Fair Value Measurements (Tables)

9 Months Ended

May 31, 2014

Fair Value Measurements, Recurring and Nonrecurring [Table Text Block]



	May 31, 2014
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(Dollars in thousands)
Assets:
Readily marketable inventories	$	—	$	1,159,581	$	—	$	1,159,581
Commodity and freight derivatives	86,639		457,559		—		544,198
Foreign currency derivatives	182		—		—		182
Interest rate swap derivatives	—		2		—		2
Other assets	89,848		—		—		89,848
Total Assets	$	176,669	$	1,617,142	$	—	$	1,793,811
Liabilities:
Commodity and freight derivatives	$	79,284	$	330,864	$	—	$	410,148
Interest rate swap derivatives	—		170		—		170
Foreign currency derivatives	2,153		—		—		2,153
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests	—		—		130,159		130,159
Total Liabilities	$	81,437	$	331,034	$	130,159	$	542,630



	August 31, 2013
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(Dollars in thousands)
Assets:
Readily marketable inventories	$	—	$	1,203,383	$	—	$	1,203,383
Commodity and freight derivatives	58,441		410,233		—		468,674
Interest rate swap derivatives	—		24,139		—		24,139
Foreign currency derivatives	6,894		185		—		7,079
Other assets	114,084		—		—		114,084
Total Assets	$	179,419	$	1,637,940	$	—	$	1,817,359
Liabilities:
Commodity and freight derivatives	$	59,184	$	399,710	$	—	$	458,894
Interest rate swap derivatives	—		248		—		248
Foreign currency derivatives	5,925		—		—		5,925
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests	—		—		134,134		134,134
Total Liabilities	$	65,109	$	399,958	$	134,134	$	599,201



	May 31, 2013
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(Dollars in thousands)
Assets:
Readily marketable inventories	$	—	$	1,433,639	$	—	$	1,433,639
Commodity and freight derivatives	53,375		456,883		—		510,258
Interest rate swap derivatives	—		9,160		—		9,160
Foreign currency derivatives	5,043		—		—		5,043
Other assets	131,901		—		—		131,901
Total Assets	$	190,319	$	1,899,682	$	—	$	2,090,001
Liabilities:
Commodity and freight derivatives	$	95,997	$	356,292	$	—	$	452,289
Interest rate swap derivatives	—		304		—		304
Foreign currency derivatives	3,883		—		—		3,883
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests	—		—		146,245		146,245
Total Liabilities	$	99,880	$	356,596	$	146,245	$	602,721

Fair Value Inputs, Liabilities, Quantitative Information



Quantitative Information about Level 3 Fair Value Measurements
	Fair Value	Valuation		Range
Item	May 31, 2014	Technique	Unobservable Input	(Weighted Average)
Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests	$130,159	Adjusted Black-Scholes option pricing model	Forward crack spread margin on May 31, 2014 (a)	$14.34-$17.72 ($16.55)
			Contractual target crack spread margin (b)	$17.50
			Expected volatility (c)	128.59%
			Risk-free interest rate (d)	1.80%-2.60% (2.23%)
			Expected life - years (e)	0.25-3.25 (1.89)

(a) Represents forward crack spread margin quotes and management estimates based on future settlement dates

(b) Represents the minimum contractual threshold that would require settlement with the counterparties

(d) Represents yield curves for U.S. Treasury securities

(e) Represents the range in the number of years remaining related to each contingent payment

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following table represents a reconciliation of liabilities measured at fair value using significant unobservable inputs (Level 3) for the nine months ended May 31, 2014 and 2013, respectively:



	Level 3 Liabilities
	Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests
	2014			2013
	(Dollars in thousands)
Balances, August 31, 2013 and 2012, respectively	$	134,134		$	127,516
Total (gains) losses included in cost of goods sold	(3,975		)	18,729
Balances, May 31, 2014 and 2013, respectively	$	130,159		$	146,245

The following table represents a reconciliation of liabilities measured at fair value using significant unobservable inputs (Level 3) for the three months ended May 31, 2014 and 2013, respectively:



	Level 3 Liabilities
	Accrued liability for contingent crack spread payments related to purchase of noncontrolling interests
	2014			2013
	(Dollars in thousands)
Balances, February 28, 2014 and 2013, respectively	$	140,631		$	140,987
Total (gains) losses included in cost of goods sold	(10,472		)	5,258
Balances, May 31, 2014 and 2013, respectively	$	130,159		$	146,245

- Definition

Tabular disclosure of financial instruments measured at fair value, including those classified in shareholders' equity measured on a recurring or nonrecurring basis. Disclosures include, but are not limited to, fair value measurements recorded and the reasons for the measurements, level within the fair value hierarchy in which the fair value measurements are categorized and transfers between levels 1 and 2. Nonrecurring fair value measurements are those that are required or permitted in the statement of financial position in particular circumstances.

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- Definition

Tabular disclosure of the fair value measurement of liabilities using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets), and gains or losses recognized in other comprehensive income (loss) and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs) by class of liability.

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