LEASES

12 Months Ended

Aug. 31, 2022

Leases [Abstract]

Operating Leases

NOTE 8. LEASES

The following table presents the components of the total leased assets and lease liabilities and their classification in the Company's consolidated balance sheets:

(in thousands)	Classification in Consolidated Balance Sheets	August 31, 2022		August 31, 2021
Assets:
Operating assets	Other noncurrent assets	$	138,937	$	112,202
Finance assets	Property, plant and equipment, net	63,702		55,308
Total leased assets		$	202,639	$	167,510
Liabilities:
Operating lease liabilities:
Current	Accrued expenses and other payables	$	31,792	$	26,433
Long-term	Other noncurrent liabilities	111,150		93,409
Total operating lease liabilities		142,942		119,842
Finance lease liabilities:
Current	Current maturities of long-term debt and short-term borrowings	19,340		16,040
Long-term	Long-term debt	39,196		36,104
Total finance lease liabilities		58,536		52,144
Total lease liabilities		$	201,478	$	171,986

The components of lease cost were as follows:

	Year Ended August 31,
(in thousands)	2022		2021		2020
Operating lease expense	$	35,111	$	32,752	$	35,611
Finance lease expense:
Amortization of assets	13,302		13,050		11,445
Interest on lease liabilities	2,105		2,213		1,792
Total finance lease expense	15,407		15,263		13,237
Variable and short-term lease expense	20,856		20,096		17,020
Total lease expense	$	71,374	$	68,111	$	65,868

The weighted average remaining lease term and discount rate for operating and finance leases are presented in the following table:

	August 31, 2022		August 31, 2021
Weighted average remaining lease term (years):
Operating leases	5.3		6.2
Finance leases	3.4		3.6
Weighted average discount rate:
Operating leases	4.076	%	4.451	%
Finance leases	4.125	%	4.079	%

Cash flow and other information related to leases is included in the following table:

	Year Ended August 31,
(in thousands)	2022		2021		2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflows from operating leases	$	35,697	$	31,686	$	36,063
Operating cash outflows from finance leases	2,093		2,228		1,720
Financing cash outflows from finance leases	17,821		16,016		12,774
ROU assets obtained in exchange for lease obligations:
Operating leases	$	59,035	$	25,888	$	43,642
Finance leases	24,333		18,006		26,573

Future maturities of lease liabilities at August 31, 2022 are presented in the following table:

(in thousands)	Operating Leases		Finance Leases
2023	$	38,277	$	21,311
2024	32,108		18,633
2025	26,343		12,583
2026	21,714		6,235
2027	14,019		3,090
Thereafter	27,616		672
Total lease payments	160,077		62,524
Less imputed interest	(17,135)		(3,988)
Present value of lease liabilities	$	142,942	$	58,536

As of August 31, 2022, the Company has additional leases that have not yet commenced, primarily for vehicles, with aggregate fixed payments over their terms of approximately $17.0 million. These leases will commence in 2023 and 2024 and have noncancellable terms of 4 to 7 years.

Finance Leases

NOTE 8. LEASES

The following table presents the components of the total leased assets and lease liabilities and their classification in the Company's consolidated balance sheets:

(in thousands)	Classification in Consolidated Balance Sheets	August 31, 2022		August 31, 2021
Assets:
Operating assets	Other noncurrent assets	$	138,937	$	112,202
Finance assets	Property, plant and equipment, net	63,702		55,308
Total leased assets		$	202,639	$	167,510
Liabilities:
Operating lease liabilities:
Current	Accrued expenses and other payables	$	31,792	$	26,433
Long-term	Other noncurrent liabilities	111,150		93,409
Total operating lease liabilities		142,942		119,842
Finance lease liabilities:
Current	Current maturities of long-term debt and short-term borrowings	19,340		16,040
Long-term	Long-term debt	39,196		36,104
Total finance lease liabilities		58,536		52,144
Total lease liabilities		$	201,478	$	171,986

The components of lease cost were as follows:

	Year Ended August 31,
(in thousands)	2022		2021		2020
Operating lease expense	$	35,111	$	32,752	$	35,611
Finance lease expense:
Amortization of assets	13,302		13,050		11,445
Interest on lease liabilities	2,105		2,213		1,792
Total finance lease expense	15,407		15,263		13,237
Variable and short-term lease expense	20,856		20,096		17,020
Total lease expense	$	71,374	$	68,111	$	65,868

The weighted average remaining lease term and discount rate for operating and finance leases are presented in the following table:

	August 31, 2022		August 31, 2021
Weighted average remaining lease term (years):
Operating leases	5.3		6.2
Finance leases	3.4		3.6
Weighted average discount rate:
Operating leases	4.076	%	4.451	%
Finance leases	4.125	%	4.079	%

Cash flow and other information related to leases is included in the following table:

	Year Ended August 31,
(in thousands)	2022		2021		2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflows from operating leases	$	35,697	$	31,686	$	36,063
Operating cash outflows from finance leases	2,093		2,228		1,720
Financing cash outflows from finance leases	17,821		16,016		12,774
ROU assets obtained in exchange for lease obligations:
Operating leases	$	59,035	$	25,888	$	43,642
Finance leases	24,333		18,006		26,573

Future maturities of lease liabilities at August 31, 2022 are presented in the following table:

(in thousands)	Operating Leases		Finance Leases
2023	$	38,277	$	21,311
2024	32,108		18,633
2025	26,343		12,583
2026	21,714		6,235
2027	14,019		3,090
Thereafter	27,616		672
Total lease payments	160,077		62,524
Less imputed interest	(17,135)		(3,988)
Present value of lease liabilities	$	142,942	$	58,536

As of August 31, 2022, the Company has additional leases that have not yet commenced, primarily for vehicles, with aggregate fixed payments over their terms of approximately $17.0 million. These leases will commence in 2023 and 2024 and have noncancellable terms of 4 to 7 years.