Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Aug. 31, 2016 | Sep. 30, 2016 | Feb. 29, 2016 | |
Document Documentand Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Aug. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | Q4 | ||
Trading Symbol | ATU | ||
Entity Registrant Name | ACTUANT CORP | ||
Entity Central Index Key | 6,955 | ||
Current Fiscal Year End Date | --08-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Common Stock, Shares Outstanding | 58,960,716 | ||
Entity Public Float | $ 1,356 |
CONSOLIDATED STATEMENTS OF EARN
CONSOLIDATED STATEMENTS OF EARNINGS - USD ($) shares in Thousands, $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Feb. 29, 2016 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Income Statement [Abstract] | ||||
Net sales | $ 1,149,410 | $ 1,249,254 | $ 1,399,862 | |
Cost of products sold | 746,013 | 787,413 | 852,990 | |
Gross profit | 403,397 | 461,841 | 546,872 | |
Selling, administrative and engineering expenses | 274,497 | 299,601 | 332,093 | |
Amortization of intangible assets | 22,943 | 24,333 | 25,166 | |
Gain (loss) on product line divestiture | 5,092 | 0 | (13,495) | |
Restructuring charges | 14,571 | 0 | 0 | |
Impairment charge | $ 186,511 | 186,511 | 84,353 | 0 |
Operating profit (loss) | (100,217) | 53,554 | 203,108 | |
Financing costs, net | 28,768 | 28,057 | 25,045 | |
Other expense, net | 1,359 | 106 | 4,037 | |
Earnings from continuing operations before income tax expense | (130,344) | 25,391 | 174,026 | |
Income tax expense | (25,170) | 5,519 | 32,573 | |
Earnings from continuing operations | (105,174) | 19,872 | 141,453 | |
Earnings (loss) from discontinued operations, net of income taxes | 0 | 0 | 22,120 | |
Net earnings | $ (105,174) | $ 19,872 | $ 163,573 | |
Earnings from continuing operations per share: | ||||
Basic (in dollars per share) | $ (1.78) | $ 0.32 | $ 1.99 | |
Diluted (in dollars per share) | (1.78) | 0.32 | 1.95 | |
Earnings per share: | ||||
Basic (in dollars per share) | (1.78) | 0.32 | 2.31 | |
Diluted (in dollars per share) | $ (1.78) | $ 0.32 | $ 2.26 | |
Weighted average common shares outstanding: | ||||
Basic (in shares) | 59,010 | 61,262 | 70,942 | |
Diluted (in shares) | 59,010 | 62,055 | 72,486 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Net earnings | $ (105,174) | $ 19,872 | $ 163,573 |
Other comprehensive income (loss), net of tax | |||
Foreign currency translation adjustments | (32,203) | (143,703) | 3,344 |
Pension and other postretirement benefit plans | (6,003) | (1,506) | (3,159) |
Cash flow hedges | 23 | (23) | 67 |
Total other comprehensive (loss) income, net of tax | (38,183) | (145,232) | 252 |
Total comprehensive income | $ (143,357) | $ (125,360) | $ 163,825 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
Current assets | ||
Cash and cash equivalents | $ 179,604 | $ 168,846 |
Accounts receivable, net | 186,829 | 193,081 |
Inventories, net | 130,756 | 142,752 |
Deferred income taxes | 0 | 12,922 |
Other current assets | 45,463 | 42,788 |
Total current assets | 542,652 | 560,389 |
Property, plant and equipment | ||
Land, buildings, and improvements | 41,504 | 48,515 |
Machinery and equipment | 268,362 | 269,983 |
Gross property, plant and equipment | 309,866 | 318,498 |
Less: Accumulated depreciation | (195,851) | (176,040) |
Property, plant and equipment, net | 114,015 | 142,458 |
Goodwill | 519,276 | 608,256 |
Other intangibles, net | 239,475 | 308,762 |
Other long-term assets | 27,120 | 17,052 |
Total assets | 1,442,538 | 1,636,917 |
Current liabilities | ||
Trade accounts payable | 115,051 | 118,115 |
Accrued compensation and benefits | 46,901 | 43,707 |
Current maturities of debt and short-term borrowings | 18,750 | 3,969 |
Income taxes payable | 9,254 | 14,805 |
Other current liabilities | 51,956 | 54,460 |
Total current liabilities | 241,912 | 235,056 |
Long-term Debt, Excluding Current Maturities | 565,559 | 584,309 |
Deferred income taxes | 31,356 | 72,941 |
Pension and postretirement benefit liabilities | 25,667 | 17,828 |
Other long-term liabilities | 57,094 | 53,782 |
Total liabilities | 921,588 | 963,916 |
Shareholders’ equity | ||
Class A common stock, $0.20 par value per share, authorized 168,000,000 shares, issued 78,932,533 and 78,480,780 shares, respectively | 15,879 | 15,787 |
Additional paid-in capital | 114,980 | 104,308 |
Treasury stock, at cost, 19,726,479 shares and 12,195,359 shares, respectively | (617,731) | (600,630) |
Retained earnings | 1,259,645 | 1,367,176 |
Accumulated other comprehensive loss | (251,823) | (213,640) |
Stock held in trust | (2,646) | (4,292) |
Deferred compensation liability | 2,646 | 4,292 |
Total shareholders’ equity | 520,950 | 673,001 |
Total liabilities and shareholders’ equity | $ 1,442,538 | $ 1,636,917 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Aug. 31, 2016 | Aug. 31, 2015 |
Treasury stock, shares | 20,439,434 | 19,726,479 |
Common stock, par value | $ 0.20 | |
Common stock, shares authorized | 168,000,000 | |
Common stock, shares issued | 79,393,393 | 78,932,533 |
Common Class A | ||
Common stock, par value | $ 0.2 | |
Common stock, shares authorized | 168,000,000 | |
Common stock, shares issued | 79,393,393 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Operating Activities | |||
Net earnings | $ (105,174) | $ 19,872 | $ 163,573 |
Non-cash items: | |||
Asset Impairment Charges, Net of Tax | 169,056 | 82,635 | 0 |
Depreciation and amortization | 47,777 | 53,239 | 60,635 |
Stock-based compensation expense | 10,442 | 12,046 | 17,115 |
Net gain on disposal of businesses | (1,557) | 0 | (29,152) |
Provision (benefit) for deferred income taxes | (17,403) | (12,221) | 40 |
Amortization of debt discount and debt issuance costs | 1,652 | 1,897 | 1,829 |
Other non-cash adjustments | (517) | 805 | (168) |
Changes in components of working capital and other: | |||
Accounts receivable | 20,261 | 12,827 | 1,336 |
Inventories | 10,202 | 6,608 | (21,915) |
Other assets | (3,291) | (8,761) | 4,276 |
Trade accounts payable | (7,727) | (19,801) | (19,832) |
Income taxes payable | (7,916) | (11,629) | (46,133) |
Accrued compensation and benefits | 3,912 | (6,478) | 12,725 |
Other accrued liabilities | (2,020) | 395 | (18,149) |
Cash provided by operating activities | 117,697 | 131,434 | 126,180 |
Investing Activities | |||
Capital expenditures | (20,209) | (22,516) | (41,857) |
Proceeds from sale of property, plant and equipment | 9,296 | 1,244 | 44,274 |
Proceeds from sale of businesses, net of transaction costs | 9,695 | 0 | 289,590 |
Business acquisitions, net of cash acquired | (81,916) | 0 | (30,500) |
Cash (used in ) provided by investing activities | (83,134) | (21,272) | 261,507 |
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | (3,750) | ||
Redemption of 5.625% Senior Notes | (11,941) | ||
Payment of deferred acquisition consideration | 0 | 0 | (1,585) |
Payments Related to Tax Withholding for Share-based Compensation | (1,409) | (2,466) | (946) |
Debt issuance costs | 0 | (2,025) | 0 |
Purchase of treasury shares | (17,101) | (212,003) | (283,712) |
Stock Option Exercises Related Tax Benefits And Other | 6,416 | 5,396 | 32,224 |
Cash dividend | (2,376) | (2,598) | (2,919) |
Cash (used in) provided by financing activities | (18,430) | (15,417) | (381,938) |
Effect of exchange rate changes on cash | (5,375) | (34,911) | (723) |
Net increase in cash and cash equivalents | 10,758 | 59,834 | 5,026 |
Cash and cash equivalents - beginning of period | 168,846 | 109,012 | 103,986 |
Cash and cash equivalents - end of period | 179,604 | 168,846 | 109,012 |
Intercompany Loan Activity | 0 | 0 | |
Senior Credit Facility | Senior Credit Facility - Revolver | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | (210) | 220 | (125,000) |
Senior Credit Facility | Senior Credit Facility - Term Loan | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | (3,750) | (3,375) | 0 |
Proceeds from term loan | 0 | 213,375 | 0 |
Senior Notes | 5.625% Senior Notes | |||
Financing Activities | |||
Redemption of 5.625% Senior Notes | $ 0 | $ (11,941) | $ 0 |
CONSOLIDATED STATEMENTS OF CAS7
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) | Aug. 31, 2016 | Aug. 31, 2014 | Apr. 16, 2012 |
Senior Notes | 5.625% Senior Notes | |||
Debt instrument, interest rate | 5.625% | 5.625% | 5.625% |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Loss | Stock Held in Trust | Deferred Compensation Liability |
Shares, Issued at Aug. 31, 2013 | 77,001 | |||||||
Beginning Balance at Aug. 31, 2013 | $ (1,080,267) | $ (15,399) | $ (49,758) | $ 104,915 | $ (1,188,685) | $ 68,660 | $ (3,124) | $ (3,124) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net earnings | 163,573 | 163,573 | ||||||
Other comprehensive loss, net of tax | 252 | 252 | ||||||
Company stock contribution to employee benefit plans and other (in shares) | 16 | |||||||
Company stock contribution to employee benefit plans and other | 553 | $ 3 | 550 | |||||
Restricted stock awards, vesting and withhold to cover (in shares) | 389 | |||||||
Restricted stock awards issuance and vesting | 0 | $ 78 | (78) | |||||
Cash dividend ($0.04 per share) | (2,656) | (2,656) | ||||||
Treasury stock repurchases | (283,712) | (283,712) | ||||||
Stock based compensation expense | 17,115 | 17,115 | ||||||
Stock option exercises (in shares) | 1,065 | |||||||
Stock option exercises | 22,423 | $ 213 | 22,210 | |||||
Excess tax benefit (shortfall) on stock option exercises | 3,509 | 3,509 | ||||||
Stock issued to, acquired for and distributed from rabbi trust (in shares) | 10 | |||||||
Stock issued to, acquired for and distributed from rabbi trust | (387) | $ (2) | (385) | (959) | (959) | |||
Shares, Issued at Aug. 31, 2014 | 78,481 | |||||||
Ending Balance at Aug. 31, 2014 | (1,001,711) | $ (15,695) | (93,449) | 388,627 | (1,349,602) | 68,408 | (4,083) | (4,083) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net earnings | 19,872 | 19,872 | ||||||
Other comprehensive loss, net of tax | (145,232) | (145,232) | ||||||
Company stock contribution to employee benefit plans and other (in shares) | 12 | |||||||
Company stock contribution to employee benefit plans and other | 463 | $ 4 | 459 | |||||
Restricted stock awards, vesting and withhold to cover (in shares) | 365 | |||||||
Restricted stock awards issuance and vesting | 0 | $ 73 | (73) | |||||
Cash dividend ($0.04 per share) | (2,298) | (2,298) | ||||||
Treasury stock repurchases | (212,003) | (212,003) | ||||||
Stock based compensation expense | 12,046 | 12,046 | ||||||
Stock option exercises (in shares) | 65 | |||||||
Stock option exercises | 1,147 | $ 13 | 1,134 | |||||
Excess tax benefit (shortfall) on stock option exercises | (2,955) | (2,955) | ||||||
Stock issued to, acquired for and distributed from rabbi trust (in shares) | 10 | |||||||
Stock issued to, acquired for and distributed from rabbi trust | (250) | $ (2) | (248) | (209) | (209) | |||
Shares, Issued at Aug. 31, 2015 | 78,933 | |||||||
Ending Balance at Aug. 31, 2015 | (673,001) | $ (15,787) | (104,308) | 600,630 | (1,367,176) | 213,640 | (4,292) | (4,292) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net earnings | (105,174) | (105,174) | ||||||
Other comprehensive loss, net of tax | (38,183) | (38,183) | ||||||
Company stock contribution to employee benefit plans and other (in shares) | 20 | |||||||
Company stock contribution to employee benefit plans and other | 453 | $ 4 | 449 | |||||
Restricted stock awards, vesting and withhold to cover (in shares) | 235 | |||||||
Restricted stock awards issuance and vesting | 0 | $ 47 | (47) | |||||
Cash dividend ($0.04 per share) | (2,357) | (2,357) | ||||||
Treasury stock repurchases | (17,101) | (17,101) | ||||||
Stock based compensation expense | 10,442 | 10,442 | ||||||
Stock option exercises (in shares) | 175 | |||||||
Stock option exercises | 3,564 | $ 35 | 3,529 | |||||
Excess tax benefit (shortfall) on stock option exercises | (3,943) | (3,943) | ||||||
Stock issued to, acquired for and distributed from rabbi trust (in shares) | 30 | |||||||
Stock issued to, acquired for and distributed from rabbi trust | (248) | $ (6) | (242) | 1,646 | 1,646 | |||
Shares, Issued at Aug. 31, 2016 | 79,393 | |||||||
Ending Balance at Aug. 31, 2016 | $ (520,950) | $ (15,879) | $ (114,980) | $ 617,731 | $ (1,259,645) | $ 251,823 | $ (2,646) | $ (2,646) |
CONSOLIDATED STATEMENTS OF SHA9
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividend, per share | $ 0.04 | $ 0.04 | $ 0.04 |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Aug. 31, 2016 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements, Policy | New Accounting Pronouncements In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes , which amends the existing guidance to require presentation of deferred tax assets and liabilities as non-current within a classified statement of financial position. This guidance was adopted, on a prospective basis, at September 1, 2015. Prior periods were not retrospectively adjusted. In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs, which includes amendments that require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. Under the new rule, the recognition and measurement of debt issuance costs is not affected. This guidance is effective for fiscal years beginning on or after December 15, 2015. The adoption of this standard in fiscal 2017 is not expected to have a material impact on the financial statements of the Company. In September 2015, the FASB issued ASU 2015-16, Simplifying the Accounting for Measurement-Period Adjustments, which eliminates the requirement to retrospectively account for changes to provisional amounts initially recorded in a business acquisition opening balance sheet. This standard is effective for fiscal years beginning after December 15, 2015 (fiscal 2017 for the Company), including interim periods within fiscal years. The adoption of this standard is not expected to have a material impact on the financial statements of the Company. In March 2016, the FASB issued ASU 2016-09, "Stock Compensation: Improvements to Employee Share-Based Payment Accounting," which will simplify several aspects of accounting for share-based payment transactions. The guidance will require, among other items, that all excess tax deficiencies or benefits be recorded as income tax expense or benefit in the statement of earnings, and not in additional paid-in capital (shareholder's equity). This guidance is effective for fiscal years beginning after December 15, 2016 (fiscal 2018 for the Company), and interim periods within those annual periods. The Company is currently evaluating the impact of adopting this standard. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. Under ASU 2014-09 and subsequent updates included in ASU 2016-10 and ASU 2016-12, an entity will recognize revenue when it transfers promised goods or services to customers in an amount that reflects what it expects in exchange for the goods or services. It also requires more detailed disclosures to enable users of financial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. This guidance is effective for fiscal years beginning on or after December 15, 2017 (fiscal 2019 for the Company). The Company is currently evaluating the impact of adopting this standard. In February 2016, the FASB issued ASU 2016-02, Leases which requires recognizing all lease transactions (with terms in excess of 12 months) on the balance sheet as a lease liability and a right-of-use asset. This new rule is effective for fiscal years beginning after December 15, 2018 (fiscal 2020 of the Company), including interim periods within those fiscal years. Upon adoption, the lessee will apply the new standard retrospectively to all periods presented or retrospectively using a cumulative effect adjustment in the year of adoption. The Company is currently evaluating the impact of adopting this standard. In August 2016, the FASB issued ASU 2016‑15, Statement of Cash Flows (Topic 230), Classification of Certain Cash Receipts and Cash Payments , to address how certain cash receipts and cash payments are presented and classified in the statement of cash flows. This update addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice. This guidance is effective for fiscal years beginning after December 15, 2017 (fiscal 2019 of the Company), including interim periods within those fiscal years. This update will require adoption on a retrospective basis unless it is impracticable to apply. The Company is currently evaluating the impact of adopting this standard. |
Costs Associated with Exit or Disposal Actitivies or Restructurings, Policy | Restructuring: The Company has committed to various restructuring initiatives including workforce reductions, plant consolidations to reduce manufacturing overhead, satellite office closures, the continued movement of production and product sourcing to low cost alternatives and the centralization and standardization of certain administrative functions. Total restructuring charges for these activities were $14.6 million in fiscal 2016 and impacted all segments. Liabilities for severance will be paid during the next twelve months, while future lease payments related to facilities vacated as a result of restructuring will be paid over the underlying remaining lease terms. The following is a rollforward of fiscal 2016 restructuring activities, by segment, (in thousands): Industrial Energy Engineered Solutions Corporate Total Balance as of August 31, 2015 $ — $ — $ — $ — $ — Restructuring charges 3,158 5,544 5,411 458 14,571 Cash payments (1,772 ) (2,345 ) (3,199 ) (203 ) (7,519 ) Non-cash uses of reserve (54 ) (166 ) (364 ) (209 ) (793 ) Impact of changes in foreign currency rates 11 (12 ) 15 — 14 Balance as of August 31, 2016 $ 1,343 $ 3,021 $ 1,863 $ 46 $ 6,273 |
Goodwill and Intangible Assets, Policy [Policy Text Block] | Goodwill and Other Intangible Assets: Other intangible assets with definite lives, consisting primarily of purchased customer relationships, patents, trademarks and non-compete agreements, are amortized over periods from one to twenty-five years. Goodwill and other intangible assets with indefinite lives are not subject to amortization, but are subject to annual impairment testing. The Company’s goodwill is tested for impairment annually, during the fourth quarter, or more frequently if events or changes in circumstances indicate that goodwill might be impaired. The Company performs impairment reviews for its reporting units using a fair value method based on management’s judgments and assumptions. In estimating the fair value, the Company utilizes a discounted cash flow model, which is dependent on a number of assumptions including estimated future revenues and expenses, weighted average cost of capital, capital expenditures and other variables. The estimated fair value of the reporting unit is compared to the carrying amount of the reporting unit, including goodwill. If the carrying value of the reporting unit exceeds its fair value, the goodwill is potentially impaired and the Company then determines the implied fair value of goodwill, which is compared to the carrying value to determine if impairment exists. Indefinite lived intangible assets are also subject to an annual impairment test. On an annual basis, or more frequently if events or changes in circumstances indicate that the asset might be impaired, the fair value of the indefinite lived intangible assets are evaluated by the Company to determine if an impairment charge is required. A considerable amount of management judgment is required in performing the impairment tests, principally in determining the fair value of each reporting unit and the indefinite lived intangible assets. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Aug. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 1. Summary of Significant Accounting Policies Nature of Operations: Actuant Corporation (“Actuant” or the “Company”) is a global manufacturer of a broad range of industrial products and systems, organized into three reportable segments. The Industrial segment is primarily engaged in the design, manufacture and distribution of branded hydraulic and mechanical tools to the maintenance, industrial, infrastructure and production automation markets. The Energy segment provides joint integrity products and services, customized offshore mooring solutions, as well as rope and cable solutions to the global oil & gas, energy and other markets. The Engineered Solutions segment provides highly engineered position and motion control systems to OEMs in various vehicle markets, as well as a variety of other products to the industrial and agriculture markets. Consolidation and Presentation: The consolidated financial statements include the accounts of the Company and its subsidiaries, all of which are wholly-owned. The results of companies acquired or disposed of during the year are included in the consolidated financial statements from the effective date of acquisition or until the date of divestiture. All intercompany balances, transactions and profits have been eliminated in consolidation. Certain prior year amounts have been reclassified to conform to current year presentation. Cash Equivalents: The Company considers all highly liquid investments with original maturities of 90 days or less to be cash equivalents. Inventories: Inventories are comprised of material, direct labor and manufacturing overhead, and are stated at the lower of cost or market. Inventory cost is determined using the last-in, first-out (“LIFO”) method for a portion of the U.S. owned inventory ( 21.0% and 22.1% of total inventories in both 2016 and 2015 , respectively). The first-in, first-out or average cost methods are used for all other inventories. If the LIFO method were not used, inventory balances would be higher than the amounts in the consolidated balance sheets by $3.7 million and $5.6 million at August 31, 2016 and 2015 , respectively. The nature of the Company’s products is such that they generally have a very short production cycle. Consequently, the amount of work-in-process at any point in time is minimal. In addition, many parts or components are ultimately either sold individually or assembled with other parts making a distinction between raw materials and finished goods impractical to determine. Other locations maintain and manage their inventories using a job cost system where the distinction of categories of inventory by state of completion is also not available. As a result of these factors, it is neither practical nor cost effective to segregate the amounts of raw materials, work-in-process or finished goods inventories at the respective balance sheet dates, as segregation would only be possible as the result of physical inventories which are taken at dates different from the balance sheet dates. Property, Plant and Equipment: Property, plant and equipment are stated at cost. Plant and equipment are depreciated on a straight-line basis over the estimated useful lives of the assets, ranging from ten to forty years for buildings and improvements and two to fifteen years for machinery and equipment. Equipment includes assets (marine mooring equipment and joint integrity tools) which are rented to customers of our Energy segment businesses. Leasehold improvements are amortized over the life of the related asset or the term of the lease, whichever is shorter. Goodwill and Other Intangible Assets: Other intangible assets with definite lives, consisting primarily of purchased customer relationships, patents, trademarks and non-compete agreements, are amortized over periods from one to twenty-five years. Goodwill and other intangible assets with indefinite lives are not subject to amortization, but are subject to annual impairment testing. The Company’s goodwill is tested for impairment annually, during the fourth quarter, or more frequently if events or changes in circumstances indicate that goodwill might be impaired. The Company performs impairment reviews for its reporting units using a fair value method based on management’s judgments and assumptions. In estimating the fair value, the Company utilizes a discounted cash flow model, which is dependent on a number of assumptions including estimated future revenues and expenses, weighted average cost of capital, capital expenditures and other variables. The estimated fair value of the reporting unit is compared to the carrying amount of the reporting unit, including goodwill. If the carrying value of the reporting unit exceeds its fair value, the goodwill is potentially impaired and the Company then determines the implied fair value of goodwill, which is compared to the carrying value to determine if impairment exists. Indefinite lived intangible assets are also subject to an annual impairment test. On an annual basis, or more frequently if events or changes in circumstances indicate that the asset might be impaired, the fair value of the indefinite lived intangible assets are evaluated by the Company to determine if an impairment charge is required. A considerable amount of management judgment is required in performing the impairment tests, principally in determining the fair value of each reporting unit and the indefinite lived intangible assets. Product Warranty Costs : The Company generally offers its customers a warranty on products sold, although warranty periods may vary by product type and application. The reserve for future warranty claims is based on historical claim rates and current warranty cost experience. The following is a rollforward of the changes in product warranty reserves for fiscal years 2016 and 2015 (in thousands): 2016 2015 Beginning balance $ 3,719 $ 4,056 Warranty reserve of acquired businesses 3 — Provision for warranties 5,985 4,929 Warranty payments and costs incurred (4,058 ) (5,009 ) Impact of changes in foreign currency rates (57 ) (257 ) Ending balance $ 5,592 $ 3,719 Revenue Recognition: The Company recognizes revenue when persuasive evidence of an arrangement exists, delivery has occurred, the sales price is fixed or determinable and collectability of the sales price is reasonably assured. For product sales, delivery does not occur until the passage of title and risk of loss have transferred to the customer (generally when products are shipped). Revenue from services and rental contracts are recognized when the services are provided or ratably over the contract term. Unearned revenue related to long-term customer contracts was $7.7 million and $8.3 million at August 31, 2016 and 2015, respectively. Customer sales are recorded net of allowances for returns and discounts, which are recognized as a deduction from sales at the time of sale. The Company commits to one-time or on-going trade discounts and promotions with customers that require the Company to estimate and accrue the ultimate costs of such programs. The Company generally does not require collateral or other security for receivables and provides for an allowance for doubtful accounts based on historical experience and a review of its existing receivables. Accounts receivable are stated net of an allowance for doubtful accounts of $7.8 million and $4.0 million at August 31, 2016 and 2015 , respectively. Shipping and Handling Costs: The Company records costs associated with shipping its products in cost of products sold. Restructuring: The Company has committed to various restructuring initiatives including workforce reductions, plant consolidations to reduce manufacturing overhead, satellite office closures, the continued movement of production and product sourcing to low cost alternatives and the centralization and standardization of certain administrative functions. Total restructuring charges for these activities were $14.6 million in fiscal 2016 and impacted all segments. Liabilities for severance will be paid during the next twelve months, while future lease payments related to facilities vacated as a result of restructuring will be paid over the underlying remaining lease terms. The following is a rollforward of fiscal 2016 restructuring activities, by segment, (in thousands): Industrial Energy Engineered Solutions Corporate Total Balance as of August 31, 2015 $ — $ — $ — $ — $ — Restructuring charges 3,158 5,544 5,411 458 14,571 Cash payments (1,772 ) (2,345 ) (3,199 ) (203 ) (7,519 ) Non-cash uses of reserve (54 ) (166 ) (364 ) (209 ) (793 ) Impact of changes in foreign currency rates 11 (12 ) 15 — 14 Balance as of August 31, 2016 $ 1,343 $ 3,021 $ 1,863 $ 46 $ 6,273 Research and Development Costs: Research and development costs consist primarily of an allocation of overall engineering and development resources and are expensed as incurred. Such costs incurred in the development of new products or significant improvements to existing products were $18.3 million , $17.7 million and $20.0 million in fiscal 2016 , 2015 and 2014 , respectively. The Company also incurs significant costs in connection with fulfilling custom orders and developing solutions for unique customer needs which are not included in these research and development expense totals. Other Income/Expense: Other income and expense primarily consists of net foreign exchange transaction losses of $1.3 million , $0.1 million and $4.2 million in fiscal 2016 , 2015 and 2014 , respectively. Financing Costs: Financing costs represent interest expense, financing fees and amortization of debt issuance costs, net of interest income. Interest income was $1.7 million , $1.9 million and $1.0 million for fiscal 2016 , 2015 and 2014 , respectively. Income Taxes: The provision for income taxes includes federal, state, local and non-U.S. taxes on income. Tax credits, primarily for non-U.S. earnings, are recognized as a reduction of the provision for income taxes in the year in which they are available for U.S. tax purposes. Deferred taxes are provided on temporary differences between assets and liabilities for financial and tax reporting purposes as measured by enacted tax rates expected to apply when temporary differences are settled or realized. Future tax benefits are recognized to the extent that realization of those benefits is considered to be more likely than not. A valuation allowance is established for deferred tax assets for which realization is not more likely than not of being realized. The Company has not provided for any residual U.S. income taxes on unremitted earnings of non-U.S. subsidiaries as such earnings are intended to be indefinitely reinvested. The Company recognizes interest and penalties related to unrecognized tax benefits in income tax expense. Foreign Currency Translation: The financial statements of the Company’s foreign operations are translated into U.S. dollars using the exchange rate at each balance sheet date for assets and liabilities and an appropriate weighted average exchange rate for each applicable period for revenues and expenses. Translation adjustments are reflected in the consolidated balance sheets and consolidated statements of shareholders' equity caption “Accumulated Other Comprehensive Loss.” Use of Estimates: The Company has recorded reserves for customer rebates, returns and discounts, doubtful accounts, inventory, incurred but not reported medical claims, environmental matters, warranty claims, workers compensation claims, product and non-product litigation and incentive compensation. These reserves require the use of estimates and judgment. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. The Company believes that such estimates are made with consistent and appropriate assumptions. Actual results may differ from these estimates. New Accounting Pronouncements In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes , which amends the existing guidance to require presentation of deferred tax assets and liabilities as non-current within a classified statement of financial position. This guidance was adopted, on a prospective basis, at September 1, 2015. Prior periods were not retrospectively adjusted. In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs, which includes amendments that require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. Under the new rule, the recognition and measurement of debt issuance costs is not affected. This guidance is effective for fiscal years beginning on or after December 15, 2015. The adoption of this standard in fiscal 2017 is not expected to have a material impact on the financial statements of the Company. In September 2015, the FASB issued ASU 2015-16, Simplifying the Accounting for Measurement-Period Adjustments, which eliminates the requirement to retrospectively account for changes to provisional amounts initially recorded in a business acquisition opening balance sheet. This standard is effective for fiscal years beginning after December 15, 2015 (fiscal 2017 for the Company), including interim periods within fiscal years. The adoption of this standard is not expected to have a material impact on the financial statements of the Company. In March 2016, the FASB issued ASU 2016-09, "Stock Compensation: Improvements to Employee Share-Based Payment Accounting," which will simplify several aspects of accounting for share-based payment transactions. The guidance will require, among other items, that all excess tax deficiencies or benefits be recorded as income tax expense or benefit in the statement of earnings, and not in additional paid-in capital (shareholder's equity). This guidance is effective for fiscal years beginning after December 15, 2016 (fiscal 2018 for the Company), and interim periods within those annual periods. The Company is currently evaluating the impact of adopting this standard. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. Under ASU 2014-09 and subsequent updates included in ASU 2016-10 and ASU 2016-12, an entity will recognize revenue when it transfers promised goods or services to customers in an amount that reflects what it expects in exchange for the goods or services. It also requires more detailed disclosures to enable users of financial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. This guidance is effective for fiscal years beginning on or after December 15, 2017 (fiscal 2019 for the Company). The Company is currently evaluating the impact of adopting this standard. In February 2016, the FASB issued ASU 2016-02, Leases which requires recognizing all lease transactions (with terms in excess of 12 months) on the balance sheet as a lease liability and a right-of-use asset. This new rule is effective for fiscal years beginning after December 15, 2018 (fiscal 2020 of the Company), including interim periods within those fiscal years. Upon adoption, the lessee will apply the new standard retrospectively to all periods presented or retrospectively using a cumulative effect adjustment in the year of adoption. The Company is currently evaluating the impact of adopting this standard. In August 2016, the FASB issued ASU 2016‑15, Statement of Cash Flows (Topic 230), Classification of Certain Cash Receipts and Cash Payments , to address how certain cash receipts and cash payments are presented and classified in the statement of cash flows. This update addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice. This guidance is effective for fiscal years beginning after December 15, 2017 (fiscal 2019 of the Company), including interim periods within those fiscal years. This update will require adoption on a retrospective basis unless it is impracticable to apply. The Company is currently evaluating the impact of adopting this standard. |
Acquisitions
Acquisitions | 12 Months Ended |
Aug. 31, 2016 | |
Business Combinations [Abstract] | |
Acquisitions | Note 2. Acquisitions The Company completed three business acquisitions during the last three years. These acquisitions resulted in the recognition of goodwill in the Company’s consolidated financial statements because the purchase prices reflected the future earnings and cash flow potential of these companies, as well as the complementary strategic fit and resulting synergies these businesses bring to existing operations. The Company incurred acquisition transaction costs of $2.7 million , $0.1 million and $0.5 million in fiscal 2016 , 2015 and 2014 , respectively (included in selling, administrative and engineering expenses in the consolidated statement of operations). The Company makes an initial allocation of the purchase price, at the date of acquisition, based upon the fair value of the acquired assets and assumed liabilities. The Company obtains this information during due diligence and through other sources. If additional information is obtained about these assets and liabilities within the measurement period (not to exceed one year from the date of acquisition), the Company will refine its estimates of fair value and adjust the purchase price allocation. Fiscal 2016 Acquisitions: The Company acquired the stock of Larzep, S.A. ("Larzep") on February 17, 2016 for a purchase price of $15.9 million , net of cash acquired. This Industrial segment tuck-in acquisition is headquartered in Mallabia, Spain and is a supplier of hydraulic tools and solutions. The preliminary purchase price allocation resulted in $9.7 million of goodwill (which is not deductible for tax purposes) and $4.8 million of intangible assets, including $3.6 million of customer relationships and $1.2 million of tradenames. The Company also acquired the assets of the Middle East, Caspian and the North African business of FourQuest Energy Inc. ("Pipeline and Process Services") for $65.5 million on March 30, 2016 . This Hydratight tuck-in acquisition was funded with existing cash and expands the geographic presence and service offerings of the Energy segment, including pipeline pre-commissioning, engineering, chemical cleaning and leak testing. The preliminary purchase price resulted in $36.2 million of goodwill (which is not deductible for tax purposes) and $8.7 million of intangible assets, including $8.0 million of customer relationships and $0.7 million of non-compete agreements. Total sales in fiscal 2016 for these two acquired business were $19.1 million . The following table summarizes the estimated fair value of the assets acquired and the liabilities assumed, at the date of acquisition, for these businesses (in thousands): Total Accounts receivable, net $ 20,439 Inventories 1,997 Other assets 505 Property, plant & equipment 12,315 Goodwill 45,967 Other intangible assets 13,517 Trade accounts payable (8,938 ) Other liabilities (1,225 ) Deferred income tax liability (2,661 ) Cash paid, net of cash acquired $ 81,916 Fiscal 2014 Acquisition: The Company acquired Hayes Industries Ltd. ("Hayes") on May 23, 2014 for $30.5 million . This Industrial segment acquisition is headquartered in Sugar Land, Texas and maintains a leading position in the concrete tensioning market. Its products include patented encapsulated anchor systems, wedges and customized extruded cables. The purchase price allocation resulted in the recognition of $14.3 million of goodwill (which is deductible for tax purposes) and $10.6 million of intangible assets, including $5.0 million of patents, $3.3 million of customer relationships, $2.0 million of tradenames and $0.3 million for non-compete agreements. The following unaudited pro forma operating results give effect to these three acquisitions as though the transactions and related financing activities had occurred on September 1, 2013 (in thousands, except per share amounts). 2016 2015 2014 Net Sales As reported $ 1,149,410 $ 1,249,254 $ 1,399,862 Pro forma 1,175,304 1,275,965 1,450,014 Earnings (loss) from continuing operations As reported $ (105,174 ) $ 19,872 $ 141,453 Pro forma (100,927 ) 20,553 142,124 Basic earnings (loss) per share from continuing operations As reported $ (1.78 ) $ 0.32 $ 1.99 Pro forma (1.71 ) 0.34 2.00 Diluted earnings (loss) per share from continuing operations As reported $ (1.78 ) $ 0.32 $ 1.95 Pro forma (1.71 ) 0.33 1.96 |
Discontinued Operations and Div
Discontinued Operations and Divestitures | 12 Months Ended |
Aug. 31, 2016 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Note 3. Discontinued Operations and Divestitures Fiscal 2016 Product Line Divestiture On August 25, 2016 , the Company completed the divestiture of its Sanlo business (Engineered Solutions segment) for $9.7 million in cash, net of transaction costs. This divestiture resulted in a $5.1 million pre-tax loss, but a $1.6 million gain net of tax. The results of the Sanlo business (sales of approximately $11 million in fiscal 2016) are not material to the consolidated financial results and are included in continuing operations. Fiscal 2014 Product Line Divestiture and Discontinued Operations On June 13, 2014 , the Company completed the divestiture of its Recreational Vehicle ("RV") business (Engineered Solutions segment) for $36.5 million in cash. This product line divestiture resulted in a $13.5 million pre-tax gain, $2.8 million net of tax. The results of the RV business (sales of approximately $22 million in fiscal 2014) are not material to the consolidated financial results and are included in continuing operations. The former Electrical segment designed, manufactured and distributed a broad range of electrical products to the retail DIY, wholesale, OEM, solar, utility and marine markets. On December 13, 2013 , the Company completed the sale of the Electrical segment for net cash proceeds of $252.4 million , which resulted in a pre-tax gain of $34.5 million , $26.3 million net of tax. Net sales of the former Electrical segment in fiscal 2014, prior to the divestiture, were $72.1 million . |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Aug. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Note 4. Goodwill, Intangible Assets and Long-Lived Assets Fiscal 2016 Interim Impairment Charge The prolonged unfavorable conditions in the global oil & gas markets, including additional cuts in projected capital spending by energy customers, reduced exploration, drilling and commissioning activities and excess capacity in the industry (given continued low oil & gas prices) were expected to have an adverse impact on the future financial results of the Cortland and Viking businesses. Accordingly, during the second quarter of fiscal 2016, the Company recognized a $140.9 million impairment charge (as a result of lower projected future sales and profits) related to the Cortland and Viking businesses. The maximatecc business (Engineered Solutions segment), manufactures severe-duty electronic instrumentation including displays and clusters, machine controls and sensors. Weakness in off-highway vehicle and agricultural markets, coupled with challenging overall industrial fundamentals, recent reductions in OEM customer build rates and production schedules (in order to reduce inventory levels) and delays in the start of production by certain European OEMs for new or updated design models resulted in reduced sales and profitability of the maximatecc business. As a result of lower projected sales and profits, during the second quarter of fiscal 2016, the Company recognized a $45.7 million impairment charge related to the goodwill and intangible assets of the maximatecc business. A summary of the second quarter fiscal 2016 impairment charge by reporting unit is as follows (in thousands): Cortland Viking maximatecc Total Goodwill $ 34,502 $ 39,099 $ 44,521 $ 118,122 Indefinite lived intangible assets 2,211 13,289 1,153 16,653 Amortizable intangible assets — 27,952 — 27,952 Fixed assets — 23,784 — 23,784 $ 36,713 $ 104,124 $ 45,674 $ 186,511 Fiscal 2015 Impairment Charge The dramatic decline in oil prices in 2015 caused a slowdown in upstream oil & gas activity as asset owners hesitated on starting new oil & gas exploration drilling and development projects, while certain existing projects were deferred or canceled and capital spending was reduced. As a result of these unfavorable market conditions, in fiscal 2015 the Company recognized an $84.4 million impairment charge related to the write-down of goodwill and indefinite lived intangible assets of the Cortland and Viking businesses. The impairment charge consisted of a $78.5 million impairment of goodwill and a $6.4 million impairment of indefinite lived intangible assets (tradenames). Changes in the gross carrying value of intangible assets and goodwill result from changes in foreign currency exchange rates, business acquisitions, divestitures and impairment charges. The changes in the carrying amount of goodwill for the years ended August 31, 2016 and 2015 are as follows (in thousands): Industrial Energy Engineered Solutions Total Balance as of August 31, 2014 $ 100,266 $ 350,627 $ 291,877 $ 742,770 Purchase accounting adjustments (Hayes) (3,244 ) — — (3,244 ) Impairment charge — (78,530 ) — (78,530 ) Impact of changes in foreign currency rates (4,915 ) (35,647 ) (12,178 ) (52,740 ) Balance as of August 31, 2015 92,107 236,450 279,699 608,256 Business acquisitions 9,726 36,241 — 45,967 Impairment charge — (73,919 ) (44,543 ) (118,462 ) Business divestiture (Sanlo) — — (3,778 ) (3,778 ) Impact of changes in foreign currency rates (94 ) (11,451 ) (1,162 ) (12,707 ) Balance as of August 31, 2016 $ 101,739 $ 187,321 $ 230,216 $ 519,276 The gross carrying amount and accumulated amortization of the Company’s intangible assets are as follows (in thousands): Weighted Average Amortization Period (Year) August 31, 2016 August 31, 2015 Gross Accumulated Amortization Net Book Value Gross Accumulated Amortization Net Book Value Amortizable intangible assets: Customer relationships 14 $ 292,671 $ 166,252 $ 126,419 $ 302,518 $ 132,007 $ 170,511 Patents 10 30,296 22,233 8,063 30,899 19,928 10,971 Trademarks and tradenames 18 21,283 7,936 13,347 21,604 7,055 14,549 Non-compete agreements & other 3 6,627 5,890 737 6,790 6,496 294 Indefinite lived intangible assets: Tradenames 90,909 — 90,909 112,437 — 112,437 $ 441,786 $ 202,311 $ 239,475 $ 474,248 $ 165,486 $ 308,762 Amortization expense for future years is estimated to be: $20.2 million in fiscal year 2017 , $19.9 million in fiscal 2018 , $19.7 million in fiscal 2019 , $19.0 million in fiscal 2020 , $17.9 million in fiscal 2021 and $51.9 million in aggregate thereafter. The future amortization expense amounts represent estimates and may be impacted by future acquisitions, divestitures or changes in foreign currency exchange rates. |
Debt
Debt | 12 Months Ended |
Aug. 31, 2016 | |
Debt Disclosure [Abstract] | |
Debt | Note 5. Debt The following is a summary of the Company’s long-term indebtedness (in thousands): August 31, 2016 2015 Senior Credit Facility Revolver ($600 million) $ — $ — Term Loan 296,250 300,000 296,250 300,000 5.625% Senior Notes 288,059 288,059 Total Senior Indebtedness 584,309 588,059 Less: current maturities of long-term debt (18,750 ) (3,750 ) Total long-term debt, less current maturities $ 565,559 $ 584,309 The Company’s Senior Credit Facility matures on May 8, 2020 , provides a $600 million revolver, a $300 million term loan and a $450 million expansion option, subject to certain conditions. Borrowings are subject to a pricing grid, which can result in increases or decreases to the borrowing spread, depending on the Company’s leverage ratio, ranging from a spread of 1.00% to 2.25% in the case of loans bearing interest at LIBOR and from 0.00% to 1.25% in the case of loans bearing interest at the base rate. As of August 31, 2016 , the borrowing spread on LIBOR based borrowings was 2.00% (aggregating to a 2.50% variable rate borrowing cost). In addition, a non-use fee is payable quarterly on the average unused credit line under the revolver ranging from 0.15% to 0.35% per annum. As of August 31, 2016 , the unused credit line under the revolver was $592.1 million , of which $180.0 million was available for borrowings. Quarterly term loan principal payments of $3.8 million began on June 30, 2016 , increase to $7.5 million per quarter on June 30, 2017 , with the remaining principal due at maturity. The Senior Credit Facility, which is secured by substantially all of the Company’s domestic personal property assets, also contains customary limits and restrictions concerning investments, sales of assets, liens on assets, dividends and other payments. The two financial covenants included in the Senior Credit Facility agreement are a maximum leverage ratio of 3.75 :1 and a minimum interest coverage ratio of 3.50 :1. The Company was in compliance with all financial covenants at August 31, 2016 . On April 16, 2012 , the Company issued $300 million of 5.625% Senior Notes due 2022 (the “Senior Notes”). The Senior Notes require no principal installments prior to their June 15, 2022 maturity, require semiannual interest payments in December and June of each year and contain certain financial and non-financial covenants. The Senior Notes include a call feature that allows the Company to repurchase them anytime on or after June 15, 2017 at stated redemption prices (ranging from 100.0% to 102.8% ), plus accrued and unpaid interest. As required under the indenture governing the Senior Notes, on June 19, 2015 , the Company initiated an offer to repurchase, at par value, up to $165 million of Senior Notes representing the non-reinvested proceeds from the fiscal 2014 business divestitures. Prior to its expiration, the Company repurchased $11.9 million of Senior Notes pursuant to this tender offer in the fourth quarter of fiscal 2015. The Company made cash interest payments of $27.2 million , $24.8 million and $21.0 million in fiscal 2016 , 2015 and 2014 , respectively. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Aug. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 6. Fair Value Measurements The Company assesses the inputs used to measure the fair value of financial assets and liabilities using a three-tier hierarchy. Level 1 inputs include quoted prices for identical instruments and are the most observable. Level 2 inputs include quoted prices for similar assets and observable inputs such as interest rates, foreign currency exchange rates, commodity rates and yield curves. Level 3 inputs are not observable in the market and include management’s own judgments about the assumptions market participants would use in pricing the asset or liability. The fair value of the Company’s cash and cash equivalents, foreign currency derivatives, accounts receivable, accounts payable and its variable rate long-term debt approximated book value at August 31, 2016 and 2015 due to their short-term nature and the fact that the interest rates approximated year-end market rates. The fair value of the Company’s outstanding 5.625% Senior Notes was $299.6 million and $287.3 million at August 31, 2016 and 2015 , respectively. The fair value of the Senior Notes was based on quoted inactive market prices and are therefore classified as Level 2 within the valuation hierarchy. |
Derivatives
Derivatives | 12 Months Ended |
Aug. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Note 7. Derivatives All derivatives are recognized in the balance sheet at their estimated fair value. On the date the Company enters into a derivative contract, it designates the derivative as a hedge of a recognized asset or liability (fair value hedge) or a hedge of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (cash flow hedge). The Company does not enter into derivatives for speculative purposes. Changes in the value of fair value hedges and non-designated hedges are recorded in earnings along with the gain or loss on the hedged asset or liability, while changes in the value of cash flow hedges are recorded in accumulated other comprehensive loss, until earnings are affected by the variability of cash flows. The fair value of outstanding foreign currency derivatives was a liability of $0.7 million and $0.2 million at August 31, 2016 and 2015 , respectively. The Company is exposed to market risk for changes in foreign currency exchange rates due to the global nature of its operations. In order to manage this risk the Company has hedged portions of its forecasted inventory purchases and other cash flows that are denominated in non-functional currencies (cash flow hedges). As of August 31, 2016 there were no cash flow hedges outstanding, while the U.S. dollar equivalent notional value of these foreign currency forward contracts was $0.5 million at August 31, 2015 . The Company also utilizes forward foreign currency exchange contracts to reduce the exchange rate risk associated with recognized non-functional currency balances. The effects of changes in exchange rates are reflected concurrently in earnings for both the fair value of the foreign currency exchange contracts and the related non-functional currency asset or liability. The U.S. dollar equivalent notional value of these short duration foreign currency forward contracts was $143.4 million and $170.7 million , at August 31, 2016 and 2015 , respectively. Net foreign currency losses related to these derivative instruments were $1.5 million , $0.1 million and $13.5 million in fiscal 2016, 2015 and 2014, respectively. These derivative gains and losses offset foreign currency gains and losses from the related revaluation of non-functional currency assets and liabilities (amounts included in other expense in the consolidated statement of operations). |
Leases
Leases | 12 Months Ended |
Aug. 31, 2016 | |
Leases [Abstract] | |
Leases | Note 8. Leases The Company leases certain facilities, computers, equipment and vehicles under various lease agreements generally over periods of one to twenty years. Under most arrangements, the Company pays the property taxes, insurance, maintenance and expenses related to the leased property. Many of the leases include provisions that enable the Company to renew the lease based upon fair value rental rates on the date of expiration of the initial lease. As of August 31, 2016 , future obligations under non-cancelable operating leases were as follows: $32.9 million in fiscal 2017 ; $27.1 million in fiscal 2018 ; $23.6 million in fiscal 2019 ; $19.9 million in fiscal 2020 ; $14.4 million in fiscal 2021 ; and $45.1 million in aggregate thereafter. Total rental expense under operating leases was $37.6 million , $35.7 million and $31.6 million in fiscal 2016 , 2015 and 2014 , respectively. In fiscal 2016, the Company completed the sale leaseback of certain facilities and Energy segment rental assets for total proceeds of $7.0 million . In fiscal 2014, the Company also completed the sale leaseback of certain rental assets of the Viking business for proceeds of $41.0 million . As discussed in Note 14, “Contingencies and Litigation” the Company remains contingently liable for lease payments under leases of businesses that it previously divested or spun off. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Aug. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Employee Benefit Plans | Note 9. Employee Benefit Plans U.S. Defined Benefit Pension Plans All of the U.S. defined benefit pension plans are frozen, and as a result, plan participants no longer earn additional benefits. The following table provides detail of changes in the projected benefit obligations, the fair value of plan assets and the funded status of the Company’s U.S. defined benefit pension plans as of the respective August 31 measurement date (in thousands): 2016 2015 Reconciliation of benefit obligations: Benefit obligation at beginning of year $ 45,612 $ 47,545 Interest cost 1,970 1,920 Actuarial (gain) loss 5,604 (170 ) Benefits paid (2,777 ) (3,683 ) Benefit obligation at end of year $ 50,409 $ 45,612 Reconciliation of plan assets: Fair value of plan assets at beginning of year $ 39,181 $ 44,642 Actual return on plan assets 2,687 (2,088 ) Company contributions 398 310 Benefits paid from plan assets (2,777 ) (3,683 ) Fair value of plan assets at end of year 39,489 39,181 Funded status of the plans (underfunded) $ (10,920 ) $ (6,431 ) The following table provides detail on the Company’s domestic net periodic benefit costs (in thousands): Year ended August 31, 2016 2015 2014 Interest cost $ 1,970 $ 1,920 $ 2,146 Expected return on assets (2,997 ) (3,143 ) (2,959 ) Amortization of actuarial loss 837 828 667 Net benefit cost (income) $ (190 ) $ (395 ) $ (146 ) At August 31, 2016 and 2015 , $18.4 million and $15.2 million , respectively, of pension plan actuarial losses, which have not yet been recognized in net periodic benefit cost, were included in accumulated other comprehensive loss, net of income taxes. During fiscal 2017 , $0.7 million of these actuarial losses are expected to be recognized in net periodic benefit cost. Weighted-average assumptions used to determine U.S. pension plan obligations as of August 31 and weighted-average assumptions used to determine net periodic benefit cost for the years ended August 31 are as follows: 2016 2015 2014 Assumptions for benefit obligations: Discount rate 3.45 % 4.45 % 4.15 % Assumptions for net periodic benefit cost: Discount rate 4.45 % 4.15 % 4.90 % Expected return on plan assets 7.40 % 7.50 % 7.65 % The Company employs a total return on investment approach for its pension plan assets whereby a mix of equity and fixed income investments are used to maximize the long-term return for plan assets, at a prudent level of risk. The investment portfolio contains a blend of equity and fixed income investments. Within the equity allocation, a blend of growth and value investments is maintained in a variety of market capitalizations and diversified between U.S. and non-U.S. stocks. The Company’s targeted asset allocation as a percentage of total plan assets is 60% - 80% in equity securities, with the remainder invested in fixed income securities and cash. Cash balances are maintained at levels adequate to meet near-term plan expenses and benefit payments. Investment risk is measured and monitored on an ongoing basis. At August 31, 2016 , the Company’s overall expected long-term rate of return for assets in U.S. pension plans was 7.15% . The expected long-term rate of return is based on the portfolio as a whole and not on the sum of the returns on individual asset categories. The target return is based on historical returns adjusted to reflect the current view of the long-term investment market. The fair value of all U.S. pension plan assets is determined based on quoted market prices and therefore all plan assets are determined based on Level 1 inputs, except for fixed income securities which are valued based on Level 2 inputs, as defined in Note 6, “Fair Value Measurements.” The U.S. pension plan investment allocations by asset category were as follows (in thousands): Year Ended August 31, 2016 % 2015 % Cash and cash equivalents $ 347 0.9 % $ 314 0.8 % Fixed income securities: Corporate bonds 8,372 21.2 9,481 24.2 Mutual funds 3,351 8.5 3,100 7.9 11,723 29.7 12,581 32.1 Equity securities: Mutual funds 27,419 69.4 26,286 67.1 Total plan assets $ 39,489 100.0 % $ 39,181 100.0 % Projected benefit payments from plan assets to participants in the Company’s U.S. pension plans are $2.8 million for fiscal 2017 , $2.9 million for both fiscal 2018 and 2019, $3.0 million for both fiscal 2020 and 2021 and $15.0 million in aggregate for the following five years. Foreign Defined Benefit Pension Plans The Company has ten foreign defined benefit pension plans which cover certain existing and former employees of businesses outside the U.S. Most of the participants in the foreign defined benefit pension plans are current employees and are earning additional benefits. The funded status of these plans is summarized as follows (in thousands): August 31, 2016 2015 Benefit obligation $ 16,808 $ 14,255 Fair value of plan assets 8,502 8,675 Funded status of plans (underfunded) $ (8,306 ) $ (5,580 ) Net periodic benefit cost for these foreign plans was $0.7 million , $1.0 million and $1.3 million in fiscal 2016 , 2015 and 2014 , respectively. The weighted average discount rate utilized for determining the benefit obligation at August 31, 2016 and 2015 was 1.9% and 3.1% , respectively. The plan assets of these foreign pension plans consist primarily of participating units in fixed income and equity securities and insurance contracts. The Company’s overall expected long-term rate of return on these investments is 4.6% . During fiscal 2017 , the Company anticipates contributing $0.4 million to these pension plans. Projected benefit payments from plan assets to participants in the these foreign plans are $0.5 million for fiscal 2017 , $1.3 million for fiscal 2018 , $0.3 million for fiscal 2019 , $1.0 million for fiscal 2020 , $0.9 million for fiscal 2021 and $3.3 million in aggregate for the following five years. Other Postretirement Health Benefit Plans The Company provides other postretirement health benefits (“OPEB”) to certain existing and former employees of domestic businesses it acquired, who were entitled to such benefits prior to acquisition. These unfunded plans had a benefit obligation of $4.0 million and $3.5 million at August 31, 2016 and 2015 , respectively. These obligations are determined utilizing assumptions consistent with those used for U.S. pension plans and a health care cost trend rate of 7.5% , trending downward to 5.0% by the year 2022, and remaining level thereafter. Net periodic benefit (income) costs for the other postretirement benefits was less than $0.1 million for each of the fiscal years ended August 31, 2016 , 2015 and 2014 . Benefit payments from the plan are funded through participant contributions and Company contributions and are projected to be $0.3 million in fiscal 2017 . Defined Contribution Benefit Plans The Company maintains a 401(k) plan for substantially all full time U.S. employees (the “401(k) Plan”). Under plan provisions, the Company can fund either cash or issue new shares of Class A common stock for its contributions. Amounts are allocated to accounts set aside for each employee’s retirement. Employees generally may contribute up to 50% of their compensation to individual accounts within the 401(k) Plan. While contributions vary, the Company generally makes core contributions to employee accounts equal to 3% of each employee’s eligible annual cash compensation, subject to IRS limitations. In addition, the Company matches approximately 25% of each employee’s contribution up to 6% of the employee’s eligible compensation. The Company also maintains a Restoration Plan that allows eligible highly compensated employees (as defined by the Internal Revenue Code) to receive a core contribution as if no IRS limits were in place. Company contributions to the Restoration Plan are made in the form of Actuant common stock and are contributed into each eligible participant’s deferred compensation plan account. Expense recognized related to the 401(k) plan totaled $4.4 million , $4.3 million and $4.5 million for the years ended August 31, 2016 , 2015 and 2014 , respectively. In addition to the 401(k) plan, the Company sponsors a nonqualified supplemental executive retirement plan (“the SERP Plan”). The unfunded SERP Plan is an unfunded defined contribution plan that covers certain executive employees and has an annual contribution formula based on age and years of service (with Company contributions ranging from 3% to 6% of eligible wages). This unfunded plan had a $1.6 million obligation at both August 31, 2016 and 2015 , respectively. Expense recognized in fiscal 2016 , 2015 and 2014 for the SERP Plan was $0.3 million , $0.3 million , and $0.4 million respectively. Deferred Compensation Plan The Company maintains a deferred compensation plan to allow eligible U.S. employees to defer receipt of current cash compensation in order to provide future savings benefits. Eligibility is limited to employees that earn compensation that exceeds certain pre-defined levels. Participants have the option to invest their deferrals in a fixed income investment, in Company common stock, or a combination of the two. The fixed income portion of the plan is unfunded, and therefore all compensation deferred under the plan is held by the Company and commingled with its general assets. Liabilities of $22.2 million and $22.7 million are included in the consolidated balance sheets at August 31, 2016 and 2015 , respectively, to reflect the unfunded portion of the deferred compensation liability. The Company recorded expense in "Financing costs, net" of $1.6 million , $1.8 million and $1.7 million for the years ended August 31, 2016 , 2015 and 2014 , respectively, for non-funded interest on participant deferrals in the fixed income investment option. Company common stock contributions to fund the plan are held in a rabbi trust, accounted for in a manner similar to treasury stock and are recorded at cost in “Stock held in trust” within shareholders’ equity with the corresponding deferred compensation liability also recorded within shareholders’ equity. Since no investment diversification is permitted within the trust, changes in fair value of Actuant common stock are not recognized. |
Income Taxes
Income Taxes | 12 Months Ended |
Aug. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 10. Income Taxes Income tax expense (benefit) from continuing operations is summarized as follows (in thousands): Year Ended August 31, 2016 2015 2014 Current: Federal $ 2,205 $ (126 ) $ 23,211 Foreign 11,838 21,200 9,059 State 912 (1,616 ) (657 ) 14,955 19,458 31,613 Deferred: Federal (12,470 ) (4,416 ) 4,224 Foreign (23,797 ) (9,199 ) (4,130 ) State (3,858 ) (324 ) 866 (40,125 ) (13,939 ) 960 Income tax expense (benefit) $ (25,170 ) $ 5,519 $ 32,573 Income tax expense from continuing operations recognized in the accompanying consolidated statements of operations differs from the amounts computed by applying the federal income tax rate to earnings from continuing operations before income tax expense. A reconciliation of income taxes at the federal statutory rate to the effective tax rate is summarized in the following table: Year Ended August 31, 2016 2015 2014 Federal statutory rate 35.0 % 35.0 % 35.0 % State income taxes, net of Federal effect 1.2 (0.2 ) 0.8 Net effects of foreign tax rate differential and credits (1) 1.6 (58.4 ) (10.5 ) Domestic manufacturing deduction 0.3 (5.1 ) (1.0 ) Foreign branch currency losses 4.9 — — Goodwill impairment (2) (27.0 ) 78.6 — Valuation allowance additions and releases (3) (0.7 ) 15.5 (8.0 ) Changes in liability for unrecognized tax benefits (4) (0.9 ) (42.1 ) 3.2 Change in income tax accounting method, net — — (5.6 ) Business divestitures 3.9 — 3.0 Other items 1.0 (1.6 ) 1.8 Effective income tax rate 19.3 % 21.7 % 18.7 % (1) During fiscal 2015, the Company generated $10.0 million of foreign tax credits, the result of a non-recurring non-permanent loan from a foreign subsidiary (which were utilized to reduce fiscal 2015 tax obligations) and had a higher proportion of non-U.S. earnings. (2) Fiscal 2016 and fiscal 2015 net earnings include a $186.5 million and $84.4 million , respectively, impairment of goodwill and intangible assets, of which $68.0 million and $6.3 million , respectively, are deductible for income tax purposes. (3) Additional valuation allowances of $5.7 million were established in fiscal 2015 due to uncertainty regarding utilization of foreign operating loss carryforwards, which were partially offset by the reversal of $2.3 million of previously established reserves. (4) The liability for unrecognized tax benefits decreased $9.5 million in fiscal 2015 primarily due to settlements and lapsing of tax audit statutes. Temporary differences and carryforwards that gave rise to deferred tax assets and liabilities include the following items (in thousands): August 31, 2016 2015 Deferred income tax assets: Operating loss and tax credit carryforwards $ 36,761 $ 19,419 Compensation related liabilities 25,086 27,047 Postretirement benefits 8,727 6,778 Inventory 3,044 3,253 Book reserves and other items 8,317 11,976 Total deferred income tax assets 81,935 68,473 Valuation allowance (8,147 ) (8,053 ) Net deferred income tax assets 73,788 60,420 Deferred income tax liabilities: Depreciation and amortization (83,020 ) (110,763 ) Other items (5,493 ) (4,539 ) Deferred income tax liabilities (88,513 ) (115,302 ) Net deferred income tax liability $ (14,725 ) $ (54,882 ) The Company has $58.3 million of state loss carryforwards, which are available to reduce future state tax liabilities. These state net operating loss carryforwards expire at various times through 2036. The Company also has $105.4 million of foreign loss carryforwards which are available to reduce certain future foreign tax liabilities. Approximately one-half of the foreign loss carryforwards are not subject to any expiration dates, while the other balances expire at various times through 2026. The valuation allowance represents a reserve for deferred tax assets, including loss carryforwards, for which utilization is uncertain. Changes in the Company’s gross liability for unrecognized tax benefits, excluding interest and penalties, are as follows (in thousands): 2016 2015 2014 Beginning balance $ 29,924 $ 39,509 $ 18,006 Increases based on tax positions related to the current year 1,050 2,183 28,053 Increase for tax positions taken in a prior period 475 8,935 — Decrease for tax positions taken in a prior period — (633 ) — Decrease due to lapse of statute of limitations (1,027 ) (4,464 ) (7,030 ) Decrease due to settlements — (14,180 ) — Changes in foreign currency exchange rates (1,248 ) (1,426 ) 480 Ending balance $ 29,174 $ 29,924 $ 39,509 Substantially all of these unrecognized tax benefits, if recognized, would impact the effective income tax rate. As of August 31, 2016, 2015 and 2014, the Company recognized $2.3 million , $1.8 million and $2.0 million , respectively for interest and penalties related to unrecognized tax benefits. The Company recognizes interest and penalties related to underpayment of income taxes as a component of income tax expense. With few exceptions, the Company is no longer subject to U.S. federal, state and foreign income tax examinations by tax authorities in major tax jurisdictions for years prior to fiscal 2006. The Company believes it is reasonably possible that the total amount of unrecognized tax benefits could decrease by up to $4.7 million within the next twelve months. The Company’s policy is to remit earnings from foreign subsidiaries only to the extent the remittance does not result in an incremental U.S. tax liability. Accordingly, the Company does not currently provide for the additional U.S. and foreign income taxes which would become payable upon remission of undistributed earnings of foreign subsidiaries. Undistributed earnings on which additional income taxes have not been provided amounted to $302.4 million at August 31, 2016. If all such undistributed earnings were remitted, an additional income tax provision of $39.2 million would have been necessary as of August 31, 2016. Earnings (loss) before income taxes from continuing operations, are summarized as follows (in thousands): Year Ended August 31, 2016 2015 2014 Domestic $ (19,182 ) $ 14,593 $ 84,854 Foreign (111,162 ) 10,798 89,172 $ (130,344 ) $ 25,391 $ 174,026 Both domestic and foreign pre-tax earnings are impacted by changes in operating earnings, acquisition and divestiture activities, restructuring charges and the related benefits, growth investments, debt levels and the impact of changes in foreign currency exchange rates. In fiscal 2016, domestic earnings included a non-cash impairment charge of $49.0 million and a $5.1 million loss on the Sanlo divestiture while foreign earnings included a $137.5 million non-cash impairment charge. Fiscal 2015 domestic and foreign earnings were lower than the prior year, due to a non-cash impairment charge of $20.3 million and $64.1 million , respectively, while fiscal 2014 domestic earnings included a $13.5 million gain on the RV product line divestiture. Approximately 53% , 68% and 51% of pre-tax earnings (excluding impairment charges) were generated in foreign jurisdictions with tax rates lower than the U.S. federal income tax rate during fiscal 2016, 2015 and 2014, respectively. Cash paid for income taxes, net of refunds totaled $21.4 million , 26.4 million , and $ 57.2 million (including tax due on divestitures) during the years ended August 31, 2016, 2015 and 2014, respectively. |
Capital Stock and Share Repurch
Capital Stock and Share Repurchases | 12 Months Ended |
Aug. 31, 2016 | |
Earnings Per Share [Abstract] | |
Capital Stock and Share Repurchases | Note 11. Capital Stock and Share Repurchases The authorized common stock of the Company as of August 31, 2016 consisted of 168,000,000 shares of Class A common stock, 0.20 par value, of which 79,393,393 shares were issued and 58,953,959 outstanding; 1,500,000 shares of Class B common stock, 0.20 par value, none of which were issued and outstanding; and 160,000 shares of cumulative preferred stock, 1.00 par value (“preferred stock”), none of which have been issued. Holders of both classes of the Company’s common stock are entitled to dividends, as the Company’s Board of Directors may declare out of funds legally available, subject to any contractual restrictions on the payment of dividends or other distributions on the common stock. If the Company were to issue any of its preferred stock, no dividends could be paid or set apart on shares of common stock, unless paid in common stock, until dividends on all of the issued and outstanding shares of preferred stock had been paid or set apart for payment and provision had been made for any mandatory sinking fund payments. The Company's Board of Directors approved four separate authorizations (September 2011, March 2014, October 2014 and March 2015) to repurchase up to 7,000,000 shares each of the Company’s outstanding common stock. At August 31, 2016 , cumulative shares repurchased totaled 20,439,434 , leaving 7,560,566 shares authorized for future buy backs under these authorizations. Earnings Per Share The following table sets forth the computation of basic and diluted earnings (loss) per share (in thousands, except per share amounts): Year Ended August 31, 2016 2015 2014 Numerator: Net earnings (loss) $ (105,174 ) $ 19,872 $ 163,573 Denominator: Weighted average common shares outstanding - basic 59,010 61,262 70,942 Net effect of dilutive securities - stock based compensation plans (1) — 793 1,544 Weighted average common shares outstanding - diluted 59,010 62,055 72,486 Basic Earnings (Loss) Per Share: $ (1.78 ) $ 0.32 $ 2.31 Diluted Earnings (Loss) Per Share: $ (1.78 ) $ 0.32 $ 2.26 Anti-dilutive securities from stock based compensation plans (excluded from earnings per share calculation) 4,832 2,056 522 (1) As a result of the impairment charges which caused a net loss in fiscal 2016, shares from stock based compensation plans are excluded from the calculation of diluted earnings (loss) per share, as the result would be anti-dilutive. |
Stock Plans
Stock Plans | 12 Months Ended |
Aug. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Plans | Note 12. Stock Plans Stock options may be granted to key employees and directors under the Actuant Corporation 2009 Omnibus Incentive Plan (the “Plan”). At August 31, 2016 , 9,400,000 shares of Class A common stock were authorized for issuance under the Plan, of which 1,935,182 shares were available for future award grants. The Plan permits the Company to grant share-based awards, including stock options, restricted stock and performance shares (the "Performance Shares") to employees and directors. Options generally have a maximum term of ten years, an exercise price equal to 100% of the fair market value of the Company’s common stock at the date of grant and generally vest 50% after three years and 100% after five years. The Company’s restricted stock grants generally have similar vesting provisions. The performance shares include a three -year performance period, with vesting based 50% on achievement of an absolute free cash flow conversion target and 50% on the Company’s total shareholder return ("TSR") relative to the S&P 600 SmallCap Industrial index. The provisions of share-based awards may vary by individual grant with respect to vesting period, dividend and voting rights, performance conditions and forfeitures. A summary of stock option activity during fiscal 2016 is as follows: Shares Weighted-Average Weighted-Average Aggregate Outstanding on September 1, 2015 3,852,663 $ 24.47 Granted 445,093 22.22 Exercised (175,950 ) 20.27 Forfeited (643,744 ) 26.85 Outstanding on August 31, 2016 3,478,062 $ 23.96 4.8 $ 6.3 million Exercisable on August 31, 2016 2,471,907 $ 24.29 3.2 $ 4.6 million Intrinsic value is the difference between the market value of the stock at August 31, 2016 and the exercise price which is aggregated for all options outstanding and exercisable. A summary of the weighted-average grant-date fair value of options, total intrinsic value of options exercised, and cash receipts from options exercised is summarized below (in thousands, except per share amounts): Year Ended August 31, 2016 2015 2014 Weighted-average fair value of options granted (per share) $ 8.63 $ 8.35 $ 14.46 Intrinsic value of options exercised 989 366 16,380 Cash receipts from exercise of options 3,564 1,147 22,423 A summary of restricted stock activity (including Performance Shares) during fiscal 2016 is as follows: Number of Weighted-Average Fair Value at Grant Date (Per Share) Outstanding on August 31, 2015 1,197,268 $28.13 Granted 793,648 22.64 Forfeited (306,339 ) 26.83 Vested (331,072 ) 28.25 Outstanding on August 31, 2016 1,353,505 25.21 As of August 31, 2016 , there was $24.8 million of total unrecognized compensation cost related to share-based awards, including stock options and restricted stock awards/units, which will be recognized over a weighted average period of 3.0 years. The total fair value of share-based awards that vested during the fiscal years ended August 31, 2016 and 2015 was $12.4 million and $14.2 million , respectively. The Company generally records compensation expense over the vesting period for restricted stock awards based on the market value of Actuant common stock on the grant date. Stock based compensation expense is determined using a binomial pricing model for options. The fair value of Performance Shares with market vesting conditions is determined utilizing a Monte Carlo simulation model. Assumptions used to determine the fair value of each option were based upon historical data and standard industry valuation practices and methodology. The following weighted-average assumptions were used in each fiscal year: Fiscal Year Ended August 31, 2016 2015 2014 Dividend yield 0.19 % 0.15 % 0.11 % Expected volatility 38.06 % 37.80 % 38.30 % Risk-free rate of return 2.06 % 1.19 % 0.70 % Expected forfeiture rate 13 % 14 % 14 % Expected life 6.1 years 6.1 years 6.1 years |
Business Segment, Geographic an
Business Segment, Geographic and Customer Information | 12 Months Ended |
Aug. 31, 2016 | |
Segment Reporting [Abstract] | |
Business Segment, Geographic and Customer Information | Note 13. Business Segment, Geographic and Customer Information The Company is a global manufacturer of a broad range of industrial products and systems and is organized into three reportable segments: Industrial, Energy and Engineered Solutions. The Industrial segment is primarily involved in the design, manufacture and distribution of branded hydraulic and mechanical tools to the maintenance, industrial, infrastructure and production automation markets. The Energy segment provides joint integrity products and services, customized offshore vessel mooring solutions, as well as rope and cable solutions to the global oil & gas, power generation and other markets. The Engineered Solutions segment provides highly engineered position and motion control systems to original equipment manufacturers (“OEM”) in various on and off-highway vehicle markets, as well as a variety of other products to the industrial and agricultural markets. The following tables summarize financial information by reportable segment and product line (in thousands): Year Ended August 31, 2016 2015 2014 Net Sales by Reportable Product Line & Segment: Industrial Segment: Integrated Solutions $ 44,985 $ 47,294 $ 52,962 Industrial Tools 314,832 355,170 360,940 359,817 402,464 413,901 Energy Segment: Energy Maintenance & Integrity 278,881 246,357 267,500 Other Energy Services 113,849 165,518 194,869 392,731 411,875 462,368 Engineered Solutions Segment: On-Highway 209,575 220,889 272,201 Agriculture, Off-Highway and Other 187,287 214,026 251,391 396,862 434,915 523,592 $ 1,149,410 $ 1,249,254 $ 1,399,862 Operating Profit (Loss): Industrial $ 79,773 $ 105,652 $ 120,250 Energy (1) (107,528 ) (41,351 ) 56,412 Engineered Solutions (2) (42,991 ) 19,789 55,430 Corporate (29,471 ) (30,536 ) (28,984 ) $ (100,217 ) $ 53,554 $ 203,108 (1) Energy segment operating profit (loss) includes impairment charges of $140.9 million and $84.4 million in fiscal 2016 and 2015 , respectively. (2) Engineered Solutions segment operating profit (loss) includes an impairment charge of $45.7 million in fiscal 2016. Depreciation and Amortization: Industrial $ 8,175 $ 8,257 $ 7,597 Energy 21,944 26,532 33,983 Engineered Solutions 15,910 16,652 17,602 Corporate 1,749 1,798 1,453 $ 47,777 $ 53,239 $ 60,635 Capital Expenditures Industrial $ 2,570 $ 1,249 $ 3,349 Energy 9,355 11,864 26,787 Engineered Solutions 5,974 8,472 8,763 Corporate 2,310 931 2,958 $ 20,209 $ 22,516 $ 41,857 August 31, 2016 2015 Assets: Industrial $ 308,222 $ 293,738 Energy 479,169 601,521 Engineered Solutions 493,840 588,200 Corporate 161,307 153,458 $ 1,442,538 $ 1,636,917 In addition to the impact of changes in foreign currency exchange rates, the comparability of segment and product line information is impacted by acquisition/divestiture activities, impairment charges, restructuring costs and related benefits. Corporate assets, which are not allocated, principally represent cash and cash equivalents, capitalized debt issuance costs and deferred income taxes. The following tables summarize sales and long-lived assets (fixed assets and other long-term assets) by geographic region (in thousands): Year Ended August 31, 2016 2015 2014 Net Sales: United States $ 477,670 $ 526,061 $ 573,590 Netherlands 143,517 139,432 151,549 United Kingdom 115,183 113,743 162,508 Australia 62,779 94,319 82,778 United Arab Emirates 55,906 44,211 18,101 All other 294,355 331,488 411,336 $ 1,149,410 $ 1,249,254 $ 1,399,862 August 31, 2016 2015 Long-lived Assets: United States $ 32,205 $ 41,645 China 16,863 18,199 Australia 15,399 15,227 United Kingdom 9,914 21,704 United Arab Emirates 8,399 1,104 All other 34,399 47,183 $ 117,179 $ 145,062 The Company’s largest customer accounted for less than 3% of sales in each of the last three fiscal years. Export sales from domestic operations were approximately 6% of total net sales in each of the periods presented. In fiscal 2016, sales of products contributed approximately 80% of consolidated net sales, with the remaining revenue generated from engineering and technical manpower services, rental contracts and other sources. We provide certain Energy segment customers bundled products, services and rental assets. Further, our systems do not allocate costs between these sales categories. As a result, it is neither practical nor cost effective to disaggregate revenue and cost of sales separately for product sales, rental income and service revenue. |
Contingencies and Litigation
Contingencies and Litigation | 12 Months Ended |
Aug. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies and Litigation | Note 14. Contingencies and Litigation The Company had outstanding letters of credit of $17.8 million and $18.1 million at August 31, 2016 and 2015 , respectively, the majority of which relate to commercial contracts and self-insured workers compensation programs. The Company is a party to various legal proceedings that have arisen in the normal course of its business. These legal proceedings typically include product liability, environmental, labor, patent and other disputes. The Company has recorded reserves for loss contingencies based on the specific circumstances of each case. Such reserves are recorded when it is probable that a loss has been incurred and can be reasonably estimated. In the opinion of management, the resolution of these contingencies are not expected to have a material adverse effect on the Company’s financial condition, results of operations or cash flows. The Company remains contingently liable for lease payments under leases of businesses that it previously divested or spun-off, in the event that such businesses are unable to fulfill their future lease payment obligations. The discounted present value of future minimum lease payments for these leases was $16.0 million at August 31, 2016 (including $12.3 million related to the former Electrical segment). The Company has facilities in numerous geographic locations that are subject to a range of environmental laws and regulations. Environmental expenditures over the past three years have not been material. Management believes that such costs will not have a material adverse effect on the Company’s financial position, results of operations or cash flows. |
Guarantor Subsidiaries
Guarantor Subsidiaries | 12 Months Ended |
Aug. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Guarantor Subsidiaries | Note 15. Guarantor Subsidiaries On April 16, 2012, Actuant Corporation (the “Parent”) issued $300.0 million of 5.625% Senior Notes, of which $288.1 million remains outstanding as of August 31, 2016 . All of our material domestic wholly owned subsidiaries (the “Guarantors”) fully and unconditionally guarantee the 5.625% Senior Notes on a joint and several basis. There are no significant restrictions on the ability of the Guarantors to make distributions to the Parent. Certain assets, liabilities and expenses have not been allocated to the Guarantors and non-Guarantors and therefore are included in the Parent column in the accompanying consolidating financial statements. These items are of a corporate or consolidated nature and include, but are not limited to, tax provisions and related assets and liabilities, certain employee benefit obligations, prepaid and accrued insurance and corporate indebtedness. Intercompany activity in the consolidating financial statements primarily includes loan activity, purchases and sales of goods or services, investments and dividends. Intercompany balances also reflect certain non-cash transactions including transfers of assets and liabilities between the Parent, Guarantor and non-Guarantor, allocation of non-cash expenses from the Parent to the Guarantors and non-Guarantors, non-cash intercompany dividends and the impact of foreign currency rate changes. During the fourth quarter of fiscal 2015 four non-guarantor wholly-owned subsidiaries were pledged as collateral under the debt agreement, which resulted in a change in entity status from non-guarantor to guarantor. This change was not properly reflected in the guarantor subsidiary footnote in fiscal 2015. In fiscal 2016, the Company corrected the classification of these entities as guarantors and all prior periods were recast to conform to the current guarantor structure. The impact of this change was to increase cash flow from operations of the guarantors by $12.3 million and $1.8 million in fiscal 2015 and 2014, respectively. This change had no impact on consolidated results of operations or financial position. The following tables present the results of operations, financial position and cash flows of Actuant Corporation and its subsidiaries, the Guarantor and non-Guarantor entities, and the eliminations necessary to arrive at the information for the Company on a consolidated basis. CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (in thousands) Year Ended August 31, 2016 Parent Guarantors Non-Guarantors Eliminations Consolidated Net sales $ 135,679 $ 361,209 $ 652,522 $ — $ 1,149,410 Cost of products sold 34,576 263,197 448,240 — 746,013 Gross profit 101,103 98,012 204,282 — 403,397 Selling, administrative and engineering expenses 69,677 69,382 135,438 — 274,497 Restructuring charges 2,426 3,455 8,690 — 14,571 Amortization of intangible assets 1,272 13,287 8,384 — 22,943 Loss on product line divestiture — 5,092 — — 5,092 Impairment charges — 49,012 137,499 — 186,511 Operating profit (loss) 27,728 (42,216 ) (85,729 ) — (100,217 ) Financing costs, net 30,123 — (1,355 ) — 28,768 Intercompany (income) expense, net (20,445 ) (9,999 ) 30,444 — — Intercompany dividends — — (5,338 ) 5,338 — Other expense, net 914 54 391 — 1,359 Earnings (loss) before income taxes 17,136 (32,271 ) (109,871 ) (5,338 ) (130,344 ) Income tax expense (benefit) (8,729 ) 519 (17,046 ) 86 (25,170 ) Net earnings (loss) before equity in earnings (loss) of subsidiaries 25,865 (32,790 ) (92,825 ) (5,424 ) (105,174 ) Equity in earnings (loss) of subsidiaries (131,037 ) (83,747 ) 3,024 211,760 — Net loss (105,174 ) (116,537 ) (89,801 ) 206,336 (105,174 ) Comprehensive loss $ (143,357 ) $ (157,344 ) $ (83,802 ) $ 241,146 $ (143,357 ) CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (in thousands) Year Ended August 31, 2015 Parent Guarantors Non-Guarantors Eliminations Consolidated Net sales $ 158,836 $ 385,476 $ 704,942 $ — $ 1,249,254 Cost of products sold 40,858 280,081 466,474 — 787,413 Gross profit 117,978 105,395 238,468 — 461,841 Selling, administrative and engineering expenses 74,588 69,041 155,972 — 299,601 Impairment charges — 20,249 64,104 — 84,353 Amortization of intangible assets 1,272 13,061 10,000 — 24,333 Operating profit 42,118 3,044 8,392 — 53,554 Financing costs, net 29,295 — (1,238 ) — 28,057 Intercompany (income) expense, net (19,727 ) (8,835 ) 28,562 — — Intercompany dividends (212 ) (243 ) (10,707 ) 11,162 — Other expense (income), net 160 (84 ) 30 — 106 Earnings before income taxes 32,602 12,206 (8,255 ) (11,162 ) 25,391 Income tax expense (benefit) (8,218 ) 4,056 10,939 (1,258 ) 5,519 Net earnings (loss) before equity in earnings (loss) of subsidiaries 40,820 8,150 (19,194 ) (9,904 ) 19,872 Equity in earnings (loss) of subsidiaries (20,948 ) (1,720 ) 6,520 16,148 — Net earnings (loss) 19,872 6,430 (12,674 ) 6,244 19,872 Comprehensive loss $ (125,360 ) $ (10,689 ) $ (88,431 ) $ 99,120 $ (125,360 ) CONDENSED CONSOLIDATING STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME (in thousands) Year Ended August 31, 2014 Parent Guarantors Non-Guarantors Eliminations Consolidated Net sales $ 195,573 $ 409,848 $ 794,441 $ — $ 1,399,862 Cost of products sold 57,464 290,840 504,686 — 852,990 Gross profit 138,109 119,008 289,755 — 546,872 Selling, administrative and engineering expenses 96,220 54,699 181,174 — 332,093 Loss (gain) on product line divestiture 1,200 (14,695 ) — — (13,495 ) Amortization of intangible assets 1,272 12,687 11,207 — 25,166 Operating profit 39,417 66,317 97,374 — 203,108 Financing costs, net 25,611 3 (569 ) — 25,045 Intercompany (income) expense, net (27,601 ) (5,760 ) 33,361 — — Other expense (income), net 12,716 153 (8,832 ) — 4,037 Earnings from continuing operations before income taxes 28,691 71,921 73,414 — 174,026 Income tax expense (benefit) (16,529 ) 33,690 15,412 — 32,573 Net earnings from continuing operations before equity in earnings of subsidiaries 45,220 38,231 58,002 — 141,453 Equity in earnings of subsidiaries 139,865 23,297 15,058 (178,220 ) — Earnings from continuing operations 185,085 61,528 73,060 (178,220 ) 141,453 Earnings (loss) from discontinued operations (21,512 ) 56,494 (12,862 ) — 22,120 Net earnings 163,573 118,022 60,198 (178,220 ) 163,573 Comprehensive income $ 163,825 $ 132,046 $ 46,226 $ (178,272 ) $ 163,825 CONDENSED CONSOLIDATING BALANCE SHEETS (in thousands) August 31, 2016 Parent Guarantors Non-Guarantors Eliminations Consolidated ASSETS Current assets Cash and cash equivalents $ 7,953 $ 71 $ 171,580 $ — $ 179,604 Accounts receivable, net 13,692 41,715 131,422 — 186,829 Inventories, net 19,897 44,283 66,576 — 130,756 Other current assets 7,754 3,858 33,851 — 45,463 Total current assets 49,296 89,927 403,429 — 542,652 Property, plant & equipment, net 5,927 23,511 84,577 — 114,015 Goodwill 38,847 200,499 279,930 — 519,276 Other intangibles, net 9,429 149,757 80,289 — 239,475 Investment in subsidiaries 1,915,367 578,423 465,736 (2,959,526 ) — Intercompany receivable — 1,159,672 — (1,159,672 ) — Other long-term assets 9,580 10 17,530 — 27,120 Total assets $ 2,028,446 $ 2,201,799 $ 1,331,491 $ (4,119,198 ) $ 1,442,538 LIABILITIES & SHAREHOLDERS' EQUITY Current liabilities Trade accounts payable $ 11,529 $ 20,669 $ 82,853 $ — $ 115,051 Accrued compensation and benefits 17,506 5,754 23,641 — 46,901 Current maturities of debt and short-term borrowings 18,750 — — — 18,750 Income taxes payable 1,886 — 7,368 — 9,254 Other current liabilities 20,459 6,989 24,508 — 51,956 Total current liabilities 70,130 33,412 138,370 — 241,912 Long-term debt 565,559 — — — 565,559 Deferred income taxes 30,666 — 690 — 31,356 Pension and post-retirement benefit liabilities 16,803 — 8,864 — 25,667 Other long-term liabilities 47,739 588 8,767 — 57,094 Intercompany payable 776,599 — 383,073 (1,159,672 ) — Shareholders’ equity 520,950 2,167,799 791,727 (2,959,526 ) 520,950 Total liabilities and shareholders' equity $ 2,028,446 $ 2,201,799 $ 1,331,491 $ (4,119,198 ) $ 1,442,538 CONDENSED CONSOLIDATING BALANCE SHEETS (in thousands) August 31, 2015 ASSETS Parent Guarantors Non-Guarantors Eliminations Consolidated Current assets Cash and cash equivalents $ 18,688 $ 567 $ 149,591 $ — $ 168,846 Accounts receivable, net 16,135 49,258 127,688 — 193,081 Inventories, net 23,074 55,151 64,527 — 142,752 Deferred income taxes 9,256 — 3,666 — 12,922 Other current assets 18,020 4,708 20,060 — 42,788 Total current assets 85,173 109,684 365,532 — 560,389 Property, plant & equipment, net 6,363 33,675 102,420 — 142,458 Goodwill 38,847 318,088 251,321 — 608,256 Other intangibles, net 10,702 173,497 124,563 — 308,762 Investment in subsidiaries 2,067,438 632,581 182,001 (2,882,020 ) — Intercompany receivable — 1,140,030 45,141 (1,185,171 ) — Other long-term assets 10,694 — 6,358 — 17,052 Total assets $ 2,219,217 $ 2,407,555 $ 1,077,336 $ (4,067,191 ) $ 1,636,917 LIABILITIES & SHAREHOLDERS' EQUITY Current liabilities Trade accounts payable $ 14,700 $ 27,767 $ 75,648 $ — $ 118,115 Accrued compensation and benefits 16,479 3,625 23,603 — 43,707 Income taxes payable 10,947 — 3,858 — 14,805 Current maturities of debt and short-term borrowings 3,750 — 219 — 3,969 Other current liabilities 19,817 5,807 28,836 — 54,460 Total current liabilities 65,693 37,199 132,164 — 235,056 Long-term debt 584,309 — — — 584,309 Deferred income taxes 43,210 — 29,731 — 72,941 Pension and post-retirement benefit liabilities 11,712 — 6,116 — 17,828 Other long-term liabilities 46,407 400 6,975 — 53,782 Intercompany payable 794,885 — 390,286 (1,185,171 ) — Shareholders’ equity 673,001 2,369,956 512,064 (2,882,020 ) 673,001 Total liabilities and shareholders’ equity $ 2,219,217 $ 2,407,555 $ 1,077,336 $ (4,067,191 ) $ 1,636,917 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (in thousands) Year Ended August 31, 2016 Parent Guarantors Non-Guarantors Eliminations Consolidated Operating Activities Net cash provided by (used in) operating activities $ 58,926 $ (1,953 ) $ 66,062 $ (5,338 ) $ 117,697 Investing Activities Capital expenditures (2,135 ) (6,781 ) (11,293 ) — (20,209 ) Proceeds from sale of property, plant and equipment 13 7,000 2,283 — 9,296 Intercompany investment (339 ) (3,458 ) — 3,797 — Business acquisitions, net of cash acquired — — (81,916 ) — (81,916 ) Proceeds from sale of businesses, net of transaction costs — 9,695 — — 9,695 Cash provided by (used in) investing activities (2,461 ) 6,456 (90,926 ) 3,797 (83,134 ) Financing Activities Net repayments on revolving credit facility — — (210 ) — (210 ) Principal repayments on term loans (3,750 ) — — — (3,750 ) Purchase of treasury shares (17,101 ) — — — (17,101 ) Taxes paid related to the net share settlement of equity awards (1,409 ) — — — (1,409 ) Stock option exercises, related tax benefits, and other 6,416 — — — 6,416 Cash dividend (2,376 ) (5,338 ) — 5,338 (2,376 ) Intercompany loan activity (48,980 ) — 48,980 — — Intercompany capital contributions — 339 3,458 (3,797 ) — Cash provided by (used in) financing activities (67,200 ) (4,999 ) 52,228 1,541 (18,430 ) Effect of exchange rate changes on cash — — (5,375 ) — (5,375 ) Net increase (decrease) in cash and cash equivalents (10,735 ) (496 ) 21,989 — 10,758 Cash and cash equivalents—beginning of period 18,688 567 149,591 — 168,846 Cash and cash equivalents—end of period $ 7,953 $ 71 $ 171,580 $ — $ 179,604 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (in thousands) Year Ended August 31, 2015 Parent Guarantors Non-Guarantors Eliminations Consolidated Operating Activities Net cash provided by (used in) operating activities $ 90,632 $ (20,750 ) $ 72,228 $ (10,676 ) $ 131,434 Investing Activities Capital expenditures (1,086 ) (5,848 ) (15,582 ) — (22,516 ) Proceeds from sale of property, plant and equipment — 273 971 — 1,244 Intercompany investment (3,727 ) — — 3,727 — Cash used in investing activities (4,813 ) (5,575 ) (14,611 ) 3,727 (21,272 ) Financing Activities Net borrowings on revolving credit facility — — 220 — 220 Principal repayment on term loan (3,375 ) — — — (3,375 ) Proceeds from term loans 213,375 — — — 213,375 Redemption on 5.625% Senior Notes (11,941 ) — — — (11,941 ) Debt issuance costs (2,025 ) — — — (2,025 ) Purchase of treasury shares (212,003 ) — — — (212,003 ) Taxes paid related to net share settlement of equity awards (2,466 ) — — — (2,466 ) Stock option exercises, related tax benefits and other 5,396 — — — 5,396 Cash dividend (2,598 ) (10,676 ) — 10,676 (2,598 ) Intercompany loan activity (79,425 ) 34,081 45,344 — — Intercompany capital contributions — — 3,727 (3,727 ) — Cash provided by (used in) financing activities (95,062 ) 23,405 49,291 6,949 (15,417 ) Effect of exchange rate changes on cash — — (34,911 ) — (34,911 ) Net increase (decrease) in cash and cash equivalents (9,243 ) (2,920 ) 71,997 — 59,834 Cash and cash equivalents—beginning of period 27,931 3,487 77,594 — 109,012 Cash and cash equivalents—end of period $ 18,688 $ 567 $ 149,591 $ — $ 168,846 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (in thousands) Year Ended August 31, 2014 Parent Guarantors Non-Guarantors Eliminations Consolidated Operating Activities Net cash provided by (used in) operating activities $ 76,870 $ (19,156 ) $ 83,182 $ (14,716 ) $ 126,180 Investing Activities Capital expenditures (4,498 ) (6,397 ) (30,962 ) — (41,857 ) Proceeds from sale of property, plant and equipment 85 503 43,686 — 44,274 Proceeds from sale of business (4,586 ) 250,748 43,428 — 289,590 Business acquisitions, net of cash acquired (30,500 ) — — — (30,500 ) Cash (used in) provided by investing activities (39,499 ) 244,854 56,152 — 261,507 Financing Activities Net repayments on revolving credit facility (125,000 ) — — — (125,000 ) Payment of deferred acquisition consideration — — (1,585 ) — (1,585 ) Purchase of treasury shares (283,712 ) — — — (283,712 ) Taxes paid related to net share settlement of equity awards (946 ) — — — (946 ) Stock option exercises, related tax benefits and other 32,224 — — — 32,224 Cash dividend (2,919 ) — (14,716 ) 14,716 (2,919 ) Intercompany loan activity 354,791 (222,266 ) (132,525 ) — — Cash used in financing activities (25,562 ) (222,266 ) (148,826 ) 14,716 (381,938 ) Effect of exchange rate changes on cash — — (723 ) — (723 ) Net increase (decrease) in cash and cash equivalents 11,809 3,432 (10,215 ) — 5,026 Cash and cash equivalents—beginning of period 16,122 (107 ) 87,971 — 103,986 Cash and cash equivalents—end of period $ 27,931 $ 3,325 $ 77,756 $ — $ 109,012 |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Aug. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data (Unaudited) | Note 16. Quarterly Financial Data (Unaudited) Quarterly financial data for fiscal 2016 and fiscal 2015 is as follows: Year Ended August 31, 2016 First Second Third Fourth Total Net sales $ 305,011 $ 263,289 $ 305,341 $ 275,769 $ 1,149,410 Gross profit 108,562 91,030 107,526 96,279 403,397 Net earnings (loss) 15,448 (159,191 ) 21,166 17,402 (105,174 ) Net earnings (loss) per share: Basic $ 0.26 $ (2.70 ) $ 0.36 $ 0.30 $ (1.78 ) Diluted 0.26 (2.70 ) 0.36 0.29 (1.78 ) Year Ended August 31, 2015 First Second Third Fourth Total Net sales $ 327,765 $ 301,005 $ 320,100 $ 300,384 $ 1,249,254 Gross profit 126,976 109,763 118,560 106,542 461,841 Net earnings (loss) 24,674 (64,838 ) 37,958 22,078 19,872 Net earnings (loss) per share: Basic $ 0.38 $ (1.05 ) $ 0.64 $ 0.37 $ 0.32 Diluted 0.38 (1.05 ) 0.63 0.37 0.32 The sum of the quarters may not equal the total of the respective year’s earnings per share on either a basic or diluted basis due to changes in the weighted average shares outstanding during the year. During the second quarters of fiscal 2016 and 2015 the Company recognized impairment charges of $186.5 million and $84.4 million , respectively (see Note 4, "Goodwill, Intangible Assets and Long-Lived Assets"). |
Summary of Significant Accoun27
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Aug. 31, 2016 | |
Accounting Policies [Abstract] | |
Nature of Operations | Nature of Operations: Actuant Corporation (“Actuant” or the “Company”) is a global manufacturer of a broad range of industrial products and systems, organized into three reportable segments. The Industrial segment is primarily engaged in the design, manufacture and distribution of branded hydraulic and mechanical tools to the maintenance, industrial, infrastructure and production automation markets. The Energy segment provides joint integrity products and services, customized offshore mooring solutions, as well as rope and cable solutions to the global oil & gas, energy and other markets. The Engineered Solutions segment provides highly engineered position and motion control systems to OEMs in various vehicle markets, as well as a variety of other products to the industrial and agriculture markets. |
Consolidation and Presentation | Consolidation and Presentation: The consolidated financial statements include the accounts of the Company and its subsidiaries, all of which are wholly-owned. The results of companies acquired or disposed of during the year are included in the consolidated financial statements from the effective date of acquisition or until the date of divestiture. All intercompany balances, transactions and profits have been eliminated in consolidation. Certain prior year amounts have been reclassified to conform to current year presentation. |
Cash Equivalents | Cash Equivalents: The Company considers all highly liquid investments with original maturities of 90 days or less to be cash equivalents. |
Inventories | Inventories: Inventories are comprised of material, direct labor and manufacturing overhead, and are stated at the lower of cost or market. Inventory cost is determined using the last-in, first-out (“LIFO”) method for a portion of the U.S. owned inventory ( 21.0% and 22.1% of total inventories in both 2016 and 2015 , respectively). The first-in, first-out or average cost methods are used for all other inventories. If the LIFO method were not used, inventory balances would be higher than the amounts in the consolidated balance sheets by $3.7 million and $5.6 million at August 31, 2016 and 2015 , respectively. The nature of the Company’s products is such that they generally have a very short production cycle. Consequently, the amount of work-in-process at any point in time is minimal. In addition, many parts or components are ultimately either sold individually or assembled with other parts making a distinction between raw materials and finished goods impractical to determine. Other locations maintain and manage their inventories using a job cost system where the distinction of categories of inventory by state of completion is also not available. As a result of these factors, it is neither practical nor cost effective to segregate the amounts of raw materials, work-in-process or finished goods inventories at the respective balance sheet dates, as segregation would only be possible as the result of physical inventories which are taken at dates different from the balance sheet dates. |
Property, Plant and Equipment | Property, Plant and Equipment: Property, plant and equipment are stated at cost. Plant and equipment are depreciated on a straight-line basis over the estimated useful lives of the assets, ranging from ten to forty years for buildings and improvements and two to fifteen years for machinery and equipment. Equipment includes assets (marine mooring equipment and joint integrity tools) which are rented to customers of our Energy segment businesses. Leasehold improvements are amortized over the life of the related asset or the term of the lease, whichever is shorter. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets: Other intangible assets with definite lives, consisting primarily of purchased customer relationships, patents, trademarks and non-compete agreements, are amortized over periods from one to twenty-five years. Goodwill and other intangible assets with indefinite lives are not subject to amortization, but are subject to annual impairment testing. The Company’s goodwill is tested for impairment annually, during the fourth quarter, or more frequently if events or changes in circumstances indicate that goodwill might be impaired. The Company performs impairment reviews for its reporting units using a fair value method based on management’s judgments and assumptions. In estimating the fair value, the Company utilizes a discounted cash flow model, which is dependent on a number of assumptions including estimated future revenues and expenses, weighted average cost of capital, capital expenditures and other variables. The estimated fair value of the reporting unit is compared to the carrying amount of the reporting unit, including goodwill. If the carrying value of the reporting unit exceeds its fair value, the goodwill is potentially impaired and the Company then determines the implied fair value of goodwill, which is compared to the carrying value to determine if impairment exists. Indefinite lived intangible assets are also subject to an annual impairment test. On an annual basis, or more frequently if events or changes in circumstances indicate that the asset might be impaired, the fair value of the indefinite lived intangible assets are evaluated by the Company to determine if an impairment charge is required. A considerable amount of management judgment is required in performing the impairment tests, principally in determining the fair value of each reporting unit and the indefinite lived intangible assets. |
Product Warranty Costs | Product Warranty Costs : The Company generally offers its customers a warranty on products sold, although warranty periods may vary by product type and application. The reserve for future warranty claims is based on historical claim rates and current warranty cost experience. The following is a rollforward of the changes in product warranty reserves for fiscal years 2016 and 2015 (in thousands): 2016 2015 Beginning balance $ 3,719 $ 4,056 Warranty reserve of acquired businesses 3 — Provision for warranties 5,985 4,929 Warranty payments and costs incurred (4,058 ) (5,009 ) Impact of changes in foreign currency rates (57 ) (257 ) Ending balance $ 5,592 $ 3,719 |
Revenue Recognition | Revenue Recognition: The Company recognizes revenue when persuasive evidence of an arrangement exists, delivery has occurred, the sales price is fixed or determinable and collectability of the sales price is reasonably assured. For product sales, delivery does not occur until the passage of title and risk of loss have transferred to the customer (generally when products are shipped). Revenue from services and rental contracts are recognized when the services are provided or ratably over the contract term. Unearned revenue related to long-term customer contracts was $7.7 million and $8.3 million at August 31, 2016 and 2015, respectively. Customer sales are recorded net of allowances for returns and discounts, which are recognized as a deduction from sales at the time of sale. The Company commits to one-time or on-going trade discounts and promotions with customers that require the Company to estimate and accrue the ultimate costs of such programs. The Company generally does not require collateral or other security for receivables and provides for an allowance for doubtful accounts based on historical experience and a review of its existing receivables. Accounts receivable are stated net of an allowance for doubtful accounts of $7.8 million and $4.0 million at August 31, 2016 and 2015 , respectively. |
Shipping and Handling Costs | Shipping and Handling Costs: The Company records costs associated with shipping its products in cost of products sold. |
Costs Associated with Exit or Disposal Actitivies or Restructurings, Policy | Restructuring: The Company has committed to various restructuring initiatives including workforce reductions, plant consolidations to reduce manufacturing overhead, satellite office closures, the continued movement of production and product sourcing to low cost alternatives and the centralization and standardization of certain administrative functions. Total restructuring charges for these activities were $14.6 million in fiscal 2016 and impacted all segments. Liabilities for severance will be paid during the next twelve months, while future lease payments related to facilities vacated as a result of restructuring will be paid over the underlying remaining lease terms. The following is a rollforward of fiscal 2016 restructuring activities, by segment, (in thousands): Industrial Energy Engineered Solutions Corporate Total Balance as of August 31, 2015 $ — $ — $ — $ — $ — Restructuring charges 3,158 5,544 5,411 458 14,571 Cash payments (1,772 ) (2,345 ) (3,199 ) (203 ) (7,519 ) Non-cash uses of reserve (54 ) (166 ) (364 ) (209 ) (793 ) Impact of changes in foreign currency rates 11 (12 ) 15 — 14 Balance as of August 31, 2016 $ 1,343 $ 3,021 $ 1,863 $ 46 $ 6,273 |
Research and Development Costs | Research and Development Costs: Research and development costs consist primarily of an allocation of overall engineering and development resources and are expensed as incurred. Such costs incurred in the development of new products or significant improvements to existing products were $18.3 million , $17.7 million and $20.0 million in fiscal 2016 , 2015 and 2014 , respectively. The Company also incurs significant costs in connection with fulfilling custom orders and developing solutions for unique customer needs which are not included in these research and development expense totals. |
Other Income/Expense | Other Income/Expense: Other income and expense primarily consists of net foreign exchange transaction losses of $1.3 million , $0.1 million and $4.2 million in fiscal 2016 , 2015 and 2014 , respectively. |
Financing Costs | Financing Costs: Financing costs represent interest expense, financing fees and amortization of debt issuance costs, net of interest income. Interest income was $1.7 million , $1.9 million and $1.0 million for fiscal 2016 , 2015 and 2014 , respectively. |
Income Taxes | Income Taxes: The provision for income taxes includes federal, state, local and non-U.S. taxes on income. Tax credits, primarily for non-U.S. earnings, are recognized as a reduction of the provision for income taxes in the year in which they are available for U.S. tax purposes. Deferred taxes are provided on temporary differences between assets and liabilities for financial and tax reporting purposes as measured by enacted tax rates expected to apply when temporary differences are settled or realized. Future tax benefits are recognized to the extent that realization of those benefits is considered to be more likely than not. A valuation allowance is established for deferred tax assets for which realization is not more likely than not of being realized. The Company has not provided for any residual U.S. income taxes on unremitted earnings of non-U.S. subsidiaries as such earnings are intended to be indefinitely reinvested. The Company recognizes interest and penalties related to unrecognized tax benefits in income tax expense. |
Foreign Currency Translation | Foreign Currency Translation: The financial statements of the Company’s foreign operations are translated into U.S. dollars using the exchange rate at each balance sheet date for assets and liabilities and an appropriate weighted average exchange rate for each applicable period for revenues and expenses. Translation adjustments are reflected in the consolidated balance sheets and consolidated statements of shareholders' equity caption “Accumulated Other Comprehensive Loss.” |
Use of Estimates | Use of Estimates: The Company has recorded reserves for customer rebates, returns and discounts, doubtful accounts, inventory, incurred but not reported medical claims, environmental matters, warranty claims, workers compensation claims, product and non-product litigation and incentive compensation. These reserves require the use of estimates and judgment. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. The Company believes that such estimates are made with consistent and appropriate assumptions. Actual results may differ from these estimates. |
New Accounting Pronouncements, Policy | New Accounting Pronouncements In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes , which amends the existing guidance to require presentation of deferred tax assets and liabilities as non-current within a classified statement of financial position. This guidance was adopted, on a prospective basis, at September 1, 2015. Prior periods were not retrospectively adjusted. In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs, which includes amendments that require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. Under the new rule, the recognition and measurement of debt issuance costs is not affected. This guidance is effective for fiscal years beginning on or after December 15, 2015. The adoption of this standard in fiscal 2017 is not expected to have a material impact on the financial statements of the Company. In September 2015, the FASB issued ASU 2015-16, Simplifying the Accounting for Measurement-Period Adjustments, which eliminates the requirement to retrospectively account for changes to provisional amounts initially recorded in a business acquisition opening balance sheet. This standard is effective for fiscal years beginning after December 15, 2015 (fiscal 2017 for the Company), including interim periods within fiscal years. The adoption of this standard is not expected to have a material impact on the financial statements of the Company. In March 2016, the FASB issued ASU 2016-09, "Stock Compensation: Improvements to Employee Share-Based Payment Accounting," which will simplify several aspects of accounting for share-based payment transactions. The guidance will require, among other items, that all excess tax deficiencies or benefits be recorded as income tax expense or benefit in the statement of earnings, and not in additional paid-in capital (shareholder's equity). This guidance is effective for fiscal years beginning after December 15, 2016 (fiscal 2018 for the Company), and interim periods within those annual periods. The Company is currently evaluating the impact of adopting this standard. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. Under ASU 2014-09 and subsequent updates included in ASU 2016-10 and ASU 2016-12, an entity will recognize revenue when it transfers promised goods or services to customers in an amount that reflects what it expects in exchange for the goods or services. It also requires more detailed disclosures to enable users of financial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. This guidance is effective for fiscal years beginning on or after December 15, 2017 (fiscal 2019 for the Company). The Company is currently evaluating the impact of adopting this standard. In February 2016, the FASB issued ASU 2016-02, Leases which requires recognizing all lease transactions (with terms in excess of 12 months) on the balance sheet as a lease liability and a right-of-use asset. This new rule is effective for fiscal years beginning after December 15, 2018 (fiscal 2020 of the Company), including interim periods within those fiscal years. Upon adoption, the lessee will apply the new standard retrospectively to all periods presented or retrospectively using a cumulative effect adjustment in the year of adoption. The Company is currently evaluating the impact of adopting this standard. In August 2016, the FASB issued ASU 2016‑15, Statement of Cash Flows (Topic 230), Classification of Certain Cash Receipts and Cash Payments , to address how certain cash receipts and cash payments are presented and classified in the statement of cash flows. This update addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice. This guidance is effective for fiscal years beginning after December 15, 2017 (fiscal 2019 of the Company), including interim periods within those fiscal years. This update will require adoption on a retrospective basis unless it is impracticable to apply. The Company is currently evaluating the impact of adopting this standard. |
Summary of Significant Accoun28
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Accounting Policies [Abstract] | |
Restructuring and Related Costs | The following is a rollforward of fiscal 2016 restructuring activities, by segment, (in thousands): Industrial Energy Engineered Solutions Corporate Total Balance as of August 31, 2015 $ — $ — $ — $ — $ — Restructuring charges 3,158 5,544 5,411 458 14,571 Cash payments (1,772 ) (2,345 ) (3,199 ) (203 ) (7,519 ) Non-cash uses of reserve (54 ) (166 ) (364 ) (209 ) (793 ) Impact of changes in foreign currency rates 11 (12 ) 15 — 14 Balance as of August 31, 2016 $ 1,343 $ 3,021 $ 1,863 $ 46 $ 6,273 |
Reconciliation of Changes in Accrued Product Warranty | Product Warranty Costs : The Company generally offers its customers a warranty on products sold, although warranty periods may vary by product type and application. The reserve for future warranty claims is based on historical claim rates and current warranty cost experience. The following is a rollforward of the changes in product warranty reserves for fiscal years 2016 and 2015 (in thousands): 2016 2015 Beginning balance $ 3,719 $ 4,056 Warranty reserve of acquired businesses 3 — Provision for warranties 5,985 4,929 Warranty payments and costs incurred (4,058 ) (5,009 ) Impact of changes in foreign currency rates (57 ) (257 ) Ending balance $ 5,592 $ 3,719 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The following table summarizes the estimated fair value of the assets acquired and the liabilities assumed, at the date of acquisition, for these businesses (in thousands): Total Accounts receivable, net $ 20,439 Inventories 1,997 Other assets 505 Property, plant & equipment 12,315 Goodwill 45,967 Other intangible assets 13,517 Trade accounts payable (8,938 ) Other liabilities (1,225 ) Deferred income tax liability (2,661 ) Cash paid, net of cash acquired $ 81,916 |
Proforma Results of Operations | The following unaudited pro forma operating results give effect to these three acquisitions as though the transactions and related financing activities had occurred on September 1, 2013 (in thousands, except per share amounts). 2016 2015 2014 Net Sales As reported $ 1,149,410 $ 1,249,254 $ 1,399,862 Pro forma 1,175,304 1,275,965 1,450,014 Earnings (loss) from continuing operations As reported $ (105,174 ) $ 19,872 $ 141,453 Pro forma (100,927 ) 20,553 142,124 Basic earnings (loss) per share from continuing operations As reported $ (1.78 ) $ 0.32 $ 1.99 Pro forma (1.71 ) 0.34 2.00 Diluted earnings (loss) per share from continuing operations As reported $ (1.78 ) $ 0.32 $ 1.95 Pro forma (1.71 ) 0.33 1.96 |
Goodwill and Other Intangible30
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Impairment Charge [Table Text Block] | A summary of the second quarter fiscal 2016 impairment charge by reporting unit is as follows (in thousands): Cortland Viking maximatecc Total Goodwill $ 34,502 $ 39,099 $ 44,521 $ 118,122 Indefinite lived intangible assets 2,211 13,289 1,153 16,653 Amortizable intangible assets — 27,952 — 27,952 Fixed assets — 23,784 — 23,784 $ 36,713 $ 104,124 $ 45,674 $ 186,511 |
Changes in Carrying Value of Goodwill | The changes in the carrying amount of goodwill for the years ended August 31, 2016 and 2015 are as follows (in thousands): Industrial Energy Engineered Solutions Total Balance as of August 31, 2014 $ 100,266 $ 350,627 $ 291,877 $ 742,770 Purchase accounting adjustments (Hayes) (3,244 ) — — (3,244 ) Impairment charge — (78,530 ) — (78,530 ) Impact of changes in foreign currency rates (4,915 ) (35,647 ) (12,178 ) (52,740 ) Balance as of August 31, 2015 92,107 236,450 279,699 608,256 Business acquisitions 9,726 36,241 — 45,967 Impairment charge — (73,919 ) (44,543 ) (118,462 ) Business divestiture (Sanlo) — — (3,778 ) (3,778 ) Impact of changes in foreign currency rates (94 ) (11,451 ) (1,162 ) (12,707 ) Balance as of August 31, 2016 $ 101,739 $ 187,321 $ 230,216 $ 519,276 |
Gross Carrying Amount and Accumulated Amortization of Intangible Assets | The gross carrying amount and accumulated amortization of the Company’s intangible assets are as follows (in thousands): Weighted Average Amortization Period (Year) August 31, 2016 August 31, 2015 Gross Accumulated Amortization Net Book Value Gross Accumulated Amortization Net Book Value Amortizable intangible assets: Customer relationships 14 $ 292,671 $ 166,252 $ 126,419 $ 302,518 $ 132,007 $ 170,511 Patents 10 30,296 22,233 8,063 30,899 19,928 10,971 Trademarks and tradenames 18 21,283 7,936 13,347 21,604 7,055 14,549 Non-compete agreements & other 3 6,627 5,890 737 6,790 6,496 294 Indefinite lived intangible assets: Tradenames 90,909 — 90,909 112,437 — 112,437 $ 441,786 $ 202,311 $ 239,475 $ 474,248 $ 165,486 $ 308,762 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Debt Disclosure [Abstract] | |
Long-Term Indebtedness | The following is a summary of the Company’s long-term indebtedness (in thousands): August 31, 2016 2015 Senior Credit Facility Revolver ($600 million) $ — $ — Term Loan 296,250 300,000 296,250 300,000 5.625% Senior Notes 288,059 288,059 Total Senior Indebtedness 584,309 588,059 Less: current maturities of long-term debt (18,750 ) (3,750 ) Total long-term debt, less current maturities $ 565,559 $ 584,309 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Pension Plans, Defined Benefit | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets | The following table provides detail of changes in the projected benefit obligations, the fair value of plan assets and the funded status of the Company’s U.S. defined benefit pension plans as of the respective August 31 measurement date (in thousands): 2016 2015 Reconciliation of benefit obligations: Benefit obligation at beginning of year $ 45,612 $ 47,545 Interest cost 1,970 1,920 Actuarial (gain) loss 5,604 (170 ) Benefits paid (2,777 ) (3,683 ) Benefit obligation at end of year $ 50,409 $ 45,612 Reconciliation of plan assets: Fair value of plan assets at beginning of year $ 39,181 $ 44,642 Actual return on plan assets 2,687 (2,088 ) Company contributions 398 310 Benefits paid from plan assets (2,777 ) (3,683 ) Fair value of plan assets at end of year 39,489 39,181 Funded status of the plans (underfunded) $ (10,920 ) $ (6,431 ) |
Net Periodic Benefit Costs | The following table provides detail on the Company’s domestic net periodic benefit costs (in thousands): Year ended August 31, 2016 2015 2014 Interest cost $ 1,970 $ 1,920 $ 2,146 Expected return on assets (2,997 ) (3,143 ) (2,959 ) Amortization of actuarial loss 837 828 667 Net benefit cost (income) $ (190 ) $ (395 ) $ (146 ) |
Weighted Average Assumption used to Determine Benefit Obligations and Net Periodic Benefit Cost | Weighted-average assumptions used to determine U.S. pension plan obligations as of August 31 and weighted-average assumptions used to determine net periodic benefit cost for the years ended August 31 are as follows: 2016 2015 2014 Assumptions for benefit obligations: Discount rate 3.45 % 4.45 % 4.15 % Assumptions for net periodic benefit cost: Discount rate 4.45 % 4.15 % 4.90 % Expected return on plan assets 7.40 % 7.50 % 7.65 % |
U.S. Pension Plan Investment Allocations by Asset Category | The fair value of all U.S. pension plan assets is determined based on quoted market prices and therefore all plan assets are determined based on Level 1 inputs, except for fixed income securities which are valued based on Level 2 inputs, as defined in Note 6, “Fair Value Measurements.” The U.S. pension plan investment allocations by asset category were as follows (in thousands): Year Ended August 31, 2016 % 2015 % Cash and cash equivalents $ 347 0.9 % $ 314 0.8 % Fixed income securities: Corporate bonds 8,372 21.2 9,481 24.2 Mutual funds 3,351 8.5 3,100 7.9 11,723 29.7 12,581 32.1 Equity securities: Mutual funds 27,419 69.4 26,286 67.1 Total plan assets $ 39,489 100.0 % $ 39,181 100.0 % |
Other Pension Plans, Defined Benefit | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets | The funded status of these plans is summarized as follows (in thousands): August 31, 2016 2015 Benefit obligation $ 16,808 $ 14,255 Fair value of plan assets 8,502 8,675 Funded status of plans (underfunded) $ (8,306 ) $ (5,580 ) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Tax Expense from Continuing Operations | Income tax expense (benefit) from continuing operations is summarized as follows (in thousands): Year Ended August 31, 2016 2015 2014 Current: Federal $ 2,205 $ (126 ) $ 23,211 Foreign 11,838 21,200 9,059 State 912 (1,616 ) (657 ) 14,955 19,458 31,613 Deferred: Federal (12,470 ) (4,416 ) 4,224 Foreign (23,797 ) (9,199 ) (4,130 ) State (3,858 ) (324 ) 866 (40,125 ) (13,939 ) 960 Income tax expense (benefit) $ (25,170 ) $ 5,519 $ 32,573 |
Reconciliation of Income Taxes at Federal Statutory Rate to Effective Tax Rate | A reconciliation of income taxes at the federal statutory rate to the effective tax rate is summarized in the following table: Year Ended August 31, 2016 2015 2014 Federal statutory rate 35.0 % 35.0 % 35.0 % State income taxes, net of Federal effect 1.2 (0.2 ) 0.8 Net effects of foreign tax rate differential and credits (1) 1.6 (58.4 ) (10.5 ) Domestic manufacturing deduction 0.3 (5.1 ) (1.0 ) Foreign branch currency losses 4.9 — — Goodwill impairment (2) (27.0 ) 78.6 — Valuation allowance additions and releases (3) (0.7 ) 15.5 (8.0 ) Changes in liability for unrecognized tax benefits (4) (0.9 ) (42.1 ) 3.2 Change in income tax accounting method, net — — (5.6 ) Business divestitures 3.9 — 3.0 Other items 1.0 (1.6 ) 1.8 Effective income tax rate 19.3 % 21.7 % 18.7 % (1) During fiscal 2015, the Company generated $10.0 million of foreign tax credits, the result of a non-recurring non-permanent loan from a foreign subsidiary (which were utilized to reduce fiscal 2015 tax obligations) and had a higher proportion of non-U.S. earnings. (2) Fiscal 2016 and fiscal 2015 net earnings include a $186.5 million and $84.4 million , respectively, impairment of goodwill and intangible assets, of which $68.0 million and $6.3 million , respectively, are deductible for income tax purposes. (3) Additional valuation allowances of $5.7 million were established in fiscal 2015 due to uncertainty regarding utilization of foreign operating loss carryforwards, which were partially offset by the reversal of $2.3 million of previously established reserves. (4) The liability for unrecognized tax benefits decreased $9.5 million in fiscal 2015 primarily due to settlements and lapsing of tax audit statutes. |
Temporary Differences and Carryforwards of Deferred Tax Assets and Liabilities | Temporary differences and carryforwards that gave rise to deferred tax assets and liabilities include the following items (in thousands): August 31, 2016 2015 Deferred income tax assets: Operating loss and tax credit carryforwards $ 36,761 $ 19,419 Compensation related liabilities 25,086 27,047 Postretirement benefits 8,727 6,778 Inventory 3,044 3,253 Book reserves and other items 8,317 11,976 Total deferred income tax assets 81,935 68,473 Valuation allowance (8,147 ) (8,053 ) Net deferred income tax assets 73,788 60,420 Deferred income tax liabilities: Depreciation and amortization (83,020 ) (110,763 ) Other items (5,493 ) (4,539 ) Deferred income tax liabilities (88,513 ) (115,302 ) Net deferred income tax liability $ (14,725 ) $ (54,882 ) |
Changes in Gross Liability for Unrecognized Tax benefits, Excluding Interest and Penalties | Changes in the Company’s gross liability for unrecognized tax benefits, excluding interest and penalties, are as follows (in thousands): 2016 2015 2014 Beginning balance $ 29,924 $ 39,509 $ 18,006 Increases based on tax positions related to the current year 1,050 2,183 28,053 Increase for tax positions taken in a prior period 475 8,935 — Decrease for tax positions taken in a prior period — (633 ) — Decrease due to lapse of statute of limitations (1,027 ) (4,464 ) (7,030 ) Decrease due to settlements — (14,180 ) — Changes in foreign currency exchange rates (1,248 ) (1,426 ) 480 Ending balance $ 29,174 $ 29,924 $ 39,509 |
Earnings before Income Taxes, Including both Continuing and Discontinued Operations | Earnings (loss) before income taxes from continuing operations, are summarized as follows (in thousands): Year Ended August 31, 2016 2015 2014 Domestic $ (19,182 ) $ 14,593 $ 84,854 Foreign (111,162 ) 10,798 89,172 $ (130,344 ) $ 25,391 $ 174,026 |
Capital Stock (Tables)
Capital Stock (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Earnings Per Share | The following table sets forth the computation of basic and diluted earnings (loss) per share (in thousands, except per share amounts): Year Ended August 31, 2016 2015 2014 Numerator: Net earnings (loss) $ (105,174 ) $ 19,872 $ 163,573 Denominator: Weighted average common shares outstanding - basic 59,010 61,262 70,942 Net effect of dilutive securities - stock based compensation plans (1) — 793 1,544 Weighted average common shares outstanding - diluted 59,010 62,055 72,486 Basic Earnings (Loss) Per Share: $ (1.78 ) $ 0.32 $ 2.31 Diluted Earnings (Loss) Per Share: $ (1.78 ) $ 0.32 $ 2.26 Anti-dilutive securities from stock based compensation plans (excluded from earnings per share calculation) 4,832 2,056 522 |
Stock Plans (Tables)
Stock Plans (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary Stock option Activity | A summary of stock option activity during fiscal 2016 is as follows: Shares Weighted-Average Weighted-Average Aggregate Outstanding on September 1, 2015 3,852,663 $ 24.47 Granted 445,093 22.22 Exercised (175,950 ) 20.27 Forfeited (643,744 ) 26.85 Outstanding on August 31, 2016 3,478,062 $ 23.96 4.8 $ 6.3 million Exercisable on August 31, 2016 2,471,907 $ 24.29 3.2 $ 4.6 million |
Summary of Weighted Average Grant-Date Fair Value Of options, Total Intrinsic Value of Options Exercised, and Cash Receipts from Options Exercised | A summary of the weighted-average grant-date fair value of options, total intrinsic value of options exercised, and cash receipts from options exercised is summarized below (in thousands, except per share amounts): Year Ended August 31, 2016 2015 2014 Weighted-average fair value of options granted (per share) $ 8.63 $ 8.35 $ 14.46 Intrinsic value of options exercised 989 366 16,380 Cash receipts from exercise of options 3,564 1,147 22,423 |
Summary Of Restricted Stock Activity | A summary of restricted stock activity (including Performance Shares) during fiscal 2016 is as follows: Number of Weighted-Average Fair Value at Grant Date (Per Share) Outstanding on August 31, 2015 1,197,268 $28.13 Granted 793,648 22.64 Forfeited (306,339 ) 26.83 Vested (331,072 ) 28.25 Outstanding on August 31, 2016 1,353,505 25.21 |
Weighted Average Assumptions | The following weighted-average assumptions were used in each fiscal year: Fiscal Year Ended August 31, 2016 2015 2014 Dividend yield 0.19 % 0.15 % 0.11 % Expected volatility 38.06 % 37.80 % 38.30 % Risk-free rate of return 2.06 % 1.19 % 0.70 % Expected forfeiture rate 13 % 14 % 14 % Expected life 6.1 years 6.1 years 6.1 years |
Business Segment, Geographic 36
Business Segment, Geographic and Customer Information (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Segment Reporting [Abstract] | |
Summary of Financial Information by Reportable Segment and Product Line | The following tables summarize financial information by reportable segment and product line (in thousands): Year Ended August 31, 2016 2015 2014 Net Sales by Reportable Product Line & Segment: Industrial Segment: Integrated Solutions $ 44,985 $ 47,294 $ 52,962 Industrial Tools 314,832 355,170 360,940 359,817 402,464 413,901 Energy Segment: Energy Maintenance & Integrity 278,881 246,357 267,500 Other Energy Services 113,849 165,518 194,869 392,731 411,875 462,368 Engineered Solutions Segment: On-Highway 209,575 220,889 272,201 Agriculture, Off-Highway and Other 187,287 214,026 251,391 396,862 434,915 523,592 $ 1,149,410 $ 1,249,254 $ 1,399,862 Operating Profit (Loss): Industrial $ 79,773 $ 105,652 $ 120,250 Energy (1) (107,528 ) (41,351 ) 56,412 Engineered Solutions (2) (42,991 ) 19,789 55,430 Corporate (29,471 ) (30,536 ) (28,984 ) $ (100,217 ) $ 53,554 $ 203,108 (1) Energy segment operating profit (loss) includes impairment charges of $140.9 million and $84.4 million in fiscal 2016 and 2015 , respectively. (2) Engineered Solutions segment operating profit (loss) includes an impairment charge of $45.7 million in fiscal 2016. Depreciation and Amortization: Industrial $ 8,175 $ 8,257 $ 7,597 Energy 21,944 26,532 33,983 Engineered Solutions 15,910 16,652 17,602 Corporate 1,749 1,798 1,453 $ 47,777 $ 53,239 $ 60,635 Capital Expenditures Industrial $ 2,570 $ 1,249 $ 3,349 Energy 9,355 11,864 26,787 Engineered Solutions 5,974 8,472 8,763 Corporate 2,310 931 2,958 $ 20,209 $ 22,516 $ 41,857 August 31, 2016 2015 Assets: Industrial $ 308,222 $ 293,738 Energy 479,169 601,521 Engineered Solutions 493,840 588,200 Corporate 161,307 153,458 $ 1,442,538 $ 1,636,917 |
Financial Information From Continuing Operations By Geographic Region | The following tables summarize sales and long-lived assets (fixed assets and other long-term assets) by geographic region (in thousands): Year Ended August 31, 2016 2015 2014 Net Sales: United States $ 477,670 $ 526,061 $ 573,590 Netherlands 143,517 139,432 151,549 United Kingdom 115,183 113,743 162,508 Australia 62,779 94,319 82,778 United Arab Emirates 55,906 44,211 18,101 All other 294,355 331,488 411,336 $ 1,149,410 $ 1,249,254 $ 1,399,862 August 31, 2016 2015 Long-lived Assets: United States $ 32,205 $ 41,645 China 16,863 18,199 Australia 15,399 15,227 United Kingdom 9,914 21,704 United Arab Emirates 8,399 1,104 All other 34,399 47,183 $ 117,179 $ 145,062 |
Guarantor Subsidiaries (Tables)
Guarantor Subsidiaries (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Condensed Consolidating Statements of Earnings | CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (in thousands) Year Ended August 31, 2016 Parent Guarantors Non-Guarantors Eliminations Consolidated Net sales $ 135,679 $ 361,209 $ 652,522 $ — $ 1,149,410 Cost of products sold 34,576 263,197 448,240 — 746,013 Gross profit 101,103 98,012 204,282 — 403,397 Selling, administrative and engineering expenses 69,677 69,382 135,438 — 274,497 Restructuring charges 2,426 3,455 8,690 — 14,571 Amortization of intangible assets 1,272 13,287 8,384 — 22,943 Loss on product line divestiture — 5,092 — — 5,092 Impairment charges — 49,012 137,499 — 186,511 Operating profit (loss) 27,728 (42,216 ) (85,729 ) — (100,217 ) Financing costs, net 30,123 — (1,355 ) — 28,768 Intercompany (income) expense, net (20,445 ) (9,999 ) 30,444 — — Intercompany dividends — — (5,338 ) 5,338 — Other expense, net 914 54 391 — 1,359 Earnings (loss) before income taxes 17,136 (32,271 ) (109,871 ) (5,338 ) (130,344 ) Income tax expense (benefit) (8,729 ) 519 (17,046 ) 86 (25,170 ) Net earnings (loss) before equity in earnings (loss) of subsidiaries 25,865 (32,790 ) (92,825 ) (5,424 ) (105,174 ) Equity in earnings (loss) of subsidiaries (131,037 ) (83,747 ) 3,024 211,760 — Net loss (105,174 ) (116,537 ) (89,801 ) 206,336 (105,174 ) Comprehensive loss $ (143,357 ) $ (157,344 ) $ (83,802 ) $ 241,146 $ (143,357 ) CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (in thousands) Year Ended August 31, 2015 Parent Guarantors Non-Guarantors Eliminations Consolidated Net sales $ 158,836 $ 385,476 $ 704,942 $ — $ 1,249,254 Cost of products sold 40,858 280,081 466,474 — 787,413 Gross profit 117,978 105,395 238,468 — 461,841 Selling, administrative and engineering expenses 74,588 69,041 155,972 — 299,601 Impairment charges — 20,249 64,104 — 84,353 Amortization of intangible assets 1,272 13,061 10,000 — 24,333 Operating profit 42,118 3,044 8,392 — 53,554 Financing costs, net 29,295 — (1,238 ) — 28,057 Intercompany (income) expense, net (19,727 ) (8,835 ) 28,562 — — Intercompany dividends (212 ) (243 ) (10,707 ) 11,162 — Other expense (income), net 160 (84 ) 30 — 106 Earnings before income taxes 32,602 12,206 (8,255 ) (11,162 ) 25,391 Income tax expense (benefit) (8,218 ) 4,056 10,939 (1,258 ) 5,519 Net earnings (loss) before equity in earnings (loss) of subsidiaries 40,820 8,150 (19,194 ) (9,904 ) 19,872 Equity in earnings (loss) of subsidiaries (20,948 ) (1,720 ) 6,520 16,148 — Net earnings (loss) 19,872 6,430 (12,674 ) 6,244 19,872 Comprehensive loss $ (125,360 ) $ (10,689 ) $ (88,431 ) $ 99,120 $ (125,360 ) CONDENSED CONSOLIDATING STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME (in thousands) Year Ended August 31, 2014 Parent Guarantors Non-Guarantors Eliminations Consolidated Net sales $ 195,573 $ 409,848 $ 794,441 $ — $ 1,399,862 Cost of products sold 57,464 290,840 504,686 — 852,990 Gross profit 138,109 119,008 289,755 — 546,872 Selling, administrative and engineering expenses 96,220 54,699 181,174 — 332,093 Loss (gain) on product line divestiture 1,200 (14,695 ) — — (13,495 ) Amortization of intangible assets 1,272 12,687 11,207 — 25,166 Operating profit 39,417 66,317 97,374 — 203,108 Financing costs, net 25,611 3 (569 ) — 25,045 Intercompany (income) expense, net (27,601 ) (5,760 ) 33,361 — — Other expense (income), net 12,716 153 (8,832 ) — 4,037 Earnings from continuing operations before income taxes 28,691 71,921 73,414 — 174,026 Income tax expense (benefit) (16,529 ) 33,690 15,412 — 32,573 Net earnings from continuing operations before equity in earnings of subsidiaries 45,220 38,231 58,002 — 141,453 Equity in earnings of subsidiaries 139,865 23,297 15,058 (178,220 ) — Earnings from continuing operations 185,085 61,528 73,060 (178,220 ) 141,453 Earnings (loss) from discontinued operations (21,512 ) 56,494 (12,862 ) — 22,120 Net earnings 163,573 118,022 60,198 (178,220 ) 163,573 Comprehensive income $ 163,825 $ 132,046 $ 46,226 $ (178,272 ) $ 163,825 |
Condensed Consolidating Balance Sheets | CONDENSED CONSOLIDATING BALANCE SHEETS (in thousands) August 31, 2016 Parent Guarantors Non-Guarantors Eliminations Consolidated ASSETS Current assets Cash and cash equivalents $ 7,953 $ 71 $ 171,580 $ — $ 179,604 Accounts receivable, net 13,692 41,715 131,422 — 186,829 Inventories, net 19,897 44,283 66,576 — 130,756 Other current assets 7,754 3,858 33,851 — 45,463 Total current assets 49,296 89,927 403,429 — 542,652 Property, plant & equipment, net 5,927 23,511 84,577 — 114,015 Goodwill 38,847 200,499 279,930 — 519,276 Other intangibles, net 9,429 149,757 80,289 — 239,475 Investment in subsidiaries 1,915,367 578,423 465,736 (2,959,526 ) — Intercompany receivable — 1,159,672 — (1,159,672 ) — Other long-term assets 9,580 10 17,530 — 27,120 Total assets $ 2,028,446 $ 2,201,799 $ 1,331,491 $ (4,119,198 ) $ 1,442,538 LIABILITIES & SHAREHOLDERS' EQUITY Current liabilities Trade accounts payable $ 11,529 $ 20,669 $ 82,853 $ — $ 115,051 Accrued compensation and benefits 17,506 5,754 23,641 — 46,901 Current maturities of debt and short-term borrowings 18,750 — — — 18,750 Income taxes payable 1,886 — 7,368 — 9,254 Other current liabilities 20,459 6,989 24,508 — 51,956 Total current liabilities 70,130 33,412 138,370 — 241,912 Long-term debt 565,559 — — — 565,559 Deferred income taxes 30,666 — 690 — 31,356 Pension and post-retirement benefit liabilities 16,803 — 8,864 — 25,667 Other long-term liabilities 47,739 588 8,767 — 57,094 Intercompany payable 776,599 — 383,073 (1,159,672 ) — Shareholders’ equity 520,950 2,167,799 791,727 (2,959,526 ) 520,950 Total liabilities and shareholders' equity $ 2,028,446 $ 2,201,799 $ 1,331,491 $ (4,119,198 ) $ 1,442,538 CONDENSED CONSOLIDATING BALANCE SHEETS (in thousands) August 31, 2015 ASSETS Parent Guarantors Non-Guarantors Eliminations Consolidated Current assets Cash and cash equivalents $ 18,688 $ 567 $ 149,591 $ — $ 168,846 Accounts receivable, net 16,135 49,258 127,688 — 193,081 Inventories, net 23,074 55,151 64,527 — 142,752 Deferred income taxes 9,256 — 3,666 — 12,922 Other current assets 18,020 4,708 20,060 — 42,788 Total current assets 85,173 109,684 365,532 — 560,389 Property, plant & equipment, net 6,363 33,675 102,420 — 142,458 Goodwill 38,847 318,088 251,321 — 608,256 Other intangibles, net 10,702 173,497 124,563 — 308,762 Investment in subsidiaries 2,067,438 632,581 182,001 (2,882,020 ) — Intercompany receivable — 1,140,030 45,141 (1,185,171 ) — Other long-term assets 10,694 — 6,358 — 17,052 Total assets $ 2,219,217 $ 2,407,555 $ 1,077,336 $ (4,067,191 ) $ 1,636,917 LIABILITIES & SHAREHOLDERS' EQUITY Current liabilities Trade accounts payable $ 14,700 $ 27,767 $ 75,648 $ — $ 118,115 Accrued compensation and benefits 16,479 3,625 23,603 — 43,707 Income taxes payable 10,947 — 3,858 — 14,805 Current maturities of debt and short-term borrowings 3,750 — 219 — 3,969 Other current liabilities 19,817 5,807 28,836 — 54,460 Total current liabilities 65,693 37,199 132,164 — 235,056 Long-term debt 584,309 — — — 584,309 Deferred income taxes 43,210 — 29,731 — 72,941 Pension and post-retirement benefit liabilities 11,712 — 6,116 — 17,828 Other long-term liabilities 46,407 400 6,975 — 53,782 Intercompany payable 794,885 — 390,286 (1,185,171 ) — Shareholders’ equity 673,001 2,369,956 512,064 (2,882,020 ) 673,001 Total liabilities and shareholders’ equity $ 2,219,217 $ 2,407,555 $ 1,077,336 $ (4,067,191 ) $ 1,636,917 |
Condensed Consolidating Statements of Cash Flows | CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (in thousands) Year Ended August 31, 2016 Parent Guarantors Non-Guarantors Eliminations Consolidated Operating Activities Net cash provided by (used in) operating activities $ 58,926 $ (1,953 ) $ 66,062 $ (5,338 ) $ 117,697 Investing Activities Capital expenditures (2,135 ) (6,781 ) (11,293 ) — (20,209 ) Proceeds from sale of property, plant and equipment 13 7,000 2,283 — 9,296 Intercompany investment (339 ) (3,458 ) — 3,797 — Business acquisitions, net of cash acquired — — (81,916 ) — (81,916 ) Proceeds from sale of businesses, net of transaction costs — 9,695 — — 9,695 Cash provided by (used in) investing activities (2,461 ) 6,456 (90,926 ) 3,797 (83,134 ) Financing Activities Net repayments on revolving credit facility — — (210 ) — (210 ) Principal repayments on term loans (3,750 ) — — — (3,750 ) Purchase of treasury shares (17,101 ) — — — (17,101 ) Taxes paid related to the net share settlement of equity awards (1,409 ) — — — (1,409 ) Stock option exercises, related tax benefits, and other 6,416 — — — 6,416 Cash dividend (2,376 ) (5,338 ) — 5,338 (2,376 ) Intercompany loan activity (48,980 ) — 48,980 — — Intercompany capital contributions — 339 3,458 (3,797 ) — Cash provided by (used in) financing activities (67,200 ) (4,999 ) 52,228 1,541 (18,430 ) Effect of exchange rate changes on cash — — (5,375 ) — (5,375 ) Net increase (decrease) in cash and cash equivalents (10,735 ) (496 ) 21,989 — 10,758 Cash and cash equivalents—beginning of period 18,688 567 149,591 — 168,846 Cash and cash equivalents—end of period $ 7,953 $ 71 $ 171,580 $ — $ 179,604 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (in thousands) Year Ended August 31, 2015 Parent Guarantors Non-Guarantors Eliminations Consolidated Operating Activities Net cash provided by (used in) operating activities $ 90,632 $ (20,750 ) $ 72,228 $ (10,676 ) $ 131,434 Investing Activities Capital expenditures (1,086 ) (5,848 ) (15,582 ) — (22,516 ) Proceeds from sale of property, plant and equipment — 273 971 — 1,244 Intercompany investment (3,727 ) — — 3,727 — Cash used in investing activities (4,813 ) (5,575 ) (14,611 ) 3,727 (21,272 ) Financing Activities Net borrowings on revolving credit facility — — 220 — 220 Principal repayment on term loan (3,375 ) — — — (3,375 ) Proceeds from term loans 213,375 — — — 213,375 Redemption on 5.625% Senior Notes (11,941 ) — — — (11,941 ) Debt issuance costs (2,025 ) — — — (2,025 ) Purchase of treasury shares (212,003 ) — — — (212,003 ) Taxes paid related to net share settlement of equity awards (2,466 ) — — — (2,466 ) Stock option exercises, related tax benefits and other 5,396 — — — 5,396 Cash dividend (2,598 ) (10,676 ) — 10,676 (2,598 ) Intercompany loan activity (79,425 ) 34,081 45,344 — — Intercompany capital contributions — — 3,727 (3,727 ) — Cash provided by (used in) financing activities (95,062 ) 23,405 49,291 6,949 (15,417 ) Effect of exchange rate changes on cash — — (34,911 ) — (34,911 ) Net increase (decrease) in cash and cash equivalents (9,243 ) (2,920 ) 71,997 — 59,834 Cash and cash equivalents—beginning of period 27,931 3,487 77,594 — 109,012 Cash and cash equivalents—end of period $ 18,688 $ 567 $ 149,591 $ — $ 168,846 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (in thousands) Year Ended August 31, 2014 Parent Guarantors Non-Guarantors Eliminations Consolidated Operating Activities Net cash provided by (used in) operating activities $ 76,870 $ (19,156 ) $ 83,182 $ (14,716 ) $ 126,180 Investing Activities Capital expenditures (4,498 ) (6,397 ) (30,962 ) — (41,857 ) Proceeds from sale of property, plant and equipment 85 503 43,686 — 44,274 Proceeds from sale of business (4,586 ) 250,748 43,428 — 289,590 Business acquisitions, net of cash acquired (30,500 ) — — — (30,500 ) Cash (used in) provided by investing activities (39,499 ) 244,854 56,152 — 261,507 Financing Activities Net repayments on revolving credit facility (125,000 ) — — — (125,000 ) Payment of deferred acquisition consideration — — (1,585 ) — (1,585 ) Purchase of treasury shares (283,712 ) — — — (283,712 ) Taxes paid related to net share settlement of equity awards (946 ) — — — (946 ) Stock option exercises, related tax benefits and other 32,224 — — — 32,224 Cash dividend (2,919 ) — (14,716 ) 14,716 (2,919 ) Intercompany loan activity 354,791 (222,266 ) (132,525 ) — — Cash used in financing activities (25,562 ) (222,266 ) (148,826 ) 14,716 (381,938 ) Effect of exchange rate changes on cash — — (723 ) — (723 ) Net increase (decrease) in cash and cash equivalents 11,809 3,432 (10,215 ) — 5,026 Cash and cash equivalents—beginning of period 16,122 (107 ) 87,971 — 103,986 Cash and cash equivalents—end of period $ 27,931 $ 3,325 $ 77,756 $ — $ 109,012 |
Quarterly Financial Data (Una38
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data | Quarterly financial data for fiscal 2016 and fiscal 2015 is as follows: Year Ended August 31, 2016 First Second Third Fourth Total Net sales $ 305,011 $ 263,289 $ 305,341 $ 275,769 $ 1,149,410 Gross profit 108,562 91,030 107,526 96,279 403,397 Net earnings (loss) 15,448 (159,191 ) 21,166 17,402 (105,174 ) Net earnings (loss) per share: Basic $ 0.26 $ (2.70 ) $ 0.36 $ 0.30 $ (1.78 ) Diluted 0.26 (2.70 ) 0.36 0.29 (1.78 ) Year Ended August 31, 2015 First Second Third Fourth Total Net sales $ 327,765 $ 301,005 $ 320,100 $ 300,384 $ 1,249,254 Gross profit 126,976 109,763 118,560 106,542 461,841 Net earnings (loss) 24,674 (64,838 ) 37,958 22,078 19,872 Net earnings (loss) per share: Basic $ 0.38 $ (1.05 ) $ 0.64 $ 0.37 $ 0.32 Diluted 0.38 (1.05 ) 0.63 0.37 0.32 |
Reconciliation of Changes in Ac
Reconciliation of Changes in Accrued Product Warranty and Restructuring (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Balance as of August 31, 2015 | $ 0 | ||
Restructuring charges | 14,571 | $ 0 | $ 0 |
Cash payments | (7,519) | ||
Non-cash uses of reserve | (793) | ||
Impact of changes in foreign currency rates | 14 | ||
Balance as of August 31, 2016 | 6,273 | 0 | |
Accounts Receivable, allowance for doubtful accounts | 7,800 | 4,000 | |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | |||
Beginning balance | 3,719 | 4,056 | |
Product Warranty Accrual, Additions from Business Acquisition | 3 | 0 | |
Product Warranty Accrual, Warranties Issued | 5,985 | 4,929 | |
Warranty payments and costs incurred | (4,058) | (5,009) | |
Product Warranty Accrual, Currency Translation, Increase (Decrease) | (57) | (257) | |
Ending balance | 5,592 | 3,719 | $ 4,056 |
Industrial | |||
Restructuring Cost and Reserve [Line Items] | |||
Balance as of August 31, 2015 | 0 | ||
Restructuring charges | 3,158 | ||
Cash payments | (1,772) | ||
Non-cash uses of reserve | (54) | ||
Impact of changes in foreign currency rates | 11 | ||
Balance as of August 31, 2016 | 1,343 | 0 | |
Energy | |||
Restructuring Cost and Reserve [Line Items] | |||
Balance as of August 31, 2015 | 0 | ||
Restructuring charges | 5,544 | ||
Cash payments | (2,345) | ||
Non-cash uses of reserve | (166) | ||
Impact of changes in foreign currency rates | (12) | ||
Balance as of August 31, 2016 | 3,021 | 0 | |
Engineered Solutions | |||
Restructuring Cost and Reserve [Line Items] | |||
Balance as of August 31, 2015 | 0 | ||
Restructuring charges | 5,411 | ||
Cash payments | (3,199) | ||
Non-cash uses of reserve | (364) | ||
Impact of changes in foreign currency rates | 15 | ||
Balance as of August 31, 2016 | 1,863 | 0 | |
Corporation | |||
Restructuring Cost and Reserve [Line Items] | |||
Balance as of August 31, 2015 | 0 | ||
Restructuring charges | 458 | ||
Cash payments | (203) | ||
Non-cash uses of reserve | (209) | ||
Impact of changes in foreign currency rates | 0 | ||
Balance as of August 31, 2016 | $ 46 | $ 0 |
Summary of Significant Accoun40
Summary of Significant Accounting Policies - Additional Information (Detail) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016USD ($)Segment | Aug. 31, 2015USD ($) | Aug. 31, 2014USD ($) | |
Significant Accounting Policies [Line Items] | |||
Product Warranty Accrual | $ 5,592 | $ 3,719 | $ 4,056 |
Number of reportable segments | Segment | 3 | ||
Portion of inventory determined using last-in, first-out ("LIFO") method | 21.00% | 22.10% | |
Inventory LIFO reserve | $ 3,700 | $ 5,600 | |
Unearned Revenue | 7,700 | 8,300 | |
Accounts Receivable, allowance for doubtful accounts | 7,800 | 4,000 | |
Restructuring charges | 14,571 | 0 | 0 |
Research and development costs | 18,300 | 17,700 | 20,000 |
Foreign exchange transaction (gains)/losses | 1,300 | 100 | 4,200 |
Product Warranty Accrual, Additions from Business Acquisition | 3 | 0 | |
Product Warranty Accrual, Warranties Issued | 5,985 | 4,929 | |
Product Warranty Accrual, Payments | (4,058) | (5,009) | |
Product Warranty Accrual, Currency Translation, Increase (Decrease) | (57) | (257) | |
Interest Income, Other | $ 1,700 | $ 1,900 | $ 1,000 |
Minimum | Buildings and improvements | |||
Significant Accounting Policies [Line Items] | |||
Property, plant and equipment useful life | 10 years | ||
Minimum | Machinery and equipment | |||
Significant Accounting Policies [Line Items] | |||
Property, plant and equipment useful life | 2 years | ||
Maximum | Buildings and improvements | |||
Significant Accounting Policies [Line Items] | |||
Property, plant and equipment useful life | 40 years | ||
Maximum | Machinery and equipment | |||
Significant Accounting Policies [Line Items] | |||
Property, plant and equipment useful life | 15 years |
Proforma Results of Operations
Proforma Results of Operations (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Business Acquisition [Line Items] | |||
Net sales, As reported | $ 1,149,410 | $ 1,249,254 | $ 1,399,862 |
Net sales, Pro forma | 1,175,304 | 1,275,965 | 1,450,014 |
Earnings from continuing operations | (105,174) | 19,872 | 141,453 |
Earnings from continuing operations, Pro forma | $ (100,927) | $ 20,553 | $ 142,124 |
Basic earnings per share from continuing operations, As reported | $ (1.78) | $ 0.32 | $ 1.99 |
Basic earnings per share from continuing operations, Pro forma | (1.71) | 0.34 | 2 |
Diluted earnings per share from continuing operations, As reported | (1.78) | 0.32 | 1.95 |
Diluted earnings per share from continuing operations, Pro forma | $ (1.71) | $ 0.33 | $ 1.96 |
Fiscal 2016 acquisitions [Member] | |||
Business Acquisition [Line Items] | |||
Net sales, As reported | $ 19,100 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) $ in Thousands | Mar. 31, 2016USD ($) | Feb. 18, 2016USD ($) | May 23, 2014USD ($) | Aug. 31, 2016USD ($)acquisition | Aug. 31, 2015USD ($)acquisition | Aug. 31, 2014USD ($)acquisition | Mar. 30, 2016USD ($) | Feb. 17, 2016USD ($) |
Business Acquisition [Line Items] | ||||||||
Transaction costs related to business acquisition activities | $ 2,700 | $ 100 | $ 500 | |||||
Cash paid for business acquisitions, net of cash acquired | 81,916 | $ 0 | $ 30,500 | |||||
Recognition of Goodwill due to Business acquired | $ 14,300 | $ 45,967 | ||||||
Number of businesses acquired | acquisition | 2 | 0 | 1 | |||||
Hayes Industries | ||||||||
Business Acquisition [Line Items] | ||||||||
Business Acquisition, Date of Acquisition Agreement | May 23, 2014 | |||||||
Cash paid for business acquisitions, net of cash acquired | $ 30,500 | |||||||
Recognition of Intangible Assets Acquired | 10,550 | |||||||
Larzep | ||||||||
Business Acquisition [Line Items] | ||||||||
Business Acquisition, Date of Acquisition Agreement | Feb. 17, 2016 | |||||||
Cash paid for business acquisitions, net of cash acquired | $ 15,900 | |||||||
Recognition of Goodwill due to Business acquired | $ 9,700 | |||||||
Recognition of Intangible Assets Acquired | $ 4,777 | |||||||
Pipeline and Process Services | ||||||||
Business Acquisition [Line Items] | ||||||||
Business Acquisition, Date of Acquisition Agreement | Mar. 30, 2016 | |||||||
Cash paid for business acquisitions, net of cash acquired | $ 65,500 | |||||||
Recognition of Goodwill due to Business acquired | $ 36,200 | |||||||
Recognition of Intangible Assets Acquired | $ 8,740 | |||||||
Fiscal 2016 acquisitions [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Cash paid for business acquisitions, net of cash acquired | $ 81,916 | |||||||
Recognition of Goodwill due to Business acquired | 45,967 | |||||||
Recognition of Intangible Assets Acquired | 13,517 | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Receivables | 20,439 | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory | 1,997 | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Other | 505 | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 12,315 | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Accounts Payable | (8,938) | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other | (1,225) | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Liabilities Noncurrent | $ (2,661) | |||||||
Customer Relationships | Hayes Industries | ||||||||
Business Acquisition [Line Items] | ||||||||
Recognition of Intangible Assets Acquired | 3,300 | |||||||
Customer Relationships | Larzep | ||||||||
Business Acquisition [Line Items] | ||||||||
Recognition of Intangible Assets Acquired | 3,555 | |||||||
Customer Relationships | Pipeline and Process Services | ||||||||
Business Acquisition [Line Items] | ||||||||
Recognition of Intangible Assets Acquired | 8,000 | |||||||
Non-compete Agreements | Hayes Industries | ||||||||
Business Acquisition [Line Items] | ||||||||
Recognition of Intangible Assets Acquired | 250 | |||||||
Non-compete Agreements | Pipeline and Process Services | ||||||||
Business Acquisition [Line Items] | ||||||||
Recognition of Intangible Assets Acquired | $ 740 | |||||||
Trade Names | Hayes Industries | ||||||||
Business Acquisition [Line Items] | ||||||||
Recognition of Intangible Assets Acquired | 2,000 | |||||||
Trade Names | Larzep | ||||||||
Business Acquisition [Line Items] | ||||||||
Recognition of Intangible Assets Acquired | $ 1,222 | |||||||
Patents | Hayes Industries | ||||||||
Business Acquisition [Line Items] | ||||||||
Recognition of Intangible Assets Acquired | $ 5,000 |
Discontinued Operations - Addit
Discontinued Operations - Additional Information (Detail) - USD ($) $ in Thousands | Aug. 25, 2016 | Jun. 13, 2014 | Dec. 13, 2013 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain (loss) on product line divestiture | $ 5,092 | $ 0 | $ (13,495) | |||
Proceeds from sale of businesses, net of transaction costs | 9,695 | 0 | 289,590 | |||
Net gain on disposal of businesses | (1,557) | $ 0 | (29,152) | |||
Sanlo [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Disposal Date | Aug. 25, 2016 | |||||
Gain (loss) on product line divestiture | $ (5,092) | |||||
Proceeds from sale of businesses, net of transaction costs | 9,700 | |||||
Net gain on disposal of businesses | $ 1,558 | |||||
Disposal Group, Not Discontinued Operation, annual revenue | $ 10,794 | |||||
Recreational vehicle [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Disposal Date | Jun. 13, 2014 | |||||
Gain (loss) on product line divestiture | $ 13,495 | |||||
Proceeds from sale of businesses, net of transaction costs | 36,500 | |||||
Net gain on disposal of businesses | $ 2,813 | |||||
Disposal Group, Not Discontinued Operation, annual revenue | 22,050 | |||||
Electrical | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Disposal Date | Dec. 13, 2013 | |||||
Proceeds from sale of businesses, net of transaction costs | $ 252,400 | |||||
Net sales | $ 72,139 | |||||
Gain on disposal | 34,459 | |||||
Gain on disposal, net of tax | $ 26,339 |
Changes in Carrying Value of Go
Changes in Carrying Value of Goodwill (Detail) - USD ($) $ in Thousands | May 23, 2014 | Feb. 29, 2016 | Feb. 28, 2015 | Feb. 29, 2016 | Aug. 31, 2016 | Aug. 31, 2015 |
Goodwill [Roll Forward] | ||||||
Beginning Balance | $ 608,256 | $ 608,256 | $ 742,770 | |||
Recognition of Goodwill due to Business acquired | $ 14,300 | 45,967 | ||||
Purchase accounting adjustments | (3,244) | |||||
Goodwill, Impairment Charge | $ (118,462) | $ (78,530) | (118,122) | |||
Write off of goodwill related to a business divestiture | (3,778) | |||||
Impact of changes in foreign currency rates | (12,707) | (52,740) | ||||
Ending Balance | 519,276 | 608,256 | ||||
Industrial | ||||||
Goodwill [Roll Forward] | ||||||
Beginning Balance | 92,107 | 92,107 | 100,266 | |||
Recognition of Goodwill due to Business acquired | 9,726 | |||||
Purchase accounting adjustments | (3,244) | |||||
Goodwill, Impairment Charge | 0 | 0 | ||||
Write off of goodwill related to a business divestiture | 0 | |||||
Impact of changes in foreign currency rates | (94) | (4,915) | ||||
Ending Balance | 101,739 | 92,107 | ||||
Energy | ||||||
Goodwill [Roll Forward] | ||||||
Beginning Balance | 236,450 | 236,450 | 350,627 | |||
Recognition of Goodwill due to Business acquired | 36,241 | |||||
Purchase accounting adjustments | 0 | |||||
Goodwill, Impairment Charge | (73,919) | (78,530) | (78,530) | |||
Write off of goodwill related to a business divestiture | 0 | |||||
Impact of changes in foreign currency rates | (11,451) | (35,647) | ||||
Ending Balance | 187,321 | 236,450 | ||||
Engineered Solutions | ||||||
Goodwill [Roll Forward] | ||||||
Beginning Balance | $ 279,699 | 279,699 | 291,877 | |||
Recognition of Goodwill due to Business acquired | 0 | |||||
Purchase accounting adjustments | 0 | |||||
Goodwill, Impairment Charge | $ (44,543) | $ 0 | ||||
Write off of goodwill related to a business divestiture | (3,778) | |||||
Impact of changes in foreign currency rates | (1,162) | (12,178) | ||||
Ending Balance | $ 230,216 | $ 279,699 |
Gross Carrying Value and Accumu
Gross Carrying Value and Accumulated Amortization of Intangible Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2016 | Aug. 31, 2015 | |
Indefinite And Finite Lived Intangible Assets [Line Items] | ||
Finite-Lived Accumulated Amortization | $ 202,311 | $ 165,486 |
Intangible assets, gross | 441,786 | 474,248 |
Intangible assets, net | 239,475 | 308,762 |
Trade Names | ||
Indefinite And Finite Lived Intangible Assets [Line Items] | ||
Indefinite-Lived Intangible Assets, Gross | 90,909 | 112,437 |
Customer Relationships | ||
Indefinite And Finite Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 292,671 | 302,518 |
Finite-Lived Accumulated Amortization | 166,252 | 132,007 |
Net Book Value | $ 126,419 | 170,511 |
Weighted Average Amortization Period | 14 years | |
Patents | ||
Indefinite And Finite Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 30,296 | 30,899 |
Finite-Lived Accumulated Amortization | 22,233 | 19,928 |
Net Book Value | $ 8,063 | 10,971 |
Weighted Average Amortization Period | 10 years | |
Trademarks and Tradenames | ||
Indefinite And Finite Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 21,283 | 21,604 |
Finite-Lived Accumulated Amortization | 7,936 | 7,055 |
Net Book Value | $ 13,347 | 14,549 |
Weighted Average Amortization Period | 18 years | |
Non-Compete Agreements and Other | ||
Indefinite And Finite Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 6,627 | 6,790 |
Finite-Lived Accumulated Amortization | 5,890 | 6,496 |
Net Book Value | $ 737 | 294 |
Weighted Average Amortization Period | 3 years | |
Indefinite-Lived Intangible Assets, Gross | $ 0 | $ 0 |
Goodwill and Other Intangible46
Goodwill and Other Intangible Assets - Additional Information(Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Feb. 29, 2016 | Feb. 28, 2015 | Feb. 29, 2016 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Goodwill [Line Items] | ||||||
Impairment charge | $ 186,511 | $ 186,511 | $ 84,353 | $ 0 | ||
Goodwill, Impairment Charge | $ 118,462 | $ 78,530 | 118,122 | |||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 16,653 | |||||
Impairment of Intangible Assets, Finite-lived | 27,952 | |||||
Tangible Asset Impairment Charges | 23,784 | |||||
Future amortization expense, 2017 | 20,200 | |||||
Future amortization expense, 2018 | 19,900 | |||||
Future amortization expense, 2019 | 19,700 | |||||
Future amortization expense, 2020 | 19,000 | |||||
Future amortization expense, 2021 | 17,900 | |||||
Future amortization expense, thereafter | 51,900 | |||||
maximatecc | ||||||
Goodwill [Line Items] | ||||||
Impairment charge | 45,674 | |||||
Goodwill, Impairment Charge | 44,521 | |||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 1,153 | |||||
Impairment of Intangible Assets, Finite-lived | 0 | |||||
Tangible Asset Impairment Charges | 0 | |||||
Viking | ||||||
Goodwill [Line Items] | ||||||
Impairment charge | 104,124 | |||||
Goodwill, Impairment Charge | 39,099 | |||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 13,289 | |||||
Impairment of Intangible Assets, Finite-lived | 27,952 | |||||
Tangible Asset Impairment Charges | 23,784 | |||||
Cortland | ||||||
Goodwill [Line Items] | ||||||
Impairment charge | 36,713 | |||||
Goodwill, Impairment Charge | 34,502 | |||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 2,211 | |||||
Impairment of Intangible Assets, Finite-lived | $ 0 | |||||
Tangible Asset Impairment Charges | 0 | |||||
Energy | ||||||
Goodwill [Line Items] | ||||||
Impairment charge | $ 140,938 | 84,353 | ||||
Goodwill, Impairment Charge | $ 73,919 | $ 78,530 | 78,530 | |||
Energy | Trade Names | ||||||
Goodwill [Line Items] | ||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 6,400 |
Long-Term Indebtedness (Detail)
Long-Term Indebtedness (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
Debt Instrument [Line Items] | ||
Total Senior Indebtedness | $ 584,309 | $ 588,059 |
Less: current maturities of long-term debt | (18,750) | (3,750) |
Long-term Debt, Excluding Current Maturities | 565,559 | 584,309 |
Senior Credit Facility | ||
Debt Instrument [Line Items] | ||
Total Senior Indebtedness | 296,250 | 300,000 |
Senior Credit Facility | Senior Credit Facility - Revolver | ||
Debt Instrument [Line Items] | ||
Total Senior Indebtedness | 0 | 0 |
Senior Credit Facility | Senior Credit Facility - Term Loan | ||
Debt Instrument [Line Items] | ||
Total Senior Indebtedness | 296,250 | 300,000 |
Senior Notes | 5.625% Senior Notes | ||
Debt Instrument [Line Items] | ||
5.625% Senior Notes Carrying Value | $ 288,059 | $ 288,059 |
Debt - Additional Information (
Debt - Additional Information (Detail) $ in Thousands | Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Aug. 31, 2016USD ($) | Aug. 31, 2016USD ($)covenant | Aug. 31, 2015USD ($) | Aug. 31, 2014USD ($) | Jul. 19, 2015USD ($) | Jun. 19, 2015USD ($) | Apr. 16, 2012USD ($) |
Debt Instrument [Line Items] | |||||||||
Long-term Debt | $ 584,309 | $ 584,309 | $ 588,059 | ||||||
Cash interest payments | 27,200 | 24,800 | $ 21,000 | ||||||
Long-term Debt, Current Maturities | (18,750) | (18,750) | (3,750) | ||||||
Long-term Debt, Excluding Current Maturities | 565,559 | 565,559 | 584,309 | ||||||
Senior Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term Debt | 296,250 | 296,250 | 300,000 | ||||||
Senior Credit Facility - Revolver | Senior Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term Debt | 0 | 0 | 0 | ||||||
Senior Credit Facility - Term Loan | Senior Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term Debt | $ 296,250 | $ 296,250 | 300,000 | ||||||
5.625% Senior Notes | Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Instrument, Maturity Date | Jun. 15, 2022 | ||||||||
Face amount | $ 300,000 | ||||||||
Debt instrument, interest rate | 5.625% | 5.625% | 5.625% | 5.625% | |||||
5.625% Senior Notes Carrying Value | $ 288,059 | $ 288,059 | $ 288,059 | ||||||
Minimum | 5.625% Senior Notes | Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Redemption Price As Percentage Of Principal | 100.00% | ||||||||
Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Leverage ratio | 3.75 | 3.75 | |||||||
Maximum | 5.625% Senior Notes | Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Redemption Price As Percentage Of Principal | 102.80% | ||||||||
Debt Instrument, Repurchase Amount Available | $ 165,000 | ||||||||
Debt Instrument, Repurchase Amount | $ 11,900 | ||||||||
Senior Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Senior credit facility expansion option, available | $ 450,000 | $ 450,000 | |||||||
Number of financial covenants | covenant | 2 | ||||||||
Senior Credit Facility | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Fixed charge coverage ratio | 3.50 | 3.50 | |||||||
Senior Credit Facility | LIBOR | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest rate over variable rate | 2.00% | ||||||||
Debt instrument actual interest rate | 2.50% | 2.50% | |||||||
Senior Credit Facility | LIBOR | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest rate over variable rate | 1.00% | ||||||||
Senior Credit Facility | LIBOR | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest rate over variable rate | 2.25% | ||||||||
Senior Credit Facility | Base Rate | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest rate over variable rate | 0.00% | ||||||||
Senior Credit Facility | Base Rate | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest rate over variable rate | 1.25% | ||||||||
Senior Credit Facility - Term Loan | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowing capacity | $ 300,000 | $ 300,000 | |||||||
Senior Credit Facility - Revolver | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowing capacity | 600,000 | 600,000 | |||||||
Unused credit line | 592,100 | 592,100 | |||||||
Unused Borrowing Capacity Available for Borrowing | $ 180,000 | $ 180,000 | |||||||
Senior Credit Facility - Revolver | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Percentage of non-use fee, annually | 0.15% | ||||||||
Senior Credit Facility - Revolver | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Percentage of non-use fee, annually | 0.35% | ||||||||
Scenario, Forecast | Senior Credit Facility - Term Loan | Starting on June 30, 2016 | |||||||||
Debt Instrument [Line Items] | |||||||||
Quarterly installments, payable on term loan | $ 3,800 | ||||||||
Scenario, Forecast | Senior Credit Facility - Term Loan | Starting on June 30, 2017 | |||||||||
Debt Instrument [Line Items] | |||||||||
Quarterly installments, payable on term loan | $ 7,500 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - 5.625% Senior Notes - Senior Notes - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | Apr. 16, 2012 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Debt instrument, interest rate | 5.625% | 5.625% | 5.625% | |
Fair value of long-term debt | $ 299,600 | $ 287,300 | ||
5.625% Senior Notes Carrying Value | $ 288,059 | $ 288,059 |
Derivatives - Additional Inform
Derivatives - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Derivative [Line Items] | |||
Gain (Loss) on Foreign Currency Fair Value Hedge Derivatives and Not Designated as Hedging Instruments at Fair Value | $ (1,520) | $ (95) | $ (13,500) |
Fair Value, Inputs, Level 2 | |||
Derivative [Line Items] | |||
Foreign Currency Contracts Net Assets (Liabilities) Fair Value Disclosure | (680) | (234) | |
Cash Flow Hedging [Member] | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 500 | ||
Fair Value Hedging [Member] | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | $ 143,400 | $ 170,700 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Leases Disclosure [Line Items] | |||
Due in 2017 | $ 32.9 | ||
Due in 2018 | 27.1 | ||
Due in 2019 | 23.6 | ||
Due in 2020 | 19.9 | ||
Due in 2021 | 14.4 | ||
Due thereafter | 45.1 | ||
Operating lease, rental expense | $ 37.6 | $ 35.7 | $ 31.6 |
Minimum | |||
Leases Disclosure [Line Items] | |||
Lease agreements period | 1 year | ||
Maximum | |||
Leases Disclosure [Line Items] | |||
Lease agreements period | 20 years | ||
Energy | |||
Leases Disclosure [Line Items] | |||
Sale Leaseback Transaction, Gross Proceeds, Investing Activities | $ 7 | ||
Energy | Viking | |||
Leases Disclosure [Line Items] | |||
Sale Leaseback Transaction, Gross Proceeds, Investing Activities | $ 41 |
Changes in Projected Benefit Ob
Changes in Projected Benefit Obligations, Fair Value of Plan Assets and Funded Status of Defined Benefit Pension Plans (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Reconciliation of plan assets: | |||
Fair value of plan assets at beginning of year | $ 39,181 | ||
Fair value of plan assets at end of year | 39,489 | $ 39,181 | |
United States Pension Plan of US Entity | |||
Reconciliation of benefit obligations: | |||
Benefit obligation at beginning of year | 45,612 | 47,545 | |
Interest cost | 1,970 | 1,920 | $ 2,146 |
Defined Benefit Plan, Actuarial Gain (Loss) | 5,604 | (170) | |
Defined Benefit Plan, Benefits Paid | (2,777) | (3,683) | |
Benefit obligation at end of year | 50,409 | 45,612 | 47,545 |
Reconciliation of plan assets: | |||
Fair value of plan assets at beginning of year | 39,181 | 44,642 | |
Defined Benefit Plan, Actual Return on Plan Assets | 2,687 | (2,088) | |
Defined Benefit Plan, Contributions by Employer | 398 | 310 | |
Benefits paid from plan assets | (2,777) | (3,683) | |
Fair value of plan assets at end of year | 39,489 | 39,181 | $ 44,642 |
Funded status of the plans (underfunded) | (10,920) | (6,431) | |
Fair Value, Inputs, Level 2 | Fixed Income Securities | |||
Reconciliation of plan assets: | |||
Fair value of plan assets at beginning of year | 12,581 | ||
Fair value of plan assets at end of year | $ 11,723 | $ 12,581 |
Net Periodic Benefit Costs (Det
Net Periodic Benefit Costs (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Other Postretirement Benefit Plan, Defined Benefit | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net benefit cost (income) | $ 100 | $ (119) | $ (242) |
United States Pension Plan of US Entity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | 1,970 | 1,920 | 2,146 |
Expected return on assets | (2,997) | (3,143) | (2,959) |
Amortization of actuarial loss | 837 | 828 | 667 |
Net benefit cost (income) | $ (190) | $ (395) | $ (146) |
Weighted Average Assumptions Us
Weighted Average Assumptions Used to Determine Benefit Obligations and Net Periodic Benefit Cost (Detail) - United States Pension Plan of US Entity | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Assumptions for benefit obligations: | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 3.45% | 4.45% | 4.15% |
Assumptions for net periodic benefit cost: | |||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 4.45% | 4.15% | 4.90% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Return on Assets | 7.40% | 7.50% | 7.65% |
U.S. Pension Plan Investment Al
U.S. Pension Plan Investment Allocations by Asset Category (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||
Defined Benefit Plan, Fair Value of Plan Assets | $ 39,489 | $ 39,181 |
Percentage of fair value of pension plan assets | 100.00% | 100.00% |
Cash and cash equivalents | Fair Value, Inputs, Level 1 | ||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||
Defined Benefit Plan, Fair Value of Plan Assets | $ 347 | $ 314 |
Percentage of fair value of pension plan assets | 0.90% | 0.80% |
Fixed Income Securities | Fair Value, Inputs, Level 2 | ||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||
Defined Benefit Plan, Fair Value of Plan Assets | $ 11,723 | $ 12,581 |
Percentage of fair value of pension plan assets | 29.70% | 32.10% |
Fixed Income Securities | Corporate Bond Securities | Fair Value, Inputs, Level 2 | ||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||
Defined Benefit Plan, Fair Value of Plan Assets | $ 8,372 | $ 9,481 |
Percentage of fair value of pension plan assets | 21.20% | 24.20% |
Fixed Income Securities | Mutual Funds | Fair Value, Inputs, Level 2 | ||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||
Defined Benefit Plan, Fair Value of Plan Assets | $ 3,351 | $ 3,100 |
Percentage of fair value of pension plan assets | 8.50% | 7.90% |
Equity Securities | Mutual Funds | Fair Value, Inputs, Level 1 | ||
Schedule of Pension Plan Assets by Fair Value [Line Items] | ||
Defined Benefit Plan, Fair Value of Plan Assets | $ 27,419 | $ 26,286 |
Percentage of fair value of pension plan assets | 69.40% | 67.10% |
Funded Status of Defined Benefi
Funded Status of Defined Benefit Pension Plans (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | $ 39,489 | $ 39,181 |
Non-US Pension Plans, Defined Benefit | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Amount of benefits expected to be paid in fiscal 2017 | 500 | |
Amount of benefits expected to be paid in fiscal 2018 | 1,300 | |
Amount of benefits expected to be paid in fiscal 2019 | 300 | |
Amount of benefits expected to be paid in, fiscal 2020 | 1,000 | |
Amount of benefits expected to be paid in, fiscal 2021 | 900 | |
Amount of benefits expected to be paid fiscal 2022 through fiscal 2026 | 3,300 | |
Defined Benefit Plan, Benefit Obligation | 16,808 | 14,255 |
Fair value of plan assets | 8,502 | 8,675 |
Funded status of the plans (underfunded) | $ (8,306) | $ (5,580) |
Employee Benefit Plans Employee
Employee Benefit Plans Employee Benefit Plans - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Deferred Compensation Arrangement with Individual, Compensation Expense | $ 1,600 | $ 1,800 | $ 1,700 |
Equity Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Target Plan Asset Allocations Range Minimum | 60.00% | ||
Defined Benefit Plan, Target Plan Asset Allocations Range Maximum | 80.00% | ||
Other Postretirement Benefit Plan, Defined Benefit | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Benefit Obligation | $ 4,000 | 3,500 | |
Defined Benefit Plan, Net Periodic Benefit Cost | 100 | (119) | (242) |
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year | $ 300 | ||
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 7.50% | ||
Defined Benefit Plan Health Care Cost Trend Rate In Future Period | 5.00% | ||
United States Pension Plan of US Entity | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Amount of benefits expected to be paid in fiscal 2017 | $ 2,800 | ||
Amount of benefits expected to be paid in fiscal 2018 | 2,900 | ||
Amount of benefits expected to be paid in fiscal 2019 | 2,900 | ||
Amount of benefits expected to be paid in, fiscal 2020 | 3,000 | ||
Amount of benefits expected to be paid in, fiscal 2021 | 3,000 | ||
Amount of benefits expected to be paid fiscal 2022 through fiscal 2026 | 15,000 | ||
Defined Benefit Plan, Benefit Obligation | 50,409 | 45,612 | 47,545 |
Defined Benefit Plan, Net Periodic Benefit Cost | $ (190) | $ (395) | $ (146) |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 3.45% | 4.45% | 4.15% |
Defined Benefit Plan, Accumulated Other Comprehensive Income Net Gains (Losses), after Tax | $ (18,400) | $ (15,200) | |
Defined Benefit Plan, Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year | $ 700 | ||
Defined Benefit Plan, Expected Long Term Rate Of Returns On Assets Assumption | 7.15% | ||
Other Current Liabilities and Other Long-term Liabilities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Deferred Compensation Liability, Current and Noncurrent | $ 22,200 | 22,700 | |
Non-US Pension Plans, Defined Benefit | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Amount of benefits expected to be paid in fiscal 2017 | 500 | ||
Amount of benefits expected to be paid in fiscal 2018 | 1,300 | ||
Amount of benefits expected to be paid in fiscal 2019 | 300 | ||
Amount of benefits expected to be paid in, fiscal 2020 | 1,000 | ||
Amount of benefits expected to be paid in, fiscal 2021 | 900 | ||
Amount of benefits expected to be paid fiscal 2022 through fiscal 2026 | 3,300 | ||
Defined Benefit Plan, Benefit Obligation | 16,808 | 14,255 | |
Defined Benefit Plan, Net Periodic Benefit Cost | $ 700 | $ 1,000 | $ 1,300 |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 1.90% | 3.10% | |
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year | $ 400 | ||
Defined Benefit Plan, Expected Long Term Rate Of Returns On Assets Assumption | 4.60% | ||
401(k) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 25.00% | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 6.00% | ||
Defined Contribution Plan, Cost Recognized | $ 4,400 | $ 4,300 | 4,500 |
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent | 50.00% | ||
Maximum Percentage Of Core Contributions Made By Employer | 3.00% | ||
Supplemental Executive Retirement Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Benefit Obligation | $ 1,600 | ||
Defined Contribution Plan, Cost Recognized | $ 300 | $ 300 | $ 400 |
Minimum | Supplemental Executive Retirement Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Contribution Plan Employer Contribution Percentage | 3.00% | ||
Maximum | Supplemental Executive Retirement Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Contribution Plan Employer Contribution Percentage | 6.00% |
Income Tax Expense from Continu
Income Tax Expense from Continuing Operations (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Currently payable: | |||
Currently payable, Federal | $ 2,205 | $ (126) | $ 23,211 |
Currently payable, Foreign | 11,838 | 21,200 | 9,059 |
Currently payable, State | 912 | (1,616) | (657) |
Currently payable | 14,955 | 19,458 | 31,613 |
Deferred: | |||
Deferred, Federal | (12,470) | (4,416) | 4,224 |
Deferred, Foreign | (23,797) | (9,199) | (4,130) |
Deferred, State | (3,858) | (324) | 866 |
Benefit for deferred income taxes | (40,125) | (13,939) | 960 |
Income tax expense (benefit) | $ (25,170) | $ 5,519 | $ 32,573 |
Reconciliation of Income Taxes
Reconciliation of Income Taxes at Federal Statutory Rate to Effective Tax Rate (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Deferred Tax Assets Operating Loss And Tax Credit Carryforwards | $ 36,761 | $ 19,419 | |
Federal statutory rate | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal effect | 1.20% | (0.20%) | 0.80% |
Net effects of foreign tax rate differential and credits | 1.60% | (58.40%) | (10.50%) |
Domestic manufacturing deduction | 0.30% | (5.10%) | (1.00%) |
Foreign Branch Currency Losses | 4.90% | 0.00% | 0.00% |
Goodwill impairment | (27.00%) | 78.60% | 0.00% |
Valuation allowance additions and releases | (0.70%) | 15.50% | (8.00%) |
Changes in liability for unrecognized tax benefits | (0.90%) | (42.10%) | 3.20% |
Change in income tax accounting method, net | 0.00% | 0.00% | (5.60%) |
Business divestiture | 3.90% | 0.00% | 3.00% |
Other items | 1.00% | (1.60%) | 1.80% |
Effective income tax rate | 19.30% | 21.70% | 18.70% |
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits | $ 25,086 | $ 27,047 | |
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Postretirement Benefits | 8,727 | 6,778 | |
Deferred Tax Assets, Inventory | 3,044 | 3,253 | |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Other | 8,317 | 11,976 | |
Deferred Tax Assets, Gross | 81,935 | 68,473 | |
Deferred Tax Assets, Valuation Allowance | 8,147 | 8,053 | |
Deferred Tax Assets, Net of Valuation Allowance | 73,788 | 60,420 | |
Deferred Tax Liabilities Depreciation And Amortization | 83,020 | 110,763 | |
Deferred Tax Liabilities, Other | 5,493 | 4,539 | |
Deferred Tax Liabilities, Gross | 88,513 | 115,302 | |
Deferred Tax Assets, Net | $ (14,725) | $ (54,882) |
Temporary Differences and Carry
Temporary Differences and Carryforwards of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2012 | |
Income Tax Disclosure [Abstract] | ||||
Unrecognized Tax Benefits | $ 29,174 | $ 29,924 | $ 39,509 | $ 18,006 |
Deferred income tax assets: | ||||
Deferred Tax Assets Operating Loss And Tax Credit Carryforwards | 36,761 | 19,419 | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits | 25,086 | 27,047 | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Postretirement Benefits | 8,727 | 6,778 | ||
Deferred Tax Assets, Inventory | 3,044 | 3,253 | ||
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Other | 8,317 | 11,976 | ||
Total deferred income tax assets | 81,935 | 68,473 | ||
Valuation allowance | (8,147) | (8,053) | ||
Net deferred income tax assets | 73,788 | 60,420 | ||
Deferred income tax liabilities: | ||||
Depreciation and amortization | (83,020) | (110,763) | ||
Other items | (5,493) | (4,539) | ||
Deferred income tax liabilities | (88,513) | (115,302) | ||
Net deferred income tax liability | (14,725) | (54,882) | ||
Unrecognized Tax Benefits, Increase Resulting from Current Period Tax Positions | 1,050 | 2,183 | 28,053 | |
Unrecognized Tax Benefits, Increase Resulting from Prior Period Tax Positions | 475 | 8,935 | 0 | |
Unrecognized Tax Benefits, Decrease Resulting from Prior Period Tax Positions | 0 | 633 | 0 | |
Unrecognized Tax Benefits, Reduction Resulting from Lapse of Applicable Statute of Limitations | 1,027 | 4,464 | 7,030 | |
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities | 0 | 14,180 | 0 | |
Unrecognized Tax Benefits, Increase (Decrease) Resulting from Foreign Currency Translation | $ (1,248) | $ (1,426) | $ 480 |
Changes in Gross Liability for
Changes in Gross Liability for Unrecognized Tax Benefits, Excluding Interest and Penalties (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Income (Loss) from Continuing Operations before Income Taxes, Domestic | $ (19,182) | $ 14,593 | $ 84,854 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Beginning balance | 29,924 | 39,509 | |
Unrecognized Tax Benefits, Increase Resulting from Current Period Tax Positions | 1,050 | 2,183 | 28,053 |
Unrecognized Tax Benefits, Increase Resulting from Prior Period Tax Positions | 475 | 8,935 | 0 |
Decrease for tax positions taken in a prior period | 0 | (633) | 0 |
Decrease due to lapse of statute of limitations | (1,027) | (4,464) | (7,030) |
Decrease due to settlements | 0 | (14,180) | 0 |
Unrecognized Tax Benefits, Increase (Decrease) Resulting from Foreign Currency Translation | (1,248) | (1,426) | 480 |
Ending balance | 29,174 | 29,924 | 39,509 |
Income (Loss) from Continuing Operations before Income Taxes, Foreign | (111,162) | 10,798 | 89,172 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Extraordinary Items, Noncontrolling Interest | $ (130,344) | $ 25,391 | $ 174,026 |
Earnings before Income Taxes, I
Earnings before Income Taxes, Including both Continuing and Discontinued Operations (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Income (Loss) from Continuing Operations before Income Taxes, Domestic | $ (19,182) | $ 14,593 | $ 84,854 |
Income (Loss) from Continuing Operations before Income Taxes, Foreign | (111,162) | 10,798 | 89,172 |
Earnings from continuing operations before income tax expense | $ (130,344) | $ 25,391 | $ 174,026 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |||
Feb. 29, 2016 | Feb. 28, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Income Tax Disclosure Additional Details [Table] [Line Items] | |||||
Asset Impairment Charge Income Tax Benefit | $ 68,000 | $ 6,300 | |||
Effective Income Tax Rate Reconciliation, Tax Credit, Foreign, Amount | 10,000 | ||||
Impairment charge | $ 186,511 | 186,511 | 84,353 | $ 0 | |
Unrecognized Tax Benefits, Period Increase (Decrease) | (9,500) | ||||
Recognized interest and penalties related to unrecognized tax benefits | 2,300 | 1,800 | 2,000 | ||
Undistributed earnings | 302,400 | ||||
Additional provision for undistributed earnings | 39,200 | ||||
Gain (loss) on product line divestiture | 5,092 | 0 | (13,495) | ||
Income taxes, net of refunds | 21,400 | 26,400 | $ 57,200 | ||
Foreign Tax Authority | |||||
Income Tax Disclosure Additional Details [Table] [Line Items] | |||||
Operating Loss Carryforward | 105,400 | ||||
State and Local Jurisdiction | |||||
Income Tax Disclosure Additional Details [Table] [Line Items] | |||||
Operating Loss Carryforward | 58,300 | ||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Amount of Unrecorded Benefit | 4,700 | ||||
Domestic Destination | |||||
Income Tax Disclosure Additional Details [Table] [Line Items] | |||||
Impairment charge | $ 20,300 | 49,000 | |||
Foreign Destination | |||||
Income Tax Disclosure Additional Details [Table] [Line Items] | |||||
Impairment charge | $ 137,500 | $ 64,100 | |||
Percent of Revenue (excluding impairment charge) from foreign jurisdictions | 53.00% | 68.00% | 51.00% | ||
Valuation Allowance of Deferred Tax Assets | |||||
Income Tax Disclosure Additional Details [Table] [Line Items] | |||||
Valuation Allowances and Reserves, Charged to Cost and Expense | $ 852 | $ 5,694 | $ 1,243 | ||
Valuation Allowances and Reserves, Deductions | $ 1,026 | $ 2,254 | $ 6,936 |
Capital Stock(Detail)
Capital Stock(Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Earnings Per Share [Abstract] | |||
Net earnings | $ (105,174) | $ 19,872 | $ 163,573 |
Weighted average common shares outstanding for basic earnings per share | 59,010 | 61,262 | 70,942 |
Net effect of dilutive securities-employee stock compensation plans | 0 | 793 | 1,544 |
Weighted average common and equivalent shares outstanding for diluted earnings per share | 59,010 | 62,055 | 72,486 |
Basic Earnings Per Share (in dollars per share): | $ (1.78) | $ 0.32 | $ 2.31 |
Diluted Earnings Per Share (in dollars per share): | $ (1.78) | $ 0.32 | $ 2.26 |
Anti-dilutive securities-equity based compensation plans (excluded from earnings per share calculation) | 4,832 | 2,056 | 522 |
Capital Stock Share Repurchases
Capital Stock Share Repurchases - Additional Information (Details) - $ / shares | Aug. 31, 2016 | Aug. 31, 2015 | Mar. 16, 2015 | Oct. 01, 2014 | Mar. 29, 2014 | Sep. 28, 2011 |
Capital Unit [Line Items] | ||||||
Common stock, shares authorized | 168,000,000 | |||||
Common stock, par value | $ 0.20 | |||||
Common stock, shares issued | 79,393,393 | 78,932,533 | ||||
Cumulative Preferred Stock, shares authorized share | 160,000 | |||||
Cumulative Preferred Stock, par value | $ 1 | |||||
Cumulative Preferred Stock, issued | 0 | |||||
Shares authorized in buyback program | 7,000,000 | 7,000,000 | 7,000,000 | 7,000,000 | ||
Treasury stock, shares | 20,439,434 | 19,726,479 | ||||
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased | 7,560,566 | |||||
Common Class A | ||||||
Capital Unit [Line Items] | ||||||
Common stock, shares authorized | 168,000,000 | |||||
Common stock, par value | $ 0.2 | |||||
Common stock, shares issued | 79,393,393 | |||||
Common stock, shares outstanding | 58,953,959 | |||||
Common Class B | ||||||
Capital Unit [Line Items] | ||||||
Common stock, shares authorized | 1,500,000 | |||||
Common stock, par value | $ 0.2 | |||||
Common stock, shares issued | 0 | |||||
Common stock, shares outstanding | 0 |
Summary of Stock Option Activit
Summary of Stock Option Activity (Detail) $ / shares in Units, $ in Millions | 12 Months Ended |
Aug. 31, 2016USD ($)$ / sharesshares | |
Number of Stock Option Outstanding | |
Beginning Balance | shares | 3,852,663 |
Granted | shares | 445,093 |
Exercised | shares | (175,950) |
Forfeited | shares | (643,744) |
Ending Balance | shares | 3,478,062 |
Options exercisable at end of Period | shares | 2,471,907 |
Weighted Average Exercise Price | |
Beginning Balance | $ / shares | $ 24.47 |
Granted | $ / shares | 22.22 |
Exercised | $ / shares | 20.27 |
Forfeited | $ / shares | 26.85 |
Ending Balance | $ / shares | 23.96 |
Options exercisable at end of Period | $ / shares | $ 24.29 |
Option Outstanding weighted average remaining term | 4 years 9 months |
Option exercisable weighted average remaining term | 3 years 2 months |
Stock option, aggregate intrinsic Value | $ | $ 6.3 |
Stock option, aggregate intrinsic Value | $ | $ 4.6 |
Summary of Weighted-Average Gra
Summary of Weighted-Average Grant-Date Fair Value of Options, Total Intrinsic Value of Options Exercised, and Cash Receipts from Options Exercised (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Weighted-average fair value of options granted (per share) | $ 8.63 | $ 8.35 | $ 14.46 |
Intrinsic value gain of options exercised | $ 989 | $ 366 | $ 16,380 |
Cash receipts from exercise of options | $ 3,564 | $ 1,147 | $ 22,423 |
Summary Of Restricted Stock Act
Summary Of Restricted Stock Activity (Detail) - Restricted Stock | 12 Months Ended |
Aug. 31, 2016$ / sharesshares | |
Aggregate Number of Restricted Shares | |
Beginning Balance | shares | 1,197,268 |
Granted | shares | 793,648 |
Forfeited | shares | (306,339) |
Vested | shares | (331,072) |
Ending Balance | shares | 1,353,505 |
Weighted Average Fair Value at Grant Date | |
Beginning Balance | $ / shares | $ 28.13 |
Granted | $ / shares | 22.64 |
Forfeited | $ / shares | 26.83 |
Vested | $ / shares | 28.25 |
Ending Balance | $ / shares | $ 25.21 |
Weighted-Average Assumptions (D
Weighted-Average Assumptions (Detail) | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Dividend yield | 0.19% | 0.15% | 0.11% |
Expected volatility | 38.06% | 37.80% | 38.30% |
Risk-free rate of return | 2.06% | 1.19% | 0.70% |
Expected forfeiture rate | 13.12% | 13.73% | 14.18% |
Expected life | 6 years 1 month | 6 years 1 month | 6 years 1 month |
Stocks Plans - Additional Infor
Stocks Plans - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Aug. 31, 2016 | Aug. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Class A Common Stock were authorized for issuance | 9,400,000 | |
Shares available for future grants | 1,935,182 | |
Exercise price as percentage of fair market value at grant date | 100.00% | |
Unrecognized compensation cost related to share-based compensation for stock options and restricted stock outstanding | $ 24.8 | |
Unrecognized compensation cost related to share-based compensation for stock options and restricted stock outstanding, recognition period | 3 years 1 day | |
Performance Shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Performance period | 3 years | |
Performance Shares | Free Cash Flow Conversion Target | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 50.00% | |
Performance Shares | Total Shareholders Return | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 50.00% | |
Restricted Stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Fair value of shares vested | $ 12.4 | $ 14.2 |
After Three Years | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 50.00% | |
After Five Years | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 100.00% | |
Maximum | Stock Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock options term | 10 years |
Summary of Financial Informatio
Summary of Financial Information by Reportable Segment and Product Line (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 1,149,410 | $ 1,249,254 | $ 1,399,862 |
Operating profit (loss) | (100,217) | 53,554 | 203,108 |
Depreciation and amortization | 47,777 | 53,239 | 60,635 |
Capital Expenditure | 20,209 | 22,516 | 41,857 |
Assets | 1,442,538 | 1,636,917 | |
Integrated Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 44,985 | 47,294 | 52,962 |
Industrial Tools [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 314,832 | 355,170 | 360,940 |
Industrial | |||
Segment Reporting Information [Line Items] | |||
Net sales | 359,817 | 402,464 | 413,901 |
Operating profit (loss) | 79,773 | 105,652 | 120,250 |
Depreciation and amortization | 8,175 | 8,257 | 7,597 |
Capital Expenditure | 2,570 | 1,249 | 3,349 |
Assets | 308,222 | 293,738 | |
Energy Maintenance & Integrity [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 278,881 | 246,357 | 267,500 |
Other Energy Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 113,849 | 165,518 | 194,869 |
Energy | |||
Segment Reporting Information [Line Items] | |||
Net sales | 392,731 | 411,875 | 462,368 |
Operating profit (loss) | (107,528) | (41,351) | 56,412 |
Depreciation and amortization | 21,944 | 26,532 | 33,983 |
Capital Expenditure | 9,355 | 11,864 | 26,787 |
Assets | 479,169 | 601,521 | |
On-Highway [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 209,575 | 220,889 | 272,201 |
Agriculture, Off-Highway and Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 187,287 | 214,026 | 251,391 |
Engineered Solutions | |||
Segment Reporting Information [Line Items] | |||
Net sales | 396,862 | 434,915 | 523,592 |
Operating profit (loss) | (42,991) | 19,789 | 55,430 |
Depreciation and amortization | 15,910 | 16,652 | 17,602 |
Capital Expenditure | 5,974 | 8,472 | 8,763 |
Assets | 493,840 | 588,200 | |
General Corporate | |||
Segment Reporting Information [Line Items] | |||
Operating profit (loss) | (29,471) | (30,536) | (28,984) |
Depreciation and amortization | 1,749 | 1,798 | 1,453 |
Capital Expenditure | 2,310 | 931 | $ 2,958 |
Assets | $ 161,307 | $ 153,458 |
Financial Information from Cont
Financial Information from Continuing Operations By Geographic Region (Detail) - USD ($) | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Geographic Reporting Disclosure [Line Items] | |||
Assets | $ 1,442,538,000 | $ 1,636,917,000 | |
Net sales | 1,149,410,000 | 1,249,254,000 | $ 1,399,862,000 |
Long-Lived Assets | 117,179,000 | 145,062,000 | |
United States | |||
Geographic Reporting Disclosure [Line Items] | |||
Net sales | 477,670,000 | 526,061,000 | 573,590,000 |
Long-Lived Assets | 32,205,000 | 41,645,000 | |
Netherlands | |||
Geographic Reporting Disclosure [Line Items] | |||
Net sales | 143,517,000 | 139,432,000 | 151,549,000 |
Australia | |||
Geographic Reporting Disclosure [Line Items] | |||
Net sales | 62,779,000 | 94,319,000 | 82,778,000 |
Long-Lived Assets | 15,399,000 | 15,227,000 | |
UNITED KINGDOM | |||
Geographic Reporting Disclosure [Line Items] | |||
Net sales | 115,183,000 | 113,743,000 | 162,508,000 |
Long-Lived Assets | 9,914,000 | 21,704,000 | |
China | |||
Geographic Reporting Disclosure [Line Items] | |||
Long-Lived Assets | 16,863,000 | 18,199,000 | |
United Arab Emirates | |||
Geographic Reporting Disclosure [Line Items] | |||
Net sales | 55,906,000 | 44,211,000 | 18,101,000 |
Long-Lived Assets | 8,399,000 | 1,104,000 | |
All other | |||
Geographic Reporting Disclosure [Line Items] | |||
Net sales | 294,355,000 | 331,488,000 | 411,336,000 |
Long-Lived Assets | 34,399,000 | 47,183,000 | |
Energy | |||
Geographic Reporting Disclosure [Line Items] | |||
Assets | 479,169,000 | 601,521,000 | |
Net sales | 392,731,000 | 411,875,000 | 462,368,000 |
Industrial | |||
Geographic Reporting Disclosure [Line Items] | |||
Assets | 308,222,000 | 293,738,000 | |
Net sales | 359,817,000 | 402,464,000 | 413,901,000 |
Engineered Solutions | |||
Geographic Reporting Disclosure [Line Items] | |||
Assets | 493,840,000 | 588,200,000 | |
Net sales | 396,862,000 | 434,915,000 | $ 523,592,000 |
General Corporate | |||
Geographic Reporting Disclosure [Line Items] | |||
Assets | $ 161,307,000 | $ 153,458,000 |
Business Segment, Geographic 73
Business Segment, Geographic and Customer Information - Additional Information (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Feb. 29, 2016USD ($) | Feb. 29, 2016USD ($) | Aug. 31, 2016USD ($)Segment | Aug. 31, 2015USD ($) | Aug. 31, 2014USD ($) | |
Segment Reporting Information [Line Items] | |||||
Number of reportable segments | Segment | 3 | ||||
Impairment charge | $ 186,511 | $ 186,511 | $ 84,353 | $ 0 | |
Largest customer sales in fiscal year, percent | 3.00% | ||||
Export sales from domestic operation, as a percentage of total net sales | 6.30% | ||||
Percentage of Product Sales to Consolidated Net Sales | 80.00% | ||||
Energy | |||||
Segment Reporting Information [Line Items] | |||||
Impairment charge | $ 140,938 | $ 84,353 | |||
Engineered Solutions | |||||
Segment Reporting Information [Line Items] | |||||
Impairment charge | $ 45,700 |
Contingencies and Litigation -
Contingencies and Litigation - Additional Information (Detail) - USD ($) $ in Millions | Aug. 31, 2016 | Aug. 31, 2015 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Outstanding letters of credit | $ 17.8 | $ 18.1 |
Discounted present value of future minimum lease payments | 16 | |
Electrical | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Discounted present value of future minimum lease payments | $ 12.3 |
Condensed Consolidating Stateme
Condensed Consolidating Statements of Earnings (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Feb. 29, 2016 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Condensed Financial Statements, Captions [Line Items] | ||||
Net sales | $ 1,149,410 | $ 1,249,254 | $ 1,399,862 | |
Cost of products sold | 746,013 | 787,413 | 852,990 | |
Gross profit | 403,397 | 461,841 | 546,872 | |
Selling, administrative and engineering expenses | 274,497 | 299,601 | 332,093 | |
Restructuring charges | 14,571 | 0 | 0 | |
Impairment charge | $ 186,511 | 186,511 | 84,353 | 0 |
Gain (loss) on product line divestiture | 5,092 | 0 | (13,495) | |
Amortization of intangible assets | 22,943 | 24,333 | 25,166 | |
Operating profit (loss) | (100,217) | 53,554 | 203,108 | |
Financing costs, net | 28,768 | 28,057 | 25,045 | |
Intercompany expense (income), net | 0 | 0 | 0 | |
Intercompany Dividend | 0 | 0 | ||
Other expense (income), net | 1,359 | 106 | 4,037 | |
Earnings from continuing operations before income tax expense | (130,344) | 25,391 | 174,026 | |
Income tax expense | (25,170) | 5,519 | 32,573 | |
Net earnings (loss) before equity in earnings (loss) of subsidiaries | (105,174) | 19,872 | 141,453 | |
Equity in earnings (loss) of subsidiaries | 0 | 0 | 0 | |
Earnings from continuing operations | (105,174) | 19,872 | 141,453 | |
Earnings (loss) from discontinued operations, net of income taxes | 0 | 0 | 22,120 | |
Net earnings | (105,174) | 19,872 | 163,573 | |
Comprehensive loss | (143,357) | (125,360) | 163,825 | |
Parent | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net sales | 135,679 | 158,836 | 195,573 | |
Cost of products sold | 34,576 | 40,858 | 57,464 | |
Gross profit | 101,103 | 117,978 | 138,109 | |
Selling, administrative and engineering expenses | 69,677 | 74,588 | 96,220 | |
Restructuring charges | 2,426 | |||
Impairment charge | 0 | 0 | ||
Gain (loss) on product line divestiture | 0 | 1,200 | ||
Amortization of intangible assets | 1,272 | 1,272 | 1,272 | |
Operating profit (loss) | 27,728 | 42,118 | 39,417 | |
Financing costs, net | 30,123 | 29,295 | 25,611 | |
Intercompany expense (income), net | (20,445) | (19,727) | (27,601) | |
Intercompany Dividend | 0 | (212) | ||
Other expense (income), net | 914 | 12,716 | ||
Earnings from continuing operations before income tax expense | 17,136 | 32,602 | 28,691 | |
Income tax expense | (8,729) | (8,218) | (16,529) | |
Net earnings (loss) before equity in earnings (loss) of subsidiaries | 25,865 | 40,820 | 45,220 | |
Equity in earnings (loss) of subsidiaries | (131,037) | (20,948) | 139,865 | |
Earnings from continuing operations | 185,085 | |||
Earnings (loss) from discontinued operations, net of income taxes | (21,512) | |||
Net earnings | (105,174) | 19,872 | 163,573 | |
Comprehensive loss | (143,357) | (125,360) | ||
Guarantors | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net sales | 361,209 | 385,476 | 409,848 | |
Cost of products sold | 263,197 | 280,081 | 290,840 | |
Gross profit | 98,012 | 105,395 | 119,008 | |
Selling, administrative and engineering expenses | 69,382 | 69,041 | 54,699 | |
Restructuring charges | 3,455 | |||
Impairment charge | 49,012 | 20,249 | ||
Gain (loss) on product line divestiture | 5,092 | (14,695) | ||
Amortization of intangible assets | 13,287 | 13,061 | 12,687 | |
Operating profit (loss) | (42,216) | 3,044 | 66,317 | |
Financing costs, net | 0 | 0 | 3 | |
Intercompany expense (income), net | (9,999) | (8,835) | (5,760) | |
Intercompany Dividend | 0 | (243) | ||
Other expense (income), net | 54 | 153 | ||
Earnings from continuing operations before income tax expense | (32,271) | 12,206 | 71,921 | |
Income tax expense | 519 | 4,056 | 33,690 | |
Net earnings (loss) before equity in earnings (loss) of subsidiaries | (32,790) | 8,150 | 38,231 | |
Equity in earnings (loss) of subsidiaries | (83,747) | (1,720) | 23,297 | |
Earnings from continuing operations | 61,528 | |||
Earnings (loss) from discontinued operations, net of income taxes | 56,494 | |||
Net earnings | (116,537) | 6,430 | 118,022 | |
Comprehensive loss | (157,344) | (10,689) | ||
Non-Guarantors | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net sales | 652,522 | 704,942 | 794,441 | |
Cost of products sold | 448,240 | 466,474 | 504,686 | |
Gross profit | 204,282 | 238,468 | 289,755 | |
Selling, administrative and engineering expenses | 135,438 | 155,972 | 181,174 | |
Restructuring charges | 8,690 | |||
Impairment charge | 137,499 | 64,104 | ||
Gain (loss) on product line divestiture | 0 | 0 | ||
Amortization of intangible assets | 8,384 | 10,000 | 11,207 | |
Operating profit (loss) | (85,729) | 8,392 | 97,374 | |
Financing costs, net | (1,355) | (1,238) | (569) | |
Intercompany expense (income), net | 30,444 | 28,562 | 33,361 | |
Intercompany Dividend | (5,338) | (10,707) | ||
Other expense (income), net | 391 | (8,832) | ||
Earnings from continuing operations before income tax expense | (109,871) | (8,255) | 73,414 | |
Income tax expense | (17,046) | 10,939 | 15,412 | |
Net earnings (loss) before equity in earnings (loss) of subsidiaries | (92,825) | (19,194) | 58,002 | |
Equity in earnings (loss) of subsidiaries | 3,024 | 6,520 | 15,058 | |
Earnings from continuing operations | 73,060 | |||
Earnings (loss) from discontinued operations, net of income taxes | (12,862) | |||
Net earnings | (89,801) | (12,674) | 60,198 | |
Comprehensive loss | (83,802) | (88,431) | ||
Consolidation, Eliminations | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net sales | 0 | 0 | 0 | |
Cost of products sold | 0 | 0 | 0 | |
Gross profit | 0 | 0 | 0 | |
Selling, administrative and engineering expenses | 0 | 0 | 0 | |
Restructuring charges | 0 | |||
Impairment charge | 0 | 0 | ||
Gain (loss) on product line divestiture | 0 | 0 | ||
Amortization of intangible assets | 0 | 0 | 0 | |
Operating profit (loss) | 0 | 0 | 0 | |
Financing costs, net | 0 | 0 | 0 | |
Intercompany expense (income), net | 0 | 0 | 0 | |
Intercompany Dividend | 5,338 | 11,162 | ||
Other expense (income), net | 0 | 0 | 0 | |
Earnings from continuing operations before income tax expense | (5,338) | (11,162) | 0 | |
Income tax expense | 86 | (1,258) | 0 | |
Net earnings (loss) before equity in earnings (loss) of subsidiaries | (5,424) | (9,904) | 0 | |
Equity in earnings (loss) of subsidiaries | 211,760 | 16,148 | (178,220) | |
Earnings from continuing operations | (178,220) | |||
Earnings (loss) from discontinued operations, net of income taxes | 0 | |||
Net earnings | 206,336 | 6,244 | $ (178,220) | |
Comprehensive loss | $ 241,146 | $ 99,120 |
Condensed Consolidating Balance
Condensed Consolidating Balance Sheets (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2013 |
ASSETS | ||||
Cash and cash equivalents | $ 179,604 | $ 168,846 | $ 109,012 | $ 103,986 |
Accounts receivable, net | 186,829 | 193,081 | ||
Inventories, net | 130,756 | 142,752 | ||
Deferred income taxes | 0 | 12,922 | ||
Other current assets | 45,463 | 42,788 | ||
Total current assets | 542,652 | 560,389 | ||
Property, plant & equipment, net | 114,015 | 142,458 | ||
Goodwill | 519,276 | 608,256 | 742,770 | |
Other intangibles, net | 239,475 | 308,762 | ||
Investment in subsidiaries | 0 | 0 | ||
Intercompany receivable | 0 | 0 | ||
Other long-term assets | 27,120 | 17,052 | ||
Total assets | 1,442,538 | 1,636,917 | ||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||
Trade accounts payable | 115,051 | 118,115 | ||
Accrued compensation and benefits | 46,901 | 43,707 | ||
Current maturities of debt and short-term borrowings | 18,750 | 3,969 | ||
Income taxes payable | 9,254 | 14,805 | ||
Other current liabilities | 51,956 | 54,460 | ||
Total current liabilities | 241,912 | 235,056 | ||
Long-term Debt, Excluding Current Maturities | 565,559 | 584,309 | ||
Deferred income taxes | 31,356 | 72,941 | ||
Pension and postretirement benefit liabilities | 25,667 | 17,828 | ||
Other long-term liabilities | 57,094 | 53,782 | ||
Intercompany payable | 0 | |||
Shareholders’ equity | 520,950 | 673,001 | 1,001,711 | $ 1,080,267 |
Total liabilities and shareholders’ equity | 1,442,538 | 1,636,917 | ||
Parent | ||||
ASSETS | ||||
Cash and cash equivalents | 7,953 | 18,688 | 27,931 | |
Accounts receivable, net | 13,692 | 16,135 | ||
Inventories, net | 19,897 | 23,074 | ||
Deferred income taxes | 9,256 | |||
Other current assets | 7,754 | 18,020 | ||
Total current assets | 49,296 | 85,173 | ||
Property, plant & equipment, net | 5,927 | 6,363 | ||
Goodwill | 38,847 | 38,847 | ||
Other intangibles, net | 9,429 | 10,702 | ||
Investment in subsidiaries | 1,915,367 | 2,067,438 | ||
Intercompany receivable | 0 | 0 | ||
Other long-term assets | 9,580 | 10,694 | ||
Total assets | 2,028,446 | 2,219,217 | ||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||
Trade accounts payable | 11,529 | 14,700 | ||
Accrued compensation and benefits | 17,506 | |||
Current maturities of debt and short-term borrowings | 18,750 | |||
Income taxes payable | 1,886 | 10,947 | ||
Other current liabilities | 20,459 | 19,817 | ||
Total current liabilities | 70,130 | 65,693 | ||
Long-term Debt, Excluding Current Maturities | 565,559 | 584,309 | ||
Deferred income taxes | 30,666 | 43,210 | ||
Pension and postretirement benefit liabilities | 16,803 | 11,712 | ||
Other long-term liabilities | 47,739 | 46,407 | ||
Intercompany payable | 776,599 | |||
Shareholders’ equity | 520,950 | |||
Total liabilities and shareholders’ equity | 2,028,446 | |||
Guarantors | ||||
ASSETS | ||||
Cash and cash equivalents | 71 | 567 | 3,487 | |
Accounts receivable, net | 41,715 | 49,258 | ||
Inventories, net | 44,283 | 55,151 | ||
Deferred income taxes | 0 | |||
Other current assets | 3,858 | 4,708 | ||
Total current assets | 89,927 | 109,684 | ||
Property, plant & equipment, net | 23,511 | 33,675 | ||
Goodwill | 200,499 | 318,088 | ||
Other intangibles, net | 149,757 | 173,497 | ||
Investment in subsidiaries | 578,423 | 632,581 | ||
Intercompany receivable | 1,159,672 | 1,140,030 | ||
Other long-term assets | 10 | 0 | ||
Total assets | 2,201,799 | 2,407,555 | ||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||
Trade accounts payable | 20,669 | 27,767 | ||
Accrued compensation and benefits | 5,754 | |||
Current maturities of debt and short-term borrowings | 0 | |||
Income taxes payable | 0 | 0 | ||
Other current liabilities | 6,989 | 5,807 | ||
Total current liabilities | 33,412 | 37,199 | ||
Long-term Debt, Excluding Current Maturities | 0 | 0 | ||
Deferred income taxes | 0 | 0 | ||
Pension and postretirement benefit liabilities | 0 | 0 | ||
Other long-term liabilities | 588 | 400 | ||
Intercompany payable | 0 | |||
Shareholders’ equity | 2,167,799 | |||
Total liabilities and shareholders’ equity | 2,201,799 | |||
Non-Guarantors | ||||
ASSETS | ||||
Cash and cash equivalents | 171,580 | 149,591 | $ 77,594 | |
Accounts receivable, net | 131,422 | 127,688 | ||
Inventories, net | 66,576 | 64,527 | ||
Deferred income taxes | 3,666 | |||
Other current assets | 33,851 | 20,060 | ||
Total current assets | 403,429 | 365,532 | ||
Property, plant & equipment, net | 84,577 | 102,420 | ||
Goodwill | 279,930 | 251,321 | ||
Other intangibles, net | 80,289 | 124,563 | ||
Investment in subsidiaries | 465,736 | 182,001 | ||
Intercompany receivable | 0 | 45,141 | ||
Other long-term assets | 17,530 | 6,358 | ||
Total assets | 1,331,491 | 1,077,336 | ||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||
Trade accounts payable | 82,853 | 75,648 | ||
Accrued compensation and benefits | 23,641 | |||
Current maturities of debt and short-term borrowings | 0 | |||
Income taxes payable | 7,368 | 3,858 | ||
Other current liabilities | 24,508 | 28,836 | ||
Total current liabilities | 138,370 | 132,164 | ||
Long-term Debt, Excluding Current Maturities | 0 | 0 | ||
Deferred income taxes | 690 | 29,731 | ||
Pension and postretirement benefit liabilities | 8,864 | 6,116 | ||
Other long-term liabilities | 8,767 | 6,975 | ||
Intercompany payable | 383,073 | |||
Shareholders’ equity | 791,727 | |||
Total liabilities and shareholders’ equity | 1,331,491 | |||
Consolidation, Eliminations | ||||
ASSETS | ||||
Cash and cash equivalents | 0 | 0 | ||
Accounts receivable, net | 0 | 0 | ||
Inventories, net | 0 | 0 | ||
Deferred income taxes | 0 | |||
Other current assets | 0 | 0 | ||
Total current assets | 0 | 0 | ||
Property, plant & equipment, net | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Other intangibles, net | 0 | 0 | ||
Investment in subsidiaries | (2,959,526) | (2,882,020) | ||
Intercompany receivable | (1,159,672) | (1,185,171) | ||
Other long-term assets | 0 | 0 | ||
Total assets | (4,119,198) | (4,067,191) | ||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||
Trade accounts payable | 0 | 0 | ||
Accrued compensation and benefits | 0 | |||
Current maturities of debt and short-term borrowings | 0 | |||
Income taxes payable | 0 | 0 | ||
Other current liabilities | 0 | 0 | ||
Total current liabilities | 0 | 0 | ||
Long-term Debt, Excluding Current Maturities | 0 | 0 | ||
Deferred income taxes | 0 | 0 | ||
Pension and postretirement benefit liabilities | 0 | 0 | ||
Other long-term liabilities | 0 | $ 0 | ||
Intercompany payable | (1,159,672) | |||
Shareholders’ equity | (2,959,526) | |||
Total liabilities and shareholders’ equity | $ (4,119,198) |
Condensed Consolidating State77
Condensed Consolidating Statements of Cash Flows (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Operating Activities | |||
Net cash provided by (used in) operating activities | $ 117,697 | $ 131,434 | $ 126,180 |
Investing Activities | |||
Capital expenditures | (20,209) | (22,516) | (41,857) |
Proceeds from sale of property, plant and equipment | 9,296 | 1,244 | 44,274 |
Proceeds from sale of businesses, net of transaction costs | 9,695 | 0 | 289,590 |
Intercompany investment | 0 | ||
Business acquisitions, net of cash acquired | (81,916) | 0 | (30,500) |
Cash (used in ) provided by investing activities | (83,134) | (21,272) | 261,507 |
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | (3,750) | ||
Intercompany loan activity | 0 | 0 | |
Intercompany capital contributions | 0 | 0 | |
Redemption of 5.625% Senior Notes | (11,941) | ||
Payment of deferred acquisition consideration | 0 | 0 | (1,585) |
Payments Related to Tax Withholding for Share-based Compensation | (1,409) | (2,466) | (946) |
Debt issuance costs | 0 | (2,025) | 0 |
Purchase of treasury shares | (17,101) | (212,003) | (283,712) |
Stock option exercises, related tax benefits and other | 6,416 | 5,396 | 32,224 |
Cash dividend | (2,376) | (2,598) | (2,919) |
Cash (used in) provided by financing activities | (18,430) | (15,417) | (381,938) |
Effect of exchange rate changes on cash | (5,375) | (34,911) | (723) |
Net increase in cash and cash equivalents | 10,758 | 59,834 | 5,026 |
Cash and cash equivalents - beginning of period | 168,846 | 109,012 | 103,986 |
Cash and cash equivalents - end of period | 179,604 | 168,846 | 109,012 |
Guarantors | |||
Operating Activities | |||
Net cash provided by (used in) operating activities | (1,953) | ||
Investing Activities | |||
Capital expenditures | (6,781) | (5,848) | |
Proceeds from sale of property, plant and equipment | 7,000 | 273 | |
Proceeds from sale of businesses, net of transaction costs | 9,695 | ||
Intercompany investment | (3,458) | ||
Business acquisitions, net of cash acquired | 0 | ||
Cash (used in ) provided by investing activities | 6,456 | ||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | 0 | ||
Intercompany loan activity | 0 | 34,081 | |
Intercompany capital contributions | 339 | 0 | |
Redemption of 5.625% Senior Notes | 0 | ||
Payments Related to Tax Withholding for Share-based Compensation | 0 | 0 | 0 |
Purchase of treasury shares | 0 | 0 | |
Stock option exercises, related tax benefits and other | 0 | ||
Cash dividend | (5,338) | (10,676) | |
Cash (used in) provided by financing activities | (4,999) | 23,405 | |
Effect of exchange rate changes on cash | 0 | 0 | |
Net increase in cash and cash equivalents | (496) | (2,920) | |
Cash and cash equivalents - beginning of period | 567 | 3,487 | |
Cash and cash equivalents - end of period | 71 | 567 | 3,487 |
Recast Operating Cash Flow Guarantor Statement | 12,300 | 1,800 | |
Parent | |||
Operating Activities | |||
Net cash provided by (used in) operating activities | 58,926 | 90,632 | 76,870 |
Investing Activities | |||
Capital expenditures | (2,135) | (1,086) | |
Proceeds from sale of property, plant and equipment | 13 | 0 | |
Proceeds from sale of businesses, net of transaction costs | 0 | ||
Intercompany investment | (339) | ||
Business acquisitions, net of cash acquired | 0 | ||
Cash (used in ) provided by investing activities | (2,461) | ||
Financing Activities | |||
Intercompany loan activity | (48,980) | (79,425) | |
Intercompany capital contributions | 0 | 0 | |
Redemption of 5.625% Senior Notes | (11,941) | ||
Payments Related to Tax Withholding for Share-based Compensation | (1,409) | (2,466) | (946) |
Purchase of treasury shares | (17,101) | (212,003) | 283,712 |
Stock option exercises, related tax benefits and other | 6,416 | ||
Cash dividend | (2,376) | (2,598) | |
Cash (used in) provided by financing activities | (67,200) | (95,062) | |
Effect of exchange rate changes on cash | 0 | 0 | |
Net increase in cash and cash equivalents | (10,735) | (9,243) | |
Cash and cash equivalents - beginning of period | 18,688 | 27,931 | |
Cash and cash equivalents - end of period | 7,953 | 18,688 | 27,931 |
Non-Guarantors | |||
Operating Activities | |||
Net cash provided by (used in) operating activities | 66,062 | ||
Investing Activities | |||
Capital expenditures | (11,293) | (15,582) | |
Proceeds from sale of property, plant and equipment | 2,283 | 971 | |
Proceeds from sale of businesses, net of transaction costs | 0 | ||
Intercompany investment | 0 | ||
Business acquisitions, net of cash acquired | (81,916) | ||
Cash (used in ) provided by investing activities | (90,926) | ||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | 0 | ||
Intercompany loan activity | 48,980 | 45,344 | |
Intercompany capital contributions | 3,458 | 3,727 | |
Redemption of 5.625% Senior Notes | 0 | ||
Payment of deferred acquisition consideration | 1,585 | ||
Payments Related to Tax Withholding for Share-based Compensation | 0 | 0 | 0 |
Purchase of treasury shares | 0 | 0 | |
Stock option exercises, related tax benefits and other | 0 | ||
Cash dividend | 0 | 0 | |
Cash (used in) provided by financing activities | 52,228 | 49,291 | |
Effect of exchange rate changes on cash | (5,375) | (34,911) | |
Net increase in cash and cash equivalents | 21,989 | 71,997 | |
Cash and cash equivalents - beginning of period | 149,591 | 77,594 | |
Cash and cash equivalents - end of period | 171,580 | 149,591 | 77,594 |
Senior Credit Facility - Revolver | Line of Credit [Member] | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | (210) | 220 | |
Senior Credit Facility - Revolver | Line of Credit [Member] | Guarantors | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | 0 | 0 | |
Senior Credit Facility - Revolver | Line of Credit [Member] | Parent | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | 0 | 0 | |
Senior Credit Facility - Revolver | Line of Credit [Member] | Non-Guarantors | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | (210) | 220 | |
Senior Credit Facility - Revolver | Senior Credit Facility | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | (210) | 220 | (125,000) |
Senior Credit Facility - Term Loan | Line of Credit [Member] | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | (3,375) | ||
Senior Credit Facility - Term Loan | Line of Credit [Member] | Guarantors | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | 0 | ||
Senior Credit Facility - Term Loan | Line of Credit [Member] | Parent | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | (3,750) | (3,375) | |
Senior Credit Facility - Term Loan | Line of Credit [Member] | Non-Guarantors | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | 0 | ||
Senior Credit Facility - Term Loan | Senior Credit Facility | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | (3,750) | (3,375) | 0 |
Proceeds from term loan | 0 | 213,375 | 0 |
5.625% Senior Notes | Senior Notes | |||
Financing Activities | |||
Redemption of 5.625% Senior Notes | 0 | (11,941) | 0 |
Consolidation, Eliminations | |||
Operating Activities | |||
Net cash provided by (used in) operating activities | (5,338) | ||
Investing Activities | |||
Capital expenditures | 0 | 0 | |
Proceeds from sale of property, plant and equipment | 0 | 0 | |
Proceeds from sale of businesses, net of transaction costs | 0 | ||
Intercompany investment | 3,797 | ||
Business acquisitions, net of cash acquired | 0 | ||
Cash (used in ) provided by investing activities | 3,797 | ||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | 0 | ||
Intercompany loan activity | 0 | 0 | |
Intercompany capital contributions | (3,797) | (3,727) | |
Redemption of 5.625% Senior Notes | 0 | ||
Payments Related to Tax Withholding for Share-based Compensation | 0 | 0 | $ 0 |
Purchase of treasury shares | 0 | 0 | |
Stock option exercises, related tax benefits and other | 0 | ||
Cash dividend | 5,338 | 10,676 | |
Cash (used in) provided by financing activities | 1,541 | 6,949 | |
Effect of exchange rate changes on cash | 0 | 0 | |
Net increase in cash and cash equivalents | 0 | 0 | |
Cash and cash equivalents - beginning of period | 0 | ||
Cash and cash equivalents - end of period | 0 | 0 | |
Consolidation, Eliminations | Senior Credit Facility - Revolver | Line of Credit [Member] | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | $ 0 | 0 | |
Consolidation, Eliminations | Senior Credit Facility - Term Loan | Line of Credit [Member] | |||
Financing Activities | |||
Proceeds from (Repayments of) Lines of Credit | $ 0 |
Guarantor Subsidiaries - Additi
Guarantor Subsidiaries - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2016 | Apr. 16, 2012 | |
Senior Notes | 5.625% Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 300,000 | |||
5.625% Senior Notes Carrying Value | $ 288,059 | $ 288,059 | ||
Debt instrument, interest rate | 5.625% | 5.625% | 5.625% | |
Guarantors | ||||
Debt Instrument [Line Items] | ||||
Recast Operating Cash Flow Guarantor Statement | $ 12,300 | $ 1,800 |
Quarterly Financial Data (Detai
Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Aug. 31, 2016 | May 31, 2016 | Feb. 29, 2016 | Nov. 30, 2015 | Aug. 31, 2015 | May 31, 2015 | Feb. 28, 2015 | Nov. 30, 2014 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Quarterly Financial Information Disclosure [Line Items] | |||||||||||
Net sales | $ 1,149,410 | $ 1,249,254 | $ 1,399,862 | ||||||||
Gross profit | 403,397 | 461,841 | 546,872 | ||||||||
Earnings from continuing operations | (105,174) | 19,872 | 141,453 | ||||||||
Earnings (loss) from discontinued operations | 0 | 0 | 22,120 | ||||||||
Net earnings | $ (105,174) | $ 19,872 | $ 163,573 | ||||||||
Earnings from continuing operations per share: | |||||||||||
Basic (in dollars per share) | $ (1.78) | $ 0.32 | $ 1.99 | ||||||||
Diluted (in dollars per share) | (1.78) | 0.32 | 1.95 | ||||||||
Net earnings (loss) per share: | |||||||||||
Basic (in dollars per share) | (1.78) | 0.32 | 2.31 | ||||||||
Diluted (in dollars per share) | $ (1.78) | $ 0.32 | $ 2.26 | ||||||||
Quarterly unaudited data [Member] | |||||||||||
Quarterly Financial Information Disclosure [Line Items] | |||||||||||
Net sales | $ 275,769 | $ 305,341 | $ 263,289 | $ 305,011 | $ 300,384 | $ 320,100 | $ 301,005 | $ 327,765 | |||
Gross profit | 96,279 | 107,526 | 91,030 | 108,562 | 106,542 | 118,560 | 109,763 | 126,976 | |||
Net earnings | $ 17,402 | $ 21,166 | $ (159,191) | $ 15,448 | $ 22,078 | $ 37,958 | $ (64,838) | $ 24,674 | |||
Net earnings (loss) per share: | |||||||||||
Basic (in dollars per share) | $ 0.30 | $ 0.36 | $ (2.70) | $ 0.26 | $ 0.37 | $ 0.64 | $ (1.05) | $ 0.38 | |||
Diluted (in dollars per share) | $ 0.29 | $ 0.36 | $ (2.70) | $ 0.26 | $ 0.37 | $ 0.63 | $ (1.05) | $ 0.38 |
Quarterly Financial Data - Addi
Quarterly Financial Data - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Feb. 29, 2016 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | ||||
Impairment charge | $ 186,511 | $ 186,511 | $ 84,353 | $ 0 |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Allowance for losses -Trade accounts receivable | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning Balance | $ 3,970 | $ 6,034 | $ 3,701 |
Valuation Allowances and Reserves, Charged to Cost and Expense | 2,274 | 1,633 | 2,447 |
Additions Acquired/ (Divested)/ (Discontinued) | 3,090 | 0 | 440 |
Deductions Accounts Written Off Less Recoveries | (1,580) | 2,742 | (664) |
Other | 8 | (955) | 110 |
Ending Balance | 7,762 | 3,970 | 6,034 |
Valuation Allowance of Deferred Tax Assets | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning Balance | 8,053 | 5,608 | 17,268 |
Valuation Allowances and Reserves, Charged to Cost and Expense | 852 | 5,694 | 1,243 |
Additions Acquired/ (Divested)/ (Discontinued) | 0 | 0 | (5,487) |
Deductions Accounts Written Off Less Recoveries | (1,026) | (2,254) | (6,936) |
Other | 268 | (995) | (480) |
Ending Balance | $ 8,147 | $ 8,053 | $ 5,608 |