Property, Plant and Equipment

12 Months Ended

Jul. 31, 2016

Property, Plant and Equipment [Abstract]

Note 6—Property, Plant and Equipment

Property, plant and equipment consist of the following:

July 31 (in thousands)	2016			2015
Equipment	$	74,030		$	77,126
Land and buildings		61,407			60,703
Computer software		67,651			59,839
Leasehold improvements		1,745			1,739
Furniture and fixtures		1,473			3,869
		206,306			203,276
Less accumulated depreciation and amortization		(118,932	)		(111,960	)
Property, plant and equipment, net	$	87,374		$	91,316

In fiscal 2016, the Company reduced gross property, plant and equipment and accumulated depreciation and amortization by $476.4 million for property, plant and equipment that was fully depreciated and no longer in service at or prior to July 31, 2015. The gross property, plant and equipment and accumulated depreciation and amortization balances at July 31, 2015 were restated to conform to the current year’s presentation, since the restatement was deemed immaterial.

The Company owns its headquarters building located at 520 Broad Street, Newark, New Jersey and a related parking garage. In fiscal 2014, the Company began renovations of the first four floors of its 520 Broad Street building in order to move its personnel and offices located at 550 Broad Street, Newark, New Jersey to 520 Broad Street. In April and May 2015, the Company moved its Newark operations back into its building at 520 Broad Street and vacated its leased office space at 550 Broad Street. In April 2016, the Company entered into two leases for space in the building. The first lease is for a portion of the sixth floor for an eleven year term, of which the first six years are non-cancellable. The second lease is for a portion of the ground floor and basement for a term of ten years, seven months. The tenant under this lease has the right to extend the term for three consecutive periods of five years each. The leases will commence after the completion of the Company’s work to prepare the space for the tenant’s possession. At July 31, 2016 and 2015, the carrying value of the land, building and improvements at 520 Broad Street was $45.6 million and $44.4 million, respectively.

Depreciation and amortization expense of property, plant and equipment was $20.1 million, $18.0 million and $15.7 million in fiscal 2016, fiscal 2015 and fiscal 2014, respectively.