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Variable Interest Entities (VIE)
12 Months Ended
May 31, 2019
Variable Interest Entity, Measure of Activity [Abstract]  
Variable Interest Entities (VIE)

Note 14. VARIABLE INTEREST ENTITIES (VIE)

 

Greystone Real Estate, L.L.C.

 

GRE, is owned by Warren Kruger, President and CEO, and Robert Rosene, a member of the Board of Directors. GRE was created solely to own and lease buildings that GSM occupies in Bettendorf, Iowa.

 

The buildings, having a carrying value of $2,896,549 and $3,012,421 at May 31, 2019 and 2018, respectively, serve as collateral for GRE’s debt and Greystone’s debt under the Loan Agreement between Greystone and International Bank of Commerce. The debt had a carrying value of $2,461,116 and $2,652,428 at May 31, 2019 and 2018, respectively.