Quantitative and Qualitative Disclosures About Market Risk
−Removed: As disclosed in our Annual Report on Form 10-K for the fiscal year ended February 1, 2025, in addition to the risks inherent in our operations, we are exposed to certain market risks.
+Added: As disclosed in our Annual Report on Form 10-K for the fiscal year ended January 31, 2026, in addition to the risks inherent in our operations, we are exposed to certain market risks.
Interest Rate Risk
2 unchanged sentences
In addition, we have swapped a portion of our fixed-rate debt to floating rate such that the interest expense on this debt will vary with short-term interest rates.
−Removed: Refer to Note 1, Summary of Significant Accounting Policies , of the Notes to Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended February 1, 2025, for further information regarding our interest rate swaps.
−Removed: As of November 1, 2025, we had $1.2 billion of cash, cash equivalents and restricted cash and $0.5 billion of debt that has been swapped to floating rate, and therefore the net asset balance exposed to interest rate changes was $0.7 billion.
−Removed: As of November 1, 2025, a 50-basis point increase in short-term interest rates would have led to an estimated $3 million increase in interest income during the third quarter ended November 1, 2025, and conversely a 50-basis point decrease in short-term interest rates would have led to an estimated $3 million decrease in interest income during the third quarter ended November 1, 2025.
+Added: Refer to Note 1, Summary of Significant Accounting Policies , of the Notes to Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended January 31, 2026, for further information regarding our interest rate swaps.
+Added: As of May 2, 2026, we had $2.0 billion of cash, cash equivalents and restricted cash and $0.5 billion of debt that has been swapped to floating rate, and therefore the net asset balance exposed to interest rate changes was $1.5 billion.
+Added: As of May 2, 2026, a 50-basis point increase in short-term interest rates would have led to an estimated $2 million increase in net interest income during the first quarter of fiscal 2027, and conversely a 50-basis point decrease in short-term interest rates would have led to an estimated $2 million decrease in net interest income during the first quarter of fiscal 2027.
Foreign Currency Exchange Rate Risk
3 unchanged sentences
Our foreign currency risk management strategy includes both hedging instruments and derivatives that are not designated as hedging instruments.
−Removed: Refer to Note 1, Summary of Significant Accounting Policies , of the Notes to Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended February 1, 2025, for additional information regarding these instruments.
−Removed: During the third quarter and first nine months of fiscal 2026, foreign currency exchange rate fluctuations were primarily driven by the strength of the U.S.
+Added: Refer to Note 1, Summary of Significant Accounting Policies , and Note 5, Derivative Instruments , of the Notes to Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended January 31, 2026, for additional information regarding these instruments.
+Added: During the first quarter of fiscal 2027, foreign currency exchange rate fluctuations were primarily driven by the weakening of the U.S.
dollar against the Canadian dollar compared to the prior-year period.
−Removed: The estimated impact of foreign exchange rate fluctuations on our revenue had an unfavorable impact of $13 million and $44 million in the third quarter and first nine months of fiscal 2026, respectively.
−Removed: The estimated impacts of foreign exchange rate fluctuations on our net earnings in the third quarter and first nine months of fiscal 2026 were not significant.
+Added: We estimate that the foreign exchange rate fluctuations had a favorable impact on our revenue of approximately $23 million in the first quarter of fiscal 2027.
+Added: The estimated impact of foreign exchange rate fluctuations on our net earnings in the first quarter of fiscal 2027 was not significant.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.