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Goodwill and Other Intangible Assets | 12 Months Ended
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Aug. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets The Company completed its annual impairment analysis for goodwill and indefinite-lived intangible assets during the fourth quarter of fiscal year 2023. The qualitative assessment was performed and the Company determined that it is more likely than not that the fair values of the reporting units and the indefinite-lived intangible assets were in excess of the carrying values and that no impairment existed as of the date of the impairment analysis. The following table presents the changes in goodwill allocated to the Company’s reportable segments, Electronics Manufacturing Services (“EMS”) and Diversified Manufacturing Services (“DMS”), during the fiscal years ended August 31, 2023 and 2022 (in millions):
| EMS |  | DMS |  | Total
Balance as of August 31, 2021 | $ | 74 |  |  | $ | 641 |  |  | $ | 715 |
Acquisitions and adjustments | 6 |  |  | 1 |  |  | 7 |
Change in foreign currency exchange rates | (1) |  |  | (17) |  |  | (18) |
Balance as of August 31, 2022 | 79 |  |  | 625 |  |  | 704 |
Acquisitions and adjustments | — |  |  | 24 |  |  | 24 |
Change in foreign currency exchange rates | 1 |  |  | 9 |  |  | 10 |
Goodwill classified as held for sale | — |  |  | (117) |  |  | (117) |
Balance as of August 31, 2023 | $ | 80 |  |  | $ | 541 |  |  | $ | 621 |
The following table is a summary of the Company’s gross goodwill balances and accumulated impairments as of the periods indicated (in millions):
| August 31, 2023 |  | August 31, 2022
| Gross Carrying Amount(1) |  | Accumulated Impairment |  | Gross Carrying Amount |  | Accumulated Impairment
Goodwill | $ | 1,641 |  |  | $ | 1,020 |  |  | $ | 1,724 |  |  | $ | 1,020 |
(1)Excludes $117 million of goodwill classified as held for sale. See Note 16 – “Business Acquisitions and Divestitures” for additional information. The following table presents the Company’s total purchased intangible assets as of August 31, 2023 and 2022 (in millions):
| Weighted Average Amortization Period (in years) |  | August 31, 2023 |  | August 31, 2022
|  | Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Amount |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Amount
Contractual agreements and customer relationships | 12 |  | $ | 320 |  |  | $ | (251) |  |  | $ | 69 |  |  | $ | 302 |  |  | $ | (231) |  |  | $ | 71 |
Intellectual property | 9 |  | 198 |  |  | (177) |  |  | 21 |  |  | 198 |  |  | (173) |  |  | 25 |
Finite-lived trade names | Not applicable |  | 79 |  |  | (78) |  |  | 1 |  |  | 78 |  |  | (67) |  |  | 11 |
Trade names | Indefinite |  | 51 |  |  | — |  |  | 51 |  |  | 51 |  |  | — |  |  | 51 |
Total intangible assets | 11 |  | $ | 648 |  |  | $ | (506) |  |  | $ | 142 |  |  | $ | 629 |  |  | $ | (471) |  |  | $ | 158 |
Intangible asset amortization for fiscal years 2023, 2022 and 2021 was approximately $33 million, $34 million and $47 million, respectively. The estimated future amortization expense is as follows (in millions):
Fiscal Year Ended August 31, |
2024 | $ | 20 |
2025 | 17 |
2026 | 14 |
2027 | 14 |
2028 | 12 |
Thereafter | 14 |
Total | $ | 91 |

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 350 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//350/tableOfContent + Details
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