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Marketable Debt Securities
 6 Months Ended
Feb. 15, 2020
Investments, Debt and Equity Securities [Abstract]  
Marketable Debt Securities
Note D – Marketable Debt Securities
The Company’s basis for determining the cost of a security sold is the “Specific Identification Model.” Unrealized gains (losses) on marketable debt securities are recorded in Accumulated other comprehensive loss. The Company’s available-for-sale marketable debt securities consisted of the following:
  
February 15, 2020
 
(in thousands)
  
    Amortized    
Cost
Basis
 
  
Gross
    Unrealized    
Gains
 
  
Gross
    Unrealized    
Losses
 
  
      Fair Value      
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Corporate debt securities
  $
33,784
    $
62
    $
–
     $
33,846
 
Government bonds
   
57,554
     
662
     
–
      
58,216
 
Mortgage-backed securities
   
3,414
     
12
     
(8
 )    
3,418
 
Asset-backed securities and other
   
28,956
     
13
     
(2
 )    
28,967
 
                                 
   $
123,708
    $
749
    $
 (10
 )   $
124,447
 
                                 
       
 
August 31, 2019
 
(in thousands)
 
Amortized
Cost
Basis
 
 
Gross
Unrealized
Gains
 
 
Gross
Unrealized
Losses
 
 
Fair Value
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Corporate debt securities
  $
36,998
    $
29
    $
(19
 )   $
37,008
 
Government bonds
   
45,741
     
763
     
–
      
46,504
 
Mortgage-backed securities
   
2,089
     
2
     
(15
 )    
2,076
 
Asset-backed securities and other
   
53,345
     
–
      
(7
 )    
53,338
 
                                 
   $
138,173
    $
794
    $
(41
 )   $
138,926
 
                                 
The debt securities held at February 15, 2020, had effective maturities ranging from less than one year to approximately three years. The Company did not realize any material gains or losses on its marketable debt securities during the twenty-four week period ended February 15, 2020.
The Company holds 19 securities that are in an unrealized loss position of approximately $10 thousand at February 15, 2020. The Company has the intent and ability to hold these investments until recovery of fair value or maturity and does not deem the investments to be impaired on an other than temporary basis. In evaluating whether the securities are deemed to be impaired on an other than temporary basis, the Company considers factors such as the duration and severity of the loss position, the credit worthiness of the investee, the term to maturity and the intent and ability to hold the investments until maturity or until recovery of fair value.
Included above in total
available-for-sale
marketable debt securities are $29.5 million of marketable debt securities transferred by the Company’s insurance captive to a trust account to secure its obligations to an insurance company related to future workers’ compensation and casualty losses.