Professional Documents
Culture Documents
Fiscal 2015
WELCOME
A MESSAGE FROM KEVIN MANSELL
Times have certainly changed since we opened our first store in Brookfield,
Wisconsin back in 1962. Today, Kohls operates more than 1,100 family-oriented
department stores and a website (www.Kohls. com). Our stores are stocked
with quality national and exclusive brands, offering everything our customers
need for themselves, their families and their homes.
While a lot has changed over the past 50 years, some very important things have
not. We remain just as committed to our customers, our associates and to our
communities as we did when we opened our first store in 1962. Since our initial
public offering in 1992, we are also committed to delivering shareholder value.
Our purpose is clear to inspire and empower families to lead fulfilled lives. As
we set out on our path forward, our Greatness Agenda, we are also committed
to our goal of becoming the most engaging retailer in America through our
five strategic pillars ideas fundamental to the way we do business amazing
product, incredible savings, easy experience, personalized connections and
winning teams.
Legal Disclaimer
This Fact Book is intended to provide background information on Kohls Corporation. It should be read in conjunction with the companys news releases and filings with the U.S. Securities
and Exchange Commission (SEC). These are available on the SEC website at www.sec.gov, from commercial document retrieval services, and on our corporate website at www.Kohlscorporation.com.
This Fact Book contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Kohls intends forward-looking terminology such as believes,
expects, may, will, should, anticipates, plans, or similar expressions to identify forward-looking statements. Such statements are subject to certain risks and uncertainties, which could cause
Kohls actual results to differ materially from those anticipated by the forward-looking statements. These risks and uncertainties include, but are not limited to, those described in Item 1A in Kohls
Annual Report on Form 10-K, which is expressly incorporated herein by reference, and other factors as may periodically be described in Kohls filings with
the SEC. Forward-looking statements in this Fact Book will not be updated so it is possible that such material is no longer current.
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
TABLE OF
CONTENTS
About Kohls...........................................................................................4
Corporate Milestones.........................................................................6
Lifestyle Matrix...................................................................................... 7
Private & Exclusive Brands...............................................................8
Real Estate.............................................................................................12
Financials.............................................................................................. 13
Capital Management......................................................................... 16
Social Awareness................................................................................17
Sustainability Program..................................................................... 18
Executive Biographies..................................................................... 20
Board of Directors..............................................................................21
Corporate Information.....................................................................22
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
ABOUT KOHLS
Merchandise Mix
Footwear 9%
Accessories 10%
Womens 30%
Mens 20%
Home 18%
Childrens 13%
Brand Mix
National 52%
Private
& Exclusive 48%
Classic 34%
Modern
Classic
41%
Contemporary 25%
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
Amazing Product:
Creating assortments
that excite our customers
Incredible Savings:
Helping every customer
get even more from
every dollar
Easy Experience:
Designing simple, easy
experiences that inspire
customers
Personalized Connections:
Understanding our
customers deeply to
build genuine, enduring
relationships
Accelerate Personalization as
a key competitive advantage
across all customer
experience touch points:
Make it personal.
Winning Teams:
Building teams of
engaged, talented,
results-oriented people
who are empowered to
deliver yes
Be famous for engaging,
developing and recognizing
great teams.
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
CORPORATE MILESTONES
1962
est supermarket chain in the Milwaukee area, Max Kohl opened the first
Kohls Department Store in Brookfield, Wisconsin. Kohls was positioned
between the higher-end department stores and the discounters, selling
everything from candy to engine oil to sporting equipment.
1975
1978
1980
1983
Pacific Tea Company (A&P). A&P closed the Kohls food stores in 2003.
1986
poration and acquired Kohls Department Stores from BATUS, Inc. At that
time, there were 40 stores with annual sales of $300 million and over 5,000
Associates.
1987
1968
2000
2000 Our stock split two for one in April.
2001 The introduction of Kohls.com brought online shopping
to our customers, providing the added convenience of shopping from
home.
2004
2008
2010
names recognized for quality setting the company apart from mass
1988
1992
2011
2012
2014
2015
2015
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
%TOTAL
BEST
CONTEMPORARY
20%
BETTER
MODERN CLASSIC
30%
GOOD
CLASSIC
50%
%TOTAL
35%
40%
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
25%
Childrens
2005
Footwear
2005
Home
2006
Mens
Womens
2004
2004
1988
1989
1998
1988
1992
2008
2009
2007
2007
2007
1995
1994
1995
2010
2008
2007
1995
1994
1994
2000
2003
1999
2004
2004
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
Childrens
Footwear
Home
2006
2005
2006
2006
2006
2006
2006
2007
2009
2009
2009
2009
2009
2008
Mens
Womens
2005
2005
2006
2009
2010
2008
2007
2008
2008
2007
2011
2011
2011
2011
2014
2014
2014
2014
2011
2011
2009
2011
2009
2009
2009
2012
2012
2012
2007
2007
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
2011
2009
2012
2007
2012
2007
245
24
2
45
4
5
306
3
156
115
56
5
6
115
5
115
151
51
51
1164 Stores
49 States
Capital Investments
Over the past 7 years, our capital investments have shifted from building new stores to continuously improving our customers shopping
experience. Whether its new merchandise presentation and brand roll-outs, an improved check-out experience or an easier on-line
shopping experience, our investments are designed to provide an exciting, easy, personalized shopping experience.
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
10
State
Alabama
Distribution
Centers
Employees
State
Stores
Nebraska
Distribution
Centers
Employees
14
1,200
100
26
2,600
Arkansas
California
125
Colorado
24
2,700
New York
51
Connecticut
22
2,500
North Carolina
31
3,300
700
North Dakota
300
Florida
53
5,100
Georgia
35
Alaska
Arizona
Delaware
11
Stores
Idaho
Illinois
67
Indiana
800
Nevada
12
1,200
New Hampshire
10
1,000
700
New Jersey
38
5,200
13,900
New Mexico
500
3,900
500
Ohio
58
7,800
8,600
Oklahoma
11
1,200
Oregon
11
900
8,100
Pennsylvania
50
6,100
38
4,400
Rhode Island
400
Iowa
18
1,700
South Carolina
16
1,500
Kansas
12
1,200
South Dakota
400
Kentucky
17
1,900
Tennessee
20
2,100
Louisiana
1,200
Texas
84
Maine
500
Utah
12
1,100
100
2,500
Vermont
26
3,000
Virginia
Michigan
45
5,200
Washington
Minnesota
26
3,100
Mississippi
400
Maryland
23
Massachusetts
Missouri
27
Montana
30
9,100
3,400
19
1,800
700
Wisconsin
40
10,500
3,800
Wyoming
200
900
Total
West Virginia
1164
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
13
140,000
REAL ESTATE
Number of Stores
Q1
Q2
Q3
Q4
2011
1,097
1,097
1,127
1,127
2012
1,134
1,134
1,146
1,146
2013
1,155
1,155
1,158
1,158
2014
1,160
1,160
1,163
1,162
2015
1,164
1,164
1,166
1,164
Selling
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
96,380
96,380
98,463
98,463
80,597
80,597
82,223
82,223
83,098
2012
98,883
98,883
99,567
99,567
82,549
82,549
83,098
2013
100,107
100,107
100,275
100,275
83,536
83,536
83,671
83,671
2014
100,340
100,340
100,494
100,394
83,715
83,715
83,833
83,758
2015
100,507
100,507
100,619
100,427
83,849
83,849
83,942
83,784
Stores by Region
Mid Atlantic
Midwest
Northeast
2011
110
300
147
2012
113
301
153
2013
115
306
155
2014
115
306
2015
115
306
South Central
Southeast
West
143
183
244
1,127
146
188
245
1,146
148
189
245
1,158
155
151
191
244
1,162
156
151
191
245
1,164
Total
Owned
Leased
Total
Owned
Leased
2011
403
724
1,127
36%
64%
100%
2012
407
739
1,146
36%
64%
100%
2013
412
746
1,158
35%
65%
100%
2014
413
749
1,162
36%
64%
100%
2015
414
750
1,164
36%
64%
100%
Total
Stores by Location
Small
Total
Strip Center
Malls
Freestanding
Total
2011
992
135
1,127
764
83
280
1,127
2012
992
154
1,146
771
85
290
1,146
2013
993
165
1,158
777
85
296
1,158
2014
988
174
1,162
780
85
297
1,162
2015
986
178
1,164
782
85
297
1,164
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
12
FINANCIALS
13
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
FINANCIALS
($ in Millions, except per share info)
Quarterly Operating Results
Net sales
Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
$6,387
$4,427
$4,267
$4,123
$6,337
Net income
$296
$120
$130
$127
$369
$1.58
$0.63
$0.66
$0.63
$1.83
$0.45
$0.45
$0.45
$0.45
$0.39
2015
2014
2013
2012(a)
2011
$19,204
$19,023
$19,031
$19,279
$18,804
12,265
12,098
12,087
12,289
11,625
4,452
4,350
4,313
4,267
4,243
934
886
889
833
778
1,553
1,689
1,742
1,890
2,158
327
340
338
329
299
169
1,057
1,349
1,404
1,561
1,859
384
482
515
575
692
$673
$867
$889
$986
$1,167
$3.48
$4.28
$4.08
$4.19
$4.33
Diluted
$3.46
$4.24
$4.05
$4.17
$4.30
$1.80
$1.56
$1.40
$1.28
$1.00
1.0%
0.0%
(1.3%)
2.5%
2.2%
0.7%
(0.3%)
(1.2%)
0.3%
0.5%
$228
$226
$227
$231
$232
36.1%
36.4%
36.5%
36.3%
38.2%
8.1%
8.9%
9.2%
9.8%
11.5%
11.8%
14.7%
14.8%
15.8%
16.4%
1,474
2,024
1,884
1,265
2,139
690
682
643
785
927
83,810
83,750
83,671
83,098
82,226
Capital expenditures
Total square feet of selling space (in thousands)
Number of stores
1,164
1,162
1,158
1,146
1,127
Working capital
$2,362
$2,721
$2,412
$2,061
$2,111
Total assets
13,606
14,333
14,228
13,761
14,021
2,792
2,780
2,777
2,478
2,128
1,916
1,968
2,069
2,061
2,103
Shareholders' equity
5,491
5,991
5,978
6,048
6,508
$781
$867
$889
$986
$1,167
$4.01
$4.24
$4.05
$4.17
$4.30
13.5%
14.7%
14.8%
15.8%
16.4%
Long-term debt
(a) Fiscal 2012 was a 53 week year. During the 53rd week, total sales were $169 million; selling, general and administrative expenses were approximately $30 million; interest was
approximately $2 million; net income was approximately $15 million and diluted earnings per share was approximately $0.06.
(b) Comparable sales growth is based on sales for stores (including relocated or remodeled stores) which were open throughout both the full current and prior year periods and
E-Commerce. Fiscal 2012 excludes the 53rd week.
(c) Net Sales per selling square foot is based on stores open for the full current period and omni-channel. 2012 excludes the impact of the 53rd week.
(d) Average shareholders equity is based on a 5-quarter average.
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
14
FINANCIALS
Quarter
Q1
Q3
Q4
Q1
Year-to-Date
Q2
Q3
4,248
4,205
4,289
4,242
4,267
4,376
4,490
4,444
4,374
4,427
6,018
6,342
6,099
6,337
6,387
4,162
4,243
4,199
4,070
4,123
8,410
8,447
8,488
8,312
8,390
12,786
12,937
12,932
12,686
12,817
18,804
19,279
19,031
19,023
19,204
3.6%
(1.0%)
2.0%
(1.1%)
0.6%
3.8%
2.6%
(1.0%)
(1.6%)
1.2%
(0.3%)
5.4%
(3.8%)
3.9%
0.8%
3.1%
1.9%
(1.0%)
(3.1%)
1.3%
3.4%
0.4%
0.5%
(2.1%)
0.9%
3.5%
1.2%
%
(1.9%)
1.0%
2.5%
(1.3%)
0.0%
1.0%
2.1%
1.1%
(1.6%)
(1.8%)
1.0%
( 2.1%)
1.9%
(2.0%)
3.7%
0.4%
1.3%
0.2%
(1.9%)
(3.4%)
1.4%
1.6%
(1.3%)
(0.5%)
(2.3%)
0.8%
1.7%
(0.5%)
(0.9%)
(2.2%)
0.8%
(0.5%)
0.3%
(1.2%)
(0.3%)
0.7%
Q2
Q4
4,162
4,243
4,199
4,070
4,123
3.1%
1.9%
(1.0%)
(3.1%)
1.3%
2.2%
1.3%
0.2%
(1.9%)
(3.4%)
1.4%
1.9%
(2.7%)
0.9%
(1.3%)
0.1%
15
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
CAPITAL MANAGEMENT
Our disciplined approach to capital management has resulted in
a strong balance sheet and our ability to generate free cash flow
$2,582
$271
Dividends
We paid our first quarterly dividend in February 2011. This dividend
$2,311
has increased each year from 25 cents per common share in 2011,
$1,593
$1,350
$300
$1,293
$1,101
Share Repurchases
$302
$799
$349
$994
$317
$1,001
$677
2011
2012
2014
2013
Share Repurchases
2015
Dividends
ROI
Return on Gross Investment (ROI)*
is calculated as
$302
earnings before interest, taxes, depreciation, amortization and rent
18.8%
2011
2012
15.5%
15.2%
14.5%
2013
2014
2015
Debt to EBITDAR
Adjusted Debt to EBITDAR*
2.42
2.45
2013
2014
2.52
2.23
1.99
rating and to operate with an efficient capital structure for our size,
growth plans and industry.
2011
2012
2015
* For additional details regarding how we calculate these non-GAAP financial measures, see our Annual Report on Form 10-K.
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
16
SOCIAL AWARENESS
17
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
SUSTAINABILITY PROGRAMS
At Kohls, we are committed to protecting and conserving the environment
Sustainable Operations
simple actions such as recycling or turning off the lights, weve kept
conservation, we carefully manage the energy used to light, heat and cool
432
Sustainable Supply Chain
beyond our four walls to the external partners in our supply chain.
overall efficiency.
Key Partnerships - As stewards of sustainable operations, we seek
Merchandise Vendors - Our commitment to supply chain sustain-
ity now includes analysis of our 325 national brand vendors and 74
18
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
SUSTAINABILITY PROGRAM
Responsible Sourcing
Kohls holds all of our vendor partners to our terms of engagement for
Stakeholder Engagement
ship with these core groups is vital to the success of our sustainability
our passion for environmental sustainability and apply what they have
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
19
EXECUTIVE BIOGRAPHIES
KEVIN MANSELL
Chairman, Chief Executive Officer and President
Kevin Mansell, Chairman, Chief Executive Officer and President, is responsible for Kohls long term growth and profitability
along with strategic direction.
Mr. Mansell has held a number of progressive positions within the company. He joined Kohls in 1982 as a divisional
merchandise manager and was promoted to general merchandise manager in 1987. Over the next nine years, his
responsibilities expanded to include merchandise planning and allocation. Mansell was promoted to senior executive vice
president of merchandising and marketing in 1998. The following year, Mansell was named president and director. He was
promoted to Kohls CEO in 2008 and named Chairman of the Board in 2009. Mansell began his career in retail in 1975, joining
the Venture Store division of May Department Stores, where he held a variety of positions in buying and merchandising.
SONA CHAWLA
Chief Operating Officer
Sona Chawla, chief operating officer, is responsible for Kohls full omnichannel operations. She oversees all store operations,
logistics and supply chain network, information and digital technology, e-commerce strategy, planning and operations, and
store construction and design.
Chawla joined Kohls in November 2015. Prior to joining Kohls, Chawla spent seven years with Walgreens in a variety
of senior leadership roles including president of e-commerce. Most recently, Chawla was president of digital and chief
marketing officer. She has also held executive positions with Dell, Inc. and Wells Fargos Internet Services Group. Chawla
also worked at Andersen Consulting and Mitchell Madison Group.
MICHELLE GASS
Chief Merchandising and Customer Officer
Michelle Gass, chief merchandising and customer officer, is responsible for all of Kohls merchandising, planning and allocation,
and product development functions as well as the companys overall customer engagement strategy, including marketing,
public relations, social media and philanthropic efforts.
Gass joined Kohls in 2013 as chief customer officer and was named chief merchandising and customer officer in 2015.
Prior to joining Kohls, Gass spent more than 16 years with Starbucks Corporation holding a variety of leadership roles across
marketing, global strategy and merchandising. In her most recent role, she served as president, Starbucks Europe, Middle East,
and Africa, overseeing and growing the companys 1,900 owned and licensed store operations across the region.
WESLEY MCDONALD
Chief Financial Officer
Wesley McDonald, chief financial officer, oversees Kohls financial planning and analysis, investor relations, financial
reporting, accounting operations, tax, treasury, non-merchandise purchasing, credit, and capital investment strategies.
McDonald joined Kohls in 2003 as executive vice president, chief financial officer and was promoted to senior executive
vice president, chief financial officer in 2010. Over the last 13 years, he has been instrumental in leading Kohls financial
portfolio and delivering dividends to shareholders. He was promoted to the principal officer position of chief financial
officer in 2015. Prior to joining Kohls, McDonald, a 26-year retail industry veteran, was chief financial officer with
Abercrombie & Fitch and held leadership positions with Target Corporation.
RICHARD SCHEPP
Chief Administrative Officer
Richard Schepp, chief administrative officer, oversees Kohls human resources, legal, risk management and compliance,
real estate and business development functions.
Schepp joined Kohls in 2000 as senior vice president, general counsel/secretary. He was promoted to executive vice
president in 2001 and senior executive vice president in 2011. In 2013, he became senior excutive vice president, human
resources, general counsel/secretary. He was promoted to the principal officer position of chief administrative officer in
2015. Prior to joining Kohls, Schepp, a 23-year retail veteran, served as senior vice president, general counsel/secretary
for Shopko. He began his career as an attorney for Quarles & Brady, LLP.
20 INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
BOARD OF DIRECTORS
Kevin Mansell
Kohls Corporation
Managing Partner
Tailwind Capital
(a)
(b)
(c)
Denotes Chair
INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440
21
CORPORATE INFORMATION
Exchange/Symbol
Kohls Corporation common stock is traded on the New York Stock Exchange under the symbol KSS.
SIC Code
5310
Independent Auditors
Ernst & Young LLP
Milwaukee, Wisconsin
Corporate Headquarters
Kohls Department Stores
N56 W17000 Ridgewood Drive
Menomonee Falls, WI 53051
Phone: (262) 703-7000
Contacts
Investor Relations
Media Relations
E-mail: Investor.Relations@Kohls.com
Upcoming Events
For a listing of upcoming events, including earnings releases and our Annual Meeting of Shareholders,
please visit our Web site at www.KohlsCorporation.com
22 INVESTOR RELATIONS | N56 W17000 RIDGEWOOD DRIVE | MENOMONEE FALLS, WISCONSIN 53051 | 262.703.1440