WAL MART STORES INC, 10-Q filed on 9/1/2011
Quarterly Report
Document And Entity Information
6 Months Ended
Jul. 31, 2011
Aug. 29, 2011
Document And Entity Information
Document Type
10-Q†
Amendment Flag
FALSE†
Document Period End Date
Jul. 31, 2011†
Document Fiscal Year Focus
2012†
Document Fiscal Period Focus
Q2†
Entity Registrant Name
WAL MART STORES INC†
Entity Central Index Key
0000104169†
Current Fiscal Year End Date
--01-31†
Entity Filer Category
Large Accelerated Filer†
Entity Common Stock, Shares Outstanding
3,446,636,800†
Condensed Consolidated Statements Of Income (Unaudited)†(USD $)
In Millions, except Per Share data
3 Months Ended
Jul.†31,
6 Months Ended
Jul.†31,
2011
2010
2011
2010
Revenues:
Net sales
$†108,638†
$†103,016†
$†212,053†
$†202,113†
Membership and other income
728†
710†
1,502†
1,424†
Total revenues
109,366†
103,726†
213,555†
203,537†
Costs and expenses:
Cost of sales
81,770†
77,438†
159,947†
152,056†
Operating, selling, general and administrative expenses
21,213†
20,098†
41,329†
39,554†
Operating income
6,383†
6,190†
12,279†
11,927†
Interest:
Debt
525†
477†
1,016†
932†
Capital leases
75†
65†
146†
132†
Interest income
(22)
(57)
(66)
(108)
Interest, net
578†
485†
1,096†
956†
Income from continuing operations before income taxes
5,805†
5,705†
11,183†
10,971†
Provision for income taxes
1,868†
1,958†
3,668†
3,780†
Income from continuing operations
3,937†
3,747†
7,515†
7,191†
Loss from discontinued operations, net of tax
(28)
Consolidated net income
3,937†1
3,747†1
7,487†2
7,191†2
Less consolidated net income attributable to noncontrolling interest
(136)1
(151)1
(287)2
(294)2
Consolidated net income attributable to Walmart
$†3,801†
$†3,596†
$†7,200†
$†6,897†
Basic net income per common share:
Basic income per common share from continuing operations attributable to Walmart
$†1.09†
$†0.97†
$†2.07†
$†1.85†
Basic income per common share from discontinued operations attributable to Walmart
Basic net income per common share attributable to Walmart
$†1.09†
$†0.97†
$†2.07†
$†1.85†
Diluted net income per common share:
Diluted income per common share from continuing operations attributable to Walmart
$†1.09†
$†0.97†
$†2.06†
$†1.84†
Diluted income per common share from discontinued operations attributable to Walmart
Diluted net income per common share attributable to Walmart
$†1.09†
$†0.97†
$†2.06†
$†1.84†
Weighted-average number of common shares:
Basic
3,472†
3,696†
3,486†
3,730†
Diluted
3,485†
3,707†
3,501†
3,744†
Dividends declared per common share
$†1.46†
$†1.21†
Condensed Consolidated Balance Sheets (Unaudited)†(USD $)
In Millions
Jul. 31, 2011
Jan. 31, 2011
Jul. 31, 2010
Current assets:
Cash and cash equivalents
$†8,102†
$†7,395†
$†10,195†
Receivables, net
5,265†
5,089†
4,531†
Inventories
38,651†
36,318†
34,793†
Prepaid expenses and other
3,308†
2,960†
3,395†
Current assets of discontinued operations
88†
131†
131†
Total current assets
55,414†
51,893†
53,045†
Property and equipment:
Property and equipment
153,985†
148,584†
142,123†
Less accumulated depreciation
(45,256)
(43,486)
(41,012)
Property and equipment, net
108,729†
105,098†
101,111†
Property under capital leases:
Property under capital leases
6,102†
5,905†
5,720†
Less accumulated amortization
(3,241)
(3,125)
(3,017)
Property under capital leases, net
2,861†
2,780†
2,703†
Goodwill
21,532†
16,763†
15,993†
Other assets and deferred charges
5,120†
4,129†
4,092†
Total assets
193,656†
180,663†
176,944†
Current liabilities:
Short-term borrowings
6,435†
1,031†
4,639†
Accounts payable
34,701†
33,557†
33,953†
Dividends payable
2,556†
2,292†
Accrued liabilities
17,815†
18,701†
17,547†
Accrued income taxes
898†
157†
1,257†
Long-term debt due within one year
1,787†
4,655†
5,546†
Obligations under capital leases due within one year
404†
336†
346†
Current liabilities of discontinued operations
28†
47†
75†
Total current liabilities
64,624†
58,484†
65,655†
Long-term debt
45,238†
40,692†
35,629†
Long-term obligations under capital leases
3,214†
3,150†
3,073†
Deferred income taxes and other
7,304†
6,682†
5,368†
Redeemable noncontrolling interest
428†
408†
323†
Commitments and contingencies
Equity:
Common stock and capital in excess of par value
3,876†
3,929†
3,999†
Retained earnings
62,779†
63,967†
61,746†
Accumulated other comprehensive income (loss)
1,286†
646†
(1,099)
Total Walmart shareholders' equity
67,941†
68,542†
64,646†
Noncontrolling interest
4,907†
2,705†
2,250†
Total equity
72,848†
71,247†
66,896†
Total liabilities and equity
$†193,656†
$†180,663†
$†176,944†
Condensed Consolidated Statement Of Shareholders' Equity (Unaudited)†(USD $)
In Millions
Common Stock [Member]
Capital In Excess Of Par Value [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Total Walmart Shareholders' Equity [Member]
Noncontrolling Interest [Member]
Total
Balances at Jan. 31, 2011
$†352†
$†3,577†
$†63,967†
$†646†
$†68,542†
$†2,705†
$†71,247†
Balances, in shares at Jan. 31, 2011
3,516†
Consolidated net income (excludes redeemable noncontrolling interest)
7,200†
7,200†
258†
7,458†
Other comprehensive income
640†
640†
143†
783†
Cash dividends declared ($1.46 per share)
(5,094)
(5,094)
(5,094)
Purchase of Company stock (in shares)
(63)
Purchase of Company stock
(6)
(122)
(3,301)
(3,429)
(3,429)
Noncontrolling interest acquired
1,988†
1,988†
Other, in shares
9†
Other
75†
7†
82†
(187)
(105)
Balances at Jul. 31, 2011
$†346†
$†3,530†
$†62,779†
$†1,286†
$†67,941†
$†4,907†
$†72,848†
Balances, in shares at Jul. 31, 2011
3,462†
Condensed Consolidated Statement Of Shareholders' Equity (Unaudited) (Parenthetical)
3 Months Ended
Jul.†31,
6 Months Ended
Jul.†31,
2011
2010
2011
2010
Condensed Consolidated Statement Of Shareholders' Equity (Unaudited)
Cash dividends declared, per share
$†1.46†
$†1.21†
Condensed Consolidated Statements Of Comprehensive Income (Unaudited)†(USD $)
In Millions
3 Months Ended
Jul.†31,
6 Months Ended
Jul.†31,
2011
2010
2011
2010
Condensed Consolidated Statements Of Comprehensive Income (Unaudited)
Consolidated net income
$†3,937†1
$†3,747†1
$†7,487†2
$†7,191†2
Other comprehensive income:
Currency translation
405†3
(896)3
900†4
(944)4
Net change in fair value of derivatives
65†
(108)
(113)
(25)
Total comprehensive income
4,407†
2,743†
8,274†
6,222†
Less amounts attributable to the noncontrolling interest:
Consolidated net income
(136)1
(151)1
(287)2
(294)2
Currency translation
(62)3
121†3
(147)4
(60)4
Amounts attributable to the noncontrolling interest
(198)
(30)
(434)
(354)
Comprehensive income attributable to Walmart
$†4,209†
$†2,713†
$†7,840†
$†5,868†
Condensed Consolidated Statements Of Comprehensive Income (Unaudited) (Parenthetical)†(USD $)
In Millions
3 Months Ended
Jul.†31,
6 Months Ended
Jul.†31,
2011
2010
2011
2010
Condensed Consolidated Statements Of Comprehensive Income (Unaudited)
Consolidated net income, redeemable noncontrolling interest
$†12†
$†5†
$†29†
$†2†
Foreign currency translation, redeemable noncontrolling interest
$†21†
$†3†
$†4†
$†29†
Condensed Consolidated Statements Of Cash Flows (Unaudited)†(USD $)
In Millions
6 Months Ended
Jul.†31,
2011
2010
Cash flows from operating activities:
Consolidated net income
$†7,487†1
$†7,191†1
Loss from discontinued operations, net of tax
28†
Income from continuing operations
7,515†
7,191†
Adjustments to reconcile income from continuing operations to net cash provided by operating activities:
Depreciation and amortization
4,027†
3,748†
Other operating activities
276†
(162)
Changes in certain assets and liabilities, net of effects of acquisitions:
Accounts receivable
319†
(424)
Inventories
(909)
(2,086)
Accounts payable
(550)
3,090†
Accrued liabilities
(970)
(1,338)
Net cash provided by operating activities
9,708†
10,019†
Cash flows from investing activities:
Payments for property and equipment
(5,671)
(5,554)
Proceeds from the disposal of property and equipment
112†
126†
Investments and business acquisitions, net of cash acquired
(3,501)
(108)
Other investing activities
168†
(45)
Net cash used in investing activities
(8,892)
(5,581)
Cash flows from financing activities:
Net change in short-term borrowings
5,336†
4,120†
Proceeds from issuance of long-term debt
4,949†
6,433†
Payments of long-term debt
(3,895)
(2,639)
Dividends paid
(2,541)
(2,260)
Purchase of Company stock
(3,540)
(7,112)
Other financing activities
(515)
(587)
Net cash used in financing activities
(206)
(2,045)
Effect of exchange rates on cash and cash equivalents
97†
(105)
Net increase in cash and cash equivalents
707†
2,288†
Cash and cash equivalents at beginning of year
7,395†
7,907†
Cash and cash equivalents at end of period
$†8,102†
$†10,195†
Basis Of Presentation
Basis Of Presentation

Note 1. Basis of Presentation

The condensed consolidated financial statements of Wal-Mart Stores, Inc. and its subsidiaries ("Walmart," the "Company" or "we") included in this Quarterly Report on Form 10-Q are unaudited. In the opinion of management, all adjustments necessary for a fair presentation of the condensed consolidated financial statements have been included. Such adjustments are of a normal recurring nature. The condensed consolidated financial statements and notes thereto are presented in accordance with accounting principles generally accepted in the United States ("GAAP") and do not contain certain information included in the Company's Annual Report on Form 10-K for the fiscal year ended January 31, 2011. Therefore, the interim condensed consolidated financial statements should be read in conjunction with that Annual Report on Form 10-K. Certain prior period amounts have been reclassified to conform to the current period's presentation and did not have an impact on net income.

The Company's condensed consolidated financial statements are based on a fiscal year ending on January 31 for its U.S. and Canada operations and December 31 for all other operations.

Net Income Per Common Share
Net Income Per Common Share
Receivables
Receivables

Note 3. Receivables

Receivables primarily consist of amounts due from:

 

   

insurance companies – resulting from pharmacy sales;

 

   

banks – for customer credit card, debit card and electronic bank transfers that take in excess of seven days to process;

 

   

suppliers – for marketing or incentive programs;

 

   

consumer financing programs (in certain international operations); and

 

   

real estate transactions.

 

Walmart International offers a limited amount of consumer credit products, principally through its operations in Chile, Canada and Mexico. The balance of these receivables was $820 million, net of reserve for doubtful accounts of $84 million, at July 31, 2011, compared to a receivable balance of $460 million, net of reserve for doubtful accounts of $90 million, at July 31, 2010. These balances are included in receivables, net on the accompanying Condensed Consolidated Balance Sheets.

Inventories
Inventories

Note 4. Inventories

The Company values inventories at the lower of cost or market as determined primarily by the retail method of accounting, using the last-in, first-out ("LIFO") method for substantially all of the Walmart U.S. segment's merchandise inventories. The retail method of accounting results in inventory being valued at the lower of cost or market since permanent markdowns are currently taken as a reduction of the retail value of inventory. The Sam's Club segment's merchandise is valued based on the weighted-average cost using the LIFO method. Inventories for the Walmart International operations are primarily valued by the retail method of accounting and are stated using the first-in, first-out ("FIFO") method. At July 31, 2011 and 2010, the Company's inventories valued at LIFO approximate those inventories as if they were valued at FIFO.

Debt
Debt

Note 5. Debt

Information on long-term debt issued during the first six months of fiscal 2012 is as follows (amounts in millions):

 

Issue Date

 

Maturity Date

  

Interest Rate

  

Principal Amount

April 18, 2011   April 15, 2014    1.625%    $1,000
April 18, 2011   April 15, 2016    2.800%      1,000
April 18, 2011   April 15, 2021    4.250%      1,000
April 18, 2011   April 15, 2041    5.625%   

  2,000

                Total Issuances        

$5,000

The aggregate net proceeds from these note issuances were approximately $4.9 billion. The notes of each series require semi-annual interest payments on April 15 and October 15 of each year, commencing on October 15, 2011. Unless previously purchased and cancelled, the Company will repay the notes of each series at 100% of the principal amount, together with accrued and unpaid interest thereon, at maturity. The notes of each series are senior, unsecured obligations of the Company.

In June 2011, the Company renewed and extended an existing 364-day revolving credit facility (the "364-day Facility") and its five-year credit facility (the "5-year Facility"), both of which are used to support its commercial paper program. The size of the 364-day Facility was increased from $9.0 billion to $10.0 billion, while the 5-year Facility was increased from $4.3 billion to $6.3 billion. In conjunction with the 364-day Facility and the 5-year Facility, the Company also renewed an existing stand-by letter of credit facility used to support various potential and actual obligations. The size of the stand-by letter of credit facility remains unchanged at $2.2 billion. Undrawn and drawn fees remained constant or, in some cases, declined from the prior year. The 364-day Facility and the 5-year Facility remained undrawn as of July 31, 2011.

Derivative Financial Instruments
Derivative Financial Instruments

Note 6. Derivative Financial Instruments

The Company uses derivative financial instruments for hedging and non-trading purposes to manage its exposure to changes in interest and currency exchange rates, as well as to maintain an appropriate mix of fixed- and floating-rate debt. Use of derivative financial instruments in hedging programs subjects the Company to certain risks, such as market and credit risks. Market risk represents the possibility that the value of the derivative financial instrument will change. In a hedging relationship, the change in the value of the derivative financial instrument is offset to a great extent by the change in the value of the underlying hedged item. Credit risk related to a derivative financial instrument represents the possibility that the counterparty will not fulfill the terms of the contract. The notional or contractual amount of the Company's derivative financial instruments is used to measure interest to be paid or received and does not represent the Company's exposure due to credit risk. Credit risk is monitored through established approval procedures, including setting concentration limits by counterparty, reviewing credit ratings and requiring collateral (generally cash) from the counterparty if their derivative liability position exceeds certain thresholds.

The Company's transactions are with counterparties rated "A" or better by nationally recognized credit rating agencies. In connection with various derivative agreements with counterparties, the Company held $492 million in cash collateral from these counterparties at July 31, 2011. It is the Company's policy to record cash collateral exclusive of any derivative asset, and any collateral holdings are reflected in its accrued liabilities as amounts due to the counterparties. Furthermore, as part of the master netting arrangements with these counterparties, the Company is also required to post collateral if the derivative liability position exceeds $150 million. The Company has no outstanding collateral postings and in the event of such, the Company would record the posting as a receivable exclusive of any derivative liability.

 

When the Company uses derivative financial instruments for the purpose of hedging its exposure to interest and currency exchange rate risks, the contractual terms of a hedged instrument closely mirror those of the hedged item, providing a high degree of risk reduction and correlation. Contracts that are effective at meeting the risk reduction and correlation criteria are recorded using hedge accounting. If a derivative financial instrument is a hedge, depending on the nature of the hedge, changes in the fair value of the instrument will either be offset against the change in fair value of the hedged assets, liabilities or firm commitments through earnings or be recognized in accumulated other comprehensive income (loss) until the hedged item is recognized in earnings. The ineffective portion of an instrument's change in fair value will be immediately recognized in earnings during the period. Instruments that do not meet the criteria for hedge accounting, or contracts for which the Company has not elected hedge accounting, are valued at fair value with unrealized gains or losses reported in earnings during the period of the change.

Fair Value Instruments

The Company is a party to receive fixed-rate, pay floating-rate interest rate swaps to hedge the fair value of fixed-rate debt. Under certain swap agreements, the Company pays floating-rate interest and receives fixed-rate interest payments periodically over the life of the instruments. The notional amounts are used to measure interest to be paid or received and do not represent the Company's exposure due to credit loss. The Company's interest rate swaps that receive fixed-interest rate payments and pay floating-interest rate payments are designated as fair value hedges. As the specific terms and notional amounts of the derivative instruments match those of the instruments being hedged, the derivative instruments were assumed to be perfectly effective hedges, and all changes in the fair value of the hedges were recorded in long-term debt and accumulated other comprehensive income (loss) on the Condensed Consolidated Balance Sheets with no net impact on the Condensed Consolidated Statements of Income. These fair value instruments will mature on dates ranging from April 2012 to May 2014.

Net Investment Instruments

The Company is a party to cross-currency interest rate swaps that hedge its net investment in the United Kingdom. The agreements are contracts to exchange fixed-rate payments in one currency for fixed-rate payments in another currency. All changes in the fair value of these instruments are recorded in accumulated other comprehensive income (loss), offsetting the currency translation adjustment that is also recorded in accumulated other comprehensive income (loss). These instruments will mature on dates ranging from October 2023 to February 2030.

The Company has approximately £3.0 billion of outstanding debt that is designated as a hedge of the Company's net investment in the United Kingdom as of July 31, 2011 and January 31, 2011. The Company also has outstanding ¥300 billion of debt that is designated as a hedge of the Company's net investment in Japan at July 31, 2011 and January 31, 2011. Any translation of non-U.S. denominated debt is recorded in accumulated other comprehensive income (loss), offsetting the currency translation adjustment that is also recorded in accumulated other comprehensive income (loss). These instruments will mature on dates ranging from August 2011 to January 2039.

Cash Flow Instruments

The Company is a party to receive floating-rate, pay fixed-rate interest rate swaps to hedge the interest rate risk of certain non-U.S. denominated debt. The swaps are designated as cash flow hedges of interest expense risk. Changes in the non-U.S. benchmark interest rate result in reclassification of amounts from accumulated other comprehensive income (loss) to earnings to offset the floating-rate interest expense. These cash flow instruments will mature on dates ranging from August 2013 to July 2015.

The Company is also a party to receive fixed-rate, pay fixed-rate cross-currency interest rate swaps to hedge the currency exposure associated with the forecasted payments of principal and interest of non-U.S. denominated debt. The swaps are designated as cash flow hedges of the currency risk related to payments on the non-U.S. denominated debt. Changes in the currency exchange rate result in reclassification of amounts from accumulated other comprehensive income (loss) to earnings to offset the re-measurement gain or loss on the non-U.S. denominated debt. These cash flow instruments will mature on dates ranging from September 2029 to March 2034. Any ineffectiveness related to these instruments has been and is expected to be immaterial to the Company's financial condition or results of operations.

Financial Statement Presentation

Hedging instruments with an unrealized gain are recorded on the Condensed Consolidated Balance Sheets as either a current or a non-current asset, based on maturity date, and those hedging instruments with an unrealized loss are recorded as either a current or a non-current liability, based on maturity date.

 

As of July 31, 2011 and January 31, 2011, the Company's financial instruments were classified as follows in the accompanying Condensed Consolidated Balance Sheets:

 

     July 31, 2011      January 31, 2011  
(Amounts in millions)    Fair  Value
Instruments
     Net  Investment
Instruments
     Cash  Flow
Instruments
     Fair  Value
Instruments
     Net  Investment
Instruments
     Cash  Flow
Instruments
 

Balance Sheet Classification:

                 

Other assets and deferred charges

   $ 239       $ 210       $ 236       $ 267       $ 233       $ 238   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Asset subtotals

   $ 239       $ 210       $ 236       $ 267       $ 233       $ 238   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Long-term debt

   $ 239       $ —         $ —         $ 267       $ —         $ —     

Deferred income taxes and other

     —           —           20         —           —           18   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liability subtotals

   $ 239       $ —         $ 20       $ 267       $ —         $ 18   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 
Fair Value Measurements
Fair Value Measurements

Note 7. Fair Value Measurements

The Company records and discloses certain financial and non-financial assets and liabilities at their fair value. The fair value of an asset is the price at which the asset could be sold in an ordinary transaction between unrelated, knowledgeable and willing parties able to engage in the transaction. A liability's fair value is defined as the amount that would be paid to transfer the liability to a new obligor in a transaction between such parties, not the amount that would be paid to settle the liability with the creditor.

Assets and liabilities recorded at fair value are measured using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include:

 

   

Level 1 - observable inputs such as quoted prices in active markets;

 

   

Level 2 - inputs other than quoted prices in active markets that are either directly or indirectly observable; and

 

  Level 3 - unobservable inputs in which little or no market data exists, therefore requiring the Company to develop its own                 assumptions.

The disclosure of fair value of certain financial assets and liabilities that are recorded at cost is as follows:

Cash and cash equivalents: The carrying value approximates fair value due to the short maturity of these instruments.

Short-term debt: The carrying value approximates fair value due to the short maturity of these instruments.

Long-term debt: The fair value is based on the Company's current incremental borrowing rate for similar types of borrowing arrangements or, where applicable, quoted market prices. The carrying value and fair value of the Company's long-term debt as of July 31, 2011 and January 31, 2011 are as follows:

 

Carrying Value Carrying Value Carrying Value Carrying Value
    July 31, 2011     January 31, 2011  
(Amounts in millions)   Carrying Value     Fair Value     Carrying Value     Fair Value  

Long-term debt, including amounts due within one year

  $ 47,025      $ 50,080      $ 45,347      $ 47,012   

Additionally, as of July 31, 2011 and January 31, 2011, the Company held certain derivative asset and liability positions that are required to be measured at fair value on a recurring basis. The majority of the Company's derivative instruments relate to interest rate swaps. The fair values of these interest rate swaps have been measured in accordance with Level 2 inputs of the fair value hierarchy, using the income approach. As of July 31, 2011 and January 31, 2011, the notional amounts and fair values of these interest rate swaps are as follows (asset/(liability)):

 

     July 31, 2011     January 31, 2011  
(Amounts in millions)    Notional
Amount
     Fair
Value
    Notional
Amount
     Fair
Value
 

Receive fixed-rate, pay floating-rate interest rate swaps designated as fair value hedges

   $ 3,945       $ 239      $ 4,445       $ 267   

Receive fixed-rate, pay fixed-rate cross-currency interest rate swaps designated as net investment hedges

     1,250         210        1,250         233   

Receive floating-rate, pay fixed-rate interest rate swaps designated as cash flow hedges

     1,262         (20     1,182         (18

Receive fixed-rate, pay fixed-rate cross-currency interest rate swaps designated as cash flow hedges

     3,082         236        2,902         238   
  

 

 

    

 

 

   

 

 

    

 

 

 

Total

   $ 9,539       $ 665      $ 9,779       $ 720   
  

 

 

    

 

 

   

 

 

    

 

 

 

 

The fair values above are the estimated amounts the Company would receive or pay upon a termination of the agreements relating to such instruments as of the reporting dates.

Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)

Note 8. Accumulated Other Comprehensive Income (Loss)

Amounts included in accumulated other comprehensive income (loss) for the Company's derivative instruments and minimum pension liabilities are recorded net of their related income tax effect. The following table provides further detail regarding changes in the composition of accumulated other comprehensive income (loss) for the six months ended July 31, 2011:

 

Currency Translation Currency Translation Currency Translation Currency Translation
(Amounts in millions)    Currency Translation
and Other
     Derivative
Instruments
    Minimum
Pension  Liability
    Total  

Balances - February 1, 2011

   $ 1,226       $ 60      $ (640   $ 646   

Currency translation adjustment

     753         —          —          753   

Net change in fair value of derivatives

     —           (113     —          (113
  

 

 

    

 

 

   

 

 

   

 

 

 

Balances - July 31, 2011

   $ 1,979       $ (53   $ (640   $ 1,286   
  

 

 

    

 

 

   

 

 

   

 

 

 

The currency translation adjustment includes a net translation loss of $1.4 billion at July 31, 2011 related to net investment hedges of the Company's operations in the United Kingdom and Japan. During the six months ended July 31, 2011, the Company reclassified $111 million from accumulated comprehensive income (loss) to earnings from the remeasurements of non-U.S.-denominated debt.

Share Repurchases
Share Repurchases

Note 9. Share Repurchases

From time to time, the Company has repurchased shares of its common stock under a $15.0 billion share repurchase program authorized by the Board of Directors on June 3, 2010 and announced on June 4, 2010. On June 2, 2011, the Company's Board of Directors replaced that share repurchase program, which had approximately $2.1 billion of remaining authorization for share repurchase as of that date, with a new $15.0 billion share repurchase program, announced on June 3, 2011. As a result, the Company terminated and will make no further share repurchases under the program announced on June 4, 2010. Consistent with the replaced share repurchase program, the new program has no expiration date or other restriction limiting the period over which the Company can make share repurchases and will expire only when and if the Company has repurchased $15.0 billion of its shares under the newly authorized program or when it earlier terminates or replaces the newly authorized program. Any repurchased shares are constructively retired and returned to an unissued status.

The Company considers several factors in determining when to execute the share repurchases, including, among other things, its current cash needs, its capacity for leverage, its cost of borrowings and the market price of its common stock. The Company's share repurchases during the six months ended July 31, 2011 and 2010 were as follows:

 

Share Repurchases

(millions, except per share data)

   Total Number of
Shares  Repurchased
   Average Price Paid per Share    Total Investment

Six months ended July 31, 2011

    65.4    $54.11    $3,540

Six months ended July 31, 2010

   135.6    $52.47    $7,112
Legal Proceedings
Legal Proceedings

Note 10. Legal Proceedings

The Company is involved in a number of legal proceedings. The Company has made accruals with respect to these matters, where appropriate, which are reflected in the Company's consolidated financial statements. For some matters, the amount of liability is not probable or the amount cannot be reasonably estimated and therefore accruals have not been made. However, where a liability is reasonably possible and material, such matters have been disclosed. The Company may enter into discussions regarding settlement of these matters, and may enter into settlement agreements, if it believes settlement is in the best interest of the Company's shareholders. The matters, or groups of related matters, discussed below, if decided adversely to or settled by the Company, individually or in the aggregate, may result in liability material to the Company's financial condition or results of operations.

Wage-and-Hour Class Action: The Company is a defendant in Braun/Hummel v. Wal-Mart Stores, Inc., a class action lawsuit commenced in March 2002 in the Court of Common Pleas in Philadelphia, Pennsylvania. The plaintiffs allege that the Company failed to pay class members for all hours worked and prevented class members from taking their full meal and rest breaks. On October 13, 2006, a jury awarded back-pay damages to the plaintiffs of approximately $78 million on their claims for off-the-clock work and missed rest breaks. The jury found in favor of the Company on the plaintiffs' meal-period claims. On November 14, 2007, the trial judge entered a final judgment in the approximate amount of $188 million, which included the jury's back-pay award plus statutory penalties, prejudgment interest and attorneys' fees. By operation of law, post-judgment interest accrues on the judgment amount at the rate of six percent per annum from the date of entry of the judgment, which was November 14, 2007, until the judgment is paid, unless the judgment is set aside on appeal. The Company believes it has substantial factual and legal defenses to the claims at issue, and on December 7, 2007, the Company filed its Notice of Appeal. The Company filed its opening appellate brief on February 17, 2009, plaintiffs filed their response brief on April 20, 2009, and the Company filed its reply brief on June 5, 2009. Oral argument was held before the Superior Court of Appeals on August 19, 2009. On June 10, 2011, the Superior Court of Appeals issued an opinion upholding the trial court's certification of the class, the jury's back pay award, and the awards of statutory penalties and prejudgment interest, but reversing the award of attorneys' fees and remanding it back to the trial court for a downward adjustment. On July 10, 2011, the Company filed an Application for Rehearing En Banc with regard to the portions of the opinion that held in favor of the plaintiffs, which was denied on August 11, 2011. The Company believes it has substantial factual and legal defenses to the claims at issue, and plans to continue pursuing appellate review.

Gender Discrimination Class Action: The Company is a defendant in Dukes v. Wal-Mart Stores, Inc., which was commenced as a class-action lawsuit in June 2001 in the United States District Court for the Northern District of California, asserting that the Company had engaged in a pattern and practice of discriminating against women in promotions, pay, training and job assignments, and seeking, among other things, injunctive relief, front pay, back pay, punitive damages, and attorneys' fees. On June 21, 2004, the district court issued an order granting in part and denying in part the plaintiffs' motion for class certification. As defined by the district court, the class included all women employed at any Wal-Mart domestic retail store at any time since December 26, 1998, who have been or may be subjected to Wal-Mart's challenged pay and management track promotions policies and practices.

On August 31, 2004, the United States Court of Appeals for the Ninth Circuit granted the Company's petition for discretionary review of the ruling. On February 6, 2007, a divided three-judge panel of the court of appeals issued a decision affirming the district court's certification order. On February 20, 2007, the Company filed a petition asking that the decision be reconsidered by a larger panel of the court. On December 11, 2007, the three-judge panel withdrew its opinion of February 6, 2007, and issued a revised opinion. As a result, the Company's Petition for Rehearing En Banc was denied as moot. The Company filed a new Petition for Rehearing En Banc on January 8, 2008. On February 13, 2009, the court of appeals issued an Order granting the Petition. On April 26, 2010, the Ninth Circuit issued a divided (6-5) opinion affirming certain portions of the district court's ruling and reversing other portions. On August 25, 2010, the Company filed a petition for a writ of certiorari to the United States Supreme Court seeking review of the Ninth Circuit's decision. On December 6, 2010, the Supreme Court granted the Company's petition for writ of certiorari. On June 20, 2011, the Supreme Court issued an opinion reversing the Ninth Circuit and decertifying the class. On June 24, 2011, the plaintiffs filed a Motion to Extend Tolling of the Statute of Limitations, indicating that they intend to pursue both individual claims and "a more narrowly defined class that would comply with the certification standards set forth by the Supreme Court." On August 19, 2011, the district judge entered an Order granting the motion in part and specifying dates by which any additional claims must be filed. The Company cannot reasonably estimate the possible loss or range of loss that may arise from this litigation.

Hazardous Materials Investigations: On November 8, 2005, the Company received a grand jury subpoena from the United States Attorney's Office for the Central District of California, seeking documents and information relating to the Company's receipt, transportation, handling, identification, recycling, treatment, storage and disposal of certain merchandise that constitutes hazardous materials or hazardous waste. The Company has been informed by the U.S. Attorney's Office for the Central District of California that it is a target of a criminal investigation into potential violations of the Resource Conservation and Recovery Act ("RCRA"), the Clean Water Act and the Hazardous Materials Transportation Statute. This U.S. Attorney's Office contends, among other things, that the use of Company trucks to transport certain returned merchandise from the Company's stores to its return centers is prohibited by RCRA because those materials may be considered hazardous waste. The government alleges that, to comply with RCRA, the Company must ship from the store certain materials as "hazardous waste" directly to a certified disposal facility using a certified hazardous waste carrier. The U.S. Attorney's Office in the Northern District of California subsequently joined in this investigation. The Company contends that the practice of transporting returned merchandise to its return centers for subsequent disposition, including disposal by certified facilities, is compliant with applicable laws and regulations. While management cannot predict the ultimate outcome of this matter, management does not believe the outcome will have a material effect on the Company's financial condition or results of operations.

Acquisitions
Acquisitions

Note 11. Acquisitions

Significant acquisitions are as follows:

Massmart Holdings Limited ("Massmart"): In June 2011, the Company completed a tender offer for approximately 51% ownership in Massmart, a South African retailer with approximately 290 stores in 13 sub-Saharan African countries. The purchase price for 51% of Massmart was approximately ZAR 16.9 billion ($2.5 billion). The assets acquired were approximately $6.4 billion, including approximately $3.5 billion in goodwill; liabilities assumed were approximately $1.9 billion; and the non-controlling interest was approximately $2.0 billion. As of July 31, 2011, the allocation of the Massmart purchase price to the fair value of the assets acquired and liabilities assumed is preliminary.

 

Netto Food Stores Limited ("Netto"): In April 2011, the Company completed the regulatory approved acquisition of 147 Netto stores from Dansk Supermarked in the United Kingdom and the Company plans to convert these stores to the ASDA brand by the end of fiscal 2012. The final purchase price for the acquisition was approximately £750 million ($1.2 billion). The assets acquired were approximately $1.3 billion, including approximately $748 million in goodwill, and liabilities assumed were approximately $103 million. As of July 31, 2011, the allocation of the Netto purchase price to the fair value of the assets acquired and liabilities assumed is preliminary.

Bounteous Company Limited ("BCL"): In February 2007, the Company purchased an initial 35% interest in BCL, which operates in China under the Trust-Mart banner. The Company paid $264 million for its initial 35% interest and, as additional consideration, paid $376 million to extinguish a third-party loan issued to the selling BCL shareholders that was secured by the pledge of the remaining equity of BCL. Concurrent with its initial investment in BCL, the Company entered into a Shareholders' Agreement, which provides the Company with voting rights associated with a portion of the common stock of BCL securing the loan, amounting to an additional 30% of the aggregate outstanding shares. Pursuant to the Share Purchase Agreement, the Company was committed to purchase the remaining interest in BCL on or before November 26, 2010, subject to certain conditions. The Company and the selling shareholder have mutually agreed to extend the closing, while certain conditions of the contract are being completed. In April 2011, the Company obtained antitrust clearance and now expects to finalize the other regulatory approvals and complete the transaction by the end of fiscal 2012.

Segments
Segments

Note 12. Segments

The Company is engaged in the operations of retail stores located in all 50 states of the United States and Puerto Rico, Argentina, Brazil, Canada, Central America, Chile, China, India, Japan, Mexico, sub-Saharan Africa and the United Kingdom. The Company's operations are conducted in three segments: the Walmart U.S. segment, the Walmart International segment, and the Sam's Club segment. The Company defines its segments as those business units whose operating results its chief operating decision maker ("CODM") regularly reviews to analyze performance and allocate resources. The Company sells similar individual products and services in each of its segments. It is impractical to segregate and identify revenue for each of these individual products and services.

The Walmart U.S. segment includes the Company's mass merchant concept in the United States and Puerto Rico operating primarily under the "Walmart" or "Wal-Mart" brands, as well as walmart.com. The Walmart International segment consists of the Company's operations outside of the United States and Puerto Rico. The Sam's Club segment includes the warehouse membership clubs in the United States and Puerto Rico, as well as samsclub.com.

Net sales by segment are as follows (amounts in millions):

 

     Three Months Ended
July 31,
     Six Months Ended
July 31,
 
     2011      2010      2011      2010  

Net sales:

           

Walmart U.S.

   $ 64,893       $ 64,654       $ 127,562       $ 126,978   

Walmart International

     30,099         25,901         58,004         50,931   

Sam's Club

     13,646         12,461         26,487         24,204   
  

 

 

    

 

 

    

 

 

    

 

 

 

Total Company

   $ 108,638       $ 103,016       $ 212,053       $ 202,113   
  

 

 

    

 

 

    

 

 

    

 

 

 

The Company measures the results of its segments using, among other measures, each segment's operating income which includes certain corporate overhead allocations. From time to time, the Company revises the measurement of each segment's operating income, including any corporate overhead allocations, as dictated by the information regularly reviewed by its CODM. When the Company does so, the prior period amounts for segment operating income are reclassified to conform to the current period's presentation. The amounts under the caption "Other" in the table below primarily represent unallocated corporate overhead items.

 

Operating income by segment and interest expense are as follows (amounts in millions):

 

     Three Months Ended
July  31,
    Six Months Ended
July 31,
 
     2011     2010     2011     2010  

Segment operating income:

        

Walmart U.S.

   $ 4,985      $ 4,881      $ 9,635      $ 9,496   

Walmart International

     1,415        1,299        2,511        2,382   

Sam's Club

     492        428        951        857   

Other

     (509     (418     (818     (808
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating income

   $ 6,383      $ 6,190      $ 12,279      $ 11,927   

Interest expense, net

     (578     (485     (1,096     (956
  

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations before income taxes

   $ 5,805      $ 5,705      $ 11,183      $ 10,971   
  

 

 

   

 

 

   

 

 

   

 

 

 
Common Stock Dividends
Common Stock Dividends

Note 13. Common Stock Dividends

On March 3, 2011, the Company's Board of Directors declared an annual dividend for fiscal 2012 of $1.46 per share, an increase of 21% over the per share dividends paid in fiscal 2011. For the fiscal year ending January 31, 2012, the annual dividend will be paid in four quarterly installments according to the following record and payable dates:

 

    

Record Date

      

Payable Date

     
  March 11, 2011     April 4, 2011   
  May 13, 2011     June 6, 2011   
  August 12, 2011     September 6, 2011   
  December 9, 2011     January 3, 2012   

The dividend installments payable on April 4, 2011 and June 6, 2011 were paid as scheduled.

Net Income Per Common Share (Tables)
Schedule Of Calculation Of Numerator And Denominator In Earnings Per Share
     Three Months Ended
July 31,
    Six Months Ended
July 31,
 
(Amounts in millions, except per share data)        2011             2010             2011             2010      

Numerator

        

Income from continuing operations

   $ 3,937      $ 3,747      $ 7,515      $ 7,191   

Less consolidated net income attributable to noncontrolling interest

     (136     (151     (287     (294
  

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations attributable to Walmart

   $ 3,801      $ 3,596      $ 7,228      $ 6,897   
  

 

 

   

 

 

   

 

 

   

 

 

 

Denominator

        

Weighted-average common shares outstanding, basic

     3,472        3,696        3,486        3,730   

Dilutive impact of stock-based awards

     13        11        15        14   
  

 

 

   

 

 

   

 

 

   

 

 

 

Weighted-average common shares outstanding, diluted

     3,485        3,707        3,501        3,744   
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income per common share from continuing operations attributable to Walmart

        

Basic

   $ 1.09      $ 0.97      $ 2.07      $ 1.85   

Diluted

   $ 1.09      $ 0.97      $ 2.06      $ 1.84   
Debt (Tables)
Long-Term Debt Issuances

Issue Date

 

Maturity Date

  

Interest Rate

  

Principal Amount

April 18, 2011   April 15, 2014    1.625%    $1,000
April 18, 2011   April 15, 2016    2.800%      1,000
April 18, 2011   April 15, 2021    4.250%      1,000
April 18, 2011   April 15, 2041    5.625%   

  2,000

                Total Issuances        

$5,000

Derivative Financial Instruments (Tables)
Balance Sheet Classification Of Financial Instruments
     July 31, 2011      January 31, 2011  
(Amounts in millions)    Fair  Value
Instruments
     Net  Investment
Instruments
     Cash  Flow
Instruments
     Fair  Value
Instruments
     Net  Investment
Instruments
     Cash  Flow
Instruments
 

Balance Sheet Classification:

                 

Other assets and deferred charges

   $ 239       $ 210       $ 236       $ 267       $ 233       $ 238   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Asset subtotals

   $ 239       $ 210       $ 236       $ 267       $ 233       $ 238   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Long-term debt

   $ 239       $ —         $ —         $ 267       $ —         $ —     

Deferred income taxes and other

     —           —           20         —           —           18   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Liability subtotals

   $ 239       $ —         $ 20       $ 267       $ —         $ 18   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 
Fair Value Measurements (Tables)
Carrying Value Carrying Value Carrying Value Carrying Value
    July 31, 2011     January 31, 2011  
(Amounts in millions)   Carrying Value     Fair Value     Carrying Value     Fair Value  

Long-term debt, including amounts due within one year

  $ 47,025      $ 50,080      $ 45,347      $ 47,012   
     July 31, 2011     January 31, 2011  
(Amounts in millions)    Notional
Amount
     Fair
Value
    Notional
Amount
     Fair
Value
 

Receive fixed-rate, pay floating-rate interest rate swaps designated as fair value hedges

   $ 3,945       $ 239      $ 4,445       $ 267   

Receive fixed-rate, pay fixed-rate cross-currency interest rate swaps designated as net investment hedges

     1,250         210        1,250         233   

Receive floating-rate, pay fixed-rate interest rate swaps designated as cash flow hedges

     1,262         (20     1,182         (18

Receive fixed-rate, pay fixed-rate cross-currency interest rate swaps designated as cash flow hedges

     3,082         236        2,902         238   
  

 

 

    

 

 

   

 

 

    

 

 

 

Total

   $ 9,539       $ 665      $ 9,779       $ 720   
  

 

 

    

 

 

   

 

 

    

 

 

 
Accumulated Other Comprehensive Income (Loss) (Tables)
Composition Of Accumulated Other Comprehensive Income (Loss)
Currency Translation Currency Translation Currency Translation Currency Translation
(Amounts in millions)    Currency Translation
and Other
     Derivative
Instruments
    Minimum
Pension  Liability
    Total  

Balances - February 1, 2011

   $ 1,226       $ 60      $ (640   $ 646   

Currency translation adjustment

     753         —          —          753   

Net change in fair value of derivatives

     —           (113     —          (113
  

 

 

    

 

 

   

 

 

   

 

 

 

Balances - July 31, 2011

   $ 1,979       $ (53   $ (640   $ 1,286   
  

 

 

    

 

 

   

 

 

   

 

 

 
Share Repurchases (Tables)
Schedule Of Company's Share Repurchases

Share Repurchases

(millions, except per share data)

   Total Number of
Shares  Repurchased
   Average Price Paid per Share    Total Investment

Six months ended July 31, 2011

    65.4    $54.11    $3,540

Six months ended July 31, 2010

   135.6    $52.47    $7,112
Segments (Tables)
     Three Months Ended
July 31,
     Six Months Ended
July 31,
 
     2011      2010      2011      2010  

Net sales:

           

Walmart U.S.

   $ 64,893       $ 64,654       $ 127,562       $ 126,978   

Walmart International

     30,099         25,901         58,004         50,931   

Sam's Club

     13,646         12,461         26,487         24,204   
  

 

 

    

 

 

    

 

 

    

 

 

 

Total Company

   $ 108,638       $ 103,016       $ 212,053       $ 202,113   
  

 

 

    

 

 

    

 

 

    

 

 

 
     Three Months Ended
July  31,
    Six Months Ended
July 31,
 
     2011     2010     2011     2010  

Segment operating income:

        

Walmart U.S.

   $ 4,985      $ 4,881      $ 9,635      $ 9,496   

Walmart International

     1,415        1,299        2,511        2,382   

Sam's Club

     492        428        951        857   

Other

     (509     (418     (818     (808
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating income

   $ 6,383      $ 6,190      $ 12,279      $ 11,927   

Interest expense, net

     (578     (485     (1,096     (956
  

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations before income taxes

   $ 5,805      $ 5,705      $ 11,183      $ 10,971   
  

 

 

   

 

 

   

 

 

   

 

 

 
Common Stock Dividends (Tables)
Common Stock Dividends, Record Date And Payable Date
    

Record Date

      

Payable Date

     
  March 11, 2011     April 4, 2011   
  May 13, 2011     June 6, 2011   
  August 12, 2011     September 6, 2011   
  December 9, 2011     January 3, 2012   
Net Income Per Common Share (Details)†(USD $)
In Millions, except Per Share data
3 Months Ended
Jul.†31,
6 Months Ended
Jul.†31,
2011
2010
2011
2010
Net Income Per Common Share
Antidilutive stock options and share-based awards excluded from computation of diluted net income per common share
4†
19†
Income from continuing operations
$†3,937†
$†3,747†
$†7,515†
$†7,191†
Less consolidated net income attributable to noncontrolling interest
(136)1
(151)1
(287)2
(294)2
Income from continuing operations attributable to Walmart
$†3,801†
$†3,596†
$†7,228†
$†6,897†
Weighted-average common shares outstanding, basic
3,472†
3,696†
3,486†
3,730†
Dilutive impact of stock-based awards
13†
11†
15†
14†
Weighted-average common shares outstanding, diluted
3,485†
3,707†
3,501†
3,744†
Basic
$†1.09†
$†0.97†
$†2.07†
$†1.85†
Diluted
$†1.09†
$†0.97†
$†2.06†
$†1.84†
Receivables (Details)†(USD $)
In Millions
Jul. 31, 2011
Jul. 31, 2010
Receivables
Receivables net, of reserve for doubtful accounts
$†820†
$†460†
Reserve for doubtful accounts
$†84†
$†90†
Debt (Narrative) (Details)†(USD $)
In Billions, unless otherwise specified
6 Months Ended
Jul. 31, 2011
Aggregate net proceeds from note issuances
$†4.9†
Date of first repayment of long-term debt
October 15, 2011†
Repayment of debt, percentage of principal amount under normal conditions
100.00%†
364 Days Facility [Member] |
Revolving Credit Facility [Member]
Maximum borrowing capacity of credit facility
10.00†
364 Days Facility [Member] |
Revolving Credit Facility [Member] |
As Previously Reported [Member]
Maximum borrowing capacity of credit facility
9.00†
5-Year Facility [Member] |
Revolving Credit Facility [Member]
Maximum borrowing capacity of credit facility
6.30†
5-Year Facility [Member] |
Revolving Credit Facility [Member] |
As Previously Reported [Member]
Maximum borrowing capacity of credit facility
4.30†
Letter Of Credit [Member] |
As Previously Reported [Member]
Maximum borrowing capacity of credit facility
$†2.20†
Debt (Long-Term Debt Issuances) (Details)†(USD $)
6 Months Ended
Jul. 31, 2011
Long-term debt, Principal Amount
$†5,000,000,000†
1.625% Debt Due April 15, 2014 [Member]
Long-term debt, Issue Date
April 18, 2011†
Long-term debt, Maturity Date
Apr. 15, 2014†
Long-term debt, Interest Rate
1.625%†
Long-term debt, Principal Amount
1,000,000,000†
2.800% Debt Due April 15, 2016 [Member]
Long-term debt, Issue Date
April 18, 2011†
Long-term debt, Maturity Date
Apr. 15, 2016†
Long-term debt, Interest Rate
2.80%†
Long-term debt, Principal Amount
1,000,000,000†
4.250% Debt Due April 15, 2021 [Member]
Long-term debt, Issue Date
April 18, 2011†
Long-term debt, Maturity Date
Apr. 15, 2021†
Long-term debt, Interest Rate
4.25%†
Long-term debt, Principal Amount
1,000,000,000†
5.625% Debt Due April 15, 2041 [Member]
Long-term debt, Issue Date
April 18, 2011†
Long-term debt, Maturity Date
Apr. 15, 2041†
Long-term debt, Interest Rate
5.625%†
Long-term debt, Principal Amount
$†2,000,000,000†
Derivative Financial Instruments (Narrative) (Details)
6 Months Ended
Jul.†31,
Jul. 31, 2011
USD ($)
Jul. 31, 2011
JPY (•)
Jan. 31, 2011
JPY (•)
2011
Non-U.S. Denominated Debt [Member]
Net Investment Instruments [Member]
2011
Non-U.S. Denominated Debt [Member]
Cash Flow Instruments [Member]
2011
Fair Value Instruments [Member]
2011
Net Investment Instruments [Member]
2011
Cash Flow Instruments [Member]
Jul. 31, 2011
GBP [Member]
GBP (£)
Jan. 31, 2011
GBP [Member]
GBP (£)
Cash collateral held from counterparties
$†492,000,000†
Threshold of derivative liability position requiring cash collateral
150,000,000†
Debt designated as United Kingdom net investment hedge
3,000,000,000†
3,000,000,000†
Debt designated as Japanese net investment hedge
•†300,000,000,000†
•†300,000,000,000†
Instrument maturity date range start
August 2011†
September 2029†
April 2012†
October 2023†
August 2013†
Instrument maturity date range end
January 2039†
March 2034†
May 2014†
February 2030†
July 2015†
Derivative Financial Instruments (Balance Sheet Classification Of Financial Instruments) (Details)†(USD $)
In Millions
Jul. 31, 2011
Jan. 31, 2011
Jul. 31, 2010
Other assets and deferred charges
$†5,120†
$†4,129†
$†4,092†
Long-term debt
45,238†
40,692†
35,629†
Deferred income taxes and other
7,304†
6,682†
5,368†
Fair Value Instruments [Member]
Other assets and deferred charges
239†
267†
Asset subtotals
239†
267†
Long-term debt
239†
267†
Deferred income taxes and other
Liability subtotals
239†
267†
Net Investment Instruments [Member]
Other assets and deferred charges
210†
233†
Asset subtotals
210†
233†
Long-term debt
Deferred income taxes and other
Liability subtotals
Cash Flow Instruments [Member]
Other assets and deferred charges
236†
238†
Asset subtotals
236†
238†
Long-term debt
Deferred income taxes and other
20†
18†
Liability subtotals
$†20†
$†18†
Fair Value Measurements (Carrying Value And Fair Value Of Long-Term Debt) (Details)†(USD $)
In Millions
Jul. 31, 2011
Jan. 31, 2011
Fair Value Measurements
Long-term debt, including amounts due within one year, Carrying Value
$†47,025†
$†45,347†
Long-term debt, including amounts due within one year, Fair Value
$†50,080†
$†47,012†
Fair Value Measurements (Notional Amounts And Fair Values Of Interest Rate Swaps) (Details)†(USD $)
In Millions
Jul. 31, 2011
Jan. 31, 2011
Notional Amount
$†9,539†
$†9,779†
Fair Value Hedges [Member] |
Fixed-Rate Interest Rate Swaps [Member]
Notional Amount
3,945†
4,445†
Fair Value Hedges [Member] |
Fixed-Rate Interest Rate Swaps [Member] |
Fair Value, Inputs, Level 2 [Member]
Fair Value
239†
267†
Net Investment Hedges [Member] |
Cross-Currency Interest Rate Swaps [Member]
Notional Amount
1,250†
1,250†
Net Investment Hedges [Member] |
Cross-Currency Interest Rate Swaps [Member] |
Fair Value, Inputs, Level 2 [Member]
Fair Value
210†
233†
Cash Flow Hedges [Member] |
Cross-Currency Interest Rate Swaps [Member]
Notional Amount
3,082†
2,902†
Cash Flow Hedges [Member] |
Cross-Currency Interest Rate Swaps [Member] |
Fair Value, Inputs, Level 2 [Member]
Fair Value
236†
238†
Cash Flow Hedges [Member] |
Floating-Rate Interest Rate Swaps [Member]
Notional Amount
1,262†
1,182†
Cash Flow Hedges [Member] |
Floating-Rate Interest Rate Swaps [Member] |
Fair Value, Inputs, Level 2 [Member]
Fair Value
(20)
(18)
Fair Value, Inputs, Level 2 [Member]
Fair Value
$†665†
$†720†
Accumulated Other Comprehensive Income (Loss) (Details)†(USD $)
3 Months Ended
Jul.†31,
6 Months Ended
Jul.†31,
2011
2010
2011
2010
Balances - February 1, 2011
$†646,000,000†
Currency translation adjustment
753,000,000†
Net change in fair value of derivatives
65,000,000†
(108,000,000)
(113,000,000)
(25,000,000)
Balances - July 31, 2011
1,286,000,000†
(1,099,000,000)
1,286,000,000†
(1,099,000,000)
Net translation gain (loss) related to net investment hedges
(1,400,000,000)
(1,400,000,000)
Accumulated comprehensive income (loss) to earnings from remeasurements of non U.S-denominated debt
111,000,000†
111,000,000†
Currency Translation And Other [Member]
Balances - February 1, 2011
1,226,000,000†
Currency translation adjustment
753,000,000†
Net change in fair value of derivatives
Balances - July 31, 2011
1,979,000,000†
1,979,000,000†
Derivative Instruments [Member]
Balances - February 1, 2011
60,000,000†
Currency translation adjustment
Net change in fair value of derivatives
(113,000,000)
Balances - July 31, 2011
(53,000,000)
(53,000,000)
Minimum Pension Liability [Member]
Balances - February 1, 2011
(640,000,000)
Currency translation adjustment
Net change in fair value of derivatives
Balances - July 31, 2011
$†(640,000,000)
$†(640,000,000)
Share Repurchases (Narrative) (Details)†(USD $)
In Billions
4 Months Ended
Jun. 2, 2011
2010 Share Repurchase Program [Member]
6 Months Ended
Jul. 31, 2011
2011 Share Repurchase Program [Member]
Share repurchase program, authorized amount
$†15.0†
$†15.0†
Share repurchase program, remaining authorized repurchase amount
$†2.1†
Share Repurchases (Schedule Of Company's Share Repurchases) (Details)†(USD $)
In Millions, except Per Share data
6 Months Ended
Jul.†31,
2011
2010
Share Repurchases
Total Number of Shares Repurchased
65.4†
135.6†
Average Price Paid per Share
$†54.11†
$†52.47†
Total Investment
$†3,540†
$†7,112†
Legal Proceedings (Details)†(USD $)
In Millions
6 Months Ended
Jul. 31, 2011
0 Months Ended
Nov. 14, 2007
Braun/Hummel Lawsuit [Member]
Oct. 13, 2006
Braun/Hummel Lawsuit [Member]
Jury award
$†78†
Litigation settlement, gross
$†188†
Rate of post judgment interest accrual
six percent per annum†
Acquisitions (Narrative) (Details)
Jul. 31, 2011
Stores In South Africa [Member]
Massmart Holdings Limited [Member]
6 Months Ended
Jul. 31, 2011
Stores In Sub-Saharan African Countries [Member]
Massmart Holdings Limited [Member]
Feb. 28, 2007
Initial Interest [Member]
Bounteous Company Limited [Member]
USD ($)
Feb. 28, 2007
Additional Consideration [Member]
Bounteous Company Limited [Member]
USD ($)
Apr. 30, 2011
Netto Food Stores Limited [Member]
USD ($)
Apr. 30, 2011
Netto Food Stores Limited [Member]
GBP (£)
Jun. 30, 2011
Massmart Holdings Limited [Member]
ZAR (R)
Jun. 30, 2011
Massmart Holdings Limited [Member]
USD ($)
Feb. 28, 2007
Bounteous Company Limited [Member]
Ownership percentage
51.00%†
51.00%†
35.00%†
Cost of acquisition
$†264,000,000†
$†376,000,000†
Additional percentage of voting interests acquired through share-repurchase program
30.00%†
Purchase price
1,200,000,000†
750,000,000†
16,900,000,000†
2,500,000,000†
Assets acquired
1,300,000,000†
6,400,000,000†
Goodwill
748,000,000†
3,500,000,000†
Liabilities assumed
103,000,000†
1,900,000,000†
Non-controlling interest
$†2,000,000,000†
Number of stores
290†
147†
147†
Number of countries with operations
13†
Segments (Segment Net Sales) (Details)†(USD $)
In Millions
3 Months Ended
Jul.†31,
6 Months Ended
Jul.†31,
2011
2010
2011
2010
Net sales
$†108,638†
$†103,016†
$†212,053†
$†202,113†
Walmart U.S. [Member]
Net sales
64,893†
64,654†
127,562†
126,978†
Walmart International [Member]
Net sales
30,099†
25,901†
58,004†
50,931†
Sam's Club [Member]
Net sales
$†13,646†
$†12,461†
$†26,487†
$†24,204†
Segments (Segment Operating Income, Income Expense, Net And Income From Continuing Operations Before Income Taxes) (Details)†(USD $)
In Millions
3 Months Ended
Jul.†31,
6 Months Ended
Jul.†31,
2011
2010
2011
2010
Operating income
$†6,383†
$†6,190†
$†12,279†
$†11,927†
Interest expense, net
(578)
(485)
(1,096)
(956)
Income from continuing operations before income taxes
5,805†
5,705†
11,183†
10,971†
Walmart U.S. [Member]
Operating income
4,985†
4,881†
9,635†
9,496†
Walmart International [Member]
Operating income
1,415†
1,299†
2,511†
2,382†
Sam's Club [Member]
Operating income
492†
428†
951†
857†
Other [Member]
Operating income
$†(509)
$†(418)
$†(818)
$†(808)
Common Stock Dividends (Narrative) (Details)
3 Months Ended
Jul.†31,
6 Months Ended
Jul.†31,
2011
2010
2011
2010
Common Stock Dividends
Annual dividend approved by Board of Directors for 2012
$†1.46†
$†1.21†
Percent increase over 2011 dividend
21.00%†
21.00%†
Installments of annual dividend expected to be paid in fiscal 2012
4†
Common Stock Dividends (Common Stock Dividends, Record Date And Payable Date) (Details)
3 Months Ended
Oct. 31, 2011
3 Months Ended
Jul. 31, 2011
3 Months Ended
Apr. 30, 2011
6 Months Ended
Jul. 31, 2011
Common Stock Dividends
Dividends Payable, Date Of Record, Month, Day And Year
Aug. 12, 2011†
May 13, 2011†
Mar. 11, 2011†
Dec. 09, 2011†
Dividends Payable, Date To Be Paid, Month, Day And Year
Sep. 06, 2011†
Jun. 06, 2011†
Apr. 04, 2011†
Jan. 03, 2012†