Quarterly report pursuant to Section 13 or 15(d)

Discontinued Operations & Other Divestiture Charges Discontinued Operations & Divestiture Activities (Notes)

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Discontinued Operations & Other Divestiture Charges Discontinued Operations & Divestiture Activities (Notes)
Oct. 31, 2019
Discontinued Operations and Disposal Groups [Abstract]  
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]
Note 5. Discontinued Operations and Other Divestiture Activities
On October 31, 2019, as part of our overall strategy to become a pure-play industrial tools and services company, the Company completed the sale of the businesses comprising its former Engineered Components & Systems ("EC&S") segment. This divestiture was considered part of our strategic shift to become a pure-play industrial tools and services company, and therefore, the results of operations are recorded as a component of "Loss from discontinued operations, net of income taxes" in the Condensed Consolidated Statements of Earnings for all periods presented. All discontinued operations activity included within the Condensed Consolidated Statements of Earnings and the Condensed Consolidated Statements of Cash Flows for the periods presented relate to impacts from certain retained liabilities.
The following represents the detail of "Loss from discontinued operations, net of income taxes" within the Condensed Consolidated Statements of Earnings (in thousands):
Three Months Ended Six Months Ended
February 29, 2024 February 28, 2023 February 29, 2024 February 28, 2023
Selling, general and administrative expenses $ 45  $ 3,435  $ 168  $ 3,441 
Impairment & divestiture benefit —  —  —  (1,329)
Operating loss (45) (3,435) (168) (2,112)
Other loss, net —  —  —  — 
Loss before income tax expense (45) (3,435) (168) (2,112)
Income tax expense (benefit) 9  (774) 454  (494)
Loss from discontinued operations, net of income taxes $ (54) $ (2,661) $ (622) $ (1,618)
Other Divestiture Activities
On July 11, 2023, the Company completed the sale of the Cortland Industrial business, which had been included in the Other operating segment, for net cash proceeds of $20.1 million. In connection with the completion of the sale, the Company recorded a net gain of $6.0 million, inclusive of $0.1 million of purchase price from the customary finalization of working capital negotiations in the first quarter of fiscal 2024. The historical results of the Cortland Industrial business (which had net sales of $6.2 million and $13.3 million, for three and six months ended February 28, 2023) are not material to the consolidated financial results.