Kohl's 2014 Annual Report Download - page 18

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Table of Contents
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Our current expectations for 2015 are as follows:
Total sales Increase 1.8 - 2.8%
Comparable sales Increase 1.5 - 2.5%
Gross margin as a percent of sales Increase 0 - 20 bps
SG&A Increase 1.5 - 2.5%
Depreciation $940 million
Interest $335 million
Effective tax rate 37%
Earnings per diluted share $4.40 - $4.60
Capital expenditures $800 million
Share repurchases:
Total repurchases $1 billion
Cost per share $70.00
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Net Sales.
As our omni-channel strategy continues to mature, it is increasingly difficult to distinguish between a "store" sale and an "E-Commerce" sale. Our
website increases store sales as in-store customers have often pre-shopped on-line before shopping in the store. Below is a list of some omni-channel
examples:
• Stores increase on-line sales by providing customers opportunities to view, touch and/or try on physical merchandise before ordering on-line.
• On-line purchases can easily be returned in our stores.
• Kohl's Cash coupons and Yes2You rewards can be earned and redeemed on-line or in store regardless of where they were earned.
• In-store customers can order from on-line kiosks in our stores.
• Order on-line and pick-up in store is available in approximately 100 stores and is expected to be available in all stores by the second quarter of
2015.
• Customers who utilize our mobile app while in the store may receive mobile coupons to use when they check out.
• On-line orders may be shipped from a dedicated E-Commerce fulfillment center, a store, a retail distribution center, direct ship vendors or any
combination of the above.
Because we no longer have a clear distinction between "store" sales and "E-Commerce" sales, we do not separately report E-Commerce sales.
Comparable sales include sales for stores (including relocated or remodeled stores) which were open during both the current and prior year periods. We
also include omni-channel sales in our comparable sales.
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