Annual report pursuant to Section 13 and 15(d)

Property, Plant, and Equipment

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Property, Plant, and Equipment
 12 Months Ended
Feb. 29, 2024
Property, Plant and Equipment [Abstract]  
PROPERTY, PLANT, AND EQUIPMENT PROPERTY, PLANT, AND EQUIPMENT
The major components of property, plant, and equipment are as follows:
February 29, 2024 (1)
February 28, 2023 (1) (2)
(in millions)
Land and land improvements $ 473.6  $ 477.2 
Vineyards 264.6  243.5 
Buildings and improvements 1,941.6  1,800.4 
Machinery and equipment 5,649.0  5,277.9 
Motor vehicles 162.9  186.1 
Construction in progress (3) (4)
2,296.6  1,272.0 
10,788.3  9,257.1 
Less – Accumulated depreciation (2,733.1) (2,391.9)
$ 8,055.2  $ 6,865.2 
(1)The property, plant, and equipment balance excludes Mexicali Brewery amounts reclassified to assets held for sale. See “Mexicali Brewery” below for further discussion.
(2)The property, plant, and equipment balance is net of a $51.6 million impairment of long-lived assets, including the Daleville Facility. See “Daleville Facility” below and Note 7 for further discussion.
(3)We capitalized $63.7 million, $36.5 million, and $25.3 million of interest costs for the years ended February 29, 2024, February 28, 2023, and February 28, 2022, respectively, primarily due to the Mexico Beer Projects.
(4)The design and construction process for the Veracruz Brewery commenced in Fiscal 2023 and is ongoing.

Mexicali Brewery
We are pursuing the sale of the remaining assets at the canceled Mexicali Brewery after exploring various options; however, we may not be successful in completing any such sale or obtaining other forms of recovery. The carrying value of assets held for sale are included in prepaid expenses and other and other assets within our consolidated balance sheets. See Note 7 for further discussion.

Daleville Facility
In May 2023, we sold the Daleville Facility in connection with our decision to exit the craft beer business.

Lodi Distribution Center
In December 2021, we purchased a previously leased wine and spirits distribution facility located in Lodi, California.