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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.  20549
FORM 10-Q
(Mark One)
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 3, 2021
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from            to
Commission file number 1-10658
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Micron Technology, Inc.
(Exact name of registrant as specified in its charter)
Delaware75-1618004
(State or other jurisdiction of incorporation or organization)(I.R.S. Employer Identification No.)
8000 S. Federal Way, Boise, Idaho
83716-9632
(Address of principal executive offices)(Zip Code)
(Registrant’s telephone number, including area code)
(208) 368-4000
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading SymbolName of each exchange on which registered
Common Stock, par value $0.10 per shareMUNasdaq Global Select Market
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.YesNo
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).YesNo
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large Accelerated FilerAccelerated FilerNon-Accelerated FilerSmaller Reporting CompanyEmerging Growth Company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).YesNo
The number of outstanding shares of the registrants common stock as of June 24, 2021 was 1,125,753,560.


                                        

Micron Corporate Profile
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Founded over 40 years ago on October 5, 1978

Headquartered in
Boise, Idaho, USA
 
4th
Largest semiconductor company
in the world*

135
On the 2021 Fortune 500

44,000+
Patents granted and growing**

17
Countries**

13
Manufacturing sites and
14 customer labs**

~40,000
Team members**
It’s All About Data
Data is today’s new business currency, and memory and storage are strategic differentiators which will redefine how we extract value from data to expand the global economy and transform our society.
Who We Are
Micron designs, develops, and manufactures industry-leading memory and storage products. By providing foundational capability for innovations like AI and 5G across data center, the intelligent edge, and consumer devices, we unlock innovation across industries including healthcare, automotive, and communications. Our technology and expertise are central to maximizing value from cutting-edge computing applications and new business models which disrupt and advance the industry.
Our Vision
As a global leader in memory and storage solutions, we are transforming how the world uses information to enrich life for all. By advancing technologies to collect, store, and manage data with unprecedented speed and efficiency, we lead the transformation of data to information intelligence. In a world of change, we remain nimble, delivering products that help inspire the world to learn, communicate, and advance faster than ever.
Our Commitment

*Based on Gartner Market Share: Semiconductors by End Market, Worldwide, 2020 (April 2021), excluding IP/software revenue.
**Micron data as of September 3, 2020.
The world has come to expect our delivery of innovative solutions and our customers depend on our integrity. We rededicate ourselves daily to demonstrating our environmental conscience, an inclusive team culture where all voices are heard and respected, and engaging in our communities to enrich life for all.
Media Inquiries
mediarelations@micron.com

Government Inquiries
govaffairs@micron.com

Investor Inquiries
investorrelations@micron.com
Global Product Portfolio
DRAM | NAND | NOR | Solid-State Drives | Graphics and High Bandwidth Memory (HBM) | Managed NAND and Multichip Packages
Connect with us on micron.com
© 2021 Micron Technology, Inc. All rights reserved. Information, products, and/or specifications are subject to change without notice. Micron, the Micron logo, and all other Micron trademarks are the property of Micron Technology, Inc. All other trademarks are the property of their respective owners. Rev 06/21 CCMMD-1707390403-3712


                                        

Table of Contents
Introduction
Part I. Financial Information
Item 1.Financial Statements:
Consolidated Statements of Operations
Consolidated Statements of Comprehensive Income
Consolidated Balance Sheets
Consolidated Statements of Changes in Equity
Consolidated Statements of Cash Flows
Notes to Consolidated Financial Statements
Item 2.Management’s Discussion and Analysis of Financial Condition and Results of Operations
Results of Operations
Liquidity and Capital Resources
Item 3.Quantitative and Qualitative Disclosures about Market Risk
Item 4.Controls and Procedures
Part II. Other Information
Item 1.Legal Proceedings
Item 1A.Risk Factors
Item 2.Unregistered Sales of Equity Securities and Use of Proceeds
Item 6.Exhibits
Signatures


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Definitions of Commonly Used Terms
As used herein, “we,” “our,” “us,” and similar terms include Micron Technology, Inc. and its consolidated subsidiaries, unless the context indicates otherwise. Abbreviations, terms, or acronyms are commonly used or found in multiple locations throughout this report and include the following:
TermDefinitionTermDefinition
2023 Notes2.497% Senior Notes due 2023IMFTIM Flash Technologies, LLC
2024 Notes
4.640% Senior Notes due 2024
InoteraInotera Memories, Inc.
2024 Term Loan ASenior Term Loan A due 2024 entered into on May 14, 2021
Intel
Intel Corporation
2025 Notes
5.500% Senior Notes due 2025
LIBORLondon Interbank Offered Rate
2026 Notes
4.975% Senior Notes due 2026
LPDRAMLow-power DRAM
2027 Notes
4.185% Senior Notes due 2027
MCP
Multichip packaged solutions with managed NAND and LPDRAM
2029 Notes
5.327% Senior Notes due 2029
Micron
Micron Technology, Inc. (Parent Company)
2030 Notes
4.663% Senior Notes due 2030
MMJMicron Memory Japan, G.K.
2032D Notes
3.125% Convertible Senior Notes due 2032
Revolving Credit Facility$2.5 billion Revolving Credit Facility due May 2026
DDRDouble Data RateSOFRSecured Overnight Financing Rate
EBITDAEarnings before interest, taxes, depreciation, and amortizationSSDSolid State Drive
Extinguished 2024 Term Loan ASenior Term Loan A due 2024 repaid on May 14, 2021TITexas Instruments Incorporated
GDDRGraphics Double Data Rate

Micron Technology, Inc., including its consolidated subsidiaries, is an industry leader in innovative memory and storage solutions transforming how the world uses information to enrich life for all. With a relentless focus on our customers, technology leadership, and manufacturing and operational excellence, Micron delivers a rich portfolio of high-performance DRAM, NAND, and NOR memory and storage products through our Micron® and Crucial® brands. Every day, the innovations that our people create fuel the data economy, enabling advances in artificial intelligence and 5G applications that unleash opportunities — from the data center to the intelligent edge and across the client and mobile user experience.

Micron, Crucial, any associated logos, and all other Micron trademarks are the property of Micron. Intel and 3D XPoint are trademarks of Intel Corporation or its subsidiaries. Other product names or trademarks that are not owned by Micron are for identification purposes only and may be the trademarks of their respective owners.

Available Information
Investors and others should note that we announce material financial information about our business and products through a variety of means, including our investor relations website (investors.micron.com), filings with the U.S. Securities and Exchange Commission (the “SEC”), press releases, public conference calls, and webcasts. We use these channels to achieve broad, non-exclusionary distribution of information to the public and for complying with our disclosure obligations under Regulation FD. Therefore, we encourage investors, the media, and others interested in our company to review the information we post on such channels.

2 | 2021 Q3 10-Q

                                        

Forward-Looking Statements
This Form 10-Q contains trend information and other forward-looking statements that involve a number of risks and uncertainties. Such forward-looking statements may be identified by words such as "anticipate," "expect," "intend," "pledge," "committed," "plans," "opportunities," "future," "believe," "target," "on track," "estimate," "continue," "likely," "may," "will," "would," "should," "could," and variations of such words and similar expressions. Specific forward-looking statements include, but are not limited to, statements such as those made regarding the impact of coronavirus disease 2019 (“COVID-19”) to our business; the completion of and timing for closing the pending sale of our Lehi facility; the sufficiency of our cash and investments; and capital spending in 2021. Our actual results could differ materially from our historical results and those discussed in the forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, those identified in “Part II. Other Information – Item 1A. Risk Factors.”
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PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS

Micron Technology, Inc.
Consolidated Statements of Operations
(In millions, except per share amounts)
(Unaudited)
Quarter endedNine months ended
June 3,
2021
May 28,
2020
June 3,
2021
May 28,
2020
Revenue$7,422 $5,438 $19,431 $15,379 
Cost of goods sold4,296 3,675 12,920 10,895 
Gross margin3,126 1,763 6,511 4,484 
Research and development670 649 1,958 1,970 
Selling, general, and administrative230 216 658 650 
Restructure and asset impairments453 4 466 10 
Other operating (income) expense, net(26)6 101 8 
Operating income1,799 888 3,328 1,846 
Interest income8 23 28 101 
Interest expense(46)(51)(136)(144)
Other non-operating income (expense), net45 10 62 55 
1,806 870 3,282 1,858 
Income tax (provision) benefit(65)(68)(164)(144)
Equity in net income (loss) of equity method investees
(6)3 23 6 
Net income1,735 805 3,141 1,720 
Net income attributable to noncontrolling interests (2) (21)
Net income attributable to Micron$1,735 $803 $3,141 $1,699 
Earnings per share
Basic$1.55 $0.72 $2.81 $1.53 
Diluted1.52 0.71 2.75 1.50 
Number of shares used in per share calculations
Basic1,121 1,111 1,119 1,110 
Diluted1,145 1,129 1,141 1,131 









See accompanying notes to consolidated financial statements.
4 | 2021 Q3 10-Q

                                        

Micron Technology, Inc.
Consolidated Statements of Comprehensive Income
(In millions)
(Unaudited)
Quarter endedNine months ended
June 3,
2021
May 28,
2020
June 3,
2021
May 28,
2020
Net income$1,735 $805 $3,141 $1,720 
Other comprehensive income (loss), net of tax
Gains (losses) on derivative instruments(32)(3)(20)(18)
Gains (losses) on investments(2)2 (6) 
Pension liability adjustments (1)1 (2)
Cumulative translation adjustments  1  
Other comprehensive income (loss)(34)(2)(24)(20)
Total comprehensive income1,701 803 3,117 1,700 
Comprehensive income attributable to noncontrolling interests
 (2) (21)
Comprehensive income attributable to Micron$1,701 $801 $3,117 $1,679 


































See accompanying notes to consolidated financial statements.
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Micron Technology, Inc.
Consolidated Balance Sheets
(In millions, except par value amounts)
(Unaudited)
As ofJune 3,
2021
September 3,
2020
Assets
Cash and equivalents$7,759 $7,624 
Short-term investments590 518 
Receivables4,231 3,912 
Inventories4,537 5,373 
Assets held for sale966  
Other current assets478 538 
Total current assets18,561 17,965 
Long-term marketable investments1,399 1,048 
Property, plant, and equipment32,209 31,031 
Operating lease right-of-use assets558 584 
Intangible assets350 334 
Deferred tax assets822 707 
Goodwill1,228 1,228 
Other noncurrent assets816 781 
Total assets$55,943 $53,678 
Liabilities and equity
Accounts payable and accrued expenses$4,427 $5,817 
Current debt297 270 
Other current liabilities738 548 
Total current liabilities5,462 6,635 
Long-term debt6,418 6,373 
Noncurrent operating lease liabilities513 533 
Noncurrent unearned government incentives722 643 
Other noncurrent liabilities569 498 
Total liabilities13,684 14,682 
Commitments and contingencies
Shareholders’ equity
Common stock, $0.10 par value, 3,000 shares authorized, 1,203 shares issued and 1,120 outstanding (1,194 shares issued and 1,113 outstanding as of September 3, 2020)
120 119 
Additional capital9,285 8,917 
Retained earnings36,452 33,384 
Treasury stock, 83 shares held (81 shares held as of September 3, 2020)
(3,645)(3,495)
Accumulated other comprehensive income (loss)47 71 
Total equity42,259 38,996 
Total liabilities and equity$55,943 $53,678 


See accompanying notes to consolidated financial statements.
6 | 2021 Q3 10-Q

                                        

Micron Technology, Inc.
Consolidated Statements of Changes in Equity
(In millions)
(Unaudited)

Common StockAdditional CapitalRetained EarningsTreasury StockAccumulated Other Comprehensive
Income (Loss)
Total Shareholders’ Equity
Number
of Shares
Amount
Balance at September 3, 20201,194 $119 $8,917 $33,384 $(3,495)$71 $38,996 
Net income— — — 803 — — 803 
Other comprehensive income (loss), net— — — — — 39 39 
Stock issued under stock plans5 1 33 — — — 34 
Stock-based compensation expense— — 92 — — — 92 
Repurchase of stock(1) (8)(49)— — (57)
Balance at December 3, 20201,198 $120 $9,034 $34,138 $(3,495)$110 $39,907 
Net income— — — 603 — — 603 
Other comprehensive income (loss), net— — — — — (29)(29)
Stock issued under stock plans4  105 — — — 105 
Stock-based compensation expense— — 97 — — — 97 
Repurchase of stock  (2)(18)— — (20)
Balance at March 4, 20211,202 $120 $9,234 $34,723 $(3,495)$81 $40,663 
Net income— — — 1,735 — — 1,735 
Other comprehensive income (loss), net— — — — — (34)(34)
Stock issued under stock plans1  8 — — — 8 
Stock-based compensation expense— — 96 — — — 96 
Repurchase of stock  (1)(6)(150)— (157)
Cash settlement of convertible notes— — (52)— — — (52)
Balance at June 3, 20211,203 $120 $9,285 $36,452 $(3,645)$47 $42,259 




















See accompanying notes to consolidated financial statements.
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Micron Technology, Inc.
Consolidated Statements of Changes in Equity
(In millions)
(Unaudited)

Micron Shareholders  
Common StockAdditional CapitalRetained EarningsTreasury StockAccumulated Other Comprehensive
Income (Loss)
Total Micron Shareholders’ EquityNoncontrolling Interest in SubsidiaryTotal Equity
Number
of Shares
Amount
Balance at August 29, 20191,182 $118 $8,214 $30,761 $(3,221)$9 $35,881 $889 $36,770 
Net income— — — 491 — — 491 15 506 
Other comprehensive income (loss), net— — — — — (3)(3)— (3)
Stock issued under stock plans3 1 31 — — — 32 — 32 
Stock-based compensation expense— — 72 — — — 72 — 72 
Repurchase of stock  (6)(34)(50)— (90)— (90)
Acquisition of noncontrolling interest— — 123 — — — 123 (904)(781)
Cash settlement of convertible notes— — (6)— — — (6)— (6)
Balance at November 28, 20191,185 $119 $8,428 $31,218 $(3,271)$6 $36,500 $ $36,500 
Net income— — — 405 — — 405  405 
Other comprehensive income (loss), net— — — — — (15)(15)— (15)
Stock issued under stock plans7  121 — — — 121 — 121 
Stock-based compensation expense— — 85 — — — 85 — 85 
Repurchase of stock(1) (4)(21)(45)— (70)— (70)
Settlement of capped calls— — 98 — (98)—  —  
Cash settlement of convertible notes— — (3)— — — (3)— (3)
Balance at February 27, 20201,191 $119 $8,725 $31,602 $(3,414)$(9)$37,023 $ $37,023 
Net income— — — 803 — — 803  803 
Other comprehensive income (loss), net— — — — — (2)(2)— (2)
Stock issued under stock plans1  4 — — — 4 — 4 
Stock-based compensation expense— — 82 — — — 82 — 82 
Repurchase of stock   (3)(40)— (43)— (43)
Cash settlement of convertible notes— — (47)— — — (47)— (47)
Balance at May 28, 20201,192 $119 $8,764 $32,402 $(3,454)$(11)$37,820 $ $37,820 
















See accompanying notes to consolidated financial statements.
8 | 2021 Q3 10-Q

                                        

Micron Technology, Inc.
Consolidated Statements of Cash Flows
(In millions)
(Unaudited)
Nine months endedJune 3,
2021
May 28,
2020
Cash flows from operating activities
Net income$3,141 $1,720 
Adjustments to reconcile net income to net cash provided by operating activities  
Depreciation expense and amortization of intangible assets4,593 4,083 
Amortization of debt discount and other costs22 20 
Restructure and asset impairments446 (7)
Stock-based compensation285 239 
(Gain) loss on debt prepayments, repurchases, and conversions1 (40)
Change in operating assets and liabilities  
Receivables(340)(461)
Inventories814 (248)
Accounts payable and accrued expenses(309)700 
Deferred income taxes, net(94)26 
Other25 3 
Net cash provided by operating activities8,584 6,035 
Cash flows from investing activities  
Expenditures for property, plant, and equipment(8,015)(5,943)
Purchases of available-for-sale securities(1,919)(793)
Proceeds from maturities of available-for-sale securities1,024 636 
Proceeds from sales of available-for-sale securities473 1,157 
Proceeds from government incentives335 140 
Other47 (48)
Net cash provided by (used for) investing activities(8,055)(4,851)
Cash flows from financing activities  
Repayments of debt(1,344)(4,286)
Payments on equipment purchase contracts(139)(49)
Acquisition of noncontrolling interest in IMFT (744)
Proceeds from issuance of debt1,188 5,000 
Other(142)(56)
Net cash provided by (used for) financing activities(437)(135)
Effect of changes in currency exchange rates on cash, cash equivalents, and restricted cash44 (8)
Net increase (decrease) in cash, cash equivalents, and restricted cash136 1,041 
Cash, cash equivalents, and restricted cash at beginning of period7,690 7,279 
Cash, cash equivalents, and restricted cash at end of period$7,826 $8,320 



See accompanying notes to consolidated financial statements.
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Micron Technology, Inc.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(All tabular amounts in millions, except per share amounts)
(Unaudited)

Significant Accounting Policies

For a discussion of our significant accounting policies, see “Part II – Item 8. Financial Statements and Supplementary Data – Notes to Consolidated Financial Statements – Significant Accounting Policies” of our Annual Report on Form 10-K for the year ended September 3, 2020. Except for the significant accounting policy associated with inventories as discussed below, there have been no changes to our significant accounting policies since our Annual Report on Form 10-K for the year ended September 3, 2020.

Basis of Presentation

The accompanying consolidated financial statements include the accounts of Micron and our consolidated subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) consistent in all material respects with those applied in our Annual Report on Form 10-K for the year ended September 3, 2020, except for changes in accounting and presentation of inventories. See “Inventories” below for changes to our significant accounting policies, and the “Inventories” note for additional information.

In the opinion of our management, the accompanying unaudited consolidated financial statements contain all necessary adjustments, consisting of a normal recurring nature, to fairly state the financial information set forth herein. 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. Fiscal 2021 contains 52 weeks and our fiscal 2020 contained 53 weeks. The first three quarters of fiscal 2021 and 2020 each contained 13 weeks. All period references are to our fiscal periods unless otherwise indicated. These interim financial statements should be read in conjunction with the consolidated financial statements and accompanying notes included in our Annual Report on Form 10-K for the year ended September 3, 2020.

Through October 31, 2019, IMFT was a consolidated variable interest entity. We acquired Intel’s noncontrolling interest in IMFT on October 31, 2019, at which time IMFT became a wholly-owned subsidiary.

Inventories

Effective as of the beginning of the second quarter of 2021, we changed the method of inventory costing from average cost to first-in, first-out (“FIFO”). The difference between average cost and FIFO was not material to any previously reported financial statements. Therefore, we have recognized the cumulative effect of the change as a reduction of inventories and a charge to cost of goods sold of $133 million as of the beginning of the second quarter of 2021.

Inventories are stated at the lower of cost or net realizable value, with cost being determined on a FIFO basis. Cost includes depreciation, labor, material, and overhead costs, including product and process technology costs. When net realizable value (which requires projecting future average selling prices, sales volumes, and costs to complete products in work in process inventories) is below cost, we record a charge to cost of goods sold to write down inventories to their estimated net realizable value in advance of when inventories are actually sold. We review the major characteristics of product type and markets in determining the unit of account for which we perform the lower of cost or net realizable value analysis and categorize all inventories (including DRAM, NAND, and other memory) as a single group. We remove amounts from inventory and charge such amounts to cost of goods sold on a FIFO basis.


10 | 2021 Q3 10-Q

                                        

Recently Adopted Accounting Standards

In November 2018, the Financial Accounting Standards Board (“FASB”) issued ASU 2018-18 – Collaborative Arrangements, which clarifies that certain transactions between collaborative arrangement participants should be accounted for as revenue when the collaborative arrangement participant is a customer in the context of a unit of account and precludes recognizing as revenue consideration received from a collaborative arrangement participant if the participant is not a customer. We adopted ASU 2018-18 in the first quarter of 2021 under the retrospective adoption method to the date we adopted ASC 606, which was August 31, 2018. The adoption of this ASU did not have a significant impact on our financial statements.

In June 2016, the FASB issued ASU 2016-13 – Measurement of Credit Losses on Financial Instruments, which requires a financial asset (or a group of financial assets) measured on the basis of amortized cost to be presented at the net amount expected to be collected. This ASU requires that the income statement reflect the measurement of credit losses for newly recognized financial assets as well as the increases or decreases of expected credit losses that have taken place during the period. This ASU requires that credit losses of debt securities designated as available-for-sale be recorded through an allowance for credit losses and limits the credit loss to the amount by which fair value is below amortized cost. We adopted ASU 2016-13 in the first quarter of 2021 under the modified retrospective adoption method. The adoption of this ASU did not have a significant impact on our financial statements.


Recently Issued Accounting Standards

In August 2020, the FASB issued ASU 2020-06 – Debt Debt with Conversion and Other Options and Derivatives and Hedging Contracts in Entity’s Own Equity, which simplifies the accounting for convertible debt instruments by reducing the number of accounting models and the number of embedded conversion features that could be recognized separately from the primary contract. This ASU requires a convertible debt instrument to be accounted for as a single liability measured at its amortized cost, as long as no other features require bifurcation and recognition as derivatives. This ASU requires an entity to use the if-converted method in the diluted earnings per share calculation for convertible instruments. This ASU will be effective for us in the first quarter of 2023, with early adoption permitted beginning in the first quarter of 2022, and permits the use of either the modified retrospective or fully retrospective method of transition. We are evaluating the timing and effects of our adoption of this ASU on our financial statements.


Lehi, Utah Fab and 3D XPoint

In the second quarter of 2021, we updated our portfolio strategy to further strengthen our focus on memory and storage innovations for the data center market. In connection therewith, we determined that there was insufficient market validation to justify the ongoing investments required to commercialize 3D XPointTM at scale. Accordingly, we ceased development of 3D XPoint technology and engaged in discussions with potential buyers for the sale of our facility located in Lehi that was dedicated to 3D XPoint production. As a result, we classified the property, plant, and equipment as held for sale and ceased depreciating the assets. On June 30, 2021, we announced that we have entered into a definitive agreement to sell our Lehi facility to Texas Instruments for cash consideration of $900 million. The sale is anticipated to close later this calendar year.

In the third quarter of 2021, we recognized a charge of $435 million included in restructure and asset impairments (and a tax benefit of $104 million included in income tax (provision) benefit) to write down the assets held for sale to the expected consideration, net of estimated selling costs, to be realized from the sale of these assets and liabilities. The impairment charge was based on Level 3 inputs including expected consideration and the composition of assets included in the sale, which were derived from the agreement with TI. In the second quarter of 2021, we also recognized a charge of $49 million to cost of goods sold to write down 3D XPoint inventory due to our decision to cease further development of this technology.

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As of June 3, 2021, the significant balances of assets held for sale in connection with our Lehi facility were as follows:
As ofJune 3,
2021
Property, plant, and equipment$1,343 
Other current assets52 
Impairment(435)
Lehi assets held for sale$960 
As of June 3, 2021, we also had a $51 million finance lease obligation included in the current portion of long-term debt and $12 million of other liabilities that we expect to transfer with the sale. The expected cash consideration, net of estimated selling expenses, approximates the carrying value of the net assets and liabilities expected to transfer in the sale, after giving effect to the impairment charge discussed above.


Cash and Investments

Substantially all of our marketable debt and equity investments were classified as available-for-sale as of the dates noted below. Cash and equivalents and the fair values of our available-for-sale investments, which approximated amortized costs, were as follows:
June 3, 2021September 3, 2020
As ofCash and EquivalentsShort-term Investments
Long-term Marketable Investments(1)
Total Fair ValueCash and EquivalentsShort-term Investments
Long-term Marketable Investments(1)
Total Fair Value
Cash$5,153 $ $ $5,153 $3,996 $ $ $3,996 
Level 1(2)
Money market funds822   822 1,828   1,828 
Level 2(3)
Certificates of deposit1,763 44  1,807 1,740 10 2 1,752 
Corporate bonds 285 893 1,178 3 266 592 861 
Government securities 113 124 237 6 115 243 364 
Asset-backed securities 73 382 455 1 31 211 243 
Commercial paper21 75  96 50 96  146 
7,759 $590 $1,399 $9,748 7,624 $518 $1,048 $9,190 
Restricted cash(4)
67 66 
Cash, cash equivalents, and restricted cash$7,826 $7,690 
(1)The maturities of long-term marketable securities range from one to four years.
(2)The fair value of Level 1 securities is measured based on quoted prices in active markets for identical assets.
(3)The fair value of Level 2 securities is measured using information obtained from pricing services, which obtain quoted market prices for similar instruments, non-binding market consensus prices that are corroborated by observable market data, or various other methodologies, to determine the appropriate value at the measurement date. We perform supplemental analysis to validate information obtained from these pricing services. No adjustments were made to the fair values indicated by such pricing information as of June 3, 2021 or September 3, 2020.
(4)Restricted cash is included in other noncurrent assets and primarily relates to certain government incentives received prior to being earned and for which restrictions lapse upon achieving certain performance conditions.

Gross realized gains and losses from sales of available-for-sale securities were not significant for any period presented.

12 | 2021 Q3 10-Q

                                        

In addition to the amounts included in the table above, we had $142 million and $92 million of nonmarketable equity investments without a readily determinable fair value that were included in other noncurrent assets as of June 3, 2021 and September 3, 2020, respectively. We recognized gains in other non-operating income on these nonmarketable investments of $42 million and $52 million in the third quarter and first nine months of 2021, respectively, and $14 million and $13 million in the third quarter and first nine months of 2020, respectively. These gains primarily resulted from adjustments of these investments to the value indicated by transactions in the same or similar investments.


Receivables
As ofJune 3,
2021
September 3,
2020
Trade receivables$3,827 $3,494 
Income and other taxes213 232 
Other191 186 
$4,231 $3,912 


Inventories
As ofJune 3,
2021
September 3,
2020
Finished goods$