Retirement Benefits

3 Months Ended

Nov. 30, 2014

Retirement Benefits [Abstract]

Retirement Benefits

Note 14.  Retirement Benefits

The principal retirement plan for employees is the Walgreen Profit-Sharing Retirement Trust to which both the Company and participating employees contribute.  The Company's contribution, which has historically related to FIFO earnings before interest and taxes (EBIT) and a portion of which is in the form of a guaranteed match, is determined annually at the discretion of the Board of Directors.  The profit-sharing provision was $75 million for the quarter compared to $80 million for the same period last year.

The Company provides certain health insurance benefits for retired employees who meet eligibility requirements, including age and years of service.  The costs of these benefits are accrued over the service life of the employee. The Company's postretirement health benefit plan is not funded.

Components of net periodic benefit costs (In millions):

	Three Months Ended November 30,
	2014			2013
Service cost	$	3		$	2
Interest cost		4			4
Amortization of actuarial loss		5			3
Amortization of prior service cost		(6	)		(5	)
Total postretirement benefit cost	$	6		$	4