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Leases (Tables)
 9 Months Ended
May 31, 2023
Leases [Abstract]  
Schedule of Supplemental Balance Sheet Information
Supplemental balance sheet information related to leases was as follows (in millions):

Balance Sheet supplemental information:May 31, 2023August 31, 2022
Operating leases:
Operating lease right-of-use assets$22,051 $21,259 
Operating lease obligations - current$2,356 $2,286 
Operating lease obligations - non-current 22,181 21,517 
Total operating lease obligations$24,537 $23,803 
Finance leases:
Right-of-use assets included in:
Property, plant and equipment, net$687 $645 
Lease obligations included in:
Accrued expenses and other liabilities$55 $37 
Other non-current liabilities927 899 
Total finance lease obligations$982 $936 
Schedule of Supplemental Income Statement and Other Information
Supplemental income statement information related to leases was as follows (in millions):
Three months ended May 31,Nine months ended May 31,
Statement of Earnings supplemental information:2023202220232022
Operating lease cost
Fixed$879 $811 $2,545 $2,431 
Variable 1
218 198 613 600 
Finance lease cost
Amortization$15 $11 $36 $33 
Interest14 13 38 38 
Sublease income$29 $24 $87 $76 
Impairment of right-of-use assets38 11 109 82 
Gain on sale-leaseback 2
U.S. Retail Pharmacy$263 $114 $647 $349 
International 3
30 61 178 61 
Total gain on sale-leaseback 2
$293 $175 $825 $410 

1.Includes real estate property taxes, common area maintenance, insurance and rental payments based on sales volume.
2.Recorded within Selling, general and administrative expenses within the Consolidated Condensed Statements of Earnings.
3.Includes gain on sale-leaseback related to Germany wholesale business of $30 million and $178 million for the three and nine months ended May 31, 2023, respectively, and $61 million for Boots UK for the three and nine months ended May 31, 2022. The gain for the three and nine months ended May 31, 2023 includes $6 million and $47 million, respectively, related to the optimization of the Germany warehouse locations as part of acquisition integration activities.

Nine months ended May 31,
Other supplemental information:20232022
Cash paid for amounts included in the measurement of lease obligations
Operating cash flows from operating leases$2,668 $2,515 
Operating cash flows from finance leases35 35 
Financing cash flows from finance leases38 32 
Total$2,741 $2,582 
Right-of-use assets obtained in exchange for new lease obligations
Operating leases$1,773 $1,380 
Finance leases23 11 
Total$1,796 $1,391 
Weighted average lease terms and discount rates for real estate leases were as follows:
Weighted average lease terms and discount rates:May 31, 2023August 31, 2022
Weighted average remaining lease term in years
Operating leases9.710.0
Finance leases17.619.0
Weighted average discount rate
Operating leases5.29 %4.83 %
Finance leases5.25 %5.19 %
Schedule of Aggregate Future Lease Payments Under Operating Leases
The aggregate future lease payments for operating and finance leases as of May 31, 2023 were as follows (in millions):

Future lease payments (fiscal years):Finance lease
Operating lease 1,2
2023 (Remaining period)$27 $920 
2024106 3,632 
2025102 3,543 
2026100 3,452 
202798 3,361 
202889 3,194 
Later963 13,703 
Total undiscounted minimum lease payments$1,486 $31,805 
Less: Present value discount504 7,268 
Lease liability$982 $24,537 
Schedule of Aggregate Future Lease Payments Under Finance Leases
The aggregate future lease payments for operating and finance leases as of May 31, 2023 were as follows (in millions):

Future lease payments (fiscal years):Finance lease
Operating lease 1,2
2023 (Remaining period)$27 $920 
2024106 3,632 
2025102 3,543 
2026100 3,452 
202798 3,361 
202889 3,194 
Later963 13,703 
Total undiscounted minimum lease payments$1,486 $31,805 
Less: Present value discount504 7,268 
Lease liability$982 $24,537