Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | |
Aug. 31, 2015 | Nov. 23, 2015 | |
Document Information [Line Items] | ||
Entity Registrant Name | CHS Inc. | |
Entity Central Index Key | 823,277 | |
Current Fiscal Year End Date | --08-31 | |
Entity Filer Category | Non-accelerated Filer | |
Document Type | 10-K | |
Document Period End Date | Aug. 31, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | FY | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 0 | |
Entity Well-known Seasoned Issuer | Yes | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Public Float | $ 0 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 |
Current assets [Abstract] | ||
Cash and cash equivalents | $ 953,813 | $ 2,133,207 |
Receivables | 2,818,110 | 2,988,563 |
Inventories | 2,652,344 | 2,760,253 |
Derivative assets | 513,441 | 603,933 |
Margin deposits | 273,118 | 301,045 |
Supplier advance payments | 391,504 | 331,345 |
Other current assets | 406,479 | 279,304 |
Total current assets | 8,008,809 | 9,397,650 |
Investments | 1,002,092 | 923,227 |
Property, plant and equipment | 5,192,927 | 4,180,148 |
Other assets | 1,024,484 | 795,079 |
Total assets | 15,228,312 | 15,296,104 |
Current liabilities [Abstract] | ||
Notes payable | 1,165,378 | 1,159,473 |
Current portion of long-term debt | 170,309 | 201,965 |
Current portion of mandatorily redeemable noncontrolling interest | 152,607 | 65,981 |
Customer margin deposits and credit balances | 188,149 | 265,556 |
Customer advance payments | 398,341 | 602,374 |
Checks and drafts outstanding | 123,208 | 167,846 |
Accounts payable | 1,690,094 | 2,208,211 |
Derivative liabilities | 470,769 | 599,990 |
Accrued expenses | 513,578 | 547,781 |
Dividends and equities payable | 384,427 | 409,961 |
Total current liabilities | 5,256,860 | 6,229,138 |
Long-term debt | 1,260,808 | 1,403,660 |
Mandatorily redeemable noncontrolling interest | 0 | 148,756 |
Long-term deferred tax liability | 580,835 | 566,647 |
Other liabilities | $ 460,398 | $ 481,059 |
Commitments and contingencies | ||
Equities: | ||
Preferred stock | $ 2,167,540 | $ 1,190,177 |
Equity certificates | 4,099,882 | 3,816,428 |
Accumulated other comprehensive loss | (214,207) | (156,757) |
Capital reserves | 1,604,670 | 1,598,660 |
Total CHS Inc. equities | 7,657,885 | 6,448,508 |
Noncontrolling interests | 11,526 | 18,336 |
Total equities | 7,669,411 | 6,466,844 |
Total liabilities and equities | $ 15,228,312 | $ 15,296,104 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Income Statement [Abstract] | |||
Revenues | $ 34,582,442 | $ 42,664,033 | $ 44,479,857 |
Cost of goods sold | 33,091,676 | 41,011,487 | 42,701,073 |
Gross profit | 1,490,766 | 1,652,546 | 1,778,784 |
Marketing, general and administrative | 775,354 | 602,598 | 553,623 |
Operating earnings | 715,412 | 1,049,948 | 1,225,161 |
(Gain) loss on investments | (5,239) | (114,162) | (182) |
Interest, net | 60,333 | 140,253 | 236,699 |
Equity (income) loss from investments | (107,850) | (107,446) | (97,350) |
Income before income taxes | 768,168 | 1,131,303 | 1,085,994 |
Income taxes | (12,165) | 48,296 | 89,666 |
Net income | 780,333 | 1,083,007 | 996,328 |
Net Income (Loss) Attributable to Noncontrolling Interest | (712) | 1,572 | 3,942 |
Net income attributable to CHS Inc. | $ 781,045 | $ 1,081,435 | $ 992,386 |
Consolidated Statement of Equit
Consolidated Statement of Equities and Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Balances | $ 6,466,844 | $ 5,152,747 | $ 4,473,323 |
Reversal of prior year patronage and redemption estimates | 394,974 | 386,062 | 574,718 |
Patronage distribution | (271,226) | (286,789) | (380,947) |
Redemptions of equities | (128,907) | (99,609) | (193,413) |
Equities issued | 989,728 | 685,087 | 18,211 |
Preferred stock dividends | (145,723) | (61,658) | (24,544) |
Other, net | (1,735) | 2,861 | (587) |
Comprehensive income | |||
Net income | 780,333 | 1,083,007 | 996,328 |
Net income attributable to CHS Inc. | 781,045 | 1,081,435 | 992,386 |
Net Income (Loss) Attributable to Noncontrolling Interest | (712) | 1,572 | 3,942 |
Other Comprehensive Income (Loss), Net of Tax | (57,450) | 110 | 75,720 |
Patronage Refunds, Estimated | (250,177) | (264,825) | (284,769) |
Equity redemptions, estimate | (107,250) | (130,149) | (101,293) |
Balances | 7,669,411 | 6,466,844 | 5,152,747 |
Capital Equity Certificates | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Balances | 3,508,473 | 3,430,537 | 3,084,335 |
Reversal of prior year patronage and redemption estimates | (267,088) | (325,862) | (395,144) |
Patronage distribution | 402,560 | 422,670 | 595,022 |
Redemptions of equities | (127,707) | (99,204) | (193,142) |
Equities issued | $ 12,365 | 14,278 | $ 14,845 |
Capital Equity Certificates Exchanged for Preferred Stock | $ (200,000) | ||
Preferred stock dividends | |||
Other, net | $ (2,723) | $ (1,034) | $ (1,241) |
Comprehensive income | |||
Net income | |||
Other Comprehensive Income (Loss), Net of Tax | |||
Patronage Refunds, Estimated | $ 375,267 | $ 397,237 | $ 427,155 |
Equity redemptions, estimate | (107,250) | (130,149) | (101,293) |
Balances | 3,793,897 | 3,508,473 | 3,430,537 |
Nonpatronage Equity Certificates | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Balances | $ 23,256 | $ 23,485 | $ 23,746 |
Reversal of prior year patronage and redemption estimates | |||
Patronage distribution | |||
Redemptions of equities | $ (199) | $ (229) | $ (232) |
Equities issued | |||
Capital Equity Certificates Exchanged for Preferred Stock | |||
Preferred stock dividends | |||
Other, net | $ (29) | ||
Comprehensive income | |||
Net income | |||
Other Comprehensive Income (Loss), Net of Tax | |||
Patronage Refunds, Estimated | |||
Equity redemptions, estimate | |||
Balances | $ 23,057 | $ 23,256 | $ 23,485 |
Non-qualified Equity Certificates [Member] | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Balances | 284,699 | 134,324 | $ 1,535 |
Reversal of prior year patronage and redemption estimates | (148,579) | (129,462) | |
Patronage distribution | 147,710 | 131,661 | |
Redemptions of equities | $ (1,021) | $ (176) | $ (39) |
Equities issued | $ 3,366 | ||
Capital Equity Certificates Exchanged for Preferred Stock | |||
Preferred stock dividends | |||
Other, net | $ 119 | $ (227) | |
Comprehensive income | |||
Net income | |||
Other Comprehensive Income (Loss), Net of Tax | |||
Patronage Refunds, Estimated | $ 148,579 | $ 129,462 | |
Equity redemptions, estimate | |||
Balances | $ 282,928 | $ 284,699 | $ 134,324 |
Preferred Stock | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Balances | $ 1,190,177 | $ 319,368 | $ 319,368 |
Reversal of prior year patronage and redemption estimates | |||
Patronage distribution | |||
Redemptions of equities | |||
Equities issued | $ 977,363 | $ 670,809 | |
Capital Equity Certificates Exchanged for Preferred Stock | $ 200,000 | ||
Preferred stock dividends | |||
Other, net | |||
Comprehensive income | |||
Net income | |||
Other Comprehensive Income (Loss), Net of Tax | |||
Patronage Refunds, Estimated | |||
Equity redemptions, estimate | |||
Balances | $ 2,167,540 | $ 1,190,177 | $ 319,368 |
Accumulated Other Comprehensive Loss | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Balances | $ (156,757) | $ (156,867) | $ (232,587) |
Reversal of prior year patronage and redemption estimates | |||
Patronage distribution | |||
Redemptions of equities | |||
Equities issued | |||
Capital Equity Certificates Exchanged for Preferred Stock | |||
Preferred stock dividends | |||
Other, net | |||
Comprehensive income | |||
Net income | |||
Other Comprehensive Income (Loss), Net of Tax | $ (57,450) | $ 110 | $ 75,720 |
Patronage Refunds, Estimated | |||
Equity redemptions, estimate | |||
Balances | $ (214,207) | $ (156,757) | $ (156,867) |
Capital Reserves | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Balances | 1,598,660 | 1,380,361 | 1,258,944 |
Reversal of prior year patronage and redemption estimates | 810,641 | 841,386 | 969,862 |
Patronage distribution | (821,496) | $ (841,120) | $ (975,969) |
Redemptions of equities | $ 20 | ||
Equities issued | |||
Capital Equity Certificates Exchanged for Preferred Stock | |||
Preferred stock dividends | $ (145,723) | $ (61,658) | $ (24,544) |
Other, net | 6,967 | 8,897 | 1,068 |
Comprehensive income | |||
Net income attributable to CHS Inc. | $ 781,045 | $ 1,081,435 | $ 992,386 |
Other Comprehensive Income (Loss), Net of Tax | |||
Patronage Refunds, Estimated | $ (625,444) | $ (810,641) | $ (841,386) |
Equity redemptions, estimate | |||
Balances | $ 1,604,670 | $ 1,598,660 | $ 1,380,361 |
Noncontrolling Interest | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Balances | $ 18,336 | $ 21,539 | $ 17,982 |
Reversal of prior year patronage and redemption estimates | |||
Patronage distribution | |||
Redemptions of equities | |||
Equities issued | |||
Capital Equity Certificates Exchanged for Preferred Stock | |||
Preferred stock dividends | |||
Other, net | $ (6,098) | $ (4,775) | $ (385) |
Comprehensive income | |||
Net Income (Loss) Attributable to Noncontrolling Interest | $ (712) | $ 1,572 | $ 3,942 |
Other Comprehensive Income (Loss), Net of Tax | |||
Patronage Refunds, Estimated | |||
Equity redemptions, estimate | |||
Balances | $ 11,526 | $ 18,336 | $ 21,539 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Cash flows from operating activities: | |||
Net income | $ 780,333 | $ 1,083,007 | $ 996,328 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 355,422 | 306,247 | 276,580 |
Amortization of deferred major repair costs | 45,953 | 45,070 | 34,847 |
Equity (income) loss from investments | (107,850) | (107,446) | (97,350) |
Distributions from equity investments | 80,917 | 79,685 | 62,761 |
Noncash patronage dividends received | (13,035) | (16,452) | (16,644) |
(Gain) loss on sale of property, plant and equipment | (7,350) | 3,316 | (6,234) |
Loss (gain) on investments | (5,239) | (114,162) | (182) |
Unrealized (gain) loss on crack spread contingent liability | (36,310) | (19,217) | 23,109 |
Long-lived asset impairment | 103,723 | 74,452 | 0 |
Deferred taxes | 30,304 | (24,397) | 92,717 |
Other, net | 3,681 | 7,777 | 5,714 |
Changes in operating assets and liabilities, net of acquisitions: | |||
Receivables | 317,119 | 110,133 | (105,899) |
Inventories | 71,073 | (37,792) | 557,331 |
Derivative assets | 100,715 | (123,132) | 610,023 |
Margin deposits | (8,534) | 39,861 | 812,616 |
Supplier advance payments | 3,127 | 67,688 | 286,379 |
Other current assets and other assets | (87,426) | (19,694) | (36,749) |
Customer margin deposits and credit balances | (106,788) | (34,051) | (509,548) |
Customer advance payments | (223,463) | 164,021 | (260,449) |
Accounts payable and accrued expenses | (558,120) | (189,803) | 13,258 |
Derivative liabilities | (134,033) | 134,925 | (276,473) |
Other liabilities | (34,209) | 11,208 | 10,815 |
Net cash provided by operating activities | 570,010 | 1,441,244 | 2,472,950 |
Cash flows from investing activities: | |||
Acquisition of property, plant and equipment | (1,186,790) | (919,076) | (619,883) |
Proceeds from disposition of property, plant and equipment | 11,347 | 11,724 | 7,727 |
Expenditures for major repairs | (201,688) | (2,930) | (73,552) |
Investments in joint ventures and other | (64,259) | (80,140) | (21,364) |
Investments redeemed | 19,927 | 138,485 | 13,021 |
Changes in notes receivable | (184,067) | (184,060) | 211,935 |
Business acquisitions, net of cash acquired | (305,213) | (281,490) | (12,711) |
Other investing activities, net | 2,075 | 1,092 | (492) |
Net cash used in investing activities | (1,908,668) | (1,316,395) | (495,319) |
Cash flows from financing activities: | |||
Changes in notes payable | 19,265 | 247,639 | 85,910 |
Long-term debt borrowings | 3,546 | 1,426 | 280,000 |
Principal payments on long-term debt | (170,729) | (157,770) | (113,583) |
Principal payments on capital lease obligations | (38,902) | (39,871) | (35,387) |
Manditorily redeemable noncontrolling interest payments | (65,981) | (65,981) | (65,981) |
Payments for bank fees | 0 | 0 | (9,593) |
Payments on crack spread contingent liability | 0 | (8,670) | 0 |
Changes in checks and drafts outstanding | (43,353) | (17,815) | (20,392) |
Preferred stock issued | 1,010,000 | 702,979 | 0 |
Preferred Stock Issuance Costs | (32,637) | (23,672) | (295) |
Preferred stock dividends paid | (133,710) | (50,761) | (24,544) |
Retirements of equities | (128,907) | (99,609) | (193,413) |
Cash patronage dividends paid | (271,226) | (286,789) | (380,947) |
Other financing activities, net | 6,462 | 344 | 262 |
Net cash (used in) provided by financing activities | 153,828 | 201,450 | (477,963) |
Effect of exchange rate changes on cash and cash equivalents | 5,436 | (1,624) | (5,165) |
Net (decrease) increase in cash and cash equivalents | (1,179,394) | 324,675 | 1,494,503 |
Cash and cash equivalents at beginning of period | 2,133,207 | 1,808,532 | 314,029 |
Cash and cash equivalents at end of period | $ 953,813 | $ 2,133,207 | $ 1,808,532 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income Statement - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Net income | $ 780,333 | $ 1,083,007 | $ 996,328 |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | (19,877) | 13,759 | 63,116 |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | (242) | 2,028 | 979 |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | (2,602) | (14,407) | 15,491 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (34,729) | (1,270) | (3,866) |
Other Comprehensive Income (Loss), Net of Tax | (57,450) | 110 | 75,720 |
Total comprehensive income | 722,883 | 1,083,117 | 1,072,048 |
Comprehensive Income, Attributable to Noncontrolling Interest | (712) | 1,572 | 3,942 |
Comprehensive Income, Attributable to Parent | $ 723,595 | $ 1,081,545 | $ 1,068,106 |
Consolidated Statements of Com7
Consolidated Statements of Comprehensive Income Parenthetical - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Other Comprehensive Income [Abstract] | |||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Tax | $ (12,726) | $ 8,410 | $ 41,007 |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax | (154) | 1,251 | 603 |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Tax | $ (1,607) | $ (8,883) | $ 9,551 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Aug. 31, 2015 | |
Accounting Policies [Abstract] | |
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 various series of preferred stock which are each listed on the Global Select Market of the NASDAQ Stock Market LLC ("NASDAQ"). See Note 9, Equities for more detailed information. We buy commodities from and provide products and services to patrons (including member and other non-member customers), both domestic and international. Those products and services include initial agricultural inputs such as fuels, farm supplies, crop nutrients and crop protection products; as well as agricultural outputs that include grains and oilseeds, grain and oilseed processing and food products, and ethanol production and marketing. 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. In August 2015, we entered into an agreement with CF Industries Holdings, Inc. ("CF Industries") to invest $2.8 billion in cash in exchange for an 11.4% membership interest in CF Industries Nitrogen LLC ("CF Nitrogen") and a separate supply agreement to purchase nitrogen fertilizer products from that entity over an 80 -year term. The closing date for our investment in CF Nitrogen is anticipated to be February 1, 2016. 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. The effects of all significant intercompany transactions have been eliminated. As of August 31, 2015, we owned approximately 88.9% of National Cooperative Refinery Association ("NCRA") which operated the McPherson, Kansas refinery and was fully consolidated within our financial statements. In September 2015, we purchased the remaining noncontrolling interests in the entity and we became 100% owners upon the final closing pursuant to the November 2011 agreement described in Note 17, Acquisitions . The entity is now known as CHS McPherson Refinery Inc. ("CHS McPherson"). In May 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-07, "Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent)." ASU 2015-07 removes the requirement to categorize all investments within the fair value hierarchy for which the fair value is measured using the net asset value per share practical expedient and to make certain disclosures for all investments that are eligible to be measured at fair value using the net asset value per share practical expedient. The guidance is effective for fiscal years beginning after December 15, 2015, with early adoption permitted. We adopted this update for the year ended August 31, 2015. The changes resulting from the adoption of ASU 2015-07, including revising the prior year presentation, are reflected in the retirement benefits and financial instruments disclosures within Note 10, Benefit Plans and Note 13, Fair Value Measurements. The adoption of ASU 2015-07 related strictly to footnote disclosures and did not affect our results of operations, statement of financial position or statement of cash flows. Revisions In preparing our consolidated financial statements for the year ended August 31, 2015, we identified immaterial errors that impacted our previously issued consolidated financial statements. The primary errors related to: 1) incorrect application of FASB Accounting Standards Codification ("ASC") Topic 840, Leases to our lease arrangements and 2) inaccurate presentation of non-cash acquisitions of property, plant and equipment and expenditures for major repairs on our consolidated statements of cash flows. Prior period amounts presented in our consolidated financial statements and the related notes have been revised accordingly, and those revisions are noted where they appear. See Note 18, Correction of Immaterial Errors for a more detailed description of the revisions and for comparisons of amounts previously reported to the revised amounts. During the fourth quarter of fiscal 2015, we identified and recorded out of period adjustments that benefited fiscal 2015 net income by $16 million related to income taxes. Those out of period adjustments were not material to the current or any previously filed financial statements. 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. Cash and Cash Equivalents Cash equivalents includes short-term, highly liquid investments with original maturities of three months or less at the date of acquisition. The fair value of cash and cash equivalents approximates the carrying value because of the short maturity of the instruments. Inventories Grain, processed grain, oilseed, processed oilseed and other minimally processed soy-based inventories 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 lesser degree, may include foreign currency and interest rate swap contracts. These contracts are economic hedges of price risk, but we do not apply hedge accounting under ASC Topic 815, Derivatives and Hedging , except with respect to certain interest rate swap contracts which are accounted for as cash flow hedges or fair value hedges. Derivative instruments are recorded on our Consolidated Balance Sheets at fair value. See Note 12, Derivative Financial Instruments and Hedging Activities and Note 13, Fair Value Measurements for additional information. Even though we have netting arrangements for our exchange-traded futures and options contracts and certain over-the-counter ("OTC") contracts, we report our derivatives on a gross basis on our Consolidated Balance Sheets. Our associated margin deposits are also reported on a gross basis. 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 to support the associated derivative contracts and may be used to fund or partially fund the settlement of those contracts as they expire. Supplier Advance Payments Supplier advance payments primarily include amounts paid for in-transit grain purchases from suppliers and amounts paid to crop nutrient suppliers to lock in future supply and pricing. 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. We also capitalize and amortize eligible costs to acquire or develop internal-use software that are incurred during the application development stage. 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 or asset group exceeds its fair value. We have asset retirement obligations with respect to certain of our refineries and other assets due to various legal obligations to clean and/or dispose of the component parts at the time they are retired. In most cases, 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 other asset, we will estimate the cost of performing the retirement activities and record a liability for the fair value of that future cost. We have other assets that we may be obligated to dismantle at the end of corresponding lease terms subject to lessor discretion for which we have recorded asset retirement obligations. Based on our estimates of the timing, cost and probability of removal, these obligations are not material. Major Maintenance Activities In our Energy segment, major maintenance activities ("turnarounds") at our 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 . Capitalized amounts are included in other long-term assets on our Consolidated Balance Sheets and 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. Goodwill and Other Intangible Assets Goodwill and other intangible assets are included in other long-term assets on our Consolidated Balance Sheets and are reviewed for impairment annually or more frequently if impairment conditions arise; and, if impaired, are written down to fair value. For goodwill, annual impairment testing occurs in our 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. See Note 6, Other Assets for more information on goodwill and other intangibles. We made acquisitions during the three years ended August 31, 2015 , which were accounted for using the acquisition method of accounting. Operating results of the acquisitions were included in our consolidated financial statements beginning on the respective acquisition dates. The respective purchase prices were preliminarily allocated to the assets, liabilities and identifiable intangible assets acquired based upon the acquisition-date fair values. Any excess purchase price over the fair values of the acquired net assets acquired is recognized as goodwill. See Note 17, Acquisitions for more information on acquisition activity. Revenue Recognition We provide a wide variety of products and services, from 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, and ethanol production and marketing. 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. Recent Accounting Pronouncements In February 2015, the FASB issued ASU No. 2015-02, "Amendments to the Consolidation Analysis." ASU No. 2015-02 amended the process that a reporting entity must perform to determine whether it should consolidate certain types of legal entities. ASU No. 2015-02 is effective for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015. Early application is permitted. We are currently evaluating the impact the adoption will have on our consolidated financial statements in fiscal 2017. In November 2014, the FASB issued ASU No. 2014-16, "Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity." The amendments in this ASU do not change the current criteria in U.S. GAAP for determining when separation of certain embedded derivative features in a hybrid financial instrument is required. The amendments clarify that an entity should consider all relevant terms and features, including the embedded derivative feature being evaluated for bifurcation, in evaluating the nature of the host contract. The ASU applies to all entities that are issuers of, or investors in, hybrid financial instruments that are issued in the form of a share and is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. The adoption of ASU 2014-16 is not expected to have a material effect on our consolidated financial statements in fiscal 2017. In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers." ASU No. 2014-09 requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those good or services. The guidance also requires an entity to disclose sufficient qualitative and quantitative information surrounding the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts from customers. This ASU supersedes the revenue recognition requirements in Topic 605, Revenue Recognition and most industry-specific guidance throughout the Industry Topics of the Codification. In August 2015, the FASB issued ASU 2015-14 delaying the effective date for adoption. This update is now effective for annual and interim periods beginning after December 15, 2017, which will require us to adopt these provisions in the first quarter of fiscal 2019. Early application as of the original date is permitted. This update permits the use of either the full or modified retrospective method. We are evaluating the effect this guidance will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor have we determined the effect of the standard on our ongoing financial reporting. |
Receivables
Receivables | 12 Months Ended |
Aug. 31, 2015 | |
Receivables [Abstract] | |
Receivables | Receivables Receivables as of August 31, 2015 and 2014 are as follows: 2015 2014 (Dollars in thousands) Trade accounts receivable $ 1,793,147 $ 2,153,929 CHS Capital short-term notes receivable 791,413 633,475 Other 339,995 304,798 2,924,555 3,092,202 Less allowances and reserves 106,445 103,639 Total receivables $ 2,818,110 $ 2,988,563 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, LLC (CHS Capital) short-term 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 short-term 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 principal balances, as CHS Capital holds these notes to maturity. The short-term 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 $ 190.4 million and $ 159.7 million at August 31, 2015 and 2014 , respectively. The long-term notes receivable are included in other long-term assets on our Consolidated Balance Sheets. As of August 31, 2015 and 2014 , the commercial notes represented 34% and 46% , respectively, and the producer notes represented 66% and 54% , 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 customers as long as there are no violations of any contractually established conditions. As of August 31, 2015 , CHS Capital's customers have additional available credit of $ 1.0 billion . |
Inventories
Inventories | 12 Months Ended |
Aug. 31, 2015 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories as of August 31, 2015 and 2014 are as follows: 2015 2014 (Dollars in thousands) Grain and oilseed $ 966,923 $ 961,327 Energy 785,116 875,719 Crop nutrients 369,105 374,023 Feed and farm supplies 465,744 448,454 Processed grain and oilseed 48,078 84,498 Other 17,378 16,232 Total inventories $ 2,652,344 $ 2,760,253 As of August 31, 2015 , we valued approximately 18% of inventories, primarily crude oil and refined fuels within our Energy segment, using the lower of cost, determined on the LIFO method, or market ( 16% as of August 31, 2014 ). If the FIFO method of accounting had been used, inventories would have been higher than the reported amount by $ 68.1 million and $ 538.7 million at August 31, 2015 and 2014 , respectively. |
Investments
Investments | 12 Months Ended |
Aug. 31, 2015 | |
Investments [Abstract] | |
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. Our significant equity method investments are summarized below. During the first three quarters of fiscal 2014, we had a 24% interest in Horizon Milling, LLC and Horizon Milling, ULC ("Horizon Milling"), which were flour milling joint ventures with Cargill, Incorporated ("Cargill") and were accounted for as equity method investments included in Corporate and Other. In our third quarter of fiscal 2014, we formed Ardent Mills LLC ("Ardent Mills"), a joint venture with Cargill and ConAgra Foods, Inc., which combines the North American flour milling operations of the three parent companies, including the Horizon Milling assets and CHS-owned mills, with CHS holding a 12% interest in Ardent Mills. Prior to closing, we contributed $32.8 million to Horizon Milling to pay off existing debt as a pre-condition to close. Upon closing, Ardent Mills was financed with funds from third-party borrowings, which did not require credit support from the owners. We received $121.2 million of cash proceeds distributed to us in proportion to our ownership interest, adjusted for deviations in specified working capital target amounts, and recognized a gain of $109.2 million associated with this transaction. In connection with the closing, the parties also entered into various ancillary and non-compete agreements including, among other things, an agreement for us to supply Ardent Mills with certain wheat and durum products. As we hold one of the five board seats, we account for Ardent Mills as an equity method investment included in Corporate and Other. As of August 31, 2015 , the carrying value of our investment in Ardent Mills was $196.8 million . We have 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, 2015 , our carrying value of Ventura Foods exceeded our share of its equity by $12.9 million , which represents equity method goodwill. As of August 31, 2015 , the carrying value of our investment in Ventura Foods was $347.7 million . TEMCO, LLC ("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 account for TEMCO as an equity method investment included in our Ag segment. As of August 31, 2015 , the carrying value of our investment in TEMCO was $57.7 million . The following tables provide aggregate summarized audited financial information for Ardent Mills (previously Horizon Milling), Ventura Foods and TEMCO including balance sheets as of August 31, 2015 and 2014 , and statements of operations for the twelve months ended August 31, 2015 , 2014 and 2013 : 2015 2014 (Dollars in thousands) Current assets $ 1,892,563 $ 1,765,992 Non-current assets 2,388,757 2,397,231 Current liabilities 968,104 838,031 Non-current liabilities 881,312 912,636 2015 2014 2013 (Dollars in thousands) Net sales $ 9,071,438 $ 8,796,648 $ 7,929,731 Gross profit 754,384 562,053 467,955 Net earnings 313,668 266,354 149,573 Earnings attributable to CHS Inc. 81,103 83,023 80,905 Our investments in equity method investees other than the three entities described above are not significant in relation to our consolidated financial statements, either individually or in the aggregate. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Aug. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment As of August 31, 2015 and 2014 , major classes of property, plant and equipment, which include capital lease assets, consisted of the amounts in the table below. We have revised prior period amounts in this table to include capital lease assets that were previously accounted for as operating leases. See Note 18, Correction of Immaterial Errors for more information on the nature and amounts of these revisions. 2015 2014 (Dollars in thousands) Land and land improvements $ 233,666 $ 212,609 Buildings 838,386 691,273 Machinery and equipment 5,563,370 4,792,352 Office and other 163,026 133,599 Construction in progress 1,337,633 1,018,011 8,136,081 6,847,844 Less accumulated depreciation and amortization 2,943,154 2,667,696 Total property, plant and equipment $ 5,192,927 $ 4,180,148 We have various assets under capital leases totaling $222.2 million and $238.8 million as of August 31, 2015 and August 31, 2014, respectively. Accumulated amortization on assets under capital leases was $101.3 million and $89.6 million as of August 31, 2015 and August 31, 2014, respectively. The following is a schedule by fiscal years of future minimum lease payments under capital leases together with the present value of the net minimum lease payments as of August 31, 2015: (Dollars in thousands) 2016 $ 41,069 2017 34,924 2018 25,259 2019 14,281 2020 6,241 Thereafter 14,521 Total minimum future lease payments 136,295 Less amount representing interest 10,401 Present value of net minimum lease payments $ 125,894 We announced in September 2014 that our Board of Directors had approved plans to begin construction of a fertilizer manufacturing plant in Spiritwood, North Dakota that was anticipated to cost more than $3.0 billion . In August 2015, we made the decision to not move forward with the construction of the Spiritwood facility and evaluated the assets and other capitalized costs related to the project for recoverability under ASC Topic 360-10. Consequently, we concluded that these assets were impaired and we recorded an overall charge of $116.5 million in marketing, general and administrative costs in our Ag segment. This charge was primarily comprised of the impairment of construction-in-progress, land and equipment totaling $94.3 million . The remainder of the charge included the impairment of other assets and various contract termination costs associated with the cessation of the project. Depreciation expense, including amortization of capital lease assets, for the years ended August 31, 2015 , 2014 and 2013 , was $ 344.4 million , $ 292.4 million and $ 259.3 million , respectively. |
Other Assets
Other Assets | 12 Months Ended |
Aug. 31, 2015 | |
Other Assets [Abstract] | |
Other Assets | Other Assets Other assets as of August 31, 2015 and 2014 are as follows: 2015 2014 (Dollars in thousands) Goodwill $ 150,115 $ 158,696 Customer lists, trademarks and other intangible assets 50,648 55,454 Notes receivable 197,067 166,901 Long-term receivable 35,191 40,718 Prepaid pension and other benefits 138,497 186,342 Capitalized major maintenance 241,588 67,643 Other 211,378 119,325 $ 1,024,484 $ 795,079 Changes in the net carrying amount of goodwill for the year ended August 31, 2015 , by segment, are as follows: Energy Ag Corporate Total (Dollars in thousands) Balances, August 31, 2013 $ 552 $ 77,613 $ 6,898 $ 85,063 Goodwill acquired during the period — 72,913 — 72,913 Effect of foreign currency translation adjustments — 720 — 720 Balances, August 31, 2014 $ 552 $ 151,246 $ 6,898 $ 158,696 Goodwill acquired during the period (1) — (3,283 ) — (3,283 ) Effect of foreign currency translation adjustments — (5,298 ) — (5,298 ) Balances, August 31, 2015 $ 552 $ 142,665 $ 6,898 $ 150,115 (1) Includes measurement period adjustments related to current and prior year acquisitions. Goodwill acquired during the period was $0.4 million . Intangible assets subject to amortization primarily include customer lists, trademarks and agreements not to compete, and are amortized over their respective useful lives (ranging from 2 to 30 years). Information regarding intangible assets included in other assets on our Consolidated Balance Sheets is as follows: August 31, 2015 August 31, 2014 Carrying Amount Accumulated Amortization Net Carrying Amount Accumulated Amortization Net (Dollars in thousands) Customer lists $ 70,925 $ (30,831 ) $ 40,094 $ 69,862 $ (26,114 ) $ 43,748 Trademarks and other intangible assets 42,688 (32,134 ) 10,554 41,293 (29,587 ) 11,706 Total intangible assets $ 113,613 $ (62,965 ) $ 50,648 $ 111,155 $ (55,701 ) $ 55,454 During the years ended August 31, 2015 and 2014 , we had acquisitions which resulted in $0.4 million and $72.9 million of goodwill, respectively, for which we paid cash consideration of $305.2 million and $281.5 million , respectively. These acquisitions were all within our Ag segment and were not material, individually or in aggregate, to our consolidated financial statements. There were no business disposals resulting in decreases to goodwill during fiscal 2015 and 2014 . During the years ended August 31, 2015 and 2014 , intangible assets acquired totaled $0.8 million and $38.8 million , respectively, and were primarily within our Ag segment. Intangible assets amortization expense for the years ended August 31, 2015 , 2014 and 2013 , was $7.3 million , $9.7 million and $10.0 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 $ 7,086 Year 2 5,558 Year 3 4,290 Year 4 3,808 Year 5 3,460 Thereafter 26,350 Total $ 50,552 The costs of turnarounds in our Energy segment 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 . Capitalized amounts are included in other assets on our Consolidated Balance Sheets and amortization expense related to turnaround costs is included in cost of goods sold in our Consolidated Statements of Operations. Activity related to capitalized major maintenance costs is summarized below: Balance at Cost Amortization Balance at (Dollars in thousands) 2015 $ 67,643 $ 219,898 $ (45,953 ) $ 241,588 2014 109,408 3,305 (45,070 ) 67,643 2013 70,554 73,701 (34,847 ) 109,408 |
Notes Payable and Long-Term Deb
Notes Payable and Long-Term Debt | 12 Months Ended |
Aug. 31, 2015 | |
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, 2015 . Notes Payable Notes payable as of August 31, 2015 and 2014 , consisted of the following: Weighted-average Interest Rate 2015 2014 2015 2014 (Dollars in thousands) Notes payable (a) 2.33% 1.69% $ 813,717 $ 840,699 CHS Capital notes payable (b) 1.05% 1.07% 351,661 318,774 Total notes payable $ 1,165,378 $ 1,159,473 _______________________________________ (a) On August 31, 2015, our primary committed line of credit was a $2.5 billion five-year, unsecured revolving credit facility with a syndication of domestic and international banks, with no amounts outstanding as of that date. In September 2015 this facility was amended and restated as a five-year, unsecured revolving credit facility with a committed amount of $3.0 billion that expires in September 2020. In addition to our primary revolving line of credit, we have a three-year $250.0 million committed revolving pre-export credit facility for CHS Agronegocio Industria e Comercio Ltda ("CHS Agronegocio"), our wholly-owned subsidiary, to provide financing for its working capital needs arising from its purchases and sales of grains, fertilizers and other agricultural products which expires in October 2016. The outstanding balance on this facility was $200.0 million as of August 31, 2015. As of August 31, 2015, our wholly-owned subsidiaries, CHS Europe S.a.r.l and CHS Agronegocio, had uncommitted lines of credit with $303.4 million outstanding. In addition, our other international subsidiaries had lines of credit with a total of $310.2 million outstanding as of August 31, 2015 , of which $216.7 million was collateralized. We have two commercial paper programs with an aggregate capacity of $125.0 million , with two banks participating in our revolving credit facilities. Terms of our credit facilities allow a maximum usage of $100.0 million to pay principal under any commercial paper facility. On August 31, 2015 we had no commercial paper outstanding. Miscellaneous short-term notes payable totaled $0.1 million as of August 31, 2015 . (b) Cofina Funding, LLC ("Cofina Funding"), a wholly-owned subsidiary of CHS Capital, has available credit totaling $350.0 million as of August 31, 2015 , 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 with a weighted average rate of 1.04% as of August 31, 2015 . There were no borrowings by Cofina Funding utilizing the issuance of commercial paper under the note purchase agreements as of August 31, 2015 . 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 1.64% to 3.70% as of August 31, 2015 . As of August 31, 2015 , the total funding commitment under these agreements was $145.7 million , of which $35.9 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 $56.8 million as of August 31, 2015 , of which $39.9 million was borrowed under these commitments with an interest rate of 1.62% . 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 0.10% to 0.90% as of August 31, 2015 , and are due upon demand. Borrowings under these notes totaled $275.8 million as of August 31, 2015 . Long-Term Debt Amounts included in long-term debt on our Consolidated Balance Sheets as of August 31, 2015 and 2014 are presented in the table below. We have revised prior period amounts in this table to include capital lease obligations that were previously accounted for as operating leases. See Note 18, Correction of Immaterial Errors for more information on the nature and amounts of these revisions. 2015 2014 (Dollars in thousands) 5.59% unsecured revolving term loans from cooperative and other banks, due in equal installments beginning in 2013 through 2018 $ 75,000 $ 105,000 6.18% unsecured notes $400 million face amount, due in equal installments beginning in 2014 through 2018 240,000 320,000 5.60% unsecured notes $60 million face amount, due in equal installments beginning in 2012 through 2018 23,077 32,308 5.25% unsecured notes $125 million face amount, due in equal installments beginning in 2011 through 2015 — 25,000 5.78% unsecured notes $50 million face amount, due in equal installments beginning in 2014 through 2018 30,000 40,000 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 (a) 132,161 130,840 4.52% unsecured notes $160 million face amount, due in 2021 (a) 164,654 160,000 4.67% unsecured notes $130 million face amount, due in 2023 (a) 135,422 133,360 3.85% unsecured notes $80 million face amount, due in 2025 80,000 80,000 3.80% unsecured notes $100 million face amount, due in 2025 100,000 100,000 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 100,000 100,000 Other notes and contracts with interest rates from 1.30% to 15.25% (b) 44,909 43,751 Capital lease obligations 125,894 155,366 Total long-term debt 1,431,117 1,605,625 Less current portion 170,309 201,965 Long-term portion $ 1,260,808 $ 1,403,660 _______________________________________ (a) We have entered into interest rate swaps designated as fair value hedging relationships with these notes. Changes in the fair value of the swaps are recorded each period with a corresponding adjustment to the carrying value of the debt. See Note 12, Derivative Financial Instruments and Hedging Activities for more information. (b) Other notes and contracts payable of $0.5 million were collateralized on August 31, 2015 . As of August 31, 2015 , the carrying value of our long-term debt approximated its fair value, which is estimated to be $1.3 billion based on quoted market prices of similar debt (a Level 2 fair value measurement based on the classification hierarchy of ASC Topic 820, Fair Value Measurement ). We have outstanding interest rate swaps designated as fair value hedges of select portions of our fixed-rate debt. During fiscal 2015, we recorded corresponding fair value adjustments of $8.0 million , which are included in the amounts in the table above. See Note 12, Derivative Financial Instruments and Hedging Activities for additional information. In September 2015, we entered into a ten -year term loan with a syndication of banks. The agreement provides for committed term loans in an amount up to $600.0 million , which may be drawn down from time to time, but in no event on more than 10 occasions, from September 4, 2015 until September 4, 2016. Amounts drawn under this agreement that are subsequently repaid or prepaid may not be reborrowed. Principal on the term loans is payable in full on September 4, 2025. Borrowings under the agreement will bear interest at a base rate (or a LIBO rate) plus an applicable margin, or at a fixed rate of interest determined and quoted by the administrative agent under the agreement in its sole and absolute discretion from time to time. The applicable margin will be based on our leverage ratio and ranges between 1.50% and 2.00% for LIBO rate loans and between 0.50% and 1.00% for base rate loans. There are currently no amounts drawn under this agreement. Long-term debt outstanding as of August 31, 2015 has aggregate maturities, excluding fair value adjustments and capital leases (see Note 5, Property, Plant and Equipment for a schedule of minimum future lease payments under capital leases), as follows: (Dollars in thousands) 2016 $ 129,994 2017 149,932 2018 161,596 2019 150,098 2020 31,340 Thereafter 670,400 Total $ 1,293,360 The following table presents the components of interest expense, net for the years ended August 31, 2015 , 2014 and 2013 . We have revised prior period amounts in this table to include interest expense related to capital lease obligations that were previously accounted for as operating leases. See Note 18, Correction of Immaterial Errors for more information on the nature and amounts of these revisions. 2015 2014 2013 (Dollars in thousands) Interest expense $ 93,152 $ 84,925 $ 104,403 Interest - purchase of CHS McPherson noncontrolling interests 34,810 70,843 149,087 Capitalized interest (57,303 ) (8,528 ) (10,579 ) Interest income (10,326 ) (6,987 ) (6,212 ) Interest expense, net $ 60,333 $ 140,253 $ 236,699 |
Income Taxes
Income Taxes | 12 Months Ended |
Aug. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The provision for income taxes for the years ended August 31, 2015 , 2014 and 2013 is as follows: 2015 2014 2013 (Dollars in thousands) Current: Federal $ (47,695 ) $ 38,653 $ (18,018 ) State 3,891 31,203 11,805 Foreign 1,335 2,837 3,162 (42,469 ) 72,693 (3,051 ) Deferred: Federal 29,348 (23,444 ) 92,102 State (2,799 ) (1,893 ) 1,685 Foreign 3,755 940 (1,070 ) 30,304 (24,397 ) 92,717 Total $ (12,165 ) $ 48,296 $ 89,666 Deferred taxes are comprised of basis differences related to investments, accrued liabilities and certain federal and state tax credits. Effective September 1, 2013, CHS McPherson (formerly known as NCRA) files as part of our consolidated income tax returns and, as such, these items are assessed in conjunction with our deferred tax assets when determining recoverability. Domestic income before income taxes was $0.8 billion , $1.2 billion , and $1.1 billion for the years ended August 31, 2015 , 2014 and 2013 respectively. Foreign activity made up the difference between the total income before income taxes and the domestic amounts. Deferred tax assets and liabilities as of August 31, 2015 and 2014 were as follows: 2015 2014 (Dollars in thousands) Deferred tax assets: Accrued expenses $ 96,270 $ 76,255 Postretirement health care and deferred compensation 89,934 83,346 Tax credit carryforwards 109,756 70,881 Loss carryforwards 85,860 53,793 Other 68,625 52,956 Deferred tax assets valuation (98,024 ) (111,509 ) Total deferred tax assets 352,421 225,722 Deferred tax liabilities: Pension 20,732 12,855 Investments 98,291 88,425 Major maintenance 36,135 26,020 Property, plant and equipment 654,057 576,007 Other 25,836 — Total deferred tax liabilities 835,051 703,307 Net deferred tax liabilities $ 482,630 $ 477,585 We have total gross loss carry forwards of $431.4 million , of which $293.9 million will expire over periods ranging from fiscal 2016 to fiscal 2035. The remainder will carry forward indefinitely. 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, 2015 . If these estimates prove inaccurate, a change in the valuation allowance, up or down, could be required in the future. During fiscal 2015 , valuation allowances related to foreign operations increased by $8.8 million due to net operating loss carryforwards and other timing differences. CHS McPherson's (formerly known as NCRA) gross state tax credit carry forwards for income tax are approximately $62.2 million and $63.4 million as of August 31, 2015 , and 2014 , respectively. During the year ended August 31, 2015 , the valuation allowance for CHS McPherson decreased by $20.1 million , net of tax, due to a change in the amount of state tax credits that are estimated to be utilized. CHS McPherson's valuation allowance on Kansas state credits is necessary due to the limited amount of Kansas taxable income generated by the combined group on an annual basis. Our foreign tax credit of $8.0 million will expire on August 31, 2019 and our alternative minimum tax credit of $5.6 million will not expire. Our general business credits of $55.7 million , comprised primarily of low sulfur diesel credits, will begin to expire on August 31, 2026 . Our state tax credits of $62.2 million will begin to expire on August 31, 2018. As of August 31, 2015 , deferred tax assets of $85.0 million and $1.6 million were included in other current assets and other assets, respectively. As of August 31, 2014 , net deferred tax assets of $86.5 million and $2.6 million were included in other current assets and other assets, respectively. The reconciliation of the statutory federal income tax rates to the effective tax rates for the years ended August 31, 2015 , 2014 and 2013 is as follows: 2015 2014 2013 Statutory federal income tax rate 35.0 % 35.0 % 35.0 % State and local income taxes, net of federal income tax benefit (0.5 ) 1.6 0.9 Patronage earnings (29.0 ) (20.5 ) (22.9 ) Domestic production activities deduction (5.6 ) (10.0 ) (8.5 ) Export activities at rates other than the U.S. statutory rate (0.2 ) 1.2 0.6 Valuation allowance (0.1 ) 1.7 2.3 Tax credits (0.8 ) (3.1 ) (0.5 ) Non-controlling interests — — (0.1 ) Other (0.4 ) (1.6 ) 1.5 Effective tax rate (1.6 )% 4.3 % 8.3 % During fiscal 2015, our Board of Directors adopted a resolution to treat non-qualified equity certificates issued to individual producers and their estates in fiscal 2014 and fiscal 2013 in the same manner as qualified equity certificates under the “Eligible Producer Member Equity” provision of the Policy for the Redemption of CHS Inc. Equities. Previously there was no intent to redeem non-qualified equity certificates held by individual producer members and their estates, thus the tax benefit associated with redemption would have been recognized in future periods as those redemptions occur. As a result of the new resolution, we recorded a $30.8 million deferred tax benefit during fiscal 2015 related to the future redemption of non-qualified equity held by individual members and their estates. During fiscal 2015, we recorded a $19.3 million deferred tax benefit from the recognition of a portion of our Kansas income tax credits. The credits were generated by CHS McPherson (formerly NCRA) in years prior to fiscal 2015 but were not able to be recognized until CHS and CHS McPherson began filing on a combined basis in Kansas. 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 2014 remain subject to examination, at least for certain issues. We account for our income tax provisions in accordance with ASC Topic 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: 2015 2014 2013 (Dollars in thousands) Balance at beginning of period $ 72,181 $ 67,271 $ 67,271 Additions attributable to prior year tax positions — 35,718 — Reductions attributable to prior year tax positions — (9,867 ) — Reductions attributable to statute expiration — (20,941 ) — Balance at end of period $ 72,181 $ 72,181 $ 67,271 During fiscal 2014, we increased our unrecognized tax benefits for excise tax credits related to the blending and sale of renewable fuels deducted for income taxes. If we were to prevail on all tax positions taken relating to uncertain tax positions, all of the unrecognized tax benefits would benefit the effective tax rate. It is reasonably possible that within the next 12 months we and the Internal Revenue Service will resolve a tax matter presently under consideration at appeals for fiscal 2006 and fiscal 2007 for which we have unrecognized tax benefits. Settlement could increase earnings in an amount ranging from $0 to $36.5 million based on current estimates. Audit outcomes and the timing of audit settlements are subject to significant uncertainty. We recognize interest and penalties related to unrecognized tax benefits in our provision for income taxes. No amounts were recognized in our Consolidated Statements of Operations for interest related to unrecognized tax benefits for the years ended August 31, 2015 and 2014 . For the year ended August 31, 2013 , we recognized $0.2 million for interest related to unrecognized tax benefits. We recorded no interest payable related to unrecognized tax benefits on our Consolidated Balance Sheets as of August 31, 2015 and 2014 . |
Equities
Equities | 12 Months Ended |
Aug. 31, 2015 | |
Equity [Abstract] | |
Equities | Equities In accordance with our 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 qualified and non-qualified capital equity certificates. Total qualified patronage refunds for fiscal 2015 are estimated to be $625.4 million , with the cash portion estimated to be $250.2 million . No portion will be issued in the form of non-qualified capital equity certificates. The actual patronage refunds and cash portion for fiscal 2014 , 2013 , and 2012 were $ 821.5 million ( $271.2 million in cash), $ 841.1 million ( $286.8 million in cash), and $976.0 million ( $380.9 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 2015 , 2014 , and 2013 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, 2015 that will be distributed in fiscal 2016 , to be approximately $107.3 million . These expected distributions are classified as a current liability on our August 31, 2015 Consolidated Balance Sheet. For the years ended August 31, 2015 , 2014 and 2013 , we redeemed in cash, equities in accordance with authorization from the Board of Directors, in the amounts of $ 128.9 million , $ 99.6 million and $ 193.4 million , respectively. Additionally, in fiscal 2014, we redeemed $200.0 million of patrons' equities by issuing 6,752,188 shares of our Class B Cumulative Redeemable Preferred Stock, Series 1 ("Class B Series 1 Preferred Stock") at a market price of $29.62 per share in exchange for members' equity certificates. Preferred Stock The following is a summary of our outstanding preferred stock as of August 31, 2015 , all of which are listed on the Global Select Market of NASDAQ: NASDAQ symbol Issuance date Shares outstanding Redemption value Net proceeds Dividend rate Dividend payment frequency Redeemable beginning (a) (Dollars in millions) 8% Cumulative Redeemable CHSCP (b) 12,272,003 $ 306.8 $ 311.2 8 % Quarterly 7/18/2023 Class B Cumulative Redeemable Series 1 CHSCO (c) 18,071,363 $ 451.8 $ 472.8 7.875 % Quarterly 9/26/2023 Class B Reset Rate Cumulative Redeemable Series 2 CHSCN 3/11/2014 16,800,000 $ 420.0 $ 406.2 (d) Quarterly 3/31/2024 Class B Reset Rate Cumulative Redeemable Series 3 CHSCM 9/15/2014 19,700,000 $ 492.5 $ 476.7 (e) Quarterly 9/30/2024 Class B Cumulative Redeemable Series 4 CHSCL 1/21/2015 20,700,000 $ 517.5 $ 501.0 7.5 % Quarterly 1/21/2025 (a) Preferred stock is redeemable for cash at our option, in whole or in part, at a per share price equal to the per share liquidation preference of $25.00 per share, plus all dividends accumulated and unpaid on that share to and including the date of redemption, beginning on the dates set forth in this column. (b) The 8% Cumulative Redeemable Preferred Stock was issued at various times from 2003-2010. (c) 11,319,175 shares of Class B Series 1 Preferred Stock were issued on September 26, 2013 and an additional 6,752,188 shares were issued on August 25, 2014. (d) The Class B Reset Rate Cumulative Redeemable Preferred Stock, Series 2 accumulates dividends at a rate of 7.10% per year until March 31, 2024, and then at a rate equal to the three-month LIBOR plus 4.298% , not to exceed 8.00% per annum, subsequent to March 31, 2024. (e) The Class B Reset Rate Cumulative Redeemable Preferred Stock, Series 3 accumulates dividends at a rate of 6.75% per year until September 30, 2024, and then at a rate equal to the three-month LIBOR plus 4.155% , not to exceed 8.00% per annum, subsequent to September 30, 2024. In June 2014, we filed a shelf registration statement on Form S-3 with the Securities and Exchange Commission ("SEC"). Under the shelf registration statement, which has been declared effective by the SEC, we may offer and sell, from time to time, up to $2.0 billion of our Class B Cumulative Redeemable Preferred Stock over a three-year period. As of August 31, 2015, $990.0 million of our Class B Cumulative Redeemable Preferred Stock remained available for issuance under the shelf registration statement. We made dividend payments on our preferred stock of $133.7 million , $50.8 million , and $24.5 million , during the years ended August 31, 2015 , 2014 and 2013 , respectively. As of August 31, 2015 we have no authorized but unissued shares of preferred stock. Accumulated Other Comprehensive Loss Changes in accumulated other comprehensive income (loss) by component, net of tax, for the years ended August 31, 2015 , 2014 and 2013 are as follows: Pension and Other Postretirement Benefits Unrealized Net Gain on Available for Sale Investments Cash Flow Hedges Foreign Currency Translation Adjustment Total (Dollars in thousands) Balance as of August 31, 2012 $ (228,727 ) $ 1,391 $ (3,806 ) $ (1,445 ) $ (232,587 ) Current period other comprehensive income (loss), net of tax 46,471 979 15,491 (3,866 ) 59,075 Amounts reclassified from accumulated other comprehensive income (loss), net of tax 16,645 — — — 16,645 Net other comprehensive income (loss), net of tax 63,116 979 15,491 (3,866 ) 75,720 Balance as of August 31, 2013 (165,611 ) 2,370 11,685 (5,311 ) (156,867 ) Current period other comprehensive income (loss), net of tax (90 ) 2,028 (6,011 ) (1,957 ) (6,030 ) Amounts reclassified from accumulated other comprehensive income (loss), net of tax 13,849 — (8,396 ) 687 6,140 Net other comprehensive income (loss), net of tax 13,759 2,028 (14,407 ) (1,270 ) 110 Balance as of August 31, 2014 (151,852 ) 4,398 (2,722 ) (6,581 ) (156,757 ) Current period other comprehensive income (loss), net of tax (33,238 ) (242 ) (3,394 ) (34,729 ) (71,603 ) Amounts reclassified from accumulated other comprehensive income (loss), net of tax 13,361 — 792 — 14,153 Net other comprehensive income (loss), net of tax (19,877 ) (242 ) (2,602 ) (34,729 ) (57,450 ) Balance as of August 31, 2015 $ (171,729 ) $ 4,156 $ (5,324 ) $ (41,310 ) $ (214,207 ) Amounts reclassified from accumulated other comprehensive income (loss) were related to pension and other postretirement benefits, cash flow hedges and foreign currency translation adjustments, and were recorded to net income. Pension and other postretirement reclassifications include amortization of net actuarial loss, prior service credit and transition amounts and are recorded as marketing, general and administrative expenses (see Note 10, Benefit Plans for further information). In February 2014, interest rate swaps, which were previously accounted for as cash flow hedges, were terminated as the issuance of the underlying debt was no longer probable. As a result, a $13.5 million gain was reclassified from accumulated other comprehensive loss into net income. This pre-tax gain is included as a component of interest expense, net in our Consolidated Statement of Operations for the year ended August 31, 2014. |
Benefit Plans
Benefit Plans | 12 Months Ended |
Aug. 31, 2015 | |
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, plan assets funded and balance sheets status as of August 31, 2015 and 2014 is as follows: Qualified Pension Benefits Non-Qualified Pension Benefits Other Benefits 2015 2014 2015 2014 2015 2014 (Dollars in thousands) Change in benefit obligation: Benefit obligation at beginning of period $ 720,893 $ 641,284 $ 37,983 $ 36,225 $ 44,318 $ 45,542 Service cost 36,006 30,417 875 860 1,513 1,729 Interest cost 28,046 29,900 1,414 1,660 1,489 1,918 Actuarial (gain) loss 20,993 1,973 393 393 1,563 (4,135 ) Assumption change (16,297 ) 57,406 (1,082 ) 2,421 (5,136 ) 1,425 Plan amendments — 647 — — — — Settlements — — (5,715 ) — — — Benefits paid (58,846 ) (40,734 ) (684 ) (3,576 ) (1,750 ) (2,161 ) Benefit obligation at end of period $ 730,795 $ 720,893 $ 33,184 $ 37,983 $ 41,997 $ 44,318 Change in plan assets: Fair value of plan assets at beginning of period $ 822,125 $ 730,628 $ — $ — $ — $ — Actual gain (loss) on plan assets (6,065 ) 106,531 — — — — Company contributions 39,165 25,700 6,399 3,576 1,750 2,161 Settlements — — (5,715 ) — — — Benefits paid (58,846 ) (40,734 ) (684 ) (3,576 ) (1,750 ) (2,161 ) Fair value of plan assets at end of period $ 796,379 $ 822,125 $ — $ — $ — $ — Funded status at end of period $ 65,584 $ 101,232 $ (33,184 ) $ (37,983 ) $ (41,997 ) $ (44,318 ) Amounts recognized on balance sheet: Non-current assets $ 65,927 $ 103,125 $ — $ — $ — $ — Accrued benefit cost: Current liabilities — — (1,752 ) (3,222 ) (2,708 ) (2,787 ) Non-current liabilities (343 ) (1,893 ) (31,432 ) (34,761 ) (39,289 ) (41,531 ) Ending balance $ 65,584 $ 101,232 $ (33,184 ) $ (37,983 ) $ (41,997 ) $ (44,318 ) Amounts recognized in accumulated other comprehensive loss (pretax): Prior service cost (credit) $ 5,217 $ 6,848 $ 631 $ 859 $ (472 ) $ (592 ) Net (gain) loss 276,450 235,564 9,161 12,542 (10,409 ) (7,573 ) Ending balance $ 281,667 $ 242,412 $ 9,792 $ 13,401 $ (10,881 ) $ (8,165 ) The accumulated benefit obligation of the qualified pension plans was $ 693.9 million and $ 682.1 million at August 31, 2015 and 2014 , respectively. The accumulated benefit obligation of the non-qualified pension plans was $ 23.6 million and $ 22.7 million at August 31, 2015 and 2014 , respectively. The assumption changes for the years ended August 31, 2015 and 2014 were related to increases in and reductions to the discount rates for both CHS and CHS McPherson (formerly known as 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 CHS McPherson have historically used. Components of net periodic benefit costs for the years ended August 31, 2015 , 2014 and 2013 are as follows: Qualified Pension Benefits Non-Qualified Pension Benefits Other Benefits 2015 2014 2013 2015 2014 2013 2015 2014 2013 (Dollars in thousands) Components of net periodic benefit costs: Service cost $ 36,006 $ 30,417 $ 31,387 $ 875 $ 860 $ 721 $ 1,513 $ 1,729 $ 2,936 Interest cost 28,046 29,900 25,445 1,414 1,660 1,316 1,489 1,918 2,275 Expected return on assets (49,746 ) (47,655 ) (49,728 ) — — — — — — Settlement of retiree obligations — — — 1,635 — — — — — Prior service cost (credit) amortization 1,631 1,593 1,597 228 229 228 (426 ) (493 ) (120 ) Actuarial loss amortization 19,621 18,228 22,615 1,058 957 921 (431 ) (180 ) 1,104 Transition amount amortization — — — — — — — — 562 Net periodic benefit cost $ 35,558 $ 32,483 $ 31,316 $ 5,210 $ 3,706 $ 3,186 $ 2,145 $ 2,974 $ 6,757 Weighted-average assumptions to determine the net periodic benefit cost: Discount rate 4.00 % 4.80 % 3.80 % 4.00 % 4.50 % 4.25 % 4.20 % 3.75 % 3.75 % Expected return on plan assets 6.50 % 6.75 % 7.25 % N/A N/A N/A N/A N/A N/A Rate of compensation increase 4.90 % 4.85 % 4.50 % 5.15 % 4.75 % 4.75 % N/A N/A N/A Weighted-average assumptions to determine the benefit obligations: Discount rate 4.20 % 4.00 % 4.80 % 4.50 % 4.50 % 4.50 % 3.75 % 4.60 % 3.75 % Rate of compensation increase 4.90 % 4.90 % 4.85 % 4.80 % 4.80 % 4.75 % N/A N/A N/A The estimated amortization in fiscal 2016 from accumulated other comprehensive loss into net periodic benefit cost is as follows: Qualified Pension Benefits Non-Qualified Pension Benefits Other Benefits (Dollars in thousands) Amortization of prior service cost (benefit) $ 1,626 $ 228 $ (120 ) Amortization of net actuarial (gain) loss 19,017 692 (464 ) For measurement purposes, a 6.8% annual rate of increase in the per capita cost of covered health care benefits was assumed for the year ended August 31, 2015 . The rate was assumed to decrease gradually to 5.0% by 2027 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 $ 500 $ (380 ) Effect on postretirement benefit obligation 3,600 (3,200 ) 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 $ 27.4 million , $ 24.6 million and $ 22.9 million , for the years ended August 31, 2015 , 2014 and 2013 , respectively. We voluntarily contributed $ 39.2 million to qualified pension plans in fiscal 2015 . Based on the funded status of the qualified pension plans as of August 31, 2015 , we do not believe we will be required to contribute to these plans in fiscal 2016 , although we may voluntarily elect to do so. We expect to pay $ 4.5 million to participants of the non-qualified pension and postretirement benefit plans during fiscal 2016 . Our retiree benefit payments which reflect expected future service are anticipated to be paid as follows: Qualified Pension Benefits Non-Qualified Pension Benefits Other Benefits Gross (Dollars in thousands) 2016 $ 37,593 $ 1,753 $ 2,708 2017 48,935 2,292 2,781 2018 52,646 1,981 2,909 2019 52,565 2,552 3,017 2020 55,026 2,939 3,175 2021-2025 307,130 23,288 16,831 We have trusts that hold the assets for the defined benefit plans. CHS and CHS McPherson 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. The CHS pension plans' investment policy strategy is such that liabilities match assets. This is being accomplished through the asset portfolio mix by reducing volatility and de-risking the plan. The plans’ target allocation percentages are 50% for fixed income securities, and 50% 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’ recurring fair value measurements by asset category at August 31, 2015 and 2014 are presented in the tables below: 2015 Level 1 Level 2 Level 3 Total (Dollars in thousands) Cash and cash equivalents $ 4,882 $ — $ — $ 4,882 Equities: Mutual funds 91,619 — — 91,619 Common/collective trust at net asset value (1) — — — 194,463 Fixed income securities: Mutual funds 133,556 20,560 — 154,116 Common/collective trust at net asset value (1) — — — 296,684 Partnership and joint venture interests measured at net asset value (1) — — — 52,640 Other assets measured at net asset value (1) — — — 1,975 Total $ 230,057 $ 20,560 $ — $ 796,379 2014 Level 1 Level 2 Level 3 Total (Dollars in thousands) Cash and cash equivalents $ 4,218 $ — $ — $ 4,218 Equities: Mutual funds 84,830 18,085 — 102,915 Common/collective trust at net asset value (1) — — — 48,400 Fixed income securities: Mutual funds 138,458 8,726 — 147,184 Common/collective trust at net asset value (1) — — — 479,800 Partnership and joint venture interests measured at net asset value (1) — — — 37,649 Other assets measured at net asset value (1) — — — 1,959 Total $ 227,506 $ 26,811 $ — $ 822,125 (1) In accordance with ASC Topic 820-10, Fair Value Measurements , certain assets that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been categorized in the fair value hierarchy. The fair value amounts presented in the tables above are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the statement of net assets. Definitions for valuation levels are found in Note 13, 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. Mutual funds measured at fair value using the net asset value per share practical expedient have not been categorized in the fair value hierarchy in accordance with ASC Topic 820-10, Fair Value Measurement . Common/Collective Trusts: Common/Collective trusts primarily consist of equity and fixed income funds and are valued using other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risks, referenced indices, quoted prices in inactive markets, adjusted quoted prices in active markets, adjusted quoted prices on foreign equity securities that were adjusted in accordance with pricing procedures approved by the Trust, etc.). Common/Collective trust investments can be redeemed daily and without restriction. Redemption of the entire investment balance generally requires a 45-60-day notice period. The equity funds provide exposure to large, mid and small cap U.S. equities, international large and small cap equities and emerging market equities. The fixed income funds provide exposure to U.S., international and emerging market debt securities. Common/Collective trusts measured at fair value using the net asset value per share practical expedient have not been categorized in the fair value hierarchy in accordance with ASC Topic 820-10, Fair Value Measurement . 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. Redemptions of these interests generally require a 45 to 60 day notice period. Partnerships and joint venture interests measured at fair value using the net asset value per share practical expedient have not been categorized in the fair value hierarchy in accordance with ASC Topic 820-10, Fair Value Measurement. Other assets : Other assets primarily includes real estate funds and hedge funds held in the asset portfolio of our U.S. defined benefit pension plans. Other funds measured at fair value using the net asset value per share practical expedient have not been categorized in the fair value in accordance with ASC Topic 820-10, Fair Value Measurement. 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, 2015 , 2014 , and 2013 is outlined in the table below: Contributions of CHS (Dollars in thousands) Plan Name EIN/Plan Number 2015 2014 2013 Surcharge Imposed Expiration Date of Collective Bargaining Agreement Co-op Retirement Plan 01-0689331 / 001 $ 2,021 $ 2,079 $ 2,095 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). The Pension Protection Act of 2006 (PPA) 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 2015 and 2014 are for the Co-op Plan's year-end at March 31, 2014 and 2013, 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 2015 , 2014 and 2013 . |
Segment Reporting
Segment Reporting | 12 Months Ended |
Aug. 31, 2015 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting CHS is an integrated agricultural enterprise, providing grain, foods and energy resources to businesses and consumers on a global basis. 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, and the production and marketing of ethanol. We define our operating segments in accordance with ASC Topic 280, Segment Reporting , to reflect the manner in which our chief operating decision maker, our Chief Executive Officer, evaluates performance and allocates resources in managing the business. We have aggregated those operating segments into two reportable segments: Energy and Ag. 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; serves as a wholesaler and retailer of crop inputs; and produces and markets ethanol. 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 and interest 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. Prior to fiscal 2015, our renewable fuels marketing business was included in our Energy segment and our renewable fuels production business was included in our Ag segment. At the beginning of fiscal 2015, we reorganized certain parts of our business to better align our ethanol supply chain. As a result, our renewable fuels marketing business is now managed together with our renewable fuels production business within our Ag segment. Prior period segment information below has been revised to reflect this change to ensure comparability. 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 12% ownership in Ardent Mills. 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, 2015 , 2014 and 2013 is presented in the tables below. We have revised prior period amounts in these tables to include activity and amounts related to capital leases that were previously accounted for as operating leases. See Note 18, Correction of Immaterial Errors for more information on the nature and amounts of these revisions. Energy Ag Corporate Reconciling Total (Dollars in thousands) For the year ended August 31, 2015: Revenues $ 8,694,326 $ 26,311,350 $ 74,828 $ (498,062 ) $ 34,582,442 Operating earnings 523,451 190,860 1,101 — 715,412 (Gain) loss on investments — (2,875 ) (2,364 ) — (5,239 ) Interest expense, net (12,350 ) 56,380 16,303 — 60,333 Equity (income) loss from investments (2,330 ) (12,293 ) (93,227 ) — (107,850 ) Income before income taxes $ 538,131 $ 149,648 $ 80,389 $ — $ 768,168 Intersegment revenues $ (483,989 ) $ (11,403 ) $ (2,670 ) $ 498,062 $ — Capital expenditures $ 696,825 $ 417,950 $ 72,015 $ — $ 1,186,790 Depreciation and amortization $ 148,292 $ 192,438 $ 14,692 $ — $ 355,422 Total assets as of August 31, 2015 $ 4,624,471 $ 7,814,689 $ 2,789,152 $ — $ 15,228,312 Energy Ag Corporate Reconciling Total (Dollars in thousands) For the year ended August 31, 2014: Revenues $ 12,181,212 $ 31,022,507 $ 73,827 $ (613,513 ) $ 42,664,033 Operating earnings 793,924 249,944 6,080 — 1,049,948 (Gain) loss on investments — (1,949 ) (112,213 ) — (114,162 ) Interest expense, net 69,522 60,742 9,989 — 140,253 Equity (income) loss from investments (4,014 ) (22,279 ) (81,153 ) — (107,446 ) Income before income taxes $ 728,416 $ 213,430 $ 189,457 $ — $ 1,131,303 Intersegment revenues $ (600,433 ) $ (9,960 ) $ (3,120 ) $ 613,513 $ — Capital expenditures $ 539,170 $ 329,613 $ 50,293 $ — $ 919,076 Depreciation and amortization $ 137,408 $ 157,102 $ 11,737 $ — $ 306,247 Total assets as of August 31, 2014 $ 4,457,563 $ 6,949,617 $ 3,888,924 $ — $ 15,296,104 Energy Ag Corporate Reconciling Total For the year ended August 31, 2013: Revenues $ 11,431,423 $ 33,471,977 $ 71,596 $ (495,139 ) $ 44,479,857 Operating earnings 958,468 263,757 2,936 — 1,225,161 (Gain) loss on investments — (27 ) (155 ) — (182 ) Interest expense, net 148,931 76,138 11,630 — 236,699 Equity (income) loss from investments (1,357 ) (15,194 ) (80,799 ) — (97,350 ) Income before income taxes $ 810,894 $ 202,840 $ 72,260 $ — $ 1,085,994 Intersegment revenues $ (481,465 ) $ (11,316 ) $ (2,358 ) $ 495,139 $ — Capital expenditures $ 429,230 $ 183,619 $ 7,034 $ — $ 619,883 Depreciation and amortization $ 123,898 $ 136,556 $ 16,126 $ — $ 276,580 We have international sales, which are predominantly in our Ag segment. The following table presents our product sales, based on the geographic locations in which the sales originated, and our global service revenue for the years ended August 31, 2015 , 2014 and 2013 : 2015 2014 2013 (Dollars in millions) North America $ 27,489 $ 37,947 $ 39,918 South America 1,508 2,119 2,511 Europe, the Middle East and Africa (EMEA) 4,210 1,594 1,040 Asia Pacific (APAC) 1,008 642 680 Global service revenue 367 362 331 $ 34,582 $ 42,664 $ 44,480 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Aug. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements ASC Topic 820, Fair Value Measurement defines fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. We determine fair values of derivative instruments and certain other assets, based on the fair value hierarchy established in ASC Topic 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 Topic 820 describes three levels within its hierarchy that may be used to measure fair value, and our assessment of relevant instruments within those levels is 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 instruments, 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 interest rate, foreign exchange, and commodity swaps; forward commodity and freight purchase and sales contracts with a fixed price component; 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 tables present assets and liabilities, included on our Consolidated Balance Sheets, that are recognized at fair value on a recurring basis, and indicate the fair value hierarchy utilized to determine such fair values. 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. Recurring fair value measurements at August 31, 2015 and 2014 are as follows: 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (Dollars in thousands) Assets: Commodity and freight derivatives $ 46,976 $ 429,094 $ — $ 476,070 Interest rate swap derivatives — 14,216 — 14,216 Foreign currency derivatives — 23,155 — 23,155 Deferred compensation assets 72,571 — — 72,571 Other assets 10,905 — — 10,905 $ 130,452 $ 466,465 $ — $ 596,917 Liabilities: Commodity and freight derivatives $ 58,873 $ 368,179 $ — $ 427,052 Interest rate swap derivatives — 6,119 — 6,119 Foreign currency derivatives — 37,598 — 37,598 Accrued liability for contingent crack spread payments — — 75,982 75,982 $ 58,873 $ 411,896 $ 75,982 $ 546,751 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (Dollars in thousands) Assets: Commodity and freight derivatives $ 78,590 $ 518,620 $ — $ 597,210 Interest rate swap derivatives — 4,200 — 4,200 Foreign currency derivatives 2,523 — — 2,523 Deferred compensation assets 83,217 — — 83,217 Other assets 8,778 — — 8,778 $ 173,108 $ 522,820 $ — $ 695,928 Liabilities: Commodity and freight derivatives $ 117,690 $ 479,922 $ — $ 597,612 Interest rate swap derivatives — 130 — 130 Foreign currency derivatives 2,248 — — 2,248 Accrued liability for contingent crack spread payments — — 114,917 114,917 $ 119,938 $ 480,052 $ 114,917 $ 714,907 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 with fixed-price components, 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. Deferred compensation and other assets — Our deferred compensation investments, Rabbi Trust assets and available-for-sale investments in common stock of other companies 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 expense, net. See Note 12, Derivative Financial Instruments and Hedging Activities for additional information about interest rates swaps designated as fair value and cash flow hedges. Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests — The fair value of the contingent consideration 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 Range Item August 31, 2015 Valuation Technique Unobservable Input (Weighted Average) (Dollars in thousands) Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests $75,982 Adjusted Black-Scholes option pricing model Forward crack spread margin on August 31, 2015 (a) $12.99-$24.33 ($19.67) Contractual target crack spread margin (b) $17.50 Expected volatility (c) 159.05% Risk-free interest rate (d) 0.48-0.94% (0.67%) Expected life - years (e) 1.00-2.00 (1.41) (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, 2015 and 2014 : Level 3 Liabilities Accrued Liability for Contingent Crack Spread Payments Related to Purchase of Noncontrolling Interests 2015 2014 (Dollars in thousands) Balance - beginning of year $ 114,917 $ 134,134 Amounts currently payable (2,625 ) — Total (gains) losses included in cost of goods sold (36,310 ) (19,217 ) Balance - end of year $ 75,982 $ 114,917 There were no material transfers between Level 1, Level 2 and Level 3 assets and liabilities. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Aug. 31, 2015 | |
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. 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. 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 $94.6 million was outstanding on August 31, 2015 . 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, 2015 . 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, 2015 , CHS Capital’s customers have additional available credit of $1.0 billion . Lease Commitments We lease certain property, plant and equipment used in our operations under both capital and operating lease agreements. Our operating leases, which are primarily for rail cars, equipment, vehicles and office space have remaining terms of one to 12 years. Total rental expense for operating leases was $56.7 million , $47.4 million and $41.6 million for the years ended August 31, 2015 , 2014 and 2013 , respectively. We lease certain rail cars, equipment, vehicles and other assets under capital lease arrangements. These assets are included in property, plant and equipment, net on our Consolidated Balance Sheets while the corresponding capital lease obligations are included in long-term debt. See Note 5, Property, Plant and Equipment and Note 7, Notes Payable and Long-Term Debt for more information about capital leases. Minimum future lease payments required under noncancelable operating leases as of August 31, 2015 were as follows: (Dollars in thousands) 2016 $ 54,188 2017 43,748 2018 36,004 2019 28,433 2020 20,968 Thereafter 66,399 Total minimum future lease payments $ 249,740 Unconditional Purchase Obligations Unconditional purchase obligations are commitments to transfer funds in the future for fixed or minimum amounts or quantities of goods or services at fixed or minimum prices. Our long-term unconditional purchase obligations primarily relate to pipeline and grain handling take-or-pay and through-put agreements and are not recorded on our Consolidated Balance Sheets. As of August 31, 2015 , minimum future payments required under long-term commitments that are noncancelable, and that third parties have used to secure financing for the facilities that will provide the contracted goods, are as follows: Payments Due by Period Total Less than 1 - 3 3 - 5 More than (Dollars in thousands) Long-term unconditional purchase obligations $ 815,179 $ 62,585 $ 111,905 $ 109,712 $ 530,977 The discounted, aggregate amount of the minimum required payments under long-term unconditional purchase obligations, based on current exchange rates at August 31, 2015 , is $655.0 million . Total payments under these arrangements were $66.8 million , $65.5 million and $62.4 million for the years ended August 31, 2015 , 2014 and 2013 , respectively. |
Supplemental Cash Flow and Othe
Supplemental Cash Flow and Other Information | 12 Months Ended |
Aug. 31, 2015 | |
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, 2015 , 2014 and 2013 is included in the table below. We have revised certain prior period amounts in the table related to interest, capital expenditures and capital leases. See Note 18, Correction of Immaterial Errors for more information on the nature and amounts of these revisions. 2015 2014 2013 (Dollars in thousands) Net cash paid during the period for: Interest $ 130,571 $ 166,524 $ 261,670 Income taxes 54,229 23,363 23,228 Other significant noncash investing and financing transactions: Capital expenditures and major repairs incurred but not yet paid (1) 60,226 64,825 39,638 Capital lease obligations incurred 9,741 62,425 71,296 Capital equity certificates redeemed with preferred stock — 200,000 — Capital equity certificates issued in exchange for Ag acquisitions 15,618 14,278 18,211 Accrual of dividends and equities payable 384,427 409,961 390,153 Assets contributed to Ardent Mills joint venture — 205,040 — (1) Represents acquisition of property, plant and equipment and capitalized major maintenance costs for which cash payments have not yet been made as of the end of each fiscal period presented. Acquiring or constructing property, plant and equipment by incurring a liability does not result in a cash outflow for us until the liability is paid. In the period the liability is incurred, the change in operating accounts payable on our Consolidated Statements of Cash Flows is adjusted by such amount. In the period the liability is paid, the amount is reflected as a cash outflow from investing activities. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Aug. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Related party transactions with equity investees for the years ended August 31, 2015 , 2014 and 2013 , respectively, and balances as of August 31, 2015 and 2014 , respectively, are as follows: 2015 2014 2013 (Dollars in thousands) Sales $ 2,310,875 $ 3,247,197 $ 2,963,468 Purchases 1,762,663 1,648,030 1,535,176 2015 2014 (Dollars in thousands) Due from related parties $ 73,000 $ 16,737 Due to related parties 6,656 43,361 The related party transactions were primarily with TEMCO, Horizon Milling, Ardent Mills and Ventura Foods. |
Acquisitions
Acquisitions | 12 Months Ended |
Aug. 31, 2015 | |
Business Combinations [Abstract] | |
Acquisition | Acquisitions During the year ended August 31, 2015, we paid $321.0 million in consideration to acquire various businesses in our Ag segment. These acquisitions were not material, individually or in aggregate, to our consolidated financial statements. Included among these transactions was the June 2015 acquisition of Patriot Holdings, LLC, which operates an ethanol plant that has expanded our grain origination opportunities and increased our renewable fuels capacity. Additionally, we acquired Northstar Agri Industries, a canola processing and refining business in July 2015. The acquisition expands our oilseed processing platform to include canola in addition to soybeans, expands our oil product offerings to global food companies, and links growers purchasing canola seed from CHS-owned retail outlets to an integrated supply chain. The preliminary allocation of consideration for net assets acquired in our aggregate acquisitions during the year ended August 31, 2015 is summarized as follows: (Dollars in thousands) Current assets $ 60,577 Property, plant and equipment 312,288 Goodwill 423 Other assets 16,118 Current liabilities (60,127 ) Other liabilities (8,261 ) Total net assets acquired $ 321,018 During the year ended August 31, 2014, we paid $281.5 million in consideration to acquire various businesses that related primarily to our Ag segment. These acquisitions were not material, individually or in aggregate, to our consolidated financial statements. Included among these transactions was the acquisition of Illinois River Energy LLC, which operates an ethanol plant that will expand our grain origination opportunities and increase renewable fuels capacity. Additionally, we acquired the fertilizer business and assets of Terral RiverService, a transportation service company specializing in the bulk storage and handling of dry and liquid materials along the Mississippi River system, the Gulf Intracoastal Waterway and inland waterways of Louisiana and southern Arkansas. See Note 6, Other Assets for information about the amounts of goodwill and intangible assets recorded as a result of these transactions. CHS McPherson Refinery Inc. (formerly National Cooperative Refinery Association or "NCRA") In November 2011 , our Board of Directors approved a stock transfer agreement between us and GROWMARK, Inc. ("Growmark"), and a stock transfer agreement between us and MFA Oil Company ("MFA"). Pursuant to these agreements, we began to acquire from Growmark and MFA shares of Class A common stock and Class B common stock of NCRA representing approximately 25.6% of NCRA’s outstanding capital stock. Prior to the first closing, we owned the remaining approximately 74.4% of NCRA’s outstanding capital stock as of August 31, 2012 and accordingly, upon completion of the acquisitions described by these agreements, NCRA would be a wholly-owned subsidiary. As of August 31, 2015 , our ownership was 88.9% and with the final closing in September 2015, our ownership increased to 100% . The entity is now known as CHS McPherson Refinery Inc. ("CHS McPherson"). Pursuant to the agreement with Growmark, we acquired stock representing approximately 18.6% of NCRA’s outstanding capital stock in four separate closings 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 was paid through the first three closings, and $111.4 million of which was paid at the final closing in September 2015). 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 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 acquired stock representing approximately 7.0% of NCRA’s outstanding capital stock in four separate closings 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 was paid through the first three closings, and $41.6 million of which was paid at the final closing in September 2015). 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 year ending on August 31 of the calendar year in which the contingent payment date falls exceeds a specified target. As of August 31, 2015 and 2014 , the amounts recognized in other liabilities on our Consolidated Balance Sheets for these contingent consideration arrangements are $76.0 million and $114.9 million , respectively. Corresponding gains of $36.3 million and $19.2 million are included in cost of goods sold in our Consolidated Statements of Operations for the years ended August 31, 2015 and 2014 , respectively. The first contingent consideration payment in the amount of $16.5 million was made in October 2013; and based on the average crack spread margins during fiscal 2014, no payment was made in October 2014. As of August 31, 2015, $2.6 million was recorded as a current liability and was subsequently paid in October 2015. In accordance with ASC Topic 480, patronage earned by Growmark and MFA has been included as interest expense in our Consolidated Statements of Operations. During the years ended August 31, 2015 , 2014 and 2013, $31.0 million , $65.5 million and $142.4 million , respectively, was recognized as interest expense for the patronage earned by Growmark and MFA. |
Correction of Immaterial Error
Correction of Immaterial Error | 12 Months Ended |
Aug. 31, 2015 | |
Accounting Changes and Error Corrections [Abstract] | |
Correction of Immaterial Error | Correction of Immaterial Errors Lease Accounting: We lease rail cars, equipment, vehicles and other assets under noncancelable lease agreements for use in our agricultural and transportation operations in both our Energy and Ag segments. During the fourth quarter of fiscal 2015, we determined that we had historically applied the accounting principles of ASC Topic 840, Leases, incorrectly by accounting for all of our lease arrangements as operating leases. We subsequently determined that certain of our leases met, at lease inception, one or more of the ASC 840-10-25-1 criteria that require a lease to be classified and accounted for as a capital lease. Consequently, prior period amounts in the financial statements, notes thereto and related disclosures contained in this Annual Report on Form 10-K for the year ended August 31, 2015 have been revised to adjust for these errors. Statement of Cash Flows Presentation: During the fourth quarter of fiscal 2015, we determined that our historical presentation of cash flows related to the acquisition of property, plant and equipment and expenditures for major repairs was incorrect. Amounts presented as cash outflows in prior periods included acquisitions of assets for which cash had not yet been paid, resulting in misstatements of both investing and operating cash flows. We have revised prior period amounts in the financial statements, notes thereto and related disclosures contained in this Annual Report on Form 10-K for the year ended August 31, 2015 to correct these errors. Materiality Assessment: We assessed the materiality of the misstatements described above on prior period financial statements in accordance with SEC Staff Accounting Bulletin ("SAB") No. 99, Materiality , codified in ASC 250 ("ASC 250"), Presentation of Financial Statements , and concluded these misstatements were not material to any prior annual or interim periods. Accordingly, in accordance with ASC 250 (SAB No. 108, Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements ), our consolidated financial statements as of August 31, 2014 and for the years ended August 31, 2014 and 2013, which are presented herein, have been revised. The following are selected line items from our consolidated financial statements illustrating the effects of these revisions: CONSOLIDATED BALANCE SHEET August 31 2014 As Previously Reported Revision As Revised (Dollars in thousands) ASSETS Property, plant and equipment $ 4,031,023 $ 149,125 $ 4,180,148 Total assets 15,146,979 149,125 15,296,104 LIABILITIES AND EQUITIES Current portion of long-term debt 156,836 45,129 201,965 Total current liabilities 6,184,009 45,129 6,229,138 Long-term debt 1,299,664 103,996 1,403,660 Total liabilities and equities 15,146,979 149,125 15,296,104 CONSOLIDATED STATEMENTS OF OPERATIONS For the Years Ended August 31 2014 2013 As Previously Reported Revision As Revised As Previously Reported Revision As Revised (Dollars in thousands) Cost of goods sold $ 41,016,798 $ (5,311 ) $ 41,011,487 $ 42,706,205 $ (5,132 ) $ 42,701,073 Gross profit 1,647,235 5,311 1,652,546 1,773,652 5,132 1,778,784 Operating earnings 1,044,637 5,311 1,049,948 1,220,029 5,132 1,225,161 Interest expense, net 134,942 5,311 140,253 231,567 5,132 236,699 Income before income taxes 1,131,303 — 1,131,303 1,085,994 — 1,085,994 CONSOLIDATED STATEMENTS OF CASH FLOWS For the Years Ended August 31 2014 2013 As Previously Reported Revision As Revised As Previously Reported Revision As Revised (Dollars in thousands) Cash flows from operating activities: Depreciation and amortization 267,167 39,080 306,247 241,791 34,789 276,580 Changes in operating assets and liabilities, excluding the effects of acquisitions: Accounts payable and accrued expenses (164,616 ) (25,187 ) (189,803 ) 52,897 (39,639 ) 13,258 Net cash provided by (used in) operating activities 1,427,351 13,893 1,441,244 2,477,800 (4,850 ) 2,472,950 Cash flows from investing activities: Acquisition of property, plant and equipment (943,888 ) 24,812 (919,076 ) (659,373 ) 39,490 (619,883 ) Expenditures for major repairs (3,305 ) 375 (2,930 ) (73,701 ) 149 (73,552 ) Net cash provided by (used in) investing activities (1,341,582 ) 25,187 (1,316,395 ) (534,958 ) 39,639 (495,319 ) Cash flows from financing activities: Principal payments on capital lease obligations — (39,871 ) (39,871 ) — (35,387 ) (35,387 ) Other financing activities, net (447 ) 791 344 (336 ) 598 262 Net cash provided by (used in) financing activities 240,530 (39,080 ) 201,450 (443,174 ) (34,789 ) (477,963 ) |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts and Reserves | 12 Months Ended |
Aug. 31, 2015 | |
Receivables [Abstract] | |
Schedule of Valuation and Qualifying Accounts Disclosure | SCHEDULE II — VALUATION AND QUALIFYING ACCOUNTS AND RESERVES Balance at Beginning of Year Additions: Charged to Costs and Expenses * Deductions: Write-offs, net of Recoveries Balance at End of Year (Dollars in thousands) Allowances for Doubtful Accounts 2015 $ 103,639 $ 8,132 $ (5,326 ) $ 106,445 2014 94,589 9,313 (263 ) 103,639 2013 111,785 (13,130 ) (4,066 ) 94,589 Valuation Allowance for Deferred Tax Assets 2015 $ 111,509 $ 21,884 $ (35,370 ) $ 98,023 2014 79,623 40,095 (8,209 ) 111,509 2013 56,659 27,046 (4,082 ) 79,623 *net of reserve adjustments |
Summary of Significant Accoun26
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Aug. 31, 2015 | |
Accounting Policies [Abstract] | |
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. The effects of all significant intercompany transactions have been eliminated. As of August 31, 2015, we owned approximately 88.9% of National Cooperative Refinery Association ("NCRA") which operated the McPherson, Kansas refinery and was fully consolidated within our financial statements. In September 2015, we purchased the remaining noncontrolling interests in the entity and we became 100% owners upon the final closing pursuant to the November 2011 agreement described in Note 17, Acquisitions . The entity is now known as CHS McPherson Refinery Inc. ("CHS McPherson"). |
Major Maintenance Activities | Major Maintenance Activities In our Energy segment, major maintenance activities ("turnarounds") at our 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 . Capitalized amounts are included in other long-term assets on our Consolidated Balance Sheets and 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. |
Cash Equivalents | Cash and Cash Equivalents Cash equivalents includes short-term, highly liquid investments with original maturities of three months or less at the date of acquisition. The fair value of cash and cash equivalents approximates the carrying value because of the short maturity of the instruments. |
Inventories | Inventories Grain, processed grain, oilseed, processed oilseed and other minimally processed soy-based inventories 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. |
Derivatives, Policy | Derivative Financial Instruments and Hedging Activities Our derivative instruments primarily consist of commodity and freight futures and forward contracts and, to a lesser degree, may include foreign currency and interest rate swap contracts. These contracts are economic hedges of price risk, but we do not apply hedge accounting under ASC Topic 815, Derivatives and Hedging , except with respect to certain interest rate swap contracts which are accounted for as cash flow hedges or fair value hedges. Derivative instruments are recorded on our Consolidated Balance Sheets at fair value. See Note 12, Derivative Financial Instruments and Hedging Activities and Note 13, Fair Value Measurements for additional information. Even though we have netting arrangements for our exchange-traded futures and options contracts and certain over-the-counter ("OTC") contracts, we report our derivatives on a gross basis on our Consolidated Balance Sheets. Our associated margin deposits are also reported on a gross basis. 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 we do not apply hedge accounting under ASC Topic 815, Derivatives and Hedging , except with respect to certain interest rate swap contracts which are accounted for as cash flow hedges or fair value hedges as described below. Derivative instruments are recorded on our Consolidated Balance Sheets at fair value as described in Note 13, Fair Value Measurements . The following tables present the gross fair values of derivative assets, derivative liabilities, and margin deposits (cash collateral) recorded on our Consolidated Balance Sheets along with the related amounts permitted to be offset in accordance with U.S. GAAP. We have elected not to offset derivative assets and liabilities when we have the right of offset under ASC Topic 210-20, Balance Sheet - Offsetting; or when the instruments are subject to master netting arrangements under ASC Topic 815-10-45, Derivatives and Hedging - Overall . August 31, 2015 Amounts Not Offset on the Consolidated Balance Sheet but Eligible for Offsetting Gross Amounts Recognized Cash Collateral Derivative Instruments Net Amounts (Dollars in thousands) Derivative Assets: Commodity and freight derivatives $ 476,071 $ — $ 58,401 $ 417,670 Foreign exchange derivatives 23,154 — 11,682 11,472 Interest rate derivatives - hedge 14,216 — — 14,216 Total $ 513,441 $ — $ 70,083 $ 443,358 Derivative Liabilities: Commodity and freight derivatives $ 427,052 $ 11,482 $ 58,401 $ 357,169 Foreign exchange derivatives 37,598 — 11,682 25,916 Interest rate derivatives - hedge 6,058 — — 6,058 Interest rate derivatives - non-hedge 61 — — 61 Total $ 470,769 $ 11,482 $ 70,083 $ 389,204 August 31, 2014 Amounts Not Offset on the Consolidated Balance Sheet but Eligible for Offsetting Gross Amounts Recognized Cash Collateral Derivative Instruments Net Amounts (Dollars in thousands) Derivative Assets: Commodity and freight derivatives $ 597,210 $ — $ 42,229 $ 554,981 Foreign exchange derivatives 2,523 — 1,174 1,349 Interest rate derivatives - hedge 4,200 — — 4,200 Total $ 603,933 $ — $ 43,403 $ 560,530 Derivative Liabilities: Commodity and freight derivatives $ 597,612 $ 2,504 $ 42,229 $ 552,879 Foreign exchange derivatives 2,248 — 1,174 1,074 Interest rate derivatives - non-hedge 130 — — 130 Total $ 599,990 $ 2,504 $ 43,403 $ 554,083 Derivatives Not Designated as Hedging Instruments The majority of our derivative instruments have not been designated as hedging instruments. The following table sets forth the pretax gains (losses) on derivatives not accounted for as hedging instruments that have been included in our Consolidated Statements of Operations for the years ended August 31, 2015 , 2014 , and 2013 . We have revised the information that we have historically included in this table below to correct for errors in the previously disclosed amounts. Although such gains and losses have been and continue to be appropriately recorded in the Consolidated Statements of Operations, the previous disclosures did not accurately reflect the derivative gains and losses in each period. These revisions did not materially impact our consolidated financial statements. Location of Gain (Loss) 2015 2014 2013 (Dollars in thousands) Commodity and freight derivatives Cost of goods sold $ 143,314 $ 128,992 $ (97,373 ) Foreign exchange derivatives Cost of goods sold 12,551 (5,926 ) 37,555 Interest rate derivatives Interest expense, net 107 114 300 Total $ 155,972 $ 123,180 $ (59,518 ) 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 fixed- or partially-fixed prices 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. As of August 31, 2015 and 2014, we had outstanding commodity and freight futures that were used as economic hedges, as well as fixed-price forward contracts related to physical purchases and sales of commodities. The table below presents the notional volumes for all outstanding commodity and freight contracts accounted for as derivative instruments. We have made revisions to the information that we have historically included in this table below to correct for errors in the previously disclosed amounts. We previously disclosed volume information for physically-settled forward purchase and sale contracts, including some contracts not accounted for as derivatives. As a result, we have corrected the derivative volume disclosure presented below to include information on the notional amounts for contracts accounted for as derivatives in accordance with ASC Topic 815, Derivatives and Hedging . These revisions did not materially impact our previously issued consolidated financial statements. 2015 2014 Long Short Long Short (Units in thousands) Grain and oilseed - bushels 711,066 895,326 655,799 802,479 Energy products - barrels 17,238 11,676 20,191 16,431 Soy products - tons 706 2,741 749 3,047 Crop nutrients - tons 48 116 59 126 Ocean and barge freight - metric tons 5,916 1,962 5,727 4,250 Rail freight - rail cars 297 122 364 186 Livestock - pounds 10,480 1,280 11,960 46,520 Foreign Exchange Contracts: We conduct a substantial portion of our business in U.S. dollars, but we are exposed to some risk relating to foreign currency fluctuations primarily due to grain marketing transactions in South America and Europe, and purchases of products from Canada. We use foreign currency derivative instruments to mitigate the impact of exchange rate fluctuations. Although our overall risk relating to foreign currency transactions is not significant, exchange rate 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. The notional amounts of our foreign exchange derivative contracts were $1.3 billion and $784.4 million as of August 31, 2015 and August 31, 2014 , respectively. Interest Rate Contracts: 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 $2.5 million expiring at various times through fiscal 2018, with $0.4 million of the notional amount expiring during fiscal 2016 . 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 expense, 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, 2015 was approximately 5.8% . Derivatives Designated as Cash Flow or Fair Value Hedging Strategies As of August 31, 2015 and 2014 , we have certain derivatives designated as cash flow and fair value hedges. Interest Rate Contracts: We have outstanding interest rate swaps with an aggregate notional amount of $420.0 million designated as fair value hedges of portions of our fixed-rate debt. Our objective in entering into these transactions is to offset changes in the fair value of the debt associated with the risk of variability in the 3-month U.S. dollar LIBOR interest rate, in essence converting the fixed-rate debt to variable-rate debt. Offsetting changes in the fair values of both the swap instruments and the hedged debt are recorded contemporaneously each period and only create an impact to earnings to the extent that the hedge is ineffective. During the years ended August 31, 2015 and 2014 , we recorded offsetting fair value adjustments of $8.0 million and $4.2 million , respectively, with no ineffectiveness recorded in earnings. We have outstanding interest rate swaps with an aggregate notional amount of $300.0 million designated as cash flow hedges of the expected variability of future interest payments on our anticipated issuance of fixed-rate debt. The swaps expire in fiscal 2016 with no material amounts expected to be included in earnings during the next 12 months. In fiscal 2013, we entered into derivative contracts designated as cash flow hedging instruments that were terminated in February 2014 as the issuance of the underlying debt was no longer probable. As a result, a $13.5 million gain was reclassified from accumulated other comprehensive loss into net income. This pre-tax gain is included as a component of interest expense, net in our Consolidated Statement of Operations for the year ended August 31, 2014. The following table presents the pretax gains (losses) recorded in other comprehensive income relating to cash flow hedges for the years ended August 31, 2015 , 2014 , and 2013 : 2015 2014 2013 (Dollars in thousands) Interest rate derivatives $ (4,078 ) $ (10,580 ) $ 24,135 The following table presents the pretax gains (losses) relating to cash flow hedges that were reclassified from accumulated other comprehensive loss into income for the years ended August 31, 2015 , 2014 , and 2013 : Location of Gain (Loss) 2015 2014 2013 (Dollars in thousands) Interest rate derivatives Interest expense, net $ (792 ) $ 12,727 $ (907 ) |
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 to support the associated derivative contracts and may be used to fund or partially fund the settlement of those contracts as they expire. |
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. We also capitalize and amortize eligible costs to acquire or develop internal-use software that are incurred during the application development stage. 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 or asset group exceeds its fair value. We have asset retirement obligations with respect to certain of our refineries and other assets due to various legal obligations to clean and/or dispose of the component parts at the time they are retired. In most cases, 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 other asset, we will estimate the cost of performing the retirement activities and record a liability for the fair value of that future cost. We have other assets that we may be obligated to dismantle at the end of corresponding lease terms subject to lessor discretion for which we have recorded asset retirement obligations. Based on our estimates of the timing, cost and probability of removal, these obligations are not material. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill and other intangible assets are included in other long-term assets on our Consolidated Balance Sheets and are reviewed for impairment annually or more frequently if impairment conditions arise; and, if impaired, are written down to fair value. For goodwill, annual impairment testing occurs in our 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. See Note 6, Other Assets for more information on goodwill and other intangibles. We made acquisitions during the three years ended August 31, 2015 , which were accounted for using the acquisition method of accounting. Operating results of the acquisitions were included in our consolidated financial statements beginning on the respective acquisition dates. The respective purchase prices were preliminarily allocated to the assets, liabilities and identifiable intangible assets acquired based upon the acquisition-date fair values. Any excess purchase price over the fair values of the acquired net assets acquired is recognized as goodwill. See Note 17, Acquisitions for more information on acquisition activity. |
Revenue Recognition | Revenue Recognition We provide a wide variety of products and services, from 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, and ethanol production and marketing. 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 February 2015, the FASB issued ASU No. 2015-02, "Amendments to the Consolidation Analysis." ASU No. 2015-02 amended the process that a reporting entity must perform to determine whether it should consolidate certain types of legal entities. ASU No. 2015-02 is effective for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015. Early application is permitted. We are currently evaluating the impact the adoption will have on our consolidated financial statements in fiscal 2017. In November 2014, the FASB issued ASU No. 2014-16, "Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity." The amendments in this ASU do not change the current criteria in U.S. GAAP for determining when separation of certain embedded derivative features in a hybrid financial instrument is required. The amendments clarify that an entity should consider all relevant terms and features, including the embedded derivative feature being evaluated for bifurcation, in evaluating the nature of the host contract. The ASU applies to all entities that are issuers of, or investors in, hybrid financial instruments that are issued in the form of a share and is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. The adoption of ASU 2014-16 is not expected to have a material effect on our consolidated financial statements in fiscal 2017. In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers." ASU No. 2014-09 requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those good or services. The guidance also requires an entity to disclose sufficient qualitative and quantitative information surrounding the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts from customers. This ASU supersedes the revenue recognition requirements in Topic 605, Revenue Recognition and most industry-specific guidance throughout the Industry Topics of the Codification. In August 2015, the FASB issued ASU 2015-14 delaying the effective date for adoption. This update is now effective for annual and interim periods beginning after December 15, 2017, which will require us to adopt these provisions in the first quarter of fiscal 2019. Early application as of the original date is permitted. This update permits the use of either the full or modified retrospective method. We are evaluating the effect this guidance will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor have we determined the effect of the standard on our ongoing financial reporting. |
Fair Value Measurement, Policy | Fair Value Measurements ASC Topic 820, Fair Value Measurement defines fair value as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. We determine fair values of derivative instruments and certain other assets, based on the fair value hierarchy established in ASC Topic 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 Topic 820 describes three levels within its hierarchy that may be used to measure fair value, and our assessment of relevant instruments within those levels is 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 instruments, 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 interest rate, foreign exchange, and commodity swaps; forward commodity and freight purchase and sales contracts with a fixed price component; 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 tables present assets and liabilities, included on our Consolidated Balance Sheets, that are recognized at fair value on a recurring basis, and indicate the fair value hierarchy utilized to determine such fair values. 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. |
Derivatives (Policies)
Derivatives (Policies) | 12 Months Ended |
Aug. 31, 2015 | |
Derivatives Policy [Abstract] | |
Derivatives, Policy | Derivative Financial Instruments and Hedging Activities Our derivative instruments primarily consist of commodity and freight futures and forward contracts and, to a lesser degree, may include foreign currency and interest rate swap contracts. These contracts are economic hedges of price risk, but we do not apply hedge accounting under ASC Topic 815, Derivatives and Hedging , except with respect to certain interest rate swap contracts which are accounted for as cash flow hedges or fair value hedges. Derivative instruments are recorded on our Consolidated Balance Sheets at fair value. See Note 12, Derivative Financial Instruments and Hedging Activities and Note 13, Fair Value Measurements for additional information. Even though we have netting arrangements for our exchange-traded futures and options contracts and certain over-the-counter ("OTC") contracts, we report our derivatives on a gross basis on our Consolidated Balance Sheets. Our associated margin deposits are also reported on a gross basis. 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 we do not apply hedge accounting under ASC Topic 815, Derivatives and Hedging , except with respect to certain interest rate swap contracts which are accounted for as cash flow hedges or fair value hedges as described below. Derivative instruments are recorded on our Consolidated Balance Sheets at fair value as described in Note 13, Fair Value Measurements . The following tables present the gross fair values of derivative assets, derivative liabilities, and margin deposits (cash collateral) recorded on our Consolidated Balance Sheets along with the related amounts permitted to be offset in accordance with U.S. GAAP. We have elected not to offset derivative assets and liabilities when we have the right of offset under ASC Topic 210-20, Balance Sheet - Offsetting; or when the instruments are subject to master netting arrangements under ASC Topic 815-10-45, Derivatives and Hedging - Overall . August 31, 2015 Amounts Not Offset on the Consolidated Balance Sheet but Eligible for Offsetting Gross Amounts Recognized Cash Collateral Derivative Instruments Net Amounts (Dollars in thousands) Derivative Assets: Commodity and freight derivatives $ 476,071 $ — $ 58,401 $ 417,670 Foreign exchange derivatives 23,154 — 11,682 11,472 Interest rate derivatives - hedge 14,216 — — 14,216 Total $ 513,441 $ — $ 70,083 $ 443,358 Derivative Liabilities: Commodity and freight derivatives $ 427,052 $ 11,482 $ 58,401 $ 357,169 Foreign exchange derivatives 37,598 — 11,682 25,916 Interest rate derivatives - hedge 6,058 — — 6,058 Interest rate derivatives - non-hedge 61 — — 61 Total $ 470,769 $ 11,482 $ 70,083 $ 389,204 August 31, 2014 Amounts Not Offset on the Consolidated Balance Sheet but Eligible for Offsetting Gross Amounts Recognized Cash Collateral Derivative Instruments Net Amounts (Dollars in thousands) Derivative Assets: Commodity and freight derivatives $ 597,210 $ — $ 42,229 $ 554,981 Foreign exchange derivatives 2,523 — 1,174 1,349 Interest rate derivatives - hedge 4,200 — — 4,200 Total $ 603,933 $ — $ 43,403 $ 560,530 Derivative Liabilities: Commodity and freight derivatives $ 597,612 $ 2,504 $ 42,229 $ 552,879 Foreign exchange derivatives 2,248 — 1,174 1,074 Interest rate derivatives - non-hedge 130 — — 130 Total $ 599,990 $ 2,504 $ 43,403 $ 554,083 Derivatives Not Designated as Hedging Instruments The majority of our derivative instruments have not been designated as hedging instruments. The following table sets forth the pretax gains (losses) on derivatives not accounted for as hedging instruments that have been included in our Consolidated Statements of Operations for the years ended August 31, 2015 , 2014 , and 2013 . We have revised the information that we have historically included in this table below to correct for errors in the previously disclosed amounts. Although such gains and losses have been and continue to be appropriately recorded in the Consolidated Statements of Operations, the previous disclosures did not accurately reflect the derivative gains and losses in each period. These revisions did not materially impact our consolidated financial statements. Location of Gain (Loss) 2015 2014 2013 (Dollars in thousands) Commodity and freight derivatives Cost of goods sold $ 143,314 $ 128,992 $ (97,373 ) Foreign exchange derivatives Cost of goods sold 12,551 (5,926 ) 37,555 Interest rate derivatives Interest expense, net 107 114 300 Total $ 155,972 $ 123,180 $ (59,518 ) 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 fixed- or partially-fixed prices 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. As of August 31, 2015 and 2014, we had outstanding commodity and freight futures that were used as economic hedges, as well as fixed-price forward contracts related to physical purchases and sales of commodities. The table below presents the notional volumes for all outstanding commodity and freight contracts accounted for as derivative instruments. We have made revisions to the information that we have historically included in this table below to correct for errors in the previously disclosed amounts. We previously disclosed volume information for physically-settled forward purchase and sale contracts, including some contracts not accounted for as derivatives. As a result, we have corrected the derivative volume disclosure presented below to include information on the notional amounts for contracts accounted for as derivatives in accordance with ASC Topic 815, Derivatives and Hedging . These revisions did not materially impact our previously issued consolidated financial statements. 2015 2014 Long Short Long Short (Units in thousands) Grain and oilseed - bushels 711,066 895,326 655,799 802,479 Energy products - barrels 17,238 11,676 20,191 16,431 Soy products - tons 706 2,741 749 3,047 Crop nutrients - tons 48 116 59 126 Ocean and barge freight - metric tons 5,916 1,962 5,727 4,250 Rail freight - rail cars 297 122 364 186 Livestock - pounds 10,480 1,280 11,960 46,520 Foreign Exchange Contracts: We conduct a substantial portion of our business in U.S. dollars, but we are exposed to some risk relating to foreign currency fluctuations primarily due to grain marketing transactions in South America and Europe, and purchases of products from Canada. We use foreign currency derivative instruments to mitigate the impact of exchange rate fluctuations. Although our overall risk relating to foreign currency transactions is not significant, exchange rate 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. The notional amounts of our foreign exchange derivative contracts were $1.3 billion and $784.4 million as of August 31, 2015 and August 31, 2014 , respectively. Interest Rate Contracts: 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 $2.5 million expiring at various times through fiscal 2018, with $0.4 million of the notional amount expiring during fiscal 2016 . 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 expense, 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, 2015 was approximately 5.8% . Derivatives Designated as Cash Flow or Fair Value Hedging Strategies As of August 31, 2015 and 2014 , we have certain derivatives designated as cash flow and fair value hedges. Interest Rate Contracts: We have outstanding interest rate swaps with an aggregate notional amount of $420.0 million designated as fair value hedges of portions of our fixed-rate debt. Our objective in entering into these transactions is to offset changes in the fair value of the debt associated with the risk of variability in the 3-month U.S. dollar LIBOR interest rate, in essence converting the fixed-rate debt to variable-rate debt. Offsetting changes in the fair values of both the swap instruments and the hedged debt are recorded contemporaneously each period and only create an impact to earnings to the extent that the hedge is ineffective. During the years ended August 31, 2015 and 2014 , we recorded offsetting fair value adjustments of $8.0 million and $4.2 million , respectively, with no ineffectiveness recorded in earnings. We have outstanding interest rate swaps with an aggregate notional amount of $300.0 million designated as cash flow hedges of the expected variability of future interest payments on our anticipated issuance of fixed-rate debt. The swaps expire in fiscal 2016 with no material amounts expected to be included in earnings during the next 12 months. In fiscal 2013, we entered into derivative contracts designated as cash flow hedging instruments that were terminated in February 2014 as the issuance of the underlying debt was no longer probable. As a result, a $13.5 million gain was reclassified from accumulated other comprehensive loss into net income. This pre-tax gain is included as a component of interest expense, net in our Consolidated Statement of Operations for the year ended August 31, 2014. The following table presents the pretax gains (losses) recorded in other comprehensive income relating to cash flow hedges for the years ended August 31, 2015 , 2014 , and 2013 : 2015 2014 2013 (Dollars in thousands) Interest rate derivatives $ (4,078 ) $ (10,580 ) $ 24,135 The following table presents the pretax gains (losses) relating to cash flow hedges that were reclassified from accumulated other comprehensive loss into income for the years ended August 31, 2015 , 2014 , and 2013 : Location of Gain (Loss) 2015 2014 2013 (Dollars in thousands) Interest rate derivatives Interest expense, net $ (792 ) $ 12,727 $ (907 ) |
Receivables (Tables)
Receivables (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | Receivables as of August 31, 2015 and 2014 are as follows: 2015 2014 (Dollars in thousands) Trade accounts receivable $ 1,793,147 $ 2,153,929 CHS Capital short-term notes receivable 791,413 633,475 Other 339,995 304,798 2,924,555 3,092,202 Less allowances and reserves 106,445 103,639 Total receivables $ 2,818,110 $ 2,988,563 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current | Inventories as of August 31, 2015 and 2014 are as follows: 2015 2014 (Dollars in thousands) Grain and oilseed $ 966,923 $ 961,327 Energy 785,116 875,719 Crop nutrients 369,105 374,023 Feed and farm supplies 465,744 448,454 Processed grain and oilseed 48,078 84,498 Other 17,378 16,232 Total inventories $ 2,652,344 $ 2,760,253 |
Investments Equity method inves
Investments Equity method investments (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investments [Table Text Block] | The following tables provide aggregate summarized audited financial information for Ardent Mills (previously Horizon Milling), Ventura Foods and TEMCO including balance sheets as of August 31, 2015 and 2014 , and statements of operations for the twelve months ended August 31, 2015 , 2014 and 2013 : 2015 2014 (Dollars in thousands) Current assets $ 1,892,563 $ 1,765,992 Non-current assets 2,388,757 2,397,231 Current liabilities 968,104 838,031 Non-current liabilities 881,312 912,636 2015 2014 2013 (Dollars in thousands) Net sales $ 9,071,438 $ 8,796,648 $ 7,929,731 Gross profit 754,384 562,053 467,955 Net earnings 313,668 266,354 149,573 Earnings attributable to CHS Inc. 81,103 83,023 80,905 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | s of August 31, 2015 and 2014 , major classes of property, plant and equipment, which include capital lease assets, consisted of the amounts in the table below. We have revised prior period amounts in this table to include capital lease assets that were previously accounted for as operating leases. See Note 18, Correction of Immaterial Errors for more information on the nature and amounts of these revisions. 2015 2014 (Dollars in thousands) Land and land improvements $ 233,666 $ 212,609 Buildings 838,386 691,273 Machinery and equipment 5,563,370 4,792,352 Office and other 163,026 133,599 Construction in progress 1,337,633 1,018,011 8,136,081 6,847,844 Less accumulated depreciation and amortization 2,943,154 2,667,696 Total property, plant and equipment $ 5,192,927 $ 4,180,148 |
Schedule of Future Minimum Lease Payments for Capital Leases | The following is a schedule by fiscal years of future minimum lease payments under capital leases together with the present value of the net minimum lease payments as of August 31, 2015: (Dollars in thousands) 2016 $ 41,069 2017 34,924 2018 25,259 2019 14,281 2020 6,241 Thereafter 14,521 Total minimum future lease payments 136,295 Less amount representing interest 10,401 Present value of net minimum lease payments $ 125,894 |
Other Assets (Tables)
Other Assets (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Other Assets [Abstract] | |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | Intangible assets subject to amortization primarily include customer lists, trademarks and agreements not to compete, and are amortized over their respective useful lives (ranging from 2 to 30 years). Information regarding intangible assets included in other assets on our Consolidated Balance Sheets is as follows: August 31, 2015 August 31, 2014 Carrying Amount Accumulated Amortization Net Carrying Amount Accumulated Amortization Net (Dollars in thousands) Customer lists $ 70,925 $ (30,831 ) $ 40,094 $ 69,862 $ (26,114 ) $ 43,748 Trademarks and other intangible assets 42,688 (32,134 ) 10,554 41,293 (29,587 ) 11,706 Total intangible assets $ 113,613 $ (62,965 ) $ 50,648 $ 111,155 $ (55,701 ) $ 55,454 |
Schedule of Other Assets | Other assets as of August 31, 2015 and 2014 are as follows: 2015 2014 (Dollars in thousands) Goodwill $ 150,115 $ 158,696 Customer lists, trademarks and other intangible assets 50,648 55,454 Notes receivable 197,067 166,901 Long-term receivable 35,191 40,718 Prepaid pension and other benefits 138,497 186,342 Capitalized major maintenance 241,588 67,643 Other 211,378 119,325 $ 1,024,484 $ 795,079 |
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 $ 7,086 Year 2 5,558 Year 3 4,290 Year 4 3,808 Year 5 3,460 Thereafter 26,350 Total $ 50,552 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure | capitalized major maintenance costs is summarized below: Balance at Cost Amortization Balance at (Dollars in thousands) 2015 $ 67,643 $ 219,898 $ (45,953 ) $ 241,588 2014 109,408 3,305 (45,070 ) 67,643 2013 70,554 73,701 (34,847 ) 109,408 |
Schedule of Goodwill [Table Text Block] | Changes in the net carrying amount of goodwill for the year ended August 31, 2015 , by segment, are as follows: Energy Ag Corporate Total (Dollars in thousands) Balances, August 31, 2013 $ 552 $ 77,613 $ 6,898 $ 85,063 Goodwill acquired during the period — 72,913 — 72,913 Effect of foreign currency translation adjustments — 720 — 720 Balances, August 31, 2014 $ 552 $ 151,246 $ 6,898 $ 158,696 Goodwill acquired during the period (1) — (3,283 ) — (3,283 ) Effect of foreign currency translation adjustments — (5,298 ) — (5,298 ) Balances, August 31, 2015 $ 552 $ 142,665 $ 6,898 $ 150,115 (1) Includes measurement period adjustments related to current and prior year acquisitions. Goodwill acquired during the period was $0.4 million . |
Notes Payable and Long-Term D33
Notes Payable and Long-Term Debt (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Short-term Debt [Table Text Block] | Weighted-average Interest Rate 2015 2014 2015 2014 (Dollars in thousands) Notes payable (a) 2.33% 1.69% $ 813,717 $ 840,699 CHS Capital notes payable (b) 1.05% 1.07% 351,661 318,774 Total notes payable $ 1,165,378 $ 1,159,473 |
Schedule of Long-term Debt Instruments | Amounts included in long-term debt on our Consolidated Balance Sheets as of August 31, 2015 and 2014 are presented in the table below. We have revised prior period amounts in this table to include capital lease obligations that were previously accounted for as operating leases. See Note 18, Correction of Immaterial Errors for more information on the nature and amounts of these revisions. 2015 2014 (Dollars in thousands) 5.59% unsecured revolving term loans from cooperative and other banks, due in equal installments beginning in 2013 through 2018 $ 75,000 $ 105,000 6.18% unsecured notes $400 million face amount, due in equal installments beginning in 2014 through 2018 240,000 320,000 5.60% unsecured notes $60 million face amount, due in equal installments beginning in 2012 through 2018 23,077 32,308 5.25% unsecured notes $125 million face amount, due in equal installments beginning in 2011 through 2015 — 25,000 5.78% unsecured notes $50 million face amount, due in equal installments beginning in 2014 through 2018 30,000 40,000 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 (a) 132,161 130,840 4.52% unsecured notes $160 million face amount, due in 2021 (a) 164,654 160,000 4.67% unsecured notes $130 million face amount, due in 2023 (a) 135,422 133,360 3.85% unsecured notes $80 million face amount, due in 2025 80,000 80,000 3.80% unsecured notes $100 million face amount, due in 2025 100,000 100,000 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 100,000 100,000 Other notes and contracts with interest rates from 1.30% to 15.25% (b) 44,909 43,751 Capital lease obligations 125,894 155,366 Total long-term debt 1,431,117 1,605,625 Less current portion 170,309 201,965 Long-term portion $ 1,260,808 $ 1,403,660 _______________________________________ (a) We have entered into interest rate swaps designated as fair value hedging relationships with these notes. Changes in the fair value of the swaps are recorded each period with a corresponding adjustment to the carrying value of the debt. See Note 12, Derivative Financial Instruments and Hedging Activities for more information. (b) Other notes and contracts payable of $0.5 million were collateralized on August 31, 2015 . |
Schedule of Maturities of Long-Term Debt | Long-term debt outstanding as of August 31, 2015 has aggregate maturities, excluding fair value adjustments and capital leases (see Note 5, Property, Plant and Equipment for a schedule of minimum future lease payments under capital leases), as follows: (Dollars in thousands) 2016 $ 129,994 2017 149,932 2018 161,596 2019 150,098 2020 31,340 Thereafter 670,400 Total $ 1,293,360 |
Schedule of Interest,Net | The following table presents the components of interest expense, net for the years ended August 31, 2015 , 2014 and 2013 . We have revised prior period amounts in this table to include interest expense related to capital lease obligations that were previously accounted for as operating leases. See Note 18, Correction of Immaterial Errors for more information on the nature and amounts of these revisions. 2015 2014 2013 (Dollars in thousands) Interest expense $ 93,152 $ 84,925 $ 104,403 Interest - purchase of CHS McPherson noncontrolling interests 34,810 70,843 149,087 Capitalized interest (57,303 ) (8,528 ) (10,579 ) Interest income (10,326 ) (6,987 ) (6,212 ) Interest expense, net $ 60,333 $ 140,253 $ 236,699 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Income Tax Disclosure [Abstract] | ||
Schedule of components of income tax expense (benefit) | The provision for income taxes for the years ended August 31, 2015 , 2014 and 2013 is as follows: 2015 2014 2013 (Dollars in thousands) Current: Federal $ (47,695 ) $ 38,653 $ (18,018 ) State 3,891 31,203 11,805 Foreign 1,335 2,837 3,162 (42,469 ) 72,693 (3,051 ) Deferred: Federal 29,348 (23,444 ) 92,102 State (2,799 ) (1,893 ) 1,685 Foreign 3,755 940 (1,070 ) 30,304 (24,397 ) 92,717 Total $ (12,165 ) $ 48,296 $ 89,666 | |
Schedule of deferred tax assets and liabilities | Deferred tax assets and liabilities as of August 31, 2015 and 2014 were as follows: 2015 2014 (Dollars in thousands) Deferred tax assets: Accrued expenses $ 96,270 $ 76,255 Postretirement health care and deferred compensation 89,934 83,346 Tax credit carryforwards 109,756 70,881 Loss carryforwards 85,860 53,793 Other 68,625 52,956 Deferred tax assets valuation (98,024 ) (111,509 ) Total deferred tax assets 352,421 225,722 Deferred tax liabilities: Pension 20,732 12,855 Investments 98,291 88,425 Major maintenance 36,135 26,020 Property, plant and equipment 654,057 576,007 Other 25,836 — Total deferred tax liabilities 835,051 703,307 Net deferred tax liabilities $ 482,630 $ 477,585 | |
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, 2015 , 2014 and 2013 is as follows: 2015 2014 2013 Statutory federal income tax rate 35.0 % 35.0 % 35.0 % State and local income taxes, net of federal income tax benefit (0.5 ) 1.6 0.9 Patronage earnings (29.0 ) (20.5 ) (22.9 ) Domestic production activities deduction (5.6 ) (10.0 ) (8.5 ) Export activities at rates other than the U.S. statutory rate (0.2 ) 1.2 0.6 Valuation allowance (0.1 ) 1.7 2.3 Tax credits (0.8 ) (3.1 ) (0.5 ) Non-controlling interests — — (0.1 ) Other (0.4 ) (1.6 ) 1.5 Effective tax rate (1.6 )% 4.3 % 8.3 % | |
Schedule of unrecognized tax benefits roll forward | econciliation of the gross beginning and ending amounts of unrecognized tax benefits for the periods presented follows: 2015 2014 2013 (Dollars in thousands) Balance at beginning of period $ 72,181 $ 67,271 $ 67,271 Additions attributable to prior year tax positions — 35,718 — Reductions attributable to prior year tax positions — (9,867 ) — Reductions attributable to statute expiration — (20,941 ) — Balance at end of period $ 72,181 $ 72,181 $ 67,271 |
Equities (Tables)
Equities (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Changes in accumulated other comprehensive income (loss) by component, net of tax, for the years ended August 31, 2015 , 2014 and 2013 are as follows: Pension and Other Postretirement Benefits Unrealized Net Gain on Available for Sale Investments Cash Flow Hedges Foreign Currency Translation Adjustment Total (Dollars in thousands) Balance as of August 31, 2012 $ (228,727 ) $ 1,391 $ (3,806 ) $ (1,445 ) $ (232,587 ) Current period other comprehensive income (loss), net of tax 46,471 979 15,491 (3,866 ) 59,075 Amounts reclassified from accumulated other comprehensive income (loss), net of tax 16,645 — — — 16,645 Net other comprehensive income (loss), net of tax 63,116 979 15,491 (3,866 ) 75,720 Balance as of August 31, 2013 (165,611 ) 2,370 11,685 (5,311 ) (156,867 ) Current period other comprehensive income (loss), net of tax (90 ) 2,028 (6,011 ) (1,957 ) (6,030 ) Amounts reclassified from accumulated other comprehensive income (loss), net of tax 13,849 — (8,396 ) 687 6,140 Net other comprehensive income (loss), net of tax 13,759 2,028 (14,407 ) (1,270 ) 110 Balance as of August 31, 2014 (151,852 ) 4,398 (2,722 ) (6,581 ) (156,757 ) Current period other comprehensive income (loss), net of tax (33,238 ) (242 ) (3,394 ) (34,729 ) (71,603 ) Amounts reclassified from accumulated other comprehensive income (loss), net of tax 13,361 — 792 — 14,153 Net other comprehensive income (loss), net of tax (19,877 ) (242 ) (2,602 ) (34,729 ) (57,450 ) Balance as of August 31, 2015 $ (171,729 ) $ 4,156 $ (5,324 ) $ (41,310 ) $ (214,207 ) |
Equities schedule of stock (Tab
Equities schedule of stock (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Class of Stock [Line Items] | |
Schedule of Stock by Class [Table Text Block] | The following is a summary of our outstanding preferred stock as of August 31, 2015 , all of which are listed on the Global Select Market of NASDAQ: NASDAQ symbol Issuance date Shares outstanding Redemption value Net proceeds Dividend rate Dividend payment frequency Redeemable beginning (a) (Dollars in millions) 8% Cumulative Redeemable CHSCP (b) 12,272,003 $ 306.8 $ 311.2 8 % Quarterly 7/18/2023 Class B Cumulative Redeemable Series 1 CHSCO (c) 18,071,363 $ 451.8 $ 472.8 7.875 % Quarterly 9/26/2023 Class B Reset Rate Cumulative Redeemable Series 2 CHSCN 3/11/2014 16,800,000 $ 420.0 $ 406.2 (d) Quarterly 3/31/2024 Class B Reset Rate Cumulative Redeemable Series 3 CHSCM 9/15/2014 19,700,000 $ 492.5 $ 476.7 (e) Quarterly 9/30/2024 Class B Cumulative Redeemable Series 4 CHSCL 1/21/2015 20,700,000 $ 517.5 $ 501.0 7.5 % Quarterly 1/21/2025 |
Benefit Plans (Tables)
Benefit Plans (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Schedule of defined benefit plans disclosures | Financial information on changes in benefit obligation, plan assets funded and balance sheets status as of August 31, 2015 and 2014 is as follows: Qualified Pension Benefits Non-Qualified Pension Benefits Other Benefits 2015 2014 2015 2014 2015 2014 (Dollars in thousands) Change in benefit obligation: Benefit obligation at beginning of period $ 720,893 $ 641,284 $ 37,983 $ 36,225 $ 44,318 $ 45,542 Service cost 36,006 30,417 875 860 1,513 1,729 Interest cost 28,046 29,900 1,414 1,660 1,489 1,918 Actuarial (gain) loss 20,993 1,973 393 393 1,563 (4,135 ) Assumption change (16,297 ) 57,406 (1,082 ) 2,421 (5,136 ) 1,425 Plan amendments — 647 — — — — Settlements — — (5,715 ) — — — Benefits paid (58,846 ) (40,734 ) (684 ) (3,576 ) (1,750 ) (2,161 ) Benefit obligation at end of period $ 730,795 $ 720,893 $ 33,184 $ 37,983 $ 41,997 $ 44,318 Change in plan assets: Fair value of plan assets at beginning of period $ 822,125 $ 730,628 $ — $ — $ — $ — Actual gain (loss) on plan assets (6,065 ) 106,531 — — — — Company contributions 39,165 25,700 6,399 3,576 1,750 2,161 Settlements — — (5,715 ) — — — Benefits paid (58,846 ) (40,734 ) (684 ) (3,576 ) (1,750 ) (2,161 ) Fair value of plan assets at end of period $ 796,379 $ 822,125 $ — $ — $ — $ — Funded status at end of period $ 65,584 $ 101,232 $ (33,184 ) $ (37,983 ) $ (41,997 ) $ (44,318 ) Amounts recognized on balance sheet: Non-current assets $ 65,927 $ 103,125 $ — $ — $ — $ — Accrued benefit cost: Current liabilities — — (1,752 ) (3,222 ) (2,708 ) (2,787 ) Non-current liabilities (343 ) (1,893 ) (31,432 ) (34,761 ) (39,289 ) (41,531 ) Ending balance $ 65,584 $ 101,232 $ (33,184 ) $ (37,983 ) $ (41,997 ) $ (44,318 ) Amounts recognized in accumulated other comprehensive loss (pretax): Prior service cost (credit) $ 5,217 $ 6,848 $ 631 $ 859 $ (472 ) $ (592 ) Net (gain) loss 276,450 235,564 9,161 12,542 (10,409 ) (7,573 ) Ending balance $ 281,667 $ 242,412 $ 9,792 $ 13,401 $ (10,881 ) $ (8,165 ) |
Schedule of net benefit costs of assumptions used | Components of net periodic benefit costs for the years ended August 31, 2015 , 2014 and 2013 are as follows: Qualified Pension Benefits Non-Qualified Pension Benefits Other Benefits 2015 2014 2013 2015 2014 2013 2015 2014 2013 (Dollars in thousands) Components of net periodic benefit costs: Service cost $ 36,006 $ 30,417 $ 31,387 $ 875 $ 860 $ 721 $ 1,513 $ 1,729 $ 2,936 Interest cost 28,046 29,900 25,445 1,414 1,660 1,316 1,489 1,918 2,275 Expected return on assets (49,746 ) (47,655 ) (49,728 ) — — — — — — Settlement of retiree obligations — — — 1,635 — — — — — Prior service cost (credit) amortization 1,631 1,593 1,597 228 229 228 (426 ) (493 ) (120 ) Actuarial loss amortization 19,621 18,228 22,615 1,058 957 921 (431 ) (180 ) 1,104 Transition amount amortization — — — — — — — — 562 Net periodic benefit cost $ 35,558 $ 32,483 $ 31,316 $ 5,210 $ 3,706 $ 3,186 $ 2,145 $ 2,974 $ 6,757 Weighted-average assumptions to determine the net periodic benefit cost: Discount rate 4.00 % 4.80 % 3.80 % 4.00 % 4.50 % 4.25 % 4.20 % 3.75 % 3.75 % Expected return on plan assets 6.50 % 6.75 % 7.25 % N/A N/A N/A N/A N/A N/A Rate of compensation increase 4.90 % 4.85 % 4.50 % 5.15 % 4.75 % 4.75 % N/A N/A N/A Weighted-average assumptions to determine the benefit obligations: Discount rate 4.20 % 4.00 % 4.80 % 4.50 % 4.50 % 4.50 % 3.75 % 4.60 % 3.75 % Rate of compensation increase 4.90 % 4.90 % 4.85 % 4.80 % 4.80 % 4.75 % N/A N/A N/A |
Schedule of amounts in accumulated other comprehensive income (loss) to be recognized over next fiscal year | The estimated amortization in fiscal 2016 from accumulated other comprehensive loss into net periodic benefit cost is as follows: Qualified Pension Benefits Non-Qualified Pension Benefits Other Benefits (Dollars in thousands) Amortization of prior service cost (benefit) $ 1,626 $ 228 $ (120 ) Amortization of net actuarial (gain) loss 19,017 692 (464 ) |
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 $ 500 $ (380 ) Effect on postretirement benefit obligation 3,600 (3,200 ) |
Schedule of expected benefit payments | retiree benefit payments which reflect expected future service are anticipated to be paid as follows: Qualified Pension Benefits Non-Qualified Pension Benefits Other Benefits Gross (Dollars in thousands) 2016 $ 37,593 $ 1,753 $ 2,708 2017 48,935 2,292 2,781 2018 52,646 1,981 2,909 2019 52,565 2,552 3,017 2020 55,026 2,939 3,175 2021-2025 307,130 23,288 16,831 |
Schedule of defined benefit plans, fair value disclosure | pension plans’ recurring fair value measurements by asset category at August 31, 2015 and 2014 are presented in the tables below: 2015 Level 1 Level 2 Level 3 Total (Dollars in thousands) Cash and cash equivalents $ 4,882 $ — $ — $ 4,882 Equities: Mutual funds 91,619 — — 91,619 Common/collective trust at net asset value (1) — — — 194,463 Fixed income securities: Mutual funds 133,556 20,560 — 154,116 Common/collective trust at net asset value (1) — — — 296,684 Partnership and joint venture interests measured at net asset value (1) — — — 52,640 Other assets measured at net asset value (1) — — — 1,975 Total $ 230,057 $ 20,560 $ — $ 796,379 2014 Level 1 Level 2 Level 3 Total (Dollars in thousands) Cash and cash equivalents $ 4,218 $ — $ — $ 4,218 Equities: Mutual funds 84,830 18,085 — 102,915 Common/collective trust at net asset value (1) — — — 48,400 Fixed income securities: Mutual funds 138,458 8,726 — 147,184 Common/collective trust at net asset value (1) — — — 479,800 Partnership and joint venture interests measured at net asset value (1) — — — 37,649 Other assets measured at net asset value (1) — — — 1,959 Total $ 227,506 $ 26,811 $ — $ 822,125 |
Schedule of multiemployer plans | participation in the Co-op Plan for the years ended August 31, 2015 , 2014 , and 2013 is outlined in the table below: Contributions of CHS (Dollars in thousands) Plan Name EIN/Plan Number 2015 2014 2013 Surcharge Imposed Expiration Date of Collective Bargaining Agreement Co-op Retirement Plan 01-0689331 / 001 $ 2,021 $ 2,079 $ 2,095 N/A N/A |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Energy Ag Corporate Reconciling Total (Dollars in thousands) For the year ended August 31, 2015: Revenues $ 8,694,326 $ 26,311,350 $ 74,828 $ (498,062 ) $ 34,582,442 Operating earnings 523,451 190,860 1,101 — 715,412 (Gain) loss on investments — (2,875 ) (2,364 ) — (5,239 ) Interest expense, net (12,350 ) 56,380 16,303 — 60,333 Equity (income) loss from investments (2,330 ) (12,293 ) (93,227 ) — (107,850 ) Income before income taxes $ 538,131 $ 149,648 $ 80,389 $ — $ 768,168 Intersegment revenues $ (483,989 ) $ (11,403 ) $ (2,670 ) $ 498,062 $ — Capital expenditures $ 696,825 $ 417,950 $ 72,015 $ — $ 1,186,790 Depreciation and amortization $ 148,292 $ 192,438 $ 14,692 $ — $ 355,422 Total assets as of August 31, 2015 $ 4,624,471 $ 7,814,689 $ 2,789,152 $ — $ 15,228,312 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, 2015 , 2014 and 2013 is presented in the tables below. We have revised prior period amounts in these tables to include activity and amounts related to capital leases that were previously accounted for as operating leases. See Note 18, Correction of Immaterial Errors for more information on the nature and amounts of these revisions. Energy Ag Corporate Reconciling Total (Dollars in thousands) For the year ended August 31, 2015: Revenues $ 8,694,326 $ 26,311,350 $ 74,828 $ (498,062 ) $ 34,582,442 Operating earnings 523,451 190,860 1,101 — 715,412 (Gain) loss on investments — (2,875 ) (2,364 ) — (5,239 ) Interest expense, net (12,350 ) 56,380 16,303 — 60,333 Equity (income) loss from investments (2,330 ) (12,293 ) (93,227 ) — (107,850 ) Income before income taxes $ 538,131 $ 149,648 $ 80,389 $ — $ 768,168 Intersegment revenues $ (483,989 ) $ (11,403 ) $ (2,670 ) $ 498,062 $ — Capital expenditures $ 696,825 $ 417,950 $ 72,015 $ — $ 1,186,790 Depreciation and amortization $ 148,292 $ 192,438 $ 14,692 $ — $ 355,422 Total assets as of August 31, 2015 $ 4,624,471 $ 7,814,689 $ 2,789,152 $ — $ 15,228,312 Energy Ag Corporate Reconciling Total (Dollars in thousands) For the year ended August 31, 2014: Revenues $ 12,181,212 $ 31,022,507 $ 73,827 $ (613,513 ) $ 42,664,033 Operating earnings 793,924 249,944 6,080 — 1,049,948 (Gain) loss on investments — (1,949 ) (112,213 ) — (114,162 ) Interest expense, net 69,522 60,742 9,989 — 140,253 Equity (income) loss from investments (4,014 ) (22,279 ) (81,153 ) — (107,446 ) Income before income taxes $ 728,416 $ 213,430 $ 189,457 $ — $ 1,131,303 Intersegment revenues $ (600,433 ) $ (9,960 ) $ (3,120 ) $ 613,513 $ — Capital expenditures $ 539,170 $ 329,613 $ 50,293 $ — $ 919,076 Depreciation and amortization $ 137,408 $ 157,102 $ 11,737 $ — $ 306,247 Total assets as of August 31, 2014 $ 4,457,563 $ 6,949,617 $ 3,888,924 $ — $ 15,296,104 Energy Ag Corporate Reconciling Total For the year ended August 31, 2013: Revenues $ 11,431,423 $ 33,471,977 $ 71,596 $ (495,139 ) $ 44,479,857 Operating earnings 958,468 263,757 2,936 — 1,225,161 (Gain) loss on investments — (27 ) (155 ) — (182 ) Interest expense, net 148,931 76,138 11,630 — 236,699 Equity (income) loss from investments (1,357 ) (15,194 ) (80,799 ) — (97,350 ) Income before income taxes $ 810,894 $ 202,840 $ 72,260 $ — $ 1,085,994 Intersegment revenues $ (481,465 ) $ (11,316 ) $ (2,358 ) $ 495,139 $ — Capital expenditures $ 429,230 $ 183,619 $ 7,034 $ — $ 619,883 Depreciation and amortization $ 123,898 $ 136,556 $ 16,126 $ — $ 276,580 |
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area | years ended August 31, 2015 , 2014 and 2013 : 2015 2014 2013 (Dollars in millions) North America $ 27,489 $ 37,947 $ 39,918 South America 1,508 2,119 2,511 Europe, the Middle East and Africa (EMEA) 4,210 1,594 1,040 Asia Pacific (APAC) 1,008 642 680 Global service revenue 367 362 331 $ 34,582 $ 42,664 $ 44,480 |
Derivatives (Tables)
Derivatives (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Derivatives Policy [Abstract] | |
Schedule of Derivative Instruments, Purchase and Sales Contracts [Table Text Block] | 2015 2014 Long Short Long Short (Units in thousands) Grain and oilseed - bushels 711,066 895,326 655,799 802,479 Energy products - barrels 17,238 11,676 20,191 16,431 Soy products - tons 706 2,741 749 3,047 Crop nutrients - tons 48 116 59 126 Ocean and barge freight - metric tons 5,916 1,962 5,727 4,250 Rail freight - rail cars 297 122 364 186 Livestock - pounds 10,480 1,280 11,960 46,520 |
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block] | Derivatives Not Designated as Hedging Instruments The majority of our derivative instruments have not been designated as hedging instruments. The following table sets forth the pretax gains (losses) on derivatives not accounted for as hedging instruments that have been included in our Consolidated Statements of Operations for the years ended August 31, 2015 , 2014 , and 2013 . We have revised the information that we have historically included in this table below to correct for errors in the previously disclosed amounts. Although such gains and losses have been and continue to be appropriately recorded in the Consolidated Statements of Operations, the previous disclosures did not accurately reflect the derivative gains and losses in each period. These revisions did not materially impact our consolidated financial statements. Location of Gain (Loss) 2015 2014 2013 (Dollars in thousands) Commodity and freight derivatives Cost of goods sold $ 143,314 $ 128,992 $ (97,373 ) Foreign exchange derivatives Cost of goods sold 12,551 (5,926 ) 37,555 Interest rate derivatives Interest expense, net 107 114 300 Total $ 155,972 $ 123,180 $ (59,518 ) |
Schedule of Derivative Instruments [Table Text Block] | The following tables present the gross fair values of derivative assets, derivative liabilities, and margin deposits (cash collateral) recorded on our Consolidated Balance Sheets along with the related amounts permitted to be offset in accordance with U.S. GAAP. We have elected not to offset derivative assets and liabilities when we have the right of offset under ASC Topic 210-20, Balance Sheet - Offsetting; or when the instruments are subject to master netting arrangements under ASC Topic 815-10-45, Derivatives and Hedging - Overall . August 31, 2015 Amounts Not Offset on the Consolidated Balance Sheet but Eligible for Offsetting Gross Amounts Recognized Cash Collateral Derivative Instruments Net Amounts (Dollars in thousands) Derivative Assets: Commodity and freight derivatives $ 476,071 $ — $ 58,401 $ 417,670 Foreign exchange derivatives 23,154 — 11,682 11,472 Interest rate derivatives - hedge 14,216 — — 14,216 Total $ 513,441 $ — $ 70,083 $ 443,358 Derivative Liabilities: Commodity and freight derivatives $ 427,052 $ 11,482 $ 58,401 $ 357,169 Foreign exchange derivatives 37,598 — 11,682 25,916 Interest rate derivatives - hedge 6,058 — — 6,058 Interest rate derivatives - non-hedge 61 — — 61 Total $ 470,769 $ 11,482 $ 70,083 $ 389,204 August 31, 2014 Amounts Not Offset on the Consolidated Balance Sheet but Eligible for Offsetting Gross Amounts Recognized Cash Collateral Derivative Instruments Net Amounts (Dollars in thousands) Derivative Assets: Commodity and freight derivatives $ 597,210 $ — $ 42,229 $ 554,981 Foreign exchange derivatives 2,523 — 1,174 1,349 Interest rate derivatives - hedge 4,200 — — 4,200 Total $ 603,933 $ — $ 43,403 $ 560,530 Derivative Liabilities: Commodity and freight derivatives $ 597,612 $ 2,504 $ 42,229 $ 552,879 Foreign exchange derivatives 2,248 — 1,174 1,074 Interest rate derivatives - non-hedge 130 — — 130 Total $ 599,990 $ 2,504 $ 43,403 $ 554,083 |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) [Table Text Block] | The following table presents the pretax gains (losses) recorded in other comprehensive income relating to cash flow hedges for the years ended August 31, 2015 , 2014 , and 2013 : 2015 2014 2013 (Dollars in thousands) Interest rate derivatives $ (4,078 ) $ (10,580 ) $ 24,135 The following table presents the pretax gains (losses) relating to cash flow hedges that were reclassified from accumulated other comprehensive loss into income for the years ended August 31, 2015 , 2014 , and 2013 : Location of Gain (Loss) 2015 2014 2013 (Dollars in thousands) Interest rate derivatives Interest expense, net $ (792 ) $ 12,727 $ (907 ) |
Derivatives Derivative effects
Derivatives Derivative effects on OCI (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) [Table Text Block] | The following table presents the pretax gains (losses) recorded in other comprehensive income relating to cash flow hedges for the years ended August 31, 2015 , 2014 , and 2013 : 2015 2014 2013 (Dollars in thousands) Interest rate derivatives $ (4,078 ) $ (10,580 ) $ 24,135 The following table presents the pretax gains (losses) relating to cash flow hedges that were reclassified from accumulated other comprehensive loss into income for the years ended August 31, 2015 , 2014 , and 2013 : Location of Gain (Loss) 2015 2014 2013 (Dollars in thousands) Interest rate derivatives Interest expense, net $ (792 ) $ 12,727 $ (907 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements, Recurring and Nonrecurring | air value measurements at August 31, 2015 and 2014 are as follows: 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (Dollars in thousands) Assets: Commodity and freight derivatives $ 46,976 $ 429,094 $ — $ 476,070 Interest rate swap derivatives — 14,216 — 14,216 Foreign currency derivatives — 23,155 — 23,155 Deferred compensation assets 72,571 — — 72,571 Other assets 10,905 — — 10,905 $ 130,452 $ 466,465 $ — $ 596,917 Liabilities: Commodity and freight derivatives $ 58,873 $ 368,179 $ — $ 427,052 Interest rate swap derivatives — 6,119 — 6,119 Foreign currency derivatives — 37,598 — 37,598 Accrued liability for contingent crack spread payments — — 75,982 75,982 $ 58,873 $ 411,896 $ 75,982 $ 546,751 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (Dollars in thousands) Assets: Commodity and freight derivatives $ 78,590 $ 518,620 $ — $ 597,210 Interest rate swap derivatives — 4,200 — 4,200 Foreign currency derivatives 2,523 — — 2,523 Deferred compensation assets 83,217 — — 83,217 Other assets 8,778 — — 8,778 $ 173,108 $ 522,820 $ — $ 695,928 Liabilities: Commodity and freight derivatives $ 117,690 $ 479,922 $ — $ 597,612 Interest rate swap derivatives — 130 — 130 Foreign currency derivatives 2,248 — — 2,248 Accrued liability for contingent crack spread payments — — 114,917 114,917 $ 119,938 $ 480,052 $ 114,917 $ 714,907 |
Fair Value Inputs, Liabilities, Quantitative Information | Quantitative Information about Level 3 Fair Value Measurements Fair Value Range Item August 31, 2015 Valuation Technique Unobservable Input (Weighted Average) (Dollars in thousands) Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests $75,982 Adjusted Black-Scholes option pricing model Forward crack spread margin on August 31, 2015 (a) $12.99-$24.33 ($19.67) Contractual target crack spread margin (b) $17.50 Expected volatility (c) 159.05% Risk-free interest rate (d) 0.48-0.94% (0.67%) Expected life - years (e) 1.00-2.00 (1.41) (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, 2015 and 2014 : Level 3 Liabilities Accrued Liability for Contingent Crack Spread Payments Related to Purchase of Noncontrolling Interests 2015 2014 (Dollars in thousands) Balance - beginning of year $ 114,917 $ 134,134 Amounts currently payable (2,625 ) — Total (gains) losses included in cost of goods sold (36,310 ) (19,217 ) Balance - end of year $ 75,982 $ 114,917 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future minimum rental payments for operating leases | (Dollars in thousands) 2016 $ 54,188 2017 43,748 2018 36,004 2019 28,433 2020 20,968 Thereafter 66,399 Total minimum future lease payments $ 249,740 |
Unrecorded unconditional purchase obligations disclosure | e as follows: Payments Due by Period Total Less than 1 - 3 3 - 5 More than (Dollars in thousands) Long-term unconditional purchase obligations $ 815,179 $ 62,585 $ 111,905 $ 109,712 $ 530,977 |
Supplemental Cash Flow and Ot43
Supplemental Cash Flow and Other Information (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
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, 2015 , 2014 and 2013 is included in the table below. We have revised certain prior period amounts in the table related to interest, capital expenditures and capital leases. See Note 18, Correction of Immaterial Errors for more information on the nature and amounts of these revisions. 2015 2014 2013 (Dollars in thousands) Net cash paid during the period for: Interest $ 130,571 $ 166,524 $ 261,670 Income taxes 54,229 23,363 23,228 Other significant noncash investing and financing transactions: Capital expenditures and major repairs incurred but not yet paid (1) 60,226 64,825 39,638 Capital lease obligations incurred 9,741 62,425 71,296 Capital equity certificates redeemed with preferred stock — 200,000 — Capital equity certificates issued in exchange for Ag acquisitions 15,618 14,278 18,211 Accrual of dividends and equities payable 384,427 409,961 390,153 Assets contributed to Ardent Mills joint venture — 205,040 — |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | Related party transactions with equity investees for the years ended August 31, 2015 , 2014 and 2013 , respectively, and balances as of August 31, 2015 and 2014 , respectively, are as follows: 2015 2014 2013 (Dollars in thousands) Sales $ 2,310,875 $ 3,247,197 $ 2,963,468 Purchases 1,762,663 1,648,030 1,535,176 2015 2014 (Dollars in thousands) Due from related parties $ 73,000 $ 16,737 Due to related parties 6,656 43,361 |
Acquisitions Preliminary alloca
Acquisitions Preliminary allocation of consideration (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Business Acquisition [Line Items] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The preliminary allocation of consideration for net assets acquired in our aggregate acquisitions during the year ended August 31, 2015 is summarized as follows: (Dollars in thousands) Current assets $ 60,577 Property, plant and equipment 312,288 Goodwill 423 Other assets 16,118 Current liabilities (60,127 ) Other liabilities (8,261 ) Total net assets acquired $ 321,018 |
Correction of Immaterial Error
Correction of Immaterial Error (Tables) | 12 Months Ended |
Aug. 31, 2015 | |
Accounting Changes and Error Corrections [Abstract] | |
Schedule of Error Corrections and Prior Period Adjustments [Table Text Block] | The following are selected line items from our consolidated financial statements illustrating the effects of these revisions: CONSOLIDATED BALANCE SHEET August 31 2014 As Previously Reported Revision As Revised (Dollars in thousands) ASSETS Property, plant and equipment $ 4,031,023 $ 149,125 $ 4,180,148 Total assets 15,146,979 149,125 15,296,104 LIABILITIES AND EQUITIES Current portion of long-term debt 156,836 45,129 201,965 Total current liabilities 6,184,009 45,129 6,229,138 Long-term debt 1,299,664 103,996 1,403,660 Total liabilities and equities 15,146,979 149,125 15,296,104 CONSOLIDATED STATEMENTS OF OPERATIONS For the Years Ended August 31 2014 2013 As Previously Reported Revision As Revised As Previously Reported Revision As Revised (Dollars in thousands) Cost of goods sold $ 41,016,798 $ (5,311 ) $ 41,011,487 $ 42,706,205 $ (5,132 ) $ 42,701,073 Gross profit 1,647,235 5,311 1,652,546 1,773,652 5,132 1,778,784 Operating earnings 1,044,637 5,311 1,049,948 1,220,029 5,132 1,225,161 Interest expense, net 134,942 5,311 140,253 231,567 5,132 236,699 Income before income taxes 1,131,303 — 1,131,303 1,085,994 — 1,085,994 CONSOLIDATED STATEMENTS OF CASH FLOWS For the Years Ended August 31 2014 2013 As Previously Reported Revision As Revised As Previously Reported Revision As Revised (Dollars in thousands) Cash flows from operating activities: Depreciation and amortization 267,167 39,080 306,247 241,791 34,789 276,580 Changes in operating assets and liabilities, excluding the effects of acquisitions: Accounts payable and accrued expenses (164,616 ) (25,187 ) (189,803 ) 52,897 (39,639 ) 13,258 Net cash provided by (used in) operating activities 1,427,351 13,893 1,441,244 2,477,800 (4,850 ) 2,472,950 Cash flows from investing activities: Acquisition of property, plant and equipment (943,888 ) 24,812 (919,076 ) (659,373 ) 39,490 (619,883 ) Expenditures for major repairs (3,305 ) 375 (2,930 ) (73,701 ) 149 (73,552 ) Net cash provided by (used in) investing activities (1,341,582 ) 25,187 (1,316,395 ) (534,958 ) 39,639 (495,319 ) Cash flows from financing activities: Principal payments on capital lease obligations — (39,871 ) (39,871 ) — (35,387 ) (35,387 ) Other financing activities, net (447 ) 791 344 (336 ) 598 262 Net cash provided by (used in) financing activities 240,530 (39,080 ) 201,450 (443,174 ) (34,789 ) (477,963 ) |
Summary of Significant Accoun47
Summary of Significant Accounting Policies - Narrative (Details) $ in Thousands | Feb. 01, 2016USD ($) | Aug. 31, 2015USD ($)Refineries | Aug. 31, 2015USD ($)Refineries | Aug. 31, 2014USD ($) | Aug. 31, 2013USD ($) | Sep. 30, 2015 | Nov. 29, 2011 |
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Income taxes | $ (12,165) | $ 48,296 | $ 89,666 | ||||
Finite-Lived Intangible Assets, Net | |||||||
Number of Refineries | Refineries | 2 | 2 | |||||
Minimum | Subsidiaries | |||||||
Income Taxes [Abstract] | |||||||
Subsidiaries Ownership Percentage | 80.00% | ||||||
Minimum | Other Intangible Assets [Member] | |||||||
Finite-Lived Intangible Assets, Net | |||||||
Finite-Lived Intangible Asset, Useful Life | 2 years | ||||||
Minimum | Major Maintenance Activities Requiring Shutdown | |||||||
Finite-Lived Intangible Assets, Net | |||||||
Finite-Lived Intangible Asset, Useful Life | 2 years | ||||||
Minimum | Land and Land Improvements | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Property, Plant and Equipment, Useful Life | 15 years | ||||||
Minimum | Building | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Property, Plant and Equipment, Useful Life | 20 years | ||||||
Minimum | Machinery, Equipment, Office and Other | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Property, Plant and Equipment, Useful Life | 5 years | ||||||
Minimum | Property, Plant and Equipment, Other Types [Member] | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Property, Plant and Equipment, Useful Life | 3 years | ||||||
Maximum | Other Intangible Assets [Member] | |||||||
Finite-Lived Intangible Assets, Net | |||||||
Finite-Lived Intangible Asset, Useful Life | 30 years | ||||||
Maximum | Major Maintenance Activities Requiring Shutdown | |||||||
Finite-Lived Intangible Assets, Net | |||||||
Finite-Lived Intangible Asset, Useful Life | 4 years | ||||||
Maximum | Land and Land Improvements | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Property, Plant and Equipment, Useful Life | 20 years | ||||||
Maximum | Building | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Property, Plant and Equipment, Useful Life | 40 years | ||||||
Maximum | Machinery, Equipment, Office and Other | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Property, Plant and Equipment, Useful Life | 20 years | ||||||
Maximum | Property, Plant and Equipment, Other Types [Member] | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Property, Plant and Equipment, Useful Life | 10 years | ||||||
National Cooperative Refinery Association | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Percentage | 88.90% | 88.90% | 74.40% | ||||
Subsequent Event [Member] | National Cooperative Refinery Association | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Percentage | 100.00% | ||||||
Application Of Leases And Lease Arrangements [Member] | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Income taxes | $ 16,000 | ||||||
Scenario, Forecast [Member] | CF Nitrogen LLC [Member] | |||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||
Supply agreement, term | 80 years | ||||||
Payments to Acquire Equity Method Investments | $ 2,800,000 | ||||||
Equity Method Investment, Ownership Percentage | 11.40% |
Receivables - Narrative (Detai
Receivables - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Notes Receivable, Long-Term | ||
CHS Capital long-term notes receivable | $ 190.4 | $ 159.7 |
Percentage of commercial notes to CHS Capital long-term notes receivable | 34.00% | 46.00% |
Percentage of producer notes to CHS Capital long-term notes receivable | 66.00% | 54.00% |
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 Capital [Member] | ||
Notes Receivable, Long-Term | ||
CHS Capital long-term notes receivable additional available credit of counterparty | $ 1,000 |
Receivables - Schedule of Rece
Receivables - Schedule of Receivables (Details) - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 |
Receivables [Abstract] | ||
Trade accounts receivable | $ 1,793,147 | $ 2,153,929 |
CHS Capital notes receivable | 791,413 | 633,475 |
Other | 339,995 | 304,798 |
Receivables, gross | 2,924,555 | 3,092,202 |
Less allowances and reserves | 106,445 | 103,639 |
Receivables, net | $ 2,818,110 | $ 2,988,563 |
Inventories - Narrative (Detai
Inventories - Narrative (Details) - USD ($) $ in Millions | Aug. 31, 2015 | Aug. 31, 2014 |
Inventory Disclosure [Abstract] | ||
Percentage of LIFO inventory | 18.00% | 16.00% |
Inventory, LIFO Reserve | $ 68.1 | $ 538.7 |
Inventories - Schedule of Inve
Inventories - Schedule of Inventories (Details) - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 |
Inventory Disclosure [Abstract] | ||
Grain and Oilseed | $ 966,923 | $ 961,327 |
Energy | 785,116 | 875,719 |
Crop nutrients | 369,105 | 374,023 |
Feed and farm supplies | 465,744 | 448,454 |
Processed grain and oilseed | 48,078 | 84,498 |
Other | 17,378 | 16,232 |
Inventories | $ 2,652,344 | $ 2,760,253 |
Investments - Narrative (Detai
Investments - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Aug. 31, 2014 | Aug. 31, 2015 | May. 31, 2014 | |
Horizon Milling, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investment, Ownership Percentage | 24.00% | ||
Equity Method Investment, Realized Gain (Loss) on Disposal | $ 109.2 | ||
Ventura Foods, LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investment, Ownership Percentage | 50.00% | ||
Equity value exceeding carrying value | $ 12.9 |
Investments - Schedule of Inve
Investments - Schedule of Investments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | May. 31, 2014 | |
Ventura Foods, LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investment, Ownership Percentage | 50.00% | ||
Equity Method Investments | $ 347.7 | ||
Ardent Mills LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investment, Ownership Percentage | 12.00% | ||
Proceeds from Equity Method Investment, Dividends or Distributions, Return of Capital | $ 121.2 | ||
Equity Method Investments | $ 196.8 | ||
Horizon Milling, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investment, Ownership Percentage | 24.00% | ||
Equity Method Investment, Additional Cash Contribution | 32.8 | ||
Equity Method Investment, Realized Gain (Loss) on Disposal | $ 109.2 | ||
TEMCO, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investment, Ownership Percentage | 50.00% | ||
Joint venture contract, term | 25 years | ||
Equity Method Investments | $ 57.7 | ||
Cargill, Inc. [Member] | TEMCO, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership of joint venture partner | 50.00% |
Investments - Schedule of Equi
Investments - Schedule of Equity Method Investment Balance Sheet and Statement of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Schedule of Equity Method Investments [Line Items] | |||
Net income attributable to CHS Inc. | $ 781,045 | $ 1,081,435 | $ 992,386 |
Ardent Mills, Ventura, TEMCO [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investment, Summarized Financial Information, Revenue | 9,071,438 | 8,796,648 | 7,929,731 |
Equity Method Investment, Summarized Financial Information, Current Assets | 1,892,563 | 1,765,992 | |
Equity Method Investment, Summarized Financial Information, Noncurrent Assets | 2,388,757 | 2,397,231 | |
Equity Method Investment, Summarized Financial Information, Current Liabilities | 968,104 | 838,031 | |
Equity Method Investment, Summarized Financial Information, Noncurrent Liabilities | 881,312 | 912,636 | |
Equity Method Investment, Summarized Financial Information, Gross Profit (Loss) | 754,384 | 562,053 | 467,955 |
Equity Method Investment, Summarized Financial Information, Net Income (Loss) | 313,668 | 266,354 | 149,573 |
Net income attributable to CHS Inc. | $ 81,103 | $ 83,023 | $ 80,905 |
Property, Plant and Equipment
Property, Plant and Equipment - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Property, Plant and Equipment [Abstract] | |||
Capital Leased Assets, Gross | $ 222.2 | $ 238.8 | |
Capital Leased Assets, Accumulated Amortization | 101.3 | 89.6 | |
Cost to build, estimate | 3,000 | ||
Impairment of Long-Lived Assets to be Disposed of | 116.5 | ||
Depreciation expense | $ 344.4 | $ 292.4 | $ 259.3 |
Property, Plant and Equipment56
Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Property, Plant and Equipment [Line Items] | ||
Cost to build, estimate | $ 3,000,000 | |
Impairment of Long-Lived Assets to be Disposed of | 116,500 | |
Property, plant and equipment, gross | 8,136,081 | $ 6,847,844 |
Less accumulated depreciation and amortization | 2,943,154 | 2,667,696 |
Property, plant and equipment | 5,192,927 | 4,180,148 |
Land and Land Improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 233,666 | 212,609 |
Building | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 838,386 | 691,273 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 5,563,370 | 4,792,352 |
Office and other | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 163,026 | 133,599 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Impairment of Long-Lived Assets to be Disposed of | 94,300 | |
Property, plant and equipment, gross | $ 1,337,633 | $ 1,018,011 |
Property, Plant and Equipment -
Property, Plant and Equipment - Capital Leases, Future Minimum Payments (Details) - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 |
Property, Plant and Equipment [Abstract] | ||
2,016 | $ 41,069 | |
2,017 | 34,924 | |
2,018 | 25,259 | |
2,019 | 14,281 | |
2,020 | 6,241 | |
Thereafter | 14,521 | |
Total minimum future lease payments | 136,295 | |
Less amount representing interest | 10,401 | |
Capital Lease Obligations | $ 125,894 | $ 155,366 |
Other Assets - Narrative (Deta
Other Assets - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Goodwill [Line Items] | |||
Goodwill, Acquired During Period | $ 423 | $ 72,913 | |
Amortization of intangible assets | 7,300 | 9,700 | $ 10,000 |
Ag [Member] | |||
Goodwill [Line Items] | |||
Goodwill, Acquired During Period | 72,913 | ||
Finite-lived intangible assets acquired | 800 | 38,800 | |
Series of Individually Immaterial Business Acquisitions [Member] | |||
Goodwill [Line Items] | |||
Payments to Acquire Assets, Investing Activities | $ 321,000 | ||
Minimum | Other Intangible Assets [Member] | |||
Goodwill [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 2 years | ||
Minimum | Major Maintenance Activities Requiring Shutdown | |||
Goodwill [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 2 years | ||
Maximum | Other Intangible Assets [Member] | |||
Goodwill [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 30 years | ||
Maximum | Major Maintenance Activities Requiring Shutdown | |||
Goodwill [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 4 years | ||
Cash Distribution [Member] | Series of Individually Immaterial Business Acquisitions [Member] | |||
Goodwill [Line Items] | |||
Payments to Acquire Assets, Investing Activities | $ 305,200 | $ 281,500 |
Other Assets - Schedule of Oth
Other Assets - Schedule of Other Assets (Details) - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 |
Finite-Lived Intangible Assets [Line Items] | ||||
Goodwill | $ 150,115 | $ 158,696 | $ 85,063 | |
Finite-Lived Intangible Assets, Net | 50,648 | 55,454 | ||
Notes receivable | 197,067 | 166,901 | ||
Long-term receivable | 35,191 | 40,718 | ||
Prepaid pension and other benefits | 138,497 | 186,342 | ||
Capitalized major maintenance | 241,588 | 67,643 | $ 109,408 | $ 70,554 |
Other | 211,378 | 119,325 | ||
Other assets | 1,024,484 | 795,079 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | (62,965) | (55,701) | ||
Customer lists | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Finite-Lived Intangible Assets, Net | $ 50,648 | $ 55,454 |
Other Assets - Schedule of Def
Other Assets - Schedule of Definite Lived Intagible Assets Estimated Annual Amortization Expense (Details) $ in Thousands | Aug. 31, 2015USD ($) |
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract] | |
Year 1 | $ 7,086 |
Year 2 | 5,558 |
Year 3 | 4,290 |
Year 4 | 3,808 |
Year 5 | 3,460 |
Thereafter | 26,350 |
Finite-Lived Intangible Assets, Future Amortization Expense | $ 50,552 |
Other Assets - Rollforward of
Other Assets - Rollforward of Capitalized Maintenance Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |
Capitalized Maintenance Expense [Roll Forward] | ||||
Cost Deferred | $ 219,898 | $ 3,305 | $ 73,701 | |
Amortization | (45,953) | (45,070) | (34,847) | |
Capitalized major maintenance | $ 241,588 | $ 67,643 | $ 109,408 | $ 70,554 |
Minimum | Major Maintenance Activities Requiring Shutdown | ||||
Finite-Lived Intangible Asset, Useful Life | 2 years |
Other Assets Schedule of Goodwi
Other Assets Schedule of Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Goodwill [Line Items] | |||
Goodwill | $ 150,115 | $ 158,696 | $ 85,063 |
Goodwill, Acquired During Period, Net of Purchase Accounting Adjustments | (3,283) | ||
Goodwill, Acquired During Period | 423 | 72,913 | |
Goodwill, Translation Adjustments | (5,298) | 720 | |
Energy [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 552 | 552 | 552 |
Goodwill, Acquired During Period, Net of Purchase Accounting Adjustments | 0 | ||
Goodwill, Acquired During Period | 0 | ||
Goodwill, Translation Adjustments | 0 | 0 | |
Ag [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 142,665 | 151,246 | 77,613 |
Goodwill, Acquired During Period, Net of Purchase Accounting Adjustments | (3,283) | ||
Goodwill, Acquired During Period | 72,913 | ||
Goodwill, Translation Adjustments | (5,298) | 720 | |
Corporate and Other [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 6,898 | 6,898 | $ 6,898 |
Goodwill, Acquired During Period, Net of Purchase Accounting Adjustments | 0 | ||
Goodwill, Acquired During Period | 0 | ||
Goodwill, Translation Adjustments | $ 0 | $ 0 |
Other Assets Schedule of Intang
Other Assets Schedule of Intangible Assets (Details) - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 |
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 113,613 | $ 111,155 |
Finite-Lived Intangible Assets, Accumulated Amortization | (62,965) | (55,701) |
Finite-Lived Intangible Assets, Net | 50,648 | 55,454 |
Customer lists | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 70,925 | 69,862 |
Finite-Lived Intangible Assets, Accumulated Amortization | (30,831) | (26,114) |
Finite-Lived Intangible Assets, Net | 40,094 | 43,748 |
Trademarks [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 42,688 | 41,293 |
Finite-Lived Intangible Assets, Accumulated Amortization | (32,134) | (29,587) |
Finite-Lived Intangible Assets, Net | $ 10,554 | $ 11,706 |
Notes Payable and Long-Term D64
Notes Payable and Long-Term Debt - Footnote Narrative (Details) | 12 Months Ended | 37 Months Ended | |||
Aug. 31, 2015USD ($)bankprogram | Aug. 31, 2014USD ($) | Sep. 30, 2015USD ($)occurrence | Nov. 23, 2015USD ($) | ||
Debt Instrument [Line Items] | |||||
Long-term Debt, Fair Value | $ 1,300,000,000 | ||||
Notes payable | 1,165,378,000 | $ 1,159,473,000 | |||
Increase (Decrease) in Fair Value of Hedged Item in Interest Rate Fair Value Hedge | 8,000,000 | 4,200,000 | |||
Long-term Debt | 1,293,360,000 | ||||
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 | ||||
Three-Year Revolving Facility [Member] | Line of credit | Revolving credit facility | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Current Borrowing Capacity | 250,000,000 | ||||
Line of Credit Facility, Fair Value of Amount Outstanding | 200,000,000 | ||||
Uncommitted lines of credit | Line of credit | Revolving credit facility | |||||
Debt Instrument [Line Items] | |||||
Long-term Line of Credit, Noncurrent | 303,400,000 | ||||
Other international subsidiaries, lines of credit | Line of credit | Revolving credit facility | |||||
Debt Instrument [Line Items] | |||||
Line of credit facility, amount outstanding | 310,200,000 | ||||
Line Of Credit, Collateralized Amount | 216,700,000 | ||||
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 | ||||
Long-term Line of Credit, Noncurrent | $ 0 | ||||
Line Of Credit Facility, Number Of Programs | program | 2 | ||||
Line Of Credit Facility, Number Of Participating Banks | bank | 2 | ||||
Line of credit facility maximum usage allowed to pay principal | $ 100,000,000 | ||||
Miscellaneous short-term notes payable | Line of credit | Revolving credit facility | |||||
Debt Instrument [Line Items] | |||||
Line of credit facility, amount outstanding | $ 100,000 | ||||
Revolving term loans from cooperative and other banks | Line of credit | Revolving credit facility | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 5.59% | ||||
Long-term Debt | $ 75,000,000 | 105,000,000 | |||
Private placement, payable in equal installments beginning in 2014 through 2018 | Unsecured debt | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 6.18% | ||||
Debt Instrument, Face Amount | $ 400,000,000 | ||||
Long-term Debt | $ 240,000,000 | 320,000,000 | |||
Private placement, payable in installments through 2018 | Unsecured debt | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 5.60% | ||||
Debt Instrument, Face Amount | $ 60,000,000 | ||||
Long-term Debt | $ 23,077,000 | 32,308,000 | |||
Private placement, payable in equal installments beginning in 2011 through 2015 | Unsecured debt | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 5.25% | ||||
Debt Instrument, Face Amount | $ 125,000,000 | ||||
Long-term Debt | $ 0 | 25,000,000 | |||
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 [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 5.78% | ||||
Debt Instrument, Face Amount | $ 50,000,000 | ||||
Long-term Debt | $ 30,000,000 | 40,000,000 | |||
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 [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 4.00% | ||||
Debt Instrument, Face Amount | $ 100,000,000 | ||||
Long-term Debt | 100,000,000 | 100,000,000 | |||
Other notes and contracts | Secured debt | |||||
Debt Instrument [Line Items] | |||||
Long-term debt, gross | 500,000 | ||||
Long-term Debt | [1] | $ 44,909,000 | $ 43,751,000 | ||
CHS Capital notes payable | |||||
Debt Instrument [Line Items] | |||||
Notes payable, weighted average interest rate | [2] | 1.05% | 1.07% | ||
Short-term notes payable, note purchase agreements | Notes Payable, Other Payables [Member] | Cofina Funding, LLC | |||||
Debt Instrument [Line Items] | |||||
Line of credit facility, amount outstanding | $ 0 | ||||
Short-term bank loans and notes payable current borrowing capacity | $ 350,000,000 | ||||
Notes Payable, Other Payables [Member] | |||||
Debt Instrument [Line Items] | |||||
Notes payable, weighted average interest rate | [3] | 2.33% | 1.69% | ||
Notes Payable, Other Payables [Member] | Cofina Funding, LLC | |||||
Debt Instrument [Line Items] | |||||
Notes payable, weighted average interest rate | [3] | 1.04% | |||
Notes Payable, Other Payables [Member] | Notes Payable, Other Payables [Member] | Revolving credit facility | |||||
Debt Instrument [Line Items] | |||||
Notes payable | [3] | $ 813,717,000 | $ 840,699,000 | ||
Master participation agreements | Notes Payable, Other Payables [Member] | |||||
Debt Instrument [Line Items] | |||||
Short-term bank loans and notes payable current borrowing capacity | 145,700,000 | ||||
Notes payable | $ 35,900,000 | ||||
Master participation agreements | Notes Payable, Other Payables [Member] | Minimum | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 1.64% | ||||
Master participation agreements | Notes Payable, Other Payables [Member] | Maximum | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 3.70% | ||||
Recourse loan commitments | Notes Payable, Other Payables [Member] | |||||
Debt Instrument [Line Items] | |||||
Short-term bank loans and notes payable current borrowing capacity | $ 56,800,000 | ||||
Short-term debt, maximum borrowing capacity | 300,000,000 | ||||
Notes payable | $ 39,900,000 | ||||
Interest rate | 1.62% | ||||
Short-Term Notes Payable, Surplus Funds Program [Member] | Notes Payable, Other Payables [Member] | |||||
Debt Instrument [Line Items] | |||||
Notes payable | $ 275,800,000 | ||||
Short-Term Notes Payable, Surplus Funds Program [Member] | Notes Payable, Other Payables [Member] | Minimum | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 0.10% | ||||
Short-Term Notes Payable, Surplus Funds Program [Member] | Notes Payable, Other Payables [Member] | Maximum | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 0.90% | ||||
Subsequent Event [Member] | Five-year revolving facilities | Line of credit | Revolving credit facility | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Current Borrowing Capacity | $ 3,000,000,000 | ||||
Subsequent Event [Member] | Committed Term Loans, September 2015 [Member] | Secured debt | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Term | 10 years | ||||
Debt Instrument, Face Amount | $ 600,000,000 | ||||
Debt Instrument, Withdrawal Occurrences During One Year Period | occurrence | 10 | ||||
Long-term Debt | $ 0 | ||||
Subsequent Event [Member] | Committed Term Loans, September 2015 [Member] | Secured debt | London Interbank Offered Rate (LIBOR) [Member] | Minimum | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Basis Spread on Variable Rate | 1.50% | ||||
Subsequent Event [Member] | Committed Term Loans, September 2015 [Member] | Secured debt | London Interbank Offered Rate (LIBOR) [Member] | Maximum | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Basis Spread on Variable Rate | 2.00% | ||||
Subsequent Event [Member] | Committed Term Loans, September 2015 [Member] | Secured debt | Base Rate [Member] | Minimum | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Basis Spread on Variable Rate | 0.50% | ||||
Subsequent Event [Member] | Committed Term Loans, September 2015 [Member] | Secured debt | Base Rate [Member] | Maximum | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | ||||
[1] | Other notes and contracts payable of $0.5 million were collateralized on August 31, 2015. | ||||
[2] | Cofina Funding, LLC ("Cofina Funding"), a wholly-owned subsidiary of CHS Capital, has available credit totaling $350.0 million as of August 31, 2015, 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 with a weighted average rate of 1.04% as of August 31, 2015. There were no borrowings by Cofina Funding utilizing the issuance of commercial paper under the note purchase agreements as of August 31, 2015. 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 1.64% to 3.70% as of August 31, 2015. As of August 31, 2015, the total funding commitment under these agreements was $145.7 million, of which $35.9 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 $56.8 million as of August 31, 2015, of which $39.9 million was borrowed under these commitments with an interest rate of 1.62%. 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 0.10% to 0.90% as of August 31, 2015, and are due upon demand. Borrowings under these notes totaled $275.8 million as of August 31, 2015. | ||||
[3] | On August 31, 2015, our primary committed line of credit was a $2.5 billion five-year, unsecured revolving credit facility with a syndication of domestic and international banks, with no amounts outstanding as of that date. In September 2015 this facility was amended and restated as a five-year, unsecured revolving credit facility with a committed amount of $3.0 billion that expires in September 2020. In addition to our primary revolving line of credit, we have a three-year $250.0 million committed revolving pre-export credit facility for CHS Agronegocio Industria e Comercio Ltda ("CHS Agronegocio"), our wholly-owned subsidiary, to provide financing for its working capital needs arising from its purchases and sales of grains, fertilizers and other agricultural products which expires in October 2016. The outstanding balance on this facility was $200.0 million as of August 31, 2015.As of August 31, 2015, our wholly-owned subsidiaries, CHS Europe S.a.r.l and CHS Agronegocio, had uncommitted lines of credit with $303.4 million outstanding. In addition, our other international subsidiaries had lines of credit with a total of $310.2 million outstanding as of August 31, 2015, of which $216.7 million was collateralized. We have two commercial paper programs with an aggregate capacity of $125.0 million, with two banks participating in our revolving credit facilities. Terms of our credit facilities allow a maximum usage of $100.0 million to pay principal under any commercial paper facility. On August 31, 2015 we had no commercial paper outstanding. Miscellaneous short-term notes payable totaled $0.1 million as of August 31, 2015. |
Notes Payable and Long-Term D65
Notes Payable and Long-Term Debt - Schedule of short-term debt (Details) - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 | |
Short-term Debt [Line Items] | |||
Notes payable | $ 1,165,378 | $ 1,159,473 | |
Notes Payable, Other Payables [Member] | |||
Short-term Debt [Line Items] | |||
Notes payable, weighted average interest rate | [1] | 2.33% | 1.69% |
CHS Capital notes payable | |||
Short-term Debt [Line Items] | |||
Notes payable, weighted average interest rate | [2] | 1.05% | 1.07% |
CHS Capital notes payable | CHS Capital notes payable | |||
Short-term Debt [Line Items] | |||
Notes payable | [2] | $ 351,661 | $ 318,774 |
Notes Payable, Other Payables [Member] | Recourse loan commitments | |||
Short-term Debt [Line Items] | |||
Notes payable | 39,900 | ||
Short-term bank loans and notes payable current borrowing capacity | 56,800 | ||
Notes Payable, Other Payables [Member] | Short-Term Notes Payable, Surplus Funds Program [Member] | |||
Short-term Debt [Line Items] | |||
Notes payable | 275,800 | ||
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 | ||
Revolving credit facility | Notes Payable, Other Payables [Member] | Notes Payable, Other Payables [Member] | |||
Short-term Debt [Line Items] | |||
Notes payable | [1] | $ 813,717 | $ 840,699 |
Cofina Funding, LLC | Notes Payable, Other Payables [Member] | |||
Short-term Debt [Line Items] | |||
Notes payable, weighted average interest rate | [1] | 1.04% | |
Cofina Funding, LLC | Notes Payable, Other Payables [Member] | Short-term notes payable, note purchase agreements | |||
Short-term Debt [Line Items] | |||
Short-term bank loans and notes payable current borrowing capacity | $ 350,000 | ||
[1] | On August 31, 2015, our primary committed line of credit was a $2.5 billion five-year, unsecured revolving credit facility with a syndication of domestic and international banks, with no amounts outstanding as of that date. In September 2015 this facility was amended and restated as a five-year, unsecured revolving credit facility with a committed amount of $3.0 billion that expires in September 2020. In addition to our primary revolving line of credit, we have a three-year $250.0 million committed revolving pre-export credit facility for CHS Agronegocio Industria e Comercio Ltda ("CHS Agronegocio"), our wholly-owned subsidiary, to provide financing for its working capital needs arising from its purchases and sales of grains, fertilizers and other agricultural products which expires in October 2016. The outstanding balance on this facility was $200.0 million as of August 31, 2015.As of August 31, 2015, our wholly-owned subsidiaries, CHS Europe S.a.r.l and CHS Agronegocio, had uncommitted lines of credit with $303.4 million outstanding. In addition, our other international subsidiaries had lines of credit with a total of $310.2 million outstanding as of August 31, 2015, of which $216.7 million was collateralized. We have two commercial paper programs with an aggregate capacity of $125.0 million, with two banks participating in our revolving credit facilities. Terms of our credit facilities allow a maximum usage of $100.0 million to pay principal under any commercial paper facility. On August 31, 2015 we had no commercial paper outstanding. Miscellaneous short-term notes payable totaled $0.1 million as of August 31, 2015. | ||
[2] | Cofina Funding, LLC ("Cofina Funding"), a wholly-owned subsidiary of CHS Capital, has available credit totaling $350.0 million as of August 31, 2015, 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 with a weighted average rate of 1.04% as of August 31, 2015. There were no borrowings by Cofina Funding utilizing the issuance of commercial paper under the note purchase agreements as of August 31, 2015. 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 1.64% to 3.70% as of August 31, 2015. As of August 31, 2015, the total funding commitment under these agreements was $145.7 million, of which $35.9 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 $56.8 million as of August 31, 2015, of which $39.9 million was borrowed under these commitments with an interest rate of 1.62%. 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 0.10% to 0.90% as of August 31, 2015, and are due upon demand. Borrowings under these notes totaled $275.8 million as of August 31, 2015. |
Notes Payable and Long-Term D66
Notes Payable and Long-Term Debt - Schedule of Notes Payable and Long-Term Debt (Details) - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 | |
Debt Instrument [Line Items] | |||
Notes payable | $ 1,165,378 | $ 1,159,473 | |
Total long-term debt | 1,293,360 | ||
Capital Lease Obligations | 125,894 | 155,366 | |
Long-term Debt, Fair Value | 1,431,117 | 1,605,625 | |
Less current portion | 170,309 | 201,965 | |
Long-term portion | $ 1,260,808 | $ 1,403,660 | |
Notes Payable, Other Payables [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable, weighted average interest rate | [1] | 2.33% | 1.69% |
Notes Payable, Other Payables [Member] | Notes Payable, Other Payables [Member] | Revolving credit facility | |||
Debt Instrument [Line Items] | |||
Notes payable | [1] | $ 813,717 | $ 840,699 |
CHS Capital notes payable | |||
Debt Instrument [Line Items] | |||
Notes payable, weighted average interest rate | [2] | 1.05% | 1.07% |
Revolving term loans from cooperative and other banks | Line of credit | Revolving credit facility | |||
Debt Instrument [Line Items] | |||
Interest rate | 5.59% | ||
Total long-term debt | $ 75,000 | $ 105,000 | |
Private placement, payable in equal installments beginning in 2014 through 2018 | Unsecured debt | |||
Debt Instrument [Line Items] | |||
Interest rate | 6.18% | ||
Total long-term debt | $ 240,000 | 320,000 | |
Private placement, payable in installments through 2018 | Unsecured debt | |||
Debt Instrument [Line Items] | |||
Interest rate | 5.60% | ||
Total long-term debt | $ 23,077 | 32,308 | |
Private placement, payable in equal installments beginning in 2011 through 2015 | Unsecured debt | |||
Debt Instrument [Line Items] | |||
Interest rate | 5.25% | ||
Total long-term debt | $ 0 | 25,000 | |
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 [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate | 5.78% | ||
Total long-term debt | $ 30,000 | 40,000 | |
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 [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate | 4.00% | ||
Total long-term debt | $ 100,000 | 100,000 | |
Private placement, payable in its entirety in 2019 | Unsecured debt | |||
Debt Instrument [Line Items] | |||
Interest rate | 4.08% | ||
Total long-term debt | $ 132,161 | 130,840 | |
Private placement, payable in its entirety in 2021 | Unsecured debt | |||
Debt Instrument [Line Items] | |||
Interest rate | 4.52% | ||
Total long-term debt | $ 164,654 | 160,000 | |
Private placement, payable in its entirety in 2023 | Unsecured debt | |||
Debt Instrument [Line Items] | |||
Interest rate | 4.67% | ||
Total long-term debt | $ 135,422 | 133,360 | |
Private placement, payable in 2025 80k [Member] | Unsecured debt | |||
Debt Instrument [Line Items] | |||
Interest rate | 3.85% | ||
Total long-term debt | $ 80,000 | 80,000 | |
Private placement, payable in 2025 100k [Member] | Unsecured debt | |||
Debt Instrument [Line Items] | |||
Interest rate | 3.80% | ||
Total long-term debt | $ 100,000 | 100,000 | |
Private placement, payable in its entirety in 2026 | Unsecured debt | |||
Debt Instrument [Line Items] | |||
Interest rate | 4.82% | ||
Total long-term debt | $ 80,000 | 80,000 | |
Private placement, payable in its entirety 2033 [Member] | Unsecured debt | |||
Debt Instrument [Line Items] | |||
Interest rate | 4.71% | ||
Total long-term debt | $ 100,000 | 100,000 | |
Other notes and contracts | Secured debt | |||
Debt Instrument [Line Items] | |||
Total long-term debt | [3] | $ 44,909 | $ 43,751 |
[1] | On August 31, 2015, our primary committed line of credit was a $2.5 billion five-year, unsecured revolving credit facility with a syndication of domestic and international banks, with no amounts outstanding as of that date. In September 2015 this facility was amended and restated as a five-year, unsecured revolving credit facility with a committed amount of $3.0 billion that expires in September 2020. In addition to our primary revolving line of credit, we have a three-year $250.0 million committed revolving pre-export credit facility for CHS Agronegocio Industria e Comercio Ltda ("CHS Agronegocio"), our wholly-owned subsidiary, to provide financing for its working capital needs arising from its purchases and sales of grains, fertilizers and other agricultural products which expires in October 2016. The outstanding balance on this facility was $200.0 million as of August 31, 2015.As of August 31, 2015, our wholly-owned subsidiaries, CHS Europe S.a.r.l and CHS Agronegocio, had uncommitted lines of credit with $303.4 million outstanding. In addition, our other international subsidiaries had lines of credit with a total of $310.2 million outstanding as of August 31, 2015, of which $216.7 million was collateralized. We have two commercial paper programs with an aggregate capacity of $125.0 million, with two banks participating in our revolving credit facilities. Terms of our credit facilities allow a maximum usage of $100.0 million to pay principal under any commercial paper facility. On August 31, 2015 we had no commercial paper outstanding. Miscellaneous short-term notes payable totaled $0.1 million as of August 31, 2015. | ||
[2] | Cofina Funding, LLC ("Cofina Funding"), a wholly-owned subsidiary of CHS Capital, has available credit totaling $350.0 million as of August 31, 2015, 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 with a weighted average rate of 1.04% as of August 31, 2015. There were no borrowings by Cofina Funding utilizing the issuance of commercial paper under the note purchase agreements as of August 31, 2015. 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 1.64% to 3.70% as of August 31, 2015. As of August 31, 2015, the total funding commitment under these agreements was $145.7 million, of which $35.9 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 $56.8 million as of August 31, 2015, of which $39.9 million was borrowed under these commitments with an interest rate of 1.62%. 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 0.10% to 0.90% as of August 31, 2015, and are due upon demand. Borrowings under these notes totaled $275.8 million as of August 31, 2015. | ||
[3] | Other notes and contracts payable of $0.5 million were collateralized on August 31, 2015. |
Notes Payable and Long-Term D67
Notes Payable and Long-Term Debt - Schedule of Weighted Average Interest Rates (Details) | Aug. 31, 2015 | Aug. 31, 2014 | |
Notes Payable, Other Payables [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable, weighted average interest rate | [1] | 2.33% | 1.69% |
CHS Capital notes payable | |||
Debt Instrument [Line Items] | |||
Notes payable, weighted average interest rate | [2] | 1.05% | 1.07% |
[1] | On August 31, 2015, our primary committed line of credit was a $2.5 billion five-year, unsecured revolving credit facility with a syndication of domestic and international banks, with no amounts outstanding as of that date. In September 2015 this facility was amended and restated as a five-year, unsecured revolving credit facility with a committed amount of $3.0 billion that expires in September 2020. In addition to our primary revolving line of credit, we have a three-year $250.0 million committed revolving pre-export credit facility for CHS Agronegocio Industria e Comercio Ltda ("CHS Agronegocio"), our wholly-owned subsidiary, to provide financing for its working capital needs arising from its purchases and sales of grains, fertilizers and other agricultural products which expires in October 2016. The outstanding balance on this facility was $200.0 million as of August 31, 2015.As of August 31, 2015, our wholly-owned subsidiaries, CHS Europe S.a.r.l and CHS Agronegocio, had uncommitted lines of credit with $303.4 million outstanding. In addition, our other international subsidiaries had lines of credit with a total of $310.2 million outstanding as of August 31, 2015, of which $216.7 million was collateralized. We have two commercial paper programs with an aggregate capacity of $125.0 million, with two banks participating in our revolving credit facilities. Terms of our credit facilities allow a maximum usage of $100.0 million to pay principal under any commercial paper facility. On August 31, 2015 we had no commercial paper outstanding. Miscellaneous short-term notes payable totaled $0.1 million as of August 31, 2015. | ||
[2] | Cofina Funding, LLC ("Cofina Funding"), a wholly-owned subsidiary of CHS Capital, has available credit totaling $350.0 million as of August 31, 2015, 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 with a weighted average rate of 1.04% as of August 31, 2015. There were no borrowings by Cofina Funding utilizing the issuance of commercial paper under the note purchase agreements as of August 31, 2015. 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 1.64% to 3.70% as of August 31, 2015. As of August 31, 2015, the total funding commitment under these agreements was $145.7 million, of which $35.9 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 $56.8 million as of August 31, 2015, of which $39.9 million was borrowed under these commitments with an interest rate of 1.62%. 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 0.10% to 0.90% as of August 31, 2015, and are due upon demand. Borrowings under these notes totaled $275.8 million as of August 31, 2015. |
Notes Payable and Long-Term D68
Notes Payable and Long-Term Debt - Schedule of Long-Term Debt Payable (Details) $ in Thousands | Aug. 31, 2015USD ($) |
Debt Disclosure [Abstract] | |
Long-term Debt, Repayments in 2016 | $ 129,994 |
Long-term Debt, Repayments in 2017 | 149,932 |
Long-term Debt, Repayments in 2018 | 161,596 |
Long-term Debt, Repayments in 2019 | 150,098 |
Long-term Debt, Repayments in 2020 | 31,340 |
Long-term Debt, Repayments after 2020 | 670,400 |
Total long-term debt | $ 1,293,360 |
Notes Payable and Long-Term D69
Notes Payable and Long-Term Debt - Schedule of Interest, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Debt Disclosure [Abstract] | |||
Interest expense | $ 93,152 | $ 84,925 | $ 104,403 |
Interest-purchase of NCRA noncontrolling interest | 34,810 | 70,843 | 149,087 |
Capitalized Interest | (57,303) | (8,528) | (10,579) |
Interest income | (10,326) | (6,987) | (6,212) |
Interest, net | $ 60,333 | $ 140,253 | $ 236,699 |
Notes Payable and Long-Term D70
Notes Payable and Long-Term Debt Phantom (Details) $ in Millions | 12 Months Ended |
Aug. 31, 2015USD ($) | |
Debt Instrument [Line Items] | |
Debt Instrument, Interest Rate, Stated Percentage Rate Range, Minimum | 1.30% |
Debt Instrument, Interest Rate, Stated Percentage Rate Range, Maximum | 15.25% |
Unsecured debt | Private placement, payable in equal installments beginning in 2014 through 2018 | |
Debt Instrument [Line Items] | |
Interest rate | 6.18% |
Debt Instrument, Face Amount | $ 400 |
Unsecured debt | Private placement, payable in installments through 2018 | |
Debt Instrument [Line Items] | |
Interest rate | 5.60% |
Debt Instrument, Face Amount | $ 60 |
Unsecured debt | Private placement, payable in equal installments beginning in 2011 through 2015 | |
Debt Instrument [Line Items] | |
Interest rate | 5.25% |
Debt Instrument, Face Amount | $ 125 |
Unsecured debt | Private placement, payable in its entirety in 2019 | |
Debt Instrument [Line Items] | |
Interest rate | 4.08% |
Debt Instrument, Face Amount | $ 130 |
Unsecured debt | Private placement, payable in its entirety in 2021 | |
Debt Instrument [Line Items] | |
Interest rate | 4.52% |
Debt Instrument, Face Amount | $ 160 |
Unsecured debt | Private placement, payable in its entirety in 2023 | |
Debt Instrument [Line Items] | |
Interest rate | 4.67% |
Debt Instrument, Face Amount | $ 130 |
Unsecured debt | Private placement, payable in 2025 80k [Member] | |
Debt Instrument [Line Items] | |
Interest rate | 3.85% |
Debt Instrument, Face Amount | $ 80 |
Unsecured debt | Private placement, payable in 2025 100k [Member] | |
Debt Instrument [Line Items] | |
Interest rate | 3.80% |
Debt Instrument, Face Amount | $ 100 |
Unsecured debt | Private placement, payable in its entirety in 2026 | |
Debt Instrument [Line Items] | |
Interest rate | 4.82% |
Debt Instrument, Face Amount | $ 80 |
Unsecured debt | Private placement, payable in its entirety 2033 [Member] | |
Debt Instrument [Line Items] | |
Interest rate | 4.71% |
Debt Instrument, Face Amount | $ 100 |
Notes Payable, Other Payables [Member] | Private placement, note purchase and private shelf agreement with Prudential Capital Group, payable in equal installments beginning in 2014 through 2018 | |
Debt Instrument [Line Items] | |
Interest rate | 5.78% |
Debt Instrument, Face Amount | $ 50 |
Notes Payable, Other Payables [Member] | Private placement, note purchase and private shelf agreement with Prudential Capital Group, payable in equal installments beginning in 2017 through 2021 [Member] | |
Debt Instrument [Line Items] | |
Interest rate | 4.00% |
Debt Instrument, Face Amount | $ 100 |
Revolving credit facility | Line of credit | Revolving term loans from cooperative and other banks | |
Debt Instrument [Line Items] | |
Interest rate | 5.59% |
Income Taxes - Narrative (Deta
Income Taxes - Narrative (Details) - USD ($) | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Operating Loss Carryforwards [Line Items] | |||
Federal | $ 29,348,000 | $ (23,444,000) | $ 92,102,000 |
Income (Loss) from Continuing Operations before Income Taxes, Domestic | 800,000,000 | 1,200,000,000 | 1,100,000,000 |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | 0 | 0 | 200,000 |
Operating Loss Carryforwards | 431,400,000 | ||
Deferred Tax Assets, Operating Loss Carryforwards, Subject to Expiration | 293,900,000 | ||
Change in valuation allowance for deferred tax asset | 8,800,000 | ||
Current State and Local Tax Expense (Benefit) | 3,891,000 | 31,203,000 | 11,805,000 |
Unrecognized Tax Benefits, Increase Resulting from Prior Period Tax Positions | 0 | 35,718,000 | $ 0 |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 0 | 0 | |
Minimum | |||
Operating Loss Carryforwards [Line Items] | |||
Unrecognized Tax Benefits, Increase Resulting from Prior Period Tax Positions | 0 | ||
Maximum | |||
Operating Loss Carryforwards [Line Items] | |||
Unrecognized Tax Benefits, Increase Resulting from Prior Period Tax Positions | 36,500,000 | ||
Domestic Tax Authority [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Federal | 30,800,000 | ||
State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Current State and Local Tax Expense (Benefit) | 19,300,000 | ||
Current assets | |||
Operating Loss Carryforwards [Line Items] | |||
Net deferred tax assets | 85,000,000 | 86,500,000 | |
Other Assets [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Deferred Tax Assets, Net of Valuation Allowance, Noncurrent | 1,600,000 | 2,600,000 | |
Foreign tax credit | |||
Operating Loss Carryforwards [Line Items] | |||
Tax credit carryforward, amount | 8,000,000 | ||
Alternative Minimum Tax Credit [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Tax credit carryforward, amount | 5,600,000 | ||
General Business Tax Credit Carryforward [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Tax credit carryforward, amount | 55,700,000 | ||
State tax credits [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Tax credit carryforward, amount | 62,200,000 | ||
NCRA [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating Loss Carryforwards | 62,200,000 | $ 63,400,000 | |
Change in valuation allowance for deferred tax asset | $ 20,100,000 |
Income Taxes - Schedule of Inc
Income Taxes - Schedule of Income Tax Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Current | |||
Federal | $ (47,695) | $ 38,653 | $ (18,018) |
State | 3,891 | 31,203 | 11,805 |
Foreign | 1,335 | 2,837 | 3,162 |
Current Total | (42,469) | 72,693 | (3,051) |
Deferred | |||
Federal | 29,348 | (23,444) | 92,102 |
State | (2,799) | (1,893) | 1,685 |
Foreign | 3,755 | 940 | (1,070) |
Deferred Total | 30,304 | (24,397) | 92,717 |
Total | $ (12,165) | $ 48,296 | $ 89,666 |
Income Taxes - Schedule of Def
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Operating Loss Carryforwards [Line Items] | ||
Change in valuation allowance for deferred tax asset | $ 8,800 | |
Operating Loss Carryforwards | 431,400 | |
Deferred Tax Assets, Gross [Abstract] | ||
Accrued expenses | 96,270 | $ 76,255 |
Postretirment health care and deferred compensation | 89,934 | 83,346 |
Deferred Tax Assets, Tax Credit Carryforwards | 109,756 | 70,881 |
Deferred Tax Assets, Operating Loss Carryforwards | 85,860 | 53,793 |
Other | 68,625 | 52,956 |
Deferred tax assets valuation | (98,024) | (111,509) |
Deferred tax assets | 352,421 | 225,722 |
Deferred Tax Liabilities, Gross [Abstract] | ||
Pension | 20,732 | 12,855 |
Investments | 98,291 | 88,425 |
Major maintenance | 36,135 | 26,020 |
Property, plant and equipment | 654,057 | 576,007 |
Deferred Tax Liabilities, Other | 25,836 | 0 |
Deferred Tax Liabilities, Gross | 835,051 | 703,307 |
Net deferred tax liabilities | 482,630 | 477,585 |
NCRA [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Change in valuation allowance for deferred tax asset | 20,100 | |
Operating Loss Carryforwards | 62,200 | 63,400 |
Other Assets [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Deferred Tax Assets, Net of Valuation Allowance, Noncurrent | $ 1,600 | $ 2,600 |
Income Taxes - Reconciliation
Income Taxes - Reconciliation of the Statutory Tax Rates to the Effective Tax Rates (Details) | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Statutory federal income tax rate | 35.00% | 35.00% | 35.00% |
State and local income taxes, net of federal income tax benefit | (0.50%) | 1.60% | 0.90% |
Patronage earnings | (29.00%) | (20.50%) | (22.90%) |
Domestic production activities deduction | (5.60%) | (10.00%) | (8.50%) |
Export activities at rates other than the U.S. statutory rate | (0.20%) | 1.20% | 0.60% |
Valuation allowance | (0.10%) | 1.70% | 2.30% |
Tax credits | (0.80%) | (3.10%) | (0.50%) |
Non-controlling interests | 0.00% | 0.00% | (0.10%) |
Other | (0.40%) | (1.60%) | 1.50% |
Effective tax rate | (1.60%) | 4.30% | 8.30% |
Income Taxes - Rollforward of
Income Taxes - Rollforward of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Beginning balances | $ 72,181 | $ 67,271 | $ 67,271 |
Unrecognized Tax Benefits, Increase Resulting from Prior Period Tax Positions | 0 | 35,718 | 0 |
Unrecognized Tax Benefits, Decrease Resulting from Prior Period Tax Positions | 0 | (9,867) | 0 |
Reductions attributable to statute expiration | 0 | (20,941) | 0 |
Balances at August 31 | $ 72,181 | $ 72,181 | $ 67,271 |
Equities - Narrative (Details)
Equities - Narrative (Details) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | |||||
Jun. 30, 2014USD ($) | Aug. 31, 2015USD ($)pools$ / sharesshares | Aug. 31, 2014USD ($) | Aug. 31, 2013USD ($) | Aug. 31, 2011USD ($) | Aug. 30, 2014shares | Sep. 26, 2013shares | |
Class of Stock [Line Items] | |||||||
Preferred Stock, Liquidation Preference Per Share | $ / shares | $ 25 | ||||||
Patronage Refunds, payable in next fiscal year | $ 625,400 | ||||||
Patronage Refunds | 271,226 | $ 286,789 | $ 380,947 | ||||
Cash partonage dividends payable | $ 250,200 | ||||||
Patronage source earnings, percentage allocated to reserves | 10.00% | 10.00% | 10.00% | ||||
Capital equity certificates, number of pools | pools | 2 | ||||||
Equity redemptions, age | 70 years | ||||||
Estimated payments for redemptions of equities | $ (107,300) | ||||||
Retirements of equities | (128,907) | $ (99,609) | $ (193,413) | ||||
Preferred stock dividends paid | (133,710) | (50,761) | $ (24,544) | ||||
Preferred stock, Value available for issuance | $ 990,000 | ||||||
Stock Redeemed or Called During Period, Price per Share | $ / shares | $ 29.62 | ||||||
Non-qualified Equity Certificates [Member] | |||||||
Class of Stock [Line Items] | |||||||
Patronage Refunds | $ (147,710) | (131,661) | |||||
Patronage refunds and capital stock | |||||||
Class of Stock [Line Items] | |||||||
Patronage Refunds | 821,500 | $ 841,100 | $ 976,000 | ||||
Cash Distribution [Member] | |||||||
Class of Stock [Line Items] | |||||||
Patronage Refunds | 271,200 | 286,800 | 380,900 | ||||
Capital Equity Certificates | |||||||
Class of Stock [Line Items] | |||||||
Patronage Refunds | $ (402,560) | (422,670) | $ (595,022) | ||||
Patron equities to be redeemed, value | $ 200,000 | ||||||
8% Preferred Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Preferred stock, dividend rate, percentage | 8.00% | ||||||
Preferred stock, shares outstanding | shares | 12,272,003 | ||||||
Preferred Stock, Redemption Amount | $ 306,800 | ||||||
Proceeds from issuance of preferred stock, net of issuance costs | $ 311,200 | ||||||
Class B, Series 1 Preferred Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Preferred stock, dividend rate, percentage | 7.875% | ||||||
Preferred stock, shares outstanding | shares | 18,071,363 | ||||||
Preferred Stock, Redemption Amount | $ 451,800 | ||||||
Proceeds from issuance of preferred stock, net of issuance costs | $ 472,800 | ||||||
Preferred Stock, Shares Issued | shares | 6,752,188 | 11,319,175 | |||||
Class B, Series 3 Preferred Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Preferred stock, dividend rate, percentage | 6.75% | ||||||
Preferred stock, shares outstanding | shares | 19,700,000 | ||||||
Preferred Stock, Redemption Amount | $ 492,500 | ||||||
Proceeds from issuance of preferred stock, net of issuance costs | $ 476,700 | ||||||
Class B, Series 2 Preferred Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Preferred stock, dividend rate, percentage | 7.10% | ||||||
Preferred stock, shares outstanding | shares | 16,800,000 | ||||||
Preferred Stock, Redemption Amount | $ 420,000 | ||||||
Proceeds from issuance of preferred stock, net of issuance costs | $ 406,200 | ||||||
Class B Preferred Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Preferred stock, Value registered | $ 2,000,000 | ||||||
London Interbank Offered Rate (LIBOR) [Member] | Class B, Series 3 Preferred Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Preferred Stock, Basis Spread on Dividends, Percent | 4.155% | ||||||
London Interbank Offered Rate (LIBOR) [Member] | Class B, Series 2 Preferred Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Preferred Stock, Basis Spread on Dividends, Percent | 4.298% | ||||||
Maximum | Class B, Series 3 Preferred Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Preferred Stock, Basis Spread on Dividends, Percent | 8.00% | ||||||
Maximum | Class B, Series 2 Preferred Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Preferred Stock, Basis Spread on Dividends, Percent | 8.00% |
Equities Accumulated Other Comp
Equities Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | $ (214,207) | $ (156,757) | ||
Other Comprehensive Income (Loss), Net of Tax | (57,450) | 110 | $ 75,720 | |
Accumulated Net Unrealized Investment Gain (Loss) [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | 4,156 | 4,398 | 2,370 | $ 1,391 |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (242) | 2,028 | 979 | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 0 | 0 | 0 | |
Other Comprehensive Income (Loss), Net of Tax | (242) | 2,028 | 979 | |
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | (5,324) | (2,722) | 11,685 | (3,806) |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (3,394) | (6,011) | 15,491 | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 792 | (8,396) | 0 | |
Other Comprehensive Income (Loss), Net of Tax | (2,602) | (14,407) | 15,491 | |
Accumulated Translation Adjustment [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | (41,310) | (6,581) | (5,311) | (1,445) |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (34,729) | (1,957) | (3,866) | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 0 | 687 | 0 | |
Other Comprehensive Income (Loss), Net of Tax | (34,729) | (1,270) | (3,866) | |
Accumulated Other Comprehensive Loss | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | (214,207) | (156,757) | (156,867) | (232,587) |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (71,603) | (6,030) | 59,075 | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 14,153 | 6,140 | 16,645 | |
Other Comprehensive Income (Loss), Net of Tax | (57,450) | 110 | 75,720 | |
Accumulated Defined Benefit Plans Adjustment [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | (171,729) | (151,852) | (165,611) | $ (228,727) |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (33,238) | (90) | 46,471 | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 13,361 | 13,849 | 16,645 | |
Other Comprehensive Income (Loss), Net of Tax | $ (19,877) | 13,759 | $ 63,116 | |
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Gain on Discontinuation of Cash Flow Hedge Due to Forecasted Transaction Probable of Not Occurring | $ 13,500 |
Equities - Noncontrolling Inter
Equities - Noncontrolling Interests (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Noncontrolling Interest [Line Items] | |||
Net income | $ 780,333 | $ 1,083,007 | $ 996,328 |
Net income attributable to CHS Inc. | $ 781,045 | $ 1,081,435 | $ 992,386 |
Equities schedule of stock (Det
Equities schedule of stock (Details) $ / shares in Units, $ in Millions | 12 Months Ended |
Aug. 31, 2015USD ($)$ / sharesshares | |
Class of Stock [Line Items] | |
Preferred Stock, Liquidation Preference Per Share | $ / shares | $ 25 |
Class B, Series 4 Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred Stock, Redemption Amount | $ 517.5 |
Proceeds from issuance of preferred stock, net of issuance costs | $ 501 |
Preferred Stock, Shares Outstanding | shares | 20,700,000 |
Preferred Stock, Dividend Rate, Percentage | 7.50% |
Class B, Series 3 Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred Stock, Redemption Amount | $ 492.5 |
Proceeds from issuance of preferred stock, net of issuance costs | $ 476.7 |
Preferred Stock, Shares Outstanding | shares | 19,700,000 |
Preferred Stock, Dividend Rate, Percentage | 6.75% |
Class B, Series 2 Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred Stock, Redemption Amount | $ 420 |
Proceeds from issuance of preferred stock, net of issuance costs | $ 406.2 |
Preferred Stock, Shares Outstanding | shares | 16,800,000 |
Preferred Stock, Dividend Rate, Percentage | 7.10% |
Class B, Series 1 Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred Stock, Redemption Amount | $ 451.8 |
Proceeds from issuance of preferred stock, net of issuance costs | $ 472.8 |
Preferred Stock, Shares Outstanding | shares | 18,071,363 |
Preferred Stock, Dividend Rate, Percentage | 7.875% |
8% Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred Stock, Redemption Amount | $ 306.8 |
Proceeds from issuance of preferred stock, net of issuance costs | $ 311.2 |
Preferred Stock, Shares Outstanding | shares | 12,272,003 |
Preferred Stock, Dividend Rate, Percentage | 8.00% |
London Interbank Offered Rate (LIBOR) [Member] | Class B, Series 3 Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred Stock, Basis Spread on Dividends, Percent | 4.155% |
London Interbank Offered Rate (LIBOR) [Member] | Class B, Series 2 Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred Stock, Basis Spread on Dividends, Percent | 4.298% |
Maximum | Class B, Series 3 Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred Stock, Basis Spread on Dividends, Percent | 8.00% |
Maximum | Class B, Series 2 Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred Stock, Basis Spread on Dividends, Percent | 8.00% |
Benefit Plans - Narative (Deta
Benefit Plans - Narative (Details) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015USD ($)Employers | Aug. 31, 2014USD ($) | Aug. 31, 2013USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, health care benefits annual rate of increase in the per capita cost | 6.80% | ||
Defined benefit plan, health care benefits, decrease in the per capita cost trend rate | 5.00% | ||
Defined contribution plan, contributions by employer | $ 27,400 | $ 24,600 | $ 22,900 |
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% | ||
Equity Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, target allocation percentage | 50.00% | ||
Qualified Pension Benefits | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Accumulated benefit obligation | $ 693,900 | 682,100 | |
Company contributions | 39,165 | 25,700 | |
Defined benefit plan, expected future benefit payments, next twelve months | $ 37,593 | ||
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) | Employers | 400 | ||
Co-op Retirement Plan - Contributions of CHS | $ 2,021 | 2,079 | $ 2,095 |
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 | 4,500 | ||
Other Benefits | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Company contributions | 1,750 | 2,161 | |
Non-Qualified Pension Benefits | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Accumulated benefit obligation | 23,600 | 22,700 | |
Company contributions | 6,399 | $ 3,576 | |
Defined benefit plan, expected future benefit payments, next twelve months | $ 1,753 | ||
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 Ben
Benefit Plans - Changes in Benefit Obligation and Plan (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Qualified Pension Benefits | |||
Change in benefit obligation: [Rollforward] | |||
Benefit obligation at beginning of period | $ 720,893 | $ 641,284 | |
Service cost | 36,006 | 30,417 | $ 31,387 |
Interest cost | 28,046 | 29,900 | 25,445 |
Actuarial loss (gain) | 20,993 | 1,973 | |
Assumption change | (16,297) | 57,406 | |
Plan Amendments | 0 | 647 | |
Settlements | 0 | 0 | |
Benefits Paid | (58,846) | (40,734) | |
Benefit obligation at end of period | 730,795 | 720,893 | 641,284 |
Change in plan assets: [Abstract] | |||
Fair value of plan assets at beginning of period | 822,125 | 730,628 | |
Actual gain (loss) on plan assets | (6,065) | 106,531 | |
Company contributions | 39,165 | 25,700 | |
Benefits Paid | (58,846) | (40,734) | |
Fair value of plan assets at end of period | 796,379 | 822,125 | 730,628 |
Funded Status of Plan | 65,584 | 101,232 | |
Assets [Abstract] | |||
Non-current assets | 65,927 | 103,125 | |
Liabilities [Abstract] | |||
Current liabilities | 0 | 0 | |
Non-current liabilities | (343) | (1,893) | |
Ending balance | 65,584 | 101,232 | |
Amounts recognized in accumulated other comprehensive loss (pretax): [Abstract] | |||
Prior service cost (credit) | 5,217 | 6,848 | |
Net loss | 276,450 | 235,564 | |
Ending balance | 281,667 | 242,412 | |
Defined Benefit Plan, Settlements, Plan Assets | 0 | 0 | |
Non-Qualified Pension Benefits | |||
Change in benefit obligation: [Rollforward] | |||
Benefit obligation at beginning of period | 37,983 | 36,225 | |
Service cost | 875 | 860 | 721 |
Interest cost | 1,414 | 1,660 | 1,316 |
Actuarial loss (gain) | 393 | 393 | |
Assumption change | (1,082) | 2,421 | |
Plan Amendments | 0 | 0 | |
Settlements | (5,715) | 0 | |
Benefits Paid | (684) | (3,576) | |
Benefit obligation at end of period | 33,184 | 37,983 | 36,225 |
Change in plan assets: [Abstract] | |||
Fair value of plan assets at beginning of period | 0 | 0 | |
Actual gain (loss) on plan assets | 0 | 0 | |
Company contributions | 6,399 | 3,576 | |
Benefits Paid | (684) | (3,576) | |
Fair value of plan assets at end of period | 0 | 0 | 0 |
Funded Status of Plan | (33,184) | (37,983) | |
Assets [Abstract] | |||
Non-current assets | 0 | 0 | |
Liabilities [Abstract] | |||
Current liabilities | (1,752) | (3,222) | |
Non-current liabilities | (31,432) | (34,761) | |
Ending balance | (33,184) | (37,983) | |
Amounts recognized in accumulated other comprehensive loss (pretax): [Abstract] | |||
Prior service cost (credit) | 631 | 859 | |
Net loss | 9,161 | 12,542 | |
Ending balance | 9,792 | 13,401 | |
Defined Benefit Plan, Settlements, Plan Assets | (5,715) | 0 | |
Other Benefits | |||
Change in benefit obligation: [Rollforward] | |||
Benefit obligation at beginning of period | 44,318 | 45,542 | |
Service cost | 1,513 | 1,729 | 2,936 |
Interest cost | 1,489 | 1,918 | 2,275 |
Actuarial loss (gain) | 1,563 | (4,135) | |
Assumption change | (5,136) | 1,425 | |
Plan Amendments | 0 | 0 | |
Settlements | 0 | 0 | |
Benefits Paid | (1,750) | (2,161) | |
Benefit obligation at end of period | 41,997 | 44,318 | 45,542 |
Change in plan assets: [Abstract] | |||
Fair value of plan assets at beginning of period | 0 | 0 | |
Actual gain (loss) on plan assets | 0 | 0 | |
Company contributions | 1,750 | 2,161 | |
Benefits Paid | (1,750) | (2,161) | |
Fair value of plan assets at end of period | 0 | 0 | $ 0 |
Funded Status of Plan | (41,997) | (44,318) | |
Assets [Abstract] | |||
Non-current assets | 0 | 0 | |
Liabilities [Abstract] | |||
Current liabilities | (2,708) | (2,787) | |
Non-current liabilities | (39,289) | (41,531) | |
Ending balance | (41,997) | (44,318) | |
Amounts recognized in accumulated other comprehensive loss (pretax): [Abstract] | |||
Prior service cost (credit) | (472) | (592) | |
Net loss | (10,409) | (7,573) | |
Ending balance | (10,881) | (8,165) | |
Defined Benefit Plan, Settlements, Plan Assets | $ 0 | $ 0 |
Benefit Plans - Rollforward of
Benefit Plans - Rollforward of Benefit Obligation and Plan Assets Funded (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Qualified Pension Benefits | |||
Component of net periodic benefit costs: [Abstract] | |||
Service costs | $ 36,006 | $ 30,417 | $ 31,387 |
Interest costs | 28,046 | 29,900 | 25,445 |
Expected return on assets | (49,746) | (47,655) | (49,728) |
Settlement of retiree obligations | 0 | 0 | 0 |
Prior service cost (credit) amortization | 1,631 | 1,593 | 1,597 |
Actuarial loss (gain) amortization | 19,621 | 18,228 | 22,615 |
Transition amount amortization | 0 | 0 | 0 |
Periodic benefit costs, net | $ 35,558 | $ 32,483 | $ 31,316 |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 4.00% | 4.80% | 3.80% |
Expected return on plan assets | 6.50% | 6.75% | 7.25% |
Rate of compensation increase | 4.90% | 4.85% | 4.50% |
Weighted-average assumptions to determine the net periodic benefit cost: [Abstract] | |||
Discount rate | 4.20% | 4.00% | 4.80% |
Rate of compensation increase | 4.90% | 4.90% | 4.85% |
Non-Qualified Pension Benefits | |||
Component of net periodic benefit costs: [Abstract] | |||
Service costs | $ 875 | $ 860 | $ 721 |
Interest costs | 1,414 | 1,660 | 1,316 |
Expected return on assets | 0 | 0 | 0 |
Settlement of retiree obligations | 1,635 | 0 | 0 |
Prior service cost (credit) amortization | 228 | 229 | 228 |
Actuarial loss (gain) amortization | 1,058 | 957 | 921 |
Transition amount amortization | 0 | 0 | 0 |
Periodic benefit costs, net | $ 5,210 | $ 3,706 | $ 3,186 |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 4.00% | 4.50% | 4.25% |
Rate of compensation increase | 5.15% | 4.75% | 4.75% |
Weighted-average assumptions to determine the net periodic benefit cost: [Abstract] | |||
Discount rate | 4.50% | 4.50% | 4.50% |
Rate of compensation increase | 4.80% | 4.80% | 4.75% |
Other Benefits | |||
Component of net periodic benefit costs: [Abstract] | |||
Service costs | $ 1,513 | $ 1,729 | $ 2,936 |
Interest costs | 1,489 | 1,918 | 2,275 |
Expected return on assets | 0 | 0 | 0 |
Settlement of retiree obligations | 0 | 0 | 0 |
Prior service cost (credit) amortization | (426) | (493) | (120) |
Actuarial loss (gain) amortization | (431) | (180) | 1,104 |
Transition amount amortization | 0 | 0 | 562 |
Periodic benefit costs, net | $ 2,145 | $ 2,974 | $ 6,757 |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 4.20% | 3.75% | 3.75% |
Weighted-average assumptions to determine the net periodic benefit cost: [Abstract] | |||
Discount rate | 3.75% | 4.60% | 3.75% |
Benefit Plans - Schedule of Am
Benefit Plans - Schedule of Amortization From Other Accumulated Comprehensive Income into Net Period Benefit Costs (Details) $ in Thousands | 12 Months Ended |
Aug. 31, 2015USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined benefit plan, health care benefits annual rate of increase in the per capita cost | 6.80% |
Defined benefit plan, health care benefits, decrease in the per capita cost trend rate | 5.00% |
Qualified Pension Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization of prior service cost (benefit) | $ 1,626 |
Amortization of net actuarial (gain) loss | 19,017 |
Non-Qualified Pension Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization of prior service cost (benefit) | 228 |
Amortization of net actuarial (gain) loss | 692 |
Other Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization of prior service cost (benefit) | (120) |
Amortization of net actuarial (gain) loss | $ (464) |
Benefit Plans - Schedule of th
Benefit Plans - Schedule of the Effect a Percentage Point Change in the Assumed Health Care Cost Trend Rates (Details) $ in Thousands | 12 Months Ended |
Aug. 31, 2015USD ($) | |
Compensation and Retirement Disclosure [Abstract] | |
Effect on total of service and interest cost components (1% increase) | $ 500 |
Effect on total of service and interest cost components (1% decrease) | (380) |
Effect on postretirement benefit obligation (1% increase) | 3,600 |
Effect on postretirement benefit obligation (1% decrease) | $ (3,200) |
Benefit Plans - Expected Futur
Benefit Plans - Expected Future Retiree Benefit Payments (Details) $ in Thousands | Aug. 31, 2015USD ($) |
Qualified Pension Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | $ 37,593 |
2,017 | 48,935 |
2,018 | 52,646 |
2,019 | 52,565 |
2,020 | 55,026 |
2021-2025 | 307,130 |
Non-Qualified Pension Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | 1,753 |
2,017 | 2,292 |
2,018 | 1,981 |
2,019 | 2,552 |
2,020 | 2,939 |
2021-2025 | 23,288 |
Other Benefits, Gross | |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | 2,708 |
2,017 | 2,781 |
2,018 | 2,909 |
2,019 | 3,017 |
2,020 | 3,175 |
2021-2025 | $ 16,831 |
Benefit Plans - Schedule of Pe
Benefit Plans - Schedule of Pension Plans' Fair Value Measurements (Details) - Pension Plans, Defined Benefit - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 |
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | $ 796,379 | $ 822,125 | $ 730,628 |
Cash and cash equivalents | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 4,882 | 4,218 | |
Mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 91,619 | 102,915 | |
Equity Securities: Common/collective trust [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 194,463 | 48,400 | |
Mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 154,116 | 147,184 | |
Fixed Income Securities: Common/collective trust [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 296,684 | 479,800 | |
Partnership and joint venture interests | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 52,640 | 37,649 | |
Hedge funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 1,975 | 1,959 | |
Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 230,057 | 227,506 | |
Level 1 | Cash and cash equivalents | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 4,882 | 4,218 | |
Level 1 | Mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 91,619 | 84,830 | |
Level 1 | Equity Securities: Common/collective trust [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 1 | Mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 133,556 | 138,458 | |
Level 1 | Fixed Income Securities: Common/collective trust [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 1 | Partnership and joint venture interests | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 1 | Hedge funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 20,560 | 26,811 | |
Level 2 | Cash and cash equivalents | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 2 | Mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 18,085 | |
Level 2 | Equity Securities: Common/collective trust [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 2 | Mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 20,560 | 8,726 | |
Level 2 | Fixed Income Securities: Common/collective trust [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 2 | Partnership and joint venture interests | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 2 | Hedge funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 3 | Cash and cash equivalents | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 3 | Mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 3 | Equity Securities: Common/collective trust [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 3 | Mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 3 | Fixed Income Securities: Common/collective trust [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 3 | Partnership and joint venture interests | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | 0 | 0 | |
Level 3 | Hedge funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plans assets, fair value | $ 0 | $ 0 |
Benefit Plans - Multiemployer C
Benefit Plans - Multiemployer Co-op Retirement Plan (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Co-op Retirement Plan | Multiemployer Plans, Pension | Pension Plans, Defined Benefit | |||
Multiemployer Plans [Line Items] | |||
Co-op Retirement Plan - Contributions of CHS | $ 2,021 | $ 2,079 | $ 2,095 |
Segment Reporting - Narrative
Segment Reporting - Narrative (Details) | Aug. 31, 2015 |
TEMCO, LLC [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investment, Ownership Percentage | 50.00% |
Ventura Foods, LLC | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investment, Ownership Percentage | 50.00% |
Ardent Mills LLC [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investment, Ownership Percentage | 12.00% |
Ag [Member] | TEMCO, LLC [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investment, Ownership Percentage | 50.00% |
Corporate and Other [Member] | Ventura Foods, LLC | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investment, Ownership Percentage | 50.00% |
Corporate and Other [Member] | Ardent Mills LLC [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investment, Ownership Percentage | 12.00% |
Segment Reporting - Segment In
Segment Reporting - Segment Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 34,582,442 | $ 42,664,033 | $ 44,479,857 |
Operating earnings | 715,412 | 1,049,948 | 1,225,161 |
(Gain) loss on investments | (5,239) | (114,162) | (182) |
Interest, net | 60,333 | 140,253 | 236,699 |
Equity (income) loss from investments | (107,850) | (107,446) | (97,350) |
Income before income taxes | 768,168 | 1,131,303 | 1,085,994 |
Sales | 0 | 0 | 0 |
Capital expenditures | 1,186,790 | 919,076 | 619,883 |
Depreciation and amortization | 355,422 | 306,247 | 276,580 |
Total assets | 15,228,312 | 15,296,104 | |
Energy [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 8,694,326 | 12,181,212 | 11,431,423 |
Operating earnings | 523,451 | 793,924 | 958,468 |
(Gain) loss on investments | 0 | 0 | 0 |
Interest, net | (12,350) | 69,522 | 148,931 |
Equity (income) loss from investments | (2,330) | (4,014) | (1,357) |
Income before income taxes | 538,131 | 728,416 | 810,894 |
Sales | (483,989) | (600,433) | (481,465) |
Capital expenditures | 696,825 | 539,170 | 429,230 |
Depreciation and amortization | 148,292 | 137,408 | 123,898 |
Total assets | 4,624,471 | 4,457,563 | |
Ag [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 26,311,350 | 31,022,507 | 33,471,977 |
Operating earnings | 190,860 | 249,944 | 263,757 |
(Gain) loss on investments | (2,875) | (1,949) | (27) |
Interest, net | 56,380 | 60,742 | 76,138 |
Equity (income) loss from investments | (12,293) | (22,279) | (15,194) |
Income before income taxes | 149,648 | 213,430 | 202,840 |
Sales | (11,403) | (9,960) | (11,316) |
Capital expenditures | 417,950 | 329,613 | 183,619 |
Depreciation and amortization | 192,438 | 157,102 | 136,556 |
Total assets | 7,814,689 | 6,949,617 | |
Corporate and Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 74,828 | 73,827 | 71,596 |
Operating earnings | 1,101 | 6,080 | 2,936 |
(Gain) loss on investments | (2,364) | (112,213) | (155) |
Interest, net | 16,303 | 9,989 | 11,630 |
Equity (income) loss from investments | (93,227) | (81,153) | (80,799) |
Income before income taxes | 80,389 | 189,457 | 72,260 |
Sales | (2,670) | (3,120) | (2,358) |
Capital expenditures | 72,015 | 50,293 | 7,034 |
Depreciation and amortization | 14,692 | 11,737 | 16,126 |
Total assets | 2,789,152 | 3,888,924 | |
Reconciling Amounts | |||
Segment Reporting Information [Line Items] | |||
Revenues | (498,062) | (613,513) | (495,139) |
Operating earnings | 0 | 0 | 0 |
(Gain) loss on investments | 0 | 0 | 0 |
Interest, net | 0 | 0 | 0 |
Equity (income) loss from investments | 0 | 0 | 0 |
Income before income taxes | 0 | 0 | 0 |
Sales | 498,062 | 613,513 | 495,139 |
Capital expenditures | 0 | 0 | 0 |
Depreciation and amortization | 0 | 0 | $ 0 |
Total assets | $ 0 | $ 0 |
Segment Reporting - Sales By G
Segment Reporting - Sales By Geographic Regions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Global Service Revenue | $ 367 | $ 362 | $ 331 |
Revenue, Net | 34,582 | 42,664 | 44,480 |
North America | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Sales Revenue, Goods, Net | 27,489 | 37,947 | 39,918 |
South America | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Sales Revenue, Goods, Net | 1,508 | 2,119 | 2,511 |
Europe | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Sales Revenue, Goods, Net | 4,210 | 1,594 | 1,040 |
Asia Pacific [Member] | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Sales Revenue, Goods, Net | $ 1,008 | $ 642 | $ 680 |
Derivatives Purchase and Sales
Derivatives Purchase and Sales Contracts Outstanding (Details) - Not Designated as Hedging Instrument [Member] - Forward Contracts [Member] - Bushels Bushels in Thousands | Aug. 31, 2015 | Aug. 31, 2014 |
Grain and oilseed contracts [Member] | Long [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 711,066 | 655,799 |
Grain and oilseed contracts [Member] | Short [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 895,326 | 802,479 |
Energy products [Member] | Long [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 17,238 | 20,191 |
Energy products [Member] | Short [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 11,676 | 16,431 |
Soy product contracts [Member] | Long [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 706 | 749 |
Soy product contracts [Member] | Short [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 2,741 | 3,047 |
Crop nutrient contracts | Long [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 48 | 59 |
Crop nutrient contracts | Short [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 116 | 126 |
Ocean and barge freight contracts | Long [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 5,916 | 5,727 |
Ocean and barge freight contracts | Short [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 1,962 | 4,250 |
Rail freight contracts | Long [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 297 | 364 |
Rail freight contracts | Short [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 122 | 186 |
Livestock contracts | Long [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 10,480 | 11,960 |
Livestock contracts | Short [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 1,280 | 46,520 |
Derivatives Derivative Assets a
Derivatives Derivative Assets and Liabilities Not Designated as Hedging Instruments (Details) - Not Designated as Hedging Instrument [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Derivative [Line Items] | |||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | $ 155,972 | $ 123,180 | $ (59,518) |
Commodity and Freight Derivatives [Member] | Cost of Sales [Member] | |||
Derivative [Line Items] | |||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | 143,314 | 128,992 | (97,373) |
Foreign Exchange Contract [Member] | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 1,300,000 | 784,400 | |
Foreign Exchange Contract [Member] | Cost of Sales [Member] | |||
Derivative [Line Items] | |||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | 12,551 | (5,926) | 37,555 |
Interest Rate Contract [Member] | Interest Expense [Member] | |||
Derivative [Line Items] | |||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | 107 | $ 114 | $ 300 |
Interest Rate Contracts, Expiring During Fiscal 2016 | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 400 | ||
Interest Rate Contracts, Expiring At Various Times Through Fiscal 2018 [Member] | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | $ 2,500 |
Derivatives Derivative Instrume
Derivatives Derivative Instruments Designated as Hedging Instruments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | $ 470,769 | $ 599,990 |
Derivative Assets | 513,441 | 603,933 |
Increase (Decrease) in Fair Value of Hedged Item in Interest Rate Fair Value Hedge | 8,000 | 4,200 |
Foreign Exchange Contract [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 37,598 | 2,248 |
Derivative, Notional Amount | 1,300,000 | 784,400 |
Derivative Assets | 23,154 | 2,523 |
Interest Rate Contract [Member] | Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 6,058 | |
Derivative Assets | 14,216 | 4,200 |
Interest Rate Contract [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 61 | $ 130 |
Fair Value Hedging [Member] | Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 420,000 | |
Cash Flow Hedging [Member] | Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | $ 300,000 |
Derivatives Gains (Losses) incl
Derivatives Gains (Losses) included in Other Comprehensive Income in Derivatives Accounted for as Hedging Instruments, Net of Tax (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Interest rate derivatives | $ (4,078) | $ (10,580) | $ 24,135 |
Interest Expense [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Interest rate derivatives | $ (792) | $ 12,727 | $ (907) |
Derivatives Narrative (Details)
Derivatives Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Aug. 31, 2014 | Aug. 31, 2015 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Debt, Weighted Average Interest Rate | 5.80% | |
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain on Discontinuation of Cash Flow Hedge Due to Forecasted Transaction Probable of Not Occurring | $ 13.5 |
Derivatives Reconcilation of Gr
Derivatives Reconcilation of Gross and Net (Details) - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 |
Reconciliation of gross and net fair value of assets and liabilities subject to offsetting arrangements [Line Items] | ||
Derivative Assets | $ 513,441 | $ 603,933 |
Derivative asset, fair value, gross amount not offset on Balance sheet | 70,083 | 43,403 |
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 443,358 | 560,530 |
Derivative Liability, Fair Value, Gross Liability | 470,769 | 599,990 |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 11,482 | 2,504 |
Derivative liability, fair value, gross amount not offset on balance sheet | (70,083) | (43,403) |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 389,204 | 554,083 |
Designated as Hedging Instrument [Member] | Interest Rate Contract [Member] | ||
Reconciliation of gross and net fair value of assets and liabilities subject to offsetting arrangements [Line Items] | ||
Derivative Assets | 14,216 | 4,200 |
Derivative asset, fair value, gross amount not offset on Balance sheet | 0 | 0 |
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 14,216 | 4,200 |
Derivative Liability, Fair Value, Gross Liability | 6,058 | |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 0 | |
Derivative liability, fair value, gross amount not offset on balance sheet | 0 | |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 6,058 | |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | ||
Reconciliation of gross and net fair value of assets and liabilities subject to offsetting arrangements [Line Items] | ||
Derivative Assets | 23,154 | 2,523 |
Derivative asset, fair value, gross amount not offset on Balance sheet | 11,682 | 1,174 |
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 11,472 | 1,349 |
Derivative Liability, Fair Value, Gross Liability | 37,598 | 2,248 |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 0 | 0 |
Derivative liability, fair value, gross amount not offset on balance sheet | (11,682) | (1,174) |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 25,916 | 1,074 |
Not Designated as Hedging Instrument [Member] | Interest Rate Contract [Member] | ||
Reconciliation of gross and net fair value of assets and liabilities subject to offsetting arrangements [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 61 | 130 |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 0 | 0 |
Derivative liability, fair value, gross amount not offset on balance sheet | 0 | 0 |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 61 | 130 |
Not Designated as Hedging Instrument [Member] | Commodity and Freight Derivatives [Member] | ||
Reconciliation of gross and net fair value of assets and liabilities subject to offsetting arrangements [Line Items] | ||
Derivative Assets | 476,071 | 597,210 |
Derivative asset, fair value, gross amount not offset on Balance sheet | 58,401 | 42,229 |
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 417,670 | 554,981 |
Derivative Liability, Fair Value, Gross Liability | 427,052 | 597,612 |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 11,482 | 2,504 |
Derivative liability, fair value, gross amount not offset on balance sheet | (58,401) | (42,229) |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | $ 357,169 | $ 552,879 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value Measurements (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Aug. 31, 2015 | Aug. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deferred Compensation Assets, at Fair Value | $ 72,571 | $ 83,217 |
Other assets | 10,905 | 8,778 |
Total assets | 596,917 | 695,928 |
Foreign Currency Contracts, Liability, Fair Value Disclosure | 37,598 | 2,248 |
Total liabilities | 546,751 | 714,907 |
Foreign Exchange Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 23,155 | 2,523 |
Commodity and Freight Derivatives [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 476,070 | 597,210 |
Derivative Liability | 427,052 | 597,612 |
Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 14,216 | 4,200 |
Derivative Liability | 6,119 | 130 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deferred Compensation Assets, at Fair Value | 72,571 | 83,217 |
Other assets | 10,905 | 8,778 |
Total assets | 130,452 | 173,108 |
Foreign Currency Contracts, Liability, Fair Value Disclosure | 0 | 2,248 |
Total liabilities | 58,873 | 119,938 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Foreign Exchange Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | 2,523 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commodity and Freight Derivatives [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 46,976 | 78,590 |
Derivative Liability | 58,873 | 117,690 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 0 | 0 |
Derivative Liability | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deferred Compensation Assets, at Fair Value | 0 | 0 |
Other assets | 0 | 0 |
Total assets | 466,465 | 522,820 |
Foreign Currency Contracts, Liability, Fair Value Disclosure | 37,598 | 0 |
Total liabilities | 411,896 | 480,052 |
Significant Other Observable Inputs (Level 2) | Foreign Exchange Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 23,155 | 0 |
Significant Other Observable Inputs (Level 2) | Commodity and Freight Derivatives [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 429,094 | 518,620 |
Derivative Liability | 368,179 | 479,922 |
Significant Other Observable Inputs (Level 2) | Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 14,216 | 4,200 |
Derivative Liability | 6,119 | 130 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deferred Compensation Assets, at Fair Value | 0 | 0 |
Other assets | 0 | 0 |
Total assets | 0 | 0 |
Foreign Currency Contracts, Liability, Fair Value Disclosure | 0 | 0 |
Total liabilities | 75,982 | 114,917 |
Significant Unobservable Inputs (Level 3) | Foreign Exchange Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Commodity and Freight Derivatives [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 0 | 0 |
Derivative Liability | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 0 | 0 |
Derivative Liability | 0 | 0 |
NCRA [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | 75,982 | 114,917 |
NCRA [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | 0 | 0 |
NCRA [Member] | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | 0 | 0 |
NCRA [Member] | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | $ 75,982 | $ 114,917 |
Fair Value Measurements - Quan
Fair Value Measurements - Quantitative Information about Level 3 Fair Value Measurements (Details) - USD ($) | 12 Months Ended | |||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | ||
Fair Value, Inputs, Level 3 | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Minimum | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Fair Value Inputs, Forward Crack Spread Margin Quotes and Management Estimates Based on Future Settlement | [1] | $ 12.99 | ||
Risk-free interest rate | [2] | 0.48% | ||
Expected life (years) | [3] | 1 year | ||
Fair Value, Inputs, Level 3 | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Average | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Fair Value Inputs, Forward Crack Spread Margin Quotes and Management Estimates Based on Future Settlement | [1] | $ 19.67 | ||
Risk-free interest rate | [2] | 0.67% | ||
Expected life (years) | [3] | 1 year 5 months 7 days | ||
Fair Value, Inputs, Level 3 | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | Maximum | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Fair Value Inputs, Forward Crack Spread Margin Quotes and Management Estimates Based on Future Settlement | [1] | $ 24.33 | ||
Risk-free interest rate | [2] | 0.94% | ||
Expected life (years) | [3] | 2 years | ||
Crack Spread Contingent Payment [Member] | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | $ 75,982,000 | $ 114,917,000 | $ 134,134,000 | |
Crack Spread Contingent Payment [Member] | NCRA [Member] | Fair Value, Inputs, Level 3 | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | $ 75,982,000 | |||
Contractual target crack spread margin (in dollars per share) | [4] | $ 17.50 | ||
Expected volatility | [5] | 159.05% | ||
[1] | Represents forward crack spread margin quotes and management estimates based on future settlement dates | |||
[2] | Represents yield curves for U.S. Treasury securities | |||
[3] | Represents the range in the number of years remaining related to each contingent payment | |||
[4] | Represents the minimum contractual threshold that would require settlement with the counterparties | |||
[5] | Represents quarterly adjusted volatility estimates derived from daily historical market data |
Fair Value Measurements - Fa99
Fair Value Measurements - Fair Value Reconciliation Liabilities Using Significant Unobservable Inputs (Level 3) (Details) - Crack Spread Contingent Payment [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Balance - beginning | $ 114,917 | $ 134,134 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Liability, Transfers out of Level 3 | (2,625) | 0 |
Balance - ending | 75,982 | 114,917 |
Cost of Goods, Total | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total gains included in cost of goods sold | $ (36,310) | $ (19,217) |
Commitments and Contingencies
Commitments and Contingencies - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Property, Plant and Equipment [Line Items] | |||
Maximum Guarantees Allowed by Bank Covenants | $ 1,000 | ||
Guarantees [Abstract] | |||
Guarantor obligations, maximum exposure, undiscounted | 94.6 | ||
Lease Commitments | |||
Operating leases, rent expense, net | 56.7 | $ 47.4 | $ 41.6 |
CHS Capital [Member] | |||
Credit Commitments [Abstract] | |||
CHS Capital long-term notes receivable additional available credit of counterparty | $ 1,000 | ||
Minimum | |||
Lease Commitments | |||
Lessee Leasing Arrangements, Operating Leases, Term of Contract | 1 year | ||
Maximum | |||
Lease Commitments | |||
Lessee Leasing Arrangements, Operating Leases, Term of Contract | 12 years |
Commitments and Contingencie101
Commitments and Contingencies - Schedule of Future Minimum Noncancellable Operating Lease Payments (Details) $ in Thousands | Aug. 31, 2015USD ($) |
Schedule of Future Minimum Payments on Operating Lease Commitments | |
2,016 | $ 54,188 |
2,017 | 43,748 |
2,018 | 36,004 |
2,019 | 28,433 |
2,020 | 20,968 |
Thereafter | 66,399 |
Total minimum future lease payments | $ 249,740 |
Commitments and Contingencies -
Commitments and Contingencies - Purchase Obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Long-term unconditional purchase obligations, minimum amount required | $ 655,000 | ||
Long-term unconditional purchase obligations, period amount purchase | 66,800 | $ 65,500 | $ 62,400 |
Minimum | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Long-term unconditional purchase obligations, Total | 815,179 | ||
Long-term unconditional purchase obligations, Less than 1 Year | 62,585 | ||
Long-term unconditional purchase obligations, 1 - 3 Years | 111,905 | ||
Long-term unconditional purchase obligations, 3 - 5 Years | 109,712 | ||
Long-term unconditional purchase obligations, More than 5 Years | $ 530,977 |
Supplemental Cash Flow and O103
Supplemental Cash Flow and Other Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Net cash paid during the period for: | |||
Interest | $ 130,571 | $ 166,524 | $ 261,670 |
Income taxes | 54,229 | 23,363 | 23,228 |
Capital Expenditures and Major Repairs Incurred but Not yet Paid | 60,226 | 64,825 | 39,638 |
Capital Lease Obligations Incurred | 9,741 | 62,425 | 71,296 |
Other significant noncash investing and financing transactions: | |||
Capital equity certificates redeemed with preferred stock | 0 | 200,000 | 0 |
Capital equity certificates issued in exchange for Ag Business acquisitions | 15,618 | 14,278 | 18,211 |
Dividends and equities payable | 384,427 | 409,961 | 390,153 |
Ardent Mills LLC [Member] | |||
Other Significant Noncash Transactions [Line Items] | |||
Contribution of Property | $ 0 | $ 205,040 | $ 0 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Related Party Transaction [Line Items] | |||
Sales | $ 0 | $ 0 | $ 0 |
Primarily TEMCO, Horizon Milling, United Harvest and Ventura Foods | |||
Related Party Transaction [Line Items] | |||
Sales | 2,310,875 | 3,247,197 | 2,963,468 |
Purchases | 1,762,663 | 1,648,030 | $ 1,535,176 |
Due from related parties | 73,000 | 16,737 | |
Due to related parties | $ 6,656 | $ 43,361 |
Acquisitions - Narrative (Detai
Acquisitions - Narrative (Details) - Series of Individually Immaterial Business Acquisitions [Member] - USD ($) $ in Millions | 12 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Business Acquisition [Line Items] | ||
Payments to Acquire Assets, Investing Activities | $ 321 | |
Cash Distribution [Member] | ||
Business Acquisition [Line Items] | ||
Payments to Acquire Assets, Investing Activities | $ 305.2 | $ 281.5 |
Acquisitions - National Cooper
Acquisitions - National Cooperative Refinery Association Acquisition (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | 37 Months Ended | 46 Months Ended | ||||
Nov. 30, 2014USD ($) | Nov. 30, 2013USD ($) | Aug. 31, 2015USD ($) | Aug. 31, 2014USD ($) | Aug. 31, 2013USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2015USD ($) | Nov. 29, 2011USD ($)Closingscontingent_payments | |
Business Acquisition [Line Items] | ||||||||
Current portion of mandatorily redeemable noncontrolling interest | $ 152,607 | $ 65,981 | ||||||
National Cooperative Refinery Association | ||||||||
Business Acquisition [Line Items] | ||||||||
Percentage of voting interest acquired | 25.60% | |||||||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Percentage | 88.90% | 74.40% | ||||||
National Cooperative Refinery Association | Accounts Payable and Accrued Liabilities [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | $ 2,600 | |||||||
National Cooperative Refinery Association | Accrued liability for contingent crack spread payments related to purchase of noncontroling interests | ||||||||
Business Acquisition [Line Items] | ||||||||
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interest | 76,000 | 114,900 | ||||||
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | (36,300) | (19,200) | ||||||
National Cooperative Refinery Association | Interest, Net | ||||||||
Business Acquisition [Line Items] | ||||||||
Patronage earned by member | $ 31,000 | $ 65,500 | $ 142,400 | |||||
National Cooperative Refinery Association | Growmark | ||||||||
Business Acquisition [Line Items] | ||||||||
Percentage of voting interest acquired | 18.60% | |||||||
Number of separate closings | Closings | 4 | |||||||
Business Combination, Step Acquisition, Future Payments Due, First Three Closings | $ 48,000 | |||||||
Aggregate base purchase price, amount paid at the final closing | $ 111,400 | |||||||
Number of purchase price payments | contingent_payments | 2 | |||||||
National Cooperative Refinery Association | MFA | ||||||||
Business Acquisition [Line Items] | ||||||||
Percentage of voting interest acquired | 7.00% | |||||||
Number of separate closings | Closings | 4 | |||||||
Business Combination, Step Acquisition, Future Payments Due, First Three Closings | $ 18,000 | |||||||
Aggregate base purchase price, amount paid at the final closing | $ 41,600 | |||||||
Number of purchase price payments | contingent_payments | 2 | |||||||
Crack Spread Contingent Payment [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business Acquisition, Contingent Consideration, Potential Cash Payment | $ 0 | $ 16,500 | ||||||
Subsequent Event [Member] | National Cooperative Refinery Association | ||||||||
Business Acquisition [Line Items] | ||||||||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Percentage | 100.00% | 100.00% | ||||||
Subsequent Event [Member] | National Cooperative Refinery Association | Growmark | ||||||||
Business Acquisition [Line Items] | ||||||||
Aggregate base purchase price | $ 255,500 | |||||||
Subsequent Event [Member] | National Cooperative Refinery Association | MFA | ||||||||
Business Acquisition [Line Items] | ||||||||
Aggregate base purchase price | $ 95,500 |
Acquisitions - Solbar Industri
Acquisitions - Solbar Industries Ltd. Acquisition (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Business Acquisition [Line Items] | |||
Payments to Acquire Businesses, Net of Cash Acquired | $ 305,213 | $ 281,490 | $ 12,711 |
Acquisitions Business Combinati
Acquisitions Business Combination, Preliminary Purchase Price Allocation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Business Combinations [Abstract] | ||
Current Assets | $ 60,577 | |
Property, plant and equipment | 312,288 | |
Goodwill, Acquired During Period | 423 | $ 72,913 |
Other assets | 16,118 | |
Current liabilities | (60,127) | |
Other liabilities | (8,261) | |
Total net assets acquired | $ 321,018 |
Correction of Immaterial Err109
Correction of Immaterial Error (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Property, plant and equipment | $ 5,192,927 | $ 4,180,148 | |
Total assets | 15,228,312 | 15,296,104 | |
Current portion of long-term debt | 201,965 | ||
Total current liabilities | 5,256,860 | 6,229,138 | |
Long-term debt | 1,403,660 | ||
Total liabilities and equities | 15,228,312 | 15,296,104 | |
Cost of goods sold | 33,091,676 | 41,011,487 | $ 42,701,073 |
Gross profit | 1,490,766 | 1,652,546 | 1,778,784 |
Operating earnings | 715,412 | 1,049,948 | 1,225,161 |
Interest, net | 60,333 | 140,253 | 236,699 |
Income before income taxes | 768,168 | 1,131,303 | 1,085,994 |
Depreciation and amortization | 355,422 | 306,247 | 276,580 |
Accounts payable and accrued expenses | (558,120) | (189,803) | 13,258 |
Net cash provided by operating activities | 570,010 | 1,441,244 | 2,472,950 |
Acquisition of property, plant and equipment | (1,186,790) | (919,076) | (619,883) |
Expenditures for major repairs | (201,688) | (2,930) | (73,552) |
Net cash used in investing activities | (1,908,668) | (1,316,395) | (495,319) |
Principal payments on capital lease obligations | (38,902) | (39,871) | (35,387) |
Other financing activities, net | 6,462 | 344 | 262 |
Net cash (used in) provided by financing activities | $ 153,828 | 201,450 | (477,963) |
Scenario, Previously Reported [Member] | |||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Property, plant and equipment | 4,031,023 | ||
Total assets | 15,146,979 | ||
Current portion of long-term debt | 156,836 | ||
Total current liabilities | 6,184,009 | ||
Long-term debt | 1,299,664 | ||
Total liabilities and equities | 15,146,979 | ||
Cost of goods sold | 41,016,798 | 42,706,205 | |
Gross profit | 1,647,235 | 1,773,652 | |
Operating earnings | 1,044,637 | 1,220,029 | |
Interest, net | 134,942 | 231,567 | |
Income before income taxes | 1,131,303 | 1,085,994 | |
Depreciation and amortization | 267,167 | 241,791 | |
Accounts payable and accrued expenses | (164,616) | 52,897 | |
Net cash provided by operating activities | 1,427,351 | 2,477,800 | |
Acquisition of property, plant and equipment | (943,888) | (659,373) | |
Expenditures for major repairs | (3,305) | (73,701) | |
Net cash used in investing activities | (1,341,582) | (534,958) | |
Principal payments on capital lease obligations | 0 | 0 | |
Other financing activities, net | (447) | (336) | |
Net cash (used in) provided by financing activities | 240,530 | (443,174) | |
Scenario, Adjustment [Member] | |||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Property, plant and equipment | 149,125 | ||
Total assets | 149,125 | ||
Current portion of long-term debt | 45,129 | ||
Total current liabilities | 45,129 | ||
Long-term debt | 103,996 | ||
Total liabilities and equities | 149,125 | ||
Cost of goods sold | (5,311) | (5,132) | |
Gross profit | 5,311 | 5,132 | |
Operating earnings | 5,311 | 5,132 | |
Interest, net | 5,311 | 5,132 | |
Income before income taxes | 0 | 0 | |
Depreciation and amortization | 39,080 | 34,789 | |
Accounts payable and accrued expenses | (25,187) | (39,639) | |
Net cash provided by operating activities | 13,893 | (4,850) | |
Acquisition of property, plant and equipment | 24,812 | 39,490 | |
Expenditures for major repairs | 375 | 149 | |
Net cash used in investing activities | 25,187 | 39,639 | |
Principal payments on capital lease obligations | (39,871) | (35,387) | |
Other financing activities, net | 791 | 598 | |
Net cash (used in) provided by financing activities | $ (39,080) | $ (34,789) |
Schedule II - Valuation and 110
Schedule II - Valuation and Qualifying Accounts and Reserves (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 | |
Valuation Allowance for Doubtful Accounts | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Year | $ 103,639 | $ 94,589 | $ 111,785 |
Additions: Charged to Costs and Expenses | 8,132 | 9,313 | (13,130) |
Deductions: Write-offs, net of Recoveries | (5,326) | (263) | (4,066) |
Balance at End of Year | 106,445 | 103,639 | 94,589 |
Valuation Allowance of Deferred Tax Assets | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Year | 111,509 | 79,623 | 56,659 |
Additions: Charged to Costs and Expenses | 21,884 | 40,095 | 27,046 |
Deductions: Write-offs, net of Recoveries | (35,370) | (8,209) | (4,082) |
Balance at End of Year | $ 98,023 | $ 111,509 | $ 79,623 |