Notes Payable and Long-Term Debt

3 Months Ended

Nov. 30, 2023

Debt Disclosure [Abstract]

Notes Payable and Long-Term Debt

Notes Payable and Long-Term Debt

Notes payable and long-term debt outstanding as of November 30, 2023 and August 31, 2023 are summarized below (in millions): 

	Maturity Date	November 30, 2023		August 31, 2023
3.950% Senior Notes	Jan 12, 2028	497		497
3.600% Senior Notes	Jan 15, 2030	497		496
3.000% Senior Notes	Jan 15, 2031	593		593
1.700% Senior Notes	Apr 15, 2026	498		498
4.250% Senior Notes	May 15, 2027	495		495
5.450% Senior Notes	Feb 1, 2029	296		296
Borrowings under credit facilities(1)	Jan 22, 2025 and Jan 22, 2027	—		—
Borrowings under loans	Jul 31, 2026	—		—
Total notes payable and long-term debt		2,876		2,875
Less current installments of notes payable and long-term debt		—		—
Notes payable and long-term debt, less current installments		$	2,876	$	2,875

(1)As of November 30, 2023, the Company has $3.8 billion in available unused borrowing capacity under its revolving credit facilities. The senior unsecured credit agreement dated as of January 22, 2020 and amended on February 10, 2023 (the “Credit Facility”) acts as the back-up facility for commercial paper outstanding, if any. The Company has a borrowing capacity of up to $3.2 billion under its commercial paper program.

Debt Covenants

Borrowings under the Company’s debt agreements are subject to various covenants that limit the Company’s ability to: incur additional indebtedness, sell assets, effect mergers and certain transactions, and effect certain transactions with subsidiaries and affiliates. In addition, the revolving credit facilities contain debt leverage and interest coverage covenants. The Company is also subject to certain covenants requiring the Company to offer to repurchase the 3.950%, 3.600%, 3.000%, 1.700%, 4.250% or 5.450% Senior Notes upon a change of control. As of November 30, 2023 and August 31, 2023, the Company was in compliance with its debt covenants.

Fair Value

Refer to Note 16 – “Fair Value Measurements” for the estimated fair values of the Company’s notes payable and long-term debt.