The restructuring and other expenses line item on our condensed consolidated statement of operations consist of restructuring expenses for employee severance costs, contract termination costs and certain other exit costs to improve our cost structure prospectively. The restructuring expenses resulted from the execution of management-approved restructuring plans that were developed for certain strategic initiatives and/or to improve operational efficiencies, as further described below; and other operating expenses, net.

During fiscal 2026, our management approved, committed to, initiated and further supplemented plans to restructure to implement certain strategic measures and further improve operational efficiencies, including through the adoption and integration of artificial intelligence technologies across certain functions and other operational activities (2026 Restructuring Plan). The total estimated restructuring costs associated with the 2026 Restructuring Plan are up to $2.1 billion as of August 31, 2026. Subsequent to August 31, 2026, our management supplemented the 2026 Restructuring Plan by approximately $700 million to reflect additional actions that we expect to take. These costs will be recorded to the restructuring and other expense line item within our condensed consolidated statements of operations through the end of the plan. We recorded $167 million and $415 million of restructuring expenses in connection with the 2026 Restructuring Plan for the three months ended August 31, 2026 and 2025, respectively. Any changes to the estimates of executing the 2026 Restructuring Plan will be reflected in our future results of operations.


	Accrued		Three Months Ended August 31, 2026										Accrued		Total Costs		Total Expected
(in millions)	May 31, 2026(2)		Initial Costs(3)		Adj. to Cost(4)			Cash Payments			Others(5)		August 31, 2026(2)		Accrued to Date		Program Costs
2026 Restructuring Plan(1)
Cloud and software	$	219	$	69	$	1		$	(120	)	$	—	$	169	$	729	$	776
Hardware		29		10		—			(15	)		—		24		88		93
Services		149		30		(1	)		(75	)		—		103		336		399
Other		170		52		6			(114	)		—		114		818		835
Total 2026 Restructuring Plan	$	567	$	161	$	6		$	(324	)	$	—	$	410	$	1,971	$	2,103
Total other restructuring plans(6)	$	86	$	—	$	(2	)	$	(6	)	$	1	$	79
Total restructuring plans	$	653	$	161	$	4		$	(330	)	$	1	$	489

(1)

Restructuring costs recorded to each of the operating segments presented primarily related to employee severance costs. Other restructuring costs represented employee severance costs not related to our operating segments and certain other restructuring plan costs.

(2)

The balances as of August 31, 2026 and May 31, 2026 included $422 million and $581 million, respectively, recorded in other current liabilities, and $67 million and $72 million, respectively, recorded in other non-current liabilities within our condensed consolidated balance sheets.

(3)

Costs recorded for the respective restructuring plans during the period presented.

(4)

All plan adjustments were changes in estimates whereby increases and decreases in costs were generally recorded to operating expenses in the period of adjustments.

(5)

Represents foreign currency translation and certain other non-cash adjustments.

(6)

Other restructuring plans presented in the table above included condensed information for other Oracle based plans and other plans associated with certain of our acquisitions whereby we continued to make cash outlays to settle obligations under these plans during the periods presented but for which the periodic impact to our condensed consolidated statements of operations was not significant.