GOODWILL AND INTANGIBLE ASSETS

12 Months Ended

Feb. 24, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

NOTE 7—GOODWILL AND INTANGIBLE ASSETS

Changes in the carrying value of Goodwill by goodwill reportable unit consisted of the following:



	February 27, 2016		Additions		Impairments			February 25, 2017		Additions		Impairments		February 24, 2018
Goodwill:
Wholesale	$	710	$	—	$	—		$	710	$	70	$	—	$	780
Retail	13		—		(13		)	—		—		—		—
Total goodwill	$	723	$	—	$	(13	)	$	710	$	70	$	—	$	780

In fiscal 2017, we conducted an impairment review of the carrying value of our reporting units due to declines in sales and cash flows within Retail. The review indicated the carrying value of the Retail reporting unit exceeded its estimated fair value, as determined utilizing the income approach and market approach. As a result, we performed the step 2 assessment and recorded a non-cash goodwill impairment charge of $13 in the Retail segment in fiscal 2017.

Identifiable intangible assets consisted of the following:



	February 24, 2018							February 25, 2017
	Cost		Accumulated Amortization			Net		Cost		Accumulated Amortization			Net
Customer lists, supply agreements, prescription files and other	$	177	$	(66	)	$	111	$	81	$	(54	)	$	27
Favorable operating leases	21		(6		)	15		9		(4		)	5
Total finite-life intangibles	$	198	$	(72	)	$	126	$	90	$	(58	)	$	32
Indefinite-lived tradename intangibles	5		—			5		5		—			5
Total intangibles	$	203	$	(72	)	$	131	$	95	$	(58	)	$	37

Amortization expense of intangible assets with finite useful lives of $13, $9 and $8 was recorded in fiscal 2018, 2017 and 2016, respectively.

There were no impairment charges in fiscal 2018 and 2017, respectively. In fiscal 2016, we recorded a non-cash intangible impairment charge of $6 within the Wholesale segment.

The estimated future amortization expense for the next five fiscal years and thereafter on intangible assets outstanding as of February 24, 2018 consists of the following:



Fiscal Year	2019		2020	2021	2022	2023	Thereafter
Estimated amortization expense	$	14	13	12	11	11	$	65

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details