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Equity Method Investments | 12 Months Ended
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Aug. 31, 2017
Equity Method Investments and Joint Ventures [Abstract] |
Equity Method Investments | Equity Method Investments
As of |  | 2017 |  | 2016
|  | Investment Balance |  | Ownership Percentage |  | Investment Balance |  | Ownership Percentage
Inotera |  | $ | — |  |  | — | % |  | $ | 1,314 |  |  | 33 | %
Tera Probe |  | — |  |  | — | % |  | 36 |  |  | 40 | %
Other |  | 16 |  |  | Various |  |  | 14 |  |  | Various |
|  | $ | 16 |  |  |  |  |  | $ | 1,364 |  |  |  |
Equity in net income (loss) of equity method investees, net of tax, included the following:
For the year ended |  | 2017 |  | 2016 |  | 2015
Inotera |  | $ | 9 |  |  | $ | 32 |  |  | $ | 445 |
Tera Probe |  | (3 | ) |  | (11 | ) |  | 1 |
Other |  | 2 |  |  | 4 |  |  | 1 |
|  | $ | 8 |  |  | $ | 25 |  |  | $ | 447 |
The summarized financial information in the tables below reflects aggregate amounts for our equity method investees. Financial information is presented for equity method investments as of the respective dates and for the periods through which we recorded our proportionate share of each investee's results of operations. Summarized results of operations are presented only for the periods subsequent to the acquisition, or through the disposition of, our ownership interests.
As of |  | 2017 |  | 2016
Current assets |  | $ | 107 |  |  | $ | 1,222 |
Noncurrent assets |  | 256 |  |  | 4,294 |
Current liabilities |  | 19 |  |  | 604 |
Noncurrent liabilities |  | 66 |  |  | 411 |
For the year ended |  | 2017 |  | 2016 |  | 2015
Net sales |  | $ | 557 |  |  | $ | 1,671 |  |  | $ | 2,647 |
Gross margin |  | 82 |  |  | 155 |  |  | 1,253 |
Operating income |  | 126 |  |  | 199 |  |  | 1,191 |
Net income |  | 76 |  |  | 184 |  |  | 1,361 |
Inotera We held a 33% interest in Inotera, a Taiwan DRAM memory company, through December 6, 2016, at which time we acquired the remaining 67% interest in Inotera. Historically, we accounted for our interest in Inotera on a two-month lag under the equity method. As a result of the Inotera Acquisition, we account for Inotera without a lag, consistent with our other wholly-owned subsidiaries. From January 2013 through December 2015, we purchased all of Inotera's DRAM output under supply agreements at prices reflecting discounts from market prices for our comparable components. After December 2015 and until our acquisition of the remaining interest in Inotera, the price for DRAM products purchased by us was based on a formula that equally shared margin between Inotera and us. Under these agreements, we purchased $504 million, $1.43 billion and $2.37 billion of DRAM products in 2017 through the date of our acquisition, 2016, and 2015 respectively. In 2016, we manufactured and sold specialized equipment to Inotera and recognized net sales of $55 million and margin of $16 million. Tera Probe In 2017, we sold our 40% interest in Tera Probe, which provided semiconductor wafer testing and probe services to us, in a transaction that included the sale of our assembly and test facility located in Akita, Japan. (See "Restructure and Asset Impairments" note.) In 2017, 2016, and 2015, we recorded impairment charges of $16 million, $25 million, and $10 million, respectively, within equity in net income (loss) of equity method investees to write down the carrying value of our investment in Tera Probe to its fair value based on its trading price (Level 1). We incurred manufacturing costs for services performed by Tera Probe of $47 million, $70 million, and $90 million in 2017 through the date of sale, 2016, and 2015, respectively.

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- Definition The entire disclosure for equity method investments and joint ventures. Equity method investments are investments that give the investor the ability to exercise significant influence over the operating and financial policies of an investee. Joint ventures are entities owned and operated by a small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 323 -URI http://asc.fasb.org/topic&trid=2196965 + Details
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