Depreciation is computed primarily using the straight-line method over the following estimated useful lives:
Years
Land improvements and vineyards
15 to 32
Buildings and improvements
10 to 50
Machinery, equipment, and motor vehicles
3 to 35
The major components of property, plant, and equipment, net are as follows:
February 28, 2026February 28, 2025
(in millions)
Land, land improvements, and vineyards$739.6$565.5
Buildings and improvements2,320.81,907.9
Machinery, equipment, and motor vehicles5,795.85,266.2
Construction in progress (1) (2)
2,759.82,218.1
11,616.09,957.7
Less – Accumulated depreciation(3,095.1)(2,547.9)
$8,520.9$7,409.8
(1)We capitalized $89.7 million, $74.2 million, and $63.7 million of interest costs for the years ended February 28, 2026, February 28, 2025, and February 29, 2024, respectively, primarily due to the Brewery Projects.
(2)Initial production at the Veracruz Brewery is expected to commence around the middle of Fiscal 2027.

Historical Timeline

Fiscal YearFiled
2026Apr 22, 2026Showing above
2025Apr 23, 2025
2024Apr 23, 2024
2023Apr 20, 2023
2022Apr 21, 2022
2021Apr 20, 2021
2020Apr 21, 2020
2019Apr 23, 2019
2018Apr 23, 2018
2017Apr 27, 2017
2016Apr 25, 2016

About PP&E Disclosures

The PP&E disclosure details a company's physical asset base — land, buildings, machinery, and equipment — along with the depreciation methods and useful life assumptions that determine how these costs flow through the income statement. Capitalization policy thresholds reveal management's judgment on the boundary between expense and asset, directly affecting both reported earnings and asset values.

Key signals: changes in estimated useful lives or depreciation methods can materially shift reported earnings without any operational change. Compare capital expenditures against depreciation expense — when capex consistently trails depreciation, the asset base may be aging and underinvested. Watch for large asset impairments or write-downs that signal overvalued carrying amounts. Asset retirement obligations reveal future environmental or decommissioning costs that are often underappreciated. Compare PP&E intensity (PP&E-to-revenue) against industry peers to assess capital efficiency and competitive positioning.