XML 33 R16.htm IDEA: XBRL DOCUMENT v3.8.0.1
Property, Plant, and Equipment
 12 Months Ended
Aug. 31, 2017
Property, Plant and Equipment [Abstract]  
Property, Plant, and Equipment
Property, Plant, and Equipment

As of
 
2017
 
2016
Land
 
$
345

 
$
145

Buildings (includes $475 and $347, respectively, under capital leases)
 
7,958

 
6,653

Equipment(1) (includes $1,331 and $1,374, respectively, under capital leases)
 
32,187

 
25,910

Construction in progress(2)
 
499

 
475

Software
 
544

 
422

 
 
41,533

 
33,605

Accumulated depreciation (includes $626 and $492, respectively, under capital leases)
 
(22,102
)
 
(18,919
)
 
 
$
19,431

 
$
14,686


(1) 
Included costs related to equipment not placed into service of $994 million and $1.47 billion, as of August 31, 2017 and September 1, 2016, respectively.
(2) 
Included building-related construction and tool installation costs for assets not placed into service.

Depreciation expense was $3.76 billion, $2.86 billion, and $2.55 billion for 2017, 2016, and 2015, respectively. As of August 31, 2017, production equipment, buildings, and land with an aggregate carrying value of $6.14 billion were pledged as collateral under various notes payable. Interest capitalized as part of the cost of property, plant, and equipment was $7 million, $43 million, and $20 million for 2017, 2016, and 2015, respectively. In the fourth quarter of 2016, we revised the estimated useful lives of equipment in our DRAM wafer fabrication facilities from five to seven years, which reduced depreciation costs by approximately $100 million per quarter in 2017.