Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | |
Aug. 31, 2013 | Nov. 06, 2013 | |
Document Information [Line Items] | ' | ' |
Entity Registrant Name | 'CHS Inc. | ' |
Entity Central Index Key | '0000823277 | ' |
Current Fiscal Year End Date | '--08-31 | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Document Type | '10-K | ' |
Document Period End Date | 31-Aug-13 | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q4 | ' |
Amendment Flag | 'false | ' |
Entity Common Stock, Shares Outstanding | ' | 0 |
Entity Well-known Seasoned Issuer | 'No | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Public Float | $0 | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current assets [Abstract] | ' | ' |
Cash and cash equivalents | $1,808,532 | $314,029 |
Receivables | 3,270,311 | 3,590,742 |
Inventories | 2,664,735 | 3,203,972 |
Derivative assets | 499,890 | 1,071,778 |
Margin deposits | 340,905 | 1,138,535 |
Other current assets | 326,387 | 347,970 |
Total current assets | 8,910,760 | 9,667,026 |
Investments | 765,946 | 673,388 |
Property, plant and equipment | 3,171,404 | 2,786,324 |
Other assets | 656,160 | 518,286 |
Total assets | 13,504,270 | 13,645,024 |
Current liabilities [Abstract] | ' | ' |
Notes payable | 889,312 | 803,622 |
Current portion of long-term debt | 156,612 | 108,211 |
Current portion of mandatorily redeemable noncontrolling interest | 65,981 | 65,981 |
Customer margin deposits and credit balances | 299,364 | 808,047 |
Customer advance payments | 432,097 | 685,520 |
Checks and drafts outstanding | 185,660 | 205,060 |
Accounts payable | 2,416,038 | 2,236,866 |
Derivative liabilities | 465,066 | 849,859 |
Accrued expenses | 485,070 | 476,589 |
Dividends and equities payable | 390,153 | 578,809 |
Total current liabilities | 5,785,353 | 6,818,564 |
Long-term debt | 1,450,420 | 1,332,142 |
Mandatorily redeemable noncontrolling interest | 209,419 | 268,726 |
Other liabilities | 906,331 | 752,269 |
Commitments and contingencies | ' | ' |
Equities: | ' | ' |
Equity certificates | 3,588,346 | 3,109,616 |
Preferred stock | 319,368 | 319,368 |
Accumulated other comprehensive loss | -156,867 | -232,587 |
Capital reserves | 1,380,361 | 1,258,944 |
Total CHS Inc. equities | 5,131,208 | 4,455,341 |
Noncontrolling interests | 21,539 | 17,982 |
Total equities | 5,152,747 | 4,473,323 |
Total liabilities and equities | $13,504,270 | $13,645,024 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Income Statement [Abstract] | ' | ' | ' |
Revenues | $44,479,857 | $40,599,286 | $36,915,834 |
Cost of goods sold | 42,706,205 | 38,588,143 | 35,512,988 |
Gross profit | 1,773,652 | 2,011,143 | 1,402,846 |
Marketing, general and administrative | 553,623 | 498,233 | 438,498 |
Operating earnings | 1,220,029 | 1,512,910 | 964,348 |
Loss (gain) on investments | -182 | 5,465 | -126,729 |
Interest, net | 231,567 | 193,263 | 74,835 |
Equity income from investments | -97,350 | -102,389 | -131,414 |
Income before income taxes | 1,085,994 | 1,416,571 | 1,147,656 |
Income taxes | 89,666 | 80,852 | 86,628 |
Net income | 996,328 | 1,335,719 | 1,061,028 |
Net Income (Loss) Attributable to Noncontrolling Interest | ' | 75,091 | 99,673 |
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 3,942 | 75,091 | 101,458 |
Net income attributable to CHS Inc. | $992,386 | $1,260,628 | $961,355 |
Consolidated_Statement_of_Equi
Consolidated Statement of Equities and Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' |
Balances | $4,473,323 | $4,265,320 | $3,604,451 |
Dividends and equity retirement determination | 578,809 | 400,216 | 210,435 |
Patronage distribution | -380,947 | -260,666 | -141,513 |
Equities retired | -193,413 | -145,722 | -61,193 |
Equities issued | -18,211 | 29,155 | 6,453 |
Preferred stock dividends | -24,544 | -24,544 | -24,544 |
Distribution to noncontrolling interest | -1,442 | -78,602 | -18,184 |
Changes in dividends and equities payable | ' | 5,544 | -2,787 |
Purchase of noncontrolling interests | -433,864 | ' | ' |
Other, net | 855 | 2,706 | -786 |
Comprehensive income | ' | ' | ' |
Net income | 996,328 | 1,335,719 | 1,061,028 |
Other Comprehensive Income (Loss), Net of Tax | 75,720 | -43,130 | 32,176 |
Total comprehensive income | 1,072,048 | 1,292,589 | 1,093,204 |
Dividends and equities payable | -390,153 | -578,809 | -400,216 |
Balances | 5,152,747 | 4,473,323 | 4,265,320 |
Capital Equity Certificates | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' |
Balances | 2,494,727 | 2,256,749 | 2,119,216 |
Dividends and equity retirement determination | 195,999 | 136,000 | 67,569 |
Patronage distribution | 595,022 | 415,584 | 260,858 |
Equities retired | -193,181 | -145,500 | -60,956 |
Equities issued | -18,211 | 29,155 | 6,453 |
Preferred stock dividends | ' | ' | ' |
Distribution to noncontrolling interest | ' | ' | ' |
Changes in dividends and equities payable | ' | ' | ' |
Other, net | -1,241 | -1,262 | -391 |
Comprehensive income | ' | ' | ' |
Net income | ' | ' | ' |
Other Comprehensive Income (Loss), Net of Tax | ' | ' | ' |
Total comprehensive income | ' | ' | ' |
Dividends and equities payable | -101,293 | -195,999 | -136,000 |
Balances | 3,008,244 | 2,494,727 | 2,256,749 |
Nonpatronage Equity Certificates | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' |
Balances | 23,746 | 24,324 | 24,573 |
Dividends and equity retirement determination | ' | ' | ' |
Patronage distribution | ' | ' | ' |
Equities retired | -232 | 222 | -237 |
Equities issued | ' | ' | ' |
Preferred stock dividends | ' | ' | ' |
Distribution to noncontrolling interest | ' | ' | ' |
Changes in dividends and equities payable | ' | ' | ' |
Other, net | -29 | -356 | -12 |
Comprehensive income | ' | ' | ' |
Net income | ' | ' | ' |
Other Comprehensive Income (Loss), Net of Tax | ' | ' | ' |
Total comprehensive income | ' | ' | ' |
Dividends and equities payable | ' | ' | ' |
Balances | 23,485 | 23,746 | 24,324 |
Patronage Refunds | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' |
Balances | 591,143 | 414,553 | 257,725 |
Dividends and equity retirement determination | 378,719 | 260,125 | 138,775 |
Patronage distribution | -969,862 | -674,678 | -396,500 |
Equities retired | ' | ' | ' |
Equities issued | ' | ' | ' |
Preferred stock dividends | ' | ' | ' |
Distribution to noncontrolling interest | ' | ' | ' |
Changes in dividends and equities payable | ' | ' | ' |
Other, net | ' | ' | ' |
Comprehensive income | ' | ' | ' |
Net income | 841,386 | 969,862 | 674,678 |
Other Comprehensive Income (Loss), Net of Tax | ' | ' | ' |
Total comprehensive income | ' | ' | ' |
Dividends and equities payable | -284,769 | -378,719 | -260,125 |
Balances | 556,617 | 591,143 | 414,553 |
Preferred Stock | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' |
Balances | 319,368 | 319,368 | 319,368 |
Dividends and equity retirement determination | ' | ' | ' |
Patronage distribution | ' | ' | ' |
Equities retired | ' | ' | ' |
Equities issued | ' | ' | ' |
Preferred stock dividends | ' | ' | ' |
Distribution to noncontrolling interest | ' | ' | ' |
Changes in dividends and equities payable | ' | ' | ' |
Other, net | ' | ' | ' |
Comprehensive income | ' | ' | ' |
Net income | ' | ' | ' |
Other Comprehensive Income (Loss), Net of Tax | ' | ' | ' |
Total comprehensive income | ' | ' | ' |
Dividends and equities payable | ' | ' | ' |
Balances | 319,368 | 319,368 | 319,368 |
Accumulated Other Comprehensive Loss | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' |
Balances | -232,587 | -174,876 | -205,267 |
Dividends and equity retirement determination | ' | ' | ' |
Patronage distribution | ' | ' | ' |
Equities retired | ' | ' | ' |
Equities issued | ' | ' | ' |
Preferred stock dividends | ' | ' | ' |
Distribution to noncontrolling interest | ' | ' | ' |
Changes in dividends and equities payable | ' | ' | ' |
Purchase of noncontrolling interests | -14,581 | ' | ' |
Other, net | ' | ' | ' |
Comprehensive income | ' | ' | ' |
Net income | ' | ' | ' |
Other Comprehensive Income (Loss), Net of Tax | 75,720 | -43,130 | 30,391 |
Total comprehensive income | ' | ' | ' |
Dividends and equities payable | ' | ' | ' |
Balances | -156,867 | -232,587 | -174,876 |
Capital Reserves | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' |
Balances | 1,258,944 | 1,075,474 | 820,049 |
Dividends and equity retirement determination | 4,091 | 4,091 | 4,091 |
Patronage distribution | -6,107 | -1,572 | -5,871 |
Equities retired | ' | ' | ' |
Equities issued | ' | ' | ' |
Preferred stock dividends | -24,544 | -24,544 | -24,544 |
Distribution to noncontrolling interest | ' | ' | ' |
Changes in dividends and equities payable | ' | ' | ' |
Purchase of noncontrolling interests | -82,138 | ' | ' |
Other, net | 1,068 | 958 | -837 |
Comprehensive income | ' | ' | ' |
Net income | 151,000 | 290,766 | 286,677 |
Other Comprehensive Income (Loss), Net of Tax | ' | ' | ' |
Total comprehensive income | ' | ' | ' |
Dividends and equities payable | -4,091 | -4,091 | -4,091 |
Balances | 1,380,361 | 1,258,944 | 1,075,474 |
Noncontrolling Interest | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' |
Balances | 17,982 | 349,728 | 268,787 |
Dividends and equity retirement determination | ' | ' | ' |
Patronage distribution | ' | ' | ' |
Equities retired | ' | ' | ' |
Equities issued | ' | ' | ' |
Preferred stock dividends | ' | ' | ' |
Distribution to noncontrolling interest | -1,442 | -78,602 | -18,184 |
Changes in dividends and equities payable | ' | 5,544 | -2,787 |
Purchase of noncontrolling interests | -337,145 | ' | ' |
Other, net | 1,057 | 3,366 | 454 |
Comprehensive income | ' | ' | ' |
Net income | 3,942 | 75,091 | 99,673 |
Other Comprehensive Income (Loss), Net of Tax | ' | ' | 1,785 |
Total comprehensive income | ' | ' | ' |
Dividends and equities payable | ' | ' | ' |
Balances | $21,539 | $17,982 | $349,728 |
Consolidated_Statement_of_Cash
Consolidated Statement of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Cash flows from operating activities: | ' | ' | ' |
Net income | $996,328 | $1,335,719 | $1,061,028 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation and amortization | 241,791 | 219,632 | 220,694 |
Amortization of deferred major repair costs | 34,847 | 33,641 | 30,474 |
Income from equity investments | -97,350 | -102,389 | -131,414 |
Proceeds from Equity Method Investment, Dividends or Distributions | 62,761 | 75,468 | 137,766 |
Noncash patronage dividends received | -16,644 | -10,461 | -9,697 |
Gain on sale of property, plant and equipment | -6,234 | -5,564 | -5,200 |
Loss (gain) on investments | -182 | 5,465 | -126,729 |
Loss on crack spread contingent liability | 23,109 | 22,328 | ' |
Deferred taxes | 92,717 | 58,624 | 67,089 |
Other, net | 5,714 | 481 | 868 |
Changes in operating assets and liabilities, net of acquisitions: | ' | ' | ' |
Receivables | 123,951 | -512,034 | -714,589 |
Inventories | 557,331 | -252,842 | -796,596 |
Derivative assets | 610,023 | -185,930 | -422,374 |
Margin deposits | 812,616 | -51,241 | -462,857 |
Other current assets and other assets | 19,780 | -35,375 | -137,749 |
Customer margin deposits and credit balances | -509,548 | 56,177 | 327,813 |
Customer advance payments | -260,449 | 61,978 | 163,640 |
Accounts payable and accrued expenses | 171,878 | -167,025 | 870,314 |
Derivative liabilities | -395,454 | 111,481 | 213,225 |
Other liabilities | 10,815 | 60,503 | 15,617 |
Net cash provided by operating activities | 2,477,800 | 718,636 | 301,323 |
Cash flows from investing activities: | ' | ' | ' |
Acquisition of property, plant and equipment | -659,373 | -468,611 | -310,670 |
Proceeds from disposition of property, plant and equipment | 7,727 | 27,839 | 9,496 |
Expenditures for major repairs | -73,701 | -23,443 | -92,129 |
Investments in joint ventures and other | -21,364 | -94,757 | -6,090 |
Investments redeemed | 13,021 | 12,112 | 39,681 |
Proceeds from sale of investments | 1,250 | ' | 225,000 |
Changes in notes receivable | 211,935 | 19,040 | -347,509 |
Business acquisitions, net of cash acquired | -12,711 | -166,033 | -67,489 |
Other investing activities, net | -1,742 | -342 | -1,259 |
Net cash used in investing activities | -534,958 | -694,195 | -550,969 |
Cash flows from financing activities: | ' | ' | ' |
Changes in notes payable | 85,910 | -27,561 | 457,731 |
Long-term debt borrowings | 280,000 | ' | 631,882 |
Principal payments | -113,583 | -96,619 | -114,929 |
Payments for bank fees | -9,593 | -12,390 | -5,348 |
Payments for Repurchase of Redeemable Noncontrolling Interest | -65,981 | ' | ' |
Changes in checks and drafts outstanding | -20,392 | 6,353 | 63,033 |
Distributions to noncontrolling interests | -1,442 | -78,602 | -18,184 |
Preferred stock dividends paid | -24,544 | -24,544 | -24,544 |
Retirements of equities | -193,413 | -145,722 | -61,193 |
Cash patronage dividends paid | -380,947 | -260,666 | -141,513 |
Other financing activities, net | 811 | 878 | -20 |
Net cash (used in) provided by financing activities | -443,174 | -638,873 | 786,915 |
Effect of exchange rate changes on cash and cash equivalents | -5,165 | -9,224 | 5,753 |
Net (decrease) increase in cash and cash equivalents | 1,494,503 | -623,656 | 543,022 |
Cash and cash equivalents at beginning of period | 314,029 | 937,685 | 394,663 |
Cash and cash equivalents at end of period | $1,808,532 | $314,029 | $937,685 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income Statement (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Net income | $996,328 | $1,335,719 | $1,061,028 |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | 63,116 | -38,216 | 28,001 |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 979 | 355 | 716 |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | 15,491 | 586 | -1,005 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -3,866 | -5,855 | 4,464 |
Other Comprehensive Income (Loss), Net of Tax | 75,720 | -43,130 | 32,176 |
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | 1,072,048 | 1,292,589 | 1,093,204 |
Net Income (Loss) Attributable to Noncontrolling Interest | ' | 75,091 | 99,673 |
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 3,942 | 75,091 | 101,458 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $1,068,106 | $1,217,498 | $991,746 |
Consolidated_Statements_of_Com1
Consolidated Statements of Comprehensive Income Parenthetical (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Comprehensive Income Parenthetical [Abstract] | ' | ' | ' |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Tax | ($21,710) | $17,776 | ($30,847) |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax | 199 | 445 | -477 |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Tax | 449 | -2,180 | 227 |
Other Comprehensive Income (Loss), Foreign Currency Translation Gain (Loss) Arising During Period, Tax | ($3,699) | $2,842 | ($791) |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | |||||||||||||
Aug. 31, 2013 | ||||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||||
Summary of Significant Accounting Policies | ' | |||||||||||||
Summary of Significant Accounting Policies | ||||||||||||||
Organization | ||||||||||||||
CHS Inc. (CHS, we, us, our) is one of the nation’s leading integrated agricultural companies. As a cooperative, CHS is owned by farmers and ranchers and their member cooperatives (members) across the United States. We also have preferred stockholders that own shares of our 8% Cumulative Redeemable Preferred Stock (8% Preferred Stock), which is listed on the NASDAQ Stock Market LLC (NASDAQ) under the symbol CHSCP. On August 31, 2013, we had 12,272,003 shares of our 8% Preferred Stock outstanding. During September 2013, we issued 11,319,175 shares of Class B Cumulative Redeemable Preferred Stock (Class B Preferred Stock), which is listed on the NASDAQ under the symbol CHSCO. We buy commodities from and provide products and services to patrons (including member and other non-member customers), both domestic and international. We provide a wide variety of products and services, from initial agricultural inputs such as fuels, farm supplies, crop nutrients and crop protection products, to agricultural outputs that include grains and oilseeds, grain and oilseed processing and food products. A portion of our operations are conducted through equity investments and joint ventures whose operating results are not fully consolidated with our results; rather, a proportionate share of the income or loss from those entities is included as a component in our net income under the equity method of accounting. | ||||||||||||||
Basis of Presentation and Revisions | ||||||||||||||
The consolidated financial statements include the accounts of CHS and all of our wholly-owned and majority-owned subsidiaries and limited liability companies, which is primarily National Cooperative Refinery Association (NCRA), included in our Energy segment. The effects of all significant intercompany transactions have been eliminated. | ||||||||||||||
We previously reported certain derivatives assets and liabilities on a net basis on our Consolidated Balance Sheets. We have determined that such derivatives should have been reported on a gross basis and have revised our fiscal 2012 Consolidated Balance Sheet, which resulted in an increase in derivative assets of $221.9 million, an increase in derivatives liabilities of $340.8 million and a decrease of Accounts Payable of $118.9 million. The fiscal 2012 and 2011 Consolidated Statements of Cash Flows have also been revised for these changes with no impact to net operating, investing or financing cash flows. | ||||||||||||||
We do not believe these revisions are material. The related amounts in our fiscal 2013 interim financial statements will be revised when our 2014 interim financial statements are issued. | ||||||||||||||
As of September 1, 2011, we changed the expected useful lives of certain fixed assets in our Energy segment. We increased the expected useful lives of refining and asphalt assets from 16 years to 20 years, which reduced depreciation expense by approximately $27.0 million in fiscal 2012. | ||||||||||||||
In June 2011, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2011-05, “Comprehensive Income (Topic 220): Presentation of Comprehensive Income.” ASU No. 2011-05 eliminates the option to present the components of other comprehensive income as part of the statement of stockholders’ equity. ASU 2011-05 requires an entity to present the total of comprehensive income, the components of net income, and the components of other comprehensive income either in a single continuous statement of comprehensive income or in two separate but consecutive statements. ASU No. 2011-05 became effective for us during fiscal 2013. The required disclosures of this update are included in our Consolidated Statements of Comprehensive Income. | ||||||||||||||
Cash Equivalents | ||||||||||||||
Cash equivalents includes short-term, highly liquid investments with original maturities of three months or less at the date of acquisition. | ||||||||||||||
Inventories | ||||||||||||||
Grain, processed grain, oilseed and processed oilseed are stated at net realizable values which approximate market values. All other inventories are stated at the lower of cost or market. Costs for inventories produced or modified by us through a manufacturing process include fixed and variable production and raw material costs, and in-bound freight costs for raw materials. Costs for inventories purchased for resale include the cost of products and freight incurred to place the products at our points of sale. The costs of certain energy inventories (wholesale refined products, crude oil and asphalt) are determined on the last-in, first-out (LIFO) method; all other inventories of non-grain products purchased for resale are valued on the first-in, first-out (FIFO) and average cost methods. | ||||||||||||||
Derivative Financial Instruments and Hedging Activities | ||||||||||||||
Our derivative instruments primarily consist of commodity and freight futures and forward contracts and, to a minor degree, may include foreign currency and interest rate swap contracts. These contracts are economic hedges of price risk, but are not designated or accounted for as hedging instruments for accounting purposes, with the exception of certain interest rate swap contracts which are accounted for as cash flow hedges. Derivative instruments are recorded on our Consolidated Balance Sheets at fair values as described in Note 12, Fair Value Measurements. | ||||||||||||||
Even though we have netting arrangements for our exchange-traded futures and options contracts and certain over-the-counter (OTC) contracts, we report our derivative on a gross basis on our Consolidated Balance Sheets. Our associated margin deposits are also reported on a gross basis. | ||||||||||||||
As of August 31, 2013 and 2012, we had the following outstanding purchase and sale contracts: | ||||||||||||||
2013 | 2012 | |||||||||||||
Purchase | Sale | Purchase | Sale | |||||||||||
Contracts | Contracts | Contracts | Contracts | |||||||||||
(Units in thousands) | ||||||||||||||
Grain and oilseed - bushels | 521,979 | 806,295 | 722,895 | 1,074,535 | ||||||||||
Energy products - barrels | 12,626 | 21,312 | 9,047 | 19,561 | ||||||||||
Soy products - tons | 24 | 847 | 15 | 215 | ||||||||||
Crop nutrients - tons | 968 | 1,050 | 600 | 725 | ||||||||||
Ocean and barge freight - metric tons | 1,225 | 151 | 1,018 | 183 | ||||||||||
Rail freight - rail cars | 220 | 43 | 184 | 34 | ||||||||||
Livestock - pounds | 17,280 | 2,560 | 3,440 | |||||||||||
As of August 31, 2013 and 2012, with the exception of our interest rate swaps described below, our derivative assets and liabilities are not designated as hedging instruments. | ||||||||||||||
The following table sets forth the pretax gains (losses) on derivatives not designated as hedging instruments that have been included in our Consolidated Statements of Operations during fiscal 2013 and 2012. | ||||||||||||||
Location of | 2013 | 2012 | 2011 | |||||||||||
Gain (Loss) | ||||||||||||||
(Dollars in thousands) | ||||||||||||||
Commodity and freight derivatives | Cost of goods sold | $ | (482,352 | ) | $ | 311,167 | $ | 186,265 | ||||||
Foreign exchange derivatives | Cost of goods sold | (452 | ) | (5,219 | ) | 3,363 | ||||||||
Interest rate derivatives | Interest, net | 300 | 206 | 522 | ||||||||||
$ | (482,504 | ) | $ | 306,154 | $ | 190,150 | ||||||||
As of August 31, 2013 and 2012, the gross fair values of derivative assets and liabilities as cash flow hedging instruments were as follows: | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | ||||||||||||||
Derivative Assets: | ||||||||||||||
Interest rate swaps | $ | 24,135 | ||||||||||||
During the year ended August 31, 2013, we entered into derivative contracts designated as cash flow hedging instruments which expire during fiscal 2014, with $0.9 million expected to be included in earnings during the next 12 months. As of August 31, 2013 and 2012, the unrealized gains deferred to accumulated other comprehensive loss were as follows: | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | ||||||||||||||
Gains included in accumulated other comprehensive loss, net of tax expense of | $ | 14,930 | ||||||||||||
$9.2 million in 2013 | ||||||||||||||
Commodity and Freight Contracts: | ||||||||||||||
When we enter into a commodity or freight purchase or sales contract, we incur risks related to price changes and performance (including delivery, quality, quantity, and counterparty credit). We are exposed to risk of loss in the market value of positions held, consisting of inventory and purchase contracts at a fixed or partially fixed price in the event market prices decrease. We are also exposed to risk of loss on fixed or partially fixed price sales contracts in the event market prices increase. | ||||||||||||||
Our commodity contracts primarily relate to grain, oilseed, energy (crude, refined products and propane) and fertilizer commodities. Our freight contracts primarily relate to rail, barge and ocean freight transactions. Our use of commodity and freight contracts reduces the effects of price volatility, thereby protecting us against adverse short-term price movements, while limiting the benefits of short-term price movements. To reduce the price change risks associated with holding fixed price commitments, we generally take opposite and offsetting positions by entering into commodity futures contracts or options in order to arrive at a net commodity position within the formal position limits we have established and deemed prudent for each commodity. These contracts are purchased and sold through regulated commodity futures exchanges for grain, and regulated mercantile exchanges for refined products and crude oil. We also use OTC instruments to hedge our exposure to price fluctuations on commodities and fixed price arrangements. The price risk we encounter for crude oil and most of the grain and oilseed volumes we handle can be hedged. Price risk associated with fertilizer and certain grains cannot be hedged with futures because there are no futures for these commodities and, as a result, risk is managed through the use of forward sales contracts and other pricing arrangements and, to some extent, cross-commodity futures hedging. Certain fertilizer and propane contracts are accounted for as normal purchase and normal sales transactions. We expect all normal purchase and normal sales transactions to result in physical settlement. | ||||||||||||||
When a futures contract is entered into, an initial margin deposit must be sent to the applicable exchange or broker. The amount of the deposit is set by the exchange and varies by commodity. If the market price of a short futures contract increases, then an additional maintenance margin deposit would be required. Similarly, if the price of a long futures contract decreases, a maintenance margin deposit would be required and sent to the applicable exchange. Subsequent price changes could require additional maintenance margins or could result in the return of maintenance margins. | ||||||||||||||
Our policy is to primarily maintain hedged positions in grain and oilseed. Our profitability from operations is primarily derived from margins on products sold and grain merchandised, not from hedging transactions. At any one time, inventory and purchase contracts for delivery to us may be substantial. Our risk management policies and procedures include net position limits. These limits are defined for each commodity and include both trader and management limits. The policy and procedures in our grain marketing operations require a review by operations management when any trader is outside of position limits and also a review by senior management if operating areas are outside of position limits. A similar process is used in energy and wholesale crop nutrients operations. Position limits are reviewed, at least annually, with management and the Board of Directors. We monitor current market conditions and may expand or reduce our net position limits or procedures in response to changes in conditions. In addition, all purchase and sales contracts are subject to credit approvals and appropriate terms and conditions. | ||||||||||||||
Hedging arrangements do not protect against nonperformance by counterparties to contracts. We primarily use exchange traded instruments which minimize exposure to counterparties' nonperformance. We evaluate exposure by reviewing contracts and adjusting the values to reflect potential nonperformance. Risk of nonperformance by counterparties includes the inability to perform because of the counterparty’s financial condition and also the risk that the counterparty will refuse to perform on a contract during periods of price fluctuations where contract prices are significantly different than current market prices. We manage risks by entering into fixed price purchase and sales contracts with preapproved producers and by establishing appropriate limits for individual suppliers. Fixed price contracts are entered into with customers of acceptable creditworthiness, as internally evaluated. Historically, we have not experienced significant events of nonperformance on open contracts. Accordingly, we only adjust the estimated fair values of specifically identified contracts for nonperformance. Although we have established policies and procedures, we make no assurances that historical nonperformance experience will carry forward to future periods. | ||||||||||||||
Interest Rate Contracts: | ||||||||||||||
Short-term debt used to finance inventories and receivables is represented by notes payable with maturities of 30 days or less, so that our blended interest rate for all such notes approximates current market rates. During our year ended August 31, 2013, we entered into interest rate swaps to secure the interest rates related to our private placement debt anticipated to be issued in April 2014 with combined notional amounts of $300.0 million. These derivative instruments are designated as cash flow hedges for accounting purposes and, accordingly, the net gain associated with these contracts of $24.1 million as of August 31, 2013 was recorded as a component of other comprehensive loss. CHS Capital, LLC (CHS Capital), our wholly-owned finance subsidiary, has interest rate swaps that lock the interest rates of the underlying loans with a combined notional amount of $8.6 million expiring at various times through fiscal 2018, with $0.3 million of the notional amount expiring during fiscal 2014. None of CHS Capital’s interest rate swaps qualify for hedge accounting and as a result, changes in fair value are recorded in earnings within interest, net in our Consolidated Statements of Operations. Long-term debt used to finance non-current assets carries various fixed interest rates and is payable at various dates to minimize the effects of market interest rate changes. The weighted-average interest rate on fixed rate debt outstanding on August 31, 2013 was approximately 5.0%. | ||||||||||||||
Foreign Exchange Contracts: | ||||||||||||||
We conduct essentially all of our business in U.S. dollars, except for grain marketing operations primarily in South America and Europe, and purchases of products from Canada. We had minimal risk regarding foreign currency fluctuations during fiscal 2013 and in prior years, as substantially all international sales were denominated in U.S. dollars. From time to time, we enter into foreign currency futures contracts to mitigate currency fluctuations. Foreign currency fluctuations do, however, impact the ability of foreign buyers to purchase U.S. agricultural products and the competitiveness of U.S. agricultural products compared to the same products offered by alternative sources of world supply. As of August 31, 2013, we had $7.1 million included in derivative assets and $5.9 million included in derivative liabilities associated with foreign currency contracts. | ||||||||||||||
Margin Deposits | ||||||||||||||
Many of our derivative contracts with futures and options brokers require us to make both initial margin deposits of cash or other assets and subsequent deposits, depending on changes in commodity prices, in order to comply with applicable regulations. Our margin deposit assets are held by external brokers in segregated accounts and will be used to settle the associated derivative contracts on their specified settlement dates. | ||||||||||||||
Investments | ||||||||||||||
Joint ventures and other investments, in which we have significant ownership and influence, but not control, are accounted for in our consolidated financial statements using the equity method of accounting. Investments in other cooperatives are stated at cost, plus patronage dividends received in the form of capital stock and other equities. Patronage dividends are recorded as a reduction to cost of goods sold at the time qualified written notices of allocation are received. Investments in other debt and equity securities are considered available for sale financial instruments and are stated at fair value, with unrealized amounts included as a component of accumulated other comprehensive loss. Investments in debt and equity instruments are carried at amounts that approximate fair values. Investments in joint ventures and cooperatives have no quoted market prices. | ||||||||||||||
Property, Plant and Equipment | ||||||||||||||
Property, plant and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are provided on the straight-line method by charges to operations at rates based upon the expected useful lives of individual or groups of assets (15 to 20 years for land and land improvements; 20 to 40 years for buildings; 5 to 20 years for machinery and equipment; and 3 to 10 years for office and other). The cost and related accumulated depreciation and amortization of assets sold or otherwise disposed of are removed from the related accounts and resulting gains or losses are reflected in operations. Expenditures for maintenance and minor repairs and renewals are expensed, while costs of major repairs and betterments are capitalized and amortized on a straight-line basis over the period of time estimated to lapse until the next major repair occurs. | ||||||||||||||
Property, plant and equipment and other long-lived assets are reviewed in order to assess recoverability based on projected income and related cash flows on an undiscounted basis when triggering events occur. Should the sum of the expected future net cash flows be less than the carrying value, an impairment loss would be recognized. An impairment loss would be measured by the amount by which the carrying value of the asset exceeds the fair value of the asset. | ||||||||||||||
We have asset retirement obligations with respect to certain of our refineries and related assets due to various legal obligations to clean and/or dispose of various component parts at the time they are retired. However, these assets can be used for extended and indeterminate periods of time, as long as they are properly maintained and/or upgraded. It is our practice and current intent to maintain refineries and related assets and to continue making improvements to those assets based on technological advances. As a result, we believe our refineries and related assets have indeterminate lives for purposes of estimating asset retirement obligations because dates or ranges of dates upon which we would retire a refinery and related assets cannot reasonably be estimated at this time. When a date or range of dates can reasonably be estimated for the retirement of any component part of a refinery or related asset, we will estimate the cost of performing the retirement activities and record a liability for the fair value of that cost using established present value techniques. | ||||||||||||||
Goodwill and Other Intangible Assets | ||||||||||||||
Goodwill and other intangible assets are reviewed for impairment annually or more frequently if impairment conditions arise, and those that are impaired are written down to fair value. For goodwill, annual impairment testing occurs in the third quarter. Other intangible assets consist primarily of customer lists, trademarks and agreements not to compete. Intangible assets subject to amortization are expensed over their respective useful lives (ranging from 2 to 30 years). We have no material intangible assets with indefinite useful lives. | ||||||||||||||
We made various acquisitions during the three years ended August 31, 2013, which were accounted for using the acquisition method of accounting. Operating results of the acquisitions were included in our consolidated financial statements since the respective acquisition dates. The respective purchase prices were allocated to the assets, liabilities and identifiable intangible assets acquired based upon the estimated fair values. The excess purchase prices over the estimated fair values of the net assets acquired have been reported as goodwill. | ||||||||||||||
In our Energy segment, major maintenance activities (turnarounds) at the two refineries are accounted for under the deferral method. Turnarounds are the scheduled and required shutdowns of refinery processing units. The costs related to the significant overhaul and refurbishment activities include materials and direct labor costs. The costs of turnarounds are deferred when incurred and amortized on a straight-line basis over the period of time estimated to lapse until the next turnaround occurs, which is generally 2 to 4 years. Amortization expense related to turnaround costs is included in cost of goods sold in our Consolidated Statements of Operations. The selection of the deferral method, as opposed to expensing the turnaround costs when incurred, results in deferring recognition of the turnaround expenditures. The deferral method also results in the classification of the related cash outflows as investing activities in our Consolidated Statements of Cash Flows, whereas expensing these costs as incurred, would result in classifying the cash outflows as operating activities. | ||||||||||||||
Revenue Recognition | ||||||||||||||
We provide a wide variety of products and services, from production agricultural inputs such as fuels, farm supplies and crop nutrients, to agricultural outputs that include grain and oilseed, processed grains and oilseeds and food products. We recognize revenue when persuasive evidence of an arrangement exists, delivery has occurred, the sales price is fixed or determinable, and collection is probable. Grain and oilseed sales are recorded after the commodity has been delivered to its destination and final weights, grades and settlement prices have been agreed upon. All other sales are recognized upon transfer of title, which could occur either upon shipment to or receipt by the customer, depending upon the terms of the transaction. Amounts billed to a customer as part of a sales transaction related to shipping and handling are included in revenues. | ||||||||||||||
Environmental Expenditures | ||||||||||||||
Liabilities, including legal costs, related to remediation of contaminated properties are recognized when the related costs are considered probable and can be reasonably estimated. Estimates of environmental costs are based on current available facts, existing technology, undiscounted site-specific costs and currently enacted laws and regulations. Recoveries, if any, are recorded in the period in which recovery is received. Liabilities are monitored and adjusted as new facts or changes in law or technology occur. Environmental expenditures are capitalized when such costs provide future economic benefits. | ||||||||||||||
Income Taxes | ||||||||||||||
CHS is a nonexempt agricultural cooperative and files a consolidated federal income tax return with our 80% or more owned subsidiaries. We are subject to tax on income from nonpatronage sources, non-qualified patronage distributions and undistributed patronage-sourced income. Income tax expense is primarily the current tax payable for the period and the change during the period in certain deferred tax assets and liabilities. Deferred income taxes reflect the impact of temporary differences between the amounts of assets and liabilities recognized for financial reporting purposes and such amounts recognized for federal and state income tax purposes, based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized. | ||||||||||||||
Use of Estimates | ||||||||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||||||||||||||
Recent Accounting Pronouncements | ||||||||||||||
In December 2011, the FASB issued Accounting Standards Update (ASU) No. 2011-11, “Disclosures about Offsetting Assets and Liabilities.” ASU No. 2011-11 creates new disclosure requirements about the nature of an entity’s rights of setoff and related arrangements associated with its financial instruments and derivative instruments. The disclosure requirements in this update are effective for annual reporting periods, and interim periods within those years, beginning on or after January 1, 2013. We are currently evaluating the impact that the adoption will have on our consolidated financial statements in fiscal 2014. | ||||||||||||||
In February 2013, the FASB issued ASU No. 2013-02, "Comprehensive Income." ASU No. 2013-02 requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either in the consolidated statements of operations or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income, but only if the amount reclassified is required to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required that provide additional detail about those amounts. These amendments are only disclosure related and will not have an impact on our financial position, results of operations, comprehensive income or cash flows. ASU No. 2013-02 will become effective for us in fiscal 2014. | ||||||||||||||
In February 2013, the FASB issued ASU No. 2013-04, "Liabilities." ASU No. 2013-04 requires an entity to measure obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this guidance is fixed at the reporting date, as the sum of the amount the reporting entity agreed to pay on the basis of its arrangement among its co-obligors and any additional amount the reporting entity expects to pay on behalf of its co-obligors. The guidance in this ASU also requires an entity to disclose the nature and amount of the obligation as well as other information about those obligations. The amendments in this ASU are effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. We are currently evaluating the impact that the adoption will have on our consolidated financial statements in fiscal 2015. | ||||||||||||||
In July 2013, the FASB issued ASU No. 2013-11, “Income Taxes (Topic 740) — Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” ASU No. 2013-11 provides guidance on the presentation of unrecognized tax benefits that will better reflect the manner in which an entity would settle at the reporting date any additional income taxes that would result from the disallowance of a tax position when net operating loss carryforwards, similar tax losses, or tax credit carryforwards exist. This guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013 and early adoption is permitted. This will be effective for us in fiscal 2015 and we do not expect the adoption of this guidance to have a material impact on our consolidated financial statements. |
Receivables
Receivables | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Receivables [Abstract] | ' | |||||||
Receivables | ' | |||||||
Receivables | ||||||||
Receivables as of August 31, 2013 and 2012 are as follows: | ||||||||
2013 | 2012 | |||||||
(Dollars in thousands) | ||||||||
Trade accounts receivable | $ | 2,673,169 | $ | 2,817,817 | ||||
CHS Capital notes receivable | 437,141 | 606,514 | ||||||
Other | 254,590 | 278,196 | ||||||
3,364,900 | 3,702,527 | |||||||
Less allowances and reserves | 94,589 | 111,785 | ||||||
$ | 3,270,311 | $ | 3,590,742 | |||||
Trade accounts receivable are initially recorded at a selling price, which approximates fair value, upon the sale of goods or services to customers. Subsequently, trade accounts receivable are carried at net realizable value, which includes an allowance for estimated uncollectible amounts. We calculate this allowance based on our history of write-offs, level of past due accounts, and our relationships with, and the economics status of, our customers. The carrying value of CHS Capital notes receivable approximates fair value, given their short duration and the use of market pricing adjusted for risk. | ||||||||
CHS Capital, our wholly-owned subsidiary, has notes receivable from commercial and producer borrowers. The short-term notes receivable generally have maturity terms of 12-14 months and are reported at their outstanding principle balances, as CHS Capital holds these notes to maturity. The notes receivable from commercial borrowers are collateralized by various combinations of mortgages, personal property, accounts and notes receivable, inventories and assignments of certain regional cooperative’s capital stock. These loans are primarily originated in the states of Minnesota, Wisconsin and North Dakota. CHS Capital also has loans receivable from producer borrowers which are collateralized by various combinations of growing crops, livestock, inventories, accounts receivable, personal property and supplemental mortgages. In addition to the short-term balances included in the table above, CHS Capital had long-term notes receivable, with durations of not more than 10 years, totaling $127.7 million and $164.8 million at August 31, 2013 and 2012, respectively. The long-term notes receivable are included in other assets on our Consolidated Balance Sheets. As of August 31, 2013 and 2012, the commercial notes represented 59% and 74%, respectively, and the producer notes represented 41.0% and 26.0%, respectively, of the total CHS Capital notes receivable. | ||||||||
CHS Capital evaluates the collectability of both commercial and producer notes on a specific identification basis, based on the amount and quality of the collateral obtained, and records specific loan loss reserves when appropriate. A general reserve is also maintained based on historical loss experience and various qualitative factors. In total, the specific and general loan loss reserves related to CHS Capital are not material to our consolidated financial statements, nor are the associated historical write-offs. The accrual of interest income is discontinued at the time the loan is 90 days past due unless the credit is well-collateralized and in process of collection. The amount of CHS Capital notes that were past due was not significant at any reporting date presented. | ||||||||
CHS Capital has commitments to extend credit to a customer as long as there is no violation of any condition established in the contract. As of August 31, 2013, CHS Capital's customers have additional available credit of $1.0 billion. |
Inventories
Inventories | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Inventories | ' | |||||||
Inventories | ||||||||
Inventories as of August 31, 2013 and 2012 are as follows: | ||||||||
2013 | 2012 | |||||||
(Dollars in thousands) | ||||||||
Grain and oilseed | $ | 1,133,555 | $ | 1,625,865 | ||||
Energy | 742,194 | 701,348 | ||||||
Crop nutrients | 293,370 | 401,655 | ||||||
Feed and farm supplies | 407,023 | 384,178 | ||||||
Processed grain and oilseed | 79,706 | 76,892 | ||||||
Other | 8,887 | 14,034 | ||||||
$ | 2,664,735 | $ | 3,203,972 | |||||
As of August 31, 2013, we valued approximately 16% of inventories, primarily crude oil and refined fuels within our Energy segment, using the lower of cost, determined on the LIFO method, or market (11% as of August 31, 2012). If the FIFO method of accounting had been used, inventories would have been higher than the reported amount by $652.6 million and $566.6 million at August 31, 2013 and 2012, respectively. |
Investments
Investments | 12 Months Ended | |||||||||||
Aug. 31, 2013 | ||||||||||||
Investments [Abstract] | ' | |||||||||||
Investments | ' | |||||||||||
Investments | ||||||||||||
Investments as of August 31, 2013 and 2012 are as follows: | ||||||||||||
2013 | 2012 | |||||||||||
(Dollars in thousands) | ||||||||||||
Joint ventures: | ||||||||||||
Ventura Foods, LLC | $ | 309,480 | $ | 292,393 | ||||||||
Horizon Milling, LLC | 92,635 | 78,372 | ||||||||||
TEMCO, LLC | 63,547 | 60,734 | ||||||||||
Horizon Milling, ULC | 19,314 | 16,727 | ||||||||||
Cooperatives: | ||||||||||||
Land O’Lakes, Inc. | 66,255 | 58,382 | ||||||||||
Ag Processing Inc. | 19,970 | 19,577 | ||||||||||
Other | 194,745 | 147,203 | ||||||||||
$ | 765,946 | $ | 673,388 | |||||||||
CHS has a 24% interest in Horizon Milling, LLC and Horizon Milling, ULC, flour milling joint ventures with Cargill, Incorporated (Cargill), which are accounted for as equity method investments and are included in Corporate and Other. On March 4, 2013, CHS entered into a definitive agreement with Cargill and ConAgra Foods, Inc. to form Ardent Mills, a joint venture combining the North American flour milling operations of the three parent companies, including the Horizon Milling, LLC and Horizon Milling, ULC assets and the assets leased by CHS to Horizon Milling, with CHS holding a 12% interest. Upon closing, Ardent Mills is expected to be financed with funds from third-party borrowings, which would not require credit support from the owners. The borrowings are anticipated to be no less than $600 million with proceeds distributed to each owner in proportion to the ownership interests, adjusted for any deviations in specified working capital target amounts. The transaction is expected to close during fiscal 2014, subject to financing and certain other customary closing conditions. In connection with the closing, the parties will also enter into various ancillary and non-compete agreements, including, among other things, an agreement for CHS to supply Ardent Mills with certain wheat and durum products. | ||||||||||||
CHS has a 50% interest in Ventura Foods, LLC (Ventura Foods), a joint venture which produces and distributes primarily vegetable oil-based products, and is included in Corporate and Other. We account for Ventura Foods as an equity method investment, and as of August 31, 2013, our carrying value of Ventura Foods exceeded our share of their equity by $12.9 million, which represents equity method goodwill. The following provides summarized unaudited financial information for Ventura Foods balance sheets as of August 31, 2013 and 2012, and statements of operations for the twelve months ended August 31, 2013, 2012 and 2011: | ||||||||||||
2013 | 2012 | |||||||||||
(Dollars in thousands) | ||||||||||||
Current assets | $ | 532,995 | $ | 574,925 | ||||||||
Non-current assets | 503,369 | 459,070 | ||||||||||
Current liabilities | 216,704 | 197,251 | ||||||||||
Non-current liabilities | 226,515 | 277,760 | ||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Net sales | $ | 2,541,483 | $ | 2,550,018 | $ | 2,350,895 | ||||||
Gross profit | 267,602 | 244,969 | 255,748 | |||||||||
Net earnings | 106,405 | 94,586 | 105,754 | |||||||||
Earnings attributable to CHS Inc. | 53,203 | 47,293 | 52,877 | |||||||||
During the year ended August 31, 2011, we sold all of our 45% ownership interest in Multigrain, AG to one of our joint venture partners, Mitsui & Co., Ltd., for $225.0 million and recognized a pre-tax gain of $119.7 million. | ||||||||||||
Agriliance LLC (Agriliance) is owned and governed by CHS (50%) and Land O’Lakes, Inc. (50%). We account for our Agriliance investment using the equity method of accounting within Corporate and Other. Agriliance has essentially ceased its business activities and primarily holds long-term liabilities. During the year ended August 31, 2011, we received $28.0 million of cash distributions from Agriliance as returns of capital for proceeds from the sale of many of the Agriliance retail facilities, and the collection of receivables. We recorded a pre-tax gain of $9.0 million during fiscal 2011 related to these cash distributions. During the year ended August 31, 2012, we made cash contributions of $45.4 million to Agriliance, which were primarily used to fully fund the Agriliance Employee Retirement Plan (Agriliance Plan). The Agriliance Plan assets and liabilities were transferred to CHS and Land O' Lakes, Inc. during fiscal 2012. CHS received pension plan assets and liabilities of $97.2 million and $84.5 million, respectively. We recorded the net $12.7 million pension plan asset as a non-cash dividend and recorded a $0.8 million pre-tax loss related to the distribution. | ||||||||||||
TEMCO is owned and governed by Cargill (50%) and CHS (50%). During the year ended August 31, 2012, we entered into an amended and restated agreement to expand the scope of the original agreement with Cargill. Pursuant to the terms of the agreement, CHS and Cargill each agreed to commit to sell all of their feedgrains, wheat, oilseeds and by-product origination that are tributary to the Pacific Northwest, United States (Pacific Northwest) to TEMCO and to use TEMCO as their exclusive export-marketing vehicle for such grains exported through the Pacific Northwest for a term of 25 years. Cargill's Tacoma, Washington facility will continue to be subleased to TEMCO. We agreed to sublease our Kalama, Washington facility to TEMCO, and Cargill agreed to lease their Irving facility in Portland, Oregon to TEMCO to provide TEMCO with more capacity to conduct this business. | ||||||||||||
The following provides combined financial information for our major equity investments, excluding Ventura Foods, for balance sheets as of August 31, 2013 and 2012, and statements of operations for the twelve months ended August 31, 2013, 2012 and 2011: | ||||||||||||
2013 | 2012 | |||||||||||
(Dollars in thousands) | ||||||||||||
Current assets | $ | 513,327 | $ | 631,335 | ||||||||
Non-current assets | 248,809 | 158,675 | ||||||||||
Current liabilities | 256,681 | 352,016 | ||||||||||
Non-current liabilities | 5,387 | 5,642 | ||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Net sales | $ | 5,388,248 | $ | 5,402,241 | $ | 8,399,779 | ||||||
Gross profit | 200,353 | 225,680 | 406,338 | |||||||||
Net earnings | 43,168 | 121,107 | 232,473 | |||||||||
Earnings attributable to CHS Inc. | 27,702 | 36,032 | 89,575 | |||||||||
Property_Plant_and_Equipment
Property, Plant and Equipment | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property, Plant and Equipment | ' | |||||||
Property, Plant and Equipment | ||||||||
A summary of property, plant and equipment as of August 31, 2013 and 2012 is as follows: | ||||||||
2013 | 2012 | |||||||
(Dollars in thousands) | ||||||||
Land and land improvements | $ | 169,022 | $ | 145,831 | ||||
Buildings | 574,834 | 598,269 | ||||||
Machinery and equipment | 4,195,523 | 3,786,488 | ||||||
Office and other | 118,442 | 109,136 | ||||||
Construction in progress | 480,703 | 405,755 | ||||||
5,538,524 | 5,045,479 | |||||||
Less accumulated depreciation and amortization | 2,367,120 | 2,259,155 | ||||||
$ | 3,171,404 | $ | 2,786,324 | |||||
Depreciation expense for the years ended August 31, 2013, 2012 and 2011, was $224.5 million, $199.8 million and $205.2 million, respectively. | ||||||||
We are leasing certain of our wheat milling facilities and related equipment to Horizon Milling under an operating lease agreement. The net book value of the leased milling assets at August 31, 2013 was $46.9 million. As a result of the pending Ardent Mills transaction described in Note 4, Investments, these assets are classified as held for sale in other current assets on our Consolidated Balance Sheet as of August 31, 2013. |
Other_Assets
Other Assets | 12 Months Ended | |||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||
Other Assets [Abstract] | ' | |||||||||||||||||
Other Assets | ' | |||||||||||||||||
Other Assets | ||||||||||||||||||
Other assets as of August 31, 2013 and 2012 are as follows: | ||||||||||||||||||
2013 | 2012 | |||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Goodwill | $ | 85,063 | $ | 81,693 | ||||||||||||||
Customer lists, less accumulated amortization of $20,063 and $32,883, | 16,352 | 20,694 | ||||||||||||||||
respectively | ||||||||||||||||||
Non-compete covenants, less accumulated amortization of $6,129 and | 812 | 1,987 | ||||||||||||||||
$6,896, respectively | ||||||||||||||||||
Trademarks and other intangible assets, less accumulated amortization of | 18,312 | 22,185 | ||||||||||||||||
$19,853 and $15,949, respectively | ||||||||||||||||||
Notes receivable | 143,343 | 173,054 | ||||||||||||||||
Long-term receivable | 38,704 | 37,589 | ||||||||||||||||
Prepaid pension and other benefits | 187,270 | 86,477 | ||||||||||||||||
Capitalized major maintenance | 109,408 | 70,554 | ||||||||||||||||
Other | 56,896 | 24,053 | ||||||||||||||||
$ | 656,160 | $ | 518,286 | |||||||||||||||
During the years ended August 31, 2013 and 2012, we had acquisitions which resulted in $8.3 million and $55.5 million of goodwill, respectively. There were no dispositions resulting in a decrease to goodwill during fiscal 2013 and 2012. | ||||||||||||||||||
During the years ended August 31, 2013 and 2012, intangible assets acquired totaled $1.5 million and $23.4 million, respectively. | ||||||||||||||||||
Intangible assets amortization expense for the years ended August 31, 2013, 2012 and 2011, was $10.0 million, $12.7 million and $11.0 million, respectively. The estimated annual amortization expense related to intangible assets subject to amortization for the next five years is as follows: | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Year 1 | $ | 7,997 | ||||||||||||||||
Year 2 | 6,479 | |||||||||||||||||
Year 3 | 5,927 | |||||||||||||||||
Year 4 | 4,545 | |||||||||||||||||
Year 5 | 2,507 | |||||||||||||||||
Thereafter | 8,021 | |||||||||||||||||
$ | 35,476 | |||||||||||||||||
The capitalized major maintenance activity is as follows: | ||||||||||||||||||
Balance at | Cost | Amortization | Write-Offs | Balance at | ||||||||||||||
Beginning | Deferred | End of Year | ||||||||||||||||
of Year | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
2013 | $ | 70,554 | $ | 73,701 | $ | (34,847 | ) | $ | 109,408 | |||||||||
2012 | 80,752 | 23,443 | (33,641 | ) | 70,554 | |||||||||||||
2011 | 19,097 | 92,129 | (30,474 | ) | 80,752 | |||||||||||||
Notes_Payable_and_LongTerm_Deb
Notes Payable and Long-Term Debt | 12 Months Ended | ||||||||||||
Aug. 31, 2013 | |||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||
Notes Payable and Long-Term Debt | ' | ||||||||||||
Notes Payable and Long-Term Debt | |||||||||||||
Our notes payable and long-term debt are subject to various restrictive requirements for maintenance of minimum consolidated net worth and other financial ratios. We were in compliance with our debt covenants as of August 31, 2013. | |||||||||||||
Notes Payable | |||||||||||||
Notes payable as of August 31, 2013 and 2012, consisted of the following: | |||||||||||||
Weighted-average Interest Rate | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
(Dollars in thousands) | |||||||||||||
Notes payable (a) | 2.00% | 2.58% | $ | 521,864 | $ | 269,783 | |||||||
CHS Capital notes payable (b) | 1.23% | 1.68% | 367,448 | 533,839 | |||||||||
Total notes payable | $ | 889,312 | $ | 803,622 | |||||||||
_______________________________________ | |||||||||||||
(a) | Our primary committed line of credit is a $2.5 billion five-year revolving credit facility expiring in June 2018, with a syndication of domestic and international banks, with no amounts outstanding as of August 31, 2013. We have a committed revolving credit facility dedicated to NCRA in the amount of $15.0 million that expires in December 2014, with no amounts outstanding as of August 31, 2013. We also have a committed revolving credit facility dedicated to CHS Europe S.A. in the amount of $80.0 million that expires in September 2018, with no amounts outstanding as of August 31, 2013. | ||||||||||||
Our wholly-owned subsidiaries, CHS Europe S.A. and CHS Agronegocio Industria e Comercio Ltda (CHS Agronegocio), have uncommitted lines of credit to finance their normal trading activities with $420.1 million outstanding as of August 31, 2013. These lines are collateralized by certain inventories and receivables. In addition, other international subsidiaries had lines of credit totaling $99.3 million outstanding as of August 31, 2013, of which $60.8 million was collateralized. | |||||||||||||
We have two commercial paper programs totaling up to $125.0 million with two banks participating in the revolving credit facilities. Terms of our credit facilities allow a maximum usage of $200.0 million to pay principal under any commercial paper facility. On August 31, 2013 we had no commercial paper outstanding. | |||||||||||||
Miscellaneous short-term notes payable totaled $2.5 million as of August 31, 2013. | |||||||||||||
(b) | Cofina Funding, LLC (Cofina Funding), a wholly-owned subsidiary of CHS Capital, has available credit totaling $300.0 million as of August 31, 2013, under note purchase agreements with various purchasers, through the issuance of short-term notes payable. CHS Capital sells eligible commercial loans receivable it has originated to Cofina Funding, which are then pledged as collateral under the note purchase agreements. The notes payable issued by Cofina Funding bear interest at variable rates based on commercial paper. There were no borrowings by Cofina Funding utilizing the issuance of commercial paper under the note purchase agreements as of August 31, 2013. | ||||||||||||
CHS Capital has available credit under master participation agreements with numerous counterparties. Borrowings under these agreements are accounted for as secured borrowings and bear interest at variable rates ranging from 1.96% to 2.69% as of August 31, 2013. As of August 31, 2013, the total funding commitment under these agreements was $223.8 million, of which $30.8 million was borrowed. | |||||||||||||
CHS Capital sells loan commitments it has originated to ProPartners Financial (ProPartners) on a recourse basis. The total capacity for commitments under the ProPartners program is $300.0 million. The total outstanding commitments under the program totaled $68.1 million as of August 31, 2013, of which $45.7 million was borrowed under these commitments with an interest rate of 1.60%. | |||||||||||||
CHS Capital borrows funds under short-term notes issued as part of a surplus funds program. Borrowings under this program are unsecured and bear interest at variable rates ranging from 0.80% to 1.10% as of August 31, 2013, and are due upon demand. Borrowings under these notes totaled $290.9 million as of August 31, 2013. | |||||||||||||
In October 2013, we entered into a three-year $250.0 million committed revolving credit facility for CHS Agronegocio to provide financing for its working capital needs arising from its purchases and sales of grains, fertilizers and other agricultural products. | |||||||||||||
Long-Term Debt | |||||||||||||
Long-term debt as of August 31, 2013 and 2012 consisted of the following: | |||||||||||||
2013 | 2012 | ||||||||||||
(Dollars in thousands) | |||||||||||||
5.59% unsecured revolving term loans from cooperative and other banks, due in equal installments beginning in 2013 through 2018 | $ | 135,000 | $ | 150,000 | |||||||||
6.18% unsecured notes $400 million face amount, due in equal installments beginning in 2014 through 2018 | 400,000 | 400,000 | |||||||||||
6.81% unsecured notes $225 million face amount, due in equal installments beginning in 1998 through 2013 | 37,500 | ||||||||||||
5.60% unsecured notes $60 million face amount, due in equal installments beginning in 2012 through 2018 | 41,539 | 59,615 | |||||||||||
5.25% unsecured notes $125 million face amount, due in equal installments beginning in 2011 through 2015 | 50,000 | 75,000 | |||||||||||
5.78% unsecured notes $50 million face amount, due in equal installments beginning in 2014 through 2018 | 50,000 | 50,000 | |||||||||||
4.00% unsecured notes $100 million face amount, due in equal installments beginning in 2017 through 2021 | 100,000 | 100,000 | |||||||||||
4.08% unsecured notes $130 million face amount, due in 2019 | 130,000 | 130,000 | |||||||||||
4.52% unsecured notes $160 million face amount, due in 2021 | 160,000 | 160,000 | |||||||||||
4.67% unsecured notes $130 million face amount, due in 2023 | 130,000 | 130,000 | |||||||||||
3.85% unsecured notes $80 million face amount, due in 2025 | 80,000 | ||||||||||||
3.80% unsecured notes $100 million face amount, due in 2025 | 100,000 | ||||||||||||
4.82% unsecured notes $80 million face amount, due in 2026 | 80,000 | 80,000 | |||||||||||
4.71% unsecured notes $100 million face amount, due in 2033 | 100,000 | ||||||||||||
Other notes and contracts with interest rates from 2.25% to 15.75% (a) | 50,493 | 68,238 | |||||||||||
Total long-term debt | 1,607,032 | 1,440,353 | |||||||||||
Less current portion | 156,612 | 108,211 | |||||||||||
Long-term portion | $ | 1,450,420 | $ | 1,332,142 | |||||||||
_______________________________________ | |||||||||||||
(a) | Other notes and contracts payable of $16.5 million were collateralized on August 31, 2013. | ||||||||||||
As of August 31, 2013, the carrying value of our long-term debt approximated its fair value, based on quoted market prices of similar debt (a Level 2 classification in the fair value hierarchy). | |||||||||||||
Long-term debt outstanding as of August 31, 2013 has aggregate maturities as follows: | |||||||||||||
(Dollars in thousands) | |||||||||||||
2014 | $ | 156,612 | |||||||||||
2015 | 164,022 | ||||||||||||
2016 | 130,219 | ||||||||||||
2017 | 149,832 | ||||||||||||
2018 | 162,103 | ||||||||||||
Thereafter | 844,244 | ||||||||||||
$ | 1,607,032 | ||||||||||||
Interest, net for the years ended August 31, 2013, 2012 and 2011 was as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(Dollars in thousands) | |||||||||||||
Interest expense | $ | 99,271 | $ | 94,090 | $ | 83,044 | |||||||
Interest - purchase of NCRA noncontrolling interests | 149,087 | 113,184 | |||||||||||
Capitalized interest | (10,579 | ) | (8,882 | ) | (5,487 | ) | |||||||
Interest income | (6,212 | ) | (5,129 | ) | (2,722 | ) | |||||||
Interest, net | $ | 231,567 | $ | 193,263 | $ | 74,835 | |||||||
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Aug. 31, 2013 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
Income Taxes | ' | |||||||||||
Income Taxes | ||||||||||||
The provision for income taxes for the years ended August 31, 2013, 2012 and 2011 is as follows: | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Current | ||||||||||||
Federal | $ | (18,018 | ) | $ | 9,565 | $ | 10,564 | |||||
State | 11,805 | 7,851 | 8,922 | |||||||||
Foreign | 3,162 | 4,812 | 53 | |||||||||
(3,051 | ) | 22,228 | 19,539 | |||||||||
Deferred | ||||||||||||
Federal | 92,102 | 66,707 | 54,435 | |||||||||
State | 1,685 | 1,617 | 9,454 | |||||||||
Foreign | (1,070 | ) | (9,700 | ) | 3,200 | |||||||
92,717 | 58,624 | 67,089 | ||||||||||
Total | $ | 89,666 | $ | 80,852 | $ | 86,628 | ||||||
Deferred taxes are comprised of basis differences related to investments, accrued liabilities and certain federal and state tax credits. NCRA files separate tax returns and, as such, these items must be assessed independent of our deferred tax assets when determining recoverability. | ||||||||||||
Deferred tax assets and liabilities as of August 31, 2013 and 2012 were as follows: | ||||||||||||
2013 | 2012 | |||||||||||
(Dollars in thousands) | ||||||||||||
Deferred tax assets: | ||||||||||||
Accrued expenses | $ | 66,973 | $ | 89,844 | ||||||||
Postretirement health care and deferred compensation | 57,130 | 107,817 | ||||||||||
Tax credit carryforwards | 97,242 | 118,752 | ||||||||||
Loss carryforwards | 57,174 | 30,272 | ||||||||||
Other | 40,868 | 57,429 | ||||||||||
Deferred tax assets valuation | (79,623 | ) | (56,659 | ) | ||||||||
Total deferred tax assets | 239,764 | 347,455 | ||||||||||
Deferred tax liabilities: | ||||||||||||
Pension | 6,752 | 35,516 | ||||||||||
Investments | 91,453 | 120,879 | ||||||||||
Major maintenance | 31,960 | 9,141 | ||||||||||
Property, plant and equipment | 529,101 | 453,863 | ||||||||||
Other | — | 175 | ||||||||||
Total deferred tax liabilities | 659,266 | 619,574 | ||||||||||
Net deferred tax liabilities | $ | 419,502 | $ | 272,119 | ||||||||
We have total loss carry forwards of $146.8 million, of which $81.4 million will expire over periods ranging from fiscal 2014 to fiscal 2024. NCRA’s gross state tax credit carry forwards for income tax are approximately $88.1 million and $99.5 million as of August 31, 2013, and 2012, respectively. During the year ended August 31, 2013, the valuation allowance for NCRA decreased by $4.0 million due to a change in the amount of state tax credits that are estimated to be utilized. NCRA’s valuation allowance is necessary due to the limited amount of taxable income it generates on an annual basis. Based on estimates of future taxable profits and losses in certain foreign tax jurisdictions, we determined that a valuation allowance was required for specific foreign loss carry forwards as of August 31, 2013. If these estimates prove inaccurate, a change in the valuation allowance, up or down, could be required in the future. During 2013, foreign loss tax valuation allowances increased by $26.1 million. | ||||||||||||
Our foreign tax credit of $7.0 million will expire on August 31, 2019. Our general business credits of $39.0 million , comprised primarily of low sulfur diesel credits, will begin to expire on August 31, 2027. | ||||||||||||
As of August 31, 2013, net deferred taxes of $39.3 million and $458.8 million were included in other current assets and other liabilities, respectively. As of August 31, 2012, net deferred taxes of $37.6 million and $309.7 million were included in other current assets and other liabilities, respectively. | ||||||||||||
The reconciliation of the statutory federal income tax rates to the effective tax rates for the years ended August 31, 2013, 2012 and 2011 is as follows: | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Statutory federal income tax rate | 35 | % | 35 | % | 35 | % | ||||||
State and local income taxes, net of federal income tax benefit | 0.9 | 0.5 | 1.3 | |||||||||
Patronage earnings | (22.9 | ) | (24.2 | ) | (20.5 | ) | ||||||
Domestic production activities deduction | (8.5 | ) | (3.5 | ) | (3.2 | ) | ||||||
Export activities at rates other than the U.S. statutory rate | 0.6 | 0.4 | 0.5 | |||||||||
Valuation allowance | 2.3 | 0.6 | 0.9 | |||||||||
Tax credits | (0.5 | ) | (1.3 | ) | (3.1 | ) | ||||||
Non-controlling interests | (0.1 | ) | (1.9 | ) | (3.0 | ) | ||||||
Other | 1.5 | 0.1 | (0.4 | ) | ||||||||
Effective tax rate | 8.3 | % | 5.7 | % | 7.5 | % | ||||||
We file income tax returns in the U.S. federal jurisdiction, and various state and foreign jurisdictions. Our uncertain tax positions are affected by the tax years that are under audit or remain subject to examination by the relevant taxing authorities. In addition to the current year, fiscal 2006 through 2012 remain subject to examination, at least for certain issues. | ||||||||||||
We account for our income tax provisions in accordance with ASC 740, Income Taxes, which prescribes a minimum threshold that a tax provision is required to meet before being recognized in our consolidated financial statements. This interpretation requires us to recognize in our consolidated financial statements tax positions determined more likely than not to be sustained upon examination, based on the technical merits of the position. Reconciliation of the gross beginning and ending amounts of unrecognized tax benefits for the periods presented follows: | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Balance at beginning of period | $ | 67,271 | $ | 67,271 | $ | 69,357 | ||||||
Reductions attributable to statute expiration | (2,086 | ) | ||||||||||
Balance at end of period | $ | 67,271 | $ | 67,271 | $ | 67,271 | ||||||
If we were to prevail on all tax positions taken relating to uncertain tax positions, substantially all of the unrecognized tax benefits would benefit the effective tax rate. We do not believe it is reasonably possible that the total amounts of unrecognized tax benefits will significantly increase or decrease during the next 12 months. | ||||||||||||
We recognize interest and penalties related to unrecognized tax benefits in our provision for income taxes. For the years ended August 31, 2013, 2012 and 2011, we recognized in our Consolidated Statements of Operations $0.2 million, $0.2 million and $0.1 million, respectively, for interest related to unrecognized tax benefits. We recorded interest payable related to unrecognized tax benefits on our Consolidated Balance Sheets of $0.6 million and $0.4 million, as of August 31, 2013 and 2012, respectively. |
Equities
Equities | 12 Months Ended | |||||||||||
Aug. 31, 2013 | ||||||||||||
Equity [Abstract] | ' | |||||||||||
Equities | ' | |||||||||||
Equities | ||||||||||||
In accordance with the bylaws and by action of the Board of Directors, annual net earnings from patronage sources are distributed to consenting patrons following the close of each fiscal year, and are based on amounts using financial statement earnings. The cash portion of the qualified patronage distribution is determined annually by the Board of Directors, with the balance issued in the form of capital equity certificates. Total qualified patronage refunds for fiscal 2013 are estimated to be $711.9 million, with the cash portion estimated to be $284.8 million. Beginning in fiscal 2014, a portion of patronage refunds will be in the form of non-qualified capital equity certificates and is estimated to be $129.5 million. The actual qualified patronage refunds and cash portion for fiscal years 2012, 2011, and 2010 were $976.0 million ($380.9 million in cash), $676.3 million ($260.7 million in cash), and $402.4 million ($141.5 million in cash), respectively. | ||||||||||||
Annual net savings from patronage or other sources may be added to the unallocated capital reserve or, upon action by the Board of Directors, may be allocated to members in the form of nonpatronage equity certificates. The Board of Directors authorized, in accordance with our bylaws, that 10% of the earnings from patronage business for fiscal years 2013, 2012, and 2011 be added to our capital reserves. | ||||||||||||
Redemptions are at the discretion of the Board of Directors. Redemptions of capital equity certificates approved by the Board of Directors are divided into two pools, one for non-individuals (primarily member cooperatives) who may participate in an annual program for equities held by them and another for individual members who are eligible for equity redemptions at age 70 or upon death. In accordance with authorization from the Board of Directors, we expect total redemptions related to the year ended August 31, 2013 that will be distributed in fiscal 2014, to be approximately $101.3 million. These expected distributions are classified as a current liability on the August 31, 2013 Consolidated Balance Sheet. For the years ended August 31, 2013, 2012 and 2011, we redeemed in cash, equities in accordance with authorization from the Board of Directors, in the amounts of $193.4 million, $145.7 million and $61.2 million, respectively. | ||||||||||||
Our 8% Preferred Stock is listed on the NASDAQ under the symbol CHSCP. On August 31, 2013, we had 12,272,003 shares of our 8% Preferred Stock outstanding with a total redemption value of $306.8 million, excluding accumulated dividends. Our 8% Preferred Stock accumulates dividends at a rate of 8% per year, which are payable quarterly. Dividends paid on our 8% Preferred Stock during the years ended August 31, 2013, 2012 and 2011, were $24.5 million, $24.5 million, and $24.5 million, respectively. During the year ended August 31, 2013, we amended the terms of our 8% Preferred Stock to provide that it may not be redeemed at our option until July 18, 2023. | ||||||||||||
During September 2013, we issued 11,319,175 shares of Class B Preferred Stock, with a total redemption value of $283.0 million, excluding accumulated dividends. The Class B Preferred Stock is listed on the NASDAQ under the symbol CHSCO and accumulates dividends at a rate of 7.875% per year, which are payable quarterly. Our Class B Preferred Stock may not be redeemed at our option until September 26, 2023. | ||||||||||||
As described in Note 17, Acquisitions, we have a firm commitment to purchase the remaining NCRA noncontrolling interests. The following table presents the effects of changes in our NCRA ownership interest on CHS equities for the years ended August 31, 2013, 2012, and 2011. | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Net income attributable to CHS Inc. | $ | 992,386 | $ | 1,260,628 | $ | 961,355 | ||||||
Transfers to noncontrolling interests: | ||||||||||||
Decrease in CHS Inc. capital reserves for purchase of noncontrolling interests | (82,138 | ) | ||||||||||
Changes from net income attributable to CHS Inc. and transfers to noncontrolling interests | $ | 992,386 | $ | 1,178,490 | $ | 961,355 | ||||||
Benefit_Plans
Benefit Plans | 12 Months Ended | |||||||||||||||||||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||||||||||||||||||||||
Benefit plans | ' | |||||||||||||||||||||||||||||||||||
Benefit Plans | ||||||||||||||||||||||||||||||||||||
We have various pension and other defined benefit and defined contribution plans, in which substantially all employees may participate. We also have non-qualified supplemental executive and Board retirement plans. | ||||||||||||||||||||||||||||||||||||
Financial information on changes in benefit obligation and plan assets funded and balance sheets status as of August 31, 2013 and 2012 is as follows: | ||||||||||||||||||||||||||||||||||||
Qualified | Non-Qualified | Other Benefits | ||||||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits | |||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Change in benefit obligation: | ||||||||||||||||||||||||||||||||||||
Benefit obligation at beginning of period | $ | 671,066 | $ | 501,053 | $ | 34,470 | $ | 29,728 | $ | 64,189 | $ | 56,864 | ||||||||||||||||||||||||
Service cost | 31,387 | 26,010 | 721 | 279 | 2,936 | 2,556 | ||||||||||||||||||||||||||||||
Interest cost | 25,445 | 24,119 | 1,316 | 1,343 | 2,275 | 2,638 | ||||||||||||||||||||||||||||||
Transfers in from Agriliance Employee Retirement Plan | 84,498 | |||||||||||||||||||||||||||||||||||
Actuarial loss (gain) | 12,819 | 982 | 3,455 | 2,498 | (5,243 | ) | (1,997 | ) | ||||||||||||||||||||||||||||
Assumption change | (64,483 | ) | 62,755 | (1,952 | ) | 1,956 | (16,693 | ) | 6,437 | |||||||||||||||||||||||||||
Plan amendments | (899 | ) | ||||||||||||||||||||||||||||||||||
Medicare D | 92 | 625 | ||||||||||||||||||||||||||||||||||
Benefits paid | (34,950 | ) | (28,351 | ) | (1,785 | ) | (1,334 | ) | (2,014 | ) | (2,035 | ) | ||||||||||||||||||||||||
Benefit obligation at end of period | $ | 641,284 | $ | 671,066 | $ | 36,225 | $ | 34,470 | $ | 45,542 | $ | 64,189 | ||||||||||||||||||||||||
Change in plan assets: | ||||||||||||||||||||||||||||||||||||
Fair value of plan assets at beginning of period | $ | 688,196 | $ | 540,822 | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||||||||
Actual gain on plan assets | 53,582 | 50,515 | ||||||||||||||||||||||||||||||||||
Company contributions | 23,800 | 28,000 | 1,785 | 1,334 | 2,014 | 2,035 | ||||||||||||||||||||||||||||||
Transfers in from Agriliance Employee Retirement Plan | 97,210 | |||||||||||||||||||||||||||||||||||
Benefits paid | (34,950 | ) | (28,351 | ) | (1,785 | ) | (1,334 | ) | (2,014 | ) | (2,035 | ) | ||||||||||||||||||||||||
Fair value of plan assets at end of period | $ | 730,628 | $ | 688,196 | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||||||||
Funded status at end of period | $ | 89,344 | $ | 17,130 | $ | (36,225 | ) | $ | (34,470 | ) | $ | (45,542 | ) | $ | (64,189 | ) | ||||||||||||||||||||
Amounts recognized on balance sheet: | ||||||||||||||||||||||||||||||||||||
Non-current assets | $ | 89,930 | $ | 17,695 | ||||||||||||||||||||||||||||||||
Accrued benefit cost: | ||||||||||||||||||||||||||||||||||||
Current liabilities | $ | (3,051 | ) | $ | (3,325 | ) | $ | (2,919 | ) | $ | (3,297 | ) | ||||||||||||||||||||||||
Non-current liabilities | (586 | ) | (565 | ) | (33,174 | ) | (31,145 | ) | (42,623 | ) | (60,892 | ) | ||||||||||||||||||||||||
Ending balance | $ | 89,344 | $ | 17,130 | $ | (36,225 | ) | $ | (34,470 | ) | $ | (45,542 | ) | $ | (64,189 | ) | ||||||||||||||||||||
Amounts recognized in accumulated other comprehensive loss (pretax): | ||||||||||||||||||||||||||||||||||||
Net transition obligation | $ | 563 | ||||||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 7,794 | $ | 9,392 | $ | 1,088 | $ | 1,316 | $ | (712 | ) | (17 | ) | |||||||||||||||||||||||
Net loss (gain) | 253,288 | 331,420 | 10,685 | 10,104 | (5,415 | ) | 683 | |||||||||||||||||||||||||||||
Ending balance | $ | 261,082 | $ | 340,812 | $ | 11,773 | $ | 11,420 | $ | (6,127 | ) | $ | 1,229 | |||||||||||||||||||||||
The accumulated benefit obligation of the qualified pension plans was $605.6 million and $628.5 million at August 31, 2013 and 2012, respectively. The accumulated benefit obligation of the non-qualified pension plans was $20.1 million and $19.7 million at August 31, 2013 and 2012, respectively. | ||||||||||||||||||||||||||||||||||||
As described in Note 4, Investments, during the year ended August 31, 2012, the Agriliance Plan assets and liabilities were proportionally transferred to CHS and Land O'Lakes. CHS received pension plan assets and liabilities of $97.2 million and $84.5 million, respectively, and recorded the net $12.7 million pension plan asset as a non-cash dividend. Our share of the Agriliance Plan's accumulated other comprehensive loss, or $44.8 million, was reflected in our pre-tax balance for accumulated other comprehensive loss as of August 31, 2012. | ||||||||||||||||||||||||||||||||||||
The assumption changes for the fiscal years ended August 31, 2013 and 2012 were related to increases in and reductions to the discount rates for both CHS and NCRA qualified pension plans, respectively. The changes in the discount rates were due to changes in the yield curves for investment grade corporate bonds that CHS and NCRA have historically used. | ||||||||||||||||||||||||||||||||||||
Components of net periodic benefit costs for the years ended August 31, 2013, 2012 and 2011 are as follows: | ||||||||||||||||||||||||||||||||||||
Qualified | Non-Qualified | Other Benefits | ||||||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits | |||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Components of net periodic benefit costs: | ||||||||||||||||||||||||||||||||||||
Service cost | $ | 31,387 | $ | 26,010 | $ | 25,232 | $ | 721 | $ | 279 | $ | 1,246 | $ | 2,936 | $ | 2,556 | $ | 1,771 | ||||||||||||||||||
Interest cost | 25,445 | 24,119 | 22,257 | 1,316 | 1,343 | 1,933 | 2,275 | 2,638 | 2,194 | |||||||||||||||||||||||||||
Expected return on assets | (49,728 | ) | (40,904 | ) | (41,770 | ) | ||||||||||||||||||||||||||||||
Settlement of retiree obligations | 4,735 | |||||||||||||||||||||||||||||||||||
Prior service cost (credit) amortization | 1,597 | 1,831 | 2,327 | 228 | 228 | 141 | (120 | ) | (104 | ) | (122 | ) | ||||||||||||||||||||||||
Actuarial loss amortization | 22,615 | 15,131 | 16,090 | 921 | 428 | 967 | 1,104 | 891 | 513 | |||||||||||||||||||||||||||
Transition amount amortization | 562 | 936 | 935 | |||||||||||||||||||||||||||||||||
Net periodic benefit cost | $ | 31,316 | $ | 26,187 | $ | 24,136 | $ | 3,186 | $ | 2,278 | $ | 9,022 | $ | 6,757 | $ | 6,917 | $ | 5,291 | ||||||||||||||||||
Weighted-average assumptions to determine the net periodic benefit cost: | ||||||||||||||||||||||||||||||||||||
Discount rate | 3.8 | % | 5 | % | 4.75 | % | 4.25 | % | 5 | % | 4.75 | % | 3.75 | % | 4.75 | % | 4.75 | % | ||||||||||||||||||
Expected return on plan assets | 7.25 | % | 7.25 | % | 7.75 | % | N/A | N/A | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||
Rate of compensation increase | 4.5 | % | 4.5 | % | 4.5 | % | 4.75 | % | 4.75 | % | 4.75 | % | 4.5 | % | 4.5 | % | 4.5 | % | ||||||||||||||||||
Weighted-average assumptions to determine the benefit obligations: | ||||||||||||||||||||||||||||||||||||
Discount rate | 4.8 | % | 3.8 | % | 5 | % | 4.5 | % | 4 | % | 5 | % | 3.75 | % | 3.75 | % | 4.75 | % | ||||||||||||||||||
Rate of compensation increase | 4.85 | % | 4.5 | % | 4.5 | % | 4.75 | % | 4.75 | % | 4.5 | % | 4.5 | % | 4.5 | % | 4.5 | % | ||||||||||||||||||
The estimated amortization in fiscal 2014 from accumulated other comprehensive loss into net periodic benefit cost is as follows: | ||||||||||||||||||||||||||||||||||||
Qualified | Non-Qualified | Other | ||||||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits | Benefits | ||||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Amortization of prior service cost (benefit) | $ | 1,597 | $ | 229 | $ | (120 | ) | |||||||||||||||||||||||||||||
Amortization of net actuarial loss (gain) | 18,576 | 951 | (374 | ) | ||||||||||||||||||||||||||||||||
For measurement purposes, a 7.5% annual rate of increase in the per capita cost of covered health care benefits was assumed for the year ended August 31, 2013. The rate was assumed to decrease gradually to 5.0% by 2022 and remain at that level thereafter. | ||||||||||||||||||||||||||||||||||||
Assumed health care cost trend rates have a significant effect on the amounts reported for the health care plans. A one-percentage point change in the assumed health care cost trend rates would have the following effects: | ||||||||||||||||||||||||||||||||||||
1% Increase | 1% Decrease | |||||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Effect on total of service and interest cost components | $ | 700 | $ | (580 | ) | |||||||||||||||||||||||||||||||
Effect on postretirement benefit obligation | 5,300 | (4,700 | ) | |||||||||||||||||||||||||||||||||
We provide defined life insurance and health care benefits for certain retired employees and Board of Directors participants. The plan is contributory based on years of service and family status, with retiree contributions adjusted annually. | ||||||||||||||||||||||||||||||||||||
We have other contributory defined contribution plans covering substantially all employees. Total contributions by us to these plans were $22.9 million, $20.6 million and $18.6 million, for the years ended August 31, 2013, 2012 and 2011, respectively. | ||||||||||||||||||||||||||||||||||||
We voluntarily contributed $23.8 million to qualified pension plans in fiscal 2013. Based on the funded status of the qualified pension plans as of August 31, 2013, we do not anticipate having to contribute to these plans in fiscal 2014, although we may voluntarily elect to do so. We expect to pay $6.0 million to participants of the non-qualified pension and postretirement benefit plans during fiscal 2014. | ||||||||||||||||||||||||||||||||||||
Our retiree benefit payments which reflect expected future service are anticipated to be paid as follows: | ||||||||||||||||||||||||||||||||||||
Qualified | Non-Qualified | Other Benefits | ||||||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits | Gross | Medicare D | |||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
2014 | $ | 33,704 | $ | 3,051 | $ | 2,919 | $ | 200 | ||||||||||||||||||||||||||||
2015 | 42,350 | 896 | 3,107 | 200 | ||||||||||||||||||||||||||||||||
2016 | 45,894 | 799 | 3,382 | 200 | ||||||||||||||||||||||||||||||||
2017 | 47,406 | 4,609 | 3,405 | 200 | ||||||||||||||||||||||||||||||||
2018 | 49,812 | 2,628 | 3,555 | 200 | ||||||||||||||||||||||||||||||||
2019-2023 | 282,842 | 18,637 | 19,329 | 800 | ||||||||||||||||||||||||||||||||
We have trusts that hold the assets for the defined benefit plans. CHS and NCRA have qualified plan committees that set investment guidelines with the assistance of external consultants. Investment objectives for the plans' assets are as follows: | ||||||||||||||||||||||||||||||||||||
• | optimization of the long-term returns on plan assets at an acceptable level of risk | |||||||||||||||||||||||||||||||||||
• | maintenance of a broad diversification across asset classes and among investment managers | |||||||||||||||||||||||||||||||||||
• | focus on long-term return objectives | |||||||||||||||||||||||||||||||||||
Asset allocation targets promote optimal expected return and volatility characteristics given the long-term time horizon for fulfilling the obligations of the pension plans. During fiscal year 2013, the CHS pension plans' investment policy strategy was adjusted so that liabilities match assets, which was accomplished through changes to the asset portfolio mix to reduce volatility and de-risk the plan. Thus, the plans’ target allocation percentages were changed from 65% in fiscal 2012 to 50% in fiscal 2013 for fixed income securities, and from 35% in fiscal 2012 to 50% in fiscal 2013 for equity securities. An annual analysis of the risk versus the return of the investment portfolio is conducted to justify the expected long-term rate of return assumption. We generally use long-term historical return information for the targeted asset mix identified in asset and liability studies. Adjustments are made to the expected long-term rate of return assumption, when deemed necessary, based upon revised expectations of future investment performance of the overall investment markets. | ||||||||||||||||||||||||||||||||||||
The discount rate reflects the rate at which the associated benefits could be effectively settled as of the measurement date. In estimating this rate, we look at rates of return on fixed-income investments of similar duration to the liabilities in the plans that receive high, investment-grade ratings by recognized ratings agencies. | ||||||||||||||||||||||||||||||||||||
The investment portfolio contains a diversified portfolio of investment categories, including domestic and international equities, fixed-income securities and real estate. Securities are also diversified in terms of domestic and international securities, short and long-term securities, growth and value equities, large and small cap stocks, as well as active and passive management styles. | ||||||||||||||||||||||||||||||||||||
The committees believe that with prudent risk tolerance and asset diversification, the plans should be able to meet pension obligations in the future. | ||||||||||||||||||||||||||||||||||||
Our pension plans’ fair value measurements at August 31, 2013 and 2012 are as follows: | ||||||||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 667 | $ | 667 | ||||||||||||||||||||||||||||||||
Equities: | ||||||||||||||||||||||||||||||||||||
Mutual funds | 113,982 | 80,619 | 194,601 | |||||||||||||||||||||||||||||||||
Fixed income securities: | ||||||||||||||||||||||||||||||||||||
Mutual funds | 75,729 | 409,996 | $ | 1,940 | 487,665 | |||||||||||||||||||||||||||||||
Partnership and joint venture interests | 26,014 | 3,403 | 29,417 | |||||||||||||||||||||||||||||||||
Real estate funds | 18,156 | 18,156 | ||||||||||||||||||||||||||||||||||
Hedge funds | 122 | 122 | ||||||||||||||||||||||||||||||||||
Total | $ | 190,378 | $ | 516,629 | $ | 23,621 | $ | 730,628 | ||||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 2,588 | $ | 21,380 | $ | 23,968 | ||||||||||||||||||||||||||||||
Equities: | ||||||||||||||||||||||||||||||||||||
Mutual funds | 115,515 | 289,286 | 404,801 | |||||||||||||||||||||||||||||||||
Fixed income securities: | ||||||||||||||||||||||||||||||||||||
Mutual funds | 76,795 | 164,380 | $ | 1,868 | 243,043 | |||||||||||||||||||||||||||||||
Real estate funds | 16,257 | 16,257 | ||||||||||||||||||||||||||||||||||
Hedge funds | 127 | 127 | ||||||||||||||||||||||||||||||||||
Total | $ | 194,898 | $ | 475,046 | $ | 18,252 | $ | 688,196 | ||||||||||||||||||||||||||||
Definitions for valuation levels are found in Note 12, Fair Value Measurements. We use the following valuation methodologies for assets measured at fair value. | ||||||||||||||||||||||||||||||||||||
Mutual funds: Valued at quoted market prices, which are based on the net asset value of shares held by the plan at year end. Mutual funds traded in active markets are classified within Level 1 of the fair value hierarchy. Certain of the mutual fund investments held by the plan have observable inputs other than Level 1 and are classified within Level 2 of the fair value hierarchy. | ||||||||||||||||||||||||||||||||||||
Partnership and joint venture interests: Valued at the net asset value of shares held by the plan at year end as a practical expedient for fair value. The net asset value is based on the fair value of the underlying assets owned by the trust, minus its liabilities then divided by the number of units outstanding. Certain of these investments have observable inputs other than Level 1 and are classified accordingly within Level 2 of the fair value hierarchy. Other investments in this category are valued using significant unobservable inputs and are classified within Level 3 of the fair value hierarchy. | ||||||||||||||||||||||||||||||||||||
Real Estate funds: Valued quarterly at estimated fair value based on the underlying investee funds in which the real estate fund invests. This information is compiled, in addition to any other assets and liabilities (accrued expenses and unit-holder transactions), to determine the fund’s unit value. The real estate fund is not traded on an active market and is classified within Level 3 of the fair value hierarchy. | ||||||||||||||||||||||||||||||||||||
Hedge funds: Valued at estimated fair value based on prices quoted by various national markets and publications and/or independent financial analysts. These investments are classified within Level 3 of the fair value hierarchy. | ||||||||||||||||||||||||||||||||||||
The preceding methods described may produce a fair value calculation that may not be indicative of the net realizable value or reflective of future fair values. Furthermore, although we believe our valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. The following tables set forth a summary of changes in the fair value of the plan’s Level 3 assets for the years ended August 31, 2013 and 2012: | ||||||||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||
Mutual Funds | Partnership and Joint Venture Interests | Real | Hedge | Total | ||||||||||||||||||||||||||||||||
Estate | Funds | |||||||||||||||||||||||||||||||||||
Funds | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Balances at beginning of period | $ | 1,868 | $ | 16,257 | $ | 127 | $ | 18,252 | ||||||||||||||||||||||||||||
Unrealized gains (losses) | (4 | ) | 1,894 | 7 | 1,897 | |||||||||||||||||||||||||||||||
Realized gains (losses) | 82 | (10 | ) | 72 | ||||||||||||||||||||||||||||||||
Sales | (12 | ) | (12 | ) | (24 | ) | ||||||||||||||||||||||||||||||
Purchases | $ | 3,403 | 15 | 3,418 | ||||||||||||||||||||||||||||||||
Transfers into level 3 | 6 | 6 | ||||||||||||||||||||||||||||||||||
Total | $ | 1,940 | $ | 3,403 | $ | 18,156 | $ | 122 | $ | 23,621 | ||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||||||||
Mutual Funds | Real | Hedge | Total | |||||||||||||||||||||||||||||||||
Estate | Funds | |||||||||||||||||||||||||||||||||||
Funds | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Balances at beginning of period | $ | 14,522 | $ | 191 | $ | 14,713 | ||||||||||||||||||||||||||||||
Unrealized gains (losses) | $ | 48 | 1,763 | (68 | ) | 1,743 | ||||||||||||||||||||||||||||||
Realized gains (losses) | 90 | (48 | ) | 42 | ||||||||||||||||||||||||||||||||
Sales | (8 | ) | (2 | ) | (10 | ) | ||||||||||||||||||||||||||||||
Purchases | 22 | 4 | 26 | |||||||||||||||||||||||||||||||||
Transfers into level 3 | 1,738 | 1,738 | ||||||||||||||||||||||||||||||||||
Total | $ | 1,868 | $ | 16,257 | $ | 127 | $ | 18,252 | ||||||||||||||||||||||||||||
We are one of approximately 400 employers that contribute to the Co-op Retirement Plan (Co-op Plan), which is a defined benefit plan constituting a “multiple employer plan” under the Internal Revenue Code of 1986, as amended, and a “multiemployer plan” under the accounting standards. The risks of participating in these multiemployer plans are different from single-employer plans in the following aspects: | ||||||||||||||||||||||||||||||||||||
• | Assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers; | |||||||||||||||||||||||||||||||||||
• | If a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers; and | |||||||||||||||||||||||||||||||||||
• | If we choose to stop participating in the multiemployer plan, we may be required to pay the plan an amount based on the underfunded status of the plan, referred to as a withdrawal liability. | |||||||||||||||||||||||||||||||||||
Our participation in the Co-op Plan for the years ended August 31, 2013, 2012, and 2011 is outlined in the table below: | ||||||||||||||||||||||||||||||||||||
Contributions of CHS | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Plan Name | EIN/Plan Number | 2013 | 2012 | 2011 | Surcharge Imposed | Expiration Date of Collective Bargaining Agreement | ||||||||||||||||||||||||||||||
Co-op Retirement Plan | 01-0689331 / 001 | $ | 2,095 | $ | 1,885 | $ | 1,279 | N/A | N/A | |||||||||||||||||||||||||||
Our contributions for the years stated above did not represent more than 5% of total contributions to the Co-op Plan as indicated in the Co-op Plan's most recently available annual report (Form 5500). Acquisitions during the years ended August 31, 2012 and 2011 increased the number of CHS covered participants in the Co-op Plan by approximately 70%, affecting the period-to-period comparability of the contributions for the years ending August 31, 2012 and 2011. | ||||||||||||||||||||||||||||||||||||
The Pension Protection Act (PPA) of 2006 does not apply to the Co-op Plan because it is covered and defined as a single-employer plan. There is a special exemption for cooperative plans defining them under the single-employer plan as long as the plan is maintained by more than one employer and at least 85% of the employers are rural cooperatives or cooperative organizations owned by agricultural producers. In the Co-op Plan, a “zone status” determination is not required, and therefore not determined. In addition, the accumulated benefit obligations and plan assets are not determined or allocated separately by individual employer. The most recent financial statements available in 2013 and 2012 are for the Co-op Plan's year-end at March 31, 2012 and 2011, respectively. In total, the Co-op Plan was at least 80% funded on those dates based on the total plan assets and accumulated benefit obligations. | ||||||||||||||||||||||||||||||||||||
Because the provisions of the PPA do not apply to the Co-op Plan, funding improvement plans and surcharges are not applicable. Future contribution requirements are determined each year as part of the actuarial valuation of the plan and may change as a result of plan experience. | ||||||||||||||||||||||||||||||||||||
In addition to the contributions to the Co-op Plan listed above, total contributions to individually insignificant multi-employer pension plans were immaterial in fiscal years 2013, 2012 and 2011. |
Segment_Reporting
Segment Reporting | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||
Segment Reporting | ' | |||||||||||||||||||
Segment Reporting | ||||||||||||||||||||
We have aligned our segments based on an assessment of how our businesses are operated and the products and services they sell. | ||||||||||||||||||||
Our Energy segment produces and provides primarily for the wholesale distribution of petroleum products and transportation of those products. Our Ag segment purchases and further processes or resells grains and oilseeds originated by our country operations business, by our member cooperatives and by third parties, and also serves as a wholesaler and retailer of crop inputs. Corporate and Other primarily represents our non-consolidated wheat milling and packaged food joint ventures, as well as our business solutions operations, which consists of commodities hedging, insurance and financial services related to crop production. | ||||||||||||||||||||
Corporate administrative expenses are allocated to each business segment, and Corporate and Other, based on direct usage for services that can be tracked, such as information technology and legal, and other factors or considerations relevant to the costs incurred. | ||||||||||||||||||||
Many of our business activities are highly seasonal and operating results will vary throughout the year. Historically, our income is generally lowest during the second fiscal quarter and highest during the third fiscal quarter. For example, in our Ag segment, our agronomy and country operations businesses experience higher volumes and income during the spring planting season and in the fall, which corresponds to harvest. Also in our Ag segment, our grain marketing operations are subject to fluctuations in volumes and earnings based on producer harvests, world grain prices and demand. Our Energy segment generally experiences higher volumes and profitability in certain operating areas, such as refined products, in the summer and early fall when gasoline and diesel fuel usage is highest and is subject to global supply and demand forces. Other energy products, such as propane, may experience higher volumes and profitability during the winter heating and crop drying seasons. | ||||||||||||||||||||
Our revenues, assets and cash flows can be significantly affected by global market prices for commodities such as petroleum products, natural gas, grains, oilseeds, crop nutrients and flour. Changes in market prices for commodities that we purchase without a corresponding change in the selling prices of those products can affect revenues and operating earnings. Commodity prices are affected by a wide range of factors beyond our control, including the weather, crop damage due to disease or insects, drought, the availability and adequacy of supply, government regulations and policies, world events, and general political and economic conditions. | ||||||||||||||||||||
While our revenues and operating results are derived from businesses and operations which are wholly-owned and majority-owned, a portion of our business operations are conducted through companies in which we hold ownership interests of 50% or less and do not control the operations. We account for these investments primarily using the equity method of accounting, wherein we record our proportionate share of income or loss reported by the entity as equity income from investments, without consolidating the revenues and expenses of the entity in our Consolidated Statements of Operations. In our Ag segment, this principally includes our 50% ownership in TEMCO. In Corporate and Other, these investments principally include our 50% ownership in Ventura Foods and our 24% ownership in Horizon Milling and Horizon Milling, ULC. | ||||||||||||||||||||
Reconciling Amounts represent the elimination of revenues between segments. Such transactions are executed at market prices to more accurately evaluate the profitability of the individual business segments. | ||||||||||||||||||||
Segment information for the years ended August 31, 2013, 2012 and 2011 is as follows: | ||||||||||||||||||||
Energy | Ag | Corporate | Reconciling | Total | ||||||||||||||||
and Other | Amounts | |||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
For the year ended August 31, 2013: | ||||||||||||||||||||
Revenues | $ | 12,982,293 | $ | 31,909,791 | $ | 69,238 | $ | (481,465 | ) | $ | 44,479,857 | |||||||||
Cost of goods sold | 11,846,458 | 31,341,453 | (241 | ) | (481,465 | ) | 42,706,205 | |||||||||||||
Gross profit | 1,135,835 | 568,338 | 69,479 | — | 1,773,652 | |||||||||||||||
Marketing, general and administrative | 172,136 | 312,616 | 68,871 | 553,623 | ||||||||||||||||
Operating earnings | 963,699 | 255,722 | 608 | — | 1,220,029 | |||||||||||||||
Gain on investments | — | (27 | ) | (155 | ) | (182 | ) | |||||||||||||
Interest, net | 148,366 | 71,597 | 11,604 | 231,567 | ||||||||||||||||
Equity income from investments | (1,357 | ) | (15,194 | ) | (80,799 | ) | (97,350 | ) | ||||||||||||
Income before income taxes | $ | 816,690 | $ | 199,346 | $ | 69,958 | $ | — | $ | 1,085,994 | ||||||||||
Intersegment revenues | $ | (481,465 | ) | $ | 481,465 | $ | — | |||||||||||||
Goodwill | $ | 1,165 | $ | 77,000 | $ | 6,898 | $ | 85,063 | ||||||||||||
Capital expenditures | $ | 452,859 | $ | 198,892 | $ | 7,622 | $ | 659,373 | ||||||||||||
Depreciation and amortization | $ | 120,447 | $ | 105,654 | $ | 15,690 | $ | 241,791 | ||||||||||||
Total identifiable assets | $ | 4,409,594 | $ | 6,146,547 | $ | 2,948,129 | $ | 13,504,270 | ||||||||||||
For the year ended August 31, 2012: | ||||||||||||||||||||
Revenues | $ | 12,816,542 | $ | 28,181,445 | $ | 68,882 | $ | (467,583 | ) | $ | 40,599,286 | |||||||||
Cost of goods sold | 11,514,463 | 27,544,040 | (2,777 | ) | (467,583 | ) | 38,588,143 | |||||||||||||
Gross profit | 1,302,079 | 637,405 | 71,659 | — | 2,011,143 | |||||||||||||||
Marketing, general and administrative | 155,786 | 273,757 | 68,690 | 498,233 | ||||||||||||||||
Operating earnings | 1,146,293 | 363,648 | 2,969 | — | 1,512,910 | |||||||||||||||
Loss on investments | 4,008 | 1,049 | 408 | 5,465 | ||||||||||||||||
Interest, net | 122,302 | 57,915 | 13,046 | 193,263 | ||||||||||||||||
Equity income from investments | (7,537 | ) | (22,737 | ) | (72,115 | ) | (102,389 | ) | ||||||||||||
Income before income taxes | $ | 1,027,520 | $ | 327,421 | $ | 61,630 | $ | — | $ | 1,416,571 | ||||||||||
Intersegment revenues | $ | (467,583 | ) | $ | 467,583 | $ | — | |||||||||||||
Goodwill | $ | 1,165 | $ | 73,630 | $ | 6,898 | $ | 81,693 | ||||||||||||
Capital expenditures | $ | 294,560 | $ | 168,825 | $ | 5,226 | $ | 468,611 | ||||||||||||
Depreciation and amortization | $ | 109,496 | $ | 92,538 | $ | 17,598 | $ | 219,632 | ||||||||||||
Total identifiable assets | $ | 3,704,796 | $ | 7,316,410 | $ | 2,623,818 | $ | 13,645,024 | ||||||||||||
For the year ended August 31, 2011: | ||||||||||||||||||||
Revenues | $ | 11,467,381 | $ | 25,767,033 | $ | 64,809 | $ | (383,389 | ) | $ | 36,915,834 | |||||||||
Cost of goods sold | 10,694,687 | 25,204,301 | (2,611 | ) | (383,389 | ) | 35,512,988 | |||||||||||||
Gross profit | 772,694 | 562,732 | 67,420 | — | 1,402,846 | |||||||||||||||
Marketing, general and administrative | 142,708 | 229,369 | 66,421 | 438,498 | ||||||||||||||||
Operating earnings | 629,986 | 333,363 | 999 | — | 964,348 | |||||||||||||||
Loss (gain) on investments | 1,027 | (118,344 | ) | (9,412 | ) | (126,729 | ) | |||||||||||||
Interest, net | 5,829 | 57,438 | 11,568 | 74,835 | ||||||||||||||||
Equity income from investments | (6,802 | ) | (40,482 | ) | (84,130 | ) | (131,414 | ) | ||||||||||||
Income before income taxes | $ | 629,932 | $ | 434,751 | $ | 82,973 | $ | — | $ | 1,147,656 | ||||||||||
Intersegment revenues | $ | (383,389 | ) | $ | 383,389 | $ | — | |||||||||||||
Goodwill | $ | 1,165 | $ | 18,346 | $ | 6,898 | $ | 26,409 | ||||||||||||
Capital expenditures | $ | 198,692 | $ | 107,866 | $ | 4,112 | $ | 310,670 | ||||||||||||
Depreciation and amortization | $ | 126,018 | $ | 79,231 | $ | 15,445 | $ | 220,694 | ||||||||||||
We have international sales, which are predominantly in our Ag segment. The following table represents our sales, based on the geographic locations in which the sales originated, for the years ended August 31, 2013, 2012 and 2011: | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||
North America | $ | 39,918 | $ | 37,503 | $ | 35,287 | ||||||||||||||
South America | 2,511 | 1,444 | 1,066 | |||||||||||||||||
EMEA | 1,040 | 1,064 | 277 | |||||||||||||||||
APAC | 680 | 290 | 6 | |||||||||||||||||
$ | 44,149 | $ | 40,301 | $ | 36,636 | |||||||||||||||
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | |||||||||||||||
Aug. 31, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair Value Measurements | ' | |||||||||||||||
Fair Value Measurements | ||||||||||||||||
Accounting Standards Codification Topic (ASC) 820, Fair Value Measures and Disclosures (ASC 820) defines fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in a principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. | ||||||||||||||||
We determine fair market values of readily marketable inventories, derivative contracts and certain other assets, based on the fair value hierarchy established in ASC 820, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability based on the best information available in the circumstances. ASC 820 describes three levels within its hierarchy that may be used to measure fair value, which are as follows: | ||||||||||||||||
Level 1: Values are based on unadjusted quoted prices in active markets for identical assets or liabilities. These assets and liabilities include exchange traded derivative contracts, Rabbi Trust investments, deferred compensation investments and available-for-sale investments. | ||||||||||||||||
Level 2: Values are based on quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. These assets and liabilities include marketable inventories, interest rate swaps, forward commodity and freight purchase and sales contracts, flat price or basis fixed derivative contracts and other OTC derivatives whose value is determined with inputs that are based on exchange traded prices, adjusted for location specific inputs that are primarily observable in the market or can be derived principally from, or corroborated by, observable market data. | ||||||||||||||||
Level 3: Values are generated from unobservable inputs that are supported by little or no market activity and that are a significant component of the fair value of the assets or liabilities. These unobservable inputs would reflect our own estimates of assumptions that market participants would use in pricing related assets or liabilities. Valuation techniques might include the use of pricing models, discounted cash flow models or similar techniques. | ||||||||||||||||
The following table presents assets and liabilities, included on our Consolidated Balance Sheets, that are recognized at fair value on a recurring basis, and indicates the fair value hierarchy utilized to determine such fair value. Assets and liabilities are classified, in their entirety, based on the lowest level of input that is a significant component of the fair value measurement. The lowest level of input is considered Level 3. Our assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the classification of fair value assets and liabilities within the fair value hierarchy levels. | ||||||||||||||||
Fair value measurements at August 31, 2013 and 2012 are as follows: | ||||||||||||||||
2013 | ||||||||||||||||
Quoted Prices in | Significant | Significant | Total | |||||||||||||
Active Markets | Other | Unobservable | ||||||||||||||
for Identical | Observable | Inputs | ||||||||||||||
Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||
Assets: | ||||||||||||||||
Readily marketable inventories | $ | 1,203,383 | $ | 1,203,383 | ||||||||||||
Commodity and freight derivatives | $ | 58,441 | 410,233 | 468,674 | ||||||||||||
Interest rate swap derivatives | 24,139 | 24,139 | ||||||||||||||
Foreign currency derivatives | 6,894 | 185 | 7,079 | |||||||||||||
Other assets | 114,084 | 114,084 | ||||||||||||||
$ | 179,419 | $ | 1,637,940 | $ | 1,817,359 | |||||||||||
Liabilities: | ||||||||||||||||
Commodity and freight derivatives | $ | 59,184 | $ | 399,710 | $ | 458,894 | ||||||||||
Interest rate swap derivatives | 248 | 248 | ||||||||||||||
Foreign currency derivatives | 5,925 | 5,925 | ||||||||||||||
Accrued liability for contingent crack spread payments | $ | 134,134 | 134,134 | |||||||||||||
related to purchase of noncontrolling interests | ||||||||||||||||
$ | 65,109 | $ | 399,958 | $ | 134,134 | $ | 599,201 | |||||||||
2012 | ||||||||||||||||
Quoted Prices in | Significant | Significant | Total | |||||||||||||
Active Markets | Other | Unobservable | ||||||||||||||
for Identical | Observable | Inputs | ||||||||||||||
Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||
Assets: | ||||||||||||||||
Readily marketable inventories | $ | 1,702,757 | $ | 1,702,757 | ||||||||||||
Commodity and freight derivatives | $ | 122,013 | 948,787 | 1,070,800 | ||||||||||||
Foreign currency derivatives | 978 | 978 | ||||||||||||||
Other assets | 75,000 | 75,000 | ||||||||||||||
$ | 197,991 | $ | 2,651,544 | $ | 2,849,535 | |||||||||||
Liabilities: | ||||||||||||||||
Commodity and freight derivatives | $ | 201,475 | $ | 645,452 | $ | 846,927 | ||||||||||
Interest rate swap derivatives | 544 | 544 | ||||||||||||||
Foreign currency derivatives | 2,388 | 2,388 | ||||||||||||||
Accrued liability for contingent crack spread payments | $ | 127,516 | 127,516 | |||||||||||||
related to purchase of noncontrolling interests | ||||||||||||||||
$ | 203,863 | $ | 645,996 | $ | 127,516 | $ | 977,375 | |||||||||
Readily marketable inventories — Our readily marketable inventories primarily include grain, oilseed, and minimally processed soy-based inventories that are stated at fair values. These commodities are readily marketable, have quoted market prices and may be sold without significant additional processing. We estimate the fair market values of these inventories included in Level 2 primarily based on exchange quoted prices, adjusted for differences in local markets. Changes in the fair market values of these inventories are recognized in our Consolidated Statements of Operations as a component of cost of goods sold. | ||||||||||||||||
Commodity, freight and foreign currency derivatives — Exchange traded futures and options contracts are valued based on unadjusted quoted prices in active markets and are classified within Level 1. Our forward commodity purchase and sales contracts, flat price or basis fixed derivative contracts, ocean freight contracts and other OTC derivatives are determined using inputs that are generally based on exchange traded prices and/or recent market bids and offers, adjusted for location specific inputs, and are classified within Level 2. The location specific inputs are generally broker or dealer quotations, or market transactions in either the listed or OTC markets. Changes in the fair values of these contracts are recognized in our Consolidated Statements of Operations as a component of cost of goods sold. | ||||||||||||||||
Other assets — Our available-for-sale investments in common stock of other companies, deferred compensation investments and Rabbi Trust assets are valued based on unadjusted quoted prices on active exchanges and are classified within Level 1. Changes in the fair values of these other assets are primarily recognized in our Consolidated Statements of Operations as a component of marketing, general and administrative expenses. | ||||||||||||||||
Interest rate swap derivatives — Fair values of our interest rate swap derivatives are determined utilizing valuation models that are widely accepted in the market to value such OTC derivative contracts. The specific terms of the contracts, as well as market observable inputs, such as interest rates and credit risk assumptions, are factored into the models. As all significant inputs are market observable, all interest rate swaps are classified within Level 2. Changes in the fair values of contracts not designated as hedging instruments for accounting purposes are recognized in our Consolidated Statements of Operations as a component of interest, net. Changes in the fair values of contracts designated as hedging instruments are deferred to accumulated other comprehensive loss in the equity section of our Consolidated Balance Sheets and are amortized into earnings within interest, net over the term of the agreements. | ||||||||||||||||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests — The fair value of the accrued liability was calculated utilizing an average price option model, an adjusted Black-Scholes pricing model commonly used in the energy industry to value options. The model uses market observable inputs and unobservable inputs. Due to significant unobservable inputs used in the pricing model, the liability is classified within Level 3. | ||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements | ||||||||||||||||
Fair Value | Valuation | Range | ||||||||||||||
Item | August 31, 2013 | Technique | Unobservable Input | (Weighted Average) | ||||||||||||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests | $ | 134,134 | Adjusted Black Scholes option pricing model | Forward crack spread margin on August 31 (a) | $20.46-$22.07 ($20.97) | |||||||||||
Contractual target crack spread margin (b) | $17.50 | |||||||||||||||
Expected volatility (c) | 80.31% | |||||||||||||||
Risk-free interest rate (d) | 1.80-2.60% (2.23%) | |||||||||||||||
Expected life - years (e) | 1.00-4.00 (2.64) | |||||||||||||||
(a) Represents forward crack spread margin quotes and management estimates based on future settlement dates | ||||||||||||||||
(b) Represents the minimum contractual threshold that would require settlement with the counterparties | ||||||||||||||||
(c) Represents quarterly adjusted volatility estimates derived from daily historical market data | ||||||||||||||||
(d) Represents yield curves for U.S. Treasury securities | ||||||||||||||||
(e) Represents the range in the number of years remaining related to each contingent payment | ||||||||||||||||
Valuation processes for Level 3 measurements — Management is responsible for determining the fair value of our Level 3 financial instruments. Option pricing methods are utilized, as indicated above. Inputs used in the option pricing models are based on quotes obtained from third party vendors as well as management estimates for periods in which quotes cannot be obtained. Each reporting period, management reviews the unobservable inputs provided by third-party vendors for reasonableness utilizing relevant information available to us. Management also takes into consideration current and expected market trends and compares the liability’s fair value to hypothetical payments using known historical market data to assess reasonableness of the resulting fair value. | ||||||||||||||||
Sensitivity analysis of Level 3 measurements — The significant unobservable inputs that are susceptible to periodic fluctuations used in the fair value measurement of the accrued liability for contingent crack spread payments related to the purchase of noncontrolling interests are the adjusted forward crack spread margin and the expected volatility. Significant increases (decreases) in either of these inputs in isolation would result in a significantly higher (lower) fair value measurement. Although changes in the expected volatility are driven by fluctuations in the underlying crack spread margin, changes in expected volatility are not necessarily accompanied by a directionally similar change in the forward crack spread margin. Directional changes in the expected volatility can be affected by a multitude of factors including the magnitude of daily fluctuations in the underlying market data, market trends, timing of fluctuations, and other factors. | ||||||||||||||||
The following table represents a reconciliation of liabilities measured at fair value using significant unobservable inputs (Level 3) for the years ended August 31, 2013 and 2012: | ||||||||||||||||
Level 3 Liabilities | ||||||||||||||||
Accrued Liability for Contingent Crack Spread Payments Related to Purchase of Noncontrolling Interests | ||||||||||||||||
2013 | 2012 | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||
Balance - beginning of year | $ | 127,516 | ||||||||||||||
Purchases | $ | 105,188 | ||||||||||||||
Amounts currently payable | (16,491 | ) | ||||||||||||||
Total losses included in cost of goods sold | 23,109 | 22,328 | ||||||||||||||
Balance - end of year | $ | 134,134 | $ | 127,516 | ||||||||||||
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||||||||||||||
Commitments and contingencies disclosure | ' | |||||||||||||||||||
Commitments and Contingencies | ||||||||||||||||||||
Environmental | ||||||||||||||||||||
We are required to comply with various environmental laws and regulations incidental to our normal business operations. In order to meet our compliance requirements, we establish reserves for the probable future costs of remediation of identified issues, which are included in cost of goods sold and marketing, general and administrative in our Consolidated Statements of Operations. The resolution of any such matters may affect consolidated net income for any fiscal period; however, management believes any resulting liabilities, individually or in the aggregate, will not have a material effect on our consolidated financial position, results of operations or cash flows during any fiscal year. | ||||||||||||||||||||
Contingencies | ||||||||||||||||||||
In May 2013, we initiated a voluntary recall of certain soy protein products produced at our Ashdod, Israel facility following one customer's report to us of a positive test result for salmonella in product purchased from us. We notified applicable food safety regulators, including the Israel Ministry of Health and the U.S. Food and Drug Administration, of both the positive test result and our determination to conduct a voluntary recall. We have received no reports of salmonella-related illness in relation to the recalled products. We estimate our range of loss associated with this recall to be between $14.4 million and $39.7 million. During the year ended August 31, 2013, we recorded a reserve of $25.0 million, which is the amount within the range that we believe is the best estimate given the claims experience so far. We maintain product liability and general liability insurance (which includes product liability coverage), which we believe will offset some related product liability expenses. However, as of August 31, 2013, no insurance recoveries have been recorded related to this incident. | ||||||||||||||||||||
Other Litigation and Claims | ||||||||||||||||||||
We are involved as a defendant in various lawsuits, claims and disputes, which are in the normal course of our business. The resolution of any such matters may affect consolidated net income for any fiscal period; however, management believes any resulting liabilities, individually or in the aggregate, will not have a material effect on our consolidated financial position, results of operations or cash flows during any fiscal year. | ||||||||||||||||||||
Grain Storage | ||||||||||||||||||||
As of August 31, 2013 and 2012, we stored grain for third parties totaling $454.9 million and $441.3 million, respectively. Such stored commodities and products are not our property and, therefore, are not included in our inventories on our Consolidated Balance Sheets. | ||||||||||||||||||||
Guarantees | ||||||||||||||||||||
We are a guarantor for lines of credit and performance obligations of related companies. Our bank covenants allow maximum guarantees of $1.0 billion, of which $39.8 million was outstanding on August 31, 2013. We have collateral for a portion of these contingent obligations. We have not recorded a liability related to the contingent obligations as we do not expect to pay out any cash related to them, and the fair values are considered immaterial. The underlying loans to the counterparties for which we provide guarantees are current as of August 31, 2013. | ||||||||||||||||||||
Credit Commitments | ||||||||||||||||||||
CHS Capital has commitments to extend credit to customers as long as there is no violation of any condition established in the contracts. As of August 31, 2013, CHS Capital’s customers have additional available credit of $1.0 billion. | ||||||||||||||||||||
Lease Commitments | ||||||||||||||||||||
We are committed under operating lease agreements for approximately 2,600 rail cars with remaining terms of one to 13 years. In addition, we have commitments under other operating leases for various refinery, manufacturing and transportation equipment, vehicles and office space. Some leases include purchase options at not less than fair market value at the end of the lease terms. | ||||||||||||||||||||
Total rental expense for all operating leases was $81.5 million, $74.6 million and $66.2 million for the years ended August 31, 2013, 2012 and 2011, respectively. | ||||||||||||||||||||
Minimum future lease payments required under noncancelable operating leases as of August 31, 2013 were as follows: | ||||||||||||||||||||
Rail Cars | Vehicles | Equipment | Total | |||||||||||||||||
and Other | ||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
2014 | $ | 18,875 | $ | 13,006 | $ | 45,965 | $ | 77,846 | ||||||||||||
2015 | 18,331 | 9,803 | 35,934 | 64,068 | ||||||||||||||||
2016 | 17,310 | 6,959 | 29,699 | 53,968 | ||||||||||||||||
2017 | 16,203 | 4,451 | 21,906 | 42,560 | ||||||||||||||||
2018 | 11,608 | 2,480 | 13,527 | 27,615 | ||||||||||||||||
Thereafter | 10,830 | 685 | 32,210 | 43,725 | ||||||||||||||||
Total minimum future lease payments | $ | 93,157 | $ | 37,384 | $ | 179,241 | $ | 309,782 | ||||||||||||
Purchase Obligations | ||||||||||||||||||||
As of August 31, 2013 and 2012, we had purchase obligations of $5.4 billion and $6.3 billion, respectively, which were not recorded on our Consolidated Balance Sheets. Such purchase obligations are legally binding and enforceable agreements to purchase goods or services that specify all significant terms, including fixed or minimum quantities; fixed, minimum or variable price provisions; and time of the transactions. Minimum future payments required under noncancelable purchase obligations as of August 31, 2013 are as follows: | ||||||||||||||||||||
Payments Due by Period | ||||||||||||||||||||
Total | Less than | 3-Jan | 5-Mar | More than | ||||||||||||||||
1 Year | Years | Years | 5 Years | |||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Long-term unconditional purchase obligations | $ | 510,705 | $ | 63,387 | $ | 137,237 | $ | 89,700 | $ | 220,381 | ||||||||||
Other contractual obligations | 4,871,767 | 4,713,927 | 80,454 | 10,459 | 66,927 | |||||||||||||||
Total purchase obligations | $ | 5,382,472 | $ | 4,777,314 | $ | 217,691 | $ | 100,159 | $ | 287,308 | ||||||||||
Long-term unconditional purchase obligations primarily relate to pipeline and grain handling take-or-pay and through-put agreements. The discounted, aggregate amount of the minimum required payments under long-term unconditional purchase obligations, based on current exchange rates at August 31, 2013 was $423.9 million. Total payments under these arrangements were $62.4 million, $47.8 million and $60.8 million for the years ended August 31, 2013, 2012 and 2011, respectively. |
Supplemental_Cash_Flow_and_Oth
Supplemental Cash Flow and Other Information | 12 Months Ended | |||||||||||
Aug. 31, 2013 | ||||||||||||
Supplemental Cash Flow Elements [Abstract] | ' | |||||||||||
Supplemental Cash Flow and Other Information | ' | |||||||||||
Supplemental Cash Flow and Other Information | ||||||||||||
Additional information concerning supplemental disclosures of cash flow activities for the years ended August 31, 2013, 2012 and 2011 is as follows: | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Net cash paid during the period for: | ||||||||||||
Interest | $ | 256,538 | $ | 155,888 | $ | 73,557 | ||||||
Income taxes | 23,228 | 27,671 | 1,046 | |||||||||
Other significant noncash investing and financing transactions: | ||||||||||||
Capital equity certificates issued in exchange for Ag acquisitions | 18,211 | 29,155 | 6,453 | |||||||||
Accrual of dividends and equities payable | 390,153 | 578,809 | 400,216 | |||||||||
Related_Party_Transactions
Related Party Transactions | 12 Months Ended | |||||||||||
Aug. 31, 2013 | ||||||||||||
Related Party Transactions [Abstract] | ' | |||||||||||
Related Party Transactions | ' | |||||||||||
Related Party Transactions | ||||||||||||
Related party transactions with equity investees for the years ended August 31, 2013, 2012 and 2011, respectively and balances as of August 31, 2013 and 2012, respectively are as follows: | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Sales | $ | 2,963,468 | $ | 2,185,348 | $ | 3,004,303 | ||||||
Purchases | 1,535,176 | 1,143,285 | 1,461,391 | |||||||||
2013 | 2012 | |||||||||||
(Dollars in thousands) | ||||||||||||
Receivables | $ | 25,159 | $ | 51,716 | ||||||||
Payables | 31,485 | 60,659 | ||||||||||
The related party transactions were primarily with TEMCO, Horizon Milling, United Harvest and Ventura Foods. |
Comprehensive_Income
Comprehensive Income | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Statement of Other Comprehensive Income [Abstract] | ' | |||||||
Comprehensive income (loss) note, net of taxes | ' | |||||||
Comprehensive Loss | ||||||||
The components of accumulated other comprehensive loss, net of taxes, as of August 31, 2013 and 2012 are as follows: | ||||||||
2013 | 2012 | |||||||
(Dollars in thousands) | ||||||||
Pension and other postretirement, net of tax benefit of $(104,024) and $(145,031) in 2013 and 2012, respectively | $ | (165,611 | ) | $ | (228,727 | ) | ||
Unrealized net gain on available for sale investments, net of tax expense of $1,461 and $858 in 2013 and 2012, respectively | 2,370 | 1,391 | ||||||
Cash flow hedges, net of tax expense (benefit) of $7,204 and $(2,347) in 2013 and 2012, respectively | 11,685 | (3,806 | ) | |||||
Foreign currency translation adjustment, net of tax benefit of $(3,274) and $(891) in 2013 and 2012, respectively | (5,311 | ) | (1,445 | ) | ||||
Accumulated other comprehensive loss, including noncontrolling interests | (156,867 | ) | (232,587 | ) | ||||
Accumulated other comprehensive loss attributable to noncontrolling interests | ||||||||
Accumulated other comprehensive loss attributable to CHS Inc. | $ | (156,867 | ) | $ | (232,587 | ) |
Acquisitions
Acquisitions | 12 Months Ended | ||||
Aug. 31, 2013 | |||||
Business Combinations [Abstract] | ' | ||||
Acquisition | ' | ||||
Acquisitions | |||||
NCRA: | |||||
On November 29, 2011, our Board of Directors approved a stock transfer agreement, dated as of November 29, 2011, between us and GROWMARK, Inc. (Growmark), and a stock transfer agreement, dated as of November 29, 2011, between us and MFA Oil Company (MFA). Pursuant to these agreements, we have begun to acquire from Growmark and MFA shares of Class A common stock and Class B common stock of NCRA representing approximately 25.571% of NCRA’s outstanding capital stock. Prior to the first closing, we owned the remaining approximately 74.429% of NCRA’s outstanding capital stock as of August 31, 2012 and accordingly, upon completion of the acquisitions contemplated by these agreements, NCRA will be a wholly-owned subsidiary. As of August 31, 2013, our ownership was 79.2% and with the closing in September 2013, our ownership increased to 84.0%. | |||||
Pursuant to the agreement with Growmark, we will acquire stock representing approximately 18.616% of NCRA’s outstanding capital stock in four separate closings held or to be held on September 1, 2012, September 1, 2013, September 1, 2014 and September 1, 2015, for an aggregate base purchase price of $255.5 million (approximately $48.0 million of which has or will be paid at each of the first three closings, and $111.4 million of which will be paid at the final closing). In addition, Growmark is entitled to receive up to two contingent purchase price payments following each individual closing, calculated as set forth in the agreement with Growmark, if the average crack spread margin referred to therein over the fiscal year ending on August 31 of the calendar year in which the contingent payment date falls exceeds a specified target. | |||||
Pursuant to the agreement with MFA, we will acquire stock representing approximately 6.955% of NCRA’s outstanding capital stock in four separate closings held or to be held on September 1, 2012, September 1, 2013, September 1, 2014 and September 1, 2015, for an aggregate base purchase price of $95.5 million (approximately $18.0 million of which has or will be paid at each of the first three closings, and $41.6 million of which will be paid at the final closing). In addition, MFA is entitled to receive up to two contingent purchase price payments following each individual closing, calculated as set forth in the agreement with MFA, if the average crack spread margin referred to therein over the fiscal year ending on August 31 of the calendar year in which the contingent payment date falls exceeds a specified target. | |||||
As all conditions associated with the purchase have been met, we have accounted for this transaction as a forward purchase contract which required recognition in the first quarter of fiscal 2012 in accordance with ASC Topic 480, Distinguishing Liabilities from Equity (ASC 480). As a result, we are no longer including the noncontrolling interests related to NCRA as a component of equity. Instead, we recorded the present value of the future payments to be made to Growmark and MFA as a liability on our Consolidated Balance Sheets as of November 30, 2011. The liability as of August 31, 2013 and 2012 was $275.4 million and $334.7 million, including interest accretion of $6.7 million and $6.0 million, respectively. Noncontrolling interests in the amount of $337.1 million was reclassified and an additional adjustment to equity in the amount of $96.7 million was recorded as a result of the transaction. The equity adjustment included the initial fair value of the crack spread contingent payments of $105.2 million. The fair value of the liability associated with the crack spread contingent payments was calculated utilizing an average price option model, an adjusted Black-Scholes pricing model commonly used in the energy industry to value options. As of August 31, 2013 and 2012, the fair value of the crack spread contingent payments was $150.6 million and $127.5 million, respectively, and is included on our Consolidated Balance Sheets in other liabilities with an increase of $23.1 million and $22.3 million included in cost of goods sold in our Consolidated Statements of Operations during the years ended August 31, 2013 and 2012, respectively. The first crack spread contingent payment in the amount of $16.5 million was made in October 2013. The portion of NCRA earnings attributable to Growmark and MFA for the first quarter of fiscal 2012, prior to the transaction date, were included in net income attributable to noncontrolling interests. Beginning in the second quarter of fiscal 2012, in accordance with ASC 480, earnings are no longer attributable to the noncontrolling interests, and patronage earned by Growmark and MFA is included as interest, net in our Consolidated Statements of Operations. During the years ended August 31, 2013 and 2012, $142.4 million and $107.2 million, respectively, was included in interest for the patronage earned by Growmark and MFA. | |||||
Solbar: | |||||
On February 9, 2012, we completed the acquisition of Solbar Industries Ltd., an Israeli company (Solbar), included in our Ag segment. Effective upon the closing of the merger, each outstanding share of Solbar was converted into the right to receive $4.00 in cash, without interest, and each outstanding Solbar stock option was terminated in exchange for a cash payment in an amount per share equal to the difference between the applicable exercise price per share and $4.00, for total consideration paid of $128.7 million, net of cash acquired of $6.6 million. Solbar provides soy protein ingredients to manufacturers in the meat, vegetarian, beverage, bars and crisps, confectionary, bakery, and pharmaceutical manufacturing markets. This acquisition deepens our presence in the value-added soy protein market. The fair market value of net assets was determined by market valuation reports using Level 3 inputs. Allocation of purchase price for this transaction resulted in goodwill of $39.8 million, which is nondeductible for tax purposes, and definite-lived intangible assets of $23.3 million. As this acquisition is not material, proforma results of operations are not presented. Solbar and its subsidiaries operate primarily in the countries of Israel, China and the U.S. The acquisition resulted in fair value measurements that are not on a recurring basis and did not have a material impact on our consolidated results of operations. Purchase accounting has been finalized and fair values assigned to the net assets acquired were as follows: | |||||
(Dollars in thousands) | |||||
Current assets | $ | 74,240 | |||
Investments | 961 | ||||
Property, plant and equipment | 71,324 | ||||
Goodwill | 39,794 | ||||
Definite-lived intangible assets | 23,306 | ||||
Current liabilities | (63,417 | ) | |||
Long-term debt | (15,849 | ) | |||
Other liabilities | (1,694 | ) | |||
Total net assets acquired | $ | 128,665 | |||
Creston: | |||||
In November 2011, we acquired an oilseed crushing facility in Creston, Iowa for $32.3 million. |
Schedule_II_Valuation_and_Qual
Schedule II - Valuation and Qualifying Accounts and Reserves | 12 Months Ended | |||||||||||||||
Aug. 31, 2013 | ||||||||||||||||
Receivables [Abstract] | ' | |||||||||||||||
Schedule of Valuation and Qualifying Accounts Disclosure | ' | |||||||||||||||
SCHEDULE II — VALUATION AND QUALIFYING ACCOUNTS AND RESERVES | ||||||||||||||||
Balance at | Additions: | Deductions: | Balance at | |||||||||||||
Beginning | Charged to Costs | Write-offs, net | End | |||||||||||||
of Year | and Expenses * | of Recoveries | of Year | |||||||||||||
(Dollars in thousands) | ||||||||||||||||
Allowances for Doubtful Accounts | ||||||||||||||||
2013 | $ | 111,785 | $ | (13,130 | ) | $ | (4,066 | ) | $ | 94,589 | ||||||
2012 | 119,026 | 7,380 | (14,621 | ) | 111,785 | |||||||||||
2011 | 99,535 | 31,792 | (12,301 | ) | 119,026 | |||||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | |||||||||||||
Aug. 31, 2013 | ||||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||||
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) [Table Text Block] | ' | |||||||||||||
During the year ended August 31, 2013, we entered into derivative contracts designated as cash flow hedging instruments which expire during fiscal 2014, with $0.9 million expected to be included in earnings during the next 12 months. As of August 31, 2013 and 2012, the unrealized gains deferred to accumulated other comprehensive loss were as follows: | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | ||||||||||||||
Gains included in accumulated other comprehensive loss, net of tax expense of | $ | 14,930 | ||||||||||||
$9.2 million in 2013 | ||||||||||||||
Basis of Presentation | ' | |||||||||||||
The consolidated financial statements include the accounts of CHS and all of our wholly-owned and majority-owned subsidiaries and limited liability companies, which is primarily National Cooperative Refinery Association (NCRA), included in our Energy segment. The effects of all significant intercompany transactions have been eliminated. | ||||||||||||||
Reclassifications | ' | |||||||||||||
As of September 1, 2011, we changed the expected useful lives of certain fixed assets in our Energy segment. We increased the expected useful lives of refining and asphalt assets from 16 years to 20 years, which reduced depreciation expense by approximately $27.0 million in fiscal 2012. | ||||||||||||||
Cash Equivalents | ' | |||||||||||||
Cash Equivalents | ||||||||||||||
Cash equivalents includes short-term, highly liquid investments with original maturities of three months or less at the date of acquisition. | ||||||||||||||
Inventories | ' | |||||||||||||
Inventories | ||||||||||||||
Grain, processed grain, oilseed and processed oilseed are stated at net realizable values which approximate market values. All other inventories are stated at the lower of cost or market. Costs for inventories produced or modified by us through a manufacturing process include fixed and variable production and raw material costs, and in-bound freight costs for raw materials. Costs for inventories purchased for resale include the cost of products and freight incurred to place the products at our points of sale. The costs of certain energy inventories (wholesale refined products, crude oil and asphalt) are determined on the last-in, first-out (LIFO) method; all other inventories of non-grain products purchased for resale are valued on the first-in, first-out (FIFO) and average cost methods. | ||||||||||||||
Derivative Financial Instruments and Hedging Activities | ' | |||||||||||||
Derivative Financial Instruments and Hedging Activities | ||||||||||||||
Our derivative instruments primarily consist of commodity and freight futures and forward contracts and, to a minor degree, may include foreign currency and interest rate swap contracts. These contracts are economic hedges of price risk, but are not designated or accounted for as hedging instruments for accounting purposes, with the exception of certain interest rate swap contracts which are accounted for as cash flow hedges. Derivative instruments are recorded on our Consolidated Balance Sheets at fair values as described in Note 12, Fair Value Measurements. | ||||||||||||||
Even though we have netting arrangements for our exchange-traded futures and options contracts and certain over-the-counter (OTC) contracts, we report our derivative on a gross basis on our Consolidated Balance Sheets. Our associated margin deposits are also reported on a gross basis. | ||||||||||||||
As of August 31, 2013 and 2012, we had the following outstanding purchase and sale contracts: | ||||||||||||||
2013 | 2012 | |||||||||||||
Purchase | Sale | Purchase | Sale | |||||||||||
Contracts | Contracts | Contracts | Contracts | |||||||||||
(Units in thousands) | ||||||||||||||
Grain and oilseed - bushels | 521,979 | 806,295 | 722,895 | 1,074,535 | ||||||||||
Energy products - barrels | 12,626 | 21,312 | 9,047 | 19,561 | ||||||||||
Soy products - tons | 24 | 847 | 15 | 215 | ||||||||||
Crop nutrients - tons | 968 | 1,050 | 600 | 725 | ||||||||||
Ocean and barge freight - metric tons | 1,225 | 151 | 1,018 | 183 | ||||||||||
Rail freight - rail cars | 220 | 43 | 184 | 34 | ||||||||||
Livestock - pounds | 17,280 | 2,560 | 3,440 | |||||||||||
As of August 31, 2013 and 2012, with the exception of our interest rate swaps described below, our derivative assets and liabilities are not designated as hedging instruments. | ||||||||||||||
The following table sets forth the pretax gains (losses) on derivatives not designated as hedging instruments that have been included in our Consolidated Statements of Operations during fiscal 2013 and 2012. | ||||||||||||||
Location of | 2013 | 2012 | 2011 | |||||||||||
Gain (Loss) | ||||||||||||||
(Dollars in thousands) | ||||||||||||||
Commodity and freight derivatives | Cost of goods sold | $ | (482,352 | ) | $ | 311,167 | $ | 186,265 | ||||||
Foreign exchange derivatives | Cost of goods sold | (452 | ) | (5,219 | ) | 3,363 | ||||||||
Interest rate derivatives | Interest, net | 300 | 206 | 522 | ||||||||||
$ | (482,504 | ) | $ | 306,154 | $ | 190,150 | ||||||||
As of August 31, 2013 and 2012, the gross fair values of derivative assets and liabilities as cash flow hedging instruments were as follows: | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | ||||||||||||||
Derivative Assets: | ||||||||||||||
Interest rate swaps | $ | 24,135 | ||||||||||||
During the year ended August 31, 2013, we entered into derivative contracts designated as cash flow hedging instruments which expire during fiscal 2014, with $0.9 million expected to be included in earnings during the next 12 months. As of August 31, 2013 and 2012, the unrealized gains deferred to accumulated other comprehensive loss were as follows: | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | ||||||||||||||
Gains included in accumulated other comprehensive loss, net of tax expense of | $ | 14,930 | ||||||||||||
$9.2 million in 2013 | ||||||||||||||
Commodity and Freight Contracts: | ||||||||||||||
When we enter into a commodity or freight purchase or sales contract, we incur risks related to price changes and performance (including delivery, quality, quantity, and counterparty credit). We are exposed to risk of loss in the market value of positions held, consisting of inventory and purchase contracts at a fixed or partially fixed price in the event market prices decrease. We are also exposed to risk of loss on fixed or partially fixed price sales contracts in the event market prices increase. | ||||||||||||||
Our commodity contracts primarily relate to grain, oilseed, energy (crude, refined products and propane) and fertilizer commodities. Our freight contracts primarily relate to rail, barge and ocean freight transactions. Our use of commodity and freight contracts reduces the effects of price volatility, thereby protecting us against adverse short-term price movements, while limiting the benefits of short-term price movements. To reduce the price change risks associated with holding fixed price commitments, we generally take opposite and offsetting positions by entering into commodity futures contracts or options in order to arrive at a net commodity position within the formal position limits we have established and deemed prudent for each commodity. These contracts are purchased and sold through regulated commodity futures exchanges for grain, and regulated mercantile exchanges for refined products and crude oil. We also use OTC instruments to hedge our exposure to price fluctuations on commodities and fixed price arrangements. The price risk we encounter for crude oil and most of the grain and oilseed volumes we handle can be hedged. Price risk associated with fertilizer and certain grains cannot be hedged with futures because there are no futures for these commodities and, as a result, risk is managed through the use of forward sales contracts and other pricing arrangements and, to some extent, cross-commodity futures hedging. Certain fertilizer and propane contracts are accounted for as normal purchase and normal sales transactions. We expect all normal purchase and normal sales transactions to result in physical settlement. | ||||||||||||||
When a futures contract is entered into, an initial margin deposit must be sent to the applicable exchange or broker. The amount of the deposit is set by the exchange and varies by commodity. If the market price of a short futures contract increases, then an additional maintenance margin deposit would be required. Similarly, if the price of a long futures contract decreases, a maintenance margin deposit would be required and sent to the applicable exchange. Subsequent price changes could require additional maintenance margins or could result in the return of maintenance margins. | ||||||||||||||
Our policy is to primarily maintain hedged positions in grain and oilseed. Our profitability from operations is primarily derived from margins on products sold and grain merchandised, not from hedging transactions. At any one time, inventory and purchase contracts for delivery to us may be substantial. Our risk management policies and procedures include net position limits. These limits are defined for each commodity and include both trader and management limits. The policy and procedures in our grain marketing operations require a review by operations management when any trader is outside of position limits and also a review by senior management if operating areas are outside of position limits. A similar process is used in energy and wholesale crop nutrients operations. Position limits are reviewed, at least annually, with management and the Board of Directors. We monitor current market conditions and may expand or reduce our net position limits or procedures in response to changes in conditions. In addition, all purchase and sales contracts are subject to credit approvals and appropriate terms and conditions. | ||||||||||||||
Hedging arrangements do not protect against nonperformance by counterparties to contracts. We primarily use exchange traded instruments which minimize exposure to counterparties' nonperformance. We evaluate exposure by reviewing contracts and adjusting the values to reflect potential nonperformance. Risk of nonperformance by counterparties includes the inability to perform because of the counterparty’s financial condition and also the risk that the counterparty will refuse to perform on a contract during periods of price fluctuations where contract prices are significantly different than current market prices. We manage risks by entering into fixed price purchase and sales contracts with preapproved producers and by establishing appropriate limits for individual suppliers. Fixed price contracts are entered into with customers of acceptable creditworthiness, as internally evaluated. Historically, we have not experienced significant events of nonperformance on open contracts. Accordingly, we only adjust the estimated fair values of specifically identified contracts for nonperformance. Although we have established policies and procedures, we make no assurances that historical nonperformance experience will carry forward to future periods. | ||||||||||||||
Interest Rate Contracts: | ||||||||||||||
Short-term debt used to finance inventories and receivables is represented by notes payable with maturities of 30 days or less, so that our blended interest rate for all such notes approximates current market rates. During our year ended August 31, 2013, we entered into interest rate swaps to secure the interest rates related to our private placement debt anticipated to be issued in April 2014 with combined notional amounts of $300.0 million. These derivative instruments are designated as cash flow hedges for accounting purposes and, accordingly, the net gain associated with these contracts of $24.1 million as of August 31, 2013 was recorded as a component of other comprehensive loss. CHS Capital, LLC (CHS Capital), our wholly-owned finance subsidiary, has interest rate swaps that lock the interest rates of the underlying loans with a combined notional amount of $8.6 million expiring at various times through fiscal 2018, with $0.3 million of the notional amount expiring during fiscal 2014. None of CHS Capital’s interest rate swaps qualify for hedge accounting and as a result, changes in fair value are recorded in earnings within interest, net in our Consolidated Statements of Operations. Long-term debt used to finance non-current assets carries various fixed interest rates and is payable at various dates to minimize the effects of market interest rate changes. The weighted-average interest rate on fixed rate debt outstanding on August 31, 2013 was approximately 5.0%. | ||||||||||||||
Foreign Exchange Contracts: | ||||||||||||||
We conduct essentially all of our business in U.S. dollars, except for grain marketing operations primarily in South America and Europe, and purchases of products from Canada. We had minimal risk regarding foreign currency fluctuations during fiscal 2013 and in prior years, as substantially all international sales were denominated in U.S. dollars. From time to time, we enter into foreign currency futures contracts to mitigate currency fluctuations. Foreign currency fluctuations do, however, impact the ability of foreign buyers to purchase U.S. agricultural products and the competitiveness of U.S. agricultural products compared to the same products offered by alternative sources of world supply. As of August 31, 2013, we had $7.1 million included in derivative assets and $5.9 million included in derivative liabilities associated with foreign currency contracts. | ||||||||||||||
Margin Deposits | ' | |||||||||||||
Many of our derivative contracts with futures and options brokers require us to make both initial margin deposits of cash or other assets and subsequent deposits, depending on changes in commodity prices, in order to comply with applicable regulations. Our margin deposit assets are held by external brokers in segregated accounts and will be used to settle the associated derivative contracts on their specified settlement dates. | ||||||||||||||
Investments | ' | |||||||||||||
Investments | ||||||||||||||
Joint ventures and other investments, in which we have significant ownership and influence, but not control, are accounted for in our consolidated financial statements using the equity method of accounting. Investments in other cooperatives are stated at cost, plus patronage dividends received in the form of capital stock and other equities. Patronage dividends are recorded as a reduction to cost of goods sold at the time qualified written notices of allocation are received. Investments in other debt and equity securities are considered available for sale financial instruments and are stated at fair value, with unrealized amounts included as a component of accumulated other comprehensive loss. Investments in debt and equity instruments are carried at amounts that approximate fair values. Investments in joint ventures and cooperatives have no quoted market prices. | ||||||||||||||
Property, Plant and Equipment | ' | |||||||||||||
Property, Plant and Equipment | ||||||||||||||
Property, plant and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are provided on the straight-line method by charges to operations at rates based upon the expected useful lives of individual or groups of assets (15 to 20 years for land and land improvements; 20 to 40 years for buildings; 5 to 20 years for machinery and equipment; and 3 to 10 years for office and other). The cost and related accumulated depreciation and amortization of assets sold or otherwise disposed of are removed from the related accounts and resulting gains or losses are reflected in operations. Expenditures for maintenance and minor repairs and renewals are expensed, while costs of major repairs and betterments are capitalized and amortized on a straight-line basis over the period of time estimated to lapse until the next major repair occurs. | ||||||||||||||
Property, plant and equipment and other long-lived assets are reviewed in order to assess recoverability based on projected income and related cash flows on an undiscounted basis when triggering events occur. Should the sum of the expected future net cash flows be less than the carrying value, an impairment loss would be recognized. An impairment loss would be measured by the amount by which the carrying value of the asset exceeds the fair value of the asset. | ||||||||||||||
We have asset retirement obligations with respect to certain of our refineries and related assets due to various legal obligations to clean and/or dispose of various component parts at the time they are retired. However, these assets can be used for extended and indeterminate periods of time, as long as they are properly maintained and/or upgraded. It is our practice and current intent to maintain refineries and related assets and to continue making improvements to those assets based on technological advances. As a result, we believe our refineries and related assets have indeterminate lives for purposes of estimating asset retirement obligations because dates or ranges of dates upon which we would retire a refinery and related assets cannot reasonably be estimated at this time. When a date or range of dates can reasonably be estimated for the retirement of any component part of a refinery or related asset, we will estimate the cost of performing the retirement activities and record a liability for the fair value of that cost using established present value techniques. | ||||||||||||||
Goodwill and Other Intangible Assets | ' | |||||||||||||
Goodwill and Other Intangible Assets | ||||||||||||||
Goodwill and other intangible assets are reviewed for impairment annually or more frequently if impairment conditions arise, and those that are impaired are written down to fair value. For goodwill, annual impairment testing occurs in the third quarter. Other intangible assets consist primarily of customer lists, trademarks and agreements not to compete. Intangible assets subject to amortization are expensed over their respective useful lives (ranging from 2 to 30 years). We have no material intangible assets with indefinite useful lives. | ||||||||||||||
We made various acquisitions during the three years ended August 31, 2013, which were accounted for using the acquisition method of accounting. Operating results of the acquisitions were included in our consolidated financial statements since the respective acquisition dates. The respective purchase prices were allocated to the assets, liabilities and identifiable intangible assets acquired based upon the estimated fair values. The excess purchase prices over the estimated fair values of the net assets acquired have been reported as goodwill. | ||||||||||||||
In our Energy segment, major maintenance activities (turnarounds) at the two refineries are accounted for under the deferral method. Turnarounds are the scheduled and required shutdowns of refinery processing units. The costs related to the significant overhaul and refurbishment activities include materials and direct labor costs. The costs of turnarounds are deferred when incurred and amortized on a straight-line basis over the period of time estimated to lapse until the next turnaround occurs, which is generally 2 to 4 years. Amortization expense related to turnaround costs is included in cost of goods sold in our Consolidated Statements of Operations. The selection of the deferral method, as opposed to expensing the turnaround costs when incurred, results in deferring recognition of the turnaround expenditures. The deferral method also results in the classification of the related cash outflows as investing activities in our Consolidated Statements of Cash Flows, whereas expensing these costs as incurred, would result in classifying the cash outflows as operating activities. | ||||||||||||||
Revenue Recognition | ' | |||||||||||||
Revenue Recognition | ||||||||||||||
We provide a wide variety of products and services, from production agricultural inputs such as fuels, farm supplies and crop nutrients, to agricultural outputs that include grain and oilseed, processed grains and oilseeds and food products. We recognize revenue when persuasive evidence of an arrangement exists, delivery has occurred, the sales price is fixed or determinable, and collection is probable. Grain and oilseed sales are recorded after the commodity has been delivered to its destination and final weights, grades and settlement prices have been agreed upon. All other sales are recognized upon transfer of title, which could occur either upon shipment to or receipt by the customer, depending upon the terms of the transaction. Amounts billed to a customer as part of a sales transaction related to shipping and handling are included in revenues. | ||||||||||||||
Environmental Expenditures | ' | |||||||||||||
Environmental Expenditures | ||||||||||||||
Liabilities, including legal costs, related to remediation of contaminated properties are recognized when the related costs are considered probable and can be reasonably estimated. Estimates of environmental costs are based on current available facts, existing technology, undiscounted site-specific costs and currently enacted laws and regulations. Recoveries, if any, are recorded in the period in which recovery is received. Liabilities are monitored and adjusted as new facts or changes in law or technology occur. Environmental expenditures are capitalized when such costs provide future economic benefits. | ||||||||||||||
Income Taxes | ' | |||||||||||||
Income Taxes | ||||||||||||||
CHS is a nonexempt agricultural cooperative and files a consolidated federal income tax return with our 80% or more owned subsidiaries. We are subject to tax on income from nonpatronage sources, non-qualified patronage distributions and undistributed patronage-sourced income. Income tax expense is primarily the current tax payable for the period and the change during the period in certain deferred tax assets and liabilities. Deferred income taxes reflect the impact of temporary differences between the amounts of assets and liabilities recognized for financial reporting purposes and such amounts recognized for federal and state income tax purposes, based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized. | ||||||||||||||
Use of Estimates | ' | |||||||||||||
Use of Estimates | ||||||||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||||||||||||||
Recent Accounting Pronouncements | ' | |||||||||||||
Recent Accounting Pronouncements | ||||||||||||||
In December 2011, the FASB issued Accounting Standards Update (ASU) No. 2011-11, “Disclosures about Offsetting Assets and Liabilities.” ASU No. 2011-11 creates new disclosure requirements about the nature of an entity’s rights of setoff and related arrangements associated with its financial instruments and derivative instruments. The disclosure requirements in this update are effective for annual reporting periods, and interim periods within those years, beginning on or after January 1, 2013. We are currently evaluating the impact that the adoption will have on our consolidated financial statements in fiscal 2014. | ||||||||||||||
In February 2013, the FASB issued ASU No. 2013-02, "Comprehensive Income." ASU No. 2013-02 requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either in the consolidated statements of operations or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income, but only if the amount reclassified is required to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required that provide additional detail about those amounts. These amendments are only disclosure related and will not have an impact on our financial position, results of operations, comprehensive income or cash flows. ASU No. 2013-02 will become effective for us in fiscal 2014. | ||||||||||||||
In February 2013, the FASB issued ASU No. 2013-04, "Liabilities." ASU No. 2013-04 requires an entity to measure obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this guidance is fixed at the reporting date, as the sum of the amount the reporting entity agreed to pay on the basis of its arrangement among its co-obligors and any additional amount the reporting entity expects to pay on behalf of its co-obligors. The guidance in this ASU also requires an entity to disclose the nature and amount of the obligation as well as other information about those obligations. The amendments in this ASU are effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. We are currently evaluating the impact that the adoption will have on our consolidated financial statements in fiscal 2015. | ||||||||||||||
In July 2013, the FASB issued ASU No. 2013-11, “Income Taxes (Topic 740) — Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” ASU No. 2013-11 provides guidance on the presentation of unrecognized tax benefits that will better reflect the manner in which an entity would settle at the reporting date any additional income taxes that would result from the disallowance of a tax position when net operating loss carryforwards, similar tax losses, or tax credit carryforwards exist. This guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013 and early adoption is permitted. This will be effective for us in fiscal 2015 and we do not expect the adoption of this guidance to have a material impact on our consolidated financial statements. | ||||||||||||||
Fair Value Measurement, Policy | ' | |||||||||||||
Fair Value Measurements | ||||||||||||||
Accounting Standards Codification Topic (ASC) 820, Fair Value Measures and Disclosures (ASC 820) defines fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in a principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. | ||||||||||||||
We determine fair market values of readily marketable inventories, derivative contracts and certain other assets, based on the fair value hierarchy established in ASC 820, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability based on the best information available in the circumstances. ASC 820 describes three levels within its hierarchy that may be used to measure fair value, which are as follows: | ||||||||||||||
Level 1: Values are based on unadjusted quoted prices in active markets for identical assets or liabilities. These assets and liabilities include exchange traded derivative contracts, Rabbi Trust investments, deferred compensation investments and available-for-sale investments. | ||||||||||||||
Level 2: Values are based on quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. These assets and liabilities include marketable inventories, interest rate swaps, forward commodity and freight purchase and sales contracts, flat price or basis fixed derivative contracts and other OTC derivatives whose value is determined with inputs that are based on exchange traded prices, adjusted for location specific inputs that are primarily observable in the market or can be derived principally from, or corroborated by, observable market data. | ||||||||||||||
Level 3: Values are generated from unobservable inputs that are supported by little or no market activity and that are a significant component of the fair value of the assets or liabilities. These unobservable inputs would reflect our own estimates of assumptions that market participants would use in pricing related assets or liabilities. Valuation techniques might include the use of pricing models, discounted cash flow models or similar techniques. | ||||||||||||||
The following table presents assets and liabilities, included on our Consolidated Balance Sheets, that are recognized at fair value on a recurring basis, and indicates the fair value hierarchy utilized to determine such fair value. Assets and liabilities are classified, in their entirety, based on the lowest level of input that is a significant component of the fair value measurement. The lowest level of input is considered Level 3. Our assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the classification of fair value assets and liabilities within the fair value hierarchy levels. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 9 Months Ended | 12 Months Ended | ||||||||||||||||||
31-May-13 | Aug. 31, 2013 | |||||||||||||||||||
Accounting Policies [Abstract] | ' | ' | ||||||||||||||||||
Schedule of Derivative Instruments [Table Text Block] | ' | ' | ||||||||||||||||||
the gross fair values of derivative assets and liabilities as cash flow hedging instruments were as follows: | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Derivative Assets: | ||||||||||||||||||||
Interest rate swaps | $ | 24,135 | ||||||||||||||||||
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) [Table Text Block] | ' | ' | ||||||||||||||||||
During the year ended August 31, 2013, we entered into derivative contracts designated as cash flow hedging instruments which expire during fiscal 2014, with $0.9 million expected to be included in earnings during the next 12 months. As of August 31, 2013 and 2012, the unrealized gains deferred to accumulated other comprehensive loss were as follows: | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Gains included in accumulated other comprehensive loss, net of tax expense of | $ | 14,930 | ||||||||||||||||||
$9.2 million in 2013 | ||||||||||||||||||||
Purchase and Sales Contracts | ' | ' | ||||||||||||||||||
As of August 31, 2013 and 2012, we had the following outstanding purchase and sale contracts: | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Purchase | Sale | Purchase | Sale | |||||||||||||||||
Contracts | Contracts | Contracts | Contracts | |||||||||||||||||
(Units in thousands) | ||||||||||||||||||||
Grain and oilseed - bushels | 521,979 | 806,295 | 722,895 | 1,074,535 | ||||||||||||||||
Energy products - barrels | 12,626 | 21,312 | 9,047 | 19,561 | ||||||||||||||||
Soy products - tons | 24 | 847 | 15 | 215 | ||||||||||||||||
Crop nutrients - tons | 968 | 1,050 | 600 | 725 | ||||||||||||||||
Ocean and barge freight - metric tons | 1,225 | 151 | 1,018 | 183 | ||||||||||||||||
Rail freight - rail cars | 220 | 43 | 184 | 34 | ||||||||||||||||
Livestock - pounds | 17,280 | 2,560 | 3,440 | |||||||||||||||||
Schedule of Derivative Assets and Liabilities Not Designated as Hedging Instruments | ' | ' | ||||||||||||||||||
As of August 31, 2013 and 2012, with the exception of our interest rate swaps described below, our derivative assets and liabilities are not designated as hedging instruments. | ||||||||||||||||||||
Schedule of Derivative Instruments, Gain (Loss) in Consolidated Statements of Operations | ' | ' | ||||||||||||||||||
The following table sets forth the pretax gains (losses) on derivatives not designated as hedging instruments that have been included in our Consolidated Statements of Operations during fiscal 2013 and 2012. | ||||||||||||||||||||
Location of | 2013 | 2012 | 2011 | |||||||||||||||||
Gain (Loss) | ||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Commodity and freight derivatives | Cost of goods sold | $ | (482,352 | ) | $ | 311,167 | $ | 186,265 | ||||||||||||
Foreign exchange derivatives | Cost of goods sold | (452 | ) | (5,219 | ) | 3,363 | ||||||||||||||
Interest rate derivatives | Interest, net | 300 | 206 | 522 | ||||||||||||||||
$ | (482,504 | ) | $ | 306,154 | $ | 190,150 | ||||||||||||||
Receivables_Tables
Receivables (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Receivables [Abstract] | ' | |||||||
Schedule of Accounts, Notes, Loans and Financing Receivable | ' | |||||||
Receivables as of August 31, 2013 and 2012 are as follows: | ||||||||
2013 | 2012 | |||||||
(Dollars in thousands) | ||||||||
Trade accounts receivable | $ | 2,673,169 | $ | 2,817,817 | ||||
CHS Capital notes receivable | 437,141 | 606,514 | ||||||
Other | 254,590 | 278,196 | ||||||
3,364,900 | 3,702,527 | |||||||
Less allowances and reserves | 94,589 | 111,785 | ||||||
$ | 3,270,311 | $ | 3,590,742 | |||||
Inventories_Tables
Inventories (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Schedule of Inventory, Current | ' | |||||||
Inventories as of August 31, 2013 and 2012 are as follows: | ||||||||
2013 | 2012 | |||||||
(Dollars in thousands) | ||||||||
Grain and oilseed | $ | 1,133,555 | $ | 1,625,865 | ||||
Energy | 742,194 | 701,348 | ||||||
Crop nutrients | 293,370 | 401,655 | ||||||
Feed and farm supplies | 407,023 | 384,178 | ||||||
Processed grain and oilseed | 79,706 | 76,892 | ||||||
Other | 8,887 | 14,034 | ||||||
$ | 2,664,735 | $ | 3,203,972 | |||||
Investments_Tables
Investments (Tables) | 12 Months Ended | |||||||||||
Aug. 31, 2013 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ' | |||||||||||
Investments in and Advances to Affiliates, Schedule of Investments [Text Block] | ' | |||||||||||
Investments as of August 31, 2013 and 2012 are as follows: | ||||||||||||
2013 | 2012 | |||||||||||
(Dollars in thousands) | ||||||||||||
Joint ventures: | ||||||||||||
Ventura Foods, LLC | $ | 309,480 | $ | 292,393 | ||||||||
Horizon Milling, LLC | 92,635 | 78,372 | ||||||||||
TEMCO, LLC | 63,547 | 60,734 | ||||||||||
Horizon Milling, ULC | 19,314 | 16,727 | ||||||||||
Cooperatives: | ||||||||||||
Land O’Lakes, Inc. | 66,255 | 58,382 | ||||||||||
Ag Processing Inc. | 19,970 | 19,577 | ||||||||||
Other | 194,745 | 147,203 | ||||||||||
$ | 765,946 | $ | 673,388 | |||||||||
Ventura Foods, LLC | ' | |||||||||||
Schedule of Equity Method Investments [Line Items] | ' | |||||||||||
Schedule of Equity Method Investments | ' | |||||||||||
The following provides summarized unaudited financial information for Ventura Foods balance sheets as of August 31, 2013 and 2012, and statements of operations for the twelve months ended August 31, 2013, 2012 and 2011: | ||||||||||||
2013 | 2012 | |||||||||||
(Dollars in thousands) | ||||||||||||
Current assets | $ | 532,995 | $ | 574,925 | ||||||||
Non-current assets | 503,369 | 459,070 | ||||||||||
Current liabilities | 216,704 | 197,251 | ||||||||||
Non-current liabilities | 226,515 | 277,760 | ||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Net sales | $ | 2,541,483 | $ | 2,550,018 | $ | 2,350,895 | ||||||
Gross profit | 267,602 | 244,969 | 255,748 | |||||||||
Net earnings | 106,405 | 94,586 | 105,754 | |||||||||
Earnings attributable to CHS Inc. | 53,203 | 47,293 | 52,877 | |||||||||
Major equity investments excluding Ventura Foods [Member] | ' | |||||||||||
Schedule of Equity Method Investments [Line Items] | ' | |||||||||||
Schedule of Equity Method Investments | ' | |||||||||||
The following provides combined financial information for our major equity investments, excluding Ventura Foods, for balance sheets as of August 31, 2013 and 2012, and statements of operations for the twelve months ended August 31, 2013, 2012 and 2011: | ||||||||||||
2013 | 2012 | |||||||||||
(Dollars in thousands) | ||||||||||||
Current assets | $ | 513,327 | $ | 631,335 | ||||||||
Non-current assets | 248,809 | 158,675 | ||||||||||
Current liabilities | 256,681 | 352,016 | ||||||||||
Non-current liabilities | 5,387 | 5,642 | ||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Net sales | $ | 5,388,248 | $ | 5,402,241 | $ | 8,399,779 | ||||||
Gross profit | 200,353 | 225,680 | 406,338 | |||||||||
Net earnings | 43,168 | 121,107 | 232,473 | |||||||||
Earnings attributable to CHS Inc. | 27,702 | 36,032 | 89,575 | |||||||||
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property, Plant and Equipment | ' | |||||||
A summary of property, plant and equipment as of August 31, 2013 and 2012 is as follows: | ||||||||
2013 | 2012 | |||||||
(Dollars in thousands) | ||||||||
Land and land improvements | $ | 169,022 | $ | 145,831 | ||||
Buildings | 574,834 | 598,269 | ||||||
Machinery and equipment | 4,195,523 | 3,786,488 | ||||||
Office and other | 118,442 | 109,136 | ||||||
Construction in progress | 480,703 | 405,755 | ||||||
5,538,524 | 5,045,479 | |||||||
Less accumulated depreciation and amortization | 2,367,120 | 2,259,155 | ||||||
$ | 3,171,404 | $ | 2,786,324 | |||||
Other_Assets_Tables
Other Assets (Tables) | 12 Months Ended | |||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||
Other Assets [Abstract] | ' | |||||||||||||||||
Schedule of Other Assets | ' | |||||||||||||||||
Other assets as of August 31, 2013 and 2012 are as follows: | ||||||||||||||||||
2013 | 2012 | |||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Goodwill | $ | 85,063 | $ | 81,693 | ||||||||||||||
Customer lists, less accumulated amortization of $20,063 and $32,883, | 16,352 | 20,694 | ||||||||||||||||
respectively | ||||||||||||||||||
Non-compete covenants, less accumulated amortization of $6,129 and | 812 | 1,987 | ||||||||||||||||
$6,896, respectively | ||||||||||||||||||
Trademarks and other intangible assets, less accumulated amortization of | 18,312 | 22,185 | ||||||||||||||||
$19,853 and $15,949, respectively | ||||||||||||||||||
Notes receivable | 143,343 | 173,054 | ||||||||||||||||
Long-term receivable | 38,704 | 37,589 | ||||||||||||||||
Prepaid pension and other benefits | 187,270 | 86,477 | ||||||||||||||||
Capitalized major maintenance | 109,408 | 70,554 | ||||||||||||||||
Other | 56,896 | 24,053 | ||||||||||||||||
$ | 656,160 | $ | 518,286 | |||||||||||||||
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | ' | |||||||||||||||||
The estimated annual amortization expense related to intangible assets subject to amortization for the next five years is as follows: | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Year 1 | $ | 7,997 | ||||||||||||||||
Year 2 | 6,479 | |||||||||||||||||
Year 3 | 5,927 | |||||||||||||||||
Year 4 | 4,545 | |||||||||||||||||
Year 5 | 2,507 | |||||||||||||||||
Thereafter | 8,021 | |||||||||||||||||
$ | 35,476 | |||||||||||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure | ' | |||||||||||||||||
The capitalized major maintenance activity is as follows: | ||||||||||||||||||
Balance at | Cost | Amortization | Write-Offs | Balance at | ||||||||||||||
Beginning | Deferred | End of Year | ||||||||||||||||
of Year | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
2013 | $ | 70,554 | $ | 73,701 | $ | (34,847 | ) | $ | 109,408 | |||||||||
2012 | 80,752 | 23,443 | (33,641 | ) | 70,554 | |||||||||||||
2011 | 19,097 | 92,129 | (30,474 | ) | 80,752 | |||||||||||||
Notes_Payable_and_LongTerm_Deb1
Notes Payable and Long-Term Debt (Tables) | 12 Months Ended | ||||||||||||
Aug. 31, 2013 | |||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||
Schedule of Short-term Debt [Table Text Block] | ' | ||||||||||||
Weighted-average Interest Rate | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
(Dollars in thousands) | |||||||||||||
Notes payable (a) | 2.00% | 2.58% | $ | 521,864 | $ | 269,783 | |||||||
CHS Capital notes payable (b) | 1.23% | 1.68% | 367,448 | 533,839 | |||||||||
Total notes payable | $ | 889,312 | $ | 803,622 | |||||||||
Schedule of Long-term Debt Instruments | ' | ||||||||||||
Long-term debt as of August 31, 2013 and 2012 consisted of the following: | |||||||||||||
2013 | 2012 | ||||||||||||
(Dollars in thousands) | |||||||||||||
5.59% unsecured revolving term loans from cooperative and other banks, due in equal installments beginning in 2013 through 2018 | $ | 135,000 | $ | 150,000 | |||||||||
6.18% unsecured notes $400 million face amount, due in equal installments beginning in 2014 through 2018 | 400,000 | 400,000 | |||||||||||
6.81% unsecured notes $225 million face amount, due in equal installments beginning in 1998 through 2013 | 37,500 | ||||||||||||
5.60% unsecured notes $60 million face amount, due in equal installments beginning in 2012 through 2018 | 41,539 | 59,615 | |||||||||||
5.25% unsecured notes $125 million face amount, due in equal installments beginning in 2011 through 2015 | 50,000 | 75,000 | |||||||||||
5.78% unsecured notes $50 million face amount, due in equal installments beginning in 2014 through 2018 | 50,000 | 50,000 | |||||||||||
4.00% unsecured notes $100 million face amount, due in equal installments beginning in 2017 through 2021 | 100,000 | 100,000 | |||||||||||
4.08% unsecured notes $130 million face amount, due in 2019 | 130,000 | 130,000 | |||||||||||
4.52% unsecured notes $160 million face amount, due in 2021 | 160,000 | 160,000 | |||||||||||
4.67% unsecured notes $130 million face amount, due in 2023 | 130,000 | 130,000 | |||||||||||
3.85% unsecured notes $80 million face amount, due in 2025 | 80,000 | ||||||||||||
3.80% unsecured notes $100 million face amount, due in 2025 | 100,000 | ||||||||||||
4.82% unsecured notes $80 million face amount, due in 2026 | 80,000 | 80,000 | |||||||||||
4.71% unsecured notes $100 million face amount, due in 2033 | 100,000 | ||||||||||||
Other notes and contracts with interest rates from 2.25% to 15.75% (a) | 50,493 | 68,238 | |||||||||||
Total long-term debt | 1,607,032 | 1,440,353 | |||||||||||
Less current portion | 156,612 | 108,211 | |||||||||||
Long-term portion | $ | 1,450,420 | $ | 1,332,142 | |||||||||
_______________________________________ | |||||||||||||
(a) | Other notes and contracts payable of $16.5 million were collateralized on August 31, 2013. | ||||||||||||
Schedule of Maturities of Long-Term Debt | ' | ||||||||||||
Long-term debt outstanding as of August 31, 2013 has aggregate maturities as follows: | |||||||||||||
(Dollars in thousands) | |||||||||||||
2014 | $ | 156,612 | |||||||||||
2015 | 164,022 | ||||||||||||
2016 | 130,219 | ||||||||||||
2017 | 149,832 | ||||||||||||
2018 | 162,103 | ||||||||||||
Thereafter | 844,244 | ||||||||||||
$ | 1,607,032 | ||||||||||||
Schedule of Interest,Net | ' | ||||||||||||
Interest, net for the years ended August 31, 2013, 2012 and 2011 was as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(Dollars in thousands) | |||||||||||||
Interest expense | $ | 99,271 | $ | 94,090 | $ | 83,044 | |||||||
Interest - purchase of NCRA noncontrolling interests | 149,087 | 113,184 | |||||||||||
Capitalized interest | (10,579 | ) | (8,882 | ) | (5,487 | ) | |||||||
Interest income | (6,212 | ) | (5,129 | ) | (2,722 | ) | |||||||
Interest, net | $ | 231,567 | $ | 193,263 | $ | 74,835 | |||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2013 | Aug. 31, 2012 | |||||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ' | ||||||||||||||||||
Schedule of components of income tax expense (benefit) | ' | ' | ||||||||||||||||||
The provision for income taxes for the years ended August 31, 2013, 2012 and 2011 is as follows: | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Current | ||||||||||||||||||||
Federal | $ | (18,018 | ) | $ | 9,565 | $ | 10,564 | |||||||||||||
State | 11,805 | 7,851 | 8,922 | |||||||||||||||||
Foreign | 3,162 | 4,812 | 53 | |||||||||||||||||
(3,051 | ) | 22,228 | 19,539 | |||||||||||||||||
Deferred | ||||||||||||||||||||
Federal | 92,102 | 66,707 | 54,435 | |||||||||||||||||
State | 1,685 | 1,617 | 9,454 | |||||||||||||||||
Foreign | (1,070 | ) | (9,700 | ) | 3,200 | |||||||||||||||
92,717 | 58,624 | 67,089 | ||||||||||||||||||
Total | $ | 89,666 | $ | 80,852 | $ | 86,628 | ||||||||||||||
Schedule of deferred tax assets and liabilities | ' | ' | ||||||||||||||||||
Deferred tax assets and liabilities as of August 31, 2013 and 2012 were as follows: | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Deferred tax assets: | ||||||||||||||||||||
Accrued expenses | $ | 66,973 | $ | 89,844 | ||||||||||||||||
Postretirement health care and deferred compensation | 57,130 | 107,817 | ||||||||||||||||||
Tax credit carryforwards | 97,242 | 118,752 | ||||||||||||||||||
Loss carryforwards | 57,174 | 30,272 | ||||||||||||||||||
Other | 40,868 | 57,429 | ||||||||||||||||||
Deferred tax assets valuation | (79,623 | ) | (56,659 | ) | ||||||||||||||||
Total deferred tax assets | 239,764 | 347,455 | ||||||||||||||||||
Deferred tax liabilities: | ||||||||||||||||||||
Pension | 6,752 | 35,516 | ||||||||||||||||||
Investments | 91,453 | 120,879 | ||||||||||||||||||
Major maintenance | 31,960 | 9,141 | ||||||||||||||||||
Property, plant and equipment | 529,101 | 453,863 | ||||||||||||||||||
Other | — | 175 | ||||||||||||||||||
Total deferred tax liabilities | 659,266 | 619,574 | ||||||||||||||||||
Net deferred tax liabilities | $ | 419,502 | $ | 272,119 | ||||||||||||||||
Schedule of effective income tax rate reconciliation | ' | ' | ||||||||||||||||||
The reconciliation of the statutory federal income tax rates to the effective tax rates for the years ended August 31, 2013, 2012 and 2011 is as follows: | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Statutory federal income tax rate | 35 | % | 35 | % | 35 | % | ||||||||||||||
State and local income taxes, net of federal income tax benefit | 0.9 | 0.5 | 1.3 | |||||||||||||||||
Patronage earnings | (22.9 | ) | (24.2 | ) | (20.5 | ) | ||||||||||||||
Domestic production activities deduction | (8.5 | ) | (3.5 | ) | (3.2 | ) | ||||||||||||||
Export activities at rates other than the U.S. statutory rate | 0.6 | 0.4 | 0.5 | |||||||||||||||||
Valuation allowance | 2.3 | 0.6 | 0.9 | |||||||||||||||||
Tax credits | (0.5 | ) | (1.3 | ) | (3.1 | ) | ||||||||||||||
Non-controlling interests | (0.1 | ) | (1.9 | ) | (3.0 | ) | ||||||||||||||
Other | 1.5 | 0.1 | (0.4 | ) | ||||||||||||||||
Effective tax rate | 8.3 | % | 5.7 | % | 7.5 | % | ||||||||||||||
Schedule of unrecognized tax benefits roll forward | ' | ' | ||||||||||||||||||
econciliation of the gross beginning and ending amounts of unrecognized tax benefits for the periods presented follows: | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Balance at beginning of period | $ | 67,271 | $ | 67,271 | $ | 69,357 | ||||||||||||||
Reductions attributable to statute expiration | (2,086 | ) | ||||||||||||||||||
Balance at end of period | $ | 67,271 | $ | 67,271 | $ | 67,271 | ||||||||||||||
Equities_Tables
Equities (Tables) | 12 Months Ended | |||||||||||
Aug. 31, 2013 | ||||||||||||
Equity [Abstract] | ' | |||||||||||
Consolidation, less than wholly owned subsidiary, parent ownership interest, effects of changes, net | ' | |||||||||||
The following table presents the effects of changes in our NCRA ownership interest on CHS equities for the years ended August 31, 2013, 2012, and 2011. | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Net income attributable to CHS Inc. | $ | 992,386 | $ | 1,260,628 | $ | 961,355 | ||||||
Transfers to noncontrolling interests: | ||||||||||||
Decrease in CHS Inc. capital reserves for purchase of noncontrolling interests | (82,138 | ) | ||||||||||
Changes from net income attributable to CHS Inc. and transfers to noncontrolling interests | $ | 992,386 | $ | 1,178,490 | $ | 961,355 | ||||||
Benefit_Plans_Tables
Benefit Plans (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||||||||||||||||||||||
Schedule of defined benefit plans disclosures | ' | |||||||||||||||||||||||||||||||||||
Financial information on changes in benefit obligation and plan assets funded and balance sheets status as of August 31, 2013 and 2012 is as follows: | ||||||||||||||||||||||||||||||||||||
Qualified | Non-Qualified | Other Benefits | ||||||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits | |||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Change in benefit obligation: | ||||||||||||||||||||||||||||||||||||
Benefit obligation at beginning of period | $ | 671,066 | $ | 501,053 | $ | 34,470 | $ | 29,728 | $ | 64,189 | $ | 56,864 | ||||||||||||||||||||||||
Service cost | 31,387 | 26,010 | 721 | 279 | 2,936 | 2,556 | ||||||||||||||||||||||||||||||
Interest cost | 25,445 | 24,119 | 1,316 | 1,343 | 2,275 | 2,638 | ||||||||||||||||||||||||||||||
Transfers in from Agriliance Employee Retirement Plan | 84,498 | |||||||||||||||||||||||||||||||||||
Actuarial loss (gain) | 12,819 | 982 | 3,455 | 2,498 | (5,243 | ) | (1,997 | ) | ||||||||||||||||||||||||||||
Assumption change | (64,483 | ) | 62,755 | (1,952 | ) | 1,956 | (16,693 | ) | 6,437 | |||||||||||||||||||||||||||
Plan amendments | (899 | ) | ||||||||||||||||||||||||||||||||||
Medicare D | 92 | 625 | ||||||||||||||||||||||||||||||||||
Benefits paid | (34,950 | ) | (28,351 | ) | (1,785 | ) | (1,334 | ) | (2,014 | ) | (2,035 | ) | ||||||||||||||||||||||||
Benefit obligation at end of period | $ | 641,284 | $ | 671,066 | $ | 36,225 | $ | 34,470 | $ | 45,542 | $ | 64,189 | ||||||||||||||||||||||||
Change in plan assets: | ||||||||||||||||||||||||||||||||||||
Fair value of plan assets at beginning of period | $ | 688,196 | $ | 540,822 | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||||||||
Actual gain on plan assets | 53,582 | 50,515 | ||||||||||||||||||||||||||||||||||
Company contributions | 23,800 | 28,000 | 1,785 | 1,334 | 2,014 | 2,035 | ||||||||||||||||||||||||||||||
Transfers in from Agriliance Employee Retirement Plan | 97,210 | |||||||||||||||||||||||||||||||||||
Benefits paid | (34,950 | ) | (28,351 | ) | (1,785 | ) | (1,334 | ) | (2,014 | ) | (2,035 | ) | ||||||||||||||||||||||||
Fair value of plan assets at end of period | $ | 730,628 | $ | 688,196 | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||||||||
Funded status at end of period | $ | 89,344 | $ | 17,130 | $ | (36,225 | ) | $ | (34,470 | ) | $ | (45,542 | ) | $ | (64,189 | ) | ||||||||||||||||||||
Amounts recognized on balance sheet: | ||||||||||||||||||||||||||||||||||||
Non-current assets | $ | 89,930 | $ | 17,695 | ||||||||||||||||||||||||||||||||
Accrued benefit cost: | ||||||||||||||||||||||||||||||||||||
Current liabilities | $ | (3,051 | ) | $ | (3,325 | ) | $ | (2,919 | ) | $ | (3,297 | ) | ||||||||||||||||||||||||
Non-current liabilities | (586 | ) | (565 | ) | (33,174 | ) | (31,145 | ) | (42,623 | ) | (60,892 | ) | ||||||||||||||||||||||||
Ending balance | $ | 89,344 | $ | 17,130 | $ | (36,225 | ) | $ | (34,470 | ) | $ | (45,542 | ) | $ | (64,189 | ) | ||||||||||||||||||||
Amounts recognized in accumulated other comprehensive loss (pretax): | ||||||||||||||||||||||||||||||||||||
Net transition obligation | $ | 563 | ||||||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 7,794 | $ | 9,392 | $ | 1,088 | $ | 1,316 | $ | (712 | ) | (17 | ) | |||||||||||||||||||||||
Net loss (gain) | 253,288 | 331,420 | 10,685 | 10,104 | (5,415 | ) | 683 | |||||||||||||||||||||||||||||
Ending balance | $ | 261,082 | $ | 340,812 | $ | 11,773 | $ | 11,420 | $ | (6,127 | ) | $ | 1,229 | |||||||||||||||||||||||
Schedule of net benefit costs of assumptions used | ' | |||||||||||||||||||||||||||||||||||
Components of net periodic benefit costs for the years ended August 31, 2013, 2012 and 2011 are as follows: | ||||||||||||||||||||||||||||||||||||
Qualified | Non-Qualified | Other Benefits | ||||||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits | |||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Components of net periodic benefit costs: | ||||||||||||||||||||||||||||||||||||
Service cost | $ | 31,387 | $ | 26,010 | $ | 25,232 | $ | 721 | $ | 279 | $ | 1,246 | $ | 2,936 | $ | 2,556 | $ | 1,771 | ||||||||||||||||||
Interest cost | 25,445 | 24,119 | 22,257 | 1,316 | 1,343 | 1,933 | 2,275 | 2,638 | 2,194 | |||||||||||||||||||||||||||
Expected return on assets | (49,728 | ) | (40,904 | ) | (41,770 | ) | ||||||||||||||||||||||||||||||
Settlement of retiree obligations | 4,735 | |||||||||||||||||||||||||||||||||||
Prior service cost (credit) amortization | 1,597 | 1,831 | 2,327 | 228 | 228 | 141 | (120 | ) | (104 | ) | (122 | ) | ||||||||||||||||||||||||
Actuarial loss amortization | 22,615 | 15,131 | 16,090 | 921 | 428 | 967 | 1,104 | 891 | 513 | |||||||||||||||||||||||||||
Transition amount amortization | 562 | 936 | 935 | |||||||||||||||||||||||||||||||||
Net periodic benefit cost | $ | 31,316 | $ | 26,187 | $ | 24,136 | $ | 3,186 | $ | 2,278 | $ | 9,022 | $ | 6,757 | $ | 6,917 | $ | 5,291 | ||||||||||||||||||
Weighted-average assumptions to determine the net periodic benefit cost: | ||||||||||||||||||||||||||||||||||||
Discount rate | 3.8 | % | 5 | % | 4.75 | % | 4.25 | % | 5 | % | 4.75 | % | 3.75 | % | 4.75 | % | 4.75 | % | ||||||||||||||||||
Expected return on plan assets | 7.25 | % | 7.25 | % | 7.75 | % | N/A | N/A | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||
Rate of compensation increase | 4.5 | % | 4.5 | % | 4.5 | % | 4.75 | % | 4.75 | % | 4.75 | % | 4.5 | % | 4.5 | % | 4.5 | % | ||||||||||||||||||
Weighted-average assumptions to determine the benefit obligations: | ||||||||||||||||||||||||||||||||||||
Discount rate | 4.8 | % | 3.8 | % | 5 | % | 4.5 | % | 4 | % | 5 | % | 3.75 | % | 3.75 | % | 4.75 | % | ||||||||||||||||||
Rate of compensation increase | 4.85 | % | 4.5 | % | 4.5 | % | 4.75 | % | 4.75 | % | 4.5 | % | 4.5 | % | 4.5 | % | 4.5 | % | ||||||||||||||||||
Schedule of amounts in accumulated other comprehensive income (loss) to be recognized over next fiscal year | ' | |||||||||||||||||||||||||||||||||||
The estimated amortization in fiscal 2014 from accumulated other comprehensive loss into net periodic benefit cost is as follows: | ||||||||||||||||||||||||||||||||||||
Qualified | Non-Qualified | Other | ||||||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits | Benefits | ||||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Amortization of prior service cost (benefit) | $ | 1,597 | $ | 229 | $ | (120 | ) | |||||||||||||||||||||||||||||
Amortization of net actuarial loss (gain) | 18,576 | 951 | (374 | ) | ||||||||||||||||||||||||||||||||
Schedule of effect of one-percentage-point change in assumed health care cost trend rates | ' | |||||||||||||||||||||||||||||||||||
A one-percentage point change in the assumed health care cost trend rates would have the following effects: | ||||||||||||||||||||||||||||||||||||
1% Increase | 1% Decrease | |||||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Effect on total of service and interest cost components | $ | 700 | $ | (580 | ) | |||||||||||||||||||||||||||||||
Effect on postretirement benefit obligation | 5,300 | (4,700 | ) | |||||||||||||||||||||||||||||||||
Schedule of expected benefit payments | ' | |||||||||||||||||||||||||||||||||||
retiree benefit payments which reflect expected future service are anticipated to be paid as follows: | ||||||||||||||||||||||||||||||||||||
Qualified | Non-Qualified | Other Benefits | ||||||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits | Gross | Medicare D | |||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
2014 | $ | 33,704 | $ | 3,051 | $ | 2,919 | $ | 200 | ||||||||||||||||||||||||||||
2015 | 42,350 | 896 | 3,107 | 200 | ||||||||||||||||||||||||||||||||
2016 | 45,894 | 799 | 3,382 | 200 | ||||||||||||||||||||||||||||||||
2017 | 47,406 | 4,609 | 3,405 | 200 | ||||||||||||||||||||||||||||||||
2018 | 49,812 | 2,628 | 3,555 | 200 | ||||||||||||||||||||||||||||||||
2019-2023 | 282,842 | 18,637 | 19,329 | 800 | ||||||||||||||||||||||||||||||||
Schedule of defined benefit plans, fair value disclosure | ' | |||||||||||||||||||||||||||||||||||
pension plans’ fair value measurements at August 31, 2013 and 2012 are as follows: | ||||||||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 667 | $ | 667 | ||||||||||||||||||||||||||||||||
Equities: | ||||||||||||||||||||||||||||||||||||
Mutual funds | 113,982 | 80,619 | 194,601 | |||||||||||||||||||||||||||||||||
Fixed income securities: | ||||||||||||||||||||||||||||||||||||
Mutual funds | 75,729 | 409,996 | $ | 1,940 | 487,665 | |||||||||||||||||||||||||||||||
Partnership and joint venture interests | 26,014 | 3,403 | 29,417 | |||||||||||||||||||||||||||||||||
Real estate funds | 18,156 | 18,156 | ||||||||||||||||||||||||||||||||||
Hedge funds | 122 | 122 | ||||||||||||||||||||||||||||||||||
Total | $ | 190,378 | $ | 516,629 | $ | 23,621 | $ | 730,628 | ||||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 2,588 | $ | 21,380 | $ | 23,968 | ||||||||||||||||||||||||||||||
Equities: | ||||||||||||||||||||||||||||||||||||
Mutual funds | 115,515 | 289,286 | 404,801 | |||||||||||||||||||||||||||||||||
Fixed income securities: | ||||||||||||||||||||||||||||||||||||
Mutual funds | 76,795 | 164,380 | $ | 1,868 | 243,043 | |||||||||||||||||||||||||||||||
Real estate funds | 16,257 | 16,257 | ||||||||||||||||||||||||||||||||||
Hedge funds | 127 | 127 | ||||||||||||||||||||||||||||||||||
Total | $ | 194,898 | $ | 475,046 | $ | 18,252 | $ | 688,196 | ||||||||||||||||||||||||||||
Schedule of changes in fair value of plan assets | ' | |||||||||||||||||||||||||||||||||||
The following tables set forth a summary of changes in the fair value of the plan’s Level 3 assets for the years ended August 31, 2013 and 2012: | ||||||||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||
Mutual Funds | Partnership and Joint Venture Interests | Real | Hedge | Total | ||||||||||||||||||||||||||||||||
Estate | Funds | |||||||||||||||||||||||||||||||||||
Funds | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Balances at beginning of period | $ | 1,868 | $ | 16,257 | $ | 127 | $ | 18,252 | ||||||||||||||||||||||||||||
Unrealized gains (losses) | (4 | ) | 1,894 | 7 | 1,897 | |||||||||||||||||||||||||||||||
Realized gains (losses) | 82 | (10 | ) | 72 | ||||||||||||||||||||||||||||||||
Sales | (12 | ) | (12 | ) | (24 | ) | ||||||||||||||||||||||||||||||
Purchases | $ | 3,403 | 15 | 3,418 | ||||||||||||||||||||||||||||||||
Transfers into level 3 | 6 | 6 | ||||||||||||||||||||||||||||||||||
Total | $ | 1,940 | $ | 3,403 | $ | 18,156 | $ | 122 | $ | 23,621 | ||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||||||||
Mutual Funds | Real | Hedge | Total | |||||||||||||||||||||||||||||||||
Estate | Funds | |||||||||||||||||||||||||||||||||||
Funds | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Balances at beginning of period | $ | 14,522 | $ | 191 | $ | 14,713 | ||||||||||||||||||||||||||||||
Unrealized gains (losses) | $ | 48 | 1,763 | (68 | ) | 1,743 | ||||||||||||||||||||||||||||||
Realized gains (losses) | 90 | (48 | ) | 42 | ||||||||||||||||||||||||||||||||
Sales | (8 | ) | (2 | ) | (10 | ) | ||||||||||||||||||||||||||||||
Purchases | 22 | 4 | 26 | |||||||||||||||||||||||||||||||||
Transfers into level 3 | 1,738 | 1,738 | ||||||||||||||||||||||||||||||||||
Total | $ | 1,868 | $ | 16,257 | $ | 127 | $ | 18,252 | ||||||||||||||||||||||||||||
Schedule of multiemployer plans | ' | |||||||||||||||||||||||||||||||||||
participation in the Co-op Plan for the years ended August 31, 2013, 2012, and 2011 is outlined in the table below: | ||||||||||||||||||||||||||||||||||||
Contributions of CHS | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
Plan Name | EIN/Plan Number | 2013 | 2012 | 2011 | Surcharge Imposed | Expiration Date of Collective Bargaining Agreement | ||||||||||||||||||||||||||||||
Co-op Retirement Plan | 01-0689331 / 001 | $ | 2,095 | $ | 1,885 | $ | 1,279 | N/A | N/A | |||||||||||||||||||||||||||
Segment_Reporting_Tables
Segment Reporting (Tables) | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||
Schedule of Segment Reporting Information, by Segment | ' | |||||||||||||||||||
Segment information for the years ended August 31, 2013, 2012 and 2011 is as follows: | ||||||||||||||||||||
Energy | Ag | Corporate | Reconciling | Total | ||||||||||||||||
and Other | Amounts | |||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
For the year ended August 31, 2013: | ||||||||||||||||||||
Revenues | $ | 12,982,293 | $ | 31,909,791 | $ | 69,238 | $ | (481,465 | ) | $ | 44,479,857 | |||||||||
Cost of goods sold | 11,846,458 | 31,341,453 | (241 | ) | (481,465 | ) | 42,706,205 | |||||||||||||
Gross profit | 1,135,835 | 568,338 | 69,479 | — | 1,773,652 | |||||||||||||||
Marketing, general and administrative | 172,136 | 312,616 | 68,871 | 553,623 | ||||||||||||||||
Operating earnings | 963,699 | 255,722 | 608 | — | 1,220,029 | |||||||||||||||
Gain on investments | — | (27 | ) | (155 | ) | (182 | ) | |||||||||||||
Interest, net | 148,366 | 71,597 | 11,604 | 231,567 | ||||||||||||||||
Equity income from investments | (1,357 | ) | (15,194 | ) | (80,799 | ) | (97,350 | ) | ||||||||||||
Income before income taxes | $ | 816,690 | $ | 199,346 | $ | 69,958 | $ | — | $ | 1,085,994 | ||||||||||
Intersegment revenues | $ | (481,465 | ) | $ | 481,465 | $ | — | |||||||||||||
Goodwill | $ | 1,165 | $ | 77,000 | $ | 6,898 | $ | 85,063 | ||||||||||||
Capital expenditures | $ | 452,859 | $ | 198,892 | $ | 7,622 | $ | 659,373 | ||||||||||||
Depreciation and amortization | $ | 120,447 | $ | 105,654 | $ | 15,690 | $ | 241,791 | ||||||||||||
Total identifiable assets | $ | 4,409,594 | $ | 6,146,547 | $ | 2,948,129 | $ | 13,504,270 | ||||||||||||
For the year ended August 31, 2012: | ||||||||||||||||||||
Revenues | $ | 12,816,542 | $ | 28,181,445 | $ | 68,882 | $ | (467,583 | ) | $ | 40,599,286 | |||||||||
Cost of goods sold | 11,514,463 | 27,544,040 | (2,777 | ) | (467,583 | ) | 38,588,143 | |||||||||||||
Gross profit | 1,302,079 | 637,405 | 71,659 | — | 2,011,143 | |||||||||||||||
Marketing, general and administrative | 155,786 | 273,757 | 68,690 | 498,233 | ||||||||||||||||
Operating earnings | 1,146,293 | 363,648 | 2,969 | — | 1,512,910 | |||||||||||||||
Loss on investments | 4,008 | 1,049 | 408 | 5,465 | ||||||||||||||||
Interest, net | 122,302 | 57,915 | 13,046 | 193,263 | ||||||||||||||||
Equity income from investments | (7,537 | ) | (22,737 | ) | (72,115 | ) | (102,389 | ) | ||||||||||||
Income before income taxes | $ | 1,027,520 | $ | 327,421 | $ | 61,630 | $ | — | $ | 1,416,571 | ||||||||||
Intersegment revenues | $ | (467,583 | ) | $ | 467,583 | $ | — | |||||||||||||
Goodwill | $ | 1,165 | $ | 73,630 | $ | 6,898 | $ | 81,693 | ||||||||||||
Capital expenditures | $ | 294,560 | $ | 168,825 | $ | 5,226 | $ | 468,611 | ||||||||||||
Depreciation and amortization | $ | 109,496 | $ | 92,538 | $ | 17,598 | $ | 219,632 | ||||||||||||
Total identifiable assets | $ | 3,704,796 | $ | 7,316,410 | $ | 2,623,818 | $ | 13,645,024 | ||||||||||||
For the year ended August 31, 2011: | ||||||||||||||||||||
Revenues | $ | 11,467,381 | $ | 25,767,033 | $ | 64,809 | $ | (383,389 | ) | $ | 36,915,834 | |||||||||
Cost of goods sold | 10,694,687 | 25,204,301 | (2,611 | ) | (383,389 | ) | 35,512,988 | |||||||||||||
Gross profit | 772,694 | 562,732 | 67,420 | — | 1,402,846 | |||||||||||||||
Marketing, general and administrative | 142,708 | 229,369 | 66,421 | 438,498 | ||||||||||||||||
Operating earnings | 629,986 | 333,363 | 999 | — | 964,348 | |||||||||||||||
Loss (gain) on investments | 1,027 | (118,344 | ) | (9,412 | ) | (126,729 | ) | |||||||||||||
Interest, net | 5,829 | 57,438 | 11,568 | 74,835 | ||||||||||||||||
Equity income from investments | (6,802 | ) | (40,482 | ) | (84,130 | ) | (131,414 | ) | ||||||||||||
Income before income taxes | $ | 629,932 | $ | 434,751 | $ | 82,973 | $ | — | $ | 1,147,656 | ||||||||||
Intersegment revenues | $ | (383,389 | ) | $ | 383,389 | $ | — | |||||||||||||
Goodwill | $ | 1,165 | $ | 18,346 | $ | 6,898 | $ | 26,409 | ||||||||||||
Capital expenditures | $ | 198,692 | $ | 107,866 | $ | 4,112 | $ | 310,670 | ||||||||||||
Depreciation and amortization | $ | 126,018 | $ | 79,231 | $ | 15,445 | $ | 220,694 | ||||||||||||
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area | ' | |||||||||||||||||||
years ended August 31, 2013, 2012 and 2011: | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||
North America | $ | 39,918 | $ | 37,503 | $ | 35,287 | ||||||||||||||
South America | 2,511 | 1,444 | 1,066 | |||||||||||||||||
EMEA | 1,040 | 1,064 | 277 | |||||||||||||||||
APAC | 680 | 290 | 6 | |||||||||||||||||
$ | 44,149 | $ | 40,301 | $ | 36,636 | |||||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | |||||||||||||||
Aug. 31, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair Value Measurements, Recurring and Nonrecurring | ' | |||||||||||||||
Fair value measurements at August 31, 2013 and 2012 are as follows: | ||||||||||||||||
2013 | ||||||||||||||||
Quoted Prices in | Significant | Significant | Total | |||||||||||||
Active Markets | Other | Unobservable | ||||||||||||||
for Identical | Observable | Inputs | ||||||||||||||
Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||
Assets: | ||||||||||||||||
Readily marketable inventories | $ | 1,203,383 | $ | 1,203,383 | ||||||||||||
Commodity and freight derivatives | $ | 58,441 | 410,233 | 468,674 | ||||||||||||
Interest rate swap derivatives | 24,139 | 24,139 | ||||||||||||||
Foreign currency derivatives | 6,894 | 185 | 7,079 | |||||||||||||
Other assets | 114,084 | 114,084 | ||||||||||||||
$ | 179,419 | $ | 1,637,940 | $ | 1,817,359 | |||||||||||
Liabilities: | ||||||||||||||||
Commodity and freight derivatives | $ | 59,184 | $ | 399,710 | $ | 458,894 | ||||||||||
Interest rate swap derivatives | 248 | 248 | ||||||||||||||
Foreign currency derivatives | 5,925 | 5,925 | ||||||||||||||
Accrued liability for contingent crack spread payments | $ | 134,134 | 134,134 | |||||||||||||
related to purchase of noncontrolling interests | ||||||||||||||||
$ | 65,109 | $ | 399,958 | $ | 134,134 | $ | 599,201 | |||||||||
2012 | ||||||||||||||||
Quoted Prices in | Significant | Significant | Total | |||||||||||||
Active Markets | Other | Unobservable | ||||||||||||||
for Identical | Observable | Inputs | ||||||||||||||
Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||
Assets: | ||||||||||||||||
Readily marketable inventories | $ | 1,702,757 | $ | 1,702,757 | ||||||||||||
Commodity and freight derivatives | $ | 122,013 | 948,787 | 1,070,800 | ||||||||||||
Foreign currency derivatives | 978 | 978 | ||||||||||||||
Other assets | 75,000 | 75,000 | ||||||||||||||
$ | 197,991 | $ | 2,651,544 | $ | 2,849,535 | |||||||||||
Liabilities: | ||||||||||||||||
Commodity and freight derivatives | $ | 201,475 | $ | 645,452 | $ | 846,927 | ||||||||||
Interest rate swap derivatives | 544 | 544 | ||||||||||||||
Foreign currency derivatives | 2,388 | 2,388 | ||||||||||||||
Accrued liability for contingent crack spread payments | $ | 127,516 | 127,516 | |||||||||||||
related to purchase of noncontrolling interests | ||||||||||||||||
$ | 203,863 | $ | 645,996 | $ | 127,516 | $ | 977,375 | |||||||||
Fair Value Inputs, Liabilities, Quantitative Information | ' | |||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements | ||||||||||||||||
Fair Value | Valuation | Range | ||||||||||||||
Item | August 31, 2013 | Technique | Unobservable Input | (Weighted Average) | ||||||||||||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests | $ | 134,134 | Adjusted Black Scholes option pricing model | Forward crack spread margin on August 31 (a) | $20.46-$22.07 ($20.97) | |||||||||||
Contractual target crack spread margin (b) | $17.50 | |||||||||||||||
Expected volatility (c) | 80.31% | |||||||||||||||
Risk-free interest rate (d) | 1.80-2.60% (2.23%) | |||||||||||||||
Expected life - years (e) | 1.00-4.00 (2.64) | |||||||||||||||
(a) Represents forward crack spread margin quotes and management estimates based on future settlement dates | ||||||||||||||||
(b) Represents the minimum contractual threshold that would require settlement with the counterparties | ||||||||||||||||
(c) Represents quarterly adjusted volatility estimates derived from daily historical market data | ||||||||||||||||
(d) Represents yield curves for U.S. Treasury securities | ||||||||||||||||
(e) Represents the range in the number of years remaining related to each contingent payment | ||||||||||||||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | ' | |||||||||||||||
The following table represents a reconciliation of liabilities measured at fair value using significant unobservable inputs (Level 3) for the years ended August 31, 2013 and 2012: | ||||||||||||||||
Level 3 Liabilities | ||||||||||||||||
Accrued Liability for Contingent Crack Spread Payments Related to Purchase of Noncontrolling Interests | ||||||||||||||||
2013 | 2012 | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||
Balance - beginning of year | $ | 127,516 | ||||||||||||||
Purchases | $ | 105,188 | ||||||||||||||
Amounts currently payable | (16,491 | ) | ||||||||||||||
Total losses included in cost of goods sold | 23,109 | 22,328 | ||||||||||||||
Balance - end of year | $ | 134,134 | $ | 127,516 | ||||||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||||||||||||||
Schedule of future minimum rental payments for operating leases | ' | |||||||||||||||||||
Rail Cars | Vehicles | Equipment | Total | |||||||||||||||||
and Other | ||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
2014 | $ | 18,875 | $ | 13,006 | $ | 45,965 | $ | 77,846 | ||||||||||||
2015 | 18,331 | 9,803 | 35,934 | 64,068 | ||||||||||||||||
2016 | 17,310 | 6,959 | 29,699 | 53,968 | ||||||||||||||||
2017 | 16,203 | 4,451 | 21,906 | 42,560 | ||||||||||||||||
2018 | 11,608 | 2,480 | 13,527 | 27,615 | ||||||||||||||||
Thereafter | 10,830 | 685 | 32,210 | 43,725 | ||||||||||||||||
Total minimum future lease payments | $ | 93,157 | $ | 37,384 | $ | 179,241 | $ | 309,782 | ||||||||||||
Unrecorded unconditional purchase obligations disclosure | ' | |||||||||||||||||||
Minimum future payments required under noncancelable purchase obligations as of August 31, 2013 are as follows: | ||||||||||||||||||||
Payments Due by Period | ||||||||||||||||||||
Total | Less than | 3-Jan | 5-Mar | More than | ||||||||||||||||
1 Year | Years | Years | 5 Years | |||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Long-term unconditional purchase obligations | $ | 510,705 | $ | 63,387 | $ | 137,237 | $ | 89,700 | $ | 220,381 | ||||||||||
Other contractual obligations | 4,871,767 | 4,713,927 | 80,454 | 10,459 | 66,927 | |||||||||||||||
Total purchase obligations | $ | 5,382,472 | $ | 4,777,314 | $ | 217,691 | $ | 100,159 | $ | 287,308 | ||||||||||
Supplemental_Cash_Flow_and_Oth1
Supplemental Cash Flow and Other Information (Tables) | 12 Months Ended | |||||||||||
Aug. 31, 2013 | ||||||||||||
Supplemental Cash Flow Elements [Abstract] | ' | |||||||||||
Schedule of Cash Flow, Supplemental Disclosures | ' | |||||||||||
Additional information concerning supplemental disclosures of cash flow activities for the years ended August 31, 2013, 2012 and 2011 is as follows: | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Net cash paid during the period for: | ||||||||||||
Interest | $ | 256,538 | $ | 155,888 | $ | 73,557 | ||||||
Income taxes | 23,228 | 27,671 | 1,046 | |||||||||
Other significant noncash investing and financing transactions: | ||||||||||||
Capital equity certificates issued in exchange for Ag acquisitions | 18,211 | 29,155 | 6,453 | |||||||||
Accrual of dividends and equities payable | 390,153 | 578,809 | 400,216 | |||||||||
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 12 Months Ended | |||||||||||
Aug. 31, 2013 | ||||||||||||
Related Party Transactions [Abstract] | ' | |||||||||||
Schedule of Related Party Transactions | ' | |||||||||||
Related party transactions with equity investees for the years ended August 31, 2013, 2012 and 2011, respectively and balances as of August 31, 2013 and 2012, respectively are as follows: | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Sales | $ | 2,963,468 | $ | 2,185,348 | $ | 3,004,303 | ||||||
Purchases | 1,535,176 | 1,143,285 | 1,461,391 | |||||||||
2013 | 2012 | |||||||||||
(Dollars in thousands) | ||||||||||||
Receivables | $ | 25,159 | $ | 51,716 | ||||||||
Payables | 31,485 | 60,659 | ||||||||||
Comprehensive_Income_Tables
Comprehensive Income (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Statement of Other Comprehensive Income [Abstract] | ' | |||||||
Schedule of accumulated other comprehensive income (loss) | ' | |||||||
The components of accumulated other comprehensive loss, net of taxes, as of August 31, 2013 and 2012 are as follows: | ||||||||
2013 | 2012 | |||||||
(Dollars in thousands) | ||||||||
Pension and other postretirement, net of tax benefit of $(104,024) and $(145,031) in 2013 and 2012, respectively | $ | (165,611 | ) | $ | (228,727 | ) | ||
Unrealized net gain on available for sale investments, net of tax expense of $1,461 and $858 in 2013 and 2012, respectively | 2,370 | 1,391 | ||||||
Cash flow hedges, net of tax expense (benefit) of $7,204 and $(2,347) in 2013 and 2012, respectively | 11,685 | (3,806 | ) | |||||
Foreign currency translation adjustment, net of tax benefit of $(3,274) and $(891) in 2013 and 2012, respectively | (5,311 | ) | (1,445 | ) | ||||
Accumulated other comprehensive loss, including noncontrolling interests | (156,867 | ) | (232,587 | ) | ||||
Accumulated other comprehensive loss attributable to noncontrolling interests | ||||||||
Accumulated other comprehensive loss attributable to CHS Inc. | $ | (156,867 | ) | $ | (232,587 | ) |
Acquisitions_Tables
Acquisitions (Tables) | 12 Months Ended | ||||
Aug. 31, 2013 | |||||
Business Combinations [Abstract] | ' | ||||
Schedule of Purchase Price Allocation | ' | ||||
air values assigned to the net assets acquired were as follows: | |||||
(Dollars in thousands) | |||||
Current assets | $ | 74,240 | |||
Investments | 961 | ||||
Property, plant and equipment | 71,324 | ||||
Goodwill | 39,794 | ||||
Definite-lived intangible assets | 23,306 | ||||
Current liabilities | (63,417 | ) | |||
Long-term debt | (15,849 | ) | |||
Other liabilities | (1,694 | ) | |||
Total net assets acquired | $ | 128,665 | |||
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Narrative (Details) (USD $) | 12 Months Ended | |
Aug. 31, 2013 | Aug. 31, 2012 | |
Equity | ' | ' |
Preferred stock, dividend rate, percentage | 8.00% | ' |
Derivative Instrument Detail | ' | ' |
Notional Amount of Interest Rate Cash Flow Hedge Derivatives | 300,000,000 | ' |
Debt, Weighted Average Interest Rate | 5.00% | ' |
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments, Assets at Fair Value | 7,100,000 | ' |
Finite-Lived Intangible Assets, Net | ' | ' |
Number of Refineries | 2 | ' |
Income Taxes [Abstract] | ' | ' |
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments, Liability at Fair Value | 5,900,000 | ' |
Interest Rate Contracts, Expiring At Various Times Through Fiscal 2018 | ' | ' |
Derivative Instrument Detail | ' | ' |
Notional Amount of Interest Rate Cash Flow Hedge Derivatives | 8,600,000 | ' |
Interest Rate Contracts, Expiring During Fiscal 2013 | ' | ' |
Derivative Instrument Detail | ' | ' |
Notional Amount of Interest Rate Cash Flow Hedge Derivatives | 300,000 | ' |
Minimum | Subsidiaries | ' | ' |
Income Taxes [Abstract] | ' | ' |
Subsidiaries Ownership Percentage | 80.00% | ' |
Minimum | Customer Lists, Trademarks and Agreements Not to Compete | ' | ' |
Finite-Lived Intangible Assets, Net | ' | ' |
Finite-Lived Intangible Asset, Useful Life | '2 years | ' |
Minimum | Major Maintenace Activities Requiring Shutdown | ' | ' |
Finite-Lived Intangible Assets, Net | ' | ' |
Finite-Lived Intangible Asset, Useful Life | '2 years | ' |
Minimum | Land Improvements [Member] | ' | ' |
Property, Plant and Equipment | ' | ' |
Property, Plant and Equipment, Estimated Useful Lives | 'P15Y | ' |
Minimum | Building | ' | ' |
Property, Plant and Equipment | ' | ' |
Property, Plant and Equipment, Estimated Useful Lives | '20 | ' |
Minimum | Machinery, Equipment, Office and Other | ' | ' |
Property, Plant and Equipment | ' | ' |
Property, Plant and Equipment, Estimated Useful Lives | 'P5Y | ' |
Minimum | Property, Plant and Equipment, Other Types [Member] | ' | ' |
Property, Plant and Equipment | ' | ' |
Property, Plant and Equipment, Estimated Useful Lives | '3 | ' |
Maximum | ' | ' |
Derivative Instrument Detail | ' | ' |
Notes Payable Maturities | '30 days | ' |
Maximum | Customer Lists, Trademarks and Agreements Not to Compete | ' | ' |
Finite-Lived Intangible Assets, Net | ' | ' |
Finite-Lived Intangible Asset, Useful Life | '30 years | ' |
Maximum | Major Maintenace Activities Requiring Shutdown | ' | ' |
Finite-Lived Intangible Assets, Net | ' | ' |
Finite-Lived Intangible Asset, Useful Life | '4 years | ' |
Maximum | Land Improvements [Member] | ' | ' |
Property, Plant and Equipment | ' | ' |
Property, Plant and Equipment, Estimated Useful Lives | 'P20Y | ' |
Maximum | Land Improvements and Buildings | ' | ' |
Property, Plant and Equipment | ' | ' |
Property, Plant and Equipment, Estimated Useful Lives | '40 | ' |
Maximum | Machinery, Equipment, Office and Other | ' | ' |
Property, Plant and Equipment | ' | ' |
Property, Plant and Equipment, Estimated Useful Lives | 'P20Y | ' |
Maximum | Property, Plant and Equipment, Other Types [Member] | ' | ' |
Property, Plant and Equipment | ' | ' |
Property, Plant and Equipment, Estimated Useful Lives | '10 | ' |
Service Life | ' | ' |
Property, Plant and Equipment | ' | ' |
Property, Plant and Equipment, Estimated Useful Lives | 'P20Y | 'P16Y |
Change in Accounting Estimate, Financial Effect | ' | 27,000,000 |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Interest Rate Swap [Member] | ' | ' |
Derivative Instrument Detail | ' | ' |
Derivative Assets | 24,135,000 | ' |
Immaterial Balance Sheet Revision [Member] | Derivative Financial Instruments, Assets [Member] | ' | ' |
Income Taxes [Abstract] | ' | ' |
Quantifying Misstatement in Current Year Financial Statements, Amount | 221,900,000 | ' |
Immaterial Balance Sheet Revision [Member] | Derivative Financial Instruments, Liabilities [Member] | ' | ' |
Income Taxes [Abstract] | ' | ' |
Quantifying Misstatement in Current Year Financial Statements, Amount | 340,800,000 | ' |
Immaterial Balance Sheet Revision [Member] | Accounts Payable [Member] | ' | ' |
Income Taxes [Abstract] | ' | ' |
Quantifying Misstatement in Current Year Financial Statements, Amount | 118,900,000 | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Purchase and Sales Contracts Outstanding (Details) | Aug. 31, 2013 | Aug. 31, 2012 |
Bushels | T | |
T | Bushels | |
Barrels | Barrels | |
Sales Contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Grain and oilseed - bushels | 806,295,000 | 1,074,535,000 |
Energy products - barrels | 21,312,000 | 19,561,000 |
Soy products - tons | 847,000 | 215,000 |
Crop nutrients - tons | 1,050,000 | 725,000 |
Ocean and barge freight - metric tons | 151,000 | 183,000 |
Derivative, Number of Units, Cargo and Freight Rail Contract | 43,000 | 34,000 |
Derivative, Number of Units, Livestock | 17,280,000 | 3,440,000 |
Purchase Contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Grain and oilseed - bushels | 521,979,000 | 722,895,000 |
Energy products - barrels | 12,626,000 | 9,047,000 |
Soy products - tons | 24,000 | 15,000 |
Crop nutrients - tons | 968,000 | 600,000 |
Ocean and barge freight - metric tons | 1,225,000 | 1,018,000 |
Derivative, Number of Units, Cargo and Freight Rail Contract | 220,000 | 184,000 |
Derivative, Number of Units, Livestock | ' | 2,560,000 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Pretax Gains (Losses) On Derivatives Not Accounted For As Hedging Instruments (Details) (Not Designated as Hedging Instrument, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Pretax gain (loss) on derivative instruments | ($482,504) | $306,154 | ' |
Commodity and freight derivatives | Cost of goods sold | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Pretax gain (loss) on derivative instruments | -482,352 | 311,167 | 186,265 |
Foreign exchange derivatives | Cost of goods sold | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Pretax gain (loss) on derivative instruments | -452 | -5,219 | 3,363 |
Interest rate derivatives | Interest, net | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Pretax gain (loss) on derivative instruments | $300 | $206 | $522 |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies - Derivative Instruments Designated as Hedging Instruments (Details) (Designated as Hedging Instrument [Member], Cash Flow Hedging [Member], Interest Rate Swap [Member], USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Interest Rate Swap [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative Assets | $24,135 | ' |
Summary_of_Significant_Account7
Summary of Significant Accounting Policies - Gains (losses) Included in Other Comprehensive Income on Derivatives Accounted For as Hedging Instruments, Net of Tax (Details) (USD $) | 12 Months Ended | ||
Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |
Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | ||
Interest Rate Swap [Member] | Interest Rate Swap [Member] | ||
Cash Flow Hedging [Member] | Cash Flow Hedging [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | $900,000 | ' | ' |
Accumulated Other Comprehensive Income (Loss), Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax | ' | $14,930,000 | ' |
Receivables_Narrative_Details
Receivables - Narrative (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
Notes Receivable, Long-Term | ' | ' |
CHS Capital long-term notes receivable | $127,700,000 | $164,800,000 |
Percentage of commercial notes to CHS Capital long-term notes receivable | 59.00% | 74.00% |
Percentage of producer notes to CHS Capital long-term notes receivable | 41.00% | 26.00% |
Interest income accrual, discontinue, term | '90 days | ' |
Minimum | ' | ' |
Notes Receivable, Short-Term | ' | ' |
CHS Capital short-term notes receivable, term | '12 months | ' |
Maximum | ' | ' |
Notes Receivable, Short-Term | ' | ' |
CHS Capital short-term notes receivable, term | '14 months | ' |
Notes and Loans Receivable, Net, Noncurrent, Term | '10 years | ' |
CHS [Member] | ' | ' |
Notes Receivable, Long-Term | ' | ' |
CHS Capital long-term notes receivable additional available credit of counterparty | $1,000,000,000 | ' |
Receivables_Schedule_of_Receiv
Receivables - Schedule of Receivables (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Receivables [Abstract] | ' | ' |
Trade accounts receivable | $2,673,169 | $2,817,817 |
CHS Capital notes receivable | 437,141 | 606,514 |
Other | 254,590 | 278,196 |
Receivables, gross | 3,364,900 | 3,702,527 |
Less allowances and reserves | 94,589 | 111,785 |
Receivables, net | $3,270,311 | $3,590,742 |
Inventories_Narrative_Details
Inventories - Narrative (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Millions, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Percentage of LIFO inventory | 16.00% | 11.00% |
LIFO inventory, difference amount had FIFO inventory valuation method been used | $652.60 | $566.60 |
Inventories_Schedule_of_Invent
Inventories - Schedule of Inventories (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Grain and Oilseed | $1,133,555 | $1,625,865 |
Energy | 742,194 | 701,348 |
Crop nutrients | 293,370 | 401,655 |
Feed and farm supplies | 407,023 | 384,178 |
Processed grain and oilseed | 79,706 | 76,892 |
Other | 8,887 | 14,034 |
Inventories | $2,664,735 | $3,203,972 |
Investments_Narrative_Details
Investments - Narrative (Details) (USD $) | 12 Months Ended | |||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | 31-May-13 | |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Expected ownership of future joint venture | ' | ' | ' | 12.00% |
Expected borrowings of future joint venture | ' | ' | ' | $600,000,000 |
Proceeds from Equity Method Investment, Dividends or Distributions | 62,761,000 | 75,468,000 | 137,766,000 | ' |
Joint venture, realized gain (loss) on disposal | ' | 800,000 | 9,000,000 | ' |
Ventura Foods, LLC | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Ownership percentage | 50.00% | ' | ' | ' |
Equity value exceeding carrying value | 12,900,000 | ' | ' | ' |
Multigrain AG | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Ownership percentage | ' | ' | 45.00% | ' |
Joint venture, net sales proceeds | ' | ' | 225,000,000 | ' |
Joint venture, realized gain (loss) on disposal | ' | ' | 119,700,000 | ' |
Agrillance LLC | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Defined benefit plan, transfer of liabilities in | 84,500,000 | 84,500,000 | ' | ' |
Ownership percentage | 50.00% | ' | ' | ' |
Payments to acquire equity method investments | 45,400,000 | ' | ' | ' |
Defined benefit plan, transfer of assets in | 97,200,000 | 97,200,000 | ' | ' |
Agrillance LLC | Transfer of Pension Plan Assets And Liabilities | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Proceeds from joint venture, dividends or distributions, return of capital | 12,700,000 | 12,700,000 | ' | ' |
Agrillance LLC | Land O' Lakes | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Ownership percentage | 50.00% | ' | ' | ' |
Agriliance [Member] | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Proceeds from Equity Method Investment, Dividends or Distributions | ' | ' | $28,000,000 | ' |
TEMCO, LLC | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Ownership percentage | 50.00% | ' | ' | ' |
Long-term supply commitment, term | '25 years | ' | ' | ' |
TEMCO, LLC | Cargill, Inc. | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Ownership percentage | 50.00% | ' | ' | ' |
Investments_Schedule_of_Invest
Investments - Schedule of Investments (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Equity Method Investments [Line Items] | ' | ' |
Investments total | $765,946 | $673,388 |
Ventura Foods, LLC | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Equity method investments | 309,480 | 292,393 |
Horizon Milling, LLC | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Equity method investments | 92,635 | 78,372 |
TEMCO, LLC | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Equity method investments | 63,547 | 60,734 |
Horizon Milling G.P. | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Equity method investments | 19,314 | 16,727 |
Land O'Lakes, Inc. | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Cost method investments | 66,255 | 58,382 |
Ag Processing Inc. | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Cost method investments | 19,970 | 19,577 |
Other | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Equity and cost method investments | $194,745 | $147,203 |
Investments_Schedule_of_Equity
Investments - Schedule of Equity Method Investment Balance Sheet and Statement of Operations (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Earnings attributable to CHS Inc. | $97,350 | $102,389 | $131,414 |
Ventura Foods, LLC | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Current assets | 532,995 | 574,925 | ' |
Non-current assets | 503,369 | 459,070 | ' |
Current liabilities | 216,704 | 197,251 | ' |
Non-current liabilities | 226,515 | 277,760 | ' |
Net sales | 2,541,483 | 2,550,018 | 2,350,895 |
Gross profit | 267,602 | 244,969 | 255,748 |
Net earnings | 106,405 | 94,586 | 105,754 |
Earnings attributable to CHS Inc. | 53,203 | 47,293 | 52,877 |
Major equity investments excluding Ventura Foods [Member] | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Current assets | 513,327 | 631,335 | ' |
Non-current assets | 248,809 | 158,675 | ' |
Current liabilities | 256,681 | 352,016 | ' |
Non-current liabilities | 5,387 | 5,642 | ' |
Net sales | 5,388,248 | 5,402,241 | 8,399,779 |
Gross profit | 200,353 | 225,680 | 406,338 |
Net earnings | 43,168 | 121,107 | 232,473 |
Earnings attributable to CHS Inc. | $27,702 | $36,032 | $89,575 |
Property_Plant_and_Equipment_N
Property, Plant and Equipment - Narrative (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Property, Plant and Equipment [Abstract] | ' | ' | ' |
Depreciation expense | $224.50 | $199.80 | $205.20 |
Assets Held-for-sale, Current | $46.90 | ' | ' |
Property_Plant_and_Equipment_S
Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | $5,538,524 | $5,045,479 |
Less accumulated depreciation and amortization | 2,367,120 | 2,259,155 |
Property, plant and equipment,net | 3,171,404 | 2,786,324 |
Land and land improvements | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | 169,022 | 145,831 |
Building | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | 574,834 | 598,269 |
Machinery and equipment | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | 4,195,523 | 3,786,488 |
Office and other | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | 118,442 | 109,136 |
Construction in progress | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | $480,703 | $405,755 |
Other_Assets_Narrative_Details
Other Assets - Narrative (Details) (USD $) | 12 Months Ended | ||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | |
Goodwill [Line Items] | ' | ' | ' |
Amortization of intangible assets | $10,000,000 | $12,700,000 | $11,000,000 |
Ag Business | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill, acquired during period | 8,300,000 | 55,500,000 | ' |
Finite-lived intangible assets acquired | $1,500,000 | $23,400,000 | ' |
Other_Assets_Schedule_of_Other
Other Assets - Schedule of Other Assets (Details) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2010 |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' |
Goodwill | $85,063 | $81,693 | $26,409 | ' |
Finite-lived intangible assets, net | 35,476 | ' | ' | ' |
Notes receivable | 143,343 | 173,054 | ' | ' |
Long-term receivable | 38,704 | 37,589 | ' | ' |
Prepaid pension and other benefits | 187,270 | 86,477 | ' | ' |
Capitalized major maintenance | 109,408 | 70,554 | 80,752 | 19,097 |
Other | 56,896 | 24,053 | ' | ' |
Other Assets | 656,160 | 518,286 | ' | ' |
Amortization of intangible assets | 10,000 | 12,700 | 11,000 | ' |
Customer lists | ' | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' |
Finite-lived intangible assets, net | 16,352 | 20,694 | ' | ' |
Amortization of intangible assets | 20,063 | 32,883 | ' | ' |
Non-compete covenants | ' | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' |
Finite-lived intangible assets, net | 812 | 1,987 | ' | ' |
Amortization of intangible assets | 6,129 | 6,896 | ' | ' |
Trademarks and other intangible assets | ' | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' |
Finite-lived intangible assets, net | 18,312 | 22,185 | ' | ' |
Amortization of intangible assets | $19,853 | $15,949 | ' | ' |
Other_Assets_Schedule_of_Defin
Other Assets - Schedule of Definite Lived Intagible Assets Estimated Annual Amortization Expense (Details) (USD $) | Aug. 31, 2013 |
In Thousands, unless otherwise specified | |
Other Assets [Abstract] | ' |
Year 1 | $7,997 |
Year 2 | 6,479 |
Year 3 | 5,927 |
Year 4 | 4,545 |
Year 5 | 2,507 |
Thereafter | 8,021 |
Finite-lived intangible assets, net | $35,476 |
Other_Assets_Rollforward_of_Ca
Other Assets - Rollforward of Capitalized Maintenance Activity (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Capitalized Maintenance Expense [Roll Forward] | ' | ' | ' |
Balance at Beginning of Year | $70,554 | $80,752 | $19,097 |
Cost Deferred | 73,701 | 23,443 | 92,129 |
Amortization | -34,847 | -33,641 | -30,474 |
Write-Offs | ' | ' | ' |
Balance at End of Year | $109,408 | $70,554 | $80,752 |
Notes_Payable_and_LongTerm_Deb2
Notes Payable and Long-Term Debt - Footnote Narrative (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 | ||
Debt Instrument [Line Items] | ' | ' | ||
Notes payable | $889,312,000 | $803,622,000 | ||
Notes payable | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Notes payable, weighted average interest rate | 2.00% | [1] | 2.58% | [1] |
Notes payable | Revolving credit facility | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Notes payable | 521,864,000 | [1] | 269,783,000 | [1] |
Five-year revolving facilities | Line of credit | Revolving credit facility | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Line of Credit Facility, Current Borrowing Capacity | 2,500,000,000 | ' | ||
Line of credit facility, amount outstanding | 0 | ' | ||
Additional revolving lines of credit, three year revolving facility | Line of credit | Revolving credit facility | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Line of Credit Facility, Current Borrowing Capacity | 80,000,000 | ' | ||
Line of credit facility, amount outstanding | 0 | ' | ||
Committed revolving credit facility | Line of credit | Revolving credit facility | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Line of Credit Facility, Current Borrowing Capacity | 15,000,000 | ' | ||
Line of credit facility, amount outstanding | 0 | ' | ||
Uncommitted lines of credit | Line of credit | Revolving credit facility | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Line of credit facility, amount outstanding | 420,100,000 | ' | ||
Other international subsidiaries, lines of credit | Line of credit | Revolving credit facility | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Line of credit facility, amount outstanding | 99,300,000 | ' | ||
Line Of Credit, Collateralized Amount | 60,800,000 | ' | ||
Credit facilities, commercial paper programs | Line of credit | Revolving credit facility | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Line of Credit Facility, Current Borrowing Capacity | 125,000,000 | ' | ||
Line of credit facility, amount outstanding | 0 | ' | ||
Line of credit facility maximum usage allowed to pay principal | 200,000,000 | ' | ||
Miscellaneous short-term notes payable | Line of credit | Revolving credit facility | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Line of credit facility, amount outstanding | 2,500,000 | ' | ||
Other notes and contracts | Secured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term debt, gross | 16,500,000 | ' | ||
CHS Capital notes payable | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Notes payable, weighted average interest rate | 1.23% | [2] | 1.68% | [2] |
Notes payable | 367,448,000 | [2] | 533,839,000 | [2] |
Short-term notes payable, note purchase agreements | Notes Payable, Other Payables | Cofina Funding, LLC | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Line of credit facility, amount outstanding | 0 | ' | ||
Short-term bank loans and notes payable current borrowing capacity | 300,000,000 | ' | ||
Master participation agreements | Notes Payable, Other Payables | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Short-term bank loans and notes payable current borrowing capacity | 223,800,000 | ' | ||
Notes payable | 30,800,000 | ' | ||
Master participation agreements | Notes Payable, Other Payables | Minimum | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Interest rate | 1.96% | ' | ||
Master participation agreements | Notes Payable, Other Payables | Maximum | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Interest rate | 2.69% | ' | ||
Recourse loan commitments | Notes Payable, Other Payables | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Short-term bank loans and notes payable current borrowing capacity | 68,100,000 | ' | ||
Short-term debt, maximum borrowing capacity | 300,000,000 | ' | ||
Notes payable | 45,700,000 | ' | ||
Interest rate | 1.60% | ' | ||
Short-Term Notes Payable, Surplus Funds Program [Member] | Notes Payable, Other Payables | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Notes payable | $290,900,000 | ' | ||
Short-Term Notes Payable, Surplus Funds Program [Member] | Notes Payable, Other Payables | Minimum | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Interest rate | 0.80% | ' | ||
Short-Term Notes Payable, Surplus Funds Program [Member] | Notes Payable, Other Payables | Maximum | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Interest rate | 1.10% | ' | ||
[1] | ur primary committed line of credit is a $2.5 billion five-year revolving credit facility expiring in June 2018, with a syndication of domestic and international banks, with no amounts outstanding as of AugustB 31, 2013. We have a committed revolving credit facility dedicated to NCRA in the amount of $15.0 million that expires in December 2014, with no amounts outstanding as of AugustB 31, 2013. We also have a committed revolving credit facility dedicated to CHS Europe S.A. in the amount of $80.0 million that expires in September 2018, with no amounts outstanding as of AugustB 31, 2013.Our wholly-owned subsidiaries, CHS Europe S.A. and CHS Agronegocio Industria e Comercio Ltda (CHS Agronegocio), have uncommitted lines of credit to finance their normal trading activities with $420.1 million outstanding as of AugustB 31, 2013. These lines are collateralized by certain inventories and receivables. In addition, other international subsidiaries had lines of credit totaling $99.3 million outstanding as of AugustB 31, 2013, of which $60.8 million was collateralized. We have two commercial paper programs totaling up to $125.0 million with two banks participating in the revolving credit facilities. Terms of our credit facilities allow a maximum usage of $200.0 million to pay principal under any commercial paper facility. On AugustB 31, 2013 we had no commercial paper outstanding. Miscellaneous short-term notes payable totaled $2.5 million as of AugustB 31, 2013. | |||
[2] | Cofina Funding, LLC (Cofina Funding), a wholly-owned subsidiary of CHS Capital, has available credit totaling $300.0 million as of AugustB 31, 2013, under note purchase agreements with various purchasers, through the issuance of short-term notes payable. CHS Capital sells eligible commercial loans receivable it has originated to Cofina Funding, which are then pledged as collateral under the note purchase agreements. The notes payable issued by Cofina Funding bear interest at variable rates based on commercial paper. There were no borrowings by Cofina Funding utilizing the issuance of commercial paper under the note purchase agreements as of AugustB 31, 2013. CHS Capital has available credit under master participation agreements with numerous counterparties. Borrowings under these agreements are accounted for as secured borrowings and bear interest at variable rates ranging from 1.96% to 2.69% as of AugustB 31, 2013. As of AugustB 31, 2013, the total funding commitment under these agreements was $223.8 million, of which $30.8 million was borrowed. CHS Capital sells loan commitments it has originated to ProPartners Financial (ProPartners) on a recourse basis. The total capacity for commitments under the ProPartners program is $300.0 million. The total outstanding commitments under the program totaled $68.1 million as of AugustB 31, 2013, of which $45.7 million was borrowed under these commitments with an interest rate of 1.60%. CHS Capital borrows funds under short-term notes issued as part of a surplus funds program. Borrowings under this program are unsecured and bear interest at variable rates ranging from 0.80% to 1.10% as of AugustB 31, 2013, and are due upon demand. Borrowings under these notes totaled $290.9 million as of AugustB 31, 2013. In October 2013, we entered into a three-year $250.0 million committed revolving credit facility for CHS Agronegocio to provide financing for its working capital needs arising from its purchases and sales of grains, fertilizers and other agricultural products. |
Notes_Payable_and_LongTerm_Deb3
Notes Payable and Long-Term Debt - Schedule of short-term debt (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 | ||
Short-term Debt [Line Items] | ' | ' | ||
Notes payable | $889,312,000 | $803,622,000 | ||
Notes payable | ' | ' | ||
Short-term Debt [Line Items] | ' | ' | ||
Notes payable, weighted average interest rate | 2.00% | [1] | 2.58% | [1] |
CHS Capital notes payable | ' | ' | ||
Short-term Debt [Line Items] | ' | ' | ||
Notes payable, weighted average interest rate | 1.23% | [2] | 1.68% | [2] |
Notes payable | 367,448,000 | [2] | 533,839,000 | [2] |
Notes Payable, Other Payables | Recourse loan commitments | ' | ' | ||
Short-term Debt [Line Items] | ' | ' | ||
Notes payable | 45,700,000 | ' | ||
Short-term bank loans and notes payable current borrowing capacity | 68,100,000 | ' | ||
Notes Payable, Other Payables | Short-Term Notes Payable, Surplus Funds Program [Member] | ' | ' | ||
Short-term Debt [Line Items] | ' | ' | ||
Notes payable | 290,900,000 | ' | ||
Revolving credit facility | Notes payable | ' | ' | ||
Short-term Debt [Line Items] | ' | ' | ||
Notes payable | 521,864,000 | [1] | 269,783,000 | [1] |
Revolving credit facility | Line of credit | Three-Year Revolving Facility [Member] | ' | ' | ||
Short-term Debt [Line Items] | ' | ' | ||
Line of Credit Facility, Current Borrowing Capacity | 250,000,000 | ' | ||
Cofina Funding, LLC | Notes Payable, Other Payables | Short-term notes payable, note purchase agreements | ' | ' | ||
Short-term Debt [Line Items] | ' | ' | ||
Short-term bank loans and notes payable current borrowing capacity | $300,000,000 | ' | ||
[1] | ur primary committed line of credit is a $2.5 billion five-year revolving credit facility expiring in June 2018, with a syndication of domestic and international banks, with no amounts outstanding as of AugustB 31, 2013. We have a committed revolving credit facility dedicated to NCRA in the amount of $15.0 million that expires in December 2014, with no amounts outstanding as of AugustB 31, 2013. We also have a committed revolving credit facility dedicated to CHS Europe S.A. in the amount of $80.0 million that expires in September 2018, with no amounts outstanding as of AugustB 31, 2013.Our wholly-owned subsidiaries, CHS Europe S.A. and CHS Agronegocio Industria e Comercio Ltda (CHS Agronegocio), have uncommitted lines of credit to finance their normal trading activities with $420.1 million outstanding as of AugustB 31, 2013. These lines are collateralized by certain inventories and receivables. In addition, other international subsidiaries had lines of credit totaling $99.3 million outstanding as of AugustB 31, 2013, of which $60.8 million was collateralized. We have two commercial paper programs totaling up to $125.0 million with two banks participating in the revolving credit facilities. Terms of our credit facilities allow a maximum usage of $200.0 million to pay principal under any commercial paper facility. On AugustB 31, 2013 we had no commercial paper outstanding. Miscellaneous short-term notes payable totaled $2.5 million as of AugustB 31, 2013. | |||
[2] | Cofina Funding, LLC (Cofina Funding), a wholly-owned subsidiary of CHS Capital, has available credit totaling $300.0 million as of AugustB 31, 2013, under note purchase agreements with various purchasers, through the issuance of short-term notes payable. CHS Capital sells eligible commercial loans receivable it has originated to Cofina Funding, which are then pledged as collateral under the note purchase agreements. The notes payable issued by Cofina Funding bear interest at variable rates based on commercial paper. There were no borrowings by Cofina Funding utilizing the issuance of commercial paper under the note purchase agreements as of AugustB 31, 2013. CHS Capital has available credit under master participation agreements with numerous counterparties. Borrowings under these agreements are accounted for as secured borrowings and bear interest at variable rates ranging from 1.96% to 2.69% as of AugustB 31, 2013. As of AugustB 31, 2013, the total funding commitment under these agreements was $223.8 million, of which $30.8 million was borrowed. CHS Capital sells loan commitments it has originated to ProPartners Financial (ProPartners) on a recourse basis. The total capacity for commitments under the ProPartners program is $300.0 million. The total outstanding commitments under the program totaled $68.1 million as of AugustB 31, 2013, of which $45.7 million was borrowed under these commitments with an interest rate of 1.60%. CHS Capital borrows funds under short-term notes issued as part of a surplus funds program. Borrowings under this program are unsecured and bear interest at variable rates ranging from 0.80% to 1.10% as of AugustB 31, 2013, and are due upon demand. Borrowings under these notes totaled $290.9 million as of AugustB 31, 2013. In October 2013, we entered into a three-year $250.0 million committed revolving credit facility for CHS Agronegocio to provide financing for its working capital needs arising from its purchases and sales of grains, fertilizers and other agricultural products. |
Notes_Payable_and_LongTerm_Deb4
Notes Payable and Long-Term Debt - Schedule of Notes Payable and Long-Term Debt (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Debt Instrument [Line Items] | ' | ' | ||
Notes payable | $889,312 | $803,622 | ||
Total long-term debt | 1,607,032 | 1,440,353 | ||
Less current portion | 156,612 | 108,211 | ||
Long-term portion | 1,450,420 | 1,332,142 | ||
Notes payable | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Notes payable, weighted average interest rate | 2.00% | [1] | 2.58% | [1] |
Notes payable | Revolving credit facility | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Notes payable | 521,864 | [1] | 269,783 | [1] |
CHS Capital notes payable | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Notes payable, weighted average interest rate | 1.23% | [2] | 1.68% | [2] |
Notes payable | 367,448 | [2] | 533,839 | [2] |
Revolving term loans from cooperative and other banks | Line of credit | Revolving credit facility | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 135,000 | 150,000 | ||
Private placement, payable in equal installments beginning in 2014 through 2018 | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 400,000 | 400,000 | ||
Private placement, payable in equal installments through 2013 | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | ' | 37,500 | ||
Private placement, payable in installments through 2018 | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 41,539 | 59,615 | ||
Private placement, payable in equal installments beginning in 2011 through 2015 | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 50,000 | 75,000 | ||
Private placement, note purchase and private shelf agreement with Prudential Capital Group, payable in equal installments beginning in 2014 through 2018 | Notes Payable, Other Payables | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 50,000 | 50,000 | ||
Private placement, note purchase and private shelf agreement with Prudential Capital Group, payable in equal installments beginning in 2017 through 2021 | Notes Payable, Other Payables | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 100,000 | 100,000 | ||
Private placement, payable in its entirety in 2019 | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 130,000 | 130,000 | ||
Private placement, payable in its entirety in 2021 | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 160,000 | 160,000 | ||
Private placement, payable in its entirety in 2023 | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 130,000 | 130,000 | ||
Private placement, payable in 2025 80k [Member] | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 80,000 | ' | ||
Private placement, payable in 2025 100k [Member] | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 100,000 | ' | ||
Private placement, payable in its entirety in 2026 | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 80,000 | 80,000 | ||
Private placement, payable in its entirety 2033 [Member] | Unsecured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | 100,000 | ' | ||
Other notes and contracts | Secured debt | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Total long-term debt | $50,493 | [3] | $68,238 | [3] |
[1] | ur primary committed line of credit is a $2.5 billion five-year revolving credit facility expiring in June 2018, with a syndication of domestic and international banks, with no amounts outstanding as of AugustB 31, 2013. We have a committed revolving credit facility dedicated to NCRA in the amount of $15.0 million that expires in December 2014, with no amounts outstanding as of AugustB 31, 2013. We also have a committed revolving credit facility dedicated to CHS Europe S.A. in the amount of $80.0 million that expires in September 2018, with no amounts outstanding as of AugustB 31, 2013.Our wholly-owned subsidiaries, CHS Europe S.A. and CHS Agronegocio Industria e Comercio Ltda (CHS Agronegocio), have uncommitted lines of credit to finance their normal trading activities with $420.1 million outstanding as of AugustB 31, 2013. These lines are collateralized by certain inventories and receivables. In addition, other international subsidiaries had lines of credit totaling $99.3 million outstanding as of AugustB 31, 2013, of which $60.8 million was collateralized. We have two commercial paper programs totaling up to $125.0 million with two banks participating in the revolving credit facilities. Terms of our credit facilities allow a maximum usage of $200.0 million to pay principal under any commercial paper facility. On AugustB 31, 2013 we had no commercial paper outstanding. Miscellaneous short-term notes payable totaled $2.5 million as of AugustB 31, 2013. | |||
[2] | Cofina Funding, LLC (Cofina Funding), a wholly-owned subsidiary of CHS Capital, has available credit totaling $300.0 million as of AugustB 31, 2013, under note purchase agreements with various purchasers, through the issuance of short-term notes payable. CHS Capital sells eligible commercial loans receivable it has originated to Cofina Funding, which are then pledged as collateral under the note purchase agreements. The notes payable issued by Cofina Funding bear interest at variable rates based on commercial paper. There were no borrowings by Cofina Funding utilizing the issuance of commercial paper under the note purchase agreements as of AugustB 31, 2013. CHS Capital has available credit under master participation agreements with numerous counterparties. Borrowings under these agreements are accounted for as secured borrowings and bear interest at variable rates ranging from 1.96% to 2.69% as of AugustB 31, 2013. As of AugustB 31, 2013, the total funding commitment under these agreements was $223.8 million, of which $30.8 million was borrowed. CHS Capital sells loan commitments it has originated to ProPartners Financial (ProPartners) on a recourse basis. The total capacity for commitments under the ProPartners program is $300.0 million. The total outstanding commitments under the program totaled $68.1 million as of AugustB 31, 2013, of which $45.7 million was borrowed under these commitments with an interest rate of 1.60%. CHS Capital borrows funds under short-term notes issued as part of a surplus funds program. Borrowings under this program are unsecured and bear interest at variable rates ranging from 0.80% to 1.10% as of AugustB 31, 2013, and are due upon demand. Borrowings under these notes totaled $290.9 million as of AugustB 31, 2013. In October 2013, we entered into a three-year $250.0 million committed revolving credit facility for CHS Agronegocio to provide financing for its working capital needs arising from its purchases and sales of grains, fertilizers and other agricultural products. | |||
[3] | Other notes and contracts payable of $16.5 million were collateralized on AugustB 31, 2013. |
Notes_Payable_and_LongTerm_Deb5
Notes Payable and Long-Term Debt - Schedule of Weighted Average Interest Rates (Details) (CHS Capital notes payable) | Aug. 31, 2013 | Aug. 31, 2012 | ||
CHS Capital notes payable | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Notes payable, weighted average interest rate | 1.23% | [1] | 1.68% | [1] |
[1] | Cofina Funding, LLC (Cofina Funding), a wholly-owned subsidiary of CHS Capital, has available credit totaling $300.0 million as of AugustB 31, 2013, under note purchase agreements with various purchasers, through the issuance of short-term notes payable. CHS Capital sells eligible commercial loans receivable it has originated to Cofina Funding, which are then pledged as collateral under the note purchase agreements. The notes payable issued by Cofina Funding bear interest at variable rates based on commercial paper. There were no borrowings by Cofina Funding utilizing the issuance of commercial paper under the note purchase agreements as of AugustB 31, 2013. CHS Capital has available credit under master participation agreements with numerous counterparties. Borrowings under these agreements are accounted for as secured borrowings and bear interest at variable rates ranging from 1.96% to 2.69% as of AugustB 31, 2013. As of AugustB 31, 2013, the total funding commitment under these agreements was $223.8 million, of which $30.8 million was borrowed. CHS Capital sells loan commitments it has originated to ProPartners Financial (ProPartners) on a recourse basis. The total capacity for commitments under the ProPartners program is $300.0 million. The total outstanding commitments under the program totaled $68.1 million as of AugustB 31, 2013, of which $45.7 million was borrowed under these commitments with an interest rate of 1.60%. CHS Capital borrows funds under short-term notes issued as part of a surplus funds program. Borrowings under this program are unsecured and bear interest at variable rates ranging from 0.80% to 1.10% as of AugustB 31, 2013, and are due upon demand. Borrowings under these notes totaled $290.9 million as of AugustB 31, 2013. In October 2013, we entered into a three-year $250.0 million committed revolving credit facility for CHS Agronegocio to provide financing for its working capital needs arising from its purchases and sales of grains, fertilizers and other agricultural products. |
Notes_Payable_and_LongTerm_Deb6
Notes Payable and Long-Term Debt - Schedule of Long-Term Debt Payable (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Debt Disclosure [Abstract] | ' | ' |
Long-term Debt, Repayments in 2013 | $156,612 | ' |
Long-term Debt, Repayments in 2014 | 164,022 | ' |
Long-term Debt, Repayments in 2015 | 130,219 | ' |
Long-term Debt, Repayments in 2016 | 149,832 | ' |
Long-term Debt, Repayments in 2017 | 162,103 | ' |
Long-term Debt, Repayments after 2017 | 844,244 | ' |
Total long-term debt | $1,607,032 | $1,440,353 |
Notes_Payable_and_LongTerm_Deb7
Notes Payable and Long-Term Debt - Schedule of Interest, Net (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Debt Disclosure [Abstract] | ' | ' | ' |
Interest expense | $99,271 | $94,090 | $83,044 |
Interest-purchase of NCRA noncontrolling interest | 149,087 | 113,184 | ' |
Interest Costs Capitalized | -10,579 | -8,882 | -5,487 |
Interest income | -6,212 | -5,129 | -2,722 |
Interest Income (Expense), Net | $231,567 | $193,263 | $74,835 |
Income_Taxes_Narrative_Details
Income Taxes - Narrative (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Operating Loss Carryforwards | $146.80 | ' | ' |
Deferred Tax Assets, Operating Loss Carryforwards, Subject to Expiration | 81.4 | ' | ' |
Change in valuation allowance for deferred tax asset | 26.1 | ' | ' |
Unrecognized tax benefits, income tax penalties and interest expense | 0.2 | 0.2 | 0.1 |
Unrecognized tax benefits, income tax penalties and interest accrued | 0.6 | 0.4 | ' |
Current assets | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Net deferred tax assets | 39.3 | 37.6 | ' |
Other liabilities, noncurrent | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Deferred Tax Liabilities, Net, Noncurrent | 458.8 | 309.7 | ' |
Foreign tax credit | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Tax credit carryforward, amount | 7 | ' | ' |
General business tax credit carryforward | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Tax credit carryforward, amount | 39 | ' | ' |
NCRA | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Change in valuation allowance for deferred tax asset | $4 | ' | ' |
Income_Taxes_Schedule_of_Incom
Income Taxes - Schedule of Income Tax Provision (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Current | ' | ' | ' |
Federal | ($18,018) | $9,565 | $10,564 |
State | 11,805 | 7,851 | 8,922 |
Foreign | 3,162 | 4,812 | 53 |
Current Total | -3,051 | 22,228 | 19,539 |
Deferred | ' | ' | ' |
Federal | 92,102 | 66,707 | 54,435 |
State | 1,685 | 1,617 | 9,454 |
Foreign | -1,070 | -9,700 | 3,200 |
Deferred Total | 92,717 | 58,624 | 67,089 |
Total | $89,666 | $80,852 | $86,628 |
Income_Taxes_Schedule_of_Defer
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deferred Tax Assets, Gross [Abstract] | ' | ' |
Accrued expenses | $66,973 | $89,844 |
Postretirment health care and deferred compensation | 57,130 | 107,817 |
Deferred Tax Assets, Tax Credit Carryforwards | 97,242 | 118,752 |
Deferred Tax Assets, Operating Loss Carryforwards | 57,174 | 30,272 |
Other | 40,868 | 57,429 |
Deferred tax assets valuation | -79,623 | -56,659 |
Deferred tax assets | 239,764 | 347,455 |
Deferred Tax Liabilities, Gross [Abstract] | ' | ' |
Pension | 6,752 | 35,516 |
Investments | 91,453 | 120,879 |
Major maintenance | 31,960 | 9,141 |
Property, plant and equipment | 529,101 | 453,863 |
Other | 0 | 175 |
Deferred Tax Liabilities, Gross | 659,266 | 619,574 |
Net deferred tax liabilities | $419,502 | $272,119 |
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of the Statutory Tax Rates to the Effective Tax Rates (Details) | 12 Months Ended | ||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | |
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract] | ' | ' | ' |
Statutory federal income tax rate | 35.00% | 35.00% | 35.00% |
State and local income taxes, net of federal income tax benefit | 0.90% | 0.50% | 1.30% |
Patronage earnings | -22.90% | -24.20% | -20.50% |
Domestic production activities deduction | -8.50% | -3.50% | -3.20% |
Export activities at rates other than the U.S. statutory rate | 0.60% | 0.40% | 0.50% |
Valuation allowance | 2.30% | 0.60% | 0.90% |
Tax credits | -0.50% | -1.30% | -3.10% |
Non-controlling interests | -0.10% | -1.90% | -3.00% |
Other | 1.50% | 0.10% | -0.40% |
Effective tax rate | 8.30% | 5.70% | 7.50% |
Income_Taxes_Rollforward_of_Un
Income Taxes - Rollforward of Unrecognized Tax Benefits (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ' | ' | ' |
Beginning balances | $67,271 | $67,271 | $69,357 |
Reductions attributable to statute expiration | ' | ' | -2,086 |
Balances at August 31 | $67,271 | $67,271 | $67,271 |
Equities_Narrative_Details
Equities - Narrative (Details) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||||
Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2010 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2013 | Aug. 31, 2013 | |
pools | Non-qualified Equity Certificates [Member] | Patronage refunds | Patronage refunds | Patronage refunds | Patronage refunds and capital stock | Patronage refunds and capital stock | Patronage refunds and capital stock | Capital equity certificates | Capital equity certificates | Capital equity certificates | 8% Preferred Stock [Member] | Class B Preferred Stock [Member] | ||||
Class of Stock [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | ' | $996,328,000 | $1,335,719,000 | $1,061,028,000 | ' | $841,386,000 | $969,862,000 | $674,678,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Dividends and equities payable | ' | 390,153,000 | 578,809,000 | 400,216,000 | ' | 284,769,000 | 378,719,000 | 260,125,000 | ' | ' | ' | 101,293,000 | 195,999,000 | 136,000,000 | ' | ' |
Patronage distribution | ' | 711,900,000 | ' | ' | 129,500,000 | ' | ' | ' | 976,000,000 | 676,300,000 | 402,400,000 | ' | ' | ' | ' | ' |
Cash partonage dividends payable | ' | 284,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash patronage dividends paid | ' | 380,947,000 | 260,666,000 | 141,513,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Patronage source earnings, percentage allocated to reserves | ' | 10.00% | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital equity certificates, number of pools | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity redemptions, age | ' | '70 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Retirement of equity certificates | 101,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Retirements of equities | ' | -193,413,000 | -145,722,000 | -61,193,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred stock, dividend rate, percentage | ' | 8.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8.00% | 7.88% |
Preferred stock, shares outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12,272,003 | 11,319,175 |
Preferred stock, redemption amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 306,800,000 | 283,000,000 |
Preferred stock dividends paid | ' | ($24,544,000) | ($24,544,000) | ($24,544,000) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equities_Noncontrolling_Intere
Equities - Noncontrolling Interests (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Noncontrolling Interest [Line Items] | ' | ' | ' |
Net income attributable to CHS Inc. | $992,386 | $1,260,628 | $961,355 |
Transfers To Noncontrolling Interests: | ' | ' | ' |
Decrease in CHS Inc. capital reserves for purchase of noncontrolling interests | -82,138 | ' | ' |
Changes from net income attributable to CHS Inc. and transfers to noncontrolling interests | $992,386 | $1,178,490 | $961,355 |
Benefit_Plans_Narative_Details
Benefit Plans - Narative (Details) (USD $) | 12 Months Ended | 24 Months Ended | ||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2012 | |
Employers | ||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Defined benefit plan, health care benefits annual rate of increase in the per capita cost | 7.50% | ' | ' | ' |
Defined benefit plan, health care benefits annual rate of increase in the per capita cost trend rate | 5.00% | ' | ' | ' |
Defined contribution plan, contributions by employer | $22,900,000 | $20,600,000 | $18,600,000 | ' |
Pension protection act, percentage of employers that are rural cooperatives or cooperative organizations owned by agricultural producers, criteria | 85.00% | ' | ' | ' |
Fixed Income Securities | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Defined benefit plan, target allocation percentage | 50.00% | 65.00% | ' | ' |
Equity Securities | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Defined benefit plan, target allocation percentage | 50.00% | 35.00% | ' | ' |
Qualified Pension Benefits | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Accumulated benefit obligation | 605,600,000 | 628,500,000 | ' | 628,500,000 |
Defined benefit plan, transfer of assets in | ' | ' | ' | ' |
Defined benefit plan, transfer of liabilities in | ' | ' | ' | ' |
Company contributions | 23,800,000 | 28,000,000 | ' | ' |
Defined benefit plan, expected future benefit payments, next twelve months | 33,704,000 | ' | ' | ' |
Qualified Pension Benefits | Multiemployer Plans, Pension | Co-op Retirement Plan | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Number of employers contributing to Co-op Retirement Plan (in number of employers) | 400 | ' | ' | ' |
Percentage increase of employees participants | ' | ' | ' | 70.00% |
Co-op Retirement Plan - Contributions of CHS | 2,095,000 | 1,885,000 | 1,279,000 | ' |
Pension Plans And Postretirement Plans, Defined Benefit, Non-Qualified | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Defined benefit plan, expected future benefit payments, next twelve months | 6,000,000 | ' | ' | ' |
Other Benefits | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Company contributions | 2,014,000 | 2,035,000 | ' | ' |
Non-Qualified Pension Benefits | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Accumulated benefit obligation | 20,100,000 | 19,700,000 | ' | 19,700,000 |
Company contributions | 1,785,000 | 1,334,000 | ' | ' |
Defined benefit plan, expected future benefit payments, next twelve months | 3,051,000 | ' | ' | ' |
Agrillance LLC | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Equity method investment, ownership percentage | -50.00% | ' | ' | ' |
Defined benefit plan, transfer of assets in | 97,200,000 | 97,200,000 | ' | ' |
Defined benefit plan, transfer of liabilities in | 84,500,000 | 84,500,000 | ' | ' |
Agrillance LLC | Transfer of Pension Plan Assets And Liabilities | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Proceeds from joint venture, dividends or distributions, return of capital | 12,700,000 | 12,700,000 | ' | ' |
Land O' Lakes | Agrillance LLC | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Equity method investment, ownership percentage | -50.00% | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) | Agrillance LLC | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Other comprehensive income (loss), pension and other postretirement benefit plans, adjustment, before tax, portion attributable to parent | ' | $44,800,000 | ' | ' |
Maximum | Qualified Pension Benefits | Multiemployer Plans, Pension | Co-op Retirement Plan | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Employer contributions as percent of total contributions of all contributing employers | 5.00% | ' | ' | ' |
Minimum | Qualified Pension Benefits | Multiemployer Plans, Pension | Co-op Retirement Plan | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Defined benefit plan, funded percentage | 80.00% | ' | ' | ' |
Benefit_Plans_Changes_in_Benef
Benefit Plans - Changes in Benefit Obligation and Plan (Details) (USD $) | 12 Months Ended | ||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | |
Qualified Pension Benefits | ' | ' | ' |
Change in benefit obligation: [Rollforward] | ' | ' | ' |
Benefit obligation at beginning of period | $671,066,000 | $501,053,000 | ' |
Service cost | 31,387,000 | 26,010,000 | 25,232,000 |
Interest cost | 25,445,000 | 24,119,000 | 22,257,000 |
Transfers in from Agriliance Employees Retirement Plan | ' | ' | ' |
Actuarial loss (gain) | 12,819,000 | 982,000 | ' |
Defined benefit plan, benefit obligation, period increase (decrease) | -64,483,000 | 62,755,000 | ' |
Plan amendments | ' | ' | ' |
Defined benefit plan, gross prescription drug subsidy receipts received | ' | ' | ' |
Benefits Paid | -34,950,000 | -28,351,000 | ' |
Benefit obligation at end of period | 641,284,000 | 671,066,000 | 501,053,000 |
Change in plan assets: [Abstract] | ' | ' | ' |
Fair value of plan assets at beginning of period | 688,196,000 | 540,822,000 | ' |
Actual gain on plan assets | 53,582,000 | 50,515,000 | ' |
Company contributions | 23,800,000 | 28,000,000 | ' |
Transfers in from Agriliance Employees Retirement Plan | ' | ' | ' |
Benefits Paid | -34,950,000 | -28,351,000 | ' |
Fair value of plan assets at end of period | 730,628,000 | 688,196,000 | 540,822,000 |
Funded Status of Plan | 89,344,000 | 17,130,000 | ' |
Assets [Abstract] | ' | ' | ' |
Non-current assets | 89,930,000 | 17,695,000 | ' |
Liabilities [Abstract] | ' | ' | ' |
Current liabilities | ' | ' | ' |
Non-current liabilities | -586,000 | -565,000 | ' |
Ending balance | 89,344,000 | 17,130,000 | ' |
Amounts recognized in accumulated other comprehensive loss (pretax): [Abstract] | ' | ' | ' |
Net transition obligation | ' | ' | ' |
Prior service cost (credit) | 7,794,000 | 9,392,000 | ' |
Net loss | 253,288,000 | 331,420,000 | ' |
Ending balance | 261,082,000 | 340,812,000 | ' |
Non-Qualified Pension Benefits | ' | ' | ' |
Change in benefit obligation: [Rollforward] | ' | ' | ' |
Benefit obligation at beginning of period | 34,470,000 | 29,728,000 | ' |
Service cost | 721,000 | 279,000 | 1,246,000 |
Interest cost | 1,316,000 | 1,343,000 | 1,933,000 |
Actuarial loss (gain) | 3,455,000 | 2,498,000 | ' |
Defined benefit plan, benefit obligation, period increase (decrease) | -1,952,000 | 1,956,000 | ' |
Plan amendments | ' | ' | ' |
Defined benefit plan, gross prescription drug subsidy receipts received | ' | ' | ' |
Benefits Paid | -1,785,000 | -1,334,000 | ' |
Benefit obligation at end of period | 36,225,000 | 34,470,000 | 29,728,000 |
Change in plan assets: [Abstract] | ' | ' | ' |
Fair value of plan assets at beginning of period | 0 | 0 | ' |
Actual gain on plan assets | ' | ' | ' |
Company contributions | 1,785,000 | 1,334,000 | ' |
Benefits Paid | -1,785,000 | -1,334,000 | ' |
Fair value of plan assets at end of period | 0 | 0 | 0 |
Funded Status of Plan | -36,225,000 | -34,470,000 | ' |
Assets [Abstract] | ' | ' | ' |
Non-current assets | ' | ' | ' |
Liabilities [Abstract] | ' | ' | ' |
Current liabilities | -3,051,000 | -3,325,000 | ' |
Non-current liabilities | -33,174,000 | -31,145,000 | ' |
Ending balance | -36,225,000 | -34,470,000 | ' |
Amounts recognized in accumulated other comprehensive loss (pretax): [Abstract] | ' | ' | ' |
Net transition obligation | ' | ' | ' |
Prior service cost (credit) | 1,088,000 | 1,316,000 | ' |
Net loss | 10,685,000 | 10,104,000 | ' |
Ending balance | 11,773,000 | 11,420,000 | ' |
Other Benefits | ' | ' | ' |
Change in benefit obligation: [Rollforward] | ' | ' | ' |
Benefit obligation at beginning of period | 64,189,000 | 56,864,000 | ' |
Service cost | 2,936,000 | 2,556,000 | 1,771,000 |
Interest cost | 2,275,000 | 2,638,000 | 2,194,000 |
Actuarial loss (gain) | -5,243,000 | -1,997,000 | ' |
Defined benefit plan, benefit obligation, period increase (decrease) | -16,693,000 | 6,437,000 | ' |
Plan amendments | ' | -899,000 | ' |
Defined benefit plan, gross prescription drug subsidy receipts received | 92,000 | 625,000 | ' |
Benefits Paid | -2,014,000 | -2,035,000 | ' |
Benefit obligation at end of period | 45,542,000 | 64,189,000 | 56,864,000 |
Change in plan assets: [Abstract] | ' | ' | ' |
Fair value of plan assets at beginning of period | 0 | 0 | ' |
Actual gain on plan assets | ' | ' | ' |
Company contributions | 2,014,000 | 2,035,000 | ' |
Benefits Paid | -2,014,000 | -2,035,000 | ' |
Fair value of plan assets at end of period | 0 | 0 | 0 |
Funded Status of Plan | -45,542,000 | -64,189,000 | ' |
Assets [Abstract] | ' | ' | ' |
Non-current assets | ' | ' | ' |
Liabilities [Abstract] | ' | ' | ' |
Current liabilities | -2,919,000 | -3,297,000 | ' |
Non-current liabilities | -42,623,000 | -60,892,000 | ' |
Ending balance | -45,542,000 | -64,189,000 | ' |
Amounts recognized in accumulated other comprehensive loss (pretax): [Abstract] | ' | ' | ' |
Net transition obligation | ' | 563,000 | ' |
Prior service cost (credit) | -712,000 | -17,000 | ' |
Net loss | -5,415,000 | 683,000 | ' |
Ending balance | ($6,127,000) | $1,229,000 | ' |
Benefit_Plans_Rollforward_of_B
Benefit Plans - Rollforward of Benefit Obligation and Plan Assets Funded (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Qualified Pension Benefits | ' | ' | ' |
Component of net periodic benefit costs: [Abstract] | ' | ' | ' |
Service costs | $31,387 | $26,010 | $25,232 |
Interest costs | 25,445 | 24,119 | 22,257 |
Expected return on assets | -49,728 | -40,904 | -41,770 |
Settlement of retiree obligations | ' | ' | ' |
Prior service cost (credit) amortization | 1,597 | 1,831 | 2,327 |
Actuarial loss (gain) amortization | 22,615 | 15,131 | 16,090 |
Transition amount amortization | ' | ' | ' |
Periodic benefit costs, net | 31,316 | 26,187 | 24,136 |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | ' | ' | ' |
Discount rate | 3.80% | 5.00% | 4.75% |
Expected return on plan assets | 7.25% | 7.25% | 7.75% |
Rate of compensation increase | 4.50% | 4.50% | 4.50% |
Weighted-average assumptions to determine the net periodic benefit cost: [Abstract] | ' | ' | ' |
Discount rate | 4.80% | 3.80% | 5.00% |
Rate of compensation increase | 4.85% | 4.50% | 4.50% |
Non-Qualified Pension Benefits | ' | ' | ' |
Component of net periodic benefit costs: [Abstract] | ' | ' | ' |
Service costs | 721 | 279 | 1,246 |
Interest costs | 1,316 | 1,343 | 1,933 |
Expected return on assets | ' | ' | ' |
Settlement of retiree obligations | ' | ' | 4,735 |
Prior service cost (credit) amortization | 228 | 228 | 141 |
Actuarial loss (gain) amortization | 921 | 428 | 967 |
Transition amount amortization | ' | ' | ' |
Periodic benefit costs, net | 3,186 | 2,278 | 9,022 |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | ' | ' | ' |
Discount rate | 4.25% | 5.00% | 4.75% |
Rate of compensation increase | 4.75% | 4.75% | 4.75% |
Weighted-average assumptions to determine the net periodic benefit cost: [Abstract] | ' | ' | ' |
Discount rate | 4.50% | 4.00% | 5.00% |
Rate of compensation increase | 4.75% | 4.75% | 4.50% |
Other Benefits | ' | ' | ' |
Component of net periodic benefit costs: [Abstract] | ' | ' | ' |
Service costs | 2,936 | 2,556 | 1,771 |
Interest costs | 2,275 | 2,638 | 2,194 |
Expected return on assets | ' | ' | ' |
Settlement of retiree obligations | ' | ' | ' |
Prior service cost (credit) amortization | -120 | -104 | -122 |
Actuarial loss (gain) amortization | 1,104 | 891 | 513 |
Transition amount amortization | 562 | 936 | 935 |
Periodic benefit costs, net | $6,757 | $6,917 | $5,291 |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | ' | ' | ' |
Discount rate | 3.75% | 4.75% | 4.75% |
Rate of compensation increase | 4.50% | 4.50% | 4.50% |
Weighted-average assumptions to determine the net periodic benefit cost: [Abstract] | ' | ' | ' |
Discount rate | 3.75% | 3.75% | 4.75% |
Rate of compensation increase | 4.50% | 4.50% | 4.50% |
Benefit_Plans_Schedule_of_Amor
Benefit Plans - Schedule of Amortization From Other Accumulated Comprehensive Income into Net Period Benefit Costs (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Aug. 31, 2013 |
Defined Benefit Plan Disclosure [Line Items] | ' |
Defined benefit plan, health care benefits annual rate of increase in the per capita cost | 7.50% |
Defined benefit plan, health care benefits annual rate of increase in the per capita cost trend rate | 5.00% |
Qualified Pension Benefits | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Amortization of prior service cost (benefit) | 1,597 |
Amortization of net actuarial loss | 18,576 |
Non-Qualified Pension Benefits | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Amortization of prior service cost (benefit) | 229 |
Amortization of net actuarial loss | 951 |
Other Benefits | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Amortization of prior service cost (benefit) | -120 |
Amortization of net actuarial loss | -374 |
Benefit_Plans_Schedule_of_the_
Benefit Plans - Schedule of the Effect a Percentage Point Change in the Assumed Health Care Cost Trend Rates (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Aug. 31, 2013 |
Compensation and Retirement Disclosure [Abstract] | ' |
Effect on total of service and interest cost components (1% increase) | $700 |
Effect on total of service and interest cost components (1% decrease) | -580 |
Effect on postretirement benefit obligation (1% increase) | 5,300 |
Effect on postretirement benefit obligation (1% decrease) | ($4,700) |
Benefit_Plans_Expected_Future_
Benefit Plans - Expected Future Retiree Benefit Payments (Details) (USD $) | Aug. 31, 2013 |
In Thousands, unless otherwise specified | |
Qualified Pension Benefits | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2013 | $33,704 |
2014 | 42,350 |
2015 | 45,894 |
2016 | 47,406 |
2017 | 49,812 |
2018-2022 | 282,842 |
Non-Qualified Pension Benefits | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2013 | 3,051 |
2014 | 896 |
2015 | 799 |
2016 | 4,609 |
2017 | 2,628 |
2018-2022 | 18,637 |
Other Benefits, Gross | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2013 | 2,919 |
2014 | 3,107 |
2015 | 3,382 |
2016 | 3,405 |
2017 | 3,555 |
2018-2022 | 19,329 |
Other Benefits, Medicare D | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2013 | 200 |
2014 | 200 |
2015 | 200 |
2016 | 200 |
2017 | 200 |
2018-2022 | $800 |
Benefit_Plans_Schedule_of_Pens
Benefit Plans - Schedule of Pension Plans' Fair Value Measurements (Details) (Pension Plans, Defined Benefit, USD $) | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
In Thousands, unless otherwise specified | |||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | $730,628 | $688,196 | $540,822 |
Level 1 | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 190,378 | 194,898 | ' |
Level 1 | Cash and cash equivalents | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 667 | 2,588 | ' |
Level 1 | Mutual funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 113,982 | 115,515 | ' |
Level 1 | Mutual funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 75,729 | 76,795 | ' |
Level 1 | Real estate funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | ' | ' | ' |
Level 1 | Hedge funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | ' | ' | ' |
Level 2 | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 516,629 | 475,046 | ' |
Level 2 | Cash and cash equivalents | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | ' | 21,380 | ' |
Level 2 | Mutual funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 80,619 | 289,286 | ' |
Level 2 | Mutual funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 409,996 | 164,380 | ' |
Level 2 | Partnership and joint venture interests | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 26,014 | ' | ' |
Level 2 | Real estate funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | ' | ' | ' |
Level 2 | Hedge funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | ' | ' | ' |
Level 3 | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 23,621 | 18,252 | ' |
Level 3 | Cash and cash equivalents | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | ' | ' | ' |
Level 3 | Mutual funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | ' | ' | ' |
Level 3 | Mutual funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 1,940 | ' | ' |
Level 3 | Real estate funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 18,156 | 16,257 | ' |
Level 3 | Hedge funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 122 | 127 | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 730,628 | 688,196 | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Cash and cash equivalents | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 667 | 23,968 | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Mutual funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 194,601 | 404,801 | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Mutual funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 487,665 | 243,043 | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Partnership and joint venture interests | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 29,417 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Real estate funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | 18,156 | 16,257 | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Hedge funds | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Pension plans assets, fair value | $122 | $127 | ' |
Benefit_Plans_Schedule_of_Chan
Benefit Plans - Schedule of Changes in the Fair value of the Plan's Level 3 Valued Assets (Details) (Pension Plans, Defined Benefit, USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Aug. 31, 2013 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' |
Balances at beginning of period | $18,252 |
Unrealized gains (losses) | 1,897 |
Realized losses (gains) | 72 |
Sales | -24 |
Purchases | 3,418 |
Transfers into level 3 | 6 |
Total | 23,621 |
Real Estate Funds | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' |
Balances at beginning of period | 16,257 |
Unrealized gains (losses) | 1,894 |
Realized losses (gains) | -10 |
Sales | ' |
Purchases | 15 |
Total | 18,156 |
Hedge funds | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' |
Balances at beginning of period | 127 |
Unrealized gains (losses) | 7 |
Realized losses (gains) | ' |
Sales | -12 |
Purchases | ' |
Total | 122 |
Mutual Funds | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' |
Balances at beginning of period | 1,868 |
Unrealized gains (losses) | -4 |
Realized losses (gains) | 82 |
Sales | -12 |
Transfers into level 3 | 6 |
Total | 1,940 |
Partnership and joint venture interests | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' |
Balances at beginning of period | ' |
Unrealized gains (losses) | ' |
Realized losses (gains) | ' |
Sales | ' |
Purchases | 3,403 |
Transfers into level 3 | ' |
Total | $3,403 |
Benefit_Plans_Multiemployer_Co
Benefit Plans - Multiemployer Co-op Retirement Plan (Details) (Co-op Retirement Plan, Multiemployer Plans, Pension, Pension Plans, Defined Benefit, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Co-op Retirement Plan | Multiemployer Plans, Pension | Pension Plans, Defined Benefit | ' | ' | ' |
Multiemployer Plans [Line Items] | ' | ' | ' |
Co-op Retirement Plan - Contributions of CHS | $2,095 | $1,885 | $1,279 |
Segment_Reporting_Narrative_De
Segment Reporting - Narrative (Details) | Aug. 31, 2013 | Aug. 31, 2013 | 31-May-13 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 |
TEMCO, LLC | Ventura Foods, LLC | Horizon Milling, LLC | Ag Business | Corporate and Other | Corporate and Other | |
TEMCO, LLC | Ventura Foods, LLC | Horizon Milling, LLC | ||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' | ' |
Ownership in equity method investment | 50.00% | 50.00% | 24.00% | 50.00% | 50.00% | 24.00% |
Segment_Reporting_Segment_Info
Segment Reporting - Segment Information (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Segment Reporting Information [Line Items] | ' | ' | ' |
Revenues | $44,479,857 | $40,599,286 | $36,915,834 |
Cost of goods sold | 42,706,205 | 38,588,143 | 35,512,988 |
Gross profit | 1,773,652 | 2,011,143 | 1,402,846 |
Marketing, general and administrative | 553,623 | 498,233 | 438,498 |
Operating earnings | 1,220,029 | 1,512,910 | 964,348 |
Loss (gain) on investments | -182 | 5,465 | -126,729 |
Interest, net | 231,567 | 193,263 | 74,835 |
Equity income from investments | -97,350 | -102,389 | -131,414 |
Income before income taxes | 1,085,994 | 1,416,571 | 1,147,656 |
Intersegment Revenue | 0 | 0 | 0 |
Goodwill | 85,063 | 81,693 | 26,409 |
Capital expenditures | 659,373 | 468,611 | 310,670 |
Depreciation and amortization | 241,791 | 219,632 | 220,694 |
Total identifiable assets | 13,504,270 | 13,645,024 | ' |
Energy | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Revenues | 12,982,293 | 12,816,542 | ' |
Cost of goods sold | 11,846,458 | 11,514,463 | ' |
Gross profit | 1,135,835 | 1,302,079 | ' |
Marketing, general and administrative | 172,136 | 155,786 | ' |
Operating earnings | 963,699 | 1,146,293 | ' |
Loss (gain) on investments | 0 | 4,008 | ' |
Interest, net | 148,366 | 122,302 | ' |
Equity income from investments | -1,357 | -7,537 | ' |
Income before income taxes | 816,690 | 1,027,520 | ' |
Intersegment Revenue | -481,465 | -467,583 | ' |
Goodwill | 1,165 | 1,165 | 1,165 |
Capital expenditures | 452,859 | 294,560 | 198,692 |
Depreciation and amortization | 120,447 | 109,496 | 126,018 |
Total identifiable assets | 4,409,594 | 3,704,796 | ' |
Ag Business | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Revenues | 31,909,791 | 28,181,445 | 25,767,033 |
Cost of goods sold | 31,341,453 | 27,544,040 | 25,204,301 |
Gross profit | 568,338 | 637,405 | 562,732 |
Marketing, general and administrative | 312,616 | 273,757 | 229,369 |
Operating earnings | 255,722 | 363,648 | 333,363 |
Loss (gain) on investments | -27 | 1,049 | -118,344 |
Interest, net | 71,597 | 57,915 | 57,438 |
Equity income from investments | -15,194 | -22,737 | -40,482 |
Income before income taxes | 199,346 | 327,421 | 434,751 |
Goodwill | 77,000 | 73,630 | 18,346 |
Capital expenditures | 198,892 | 168,825 | 107,866 |
Depreciation and amortization | 105,654 | 92,538 | 79,231 |
Total identifiable assets | 6,146,547 | 7,316,410 | ' |
Corporate and Other | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Revenues | 69,238 | 68,882 | 64,809 |
Cost of goods sold | -241 | -2,777 | -2,611 |
Gross profit | 69,479 | 71,659 | 67,420 |
Marketing, general and administrative | 68,871 | 68,690 | 66,421 |
Operating earnings | 608 | 2,969 | 999 |
Loss (gain) on investments | -155 | 408 | -9,412 |
Interest, net | 11,604 | 13,046 | 11,568 |
Equity income from investments | -80,799 | -72,115 | -84,130 |
Income before income taxes | 69,958 | 61,630 | 82,973 |
Goodwill | 6,898 | 6,898 | 6,898 |
Capital expenditures | 7,622 | 5,226 | 4,112 |
Depreciation and amortization | 15,690 | 17,598 | 15,445 |
Total identifiable assets | 2,948,129 | 2,623,818 | ' |
Reconciling Amounts | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Revenues | -481,465 | -467,583 | -383,389 |
Cost of goods sold | -481,465 | -467,583 | -383,389 |
Gross profit | 0 | 0 | 0 |
Marketing, general and administrative | ' | ' | ' |
Operating earnings | 0 | 0 | 0 |
Income before income taxes | 0 | 0 | 0 |
Intersegment Revenue | $481,465 | $467,583 | $383,389 |
Segment_Reporting_Sales_By_Geo
Segment Reporting - Sales By Geographic Regions (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Sales by geographic regions | $44,149 | $40,301 | $36,636 |
North America | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Sales by geographic regions | 39,918 | 37,503 | 35,287 |
South America | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Sales by geographic regions | 2,511 | 1,444 | 1,066 |
Europe | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Sales by geographic regions | 1,040 | 1,064 | 277 |
Asia | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Sales by geographic regions | $680 | $290 | $6 |
Fair_Value_Measurements_Fair_V
Fair Value Measurements - Fair Value Measurements (Details) (Fair Value, Measurements, Recurring, USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Inventory, Current, Fair Value Disclosure | ' | ' |
Foreign currency derivatives | 6,894 | 978 |
Other assets | 114,084 | 75,000 |
Total assets | 179,419 | 197,991 |
Foreign currency derivatives | 5,925 | 2,388 |
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | ' | ' |
Total liabilities | 65,109 | 203,863 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commodity and feight derivatives | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Commodity and Freight Derivatives At Fair Value | 58,441 | 122,013 |
Derivative liabilities | 59,184 | 201,475 |
Significant Other Observable Inputs (Level 2) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Inventory, Current, Fair Value Disclosure | 1,203,383 | 1,702,757 |
Foreign currency derivatives | 185 | ' |
Other assets | ' | ' |
Total assets | 1,637,940 | 2,651,544 |
Foreign currency derivatives | ' | ' |
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | ' | ' |
Total liabilities | 399,958 | 645,996 |
Significant Other Observable Inputs (Level 2) | Commodity and feight derivatives | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Commodity and Freight Derivatives At Fair Value | 410,233 | 948,787 |
Derivative liabilities | 399,710 | 645,452 |
Significant Other Observable Inputs (Level 2) | Interest Rate Swap [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Interest Rate Derivative Assets, at Fair Value | 24,139 | ' |
Interest Rate Derivative Liabilities, at Fair Value | 248 | 544 |
Significant Unobservable Inputs (Level 3) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Inventory, Current, Fair Value Disclosure | ' | ' |
Foreign currency derivatives | ' | ' |
Other assets | ' | ' |
Total assets | ' | ' |
Foreign currency derivatives | ' | ' |
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | 134,134 | 127,516 |
Total liabilities | 134,134 | 127,516 |
Significant Unobservable Inputs (Level 3) | Commodity and feight derivatives | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Commodity and Freight Derivatives At Fair Value | ' | ' |
Derivative liabilities | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Inventory, Current, Fair Value Disclosure | 1,203,383 | 1,702,757 |
Foreign currency derivatives | 7,079 | 978 |
Other assets | 114,084 | 75,000 |
Total assets | 1,817,359 | 2,849,535 |
Foreign currency derivatives | 5,925 | 2,388 |
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | 134,134 | 127,516 |
Total liabilities | 599,201 | 977,375 |
Estimate of Fair Value, Fair Value Disclosure [Member] | Commodity and feight derivatives | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Commodity and Freight Derivatives At Fair Value | 468,674 | 1,070,800 |
Derivative liabilities | 458,894 | 846,927 |
Estimate of Fair Value, Fair Value Disclosure [Member] | Interest Rate Swap [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Interest Rate Derivative Assets, at Fair Value | 24,139 | ' |
Interest Rate Derivative Liabilities, at Fair Value | $248 | $544 |
Fair_Value_Measurements_Quanti
Fair Value Measurements - Quantitative Information about Level 3 Fair Value Measurements (Details) (Fair Value, Inputs, Level 3, USD $) | 12 Months Ended | ||||||||||||||||
Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | ||||||||
Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Mandatorily redeemable noncontrolling interests | Mandatorily redeemable noncontrolling interests | Mandatorily redeemable noncontrolling interests | Fair Value, Measurements, Recurring | Fair Value, Measurements, Recurring | Fair Value, Measurements, Recurring | ||||||||
Minimum | Average | Maximum | Minimum | Average | Maximum | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | |||||||||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||
Fair Value Inputs, Forward Crack Spread Margin Quotes and Management Estimates Based on Future Settlement | ' | $13.77 | [1] | $16.15 | [1] | $21.62 | [1] | ' | ' | ' | ' | ' | ' | ||||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | ' | ' | ' | ' | ' | ' | ' | $134,134,000 | $127,516,000 | $134,134,000 | |||||||
Contractual target crack spread margin (in dollars per share) | $17.50 | [2] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||
Expected volatility | 80.31% | [3] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||
Risk-free interest rate | ' | 0.16% | [4] | 0.38% | [4] | 0.59% | [4] | ' | ' | ' | ' | ' | ' | ||||
Expected life (years) | ' | '1 year 0 months | [5] | '3 years 4 months 24 days | [5] | '5 years 0 months | [5] | ' | ' | ' | ' | ' | ' | ||||
Own credit risk | ' | ' | ' | ' | 2.16% | [6] | 2.40% | [6] | 2.56% | [6] | ' | ' | ' | ||||
[1] | Represents forward crack spread margin quotes and management estimates based on future settlement dates | ||||||||||||||||
[2] | Represents the minimum contractual threshold that would require settlement with the counterparties | ||||||||||||||||
[3] | Represents quarterly adjusted volatility estimates derived from daily historical market data | ||||||||||||||||
[4] | Represents yield curves for U.S. Treasury securities | ||||||||||||||||
[5] | Represents the range in the number of years remaining related to each contingent payment | ||||||||||||||||
[6] |
Fair_Value_Measurements_Fair_V1
Fair Value Measurements - Fair Value Reconciliation Liabilities Using Significant Unobservable Inputs (Level 3) (Details) (Accrued liability for contingent crack spread payments related to purchase of noncontroling interests, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Balance - beginning | $127,516 | ' |
Purchases | ' | 105,188 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Liability, Transfers out of Level 3 | -16,491 | ' |
Balance - ending | 134,134 | 127,516 |
Cost of Goods, Total | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Total gains included in cost of goods sold and net interest | $23,109 | $22,328 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Narrative (Details) (USD $) | 12 Months Ended | ||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Loss Contingency, Range of Possible Loss, Minimum | $14,400,000 | ' | ' |
Loss Contingency, Range of Possible Loss, Maximum | 39,700,000 | ' | ' |
Loss Contingency, Loss in Period | 25,000,000 | ' | ' |
Grain Storage [Abstract] | ' | ' | ' |
Inventory, held for third parties | 454,900,000 | 441,300,000 | ' |
Guarantor Obligations, Maximum Exposure, Undiscounted | 1,000,000,000 | ' | ' |
Guarantees [Abstract] | ' | ' | ' |
Guarantor obligations, current carrying value | 39,800,000 | ' | ' |
Lease Commitments | ' | ' | ' |
Number of rail cars under operating lease commitments | 2,600 | ' | ' |
Operating leases, rent expense, net | 81,500,000 | 74,600,000 | 66,200,000 |
Unrecorded unconditional purchase obligation | $5,382,472,000 | $6,300,000,000 | ' |
Minimum | ' | ' | ' |
Lease Commitments | ' | ' | ' |
Operating lease terms | '1 year | ' | ' |
Maximum | ' | ' | ' |
Lease Commitments | ' | ' | ' |
Operating lease terms | '13 years | ' | ' |
Commitments_and_Contingencies_2
Commitments and Contingencies - Schedule of Future Minimum Noncancellable Operating Lease Payments (Details) (USD $) | Aug. 31, 2013 |
Schedule of Future Minimum Payments on Operating Lease Commitments | ' |
2012 | $77,846,000 |
2013 | 64,068,000 |
2014 | 53,968,000 |
2015 | 42,560,000 |
2016 | 27,615,000 |
Thereafter | 43,725,000 |
Total minimum future lease payments | 309,782,000 |
Rail Cars | ' |
Schedule of Future Minimum Payments on Operating Lease Commitments | ' |
2012 | 18,875,000 |
2013 | 18,331,000 |
2014 | 17,310,000 |
2015 | 16,203,000 |
2016 | 11,608,000 |
Thereafter | 10,830,000 |
Total minimum future lease payments | 93,157,000 |
Vehicles | ' |
Schedule of Future Minimum Payments on Operating Lease Commitments | ' |
2012 | 13,006,000 |
2013 | 9,803,000 |
2014 | 6,959,000 |
2015 | 4,451,000 |
2016 | 2,480,000 |
Thereafter | 685,000 |
Total minimum future lease payments | 37,384,000 |
Equipment and Other | ' |
Schedule of Future Minimum Payments on Operating Lease Commitments | ' |
2012 | 45,965,000 |
2013 | 35,934,000 |
2014 | 29,699,000 |
2015 | 21,906,000 |
2016 | 13,527,000 |
Thereafter | 32,210,000 |
Total minimum future lease payments | 179,241,000 |
CHS [Member] | ' |
Schedule of Future Minimum Payments on Operating Lease Commitments | ' |
CHS Capital long-term notes receivable additional available credit of counterparty | $1,000,000,000 |
Commitments_and_Contingencies_3
Commitments and Contingencies - Purchase Obligations (Details) (USD $) | 12 Months Ended | ||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | |
Unrecorded Unconditional Purchase Obligation [Line Items] | ' | ' | ' |
Long-term unconditional purchase obligations, Total | $510,705,000 | ' | ' |
Long-term unconditional purchase obligations, Less than 1 Year | 63,387,000 | ' | ' |
Long-term unconditional purchase obligations, 1 - 3 Years | 137,237,000 | ' | ' |
Long-term unconditional purchase obligations, 3 - 5 Years | 89,700,000 | ' | ' |
Long-term unconditional purchase obligations, More than 5 Years | 220,381,000 | ' | ' |
Other contractual obligations, Total | 4,871,767,000 | ' | ' |
Other contractual obligations, Less than 1 Year | 4,713,927,000 | ' | ' |
Other contractual obligations, 1 - 3 Years | 80,454,000 | ' | ' |
Other contractual obligations, 3 - 5 Years | 10,459,000 | ' | ' |
Other contractual obligations, More than 5 Years | 66,927,000 | ' | ' |
Total purchase obligations, Total | 5,382,472,000 | 6,300,000,000 | ' |
Total purchase obligations, Less than 1 Year | 4,777,314,000 | ' | ' |
Total purchase obligations, 1 - 3 Years | 217,691,000 | ' | ' |
Total purchase obligations, 3 - 5 Years | 100,159,000 | ' | ' |
Total purchase obligations, More than 5 Years | 287,308,000 | ' | ' |
Long-term unconditional purchase obligations, minimum amount required | 423,900,000 | ' | ' |
Long-term unconditional purchase obligations, period amount purchase | $62,400,000 | $47,800,000 | $60,800,000 |
Supplemental_Cash_Flow_and_Oth2
Supplemental Cash Flow and Other Information (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Net cash paid during the period for: | ' | ' | ' |
Interest | $256,538 | $155,888 | $73,557 |
Income taxes | 23,228 | 27,671 | 1,046 |
Other significant noncash investing and financing transactions: | ' | ' | ' |
Capital equity certificates issued in exchange for Ag Business acquisitions | 18,211 | 29,155 | 6,453 |
Dividends and equities payable | $390,153 | $578,809 | $400,216 |
Related_Party_Transactions_Det
Related Party Transactions (Details) (Primarily TEMCO, Horizon Milling, United Harvest and Ventura Foods, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Primarily TEMCO, Horizon Milling, United Harvest and Ventura Foods | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Sales | $2,963,468 | $2,185,348 | $3,004,303 |
Purchases | 1,535,176 | 1,143,285 | 1,461,391 |
Receivables | 25,159 | 51,716 | ' |
Payables | $31,485 | $60,659 | ' |
Comprehensive_Income_Component
Comprehensive Income - Components of Comprehensive Income, Net of Taxes (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | ' | ' |
Net income | $996,328 | $1,335,719 | $1,061,028 |
Pension and other postretirement, net of tax expense (benefit) of $(21,710), $17,776 and $(30,847) in 2012, 2011, and 2010, respectively | -63,116 | 38,216 | -28,001 |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 979 | 355 | 716 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -3,866 | -5,855 | 4,464 |
Other Comprehensive Income (Loss), Net of Tax | 75,720 | -43,130 | 32,176 |
Total comprehensive income | 1,072,048 | 1,292,589 | 1,093,204 |
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 3,942 | 75,091 | 101,458 |
Comprehensive income attributable to CHS Inc. | 1,068,106 | 1,217,498 | 991,746 |
Other Comprehensive Income (Loss), Tax [Abstract] | ' | ' | ' |
Pension and other postretirement, tax | $21,710 | ($17,776) | $30,847 |
Comprehensive_Income_Component1
Comprehensive Income - Components of accumulated other comprehensive loss, net of taxes (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | ' |
Pension and other postretirement, net of tax benefit of $(145,031) and $(123,321) in 2012 and 2011 in 2012 and 2011, respectively | ($165,611) | ($228,727) |
Unrealized net gain on available for sale investments, net of tax expense of $858 and $659 in 2012 and 2011, respectively | 2,370 | 1,391 |
Treasury locks and swaps, net of tax benefit of $(2,347) and $(2,796) in 2012 and 2011 | 11,685 | -3,806 |
Foreign currency translation adjustment, net of tax expense (benefit) of $(891) and $2,808 in 2012 and 2011, respectively | -5,311 | -1,445 |
Accumulated other comprehensive loss, including noncontrolling interests | -156,867 | -232,587 |
Accumulated other comprehensive loss attributable to noncontrolling interests | ' | ' |
Accumulated other comprehensive loss attributable to parent | -156,867 | -232,587 |
Accumulated Other Comprehensive Income (Loss), Tax [Abstract] | ' | ' |
Pension and other postretirement, tax | -145,031 | -123,321 |
Unrealized net gain (loss) on available for sale investments, tax | 858 | 659 |
Accumulated Other Comprehensive Income, Including Portion Attributable to Noncontrolling Interest, Treasury Locks and Swaps, Tax | -2,347 | -2,796 |
Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Tax | ($891) | $2,808 |
Acquisitions_National_Cooperat
Acquisitions - National Cooperative Refinery Association Acquisition (Details) (USD $) | 12 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||
Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Sep. 03, 2013 | Nov. 29, 2011 | Nov. 29, 2011 | Nov. 29, 2011 | Aug. 31, 2013 | Aug. 31, 2012 | Nov. 29, 2011 | Aug. 31, 2013 | Aug. 31, 2012 | Nov. 29, 2011 | Nov. 29, 2011 | Oct. 31, 2013 | |
Fair Value, Inputs, Level 3 | Fair Value, Inputs, Level 3 | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | National Cooperative Refinery Association | Crack Spread Contingent Payment [Member] | ||
Fair Value, Measurements, Recurring | Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 3 | Cost of Goods, Total | Cost of Goods, Total | Noncontrolling Interest | Parent | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Net Interest | Net Interest | Growmark | MFA | |||||||
Fair Value, Measurements, Recurring | contingent_payments | contingent_payments | ||||||||||||||||||
Closings | Closings | |||||||||||||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of voting interest acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.57% | ' | ' | ' | ' | ' | ' | ' | 18.62% | 6.96% | ' |
Percentage of voting interest, owned before transaction | ' | ' | ' | ' | ' | ' | 79.20% | ' | ' | 74.43% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business combination, step acquisition, first closing, equity interest in acquiree, percentage | ' | ' | ' | ' | ' | ' | ' | ' | 84.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of separate closings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 4 | ' |
Aggregate base purchase price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $255,500,000 | $95,500,000 | ' |
Business Combination, Step Acquisition, Future Payments Due, First Three Closings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 48,000,000 | 18,000,000 | ' |
Aggregate base purchase price, amount paid at the second closing | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 48,000,000 | 95,500,000 | ' |
Aggregate base purchase price, amount paid at the third closing | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 48,000,000 | 95,500,000 | ' |
Aggregate base purchase price, amount paid at the final closing | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 111,400,000 | 41,600,000 | ' |
Number of purchase price payments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | 2 | ' |
Shares subject to mandatory redemption settlement terms amount | ' | ' | ' | ' | ' | ' | 275,400,000 | 334,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares Subject To Mandatory Redemption, Interest Accretion | ' | ' | ' | ' | ' | ' | 6,700,000 | 6,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest accretion | ' | ' | ' | ' | 23,109,000 | 22,328,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling interests reclassified to a liability | 433,864,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 337,100,000 | 96,700,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | ' | 134,134,000 | 127,516,000 | 134,134,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business Acquisition, Contingent Consideration, at Fair Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150,600,000 | 127,500,000 | 105,200,000 | ' | ' | ' | ' | ' |
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 23,100,000 | 22,300,000 | ' | ' | ' | ' | ' | ' |
Business Acquisition, Contingent Consideration, Potential Cash Payment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16,500,000 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $142,400,000 | $107,200,000 | ' | ' | ' |
Acquisitions_Solbar_Industries
Acquisitions - Solbar Industries Ltd. Acquisition (Details) (USD $) | 12 Months Ended | 0 Months Ended | |||||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Feb. 09, 2012 | |
Ag Business | Ag Business | Ag Business | Ag Business | ||||
Solbar Industries Ltd. [Member] | |||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Cash to receive for each outstanding share of Solbar, Right | ' | ' | ' | ' | ' | ' | $4 |
Payments to Acquire Businesses, Net of Cash Acquired | $12,711,000 | $166,033,000 | $67,489,000 | ' | ' | ' | $128,700,000 |
Cash acquired in acquisition | ' | ' | ' | ' | ' | ' | 6,600,000 |
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | ' | ' | ' | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' | ' | ' | 74,240,000 |
Investments | ' | ' | ' | ' | ' | ' | 961,000 |
Property, plant and equipment | ' | ' | ' | ' | ' | ' | 71,324,000 |
Goodwill | 85,063,000 | 81,693,000 | 26,409,000 | 77,000,000 | 73,630,000 | 18,346,000 | 39,794,000 |
Definite-lived intangible assets | ' | ' | ' | ' | ' | ' | 23,306,000 |
Current liabilities | ' | ' | ' | ' | ' | ' | -63,417,000 |
Long-term debt | ' | ' | ' | ' | ' | ' | -15,849,000 |
Other liabilities | ' | ' | ' | ' | ' | ' | -1,694,000 |
Aggregate base purchase price | ' | ' | ' | ' | ' | ' | $128,665,000 |
Acquisitions_Oilseed_Crushing_
Acquisitions - Oilseed Crushing Facility - Creston, Iowa (Details) (Oilseed Crushing Facility - Creston, Iowa, USD $) | Nov. 30, 2011 |
In Millions, unless otherwise specified | |
Oilseed Crushing Facility - Creston, Iowa | ' |
Business Acquisition [Line Items] | ' |
Aggregate base purchase price | $32.30 |
Schedule_II_Valuation_and_Qual1
Schedule II - Valuation and Qualifying Accounts and Reserves (Details) (Allowance for Doubtful Accounts, Current, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Allowance for Doubtful Accounts, Current | ' | ' | ' |
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' |
Balance at Beginning of Year | $111,785 | $119,026 | $99,535 |
Additions: Charged to Costs and Expenses | -13,130 | 7,380 | 31,792 |
Deductions: Write-offs, net of Recoveries | -4,066 | -14,621 | -12,301 |
Balance at End of Year | $94,589 | $111,785 | $119,026 |