XML 32 R14.htm IDEA: XBRL DOCUMENT
v3.24.3

Accounts Receivable | 12 Months Ended
--- | ---
Aug. 31, 2024
Receivables [Abstract] |
Accounts Receivable | ACCOUNTS RECEIVABLE Accounts receivables at August 31, 2024 and September 2, 2023 consisted of the following:
| August 31, 2024 |  | September 2, 2023
Accounts receivable | $ | 434,490 |  |  | $ | 458,168 |
Less: Allowance for credit losses | 22,368 |  | 22,747
Accounts receivable, net | $ | 412,122 |  |  | $ | 435,421 |
In the second quarter of fiscal year 2023, the Company entered into a Receivables Purchase Agreement (the “RPA”), by and among MSC A/R Holding Co., LLC, a wholly owned subsidiary of the Company (the “Receivables Subsidiary”), as seller, the Company, as master servicer, certain purchasers from time to time party thereto (collectively, the “Purchasers”), and Wells Fargo Bank, National Association, as administrative agent. Under the RPA, the Receivables Subsidiary may sell receivables to the Purchasers in amounts up to $300,000. During the second quarter of fiscal year 2023, the amount sold to the Purchasers was $300,000, which was derecognized from the unaudited Condensed Consolidated Balance Sheet as of March 4, 2023. The RPA matures on December 19, 2025 and is subject to customary termination events related to transactions of this type. The Company continues to be involved with the receivables sold to the Purchasers by providing collection services. As cash is collected on sold receivables, the Receivables Subsidiary continuously sells new qualifying receivables to the Purchasers so that the total principal amount outstanding of receivables sold is approximately $300,000. The total principal amount outstanding of receivables sold was approximately $300,000 as of August 31, 2024 and September 2, 2023. The amount of receivables pledged as collateral as of August 31, 2024 and September 2, 2023 was $349,743 and $352,385, respectively. The following table summarizes the activity and amounts outstanding under the RPA for fiscal years 2024 and 2023:
| For the Fiscal Years Ended
| August 31, 2024 |  | September 2, 2023
Receivables sold under the RPA | $ | 1,272,320 |  |  | $ | 1,157,276 |
Cash collected on sold receivables under the RPA | $ | 1,272,320 |  |  | $ | 857,276 |
The receivables sold incurred fees due to the Purch asers of $18,438, $12,175 and $0 for the fiscal years ended August 31, 2024, September 2, 2023 and September 3, 2022, which were recorded within Other (expense) income, net in the Consolidated Statements of Income. The financial covenants under the RPA a re substantially the same as those under the Credit Facilities, the Private Placement Debt and the Shelf Facility Agreements (each, as defined below). See Note 10, “De bt” for more information about these financial covenants.

X
- Definition The entire disclosure for claims held for amounts due to entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 310 -SubTopic 10 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/310-10/tableOfContent Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 835 -SubTopic 30 -Name Accounting Standards Codification -Section 45 -Paragraph 2 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482925/835-30-45-2 + Details
Name: | us-gaap_LoansNotesTradeAndOtherReceivablesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_ReceivablesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration