v3.3.0.814
Debt (Tables)
 12 Months Ended
Sep. 03, 2015
Debt Disclosure [Abstract]  
Schedule of Debt
 
 
 
 
 
 
2015
 
2014
Instrument(1)
 
Stated Rate
 
Effective Rate
 
Current
 
Long-Term
 
Total
 
Current
 
Long-Term
 
Total
MMJ creditor installment payments
 
N/A

 
6.25
%
 
$
161

 
$
701

 
$
862

 
$
192

 
$
939

 
$
1,131

Capital lease obligations(2)
 
N/A

 
N/A

 
326

 
466

 
792

 
323

 
588

 
911

1.258% notes
 
1.258
%
 
1.97
%
 
87

 
217

 
304

 
86

 
305

 
391

2022 senior notes
 
5.875
%
 
6.14
%
 
—

 
589

 
589

 
—

 
587

 
587

2023 senior notes
 
5.250
%
 
5.43
%
 
—

 
988

 
988

 
—

 
—

 
—

2024 senior notes
 
5.250
%
 
5.38
%
 
—

 
545

 
545

 
—

 
—

 
—

2025 senior notes
 
5.500
%
 
5.56
%
 
—

 
1,138

 
1,138

 
—

 
1,137

 
1,137

2026 senior notes
 
5.625
%
 
5.73
%
 
—

 
446

 
446

 
—

 
—

 
—

2031B convertible senior notes(3)
 
1.875
%
 
6.98
%
 
—

 
—

 
—

 
361

 
—

 
361

2032C convertible senior notes(4)
 
2.375
%
 
5.95
%
 
—

 
197

 
197

 
—

 
309

 
309

2032D convertible senior notes(4)
 
3.125
%
 
6.33
%
 
—

 
150

 
150

 
—

 
284

 
284

2033E convertible senior notes(4)
 
1.625
%
 
4.50
%
 
217

 
—

 
217

 
272

 
—

 
272

2033F convertible senior notes(4)
 
2.125
%
 
4.93
%
 
264

 
—

 
264

 
260

 
—

 
260

2043G convertible senior notes
 
3.000
%
 
6.76
%
 
—

 
644

 
644

 
—

 
631

 
631

Other notes payable
 
2.209
%
 
2.38
%
 
34

 
171

 
205

 
124

 
113

 
237

 
 
 
 
 
 
$
1,089

 
$
6,252

 
$
7,341

 
$
1,618

 
$
4,893

 
$
6,511

(1) 
We have either the obligation or the option to pay cash for the principal amount due upon conversion for all of our convertible notes. Since it is our current intent to settle in cash the principal amount of all of our convertible notes upon conversion, the dilutive effect of such notes on earnings per share is computed under the treasury stock method.
(2) Weighted-average imputed rate of 3.7% and 4.3% as of September 3, 2015 and August 28, 2014, respectively.
(3) 
Amount recorded for 2014 included the debt and equity components. The equity component was reclassified to a debt liability as a result of our obligation to settle the conversions of the 2031B Notes in cash.
(4) 
Since the closing price of our common stock for at least 20 trading days in the 30 trading day period ending on June 30, 2015 exceeded 130% of the conversion price per share, holders had the right to convert their notes at any time during the calendar quarter ended September 30, 2015. The closing price of our common stock also exceeded the thresholds for the calendar quarter ended September 30, 2015; therefore, these notes are convertible by the holders through December 31, 2015. The 2033 Notes are classified as current because the terms of these notes require us to pay cash for the principal amount of any converted notes.

 
 
 
 
2015
 
2014
As of
 
Expected Remaining Term
(Years)(1)
 
Outstanding Principal
 
Unamortized Discount and Debt Issuance Costs
 
Net Carrying Amount
 
Outstanding Principal
 
Unamortized Discount and Debt Issuance Costs
 
Net Carrying Amount
MMJ creditor installment payments
 
4
 
$
1,012

 
$
(150
)
 
$
862

 
$
1,369

 
$
(238
)
 
$
1,131

Capital lease obligations
 
4
 
792

 
—

 
792

 
911

 
—

 
911

1.258% notes
 
3
 
323

 
(19
)
 
304

 
416

 
(25
)
 
391

2022 Notes
 
6
 
600

 
(11
)
 
589

 
600

 
(13
)
 
587

2023 Notes
 
8
 
1,000

 
(12
)
 
988

 
—

 
—

 
—

2024 Notes
 
8
 
550

 
(5
)
 
545

 
—

 
—

 
—

2025 Notes
 
9
 
1,150

 
(12
)
 
1,138

 
1,150

 
(13
)
 
1,137

2026 Notes
 
10
 
450

 
(4
)
 
446

 
—

 
—

 
—

2031B Notes(2)
 
N/A
 
—

 
—

 
—

 
114

 
(28
)
 
361

2032C Notes
 
4
 
224

 
(27
)
 
197

 
362

 
(53
)
 
309

2032D Notes
 
6
 
177

 
(27
)
 
150

 
344

 
(60
)
 
284

2033E Notes
 
2
 
233

 
(16
)
 
217

 
300

 
(28
)
 
272

2033F Notes
 
4
 
297

 
(33
)
 
264

 
300

 
(40
)
 
260

2043G Notes(3)
 
13
 
1,025

 
(381
)
 
644

 
1,025

 
(394
)
 
631

Other notes payable
 
4
 
205

 
—

 
205

 
243

 
(6
)
 
237

 
 
 
 
$
8,038

 
$
(697
)
 
$
7,341

 
$
7,134

 
$
(898
)
 
$
6,511

(1) 
Expected remaining term for amortization of the remaining unamortized discount and debt issuance costs as of September 3, 2015. The expected remaining term of the 2031B Notes was not applicable because the notes were not outstanding as of September 3, 2015. Expected remaining term for capital lease obligations is the weighted-average remaining term.
(2) As holders had elected to convert these notes and we elected to settle the conversions in cash, the net carrying amount for 2014 included the debt component and equity component, which were reclassified to a debt liability as a result of our obligation to settle the conversions of the 2031B Notes in cash, resulting in an aggregate liability of $389 million. The outstanding principal reflects the original principal of the 2031B Notes.
(3) The 2043G Notes have an original principal amount of $820 million that accretes up to $917 million through the expected term on November 15, 2028 and $1.03 billion at maturity in 2043. The discount is based on the principal at maturity. See "2043G Notes" below.
Schedule of Extinguishment of Debt [Table Text Block]
2015 Debt Restructure

In 2015, we consummated a number of transactions to restructure our debt, including conversions and settlements, repurchases of convertible notes, issuances of non-convertible notes, and the early repayment of a note. The following table presents the effect of each of the actions in 2015:

 
 
Increase (Decrease) in Principal
 
Increase (Decrease) in Carrying Value
 
Increase (Decrease) in Cash
 
(Decrease) in Equity
 
(Loss) Gain(1)
Conversions and settlements:
 
 
 
 
 
 
 
 
 
 
2031B Notes
 
$
(114
)
 
$
(361
)
 
$
(389
)
 
$
—

 
$
(24
)
2033E Notes
 
(7
)
 
(6
)
 
(19
)
 
(15
)
 
2

 
 
(121
)
 
(367
)
 
(408
)
 
(15
)
 
(22
)
 
 
 
 
 
 
 
 
 
 
 
Repurchases:
 
 
 
 
 
 
 
 
 
 
2032C Notes
 
(139
)
 
(121
)
 
(415
)
 
(283
)
 
(10
)
2032D Notes
 
(166
)
 
(140
)
 
(492
)
 
(341
)
 
(11
)
2033E Notes
 
(60
)
 
(56
)
 
(107
)
 
(49
)
 
(1
)
2033F Notes
 
(3
)
 
(2
)
 
(5
)
 
(3
)
 
—

 
 
(368
)
 
(319
)
 
(1,019
)
 
(676
)
 
(22
)
 
 
 
 
 
 
 
 
 
 
 
Issuances:
 
 
 
 
 
 
 
 
 
 
2023 Notes
 
1,000

 
988

 
988

 
—

 
—

2024 Notes
 
550

 
545

 
545

 
—

 
—

2026 Notes
 
450

 
446

 
446

 
—

 
—

 
 
2,000

 
1,979

 
1,979

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
Early repayment
 
(121
)
 
(115
)
 
(122
)
 
—

 
(5
)
 
 
 
 
 
 
 
 
 
 
 
 
 
$
1,390

 
$
1,178

 
$
430

 
$
(691
)
 
$
(49
)
(1) 
Included in other non-operating expense.
2014 Debt Restructure

In 2014, we consummated a number of transactions to restructure our debt, including exchanges, conversions and settlements, repurchases of convertible notes, issuances of non-convertible notes, and early repayments of notes. The following table presents the net effect of each of the actions:

 
 
Increase (Decrease) in Principal
 
Increase (Decrease) in Carrying Value
 
Increase (Decrease) in Cash
 
(Decrease) in Equity
 
Loss(1)
Exchanges
 
$
585

 
$
282

 
$
—

 
$
(238
)
 
$
49

Conversions and settlements
 
(770
)
 
(434
)
 
(1,446
)
 
(886
)
 
130

Repurchases
 
(320
)
 
(264
)
 
(857
)
 
(567
)
 
23

Issuances
 
2,212

 
2,157

 
2,157

 
—

 
—

Early repayments
 
(336
)
 
(332
)
 
(339
)
 
—

 
3

 
 
$
1,371

 
$
1,409

 
$
(485
)
 
$
(1,691
)
 
$
205

(1) 
$184 million included in other non-operating expense and $21 million included in interest expense
Schedule of Debt Restructuring [Table Text Block]
The following table presents the remaining amounts of MMJ Creditor Installment Payments (stated in Japanese yen and U.S. dollars) and the amount of unamortized discount as of September 3, 2015:

2016
 
¥
19,813

 
$
165

2017
 
19,840

 
165

2018
 
19,762

 
164

2019
 
28,687

 
238

2020
 
33,642

 
280

 
 
121,744

 
1,012

Less unamortized discount
 
(17,981
)
 
(150
)
 
 
¥
103,763

 
$
862
Debt Instrument Redemption [Table Text Block]
Senior Notes

 
 
Issuance Date
 
Maturity Date
 
Principal Issued
2022 Notes
 
Feb 2014
 
Feb 2022
 
$
600

2023 Notes
 
Feb 2015
 
Aug 2023
 
1,000

2024 Notes
 
Apr 2015
 
Jan 2024
 
550

2025 Notes
 
Jul 2014
 
Feb 2025
 
1,150

2026 Notes
 
Apr 2015
 
Jan 2026
 
450


The senior notes above contain covenants that, among other things, limit, in certain circumstances, our ability and/or the ability of our domestic restricted subsidiaries (which are generally subsidiaries in the U.S. in which we own at least 80% of the voting stock) to (1) create or incur certain liens and enter into sale and lease-back transactions, (2) create, assume, incur, or guarantee certain additional secured indebtedness and unsecured indebtedness of our domestic restricted subsidiaries, and (3) consolidate with or merge with or into, or convey, transfer or lease all or substantially all of our assets, to another entity. These covenants are subject to a number of limitations, exceptions, and qualifications.

Cash Redemption at Our Option: We have the option to redeem these notes. The applicable redemption price will be determined as follows:
 
Redemption Period Requiring Payment of:
 
Redemption up to 35% Using Cash Proceeds From an Equity Offering(3)
 
Make-Whole(1)
 
Premium(2)
 
Date
 
Specified Price
2022 Notes
Prior to Feb 15, 2017
 
On or after Feb 15, 2017
 
Prior to Feb 15, 2017
 
105.875
%
2023 Notes
Prior to Feb 1, 2018
 
On or after Feb 1, 2018
 
Prior to Feb 1, 2018
 
105.250
%
2024 Notes
Prior to May 1, 2018
 
On or after May 1, 2018
 
Prior to May 1, 2018
 
105.250
%
2025 Notes
Prior to Aug 1, 2019
 
On or after Aug 1, 2019
 
Prior to Aug 1, 2017
 
105.500
%
2026 Notes
Prior to May 1, 2020
 
On or after May 1, 2020
 
Prior to May 1, 2018
 
105.625
%
(1) 
If we redeem prior to the applicable date, the price is principal plus a make-whole premium equal to the present value of the remaining scheduled interest payments as described in the applicable indenture, together with accrued and unpaid interest.
(2) 
If we redeem on or after the applicable date, the price is principal plus a premium which declines over time as specified in the applicable indenture, together with accrued and unpaid interest.
(3) 
If we redeem prior to the applicable date with net cash proceeds of one or more equity offerings, the price is equal to the amount specified above, together with accrued and unpaid interest, subject to a maximum redemption of 35% of the aggregate principal amount of the respective notes being redeemed.
Schedule Of Convertible Debt Instruments With Debt And Equity Components [Text Block]
The following table summarizes our convertible notes outstanding as of September 3, 2015:

 
 
Holder Put Date(1)
 
Outstanding Principal
 
Underlying Shares
 
Conversion Price Per Share
 
Conversion Price Per Share Threshold(2)
 
Conversion Value in Excess of Principal(3)
2032C Notes
 
May 2019
 
$
224

 
23

 
$
9.63

 
$
12.52

 
$
161

2032D Notes
 
May 2021
 
177

 
18

 
9.98

 
12.97

 
117

2033E Notes
 
February 2018
 
233

 
21

 
10.93

 
14.21

 
121

2033F Notes
 
February 2020
 
297

 
27

 
10.93

 
14.21

 
154

2043G Notes(4)
 
November 2028
 
1,025

 
35

 
29.16

 
37.91

 
—

 
 
 
 
$
1,956

 
124

 
 
 
 
 
$
553

(1) 
The terms of our convertible notes give holders the right to require us to repurchase all or a portion of their notes at a date prior to the contractual maturities of the notes at a price equal to the principal amount thereof plus accrued interest.
(2) 
Holders have the right to convert all or a portion of their notes at a date prior to the contractual maturity if, during any calendar quarter, the closing price of our common stock for at least 20 trading days in the 30 consecutive trading days ending on the last trading day of the preceding calendar quarter is more than 130% of the conversion price. The closing price of our common stock exceeded the thresholds for the calendar quarter ended September 30, 2015 for our 2032 Notes and 2033 Notes; therefore, those notes are convertible by the holders through December 31, 2015.
(3) 
Based on our closing share price of $16.59 as of September 3, 2015.
(4) 
See "2043G Notes."

Carrying amounts of the equity components of our convertible notes, which are included in additional capital in the accompanying consolidated balance sheets were as follows:

As of
 
2015
 
2014
2032C Notes
 
$
41

 
$
67

2032D Notes
 
35

 
69

2033E Notes (excludes $16 and $27 million in mezzanine equity, respectively)
 
8

 
3

2033F Notes (excludes $33 and $41 million in mezzanine equity, respectively)
 
8

 
1

2043G Notes
 
173

 
173

 
 
$
265

 
$
313
Schedule Of Convertible Debt Instruments Interest Expense [Text Block]
Interest expense for our convertible notes, consisting of contractual interest and amortization of discount and issuance costs, aggregated $101 million, $132 million, and $156 million for 2015, 2014, and 2013, respectively. Interest expense by note was as follows:

 
 
Contractual Interest
 
Amortization of Discount and Issuance Costs
For the year ended
 
2015
 
2014
 
2013
 
2015
 
2014
 
2013
2032C Notes
 
$
8

 
$
11

 
$
13

 
$
9

 
$
12

 
$
14

2032D Notes
 
9

 
13

 
14

 
6

 
8

 
9

2033E Notes
 
5

 
5

 
3

 
7

 
7

 
4

2033F Notes
 
6

 
6

 
3

 
7

 
6

 
3

2043G Notes
 
31

 
24

 
—

 
13

 
9

 
—

Other notes(1)
 
—

 
7

 
27

 
—

 
24

 
66

 
 
$
59

 
$
66

 
$
60

 
$
42

 
$
66

 
$
96

(1)    Other notes include the 2014 Notes, 2027 Notes, 2031A Notes, and 2031B Notes.
Maturities of Notes Payable and Future Minimum Lease Payments [Table Text Block]

As of September 3, 2015, maturities of notes payable (including the MMJ Creditor Installment Payments) and future minimum lease payments under capital lease obligations were as follows:

 
 
Notes Payable
 
Capital Lease Obligations
2016
 
$
291

 
$
349

2017
 
289

 
173

2018
 
504

 
131

2019
 
508

 
91

2020
 
702

 
32

2021 and thereafter
 
4,844

 
76

Unamortized discounts and interest, respectively
 
(589
)
 
(60
)
 
 
$
6,549

 
$
792
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block]
Effective in the fourth quarter of 2015, we adopted ASU 2015-03 – Simplifying the Presentation of Debt Issuance Costs. ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, as appropriate, consistent with debt discounts, as opposed to an asset. The new accounting standard required retrospective application; therefore, our financial statements and notes to these statements contained herein have been adjusted to reflect the impact of adopting this new accounting standard. The following table sets forth the financial statement line items affected by retrospective application of this new accounting standard:

As of August 28, 2014
 
Previously Reported
 
Effect of Adoption
 
Retrospectively Adjusted
Other noncurrent assets
 
$
497

 
$
(82
)
 
$
415

Current debt
 
1,638

 
(20
)
 
1,618

Long-term debt
 
4,955

 
(62
)
 
4,893

Redeemable convertible debt
 
57

 
11

 
68

Additional capital
 
7,879

 
(11
)
 
7,868