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Leases (Tables)
 12 Months Ended
Aug. 31, 2020
Leases [Abstract]  
Schedule of supplemental balance sheet information
Supplemental balance sheet information related to leases were as follows (in millions):
August 31, 2020
Operating Leases:
Operating lease right-of-use assets$21,724 
Operating lease obligations - current$2,426 
Operating lease obligations - non current 21,973 
Total operating lease obligations$24,399 
Finance Leases:
Right-of-use assets included in:
 Property, plant and equipment, net$769 
Lease obligations included in:
Accrued expenses and other liabilities$34 
Other non-current liabilities1,020 
Total finance lease obligations$1,054 
Schedule of supplemental income statement information
Supplemental income statement information related to leases were as follows (in millions):
August 31, 2020
Operating lease cost
Fixed$3,332 
Variable1
761 
Finance lease cost
Amortization$40 
Interest56 
Sublease income76
Impairment of right-of-use assets2
214 
Impairment of finance lease assets 2
24 
Gains on sale-leaseback transactions3
308 
1Includes real estate property taxes, common area maintenance, insurance and rental payments based on sales volume.
2For the fiscal year August 31, 2020, total impairments include $177 million to Transformational Cost Management and Store Optimization programs. See note 3, exit and disposal activities.
3Recorded within selling, general and administrative expenses.

Other supplemental information were as follows (in millions):
August 31, 2020
Cash paid for amounts included in the measurement of lease obligations
Operating cash flows from operating leases$3,315 
Operating cash flows from finance leases48 
Financing cash flows from finance leases51 
Total$3,414 
Right-of-use assets obtained in exchange for new lease obligations:
Operating leases$2,494 
Finance leases65 
Total$2,559 
Average lease term and discount rate as of August 31, 2020 were as follows:
August 31, 2020
Weighted average remaining lease term in years:
Operating leases10.7
Finance leases20.7
Weighted average discount rate
Operating leases4.95 %
Finance leases5.39 %
Schedule of future lease payments under operating leases
The aggregate future lease payments for operating and finance leases as of August 31, 2020 were as follows (in millions):

Fiscal yearFinance leaseOperating lease
2021$96 $3,529 
202294 3,374 
202393 3,210 
202493 3,049 
202591 2,868 
Later1,230 15,559 
Total undiscounted minimum lease payments$1,697 $31,589 
Less: Present value discount(643)(7,190)
Lease liability$1,054 $24,399 
Schedule of future lease payments under finance leases
The aggregate future lease payments for operating and finance leases as of August 31, 2020 were as follows (in millions):

Fiscal yearFinance leaseOperating lease
2021$96 $3,529 
202294 3,374 
202393 3,210 
202493 3,049 
202591 2,868 
Later1,230 15,559 
Total undiscounted minimum lease payments$1,697 $31,589 
Less: Present value discount(643)(7,190)
Lease liability$1,054 $24,399 
Schedule of liability for facility closings and related lease termination charges
The changes in liability for facility closings and related lease termination charges include the following (in millions):
 2019
Balance at beginning of period$964 
Provision for present value of non-cancelable lease payments on closed facilities90 
Changes in assumptions56 
Accretion expense39 
Other - non cash1
160 
Cash payments, net of sublease income(316)
Balance at end of period$993 
1Primarily unfavorable lease liabilities from acquired Rite Aid stores.
Schedule of rent expense
Rental expense prior to the adoption of ASC 842 Leases, which includes common area maintenance, insurance and taxes, where appropriate, was as follows (in millions):
 20192018
Minimum rentals$3,622 $3,447 
Contingent rentals74 68 
Less: sublease rental income(66)(67)
 $3,631 $3,448