Important factors that may affect the Company's business and operations and that may cause actual results
to differ materially
from those in the forward - looking statements include, but are not limited
to, operating in a highly competitive industry; changes in the retail landscape or the loss of key retail customers; the Company's ability
to maintain, extend and expand its reputation and brand image; the impacts of the Company's international operations; the Company's ability
to leverage its brand value; the Company's ability
to predict, identify and interpret changes in consumer preferences and demand; the Company's ability
to drive revenue growth in its key product categories, increase its market share, or add products; an impairment of the carrying value of goodwill or other indefinite - lived intangible assets; volatility in commodity, energy and other input costs; changes in the Company's management team or other key personnel; the Company's ability
to realize the anticipated benefits
from its cost savings initiatives; changes in relationships with significant customers and suppliers; the execution of the Company's international expansion strategy;
tax law changes or interpretations; legal claims or other regulatory enforcement actions; product recalls or product liability claims; unanticipated business disruptions; the Company's ability
to complete or realize the benefits
from potential and completed acquisitions, alliances, divestitures or joint ventures; economic and political conditions in the United
States and in various other nations in which we operate; the volatility of capital markets; increased pension, labor and people - related expenses; volatility in the market value of all or a portion of the derivatives we use; exchange rate fluctuations; risks associated with information technology and systems, including service interruptions, misappropriation of data or breaches of security; the Company's ability
to protect intellectual property rights; impacts of natural events in the locations in which we or the Company's customers, suppliers or regulators operate; the Company's indebtedness and ability
to pay such indebtedness; the Company's ownership structure; the impact of future sales of its common stock in the public markets; the Company's ability
to continue
to pay a regular dividend; changes in laws and regulations; restatements of the Company's consolidated financial statements; and other factors.
(6) Federal,
state and local income
taxes during fiscal 2017
differed from the company's federal income
tax statutory rate of 33.7 % primarily due
to federal
tax reform that led
to the recognition of a non-cash
tax benefit of $ 571 million, or $ 1.86 per diluted share attributable
to Macy's, Inc., associated with the re-measurement of the company's deferred
tax balances.
Our effective
tax rate
differs from statutory rates primarily due
to our pass - through entity structure for U.S. income
tax purposes, while being treated as taxable in certain
states and various foreign countries as well as for certain subsidiaries.