Available-for-Sale Investments

9 Months Ended

May 31, 2016

Available-for-Sale Investments [Abstract]

Available-for-Sale Investments

Note 6. Available-for-Sale Investments

A summary of the cost and fair value of available-for-sale securities, with gross unrealized gains and losses, is as follows (in millions):

	May 31, 2016
	Amortized cost basis			Gross unrealized gains			Gross unrealized losses				Fair value
Other investments		$	37		$	-		$	(2	)		$	35

	August 31, 2015
	Amortized cost basis			Gross unrealized gains			Gross unrealized losses				Fair value
AmerisourceBergen common stock		$	717		$	430		$	-			$	1,147
Other investments			37			-			(1	)			36
Total available-for-sale investments		$	754		$	430		$	(1	)		$	1,183

On March 18, 2016, the Company exercised warrants to purchase 22,696,912 shares of AmerisourceBergen common stock at an exercise price of $51.50 per share, which resulted in a change in method of accounting for the Company’s investment to the equity method of accounting. In conjunction with the change to the equity method of accounting, the Company recognized $268 million of Other Comprehensive Income to Other income (expense) within the Consolidated Condensed Statement of Earnings. See Note 5, Equity Method Investments, Note 10, Financial Instruments and Note 19, Recent Accounting Pronouncements for further information.

For the three and nine month periods ended May 31, 2016, there were $1 million and $4 million, respectively, of available-for-sale securities sold. There were no sales of available-for-sale investments for the three and nine month periods ended May 31, 2015.

The Company’s other available-for-sale investments are classified within other current assets in the Consolidated Condensed Balance Sheets.