Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | ||
Aug. 31, 2014 | Oct. 17, 2014 | Feb. 28, 2014 | |
DEI [Abstract] | ' | ' | ' |
Entity Registrant Name | 'PRICESMART INC | ' | ' |
Entity Central Index Key | '0001041803 | ' | ' |
Current Fiscal Year End Date | '--08-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Aug-14 | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 30,209,917 | ' |
Entity Public Float | ' | ' | $2,135,822,367 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Aug. 31, 2014 | Aug. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets, Current [Abstract] | ' | ' |
Cash and Cash Equivalents, at Carrying Value | $137,098 | $121,874 |
Restricted Cash and Cash Equivalents, Current | 2,353 | 5,984 |
Receivables, net of allowance for doubtful accounts of $0 and $0 as of August 31, 2014 and August 31, 2013, respectively | 7,910 | 3,130 |
Merchandise inventories | 226,383 | 217,413 |
Deferred Tax Assets, Net of Valuation Allowance, Current | 6,177 | 6,290 |
Prepaid expenses and other current assets (includes $495 and $0 as of August 31, 2014 and August 31, 2013, respectively, for the fair value of derivative instruments) | 22,570 | 20,890 |
Total current assets | 402,491 | 375,581 |
Restricted Cash and Cash Equivalents, Noncurrent | 27,013 | 34,775 |
Property, Plant and Equipment, Net | 426,325 | 338,478 |
Goodwill | 36,108 | 36,364 |
Deferred Tax Assets, Net of Valuation Allowance, Noncurrent | 11,825 | 12,871 |
Other non-current assets (includes $1,095 and $1,505 as of August 31, 2014 and August 31, 2013, respectively, for the fair value of derivative instruments) | 27,593 | 19,866 |
Equity Method Investments | 8,863 | 8,104 |
Total Assets | 940,218 | 826,039 |
Liabilities, Current [Abstract] | ' | ' |
Accounts payable | 225,761 | 199,425 |
Employee-related Liabilities, Current | 17,799 | 17,862 |
Deferred Revenue, Current | 17,932 | 16,528 |
Accrued Income Taxes, Current | 7,664 | 8,059 |
Accrued Liabilities, Current | 21,030 | 20,136 |
Long-term Debt, Current Maturities | 11,848 | 12,757 |
Deferred Tax Liabilities, Net, Current | 157 | 111 |
Total current liabilities | 302,191 | 274,878 |
Deferred Tax Liabilities, Net, Noncurrent | 2,290 | 2,622 |
Deferred Rent Credit, Noncurrent | 5,591 | 4,440 |
Accrued Income Taxes, Noncurrent | 1,918 | 2,184 |
Long-term Debt, Excluding Current Maturities | 79,591 | 60,263 |
Other long-term liabilities (includes $0 and $14 for the fair value of derivative instruments and $372 and $589 for the defined benefit plan as of August 31, 2014 and August 31, 2013, respectively) | 372 | 603 |
Total liabilities | 391,953 | 344,990 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest [Abstract] | ' | ' |
Common stock, $0.0001 par value, 45,000,000 shares authorized; 30,950,701 and 30,924,392 shares issued and 30,209,917 and 30,234,506 shares outstanding (net of treasury shares) as of August 31, 2014 and August 31, 2013, respectively | 3 | 3 |
Additional Paid in Capital, Common Stock | 397,150 | 390,581 |
Tax benefit from stock-based compensation | 9,505 | 8,016 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | -49,286 | -41,475 |
Retained Earnings (Accumulated Deficit) | 215,613 | 143,871 |
Less: treasury stock at cost; 740,784 and 689,886 shares as of August 31, 2014 and August 31, 2013, respectively | -24,720 | -19,947 |
Total equity | 548,265 | 481,049 |
Total Liabilities and Equity | $940,218 | $826,039 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 |
Assets, Current [Abstract] | ' | ' |
Allowance for Doubtful Accounts Receivable, Current | $0 | $0 |
Prepaid expenses and other current assets, fair value of derivative instruments | 495,000 | 0 |
Other non-current assets, fair value of derivative instruments | 1,095,000 | 1,505,000 |
Liabilities and Equity [Abstract] | ' | ' |
Other long-term liabilities, fair value of derivative instruments | 0 | 14,000 |
Other long-term liabilities, defined benefit plan | $372,000 | $589,000 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest [Abstract] | ' | ' |
Common Stock, Par or Stated Value Per Share | $0.00 | $0.00 |
Common Stock, Shares Authorized | 45,000,000 | 45,000,000 |
Common Stock, Shares, Issued | 30,950,701 | 30,924,392 |
Common Stock, Shares, Outstanding | 30,209,917 | 30,234,506 |
Treasury Stock, Shares | 740,784 | 689,886 |
CONSOLIDATED_STATEMENTS_OF_INC
CONSOLIDATED STATEMENTS OF INCOME (USD $) | 12 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |
Revenues [Abstract] | ' | ' | ' | |
Net warehouse club sales | $2,444,314 | $2,239,266 | $1,999,364 | |
Export sales | 31,279 | 23,059 | 15,320 | |
Membership income | 38,063 | 33,820 | 26,957 | |
Other income | 3,911 | 3,667 | 3,522 | |
Total revenues | 2,517,567 | 2,299,812 | 2,045,163 | |
Cost of Goods Sold [Abstract] | ' | ' | ' | |
Net warehouse club | 2,083,933 | 1,907,632 | 1,701,332 | |
Export | 29,731 | 21,796 | 14,649 | |
Selling, General and Administrative Expense [Abstract] | ' | ' | ' | |
Warehouse club operations | 212,476 | 194,140 | 179,618 | |
General and Administrative Expense | 49,944 | 46,784 | 41,021 | |
Pre-Opening Costs | 3,331 | 1,525 | 617 | |
Loss/(gain) on disposal of assets | 1,445 | 889 | 312 | |
Total operating expenses | 2,380,860 | 2,172,766 | 1,937,549 | |
Operating Income (Loss) | 136,707 | 127,046 | 107,614 | |
Nonoperating Income (Expense) [Abstract] | ' | ' | ' | |
Interest Income | 853 | 1,335 | 908 | |
Interest expense | -4,295 | -4,216 | -5,283 | |
Other Nonoperating Income (Expense) | 984 | -954 | -525 | |
Total other income (expense) | -2,458 | -3,835 | -4,900 | |
Income from continuing operations before provision for income taxes and loss of unconsolidated affiliates | 134,249 | 123,211 | 102,714 | |
Provision for income taxes | -41,372 | -38,942 | -35,053 | |
Income (Loss) of unconsolidated affiliates | 9 | -4 | -15 | |
Income from continuing operations | 92,886 | 84,265 | 67,646 | |
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 0 | 0 | -25 | |
Net income | $92,886 | $84,265 | [1] | $67,621 |
Net income per share | ' | ' | ' | |
Income (Loss) from Continuing Operations, Per Basic Share | $3.07 | $2.78 | $2.24 | |
Income (Loss) from Discontinued Operations and Disposal of Discontinued Operations, Net of Tax, Per Basic Share | $0 | $0 | $0 | |
Basic net income per share | $3.07 | $2.78 | [1] | $2.24 |
Income (Loss) from Continuing Operations, Per Diluted Share | $3.07 | $2.78 | $2.24 | |
Income (Loss) from Discontinued Operations and Disposal of Discontinued Operations, Net of Tax, Per Diluted Share | $0 | $0 | $0 | |
Diluted net income per share | $3.07 | $2.78 | [1] | $2.24 |
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ' | ' | ' | |
Weighted Average Number of Shares Outstanding, Basic | 29,747 | 29,647 | 29,554 | |
Weighted Average Number of Shares Outstanding, Diluted | 29,757 | 29,657 | 29,566 | |
Common Stock, Dividends, Per Share, Declared | $0.70 | $0.60 | $0.60 | |
[1] | (1) The fiscal year 2013 and 2012 data has been updated to reflect the reclassifications as disclosed in Note 1 - Company Overview and Basis of Presentation. |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME Statement (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |||
Net income attributable to PriceSmart | $92,886 | $84,265 | [1] | $67,621 | ||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -8,089 | [2] | -10,359 | [2] | -1,187 | [2] |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net Unamortized Gain (Loss) Arising During Period, Net of Tax | 260 | -68 | 185 | |||
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, Net of Tax | 5 | [3] | -10 | [3] | 14 | [3] |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | 265 | -78 | 199 | |||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | 101 | [4],[5] | 2,144 | [4],[5] | -398 | [4],[5] |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | -88 | [4],[5],[6] | 0 | [4] | 0 | [4] |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 13 | [4] | 2,144 | [4] | -398 | [4] |
Foreign currency translation differences for merger of foreign operations | 0 | [7] | 0 | [7] | -5,604 | [4],[7] |
Other Comprehensive Income (Loss), Correction of Prior Year Foreign Currency Transaction and Translation Adjustment, Net of Tax | 0 | [7] | 0 | [7] | -3,277 | [4],[7] |
Other Comprehensive Income (Loss), Net of Tax | -7,811 | -8,293 | -10,267 | |||
Comprehensive Income (Loss), Net of Tax | $85,075 | $75,972 | $57,354 | |||
[1] | (1) The fiscal year 2013 and 2012 data has been updated to reflect the reclassifications as disclosed in Note 1 - Company Overview and Basis of Presentation. | |||||
[2] | (1) Translation adjustments arising in translating the financial statements of a foreign entity have no effect on the income taxes of that foreign entity. They may, however, affect: (a) the amount, measured in the parent entity's reporting currency, of withholding taxes assessed on dividends paid to the parent entity and (b) the amount of taxes assessed on the parent entity by the government of its country. The Company has determined that the reinvestment of earnings of its foreign subsidiaries are indefinite because of the long-term nature of the Company's foreign investment plans. Therefore, deferred taxes are not provided for on translation adjustments related to unremitted earnings of the Company's foreign subsidiaries. | |||||
[3] | (3)B Amounts reclassified from accumulated other comprehensive income (loss) related to the minimum pension liability are included in warehouse club operations in the Company's Consolidated Statements of Income. | |||||
[4] | (2) See Note 12 - Derivative Instruments and Hedging Activities. | |||||
[5] | (2) See Note 12 - Derivative Instruments and Hedging Activities | |||||
[6] | (4)B Amounts reclassified from accumulated other comprehensive income (loss) for settlement of derivative instruments are included in other income (expense), net in the Company's Consolidated Statements of Income. | |||||
[7] | 3) See Note 1 - Company Overview and Basis of Presentation. |
CONSOLIDATED_STATEMENTS_OF_STO
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Tax benefit from stock-based compensation [Member] | Accumulated other comprehensive loss [Member] | Retained Earnings [Member] | Treasury Stock [Member] |
In Thousands, except Share data | |||||||
Balance at Aug. 31, 2011 | $375,838 | $3 | $383,549 | $5,242 | ($22,915) | $28,238 | ($18,279) |
Balance (in shares) at Aug. 31, 2011 | ' | 30,696,000 | ' | ' | ' | ' | 796,000 |
Purchase of treasury stock | -3,154 | ' | ' | ' | ' | ' | -3,154 |
Purchase of treasury stock (in shares) | ' | ' | ' | ' | ' | ' | 46,000 |
Stock Issued During Period, Shares, Treasury Stock Reissued | -196,850 | -197,000 | ' | ' | ' | ' | -197,000 |
Stock Issued During Period, Value, Treasury Stock Reissued | ' | ' | -4,953 | ' | ' | ' | 4,953 |
Issuance of restricted stock award (in shares) | ' | 353,000 | ' | ' | ' | ' | ' |
Forfeiture of restricted stock awards (in shares) | ' | -2,000 | ' | ' | ' | ' | ' |
Exercise of stock options (in shares) | ' | 6,000 | ' | ' | ' | ' | ' |
Exercise of stock options | 89 | ' | 89 | ' | ' | ' | ' |
Stock-based compensation | 6,907 | ' | 5,469 | 1,438 | ' | ' | ' |
Dividend paid to stockholders | -18,120 | ' | ' | ' | ' | -18,120 | ' |
Net income | 67,621 | ' | ' | ' | ' | 67,621 | ' |
Other Comprehensive Income (Loss), Net of Tax | -10,267 | ' | ' | ' | -10,267 | ' | ' |
Balance at Aug. 31, 2012 | 418,914 | 3 | 384,154 | 6,680 | -33,182 | 77,739 | -16,480 |
Balance (in shares) at Aug. 31, 2012 | ' | 30,856,000 | ' | ' | ' | ' | 645,000 |
Purchase of treasury stock | -3,467 | ' | ' | ' | ' | ' | -3,467 |
Purchase of treasury stock (in shares) | ' | ' | ' | ' | ' | ' | 45,000 |
Stock Issued During Period, Shares, Treasury Stock Reissued | 0 | ' | ' | ' | ' | ' | ' |
Issuance of restricted stock award (in shares) | ' | 64,000 | ' | ' | ' | ' | ' |
Forfeiture of restricted stock awards (in shares) | ' | -2,000 | ' | ' | ' | ' | ' |
Exercise of stock options (in shares) | ' | 6,000 | ' | ' | ' | ' | ' |
Exercise of stock options | 125 | ' | 125 | ' | ' | ' | ' |
Stock-based compensation | 7,638 | ' | 6,302 | 1,336 | ' | ' | ' |
Dividend paid to stockholders | -18,133 | ' | ' | ' | ' | -18,133 | ' |
Net income | 84,265 | ' | ' | ' | ' | 84,265 | ' |
Other Comprehensive Income (Loss), Net of Tax | -8,293 | ' | ' | ' | -8,293 | ' | ' |
Balance at Aug. 31, 2013 | 481,049 | 3 | 390,581 | 8,016 | -41,475 | 143,871 | -19,947 |
Balance (in shares) at Aug. 31, 2013 | ' | 30,924,000 | ' | ' | ' | ' | 690,000 |
Purchase of treasury stock | -4,773 | ' | ' | ' | ' | ' | -4,773 |
Purchase of treasury stock (in shares) | ' | ' | ' | ' | ' | ' | 51,000 |
Stock Issued During Period, Shares, Treasury Stock Reissued | 0 | ' | ' | ' | ' | ' | ' |
Issuance of restricted stock award (in shares) | ' | 24,000 | ' | ' | ' | ' | ' |
Forfeiture of restricted stock awards (in shares) | ' | -2,000 | ' | ' | ' | ' | ' |
Exercise of stock options (in shares) | ' | 5,000 | ' | ' | ' | ' | ' |
Exercise of stock options | 118 | ' | 118 | ' | ' | ' | ' |
Stock-based compensation | 7,940 | ' | 6,451 | 1,489 | ' | ' | ' |
Dividend paid to stockholders | -21,144 | ' | ' | ' | ' | -21,144 | ' |
Net income | 92,886 | ' | ' | ' | ' | 92,886 | ' |
Other Comprehensive Income (Loss), Net of Tax | -7,811 | ' | ' | ' | -7,811 | ' | ' |
Balance at Aug. 31, 2014 | $548,265 | $3 | $397,150 | $9,505 | ($49,286) | $215,613 | ($24,720) |
Balance (in shares) at Aug. 31, 2014 | ' | 30,951,000 | ' | ' | ' | ' | 741,000 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |
Statement of Cash Flows [Abstract] | ' | ' | ' | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $92,886 | $84,265 | $67,621 | |
Adjustments to Reconcile Net Income (Loss) to Cash Provided by (Used in) Operating Activities [Abstract] | ' | ' | ' | |
Depreciation, Depletion and Amortization | 28,475 | [1] | 24,444 | 23,739 |
Provision for Doubtful Accounts | 0 | -1 | -4 | |
Gain (Loss) on Disposition of Property Plant Equipment | 1,445 | 889 | 312 | |
Increase (Decrease) in Deferred Income Taxes | 2,362 | 3,049 | 2,128 | |
Discontinued operations | 0 | 0 | 25 | |
Excess tax (benefit) deficiency on stock-based compensation | -1,489 | -1,336 | -1,438 | |
Equity in losses of unconsolidated affiliates | -9 | 4 | 15 | |
Share-based Compensation | 6,451 | 6,302 | 5,469 | |
Increase (Decrease) in Operating Capital [Abstract] | ' | ' | ' | |
Increase (Decrease) in Other Operating Assets | -11,676 | 6,307 | 5,668 | |
Increase (Decrease) in Inventories | -8,970 | -16,370 | -23,811 | |
Increase (Decrease) in Accounts Payable | 27,800 | 23,080 | 9,766 | |
Net cash provided by (used in) continuing operating activities | 137,275 | 130,633 | 89,490 | |
Cash Provided by (Used in) Operating Activities, Discontinued Operations | 0 | 0 | 399 | |
Net cash provided by (used in) operating activities | 137,275 | 130,633 | 89,889 | |
Additions to property and equipment | -118,101 | -69,927 | -52,705 | |
Deposits for land purchase option agreements | -850 | -1,599 | 0 | |
Proceeds from Sale of Property, Plant, and Equipment | 142 | 264 | 138 | |
Capital contribution to Panama joint venture | -750 | -550 | 0 | |
Net cash flows provided by (used in) investing activities | -119,559 | -71,812 | -52,567 | |
Net Cash Provided by (Used in) Financing Activities [Abstract] | ' | ' | ' | |
Proceeds from Issuance of Debt | 41,942 | 3,979 | 75,924 | |
Repayment of bank borrowings | -23,756 | -7,646 | -67,259 | |
Payments of Dividends | -21,144 | -18,133 | -18,120 | |
Release of (addition to) restricted cash | 8,000 | 2,000 | -14,000 | |
Excess tax (deficiency) benefit on stock-based compensation | 1,489 | 1,336 | 1,438 | |
Purchase of treasury stock | -4,773 | -3,467 | -3,154 | |
Proceeds from Stock Options Exercised | 118 | 125 | 89 | |
Net cash provided by (used in) financing activities | 1,876 | -21,806 | -25,082 | |
Effect of Exchange Rate on Cash and Cash Equivalents | -4,368 | -6,389 | 2,191 | |
Cash and Cash Equivalents, Period Increase (Decrease) | 15,224 | 30,626 | 14,431 | |
Cash and cash equivalents at beginning of year | 121,874 | 91,248 | 76,817 | |
Cash and cash equivalents at end of year | 137,098 | 121,874 | 91,248 | |
Supplemental Cash Flow Information [Abstract] | ' | ' | ' | |
Interest Paid, Net | 3,765 | 3,885 | 4,837 | |
Income Taxes Paid, Net | 44,261 | 35,781 | 29,135 | |
Noncash Investing and Financing Items [Abstract] | ' | ' | ' | |
Cancellation of joint ventures Prico Enterprise loan | $0 | $0 | ($473) | |
[1] | Includes a $1.1 million error that increased expenses in the Caribbean operations and a $313,000 error that increased expenses in the Latin America operations, both of which were related to prior periods. See Note 1- Company Overview and Basis of Presentation. |
COMPANY_OVERVIEW_AND_BASIS_OF_
COMPANY OVERVIEW AND BASIS OF PRESENTATION | 12 Months Ended | |||||||
Aug. 31, 2014 | ||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |||||||
COMPANY OVERVIEW AND BASIS OF PRESENTATION | ' | |||||||
COMPANY OVERVIEW AND BASIS OF PRESENTATION | ||||||||
PriceSmart, Inc.’s (“PriceSmart”, the “Company”, or "we") business consists primarily of international membership shopping warehouse clubs similar to, but smaller in size than, warehouse clubs in the United States. As of August 31, 2014, the Company had 33 consolidated warehouse clubs in operation in 12 countries and one U.S. territory (six in Costa Rica, four each in Panama and Trinidad, three each in Guatemala, Honduras, Colombia and in the Dominican Republic, two in El Salvador and one each in, Aruba, Barbados, Jamaica, Nicaragua and the United States Virgin Islands), of which the Company owns 100% of the corresponding legal entities (see Note 2 - Summary of Significant Accounting Policies). During October of fiscal year 2014, the Company opened its sixth membership warehouse club in Costa Rica in La Union, Cartago, and in May of fiscal year 2014, the Company opened its third warehouse club in Honduras in Tegucigalpa, the Company's second in the capital city of Tegucigalpa. In January of fiscal year 2014, the Company acquired land in the southern area of Pereira, Colombia and in the city of Medellin, Colombia and leased land in the city of Bogota, Colombia. The Company is building new warehouse clubs at these three sites, and opened the Bogota location on October 29, 2014 and plans to open the other two sites in November 2014. Together with the three warehouse clubs currently operating in Colombia (one in Barranquilla and two in Cali), these three new clubs will bring the number of PriceSmart warehouse clubs operating in Colombia to six. In September 2014, the Company acquired land in La Chorrera ("Costa Verde"), west of Panama City, Panama, on which the Company's fifth Panama PriceSmart warehouse club is scheduled to open in the summer of 2015. This will bring the number of PriceSmart warehouse clubs operating in Panama to five. | ||||||||
The Company continues to explore other potential sites for future warehouse clubs in Central America, the Caribbean and Colombia. The warehouse club sales and membership sign-ups experienced with the opening of the Barranquilla and Cali warehouse clubs have reinforced the Company's belief that Colombia could be a market for additional PriceSmart warehouse clubs in other Colombian cities. | ||||||||
Basis of Presentation - The consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles. The consolidated financial statements include the accounts of PriceSmart, Inc., a Delaware corporation, and its subsidiaries. Intercompany transactions between the Company and its subsidiaries have been eliminated in consolidation. | ||||||||
Reclassifications to consolidated statement of income recorded during fiscal year 2014 for fiscal year 2013 and 2012 - The Company recorded asset disposal activity during fiscal year 2013 and 2012 under other income (expense), net. This activity consisted mainly of normally scheduled asset replacement and upgrades involved in operating activities. The Company has determined that these costs represent operating expenses. Therefore, the Company has accordingly recorded such asset disposal activity as operating expenses under loss/(gain) on disposal of assets starting in fiscal year 2014. The Company has made reclassifications to the consolidated statement of income for fiscal year 2013 and 2012 to conform to the presentation in fiscal year 2014. These reclassifications did not impact net income. The following tables summarize the impact of this reclassification (in thousands): | ||||||||
Years Ended August 31, | ||||||||
2013 | 2012 | |||||||
Other income (expense), net – as previously reported | $ | (1,843 | ) | $ | (837 | ) | ||
Loss/(gain) on disposal of assets, other income (expense), net reclassified to Loss/(gain) on disposal of assets, total operating expenses | 889 | 312 | ||||||
Other income (expense), net – as currently reported | $ | (954 | ) | $ | (525 | ) | ||
Years Ended August 31, | ||||||||
2013 | 2012 | |||||||
Composition of beginning balance other income (expense) – as previously reported: | ||||||||
Gain/(loss) on sale | $ | (889 | ) | $ | (312 | ) | ||
Currency gain/(loss) | (954 | ) | (525 | ) | ||||
Total | $ | (1,843 | ) | (837 | ) | |||
Composition of ending balance Other income (expense) – as currently reported: | ||||||||
Gain/(loss) on sale | $ | — | $ | — | ||||
Currency gain/(loss) | (954 | ) | (525 | ) | ||||
Total | $ | (954 | ) | $ | (525 | ) | ||
Reclassifications to consolidated balance sheet recorded during fiscal year 2013 for fiscal year 2012 - Certain reclassifications to the consolidated balance sheet have been made to prior fiscal year amounts to conform to the presentation in the current fiscal year. These reclassifications did not impact consolidated total assets, total current liabilities or total liabilities. Included within these reclassifications were reclassifications of Value Added Tax from Prepaid expenses and other current assets to Other non-current assets of approximately $13.3 million (see Note 2 - Summary of Significant Accounting Polices for further details). | ||||||||
Reclassifications to consolidated statement of income recorded during fiscal year 2013 for fiscal year 2012- The Company receives cash consideration from its vendors for product demonstrations. Prior to fiscal year 2013, the Company recorded this consideration as Other income. However, cash or equity consideration received from a vendor is presumed to be a reduction of cost of sales when it is recognized in the income statement. Additionally, reimbursements of costs incurred by the customer to sell the vendor's products are treated as a reduction of the related cost when recognized in the income statement. Therefore, the Company has recorded such consideration as a reduction to cost of sales and a reduction to related costs incurred to sell the vendor's products starting in fiscal year 2013. The Company has made reclassifications to the consolidated statements of income for fiscal year 2012 to conform to the presentation in fiscal year 2014 and 2013. These reclassifications did not impact consolidated operating income or net income. The following table summarizes the impact of these reclassifications (in thousands): | ||||||||
Total Fiscal Year 2012 | ||||||||
Revenues: | ||||||||
Net warehouse club sales-as previously reported | $ | 2,000,046 | ||||||
Reclassifications | (682 | ) | ||||||
Net warehouse club sales-as currently reported | $ | 1,999,364 | ||||||
Other income-as previously reported | $ | 8,422 | ||||||
Reclassifications | (4,900 | ) | ||||||
Other income-as currently reported | $ | 3,522 | ||||||
Cost of goods sold: | ||||||||
Net warehouse club-as previously reported | $ | 1,704,131 | ||||||
Reclassifications | (2,799 | ) | ||||||
Net warehouse club-as currently reported | $ | 1,701,332 | ||||||
Selling, general and administrative: | ||||||||
Warehouse club operations-as previously reported | $ | 182,401 | ||||||
Reclassifications | (2,783 | ) | ||||||
Warehouse club operations-as currently reported | $ | 179,618 | ||||||
Net effect on operating income | $ | — | ||||||
Prior period adjustments recorded during fiscal year 2012 - During fiscal year 2007 and during the first quarter of fiscal year 2012, the Company merged in each period a wholly owned subsidiary formed to purchase, develop and serve as a holding company for the land and buildings used by certain operating warehouse clubs (each, a “Landco”) with one of the wholly owned subsidiaries formed to operate these warehouse clubs (each, an “Opco”). Each of the Landco entities involved in these mergers had a functional and reporting currency in U.S. dollars, and each of the related Opco entities that they were merged into had a foreign currency as a functional currency and U.S. dollars as a reporting currency. In each of these mergers, the Opco was the surviving entity, with the assets, liabilities and equity accounts of the Landco being transferred to the Opco and the Landco subsidiary ceasing to exist. Since the Landco entity ceased to exist, and all relevant economic activities previously performed by the Landco no longer existed, a significant change in economic facts and circumstances was determined to have taken place, indicating that the functional currency had changed as the assets were transferred to the Opco. Upon this transfer, the Company was required to remeasure the non-monetary balance sheet items at historical exchange rates in order to produce the same result in terms of the functional currency that would have occurred if those items had been initially recorded in the foreign functional currency. As a result of the 2012 merger, and the resulting translation adjustments, the Company recorded in the first quarter of fiscal year 2012 a charge to comprehensive income for approximately $5.6 million relating to the fiscal year 2012 merger, with a corresponding reduction to Property and equipment, net for the same amount. | ||||||||
During the first quarter of fiscal year 2012, the Company identified errors in the consolidated financial statements for the fiscal year ended August 31, 2011 and for fiscal years previous to 2009. The errors related to incorrect (i) accounting for the 2007 merger described above which impacted the translation of Property and equipment, net from foreign currencies to U.S. dollars and the related offset to Accumulated other comprehensive loss; and (ii) the translation of Property and equipment, net from foreign currencies to U.S. dollars and the related offset to Accumulated other comprehensive loss. The correction of these errors would have decreased comprehensive income by $6.4 million in fiscal year 2007 and increased comprehensive income by $3.1 million in fiscal year 2011. The total of these corrections, which was recorded in the first quarter of fiscal 2012 as a charge to comprehensive income was approximately $3.3 million. The Company decreased Property and equipment, net and increased Accumulated other comprehensive loss by the same amount. | ||||||||
The Company analyzed the impact of these items and concluded that neither error would be material to any individual period, taking into account the requirements of the Securities and Exchange Commission (“SEC”) Staff Accounting Bulletin No. 108, Considering the Effects of Prior Year Misstatements in the Current Year Financial Statements (“SAB 108”). In accordance with the relevant guidance, management evaluated the materiality of errors from a quantitative and qualitative perspective. Based on such evaluation, the Company concluded that correcting the cumulative errors, which decreased comprehensive income by approximately $3.3 million for the three month period ended November 30, 2011, was immaterial to the expected full year results for fiscal 2012 and financial position as presented on the consolidated balance sheet. Correcting the error would not have had a material impact on any individual prior period presented in the 2011 Annual Report on Form 10-K nor would it have affected the trend of financial results. As provided by SAB 108, the error correction did not require the restatement of the consolidated financial statements for prior periods. | ||||||||
As a result of recording (i) the fiscal year 2012 merger and the resulting translation adjustment, (ii) the correction of the accounting for the 2007 merger, and (iii) the correction of an error in translation of Property and equipment, net from foreign currencies to U.S. dollars, the Company recorded an increase to Accumulated other comprehensive loss for $8.9 million within the first quarter of fiscal year 2012. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | ||||||||||||||||
Aug. 31, 2014 | |||||||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||||||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | ||||||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |||||||||||||||||
Principles of Consolidation – The consolidated financial statements of the Company included herein include the assets, liabilities and results of operations of the Company’s wholly owned subsidiaries and the investments and operating results of joint ventures recorded under the equity method. All significant inter-company accounts and transactions have been eliminated in consolidation. The consolidated financial statements have been prepared by the Company pursuant to the rules and regulations of the SEC, and reflect all adjustments (consisting of normal recurring adjustments) that are, in the opinion of management, necessary to fairly present the financial position, results of operations, and cash flows for the periods presented. As of August 31, 2014 all of the Company's subsidiaries are wholly-owned. Additionally, the Company's ownership interest in real estate development joint ventures as of August 31, 2014 is listed below: | |||||||||||||||||
Real Estate Development Joint Ventures | Countries | Ownership | Basis of Presentation | ||||||||||||||
GolfPark Plaza, S.A. | Panama | 50 | % | Equity(1) | |||||||||||||
Plaza Price Alajuela PPA, S.A. | Costa Rica | 50 | % | Equity(1) | |||||||||||||
(1) | Purchases of joint venture interests are recorded as investment in unconsolidated affiliates on the consolidated balance sheets. | ||||||||||||||||
Use of Estimates – The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. | |||||||||||||||||
Variable Interest Entities – The Company reviews and determines at the start of each arrangement, or subsequently if a reconsideration event occurs, whether any of its investments in joint ventures constitute a Variable Interest Entity (“VIE”) and whether it must consolidate a VIE and/or disclose information about its involvement in a VIE. The Company has determined that the joint ventures for GolfPark Plaza, S.A. and Plaza Price Alajuela PPA, S.A. are VIEs. The Company has determined that it is not the primary beneficiary of the VIEs and, therefore, has accounted for these entities under the equity method. | |||||||||||||||||
Cash and Cash Equivalents – Cash and cash equivalents represent cash and short-term investments with maturities of three months or less when purchased and proceeds due from credit and debit card transactions, which are generally settled within a few days of the underlying transaction. | |||||||||||||||||
Restricted Cash – The changes in restricted cash are disclosed within the consolidated statement of cash flows based on the nature of the restriction. The following table summarizes the restricted cash reported by the Company (in thousands): | |||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||
Short-term restricted cash: | |||||||||||||||||
Restricted for Honduras loan | $ | 1,200 | $ | 1,200 | |||||||||||||
Restricted cash in Honduras for purchase of property | — | 3,148 | |||||||||||||||
Restricted cash for land purchase option agreements | 1,095 | 1,599 | |||||||||||||||
Other short-term restricted cash (1) | 58 | 37 | |||||||||||||||
Total short-term restricted cash | $ | 2,353 | $ | 5,984 | |||||||||||||
Long-term restricted cash: | |||||||||||||||||
Restricted cash for Honduras loan | $ | 1,720 | $ | 1,720 | |||||||||||||
Restricted cash for Colombia bank loans | 24,000 | 32,000 | |||||||||||||||
Other long-term restricted cash (1) | 1,293 | 1,055 | |||||||||||||||
Total long-term restricted cash | $ | 27,013 | $ | 34,775 | |||||||||||||
Total restricted cash | $ | 29,366 | $ | 40,759 | |||||||||||||
-1 | The other restricted cash consist mainly of cash deposits held within banking institutions in compliance with federal regulatory requirements in Costa Rica and Panama. | ||||||||||||||||
Value Added Tax Receivable - The Company pays Value Added Tax (“VAT”) or similar taxes (“input VAT”) within the normal course of its business in most of the countries it operates in on merchandise and/or services it acquires. The Company also collects VAT or similar taxes on behalf of the government (“output VAT”) for merchandise and/or services it sells. If the output VAT exceeds the input VAT, then the difference is remitted to the government, usually on a monthly basis. If the input VAT exceeds the output VAT, this creates a VAT receivable. The Company either requests a refund of this VAT receivable or applies the balance to expected future VAT payables. In some countries where the Company operates, the governments have implemented additional collection procedures, such as requiring credit card processors to remit a portion of sales processed via credit card directly to the government. These procedures alter the natural offset of input and output VAT and generally leaves the Company with a net VAT receivable, forcing the Company to process significant refund claims on a recurring basis. These refund processes can take anywhere from several months to several years to complete. | |||||||||||||||||
In most countries where the Company operates, the VAT refund process is defined and structured with regular refunds or offsets. However, in one country the government has alleged that there is no defined process in the law to allow them to refund this VAT receivable. The Company together with its tax and legal advisers is currently appealing this interpretation in court and, based on recent favorable jurisprudence on this matter, expects to prevail. Additionally, the government has recently begun an audit to verify the amount of this receivable as a required precursor to any refund. Therefore, the Company has not placed any type of allowance on the recoverability of this VAT receivable. The balance of the VAT receivable in this country was $5.1 million and $4.3 million as of August 31, 2014 and August 31, 2013, respectively. | |||||||||||||||||
The Company's policy for classification and presentation of VAT receivables is as follows: | |||||||||||||||||
•Short-term VAT receivables, recorded as Other current assets: This classification is used for any countries where the Company's subsidiary has generally demonstrated the ability to recover the VAT receivable within one year. The Company also classifies as short-term any approved refunds or credit notes to the extent that the Company expects to receive the refund or use the credit notes within one year. | |||||||||||||||||
•Long-term VAT receivables, recorded as Other non-current assets: This classification is used for amounts not approved for refund or credit in countries where the Company's subsidiary has not demonstrated the ability to obtain refunds within one year and/or for amounts which are subject to outstanding disputes. An allowance is provided against VAT balances in dispute when the Company does not expect to eventually prevail in its recovery. The following table summarizes the VAT receivables reported by the Company (in thousands): | |||||||||||||||||
The following table summarizes the VAT receivables reported by the Company (in thousands): | |||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||
Prepaid expenses and other current assets | $ | 3,565 | $ | 5,458 | |||||||||||||
Other non-current assets | 17,115 | 12,875 | |||||||||||||||
Total amount of VAT receivable reported | $ | 20,680 | $ | 18,333 | |||||||||||||
Lease Accounting – Certain of the Company's operating leases where the Company is the lessee (see "Revenue Recognition Policy" for lessor accounting) provide for minimum annual payments that increase over the life of the lease. The aggregate minimum annual payments are expensed on the straight-line basis beginning when the Company takes possession of the property and extending over the term of the related lease including renewal options when the exercise of the option is reasonably assured as an economic penalty may be incurred if the option is not exercised. The amount by which straight-line rent exceeds actual lease payment requirements in the early years of the leases is accrued as deferred rent and reduced in later years when the actual cash payment requirements exceed the straight-line expense. The Company also accounts in its straight-line computation for the effect of any “rental holidays” and lessor-paid tenant improvements. In addition to the minimum annual payments, in certain locations, the Company pays additional contingent rent based on a contractually stipulated percentage of sales. | |||||||||||||||||
Merchandise Inventories - Merchandise inventories, which include merchandise for resale, are valued at the lower of cost (average cost) or market. The Company provides for estimated inventory losses and obsolescence between physical inventory counts on the basis of a percentage of sales. The provision is adjusted periodically to reflect the trend of actual physical inventory count results, with physical inventories occurring primarily in the second and fourth fiscal quarters. In addition, the Company may be required to take markdowns below the carrying cost of certain inventory to expedite the sale of such merchandise. | |||||||||||||||||
Fair Value Measurements – The Company measures the fair value for all financial and nonfinancial assets and liabilities that are recognized or disclosed at fair value in the consolidated financial statements on a recurring or nonrecurring basis. The fair value of an asset is the price at which the asset could be sold in an orderly transaction between unrelated, knowledgeable and willing parties able to engage in the transaction. A liability’s fair value is defined as the amount that would be paid to transfer the liability to a new obligor in a transaction between such parties, not the amount that would be paid to settle the liability with the creditor. | |||||||||||||||||
The Company has established a three-tier fair value hierarchy, which prioritizes the inputs used in measuring and revaluing fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. The Company was not required to revalue any assets or liabilities utilizing Level 1 or Level 3 inputs at the balance sheet dates. The Company's Level 2 assets and liabilities revalued at the balance sheet dates, on a recurring basis, primarily included cash flow hedges (interest rate swaps and cross-currency interest rate swaps) and forward foreign exchange contracts. In addition, the Company utilizes Level 2 inputs in determining the fair value of long-term debt. The Company has elected not to revalue long-term debt because this debt will be settled at the carrying value and not at the fair market value. The Company did not make any significant transfers in and out of Level 1 and Level 2 fair value tiers during the periods reported on herein. | |||||||||||||||||
Nonfinancial assets and liabilities are revalued and recognized at fair value subsequent to initial recognition when there is evidence of impairment. For the periods reported, no impairment of such nonfinancial assets was recorded. | |||||||||||||||||
The disclosure of fair value of certain financial assets and liabilities recorded at cost is as follows: | |||||||||||||||||
Cash and cash equivalents: The carrying value approximates fair value due to the short maturity of these instruments. | |||||||||||||||||
Short-term restricted cash: The carrying value approximates fair value due to the short maturity of these instruments. | |||||||||||||||||
Long-term restricted cash: Long-term restricted cash primarily consists of auto renewable 3-12 month certificates of deposit, which are held as collateral against our long-term debt. The carrying value approximates fair value due to the maturity of the underlying certificates of deposit within the normal operating cycle of the Company. | |||||||||||||||||
Accounts receivable: The carrying value approximates fair value due to the short maturity of these accounts. | |||||||||||||||||
Short-term debt: The carrying value approximates fair value due to the short maturity of these instruments. | |||||||||||||||||
Long-term debt: The fair value of debt is generally measured using a discounted cash flow analysis based on current market interest rates for similar types of financial instruments. These inputs are not quoted prices in active markets but they are either directly or indirectly observable; therefore, they are classified as Level 2 inputs. The carrying value and fair value of the Company’s debt as of August 31, 2014 and August 31, 2013 is as follows (in thousands): | |||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||||
Long-term debt, including current portion | $ | 91,439 | $ | 92,893 | $ | 73,020 | $ | 72,576 | |||||||||
Derivative Instruments and Hedging Activities- The Company uses derivative financial instruments for hedging and non-trading purposes to manage its exposure to changes in interest and currency exchange rates. In using derivative financial instruments for the purpose of hedging the Company’s exposure to interest and currency exchange rate risks, the contractual terms of a hedged instrument closely mirror those of the hedged item, providing a high degree of risk reduction and correlation. Contracts that are effective at meeting the risk reduction and correlation criteria (effective hedge) are recorded using hedge accounting. If a derivative financial instrument is an effective hedge, changes in the fair value of the instrument will be offset in accumulated other comprehensive income (loss) until the hedged item completes its contractual term. If any portion of the hedge is deemed ineffective, the change in fair value of the hedged assets or liabilities will be immediately recognized in earnings during the period. Instruments that do not meet the criteria for hedge accounting, or contracts for which the Company has not elected hedge accounting, are valued at fair value with unrealized gains or losses reported in earnings during the period of the change. Valuation techniques utilized in the fair value measurement of assets and liabilities presented on the Company’s consolidated balance sheets were not changed from previous practice during the reporting period. The Company seeks to manage counterparty risk associated with these contracts by limiting transactions to counterparties with which the Company has an established banking relationship. There can be no assurance, however, that this practice effectively mitigates counterparty risk. | |||||||||||||||||
Cash Flow Instruments. The Company is a party to receive floating interest rate, pay fixed-rate interest rate swaps to hedge the interest rate risk of certain U.S. dollar denominated debt within its international subsidiaries. The swaps are designated as cash flow hedges of interest expense risk. These instruments are considered effective hedges and are recorded using hedge accounting. The Company is also a party to receive variable interest rate, pay fixed interest rate cross-currency interest rate swaps to hedge the interest rate and currency exposure associated with the expected payments of principal and interest of U.S. denominated debt within its international subsidiaries whose functional currency is other than the U.S dollar. The swaps are designated as cash flow hedges of the currency risk related to payments on the U.S. denominated debt. These instruments are also considered to be effective hedges and are recorded using hedge accounting. Under cash flow hedging, the effective portion of the fair value of the derivative, calculated as the net present value of the future cash flows, is deferred on the consolidated balance sheets in accumulated other comprehensive loss. If any portion of an interest rate swap is determined to be an ineffective hedge, the gains or losses from changes in fair value would be recorded directly in the consolidated statements of income. Amounts recorded in accumulated other comprehensive loss are released to earnings in the same period that the hedged transaction impacts consolidated earnings. See Note 12 - Derivative Instruments and Hedging Activities for information on the fair value of interest rate swaps and cross-currency interest rate swaps as of August 31, 2014 and August 31, 2013. | |||||||||||||||||
Fair Value Instruments. The Company is exposed to foreign-currency exchange rate fluctuations in the normal course of business. The Company is also exposed to foreign-currency exchange rate fluctuations on U.S. dollar denominated liabilities within its international subsidiaries whose functional currency is other than the U.S. dollar. The Company manages these fluctuations, in part, through the use of non-deliverable forward foreign-exchange contracts that are intended to offset changes in cash flow attributable to currency exchange movements. The contracts are intended primarily to economically address exposure to U.S. dollar merchandise inventory expenditures made by the Company’s international subsidiaries whose functional currency is other than the U.S. dollar. Currently, these contracts are treated for accounting purposes as fair value instruments and do not qualify for derivative hedge accounting, and as such the Company does not apply derivative hedge accounting to record these transactions. As a result, these contracts are valued at fair value with unrealized gains or losses reported in earnings during the period of the change. The Company seeks to mitigate foreign-currency exchange-rate risk with the use of these contracts and does not intend to engage in speculative transactions. These contracts do not contain any credit-risk-related contingent features and are limited to less than one year in duration. See Note 12 - Derivative Instruments and Hedging Activities for information on the fair value of open, unsettled forward foreign-exchange contracts as of August 31, 2014 and August 31, 2013. | |||||||||||||||||
The following table summarizes financial assets and liabilities measured and recorded at fair value on a recurring basis in the Company’s consolidated balance sheet as of August 31, 2014 and August 31, 2013 (in thousands) for derivatives that qualify for hedge accounting: | |||||||||||||||||
Assets and Liabilities as of August 31, 2014: | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Prepaid expenses and other current assets (Cross-currency interest rate swaps) | $ | — | $ | 495 | $ | — | $ | 495 | |||||||||
Other non-current assets - (Cross-currency interest rate swaps) | $ | — | $ | 970 | $ | — | $ | 970 | |||||||||
Other non-current assets- (Interest rate swaps) | — | 125 | — | 125 | |||||||||||||
Total | $ | — | $ | 1,590 | $ | — | $ | 1,590 | |||||||||
Assets and Liabilities as of August 31, 2013: | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Other non-current assets - (Cross-currency interest rate swaps) | $ | — | $ | 1,505 | $ | — | $ | 1,505 | |||||||||
Other long-term liabilities – (Interest rate swaps) | — | (14 | ) | — | (14 | ) | |||||||||||
Total | $ | — | $ | 1,491 | $ | — | 1,491 | ||||||||||
The following table summarizes financial assets and liabilities measured and recorded at fair value on a recurring basis in the Company’s consolidated balance sheet as of August 31, 2014 and August 31, 2013 (in thousands) for derivatives that do not qualify for hedge accounting: | |||||||||||||||||
Assets and Liabilities as of August 31, 2014 | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Other accrued expenses (Foreign currency forward contracts) | — | (14 | ) | — | (14 | ) | |||||||||||
Net fair value of derivatives designated as hedging instruments that do not qualify for hedge accounting | $ | — | $ | (14 | ) | $ | — | $ | (14 | ) | |||||||
Assets and Liabilities as of August 31, 2013 | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Other accrued expenses (Foreign currency forward contracts) | — | — | — | — | |||||||||||||
Net fair value of derivatives designated as hedging instruments that do not qualify for hedge accounting | $ | — | $ | — | $ | — | $ | — | |||||||||
Goodwill – The table below presents goodwill resulting from certain business combinations as of August 31, 2014 and August 31, 2013 (in thousands). The change in goodwill is a result of foreign exchange translation losses. | |||||||||||||||||
August 31, 2014 | August 31, 2013 | Change | |||||||||||||||
Goodwill | $ | 36,108 | $ | 36,364 | $ | (256 | ) | ||||||||||
The Company reviews goodwill at the entity level for impairment. The Company first reviews qualitative factors for each reporting unit, in determining if an annual goodwill test is required. If the Company's review of qualitative factors indicates a requirement for a test of goodwill impairment, the Company then will assess whether the carrying amount of a reporting unit is greater than zero and exceeds its fair value established during the Company's prior test of goodwill impairment ("established fair value"). If the carrying amount of a reporting unit at the entity level is greater than zero and its established fair value exceeds its carrying amount, goodwill of the reporting unit is considered not impaired. If either the carrying amount of the reporting unit is not greater than zero or if the carrying amount of the entity exceeds its established fair value, the Company performs a second test to determine whether goodwill has been impaired and to calculate the amount of that impairment. | |||||||||||||||||
Revenue Recognition – The Company recognizes merchandise sales revenue when title passes to the customer. Membership income represents annual membership fees paid by the Company’s warehouse club members, which are recognized ratably over the 12-month term of the membership. Membership refunds are prorated over the remaining term of the membership; accordingly, no refund reserve is required to be established for the periods presented. The Company recognizes and presents revenue-producing transactions on a net of value added/sales tax basis. | |||||||||||||||||
The Company began offering Platinum memberships in Costa Rica during fiscal year 2013, which provides members with a 2% rebate on most items, up to an annual maximum of $500.00. Platinum members can apply this rebate to future purchases at the warehouse club at the end of the annual membership period. The Company records this 2% rebate as a reduction of revenue at the time of the sales transaction. Accordingly, the Company has reduced warehouse sales and has accrued a liability within other accrued expenses. The rebate expires within six months of the membership renewal date. However, the Company has determined that in the absence of relevant historical experience, the Company is not able to make a reasonable estimate of rebate redemptions and accordingly has assumed a 100% redemption rate. The Company will periodically review expired unused rebates outstanding, and the expired unused rebates will be recognized as Revenues: Other income on the consolidated statements of income. | |||||||||||||||||
The Company recognizes gift certificate sales revenue when the certificates are redeemed. The outstanding gift certificates are reflected as other accrued expenses in the consolidated balance sheets. These gift certificates generally have a one-year stated expiration date from the date of issuance. However, the absence of a large volume of transactions for gift certificates impairs the Company's ability to make a reasonable estimate of the redemption levels for gift certificates; therefore, the Company assumes a 100% redemption rate prior to expiration of the gift certificate. The Company periodically reviews unredeemed outstanding gift certificates, and the gift certificates that have expired are recognized as Revenues: Other income on the consolidated statements of income. | |||||||||||||||||
Operating leases, where the Company is the lessor, with lease payments that have fixed and determinable rent increases are recognized as revenue on a straight-line basis over the lease term. The Company also accounts in its straight-line computation for the effect of any "rental holidays." Contingent rental revenue is recognized as the contingent rent becomes due per the individual lease agreements. | |||||||||||||||||
Cost of Goods Sold – The Company includes the cost of merchandise, food service and bakery raw materials, and one hour photo supplies in cost of goods sold. The Company also includes in cost of goods sold the external and internal distribution and handling costs for supplying merchandise, raw materials and supplies to the warehouse clubs. External costs include inbound freight, duties, drayage, fees, insurance, and non-recoverable value-added tax related to inventory shrink, spoilage and damage. Internal costs include payroll and related costs, utilities, consumable supplies, repair and maintenance, rent expense, building and equipment depreciation at its distribution facilities and payroll and other direct costs for in store demonstrations. | |||||||||||||||||
Vendor consideration consists primarily of volume rebates, time-limited product promotions, slotting fees, demonstration reimbursements and prompt payment discounts. Volume rebates that are not threshold based are incorporated into the unit cost of merchandise reducing the inventory cost and cost of goods sold. Volume rebates that are threshold based are recorded as a reduction to cost of good sold when the Company achieves established purchase levels that are confirmed by the vendor in writing or upon receipt of funds. On a quarterly basis, the Company calculates the amount of rebates recorded in cost of goods sold that relates to inventory on hand and this amount is reclassified as a reduction to inventory, if significant. Product promotions are generally linked to coupons that provide for reimbursement to the Company from vendor rebates for the product being promoted. Slotting fees are related to consideration received by the Company from vendors for preferential "end cap" placement of the vendor's products within the warehouse club. Demonstration reimbursements are related to consideration received by the Company from vendors for the in store promotion of the vendors' products. The Company records the reduction in cost of goods sold on a transactional basis for these programs. Prompt payment discounts are taken in substantially all cases, and therefore, are applied directly to reduce the acquisition cost of the related inventory, with the resulting effect recorded to cost of goods sold when the inventory is sold. | |||||||||||||||||
Selling, General and Administrative – Selling, general and administrative costs are comprised primarily of expenses associated with warehouse operations. Warehouse operations include the operating costs of the Company's warehouse clubs, including all payroll and related costs, utilities, consumable supplies, repair and maintenance, rent expense, building and equipment depreciation, and bank and credit card processing fees. Also included in selling, general and administrative expenses are the payroll and related costs for the Company's U.S. and regional purchasing and management centers. | |||||||||||||||||
Pre-Opening Costs – The Company expenses pre-opening costs (the costs of start-up activities, including organization costs and rent) as incurred. | |||||||||||||||||
Asset Impairment Costs – The Company periodically evaluates its long-lived assets for indicators of impairment. Management's judgments are based on market and operational conditions at the time of the evaluation and can include management's best estimate of future business activity. These periodic evaluations could cause management to conclude that impairment factors exist, requiring an adjustment of these assets to their then-current fair value. Future business conditions and/or activity could differ materially from the projections made by management causing the need for additional impairment charges. | |||||||||||||||||
Contingencies and Litigation – The Company records and reserves for loss contingencies if (a) information available prior to issuance of the consolidated financial statements indicates that it is probable that an asset had been impaired or a liability had been incurred at the date of the consolidated financial statements and (b) the amount of loss can be reasonably estimated. If one or both criteria for accrual are not met, but there is at least a reasonable possibility that a loss will occur, the Company does not record and reserve for a loss contingency but describes the contingency within a note and provides detail, when possible, of the estimated potential loss or range of loss. If an estimate cannot be made, a statement to that effect is made. | |||||||||||||||||
Foreign Currency Translation – The assets and liabilities of the Company’s foreign operations are translated to U.S. dollars when the functional currency in the Company’s international subsidiaries is the local currency and not U.S. dollars. Assets and liabilities of these foreign subsidiaries are translated to U.S. dollars at the exchange rate on the balance sheet date, and revenue, costs and expenses are translated at average rates of exchange in effect during the period. The corresponding translation gains and losses are recorded as a component of accumulated other comprehensive income or loss. These adjustments will affect net income upon the sale or liquidation of the underlying investment. Monetary assets and liabilities denominated in currencies other than the functional currency of the respective entity (primarily U.S. dollars) are revalued to the functional currency using the exchange rate on the balance sheet date. These foreign exchange transaction gains (losses), including transactions recorded involving these monetary assets and liabilities, are recorded as Other income (expense) in the consolidated statements of income. The following table summarizes the amounts recorded for the twelve month periods ending August 31, 2014, 2013, and 2012 (in thousands): | |||||||||||||||||
Twelve Months Ended | |||||||||||||||||
31-Aug-14 | 31-Aug-13 | 31-Aug-12 | |||||||||||||||
Currency gain (loss) | $ | 984 | $ | (954 | ) | $ | (525 | ) | |||||||||
Income Taxes –The Company accounts for income taxes using the asset and liability method. Under the asset and liability method, deferred tax assets and liabilities are recognized for the future tax consequences attributed to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences and carry-forwards are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is established when necessary to reduce deferred tax assets to amounts expected to be realized. | |||||||||||||||||
The Company and its subsidiaries are required to file federal and state income tax returns in the United States and various other tax returns in foreign jurisdictions. The preparation of these tax returns requires the Company to interpret the applicable tax laws and regulations in effect in such jurisdictions, which could affect the amount of tax paid by the Company. The Company, in consultation with its tax advisors, bases its tax returns on interpretations that are believed to be reasonable under the circumstances. The tax returns, however, are subject to routine reviews by the various federal, state and foreign taxing authorities in the jurisdictions in which the Company or one of its subsidiaries files tax returns. As part of these reviews, a taxing authority may disagree with respect to the income tax positions taken by the Company (“uncertain tax positions”) and, therefore, require the Company or one of its subsidiaries to pay additional taxes. | |||||||||||||||||
The Company accrues an amount for its estimate of probable additional income tax liability. In certain cases, the impact of an uncertain income tax position on the income tax return must be recognized at the largest amount that is more-likely-than-not to be sustained upon audit by the relevant tax authority. An uncertain income tax position will not be recognized if it has less than 50% likelihood of being sustained. This requires significant judgment, the use of estimates, and the interpretation and application of complex tax laws. When facts and circumstances change, the Company reassesses these probabilities and records any changes in the consolidated financial statements as appropriate. There were no material changes in the Company's uncertain income tax positions for the periods ended on August 31, 2014 and August 31, 2013. However, during the fiscal year 2014, the Company was required to make payments of $4.2 million to the governments in two countries with respect to various income tax cases that it is currently appealing, but the Company believes it will eventually prevail. These amounts have been recorded in the balance sheet as Other non-current assets, as the Company considers this a payment on account and expects to get a refund thereof upon eventually prevailing on these cases, but is unsure of the timing thereof. The Company has not provided for U.S. deferred taxes on cumulative non-U.S. undistributed earnings as such earnings are deemed by the Company to be indefinitely reinvested. It is not practicable to determine the U.S. federal income tax liability that would be associated with such earnings because of the complexity of the computation. | |||||||||||||||||
Recent Accounting Pronouncements | |||||||||||||||||
FASB ASC 606 ASU 2014-09 - Revenue from contracts with customers. | |||||||||||||||||
In May 2014, the FASB issued amended guidance on contracts with customers to transfer goods or services or contracts for the transfer of nonfinancial assets, unless those contracts are within the scope of other standards (e.g., insurance contracts or lease contracts). The guidance requires an entity to recognize revenue on contracts with customers relating to the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance requires that an entity depict the consideration by applying the following steps: | |||||||||||||||||
Step 1: Identify the contract(s) with a customer. | |||||||||||||||||
Step 2: Identify the performance obligations in the contract. | |||||||||||||||||
Step 3: Determine the transaction price. | |||||||||||||||||
Step 4: Allocate the transaction price to the performance obligations in the contract. | |||||||||||||||||
Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation. | |||||||||||||||||
The amendments in this ASU are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. This amendment is to be either retrospectively adopted to each prior reporting period presented or retrospectively with the cumulative effect of initially applying this ASU recognized at the date of initial application. Adoption of this guidance is not expected to have a material impact on the Company's consolidated financial statements. | |||||||||||||||||
FASB ASC 405 ASU 2013-04 - Obligations resulting from joint and several liability arrangements. | |||||||||||||||||
In February 2013, the FASB issued amendments providing guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this update is fixed at the reporting date, except for obligations addressed within existing guidance in U.S. GAAP. The guidance requires an entity to measure those obligations as the sum of the amount the reporting entity agreed to pay on the basis of its arrangement among its co-obligors and any additional amount the reporting entity expects to pay on behalf of its co-obligors. The guidance in this update also requires an entity to disclose the nature and amount of the obligation as well as other information about those obligations. The amendment was retrospectively effective for the Company as of September 1, 2013. Adoption of this guidance did not have a material impact on the Company's consolidated financial statements. | |||||||||||||||||
FASB ASC 220 ASU 2013-02 - Reporting of amounts reclassified out of accumulated other comprehensive income. | |||||||||||||||||
In February 2013, the FASB issued amended guidance for the presentation requirements for reclassifications out of accumulated other comprehensive income. The amendment requires the Company to provide additional information about reclassifications of accumulated other comprehensive income. The amendment was effective as of March 1, 2013. The Company adopted this guidance on March 1, 2013. Adoption of this guidance did not have a material impact on the Company's consolidated financial statements. |
PROPERTY_AND_EQUIPMENT_NET
PROPERTY AND EQUIPMENT, NET | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||||||||||||||
PROPERTY AND EQUIPMENT, NET | ' | |||||||||||||||||||
PROPERTY AND EQUIPMENT, NET | ||||||||||||||||||||
Property and equipment are stated at historical cost. The historical cost of acquiring an asset includes the costs incurred to bring it to the condition and location necessary for its intended use. Depreciation is computed on the straight-line basis over the estimated useful lives of the assets. The useful life of fixtures and equipment ranges from three to 15 years and that of certain components of building improvements and buildings from 10 to 25 years. Leasehold improvements are amortized over the shorter of the life of the improvement or the expected term of the lease. In some locations, leasehold improvements are amortized over a period longer than the initial lease term where management believes it is reasonably assured that the renewal option in the underlying lease will be exercised as an economic penalty may be incurred if the option is not exercised. The sale or purchase of property and equipment is recognized upon legal transfer of property. For property and equipment sales, if any long-term notes are carried by the Company as part of the sales terms, the sale is reflected at the net present value of current and future cash streams. | ||||||||||||||||||||
Property and equipment consist of the following (in thousands): | ||||||||||||||||||||
August 31, | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Land and land improvements | $ | 124,082 | $ | 100,108 | ||||||||||||||||
Building and building improvements | 244,485 | 228,257 | ||||||||||||||||||
Fixtures and equipment | 148,143 | 119,242 | ||||||||||||||||||
Construction in progress | 55,664 | 23,657 | ||||||||||||||||||
Total property and equipment, historical cost | 572,374 | 471,264 | ||||||||||||||||||
Less: accumulated depreciation | (146,049 | ) | (132,786 | ) | ||||||||||||||||
Property and equipment, net | $ | 426,325 | $ | 338,478 | ||||||||||||||||
Depreciation and amortization expense (in thousands): | ||||||||||||||||||||
Years Ended | ||||||||||||||||||||
August 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||
Depreciation and amortization expense | $ | 28,475 | $ | 24,444 | $ | 23,739 | ||||||||||||||
The Company capitalizes interest on expenditures for qualifying assets over a period that covers the duration of the activities required to get the asset ready for its intended use, provided that expenditures for the asset have been made and interest cost is being incurred. Interest capitalization continues as long as those activities and the incurrence of interest cost continue. The amount capitalized in an accounting period is determined by applying the capitalization rate (average interest rate) to the average amount of accumulated expenditures for the qualifying asset during the period. The capitalization rates are based on the interest rates applicable to borrowings outstanding during the period. | ||||||||||||||||||||
Total interest capitalized (in thousands): | ||||||||||||||||||||
As of August 31, 2014 | As of August 31, 2013 | |||||||||||||||||||
Total interest capitalized | $ | 6,542 | $ | 5,560 | ||||||||||||||||
Total interest capitalized (in thousands): | ||||||||||||||||||||
Twelve Months Ended August 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||
Interest capitalized | $ | 1,482 | $ | 1,353 | $ | 250 | ||||||||||||||
A summary of asset disposal activity for fiscal years 2014, 2013 and 2012 is as follows (in thousands): | ||||||||||||||||||||
Historical Cost | Accumulated Depreciation | Other Costs | Proceeds from disposal | Gain/(Loss) recognized | ||||||||||||||||
Fiscal Year 2014 | $ | 14,733 | $ | 13,146 | $ | — | $ | 142 | $ | (1,445 | ) | |||||||||
Fiscal Year 2013 | $ | 5,282 | $ | 4,129 | $ | — | $ | 264 | $ | (889 | ) | |||||||||
Fiscal Year 2012 | $ | 4,700 | $ | 4,250 | $ | — | $ | 138 | $ | (312 | ) | |||||||||
The Company recorded within accounts payable and other accrued expenses at the end of fiscal year 2014 approximately $1.9 million and $1.2 million, respectively, in liabilities related to the acquisition and/or construction of property and equipment. As of the end of fiscal year 2013, the Company recorded within other accrued expenses approximately $3.2 million in liabilities, related to the acquisition of land in Tegucigalpa, Honduras, upon which the Company constructed and opened its third warehouse club in Honduras in the spring of 2014. |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 12 Months Ended | |||||||||||
Aug. 31, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||
EARNINGS PER SHARE | ' | |||||||||||
EARNINGS PER SHARE | ||||||||||||
The Company presents basic and diluted net income per share using the two-class method. The two-class method is an earnings allocation formula that treats a participating security as having rights to earnings that otherwise would have been available to common stockholders and that determines basic net income per share for each class of common stock and participating security according to dividends declared (or accumulated) and participation rights in undistributed earnings that would have been available to common stockholders. A participating security is defined as a security that may participate in undistributed earnings with common stock. The Company’s capital structure includes securities that participate with common stock on a one-for-one basis for distribution of dividends. These are the restricted stock awards authorized within the 2002 and 2013 Equity Participation Plan/Equity Incentive Awards Plan of the Company and restricted stock units authorized within the 2001, 2002 and 2013 Equity Participation Plans/Equity Incentive Awards Plan. In addition, the Company determines the diluted net income per share by using the more dilutive of the two class-method or the treasury stock method and by including the basic weighted average of outstanding stock options in the calculation of diluted net income per share under the two-class method and including all potential common shares assumed issued in the calculation of diluted net income per share under the treasury stock method. | ||||||||||||
The following table sets forth the computation of net income per share for the twelve months ended August 31, 2014, 2013 and 2012 (in thousands, except per share amounts): | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Net income from continuing operations | $ | 92,886 | $ | 84,265 | $ | 67,646 | ||||||
Less: Allocation of income to unvested stockholders | (1,652 | ) | (1,780 | ) | (1,337 | ) | ||||||
Net earnings available to common stockholders from continuing operations | $ | 91,234 | $ | 82,485 | $ | 66,309 | ||||||
Net earnings (loss) available to common stockholders from discontinued operations | $ | — | $ | — | $ | (25 | ) | |||||
Basic weighted average shares outstanding | 29,747 | 29,647 | 29,554 | |||||||||
Add dilutive effect of stock options and restricted stock units (two-class method) | 10 | 10 | 12 | |||||||||
Diluted average shares outstanding | 29,757 | 29,657 | 29,566 | |||||||||
Basic net income per share from continuing operations | $ | 3.07 | $ | 2.78 | $ | 2.24 | ||||||
Diluted net income per share from continuing operations | $ | 3.07 | $ | 2.78 | $ | 2.24 | ||||||
Basic net income (loss) per share from discontinued operations | $ | — | $ | — | $ | — | ||||||
Diluted net income (loss) per share from discontinued operations | $ | — | $ | — | $ | — | ||||||
STOCKHOLDERS_EQUITY
STOCKHOLDERS EQUITY | 12 Months Ended | ||||||||||||||||||||
Aug. 31, 2014 | |||||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||||
STOCKHOLDERS EQUITY | ' | ||||||||||||||||||||
STOCKHOLDERS’ EQUITY | |||||||||||||||||||||
Dividends | |||||||||||||||||||||
The following table summarizes the dividends declared and paid during fiscal years 2014, 2013 and 2012. | |||||||||||||||||||||
First Payment | Second Payment | ||||||||||||||||||||
Declared | Amount | Record Date | Date Paid | Amount | Record Date | Date Paid | Amount | ||||||||||||||
1/23/14 | $ | 0.7 | 2/14/14 | 2/28/14 | $ | 0.35 | 8/15/14 | 8/29/14 | $ | 0.35 | |||||||||||
11/27/12 | $ | 0.6 | 12/10/12 | 12/21/12 | $ | 0.3 | 8/15/13 | 8/30/13 | $ | 0.3 | |||||||||||
1/25/12 | $ | 0.6 | 2/15/12 | 2/29/12 | $ | 0.3 | 8/15/12 | 8/31/12 | $ | 0.3 | |||||||||||
The Company anticipates the ongoing payment of semi-annual dividends in subsequent periods, although the actual declaration of future dividends, the amount of such dividends, and the establishment of record and payment dates is subject to final determination by the Board of Directors at its discretion after its review of the Company’s financial performance and anticipated capital requirements. | |||||||||||||||||||||
Preferred Stock Authorized Shares | |||||||||||||||||||||
As of August 31, 2014, 2,000,000 shares of preferred stock with a par value of $0.0001, were authorized, but no shares were outstanding. Upon issuance, our Board of Directors has the ability to define the terms of the preferred shares, including voting rights, liquidation preferences, conversion and redemption provisions and dividend rates. | |||||||||||||||||||||
Comprehensive Income and Accumulated Other Comprehensive Loss | |||||||||||||||||||||
The following table discloses the tax effects allocated to each component of other comprehensive income (loss) (in thousands): | |||||||||||||||||||||
Foreign currency translation adjustments | Defined benefit pension plan | Derivative Instruments | Total | ||||||||||||||||||
(Amounts in thousands and net of income taxes) | |||||||||||||||||||||
Balances as of August 31, 2011 | $ | (21,894 | ) | $ | (273 | ) | $ | (748 | ) | $ | (22,915 | ) | |||||||||
Other comprehensive income (loss) | (1,187 | ) | 185 | (398 | ) | (2) | (1,400 | ) | |||||||||||||
Other comprehensive income (loss) related to mergers and corrections of prior years (1) | (8,881 | ) | — | — | (8,881 | ) | |||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | 14 | (3) | — | 14 | ||||||||||||||||
Balances as of August 31, 2012 | (31,962 | ) | (74 | ) | (1,146 | ) | (33,182 | ) | |||||||||||||
Other comprehensive income (loss) | (10,359 | ) | (68 | ) | 2,144 | (2) | (8,283 | ) | |||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | (10 | ) | (3) | — | (10 | ) | ||||||||||||||
Balances as of August 31, 2013 | (42,321 | ) | (152 | ) | 998 | (41,475 | ) | ||||||||||||||
Other comprehensive income (loss) | (8,089 | ) | 260 | 101 | (2) | (7,728 | ) | ||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | 5 | (3) | (88 | ) | (2)(4) | (83 | ) | |||||||||||||
Balances as of August 31, 2014 | $ | (50,410 | ) | $ | 113 | $ | 1,011 | $ | (49,286 | ) | |||||||||||
-1 | Includes $5.6 million to record foreign currency translation differences for a 2012 merger of a real estate subsidiary with an operating subsidiary and $3.3 million to correct foreign currency translations for prior years related to a 2007 merger of a real estate subsidiary with an operating subsidiary and other matters. See Note 1- Company Overview and Basis of Presentation for details. | ||||||||||||||||||||
-2 | See Note 12 - Derivative Instruments and Hedging Activities. | ||||||||||||||||||||
(3) | Amounts reclassified from accumulated other comprehensive income (loss) related to the minimum pension liability are included in warehouse club operations in the Company's Consolidated Statements of Income. | ||||||||||||||||||||
(4) | Amounts reclassified from accumulated other comprehensive income (loss) for settlement of derivative instruments are included in other income (expense), net in the Company's Consolidated Statements of Income. | ||||||||||||||||||||
Retained Earnings Not Available for Distribution | |||||||||||||||||||||
The following table summarizes retained earnings designated as legal reserves of various subsidiaries which cannot be distributed as dividends to PriceSmart, Inc. according to applicable statutory regulations (in thousands): | |||||||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||||||
Retained earnings not available for distribution | $ | 4,556 | $ | 4,171 | |||||||||||||||||
RETIREMENT_PLAN
RETIREMENT PLAN | 12 Months Ended | |||||||||||||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||||||||||||||
RETIREMENT PLAN | ' | |||||||||||||||||||||||||||
RETIREMENT PLANS | ||||||||||||||||||||||||||||
Defined Contribution Plans | ||||||||||||||||||||||||||||
PriceSmart offers a defined contribution 401(k) retirement plan to its U.S. employees, which allows employees to enroll in the plan after 90 days of employment. Enrollment in these plans begins on the first of the month following the employee's eligibility. The Company makes nondiscretionary contributions to the 401(k) plan with a 4% “Company Contribution” based on the employee’s salary regardless of the employee’s own contributions to the plan up to the IRS maximum allowed. Employer contributions to the 401(k) plan for the Company's U.S. employees were $1.2 million, $1.1 million and $1.0 million during fiscal years 2014, 2013 and 2012, respectively. The Company has defined contribution plans for its employees in several countries and contributes a percentage of the respective employees' salary. Amounts contributed under these plans were $1.5 million, $969,000 and $843,000 during fiscal years 2014, 2013 and 2012, respectively. | ||||||||||||||||||||||||||||
Defined Benefit Plan | ||||||||||||||||||||||||||||
On January 21, 2011, PS Operations Ltd., a subsidiary of the Company in Trinidad, signed a collective labor agreement with the Oil Workers Trade Union on behalf of the hourly rated weekly paid and hourly rated bi-monthly paid employees who are members of the Union. This agreement was renewed on July 15, 2014; however, no changes were made to the retirement benefit plan obligation as originally established in 2011. The agreement contains a Defined Benefit Plan within the contract for retirement pay. The Company currently does not intend to fund this obligation. As a result, the entire amount of the benefit obligation is presented as a long-term liability on the consolidated balance sheets. The Company will make payments on any obligation that becomes due from available cash. The following table summarizes the amount of the funding obligation and the line items in which it is recorded on the consolidated balance sheets and consolidated statements of income as of and for the fiscal years ended August 31, 2014 and 2013 (in thousands): | ||||||||||||||||||||||||||||
Other Long-Term Liability | Accumulated Other Comprehensive Loss | Operating Expenses | ||||||||||||||||||||||||||
Year Ended August 31, | ||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Start of Period | $ | (589 | ) | $ | (396 | ) | $ | 204 | $ | 99 | $ | — | $ | — | $ | — | ||||||||||||
Service cost | (114 | ) | (83 | ) | — | — | 114 | 91 | 140 | |||||||||||||||||||
Interest cost | (14 | ) | (17 | ) | — | — | 14 | 17 | 31 | |||||||||||||||||||
Prior service cost (including amortization) | — | — | (15 | ) | (15 | ) | 15 | 15 | 14 | |||||||||||||||||||
Actuarial gains/(losses) | 345 | (93 | ) | (337 | ) | 120 | (8 | ) | (27 | ) | — | |||||||||||||||||
Totals | $ | (372 | ) | $ | (589 | ) | $ | (148 | ) | $ | 204 | (1) | $ | 135 | $ | 96 | $ | 185 | ||||||||||
(1) | The Company has recorded a deferred tax (liability)/asset of $(35,000) and $52,000 as of August 31, 2014 and 2013, respectively, relating to the unrealized expense on deferred benefit plan. The Company also recorded accumulated other comprehensive income (loss), net of tax, for $113,000 and $(152,000) as of August 31, 2014 and 2013, respectively. | |||||||||||||||||||||||||||
Year Ended August 31, | ||||||||||||||||||||||||||||
Valuation Assumptions Used in the Accounting of the Defined Benefit Plan: | 2014 | 2013 | ||||||||||||||||||||||||||
Discount rate | 1.5 | % | 2 | % | ||||||||||||||||||||||||
Future salary escalation | 5 | % | 5 | % | ||||||||||||||||||||||||
Percentage of employees assumed to withdraw from Company without a benefit (“turnover”) | 17 | % | 11 | % | ||||||||||||||||||||||||
Percentage of employees assumed to withdraw from Company with a benefit (“disability”) | 0.5 | % | 0.5 | % |
STOCK_BASED_COMPENSATION
STOCK BASED COMPENSATION | 12 Months Ended | |||||||||||
Aug. 31, 2014 | ||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||
STOCK BASED COMPENSATION | ' | |||||||||||
STOCK BASED COMPENSATION | ||||||||||||
The three types of equity awards offered by the Company are stock options (“options”), restricted stock awards (“RSAs”) and restricted stock units (“RSUs”). Compensation related to options is accounted for by applying the valuation technique based on the Black-Scholes model. Compensation related to RSAs and RSUs is based on the fair market value at the time of grant with the application of an estimated forfeiture rate. The Company recognizes the compensation cost related to these awards over the requisite service period as determined by the grant, amortized ratably or on a straight line basis over the life of the grant. The Company utilizes “modified grant-date accounting” for true-ups due to actual forfeitures at the vesting dates. The Company records the tax savings resulting from tax deductions in excess of expense for stock-based compensation as additional paid-in capital and the tax deficiency resulting from stock-based compensation in excess of the related tax deduction as a reduction in paid-in capital, based on the Tax Law Ordering method. In addition, the Company reflects the tax savings (deficiency) resulting from the taxation of stock-based compensation as a financing cash flow in its consolidated statement of cash flows, rather than as operating cash flows. | ||||||||||||
RSAs have the same cash dividend and voting rights as other common stock and are considered to be currently issued and outstanding shares of common stock. Shares of common stock subject to RSUs are not issued nor outstanding until vested, and RSUs do not have the same dividend and voting rights as common stock. However, all outstanding RSUs have accompanying dividend equivalents, requiring payment to the employees and directors with unvested RSUs of amounts equal to the dividend they would have received had the shares of common stock underlying the RSUs been actually issued and outstanding. Payments of dividend equivalents to employees are recorded as compensation expense. | ||||||||||||
The Company adopted the 2013 Equity Incentive Award Plan (the "2013 Plan") for the benefit of its eligible employees, consultants and non-employee directors on January 22, 2013. The 2013 Plan provides for awards covering up to (1) 600,000 shares of common stock plus (2) the number of shares that remained available for issuance as of January 22, 2013 under three equity participation plans previously maintained by the Company. The number of shares reserved for issuance under the 2013 Plan increases during the term of the plan by the number of shares relating to awards outstanding under the 2013 Plan or any of the prior plans that expire, or are forfeited, terminated, canceled or repurchased, or are settled in cash in lieu of shares. However, in no event will more than an aggregate of 1,531,818 shares of the Company’s common stock be issued under the 2013 Plan. The following table summarizes the shares authorized and shares available for future grants: | ||||||||||||
Shares available to grant | ||||||||||||
Shares authorized | August 31, 2014 | August 31, 2013 | ||||||||||
2013 Plan | 838,766 | 821,124 | 782,385 | |||||||||
The following table summarizes the components of the stock-based compensation expense for the twelve-month periods ended August 31, 2014, 2013 and 2012 (in thousands), which are included in general and administrative expense and warehouse club operations in the consolidated statements of income: | ||||||||||||
Year Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Options granted to directors | $ | 91 | $ | 113 | $ | 107 | ||||||
Restricted stock awards | 5,326 | 5,268 | 4,834 | |||||||||
Restricted stock units | 1,034 | 921 | 528 | |||||||||
Stock-based compensation expense | $ | 6,451 | $ | 6,302 | $ | 5,469 | ||||||
The following table summarizes various concepts related to stock-based compensation as of and for the years ended August 31, 2014, 2013 and 2012: | ||||||||||||
August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Remaining unrecognized compensation cost (in thousands) | $ | 21,196 | $ | 25,450 | $ | 25,543 | ||||||
Weighted average period of time over which this cost will approximately be recognized (years) | 6 | 7 | 8 | |||||||||
Excess tax benefit (deficiency) on stock-based compensation (in thousands) | $ | 1,489 | $ | 1,336 | $ | 1,438 | ||||||
The Company began issuing restricted stock awards in fiscal year 2006 and restricted stock units in fiscal year 2008. The restricted stock awards and units vest over a five to ten year period and the unvested portion of the award is forfeited if the employee or non-employee director leaves the Company before the vesting period is completed. Restricted stock awards and units activity for the twelve-months ended August 31, 2014, 2013 and 2012 was as follows: | ||||||||||||
Year Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Grants outstanding at beginning of period | 623,424 | 700,893 | 436,611 | |||||||||
Granted | 14,828 | 62,046 | 399,041 | |||||||||
Forfeited | (2,669 | ) | (3,021 | ) | (5,230 | ) | ||||||
Vested | (147,167 | ) | (136,494 | ) | (129,529 | ) | ||||||
Grants outstanding at end of period | 488,416 | 623,424 | 700,893 | |||||||||
The following table summarizes the weighted average per share grant date fair value for restricted stock awards and units for the twelve-months of fiscal years 2014, 2013 and 2012: | ||||||||||||
Year Ended August 31, | ||||||||||||
Weighted Average Grant Date Fair Value | 2014 | 2013 | 2012 | |||||||||
Restricted stock awards and units granted | $ | 105.76 | $ | 80.79 | $ | 67.26 | ||||||
Restricted stock awards and units vested | $ | 39.91 | $ | 39.33 | $ | 23.46 | ||||||
Restricted stock awards and units forfeited | $ | 54.21 | $ | 30.88 | $ | 29.3 | ||||||
The following table summarizes the total fair market value of restricted stock awards and units vested for the period (in thousands): | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Total fair market value of restricted stock awards and units vested | $ | 13,797 | $ | 10,673 | $ | 8,812 | ||||||
At the vesting dates of restricted stock awards, the Company repurchases shares at the prior day's closing price per share, with the funds used to pay the employees' minimum statutory tax withholding requirements. The Company expects to continue this practice going forward. The following table summarizes this activity during the period: | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Shares repurchased | 50,898 | 44,460 | 46,373 | |||||||||
Cost of repurchase of shares (in thousands) | $ | 4,773 | $ | 3,467 | $ | 3,154 | ||||||
The Company reissues treasury shares as part of its stock-based compensation programs. The following table summarizes the treasury shares reissued during the period: | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Reissued treasury shares | — | — | 196,850 | |||||||||
The following table summarizes the stock options outstanding: | ||||||||||||
August 31, 2014 | August 31, 2013 | |||||||||||
Stock options outstanding | 23,000 | 28,000 | ||||||||||
Due to the substantial shift from the use of stock options to restricted stock awards and units, the Company believes stock option activity is no longer significant and that any further disclosure on options is not necessary. |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Aug. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
COMMITMENTS AND CONTINGENCIES | ' |
COMMITMENTS AND CONTINGENCIES | |
Legal Proceedings | |
From time to time, the Company and its subsidiaries are subject to legal proceedings, claims and litigation arising in the ordinary course of business and property ownership. The Company evaluates such matters on a case by case basis, and vigorously contests any such legal proceedings or claims which the Company believes are without merit. The Company establishes an accrual for legal proceedings if and when those matters reach a stage where they present loss contingencies that are both probable and reasonably estimable. In such cases, there may be a possible exposure to loss in excess of any amounts accrued. The Company monitors those matters for developments that would affect the likelihood of a loss and the accrued amount, if any, thereof, and adjusts the amount as appropriate. If the loss contingency at issue is not both probable and reasonably estimable, the Company does not establish an accrual, but will continue to monitor the matter for developments that will make the loss contingency both probable and reasonably estimable. If it is at least a reasonable possibility that a material loss will occur, the Company will provide disclosure regarding the contingency. The Company believes that the final disposition of the pending legal proceedings, claims and litigation will not have a material adverse effect on its financial position, results of operations or liquidity. It is possible, however, that the Company's future results of operations for a particular quarter or fiscal year could be impacted by changes in circumstances relating to such matters. | |
Taxes | |
The Company is required to file federal and state tax returns in the United States and various other tax returns in foreign jurisdictions. The preparation of these tax returns requires the Company to interpret the applicable tax laws and regulations in effect in such jurisdictions, which could affect the amount of tax paid by the Company. The Company, in consultation with its tax advisors, bases its tax returns on interpretations that are believed to be reasonable under the circumstances. The tax returns, however, are subject to routine reviews by the various taxing authorities in the jurisdictions in which the Company files its returns. As part of these reviews, a taxing authority may disagree with respect to the interpretations the Company used to calculate its tax liability and therefore require the Company to pay additional taxes. | |
The Company accrues an amount for its estimate of probable additional income tax liability. In certain cases, the impact of an uncertain income tax position on the income tax return must be recognized at the largest amount that is more-likely-than-not to be sustained upon audit by the relevant tax authority. An uncertain income tax position will not be recognized if it has less than 50% likelihood of being sustained (see Note 9 - Income Taxes for additional information). | |
In evaluating the exposure associated with various non-income tax filing positions, the Company accrues for probable and estimable exposures for non-income tax related tax contingencies. As of August 31, 2014 and 2013, the Company has recorded within other accrued expenses a total of $3.1 million and $2.9 million, respectively, for various non-income tax related tax contingencies. | |
While the Company believes the recorded liabilities are adequate, there are inherent limitations in projecting the outcome of litigation, in estimating probable additional income tax liability taking into account uncertain tax positions and in evaluating the probable additional tax associated with various non-income tax filing positions. As such, the Company is unable to make a reasonable estimate of the sensitivity to change of estimates affecting its recorded liabilities. As additional information becomes available, the Company assesses the potential liability and revises its estimates as appropriate. | |
Other Commitments | |
The Company is committed under non-cancelable operating leases for the rental of facilities and land (see Note 11 - Leases). The Company is also committed to non-cancelable construction services obligations for various warehouse club developments and expansions. As of August 31, 2014, the Company had approximately $14.1 million in contractual obligations for construction services not yet rendered. | |
The Company has entered into land purchase option agreements that have not been recorded as commitments, for which the Company has recorded within the balance sheet approximately $1.1 million in restricted cash deposits. The land purchase option agreements can be canceled at the sole option of the Company. The Company does not have a time table of when or if it will exercise these land purchase options, due to the uncertainty related to the completion of the Company's due diligence review. The Company's due diligence review includes evaluations of the legal status of the property, the zoning and permitting issues related to acquiring approval for the construction and operation of a warehouse club and any other issues related to the property itself that could render the property unsuitable or limit the property's economic viability as a warehouse club site. If the purchase option agreements are all exercised, the cash use would be approximately $31.7 million. | |
See Note 14 - Unconsolidated Affiliates for a description of additional capital contributions that may be required in connection with joint ventures to develop commercial centers adjacent to PriceSmart warehouse clubs in Panama and Costa Rica. | |
The Company contracts for distribution center services in Mexico. The contract for this distribution center's services was renewed on December 31, 2011 for an additional three years, with the applicable fees and rates to be reviewed at the beginning of each calendar year. Future minimum service commitments related to this contract through the end of the contract term is approximately $42,000. |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | |||||||||||
Aug. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
INCOME TAXES | ' | |||||||||||
INCOME TAXES | ||||||||||||
Income from continuing operations before provision for income taxes and loss of unconsolidated affiliates includes the following components (in thousands): | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
United States | $ | 34,927 | $ | 30,377 | $ | 38,121 | ||||||
Foreign | 99,322 | 92,834 | 64,593 | |||||||||
Income from continuing operations before provision for income taxes and loss of unconsolidated affiliates | $ | 134,249 | $ | 123,211 | $ | 102,714 | ||||||
Significant components of the income tax provision are as follows (in thousands): | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Current: | ||||||||||||
U.S. | $ | 11,921 | $ | 7,214 | $ | 7,593 | ||||||
Foreign | 29,120 | 29,054 | 26,325 | |||||||||
Total | $ | 41,041 | $ | 36,268 | $ | 33,918 | ||||||
Deferred: | ||||||||||||
U.S. | $ | 613 | $ | 3,257 | $ | 1,853 | ||||||
Foreign | (381 | ) | (402 | ) | (1,031 | ) | ||||||
Valuation allowance charge (release) | 99 | (181 | ) | 313 | ||||||||
Total | $ | 331 | $ | 2,674 | $ | 1,135 | ||||||
Provision for income taxes | $ | 41,372 | $ | 38,942 | $ | 35,053 | ||||||
As of August 31, 2014, the Company has elected to present the reconciliation of income tax on a percentage basis as compared to a whole dollar basis. The reconciliation of income tax computed at the Federal statutory tax rate to the provision for income taxes is as follows (in percentages): | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Federal tax provision at statutory rates | 35 | % | 35 | % | 35 | % | ||||||
State taxes, net of federal benefit | 0.3 | 0.3 | 0.3 | |||||||||
Differences in foreign tax rates | (5.2 | ) | (3.7 | ) | (3.6 | ) | ||||||
Permanent items and other adjustments | 0.8 | 0.2 | 2.1 | |||||||||
Increase (decrease) in Foreign valuation allowance | (0.1 | ) | (0.2 | ) | 0.3 | |||||||
Provision for income taxes | 30.8 | % | 31.6 | % | 34.1 | % | ||||||
Significant components of the Company’s deferred tax assets as of August 31, 2014 and 2013 are shown below (in thousands): | ||||||||||||
August 31, | ||||||||||||
2014 | 2013 | |||||||||||
Deferred tax assets: | ||||||||||||
U.S. net operating loss carryforward | $ | 5,977 | $ | 7,379 | ||||||||
Foreign tax credits | 862 | 2,096 | ||||||||||
Deferred compensation | 1,621 | 2,087 | ||||||||||
U.S. timing differences and alternative minimum tax credits | 2,647 | 1,708 | ||||||||||
Foreign net operating losses | 7,169 | 7,137 | ||||||||||
Foreign timing differences: | ||||||||||||
Accrued expenses and other timing differences | 2,935 | 5,179 | ||||||||||
Depreciation and Amortization | 5,873 | 5,027 | ||||||||||
Deferred Income | 3,688 | 3,534 | ||||||||||
Gross deferred tax assets | 30,772 | 34,147 | ||||||||||
U.S. deferred tax liabilities (depreciation and other timing differences) | (2,354 | ) | (3,216 | ) | ||||||||
Foreign deferred tax liabilities netted against deferred tax assets | (2,066 | ) | (1,638 | ) | ||||||||
U.S. valuation allowance | (613 | ) | (700 | ) | ||||||||
Foreign valuation allowance | (7,737 | ) | (9,432 | ) | ||||||||
Net deferred tax assets | $ | 18,002 | $ | 19,161 | ||||||||
As of August 31, 2014 and 2013, the Company had deferred tax liabilities of $2.4 million and $2.7 million, respectively, arising from timing differences in certain subsidiaries. | ||||||||||||
The effective tax rate for fiscal year 2014 is 30.8%, as compared to the effective tax rate for fiscal year 2013 of 31.6%. For fiscal year 2014, the decrease in the effective rate versus the prior year was primarily attributable to the favorable impact of 0.9% resulting from a greater proportion of income falling into low tax jurisdictions. | ||||||||||||
For fiscal year 2014, management concluded that a valuation allowance continues to be necessary for certain U.S. and foreign deferred tax assets, primarily because of the existence of negative objective evidence, such as the fact that certain subsidiaries are in a cumulative loss position for the past three years, and the determination that certain net operating loss carryforward periods are not sufficient to realize the related deferred tax assets. The Company factored into its analysis the inherent risk of forecasting revenue and expenses over an extended period of time and also considered the potential risks associated with its business. The Company had net foreign deferred tax assets of $9.9 million and $9.8 million as of August 31, 2014 and 2013, respectively. | ||||||||||||
The Company has U.S. federal and state tax NOL's at August 31, 2014 of approximately $15.3 million and $7.6 million, respectively. The Company maintains a valuation allowance on substantially all of its state NOL's due to the adoption of single sale factor apportionment in California, which significantly reduces taxable income in this state. The federal and state NOL's generally expire during periods ranging from 2015 through 2025, unless previously utilized. In calculating the tax provision and assessing the likelihood that the Company will be able to utilize the deferred tax assets, the Company considered and weighed all of the evidence, both positive and negative, and both objective and subjective. The Company factored in the inherent risk of forecasting revenue and expenses over an extended period of time and considered the potential risks associated with its business. Using the Company's U.S. income from continuing operations and projections of future taxable income in the U.S., the Company was able to determine that there was sufficient positive evidence to support the conclusion that it was more likely than not that the Company would be able to realize substantially all of its U.S. NOLs by generating sufficient taxable income during the carry-forward period. | ||||||||||||
The Company has determined that due to a deemed change of ownership (as defined in Section 382 of the Internal Revenue Code) in October 2004, there will be annual limitations in the amount of U.S. taxable income of approximately $3.5 million that may be offset by NOLs. The Company does not believe this will impact the recoverability of these NOLs. | ||||||||||||
The Company does not provide for income taxes which would be payable if undistributed earnings of its foreign subsidiaries were remitted to the U.S., because the Company considers these earnings to be permanently reinvested as management has no plans to repatriate undistributed earnings and profits of foreign affiliates. As of August 31, 2014 and 2013, the undistributed earnings of these foreign subsidiaries are approximately $326.9 million and $254.8 million, respectively. Upon distribution of those earnings in the form of dividends or otherwise, the Company would be subject to both U.S. income taxes and withholding taxes payable to the foreign countries, but would also be able to offset unrecognized foreign tax credits. Determination of the amount of unrecognized deferred U.S. income tax liability is not practicable because of the complexities associated with its hypothetical calculation. | ||||||||||||
The Company accrues for the estimated additional amount of taxes for uncertain income tax positions if the likelihood of sustaining the tax position does not meet the more likely than not standard for recognition of tax benefits. | ||||||||||||
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Balance at beginning of fiscal year | $ | 9,373 | $ | 11,212 | $ | 13,528 | ||||||
Additions based on tax positions related to the current year | 964 | 349 | 575 | |||||||||
Settlements | (1,093 | ) | (191 | ) | (591 | ) | ||||||
Expiration of the statute of limitations for the assessment of taxes | (458 | ) | (1,997 | ) | (2,300 | ) | ||||||
Balance at end of fiscal year | $ | 8,786 | $ | 9,373 | $ | 11,212 | ||||||
As of August 31, 2014, the liability for income taxes associated with uncertain tax benefits was $8.8 million and can be reduced by $7.8 million of tax benefits associated with timing adjustments which are recorded as deferred tax assets and liabilities. The net amount of $1.0 million, if recognized, would favorably affect the Company's financial statements and favorably affect the Company's effective income tax rate. | ||||||||||||
The Company expects changes in the amount of unrecognized tax benefits in the next 12 months as the result of a lapse in various statutes of limitations. The lapse of statutes of limitations in the 12-month period ending August 31, 2015 could result in a total income tax benefit amounting up to $644,000. | ||||||||||||
The Company recognizes interest and/or penalties related to income tax matters in income tax expense. As of August 31, 2014 and 2013, the Company had accrued $$899,000 and $800,000, respectively, (before income tax benefit) for the payment of interest and penalties. | ||||||||||||
The Company has various appeals pending before tax courts in its subsidiaries' jurisdictions. Any possible settlement could increase or decrease earnings but is not expected to be significant. Audit outcomes and the timing of audit settlements are subject to significant uncertainty. For example, during the fiscal year 2014, the Company was required to make payments of $4.2 million to the governments in two countries with respect to various income tax cases that it is currently appealing, but the Company believes it will eventually prevail. These amounts have been recorded in the balance sheet as Other non-current assets, as the Company considers this a payment on account and expects to get a refund thereof upon eventually prevailing on these cases, but is unsure of the timing thereof. | ||||||||||||
The Company and its subsidiaries file income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions. The Company is generally no longer subject to income tax examinations by tax authorities in its major jurisdictions except for the fiscal years subject to audit as set forth in the table below: | ||||||||||||
Tax Jurisdiction | Fiscal Years Subject to Audit | |||||||||||
U.S. federal | 1998, 2000 to 2005, 2007, 2011 to the present | |||||||||||
California (U.S.) (state return) | 2005, 2007 and 2010 to the present | |||||||||||
Florida(U.S.) (state return) | 2002 to 2005, 2007 and 2011 to the present | |||||||||||
Aruba | 2012 to the present | |||||||||||
Barbados | 2008 to the present | |||||||||||
Costa Rica | 2011 to the present | |||||||||||
Colombia | 2010 to the present | |||||||||||
Dominican Republic | 2009 and 2011 to the present | |||||||||||
El Salvador | 2009 to the present | |||||||||||
Guatemala | 2009 to the present | |||||||||||
Honduras | 2009, 2010, 2012 to the present | |||||||||||
Jamaica | 2008 to the present | |||||||||||
Mexico | 2011 to the present | |||||||||||
Nicaragua | 2010 to the present | |||||||||||
Panama | 2011 to the present | |||||||||||
Trinidad | 2004 to the present | |||||||||||
U.S. Virgin Islands | 2001 to the present | |||||||||||
Generally for U.S. federal and U.S. Virgin Islands tax reporting purposes, the statute of limitations is three years from the date of filing of the income tax return. If and to the extent the tax year resulted in a taxable loss, the statute is extended to three years from the filing date of the income tax return in which the carryforward tax loss was used to offset taxable income in the carryforward year. Given the historical losses in these jurisdictions and the Section 382 change in control limitations on the use of the tax loss carryforwards, there is uncertainty and significant variation as to when a tax year is no longer subject to audit. |
DEBT
DEBT | 12 Months Ended | |||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||||||||
DEBT | ' | |||||||||||||||||
DEBT | ||||||||||||||||||
Short-term borrowings consist of lines of credit which are secured by certain assets of the Company and its subsidiaries. The short-term borrowing facilities are summarized below (in thousands): | ||||||||||||||||||
Facilities Used | ||||||||||||||||||
Total Amount of Facilities | Short-term Borrowings | Letters of Credit | Facilities Available | Weighted average interest rate of loans outstanding | ||||||||||||||
August 31, 2014 | $ | 61,869 | $ | — | $ | 436 | $ | 61,433 | N/A | |||||||||
August 31, 2013 | $ | 35,863 | $ | — | $ | 588 | $ | 35,275 | N/A | |||||||||
During the fiscal year 2014, PriceSmart, Inc. increased its short-term facilities by approximately $15.0 million and established short-term facilities within its Colombia subsidiary of approximately $10.9 million dollars. | ||||||||||||||||||
The following table provides the changes in the Company's long-term debt for the twelve months ended August 31, 2014: | ||||||||||||||||||
(Amounts in millions) | Current Portion of Long-term debt | Long-term debt | Total | |||||||||||||||
Balances as of August 31, 2013 | 12,757 | 60,263 | 73,020 | (1) | ||||||||||||||
Proceeds from long-term debt: | ||||||||||||||||||
Panama subsidiary | 2,400 | 21,600 | 24,000 | |||||||||||||||
Honduras subsidiary | — | 13,734 | 13,734 | |||||||||||||||
El Salvador subsidiary | 800 | 3,408 | 4,208 | |||||||||||||||
Repayments of long-term debt: | ||||||||||||||||||
Repayment of loan by Colombia subsidiary, originally entered into on November 1, 2010 with Citibank, N.A. in New York | — | (8,131 | ) | (8,131 | ) | |||||||||||||
Repayment of loan by Panama subsidiary, originally entered into on September 11, 2010 with Metro Bank, S.A. | (500 | ) | (2,708 | ) | (3,208 | ) | ||||||||||||
Repayment of loan by El Salvador subsidiary, originally entered into on September 1, 2009 with Scotiabank El Salvador, S.A. | (4,066 | ) | — | (4,066 | ) | |||||||||||||
Regularly scheduled loan payments | (2,102 | ) | (6,249 | ) | (8,351 | ) | ||||||||||||
Reclassifications of long-term debt | 2,567 | (2,567 | ) | — | ||||||||||||||
Translation adjustments on foreign-currency debt of subsidiaries whose functional currency is not the U.S. dollar (2) | (8 | ) | 241 | 233 | ||||||||||||||
Balances as of August 31, 2014 | 11,848 | 79,591 | 91,439 | (3) | ||||||||||||||
-1 | The carrying amount of cash assets assigned as collateral for this total was $33.8 million, and the carrying amount of non-cash assets assigned as collateral for this total was $55.2 million. | |||||||||||||||||
(2) | These foreign currency translation adjustments are recorded within other comprehensive income. | |||||||||||||||||
(3) | The carrying amount of cash assets assigned as collateral for this total was $24.6 million, and the carrying amount of non-cash assets assigned as collateral for this total was $84.2 million. | |||||||||||||||||
Long-term debt consists of the following types of loans (in thousands): | ||||||||||||||||||
31-Aug-14 | August 31, 2013 | |||||||||||||||||
Loans entered into by the Company's subsidiaries with a balloon payment due at the end of the loan term and with non-cash assets and/or cash or cash equivalents assigned as collateral and with/without established debt covenants | $ | 11,733 | $ | 23,442 | ||||||||||||||
Loans entered into by the Company's Colombia subsidiary for which the subsidiary has entered into a cross-currency interest rate swap with non-cash assets and/or cash or cash equivalents assigned as collateral and with established debt covenants | 22,532 | 30,346 | ||||||||||||||||
Loans entered into by the Company's subsidiaries for which the subsidiary has entered into a interest rate swap with non-cash assets and/or cash or cash equivalents assigned as collateral and with established debt covenants | 28,200 | 6,525 | ||||||||||||||||
Loans entered into by the Company's subsidiaries with non-cash assets and/or cash or cash equivalents assigned as collateral and with/without established debt covenants | 28,974 | 12,707 | ||||||||||||||||
Total long-term debt | 91,439 | -1 | 73,020 | |||||||||||||||
Less: current portion | 11,848 | 12,757 | ||||||||||||||||
Long-term debt, net of current portion | $ | 79,591 | $ | 60,263 | ||||||||||||||
(1) | On March 31, 2014, the Company's Panama subsidiary entered into a loan agreement with The Bank of Nova Scotia. The agreement establishes a credit facility of $34.0 million. During April 2014, the Company drew down $24.0 million of the $34.0 million facility and has $10.0 million available for future draw down. | |||||||||||||||||
As of August 31, 2014, the Company had approximately $62.5 million of long-term loans in Trinidad, Panama, El Salvador, Honduras and Colombia that required these subsidiaries to comply with certain annual or quarterly financial covenants, which include debt service and leverage ratios. As of August 31, 2014, the Company was in compliance with all covenants or amended covenants. | ||||||||||||||||||
As of August 31, 2013, the Company had approximately $55.9 million of long-term loans in Trinidad, Barbados, Panama, El Salvador, Honduras and Colombia that required these subsidiaries to comply with certain annual or quarterly financial covenants, which include debt service and leverage ratios. During the fourth quarter of fiscal year 2013, the Company determined that its Barbados subsidiary was not in compliance with a financial covenant that is measured and reported on an annual basis at the end of the Company’s fiscal year 2013. The Company obtained a written waiver from the bank on the annual measurement and reporting for this covenant with respect to any non-compliance for fiscal year 2013 and amended the financial covenants within the underlying contract for the long-term loans in the Barbados subsidiary. As of August 31, 2013, the Company was in compliance with all covenants, amended covenants or had received a written waiver from the bank with respect to any non-compliance. | ||||||||||||||||||
Annual maturities of long-term debt are as follows (in thousands): | ||||||||||||||||||
Years Ended August 31, | Amount | |||||||||||||||||
2015 | $ | 11,848 | ||||||||||||||||
2016 | 25,931 | |||||||||||||||||
2017 | 16,075 | |||||||||||||||||
2018 | 8,483 | |||||||||||||||||
2019 | 18,765 | |||||||||||||||||
Thereafter | 10,337 | |||||||||||||||||
Total | $ | 91,439 | ||||||||||||||||
LEASES
LEASES | 12 Months Ended | |||||||||||
Aug. 31, 2014 | ||||||||||||
Leases [Abstract] | ' | |||||||||||
LEASES | ' | |||||||||||
LEASES | ||||||||||||
The Company is committed under non-cancelable operating leases for the rental of facilities and land. These leases expire or become subject to renewal between January 29, 2015 and January 29, 2044. | ||||||||||||
As of August 31, 2014, the Company’s warehouse clubs occupied a total of approximately 2,294,820 square feet of which 420,647 square feet were on leased property. The following is a summary of the warehouse clubs and Company facilities located on leased property: | ||||||||||||
Approximate | Current Lease | Remaining | ||||||||||
Square | Option(s) | |||||||||||
Location | Facility Type | Date Opened | Footage | Expiration Date | to Extend | |||||||
Salitre, Colombia (1) | Warehouse Club | Under Construction(2) | — | January 29, 2044 | 20 years | |||||||
Via Brazil, Panama | Warehouse Club | December 4, 1997 | 68,696 | October 31, 2026 | 10 years | |||||||
Miraflores, Guatemala | Warehouse Club | April 8, 1999 | 66,059 | December 31, 2020 | 5 years | |||||||
Pradera, Guatemala | Warehouse Club | May 29, 2001 | 48,438 | May 28, 2021 | none | |||||||
Tegucigalpa, Honduras | Warehouse Club | May 31, 2000 | 64,735 | May 30, 2020 | none | |||||||
Oranjestad, Aruba | Warehouse Club | March 23, 2001 | 64,627 | March 23, 2021 | 10 years | |||||||
Port of Spain, Trinidad | Warehouse Club | December 5, 2001 | 54,046 | July 5, 2031 | none | |||||||
St. Thomas, U.S.V.I. | Warehouse Club | May 4, 2001 | 54,046 | February 28, 2020 | 10 years | |||||||
Barbados | Storage Facility | December 1, 2012 | 12,517 | November 30, 2015 | 3 years | |||||||
Chaguanas, Trinidad | Employee Parking | May 1, 2009 | 4,944 | April 30, 2024 | none | |||||||
Chaguanas, Trinidad | Container Parking | April 1, 2010 | 65,340 | March 31, 2015 | none | |||||||
Jamaica | Storage Facility | September 1, 2012 | 17,000 | February 28, 2015 | 3 years | |||||||
Santo Domingo, Dominican Republic | Central Offices | June 1, 2010 | 2,002 | May 31, 2015 | 1 year | |||||||
Bogota, Colombia | Central Offices | October 21, 2010 | 7,812 | December 31, 2015 | none | |||||||
San Diego, CA (3) | Corporate Headquarters | April 1, 2004 | 39,225 | August 31, 2015 | 5 years | |||||||
Miami, FL (4) | Distribution Facility | March 1, 2008 | 274,652 | July 31, 2021 | 10 years | |||||||
Panama | Storage and Distribution Facility | August 15, 2012 | 25,690 | August 15, 2015 | mutual agreement | |||||||
Panama | Central Offices | Under Construction(2) | — | 12-Dec-43 | 15 years | |||||||
Costa Rica | Storage and Distribution Facility | January 28, 2013 | 37,674 | January 29, 2015 | 3 years | |||||||
Trinidad | Storage and Distribution Facility | August 18, 2014 | 17,110 | August 17, 2017 | none | |||||||
(1) | For the fiscal year 2014, the Company recorded expenses related to the property lease for the new club planned for Bogota, Colombia ("Salitre") as pre-opening expenses. The Company will continue to record the monthly lease expense for this land in pre-opening expenses while the warehouse club is under construction. Upon opening, these expenses will be recognized in warehouse club operations expense. | |||||||||||
(2) | The Company opened this location on October 29, 2014. | |||||||||||
(3) | In September 2014, the Company executed a third amendment to include an additional 3,802 square feet of space and an extension on the term of the existing premises at its corporate headquarters. This additional space is not included within the above table. | |||||||||||
(4) | In September 2014, the Company executed a second amendment to include an additional 26,400 square feet of space at its primary distribution center in Miami. This additional space is not included within the above table. | |||||||||||
The following table summarizes the components of rental expense charged for operating leases of open locations for fiscal years 2014, 2013 and 2012 (in thousands): | ||||||||||||
Years ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Minimum rental payments | $ | 7,952 | $ | 7,584 | $ | 7,251 | ||||||
Deferred rent accruals | 1,514 | 104 | 193 | |||||||||
Total straight line rent expense | 9,466 | 7,688 | 7,444 | |||||||||
Contingent rental payments | 3,220 | 2,950 | 2,623 | |||||||||
Common area maintenance expense | 1,212 | 1,074 | 865 | |||||||||
Rental expense | $ | 13,898 | $ | 11,712 | $ | 10,932 | ||||||
Future minimum lease commitments for facilities under these leases with an initial term in excess of one year are as follows (in thousands): | ||||||||||||
Years Ended August 31, | ||||||||||||
Leased | ||||||||||||
Locations(1) | ||||||||||||
2015 | $ | 9,156 | ||||||||||
2016 | 8,468 | |||||||||||
2017 | 9,429 | |||||||||||
2018 | 9,411 | |||||||||||
2019 | 9,129 | |||||||||||
Thereafter | 89,988 | |||||||||||
Total | $ | 135,581 | (2) | |||||||||
(1) | Operating lease obligations have been reduced by approximately $517,000 to reflect sub-lease income. Certain obligations under leasing arrangements are collateralized by the underlying asset being leased. | |||||||||||
(2) | The future minimum lease commitments have been reduced by approximately $517,000 to reflect the amounts net of sublease income. Additionally, during September 2014, the Company executed an amendment to include an additional 3,802 square feet of space and an extension on the term through May 2026 of the existing premises at the Company's corporate headquarters, adding lease obligations of approximately $11.8 million. In September 2014, the Company also executed an amendment to include an additional 26,400 square feet of space at its primary distribution center in Miami, adding lease obligations of approximately $1.0 million. The lease obligations for these two lease amendments are not included within the above table. | |||||||||||
The following table summarizes the components of rental income recorded for operating leases for fiscal years 2014, 2013 and 2012 (in thousands): | ||||||||||||
Years ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Minimum rental receipts | $ | 2,646 | $ | 2,620 | $ | 2,629 | ||||||
Deferred rent accruals | 187 | 26 | (69 | ) | ||||||||
Total straight line rent income | 2,833 | 2,646 | 2,560 | |||||||||
Contingent rental receipts | 59 | 98 | 111 | |||||||||
Common maintenance area income | 129 | 117 | 109 | |||||||||
Rental income | $ | 3,021 | $ | 2,861 | $ | 2,780 | ||||||
The Company entered into leases as landlord for rental of land and/or building space for properties it owns. The following is a schedule of future minimum rental income on non-cancelable operating leases with an initial term in excess of one year from owned property as of August 31, 2014 (in thousands): | ||||||||||||
Years ended August 31, | Amount | |||||||||||
2015 | $ | 2,643 | ||||||||||
2016 | 2,206 | |||||||||||
2017 | 1,317 | |||||||||||
2018 | 1,055 | |||||||||||
2019 | 853 | |||||||||||
Thereafter | 6,763 | |||||||||||
Total | $ | 14,837 | ||||||||||
DERIVATIVE_INSTRUMENTS_AND_HED
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | 12 Months Ended | |||||||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||||||||
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | ' | |||||||||||||||||||||
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | ||||||||||||||||||||||
The Company is exposed to certain risks relating to its ongoing business operations. One risk managed by the Company using derivative instruments is interest rate risk. To manage interest rate exposure, the Company enters into hedge transactions (interest rate swaps) using derivative financial instruments. The objective of entering into interest rate swaps is to eliminate the variability of cash flows in the LIBOR interest payments associated with variable-rate loans over the life of the loans. As changes in interest rates impact the future cash flow of interest payments, the hedges provide a synthetic offset to interest rate movements. | ||||||||||||||||||||||
In addition, the Company is exposed to foreign currency and interest rate cash flow exposure related to a non-functional currency long-term debt of one of its wholly owned subsidiaries. To manage this foreign currency and interest rate cash flow exposure, the Company’s subsidiary entered into a cross-currency interest rate swap that converts its foreign currency denominated floating interest payments to functional currency fixed interest payments during the life of the hedging instrument. As changes in foreign exchange and interest rates impact the future cash flow of interest payments, the hedge is intended to offset changes in cash flows attributable to interest rate and foreign exchange movements. | ||||||||||||||||||||||
These derivative instruments (cash flow hedging instruments) are designated and qualify as cash flow hedges, with the effective portion of the gain or loss on the derivative reported as a component of other comprehensive income (loss) and reclassified into earnings in the same period or periods during which the hedged transaction is determined to be ineffective. There were no such amounts recorded for ineffectiveness for the periods reported herein related to the interest rate or cross-currency interest rate swaps of long-term debt. | ||||||||||||||||||||||
The Company is exposed to foreign-currency exchange-rate fluctuations in the normal course of business. The Company is also exposed to foreign-currency exchange-rate fluctuations on U.S. dollar denominated liabilities within its international subsidiaries whose functional currency is other than the U.S. dollar. The Company manages these fluctuations, in part, through the use of non-deliverable forward foreign-exchange contracts that are intended to offset changes in cash flow attributable to currency exchange movements. These contracts are intended primarily to economically address exposure to U.S. dollar merchandise inventory expenditures made by the Company’s international subsidiaries whose functional currency is other than the U.S. dollar. Currently, these contracts do not qualify for derivative hedge accounting. The Company seeks to mitigate foreign-currency exchange-rate risk with the use of these contracts and does not intend to engage in speculative transactions. These contracts do not contain any credit-risk-related contingent features. | ||||||||||||||||||||||
Cash Flow Hedges | ||||||||||||||||||||||
The Company formally documents the hedging relationships for its derivative instruments that qualify for hedge accounting. As of August 31, 2014, all of the Company’s interest rate swap and cross-currency interest rate swap derivative financial instruments are designated and qualify as cash flow hedges. The cross-currency interest rate swap agreements convert the Company's foreign currency United States dollar denominated floating interest payments on long-term debt to functional currency fixed interest payments during the life of the hedging instrument. As changes in foreign exchange and interest rates impact the future cash flow of principal and interest payments, the hedges are intended to offset changes in cash flows attributable to interest rate and foreign currency exchange movements. Various subsidiaries entered into interest rate swap agreements that fix the interest rate over the life of the underlying loans. | ||||||||||||||||||||||
The following table summarizes agreements for which the Company has recorded cash flow hedge accounting transactions during the twelve months ended August 31, 2014: | ||||||||||||||||||||||
Subsidiary | Date entered into | Derivative Financial Counter-party | Derivative Financial Instruments | Initial | Bank US loan Held with | Floating Leg (swap counter-party) | Fixed Rate for PSMT Subsidiary | Settlement Reset Date | Effective Period of Swap | |||||||||||||
US Notional Amount (in thousands) | ||||||||||||||||||||||
Panama | 1-Aug-14 | Bank of Nova Scotia ("Scotiabank") | Interest rate swap | $ | 5,000 | Bank of Nova Scotia | Variable rate 30-day Libor plus 3.5% | 4.89 | % | 21st day of each month beginning on September 22, 2014 | August 21, 2014 - August 21, 2019 | |||||||||||
Panama | 22-May-14 | Bank of Nova Scotia ("Scotiabank") | Interest rate swap | $ | 19,800 | Bank of Nova Scotia | Variable rate 30-day Libor plus 3.5% | 4.98 | % | 4th day of each month beginning on June 4, 2014 | May 5, 2014 - April 4, 2019 | |||||||||||
Panama | 22-May-14 | Bank of Nova Scotia ("Scotiabank") | Interest rate swap | $ | 3,970 | Bank of Nova Scotia | Variable rate 30-day Libor plus 3.5% | 4.98 | % | 4th day of each month beginning on June 4, 2014 | May 5, 2014 - April 4, 2019 | |||||||||||
Colombia | 11-Dec-12 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 8,000 | Bank of Nova Scotia | Variable rate 3-month Libor plus 0.7% | 4.79 | % | March, June, September and December, beginning on March 5, 2013 | December 5, 2012 - December 5, 2014 | |||||||||||
Colombia | 21-Feb-12 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 8,000 | Bank of Nova Scotia | Variable rate 3-month Libor plus 0.6% | 6.02 | % | February, May, August and November beginning on May 22, 2012 | February 21, 2012 - February 21, 2017 | |||||||||||
Colombia | 17-Nov-11 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 8,000 | Citibank, N.A. | Variable rate 6-month Eurodollar Libor plus 2.4% | 5.85 | % | May 3, 2012 and semi-annually thereafter | November 3, 2011 - November 3, 2013 | |||||||||||
Colombia | 21-Oct-11 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 2,000 | Bank of Nova Scotia | Variable rate 3-month Libor plus 0.7% | 5.3 | % | January, April, July and October, beginning on October 29, 2011 | July 29, 2011 - April 1, 2016 | |||||||||||
Colombia | 21-Oct-11 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 6,000 | Bank of Nova Scotia | Variable rate 3-month Libor plus 0.7% | 5.45 | % | March, June, September and December, beginning on December 29, 2011 | September 29, 2011 - April 1, 2016 | |||||||||||
Colombia | 5-May-11 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 8,000 | Bank of Nova Scotia | Variable rate 3-month Libor plus 0.7% | 6.09 | % | January, April, July and October, beginning on July 5, 2011 | April 1, 2011 - April 1, 2016 | |||||||||||
Trinidad | 20-Nov-08 | Royal Bank of Trinidad & Tobago | Interest rate swaps | $ | 8,900 | Royal Bank of Trinidad & Tobago | Variable rate 1-year Libor plus 2.75% | 7.05 | % | Annually on August 26 | September 25, 2008 - September 26, 2013 | |||||||||||
For the twelve-month periods ended August 31, 2014, 2013, and 2012 the Company included the gain or loss on the hedged items (that is, variable-rate borrowings) in the same line item—interest expense—as the offsetting gain or loss on the related interest rate swaps as follows (in thousands): | ||||||||||||||||||||||
Income Statement Classification | Interest expense | Loss on Swaps(2) | Interest expense | |||||||||||||||||||
on Borrowings(1) | ||||||||||||||||||||||
Interest expense for the year ended August 31, 2014 | $ | 674 | $ | 1,632 | $ | 2,306 | ||||||||||||||||
Interest expense for the year ended August 31, 2013 | $ | 739 | $ | 1,821 | $ | 2,560 | ||||||||||||||||
Interest expense for the year ended August 31, 2012 | $ | 767 | $ | 1,356 | $ | 2,123 | ||||||||||||||||
(1) This amount is representative of the interest expense recognized on the underlying hedged transactions. | ||||||||||||||||||||||
(2) This amount is representative of the interest expense recognized on the interest rate and cross-currency interest rate swaps designated as cash flow hedging instruments. | ||||||||||||||||||||||
The total notional balance of the Company’s pay-fixed/receive-variable interest rate swaps and cross-currency interest rate swaps was as follows (in thousands): | ||||||||||||||||||||||
Notional Amount as of | ||||||||||||||||||||||
August 31, | ||||||||||||||||||||||
Floating Rate Payer (Swap Counterparty) | 2014 | 2013 | ||||||||||||||||||||
Royal Bank of Trinidad & Tobago (RBTT) | $ | — | $ | 4,500 | ||||||||||||||||||
Scotiabank | 60,200 | 40,000 | ||||||||||||||||||||
Total | $ | 60,200 | $ | 44,500 | ||||||||||||||||||
The following table summarizes the fair value of interest rate swap and cross-currency interest rate swap derivative instruments that qualify for derivative hedge accounting (in thousands, except footnote data): | ||||||||||||||||||||||
August 31, 2014 | August 31, 2013 | |||||||||||||||||||||
Derivatives designated as cash flow hedging instruments | Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | ||||||||||||||||||
Cross-currency interest rate swaps(1)(2) | Prepaid expenses and other current assets (Cross-currency interest rate swaps) | $ | 495 | Prepaid expenses and other current assets (Cross-currency interest rate swaps) | $ | — | ||||||||||||||||
Cross-currency interest rate swaps(1)(2) | Other non-current assets | $ | 970 | Other non-current assets | $ | 1,505 | ||||||||||||||||
Interest rate swaps(3) | Other non-current assets | 125 | Other non-current assets | — | ||||||||||||||||||
Interest rate swaps(3) | Other long-term liabilities | — | Other long-term liabilities | (14 | ) | |||||||||||||||||
Net fair value of derivatives designated as hedging instruments - assets (liability)(4) | $ | 1,590 | $ | 1,491 | ||||||||||||||||||
(1) | The effective portion of the cross-currency interest rate swaps was recorded to Accumulated other comprehensive (income)/loss for $(917,000) and $(1.0) million net of tax as of August 31, 2014 and August 31, 2013, respectively. | |||||||||||||||||||||
(2) | The Company has recorded a deferred tax liability amount with an offset to other comprehensive income of $(548,000) and $(497,000) as of August 31, 2014 and August 31, 2013, respectively, related to asset positions of cross-currency interest rate swaps. However, the equity effect of this deferred tax liability is offset by the full valuation allowance provided for the net deferred tax asset recorded for this subsidiary. | |||||||||||||||||||||
(3) | The effective portion of the interest rate swaps was recorded to Accumulated other comprehensive loss for $(94,000) and $10,000 net of tax as of August 31, 2014 and August 31, 2013, respectively. The Company has recorded a deferred tax (liability)/asset amount with an offset to other comprehensive income of $(31,000) and $4,000 as of August 31, 2014 and August 31, 2013, respectively. | |||||||||||||||||||||
(4) | Derivatives listed on the above table were designated as cash flow hedging instruments. | |||||||||||||||||||||
Fair Value Instruments | ||||||||||||||||||||||
The Company has entered into non-deliverable forward foreign-exchange contracts. These contracts are treated for accounting purposes as fair value contracts and do not qualify for derivative hedge accounting. The use of non-deliverable forward foreign-exchange contracts is intended to offset changes in cash flow attributable to currency exchange movements. These contracts are intended primarily to economically hedge exposure to U.S. dollar merchandise inventory expenditures made by the Company’s international subsidiaries whose functional currency is other than the U.S. dollar. | ||||||||||||||||||||||
The following table summarizes these agreements as of August 31, 2014: | ||||||||||||||||||||||
Subsidiary | Date entered into | Derivative Financial Counter-party | Derivative Financial Instruments | Notional Amount | Settlement Date | Effective Period of Forward | ||||||||||||||||
(in thousands) | ||||||||||||||||||||||
Colombia | Aug-14 | Bank of Nova Scotia | Forward foreign exchange contracts | $ | 3,000 | September 2014 - October 2014 | August 2014 - October 2014 | |||||||||||||||
For the twelve-month periods ended August 31, 2014, 2013 and 2012, the Company included in its consolidated statements of income the forward derivative (gain) or loss on the non-deliverable forward foreign-exchange contracts as follows (in thousands): | ||||||||||||||||||||||
Twelve Months Ended August 31, | ||||||||||||||||||||||
Income Statement Classification | 2014 | 2013 | 2012 | |||||||||||||||||||
Other income (expense), net | $ | (463 | ) | $ | (580 | ) | $ | (73 | ) | |||||||||||||
The following table summarizes the fair value of foreign currency forward contracts that do not qualify for derivative hedge accounting (in thousands): | ||||||||||||||||||||||
August 31, 2014 | August 31, 2013 | |||||||||||||||||||||
Derivatives designated as fair value hedging instruments | Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | ||||||||||||||||||
Foreign currency forward contracts | Other accrued expenses | (14 | ) | Other accrued expenses | — | |||||||||||||||||
Net fair value of derivatives designated as hedging instruments that do not qualify for hedge accounting | $ | (14 | ) | $ | — | |||||||||||||||||
There were no open non-deliverable forward foreign exchange contracts as of August 31, 2013. |
RELATEDPARTY_TRANSACTIONS
RELATED-PARTY TRANSACTIONS | 12 Months Ended |
Aug. 31, 2014 | |
Related Party Transactions [Abstract] | ' |
RELATED-PARTY TRANSACTIONS | ' |
RELATED-PARTY TRANSACTIONS | |
Use of Private Plane: From time to time members of the Company’s management use private planes owned in part by La Jolla Aviation, Inc. to travel to business meetings in Latin America and the Caribbean. La Jolla Aviation, Inc. is solely owned by The Robert and Allison Price Trust, and Robert Price is a Director and Officer of La Jolla Aviation, Inc. Under the "original use agreement," if the passengers are solely Company personnel, the Company has reimbursed La Jolla Aviation for a portion of the fixed management fee and additional expenses incurred by La Jolla Aviation as a result of the hours flown, including direct charges associated with the use of the plane, landing fees, catering and international fees. If the passengers are not solely PriceSmart, Inc. personnel and if one or more of the passengers is a member of the Price Group (including Robert E. Price), the Company has reimbursed La Jolla Aviation for use of the aircraft based on the amounts the passengers would have paid if they had flown a commercial airline. In July 2013, the Company revised its reimbursement policy related to the use of La Jolla Aviation aircraft when such use involves travel by the Company's Chairman of the Board in his company duties as Chairman of the Board and Chairman of the company's real estate committee. The Company will reimburse La Jolla Aviation for such travel at the hourly rate of the Company's private aircraft for such travel. The Company incurred expenses of approximately $59,000, $31,000 and $31,000 for the years ended August 31, 2014, 2013 and 2012, respectively, for these services. | |
Relationship with Aseprismar: Aseprismar is a PriceSmart employee association located in Costa Rica that purchases discarded packaging materials received by the Company from incoming shipments of merchandise. The Company recorded approximately $48,000, $42,000 and $37,000 in other income from the sale of packaging materials to Aseprismar for the years ended August 2014, 2013 and 2012, respectively. In addition, the Company also contracts with Aseprismar for freight transportation between the Company's Costa Rica warehouse clubs. The Company incurred approximately $17,000, $27,000 and $12,000 for freight expense with Aseprismar for the years ended August 2014, 2013 and 2012. | |
Relationships with Edgar Zurcher: Edgar Zurcher is a director of the Company. The Company has accordingly recorded and disclosed related-party expense or income related to the relationships with Edgar Zurcher for the years ended August 31, 2014, 2013 and 2012. Mr. Zurcher is a partner in a law firm that the Company utilizes in certain legal matters. The Company incurred approximately $27,000, $14,000 and $26,000 in legal expenses with this firm for the years ended August 31, 2014, 2013 and 2012, respectively. Mr. Zurcher is also a director of a company that owns 40% of Payless ShoeSource Holdings, Ltd., which rents retail space from the Company. The Company has recorded approximately $1.4 million, $1.5 million, and $1.4 million in rental income for this space during the years ended August 31, 2014, 2013 and 2012, respectively. Additionally, Mr. Zurcher is a director of Molinos de Costa Rica S.A. The Company paid approximately $461,000, $409,000 and $367,000 for products purchased from this entity during the years ended August 31, 2014, 2013 and 2012, respectively. Also, Mr. Zurcher is a director of Roma Prince S.A. PriceSmart purchased products from this entity for approximately $1.3 million, $1.3 million and $1.4 million for the years ended August 31, 2014, 2013 and 2012, respectively. | |
Relationship with Gonzalo Barrutieta: Gonzalo Barrutieta is a director of the Company. Mr. Barrutieta is also a member of the Board of Directors of Office Depot Mexico, S.A. de C.V., which operates OD Panama, S.A. ("ODP"), which rents retail space from the Company. The Company has recorded approximately $261,000, $256,000 and $252,000 in rental income and common area maintenance charges for this space during the years ended August 31, 2014, 2013, and 2012, respectively. Additionally, the Company sold to ODP approximately 28,000 square feet of undeveloped land, located adjacent to the Panama, Via Brasil PriceSmart location, for approximately $2.1 million during the fiscal year ended August 31, 2011. Also, on July 15, 2011 (fiscal year 2011), the Company's joint venture Golf Park Plaza, S.A. ("GPP") and ODP entered into a 30 year operating lease, with an option to buy, for approximately 26,000 square feet of land owned by GPP. The option to purchase the land has a three-year limit beginning as the April 2013. As part of this transaction, ODP: (i) made an initial deposit to GPP in the sum of approximately $545,000 at the time of signing the agreement; (ii) paid a second deposit of approximately $436,000 at the time their building was completed and their store opened to the public; (iii) is currently paying monthly rent per the lease clause of the agreement of $1,000 per month starting 365 days from execution of the contract and (iv) will pay an additional $109,000, less any rental payments previously applied per the lease clause, when ODP exercises its option to purchase the land. ODP opened their store in April of 2013. ODP paid approximately $12,000 in rental payments during the fiscal years ended August 31, 2014 and 2013, respectively. | |
Relationships with Price Charities: During the years ended August 31, 2014, 2013 and 2012, the Company sold approximately $210,000, $189,000 and $98,000, respectively, of supplies to Price Charities, a charitable non-profit public benefit corporation. Robert E. Price, the Company’s Chairman of the Board, is also Chairman of the Board and President of Price Charities. Additionally, Sherry S. Bahrambeygui, a director since November 2011, serves as Executive Vice President, Secretary and Vice Chairman of the Boards of Price Charities, fka San Diego Revitalization Corp., and Price Philanthropies Foundation. The Company also participates with Price Charities in a charitable program known as “Aprender y Crecer” ("Learn and Grow”), by allowing PriceSmart members to donate money in the warehouse clubs to that program. The Company collaborates with Price Charities and local charitable groups to use these donations to acquire and deliver supplies to schools in the communities surrounding PriceSmart clubs. The liability for donations received was approximately $2,000 as of August 31, 2013. There was no liability as of August 31, 2014. | |
Relationships with Mitchell G. Lynn: Mr. Lynn has been a director of the Company since November 2011. Mr. Lynn is the founder, limited partner and a general Partner of CRI 2000, LP, dba Combined Resources International ("CRI"), which designs, develops and manufactures consumer products for domestic and international wholesale distribution, primarily through warehouse clubs. The Company paid approximately $157,000, $381,000 and $285,000 for products purchased from this entity during the years ended August 31, 2014, 2013 and 2012, respectively. Mr. Lynn is also a founder, limited partner and a general partner of ECR4Kids, LP ("ECR") which designs, manufactures and sells educational/children's products to wholesale dealers. The Company paid approximately $3,000, $16,000 and $1,000 for products purchased from this entity during the years ended August 31, 2014, 2013 and 2012, respectively. | |
Relationship with Golf Park Plaza, S.A.: Golf Park Plaza, S.A. is a real estate joint venture located in Panama entered into by the Company in 2008 (see Note 14 - Unconsolidated Affiliate). On December 12, 2013, the Company entered into a lease agreement for approximately 17,976 square feet (1,670 square meters) of land with Golf Park Plaza, S.A. upon which the Company is constructing its central offices in Panama. Construction of the offices is expected to be completed during calendar year 2014. The lease term is for 15 years with three options to renew for five years each at the Company's discretion. The monthly lease expense is approximately $8,800. For the twelve months ended August 31, 2014, the Company recognized rent expense of $79,000 for this lease. | |
The Company believes that each of the related-party transactions described above was on terms that the Company could have obtained from unaffiliated parties. |
UNCONSOLIDATED_AFFILIATES
UNCONSOLIDATED AFFILIATES | 12 Months Ended | ||||||||||||||||||||||||
Aug. 31, 2014 | |||||||||||||||||||||||||
Unconsolidated Affiliates [Abstract] | ' | ||||||||||||||||||||||||
UNCONSOLIDATED AFFILIATES | ' | ||||||||||||||||||||||||
UNCONSOLIDATED AFFILIATES | |||||||||||||||||||||||||
The Company determines whether any of the joint ventures in which it has made investments is a Variable Interest Entity (“VIE”) at the start of each new venture and if a reconsideration event has occurred. At this time, the Company also considers whether it must consolidate a VIE and/or disclose information about its involvement in a VIE. A reporting entity must consolidate a VIE if that reporting entity has a variable interest (or combination of variable interests) that will absorb a majority of the VIE's expected losses, receive a majority of the VIE's expected residual returns, or both. A reporting entity must consider the rights and obligations conveyed by its variable interests and the relationship of its variable interests with variable interests held by other parties to determine whether its variable interests will absorb a majority of a VIE's expected losses, receive a majority of the VIE's expected residual returns, or both. The reporting entity that consolidates a VIE is called the primary beneficiary of that VIE. | |||||||||||||||||||||||||
In 2008, the Company entered into real estate joint ventures to jointly own and operate separate commercial retail centers adjacent to warehouse clubs in Panama (Golf Park Plaza, S.A.) and Costa Rica (Plaza Price Alajuela PPA, S.A.). Due to the initial nature of the joint ventures and the continued commitments for additional financing, the Company determined these joint ventures are VIEs. Since all rights and obligations are equally absorbed by both parties within each joint venture, the Company has determined that it is not the primary beneficiary of the VIEs and, therefore, has accounted for these entities under the equity method. Under the equity method, the Company's investments in unconsolidated affiliates are initially recorded as an investment in the stock of an investee at cost and are adjusted for the carrying amount of the investment to recognize the investor's share of the earnings or losses of the investee after the date of the initial investment. | |||||||||||||||||||||||||
The table below summarizes the Company’s interest in these VIEs and the Company’s maximum exposure to loss as a result of its involvement with these VIEs as of August 31, 2014 (in thousands): | |||||||||||||||||||||||||
Entity | Initial Investment | Additional Contributions | Company’s Variable | Commitment to Future Additional Contributions(1) | Company’s | ||||||||||||||||||||
Interest in Entity | Maximum | ||||||||||||||||||||||||
Net Loss Inception to Date | Exposure | ||||||||||||||||||||||||
to Loss in Entity(2) | |||||||||||||||||||||||||
GolfPark Plaza, S.A. | $ | 4,616 | $ | 1,483 | (3) | $ | (82 | ) | $ | 6,017 | $ | 1,017 | $ | 7,034 | |||||||||||
Plaza Price Alajuela PPA, S.A. | 2,193 | 677 | (3) | (24 | ) | 2,846 | 1,345 | 4,191 | |||||||||||||||||
Total | $ | 6,809 | $ | 2,160 | $ | (106 | ) | $ | 8,863 | $ | 2,362 | $ | 11,225 | ||||||||||||
(1) | The parties intend to seek alternate financing for the project, which could reduce the amount of contributions each party would be required to provide. The parties may mutually agree on changes to the project, which could increase or decrease the amount of contributions each party is required to provide. | ||||||||||||||||||||||||
(2) | The maximum exposure is determined by adding the Company’s variable interest in the entity and any explicit or implicit arrangements that could require the Company to provide additional financial support. | ||||||||||||||||||||||||
(3) | Prior to fiscal year 2012, the Company contributed an additional $377,000 and $483,000 to Plaza Price Alajuela PPA, S.A. and Golf Park Plaza S.A., respectively. In September 2012, the Company contributed an additional $300,000 to Plaza Price Alajuela PPA, S.A. and maintained its 50% interest in the joint venture. In October 2012, the Company contributed an additional $250,000 to Golf Park Plaza S.A., and in January 2014 it contributed an additional $750,000 to Golf Park Plaza S.A., maintaining its 50% interest in the joint venture. The contributions were a portion of the Company's required additional future contributions under the joint venture agreement. | ||||||||||||||||||||||||
The summarized financial information of the unconsolidated affiliates is as follows (in thousands): | |||||||||||||||||||||||||
August 31, | August 31, | ||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Current assets | $ | 803 | $ | 606 | |||||||||||||||||||||
Noncurrent assets | 8,900 | 7,432 | |||||||||||||||||||||||
Current liabilities | 1,126 | 999 | |||||||||||||||||||||||
Noncurrent liabilities | 13 | 8 | |||||||||||||||||||||||
Years Ended August 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Net income (loss) | $ | 18 | $ | (8 | ) | $ | (30 | ) | |||||||||||||||||
SEGMENTS
SEGMENTS | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||
SEGMENTS | ' | |||||||||||||||||||
SEGMENTS | ||||||||||||||||||||
The Company and its subsidiaries are principally engaged in the international operation of membership shopping warehouse clubs in 13 countries/territories that are located in Latin America and the Caribbean. In addition, the Company operates distribution centers and corporate offices in the United States. The Company has aggregated its warehouse clubs, distribution centers and corporate offices into reportable segments. The Company’s reportable segments are based on management’s organization of these locations into operating segments by general geographic location, used by management in setting up management lines of responsibility, providing support services, and making operational decisions and assessments of financial performance. The Company’s operating segments are the United States, Latin America and the Caribbean. Segment amounts are presented after converting to U.S. dollars and consolidating eliminations. Certain revenues and operating costs included in the United States segment have not been allocated, as it is impractical to do so. | ||||||||||||||||||||
The Company has made reclassifications to the consolidated statements of income recorded during fiscal year 2014 (see Note 1 - Company Overview and Basis of Presentation) to the consolidated statement of income for fiscal year 2013 to conform to the presentation in fiscal year 2014. These reclassifications did not impact net income. The following table summarizes the impact of these reclassifications to the amounts reported for each segment (in thousands): | ||||||||||||||||||||
Twelve Month Period Ended August 31, 2013 | United | Latin | Caribbean | Total | ||||||||||||||||
States | American | Operations | ||||||||||||||||||
Operations | Operations | |||||||||||||||||||
Operating income -as previously reported | $ | 34,132 | $ | 70,383 | $ | 23,420 | $ | 127,935 | ||||||||||||
Reclassification - Gain/(Loss) asset disposals | — | (637 | ) | (252 | ) | (889 | ) | |||||||||||||
Operating income-as currently reported | $ | 34,132 | $ | 69,746 | $ | 23,168 | $ | 127,046 | ||||||||||||
The Company has made reclassifications to the consolidated balance sheet and to the consolidated statements of income recorded during fiscal year 2012 (see Note 1 - Company Overview and Basis of Presentation). These reclassifications have been made to prior fiscal year amounts to conform to the presentation in the current fiscal year. The following tables summarize the impact of these reclassifications to the amounts reported for each segment (in thousands): | ||||||||||||||||||||
Twelve Month Period Ended August 31, 2012 | United | Latin | Caribbean | Total | ||||||||||||||||
States | American | Operations | ||||||||||||||||||
Operations | Operations | |||||||||||||||||||
Revenue from external customers-as previously reported | $ | 15,320 | $ | 1,341,688 | $ | 693,737 | $ | 2,050,745 | ||||||||||||
Reclassifications - front end sales | — | (388 | ) | (294 | ) | (682 | ) | |||||||||||||
Reclassifications - demonstration income | — | (3,865 | ) | (1,035 | ) | (4,900 | ) | |||||||||||||
Revenue from external customers-as currently reported | $ | 15,320 | $ | 1,337,435 | $ | 692,408 | $ | 2,045,163 | ||||||||||||
Operating income -as previously reported | 30,750 | 57,657 | 19,519 | 107,926 | ||||||||||||||||
Reclassification - Gain/(Loss) asset disposals | (3 | ) | (263 | ) | (46 | ) | (312 | ) | ||||||||||||
Operating income-as currently reported | $ | 30,747 | $ | 57,394 | $ | 19,473 | $ | 107,614 | ||||||||||||
Long-lived assets (other than deferred tax assets)-as previously reported | 17,781 | 249,925 | 116,557 | 384,263 | ||||||||||||||||
Reclassification- VAT to long lived assets | — | 11,321 | 1,992 | 13,313 | ||||||||||||||||
Reclassifications prepaid assets to long lived assets(1) | — | 1,722 | — | 1,722 | ||||||||||||||||
Long-lived assets (other than deferred tax assets)-as currently reported | $ | 17,781 | $ | 262,968 | $ | 118,549 | $ | 399,298 | ||||||||||||
(1) | The Company reclassified prepaid expenses to long-lived assets within the Latin America Operations segment for approximately $1.7 million. | |||||||||||||||||||
United States | Latin American | Caribbean | Reconciling Items(1) | Total | ||||||||||||||||
Operations | Operations | Operations | ||||||||||||||||||
Year ended August 31, 2014 | ||||||||||||||||||||
Revenue from external customers | $ | 31,279 | $ | 1,701,063 | $ | 785,225 | $ | — | $ | 2,517,567 | ||||||||||
Intersegment revenues | 959,297 | — | 5,265 | (964,562 | ) | — | ||||||||||||||
Depreciation and amortization | 2,238 | 17,175 | 9,062 | — | 28,475 | |||||||||||||||
Operating income | 38,450 | 71,860 | 26,397 | — | 136,707 | |||||||||||||||
Interest income from external sources | 18 | 676 | 159 | — | 853 | |||||||||||||||
Interest income from intersegment sources | 2,603 | 325 | 561 | (3,489 | ) | — | ||||||||||||||
Interest expense from external sources | 34 | 3,549 | 712 | — | 4,295 | |||||||||||||||
Interest expense from intersegment sources | 120 | 1,355 | 2,014 | (3,489 | ) | — | ||||||||||||||
Provision for income taxes | 12,739 | 21,932 | 6,701 | — | 41,372 | |||||||||||||||
Net income | 25,620 | 47,678 | 19,588 | — | 92,886 | |||||||||||||||
Long-lived assets (other than deferred tax assets) | 16,488 | 396,280 | 113,134 | — | 525,902 | |||||||||||||||
Goodwill | — | 31,383 | 4,725 | — | 36,108 | |||||||||||||||
Investment in unconsolidated affiliates | — | 8,863 | — | — | 8,863 | |||||||||||||||
Total assets | 91,190 | 625,777 | 223,251 | — | 940,218 | |||||||||||||||
Capital expenditures, net | 7,627 | 103,979 | 9,534 | — | 121,140 | |||||||||||||||
United States | Latin American | Caribbean | Reconciling Items(1) | Total | ||||||||||||||||
Operations | Operations | Operations | ||||||||||||||||||
Year ended August 31, 2013 | ||||||||||||||||||||
Revenue from external customers | $ | 23,059 | $ | 1,542,401 | $ | 734,352 | $ | — | $ | 2,299,812 | ||||||||||
Intersegment revenues | 877,337 | 99 | 4,721 | (882,157 | ) | — | ||||||||||||||
Depreciation and amortization | 2,121 | 13,453 | 8,870 | — | 24,444 | |||||||||||||||
Operating income | 34,132 | 69,746 | 23,168 | — | 127,046 | |||||||||||||||
Interest income from external sources | 163 | 1,077 | 95 | — | 1,335 | |||||||||||||||
Interest income from intersegment sources | 2,841 | 410 | 556 | (3,807 | ) | — | ||||||||||||||
Interest expense from external sources | 8 | 3,136 | 1,072 | — | 4,216 | |||||||||||||||
Interest expense from intersegment sources | 141 | 1,061 | 2,605 | (3,807 | ) | — | ||||||||||||||
Provision for income taxes | 11,011 | 21,921 | 6,010 | — | 38,942 | |||||||||||||||
Net income | 23,200 | 44,862 | 16,203 | — | 84,265 | |||||||||||||||
Long-lived assets (other than deferred tax assets) | 19,114 | 304,731 | 113,742 | — | 437,587 | |||||||||||||||
Goodwill | — | 31,474 | 4,890 | — | 36,364 | |||||||||||||||
Investment in unconsolidated affiliates | — | 8,104 | — | — | 8,104 | |||||||||||||||
Total assets | 103,844 | 518,313 | 203,882 | — | 826,039 | |||||||||||||||
Capital expenditures, net | 3,456 | 59,064 | 7,407 | — | 69,927 | |||||||||||||||
United States | Latin American | Caribbean | Reconciling Items(1) | Total | ||||||||||||||||
Operations | Operations | Operations | ||||||||||||||||||
Year ended August 31, 2012 | ||||||||||||||||||||
Revenue from external customers | $ | 15,320 | $ | 1,337,435 | $ | 692,408 | $ | — | $ | 2,045,163 | ||||||||||
Intersegment revenues | 766,462 | 40 | 4,726 | (771,228 | ) | — | ||||||||||||||
Depreciation and amortization(2) | 1,782 | 11,655 | 10,302 | — | 23,739 | |||||||||||||||
Operating income | 30,747 | 57,394 | 19,473 | — | 107,614 | |||||||||||||||
Interest income from external sources | 220 | 611 | 77 | — | 908 | |||||||||||||||
Interest income from intersegment sources | 2,430 | 386 | 536 | (3,352 | ) | — | ||||||||||||||
Interest expense from external sources | 25 | 4,148 | 1,110 | — | 5,283 | |||||||||||||||
Interest expense from intersegment sources | 62 | 464 | 2,826 | (3,352 | ) | — | ||||||||||||||
Provision for income taxes | 10,720 | 18,226 | 6,107 | — | 35,053 | |||||||||||||||
Net income | 20,220 | 33,264 | 14,137 | — | 67,621 | |||||||||||||||
Long-lived assets (other than deferred tax assets) | 17,781 | 262,968 | 118,549 | — | 399,298 | |||||||||||||||
Goodwill | — | 31,760 | 5,126 | — | 36,886 | |||||||||||||||
Investment in unconsolidated affiliates | — | 7,559 | — | — | 7,559 | |||||||||||||||
Total assets | 87,467 | 441,857 | 206,388 | — | 735,712 | |||||||||||||||
Capital expenditures, net | 1,972 | 42,116 | 8,617 | — | 52,705 | |||||||||||||||
-1 | The reconciling items reflect the amount eliminated on consolidation of intersegment transactions. | |||||||||||||||||||
-2 | Includes a $1.1 million error that increased expenses in the Caribbean operations and a $313,000 error that increased expenses in the Latin America operations, both of which were related to prior periods. See Note 1- Company Overview and Basis of Presentation. |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Aug. 31, 2014 | |
Subsequent Events [Abstract] | ' |
SUBSEQUENT EVENTS | ' |
SUBSEQUENT EVENTS | |
The Company has evaluated all events subsequent to the balance sheet date of August 31, 2014 through the date of issuance of these consolidated financial statements and have determined that, except as set forth below, there are no subsequent events that require disclosure. | |
Tax Contingencies | |
Subsequent to the fiscal year ended August 31, 2014, one of the Company’s subsidiaries received provisional assessments claiming $2.5 million of taxes, penalties and interest related to withholding taxes on certain charges for services rendered by the Company. In addition, this subsidiary received provisional assessments totaling $5.2 million for lack of deductibility of the underlying service charges due to the lack of withholding. Based on the Company's interpretation of local law, rulings and jurisprudence (including Supreme Court precedence with respect to the deductibility assessment), the Company expects to prevail in both instances and does not intend to record a provision for these assessments. | |
Real Estate Transactions | |
In September 2014, the Company acquired land in Costa Verde, west of Panama City, Panama. The Company plans to construct a warehouse club on this site, which it expects to open in the summer of 2015. This will bring the number of PriceSmart warehouse clubs operating in Panama to five. | |
Financing Transactions | |
On October 1, 2014, the Company's Honduras subsidiary entered into a loan agreement with The Bank of Nova Scotia. The agreement establishes a credit facility for $3.4 million with a variable interest rate of 30-day LIBOR plus 3.5%. The loan term is for five years with monthly interest and principal payments. The purpose of the loan was to refinance the previously existing loan with ScotiaBank El Salvador, S.A.. This loan is secured by assets of the Company's Honduras subsidiary. | |
On October 3, 2014, the Company's Honduras subsidiary paid down $3.2 million of the loan agreement entered into by the subsidiary on January 12, 2010 with Scotiabank El Salvador, S.A. The original agreement established a loan facility for $6.0 million. The interest rate was fixed at 5.5%. The loan term was for five years with monthly interest and principal payment. The loan facility was renewable for an additional five-year period upon approval of Scotiabank El Salvador, S.A. The subsidiary has paid down this loan, and this loan facility has terminated. | |
On October 22, 2014, the Company's Honduras subsidiary entered into a loan agreement with Citibank, N.A. The agreement establishes a credit facility for $5.0 million with a variable interest rate of three-month LIBOR plus 3.5%. The loan term is for five years with quarterly interest and principal payments. This loan is secured by assets of the Company's Honduras subsidiary. The loan was funded at execution. | |
Derivative Transactions | |
On October 23, 2014, the Company's Honduras subsidiary entered into a cross-currency interest rate swap agreement with Citibank, N.A for a notional amount of $5.0 million. The cross-currency interest rate swap agreement converts the Honduras subsidiary foreign currency United States dollar denominated principal and floating interest payments on the first $3.0 million of the total $5.0 million long-term quarterly amortizing debt with Citibank to functional currency principal and fixed interest payments during the life of the hedging instrument. As changes in foreign exchange and interest rates impact the future cash flow of principal and interest payments, the hedge is intended to offset changes in cash flows attributable to interest rate and foreign exchange movements. The hedged loan has a variable interest rate of three-month LIBOR plus 3.5%. Under the cross-currency interest rate swap agreement, the Company will receive variable U.S. dollar principal and interest based on the three-month LIBOR rate plus 3.5% on a quarterly amortizing notional amount of USD $5.0 million and pay fixed interest of 11.6% on a quarterly amortizing notional amount of 106,576,000 Honduran Lempiras for a term of approximately three years (effective date of October 22, 2014 through October 22, 2017). The LIBOR reset dates for the hedged long-term debt and the cross-currency interest rate swap occur on the twenty second day of January, April, July, and October, beginning on January 22, 2015. | |
The Company's Colombia subsidiary has entered into forward exchange contracts for approximately $32.0 million with settlement dates from October 2014 through December 2014. |
QUARTERLY_FINANCIAL_INFORMATIO
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||||||||
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | ' | |||||||||||||||||||
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | ||||||||||||||||||||
Summarized quarterly financial information for fiscal years 2014 and 2013 is as follows (in thousands, except per share data): | ||||||||||||||||||||
Fiscal Year 2014 | Three Months Ended, | Year Ended, | ||||||||||||||||||
Nov 30, 2013 | Feb 28, 2014 | May 31, 2014 | Aug 31, 2014 | Aug 31, 2014 | ||||||||||||||||
Total net warehouse club and export sales | $ | 595,415 | $ | 663,931 | $ | 604,462 | $ | 611,785 | $ | 2,475,593 | ||||||||||
Total cost of goods sold | $ | 509,728 | $ | 568,075 | $ | 515,930 | $ | 519,931 | $ | 2,113,664 | ||||||||||
Net income from continuing operations | $ | 21,432 | $ | 28,278 | $ | 21,320 | $ | 21,856 | $ | 92,886 | ||||||||||
Net income | $ | 21,432 | $ | 28,278 | $ | 21,320 | $ | 21,856 | $ | 92,886 | ||||||||||
Basic net income per share | $ | 0.71 | $ | 0.93 | $ | 0.7 | $ | 0.73 | $ | 3.07 | ||||||||||
Diluted net income per share | $ | 0.71 | $ | 0.93 | $ | 0.7 | $ | 0.73 | $ | 3.07 | ||||||||||
Fiscal Year 2013(1) | Three Months Ended, | Year Ended, | ||||||||||||||||||
Nov 30, 2012 | Feb 28, 2013 | May 31, 2013 | Aug 31, 2013 | Aug 31, 2013 | ||||||||||||||||
Total net warehouse club and export sales | $ | 526,672 | $ | 598,178 | $ | 562,039 | $ | 575,436 | $ | 2,262,325 | ||||||||||
Total cost of goods sold | $ | 447,779 | $ | 510,711 | $ | 481,634 | $ | 489,304 | $ | 1,929,428 | ||||||||||
Net income from continuing operations | $ | 20,005 | $ | 24,882 | $ | 18,539 | $ | 20,839 | $ | 84,265 | ||||||||||
Net income | $ | 20,005 | $ | 24,882 | $ | 18,539 | $ | 20,839 | $ | 84,265 | ||||||||||
Basic net income per share | $ | 0.66 | $ | 0.82 | $ | 0.61 | $ | 0.69 | $ | 2.78 | ||||||||||
Diluted net income per share | $ | 0.66 | $ | 0.82 | $ | 0.61 | $ | 0.69 | $ | 2.78 | ||||||||||
Fiscal Year 2012(1) | Three Months Ended, | Year Ended, | ||||||||||||||||||
Nov 30, 2011 | Feb 29, 2012 | May 31, 2012 | Aug 31, 2012 | Aug 31, 2012 | ||||||||||||||||
Total net warehouse club and export sales | $ | 470,441 | $ | 541,078 | $ | 497,515 | $ | 505,650 | $ | 2,014,684 | ||||||||||
Total cost of goods sold | $ | 402,025 | $ | 461,800 | $ | 423,346 | $ | 428,810 | $ | 1,715,981 | ||||||||||
Net income from continuing operations | $ | 13,996 | $ | 20,217 | $ | 15,708 | $ | 17,725 | $ | 67,646 | ||||||||||
Discontinued operations, net of tax | $ | (7 | ) | $ | 3 | $ | (2 | ) | $ | (19 | ) | $ | (25 | ) | ||||||
Net income | $ | 13,989 | $ | 20,220 | $ | 15,706 | $ | 17,706 | $ | 67,621 | ||||||||||
Basic net income per share | $ | 0.47 | $ | 0.67 | $ | 0.52 | $ | 0.58 | $ | 2.24 | ||||||||||
Diluted net income per share | $ | 0.47 | $ | 0.67 | $ | 0.52 | $ | 0.58 | $ | 2.24 | ||||||||||
(1) The fiscal year 2013 and 2012 data has been updated to reflect the reclassifications as disclosed in Note 1 - Company Overview and Basis of Presentation. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | ||||||||||||||||
Aug. 31, 2014 | |||||||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||||||||||||||||
Principles of Consolidations | ' | ||||||||||||||||
Principles of Consolidation – The consolidated financial statements of the Company included herein include the assets, liabilities and results of operations of the Company’s wholly owned subsidiaries and the investments and operating results of joint ventures recorded under the equity method. All significant inter-company accounts and transactions have been eliminated in consolidation. The consolidated financial statements have been prepared by the Company pursuant to the rules and regulations of the SEC, and reflect all adjustments (consisting of normal recurring adjustments) that are, in the opinion of management, necessary to fairly present the financial position, results of operations, and cash flows for the periods presented. As of August 31, 2014 all of the Company's subsidiaries are wholly-owned. Additionally, the Company's ownership interest in real estate development joint ventures as of August 31, 2014 is listed below: | |||||||||||||||||
Real Estate Development Joint Ventures | Countries | Ownership | Basis of Presentation | ||||||||||||||
GolfPark Plaza, S.A. | Panama | 50 | % | Equity(1) | |||||||||||||
Plaza Price Alajuela PPA, S.A. | Costa Rica | 50 | % | Equity(1) | |||||||||||||
(1) | Purchases of joint venture interests are recorded as investment in unconsolidated affiliates on the consolidated balance sheets. | ||||||||||||||||
Use of Estimates | ' | ||||||||||||||||
Use of Estimates – The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. | |||||||||||||||||
Variable Interest Entities | ' | ||||||||||||||||
Variable Interest Entities – The Company reviews and determines at the start of each arrangement, or subsequently if a reconsideration event occurs, whether any of its investments in joint ventures constitute a Variable Interest Entity (“VIE”) and whether it must consolidate a VIE and/or disclose information about its involvement in a VIE. The Company has determined that the joint ventures for GolfPark Plaza, S.A. and Plaza Price Alajuela PPA, S.A. are VIEs. The Company has determined that it is not the primary beneficiary of the VIEs and, therefore, has accounted for these entities under the equity method. | |||||||||||||||||
Cash and Cash Equivalents | ' | ||||||||||||||||
Cash and Cash Equivalents – Cash and cash equivalents represent cash and short-term investments with maturities of three months or less when purchased and proceeds due from credit and debit card transactions, | |||||||||||||||||
Restricted Cash | ' | ||||||||||||||||
Restricted Cash – The changes in restricted cash are disclosed within the consolidated statement of cash flows based on the nature of the restriction. The following table summarizes the restricted cash reported by the Company (in thousands): | |||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||
Short-term restricted cash: | |||||||||||||||||
Restricted for Honduras loan | $ | 1,200 | $ | 1,200 | |||||||||||||
Restricted cash in Honduras for purchase of property | — | 3,148 | |||||||||||||||
Restricted cash for land purchase option agreements | 1,095 | 1,599 | |||||||||||||||
Other short-term restricted cash (1) | 58 | 37 | |||||||||||||||
Total short-term restricted cash | $ | 2,353 | $ | 5,984 | |||||||||||||
Long-term restricted cash: | |||||||||||||||||
Restricted cash for Honduras loan | $ | 1,720 | $ | 1,720 | |||||||||||||
Restricted cash for Colombia bank loans | 24,000 | 32,000 | |||||||||||||||
Other long-term restricted cash (1) | 1,293 | 1,055 | |||||||||||||||
Total long-term restricted cash | $ | 27,013 | $ | 34,775 | |||||||||||||
Total restricted cash | $ | 29,366 | $ | 40,759 | |||||||||||||
-1 | The other restricted cash consist mainly of cash deposits held within banking institutions in compliance with federal regulatory requirements in Costa Rica and Panama. | ||||||||||||||||
Value Added Tax Receivable | ' | ||||||||||||||||
Value Added Tax Receivable - The Company pays Value Added Tax (“VAT”) or similar taxes (“input VAT”) within the normal course of its business in most of the countries it operates in on merchandise and/or services it acquires. The Company also collects VAT or similar taxes on behalf of the government (“output VAT”) for merchandise and/or services it sells. If the output VAT exceeds the input VAT, then the difference is remitted to the government, usually on a monthly basis. If the input VAT exceeds the output VAT, this creates a VAT receivable. The Company either requests a refund of this VAT receivable or applies the balance to expected future VAT payables. In some countries where the Company operates, the governments have implemented additional collection procedures, such as requiring credit card processors to remit a portion of sales processed via credit card directly to the government. These procedures alter the natural offset of input and output VAT and generally leaves the Company with a net VAT receivable, forcing the Company to process significant refund claims on a recurring basis. These refund processes can take anywhere from several months to several years to complete. | |||||||||||||||||
In most countries where the Company operates, the VAT refund process is defined and structured with regular refunds or offsets. However, in one country the government has alleged that there is no defined process in the law to allow them to refund this VAT receivable. The Company together with its tax and legal advisers is currently appealing this interpretation in court and, based on recent favorable jurisprudence on this matter, expects to prevail. Additionally, the government has recently begun an audit to verify the amount of this receivable as a required precursor to any refund. Therefore, the Company has not placed any type of allowance on the recoverability of this VAT receivable. The balance of the VAT receivable in this country was $5.1 million and $4.3 million as of August 31, 2014 and August 31, 2013, respectively. | |||||||||||||||||
The Company's policy for classification and presentation of VAT receivables is as follows: | |||||||||||||||||
•Short-term VAT receivables, recorded as Other current assets: This classification is used for any countries where the Company's subsidiary has generally demonstrated the ability to recover the VAT receivable within one year. The Company also classifies as short-term any approved refunds or credit notes to the extent that the Company expects to receive the refund or use the credit notes within one year. | |||||||||||||||||
•Long-term VAT receivables, recorded as Other non-current assets: This classification is used for amounts not approved for refund or credit in countries where the Company's subsidiary has not demonstrated the ability to obtain refunds within one year and/or for amounts which are subject to outstanding disputes. An allowance is provided against VAT balances in dispute when the Company does not expect to eventually prevail in its recovery. The following table summarizes the VAT receivables reported by the Company (in thousands): | |||||||||||||||||
The following table summarizes the VAT receivables reported by the Company (in thousands): | |||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||
Prepaid expenses and other current assets | $ | 3,565 | $ | 5,458 | |||||||||||||
Other non-current assets | 17,115 | 12,875 | |||||||||||||||
Total amount of VAT receivable reported | $ | 20,680 | $ | 18,333 | |||||||||||||
Lease Accounting | ' | ||||||||||||||||
Lease Accounting – Certain of the Company's operating leases where the Company is the lessee (see "Revenue Recognition Policy" for lessor accounting) provide for minimum annual payments that increase over the life of the lease. The aggregate minimum annual payments are expensed on the straight-line basis beginning when the Company takes possession of the property and extending over the term of the related lease including renewal options when the exercise of the option is reasonably assured as an economic penalty may be incurred if the option is not exercised. The amount by which straight-line rent exceeds actual lease payment requirements in the early years of the leases is accrued as deferred rent and reduced in later years when the actual cash payment requirements exceed the straight-line expense. The Company also accounts in its straight-line computation for the effect of any “rental holidays” and lessor-paid tenant improvements. In addition to the minimum annual payments, in certain locations, the Company pays additional contingent rent based on a contractually stipulated percentage of sales. | |||||||||||||||||
Merchandise Inventory | ' | ||||||||||||||||
Merchandise Inventories - Merchandise inventories, which include merchandise for resale, are valued at the lower of cost (average cost) or market. The Company provides for estimated inventory losses and obsolescence between physical inventory counts on the basis of a percentage of sales. The provision is adjusted periodically to reflect the trend of actual physical inventory count results, with physical inventories occurring primarily in the second and fourth fiscal quarters. In addition, the Company may be required to take markdowns below the carrying cost of certain inventory to expedite the sale of such merchandise. | |||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Fair Value Measurements – The Company measures the fair value for all financial and nonfinancial assets and liabilities that are recognized or disclosed at fair value in the consolidated financial statements on a recurring or nonrecurring basis. The fair value of an asset is the price at which the asset could be sold in an orderly transaction between unrelated, knowledgeable and willing parties able to engage in the transaction. A liability’s fair value is defined as the amount that would be paid to transfer the liability to a new obligor in a transaction between such parties, not the amount that would be paid to settle the liability with the creditor. | |||||||||||||||||
The Company has established a three-tier fair value hierarchy, which prioritizes the inputs used in measuring and revaluing fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. The Company was not required to revalue any assets or liabilities utilizing Level 1 or Level 3 inputs at the balance sheet dates. The Company's Level 2 assets and liabilities revalued at the balance sheet dates, on a recurring basis, primarily included cash flow hedges (interest rate swaps and cross-currency interest rate swaps) and forward foreign exchange contracts. In addition, the Company utilizes Level 2 inputs in determining the fair value of long-term debt. The Company has elected not to revalue long-term debt because this debt will be settled at the carrying value and not at the fair market value. The Company did not make any significant transfers in and out of Level 1 and Level 2 fair value tiers during the periods reported on herein. | |||||||||||||||||
Nonfinancial assets and liabilities are revalued and recognized at fair value subsequent to initial recognition when there is evidence of impairment. For the periods reported, no impairment of such nonfinancial assets was recorded. | |||||||||||||||||
The disclosure of fair value of certain financial assets and liabilities recorded at cost is as follows: | |||||||||||||||||
Cash and cash equivalents: The carrying value approximates fair value due to the short maturity of these instruments. | |||||||||||||||||
Short-term restricted cash: The carrying value approximates fair value due to the short maturity of these instruments. | |||||||||||||||||
Long-term restricted cash: Long-term restricted cash primarily consists of auto renewable 3-12 month certificates of deposit, which are held as collateral against our long-term debt. The carrying value approximates fair value due to the maturity of the underlying certificates of deposit within the normal operating cycle of the Company. | |||||||||||||||||
Accounts receivable: The carrying value approximates fair value due to the short maturity of these accounts. | |||||||||||||||||
Short-term debt: The carrying value approximates fair value due to the short maturity of these instruments. | |||||||||||||||||
Long-term debt: The fair value of debt is generally measured using a discounted cash flow analysis based on current market interest rates for similar types of financial instruments. These inputs are not quoted prices in active markets but they are either directly or indirectly observable; therefore, they are classified as Level 2 inputs. The carrying value and fair value of the Company’s debt as of August 31, 2014 and August 31, 2013 is as follows (in thousands): | |||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||||
Long-term debt, including current portion | $ | 91,439 | $ | 92,893 | $ | 73,020 | $ | 72,576 | |||||||||
Derivative Instruments and Hedging Activities | ' | ||||||||||||||||
Derivative Instruments and Hedging Activities- The Company uses derivative financial instruments for hedging and non-trading purposes to manage its exposure to changes in interest and currency exchange rates. In using derivative financial instruments for the purpose of hedging the Company’s exposure to interest and currency exchange rate risks, the contractual terms of a hedged instrument closely mirror those of the hedged item, providing a high degree of risk reduction and correlation. Contracts that are effective at meeting the risk reduction and correlation criteria (effective hedge) are recorded using hedge accounting. If a derivative financial instrument is an effective hedge, changes in the fair value of the instrument will be offset in accumulated other comprehensive income (loss) until the hedged item completes its contractual term. If any portion of the hedge is deemed ineffective, the change in fair value of the hedged assets or liabilities will be immediately recognized in earnings during the period. Instruments that do not meet the criteria for hedge accounting, or contracts for which the Company has not elected hedge accounting, are valued at fair value with unrealized gains or losses reported in earnings during the period of the change. Valuation techniques utilized in the fair value measurement of assets and liabilities presented on the Company’s consolidated balance sheets were not changed from previous practice during the reporting period. The Company seeks to manage counterparty risk associated with these contracts by limiting transactions to counterparties with which the Company has an established banking relationship. There can be no assurance, however, that this practice effectively mitigates counterparty risk. | |||||||||||||||||
Cash Flow Instruments. The Company is a party to receive floating interest rate, pay fixed-rate interest rate swaps to hedge the interest rate risk of certain U.S. dollar denominated debt within its international subsidiaries. The swaps are designated as cash flow hedges of interest expense risk. These instruments are considered effective hedges and are recorded using hedge accounting. The Company is also a party to receive variable interest rate, pay fixed interest rate cross-currency interest rate swaps to hedge the interest rate and currency exposure associated with the expected payments of principal and interest of U.S. denominated debt within its international subsidiaries whose functional currency is other than the U.S dollar. The swaps are designated as cash flow hedges of the currency risk related to payments on the U.S. denominated debt. These instruments are also considered to be effective hedges and are recorded using hedge accounting. Under cash flow hedging, the effective portion of the fair value of the derivative, calculated as the net present value of the future cash flows, is deferred on the consolidated balance sheets in accumulated other comprehensive loss. If any portion of an interest rate swap is determined to be an ineffective hedge, the gains or losses from changes in fair value would be recorded directly in the consolidated statements of income. Amounts recorded in accumulated other comprehensive loss are released to earnings in the same period that the hedged transaction impacts consolidated earnings. See Note 12 - Derivative Instruments and Hedging Activities for information on the fair value of interest rate swaps and cross-currency interest rate swaps as of August 31, 2014 and August 31, 2013. | |||||||||||||||||
Fair Value Instruments. The Company is exposed to foreign-currency exchange rate fluctuations in the normal course of business. The Company is also exposed to foreign-currency exchange rate fluctuations on U.S. dollar denominated liabilities within its international subsidiaries whose functional currency is other than the U.S. dollar. The Company manages these fluctuations, in part, through the use of non-deliverable forward foreign-exchange contracts that are intended to offset changes in cash flow attributable to currency exchange movements. The contracts are intended primarily to economically address exposure to U.S. dollar merchandise inventory expenditures made by the Company’s international subsidiaries whose functional currency is other than the U.S. dollar. Currently, these contracts are treated for accounting purposes as fair value instruments and do not qualify for derivative hedge accounting, and as such the Company does not apply derivative hedge accounting to record these transactions. As a result, these contracts are valued at fair value with unrealized gains or losses reported in earnings during the period of the change. The Company seeks to mitigate foreign-currency exchange-rate risk with the use of these contracts and does not intend to engage in speculative transactions. These contracts do not contain any credit-risk-related contingent features and are limited to less than one year in duration. See Note 12 - Derivative Instruments and Hedging Activities for information on the fair value of open, unsettled forward foreign-exchange contracts as of August 31, 2014 and August 31, 2013. | |||||||||||||||||
The following table summarizes financial assets and liabilities measured and recorded at fair value on a recurring basis in the Company’s consolidated balance sheet as of August 31, 2014 and August 31, 2013 (in thousands) for derivatives that qualify for hedge accounting: | |||||||||||||||||
Assets and Liabilities as of August 31, 2014: | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Prepaid expenses and other current assets (Cross-currency interest rate swaps) | $ | — | $ | 495 | $ | — | $ | 495 | |||||||||
Other non-current assets - (Cross-currency interest rate swaps) | $ | — | $ | 970 | $ | — | $ | 970 | |||||||||
Other non-current assets- (Interest rate swaps) | — | 125 | — | 125 | |||||||||||||
Total | $ | — | $ | 1,590 | $ | — | $ | 1,590 | |||||||||
Assets and Liabilities as of August 31, 2013: | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Other non-current assets - (Cross-currency interest rate swaps) | $ | — | $ | 1,505 | $ | — | $ | 1,505 | |||||||||
Other long-term liabilities – (Interest rate swaps) | — | (14 | ) | — | (14 | ) | |||||||||||
Total | $ | — | $ | 1,491 | $ | — | 1,491 | ||||||||||
The following table summarizes financial assets and liabilities measured and recorded at fair value on a recurring basis in the Company’s consolidated balance sheet as of August 31, 2014 and August 31, 2013 (in thousands) for derivatives that do not qualify for hedge accounting: | |||||||||||||||||
Assets and Liabilities as of August 31, 2014 | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Other accrued expenses (Foreign currency forward contracts) | — | (14 | ) | — | (14 | ) | |||||||||||
Net fair value of derivatives designated as hedging instruments that do not qualify for hedge accounting | $ | — | $ | (14 | ) | $ | — | $ | (14 | ) | |||||||
Assets and Liabilities as of August 31, 2013 | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Other accrued expenses (Foreign currency forward contracts) | — | — | — | — | |||||||||||||
Net fair value of derivatives designated as hedging instruments that do not qualify for hedge accounting | $ | — | $ | — | $ | — | $ | — | |||||||||
Goodwill | ' | ||||||||||||||||
Goodwill – The table below presents goodwill resulting from certain business combinations as of August 31, 2014 and August 31, 2013 (in thousands). The change in goodwill is a result of foreign exchange translation losses. | |||||||||||||||||
August 31, 2014 | August 31, 2013 | Change | |||||||||||||||
Goodwill | $ | 36,108 | $ | 36,364 | $ | (256 | ) | ||||||||||
The Company reviews goodwill at the entity level for impairment. The Company first reviews qualitative factors for each reporting unit, in determining if an annual goodwill test is required. If the Company's review of qualitative factors indicates a requirement for a test of goodwill impairment, the Company then will assess whether the carrying amount of a reporting unit is greater than zero and exceeds its fair value established during the Company's prior test of goodwill impairment ("established fair value"). If the carrying amount of a reporting unit at the entity level is greater than zero and its established fair value exceeds its carrying amount, goodwill of the reporting unit is considered not impaired. If either the carrying amount of the reporting unit is not greater than zero or if the carrying amount of the entity exceeds its established fair value, the Company performs a second test to determine whether goodwill has been impaired and to calculate the amount of that impairment. | |||||||||||||||||
Revenue Recognition | ' | ||||||||||||||||
Revenue Recognition – The Company recognizes merchandise sales revenue when title passes to the customer. Membership income represents annual membership fees paid by the Company’s warehouse club members, which are recognized ratably over the 12-month term of the membership. Membership refunds are prorated over the remaining term of the membership; accordingly, no refund reserve is required to be established for the periods presented. The Company recognizes and presents revenue-producing transactions on a net of value added/sales tax basis. | |||||||||||||||||
The Company began offering Platinum memberships in Costa Rica during fiscal year 2013, which provides members with a 2% rebate on most items, up to an annual maximum of $500.00. Platinum members can apply this rebate to future purchases at the warehouse club at the end of the annual membership period. The Company records this 2% rebate as a reduction of revenue at the time of the sales transaction. Accordingly, the Company has reduced warehouse sales and has accrued a liability within other accrued expenses. The rebate expires within six months of the membership renewal date. However, the Company has determined that in the absence of relevant historical experience, the Company is not able to make a reasonable estimate of rebate redemptions and accordingly has assumed a 100% redemption rate. The Company will periodically review expired unused rebates outstanding, and the expired unused rebates will be recognized as Revenues: Other income on the consolidated statements of income. | |||||||||||||||||
The Company recognizes gift certificate sales revenue when the certificates are redeemed. The outstanding gift certificates are reflected as other accrued expenses in the consolidated balance sheets. These gift certificates generally have a one-year stated expiration date from the date of issuance. However, the absence of a large volume of transactions for gift certificates impairs the Company's ability to make a reasonable estimate of the redemption levels for gift certificates; therefore, the Company assumes a 100% redemption rate prior to expiration of the gift certificate. The Company periodically reviews unredeemed outstanding gift certificates, and the gift certificates that have expired are recognized as Revenues: Other income on the consolidated statements of income. | |||||||||||||||||
Operating leases, where the Company is the lessor, with lease payments that have fixed and determinable rent increases are recognized as revenue on a straight-line basis over the lease term. The Company also accounts in its straight-line computation for the effect of any "rental holidays." Contingent rental revenue is recognized as the contingent rent becomes due per the individual lease agreements. | |||||||||||||||||
Cost of Goods Sold | ' | ||||||||||||||||
Cost of Goods Sold – The Company includes the cost of merchandise, food service and bakery raw materials, and one hour photo supplies in cost of goods sold. The Company also includes in cost of goods sold the external and internal distribution and handling costs for supplying merchandise, raw materials and supplies to the warehouse clubs. External costs include inbound freight, duties, drayage, fees, insurance, and non-recoverable value-added tax related to inventory shrink, spoilage and damage. Internal costs include payroll and related costs, utilities, consumable supplies, repair and maintenance, rent expense, building and equipment depreciation at its distribution facilities and payroll and other direct costs for in store demonstrations. | |||||||||||||||||
Vendor consideration consists primarily of volume rebates, time-limited product promotions, slotting fees, demonstration reimbursements and prompt payment discounts. Volume rebates that are not threshold based are incorporated into the unit cost of merchandise reducing the inventory cost and cost of goods sold. Volume rebates that are threshold based are recorded as a reduction to cost of good sold when the Company achieves established purchase levels that are confirmed by the vendor in writing or upon receipt of funds. On a quarterly basis, the Company calculates the amount of rebates recorded in cost of goods sold that relates to inventory on hand and this amount is reclassified as a reduction to inventory, if significant. Product promotions are generally linked to coupons that provide for reimbursement to the Company from vendor rebates for the product being promoted. Slotting fees are related to consideration received by the Company from vendors for preferential "end cap" placement of the vendor's products within the warehouse club. Demonstration reimbursements are related to consideration received by the Company from vendors for the in store promotion of the vendors' products. The Company records the reduction in cost of goods sold on a transactional basis for these programs. Prompt payment discounts are taken in substantially all cases, and therefore, are applied directly to reduce the acquisition cost of the related inventory, with the resulting effect recorded to cost of goods sold when the inventory is sold. | |||||||||||||||||
Selling, General and Administrative | ' | ||||||||||||||||
Selling, General and Administrative – Selling, general and administrative costs are comprised primarily of expenses associated with warehouse operations. Warehouse operations include the operating costs of the Company's warehouse clubs, including all payroll and related costs, utilities, consumable supplies, repair and maintenance, rent expense, building and equipment depreciation, and bank and credit card processing fees. Also included in selling, general and administrative expenses are the payroll and related costs for the Company's U.S. and regional purchasing and management centers. | |||||||||||||||||
Pre-Opening Costs | ' | ||||||||||||||||
Pre-Opening Costs – The Company expenses pre-opening costs (the costs of start-up activities, including organization costs and rent) as incurred. | |||||||||||||||||
Asset Impairment Costs | ' | ||||||||||||||||
Asset Impairment Costs – The Company periodically evaluates its long-lived assets for indicators of impairment. Management's judgments are based on market and operational conditions at the time of the evaluation and can include management's best estimate of future business activity. These periodic evaluations could cause management to conclude that impairment factors exist, requiring an adjustment of these assets to their then-current fair value. Future business conditions and/or activity could differ materially from the projections made by management causing the need for additional impairment charges. | |||||||||||||||||
Contingencies and Litigation | ' | ||||||||||||||||
Contingencies and Litigation – The Company records and reserves for loss contingencies if (a) information available prior to issuance of the consolidated financial statements indicates that it is probable that an asset had been impaired or a liability had been incurred at the date of the consolidated financial statements and (b) the amount of loss can be reasonably estimated. If one or both criteria for accrual are not met, but there is at least a reasonable possibility that a loss will occur, the Company does not record and reserve for a loss contingency but describes the contingency within a note and provides detail, when possible, of the estimated potential loss or range of loss. If an estimate cannot be made, a statement to that effect is made. | |||||||||||||||||
Foreign Currency Transaction | ' | ||||||||||||||||
Foreign Currency Translation – The assets and liabilities of the Company’s foreign operations are translated to U.S. dollars when the functional currency in the Company’s international subsidiaries is the local currency and not U.S. dollars. Assets and liabilities of these foreign subsidiaries are translated to U.S. dollars at the exchange rate on the balance sheet date, and revenue, costs and expenses are translated at average rates of exchange in effect during the period. The corresponding translation gains and losses are recorded as a component of accumulated other comprehensive income or loss. These adjustments will affect net income upon the sale or liquidation of the underlying investment. Monetary assets and liabilities denominated in currencies other than the functional currency of the respective entity (primarily U.S. dollars) are revalued to the functional currency using the exchange rate on the balance sheet date. These foreign exchange transaction gains (losses), including transactions recorded involving these monetary assets and liabilities, are recorded as Other income (expense) in the consolidated statements of income. The following table summarizes the amounts recorded for the twelve month periods ending August 31, 2014, 2013, and 2012 (in thousands): | |||||||||||||||||
Twelve Months Ended | |||||||||||||||||
31-Aug-14 | 31-Aug-13 | 31-Aug-12 | |||||||||||||||
Currency gain (loss) | $ | 984 | $ | (954 | ) | $ | (525 | ) | |||||||||
Income Taxes | ' | ||||||||||||||||
Income Taxes –The Company accounts for income taxes using the asset and liability method. Under the asset and liability method, deferred tax assets and liabilities are recognized for the future tax consequences attributed to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences and carry-forwards are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is established when necessary to reduce deferred tax assets to amounts expected to be realized. | |||||||||||||||||
The Company and its subsidiaries are required to file federal and state income tax returns in the United States and various other tax returns in foreign jurisdictions. The preparation of these tax returns requires the Company to interpret the applicable tax laws and regulations in effect in such jurisdictions, which could affect the amount of tax paid by the Company. The Company, in consultation with its tax advisors, bases its tax returns on interpretations that are believed to be reasonable under the circumstances. The tax returns, however, are subject to routine reviews by the various federal, state and foreign taxing authorities in the jurisdictions in which the Company or one of its subsidiaries files tax returns. As part of these reviews, a taxing authority may disagree with respect to the income tax positions taken by the Company (“uncertain tax positions”) and, therefore, require the Company or one of its subsidiaries to pay additional taxes. | |||||||||||||||||
The Company accrues an amount for its estimate of probable additional income tax liability. In certain cases, the impact of an uncertain income tax position on the income tax return must be recognized at the largest amount that is more-likely-than-not to be sustained upon audit by the relevant tax authority. An uncertain income tax position will not be recognized if it has less than 50% likelihood of being sustained. This requires significant judgment, the use of estimates, and the interpretation and application of complex tax laws. When facts and circumstances change, the Company reassesses these probabilities and records any changes in the consolidated financial statements as appropriate. There were no material changes in the Company's uncertain income tax positions for the periods ended on August 31, 2014 and August 31, 2013. However, during the fiscal year 2014, the Company was required to make payments of $4.2 million to the governments in two countries with respect to various income tax cases that it is currently appealing, but the Company believes it will eventually prevail. These amounts have been recorded in the balance sheet as Other non-current assets, as the Company considers this a payment on account and expects to get a refund thereof upon eventually prevailing on these cases, but is unsure of the timing thereof. The Company has not provided for U.S. deferred taxes on cumulative non-U.S. undistributed earnings as such earnings are deemed by the Company to be indefinitely reinvested. It is not practicable to determine the U.S. federal income tax liability that would be associated with such earnings because of the complexity of the computation. | |||||||||||||||||
Recent Accounting Pronouncements | ' | ||||||||||||||||
Recent Accounting Pronouncements | |||||||||||||||||
FASB ASC 606 ASU 2014-09 - Revenue from contracts with customers. | |||||||||||||||||
In May 2014, the FASB issued amended guidance on contracts with customers to transfer goods or services or contracts for the transfer of nonfinancial assets, unless those contracts are within the scope of other standards (e.g., insurance contracts or lease contracts). The guidance requires an entity to recognize revenue on contracts with customers relating to the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance requires that an entity depict the consideration by applying the following steps: | |||||||||||||||||
Step 1: Identify the contract(s) with a customer. | |||||||||||||||||
Step 2: Identify the performance obligations in the contract. | |||||||||||||||||
Step 3: Determine the transaction price. | |||||||||||||||||
Step 4: Allocate the transaction price to the performance obligations in the contract. | |||||||||||||||||
Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation. | |||||||||||||||||
The amendments in this ASU are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. This amendment is to be either retrospectively adopted to each prior reporting period presented or retrospectively with the cumulative effect of initially applying this ASU recognized at the date of initial application. Adoption of this guidance is not expected to have a material impact on the Company's consolidated financial statements. | |||||||||||||||||
FASB ASC 405 ASU 2013-04 - Obligations resulting from joint and several liability arrangements. | |||||||||||||||||
In February 2013, the FASB issued amendments providing guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this update is fixed at the reporting date, except for obligations addressed within existing guidance in U.S. GAAP. The guidance requires an entity to measure those obligations as the sum of the amount the reporting entity agreed to pay on the basis of its arrangement among its co-obligors and any additional amount the reporting entity expects to pay on behalf of its co-obligors. The guidance in this update also requires an entity to disclose the nature and amount of the obligation as well as other information about those obligations. The amendment was retrospectively effective for the Company as of September 1, 2013. Adoption of this guidance did not have a material impact on the Company's consolidated financial statements. | |||||||||||||||||
FASB ASC 220 ASU 2013-02 - Reporting of amounts reclassified out of accumulated other comprehensive income. | |||||||||||||||||
In February 2013, the FASB issued amended guidance for the presentation requirements for reclassifications out of accumulated other comprehensive income. The amendment requires the Company to provide additional information about reclassifications of accumulated other comprehensive income. The amendment was effective as of March 1, 2013. The Company adopted this guidance on March 1, 2013. Adoption of this guidance did not have a material impact on the Company's consolidated financial statements. |
COMPANY_OVERVIEW_AND_BASIS_OF_1
COMPANY OVERVIEW AND BASIS OF PRESENTATION (Tables) | 12 Months Ended | ||||||||||||||||
Aug. 31, 2014 | |||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ||||||||||||||||
Schedule of Error Corrections and Prior Period Adjustments | ' | ||||||||||||||||
The following tables summarize the impact of this reclassification (in thousands): | |||||||||||||||||
Years Ended August 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Other income (expense), net – as previously reported | $ | (1,843 | ) | $ | (837 | ) | |||||||||||
Loss/(gain) on disposal of assets, other income (expense), net reclassified to Loss/(gain) on disposal of assets, total operating expenses | 889 | 312 | |||||||||||||||
Other income (expense), net – as currently reported | $ | (954 | ) | $ | (525 | ) | |||||||||||
Years Ended August 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Composition of beginning balance other income (expense) – as previously reported: | |||||||||||||||||
Gain/(loss) on sale | $ | (889 | ) | $ | (312 | ) | |||||||||||
Currency gain/(loss) | (954 | ) | (525 | ) | |||||||||||||
Total | $ | (1,843 | ) | (837 | ) | ||||||||||||
Composition of ending balance Other income (expense) – as currently reported: | |||||||||||||||||
Gain/(loss) on sale | $ | — | $ | — | |||||||||||||
Currency gain/(loss) | (954 | ) | (525 | ) | |||||||||||||
Total | $ | (954 | ) | $ | (525 | ) | |||||||||||
The following table summarizes the impact of these reclassifications (in thousands): | |||||||||||||||||
Total Fiscal Year 2012 | |||||||||||||||||
Revenues: | |||||||||||||||||
Net warehouse club sales-as previously reported | $ | 2,000,046 | |||||||||||||||
Reclassifications | (682 | ) | |||||||||||||||
Net warehouse club sales-as currently reported | $ | 1,999,364 | |||||||||||||||
Other income-as previously reported | $ | 8,422 | |||||||||||||||
Reclassifications | (4,900 | ) | |||||||||||||||
Other income-as currently reported | $ | 3,522 | |||||||||||||||
Cost of goods sold: | |||||||||||||||||
Net warehouse club-as previously reported | $ | 1,704,131 | |||||||||||||||
Reclassifications | (2,799 | ) | |||||||||||||||
Net warehouse club-as currently reported | $ | 1,701,332 | |||||||||||||||
Selling, general and administrative: | |||||||||||||||||
Warehouse club operations-as previously reported | $ | 182,401 | |||||||||||||||
Reclassifications | (2,783 | ) | |||||||||||||||
Warehouse club operations-as currently reported | $ | 179,618 | |||||||||||||||
Net effect on operating income | $ | — | |||||||||||||||
The following tables summarize the impact of these reclassifications to the amounts reported for each segment (in thousands): | |||||||||||||||||
Twelve Month Period Ended August 31, 2012 | United | Latin | Caribbean | Total | |||||||||||||
States | American | Operations | |||||||||||||||
Operations | Operations | ||||||||||||||||
Revenue from external customers-as previously reported | $ | 15,320 | $ | 1,341,688 | $ | 693,737 | $ | 2,050,745 | |||||||||
Reclassifications - front end sales | — | (388 | ) | (294 | ) | (682 | ) | ||||||||||
Reclassifications - demonstration income | — | (3,865 | ) | (1,035 | ) | (4,900 | ) | ||||||||||
Revenue from external customers-as currently reported | $ | 15,320 | $ | 1,337,435 | $ | 692,408 | $ | 2,045,163 | |||||||||
Operating income -as previously reported | 30,750 | 57,657 | 19,519 | 107,926 | |||||||||||||
Reclassification - Gain/(Loss) asset disposals | (3 | ) | (263 | ) | (46 | ) | (312 | ) | |||||||||
Operating income-as currently reported | $ | 30,747 | $ | 57,394 | $ | 19,473 | $ | 107,614 | |||||||||
Long-lived assets (other than deferred tax assets)-as previously reported | 17,781 | 249,925 | 116,557 | 384,263 | |||||||||||||
Reclassification- VAT to long lived assets | — | 11,321 | 1,992 | 13,313 | |||||||||||||
Reclassifications prepaid assets to long lived assets(1) | — | 1,722 | — | 1,722 | |||||||||||||
Long-lived assets (other than deferred tax assets)-as currently reported | $ | 17,781 | $ | 262,968 | $ | 118,549 | $ | 399,298 | |||||||||
(1) | The Company reclassified prepaid expenses to long-lived assets within the Latin America Operations segment for approximately $1.7 million. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended | ||||||||||||||||
Aug. 31, 2014 | |||||||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | ' | ||||||||||||||||
The following table summarizes financial assets and liabilities measured and recorded at fair value on a recurring basis in the Company’s consolidated balance sheet as of August 31, 2014 and August 31, 2013 (in thousands) for derivatives that qualify for hedge accounting: | |||||||||||||||||
Assets and Liabilities as of August 31, 2014: | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Prepaid expenses and other current assets (Cross-currency interest rate swaps) | $ | — | $ | 495 | $ | — | $ | 495 | |||||||||
Other non-current assets - (Cross-currency interest rate swaps) | $ | — | $ | 970 | $ | — | $ | 970 | |||||||||
Other non-current assets- (Interest rate swaps) | — | 125 | — | 125 | |||||||||||||
Total | $ | — | $ | 1,590 | $ | — | $ | 1,590 | |||||||||
Assets and Liabilities as of August 31, 2013: | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Other non-current assets - (Cross-currency interest rate swaps) | $ | — | $ | 1,505 | $ | — | $ | 1,505 | |||||||||
Other long-term liabilities – (Interest rate swaps) | — | (14 | ) | — | (14 | ) | |||||||||||
Total | $ | — | $ | 1,491 | $ | — | 1,491 | ||||||||||
The following table summarizes financial assets and liabilities measured and recorded at fair value on a recurring basis in the Company’s consolidated balance sheet as of August 31, 2014 and August 31, 2013 (in thousands) for derivatives that do not qualify for hedge accounting: | |||||||||||||||||
Assets and Liabilities as of August 31, 2014 | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Other accrued expenses (Foreign currency forward contracts) | — | (14 | ) | — | (14 | ) | |||||||||||
Net fair value of derivatives designated as hedging instruments that do not qualify for hedge accounting | $ | — | $ | (14 | ) | $ | — | $ | (14 | ) | |||||||
Assets and Liabilities as of August 31, 2013 | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Other accrued expenses (Foreign currency forward contracts) | — | — | — | — | |||||||||||||
Net fair value of derivatives designated as hedging instruments that do not qualify for hedge accounting | $ | — | $ | — | $ | — | $ | — | |||||||||
Fair Value, by Balance Sheet Grouping | ' | ||||||||||||||||
The carrying value and fair value of the Company’s debt as of August 31, 2014 and August 31, 2013 is as follows (in thousands): | |||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||||
Long-term debt, including current portion | $ | 91,439 | $ | 92,893 | $ | 73,020 | $ | 72,576 | |||||||||
Translation of foreign currencies gains or losses [Table Text Block] | ' | ||||||||||||||||
The following table summarizes the amounts recorded for the twelve month periods ending August 31, 2014, 2013, and 2012 (in thousands): | |||||||||||||||||
Twelve Months Ended | |||||||||||||||||
31-Aug-14 | 31-Aug-13 | 31-Aug-12 | |||||||||||||||
Currency gain (loss) | $ | 984 | $ | (954 | ) | $ | (525 | ) | |||||||||
Schedule of Equity Method Investments | ' | ||||||||||||||||
The consolidated financial statements of the Company included herein include the assets, liabilities and results of operations of the Company’s wholly owned subsidiaries and the investments and operating results of joint ventures recorded under the equity method. All significant inter-company accounts and transactions have been eliminated in consolidation. The consolidated financial statements have been prepared by the Company pursuant to the rules and regulations of the SEC, and reflect all adjustments (consisting of normal recurring adjustments) that are, in the opinion of management, necessary to fairly present the financial position, results of operations, and cash flows for the periods presented. As of August 31, 2014 all of the Company's subsidiaries are wholly-owned. Additionally, the Company's ownership interest in real estate development joint ventures as of August 31, 2014 is listed below: | |||||||||||||||||
Real Estate Development Joint Ventures | Countries | Ownership | Basis of Presentation | ||||||||||||||
GolfPark Plaza, S.A. | Panama | 50 | % | Equity(1) | |||||||||||||
Plaza Price Alajuela PPA, S.A. | Costa Rica | 50 | % | Equity(1) | |||||||||||||
(1) | Purchases of joint venture interests are recorded as investment in unconsolidated affiliates on the consolidated balance sheets. | ||||||||||||||||
Schedule of Restricted Cash and Cash Equivalents [Table Text Block] | ' | ||||||||||||||||
The following table summarizes the restricted cash reported by the Company (in thousands): | |||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||
Short-term restricted cash: | |||||||||||||||||
Restricted for Honduras loan | $ | 1,200 | $ | 1,200 | |||||||||||||
Restricted cash in Honduras for purchase of property | — | 3,148 | |||||||||||||||
Restricted cash for land purchase option agreements | 1,095 | 1,599 | |||||||||||||||
Other short-term restricted cash (1) | 58 | 37 | |||||||||||||||
Total short-term restricted cash | $ | 2,353 | $ | 5,984 | |||||||||||||
Long-term restricted cash: | |||||||||||||||||
Restricted cash for Honduras loan | $ | 1,720 | $ | 1,720 | |||||||||||||
Restricted cash for Colombia bank loans | 24,000 | 32,000 | |||||||||||||||
Other long-term restricted cash (1) | 1,293 | 1,055 | |||||||||||||||
Total long-term restricted cash | $ | 27,013 | $ | 34,775 | |||||||||||||
Total restricted cash | $ | 29,366 | $ | 40,759 | |||||||||||||
-1 | The other restricted cash consist mainly of cash deposits held within banking institutions in compliance with federal regulatory requirements in Costa Rica and Panama. | ||||||||||||||||
Value Added Receivable [Table Text Block] | ' | ||||||||||||||||
The following table summarizes the VAT receivables reported by the Company (in thousands): | |||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||
Prepaid expenses and other current assets | $ | 3,565 | $ | 5,458 | |||||||||||||
Other non-current assets | 17,115 | 12,875 | |||||||||||||||
Total amount of VAT receivable reported | $ | 20,680 | $ | 18,333 | |||||||||||||
Schedule of Goodwill [Table Text Block] | ' | ||||||||||||||||
The table below presents goodwill resulting from certain business combinations as of August 31, 2014 and August 31, 2013 (in thousands). The change in goodwill is a result of foreign exchange translation losses. | |||||||||||||||||
August 31, 2014 | August 31, 2013 | Change | |||||||||||||||
Goodwill | $ | 36,108 | $ | 36,364 | $ | (256 | ) | ||||||||||
PROPERTY_AND_EQUIPMENT_NET_Tab
PROPERTY AND EQUIPMENT, NET (Tables) | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||||||||||||||
Property and Equipment, Net | ' | |||||||||||||||||||
Property and equipment consist of the following (in thousands): | ||||||||||||||||||||
August 31, | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Land and land improvements | $ | 124,082 | $ | 100,108 | ||||||||||||||||
Building and building improvements | 244,485 | 228,257 | ||||||||||||||||||
Fixtures and equipment | 148,143 | 119,242 | ||||||||||||||||||
Construction in progress | 55,664 | 23,657 | ||||||||||||||||||
Total property and equipment, historical cost | 572,374 | 471,264 | ||||||||||||||||||
Less: accumulated depreciation | (146,049 | ) | (132,786 | ) | ||||||||||||||||
Property and equipment, net | $ | 426,325 | $ | 338,478 | ||||||||||||||||
Depreciation and amortization expense (in thousands): | ||||||||||||||||||||
Years Ended | ||||||||||||||||||||
August 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||
Depreciation and amortization expense | $ | 28,475 | $ | 24,444 | $ | 23,739 | ||||||||||||||
A summary of asset disposal activity for fiscal years 2014, 2013 and 2012 is as follows (in thousands): | ||||||||||||||||||||
Historical Cost | Accumulated Depreciation | Other Costs | Proceeds from disposal | Gain/(Loss) recognized | ||||||||||||||||
Fiscal Year 2014 | $ | 14,733 | $ | 13,146 | $ | — | $ | 142 | $ | (1,445 | ) | |||||||||
Fiscal Year 2013 | $ | 5,282 | $ | 4,129 | $ | — | $ | 264 | $ | (889 | ) | |||||||||
Fiscal Year 2012 | $ | 4,700 | $ | 4,250 | $ | — | $ | 138 | $ | (312 | ) | |||||||||
The Company recorded within accounts payable and other accrued expenses at the end of fiscal year 2014 approximately $1.9 million and $1.2 million, respectively, in liabilities related to the acquisition and/or construction of property and equipment. As of the end of fiscal year 2013, the Company recorded within other accrued expenses approximately $3.2 million in liabilities, related to the acquisition of land in Tegucigalpa, Honduras, upon which the Company constructed and opened its third warehouse club in Honduras in the spring of 2014. | ||||||||||||||||||||
Schedule of Total interest capitalized [Table Text Block] | ' | |||||||||||||||||||
Total interest capitalized (in thousands): | ||||||||||||||||||||
As of August 31, 2014 | As of August 31, 2013 | |||||||||||||||||||
Total interest capitalized | $ | 6,542 | $ | 5,560 | ||||||||||||||||
Total interest capitalized (in thousands): | ||||||||||||||||||||
Twelve Months Ended August 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||
Interest capitalized | $ | 1,482 | $ | 1,353 | $ | 250 | ||||||||||||||
Summary of Asset Disposal Activity | ' | |||||||||||||||||||
A summary of asset disposal activity for fiscal years 2014, 2013 and 2012 is as follows (in thousands): | ||||||||||||||||||||
Historical Cost | Accumulated Depreciation | Other Costs | Proceeds from disposal | Gain/(Loss) recognized | ||||||||||||||||
Fiscal Year 2014 | $ | 14,733 | $ | 13,146 | $ | — | $ | 142 | $ | (1,445 | ) | |||||||||
Fiscal Year 2013 | $ | 5,282 | $ | 4,129 | $ | — | $ | 264 | $ | (889 | ) | |||||||||
Fiscal Year 2012 | $ | 4,700 | $ | 4,250 | $ | — | $ | 138 | $ | (312 | ) | |||||||||
EARNINGS_PER_SHARE_Tables
EARNINGS PER SHARE (Tables) | 12 Months Ended | |||||||||||
Aug. 31, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||
Schedule of the Computation of Net Income Per Share | ' | |||||||||||
The following table sets forth the computation of net income per share for the twelve months ended August 31, 2014, 2013 and 2012 (in thousands, except per share amounts): | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Net income from continuing operations | $ | 92,886 | $ | 84,265 | $ | 67,646 | ||||||
Less: Allocation of income to unvested stockholders | (1,652 | ) | (1,780 | ) | (1,337 | ) | ||||||
Net earnings available to common stockholders from continuing operations | $ | 91,234 | $ | 82,485 | $ | 66,309 | ||||||
Net earnings (loss) available to common stockholders from discontinued operations | $ | — | $ | — | $ | (25 | ) | |||||
Basic weighted average shares outstanding | 29,747 | 29,647 | 29,554 | |||||||||
Add dilutive effect of stock options and restricted stock units (two-class method) | 10 | 10 | 12 | |||||||||
Diluted average shares outstanding | 29,757 | 29,657 | 29,566 | |||||||||
Basic net income per share from continuing operations | $ | 3.07 | $ | 2.78 | $ | 2.24 | ||||||
Diluted net income per share from continuing operations | $ | 3.07 | $ | 2.78 | $ | 2.24 | ||||||
Basic net income (loss) per share from discontinued operations | $ | — | $ | — | $ | — | ||||||
Diluted net income (loss) per share from discontinued operations | $ | — | $ | — | $ | — | ||||||
STOCKHOLDERS_EQUITY_Tables
STOCKHOLDERS EQUITY (Tables) | 12 Months Ended | ||||||||||||||||||||
Aug. 31, 2014 | |||||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||||
Schedule of Dividends | ' | ||||||||||||||||||||
Dividends | |||||||||||||||||||||
The following table summarizes the dividends declared and paid during fiscal years 2014, 2013 and 2012. | |||||||||||||||||||||
First Payment | Second Payment | ||||||||||||||||||||
Declared | Amount | Record Date | Date Paid | Amount | Record Date | Date Paid | Amount | ||||||||||||||
1/23/14 | $ | 0.7 | 2/14/14 | 2/28/14 | $ | 0.35 | 8/15/14 | 8/29/14 | $ | 0.35 | |||||||||||
11/27/12 | $ | 0.6 | 12/10/12 | 12/21/12 | $ | 0.3 | 8/15/13 | 8/30/13 | $ | 0.3 | |||||||||||
1/25/12 | $ | 0.6 | 2/15/12 | 2/29/12 | $ | 0.3 | 8/15/12 | 8/31/12 | $ | 0.3 | |||||||||||
Components of Accumulated Other Comprehensive Loss | ' | ||||||||||||||||||||
The following table discloses the tax effects allocated to each component of other comprehensive income (loss) (in thousands): | |||||||||||||||||||||
Foreign currency translation adjustments | Defined benefit pension plan | Derivative Instruments | Total | ||||||||||||||||||
(Amounts in thousands and net of income taxes) | |||||||||||||||||||||
Balances as of August 31, 2011 | $ | (21,894 | ) | $ | (273 | ) | $ | (748 | ) | $ | (22,915 | ) | |||||||||
Other comprehensive income (loss) | (1,187 | ) | 185 | (398 | ) | (2) | (1,400 | ) | |||||||||||||
Other comprehensive income (loss) related to mergers and corrections of prior years (1) | (8,881 | ) | — | — | (8,881 | ) | |||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | 14 | (3) | — | 14 | ||||||||||||||||
Balances as of August 31, 2012 | (31,962 | ) | (74 | ) | (1,146 | ) | (33,182 | ) | |||||||||||||
Other comprehensive income (loss) | (10,359 | ) | (68 | ) | 2,144 | (2) | (8,283 | ) | |||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | (10 | ) | (3) | — | (10 | ) | ||||||||||||||
Balances as of August 31, 2013 | (42,321 | ) | (152 | ) | 998 | (41,475 | ) | ||||||||||||||
Other comprehensive income (loss) | (8,089 | ) | 260 | 101 | (2) | (7,728 | ) | ||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | 5 | (3) | (88 | ) | (2)(4) | (83 | ) | |||||||||||||
Balances as of August 31, 2014 | $ | (50,410 | ) | $ | 113 | $ | 1,011 | $ | (49,286 | ) | |||||||||||
-1 | Includes $5.6 million to record foreign currency translation differences for a 2012 merger of a real estate subsidiary with an operating subsidiary and $3.3 million to correct foreign currency translations for prior years related to a 2007 merger of a real estate subsidiary with an operating subsidiary and other matters. See Note 1- Company Overview and Basis of Presentation for details. | ||||||||||||||||||||
-2 | See Note 12 - Derivative Instruments and Hedging Activities. | ||||||||||||||||||||
(3) | Amounts reclassified from accumulated other comprehensive income (loss) related to the minimum pension liability are included in warehouse club operations in the Company's Consolidated Statements of Income. | ||||||||||||||||||||
(4) | Amounts reclassified from accumulated other comprehensive income (loss) for settlement of derivative instruments are included in other income (expense), net in the Company's Consolidated Statements of Income. | ||||||||||||||||||||
Retained earnings not available for distribution [Table Text Block] | ' | ||||||||||||||||||||
Retained Earnings Not Available for Distribution | |||||||||||||||||||||
The following table summarizes retained earnings designated as legal reserves of various subsidiaries which cannot be distributed as dividends to PriceSmart, Inc. according to applicable statutory regulations (in thousands): | |||||||||||||||||||||
August 31, 2014 | August 31, 2013 | ||||||||||||||||||||
Retained earnings not available for distribution | $ | 4,556 | $ | 4,171 | |||||||||||||||||
RETIREMENT_PLAN_Tables
RETIREMENT PLAN (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||||||||||||||
Schedule of Defined Benefit Plans Disclosures | ' | |||||||||||||||||||||||||||
The following table summarizes the amount of the funding obligation and the line items in which it is recorded on the consolidated balance sheets and consolidated statements of income as of and for the fiscal years ended August 31, 2014 and 2013 (in thousands): | ||||||||||||||||||||||||||||
Other Long-Term Liability | Accumulated Other Comprehensive Loss | Operating Expenses | ||||||||||||||||||||||||||
Year Ended August 31, | ||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Start of Period | $ | (589 | ) | $ | (396 | ) | $ | 204 | $ | 99 | $ | — | $ | — | $ | — | ||||||||||||
Service cost | (114 | ) | (83 | ) | — | — | 114 | 91 | 140 | |||||||||||||||||||
Interest cost | (14 | ) | (17 | ) | — | — | 14 | 17 | 31 | |||||||||||||||||||
Prior service cost (including amortization) | — | — | (15 | ) | (15 | ) | 15 | 15 | 14 | |||||||||||||||||||
Actuarial gains/(losses) | 345 | (93 | ) | (337 | ) | 120 | (8 | ) | (27 | ) | — | |||||||||||||||||
Totals | $ | (372 | ) | $ | (589 | ) | $ | (148 | ) | $ | 204 | (1) | $ | 135 | $ | 96 | $ | 185 | ||||||||||
(1) | The Company has recorded a deferred tax (liability)/asset of $(35,000) and $52,000 as of August 31, 2014 and 2013, respectively, relating to the unrealized expense on deferred benefit plan. The Company also recorded accumulated other comprehensive income (loss), net of tax, for $113,000 and $(152,000) as of August 31, 2014 and 2013, respectively. | |||||||||||||||||||||||||||
Schedule of Assumptions Used | ' | |||||||||||||||||||||||||||
Year Ended August 31, | ||||||||||||||||||||||||||||
Valuation Assumptions Used in the Accounting of the Defined Benefit Plan: | 2014 | 2013 | ||||||||||||||||||||||||||
Discount rate | 1.5 | % | 2 | % | ||||||||||||||||||||||||
Future salary escalation | 5 | % | 5 | % | ||||||||||||||||||||||||
Percentage of employees assumed to withdraw from Company without a benefit (“turnover”) | 17 | % | 11 | % | ||||||||||||||||||||||||
Percentage of employees assumed to withdraw from Company with a benefit (“disability”) | 0.5 | % | 0.5 | % |
STOCK_BASED_COMPENSATION_Table
STOCK BASED COMPENSATION (Tables) | 12 Months Ended | |||||||||||
Aug. 31, 2014 | ||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||
Schedule of Share-based compensation, shares available for grant [Table Text Block] | ' | |||||||||||
Shares available to grant | ||||||||||||
Shares authorized | August 31, 2014 | August 31, 2013 | ||||||||||
2013 Plan | 838,766 | 821,124 | 782,385 | |||||||||
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs | ' | |||||||||||
The following table summarizes the components of the stock-based compensation expense for the twelve-month periods ended August 31, 2014, 2013 and 2012 (in thousands), which are included in general and administrative expense and warehouse club operations in the consolidated statements of income: | ||||||||||||
Year Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Options granted to directors | $ | 91 | $ | 113 | $ | 107 | ||||||
Restricted stock awards | 5,326 | 5,268 | 4,834 | |||||||||
Restricted stock units | 1,034 | 921 | 528 | |||||||||
Stock-based compensation expense | $ | 6,451 | $ | 6,302 | $ | 5,469 | ||||||
Schedule of Share-based Payment Award, Valuation Assumptions | ' | |||||||||||
The following table summarizes various concepts related to stock-based compensation as of and for the years ended August 31, 2014, 2013 and 2012: | ||||||||||||
August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Remaining unrecognized compensation cost (in thousands) | $ | 21,196 | $ | 25,450 | $ | 25,543 | ||||||
Weighted average period of time over which this cost will approximately be recognized (years) | 6 | 7 | 8 | |||||||||
Excess tax benefit (deficiency) on stock-based compensation (in thousands) | $ | 1,489 | $ | 1,336 | $ | 1,438 | ||||||
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity | ' | |||||||||||
Restricted stock awards and units activity for the twelve-months ended August 31, 2014, 2013 and 2012 was as follows: | ||||||||||||
Year Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Grants outstanding at beginning of period | 623,424 | 700,893 | 436,611 | |||||||||
Granted | 14,828 | 62,046 | 399,041 | |||||||||
Forfeited | (2,669 | ) | (3,021 | ) | (5,230 | ) | ||||||
Vested | (147,167 | ) | (136,494 | ) | (129,529 | ) | ||||||
Grants outstanding at end of period | 488,416 | 623,424 | 700,893 | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | ' | |||||||||||
twelve-months of fiscal years 2014, 2013 and 2012: | ||||||||||||
Year Ended August 31, | ||||||||||||
Weighted Average Grant Date Fair Value | 2014 | 2013 | 2012 | |||||||||
Restricted stock awards and units granted | $ | 105.76 | $ | 80.79 | $ | 67.26 | ||||||
Restricted stock awards and units vested | $ | 39.91 | $ | 39.33 | $ | 23.46 | ||||||
Restricted stock awards and units forfeited | $ | 54.21 | $ | 30.88 | $ | 29.3 | ||||||
Schedule of Share-based compensation, Fair Market Value for Restricted Stock [Table Text Block] [Table Text Block] | ' | |||||||||||
The following table summarizes the total fair market value of restricted stock awards and units vested for the period (in thousands): | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Total fair market value of restricted stock awards and units vested | $ | 13,797 | $ | 10,673 | $ | 8,812 | ||||||
Schedule of Share-based compensation, Shares repurchased [Table Text Block] | ' | |||||||||||
The following table summarizes this activity during the period: | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Shares repurchased | 50,898 | 44,460 | 46,373 | |||||||||
Cost of repurchase of shares (in thousands) | $ | 4,773 | $ | 3,467 | $ | 3,154 | ||||||
Schedule of Share-based compensation, reissued treasury shares [Table Text Block] | ' | |||||||||||
The Company reissues treasury shares as part of its stock-based compensation programs. The following table summarizes the treasury shares reissued during the period: | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Reissued treasury shares | — | — | 196,850 | |||||||||
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | ' | |||||||||||
he following table summarizes the stock options outstanding: | ||||||||||||
August 31, 2014 | August 31, 2013 | |||||||||||
Stock options outstanding | 23,000 | 28,000 | ||||||||||
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | |||||||||||
Aug. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
Income from continuing operations before provision for income taxes and loss of unconsolidated affiliates | ' | |||||||||||
Income from continuing operations before provision for income taxes and loss of unconsolidated affiliates includes the following components (in thousands): | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
United States | $ | 34,927 | $ | 30,377 | $ | 38,121 | ||||||
Foreign | 99,322 | 92,834 | 64,593 | |||||||||
Income from continuing operations before provision for income taxes and loss of unconsolidated affiliates | $ | 134,249 | $ | 123,211 | $ | 102,714 | ||||||
Significant components of income tax provision | ' | |||||||||||
Significant components of the income tax provision are as follows (in thousands): | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Current: | ||||||||||||
U.S. | $ | 11,921 | $ | 7,214 | $ | 7,593 | ||||||
Foreign | 29,120 | 29,054 | 26,325 | |||||||||
Total | $ | 41,041 | $ | 36,268 | $ | 33,918 | ||||||
Deferred: | ||||||||||||
U.S. | $ | 613 | $ | 3,257 | $ | 1,853 | ||||||
Foreign | (381 | ) | (402 | ) | (1,031 | ) | ||||||
Valuation allowance charge (release) | 99 | (181 | ) | 313 | ||||||||
Total | $ | 331 | $ | 2,674 | $ | 1,135 | ||||||
Provision for income taxes | $ | 41,372 | $ | 38,942 | $ | 35,053 | ||||||
Reconciliation of income tax rate | ' | |||||||||||
The reconciliation of income tax computed at the Federal statutory tax rate to the provision for income taxes is as follows (in percentages): | ||||||||||||
Years Ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Federal tax provision at statutory rates | 35 | % | 35 | % | 35 | % | ||||||
State taxes, net of federal benefit | 0.3 | 0.3 | 0.3 | |||||||||
Differences in foreign tax rates | (5.2 | ) | (3.7 | ) | (3.6 | ) | ||||||
Permanent items and other adjustments | 0.8 | 0.2 | 2.1 | |||||||||
Increase (decrease) in Foreign valuation allowance | (0.1 | ) | (0.2 | ) | 0.3 | |||||||
Provision for income taxes | 30.8 | % | 31.6 | % | 34.1 | % | ||||||
Significant components of deferred tax assets | ' | |||||||||||
Significant components of the Company’s deferred tax assets as of August 31, 2014 and 2013 are shown below (in thousands): | ||||||||||||
August 31, | ||||||||||||
2014 | 2013 | |||||||||||
Deferred tax assets: | ||||||||||||
U.S. net operating loss carryforward | $ | 5,977 | $ | 7,379 | ||||||||
Foreign tax credits | 862 | 2,096 | ||||||||||
Deferred compensation | 1,621 | 2,087 | ||||||||||
U.S. timing differences and alternative minimum tax credits | 2,647 | 1,708 | ||||||||||
Foreign net operating losses | 7,169 | 7,137 | ||||||||||
Foreign timing differences: | ||||||||||||
Accrued expenses and other timing differences | 2,935 | 5,179 | ||||||||||
Depreciation and Amortization | 5,873 | 5,027 | ||||||||||
Deferred Income | 3,688 | 3,534 | ||||||||||
Gross deferred tax assets | 30,772 | 34,147 | ||||||||||
U.S. deferred tax liabilities (depreciation and other timing differences) | (2,354 | ) | (3,216 | ) | ||||||||
Foreign deferred tax liabilities netted against deferred tax assets | (2,066 | ) | (1,638 | ) | ||||||||
U.S. valuation allowance | (613 | ) | (700 | ) | ||||||||
Foreign valuation allowance | (7,737 | ) | (9,432 | ) | ||||||||
Net deferred tax assets | $ | 18,002 | $ | 19,161 | ||||||||
Reconciliation of unrecognized tax benefits | ' | |||||||||||
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Balance at beginning of fiscal year | $ | 9,373 | $ | 11,212 | $ | 13,528 | ||||||
Additions based on tax positions related to the current year | 964 | 349 | 575 | |||||||||
Settlements | (1,093 | ) | (191 | ) | (591 | ) | ||||||
Expiration of the statute of limitations for the assessment of taxes | (458 | ) | (1,997 | ) | (2,300 | ) | ||||||
Balance at end of fiscal year | $ | 8,786 | $ | 9,373 | $ | 11,212 | ||||||
Summary of income tax examinations | ' | |||||||||||
The Company is generally no longer subject to income tax examinations by tax authorities in its major jurisdictions except for the fiscal years subject to audit as set forth in the table below: | ||||||||||||
Tax Jurisdiction | Fiscal Years Subject to Audit | |||||||||||
U.S. federal | 1998, 2000 to 2005, 2007, 2011 to the present | |||||||||||
California (U.S.) (state return) | 2005, 2007 and 2010 to the present | |||||||||||
Florida(U.S.) (state return) | 2002 to 2005, 2007 and 2011 to the present | |||||||||||
Aruba | 2012 to the present | |||||||||||
Barbados | 2008 to the present | |||||||||||
Costa Rica | 2011 to the present | |||||||||||
Colombia | 2010 to the present | |||||||||||
Dominican Republic | 2009 and 2011 to the present | |||||||||||
El Salvador | 2009 to the present | |||||||||||
Guatemala | 2009 to the present | |||||||||||
Honduras | 2009, 2010, 2012 to the present | |||||||||||
Jamaica | 2008 to the present | |||||||||||
Mexico | 2011 to the present | |||||||||||
Nicaragua | 2010 to the present | |||||||||||
Panama | 2011 to the present | |||||||||||
Trinidad | 2004 to the present | |||||||||||
U.S. Virgin Islands | 2001 to the present |
DEBT_Tables
DEBT (Tables) | 12 Months Ended | |||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||||||||
Schedule of Debt [Table Text Block] | ' | |||||||||||||||||
The following table provides the changes in the Company's long-term debt for the twelve months ended August 31, 2014: | ||||||||||||||||||
(Amounts in millions) | Current Portion of Long-term debt | Long-term debt | Total | |||||||||||||||
Balances as of August 31, 2013 | 12,757 | 60,263 | 73,020 | (1) | ||||||||||||||
Proceeds from long-term debt: | ||||||||||||||||||
Panama subsidiary | 2,400 | 21,600 | 24,000 | |||||||||||||||
Honduras subsidiary | — | 13,734 | 13,734 | |||||||||||||||
El Salvador subsidiary | 800 | 3,408 | 4,208 | |||||||||||||||
Repayments of long-term debt: | ||||||||||||||||||
Repayment of loan by Colombia subsidiary, originally entered into on November 1, 2010 with Citibank, N.A. in New York | — | (8,131 | ) | (8,131 | ) | |||||||||||||
Repayment of loan by Panama subsidiary, originally entered into on September 11, 2010 with Metro Bank, S.A. | (500 | ) | (2,708 | ) | (3,208 | ) | ||||||||||||
Repayment of loan by El Salvador subsidiary, originally entered into on September 1, 2009 with Scotiabank El Salvador, S.A. | (4,066 | ) | — | (4,066 | ) | |||||||||||||
Regularly scheduled loan payments | (2,102 | ) | (6,249 | ) | (8,351 | ) | ||||||||||||
Reclassifications of long-term debt | 2,567 | (2,567 | ) | — | ||||||||||||||
Translation adjustments on foreign-currency debt of subsidiaries whose functional currency is not the U.S. dollar (2) | (8 | ) | 241 | 233 | ||||||||||||||
Balances as of August 31, 2014 | 11,848 | 79,591 | 91,439 | (3) | ||||||||||||||
-1 | The carrying amount of cash assets assigned as collateral for this total was $33.8 million, and the carrying amount of non-cash assets assigned as collateral for this total was $55.2 million. | |||||||||||||||||
(2) | These foreign currency translation adjustments are recorded within other comprehensive income. | |||||||||||||||||
(3) | The carrying amount of cash assets assigned as collateral for this total was $24.6 million, and the carrying amount of non-cash assets assigned as collateral for this total was $84.2 million. | |||||||||||||||||
Schedule of short-term borrowings | ' | |||||||||||||||||
The short-term borrowing facilities are summarized below (in thousands): | ||||||||||||||||||
Facilities Used | ||||||||||||||||||
Total Amount of Facilities | Short-term Borrowings | Letters of Credit | Facilities Available | Weighted average interest rate of loans outstanding | ||||||||||||||
August 31, 2014 | $ | 61,869 | $ | — | $ | 436 | $ | 61,433 | N/A | |||||||||
August 31, 2013 | $ | 35,863 | $ | — | $ | 588 | $ | 35,275 | N/A | |||||||||
During the fiscal year 2014, PriceSmart, Inc. increased its short-term facilities by approximately $15.0 million and established short-term facilities within its Colombia subsidiary of approximately $10.9 million dollars. | ||||||||||||||||||
Schedule of long-term debt | ' | |||||||||||||||||
Long-term debt consists of the following types of loans (in thousands): | ||||||||||||||||||
31-Aug-14 | August 31, 2013 | |||||||||||||||||
Loans entered into by the Company's subsidiaries with a balloon payment due at the end of the loan term and with non-cash assets and/or cash or cash equivalents assigned as collateral and with/without established debt covenants | $ | 11,733 | $ | 23,442 | ||||||||||||||
Loans entered into by the Company's Colombia subsidiary for which the subsidiary has entered into a cross-currency interest rate swap with non-cash assets and/or cash or cash equivalents assigned as collateral and with established debt covenants | 22,532 | 30,346 | ||||||||||||||||
Loans entered into by the Company's subsidiaries for which the subsidiary has entered into a interest rate swap with non-cash assets and/or cash or cash equivalents assigned as collateral and with established debt covenants | 28,200 | 6,525 | ||||||||||||||||
Loans entered into by the Company's subsidiaries with non-cash assets and/or cash or cash equivalents assigned as collateral and with/without established debt covenants | 28,974 | 12,707 | ||||||||||||||||
Total long-term debt | 91,439 | -1 | 73,020 | |||||||||||||||
Less: current portion | 11,848 | 12,757 | ||||||||||||||||
Long-term debt, net of current portion | $ | 79,591 | $ | 60,263 | ||||||||||||||
Annual maturities of long-term debt | ' | |||||||||||||||||
Annual maturities of long-term debt are as follows (in thousands): | ||||||||||||||||||
Years Ended August 31, | Amount | |||||||||||||||||
2015 | $ | 11,848 | ||||||||||||||||
2016 | 25,931 | |||||||||||||||||
2017 | 16,075 | |||||||||||||||||
2018 | 8,483 | |||||||||||||||||
2019 | 18,765 | |||||||||||||||||
Thereafter | 10,337 | |||||||||||||||||
Total | $ | 91,439 | ||||||||||||||||
LEASES_Tables
LEASES (Tables) | 12 Months Ended | |||||||||||
Aug. 31, 2014 | ||||||||||||
Leases [Abstract] | ' | |||||||||||
Schedule of Leased Property | ' | |||||||||||
The following is a summary of the warehouse clubs and Company facilities located on leased property: | ||||||||||||
Approximate | Current Lease | Remaining | ||||||||||
Square | Option(s) | |||||||||||
Location | Facility Type | Date Opened | Footage | Expiration Date | to Extend | |||||||
Salitre, Colombia (1) | Warehouse Club | Under Construction(2) | — | January 29, 2044 | 20 years | |||||||
Via Brazil, Panama | Warehouse Club | December 4, 1997 | 68,696 | October 31, 2026 | 10 years | |||||||
Miraflores, Guatemala | Warehouse Club | April 8, 1999 | 66,059 | December 31, 2020 | 5 years | |||||||
Pradera, Guatemala | Warehouse Club | May 29, 2001 | 48,438 | May 28, 2021 | none | |||||||
Tegucigalpa, Honduras | Warehouse Club | May 31, 2000 | 64,735 | May 30, 2020 | none | |||||||
Oranjestad, Aruba | Warehouse Club | March 23, 2001 | 64,627 | March 23, 2021 | 10 years | |||||||
Port of Spain, Trinidad | Warehouse Club | December 5, 2001 | 54,046 | July 5, 2031 | none | |||||||
St. Thomas, U.S.V.I. | Warehouse Club | May 4, 2001 | 54,046 | February 28, 2020 | 10 years | |||||||
Barbados | Storage Facility | December 1, 2012 | 12,517 | November 30, 2015 | 3 years | |||||||
Chaguanas, Trinidad | Employee Parking | May 1, 2009 | 4,944 | April 30, 2024 | none | |||||||
Chaguanas, Trinidad | Container Parking | April 1, 2010 | 65,340 | March 31, 2015 | none | |||||||
Jamaica | Storage Facility | September 1, 2012 | 17,000 | February 28, 2015 | 3 years | |||||||
Santo Domingo, Dominican Republic | Central Offices | June 1, 2010 | 2,002 | May 31, 2015 | 1 year | |||||||
Bogota, Colombia | Central Offices | October 21, 2010 | 7,812 | December 31, 2015 | none | |||||||
San Diego, CA (3) | Corporate Headquarters | April 1, 2004 | 39,225 | August 31, 2015 | 5 years | |||||||
Miami, FL (4) | Distribution Facility | March 1, 2008 | 274,652 | July 31, 2021 | 10 years | |||||||
Panama | Storage and Distribution Facility | August 15, 2012 | 25,690 | August 15, 2015 | mutual agreement | |||||||
Panama | Central Offices | Under Construction(2) | — | 12-Dec-43 | 15 years | |||||||
Costa Rica | Storage and Distribution Facility | January 28, 2013 | 37,674 | January 29, 2015 | 3 years | |||||||
Trinidad | Storage and Distribution Facility | August 18, 2014 | 17,110 | August 17, 2017 | none | |||||||
(1) | For the fiscal year 2014, the Company recorded expenses related to the property lease for the new club planned for Bogota, Colombia ("Salitre") as pre-opening expenses. The Company will continue to record the monthly lease expense for this land in pre-opening expenses while the warehouse club is under construction. Upon opening, these expenses will be recognized in warehouse club operations expense. | |||||||||||
(2) | The Company opened this location on October 29, 2014. | |||||||||||
(3) | In September 2014, the Company executed a third amendment to include an additional 3,802 square feet of space and an extension on the term of the existing premises at its corporate headquarters. This additional space is not included within the above table. | |||||||||||
(4) | In September 2014, the Company executed a second amendment to include an additional 26,400 square feet of space at its primary distribution center in Miami. This additional space is not included within the above table. | |||||||||||
Schedule of Rent Expense | ' | |||||||||||
The following table summarizes the components of rental expense charged for operating leases of open locations for fiscal years 2014, 2013 and 2012 (in thousands): | ||||||||||||
Years ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Minimum rental payments | $ | 7,952 | $ | 7,584 | $ | 7,251 | ||||||
Deferred rent accruals | 1,514 | 104 | 193 | |||||||||
Total straight line rent expense | 9,466 | 7,688 | 7,444 | |||||||||
Contingent rental payments | 3,220 | 2,950 | 2,623 | |||||||||
Common area maintenance expense | 1,212 | 1,074 | 865 | |||||||||
Rental expense | $ | 13,898 | $ | 11,712 | $ | 10,932 | ||||||
Schedule of Future Minimum Rental Payments | ' | |||||||||||
Future minimum lease commitments for facilities under these leases with an initial term in excess of one year are as follows (in thousands): | ||||||||||||
Years Ended August 31, | ||||||||||||
Leased | ||||||||||||
Locations(1) | ||||||||||||
2015 | $ | 9,156 | ||||||||||
2016 | 8,468 | |||||||||||
2017 | 9,429 | |||||||||||
2018 | 9,411 | |||||||||||
2019 | 9,129 | |||||||||||
Thereafter | 89,988 | |||||||||||
Total | $ | 135,581 | (2) | |||||||||
(1) | Operating lease obligations have been reduced by approximately $517,000 to reflect sub-lease income. Certain obligations under leasing arrangements are collateralized by the underlying asset being leased. | |||||||||||
(2) | The future minimum lease commitments have been reduced by approximately $517,000 to reflect the amounts net of sublease income. Additionally, during September 2014, the Company executed an amendment to include an additional 3,802 square feet of space and an extension on the term through May 2026 of the existing premises at the Company's corporate headquarters, adding lease obligations of approximately $11.8 million. In September 2014, the Company also executed an amendment to include an additional 26,400 square feet of space at its primary distribution center in Miami, adding lease obligations of approximately $1.0 million. The lease obligations for these two lease amendments are not included within the above table. | |||||||||||
Schedule of Rent Income | ' | |||||||||||
The following table summarizes the components of rental income recorded for operating leases for fiscal years 2014, 2013 and 2012 (in thousands): | ||||||||||||
Years ended August 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Minimum rental receipts | $ | 2,646 | $ | 2,620 | $ | 2,629 | ||||||
Deferred rent accruals | 187 | 26 | (69 | ) | ||||||||
Total straight line rent income | 2,833 | 2,646 | 2,560 | |||||||||
Contingent rental receipts | 59 | 98 | 111 | |||||||||
Common maintenance area income | 129 | 117 | 109 | |||||||||
Rental income | $ | 3,021 | $ | 2,861 | $ | 2,780 | ||||||
Schedule of Future Minimum Rental Receipts | ' | |||||||||||
The following is a schedule of future minimum rental income on non-cancelable operating leases with an initial term in excess of one year from owned property as of August 31, 2014 (in thousands): | ||||||||||||
Years ended August 31, | Amount | |||||||||||
2015 | $ | 2,643 | ||||||||||
2016 | 2,206 | |||||||||||
2017 | 1,317 | |||||||||||
2018 | 1,055 | |||||||||||
2019 | 853 | |||||||||||
Thereafter | 6,763 | |||||||||||
Total | $ | 14,837 | ||||||||||
DERIVATIVE_INSTRUMENTS_AND_HED1
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 12 Months Ended | |||||||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||||||
Derivative [Line Items] | ' | |||||||||||||||||||||
Schedule of Interest Rate Derivatives | ' | |||||||||||||||||||||
The following table summarizes agreements for which the Company has recorded cash flow hedge accounting transactions during the twelve months ended August 31, 2014: | ||||||||||||||||||||||
Subsidiary | Date entered into | Derivative Financial Counter-party | Derivative Financial Instruments | Initial | Bank US loan Held with | Floating Leg (swap counter-party) | Fixed Rate for PSMT Subsidiary | Settlement Reset Date | Effective Period of Swap | |||||||||||||
US Notional Amount (in thousands) | ||||||||||||||||||||||
Panama | 1-Aug-14 | Bank of Nova Scotia ("Scotiabank") | Interest rate swap | $ | 5,000 | Bank of Nova Scotia | Variable rate 30-day Libor plus 3.5% | 4.89 | % | 21st day of each month beginning on September 22, 2014 | August 21, 2014 - August 21, 2019 | |||||||||||
Panama | 22-May-14 | Bank of Nova Scotia ("Scotiabank") | Interest rate swap | $ | 19,800 | Bank of Nova Scotia | Variable rate 30-day Libor plus 3.5% | 4.98 | % | 4th day of each month beginning on June 4, 2014 | May 5, 2014 - April 4, 2019 | |||||||||||
Panama | 22-May-14 | Bank of Nova Scotia ("Scotiabank") | Interest rate swap | $ | 3,970 | Bank of Nova Scotia | Variable rate 30-day Libor plus 3.5% | 4.98 | % | 4th day of each month beginning on June 4, 2014 | May 5, 2014 - April 4, 2019 | |||||||||||
Colombia | 11-Dec-12 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 8,000 | Bank of Nova Scotia | Variable rate 3-month Libor plus 0.7% | 4.79 | % | March, June, September and December, beginning on March 5, 2013 | December 5, 2012 - December 5, 2014 | |||||||||||
Colombia | 21-Feb-12 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 8,000 | Bank of Nova Scotia | Variable rate 3-month Libor plus 0.6% | 6.02 | % | February, May, August and November beginning on May 22, 2012 | February 21, 2012 - February 21, 2017 | |||||||||||
Colombia | 17-Nov-11 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 8,000 | Citibank, N.A. | Variable rate 6-month Eurodollar Libor plus 2.4% | 5.85 | % | May 3, 2012 and semi-annually thereafter | November 3, 2011 - November 3, 2013 | |||||||||||
Colombia | 21-Oct-11 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 2,000 | Bank of Nova Scotia | Variable rate 3-month Libor plus 0.7% | 5.3 | % | January, April, July and October, beginning on October 29, 2011 | July 29, 2011 - April 1, 2016 | |||||||||||
Colombia | 21-Oct-11 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 6,000 | Bank of Nova Scotia | Variable rate 3-month Libor plus 0.7% | 5.45 | % | March, June, September and December, beginning on December 29, 2011 | September 29, 2011 - April 1, 2016 | |||||||||||
Colombia | 5-May-11 | Bank of Nova Scotia ("Scotiabank") | Cross currency interest rate swap | $ | 8,000 | Bank of Nova Scotia | Variable rate 3-month Libor plus 0.7% | 6.09 | % | January, April, July and October, beginning on July 5, 2011 | April 1, 2011 - April 1, 2016 | |||||||||||
Trinidad | 20-Nov-08 | Royal Bank of Trinidad & Tobago | Interest rate swaps | $ | 8,900 | Royal Bank of Trinidad & Tobago | Variable rate 1-year Libor plus 2.75% | 7.05 | % | Annually on August 26 | September 25, 2008 - September 26, 2013 | |||||||||||
Derivative Swaps [Member] | ' | |||||||||||||||||||||
Derivative [Line Items] | ' | |||||||||||||||||||||
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location | ' | |||||||||||||||||||||
For the twelve-month periods ended August 31, 2014, 2013, and 2012 the Company included the gain or loss on the hedged items (that is, variable-rate borrowings) in the same line item—interest expense—as the offsetting gain or loss on the related interest rate swaps as follows (in thousands): | ||||||||||||||||||||||
Income Statement Classification | Interest expense | Loss on Swaps(2) | Interest expense | |||||||||||||||||||
on Borrowings(1) | ||||||||||||||||||||||
Interest expense for the year ended August 31, 2014 | $ | 674 | $ | 1,632 | $ | 2,306 | ||||||||||||||||
Interest expense for the year ended August 31, 2013 | $ | 739 | $ | 1,821 | $ | 2,560 | ||||||||||||||||
Interest expense for the year ended August 31, 2012 | $ | 767 | $ | 1,356 | $ | 2,123 | ||||||||||||||||
Schedule of Notional Amounts of Outstanding Derivative Positions | ' | |||||||||||||||||||||
Notional Amount as of | ||||||||||||||||||||||
August 31, | ||||||||||||||||||||||
Floating Rate Payer (Swap Counterparty) | 2014 | 2013 | ||||||||||||||||||||
Royal Bank of Trinidad & Tobago (RBTT) | $ | — | $ | 4,500 | ||||||||||||||||||
Scotiabank | 60,200 | 40,000 | ||||||||||||||||||||
Total | $ | 60,200 | $ | 44,500 | ||||||||||||||||||
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | ' | |||||||||||||||||||||
The following table summarizes the fair value of interest rate swap and cross-currency interest rate swap derivative instruments that qualify for derivative hedge accounting (in thousands, except footnote data): | ||||||||||||||||||||||
August 31, 2014 | August 31, 2013 | |||||||||||||||||||||
Derivatives designated as cash flow hedging instruments | Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | ||||||||||||||||||
Cross-currency interest rate swaps(1)(2) | Prepaid expenses and other current assets (Cross-currency interest rate swaps) | $ | 495 | Prepaid expenses and other current assets (Cross-currency interest rate swaps) | $ | — | ||||||||||||||||
Cross-currency interest rate swaps(1)(2) | Other non-current assets | $ | 970 | Other non-current assets | $ | 1,505 | ||||||||||||||||
Interest rate swaps(3) | Other non-current assets | 125 | Other non-current assets | — | ||||||||||||||||||
Interest rate swaps(3) | Other long-term liabilities | — | Other long-term liabilities | (14 | ) | |||||||||||||||||
Net fair value of derivatives designated as hedging instruments - assets (liability)(4) | $ | 1,590 | $ | 1,491 | ||||||||||||||||||
(1) | The effective portion of the cross-currency interest rate swaps was recorded to Accumulated other comprehensive (income)/loss for $(917,000) and $(1.0) million net of tax as of August 31, 2014 and August 31, 2013, respectively. | |||||||||||||||||||||
(2) | The Company has recorded a deferred tax liability amount with an offset to other comprehensive income of $(548,000) and $(497,000) as of August 31, 2014 and August 31, 2013, respectively, related to asset positions of cross-currency interest rate swaps. However, the equity effect of this deferred tax liability is offset by the full valuation allowance provided for the net deferred tax asset recorded for this subsidiary. | |||||||||||||||||||||
(3) | The effective portion of the interest rate swaps was recorded to Accumulated other comprehensive loss for $(94,000) and $10,000 net of tax as of August 31, 2014 and August 31, 2013, respectively. The Company has recorded a deferred tax (liability)/asset amount with an offset to other comprehensive income of $(31,000) and $4,000 as of August 31, 2014 and August 31, 2013, respectively. | |||||||||||||||||||||
(4) | Derivatives listed on the above table were designated as cash flow hedging instruments. | |||||||||||||||||||||
Forward Foreign Exchange Contracts [Member] | ' | |||||||||||||||||||||
Derivative [Line Items] | ' | |||||||||||||||||||||
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location | ' | |||||||||||||||||||||
For the twelve-month periods ended August 31, 2014, 2013 and 2012, the Company included in its consolidated statements of income the forward derivative (gain) or loss on the non-deliverable forward foreign-exchange contracts as follows (in thousands): | ||||||||||||||||||||||
Twelve Months Ended August 31, | ||||||||||||||||||||||
Income Statement Classification | 2014 | 2013 | 2012 | |||||||||||||||||||
Other income (expense), net | $ | (463 | ) | $ | (580 | ) | $ | (73 | ) | |||||||||||||
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | ' | |||||||||||||||||||||
The following table summarizes the fair value of foreign currency forward contracts that do not qualify for derivative hedge accounting (in thousands): | ||||||||||||||||||||||
August 31, 2014 | August 31, 2013 | |||||||||||||||||||||
Derivatives designated as fair value hedging instruments | Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | ||||||||||||||||||
Foreign currency forward contracts | Other accrued expenses | (14 | ) | Other accrued expenses | — | |||||||||||||||||
Net fair value of derivatives designated as hedging instruments that do not qualify for hedge accounting | $ | (14 | ) | $ | — | |||||||||||||||||
There were no open non-deliverable forward foreign exchange contracts as of August 31, 2013. |
UNCONSOLIDATED_AFFILIATES_Tabl
UNCONSOLIDATED AFFILIATES (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Aug. 31, 2014 | |||||||||||||||||||||||||
Unconsolidated Affiliates [Abstract] | ' | ||||||||||||||||||||||||
Schedule of Variable Interest Entities Maximum Loss Exposure | ' | ||||||||||||||||||||||||
The table below summarizes the Company’s interest in these VIEs and the Company’s maximum exposure to loss as a result of its involvement with these VIEs as of August 31, 2014 (in thousands): | |||||||||||||||||||||||||
Entity | Initial Investment | Additional Contributions | Company’s Variable | Commitment to Future Additional Contributions(1) | Company’s | ||||||||||||||||||||
Interest in Entity | Maximum | ||||||||||||||||||||||||
Net Loss Inception to Date | Exposure | ||||||||||||||||||||||||
to Loss in Entity(2) | |||||||||||||||||||||||||
GolfPark Plaza, S.A. | $ | 4,616 | $ | 1,483 | (3) | $ | (82 | ) | $ | 6,017 | $ | 1,017 | $ | 7,034 | |||||||||||
Plaza Price Alajuela PPA, S.A. | 2,193 | 677 | (3) | (24 | ) | 2,846 | 1,345 | 4,191 | |||||||||||||||||
Total | $ | 6,809 | $ | 2,160 | $ | (106 | ) | $ | 8,863 | $ | 2,362 | $ | 11,225 | ||||||||||||
(1) | The parties intend to seek alternate financing for the project, which could reduce the amount of contributions each party would be required to provide. The parties may mutually agree on changes to the project, which could increase or decrease the amount of contributions each party is required to provide. | ||||||||||||||||||||||||
(2) | The maximum exposure is determined by adding the Company’s variable interest in the entity and any explicit or implicit arrangements that could require the Company to provide additional financial support. | ||||||||||||||||||||||||
(3) | Prior to fiscal year 2012, the Company contributed an additional $377,000 and $483,000 to Plaza Price Alajuela PPA, S.A. and Golf Park Plaza S.A., respectively. In September 2012, the Company contributed an additional $300,000 to Plaza Price Alajuela PPA, S.A. and maintained its 50% interest in the joint venture. In October 2012, the Company contributed an additional $250,000 to Golf Park Plaza S.A., and in January 2014 it contributed an additional $750,000 to Golf Park Plaza S.A., maintaining its 50% interest in the joint venture. The contributions were a portion of the Company's required additional future contributions under the joint venture agreement. | ||||||||||||||||||||||||
Schedule of Variable Interest Entities Financial Information | ' | ||||||||||||||||||||||||
The summarized financial information of the unconsolidated affiliates is as follows (in thousands): | |||||||||||||||||||||||||
August 31, | August 31, | ||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Current assets | $ | 803 | $ | 606 | |||||||||||||||||||||
Noncurrent assets | 8,900 | 7,432 | |||||||||||||||||||||||
Current liabilities | 1,126 | 999 | |||||||||||||||||||||||
Noncurrent liabilities | 13 | 8 | |||||||||||||||||||||||
Years Ended August 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Net income (loss) | $ | 18 | $ | (8 | ) | $ | (30 | ) | |||||||||||||||||
SEGMENTS_Tables
SEGMENTS (Tables) | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||
Schedule of Error Corrections and Prior Period Adjustments [Table Text Block] | ' | |||||||||||||||||||
The following tables summarize the impact of this reclassification (in thousands): | ||||||||||||||||||||
Years Ended August 31, | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Other income (expense), net – as previously reported | $ | (1,843 | ) | $ | (837 | ) | ||||||||||||||
Loss/(gain) on disposal of assets, other income (expense), net reclassified to Loss/(gain) on disposal of assets, total operating expenses | 889 | 312 | ||||||||||||||||||
Other income (expense), net – as currently reported | $ | (954 | ) | $ | (525 | ) | ||||||||||||||
Years Ended August 31, | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Composition of beginning balance other income (expense) – as previously reported: | ||||||||||||||||||||
Gain/(loss) on sale | $ | (889 | ) | $ | (312 | ) | ||||||||||||||
Currency gain/(loss) | (954 | ) | (525 | ) | ||||||||||||||||
Total | $ | (1,843 | ) | (837 | ) | |||||||||||||||
Composition of ending balance Other income (expense) – as currently reported: | ||||||||||||||||||||
Gain/(loss) on sale | $ | — | $ | — | ||||||||||||||||
Currency gain/(loss) | (954 | ) | (525 | ) | ||||||||||||||||
Total | $ | (954 | ) | $ | (525 | ) | ||||||||||||||
The following table summarizes the impact of these reclassifications (in thousands): | ||||||||||||||||||||
Total Fiscal Year 2012 | ||||||||||||||||||||
Revenues: | ||||||||||||||||||||
Net warehouse club sales-as previously reported | $ | 2,000,046 | ||||||||||||||||||
Reclassifications | (682 | ) | ||||||||||||||||||
Net warehouse club sales-as currently reported | $ | 1,999,364 | ||||||||||||||||||
Other income-as previously reported | $ | 8,422 | ||||||||||||||||||
Reclassifications | (4,900 | ) | ||||||||||||||||||
Other income-as currently reported | $ | 3,522 | ||||||||||||||||||
Cost of goods sold: | ||||||||||||||||||||
Net warehouse club-as previously reported | $ | 1,704,131 | ||||||||||||||||||
Reclassifications | (2,799 | ) | ||||||||||||||||||
Net warehouse club-as currently reported | $ | 1,701,332 | ||||||||||||||||||
Selling, general and administrative: | ||||||||||||||||||||
Warehouse club operations-as previously reported | $ | 182,401 | ||||||||||||||||||
Reclassifications | (2,783 | ) | ||||||||||||||||||
Warehouse club operations-as currently reported | $ | 179,618 | ||||||||||||||||||
Net effect on operating income | $ | — | ||||||||||||||||||
The following tables summarize the impact of these reclassifications to the amounts reported for each segment (in thousands): | ||||||||||||||||||||
Twelve Month Period Ended August 31, 2012 | United | Latin | Caribbean | Total | ||||||||||||||||
States | American | Operations | ||||||||||||||||||
Operations | Operations | |||||||||||||||||||
Revenue from external customers-as previously reported | $ | 15,320 | $ | 1,341,688 | $ | 693,737 | $ | 2,050,745 | ||||||||||||
Reclassifications - front end sales | — | (388 | ) | (294 | ) | (682 | ) | |||||||||||||
Reclassifications - demonstration income | — | (3,865 | ) | (1,035 | ) | (4,900 | ) | |||||||||||||
Revenue from external customers-as currently reported | $ | 15,320 | $ | 1,337,435 | $ | 692,408 | $ | 2,045,163 | ||||||||||||
Operating income -as previously reported | 30,750 | 57,657 | 19,519 | 107,926 | ||||||||||||||||
Reclassification - Gain/(Loss) asset disposals | (3 | ) | (263 | ) | (46 | ) | (312 | ) | ||||||||||||
Operating income-as currently reported | $ | 30,747 | $ | 57,394 | $ | 19,473 | $ | 107,614 | ||||||||||||
Long-lived assets (other than deferred tax assets)-as previously reported | 17,781 | 249,925 | 116,557 | 384,263 | ||||||||||||||||
Reclassification- VAT to long lived assets | — | 11,321 | 1,992 | 13,313 | ||||||||||||||||
Reclassifications prepaid assets to long lived assets(1) | — | 1,722 | — | 1,722 | ||||||||||||||||
Long-lived assets (other than deferred tax assets)-as currently reported | $ | 17,781 | $ | 262,968 | $ | 118,549 | $ | 399,298 | ||||||||||||
(1) | The Company reclassified prepaid expenses to long-lived assets within the Latin America Operations segment for approximately $1.7 million. | |||||||||||||||||||
Schedule of Segment Reporting Information, by Segment [Table Text Block] | ' | |||||||||||||||||||
United States | Latin American | Caribbean | Reconciling Items(1) | Total | ||||||||||||||||
Operations | Operations | Operations | ||||||||||||||||||
Year ended August 31, 2014 | ||||||||||||||||||||
Revenue from external customers | $ | 31,279 | $ | 1,701,063 | $ | 785,225 | $ | — | $ | 2,517,567 | ||||||||||
Intersegment revenues | 959,297 | — | 5,265 | (964,562 | ) | — | ||||||||||||||
Depreciation and amortization | 2,238 | 17,175 | 9,062 | — | 28,475 | |||||||||||||||
Operating income | 38,450 | 71,860 | 26,397 | — | 136,707 | |||||||||||||||
Interest income from external sources | 18 | 676 | 159 | — | 853 | |||||||||||||||
Interest income from intersegment sources | 2,603 | 325 | 561 | (3,489 | ) | — | ||||||||||||||
Interest expense from external sources | 34 | 3,549 | 712 | — | 4,295 | |||||||||||||||
Interest expense from intersegment sources | 120 | 1,355 | 2,014 | (3,489 | ) | — | ||||||||||||||
Provision for income taxes | 12,739 | 21,932 | 6,701 | — | 41,372 | |||||||||||||||
Net income | 25,620 | 47,678 | 19,588 | — | 92,886 | |||||||||||||||
Long-lived assets (other than deferred tax assets) | 16,488 | 396,280 | 113,134 | — | 525,902 | |||||||||||||||
Goodwill | — | 31,383 | 4,725 | — | 36,108 | |||||||||||||||
Investment in unconsolidated affiliates | — | 8,863 | — | — | 8,863 | |||||||||||||||
Total assets | 91,190 | 625,777 | 223,251 | — | 940,218 | |||||||||||||||
Capital expenditures, net | 7,627 | 103,979 | 9,534 | — | 121,140 | |||||||||||||||
United States | Latin American | Caribbean | Reconciling Items(1) | Total | ||||||||||||||||
Operations | Operations | Operations | ||||||||||||||||||
Year ended August 31, 2013 | ||||||||||||||||||||
Revenue from external customers | $ | 23,059 | $ | 1,542,401 | $ | 734,352 | $ | — | $ | 2,299,812 | ||||||||||
Intersegment revenues | 877,337 | 99 | 4,721 | (882,157 | ) | — | ||||||||||||||
Depreciation and amortization | 2,121 | 13,453 | 8,870 | — | 24,444 | |||||||||||||||
Operating income | 34,132 | 69,746 | 23,168 | — | 127,046 | |||||||||||||||
Interest income from external sources | 163 | 1,077 | 95 | — | 1,335 | |||||||||||||||
Interest income from intersegment sources | 2,841 | 410 | 556 | (3,807 | ) | — | ||||||||||||||
Interest expense from external sources | 8 | 3,136 | 1,072 | — | 4,216 | |||||||||||||||
Interest expense from intersegment sources | 141 | 1,061 | 2,605 | (3,807 | ) | — | ||||||||||||||
Provision for income taxes | 11,011 | 21,921 | 6,010 | — | 38,942 | |||||||||||||||
Net income | 23,200 | 44,862 | 16,203 | — | 84,265 | |||||||||||||||
Long-lived assets (other than deferred tax assets) | 19,114 | 304,731 | 113,742 | — | 437,587 | |||||||||||||||
Goodwill | — | 31,474 | 4,890 | — | 36,364 | |||||||||||||||
Investment in unconsolidated affiliates | — | 8,104 | — | — | 8,104 | |||||||||||||||
Total assets | 103,844 | 518,313 | 203,882 | — | 826,039 | |||||||||||||||
Capital expenditures, net | 3,456 | 59,064 | 7,407 | — | 69,927 | |||||||||||||||
United States | Latin American | Caribbean | Reconciling Items(1) | Total | ||||||||||||||||
Operations | Operations | Operations | ||||||||||||||||||
Year ended August 31, 2012 | ||||||||||||||||||||
Revenue from external customers | $ | 15,320 | $ | 1,337,435 | $ | 692,408 | $ | — | $ | 2,045,163 | ||||||||||
Intersegment revenues | 766,462 | 40 | 4,726 | (771,228 | ) | — | ||||||||||||||
Depreciation and amortization(2) | 1,782 | 11,655 | 10,302 | — | 23,739 | |||||||||||||||
Operating income | 30,747 | 57,394 | 19,473 | — | 107,614 | |||||||||||||||
Interest income from external sources | 220 | 611 | 77 | — | 908 | |||||||||||||||
Interest income from intersegment sources | 2,430 | 386 | 536 | (3,352 | ) | — | ||||||||||||||
Interest expense from external sources | 25 | 4,148 | 1,110 | — | 5,283 | |||||||||||||||
Interest expense from intersegment sources | 62 | 464 | 2,826 | (3,352 | ) | — | ||||||||||||||
Provision for income taxes | 10,720 | 18,226 | 6,107 | — | 35,053 | |||||||||||||||
Net income | 20,220 | 33,264 | 14,137 | — | 67,621 | |||||||||||||||
Long-lived assets (other than deferred tax assets) | 17,781 | 262,968 | 118,549 | — | 399,298 | |||||||||||||||
Goodwill | — | 31,760 | 5,126 | — | 36,886 | |||||||||||||||
Investment in unconsolidated affiliates | — | 7,559 | — | — | 7,559 | |||||||||||||||
Total assets | 87,467 | 441,857 | 206,388 | — | 735,712 | |||||||||||||||
Capital expenditures, net | 1,972 | 42,116 | 8,617 | — | 52,705 | |||||||||||||||
-1 | The reconciling items reflect the amount eliminated on consolidation of intersegment transactions. | |||||||||||||||||||
-2 | Includes a $1.1 million error that increased expenses in the Caribbean operations and a $313,000 error that increased expenses in the Latin America operations, both of which were related to prior periods. See Note 1- Company Overview and Basis of Presentation. |
QUARTERLY_FINANCIAL_INFORMATIO1
QUARTERLY FINANCIAL INFORMATION (Tables) | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2014 | ||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||||||||
Schedule of Quarterly Financial Information | ' | |||||||||||||||||||
Summarized quarterly financial information for fiscal years 2014 and 2013 is as follows (in thousands, except per share data): | ||||||||||||||||||||
Fiscal Year 2014 | Three Months Ended, | Year Ended, | ||||||||||||||||||
Nov 30, 2013 | Feb 28, 2014 | May 31, 2014 | Aug 31, 2014 | Aug 31, 2014 | ||||||||||||||||
Total net warehouse club and export sales | $ | 595,415 | $ | 663,931 | $ | 604,462 | $ | 611,785 | $ | 2,475,593 | ||||||||||
Total cost of goods sold | $ | 509,728 | $ | 568,075 | $ | 515,930 | $ | 519,931 | $ | 2,113,664 | ||||||||||
Net income from continuing operations | $ | 21,432 | $ | 28,278 | $ | 21,320 | $ | 21,856 | $ | 92,886 | ||||||||||
Net income | $ | 21,432 | $ | 28,278 | $ | 21,320 | $ | 21,856 | $ | 92,886 | ||||||||||
Basic net income per share | $ | 0.71 | $ | 0.93 | $ | 0.7 | $ | 0.73 | $ | 3.07 | ||||||||||
Diluted net income per share | $ | 0.71 | $ | 0.93 | $ | 0.7 | $ | 0.73 | $ | 3.07 | ||||||||||
Fiscal Year 2013(1) | Three Months Ended, | Year Ended, | ||||||||||||||||||
Nov 30, 2012 | Feb 28, 2013 | May 31, 2013 | Aug 31, 2013 | Aug 31, 2013 | ||||||||||||||||
Total net warehouse club and export sales | $ | 526,672 | $ | 598,178 | $ | 562,039 | $ | 575,436 | $ | 2,262,325 | ||||||||||
Total cost of goods sold | $ | 447,779 | $ | 510,711 | $ | 481,634 | $ | 489,304 | $ | 1,929,428 | ||||||||||
Net income from continuing operations | $ | 20,005 | $ | 24,882 | $ | 18,539 | $ | 20,839 | $ | 84,265 | ||||||||||
Net income | $ | 20,005 | $ | 24,882 | $ | 18,539 | $ | 20,839 | $ | 84,265 | ||||||||||
Basic net income per share | $ | 0.66 | $ | 0.82 | $ | 0.61 | $ | 0.69 | $ | 2.78 | ||||||||||
Diluted net income per share | $ | 0.66 | $ | 0.82 | $ | 0.61 | $ | 0.69 | $ | 2.78 | ||||||||||
Fiscal Year 2012(1) | Three Months Ended, | Year Ended, | ||||||||||||||||||
Nov 30, 2011 | Feb 29, 2012 | May 31, 2012 | Aug 31, 2012 | Aug 31, 2012 | ||||||||||||||||
Total net warehouse club and export sales | $ | 470,441 | $ | 541,078 | $ | 497,515 | $ | 505,650 | $ | 2,014,684 | ||||||||||
Total cost of goods sold | $ | 402,025 | $ | 461,800 | $ | 423,346 | $ | 428,810 | $ | 1,715,981 | ||||||||||
Net income from continuing operations | $ | 13,996 | $ | 20,217 | $ | 15,708 | $ | 17,725 | $ | 67,646 | ||||||||||
Discontinued operations, net of tax | $ | (7 | ) | $ | 3 | $ | (2 | ) | $ | (19 | ) | $ | (25 | ) | ||||||
Net income | $ | 13,989 | $ | 20,220 | $ | 15,706 | $ | 17,706 | $ | 67,621 | ||||||||||
Basic net income per share | $ | 0.47 | $ | 0.67 | $ | 0.52 | $ | 0.58 | $ | 2.24 | ||||||||||
Diluted net income per share | $ | 0.47 | $ | 0.67 | $ | 0.52 | $ | 0.58 | $ | 2.24 | ||||||||||
(1) The fiscal year 2013 and 2012 data has been updated to reflect the reclassifications as disclosed in Note 1 - Company Overview and Basis of Presentation. |
COMPANY_OVERVIEW_AND_BASIS_OF_2
COMPANY OVERVIEW AND BASIS OF PRESENTATION (Details) | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2011 | 31-May-14 | Aug. 31, 2014 | Nov. 30, 2014 | Aug. 31, 2014 |
Country | Foreign Countries | Costa Rica | Panama [Member] | TRINIDAD AND TOBAGO | Guatemala | Dominican Republic | EL SALVADOR | HONDURAS | Colombia | BARBADOS | JAMAICA | Nicaragua | Aruba | Siapan, Micronesia | Domestic Territories | United States Virgin Islands | Anticipated amount [Member] | Anticipated amount [Member] | |
Club | Country | Club | Club | Club | Club | Club | Club | Club | Club | Club | Club | Club | Club | Club | Territory | Club | Panama [Member] | Colombia | |
Club | Club | ||||||||||||||||||
Company Overview [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Stores | 33 | ' | 6 | 4 | 4 | 3 | 3 | 2 | 3 | 3 | 1 | 1 | 1 | 1 | 1 | ' | 1 | 5 | 6 |
Number of countries | 13 | 12 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' |
COMPANY_OVERVIEW_AND_BASIS_OF_3
COMPANY OVERVIEW AND BASIS OF PRESENTATION Reclassifications and Prior Period Adjusments (Details) (USD $) | 12 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2007 | Aug. 31, 2012 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2012 | Aug. 31, 2011 | |||
Scenario, Previously Reported [Member] | Scenario, Previously Reported [Member] | Scenario, Previously Reported [Member] | Restatement Adjustment [Member] | Scenario, Adjustment [Member] | Scenario, Actual [Member] | Scenario, Actual [Member] | Scenario, Reclass [Member] | Scenario, Reclass [Member] | Foreign Currency Gain (Loss) [Member] | Foreign Currency Gain (Loss) [Member] | Foreign Currency Gain (Loss) [Member] | ||||||||
Gain (Loss) on Disposition of Property Plant Equipment, Excluding Oil and Gas Property and Timber Property | ($1,445) | ($889) | ($312) | ' | ($889) | ($312) | ' | ' | ' | ' | ' | $889 | $312 | ' | ' | ' | |||
Foreign Currency Transaction Gain (Loss), before Tax | ' | ' | ' | ' | -954 | -525 | ' | ' | ' | -954 | -525 | ' | ' | ' | ' | ' | |||
Other Nonoperating Income (Expense) | 984 | -954 | -525 | ' | -1,843 | -837 | ' | ' | ' | -954 | -525 | ' | ' | 984 | -954 | -525 | |||
Value Added Tax Reclass from short term to long term assets | ' | ' | 13,313 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Net warehouse club sales | 2,444,314 | 2,239,266 | 1,999,364 | ' | ' | 2,000,046 | ' | ' | -682 | ' | 1,999,364 | ' | ' | ' | ' | ' | |||
Other Income | ' | ' | ' | ' | ' | 8,422 | ' | ' | -4,900 | ' | 3,522 | ' | ' | ' | ' | ' | |||
Cost of Goods and Services Sold | ' | ' | ' | ' | ' | 1,704,131 | ' | ' | -2,799 | ' | 1,701,332 | ' | ' | ' | ' | ' | |||
Other Selling, General and Administrative Expense | 212,476 | 194,140 | 179,618 | ' | ' | 182,401 | ' | ' | -2,783 | ' | 179,618 | ' | ' | ' | ' | ' | |||
Operating Income (Loss) | 136,707 | 127,046 | 107,614 | ' | 127,935 | 107,926 | ' | ' | 0 | 127,046 | 107,614 | ' | ' | ' | ' | ' | |||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment Realized upon Sale or Liquidation, Net of Tax | 0 | [1] | 0 | [1] | 5,604 | [1],[2] | ' | ' | 5,600 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Comprehensive Income (Loss), Net of Tax | 85,075 | 75,972 | 57,354 | ' | ' | 3,100 | -6,400 | -3,300 | ' | ' | ' | ' | ' | ' | ' | ' | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ($49,286) | ($41,475) | ($33,182) | ($22,915) | ' | ' | ' | $8,900 | ' | ' | ' | ' | ' | ' | ' | ' | |||
[1] | 3) See Note 1 - Company Overview and Basis of Presentation. | ||||||||||||||||||
[2] | (2) See Note 12 - Derivative Instruments and Hedging Activities. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Restricted Cash (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Document Period End Date | 31-Aug-14 | ' |
Restricted Cash and Cash Equivalents, Current | $2,353 | $5,984 |
Restricted Cash and Cash Equivalents, Noncurrent | 27,013 | 34,775 |
Restricted Cash and Cash Equivalents | 29,366 | 40,759 |
Banco del Pais [Member] | Loans [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Restricted Cash and Cash Equivalents, Current | 1,200 | 1,200 |
Restricted Cash and Cash Equivalents, Noncurrent | 1,720 | 1,720 |
Banco del Pais [Member] | Land [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Restricted Cash and Cash Equivalents, Current | 0 | 3,148 |
Bank Of Colombia [Member] | Land [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Restricted Cash and Cash Equivalents, Current | 1,095 | 1,599 |
Federalregulatoryrequirements [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Restricted Cash and Cash Equivalents, Current | 58 | 37 |
Restricted Cash and Cash Equivalents, Noncurrent | 1,293 | 1,055 |
Citibank and Scotiabank [Member] | Loans [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Restricted Cash and Cash Equivalents, Noncurrent | $24,000 | $32,000 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Summary of Real Estate Joint Ventures, Variable Interest (Details) | Aug. 31, 2014 |
PANAMA | GolfPark Plaza, S.A [Member] | ' |
Schedule of Equity Method Investments [Line Items] | ' |
Equity Method Investment, Ownership Percentage | 50.00% |
Costa Rica | Price Plaza Alajuela PPA, S.A [Member] | ' |
Schedule of Equity Method Investments [Line Items] | ' |
Equity Method Investment, Ownership Percentage | 50.00% |
SUMMARY_OF_SIGNIFICANT_ACCOUNT5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Balance Sheet Location, Fair Value (Details) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 |
In Thousands, unless otherwise specified | ||
Reported Value Measurement [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt, including current portion | $91,439 | $73,020 |
Portion at Fair Value Measurement [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt, including current portion | $92,893 | $72,576 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Fair Value Hierarchy (Details) (Fair Value, Measurements, Recurring [Member], USD $) | Aug. 31, 2014 | Aug. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Fair Value, Inputs, Level 1 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Assets (Liabilities), at Fair Value, Net | $0 | $0 | ||
Fair Value, Inputs, Level 2 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Assets (Liabilities), at Fair Value, Net | 1,590 | [1] | 1,491 | [1] |
Fair Value, Inputs, Level 3 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Assets (Liabilities), at Fair Value, Net | 0 | 0 | ||
Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Assets (Liabilities), at Fair Value, Net | 1,590 | 1,491 | ||
Cross Currency Interest Rate Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Asset, Current | 0 | ' | ||
Derivative Asset, Noncurrent | 0 | 0 | ||
Cross Currency Interest Rate Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Asset, Current | 495 | [2],[3] | 0 | [2],[3] |
Derivative Asset, Noncurrent | 970 | [2],[3] | 1,505 | [2],[3] |
Cross Currency Interest Rate Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Asset, Current | 0 | ' | ||
Derivative Asset, Noncurrent | 0 | 0 | ||
Cross Currency Interest Rate Contract [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Asset, Current | 495 | ' | ||
Derivative Asset, Noncurrent | 970 | 1,505 | ||
Interest Rate Swap [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Asset, Noncurrent | 0 | ' | ||
Derivative Liability, Noncurrent | ' | 0 | ||
Interest Rate Swap [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Asset, Noncurrent | 125 | [4] | 0 | [4] |
Derivative Liability, Noncurrent | 0 | [4] | -14 | [4] |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Asset, Noncurrent | 0 | ' | ||
Derivative Liability, Noncurrent | ' | 0 | ||
Interest Rate Swap [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Asset, Noncurrent | 125 | ' | ||
Derivative Liability, Noncurrent | ' | -14 | ||
Forward Foreign Exchange Contracts [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Liability, Current | -14 | [1] | 0 | [1] |
Derivative Assets (Liabilities), at Fair Value, Net | -14 | [1] | 0 | |
Forward Foreign Exchange Contracts [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Liability, Current | 0 | [1] | 0 | [1] |
Derivative Assets (Liabilities), at Fair Value, Net | 0 | [1] | 0 | |
Forward Foreign Exchange Contracts [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Liability, Current | -14 | [1] | 0 | [1] |
Derivative Assets (Liabilities), at Fair Value, Net | -14 | [1] | 0 | [1] |
Forward Foreign Exchange Contracts [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Derivative Liability, Current | 0 | [1] | 0 | [1] |
Derivative Assets (Liabilities), at Fair Value, Net | $0 | [1] | $0 | |
[1] | (4)B DerivativesB listed on the above table were designated as cash flow hedging instruments. | |||
[2] | (2)B The Company has recorded a deferred tax liability amount with an offset to other comprehensive income of $(548,000) and $(497,000) as of AugustB 31, 2014 and AugustB 31, 2013, respectively, related to asset positions of cross-currency interest rate swaps. However, the equity effect of this deferred tax liability is offset by the full valuation allowance provided for the net deferred tax asset recorded for this subsidiary. | |||
[3] | (1)B The effective portion of the cross-currency interest rate swaps was recorded to Accumulated other comprehensive (income)/loss for $(917,000) and $(1.0) million net of tax as of AugustB 31, 2014 and AugustB 31, 2013, respectively. | |||
[4] | (3)B The effective portion of theB interest rate swapsB was recorded to Accumulated other comprehensive loss for $(94,000) and $10,000 net of tax as of AugustB 31, 2014 and AugustB 31, 2013, respectively. The Company has recorded a deferred tax (liability)/asset amount with an offset to other comprehensive income of $(31,000) and $4,000 as of AugustB 31, 2014 and AugustB 31, 2013, respectively. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Goodwill (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ' | ' |
Document Period End Date | 31-Aug-14 | ' | ' |
Goodwill | $36,108 | $36,364 | $36,886 |
Goodwill, Translation Adjustments | ($256) | ' | ' |
SUMMARY_OF_SIGNIFICANT_ACCOUNT8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Foreign Currency Translation (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2012 | Aug. 31, 2011 |
Foreign Currency Gain (Loss) | Foreign Currency Gain (Loss) | Foreign Currency Gain (Loss) | ||||
Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' |
Other Nonoperating Income (Expense) | $984 | ($954) | ($525) | $984 | ($954) | ($525) |
SUMMARY_OF_SIGNIFICANT_ACCOUNT9
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Value Added Tax Receivable (Details) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 |
Value Added Tax Receivable, Current | $3,565,000 | $5,458,000 |
Value Added Tax Receivable, Noncurrent | 17,115,000 | 12,875,000 |
Value Added Tax Receivable | 20,700,000 | 18,300,000 |
UNKNOWN COUNTRY | ' | ' |
Value Added Tax Receivable | $5,100,000 | $4,300,000 |
Recovered_Sheet1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Revenue Recognition (Details) (USD $) | 12 Months Ended |
Aug. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Platinum membership rebate | 2.00% |
Maximum Platinum Membership Rebate | $500 |
Recovered_Sheet2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Income Taxes (Details) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Aug. 31, 2014 |
Accounting Policies [Abstract] | ' |
Payments for Other Taxes | $4.20 |
PROPERTY_AND_EQUIPMENT_NET_Det
PROPERTY AND EQUIPMENT, NET (Details) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |
Property and Equipment, Net | ' | ' | ' | |
Property and equipment, historical cost | $572,374 | $471,264 | ' | |
Less: accumulated Depreciation | -146,049 | -132,786 | ' | |
Property and equipment, net | 426,325 | 338,478 | ' | |
Depreciation and Amortization Expense | ' | ' | ' | |
Depreciation and amortization expense | 28,475 | [1] | 24,444 | 23,739 |
Capitalized interest at period end | 6,542 | 5,560 | ' | |
Capitalized interest during period | 1,482 | 1,353 | 250 | |
Land [Member] | ' | ' | ' | |
Property and Equipment, Net | ' | ' | ' | |
Property and equipment, historical cost | 124,082 | 100,108 | ' | |
Building improvements | ' | ' | ' | |
Property and Equipment | ' | ' | ' | |
Property and equipment, useful life, minimum | '10 years | ' | ' | |
Property and Equipment, Net | ' | ' | ' | |
Property and equipment, historical cost | 244,485 | 228,257 | ' | |
Building improvements | End of Useful Life [Member] | ' | ' | ' | |
Property and Equipment | ' | ' | ' | |
Property and equipment, useful life, minimum | '25 years | ' | ' | |
Fixtures and equipment | ' | ' | ' | |
Property and Equipment | ' | ' | ' | |
Property and equipment, useful life, minimum | '3 years | ' | ' | |
Property and Equipment, Net | ' | ' | ' | |
Property and equipment, historical cost | 148,143 | 119,242 | ' | |
Fixtures and equipment | End of Useful Life [Member] | ' | ' | ' | |
Property and Equipment | ' | ' | ' | |
Property and equipment, useful life, minimum | '15 years | ' | ' | |
Construction in progress | ' | ' | ' | |
Property and Equipment, Net | ' | ' | ' | |
Property and equipment, historical cost | $55,664 | $23,657 | ' | |
[1] | Includes a $1.1 million error that increased expenses in the Caribbean operations and a $313,000 error that increased expenses in the Latin America operations, both of which were related to prior periods. See Note 1- Company Overview and Basis of Presentation. |
PROPERTY_AND_EQUIPMENT_NET_Dis
PROPERTY AND EQUIPMENT, NET Disposals (Details) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | |||
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' |
Significant Acquisitions and Disposals, Property, Plant and Equipment, Gross | $14,733 | $5,282 | $4,700 |
Significant Acquisitions and Disposals, Accumulated Depreciation, Impairement, Depletion and Amortization, Property, Plant and Equipment | 13,146 | 4,129 | 4,250 |
Other Costs | 0 | 0 | 0 |
Proceeds from disposal | 142 | 264 | 138 |
Gain (Loss) recognized | -1,445 | -889 | -312 |
Accounts Payable, Current | 225,761 | 199,425 | ' |
Accrued Liabilities, Current | 21,030 | 20,136 | ' |
Acquisition of Land, Honduras [Member] | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' |
Accrued Liabilities, Current | ' | 3,200 | ' |
Construction in Progress [Member] | ' | ' | ' |
Significant Acquisitions and Disposals [Line Items] | ' | ' | ' |
Accounts Payable, Current | 1,900 | ' | ' |
Accrued Liabilities, Current | $1,200 | ' | ' |
EARNINGS_PER_SHARE_Details
EARNINGS PER SHARE (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Aug. 31, 2014 | 31-May-14 | Feb. 28, 2014 | Nov. 30, 2013 | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Nov. 30, 2011 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |||||
Earnings Per Share [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Net income from continuing operations | $21,856 | $21,320 | $28,278 | $21,432 | $20,839 | [1] | $18,539 | [1] | $24,882 | [1] | $20,005 | [1] | $17,725 | $15,708 | $20,217 | $13,996 | $92,886 | $84,265 | [1] | $67,646 |
Less: Allocation of income to unvested stockholders | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,652 | -1,780 | -1,337 | |||||
Net earnings available to common stockholders from continuing operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 91,234 | 82,485 | 66,309 | |||||
Net earnings (loss) available to common stockholders from discontinued operations | ' | ' | ' | ' | ' | ' | ' | ' | ($19) | ($2) | $3 | ($7) | $0 | $0 | ($25) | |||||
Basic weighted average shares outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 29,747 | 29,647 | 29,554 | |||||
Add dilutive effect of stock options and restricted stock units (two-class method) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10 | 10 | 12 | |||||
Diluted average shares outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 29,757 | 29,657 | 29,566 | |||||
Basic income per share from continuing operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3.07 | $2.78 | $2.24 | |||||
Diluted income per share from continuing operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3.07 | $2.78 | $2.24 | |||||
Basic income (loss) per share from discontinued operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 | $0 | $0 | |||||
Diluted income (loss) per share from discontinued operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 | $0 | $0 | |||||
[1] | (1) The fiscal year 2013 and 2012 data has been updated to reflect the reclassifications as disclosed in Note 1 - Company Overview and Basis of Presentation. |
STOCKHOLDERS_EQUITY_Dividends_
STOCKHOLDERS EQUITY Dividends (Details) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||
Jan. 23, 2014 | Nov. 27, 2012 | Jan. 25, 2012 | Aug. 31, 2014 | Feb. 28, 2014 | Aug. 31, 2013 | Feb. 28, 2013 | Aug. 31, 2012 | Feb. 29, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |
Dividends [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Declared Amount (dollars per share) | $0.70 | $0.60 | $0.60 | ' | ' | ' | ' | ' | ' | $0.70 | $0.60 | $0.60 |
Payment Amount (dollars per share) | ' | ' | ' | $0.35 | $0.35 | $0.30 | $0.30 | $0.30 | $0.30 | ' | ' | ' |
STOCKHOLDERS_EQUITY_Comprehens
STOCKHOLDERS EQUITY Comprehensive Income (Loss) (Details) (USD $) | 12 Months Ended | ||||||
Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | ||||
Other Comprehensive Income or Loss: | ' | ' | ' | ' | |||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | ($50,410,000) | ($42,321,000) | ($31,962,000) | ($21,894,000) | |||
Accumulated Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net of Tax | 113,000 | -152,000 | -74,000 | -273,000 | |||
Accumulated Other Comprehensive Income (Loss), Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax | 1,011,000 | 998,000 | -1,146,000 | -748,000 | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | -49,286,000 | -41,475,000 | -33,182,000 | -22,915,000 | |||
Foreign currency translation differences for foreign operations | -8,089,000 | [1] | -10,359,000 | [1] | -1,187,000 | [1] | ' |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net Unamortized Gain (Loss) Arising During Period, Net of Tax | 260,000 | -68,000 | 185,000 | ' | |||
Change in fair value of interest rate swaps, net of tax | 101,000 | [2],[3] | 2,144,000 | [2],[3] | -398,000 | [2],[3] | ' |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | -7,728,000 | -8,283,000 | -1,400,000 | ' | |||
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, Net of Tax | 5,000 | [4] | -10,000 | [4] | 14,000 | [4] | ' |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | -88,000 | [2],[3],[5] | 0 | [2] | 0 | [2] | ' |
Other Comprehensive Income (Loss), Reclassification Adjustment From AOCI, net of Tax | -83,000 | -10,000 | 14,000 | ' | |||
Foreign currency translation differences for merger of foreign operations | 0 | [6] | 0 | [6] | -5,604,000 | [2],[6] | ' |
Correction of foreign currency translations for prior years related to foreign operations affecting Property and equipment, net (3) | 0 | [6] | 0 | [6] | -3,277,000 | [2],[6] | ' |
Restatement Adjustment [Member] | ' | ' | ' | ' | |||
Other Comprehensive Income or Loss: | ' | ' | ' | ' | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ' | ' | 8,900,000 | ' | |||
Foreign currency translation differences for foreign operations | ' | ' | ($8,881,000) | [7] | ' | ||
[1] | (1) Translation adjustments arising in translating the financial statements of a foreign entity have no effect on the income taxes of that foreign entity. They may, however, affect: (a) the amount, measured in the parent entity's reporting currency, of withholding taxes assessed on dividends paid to the parent entity and (b) the amount of taxes assessed on the parent entity by the government of its country. The Company has determined that the reinvestment of earnings of its foreign subsidiaries are indefinite because of the long-term nature of the Company's foreign investment plans. Therefore, deferred taxes are not provided for on translation adjustments related to unremitted earnings of the Company's foreign subsidiaries. | ||||||
[2] | (2) See Note 12 - Derivative Instruments and Hedging Activities. | ||||||
[3] | (2) See Note 12 - Derivative Instruments and Hedging Activities | ||||||
[4] | (3)B Amounts reclassified from accumulated other comprehensive income (loss) related to the minimum pension liability are included in warehouse club operations in the Company's Consolidated Statements of Income. | ||||||
[5] | (4)B Amounts reclassified from accumulated other comprehensive income (loss) for settlement of derivative instruments are included in other income (expense), net in the Company's Consolidated Statements of Income. | ||||||
[6] | 3) See Note 1 - Company Overview and Basis of Presentation. | ||||||
[7] | (1) Includes $5.6 million to record foreign currency translation differences for a 2012 merger of a real estate subsidiary with an operating subsidiary and $3.3 million to correct foreign currency translations for prior years related to a 2007 merger of a real estate subsidiary with an operating subsidiary and other matters. See Note 1- Company Overview and Basis of Presentation for details |
STOCKHOLDERS_EQUITY_Retained_E
STOCKHOLDERS EQUITY Retained Earnings not available for Distribution (Details) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 |
In Thousands, unless otherwise specified | ||
Retained Earnings [Abstract] | ' | ' |
Retained Earnings, Appropriated | $4,556 | $4,171 |
STOCKHOLDERS_EQUITY_Preferred_
STOCKHOLDERS EQUITY Preferred Stock (Details) (USD $) | Oct. 29, 2004 |
Equity [Abstract] | ' |
Preferred Stock, Shares Authorized | 2,000,000 |
Preferred Stock, Par or Stated Value Per Share | $0.00 |
RETIREMENT_PLAN_Defined_Contri
RETIREMENT PLAN Defined Contribution Plan (Details) (USD $) | 12 Months Ended | 12 Months Ended | ||||||||||||||||||
Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |
D | Pension Plans, Defined Benefit [Member] | Pension Plans, Defined Benefit [Member] | Pension Plans, Defined Benefit [Member] | Pension Plans, Defined Benefit [Member] | Pension Plans, Defined Benefit [Member] | Pension Plans, Defined Benefit [Member] | Pension Plans, Defined Benefit [Member] | Pension Plans, Defined Benefit [Member] | Pension Plans, Defined Benefit [Member] | Pension Plans, Defined Benefit [Member] | United States Employees [Domain] | United States Employees [Domain] | United States Employees [Domain] | Foreign Employees [Domain] | Foreign Employees [Domain] | Foreign Employees [Domain] | ||||
Other Liabilities [Member] | Other Liabilities [Member] | Accumulated other comprehensive loss [Member] | Accumulated other comprehensive loss [Member] | Operating Expense [Member] | Operating Expense [Member] | Operating Expense [Member] | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), after Tax | ' | ' | ' | ' | ($148,000) | $204,000 | $99,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Defined Contribution Pension and Other Postretirement Plans Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
MinimumNumberOfDaysOfEmploymentToQualifyForRetirementPlan | 90 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum contribution rate of annual eligible earnings to be matched under 401(k) plans | 4.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Defined Contribution Plan, Cost Recognized | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,200,000 | 1,100,000 | 1,000,000 | 1,500,000 | 969,000 | 843,000 |
Document Fiscal Year Focus | '2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other Long-Term Liability, Start of Period | -589,000 | ' | ' | ' | -589,000 | -396,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Service cost | ' | ' | ' | ' | ' | ' | ' | -114,000 | -83,000 | 0 | 0 | 114,000 | 91,000 | 140,000 | ' | ' | ' | ' | ' | ' |
Interest cost | ' | ' | ' | ' | ' | ' | ' | -14,000 | -17,000 | 0 | 0 | 14,000 | 17,000 | 31,000 | ' | ' | ' | ' | ' | ' |
Prior service cost (including amortization) | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | -15,000 | -15,000 | 15,000 | 15,000 | 14,000 | ' | ' | ' | ' | ' | ' |
Actuarial gains (losses) | ' | ' | ' | ' | ' | ' | ' | 345,000 | -93,000 | -337,000 | 120,000 | -8,000 | -27,000 | 0 | ' | ' | ' | ' | ' | ' |
Other Long-Term Liability, End of Period | -372,000 | ' | ' | ' | -372,000 | -589,000 | -396,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accumulated Other Comprehensive Loss, End of Period | 113,000 | -152,000 | -74,000 | -273,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Defined Benefit Plan, Net Periodic Benefit Cost | ' | ' | ' | ' | 135,000 | 96,000 | 185,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred tax asset on defined benefit plan | ($35,000) | $52,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Discount rate | 1.50% | 2.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Future salary escalation | 5.00% | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of employees assumed to withdraw from Company without a benefit (bturnoverb) | 17.00% | 11.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of employees assumed to withdraw from Company with a benefit (bdisabilityb) | 0.50% | 0.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
STOCK_BASED_COMPENSATION_Stock
STOCK BASED COMPENSATION Stock compensation expense (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Common Stock, Shares Authorized | 45,000,000 | 45,000,000 | ' |
Options granted to directors | $91 | $113 | $107 |
Restricted stock awards | 5,326 | 5,268 | 4,834 |
Restricted stock units | 1,034 | 921 | 528 |
Stock-based compensation expense | 6,451 | 6,302 | 5,469 |
Remaining unrecognized compensation cost (in thousands) | 21,196 | 25,450 | 25,543 |
Weighted average period of time over which this cost will be recognized (years) | '6 years | '7 years | '8 years |
Excess tax benefit (deficiency) on stock-based compensation (in thousands) | 1,489 | 1,336 | 1,438 |
Restricted stock awards and units granted | $105.76 | $80.79 | $67.26 |
Restricted stock awards and units vested | $39.91 | $39.33 | $23.46 |
Restricted stock awards and units forfeited | $54.21 | $30.88 | $29.30 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Total Fair Value | 13,797 | 10,673 | 8,812 |
Treasury Stock, Shares, Acquired | 50,898 | 44,460 | 46,373 |
Treasury Stock, Value, Acquired, Cost Method | $4,773 | $3,467 | $3,154 |
Stock Issued During Period, Shares, Treasury Stock Reissued | 0 | 0 | 196,850 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 23,000 | 28,000 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ' | ' | ' |
Grants outstanding at beginning of period | 623,424 | 700,893 | 436,611 |
Granted | 14,828 | 62,046 | 399,041 |
Forfeited | -2,669 | -3,021 | -5,230 |
Vested | -147,167 | -136,494 | -129,529 |
Grants outstanding at end of period | 488,416 | 623,424 | 700,893 |
2013 Equity Incentive Award Plan [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 838,766 | 600,000 | ' |
Common Stock, Shares Authorized | ' | 1,531,818 | ' |
Common Stock, Capital Shares Reserved for Future Issuance | 821,124 | 782,385 | ' |
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Details) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2014 |
Distribution Center Services in Mexico [Member] | |||
Loss Contingencies [Line Items] | ' | ' | ' |
Accrual for Taxes Other than Income Taxes, Current | $3,100,000 | $2,900,000 | ' |
Contractual Obligation | 14,100,000 | ' | ' |
Land under Purchase Options, Not Recorded | 31,700,000 | ' | ' |
Long-term Purchase Commitment, Time Period | ' | ' | 'P3Y |
Purchase Commitment, Remaining Minimum Amount Committed | ' | ' | $42,000 |
INCOME_TAXES_Income_by_Jurisdi
INCOME TAXES - Income by Jurisdiction (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
United States | $34,927 | $30,377 | $38,121 |
Foreign | 99,322 | 92,834 | 64,593 |
Income from continuing operations before provision for income taxes and loss of unconsolidated affiliates | $134,249 | $123,211 | $102,714 |
INCOME_TAXES_Components_of_Tax
INCOME TAXES - Components of Tax Expense (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 |
Current: | ' | ' | ' |
U.S. | $11,921 | $7,214 | $7,593 |
Foreign | 29,120 | 29,054 | 26,325 |
Total | 41,041 | 36,268 | 33,918 |
Deferred: | ' | ' | ' |
U.S. | 613 | 3,257 | 1,853 |
Foreign | -381 | -402 | -1,031 |
Valuation allowance charge (release) | 99 | -181 | 313 |
Total | 331 | 2,674 | 1,135 |
Provision for income taxes | $41,372 | $38,942 | $35,053 |
INCOME_TAXES_Tax_Rate_Reconcil
INCOME TAXES - Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |
Reconciliation of Income Tax Rate | ' | ' | ' |
Federal tax provision at statutory rates | 35.00% | 35.00% | 35.00% |
State taxes, net of federal benefit | 0.30% | 0.30% | 0.30% |
Differences in foreign tax rates | -5.20% | -3.70% | -3.60% |
Permanent items and other adjustments | 0.80% | 0.20% | 2.10% |
Increase (decrease) in Foreign valuation allowance | -0.10% | -0.20% | 0.30% |
Provision for income taxes | 30.80% | 31.60% | 34.10% |
INCOME_TAXES_Components_of_Def
INCOME TAXES - Components of Deferred Tax Assets (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 |
Deferred tax assets: | ' | ' |
U.S. net operating loss carryforward | $5,977 | $7,379 |
Foreign tax credits | 862 | 2,096 |
Deferred compensation | 1,621 | 2,087 |
Deferred Tax Assets, Tax Credit Carryforwards, Domestic Other and Alternative Minimum Tax | 2,647 | 1,708 |
Foreign deferred taxes net operating losses | 7,169 | 7,137 |
Total deferred tax assets | 30,772 | 34,147 |
Deferred tax liabilities, domestic depreciation and other timing differences | -2,354 | -3,216 |
Foreign deferred tax liabilities net | -2,066 | -1,638 |
U.S. valuation allowance | -613 | -700 |
Foreign valuation allowance | -7,737 | -9,432 |
Net deferred tax assets | 18,002 | 19,161 |
Accrued Liabilities [Member] | ' | ' |
Deferred tax assets: | ' | ' |
Foreign deferred taxes other timing differences | 2,935 | 5,179 |
depreciaton and amortization [Member] | ' | ' |
Deferred tax assets: | ' | ' |
Foreign deferred taxes other timing differences | 5,873 | 5,027 |
deferred income [Member] | ' | ' |
Deferred tax assets: | ' | ' |
Foreign deferred taxes other timing differences | $3,688 | $3,534 |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 |
Income Tax Contingency [Line Items] | ' | ' | ' |
Deferred tax liabilities arising from timing differences in certain subsidiaries | $2.40 | $2.70 | ' |
Provision for income taxes, percentage | 30.80% | 31.60% | 34.10% |
Deferred tax assets, net, foreign | 9.9 | 9.8 | ' |
Operating loss carryforwards (NOLs), annual limitation amount | 3.5 | ' | ' |
Deferred tax liabilities, undistributed foreign earnings | 326.9 | 254.8 | ' |
Federal and State Jurisdicition | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' |
Operating loss carryforwards (NOLs) | $15.30 | $7.60 | ' |
decrease in taxable losses [Member] [Member] | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' |
Effective income tax rate change | 0.90% | ' | ' |
INCOME_TAXES_Unrecognized_Tax_
INCOME TAXES - Unrecognized Tax Benefits (Details) (USD $) | 12 Months Ended | ||
Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |
Reconciliation of the Beginning and Ending Amount of Unrecognized Tax Benefits | ' | ' | ' |
Balance at beginning of fiscal year | $9,373,000 | $11,212,000 | $13,528,000 |
Additions based on tax positions related to the current year | 964,000 | 349,000 | 575,000 |
Settlements | -1,093,000 | -191,000 | -591,000 |
Expirations of the statute of limitations for the assessment of taxes | -458,000 | -1,997,000 | -2,300,000 |
Balance at end of fiscal year | 8,786,000 | 9,373,000 | 11,212,000 |
Deferred income taxes that could reduce unrecognized tax benefits | 7,800,000 | ' | ' |
Unrecognized tax benefitt, net amount if recongized would favorably affect the effective tax rate | 1,000,000 | ' | ' |
Expected change in unrecognized tax benefits reduction of taxes payable | 644,000 | ' | ' |
Income tax interest and/or penalties accrued | $899,000 | $800,000 | ' |
DEBT_Shortterm_Details
DEBT - Short-term (Details) (USD $) | 12 Months Ended | |
Aug. 31, 2014 | Aug. 31, 2013 | |
Line of Credit Facility [Line Items] | ' | ' |
Total Amount of Facilities | $61,869,000 | $35,863,000 |
Facilities Available | 61,433,000 | 35,275,000 |
Line of Credit Facility, Increase (Decrease), Net | 15,000,000 | ' |
Short-term Borrowings | ' | ' |
Line of Credit Facility [Line Items] | ' | ' |
Facilities Used | 0 | 0 |
Letters of Credit | ' | ' |
Line of Credit Facility [Line Items] | ' | ' |
Facilities Used | 436,000 | 588,000 |
Colombia Subsidiary [Member] | ' | ' |
Line of Credit Facility [Line Items] | ' | ' |
Line of Credit Facility, Maximum Borrowing Capacity | $10,900,000 | ' |
DEBT_Longterm_Details
DEBT - Long-term (Details) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | $91,439,000 | [1] | $73,020,000 | [2] |
Less: current portion | 11,848,000 | 12,757,000 | ||
Long-term debt, net of current portion | 79,591,000 | 60,263,000 | ||
Credit facility current borrowing capacity | 61,869,000 | 35,863,000 | ||
Debt Instrument, collateral, non-cash | 84,200,000 | 55,200,000 | ||
Debt instrument, collateral, cash | 24,600,000 | 33,800,000 | ||
Long term debt with balloon payment [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | 11,733,000 | 23,442,000 | ||
Cross Currency Interest Rate Contract [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | 22,532,000 | 30,346,000 | ||
Interest Rate Swap [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | 28,200,000 | 6,525,000 | ||
Long-term Debt [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | 28,974,000 | 12,707,000 | ||
Regularly scheduled loan payments [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | -8,351,000 | ' | ||
Less: current portion | -2,102,000 | ' | ||
Long-term debt, net of current portion | ' | -6,249,000 | ||
Reclassifications of long-term debt [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | 0 | ' | ||
Less: current portion | 2,567,000 | ' | ||
Long-term debt, net of current portion | ' | -2,567,000 | ||
Complies with Financial convenants [Member] | Group of Subsidiaries | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | 62,500,000 | 55,900,000 | ||
PANAMA | Proceeds from long-term debt [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | 24,000,000 | ' | ||
Less: current portion | 2,400,000 | ' | ||
Long-term debt, net of current portion | 21,600,000 | ' | ||
PANAMA | Repayments of long-term debt [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | -3,208,000 | ' | ||
Less: current portion | -500,000 | ' | ||
Long-term debt, net of current portion | ' | -2,708,000 | ||
HONDURAS | Proceeds from long-term debt [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | 13,734,000 | ' | ||
Less: current portion | 0 | ' | ||
Long-term debt, net of current portion | 13,734,000 | ' | ||
EL SALVADOR | Proceeds from long-term debt [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | 4,208,000 | ' | ||
Less: current portion | 800,000 | ' | ||
Long-term debt, net of current portion | 3,408,000 | ' | ||
EL SALVADOR | Repayments of long-term debt [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | -4,066,000 | ' | ||
Less: current portion | -4,066,000 | ' | ||
Long-term debt, net of current portion | ' | 0 | ||
Colombia Subsidiary [Member] | Repayments of long-term debt [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | -8,131,000 | ' | ||
Less: current portion | 0 | ' | ||
Long-term debt, net of current portion | ' | -8,131,000 | ||
Other Comprehensive Income Location [Domain] | Reclassifications of long-term debt [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Long-term Debt | 233,000 | [3] | ' | |
Less: current portion | -8,000 | [3] | ' | |
Long-term debt, net of current portion | ' | $241,000 | [3] | |
[1] | (2)B These foreign currency translation adjustments are recorded within other comprehensive income.(3)B The carrying amount of cash assets assigned as collateral for this total was $24.6 million, and the carrying amount of non-cash assets assigned as collateral for this total was $84.2 million. | |||
[2] | (1) The carrying amount of cash assets assigned as collateral for this total was $33.8 million, and the carrying amount of non-cash assets assigned as collateral for this total was $55.2 million. | |||
[3] | (2)B These foreign currency translation adjustments are recorded within other comprehensive income. |
DEBT_Annual_Maturities_Details
DEBT - Annual Maturities (Details) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Maturities of long-term debt | ' | ' | ||
2014 | $11,848 | ' | ||
2015 | 25,931 | ' | ||
2016 | 16,075 | ' | ||
2017 | 8,483 | ' | ||
2018 | 18,765 | ' | ||
Thereafter | 10,337 | ' | ||
Long-term Debt | $91,439 | [1] | $73,020 | [2] |
[1] | (2)B These foreign currency translation adjustments are recorded within other comprehensive income.(3)B The carrying amount of cash assets assigned as collateral for this total was $24.6 million, and the carrying amount of non-cash assets assigned as collateral for this total was $84.2 million. | |||
[2] | (1) The carrying amount of cash assets assigned as collateral for this total was $33.8 million, and the carrying amount of non-cash assets assigned as collateral for this total was $55.2 million. |
LEASES_Leased_Property_Details
LEASES - Leased Property (Details) | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 3 Months Ended | |||||||||||||||||||||||||
Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Aug. 31, 2014 | Nov. 30, 2014 | Nov. 30, 2014 | |||||
sqft | Salitre, Colombia [Member] | Via Brazil, Panama | Miraflores, Guatemala | Pradera, Guatemala | Tegucigalpa, Honduras | Oranjestad, Aruba | Port of Spain, Trinidad | St. Thomas, U.S.V.I. | Barbados | Barbados | Chaguanas, Trinidad | Chaguanas, Trinidad | JAMAICA | JAMAICA | Santo Domingo, Dominican Republic | Bogota, Columbia | San Diego, California [Member] | Miami, Florida [Member] | PANAMA | PANAMA | PANAMA | Costa Rica | Costa Rica | TRINIDAD AND TOBAGO | TRINIDAD AND TOBAGO | Lease Agreements [Member] | Lease Agreements [Member] | |||||
Club | Warehouse Club | Warehouse Club | Warehouse Club | Warehouse Club | Warehouse Club | Warehouse Club | Warehouse Club | Warehouse Club | Club | Storage Facility | Employee Parking | Container Parking | Club | Storage Facility | Central Offices | Central Offices | Corporate Headquarters [Member] | Distribution Facility [Member] | Club | Central Offices | Storage and Distribution Facility | Club | Storage and Distribution Facility | Club | Storage and Distribution Facility | San Diego, California [Member] | Miami, Florida [Member] | |||||
sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | sqft | Corporate Headquarters [Member] | Distribution Facility [Member] | |||||||||||
sqft | sqft | |||||||||||||||||||||||||||||||
Operating Leased Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Number of Stores | 33 | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | 1 | ' | ' | ' | ' | ' | 4 | ' | ' | 6 | ' | 4 | ' | ' | ' | ||||
Document Fiscal Year Focus | '2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Square footage of club warehouse | 2,294,820 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Square Footage of Leased Real Estate Property | 420,647 | 0 | [1] | 68,696 | 66,059 | 48,438 | 64,735 | 64,627 | 54,046 | 54,046 | ' | 12,517 | 4,944 | 65,340 | ' | 17,000 | 2,002 | 7,812 | 39,225 | [2] | 274,652 | [3] | ' | 0 | [4] | 25,690 | ' | 37,674 | ' | 17,110 | 3,802 | 26,400 |
Remaining Opition(s) to Extend | ' | '20 years | '10 years | '5 years | ' | ' | '10 years | ' | '10 years | ' | '3 years | ' | ' | ' | '3 years | '1 year | ' | '5 years | '10 years | ' | '15 years | ' | ' | '3 years | ' | ' | ' | ' | ||||
[1] | (1)B For the fiscal year 2014, the Company recorded expenses related to the property lease for the new club planned for Bogota, Colombia ("Salitre") as pre-opening expenses. The Company will continue to record the monthly lease expense for this land in pre-opening expenses while the warehouse club is under construction. Upon opening, these expenses will be recognized in warehouse club operations expense. | |||||||||||||||||||||||||||||||
[2] | (3)B In September 2014, the Company executed a third amendment to include an additional 3,802 square feet of space and an extension on the term of the existing premises at its corporate headquarters. This additional space is not included within the above table. | |||||||||||||||||||||||||||||||
[3] | (4)B In September 2014, the Company executed a second amendment to include an additional 26,400 square feet of space at its primary distribution center in Miami. This additional space is not included within the above table. | |||||||||||||||||||||||||||||||
[4] | in warehouse club operations expense.(2)B The Company opened this location on October 29, 2014. |
LEASES_Rent_Expense_Details
LEASES - Rent Expense (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 |
Leases [Abstract] | ' | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Operating leases, rent expense | ' | ' | ' |
Minimum rental payments | $7,952 | $7,584 | $7,251 |
Deferred rent accurals | 1,514 | 104 | 193 |
Operating Leases, Rent Expense, Straight Line Rent Expense | 9,466 | 7,688 | 7,444 |
Contingent rental payments | 3,220 | 2,950 | 2,623 |
Common area maintenance expense | 1,212 | 1,074 | 865 |
Rent expense | $13,898 | $11,712 | $10,932 |
LEASES_Future_Minimum_Expense_
LEASES - Future Minimum Expense (Details) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | ||||
Aug. 31, 2014 | Aug. 31, 2014 | Nov. 30, 2014 | Aug. 31, 2014 | Nov. 30, 2014 | ||||
sqft | Corporate Headquarters [Member] | Corporate Headquarters [Member] | Distribution Facility [Member] | Distribution Facility [Member] | ||||
San Diego, California [Member] | Lease Agreements [Member] | Miami, Florida [Member] | Lease Agreements [Member] | |||||
sqft | San Diego, California [Member] | sqft | Miami, Florida [Member] | |||||
sqft | sqft | |||||||
Operating Leased Assets [Line Items] | ' | ' | ' | ' | ' | |||
Sub-lease income | $517,000 | ' | ' | ' | ' | |||
Square Footage of Leased Real Estate Property | 420,647 | 39,225 | [1] | 3,802 | 274,652 | [2] | 26,400 | |
Future minimum expense | ' | ' | ' | ' | ' | |||
2014 | 9,156,000 | [3] | ' | ' | ' | ' | ||
2015 | 8,468,000 | [3] | ' | ' | ' | ' | ||
2016 | 9,429,000 | [3] | ' | ' | ' | ' | ||
2017 | 9,411,000 | [3] | ' | ' | ' | ' | ||
2018 | 9,129,000 | [3] | ' | ' | ' | ' | ||
Thereafter | 89,988,000 | [3] | ' | ' | ' | ' | ||
Total | $135,581,000 | [3],[4] | ' | $11,800,000 | ' | $1,000,000 | ||
[1] | (3)B In September 2014, the Company executed a third amendment to include an additional 3,802 square feet of space and an extension on the term of the existing premises at its corporate headquarters. This additional space is not included within the above table. | |||||||
[2] | (4)B In September 2014, the Company executed a second amendment to include an additional 26,400 square feet of space at its primary distribution center in Miami. This additional space is not included within the above table. | |||||||
[3] | (1)B Operating lease obligations have been reduced by approximately $517,000 to reflect sub-lease income. Certain obligations under leasing arrangements are collateralized by the underlying asset being leased | |||||||
[4] | (2)B The future minimum lease commitments have been reduced by approximately $517,000 to reflect the amounts net of sublease income. Additionally, during September 2014, the Company executed an amendment to include an additional 3,802 square feet of space and an extension on the term through May 2026 of the existing premises at the Company's corporate headquarters, adding lease obligations of approximately $11.8 million. In September 2014, the Company also executed an amendment to include an additional 26,400 square feet of space at its primary distribution center in Miami, adding lease obligations of approximately $1.0 million. The lease obligations for these two lease amendments are not included within the above table. |
LEASES_Rent_Income_Details
LEASES - Rent Income (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 |
Leases [Abstract] | ' | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Operating leases, rental income | ' | ' | ' |
Minimum lease receipts | $2,646 | $2,620 | $2,629 |
Deferred rent accruals | 187 | 26 | -69 |
Total straight line rent income | 2,833 | 2,646 | 2,560 |
Contingent rental receipts | 59 | 98 | 111 |
Common maintenance area income | 129 | 117 | 109 |
Rental income | $3,021 | $2,861 | $2,780 |
LEASES_Future_Minimum_Income_D
LEASES - Future Minimum Income (Details) (USD $) | Aug. 31, 2014 |
In Thousands, unless otherwise specified | |
Future minimum income | ' |
2014 | $2,643 |
2015 | 2,206 |
2016 | 1,317 |
2017 | 1,055 |
2018 | 853 |
Thereafter | 6,763 |
Total | $14,837 |
DERIVATIVE_INSTRUMENTS_AND_HED2
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES Derivative Instruments and Hedging Activities (Details) (USD $) | 12 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||
Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Dec. 11, 2012 | Feb. 21, 2012 | Nov. 17, 2011 | 5-May-11 | Nov. 20, 2008 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2014 | Aug. 31, 2013 | Oct. 21, 2011 | Aug. 01, 2014 | 22-May-14 | Oct. 21, 2011 | 22-May-14 | |||||||||||
Interest Rate Swap [Member] | Interest Rate Swap [Member] | Cross Currency Interest Rate Contract [Member] | Cross Currency Interest Rate Contract [Member] | Forward Foreign Exchange Contracts [Member] | Forward Foreign Exchange Contracts [Member] | Forward Foreign Exchange Contracts [Member] | RBTT [Member] | RBTT [Member] | Scotiabank [Member] | Scotiabank [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Measurements, Recurring [Member] | Colombia $6M Cross Currency Interest Rate Swap [Member] | Panama $5M Interest Rate Swap [Member] | Panama $20M Interest Rate Swap [Member] | Colombia $2M Cross currency interest rate swap [Member] | Panama $4M Interest Rate Swap [Member] | |||||||||||||||||||
Forward Foreign Exchange Contracts [Member] | Forward Foreign Exchange Contracts [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Inputs, Level 2 [Member] | |||||||||||||||||||||||||||||||||||
Interest Rate Swap [Member] | Interest Rate Swap [Member] | Cross Currency Interest Rate Contract [Member] | Cross Currency Interest Rate Contract [Member] | Forward Foreign Exchange Contracts [Member] | Forward Foreign Exchange Contracts [Member] | |||||||||||||||||||||||||||||||||||||||
Derivative [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Derivative Liability, Current | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($14,000) | [1] | $0 | [1] | ' | ' | ' | ' | ' | ' | ($14,000) | [1] | $0 | [1] | ' | ' | ' | ' | ' | ||||||
Derivative Asset, Current | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 495,000 | [2],[3] | 0 | [2],[3] | ' | ' | ' | ' | ' | ' | ' | ||||||||
Derivative Asset, Noncurrent | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -125,000 | [4] | 0 | [4] | -970,000 | [2],[3] | -1,505,000 | [2],[3] | ' | ' | ' | ' | ' | ' | ' | ||||||
Derivative Liability, Noncurrent | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | [4] | -14,000 | [4] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Document Fiscal Year Focus | '2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Derivative Assets (Liabilities), at Fair Value, Net | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -14,000 | [1] | 0 | 1,590,000 | [1] | 1,491,000 | [1] | ' | ' | ' | ' | -14,000 | [1] | 0 | [1] | ' | ' | ' | ' | ' | |||||
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | ' | ' | ' | ' | ' | ' | ' | ' | -94,000 | 10,000 | -917,000 | -1,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Other Comprehensive Income (Loss), Tax | ' | ' | ' | ' | ' | ' | ' | ' | -31,000 | 4,000 | -548,000 | -497,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Deferred Tax Assets, Net of Valuation Allowance, Noncurrent | 11,825,000 | 12,871,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Derivative, Fixed Interest Rate | ' | ' | ' | 4.79% | 6.02% | 5.85% | 6.09% | 7.05% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.45% | 4.89% | 4.98% | 5.30% | 4.98% | ||||||||||
Derivative, Notional Amount | ' | ' | ' | 8,000,000 | 8,000,000 | 8,000,000 | 8,000,000 | 8,900,000 | ' | ' | ' | ' | 3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,000,000 | 5,000,000 | 19,800,000 | 2,000,000 | 3,970,000 | ||||||||||
interest expense (variable) on borrowings for derivatives | 674,000 | 739,000 | 767,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Gain (Loss) on Derivative Instruments, Net, Pretax | 1,632,000 | 1,821,000 | 1,356,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | -463,000 | -580,000 | -73,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
interest expense (fixed) on borrowings of derivatives | 2,306,000 | 2,560,000 | 2,123,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Derivative Liability, Notional Amount | $60,200,000 | $44,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 | $4,500,000 | $60,200,000 | $40,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
[1] | (4)B DerivativesB listed on the above table were designated as cash flow hedging instruments. | |||||||||||||||||||||||||||||||||||||||||||
[2] | (2)B The Company has recorded a deferred tax liability amount with an offset to other comprehensive income of $(548,000) and $(497,000) as of AugustB 31, 2014 and AugustB 31, 2013, respectively, related to asset positions of cross-currency interest rate swaps. However, the equity effect of this deferred tax liability is offset by the full valuation allowance provided for the net deferred tax asset recorded for this subsidiary. | |||||||||||||||||||||||||||||||||||||||||||
[3] | (1)B The effective portion of the cross-currency interest rate swaps was recorded to Accumulated other comprehensive (income)/loss for $(917,000) and $(1.0) million net of tax as of AugustB 31, 2014 and AugustB 31, 2013, respectively. | |||||||||||||||||||||||||||||||||||||||||||
[4] | (3)B The effective portion of theB interest rate swapsB was recorded to Accumulated other comprehensive loss for $(94,000) and $10,000 net of tax as of AugustB 31, 2014 and AugustB 31, 2013, respectively. The Company has recorded a deferred tax (liability)/asset amount with an offset to other comprehensive income of $(31,000) and $4,000 as of AugustB 31, 2014 and AugustB 31, 2013, respectively. |
RELATEDPARTY_TRANSACTIONS_Rela
RELATED-PARTY TRANSACTIONS Related Party Transactions (Details) (USD $) | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||||
Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | 31-May-14 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | 31-May-13 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2011 | Aug. 31, 2014 | |
sqft | La jolla aviation | La jolla aviation | La jolla aviation | Aseprismar | Aseprismar | Aseprismar | Edgar Zurcher Law Firm | Edgar Zurcher Law Firm | Edgar Zurcher Law Firm | Edgar Zurcher Law Firm | Payless ShoeSource Holdings, Ltd. | Payless ShoeSource Holdings, Ltd. | Payless ShoeSource Holdings, Ltd. | Molinos de Costa Rica Pasta | Molinos de Costa Rica Pasta | Molinos de Costa Rica Pasta | Roma S.A. dba Roma Prince S.A. | Roma S.A. dba Roma Prince S.A. | Roma S.A. dba Roma Prince S.A. | Office Depot Panama | Office Depot Panama | Office Depot Panama | Office Depot Panama | Office Depot Panama | Price Charities | Price Charities | Price Charities | Aprender y Crecer | Mitchell G. Lynn | Mitchell G. Lynn | Mitchell G. Lynn | ECR4Kids (ECR) | ECR4Kids (ECR) | ECR4Kids (ECR) | Joint Venture Golf Park Plaza S.A [Member] | Joint Venture Golf Park Plaza S.A [Member] | Joint Venture Golf Park Plaza S.A [Member] | PANAMA | |||
sqft | Office Depot Panama | Office Depot Panama | Office Depot Panama | GolfPark Plaza, S.A | |||||||||||||||||||||||||||||||||||||
sqft | sqft | ||||||||||||||||||||||||||||||||||||||||
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Square Footage of Leased Real Estate Property | 420,647 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 17,976 |
Square Meters of Leased Real Estate Property | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,670 |
Related Party Transaction, Expenses from Transactions with Related Party | ' | ' | ' | ($59,000) | ($31,000) | ($31,000) | ' | ' | ' | ($27,000) | ($14,000) | ($26,000) | ' | ' | ' | ' | ($461,000) | ($409,000) | ($367,000) | ($1,300,000) | ($1,300,000) | ($1,400,000) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($157,000) | ($381,000) | ($285,000) | ($3,000) | ($16,000) | ($1,000) | ' | ' | ' | ' |
Realted Party, Ownership Percentage in Unaffiliated Entity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other Revenue Net | 3,911,000 | 3,667,000 | 3,522,000 | ' | ' | ' | 48,000 | 42,000 | 37,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Freight Costs | ' | ' | ' | ' | ' | ' | -17,000 | -27,000 | -12,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Related Party Transaction, Revenues from Transactions with Related Party | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,400,000 | 1,500,000 | 1,400,000 | ' | ' | ' | ' | ' | ' | 261,000 | 256,000 | 252,000 | ' | ' | 210,000 | 189,000 | 98,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Square Footage of Real Estate Property | 2,294,820 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 28,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 26,000 | ' |
Sale Leaseback Transaction, Initial Deposit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 545,000 | ' |
Sale Leaseback Transaction, Additional Deposit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 436,000 | ' |
Sale Leaseback Transaction, Lease Agreement Period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '365 days | ' |
Sale Leaseback Transaction, Other Payments Required | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 109,000 | ' |
Sale Leaseback Transaction, Monthly Rental Payments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000 | ' |
Proceeds from Sale of Land Held-for-use | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating Leases, Term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '30 years | '15 years |
Related Party Transaction, Due from (to) Related Party, Current | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale Leaseback Transaction, Rent Expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12,000 | 12,000 | ' | ' |
Lessee Leasing Arrangements, Operating Leases, Renewal Term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years |
Operating Leases, Rent Expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,800 |
Operating Leases, Rent Expense, Net | $13,898,000 | $11,712,000 | $10,932,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $79,000 |
UNCONSOLIDATED_AFFILIATES_Deta
UNCONSOLIDATED AFFILIATES (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Aug. 31, 2014 | |
Variable Interest Entity [Line Items] | ' | |
Document Period End Date | 31-Aug-14 | |
Variable Interest Entity, Reporting Entity Involvement, Additional Contributions Since Inception | $2,160 | |
Variable Interest Entity, Reporting Entity Involvement, Intial Contirbution | 6,809 | |
GolfPark Plaza, S.A | ' | |
Variable Interest Entity [Line Items] | ' | |
Variable Interest Entity, Reporting Entity Involvement, Additional Contributions Since Inception | 1,483 | [1] |
Variable Interest Entity, Reporting Entity Involvement, Intial Contirbution | 4,616 | |
Price Plaza Alajuela, S.A. | ' | |
Variable Interest Entity [Line Items] | ' | |
Variable Interest Entity, Reporting Entity Involvement, Additional Contributions Since Inception | 677 | [1] |
Variable Interest Entity, Reporting Entity Involvement, Intial Contirbution | $2,193 | |
[1] | (3)B Prior to fiscal year 2012, the Company contributed an additional $377,000 and $483,000 to Plaza Price Alajuela PPA, S.A. and Golf Park Plaza S.A., respectively. In September 2012, the Company contributed an additional $300,000 to Plaza Price Alajuela PPA, S.A. and maintained its 50% interest in the joint venture. In October 2012, the Company contributed an additional $250,000 to Golf Park Plaza S.A., and in January 2014 it contributed an additional $750,000 to Golf Park Plaza S.A., maintaining its 50% interest in the joint venture. The contributions were a portion of the Company's required additional future contributions under the joint venture agreement. |
UNCONSOLIDATED_AFFILIATES_Maxi
UNCONSOLIDATED AFFILIATES - Maximum Exposure to Loss (Details) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2011 | |||
In Thousands, unless otherwise specified | ||||||
Maximum Loss Exposure | ' | ' | ' | |||
Intial Investment | $6,809 | ' | ' | |||
Additonal Contributions | 2,160 | ' | ' | |||
Net Loss Inception to Date | -106 | ' | ' | |||
Company's Variable Interest in Entity | 8,863 | ' | ' | |||
Commitment to Future Additional Contributions | 2,362 | [1] | ' | ' | ||
Company's Maximum Exposure to Loss in Entity | 11,225 | [2] | ' | ' | ||
GolfPark Plaza, S.A | ' | ' | ' | |||
Maximum Loss Exposure | ' | ' | ' | |||
Intial Investment | 4,616 | ' | ' | |||
Additonal Contributions | 1,483 | [3] | ' | ' | ||
Net Loss Inception to Date | -82 | ' | ' | |||
Company's Variable Interest in Entity | 6,017 | ' | ' | |||
Commitment to Future Additional Contributions | 1,017 | [1] | ' | ' | ||
Company's Maximum Exposure to Loss in Entity | 7,034 | [2] | ' | ' | ||
Price Plaza Alajuela, S.A. | ' | ' | ' | |||
Maximum Loss Exposure | ' | ' | ' | |||
Intial Investment | 2,193 | ' | ' | |||
Additonal Contributions | 677 | [3] | ' | ' | ||
Net Loss Inception to Date | -24 | ' | ' | |||
Company's Variable Interest in Entity | 2,846 | ' | ' | |||
Commitment to Future Additional Contributions | 1,345 | [1] | ' | ' | ||
Company's Maximum Exposure to Loss in Entity | 4,191 | [2] | ' | ' | ||
Costa Rica | Price Plaza Alajuela PPA, S.A [Member] | ' | ' | ' | |||
Maximum Loss Exposure | ' | ' | ' | |||
Equity Method Investment, Ownership Percentage | 50.00% | ' | ' | |||
PANAMA | GolfPark Plaza, S.A [Member] | ' | ' | ' | |||
Maximum Loss Exposure | ' | ' | ' | |||
Equity Method Investment, Ownership Percentage | 50.00% | ' | ' | |||
Timing occurrence [Member] | GolfPark Plaza, S.A | ' | ' | ' | |||
Maximum Loss Exposure | ' | ' | ' | |||
Additonal Contributions | 750 | [3] | 250 | [3] | 483 | [3] |
Timing occurrence [Member] | Price Plaza Alajuela, S.A. | ' | ' | ' | |||
Maximum Loss Exposure | ' | ' | ' | |||
Additonal Contributions | ' | $300 | [3] | $377 | [3] | |
[1] | (1)B The parties intend to seek alternate financing for the project, which could reduce the amount of contributions each party would be required to provide. The parties may mutually agree on changes to the project, which could increase or decrease the amount of contributions each party is required to provide. | |||||
[2] | (2)B The maximum exposure is determined by adding the Companybs variable interest in the entity and any explicit or implicit arrangements that could require the Company to provide additional financial support. | |||||
[3] | (3)B Prior to fiscal year 2012, the Company contributed an additional $377,000 and $483,000 to Plaza Price Alajuela PPA, S.A. and Golf Park Plaza S.A., respectively. In September 2012, the Company contributed an additional $300,000 to Plaza Price Alajuela PPA, S.A. and maintained its 50% interest in the joint venture. In October 2012, the Company contributed an additional $250,000 to Golf Park Plaza S.A., and in January 2014 it contributed an additional $750,000 to Golf Park Plaza S.A., maintaining its 50% interest in the joint venture. The contributions were a portion of the Company's required additional future contributions under the joint venture agreement. |
UNCONSOLIDATED_AFFILIATES_Fina
UNCONSOLIDATED AFFILIATES - Financial Information (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 |
Assets and Liabilities, Net | ' | ' | ' |
Current assets | $803 | $606 | ' |
Noncurrent assets | 8,900 | 7,432 | ' |
Current liabilities | 1,126 | 999 | ' |
Noncurrent liabilities | 13 | 8 | ' |
Net Income (Loss) | ' | ' | ' |
Net loss | $18 | ($8) | ($30) |
SEGMENTS_Details
SEGMENTS (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||||
In Thousands, unless otherwise specified | Aug. 31, 2014 | 31-May-14 | Feb. 28, 2014 | Nov. 30, 2013 | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Nov. 30, 2011 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |||||||||
Country | Country | |||||||||||||||||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Value Added Tax Reclass from short term to long term assets | ' | ' | ' | ' | ' | ' | ' | ' | $13,313 | ' | ' | ' | ' | ' | $13,313 | |||||||||
Number of countries | 13 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13 | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,517,567 | 2,299,812 | 2,045,163 | |||||||||
Front end sales | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -682 | |||||||||
Demonstration Income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -4,900 | |||||||||
Intersegment revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||||||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 28,475 | [1] | 24,444 | 23,739 | ||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 136,707 | 127,046 | 107,614 | |||||||||
Gain (Loss) on Disposition of Property Plant Equipment, Excluding Oil and Gas Property and Timber Property | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,445 | -889 | -312 | |||||||||
Interest income from external sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 853 | 1,335 | 908 | |||||||||
Interest income from intersegment sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||||||||
Interest expense from external sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,295 | 4,216 | 5,283 | |||||||||
Interest expense from intersegment sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||||||||
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 41,372 | 38,942 | 35,053 | |||||||||
Net income attributable to PriceSmart | 21,856 | 21,320 | 28,278 | 21,432 | 20,839 | [2] | 18,539 | [2] | 24,882 | [2] | 20,005 | [2] | 17,706 | 15,706 | 20,220 | 13,989 | 92,886 | 84,265 | [2] | 67,621 | ||||
Long-lived assets (other than deferred tax assets) | 525,902 | ' | ' | ' | 437,587 | ' | ' | ' | 399,298 | ' | ' | ' | 525,902 | 437,587 | 399,298 | |||||||||
Goodwill | 36,108 | ' | ' | ' | 36,364 | ' | ' | ' | 36,886 | ' | ' | ' | 36,108 | 36,364 | 36,886 | |||||||||
Investments in uncolsolidated affiliates | 8,863 | ' | ' | ' | 8,104 | ' | ' | ' | 7,559 | ' | ' | ' | 8,863 | 8,104 | 7,559 | |||||||||
Identifiable assets | 940,218 | ' | ' | ' | 826,039 | ' | ' | ' | 735,712 | ' | ' | ' | 940,218 | 826,039 | 735,712 | |||||||||
Property, Plant and Equipment, Additions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 121,140 | 69,927 | 52,705 | |||||||||
United States Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31,279 | 23,059 | 15,320 | |||||||||
Intersegment revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 959,297 | 877,337 | 766,462 | |||||||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,238 | [1] | 2,121 | 1,782 | ||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 38,450 | 34,132 | 30,747 | |||||||||
Interest income from external sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 18 | 163 | 220 | |||||||||
Interest income from intersegment sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,603 | 2,841 | 2,430 | |||||||||
Interest expense from external sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 34 | 8 | 25 | |||||||||
Interest expense from intersegment sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 120 | 141 | 62 | |||||||||
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12,739 | 11,011 | 10,720 | |||||||||
Net income attributable to PriceSmart | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25,620 | 23,200 | 20,220 | |||||||||
Long-lived assets (other than deferred tax assets) | 16,488 | ' | ' | ' | 19,114 | ' | ' | ' | 17,781 | ' | ' | ' | 16,488 | 19,114 | 17,781 | |||||||||
Goodwill | 0 | ' | ' | ' | 0 | ' | ' | ' | 0 | ' | ' | ' | 0 | 0 | 0 | |||||||||
Investments in uncolsolidated affiliates | 0 | ' | ' | ' | 0 | ' | ' | ' | 0 | ' | ' | ' | 0 | 0 | 0 | |||||||||
Identifiable assets | 91,190 | ' | ' | ' | 103,844 | ' | ' | ' | 87,467 | ' | ' | ' | 91,190 | 103,844 | 87,467 | |||||||||
Property, Plant and Equipment, Additions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,627 | 3,456 | 1,972 | |||||||||
Latin American Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,701,063 | 1,542,401 | 1,337,435 | |||||||||
Intersegment revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 99 | 40 | |||||||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 17,175 | [1] | 13,453 | 11,655 | ||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 71,860 | 69,746 | 57,394 | |||||||||
Interest income from external sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 676 | 1,077 | 611 | |||||||||
Interest income from intersegment sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 325 | 410 | 386 | |||||||||
Interest expense from external sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,549 | 3,136 | 4,148 | |||||||||
Interest expense from intersegment sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,355 | 1,061 | 464 | |||||||||
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 21,932 | 21,921 | 18,226 | |||||||||
Net income attributable to PriceSmart | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 47,678 | 44,862 | 33,264 | |||||||||
Long-lived assets (other than deferred tax assets) | 396,280 | ' | ' | ' | 304,731 | ' | ' | ' | 262,968 | ' | ' | ' | 396,280 | 304,731 | 262,968 | |||||||||
Goodwill | 31,383 | ' | ' | ' | 31,474 | ' | ' | ' | 31,760 | ' | ' | ' | 31,383 | 31,474 | 31,760 | |||||||||
Investments in uncolsolidated affiliates | 8,863 | ' | ' | ' | 8,104 | ' | ' | ' | 7,559 | ' | ' | ' | 8,863 | 8,104 | 7,559 | |||||||||
Identifiable assets | 625,777 | ' | ' | ' | 518,313 | ' | ' | ' | 441,857 | ' | ' | ' | 625,777 | 518,313 | 441,857 | |||||||||
Property, Plant and Equipment, Additions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 103,979 | 59,064 | 42,116 | |||||||||
Caribbean Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 785,225 | 734,352 | 692,408 | |||||||||
Intersegment revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,265 | 4,721 | 4,726 | |||||||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,062 | [1] | 8,870 | 10,302 | ||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 26,397 | 23,168 | 19,473 | |||||||||
Interest income from external sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 159 | 95 | 77 | |||||||||
Interest income from intersegment sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 561 | 556 | 536 | |||||||||
Interest expense from external sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 712 | 1,072 | 1,110 | |||||||||
Interest expense from intersegment sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,014 | 2,605 | 2,826 | |||||||||
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,701 | 6,010 | 6,107 | |||||||||
Net income attributable to PriceSmart | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19,588 | 16,203 | 14,137 | |||||||||
Long-lived assets (other than deferred tax assets) | 113,134 | ' | ' | ' | 113,742 | ' | ' | ' | 118,549 | ' | ' | ' | 113,134 | 113,742 | 118,549 | |||||||||
Goodwill | 4,725 | ' | ' | ' | 4,890 | ' | ' | ' | 5,126 | ' | ' | ' | 4,725 | 4,890 | 5,126 | |||||||||
Investments in uncolsolidated affiliates | 0 | ' | ' | ' | 0 | ' | ' | ' | 0 | ' | ' | ' | 0 | 0 | 0 | |||||||||
Identifiable assets | 223,251 | ' | ' | ' | 203,882 | ' | ' | ' | 206,388 | ' | ' | ' | 223,251 | 203,882 | 206,388 | |||||||||
Property, Plant and Equipment, Additions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,534 | 7,407 | 8,617 | |||||||||
Reconciling Items | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | ||||||
Intersegment revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -964,562 | [3] | -882,157 | [3] | -771,228 | [3] | ||||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | [1],[3] | 0 | [3] | 0 | [3] | ||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | ||||||
Interest income from external sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | ||||||
Interest income from intersegment sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -3,489 | [3] | -3,807 | [3] | -3,352 | [3] | ||||||
Interest expense from external sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | ||||||
Interest expense from intersegment sources | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -3,489 | [3] | -3,807 | [3] | -3,352 | [3] | ||||||
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | ||||||
Net income attributable to PriceSmart | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | ||||||
Long-lived assets (other than deferred tax assets) | 0 | [3] | ' | ' | ' | 0 | [3] | ' | ' | ' | 0 | [3] | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | |||
Goodwill | 0 | [3] | ' | ' | ' | 0 | [3] | ' | ' | ' | 0 | [3] | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | |||
Investments in uncolsolidated affiliates | 0 | [3] | ' | ' | ' | 0 | [3] | ' | ' | ' | 0 | [3] | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | |||
Identifiable assets | 0 | [3] | ' | ' | ' | 0 | [3] | ' | ' | ' | 0 | [3] | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | |||
Property, Plant and Equipment, Additions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | [3] | 0 | [3] | 0 | [3] | ||||||
Scenario, Previously Reported [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,050,745 | |||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 127,935 | 107,926 | |||||||||
Gain (Loss) on Disposition of Property Plant Equipment, Excluding Oil and Gas Property and Timber Property | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -889 | -312 | |||||||||
Long-lived assets (other than deferred tax assets) | ' | ' | ' | ' | ' | ' | ' | ' | 384,263 | ' | ' | ' | ' | ' | 384,263 | |||||||||
Scenario, Previously Reported [Member] | United States Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15,320 | |||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 34,132 | 30,750 | |||||||||
Long-lived assets (other than deferred tax assets) | ' | ' | ' | ' | ' | ' | ' | ' | 17,781 | ' | ' | ' | ' | ' | 17,781 | |||||||||
Scenario, Previously Reported [Member] | Latin American Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,341,688 | |||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 70,383 | 57,657 | |||||||||
Long-lived assets (other than deferred tax assets) | ' | ' | ' | ' | ' | ' | ' | ' | 249,925 | ' | ' | ' | ' | ' | 249,925 | |||||||||
Scenario, Previously Reported [Member] | Caribbean Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 693,737 | |||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 23,420 | 19,519 | |||||||||
Long-lived assets (other than deferred tax assets) | ' | ' | ' | ' | ' | ' | ' | ' | 116,557 | ' | ' | ' | ' | ' | 116,557 | |||||||||
Scenario, Prepaid Adjustment [Member] | Latin American Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Prepaid Assets to Long lived assets | ' | ' | ' | ' | ' | ' | ' | ' | 1,722 | [4] | ' | ' | ' | ' | ' | 1,722 | [4] | |||||||
Restatement Adjustment | Latin American Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 313 | ' | ' | |||||||||
Restatement Adjustment | Caribbean Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,100 | ' | ' | |||||||||
Scenario, Adjustment [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | |||||||||
Scenario, Adjustment [Member] | United States Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Gain (Loss) on Disposition of Property Plant Equipment, Excluding Oil and Gas Property and Timber Property | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | -3 | |||||||||
Scenario, Adjustment [Member] | Latin American Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Value Added Tax Reclass from short term to long term assets | ' | ' | ' | ' | ' | ' | ' | ' | 11,321 | ' | ' | ' | ' | ' | 11,321 | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Front end sales | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -388 | |||||||||
Demonstration Income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -3,865 | |||||||||
Gain (Loss) on Disposition of Property Plant Equipment, Excluding Oil and Gas Property and Timber Property | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -637 | -263 | |||||||||
Scenario, Adjustment [Member] | Caribbean Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Value Added Tax Reclass from short term to long term assets | ' | ' | ' | ' | ' | ' | ' | ' | 1,992 | ' | ' | ' | ' | ' | 1,992 | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Front end sales | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -294 | |||||||||
Demonstration Income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,035 | |||||||||
Gain (Loss) on Disposition of Property Plant Equipment, Excluding Oil and Gas Property and Timber Property | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -252 | -46 | |||||||||
Scenario, Reclass [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Gain (Loss) on Disposition of Property Plant Equipment, Excluding Oil and Gas Property and Timber Property | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 889 | 312 | |||||||||
Scenario, Actual [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,045,163 | |||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 127,046 | 107,614 | |||||||||
Long-lived assets (other than deferred tax assets) | ' | ' | ' | ' | ' | ' | ' | ' | 399,298 | ' | ' | ' | ' | ' | 399,298 | |||||||||
Scenario, Actual [Member] | United States Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15,320 | |||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 34,132 | 30,747 | |||||||||
Long-lived assets (other than deferred tax assets) | ' | ' | ' | ' | ' | ' | ' | ' | 17,781 | ' | ' | ' | ' | ' | 17,781 | |||||||||
Scenario, Actual [Member] | Latin American Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,337,435 | |||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 69,746 | 57,394 | |||||||||
Long-lived assets (other than deferred tax assets) | ' | ' | ' | ' | ' | ' | ' | ' | 262,968 | ' | ' | ' | ' | ' | 262,968 | |||||||||
Scenario, Actual [Member] | Caribbean Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Segment Reporting Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Revenue from external customers | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 692,408 | |||||||||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 23,168 | 19,473 | |||||||||
Long-lived assets (other than deferred tax assets) | ' | ' | ' | ' | ' | ' | ' | ' | $118,549 | ' | ' | ' | ' | ' | $118,549 | |||||||||
[1] | Includes a $1.1 million error that increased expenses in the Caribbean operations and a $313,000 error that increased expenses in the Latin America operations, both of which were related to prior periods. See Note 1- Company Overview and Basis of Presentation. | |||||||||||||||||||||||
[2] | (1) The fiscal year 2013 and 2012 data has been updated to reflect the reclassifications as disclosed in Note 1 - Company Overview and Basis of Presentation. | |||||||||||||||||||||||
[3] | The reconciling items reflect the amount eliminated on consolidation of intersegment transactions. | |||||||||||||||||||||||
[4] | (1)B The Company reclassified prepaid expenses to long-lived assets within the Latin America Operations segment for approximately $1.7 million. |
SUBSEQUENT_EVENTS_Details
SUBSEQUENT EVENTS (Details) (USD $) | Aug. 31, 2014 | Dec. 11, 2012 | Feb. 21, 2012 | Nov. 17, 2011 | 5-May-11 | Nov. 20, 2008 | Nov. 30, 2014 | Nov. 30, 2014 | Nov. 30, 2014 | Nov. 30, 2014 | Nov. 30, 2014 | Nov. 30, 2014 | Nov. 30, 2014 | Nov. 30, 2014 | Nov. 30, 2014 | Aug. 31, 2014 | Nov. 30, 2014 |
Club | Tax contingencies [Member] | Colombia Subsidiary [Member] | Withholding taxes [Member] | Bank of Nova Scotia [Member] | Scotiabank [Member] | Citibank [Member] | Cross Currency Interest Rate Contract [Member] | Cross Currency Interest Rate Contract [Member] | Cross Currency Interest Rate Contract [Member] | PANAMA | PANAMA | ||||||
Forward Foreign Exchange Contracts [Member] | Tax contingencies [Member] | Citibank [Member] | United States of America, Dollars | Honduras, Lempiras | Club | Anticipated amount [Member] | |||||||||||
Citibank [Member] | Citibank [Member] | Club | |||||||||||||||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provisional assessments | ' | ' | ' | ' | ' | ' | $5,200,000 | ' | $2,500,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Stores | 33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 5 |
Line of Credit Facility, Maximum Borrowing Capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,400,000 | 6,000,000 | 5,000,000 | ' | ' | ' | ' | ' |
Fixed Interest Rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '0.055 | ' | ' | ' | ' | ' | ' |
renewal option on line of credit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Interest Rate Description | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'P30D | ' | 'P3M | 'P3M | ' | ' | ' | ' |
Debt Instrument, Basis Spread on Variable Rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.50% | ' | 3.50% | 3.50% | ' | ' | ' | ' |
Derivative, Fixed Interest Rate | ' | 4.79% | 6.02% | 5.85% | 6.09% | 7.05% | ' | ' | ' | ' | ' | ' | 11.60% | ' | ' | ' | ' |
Repayments of Lines of Credit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,200,000 | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Expiration Period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | '5 years | '3 years | ' | ' | ' | ' |
Notional Amount of Foreign Currency Derivatives | ' | 8,000,000 | 8,000,000 | 8,000,000 | 8,000,000 | 8,900,000 | ' | 32,000,000 | ' | ' | ' | ' | 5,000,000 | 5,000,000 | 106,576,000 | ' | ' |
Derivative, Amount of Hedged Item | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3,000,000 | ' | ' | ' | ' |
QUARTERLY_FINANCIAL_INFORMATIO2
QUARTERLY FINANCIAL INFORMATION (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Aug. 31, 2014 | 31-May-14 | Feb. 28, 2014 | Nov. 30, 2013 | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Nov. 30, 2011 | Aug. 31, 2014 | Aug. 31, 2013 | Aug. 31, 2012 | |||||
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total warehouse club and export sales | $611,785 | $604,462 | $663,931 | $595,415 | $575,436 | [1] | $562,039 | [1] | $598,178 | [1] | $526,672 | [1] | $505,650 | $497,515 | $541,078 | $470,441 | $2,475,593 | $2,262,325 | [1] | $2,014,684 |
Total cost of goods sold | 519,931 | 515,930 | 568,075 | 509,728 | 489,304 | [1] | 481,634 | [1] | 510,711 | [1] | 447,779 | [1] | 428,810 | 423,346 | 461,800 | 402,025 | 2,113,664 | 1,929,428 | [1] | 1,715,981 |
Net income attributable to Pricesmart from continuing operations | 21,856 | 21,320 | 28,278 | 21,432 | 20,839 | [1] | 18,539 | [1] | 24,882 | [1] | 20,005 | [1] | 17,725 | 15,708 | 20,217 | 13,996 | 92,886 | 84,265 | [1] | 67,646 |
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | ' | ' | ' | ' | ' | ' | ' | ' | -19 | -2 | 3 | -7 | 0 | 0 | -25 | |||||
Net income attributable to PriceSmart | $21,856 | $21,320 | $28,278 | $21,432 | $20,839 | [1] | $18,539 | [1] | $24,882 | [1] | $20,005 | [1] | $17,706 | $15,706 | $20,220 | $13,989 | $92,886 | $84,265 | [1] | $67,621 |
Basic net income per share | $0.73 | $0.70 | $0.93 | $0.71 | $0.69 | [1] | $0.61 | [1] | $0.82 | [1] | $0.66 | [1] | $0.58 | $0.52 | $0.67 | $0.47 | $3.07 | $2.78 | [1] | $2.24 |
Diluted net income per share | $0.73 | $0.70 | $0.93 | $0.71 | $0.69 | [1] | $0.61 | [1] | $0.82 | [1] | $0.66 | [1] | $0.58 | $0.52 | $0.67 | $0.47 | $3.07 | $2.78 | [1] | $2.24 |
[1] | (1) The fiscal year 2013 and 2012 data has been updated to reflect the reclassifications as disclosed in Note 1 - Company Overview and Basis of Presentation. |