Annual report pursuant to Section 13 and 15(d)

SHAREHOLDERS' EQUITY

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SHAREHOLDERS' EQUITY
 12 Months Ended
Jan. 28, 2012
Shareholders' equity: [Abstract]  
SHAREHOLDERS' EQUITY [Text Block]
NOTE 7 - SHAREHOLDERS' EQUITY

Preferred Stock
The Company is authorized to issue 10,000,000 shares of Preferred Stock, $0.01 par value per share.  No preferred shares are issued and outstanding at January 28, 2012 and January 29, 2011.

Net Income Per Share
The following table sets forth the calculation of basic and diluted net income per share:
 
   
Year Ended
  
   
January 28,
    
January 29,
    
January 30,
  
(in millions, except per share data)
  
2012
    
2011
    
2010
  
Basic net income per share:
                  
  Net income
   $ 488.3     $ 397.3     $ 320.5  
  Weighted average number of shares
                        
    outstanding
     120.3       127.1       134.1  
                         
  Basic net income per share
   $ 4.06     $ 3.13     $ 2.39  
                         
Diluted net income per share:
                        
  Net income
   $ 488.3     $ 397.3     $ 320.5  
  Weighted average number of shares
                        
    outstanding
     120.3       127.1       134.1  
  Dilutive effect of stock options and
                        
    restricted stock (as determined by
                        
    applying the treasury stock method)
     0.9       0.9       0.9  
  Weighted average number of shares and
                        
    dilutive potential shares outstanding
     121.2       128.0       135.0  
                         
  Diluted net income per share
   $ 4.03     $ 3.10     $ 2.37  
 
At January 28, 2012, January 29, 2011 and January 30, 2010, substantially all of the stock options outstanding were included in the calculation of the weighted average number of shares and dilutive potential shares outstanding.
 
Share Repurchase Programs

The Company repurchases shares on the open market and under Accelerated Share Repurchase agreements.

On the open market, the Company repurchased 2.6 million shares for $145.9 million in fiscal 2011.  The Company repurchased 4.3 million shares for $214.7 million in fiscal 2010.  The Company repurchased 6.4 million shares for $193.1 million in fiscal 2009.  At January 28, 2012, the Company had $1.2 billion remaining under Board authorization.

On November 21, 2011, the Company entered into an agreement to repurchase $300.0 million of the Company’s common shares under a “collared” Accelerated Share Repurchase Agreement (ASR).  Under this agreement, the Company initially received 3.4 million shares through December 13, 2011, representing the minimum number of shares to be received based on a calculation using the “cap” or high-end of the price range of the “collar.”  The Company may receive a maximum of 3.8 million shares under the agreement.  The number of shares is determined based on the weighted average market price of the Company’s common stock, less a discount, during a specified period of time.  The weighted average market price through January 28, 2012 as defined in the “collared” agreement was $83.27.  Therefore, if the transaction had settled on January 28, 2012, the Company would have received an additional 0.4 million shares under the “collared” agreement.  Based on the applicable accounting literature, these additional shares were not included in the weighted average diluted earnings per share calculation because their effect would be antidilutive.  Based on the hedge period reference price of $80.37, there is approximately $27.3 million of the $300.0 million related to the agreement, as of January 28, 2012, that is recorded as a reduction to shareholders’ equity pending final settlement of the agreement.  The ASR is expected to be completed in the first quarter of 2012.

On August 24, 2011, the Company entered into an agreement to repurchase $200.0 million of the Company’s common shares under a “collared” ASR.  Under this agreement, the Company initially received 2.6 million shares through September 2, 2011, representing the minimum number of shares to be received based on a calculation using the “cap” or high-end of the price range of the “collar.”  The ASR concluded on November 15, 2011 and the Company received an additional 0.1 million shares under the “collared” agreement resulting in 2.7 million total shares being repurchased under this ASR.  The number of shares is determined based on the weighted average market price of the Company’s common stock, less a discount, during a specified period of time.

On March 19, 2010, the Company entered into an agreement to repurchase $200.0 million of the Company’s common shares under a “collared” ASR.  Under this agreement, the Company initially received 4.6 million shares through March 31, 2010, representing the minimum number of shares to be received based on a calculation using the “cap” or high-end of the price range of the collar.  The ASR concluded on August 6, 2010 and the Company received an additional 0.4 million shares under the “collared” agreement resulting in 5.0 million total shares being repurchased under this ASR.  The number of shares is determined based on the weighted average market price of the Company’s common stock, less a discount, during a specified period of time.