Quarterly report pursuant to Section 13 or 15(d)

Restructuring and Management Transition

v3.10.0.1
Restructuring and Management Transition
9 Months Ended
Nov. 03, 2018
Restructuring and Related Activities [Abstract]  
Restructuring and Management Transition
Restructuring and Management Transition

In the first quarter of 2017, the Company finalized plans to close 138 stores to help align the Company's brick-and-mortar presence with its omnichannel network, thereby redirecting capital resources to invest in locations and initiatives that offer the greatest revenue potential. The store closures resulted in a $77 million asset impairment charge for store assets with limited future use and a $14 million severance charge for the expected displacement of store associates. During the three months ended October 28, 2017, $52 million in store related closing and other costs such as certain lease obligations were recorded as a result of each respective store ceasing operations.
The components of Restructuring and management transition include:
Home office and stores — charges for actions to reduce our store and home office expenses including employee termination benefits, store lease termination and impairment charges;
Management transition — charges related to implementing changes within our management leadership team for both incoming and outgoing members of management; and
Other — charges related primarily to contract termination costs and costs related to the closure of certain supply chain locations.
The composition of Restructuring and management transition charges was as follows: 
 
Three Months Ended
 
Nine Months Ended
 
Cumulative
Amount From Program Inception Through
November 3, 2018
($ in millions)
November 3,
2018
 
October 28,
2017
 
November 3,
2018
 
October 28,
2017
 
Home office and stores
$
2

 
$
52

 
$
11

 
$
173

 
$
484

Management transition
9

 

 
9

 

 
9

Other

 

 

 
2

 
185

Total
$
11

 
$
52

 
$
20

 
$
175

 
$
678



Activity for the Restructuring and management transition liability for the nine months ended November 3, 2018 was as follows:
($ in millions)
Home Office
and Stores
 
Management
Transition
 
Other
 
Total
February 3, 2018
$
34

 
$

 
$
7

 
$
41

Charges
14

 
9

 

 
23

Cash payments
(30
)
 
(2
)
 
(4
)
 
(36
)
November 3, 2018
$
18

 
$
7

 
$
3

 
$
28