Cover Page
Cover Page - shares | 6 Months Ended | |
Feb. 29, 2020 | Mar. 24, 2020 | |
Cover page. | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Feb. 29, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-14063 | |
Entity Registrant Name | JABIL INC | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 38-1886260 | |
Entity Address, Address Line One | 10560 Dr. Martin Luther King, Jr. Street North | |
Entity Address, City or Town | St. Petersburg | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 33716 | |
City Area Code | 727 | |
Local Phone Number | 577-9749 | |
Title of 12(b) Security | Common Stock, $0.001 par value per share | |
Trading Symbol | JBL | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 150,717,416 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0000898293 | |
Current Fiscal Year End Date | --08-31 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Feb. 29, 2020 | Aug. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 696,745 | $ 1,163,343 |
Accounts receivable, net of allowance for doubtful accounts of $30,191 as of February 29, 2020 and $17,221 as of August 31, 2019 | 2,314,055 | 2,745,226 |
Contract assets | 1,057,656 | 911,940 |
Inventories, net | 3,339,890 | 3,023,003 |
Prepaid expenses and other current assets | 569,493 | 501,573 |
Total current assets | 7,977,839 | 8,345,085 |
Property, plant and equipment, net of accumulated depreciation of $4,344,338 as of February 29, 2020 and $4,110,496 as of August 31, 2019 | 3,462,038 | 3,333,750 |
Operating lease right-of-use asset | 373,413 | |
Goodwill | 700,597 | 622,255 |
Intangible assets, net of accumulated amortization of $367,299 as of February 29, 2020 and $337,841 as of August 31, 2019 | 234,977 | 256,853 |
Deferred income taxes | 194,468 | 198,827 |
Other assets | 196,346 | 213,705 |
Total assets | 13,139,678 | 12,970,475 |
Current liabilities: | ||
Current installments of notes payable and long-term debt | 637,841 | 375,181 |
Accounts payable | 4,652,138 | 5,166,780 |
Accrued expenses | 3,015,129 | 2,990,144 |
Current operating lease liabilities | 100,033 | |
Total current liabilities | 8,405,141 | 8,532,105 |
Notes payable and long-term debt, less current installments | 2,086,359 | 2,121,284 |
Other liabilities | 315,875 | 163,821 |
Non-current operating lease liabilities | 311,879 | |
Income tax liabilities | 143,161 | 136,689 |
Deferred income taxes | 118,123 | 115,818 |
Total liabilities | 11,380,538 | 11,069,717 |
Commitments and contingencies | ||
Jabil Inc. stockholders’ equity: | ||
Preferred stock, $0.001 par value, authorized 10,000,000 shares; no shares issued and no shares outstanding | 0 | 0 |
Common stock, $0.001 par value, authorized 500,000,000 shares; 263,299,124 and 260,406,796 shares issued and 151,407,526 and 153,520,380 shares outstanding as of February 29, 2020 and August 31, 2019, respectively | 263 | 260 |
Additional paid-in capital | 2,363,839 | 2,304,552 |
Retained earnings | 2,048,954 | 2,037,037 |
Accumulated other comprehensive loss | (102,943) | (82,794) |
Treasury stock at cost, 111,891,598 and 106,886,416 shares as of February 29, 2020 and August 31, 2019, respectively | (2,563,282) | (2,371,612) |
Total Jabil Inc. stockholders’ equity | 1,746,831 | 1,887,443 |
Noncontrolling interests | 12,309 | 13,315 |
Total equity | 1,759,140 | 1,900,758 |
Total liabilities and equity | $ 13,139,678 | $ 12,970,475 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Feb. 29, 2020 | Aug. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Accounts receivable, allowance for doubtful accounts | $ 30,191 | $ 17,221 |
Property, plant and equipment, accumulated depreciation | 4,344,338 | 4,110,496 |
Intangible assets, accumulated amortization | $ 367,299 | $ 337,841 |
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 263,299,124 | 260,406,796 |
Common stock, shares outstanding | 151,407,526 | 153,520,380 |
Treasury stock, shares | 111,891,598 | 106,886,416 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Income Statement [Abstract] | ||||
Net revenue | $ 6,125,083 | $ 6,066,990 | $ 13,630,781 | $ 12,573,265 |
Cost of revenue | 5,694,958 | 5,612,116 | 12,646,817 | 11,598,741 |
Gross profit | 430,125 | 454,874 | 983,964 | 974,524 |
Operating expenses: | ||||
Selling, general and administrative | 285,024 | 282,142 | 613,923 | 560,268 |
Research and development | 11,290 | 10,155 | 22,060 | 21,298 |
Amortization of intangibles | 13,577 | 7,777 | 29,717 | 15,423 |
Restructuring and related charges | 29,604 | 817 | 74,855 | 6,842 |
Operating income | 90,630 | 153,983 | 243,409 | 370,693 |
Impairment on securities | 12,205 | 0 | 12,205 | 0 |
Other expense | 8,501 | 11,757 | 19,673 | 25,307 |
Interest income | (5,336) | (4,760) | (11,280) | (9,139) |
Interest expense | 46,183 | 46,160 | 91,094 | 88,812 |
Income before income tax | 29,077 | 100,826 | 131,717 | 265,713 |
Income tax expense | 31,658 | 33,219 | 93,584 | 74,032 |
Net (loss) income | (2,581) | 67,607 | 38,133 | 191,681 |
Net income attributable to noncontrolling interests, net of tax | 702 | 253 | 994 | 727 |
Net (loss) income attributable to Jabil Inc. | $ (3,283) | $ 67,354 | $ 37,139 | $ 190,954 |
(Loss) earnings per share attributable to the stockholders of Jabil Inc.: | ||||
Basic (in dollars per share) | $ (0.02) | $ 0.44 | $ 0.24 | $ 1.21 |
Diluted (in dollars per share) | $ (0.02) | $ 0.43 | $ 0.24 | $ 1.19 |
Weighted average shares outstanding: | ||||
Basic (in shares) | 152,058 | 154,725 | 152,579 | 158,160 |
Diluted (in shares) | 152,058 | 156,737 | 156,171 | 160,413 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Statement of Comprehensive Income [Abstract] | ||||
Net (loss) income | $ (2,581) | $ 67,607 | $ 38,133 | $ 191,681 |
Other comprehensive (loss) income: | ||||
Change in foreign currency translation | (10,346) | 12,535 | (10,875) | 12,912 |
Change in derivative instruments: | ||||
Change in fair value of derivatives | (9,474) | 1,471 | ||
Change in fair value of derivatives | 2,386 | (16,083) | ||
Adjustment for net (gains) losses realized and included in net income | (3,548) | 3,335 | ||
Adjustment for net (gains) losses realized and included in net income | 3,501 | 17,686 | ||
Total change in derivative instruments | 5,887 | 1,603 | ||
Total change in derivative instruments | (13,022) | 4,806 | ||
Unrealized (loss) gain on available for sale securities | (5,253) | 273 | (14,080) | (8,472) |
Actuarial gain | 0 | 0 | 0 | 103 |
Total other comprehensive (loss) income | (28,621) | 18,695 | (20,149) | 6,146 |
Comprehensive (loss) income | (31,202) | 86,302 | 17,984 | 197,827 |
Comprehensive income attributable to noncontrolling interests | 702 | 253 | 994 | 727 |
Comprehensive (loss) income attributable to Jabil Inc. | $ (31,904) | $ 86,049 | $ 16,990 | $ 197,100 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive (Loss) Income | Treasury Stock | Noncontrolling Interests |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Cumulative effect adjustment for adoption of new accounting standards | $ 40,855 | ||||||
Beginning Balance at Aug. 31, 2018 | $ 1,963,380 | $ 257 | $ 2,218,673 | 1,760,097 | $ (19,399) | $ (2,009,371) | $ 13,123 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Shares issued under employee stock purchase plan | 1 | 14,587 | |||||
Vesting of restricted stock awards | 2 | (2) | |||||
Recognition of stock-based compensation | 31,708 | ||||||
Declared dividends | (25,806) | ||||||
Net (loss) income | 191,681 | 190,954 | 727 | ||||
Other comprehensive (loss) income | 6,146 | 6,146 | |||||
Purchases of treasury stock under employee stock plans | (11,204) | ||||||
Treasury shares purchased | (350,323) | ||||||
Acquisition of noncontrolling interests | 1,112 | ||||||
Disposition of noncontrolling interests | (1,785) | ||||||
Declared dividends to noncontrolling interests | (1,500) | ||||||
Ending Balance at Feb. 28, 2019 | 1,858,852 | 260 | 2,264,966 | 1,966,100 | (13,253) | (2,370,898) | 11,677 |
Beginning Balance at Nov. 30, 2018 | 1,905,513 | 259 | 2,235,827 | 1,911,451 | (31,948) | (2,223,673) | 13,597 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Shares issued under employee stock purchase plan | 1 | 14,579 | |||||
Recognition of stock-based compensation | 14,560 | ||||||
Declared dividends | (12,705) | ||||||
Net (loss) income | 67,607 | 67,354 | 253 | ||||
Other comprehensive (loss) income | 18,695 | 18,695 | |||||
Purchases of treasury stock under employee stock plans | (1,489) | ||||||
Treasury shares purchased | (145,736) | ||||||
Acquisition of noncontrolling interests | 1,112 | ||||||
Disposition of noncontrolling interests | (1,785) | ||||||
Declared dividends to noncontrolling interests | (1,500) | ||||||
Ending Balance at Feb. 28, 2019 | 1,858,852 | 260 | 2,264,966 | 1,966,100 | (13,253) | (2,370,898) | 11,677 |
Beginning Balance at Aug. 31, 2019 | 1,900,758 | 260 | 2,304,552 | 2,037,037 | (82,794) | (2,371,612) | 13,315 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Shares issued under employee stock purchase plan | 1 | 16,179 | |||||
Vesting of restricted stock awards | 2 | (2) | |||||
Recognition of stock-based compensation | 43,110 | ||||||
Declared dividends | (25,222) | ||||||
Net (loss) income | 38,133 | 37,139 | 994 | ||||
Other comprehensive (loss) income | (20,149) | (20,149) | |||||
Purchases of treasury stock under employee stock plans | (23,010) | ||||||
Treasury shares purchased | (168,660) | ||||||
Declared dividends to noncontrolling interests | (2,000) | ||||||
Ending Balance at Feb. 29, 2020 | 1,759,140 | 263 | 2,363,839 | 2,048,954 | (102,943) | (2,563,282) | 12,309 |
Beginning Balance at Nov. 30, 2019 | 1,849,293 | 262 | 2,332,307 | 2,064,758 | (74,322) | (2,487,319) | 13,607 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Shares issued under employee stock purchase plan | 1 | 16,179 | |||||
Recognition of stock-based compensation | 15,353 | ||||||
Declared dividends | (12,521) | ||||||
Net (loss) income | (2,581) | (3,283) | 702 | ||||
Other comprehensive (loss) income | (28,621) | (28,621) | |||||
Purchases of treasury stock under employee stock plans | (3,693) | ||||||
Treasury shares purchased | (72,270) | ||||||
Declared dividends to noncontrolling interests | (2,000) | ||||||
Ending Balance at Feb. 29, 2020 | $ 1,759,140 | $ 263 | $ 2,363,839 | $ 2,048,954 | $ (102,943) | $ (2,563,282) | $ 12,309 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Feb. 29, 2020 | Feb. 28, 2019 | |
Cash flows provided by operating activities: | ||
Net income | $ 38,133 | $ 191,681 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 402,347 | 381,510 |
Restructuring and related charges | 33,061 | (3,212) |
Recognition of stock-based compensation expense and related charges | 45,332 | 32,946 |
Deferred income taxes | 3,087 | 23,921 |
Provision for allowance for doubtful accounts | 10,185 | 5,598 |
Other, net | 13,838 | 38,559 |
Change in operating assets and liabilities, exclusive of net assets acquired: | ||
Accounts receivable | 424,971 | (365,192) |
Contract assets | (63,302) | (815,144) |
Inventories | (279,664) | 225,036 |
Prepaid expenses and other current assets | (62,881) | (4,895) |
Other assets | (8,438) | (10,170) |
Accounts payable, accrued expenses and other liabilities | (472,503) | 407,127 |
Net cash provided by operating activities | 84,166 | 107,765 |
Cash flows used in investing activities: | ||
Acquisition of property, plant and equipment | (448,765) | (537,140) |
Proceeds and advances from sale of property, plant and equipment | 36,624 | 144,968 |
Cash paid for business and intangible asset acquisitions, net of cash | (141,195) | (80,778) |
Cash receipts on sold receivables | 0 | 96,846 |
Other, net | (2,013) | (13,504) |
Net cash used in investing activities | (555,349) | (389,608) |
Cash flows provided by (used in) financing activities: | ||
Borrowings under debt agreements | 5,063,358 | 6,182,931 |
Payments toward debt agreements | (4,835,697) | (6,046,181) |
Payments to acquire treasury stock | (168,660) | (350,323) |
Dividends paid to stockholders | (26,280) | (27,422) |
Net proceeds from exercise of stock options and issuance of common stock under employee stock purchase plan | 16,179 | 14,587 |
Treasury stock minimum tax withholding related to vesting of restricted stock | (23,010) | (11,204) |
Other, net | (11,617) | (1,500) |
Net cash provided by (used in) financing activities | 14,273 | (239,112) |
Effect of exchange rate changes on cash and cash equivalents | (9,688) | 12,063 |
Net decrease in cash and cash equivalents | (466,598) | (508,892) |
Cash and cash equivalents at beginning of period | 1,163,343 | 1,257,949 |
Cash and cash equivalents at end of period | $ 696,745 | $ 749,057 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Feb. 29, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) necessary to present fairly the information set forth therein have been included. The accompanying unaudited Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and footnotes included in the Annual Report on Form 10-K of the Company for the fiscal year ended August 31, 2019 . Results for the six months ended February 29, 2020 are not necessarily an indication of the results that may be expected for the full fiscal year ending August 31, 2020 . |
Trade Accounts Receivable Sale
Trade Accounts Receivable Sale Programs | 6 Months Ended |
Feb. 29, 2020 | |
Transfers and Servicing [Abstract] | |
Trade Accounts Receivable Sale Programs | Trade Accounts Receivable Sale Programs The Company regularly sells designated pools of high credit quality trade accounts receivable under uncommitted trade accounts receivable sale programs to unaffiliated financial institutions without recourse. As these accounts receivable are sold without recourse, the Company does not retain the associated risks following the transfer of such accounts receivable to the respective financial institutions. The Company continues servicing the receivables sold and in exchange receives a servicing fee under each of the trade accounts receivable sale programs. Servicing fees related to each of the trade accounts receivable sale programs recognized during the three months and six months ended February 29, 2020 and February 28, 2019 were not material. The Company does not record a servicing asset or liability on the Condensed Consolidated Balance Sheets as the Company estimates that the fee it receives to service these receivables approximates the fair market compensation to provide the servicing activities. Transfers of the receivables under the trade accounts receivable sale programs are accounted for as sales and, accordingly, net receivables sold under the trade accounts receivable sale programs are excluded from accounts receivable on the Condensed Consolidated Balance Sheets and are reflected as cash provided by operating activities on the Condensed Consolidated Statements of Cash Flows. The following is a summary of the trade accounts receivable sale programs with unaffiliated financial institutions where the Company may elect to sell receivables and the unaffiliated financial institution may elect to purchase, at a discount, on an ongoing basis: Program Maximum (1) Type of Expiration A $ 500.0 Uncommitted December 5, 2020 (2) B $ 150.0 Uncommitted November 30, 2020 (3) C 800.0 CNY Uncommitted June 30, 2020 D $ 150.0 Uncommitted May 4, 2023 (4) E $ 50.0 Uncommitted August 25, 2020 F $ 150.0 Uncommitted January 25, 2021 (5) G $ 50.0 Uncommitted February 23, 2023 (6) H $ 100.0 Uncommitted August 10, 2020 (7) I $ 100.0 Uncommitted July 21, 2020 (8) J $ 650.0 Uncommitted December 4, 2020 (9) K $ 110.0 Uncommitted April 11, 2020 (10) L 100.0 CHF Uncommitted December 5, 2020 (2) (1) Maximum amount available at any one time. (2) The program will be automatically extended each year through December 5, 2025 unless either party provides 30 days notice of termination. (3) The program will automatically extend for one year at each expiration date unless either party provides 10 days notice of termination. (4) Any party may elect to terminate the agreement upon 30 days prior notice. (5) The program will be automatically extended through January 25, 2023 unless either party provides 30 days notice of termination. (6) Any party may elect to terminate the agreement upon 15 days prior notice. (7) The program will be automatically extended through August 10, 2023 unless either party provides 30 days notice of termination. (8) The program will be automatically extended through August 21, 2023 unless either party provides 30 days notice of termination. (9) The program will be automatically extended each year through December 5, 2024 unless either party provides 30 days notice of termination. (10) The program will be automatically extended each year through April 11, 2025 unless either party provides 30 days notice of termination. In connection with the trade accounts receivable sale programs, the Company recognized the following (in millions): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Trade accounts receivable sold $ 2,201 $ 1,719 $ 4,163 $ 3,553 Cash proceeds received $ 2,196 $ 1,712 $ 4,153 $ 3,538 Pre-tax losses on sale of receivables (1) $ 5 $ 7 $ 10 $ 15 (1) Recorded to other expense within the Condensed Consolidated Statement of Operations. The Company continuously sells designated pools of trade accounts receivable, at a discount, under its foreign asset-backed securitization program and its North American asset-backed securitization program to special purpose entities, which in turn sell certain of the foreign asset-backed receivables to an unaffiliated financial institution and a conduit administered by an unaffiliated financial institution and certain of the North American asset-backed receivables to conduits administered by an unaffiliated financial institution on a monthly basis. The Company continues servicing the receivables sold and in exchange receives a servicing fee under each of the asset-backed securitization programs. Servicing fees related to each of the asset-backed securitization programs recognized during the three months and six months ended February 29, 2020 and February 28, 2019 were not material. The Company does not record a servicing asset or liability on the Condensed Consolidated Balance Sheets as the Company estimates that the fee it receives to service these receivables approximates the fair market compensation to provide the servicing activities. Transfers of the receivables under the asset-backed securitization programs are accounted for as sales and, accordingly, net receivables sold under the asset-backed securitization programs are excluded from accounts receivable on the Condensed Consolidated Balance Sheets and are reflected as cash provided by operating activities on the Condensed Consolidated Statements of Cash Flows. The special purpose entity in the foreign asset-backed securitization program is a separate bankruptcy-remote entity whose assets would be first available to satisfy the creditor claims of the unaffiliated financial institution. The Company is deemed the primary beneficiary of this special purpose entity as the Company has both the power to direct the activities of the entity that most significantly impact the entity’s economic performance and the obligation to absorb losses or the right to receive the benefits that could potentially be significant to the entity from the transfer of the trade accounts receivable into the special purpose entity. Accordingly, the special purpose entity associated with the foreign asset-backed securitization program is included in the Company’s Condensed Consolidated Financial Statements. As of February 29, 2020 , the special purpose entity has liabilities for which creditors do not have recourse to the general credit of the Company (primary beneficiary). The liabilities cannot exceed the maximum amount of net cash proceeds under the foreign asset-backed securitization program. The foreign asset-backed securitization program contains a guarantee of payment by the special purpose entity, in an amount approximately equal to the net cash proceeds under the program. No liability has been recorded for obligations under the guarantee as of February 29, 2020 . The special purpose entity in the North American asset-backed securitization program is a wholly-owned subsidiary of the Company and is included in the Company’s Condensed Consolidated Financial Statements. Certain unsold receivables covering the maximum amount of net cash proceeds available under the North American asset-backed securitization program are pledged as collateral to the unaffiliated financial institution as of February 29, 2020 . Following is a summary of the asset-backed securitization programs and key terms: Maximum Amount of (1)(2) Expiration North American $ 390.0 November 22, 2021 Foreign $ 400.0 September 30, 2021 (1) Maximum amount available at any one time. (2) As of February 29, 2020 , the Company had up to $76.3 million in available liquidity under its asset-backed securitization programs. In connection with the asset-backed securitization programs, the Company recognized the following (in millions): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 (3) Trade accounts receivable sold $ 1,095 $ 1,078 $ 2,257 $ 1,828 Cash proceeds received (1) $ 1,089 $ 1,072 $ 2,245 $ 1,816 Pre-tax losses on sale of receivables (2) $ 6 $ 6 $ 12 $ 12 (1) The amounts primarily represent proceeds from collections reinvested in revolving-period transfers. (2) Recorded to other expense within the Condensed Consolidated Statements of Operations. (3) Excludes $650.3 million of trade accounts receivable sold, $488.1 million of cash and $13.9 million of net cash received prior to the amendment of the foreign asset-backed securitization program and under the previous North American asset-backed securitization program which occurred during the first quarter of fiscal year 2019. The asset-backed securitization programs require compliance with several covenants. The North American asset-backed securitization program covenants include compliance with the interest ratio and debt to EBITDA ratio of the five-year unsecured credit facility entered into on January 22, 2020 (the “Credit Facility”). The foreign asset-backed securitization program covenants include limitations on certain corporate actions such as mergers and consolidations. As of February 29, 2020 and August 31, 2019 , the Company was in compliance with all covenants under the asset-backed securitization programs. |
Inventories
Inventories | 6 Months Ended |
Feb. 29, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories consist of the following (in thousands): February 29, 2020 August 31, 2019 Raw materials $ 2,482,072 $ 2,310,081 Work in process 462,549 468,217 Finished goods 455,295 314,258 Reserve for excess and obsolete inventory (60,026 ) (69,553 ) Inventories, net $ 3,339,890 $ 3,023,003 |
Leases
Leases | 6 Months Ended |
Feb. 29, 2020 | |
Leases [Abstract] | |
Leases | Leases Effective September 1, 2019, the Company adopted Accounting Standards Update No. 2016-02 (“ASU 2016-02”), Leases (Topic 842) using the modified retrospective approach and also elected to apply the package of practical expedients, which among other things, allows entities to maintain the historical lease classification for existing leases. The Company has lease agreements that contain both lease and non-lease components. For lease agreements entered into or reassessed after the adoption of ASU 2016-02, the Company has elected the practical expedient to combine lease and non-lease components for building and real estate leases. The Company primarily has leases for buildings and real estate with lease terms ranging from 1 year to 36 years . Leases for other classes of assets are not significant. For any leases with an initial term in excess of 12 months, the Company determines whether an arrangement is a lease at contract inception by evaluating if the contract conveys the right to use and control the specific property or equipment. Certain lease agreements contain purchase or renewal options. These options are included in the lease term when it is reasonably certain that the Company will exercise that option. Generally, the Company's lease agreements do not contain material residual value guarantees or material restrictive covenants. Right-of-use assets represent the right to use an underlying asset for the lease term and lease liabilities represent an obligation to make lease payments arising from the lease. Right-of-use assets and lease liabilities are recognized based on the present value of future lease payments over the lease term at the lease commencement date. When determining the present value of future payment, the Company uses the incremental borrowing rate when the implicit rate is not readily determinable. Any payment deemed probable under residual value guarantees is included in lease payments. Any variable payments, other than those that depend on an index or rate, are excluded from right-of-use assets and lease liabilities. Leases with an initial term of 12 months or less are not recorded as right-of-use assets and lease liabilities in the Consolidated Balance Sheet. Lease expense for these leases is recognized on a straight-line basis over the lease term. Upon adoption of ASU 2016-02, the Company recorded $414.6 million and $437.5 million of right-of-use assets and lease liabilities, respectively, related to its existing operating lease portfolio. The accounting for the Company's finance leases remained substantially unchanged and balances were not significant on the adoption date. The adoption of this standard did not have a material impact on the Consolidated Statements of Operations or the Consolidated Statements of Cash Flows. The following table sets forth the amount of lease assets and lease liabilities included on the Company's Condensed Consolidated Balance Sheets, as of the period indicated (in thousands): Financial Statement Line Item February 29, 2020 Assets Operating lease assets (1) Operating lease right-of-use assets $ 373,413 Finance lease assets (2) Property, plant and equipment, net 151,401 Total lease assets $ 524,814 Liabilities Current Operating lease liabilities Current operating lease liabilities $ 100,033 Finance lease liabilities Accrued expenses 6,906 Non-current Operating lease liabilities Non-current operating lease liabilities 311,879 Finance lease liabilities Other liabilities 156,798 Total lease liabilities $ 575,616 (1) Net of accumulated amortization of $49.2 million . (2) Net of accumulated amortization of $9.6 million . The following table is a summary of expenses related to leases included on the Company's Condensed Consolidated Statements of Operations, for the periods indicated (in thousands): Three months ended Six months ended February 29, 2020 February 29, 2020 Operating lease cost $ 27,810 $ 55,546 Finance lease cost Amortization of leased assets 1,445 2,581 Interest on lease liabilities 1,254 2,443 Other 1,655 4,183 Net lease cost (1) $ 32,164 $ 64,753 (1) Lease costs are primarily recognized in cost of revenue. The following table is a summary of the weighted-average remaining lease terms and weighted-average discount rates of the Company's leases, as of the period indicated: February 29, 2020 Weighted-average remaining lease term Weighted-average discount rate Operating leases 5.5 years 3.22 % Finance leases 6.3 years 4.31 % The following table sets forth other supplemental information related to the Company's lease portfolio (in thousands): Six months ended February 29, 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases (1) $ 55,592 Operating cash flows for finance leases (1) 2,443 Financing activities for finance leases (2) 2,808 Non-cash right-of-use assets obtained in exchange for new lease liabilities: Operating leases 34,213 Finance leases 111,591 (1) Included in accounts payable, accrued expenses and other liabilities in Operating Activities of the Company's Condensed Consolidated Statements of Cash Flows. (2) Included in payments toward debt agreements in Financing Activities of the Company's Condensed Consolidated Statements of Cash Flows. The future minimum lease payments under operating and finance leases as of February 29, 2020 were as follows (in thousands): Twelve months ended February 29, Operating Leases (1) Finance Leases Total 2020 $ 110,692 $ 11,849 $ 122,541 2021 89,479 12,375 101,854 2022 69,928 11,744 81,672 2023 53,400 11,879 65,279 2024 41,472 15,644 57,116 Thereafter 92,529 128,763 221,292 Total minimum lease payments $ 457,500 $ 192,254 $ 649,754 Less: Interest (45,588 ) (28,550 ) (74,138 ) Present value of lease liabilities $ 411,912 $ 163,704 $ 575,616 (1) Excludes $28.2 million of payments related to leases signed but not yet commenced. Additionally, certain leases signed but not yet commenced contain residual value guarantees and purchase options not deemed probable. As disclosed in the Company’s Form 10-K for the fiscal year ended August 31, 2019, the future minimum lease payments of non-cancelable operating leases prior to the adoption of ASU 2016-02 were as follows (in thousands): Fiscal Year Ending August 31, Amount 2020 $ 118,312 2021 102,915 2022 84,729 2023 63,206 2024 51,091 Thereafter 182,932 Total minimum lease payments $ 603,185 Total operating lease expense prior to the adoption of ASU 2016-02 was approximately $125.4 million , $130.2 million and $117.2 million for fiscal years 2019, 2018 and 2017, respectively. |
Leases | Leases Effective September 1, 2019, the Company adopted Accounting Standards Update No. 2016-02 (“ASU 2016-02”), Leases (Topic 842) using the modified retrospective approach and also elected to apply the package of practical expedients, which among other things, allows entities to maintain the historical lease classification for existing leases. The Company has lease agreements that contain both lease and non-lease components. For lease agreements entered into or reassessed after the adoption of ASU 2016-02, the Company has elected the practical expedient to combine lease and non-lease components for building and real estate leases. The Company primarily has leases for buildings and real estate with lease terms ranging from 1 year to 36 years . Leases for other classes of assets are not significant. For any leases with an initial term in excess of 12 months, the Company determines whether an arrangement is a lease at contract inception by evaluating if the contract conveys the right to use and control the specific property or equipment. Certain lease agreements contain purchase or renewal options. These options are included in the lease term when it is reasonably certain that the Company will exercise that option. Generally, the Company's lease agreements do not contain material residual value guarantees or material restrictive covenants. Right-of-use assets represent the right to use an underlying asset for the lease term and lease liabilities represent an obligation to make lease payments arising from the lease. Right-of-use assets and lease liabilities are recognized based on the present value of future lease payments over the lease term at the lease commencement date. When determining the present value of future payment, the Company uses the incremental borrowing rate when the implicit rate is not readily determinable. Any payment deemed probable under residual value guarantees is included in lease payments. Any variable payments, other than those that depend on an index or rate, are excluded from right-of-use assets and lease liabilities. Leases with an initial term of 12 months or less are not recorded as right-of-use assets and lease liabilities in the Consolidated Balance Sheet. Lease expense for these leases is recognized on a straight-line basis over the lease term. Upon adoption of ASU 2016-02, the Company recorded $414.6 million and $437.5 million of right-of-use assets and lease liabilities, respectively, related to its existing operating lease portfolio. The accounting for the Company's finance leases remained substantially unchanged and balances were not significant on the adoption date. The adoption of this standard did not have a material impact on the Consolidated Statements of Operations or the Consolidated Statements of Cash Flows. The following table sets forth the amount of lease assets and lease liabilities included on the Company's Condensed Consolidated Balance Sheets, as of the period indicated (in thousands): Financial Statement Line Item February 29, 2020 Assets Operating lease assets (1) Operating lease right-of-use assets $ 373,413 Finance lease assets (2) Property, plant and equipment, net 151,401 Total lease assets $ 524,814 Liabilities Current Operating lease liabilities Current operating lease liabilities $ 100,033 Finance lease liabilities Accrued expenses 6,906 Non-current Operating lease liabilities Non-current operating lease liabilities 311,879 Finance lease liabilities Other liabilities 156,798 Total lease liabilities $ 575,616 (1) Net of accumulated amortization of $49.2 million . (2) Net of accumulated amortization of $9.6 million . The following table is a summary of expenses related to leases included on the Company's Condensed Consolidated Statements of Operations, for the periods indicated (in thousands): Three months ended Six months ended February 29, 2020 February 29, 2020 Operating lease cost $ 27,810 $ 55,546 Finance lease cost Amortization of leased assets 1,445 2,581 Interest on lease liabilities 1,254 2,443 Other 1,655 4,183 Net lease cost (1) $ 32,164 $ 64,753 (1) Lease costs are primarily recognized in cost of revenue. The following table is a summary of the weighted-average remaining lease terms and weighted-average discount rates of the Company's leases, as of the period indicated: February 29, 2020 Weighted-average remaining lease term Weighted-average discount rate Operating leases 5.5 years 3.22 % Finance leases 6.3 years 4.31 % The following table sets forth other supplemental information related to the Company's lease portfolio (in thousands): Six months ended February 29, 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases (1) $ 55,592 Operating cash flows for finance leases (1) 2,443 Financing activities for finance leases (2) 2,808 Non-cash right-of-use assets obtained in exchange for new lease liabilities: Operating leases 34,213 Finance leases 111,591 (1) Included in accounts payable, accrued expenses and other liabilities in Operating Activities of the Company's Condensed Consolidated Statements of Cash Flows. (2) Included in payments toward debt agreements in Financing Activities of the Company's Condensed Consolidated Statements of Cash Flows. The future minimum lease payments under operating and finance leases as of February 29, 2020 were as follows (in thousands): Twelve months ended February 29, Operating Leases (1) Finance Leases Total 2020 $ 110,692 $ 11,849 $ 122,541 2021 89,479 12,375 101,854 2022 69,928 11,744 81,672 2023 53,400 11,879 65,279 2024 41,472 15,644 57,116 Thereafter 92,529 128,763 221,292 Total minimum lease payments $ 457,500 $ 192,254 $ 649,754 Less: Interest (45,588 ) (28,550 ) (74,138 ) Present value of lease liabilities $ 411,912 $ 163,704 $ 575,616 (1) Excludes $28.2 million of payments related to leases signed but not yet commenced. Additionally, certain leases signed but not yet commenced contain residual value guarantees and purchase options not deemed probable. As disclosed in the Company’s Form 10-K for the fiscal year ended August 31, 2019, the future minimum lease payments of non-cancelable operating leases prior to the adoption of ASU 2016-02 were as follows (in thousands): Fiscal Year Ending August 31, Amount 2020 $ 118,312 2021 102,915 2022 84,729 2023 63,206 2024 51,091 Thereafter 182,932 Total minimum lease payments $ 603,185 Total operating lease expense prior to the adoption of ASU 2016-02 was approximately $125.4 million , $130.2 million and $117.2 million for fiscal years 2019, 2018 and 2017, respectively. |
Notes Payable and Long-Term Deb
Notes Payable and Long-Term Debt | 6 Months Ended |
Feb. 29, 2020 | |
Debt Disclosure [Abstract] | |
Notes Payable and Long-Term Debt | Notes Payable and Long-Term Debt Notes payable and long-term debt outstanding as of February 29, 2020 and August 31, 2019 are summarized below (in thousands): Maturity Date February 29, August 31, 5.625% Senior Notes Dec 15, 2020 $ 399,332 $ 398,886 4.700% Senior Notes Sep 15, 2022 498,332 498,004 4.900% Senior Notes Jul 14, 2023 299,178 299,057 3.950% Senior Notes Jan 12, 2028 495,132 494,825 3.600% Senior Notes (1) Jan 15, 2030 494,470 — Borrowings under credit facilities (2)(3) Jan 22, 2023 and Jan 22, 2025 — — Borrowings under commercial paper program (4) (4) 237,661 — Borrowings under loans (2) Jan 22, 2025 300,095 805,693 Total notes payable and long-term debt 2,724,200 2,496,465 Less current installments of notes payable and long-term debt 637,841 375,181 Notes payable and long-term debt, less current installments $ 2,086,359 $ 2,121,284 (1) On January 15, 2020, the Company issued $500.0 million of publicly registered 3.600% Senior Notes due 2030 (the “ 3.600% Senior Notes”). The net proceeds from the offering were used for the repayment of term loan indebtedness. (2) On January 22, 2020, the Company entered into a senior unsecured credit agreement which provides for: (i) a Revolving Credit Facility in the initial amount of $2.7 billion , of which $700.0 million expires on January 22, 2023 and $2.0 billion expires on January 22, 2025 and (ii) a $300.0 million Term Loan Facility which expires on January 22, 2025, (collectively the “Credit Facility”). Interest and fees on the Credit Facility advances are based on the Company’s non-credit enhanced long-term senior unsecured debt rating as determined by Standard & Poor’s Ratings Service, Moody’s Investors Service and Fitch Ratings. In connection with the Company’s entry into the Credit Facility, the Company terminated the Company’s amended and restated five-year credit agreement dated November 8, 2017 and the credit agreement dated August 24, 2018. During the three months ended February 29, 2020, the interest rates on the Revolving Credit Facility ranged from 2.5% to 3.0% and the Term Loan Facility ranged from 2.9% to 3.2% . Interest is charged at a rate equal to (a) for the Revolving Credit Facility, either 0.000% to 0.450% above the base rate or 0.975% to 1.450% above the Eurocurrency rate and (b) for the Term Loan Facility, either 0.125% to 0.750% above the base rate or 1.125% to 1.750% above the Eurocurrency rate. The base rate represents the greatest of: (i) Citibank, N.A.’s prime rate, (ii) 0.50% above the federal funds rate, and (iii) 1.0% above one-month LIBOR, but not less than zero. The Eurocurrency rate represents adjusted LIBOR or adjusted CDOR, as applicable, for the applicable interest period, but not less than zero. Fees include a facility fee based on the revolving credit commitments of the lenders and a letter of credit fee based on the amount of outstanding letters of credit. (3) As of February 29, 2020 , the Company has $3.1 billion in available unused borrowing capacity under its revolving credit facilities, net of outstanding commercial paper borrowings. (4) The Company has a borrowing capacity of up to $1.8 billion under its commercial paper program. The revolving credit facility supports commercial paper outstanding, if any. As of February 29, 2020, the outstanding commercial paper has maturities of 90 days or less. During the three months ended February 29, 2020, the interest rates on the commercial paper program ranged from 2.0% to 2.6% . Debt Covenants Borrowings under the Company’s debt agreements are subject to various covenants that limit the Company’s ability to: incur additional indebtedness, sell assets, effect mergers and certain transactions, and effect certain transactions with subsidiaries and affiliates. In addition, the revolving credit facilities and the 4.900% Senior Notes contain debt leverage and interest coverage covenants. The Company is also subject to certain covenants requiring the Company to offer to repurchase the 5.625% , 4.700% , 4.900% , 3.950% or 3.600% Senior Notes upon a change of control. As of February 29, 2020 and August 31, 2019 , the Company was in compliance with its debt covenants. Fair Value Refer to Note 17 |
Asset-Backed Securitization Pro
Asset-Backed Securitization Programs | 6 Months Ended |
Feb. 29, 2020 | |
Transfers and Servicing [Abstract] | |
Asset-Backed Securitization Programs | Trade Accounts Receivable Sale Programs The Company regularly sells designated pools of high credit quality trade accounts receivable under uncommitted trade accounts receivable sale programs to unaffiliated financial institutions without recourse. As these accounts receivable are sold without recourse, the Company does not retain the associated risks following the transfer of such accounts receivable to the respective financial institutions. The Company continues servicing the receivables sold and in exchange receives a servicing fee under each of the trade accounts receivable sale programs. Servicing fees related to each of the trade accounts receivable sale programs recognized during the three months and six months ended February 29, 2020 and February 28, 2019 were not material. The Company does not record a servicing asset or liability on the Condensed Consolidated Balance Sheets as the Company estimates that the fee it receives to service these receivables approximates the fair market compensation to provide the servicing activities. Transfers of the receivables under the trade accounts receivable sale programs are accounted for as sales and, accordingly, net receivables sold under the trade accounts receivable sale programs are excluded from accounts receivable on the Condensed Consolidated Balance Sheets and are reflected as cash provided by operating activities on the Condensed Consolidated Statements of Cash Flows. The following is a summary of the trade accounts receivable sale programs with unaffiliated financial institutions where the Company may elect to sell receivables and the unaffiliated financial institution may elect to purchase, at a discount, on an ongoing basis: Program Maximum (1) Type of Expiration A $ 500.0 Uncommitted December 5, 2020 (2) B $ 150.0 Uncommitted November 30, 2020 (3) C 800.0 CNY Uncommitted June 30, 2020 D $ 150.0 Uncommitted May 4, 2023 (4) E $ 50.0 Uncommitted August 25, 2020 F $ 150.0 Uncommitted January 25, 2021 (5) G $ 50.0 Uncommitted February 23, 2023 (6) H $ 100.0 Uncommitted August 10, 2020 (7) I $ 100.0 Uncommitted July 21, 2020 (8) J $ 650.0 Uncommitted December 4, 2020 (9) K $ 110.0 Uncommitted April 11, 2020 (10) L 100.0 CHF Uncommitted December 5, 2020 (2) (1) Maximum amount available at any one time. (2) The program will be automatically extended each year through December 5, 2025 unless either party provides 30 days notice of termination. (3) The program will automatically extend for one year at each expiration date unless either party provides 10 days notice of termination. (4) Any party may elect to terminate the agreement upon 30 days prior notice. (5) The program will be automatically extended through January 25, 2023 unless either party provides 30 days notice of termination. (6) Any party may elect to terminate the agreement upon 15 days prior notice. (7) The program will be automatically extended through August 10, 2023 unless either party provides 30 days notice of termination. (8) The program will be automatically extended through August 21, 2023 unless either party provides 30 days notice of termination. (9) The program will be automatically extended each year through December 5, 2024 unless either party provides 30 days notice of termination. (10) The program will be automatically extended each year through April 11, 2025 unless either party provides 30 days notice of termination. In connection with the trade accounts receivable sale programs, the Company recognized the following (in millions): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Trade accounts receivable sold $ 2,201 $ 1,719 $ 4,163 $ 3,553 Cash proceeds received $ 2,196 $ 1,712 $ 4,153 $ 3,538 Pre-tax losses on sale of receivables (1) $ 5 $ 7 $ 10 $ 15 (1) Recorded to other expense within the Condensed Consolidated Statement of Operations. The Company continuously sells designated pools of trade accounts receivable, at a discount, under its foreign asset-backed securitization program and its North American asset-backed securitization program to special purpose entities, which in turn sell certain of the foreign asset-backed receivables to an unaffiliated financial institution and a conduit administered by an unaffiliated financial institution and certain of the North American asset-backed receivables to conduits administered by an unaffiliated financial institution on a monthly basis. The Company continues servicing the receivables sold and in exchange receives a servicing fee under each of the asset-backed securitization programs. Servicing fees related to each of the asset-backed securitization programs recognized during the three months and six months ended February 29, 2020 and February 28, 2019 were not material. The Company does not record a servicing asset or liability on the Condensed Consolidated Balance Sheets as the Company estimates that the fee it receives to service these receivables approximates the fair market compensation to provide the servicing activities. Transfers of the receivables under the asset-backed securitization programs are accounted for as sales and, accordingly, net receivables sold under the asset-backed securitization programs are excluded from accounts receivable on the Condensed Consolidated Balance Sheets and are reflected as cash provided by operating activities on the Condensed Consolidated Statements of Cash Flows. The special purpose entity in the foreign asset-backed securitization program is a separate bankruptcy-remote entity whose assets would be first available to satisfy the creditor claims of the unaffiliated financial institution. The Company is deemed the primary beneficiary of this special purpose entity as the Company has both the power to direct the activities of the entity that most significantly impact the entity’s economic performance and the obligation to absorb losses or the right to receive the benefits that could potentially be significant to the entity from the transfer of the trade accounts receivable into the special purpose entity. Accordingly, the special purpose entity associated with the foreign asset-backed securitization program is included in the Company’s Condensed Consolidated Financial Statements. As of February 29, 2020 , the special purpose entity has liabilities for which creditors do not have recourse to the general credit of the Company (primary beneficiary). The liabilities cannot exceed the maximum amount of net cash proceeds under the foreign asset-backed securitization program. The foreign asset-backed securitization program contains a guarantee of payment by the special purpose entity, in an amount approximately equal to the net cash proceeds under the program. No liability has been recorded for obligations under the guarantee as of February 29, 2020 . The special purpose entity in the North American asset-backed securitization program is a wholly-owned subsidiary of the Company and is included in the Company’s Condensed Consolidated Financial Statements. Certain unsold receivables covering the maximum amount of net cash proceeds available under the North American asset-backed securitization program are pledged as collateral to the unaffiliated financial institution as of February 29, 2020 . Following is a summary of the asset-backed securitization programs and key terms: Maximum Amount of (1)(2) Expiration North American $ 390.0 November 22, 2021 Foreign $ 400.0 September 30, 2021 (1) Maximum amount available at any one time. (2) As of February 29, 2020 , the Company had up to $76.3 million in available liquidity under its asset-backed securitization programs. In connection with the asset-backed securitization programs, the Company recognized the following (in millions): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 (3) Trade accounts receivable sold $ 1,095 $ 1,078 $ 2,257 $ 1,828 Cash proceeds received (1) $ 1,089 $ 1,072 $ 2,245 $ 1,816 Pre-tax losses on sale of receivables (2) $ 6 $ 6 $ 12 $ 12 (1) The amounts primarily represent proceeds from collections reinvested in revolving-period transfers. (2) Recorded to other expense within the Condensed Consolidated Statements of Operations. (3) Excludes $650.3 million of trade accounts receivable sold, $488.1 million of cash and $13.9 million of net cash received prior to the amendment of the foreign asset-backed securitization program and under the previous North American asset-backed securitization program which occurred during the first quarter of fiscal year 2019. The asset-backed securitization programs require compliance with several covenants. The North American asset-backed securitization program covenants include compliance with the interest ratio and debt to EBITDA ratio of the five-year unsecured credit facility entered into on January 22, 2020 (the “Credit Facility”). The foreign asset-backed securitization program covenants include limitations on certain corporate actions such as mergers and consolidations. As of February 29, 2020 and August 31, 2019 , the Company was in compliance with all covenants under the asset-backed securitization programs. |
Accrued Expenses
Accrued Expenses | 6 Months Ended |
Feb. 29, 2020 | |
Accrued Liabilities, Current [Abstract] | |
Accrued Expenses | Accrued Expenses Accrued expenses consist of the following (in thousands): February 29, 2020 August 31, 2019 Contract liabilities (1) $ 495,314 $ 511,329 Accrued compensation and employee benefits 532,312 600,907 Other accrued expenses 1,987,503 1,877,908 Accrued expenses $ 3,015,129 $ 2,990,144 (1) Revenue recognized during the six months ended February 29, 2020 and February 28, 2019 that was included in the contract liability balance as of September 1, 2019 and 2018 was $201.1 million and $267.0 million , respectively. |
Postretirement and Other Employ
Postretirement and Other Employee Benefits | 6 Months Ended |
Feb. 29, 2020 | |
Retirement Benefits [Abstract] | |
Postretirement and Other Employee Benefits | Postretirement and Other Employee Benefits Postretirement Benefits Net Periodic Benefit Cost The following table provides information about the net periodic benefit cost for all plans for the three months and six months ended February 29, 2020 and February 28, 2019 (in thousands): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Service cost (1) $ 6,638 $ 289 $ 11,101 $ 584 Interest cost (2) 809 870 1,572 1,755 Expected long-term return on plan assets (2) (3,789 ) (1,330 ) (6,575 ) (2,682 ) Recognized actuarial loss (2) 226 205 449 413 Amortization of prior service credit (2) (11 ) (11 ) (22 ) (23 ) Net periodic benefit cost $ 3,873 $ 23 $ 6,525 $ 47 (1) Service cost is recognized in cost of revenue in the Condensed Consolidated Statement of Operations. (2) Components are recognized in other expense in the Condensed Consolidated Statement of Operations. Acquired Plan As a result of the third closing of the JJMD acquisition, the Company assumed a pension obligation for employees in Switzerland (the “Switzerland plan”). The Switzerland plan, which is a qualified defined benefit pension plan, provides benefits based on average employee earnings over an approximately 8 years service period preceding retirement and length of employee service. The Company’s policy is to contribute amounts sufficient to meet minimum funding requirements as set forth in Switzerland employee benefit and tax laws plus such additional amounts as are deemed appropriate by the Company. The following tables provide information only related to the Switzerland plan as of the acquisition date, September 30, 2019, and are preliminary estimates. Benefit Obligation and Plan Assets The benefit obligations and plan assets, changes to the benefit obligation and plan assets and the funded status of the Switzerland plan as of September 30, 2019 are as follows (in thousands): September 30, 2019 Ending projected benefit obligation $ (404,297 ) Ending fair value of plan assets $ 330,793 Unfunded status $ (73,504 ) Cash Flows The Company expects to make cash contributions between $9.5 million and $11.7 million to its Switzerland pension plan during fiscal year 2020 . The estimated future benefit payments, which reflect expected future service, are as follows (in thousands): Fiscal Year Ended August 31, Amount 2020 $ 24,698 2021 21,698 2022 20,098 2023 18,398 2024 17,298 2025 through 2029 82,992 Accumulated Benefit Obligation The following table provides information for the Switzerland plan with an accumulated benefit obligation as of September 30, 2019 (in thousands): September 30, 2019 Projected benefit obligation $ (404,297 ) Accumulated benefit obligation $ (394,427 ) Fair value of plan assets $ 330,793 |
Derivative Financial Instrument
Derivative Financial Instruments and Hedging Activities | 6 Months Ended |
Feb. 29, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments and Hedging Activities | Derivative Financial Instruments and Hedging Activities The Company is directly and indirectly affected by changes in certain market conditions. These changes in market conditions may adversely impact the Company’s financial performance and are referred to as market risks. The Company, where deemed appropriate, uses derivatives as risk management tools to mitigate the potential impact of certain market risks. The primary market risks managed by the Company through the use of derivative instruments are foreign currency risk and interest rate risk. Foreign Currency Risk Management Forward contracts are put in place to manage the foreign currency risk associated with the anticipated foreign currency denominated revenues and expenses. A hedging relationship existed with an aggregate notional amount outstanding of $257.2 million and $334.1 million as of February 29, 2020 and August 31, 2019 , respectively. The related forward foreign exchange contracts have been designated as hedging instruments and are accounted for as cash flow hedges. The forward foreign exchange contract transactions will effectively lock in the value of anticipated foreign currency denominated revenues and expenses against foreign currency fluctuations. The anticipated foreign currency denominated revenues and expenses being hedged are expected to occur between March 1, 2020 and November 30, 2020 . In addition to derivatives that are designated as hedging instruments and qualify for hedge accounting, the Company also enters into forward contracts to economically hedge transactional exposure associated with commitments arising from trade accounts receivable, trade accounts payable, fixed purchase obligations and intercompany transactions denominated in a currency other than the functional currency of the respective operating entity. The aggregate notional amount of these outstanding contracts as of February 29, 2020 and August 31, 2019 , was $2.4 billion and $2.5 billion , respectively. Refer to Note 17 – “Fair Value Measurements” for the fair values and classification of the Company’s derivative instruments. The gains and losses recognized in earnings due to hedge ineffectiveness and the amount excluded from effectiveness testing were not material for all periods presented and are included as components of net revenue, cost of revenue and selling, general and administrative expense, which are the same line items in which the hedged items are recorded. The following table presents the gains from forward contracts recorded in the Condensed Consolidated Statements of Operations for the periods indicated (in thousands): Derivatives Not Designated as Hedging Instruments Under ASC 815 Location of Gain on Derivatives Recognized in Net Income Amount of Gain Recognized in Net Income on Derivatives Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Forward foreign exchange contracts (1) Cost of revenue $ 6,801 $ 49,794 $ 33,518 $ 42,808 (1) For the three months and six months ended February 29, 2020 , the Company recognized $7.6 million and $36.4 million , respectively, of foreign currency losses in cost of revenue, which are offset by the gains from the forward foreign exchange contracts. During the three months and six months ended February 28, 2019 , the Company recognized $57.1 million and $52.6 million , respectively, of foreign currency losses in cost of revenue, which are offset by the gains from the forward foreign exchange contracts. Interest Rate Risk Management The Company periodically enters into interest rate swaps to manage interest rate risk associated with the Company’s borrowings. Cash Flow Hedges The following table presents the interest rate swaps outstanding as of February 29, 2020 , which have been designated as hedging instruments and accounted for as cash flow hedges: Interest Rate Swap Summary Hedged Interest Rate Payments Aggregate Notional Amount (in millions) Effective Date Expiration Date (1) Forward Interest Rate Swap Anticipated Debt Issuance Fixed $ 200.0 Oct 22, 2018 Dec 15, 2020 (2) Interest Rate Swaps Debt obligations Variable $ 550.0 Aug 24, 2018 and Oct 11, 2018 Aug 24, 2020 and Aug 31, 2020 (3) (1) The contracts will be settled with the respective counterparties on a net basis at the expiration date for the forward interest rate swap and at each settlement date for the interest rate swaps. (2) If the anticipated debt issuance occurs before December 15, 2020, the contracts will be terminated simultaneously with the debt issuance. (3) The Company pays interest based upon a fixed rate as agreed upon with the respective counterparties and receives variable rate interest payments based on the one-month and three-month LIBOR for borrowings under the Credit Facility and certain other debt obligations. Of the amount hedged, $350.0 million expires on August 24, 2020 and $200.0 million |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 6 Months Ended |
Feb. 29, 2020 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | Accumulated Other Comprehensive Income The following table sets forth the changes in accumulated other comprehensive (loss) income (“AOCI”), net of tax, by component for the six months ended February 29, 2020 (in thousands): Foreign Currency Translation Adjustment Derivative Instruments Actuarial Loss Prior Service Cost Available for Sale Securities Total Balance as of August 31, 2019 $ (14,298 ) $ (39,398 ) $ (28,033 ) $ (608 ) $ (457 ) (82,794 ) Other comprehensive (loss) income before reclassifications (10,875 ) 1,471 — — (14,080 ) (23,484 ) Amounts reclassified from AOCI — 3,335 — — — 3,335 Other comprehensive (loss) income (1) (10,875 ) 4,806 — — (14,080 ) (20,149 ) Balance as of February 29, 2020 $ (25,173 ) $ (34,592 ) $ (28,033 ) $ (608 ) $ (14,537 ) $ (102,943 ) (1) Amounts are net of tax, which are immaterial. The following table sets forth the amounts reclassified from AOCI into the Condensed Consolidated Statements of Operations, and the associated financial statement line item, net of tax, for the periods indicated (in thousands): Three months ended Six months ended Comprehensive Income Components Financial Statement Line Item February 29, February 28, February 29, February 28, Realized losses (gains) on derivative instruments: (1) Foreign exchange contracts Cost of revenue $ (3,117 ) $ 3,931 $ 4,197 $ 18,546 Interest rate contracts Interest expense (431 ) (430 ) (862 ) (860 ) Total amounts reclassified from AOCI (2) $ (3,548 ) $ 3,501 $ 3,335 $ 17,686 (1) The Company expects to reclassify $3.4 million into earnings during the next twelve months, which will primarily be classified as a component of cost of revenue. (2) Amounts are net of tax, which are immaterial for the three months and six months ended February 29, 2020 and February 28, 2019 . |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Feb. 29, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Stockholders' Equity | Stockholders’ Equity The Company recognized stock-based compensation expense within selling, general and administrative expense as follows (in thousands): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Restricted stock units $ 12,301 $ 13,604 $ 40,484 $ 28,655 Employee stock purchase plan 2,808 2,093 4,848 4,291 Total $ 15,109 $ 15,697 $ 45,332 $ 32,946 As of February 29, 2020 , the shares available to be issued under the 2011 Stock Award and Incentive Plan were 10,502,993 . Restricted Stock Units Certain key employees have been granted time-based, performance-based and market-based restricted stock unit awards (“restricted stock units”). The time-based restricted stock units generally vest on a graded vesting schedule over three years . The performance-based restricted stock units generally vest on a cliff vesting schedule over three years and up to a maximum of 150% , depending on the specified performance condition and the level of achievement obtained. The performance-based restricted stock units have a vesting condition that is based upon the Company’s cumulative adjusted core earnings per share during the performance period. The market-based restricted stock units generally vest on a cliff vesting schedule over three years and up to a maximum of 200% , depending on the specified performance condition and the level of achievement obtained. The market-based restricted stock units have a vesting condition that is tied to the Company’s total shareholder return based on the Company’s stock performance in relation to the companies in the Standard and Poor’s (S&P) Super Composite Technology Hardware and Equipment Index excluding the Company. During the six months ended February 29, 2020 and February 28, 2019 , the Company awarded approximately 1.1 million and 1.6 million time-based restricted stock units, respectively, 0.3 million and 0.4 million performance-based restricted stock units, respectively and 0.3 million and 0.4 million market-based restricted stock units, respectively. The following represents the stock-based compensation information for the period indicated (in thousands): Six months ended February 29, 2020 Unrecognized stock-based compensation expense—restricted stock units $ 67,606 Remaining weighted-average period for restricted stock units expense 1.5 years Common Stock Outstanding The following represents the common stock outstanding for the periods indicated: Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Common stock outstanding: Beginning balances 152,300,356 157,986,896 153,520,380 164,588,172 Shares issued upon exercise of stock options 43,069 11,348 56,999 11,348 Shares issued under employee stock purchase plan 595,717 691,971 595,717 692,325 Vesting of restricted stock 322,872 219,764 2,239,612 1,905,927 Purchases of treasury stock under employee stock plans (86,706 ) (57,389 ) (617,123 ) (464,836 ) Treasury shares purchased (1) (1,767,782 ) (5,974,261 ) (4,388,059 ) (13,854,607 ) Ending balances 151,407,526 152,878,329 151,407,526 152,878,329 (1) In September 2019, the Company’s Board of Directors authorized the repurchase of up to $600.0 million of the Company’s common stock as part of a two-year capital allocation framework (the “2020 Share Repurchase Program”). As of February 29, 2020 , 4.4 million shares had been repurchased for $168.7 million and $431.3 million remains available under the 2020 Share Repurchase Program. |
Concentration of Risk and Segme
Concentration of Risk and Segment Data | 6 Months Ended |
Feb. 29, 2020 | |
Segment Reporting [Abstract] | |
Concentration of Risk and Segment Data | Concentration of Risk and Segment Data Concentration of Risk Sales of the Company’s products are concentrated among specific customers. During the six months ended February 29, 2020 , the Company’s five largest customers accounted for approximately 47% of its net revenue and 72 customers accounted for approximately 90% of its net revenue. Sales to these customers were reported in the Electronics Manufacturing Services (“EMS”) and Diversified Manufacturing Services (“DMS”) operating segments. The Company procures components from a broad group of suppliers. Some of the products manufactured by the Company require one or more components that are available from only a single source. Segment Data Net revenue for the operating segments is attributed to the segment in which the service is performed. An operating segment’s performance is evaluated based on its pre-tax operating contribution, or segment income. Segment income is defined as net revenue less cost of revenue, segment selling, general and administrative expenses, segment research and development expenses and an allocation of corporate manufacturing expenses and selling, general and administrative expenses. Segment income does not include amortization of intangibles, stock-based compensation expense and related charges, restructuring and related charges, distressed customer charges, acquisition and integration charges, impairment on securities, loss on disposal of subsidiaries, settlement of receivables and related charges, impairment of notes receivable and related charges, restructuring of securities loss, goodwill impairment charges, business interruption and impairment charges, net, income (loss) from discontinued operations, gain (loss) on sale of discontinued operations, other expense (excluding certain components of net periodic benefit cost), interest income, interest expense, income tax expense or adjustment for net income (loss) attributable to noncontrolling interests. Transactions between operating segments are generally recorded at amounts that approximate those at which we would transact with third parties. The following table presents the Company’s revenues disaggregated by segment (in thousands): Three months ended February 29, 2020 February 28, 2019 EMS DMS Total EMS DMS Total Timing of transfer Point in time $ 986,570 $ 1,141,881 $ 2,128,451 $ 836,863 $ 1,464,832 $ 2,301,695 Over time 2,843,384 1,153,248 3,996,632 2,967,864 797,431 3,765,295 Total $ 3,829,954 $ 2,295,129 $ 6,125,083 $ 3,804,727 $ 2,262,263 $ 6,066,990 Six months ended February 29, 2020 February 28, 2019 EMS DMS Total EMS DMS Total Timing of transfer Point in time $ 2,377,480 $ 3,011,360 $ 5,388,840 $ 1,257,524 $ 3,566,483 $ 4,824,007 Over time 5,870,026 2,371,915 8,241,941 6,050,306 1,698,952 7,749,258 Total $ 8,247,506 $ 5,383,275 $ 13,630,781 $ 7,307,830 $ 5,265,435 $ 12,573,265 The following table sets forth operating segment information (in thousands): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Segment income and reconciliation of income before income tax EMS $ 84,829 $ 88,654 $ 189,529 $ 172,749 DMS 74,619 102,405 247,234 271,970 Total segment income $ 159,448 $ 191,059 $ 436,763 $ 444,719 Reconciling items: Amortization of intangibles (13,577 ) (7,777 ) (29,717 ) (15,423 ) Stock-based compensation expense and related charges (15,109 ) (15,697 ) (45,332 ) (32,946 ) Restructuring and related charges (29,604 ) (817 ) (74,855 ) (6,842 ) Distressed customer charge — — (14,963 ) — Business interruption and impairment charges, net (1) — — — 2,860 Acquisition and integration charges (7,752 ) (12,785 ) (23,886 ) (21,675 ) Impairment on securities (12,205 ) — (12,205 ) — Other expense (net of periodic benefit cost) (11,277 ) (11,757 ) (24,274 ) (25,307 ) Interest income 5,336 4,760 11,280 9,139 Interest expense (46,183 ) (46,160 ) (91,094 ) (88,812 ) Income before income tax $ 29,077 $ 100,826 $ 131,717 $ 265,713 (1) Charges, net of insurance proceeds of $2.9 million for the six months ended February 28, 2019 , relate to business interruption and asset impairment costs associated with damage from Hurricane Maria, which impacted our operations in Cayey, Puerto Rico. As of February 29, 2020 , the Company operated in 31 countries worldwide. Sales to unaffiliated customers are based on the Company location that maintains the customer relationship and transacts the external sale. The following tables set forth external net revenue, net of intercompany eliminations, and long-lived asset information where individual countries represent a material portion of the total (in thousands): ` Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 External net revenue: Singapore $ 1,216,369 $ 1,588,931 $ 3,247,285 $ 3,907,604 Mexico 1,153,619 1,052,781 2,344,957 2,048,202 China 968,386 1,199,016 2,123,321 2,517,454 Malaysia 505,424 414,433 996,230 793,961 Ireland 181,790 205,480 435,875 281,199 Other 1,035,235 891,648 2,050,948 1,837,335 Foreign source revenue 5,060,823 5,352,289 11,198,616 11,385,755 U.S. 1,064,260 714,701 2,432,165 1,187,510 Total $ 6,125,083 $ 6,066,990 $ 13,630,781 $ 12,573,265 February 29, 2020 August 31, 2019 Long-lived assets: China $ 1,488,548 $ 1,579,904 Mexico 404,896 418,641 Switzerland 217,065 158 Malaysia 208,576 154,386 Singapore 148,583 156,028 Taiwan 118,315 123,608 Hungary 99,435 85,809 Vietnam 93,495 85,728 Other 470,688 462,261 Long-lived assets related to foreign operations 3,249,601 3,066,523 U.S. 1,148,011 1,146,335 Total $ 4,397,612 $ 4,212,858 |
Restructuring and Related Charg
Restructuring and Related Charges | 6 Months Ended |
Feb. 29, 2020 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Charges | Restructuring and Related Charges Following is a summary of the Company’s restructuring and related charges (in thousands): Three months ended Six months ended February 29, 2020 (2) February 28, 2019 (3) February 29, 2020 (2) February 28, 2019 (3) Employee severance and benefit costs $ 8,012 $ 3,768 $ 26,793 $ 8,947 Lease costs 6,229 — 6,468 9 Asset write-off costs 9,109 (3,396 ) 25,425 (3,212 ) Other costs 6,254 445 16,169 1,098 Total restructuring and related charges (1) $ 29,604 $ 817 $ 74,855 $ 6,842 (1) Includes $14.7 million and $0.3 million recorded in the EMS segment, $14.5 million and $0.5 million recorded in the DMS segment and $0.4 million and $0.0 million of non-allocated charges for the three months ended February 29, 2020 and February 28, 2019 , respectively. Includes $32.1 million and $4.7 million recorded in the EMS segment, $39.7 million and $2.1 million recorded in the DMS segment and $3.1 million and $0.0 million of non-allocated charges for the six months ended February 29, 2020 and February 28, 2019 , respectively. Except for asset write-off costs, all restructuring and related charges are cash costs. (2) Primarily relates to the 2020 Restructuring Plan. (3) Primarily relates to the 2017 Restructuring Plan. 2020 Restructuring Plan On September 20, 2019, the Company’s Board of Directors formally approved a restructuring plan to realign the Company’s global capacity support infrastructure, particularly in the Company’s mobility footprint in China, in order to optimize organizational effectiveness. This action includes headcount reductions and capacity realignment (the “2020 Restructuring Plan”). The 2020 Restructuring Plan reflects the Company’s intention only and restructuring decisions, and the timing of such decisions, at certain locations are still subject to consultation with the Company’s employees and their representatives. The Company currently expects to recognize approximately $85.0 million in pre-tax restructuring and other related costs primarily over the course of the Company’s fiscal year 2020. This information will be subject to the finalization of timetables for the transition of functions, consultation with employees and their representatives as well as the statutory severance requirements of the particular jurisdictions impacted, and the amount and timing of the actual charges may vary due to a variety of factors. The Company’s estimates for the charges discussed above exclude any potential income tax effects. The table below summarizes the Company’s liability activity, primarily associated with the 2020 Restructuring Plan (in thousands): Employee Severance and Benefit Costs Lease Costs Asset Write-off Costs Other Related Costs Total Balance as of August 31, 2019 (1) $ 3,162 $ 1,980 $ — $ 789 $ 5,931 Restructuring related charges 26,793 6,468 25,425 450 59,136 Asset write-off charge and other non-cash activity (95 ) (5,637 ) (25,425 ) 2 (31,155 ) Cash payments (16,415 ) (278 ) — (577 ) (17,270 ) Balance as of February 29, 2020 $ 13,445 $ 2,533 $ — $ 664 $ 16,642 (1) Balance as of August 31, 2019 primarily relates to the 2017 Restructuring Plan. |
Income Taxes
Income Taxes | 6 Months Ended |
Feb. 29, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Effective Income Tax Rate The U.S. federal statutory income tax rate and the Company's effective income tax rate are as follows: Three months ended Six months ended February 29, February 28, February 29, February 28, U.S. federal statutory income tax rate 21.0 % 21.0 % 21.0 % 21.0 % Effective income tax rate 108.9 % 33.0 % 71.0 % 27.9 % The effective income tax rate increased for the three months and six months ended February 29, 2020 , compared to the three months and six months ended February 28, 2019 , primarily due to: (i) decreased income for the three months and six months ended February 29, 2020, driven in part by increased restructuring charges with minimal related tax benefit; and (ii) adjustments related to the Tax Cuts and Jobs Act of 2017 (the “Tax Act”) for the six months ended February 28, 2019, including a $13.3 million income tax benefit recorded during the three months ended November 30, 2018. The effective tax rate differed from the U.S. federal statutory rate of 21.0% during the three months and six months ended February 29, 2020 and February 28, 2019, primarily due to: (i) losses in tax jurisdictions with existing valuation allowances; (ii) tax incentives granted to sites in Brazil, China, Malaysia, Singapore and Vietnam; and (iii) adjustments to amounts previously recorded for the Tax Act for the three months and six months ended February 28, 2019 . |
Earnings Per Share and Dividend
Earnings Per Share and Dividends | 6 Months Ended |
Feb. 29, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share and Dividends | Earnings Per Share and Dividends Earnings Per Share The Company calculates its basic earnings per share by dividing net income attributable to the Company by the weighted average number of common shares outstanding during the period. The Company’s diluted earnings per share is calculated in a similar manner, but includes the effect of dilutive securities. The difference between the weighted average number of basic shares outstanding and the weighted average number of diluted shares outstanding is primarily due to dilutive unvested restricted stock units and dilutive stock appreciation rights. Potential shares of common stock are excluded from the computation of diluted earnings per share when their effect would be antidilutive. Performance-based restricted stock units are considered dilutive when the related performance criteria have been met assuming the end of the reporting period represents the end of the performance period. All potential shares of common stock are antidilutive in periods of net loss. Potential shares of common stock not included in the computation of earnings per share because their effect would have been antidilutive or because the performance criterion was not met were as follows (in thousands): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Restricted stock units 4,499 1,348 1,035 1,348 Employee stock purchase plan 164 — — — Stock appreciation rights 28 — — — Dividends The following table sets forth cash dividends declared by the Company to common stockholders during the six months ended February 29, 2020 and February 28, 2019 (in thousands, except for per share data): Dividend Declaration Date Dividend per Share Total of Cash Dividends Declared Date of Record for Dividend Payment Dividend Cash Payment Date Fiscal Year 2020: October 17, 2019 $ 0.08 $ 12,647 November 15, 2019 December 2, 2019 January 23, 2020 $ 0.08 $ 12,517 February 14, 2020 March 4, 2020 Fiscal Year 2019: October 18, 2018 $ 0.08 $ 13,226 November 15, 2018 December 3, 2018 January 24, 2019 $ 0.08 $ 12,706 February 15, 2019 March 1, 2019 |
Business Acquisitions
Business Acquisitions | 6 Months Ended |
Feb. 29, 2020 | |
Business Combinations [Abstract] | |
Business Acquisitions | Business Acquisitions During fiscal year 2018, the Company and Johnson & Johnson Medical Devices Companies (“JJMD”) entered into a Framework Agreement to form a strategic collaboration and expand its existing relationship. The strategic collaboration expands the Company’s medical device manufacturing portfolio, diversification and capabilities. On February 25, 2019 and April 29, 2019, under the terms of the Framework Agreement, the Company completed the initial and second closings, respectively, of its acquisition of certain assets of JJMD. The preliminary aggregate purchase price paid for the initial and second closings was approximately $166.2 million in cash. For the initial and second closings, total assets acquired of $172.3 million and total liabilities assumed of $6.1 million were recorded at their estimated fair values as of the acquisition dates. On September 30, 2019, under the terms of the Framework Agreement, the Company completed the third closing of its acquisition of certain assets of JJMD. The preliminary aggregate purchase price paid for the third closing was approximately $111.8 million in cash, which remains subject to certain post-closing adjustments based on conditions within the Framework Agreement. For the third closing, total assets acquired of $199.7 million , including $83.2 million in contract assets, $35.1 million in inventory and $70.4 million in goodwill, and total liabilities assumed of $87.9 million , including $73.5 million of pension obligations, were recorded at their estimated fair values as of the acquisition date. There were no intangible assets identified in this acquisition and the goodwill is primarily attributable to the assembled workforce. The majority of the goodwill is currently not expected to be deductible for income tax purposes. The acquisition of the JJMD assets have been accounted for as separate business combinations for each closing using the acquisition method of accounting. The Company is currently evaluating the fair values of the assets and liabilities related to the second and third closings of these business combinations. The preliminary estimates and measurements are, therefore, subject to change during the measurement period for assets acquired, liabilities assumed and tax adjustments. The results of operations were included in the Company’s condensed consolidated financial results beginning on February 25, 2019 for the initial closing, April 29, 2019 for the second closing and September 30, 2019 for the third closing. The Company believes it is impracticable to provide pro forma information for the acquisition of the JJMD assets. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Feb. 29, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Fair Value Measurements on a Recurring Basis The following table presents the fair value of the Company's financial assets and liabilities measured at fair value by hierarchy level on a recurring basis as of the periods indicated: (in thousands) Fair Value Hierarchy February 29, 2020 August 31, 2019 Assets: Cash and cash equivalents: Cash equivalents Level 1 (1) $ 35,925 $ 27,804 Prepaid expenses and other current assets: Short-term investments Level 1 16,652 14,088 Forward foreign exchange contracts: Derivatives designated as hedging instruments (Note 9) Level 2 (2) 2,730 904 Derivatives not designated as hedging instruments (Note 9) Level 2 (2) 13,726 6,878 Other assets: Senior Non-Convertible Preferred Stock Level 3 (3) 20,900 33,102 Liabilities: Accrued expenses: Forward foreign exchange contracts: Derivatives designated as hedging instruments (Note 9) Level 2 (2) $ 5,061 $ 15,999 Derivatives not designated as hedging instruments (Note 9) Level 2 (2) 15,474 55,391 Interest rate swaps: Derivatives designated as hedging instruments (Note 9) Level 2 (4) 4,020 5,918 Other liabilities: Forward interest rate swaps: Derivatives designated as hedging instruments (Note 9) Level 2 (4) 41,304 35,045 (1) Consist of investments that are readily convertible to cash with original maturities of 90 days or less. (2) The Company’s forward foreign exchange contracts are measured on a recurring basis at fair value, based on foreign currency spot rates and forward rates quoted by banks or foreign currency dealers. (3) The Senior Non-Convertible Preferred Stock is valued each reporting period using unobservable inputs based on a discounted cash flow model and is classified as an available for sale debt security with any unrealized loss recorded to AOCI. As of February 29, 2020 and August 31, 2019 , the unobservable inputs have an immaterial impact on the fair value calculation. (4) Fair value measurements are based on the contractual terms of the derivatives and use observable market-based inputs. The interest rate swaps are valued using a discounted cash flow analysis on the expected cash flows of each derivative using observable inputs including interest rate curves and credit spreads. Assets Held for Sale The following table presents the assets held for sale (in thousands): February 29, 2020 August 31, 2019 (in thousands) Carrying Amount Carrying Amount Assets held for sale (1) $ 30,120 $ — (1) The fair value of assets held for sale exceeds the carrying value. As a result, no impairment has been recorded for assets held for sale as of February 29, 2020 . Fair Value of Financial Instruments The carrying amounts of cash and cash equivalents, trade accounts receivable, prepaid expenses and other current assets, accounts payable and accrued expenses approximate fair value because of the short-term nature of these financial instruments. The carrying amounts of borrowings under credit facilities and under loans approximates fair value as interest rates on these instruments approximates current market rates. Notes payable and long-term debt is carried at amortized cost; however, the Company estimates the fair values of notes payable and long-term debt for disclosure purposes. The following table presents the carrying amounts and fair values of the Company's notes payable and long-term debt, by hierarchy level as of the periods indicated: February 29, 2020 August 31, 2019 (in thousands) Fair Value Hierarchy Carrying Amount Fair Value Carrying Amount Fair Value Notes payable and long-term debt: (Note 5) 5.625% Senior Notes Level 2 (1) $ 399,332 $ 409,692 $ 398,886 $ 416,000 4.700% Senior Notes Level 2 (1) 498,332 535,370 498,004 525,890 4.900% Senior Notes Level 3 (2) 299,178 326,619 299,057 318,704 3.950% Senior Notes Level 2 (1) 495,132 539,835 494,825 509,845 3.600% Senior Notes Level 2 (1) 494,470 510,905 — — (1) The fair value estimates are based upon observable market data. (2) This fair value estimate is based on the Company’s indicative borrowing cost derived from discounted cash flows. Refer to Note 8 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Feb. 29, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The Company is party to certain lawsuits in the ordinary course of business. The Company does not believe that these proceedings, individually or in the aggregate, will have a material adverse effect on the Company’s financial position, results of operations or cash flows. |
New Accounting Guidance
New Accounting Guidance | 6 Months Ended |
Feb. 29, 2020 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
New Accounting Guidance | New Accounting Guidance Recently Adopted Accounting Guidance During fiscal year 2016, the FASB issued a new accounting standard revising lease accounting, which requires the Company to recognize right-of-use assets and lease liabilities on the Consolidated Balance Sheet and disclose key information regarding leasing arrangements. The accounting standard became effective for the Company in the first quarter of fiscal year 2020. Refer to Note 4 - “Leases” to the Condensed Consolidated Financial Statements for further details. During fiscal year 2017, the FASB issued a new accounting standard to improve the financial reporting of hedging relationships to better portray the economic results of an entity’s risk management activities by simplifying the application of hedge accounting and improving the related disclosures in its financial statements. This guidance became effective for the Company beginning in the first quarter of fiscal year 2020. The guidance was applied using a modified retrospective approach. The adoption of this standard did not have a material impact on the Company’s Consolidated Financial Statements; however, the impact on future periods will depend on the facts and circumstances of future transactions. Recently Issued Accounting Guidance During fiscal year 2016, the FASB issued an accounting standard, which replaces the existing incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. This guidance is effective for the Company beginning in the first quarter of fiscal year 2021. This guidance must be applied using a modified retrospective or prospective transition method, depending on the area covered by this accounting standard. The Company is currently assessing the impact this new standard may have on its Consolidated Financial Statements. During fiscal year 2018, the FASB issued a new accounting standard which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. This guidance is effective for the Company beginning in the first quarter of fiscal year 2021. The Company is currently assessing the impact this new standard may have on its Consolidated Financial Statements. In March 2020, the FASB issued a new accounting standard which provides guidance in accounting for contracts, hedging relationships, and other transactions that reference U.S. dollar LIBOR or another reference rate expected to be discontinued because of reference rate reform. This guidance is effective for the Company beginning in the third quarter of fiscal year 2020. The Company is currently assessing the impact this new standard may have on its Consolidated Financial Statements. Recently issued accounting guidance not discussed above is not applicable or did not have, or is not expected to have, a material impact to the Company. |
New Accounting Guidance (Polici
New Accounting Guidance (Policies) | 6 Months Ended |
Feb. 29, 2020 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recently Adopted Accounting Guidance and Recently Issued Accounting Guidance | Recently Adopted Accounting Guidance During fiscal year 2016, the FASB issued a new accounting standard revising lease accounting, which requires the Company to recognize right-of-use assets and lease liabilities on the Consolidated Balance Sheet and disclose key information regarding leasing arrangements. The accounting standard became effective for the Company in the first quarter of fiscal year 2020. Refer to Note 4 - “Leases” to the Condensed Consolidated Financial Statements for further details. During fiscal year 2017, the FASB issued a new accounting standard to improve the financial reporting of hedging relationships to better portray the economic results of an entity’s risk management activities by simplifying the application of hedge accounting and improving the related disclosures in its financial statements. This guidance became effective for the Company beginning in the first quarter of fiscal year 2020. The guidance was applied using a modified retrospective approach. The adoption of this standard did not have a material impact on the Company’s Consolidated Financial Statements; however, the impact on future periods will depend on the facts and circumstances of future transactions. Recently Issued Accounting Guidance During fiscal year 2016, the FASB issued an accounting standard, which replaces the existing incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. This guidance is effective for the Company beginning in the first quarter of fiscal year 2021. This guidance must be applied using a modified retrospective or prospective transition method, depending on the area covered by this accounting standard. The Company is currently assessing the impact this new standard may have on its Consolidated Financial Statements. During fiscal year 2018, the FASB issued a new accounting standard which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. This guidance is effective for the Company beginning in the first quarter of fiscal year 2021. The Company is currently assessing the impact this new standard may have on its Consolidated Financial Statements. In March 2020, the FASB issued a new accounting standard which provides guidance in accounting for contracts, hedging relationships, and other transactions that reference U.S. dollar LIBOR or another reference rate expected to be discontinued because of reference rate reform. This guidance is effective for the Company beginning in the third quarter of fiscal year 2020. The Company is currently assessing the impact this new standard may have on its Consolidated Financial Statements. Recently issued accounting guidance not discussed above is not applicable or did not have, or is not expected to have, a material impact to the Company. |
Trade Accounts Receivable Sal_2
Trade Accounts Receivable Sale Programs (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Transfers and Servicing [Abstract] | |
Schedule of Trade Accounts Receivable Sale Programs Key Terms | The following is a summary of the trade accounts receivable sale programs with unaffiliated financial institutions where the Company may elect to sell receivables and the unaffiliated financial institution may elect to purchase, at a discount, on an ongoing basis: Program Maximum (1) Type of Expiration A $ 500.0 Uncommitted December 5, 2020 (2) B $ 150.0 Uncommitted November 30, 2020 (3) C 800.0 CNY Uncommitted June 30, 2020 D $ 150.0 Uncommitted May 4, 2023 (4) E $ 50.0 Uncommitted August 25, 2020 F $ 150.0 Uncommitted January 25, 2021 (5) G $ 50.0 Uncommitted February 23, 2023 (6) H $ 100.0 Uncommitted August 10, 2020 (7) I $ 100.0 Uncommitted July 21, 2020 (8) J $ 650.0 Uncommitted December 4, 2020 (9) K $ 110.0 Uncommitted April 11, 2020 (10) L 100.0 CHF Uncommitted December 5, 2020 (2) (1) Maximum amount available at any one time. (2) The program will be automatically extended each year through December 5, 2025 unless either party provides 30 days notice of termination. (3) The program will automatically extend for one year at each expiration date unless either party provides 10 days notice of termination. (4) Any party may elect to terminate the agreement upon 30 days prior notice. (5) The program will be automatically extended through January 25, 2023 unless either party provides 30 days notice of termination. (6) Any party may elect to terminate the agreement upon 15 days prior notice. (7) The program will be automatically extended through August 10, 2023 unless either party provides 30 days notice of termination. (8) The program will be automatically extended through August 21, 2023 unless either party provides 30 days notice of termination. (9) The program will be automatically extended each year through December 5, 2024 unless either party provides 30 days notice of termination. (10) The program will be automatically extended each year through April 11, 2025 unless either party provides 30 days notice of termination. |
Schedule of Trade Accounts Receivable Sale Programs Amounts Recognized | In connection with the trade accounts receivable sale programs, the Company recognized the following (in millions): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Trade accounts receivable sold $ 2,201 $ 1,719 $ 4,163 $ 3,553 Cash proceeds received $ 2,196 $ 1,712 $ 4,153 $ 3,538 Pre-tax losses on sale of receivables (1) $ 5 $ 7 $ 10 $ 15 (1) Recorded to other expense within the Condensed Consolidated Statement of Operations. |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consist of the following (in thousands): February 29, 2020 August 31, 2019 Raw materials $ 2,482,072 $ 2,310,081 Work in process 462,549 468,217 Finished goods 455,295 314,258 Reserve for excess and obsolete inventory (60,026 ) (69,553 ) Inventories, net $ 3,339,890 $ 3,023,003 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Leases [Abstract] | |
Schedule of Supplemental Balance Sheet Information, Lease Terms and Discount Rates | The following table sets forth the amount of lease assets and lease liabilities included on the Company's Condensed Consolidated Balance Sheets, as of the period indicated (in thousands): Financial Statement Line Item February 29, 2020 Assets Operating lease assets (1) Operating lease right-of-use assets $ 373,413 Finance lease assets (2) Property, plant and equipment, net 151,401 Total lease assets $ 524,814 Liabilities Current Operating lease liabilities Current operating lease liabilities $ 100,033 Finance lease liabilities Accrued expenses 6,906 Non-current Operating lease liabilities Non-current operating lease liabilities 311,879 Finance lease liabilities Other liabilities 156,798 Total lease liabilities $ 575,616 (1) Net of accumulated amortization of $49.2 million . (2) Net of accumulated amortization of $9.6 million . |
Schedule of Expenses and Income and Supplemental Cash Flow Information | The following table is a summary of expenses related to leases included on the Company's Condensed Consolidated Statements of Operations, for the periods indicated (in thousands): Three months ended Six months ended February 29, 2020 February 29, 2020 Operating lease cost $ 27,810 $ 55,546 Finance lease cost Amortization of leased assets 1,445 2,581 Interest on lease liabilities 1,254 2,443 Other 1,655 4,183 Net lease cost (1) $ 32,164 $ 64,753 (1) Lease costs are primarily recognized in cost of revenue. The following table is a summary of the weighted-average remaining lease terms and weighted-average discount rates of the Company's leases, as of the period indicated: February 29, 2020 Weighted-average remaining lease term Weighted-average discount rate Operating leases 5.5 years 3.22 % Finance leases 6.3 years 4.31 % The following table sets forth other supplemental information related to the Company's lease portfolio (in thousands): Six months ended February 29, 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases (1) $ 55,592 Operating cash flows for finance leases (1) 2,443 Financing activities for finance leases (2) 2,808 Non-cash right-of-use assets obtained in exchange for new lease liabilities: Operating leases 34,213 Finance leases 111,591 (1) Included in accounts payable, accrued expenses and other liabilities in Operating Activities of the Company's Condensed Consolidated Statements of Cash Flows. (2) Included in payments toward debt agreements in Financing Activities of the Company's Condensed Consolidated Statements of Cash Flows. |
Schedule of Future Minimum Lease Payments under Operating Leases | The future minimum lease payments under operating and finance leases as of February 29, 2020 were as follows (in thousands): Twelve months ended February 29, Operating Leases (1) Finance Leases Total 2020 $ 110,692 $ 11,849 $ 122,541 2021 89,479 12,375 101,854 2022 69,928 11,744 81,672 2023 53,400 11,879 65,279 2024 41,472 15,644 57,116 Thereafter 92,529 128,763 221,292 Total minimum lease payments $ 457,500 $ 192,254 $ 649,754 Less: Interest (45,588 ) (28,550 ) (74,138 ) Present value of lease liabilities $ 411,912 $ 163,704 $ 575,616 (1) Excludes $28.2 million of payments related to leases signed but not yet commenced. Additionally, certain leases signed but not yet commenced contain residual value guarantees and purchase options not deemed probable. |
Schedule of Future Minimum Lease Payments under Finance Leases | The future minimum lease payments under operating and finance leases as of February 29, 2020 were as follows (in thousands): Twelve months ended February 29, Operating Leases (1) Finance Leases Total 2020 $ 110,692 $ 11,849 $ 122,541 2021 89,479 12,375 101,854 2022 69,928 11,744 81,672 2023 53,400 11,879 65,279 2024 41,472 15,644 57,116 Thereafter 92,529 128,763 221,292 Total minimum lease payments $ 457,500 $ 192,254 $ 649,754 Less: Interest (45,588 ) (28,550 ) (74,138 ) Present value of lease liabilities $ 411,912 $ 163,704 $ 575,616 (1) Excludes $28.2 million of payments related to leases signed but not yet commenced. Additionally, certain leases signed but not yet commenced contain residual value guarantees and purchase options not deemed probable. |
Schedule of Future Minimum Lease Payments under Non-Cancelable Operating Leases | As disclosed in the Company’s Form 10-K for the fiscal year ended August 31, 2019, the future minimum lease payments of non-cancelable operating leases prior to the adoption of ASU 2016-02 were as follows (in thousands): Fiscal Year Ending August 31, Amount 2020 $ 118,312 2021 102,915 2022 84,729 2023 63,206 2024 51,091 Thereafter 182,932 Total minimum lease payments $ 603,185 |
Notes Payable and Long-Term D_2
Notes Payable and Long-Term Debt (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Notes Payable and Long-term Debt | Notes payable and long-term debt outstanding as of February 29, 2020 and August 31, 2019 are summarized below (in thousands): Maturity Date February 29, August 31, 5.625% Senior Notes Dec 15, 2020 $ 399,332 $ 398,886 4.700% Senior Notes Sep 15, 2022 498,332 498,004 4.900% Senior Notes Jul 14, 2023 299,178 299,057 3.950% Senior Notes Jan 12, 2028 495,132 494,825 3.600% Senior Notes (1) Jan 15, 2030 494,470 — Borrowings under credit facilities (2)(3) Jan 22, 2023 and Jan 22, 2025 — — Borrowings under commercial paper program (4) (4) 237,661 — Borrowings under loans (2) Jan 22, 2025 300,095 805,693 Total notes payable and long-term debt 2,724,200 2,496,465 Less current installments of notes payable and long-term debt 637,841 375,181 Notes payable and long-term debt, less current installments $ 2,086,359 $ 2,121,284 (1) On January 15, 2020, the Company issued $500.0 million of publicly registered 3.600% Senior Notes due 2030 (the “ 3.600% Senior Notes”). The net proceeds from the offering were used for the repayment of term loan indebtedness. (2) On January 22, 2020, the Company entered into a senior unsecured credit agreement which provides for: (i) a Revolving Credit Facility in the initial amount of $2.7 billion , of which $700.0 million expires on January 22, 2023 and $2.0 billion expires on January 22, 2025 and (ii) a $300.0 million Term Loan Facility which expires on January 22, 2025, (collectively the “Credit Facility”). Interest and fees on the Credit Facility advances are based on the Company’s non-credit enhanced long-term senior unsecured debt rating as determined by Standard & Poor’s Ratings Service, Moody’s Investors Service and Fitch Ratings. In connection with the Company’s entry into the Credit Facility, the Company terminated the Company’s amended and restated five-year credit agreement dated November 8, 2017 and the credit agreement dated August 24, 2018. During the three months ended February 29, 2020, the interest rates on the Revolving Credit Facility ranged from 2.5% to 3.0% and the Term Loan Facility ranged from 2.9% to 3.2% . Interest is charged at a rate equal to (a) for the Revolving Credit Facility, either 0.000% to 0.450% above the base rate or 0.975% to 1.450% above the Eurocurrency rate and (b) for the Term Loan Facility, either 0.125% to 0.750% above the base rate or 1.125% to 1.750% above the Eurocurrency rate. The base rate represents the greatest of: (i) Citibank, N.A.’s prime rate, (ii) 0.50% above the federal funds rate, and (iii) 1.0% above one-month LIBOR, but not less than zero. The Eurocurrency rate represents adjusted LIBOR or adjusted CDOR, as applicable, for the applicable interest period, but not less than zero. Fees include a facility fee based on the revolving credit commitments of the lenders and a letter of credit fee based on the amount of outstanding letters of credit. (3) As of February 29, 2020 , the Company has $3.1 billion in available unused borrowing capacity under its revolving credit facilities, net of outstanding commercial paper borrowings. (4) The Company has a borrowing capacity of up to $1.8 billion under its commercial paper program. The revolving credit facility supports commercial paper outstanding, if any. As of February 29, 2020, the outstanding commercial paper has maturities of 90 days or less. During the three months ended February 29, 2020, the interest rates on the commercial paper program ranged from 2.0% to 2.6% . |
Asset-Backed Securitization P_2
Asset-Backed Securitization Programs (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Transfers and Servicing [Abstract] | |
Asset-backed Securitization Programs and Key Terms | Following is a summary of the asset-backed securitization programs and key terms: Maximum Amount of (1)(2) Expiration North American $ 390.0 November 22, 2021 Foreign $ 400.0 September 30, 2021 (1) Maximum amount available at any one time. (2) As of February 29, 2020 , the Company had up to $76.3 million in available liquidity under its asset-backed securitization programs. |
Asset-backed Securitization Programs Amounts Recognized | In connection with the asset-backed securitization programs, the Company recognized the following (in millions): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 (3) Trade accounts receivable sold $ 1,095 $ 1,078 $ 2,257 $ 1,828 Cash proceeds received (1) $ 1,089 $ 1,072 $ 2,245 $ 1,816 Pre-tax losses on sale of receivables (2) $ 6 $ 6 $ 12 $ 12 (1) The amounts primarily represent proceeds from collections reinvested in revolving-period transfers. (2) Recorded to other expense within the Condensed Consolidated Statements of Operations. (3) Excludes $650.3 million of trade accounts receivable sold, $488.1 million of cash and $13.9 million of net cash received prior to the amendment of the foreign asset-backed securitization program and under the previous North American asset-backed securitization program which occurred during the first quarter of fiscal year 2019. |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Accrued Liabilities, Current [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses consist of the following (in thousands): February 29, 2020 August 31, 2019 Contract liabilities (1) $ 495,314 $ 511,329 Accrued compensation and employee benefits 532,312 600,907 Other accrued expenses 1,987,503 1,877,908 Accrued expenses $ 3,015,129 $ 2,990,144 (1) Revenue recognized during the six months ended February 29, 2020 and February 28, 2019 that was included in the contract liability balance as of September 1, 2019 and 2018 was $201.1 million and $267.0 million , respectively. |
Postretirement and Other Empl_2
Postretirement and Other Employee Benefits (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Retirement Benefits [Abstract] | |
Schedule of Information about Net Periodic Benefit Cost for Plans | The following table provides information about the net periodic benefit cost for all plans for the three months and six months ended February 29, 2020 and February 28, 2019 (in thousands): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Service cost (1) $ 6,638 $ 289 $ 11,101 $ 584 Interest cost (2) 809 870 1,572 1,755 Expected long-term return on plan assets (2) (3,789 ) (1,330 ) (6,575 ) (2,682 ) Recognized actuarial loss (2) 226 205 449 413 Amortization of prior service credit (2) (11 ) (11 ) (22 ) (23 ) Net periodic benefit cost $ 3,873 $ 23 $ 6,525 $ 47 (1) Service cost is recognized in cost of revenue in the Condensed Consolidated Statement of Operations. (2) Components are recognized in other expense in the Condensed Consolidated Statement of Operations. |
Schedule of Reconciliation of Change in Benefit Obligations for Plans | The benefit obligations and plan assets, changes to the benefit obligation and plan assets and the funded status of the Switzerland plan as of September 30, 2019 are as follows (in thousands): September 30, 2019 Ending projected benefit obligation $ (404,297 ) Ending fair value of plan assets $ 330,793 Unfunded status $ (73,504 ) |
Schedule of Reconciliation of Changes in Pension Plan Assets | The benefit obligations and plan assets, changes to the benefit obligation and plan assets and the funded status of the Switzerland plan as of September 30, 2019 are as follows (in thousands): September 30, 2019 Ending projected benefit obligation $ (404,297 ) Ending fair value of plan assets $ 330,793 Unfunded status $ (73,504 ) |
Schedule of Estimated Future Benefit Payments | The Company expects to make cash contributions between $9.5 million and $11.7 million to its Switzerland pension plan during fiscal year 2020 . The estimated future benefit payments, which reflect expected future service, are as follows (in thousands): Fiscal Year Ended August 31, Amount 2020 $ 24,698 2021 21,698 2022 20,098 2023 18,398 2024 17,298 2025 through 2029 82,992 |
Schedule of Information for Plans with Accumulated Benefit Obligation in Excess of Plan Assets | The following table provides information for the Switzerland plan with an accumulated benefit obligation as of September 30, 2019 (in thousands): September 30, 2019 Projected benefit obligation $ (404,297 ) Accumulated benefit obligation $ (394,427 ) Fair value of plan assets $ 330,793 |
Derivative Financial Instrume_2
Derivative Financial Instruments and Hedging Activities (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Net Gains from Forward Contracts Recorded in Consolidated Statements of Operations | The following table presents the gains from forward contracts recorded in the Condensed Consolidated Statements of Operations for the periods indicated (in thousands): Derivatives Not Designated as Hedging Instruments Under ASC 815 Location of Gain on Derivatives Recognized in Net Income Amount of Gain Recognized in Net Income on Derivatives Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Forward foreign exchange contracts (1) Cost of revenue $ 6,801 $ 49,794 $ 33,518 $ 42,808 (1) For the three months and six months ended February 29, 2020 , the Company recognized $7.6 million and $36.4 million , respectively, of foreign currency losses in cost of revenue, which are offset by the gains from the forward foreign exchange contracts. During the three months and six months ended February 28, 2019 , the Company recognized $57.1 million and $52.6 million , respectively, of foreign currency losses in cost of revenue, which are offset by the gains from the forward foreign exchange contracts. |
Schedule of Notional Amounts of Outstanding Derivative Positions | The following table presents the interest rate swaps outstanding as of February 29, 2020 , which have been designated as hedging instruments and accounted for as cash flow hedges: Interest Rate Swap Summary Hedged Interest Rate Payments Aggregate Notional Amount (in millions) Effective Date Expiration Date (1) Forward Interest Rate Swap Anticipated Debt Issuance Fixed $ 200.0 Oct 22, 2018 Dec 15, 2020 (2) Interest Rate Swaps Debt obligations Variable $ 550.0 Aug 24, 2018 and Oct 11, 2018 Aug 24, 2020 and Aug 31, 2020 (3) (1) The contracts will be settled with the respective counterparties on a net basis at the expiration date for the forward interest rate swap and at each settlement date for the interest rate swaps. (2) If the anticipated debt issuance occurs before December 15, 2020, the contracts will be terminated simultaneously with the debt issuance. (3) The Company pays interest based upon a fixed rate as agreed upon with the respective counterparties and receives variable rate interest payments based on the one-month and three-month LIBOR for borrowings under the Credit Facility and certain other debt obligations. Of the amount hedged, $350.0 million expires on August 24, 2020 and $200.0 million |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Equity [Abstract] | |
Summary of Changes in Accumulated Other Comprehensive Income | The following table sets forth the changes in accumulated other comprehensive (loss) income (“AOCI”), net of tax, by component for the six months ended February 29, 2020 (in thousands): Foreign Currency Translation Adjustment Derivative Instruments Actuarial Loss Prior Service Cost Available for Sale Securities Total Balance as of August 31, 2019 $ (14,298 ) $ (39,398 ) $ (28,033 ) $ (608 ) $ (457 ) (82,794 ) Other comprehensive (loss) income before reclassifications (10,875 ) 1,471 — — (14,080 ) (23,484 ) Amounts reclassified from AOCI — 3,335 — — — 3,335 Other comprehensive (loss) income (1) (10,875 ) 4,806 — — (14,080 ) (20,149 ) Balance as of February 29, 2020 $ (25,173 ) $ (34,592 ) $ (28,033 ) $ (608 ) $ (14,537 ) $ (102,943 ) (1) Amounts are net of tax, which are immaterial. |
Summary of Reclassification from AOCI | The following table sets forth the amounts reclassified from AOCI into the Condensed Consolidated Statements of Operations, and the associated financial statement line item, net of tax, for the periods indicated (in thousands): Three months ended Six months ended Comprehensive Income Components Financial Statement Line Item February 29, February 28, February 29, February 28, Realized losses (gains) on derivative instruments: (1) Foreign exchange contracts Cost of revenue $ (3,117 ) $ 3,931 $ 4,197 $ 18,546 Interest rate contracts Interest expense (431 ) (430 ) (862 ) (860 ) Total amounts reclassified from AOCI (2) $ (3,548 ) $ 3,501 $ 3,335 $ 17,686 (1) The Company expects to reclassify $3.4 million into earnings during the next twelve months, which will primarily be classified as a component of cost of revenue. (2) Amounts are net of tax, which are immaterial for the three months and six months ended February 29, 2020 and February 28, 2019 . |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Recognized Stock-based Compensation Expense | The Company recognized stock-based compensation expense within selling, general and administrative expense as follows (in thousands): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Restricted stock units $ 12,301 $ 13,604 $ 40,484 $ 28,655 Employee stock purchase plan 2,808 2,093 4,848 4,291 Total $ 15,109 $ 15,697 $ 45,332 $ 32,946 |
Schedule of Share-based Compensation Information | The following represents the stock-based compensation information for the period indicated (in thousands): Six months ended February 29, 2020 Unrecognized stock-based compensation expense—restricted stock units $ 67,606 Remaining weighted-average period for restricted stock units expense 1.5 years |
Schedule of Common Stock Outstanding | The following represents the common stock outstanding for the periods indicated: Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Common stock outstanding: Beginning balances 152,300,356 157,986,896 153,520,380 164,588,172 Shares issued upon exercise of stock options 43,069 11,348 56,999 11,348 Shares issued under employee stock purchase plan 595,717 691,971 595,717 692,325 Vesting of restricted stock 322,872 219,764 2,239,612 1,905,927 Purchases of treasury stock under employee stock plans (86,706 ) (57,389 ) (617,123 ) (464,836 ) Treasury shares purchased (1) (1,767,782 ) (5,974,261 ) (4,388,059 ) (13,854,607 ) Ending balances 151,407,526 152,878,329 151,407,526 152,878,329 (1) In September 2019, the Company’s Board of Directors authorized the repurchase of up to $600.0 million of the Company’s common stock as part of a two-year capital allocation framework (the “2020 Share Repurchase Program”). As of February 29, 2020 , 4.4 million shares had been repurchased for $168.7 million and $431.3 million remains available under the 2020 Share Repurchase Program. |
Concentration of Risk and Seg_2
Concentration of Risk and Segment Data (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Segment Reporting [Abstract] | |
Schedule of Revenues Disaggregated by Segment | The following table presents the Company’s revenues disaggregated by segment (in thousands): Three months ended February 29, 2020 February 28, 2019 EMS DMS Total EMS DMS Total Timing of transfer Point in time $ 986,570 $ 1,141,881 $ 2,128,451 $ 836,863 $ 1,464,832 $ 2,301,695 Over time 2,843,384 1,153,248 3,996,632 2,967,864 797,431 3,765,295 Total $ 3,829,954 $ 2,295,129 $ 6,125,083 $ 3,804,727 $ 2,262,263 $ 6,066,990 Six months ended February 29, 2020 February 28, 2019 EMS DMS Total EMS DMS Total Timing of transfer Point in time $ 2,377,480 $ 3,011,360 $ 5,388,840 $ 1,257,524 $ 3,566,483 $ 4,824,007 Over time 5,870,026 2,371,915 8,241,941 6,050,306 1,698,952 7,749,258 Total $ 8,247,506 $ 5,383,275 $ 13,630,781 $ 7,307,830 $ 5,265,435 $ 12,573,265 |
Schedule of Reconciliation of Income from Segments to Consolidated | The following table sets forth operating segment information (in thousands): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Segment income and reconciliation of income before income tax EMS $ 84,829 $ 88,654 $ 189,529 $ 172,749 DMS 74,619 102,405 247,234 271,970 Total segment income $ 159,448 $ 191,059 $ 436,763 $ 444,719 Reconciling items: Amortization of intangibles (13,577 ) (7,777 ) (29,717 ) (15,423 ) Stock-based compensation expense and related charges (15,109 ) (15,697 ) (45,332 ) (32,946 ) Restructuring and related charges (29,604 ) (817 ) (74,855 ) (6,842 ) Distressed customer charge — — (14,963 ) — Business interruption and impairment charges, net (1) — — — 2,860 Acquisition and integration charges (7,752 ) (12,785 ) (23,886 ) (21,675 ) Impairment on securities (12,205 ) — (12,205 ) — Other expense (net of periodic benefit cost) (11,277 ) (11,757 ) (24,274 ) (25,307 ) Interest income 5,336 4,760 11,280 9,139 Interest expense (46,183 ) (46,160 ) (91,094 ) (88,812 ) Income before income tax $ 29,077 $ 100,826 $ 131,717 $ 265,713 (1) Charges, net of insurance proceeds of $2.9 million for the six months ended February 28, 2019 , relate to business interruption and asset impairment costs associated with damage from Hurricane Maria, which impacted our operations in Cayey, Puerto Rico. |
Revenue from External Customers by Geographic Areas | The following tables set forth external net revenue, net of intercompany eliminations, and long-lived asset information where individual countries represent a material portion of the total (in thousands): ` Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 External net revenue: Singapore $ 1,216,369 $ 1,588,931 $ 3,247,285 $ 3,907,604 Mexico 1,153,619 1,052,781 2,344,957 2,048,202 China 968,386 1,199,016 2,123,321 2,517,454 Malaysia 505,424 414,433 996,230 793,961 Ireland 181,790 205,480 435,875 281,199 Other 1,035,235 891,648 2,050,948 1,837,335 Foreign source revenue 5,060,823 5,352,289 11,198,616 11,385,755 U.S. 1,064,260 714,701 2,432,165 1,187,510 Total $ 6,125,083 $ 6,066,990 $ 13,630,781 $ 12,573,265 |
Long-lived Assets by Geographic Areas | February 29, 2020 August 31, 2019 Long-lived assets: China $ 1,488,548 $ 1,579,904 Mexico 404,896 418,641 Switzerland 217,065 158 Malaysia 208,576 154,386 Singapore 148,583 156,028 Taiwan 118,315 123,608 Hungary 99,435 85,809 Vietnam 93,495 85,728 Other 470,688 462,261 Long-lived assets related to foreign operations 3,249,601 3,066,523 U.S. 1,148,011 1,146,335 Total $ 4,397,612 $ 4,212,858 |
Restructuring and Related Cha_2
Restructuring and Related Charges (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Restructuring and Related Activities [Abstract] | |
Summary of Restructuring and Related Charges | Following is a summary of the Company’s restructuring and related charges (in thousands): Three months ended Six months ended February 29, 2020 (2) February 28, 2019 (3) February 29, 2020 (2) February 28, 2019 (3) Employee severance and benefit costs $ 8,012 $ 3,768 $ 26,793 $ 8,947 Lease costs 6,229 — 6,468 9 Asset write-off costs 9,109 (3,396 ) 25,425 (3,212 ) Other costs 6,254 445 16,169 1,098 Total restructuring and related charges (1) $ 29,604 $ 817 $ 74,855 $ 6,842 (1) Includes $14.7 million and $0.3 million recorded in the EMS segment, $14.5 million and $0.5 million recorded in the DMS segment and $0.4 million and $0.0 million of non-allocated charges for the three months ended February 29, 2020 and February 28, 2019 , respectively. Includes $32.1 million and $4.7 million recorded in the EMS segment, $39.7 million and $2.1 million recorded in the DMS segment and $3.1 million and $0.0 million of non-allocated charges for the six months ended February 29, 2020 and February 28, 2019 , respectively. Except for asset write-off costs, all restructuring and related charges are cash costs. (2) Primarily relates to the 2020 Restructuring Plan. (3) Primarily relates to the 2017 Restructuring Plan. |
Summary of Liability Activity Associated with Restructuring Plan | The table below summarizes the Company’s liability activity, primarily associated with the 2020 Restructuring Plan (in thousands): Employee Severance and Benefit Costs Lease Costs Asset Write-off Costs Other Related Costs Total Balance as of August 31, 2019 (1) $ 3,162 $ 1,980 $ — $ 789 $ 5,931 Restructuring related charges 26,793 6,468 25,425 450 59,136 Asset write-off charge and other non-cash activity (95 ) (5,637 ) (25,425 ) 2 (31,155 ) Cash payments (16,415 ) (278 ) — (577 ) (17,270 ) Balance as of February 29, 2020 $ 13,445 $ 2,533 $ — $ 664 $ 16,642 (1) Balance as of August 31, 2019 primarily relates to the 2017 Restructuring Plan. |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Income Tax Disclosure [Abstract] | |
Summary of U.S. Federal Statutory Income Tax Rate Compared to Actual Income Tax Expense | The U.S. federal statutory income tax rate and the Company's effective income tax rate are as follows: Three months ended Six months ended February 29, February 28, February 29, February 28, U.S. federal statutory income tax rate 21.0 % 21.0 % 21.0 % 21.0 % Effective income tax rate 108.9 % 33.0 % 71.0 % 27.9 % |
Earnings Per Share and Divide_2
Earnings Per Share and Dividends (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Dilutive Shares Outstanding Not Included in the Computation of EPS | Potential shares of common stock not included in the computation of earnings per share because their effect would have been antidilutive or because the performance criterion was not met were as follows (in thousands): Three months ended Six months ended February 29, 2020 February 28, 2019 February 29, 2020 February 28, 2019 Restricted stock units 4,499 1,348 1,035 1,348 Employee stock purchase plan 164 — — — Stock appreciation rights 28 — — — |
Schedule of Cash Dividends Declared to Common Stockholders | The following table sets forth cash dividends declared by the Company to common stockholders during the six months ended February 29, 2020 and February 28, 2019 (in thousands, except for per share data): Dividend Declaration Date Dividend per Share Total of Cash Dividends Declared Date of Record for Dividend Payment Dividend Cash Payment Date Fiscal Year 2020: October 17, 2019 $ 0.08 $ 12,647 November 15, 2019 December 2, 2019 January 23, 2020 $ 0.08 $ 12,517 February 14, 2020 March 4, 2020 Fiscal Year 2019: October 18, 2018 $ 0.08 $ 13,226 November 15, 2018 December 3, 2018 January 24, 2019 $ 0.08 $ 12,706 February 15, 2019 March 1, 2019 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Feb. 29, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value of Derivative Instruments Located on Consolidated Balance Sheets Utilized for Foreign Currency Risk Management Purposes | The following table presents the fair value of the Company's financial assets and liabilities measured at fair value by hierarchy level on a recurring basis as of the periods indicated: (in thousands) Fair Value Hierarchy February 29, 2020 August 31, 2019 Assets: Cash and cash equivalents: Cash equivalents Level 1 (1) $ 35,925 $ 27,804 Prepaid expenses and other current assets: Short-term investments Level 1 16,652 14,088 Forward foreign exchange contracts: Derivatives designated as hedging instruments (Note 9) Level 2 (2) 2,730 904 Derivatives not designated as hedging instruments (Note 9) Level 2 (2) 13,726 6,878 Other assets: Senior Non-Convertible Preferred Stock Level 3 (3) 20,900 33,102 Liabilities: Accrued expenses: Forward foreign exchange contracts: Derivatives designated as hedging instruments (Note 9) Level 2 (2) $ 5,061 $ 15,999 Derivatives not designated as hedging instruments (Note 9) Level 2 (2) 15,474 55,391 Interest rate swaps: Derivatives designated as hedging instruments (Note 9) Level 2 (4) 4,020 5,918 Other liabilities: Forward interest rate swaps: Derivatives designated as hedging instruments (Note 9) Level 2 (4) 41,304 35,045 (1) Consist of investments that are readily convertible to cash with original maturities of 90 days or less. (2) The Company’s forward foreign exchange contracts are measured on a recurring basis at fair value, based on foreign currency spot rates and forward rates quoted by banks or foreign currency dealers. (3) The Senior Non-Convertible Preferred Stock is valued each reporting period using unobservable inputs based on a discounted cash flow model and is classified as an available for sale debt security with any unrealized loss recorded to AOCI. As of February 29, 2020 and August 31, 2019 , the unobservable inputs have an immaterial impact on the fair value calculation. (4) Fair value measurements are based on the contractual terms of the derivatives and use observable market-based inputs. The interest rate swaps are valued using a discounted cash flow analysis on the expected cash flows of each derivative using observable inputs including interest rate curves and credit spreads. |
Schedule of Carrying Amounts and Fair Values of Notes Payable and Long-term Debt | The following table presents the assets held for sale (in thousands): February 29, 2020 August 31, 2019 (in thousands) Carrying Amount Carrying Amount Assets held for sale (1) $ 30,120 $ — (1) The fair value of assets held for sale exceeds the carrying value. As a result, no impairment has been recorded for assets held for sale as of February 29, 2020 . February 29, 2020 August 31, 2019 (in thousands) Fair Value Hierarchy Carrying Amount Fair Value Carrying Amount Fair Value Notes payable and long-term debt: (Note 5) 5.625% Senior Notes Level 2 (1) $ 399,332 $ 409,692 $ 398,886 $ 416,000 4.700% Senior Notes Level 2 (1) 498,332 535,370 498,004 525,890 4.900% Senior Notes Level 3 (2) 299,178 326,619 299,057 318,704 3.950% Senior Notes Level 2 (1) 495,132 539,835 494,825 509,845 3.600% Senior Notes Level 2 (1) 494,470 510,905 — — (1) The fair value estimates are based upon observable market data. (2) This fair value estimate is based on the Company’s indicative borrowing cost derived from discounted cash flows. |
Trade Accounts Receivable Sal_3
Trade Accounts Receivable Sale Programs (Trade Accounts Receivable Sale Programs Key Terms) (Details) - 6 months ended Feb. 29, 2020 | USD ($) | CNY (¥) |
A | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 500,000,000 | |
Notice period to cancel receivable sale agreements | 30 days | |
B | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 150,000,000 | |
Notice period to cancel receivable sale agreements | 10 days | |
Automatic extension period | 1 year | |
C | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | ¥ | ¥ 800,000,000 | |
D | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 150,000,000 | |
Notice period to cancel receivable sale agreements | 30 days | |
E | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 50,000,000 | |
F | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 150,000,000 | |
Threshold period to cancel trade accounts receivable sale agreement before automatic extension | 30 days | |
G | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 50,000,000 | |
Notice period to cancel receivable sale agreements | 15 days | |
H | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 100,000,000 | |
Threshold period to cancel trade accounts receivable sale agreement before automatic extension | 30 days | |
I | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 100,000,000 | |
Threshold period to cancel trade accounts receivable sale agreement before automatic extension | 30 days | |
J | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 650,000,000 | |
Notice period to cancel receivable sale agreements | 30 days | |
K | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 110,000,000 | |
Threshold period to cancel trade accounts receivable sale agreement before automatic extension | 30 days | |
L | ||
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||
Maximum Amount | $ 100,000,000 |
Trade Accounts Receivable Sal_4
Trade Accounts Receivable Sale Programs (Trade Accounts Receivable Sale Programs Amounts Recognized) (Details) - Trade Accounts Receivable Sale Programs - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||||
Trade accounts receivable sold | $ 2,201 | $ 1,719 | $ 4,163 | $ 3,553 |
Cash proceeds received | 2,196 | 1,712 | 4,153 | 3,538 |
Pre-tax losses on sale of receivables | $ 5 | $ 7 | $ 10 | $ 15 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Aug. 31, 2019 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 2,482,072 | $ 2,310,081 |
Work in process | 462,549 | 468,217 |
Finished goods | 455,295 | 314,258 |
Reserve for excess and obsolete inventory | (60,026) | (69,553) |
Inventories, net | $ 3,339,890 | $ 3,023,003 |
Leases (Additional Information)
Leases (Additional Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Aug. 31, 2019 | Aug. 31, 2018 | Aug. 31, 2017 | Feb. 29, 2020 | Sep. 01, 2019 | |
Lessee, Lease, Description [Line Items] | |||||
Operating lease right-of-use asset | $ 373,413 | ||||
Operating lease liability | $ 411,912 | ||||
Total operating lease expense | $ 125,400 | $ 130,200 | $ 117,200 | ||
ASU 2016-02 | |||||
Lessee, Lease, Description [Line Items] | |||||
Operating lease right-of-use asset | $ 414,600 | ||||
Operating lease liability | $ 437,500 | ||||
Buildings and Real Estate | Minimum | |||||
Lessee, Lease, Description [Line Items] | |||||
Term of contract | 1 year | ||||
Buildings and Real Estate | Maximum | |||||
Lessee, Lease, Description [Line Items] | |||||
Term of contract | 36 years |
Leases (Lease Assets and Liabil
Leases (Lease Assets and Liabilities) (Details) $ in Thousands | Feb. 29, 2020USD ($) |
Assets | |
Operating lease assets | $ 373,413 |
Finance lease assets | 151,401 |
Total lease assets | 524,814 |
Current | |
Operating lease liabilities | 100,033 |
Finance lease liabilities | 6,906 |
Non-current | |
Operating lease liabilities | 311,879 |
Finance lease liabilities | 156,798 |
Total lease liabilities | 575,616 |
Operating lease assets, accumulated amortization | 49,200 |
Finance lease assets, accumulated amortization | $ 9,600 |
Leases (Summary of Income and E
Leases (Summary of Income and Expenses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Feb. 29, 2020 | Feb. 29, 2020 | |
Leases [Abstract] | ||
Operating lease cost | $ 27,810 | $ 55,546 |
Finance lease cost | ||
Amortization of leased assets | 1,445 | 2,581 |
Interest on lease liabilities | 1,254 | 2,443 |
Other | 1,655 | 4,183 |
Net lease cost | $ 32,164 | $ 64,753 |
Leases (Lease Term and Discount
Leases (Lease Term and Discount Rate) (Details) | Feb. 29, 2020 |
Weighted-average remaining lease term | |
Operating leases | 5 years 6 months |
Finance leases | 6 years 3 months 18 days |
Weighted-average discount rate | |
Operating leases | 3.22% |
Finance leases | 4.31% |
Leases (Supplemental Cash Flow
Leases (Supplemental Cash Flow Information) (Details) $ in Thousands | 6 Months Ended |
Feb. 29, 2020USD ($) | |
Cash paid for amounts included in the measurement of lease liabilities: | |
Operating cash flows for operating leases | $ 55,592 |
Operating cash flows for finance leases | 2,443 |
Financing activities for finance leases | 2,808 |
Non-cash right-of-use assets obtained in exchange for new lease liabilities: | |
Operating leases | 34,213 |
Finance leases | $ 111,591 |
Leases (Future Minimum Lease Pa
Leases (Future Minimum Lease Payments under Operating and Finance Leases) (Details) $ in Thousands | Feb. 29, 2020USD ($) |
Operating Leases | |
2020 | $ 110,692 |
2021 | 89,479 |
2022 | 69,928 |
2023 | 53,400 |
2024 | 41,472 |
Thereafter | 92,529 |
Total minimum lease payments | 457,500 |
Less: Interest | (45,588) |
Present value of lease liabilities | 411,912 |
Finance Leases | |
2020 | 11,849 |
2021 | 12,375 |
2022 | 11,744 |
2023 | 11,879 |
2024 | 15,644 |
Thereafter | 128,763 |
Total minimum lease payments | 192,254 |
Less: Interest | (28,550) |
Present value of lease liabilities | 163,704 |
Total | |
2020 | 122,541 |
2021 | 101,854 |
2022 | 81,672 |
2023 | 65,279 |
2024 | 57,116 |
Thereafter | 221,292 |
Total minimum lease payments | 649,754 |
Less: Interest | (74,138) |
Total lease liabilities | 575,616 |
Leases signed but not yet commenced | $ 28,200 |
Leases (Future Minimum Lease _2
Leases (Future Minimum Lease Payments Prior to Adoption of ASU 2016-02) (Details) $ in Thousands | Aug. 31, 2019USD ($) |
Leases [Abstract] | |
2020 | $ 118,312 |
2021 | 102,915 |
2022 | 84,729 |
2023 | 63,206 |
2024 | 51,091 |
Thereafter | 182,932 |
Total minimum lease payments | $ 603,185 |
Notes Payable and Long-Term D_3
Notes Payable and Long-Term Debt (Amounts Outstanding) (Details) - USD ($) | 3 Months Ended | |||
Feb. 29, 2020 | Jan. 22, 2020 | Jan. 15, 2020 | Aug. 31, 2019 | |
Debt Instrument [Line Items] | ||||
Long-term debt | $ 2,724,200,000 | $ 2,496,465,000 | ||
Less current installments of notes payable and long-term debt | 637,841,000 | 375,181,000 | ||
Notes payable and long-term debt, less current installments | 2,086,359,000 | 2,121,284,000 | ||
Senior Notes | 5.625% Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 399,332,000 | 398,886,000 | ||
Senior Notes, stated interest rate | 5.625% | |||
Senior Notes | 4.700% Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 498,332,000 | 498,004,000 | ||
Senior Notes, stated interest rate | 4.70% | |||
Senior Notes | 4.900% Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 299,178,000 | 299,057,000 | ||
Senior Notes, stated interest rate | 4.90% | |||
Senior Notes | 3.950% Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 495,132,000 | 494,825,000 | ||
Senior Notes, stated interest rate | 3.95% | |||
Senior Notes | 3.600% Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 494,470,000 | 0 | ||
Debt issuance | $ 500,000,000 | |||
Senior Notes, stated interest rate | 3.60% | 3.60% | ||
Line of Credit | Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 0 | 0 | ||
Maximum borrowing capacity | $ 2,700,000,000 | |||
Unused borrowing capacity | $ 3,100,000,000 | |||
Line of Credit | Revolving Credit Facility | Minimum | ||||
Debt Instrument [Line Items] | ||||
Interest rate on debt instruments | 2.50% | |||
Line of Credit | Revolving Credit Facility | Maximum | ||||
Debt Instrument [Line Items] | ||||
Interest rate on debt instruments | 3.00% | |||
Line of Credit | Revolving Credit Facility | Base Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Interest rate above base rate | 0.00% | |||
Line of Credit | Revolving Credit Facility | Base Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Interest rate above base rate | 0.45% | |||
Line of Credit | Revolving Credit Facility | Eurodollar | Minimum | ||||
Debt Instrument [Line Items] | ||||
Interest rate above base rate | 0.975% | |||
Line of Credit | Revolving Credit Facility | Eurodollar | Maximum | ||||
Debt Instrument [Line Items] | ||||
Interest rate above base rate | 1.45% | |||
Line of Credit | Revolving Credit Facility | Federal Funds Rate | ||||
Debt Instrument [Line Items] | ||||
Interest rate above base rate | 0.50% | |||
Line of Credit | Revolving Credit Facility | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Interest rate above base rate | 1.00% | |||
Line of Credit | Revolving Credit Facility | Credit Facility Expires On January 2023 | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | 700,000,000 | |||
Line of Credit | Revolving Credit Facility | Credit Facility Expires On January 2025 | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | 2,000,000,000 | |||
Line of Credit | Term Loan Facility | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 300,095,000 | 805,693,000 | ||
Maximum borrowing capacity | $ 300,000,000 | |||
Line of Credit | Term Loan Facility | Minimum | ||||
Debt Instrument [Line Items] | ||||
Interest rate on debt instruments | 2.90% | |||
Line of Credit | Term Loan Facility | Maximum | ||||
Debt Instrument [Line Items] | ||||
Interest rate on debt instruments | 3.20% | |||
Line of Credit | Term Loan Facility | Base Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Interest rate above base rate | 0.125% | |||
Line of Credit | Term Loan Facility | Base Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Interest rate above base rate | 0.75% | |||
Line of Credit | Term Loan Facility | Eurodollar | Minimum | ||||
Debt Instrument [Line Items] | ||||
Interest rate above base rate | 1.125% | |||
Line of Credit | Term Loan Facility | Eurodollar | Maximum | ||||
Debt Instrument [Line Items] | ||||
Interest rate above base rate | 1.75% | |||
Line of Credit | Commercial Paper | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 237,661,000 | $ 0 | ||
Maximum borrowing capacity | $ 1,800,000,000 | |||
Line of Credit | Commercial Paper | Minimum | ||||
Debt Instrument [Line Items] | ||||
Interest rate on debt instruments | 2.00% | |||
Line of Credit | Commercial Paper | Maximum | ||||
Debt Instrument [Line Items] | ||||
Interest rate on debt instruments | 2.60% |
Notes Payable and Long-Term D_4
Notes Payable and Long-Term Debt (Additional Information) (Details) - Senior Notes | Feb. 29, 2020 | Jan. 15, 2020 |
4.900% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior Notes, stated interest rate | 4.90% | |
3.600% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior Notes, stated interest rate | 3.60% | 3.60% |
5.625% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior Notes, stated interest rate | 5.625% | |
4.700% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior Notes, stated interest rate | 4.70% | |
3.950% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior Notes, stated interest rate | 3.95% |
Asset-Backed Securitization P_3
Asset-Backed Securitization Programs (Narrative) (Details) | Feb. 29, 2020USD ($) |
Non-US | Asset-backed Securities | |
Trade Accounts Receivable Securitization and Sale Program [Line Items] | |
Liability obligations under the guarantee | $ 0 |
Asset-Backed Securitization P_4
Asset-Backed Securitization Programs (Asset-Backed Securitization Programs and Key Terms) (Details) $ in Millions | Feb. 29, 2020USD ($) |
Asset-Backed Securitization Programs [Line Items] | |
Available liquidity under its asset-backed securitization programs (up to) | $ 76.3 |
North American | |
Asset-Backed Securitization Programs [Line Items] | |
Maximum Amount of Net Cash Proceeds | 390 |
Foreign | |
Asset-Backed Securitization Programs [Line Items] | |
Maximum Amount of Net Cash Proceeds | $ 400 |
Asset-Backed Securitization P_5
Asset-Backed Securitization Programs (Securitization Activity) (Details) - Asset-Backed Securitization Programs - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Feb. 29, 2020 | Feb. 28, 2019 | Nov. 30, 2018 | Nov. 26, 2018 | Feb. 29, 2020 | Feb. 28, 2019 | |
Trade Accounts Receivable Securitization and Sale Program [Line Items] | ||||||
Trade accounts receivable sold | $ 1,095 | $ 1,078 | $ 650.3 | $ 2,257 | $ 1,828 | |
Cash proceeds received | 1,089 | 1,072 | $ 488.1 | 2,245 | 1,816 | |
Pre-tax losses on sale of receivables | $ 6 | $ 6 | $ 12 | $ 12 | ||
Net cash received | $ 13.9 |
Accrued Expenses (Details)
Accrued Expenses (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Aug. 31, 2019 | |
Accrued Liabilities, Current [Abstract] | |||
Contract liabilities | $ 495,314 | $ 511,329 | |
Accrued compensation and employee benefits | 532,312 | 600,907 | |
Other accrued expenses | 1,987,503 | 1,877,908 | |
Accrued expenses | 3,015,129 | $ 2,990,144 | |
Revenue recognized during period that was included in contract liability balance | $ 201,100 | $ 267,000 |
Postretirement and Other Empl_3
Postretirement and Other Employee Benefits (Net Periodic Benefit Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Retirement Benefits [Abstract] | ||||
Service cost | $ 6,638 | $ 289 | $ 11,101 | $ 584 |
Interest cost | 809 | 870 | 1,572 | 1,755 |
Expected long-term return on plan assets | (3,789) | (1,330) | (6,575) | (2,682) |
Recognized actuarial loss | 226 | 205 | 449 | 413 |
Amortization of prior service credit | (11) | (11) | (22) | (23) |
Net periodic benefit cost | $ 3,873 | $ 23 | $ 6,525 | $ 47 |
Postretirement and Other Empl_4
Postretirement and Other Employee Benefits (Additional Information) (Details) - Foreign Plan $ in Millions | 6 Months Ended |
Feb. 29, 2020USD ($) | |
Pension and Other Postretirement Benefits Disclosure [Line Items] | |
Service period | 8 years |
Switzerland Plan | |
Pension and Other Postretirement Benefits Disclosure [Line Items] | |
Service period | 8 years |
Switzerland Plan | Minimum | |
Pension and Other Postretirement Benefits Disclosure [Line Items] | |
Expected cash contributions | $ 9.5 |
Switzerland Plan | Maximum | |
Pension and Other Postretirement Benefits Disclosure [Line Items] | |
Expected cash contributions | $ 11.7 |
Postretirement and Other Empl_5
Postretirement and Other Employee Benefits (Benefit Obligations and Plan Assets, Changes in Benefit Obligation and Plan Assets and Funded Status of Plans) (Details) - Foreign Plan - Switzerland Plan $ in Thousands | Sep. 30, 2019USD ($) |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Ending projected benefit obligation | $ (404,297) |
Ending fair value of plan assets | 330,793 |
Unfunded status | $ (73,504) |
Postretirement and Other Empl_6
Postretirement and Other Employee Benefits (Estimated Future Benefit Payments) (Details) - Foreign Plan - Switzerland Plan $ in Thousands | Feb. 29, 2020USD ($) |
Amount | |
2020 | $ 24,698 |
2021 | 21,698 |
2022 | 20,098 |
2023 | 18,398 |
2024 | 17,298 |
2025 through 2029 | $ 82,992 |
Postretirement and Other Empl_7
Postretirement and Other Employee Benefits (Accumulated Benefit Obligation in Excess of Plan Assets) (Details) - Foreign Plan - Switzerland Plan $ in Thousands | Sep. 30, 2019USD ($) |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Projected benefit obligation | $ (404,297) |
Accumulated benefit obligation | (394,427) |
Fair value of plan assets | $ 330,793 |
Derivative Financial Instrume_3
Derivative Financial Instruments and Hedging Activities (Additional Information) (Details) - Forward contracts - USD ($) $ in Millions | Feb. 29, 2020 | Aug. 31, 2019 |
Derivative [Line Items] | ||
Aggregate notional amount | $ 2,400 | $ 2,500 |
Forward foreign exchange contracts | Cash flow hedging | ||
Derivative [Line Items] | ||
Aggregate notional amount | $ 257.2 | $ 334.1 |
Derivative Financial Instrume_4
Derivative Financial Instruments and Hedging Activities (Fair Value of Derivative Instruments Recorded on Consolidated Statements of Operations) (Details) - Cost of revenue - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Foreign currency loss | $ 7,600 | $ 57,100 | $ 36,400 | $ 52,600 |
Forward foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain Recognized in Net Income on Derivatives | $ 6,801 | $ 49,794 | $ 33,518 | $ 42,808 |
Derivative Financial Instrume_5
Derivative Financial Instruments and Hedging Activities (Cash Flow Hedges) (Details) - Cash flow hedging | Feb. 29, 2020USD ($) |
Anticipated Debt Issuance | Interest rate swaps | |
Derivative [Line Items] | |
Aggregate notional amount | $ 200,000,000 |
Debt obligations | Interest rate swaps | |
Derivative [Line Items] | |
Aggregate notional amount | 550,000,000 |
Debt obligations | Interest Rate Swap Expiration August 24, 2020 | |
Derivative [Line Items] | |
Aggregate notional amount | 350,000,000 |
Debt obligations | Interest Rate Swap Expiring August 31, 2020 | |
Derivative [Line Items] | |
Aggregate notional amount | $ 200,000,000 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Change in AOCI, Net of Tax) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | $ 1,849,293 | $ 1,905,513 | $ 1,900,758 | $ 1,963,380 |
Other comprehensive (loss) income before reclassifications | (23,484) | |||
Amounts reclassified from AOCI | 3,335 | |||
Total other comprehensive (loss) income | (28,621) | 18,695 | (20,149) | 6,146 |
Ending Balance | 1,759,140 | 1,858,852 | 1,759,140 | 1,858,852 |
Foreign Currency Translation Adjustment | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | (14,298) | |||
Other comprehensive (loss) income before reclassifications | (10,875) | |||
Amounts reclassified from AOCI | 0 | |||
Total other comprehensive (loss) income | (10,875) | |||
Ending Balance | (25,173) | (25,173) | ||
Derivative Instruments | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | (39,398) | |||
Derivative Instruments | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Other comprehensive (loss) income before reclassifications | 1,471 | |||
Amounts reclassified from AOCI | 3,335 | |||
Total other comprehensive (loss) income | 4,806 | |||
Ending Balance | (34,592) | (34,592) | ||
Actuarial Loss | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | (28,033) | |||
Other comprehensive (loss) income before reclassifications | 0 | |||
Amounts reclassified from AOCI | 0 | |||
Total other comprehensive (loss) income | 0 | |||
Ending Balance | (28,033) | (28,033) | ||
Prior Service Cost | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | (608) | |||
Other comprehensive (loss) income before reclassifications | 0 | |||
Amounts reclassified from AOCI | 0 | |||
Total other comprehensive (loss) income | 0 | |||
Ending Balance | (608) | (608) | ||
Available for Sale Securities | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | (457) | |||
Other comprehensive (loss) income before reclassifications | (14,080) | |||
Amounts reclassified from AOCI | 0 | |||
Total other comprehensive (loss) income | (14,080) | |||
Ending Balance | (14,537) | (14,537) | ||
AOCI Attributable to Parent | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | (74,322) | (31,948) | (82,794) | (19,399) |
Total other comprehensive (loss) income | (28,621) | 18,695 | (20,149) | 6,146 |
Ending Balance | $ (102,943) | $ (13,253) | $ (102,943) | $ (13,253) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Reclassification from AOCI) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Cost of revenue | $ 5,694,958 | $ 5,612,116 | $ 12,646,817 | $ 11,598,741 |
Interest expense | 46,183 | 46,160 | 91,094 | 88,812 |
Income before income tax | 29,077 | 100,826 | 131,717 | 265,713 |
Gain (loss) to be reclassified in next 12 months | 3,400 | |||
Reclassification out of AOCI | Realized losses (gain) on derivative instruments | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Income before income tax | (3,548) | 3,335 | ||
Reclassification out of AOCI | Realized losses (gain) on derivative instruments | Foreign exchange contracts | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Cost of revenue | (3,117) | 4,197 | ||
Reclassification out of AOCI | Realized losses (gain) on derivative instruments | Interest rate contracts | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Interest expense | $ (431) | $ (862) | ||
Reclassification out of AOCI | Realized losses (gains) on derivative instruments | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Income before income tax | 3,501 | 17,686 | ||
Reclassification out of AOCI | Realized losses (gains) on derivative instruments | Foreign exchange contracts | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Cost of revenue | 3,931 | 18,546 | ||
Reclassification out of AOCI | Realized losses (gains) on derivative instruments | Interest rate contracts | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Interest expense | $ (430) | $ (860) |
Stockholders' Equity (Recognize
Stockholders' Equity (Recognized Stock-Based Compensation) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 15,109 | $ 15,697 | $ 45,332 | $ 32,946 |
Restricted stock units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | 12,301 | 13,604 | 40,484 | 28,655 |
Employee stock purchase plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 2,808 | $ 2,093 | $ 4,848 | $ 4,291 |
Stockholders' Equity (Additiona
Stockholders' Equity (Additional Information) (Details) - shares | 6 Months Ended | |
Feb. 29, 2020 | Feb. 28, 2019 | |
Time-based restricted stock units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting period | 3 years | |
Restricted stock units awarded (in shares) | 1,100,000 | 1,600,000 |
Performance-based restricted stock units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting period | 3 years | |
Restricted stock units awarded (in shares) | 300,000 | 400,000 |
Performance-based restricted stock units | Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting percentage | 150.00% | |
Market-based restricted stock units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting period | 3 years | |
Award vesting percentage | 200.00% | |
Restricted stock units awarded (in shares) | 300,000 | 400,000 |
2011 Stock Award and Incentive Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares available to be issued | 10,502,993 |
Stockholders' Equity (Stock-bas
Stockholders' Equity (Stock-based Compensation Information) (Details) $ in Thousands | 6 Months Ended |
Feb. 29, 2020USD ($) | |
Share-based Payment Arrangement [Abstract] | |
Unrecognized stock-based compensation expense—restricted stock units | $ 67,606 |
Remaining weighted-average period for restricted stock units expense | 1 year 6 months |
Stockholders' Equity (Common St
Stockholders' Equity (Common Stock Outstanding) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | Sep. 30, 2019 | |
Common stock outstanding: | |||||
Common stock outstanding, beginning balances (in shares) | 153,520,380 | ||||
Common stock outstanding, ending balance (in shares) | 151,407,526 | 151,407,526 | |||
2020 Share Repurchase Program | |||||
Common stock outstanding: | |||||
Share repurchase program, amount authorized | $ 600,000,000 | ||||
Number of shares repurchased (in shares) | 4,400,000 | ||||
Value of shares repurchased | $ 168,700,000 | ||||
Share repurchase program, remaining amount available | $ 431,300,000 | $ 431,300,000 | |||
Common Stock | |||||
Common stock outstanding: | |||||
Common stock outstanding, beginning balances (in shares) | 152,300,356 | 157,986,896 | 153,520,380 | 164,588,172 | |
Shares issued upon exercise of stock options (in shares) | 43,069 | 11,348 | 56,999 | 11,348 | |
Shares issued under employee stock purchase plan (in shares) | 595,717 | 691,971 | 595,717 | 692,325 | |
Vesting of restricted stock (in shares) | 322,872 | 219,764 | 2,239,612 | 1,905,927 | |
Purchases of treasury stock under employee stock plans (in shares) | (86,706) | (57,389) | (617,123) | (464,836) | |
Treasury shares purchased (in shares) | (1,767,782) | (5,974,261) | (4,388,059) | (13,854,607) | |
Common stock outstanding, ending balance (in shares) | 151,407,526 | 152,878,329 | 151,407,526 | 152,878,329 |
Concentration of Risk and Seg_3
Concentration of Risk and Segment Data (Additional Information) (Details) | 6 Months Ended |
Feb. 29, 2020customercountry | |
Revenue, Major Customer [Line Items] | |
Number of operating countries | country | 31 |
Net Revenue | Customer Concentration Risk | Five Largest Customers That Account for a Percentage of Net Revenue | |
Revenue, Major Customer [Line Items] | |
Top customers that comprise revenue | 5 |
Concentration risk, percentage | 47.00% |
Net Revenue | Customer Concentration Risk | Group of Customers That Account for 90% of Net Revenue | |
Revenue, Major Customer [Line Items] | |
Top customers that comprise revenue | 72 |
Concentration risk, percentage | 90.00% |
Concentration of Risk and Seg_4
Concentration of Risk and Segment Data (Revenues Disaggregated by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Net revenue | $ 6,125,083 | $ 6,066,990 | $ 13,630,781 | $ 12,573,265 |
Point in time | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 2,128,451 | 2,301,695 | 5,388,840 | 4,824,007 |
Over time | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 3,996,632 | 3,765,295 | 8,241,941 | 7,749,258 |
EMS | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 3,829,954 | 3,804,727 | 8,247,506 | 7,307,830 |
EMS | Point in time | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 986,570 | 836,863 | 2,377,480 | 1,257,524 |
EMS | Over time | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 2,843,384 | 2,967,864 | 5,870,026 | 6,050,306 |
DMS | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 2,295,129 | 2,262,263 | 5,383,275 | 5,265,435 |
DMS | Point in time | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 1,141,881 | 1,464,832 | 3,011,360 | 3,566,483 |
DMS | Over time | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | $ 1,153,248 | $ 797,431 | $ 2,371,915 | $ 1,698,952 |
Concentration of Risk and Seg_5
Concentration of Risk and Segment Data (Segment Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Reconciling items: | ||||
Amortization of intangibles | $ (13,577) | $ (7,777) | $ (29,717) | $ (15,423) |
Stock-based compensation expense and related charges | (15,109) | (15,697) | (45,332) | (32,946) |
Restructuring and related charges | (29,604) | (817) | (74,855) | (6,842) |
Interest income | 5,336 | 4,760 | 11,280 | 9,139 |
Interest expense | (46,183) | (46,160) | (91,094) | (88,812) |
Income | 29,077 | 100,826 | 131,717 | 265,713 |
Cayey, Puerto Rico | ||||
Reconciling items: | ||||
Insurance recoveries | 2,900 | |||
EMS | ||||
Reconciling items: | ||||
Restructuring and related charges | (14,700) | (300) | (32,100) | (4,700) |
DMS | ||||
Reconciling items: | ||||
Restructuring and related charges | (14,500) | (500) | (39,700) | (2,100) |
Reconciling items | ||||
Reconciling items: | ||||
Amortization of intangibles | (13,577) | (7,777) | (29,717) | (15,423) |
Stock-based compensation expense and related charges | (15,109) | (15,697) | (45,332) | (32,946) |
Restructuring and related charges | (29,604) | (817) | (74,855) | (6,842) |
Distressed customer charge | 0 | 0 | (14,963) | 0 |
Business interruption and impairment charges, net | 0 | 0 | 0 | 2,860 |
Acquisition and integration charges | (7,752) | (12,785) | (23,886) | (21,675) |
Impairment on securities | (12,205) | 0 | (12,205) | 0 |
Other expense (net of periodic benefit cost) | (11,277) | (11,757) | (24,274) | (25,307) |
Interest income | 5,336 | 4,760 | 11,280 | 9,139 |
Interest expense | (46,183) | (46,160) | (91,094) | (88,812) |
Operating Segments | ||||
Reconciling items: | ||||
Income | 159,448 | 191,059 | 436,763 | 444,719 |
Operating Segments | EMS | ||||
Reconciling items: | ||||
Income | 84,829 | 88,654 | 189,529 | 172,749 |
Operating Segments | DMS | ||||
Reconciling items: | ||||
Income | $ 74,619 | $ 102,405 | $ 247,234 | $ 271,970 |
Concentration of Risk and Seg_6
Concentration of Risk and Segment Data (External Net Revenue) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Segment Reporting Information [Line Items] | ||||
Net revenue | $ 6,125,083 | $ 6,066,990 | $ 13,630,781 | $ 12,573,265 |
Singapore | ||||
Segment Reporting Information [Line Items] | ||||
Net revenue | 1,216,369 | 1,588,931 | 3,247,285 | 3,907,604 |
Mexico | ||||
Segment Reporting Information [Line Items] | ||||
Net revenue | 1,153,619 | 1,052,781 | 2,344,957 | 2,048,202 |
China | ||||
Segment Reporting Information [Line Items] | ||||
Net revenue | 968,386 | 1,199,016 | 2,123,321 | 2,517,454 |
Malaysia | ||||
Segment Reporting Information [Line Items] | ||||
Net revenue | 505,424 | 414,433 | 996,230 | 793,961 |
Ireland | ||||
Segment Reporting Information [Line Items] | ||||
Net revenue | 181,790 | 205,480 | 435,875 | 281,199 |
Other | ||||
Segment Reporting Information [Line Items] | ||||
Net revenue | 1,035,235 | 891,648 | 2,050,948 | 1,837,335 |
Foreign source revenue | ||||
Segment Reporting Information [Line Items] | ||||
Net revenue | 5,060,823 | 5,352,289 | 11,198,616 | 11,385,755 |
U.S. | ||||
Segment Reporting Information [Line Items] | ||||
Net revenue | $ 1,064,260 | $ 714,701 | $ 2,432,165 | $ 1,187,510 |
Concentration of Risk and Seg_7
Concentration of Risk and Segment Data (Long-lived Assets) (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Aug. 31, 2019 |
Segment Reporting Information [Line Items] | ||
Long-lived assets | $ 4,397,612 | $ 4,212,858 |
China | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 1,488,548 | 1,579,904 |
Mexico | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 404,896 | 418,641 |
Switzerland | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 217,065 | 158 |
Malaysia | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 208,576 | 154,386 |
Singapore | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 148,583 | 156,028 |
Taiwan | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 118,315 | 123,608 |
Hungary | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 99,435 | 85,809 |
Vietnam | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 93,495 | 85,728 |
Other | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 470,688 | 462,261 |
Foreign source revenue | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 3,249,601 | 3,066,523 |
U.S. | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | $ 1,148,011 | $ 1,146,335 |
Restructuring and Related Cha_3
Restructuring and Related Charges (Summary) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and related charges | $ 29,604 | $ 817 | $ 74,855 | $ 6,842 |
EMS | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and related charges | 14,700 | 300 | 32,100 | 4,700 |
DMS | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and related charges | 14,500 | 500 | 39,700 | 2,100 |
Non-allocated charges | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and related charges | 400 | 0 | 3,100 | 0 |
Employee severance and benefit costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and related charges | 8,012 | 3,768 | 26,793 | 8,947 |
Lease costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and related charges | 6,229 | 0 | 6,468 | 9 |
Asset write-off costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and related charges | 9,109 | (3,396) | 25,425 | (3,212) |
Other costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and related charges | $ 6,254 | $ 445 | $ 16,169 | $ 1,098 |
Restructuring and Related Cha_4
Restructuring and Related Charges (Additional Information) (Details) $ in Millions | Feb. 29, 2020USD ($) |
2020 Restructuring Plan | |
Restructuring Cost and Reserve [Line Items] | |
Total pre-tax restructuring and other related costs expected to be recognized | $ 85 |
Restructuring and Related Cha_5
Restructuring and Related Charges (Liability Activity) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Restructuring Reserve [Roll Forward] | ||||
Restructuring related charges | $ 29,604 | $ 817 | $ 74,855 | $ 6,842 |
Employee Severance and Benefit Costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring related charges | 8,012 | 3,768 | 26,793 | 8,947 |
Lease Costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring related charges | 6,229 | 0 | 6,468 | 9 |
Asset Write-off Costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring related charges | 9,109 | $ (3,396) | 25,425 | $ (3,212) |
2020 Restructuring Plan | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance as of beginning of period | 5,931 | |||
Restructuring related charges | 59,136 | |||
Asset write-off charge and other non-cash activity | (31,155) | |||
Cash payments | (17,270) | |||
Balance as of end of period | 16,642 | 16,642 | ||
2020 Restructuring Plan | Employee Severance and Benefit Costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance as of beginning of period | 3,162 | |||
Restructuring related charges | 26,793 | |||
Asset write-off charge and other non-cash activity | (95) | |||
Cash payments | (16,415) | |||
Balance as of end of period | 13,445 | 13,445 | ||
2020 Restructuring Plan | Lease Costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance as of beginning of period | 1,980 | |||
Restructuring related charges | 6,468 | |||
Asset write-off charge and other non-cash activity | (5,637) | |||
Cash payments | (278) | |||
Balance as of end of period | 2,533 | 2,533 | ||
2020 Restructuring Plan | Asset Write-off Costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance as of beginning of period | 0 | |||
Restructuring related charges | 25,425 | |||
Asset write-off charge and other non-cash activity | (25,425) | |||
Cash payments | 0 | |||
Balance as of end of period | 0 | 0 | ||
2020 Restructuring Plan | Other Related Costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance as of beginning of period | 789 | |||
Restructuring related charges | 450 | |||
Asset write-off charge and other non-cash activity | 2 | |||
Cash payments | (577) | |||
Balance as of end of period | $ 664 | $ 664 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Feb. 29, 2020 | Feb. 28, 2019 | Nov. 30, 2018 | Feb. 29, 2020 | Feb. 28, 2019 | |
Income Tax Disclosure [Abstract] | |||||
U.S. federal statutory income tax rate | 21.00% | 21.00% | 21.00% | 21.00% | |
Effective income tax rate | 108.90% | 33.00% | 71.00% | 27.90% | |
Income tax benefit, Tax Cuts and Jobs Act of 2017 | $ (13.3) |
Earnings Per Share and Divide_3
Earnings Per Share and Dividends (Earnings Per Share) (Details) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 29, 2020 | Feb. 28, 2019 | |
Restricted stock units | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Common shares excluded from computation of diluted earnings per share | 4,499 | 1,348 | 1,035 | 1,348 |
Employee stock purchase plan | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Common shares excluded from computation of diluted earnings per share | 164 | 0 | 0 | 0 |
Stock appreciation rights | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Common shares excluded from computation of diluted earnings per share | 28 | 0 | 0 | 0 |
Earnings Per Share and Divide_4
Earnings Per Share and Dividends (Dividends) (Details) - USD ($) $ / shares in Units, $ in Thousands | Jan. 23, 2020 | Oct. 17, 2019 | Jan. 24, 2019 | Oct. 18, 2018 |
Earnings Per Share [Abstract] | ||||
Dividend per Share | $ 0.08 | $ 0.08 | $ 0.08 | $ 0.08 |
Total of Cash Dividends Declared | $ 12,517 | $ 12,647 | $ 12,706 | $ 13,226 |
Business Acquisitions (Details)
Business Acquisitions (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Apr. 29, 2019 | Feb. 29, 2020 | Aug. 31, 2019 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 700,597 | $ 622,255 | ||
JJMD | ||||
Business Acquisition [Line Items] | ||||
Amount of cash paid for business acquisitions | $ 111,800 | $ 166,200 | ||
Assets acquired | 199,700 | 172,300 | ||
Liabilities assumed | 87,900 | $ 6,100 | ||
Contract assets | 83,200 | |||
Inventory | 35,100 | |||
Goodwill | 70,400 | |||
Pension obligation | $ 73,500 |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value Measurements on a Recurring Basis) (Details) - Fair Value, Recurring - USD ($) $ in Thousands | Feb. 29, 2020 | Aug. 31, 2019 |
Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Short-term investments | $ 16,652 | $ 14,088 |
Level 2 | Prepaid expenses and other current assets | Designated as Hedging Instruments | Foreign exchange contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Forward foreign exchange contracts | 2,730 | 904 |
Level 2 | Prepaid expenses and other current assets | Not Designated as Hedging Instruments | Foreign exchange contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Forward foreign exchange contracts | 13,726 | 6,878 |
Level 2 | Accrued expenses | Designated as Hedging Instruments | Foreign exchange contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Liabilities | 5,061 | 15,999 |
Level 2 | Accrued expenses | Designated as Hedging Instruments | Interest rate swaps | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Liabilities | 4,020 | 5,918 |
Level 2 | Accrued expenses | Not Designated as Hedging Instruments | Foreign exchange contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Liabilities | 15,474 | 55,391 |
Level 2 | Other liabilities | Designated as Hedging Instruments | Forward interest rate swaps | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Liabilities | 41,304 | 35,045 |
Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior Non-Convertible Preferred Stock | 20,900 | 33,102 |
Cash equivalents | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | $ 35,925 | $ 27,804 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets Held For Sale Measured At Fair Value) (Details) - Fair Value, Nonrecurring - Level 2 - USD ($) | 6 Months Ended | |
Feb. 29, 2020 | Aug. 31, 2019 | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Impairment charges on Assets held for sale | $ 0 | |
Carrying Amount | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Assets held for sale (1) | $ 30,120,000 | $ 0 |
Fair Value Measurements (Fair_2
Fair Value Measurements (Fair Value of Financial Instruments) (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Jan. 15, 2020 | Aug. 31, 2019 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | $ 2,724,200 | $ 2,496,465 | |
Senior Notes | 5.625% Senior Notes | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior Notes, stated interest rate | 5.625% | ||
Notes payable and long-term debt | $ 399,332 | 398,886 | |
Senior Notes | 5.625% Senior Notes | Level 2 | Carrying Amount | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | 399,332 | 398,886 | |
Senior Notes | 5.625% Senior Notes | Level 2 | Fair Value | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | $ 409,692 | 416,000 | |
Senior Notes | 4.700% Senior Notes | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior Notes, stated interest rate | 4.70% | ||
Notes payable and long-term debt | $ 498,332 | 498,004 | |
Senior Notes | 4.700% Senior Notes | Level 2 | Carrying Amount | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | 498,332 | 498,004 | |
Senior Notes | 4.700% Senior Notes | Level 2 | Fair Value | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | $ 535,370 | 525,890 | |
Senior Notes | 4.900% Senior Notes | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior Notes, stated interest rate | 4.90% | ||
Notes payable and long-term debt | $ 299,178 | 299,057 | |
Senior Notes | 4.900% Senior Notes | Level 3 | Carrying Amount | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | 299,178 | 299,057 | |
Senior Notes | 4.900% Senior Notes | Level 3 | Fair Value | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | $ 326,619 | 318,704 | |
Senior Notes | 3.950% Senior Notes | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior Notes, stated interest rate | 3.95% | ||
Notes payable and long-term debt | $ 495,132 | 494,825 | |
Senior Notes | 3.950% Senior Notes | Level 2 | Carrying Amount | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | 495,132 | 494,825 | |
Senior Notes | 3.950% Senior Notes | Level 2 | Fair Value | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | $ 539,835 | 509,845 | |
Senior Notes | 3.600% Senior Notes | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior Notes, stated interest rate | 3.60% | 3.60% | |
Notes payable and long-term debt | $ 494,470 | 0 | |
Senior Notes | 3.600% Senior Notes | Level 2 | Carrying Amount | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | 494,470 | 0 | |
Senior Notes | 3.600% Senior Notes | Level 2 | Fair Value | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable and long-term debt | $ 510,905 | $ 0 |