Acquisitions (Tables)

9 Months Ended

May. 31, 2015

Acquisitions [Abstract]

Schedule of Impact of Equity Transaction

The preliminary impact of the equity transaction is as follows (in millions):

	Amount
Consideration attributable to WBAD	$	2,569
Less:  Carrying value of the Company’s pre-existing noncontrolling interest		130
Impact to additional paid in capital	$	2,439

Schedule of Business Acquisition Total Consideration Paid

The following table summarizes the consideration paid to acquire the remaining 55% interest in Alliance Boots and the preliminary amounts of identified assets acquired and liabilities assumed at the date of the Second Step Transaction (in millions).

Consideration paid
Cash	$	4,874
Common stock		10,977
Total consideration transferred		15,851
Less: consideration attributed to WBAD		(2,569	)
		13,282
Fair value of the investment in Alliance Boots held before the Second Step Transaction		8,293
Total consideration	$	21,575

Schedule of Identifiable Assets Acquired and Liabilities Assumed Including Noncontrolling Interests

Identifiable assets acquired and liabilities assumed including noncontrolling interests
Cash and cash equivalents	$	413
Accounts receivable		3,803
Inventories		3,713
Other current assets		894
Property, plant and equipment		3,834
Intangible assets		10,658
Other non-current assets		1,960
Trade accounts payable, accrued expenses and other liabilities		(7,708	)
Borrowings		(9,010	)
Deferred income taxes		(2,182	)
Other non-current liabilities		(396	)
Noncontrolling interests		(348	)
Total identifiable net assets and noncontrolling interests		5,631
Goodwill	$	15,944

Schedule of Preliminary Identified Definite and Indefinite Lived Intangible Assets

The preliminary identified definite and indefinite lived intangible assets were as follows:

Definite-Lived Intangible Assets	Weighted-Average Useful Life (in years)		Amount (in millions)
Customer relationships		12	$	1,329
Loyalty card holders		12		756
Trade names and trademarks		10		303
Favorable lease interests		3		92
Total			$	2,480

Indefinite-Lived Intangible Assets	Amount (in millions)
Trade names and trademarks	$	5,608
Pharmacy licenses		2,570
Total	$	8,178

Schedule of Unaudited Pro Forma Results Prepared for Comparative Purposes

Accordingly, the unaudited condensed pro forma results have been prepared for comparative purposes only and are not intended to be indicative of what the Company’s results would have been had the Second Step Transaction occurred at the beginning of the periods presented or the results which may occur in the future.

	Pro forma Three months ended May 31,				Pro forma Nine months ended May 31,
	2015		2014		2015		2014
(in millions, except per share amounts)
Net sales	$	28,795	$	28,740	$	87,969	$	85,739
Net earnings		1,302		952		3,955		2,940
Net earnings per common share:
Basic	$	1.19	$	0.87	$	3.85	$	2.68
Diluted		1.18		0.86		3.81		2.65

Schedule of Actual Results from Business Operation

Actual results from Alliance Boots operations included in the Consolidated Condensed Statements of Earnings since December 31, 2014, the date of the Second Step Transaction, are as follows (in millions, except per share amounts):

	Three months ended May 31, 2015		Nine months ended May 31, 2015
(in millions, except per share amounts)
Net sales	$	8,370	$	13,895
Net earnings		487		817
Net earnings per common share:
Basic	$	0.45	$	0.80
Diluted		0.44		0.79