Restructuring, Severance and Related Charges

6 Months Ended

Feb. 28, 2023

Restructuring and Related Activities [Abstract]

Restructuring, Severance and Related Charges

Following is a summary of the Company’s restructuring, severance and related charges (in millions):


	Three months ended				Six months ended
	February 28, 2023(1)		February 28, 2022		February 28, 2023(1)		February 28, 2022
Employee severance and benefit costs	$	(4)	$	—	$	36	$	1
Lease costs	—		—		—		(1)
Asset write-off costs	4		—		5		—
Other costs	—		—		4		—
Total restructuring, severance and related charges(2)	$	—	$	—	$	45	$	—

(1)Primarily relates to headcount reduction to further optimize the Company’s business activities and includes $0 million and $4 million recorded in the EMS segment, $0 million and $33 million recorded in the DMS segment and $0 million $8 million of non-allocated charges for the three months and six months ended February 28, 2023, respectively. Except for asset write-off costs, all restructuring, severance and related charges are cash costs.

(2)The restructuring liability is $34 million as of February 28, 2023, which primarily relates to employee severance and benefit costs incurred in fiscal year 2022 and the six months ended February 28, 2023. We expect the majority of the severance to be paid during fiscal year 2023.