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Goodwill and other intangible assets
 12 Months Ended
Aug. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and other intangible assets Goodwill and other intangible assets
Goodwill and indefinite-lived intangible assets are evaluated for impairment annually during the fourth quarter, or more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit or intangible asset below its carrying value.

Based on the analysis completed as of the June 1, 2023 valuation date, the fair values of the Company’s reporting units exceeded their carrying amounts ranging from approximately 3% to approximately 227%, except for VillageMD and CareCentrix reporting units where the fair values approximated the carrying values. As of August 31, 2023 and August 31, 2022, the Boots reporting unit's fair value was in excess of its carrying value by approximately 3% and 7%, respectively. As of August 31, 2023 and August 31, 2022, the carrying value of goodwill within the Boots reporting unit was $977 million and $906 million, respectively.

In the third quarter of fiscal 2023, as a result of pharmacy performance and the decision to close additional stores, the Company completed a quantitative impairment analysis for certain indefinite-lived intangible assets related to the Boots reporting unit within the International segment. Based on this analysis, the Company recorded an impairment loss of $431 million within Selling, general and administrative expenses within the Consolidated Statement of Earnings related to pharmacy license intangible assets. The fair values of indefinite-lived intangibles within the Boots reporting unit exceeded their carrying value amounts ranging from approximately 3% to approximately 32%. As of August 31, 2023 and 2022, the carrying value of the indefinite-lived intangibles within the Boots reporting unit was $5.5 billion.

In fiscal 2022 and 2021, the Company recorded, within Selling, general and administrative expenses, an impairment loss of $783 million and $49 million, respectively, related to indefinite-lived pharmacy license and trade name intangible assets in the Boots reporting unit, part of the International segment.

Definite-lived intangible assets are evaluated for impairment whenever events or circumstances indicate that a certain asset or asset group may be impaired. No material impairment was recorded for definite-lived intangibles in fiscal 2023, 2022 or 2021.

Changes in the carrying amount of goodwill by reportable segment consist of the following activity (in millions):
Goodwill roll forward:U.S. Retail PharmacyInternationalU.S. HealthcareWalgreens Boots Alliance, Inc.
August 31, 2021$10,947 $1,474 $— $12,421 
Acquisitions 1
— — 10,040 10,040 
Currency translation adjustments and other— (181)— (181)
August 31, 2022$10,947 $1,293 $10,040 $22,280 
Acquisitions 2
$— $— $5,588 $5,588 
Adjustments 3
— — 252 252 
Currency translation adjustments and other— 85 (18)67 
August 31, 2023$10,947 $1,378 $15,863 $28,187 
1.In fiscal 2022, the Company acquired controlling equity interests in VillageMD, Shields and CareCentrix which resulted in an increase to goodwill of $8.0 billion, $1.5 billion and $454 million, respectively.
2.In fiscal 2023, additions to goodwill primarily relate to VillageMD's acquisition of Summit.
3.Includes measurement period adjustments related to the acquisitions of VillageMD, Shields and CareCentrix. See Note 3. Acquisitions and other investments.
The carrying amount and accumulated amortization of intangible assets consist of the following (in millions):
Intangible assets:August 31, 2023August 31, 2022
Gross amortizable intangible assets  
Customer relationships and loyalty card holders 1
$4,658 $4,619 
Provider networks3,202 1,247 
Trade names and trademarks2,300 760 
Developed technology469 436 
Others 2
137 93 
Total gross amortizable intangible assets$10,767 $7,155 
Accumulated amortization 
Customer relationships and loyalty card holders 1
$1,784 $1,548 
Provider networks233 64 
Trade names and trademarks401 246 
Developed technology143 56 
Others 2
48 39 
Total accumulated amortization2,609 1,953 
Total amortizable intangible assets, net$8,158 $5,202 
Indefinite-lived intangible assets  
Trade names and trademarks$4,650 $4,319 
Pharmacy licenses828 1,209 
Total indefinite-lived intangible assets$5,477 $5,528 
Total intangible assets, net$13,635 $10,730 

1Includes purchased prescription files.
2Includes certain reclassifications to conform to current period presentation.

Amortization expense for intangible assets was $815 million, $639 million and $523 million in fiscal 2023, 2022 and 2021, respectively.

Estimated future annual amortization expense for the next five fiscal years for intangible assets recorded at August 31, 2023 is as follows (in millions):
 20242025202620272028
Estimated annual amortization expense$930 $884 $852 $773 $697