Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Feb. 14, 2015 | Mar. 20, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 14-Feb-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | AZO | |
Entity Registrant Name | AUTOZONE INC | |
Entity Central Index Key | 866787 | |
Current Fiscal Year End Date | -21 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 31,723,352 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Feb. 14, 2015 | Aug. 30, 2014 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $151,539 | $124,485 |
Accounts receivable | 196,650 | 200,899 |
Merchandise inventories | 3,456,812 | 3,140,100 |
Other current assets | 102,064 | 110,420 |
Deferred income taxes | 6,798 | 4,708 |
Total current assets | 3,913,863 | 3,580,612 |
Property and equipment: | ||
Property and equipment | 5,648,630 | 5,500,674 |
Less: Accumulated depreciation and amortization | -2,272,150 | -2,190,199 |
Property and equipment, net | 3,376,480 | 3,310,475 |
Goodwill | 384,013 | 367,829 |
Deferred income taxes | 50,016 | 45,137 |
Other long-term assets | 225,593 | 213,805 |
Other long-term assets, total | 659,622 | 626,771 |
Assets | 7,949,965 | 7,517,858 |
Current liabilities: | ||
Accounts payable | 3,716,519 | 3,609,199 |
Accrued expenses and other | 500,904 | 481,894 |
Income taxes payable | 92,330 | 41,200 |
Deferred income taxes | 226,414 | 227,891 |
Short-term borrowings | 87,156 | 180,910 |
Total current liabilities | 4,623,323 | 4,541,094 |
Long-term debt | 4,361,144 | 4,162,890 |
Other long-term liabilities | 434,177 | 435,731 |
Commitments and contingencies | ||
Stockholders' deficit: | ||
Preferred stock, authorized 1,000 shares; no shares issued | ||
Common stock, par value $.01 per share, authorized 200,000 shares; 31,945 shares issued and 31,902 shares outstanding as of February 14, 2015; 33,858 shares issued and 32,304 shares outstanding as of August 30, 2014 | 319 | 339 |
Additional paid-in capital | 871,595 | 843,504 |
Retained deficit | -2,128,946 | -1,529,123 |
Accumulated other comprehensive loss | -185,586 | -128,903 |
Treasury stock, at cost | -26,061 | -807,674 |
Total stockholders' deficit | -1,468,679 | -1,621,857 |
Liabilities and Stockholders' Deficit | $7,949,965 | $7,517,858 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) (USD $) | Feb. 14, 2015 | Aug. 30, 2014 |
Statement of Financial Position [Abstract] | ||
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 31,945,000 | 33,858,000 |
Common stock, shares outstanding | 31,902,000 | 32,304,000 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Income (Unaudited) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | Feb. 15, 2014 |
Income Statement [Abstract] | ||||
Net sales | $2,143,651 | $1,990,494 | $4,403,916 | $4,084,072 |
Cost of sales, including warehouse and delivery expenses | 1,023,618 | 953,459 | 2,107,222 | 1,961,339 |
Gross profit | 1,120,033 | 1,037,035 | 2,296,694 | 2,122,733 |
Operating, selling, general and administrative expenses | 758,764 | 699,691 | 1,526,863 | 1,401,663 |
Operating profit | 361,269 | 337,344 | 769,831 | 721,070 |
Interest expense, net | 34,536 | 39,490 | 71,596 | 81,921 |
Income before income taxes | 326,733 | 297,854 | 698,235 | 639,149 |
Income taxes | 115,010 | 105,024 | 248,202 | 228,232 |
Net income | $211,723 | $192,830 | $450,033 | $410,917 |
Weighted average shares for basic earnings per share | 31,903 | 33,647 | 32,018 | 33,879 |
Effect of dilutive stock equivalents | 637 | 614 | 633 | 589 |
Weighted average shares for diluted earnings per share | 32,540 | 34,261 | 32,651 | 34,468 |
Basic earnings per share | $6.64 | $5.73 | $14.06 | $12.13 |
Diluted earnings per share | $6.51 | $5.63 | $13.78 | $11.92 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (Unaudited) (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, unless otherwise specified | Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | Feb. 15, 2014 | ||||
Statement of Comprehensive Income [Abstract] | ||||||||
Net income | $211,723 | $192,830 | $450,033 | $410,917 | ||||
Other comprehensive (loss) income: | ||||||||
Pension liability adjustments, net of taxes | 1,268 | [1] | 955 | [1] | 2,485 | [1] | 1,907 | [1] |
Foreign currency translation adjustments | -40,492 | -9,196 | -58,853 | -1,689 | ||||
Unrealized (losses) gains on marketable securities, net of taxes | -50 | [2] | -45 | [2] | -88 | [2] | 171 | [2] |
Net derivative activities, net of taxes | -161 | [3] | 27 | [3] | -227 | [3] | 53 | [3] |
Total other comprehensive (loss) income | -39,435 | -8,259 | -56,683 | 442 | ||||
Comprehensive income | $172,288 | $184,571 | $393,350 | $411,359 | ||||
[1] | Pension liability adjustments are presented net of taxes of $795 in fiscal 2015 and $632 in fiscal 2014 for the twelve weeks ended and $1,642 in fiscal 2015 and $1,268 in fiscal 2014 for the twenty-four weeks ended | |||||||
[2] | Unrealized (losses) gains on marketable securities are presented net of taxes of $26 in fiscal 2015 and $24 in fiscal 2014 for the twelve weeks ended and $47 in fiscal 2015 and $92 in fiscal 2014 for the twenty-four weeks ended | |||||||
[3] | Net derivative activities are presented net of taxes of $179 in fiscal 2015 and $15 in fiscal 2014 for the twelve weeks ended and $215 in fiscal 2015 and $31 in fiscal 2014 for the twenty-four weeks ended |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | Feb. 15, 2014 |
Statement of Comprehensive Income [Abstract] | ||||
Pension liability adjustments, taxes | $795 | $632 | $1,642 | $1,268 |
Unrealized (losses) gains on marketable securities, taxes | 26 | 24 | 47 | 92 |
Net derivative activities, taxes | $179 | $15 | $215 | $31 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Feb. 14, 2015 | Feb. 15, 2014 |
Cash flows from operating activities: | ||
Net income | $450,033 | $410,917 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization of property and equipment and intangibles | 120,912 | 114,154 |
Amortization of debt origination fees | 2,918 | 3,258 |
Income tax benefit from exercise of stock options | -28,619 | -11,146 |
Deferred income taxes | -9,031 | -20,839 |
Share-based compensation expense | 20,200 | 20,716 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 21,377 | -18,433 |
Merchandise inventories | -277,854 | -228,664 |
Accounts payable and accrued expenses | 103,922 | 135,094 |
Income taxes payable | 79,774 | 98,683 |
Other, net | -7,094 | 4,232 |
Net cash provided by operating activities | 476,538 | 507,972 |
Cash flows from investing activities: | ||
Capital expenditures | -186,174 | -159,961 |
Acquisition of business, net of cash | -75,744 | |
Purchase of intangibles | -10,000 | -11,112 |
Purchase of marketable securities | -21,679 | -21,091 |
Proceeds from sale of marketable securities | 19,595 | 19,240 |
Disposal of capital assets and other, net | 2,550 | -871 |
Net cash used in investing activities | -271,452 | -173,795 |
Cash flows from financing activities: | ||
Net proceeds from commercial paper | 604,500 | 234,684 |
Proceeds from issuance of debt | 400,000 | |
Repayment of debt | -500,000 | -500,000 |
Net proceeds from sale of common stock | 38,110 | 27,601 |
Purchase of treasury stock | -325,667 | -491,538 |
Income tax benefit from exercise of stock options | 28,619 | 11,146 |
Payments of capital lease obligations | -18,169 | -16,327 |
Other, net | -2,087 | -2,294 |
Net cash used in financing activities | -174,694 | -336,728 |
Effect of exchange rate changes on cash | -3,338 | 115 |
Net increase (decrease) in cash and cash equivalents | 27,054 | -2,436 |
Cash and cash equivalents at beginning of period | 124,485 | 142,191 |
Cash and cash equivalents at end of period | $151,539 | $139,755 |
General
General | 6 Months Ended |
Feb. 14, 2015 | |
Accounting Policies [Abstract] | |
General | Note A – General |
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and with instructions to Form 10-Q and Article 10 of Regulation S-X of the Securities and Exchange Commission’s (the “SEC”) rules and regulations. Accordingly, they do not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments, including normal recurring accruals, considered necessary for a fair presentation have been included. For further information, refer to the consolidated financial statements and related notes included in the AutoZone, Inc. (“AutoZone” or the “Company”) Annual Report on Form 10-K for the year ended August 30, 2014. | |
Operating results for the twelve and twenty-four weeks ended February 14, 2015 are not necessarily indicative of the results that may be expected for the fiscal year ending August 29, 2015. Each of the first three quarters of AutoZone’s fiscal year consists of 12 weeks, and the fourth quarter consists of 16 or 17 weeks. The fourth quarters for fiscal 2015 and 2014 each have 16 weeks. Additionally, the Company’s business is somewhat seasonal in nature, with the highest sales generally occurring during the months of February through September and the lowest sales generally occurring in the months of December and January. | |
Recently Issued Accounting Pronouncements: In August 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-15, Presentation of Financial Statements – Going Concern. ASU 2014-15 will require management to assess an entity’s ability to continue as a going concern for each annual and interim reporting period and to provide related footnote disclosure in circumstances in which substantial doubt exists. The Company does not expect the provision of ASU 2014-15 to have a material impact on its consolidated financial statements as the application of this guidance affects disclosure only. This update will be effective for the Company beginning with its annual period ending August 26, 2017. | |
In January 2015, the FASB issued ASU 2015-01, Income Statement – Extraordinary and Unusual Items. ASU 2015-01 eliminates from GAAP the concept of extraordinary items. ASU 2015-01 eliminates the separate presentation of extraordinary items but does not change the requirement to disclose material items that are unusual or infrequent in nature. Eliminating the concept of extraordinary items will allow the entity to no longer have to assess whether a particular event or transaction is both unusual in nature and infrequent in occurrence. The Company does not expect the provision of ASU 2015-01 to have a material impact on its consolidated financial statements. This update will be effective for the Company beginning with its annual period ending August 26, 2017. |
ShareBased_Payments
Share-Based Payments | 6 Months Ended | ||||||||
Feb. 14, 2015 | |||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||
Share-Based Payments | Note B – Share-Based Payments | ||||||||
AutoZone recognizes compensation expense for share-based payments based on the fair value of the awards at the grant date. Share-based payments include stock option grants, restricted stock grants, restricted stock unit grants and the discount on shares sold to employees under share purchase plans. Additionally, directors’ fees are paid in restricted stock units with value equivalent to the value of shares of common stock as of the grant date. The change in fair value of liability-based stock awards is also recognized in share-based compensation expense. | |||||||||
Total share-based compensation expense (a component of Operating, selling, general and administrative expenses) was $11.4 million for the twelve week period ended February 14, 2015, and was $11.5 million for the comparable prior year period. Share-based compensation expense was $20.2 million for the twenty-four week period ended February 14, 2015, and was $20.7 million for the comparable prior year period. | |||||||||
During the twenty-four week period ended February 14, 2015, 210,976 stock options were exercised at a weighted average exercise price of $183.26. In the comparable prior year period, 142,816 stock options were exercised at a weighted average exercise price of $192.70. | |||||||||
The Company made stock option grants of 328,060 shares during the twenty-four week period ended February 14, 2015, and granted options to purchase 347,615 shares during the comparable prior year period. The weighted average fair value of the stock option awards granted during the twenty-four week periods ended February 14, 2015, and February 15, 2014, using the Black-Scholes-Merton multiple-option pricing valuation model, was $106.17 and $96.92 per share, respectively, using the following weighted average key assumptions: | |||||||||
Twenty-Four Weeks Ended | |||||||||
February 14, | February 15, | ||||||||
2015 | 2014 | ||||||||
Expected price volatility | 20 | % | 23 | % | |||||
Risk-free interest rate | 1.4 | % | 1 | % | |||||
Weighted average expected lives (in years) | 5.1 | 5.2 | |||||||
Forfeiture rate | 9 | % | 9 | % | |||||
Dividend yield | 0 | % | 0 | % | |||||
See AutoZone’s Annual Report on Form 10-K for the year ended August 30, 2014, for a discussion regarding the methodology used in developing AutoZone’s assumptions to determine the fair value of the option awards and a description of AutoZone’s 2011 Equity Incentive Award Plan, the 2011 Director Compensation Program and the 2014 Director Compensation Plan. | |||||||||
For the twelve week period ended February 14, 2015, 600 stock options were excluded from the diluted earnings per share computation because they would have been anti-dilutive. For the comparable prior year period, no anti-dilutive shares were excluded from the dilutive earnings per share computation. There were 600 anti-dilutive shares excluded from the diluted earnings per share computation for the twenty-four week period ended February 14, 2015, and 5,830 anti-dilutive shares excluded for the comparable prior year period. |
Fair_Value_Measurements
Fair Value Measurements | 6 Months Ended | ||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Fair Value Measurements | Note C – Fair Value Measurements | ||||||||||||||||
The Company defines fair value as the price received to transfer an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company uses a hierarchy of valuation inputs to measure fair value. | |||||||||||||||||
The hierarchy prioritizes the inputs into three broad levels: | |||||||||||||||||
Level 1 inputs – unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access. An active market for the asset or liability is one in which transactions for the asset or liability occur with sufficient frequency and volume to provide ongoing pricing information. | |||||||||||||||||
Level 2 inputs – inputs other than quoted market prices included in Level 1 that are observable, either directly or indirectly, for the asset or liability. Level 2 inputs include, but are not limited to, quoted prices for similar assets or liabilities in an active market, quoted prices for identical or similar assets or liabilities in markets that are not active and inputs other than quoted market prices that are observable for the asset or liability, such as interest rate curves and yield curves observable at commonly quoted intervals, volatilities, credit risk and default rates. | |||||||||||||||||
Level 3 inputs – unobservable inputs for the asset or liability. | |||||||||||||||||
Financial Assets & Liabilities Measured at Fair Value on a Recurring Basis | |||||||||||||||||
The Company’s assets and liabilities measured at fair value on a recurring basis were as follows: | |||||||||||||||||
February 14, 2015 | |||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Fair Value | |||||||||||||
Other current assets | $ | 4,572 | $ | 301 | $ | — | $ | 4,873 | |||||||||
Other long-term assets | 60,112 | 22,219 | — | 82,331 | |||||||||||||
$ | 64,684 | $ | 22,520 | $ | — | $ | 87,204 | ||||||||||
August 30, 2014 | |||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Fair Value | |||||||||||||
Other current assets | $ | 9,801 | $ | 599 | $ | — | $ | 10,400 | |||||||||
Other long-term assets | 53,133 | 21,722 | — | 74,855 | |||||||||||||
$ | 62,934 | $ | 22,321 | $ | — | $ | 85,255 | ||||||||||
At February 14, 2015, the fair value measurement amounts for assets and liabilities recorded in the accompanying Condensed Consolidated Balance Sheet consisted of short-term marketable securities of $4.9 million, which are included within Other current assets, and long-term marketable securities of $82.3 million, which are included in Other long-term assets. The Company’s marketable securities are typically valued at the closing price in the principal active market as of the last business day of the quarter or through the use of other market inputs relating to the securities, including benchmark yields and reported trades. The fair values of the marketable securities, by asset class, are described in “Note D – Marketable Securities.” | |||||||||||||||||
Non-Financial Assets measured at Fair Value on a Non-Recurring Basis | |||||||||||||||||
Non-financial assets are required to be measured at fair value on a non-recurring basis in certain circumstances, including the event of impairment. The assets could include assets acquired in an acquisition as well as property, plant and equipment that are determined to be impaired. During the twenty-four week periods ended February 14, 2015, and February 15, 2014, the Company did not have any significant non-financial assets measured at fair value on a non-recurring basis in periods subsequent to initial recognition. | |||||||||||||||||
Financial Instruments not Recognized at Fair Value | |||||||||||||||||
The Company has financial instruments, including cash and cash equivalents, accounts receivable, other current assets and accounts payable. The carrying amounts of these financial instruments approximate fair value because of their short maturities. A discussion of the carrying values and fair values of the Company’s debt is included in “Note H – Financing.” |
Marketable_Securities
Marketable Securities | 6 Months Ended | ||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||
Marketable Securities | Note D – Marketable Securities | ||||||||||||||||
The Company’s basis for determining the cost of a security sold is the “Specific Identification Model.” Unrealized gains (losses) on marketable securities are recorded in Accumulated other comprehensive loss. The Company’s available-for-sale marketable securities consisted of the following: | |||||||||||||||||
February 14, 2015 | |||||||||||||||||
(in thousands) | Amortized | Gross | Gross | Fair Value | |||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||
Basis | Gains | Losses | |||||||||||||||
Corporate securities | $ | 35,977 | $ | 116 | $ | (31 | ) | $ | 36,062 | ||||||||
Government bonds | 28,804 | 28 | (16 | ) | 28,816 | ||||||||||||
Mortgage-backed securities | 10,629 | 14 | (130 | ) | 10,513 | ||||||||||||
Asset-backed securities and other | 11,812 | 8 | (7 | ) | 11,813 | ||||||||||||
$ | 87,222 | $ | 166 | $ | (184 | ) | $ | 87,204 | |||||||||
August 30, 2014 | |||||||||||||||||
(in thousands) | Amortized | Gross | Gross | Fair Value | |||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||
Basis | Gains | Losses | |||||||||||||||
Corporate securities | $ | 37,265 | $ | 137 | $ | (15 | ) | $ | 37,387 | ||||||||
Government bonds | 16,822 | 16 | (1 | ) | 16,837 | ||||||||||||
Mortgage-backed securities | 8,791 | 22 | (77 | ) | 8,736 | ||||||||||||
Asset-backed securities and other | 22,260 | 35 | — | 22,295 | |||||||||||||
$ | 85,138 | $ | 210 | $ | (93 | ) | $ | 85,255 | |||||||||
The debt securities held at February 14, 2015 had effective maturities ranging from less than one year to approximately three years. The Company did not realize any material gains or losses on its marketable securities during the twenty-four week period ended February 14, 2015. | |||||||||||||||||
The Company holds 53 securities that are in an unrealized loss position of approximately $184 thousand at February 14, 2015. The Company has the intent and ability to hold these investments until recovery of fair value or maturity, and does not deem the investments to be impaired on an other than temporary basis. In evaluating whether the securities are deemed to be impaired on an other than temporary basis, the Company considers factors such as the duration and severity of the loss position, the credit worthiness of the investee, the term to maturity and the intent and ability to hold the investments until maturity or until recovery of fair value. | |||||||||||||||||
Included above in total marketable securities are $45.3 million of marketable securities transferred by the Company’s insurance captive to a trust account to secure its obligations to an insurance company related to future workers’ compensation and casualty losses. |
Derivative_Financial_Instrumen
Derivative Financial Instruments | 6 Months Ended |
Feb. 14, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Note E – Derivative Financial Instruments |
At February 14, 2015, the Company had $11.5 million recorded in Accumulated other comprehensive loss related to realized losses associated with terminated interest rate swap and treasury rate lock derivatives which were designated as hedging instruments. Net losses are amortized into Interest expense over the remaining life of the associated debt. During the twelve week period ended February 14, 2015, the Company reclassified $42 thousand of net losses from Accumulated other comprehensive loss to Interest expense. In the comparable prior year period, the Company reclassified $42 thousand of net losses from Accumulated other comprehensive loss to Interest expense. During the twenty-four week period ended February 14, 2015, the Company reclassified $84 thousand of net losses from Accumulated other comprehensive loss to Interest expense. In the comparable prior year period, the Company reclassified $84 thousand of net losses from Accumulated other comprehensive loss to Interest expense. The Company expects to reclassify $795 thousand of net losses from Accumulated other comprehensive loss to Interest expense over the next twelve months. |
Merchandise_Inventories
Merchandise Inventories | 6 Months Ended |
Feb. 14, 2015 | |
Inventory Disclosure [Abstract] | |
Merchandise Inventories | Note F – Merchandise Inventories |
Inventories are stated at the lower of cost or market using the last-in, first-out (“LIFO”) method for domestic inventories and the first-in, first-out (“FIFO”) method for Mexico and Brazil inventories. Included in inventories are related purchasing, storage and handling costs. Due to price deflation on the Company’s merchandise purchases, the Company’s domestic inventory balances are effectively maintained under the FIFO method. The Company’s policy is not to write up inventory in excess of replacement cost. The cumulative balance of this unrecorded adjustment, which will be reduced upon experiencing price inflation on the Company’s merchandise purchases, was $318.0 million at February 14, 2015 and $307.2 million at August 30, 2014. |
Pension_and_Savings_Plans
Pension and Savings Plans | 6 Months Ended | ||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||
Pension and Savings Plans | Note G – Pension and Savings Plans | ||||||||||||||||
The components of net periodic pension expense related to the Company’s pension plans consisted of the following: | |||||||||||||||||
Twelve Weeks Ended | Twenty-Four Weeks Ended | ||||||||||||||||
(in thousands) | February 14, | February 15, | February 14, | February 15, | |||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Interest cost | $ | 2,847 | $ | 3,016 | $ | 5,694 | $ | 6,032 | |||||||||
Expected return on plan assets | (3,757 | ) | (3,550 | ) | (7,514 | ) | (7,100 | ) | |||||||||
Amortization of net loss | 2,063 | 1,587 | 4,127 | 3,174 | |||||||||||||
Net periodic pension expense | $ | 1,153 | $ | 1,053 | $ | 2,307 | $ | 2,106 | |||||||||
The Company makes contributions in amounts at least equal to the minimum funding requirements of the Employee Retirement Income Security Act of 1974, as amended by the Pension Protection Act of 2006. During the twenty-four week period ended February 14, 2015, the Company made contributions to its funded plan in the amount of $2.4 million. The Company expects to contribute approximately $14.5 million to the plan during the remainder of fiscal 2015; however, a change to the expected cash funding may be impacted by a change in interest rates or a change in the actual or expected return on plan assets. |
Financing
Financing | 6 Months Ended | ||||||||
Feb. 14, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Financing | Note H – Financing | ||||||||
The Company’s long-term debt consisted of the following: | |||||||||
(in thousands) | February 14, | August 30, | |||||||
2015 | 2014 | ||||||||
5.750% Senior Notes due January 2015, effective interest rate of 5.89% | $ | — | $ | 500,000 | |||||
5.500% Senior Notes due November 2015, effective interest rate of 4.86% | 300,000 | 300,000 | |||||||
6.950% Senior Notes due June 2016, effective interest rate of 7.09% | 200,000 | 200,000 | |||||||
1.300% Senior Notes due January 2017, effective interest rate of 1.43% | 400,000 | 400,000 | |||||||
7.125% Senior Notes due August 2018, effective interest rate of 7.28% | 250,000 | 250,000 | |||||||
4.000% Senior Notes due November 2020, effective interest rate of 4.43% | 500,000 | 500,000 | |||||||
3.700% Senior Notes due April 2022, effective interest rate of 3.85% | 500,000 | 500,000 | |||||||
2.875% Senior Notes due January 2023, effective interest rate of 3.21% | 300,000 | 300,000 | |||||||
3.125% Senior Notes due July 2023, effective interest rate of 3.26% | 500,000 | 500,000 | |||||||
Commercial paper, weighted average interest rate of 0.40% and 0.27% at February 14, 2015 and August 30, 2014, respectively | 1,498,300 | 893,800 | |||||||
Total debt | 4,448,300 | 4,343,800 | |||||||
Less: Short-term borrowings | 87,156 | 180,910 | |||||||
Long-term debt | $ | 4,361,144 | $ | 4,162,890 | |||||
As of February 14, 2015, $1.498 billion of commercial paper borrowings and $212.8 million of the 5.500% Senior Notes due November 2015 are classified as long-term in the accompanying Consolidated Balance Sheets as the Company has the ability and intent to refinance on a long-term basis through available capacity in its revolving credit facilities. As of February 14, 2015, the Company had $1.711 billion of availability under its $1.750 billion revolving credit facilities, which would allow it to replace these short-term obligations with long-term financing. | |||||||||
On January 14, 2014, the Company issued $400 million in 1.300% Senior Notes due January 2017 under its shelf registration statement filed with the SEC on April 17, 2012 (the “Shelf Registration”). The Shelf Registration allows the Company to sell an indeterminate amount in debt securities to fund general corporate purposes, including repaying, redeeming or repurchasing outstanding debt and for working capital, capital expenditures, new store openings, stock repurchases and acquisitions. Proceeds from the debt issuance on January 14, 2014, were used to repay a portion of the $500 million in 6.500% Senior Notes due January 2014. The Company used commercial paper borrowings to repay the remainder of the 6.500% Senior Notes. | |||||||||
On December 19, 2014, the Company amended and restated its existing revolving credit facility by increasing the amount of capital leases allowable to $225 million, extending the expiration date by two years, and renegotiations of other terms and conditions. This credit facility is available to primarily support commercial paper borrowings, letters of credit and other short-term unsecured bank loans. The capacity of the credit facility is $1.25 billion and may be increased to $1.5 billion prior to the maturity date at the Company’s election and subject to bank credit capacity and approval, may include up to $200 million in letters of credit and may include up to $225 million in capital leases each fiscal year. Under the revolving credit facility, the Company may borrow funds consisting of Eurodollar loans or base rate loans. Interest accrues on Eurodollar loans at a defined Eurodollar rate, defined as LIBOR plus the applicable percentage, as defined in the revolving credit facility, depending upon the Company’s senior, unsecured, (non-credit enhanced) long-term debt rating. Interest accrues on base rate loans as defined in the credit facility. The Company also has the option to borrow funds under the terms of a swingline loan subfacility. The revolving credit facility expires in December 2019. | |||||||||
On December 19, 2014, the Company entered into a new revolving credit facility (the “364-Day Credit Agreement”). The credit facility is available to primarily support commercial paper borrowings and other short-term unsecured bank loans. The 364-Day Credit Agreement provides for loans in the principal amount of up to $500 million. Under the credit facility, the Company may borrow funds consisting of Eurodollar loans, base rate loans, or a combination of both. Interest accrues on Eurodollar loans at a defined Eurodollar rate, defined as LIBOR plus the applicable margin, as defined in the revolving credit facility, depending upon the Company’s senior, unsecured, (non-credit enhanced) long-term debt rating. Interest accrues on base rate loans as defined in the credit facility. This credit facility expires on December 19, 2015, but the Company may request an extension of the termination date for 364 days no later than 45 days prior to December 19, 2015, subject to bank approval. In addition, the Company has the right to request a term-loan, at least 15 days prior to December 19, 2015, up to one year from the termination date, subject to a 1% penalty. | |||||||||
The fair value of the Company’s debt was estimated at $4.556 billion as of February 14, 2015 and $4.480 billion as of August 30, 2014, based on the quoted market prices for the same or similar issues or on the current rates available to the Company for debt of the same terms (Level 2). Such fair value is greater than the carrying value of debt by $107.7 million at February 14, 2015 and $136.6 million at August 30, 2014. |
Stock_Repurchase_Program
Stock Repurchase Program | 6 Months Ended |
Feb. 14, 2015 | |
Equity [Abstract] | |
Stock Repurchase Program | Note I – Stock Repurchase Program |
From January 1, 1998 to February 14, 2015 the Company has repurchased a total of 137.5 million shares at an aggregate cost of $14.356 billion, including 614,099 shares of its common stock at an aggregate cost of $325.7 million during the twenty-four week period ended February 14, 2015. On June 17, 2014, the Board voted to increase the authorization by $750 million to raise the cumulative share repurchase authorization from $14.15 billion to $14.9 billion. Considering the cumulative repurchases as of February 14, 2015, the Company had $543.6 million remaining under the Board’s authorization to repurchase its common stock. | |
On March 24, 2015, the Board voted to increase the authorization by $750 million to raise the cumulative share repurchase authorization from $14.9 billion to $15.65 billion. Subsequent to February 14, 2015, the Company has repurchased 268,371 shares of its common stock at an aggregate cost of $174.1 million. Considering the cumulative repurchases and the increase in authorization subsequent to February 14, 2015, the Company has $1.119 billion remaining under the Board’s authorization to repurchase its common stock. | |
During the twenty-four week period ended February 14, 2015, the Company retired 2.1 million shares of treasury stock which had previously been repurchased under the Company’s share repurchase program. The retirement increased Retained deficit by $1.050 billion and decreased Additional paid-in capital by $57.4 million. During the comparable prior year period, the Company retired 3.2 million shares of treasury stock, which increased Retained deficit by $1.220 billion and decreased Additional paid-in capital by $74.0 million. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss | 6 Months Ended | ||||||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||
Accumulated Other Comprehensive Loss | Note J – Accumulated Other Comprehensive Loss | ||||||||||||||||||||
Accumulated other comprehensive loss includes certain adjustments to pension liabilities, foreign currency translation adjustments, certain activity for interest rate swaps and treasury rate locks that qualify as cash flow hedges and unrealized gains (losses) on available-for-sale securities. Changes in Accumulated other comprehensive loss for the twelve week periods ended February 14, 2015 and February 15, 2014 consisted of the following: | |||||||||||||||||||||
(in thousands) | Pension | Foreign | Net | Derivatives | Total | ||||||||||||||||
Liability | Currency (3) | Unrealized | |||||||||||||||||||
Gain on | |||||||||||||||||||||
Securities | |||||||||||||||||||||
Balance at November 22, 2014 | $ | (62,603 | ) | $ | (76,197 | ) | $ | 38 | $ | (7,389 | ) | $ | (146,151 | ) | |||||||
Other comprehensive loss before reclassifications | — | (40,492 | ) | (30 | ) | (186 | ) | (40,708 | ) | ||||||||||||
Amounts reclassified from Accumulated other comprehensive loss (1) | 1,268 | (2) | — | (20 | ) (4) | 25 | (5) | 1,273 | |||||||||||||
Balance at February 14, 2015 | $ | (61,335 | ) | $ | (116,689 | ) | $ | (12 | ) | $ | (7,550 | ) | $ | (185,586 | ) | ||||||
(in thousands) | Pension | Foreign | Net | Derivatives | Total | ||||||||||||||||
Liability | Currency (3) | Unrealized | |||||||||||||||||||
Gain on | |||||||||||||||||||||
Securities | |||||||||||||||||||||
Balance at November 23, 2013 | $ | (49,909 | ) | $ | (54,976 | ) | $ | 191 | $ | (7,393 | ) | $ | (112,087 | ) | |||||||
Other comprehensive loss before reclassifications | — | (9,196 | ) | (25 | ) | — | (9,221 | ) | |||||||||||||
Amounts reclassified from Accumulated other comprehensive loss (1) | 955 | (2) | — | (20 | ) (4) | 27 | (5) | 962 | |||||||||||||
Balance at February 15, 2014 | $ | (48,954 | ) | $ | (64,172 | ) | $ | 146 | $ | (7,366 | ) | $ | (120,346 | ) | |||||||
-1 | Amounts in parentheses indicate debits to Accumulated other comprehensive loss. | ||||||||||||||||||||
-2 | Represents amortization of pension liability adjustments, net of taxes of $795 for the twelve weeks ended February 14, 2015 and $632 for the twelve weeks ended February 15, 2014, which is recorded in Operating, selling, general and administrative expenses on the Condensed Consolidated Statements of Income. See “Note G – Pension and Savings Plans” for further discussion. | ||||||||||||||||||||
-3 | Foreign currency is not shown net of additional U.S. tax as earnings of non-U.S. subsidiaries are intended to be permanently reinvested. | ||||||||||||||||||||
-4 | Represents realized (losses) gains on marketable securities, net of taxes of $11 for the twelve weeks ended February 14, 2015 and $11 for the twelve weeks ended February 15, 2014 which is recorded in Operating, selling, general, and administrative expenses on the Condensed Consolidated Statements of Income. See “Note D – Marketable Securities” for further discussion. | ||||||||||||||||||||
-5 | Represents gains and losses on derivatives, net of taxes of $17 for the twelve weeks ended February 14, 2015 and $15 for the twelve weeks ended February 15, 2014, which is recorded in Interest expense, net, on the Condensed Consolidated Statements of Income. See “Note E – Derivative Financial Instruments” for further discussion. | ||||||||||||||||||||
Changes in Accumulated other comprehensive loss for the twenty-four week periods ended February 14, 2015 and February 15, 2014, consisted of the following: | |||||||||||||||||||||
(in thousands) | Pension | Foreign | Net | Derivatives | Total | ||||||||||||||||
Liability | Currency (3) | Unrealized | |||||||||||||||||||
Gain on | |||||||||||||||||||||
Securities | |||||||||||||||||||||
Balance at August 30, 2014 | $ | (63,820 | ) | $ | (57,836 | ) | $ | 76 | $ | (7,323 | ) | $ | (128,903 | ) | |||||||
Other comprehensive loss before reclassifications | — | (58,853 | ) | (72 | ) | (277 | ) | (59,202 | ) | ||||||||||||
Amounts reclassified from Accumulated other comprehensive loss (1) | 2,485 | (2) | — | (16 | ) (4) | 50 | (5) | 2,519 | |||||||||||||
Balance at February 14, 2015 | $ | (61,335 | ) | $ | (116,689 | ) | $ | (12 | ) | $ | (7,550 | ) | $ | (185,586 | ) | ||||||
(in thousands) | Pension | Foreign | Net | Derivatives | Total | ||||||||||||||||
Liability | Currency (3) | Unrealized | |||||||||||||||||||
Gain on | |||||||||||||||||||||
Securities | |||||||||||||||||||||
Balance at August 31, 2013 | $ | (50,861 | ) | $ | (62,483 | ) | $ | (25 | ) | $ | (7,419 | ) | $ | (120,788 | ) | ||||||
Other comprehensive (loss) income before reclassifications | — | (1,689 | ) | 194 | — | (1,495 | ) | ||||||||||||||
Amounts reclassified from Accumulated other comprehensive loss (1) | 1,907 | (2) | — | (23 | ) (4) | 53 | (5) | 1,937 | |||||||||||||
Balance at February 15, 2014 | $ | (48,954 | ) | $ | (64,172 | ) | $ | 146 | $ | (7,366 | ) | $ | (120,346 | ) | |||||||
-1 | Amounts in parentheses indicate debits to Accumulated other comprehensive loss. | ||||||||||||||||||||
-2 | Represents amortization of pension liability adjustments, net of taxes of $1,642 in fiscal 2015 and $1,268 in fiscal 2014, which is recorded in Operating, selling, general and administrative expenses on the Condensed Consolidated Statements of Income. See “Note G – Pension and Savings Plans” for further discussion. | ||||||||||||||||||||
-3 | Foreign currency is not shown net of additional U.S. tax as earnings of non-U.S. subsidiaries are intended to be permanently reinvested. | ||||||||||||||||||||
-4 | Represents realized (losses) gains on marketable securities, net of taxes of $9 in fiscal 2015 and $13 in fiscal 2014, which is recorded in Operating, selling, general, and administrative expenses on the Condensed Consolidated Statements of Income. See “Note D – Marketable Securities” for further discussion. | ||||||||||||||||||||
-5 | Represents gains and losses on derivatives, net of taxes of $34 in fiscal 2015 and $31 is fiscal 2014, which is recorded in Interest expense, net, on the Condensed Consolidated Statements of Income. See “Note E – Derivative Financial Instruments” for further discussion. |
Acquisition
Acquisition | 6 Months Ended |
Feb. 14, 2015 | |
Business Combinations [Abstract] | |
Acquisition | Note K – Acquisition |
Effective September 27, 2014, the Company acquired the outstanding stock of Interamerican Motor Corporation (“IMC”), the second largest distributor of quality import replacement parts in the United States, for $75.7 million, net of cash. IMC specializes in parts coverage for European and Asian cars. With this acquisition, the Company expects to grow its share in the aftermarket import car parts market. The results of operations from IMC have been included in the Company’s Auto Parts Stores business activities since the date of acquisition. Pro forma results of operations related to the acquisition of IMC are not presented as IMC’s results are not material to the Company’s condensed consolidated statements of operations. The purchase price allocation resulted in goodwill of $16.2 million and intangible assets totaling $8.3 million. Goodwill generated from the acquisition is primarily attributable to expected synergies and the assembled workforce. The allocation of the purchase price to goodwill and intangible assets is preliminary as of February 14, 2015 and subject to change upon completion of the final valuation of these assets. |
Goodwill_and_Intangibles
Goodwill and Intangibles | 6 Months Ended | ||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||
Goodwill and Intangibles | Note L – Goodwill and Intangibles | ||||||||||||||||
The changes in the carrying amount of goodwill are as follows: | |||||||||||||||||
(in thousands) | Auto Parts | Other | Total | ||||||||||||||
Stores | |||||||||||||||||
Net balance as of August 30, 2014 | $ | 302,645 | $ | 65,184 | $ | 367,829 | |||||||||||
Goodwill adjustments added through acquisition (1) | 16,184 | — | 16,184 | ||||||||||||||
Net balance as of February14, 2015 | $ | 318,829 | $ | 65,184 | $ | 384,013 | |||||||||||
-1 | See Note K for discussion of the acquisition completed during the twenty-four weeks ended February 14, 2015 | ||||||||||||||||
The Company recorded an increase to intangible assets of $8.3 million during the twenty-four weeks ended February 14, 2015 related to the acquisition of IMC. The carrying amounts of intangible assets are included in Other long-term assets as follows: | |||||||||||||||||
(in thousands) | Estimated | Gross | Accumulated | Net | |||||||||||||
Useful Life | Carrying | Amortization | Carrying | ||||||||||||||
Amount | Amount | ||||||||||||||||
Amortizing intangible assets: | |||||||||||||||||
Technology | 3-5 years | $ | 10,570 | $ | (4,557 | ) | $ | 6,013 | |||||||||
Noncompete agreements | 5 years | 1,300 | (563 | ) | 737 | ||||||||||||
Customer relationships | 3-10 years | 54,676 | (8,997 | ) | 45,679 | ||||||||||||
$ | 66,546 | $ | (14,117 | ) | 52,429 | ||||||||||||
Non-amortizing intangible asset: | |||||||||||||||||
Trade name | 26,600 | ||||||||||||||||
Total intangible assets other than goodwill | $ | 79,029 | |||||||||||||||
Amortization expense of intangible assets for the twelve and twenty-four week period ended February 14, 2015 was $2.1 million and $4.1 million, respectively. Amortization expense of intangible assets for the twelve and twenty-four week periods ended February 15, 2014 was $1.5 million and $2.5 million, respectively. | |||||||||||||||||
During the twenty-four week period ended February 14, 2015, the Company made an installment payment for $10 million related to certain customer relationships purchased during fiscal 2014 relating to its ALLDATA operations. |
Litigation
Litigation | 6 Months Ended |
Feb. 14, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Litigation | Note M – Litigation |
In 2004, the Company acquired a store site in Mount Ephraim, New Jersey that had previously been the site of a gasoline service station and contained evidence of groundwater contamination. Upon acquisition, the Company voluntarily reported the groundwater contamination issue to the New Jersey Department of Environmental Protection and entered into a Voluntary Remediation Agreement providing for the remediation of the contamination associated with the property. The Company has conducted and paid for (at an immaterial cost to the Company) remediation of contamination on the property. The Company is also investigating, and will be addressing, potential vapor intrusion impacts in downgradient residences and businesses. The New Jersey Department of Environmental Protection has asserted, in a Directive and Notice to Insurers dated February 19, 2013 and again in an Amended Directive and Notice to Insurers dated January 13, 2014 (collectively the “Directives”), that the Company is liable for the downgradient impacts under a joint and severable liability theory. The Company has contested any such assertions due to the existence of other entities/sources of contamination, some of which are named in the Directives, in the area of the property. Pursuant to the Voluntary Remediation Agreement, upon completion of all remediation required by the agreement, the Company believes it should be eligible to be reimbursed up to 75 percent of qualified remediation costs by the State of New Jersey. The Company has asked the state for clarification that the agreement applies to off-site work, and the state is considering the request. Although the aggregate amount of additional costs that the Company may incur pursuant to the remediation cannot currently be ascertained, the Company does not currently believe that fulfillment of its obligations under the agreement or otherwise will result in costs that are material to its financial condition, results of operations or cash flow. | |
In July 2014, the Company received a subpoena from the District Attorney of the County of Alameda, along with other environmental prosecutorial offices in the state of California, seeking documents and information related to the handling, storage and disposal of hazardous waste. The Company is cooperating fully with the request and cannot predict the ultimate outcome of these efforts. | |
The Company is involved in various other legal proceedings incidental to the conduct of its business, including several lawsuits containing class-action allegations in which the plaintiffs are current and former hourly and salaried employees who allege various wage and hour violations and unlawful termination practices. The Company does not currently believe that, either individually or in the aggregate, these matters will result in liabilities material to the Company’s financial condition, results of operations or cash flows. |
Segment_Reporting
Segment Reporting | 6 Months Ended | ||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||
Segment Reporting | Note N – Segment Reporting | ||||||||||||||||
The Company’s four operating segments (Domestic Auto Parts, Mexico, Brazil, and IMC) are aggregated as one reportable segment: Auto Parts Stores. The criteria the Company used to identify the reportable segment are primarily the nature of the products the Company sells and the operating results that are regularly reviewed by the Company’s chief operating decision maker to make decisions about the resources to be allocated to the business units and to assess performance. The accounting policies of the Company’s reportable segment are the same as those described in Note A in its Annual Report on Form 10-K for the year ended August 30, 2014. | |||||||||||||||||
The Auto Parts Stores segment is a retailer and distributor of automotive parts and accessories through the Company’s 5,476 locations in the United States, Puerto Rico, Mexico, and Brazil. Each location carries an extensive product line for cars, sport utility vehicles, vans and light trucks, including new and remanufactured automotive hard parts, maintenance items, accessories and non-automotive products. | |||||||||||||||||
The Other category reflects business activities of three operating segments that are not separately reportable due to the materiality of these operating segments. The operating segments include ALLDATA, which produces, sells and maintains diagnostic and repair information software used in the automotive repair industry; E-commerce, which includes direct sales to customers through www.autozone.com; and AutoAnything, which includes direct sales to customers through www.autoanything.com. | |||||||||||||||||
The Company evaluates its reportable segment primarily on the basis of net sales and segment profit, which is defined as gross profit. Segment results for the periods presented were as follows: | |||||||||||||||||
Twelve Weeks Ended | Twenty-Four Weeks Ended | ||||||||||||||||
(in thousands) | February 14, | February 15, | February 14, | February 15, | |||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Net Sales | |||||||||||||||||
Auto Parts Stores | $ | 2,059,711 | $ | 1,913,591 | $ | 4,241,243 | $ | 3,933,161 | |||||||||
Other | 83,940 | 76,903 | 162,673 | 150,911 | |||||||||||||
Total | $ | 2,143,651 | $ | 1,990,494 | $ | 4,403,916 | $ | 4,084,072 | |||||||||
Segment Profit | |||||||||||||||||
Auto Parts Stores | $ | 1,075,078 | $ | 994,971 | $ | 2,207,413 | $ | 2,038,986 | |||||||||
Other | 44,955 | 42,064 | 89,281 | 83,747 | |||||||||||||
Gross profit | 1,120,033 | 1,037,035 | 2,296,694 | 2,122,733 | |||||||||||||
Operating, selling, general and administrative expenses | (758,764 | ) | (699,691 | ) | (1,526,863 | ) | (1,401,663 | ) | |||||||||
Interest expense, net | (34,536 | ) | (39,490 | ) | (71,596 | ) | (81,921 | ) | |||||||||
Income before income taxes | $ | 326,733 | $ | 297,854 | $ | 698,235 | $ | 639,149 | |||||||||
General_Policies
General (Policies) | 6 Months Ended |
Feb. 14, 2015 | |
Accounting Policies [Abstract] | |
Fiscal Period | Operating results for the twelve and twenty-four weeks ended February 14, 2015 are not necessarily indicative of the results that may be expected for the fiscal year ending August 29, 2015. Each of the first three quarters of AutoZone’s fiscal year consists of 12 weeks, and the fourth quarter consists of 16 or 17 weeks. The fourth quarters for fiscal 2015 and 2014 each have 16 weeks. Additionally, the Company’s business is somewhat seasonal in nature, with the highest sales generally occurring during the months of February through September and the lowest sales generally occurring in the months of December and January. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements: In August 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-15, Presentation of Financial Statements – Going Concern. ASU 2014-15 will require management to assess an entity’s ability to continue as a going concern for each annual and interim reporting period and to provide related footnote disclosure in circumstances in which substantial doubt exists. The Company does not expect the provision of ASU 2014-15 to have a material impact on its consolidated financial statements as the application of this guidance affects disclosure only. This update will be effective for the Company beginning with its annual period ending August 26, 2017. |
In January 2015, the FASB issued ASU 2015-01, Income Statement – Extraordinary and Unusual Items. ASU 2015-01 eliminates from GAAP the concept of extraordinary items. ASU 2015-01 eliminates the separate presentation of extraordinary items but does not change the requirement to disclose material items that are unusual or infrequent in nature. Eliminating the concept of extraordinary items will allow the entity to no longer have to assess whether a particular event or transaction is both unusual in nature and infrequent in occurrence. The Company does not expect the provision of ASU 2015-01 to have a material impact on its consolidated financial statements. This update will be effective for the Company beginning with its annual period ending August 26, 2017. |
ShareBased_Payments_Tables
Share-Based Payments (Tables) | 6 Months Ended | ||||||||
Feb. 14, 2015 | |||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||
Weighted Average for Key Assumptions Used in Determining Fair Value of Options Granted and Related Share-Based Compensation Expense | The weighted average fair value of the stock option awards granted during the twenty-four week periods ended February 14, 2015, and February 15, 2014, using the Black-Scholes-Merton multiple-option pricing valuation model, was $106.17 and $96.92 per share, respectively, using the following weighted average key assumptions: | ||||||||
Twenty-Four Weeks Ended | |||||||||
February 14, | February 15, | ||||||||
2015 | 2014 | ||||||||
Expected price volatility | 20 | % | 23 | % | |||||
Risk-free interest rate | 1.4 | % | 1 | % | |||||
Weighted average expected lives (in years) | 5.1 | 5.2 | |||||||
Forfeiture rate | 9 | % | 9 | % | |||||
Dividend yield | 0 | % | 0 | % |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 6 Months Ended | ||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Company's Assets and Liabilities Measured at Fair Value on Recurring Basis | The Company’s assets and liabilities measured at fair value on a recurring basis were as follows: | ||||||||||||||||
February 14, 2015 | |||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Fair Value | |||||||||||||
Other current assets | $ | 4,572 | $ | 301 | $ | — | $ | 4,873 | |||||||||
Other long-term assets | 60,112 | 22,219 | — | 82,331 | |||||||||||||
$ | 64,684 | $ | 22,520 | $ | — | $ | 87,204 | ||||||||||
August 30, 2014 | |||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Fair Value | |||||||||||||
Other current assets | $ | 9,801 | $ | 599 | $ | — | $ | 10,400 | |||||||||
Other long-term assets | 53,133 | 21,722 | — | 74,855 | |||||||||||||
$ | 62,934 | $ | 22,321 | $ | — | $ | 85,255 | ||||||||||
Marketable_Securities_Tables
Marketable Securities (Tables) | 6 Months Ended | ||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||
Available-for-Sale Marketable Securities | The Company’s available-for-sale marketable securities consisted of the following: | ||||||||||||||||
February 14, 2015 | |||||||||||||||||
(in thousands) | Amortized | Gross | Gross | Fair Value | |||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||
Basis | Gains | Losses | |||||||||||||||
Corporate securities | $ | 35,977 | $ | 116 | $ | (31 | ) | $ | 36,062 | ||||||||
Government bonds | 28,804 | 28 | (16 | ) | 28,816 | ||||||||||||
Mortgage-backed securities | 10,629 | 14 | (130 | ) | 10,513 | ||||||||||||
Asset-backed securities and other | 11,812 | 8 | (7 | ) | 11,813 | ||||||||||||
$ | 87,222 | $ | 166 | $ | (184 | ) | $ | 87,204 | |||||||||
August 30, 2014 | |||||||||||||||||
(in thousands) | Amortized | Gross | Gross | Fair Value | |||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||
Basis | Gains | Losses | |||||||||||||||
Corporate securities | $ | 37,265 | $ | 137 | $ | (15 | ) | $ | 37,387 | ||||||||
Government bonds | 16,822 | 16 | (1 | ) | 16,837 | ||||||||||||
Mortgage-backed securities | 8,791 | 22 | (77 | ) | 8,736 | ||||||||||||
Asset-backed securities and other | 22,260 | 35 | — | 22,295 | |||||||||||||
$ | 85,138 | $ | 210 | $ | (93 | ) | $ | 85,255 | |||||||||
Pension_and_Savings_Plans_Tabl
Pension and Savings Plans (Tables) | 6 Months Ended | ||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||
Net Periodic Benefit Expense | The components of net periodic pension expense related to the Company’s pension plans consisted of the following: | ||||||||||||||||
Twelve Weeks Ended | Twenty-Four Weeks Ended | ||||||||||||||||
(in thousands) | February 14, | February 15, | February 14, | February 15, | |||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Interest cost | $ | 2,847 | $ | 3,016 | $ | 5,694 | $ | 6,032 | |||||||||
Expected return on plan assets | (3,757 | ) | (3,550 | ) | (7,514 | ) | (7,100 | ) | |||||||||
Amortization of net loss | 2,063 | 1,587 | 4,127 | 3,174 | |||||||||||||
Net periodic pension expense | $ | 1,153 | $ | 1,053 | $ | 2,307 | $ | 2,106 | |||||||||
Financing_Tables
Financing (Tables) | 6 Months Ended | ||||||||
Feb. 14, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Schedule of Debt | The Company’s long-term debt consisted of the following: | ||||||||
(in thousands) | February 14, | August 30, | |||||||
2015 | 2014 | ||||||||
5.750% Senior Notes due January 2015, effective interest rate of 5.89% | $ | — | $ | 500,000 | |||||
5.500% Senior Notes due November 2015, effective interest rate of 4.86% | 300,000 | 300,000 | |||||||
6.950% Senior Notes due June 2016, effective interest rate of 7.09% | 200,000 | 200,000 | |||||||
1.300% Senior Notes due January 2017, effective interest rate of 1.43% | 400,000 | 400,000 | |||||||
7.125% Senior Notes due August 2018, effective interest rate of 7.28% | 250,000 | 250,000 | |||||||
4.000% Senior Notes due November 2020, effective interest rate of 4.43% | 500,000 | 500,000 | |||||||
3.700% Senior Notes due April 2022, effective interest rate of 3.85% | 500,000 | 500,000 | |||||||
2.875% Senior Notes due January 2023, effective interest rate of 3.21% | 300,000 | 300,000 | |||||||
3.125% Senior Notes due July 2023, effective interest rate of 3.26% | 500,000 | 500,000 | |||||||
Commercial paper, weighted average interest rate of 0.40% and 0.27% at February 14, 2015 and August 30, 2014, respectively | 1,498,300 | 893,800 | |||||||
Total debt | 4,448,300 | 4,343,800 | |||||||
Less: Short-term borrowings | 87,156 | 180,910 | |||||||
Long-term debt | $ | 4,361,144 | $ | 4,162,890 | |||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended | ||||||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||
Changes in Accumulated Other Comprehensive Loss | Changes in Accumulated other comprehensive loss for the twelve week periods ended February 14, 2015 and February 15, 2014 consisted of the following: | ||||||||||||||||||||
(in thousands) | Pension | Foreign | Net | Derivatives | Total | ||||||||||||||||
Liability | Currency (3) | Unrealized | |||||||||||||||||||
Gain on | |||||||||||||||||||||
Securities | |||||||||||||||||||||
Balance at November 22, 2014 | $ | (62,603 | ) | $ | (76,197 | ) | $ | 38 | $ | (7,389 | ) | $ | (146,151 | ) | |||||||
Other comprehensive loss before reclassifications | — | (40,492 | ) | (30 | ) | (186 | ) | (40,708 | ) | ||||||||||||
Amounts reclassified from Accumulated other comprehensive loss (1) | 1,268 | (2) | — | (20 | ) (4) | 25 | (5) | 1,273 | |||||||||||||
Balance at February 14, 2015 | $ | (61,335 | ) | $ | (116,689 | ) | $ | (12 | ) | $ | (7,550 | ) | $ | (185,586 | ) | ||||||
(in thousands) | Pension | Foreign | Net | Derivatives | Total | ||||||||||||||||
Liability | Currency (3) | Unrealized | |||||||||||||||||||
Gain on | |||||||||||||||||||||
Securities | |||||||||||||||||||||
Balance at November 23, 2013 | $ | (49,909 | ) | $ | (54,976 | ) | $ | 191 | $ | (7,393 | ) | $ | (112,087 | ) | |||||||
Other comprehensive loss before reclassifications | — | (9,196 | ) | (25 | ) | — | (9,221 | ) | |||||||||||||
Amounts reclassified from Accumulated other comprehensive loss (1) | 955 | (2) | — | (20 | ) (4) | 27 | (5) | 962 | |||||||||||||
Balance at February 15, 2014 | $ | (48,954 | ) | $ | (64,172 | ) | $ | 146 | $ | (7,366 | ) | $ | (120,346 | ) | |||||||
-1 | Amounts in parentheses indicate debits to Accumulated other comprehensive loss. | ||||||||||||||||||||
-2 | Represents amortization of pension liability adjustments, net of taxes of $795 for the twelve weeks ended February 14, 2015 and $632 for the twelve weeks ended February 15, 2014, which is recorded in Operating, selling, general and administrative expenses on the Condensed Consolidated Statements of Income. See “Note G – Pension and Savings Plans” for further discussion. | ||||||||||||||||||||
-3 | Foreign currency is not shown net of additional U.S. tax as earnings of non-U.S. subsidiaries are intended to be permanently reinvested. | ||||||||||||||||||||
-4 | Represents realized (losses) gains on marketable securities, net of taxes of $11 for the twelve weeks ended February 14, 2015 and $11 for the twelve weeks ended February 15, 2014 which is recorded in Operating, selling, general, and administrative expenses on the Condensed Consolidated Statements of Income. See “Note D – Marketable Securities” for further discussion. | ||||||||||||||||||||
-5 | Represents gains and losses on derivatives, net of taxes of $17 for the twelve weeks ended February 14, 2015 and $15 for the twelve weeks ended February 15, 2014, which is recorded in Interest expense, net, on the Condensed Consolidated Statements of Income. See “Note E – Derivative Financial Instruments” for further discussion. | ||||||||||||||||||||
Changes in Accumulated other comprehensive loss for the twenty-four week periods ended February 14, 2015 and February 15, 2014, consisted of the following: | |||||||||||||||||||||
(in thousands) | Pension | Foreign | Net | Derivatives | Total | ||||||||||||||||
Liability | Currency (3) | Unrealized | |||||||||||||||||||
Gain on | |||||||||||||||||||||
Securities | |||||||||||||||||||||
Balance at August 30, 2014 | $ | (63,820 | ) | $ | (57,836 | ) | $ | 76 | $ | (7,323 | ) | $ | (128,903 | ) | |||||||
Other comprehensive loss before reclassifications | — | (58,853 | ) | (72 | ) | (277 | ) | (59,202 | ) | ||||||||||||
Amounts reclassified from Accumulated other comprehensive loss (1) | 2,485 | (2) | — | (16 | ) (4) | 50 | (5) | 2,519 | |||||||||||||
Balance at February 14, 2015 | $ | (61,335 | ) | $ | (116,689 | ) | $ | (12 | ) | $ | (7,550 | ) | $ | (185,586 | ) | ||||||
(in thousands) | Pension | Foreign | Net | Derivatives | Total | ||||||||||||||||
Liability | Currency (3) | Unrealized | |||||||||||||||||||
Gain on | |||||||||||||||||||||
Securities | |||||||||||||||||||||
Balance at August 31, 2013 | $ | (50,861 | ) | $ | (62,483 | ) | $ | (25 | ) | $ | (7,419 | ) | $ | (120,788 | ) | ||||||
Other comprehensive (loss) income before reclassifications | — | (1,689 | ) | 194 | — | (1,495 | ) | ||||||||||||||
Amounts reclassified from Accumulated other comprehensive loss (1) | 1,907 | (2) | — | (23 | ) (4) | 53 | (5) | 1,937 | |||||||||||||
Balance at February 15, 2014 | $ | (48,954 | ) | $ | (64,172 | ) | $ | 146 | $ | (7,366 | ) | $ | (120,346 | ) | |||||||
-1 | Amounts in parentheses indicate debits to Accumulated other comprehensive loss. | ||||||||||||||||||||
-2 | Represents amortization of pension liability adjustments, net of taxes of $1,642 in fiscal 2015 and $1,268 in fiscal 2014, which is recorded in Operating, selling, general and administrative expenses on the Condensed Consolidated Statements of Income. See “Note G – Pension and Savings Plans” for further discussion. | ||||||||||||||||||||
-3 | Foreign currency is not shown net of additional U.S. tax as earnings of non-U.S. subsidiaries are intended to be permanently reinvested. | ||||||||||||||||||||
-4 | Represents realized (losses) gains on marketable securities, net of taxes of $9 in fiscal 2015 and $13 in fiscal 2014, which is recorded in Operating, selling, general, and administrative expenses on the Condensed Consolidated Statements of Income. See “Note D – Marketable Securities” for further discussion. | ||||||||||||||||||||
-5 | Represents gains and losses on derivatives, net of taxes of $34 in fiscal 2015 and $31 is fiscal 2014, which is recorded in Interest expense, net, on the Condensed Consolidated Statements of Income. See “Note E – Derivative Financial Instruments” for further discussion. |
Goodwill_and_Intangibles_Table
Goodwill and Intangibles (Tables) | 6 Months Ended | ||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||
Schedule of Changes in Carrying Amount of Goodwill | The changes in the carrying amount of goodwill are as follows: | ||||||||||||||||
(in thousands) | Auto Parts | Other | Total | ||||||||||||||
Stores | |||||||||||||||||
Net balance as of August 30, 2014 | $ | 302,645 | $ | 65,184 | $ | 367,829 | |||||||||||
Goodwill adjustments added through acquisition (1) | 16,184 | — | 16,184 | ||||||||||||||
Net balance as of February14, 2015 | $ | 318,829 | $ | 65,184 | $ | 384,013 | |||||||||||
-1 | See Note K for discussion of the acquisition completed during the twenty-four weeks ended February 14, 2015 | ||||||||||||||||
Schedule of Carrying Amounts of Intangible Assets | The carrying amounts of intangible assets are included in Other long-term assets as follows: | ||||||||||||||||
(in thousands) | Estimated | Gross | Accumulated | Net | |||||||||||||
Useful Life | Carrying | Amortization | Carrying | ||||||||||||||
Amount | Amount | ||||||||||||||||
Amortizing intangible assets: | |||||||||||||||||
Technology | 3-5 years | $ | 10,570 | $ | (4,557 | ) | $ | 6,013 | |||||||||
Noncompete agreements | 5 years | 1,300 | (563 | ) | 737 | ||||||||||||
Customer relationships | 3-10 years | 54,676 | (8,997 | ) | 45,679 | ||||||||||||
$ | 66,546 | $ | (14,117 | ) | 52,429 | ||||||||||||
Non-amortizing intangible asset: | |||||||||||||||||
Trade name | 26,600 | ||||||||||||||||
Total intangible assets other than goodwill | $ | 79,029 | |||||||||||||||
Segment_Reporting_Tables
Segment Reporting (Tables) | 6 Months Ended | ||||||||||||||||
Feb. 14, 2015 | |||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||
Segment Results | The Company evaluates its reportable segment primarily on the basis of net sales and segment profit, which is defined as gross profit. Segment results for the periods presented were as follows: | ||||||||||||||||
Twelve Weeks Ended | Twenty-Four Weeks Ended | ||||||||||||||||
(in thousands) | February 14, | February 15, | February 14, | February 15, | |||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Net Sales | |||||||||||||||||
Auto Parts Stores | $ | 2,059,711 | $ | 1,913,591 | $ | 4,241,243 | $ | 3,933,161 | |||||||||
Other | 83,940 | 76,903 | 162,673 | 150,911 | |||||||||||||
Total | $ | 2,143,651 | $ | 1,990,494 | $ | 4,403,916 | $ | 4,084,072 | |||||||||
Segment Profit | |||||||||||||||||
Auto Parts Stores | $ | 1,075,078 | $ | 994,971 | $ | 2,207,413 | $ | 2,038,986 | |||||||||
Other | 44,955 | 42,064 | 89,281 | 83,747 | |||||||||||||
Gross profit | 1,120,033 | 1,037,035 | 2,296,694 | 2,122,733 | |||||||||||||
Operating, selling, general and administrative expenses | (758,764 | ) | (699,691 | ) | (1,526,863 | ) | (1,401,663 | ) | |||||||||
Interest expense, net | (34,536 | ) | (39,490 | ) | (71,596 | ) | (81,921 | ) | |||||||||
Income before income taxes | $ | 326,733 | $ | 297,854 | $ | 698,235 | $ | 639,149 | |||||||||
General_Additional_Information
General - Additional Information (Detail) | 6 Months Ended |
Feb. 14, 2015 | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Description of reporting periods | Operating results for the twelve and twenty-four weeks ended February 14, 2015, are not necessarily indicative of the results that may be expected for the fiscal year ending August 29, 2015. Each of the first three quarters of AutoZonebs fiscal year consists of 12 weeks, and the fourth quarter consists of 16 or 17 weeks. The fourth quarters for fiscal 2015 and 2014 each have 16 weeks. Additionally, the Companybs business is somewhat seasonal in nature, with the highest sales generally occurring during the months of February through September and the lowest sales generally occurring in the months of December and January. |
First Quarter [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Quarter period of fiscal year | 84 days |
Second Quarter [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Quarter period of fiscal year | 84 days |
Third Quarter [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Quarter period of fiscal year | 84 days |
Fourth Quarter [Member] | Minimum [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Quarter period of fiscal year | 112 days |
Fourth Quarter [Member] | Maximum [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Quarter period of fiscal year | 119 days |
ShareBased_Payments_Additional
Share-Based Payments - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | Feb. 15, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total share-based compensation expense related to stock options and share purchase plans | $11.40 | $11.50 | $20.20 | $20.70 |
Stock options exercised - Shares | 210,976 | 142,816 | ||
Stock options exercised - Weighted average exercise price | $183.26 | $192.70 | ||
Stock options granted | 328,060 | 347,615 | ||
Weighted average grant date fair value of options granted | $106.17 | $96.92 | ||
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Anti-dilutive shares excluded from the computation of earnings per share | 600 | 0 | 600 | 5,830 |
ShareBased_Payments_Weighted_A
Share-Based Payments - Weighted Average for Key Assumptions Used in Determining Fair Value of Options Granted and Related Share-Based Compensation Expense (Detail) | 6 Months Ended | |
Feb. 14, 2015 | Feb. 15, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Expected price volatility | 20.00% | 23.00% |
Risk-free interest rate | 1.40% | 1.00% |
Weighted average expected lives (in years) | 5 years 1 month 6 days | 5 years 2 months 12 days |
Forfeiture rate | 9.00% | 9.00% |
Dividend yield | 0.00% | 0.00% |
Fair_Value_Measurements_Compan
Fair Value Measurements - Company's Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (Fair Value, Measurements, Recurring [Member], USD $) | Feb. 14, 2015 | Aug. 30, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other current assets | $4,873 | $10,400 |
Other long-term assets | 82,331 | 74,855 |
Total | 87,204 | 85,255 |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other current assets | 4,572 | 9,801 |
Other long-term assets | 60,112 | 53,133 |
Total | 64,684 | 62,934 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other current assets | 301 | 599 |
Other long-term assets | 22,219 | 21,722 |
Total | $22,520 | $22,321 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (Fair Value, Measurements, Recurring [Member], USD $) | Feb. 14, 2015 | Aug. 30, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term marketable securities | $4,873 | $10,400 |
Long-term marketable securities | $82,331 | $74,855 |
Marketable_Securities_Availabl
Marketable Securities - Available-for-Sale Marketable Securities (Detail) (USD $) | Feb. 14, 2015 | Aug. 30, 2014 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-For-Sale Marketable Securities, Amortized Cost Basis | $87,222 | $85,138 |
Available-For-Sale Marketable Securities, Gross Unrealized Gains | 166 | 210 |
Available-For-Sale Marketable Securities, Gross Unrealized Losses | -184 | -93 |
Available-For-Sale Marketable Securities, Fair Value | 87,204 | 85,255 |
Corporate Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-For-Sale Marketable Securities, Amortized Cost Basis | 35,977 | 37,265 |
Available-For-Sale Marketable Securities, Gross Unrealized Gains | 116 | 137 |
Available-For-Sale Marketable Securities, Gross Unrealized Losses | -31 | -15 |
Available-For-Sale Marketable Securities, Fair Value | 36,062 | 37,387 |
Government Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-For-Sale Marketable Securities, Amortized Cost Basis | 28,804 | 16,822 |
Available-For-Sale Marketable Securities, Gross Unrealized Gains | 28 | 16 |
Available-For-Sale Marketable Securities, Gross Unrealized Losses | -16 | -1 |
Available-For-Sale Marketable Securities, Fair Value | 28,816 | 16,837 |
Mortgage-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-For-Sale Marketable Securities, Amortized Cost Basis | 10,629 | 8,791 |
Available-For-Sale Marketable Securities, Gross Unrealized Gains | 14 | 22 |
Available-For-Sale Marketable Securities, Gross Unrealized Losses | -130 | -77 |
Available-For-Sale Marketable Securities, Fair Value | 10,513 | 8,736 |
Asset-Backed Securities and Other [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-For-Sale Marketable Securities, Amortized Cost Basis | 11,812 | 22,260 |
Available-For-Sale Marketable Securities, Gross Unrealized Gains | 8 | 35 |
Available-For-Sale Marketable Securities, Gross Unrealized Losses | -7 | 0 |
Available-For-Sale Marketable Securities, Fair Value | $11,813 | $22,295 |
Marketable_Securities_Addition
Marketable Securities - Additional Information (Detail) (USD $) | 0 Months Ended | ||
Feb. 14, 2015 | Feb. 14, 2015 | Aug. 30, 2014 | |
Securities | |||
Investments, Debt and Equity Securities [Abstract] | |||
Available for sale securities debt maturity period range | Less than one year to approximately three years | ||
Number of securities available for sale loss position | 53 | ||
Available-For-Sale Marketable Securities, Gross Unrealized Losses | $184,000 | $93,000 | |
Marketable securities transferred | $45,300,000 |
Derivative_Financial_Instrumen1
Derivative Financial Instruments - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | Feb. 15, 2014 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||
Derivative losses recorded in Accumulated other comprehensive loss | $11,500,000 | |||
Net derivative losses amortized into Interest expense | -42,000 | -42,000 | -84,000 | -84,000 |
Net derivative loss expected to be reclassified over next 12 months | $795,000 | $795,000 |
Merchandise_Inventories_Additi
Merchandise Inventories - Additional Information (Detail) (USD $) | Feb. 14, 2015 | Aug. 30, 2014 |
In Millions, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ||
Unrecorded adjustment for LIFO value in excess of replacement value | $318 | $307.20 |
Pension_and_Savings_Plans_Net_
Pension and Savings Plans - Net Periodic Benefit Expense (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | Feb. 15, 2014 |
Compensation and Retirement Disclosure [Abstract] | ||||
Interest cost | $2,847 | $3,016 | $5,694 | $6,032 |
Expected return on plan assets | -3,757 | -3,550 | -7,514 | -7,100 |
Amortization of net loss | 2,063 | 1,587 | 4,127 | 3,174 |
Net periodic pension expense | $1,153 | $1,053 | $2,307 | $2,106 |
Pension_and_Savings_Plans_Addi
Pension and Savings Plans - Additional Information (Detail) (USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Feb. 14, 2015 |
Compensation and Retirement Disclosure [Abstract] | |
Annual contributions by the Company to pension plans | $2.40 |
Expected contributions to the plans by the Company in fiscal 2015 | $14.50 |
Financing_Schedule_of_Debt_Det
Financing - Schedule of Debt (Detail) (USD $) | Feb. 14, 2015 | Aug. 30, 2014 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Total debt | $4,448,300 | $4,343,800 |
Less: Short-term borrowings | 87,156 | 180,910 |
Long-term debt | 4,361,144 | 4,162,890 |
5.750% Senior Notes due January 2015, effective interest rate of 5.89% [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 500,000 | |
5.500% Senior Notes due November 2015, effective interest rate of 4.86% [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 300,000 | 300,000 |
Long-term debt | 212,800 | |
6.950% Senior Notes due June 2016, effective interest rate of 7.09% [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 200,000 | 200,000 |
1.300% Senior Notes due January 2017, effective interest rate 1.43% [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 400,000 | 400,000 |
7.125% Senior Notes due August 2018, effective interest rate of 7.28% [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 250,000 | 250,000 |
4.000% Senior Notes due November 2020, effective interest rate of 4.43% [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 500,000 | 500,000 |
3.700% Senior Notes due April 2022, effective interest rate of 3.85% [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 500,000 | 500,000 |
2.875% Senior Notes due January 2023, effective interest rate of 3.21% [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 300,000 | 300,000 |
3.125% Senior Notes due July 2023, effective interest rate of 3.26% [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 500,000 | 500,000 |
Commercial paper, weighted average interest rate of 0.40% and 0.27% at February 14, 2015 and August 30, 2014, respectively [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $1,498,300 | $893,800 |
Financing_Schedule_of_Debt_Par
Financing - Schedule of Debt (Parenthetical) (Detail) | 3 Months Ended | 12 Months Ended | 6 Months Ended | 0 Months Ended |
Feb. 14, 2015 | Aug. 30, 2014 | Feb. 14, 2015 | Jan. 14, 2014 | |
5.750% Senior Notes due January 2015, effective interest rate of 5.89% [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate percentage | 5.75% | 5.75% | 5.75% | |
Effective interest rate | 5.89% | 5.89% | 5.89% | |
Debt instrument maturity, month and year | 2015-01 | 2015-01 | ||
5.500% Senior Notes due November 2015, effective interest rate of 4.86% [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate percentage | 5.50% | 5.50% | 5.50% | |
Effective interest rate | 4.86% | 4.86% | 4.86% | |
Debt instrument maturity, month and year | 2015-11 | 2015-11 | 2015-11 | |
6.950% Senior Notes due June 2016, effective interest rate of 7.09% [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate percentage | 6.95% | 6.95% | 6.95% | |
Effective interest rate | 7.09% | 7.09% | 7.09% | |
Debt instrument maturity, month and year | 2016-06 | 2016-06 | ||
1.300% Senior Notes due January 2017, effective interest rate 1.43% [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate percentage | 1.30% | 1.30% | 1.30% | 1.30% |
Effective interest rate | 1.43% | 1.43% | 1.43% | |
Debt instrument maturity, month and year | 2017-01 | 2017-01 | 2017-01 | |
7.125% Senior Notes due August 2018, effective interest rate of 7.28% [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate percentage | 7.13% | 7.13% | 7.13% | |
Effective interest rate | 7.28% | 7.28% | 7.28% | |
Debt instrument maturity, month and year | 2018-08 | 2018-08 | ||
4.000% Senior Notes due November 2020, effective interest rate of 4.43% [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate percentage | 4.00% | 4.00% | 4.00% | |
Effective interest rate | 4.43% | 4.43% | 4.43% | |
Debt instrument maturity, month and year | 2020-11 | 2020-11 | ||
3.700% Senior Notes due April 2022, effective interest rate of 3.85% [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate percentage | 3.70% | 3.70% | 3.70% | |
Effective interest rate | 3.85% | 3.85% | 3.85% | |
Debt instrument maturity, month and year | 2022-04 | 2022-04 | ||
2.875% Senior Notes due January 2023, effective interest rate of 3.21% [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate percentage | 2.88% | 2.88% | 2.88% | |
Effective interest rate | 3.21% | 3.21% | 3.21% | |
Debt instrument maturity, month and year | 2023-01 | 2023-01 | ||
3.125% Senior Notes due July 2023, effective interest rate of 3.26% [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate percentage | 3.13% | 3.13% | 3.13% | |
Effective interest rate | 3.26% | 3.26% | 3.26% | |
Debt instrument maturity, month and year | 2023-07 | 2023-07 | ||
Commercial paper, weighted average interest rate of 0.40% and 0.27% at February 14, 2015 and August 30, 2014, respectively [Member] | ||||
Debt Instrument [Line Items] | ||||
Weighted average interest rate of commercial paper | 0.40% | 0.27% | 0.40% |
Financing_Additional_Informati
Financing - Additional Information (Detail) (USD $) | 6 Months Ended | 0 Months Ended | 3 Months Ended | 12 Months Ended | ||
Feb. 14, 2015 | Feb. 15, 2014 | Jan. 14, 2014 | Feb. 14, 2015 | Aug. 30, 2014 | Dec. 19, 2014 | |
Line of Credit Facility [Line Items] | ||||||
Long-term debt | $4,361,144,000 | $4,361,144,000 | $4,162,890,000 | |||
Remaining borrowing capacity under revolving credit facility | 1,711,000,000 | 1,711,000,000 | ||||
Amount available under credit facility | 1,750,000,000 | 1,750,000,000 | 1,250,000,000 | |||
Proceeds from issuance of debt | 400,000,000 | |||||
Extended expiration of credit facility | 2 years | |||||
Amount available under credit facility | 1,500,000,000 | |||||
Fair value of the Company's debt | 4,556,000,000 | 4,556,000,000 | 4,480,000,000 | |||
Excess (shortfall) of fair value of debt over (from) carrying value | 107,700,000 | 107,700,000 | 136,600,000 | |||
Commercial paper, weighted average interest rate of 0.40% and 0.27% at February 14, 2015 and August 30, 2014, respectively [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Total debt | 1,498,300,000 | 1,498,300,000 | 893,800,000 | |||
Capital Leases [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Amount available under credit facility | 225,000,000 | |||||
Interest accrual on foreign currency loans the basis points | Interest accrues on Eurodollar loans at a defined Eurodollar rate, defined as LIBOR plus the applicable percentage, as defined in the revolving credit facility, depending upon the Company's senior, unsecured, (non-credit enhanced) long-term debt rating. | |||||
Expiration of credit facility | Dec-19 | |||||
Letters of Credit [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Amount available under credit facility | 200,000,000 | |||||
364-Day Credit Agreement [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Amount available under credit facility | 500,000,000 | |||||
Credit facility interest rate description | Interest accrues on Eurodollar loans at a defined Eurodollar rate, defined as LIBOR plus the applicable margin, as defined in the revolving credit facility, depending upon the Company's senior, unsecured, (non-credit enhanced) long-term debt rating. | |||||
Credit facility expiration date | 19-Dec-15 | |||||
Credit facility expiration extension period subject to bank approval | 364 days | |||||
364-Day Credit Agreement [Member] | Maximum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit facility prior period | 45 days | |||||
Term Loan [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Percentage of penalty for extending expiration period | 1.00% | |||||
Term Loan [Member] | Maximum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit facility prior period | 15 days | |||||
Term Loan Maturity Period | 1 year | |||||
1.300% Senior Notes due January 2017, effective interest rate 1.43% [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Total debt | 400,000,000 | 400,000,000 | 400,000,000 | |||
Stated interest rate percentage | 1.30% | 1.30% | 1.30% | 1.30% | ||
Debt instrument maturity, month and year | 2017-01 | 2017-01 | 2017-01 | |||
Proceeds from issuance of debt | 400,000,000 | |||||
6.500% Senior Notes due January 2014 [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Stated interest rate percentage | 6.50% | |||||
Debt instrument maturity, month and year | 2014-01 | |||||
Debt repayment using commercial papers | 500,000,000 | |||||
5.500% Senior Notes due November 2015, effective interest rate of 4.86% [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Total debt | 300,000,000 | 300,000,000 | 300,000,000 | |||
Long-term debt | $212,800,000 | $212,800,000 | ||||
Stated interest rate percentage | 5.50% | 5.50% | 5.50% | |||
Debt instrument maturity, month and year | 2015-11 | 2015-11 | 2015-11 |
Stock_Repurchase_Program_Addit
Stock Repurchase Program - Additional Information (Detail) (USD $) | 0 Months Ended | 6 Months Ended | 12 Months Ended | 0 Months Ended | 205 Months Ended | ||
Jun. 17, 2014 | Feb. 14, 2015 | Aug. 30, 2014 | Mar. 24, 2015 | Feb. 14, 2015 | Jun. 16, 2014 | Mar. 23, 2015 | |
Stock Repurchase Program [Line Items] | |||||||
Stock repurchased cumulative, shares | 614,099 | ||||||
Purchase of treasury stock | $325,700,000 | ||||||
Increase in authorization of stock repurchase, value | 750,000,000 | ||||||
Stock repurchase authorized amended value | 14,900,000,000 | 14,150,000,000 | |||||
Remaining value authorized for share repurchases | 543,600,000 | 543,600,000 | |||||
Treasury stock acquired repurchase authorization | From January 1, 1998 to February 14, 2015 the Company has repurchased a total of 137.5 million shares at an aggregate cost of $14.356 billion, including 614,099 shares of its common stock at an aggregate cost of $325.7 million during the twenty-four week period ended February 14, 2015. On June 17, 2014, the Board voted to increase the authorization by $750 million to raise the cumulative share repurchase authorization from $14.15 billion to $14.9 billion. Considering the cumulative repurchases as of February 14, 2015, the Company had $543.6 million remaining under the Boardbs authorization to repurchase its common stock. | ||||||
Share of treasury stock retired | 2,100,000 | 3,200,000 | |||||
Retained Deficit [Member] | |||||||
Stock Repurchase Program [Line Items] | |||||||
Treasury stock retired, cost method | -1,050,000,000 | -1,220,000,000 | |||||
Additional Paid-In Capital [Member] | |||||||
Stock Repurchase Program [Line Items] | |||||||
Treasury stock retired, cost method | -57,400,000 | -74,000,000 | |||||
Subsequent Event [Member] | |||||||
Stock Repurchase Program [Line Items] | |||||||
Stock repurchased cumulative, shares | 268,371 | ||||||
Purchase of treasury stock | 174,100,000 | ||||||
Increase in authorization of stock repurchase, value | 750,000,000 | ||||||
Stock repurchase authorized amended value | 15,650,000,000 | 14,900,000,000 | |||||
Remaining value authorized for share repurchases | 1,119,000,000 | ||||||
January 1,1998 to February 14,2015 [Member] | |||||||
Stock Repurchase Program [Line Items] | |||||||
Stock repurchased cumulative, shares | 137,500,000 | ||||||
Purchase of treasury stock | $14,356,000,000 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss - Changes in Accumulated Other Comprehensive Loss (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | Feb. 15, 2014 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | ($146,151) | ($112,087) | ($128,903) | ($120,788) |
Other comprehensive (loss) income before reclassifications | -40,708 | -9,221 | -59,202 | -1,495 |
Amounts reclassified from Accumulated other comprehensive loss | 1,273 | 962 | 2,519 | 1,937 |
Ending Balance | -185,586 | -120,346 | -185,586 | -120,346 |
Pension Liability [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | -62,603 | -49,909 | -63,820 | -50,861 |
Amounts reclassified from Accumulated other comprehensive loss | 1,268 | 955 | 2,485 | 1,907 |
Ending Balance | -61,335 | -48,954 | -61,335 | -48,954 |
Foreign Currency [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | -76,197 | -54,976 | -57,836 | -62,483 |
Other comprehensive (loss) income before reclassifications | -40,492 | -9,196 | -58,853 | -1,689 |
Ending Balance | -116,689 | -64,172 | -116,689 | -64,172 |
Net Unrealized Gain on Securities [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | 38 | 191 | 76 | -25 |
Other comprehensive (loss) income before reclassifications | -30 | -25 | -72 | 194 |
Amounts reclassified from Accumulated other comprehensive loss | -20 | -20 | -16 | -23 |
Ending Balance | -12 | 146 | -12 | 146 |
Derivatives [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | -7,389 | -7,393 | -7,323 | -7,419 |
Other comprehensive (loss) income before reclassifications | -186 | -277 | ||
Amounts reclassified from Accumulated other comprehensive loss | 25 | 27 | 50 | 53 |
Ending Balance | ($7,550) | ($7,366) | ($7,550) | ($7,366) |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Loss - Changes in Accumulated Other Comprehensive Loss (Parenthetical) (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | Feb. 15, 2014 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Reclassification from accumulated other comprehensive income, pension, taxes | $795 | $632 | $1,642 | $1,268 |
Reclassification from accumulated other comprehensive income, securities, taxes | 26 | 24 | 47 | 92 |
Reclassification from accumulated other comprehensive income, derivatives, taxes | 179 | 15 | 215 | 31 |
Pension Liability [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Reclassification from accumulated other comprehensive income, pension, taxes | 795 | 632 | 1,642 | 1,268 |
Net Unrealized Gain on Securities [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Reclassification from accumulated other comprehensive income, securities, taxes | 11 | 11 | 9 | 13 |
Derivatives [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Reclassification from accumulated other comprehensive income, derivatives, taxes | $17 | $15 | $34 | $31 |
Acquisition_Additional_Informa
Acquisition - Additional Information (Detail) (USD $) | 0 Months Ended | ||
Sep. 27, 2014 | Feb. 14, 2015 | Aug. 30, 2014 | |
Business Acquisition [Line Items] | |||
Goodwill | $384,013,000 | $367,829,000 | |
Interamerican Motor Corporation [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition of outstanding stock | 75,700,000 | ||
Goodwill | 16,200,000 | ||
Purchase price allocation, intangible assets | $8,300,000 |
Goodwill_and_Intangibles_Sched
Goodwill and Intangibles - Schedule of Changes in Carrying Amount of Goodwill (Detail) (USD $) | 6 Months Ended |
Feb. 14, 2015 | |
Goodwill [Line Items] | |
Goodwill, Beginning balance | $367,829,000 |
Goodwill adjustments added through acquisition | 16,184,000 |
Goodwill, Ending balance | 384,013,000 |
Auto Parts Stores [Member] | |
Goodwill [Line Items] | |
Goodwill, Beginning balance | 302,645,000 |
Goodwill adjustments added through acquisition | 16,184,000 |
Goodwill, Ending balance | 318,829,000 |
Other [Member] | |
Goodwill [Line Items] | |
Goodwill, Beginning balance | 65,184,000 |
Goodwill adjustments added through acquisition | 0 |
Goodwill, Ending balance | $65,184,000 |
Goodwill_and_Intangibles_Addit
Goodwill and Intangibles - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 24 Months Ended | ||
Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |||||
Amortization expense of intangible assets | $2,100,000 | $1,500,000 | $4,100,000 | $2,500,000 | |
Purchase of intangibles | 10,000,000 | 11,112,000 | |||
Interamerican Motor Corporation [Member] | |||||
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |||||
Increased intangible assets related to acquisition | 8,300,000 | ||||
Customer Relationships [Member] | |||||
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |||||
Purchase of intangibles | $10,000,000 |
Goodwill_and_Intangibles_Sched1
Goodwill and Intangibles - Schedule of Carrying Amounts of Intangible Assets (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Feb. 14, 2015 |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |
Finite Lived, Gross Carrying Amount | $66,546 |
Finite Lived, Accumulated Amortization | -14,117 |
Finite Lived, Net Carrying Amount | 52,429 |
Total intangible assets other than goodwill, Net Carrying Amount | 79,029 |
Technology [Member] | |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |
Finite Lived, Gross Carrying Amount | 10,570 |
Finite Lived, Accumulated Amortization | -4,557 |
Finite Lived, Net Carrying Amount | 6,013 |
Noncompete Agreements [Member] | |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |
Estimated Useful Life | 5 years |
Finite Lived, Gross Carrying Amount | 1,300 |
Finite Lived, Accumulated Amortization | -563 |
Finite Lived, Net Carrying Amount | 737 |
Customer Relationships [Member] | |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |
Finite Lived, Gross Carrying Amount | 54,676 |
Finite Lived, Accumulated Amortization | -8,997 |
Finite Lived, Net Carrying Amount | 45,679 |
Minimum [Member] | Technology [Member] | |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |
Estimated Useful Life | 3 years |
Minimum [Member] | Customer Relationships [Member] | |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |
Estimated Useful Life | 3 years |
Maximum [Member] | Technology [Member] | |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |
Estimated Useful Life | 5 years |
Maximum [Member] | Customer Relationships [Member] | |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |
Estimated Useful Life | 10 years |
Trade Name [Member] | |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | |
Non-amortizing intangible asset - Trade name, Net Carrying Amount | $26,600 |
Litigation_Additional_Informat
Litigation - Additional Information (Detail) | 6 Months Ended |
Feb. 14, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Site contingency, recovery from third party of environmental remediation cost | In 2004, the Company acquired a store site in Mount Ephraim, New Jersey that had previously been the site of a gasoline service station and contained evidence of groundwater contamination. Upon acquisition, the Company voluntarily reported the groundwater contamination issue to the New Jersey Department of Environmental Protection and entered into a Voluntary Remediation Agreement providing for the remediation of the contamination associated with the property. The Company has conducted and paid for (at an immaterial cost to the Company) remediation of contamination on the property. The Company is also investigating, and will be addressing, potential vapor intrusion impacts in downgradient residences and businesses. The New Jersey Department of Environmental Protection has asserted, in a Directive and Notice to Insurers dated February 19, 2013 and again in an Amended Directive and Notice to Insurers dated January 13, 2014 (collectively the "Directives"), that the Company is liable for the downgradient impacts under a joint and severable liability theory. The Company has contested any such assertions due to the existence of other entities/sources of contamination, some of which are named in the Directives, in the area of the property. Pursuant to the Voluntary Remediation Agreement, upon completion of all remediation required by the agreement, the Company believes it should be eligible to be reimbursed up to 75 percent of qualified remediation costs by the State of New Jersey. The Company has asked the state for clarification that the agreement applies to off-site work, and the state is considering the request. Although the aggregate amount of additional costs that the Company may incur pursuant to the remediation cannot currently be ascertained, the Company does not currently believe that fulfillment of its obligations under the agreement or otherwise will result in costs that are material to its financial condition, results of operations or cash flow. |
Received a subpoena from the District Attorney of the County of Alameda and other legal proceedings | In July 2014, the Company received a subpoena from the District Attorney of the County of Alameda, along with other environmental prosecutorial offices in the state of California, seeking documents and information related to the handling, storage and disposal of hazardous waste. The Company is cooperating fully with the request and cannot predict the ultimate outcome of these efforts.The Company is involved in various other legal proceedings incidental to the conduct of its business, including several lawsuits containing class-action allegations in which the plaintiffs are current and former hourly and salaried employees who allege various wage and hour violations and unlawful termination practices. The Company does not currently believe that, either individually or in the aggregate, these matters will result in liabilities material to the Companybs financial condition, results of operations or cash flows. |
Reimbursable remediation costs | 75.00% |
Segment_Reporting_Additional_I
Segment Reporting - Additional Information (Detail) | 6 Months Ended |
Feb. 14, 2015 | |
Location | |
Segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 4 |
Number of reportable segments | 1 |
Number of automotive parts and accessories locations in the United States, Puerto Rico, Mexico, and Brazil | 5,476 |
Segment_Reporting_Segment_Resu
Segment Reporting - Segment Results (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 14, 2015 | Feb. 15, 2014 | Feb. 14, 2015 | Feb. 15, 2014 |
Segment Reporting Information [Line Items] | ||||
Net sales | $2,143,651 | $1,990,494 | $4,403,916 | $4,084,072 |
Gross profit | 1,120,033 | 1,037,035 | 2,296,694 | 2,122,733 |
Operating, selling, general and administrative expenses | -758,764 | -699,691 | -1,526,863 | -1,401,663 |
Interest expense, net | -34,536 | -39,490 | -71,596 | -81,921 |
Income before income taxes | 326,733 | 297,854 | 698,235 | 639,149 |
Auto Parts Stores [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,059,711 | 1,913,591 | 4,241,243 | 3,933,161 |
Gross profit | 1,075,078 | 994,971 | 2,207,413 | 2,038,986 |
Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 83,940 | 76,903 | 162,673 | 150,911 |
Gross profit | $44,955 | $42,064 | $89,281 | $83,747 |