Quarterly report pursuant to Section 13 or 15(d)

Guarantor Subsidiaries (Tables)

v3.19.3.a.u2
Guarantor Subsidiaries (Tables)
3 Months Ended
Nov. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Schedule Of Condensed Consolidating Statement Of Earnings And Comprehensive Income [Table Text Block] CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(in thousands)
 
Three Months Ended November 30, 2019
 
Parent
 
Guarantors
 
Non-Guarantors
 
Eliminations
 
Consolidated
Net sales
$
38,622

 
$
10,771

 
$
97,281

 
$

 
$
146,674

Cost of products sold
12,354

 
5,848

 
59,784

 

 
77,986

Gross profit
26,268

 
4,923

 
37,497

 

 
68,688

Selling, administrative and engineering expenses
22,245

 
4,131

 
25,455

 

 
51,831

Amortization of intangible assets
318

 
285

 
1,269

 

 
1,872

Restructuring charges
459

 
819

 
694

 

 
1,972

Impairment & divestiture (benefit) charges
(2,578
)
 

 
1,222

 

 
(1,356
)
Operating profit (loss)
5,824

 
(312
)
 
8,857

 

 
14,369

Financing costs (income), net
6,795

 

 
(66
)
 

 
6,729

Intercompany (income) expense, net
1,748

 
9,163

 
2,247

 
(13,158
)
 

Intercompany dividends
(4,577
)
 

 

 
4,577

 

Other (income) expense, net
(179
)
 
214

 
283

 

 
318

Earnings before income tax expense
2,037

 
(9,689
)
 
6,393

 
8,581

 
7,322

Income tax (benefit) expense
(2,462
)
 
(1,217
)
 
4,629

 

 
950

Earnings (loss) from continuing operations
4,499

 
(8,472
)
 
1,764

 
8,581

 
6,372

Earnings (loss) from discontinued operations
18,087

 
(21,134
)
 
7,377

 
(8,581
)
 
(4,251
)
Net earnings (loss) before equity in loss of subsidiaries
22,586

 
(29,606
)
 
9,141

 

 
2,121

Equity in earnings (loss) of subsidiaries
(20,465
)
 
31,434

 
48,756

 
(59,725
)
 

Net earnings (loss)
2,121

 
1,828

 
57,897

 
(59,725
)
 
2,121

Comprehensive income
$
63,048

 
$
470

 
$
120,191

 
$
(120,661
)
 
$
63,048



CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
(in thousands)
 
Three Months Ended November 30, 2018
 
Parent
 
Guarantors
 
Non-Guarantors
 
Eliminations
 
Consolidated
Net sales
$
40,289

 
$
19,726

 
$
98,536

 
$

 
$
158,551

Cost of products sold
10,046

 
12,317

 
65,876

 

 
88,239

Gross profit
30,243

 
7,409

 
32,660

 

 
70,312

Selling, administrative and engineering expenses
21,147

 
5,627

 
26,347

 

 
53,121

Amortization of intangible assets
318

 
723

 
1,256

 

 
2,297

Restructuring charges

 
(93
)
 
64

 

 
(29
)
Impairment & divestiture charges

 

 
23,477

 

 
23,477

Operating profit (loss)
8,778

 
1,152

 
(18,484
)
 

 
(8,554
)
Financing costs (income), net
7,551

 

 
(253
)
 

 
7,298

Intercompany (income) expense, net
(4,053
)
 
5,033

 
(3,202
)
 
2,222

 

Intercompany dividends

 

 

 

 

Other (income) expense, net
(216
)
 
12

 
709

 

 
505

Earnings before income tax (benefit) expense
5,496

 
(3,893
)
 
(15,738
)
 
(2,222
)
 
(16,357
)
Income tax (benefit) expense
(1,114
)
 
(250
)
 
1,430

 

 
66

Earnings (loss) from continuing operations
6,610

 
(3,643
)
 
(17,168
)
 
(2,222
)
 
(16,423
)
(Loss) earnings from discontinued operations
265

 
2,740

 
(6,256
)
 
2,222

 
(1,029
)
Net earnings (loss) before equity in (loss) earnings of subsidiaries
6,875

 
(903
)
 
(23,424
)
 

 
(17,452
)
Equity in (loss) earnings of subsidiaries
(24,327
)
 
(4,507
)
 
1,769

 
27,065

 

Net (loss) earning
(17,452
)
 
(5,410
)
 
(21,655
)
 
27,065

 
(17,452
)
Comprehensive income (loss)
$
(25,396
)
 
$
(5,410
)
 
$
(29,330
)
 
$
34,740

 
$
(25,396
)

 
 

 
 

Condensed Consolidating Balance Sheets
CONDENSED CONSOLIDATING BALANCE SHEETS
(in thousands)
 
November 30, 2019
 
Parent
 
Guarantors
 
Non-Guarantors
 
Eliminations
 
Consolidated
ASSETS
 
 
 
 
 
 
 
 
 
Current assets
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
11,951

 
$

 
$
194,829

 
$

 
$
206,780

Accounts receivable, net
20,986

 
8,749

 
92,292

 

 
122,027

Inventories, net
29,975

 
7,532

 
42,001

 

 
79,508

Assets held for sale

 

 
1,697

 

 
1,697

Other current assets
21,964

 
1,773

 
18,983

 

 
42,720

Total current assets
84,876

 
18,054

 
349,802

 

 
452,732

Property, plant & equipment, net
8,112

 
5,159

 
42,823

 

 
56,094

Goodwill
43,502

 
57,342

 
163,125

 

 
263,969

Other intangibles, net
5,293

 
8,166

 
37,776

 

 
51,235

Investment in subsidiaries
1,320,696

 
1,162,632

 
486,807

 
(2,970,135
)
 

Intercompany receivable

 

 
1,064,972

 
(1,064,972
)
 

Other long-term assets
36,515

 
5,833

 
42,134

 

 
84,482

Total assets
$
1,498,994

 
$
1,257,186

 
$
2,187,439

 
$
(4,035,107
)
 
$
908,512

 
 
 
 
 
 
 
 
 
 
LIABILITIES & SHAREHOLDERS' EQUITY
 
 
 
 
 
 
 
 
Current liabilities
 
 
 
 
 
 
 
 
 
Trade accounts payable
16,763

 
2,320

 
49,707

 

 
68,790

Accrued compensation and benefits
11,761

 
648

 
12,872

 

 
25,281

Current maturities of debt

 

 

 

 

Income taxes payable

 

 
6,853

 

 
6,853

Liabilities held for sale

 

 
1,697

 

 
1,697

Other current liabilities
26,196

 
3,525

 
24,928

 

 
54,649

Total current liabilities
54,720

 
6,493

 
96,057

 

 
157,270

Long-term debt
286,236

 

 

 

 
286,236

Deferred income taxes

 

 
1,567

 

 
1,567

Pension and post-retirement benefit liabilities
11,558

 

 
8,248

 

 
19,806

Other long-term liabilities
64,239

 
4,250

 
21,891

 

 
90,380

Intercompany payable
728,988

 
335,984

 

 
(1,064,972
)
 

Shareholders’ equity
353,253

 
910,459

 
2,059,676

 
(2,970,135
)
 
353,253

Total liabilities and shareholders’ equity
$
1,498,994

 
$
1,257,186

 
$
2,187,439

 
$
(4,035,107
)
 
$
908,512

CONDENSED CONSOLIDATING BALANCE SHEETS
(in thousands)
 
August 31, 2019
 
Parent
 
Guarantors
 
Non-Guarantors
 
Eliminations
 
Consolidated
ASSETS
 
 
 
 
 
 
 
 
 
Current assets
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
47,581

 
$

 
$
163,570

 
$

 
$
211,151

Accounts receivable, net
20,322

 
11,358

 
94,203

 

 
125,883

Inventories, net
26,737

 
6,566

 
43,884

 

 
77,187

Assets from discontinued operations
295

 
145,239

 
140,044

 

 
285,578

Other current assets
12,116

 
1,797

 
16,613

 

 
30,526

Total current assets
107,051

 
164,960

 
458,314

 

 
730,325

Property, plant & equipment, net
8,515

 
5,193

 
43,021

 

 
56,729

Goodwill
38,847

 
57,342

 
164,226

 

 
260,415

Other intangible assets, net
5,611

 
8,451

 
38,313

 

 
52,375

Investment in subsidiaries
1,323,587

 
912,297

 
417,022

 
(2,652,906
)
 

Intercompany receivables

 

 
979,889

 
(979,889
)
 

Other long-term assets
27,510

 
(13,424
)
 
10,344

 

 
24,430

Total assets
$
1,511,121

 
$
1,134,819

 
$
2,111,129

 
$
(3,632,795
)
 
$
1,124,274


 
 
 
 
 
 
 
 
 
LIABILITIES & SHAREHOLDERS' EQUITY
 
 
 
 
 
 
 
 
Current liabilities
 
 
 
 
 
 
 
 
 
Trade accounts payable
$
23,678

 
$
3,231

 
$
50,005

 
$

 
$
76,914

Accrued compensation and benefits
11,495

 
1,657

 
13,269

 

 
26,421

Current maturities of debt
7,500

 

 

 

 
7,500

Income taxes payable

 

 
4,838

 

 
4,838

Liabilities from discontinued operations
1,217

 
29,292

 
113,254

 

 
143,763

Other current liabilities
17,556

 
2,388

 
21,021

 

 
40,965

Total current liabilities
61,446

 
36,568

 
202,387

 

 
300,401

Long-term debt
452,945

 

 

 

 
452,945

Deferred income taxes
(4
)
 

 
1,568

 

 
1,564

Pension and post-retirement benefit liabilities
12,005

 

 
8,208

 

 
20,213

Other long-term liabilities
44,621

 
114

 
3,237

 

 
47,972

Intercompany payable
638,929

 
340,960

 

 
(979,889
)
 

Shareholders’ equity
301,179

 
757,177

 
1,895,729

 
(2,652,906
)
 
301,179

Total liabilities and shareholders’ equity
$
1,511,121

 
$
1,134,819

 
$
2,111,129

 
$
(3,632,795
)
 
$
1,124,274


Condensed Consolidating Statements of Cash Flows
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS
(in thousands)
 
Three Months Ended November 30, 2019
 
Parent
 
Guarantors
 
Non-Guarantors
 
Eliminations
 
Consolidated
Operating Activities
 
 
 
 
 
 
 
 
 
Cash (used in) provided by operating activities - continuing operations
$
(97,861
)
 
$
1,202

 
$
96,525

 
$
(3,961
)
 
$
(4,095
)
Cash provided by (used in) operating activities - discontinued operations
17,187

 
3,966

 
(39,369
)
 
(616
)
 
(18,832
)
Cash (used in) provided by operating activities
(80,674
)
 
5,168

 
57,156

 
(4,577
)
 
(22,927
)
Investing Activities
 
 
 
 
 
 
 
 
 
Capital expenditures
(1,240
)
 
(416
)
 
(1,531
)
 

 
(3,187
)
Proceeds from sale of property, plant and equipment

 
131

 
31

 

 
162

Proceeds from sale of business, net of transaction costs
6,000

 

 
2,726

 

 
8,726

Intercompany investment
21,877

 

 
(16,406
)
 
(5,471
)
 

Cash provided by (used in) investing activities - continuing operations
26,637

 
(285
)
 
(15,180
)
 
(5,471
)
 
5,701

Cash provided by (used in) investing activities - discontinued operations
208,901

 
(474
)
 
(786
)
 

 
207,641

Cash provided by (used in) investing activities
235,538

 
(759
)
 
(15,966
)
 
(5,471
)
 
213,342

Financing Activities
 
 
 
 
 
 
 
 
 
Principal repayments on term loan
(175,000
)
 

 

 

 
(175,000
)
Borrowings on revolving credit facility
100,000

 

 

 

 
100,000

Principal repayments on revolving credit facility
(100,000
)
 

 

 

 
(100,000
)
Purchase of treasury shares
(17,805
)
 

 

 

 
(17,805
)
Taxes paid related to the net share settlement of equity awards
(2,638
)
 

 

 

 
(2,638
)
Stock option exercises, related tax benefits and other
2,640

 

 

 

 
2,640

Cash dividends
(2,419
)
 

 

 

 
(2,419
)
Intercompany loan activity
4,728

 

 
83,851

 
(88,579
)
 

Cash (used in) provided by financing activities - continuing operations
(190,494
)
 

 
83,851

 
(88,579
)
 
(195,222
)
Cash (used in) provided by financing activities - discontinued operations

 
(4,409
)
 
(94,218
)
 
98,627

 

Cash (used in) provided by financing activities
(190,494
)
 
(4,409
)
 
(10,367
)
 
10,048

 
(195,222
)
Effect of exchange rate changes on cash

 

 
436

 

 
436

Net (decrease) increase in cash and cash equivalents
(35,630
)
 

 
31,259

 

 
(4,371
)
Cash and cash equivalents—beginning of period
47,581

 

 
163,570

 

 
211,151

Cash and cash equivalents—end of period
$
11,951

 
$

 
$
194,829

 
$

 
$
206,780

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS
(in thousands)
 
Three Months Ended November 30, 2018
 
Parent
 
Guarantors
 
Non-Guarantors
 
Eliminations
 
Consolidated
Operating Activities
 
 
 
 
 
 
 
 
 
Cash (used in) provided by operating activities - continuing operations
$
(20,566
)
 
$
7,714

 
$
313

 
$
1,865

 
$
(10,674
)
Cash provided by (used in) operating activities - discontinued operations
4,291

 
(5,935
)
 
(14,927
)
 
(1,865
)
 
(18,436
)
Cash (used in) provided by operating activities
(16,275
)
 
1,779

 
(14,614
)
 

 
(29,110
)
Investing Activities
 
 
 
 
 
 
 
 

Capital expenditures
(423
)
 
(680
)
 
(3,466
)
 

 
(4,569
)
Proceeds from sale of property, plant and equipment
8

 

 
3

 

 
11

Cash used in investing activities - continuing operations
(415
)
 
(680
)
 
(3,463
)
 

 
(4,558
)
Cash used in investing activities - discontinued operations

 
(1,099
)
 
(1,998
)
 

 
(3,097
)
Cash used in investing activities
(415
)
 
(1,779
)
 
(5,461
)
 

 
(7,655
)
Financing Activities
 
 
 
 
 
 
 
 
 
Principal repayments on term loan
(7,500
)
 

 

 

 
(7,500
)
Taxes paid related to the net share settlement of equity awards
(201
)
 

 

 

 
(201
)
Stock option exercises, related tax benefits and other
552

 

 

 

 
552

Cash dividends
(2,439
)
 

 

 

 
(2,439
)
Cash used in financing activities - continuing operations
(9,588
)
 

 

 

 
(9,588
)
Cash used in financing activities - discontinued operations

 

 

 

 

Cash used in financing activities
(9,588
)
 

 

 

 
(9,588
)
Effect of exchange rate changes on cash

 

 
(694
)
 

 
(694
)
Net decrease in cash and cash equivalents
(26,278
)
 

 
(20,769
)
 

 
(47,047
)
Cash and cash equivalents—beginning of period
67,649

 

 
182,841

 

 
250,490

Cash and cash equivalents—end of period
$
41,371

 
$

 
$
162,072

 
$

 
$
203,443