MIME-Version: 1.0 X-Document-Type: Workbook Content-Type: multipart/related; boundary="----=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123" This document is a Single File Web Page, also known as a Web Archive file. If you are seeing this message, your browser or editor doesn't support Web Archive files. Please download a browser that supports Web Archive, such as Microsoft Internet Explorer. ------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Workbook.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"

This page should be opened with Microsoft Excel XP or newer.

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet01.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Document and Entity Information Document (USD $)
12 Months Ended
Aug. 30, 2012
Oct. 18, 2012
Mar. 01, 2012
Entity Information [Line Items]
Entity Registrant Name MICRON TECHNOLOGY INC
Entity Central Index Key 0000723125
Current Fiscal Year End Date --08-30
Entity Filer Category Large Accelerated Filer
Document Type 10-K
Document Period End Date Aug 30, 2012
Document Fiscal Year Focus 2012
Document Fiscal Period Focus FY
Amendment Flag false
Entity Common Stock, Shares Outstanding 1,017,560,523
Entity Well-known Seasoned Issuer Yes
Entity Voluntary Filers No
Entity Current Reporting Status Yes
Entity Public Float $ 5,700,000,000
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet02.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Income Statement [Abstract]
Net sales $ 8,234 $ 8,788 $ 8,482
Cost of goods sold 7,266 7,030 5,768
Gross margin 968 1,758 2,714
Selling, general and administrative 620 592 528
Research and development 918 791 624
Other operating (income) expense, net 48 (380) (27)
Operating income (loss) (618) 755 1,589
Interest income 8 23 18
Interest expense (179) (124) (178)
Gain on acquisition of Numonyx 0 0 437
Other non-operating income (expense), net 35 (103) 54
Total income (loss) before income taxes (754) 551 1,920
Income tax provision 17 (203) 19
Equity in net loss of equity method investees (294) (158) (39)
Net income (loss) (1,031) 190 1,900
Net income attributable to noncontrolling interests (1) (23) (50)
Net income (loss) attributable to Micron $ (1,032) $ 167 $ 1,850
Earnings (loss) per share:
Basic (in dollars per share) $ (1.04) $ 0.17 $ 2.09
Diluted (in dollars per share) $ (1.04) $ 0.17 $ 1.85
Number of shares used in per share calculations:
Basic (in shares) 991.2 988 887.5
Diluted (in shares) 991.2 1,007.5 1,050.7
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet03.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Net income (loss) $ (1,031) $ 190 $ 1,900
Other comprehensive income (loss), net of tax
Net gain (loss) on foreign currency translation adjustments (16) 63 11
Net unrealized gain (loss) on investments (24) 11 5
Net gain (loss) on derivatives (18) 48 0
Pension liability adjustments 0 5 (2)
Other comprehensive income (loss) (58) 127 14
Total comprehensive income (loss) (1,089) 317 1,914
Comprehensive (income) loss attributable to noncontrolling interests 5 (29) (49)
Comprehensive income (loss) attributable to Micron $ (1,084) $ 288 $ 1,865
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet04.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
CONSOLIDATED BALANCE SHEETS (USD $)
In Millions, unless otherwise specified
Aug. 30, 2012
Sep. 01, 2011
Assets
Cash and equivalents $ 2,459 $ 2,160
Short-term investments 100 0
Receivables 1,289 1,497
Inventories 1,812 2,080
Other current assets 98 95
Total current assets 5,758 5,832
Long-term marketable investments 374 52
Property, plant and equipment, net 7,103 7,555
Equity method investments 389 483
Intangible assets, net 371 414
Other noncurrent assets 333 416
Total assets 14,328 14,752
Liabilities and equity
Accounts payable and accrued expenses 1,641 1,830
Deferred income 248 443
Equipment purchase contracts 130 67
Current portion of long-term debt 224 140
Total current liabilities 2,243 2,480
Long-term debt 3,038 1,861
Other noncurrent liabilities 630 559
Total liabilities 5,911 4,900
Commitments and contingencies      
Micron shareholders' equity:
Common stock, $0.10 par value, 3,000 shares authorized, 1,017.7 shares issued and outstanding (984.3 as of September 1, 2011) 102 98
Additional capital 8,920 8,610
Accumulated deficit (1,402) (370)
Accumulated other comprehensive income 80 132
Total Micron shareholders' equity 7,700 8,470
Noncontrolling interests in subsidiaries 717 1,382
Total equity 8,417 9,852
Total liabilities and equity $ 14,328 $ 14,752
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet05.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)
In Millions, except Per Share data, unless otherwise specified
Aug. 30, 2012
Sep. 01, 2011
Liabilities and equity
Common stock, par value (in dollars per share) $ 0.1 $ 0.1
Common Stock, authorized shares (in shares) 3,000 3,000
Common Stock, issued (in shares) 1,017.7 984.3
Common Stock, outstanding (in shares) 1,017.7 984.3
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet06.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
STATEMENT OF CHANGES IN EQUITY (USD $)
In Millions, unless otherwise specified
Total
Common Stock [Member]
Additional Capital [Member]
Accumulated Deficit [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Total Micron Shareholders' Equity [Member]
Noncontrolling Interests in Subsidiaries [Member]
Balance at Sep. 03, 2009 $ 6,939 $ 85 $ 7,257 $ (2,385) $ (4) $ 4,953 $ 1,986
Balance (in shares) at Sep. 03, 2009 848.7
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss) 1,900 1,850 1,850 50
Other comprehensive income (loss), net 14 15 15 (1)
Stock issued for business acquisition 1,112 14 1,098 1,112
Stock issued for business aquisition (in shares) 137.7
Stock-based compensation expense 93 93 93
Stock issued under stock plans 8 8 8
Stock issued under stock plans (in shares) 6.6
Distributions to noncontrolling interests, net (229) 0 (229)
Repurchase and retirement of common stock (21) (20) (1) (21)
Repurchase and retirement of common stock (in shares) (2.4)
Exercise of stock rights held by Intel (in shares) 3.9
Exercise of stock rights held by Intel 0 0
Acquisition of noncontrolling interests in TECH 0 10 10 (10)
Balance at Sep. 02, 2010 9,816 99 8,446 (536) 11 8,020 1,796
Balance (in shares) at Sep. 02, 2010 994.5
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss) 190 167 167 23
Other comprehensive income (loss), net 127 121 121 6
Issuance and repurchase of convertible debts 211 211 211
Stock-based compensation expense 76 76 76
Stock issued under stock plans 28 1 27 28
Stock issued under stock plans (in shares) 11.1
Distributions to noncontrolling interests, net (217) 0 (217)
Repurchase and retirement of common stock (163) (2) (160) (1) (163)
Repurchase and retirement of common stock (in shares) (21.3)
Acquisition of noncontrolling interests (159) 67 67 (226)
Purchase and settlement of capped calls (57) (57) (57)
Balance at Sep. 01, 2011 9,852 98 8,610 (370) 132 8,470 1,382
Balance (in shares) at Sep. 01, 2011 984.3 984.3
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss) (1,031) (1,032) (1,032) 1
Other comprehensive income (loss), net (58) (52) (52) (6)
Issuance and repurchase of convertible debts 191 191 191
Conversion of 2013 notes 138 3 135 138
Conversion of 2013 Notes (in shares) 27.3
Stock-based compensation expense 87 87 87
Stock issued under stock plans 6 1 5 6
Stock issued under stock plans (in shares) 7.1
Distributions to noncontrolling interests, net (194) 0 (194)
Repurchase and retirement of common stock (6) 0 (6) 0 (6)
Repurchase and retirement of common stock (in shares) (1)
Acquisition of noncontrolling interests (466) 0 (466)
Purchase and settlement of capped calls (102) (102) (102)
Balance at Aug. 30, 2012 $ 8,417 $ 102 $ 8,920 $ (1,402) $ 80 $ 7,700 $ 717
Balance (in shares) at Aug. 30, 2012 1,017.7 1,017.7
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet07.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Cash flows from operating activities
Net income (loss) $ (1,031) $ 190 $ 1,900
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation expense and amortization of intangible assets 2,141 2,105 1,922
Amortization of debt discount and other costs 81 57 83
Equity in net loss of equity method investees 294 158 39
Stock-based compensation 87 76 93
Loss on extinguishment of debt 0 113 0
Gain from disposition of Japan Fab 0 (54) 0
Gain from acquisition of Numonyx 0 0 (437)
Change in operating assets and liabilities:
Receivables 238 54 (516)
Inventories 258 (357) (121)
Accounts payable and accrued expenses (83) (88) 201
Customer prepayments 254 4 (147)
Deferred income (56) 146 84
Deferred income taxes, net 3 103 (45)
Other (72) (23) 40
Net cash provided by operating activities 2,114 2,484 3,096
Cash flows from investing activities
Expenditures for property, plant and equipment (1,699) (2,550) (616)
Purchases of available-for-sale securities (564) (9) (3)
Additions to equity method investments (187) (31) (165)
Proceeds from sales and maturities of available-for-sale securities 152 1 3
Proceeds from sales of property, plant and equipment 67 127 94
(Increase) decrease in restricted cash 5 330 (240)
Return of equity method investment 1 48 0
Proceeds from sale of Hynix JV 0 0 423
Cash acquired from acquisition of Numonyx 0 0 95
Other (87) 42 (39)
Net cash used for investing activities (2,312) (2,042) (448)
Cash flows from financing activities
Proceeds from issuance of debt 1,065 690 200
Proceeds from equipment sale-leaseback transactions 609 268 0
Cash received from noncontrolling interests 197 8 38
Acquisition of noncontrolling interests (466) (159) 0
Distributions to noncontrolling interests (391) (225) (267)
Repayments of debt (203) (1,215) (840)
Payments on equipment purchase contracts (172) (322) (330)
Cash (paid) received for capped call transactions (102) (57) 0
Payments for repurchase of common stock (6) (163) (21)
Other (34) (20) 0
Net cash provided by (used for) financing activities 497 (1,195) (1,220)
Net increase (decrease) in cash and equivalents 299 (753) 1,428
Cash and equivalents at beginning of period 2,160 2,913 1,485
Cash and equivalents at end of period 2,459 2,160 2,913
Supplemental disclosures
Income taxes refunded (paid), net 13 (99) 2
Interest paid, net of amounts capitalized (72) (59) (95)
Noncash investing and financing activities:
Equipment acquisitions on contracts payable and capital leases 897 469 420
Debt Conversion Converted Instrument Amount Net Of Unamortized Issuance Cost 138 0 0
Exchange of convertible notes 0 175 0
Stock and restricted stock units issued in acquisition of Numonyx 0 0 1,112
Acquisition of interest in Transform $ 0 $ 0 $ 65
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet08.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Significant Accounting Policies
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Significant Accounting Policies
Significant Accounting Policies

Basis of Presentation: We are a global manufacturer and marketer of semiconductor devices, principally DRAM, NAND Flash and NOR Flash memory, as well as other innovative memory technologies, packaging solutions and semiconductor systems for use in leading-edge computing, consumer, networking, automotive, industrial, embedded and mobile products.  In addition, we manufacture components for CMOS image sensors and other semiconductor products.  The accompanying consolidated financial statements include the accounts of Micron Technology, Inc. and its consolidated subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States of America.

Certain reclassifications, none of which are material, have been made to prior period amounts to conform to current period presentation. The payment for the acquisition of noncontrolling interests in 2011 has been corrected and reclassified in the statement of cash flows from an investing activity to a financing activity. Disclosures of certain deferred tax assets and liabilities in prior years were corrected with corresponding changes in the valuation allowance, resulting in no change to net deferred tax assets.

Our fiscal year is the 52 or 53-week period ending on the Thursday closest to August 31. Our fiscal years 2012, 2011 and 2010 each contained 52 weeks.  All period references are to our fiscal periods unless otherwise indicated.

Use of Estimates: The preparation of financial statements and related disclosures in conformity with accounting principles generally accepted in the United States of America requires our management to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues, expenses and related disclosures.  Estimates and judgments are based on historical experience, forecasted events and various other assumptions that we believe to be reasonable under the circumstances.  Estimates and judgments may differ under different assumptions or conditions.  We evaluate our estimates and judgments on an ongoing basis.  Actual results could differ from estimates.

Product Warranty: We generally provide a limited warranty that our products are in compliance with our specifications existing at the time of delivery.  Under our general terms and conditions of sale, liability for certain failures of product during a stated warranty period is usually limited to repair or replacement of defective items or return of, or a credit with respect to, amounts paid for such items.  Under certain circumstances, we provide more extensive limited warranty coverage than that provided under our general terms and conditions.  Our warranty obligations are not material.

Revenue Recognition: We recognize product or license revenue when persuasive evidence that a sales arrangement exists, delivery has occurred, the price is fixed or determinable and collectability is reasonably assured.  Since we are unable to estimate returns and changes in market price, and therefore the price is not fixed or determinable, sales made under agreements allowing pricing protection or rights of return (other than for product warranty) are deferred until customers have resold the product.

Research and Development: Costs related to the conceptual formulation and design of products and processes are expensed as research and development as incurred.  Determining when product development is complete requires judgment.  Development of a product is deemed complete once the product has been thoroughly reviewed and tested for performance and reliability.  Subsequent to product qualification, product costs are valued in inventory.  Product design and other research and development costs for NAND Flash, DRAM and certain emerging memory technologies are shared with our joint venture partners.  Amounts receivable from these cost-sharing arrangements are reflected as a reduction of research and development expense.  (See "Equity Method Investments" and "Consolidated Variable Interest Entities – IM Flash" notes.)

Stock-based Compensation: Stock-based compensation is measured at the grant date, based on the fair value of the award, and recognized as expense under the straight-line attribution method over the requisite service period.  We issue new shares upon the exercise of stock options or conversion of share units.  (See "Equity Plans" note.)

Stock Repurchases: When we repurchase and retire our common stock, any excess of the repurchase price paid over par value is allocated between paid-in capital and retained earnings.

Functional Currency: The U.S. dollar is the functional currency for all of our consolidated operations.

Financial Instruments: Cash equivalents include highly liquid short-term investments with original maturities to us of three months or less, readily convertible to known amounts of cash.  Investments with original maturities greater than three months and remaining maturities less than one year are included in short-term investments.  Investments with remaining maturities greater than one year are included in long-term marketable investments.  The carrying value of investment securities sold is determined using the specific identification method.

Derivative and Hedging Instruments: We use derivative financial instruments, primarily forward and option contracts, to manage exposures to fluctuating currency exchange rates. We do not use financial instruments for trading or speculative purposes. Derivative instruments are measured at their fair values and recognized as either assets or liabilities. The accounting for changes in the fair value of derivative instruments is based on the intended use of the derivative and the resulting designation. For derivative instruments that are not designated as hedges for accounting purpose, gains or losses from changes in fair values are recognized in other income (expense). For derivative instruments designated as cash-flow hedges, the effective portion of the gain or loss is included as a component of other comprehensive income (loss), and the ineffective or excluded portion of the gain or loss is included in other operating income (expense). The amounts in accumulated other comprehensive income (loss) for these cash flow hedges are reclassified into earnings in the same line items of the consolidated statements of operation and in the same periods in which the underlying transactions affect earnings.  Effectiveness is measured by comparing the cumulative change in the fair value of the hedge contract with the cumulative change in the forecasted cash flows of the hedged item. For the effectiveness assessment of our cash-flow hedges, changes in the time value are excluded for forward contracts and included for options. (See "Derivative Financial Instruments – Currency Derivatives with Hedge Accounting Designation" note.)
Inventories: Inventories are stated at the lower of average cost or market value.  Cost includes labor, material and overhead costs, including product and process technology costs.  Determining market values of inventories involves numerous judgments, including projecting average selling prices and sales volumes for future periods and costs to complete products in work in process inventories.  When market values are below costs, we record a charge to cost of goods sold to write down inventories to their estimated market value in advance of when the inventories are actually sold.  Inventories are generally categorized as memory (primarily DRAM and NAND Flash and NOR Flash) and imaging products for purposes of determining average cost and market value.  The major characteristics considered in determining inventory categories are product type and markets.

Product and Process Technology: Costs incurred to acquire product and process technology or to patent technology are capitalized and amortized on a straight-line basis over periods ranging up to 10 years.  We capitalize a portion of costs incurred based on the historical and projected patents issued as a percent of patents we file.  Capitalized product and process technology costs are amortized over the shorter of (i) the estimated useful life of the technology, (ii) the patent term or (iii) the term of the technology agreement.  Fully-amortized assets are removed from product and process technology and accumulated amortization.

Property, Plant and Equipment: Property, plant and equipment are stated at cost and depreciated using the straight-line method over estimated useful lives of generally 10 to 30 years for buildings, generally 5 to 7 years for equipment and 3 to 5 years for software.  Assets held for sale are carried at the lower of cost or estimated fair value and are included in other noncurrent assets.  When property or equipment is retired or otherwise disposed, the net book value of the asset is removed and we recognize any gain or loss in our results of operations.

We capitalize interest on borrowings during the active construction period of capital projects.  Capitalized interest is added to the cost of the underlying assets and amortized over the useful lives of the assets.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet09.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Variable Interest Entities
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Variable Interest Entities
Variable Interest Entities

We have interests in joint venture entities that are Variable Interest Entities ("VIEs"). If we are the primary beneficiary of a VIE, we are required to consolidate it. To determine if we are the primary beneficiary, we evaluate whether we have the power to direct the activities that most significantly impact the VIE's economic performance and the obligation to absorb losses or the right to receive benefits of the VIE that could potentially be significant to the VIE. Our evaluation includes identification of significant activities and an assessment of our ability to direct those activities based on governance provisions and arrangements to provide or receive product and process technology, product supply, operations services, equity funding, financing and other applicable agreements and circumstances. Our assessments of whether we are the primary beneficiary of our VIEs require significant assumptions and judgment.

Unconsolidated Variable Interest Entities

Inotera: Inotera Memories, Inc. ("Inotera") is a VIE because (1) its equity is not sufficient to permit it to finance its activities without additional support from its shareholders and (2) of the terms of its supply agreement with us and our partner, Nanya Technology Corporation ("Nanya"). We have determined that we do not have the power to direct the activities of Inotera that most significantly impact its economic performance, primarily due to (1) limitations on our governance rights that require the consent of other parties for key operating decisions and (2) our dependence on our joint venture partner for financing and the ability to operate in Taiwan. Therefore, we account for our interest in Inotera under the equity method.

Transform: Transform Solar Pty Ltd. ("Transform") is a VIE because its equity is not sufficient to permit it to finance its activities without additional financial support from us or our partner, Origin Energy Limited ("Origin"). We have determined that we do not have the power to direct the activities of Transform that most significantly impact its economic performance, primarily due to limitations on our governance rights that require the consent of Origin for key operating decisions. Therefore, we account for our interest in Transform under the equity method. On May 25, 2012, the Board of Directors of Transform approved a liquidation plan. As of August 30, 2012, Transform's operations were substantially discontinued.

For further information regarding our VIEs that we account for under the equity method, see "Equity Method Investments" note.

EQUVO Entities: EQUVO HK Limited and EQUVA Capital 1 Pte. Ltd. (together the "EQUVO Entities") are special purpose entities created to facilitate equipment sale-leaseback financing transactions between us and a consortium of financial institutions. Neither we nor the financial institutions have an equity interest in the EQUVO Entities. The EQUVO Entities are VIEs because their equity is not sufficient to permit them to finance their activities without additional support from the financial institutions and because the third-party equity holder lacks characteristics of a controlling financial interest. By design, the arrangement with the EQUVO Entities is merely a financing vehicle and we do not bear any significant risks from variable interests with the EQUVO Entities. Therefore, we have determined that we do not have the power to direct the activities of the EQUVO Entities that impact their economic performance and we do not consolidate the EQUVO Entities.

Consolidated Variable Interest Entities

IMFT: IM Flash Technologies, LLC ("IMFT") is a VIE because all of its costs are passed to us and its other member, Intel Corporation ("Intel"), through product purchase agreements and IMFT is dependent upon us or Intel for any additional cash requirements.  We determined that we have the power to direct the activities of IMFT that most significantly impact its economic performance.  The primary activities of IMFT are driven by the constant introduction of product and process technology.  Because we perform a significant majority of the technology development, we have the power to direct its key activities.  In addition, IMFT manufactures certain products exclusively for us using our technology.  We also determined that we have the obligation to absorb losses and the right to receive benefits from IMFT that could potentially be significant to it.  Therefore, we consolidate IMFT. In the third quarter of 2012, we entered into agreements with Intel to restructure IMFT.

IMFS: Prior to April 6, 2012, IM Flash Singapore, LLP ("IMFS") was a VIE because all of its costs were passed to us and its other member, Intel, through product purchase agreements and IMFS was dependent upon us or Intel for any additional cash requirements.  Prior to April 6, 2012, we determined that we had the power to direct the activities of IMFS that most significantly impacted its economic performance.  Additionally, since 2010, we had significantly greater economic exposure than Intel as a result of our significantly higher ownership interest in IMFS.  Therefore, we consolidated IMFS. On April 6, 2012, we acquired Intel's remaining interests in IMFS and it ceased to be a VIE.

MP Mask: MP Mask Technology Center, LLC ("MP Mask") is a VIE because all of its costs are passed to us and its other member, Photronics, Inc. ("Photronics"), through product purchase agreements and MP Mask is dependent upon us or Photronics for any additional cash requirements.  We determined that we have the power to direct the activities of MP Mask that most significantly impact its economic performance, primarily because (1) of our tie-breaking voting rights over key operating decisions and (2) nearly all key MP Mask activities are driven by our supply needs.  We also determined that we have the obligation to absorb losses and the right to receive benefits from MP Mask that could potentially be significant to it.  Therefore, we consolidate MP Mask.

For further information regarding our consolidated VIEs, see "Consolidated Variable Interest Entities" note.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet10.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Elpida Memory, Inc. (Elpida Memory, Inc. [Member])
12 Months Ended
Aug. 30, 2012
Elpida Memory, Inc. [Member]
Business Acquisition [Line Items]
Elpida Memory, Inc.
Elpida Memory, Inc.

Elpida Sponsor Agreement

On July 2, 2012, we entered into a sponsor agreement (the "Sponsor Agreement") with the trustees of Elpida Memory, Inc. ("Elpida") and its subsidiary, Akita Elpida Memory, Inc. ("Akita" and, together with Elpida, the "Elpida Companies"). The Elpida Companies filed petitions for corporate reorganization proceedings with the Tokyo District Court under the Corporate Reorganization Act of Japan on February 27, 2012.

Under the Sponsor Agreement, we committed to support plans of reorganization for the Elpida Companies that would provide for payments to the secured and unsecured creditors of the Elpida Companies in an aggregate amount of 200 billion yen (or approximately $2.5 billion), less certain expenses of the reorganization proceedings and certain other items. As a condition of the Sponsor Agreement, we deposited 1.8 billion yen (or approximately $23 million) into an escrow account in July 2012 which will be applied to the share acquisition payments at closing. Of the aggregate amount, we will fund 60 billion yen (or approximately $750 million) through a cash payment to Elpida at the closing, in exchange for 100% ownership of Elpida's equity. The remaining 140 billion yen (or approximately $1.75 billion) of payments will be made by the Elpida Companies in six annual installments payable at the end of each calendar year beginning in 2014, with payments of 20 billion yen (or approximately $250 million) in each of 2014 through 2017, and payments of 30 billion yen (or approximately $375 million) in each of 2018 and 2019.

We have agreed to provide additional support to Elpida, which may include a payment guarantee under certain circumstances, to facilitate its continued access to debtor-in-possession financing of up to 16 billion yen (or approximately $200 million) from third-party finance sources through the closing of the Elpida share purchase, and to use reasonable efforts to assist Elpida in obtaining up to 5 billion yen (or approximately $63 million) of continued debtor-in-possession financing from third parties for up to two months following the closing. In addition, we have agreed to use reasonable efforts to assist the Elpida Companies in financing up to 64 billion yen (or approximately $800 million) of capital expenditures through June 30, 2014, including up to 40 billion yen (or approximately $500 million) prior to June 30, 2013, either by providing payment guarantees under certain circumstances, or by providing such financing directly.

Under applicable Japanese law, following the closing of the transaction, because a portion of the payments to creditors will be satisfied through the installment payments described above, the operation of the businesses of the Elpida Companies will remain subject to the oversight of the court in charge of the reorganization proceedings and of the trustees (including a trustee nominated by us upon the closing of the transaction).

The Sponsor Agreement contains certain termination rights, including our right to terminate the Sponsor Agreement if a change, taken together with all other changes, occurs that is or would reasonably be expected to be materially adverse to (i) the business, assets, etc. of Elpida and its subsidiaries, taken as a whole, or to the business, assets, etc. taken as a whole of Rexchip Electronics Corporation ("Rexchip"), a Taiwanese corporation formed as a manufacturing joint venture by Elpida and Powerchip Technology Corporation ("Powerchip"), a Taiwanese corporation; or (ii) our ability to operate Elpida's business immediately following closing in substantially the same manner as conducted by Elpida as of July 2, 2012.  Elpida currently owns, directly and indirectly through a subsidiary, approximately 65% of Rexchip's outstanding common stock.

The trustees of the Elpida Companies submitted plans of reorganization to the court on August 21, 2012, which plans are subject to court and creditor approval under applicable Japanese law.  The Sponsor Agreement provides that the plans of reorganization submitted by the trustees are to contain terms consistent with the provisions of the Sponsor Agreement.

Certain creditors of Elpida are challenging the proposed plan of reorganization submitted by the trustees and have proposed an alternative plan of reorganization. An examiner appointed by the court has reviewed both plans and is currently expected to make a recommendation to the court, on or about October 29, 2012, regarding whether to submit one or both plans of reorganization to creditors for approval.

The consummation of the Sponsor Agreement is subject to various closing conditions, including but not limited to approval by the Tokyo District Court, requisite creditor approval, receipt of approvals in bankruptcy proceedings in other jurisdictions and receipt of regulatory approvals, including the People's Republic of China. The transaction is currently anticipated to close in the first half of calendar 2013.

Rexchip Share Purchase Agreement

On July 2, 2012, we entered into a share purchase agreement with Powerchip and certain of its affiliates, under which we will purchase approximately 714 million shares of Rexchip common stock, which represents approximately 24% of Rexchip's outstanding common stock for approximately 10 billion New Taiwan dollars (or approximately $334 million). The consummation of this share purchase agreement is subject to various closing conditions, including the closing of the transactions contemplated by the Elpida Sponsor Agreement. At the closing of the Elpida Sponsor Agreement and the Rexchip share purchase agreement, our aggregate beneficial ownership interest in Rexchip will approximate 89%.

Currency Hedging

Elpida Hedges: On July 2, 2012, we executed a series of separate currency exchange transactions pursuant to which we purchased call options to buy 200 billion yen with a weighted-average strike price of 79.15 (yen per U.S. dollar). In addition, to reduce the cost of these call options, we sold put options to sell 100 billion yen with a strike price of 83.32 and we sold call options to buy 100 billion yen with a strike price of 75.57. The net cost of these call and put options, which expire on April 3, 2013, of $49 million is payable upon settlement. These currency options mitigate the risk of a strengthening yen for our yen-denominated payments under the Sponsor Agreement while preserving some ability for us to benefit if the value of the yen weakens relative to the U.S. dollar.   These option contracts were not designated for hedge accounting and are remeasured at fair value each period with gains and losses reflected in our results of operations.

Rexchip Hedges: On July 25, 2012, we executed a series of separate currency exchange transactions pursuant to which we purchased call options to buy 10 billion New Taiwan dollars with a weighted-average strike price of 29.21 (New Taiwan dollar per U.S. dollar). The cost of these options, which expire on April 2, 2013, of $3 million is payable upon settlement. These currency options mitigate the risk of a strengthening New Taiwan dollar for our payments under the Rexchip share purchase agreement.  These option contracts were not designated for hedge accounting and are remeasured at fair value each period with gains and losses reflected in our results of operations.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet11.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Recently Adopted Accounting Standards
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Recently Adopted Accounting Standards
Recently Adopted Accounting Standards

In June 2011, the Financial Accounting Standards Board ("FASB") issued a new accounting standard on the presentation of comprehensive income. The new standard requires the presentation of comprehensive income, the components of net income and the components of other comprehensive income either in a single continuous statement of comprehensive income or in two separate but consecutive statements. We adopted this standard in the fourth quarter of 2012. The adoption of this standard did not have a material impact on our financial statements.

In May 2011, the FASB issued a new accounting standard on fair value measurements that clarifies the application of existing guidance and disclosure requirements, changes certain fair value measurement principles and requires additional disclosures about fair value measurements. We adopted this standard in the third quarter of 2012. The adoption of this standard did not have a material impact on our financial statements.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet12.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Micron Japan Fabrication Facility
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Micron Japan Fabrication Facility
Japan Fabrication Facility

On June 2, 2011, we sold our wafer fabrication facility in Japan (the "Japan Fab") to Tower Semiconductor Ltd. ("Tower"). Under the arrangement, Tower paid $40 million in cash, approximately 1.3 million ordinary shares of Tower (subsequent to a 1 for 15 reverse stock split on August 6, 2012), and $20 million in installment payments, which we received in the second and third quarters of 2012. The net carrying value of assets sold and liabilities transferred to Tower on the transaction date prior to the effects of the transaction was $23 million and we recorded a gain of $54 million (net of transaction costs of $3 million) in connection with the sale of the Japan Fab. We also recorded a tax provision of $74 million related to the gain on the sale and to write down certain deferred tax assets associated with the Japan Fab. In connection with the sale of the Japan Fab, we entered into a supply agreement for Tower to manufacture products for us in the facility through approximately May 2014.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet13.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Numonyx Holdings B.V. (Numonyx Holdings BV [Member])
12 Months Ended
Aug. 30, 2012
Numonyx Holdings BV [Member]
Business Acquisition [Line Items]
Numonyx
Numonyx

On May 7, 2010, we acquired Numonyx, which manufactured and sold primarily NOR Flash and NAND Flash memory products.  We acquired Numonyx to further strengthen our portfolio of memory products, increase manufacturing and revenue scale, access Numonyx's customer base and provide opportunities to increase multi-chip offerings in the embedded and mobile markets. The total fair value of the consideration paid for Numonyx was $1,112 million and consisted of 137.7 million shares of our common stock issued to the Numonyx shareholders and 4.8 million restricted stock units issued to employees of Numonyx.

We determined the fair value of the assets and liabilities of Numonyx as of May 7, 2010 using an in-exchange model. Because the fair value of the net assets acquired of $1,549 million exceeded the purchase price, we recognized a gain on the acquisition of $437 million in the third quarter of 2010.  We believe the gain realized in acquisition accounting was the result of a number of factors, including the following: significant losses recognized by Numonyx during the recent downturn in the semiconductor memory industry; substantial volatility in Numonyx's primary markets; market perceptions that future opportunities for Numonyx products in certain markets were limited; the liquidity afforded to the sellers as a result of the limited opportunities to realize the value of their investment in Numonyx; and potential gains to the sellers through their investment in our equity from synergies we realize with Numonyx.  In addition, we recognized a $51 million income tax benefit in connection with the acquisition. The results of operations for 2010 include $635 million of net sales and $14 million of operating losses from the Numonyx operations after the May 7, 2010 acquisition date.

The following unaudited pro forma financial information presents the combined results of operations as if Numonyx had been combined with us as of the beginning of 2009. The pro forma financial information includes the accounting effects of the business combination, including adjustments to the amortization of intangible assets, depreciation of property, plant and equipment, interest expense and elimination of intercompany activities.  The unaudited pro forma financial information below is not necessarily indicative of either future results of operations or results that might have been achieved had Numonyx been combined with us as of the beginning of 2009.

For the year ended
 
2010
Net sales
 
$
9,895

Net income
 
1,923

Net income attributable to Micron
 
1,873

Earnings per share:
 
 
Basic
 
$
1.90

Diluted
 
1.72


The unaudited pro forma financial information included the results for the year ended September 2, 2010 and the results of Numonyx, including the adjustments described above, for the approximate fiscal year ended September 2, 2010.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet14.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Investments
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Investments [Text Block]
Investments

As of August 30, 2012 and September 1, 2011, available-for-sale investments, including cash equivalents, were as follows:

As of
 
2012
 
2011
 
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
Money market funds
 
$
2,159

 
$

 
$

 
$
2,159

 
$
1,462

 
$

 
$

 
$
1,462

Corporate bonds
 
233

 
1

 

 
234

 

 

 

 

Government securities
 
144

 

 

 
144

 

 

 

 

Asset-backed securities
 
77

 

 

 
77

 

 

 

 

Commercial paper
 
39

 

 

 
39

 

 

 

 

Certificates of deposit
 
31

 

 

 
31

 
155

 

 

 
155

Marketable equity securities
 
10

 

 

 
10

 
27

 
32

 
(7
)
 
52

 
 
$
2,693

 
$
1

 
$

 
$
2,694

 
$
1,644

 
$
32

 
$
(7
)
 
$
1,669


As of August 30, 2012, no available-for-sale security had been in a loss position for longer than 12 months. During 2012, we recognized an other-than-temporary impairment on one of our marketable equity securities of $11 million.

The table below presents the amortized cost and fair value of available-for-sale debt securities as of August 30, 2012 by contractual maturity.

 
 
Amortized Cost
 
Fair Value
Money market funds not due at a single maturity date
 
$
2,159

 
$
2,159

Due in 1 year or less
 
161

 
161

Due in 1 - 2 years
 
157

 
157

Due in 2 - 4 years
 
188

 
189

Due after 4 years
 
18

 
18

 
 
$
2,683

 
$
2,684



Net unrealized holding gains reclassified out of accumulated other comprehensive income from sales of available-for-sale securities were $31 million for 2012. Proceeds from the sales of available-for-sale securities for 2012, 2011 and 2010 were $149 million, $1 million, and $3 million, respectively. Gross realized gains from sales of available-for-sale securities were $34 million for 2012 and gross realized gains and losses for all other periods presented were not significant.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet15.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Receivables
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Receivables
Receivables

As of
 
2012
 
2011
Trade receivables (net of allowance for doubtful accounts of $5 and $3, respectively)
 
$
933

 
$
1,105

Income and other taxes
 
80

 
137

Related party receivables
 
63

 
72

Other
 
213

 
183

 
 
$
1,289

 
$
1,497



As of August 30, 2012 and September 1, 2011, related party receivables included $62 million and $67 million, respectively, due from Aptina Imaging Corporation ("Aptina") primarily for sales of image sensor products under a wafer supply agreement.  (See "Equity Method Investments" note.)

As of August 30, 2012 and September 1, 2011, other receivables included $63 million and $15 million, respectively, from our foreign currency hedges. As of August 30, 2012 and September 1, 2011, other receivables included $34 million and $34 million, respectively, due from Intel for amounts related to NAND Flash and certain emerging memory technologies product design and process development activities under cost-sharing agreements.  As of August 30, 2012 and September 1, 2011, other receivables also included $17 million and $25 million, respectively, due from Nanya for amounts related to DRAM product design and process development activities under a cost-sharing agreement. (See "Derivative Financial Instruments," "Consolidated Variable Interest Entities," "Equity Method Investments" notes.)


------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet16.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Inventories
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Inventories
Inventories

As of
 
2012
 
2011
Finished goods
 
$
512

 
$
596

Work in process
 
1,148

 
1,342

Raw materials and supplies
 
152

 
142

 
 
$
1,812

 
$
2,080




------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet17.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Intangible Assets
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Intangible Assets
Intangible Assets

As of
 
2012
 
2011
 
 
Gross
Amount
 
Accumulated
Amortization
 
Gross
Amount
 
Accumulated
Amortization
Product and process technology
 
$
575

 
$
(234
)
 
$
571

 
$
(203
)
Customer relationships
 
127

 
(98
)
 
127

 
(82
)
Other
 
1

 

 
1

 

 
 
$
703

 
$
(332
)
 
$
699

 
$
(285
)


During 2012 and 2011, we capitalized $47 million and $170 million, respectively, for product and process technology with weighted-average useful lives of 10 years and 7 years, respectively. Amortization expense was $88 million, $79 million and $96 million for 2012, 2011 and 2010, respectively.  Annual amortization expense is estimated to be $83 million for 2013, $76 million for 2014, $58 million for 2015, $50 million for 2016 and $40 million for 2017.


------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet18.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Property, Plant and Equipment
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Property, Plant and Equipment
Property, Plant and Equipment

As of
 
2012
 
2011
Land
 
$
92

 
$
92

Buildings (includes $196 and $163, respectively, for capital leases)
 
4,714

 
4,481

Equipment (includes $919 and $712, respectively, for capital leases)
 
15,653

 
14,735

Construction in progress
 
43

 
155

Software
 
323

 
293

 
 
20,825

 
19,756

Accumulated depreciation (includes $253 and $430, respectively, for capital leases)
 
(13,722
)
 
(12,201
)
 
 
$
7,103

 
$
7,555



Depreciation expense was $2,053 million, $2,026 million and $1,826 million for 2012, 2011 and 2010, respectively. Other noncurrent assets included buildings, equipment, and other assets classified as held for sale of $25 million as of August 30, 2012 and $35 million as of September 1, 2011.


------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet19.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Equity Method Investments
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Equity Method Investments
Equity Method Investments

As of
 
2012
 
2011
 
 
Investment Balance
 
Ownership Percentage
 
Investment Balance
 
Ownership Percentage
Inotera
 
$
370

 
39.7
%
 
$
388

 
29.7
%
Transform
 
7

 
50.0
%
 
87

 
50.0
%
Other
 
12

 
Various

 
8

 
Various

 
 
$
389

 
 

 
$
483

 
 


We recognize our share of earnings or losses from these entities under the equity method, generally on a two-month lag.  Equity in net loss of equity method investees, net of tax, included the following:

For the year ended
 
2012
 
2011
 
2010
Inotera:
 
 
 
 
 
 
Equity method loss
 
$
(227
)
 
$
(154
)
 
$
(56
)
Inotera Amortization
 
48

 
48

 
55

Other
 
(10
)
 
(6
)
 
(5
)
 
 
(189
)
 
(112
)
 
(6
)
Transform
 
(99
)
 
(31
)
 
(12
)
Other
 
(6
)
 
(15
)
 
(21
)
 
 
$
(294
)
 
$
(158
)
 
$
(39
)

The summarized financial information in the tables below reflects aggregate amounts for all of our equity method investees. Financial information is presented for the respective periods through which we recorded our proportionate share of each investee's results of operations, generally on a two-month lag. Summarized results of operations are presented only for the periods subsequent to our acquisition of an ownership interest.

As of
 
2012
 
2011
Current assets
 
$
724

 
$
942

Noncurrent assets
 
3,024

 
4,189

Current liabilities
 
2,519

 
3,201

Noncurrent liabilities
 
155

 
173

For the years ended
 
2012
 
2011
 
2010
Net sales
 
$
1,798

 
$
1,839

 
$
1,927

Gross margin
 
(451
)
 
(268
)
 
73

Operating loss
 
(751
)
 
(559
)
 
(181
)
Net loss
 
(793
)
 
(594
)
 
(237
)

In June 2012, Transform began using the liquidation basis of accounting. Transform's statement of net assets (liabilities) in liquidation included $29 million of assets and $14 million of liabilities, which were excluded from the tables above. Additionally, Transform's statement of changes in net assets (liabilities) in liquidation included a decrease in the estimated fair values of net assets of $67 million. (See "Transform" below.)

Our maximum exposure to loss from our involvement with our equity method investments that were VIEs was $329 million and primarily included our Inotera investment balance as well as related translation adjustments in accumulated other comprehensive income and receivables, if any.  We may also incur losses in connection with our rights and obligations to purchase a portion of Inotera's wafer production capacity under a supply agreement with Inotera. As a result of our March 2012 equity contribution to Inotera, our obligation to purchase Inotera's capacity may increase when additional output results from Inotera's capital investments enabled by our equity investment.

Inotera

We have partnered with Nanya in Inotera, a Taiwanese DRAM memory company, since the first quarter of 2009.  As a result of Inotera's sale of common shares in a public offering, our equity ownership interest decreased from our initial interest of 35.5% to 29.8% and we recognized a gain of $56 million in the first quarter of 2010.  In the second quarter of 2010, as part of another Inotera offering of common shares, we and Nanya each paid $138 million to purchase additional shares, slightly increasing our equity ownership interest to 29.9%.  In 2011, our ownership interest was reduced by shares issued under Inotera's employee stock plans and as of September 1, 2011, we held a 29.7% ownership interest in Inotera.  In March 2012, we contributed $170 million to Inotera, which increased our ownership percentage to 39.7%. As of August 30, 2012, we held a 39.7% ownership interest in Inotera, Nanya held a 26.3% ownership interest and the remaining ownership interest was publicly held.

In the second quarter of 2012, we loaned $133 million to Inotera under a 90-day note with a stated annual interest rate of 2% to facilitate the purchase of capital equipment necessary to implement new process technology. The loan was repaid to us with accrued interest in March 2012.

The net carrying value of our initial and subsequent investments was less than our proportionate share of Inotera's equity at the time of those investments.  These differences are being amortized as a net credit to earnings through equity in net loss of equity method investees (the "Inotera Amortization").  As of August 30, 2012, $19 million of Inotera Amortization remained to be recognized, of which $7 million is estimated to be amortized in 2013 with the remaining amount to be amortized through 2034. The $56 million gain recognized in the first quarter of 2010 on Inotera's issuance of shares included $33 million of accelerated Inotera Amortization.

Due to significant market declines in the selling prices of DRAM, Inotera incurred net losses of $259 million for its six-month period ended June 30, 2012 and $737 million for its fiscal year ended December 31, 2011. Also, Inotera's current liabilities exceeded its current assets by $1.85 billion as of June 30, 2012, which exposes Inotera to liquidity risk. As of June 30, 2012 and December 31, 2011, Inotera was not in compliance with certain loan covenants, and had not been in compliance for the past several years, which may result in its lenders requiring repayment of such loans during the next year. Inotera obtained a waiver from complying with its financial covenants through June 30, 2012 and has requested an additional waiver from these requirements. Inotera's management has developed plans to improve its liquidity. There can be no assurance that Inotera will be successful in obtaining an additional waiver or improving its liquidity.

As of August 30, 2012, based on the closing trading price of Inotera's shares in an active market, the market value of our equity interest in Inotera was $370 million, which exceeded our net carrying value of $321 million. The net carrying value is our investment balance less cumulative translation adjustments in accumulated other comprehensive income (loss). As of August 30, 2012 and September 1, 2011, there were gains of $49 million and $65 million, respectively, in accumulated other comprehensive income (loss) for cumulative translation adjustments from our equity investment in Inotera.

We have a supply agreement with Inotera, under which Nanya is also a party, for the rights and obligations to purchase 50% of Inotera's wafer production capacity (the "Inotera Supply Agreement"). As a result of our March 2012 $170 million equity contribution to Inotera, we expect to receive a higher share of Inotera's 30-nanometer output when it becomes available as a result of Inotera capital investments enabled by our contribution. Our cost of wafers purchased under the Inotera Supply Agreement is based on a margin-sharing formula among Nanya, Inotera and us. Under such formula, all parties' manufacturing costs related to wafers supplied by Inotera, as well as our and Nanya's revenue for the resale of products from wafers supplied by Inotera, are considered in determining costs for wafers acquired from Inotera. Under the Inotera Supply Agreement, we purchased $646 million, $641 million, and $693 million of DRAM products in 2012, 2011 and 2010 respectively. In 2012, we recognized losses on our purchase commitment under the Inotera Supply Agreement of $17 million, $19 million and $40 million in our fourth, second and first quarters, respectively. In 2011, we recognized purchase commitment losses of $28 million, $3 million, $12 million and $11 million in the fourth, third, second and first quarters, respectively.

We recognized $65 million to net sales in 2010 from a licensing arrangement with Nanya, which ceased in April 2010.  Under a cost-sharing arrangement beginning in April 2010, we generally share DRAM development costs with Nanya. As a result of the cost-sharing arrangement, our research and development ("R&D") costs were reduced by $138 million, $141 million, and $51 million in 2012, 2011 and 2010, respectively.  In addition, we recognized royalty revenue from Nanya of $11 million, $25 million, and $6 million in 2012, 2011 and 2010, respectively, for sales of DRAM products manufactured by or for Nanya on process nodes of 50nm or higher. We recognized $13 million of revenue in 2010 under a technology transfer agreement with Inotera.

Transform

In the second quarter of 2010, we acquired a 50% interest in Transform, a developer, manufacturer and marketer of photovoltaic technology and solar panels, from Origin.   In exchange for the equity interest in Transform, we contributed nonmonetary assets, which consisted of manufacturing facilities, equipment, intellectual property and a fully-paid lease to a portion of our Boise, Idaho manufacturing facilities.  As of August 30, 2012, we and Origin each held a 50% ownership interest in Transform.  During 2012, 2011 and 2010, we and Origin each contributed $17 million, $30 million and $26 million, respectively, of cash to Transform.  We recognized net sales of $13 million, $20 million and $15 million in 2012, 2011 and 2010, respectively, for transition services provided to Transform. Revenue on our sales to Transform approximated costs.

As of August 30, 2012 and September 1, 2011, other noncurrent assets included $26 million and $29 million, respectively, for the manufacturing facilities leased to Transform and other noncurrent liabilities included $26 million and $29 million for deferred rent revenue on the fully-paid lease.

As a result of the ongoing challenging global environment in the solar industry and unfavorable worldwide supply and demand conditions, on May 25, 2012, the Board of Directors of Transform approved a liquidation plan. As a result of the liquidation plan, we recognized a charge of $69 million in the third quarter of 2012. As of August 30, 2012, Transform's operations were substantially discontinued.

Other

Other equity method investments includes our 35% equity interest in Aptina. In 2009, we sold a 65% interest in Aptina, previously a wholly-owned subsidiary.  A portion of the 65% interest we sold is in the form of convertible preferred shares that have a liquidation preference over Aptina's common shares.  We recognize our share of Aptina's earnings or losses based on our common stock ownership percentage, which was 64% as of August 30, 2012. During the second quarter of 2012, the amount of cumulative loss we recognized from our investment in Aptina reduced our investment balance to zero and we ceased recognizing our proportionate share of Aptina's losses. We will resume recognizing our proportionate share of Aptina's earnings only when our proportionate share of its earnings exceeds the amount of cumulative net losses not recognized.

We manufacture components for CMOS image sensors for Aptina under a wafer supply agreement.  For 2012, 2011 and 2010, we recognized net sales of $372 million, $349 million and $372 million, respectively, from products sold to Aptina, and cost of goods sold of $395 million, $358 million and $385 million, respectively.

Other equity method investments also included our 50% investment in MeiYa Technology Corporation ("MeiYa"). In connection with our acquisition of an equity interest in Inotera, we entered into agreements with Nanya pursuant to which both parties ceased future funding of, and resource commitments to, MeiYa.  Additionally, MeiYa sold substantially all of its assets to Inotera.  In the second quarter of 2011, we and Nanya each received a distribution from MeiYa of $48 million as a return of capital, representing substantially all of MeiYa's assets. In May 2012, we received $1 million as a return of our remaining MeiYa investment.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet20.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Accounts Payable and Accrued Expenses
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Accounts Payable and Accrued Liabilities Disclosure
Accounts Payable and Accrued Expenses

As of
 
2012
 
2011
Accounts payable
 
$
818

 
$
1,187

Salaries, wages and benefits
 
290

 
304

Customer advances
 
141

 
7

Related party payables
 
130

 
141

Income and other taxes
 
25

 
30

Other
 
237

 
161

 
 
$
1,641

 
$
1,830



As of August 30, 2012 and September 1, 2011, related party payables included $130 million and $139 million, respectively, due to Inotera primarily for the purchase of DRAM products under the Inotera Supply Agreement.

As of August 30, 2012, customer advances included $139 million for amounts received from Intel to be applied to Intel's future purchases under a NAND Flash supply agreement. In addition, as of August 30, 2012, other noncurrent liabilities included $120 million from this agreement. (See "Consolidated Variable Interest Entities – IM Flash" note.)

As of August 30, 2012, other accounts payable and accrued expenses included $51 million of amounts payable for purchased currency options in connection with the Elpida Sponsor Agreement and Rexchip share purchase agreement. As of August 30, 2012 and September 1, 2011, other accounts payable and accrued expenses included $14 million and $17 million, respectively, due to Intel for NAND Flash product design and process development and licensing fees pursuant to cost-sharing agreements. (See "Derivative Financial Instruments" and "Consolidated Variable Interest Entities – IM Flash" note.)


------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet21.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Debt
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Debt
Debt

As of
 
2012
 
2011
Capital lease obligations
 
$
883

 
$
423

2014 convertible senior notes
 
860

 
815

2032C convertible senior notes
 
451

 

2032D convertible senior notes
 
361

 

2031A convertible senior notes
 
265

 
255

2031B convertible senior notes
 
243

 
234

2027 convertible senior notes
 
141

 
135

Intel senior note
 
58

 

2013 convertible senior notes
 

 
139

 
 
3,262

 
2,001

Less current portion
 
(224
)
 
(140
)
 
 
$
3,038

 
$
1,861


Our senior notes are unsecured obligations ranking equally in right of payment with all of our other existing and future unsecured indebtedness, and are effectively subordinated to our capital lease obligations and all of our other existing and future secured indebtedness, to the extent of the value of the assets securing such indebtedness.  All of our debt obligations are structurally subordinated to all indebtedness of our subsidiaries.

Convertible Notes With Debt and Equity Components

The accounting standards for convertible debt instruments that may be fully or partially settled in cash upon conversion require the debt and equity components to be separately accounted for in a manner that reflects our nonconvertible borrowing rate when interest expense is recognized in subsequent periods. The amount recorded as debt is based on the fair value of the debt component as a standalone instrument, determined using an average interest rate for similar nonconvertible debt issued by entities with credit ratings comparable to ours at the time of issuance. The difference between the debt recorded at inception and its principal amount is to be accreted to principal through interest expense through the estimated life of the note.

The debt and equity components of all of our convertible notes outstanding as of August 30, 2012 were required to be accounted for separately. The debt and equity components of our 2013 Notes were not required to be stated separately.

Principal and carrying amounts of the liability components for our convertible notes with debt and equity components were as follows:

As of
 
2012
 
2011
 
 
Outstanding Principal
 
Unamortized Discount
 
Net Carrying Amount
 
Outstanding Principal
 
Unamortized Discount
 
Net Carrying Amount
2014 Notes
 
$
949

 
$
(89
)
 
$
860

 
$
949

 
$
(134
)
 
$
815

2032C Notes
 
550

 
(99
)
 
451

 

 

 

2032D Notes
 
450

 
(89
)
 
361

 

 

 

2031A Notes
 
345

 
(80
)
 
265

 
345

 
(90
)
 
255

2031B Notes
 
345

 
(102
)
 
243

 
345

 
(111
)
 
234

2027 Notes
 
175

 
(34
)
 
141

 
175

 
(40
)
 
135


As of August 30, 2012, the remaining amortization period for the debt discount was approximately 2, 7, 9, 6, 8, and 5 years for 2014 Notes, 2032C Notes, 2032D Notes, 2031A Notes, 2031B Notes, and 2027 Notes, respectively.

Carrying amounts of the equity components for our convertible notes with debt and equity components were as follows:

As of
 
2012
 
2011
2014 Notes
 
$
368

 
$
368

2032C Notes
 
101

 

2032D Notes
 
90

 

2031A Notes
 
89

 
89

2031B Notes
 
109

 
109

2027 Notes
 
40

 
40



Interest expense for our convertible notes with debt and equity components was as follows:

For the year ended
 
2012
 
2011
 
2010
Contractual interest expense:
 
 
 
 
 
 
2014 Notes, stated rate of 1.875%
 
$
18

 
$
19

 
$
24

2032C Notes, stated rate of 2.375%
 
5

 

 

2032D Notes, stated rate of 3.125%
 
5

 

 

2031A Notes, stated rate of 1.5%
 
5

 
1

 

2031B Notes, stated rate of 1.875%
 
6

 
1

 

2027 Notes, stated rate of 1.875%
 
3

 
3

 

 
 
42

 
24

 
24

 
 
 
 
 
 
 
Amortization of discount and issuance costs:
 
 
 
 
 
 
2014 Notes, effective rate of 7.9%
 
47

 
46

 
56

2032C Notes, effective rate of 6.0%
 
5

 

 

2032D Notes, effective rate of 6.3%
 
3

 

 

2031A Notes, effective rate of 6.5%
 
11

 
1

 

2031B Notes, effective rate of 7.0%
 
10

 
1

 

2027 Notes, effective rate of 6.9%
 
6

 
5

 

 
 
82

 
53

 
56

 
 
$
124

 
$
77

 
$
80



Capital Lease Obligations

We have various capital lease obligations due in periodic installments through August 2050 with weighted-average effective interest rates of 4.9% as of 2012 and 6.1% as of 2011. In 2012, we received $609 million in proceeds from equipment sale-leaseback transactions and as a result recorded capital lease obligations aggregating $609 million at a weighted-average effective interest rate of 4.2%, payable in periodic installments through August 2016. In 2011, we received $268 million in proceeds from equipment sale-leaseback transactions and as a result recorded capital lease obligations aggregating $246 million at a weighted-average effective interest rate of 5.4%, payable in periodic installments through May 2016.

2014 Notes

In May 2007, we issued $1.3 billion of the 2014 Notes due June 2014, of which $351 million was extinguished in 2011 in connection with a debt restructure (see "Debt Restructure" below). The initial conversion rate of the 2014 Notes is 70.2679 shares of common stock per $1,000 principal amount, or approximately $14.23 per share. Interest is payable in June and December of each year.

Conversion Rights: Holders may convert their 2014 Notes under the following circumstances: (1) during any calendar quarter if the closing price of our common stock for at least 20 trading days in the 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter is more than 130% of the conversion price of the 2014 Notes (approximately $18.50 per share); (2) if the 2014 Notes have been called for redemption; (3) if specified distributions or corporate events occur, as set forth in the indenture for the 2014 Notes; (4) if the trading price of the 2014 Notes is less than 98% of the product of the closing price of our common stock and the conversion rate of the 2014 Notes during the periods specified in the indenture; or (5) at any time on or after March 1, 2014.

We have the option to pay cash, issue shares of common stock or any combination thereof for the aggregate amount due upon conversion. It is our current intent to settle the principal amount of the 2014 Notes in cash upon conversion. As a result, upon conversion of the 2014 Notes, only the amounts payable in excess of the principal amounts of the 2014 Notes are considered in diluted earnings per share under the treasury stock method.

Cash Redemption at Our Option: We may redeem for cash the 2014 Notes if the last reported sale price of our common stock has been at least 130% of the conversion price (approximately $18.50 per share) for at least 20 trading days during any 30 consecutive trading-day period. The redemption price is the principal amount to be redeemed, plus accrued and unpaid interest.

Cash Repurchase at the Option of the Holder: Upon a change in control or a termination of trading, as defined in the indenture, holders may require us to repurchase for cash all or a portion of their 2014 Notes at a repurchase price equal to the principal amount, plus accrued and unpaid interest, if any.

2032C and 2032D Notes

On April 18, 2012, we issued $550 million of the 2032C Notes and $450 million of the 2032D Notes (collectively referred to as the "2032 Notes"), each due May 2032. Issuance costs for the 2032 Notes totaled $21 million. The initial conversion rate for the 2032C Notes is 103.8907 shares of common stock per $1,000 principal amount, equivalent to an initial conversion price of approximately $9.63 per share of common stock. The initial conversion rate for the 2032D Notes is 100.1803 shares of common stock per $1,000 principal amount, equivalent to an initial conversion price of approximately $9.98 per share of common stock. Interest is payable in May and November of each year.

Upon issuance of the 2032 Notes, we recorded $805 million of debt, $191 million of additional capital and $17 million of deferred debt issuance costs (included in other noncurrent assets). The amount recorded as debt is based on the fair value of the debt component as a standalone instrument and was determined using an average interest rate for similar nonconvertible debt issued by entities with credit ratings comparable to ours at the time of issuance (Level 2). The difference between the debt recorded at inception and the principal amount ($104 million for the 2032C Notes and $92 million for the 2032D Notes) is being accreted to principal as interest expense through May 2019 for the 2032C Notes and May 2021 for the 2032D Notes, the expected life of the notes.

Conversion Rights: Holders may convert their 2032 Notes under the following circumstances: (1) if the 2032 Notes are called for redemption; (2) during any calendar quarter if the closing price of our common stock for at least 20 trading days in the 30 consecutive trading days ending on the last trading day of the preceding calendar quarter is more than 130% of the conversion price (approximately $12.52 per share for the 2032C Notes and $12.97 per share for the 2032D Notes) of the 2032C or 2032D Notes; (3) during the five business day period immediately after any five consecutive trading day period in which the trading price of the 2032C or 2032D Notes is less than 98% of the product of the closing price of our common stock and the conversion rate of the 2032C or 2032D Notes; (4) if specified distributions or corporate events occur, as set forth in the indenture for the 2032 Notes; or (5) at any time after February 1, 2032.

We have the option to pay cash, issue shares of common stock or any combination thereof for the aggregate amount due upon conversion. It is our current intent to settle the principal amount of the 2032 Notes in cash upon conversion. As a result, upon conversion of the 2032 Notes, only the amounts payable in excess of the principal amounts of the 2032 Notes are considered in diluted earnings per share under the treasury stock method.

Cash Redemption at Our Option: We may redeem for cash the 2032C Notes on or after May 1, 2016 and the 2032D Notes on or after May 1, 2017 if the volume weighted average price of our common stock has been at least 130% of the conversion price (approximately $12.52 per share for the 2032C Notes and $12.97 per share for the 2032D Notes) for at least 20 trading days during any 30 consecutive trading day period. The redemption price will equal the principal amount plus accrued and unpaid interest. If we redeem the 2032C Notes prior to May 4, 2019, or the 2032D Notes prior to May 4, 2021, we will also pay a make-whole premium in cash equal to the present value of all remaining scheduled payments of interest from the redemption date to May 4, 2019 for the 2032C Notes, or to May 4, 2021 for the 2032D Notes, using a discount rate equal to 150 basis points.

Cash Repurchase at the Option of the Holder: We may be required by the holders of the 2032 Notes to repurchase for cash all or a portion of the 2032C Notes on May 1, 2019 and all or a portion of the 2032D Notes on May 1, 2021. The repurchase price is equal to the principal amount plus accrued and unpaid interest. Upon a change in control or a termination of trading, as defined in the indenture, holders of the 2032 Notes may require us to repurchase for cash all or a portion of their 2032 Notes at a repurchase price equal to the principal amount plus accrued and unpaid interest.

2031A and 2031B Notes

On July 26, 2011, we issued $345 million of the 2031A Notes and $345 million of 2031B Notes (collectively referred to as the "2031 Notes"), each due August 2031. The initial conversion rate for the 2031 Notes is 105.2632 shares of common stock per $1,000 principal amount, equivalent to an initial conversion price of approximately $9.50 per share of common stock. Interest is payable in February and August of each year.

Conversion Rights: Holders may convert their 2031 Notes under the following circumstances: (1) during any calendar quarter if the closing price of our common stock for at least 20 trading days in the 30 consecutive trading days ending on the last trading day of the preceding calendar quarter is more than 130% of the conversion price of the 2031 Notes (approximately $12.35 per share); (2) if the 2031 Notes are called for redemption; (3) if specified distributions or corporate events occur, as set forth in the indenture for the 2031 Notes; (4) if the trading price of the 2031 Notes is less than 98% of the product of the closing price of our common stock and the conversion rate of the 2031 Notes during the periods specified in the indenture; or (5) at any time after May 1, 2031.

Upon conversion, we will pay cash up to the aggregate principal amount and cash, shares of common stock or a combination of cash and shares of common stock, at our option, for any remaining conversion obligations. As a result of the conversion provisions in the indenture, upon conversion of the 2031 Notes, only the amounts payable in excess of the principal amounts of the 2031 Notes are considered in diluted earnings per share under the treasury stock method.

Cash Redemption at Our Option: We may redeem for cash the 2031A Notes on or after August 5, 2013 and the 2031B Notes on or after August 5, 2014 if the last reported sale price of our common stock has been at least 130% of the conversion price (approximately $12.35 per share) for at least 20 trading days during any 30 consecutive trading day period. The redemption price will equal the principal amount plus accrued and unpaid interest. If we redeem the 2031A Notes prior to August 5, 2015, or the 2031B Notes prior to August 5, 2016, we will also pay a make-whole premium in cash equal to the present value of all remaining scheduled payments of interest on the 2031 Notes, using a discount rate equal to 150 basis points.

Cash Repurchase at the Option of the Holder: We may be required by the holders of the 2031 Notes to repurchase for cash all or a portion of the 2031A Notes on August 1, 2018 and all or a portion of the 2031B Notes on August 1, 2020. The repurchase price is equal to the principal amount, plus accrued and unpaid interest. Upon a change in control or a termination of trading, as defined in the indenture, we may be required by the holders of the 2031 Notes to repurchase for cash all or a portion of their 2031 Notes at a repurchase price equal to the principal amount plus accrued and unpaid interest.

2027 Notes

In connection with a debt restructure in 2011 (see "Debt Restructure" below), we issued $175 million of the 2027 Notes due June 2027. The initial conversion rate is 91.7431 shares of common stock per $1,000 principal amount or approximately $10.90 per share, and is subject to adjustment upon the occurrence of certain events specified in the indenture.

Conversion Rights: Holders may convert their 2027 Notes under the following circumstances: (1) during any calendar quarter if the closing price of our common stock for at least 20 trading days in the 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter is more than 130% of the conversion price (approximately $14.17 per share); (2) if the 2027 Notes have been called for redemption; (3) if specified distributions or corporate events occur; (4) if the trading price of the 2027 Notes is less than 98% of the product of the closing price of our common stock and the conversion rate of the 2027 Notes during the period specified in the indenture; (5) upon our election to terminate the conversion right of the 2027 Notes; or (6) after March 1, 2027.

Upon conversion, we will pay cash up to the aggregate principal amount and shares of common stock or cash, at our option, for any remaining conversion obligation. As a result of the conversion provisions in the indenture, upon conversion of the 2027 Notes, only the amounts payable in excess of the principal amounts of the 2027 Notes are considered in diluted earnings per share under the treasury stock method.

Cash Redemption at Our Option: We may redeem for cash the 2027 Notes on or after June 1, 2014 at a price equal to the principal amount plus accrued and unpaid interest.

Cash Repurchase at the Option of the Holder: We may be required by the holders of the 2027 Notes to repurchase for cash the 2027 Notes on June 1, 2017. The repurchase price is equal to the principal amount, plus accrued and unpaid interest. Upon a change in control or a termination of trading, as defined in the indenture, we may be required by the holders of the 2027 Notes to repurchase for cash all or a portion of their 2027 Notes at a repurchase price equal to the principal amount plus accrued and unpaid interest.

Termination of Conversion Rights: We may elect to terminate the conversion right of the 2027 Notes if the daily volume weighted average price of our common stock is greater than or equal to 130% of the conversion price (approximately $14.17 per share) for at least 20 trading days during any 30 consecutive trading day period. If we terminate the conversion right prior to June 1, 2014 and any 2027 Notes are converted in connection with the termination, we will pay a make-whole premium equal to the accrued interest as of the conversion date plus the present value of remaining interest that would have been paid through May 31, 2014, discounted using a U.S. Treasury bond with an equivalent term. Subject to the terms of the indenture, we may, at our election, deliver shares of common stock in lieu of cash with respect to this make-whole payment.

Intel Note

In connection with the IM Flash joint venture agreements, on April 6, 2012, we borrowed $65 million under a two-year senior unsecured promissory note from Intel, payable in approximately equal quarterly installments with interest at a rate of 3-month LIBOR minus 50 basis points. The proceeds of the loan are to be used to fund purchases of equipment relating to the research and development or manufacturing of certain emerging memory technologies. (See "Consolidated Variable Interest Entities – IM Flash" note.)

2013 Notes Conversion

In the third quarter of 2012, we provided a written notice that we would redeem our 2013 convertible senior notes on June 4, 2012. As of June 4, 2012, the entire $139 million of principal amount of the 2013 Notes had been converted by holders into 27.3 million shares. We were required to pay a make-whole premium of $9 million, which is reflected in interest expense.

Debt Restructure

In the first quarter of 2011, in connection with a series of debt restructure transactions with certain holders of our convertible notes, we recognized a loss of $111 million as follows:

$15 million on the exchange of $175 million in aggregate principal amount of our 2014 Notes for $175 million in aggregate principal amount of new 2027 Notes;
$17 million (including transaction fees) on the repurchase of $176 million in aggregate principal amount of our 2014 Notes for $171 million in cash; and
$79 million (including transaction fees) on the repurchase of $91 million in aggregate principal amount of our 2013 Notes for $166 million in cash.

Subsequent Events – Financing

On September 5, 2012, we entered into a three-year revolving credit facility. Under this credit facility, we can draw up to the lesser of $255 million or 80% of the net outstanding balance of a pool of certain accounts receivable. We granted a security interest in such receivables to collateralize the facility. The availability of the facility is subject to certain customary conditions, including the absence of any event or circumstance that has a material adverse effect on our business or financial condition. Interest is payable monthly on any outstanding principal balance at a variable rate equal to the Singapore Interbank Offering Rate ("SIBOR") plus 2.8% per annum.

On October 2, 2012, we entered into a facility agreement to obtain financing collateralized by semiconductor production equipment.  Subject to customary conditions, we can draw up to $214 million under the facility agreement prior to April 4, 2013.  Amounts drawn are payable in 10 equal semi-annual installments beginning six months after the draw date.  On October 18, 2012, we drew $173 million with interest at 2.38% per annum.  Additional amounts drawn will bear interest, at our option, at either (i) a fixed rate negotiated at the time of the draw request or (ii) a floating rate equal to the six-month LIBOR rate plus 1.6% per annum.  The facility agreement contains customary covenants.

Maturities of Notes Payable and Future Minimum Lease Payments

As of August 30, 2012, maturities of notes payable and future minimum lease payments under capital lease obligations were as follows:

As of August 30, 2012
 
Notes Payable
 
Capital Lease Obligations
2013
 
$
33

 
$
231

2014
 
974

 
218

2015
 

 
224

2016
 

 
228

2017
 
175

 
23

2018 and thereafter
 
1,690

 
71

Discounts and interest, respectively
 
(493
)
 
(112
)
 
 
$
2,379

 
$
883

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet22.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Commitments
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Commitments Disclosure [Text Block]
Commitments

As of August 30, 2012, we had commitments of approximately $550 million for the acquisition of property, plant and equipment.  We lease certain facilities and equipment under operating leases.  Total rental expense was $48 million, $69 million and $41 million for 2012, 2011 and 2010, respectively.  We also subleased certain facilities and buildings under operating leases to Aptina and recognized $4 million and $7 million of rental income in 2012 and 2011, respectively.  As of August 30, 2012, minimum future rental commitments are as follows:

As of August 30, 2012
 
Operating Lease Commitments
2013
 
$
25

2014
 
16

2015
 
9

2016
 
9

2017
 
7

2018 and thereafter
 
24

 
 
$
90

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet23.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Contingencies
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Contingencies
Contingencies

We have accrued a liability and charged operations for the estimated costs of adjudication or settlement of various asserted and unasserted claims existing as of the balance sheet date, including those described below. We are currently a party to other legal actions arising from the normal course of business, none of which is expected to have a material adverse effect on our business, results of operations or financial condition.

Patent Matters

As is typical in the semiconductor and other high technology industries, from time to time, others have asserted, and may in the future assert, that our products or manufacturing processes infringe their intellectual property rights.

We are engaged in litigation with Rambus, Inc. ("Rambus") relating to certain of Rambus' patents and certain of our claims and defenses. Our lawsuits with Rambus are pending in the U.S. District Court for the District of Delaware, U.S. District Court for the Northern District of California, Germany, France, and Italy. On August 28, 2000, we filed a complaint against Rambus in the U.S. District Court for the District of Delaware seeking declaratory and injunctive relief. The complaint alleges, among other things, various anticompetitive activities and also seeks a declaratory judgment that certain Rambus patents are invalid and/or unenforceable. Rambus subsequently filed an answer and counterclaim in Delaware alleging, among other things, infringement of twelve Rambus patents and seeking monetary damages and injunctive relief. We subsequently added claims and defenses based on Rambus' alleged spoliation of evidence and litigation misconduct. The spoliation and litigation misconduct claims and defenses were heard in a bench trial before Judge Robinson in October 2007. On January 9, 2009, Judge Robinson entered an opinion in our favor holding that Rambus had engaged in spoliation and that the twelve Rambus patents in the suit were unenforceable against us. Rambus subsequently appealed the decision to the U.S. Court of Appeals for the Federal Circuit. On May 13, 2011, the Federal Circuit affirmed Judge Robinson's finding of spoliation, but vacated the dismissal sanction and remanded the case to the Delaware District Court for analysis of the remedy based on the Federal Circuit's decision. On January 13, 2006, Rambus filed a lawsuit against us in the U.S. District Court for the Northern District of California alleging that certain of our DDR2, DDR3, RLDRAM and RLDRAM II products infringe as many as fourteen Rambus patents and seeking monetary damages, treble damages, and injunctive relief. The Northern District of California Court stayed the trial of the patent phase of the Northern District of California case upon appeal of the Delaware spoliation issue to the Federal Circuit.

On March 6, 2009, Panavision Imaging, LLC "(Panavision") filed suit against us and Aptina Imaging Corporation, then a wholly-owned subsidiary, in the U.S. District Court for the Central District of California. The complaint alleged that certain of our and Aptina's image sensor products infringed four Panavision U.S. patents and sought injunctive relief, damages, attorneys' fees, and costs. On February 7, 2011, the Court ruled that one of the four patents in suit was invalid for indefiniteness. On March 10, 2011, claims relating to the remaining three patents in suit were dismissed with prejudice. Panavision subsequently filed a motion for reconsideration of the Court's decision regarding invalidity of the first patent, and we filed a motion for summary judgment of non-infringement of such patent. On July 8, 2011, the Court issued an order that rescinded its prior indefiniteness decision, and held that the disputed term does not render the claims in suit indefinite. On February 3, 2012, the Court granted our motion for summary judgment of non-infringement. On March 20, 2012, we executed a settlement agreement with Panavision pursuant to which the parties agreed to a settlement and release of all claims and a dismissal with prejudice of the litigation, which did not have a material effect on our business, results of operations or financial condition.

On September 1, 2011, HSM Portfolio LLC and Technology Properties Limited LLC filed a patent infringement action in the U.S. District Court for the District of Delaware against us and seventeen other defendants. The complaint alleges that certain of our DRAM and image sensor products infringe two U.S. patents and seeks injunctive relief, damages, attorneys' fees, and costs.

On September 9, 2011, Advanced Data Access LLC filed a patent infringement action in the U.S. District Court for the Eastern District of Texas (Tyler) against us and seven other defendants. On November 16, 2011, Advanced Data Access filed an amended complaint. The amended complaint alleges that certain of our DRAM products infringe two U.S. patents and seeks injunctive relief, damages, attorneys' fees, and costs.

On September 14, 2011, Smart Memory Solutions LLC filed a patent infringement action in the U.S. District Court for the District of Delaware against us and Winbond Electronics Corporation of America.  The complaint alleges that certain of our NOR Flash products infringe a single U.S. patent and seeks injunctive relief, damages, attorneys' fees, and costs.

On December 5, 2011, the Board of Trustees for the University of Illinois filed a patent infringement action against us in the U.S. District Court for the Central District of Illinois. The complaint alleges that unspecified semiconductor products of ours infringe three U.S. patents and seeks injunctive relief, damages, attorneys' fees, and costs.

On March 26, 2012, Semiconductor Technologies, LLC filed a patent infringement action in the U.S. District Court for the Eastern District of Texas (Marshall) against us. The complaint alleges that certain of our DRAM products infringe five U.S. patents and seeks injunctive relief, damages, attorneys' fees, and costs.

On March 28, 2012, Technology Partners Limited LLC (“TPL”) filed a patent infringement action in the U.S. District Court for the Eastern District of Texas (Tyler) against us. The complaint alleges that certain of our Lexar flash card readers infringe four U.S. patents and seeks injunctive relief, damages, attorneys' fees, and costs. On March 26, 2012, TPL filed a parallel complaint with the U.S. International Trade Commission under Section 337 of the Tariff Act of 1930 against us and numerous other companies alleging infringement of the same patents and seeking an exclusion order preventing the importation of certain flash card readers. The District Court action has been stayed pending the outcome of the ITC matter. The ITC matter was scheduled for trial on January 7, 2013. On October 8, 2012, we executed a settlement agreement with TPL pursuant to which the parties agreed to a settlement and release of all claims and a dismissal with prejudice of the litigation, which did not have a material effect on our business, results of operations or financial condition.

On April 17, 2012, Anu IP, LLC (“Anu”) filed a patent infringement action in the U.S. District Court for the Eastern District of Texas (Marshall) against us. The complaint alleges that certain of our Lexar USB drives infringe one U.S. patent and seeks injunctive relief, damages, attorneys' fees, and costs. On April 18, 2012, Anu filed a parallel complaint with the U.S. International Trade Commission under Section 337 of the Tariff Act of 1930 against us and numerous other companies alleging infringement of the same patent and another related patent and seeking an exclusion order preventing the importation of certain USB drives. The District Court action has been stayed pending the outcome of the ITC matter. On August 27, 2012, we executed a settlement agreement with Anu pursuant to which the parties agreed to a settlement and release of all claims and a dismissal with prejudice of the litigation, which did not have a material effect on our business, results of operations or financial condition.

On April 27, 2012, Semcon Tech, LLC filed a patent infringement action against us in the U.S. District Court for the District of Delaware. The complaint alleges that our use of a Reflexion CMP polishing system purchased from Applied Materials infringes a single U.S. patent and seeks injunctive relief, damages, attorneys' fees, and costs.

Among other things, the above lawsuits pertain to certain of our SDRAM, DDR, DDR2, DDR3, RLDRAM, NAND Flash, NOR Flash and image sensor products, which account for a significant portion of our net sales.

We are unable to predict the outcome of assertions of infringement made against us and therefore cannot estimate the range of possible loss, except as noted in the discussion of the Panavision, TPL and Anu matters above. A court determination that our products or manufacturing processes infringe the intellectual property rights of others could result in significant liability and/or require us to make material changes to our products and/or manufacturing processes. Any of the foregoing could have a material adverse effect on our business, results of operations or financial condition.

Antitrust Matters

On May 5, 2004, Rambus filed a complaint in the Superior Court of the State of California (San Francisco County) against us and other DRAM suppliers which alleged that the defendants harmed Rambus by engaging in concerted and unlawful efforts affecting Rambus DRAM by eliminating competition and stifling innovation in the market for computer memory technology and computer memory chips.  Rambus' complaint alleged various causes of action under California state law including, among other things, a conspiracy to restrict output and fix prices, a conspiracy to monopolize, intentional interference with prospective economic advantage, and unfair competition. Rambus sought a judgment for damages of approximately $3.9 billion, joint and several liability, trebling of damages awarded, punitive damages, a permanent injunction enjoining the defendants from the conduct alleged in the complaint, interest, and attorneys' fees and costs. Trial began on June 20, 2011, and the case went to the jury on September 21, 2011. On November 16, 2011, the jury found for us on all claims. On April 2, 2012, Rambus filed a notice of appeal to the California 1st District Court of Appeal.

At least sixty-eight purported class action price-fixing lawsuits have been filed against us and other DRAM suppliers in various federal and state courts in the United States and in Puerto Rico on behalf of indirect purchasers alleging a conspiracy to increase DRAM prices in violation of federal and state antitrust laws and state unfair competition law, and/or unjust enrichment relating to the sale and pricing of DRAM products during the period from April 1999 through at least June 2002. The complaints seek joint and several damages, trebled, in addition to restitution, costs and attorneys' fees. A number of these cases have been removed to federal court and transferred to the U.S. District Court for the Northern District of California for consolidated pre-trial proceedings. In July, 2006, the Attorneys General for approximately forty U.S. states and territories filed suit in the U.S. District Court for the Northern District of California. The complaints allege, among other things, violations of the Sherman Act, Cartwright Act, and certain other states' consumer protection and antitrust laws and seek joint and several damages, trebled, as well as injunctive and other relief. On October 3, 2008, the California Attorney General filed a similar lawsuit in California Superior Court, purportedly on behalf of local California government entities, alleging, among other things, violations of the Cartwright Act and state unfair competition law. On June 23, 2010, we executed a settlement agreement resolving these purported class-action indirect purchaser cases and the pending cases of the Attorneys General relating to alleged DRAM price-fixing in the United States. Subject to certain conditions, including final court approval of the class settlements, we agreed to pay approximately $67 million in aggregate in three equal installments over a two-year period. As of August 30, 2012, we had paid $45 million into an escrow account in accordance with the settlement agreement.

Three putative class action lawsuits alleging price-fixing of DRAM products also have been filed against us in Quebec, Ontario, and British Columbia, Canada, on behalf of direct and indirect purchasers, asserting violations of the Canadian Competition Act and other common law claims (collectively the "Canadian Cases").  The claims were initiated between December 2004 (British Columbia) and June 2006 (Quebec). The plaintiffs seek monetary damages, restitution, costs, and attorneys' fees. The substantive allegations in these cases are similar to those asserted in the DRAM antitrust cases filed in the United States.  Plaintiffs' motion for class certification was denied in the British Columbia and Quebec cases in May and June 2008, respectively.  Plaintiffs subsequently filed an appeal of each of those decisions.  On November 12, 2009, the British Columbia Court of Appeal reversed, and on November 16, 2011, the Quebec Court of Appeal also reversed the denial of class certification and remanded the cases for further proceedings. On October 16, 2012, we entered into a settlement agreement resolving these three putative class action cases subject to certain conditions including final court approval of the settlement. The settlement amount did not have a material effect on our business, results of operations or financial condition.

On June 21, 2010, the Brazil Secretariat of Economic Law of the Ministry of Justice ("SDE") announced that it had initiated an investigation relating to alleged anticompetitive activities within the DRAM industry. The SDE's Notice of Investigation names various DRAM manufacturers and certain executives, including us, and focuses on the period from July 1998 to June 2002.

On September 24, 2010, Oracle America Inc. ("Oracle"), successor to Sun Microsystems, a DRAM purchaser that opted-out of a direct purchaser class action suit that was settled, filed suit against us in U.S. District Court for the Northern District of California. The complaint alleged a conspiracy to increase DRAM prices and other violations of federal and state antitrust and unfair competition laws based on purported conduct for the period from August 1, 1998 through at least June 15, 2002. Oracle sought joint and several damages, trebled, as well as restitution, disgorgement, attorneys' fees, costs and injunctive relief. On March 23, 2012, we entered into a settlement agreement with Oracle pursuant to which we agreed to make a payment of $58 million to Oracle for a settlement and full release of all claims and a dismissal with prejudice of the litigation. The settlement amount was paid in May 2012.

We are unable to predict the outcome of these matters and therefore cannot estimate the range of possible loss, except as noted in the U.S. indirect purchasers cases, the Canadian Cases and Oracle matter above. The final resolution of these alleged violations of antitrust laws could result in significant liability and could have a material adverse effect on our business, results of operations or financial condition.

Commercial Matters

On January 20, 2011, Dr. Michael Jaffé, administrator for Qimonda AG ("Qimonda") insolvency proceedings, filed suit against us and Micron Semiconductor B.V., our Netherlands subsidiary, in the District Court of Munich, Civil Chamber. The complaint seeks to void under Section 133 of the German Insolvency Act a share purchase agreement between us and Qimonda signed in fall 2008 pursuant to which we purchased all of Qimonda's shares of Inotera Memories, Inc. and seeks an order requiring us to retransfer the Inotera shares purchased from Qimonda to the Qimonda estate. The complaint also seeks to terminate under Sections 103 or 133 of the German Insolvency Code a patent cross license between us and Qimonda entered into at the same time as the share purchase agreement. A three-judge panel will render a decision after a series of hearings with pleadings, arguments and witnesses. A first hearing was held on September 25, 2012. The next hearing is scheduled for February 5, 2013. We are unable to predict the outcome of this lawsuit and therefore cannot estimate the range of possible loss. The final resolution of this lawsuit could result in the loss of the Inotera shares or equivalent monetary damages and the termination of the patent cross license, which could have a material adverse effect on our business, results of operation or financial condition. As of August 30, 2012, the Inotera shares purchased from Qimonda had a net carrying value of $177 million.

In the normal course of business, we are a party to a variety of agreements pursuant to which we may be obligated to indemnify the other party. It is not possible to predict the maximum potential amount of future payments under these types of agreements due to the conditional nature of our obligations and the unique facts and circumstances involved in each particular agreement. Historically, our payments under these types of agreements have not had a material adverse effect on our business, results of operations or financial condition.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet24.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Shareholders' Equity
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Shareholders' Equity
Shareholders' Equity

Repurchase of Common Stock

On July 26, 2011, we paid $150 million to repurchase 19.7 million shares of common stock at $7.60 per share.

Capped Calls

Issued and Outstanding Capped Calls: Concurrent with the offering of the 2032C and 2032D Notes, in April 2012, we entered into capped call transactions (the "2012C Capped Calls" and "2012D Capped Calls," collectively the "2012 Capped Calls") that have an initial strike price of approximately $9.80 and $10.16 per share, respectively, subject to certain adjustments, which was set to be slightly higher than the initial conversion prices of approximately $9.63 for the 2032C Notes and $9.98 for the 2032D Notes.  The 2012C Capped Calls are in four tranches, with cap prices of $14.26, $14.62, $15.33 and $15.69 per share, and cover, subject to anti-dilution adjustments similar to those contained in the 2032C Notes, an approximate combined total of 56.3 million shares of common stock.  The 2012C Capped Calls expire on various dates between May 2016 and November 2017. The 2012D Capped Calls are in four tranches, with cap prices of $14.62, $15.33, $15.69 and $16.04 per share, and cover, subject to anti-dilution adjustments similar to those contained in the 2032D Notes, an approximate combined total of 44.3 million shares of common stock.  The 2012D Capped Calls expire on various dates between November 2016 and May 2018.  The 2012 Capped Calls are intended to reduce the potential dilution upon conversion of the 2032 Notes.  The 2012 Capped Calls may be settled in shares or cash, at our election. Settlement of the 2012 Capped Calls in cash on their respective expiration dates would result in us receiving an amount ranging from zero, if the market price per share of our common stock is at or below $9.80, to a maximum of $551 million.  We paid $103 million to purchase the 2012 Capped Calls, which was charged to additional capital.

Concurrent with the offering of the 2031 Notes, in July 2011, we entered into capped call transactions (the "2011 Capped Calls") that have an initial strike price of approximately $9.50 per share, subject to certain adjustments, which was set to equal the initial conversion price of the 2031 Notes.  The 2011 Capped Calls are in four equal tranches, with cap prices of $11.40, $12.16, $12.67 and $13.17 per share, and cover, subject to anti-dilution adjustments similar to those contained in the 2031 Notes, an approximate combined total of 72.6 million shares of common stock.  The 2011 Capped Calls expire on various dates between July 2014 and February 2016.  The 2011 Capped Calls are intended to reduce the potential dilution upon conversion of the 2031 Notes.  Settlement of the 2011 Capped Calls in cash on their respective expiration dates would result in us receiving an amount ranging from zero if the market price per share of our common stock is at or below $9.50 to a maximum of $207 million.  We paid $57 million to purchase the 2011 Capped Calls, which was charged to additional capital.

Concurrent with the offering of the 2013 Notes in April 2009, we entered into capped call transactions (the "2009 Capped Calls") that have an initial strike price of approximately $5.08 per share, subject to certain adjustments, which was set to equal the initial conversion price of the 2013 Notes.  The 2009 Capped Calls have a cap price of $6.64 per share and cover, subject to anti-dilution adjustments similar to those contained in the 2013 Notes, an approximate combined total of 45.2 million shares of common stock, and are subject to standard adjustments for instruments of this type.  The 2009 Capped Calls expire in October 2012 and November 2012.  We elected to settle the 2009 Capped Calls in cash and the amount we will receive will depend on the market price per share of our common stock on the expiration dates. We paid $25 million to purchase the 2009 Capped Calls, which was charged to additional capital.

Settlement and Expiration of the 2007 Capped Calls: Concurrent with the offering of the 2014 Notes, we purchased capped calls with a strike price of approximately $14.23 per share and various expiration dates between November 2011 and December 2012 (the "2007 Capped Calls").  In the first six months of 2012, 2007 Capped Calls covering 30.4 million shares expired according to their terms.  In April 2012, we settled the remaining 2007 Capped Calls, covering 60.9 million shares, and received a de minimis payment.

Accumulated Other Comprehensive Income (Loss)

As of
 
2012
 
2011
Accumulated translation adjustment, net
 
$
49

 
$
65

Gain (loss) on derivatives, net
 
31

 
43

Gain (loss) on investments, net
 
1

 
25

Unrecognized pension liability
 
(1
)
 
(1
)
Accumulated other comprehensive income
 
$
80

 
$
132

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet25.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Derivative Financial Instruments
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Derivative Financial Instruments
Derivative Financial Instruments

We are exposed to currency exchange rate risk for monetary assets and liabilities held or denominated in foreign currencies, primarily the euro, shekel, Singapore dollar and yen.  We are also exposed to currency exchange rate risk for capital expenditures and operating cash flows, primarily denominated in the euro and yen.  In connection with the Elpida Sponsor Agreement and Rexchip share purchase agreement entered into in July 2012, we are exposed to significant currency exchange rate risk for the yen and New Taiwan dollar. We use derivative instruments to manage our exposures to changes in currency exchange rates.  For exposures associated with our monetary assets and liabilities, our primary objective in entering into currency derivatives is to reduce the volatility that changes in currency exchange rates have on our earnings.  For exposures associated with our capital expenditures and operating cash flows, our primary objective in entering into currency derivatives is to reduce the volatility that changes in currency exchange rates have on future cash flows. For exposures associated with our yen or New Taiwan dollar denominated payment obligations under the Elpida sponsor agreement and Rexchip share purchase agreement, our primary objective for entering into currency derivatives is to mitigate risks if those currencies strengthen relative to the U.S. dollar, while preserving some ability for us to benefit if those currencies weaken.

Our derivatives consist primarily of currency forward contracts and currency options.  The derivatives expose us to credit risk to the extent the counterparties may be unable to meet the terms of the derivative instrument.  As of August 30, 2012, our maximum exposure to loss due to credit risk if counterparties fail completely to perform according to the terms of the contracts, was equal to the fair value of our assets for these contracts as listed in the tables below.  We seek to mitigate such risk by limiting our counterparties to major financial institutions and by spreading risk across multiple major financial institutions.  In addition, we monitor the potential risk of loss with any one counterparty resulting from this type of credit risk on an ongoing basis.  We have the following currency risk management programs:

Currency Derivatives without Hedge Accounting Designation

We utilize a rolling hedge strategy with currency forward contracts that generally mature within 35 days to hedge our exposure to changes in currency exchange rates from our monetary assets and liabilities.  At the end of each reporting period, monetary assets and liabilities held or denominated in currencies other than the U.S. dollar are remeasured in U.S. dollars and the associated outstanding forward contracts are marked-to-market.  Currency forward contracts are valued at fair values based on the middle of bid and ask prices of dealers or exchange quotations (referred to as Level 2).  Realized and unrealized gains and losses on derivative instruments and the underlying monetary assets and liabilities are included in other operating (income) expense.

In connection with the currency exchange rate risk with the Elpida Sponsor Agreement and Rexchip share purchase agreement, we utilized currency options that expire on April 3, 2013 and April 2, 2013, respectively. Currency options are valued at their fair value using a modified Black-Scholes option valuation model using inputs of the current spot rate, strike price, risk-free interest rate, time to maturity, volatility and credit-risk spread (referred to as Level 2).  These options are marked-to-market at the end of each reporting period and realized and unrealized gains and losses are included in other operating (income) expense.

Total gross notional amounts and fair values for currency derivatives without hedge accounting designation were as follows:

Currency
 
Notional Amount (in U.S. Dollars)
 
Fair Value of
Asset (1)
 
(Liability) (2)
As of August 30, 2012
 
 
 
 
 
 
Forward contracts:
 
 
 
 
 
 
Singapore dollar
 
$
251

 
$

 
$
(1
)
Euro
 
173

 
2

 
(1
)
Shekel
 
65

 

 
(1
)
Yen
 
18

 

 

Currency options:
 
 
 
 
 
 
Yen
 
5,050

(3) 
57

 

New Taiwan dollar
 
342

 
2

 

 
 
$
5,899

 
$
61

 
$
(3
)
 
 
 
 
 
 
 
As of September 1, 2011
 
 

 
 

 
 

Forward contracts:
 
 
 
 
 
 
Singapore dollar
 
$
210

 
$

 
$

Euro
 
301

 
3

 

Shekel
 
98

 

 
(2
)
Yen
 
165

 
3

 

Other
 
50

 

 

 
 
$
824

 
$
6

 
$
(2
)

(1) 
Included in receivables – other.
(2) 
Included in accounts payable and accrued expenses – other.
(3) 
Notional amount includes purchased options of $2,527 million and sold options of $2,523 million.

For currency forward contracts and options without hedge accounting designation, we recognized net losses of $17 million for 2012, gains of $21 million for 2011 and losses of $29 million for 2010, which were included in other operating (income) expense.

Currency Derivatives with Cash Flow Hedge Accounting Designation

We utilize currency forward contracts that generally mature within 12 months and currency options that generally mature from 12 to 18 months to hedge the exposure of changes in cash flows from changes in currency exchange rates for certain capital expenditures and forecasted operating cash flows.  Currency forward contracts are valued at their fair values based on market-based observable inputs including currency exchange spot and forward rates, interest rate and credit risk spread (referred to as Level 2).  Currency options are valued at their fair value using a modified Black-Scholes option valuation model using inputs of the current spot rate, strike price, risk-free interest rate, time to maturity, volatility and credit-risk spread (referred to as Level 2). For derivatives designated as cash flow hedges, the effective portion of the realized and unrealized gain or loss on the derivatives was included as a component of accumulated other comprehensive income (loss).  For derivatives hedging capital expenditures, the amounts in accumulated other comprehensive income (loss) for these cash flow hedges are reclassified into earnings in the same line items of the consolidated statements of operation and in the same periods in which the underlying transactions affect earnings. Amounts in accumulated other comprehensive income (loss) for inventory purchases are reclassified to earnings when inventory is sold. The ineffective or excluded portion of the realized and unrealized gain or loss is included in other operating (income) expense.  Total gross notional amounts and fair values for currency derivatives with cash flow hedge accounting designation were as follows:

 
 
Notional Amount       (in U.S. Dollars)
 
Fair Value of
Currency
 
 
Asset (1)
 
(Liability) (2)
As of August 30, 2012
 
 
 
 
 
 
Forward contracts:
 
 
 
 
 
 
Yen
 
$
108

 
$
2

 
$

Euro
 
35

 

 

Currency options:
 
 
 
 
 
 
Yen
 
32

 

 

 
 
$
175

 
$
2

 
$

As of September 1, 2011
 
 

 
 

 
 

Forward contracts:
 
 
 
 
 
 
Yen
 
$
19

 
$
1

 
$

Euro
 
232

 
8

 

 
 
$
251

 
$
9

 
$

(1) 
Included in receivables – other.
(2) 
Included in accounts payable and accrued expenses – other.

For 2012 and 2011, we recognized $9 million of net derivative losses and $49 million of net derivative gains, respectively, in accumulated other comprehensive income (loss) from the effective portion of cash flow hedges.  The ineffective and excluded portions of cash flow hedges recognized in other operating (income) expense were not significant in 2012 and 2011.  In 2012, $9 million of net gains were reclassified from accumulated other comprehensive income (loss) to earnings. As of August 30, 2012, the amount of net derivative gains included in accumulated other accumulated comprehensive income (loss) expected to be reclassified into earnings in the next 12 months was $10 million.


------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet26.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Fair Value Measurements
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Fair Value Measurements
Fair Value Measurements

Accounting standards establish three levels of inputs that may be used to measure fair value: quoted prices in active markets for identical assets or liabilities (referred to as Level 1), inputs other than Level 1 that are observable for the asset or liability either directly or indirectly (referred to as Level 2) and unobservable inputs to the valuation methodology that are significant to the measurement of fair value of assets or liabilities (referred to as Level 3).

Fair Value Measurements on a Recurring Basis

All marketable debt and equity investments are classified as available-for-sale and are carried at fair value. Assets measured at fair value on a recurring basis were as follows:

As of
 
2012
 
2011
 
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Cash equivalents:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Money market funds
 
$
2,159

 
$

 
$

 
$
2,159

 
$
1,462

 
$

 
$

 
$
1,462

Commercial paper
 

 
29

 

 
29

 

 

 

 

Certificates of deposit
 

 
27

 

 
27

 

 
155

 

 
155

Government securities
 

 
5

 

 
5

 

 

 

 

 
 
2,159

 
61

 

 
2,220

 
1,462

 
155

 

 
1,617

Short-term investments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Government securities
 

 
51

 

 
51

 

 

 

 

Corporate bonds
 

 
31

 

 
31

 

 

 

 

Commercial paper
 

 
10

 

 
10

 

 

 

 

Asset-backed securities
 

 
4

 

 
4

 

 

 

 

Certificates of deposit
 

 
4

 

 
4

 

 

 

 

 
 

 
100

 

 
100

 

 

 

 

Long-term marketable investments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Corporate bonds
 

 
203

 

 
203

 

 

 

 

Government securities
 

 
88

 

 
88

 

 

 

 

Asset-backed securities
 

 
73

 

 
73

 

 

 

 

Marketable equity securities
 
5

 
5

 

 
10

 
37

 
15

 

 
52

 
 
5

 
369

 

 
374

 
37

 
15

 

 
52

Noncurrent assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Assets held for sale
 

 

 
25

 
25

 

 

 
35

 
35

 
 

 

 
25

 
25

 

 

 
35

 
35

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$
2,164

 
$
530

 
$
25

 
$
2,719

 
$
1,499

 
$
170

 
$
35

 
$
1,704



Government securities consist of securities issued directly by or deemed to be guaranteed by government entities such as U.S and non U.S. agency securities, government bonds and treasury securities. Level 2 securities are valued using information obtained from pricing services, which obtain quoted market prices for similar instruments, non-binding market consensus prices that are corroborated by observable market data, or various other methodologies, to determine the appropriate value at the measurement date. We periodically perform supplemental analysis to validate information obtained from our pricing services. As of August 30, 2012, no adjustments were made to such pricing information.

Level 3 assets consisted primarily of semiconductor equipment and facilities classified as held for sale. Fair value for semiconductor equipment was based on quotations obtained from equipment dealers, which consider the remaining useful life and configuration of the equipment. Fair value for facilities was determined based on sales of similar facilities and properties in comparable markets. Losses recognized in 2012 and 2011 due to fair value measurements using Level 3 inputs were not significant. For 2012, activity of assets held for sale was not significant.

Marketable equity securities included approximately 1.3 million ordinary shares (subsequent to a 1 for 15 reverse stock split on August 6, 2012) of Tower Semiconductor Ltd. ("Tower") received in connection with our sale of our wafer fabrication facility in Japan in June 2011. As of September 1, 2011, the shares were valued using quoted market prices in an active market and discounted using a protective put model for our resale restriction (Level 2). During 2012, the resale restrictions lapsed for 0.7 million of the shares, which were valued using quoted market prices (Level 1) as of August 30, 2012.

Fair Value Measurements on a Nonrecurring Basis

Our non-marketable securities, equity method investments, and non-financial assets such as intellectual property and property, plant and equipment are carried at cost unless impairment is deemed to have occurred.

During the third quarter of 2012, the Board of Directors of Transform approved a liquidation plan. As a result, we impaired our investment in Transform to the estimated liquidation values for its assets and liabilities measured using unobservable inputs (Level 3). Transform's primary assets were semiconductor equipment and a manufacturing facility. The fair values for semiconductor equipment were based on quotations obtained from equipment dealers, which consider the remaining useful life and configuration of the equipment. Fair value for the facility was determined based on sales of similar facilities and properties in comparable markets. Based on our valuation of Transform's net assets, we recognized an other-than-temporary impairment charge of $69 million in equity in net loss of equity method investees.

Fair Value of Financial Instruments

Amounts reported as cash and equivalents, receivables, and accounts payable and accrued expenses approximate fair value. The estimated fair value and carrying value of debt instruments (carrying value excludes the equity components of the 2014 Notes, the 2027 Notes, the 2031 Notes, and the 2032 Notes classified in equity) were as follows:

As of
 
2012
 
2011
 
 
Fair
Value
 
Carrying
Value
 
Fair
Value
 
Carrying
Value
Convertible notes
 
$
2,669

 
$
2,321

 
$
1,845

 
$
1,578

Other notes
56

 
58

 

 



The fair value of our convertible debt instruments was determined based on inputs that are observable in the market or that could be derived from, or corroborated with, observable market data, including our stock price and interest rates based on similar debt issued by parties with credit ratings similar to ours (Level 2).  The fair value of our other debt instruments was estimated based on discounted cash flows using inputs that are observable in the market or that could be derived from, or corroborated with, observable market data, including interest rates based on similar debt issued by parties with credit ratings similar to ours (Level 2).

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet27.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Equity Plans
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Equity Plans
Equity Plans

As of August 30, 2012, we had an aggregate of 169.0 million shares of common stock reserved for the issuance of stock options and restricted stock awards, of which 105.1 million shares were subject to outstanding awards and 63.9 million shares were available for future awards.  Awards are subject to terms and conditions as determined by our Board of Directors.

Stock Options

Our stock options are generally exercisable in increments of either one-fourth or one-third per year beginning one year from the date of grant. Stock options issued after September, 2004 generally expire six years from the date of grant. All other options expire ten years from the grant date.

Option activity for 2012 is summarized as follows:

 
 
Number of Shares
 
Weighted-Average Exercise Price Per Share
 
Weighted-Average Remaining Contractual Life
(In Years)
 
Aggregate Intrinsic Value
Outstanding at September 1, 2011
 
99.3

 
$
11.06

 
 
 
 
Granted
 
21.4

 
5.74

 
 
 
 
Exercised
 
(1.5
)
 
3.49

 
 
 
 
Cancelled or expired
 
(23.5
)
 
17.43

 
 
 
 
Outstanding at August 30, 2012
 
95.7

 
8.42

 
2.8
 
$
53

 
 
 
 
 
 
 
 
 
Exercisable at August 30, 2012
 
55.3

 
$
9.71

 
1.7
 
$
31

Expected to vest after August 30, 2012
 
38.6

 
6.65

 
4.4
 
22



The following table summarizes information about options outstanding as of August 30, 2012:

 
 
 
Outstanding Options
 
Exercisable Options
Range of Exercise Prices
 
Number
of Shares
 
Weighted-Average Remaining Contractual Life (In Years)
 
Weighted-Average Exercise Price
Per Share
 
Number
of Shares
 
Weighted-Average Exercise Price
Per Share
$
2.07

 -
$
4.52

 
 
13.4

 
2.2
 
$
3.01

 
9.4

 
$
3.07

5.00

 -
7.92

 
 
40.8

 
4.1
 
6.45

 
13.0

 
6.84

8.02

 -
10.89

 
 
12.9

 
4.1
 
9.58

 
4.4

 
9.59

11.03

 -
13.99

 
 
22.3

 
0.8
 
12.44

 
22.2

 
12.45

14.01

 -
19.61

 
 
6.3

 
0.7
 
16.05

 
6.3

 
16.05

 
 
 
 
 
95.7

 
2.8
 
8.42

 
55.3

 
9.71



The weighted-average grant-date fair value per share was $3.18, $4.46 and $4.13 for options granted during 2012, 2011 and 2010, respectively. The total intrinsic value was $6 million, $35 million, and $13 million for options exercised during 2012, 2011 and 2010, respectively.

The fair values of option awards were estimated at each grant date using the Black-Scholes option valuation model.  The Black-Scholes model requires the input of assumptions, including the expected stock price volatility and estimated option life.  The expected volatilities utilized were based on implied volatilities from traded options on our stock and on historical volatility.  Since 2009, the expected lives of options granted were based, in part, on historical experience and on the terms and conditions of the options.  Prior to 2009, the expected lives of options granted were based on the simplified method provided by the Securities and Exchange Commission.  The risk-free interest rates utilized were based on the U.S. Treasury yield in effect at each grant date.  No dividends were assumed in estimated option values.  Assumptions used in the Black-Scholes model are presented below:

For the year ended
 
2012
 
2011
 
2010
Average expected life in years
 
5.1

 
5.1

 
5.1

Weighted-average expected volatility
 
66
%
 
56
%
 
60
%
Weighted-average risk-free interest rate
 
0.9
%
 
1.8
%
 
2.3
%

Restricted Stock and Restricted Stock Units ("Restricted Stock Awards")

As of August 30, 2012, there were 9.4 million shares of Restricted Stock Awards outstanding, of which 2.2 million were performance-based Restricted Stock Awards.  For service-based Restricted Stock Awards, restrictions generally lapse in one-fourth increments during each year of employment after the grant date.  For performance-based Restricted Stock Awards, vesting is contingent upon meeting certain performance goals.  Restricted Stock Awards activity for 2012 is summarized as follows:

 
 
Number of Shares
 
Weighted-Average Grant Date Fair Value Per Share
Outstanding at September 1, 2011
 
8.8

 
$
8.17

Granted
 
5.8

 
5.43

Restrictions lapsed
 
(4.7
)
 
7.47

Cancelled
 
(0.5
)
 
7.26

Outstanding at August 30, 2012
 
9.4

 
6.87

 
 
 
 
 
Expected to vest after August 30, 2012
 
8.1

 
$
6.75


Restricted Stock Awards granted for 2012, 2011 and 2010 were as follows:

For the year ended
 
2012
 
2011
 
2010
Service-based awards
 
3.9

 
4.4

 
5.9

Performance-based awards
 
1.9

 
1.2

 
1.8

Weighted-average grant-date fair values per share
 
$
5.43

 
$
8.72

 
$
8.29



Restricted Stock Awards granted during 2010 included 4.1 million of service-based and 0.7 million of performance-based Restricted Stock Awards as part of our acquisition of Numonyx. The aggregate fair value at the lapse date of awards for which restrictions lapsed during 2012, 2011 and 2010 was $32 million, $43 million and $65 million, respectively.

Stock-based Compensation Expense

For the year ended
 
2012
 
2011
 
2010
Stock-based compensation expense by caption:
 
 
 
 
 
 
Cost of goods sold
 
$
23

 
$
20

 
$
23

Selling, general and administrative
 
47

 
38

 
50

Research and development
 
17

 
17

 
18

Other operating (income) expense
 

 
1

 
2

 
 
$
87

 
$
76

 
$
93

 
 
 
 
 
 
 
Stock-based compensation expense by type of award:
 
 
 
 
 
 
Stock options
 
$
57

 
$
44

 
$
37

Restricted stock awards
 
30

 
32

 
56

 
 
$
87

 
$
76

 
$
93


Selling, general and administrative expense for 2012 included $13 million from the vesting of restricted stock and stock options in connection with the death of our former Chief Executive Officer.

Stock-based compensation expense of $5 million and $5 million was capitalized and remained in inventory as of August 30, 2012 and September 1, 2011, respectively. As of August 30, 2012, $138 million of total unrecognized compensation costs, net of estimated forfeitures, related to non-vested awards was expected to be recognized through the fourth quarter of 2016, resulting in a weighted-average period of 1.2 years. Stock-based compensation expense in the above presentation does not reflect any significant income tax benefits, which is consistent with our treatment of income or loss from our U.S. operations.  (See "Income Taxes" note.)
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet28.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Employee Benefit Plans
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Pension and Other Postretirement Benefits Disclosure
Employee Benefit Plans

We have employee retirement plans at our U.S. and international sites.  Details of the more significant plans are discussed as follows:

Employee Savings Plan for U.S. Employees

We have 401(k) retirement plans ("RAM Plans") under which U.S. employees may contribute up to 75% of their eligible pay (subject to IRS annual contribution limits) to various savings alternatives, none of which include direct investment in our common stock.  In 2011 we reinstated our match under the RAM Plans after being suspended in 2009. We match in cash eligible contributions from employees up to 5% of the employee's annual eligible earnings. Contribution expense for the RAM Plans was $41 million and $26 million in 2012 and 2011, respectively.

Retirement Plans

We have pension plans in various countries worldwide.  The pension plans are only available to local employees and are generally government mandated.  We have determined that these pension plans are not material for separate disclosure.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet29.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Other Operating (Income) Expense, Net
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Other Operating (Income) Expense, Net
Other Operating (Income) Expense, Net

For the year ended
 
2012
 
2011
 
2010
Loss from termination of lease to IMFT
 
$
17

 
$

 
$

Restructure
 
7

 
(21
)
 
(10
)
(Gain) loss from changes in currency exchange rates
 
6

 
6

 
23

(Gain) loss on disposition of property, plant and equipment
 
5

 
(17
)
 
(1
)
Samsung patent cross-license agreement
 

 
(275
)
 

Gain from disposition of Japan Fab
 

 
(54
)
 

Other
 
13

 
(19
)
 
(39
)
 
 
$
48

 
$
(380
)
 
$
(27
)


In the first quarter of 2011, we entered into a 10-year patent cross-license agreement with Samsung Electronics Co. Ltd. ("Samsung").  Other operating income for 2011 included gains of $275 million for cash received from Samsung under the agreement. The license is a life-of-patents license for existing patents and applications, and a 10-year term license for all other patents.

Other operating income in 2011 included $8 million for receipts from the U.S. government in connection with anti-dumping tariffs. Other operating income in 2010 included $24 million of grant income related to our operations in China and $12 million of receipts from the U.S. government in connection with anti-dumping tariffs.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet30.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Other Non-Operating Income (Expense), Net
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Other Non-Operating Income Expense, Net [Text Block]
Other Non-Operating Income (Expense), Net

Other non-operating income for 2012 included $35 million in net gains from equity investments. Other non-operating income for 2011 included $15 million for the termination of our debt guarantee obligation that we recorded in connection with our acquisition of Numonyx and a $111 million loss recognized in connection with a series of debt restructure transactions with certain holders of our convertible notes. (See "Debt" note.) Other non-operating income for 2010 included $56 million of gain recognized in connection with Inotera's sale of common shares in a public offering. (See "Equity Method Investments – Inotera" note.)
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet31.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Income Taxes
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Income Taxes
Income Taxes

For the year ended
 
2012
 
2011
 
2010
Income (loss) before taxes, net income attributable to noncontrolling interests and equity in net loss of equity method investees:
 
 
 
 
 
 
U.S.
 
$
(1,028
)
 
$
257

 
$
1,383

Foreign
 
274

 
294

 
537

 
 
$
(754
)
 
$
551

 
$
1,920

Income tax (provision) benefit:
 
 
 
 
 
 
Current:
 
 
 
 
 
 
U.S. federal
 
$
14

 
$

 
$
66

Foreign
 
(22
)
 
(89
)
 
(24
)
State
 

 
(1
)
 
(4
)
 
 
(8
)
 
(90
)
 
38

Deferred:
 
 
 
 
 
 
U.S. federal
 

 

 
(5
)
Foreign
 
25

 
(113
)
 
(14
)
 
 
25

 
(113
)
 
(19
)
Income tax (provision) benefit
 
$
17

 
$
(203
)
 
$
19



Income tax (provision) benefit computed using the U.S. federal statutory rate reconciled to income tax (provision) benefit was as follows:

For the year ended
 
2012
 
2011
 
2010
U.S. federal income tax (provision) benefit at statutory rate
 
$
264

 
$
(193
)
 
$
(672
)
Foreign operations
 
104

 
(119
)
 
135

State taxes, net of federal benefit
 
9

 
(5
)
 
(22
)
Tax credits
 
2

 
17

 
3

Change in valuation allowance
 
(373
)
 
103

 
424

Debt repurchase premium
 

 
(20
)
 

Gain on acquisition of Numonyx
 

 

 
153

Other
 
11

 
14

 
(2
)
Income tax (provision) benefit
 
$
17

 
$
(203
)
 
$
19



Deferred income taxes reflect the net tax effects of temporary differences between the bases of assets and liabilities for financial reporting and income tax purposes.  Deferred tax assets and liabilities consist of the following as of the end of the periods shown below:

As of
 
2012
 
2011
Deferred tax assets:
 
 
 
 
Net operating loss and credit carryforwards
 
$
1,816

 
$
1,558

Accrued salaries, wages and benefits
 
99

 
99

Deferred income
 
39

 
55

Other
 
76

 
55

Gross deferred tax assets
 
2,030

 
1,767

Less valuation allowance
 
(1,535
)
 
(1,220
)
Deferred tax assets, net of valuation allowance
 
495

 
547

 
 
 
 
 
Deferred tax liabilities:
 
 
 
 
Debt discount
 
(182
)
 
(138
)
Unremitted earnings on certain subsidiaries
 
(111
)
 
(117
)
Product and process technology
 
(61
)
 
(50
)
Property, plant and equipment
 
(38
)
 
(107
)
Intangible assets
 
(17
)
 
(24
)
Other
 
(21
)
 
(41
)
Deferred tax liabilities
 
(430
)
 
(477
)
 
 
 
 
 
Net deferred tax assets
 
$
65

 
$
70

 
 
 
 
 
Reported as:
 
 
 
 
Current deferred tax assets (included in other current assets)
 
$
19

 
$
26

Noncurrent deferred tax assets (included in other noncurrent assets)
 
47

 
60

Noncurrent deferred tax liabilities (included in other noncurrent liabilities)
 
(1
)
 
(16
)
Net deferred tax assets
 
$
65

 
$
70



We have a valuation allowance against substantially all U.S. net deferred tax assets.  As of August 30, 2012, our federal, state and foreign net operating loss carryforwards were $3.5 billion, $2.2 billion and $737 million respectively.  If not utilized, substantially all of our federal and state net operating loss carryforwards will expire in 2023 to 2032 and the foreign net operating loss carryforwards will begin to expire in 2017.  As of August 30, 2012, our federal and state tax credit carryforwards were $208 million and $203 million, respectively.  If not utilized, substantially all of our federal and state tax credit carryforwards will expire in 2013 to 2032.  As a consequence of prior business acquisitions, utilization of the tax benefits for some of the tax carryforwards is subject to limitations imposed by Section 382 of the Internal Revenue Code and some portion or all of these carryforwards may not be available to offset any future taxable income.

The changes in valuation allowance of $315 million and $(75) million in 2012 and 2011, respectively, are primarily due to uncertainties of realizing certain U.S. and foreign net operating losses and certain tax credit carryforwards.

Provision has been made for deferred taxes on undistributed earnings of non-U.S. subsidiaries to the extent that dividend payments from such companies are expected to result in additional tax liability.  Remaining undistributed earnings of $1.1 billion as of August 30, 2012 have been indefinitely reinvested; therefore, no provision has been made for taxes due upon remittance of these earnings.  Determination of the amount of unrecognized deferred tax liability on these unremitted earnings is not practicable.

Below is a reconciliation of the beginning and ending amount of unrecognized tax benefits:

For the year ended
 
2012
 
2011
 
2010
Beginning unrecognized tax benefits
 
$
121

 
$
88

 
$
1

Settlements with tax authorities
 
(29
)
 
(2
)
 
(1
)
Decreases related to tax positions from prior years
 
(14
)
 
(3
)
 

Foreign currency translation increases (decreases) to tax positions
 
(9
)
 
6

 

Increases related to tax positions taken during current year
 
6

 
28

 
11

Increases related to tax positions from prior years
 
2

 
4

 
14

Unrecognized tax benefits acquired in current year
 

 

 
63

Ending unrecognized tax benefits
 
$
77

 
$
121

 
$
88



Included in the unrecognized tax benefits balance as of August 30, 2012, September 1, 2011 and September 2, 2010 were $66 million, $113 million and $87 million, respectively, of unrecognized income tax benefits, which if recognized, would affect our effective tax rate.  In connection with the acquisition of Numonyx in 2010, we accrued a $66 million liability related to uncertain tax positions on the tax years of Numonyx open to examination.  We recorded an indemnification asset for a significant portion of these unrecognized income tax benefits related to uncertain tax positions. We recognize interest and penalties related to income tax matters within income tax expense. As of August 30, 2012, September 1, 2011 and September 2, 2010, accrued interest and penalties related to uncertain tax positions was $12 million, $16 million and $6 million, respectively.

We are unable to reasonably estimate possible increases or decreases in uncertain tax positions that may occur within the next 12 months due to the uncertainty of the timing of the resolution and/or closure on audits.  However, we do not anticipate any such change would be significant.

We currently operate in several tax jurisdictions where we have arrangements that allow us to compute our tax provision at rates below the local statutory rates that expire in whole or in part at various dates through 2026.  These arrangements benefitted our tax provision in 2012, 2011 and 2010 by $52 million ($0.05 per diluted share), $72 million ($0.07 per diluted share) and $69 million ($0.07 per diluted share), respectively.

We and our subsidiaries file income tax returns with the U.S. federal government, various U.S. states and various foreign jurisdictions throughout the world.  Our U.S. federal and state tax returns remain open to examination for 2008 through 2012.  In addition, tax years open to examination in multiple foreign taxing jurisdictions range from 2005 to 2012.  We are currently under examination in various taxing jurisdictions in which we conduct business operations. We believe that adequate amounts of taxes and related interest and penalties have been provided for, and any adjustments as a result of the examinations are not expected to materially adversely affect our business, results of operations or financial condition.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet32.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Earnings Per Share
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Earnings Per Share
Earnings Per Share

For the year ended
 
2012
 
2011
 
2010
Net income (loss) available to Micron shareholders – Basic
 
$
(1,032
)
 
$
167

 
$
1,850

Net effect of assumed conversion of debt
 

 

 
93

Net income (loss) available to Micron shareholders – Diluted
 
$
(1,032
)
 
$
167

 
$
1,943

 
 
 
 
 
 
 
Weighted-average common shares outstanding – Basic
 
991.2

 
988.0

 
887.5

Net effect of dilutive equity awards, escrow shares and assumed conversion of debt
 

 
19.5

 
163.2

Weighted-average common shares outstanding – Diluted
 
991.2

 
1,007.5

 
1,050.7

 
 
 
 
 
 
 
Earnings (loss) per share:
 
 
 
 
 
 
Basic
 
$
(1.04
)
 
$
0.17

 
$
2.09

Diluted
 
(1.04
)
 
0.17

 
1.85


On May 7, 2010, in connection with the acquisition of Numonyx, we issued 137.7 million shares of our common stock and issued 4.8 million restricted stock units. Of the common stock issued, 21 million shares were held in escrow as partial security for Numonyx shareholders indemnity obligations. During 2011, the Numonyx shareholders sold all of the 21 million shares in escrow. The shares held in escrow were included in diluted earnings per share but were excluded from basic earnings per share. (See "Numonyx" note.)

Listed below are the potential common shares, as of the end of the periods shown, that could dilute basic earnings per share in the future that were not included in the computation of diluted earnings per share because to do so would have been antidilutive:

For the year ended
 
2012
 
2011
 
2010
Employee stock plans
 
104.8

 
81.4

 
92.2

Convertible notes
 
257.6

 
182.7

 


Our 2027 Notes and 2031 Notes contain terms that upon conversion require us to settle the aggregate principal amount in cash and the remainder of our conversion obligation amount in either shares of our common stock or cash, at our election. Our 2014 Notes and 2032 Notes contain terms that upon conversion provide us the option to pay cash, issue shares of common stock or any combination thereof for the aggregate amount due. It is our current intent to settle the principal amount of the 2014 Notes and 2032 Notes in cash upon conversion. As a result of these conversion terms, the 257.6 million shares underlying the 2014 Notes, 2027 Notes, 2031 Notes and 2032 Notes are considered in diluted earnings per share under the treasury stock method. (See "Debt" note.)
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet33.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Consolidated Variable Interest Entities
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Consolidated Variable Interest Entities
Consolidated Variable Interest Entities

IM Flash

We partnered with Intel to form IMFT in 2006 and IMFS in 2007 to manufacture NAND Flash memory products for the exclusive use of the members. IMFT (and IMFS prior to April 6, 2012) is governed by a Board of Managers. The number of managers appointed by each member to the board varies based on the members' respective ownership interests. The members' ownership percentage is based on contributions to the partnership. We have owned 51% of IMFT from inception through August 30, 2012. Our ownership percentage of IMFS had increased from 51% at inception to 82% as of April 6, 2012 due to a series of contributions by us that were not fully matched by Intel.

On April 6, 2012, we entered into a series of agreements with Intel to restructure IM Flash. We acquired Intel's remaining 18% interest in IMFS for $466 million. In addition, we acquired IMFT's assets located at our Virginia wafer fabrication facility, for which Intel received a distribution from IMFT of $139 million. For both transactions, the amounts Intel received approximated the book values of Intel's interests in the assets acquired. Additionally, we received a $300 million deposit from Intel which may be applied either to Intel's purchases of NAND Flash under a supply agreement or, under certain circumstances, refunded.

The agreements also provided for the following:

expansion of the scope of the IMFT joint venture to include certain emerging memory technologies;
supply of NAND Flash memory products and certain emerging memory products to Intel on a cost-plus basis and termination of IMFS's supply agreement with us and Intel;
extension of IMFT's joint venture agreement through 2024;
certain buy-sell rights, commencing in 2015, pursuant to which Intel may elect to sell to us, or we may elect to purchase from Intel, Intel’s interest in IMFT (if Intel so elects, we would set the closing date of the transaction within two years following such election and could elect to receive financing from Intel for one to two years);
financing of $65 million provided by Intel to us under a two-year senior unsecured promissory note, payable with interest in approximately equal quarterly installments; and
termination of IMFT's lease to use approximately 50% of our Virginia fabrication facility, which resulted in a charge to other operating expense of $17 million in 2012.

The following table presents IM Flash's distributions to and contributions from its shareholders ("IM Flash" includes both IMFT and IMFS for all periods prior to April 6, 2012 and includes only IMFT for the period after April 6, 2012):

For the year ended
 
2012
 
2011
 
2010
IM Flash distributions to Micron
 
$
439

 
$
234

 
$
278

IM Flash distributions to Intel
 
391

 
225

 
267

Micron contributions to IM Flash
 
151

 
1,580

 
128

Intel contributions to IM Flash
 
177

 

 
38



IM Flash sells products to the joint venture members generally in proportion to their ownership interests at long-term negotiated prices approximating cost. Due to the changes in ownership, our share of IMFS output grew from 51% in the first quarter of 2011 to 78% in the second quarter of 2012. As a result of our restructuring of IM Flash on April 6, 2012, Intel has no continuing rights to the output from the IMFS and Virginia facilities. Intel continues to receive output from IMFT in proportion to its ownership interest at long-term negotiated prices approximating cost and, subsequent to April 6, 2012, also purchases NAND Flash products from us under a cost-plus supply arrangement. Aggregate sales of NAND Flash products to Intel (including sales by IMFT at prices approximating cost and sales by us under the cost-plus supply agreement) were $986 million, $884 million and $764 million for 2012, 2011 and 2010, respectively. Receivables from Intel for sales of NAND Flash products as of August 30, 2012 and September 1, 2011, were $103 million and $165 million, respectively.

As a result of changes to the timing of the passage of title in the IMFT supply agreement with Intel, effective April 6, 2012, sales are now recognized upon completion of wafer fabrication, rather than after backend assembly and test are completed. As a result, we sold $97 million of backend inventories, which generated a one-time increase in NAND sales and reduction in work in process inventories in 2012.

The following table presents the total assets and liabilities of IMFT and IMFS included in our consolidated balance sheet. Amounts as of September 1, 2011 included IMFT and IMFS, which were aggregated due to the similarity of their function, operations and the way our management reviewed the results of their operations. Amounts as of August 30, 2012 included only IMFT.

As of
 
2012
 
2011
Assets
 
 
 
 
Cash and equivalents
 
$
157

 
$
327

Receivables
 
78

 
252

Inventories
 
67

 
227

Other current assets
 
5

 
11

Total current assets
 
307

 
817

Property, plant and equipment, net
 
1,342

 
4,121

Other noncurrent assets
 
36

 
66

Total assets
 
$
1,685

 
$
5,004

 
 
 
 
 
Liabilities
 
 

 
 

Accounts payable and accrued expenses
 
$
104

 
$
458

Deferred income
 
10

 
125

Equipment purchase contracts
 
58

 
37

Current portion of long-term debt
 
6

 
8

Total current liabilities
 
178

 
628

Long-term debt
 
18

 
58

Other noncurrent liabilities
 
129

 
4

Total liabilities
 
$
325

 
$
690

Amounts exclude intercompany balances that were eliminated in our consolidated balance sheets.

The table above included, as of September 1, 2011, assets of $2,999 million and liabilities of $433 million, related to our IM Flash entities that, subsequent to April 6, 2012, were wholly-owned by us.
Our ability to access IMFT's cash and investments to finance our other operations is subject to agreement by Intel. Creditors of IMFT have recourse only to its assets and do not have recourse to any other of our assets.

IM Flash manufactures NAND Flash memory products using designs and technology we develop with Intel. We generally share product design and other NAND Flash R&D costs with Intel. The April 6, 2012 agreements with Intel expanded our NAND Flash R&D cost-sharing agreement with Intel to include certain emerging memory technologies, but did not change the cost-sharing percentage. R&D expenses were reduced by reimbursements from Intel of $87 million, $95 million and $104 million for 2012, 2011 and 2010, respectively.

MP Mask

In 2006, we formed a joint venture with Photronics to produce photomasks for leading-edge and advanced next generation semiconductors.  At inception and through August 30, 2012, we owned 50.01% and Photronics owned 49.99% of MP Mask.  We contributed $21 million and $9 million to MP Mask in 2012 and 2011, respectively. Photronics contributed $20 million and $8 million to MP Mask in 2012, 2011, respectively. In connection with the formation of the joint venture, we received $72 million in 2006 in exchange for entering into a license agreement with Photronics, which is being recognized over the term of the 10-year agreement.  Deferred income and other noncurrent liabilities included an aggregate of $26 million and $34 million as of August 30, 2012 and September 1, 2011, respectively, related to this agreement. We purchase a substantial majority of the reticles produced by MP Mask pursuant to a supply arrangement.

Total MP Mask assets and liabilities included in our consolidated balance sheets were as follows:

As of
 
2012
 
2011
Current assets
 
$
19

 
$
24

Noncurrent assets (primarily property, plant and equipment)
 
170

 
143

Current liabilities
 
12

 
31

Amounts exclude intercompany balances that were eliminated in our consolidated balance sheets.

Creditors of MP Mask have recourse only to the assets of MP Mask and do not have recourse to any other of our assets.

Through February 24, 2012, we leased to Photronics a facility to produce photomasks under an operating lease. On February 24, 2012, we sold the facility to Photronics for $35 million. The proceeds were equal to our net carrying value and no gain or loss was realized from the sale.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet34.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
TECH Semiconductor Singapore Pte. Ltd.
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
TECH Semiconductor Singapore Pte. Ltd.
TECH Semiconductor Singapore Pte. Ltd.

Since 1998, we had participated in TECH Semiconductor Singapore Pte. Ltd. ("TECH"), a semiconductor memory manufacturing joint venture in Singapore with Canon Inc. ("Canon") and Hewlett-Packard Singapore (Private) Limited ("HP").  In December 2010 and January 2011, we acquired HP's and Canon's interests, respectively, in two separate transactions for an aggregate of $159 million.  In connection therewith, noncontrolling interests in subsidiaries decreased by $226 million and additional capital increased by $67 million.  As a result of these transactions, our ownership interest in TECH increased during 2011 from 87% to 100%. In 2010, we purchased shares of TECH for $80 million, which increased our ownership from 85% to 87% and increased additional capital by $10 million.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet35.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Segment Information
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Segment Information
Segment Information

Segment information reported herein is consistent with how it is reviewed and evaluated by our chief operating decision makers.  Factors used to identify our segments include, among others, products, technologies and customers.  We have the following four reportable segments:

NAND Solutions Group ("NSG"): Includes high-volume NAND Flash products sold into data storage, personal music players, and the high-density computing market, as well as NAND Flash products sold to Intel through IM Flash.
DRAM Solutions Group ("DSG"): Includes DRAM products sold to the PC, consumer electronics, networking and server markets.
Wireless Solutions Group ("WSG"): Includes DRAM, NAND Flash and NOR Flash products, including multi-chip packages, sold to the mobile device market.
Embedded Solutions Group ("ESG"): Includes DRAM, NAND Flash and NOR Flash products sold into automotive and industrial applications, as well as NOR and NAND Flash sold to consumer electronics, networking, PC and server markets.

Our other operations do not meet the quantitative thresholds of a reportable segment and are reported under All Other.

We do not identify or report internally our assets or capital expenditures by segment, nor do we allocate gains and losses from equity method investments, interest, other non-operating income or expense items or taxes to operating segments.  For 2012 and 2011, certain operating expenses directly associated with the activities of a specific reportable segment are charged to that segment. Other indirect operating expenses (income) are generally allocated to the reportable segments based on their respective percentage of total net sales, cost of goods sold or forecasted wafer production. Prior to 2011, operating expenses were allocated to the reportable segments based on their respective percentages of total cost of goods sold, as certain historical forecast data was not available. There are no differences in the accounting policies for segment reporting and our consolidated results of operations.

For the year ended
 
2012
 
2011
 
2010
Net sales:
 
 
 
 
 
 
NSG
 
$
2,853

 
$
2,196

 
$
2,113

DSG
 
2,691

 
3,203

 
4,638

WSG
 
1,184

 
1,959

 
778

ESG
 
1,054

 
1,002

 
521

All Other
 
452

 
428

 
432

 
 
$
8,234

 
$
8,788

 
$
8,482

 
 
 
 
 
 
 
Operating income (loss):
 
 
 
 
 
 
NSG
 
$
198

 
$
269

 
$
240

DSG
 
(500
)
 
290

 
1,269

WSG
 
(370
)
 
20

 
(23
)
ESG
 
156

 
237

 
152

All Other
 
(102
)
 
(61
)
 
(49
)
 
 
$
(618
)
 
$
755

 
$
1,589



Depreciation and amortization expense was as follows:

For the year ended
 
2012
 
2011
 
2010
NSG
 
$
651

 
$
513

 
$
530

DSG
 
770

 
750

 
947

WSG
 
374

 
512

 
212

ESG
 
211

 
196

 
97

All Other
 
138

 
130

 
140

Depreciation and amortization expense included in operating income (loss)
 
2,144

 
2,101

 
1,926

Other amortization
 
78

 
61

 
79

Total depreciation and amortization expense
 
$
2,222

 
$
2,162

 
$
2,005

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet36.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Product Sales
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Disclosure Of Entity Wide Information Revenue From External Customers By Products And Services [Text Block]
Product Sales

For the year ended
 
2012
 
2011
 
2010
NAND Flash
 
$
3,627

 
$
3,193

 
$
2,555

DRAM
 
3,178

 
3,620

 
5,052

NOR Flash
 
977

 
1,547

 
451

Other
 
452

 
428

 
424

 
 
$
8,234

 
$
8,788

 
$
8,482

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet37.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Certain Concentrations
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Certain Concentrations
Certain Concentrations

Market concentrations from 2012 net sales were approximately as follows: computing (including desktop PCs, servers, notebooks and workstations), 25%; consumer electronics, 20%; mobile, 15%; networking and storage, 10%; and solid state drives, 10%. Market concentrations from 2011 net sales were approximately as follows: computing (including desktop PCs, servers, notebooks and workstations), 30%; mobile, 25%; consumer electronics, 15%; and networking and storage, 15%. Market concentrations from 2010 net sales were approximately 45% computing. Customer concentrations included 12% of total 2012 net sales to Intel, 10% of total 2011 net sales to Intel and 13% of total 2010 net sales to HP. Substantially all of our sales to Intel in 2012 and 2011 were included in the NSG and WSG segments and substantially all of our sales to HP in 2010 were included in the DSG segment.

Certain of the raw materials and production equipment we use in manufacturing semiconductor products are available from multiple sources and in sufficient supply; however, only a limited number of suppliers are capable of delivering certain raw materials that meet our standards. In some cases, materials are provided by a single supplier.

Financial instruments that potentially subject us to concentrations of credit risk consist principally of cash, money market accounts, certificates of deposit, fixed-rate debt securities, trade receivables and derivative contracts. We invest through high-credit-quality financial institutions and, by policy, generally limit the concentration of credit exposure by restricting investments with any single obligor. A concentration of credit risk may exist with respect to receivables as a substantial portion of our customers are affiliated with the computing industry. We perform ongoing credit evaluations of customers worldwide and generally do not require collateral from our customers. Historically, we have not experienced significant losses on receivables. A concentration of risk may also exist with respect to derivatives as the number of counterparties to our hedges is limited and the notional amount is relatively large. We seek to mitigate such risk by limiting our counterparties to major financial institutions. The 2012 Capped Calls, 2011 Capped Calls and 2009 Capped Calls expose us to credit risk to the extent that the counterparties may be unable to meet the terms of the agreements. We seek to mitigate such risk by limiting our counterparties to major financial institutions and by spreading the risk across several major financial institutions. In addition, the potential risk of loss with any one counterparty resulting from this type of credit risk is monitored on an ongoing basis. (See "Shareholders' Equity – Capped Call Transactions" note.)
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet38.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Geographic Information
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Geographic Information
Geographic Information

Geographic net sales based on customer ship-to location were as follows:

For the year ended
 
2012
 
2011
 
2010
China
 
$
2,936

 
$
2,983

 
$
3,294

United States
 
1,262

 
1,363

 
1,403

Asia Pacific (excluding China, Taiwan and Malaysia)
 
1,241

 
1,518

 
1,090

Taiwan
 
1,022

 
744

 
711

Europe
 
827

 
924

 
777

Malaysia
 
546

 
737

 
817

Other
 
400

 
519

 
390

 
 
$
8,234

 
$
8,788

 
$
8,482



Net property, plant and equipment by geographic area were as follows:

As of
 
2012
 
2011
 
2010
Singapore
 
$
3,270

 
$
3,569

 
$
2,161

United States
 
3,246

 
3,487

 
3,925

China
 
328

 
179

 
90

Italy
 
163

 
190

 
173

Israel
 
59

 
94

 
111

Japan
 
2

 
1

 
81

Other
 
35

 
35

 
60

 
 
$
7,103

 
$
7,555

 
$
6,601

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet39.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Quarterly Financial Information
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Quarterly Financial Information
Quarterly Financial Information (Unaudited)
(in millions except per share amounts)

2012
 
Fourth Quarter
 
Third Quarter
 
Second Quarter
 
First Quarter
Net sales
 
$
1,963

 
$
2,172

 
$
2,009

 
$
2,090

Gross margin
 
219

 
234

 
210

 
305

Operating loss
 
(140
)
 
(191
)
 
(205
)
 
(82
)
Net loss
 
(242
)
 
(320
)
 
(282
)
 
(187
)
Net loss attributable to Micron
 
(243
)
 
(320
)
 
(282
)
 
(187
)
 
 
 
 
 
 
 
 
 
Loss per share:
 
 

 
 

 
 

 
 

Basic
 
$
(0.24
)
 
$
(0.32
)
 
$
(0.29
)
 
$
(0.19
)
Diluted
 
(0.24
)
 
(0.32
)
 
(0.29
)
 
(0.19
)


As a result of the ongoing challenging global environment in the solar industry and unfavorable worldwide supply and demand conditions, on May 25, 2012, the Board of Directors of Transform approved a liquidation plan. As a result of the liquidation plan, we recognized a charge of $69 million in the third quarter of 2012.

On March 23, 2012, we entered into a settlement agreement with Oracle pursuant to which we agreed to make a payment of $58 million to Oracle for a settlement and full release of all claims and a dismissal with prejudice of their suit against us. The settlement amount was accrued and charged to operations in the second quarter of 2012.

Income taxes for the third quarter of 2012 included a tax benefits of $42 million related to the favorable resolution of a certain prior year tax matter, which was previously reserved as an uncertain tax position.

2011
 
Fourth Quarter
 
Third Quarter
 
Second Quarter
 
First Quarter
Net sales
 
$
2,140

 
$
2,139

 
$
2,257

 
$
2,252

Gross margin
 
321

 
478

 
435

 
524

Operating income (loss)
 
(51
)
 
237

 
179

 
390

Net income (loss)
 
(134
)
 
77

 
75

 
172

Net income (loss) attributable to Micron
 
(135
)
 
75

 
72

 
155

 
 
 
 
 
 
 
 
 
Earnings (loss) per share:
 
 

 
 

 
 

 
 

Basic
 
$
(0.14
)
 
$
0.07

 
$
0.07

 
$
0.16

Diluted
 
(0.14
)
 
0.07

 
0.07

 
0.15



The results of operations for the third quarter of 2011 included a gain of $54 million in connection with the sale of the Japan Fab. In addition, we recorded a tax provision of $74 million related to the gain on the sale and to write down certain deferred tax assets associated with the Japan Fab.

The results of operations for the first, second and third quarters of 2011 included gains, net of tax, of $167 million, $33 million and $30 million, respectively, from a life-of-patents license for existing patents and applications, and a 10-year term license for all other patents, from Samsung.

The results of operations in the first quarter of 2011 included a loss of $111 million for a debt restructure transaction.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet40.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Schedule II Valuation and Qualifying Accounts
12 Months Ended
Aug. 30, 2012
Disclosure Text Block [Abstract]
Schedule II Valuation and Qualifying Accounts
MICRON TECHNOLOGY, INC.
SCHEDULE II
VALUATION AND QUALIFYING ACCOUNTS
(in millions)

 
Balance at
Beginning of
Year
 
Business Acquisitions
 
Charged
(Credited) to
Costs and
Expenses
 

Deductions/
Write-Offs
 
Balance at
End of
Year
Allowance for Doubtful Accounts
 
 
 
 
 
 
 
 
 
Year ended August 30, 2012
$
3

 
$

 
$
5

 
$
(3
)
 
$
5

Year ended September 1, 2011
4

 

 

 
(1
)
 
3

Year ended September 2, 2010
5

 
1

 

 
(2
)
 
4

 
 
 
 
 
 
 
 
 
 
Deferred Tax Asset Valuation Allowance
 

 
 

 
 

 
 

 
 

Year ended August 30, 2012
$
1,220

 
$

 
$
373

 
$
(58
)
 
$
1,535

Year ended September 1, 2011
1,295

 

 
(103
)
 
28

 
1,220

Year ended September 2, 2010
1,822

 
63

 
(424
)
 
(166
)
 
1,295



Certain deferred tax assets and liabilities in prior years were corrected with corresponding changes in the valuation allowance, resulting in no change to net deferred tax assets. The change in these items was not material for any period presented.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet41.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Significant Accounting Policies (Policies)
12 Months Ended
Aug. 30, 2012
Policy Text Block [Abstract]
Basis of Presentation
Basis of Presentation: We are a global manufacturer and marketer of semiconductor devices, principally DRAM, NAND Flash and NOR Flash memory, as well as other innovative memory technologies, packaging solutions and semiconductor systems for use in leading-edge computing, consumer, networking, automotive, industrial, embedded and mobile products.  In addition, we manufacture components for CMOS image sensors and other semiconductor products.  The accompanying consolidated financial statements include the accounts of Micron Technology, Inc. and its consolidated subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States of America.
Reclassifications
Certain reclassifications, none of which are material, have been made to prior period amounts to conform to current period presentation. The payment for the acquisition of noncontrolling interests in 2011 has been corrected and reclassified in the statement of cash flows from an investing activity to a financing activity. Disclosures of certain deferred tax assets and liabilities in prior years were corrected with corresponding changes in the valuation allowance, resulting in no change to net deferred tax assets.
Fiscal Period
Our fiscal year is the 52 or 53-week period ending on the Thursday closest to August 31. Our fiscal years 2012, 2011 and 2010 each contained 52 weeks.  All period references are to our fiscal periods unless otherwise indicated.
Use of Estimates
Use of Estimates: The preparation of financial statements and related disclosures in conformity with accounting principles generally accepted in the United States of America requires our management to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues, expenses and related disclosures.  Estimates and judgments are based on historical experience, forecasted events and various other assumptions that we believe to be reasonable under the circumstances.  Estimates and judgments may differ under different assumptions or conditions.  We evaluate our estimates and judgments on an ongoing basis.  Actual results could differ from estimates.

Product Warranty
Product Warranty: We generally provide a limited warranty that our products are in compliance with our specifications existing at the time of delivery.  Under our general terms and conditions of sale, liability for certain failures of product during a stated warranty period is usually limited to repair or replacement of defective items or return of, or a credit with respect to, amounts paid for such items.  Under certain circumstances, we provide more extensive limited warranty coverage than that provided under our general terms and conditions.  Our warranty obligations are not material.
Revenue Recognition
Revenue Recognition: We recognize product or license revenue when persuasive evidence that a sales arrangement exists, delivery has occurred, the price is fixed or determinable and collectability is reasonably assured.  Since we are unable to estimate returns and changes in market price, and therefore the price is not fixed or determinable, sales made under agreements allowing pricing protection or rights of return (other than for product warranty) are deferred until customers have resold the product.
Research and Development
Research and Development: Costs related to the conceptual formulation and design of products and processes are expensed as research and development as incurred.  Determining when product development is complete requires judgment.  Development of a product is deemed complete once the product has been thoroughly reviewed and tested for performance and reliability.  Subsequent to product qualification, product costs are valued in inventory.  Product design and other research and development costs for NAND Flash, DRAM and certain emerging memory technologies are shared with our joint venture partners.  Amounts receivable from these cost-sharing arrangements are reflected as a reduction of research and development expense.  (See "Equity Method Investments" and "Consolidated Variable Interest Entities – IM Flash" notes.)

Stock-based Compensation
Stock-based Compensation: Stock-based compensation is measured at the grant date, based on the fair value of the award, and recognized as expense under the straight-line attribution method over the requisite service period.  We issue new shares upon the exercise of stock options or conversion of share units.  (See "Equity Plans" note.)
Stock Repurchases
Stock Repurchases: When we repurchase and retire our common stock, any excess of the repurchase price paid over par value is allocated between paid-in capital and retained earnings.
Functional Currency
Functional Currency: The U.S. dollar is the functional currency for all of our consolidated operations.
Cash and Cash Equivalents
Cash equivalents include highly liquid short-term investments with original maturities to us of three months or less, readily convertible to known amounts of cash.
Investments
Investments with original maturities greater than three months and remaining maturities less than one year are included in short-term investments.  Investments with remaining maturities greater than one year are included in long-term marketable investments.  The carrying value of investment securities sold is determined using the specific identification method.
Derivative and Hedging Instruments
Derivative and Hedging Instruments: We use derivative financial instruments, primarily forward and option contracts, to manage exposures to fluctuating currency exchange rates. We do not use financial instruments for trading or speculative purposes. Derivative instruments are measured at their fair values and recognized as either assets or liabilities. The accounting for changes in the fair value of derivative instruments is based on the intended use of the derivative and the resulting designation. For derivative instruments that are not designated as hedges for accounting purpose, gains or losses from changes in fair values are recognized in other income (expense). For derivative instruments designated as cash-flow hedges, the effective portion of the gain or loss is included as a component of other comprehensive income (loss), and the ineffective or excluded portion of the gain or loss is included in other operating income (expense). The amounts in accumulated other comprehensive income (loss) for these cash flow hedges are reclassified into earnings in the same line items of the consolidated statements of operation and in the same periods in which the underlying transactions affect earnings.  Effectiveness is measured by comparing the cumulative change in the fair value of the hedge contract with the cumulative change in the forecasted cash flows of the hedged item. For the effectiveness assessment of our cash-flow hedges, changes in the time value are excluded for forward contracts and included for options. (See "Derivative Financial Instruments – Currency Derivatives with Hedge Accounting Designation" note.)
Inventories
Inventories: Inventories are stated at the lower of average cost or market value.  Cost includes labor, material and overhead costs, including product and process technology costs.  Determining market values of inventories involves numerous judgments, including projecting average selling prices and sales volumes for future periods and costs to complete products in work in process inventories.  When market values are below costs, we record a charge to cost of goods sold to write down inventories to their estimated market value in advance of when the inventories are actually sold.  Inventories are generally categorized as memory (primarily DRAM and NAND Flash and NOR Flash) and imaging products for purposes of determining average cost and market value.  The major characteristics considered in determining inventory categories are product type and markets.
Product and Process Technology
Product and Process Technology: Costs incurred to acquire product and process technology or to patent technology are capitalized and amortized on a straight-line basis over periods ranging up to 10 years.  We capitalize a portion of costs incurred based on the historical and projected patents issued as a percent of patents we file.  Capitalized product and process technology costs are amortized over the shorter of (i) the estimated useful life of the technology, (ii) the patent term or (iii) the term of the technology agreement.  Fully-amortized assets are removed from product and process technology and accumulated amortization.
Property, plant and equipment
Property, Plant and Equipment: Property, plant and equipment are stated at cost and depreciated using the straight-line method over estimated useful lives of generally 10 to 30 years for buildings, generally 5 to 7 years for equipment and 3 to 5 years for software.  Assets held for sale are carried at the lower of cost or estimated fair value and are included in other noncurrent assets.  When property or equipment is retired or otherwise disposed, the net book value of the asset is removed and we recognize any gain or loss in our results of operations.

We capitalize interest on borrowings during the active construction period of capital projects.  Capitalized interest is added to the cost of the underlying assets and amortized over the useful lives of the assets.  
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet42.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Variable Interest Entities (Policies)
12 Months Ended
Aug. 30, 2012
Policy Text Block [Abstract]
Variable Interest Entities
We have interests in joint venture entities that are Variable Interest Entities ("VIEs"). If we are the primary beneficiary of a VIE, we are required to consolidate it. To determine if we are the primary beneficiary, we evaluate whether we have the power to direct the activities that most significantly impact the VIE's economic performance and the obligation to absorb losses or the right to receive benefits of the VIE that could potentially be significant to the VIE. Our evaluation includes identification of significant activities and an assessment of our ability to direct those activities based on governance provisions and arrangements to provide or receive product and process technology, product supply, operations services, equity funding, financing and other applicable agreements and circumstances. Our assessments of whether we are the primary beneficiary of our VIEs require significant assumptions and judgment.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet43.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Numonyx Holdings B.V. (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Acquisition of Numonyx Holdings B.V.
The following unaudited pro forma financial information presents the combined results of operations as if Numonyx had been combined with us as of the beginning of 2009. The pro forma financial information includes the accounting effects of the business combination, including adjustments to the amortization of intangible assets, depreciation of property, plant and equipment, interest expense and elimination of intercompany activities.  The unaudited pro forma financial information below is not necessarily indicative of either future results of operations or results that might have been achieved had Numonyx been combined with us as of the beginning of 2009.

For the year ended
 
2010
Net sales
 
$
9,895

Net income
 
1,923

Net income attributable to Micron
 
1,873

Earnings per share:
 
 
Basic
 
$
1.90

Diluted
 
1.72


The unaudited pro forma financial information included the results for the year ended September 2, 2010 and the results of Numonyx, including the adjustments described above, for the approximate fiscal year ended September 2, 2010.

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet44.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Investments (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule of Available-for-sale Securities Reconciliation [Table Text Block]

As of August 30, 2012 and September 1, 2011, available-for-sale investments, including cash equivalents, were as follows:

As of
 
2012
 
2011
 
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
Money market funds
 
$
2,159

 
$

 
$

 
$
2,159

 
$
1,462

 
$

 
$

 
$
1,462

Corporate bonds
 
233

 
1

 

 
234

 

 

 

 

Government securities
 
144

 

 

 
144

 

 

 

 

Asset-backed securities
 
77

 

 

 
77

 

 

 

 

Commercial paper
 
39

 

 

 
39

 

 

 

 

Certificates of deposit
 
31

 

 

 
31

 
155

 

 

 
155

Marketable equity securities
 
10

 

 

 
10

 
27

 
32

 
(7
)
 
52

 
 
$
2,693

 
$
1

 
$

 
$
2,694

 
$
1,644

 
$
32

 
$
(7
)
 
$
1,669


Investments Classified by Contractual Maturity Date [Table Text Block]
The table below presents the amortized cost and fair value of available-for-sale debt securities as of August 30, 2012 by contractual maturity.

 
 
Amortized Cost
 
Fair Value
Money market funds not due at a single maturity date
 
$
2,159

 
$
2,159

Due in 1 year or less
 
161

 
161

Due in 1 - 2 years
 
157

 
157

Due in 2 - 4 years
 
188

 
189

Due after 4 years
 
18

 
18

 
 
$
2,683

 
$
2,684

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet45.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Receivables (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule of Receivables
As of
 
2012
 
2011
Trade receivables (net of allowance for doubtful accounts of $5 and $3, respectively)
 
$
933

 
$
1,105

Income and other taxes
 
80

 
137

Related party receivables
 
63

 
72

Other
 
213

 
183

 
 
$
1,289

 
$
1,497

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet46.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Inventories (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule Of Inventory
As of
 
2012
 
2011
Finished goods
 
$
512

 
$
596

Work in process
 
1,148

 
1,342

Raw materials and supplies
 
152

 
142

 
 
$
1,812

 
$
2,080

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet47.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Intangible Assets (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule Of Finite Lived Intangible Assets By Major Class
As of
 
2012
 
2011
 
 
Gross
Amount
 
Accumulated
Amortization
 
Gross
Amount
 
Accumulated
Amortization
Product and process technology
 
$
575

 
$
(234
)
 
$
571

 
$
(203
)
Customer relationships
 
127

 
(98
)
 
127

 
(82
)
Other
 
1

 

 
1

 

 
 
$
703

 
$
(332
)
 
$
699

 
$
(285
)
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet48.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Property, Plant and Equipment (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule of Property, Plant and Equipment
As of
 
2012
 
2011
Land
 
$
92

 
$
92

Buildings (includes $196 and $163, respectively, for capital leases)
 
4,714

 
4,481

Equipment (includes $919 and $712, respectively, for capital leases)
 
15,653

 
14,735

Construction in progress
 
43

 
155

Software
 
323

 
293

 
 
20,825

 
19,756

Accumulated depreciation (includes $253 and $430, respectively, for capital leases)
 
(13,722
)
 
(12,201
)
 
 
$
7,103

 
$
7,555

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet49.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Equity Method Investments (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Equity Method Investments
As of
 
2012
 
2011
 
 
Investment Balance
 
Ownership Percentage
 
Investment Balance
 
Ownership Percentage
Inotera
 
$
370

 
39.7
%
 
$
388

 
29.7
%
Transform
 
7

 
50.0
%
 
87

 
50.0
%
Other
 
12

 
Various

 
8

 
Various

 
 
$
389

 
 

 
$
483

 
 


We recognize our share of earnings or losses from these entities under the equity method, generally on a two-month lag.  Equity in net loss of equity method investees, net of tax, included the following:

For the year ended
 
2012
 
2011
 
2010
Inotera:
 
 
 
 
 
 
Equity method loss
 
$
(227
)
 
$
(154
)
 
$
(56
)
Inotera Amortization
 
48

 
48

 
55

Other
 
(10
)
 
(6
)
 
(5
)
 
 
(189
)
 
(112
)
 
(6
)
Transform
 
(99
)
 
(31
)
 
(12
)
Other
 
(6
)
 
(15
)
 
(21
)
 
 
$
(294
)
 
$
(158
)
 
$
(39
)

The summarized financial information in the tables below reflects aggregate amounts for all of our equity method investees. Financial information is presented for the respective periods through which we recorded our proportionate share of each investee's results of operations, generally on a two-month lag. Summarized results of operations are presented only for the periods subsequent to our acquisition of an ownership interest.

As of
 
2012
 
2011
Current assets
 
$
724

 
$
942

Noncurrent assets
 
3,024

 
4,189

Current liabilities
 
2,519

 
3,201

Noncurrent liabilities
 
155

 
173

For the years ended
 
2012
 
2011
 
2010
Net sales
 
$
1,798

 
$
1,839

 
$
1,927

Gross margin
 
(451
)
 
(268
)
 
73

Operating loss
 
(751
)
 
(559
)
 
(181
)
Net loss
 
(793
)
 
(594
)
 
(237
)

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet50.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Accounts Payable and Accrued Expenses (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Accounts Payable And Accrued Liabilities Schedule
As of
 
2012
 
2011
Accounts payable
 
$
818

 
$
1,187

Salaries, wages and benefits
 
290

 
304

Customer advances
 
141

 
7

Related party payables
 
130

 
141

Income and other taxes
 
25

 
30

Other
 
237

 
161

 
 
$
1,641

 
$
1,830

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet51.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Debt (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule of Debt

As of
 
2012
 
2011
Capital lease obligations
 
$
883

 
$
423

2014 convertible senior notes
 
860

 
815

2032C convertible senior notes
 
451

 

2032D convertible senior notes
 
361

 

2031A convertible senior notes
 
265

 
255

2031B convertible senior notes
 
243

 
234

2027 convertible senior notes
 
141

 
135

Intel senior note
 
58

 

2013 convertible senior notes
 

 
139

 
 
3,262

 
2,001

Less current portion
 
(224
)
 
(140
)
 
 
$
3,038

 
$
1,861


Our senior notes are unsecured obligations ranking equally in right of payment with all of our other existing and future unsecured indebtedness, and are effectively subordinated to our capital lease obligations and all of our other existing and future secured indebtedness, to the extent of the value of the assets securing such indebtedness.  All of our debt obligations are structurally subordinated to all indebtedness of our subsidiaries.

Schedule Of Convertible Debt Instruments With Debt And Equity Components [Text Block]
Principal and carrying amounts of the liability components for our convertible notes with debt and equity components were as follows:

As of
 
2012
 
2011
 
 
Outstanding Principal
 
Unamortized Discount
 
Net Carrying Amount
 
Outstanding Principal
 
Unamortized Discount
 
Net Carrying Amount
2014 Notes
 
$
949

 
$
(89
)
 
$
860

 
$
949

 
$
(134
)
 
$
815

2032C Notes
 
550

 
(99
)
 
451

 

 

 

2032D Notes
 
450

 
(89
)
 
361

 

 

 

2031A Notes
 
345

 
(80
)
 
265

 
345

 
(90
)
 
255

2031B Notes
 
345

 
(102
)
 
243

 
345

 
(111
)
 
234

2027 Notes
 
175

 
(34
)
 
141

 
175

 
(40
)
 
135


As of August 30, 2012, the remaining amortization period for the debt discount was approximately 2, 7, 9, 6, 8, and 5 years for 2014 Notes, 2032C Notes, 2032D Notes, 2031A Notes, 2031B Notes, and 2027 Notes, respectively.

Carrying amounts of the equity components for our convertible notes with debt and equity components were as follows:

As of
 
2012
 
2011
2014 Notes
 
$
368

 
$
368

2032C Notes
 
101

 

2032D Notes
 
90

 

2031A Notes
 
89

 
89

2031B Notes
 
109

 
109

2027 Notes
 
40

 
40

Schedule Of Convertible Debt Instruments Interest Rates And Expense [Text Block]
Interest expense for our convertible notes with debt and equity components was as follows:

For the year ended
 
2012
 
2011
 
2010
Contractual interest expense:
 
 
 
 
 
 
2014 Notes, stated rate of 1.875%
 
$
18

 
$
19

 
$
24

2032C Notes, stated rate of 2.375%
 
5

 

 

2032D Notes, stated rate of 3.125%
 
5

 

 

2031A Notes, stated rate of 1.5%
 
5

 
1

 

2031B Notes, stated rate of 1.875%
 
6

 
1

 

2027 Notes, stated rate of 1.875%
 
3

 
3

 

 
 
42

 
24

 
24

 
 
 
 
 
 
 
Amortization of discount and issuance costs:
 
 
 
 
 
 
2014 Notes, effective rate of 7.9%
 
47

 
46

 
56

2032C Notes, effective rate of 6.0%
 
5

 

 

2032D Notes, effective rate of 6.3%
 
3

 

 

2031A Notes, effective rate of 6.5%
 
11

 
1

 

2031B Notes, effective rate of 7.0%
 
10

 
1

 

2027 Notes, effective rate of 6.9%
 
6

 
5

 

 
 
82

 
53

 
56

 
 
$
124

 
$
77

 
$
80

Maturities of Notes Payable and Future Minimum Lease Payments [Table Text Block]
As of August 30, 2012, maturities of notes payable and future minimum lease payments under capital lease obligations were as follows:

As of August 30, 2012
 
Notes Payable
 
Capital Lease Obligations
2013
 
$
33

 
$
231

2014
 
974

 
218

2015
 

 
224

2016
 

 
228

2017
 
175

 
23

2018 and thereafter
 
1,690

 
71

Discounts and interest, respectively
 
(493
)
 
(112
)
 
 
$
2,379

 
$
883

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet52.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Commitments (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Minimum Future Operating Lease Commitments
As of August 30, 2012, minimum future rental commitments are as follows:

As of August 30, 2012
 
Operating Lease Commitments
2013
 
$
25

2014
 
16

2015
 
9

2016
 
9

2017
 
7

2018 and thereafter
 
24

 
 
$
90

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet53.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Shareholders' Equity (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]

As of
 
2012
 
2011
Accumulated translation adjustment, net
 
$
49

 
$
65

Gain (loss) on derivatives, net
 
31

 
43

Gain (loss) on investments, net
 
1

 
25

Unrecognized pension liability
 
(1
)
 
(1
)
Accumulated other comprehensive income
 
$
80

 
$
132

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet54.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Derivative Financial Instruments (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]
Total gross notional amounts and fair values for currency derivatives without hedge accounting designation were as follows:

Currency
 
Notional Amount (in U.S. Dollars)
 
Fair Value of
Asset (1)
 
(Liability) (2)
As of August 30, 2012
 
 
 
 
 
 
Forward contracts:
 
 
 
 
 
 
Singapore dollar
 
$
251

 
$

 
$
(1
)
Euro
 
173

 
2

 
(1
)
Shekel
 
65

 

 
(1
)
Yen
 
18

 

 

Currency options:
 
 
 
 
 
 
Yen
 
5,050

(3) 
57

 

New Taiwan dollar
 
342

 
2

 

 
 
$
5,899

 
$
61

 
$
(3
)
 
 
 
 
 
 
 
As of September 1, 2011
 
 

 
 

 
 

Forward contracts:
 
 
 
 
 
 
Singapore dollar
 
$
210

 
$

 
$

Euro
 
301

 
3

 

Shekel
 
98

 

 
(2
)
Yen
 
165

 
3

 

Other
 
50

 

 

 
 
$
824

 
$
6

 
$
(2
)

(1) 
Included in receivables – other.
(2) 
Included in accounts payable and accrued expenses – other.
(3) 
Notional amount includes purchased options of $2,527 million and sold options of $2,523 million.
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]
Total gross notional amounts and fair values for currency derivatives with cash flow hedge accounting designation were as follows:

 
 
Notional Amount       (in U.S. Dollars)
 
Fair Value of
Currency
 
 
Asset (1)
 
(Liability) (2)
As of August 30, 2012
 
 
 
 
 
 
Forward contracts:
 
 
 
 
 
 
Yen
 
$
108

 
$
2

 
$

Euro
 
35

 

 

Currency options:
 
 
 
 
 
 
Yen
 
32

 

 

 
 
$
175

 
$
2

 
$

As of September 1, 2011
 
 

 
 

 
 

Forward contracts:
 
 
 
 
 
 
Yen
 
$
19

 
$
1

 
$

Euro
 
232

 
8

 

 
 
$
251

 
$
9

 
$

(1) 
Included in receivables – other.
(2) 
Included in accounts payable and accrued expenses – other.

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet55.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Fair Value Measurements (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Assets measured at fair value on a recurring basis
Assets measured at fair value on a recurring basis were as follows:

As of
 
2012
 
2011
 
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Cash equivalents:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Money market funds
 
$
2,159

 
$

 
$

 
$
2,159

 
$
1,462

 
$

 
$

 
$
1,462

Commercial paper
 

 
29

 

 
29

 

 

 

 

Certificates of deposit
 

 
27

 

 
27

 

 
155

 

 
155

Government securities
 

 
5

 

 
5

 

 

 

 

 
 
2,159

 
61

 

 
2,220

 
1,462

 
155

 

 
1,617

Short-term investments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Government securities
 

 
51

 

 
51

 

 

 

 

Corporate bonds
 

 
31

 

 
31

 

 

 

 

Commercial paper
 

 
10

 

 
10

 

 

 

 

Asset-backed securities
 

 
4

 

 
4

 

 

 

 

Certificates of deposit
 

 
4

 

 
4

 

 

 

 

 
 

 
100

 

 
100

 

 

 

 

Long-term marketable investments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Corporate bonds
 

 
203

 

 
203

 

 

 

 

Government securities
 

 
88

 

 
88

 

 

 

 

Asset-backed securities
 

 
73

 

 
73

 

 

 

 

Marketable equity securities
 
5

 
5

 

 
10

 
37

 
15

 

 
52

 
 
5

 
369

 

 
374

 
37

 
15

 

 
52

Noncurrent assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Assets held for sale
 

 

 
25

 
25

 

 

 
35

 
35

 
 

 

 
25

 
25

 

 

 
35

 
35

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$
2,164

 
$
530

 
$
25

 
$
2,719

 
$
1,499

 
$
170

 
$
35

 
$
1,704



Estimated fair value and carrying value of debt instruments
The estimated fair value and carrying value of debt instruments (carrying value excludes the equity components of the 2014 Notes, the 2027 Notes, the 2031 Notes, and the 2032 Notes classified in equity) were as follows:

As of
 
2012
 
2011
 
 
Fair
Value
 
Carrying
Value
 
Fair
Value
 
Carrying
Value
Convertible notes
 
$
2,669

 
$
2,321

 
$
1,845

 
$
1,578

Other notes
56

 
58

 

 



------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet56.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Equity Plans (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule option activity
Option activity for 2012 is summarized as follows:

 
 
Number of Shares
 
Weighted-Average Exercise Price Per Share
 
Weighted-Average Remaining Contractual Life
(In Years)
 
Aggregate Intrinsic Value
Outstanding at September 1, 2011
 
99.3

 
$
11.06

 
 
 
 
Granted
 
21.4

 
5.74

 
 
 
 
Exercised
 
(1.5
)
 
3.49

 
 
 
 
Cancelled or expired
 
(23.5
)
 
17.43

 
 
 
 
Outstanding at August 30, 2012
 
95.7

 
8.42

 
2.8
 
$
53

 
 
 
 
 
 
 
 
 
Exercisable at August 30, 2012
 
55.3

 
$
9.71

 
1.7
 
$
31

Expected to vest after August 30, 2012
 
38.6

 
6.65

 
4.4
 
22

Schedule of options outstanding
The following table summarizes information about options outstanding as of August 30, 2012:

 
 
 
Outstanding Options
 
Exercisable Options
Range of Exercise Prices
 
Number
of Shares
 
Weighted-Average Remaining Contractual Life (In Years)
 
Weighted-Average Exercise Price
Per Share
 
Number
of Shares
 
Weighted-Average Exercise Price
Per Share
$
2.07

 -
$
4.52

 
 
13.4

 
2.2
 
$
3.01

 
9.4

 
$
3.07

5.00

 -
7.92

 
 
40.8

 
4.1
 
6.45

 
13.0

 
6.84

8.02

 -
10.89

 
 
12.9

 
4.1
 
9.58

 
4.4

 
9.59

11.03

 -
13.99

 
 
22.3

 
0.8
 
12.44

 
22.2

 
12.45

14.01

 -
19.61

 
 
6.3

 
0.7
 
16.05

 
6.3

 
16.05

 
 
 
 
 
95.7

 
2.8
 
8.42

 
55.3

 
9.71

Assumptions used in Black-Scholes option valuation model
 Assumptions used in the Black-Scholes model are presented below:

For the year ended
 
2012
 
2011
 
2010
Average expected life in years
 
5.1

 
5.1

 
5.1

Weighted-average expected volatility
 
66
%
 
56
%
 
60
%
Weighted-average risk-free interest rate
 
0.9
%
 
1.8
%
 
2.3
%

Schedule of restricted stock awards activity
Restricted Stock Awards activity for 2012 is summarized as follows:

 
 
Number of Shares
 
Weighted-Average Grant Date Fair Value Per Share
Outstanding at September 1, 2011
 
8.8

 
$
8.17

Granted
 
5.8

 
5.43

Restrictions lapsed
 
(4.7
)
 
7.47

Cancelled
 
(0.5
)
 
7.26

Outstanding at August 30, 2012
 
9.4

 
6.87

 
 
 
 
 
Expected to vest after August 30, 2012
 
8.1

 
$
6.75


Restricted Stock Awards granted for 2012, 2011 and 2010 were as follows:

For the year ended
 
2012
 
2011
 
2010
Service-based awards
 
3.9

 
4.4

 
5.9

Performance-based awards
 
1.9

 
1.2

 
1.8

Weighted-average grant-date fair values per share
 
$
5.43

 
$
8.72

 
$
8.29

Stock-based compensation expense
Stock-based Compensation Expense

For the year ended
 
2012
 
2011
 
2010
Stock-based compensation expense by caption:
 
 
 
 
 
 
Cost of goods sold
 
$
23

 
$
20

 
$
23

Selling, general and administrative
 
47

 
38

 
50

Research and development
 
17

 
17

 
18

Other operating (income) expense
 

 
1

 
2

 
 
$
87

 
$
76

 
$
93

 
 
 
 
 
 
 
Stock-based compensation expense by type of award:
 
 
 
 
 
 
Stock options
 
$
57

 
$
44

 
$
37

Restricted stock awards
 
30

 
32

 
56

 
 
$
87

 
$
76

 
$
93


------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet57.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Other Operating (Income) Expense, Net (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule of Other operating (income) expense, net

For the year ended
 
2012
 
2011
 
2010
Loss from termination of lease to IMFT
 
$
17

 
$

 
$

Restructure
 
7

 
(21
)
 
(10
)
(Gain) loss from changes in currency exchange rates
 
6

 
6

 
23

(Gain) loss on disposition of property, plant and equipment
 
5

 
(17
)
 
(1
)
Samsung patent cross-license agreement
 

 
(275
)
 

Gain from disposition of Japan Fab
 

 
(54
)
 

Other
 
13

 
(19
)
 
(39
)
 
 
$
48

 
$
(380
)
 
$
(27
)
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet58.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Income Taxes (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Income tax (provision) benefit

For the year ended
 
2012
 
2011
 
2010
Income (loss) before taxes, net income attributable to noncontrolling interests and equity in net loss of equity method investees:
 
 
 
 
 
 
U.S.
 
$
(1,028
)
 
$
257

 
$
1,383

Foreign
 
274

 
294

 
537

 
 
$
(754
)
 
$
551

 
$
1,920

Income tax (provision) benefit:
 
 
 
 
 
 
Current:
 
 
 
 
 
 
U.S. federal
 
$
14

 
$

 
$
66

Foreign
 
(22
)
 
(89
)
 
(24
)
State
 

 
(1
)
 
(4
)
 
 
(8
)
 
(90
)
 
38

Deferred:
 
 
 
 
 
 
U.S. federal
 

 

 
(5
)
Foreign
 
25

 
(113
)
 
(14
)
 
 
25

 
(113
)
 
(19
)
Income tax (provision) benefit
 
$
17

 
$
(203
)
 
$
19

Income tax (provision) benefit computed using the U.S. federal statutory rate reconciled to income tax (provision) benefit
Income tax (provision) benefit computed using the U.S. federal statutory rate reconciled to income tax (provision) benefit was as follows:

For the year ended
 
2012
 
2011
 
2010
U.S. federal income tax (provision) benefit at statutory rate
 
$
264

 
$
(193
)
 
$
(672
)
Foreign operations
 
104

 
(119
)
 
135

State taxes, net of federal benefit
 
9

 
(5
)
 
(22
)
Tax credits
 
2

 
17

 
3

Change in valuation allowance
 
(373
)
 
103

 
424

Debt repurchase premium
 

 
(20
)
 

Gain on acquisition of Numonyx
 

 

 
153

Other
 
11

 
14

 
(2
)
Income tax (provision) benefit
 
$
17

 
$
(203
)
 
$
19

Deferred tax assets and liabilities
Deferred tax assets and liabilities consist of the following as of the end of the periods shown below:

As of
 
2012
 
2011
Deferred tax assets:
 
 
 
 
Net operating loss and credit carryforwards
 
$
1,816

 
$
1,558

Accrued salaries, wages and benefits
 
99

 
99

Deferred income
 
39

 
55

Other
 
76

 
55

Gross deferred tax assets
 
2,030

 
1,767

Less valuation allowance
 
(1,535
)
 
(1,220
)
Deferred tax assets, net of valuation allowance
 
495

 
547

 
 
 
 
 
Deferred tax liabilities:
 
 
 
 
Debt discount
 
(182
)
 
(138
)
Unremitted earnings on certain subsidiaries
 
(111
)
 
(117
)
Product and process technology
 
(61
)
 
(50
)
Property, plant and equipment
 
(38
)
 
(107
)
Intangible assets
 
(17
)
 
(24
)
Other
 
(21
)
 
(41
)
Deferred tax liabilities
 
(430
)
 
(477
)
 
 
 
 
 
Net deferred tax assets
 
$
65

 
$
70

 
 
 
 
 
Reported as:
 
 
 
 
Current deferred tax assets (included in other current assets)
 
$
19

 
$
26

Noncurrent deferred tax assets (included in other noncurrent assets)
 
47

 
60

Noncurrent deferred tax liabilities (included in other noncurrent liabilities)
 
(1
)
 
(16
)
Net deferred tax assets
 
$
65

 
$
70

Reconciliation of beginning and ending amount of unrecognized tax benefits
Below is a reconciliation of the beginning and ending amount of unrecognized tax benefits:

For the year ended
 
2012
 
2011
 
2010
Beginning unrecognized tax benefits
 
$
121

 
$
88

 
$
1

Settlements with tax authorities
 
(29
)
 
(2
)
 
(1
)
Decreases related to tax positions from prior years
 
(14
)
 
(3
)
 

Foreign currency translation increases (decreases) to tax positions
 
(9
)
 
6

 

Increases related to tax positions taken during current year
 
6

 
28

 
11

Increases related to tax positions from prior years
 
2

 
4

 
14

Unrecognized tax benefits acquired in current year
 

 

 
63

Ending unrecognized tax benefits
 
$
77

 
$
121

 
$
88

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet59.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Earnings Per Share (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Basic and diluted earnings per share
For the year ended
 
2012
 
2011
 
2010
Net income (loss) available to Micron shareholders – Basic
 
$
(1,032
)
 
$
167

 
$
1,850

Net effect of assumed conversion of debt
 

 

 
93

Net income (loss) available to Micron shareholders – Diluted
 
$
(1,032
)
 
$
167

 
$
1,943

 
 
 
 
 
 
 
Weighted-average common shares outstanding – Basic
 
991.2

 
988.0

 
887.5

Net effect of dilutive equity awards, escrow shares and assumed conversion of debt
 

 
19.5

 
163.2

Weighted-average common shares outstanding – Diluted
 
991.2

 
1,007.5

 
1,050.7

 
 
 
 
 
 
 
Earnings (loss) per share:
 
 
 
 
 
 
Basic
 
$
(1.04
)
 
$
0.17

 
$
2.09

Diluted
 
(1.04
)
 
0.17

 
1.85

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]
Listed below are the potential common shares, as of the end of the periods shown, that could dilute basic earnings per share in the future that were not included in the computation of diluted earnings per share because to do so would have been antidilutive:

For the year ended
 
2012
 
2011
 
2010
Employee stock plans
 
104.8

 
81.4

 
92.2

Convertible notes
 
257.6

 
182.7

 


------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet60.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Consolidated Variable Interest Entities (Tables)
12 Months Ended
Aug. 30, 2012
Variable Interest Entity [Line Items]
IM Flash's distributions to, and contributions from, shareholders
The following table presents IM Flash's distributions to and contributions from its shareholders ("IM Flash" includes both IMFT and IMFS for all periods prior to April 6, 2012 and includes only IMFT for the period after April 6, 2012):

For the year ended
 
2012
 
2011
 
2010
IM Flash distributions to Micron
 
$
439

 
$
234

 
$
278

IM Flash distributions to Intel
 
391

 
225

 
267

Micron contributions to IM Flash
 
151

 
1,580

 
128

Intel contributions to IM Flash
 
177

 

 
38

IM Flash [Member]
Variable Interest Entity [Line Items]
Total IM Flash and MP Mask assets and liabilities
The following table presents the total assets and liabilities of IMFT and IMFS included in our consolidated balance sheet. Amounts as of September 1, 2011 included IMFT and IMFS, which were aggregated due to the similarity of their function, operations and the way our management reviewed the results of their operations. Amounts as of August 30, 2012 included only IMFT.

As of
 
2012
 
2011
Assets
 
 
 
 
Cash and equivalents
 
$
157

 
$
327

Receivables
 
78

 
252

Inventories
 
67

 
227

Other current assets
 
5

 
11

Total current assets
 
307

 
817

Property, plant and equipment, net
 
1,342

 
4,121

Other noncurrent assets
 
36

 
66

Total assets
 
$
1,685

 
$
5,004

 
 
 
 
 
Liabilities
 
 

 
 

Accounts payable and accrued expenses
 
$
104

 
$
458

Deferred income
 
10

 
125

Equipment purchase contracts
 
58

 
37

Current portion of long-term debt
 
6

 
8

Total current liabilities
 
178

 
628

Long-term debt
 
18

 
58

Other noncurrent liabilities
 
129

 
4

Total liabilities
 
$
325

 
$
690

Amounts exclude intercompany balances that were eliminated in our consolidated balance sheets.
MP Mask Technology Center LLC [Member]
Variable Interest Entity [Line Items]
Total IM Flash and MP Mask assets and liabilities
Total MP Mask assets and liabilities included in our consolidated balance sheets were as follows:

As of
 
2012
 
2011
Current assets
 
$
19

 
$
24

Noncurrent assets (primarily property, plant and equipment)
 
170

 
143

Current liabilities
 
12

 
31

Amounts exclude intercompany balances that were eliminated in our consolidated balance sheets.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet61.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Segment Information (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Segment Information

For the year ended
 
2012
 
2011
 
2010
Net sales:
 
 
 
 
 
 
NSG
 
$
2,853

 
$
2,196

 
$
2,113

DSG
 
2,691

 
3,203

 
4,638

WSG
 
1,184

 
1,959

 
778

ESG
 
1,054

 
1,002

 
521

All Other
 
452

 
428

 
432

 
 
$
8,234

 
$
8,788

 
$
8,482

 
 
 
 
 
 
 
Operating income (loss):
 
 
 
 
 
 
NSG
 
$
198

 
$
269

 
$
240

DSG
 
(500
)
 
290

 
1,269

WSG
 
(370
)
 
20

 
(23
)
ESG
 
156

 
237

 
152

All Other
 
(102
)
 
(61
)
 
(49
)
 
 
$
(618
)
 
$
755

 
$
1,589



Depreciation and amortization expense was as follows:

For the year ended
 
2012
 
2011
 
2010
NSG
 
$
651

 
$
513

 
$
530

DSG
 
770

 
750

 
947

WSG
 
374

 
512

 
212

ESG
 
211

 
196

 
97

All Other
 
138

 
130

 
140

Depreciation and amortization expense included in operating income (loss)
 
2,144

 
2,101

 
1,926

Other amortization
 
78

 
61

 
79

Total depreciation and amortization expense
 
$
2,222

 
$
2,162

 
$
2,005

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet62.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Product Sales Product Sales (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule of Entity-Wide Information, Revenue from External Customers by Products and Services [Text Block]
For the year ended
 
2012
 
2011
 
2010
NAND Flash
 
$
3,627

 
$
3,193

 
$
2,555

DRAM
 
3,178

 
3,620

 
5,052

NOR Flash
 
977

 
1,547

 
451

Other
 
452

 
428

 
424

 
 
$
8,234

 
$
8,788

 
$
8,482



------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet63.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Geographic Information (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule of geographic net sales and property, plant and equipment by geographic area
Geographic net sales based on customer ship-to location were as follows:

For the year ended
 
2012
 
2011
 
2010
China
 
$
2,936

 
$
2,983

 
$
3,294

United States
 
1,262

 
1,363

 
1,403

Asia Pacific (excluding China, Taiwan and Malaysia)
 
1,241

 
1,518

 
1,090

Taiwan
 
1,022

 
744

 
711

Europe
 
827

 
924

 
777

Malaysia
 
546

 
737

 
817

Other
 
400

 
519

 
390

 
 
$
8,234

 
$
8,788

 
$
8,482



Net property, plant and equipment by geographic area were as follows:

As of
 
2012
 
2011
 
2010
Singapore
 
$
3,270

 
$
3,569

 
$
2,161

United States
 
3,246

 
3,487

 
3,925

China
 
328

 
179

 
90

Italy
 
163

 
190

 
173

Israel
 
59

 
94

 
111

Japan
 
2

 
1

 
81

Other
 
35

 
35

 
60

 
 
$
7,103

 
$
7,555

 
$
6,601

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet64.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Quarterly Financial Information Quarterly Financial Information (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Schedule of Quarterly Financial Information, Current Year [Text Block]
2011
 
Fourth Quarter
 
Third Quarter
 
Second Quarter
 
First Quarter
Net sales
 
$
2,140

 
$
2,139

 
$
2,257

 
$
2,252

Gross margin
 
321

 
478

 
435

 
524

Operating income (loss)
 
(51
)
 
237

 
179

 
390

Net income (loss)
 
(134
)
 
77

 
75

 
172

Net income (loss) attributable to Micron
 
(135
)
 
75

 
72

 
155

 
 
 
 
 
 
 
 
 
Earnings (loss) per share:
 
 

 
 

 
 

 
 

Basic
 
$
(0.14
)
 
$
0.07

 
$
0.07

 
$
0.16

Diluted
 
(0.14
)
 
0.07

 
0.07

 
0.15

2012
 
Fourth Quarter
 
Third Quarter
 
Second Quarter
 
First Quarter
Net sales
 
$
1,963

 
$
2,172

 
$
2,009

 
$
2,090

Gross margin
 
219

 
234

 
210

 
305

Operating loss
 
(140
)
 
(191
)
 
(205
)
 
(82
)
Net loss
 
(242
)
 
(320
)
 
(282
)
 
(187
)
Net loss attributable to Micron
 
(243
)
 
(320
)
 
(282
)
 
(187
)
 
 
 
 
 
 
 
 
 
Loss per share:
 
 

 
 

 
 

 
 

Basic
 
$
(0.24
)
 
$
(0.32
)
 
$
(0.29
)
 
$
(0.19
)
Diluted
 
(0.24
)
 
(0.32
)
 
(0.29
)
 
(0.19
)
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet65.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Schedule II Valuation and Qualifying Accounts (Tables)
12 Months Ended
Aug. 30, 2012
Table Text Block [Abstract]
Valuation and Qualifying Accounts
 
Balance at
Beginning of
Year
 
Business Acquisitions
 
Charged
(Credited) to
Costs and
Expenses
 

Deductions/
Write-Offs
 
Balance at
End of
Year
Allowance for Doubtful Accounts
 
 
 
 
 
 
 
 
 
Year ended August 30, 2012
$
3

 
$

 
$
5

 
$
(3
)
 
$
5

Year ended September 1, 2011
4

 

 

 
(1
)
 
3

Year ended September 2, 2010
5

 
1

 

 
(2
)
 
4

 
 
 
 
 
 
 
 
 
 
Deferred Tax Asset Valuation Allowance
 

 
 

 
 

 
 

 
 

Year ended August 30, 2012
$
1,220

 
$

 
$
373

 
$
(58
)
 
$
1,535

Year ended September 1, 2011
1,295

 

 
(103
)
 
28

 
1,220

Year ended September 2, 2010
1,822

 
63

 
(424
)
 
(166
)
 
1,295

------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet66.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Significant Accounting Policies Significant Accounting Policies - Product and Process Technology (Details)
12 Months Ended
Aug. 30, 2012
Finite-Lived Intangible Assets [Line Items]
Maximum life of finite-lived intangible assets (in years) 10 years
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet67.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Significant Accounting Policies - Property, Plant and Equipment (Details)
12 Months Ended
Aug. 30, 2012
Building [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life (in years) 10 years
Building [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life (in years) 30 years
Equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life (in years) 5 years
Equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life (in years) 7 years
Software [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life (in years) 3 years
Software [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life (in years) 5 years
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet68.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Elpida Memory, Inc. Elpida Memories, Inc. (Details)
Share data in Millions, unless otherwise specified
Jul. 31, 2012
Elpida Memory, Inc. [Member]
USD ($)
Jul. 31, 2012
Elpida Memory, Inc. [Member]
JPY (¥)
Aug. 30, 2012
Elpida Memory, Inc. [Member]
Not Designated as Hedging Instrument [Member]
Call Options Purchased [Member]
JPY (¥)
Aug. 30, 2012
Elpida Memory, Inc. [Member]
Not Designated as Hedging Instrument [Member]
Put Options Written [Member]
JPY (¥)
Aug. 30, 2012
Elpida Memory, Inc. [Member]
Not Designated as Hedging Instrument [Member]
Call Options Written [Member]
JPY (¥)
Aug. 30, 2012
Elpida Memory, Inc. [Member]
Yen
Not Designated as Hedging Instrument [Member]
Call Options Purchased [Member]
Aug. 30, 2012
Elpida Memory, Inc. [Member]
Yen
Not Designated as Hedging Instrument [Member]
Put Options Written [Member]
Aug. 30, 2012
Elpida Memory, Inc. [Member]
Yen
Not Designated as Hedging Instrument [Member]
Call Options Written [Member]
Aug. 30, 2012
Rexchip Electronics Corporation [Member]
Not Designated as Hedging Instrument [Member]
Call Options Purchased [Member]
TWD
Aug. 30, 2012
Rexchip Electronics Corporation [Member]
New Taiwan dollar
Not Designated as Hedging Instrument [Member]
Call Options Purchased [Member]
Aug. 30, 2012
Scenario, Plan [Member]
Elpida Memory, Inc. [Member]
USD ($)
decimal
Aug. 30, 2012
Scenario, Plan [Member]
Elpida Memory, Inc. [Member]
JPY (¥)
Aug. 30, 2012
Scenario, Plan [Member]
Elpida Memory, Inc. [Member]
Payment Guarantee [Member]
USD ($)
Aug. 30, 2012
Scenario, Plan [Member]
Elpida Memory, Inc. [Member]
Payment Guarantee [Member]
JPY (¥)
Jun. 30, 2013
Scenario, Forecast [Member]
Elpida Memory, Inc. [Member]
USD ($)
Jun. 30, 2013
Scenario, Forecast [Member]
Elpida Memory, Inc. [Member]
JPY (¥)
Jun. 30, 2013
Scenario, Forecast [Member]
Elpida Memory, Inc. [Member]
USD ($)
Jun. 30, 2013
Scenario, Forecast [Member]
Elpida Memory, Inc. [Member]
JPY (¥)
Jun. 30, 2014
Scenario, Forecast [Member]
Elpida Memory, Inc. [Member]
USD ($)
Jun. 30, 2014
Scenario, Forecast [Member]
Elpida Memory, Inc. [Member]
JPY (¥)
May 30, 2013
Scenario, Forecast [Member]
Elpida Memory, Inc. [Member]
Not Designated as Hedging Instrument [Member]
USD ($)
Jun. 30, 2013
Scenario, Forecast [Member]
Rexchip Electronics Corporation [Member]
USD ($)
Jun. 30, 2013
Scenario, Forecast [Member]
Rexchip Electronics Corporation [Member]
TWD
May 30, 2013
Scenario, Forecast [Member]
Rexchip Electronics Corporation [Member]
Not Designated as Hedging Instrument [Member]
Call Options Purchased [Member]
USD ($)
Elpida Sponsor Agreement [Abstract]
Business Acquisition and Reorganization Plan Payments, Total Cash Payments $ 2,500,000,000 ¥ 200,000,000,000
Funds deposited in escrow account 23,000,000 1,800,000,000
Business Acquisition Cost Of Acquired Entity Cash Paid At Closing 750,000,000 60,000,000,000
Percentage of equity acquired 100.00% 100.00% 100.00% 100.00% 24.00% 24.00%
Reorganization Plan Future Payments 1,750,000,000 140,000,000,000
Reorganization Plan Number of Annual Installment Payments 6 6
Reorganization payments, by maturity [Abstract]
Reorganization Payment Year Three 250,000,000 20,000,000,000
Reorganization Payment Year Four 250,000,000 20,000,000,000
Reorganization Payment Year Five 250,000,000 20,000,000,000
Reorganization Payment Year Six 250,000,000 20,000,000,000
Reorganization Payment Year Seven 375,000,000 30,000,000,000
Reorganization Payment Year Eight 375,000,000 30,000,000,000
Maximum exposure to payment guarantee to facilitate Elpida's continued access to debtor-in-possession financing 200,000,000 16,000,000,000
Agreement to Provide Reasonable Efforts In Obtaining Financing Subsequent to Acquisition, Amount 63,000,000 5,000,000,000 63,000,000 5,000,000,000
Maximum exposure to payment guarantee or direct financing for Elpida capital expenditures 500,000,000 40,000,000,000 800,000,000 64,000,000,000
Elpida's ownership percentage in Rexchip Electronics Corp 65.00% 65.00% 65.00% 65.00%
Rexchip Share Purchase Agreement [Abstract]
Business Combination, Step Acquisition, Shares of Common Stock Purchased 714 714
Percentage of equity acquired 100.00% 100.00% 100.00% 100.00% 24.00% 24.00%
Payments to Acquire Additional Interest in Subsidiaries 334,000,000 10,000,000,000
Ownership percentage after stock transactions during period (in hundredths) 89.00% 89.00%
Foreign Currency Derivatives [Abstract]
Notional amount of call options purchased 200,000,000,000 10,000,000,000
Weighted average strike price of call options purchased 79.15 29.21
Notional amount of foreign currency derivative sale contracts 100,000,000,000 100,000,000,000
Strike price of options sold 83.32 75.57
Net cost of the purchase and sale of call and put options 49,000,000
Cost of hedge payable upon settlement $ 3,000,000
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet69.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Micron Japan Fabrication Facility (Details) (USD $)
In Millions, except Share data, unless otherwise specified
12 Months Ended 1 Months Ended 3 Months Ended 6 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Jun. 30, 2011
Japan Fabrication Facility [Member]
Jun. 02, 2011
Japan Fabrication Facility [Member]
May 31, 2012
Japan Fabrication Facility [Member]
Aug. 30, 2012
Fair Value, Measurements, Recurring [Member]
Tower Semiconductor Ltd. [Member]
Marketable equity securities [Member]
Japan Fabrication Facility [Member]
Aug. 06, 2012
Fair Value, Measurements, Recurring [Member]
Tower Semiconductor Ltd. [Member]
Marketable equity securities [Member]
Japan Fabrication Facility [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Receipt of cash related to Japan Fab disposition $ 40 $ 20
Tower Semiconductor Ltd. shares received in Japan Fab disposition (in shares) 1,300,000
Available For Sale Securities Number of Shares Received in Reverse Stock Splt 1
Available For Sale Securities Number of Shares Returned in Reverse Stock Split 15
Net carrying value of assets sold and liabilities transferred 23
Gain from disposition of Japan Fab 0 54 0 54
Transaction costs included in gain recognized in Japan Fab disposition 3
Net charge for the gain and write down of certain tax assets associated with the Japan Fab disposition $ 74
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet70.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Numonyx Holdings B.V. (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended 3 Months Ended 12 Months Ended 0 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Jun. 03, 2010
Numonyx Holdings BV [Member]
Sep. 02, 2010
Numonyx Holdings BV [Member]
May 07, 2010
Numonyx Holdings BV [Member]
May 07, 2010
Numonyx Holdings BV [Member]
Common stock [Member]
May 07, 2010
Numonyx Holdings BV [Member]
Restricted Stock Awards [Member]
Business Combination, Consideration Transferred [Abstract]
Fair value of the consideration paid for Numonyx $ 1,112
Equity units issued for the acquisition of Numonyx (in shares) 137.7 4.8
Recognized amounts of identifiable assets acquired and liabilities assumed: [Abstract]
Net assets acquired 1,549
Gain on acquisition of Numonyx 0 0 (437) (437)
Income tax benefit recognized in connection with the acquisition of Numonyx 51
Business Combination, Pro Forma Information [Abstract]
Numonyx net sales after acquisition date 635
Numonyx operating loss after acquisition date 14
Business Acquisition, Pro Forma Information [Abstract]
Net sales 9,895
Net income 1,923
Net income attributable to Micron $ 1,873
Earnings per share: [Abstract]
Basic (in dollars per share) $ 1.9
Diluted (in dollars per share) $ 1.72
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet71.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Investments (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost $ 2,693 $ 1,644
Gross Unrealized Gains 1 32
Gross Unrealized Losses 0 (7)
Fair Value 2,694 1,669
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis [Abstract]
Money market funds not due at a single maturity date 2,159
Due in 1 year or less 161
Due in 1-2 years 157
Due in 2-4 years 188
Due after 4 years 18
Debt Maturities, Amortized Cost Basis 2,683
Available-for-sale Securities, Debt Maturities, Fair Value [Abstract]
Money market funds not due at a single maturity date 2,159
Due in 1 year or less 161
Due in 1-2 years 157
Due in 2-4 years 189
Due after 4 years 18
Debt Securities, Fair Value 2,684
Available-for-sale Securities, Gross Realized Gain (Loss), Disclosures [Abstract]
Net unrealized holding gains (losses) reclassified out of accumulated other comprehensive income 31
Proceeds from the sale of available-for-sale securities 149 1 3
Gross realized gains from sale of available-for-sale securities 34
Money market funds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost 2,159 1,462
Gross Unrealized Gains 0 0
Gross Unrealized Losses 0 0
Fair Value 2,159 1,462
Corporate bonds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost 233 0
Gross Unrealized Gains 1 0
Gross Unrealized Losses 0 0
Fair Value 234 0
Government securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost 144 0
Gross Unrealized Gains 0 0
Gross Unrealized Losses 0 0
Fair Value 144 0
Asset-backed securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost 77 0
Gross Unrealized Gains 0 0
Gross Unrealized Losses 0 0
Fair Value 77 0
Commercial paper [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost 39 0
Gross Unrealized Gains 0 0
Gross Unrealized Losses 0 0
Fair Value 39 0
Certificates of deposit [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost 31 155
Gross Unrealized Gains 0 0
Gross Unrealized Losses 0 0
Fair Value 31 155
Marketable equity securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost 10 27
Gross Unrealized Gains 0 32
Gross Unrealized Losses 0 (7)
Fair Value 10 52
Marketable equity securities other-than-temporary impairment losses $ 11
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet72.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Receivables (Details) (USD $)
In Millions, unless otherwise specified
Aug. 30, 2012
Sep. 01, 2011
Receivables [Abstract]
Trade receivables (net of allowance for doubtful accounts of $5 and $3, respectively) $ 933 $ 1,105
Income and other taxes 80 137
Related party receivables 63 72
Other 213 183
Receivables 1,289 1,497
Allowance for doubtful accounts 5 3
Intel [Member]
Receivables [Abstract]
Other 34 34
Nanya Technology Corporation ('Nanya') [Member]
Receivables [Abstract]
Other 17 25
Aptina [Member]
Receivables [Abstract]
Related party receivables 62 67
Foreign Currency Hedges [Member]
Receivables [Abstract]
Other $ 63 $ 15
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet73.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Inventories (Details) (USD $)
In Millions, unless otherwise specified
Aug. 30, 2012
Sep. 01, 2011
Inventory, Net, Items Net of Reserve Alternative [Abstract]
Finished goods $ 512 $ 596
Work in process 1,148 1,342
Raw materials and supplies 152 142
Inventories $ 1,812 $ 2,080
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet74.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Intangible Assets (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Intangible Assets [Abstract]
Gross Amount $ 703 $ 699
Accumulated Amortization (332) (285)
Amortization expense for intangible assets 88 79 96
Finite-Lived Intangible Assets, Future Amortization Expense [Abstract]
Annual amortization for 2013 83
Annual amortization for 2014 76
Annual amortization for 2015 58
Annual amortization for 2016 50
Annual amortization for 2017 40
Product and process technology [Member]
Intangible Assets [Abstract]
Gross Amount 575 571
Accumulated Amortization (234) (203)
Product and process technology intangible asset capitalized during period 47 170
Product and process technology intangible asset capitalized during period, weighted-average useful lives (in years) P10Y P7Y
Customer relationships [Member]
Intangible Assets [Abstract]
Gross Amount 127 127
Accumulated Amortization (98) (82)
Other [Member]
Intangible Assets [Abstract]
Gross Amount 1 1
Accumulated Amortization $ 0 $ 0
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet75.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Property, Plant and Equipment (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Property, Plant and Equipment, Net, by Type [Abstract]
Property, Plant and Equipment, Gross $ 20,825 $ 19,756
Accumulated depreciation (13,722) (12,201)
Property, Plant and Equipment, Net 7,103 7,555 6,601
Depreciation [Abstract]
Depreciation expense 2,053 2,026 1,826
Property, Plant and Equipment Assets Held-for-sale Disclosure [Abstract]
Property, plant and equipment classified as held for sale 25 35
Assets Held under Capital Leases [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Accumulated depreciation (253) (430)
Land [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Property, Plant and Equipment, Gross 92 92
Buildings [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Property, Plant and Equipment, Gross 4,714 4,481
Buildings [Member] | Assets Held under Capital Leases [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Property, Plant and Equipment, Gross 196 163
Equipment [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Property, Plant and Equipment, Gross 15,653 14,735
Equipment [Member] | Assets Held under Capital Leases [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Property, Plant and Equipment, Gross 919 712
Construction in progress [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Property, Plant and Equipment, Gross 43 155
Software [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Property, Plant and Equipment, Gross $ 323 $ 293
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet76.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Equity Method Investments (Details) (USD $)
12 Months Ended 1 Months Ended 3 Months Ended 6 Months Ended 12 Months Ended 3 Months Ended 12 Months Ended 3 Months Ended 12 Months Ended 1 Months Ended 3 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Mar. 31, 2012
Inotera [Member]
Mar. 01, 2012
Inotera [Member]
Mar. 04, 2010
Inotera [Member]
Dec. 03, 2009
Inotera [Member]
Dec. 04, 2008
Inotera [Member]
Jun. 30, 2012
Inotera [Member]
Aug. 30, 2012
Inotera [Member]
Dec. 31, 2011
Inotera [Member]
Sep. 01, 2011
Inotera [Member]
Sep. 02, 2010
Inotera [Member]
Aug. 29, 2013
Inotera [Member]
Scenario, Forecast [Member]
Aug. 30, 2012
Inotera [Member]
Inventories [Member]
Mar. 01, 2012
Inotera [Member]
Inventories [Member]
Dec. 01, 2011
Inotera [Member]
Inventories [Member]
Sep. 01, 2011
Inotera [Member]
Inventories [Member]
Jun. 02, 2011
Inotera [Member]
Inventories [Member]
Mar. 03, 2011
Inotera [Member]
Inventories [Member]
Dec. 02, 2010
Inotera [Member]
Inventories [Member]
Aug. 30, 2012
Inotera [Member]
Inventories [Member]
Sep. 01, 2011
Inotera [Member]
Inventories [Member]
Sep. 02, 2010
Inotera [Member]
Inventories [Member]
Aug. 30, 2012
Transform [Member]
May 31, 2012
Transform [Member]
Mar. 04, 2010
Transform [Member]
Aug. 30, 2012
Transform [Member]
Sep. 01, 2011
Transform [Member]
Sep. 02, 2010
Transform [Member]
Aug. 30, 2012
Other [Member]
Sep. 01, 2011
Other [Member]
Sep. 02, 2010
Other [Member]
Sep. 03, 2009
Other [Member]
Aptina [Member]
Aug. 30, 2012
Other [Member]
Aptina [Member]
May 31, 2012
Other [Member]
MeiYa [Member]
Mar. 03, 2011
Other [Member]
MeiYa [Member]
Aug. 30, 2012
Other [Member]
MeiYa [Member]
Aug. 30, 2012
Inotera and Transform [Member]
Schedule of Equity Method Investments [Line Items]
Investment Balance $ 389,000,000 $ 483,000,000 $ 370,000,000 $ 388,000,000 $ 7,000,000 $ 7,000,000 $ 87,000,000 $ 12,000,000 $ 8,000,000 $ 0
Ownership Percentage (in hundredths) 39.70% 29.70% 50.00% 50.00% 50.00% 35.00% 50.00%
Income Loss From Equity Method Investments Before Amortization And Other (227,000,000) (154,000,000) (56,000,000)
Equity Method Investments Amortization Of Difference Between Cost And Underlying Equity In Net Assets 48,000,000 48,000,000 55,000,000
Income Loss From Equity Method Investments Other Adjustments (10,000,000) (6,000,000) (5,000,000)
Equity in net income (loss) of equity method investees, net of tax (294,000,000) (158,000,000) (39,000,000) (189,000,000) (112,000,000) (6,000,000) (99,000,000) (31,000,000) (12,000,000) (6,000,000) (15,000,000) (21,000,000)
Equity Method Investment, Summarized Financial Information, Assets [Abstract]
Current assets 724,000,000 942,000,000
Noncurrent assets 3,024,000,000 4,189,000,000
Equity Method Investment Summarized Financial Information Liquidation Assets 29,000,000 29,000,000
Equity Method Investment, Summarized Financial Information, Liabilities [Abstract]
Current liabilities 2,519,000,000 3,201,000,000
Noncurrent liabilities 155,000,000 173,000,000
Equity Method Investment Summarized Financial Information Liquidation Liabilities 14,000,000 14,000,000
Equity Method Investment, Summarized Financial Information, Income Statement [Abstract]
Net sales 1,798,000,000 1,839,000,000 1,927,000,000
Gross margin (451,000,000) (268,000,000) 73,000,000
Operating loss (751,000,000) (559,000,000) (181,000,000)
Net loss (793,000,000) (594,000,000) (237,000,000) (259,000,000) (737,000,000)
Equity Method Investment Summarized Financial Information Changes In Net Assets Liabilities In Liquidation 67,000,000
Inotera net loss 793,000,000 594,000,000 237,000,000 259,000,000 737,000,000
Inotera current liabilities that exceed current assets 1,850,000,000
Maximum exposure to loss related variable interest entities 329,000,000
Ownership percentage after stock transactions during period (in hundredths) 39.70% 29.90% 29.80% 35.50% 29.70% 50.00%
Gain from Inotera stock issuance 56,000,000
Payments to acquire equity method investments 187,000,000 31,000,000 165,000,000 170,000,000 138,000,000 17,000,000 30,000,000 26,000,000
Payments by third party to acquire interest in equity method investment of the entity. 138,000,000 17,000,000 30,000,000 26,000,000
Related Party Transaction, Due from (to) Related Party, Current [Abstract]
Amount loaned to Inotera 133,000,000
Inotera loan stated annual interest rate 2.00%
Inotera amortization remaining to be recognized 19,000,000
Scheduled Inotera amortization in 2013 7,000,000
Accelerated Inotera amortization related to Inotera's issuance of shares 33,000,000
Percentage of Inotera's wafer production obligated to purchase (in hundredths) 50.00%
Purchases of DRAM products from Inotera 646,000,000 641,000,000 693,000,000
Loss on our purchase commitment under Inotera supply agreement 17,000,000 19,000,000 40,000,000 28,000,000 3,000,000 12,000,000 11,000,000
Amount in accumulated other comprehensive income (loss) for cumulative translation adjustments on its investment 49,000,000 65,000,000
Market value of equity interest in Inotera 370,000,000
Equity method investment net carrying value 321,000,000
License revenue related to manufacture of stack DRAM products during the period 65,000,000
Reduction in research and development costs under cost sharing arrangement 138,000,000 141,000,000 51,000,000
Royalty revenue from Nanya for sales of DRAM products on process nodes of 50nm or higher 11,000,000 25,000,000 6,000,000
Revenue recognized on technology transfer agreement 13,000,000
Percentage interest held by a third party (in hundredths) 26.30% 50.00% 50.00%
Other than temporary impairment in Transform 69,000,000
Percentage interest in Aptina sold (in hundredths) 65.00%
Remaining interest in Aptina's common stock without considering convertible preferred shares (in hundredths) 64.00%
Return of equity method investment $ 1,000,000 $ 48,000,000
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet77.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Equity Method Investments - 2 (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Transform [Member]
Related Party Transaction [Line Items]
Revenues from transactions with related party $ 13 $ 20 $ 15
Manufacturing facilities leased to Transform included in noncurrent assets 26 29
Deferred rent revenue on the fully-paid lease 26 29
Aptina [Member]
Related Party Transaction [Line Items]
Revenues from transactions with related party 372 349 372
Cost of goods sold from transactions with related party $ 395 $ 358 $ 385
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet78.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Accounts Payable and Accrued Expenses (Details) (USD $)
In Millions, unless otherwise specified
Aug. 30, 2012
Sep. 01, 2011
Accounts payable $ 818 $ 1,187
Salaries, wages and benefits 290 304
Customer advances 141 7
Related party payables 130 141
Income and other taxes 25 30
Other 237 161
Total accounts payable and accrued expenses 1,641 1,830
Other Liabilities, Noncurrent [Abstract]
Other noncurrent liabilities 630 559
Foreign Currency Hedges [Member]
Other 51
Intel [Member]
Customer advances 139
Other 14 17
Intel [Member] | Customer advances [Member]
Other Liabilities, Noncurrent [Abstract]
Other noncurrent liabilities 120
Inotera [Member]
Related party payables $ 130 $ 139
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet79.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Debt - Schedule of Long-term Debt (Details) (USD $)
Share data in Millions, except Per Share data, unless otherwise specified
12 Months Ended 0 Months Ended 12 Months Ended 12 Months Ended 4 Months Ended 12 Months Ended 4 Months Ended 12 Months Ended 4 Months Ended 12 Months Ended 12 Months Ended 12 Months Ended 3 Months Ended 12 Months Ended 12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Sep. 05, 2012
Revolving Credit Facility [Member]
Sep. 05, 2012
Revolving Credit Facility [Member]
Scenario, Forecast [Member]
Sibor [Member]
Oct. 18, 2012
Secured Debt [Member]
decimal
Oct. 02, 2012
Secured Debt [Member]
Oct. 02, 2012
Secured Debt [Member]
Scenario, Forecast [Member]
Libor [Member]
Aug. 30, 2012
Capital lease obligations [Member]
Sep. 01, 2011
Capital lease obligations [Member]
Aug. 30, 2012
2014 convertible senior notes [Member]
decimal
Sep. 01, 2011
2014 convertible senior notes [Member]
Sep. 02, 2010
2014 convertible senior notes [Member]
May 31, 2007
2014 convertible senior notes [Member]
Aug. 30, 2012
2032C convertible senior notes [Member]
decimal
Aug. 30, 2012
2032C convertible senior notes [Member]
Sep. 01, 2011
2032C convertible senior notes [Member]
Sep. 02, 2010
2032C convertible senior notes [Member]
Apr. 18, 2012
2032C convertible senior notes [Member]
Aug. 30, 2012
2032D convertible senior notes [Member]
decimal
Aug. 30, 2012
2032D convertible senior notes [Member]
Sep. 01, 2011
2032D convertible senior notes [Member]
Sep. 02, 2010
2032D convertible senior notes [Member]
Apr. 18, 2012
2032D convertible senior notes [Member]
Aug. 30, 2012
2032C and 2032D convertible senior notes [Member]
Apr. 18, 2012
2032C and 2032D convertible senior notes [Member]
Aug. 30, 2012
2031A convertible senior notes [Member]
Sep. 01, 2011
2031A convertible senior notes [Member]
Sep. 02, 2010
2031A convertible senior notes [Member]
Jul. 26, 2011
2031A convertible senior notes [Member]
Aug. 30, 2012
2031B convertible senior notes [Member]
Sep. 01, 2011
2031B convertible senior notes [Member]
Sep. 02, 2010
2031B convertible senior notes [Member]
Jul. 26, 2011
2031B convertible senior notes [Member]
Aug. 30, 2012
2031A and 2031B convertible senior notes [Member]
decimal
Aug. 30, 2012
2027 convertible senior notes [Member]
decimal
Sep. 01, 2011
2027 convertible senior notes [Member]
Sep. 02, 2010
2027 convertible senior notes [Member]
Dec. 02, 2010
2027 convertible senior notes [Member]
Aug. 30, 2012
Intel senior note [Member]
Apr. 06, 2012
Intel senior note [Member]
Sep. 01, 2011
Intel senior note [Member]
Aug. 30, 2012
Intel senior note [Member]
Libor [Member]
Apr. 06, 2012
Intel senior note [Member]
Libor [Member]
Jun. 04, 2012
2013 convertible senior notes [Member]
Aug. 30, 2012
2013 convertible senior notes [Member]
Sep. 01, 2011
2013 convertible senior notes [Member]
Aug. 30, 2012
Convertible Debt [Member]
Sep. 01, 2011
Convertible Debt [Member]
Sep. 02, 2010
Convertible Debt [Member]
Aug. 30, 2012
Sales-leaseback transactions [Member]
Sep. 01, 2011
Sales-leaseback transactions [Member]
Aug. 30, 2012
Loans Payable [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross $ 3,262,000,000 $ 2,001,000,000 $ 883,000,000 $ 423,000,000 $ 860,000,000 $ 815,000,000 $ 451,000,000 $ 451,000,000 $ 0 $ 361,000,000 $ 361,000,000 $ 0 $ 805,000,000 $ 265,000,000 $ 255,000,000 $ 243,000,000 $ 234,000,000 $ 141,000,000 $ 135,000,000 $ 58,000,000 $ 65,000,000 $ 0 $ 0 $ 139,000,000 $ 2,379,000,000
Less current portion (224,000,000) (140,000,000)
Long-term debt 3,038,000,000 1,861,000,000
Leases, Capital [Abstract]
Effective interest rate (in hundredths) 4.90% 6.10% 7.90% 6.00% 6.00% 6.30% 6.30% 6.50% 7.00% 6.90%
Proceeds from equipment sale-leaseback transactions 609,000,000 268,000,000 0 609,000,000 268,000,000
Long-term Debt, Gross, current period additions 609,000,000 246,000,000
Imputed interest rate of sale leaseback additions (in hundredths) 4.20% 5.40%
Due date Aug 31, 2050 Jun 30, 2014 May 31, 2032 May 31, 2032 Aug 31, 2031 Aug 31, 2031 Jun 30, 2027 Aug 31, 2016 May 30, 2016
Debt Instrument Variable Reference Rate Period 6 months 3 months
Variable rate on loan from Intel at Libor less points but not to be less than zero (in hundredths) 2.80% 1.60% (0.50%)
Debt instrument, orginal term 3 years 2 years
Convertible Debt Issuances [Abstract]
Stated principal amount of debt instrument 949,000,000 949,000,000 1,300,000,000 550,000,000 550,000,000 0 550,000,000 450,000,000 450,000,000 0 450,000,000 345,000,000 345,000,000 345,000,000 345,000,000 345,000,000 345,000,000 175,000,000 175,000,000 175,000,000
Discounts and interest, respectively (112,000,000) (89,000,000) (134,000,000) (99,000,000) (99,000,000) 0 (104,000,000) (89,000,000) (89,000,000) 0 (92,000,000) (80,000,000) (90,000,000) (102,000,000) (111,000,000) (34,000,000) (40,000,000) (493,000,000)
Long-term Debt, Gross 3,262,000,000 2,001,000,000 883,000,000 423,000,000 860,000,000 815,000,000 451,000,000 451,000,000 0 361,000,000 361,000,000 0 805,000,000 265,000,000 255,000,000 243,000,000 234,000,000 141,000,000 135,000,000 58,000,000 65,000,000 0 0 139,000,000 2,379,000,000
Additional paid in capital equity component of convertible debt 368,000,000 368,000,000 101,000,000 101,000,000 0 90,000,000 90,000,000 0 191,000,000 89,000,000 89,000,000 109,000,000 109,000,000 40,000,000 40,000,000
Debt Instrument, Convertible, Remaining Discount Amortization Period 2 years 7 years 9 years 6 years 8 years 5 years
Interest Costs Incurred [Abstract]
Contractual interest expense 18,000,000 19,000,000 24,000,000 5,000,000 0 0 5,000,000 0 0 5,000,000 1,000,000 0 6,000,000 1,000,000 0 3,000,000 3,000,000 0 42,000,000 24,000,000 24,000,000
Stated interest rate (in hundredths) 2.38% 1.88% 2.38% 2.38% 3.13% 3.13% 1.50% 1.88% 1.88%
Amortization of debt discount and issuance costs 81,000,000 57,000,000 83,000,000 47,000,000 46,000,000 56,000,000 5,000,000 0 0 3,000,000 0 0 11,000,000 1,000,000 0 10,000,000 1,000,000 0 6,000,000 5,000,000 0 82,000,000 53,000,000 56,000,000
Effective interest rate (in hundredths) 4.90% 6.10% 7.90% 6.00% 6.00% 6.30% 6.30% 6.50% 7.00% 6.90%
Convertible note interest expense 124,000,000 77,000,000 80,000,000
Face value of debt extinguished 351,000,000
Payments of debt issuance costs 21,000,000
Conversion rate (in shares) 70.2679 103.8907 100.1803 105.2632 91.7431
Principal amount per debenture used In coversion rate 1,000 1,000 1,000 1,000 1,000
Conversion price (in dollars per share) $ 14.23 $ 9.63 $ 9.63 $ 9.98 $ 9.98 $ 9.5 $ 10.9
Unamortized deferred debt issuance costs 17,000,000
Conversion rights, minimum number of trading days (in days) 20 days 20 days 20 days 20 days
Conversion rights, consecutive trading period (in days) 30 days 30 days 30 days 30 days
Conversion rights, threshold percentage of applicable conversion price (in hundredths) 130.00% 130.00% 130.00% 130.00%
Conversion rights, approximate minimum closing price (in dollars per share) $ 18.5 $ 12.52 $ 12.97 $ 12.35 $ 14.17
Conversion rights, number of business days (in days) 5 days
Conversion rights, number of consecutive trading days (in days) 5 days
Conversion rights, maximum percentage of product of stock price and conversion rate (in hundredths) 98.00% 98.00% 98.00% 98.00%
Make whole premium discount rate 1.50% 1.50%
2013 Notes Conversion [Abstract]
2013 Notes conversion, amount of debt converted 139,000,000
2013 Notes conversion, number of shares issued on conversion (in shares) 27.3
2013 Notes conversion make-whole premium 9,000,000
Subsequent Events [Abstract]
Debt instrument, orginal term 3 years 2 years
Line of Credit Facility, Maximum Borrowing Capacity 255,000,000 214,000,000
Percentage of collateral to face value of issued and ouststanding credit facility 80.00%
Debt instruments number of periodic payments 10
Debt Instrument Period After Draw Prior To Initial Payment 6 months
Draw on facility agreement 173,000,000
Debt Instrument Variable Reference Rate Period 6 months 3 months
Variable rate on subsequent event financing (in hundredths) 2.80% 1.60% (0.50%)
Long-term Debt, by Maturity [Abstract]
2013 231,000,000 33,000,000
2014 218,000,000 974,000,000
2015 224,000,000 0
2016 228,000,000 0
2017 23,000,000 175,000,000
2018 and thereafter 71,000,000 1,690,000,000
Discounts and interest, respectively (112,000,000) (89,000,000) (134,000,000) (99,000,000) (99,000,000) 0 (104,000,000) (89,000,000) (89,000,000) 0 (92,000,000) (80,000,000) (90,000,000) (102,000,000) (111,000,000) (34,000,000) (40,000,000) (493,000,000)
Long-term Debt, Gross $ 3,262,000,000 $ 2,001,000,000 $ 883,000,000 $ 423,000,000 $ 860,000,000 $ 815,000,000 $ 451,000,000 $ 451,000,000 $ 0 $ 361,000,000 $ 361,000,000 $ 0 $ 805,000,000 $ 265,000,000 $ 255,000,000 $ 243,000,000 $ 234,000,000 $ 141,000,000 $ 135,000,000 $ 58,000,000 $ 65,000,000 $ 0 $ 0 $ 139,000,000 $ 2,379,000,000
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet80.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Debt - Extinguishment of Debt (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 02, 2010
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Extinguishment of Debt [Line Items]
Loss on extinguishment of debt $ 111 $ 0 $ 113 $ 0
Repayments of convertible debt 203 1,215 840
2014 convertible senior notes [Member] | Exchanged [Member]
Extinguishment of Debt [Line Items]
Loss on extinguishment of debt 15
Debt instrument, face value 175
2014 convertible senior notes [Member] | Repurchased [Member]
Extinguishment of Debt [Line Items]
Loss on extinguishment of debt 17
Debt instrument, face value 176
Repayments of convertible debt 171
2013 convertible senior notes [Member] | Repurchased [Member]
Extinguishment of Debt [Line Items]
Loss on extinguishment of debt 79
Debt instrument, face value 91
Repayments of convertible debt $ 166
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet81.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Commitments (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Operating Leases, Rent Expense, Net [Abstract]
Rent expense $ 48 $ 69 $ 41
Operating Leases, Income Statement, Lease Revenue [Abstract]
Rental income 4 7
Operating Leases, Future Minimum Payments Due [Abstract]
2013 25
2014 16
2015 9
2016 9
2017 7
2018 and thereafter 24
Total operating lease commitments 90
Capital Addition Purchase Commitments [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Commitments for acquisition of property, plant and equipment $ 550
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet82.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Contingencies (Details) (USD $)
In Millions, unless otherwise specified
Jan. 09, 2009
Patent Matters [Member]
Rambus Patent Litigation Delaware [Member]
integer
Aug. 28, 2000
Patent Matters [Member]
Rambus Patent Litigation Delaware [Member]
integer
Jan. 13, 2006
Patent Matters [Member]
Rambus Patent Litigation Northern California [Member]
integer
Aug. 30, 2012
Patent Matters [Member]
Panavision Imaging Patent Litigation [Member]
Jul. 08, 2011
Patent Matters [Member]
Panavision Imaging Patent Litigation [Member]
integer
Mar. 10, 2011
Patent Matters [Member]
Panavision Imaging Patent Litigation [Member]
integer
Feb. 07, 2011
Patent Matters [Member]
Panavision Imaging Patent Litigation [Member]
integer
Mar. 06, 2009
Patent Matters [Member]
Panavision Imaging Patent Litigation [Member]
integer
Aug. 30, 2012
Patent Matters [Member]
HSM Portfolio LLC and Technology Properties LLC [Member]
integer
Sep. 01, 2011
Patent Matters [Member]
HSM Portfolio LLC and Technology Properties LLC [Member]
integer
Aug. 30, 2012
Patent Matters [Member]
Advanced Data Access LLC [Member]
integer
Nov. 16, 2011
Patent Matters [Member]
Advanced Data Access LLC [Member]
integer
Sep. 14, 2011
Patent Matters [Member]
Smart Memory Solutions LLC [Member]
integer
Dec. 05, 2011
Patent Matters [Member]
Board Of Trustees For The University Of Illinois [Member]
integer
Mar. 26, 2012
Patent Matters [Member]
Semiconductor Technologies, LLC [Member]
integer
Mar. 28, 2012
Patent Matters [Member]
Technology Partners Limited LLC [Member]
integer
Aug. 29, 2013
Patent Matters [Member]
Technology Partners Limited LLC [Member]
Settled Litigation [Member]
Scenario, Forecast [Member]
Aug. 30, 2012
Patent Matters [Member]
Anu IP, LLC [Member]
Apr. 17, 2012
Patent Matters [Member]
Anu IP, LLC [Member]
integer
Apr. 27, 2012
Patent Matters [Member]
Semcon Tech, LLC [Member]
integer
Aug. 30, 2012
Antitrust Matters [Member]
Rambus DRAM Complaint [Member]
Jul. 31, 2006
Antitrust Matters [Member]
DRAM Purported Class Action Price-fixing Lawsuit [Member]
integer
Aug. 30, 2012
Antitrust Matters [Member]
DRAM Purported Class Action Price-fixing Lawsuit [Member]
integer
Aug. 30, 2012
Antitrust Matters [Member]
DRAM Purported Class Action Price-fixing Lawsuit [Member]
integer
Jun. 23, 2010
Antitrust Matters [Member]
DRAM Purported Class Action Price-fixing Lawsuit [Member]
integer
Aug. 30, 2012
Antitrust Matters [Member]
Canadian DRAM Putative Class Action Price-fixing Lawsuit [Member]
integer
Oct. 16, 2012
Antitrust Matters [Member]
Canadian DRAM Putative Class Action Price-fixing Lawsuit [Member]
Settled Litigation [Member]
integer
Aug. 29, 2013
Antitrust Matters [Member]
Canadian DRAM Putative Class Action Price-fixing Lawsuit [Member]
Settled Litigation [Member]
Scenario, Forecast [Member]
Aug. 30, 2012
Antitrust Matters [Member]
Oracle Dram Price Fixing Suit [Member]
Mar. 23, 2012
Antitrust Matters [Member]
Oracle Dram Price Fixing Suit [Member]
Aug. 30, 2012
Commercial Matters [Member]
Qimonda AG Inotera Share Purchase Proceedings [Member]
Inotera [Member]
Loss Contingencies [Line Items]
Approximation of damages claimed $ 3,900
Number of lawsuits filed 68 68 3
Loss Contingency, Claims Settled and Dismissed, Number 3
Approximate number of U.S. states and territories filing suit 40
Settlement agreement amount 67 58
Settlement agreement number of installment payments 3
Settlement agreement number of years for installment payments (in years) 2 years
Amount paid into an escrow account in connection with settlement 45
Number of other defendants 17 7
Alleged number of patents infringed 12 14 4 2 2 1 3 5 4 1 1
Settlement agreement execution date March 20, 2012 October 8, 2012 August 27, 2012 June 23, 2010 October 16, 2012 March 23, 2012
Court ruling patents unenforceable against us due to spoliation (number of patents) 12
Court ruling patents in suit was invalid for indefiniteness (number of patents) 1
Court ruling patents in suit dismissed with prejudice (number of patents) 3
Court ruling patents in suit was invalid for indefiniteness rescinded (number of patents) 1
Equity method investment net carrying value of shares acquired from Qimonda $ 177
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet83.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Shareholders' Equity Shareholders' Equity - Repurchase of Common Stock (Details) (July 26 2011 Repurchase of Common Stock [Member], USD $)
In Millions, except Per Share data, unless otherwise specified
0 Months Ended
Jul. 26, 2011
July 26 2011 Repurchase of Common Stock [Member]
Equity, Class of Treasury Stock [Line Items]
Cash paid to repurchase common stock $ 150
Repurchase of common stock (in shares) 19.7
Repurchase of common stock (in dollars per share) $ 7.6
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet84.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Shareholders' Equity Shareholders' Equity - Capped Call Transactions (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended 12 Months Ended 1 Months Ended 6 Months Ended 12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Aug. 30, 2012
2032C convertible senior notes [Member]
Aug. 30, 2012
2032D convertible senior notes [Member]
Aug. 30, 2012
2031A and 2031B convertible senior notes [Member]
Aug. 30, 2012
2014 convertible senior notes [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032C convertible senior notes [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032C convertible senior notes [Member]
First Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032C convertible senior notes [Member]
Second Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032C convertible senior notes [Member]
Third Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032C convertible senior notes [Member]
Fourth Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032D convertible senior notes [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032D convertible senior notes [Member]
First Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032D convertible senior notes [Member]
Second Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032D convertible senior notes [Member]
Third Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032D convertible senior notes [Member]
Fourth Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2032C and 2032D convertible senior notes [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2031A and 2031B convertible senior notes [Member]
Sep. 01, 2011
Purchased Call Option [Member]
2031A and 2031B convertible senior notes [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2031A and 2031B convertible senior notes [Member]
First Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2031A and 2031B convertible senior notes [Member]
Second Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2031A and 2031B convertible senior notes [Member]
Third Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2031A and 2031B convertible senior notes [Member]
Fourth Tranche [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2013 convertible senior notes [Member]
Sep. 03, 2009
Purchased Call Option [Member]
2013 convertible senior notes [Member]
Apr. 30, 2012
Purchased Call Option [Member]
2014 convertible senior notes [Member]
Mar. 01, 2012
Purchased Call Option [Member]
2014 convertible senior notes [Member]
Aug. 30, 2012
Purchased Call Option [Member]
2014 convertible senior notes [Member]
Option Indexed to Issuer's Equity [Line Items]
Option indexed to issuer's equity, strike price (in dollars per share) 9.8 10.16 9.5 5.08 14.23
Conversion price (in dollars per share) $ 9.63 $ 9.98 $ 9.5 $ 14.23 $ 9.63 $ 9.98
Option Indexed to Issuer's Equity, capped ceiling $ 14.26 $ 14.62 $ 15.33 $ 15.69 $ 14.62 $ 15.33 $ 15.69 $ 16.04 $ 11.4 $ 12.16 $ 12.67 $ 13.17 $ 6.64
Option indexed to issuer's equity, shares (in shares) 56.3 44.3 72.6 45.2
Option indexed to issuers equity settlement minimum proceeds $ 0 $ 0
Option indexed to issuer's equity, settlement maximum proceeds 551 207
Cash paid for capped call transactions $ 102 $ 57 $ 0 $ 103 $ 57 $ 25
Capped Calls Expired, Maximum Shares Covered (in shares) 30.4
Capped Calls Settled, Maximum Shares Covered (in shares) 60.9
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet85.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Shareholders' Equity - Accumulated Other Comprehensive Income (Details) (USD $)
In Millions, unless otherwise specified
Aug. 30, 2012
Sep. 01, 2011
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated other comprehensive income $ 80 $ 132
Attributable to Micron [Member]
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated translation adjustment, net 49 65
Gain (loss) on derivatives, net 31 43
Gain (loss) on investments, net 1 25
Unrecognized pension liability (1) (1)
Accumulated other comprehensive income $ 80 $ 132
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet86.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Derivative Financial Instruments - Fair Values (Details) (USD $)
In Millions, unless otherwise specified
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Forward contracts [Member]
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Forward contracts [Member]
Singapore dollar
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Forward contracts [Member]
Singapore dollar
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Forward contracts [Member]
Euro
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Forward contracts [Member]
Euro
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Forward contracts [Member]
Shekel
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Forward contracts [Member]
Shekel
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Forward contracts [Member]
Yen
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Forward contracts [Member]
Yen
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Forward contracts [Member]
Other [Member]
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Options [Member]
Yen
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Options [Member]
New Taiwan dollar
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Call Options Purchased [Member]
Yen
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Options Written [Member]
Yen
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Singapore dollar
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Singapore dollar
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Euro
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Euro
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Shekel
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Shekel
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Yen
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Yen
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Other [Member]
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Options [Member]
Yen
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Receivables [Member]
Options [Member]
New Taiwan dollar
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Singapore dollar
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Singapore dollar
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Euro
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Euro
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Shekel
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Shekel
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Yen
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Yen
Sep. 01, 2011
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Other [Member]
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Options [Member]
Yen
Aug. 30, 2012
Not Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Options [Member]
New Taiwan dollar
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Sep. 01, 2011
Designated as Hedging Instrument [Member]
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Forward contracts [Member]
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Forward contracts [Member]
Euro
Sep. 01, 2011
Designated as Hedging Instrument [Member]
Forward contracts [Member]
Euro
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Forward contracts [Member]
Yen
Sep. 01, 2011
Designated as Hedging Instrument [Member]
Forward contracts [Member]
Yen
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Options [Member]
Minimum [Member]
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Options [Member]
Maximum [Member]
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Options [Member]
Yen
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Receivables [Member]
Sep. 01, 2011
Designated as Hedging Instrument [Member]
Receivables [Member]
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Euro
Sep. 01, 2011
Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Euro
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Yen
Sep. 01, 2011
Designated as Hedging Instrument [Member]
Receivables [Member]
Forward contracts [Member]
Yen
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Receivables [Member]
Options [Member]
Yen
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Sep. 01, 2011
Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Euro
Sep. 01, 2011
Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Euro
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Yen
Sep. 01, 2011
Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Forward contracts [Member]
Yen
Aug. 30, 2012
Designated as Hedging Instrument [Member]
Accounts payable and accrued expenses [Member]
Options [Member]
Yen
Notional Amount of Derivatives, by Category of Derivative [Abstract]
Notional Amount Outstanding, Not Designated $ 5,899 $ 824 $ 251 $ 210 $ 173 $ 301 $ 65 $ 98 $ 18 $ 165 $ 50 $ 5,050 [1] $ 342 $ 2,527 [1] $ 2,523 [1]
Notional Amount Outstanding 175 251 35 232 108 19 32
Derivative, Fair Value, Net [Abstract]
Fair Value of Asset 61 [2] 6 [2] 0 [2] 0 [2] 2 [2] 3 [2] 0 [2] 0 [2] 0 [2] 3 [2] 0 [2] 57 [2] 2 [2] 2 [2] 9 [2] 0 [2] 8 [2] 2 [2] 1 [2] 0 [2]
Fair Value of Liability $ (3) [3] $ (2) [3] $ (1) [3] $ 0 [3] $ (1) [3] $ 0 [3] $ (1) [3] $ (2) [3] $ 0 [3] $ 0 [3] $ 0 [3] $ 0 [3] $ 0 [3] $ 0 [3] $ 0 [3] $ 0 [3] $ 0 [3] $ 0 [3] $ 0 [3] $ 0 [3]
Foreign Currency Cash Flow Hedges [Abstract]
General maturity of hedge contracts (in days or months) P35D P12M P12M P18M
[1] Notional amount includes purchased options of $2,527 million and sold options of $2,523 million.
[2] Included in receivables – other.
[3] Included in accounts payable and accrued expenses – other.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet87.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Derivative Financial Instruments - Hedging Relationship (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net $ 9
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months 10
Other Operating Income (Expense) [Member] | Nondesignated [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Recognized in Income (17) 21 (29)
Other Comprehensive Income [Member] | Cash Flow Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income, Effective Portion $ (9) $ 49
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet88.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Fair Value Measurements - Assets measured (Details) (USD $)
In Millions, except Share data, unless otherwise specified
Aug. 30, 2012
Sep. 01, 2011
Aug. 30, 2012
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Money market funds [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Money market funds [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Commercial paper [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Commercial paper [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Certificates of deposit [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Certificates of deposit [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Government securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Government securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Corporate bonds [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Corporate bonds [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Asset-backed securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Asset-backed securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
Tower Semiconductor Ltd. [Member]
Japan Fabrication Facility [Member]
Aug. 06, 2012
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
Tower Semiconductor Ltd. [Member]
Japan Fabrication Facility [Member]
Aug. 30, 2012
Level 1 [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 1 [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 1 [Member]
Money market funds [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 1 [Member]
Money market funds [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 1 [Member]
Commercial paper [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 1 [Member]
Commercial paper [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 1 [Member]
Certificates of deposit [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 1 [Member]
Certificates of deposit [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 1 [Member]
Government securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 1 [Member]
Government securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 1 [Member]
Corporate bonds [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 1 [Member]
Corporate bonds [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 1 [Member]
Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 1 [Member]
Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 1 [Member]
Asset-backed securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 1 [Member]
Asset-backed securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 1 [Member]
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 1 [Member]
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 1 [Member]
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
Tower Semiconductor Ltd. [Member]
Aug. 30, 2012
Level 2 [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 2 [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 2 [Member]
Money market funds [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 2 [Member]
Money market funds [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 2 [Member]
Commercial paper [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 2 [Member]
Commercial paper [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 2 [Member]
Certificates of deposit [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 2 [Member]
Certificates of deposit [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 2 [Member]
Government securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 2 [Member]
Government securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 2 [Member]
Corporate bonds [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 2 [Member]
Corporate bonds [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 2 [Member]
Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 2 [Member]
Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 2 [Member]
Asset-backed securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 2 [Member]
Asset-backed securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 2 [Member]
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 2 [Member]
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 3 [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 3 [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 3 [Member]
Money market funds [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 3 [Member]
Money market funds [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 3 [Member]
Commercial paper [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 3 [Member]
Commercial paper [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 3 [Member]
Certificates of deposit [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 3 [Member]
Certificates of deposit [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 3 [Member]
Government securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 3 [Member]
Government securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 3 [Member]
Corporate bonds [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 3 [Member]
Corporate bonds [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 3 [Member]
Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 3 [Member]
Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 3 [Member]
Asset-backed securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 3 [Member]
Asset-backed securities [Member]
Fair Value, Measurements, Recurring [Member]
Aug. 30, 2012
Level 3 [Member]
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
Sep. 01, 2011
Level 3 [Member]
Marketable equity securities [Member]
Fair Value, Measurements, Recurring [Member]
May 31, 2012
Transform [Member]
May 31, 2012
Transform [Member]
Fair Value, Measurements, Nonrecurring [Member]
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]
Cash equivalents $ 2,220 $ 1,617 $ 2,159 $ 1,462 $ 29 $ 0 $ 27 $ 155 $ 5 $ 0 $ 2,159 $ 1,462 $ 2,159 $ 1,462 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 61 $ 155 $ 0 $ 0 $ 29 $ 0 $ 27 $ 155 $ 5 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0
Short-term investments 100 0 100 0 4 0 51 0 31 0 10 0 4 0 0 0 0 0 0 0 0 0 0 0 0 0 100 0 4 0 51 0 31 0 10 0 4 0 0 0 0 0 0 0 0 0 0 0 0 0
Long-term marketable investments 374 52 374 52 88 0 203 0 73 0 10 52 5 37 0 0 0 0 0 0 5 37 369 15 88 0 203 0 73 0 5 15 0 0 0 0 0 0 0 0 0 0
Assets held for sale 25 35 0 0 0 0 25 35
Total assets measured at fair value on a recurring basis 2,719 1,704 2,164 1,499 530 170 25 35
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Abstract]
Tower Semiconductor Ltd. shares received in Japan Fab disposition (in shares) 1,300,000
Available For Sale Securities Number of Shares Received in Reverse Stock Splt 1
Available For Sale Securities Number of Shares Returned in Reverse Stock Split 15
Tower Semiconductor Ltd. shares Level 2 To Level 1 Transfers (in shares) 700,000
Other than temporary impairment in Transform $ 69 $ 69
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet89.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Fair Value Measurements - Fair and Carrying Value (Details) (USD $)
In Millions, unless otherwise specified
Aug. 30, 2012
Sep. 01, 2011
Fair Value [Member] | Level 2 [Member]
Fair value disclosure [Line Items]
Fair value of convertible debt instruments $ 2,669 $ 1,845
Other debt instruments 56 0
Carrying Value [Member]
Fair value disclosure [Line Items]
Fair value of convertible debt instruments 2,321 1,578
Other debt instruments $ 58 $ 0
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet90.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Equity Plans - Share Based Compensation (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares of common stock reserved for issuance for stock options and restricted stock awards (in shares) 169
Number of shares subject to outstanding awards (in shares) 105.1
Number of shares available for future awards (in shares) 63.9
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Number of shares outstanding (in shares) 99.3
Number of shares granted (in shares) 21.4
Number of shares excercised (in shares) (1.5)
Number of shares cancelled or expired (in shares) (23.5)
Number of shares outstanding (in shares) 95.7 99.3
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward]
Weighted average exercise price per share for options outstanding (in dollars per share) $ 11.06
Weighted average exercise price per share for options granted (in dollars per share) $ 5.74
Weighted average exercise price per share for options exercised (in dollars per share) $ 3.49
Weighted average exercise price per share for options cancelled or expired (in dollars per share) $ 17.43
Weighted average exercise price per share for options outstanding (in dollars per share) $ 8.42 $ 11.06
Share-based Compensation Arrangement by Share-based Payment Award Options, Outstanding, Additiona Disclosures [Abstract]
Weighted average remaining contractual term for options outstanding at August 30, 2012 (in years) 2 years 308 days
Aggregated intrinsic value for options outstanding at August 30, 2012 $ 53
Options exercisable at August 30, 2012 (in shares) 55.3
Weighted average exercise price per share for options exerciasble at August 30, 2012 (in dollars per share) $ 9.71
Weighted average remaining contractual term for options exercisable at August 30, 2012 (in years) 1 year 262 days
Aggregated intrinsic value for options exercisable at August 30, 2012 31
Options expected to vest after August 30, 2012 (in shares) 38.6
Weighted average exercise price per share for options expected to vest after August 30, 2012 (in dollars per share) $ 6.65
Weighted average remaining contractual term for options expected to vest after August 30, 2012 (in years) 4 years 129 days
Aggregated intrinsic value for options expected to vest after August 30, 2012 22
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Weighted-average grant-date fair values per share of options granted during period (in dollars per share) $ 3.18 $ 4.46 $ 4.13
Total intrinsic value for option exercised 6 35 13
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
Fair Value Assumptions, Method Used Black-Scholes
Average expected life (in years) 5 years 1 month 5 years 1 month 5 years 1 month
Weighted-average expected volatility (in hundredths) 66.00% 56.00% 60.00%
Weighted-average risk-free interest rate (in hundredths) 0.90% 1.80% 2.30%
Restricted Stock Awards activity
Number of Shares - Outstanding (in shares) 8.8
Number of Shares - Granted (in shares) 5.8
Number of Shares - Restrictions lapsed (in shares) (4.7)
Number of Shares - Cancelled (in shares) (0.5)
Number of Shares - Outstanding (in shares) 9.4 8.8
Restricted awards expected to vest after August 30, 2012 (in shares) 8.1
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward]
Weighted Average Grant Date Fair Value Per Share - Outstanding (in dollars per share) $ 8.17
Weighted Average Grant Date Fair Value Per Share - Granted (in dollars per share) $ 5.43 $ 8.72 $ 8.29
Weighted Average Grant Date Fair Value Per Share - Restrictions lapsed (in dollars per share) $ 7.47
Weighted Average Grant Date Fair Value Per Share - Cancelled (in dollars per share) $ 7.26
Weighted Average Grant Date Fair Value Per Share - Outstanding (in dollars per share) $ 6.87 $ 8.17
Weighted Average Grant Date Fair Value for restricted awards expected to vest after August 30, 2012 (in dollars per share) $ 6.75
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract]
Aggregate fair value of awards for which restrictions lapsed $ 32 $ 43 $ 65
Service-based awards [Member]
Restricted Stock Awards activity
Number of Shares - Granted (in shares) 3.9 4.4 5.9
Service-based awards [Member] | Numonyx Holdings BV [Member]
Restricted Stock Awards activity
Number of Shares - Granted (in shares) 4.1
Performance-based shares [Member]
Restricted Stock Awards activity
Number of Shares - Granted (in shares) 1.9 1.2 1.8
Number of Shares - Outstanding (in shares) 2.2
Performance-based shares [Member] | Numonyx Holdings BV [Member]
Restricted Stock Awards activity
Number of Shares - Granted (in shares) 0.7
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet91.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Equity Plans Equity Plans - Outstanding Options (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, End of Period [Abstract]
Outstanding Options - Number of Shares (in shares) 95.7
Outstanding Options - Weighted Average Remaining Contractual Life (in years) 2 years 308 days
Outstanding Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 8.42
Excercisable Options -Number of Shares (in shares) 55.3
Excercisable Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 9.71
$2.07 - $4.52 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, End of Period [Abstract]
Outstanding Options - Number of Shares (in shares) 13.4
Outstanding Options - Weighted Average Remaining Contractual Life (in years) 2 years 78 days
Outstanding Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 3.01
Excercisable Options -Number of Shares (in shares) 9.4
Excercisable Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 3.07
$5.00 - $7.92 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, End of Period [Abstract]
Outstanding Options - Number of Shares (in shares) 40.8
Outstanding Options - Weighted Average Remaining Contractual Life (in years) 4 years 45 days
Outstanding Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 6.45
Excercisable Options -Number of Shares (in shares) 13
Excercisable Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 6.84
$8.02 to $10.89 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, End of Period [Abstract]
Outstanding Options - Number of Shares (in shares) 12.9
Outstanding Options - Weighted Average Remaining Contractual Life (in years) 4 years 33 days
Outstanding Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 9.58
Excercisable Options -Number of Shares (in shares) 4.4
Excercisable Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 9.59
$11.03 to $13.99 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, End of Period [Abstract]
Outstanding Options - Number of Shares (in shares) 22.3
Outstanding Options - Weighted Average Remaining Contractual Life (in years) 0 years 276 days
Outstanding Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 12.44
Excercisable Options -Number of Shares (in shares) 22.2
Excercisable Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 12.45
$14.01 to $19.61 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, End of Period [Abstract]
Outstanding Options - Number of Shares (in shares) 6.3
Outstanding Options - Weighted Average Remaining Contractual Life (in years) 0 years 259 days
Outstanding Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 16.05
Excercisable Options -Number of Shares (in shares) 6.3
Excercisable Options - Weighted Average Exercise Price Per Share (in dollars per share) $ 16.05
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet92.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Equity Plans - Stock-based compensation expense (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation $ 87 $ 76 $ 93
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract]
Total unrecognized compensation costs, net of estimated forfeitures, related to non-vested awards expected to be recognized 138
Weighted average period that unrecognized compensation costs is expected to be recognized (in years) 1 year 82 days
Stock Options [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation 57 44 37
Restricted Stock Awards [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation 30 32 56
Employee stock plans [Member]
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract]
Stock compensation expense capitalized and remained in inventory 5 5
Cost of Goods Sold [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation 23 20 23
Selling, General and Administrative Expenses [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation 47 38 50
Selling, General and Administrative Expenses [Member] | Chief Executive Officer [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation 13
Research and Development [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation 17 17 18
Other operating (income) expense [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation $ 0 $ 1 $ 2
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet93.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Employee Benefit Plans (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Defined Contribution Pension and Other Postretirement Plans Disclosure [Abstract]
Employee contribution to 401(k) retirement plan, maximum percentage of eligible pay (in hundredths) 75.00%
Employer matching contribution to 401(k) retirement plan, maximum percentage (in hundredths) 5.00%
Contribution expense for 401(k) retirement plan $ 41 $ 26
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet94.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Other Operating (Income) Expense, Net (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Component Of Operating Other Income And Expense Net [Line Items]
Loss from termination of lease to IMFT $ 17 $ 0 $ 0
Restructure 7 (21) (10)
(Gain) loss from changes in currency exchange rates 6 6 23
(Gain) loss on disposition of property, plant and equipment 5 (17) (1)
Samsung patent cross-license agreement 0 (275) 0
Gain from disposition of Japan Fab 0 (54) 0
Other 13 (19) (39)
Other operating (income) expense, net (48) 380 27
Receipts from anti dumping tariffs [Member]
Component Of Operating Other Income And Expense Net [Line Items]
Other (8) (12)
Government grant recipts [Member]
Component Of Operating Other Income And Expense Net [Line Items]
Other $ (24)
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet95.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Other Non-Operating Income (Expense), Net Other Non-Operating Income (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Component of Other Income, Nonoperating [Line Items]
Other non-operating income (expense) $ 35 $ (103) $ 54
Realized Gain (Loss) on Sale of Investments [Member]
Component of Other Income, Nonoperating [Line Items]
Other non-operating income (expense) 35
Realized Gain (Loss) on Sale of Investments [Member] | Inotera [Member]
Component of Other Income, Nonoperating [Line Items]
Other non-operating income (expense) 56
Debt Guarantee Obligation [Member]
Component of Other Income, Nonoperating [Line Items]
Other non-operating income (expense) $ 15
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet96.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Other Non-Operating Income (Expense), Net Other Non-Operating Expense (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Component of Other Expense, Nonoperating [Line Items]
Other non-operating income (expense) $ 35 $ (103) $ 54
Debt Restructure [Member]
Component of Other Expense, Nonoperating [Line Items]
Other non-operating income (expense) $ (111)
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet97.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Income Taxes (Details 1) (USD $)
3 Months Ended 12 Months Ended
May 31, 2012
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Income (loss) before taxes, net (income) loss attributable to noncontrolling interests and equity in net income (loss) of equity method investees [Abstract]
U.S. $ (1,028,000,000) $ 257,000,000 $ 1,383,000,000
Foreign 274,000,000 294,000,000 537,000,000
Total income (loss) before income taxes (754,000,000) 551,000,000 1,920,000,000
Current [Abstract]
U.S. Federal 14,000,000 0 66,000,000
Foreign (22,000,000) (89,000,000) (24,000,000)
State 0 (1,000,000) (4,000,000)
Total income tax (provision) benefit - current 42,000,000 (8,000,000) (90,000,000) 38,000,000
Deferred [Abstract]
U.S. Federal 0 0 (5,000,000)
Foreign 25,000,000 (113,000,000) (14,000,000)
Total income tax (provision) benefit - deferred 25,000,000 (113,000,000) (19,000,000)
Income tax (provision) benefit 17,000,000 (203,000,000) 19,000,000
Income tax (provision) benefit, income tax reconciliation [Abstract]
U.S. federal income tax (provision) benefit at statutory rate 264,000,000 (193,000,000) (672,000,000)
Foreign operations 104,000,000 (119,000,000) 135,000,000
State taxes, net of federal benefit 9,000,000 (5,000,000) (22,000,000)
Tax credits 2,000,000 17,000,000 3,000,000
Change in valuation allowance (373,000,000) 103,000,000 424,000,000
Debt repurchase premium 0 (20,000,000) 0
Gain on acquisition of Numonyx 0 0 153,000,000
Other 11,000,000 14,000,000 (2,000,000)
Income tax (provision) benefit 17,000,000 (203,000,000) 19,000,000
Deferred tax assets:
Net operating loss and credit carryforwards 1,816,000,000 1,558,000,000
Accrued salaries, wages and benefits 99,000,000 99,000,000
Deferred income 39,000,000 55,000,000
Other 76,000,000 55,000,000
Gross deferred tax assets 2,030,000,000 1,767,000,000
Less valuation allowance (1,535,000,000) (1,220,000,000)
Deferred tax assets, net of valuation allowance 495,000,000 547,000,000
Deferred tax liabilities:
Debt discount (182,000,000) (138,000,000)
Unremitted earnings on certain subsidiaries (111,000,000) (117,000,000)
Product and process technology (61,000,000) (50,000,000)
Property, plant and equipment (38,000,000) (107,000,000)
Intangible assets (17,000,000) (24,000,000)
Other (21,000,000) (41,000,000)
Deferred tax liabilities (430,000,000) (477,000,000)
Net deferred tax assets 65,000,000 70,000,000
Reported as:
Net deferred tax assets 65,000,000 70,000,000
Changes in valuation allowance 315,000,000 (75,000,000)
Remaining undistributed earnings of non-U.S. subsidiaries which have been indefinitely reinvested 1,100,000,000
Other current assets [Member]
Reported as:
Current deferred tax assets (included in other current assets) 19,000,000 26,000,000
Other noncurrent assets [Member]
Reported as:
Noncurrent deferred tax assets (included in other noncurrent assets) 47,000,000 60,000,000
Other noncurrent liabilities [Member]
Reported as:
Noncurrent deferred tax liabilities (included in other noncurrent liabilities) $ (1,000,000) $ (16,000,000)
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet98.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Income Taxes - Operating Loss Carryforwards (Details 2) (USD $)
In Millions, unless otherwise specified
Aug. 30, 2012
Federal [Member]
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards $ 3,500
State [Member]
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards 2,200
Foreign [Member]
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards $ 737
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet99.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Income Taxes - Tax Credit Carryforwards (Details 3) (USD $)
In Millions, unless otherwise specified
Aug. 30, 2012
Federal [Member]
Tax Credit Carryforward [Line Items]
Tax credit carryforwards $ 208
State [Member]
Tax Credit Carryforward [Line Items]
Tax credit carryforwards $ 203
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet100.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Income Taxes (Details 4) (USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Beginning unrecognized tax benefits $ 121 $ 88 $ 1
Settlements with tax authorities (29) (2) (1)
Decreases related to tax positions taken from prior years (14) (3) 0
Foreign currency translation decreases to tax positions (9)
Foreign currency translation increases to tax positions 6 0
Increases related to tax positions taken during current year 6 28 11
Increases related to tax positions from prior years 2 4 14
Unrecognized tax benefits acquired in current year 0 0 63
Ending unrecognized tax benefits 77 121 88
Unrecognized tax benefits that affect our effective tax rate 66 113 87
Accrued liability related to uncertain tax positions on the tax years of Numonyx open to examination 66
Income Tax Examination, Penalties and Interest Accrued [Abstract]
Accrued interest and penalties related to uncertain tax positions 12 16 6
Tax Benefit Due To Arrangements Allowing Computation Of Tax Provision At Rates Below Local Statutory Rates [Abstract]
Tax benefit due to arrangements allowing computation of tax provision at rates below local statutory rates $ 52 $ 72 $ 69
Tax benefit per diluted share due to arrangements allowing computation of tax provision at rates below local statutory rates (in dollars per share) $ 0.05 $ 0.07 $ 0.07
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet101.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Earnings Per Share (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 12 Months Ended
Aug. 30, 2012
May 31, 2012
Mar. 01, 2012
Dec. 01, 2011
Sep. 01, 2011
Jun. 02, 2011
Mar. 03, 2011
Dec. 02, 2010
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Earnings Per Share Reconciliation [Abstract]
Net income (loss) available to Micron shareholders - Basic $ (243) $ (320) $ (282) $ (187) $ (135) $ 75 $ 72 $ 155 $ (1,032) $ 167 $ 1,850
Net effect of assumed conversion of debt 0 0 93
Net income (loss) available to Micron shareholders - Diluted $ (1,032) $ 167 $ 1,943
Weighted Average Number of Shares Outstanding Reconciliation [Abstract]
Weighted-average common shares outstanding - Basic (in shares) 991.2 988 887.5
Net effect of dilutive equity awards, escrow shares and assumed conversion of debt (in shares) 0 19.5 163.2
Weighted-average common shares outstanding - Diluted (in shares) 991.2 1,007.5 1,050.7
Earnings (loss) per share:
Basic (in dollars per share) $ (0.24) $ (0.32) $ (0.29) $ (0.19) $ (0.14) $ 0.07 $ 0.07 $ 0.16 $ (1.04) $ 0.17 $ 2.09
Diluted (in dollars per share) $ (0.24) $ (0.32) $ (0.29) $ (0.19) $ (0.14) $ 0.07 $ 0.07 $ 0.15 $ (1.04) $ 0.17 $ 1.85
Convertible Senior Notes Due 2014, 2027, 2031 and 2032 [Member]
Weighted Average Number Diluted Shares Outstanding Adjustment [Abstract]
Shares considered in diluted earnings per share under the treasure stock method (in shares) 257.6
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet102.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Earnings Per Share Earnings Per Share - Numonyx Acquisition (Details) (Numonyx Holdings BV [Member])
In Millions, unless otherwise specified
0 Months Ended 12 Months Ended
May 07, 2010
Sep. 01, 2011
Common stock [Member]
Business Acquisition, Equity Interests Issued or Issuable [Line Items]
Equity units issued for the acquisition of Numonyx (in shares) 137.7
Shares held in escrow for indeminity obligations (in shares) 21
Shares held in escrow for indeminity obligations sold (in shares) 21
Restricted Stock Awards [Member]
Business Acquisition, Equity Interests Issued or Issuable [Line Items]
Equity units issued for the acquisition of Numonyx (in shares) 4.8
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet103.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Earnings Per Share Earnings Per Share - Potential Common Shares Excluded in the Computation of Diluted Earnings Per Share Because They Would Have Been Antidilutive (Details)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Employee stock plans [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive potential common shares that could dilute basic earnings per share in the future (in shares) 104.8 81.4 92.2
Convertible notes [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive potential common shares that could dilute basic earnings per share in the future (in shares) 257.6 182.7 0
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet104.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Consolidated Variable Interest Entities (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended 12 Months Ended 12 Months Ended 3 Months Ended 12 Months Ended 12 Months Ended 3 Months Ended 12 Months Ended
Aug. 30, 2012
May 31, 2012
Mar. 01, 2012
Dec. 01, 2011
Sep. 01, 2011
Jun. 02, 2011
Mar. 03, 2011
Dec. 02, 2010
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Feb. 24, 2012
Aug. 30, 2012
NAND Flash [Member]
Sep. 01, 2011
NAND Flash [Member]
Sep. 02, 2010
NAND Flash [Member]
Aug. 30, 2012
Intel senior note [Member]
Apr. 06, 2012
Intel senior note [Member]
Sep. 01, 2011
Intel senior note [Member]
Apr. 06, 2012
Intel [Member]
Aug. 31, 2006
Nonsoftware License Arrangement with Photronics [Member]
Aug. 30, 2012
Nonsoftware License Arrangement with Photronics [Member]
Sep. 01, 2011
Nonsoftware License Arrangement with Photronics [Member]
May 31, 2012
IM Flash Technologies, LLC [Member]
Aug. 30, 2012
IM Flash Technologies, LLC [Member]
Apr. 06, 2012
IM Flash Technologies, LLC [Member]
Aug. 30, 2012
IM Flash Technologies, LLC [Member]
Intel [Member]
NAND Flash [Member]
May 31, 2012
IM Flash Singapore LLP [Member]
Apr. 06, 2012
IM Flash Singapore LLP [Member]
Aug. 30, 2012
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash Technologies, LLC [Member]
Apr. 06, 2012
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash Singapore LLP [Member]
Mar. 01, 2012
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash Singapore LLP [Member]
Dec. 02, 2010
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash Singapore LLP [Member]
Aug. 30, 2007
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash Singapore LLP [Member]
Aug. 30, 2012
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash [Member]
Sep. 01, 2011
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash [Member]
Sep. 02, 2010
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash [Member]
Aug. 30, 2012
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash [Member]
Intel [Member]
NAND Flash [Member]
Sep. 01, 2011
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash [Member]
Intel [Member]
NAND Flash [Member]
Sep. 02, 2010
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
IM Flash [Member]
Intel [Member]
NAND Flash [Member]
Aug. 30, 2012
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
MP Mask Technology Center, LLC [Member]
Sep. 01, 2011
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member]
MP Mask Technology Center, LLC [Member]
Variable Interest Entity [Line Items]
Variable interest entity, ownership percentage (in hundredths) 51.00% 82.00% 51.00% 50.01%
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Changes, Net [Abstract]
Minority Interest Decrease From Purchase Of Interest, Ownership Percentage (in hundredths) 18.00%
Acquisition of noncontrolling interests $ 466 $ 159 $ 466
Intel's deposit to be applied to future purchases of NAND Flash 300
Long-term Debt, Gross 3,262 2,001 3,262 2,001 58 65 0
Debt instrument, orginal term 2 years
Leased Facility Percentage of Facility Leased to Related Pary Terminated 50.00%
Gain (Loss) on Contract Termination (17) 0 0 (17)
Distributions to, and contributions from, shareholders [Abstract]
Distributions to Micron from Consolidated VIE's 439 234 278
Distributions to noncontrolling interests from consolidated VIE's 139 391 225 267
Micron contributions to consolidated VIE's 151 1,580 128 21 9
Cash received from noncontrolling interests 197 8 38 177 0 38 20 8
Micron share of IMFS cost and supply 78.00% 51.00%
Net sales 1,963 2,172 2,009 2,090 2,140 2,139 2,257 2,252 8,234 8,788 8,482 3,627 3,193 2,555 986 884 764
Trade Receivables 933 1,105 933 1,105 103 165
Sales and inventory impact of changes to the IMFT supply agreement with Intel 97
R and D expenses reduced by reimbursements from Intel 87 95 104
Variable interest entity, ownership percentage by noncontrolling owners (in hundredths) 49.99%
Proceeds for entering into license agreement with Photronics 72
Term of license agreement with Photronics (in years) 10 years
Deferred income and other noncurrent liabilities related to license agreement with Photronics 26 34
Sale proceeds for facility sold to Photronics $ 35
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet105.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Consolidated Variable Interest Entities - Assets & Liabilities (Details) (USD $)
In Millions, unless otherwise specified
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Sep. 03, 2009
Assets
Cash and equivalents $ 2,459 $ 2,160 $ 2,913 $ 1,485
Receivables 1,289 1,497
Inventories 1,812 2,080
Other current assets 98 95
Total current assets 5,758 5,832
Property, plant and equipment, net 7,103 7,555 6,601
Other noncurrent assets 333 416
Total assets 14,328 14,752
Liabilities
Accounts payable and accrued expenses 1,641 1,830
Deferred income 248 443
Equipment purchase contracts 130 67
Current portion of long-term debt 224 140
Total current liabilities 2,243 2,480
Long-term debt 3,038 1,861
Other noncurrent liabilities 630 559
Total liabilities 5,911 4,900
Variable Interest Entity, Primary Beneficiary [Member] | IM Flash [Member]
Assets
Cash and equivalents 327 [1]
Receivables 252 [1]
Inventories 227 [1]
Other current assets 11 [1]
Total current assets 817 [1]
Property, plant and equipment, net 4,121 [1]
Other noncurrent assets 66 [1]
Total assets 5,004 [1]
Liabilities
Accounts payable and accrued expenses 458 [1]
Deferred income 125 [1]
Equipment purchase contracts 37 [1]
Current portion of long-term debt 8 [1]
Total current liabilities 628 [1]
Long-term debt 58 [1]
Other noncurrent liabilities 4 [1]
Total liabilities 690 [1]
Variable Interest Entity, Primary Beneficiary [Member] | IM Flash [Member] | IM Flash Assets and Liabilities Acquired by the Parent [Member]
Assets
Total assets 2,999 [1]
Liabilities
Total liabilities 433 [1]
Variable Interest Entity, Primary Beneficiary [Member] | IM Flash Technologies, LLC [Member]
Assets
Cash and equivalents 157 [1]
Receivables 78 [1]
Inventories 67 [1]
Other current assets 5 [1]
Total current assets 307 [1]
Property, plant and equipment, net 1,342 [1]
Other noncurrent assets 36 [1]
Total assets 1,685 [1]
Liabilities
Accounts payable and accrued expenses 104 [1]
Deferred income 10 [1]
Equipment purchase contracts 58 [1]
Current portion of long-term debt 6 [1]
Total current liabilities 178 [1]
Long-term debt 18 [1]
Other noncurrent liabilities 129 [1]
Total liabilities 325 [1]
Variable Interest Entity, Primary Beneficiary [Member] | MP Mask Technology Center, LLC [Member]
Assets
Total current assets 19 [1] 24 [1]
Noncurrent assets (primarily property, plant and equipment) 170 [1] 143 [1]
Liabilities
Total current liabilities $ 12 [1] $ 31 [1]
[1] Amounts exclude intercompany balances that were eliminated in our consolidated balance sheets.
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet106.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
TECH Semiconductor Singapore Pte. Ltd. (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended 2 Months Ended 12 Months Ended 2 Months Ended 12 Months Ended 2 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Sep. 01, 2011
Additional Capital [Member]
Sep. 02, 2010
Additional Capital [Member]
Aug. 30, 2012
Noncontrolling Interest [Member]
Sep. 01, 2011
Noncontrolling Interest [Member]
Sep. 02, 2010
Noncontrolling Interest [Member]
Jan. 31, 2011
TECH [Member]
Sep. 01, 2011
TECH [Member]
Sep. 02, 2010
TECH [Member]
Jan. 31, 2011
TECH [Member]
Additional Capital [Member]
Sep. 02, 2010
TECH [Member]
Additional Capital [Member]
Jan. 31, 2011
TECH [Member]
Noncontrolling Interest [Member]
Schedule of TECH transactions [Line Items]
Acquisition of noncontrolling interests $ (466) $ (159) $ 67 $ (466) $ (226) $ (159) $ 67 $ (226)
Ownership percentage of TECH before the acquisitions (in hundredths) 87.00% 85.00%
Ownership percentage of TECH after the acquisitions (in hundredths) 100.00% 87.00%
Amount paid for purchased shares of TECH 80
Acquisition in TECH, increase in additional capital $ 0 $ 10 $ (10) $ 10
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet107.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Segment Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Aug. 30, 2012
May 31, 2012
Mar. 01, 2012
Dec. 01, 2011
Sep. 01, 2011
Jun. 02, 2011
Mar. 03, 2011
Dec. 02, 2010
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Segment Reporting Information [Line Items]
Net sales $ 1,963 $ 2,172 $ 2,009 $ 2,090 $ 2,140 $ 2,139 $ 2,257 $ 2,252 $ 8,234 $ 8,788 $ 8,482
Operating income (loss) (140) (191) (205) (82) (51) 237 179 390 (618) 755 1,589
Depreciation, Depletion and Amortization [Abstract]
Depreciation and amortization expense included in operating income (loss) 2,144 2,101 1,926
Other Amortization 78 61 79
Total depreciation and amortization expense 2,222 2,162 2,005
NSG [Member]
Segment Reporting Information [Line Items]
Net sales 2,853 2,196 2,113
Operating income (loss) 198 269 240
Depreciation, Depletion and Amortization [Abstract]
Depreciation and amortization expense included in operating income (loss) 651 513 530
DSG [Member]
Segment Reporting Information [Line Items]
Net sales 2,691 3,203 4,638
Operating income (loss) (500) 290 1,269
Depreciation, Depletion and Amortization [Abstract]
Depreciation and amortization expense included in operating income (loss) 770 750 947
WSG [Member]
Segment Reporting Information [Line Items]
Net sales 1,184 1,959 778
Operating income (loss) (370) 20 (23)
Depreciation, Depletion and Amortization [Abstract]
Depreciation and amortization expense included in operating income (loss) 374 512 212
ESG [Member]
Segment Reporting Information [Line Items]
Net sales 1,054 1,002 521
Operating income (loss) 156 237 152
Depreciation, Depletion and Amortization [Abstract]
Depreciation and amortization expense included in operating income (loss) 211 196 97
All Other [Member]
Segment Reporting Information [Line Items]
Net sales 452 428 432
Operating income (loss) (102) (61) (49)
Depreciation, Depletion and Amortization [Abstract]
Depreciation and amortization expense included in operating income (loss) $ 138 $ 130 $ 140
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet108.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Product Sales Product Sales (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Aug. 30, 2012
May 31, 2012
Mar. 01, 2012
Dec. 01, 2011
Sep. 01, 2011
Jun. 02, 2011
Mar. 03, 2011
Dec. 02, 2010
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Revenue from External Customer [Line Items]
Net sales $ 1,963 $ 2,172 $ 2,009 $ 2,090 $ 2,140 $ 2,139 $ 2,257 $ 2,252 $ 8,234 $ 8,788 $ 8,482
NAND Flash [Member]
Revenue from External Customer [Line Items]
Net sales 3,627 3,193 2,555
DRAM [Member]
Revenue from External Customer [Line Items]
Net sales 3,178 3,620 5,052
NOR Flash [Member]
Revenue from External Customer [Line Items]
Net sales 977 1,547 451
Other [Member]
Revenue from External Customer [Line Items]
Net sales $ 452 $ 428 $ 424
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet109.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Certain Concentrations (Details) (Sales Revenue, Goods, Net [Member])
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Product Concentration Risk [Member] | Computing Market [Member]
Concentration Risk [Line Items]
Concentration risk, market concentrations, percentage of net sales (in hundreths) 25.00% 30.00% 45.00%
Product Concentration Risk [Member] | Consumer Electronics Market [Member]
Concentration Risk [Line Items]
Concentration risk, market concentrations, percentage of net sales (in hundreths) 20.00% 15.00%
Product Concentration Risk [Member] | Mobile Market [Member]
Concentration Risk [Line Items]
Concentration risk, market concentrations, percentage of net sales (in hundreths) 15.00% 25.00%
Product Concentration Risk [Member] | Networking And Storage Market [Member]
Concentration Risk [Line Items]
Concentration risk, market concentrations, percentage of net sales (in hundreths) 10.00% 15.00%
Product Concentration Risk [Member] | Solid State Drives [Member]
Concentration Risk [Line Items]
Concentration risk, market concentrations, percentage of net sales (in hundreths) 10.00%
Customer Concentration Risk [Member] | Intel [Member]
Concentration Risk [Line Items]
Concentration risk, major customer, percentage of net sales (in hundreths) 12.00% 10.00%
Customer Concentration Risk [Member] | HP [Member]
Concentration Risk [Line Items]
Concentration risk, major customer, percentage of net sales (in hundreths) 13.00%
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet110.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Geographic Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Aug. 30, 2012
May 31, 2012
Mar. 01, 2012
Dec. 01, 2011
Sep. 01, 2011
Jun. 02, 2011
Mar. 03, 2011
Dec. 02, 2010
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Geographic Areas, Revenues from External Customers [Abstract]
Net sales $ 1,963 $ 2,172 $ 2,009 $ 2,090 $ 2,140 $ 2,139 $ 2,257 $ 2,252 $ 8,234 $ 8,788 $ 8,482
Geographic Areas, Long-Lived Assets [Abstract]
Property, Plant and Equipment, Net 7,103 7,555 7,103 7,555 6,601
SINGAPORE
Geographic Areas, Long-Lived Assets [Abstract]
Property, Plant and Equipment, Net 3,270 3,569 3,270 3,569 2,161
CHINA
Geographic Areas, Revenues from External Customers [Abstract]
Net sales 2,936 2,983 3,294
Geographic Areas, Long-Lived Assets [Abstract]
Property, Plant and Equipment, Net 328 179 328 179 90
UNITED STATES
Geographic Areas, Revenues from External Customers [Abstract]
Net sales 1,262 1,363 1,403
Geographic Areas, Long-Lived Assets [Abstract]
Property, Plant and Equipment, Net 3,246 3,487 3,246 3,487 3,925
Asia Pacific (excluding China, Taiwan and Malaysia) [Member]
Geographic Areas, Revenues from External Customers [Abstract]
Net sales 1,241 1,518 1,090
ITALY
Geographic Areas, Long-Lived Assets [Abstract]
Property, Plant and Equipment, Net 163 190 163 190 173
ISRAEL
Geographic Areas, Long-Lived Assets [Abstract]
Property, Plant and Equipment, Net 59 94 59 94 111
Taiwan [Member]
Geographic Areas, Revenues from External Customers [Abstract]
Net sales 1,022 744 711
Europe [Member]
Geographic Areas, Revenues from External Customers [Abstract]
Net sales 827 924 777
JAPAN
Geographic Areas, Long-Lived Assets [Abstract]
Property, Plant and Equipment, Net 2 1 2 1 81
MALAYSIA
Geographic Areas, Revenues from External Customers [Abstract]
Net sales 546 737 817
Other [Member]
Geographic Areas, Revenues from External Customers [Abstract]
Net sales 400 519 390
Geographic Areas, Long-Lived Assets [Abstract]
Property, Plant and Equipment, Net $ 35 $ 35 $ 35 $ 35 $ 60
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet111.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Quarterly Financial Information (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 12 Months Ended
Aug. 30, 2012
May 31, 2012
Mar. 01, 2012
Dec. 01, 2011
Sep. 01, 2011
Jun. 02, 2011
Mar. 03, 2011
Dec. 02, 2010
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Net sales $ 1,963 $ 2,172 $ 2,009 $ 2,090 $ 2,140 $ 2,139 $ 2,257 $ 2,252 $ 8,234 $ 8,788 $ 8,482
Gross margin 219 234 210 305 321 478 435 524 968 1,758 2,714
Operating income (loss) (140) (191) (205) (82) (51) 237 179 390 (618) 755 1,589
Net income (loss) (242) (320) (282) (187) (134) 77 75 172 (1,031) 190 1,900
Net income (loss) attributable to Micron (243) (320) (282) (187) (135) 75 72 155 (1,032) 167 1,850
Earnings (loss) per share:
Basic (in dollars per share) $ (0.24) $ (0.32) $ (0.29) $ (0.19) $ (0.14) $ 0.07 $ 0.07 $ 0.16 $ (1.04) $ 0.17 $ 2.09
Diluted (in dollars per share) $ (0.24) $ (0.32) $ (0.29) $ (0.19) $ (0.14) $ 0.07 $ 0.07 $ 0.15 $ (1.04) $ 0.17 $ 1.85
Selected Quarterly Financial Information [Abstract]
Tax benefit related to favorable resolution of certain prior year tax matters 42 (8) (90) 38
Gain from disposition of Japan Fab 0 54 0
Patent license revenue from Samsung Electronics, Ltd., net of tax 30 33 167
Loss on debt restructure transaction (111) 0 (113) 0
Japan Fabrication Facility [Member]
Selected Quarterly Financial Information [Abstract]
Gain from disposition of Japan Fab 54
Net tax provision relating to the disposition of the Japan Fab 74
Antitrust Matters [Member] | Oracle Dram Price Fixing Suit [Member]
Selected Quarterly Financial Information [Abstract]
Settlement agreement amount 58
Transform [Member]
Selected Quarterly Financial Information [Abstract]
Other than temporary impairment in Transform $ 69
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/Sheet112.html Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii"
Schedule II Valuation and Qualifying Accounts (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Aug. 30, 2012
Sep. 01, 2011
Sep. 02, 2010
Allowance for Doubtful Accounts [Member]
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of Year $ 3 $ 4 $ 5
Business Acquisition 0 0 1
Charged (Credited) to Costs and Expenses 5 0 0
Deductions/Write-Offs (3) (1) (2)
Balance at End of Year 5 3 4
Deferred Tax Assets Valuation Allowance [Member]
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of Year 1,220 1,295 1,822
Business Acquisition 0 0 63
Charged (Credited) to Costs and Expenses 373 (103) (424)
Deductions/Write-Offs (58) 28 (166)
Balance at End of Year $ 1,535 $ 1,220 $ 1,295
------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123 Content-Location: file:///C:/4cc502de_72fa_4037_a652_6fc9e9d07123/Worksheets/filelist.xml Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii" ------=_NextPart_4cc502de_72fa_4037_a652_6fc9e9d07123--