Recent Accounting Pronouncements (Tables)

6 Months Ended

Feb. 23, 2019

Schedule of Impact of New Accounting Pronouncements

As a result of applying the modified retrospective method to adopt the new revenue guidance, the adjustments set forth in the table below were made to accounts on the consolidated balance sheet as of August 26, 2018:

Consolidated Balance Sheet (In thousands)	August 25, 2018		Capitalization of Contract Costs		August 26, 2018
Assets
Prepaid expenses and other current assets	$	21,899	$	10,789	$	32,688
Total current assets		784,800		10,789		795,589
Other assets		30,259		42,405		72,664
Total assets	$	1,843,386	$	53,194	$	1,896,580
Liabilities and shareholders’ equity
Accrued and deferred income taxes	$	74,070	$	13,761	$	87,831
Total liabilities		378,419		13,761		392,180
Retained earnings		1,405,239		39,433		1,444,672
Total shareholders’ equity		1,464,967		39,433		1,504,400
Total liabilities and shareholders’ equity	$	1,843,386	$	53,194	$	1,896,580

The impacts of adopting this standard on the thirteen and twenty-six weeks ended February 23, 2019 Consolidated Financial Statements are presented in the following

tables:

	Thirteen weeks ended February 23, 2019
Consolidated Statement of Income (In thousands, except per share data)	As Reported		Under Historical Guidance		Impact of Adopting New Revenue Standard
Operating expenses:
Selling and administrative expenses	$	68,321	$	69,630	$	(1,309	)
Total operating expenses		375,039		376,348		(1,309	)
Operating income		62,446		61,137		1,309
Income before income taxes		63,395		62,086		1,309
Provision for income taxes		15,789		15,463		326
Net income	$	47,606	$	46,623	$	983
Income per share – Diluted:	$	2.48	$	2.43	$	0.05

	Twenty-six weeks ended February 23, 2019
Consolidated Statement of Income (In thousands, except per share data)	As Reported		Under Historical Guidance		Impact of Adopting New Revenue Standard
Operating expenses:
Selling and administrative expenses	$	154,280	$	156,505	$	(2,225	)
Total operating expenses		763,163		765,388		(2,225	)
Operating income		112,872		110,647		2,225
Income before income taxes		115,354		113,129		2,225
Provision for income taxes		29,428		28,861		567
Net income	$	85,926	$	84,268	$	1,658
Income per share – Diluted:	$	4.46	$	4.37	$	0.09

	Balance at February 23, 2019
Consolidated Balance Sheet (In thousands)	As Reported		Under Historical Guidance		Impact of Adopting New Revenue Standard
Assets
Prepaid expenses and other current assets	$	35,195	$	24,406	$	10,789
Total current assets		849,096		838,307		10,789
Other assets		75,447		30,817		44,630
Total assets	$	1,954,106	$	1,898,687	$	55,419
Liabilities and shareholders’ equity
Accrued and deferred income taxes	$	87,688	$	73,360	$	14,328
Total liabilities		373,316		358,988		14,328
Retained earnings		1,520,431		1,479,340		41,091
Total shareholders’ equity		1,580,790		1,539,699		41,091
Total liabilities and shareholders’ equity	$	1,954,106	$	1,898,687	$	55,419