Sales by Business Segment
The Company’s comparable store sales and net sales by division, in the first quarter, were as follows:
|First Quarter||First Quarter|
|Comparable Store Sales 1||Net Sales ($ in millions) 2,3|
|In the U.S.:|
1Comparable store sales outside the U.S. calculated on a constant currency basis, which removes the effect of changes in currency exchange rates. 2Sales in Canada and Europe were impacted by foreign currency exchange rates. See below. 3Figures may not foot due to rounding. 4Combination of T.J. Maxx and Marshalls. 5Includes the former A.J. Wright segment, which had net sales of $9 million in Q1FY12.
Impact of Foreign Currency Exchange RatesChanges in foreign exchange rates affect the translation of sales and earnings of the Company’s international businesses into U.S. dollars for financial reporting purposes. In addition, ordinary-course inventory-related hedging instruments are marked to market at the end of each quarter. Changes in currency exchange rates affect the magnitude of these translations and adjustments, and can have a material impact when there is significant volatility in currency exchange rates.