) — (337 ) 337 (227 ) Common stock acquired, net of (751 ) — — — (751 ) Intercompany activity, net (722 ) 262 460 — — Other, net (46 ) (69 ) (21 ) — (136 ) Net cash provided (used) by (1,746 ) 121 102 337 (1,186 ) Net increase (decrease) in cash and (1,397 ) (18 ) 12 — (1,403 ) Cash and cash equivalents at beginning of period 1,908 94 244 — 2,246 Cash and cash equivalents at end of period $ 511 $ 76 $ 256 $ — $ 843 |
Summary of Significant Accoun13
Summary of Significant Accounting Policies (Policy) | 6 Months Ended |
Jul. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature Of Operations | Nature of Operations Macy's, Inc. and subsidiaries (the "Company") is an omnichannel retail organization operating stores, websites and mobile applications under three brands (Macy's, Bloomingdale's and Bluemercury) that sell a wide range of merchandise, including apparel and accessories (men's, women's and children's), cosmetics, home furnishings and other consumer goods. The Company's operations include approximately 880 Macy's, Macy's Backstage, Bloomingdale's, Bloomingdales Outlet and Bluemercury stores in 45 states, the District of Columbia, Guam and Puerto Rico, as well as macys.com, bloomingdales.com and bluemercury.com. In addition, Bloomingdale's in Dubai, United Arab Emirates is operated under a license agreement with Al Tayer Insignia, a company of Al Tayer Group, LLC. |
Use Of Estimates | Use of Estimates The preparation of financial statements in conformity with United States generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Such estimates and assumptions are subject to inherent uncertainties, which may result in actual amounts differing from reported amounts. The Consolidated Financial Statements for the 13 and 26 weeks ended July 30, 2016 and August 1, 2015 , in the opinion of management, include all adjustments (consisting only of normal recurring adjustments) considered necessary to present fairly, in all material respects, the consolidated financial position and results of operations of the Company. |
Reclassifications | Reclassifications Certain reclassifications were made to prior years’ amounts to conform with the classifications of such amounts for the most recent fiscal period. |
Comprehensive Income | Comprehensive Income Total comprehensive income represents the change in equity during a period from sources other than transactions with shareholders and, as such, includes net income. For the Company, the only other components of total comprehensive income for the 13 and 26 weeks ended July 30, 2016 and August 1, 2015 relate to post employment and postretirement plan items. The settlement charges incurred are included as a separate component of operating expenses in the Consolidated Statements of Income. The amortization reclassifications out of accumulated other comprehensive loss are included in the computation of net periodic benefit cost (income) and are included in selling, general and administrative expenses on the Consolidated Statements of Income. See Note 4, "Benefit Plans," for further information. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Share | The following tables set forth the computation of basic and diluted earnings per share attributable to Macy's, Inc. shareholders: 13 Weeks Ended July 30, 2016 August 1, 2015 Net Shares Net Shares (millions, except per share data) Net income attributable to Macy's, Inc. shareholders and $ 11 308.5 $ 217 334.9 Shares to be issued under deferred 0.9 0.8 $ 11 309.4 $ 217 335.7 Basic earnings per share attributable to $ .03 $ .65 Effect of dilutive securities: Stock options, restricted stock and restricted stock units 1.9 5.3 $ 11 311.3 $ 217 341.0 Diluted earnings per share attributable to $ .03 $ .64 26 Weeks Ended July 30, 2016 August 1, 2015 Net Income Shares Net Income Shares (millions, except per share data) Net income attributable to Macy's, Inc. shareholders and $ 127 309.1 $ 410 337.3 Shares to be issued under deferred 0.9 0.9 $ 127 310.0 $ 410 338.2 Basic earnings per share attributable to $ .41 $ 1.21 Effect of dilutive securities: Stock options, restricted stock and restricted stock units 2.4 5.5 $ 127 312.4 $ 410 343.7 Diluted earnings per share attributable to $ .41 $ 1.19 |
Financing Activities Financing
Financing Activities Financing Activites (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Extinguishment of Debt [Line Items] | |
Detail of Debt Repayments | The following table shows the detail of debt repayments: 26 Weeks Ended July 30, 2016 August 1, 2015 (millions) 7.5% Senior debentures due 2015 $ — $ 69 9.5% amortizing debentures due 2021 2 2 9.75% amortizing debentures due 2021 1 1 $ 3 $ 72 |
Benefit Plans (Tables)
Benefit Plans (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Pension and Other Postretirement Benefit Expense [Abstract] | |
Schedule of Costs of Retirement Plans | The defined contribution plan expense and actuarially determined components of the net periodic benefit cost (income) associated with the defined benefit plans are as follows: 13 Weeks Ended 26 Weeks Ended July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 (millions) 401(k) Qualified Defined Contribution Plan $ 25 $ 24 $ 49 $ 47 Non-Qualified Defined Contribution Plan $ 1 $ 1 $ 1 $ 1 Pension Plan Service cost $ 1 $ 1 $ 2 $ 3 Interest cost 28 34 56 68 Expected return on assets (58 ) (58 ) (114 ) (117 ) Recognition of net actuarial loss 7 9 15 19 Amortization of prior service credit — — — — $ (22 ) $ (14 ) $ (41 ) $ (27 ) Supplementary Retirement Plan Service cost $ — $ — $ — $ — Interest cost 6 8 12 16 Recognition of net actuarial loss 2 2 4 5 Amortization of prior service cost — — — — $ 8 $ 10 $ 16 $ 21 Total Retirement Expense $ 12 $ 21 $ 25 $ 42 Postretirement Obligations Service cost $ — $ — $ — $ — Interest cost 1 2 3 4 Recognition of net actuarial gain (1 ) — (2 ) — Amortization of prior service cost — — — — $ — $ 2 $ 1 $ 4 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | |
Fair Value of Assets Measured on a Recurring Basis | The following table shows the Company's financial assets that are required to be measured at fair value on a recurring basis, by level within the hierarchy as defined by applicable accounting standards: July 30, 2016 August 1, 2015 Fair Value Measurements Fair Value Measurements Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (millions) Marketable equity and debt securities $ 141 $ — $ 141 $ — $ 101 $ — $ 101 $ — |
Estimated Fair Values of Company's Long Term Debt | The following table shows the estimated fair value of the Company's long-term debt: July 30, 2016 August 1, 2015 Notional Amount Carrying Amount Fair Value Notional Amount Carrying Amount Fair Value (millions) Long-term debt $ 6,461 $ 6,540 $ 6,822 $ 7,012 $ 7,123 $ 7,585 |
Condensed Consolidating Finan18
Condensed Consolidating Financial Information (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Balance Sheet [Table Text Block] | Condensed Consolidating Balance Sheet As of July 30, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 621 $ 89 $ 290 $ — $ 1,000 Receivables — 146 277 — 423 Merchandise inventories — 2,500 2,822 — 5,322 Income tax receivable 8 11 — (19 ) — Prepaid expenses and other current assets — 84 387 — 471 Total Current Assets 629 2,830 3,776 (19 ) 7,216 Property and Equipment – net — 3,586 3,601 — 7,187 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 49 453 — 502 Other Assets — 155 749 — 904 Deferred Income Taxes 23 — — (23 ) — Intercompany Receivable — — 2,710 (2,710 ) — Investment in Subsidiaries 4,524 3,247 — (7,771 ) — Total Assets $ 5,176 $ 13,182 $ 11,871 $ (10,523 ) $ 19,706 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 1,062 $ 1 $ — $ 1,063 Merchandise accounts payable — 825 1,052 — 1,877 Accounts payable and accrued liabilities 29 1,380 1,105 — 2,514 Income taxes — — 42 (19 ) 23 Total Current Liabilities 29 3,267 2,200 (19 ) 5,477 Long-Term Debt — 6,549 18 — 6,567 Intercompany Payable 1,043 1,667 — (2,710 ) — Deferred Income Taxes — 653 818 (23 ) 1,448 Other Liabilities 58 573 1,533 — 2,164 Shareholders' Equity: Macy's, Inc. 4,046 473 7,298 (7,771 ) 4,046 Noncontrolling Interest — — 4 — 4 Total Shareholders' Equity 4,046 473 7,302 (7,771 ) 4,050 Total Liabilities and Shareholders' Equity $ 5,176 $ 13,182 $ 11,871 $ (10,523 ) $ 19,706 Condensed Consolidating Balance Sheet As of August 1, 2015 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 511 $ 76 $ 256 $ — $ 843 Receivables — 85 249 — 334 Merchandise inventories — 2,712 2,784 — 5,496 Income tax receivable 98 — — (98 ) — Prepaid expenses and other current assets — 104 333 — 437 Total Current Assets 609 2,977 3,622 (98 ) 7,110 Property and Equipment – net — 4,230 3,474 — 7,704 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 62 461 — 523 Other Assets 2 44 680 — 726 Deferred Income Taxes 24 — — (24 ) — Intercompany Receivable — — 3,634 (3,634 ) — Investment in Subsidiaries 4,779 3,640 — (8,419 ) — Total Assets $ 5,414 $ 14,268 $ 12,453 $ (12,175 ) $ 19,960 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 82 $ 1 $ — $ 83 Merchandise accounts payable — 930 1,012 — 1,942 Accounts payable and accrued liabilities 23 980 1,274 — 2,277 Income taxes — 10 152 (98 ) 64 Total Current Liabilities 23 2,002 2,439 (98 ) 4,366 Long-Term Debt — 7,132 19 — 7,151 Intercompany Payable 483 3,151 — (3,634 ) — Deferred Income Taxes — 736 737 (24 ) 1,449 Other Liabilities 64 551 1,535 — 2,150 Shareholders' Equity: Macy's, Inc. 4,844 696 7,723 (8,419 ) 4,844 Noncontrolling Interest — — — — — Total Shareholders' Equity 4,844 696 7,723 (8,419 ) 4,844 Total Liabilities and Shareholders' Equity $ 5,414 $ 14,268 $ 12,453 $ (12,175 ) $ 19,960 Condensed Consolidating Balance Sheet As of January 30, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated ASSETS: Current Assets: Cash and cash equivalents $ 741 $ 91 $ 277 $ — $ 1,109 Receivables — 217 341 — 558 Merchandise inventories — 2,702 2,804 — 5,506 Income tax receivable 44 — — (44 ) — Prepaid expenses and other current assets — 135 344 — 479 Total Current Assets 785 3,145 3,766 (44 ) 7,652 Property and Equipment – net — 3,925 3,691 — 7,616 Goodwill — 3,315 582 — 3,897 Other Intangible Assets – net — 52 462 — 514 Other Assets — 154 743 — 897 Deferred Income Taxes 14 — — (14 ) — Intercompany Receivable — — 3,800 (3,800 ) — Investment in Subsidiaries 4,725 3,804 — (8,529 ) — Total Assets $ 5,524 $ 14,395 $ 13,044 $ (12,387 ) $ 20,576 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current Liabilities: Short-term debt $ — $ 641 $ 1 $ — $ 642 Merchandise accounts payable — 667 859 — 1,526 Accounts payable and accrued liabilities 35 1,439 1,859 — 3,333 Income taxes — 41 230 (44 ) 227 Total Current Liabilities 35 2,788 2,949 (44 ) 5,728 Long-Term Debt — 6,976 19 — 6,995 Intercompany Payable 1,218 2,582 — (3,800 ) — Deferred Income Taxes — 693 798 (14 ) 1,477 Other Liabilities 21 558 1,544 — 2,123 Shareholders' Equity: Macy's, Inc. 4,250 798 7,731 (8,529 ) 4,250 Noncontrolling Interest — — 3 — 3 Total Shareholders' Equity 4,250 798 7,734 (8,529 ) 4,253 Total Liabilities and Shareholders' Equity $ 5,524 $ 14,395 $ 13,044 $ (12,387 ) $ 20,576 |
Condensed Consolidating Statement of Comprehensive Income [Table Text Block] | Condensed Consolidating Statement of Comprehensive Income For the 13 Weeks Ended July 30, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 2,494 $ 4,989 $ (1,617 ) $ 5,866 Cost of sales — (1,523 ) (3,562 ) 1,617 (3,468 ) Gross margin — 971 1,427 — 2,398 Selling, general and administrative expenses — (941 ) (1,085 ) — (2,026 ) Impairments and other costs — (184 ) (65 ) — (249 ) Settlement charges — (2 ) (4 ) — (6 ) Operating income (loss) — (156 ) 273 — 117 Interest (expense) income, net: External — (97 ) — — (97 ) Intercompany — (57 ) 57 — — Equity in earnings of subsidiaries 11 22 — (33 ) — Income (loss) before income taxes 11 (288 ) 330 (33 ) 20 Federal, state and local income — 114 (125 ) — (11 ) Net income (loss) 11 (174 ) 205 (33 ) 9 Net loss attributable to noncontrolling interest — — 2 — 2 Net income (loss) attributable to $ 11 $ (174 ) $ 207 $ (33 ) $ 11 Comprehensive income (loss) $ (6 ) $ (191 ) $ 195 $ (6 ) $ (8 ) Comprehensive loss attributable to — — 2 — 2 Comprehensive income (loss) attributable to $ (6 ) $ (191 ) $ 197 $ (6 ) $ (6 ) Condensed Consolidating Statement of Comprehensive Income For the 13 Weeks Ended August 1, 2015 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 2,761 $ 5,049 $ (1,706 ) $ 6,104 Cost of sales — (1,688 ) (3,628 ) 1,706 (3,610 ) Gross margin — 1,073 1,421 — 2,494 Selling, general and administrative expenses — (1,025 ) (1,033 ) — (2,058 ) Operating income — 48 388 — 436 Interest (expense) income, net: External — (93 ) — — (93 ) Intercompany — (57 ) 57 — — Equity in earnings of subsidiaries 217 86 — (303 ) — Income (loss) before income taxes 217 (16 ) 445 (303 ) 343 Federal, state and local income — 42 (168 ) — (126 ) Net income 217 26 277 (303 ) 217 Net loss attributable to noncontrolling interest — — — — — Net income attributable to $ 217 $ 26 $ 277 $ (303 ) $ 217 Comprehensive income $ 224 $ 33 $ 282 $ (315 ) $ 224 Comprehensive loss attributable to — — — — — Comprehensive income attributable to $ 224 $ 33 $ 282 $ (315 ) $ 224 Condensed Consolidating Statement of Comprehensive Income For the 26 Weeks Ended July 30, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 4,948 $ 10,363 $ (3,674 ) $ 11,637 Cost of sales — (3,127 ) (7,531 ) 3,674 (6,984 ) Gross margin — 1,821 2,832 — 4,653 Selling, general and administrative expenses (1 ) (1,823 ) (2,168 ) — (3,992 ) Impairments and other costs — (184 ) (65 ) — (249 ) Settlement charges — (5 ) (14 ) — (19 ) Operating income (loss) (1 ) (191 ) 585 — 393 Interest (expense) income, net: External 1 (196 ) — — (195 ) Intercompany — (115 ) 115 — — Equity in earnings of subsidiaries 127 32 — (159 ) — Income (loss) before income taxes 127 (470 ) 700 (159 ) 198 Federal, state and local income — 175 (249 ) — (74 ) Net income (loss) 127 (295 ) 451 (159 ) 124 Net loss attributable to noncontrolling interest — 3 — 3 Net income (loss) attributable to $ 127 $ (295 ) $ 454 $ (159 ) $ 127 Comprehensive income (loss) $ 102 $ (320 ) $ 436 $ (119 ) $ 99 Comprehensive loss attributable to — — 3 — 3 Comprehensive income (loss) attributable to $ 102 $ (320 ) $ 439 $ (119 ) $ 102 Condensed Consolidating Statement of Comprehensive Income For the 26 Weeks Ended August 1, 2015 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Net sales $ — $ 5,537 $ 10,740 $ (3,941 ) $ 12,336 Cost of sales — (3,497 ) (7,854 ) 3,941 (7,410 ) Gross margin — 2,040 2,886 — 4,926 Selling, general and administrative expenses (1 ) (2,005 ) (2,075 ) — (4,081 ) Operating income (loss) (1 ) 35 811 — 845 Interest (expense) income, net: External — (188 ) — — (188 ) Intercompany — (115 ) 115 — — Equity in earnings of subsidiaries 411 146 — (557 ) — Income (loss) before income taxes 410 (122 ) 926 (557 ) 657 Federal, state and local income — 79 (326 ) — (247 ) Net income (loss) 410 (43 ) 600 (557 ) 410 Net loss attributable to noncontrolling interest — — — — — Net income (loss) attributable to $ 410 $ (43 ) $ 600 $ (557 ) $ 410 Comprehensive income (loss) $ 425 $ (28 ) $ 609 $ (581 ) $ 425 Comprehensive loss attributable to — — — — — Comprehensive income (loss) attributable to $ 425 $ (28 ) $ 609 $ (581 ) $ 425 |
Condensed Consolidating Statement of Cash Flows [Table Text Block] | Condensed Consolidating Statement of Cash Flows For the 26 Weeks Ended July 30, 2016 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Cash flows from operating activities: Net income (loss) $ 127 $ (295 ) $ 451 $ (159 ) $ 124 Impairments and other costs — 184 65 — 249 Settlement charges — 5 14 — 19 Equity in earnings of subsidiaries (127 ) (32 ) — 159 — Dividends received from subsidiaries 303 575 — (878 ) — Depreciation and amortization — 205 315 — 520 (Increase) decrease in working capital 32 361 (733 ) — (340 ) Other, net 17 (31 ) 2 — (12 ) Net cash provided by operating activities 352 972 114 (878 ) 560 Cash flows from investing activities: Purchase of property and equipment and capitalized software, net — (50 ) (327 ) — (377 ) Other, net — 43 (4 ) — 39 Net cash used by investing activities — (7 ) (331 ) — (338 ) Cash flows from financing activities: Debt repaid — (3 ) — — (3 ) Dividends paid (228 ) — (878 ) 878 (228 ) Common stock acquired, net of (103 ) — — — (103 ) Proceeds from noncontrolling interest — — 4 — 4 Intercompany activity, net (139 ) (937 ) 1,076 — — Other, net (2 ) (27 ) 28 — (1 ) Net cash provided (used) by (472 ) (967 ) 230 878 (331 ) Net increase (decrease) in cash (120 ) (2 ) 13 — (109 ) Cash and cash equivalents at beginning of period 741 91 277 — 1,109 Cash and cash equivalents at end of period $ 621 $ 89 $ 290 $ — $ 1,000 Condensed Consolidating Statement of Cash Flows For the 26 Weeks Ended August 1, 2015 (millions) Parent Subsidiary Issuer Other Subsidiaries Consolidating Adjustments Consolidated Cash flows from operating activities: Net income (loss) $ 410 $ (43 ) $ 600 $ (557 ) $ 410 Equity in earnings of subsidiaries (411 ) (146 ) — 557 — Dividends received from subsidiaries 337 — — (337 ) — Depreciation and amortization — 214 306 — 520 Increase in working capital (11 ) (17 ) (503 ) — (531 ) Other, net 24 2 (27 ) — (1 ) Net cash provided by operating activities 349 10 376 (337 ) 398 Cash flows from investing activities: Purchase of property and equipment and capitalized software, net — (158 ) (349 ) — (507 ) Other, net — 9 (117 ) — (108 ) Net cash used by investing activities — (149 ) (466 ) — (615 ) Cash flows from financing activities: Debt repaid — (72 ) — — (72 ) Dividends paid (227 ) — (337 ) 337 (227 ) Common stock acquired, net of (751 ) — — — (751 ) Intercompany activity, net (722 ) 262 460 — — Other, net (46 ) (69 ) (21 ) — (136 ) Net cash provided (used) by (1,746 ) 121 102 337 (1,186 ) Net increase (decrease) in cash and (1,397 ) (18 ) 12 — (1,403 ) Cash and cash equivalents at beginning of period 1,908 94 244 — 2,246 Cash and cash equivalents at end of period $ 511 $ 76 $ 256 $ — $ 843 |
Summary of Significant Accoun19
Summary of Significant Accounting Policies (Narrative) (Details) | Jul. 30, 2016stores |
Number of states in which entity operates | 45 |
Minimum [Member] | |
Number of Stores | 880 |
Earnings Per Share Earnings Per
Earnings Per Share Earnings Per Share (Narrative) (Details) - shares shares in Millions | 6 Months Ended | |
Jul. 30, 2016 | Aug. 01, 2015 | |
Stock Options [Member] | ||
Stock options and restricted stock units outstanding, not included in computation of diluted earnings per share | 15.7 | 3.4 |
Restricted Stock Units [Member] | ||
Stock options and restricted stock units outstanding, not included in computation of diluted earnings per share | 1.1 | 1.1 |
Earnings Per Share (Computation
Earnings Per Share (Computation Of Basic and Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Earnings Per Share [Abstract] | ||||
Net income (loss) attributable to Macy's, Inc. shareholders | $ 11 | $ 217 | $ 127 | $ 410 |
Net income available to common stockholders, basic | 11 | 217 | 127 | 410 |
Net income available to common stockholders, diluted | $ 11 | $ 217 | $ 127 | $ 410 |
Basic earnings per share attributable to Macy's, Inc. shareholders | $ 0.03 | $ 0.65 | $ 0.41 | $ 1.21 |
Diluted earnings per share attributable to Macy's, Inc. shareholders | $ 0.03 | $ 0.64 | $ 0.41 | $ 1.19 |
Average number of shares issued, basic | 308.5 | 334.9 | 309.1 | 337.3 |
Shares to be issued under deferred compensation and other plans | 0.9 | 0.8 | 0.9 | 0.9 |
Average number of shares outstanding, basic | 309.4 | 335.7 | 310 | 338.2 |
Effect of dilutive securities-stock options, restricted stock and restricted stock units | 1.9 | 5.3 | 2.4 | 5.5 |
Average number of shares outstanding, diluted | 311.3 | 341 | 312.4 | 343.7 |
Financing Activities (Details)
Financing Activities (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Oct. 29, 2016 | Jul. 30, 2016 | Jul. 30, 2016 | Aug. 15, 2016 | |
Subsequent Event [Line Items] | ||||
Stock Repurchased During Period, Shares | 0 | 3 | ||
Stock Repurchased During Period, Value | $ 129 | |||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 1,903 | 1,903 | ||
Line of Credit Facility, Current Borrowing Capacity | 1,500 | 1,500 | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,750 | $ 1,750 | ||
Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ||||
Extinguishment of debt | $ 108 | |||
Debt Instrument, Interest Rate, Stated Percentage | 7.875% |
Financing Activities (Detail Of
Financing Activities (Detail Of Debt Repayments) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jul. 30, 2016 | Aug. 01, 2015 | |
Debt repaid | $ 3 | $ 72 |
7.5% Senior Debentures Due Two Thousand Fifteen [Member] | ||
Extinguishment of debt | 0 | 69 |
9.5% Amortizing Debentures due Two Thousand Twenty One [Member] | ||
Extinguishment of debt | 2 | 2 |
9.75% Amortizing Debentures Due Two Thousand Twenty One [Member] | ||
Extinguishment of debt | $ 1 | $ 1 |
Benefit Plans (Net Periodic Ben
Benefit Plans (Net Periodic Benefit Cost) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Total Retirement Expense | $ 12 | $ 21 | $ 25 | $ 42 |
Settlement charges | 6 | 0 | 19 | 0 |
Pension Plan [Member] | ||||
Service cost | 1 | 1 | 2 | 3 |
Interest cost | 28 | 34 | 56 | 68 |
Expected return on assets | (58) | (58) | (114) | (117) |
Recognition of net actuarial (gain) loss | 7 | 9 | 15 | 19 |
Amortization of prior service credit | 0 | 0 | 0 | 0 |
Defined Benefit Plan, Net Periodic Benefit Cost | (22) | (14) | (41) | (27) |
Supplemental Employee Retirement Plan [Member] | ||||
Service cost | 0 | 0 | 0 | 0 |
Interest cost | 6 | 8 | 12 | 16 |
Recognition of net actuarial (gain) loss | 2 | 2 | 4 | 5 |
Amortization of prior service credit | 0 | 0 | 0 | 0 |
Defined Benefit Plan, Net Periodic Benefit Cost | 8 | 10 | 16 | 21 |
Other Postretirement Benefit Plan [Member] | ||||
Service cost | 0 | 0 | 0 | 0 |
Interest cost | 1 | 2 | 3 | 4 |
Recognition of net actuarial (gain) loss | (1) | 0 | (2) | 0 |
Amortization of prior service credit | 0 | 0 | 0 | 0 |
Defined Benefit Plan, Net Periodic Benefit Cost | 0 | 2 | 1 | 4 |
Defined Contribution Qualified Plan [Member] | ||||
Defined contribution plans expense | 25 | 24 | 49 | 47 |
Non qualified defined contribution plan [Member] | ||||
Defined contribution plans expense | $ 1 | $ 1 | $ 1 | $ 1 |
Fair Value Measurements (Financ
Fair Value Measurements (Financial Assets Measured At Fair Value On A Recurring and Nonrecurring Basis) (Details) $ in Millions | 6 Months Ended | |
Jul. 30, 2016USD ($) | Aug. 01, 2015USD ($) | |
Asset impairment charges - indefinite lived tradenames | $ 7 | |
Planned store closings | 100 | |
Carrying Value Of Long Lived Assets Held And Used | $ 326 | |
Marketable equity and debt securities | 141 | $ 101 |
Property, Plant, and Equipment, Fair Value Disclosure | 106 | |
Impairment of Long-Lived Assets Held-for-use | 220 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Marketable equity and debt securities | 0 | 0 |
Significant Observable Inputs (Level 2) [Member] | ||
Marketable equity and debt securities | 141 | 101 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Marketable equity and debt securities | $ 0 | $ 0 |
Fair Value Measurements (Estima
Fair Value Measurements (Estimated Fair Value Of Company Long Term Debt) (Details) - USD ($) $ in Millions | Jul. 30, 2016 | Aug. 01, 2015 |
Long-term debt | $ 6,822 | $ 7,585 |
Carrying Amount | ||
Long-term debt | 6,540 | 7,123 |
Notional Amount | ||
Long-term debt | $ 6,461 | $ 7,012 |
Condensed Consolidating Finan27
Condensed Consolidating Financial Information (Condensed Consolidating Balance Sheet) (Details) - USD ($) $ in Millions | Jul. 30, 2016 | Jan. 30, 2016 | Aug. 01, 2015 | Jan. 31, 2015 |
Current Assets: | ||||
Cash and cash equivalents | $ 1,000 | $ 1,109 | $ 843 | $ 2,246 |
Receivables | 423 | 558 | 334 | |
Merchandise inventories | 5,322 | 5,506 | 5,496 | |
Prepaid expenses and other current assets | 471 | 479 | 437 | |
Income tax receivable | 0 | 0 | 0 | |
Total Current Assets | 7,216 | 7,652 | 7,110 | |
Property and Equipment - net | 7,187 | 7,616 | 7,704 | |
Goodwill | 3,897 | 3,897 | 3,897 | |
Other Intangible Assets - net | 502 | 514 | 523 | |
Other Assets | 904 | 897 | 726 | |
Deferred Income Taxes | 0 | 0 | 0 | |
Intercompany Receivable | 0 | 0 | 0 | |
Investment in Subsidiaries | 0 | 0 | 0 | |
Total Assets | 19,706 | 20,576 | 19,960 | |
Current Liabilities: | ||||
Short-term debt | 1,063 | 642 | 83 | |
Merchandise accounts payable | 1,877 | 1,526 | 1,942 | |
Accounts payable and accrued liabilities | 2,514 | 3,333 | 2,277 | |
Income taxes | 23 | 227 | 64 | |
Total Current Liabilities | 5,477 | 5,728 | 4,366 | |
Long-Term Debt | 6,567 | 6,995 | 7,151 | |
Intercompany Payable | 0 | 0 | 0 | |
Deferred Income Taxes | 1,448 | 1,477 | 1,449 | |
Other Liabilities | 2,164 | 2,123 | 2,150 | |
Shareholders' Equity, Macy's, Inc. | 4,046 | 4,250 | 4,844 | |
Shareholders' Equity, noncontrolling interest | 4 | 3 | 0 | |
Total Shareholders’ Equity | 4,050 | 4,253 | 4,844 | |
Total Liabilities and Shareholders' Equity | 19,706 | 20,576 | 19,960 | |
Parent | ||||
Current Assets: | ||||
Cash and cash equivalents | 621 | 741 | 511 | 1,908 |
Receivables | 0 | 0 | 0 | |
Merchandise inventories | 0 | 0 | 0 | |
Prepaid expenses and other current assets | 0 | 0 | 0 | |
Income tax receivable | 8 | 44 | 98 | |
Total Current Assets | 629 | 785 | 609 | |
Property and Equipment - net | 0 | 0 | 0 | |
Goodwill | 0 | 0 | 0 | |
Other Intangible Assets - net | 0 | 0 | 0 | |
Other Assets | 0 | 0 | 2 | |
Deferred Income Taxes | 23 | 14 | 24 | |
Intercompany Receivable | 0 | 0 | 0 | |
Investment in Subsidiaries | 4,524 | 4,725 | 4,779 | |
Total Assets | 5,176 | 5,524 | 5,414 | |
Current Liabilities: | ||||
Short-term debt | 0 | 0 | 0 | |
Merchandise accounts payable | 0 | 0 | 0 | |
Accounts payable and accrued liabilities | 29 | 35 | 23 | |
Income taxes | 0 | 0 | 0 | |
Total Current Liabilities | 29 | 35 | 23 | |
Long-Term Debt | 0 | 0 | 0 | |
Intercompany Payable | 1,043 | 1,218 | 483 | |
Deferred Income Taxes | 0 | 0 | 0 | |
Other Liabilities | 58 | 21 | 64 | |
Shareholders' Equity, Macy's, Inc. | 4,046 | 4,250 | 4,844 | |
Shareholders' Equity, noncontrolling interest | 0 | 0 | 0 | |
Total Shareholders’ Equity | 4,046 | 4,250 | 4,844 | |
Total Liabilities and Shareholders' Equity | 5,176 | 5,524 | 5,414 | |
Subsidiary Issuer | ||||
Current Assets: | ||||
Cash and cash equivalents | 89 | 91 | 76 | 94 |
Receivables | 146 | 217 | 85 | |
Merchandise inventories | 2,500 | 2,702 | 2,712 | |
Prepaid expenses and other current assets | 84 | 135 | 104 | |
Income tax receivable | 11 | 0 | 0 | |
Total Current Assets | 2,830 | 3,145 | 2,977 | |
Property and Equipment - net | 3,586 | 3,925 | 4,230 | |
Goodwill | 3,315 | 3,315 | 3,315 | |
Other Intangible Assets - net | 49 | 52 | 62 | |
Other Assets | 155 | 154 | 44 | |
Deferred Income Taxes | 0 | 0 | 0 | |
Intercompany Receivable | 0 | 0 | 0 | |
Investment in Subsidiaries | 3,247 | 3,804 | 3,640 | |
Total Assets | 13,182 | 14,395 | 14,268 | |
Current Liabilities: | ||||
Short-term debt | 1,062 | 641 | 82 | |
Merchandise accounts payable | 825 | 667 | 930 | |
Accounts payable and accrued liabilities | 1,380 | 1,439 | 980 | |
Income taxes | 0 | 41 | 10 | |
Total Current Liabilities | 3,267 | 2,788 | 2,002 | |
Long-Term Debt | 6,549 | 6,976 | 7,132 | |
Intercompany Payable | 1,667 | 2,582 | 3,151 | |
Deferred Income Taxes | 653 | 693 | 736 | |
Other Liabilities | 573 | 558 | 551 | |
Shareholders' Equity, Macy's, Inc. | 473 | 798 | 696 | |
Shareholders' Equity, noncontrolling interest | 0 | 0 | 0 | |
Total Shareholders’ Equity | 473 | 798 | 696 | |
Total Liabilities and Shareholders' Equity | 13,182 | 14,395 | 14,268 | |
Other Subsidiaries | ||||
Current Assets: | ||||
Cash and cash equivalents | 290 | 277 | 256 | 244 |
Receivables | 277 | 341 | 249 | |
Merchandise inventories | 2,822 | 2,804 | 2,784 | |
Prepaid expenses and other current assets | 387 | 344 | 333 | |
Income tax receivable | 0 | 0 | 0 | |
Total Current Assets | 3,776 | 3,766 | 3,622 | |
Property and Equipment - net | 3,601 | 3,691 | 3,474 | |
Goodwill | 582 | 582 | 582 | |
Other Intangible Assets - net | 453 | 462 | 461 | |
Other Assets | 749 | 743 | 680 | |
Deferred Income Taxes | 0 | 0 | 0 | |
Intercompany Receivable | 2,710 | 3,800 | 3,634 | |
Investment in Subsidiaries | 0 | 0 | 0 | |
Total Assets | 11,871 | 13,044 | 12,453 | |
Current Liabilities: | ||||
Short-term debt | 1 | 1 | 1 | |
Merchandise accounts payable | 1,052 | 859 | 1,012 | |
Accounts payable and accrued liabilities | 1,105 | 1,859 | 1,274 | |
Income taxes | 42 | 230 | 152 | |
Total Current Liabilities | 2,200 | 2,949 | 2,439 | |
Long-Term Debt | 18 | 19 | 19 | |
Intercompany Payable | 0 | 0 | 0 | |
Deferred Income Taxes | 818 | 798 | 737 | |
Other Liabilities | 1,533 | 1,544 | 1,535 | |
Shareholders' Equity, Macy's, Inc. | 7,298 | 7,731 | 7,723 | |
Shareholders' Equity, noncontrolling interest | 4 | 3 | 0 | |
Total Shareholders’ Equity | 7,302 | 7,734 | 7,723 | |
Total Liabilities and Shareholders' Equity | 11,871 | 13,044 | 12,453 | |
Consolidating Adjustments | ||||
Current Assets: | ||||
Cash and cash equivalents | 0 | 0 | 0 | $ 0 |
Receivables | 0 | 0 | 0 | |
Merchandise inventories | 0 | 0 | 0 | |
Prepaid expenses and other current assets | 0 | 0 | 0 | |
Income tax receivable | (19) | (44) | (98) | |
Total Current Assets | (19) | (44) | (98) | |
Property and Equipment - net | 0 | 0 | 0 | |
Goodwill | 0 | 0 | 0 | |
Other Intangible Assets - net | 0 | 0 | 0 | |
Other Assets | 0 | 0 | 0 | |
Deferred Income Taxes | (23) | (14) | (24) | |
Intercompany Receivable | (2,710) | (3,800) | (3,634) | |
Investment in Subsidiaries | (7,771) | (8,529) | (8,419) | |
Total Assets | (10,523) | (12,387) | (12,175) | |
Current Liabilities: | ||||
Short-term debt | 0 | 0 | 0 | |
Merchandise accounts payable | 0 | 0 | 0 | |
Accounts payable and accrued liabilities | 0 | 0 | 0 | |
Income taxes | (19) | (44) | (98) | |
Total Current Liabilities | (19) | (44) | (98) | |
Long-Term Debt | 0 | 0 | 0 | |
Intercompany Payable | (2,710) | (3,800) | (3,634) | |
Deferred Income Taxes | (23) | (14) | (24) | |
Other Liabilities | 0 | 0 | 0 | |
Shareholders' Equity, Macy's, Inc. | (7,771) | (8,529) | (8,419) | |
Shareholders' Equity, noncontrolling interest | 0 | 0 | 0 | |
Total Shareholders’ Equity | (7,771) | (8,529) | (8,419) | |
Total Liabilities and Shareholders' Equity | $ (10,523) | $ (12,387) | $ (12,175) |
Condensed Consolidating Finan28
Condensed Consolidating Financial Information (Condensed Consolidating Statement of Operations) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Net sales | $ 5,866 | $ 6,104 | $ 11,637 | $ 12,336 |
Cost of sales | (3,468) | (3,610) | (6,984) | (7,410) |
Gross margin | 2,398 | 2,494 | 4,653 | 4,926 |
Selling, general and administrative expenses | (2,026) | (2,058) | (3,992) | (4,081) |
Impairments and other costs | (249) | 0 | (249) | 0 |
Settlement charges | (6) | 0 | (19) | 0 |
Operating Income (Loss) | 117 | 436 | 393 | 845 |
Interest (expense) income, net | ||||
External | (97) | (93) | (195) | (188) |
Intercompany | 0 | 0 | 0 | 0 |
Income (Loss) from Equity Method Investments | 0 | 0 | 0 | 0 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | 20 | 343 | 198 | 657 |
Federal, state and local income tax expense | (11) | (126) | (74) | (247) |
Net income (loss) | 9 | 217 | 124 | 410 |
Net loss attributable to noncontrolling interest | 2 | 0 | 3 | 0 |
Net income (loss) attributable to Macy's, Inc. shareholders | 11 | 217 | 127 | 410 |
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | (8) | 224 | 99 | 425 |
Comprehensive loss attributable to noncontrolling interest | 2 | 0 | 3 | 0 |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | (6) | 224 | 102 | 425 |
Parent | ||||
Net sales | 0 | 0 | 0 | 0 |
Cost of sales | 0 | 0 | 0 | 0 |
Gross margin | 0 | 0 | 0 | 0 |
Selling, general and administrative expenses | 0 | 0 | (1) | (1) |
Impairments and other costs | 0 | 0 | ||
Settlement charges | 0 | 0 | ||
Operating Income (Loss) | 0 | 0 | (1) | (1) |
Interest (expense) income, net | ||||
External | 0 | 0 | 1 | 0 |
Intercompany | 0 | 0 | 0 | 0 |
Income (Loss) from Equity Method Investments | 11 | 217 | 127 | 411 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | 11 | 217 | 127 | 410 |
Federal, state and local income tax expense | 0 | 0 | 0 | 0 |
Net income (loss) | 11 | 217 | 127 | 410 |
Net loss attributable to noncontrolling interest | 0 | 0 | ||
Net income (loss) attributable to Macy's, Inc. shareholders | 11 | 217 | 127 | 410 |
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | (6) | 224 | 102 | 425 |
Comprehensive loss attributable to noncontrolling interest | 0 | 0 | 0 | |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | (6) | 224 | 102 | 425 |
Subsidiary Issuer | ||||
Net sales | 2,494 | 2,761 | 4,948 | 5,537 |
Cost of sales | (1,523) | (1,688) | (3,127) | (3,497) |
Gross margin | 971 | 1,073 | 1,821 | 2,040 |
Selling, general and administrative expenses | (941) | (1,025) | (1,823) | (2,005) |
Impairments and other costs | (184) | (184) | ||
Settlement charges | (2) | (5) | ||
Operating Income (Loss) | (156) | 48 | (191) | 35 |
Interest (expense) income, net | ||||
External | (97) | (93) | (196) | (188) |
Intercompany | (57) | (57) | (115) | (115) |
Income (Loss) from Equity Method Investments | 22 | 86 | 32 | 146 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | (288) | (16) | (470) | (122) |
Federal, state and local income tax expense | 114 | 42 | 175 | 79 |
Net income (loss) | (174) | 26 | (295) | (43) |
Net loss attributable to noncontrolling interest | 0 | 0 | 0 | |
Net income (loss) attributable to Macy's, Inc. shareholders | (174) | 26 | (295) | (43) |
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | (191) | 33 | (320) | (28) |
Comprehensive loss attributable to noncontrolling interest | 0 | 0 | 0 | |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | (191) | 33 | (320) | (28) |
Other Subsidiaries | ||||
Net sales | 4,989 | 5,049 | 10,363 | 10,740 |
Cost of sales | (3,562) | (3,628) | (7,531) | (7,854) |
Gross margin | 1,427 | 1,421 | 2,832 | 2,886 |
Selling, general and administrative expenses | (1,085) | (1,033) | (2,168) | (2,075) |
Impairments and other costs | (65) | (65) | ||
Settlement charges | (4) | (14) | ||
Operating Income (Loss) | 273 | 388 | 585 | 811 |
Interest (expense) income, net | ||||
External | 0 | 0 | 0 | 0 |
Intercompany | 57 | 57 | 115 | 115 |
Income (Loss) from Equity Method Investments | 0 | 0 | 0 | 0 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | 330 | 445 | 700 | 926 |
Federal, state and local income tax expense | (125) | (168) | (249) | (326) |
Net income (loss) | 205 | 277 | 451 | 600 |
Net loss attributable to noncontrolling interest | 2 | 0 | 3 | |
Net income (loss) attributable to Macy's, Inc. shareholders | 207 | 277 | 454 | 600 |
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | 195 | 282 | 436 | 609 |
Comprehensive loss attributable to noncontrolling interest | 2 | 0 | 3 | |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | 197 | 282 | 439 | 609 |
Consolidating Adjustments | ||||
Net sales | (1,617) | (1,706) | (3,674) | (3,941) |
Cost of sales | 1,617 | 1,706 | 3,674 | 3,941 |
Gross margin | 0 | 0 | 0 | 0 |
Selling, general and administrative expenses | 0 | 0 | 0 | 0 |
Impairments and other costs | 0 | 0 | ||
Settlement charges | 0 | 0 | ||
Operating Income (Loss) | 0 | 0 | 0 | 0 |
Interest (expense) income, net | ||||
External | 0 | 0 | 0 | 0 |
Intercompany | 0 | 0 | 0 | 0 |
Income (Loss) from Equity Method Investments | (33) | (303) | (159) | (557) |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | (33) | (303) | (159) | (557) |
Federal, state and local income tax expense | 0 | 0 | 0 | 0 |
Net income (loss) | (33) | (303) | (159) | (557) |
Net loss attributable to noncontrolling interest | 0 | 0 | 0 | |
Net income (loss) attributable to Macy's, Inc. shareholders | (33) | (303) | (159) | (557) |
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | (6) | (315) | (119) | (581) |
Comprehensive loss attributable to noncontrolling interest | 0 | 0 | 0 | |
Comprehensive income (loss) attributable to Macy's, Inc. shareholders | $ (6) | $ (315) | $ (119) | $ (581) |
Condensed Consolidating Finan29
Condensed Consolidating Financial Information (Condensed Consolidating Statement of Cash Flows) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Cash flows from operating activities: | ||||
Net income (loss) | $ 9 | $ 217 | $ 124 | $ 410 |
Impairments and other costs | 249 | 0 | ||
Settlement charges | 19 | 0 | ||
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Dividends received from subsidiaries | 0 | 0 | ||
Depreciation and amortization | 520 | 520 | ||
(Increase) decrease in working capital | (340) | (531) | ||
Other, net | (12) | (1) | ||
Net cash provided (used) by operating activities | 560 | 398 | ||
Cash flows from investing activities: | ||||
Purchase of property and equipment and capitalized software, net | (377) | (507) | ||
Other, net | 39 | (108) | ||
Net cash used by investing activities | (338) | (615) | ||
Cash flows from financing activities: | ||||
Debt repaid | (3) | (72) | ||
Dividends paid | (228) | (227) | ||
(Common stock acquired) net of issuance of common stock | (103) | (751) | ||
Proceeds from noncontrolling interest | 4 | 0 | ||
Intercompany activity, net | 0 | 0 | ||
Other, net | (1) | (136) | ||
Net cash provided (used) by financing activities | (331) | (1,186) | ||
Net increase (decrease) in cash and cash equivalents | (109) | (1,403) | ||
Cash and cash equivalents beginning of period | 1,109 | 2,246 | ||
Cash and cash equivalents end of period | 1,000 | 843 | 1,000 | 843 |
Parent | ||||
Cash flows from operating activities: | ||||
Net income (loss) | 11 | 217 | 127 | 410 |
Impairments and other costs | 0 | |||
Settlement charges | 0 | |||
Equity in earnings of subsidiaries | (11) | (217) | (127) | (411) |
Dividends received from subsidiaries | 303 | 337 | ||
Depreciation and amortization | 0 | 0 | ||
(Increase) decrease in working capital | 32 | (11) | ||
Other, net | 17 | 24 | ||
Net cash provided (used) by operating activities | 352 | 349 | ||
Cash flows from investing activities: | ||||
Purchase of property and equipment and capitalized software, net | 0 | 0 | ||
Other, net | 0 | 0 | ||
Net cash used by investing activities | 0 | 0 | ||
Cash flows from financing activities: | ||||
Debt repaid | 0 | 0 | ||
Dividends paid | (228) | (227) | ||
(Common stock acquired) net of issuance of common stock | (103) | (751) | ||
Proceeds from noncontrolling interest | 0 | |||
Intercompany activity, net | (139) | (722) | ||
Other, net | (2) | (46) | ||
Net cash provided (used) by financing activities | (472) | (1,746) | ||
Net increase (decrease) in cash and cash equivalents | (120) | (1,397) | ||
Cash and cash equivalents beginning of period | 741 | 1,908 | ||
Cash and cash equivalents end of period | 621 | 511 | 621 | 511 |
Subsidiary Issuer | ||||
Cash flows from operating activities: | ||||
Net income (loss) | (174) | 26 | (295) | (43) |
Impairments and other costs | 184 | |||
Settlement charges | 5 | |||
Equity in earnings of subsidiaries | (22) | (86) | (32) | (146) |
Dividends received from subsidiaries | 575 | 0 | ||
Depreciation and amortization | 205 | 214 | ||
(Increase) decrease in working capital | 361 | (17) | ||
Other, net | (31) | 2 | ||
Net cash provided (used) by operating activities | 972 | 10 | ||
Cash flows from investing activities: | ||||
Purchase of property and equipment and capitalized software, net | (50) | (158) | ||
Other, net | 43 | 9 | ||
Net cash used by investing activities | (7) | (149) | ||
Cash flows from financing activities: | ||||
Debt repaid | (3) | (72) | ||
Dividends paid | 0 | 0 | ||
(Common stock acquired) net of issuance of common stock | 0 | 0 | ||
Proceeds from noncontrolling interest | 0 | |||
Intercompany activity, net | (937) | 262 | ||
Other, net | (27) | (69) | ||
Net cash provided (used) by financing activities | (967) | 121 | ||
Net increase (decrease) in cash and cash equivalents | (2) | (18) | ||
Cash and cash equivalents beginning of period | 91 | 94 | ||
Cash and cash equivalents end of period | 89 | 76 | 89 | 76 |
Other Subsidiaries | ||||
Cash flows from operating activities: | ||||
Net income (loss) | 205 | 277 | 451 | 600 |
Impairments and other costs | 65 | |||
Settlement charges | 14 | |||
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Dividends received from subsidiaries | 0 | 0 | ||
Depreciation and amortization | 315 | 306 | ||
(Increase) decrease in working capital | (733) | (503) | ||
Other, net | 2 | (27) | ||
Net cash provided (used) by operating activities | 114 | 376 | ||
Cash flows from investing activities: | ||||
Purchase of property and equipment and capitalized software, net | (327) | (349) | ||
Other, net | (4) | (117) | ||
Net cash used by investing activities | (331) | (466) | ||
Cash flows from financing activities: | ||||
Debt repaid | 0 | 0 | ||
Dividends paid | (878) | (337) | ||
(Common stock acquired) net of issuance of common stock | 0 | 0 | ||
Proceeds from noncontrolling interest | 4 | |||
Intercompany activity, net | 1,076 | 460 | ||
Other, net | 28 | (21) | ||
Net cash provided (used) by financing activities | 230 | 102 | ||
Net increase (decrease) in cash and cash equivalents | 13 | 12 | ||
Cash and cash equivalents beginning of period | 277 | 244 | ||
Cash and cash equivalents end of period | 290 | 256 | 290 | 256 |
Consolidating Adjustments | ||||
Cash flows from operating activities: | ||||
Net income (loss) | (33) | (303) | (159) | (557) |
Impairments and other costs | 0 | |||
Settlement charges | 0 | |||
Equity in earnings of subsidiaries | 33 | 303 | 159 | 557 |
Dividends received from subsidiaries | (878) | (337) | ||
Depreciation and amortization | 0 | 0 | ||
(Increase) decrease in working capital | 0 | 0 | ||
Other, net | 0 | 0 | ||
Net cash provided (used) by operating activities | (878) | (337) | ||
Cash flows from investing activities: | ||||
Purchase of property and equipment and capitalized software, net | 0 | 0 | ||
Other, net | 0 | 0 | ||
Net cash used by investing activities | 0 | 0 | ||
Cash flows from financing activities: | ||||
Debt repaid | 0 | 0 | ||
Dividends paid | 878 | 337 | ||
(Common stock acquired) net of issuance of common stock | 0 | 0 | ||
Proceeds from noncontrolling interest | 0 | |||
Intercompany activity, net | 0 | 0 | ||
Other, net | 0 | 0 | ||
Net cash provided (used) by financing activities | 878 | 337 | ||
Net increase (decrease) in cash and cash equivalents | 0 | 0 | ||
Cash and cash equivalents beginning of period | 0 | 0 | ||
Cash and cash equivalents end of period | $ 0 | $ 0 | $ 0 | $ 0 |