Restructure and Asset Impairments

9 Months Ended

Jun. 01, 2023

Restructuring and Related Activities [Abstract]


	Quarter ended				Nine months ended
	June 1, 2023		June 2, 2022		June 1, 2023		June 2, 2022

Employee severance	$	70	$	—	$	163	$	—
Asset impairments and other asset-related costs	1		—		9		59
Other	(3)		—		(5)		(16)
Restructure and asset impairments	$	68	$	—	$	167	$	43

In 2023, we initiated a restructure plan in response to challenging industry conditions (the “2023 Restructure Plan”). Under the 2023 Restructure Plan, we expect our headcount reduction to approach 15% by the end of calendar 2023, through a combination of voluntary attrition and personnel reductions. In connection with the plan, we incurred restructure charges of $68 million and $167 million in the third quarter and first nine months of 2023 respectively, primarily related to employee severance costs. As of June 1, 2023, total costs expected to be incurred under the 2023 Restructure Plan were approximately $170 million and the plan was substantially completed.

Changes in our restructure liability (included in accounts payable and accrued expenses) for the nine months ended June 1, 2023 were as follows:


	Employee Severance

Restructure liability as of September 1, 2022	$	—
Costs incurred and charged to expense	163
Costs paid or otherwise settled	(117)
Restructure liability as of June 1, 2023	$	46