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Numonyx

On May 7, 2010, we acquired Numonyx Holdings B.V. ("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 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 consideration and valuation of assets acquired and liabilities assumed were as follows:



Consideration:
Fair value of common stock issued	$	1,091
Fair value of restricted stock units issued	21
	$	1,112
Recognized amounts of identifiable assets acquired and liabilities assumed:
Cash and equivalents	$	95
Receivables	256
Inventories	689
Other current assets	28
Intangible assets	29
Property, plant and equipment	344
Equity method investment	414
Other noncurrent assets	307

Accounts payable and accrued expenses	(310		)
Other current liabilities	(5		)
Other noncurrent liabilities	(298		)
Total net assets acquired	1,549
Gain on acquisition	(437		)
	$	1,112

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.



	2010		2009
Net sales	$	9,895	$	6,464
Net income (loss)	1,923		(2,230		)
Net income (loss) attributable to Micron	1,873		(2,119		)
Earnings (loss) per share:
Basic	$	1.90	$	(2.31	)
Diluted	1.72		(2.31		)

The unaudited pro forma financial information for 2010 includes 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. The pro forma information for 2009 includes our results for the year ended September 3, 2009 and the results of Numonyx, including the adjustments described above, for the year ended September 27, 2009.

Receivables

12 Months Ended

Sep. 01, 2011

Receivables



As of	2011		2010
Trade receivables (net of allowance for doubtful accounts of $3 and $4, respectively)	$	1,105	$	1,238
Income and other taxes	137		115
Related party receivables	72		64
Other	183		114
	$	1,497	$	1,531

As of September 1, 2011 and September 2, 2010, related party receivables included $67 million and $57 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 September 1, 2011 and September 2, 2010, other receivables included $34 million and $30 million, respectively, due from Intel for amounts related to NAND Flash product design and process development activities under cost-sharing agreements. As of September 1, 2011 and September 2, 2010, other receivables also included $25 million and $17 million, respectively, due from Nanya for amounts related to DRAM product design and process development activities under a cost-sharing agreement. (See "Equity Method Investments" note and "Consolidated Variable Interest Entities" note.)

Inventories

12 Months Ended

Sep. 01, 2011

Inventories



As of	2011		2010
Finished goods	$	596	$	623
Work in process	1,342		1,031
Raw materials and supplies	142		116
	$	2,080	$	1,770

Intangible Assets

12 Months Ended

Sep. 01, 2011

Intangible Assets



As of	2011					2010
	Gross Amount		Accumulated Amortization			Gross Amount		Accumulated Amortization
Product and process technology	$	571	$	(203	)	$	439	$	(181	)
Customer relationships	127		(82		)	127		(66		)
Other	1		—			23		(19		)
	$	699	$	(285	)	$	589	$	(266	)

During 2011 and 2010, we capitalized $170 million and $48 million, respectively, for product and process technology with weighted-average useful lives of 7 years.

Amortization expense was $79 million, $96 million and $75 million for 2011, 2010 and 2009, respectively. Annual amortization expense for intangible assets is estimated to be $86 million for 2012, $80 million for 2013, $71 million for 2014, $53 million for 2015 and $46 million for 2016.

PPE

12 Months Ended

Sep. 01, 2011

Property, Plant and Equipment



As of	2011			2010
Land	$	92		$	95
Buildings (includes $163 and $184, respectively, for capital leases)	4,481			4,394
Equipment (includes $712 and $745, respectively, for capital leases)	14,735			12,970
Construction in progress	155			73
Software	293			281
	19,756			17,813
Accumulated depreciation (includes $430 and $478, respectively, for capital leases)	(12,201		)	(11,212		)
	$	7,555		$	6,601

Depreciation expense was $2,026 million, $1,826 million and $2,039 million for 2011, 2010 and 2009, respectively.

Other noncurrent assets included buildings, equipment and other assets classified as held for sale of $35 million as of September 1, 2011 and $56 million as of September 2, 2010.

Equity Method Investments

12 Months Ended

Sep. 01, 2011

Equity Method Investments



As of	2011				2010
	Investment Balance		Ownership Percentage		Investment Balance		Ownership Percentage
Inotera	$	388	29.7	%	$	434	29.9	%
MeiYa	1		50.0	%	44		50.0	%
Transform	87		50.0	%	82		50.0	%
Aptina	7		35.0	%	22		35.0	%
	$	483			$	582

We recognize our share of earnings or losses from all investments under the equity method on a two-month lag. Equity in net income (loss) of equity method investees, net of tax, included the following:



For the year ended	2011			2010			2009
Inotera:
Equity method loss	$	(154	)	$	(56	)	$	(166	)
Inotera Amortization	48			55			38
Other	(6		)	(5		)	(2		)
	(112		)	(6		)	(130		)
Transform	(31		)	(12		)	—
Aptina	(15		)	(24		)	—
Hynix JV	—			2			—
MeiYa	—			1			(10		)
	$	(158	)	$	(39	)	$	(140	)

The summarized financial information in the tables below include the aggregate of all of our equity method investees on a stand-alone basis. The tables below include the respective years and periods through which we recorded our proportionate share of each of their results of operations, generally on a two-month lag. The summarized results of operations in the table below include the operating results of Inotera, Transform and Aptina only for the periods subsequent to our acquisition of our ownership interests.



As of	2011		2010
Current assets	$	942	$	898
Noncurrent assets (primarily property, plant and equipment)	4,189		3,537
Current liabilities	3,201		1,479
Noncurrent liabilities	173		900



For the years ended	2011			2010			2009
Net sales	$	1,839		$	1,927		$	670
Gross margin	(268		)	73			(370		)
Operating loss	(559		)	(181		)	(473		)
Net loss	(594		)	(237		)	(553		)

Our maximum exposure to loss from our ownership in our equity method investments that are VIEs was as follows:



As of	2011
Inotera	$	325
MeiYa	1
Transform	90

The maximum exposure to loss primarily included our investment balance as well as the related translation adjustments in accumulated other comprehensive income and receivables, if any. We may also incur losses in connection with our obligations under a supply agreement with Inotera (the "Inotera Supply Agreement") for rights and obligations to purchase 50% of Inotera's wafer production capacity of DRAM products.

Inotera and MeiYa DRAM joint ventures with Nanya

We have partnered with Nanya in two Taiwanese DRAM memory companies, Inotera and MeiYa. Under a licensing arrangement with Nanya, we recognized $65 million and $105 million of license revenue in net sales during 2010 and 2009, respectively, and had recognized a total of $207 million through the completion of the arrangement in April 2010. Under a cost-sharing arrangement beginning in April 2010, we share equally in DRAM development costs with Nanya and, as a result, our research and development costs were reduced by $141 million and $51 million in 2011 and 2010, respectively. In addition, we received $25 million and $6 million of royalty revenue in 2011 and 2010, respectively, from Nanya for sales of stack DRAM products manufactured by or for Nanya on process nodes of 50nm or higher and will continue to receive royalties from Nanya associated with technology developed prior to the cost-sharing arrangement.

Inotera: In the first quarter of 2009, we acquired a 35.5% ownership interest in Inotera. As a result of Inotera's sale of common shares in a public offering, our equity ownership interest decreased from 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 from 29.8% 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, Nanya held a 29.8% ownership interest, and the balance was publicly held.

The carrying value of our initial investment was less than our proportionate share of Inotera's equity. This difference is being amortized as a credit to earnings through equity in net income (loss) of equity method investees (the "Inotera Amortization"). As of September 1, 2011, $74 million of Inotera Amortization remained to be recognized of which $49 million is scheduled to be amortized in 2012 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.

Because of significant market declines in the selling price of DRAM, Inotera incurred net losses of $278 million for the six-month period ended June 30, 2011. Also, Inotera's current liabilities exceeded its current assets by $2.3 billion as of June 30, 2011, which exposes Inotera to liquidity risk. Inotera's management has developed plans to improve its liquidity. There can be no assurance that Inotera's plan to improve its liquidity will be successful.

In connection with the initial acquisition of our shares in Inotera, we and Nanya entered into the Inotera Supply Agreement. Our cost of wafers purchased under the Inotera Supply Agreement is based on a margin-sharing formula among Nanya, Inotera, and ourselves. 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 $641 million and $693 million of DRAM products in 2011 and 2010, respectively. In 2011, we recognized a loss on our purchase commitment under the Inotera Supply Agreement of $28 million.

In the second quarter of 2009, Qimonda filed for bankruptcy and defaulted on its obligations to purchase trench DRAM products from Inotera under a separate supply agreement between Inotera and Qimonda ("the Qimonda Supply Agreement"). Pursuant to our obligation under the Inotera Supply Agreement to purchase up to 50% of Inotera's trench DRAM capacity, less any trench DRAM products sold to Qimonda pursuant to the Qimonda Supply Agreement, we recorded $95 million in cost of goods sold in 2009 for underutilized capacity as a result of Qimonda's default.

In the third quarter of 2009, we received $50 million from Inotera pursuant to the terms of a technology transfer agreement and, in connection therewith, recognized $13 million and $15 million of revenue in 2010 and 2009, respectively.

As of September 1, 2011 and September 2, 2010, there were gains of $65 million and $7 million, respectively, in accumulated other comprehensive income (loss) for cumulative translation adjustments from our investment in Inotera.

As of September 1, 2011, based on the closing trading price of Inotera's shares in an active market, the market value of our equity interest in Inotera was $296 million which was below our net carrying value of $323 million. The net carrying value is our investment balance of $388 million less the cumulative translation adjustments in accumulated other comprehensive income (loss) of $65 million. We evaluated our investment in Inotera and concluded that the decline in the market value below carrying value was not an other-than-temporary-impairment primarily for the following reasons: (1) the deficit in market value to carrying value existed for less than one month, (2) the deficit as a percentage of the carrying was relatively minor, (3) the market value subsequently appreciated to exceed the carrying value shortly after the end of our fiscal 2011, and (4) the market value is very volatile based on changes in pricing for Inotera's sole product, DRAM, which fluctuates significantly based on market cycles and other factors.

MeiYa: In 2008, we acquired a 50% interest in 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.

Pursuant to a technology transfer agreement, we received $50 million from MeiYa in the first quarter of 2009. Our technology transfer agreement with MeiYa was supplanted by our technology transfer agreement with Inotera and we returned the $50 million with accrued interest to MeiYa in the fourth quarter of 2009.

Transform

In 2010, we acquired a 50% interest in Transform. 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 September 1, 2011, we and Origin each held a 50% ownership interest in Transform. During 2011 and 2010, we and Origin each contributed $30 million and $26 million, respectively, of cash to Transform. Our results of operations for 2011 and 2010 included $20 million and $15 million, respectively, of net sales which approximates our cost for transition services provided to Transform.

As of September 1, 2011 and September 2, 2010, other noncurrent assets included $29 million and $33 million, respectively, for the manufacturing facilities leased to Transform and other noncurrent liabilities included $29 million and $33 million for deferred rent revenue on the fully-paid lease. Additionally, as of September 1, 2011 and September 2, 2010, other noncurrent assets and liabilities included $4 million and $5 million, respectively, for the value of certain equipment and intangible assets, which we were obligated to contribute to Transform.

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. As a result, we recognize our share of Aptina's earnings or losses based on our common stock ownership percentage, which was 64% as of September 1, 2011.

We manufacture components for CMOS image sensors for Aptina under a wafer supply agreement. For 2011, 2010 and 2009, we recognized net sales of $349 million, $372 million and $70 million, respectively, and cost of goods sold of $358 million, $385 million and $60 million, respectively, from products sold to Aptina.

Accounts Payable and Accrued Expenses

12 Months Ended

Sep. 01, 2011

Accounts Payable and Accrued Liabilities Disclosure

Accounts Payable and Accrued Expenses



As of	2011		2010
Accounts payable	$	1,187	$	799
Salaries, wages and benefits	304		346
Related party payables	141		194
Income and other taxes	30		51
Other	168		119
	$	1,830	$	1,509

Related party payables included amounts primarily due to Inotera under the Inotera Supply Agreement of $139 million and $105 million as of September 1, 2011 and September 2, 2010, respectively, for the purchase of DRAM products. Related party payables as of September 2, 2010 also included $86 million for amounts due for the purchase of memory products under a supply agreement with the Hynix JV, a subsidiary of Hynix Semiconductor Inc. in which we previously held an equity interest in connection with our acquisition of Numonyx.

As of September 1, 2011 and September 2, 2010, other accounts payable and accrued expenses included $17 million and $16 million, respectively, for amounts due to Intel for NAND Flash product design and process development and licensing fees pursuant to cost-sharing agreements. (See "Consolidated Variable Interest Entities" note.)

Debt

12 Months Ended

Sep. 01, 2011

Debt



As of	2011			2010
2014 convertible senior notes, due 2014 at stated rate of 1.875%	$	815		$	1,058
Capital lease obligations, due 2023 at 6.1% and 7.2%, respectively	423			527
2031A convertible senior notes, due 2031 at stated rate of 1.5%	255			—
2031B convertible senior notes, due 2031 at stated rate of 1.875%	234			—
2013 convertible senior notes, due 2013 at stated rate of 4.25%	139			230
2027 convertible senior notes, due 2027 at stated rate of 1.875%	135			—
TECH credit facility at effective interest rate of 3.9%	—			348
Mai-Liao Power note at effective interest rate of 12.1%	—			196
Other notes	—			1
	2,001			2,360
Less current portion	(140		)	(712		)
	$	1,861		$	1,648

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 stated separately. 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. Accordingly, the debt and equity components are required to be stated separately for the following notes:


•	1.875% Convertible Senior Notes due 2014 (the "2014 Notes")


•	1.5% Convertible Senior Notes due 2031 (the "2031A Notes")


•	1.875% Convertible Senior Notes due 2031 (the "2031B Notes" and together with the 2031A Notes, the "2031 Notes")


•	1.875% Convertible Senior Notes due 2027 (the "2027 Notes")

The debt and equity components of our 4.25% Convertible Senior Notes due 2013 (the "2013 Notes") are not required to be stated separately as they must be settled in shares of our common stock upon conversion. Information related to our convertible notes with debt and equity components is as follows:



As of 2011	2014 Notes			2031A Notes			2031B Notes			2027 Notes
Outstanding principal	$	949		$	345		$	345		$	175
Unamortized discount	(134		)	(90		)	(111		)	(40		)
Net carrying amount of debt	815			255			234			135
Carrying amount of equity component	368			89			109			40
Remaining discount amortization period (in years)	2.8			6.9			8.9			5.8

As of September 2, 2010, the 2014 Notes had $1,300 million of outstanding principal and $1,058 million of net carrying value (net of unamortized discount of $242 million).

Information related to interest rates and expense of our convertible notes with debt and equity components is as follows:



For the year ended 2011	2014 Notes			2031A Notes			2031B Notes			2027 Notes
Effective interest rate	7.9		%	6.5		%	7.0		%	6.9		%
Interest cost related to contractual interest rate	$	19		$	1		$	1		$	3
Interest costs related to amortization of discount and issuance costs	46			1			1			5

Interest expense for 2010 included $24 million for the contractual interest rate and $56 million from the amortization of discount and issuance costs from the 2014 Notes and interest expense for 2009 included $25 million for the contractual interest rate and $52 million from the amortization of discount and issuance costs from the 2014 Notes.

Debt Restructure

On November 3, 2010, we completed the following series of debt restructure transactions in connection with separate privately negotiated agreements entered into on October 28, 2010 with certain holders of our convertible notes:


•	Exchanged $175 million in aggregate principal amount of our 2014 Notes for $175 million in aggregate principal amount of the 2027 Notes (the "Exchange Transaction").


•	Repurchased $176 million in aggregate principal amount of our 2014 Notes for $171 million in cash (the "Partial Repurchase of 2014 Notes").


•	Repurchased $91 million in aggregate principal amount of our 2013 Notes for $166 million in cash (the "Partial Repurchase of 2013 Notes").

Exchange Transaction: In the Exchange Transaction, $175 million in aggregate principal amount of our 2014 Notes was extinguished. The extinguishment resulted in the derecognition of $144 million in debt for the principal of the 2014 Notes (net of $31 million of debt discount) and $13 million of additional capital. We recognized a loss of $15 million on the exchange based on the estimated $157 million fair value of the debt component of the 2014 Notes exchanged and their $142 million carrying value (net of unamortized issuance costs).

Partial Repurchase of the 2014 Notes: Because the liability and equity components of the 2014 Notes were stated separately, the repurchase of $176 million aggregate principal amount resulted in the derecognition of $144 million in debt (net of $32 million of debt discount) and $13 million of additional capital. We recognized a loss of $17 million (including transaction fees) on the repurchase based on the estimated $158 million fair value of the debt components of the 2014 Notes repurchased. The fair value of the debt component of the 2014 Notes was estimated using an interest rate for nonconvertible debt, with terms similar to the debt component of the 2014 Notes on a standalone basis, issued by entities with credit ratings comparable to ours at the exchange date (Level 2).

Partial Repurchase of the 2013 Notes: We recognized a loss of $79 million (including transaction fees) in the repurchase of the 2013 Notes.

2014 Notes

In May 2007, we issued $1.3 billion of the 2014 Notes, of which $351 million was extinguished on November 3, 2010 in connection with the Exchange Transaction and Partial Repurchase of the 2014 Notes. 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.

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.

Upon conversion, we will have the right to deliver shares of our common stock, cash or a combination of cash and shares of common stock.

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 100% of 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 100% of the principal amount, plus accrued and unpaid interest, if any.

Capital Lease Obligations

We have various capital lease obligations due in periodic installments through February 2023 at weighted-average effective interest rates of 6.1% as of 2011 and 7.2% as of 2010.

In 2011, we received $268 million in proceeds from sales-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.

In 2010, we recorded $121 million in capital lease obligations with a weighted-average effective interest rate of 9.5%, payable in periodic installments through December 2020.

2031A and 2031B Notes

On July 26, 2011, we issued $345 million of the 2031A Notes and $345 million of 2031B Notes, each due August 1, 2031. Issuance costs for the 2031 Notes totaled $18 million. 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.

Upon the issuance of the 2031 Notes, we recorded $487 million of debt, $198 million of additional capital and $13 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 ($91 million for the 2031A Notes and $112 million for the 2031B Notes) is being accreted to principal through interest expense through August 2018 for the 2013A Notes and August 2020 for the 2031B Notes, the expected life of the notes.

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 settlement terms upon conversion of the 2031 Notes, 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 make a "make-whole premium" payment 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.

2013 Notes

In April 2009, we issued $230 million of the 2013 Notes and in connection with Partial Repurchase of 2013 Notes, repurchased $91 million of aggregate principal balance on November 3, 2010. The initial conversion rate is 196.7052 shares of common stock per $1,000 principal amount or approximately $5.08 per share, and is subject to adjustment upon the occurrence of certain events specified in the indenture.

Conversion Rights: The 2013 Notes may by converted by their holders at any time prior to October 15, 2013.

Cash Redemption at Our Option: We may redeem for cash the 2013 Notes on or after April 20, 2012 if the closing price of our common stock has been at least 135% of the conversion price (approximately $6.86 per share) for at least 20 trading days during a 30 consecutive trading-day period. The redemption price will equal the principal amount and accrued and unpaid interest plus a make-whole premium equal to the present value of the remaining interest payments from the redemption date to the date of maturity.

Cash Repurchase at the Option of the Holder: Upon a change in control or a termination of trading, as defined in the indenture, we may be required to repurchase for cash all or a portion of the 2013 Notes at a repurchase price equal to 100% of the principal plus any accrued and unpaid interest to, but excluding, the repurchase date.

2027 Notes

In connection with the Exchange Transaction on November 3, 2010, we issued $175 million of 2027 Notes. 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.

Upon the issuance of the 2027 Notes, we recorded $130 million of debt, $40 million of additional capital and $2 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 $45 million difference between the debt recorded at inception and its principal amount will be accreted to principal through interest expense to June 2017, the expected life of the 2027 Notes. The fair value of the 2027 Notes was based on the trading price on the exchange date (Level 1).

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.

TECH Credit Facility

In the third quarter of 2011, we repaid the remaining $250 million outstanding principal balance of the TECH credit facility, plus accrued interest, that was due in periodic payments through May 2012. In connection therewith, $60 million of cash that was previously restricted was released to us. (See "TECH Semiconductor Singapore Pte. Ltd." note.)

Maturities of Notes Payable and Future Minimum Lease Payments

As of September 1, 2011, maturities of notes payable and future minimum lease payments under capital lease obligations were as follows:



	Notes Payable			Capital Lease Obligations
2012	$	—		$	151
2013	—			80
2014	1,088			78
2015	—			73
2016	—			45
2017 and thereafter	865			71
Discounts and interest, respectively	(375		)	(75		)
	$	1,578		$	423

Debt Guarantee

Concurrent with the Numonyx acquisition, we entered into agreements with STMicroelectronics N.V. and DBS Bank Ltd. ("DBS") that required us to guarantee a then outstanding loan, made by DBS to Hynix-Numonyx Semiconductor Ltd. (the "Hynix JV"). The outstanding balance of the Hynix JV loan was $250 million as of the acquisition date and was due in periodic installments from calendar 2014 through 2016. Under the agreements, we deposited $250 million, accounted for as restricted cash, into a pledged account at DBS to collateralize the guarantee of the loan. In the third quarter of 2011, the Hynix JV repaid the $250 million outstanding principal balance of the loan before the scheduled due dates, and accordingly, our obligation to guarantee the debt ceased and the $250 million restricted cash collateral was released to us. We recognized a gain of $15 million in the third quarter of 2011 in other non-operating income (expense) for the termination of our debt guarantee obligation.

Commitments

12 Months Ended

Sep. 01, 2011

Commitments Disclosure [Text Block]

Commitments

As of September 1, 2011, we had commitments of approximately $600 million for the acquisition of property, plant and equipment. We lease certain facilities and equipment under operating leases. Total rental expense was $69 million, $41 million and $28 million for 2011, 2010 and 2009, respectively. We also subleased certain facilities and buildings under operating leases to Aptina and recognized $7 million of rental income in 2011. As of September 1, 2011, minimum future rental commitments are as follows:



	Operating Lease Commitments
2012	$	32
2013	26
2014	16
2015	9
2016	8
2017 and thereafter	25
	$	116

Contingencies	12 Months Ended
Contingencies	Sep. 01, 2011
Notes to Financial Statements [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. 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. We are involved in the following antitrust, patent and securities matters. Antitrust Matters On May 5, 2004, Rambus, Inc. ("Rambus") filed a complaint in the Superior Court of the State of California (San Francisco County) against us and other DRAM suppliers alleging that the defendants harmed Rambus by engaging in concerted and unlawful efforts affecting Rambus DRAM ("RDRAM") by eliminating competition and stifling innovation in the market for computer memory technology and computer memory chips. Rambus' complaint alleges 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 is seeking 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. At the time of this filing, a jury verdict is pending. We cannot predict when a verdict will be reached or when a formal judgment would be entered by the Court subsequent to a verdict. In the event of an adverse judgment, we would anticipate filing appropriate post-judgment motions and appeals. We may be required to post a bond or other security to stay enforcement of an adverse judgment pending appeal. Depending on the amount required, we cannot assure you we would be able to obtain sufficient security to pursue an appeal. We are unable to predict the outcome of this lawsuit and therefore cannot determine the likelihood of loss nor estimate a range of possible loss. Accordingly, we have not provided an accrual for an adverse judgment in the September 1, 2011, financial statements. However, we have accrued a liability and charged operations for estimated costs to successfully defend the matter. An adverse judgment may have a material impact on our business, results of operations and financial condition, including liquidity. 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 price-fixing in violation of federal and state antitrust laws, violations of 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 a total of approximately $67 million in three equal installments over a two-year period. 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. 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 the denial of class certification and remanded the case for further proceedings. The appeal of the Quebec case is still pending. In February and March 2007, All American Semiconductor, Inc., Jaco Electronics, Inc., and the DRAM Claims Liquidation Trust each filed suit against us and other DRAM suppliers in the U.S. District Court for the Northern District of California after opting-out of a direct purchaser class action suit that was settled. The complaints allege, among other things, violations of federal and state antitrust and competition laws in the DRAM industry, and seek joint and several damages, trebled, as well as restitution, attorneys' fees, costs and injunctive relief. On July 11, 2011, we made a collective payment to the three plaintiffs to settle all claims of an amount that was not significant to 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 alleges DRAM price-fixing 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 is seeking joint and several damages, trebled, as well as restitution, disgorgement, attorneys' fees, costs and injunctive relief. We are unable to predict the outcome of these lawsuits and therefore cannot estimate the range of possible loss, except as noted in the U.S. indirect purchasers cases 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. 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. In this regard, we are engaged in litigation with 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 or that such 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. The Northern District of California Court stayed a trial of the patent phase of the Northern District of California case upon appeal of the spoliation issue to the Federal Circuit. On March 6, 2009, Panavision Imaging, LLC filed suit against us and Aptina Imaging Corporation, then a wholly-owned subsidiary ("Aptina"), 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 Imaging 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. A hearing on motions for summary judgment regarding infringement and validity is scheduled for April 2, 2012. 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 Company DRAM and image sensor products infringe two U.S. patents. 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 against the Company and seven other defendants. The complaint alleges that certain Company DRAM products infringe a single U.S. patent. 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 the Company and Winbond Electronics Corporation of America. The complaint alleges that certain NOR Flash products infringe a single U.S. patent. Among other things, the above lawsuits pertain to certain of our SDRAM, DDR SDRAM, DDR2 SDRAM, DDR3 SDRAM, RLDRAM, 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. 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. Securities Matters On February 24, 2006, a putative class action complaint was filed against us and certain of our officers in the U.S. District Court for the District of Idaho alleging claims under Section 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 promulgated thereunder. Four substantially similar complaints subsequently were filed in the same Court. The cases purport to be brought on behalf of a class of purchasers of our stock during the period February 24, 2001 to February 13, 2003. The five lawsuits have been consolidated and a consolidated amended class action complaint was filed on July 24, 2006. The complaint generally alleges violations of federal securities laws based on, among other things, claimed misstatements or omissions regarding alleged illegal price-fixing conduct. The complaint seeks unspecified damages, interest, attorneys' fees, costs, and expenses. On December 19, 2007, the Court issued an order certifying the class but reducing the class period to purchasers of our stock during the period from February 24, 2001 to September 18, 2002. On August 24, 2010, we executed a settlement agreement resolving these purported class-action cases. Subject to certain conditions, including final court approval of the class settlement, we agreed to pay $6 million as our contribution to the settlement. On April 28, 2011, the Court entered final approval of the class settlement. 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 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 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 hearing is scheduled to begin on November 9, 2011. 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.

Shareholders' Equity

12 Months Ended

Sep. 01, 2011

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.

Issuance of Restricted Shares For Acquisition of Numonyx

On May 7, 2010 in connection with the acquisition of Numonyx, we issued 137.7 million shares of our common stock to Intel, STMicroelectronics N.V. and Redwood Blocker S.a.r.l. and issued 4.8 million restricted stock units. The shares of common stock issued were restricted from sale until November 6, 2010. In addition, 21.0 million of the shares of stock issued were placed in escrow as partial security for Numonyx shareholders' indemnity obligations. During 2011, the Numonyx shareholders sold all of the 21.0 million shares in escrow. Of the restricted stock units issued, 1.6 million were vested as of the time of issuance. (See "Numonyx" note.)

Issuance of Common Stock

On April 15, 2009, we issued 69.3 million shares of common stock for $4.15 per share in a public offering. We received net proceeds of $276 million, net of underwriting fees and other offering costs of $12 million.

Capped Call Transactions

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, have 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. The 2011 Capped Calls are considered capital transactions and the related cost was recorded as a charge 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. The 2009 Capped Calls are intended to reduce the potential dilution upon conversion of the 2013 Notes. Settlement of the 2009 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 $5.08 to a maximum of $70 million if the market price of our common stock exceeds $6.64 per share. We paid $25 million to purchase the 2009 Capped Calls. The 2009 Capped Calls are considered capital transactions and the related cost was recorded as a charge to additional capital.

Concurrent with the offering of the 2014 Notes in May 2007, we entered into three capped call transactions (the "2007 Capped Calls") that have an initial strike price of approximately $14.23 per share, subject to certain adjustments, which was set to equal the initial conversion price of the 2014 Notes. The 2007 Capped Calls are in three equal tranches, have cap prices of $17.25, $20.13 and $23.00 per share, and cover, subject to anti-dilution adjustments similar to those contained in the 2014 Notes, an approximate combined total of 91.3 million shares of common stock. The 2007 Capped Calls expire on various dates between November 2011 and December 2012. The 2007 Capped Calls are intended to reduce the potential dilution upon conversion of the 2014 Notes. Settlement of the 2007 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 $14.23 to a maximum of $538 million. We paid $151 million to purchase the 2007 Capped Calls. The 2007 Capped Calls are considered capital transactions and the related cost was recorded as a charge to additional capital.

Accumulated Other Comprehensive Income (Loss)

Accumulated other comprehensive income (loss), net of tax, consisted of the following as of the end of the periods shown below:



	2011			2010
Accumulated translation adjustment, net	$	65		$	2
Gain (loss) on derivatives, net	43			1
Gain (loss) on investments, net	25			14
Unrecognized pension liability	(1		)	(6		)
Accumulated other comprehensive income (loss)	$	132		$	11

Derivative Financial Instruments

12 Months Ended

Sep. 01, 2011

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, Singapore dollar and yen. We are also exposed to currency exchange rate risk for capital expenditures, primarily denominated in the euro and yen. 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 capital expenditures, our primary objective in entering into currency derivatives is to reduce the volatility that changes in currency exchange rates have on future cash flows.

Our derivatives consist primarily of currency forward contracts. The derivatives expose us to credit risk to the extent the counterparties may be unable to meet the terms of the derivative instrument. Our maximum exposure to loss due to credit risk that we would incur if parties to forward contracts failed completely to perform according to the terms of the contracts was equal to our carrying value of the forward contracts as of September 1, 2011, as listed in the tables below under fair values. 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. 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 bid prices of dealers or exchange quotations (referred to as Level 2). Realized and unrealized currency gains and losses on derivative instruments and the underlying monetary assets and liabilities are included in other operating income (expense). Total gross notional amounts and fair values for currency derivatives without hedge accounting designation were as follows:



	Notional Amount⁽¹⁾		Fair Value
Currency	(in U.S. Dollars)		Asset⁽²⁾		(Liability)⁽³⁾
As of September 1, 2011:
Euro	$	301	$	3	$	—
Singapore dollar	210		—		—
Yen	165		3		—
Other	148		—		(2		)
	$	824	$	6	$	(2	)

As of September 2, 2010:
Euro	$	260	$	—	$	(5	)
Singapore dollar	157		—		—
Yen	104		1		—
	$	521	$	1	$	(5	)


⁽¹⁾	Represents the face value of outstanding contracts


⁽²⁾	Included in other receivables


⁽³⁾	Included in other accounts payable and accrued expenses

For currency forward contracts without hedge accounting designation, we recognized 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 to hedge the exposure of changes in cash flows from changes in currency exchange rates for certain forecasted capital expenditures. 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). For those 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) in shareholders' equity. The amounts in the accumulated other comprehensive income (loss) for those cash flow hedges are reclassified into earnings in the same line items of the consolidated statements of operations and in the same periods in which the underlying transactions affect earnings. The ineffective or excluded portion of the realized and unrealized gain or loss was 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⁽¹⁾		Fair Value
Currency	(in U.S. Dollars)		Asset⁽²⁾		(Liability)⁽³⁾
As of September 1, 2011:
Euro	$	232	$	8	—
Yen	19		1		—
	$	251	$	9	—
As of September 2, 2010:
Euro	$	196	$	1	—
Yen	81		1		—
	$	277	$	2	—


⁽¹⁾	Represents the face value of outstanding contracts


⁽²⁾	Included in other receivables


⁽³⁾	Included in other accounts payable and accrued expenses

For 2011, we recognized $49 million of net derivative gains in other comprehensive income 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 material in 2011. Amounts in accumulated other comprehensive income are amortized to manufacturing cost over the useful life of the underlying hedged equipment and reclassified to earnings when inventory is sold.

Fair Value Measurements

12 Months Ended

Sep. 01, 2011

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), observable 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

Assets measured at fair value on a recurring basis were as follows:



	2011								2010
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Money market⁽¹⁾	$	1,462	—		—		$	1,462	$	2,170	—		—		$	2,170
Certificates of deposit⁽²⁾	—		155		—		155		—		705		—		705
Marketable equity investments⁽³⁾	37		15		—		52		19		—		—		19
Assets held for sale⁽³⁾	—		—		35		35		—		—		56		56
	$	1,499	$	170	$	35	$	1,704	$	2,189	$	705	$	56	$	2,950


⁽¹⁾	Included in cashand equivalents.


⁽²⁾	Amounts as of September 1, 2011 were included in cash and equivalents. As of September 2, 2010, $371 million was included in cashand equivalents and $334 million was included in restricted cash.


⁽³⁾	Included in other noncurrent assets.

Certificates of deposit: Certificates of deposit assets were valued using observable inputs in active markets for similar assets (Level 2).

Marketable equity investments: All marketable equity investments were classified as available-for-sale. As of September 1, 2011, accumulated other comprehensive income included gross gains of $32 million and gross losses of $7 million from our available-for-sale securities. As of September 1, 2011, available-for-sale securities with a fair value of $15 million had unrealized losses of $7 million and been unrealized for less than three months. Gross realized gains and gross realized losses on sales of our marketable equity investments were not material for 2011, 2010 or 2009. Marketable equity investments as of September 1, 2011 included approximately 20 million ordinary shares of Tower received in connection with our sale of the Japan Fab, which were valued using quoted market prices in an active market and discounted using a protective put model for our resale restriction (Level 2).

Assets held for sale: Assets held for sale primarily included semiconductor equipment and facilities. Fair value for semiconductor equipment is based on quotations obtained from equipment dealers, which consider the remaining useful life and configuration of the equipment, and fair value of facilities is determined based on sales of similar facilities and properties in comparable markets (Level 3). Losses recognized in 2011 and 2010 due to fair value measurements using Level 3 inputs were not material.

Fair Value Measurements on a Nonrecurring Basis

We hold strategic investments in equity securities which are accounted for under the cost method. As of September 1, 2011, the aggregate carrying amount of all cost method investments was $12 million.

Fair Value of Financial Instruments

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



	2011				2010
	Fair Value		Carrying Value		Fair Value		Carrying Value
Convertible debt instruments (Level 1)	$	1,216	$	1,049	$	1,494	$	1,288
Convertible debt instruments (Level 2)	629		529		—		—
Other debt instruments	436		423		1,071		1,072

The fair value of our Level 1 convertible debt instruments was based on quoted market prices in active markets. The fair value of our Level 2 convertible debt instruments was determined based on observable inputs of quoted market prices in markets with insufficient activity to be considered active and market prices for our stock. 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 yield curves of similar debt issued by parties with credit ratings similar to ours (Level 2). Amounts reported as cash and equivalents, receivables, and accounts payable and accrued expenses approximate fair value.

Equity Plans

12 Months Ended

Sep. 01, 2011

Equity Plans

As of September 1, 2011, we had an aggregate of 177.9 million shares of common stock reserved for issuance of stock options and restricted stock awards, of which 108.1 million shares were subject to outstanding awards and 69.8 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 2011 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 2, 2010	116.3		$	12.79
Granted	15.3		9.05
Exercised	(6.1	)	4.61
Cancelled or expired	(26.2	)	19.07
Outstanding at September 1, 2011	99.3		11.06		2.6	$	41

Exercisable at September 1, 2011	61.8		$	13.53	1.5	$	15
Expected to vest after September 1, 2011	36.5		6.92		4.3	26

The following table summarizes information about options outstanding as of September 1, 2011:



	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
$ 1.56 - $ 6.86	19.5	3.1	$	3.72	8.2	$	4.06
7.01 - 9.97	28.6	4.7	8.31		3.8	7.82
10.00 - 12.93	23.7	1.9	12.24		22.3	12.36
13.00 - 19.61	14.7	1.0	14.86		14.7	14.86
20.98 - 39.50	12.8	0.1	21.81		12.8	21.81
	99.3	2.6	11.06		61.8	13.53

The weighted-average grant-date fair value per share was $4.46, $4.13 and $1.71 for options granted during 2011, 2010 and 2009, respectively. The total intrinsic value was $35 million, $13 million, and de minimis for options exercised during 2011, 2010 and 2009, respectively.

As of September 1, 2011, $96 million of total unrecognized compensation cost related to nonvested awards was expected to be recognized through the fourth quarter of 2015, resulting in a weighted-average period of 1.3 years. As of September 1, 2011, nonvested options had a weighted-average exercise price of $6.99, a weighted-average remaining contractual life of 4.3 years and an aggregate intrinsic value of $26 million.

The fair values of option awards were estimated as of the dates of grant 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 the time of the grant. No dividends were assumed in estimated option values. Assumptions used in the Black-Scholes model are presented below:



	2011		2010		2009
Average expected life in years	5.1		5.1		4.9
Weighted-average expected volatility	56	%	60	%	73	%
Weighted-average risk-free interest rate	1.8	%	2.3	%	1.9	%

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

As of September 1, 2011, there were 8.8 million shares of Restricted Stock Awards outstanding, of which 1.2 million were performance-based Restricted Stock Awards. For service-based Restricted Stock Awards, restrictions generally lapse either in one-fourth or one-third 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 2011 is summarized as follows:



	Number of Shares		Weighted-Average Grant Date Fair Value Per Share
Outstanding at September 2, 2010	8.6		$	7.89
Granted	5.6		8.72
Restrictions lapsed	(5.0	)	8.26
Cancelled	(0.4	)	8.85
Outstanding at September 1, 2011	8.8		8.17

Expected to vest after September 1, 2011	8.5		8.13

Restricted Stock Awards granted for 2011, 2010 and 2009 were as follows:



	2011		2010		2009
Service-based awards	4.4		5.9		1.9
Performance-based awards	1.2		1.8		1.7
Weighted-average grant-date fair values per share	$	8.72	$	8.29	$	4.40

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 2011, 2010 and 2009 was $43 million, $65 million and $8 million, respectively. As of September 1, 2011, there was $48 million of total unrecognized compensation cost, net of estimated forfeitures, related to nonvested restricted stock awards, which is expected to be recognized through the fourth quarter of 2015, resulting in a weighted-average period of 1.3 years.

Stock-based Compensation Expense

Total compensation costs for our equity plans were as follows:



	2011		2010		2009
Stock-based compensation expense by caption:
Cost of goods sold	$	20	$	23	$	16
Selling, general and administrative	38		50		16
Research and development	17		18		13
Other operating (income) expense	1		2		(1		)
	$	76	$	93	$	44

Stock-based compensation expense by type of award:
Stock options	$	44	$	37	$	29
Restricted stock awards	32		56		15
	$	76	$	93	$	44

Stock-based compensation expense of $5 million and $4 million was capitalized and remained in inventory as of September 1, 2011 and September 2, 2010, respectively. As of September 1, 2011, $144 million of total unrecognized compensation costs, net of estimated forfeitures, related to non-vested awards were expected to be recognized through the fourth quarter of 2015, resulting in a weighted-average period of 1.3 years. During 2010, we determined that certain performance-based restricted stock that previously had not been expensed met the probability threshold for expense recognition due to improved operating results. 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.)

Employee Benefit Plans	12 Months Ended
Employee Benefit Plans	Sep. 01, 2011
Notes to Financial Statements [Abstract]
Pension and Other Postretirement Benefits Disclosure [Text Block]	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. Prior to the suspension of our match in 2009, we matched in cash eligible contributions from employees up to 4% of the employee’s annual eligible earnings or $2,000, whichever was greater. Contribution expense for the RAM Plans was $26 million and $16 million in 2011 and 2009, 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.

Other Operating (Income) Expense, Net

12 Months Ended

Sep. 01, 2011

Other Operating (Income) Expense, Net

Other operating (income) expense consisted of the following:



	2011			2010			2009
Samsung patent cross-license agreement	$	(275	)	$	—		$	—
Gain from disposition of Japan Fab	(54		)	—			—
Restructure	(21		)	(10		)	70
(Gain) loss on disposition of property, plant and equipment	(17		)	(1		)	54
(Gain) loss from changes in currency exchange rates	6			23			30
Goodwill impairment	—			—			58
Other	(19		)	(39		)	23
	$	(380	)	$	(27	)	$	235

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.

In the second quarter of 2009, our imaging operations (the primary component of All Other segment) experienced a severe decline in sales, margins and profitability due to a significant decline in demand as a result of the downturn in global economic conditions. The drop in market demand resulted in significant declines in average selling prices and unit sales. Due to these market and economic conditions, our imaging operations experienced a significant decline in market value. Accordingly, in the second quarter of 2009, we performed an assessment of our imaging operations goodwill for impairment. Based on this assessment, we wrote off all of the $58 million of goodwill associated with our imaging operations as of March 5, 2009.

In response to a severe downturn in the semiconductor memory industry and global economic conditions, we initiated a restructure plan in 2009. In the first quarter of 2009, IM Flash, our joint venture and Intel, terminated an agreement to obtain NAND Flash memory supply from our Boise facility. In connection therewith, Intel paid us $208 million in 2009. In addition, we phased out all remaining 200mm DRAM wafer manufacturing operations in Boise, Idaho in the second half of 2009. As a result of these restructure plans, we reduced employment in 2009 by approximately 4,600 employees, or approximately 20%. As of September 2, 2010, all amounts related to the restructure plan initiated in 2009 had been paid.

Other Non-Operating Income (Expense), Net	12 Months Ended
Other Non-Operating Income (Expense), Net	Sep. 01, 2011
Notes to Financial Statements [Abstract]
Other Non-Operating Income Expense, Net [Text Block]	Other Non-Operating Income (Expense), Net Other non-operating income (expense), net for 2011, included $113 million for losses recognized in connection with the Exchange Transaction, the Partial Repurchase of the 2014 Notes and the Partial Repurchase of the 2013 Notes. (See "Debt" note.) Other non-operating income (expense), net 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 and MeiYa DRAM joint ventures with Nanya" note.)

Income Taxes

12 Months Ended

Sep. 01, 2011

Income Taxes

Income (loss) before taxes, net (income) loss attributable to noncontrolling interests and equity in net income (loss) of equity method investees and income tax (provision) benefit consisted of the following:



	2011			2010			2009
Income (loss) before taxes, net (income) loss attributable to noncontrolling interests and equity in net income (loss) of equity method investees:
Foreign	$	294		$	537		$	(427	)
U.S.	257			1,383			(1,425		)
	$	551		$	1,920		$	(1,852	)
Income tax (provision) benefit:
Current:
Foreign	$	(89	)	$	(24	)	$	(12	)
State	(1		)	(4		)	—
U.S. federal	—			66			12
	(90		)	38			—
Deferred:
Foreign	(113		)	(14		)	(1		)
U.S. federal	—			(5		)	—
	(113		)	(19		)	(1		)
Income tax (provision) benefit	$	(203	)	$	19		$	(1	)

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



	2011			2010			2009
U.S. federal income tax (provision) benefit at statutory rate	$	(193	)	$	(672	)	$	648
Foreign operations	(119		)	135			(135		)
Debt repurchase premium	(20		)	—			—
State taxes, net of federal benefit	(5		)	(22		)	39
Change in valuation allowance	103			424			(572		)
Tax credits	17			3			18
Gain on acquisition of Numonyx	—			153			—
Other	14			(2		)	1
Income tax (provision) benefit	$	(203	)	$	19		$	(1	)

State taxes reflect tax credits of $10 million, $6 million and $7 million for 2011, 2010 and 2009, respectively.

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:



	2011			2010
Deferred tax assets:
Net operating loss and credit carryforwards	$	1,581		$	1,336
Inventories	159			354
Accrued salaries, wages and benefits	99			124
Deferred income	55			92
Basis differences in investments in joint ventures	21			71
Property, plant and equipment	—			36
Other	50			55
Gross deferred tax assets	1,965			2,068
Less valuation allowance	(1,446		)	(1,627		)
Deferred tax assets, net of valuation allowance	519			441

Deferred tax liabilities:
Debt discount	(138		)	(92		)
Unremitted earnings on certain subsidiaries	(117		)	(97		)
Property, plant and equipment	(107		)	—
Product and process technology	(50		)	(45		)
Intangible assets	(24		)	(33		)
Other	(13		)	(6		)
Deferred tax liabilities	(449		)	(273		)

Net deferred tax assets	$	70		$	168

Reported as:
Current deferred tax assets (included in other current assets)	$	26		$	39
Noncurrent deferred tax assets (included in other noncurrent assets)	60			145
Noncurrent deferred tax liabilities (included in other noncurrent liabilities)	(16		)	(16		)
Net deferred tax assets	$	70		$	168

We have a valuation allowance against substantially all U.S. net deferred tax assets. As of September 1, 2011, our federal, state and foreign net operating loss carryforwards were $2.9 billion, $2 billion and $529 million, respectively. If not utilized, substantially all of our federal and state net operating loss carryforwards will expire in 2022 to 2031 and the foreign net operating loss carryforwards will begin to expire in 2015. As of September 1, 2011, our federal and state tax credit carryforwards were $206 million and $215 million, respectively. If not utilized, substantially all of our federal and state tax credit carryforwards will expire in 2013 to 2031. 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 $(181) million and $(379) million in 2011 and 2010, respectively, are primarily due to utilization of U.S. net operating losses and certain tax credit carryforwards. The decrease in the valuation allowance in 2010 was offset with an increase in the valuation allowance of $64 million related to deferred tax assets of Numonyx consisting primarily of net operating losses in foreign jurisdictions.

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 $631 million as of September 1, 2011 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:



	2011			2010			2009
Beginning unrecognized tax benefits	$	88		$	1		$	1
Increases related to tax positions taken during current year	28			11			—
Foreign currency translation increases (decreases) to tax positions	6			—			—
Increases related to tax positions from prior years	4			14			—
Decreases related to tax positions from prior years	(3		)	—			—
Settlements with tax authorities	(2		)	(1		)	—
Unrecognized tax benefits acquired in current year	—			63			—
Expiration of foreign statutes of limitations	—			—			(1		)
Other	—			—			1
Ending unrecognized tax benefits	$	121		$	88		$	1

Included in the unrecognized tax benefits balance as of September 1, 2011, September 2, 2010 and September 3, 2009 were $113 million, $87 million, and $1 million, respectively, of unrecognized income tax benefits, which if recognized, would affect our effective tax rate. In connection with the acquisition of Numonyx in fiscal 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 September 1, 2011 and September 2, 2010, accrued interest and penalties related to uncertain tax positions was $16 million and $6 million.

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 material.

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 2011 and 2010 by approximately $72 million (approximately $0.07 per diluted share) and approximately $69 million (approximately $0.07 per diluted share), respectively.

We and our subsidiaries file income tax returns with the United States 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 2006 through 2011. In addition, tax years open to examination in multiple foreign taxing jurisdictions range from 2004 to 2011. 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 adversely impact our financial condition.

Earnings Per Share

12 Months Ended

Sep. 01, 2011

Earnings Per Share



	2011		2010		2009
Net income (loss) available to Micron shareholders – Basic	$	167	$	1,850	$	(1,882	)
Net effect of assumed conversion of debt	—		93		—
Net income (loss) available to Micron shareholders – Diluted	$	167	$	1,943	$	(1,882	)

Weighted-average common shares outstanding – Basic	988.0		887.5		800.7
Net effect of dilutive equity awards, escrow shares and assumed conversion of debt	19.5		163.2		—
Weighted-average common shares outstanding – Diluted	1,007.5		1,050.7		800.7

Earnings (loss) per share:
Basic	$	0.17	$	2.09	$	(2.35	)
Diluted	0.17		1.85		(2.35		)

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:



	2011	2010	2009
Employee stock plans	81.4	92.2	126.0
Convertible notes	182.7	—	142.8

Our 2027 Notes and 2031 Notes contain terms that on conversion require us to settle the aggregate principal amount of the notes in cash and the remainder of our conversion obligation amount in either shares of our common stock or cash, at our election. As a result of these terms, the 88.7 million underlying shares for these convertible notes as of September 1, 2011 are considered in diluted earnings per share under the treasury stock method. (See "Debt" note.)

Consolidated Variable Interest Entities

12 Months Ended

Sep. 01, 2011

Consolidated Variable Interest Entities

NAND Flash Joint Ventures with Intel ("IM Flash")

We have two joint ventures with Intel: IMFT, formed in 2006 and IMFS, formed in 2007, to manufacture NAND Flash memory products for the exclusive benefit of the partners. IMFT and IMFS are each governed by a Board of Managers, the number of which adjusts depending on the parties' respective ownership interests. We and Intel initially appointed an equal number of managers to each of the boards. These joint venture arrangements extend through 2016 but are subject to prior termination under certain terms and conditions. IMFT and IMFS are aggregated as IM Flash in the following disclosure due to the similarity of their function, operations and the way our management reviews the results of their operations. The partners' ownership percentages are based on contributions to the partnership. As of September 1, 2011, we owned 51% and Intel owned 49% of IMFT and we owned 86% and Intel owned 14% of IMFS. In September 2011, subsequent to the end of our 2011, we contributed $103 million and Intel contributed $131 million to IMFS, decreasing our ownership interest in IMFS to 82%.

Although our ownership interest in IMFS changes at the time we make contributions, our share of the operating costs and supply from IMFS adjusts in proportion to changes in our ownership share either 12 months or 8 months (depending on the status of IMFS' production ramp) from the date of the applicable ownership change. Accordingly, we anticipate that our share of IMFS costs and supply will increase from 57% as of September 1, 2011 to our current ownership interest in IMFS over 2012. Changes in IMFS ownership interests do not affect our NAND Flash R&D cost-sharing agreement with Intel.

The following table presents IM Flash's distributions to and contributions from its shareholders:



For the year ended	2011		2010		2009
IM Flash distributions to Micron	$	234	$	278	$	723
IM Flash distributions to Intel	225		267		695
Micron contributions to IM Flash	1,580		128		25
Intel contributions to IM Flash	—		38		24

IM Flash sells products to the joint venture partners generally in proportion to their ownership interests at long-term negotiated prices approximating cost. IM Flash sales to Intel were $884 million, $764 million and $886 million for 2011, 2010 and 2009, respectively. As of September 1, 2011 and September 2, 2010, IM Flash had receivables of $165 million and $128 million, respectively, from sales of product to Intel.

Total IM Flash assets and liabilities included in our consolidated balance sheets were as follows:



As of	September 1, 2011		September 2, 2010
Assets
Cash and equivalents	$	327	$	246
Receivables	252		154
Inventories	227		160
Other current assets	11		8
Total current assets	817		568
Property, plant and equipment, net	4,121		2,894
Other noncurrent assets	66		57
Total assets	$	5,004	$	3,519

Liabilities
Accounts payable and accrued expenses	$	458	$	140
Deferred income	125		127
Equipment purchase contracts	37		8
Current portion of long-term debt	8		7
Total current liabilities	628		282
Long-term debt	58		62
Other noncurrent liabilities	4		4
Total liabilities	$	690	$	348

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

Our ability to access IM Flash's cash and marketable investment securities to finance our other operations is subject to agreement by the joint venture partners. The creditors of each IM Flash entity have recourse only to the assets of each of the respective IM Flash entities 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 research and development ("R&D") costs equally with Intel. As a result, R&D expenses were reduced by reimbursements from Intel of $95 million, $104 million and $107 million for 2011, 2010 and 2009, respectively.

MP Mask Technology Center, LLC ("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 September 1, 2011, we owned 50.01% and Photronics owned 49.99% of MP Mask. 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. As of September 1, 2011, deferred income and other noncurrent liabilities included an aggregate of $34 million related to this agreement. In 2011, Photronics contributed $8 million and we contributed $9 million to MP Mask. MP mask made distributions to both us and Photronics of $10 million each in 2009. 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	September 1, 2011		September 2, 2010
Current assets	$	24	$	35
Noncurrent assets (primarily property, plant and equipment)	143		85
Current liabilities	31		6

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

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

In May 2009, we leased to Photronics a facility to produce photomasks under an operating lease. The lease provided for quarterly lease payments aggregating $41 million through October 2014. During 2011 and 2010, we received $8 million and $7 million, respectively, in lease payments from Photronics. As of September 1, 2011 and September 2, 2010, the carrying value of this facility was $44 million and $47 million, respectively.

TECH Semiconductor Singapore Pte. Ltd.

12 Months Ended

Sep. 01, 2011

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. The effects of changes in our ownership interest in TECH on total Micron shareholders' equity were as follows:



For the year ended	2011		2010
Net income attributable to Micron	$	167	$	1,850
Transfers from noncontrolling interest that increased additional capital:
Acquisition of noncontrolling interests in TECH	67		10
Change from net income attributable to Micron and transfers from noncontrolling interests	$	234	$	1,860

Segment Information

12 Months Ended

Sep. 01, 2011

Segment Information

In the second quarter of 2011, we reorganized our business to better align with the markets we serve. All prior period amounts have been retrospectively adjusted to reflect this reorganization. Factors used to identify our segments include, among others, products, technologies and customers. Segment information reported herein is consistent with how it is reviewed and evaluated by our chief operating decision makers. After our reorganization, we have the following four reportable segments:

DRAM Solutions Group ("DSG"): Includes DRAM products sold to the PC, consumer electronics, networking and server markets.

NAND Solutions Group ("NSG"): Includes high-volume NAND Flash products sold into data storage, personal music players, and the high-density computing markets, as well as NAND Flash products sold to Intel through our consolidated IM Flash joint ventures.

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. All Other includes our CMOS image sensor, LED, microdisplay and solar operations.

For 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 forecast wafer production. Prior to 2011, operating expenses were allocated to the reportable segments based on their respective percentage of total cost of goods sold, as certain historical forecast data was not available.

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. There are no differences in the accounting policies for segment reporting and our consolidated results of operations.



	2011			2010			2009
Net sales:
DSG	$	3,203		$	4,638		$	2,100
NSG	2,196			2,113			1,747
WSG	1,959			778			247
ESG	1,002			521			178
All Other	428			432			531
	$	8,788		$	8,482		$	4,803

Operating income (loss):
DSG	$	290		$	1,269		$	(902	)
NSG	269			240			(573		)
WSG	20			(23		)	(63		)
ESG	237			152			37
All Other	(61		)	(49		)	(175		)
	$	755		$	1,589		$	(1,676	)

Depreciation and amortization expense was as follows:



	2011		2010		2009
DSG	$	750	$	947	$	979
NSG	513		530		780
WSG	512		212		103
ESG	196		97		47
All Other	130		140		205
Depreciation and amortization expense included in operating income (loss)	2,101		1,926		2,114
Other amortization	61		79		72
Total depreciation and amortization expense	$	2,162	$	2,005	$	2,186

Product Sales

12 Months Ended

Sep. 01, 2011

Disclosure Of Entity Wide Information Revenue From External Customers By Products And Services [Text Block]

Product Sales

Product sales were as follows:



	2011		2010		2009
DRAM	$	3,620	$	5,052	$	2,422
NAND Flash	3,193		2,555		1,857
NOR Flash	1,547		451		—
Other	428		424		524
	$	8,788	$	8,482	$	4,803

Certain Concentrations	12 Months Ended
Certain Concentrations	Sep. 01, 2011
Notes to Financial Statements [Abstract]
Certain Concentrations	Certain Concentrations 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 and for 2009 net sales were approximately 30% computing. Customer concentrations for 2011 net sales were approximately 10% with Intel, for 2010 net sales were 13% with HP and for 2009 net sales were 20% with Intel. Substantially all of our sales to Intel in 2011 and 2009 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 and trade receivables. 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. The 2011 Capped Calls, 2009 Capped Calls and 2007 Capped Calls expose us to credit risk to the extent that the counter parties may be unable to meet the terms of the agreement. We seek to mitigate such risk by limiting our counter parties to major financial institutions and by spreading the risk across several major financial institutions. In addition, the potential risk of loss with any one counter party resulting from this type of credit risk is monitored on an ongoing basis. (See "Shareholders' Equity - Capped Call Transactions" note.)

Geographic Information

12 Months Ended

Sep. 01, 2011

Geographic Information

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



	2011		2010		2009
China	$	2,983	$	3,294	$	1,242
Asia Pacific (excluding China, Taiwan and Malaysia)	1,518		1,090		990
United States	1,363		1,403		928
Europe	924		777		470
Taiwan	744		711		447
Malaysia	737		817		542
Other	519		390		184
	$	8,788	$	8,482	$	4,803

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



	2011		2010		2009
Singapore	$	3,569	$	2,161	$	2,066
United States	3,487		3,925		4,679
Italy	190		173		180
China	179		90		48
Israel	94		111		—
Japan	1		81		112
Other	35		60		4
	$	7,555	$	6,601	$	7,089

Quarterly Financial Information

12 Months Ended

Sep. 01, 2011

Quarterly Financial Information [Text Block]

Quarterly Financial Information (Unaudited)

(in millions except per share amounts)



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 license revenue, net of tax,of $167 million, $33 million and $30 million, respectively, for a life-of-patents license for existing patents and applications, and a 10-year term license for all other patents, from Samsung Electronics, Ltd.

The results of operations in the first quarter of 2011 included a loss of $113 million for a debt restructure transaction.



2010	Fourth Quarter		Third Quarter		Second Quarter		First Quarter
Net sales	$	2,493	$	2,288	$	1,961	$	1,740
Gross margin	781		848		642		443
Operating income	433		540		415		201
Net income	359		960		379		202
Net income attributable to Micron	342		939		365		204

Earnings per share:
Basic	$	0.35	$	1.06	$	0.43	$	0.24
Diluted	0.32		0.92		0.39		0.23

The results of operations for the third quarter of 2010 included a gain of $437 million for the acquisition of Numonyx. (See "Numonyx" note.)

Schedule II Valuation and Qualifying Accounts

12 Months Ended

Sep. 01, 2011

Schedule II Valuation and Qualifying Accounts [Abstract]

Schedule II 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 September 1, 2011	$	4	$	—	$	—		$	(1	)	$	3
Year ended September 2, 2010	5		1		—			(2		)	4
Year ended September 3, 2009	2		—		5			(2		)	5

Deferred Tax Asset Valuation Allowance
Year ended September 1, 2011	$	1,627	$	—	$	(102	)	$	(79	)	$	1,446
Year ended September 2, 2010	2,006		63		(424		)	(18		)	1,627
Year ended September 3, 2009	1,440		—		572			(6		)	2,006

Business and Basis of Presentation (Policies)	12 Months Ended
Business and Basis of Presentation (Policies)	Sep. 01, 2011
Significant Accounting Policies [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, embedded and mobile products. In addition, we manufacture 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 have been made to prior period amounts to conform to current period presentation. Our fiscal year is the 52 or 53-week period ending on the Thursday closest to August 31. Our fiscal 2011 and 2010 contained 52 weeks and our fiscal 2009 contained 53 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 collectibility 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 and DRAM 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 – NAND Flash joint ventures with Intel" 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 is 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.
Financial instruments	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 other noncurrent assets. Securities classified as available-for-sale are stated at market value. 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 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. We use forward contracts not designated as hedging instruments to hedge our balance sheet exposures to fluctuations in currency exchange rates. The gain or loss associated with these contracts is recognized in other income (expense). We use forward contracts designated as cash flow hedges to hedge certain forecasted capital expenditures. The effective portion of the gain or loss on these derivatives is included as a component of other comprehensive income (loss) in shareholders' equity. The amount 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. Forward points are excluded in measuring effectiveness and spot rates are used to value both the hedge contract and the hedged item. Any ineffective or excluded portion of the gain or loss is included in other operating income (expense).
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 categorized as memory (primarily DRAM and NAND Flash and NOR Flash), imaging and microdisplay 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 5 to 30 years for buildings, 2 to 20 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 of, 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 major capital projects. Capitalized interest is added to the cost of the underlying assets and is amortized over the useful lives of the assets. We capitalized interest costs of $12 million, $5 million and $5 million in 2011, 2010 and 2009, respectively.

Variable Interest Entities (Policies)	12 Months Ended
Variable Interest Entities (Policies)	Sep. 01, 2011
Notes to Financial Statements [Abstract]
Variable Interest Entities	We have interests in joint venture entities that are VIEs. If we are the primary beneficiary of the 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. For further information regarding our VIEs that we account for under the equity method, see "Equity Method Investments" note. For further information regarding our consolidated VIEs, see "Consolidated Variable Interest Entities" note.

Numonyx Holdings B.V. (Tables)

12 Months Ended

Sep. 01, 2011

Acquisition of Numonyx Holdings B.V.



	2010		2009
Net sales	$	9,895	$	6,464
Net income (loss)	1,923		(2,230		)
Net income (loss) attributable to Micron	1,873		(2,119		)
Earnings (loss) per share:
Basic	$	1.90	$	(2.31	)
Diluted	1.72		(2.31		)

Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed



Consideration:
Fair value of common stock issued	$	1,091
Fair value of restricted stock units issued	21
	$	1,112
Recognized amounts of identifiable assets acquired and liabilities assumed:
Cash and equivalents	$	95
Receivables	256
Inventories	689
Other current assets	28
Intangible assets	29
Property, plant and equipment	344
Equity method investment	414
Other noncurrent assets	307

Accounts payable and accrued expenses	(310		)
Other current liabilities	(5		)
Other noncurrent liabilities	(298		)
Total net assets acquired	1,549
Gain on acquisition	(437		)
	$	1,112

Receivables (Tables)

12 Months Ended

Sep. 01, 2011

Schedule of Receivables



As of	2011		2010
Trade receivables (net of allowance for doubtful accounts of $3 and $4, respectively)	$	1,105	$	1,238
Income and other taxes	137		115
Related party receivables	72		64
Other	183		114
	$	1,497	$	1,531

Inventories (Tables)

12 Months Ended

Sep. 01, 2011

Schedule Of Inventory



As of	2011		2010
Finished goods	$	596	$	623
Work in process	1,342		1,031
Raw materials and supplies	142		116
	$	2,080	$	1,770

Intangible Assets (Tables)

12 Months Ended

Sep. 01, 2011

Schedule Of Finite Lived Intangible Assets By Major Class



As of	2011					2010
	Gross Amount		Accumulated Amortization			Gross Amount		Accumulated Amortization
Product and process technology	$	571	$	(203	)	$	439	$	(181	)
Customer relationships	127		(82		)	127		(66		)
Other	1		—			23		(19		)
	$	699	$	(285	)	$	589	$	(266	)

PPE (Tables)

12 Months Ended

Sep. 01, 2011

Schedule of Property, Plant and Equipment



As of	2011			2010
Land	$	92		$	95
Buildings (includes $163 and $184, respectively, for capital leases)	4,481			4,394
Equipment (includes $712 and $745, respectively, for capital leases)	14,735			12,970
Construction in progress	155			73
Software	293			281
	19,756			17,813
Accumulated depreciation (includes $430 and $478, respectively, for capital leases)	(12,201		)	(11,212		)
	$	7,555		$	6,601

Equity Method Investments (Tables)

12 Months Ended

Sep. 01, 2011

Equity Method Investments



As of	2011				2010
	Investment Balance		Ownership Percentage		Investment Balance		Ownership Percentage
Inotera	$	388	29.7	%	$	434	29.9	%
MeiYa	1		50.0	%	44		50.0	%
Transform	87		50.0	%	82		50.0	%
Aptina	7		35.0	%	22		35.0	%
	$	483			$	582

Equity Method Investments Share of Earnings (Losses)

Equity in net income (loss) of equity method investees, net of tax, included the following:



For the year ended	2011			2010			2009
Inotera:
Equity method loss	$	(154	)	$	(56	)	$	(166	)
Inotera Amortization	48			55			38
Other	(6		)	(5		)	(2		)
	(112		)	(6		)	(130		)
Transform	(31		)	(12		)	—
Aptina	(15		)	(24		)	—
Hynix JV	—			2			—
MeiYa	—			1			(10		)
	$	(158	)	$	(39	)	$	(140	)

Equity Method Investments Summarized Financial Information

The summarized results of operations in the table below include the operating results of Inotera, Transform and Aptina only for the periods subsequent to our acquisition of our ownership interests.



As of	2011		2010
Current assets	$	942	$	898
Noncurrent assets (primarily property, plant and equipment)	4,189		3,537
Current liabilities	3,201		1,479
Noncurrent liabilities	173		900



For the years ended	2011			2010			2009
Net sales	$	1,839		$	1,927		$	670
Gross margin	(268		)	73			(370		)
Operating loss	(559		)	(181		)	(473		)
Net loss	(594		)	(237		)	(553		)

Equity Method Investments Maximum Exposure To Loss

Our maximum exposure to loss from our ownership in our equity method investments that are VIEs was as follows:



As of	2011
Inotera	$	325
MeiYa	1
Transform	90

Accounts Payable and Accrued Expenses (Tables)

12 Months Ended

Sep. 01, 2011

Accounts Payable And Accrued Liabilities Schedule



As of	2011		2010
Accounts payable	$	1,187	$	799
Salaries, wages and benefits	304		346
Related party payables	141		194
Income and other taxes	30		51
Other	168		119
	$	1,830	$	1,509

Debt (Tables)

12 Months Ended

Sep. 01, 2011

Schedule of convertible debt instruments

Schedule of Debt



As of	2011			2010
2014 convertible senior notes, due 2014 at stated rate of 1.875%	$	815		$	1,058
Capital lease obligations, due 2023 at 6.1% and 7.2%, respectively	423			527
2031A convertible senior notes, due 2031 at stated rate of 1.5%	255			—
2031B convertible senior notes, due 2031 at stated rate of 1.875%	234			—
2013 convertible senior notes, due 2013 at stated rate of 4.25%	139			230
2027 convertible senior notes, due 2027 at stated rate of 1.875%	135			—
TECH credit facility at effective interest rate of 3.9%	—			348
Mai-Liao Power note at effective interest rate of 12.1%	—			196
Other notes	—			1
	2,001			2,360
Less current portion	(140		)	(712		)
	$	1,861		$	1,648

Information related to our convertible notes with debt and equity components is as follows:



As of 2011	2014 Notes			2031A Notes			2031B Notes			2027 Notes
Outstanding principal	$	949		$	345		$	345		$	175
Unamortized discount	(134		)	(90		)	(111		)	(40		)
Net carrying amount of debt	815			255			234			135
Carrying amount of equity component	368			89			109			40
Remaining discount amortization period (in years)	2.8			6.9			8.9			5.8

Schedule Of Convertible Debt Instruments Interest Rates And Expense

Information related to interest rates and expense of our convertible notes with debt and equity components is as follows:



For the year ended 2011	2014 Notes			2031A Notes			2031B Notes			2027 Notes
Effective interest rate	7.9		%	6.5		%	7.0		%	6.9		%
Interest cost related to contractual interest rate	$	19		$	1		$	1		$	3
Interest costs related to amortization of discount and issuance costs	46			1			1			5

Schedule Of Debt Instruments Maturities

As of September 1, 2011, maturities of notes payable and future minimum lease payments under capital lease obligations were as follows:



	Notes Payable			Capital Lease Obligations
2012	$	—		$	151
2013	—			80
2014	1,088			78
2015	—			73
2016	—			45
2017 and thereafter	865			71
Discounts and interest, respectively	(375		)	(75		)
	$	1,578		$	423

Commitments Commitments (Tables)

12 Months Ended

Sep. 01, 2011

Minimum Future Operating Lease Commitments

As of September 1, 2011, minimum future rental commitments are as follows:



	Operating Lease Commitments
2012	$	32
2013	26
2014	16
2015	9
2016	8
2017 and thereafter	25
	$	116

Shareholders' Equity (Tables)

12 Months Ended

Sep. 01, 2011

Accumulated Other Comprehensive Income (Loss)

Accumulated other comprehensive income (loss), net of tax, consisted of the following as of the end of the periods shown below:



	2011			2010
Accumulated translation adjustment, net	$	65		$	2
Gain (loss) on derivatives, net	43			1
Gain (loss) on investments, net	25			14
Unrecognized pension liability	(1		)	(6		)
Accumulated other comprehensive income (loss)	$	132		$	11

Derivative Financial Instruments (Tables)

12 Months Ended

Sep. 01, 2011

Currency derivatives without hedge accounting designation [Member]

Derivatives, Fair Value [Line Items]

Schedule of gross notional amounts and fair values for derivative currency forward contracts

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



	Notional Amount⁽¹⁾		Fair Value
Currency	(in U.S. Dollars)		Asset⁽²⁾		(Liability)⁽³⁾
As of September 1, 2011:
Euro	$	301	$	3	$	—
Singapore dollar	210		—		—
Yen	165		3		—
Other	148		—		(2		)
	$	824	$	6	$	(2	)

As of September 2, 2010:
Euro	$	260	$	—	$	(5	)
Singapore dollar	157		—		—
Yen	104		1		—
	$	521	$	1	$	(5	)


⁽¹⁾	Represents the face value of outstanding contracts


⁽²⁾	Included in other receivables


⁽³⁾	Included in other accounts payable and accrued expenses

Currency derivatives with hedge accounting designation [Member]

Derivatives, Fair Value [Line Items]

Schedule of gross notional amounts and fair values for derivative currency forward contracts

Total gross notional amounts and fair values for currency derivatives with cash flow hedge accounting designation were as follows:



	Notional Amount⁽¹⁾		Fair Value
Currency	(in U.S. Dollars)		Asset⁽²⁾		(Liability)⁽³⁾
As of September 1, 2011:
Euro	$	232	$	8	—
Yen	19		1		—
	$	251	$	9	—
As of September 2, 2010:
Euro	$	196	$	1	—
Yen	81		1		—
	$	277	$	2	—


⁽¹⁾	Represents the face value of outstanding contracts


⁽²⁾	Included in other receivables


⁽³⁾	Included in other accounts payable and accrued expenses

Fair Value Measurements (Tables)

12 Months Ended

Sep. 01, 2011

Assets measured at fair value on a recurring basis

Fair Value Measurements on a Recurring Basis

Assets measured at fair value on a recurring basis were as follows:



	2011								2010
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Money market⁽¹⁾	$	1,462	—		—		$	1,462	$	2,170	—		—		$	2,170
Certificates of deposit⁽²⁾	—		155		—		155		—		705		—		705
Marketable equity investments⁽³⁾	37		15		—		52		19		—		—		19
Assets held for sale⁽³⁾	—		—		35		35		—		—		56		56
	$	1,499	$	170	$	35	$	1,704	$	2,189	$	705	$	56	$	2,950


⁽¹⁾	Included in cashand equivalents.


⁽²⁾	Amounts as of September 1, 2011 were included in cash and equivalents. As of September 2, 2010, $371 million was included in cashand equivalents and $334 million was included in restricted cash.


⁽³⁾	Included in other noncurrent assets.

Estimated fair value and carrying value of debt instruments

Fair Value of Financial Instruments



	2011				2010
	Fair Value		Carrying Value		Fair Value		Carrying Value
Convertible debt instruments (Level 1)	$	1,216	$	1,049	$	1,494	$	1,288
Convertible debt instruments (Level 2)	629		529		—		—
Other debt instruments	436		423		1,071		1,072

Equity Plans (Tables)

12 Months Ended

Sep. 01, 2011

Schedule of option activity

Option activity for 2011 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 2, 2010	116.3		$	12.79
Granted	15.3		9.05
Exercised	(6.1	)	4.61
Cancelled or expired	(26.2	)	19.07
Outstanding at September 1, 2011	99.3		11.06		2.6	$	41

Exercisable at September 1, 2011	61.8		$	13.53	1.5	$	15
Expected to vest after September 1, 2011	36.5		6.92		4.3	26

Schedule of options outstanding

The following table summarizes information about options outstanding as of September 1, 2011:



	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
$ 1.56 - $ 6.86	19.5	3.1	$	3.72	8.2	$	4.06
7.01 - 9.97	28.6	4.7	8.31		3.8	7.82
10.00 - 12.93	23.7	1.9	12.24		22.3	12.36
13.00 - 19.61	14.7	1.0	14.86		14.7	14.86
20.98 - 39.50	12.8	0.1	21.81		12.8	21.81
	99.3	2.6	11.06		61.8	13.53

Assumptions used in Black-Scholes option valuation model

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



	2011		2010		2009
Average expected life in years	5.1		5.1		4.9
Weighted-average expected volatility	56	%	60	%	73	%
Weighted-average risk-free interest rate	1.8	%	2.3	%	1.9	%

Restricted stock awards

Restricted Stock Awards activity for 2011 is summarized as follows:



	Number of Shares		Weighted-Average Grant Date Fair Value Per Share
Outstanding at September 2, 2010	8.6		$	7.89
Granted	5.6		8.72
Restrictions lapsed	(5.0	)	8.26
Cancelled	(0.4	)	8.85
Outstanding at September 1, 2011	8.8		8.17

Expected to vest after September 1, 2011	8.5		8.13

Restricted Stock Awards granted for 2011, 2010 and 2009 were as follows:



	2011		2010		2009
Service-based awards	4.4		5.9		1.9
Performance-based awards	1.2		1.8		1.7
Weighted-average grant-date fair values per share	$	8.72	$	8.29	$	4.40

Stock-based compensation expense

Stock-based Compensation Expense

Total compensation costs for our equity plans were as follows:



	2011		2010		2009
Stock-based compensation expense by caption:
Cost of goods sold	$	20	$	23	$	16
Selling, general and administrative	38		50		16
Research and development	17		18		13
Other operating (income) expense	1		2		(1		)
	$	76	$	93	$	44

Stock-based compensation expense by type of award:
Stock options	$	44	$	37	$	29
Restricted stock awards	32		56		15
	$	76	$	93	$	44

Other Operating (Income) Expense, Net (Tables)

12 Months Ended

Sep. 01, 2011

Schedule of Other operating (income) expense, net

Other operating (income) expense consisted of the following:



	2011			2010			2009
Samsung patent cross-license agreement	$	(275	)	$	—		$	—
Gain from disposition of Japan Fab	(54		)	—			—
Restructure	(21		)	(10		)	70
(Gain) loss on disposition of property, plant and equipment	(17		)	(1		)	54
(Gain) loss from changes in currency exchange rates	6			23			30
Goodwill impairment	—			—			58
Other	(19		)	(39		)	23
	$	(380	)	$	(27	)	$	235

Income Taxes Income taxes (Tables)

12 Months Ended

Sep. 01, 2011

Income Taxes [Abstract]

Income tax (provision) benefit



	2011			2010			2009
Income (loss) before taxes, net (income) loss attributable to noncontrolling interests and equity in net income (loss) of equity method investees:
Foreign	$	294		$	537		$	(427	)
U.S.	257			1,383			(1,425		)
	$	551		$	1,920		$	(1,852	)
Income tax (provision) benefit:
Current:
Foreign	$	(89	)	$	(24	)	$	(12	)
State	(1		)	(4		)	—
U.S. federal	—			66			12
	(90		)	38			—
Deferred:
Foreign	(113		)	(14		)	(1		)
U.S. federal	—			(5		)	—
	(113		)	(19		)	(1		)
Income tax (provision) benefit	$	(203	)	$	19		$	(1	)

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:



	2011			2010			2009
U.S. federal income tax (provision) benefit at statutory rate	$	(193	)	$	(672	)	$	648
Foreign operations	(119		)	135			(135		)
Debt repurchase premium	(20		)	—			—
State taxes, net of federal benefit	(5		)	(22		)	39
Change in valuation allowance	103			424			(572		)
Tax credits	17			3			18
Gain on acquisition of Numonyx	—			153			—
Other	14			(2		)	1
Income tax (provision) benefit	$	(203	)	$	19		$	(1	)

Deferred tax assets and liabilities

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



	2011			2010
Deferred tax assets:
Net operating loss and credit carryforwards	$	1,581		$	1,336
Inventories	159			354
Accrued salaries, wages and benefits	99			124
Deferred income	55			92
Basis differences in investments in joint ventures	21			71
Property, plant and equipment	—			36
Other	50			55
Gross deferred tax assets	1,965			2,068
Less valuation allowance	(1,446		)	(1,627		)
Deferred tax assets, net of valuation allowance	519			441

Deferred tax liabilities:
Debt discount	(138		)	(92		)
Unremitted earnings on certain subsidiaries	(117		)	(97		)
Property, plant and equipment	(107		)	—
Product and process technology	(50		)	(45		)
Intangible assets	(24		)	(33		)
Other	(13		)	(6		)
Deferred tax liabilities	(449		)	(273		)

Net deferred tax assets	$	70		$	168

Reported as:
Current deferred tax assets (included in other current assets)	$	26		$	39
Noncurrent deferred tax assets (included in other noncurrent assets)	60			145
Noncurrent deferred tax liabilities (included in other noncurrent liabilities)	(16		)	(16		)
Net deferred tax assets	$	70		$	168

Reconciliation of beginning and ending amount of unrecognized tax benefits

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



	2011			2010			2009
Beginning unrecognized tax benefits	$	88		$	1		$	1
Increases related to tax positions taken during current year	28			11			—
Foreign currency translation increases (decreases) to tax positions	6			—			—
Increases related to tax positions from prior years	4			14			—
Decreases related to tax positions from prior years	(3		)	—			—
Settlements with tax authorities	(2		)	(1		)	—
Unrecognized tax benefits acquired in current year	—			63			—
Expiration of foreign statutes of limitations	—			—			(1		)
Other	—			—			1
Ending unrecognized tax benefits	$	121		$	88		$	1

Earnings Per Share (Tables)

12 Months Ended

Sep. 01, 2011

Basic and diluted earnings per share



	2011		2010		2009
Net income (loss) available to Micron shareholders – Basic	$	167	$	1,850	$	(1,882	)
Net effect of assumed conversion of debt	—		93		—
Net income (loss) available to Micron shareholders – Diluted	$	167	$	1,943	$	(1,882	)

Weighted-average common shares outstanding – Basic	988.0		887.5		800.7
Net effect of dilutive equity awards, escrow shares and assumed conversion of debt	19.5		163.2		—
Weighted-average common shares outstanding – Diluted	1,007.5		1,050.7		800.7

Earnings (loss) per share:
Basic	$	0.17	$	2.09	$	(2.35	)
Diluted	0.17		1.85		(2.35		)

Schedule of potential common shares excluded in the computation of diluted earnings per share because they would have been antidilutive



	2011	2010	2009
Employee stock plans	81.4	92.2	126.0
Convertible notes	182.7	—	142.8

Consolidated Variable Interest Entities (Tables)

12 Months Ended

Sep. 01, 2011

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:



For the year ended	2011		2010		2009
IM Flash distributions to Micron	$	234	$	278	$	723
IM Flash distributions to Intel	225		267		695
Micron contributions to IM Flash	1,580		128		25
Intel contributions to IM Flash	—		38		24

IM Flash [Member]

Variable Interest Entity [Line Items]

Total IM Flash and MP Mask assets and liabilities

Total IM Flash assets and liabilities included in our consolidated balance sheets were as follows:



As of	September 1, 2011		September 2, 2010
Assets
Cash and equivalents	$	327	$	246
Receivables	252		154
Inventories	227		160
Other current assets	11		8
Total current assets	817		568
Property, plant and equipment, net	4,121		2,894
Other noncurrent assets	66		57
Total assets	$	5,004	$	3,519

Liabilities
Accounts payable and accrued expenses	$	458	$	140
Deferred income	125		127
Equipment purchase contracts	37		8
Current portion of long-term debt	8		7
Total current liabilities	628		282
Long-term debt	58		62
Other noncurrent liabilities	4		4
Total liabilities	$	690	$	348

Amounts exclude intercompany balances that are 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	September 1, 2011		September 2, 2010
Current assets	$	24	$	35
Noncurrent assets (primarily property, plant and equipment)	143		85
Current liabilities	31		6

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

TECH Semiconductor Singapore Pte. Ltd. (Tables)

12 Months Ended

Sep. 01, 2011

Effects of changes in ownership interests in TECH on Micron shareholders' equity

The effects of changes in our ownership interest in TECH on total Micron shareholders' equity were as follows:



For the year ended	2011		2010
Net income attributable to Micron	$	167	$	1,850
Transfers from noncontrolling interest that increased additional capital:
Acquisition of noncontrolling interests in TECH	67		10
Change from net income attributable to Micron and transfers from noncontrolling interests	$	234	$	1,860

Segment Information (Tables)

12 Months Ended

Sep. 01, 2011

Segment Information



	2011			2010			2009
Net sales:
DSG	$	3,203		$	4,638		$	2,100
NSG	2,196			2,113			1,747
WSG	1,959			778			247
ESG	1,002			521			178
All Other	428			432			531
	$	8,788		$	8,482		$	4,803

Operating income (loss):
DSG	$	290		$	1,269		$	(902	)
NSG	269			240			(573		)
WSG	20			(23		)	(63		)
ESG	237			152			37
All Other	(61		)	(49		)	(175		)
	$	755		$	1,589		$	(1,676	)

Depreciation and amortization expense was as follows:



	2011		2010		2009
DSG	$	750	$	947	$	979
NSG	513		530		780
WSG	512		212		103
ESG	196		97		47
All Other	130		140		205
Depreciation and amortization expense included in operating income (loss)	2,101		1,926		2,114
Other amortization	61		79		72
Total depreciation and amortization expense	$	2,162	$	2,005	$	2,186

Product Sales Product Sales (Tables)

12 Months Ended

Sep. 01, 2011

Schedule of Entity-Wide Information, Revenue from External Customers by Products and Services [Text Block]

Product sales were as follows:



	2011		2010		2009
DRAM	$	3,620	$	5,052	$	2,422
NAND Flash	3,193		2,555		1,857
NOR Flash	1,547		451		—
Other	428		424		524
	$	8,788	$	8,482	$	4,803

Geographic Information Geographic Information (Tables)

12 Months Ended

Sep. 01, 2011

Schedule of geographic net sales based on customer ship-to location

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



	2011		2010		2009
China	$	2,983	$	3,294	$	1,242
Asia Pacific (excluding China, Taiwan and Malaysia)	1,518		1,090		990
United States	1,363		1,403		928
Europe	924		777		470
Taiwan	744		711		447
Malaysia	737		817		542
Other	519		390		184
	$	8,788	$	8,482	$	4,803

Schedule of net property, plant and equipment by geographic area

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



	2011		2010		2009
Singapore	$	3,569	$	2,161	$	2,066
United States	3,487		3,925		4,679
Italy	190		173		180
China	179		90		48
Israel	94		111		—
Japan	1		81		112
Other	35		60		4
	$	7,555	$	6,601	$	7,089

Quarterly Financial Information Quarterly Financial Information (Tables)

12 Months Ended

Sep. 01, 2011

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

Schedule of Quarterly Financial Information, Prior Year [Text Block]



2010	Fourth Quarter		Third Quarter		Second Quarter		First Quarter
Net sales	$	2,493	$	2,288	$	1,961	$	1,740
Gross margin	781		848		642		443
Operating income	433		540		415		201
Net income	359		960		379		202
Net income attributable to Micron	342		939		365		204

Earnings per share:
Basic	$	0.35	$	1.06	$	0.43	$	0.24
Diluted	0.32		0.92		0.39		0.23

Schedule II Valuation and Qualifying Accounts Schedule II Valuation and Qualifying Accounts (Tables)

12 Months Ended

Sep. 01, 2011

Schedule II Valuation and Qualifying Accounts [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 September 1, 2011	$	4	$	—	$	—		$	(1	)	$	3
Year ended September 2, 2010	5		1		—			(2		)	4
Year ended September 3, 2009	2		—		5			(2		)	5

Deferred Tax Asset Valuation Allowance
Year ended September 1, 2011	$	1,627	$	—	$	(102	)	$	(79	)	$	1,446
Year ended September 2, 2010	2,006		63		(424		)	(18		)	1,627
Year ended September 3, 2009	1,440		—		572			(6		)	2,006

Business and Basis of Presentation (Details) - USD ($) $ in Millions	12 Months Ended
	Sep. 01, 2011	Sep. 02, 2010	Sep. 03, 2009
Property, Plant and Equipment [Line Items]
Capitalized interest costs	$ 12	$ 5	$ 5
Building [Member]
Property, Plant and Equipment [Line Items]
Minimum useful life	5Y
Maximum useful life	30Y
Equipment [Member]
Property, Plant and Equipment [Line Items]
Minimum useful life	2Y
Maximum useful life	20Y
Software [Member]
Property, Plant and Equipment [Line Items]
Minimum useful life	3Y
Maximum useful life	5Y

Significant Accounting Policies Business and Basis of Presentation (Fiscal Year) (Details)	12 Months Ended
	Sep. 01, 2011	Sep. 02, 2010	Sep. 03, 2009
Fiscal Year [Line Items]
Number of weeks in a fiscal period (in weeks)	52W	52W	53W

Variable Interest Entities (Details)	Sep. 01, 2011
Variable Interest Entities Which We Have Determined That We Are the Primary Beneficiary [Member] \| IM Flash Singapore LLP [Member]
Variable Interest Entity [Line Items]
Variable interest entity, ownership percentage (in hundredths)	86.00%

Micron Japan Fabrication Facility (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Sep. 01, 2011	Jun. 02, 2011
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Tower Semiconductor Ltd. shares received in Japan Fab disposition (in shares)	20
Net carrying value of assets sold and liabilities transferred		$ 23
Japan Fab [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
Tower Semiconductor Ltd. shares received in Japan Fab disposition (in shares)		20
Amount of future payments to be received in connection with the divestiture of the Japan Fab	$ 20
Gain recognized in Japan Fab disposition		$ 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

Numonyx Holdings B.V. (Details) - Numonyx Holdings BV [Member] shares in Millions	May 07, 2010 shares
Common stock [Member]
Business Acquisition, Equity Interests Issued or Issuable [Line Items]
Equity units issued for acquisition of Numonyx (in shares)	137.7
Restricted stock units [Member]
Business Acquisition, Equity Interests Issued or Issuable [Line Items]
Equity units issued for acquisition of Numonyx (in shares)	4.8

Numonyx Holdings B.V. - 2 (Details) - Numonyx Holdings BV [Member] - USD ($) $ / shares in Units, $ in Millions	3 Months Ended	4 Months Ended	12 Months Ended
	Jun. 03, 2010	Sep. 02, 2010	Sep. 02, 2010	Sep. 03, 2009	May 07, 2010
Business Acquisition [Line Items]
Date of acquisition	5/7/2010
Name of acquired entity	Numonyx Holdings B.V.
Recognized amounts of identifiable assets acquired and liabilities assumed: [Abstract]
Fair value of the consideration paid for Numonyx					$ 1,112
Gain on acquisition of Numonyx					(437)
Income tax benefit recognized in connection with the acquisition of Numonyx					51
Cash and equivalents					95
Receivables					256
Inventories					689
Other current assets					28
Intangible assets					29
Property, plant and equipment					344
Equity method investment					414
Other noncurrent assets					307
Accounts payable and accrued expenses					(310)
Other current liabilities					(5)
Other noncurrent liabilities					(298)
Total net assets acquired					1,549
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	$ 6,464
Net income (loss)			1,923	(2,230)
Net income (loss) attributable to Micron			$ 1,873	$ (2,119)
Earnings (loss) per share: [Abstract]
Basic (in dollars per share)			$ 1.90	$ (2.31)
Diluted (in dollars per share)			$ 1.72	$ (2.31)
Common Stock [Member]
Recognized amounts of identifiable assets acquired and liabilities assumed: [Abstract]
Fair value of the consideration paid for Numonyx					1,091
Restricted Stock [Member]
Recognized amounts of identifiable assets acquired and liabilities assumed: [Abstract]
Fair value of the consideration paid for Numonyx					$ 21

Receivables (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010
Receivables [Abstract]
Trade receivables (net of allowance for doubtful accounts of $3 million and $4 million, respectively)	$ 1,105	$ 1,238
Income and other taxes	137	115
Related party receivables	72	64
Other	183	114
Total	1,497	1,531
Allowance for doubtful accounts	$ 3	$ 4

Receivables - Related Party Transactions (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010
Related Party Transaction [Line Items]
Related party receivables	$ 72	$ 64
Aptina [Member]
Related Party Transaction [Line Items]
Related party receivables	$ 67	$ 57

Receivables - Other Receivables (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010
Other Receivables [Line Items]
Other	$ 183	$ 114
Intel Corporation ('Intel') [Member]
Other Receivables [Line Items]
Other	34	30
Nanya Technology Corporation ('Nanya') [Member]
Other Receivables [Line Items]
Other	$ 25	$ 17

Inventories (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010
Statement [Line Items]
Finished goods	$ 596	$ 623
Work in process	1,342	1,031
Raw materials and supplies	142	116
Total	$ 2,080	$ 1,770

Intangible Assets (Details) - USD ($) $ in Millions	12 Months Ended
Intangible Assets (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010
Intangible Assets [Abstract]
Gross Amount	$ 699	$ 589
Accumulated Amortization	(285)	(266)
Product and process technology [Member]
Intangible Assets [Abstract]
Gross Amount	571	439
Accumulated Amortization	(203)	(181)
Product and process technology intangible asset capitalized during period	$ 170	$ 48
Product and process technology intangible asset capitalized during period, weighted-average useful lives (in years)	7Y	7Y
Customer relationships [Member]
Intangible Assets [Abstract]
Gross Amount	$ 127	$ 127
Accumulated Amortization	(82)	(66)
Other [Member]
Intangible Assets [Abstract]
Gross Amount	1	23
Accumulated Amortization	$ 0	$ (19)

Intangible Assets - Additional Information (Details) - USD ($) $ in Millions	12 Months Ended
	Sep. 01, 2011	Sep. 02, 2010	Sep. 03, 2009
Finite-Lived Intangible Assets [Line Items]
Amortization expense for intangible assets	$ 79	$ 96	$ 75
Finite-Lived Intangible Assets, Future Amortization Expense [Abstract]
Annual amortization for 2012	86
Annual amortization for 2013	80
Annual amortization for 2014	71
Annual amortization for 2015	53
Annual amortization for 2016	$ 46

PPE (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010	Sep. 03, 2009
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 19,756	$ 17,813
Accumulated depreciation	(12,201)	(11,212)
Property, Plant and Equipment, Net	7,555	6,601	$ 7,089
Assets Held under Capital Leases [Member]
Property, Plant and Equipment [Line Items]
Accumulated depreciation	(430)	(478)
Land [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	92	95
Buildings [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	4,481	4,394
Buildings [Member] \| Assets Held under Capital Leases [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	163	184
Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	14,735	12,970
Equipment [Member] \| Assets Held under Capital Leases [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	712	745
Construction in progress [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	155	73
Software [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 293	$ 281

PPE - Additional Information (Details) - USD ($) $ in Millions	12 Months Ended
	Sep. 01, 2011	Sep. 02, 2010	Sep. 03, 2009
Property, Plant and Equipment [Line Items]
Depreciation expense	$ 2,026	$ 1,826	$ 2,039
Property, plant and equipment classified as held for sale	$ 35	$ 56

Equity Method Investments (Details) - USD ($) $ in Millions	3 Months Ended			6 Months Ended	12 Months Ended
Equity Method Investments (Details) - USD ($) $ in Millions	Mar. 04, 2010	Dec. 03, 2009	Dec. 04, 2008	Jun. 30, 2011	Sep. 01, 2011	Sep. 02, 2010	Sep. 03, 2009	Aug. 28, 2008
Schedule of Equity Method Investments [Line Items]
Investment Balance					$ 483	$ 582
Equity in net income (loss) of equity method investees, net of tax					(158)	(39)	$ (140)
Equity Method Investment, Summarized Financial Information, Assets [Abstract]
Current assets					942	898
Noncurrent assets (primarily property, plant and equipment)					4,189	3,537
Equity Method Investment, Summarized Financial Information, Liabilities [Abstract]
Current liabilities					3,201	1,479
Noncurrent liabilities					173	900
Equity Method Investment, Summarized Financial Information, Income Statement [Abstract]
Net sales					1,839	1,927	670
Gross margin					(268)	73	(370)
Operating loss					(559)	(181)	(473)
Net loss					(594)	(237)	(553)
Variable Interest, Carrying Amount [Abstract]
Accumulated translation adjustment, net					65	2
Payments to acquire equity method investments					31	165	408
Inotera [Member]
Schedule of Equity Method Investments [Line Items]
Investment Balance					$ 388	$ 434
Ownership Percentage (in hundredths)					29.70%	29.90%
Income Loss From Equity Method Investments Before Amortization And Other					$ (154)	$ (56)	(166)
Equity Method Investments Amortization Of Difference Between Cost And Underlying Equity In Net Assets					48	55	38
Income Loss From Equity Method Investments Other Adjustments					(6)	(5)	(2)
Equity in net income (loss) of equity method investees, net of tax					$ (112)	(6)	(130)
Percentage interest held by a third party (in hundredths)					29.80%
Ownership percentage after stock transactions during period (in hundredths)	29.90%	29.80%	35.50%
Equity Method Investment, Summarized Financial Information, Liabilities [Abstract]
Inotera's current liabilities that exceed current assets				$ 2,300
Equity Method Investment, Summarized Financial Information, Income Statement [Abstract]
Net loss				$ 278
Variable Interest, Carrying Amount [Abstract]
Maximum exposure to loss related variable interest entities					$ 325
Accumulated translation adjustment, net					65	7
Equity Method Investment Net Carrying Value					323
Payments to acquire equity method investments	$ 138
Payments by third party to acquire interest in equity method investment of the entity	$ 138
MeiYa [Member]
Schedule of Equity Method Investments [Line Items]
Investment Balance					$ 1	$ 44
Ownership Percentage (in hundredths)					50.00%	50.00%
Equity in net income (loss) of equity method investees, net of tax					$ 0	$ 1	(10)
Ownership percentage after stock transactions during period (in hundredths)								50.00%
Variable Interest, Carrying Amount [Abstract]
Maximum exposure to loss related variable interest entities					1
Transform Solar Pty Limited ('Transform') [Member]
Schedule of Equity Method Investments [Line Items]
Investment Balance					$ 87	$ 82
Ownership Percentage (in hundredths)					50.00%	50.00%
Equity in net income (loss) of equity method investees, net of tax					$ (31)	$ (12)	0
Percentage interest held by a third party (in hundredths)					50.00%
Ownership percentage after stock transactions during period (in hundredths)						50.00%
Variable Interest, Carrying Amount [Abstract]
Maximum exposure to loss related variable interest entities					$ 90
Payments to acquire equity method investments					30	$ 26
Payments by third party to acquire interest in equity method investment of the entity					30	26
Aptina [Member]
Schedule of Equity Method Investments [Line Items]
Investment Balance					$ 7	$ 22
Ownership Percentage (in hundredths)					35.00%	35.00%
Equity in net income (loss) of equity method investees, net of tax					$ (15)	$ (24)	0
Hynix Jv [Member]
Schedule of Equity Method Investments [Line Items]
Equity in net income (loss) of equity method investees, net of tax					$ 0	$ 2	$ 0

Equity Method Investments - 2 (Details) - USD ($) $ in Millions	12 Months Ended
	Sep. 01, 2011	Sep. 02, 2010	Sep. 03, 2009
Related Party Transaction [Line Items]
Manufacturing facilities leased to Transform included in noncurrent assets	$ 44	$ 47
Deferred rent revenue on the fully-paid lease	34
Transform Solar Pty Limited ('Transform') [Member]
Related Party Transaction [Line Items]
Revenues from transactions with related party	20	15
Manufacturing facilities leased to Transform included in noncurrent assets	29	33
Deferred rent revenue on the fully-paid lease	29	33
Value of certain equipment and intangible assets, which we were obligated to contribute to Transform	4	5
Aptina [Member]
Related Party Transaction [Line Items]
Revenues from transactions with related party	349	372	$ 70
Expenses from transactions with related party	$ 358	$ 385	$ 60

Equity Method Investments - 3 (Details) - USD ($) $ in Millions	3 Months Ended			4 Months Ended	5 Months Ended	12 Months Ended				27 Months Ended
	Mar. 03, 2011	Dec. 03, 2009	Dec. 04, 2008	Jun. 04, 2009	Sep. 02, 2010	Aug. 30, 2012	Sep. 01, 2011	Sep. 02, 2010	Sep. 03, 2009	Apr. 30, 2010
Schedule of Equity Method Investments [Line Items]
Percentage of Inotera's wafer production obligated to purchase (in hundredths)							50.00%
License revenue related to manufacture of stack DRAM products during the period								$ 65	$ 105
Cumulative license revenue related to manufacture of stack DRAM products										$ 207
Reduction in research and development costs under cost sharing arrangement					$ 51		$ 141
Royalty revenue from Nanya for sales of stack DRAM products							25	6
Gain from Inotera stock issuance		$ 56					0	52	0
Inotera amortization remaining to be recognized							74
Inotera amortization in future periods						$ 49
Accelerated Inotera amortization related to Inotera's issuance of shares		$ 33
Purchase of DRAM products from Inotera							641	693
Market value of equity interest in Inotera							296
Distribution received from MeiYa	$ 48						$ 48	0	$ 41
Distribution to third party by MeiYa	$ 48
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%
Equity method investments					$ 582		$ 483	$ 582
Inotera [Member]
Schedule of Equity Method Investments [Line Items]
Ownership Percentage (in hundredths)					29.90%		29.70%	29.90%
Loss on our purchase commitment under the Inotera Supply Agreement							$ 28
Underutilized capacity charge as a result of Qimonda's default									$ 95
Cash Received Pursuant To A Technology Transfer Agreement				$ 50
Revenue Recognized On Technology Transfer Agreement								$ 13	$ 15
Equity method investments					$ 434		$ 388	$ 434
MeiYa [Member]
Schedule of Equity Method Investments [Line Items]
Ownership Percentage (in hundredths)					50.00%		50.00%	50.00%
Cash Received Pursuant To A Technology Transfer Agreement			$ 50
Equity method investments					$ 44		$ 1	$ 44

Accounts Payable and Accrued Expenses (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010
Statement [Line Items]
Accounts payable	$ 1,187	$ 799
Salaries, wages and benefits	304	346
Related party payables	141	194
Income and other taxes	30	51
Other	168	119
Total accounts payable and accrued expenses	$ 1,830	$ 1,509

Accounts Payable and Accrued Expenses - Related Party Transactions (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010
Related Party Transaction [Line Items]
Related party payables	$ 141	$ 194
Inotera [Member]
Related Party Transaction [Line Items]
Related party payables	$ 139	105
Hynix Jv [Member]
Related Party Transaction [Line Items]
Related party payables		$ 86

Accounts Payable and Accrued Expenses - Additional Information (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010
Accounts Payable and Accrued Expenses Other [Line Items]
Other	$ 168	$ 119
Intel [Member]
Accounts Payable and Accrued Expenses Other [Line Items]
Other	$ 17	$ 16

Debt - Schedule of Long-term Debt (Details)	1 Months Ended	3 Months Ended	12 Months Ended
Debt - Schedule of Long-term Debt (Details)	Sep. 01, 2011 USD ($) decimal integer $ / shares	Jun. 02, 2011 USD ($)	Sep. 01, 2011 USD ($) decimal integer $ / shares	Sep. 02, 2010 USD ($)	Sep. 03, 2009 USD ($)	Jul. 26, 2011 USD ($)	Nov. 03, 2010 USD ($)	Oct. 28, 2010	Apr. 30, 2009 USD ($)	May 31, 2007 USD ($)
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 2,001,000,000		$ 2,001,000,000	$ 2,360,000,000
Less current portion	(140,000,000)		(140,000,000)	(712,000,000)
Long-term debt	1,861,000,000		$ 1,861,000,000	1,648,000,000
Convertible Debt [Abstract]
Minimum number of trading days (in days)			20D
Consecutive trading period (in days)			30D
Proceeds from equipment sale-leaseback transactions			$ 268,000,000	0	$ 4,000,000
Repayments of Long-term Debt		$ 250,000,000	1,215,000,000	840,000,000	429,000,000
Debt Restructuring Agreement Execution Date								10/28/2010
Convertible senior notes due 2014 [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 815,000,000		$ 815,000,000	1,058,000,000
Stated interest rate (in hundredths)	1.875%		1.875%
Principal outstanding	$ 949,000,000		$ 949,000,000	1,300,000,000						$ 1,300,000,000
Discount	(134,000,000)		(134,000,000)	(242,000,000)
Carrying amount of euity component	$ 368,000,000		$ 368,000,000
Remaining discount amortization perid (in years) \| decimal	2.8		2.8
Interest Costs Incurred [Abstract]
Effective interest rate (in hundredths)			7.90%
Interest cost related to contractual interest rate			$ 19,000,000	24,000,000	25,000,000
Interest costs related to amortization of discount and issuance costs			$ 46,000,000	56,000,000	$ 52,000,000
Convertible Debt [Abstract]
initial conversion rate (in shares) \| integer			70.2679
Principal amount per debenture used in coversion rate			$ 1,000
Conversion price (in dollars per share)			$ 14.23
Minimum number of trading days (in days)			20D
Consecutive trading period (in days)			30D
Threshold percentage of applicable conversion price for holder (in hundredths)			130.00%
Approximate minimum closing price (in dollars per share) \| $ / shares			$ 18.50
Percentage of principal amount repurchase price (in hundredths)			100.00%
Factor used to determine eligibility for conversion (in hundredths)			0.98
Capital lease obligations [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 423,000,000		$ 423,000,000	527,000,000
Discount	$ (75,000,000)		$ (75,000,000)
Interest Costs Incurred [Abstract]
Due date			Aug. 31, 2023
Convertible Debt [Abstract]
Long-term Debt, Gross, current period additions				$ 121,000,000
Weighted-average effective interest rate (in hundredths)	6.10%		6.10%	7.20%
Capital lease transactions weighted average effective interest rate (in hundredths)				9.50%
Long-term Debt, by Maturity [Abstract]
2012	$ 151,000,000		$ 151,000,000
2013	80,000,000		80,000,000
2014	78,000,000		78,000,000
2015	73,000,000		73,000,000
2016	45,000,000		45,000,000
2017 and thereafter	71,000,000		71,000,000
Convertible senior notes due 2031A [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 255,000,000		$ 255,000,000	$ 0
Stated interest rate (in hundredths)	1.50%		1.50%
Principal outstanding	$ 345,000,000		$ 345,000,000			$ 345,000,000
Discount	(90,000,000)		(90,000,000)			(91,000,000)
Carrying amount of euity component	$ 89,000,000		$ 89,000,000
Remaining discount amortization perid (in years) \| decimal	6.9		6.9
Interest Costs Incurred [Abstract]
Effective interest rate (in hundredths)			6.50%
Interest cost related to contractual interest rate			$ 1,000,000
Interest costs related to amortization of discount and issuance costs			1,000,000
Convertible senior notes due 2031B [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 234,000,000		$ 234,000,000	0
Stated interest rate (in hundredths)	1.875%		1.875%
Principal outstanding	$ 345,000,000		$ 345,000,000			345,000,000
Discount	(111,000,000)		(111,000,000)			(112,000,000)
Carrying amount of euity component	$ 109,000,000		$ 109,000,000
Remaining discount amortization perid (in years) \| decimal	8.9		8.9
Interest Costs Incurred [Abstract]
Effective interest rate (in hundredths)			7.00%
Interest cost related to contractual interest rate			$ 1,000,000
Interest costs related to amortization of discount and issuance costs			1,000,000
Convertible senior notes due 2013 [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 139,000,000		$ 139,000,000	230,000,000
Stated interest rate (in hundredths)	4.25%		4.25%
Principal outstanding									$ 230,000,000
Convertible Debt [Abstract]
initial conversion rate (in shares) \| integer			196.7052
Principal amount per debenture used in coversion rate			$ 1,000
Conversion price (in dollars per share)			$ 5.08
Minimum number of trading days (in days)			20D
Consecutive trading period (in days)			30D
Threshold percentage of applicable conversion price for entity (in hundredths)			135.00%
Approximate minimum closing price for entity (in dollars per share) \| $ / shares			$ 6.86
Percentage of principal amount repurchase price (in hundredths)			100.00%
Convertible senior notes due 2027 [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 135,000,000		$ 135,000,000	0			$ 130,000,000
Stated interest rate (in hundredths)	1.875%		1.875%
Principal outstanding	$ 175,000,000		$ 175,000,000
Discount	(40,000,000)		(40,000,000)				$ (45,000,000)
Carrying amount of euity component	$ 40,000,000		$ 40,000,000
Remaining discount amortization perid (in years) \| decimal	5.8		5.8
Interest Costs Incurred [Abstract]
Effective interest rate (in hundredths)			6.90%
Interest cost related to contractual interest rate			$ 3,000,000
Interest costs related to amortization of discount and issuance costs			5,000,000
Convertible Debt [Abstract]
Conversion price (in dollars per share)			10.90
TECH credit facility [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 0		0	$ 348,000,000
Interest Costs Incurred [Abstract]
Effective interest rate at end of period (in hundredths)				3.90%
Convertible Debt [Abstract]
Repayments of Long-term Debt		250,000,000
Previously restricted cash released upon repayment of TECH credit facility		$ 60,000,000
Mai-Liao Power note [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	0		0	$ 196,000,000
Interest Costs Incurred [Abstract]
Effective interest rate at end of period (in hundredths)				12.10%
Other notes [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	0		$ 0	$ 1,000,000
Sales-leaseback transactions [Member]
Interest Costs Incurred [Abstract]
Due date			May 31, 2016
Convertible Debt [Abstract]
Proceeds from equipment sale-leaseback transactions			$ 268,000,000
Long-term Debt, Gross, current period additions			$ 246,000,000
Weighted-average effective interest rate of sale leaseback additions (in hundredths)			5.40%
Notes Payable [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	1,578,000,000		$ 1,578,000,000
Discount	(375,000,000)		(375,000,000)
Long-term Debt, by Maturity [Abstract]
2012	0		0
2013	0		0
2014	1,088,000,000		1,088,000,000
2015	0		0
2016	0		0
2017 and thereafter	$ 865,000,000		$ 865,000,000
Convertible senior notes 2031A and 2031B [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross						487,000,000
Convertible Debt [Abstract]
initial conversion rate (in shares) \| integer	105.2632
Principal amount per debenture used in coversion rate	$ 1,000
Conversion price (in dollars per share)	$ 9.50
Minimum number of trading days (in days)	20D
Consecutive trading period (in days)	30D
Threshold percentage of applicable conversion price for holder (in hundredths)	130.00%
Threshold percentage of applicable conversion price for entity (in hundredths)	130.00%
Approximate minimum closing price for entity (in dollars per share) \| $ / shares	$ 12.35
Early retirement make whole premium (basis points) \| decimal	150
Approximate minimum closing price (in dollars per share) \| $ / shares	$ 12.35
Payments of Debt Issuance Costs	$ 18,000,000
Additional Paid In Capital Equity Component Of Convertible Debt						198,000,000
Debt Issuance Costs Incurred During Noncash Or Partial Noncash Transaction Deferred						$ 13,000,000
Factor used to determine eligibility for conversion (in hundredths)	0.98

Debt - Extinguishment of Debt (Details)	12 Months Ended
Debt - Extinguishment of Debt (Details)	Sep. 01, 2011 USD ($) integer $ / shares	Nov. 03, 2010 USD ($)
Features of Convertible Debt [Abstract]
Convertible debt due 2027, minimum number of trading days (in days)	20D
Convertible debt due 2027, consecutive trading period (in days)	30D
Convertible Senior Notes Due 2027 [Member]
Features of Convertible Debt [Abstract]
Convertible debt due 2027, equity component		$ 40,000,000
Convertible debt due 2027, deferred debt issuance costs		2,000,000
Convertible debt due 2027, initial conversion rate (in shares) \| integer	91.7431
Convertible debt due 2027, principal amount per debenture used in coversion rate	$ 1,000
Convertible debt due 2027, threshold percentage of applicable conversion price (in hundredths)	130.00%
Convertible debt due 2027, approximate minimum closing price \| $ / shares	$ 14.17
Factor used to determine eligibility for conversion (in hundredths)	0.98
Convertible debt due 2027, date entity may redeem the notes	6/1/2014
Convertible debt due 2027, date until make-whole premium expires	5/31/2014
Convertible Senior Notes Due 2014 [Member]
Extinguishment of Debt [Line Items]
Debt instrument, face value		351,000,000
Convertible Senior Notes Due 2014 [Member] \| Repurchased [Member]
Extinguishment of Debt [Line Items]
Debt instrument, face value		176,000,000
Repayments of convertible debt		171,000,000
Debt Repurchase Original Debt Convertible Debt Carrying Value Derecognized		144,000,000
Debt Repurchase Original Debt Convertible Debt Unamortized Discount Derecognized		32,000,000
Decrease To Additional Paid In Capital Equity Component Of Convertible Debt		13,000,000
Loss on repurchase or exchange of debt		17,000,000
Fair value of convertible debt instruments		158,000,000
Convertible Senior Notes Due 2014 [Member] \| Exchanged [Member]
Extinguishment of Debt [Line Items]
Debt instrument, face value		175,000,000
Debt Repurchase Original Debt Convertible Debt Carrying Value Derecognized		144,000,000
Debt Repurchase Original Debt Convertible Debt Unamortized Discount Derecognized		31,000,000
Decrease To Additional Paid In Capital Equity Component Of Convertible Debt		13,000,000
Loss on repurchase or exchange of debt		15,000,000
Fair value of convertible debt instruments		157,000,000
Debt conversion, debt and unamortized debt issuance costs component of 1.875% Convertible Senior Notes due 2014 being exchanged		142,000,000
Features of Convertible Debt [Abstract]
Convertible debt due 2027, aggregate principal amount		175,000,000
Convertible Senior Notes Due 2013 [Member] \| Repurchased [Member]
Extinguishment of Debt [Line Items]
Debt instrument, face value		91,000,000
Repayments of convertible debt		166,000,000
Loss on repurchase or exchange of debt		$ 79,000,000

Debt - Guarantor Obligations (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Jun. 02, 2011	Sep. 01, 2011	Sep. 02, 2010	Sep. 03, 2009	May 07, 2010
Guarantor Obligations [Line Items]
Maximum amount of Hynix JV loan guaranteed					$ 250
Restricted cash for Hynix JV loans on deposit					$ 250
Repayments of Long-term Debt	$ 250	$ 1,215	$ 840	$ 429
Increase (Decrease) in Restricted Cash	250	$ (330)	$ 240	$ 56
Gain Recognized For The Termination Of Debt Guarantee	$ 15

Commitments Commitments (Details) - USD ($) $ in Millions	12 Months Ended
Commitments Commitments (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010	Sep. 03, 2009
Unrecorded Unconditional Purchase Obligation [Line Items]
Commitments for acquisition of property, plant and equipment	$ 600
Operating Leases, Future Minimum Payments Due [Abstract]
2012	32
2013	26
2014	16
2015	9
2016	8
2017 and thereafter	25
Total operating lease commitments	116
Operating Leases, Rent Expense [Abstract]
Rent expense	69	$ 41	$ 28
Operating Leases, Income Statement, Lease Revenue [Abstract]
Rental income	$ 7

Contingencies (Details) $ in Millions	1 Months Ended	12 Months Ended
Contingencies (Details) $ in Millions	Jul. 31, 2006 integer	Sep. 01, 2011 USD ($) decimal integer	Mar. 10, 2011 integer	Feb. 07, 2011 integer
Antitrust Matters [Member] \| Rambus DRAM Complaint [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		5/5/2004
Approximation of damages claimed \| $		$ 3,900
Trial Commencement Date		6/20/2011
Antitrust Matters [Member] \| DRAM Purported Class Action Price-fixing Lawsuit [Member]
Loss Contingencies [Line Items]
Number of lawsuits filed		68
Alleged period covered in lawsuit or investigation, start		4/30/1999
Alleged period covered in lawsuit or investigation, end		6/30/2002
Approximate number of U.S. states and territories filing suit	40
Settlement agreement date		6/23/2010
Settlement agreement amount \| $		$ 67
Settlement agreement number of installment payments		3
Settlement agreement number of years for installment payments (in years)		2Y
Antitrust Matters [Member] \| Canadian DRAM Putative Class Action Price-fixing Lawsuit [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		between December 2004 (British Columbia) and June 2006 (Quebec)
Number of lawsuits filed		3
Antitrust Matters [Member] \| Individual Suits Against DRAM Suppliers By Plaintiffs Who Opted Out of Class Action Settlement [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		February and March 2007
Antitrust Matters [Member] \| Brazil Investigation Of Anticompetitive DRAM Activities [Member]
Loss Contingencies [Line Items]
Alleged period covered in lawsuit or investigation, start		7/31/1998
Alleged period covered in lawsuit or investigation, end		6/30/2002
Antitrust Matters [Member] \| Oracle DRAM Price-fixing Suit [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		9/24/2010
Alleged period covered in lawsuit or investigation, start		8/1/1998
Alleged period covered in lawsuit or investigation, end		6/15/2002
Patent Matters [Member] \| Rambus Patent Litigation Delaware [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		8/28/2000
Alleged number of patents infringed		12
Patent Matters [Member] \| Panavision Imaging Patent Litigation [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		3/6/2009
Alleged number of patents infringed		4
Court ruling that one of four patents in suit was invalid				1
Court ruling, remaining three patents in suit were dismissed with prejudice			3
Patent Matters [Member] \| HSM Portfolio LLC and Technology Properties LLC [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		9/1/2011
Number of other defendants \| decimal		17
Alleged number of patents infringed \| decimal		2
Patent Matters [Member] \| Advanced Data Access LLC [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		9/9/2011
Number of other defendants \| decimal		7
Alleged number of patents infringed \| decimal		1
Patent Matters [Member] \| Smart Memory Solutions LLC [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		9/14/2011
Alleged number of patents infringed \| decimal		1
Securities Matters [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		2/24/2006
Number of lawsuits filed		5
Alleged period covered in lawsuit or investigation, start		2/24/2001
Alleged period covered in lawsuit or investigation, end		2/13/2003
Settlement agreement execution date		8/24/2010
Settlement agreement date		4/28/2011
Number of substantially similar complaints		4
Approved class period covered in lawsuit, start		2/24/2001
Approved class period covered in lawsuit, end		9/18/2002
Settlement agreement amount uninsured contribution \| $		$ 6
Commercial Matters [Member]
Loss Contingencies [Line Items]
Lawsuit Filing Date		1/20/2011

Shareholders' Equity Shareholders' Equity - Common Stock Transactions (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	Jul. 26, 2011	Apr. 15, 2009
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Issuance of common stock (in shares)		69.3
Common stock public offering (in dollars per share)		$ 4.15
Issuance of common stock		$ 276
Stock Issuance, Underwritting Fees and Other Offering Costs		$ 12
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)	$ 7.60

Shareholders' Equity Shareholders' Equity - Issuance for Acquisition of Numonyx (Details) - Numonyx Holdings B V [Member] - shares shares in Millions	12 Months Ended
	Sep. 01, 2011	May 07, 2010
Common stock [Member]
Business Acquisition, Equity Interests Issued or Issuable [Line Items]
Equity units issued for acquisition of Numonyx (in shares)		137.7
Shares held in escrow for indemnity obligations (in shares)		21.0
Shares held in escrow for indemnity obligations sold (in shares)	21.0
Restricted stock units [Member]
Business Acquisition, Equity Interests Issued or Issuable [Line Items]
Equity units issued for acquisition of Numonyx (in shares)		4.8
Restricted stock units vested at time of issuance (in shares)		1.6

Shareholders' Equity Shareholders' Equity - Capped Call Transactions (Details) shares in Millions, $ in Millions	1 Months Ended	12 Months Ended
	Sep. 01, 2011 USD ($) $ / shares shares	Sep. 01, 2011 USD ($) $ / shares shares	Sep. 02, 2010 USD ($)	Sep. 03, 2009 USD ($)	Aug. 30, 2007 USD ($)
Option Indexed to Issuer's Equity [Line Items]
Option Indexed To Issuers Equity Cash Paid \| $		$ 57	$ 0	$ 25	$ 151
Convertible senior notes 2031A and 2031B [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Shares (in shares) \| shares	72.6
Option Indexed To Issuers Equity Cash Paid \| $	$ 57
Option Indexed to Issuer's Equity, Settlement Maximum \| $	$ 207
Convertible senior notes 2031A and 2031B [Member] \| Initial Strike Price [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)	9.50
Convertible senior notes 2031A and 2031B [Member] \| First Tranche [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)	11.40
Convertible senior notes 2031A and 2031B [Member] \| Second Tranche [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)	12.16
Convertible senior notes 2031A and 2031B [Member] \| Third Tranche [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)	12.67
Convertible senior notes 2031A and 2031B [Member] \| Fourth Tranche [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)	13.17
Convertible Senior Notes Due 2013 [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Shares (in shares) \| shares		45.2
Option Indexed to Issuer's Equity, Settlement Maximum \| $		$ 70
Convertible Senior Notes Due 2013 [Member] \| Initial Strike Price [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)		5.08
Convertible Senior Notes Due 2013 [Member] \| First Tranche [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)		6.64
Convertible Senior Notes Due 2014 [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Shares (in shares) \| shares		91.3
Option Indexed to Issuer's Equity, Settlement Maximum \| $		$ 538
Convertible Senior Notes Due 2014 [Member] \| Initial Strike Price [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)		14.23
Convertible Senior Notes Due 2014 [Member] \| First Tranche [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)		17.25
Convertible Senior Notes Due 2014 [Member] \| Second Tranche [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)		20.13
Convertible Senior Notes Due 2014 [Member] \| Third Tranche [Member]
Option Indexed to Issuer's Equity [Line Items]
Option Indexed to Issuer's Equity, Strike Price (in dollars per share)		23.00

Shareholders' Equity - Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010
Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated translation adjustment, net	$ 65	$ 2
Gain (loss) on derivative, net	43	1
Gain (loss) on investments, net	25	14
Unrecognized pension liability	(1)	(6)
Accumulated other comprehensive income	$ 132	$ 11

Derivative Financial Instruments - Fair Values (Details) - USD ($) $ in Millions	Sep. 01, 2011	Sep. 02, 2010
Derivatives not designated as hedging instruments [Abstract]
Notional Amount Outstanding, Not Designated	$ 824	$ 521
Fair Value of Asset, Not Designated	6	1
Fair Value of Liability, Not Designated	(2)	(5)
Derivatives designated as hedging instruments [Abstract]
Notional Amount Outstanding	251	277
Fair Value of Asset	9	2
Fair Value of Liability	0	0
Euro currency forward contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Notional Amount Outstanding, Not Designated	301	260
Derivatives designated as hedging instruments [Abstract]
Notional Amount Outstanding	232	196
Singapore dollar currency forward contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Notional Amount Outstanding, Not Designated	210	157
Yen currency forward contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Notional Amount Outstanding, Not Designated	165	104
Derivatives designated as hedging instruments [Abstract]
Notional Amount Outstanding	19	81
Other Currency Forward Contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Notional Amount Outstanding, Not Designated	148
Receivables [Member] \| Euro currency forward contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Fair Value of Asset, Not Designated	3	0
Derivatives designated as hedging instruments [Abstract]
Fair Value of Asset	8	1
Receivables [Member] \| Singapore dollar currency forward contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Fair Value of Asset, Not Designated	0	0
Receivables [Member] \| Yen currency forward contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Fair Value of Asset, Not Designated	3	1
Derivatives designated as hedging instruments [Abstract]
Fair Value of Asset	1	1
Receivables [Member] \| Other Currency Forward Contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Fair Value of Asset, Not Designated	0
Accounts payable and accrued expenses [Member] \| Euro currency forward contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Fair Value of Liability, Not Designated	0	(5)
Derivatives designated as hedging instruments [Abstract]
Fair Value of Liability	0	0
Accounts payable and accrued expenses [Member] \| Singapore dollar currency forward contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Fair Value of Liability, Not Designated	0	0
Accounts payable and accrued expenses [Member] \| Yen currency forward contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Fair Value of Liability, Not Designated	0	0
Derivatives designated as hedging instruments [Abstract]
Fair Value of Liability	0	$ 0
Accounts payable and accrued expenses [Member] \| Other Currency Forward Contracts [Member]
Derivatives not designated as hedging instruments [Abstract]
Fair Value of Liability, Not Designated	$ (2)

Derivative Financial Instruments - Hedging Relationship (Details) - USD ($) $ in Millions	12 Months Ended
	Sep. 01, 2011	Sep. 02, 2010
Other Operating (Income) Expense [Member] \| Nondesignated [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Recognized in Income	$ 21	$ 29
Other Comprehensive Income [Member] \| Cash Flow Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain Recognized in Other Comprehensive Income, Effective Portion	$ 49

Derivative Financial Instruments - Additional Information (Details)	12 Months Ended
	Sep. 01, 2011
Derivatives, Fair Value [Line Items]
Derivative instruments not designated as hedging instruments, description of terms (in days)	35D
General maturity of currency derivatives with cash flow hedge accounting designation (in months)	12M

Fair Value Measurements - Assets measured (Details) - USD ($)
shares in Millions, $ in Millions

Sep. 01, 2011

Sep. 02, 2010

Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]

^[1]

$ 1,462

$ 2,170

^[2]

155

705

^[3]

Total assets measured at fair value on a recurring basis

^[3]

1,704

2,950

Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract]

Certificates of deposit included in cash and equivalents

371

Certificates of deposit included in restricted cash

334

Marketable equity investments gross gains included in accumulated other comprehensive income

Marketable equity investments gross losses included in accumulated other comprehensive income

$ 7

Tower Semiconductor Ltd. shares received in Japan Fab disposition (in shares)

Level 1 [Member]

Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]

^[1]

$ 1,462

2,170

^[2]

^[3]

Total assets measured at fair value on a recurring basis

^[3]

1,499

2,189

Level 2 [Member]

Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]

^[1]

^[2]

155

705

^[3]

Total assets measured at fair value on a recurring basis

^[3]

170

705

Level 3 [Member]

Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]

^[1]

^[2]

^[3]