Commitments and Contingencies

12 Months Ended

Aug. 27, 2022

Commitments and Contingencies.

Commitments and Contingencies

Note N – Commitments and Contingencies

Construction commitments, primarily for new stores, totaled approximately $91.5 million at August 27, 2022.

The Company had $130.5 million in outstanding standby letters of credit and $46.0 million in surety bonds as of August 27, 2022, which all have expiration periods of less than one year. A substantial portion of the outstanding standby letters of credit (which are primarily renewed on an annual basis) and surety bonds are used to cover reimbursement obligations to our workers’ compensation carriers. There are no additional contingent liabilities associated with these instruments as the underlying liabilities are already reflected in the Consolidated Balance Sheets. The standby letters of credit and surety bonds arrangements have automatic renewal clauses.