Annual report [Section 13 and 15(d), not S-K Item 405]

Retirement Plans (Tables)

v3.26.1
Retirement Plans (Tables)
12 Months Ended
Jan. 31, 2026
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract]  
Schedule of Costs of Retirement Plans
Retirement expenses (income), excluding settlement charges, included the following components:
2025 2024 2023
(millions)
401(k) Qualified Defined Contribution Plan $ 88  $ 89  $ 85 
Non-Qualified Defined Contribution Plan
Pension Plan (39) (40) (38)
Supplementary Retirement Plan 27  28  30 
Postretirement Obligations (4) (4) (3)
$ 73  $ 74  $ 75 
Schedule of Reconciliation of Benefit Obligations, Plan Assets, and Funded Status Pension Plan and SERP
The following provides a reconciliation of benefit obligations, plan assets and funded status of the Pension Plan and SERP as of January 31, 2026 and February 1, 2025:
Pension Plan SERP
2025 2024 2025 2024
(millions)
Change in projected benefit obligation
Projected benefit obligation, beginning of year $ 1,391  $ 1,556  $ 425  $ 467 
Interest cost 68  73  21  22 
Actuarial loss (gain) 16  (57) (17)
Benefits paid (59) (58) (40) (47)
Settlement (189) (123) —  — 
Projected benefit obligation, end of year 1,227  1,391  415  425 
Changes in plan assets        
Fair value of plan assets, beginning of year 1,881  2,011  —  — 
Actual return on plan assets 143  51  —  — 
Company contributions —  —  40  47 
Benefits paid (59) (58) (40) (47)
Settlement (189) (123) —  — 
Fair value of plan assets, end of year 1,776  1,881  —  — 
Funded status at end of year $ 549  $ 490  $ (415) $ (425)
Amounts recognized in the Consolidated Balance Sheets at January 31, 2026 and February 1, 2025
       
Other assets $ 549  $ 490  $ —  $ — 
Accounts payable and accrued liabilities —  —  (47) (43)
Other liabilities —  —  (368) (382)
$ 549  $ 490  $ (415) $ (425)
Amounts recognized in accumulated other comprehensive loss at January 31, 2026 and February 1, 2025
       
Net actuarial loss $ 434  $ 521  $ 130  $ 126 
Prior service cost —  — 
$ 434  $ 521  $ 134  $ 130 
Schedule of Net Periodic Benefit Costs
Net pension costs, settlement charges and other amounts recognized in other comprehensive loss for the Pension Plan and SERP included the following actuarially determined components:
Pension Plan SERP
2025 2024 2023 2025 2024 2023
(millions)
Net Periodic Pension Cost
Interest cost $ 68  $ 73  $ 83  $ 21  $ 22  $ 23 
Expected return on assets (111) (116) (125) —  —  — 
Amortization of net actuarial loss
(39) (40) (38) 27  28  30 
           
Settlement charges 67  46  134  —  —  — 
Other Changes in Plan Assets and Projected Benefit Obligation Recognized in Other Comprehensive Income (Loss)            
Net actuarial (gain) loss (16) (3) 10  (17) (19)
Amortization of net actuarial loss (4) (3) (4) (6) (6) (7)
Settlement charges (67) (46) (134) —  —  — 
(87) (42) (141) (23) (26)
Total recognized $ (59) $ (36) $ (45) $ 31  $ $
Schedule of Weighted Average Assumptions
The following weighted average assumptions were used to determine the projected benefit obligations for the Pension Plan and SERP at January 31, 2026 and February 1, 2025:
Pension Plan SERP
2025 2024 2025 2024
Discount rate 5.23  % 5.52  % 5.28  % 5.54  %
Rate of compensation increases 3.00  % 3.00  % —  — 
Cash balance plan interest crediting rate 5.00  % 5.00  % —  — 
The following weighted average assumptions were used to determine the net periodic pension cost for the Pension Plan and SERP:
Pension Plan SERP
2025 2024 2023 2025 2024 2023
Discount rate used to measure service cost 5.77  % 5.24  %
4.88% - 6.27%
—  —  — 
Discount rate used to measure interest cost 5.23  % 4.98  %
4.72% - 5.96%
5.21  % 4.96  % 4.71  %
Expected long-term return on plan assets 5.50  % 5.30  % 5.30  % —  —  — 
Rate of compensation increases 3.00  % 3.50  % 3.50  % —  —  — 
Cash balance plan interest crediting rate 5.00  % 5.00  % 5.00  % —  —  — 
Schedule of Fair Values of Plan Assets
The fair values of the Pension Plan assets as of January 31, 2026 and February 1, 2025, excluding interest and dividend receivables and pending investment purchases and sales, by asset category are as follows:
Fair Value Category 2025 2024
(millions)
Money market funds Level 1 $ 114  $ 154 
Equity securities:      
U.S. pooled funds Level 1 73  65 
International pooled funds Level 1 25  26 
Fixed income securities:      
U.S. Treasury bonds Level 2 101  36 
Other Government bonds Level 2 56  55 
Agency backed bonds Level 2
Corporate bonds Level 2 856  1,080 
Mortgage-backed securities Level 2 41  40 
Asset-backed securities Level 2
Pooled funds Level 1 81  39 
Other types of investments:      
Derivatives in a positive position Level 2 14  13 
Derivatives in a negative position Level 2 (2) (3)
Pooled funds (a) 304  273 
Real estate (a) 12 
Private equity (a) 74  81 
Total $ 1,748  $ 1,874 
(a)Certain investments that are measured at fair value using the net asset value per share as a practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in these tables are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the fair value of plan assets.
Schedule of Estimated Future Benefit Payments
The following benefit payments are estimated to be paid from the Pension Plan and from the SERP:
Pension Plan SERP
(millions)
Fiscal year
2026 $ 133  $ 47 
2027 131  39 
2028 129  41 
2029 124  38 
2030 115  36 
2031-2035 478  161