Asset Retirement Obligations

3 Months Ended

Nov. 27, 2021

Asset Retirement Obligation Disclosure [Abstract]

Asset Retirement Obligations

11. Asset Retirement Obligations

The Company recognizes asset retirement obligations in the period in which they are incurred if a reasonable estimate of fair value can be made. The associated asset retirement costs are capitalized as part of the carrying amount of the long-lived asset. The Company

continues to depreciate, on a straight-line basis, the amount added to property, plant and equipment and recognizes accretion expense in connection with the discounted liability over the various remaining lives which range from approximately 1 to 23 years.

A reconciliation of the Company’s asset retirement liability for the thirteen weeks ended November 27, 2021 was as follows (in thousands):

	November 27, 2021
Beginning balance as of August 28, 2021	$	14,887
Accretion expense		246
Effect of exchange rate changes		(144	)
Balance as of November 27, 2021	$	14,989

Asset retirement obligations are included in long-term accrued liabilities in the Company’s consolidated balance sheets.