Financial instruments (Tables)

6 Months Ended

Feb. 29, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Notional Amounts, Fair Value and Balance Sheet Presentation of Derivative Instruments Outstanding

The notional amounts and fair value of derivative instruments outstanding were as follows (in millions):

February 29, 2024	Notional		Fair Value		Location in Consolidated Condensed Balance Sheets
Derivatives designated as hedges:
Cross currency interest rate swaps	$	350	$	8	Other current assets
Cross currency interest rate swaps	300		14		Other non-current assets
Foreign currency forwards	874		3		Other current liabilities
Derivatives not designated as hedges:
Foreign currency forwards	$	537	$	1	Other current assets
Total return swaps	174		3		Other current assets
Foreign currency forwards	3,480		12		Other current liabilities
Total return swaps	28		—		Other current liabilities
Variable prepaid forward contracts	3,726		3,861		Other non-current liabilities

August 31, 2023	Notional		Fair Value		Location in Consolidated Condensed Balance Sheets
Derivatives designated as hedges:
Foreign currency forwards	$	31	$	1	Other current assets
Cross currency interest rate swaps	650		28		Other non-current assets
Foreign currency forwards	805		2		Other current liabilities
Cross currency interest rate swaps	102		2		Other current liabilities
Foreign currency forwards	4		—		Other non-current liabilities
Derivatives not designated as hedges:
Foreign currency forwards	$	3,139	$	6	Other current assets
Total return swaps	168		1		Other current assets
Foreign currency forwards	817		2		Other current liabilities
Total return swaps	26		1		Other current liabilities
Variable prepaid forward contracts	3,195		2,548		Other non-current liabilities

Schedule of Derivative Instruments

The terms of the VPF transactions were as follows (in millions):

Transaction date	Shares pledged and maximum shares subject to forward sale	Prepayment amount		Forward settlement date
May 11, 2023	4.6	$	644	Fourth quarter, fiscal 2025
June 15, 2023	2.2	325		Third quarter, fiscal 2025
August 3, 2023	5.3	801		First quarter, fiscal 2026
August 4, 2023	5.3	797		Third quarter, fiscal 2026
November 9, 2023	2.7	424		Fourth quarter, fiscal 2026
	20.0	$	2,991

Gains and (Losses) due to Changes in Fair Value Recognized in Earnings

The income (expenses) due to changes in fair value of derivative instruments were recognized in the Consolidated Condensed Statements of Earnings as follows (in millions):

		Three months ended				Six months ended
	Location in Consolidated Condensed Statements of Earnings	February 29, 2024		February 28, 2023		February 29, 2024	February 28, 2023
Total return swap	Selling, general and administrative expenses	$	18	$	(3)	17	$	—
Foreign currency forwards	Other income (expense), net 1	(26)		(73)		33	(92)
Variable prepaid forward	Other income (expense), net	(522)		—		(888)	—

1.Excludes remeasurement gains and losses on economically hedged assets and liabilities.